CBN to guarantee Letters of Credit for importers

cbn-governor-godwin-emefiele
BN Governor, Mr. Godwin Emefiele

 

In fulfilment of its pledge to fund forward sales under the new flexible foreign exchange regime, the Central Bank of Nigeria (CBN) has said it will in the next few months fund the 60-day forward sales and request from the agricultural, aviation, machinery and raw materials sectors, thus guaranteeing letters of credit for importers to ship in required goods.

Confirming this in a statement on Wednesday, the Acting Director, Corporate Communications Department of CBN, Isaac Okorafor, said the apex bank would fund the requests from the various sectors in the secondary interbank market, thereby giving a boost to the importation of required goods for the overall development of the economy.

Okorafor said importers in the agricultural sector would be getting the largest allocation of 62 per cent of their requests, while importers of machinery would receive 53 per cent of their requests. Other sectors to receive allotments are the airlines, which will have 32 per cent of their request settled, as well as the importers of raw materials.



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