Manufacturers Association
of Nigeria, MAN, has again raised
alarm over the negative impact of
the forex policy of the Central Bank
of Nigeria, CBN, stressing that it is
killing domestic manufacturing
Also, the CBN says autonomous
sources such as exporters and
correspondent banks now control
the price of dollars in banks and
the Bureau de Change, BDC,
MAN, which calls for change
of these diabolical policies,
especially some items from the
foreign exchange restriction list,
said the affected manufacturers
would soon run short of stock of
those inputs and be forced to shut
down with the attendant social
implication of massive job losses.
The President of MAN, Mr
Frank Udemba, regretted that
some of the 41 items in the list
were essential raw materials for
many manufacturers across key
sectors, and could not be presently
sourced locally.
“Information reaching me from
our members is that by the end of
March, many of those companies
will start closing shop, leading to
massive job losses.
“The 41 items involve a
lot of things such that when
broken down into the Customs
Harmonised Service (HS) Codes,
you have a total of 680 products.
“Based on our analysis, 95 out
of the 680 products are essential
industrial raw materials for our
members but cannot be sourced
in this country for now,’’ Udemba
He said the association had
tabled its concerns before the CBN
and requested for the removal of
the 95 items from the list, at least
for the time being.
“We are saying they should
allocate Forex to our members to
import those 95 items pending
when local substitutes can be
created for them. They can give us
a time frame of between 18 months
and two years to develop the local
product capacity for the items
before including them in the list,”
he said, stressing that it would give
members and other investors time
to invest in backward integration
projects for those raw materials.
It would be recalled that the
CBN issued a circular in June 2015,
excluding importers of 41 products
from accessing foreign exchange at
the official Forex markets.
The apex bank said the policy
was part of measures to preserve
the country’s depleting external
reserves and protect local
Meanwhile, the CBN said the
Naira, which changed for N373
to a dollar and N505 to pound
sterling yesterday in Abuja, was
beyond its control.
The Director, Corporate
Communications, Mr Mu’azu
Ibrahim, said this yesterday,
noting that although the price of
Naira remained stable at N197 to
a dollar and N284.1 to a pound
sterling at the interbank market,
it was hovering at the parallel
Ibrahim said customers would
also find Forex expensive in the
banks or while using their debit
cards abroad because the Forex
got by banks from the CBN was
not sufficient for all transactions.
He explained that for this reason,
banks reserved the Forex they got
for developmental transactions,
especially to manufacturers
looking to import necessary
materials to aid the real sectors of
the economy.
Ibrahim said although the CBN
had not put a ban on accessing
Forex for school fees or medicals, it
was not a priority, so banks might
use their discretion to allocate or
not to allocate Forex for such

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