CBN Uncovers ‘gross abuse’ of Forex Regulations, To Prosecute Defaulters

The Central Bank of Nigeria (CBN) has announced its decision to prosecute forex defaulters in the country. According to Mrs. Sidi Ali, the Acting Director of Communication at the apex bank, a forensic review has uncovered serious infractions, gross abuse, and significant non-compliance with market regulations in the forex exchange sector.

The CBN has engaged an organization to investigate issues related to forex exchange, and it plans to collaborate with relevant agencies to enforce sanctions on individuals and entities found to be in violation during the exercise. This move underscores the central bank’s commitment to maintaining regulatory integrity in the forex market.

The statement read: “The Central Bank of Nigeria in its bid to clear the backlog of outstanding foreign exchange liabilities, has paid approximately $2 billion across various sectors, including manufacturing, aviation, and petroleum.

“The Bank has also cleared up the entire liability of 14 banks and started settlements with foreign airlines.

“The CBN has resolved to sanitise the financial services sector and foster trust among all market participants, as well as internal and external stakeholders in the Nigerian economy.

“Nevertheless, it will continue to settle the legitimate foreign exchange backlog as it has consistently been doing in the last three months.”