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See what MTN, Airtel, others are saying about jobs amid forex scarcity

November 26, 2023
in News
See what MTN, Airtel, others are saying about jobs amid forex scarcity
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MTN, Airtel, Others Sound Alarm Over Impact of Forex Scarcity on Jobs

Telecom operators in Nigeria have warned of the impact that forex scarcity is having on their operationsThey warned that the shortage of FX has a negative impact on the creation of jobs in the sectorThey appeal to the FG to establish a dedicated forex window to support their foreign exchange needs

The Association of Licensed Telecommunications Operators of Nigeria (ALTON) has asserted that the foreign exchange (FX) shortage will have repercussions on employment opportunities within the telecommunications industry.

ALTON conveyed this message during the Nigerian Communications Commission (NCC) interactive session with Dr. Aminu Maida, the newly appointed Executive Vice Chairman and Chief Executive Officer, held in Lagos.

TelcosThe importance of access to forex is paramount for telecom services, given the sector’s reliance on foreign inputs.
Photo credit – IFC, NCC
Source: UGC

Job creation not possible without Forex

Gbenga Adebayo, the Chairman of ALTON, emphasized the significance of access to foreign exchange for the sector, particularly in light of the Federal Government’s aim to generate approximately two million digital jobs by 2025.

Adebayo said:

We have a need for FX. Some of these requests are on your table. We must be in the first line for access to FX, otherwise, all the job creation we are talking about may not be possible if people cannot pay their FX obligation and buy their applications because of scarcity.

Given the sector’s reliance on foreign inputs, access to foreign exchange (FX) is paramount for telecom services.

According to Punch, telecom operators recently requested the establishment of a dedicated forex window to support their foreign exchange needs.

They appealed to the government to collaborate with the Central Bank of Nigeria in implementing intervention measures to bolster the telecommunications sector.

These interventions may include establishing a dedicated forex window tailored for the industry and creating long-term, low-interest infrastructure funding schemes.

Telcos lament scarcity of Forex on operations

In their financial statements, MTN Nigeria and Airtel expressed concerns about the adverse effects of forex scarcity on their operations.

They emphasized that the prolonged forex shortage in the market is affecting their capacity to make prompt payments in foreign currency to their international suppliers.

Source: Legit.ng

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : Legit.ng – https://www.legit.ng/business-economy/technology/1565679-mtn-airtel-raise-concerns-impact-forex-scarcity-job-creation/

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