Suggestions




·

Trapped Funds: CBN Releases $265m To Foreign Airlines In Latest Strategic Move

August 26, 2022
by
Trapped Funds: CBN Releases $265m To Foreign Airlines In Latest Strategic Move
Trapped Funds: CBN Releases $265m To Foreign Airlines In Latest Strategic Move

In a strategic move to address the issue of trapped funds belonging to foreign airlines and check the brewing crisis in Nigeria’s aviation sector, the Central Bank of Nigeria (CBN) has released the sum of $265 million  to settle outstanding ticket sales.

A breakdown of the figure released on Friday indicates that the sum of $230 million was given as special Forex intervention while another sum of $35 million was released through the Retail SMIS auction.

Join our WhatsApp Channel

Confirming the release, the Director, Corporate Communications Department at the CBN, Mr. Osita Nwanisobi, said the CBN Governor, Godwin Emefiele, and his team was concerned about the trapped funds controversy and what it portends for the sector and travelers as well as the country in the comity of nations.

Nwanisobi reiterated that the Bank was not against any company repatriating its funds from the country, adding that what the Bank stood for was an orderly exit for those that might be interested in doing so.

Last week’s announcement by the Middle East mega carrier, Emirates Airlines, to suspend flights to Nigeria as a result of the trapped funds controversy has triggered a lot of reactions both within and outside the country and brought to the fore the critical role air transport plays in the economy of any nation.

In a piece entitled, “Foreign Airlines And Their Nigerian Trapped Dollars,” a frontline business e-paper, Prime Business Africa, also took some shot in the matter via the paper’s mouthpiece – the editorial.

With the latest CBN’s release, therefore, it is expected that operators and travellers as well will heave huge sighs of relief, as some airlines had threatened to withdraw their services in the face of unremitted funds for the outstanding sale of tickets.

 

 

 

+ posts

Queen Nwabueze

Related Posts

FG Struggling To Borrow, As Foreign Investors Prefer US, Germany, Others
Previous Story

CSOs To Buhari: Withdraw 4 INEC Nominees, They’re Partisan

#EdoDecides2024: INEC Extends Voting Time In Areas Where It Started Late
Next Story

Civil Society Groups Oppose Buhari’s INEC Nominees In Sokoto, Ebonyi, Enugu, Imo States

Featured Stories

Related Posts

Latest from News

Ford Foundation President Concludes First Official Visit to Nigeria

The President of the Ford Foundation, Heather Gerken, has concluded her first official visit to Nigeria, reaffirming the foundation’s 65-year partnership with the country and its commitment to advancing democracy, human rights and social justice across West Africa. During her visit, Gerken

Kenya to Begin Administering HIV Prevention Drug

Kenya will begin rolling out a new HIV-prevention drug in March, in what health officials have described as a major step forward in the fight against the virus. The drug, lenacapavir, is taken just twice a year and has been shown in
2023 Elections: Governors, Candidates Who Won, Lost At Supreme Court

Ebonyi Governor Eases Curfew After Deadly Attack

The governor of Ebonyi State, Francis Nwifuru, has relaxed a curfew in Amasiri, in Afikpo Local Government Area, following a deadly attack in a neighbouring community. The new curfew now runs from 6pm to 7am, replacing the earlier restriction that kept residents
FG Struggling To Borrow, As Foreign Investors Prefer US, Germany, Others
Previous Story

CSOs To Buhari: Withdraw 4 INEC Nominees, They’re Partisan

#EdoDecides2024: INEC Extends Voting Time In Areas Where It Started Late
Next Story

Civil Society Groups Oppose Buhari’s INEC Nominees In Sokoto, Ebonyi, Enugu, Imo States

Don't Miss

Man Electrocuted While Stealing Transformer Parts In Abia

A man identified as Chinenye Mark from Abaye Ohanze in
Minimum Wage Decision Expected as Nigerian Labour Leaders Await President's Response ABUJA, NIGERIA – The discussions on the new minimum wage between the Federal Government and Organized Labour are anticipated to conclude today, with labour leaders keenly awaiting President Bola Tinubu's verdict on their N250,000 proposal. The Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) had set a Monday deadline for finalizing the new minimum wage talks. Last Friday, the Tripartite Committee on National Minimum Wage concluded its meetings where the Federal Government and the Organized Private Sector agreed on N62,000, while Labour demanded N250,000. However, the Nigeria Governors Forum declared that any minimum wage exceeding N60,000 would be unsustainable. A labour leader who spoke anonymously on Sunday stated, "We have submitted the report to the president and are waiting for him to make his decision. That is the most important thing and that is what we are all waiting for." The labour leaders, including NLC President Joe Ajaero, are currently attending a labour conference organized by the International Labour Organisation in Geneva, Switzerland. The leadership plans to hold a National Executive Council meeting upon their return, where a decision on a potential strike will be made based on the president's feedback. "We must come back from Geneva first before we can hold a NEC meeting. We are also trying to be careful so the government won't say Labour is inciting citizens against it. We are waiting for the president's decision," added another top NLC official. The labour unions, comprising the NLC and TUC, recently embarked on a two-day nationwide strike to demand a new minimum wage and the reversal of the electricity tariff hike. The strike was suspended for five days after a commitment was made with the Federal Government to resume negotiations and establish a new minimum wage within a week. Following a six-hour meeting between labour leaders and the National Assembly in Abuja, President Tinubu directed the finance minister, Wale Edun, to present the cost implications of a new minimum wage within two days. The finance minister, alongside the Minister of Budget and National Planning, Atiku Bagudu, presented the cost implications at the Presidential Villa on Thursday. The president is currently reviewing the proposal and is expected to make an official announcement soon. When asked about the Monday ultimatum, a source within the NLC said, "We have sent a report to the committee and are expecting the president to act on it. We will hold a National Executive Council meeting regarding the ultimatum when we return from Geneva. It is very important for us to be there, but right now, we are patiently waiting for the decision of Mr President." Organized Labour's recent actions underscore the urgency and importance of establishing a new minimum wage for Nigerian workers. The outcome of President Tinubu's decision will be crucial in determining the next steps for both the government and the labour unions. Related News: Atiku claims to have saved Tinubu's political career Debating the appropriate wage for workers Labour criticizes governors for minimum wage stance The labour leaders and the nation await the president's decision, which will significantly impact the economic and social landscape of Nigeria.

Minimum Wage: Deadline Looms As Nigerian Govt Debunks N105,000 Proposal

As the five-day ultimatum given by organized labor for the