FX code will stabilise naira, ensure forex market transparency – TMSG

By Abubakar Yunusa

The Tinubu Media Support Group (TMSG) has described the Nigeria Foreign Exchange code (FX code) as the beginning of a new era of regulation in the country’s foreign exchange market.

In a statement on Sunday by Mr Emeka Nwankpa, its Chairman, TMSG maintained that the new regulations would prevent a situation that led the Central Bank of Nigeria (CBN) to launch a forensic audit into the seven billion dollars backlog it inherited.

“We see the Central Bank’s introduction of the new code of ethics to guide operations in Nigeria’s foreign exchange market as long overdue.

“Coming off the back of the end of the free-for-all that bookmarked the era of multiple exchange rate, it is clear the move would enhance transparency and help stabilise the naira.

“Listening to the CBN Governor Olayemi Cardoso speak on the forensic audit of the seven billion dollars backlog, it is obvious that the Nigerian forex environment was replete with unethical practices that the apex bank is no longer prepared to tolerate,” said the group.

It lauded the directive of the CBN governor to bank executives on the bank’s zero tolerance for infractions, saying that any institution that violates the FX code would face decisive sanctions.

“With the signing of the commitment charter by chief executives of banks at the launch of the FX code, we dare say that Nigeria is at the verge of a new era of professionalism and ethical operation in the foreign exchange market.

“It is also not surprising that even before the launch, Nigerians have been witnessing some sanity in recent months in the forex market with the naira becoming more stable, while also appreciating further in the parallel market,” it added.

The group urged the CBN leadership to stay on course in its quest to entrench good governance and restore sanity in the forex market as well as strengthen the naira.