Good news as UK to accept naira payment from Nigerian businesses

macfranc007 February 09, 2018 Nigeria News today & Breaking news ▷ Read Nigerian newspapers 24/7 Omotayo Yusuf

- The UK government said it would now accept naira from Nigerian business owners

- It said this development is as a result of its envoy's visit to Nigeria

- The UK government said t\this showed the good relationship between the two countries

The British government has said that the UK will now accept naira from Nigerian business owners who make procurement.

The Cable reports that this new policy was released by the UK department of international trade.

The department said that “Nigerian businesses buying British goods or services and taking out a loan in naira from a bank in Nigeria can benefit from the UK government-backed guarantee.”

“UK government will now be able to support finance in naira to Nigerian projects procuring from the UK.

“This can enable businesses to manage foreign exchange risks and, many times, to negotiate better terms with local banks.”

Paul Arkwright who is the British high commissioner to Nigeria said it is a testament of the value the British government placed on Nigeria.

He said: “This is a clear indication of how much value the UK places on its relationship with Nigeria. It will provide a firm foundation for a significant increase in trade and investment between both countries.

“The UK believes that no one intending to transact with British businesses should be hindered by lack of financing. By allowing Nigerian businesses easier access to world-class goods and services, we are supporting both the Nigerian and the British economy.”

Ben Ainsley who is the head of the department for international trade (DIT) explained that the new development is as a result of the UK envoy’s trip to Nigeria in November 2017.

“We are excited to be able to offer Nigerian, as well as British, businesses the ability to enter trade arrangements that are financially feasible for both sides,” he said.

“This was a key issue raised by members of the local business community when the trade envoy was here last November.

“We listed and took this feedback to London. DIT is ready to work with Nigerian businesses to identify potential trade partners across the market.”

“UKEF provides a range of innovative and flexible products, providing up to 85% funding for projects containing a minimum of 20% UK content,” he said.

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“Requests will be assessed on a case by case basis through the UK Department for International Trade, Nigeria and UKEF in London.

“Interested clients are encouraged to contact the UK Department for International Trade in Nigeria for guidance.”

Meanwhile, the Nigerian Naira on Wednesday, February 7, retained its strengthened rate at the parallel market against Dollar.

According to NAIJ.com findings, the local currency maintained the same rate of N363 against Dollar, as it was yesterday, February 6, but appreciated against Euro.

Can N1 ever become $1 again at Forex Market? Watch Nigerians respond to this question on NAIJ.com TV.