According to information released by the Central Bank of Nigeria (CBN), 31 banks have received tranche payments from the CBN to settle outstanding foreign exchange forward obligations.

In order to handle the FX concerns, the apex bank also revealed that it had established foreign exchange frameworks.

Yemi Cardoso, the governor of the CBN, revealed this information on Friday during the bankers’ dinner in Lagos.

“We have already seen improvements in FX market liquidity in recent weeks,” the governor of the CBN stated. “The market responded favorably to tranche payments that were made to 31 banks to clear the backlog of FX forward obligations.”

“We have been thoroughly verifying these payments to make sure that only legitimate transactions are honored. It is reasonable to expect substantial FX liquidity in a well-functioning market, with daily trade potentially exceeding $1.0 billion.

“We believe that foreign exchange reserves can be restored to comparable levels with similar economies if discipline and focused commitment are applied.”