The Central Bank of Nigeria (CBN) stated on Wednesday that it had cleared the $7 billion foreign exchange (FX) backlog inherited by Governor Yemi Cardoso.
The apex bank stated that the achievement fulfills a crucial promise made upon his inauguration and represents a substantial step toward restoring economic confidence.
Mrs Hakama Sidi Ali, Acting Director of Corporate Communications at the CBN, confirmed the settlement of all valid FX backlog claims in a statement issued on Wednesday.
Ali stated that the CBN hired Deloitte Consulting, an independent auditing firm, to thoroughly review the transactions, ensuring that only legal claims were honored.
“Any invalid transactions were referred to the relevant authorities for further investigation,” she went on to say.
The CBN’s commitment to addressing the FX backlog looks to be paying off, with the foreign reserves seeing a notable boost, reaching $34.11 billion on March 7, 2024, the highest level in eight months.
This month-on-month gain is due to a significant increase in remittance contributions from Nigerians living abroad, as well as increasing foreign investment in local assets such as government debt instruments.
The central bank’s efforts are part of a broader approach detailed at the most recent Monetary Policy Committee (MPC) meeting.