ABCON hails govt’s plan to discuss JP Morgan’s return

THE Association of Bureaux De Change Operators of Nigeria (ABCON) has said the Federal Government’s plans to open talks with Jpmorgan Chase & Co. for their reinstatement in the local-currency emerging-market bond index will bring great benefits to the economy.

ABCON President, Alhaji Aminu Gwadabe, told newsmen in Lagos that their return to Nigerian market will lead to improved foreign exchange (forex) inflows and boost apex bank’s chances of achieving its $60 billion foreign reserves target in 2018 in spite of any shock in oil market this year, He praised the Federal Government’s plans to begin talks with JP Morgan about being included in its government bond index for emerging markets. Naira securities were removed from the JP Morgan Index in 2015 because of foreign-currency shortages.

The ABCON boss said such return will also enable Nigeria benefit from the $20 billion overseas investment planned by the US bank which will see it raise wages, hire more, and open new branches in emerging market countries.

Gwadabe said: “I want to use this opportunity to congratulate the CBN and the Federal Government on the good news of JP Morgan renewed interest on Nigerian bond market which will enhance investors’ confidence on our economy.

The CBN has brought stability in the forex market by making dollar available to genuine forex users especially at the retail-end of the market. That has ended volatility in the market and boosted the confidence of foreign investors in the local economy”.

He also praised the CBN for introducing the Investor’ and Exporters’ (I&E) Forex Window which has since April 2017 attracted over $27.8 billion in turnover into the economy and brought about transparency as well as stability in the forex market.

The ABCON boss said the U.S. bank’s return to Nigeria will enable the government access needed funds for infrastructural developments in the economy and urged the CBN to explore the opportunity in reducing the multiple exchange rates and create more confidence for foreign investors.