CBN eases Restriction on FX Proceeds Repatriation by International Oil Firms

The Central Bank of Nigeria has relaxed its initial restriction on the repatriation of forex proceeds by international oil firms operating in the country.

In a circular dated May 6, 2024 signed by the Director, Trade and Exchange Department, Hassan Mahmud, the apex bank said oil firms can now spend 50% balance of the repatriated export proceeds on financial obligations.

In February, the apex bank had stopped international oil companies from repatriating 100% foreign exchange proceeds to their mother companies overseas at once.

The apex bank had said international oil firms could repatriate 50% of their proceeds in the first instance and then the other half after 90 days.

However, in its new directive, the CBN says following recent enquiries by banks and other stakeholders, the initial 50% of the repatriated proceeds can be pooled immediately or as at when required.