Business

Nigeria clears all FX backlog as external reserves hits $34.11bn

VOICE AIR MEDIA, VAM News Update

THE central bank of Nigeria (CBN), on Wednesday, announced it has cleared the $7 billion foreign exchange (FX) backlog inherited by Governor Yemi Cardoso.

The apex bank said the development fulfills a key pledge on his appointment and signifies a significant step towards restoring confidence in the economy.

This was made known in statement on Wednesday by CBN’s Acting Director of Corporate Communications, Mrs Hakama Sidi Ali, confirming the settlement of all valid FX backlog claims.

Ali said the CBN employed Deloitte Consulting, an independent auditing firm, to meticulously assess the transactions, ensuring that only legitimate claims were honoured.

“Any invalid transactions were referred to the relevant authorities for further investigation,” she stated.

The CBN’s commitment to tackling the FX backlog appears to be paying off, with the external reserves seeing a significant rise, reaching $34.11 billion as of March 7, 2024, the highest level in eight months.

This month-on-month increase is attributed to a notable rise in remittance payments from Nigerians abroad and increased foreign investment in local assets, including government debt securities.

The apex bank’s actions are noted to part of a broader strategy outlined during the last Monetary Policy Committee (MPC) meeting.

VAM News

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