Prior approval is no longer required for the importation of foreign capital. The Foreign Exchange (Monitoring and Miscellaneous Provisions) Decree, 1995, provides in Section 15(1) thereof that "any person may invest in any enterprise or security with foreign currency or capital imported into Nigeria through an Authorised Dealer (which includes any licensed bank) either by telegraphic transfer, cheques or other negotiable instruments and converted into the naira in the (Autonomous Foreign Exchange) Market in accordance with the provisions of the Decree. However, the Authorised Dealer (or bank), through which the foreign currency or capital for the investment is imported, is required by Section 15(2) of the Decree to issue within twenty-four hours of the importation, a Certificate of Capital Importation to the investor and within forty-eight hours thereafter to make returns to the Central Bank of Nigeria giving such information as the Central Bank may from time to time require regarding such foreign capital importation.
This article is intended to provide a general guide to the subject matter and should NOT be treated as legal advice. Specific legal advice should be sought by you about your particular case and special circumstances.
For further information/enquiries, please contact Patrick Abuka on Tel: (234)1-263 4656, 1-263 3024, 1-263 1708, 1-263 3512, 1-263 5115, 1-263 4553 or Fax No: (234) 1-263 1687, 1-263 5189
You may also wish to read through related material on 'Legal Aspects of Investing in Nigeria' provided by Abuka, Ajegbo, Ilogu & Nwaogu. You can view the entire archive via the Internet on Business Monitor Online (http://www.mondaq.com), or via your online provider by entering "Abuka, Ajegbo, Ilogu & Nwaogu" and "Business Monitor" as a free text search.