The
importers’ and exporters’ (I&E) foreign exchange (FX) window introduced by
the Central Bank of Nigeria (CBN) about four months ago has attracted $4
billion from
foreign investors between April and now, the Bankers’ Committee
disclosed Thursday.
This is a
$1.8 billion growth over the $2.2 billion recorded in June. The window also
posted a single transaction of $240 million on August 1, 2017.
Addressing
reporters in Abuja Thursday at the end of its 34th meeting, the Bankers’
Committee said the economy was on the recovery path and on the verge of exiting
the recession, going by various indicators.
The
Director, Banking Supervision of the CBN, Mr. Ahmed Abdullahi; Managing
Director, Union Bank of Nigeria Plc, Mr. Emeka Emuwa; Managing Director, FSDH,
Mrs. Hamba Amba; and Executive Director, Standard Chartered Bank, Mrs. Mobola
Faleye, addressed the press.
The
committee noted that the FX market has continued to record positive gains, with
the various exchange rates in the market nearing convergence.
Speaking on
the I&E window, Amba recalled that the CBN set up the window in April,
adding: “And it was very interesting that when we were going through the
meeting today (Thursday), the fact was given to us that so far the volume of
the trading that had gone on in that window was about $4 billion and that is
quite a good number.”
“It shows
that the banks have done a lot of rallying. It shows that the banks have been
resilient. It shows that the banks have contributed largely in bringing in FDIs
as much as possible into the market.
“In fact,
there was a single ticket that was done on August 1, a transaction of $240
million. So we think that things will be looking up and we are quite hopeful
that things are going in the right direction,” the FSDH chief executive stated.
She added
that one of the areas that had also given the committee cause for optimism on
the economy was the Purchasing Managers’ Index (PMI), which has consistently
been over 50 in recent months.
“The
Purchasing Managers’ Index is an indicator of the economic health of the
manufacturing sector. The PMI is based on five major indicators: new orders,
inventory levels, production, supplier deliveries, and the employment
environment month after.
“And most of
these indicators have trended up in recent months, indicating that the economy
is on the path of recovery and will exit the recession soon,” she said.
In his
remarks, Emuwa disclosed that the Nigerian lenders would soon commence the
disbursement of N26 billion pooled from banks’ profits after tax in 2015 for
the Agricultural, Small and Medium Enterprises Equity Fund that was launched
late last year.
He said the
Bankers’ Committee also inaugurated the board of the fund, comprising the chief
executives of Zenith, Guaranty Trust, Access, First and Unity Banks.
The board,
Emuwa added, would meet to choose its chairman and urged prospective
beneficiaries to meet their banks for the disbursement guidelines.
He also said
a project committee had been set up, adding that the fund would be disbursed to
beneficiaries in the form of equity and not as loans.
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