The Central Bank of Nigeria (CBN) has officially lifted the foreign exchange restrictions imposed on importers of 43 items nearly a decade ago.
Dr. Isa AbdulMumin, the Director of Corporate Communications at CBN, confirmed this significant shift in the foreign exchange market policy.
This move by the central bank is anticipated to inject more liquidity into the Nigerian Foreign Exchange Market, with interventions expected to decrease as liquidity improves over time. The development marks a pivotal change in policy and is expected to have a positive impact on various sectors of the Nigerian economy.
Initially outlined in a circular issued in June 2015, the CBN had listed 41 items that were ineligible for foreign exchange in the Nigerian currency market. This list was later expanded to encompass 43 items, restricting their access to foreign exchange.
The list of items that were under restriction included commodities like rice, cement, margarine, palm kernel, palm oil products, and various steel and metal products. It also encompassed textiles, wood products, kitchen utensils, and even certain types of bonds and share purchases.
With this recent development, businesses involved in the import of these items can now access foreign exchange, potentially boosting trade and alleviating constraints that had been in place for nearly a decade.
