LAGOS, June 3 – The Central Bank of Nigeria (CBN) has launched a revised Foreign Exchange Manual aimed at improving transparency, reducing transaction delays and strengthening confidence in the country’s foreign exchange market.
The new framework, which took effect on June 1, is the fourth edition of the manual and the first major update since 2018. It comes after several years of economic changes, including exchange rate reforms, foreign currency shortages and a shift toward a more market-driven FX system.
According to the CBN, the revised manual is designed to provide clearer operating guidelines for banks, businesses, investors and other market participants while supporting ongoing efforts to improve market efficiency.
Among the key changes is an increase in the allowable advance payment for imports from 15 per cent to 30 per cent, giving businesses greater flexibility when paying overseas suppliers. The manual also removes charges on Form NXP processing, the documentation required for export transactions.
In addition, 75 per cent of Personal Travel Allowance and Business Travel Allowance transactions will now be processed electronically, while the remaining 25 per cent may be paid in cash under the revised Bureau de Change guidelines.
The framework introduces provisions covering service exports, technology-related remittances and transactions under the Pan-African Payment and Settlement System. It also creates Non-Resident Investment Accounts and Non-Resident Ordinary Accounts, while allowing foreign firms in the extractive sector to repatriate their export earnings.
Another notable change is the removal of the mandatory Form A requirement for remittances through ordinary domiciliary accounts, a move expected to reduce paperwork and processing delays.
CBN Governor Olayemi Cardoso said the updated manual forms part of broader reforms aimed at improving transparency, market discipline and liquidity. Bank executives and government officials also backed the initiative, describing it as an important step toward creating a more predictable and efficient foreign exchange market.
