Speaking at a meeting with cotton farmers and local textile manufacturers on Tuesday in Abuja, Emefiele said that importers of textile and textile materials would not be able to purchase foreign exchange from banks and bureaux de change as well as other operators in the official foreign exchange market.
He warned commercial banks and Bureau the Change operators to desist from giving importers of textile materials access to foreign exchange.
Emefiele announced that cotton farmers and local textile manufacturers can access financial support from the CBN at a single digit rate.
He told the meeting that the CBN would help the sector to contribute to the nation’s socio-economic development.
He recalled that Nigeria had about 180 textile mills in the early 1970s and 1980s which provided jobs for over 450,000 people, but now the textile mills have closed down, many have lost their jobs and the nation now depends on importation of textiles to meet its growing need for clothing.
According to him, this foreign exchange restriction will help revive the nation’s cotton industry.
Emefiele assured the cotton producers that this would change with the support from the CBN.
He observed that the textile companies in Nigeria are operating below 20 percent of their production capacities with a workforce of about 20,000, and described the intervention by the CBN as timely.
Meanwhile, Emefiele has denied reports in local media that he has been removed from office.
He frowned at the reports and disclosed that his tenure would expire in June this year.