By Francis Ogwo
From January 31,2021, all Nigerian exporters who are yet to repatriate their export proceeds will be prohibited from banking services.The Central Bank of Nigeria( CBN) warns.
Reports revealed that the apex bank had in an earlier circular warned that failure to repatriate exports within 90 days for oil and gas and 180 days for non-oil exports constitute a breach of the extant regulation.
Experts say the directive is part of a monetary control mechanism by policymaker to maintain relative stability in the exchange rate, especially after the pandemic created a wide disparity between the official exchange and the parallel market rates, eliminating incidences of over-invoicing, transfer pricing, double handling charges, etc.
In view of this, all concerned exporters are urged to comply with the directive before the specified date.
According to Bloomberg sources, the new directive applies to exports up until June last year.
The Central Bank of Nigeria had earlier instructed authorised dealers and exporters to only open forms M for letters of credit, bills for collection and other forms of payment
This was a move toward ensuring judicious use of foreign exchange resources,