Prevail on CBN to prioritize allocation of forex —MAN tells Tinubu

COMFORT EKELEME

The Manufacturers Association of Nigeria (MAN) has called on the President Bola Ahmed Tinubu to prevail upon the Central Bank of Nigeria (CBN) to take effective action to give priority to the allocations of foreign exchange to the productive sector.

This is coming on the heels of the decision of the new President Bola Tinubu to put in place a unified exchange rate regime.

MAN said attention should be paid particularly to manufacturers to import raw materials, spares, and machinery that are not locally available.

Director General of MAN, Segun Ajayi-Kadir in statement also urged the federal government to direct the Nigerian Electricity Regulatory Commission (NERC) to admit all qualified applicant companies into the Eligible Customer Scheme in order to allow them access to power as stipulated in the Electric Power Sector Reform Act 2005.

He said, there is the need to direct all relevant agencies of government to ensure that the electronic call-up system at ports aimed at redressing the congestion works without fail.

According to him, the present administration should revisit the Finance Bill 2022 to ensure it includes the critical inputs of the organized private sector.

He said the government should, “In particular, the jettisoning of the highly objectionable removal of the 10per cent investment allowance on the acquisition of plants & machinery (in the Company Income Tax Act, section 32).

“Additionally, to ensure that the imposition of the 0.5per cent levy on eligible imports from third countries is limited to goods that we have the capacity to produce locally and quite importantly, exclude raw materials that are not locally available. The input of the Organised Private Sector on the CEMA bill should also be taken on board before the amendment bill is signed into law.

“Announce a special policy initiative to address the revival of closed and distressed industries, particularly in the northeast where 60per cent of our member companies have closed.

“Craft and announce a special policy initiative to leverage diaspora expertise and investment to address evident gaps and help to boost the performance of the economy,” Ajayi-Kadir said.

The MAN DG however, called on the new administration to direct all Ministries, Departments, and Agencies (MDAs) of government to unfailingly comply with Executive Order 003 on the patronage of made-in-Nigeria products.

In this regard, he said, there should be strict application of the margin of preference, effective monitoring and periodic evaluation of compliance, and appropriate sanctions meted out to MDAs acting in breach of the executive order.

He equally urged the government to announce a special policy initiative to derisk manufacturing and release adequate funding for the sector through effective funding of special lending windows.

Ajayi- Kadri affirmed that change in administration is usually greeted with expectations and as an advocacy group, MAN surely look forward to a number of policy changes and decisions.