ANNOUNCEMENT 06 Jul 2015

In July 2015, the government of Nigeria announced a change in the private sector requirements to balance imports and exports.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE



Central Bank of Nigeria, Banking and Payment Systems Department, 6 July 2015, 'Circular on the Implementation of Controls on Naira Denominated Card Transactions Consumated Overseas', Circular reference no. BPSD/DIR/GEN/CIR/02/005: http://www.cenbank.org/Out/2015/BPSD/Circular%20on%20The%20Implementation%20of%20Controls%20on%20Naira%20Denominated%20Card%20Transactions%20Consumated%20Overseas.pdf

Tony Chukwunyem, 7 July 2015, 'CBN restricts use of naira denominated cards', New Telegraph: http://newtelegraphonline.com/cbn-restricts-use-of-naira-denominated-cards/


Inception date: 06 Jul 2015 | Removal date: open ended

Controls on commercial transactions and investment instruments

On 6 July 2015, the Central Bank of Nigeria (CBN) further curbed access to foreign currency. In a circular by the Director of the Banking and Payment Systems Department, card issuing banks are subjected to the following four restrictions:

  • The use of Naira denominated corporate credit and debit cards for the use of cross-border payments is prohibited. Companies are advised to acquire foreign currency denominated cards.
  • Banks have to submit reports on Naira-denominated card transactions consummated overseas to the Nigeria Inter-Bank Settlement System (NIBSS).
  • The banking system has implemented a tracking system on the abroad use of Naira denominated cards.
  • Banks should educate their customers regarding foreign currency transfers with cards as violators will be sanctioned.

 
See Related Measures for preceding restrictions on the abroad use of Naira denominated cards.

AFFECTED SECTORS

 
N/A

AFFECTED PRODUCTS

 
N/A