CBN promises to clear FX backlogs of banks in five days

The Central Bank of Nigeria (CBN) has assured that the remainder of banks’ FX backlogs would be cleared in the next few days.

The governor of the apex bank, Olayemi Cardoso, gave this assurance while disclosing that the CBN had cleared all foreign exchange backlogs of all banks except five.

Cardoso made this known on Thursday during an investor call facilitated by the Nigerian Exchange Group (NGX).

“Basically, what we have done with those is that we have paid as much as we can to the point where we have cleared the backlog of all the banks save five. All the banks’ genuine and verifiable backlogs have been cleared, save five.

“We are confident that we will shortly be in a position where the whole issue of forwards would be behind us. I would say in the next few days we should be in a position where the balance of the five would have been put behind us.

“I have tried as much as possible to be consistent on this matter. I don’t make promises I don’t fulfil. The last time I spoke on this matter, I was confident that within one month, we would be more or less out of it and I’m saying again that right now, I think in the course of the next few days, maybe a week and a half, this should be put behind us.”

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The apex bank governor also revealed that Nigeria had attracted $2bn in foreign portfolio inflows this year.

It would be recalled that in an interview in early February, Cardoso had revealed that about $2.4bn of the $7bn foreign exchange backlog he met when he got into office were from non-existing entities, and requests without import documents among other infractions.

“We discovered that of the roughly $7bn, about $2.4bn had issues. We believed that they had no business being there. The infractions ranged from so many things. For example, not having valid import documents and in some cases entities that did not exist and in some cases, account parties who had asked for foreign exchange and got more than they asked for and some that didn’t even ask for any and got. There were a whole load of infractions there,” he said.