CBN Restates Commitment to Meet Legitimate Forex Demands

•Refutes reports on withdrawal of ‘Form A’ discounted rate

James Emejo

The Central Bank of Nigeria (CBN) yesterday reiterated its resolve to meet all legitimate demands for foreign exchange in the country.

The central bank also faulted reports in the media suggesting that it planned to withdraw the “Form A” Discounted rate with effect from December 31, 2022, and suggesting that payments of overseas tuition fees from Nigeria will cost more from January 2023.

The bank’s clarification came against the backdrop of reports which quoted a tertiary institution in the United Kingdom as claiming that Nigeria had withdrawn the Central Bank “Form A discounted rate” in order to encourage more funds to remain within the Nigerian economy.

However, CBN Director, Corporate Communications Department, Mr. Osita Nwanisobi, in a statement said the apex bank had not issued such a policy, and cautioned concerned parents and students to disregard any advisory to pay up as much portion of their outstanding fees as possible, through Flywire, prior to December 31, 2022.

The UK institution’s advisory purportedly urged new and returning students from Nigeria, “to take advantage of the Central Bank Form A discounted rate while this is still available.”

Nwanisobi described the report and advisory as false, misleading and speculative.

The apex bank also reminded all stakeholders that front-loading for both visible goods and invisible was contrary to the provisions of extant regulations adding that the bank would continue to meet all legitimate demands for foreign exchange.

Nwanisobi urged all authorised dealers to ensure that payments for tuition outside Nigeria were made no earlier than 30 days prior to the due date, even as he charged them to put in place measures to forestall abuse.

A Manchester-based university was purported to have issued an advisory urging students whose tuition was paid from Nigeria to pay up as much portion of their outstanding fees as possible, through Flywire, prior to December 31, 2022.

The advisory was premised on speculations that the central bank planned to withdraw the “Form A” discounted rate in order to encourage more funds to remain within the Nigerian economy.