CBN bars importers of rice, cosmetics, other items from forex market

FELIX OLOYEDE

The Central Bank of Nigeria (CBN) has disclosed that it will no longer allow those who to purchase of Eurobonds, foreign currency bonds and shares to access the interbank currency market for foreign exchange.

The apex also in a circular posted in its website stated that forex would not be sold to importers of other 39 items as part of its latest measure to preserve the country’s foreign reserve.

In the circular signed by its Director, Trade and Exchange, Olakanmi Gbadamosi, the CBN listed 40 items that are not valid for forex in the interbank market, they include: rice, cement, private jets, a wide range of other construction materials, plastic and rubber products, cosmetics etc.

“The implementation of the policy will help conserve foreign reserves as well as facilitate the resuscitation of domestic industries and improve employment generation,” the circular read.

The apex bank asserted that those who want to import these items which were not banned have to source for their foreign exchange outside the interbank market.

The CBN has taken different measures aimed at strengthening the country’s currency that has shed over 8 per cent of its value this year alone.

The regulator had earlier this week met with banks chiefs to fashion out ways of further strengthening the forex market, although the out of the meeting was not made public.

It would be recalled that the apex had in February closed the Retail Dutch Auction System (rDAS) and Wholesale Dutch Auction System (wDAS) and directed all that are need of forex route their demands through the interbank market.