In a significant development, the Central Bank of Nigeria (CBN) disbursed an additional $64.44 million yesterday, marking the final settlement of verified foreign exchange (forex) owed to foreign airlines operating in the country. This brings the total disbursements to $136.73 million for verified claims within the sector.
However, the International Air Transport Association (IATA) contested the CBN’s claim, asserting that over $700 million of airlines’ funds remained trapped in commercial banks.
The CBN, through its acting Director of Corporate Communications, Mrs. Hakama Sidi Ali, confirmed the payment in a statement. Mrs. Ali stated, “The CBN Governor, Dr. Olayemi Cardoso, and his team are doubly committed to clearing the entire backlog and restoring confidence in the market. The airline sector payment signifies a major step towards achieving this goal.”
While the CBN expressed optimism that the latest injection of $64 million would positively impact the market, Mrs. Ali cautioned against speculative practices, urging market participants to maintain responsible behavior.
She emphasized the CBN’s dedication to promoting orderliness and professional conduct in the foreign exchange market. Mrs. Ali encouraged Nigerians to support the CBN’s efforts, allowing market forces to naturally determine exchange rates for a more sustainable and efficient system.
However, the International Air Transport Association (IATA) is consulting with its airline members to verify the CBN’s claim of releasing an additional $64.44 million to foreign carriers.
Despite acknowledging the encouraging development, IATA highlighted that approximately $700 million remains blocked with Nigeria’s commercial banks, emphasizing the challenges posed by the devaluation of the Nigerian Naira against the US Dollar.
IATA expressed concern about the delayed funds and the impact on the aviation industry, pledging to monitor the situation closely and collaborate with the government to ensure a conducive environment for Nigeria’s connectivity to international markets.