NACCIMA urges settlement of unmet forex claims

The Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) has expressed appreciation for the Central Bank of Nigeria (CBN) recent announcement on the clearance of a $7 billion forex backlog. However, the association highlights the need to address unmet forex requests that have been delayed, affecting some of its members who have significant funds in naira retained for extended periods. The President of NACCIMA, Dele Oye, sheds more light on the current situation in a recent interview with CNBC Africa. Oye explains that while the initial $7 billion transactions have been processed, there are still outstanding unmet requests totaling approximately $2.4 billion. NACCIMA is collaborating with the Minister of Industry, Trade, and Investment, as well as engaging with the Central Bank and the National Assembly to seek a resolution. Oye emphasizes the importance of resolving these matters amicably to support businesses that rely on the funds held up in forex backlogs. The association has also called for a comprehensive audit of the CBN's backlog payments to address concerns and facilitate transparency in the process. Despite the CBN's claims of clearing all valid outstanding requests, NACCIMA points out that there has been no official communication regarding the status of these requests, whether valid or invalid. Ongoing efforts by the CBN, including hiring Deloitte to investigate the backlogs, indicate a continuing process to review and resolve the remaining forex claims. NACCIMA stresses the significance of ensuring that all parties involved work together to find a suitable resolution that accommodates the needs of businesses and supports economic activities. The association also acknowledges the FX reforms undertaken by the CBN to stabilize the Naira's value and enhance liquidity in the market. While commending the CBN for managing the Naira's depreciation successfully, NACCIMA underscores the importance of policies that incentivize holding the Naira and promote stability in the exchange rate. Oye highlighted that the inconsistency in exchange rates poses a challenge to productive activities and calls for measures to peg the rate effectively, providing certainty for businesses to plan and operate. He proposes strategies to mitigate public spending impacts on the exchange rate, suggesting the use of bonds instead of cash disbursements to governmental bodies for development projects. By addressing these challenges, NACCIMA aims to support a conducive business environment and foster economic growth in Nigeria. The association remains committed to engaging with relevant stakeholders to address the unmet forex claims and promote sustainable economic development in the country.