Nigeria's Central Bank (the "CBN") aims to increase the country's foreign reserves by $200 billion in FX earnings from non-oil proceeds over the next (5) five years under a new export proceeds repatriation scheme. The rebate scheme is similar to an earlier Naira4Dollar scheme introduced by the CBN for diaspora remittances, under which recipients of diaspora remittances through CBN's International Money Transfer Operators are to be paid N5 for every $1 received as remittance inflow.

Under the new rebate scheme, the CBN has committed to providing some financial incentives to:

  • Nigerian exporters1 of semi-finished and finished goods (manufactured in Nigeria), who sell their export proceeds at the Importers & Exporters (I&E) Window; or
  • Nigerian exporters of good and services (information technology & creative businesses) that are permissible under the export prohibition list

What are the incentives/rebates?

  • N65 for every US$1 dollar repatriated and sold at the I&E Window to Authorised Dealer Banks for other third party use
  • N35 for every US$1 repatriated and sold at the I & E Window for own use on eligible transactions only. The spread, however, would not be more than 10 Kobo.

The incentives are to be paid on a quarterly basis not later than 1 (one) week after the end of the quarter.

What is the Importer & Exporter Window?

The Importers and Exporters Window is a special Forex trading window introduced by the CBN in 2017 that allows investors, exporters and other end users to trade their FX at market determined exchange rate rather than at a rate fixed by the CBN. Under this structure, an Authorised Dealer Bank buys FX inflows from its customers at the I&E market rate. However, the source of funds must be an inflow and not cash deposit. Participants have the benefit of quoting their selling rate on a willing buyer and willing seller basis.

It's important to note that the the CBN does not set the rates in this market. However, the scheme is administered by the Trade & Exchange Department of the CBN and the CBN may freely intervene from time to time as a buyer or seller. Additionally, the list of transactions underpinning sale of FX in this market are limited to bills for collection, loan repayments, dividend/income remittances, capital repatriation, technology transfer agreements, consultancy fees, software subscription fees and management service fees. International Airline and Ticket Sales Remittances are excluded.


1. Qualifying exporters must be registered with the Nigerian Export Promotion Council to qualify for the rebates

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