CBN disburses $280m to SMEs, BDCs, others
19 April 2017 Business
The Central Bank of Nigeria on Tuesday continued its intervention in the foreign exchange segment of the financial market with the injection of fresh $280m into various sectors of the economy.
The CBN said in a statement by its Acting Director, Corporate Communications Department, Mr. Isaac Okorafor, that it had also commenced the weekly sale of $20,000 to Bureau De Change operators.
The statement said the CBN also on Tuesday opened bids where it offered $100m wholesale, seven to 45 days’ forwards to end-users through the Deposit Money Banks.
A breakdown of the intervention showed that Business Travel Allowance, Personal Travel Allowance, medical bills and tuition received $80m, while the Small and Medium Enterprises window received $100m.
Okorafor said that the new window for SMEs would boost the operations of small businesses through the importation of eligible finished and semi-finished items.
This, he added, would boost forex supply to the retail business segment of the market.
Okorafor further explained that the CBN introduced the use of Form Q for the SMEs to ease the documentation challenges usually encountered by this category of business.
He explained that through the arrangement, the SMEs were allowed to purchase $20,000 per quarter.