CBN Halts Export Proceeds Repatriation Extensions

CBN Halts Export Proceeds Repatriation Extensions

The Central Bank of Nigeria (CBN) has announced an immediate suspension of approvals for the extension of export proceeds repatriation for both oil and non-oil export transactions.

This directive, issued through a circular dated January 8, 2025, is aimed at ensuring strict compliance with existing foreign exchange regulations.

The circular, signed by W.J. Kanya, Acting Director of the CBN’s Trade & Exchange Department, cites provisions from the Foreign Exchange Manual (Revised Edition, March 2018)—specifically Memorandum 10A (23a) and Memorandum 10B (20a)—as the foundation for the decision.

Key Provisions of the Directive

No Extensions Granted:

“With effect from the date of this circular, the Central Bank of Nigeria will no longer approve requests for extension of repatriation of export proceeds by Authorized Dealers on behalf of their customers.”

Mandatory Repatriation Timelines:

Non-Oil Exports: Proceeds must be repatriated and credited into exporters’ domiciliary accounts within 180 days from the bill of lading date.

Oil & Gas Exports: Proceeds must be repatriated within 90 days of the bill of lading date.

This move underscores the CBN’s commitment to tightening foreign exchange management and promoting transparency in export transactions. Exporters are expected to adhere strictly to these timelines to avoid regulatory sanctions.