• Apex bank says dollar deals illegal
• Regulator moves against circulation of dirty notes
• Second deadline on diaspora’s BVN registration nears
The Central Bank of Nigeria (CBN) is not yet ready to unveil the details of the newly adopted flexible exchange rate system.Besides, the apex bank has reiterated that it is unconstitutional for anyone to transact or request for transactions purposes in the country, any currency other than the naira and called on the public to report such activities to its Consumer Protection Department.
The bank’s Acting Director of Corporate Communications Department, Isaac Okorafor, who made these disclosures at a one-day interactive enlightenment session with stakeholders in Lagos at the weekend, said the flexible exchange rate policy had been adopted, but its details would be made public very soon.
According to him, until the unveiling of the details, those who demanded the foreign exchange only need to exercise little patience for the prioritisation of the available ones at the official exchange rate of N197.
Already, the President of Time Economics, Dr. Ogho Okiti, said notwithstanding the delay in the release of the new policy details, its introduction would help check some of the structural imbalances and provide “mitigating responses to the combination of internal and external shocks facing the economy.”
Okorafor noted that the CBN was very much abreast of the foreign exchange issue and with the new policy, it would soon be resolved.He lamented that it is only in Nigeria that people flout processes and walk away free, especially as regards the country’s legal tender, a development which has aggravated the foreign exchange challenges through speculations.
“You cannot do transactions in South Africa, Ghana and many other African countries except with their currencies, because it is unlawful to do otherwise,” adding that we take many things for granted here, but end up creating problems for ourselves.
He said that the CBN was re-strategising against the unending complaints about dirty notes in the banking system, while clean ones are being hawked during parties.
Meanwhile, the second deadline for voluntary compliance to the Bank Verification Number (BVN) project by Nigerians in Diaspora will end on June 30.
The registration, currently administered by two companies- Online Integrated Solutions and VFS Global Website, is ongoing in 16 countries and 27 centres.
While noting that CBN is not a security agency that is charged with the duty of apprehending lawbreakers, he absolved his staff of complicity in the circulation of dirty notes as they all know that the offence attracts a summary sanction.
He, however, said that banks had a lot to explain about the dirty notes and the availability of clean ones in the hands of hawkers. He said that the CBN does not charge banks for the return of unfit currencies, because it is their duties to do so, but only charge them if they fail to sort the unfit notes, when they deposit cash with the apex bank.
“Yes, we charge banks N12, 000 for every N10 million bundle of unfit notes that are not sorted, because we will employ those that will do it for them. We also realised that instead of them sorting the unfit notes or risking the charge for not sorting it, they recycle the dirty notes. But now, we will face them with regard to the recycling of unfit notes,” he said.
A frontline labour activist, Isa Aremu, said that Labour is aligned with CBN over the non-devaluation proposition to avert the lot of the country’s fixed income earners and the economy that is characterised by low export getting worse.
According to him, many development financing options for small business, which are necessary for their growth, are not well known and asked for increased awareness.
He also said that a situation where banks put the costs of their operations only on workers should be discouraged, as the incessant lay-offs from the sector are now causes for concern.
