'$2.4bn forex claims fictitious' - CBN reveals

The Deputy Governor of Corporate Services at the Central Bank of Nigeria, Mohammed Bello, has stated that about $2.4bn out of the claimed backlog of $7bn forex claims were fictitious.

He said this during the 2024 Law Week event of the Nigerian Bar Association at Garki Branch in Abuja on Monday, April 29, 2024.

According to Bello, after he assumed office, there were lots of demands for clearance of outstanding forex obligations.

He added that this made it necessary that a comprehensive audit of the claims received to determine the genuineness or otherwise of the claims.

He said, “Following the completion of the audit, we discovered that about $2.4bn out of the claimed backlog of $7bn were fictitious. The bank thus took steps to clear the authentic forex backlog that has aided the stabilisation of the naira.

“It is imperative to note further that before this settlement, major foreign airlines operating in the country blocked their low inventory seats due to their inability to repatriate trapped FX inflow.

“It is gratifying to add that the clearing of FX backlog for airlines led to the release of cheaper seats to Nigerians, thereby ameliorating the cost of airfares and reducing the demand for FX and as a consequence, the pressure on the naira.

"The resultant effects of some of these measures are that, this month saw the naira emerge as the best-performing currency globally, which was supported by the bullish sentiments of leading international investment institutions, and the FX market experiencing robust activities with turnover reaching levels not attained in over seven years”.


BEB