The Central Bank of Nigeria (CBN) has announced that international oil companies (IOCs) can sell their retained 50% of repatriated export proceeds in the Nigerian Foreign Exchange Market.
This decision aims to boost liquidity and promote economic growth. previously, IOCs were required to retain 50% of their export proceeds for 90 days before repatriating or using them to settle financial obligations in Nigeria.
However, the CBN has now clarified that IOCs can sell this retained balance to authorized dealers or eligible users of foreign exchange with eligible transactions.
The bank also listed financial obligations that can be settled with these funds, including cash calls, loan payments, taxes, and education tax. This move is part of the CBN’s ongoing reforms to improve domestic foreign exchange market liquidity.
