Abuja - Investigations have revealed that Central Bank of Nigeria allocated $921 352 549 to 17 commercial banks in the country in March in order to meet the foreign exchange demand of their customers.
Forex allocations in the month of March ranged from fuel, machinery and pharmaceuticals imports, all the way down to school fees and personal travelling allowances.
Allocations for the payment of tuition fees overseas were the most numerous items.
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Also, other invisibles such as business and personal travel allowances, repatriation of capital, and divestment by foreign portfolio investors from the equities and bond markets accounted for a large chunk of forex purchases, in terms of volume.
A top bank official explained that the returns were not in any way reflective of total demand by the banks on behalf of their customers, saying that what the central bank was trying to address were the backlog of forex demand.
- News 24