The Central Bank of Nigeria (CBN) has relaxed the foreign exchange restriction on importing 43 commodities to increase liquidity in the foreign exchange market.
Dr.Isa Andulmumin, director of CBN’s corporate communications division, released the news, saying, “Importers of all the 43 items previously restricted by the 2015 Circular referenced TED/FEM/FPC/GEN/01/010 and its addendums are now allowed to purchase foreign exchange in the Nigerian Foreign Exchange Market.”
To ensure that market forces set exchange rates according to the Willing Buyer – Willing Seller concept, he stated, “The Central Bank of Nigeria (CBN) will continue to promote orderliness and professional conduct by all participants in the Nigerian Foreign Exchange Market.”
“The CBN restates that platforms such as the CBN website, FMDQ, and other recognized or appointed trading systems should reference the prevailing Foreign Exchange (FX) rates to enhance price discovery, transparency, and credibility in the FX rates.
The Central Bank of Nigeria (CBN) will periodically intervene to increase liquidity in the Nigerian Foreign Exchange Market to maintain price stability. These CBN actions will eventually reduce as market liquidity recovers.
The Nigerian Foreign Exchange Market has reopened to importers of all 43 items formerly banned by the 2015 Circular designated TED/FEM/FPC/GEN/01/010 and its appendices.
The Central Bank of Nigeria (CBN) is dedicated to speeding up efforts to clear the FX backlog with existing participants and will keep talking to stakeholders about the problem.
One of the CBN’s primary objectives is creating a unified foreign exchange market. To that end, discussions with market players continue.
Those “Participants and the general public are to be guided by the above.”
Below is the 43 items full list:
4 Palm kernel
5 Palm oil products
6 Vegetable oils
7 Meat and processed meat products
8 Vegetables and processed vegetable products
9 Poultry and processed poultry products
10 Tinned fish in sauce (Geisha)/sardine
11 Cold rolled steel sheets
12 Galvanized steel sheets
13 Roofing sheets
15 Head pans
16 Metal boxes and containers
18 Steel drums
19 Steel pipes
20 Wire rods (deformed and not deformed)
21 Iron rods
22 Reinforcing bars
23 Wire mesh
24 Steel nails
25 Security and razor fencing and poles
26 Wood particle boards and panels
27 Wood fiberboards and panels
28 Plywood boards and panels
29 Wooden doors
31 Glass and glassware
32 Kitchen utensils
34 Tiles-vitrified and ceramic
35 Gas cylinders
36 Woven fabrics
38 Plastic and rubber products
39 Polypropylene granules
40 Cellophane wrappers and bags
41 Soap and cosmetics
42 Tomatoes/tomato pastes
43 Eurobond/foreign currency bond/ share purchases