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CBN warns banks, BDCs against selling forex to rice importers, others

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The Central Bank of Nigeria, CBN, has again warned Deposit Money Banks and Bureau de Change operators against selling foreign exchange to importers of rice and the other 40 items banned from the forex market last week.

The apex bank, in a circular issued yesterday said that the directive must be strictly adhered to an that sanctions would be meted to anyone found selling forex to importers of any of the listed items.

  Signed by the Director of Trade and Exchange, Mr. Olakanmi Gbadamosi, the circular with reference number: TED/FEM/FPC/GEN/01/011, said that no segment of the forex market can be accessed by importers of the items considered “not valid for foreign exchange”.
  It read in full: Further to the Circular Ref. No. TEDjFEMjFPCjGENjOlj010 of June -23, 2015, on the above subject, Authorized Dealers and the general public are hereby notified of the following clarifications.
  “The Central Bank of Nigeria wishes to reiterate that those items which have already been classified as “Not Valid for Forex” cannot be funded at the interbank, from proceeds of exports and Bureaux de Change sources.
  “Consequently, Authorised Dealers are enjoined to ensure that these items are funded from sources outside all the segments of the Nigerian foreign exchange markets.
  “For the avoidance of doubt, any Authorized Dealer that is found to have used funds from the interbank, exports proceeds and bureau de change sources to consummate these items classified as ‘Not Valid for Forex’ shall be sanctioned appropriately.”
 
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