CBN to Sanction Banks Denying Forex Access to SMEs

• CBN to Sanction Banks Denying Forex Access to SMEs

The Central Bank (CBN) threatened on Friday to sanction banks denying Small and Medium Enterprises (SMEs) access to foreign exchange (Forex) from the newly instituted SMEs Forex Window.

The window which opened about two weeks ago is designed to help SMEs import eligible finished and semi-finished items not exceeding $20,000 for an enterprise per quarter.

Speaking on the sideline of the ongoing IMF/ World Bank Spring Meetings in Washington, CBN Acting Director, Corporate Communications, Isaac Okorafor, said appropriate sanctions are spelt out by the CBN Act and the Banks and Other Financial Institutions Act (BOFIA).

He said staff and even chief executives of banks could be punished where necessary.

The CBN spokesman said the apex bank has already received series of complaints from bank customers, especially those that operate in the SMEs segment of the market that banks are frustrating their efforts at getting forex.

Okorafor said some entrepreneurs still complain that banks are frustrating their efforts at obtaining forex for their eligible imports after the stipulated 48 hours.

He said the regulator has reviewed the complaints and discovered they are not evidence-based.

He appealed to bank customers and the SMEs to “please give us concrete evidence against these banks so that we can hold them responsible by way of sanctions.”

He added: “Get a photocopy of your Form Q, Form X, Form A or Form M. Give us the name of the bank, branch and send to us and we will deal with them as example to others.

“The only way we can make things better for Nigerians is for them to call the CBN whenever they are in trouble or whenever, or are getting frustrated by banks.

“We have a number you can call or you send an email to our Consumer Protection Department. We want to urge everyone who is frustrated by banks to call and lay complaints. We assure you that you will get redress.”