CBN launches FX manual, grants extractive firms full proceeds access
Central Bank of Nigeria Unveils New Foreign Exchange Manual
By Emma Ujah, Abuja Bureau Chief
ABUJA — The Central Bank of Nigeria (CBN) has introduced the Fourth Edition of its Foreign Exchange Manual, granting foreign companies in the extractive sector complete access to their export proceeds.
Launched today by CBN Governor Olayemi Cardoso in Abuja, the updated manual also increases the allowable advance payment for imports from 15% to 30%. This new framework will take effect on June 1, 2026.
During the launch, Cardoso emphasized that the manual aims to enhance Nigeria’s macroeconomic foundations, bolster transparency, and boost confidence in the foreign exchange market. He described the manual as a crucial reference for participants, stating it harmonizes procedures and standardizes market practices.
“In today’s global environment—marked by volatility and rapid technological change—maintaining the integrity of our foreign exchange governance is essential,” Cardoso asserted. He noted that recent economic dynamics necessitate the evolution of regulatory systems to uphold investor confidence and market behavior.
The governor highlighted that the last edition of the manual was published in 2018, making this revision timely. “This Fourth Edition is the result of extensive consultation and rigorous technical review, aligned with international best practices,” he said.
According to Cardoso, the successful implementation of this new manual will rely heavily on the commitment of multiple stakeholders, including Authorized Dealer Banks, exporters, and the broader private sector. He stressed the importance of adherence to the manual, saying, “Your cooperation is indispensable to ensure the stability and credibility of the Nigerian foreign exchange market.”
To facilitate its adoption, the CBN will provide the manual at no cost to Authorized Dealers, prioritizing compliance over cost recovery. The bank also plans to enhance monitoring to maintain consistency and accountability across the system.
In remarks delivered by CBN Deputy Governor for Economic Policy Dr. Muhammad Abdullahi, he noted that the review of the manual was part of a comprehensive reform agenda initiated by the governor to restore confidence and improve transparency in the foreign exchange market.
Abdullahi stated that the revised manual reflects operational realities and addresses practical challenges facing market participants. “Our goal is to reduce transaction friction, improve processing timelines, and create a more seamless experience for legitimate users of Nigeria’s foreign exchange market,” he said.
In a show of support, Mr. Oliver Alawuba, Chairman of the Body of Banks Managing Directors and CEO of United Bank for Africa, affirmed the banks’ commitment to implementing the new provisions. He acknowledged the extensive consultations conducted by the CBN before finalizing the manual.
For further details, visit the CBN’s official announcement or related media coverage.
