Cbn readmits suspended banks forex market
A very specific and timely topic!
CBN readmits suspended banks to forex market
The Central Bank of Nigeria (CBN) has readmitted 12 suspended banks to the foreign exchange (forex) market, effective from March 22, 2023. This decision was announced by the CBN Governor, Godwin Emefiele, during a press conference in Abuja.
The 12 banks that were previously suspended from the forex market due to non-compliance with CBN's regulations and guidelines have been given a second chance to operate in the market. The banks are:
- Access Bank Plc
- First Bank of Nigeria Limited
- Guaranty Trust Bank Plc
- United Bank for Africa Plc
- Zenith Bank Plc
- Stanbic IBTC Bank Plc
- Fidelity Bank Plc
- Ecobank Nigeria Limited
- Union Bank of Nigeria Plc
- Keystone Bank Limited
- Sterling Bank Plc
- Wema Bank Plc
The CBN Governor emphasized that the readmission of the banks is subject to certain conditions, including:
- Compliance with CBN's regulations and guidelines
- Maintenance of adequate liquidity and capital adequacy ratios
- Implementation of effective risk management systems
- Provision of regular reports and updates to the CBN
The CBN's decision to readmit the suspended banks is expected to boost liquidity in the forex market, improve access to foreign exchange for importers and exporters, and enhance the overall stability of the Nigerian economy.
It's worth noting that the CBN has been taking steps to reform the forex market and improve its efficiency, including the introduction of the Investors and Exporters (I&E) window, which allows for the trading of foreign exchange at market-determined rates.