50,000 employees sacked in Abuja in the last 2 months – ACCI

50,000 employees sacked in Abuja in the last 2 months - ACCI

50,000 employees sacked in Abuja in the last 2 months - ACCI

50,000 employees sacked in Abuja in the last 2 months – ACCI

Scarcity of forex for importation of raw materials by local industries is negatively affecting the market as over 50,000 employees have actually lost their works in Abuja in the last 2 months. The President, Abuja Chamber of Commerce and Industry, Mr. Tony Ejinkeonye, confirmed the job losses in a special interview in Abuja.

Likewise, the President, Manufacturers Association of Nigeria, Mr. Frank Jacobs, stated that about 10 companies had actually officially informed the association about their intent to close down operations before the end of this month.

Ejinkeonye said that except something urgent was done by the Federal Government to take care of the forex exchange trouble, more people could possibly lose their jobs. “Currently, in Abuja, we have about 50,000 workers that have actually lost their jobs in the last two months. I must confess this is not the best time for the manufacturing sector,” he claimed.

He claimed majority of manufacturers operating in Abuja could no longer access fx to import resources, adding that those who managed to obtain forex from the black market could possibly not sell their items as consumers could possibly not pay the high costs. He claimed, “As producers and industrialists, the shortage of fx has actually affected us in the area of resources that should be imported. We could not access fx any longer to import raw products.

“Likewise, upkeep of several of these centers has come to be a problem because the spare parts have to be imported and the failure to get fx to import them has actually affected adversely on our operations.

“Several of our members that are manufacturers have even gone to the extreme of withdrawing their products from the marketplace and need to increase their prices to show the high international exchange rate. Numerous of us are having the issue of maintaining our workers because the manufacturing is being interfered with by absence of basic materials.”.

The ACCI president said the scenario had actually come to be so bad that also large manufacturing companies such as Unilever Nigeria Plc, Dangote Cement, Air France and Emirate Airlines were having issue getting foreign exchange. He emphasized the need for the Federal Government to come up with an extensive technique that would certainly take care of the problem. He said, “There is a need for government to do something quickly and stop living in denial. The Central Bank of Nigeria and the Ministry of Finance should come out and state something that would certainly move us out of this forex dilemma.

“Things are actually bad. As I’m speaking with you now, Unilever, Dangote Cement and our various other participants are crying. A lot of companies have additionally intimidated to lay off employees. If something immediate is not done within the following Thirty Days by the government to resolve this, you will see companies like Dangote and Unilever Nigeria sacking several of their workers.”.

Ejinkeonye added, “Airline companies like Air France and Emirates are really having quite serious problems currently in reclaiming their foreign revenues.”.

The Manufacturers Association of Nigeria president stated about 10 companies had suggested its plan to close shop before the end of the month. He stated with each of these companies utilizing a standard of 200 people, a total amount of 2,000 employees would certainly be affected if they chose to close down their operations. He stated, “A number of our companies have officially written to us that they are going to close shop. Presently, we have about 10 companies that have actually written us telling us that they are losing raw products which by the end of this month, they could shut down. “We do understand that it is going to be much more before the end of the first quarter of the year due to the fact that many of them that have basic materials that cannot replenish them are likely to shut down.”.

Mr. Frank Jacobs called on the government to take another look at the ban on 41 products from accessing the forex from the official window, specifically items considered crucial raw materials for manufacturing. He claimed, “Lots of companies that have actually made an application for fx for even those things that are not on the 41 ban list are finding it challenging to access forex from the central bank. So, we are calling on the CBN to make foreign exchange readily available for important raw materials to be used by manufacturers.”

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