Post by Trade Forum on May 14, 2022 16:52:03 GMT 1
Do You Want To Earn N65 For Every $1 Of Your Non-Oil Exports? This Is What You Need To Do.
Some people are wondering why the Central Bank of Nigeria (CBN) is currently paying some non-oil exporters but not themselves even as they too are non-oil exporters.
First off, we need to understand the meaning of Investors and Exporters (I&E) Window.
Introduction:
According to the Central Bank of Nigeria (CBN), in a continuing effort to deepen the foreign exchange (FX) market and accommodate all FX obligations, the bank hereby announces a special window for investors, Exporters & End-users (herein referred to as the “Investors & Exporters’ FX Window” or the Window”). The purpose of this window is to boost liquidity in the FX market and ensure timely execution and settlement for eligible transactions.
Permitted Transactions:
Transactions eligible to access the window include:
a) Invisible Transactions (excluding International Airline Ticket Sales’ remittances) – Loan Repayments, Loan Interest Payments, Dividends/Income Remittances, Capital Repatriation, Management Services Fees, Software Subscription Fees, Technology Transfer Agreements, Personal Home Remittances, and any such other eligible invisible transactions including ‘miscellaneous Payments’ as detailed under Memorandum 15 of the CBN Foreign Exchange Manual.
The above explains why the CBN established the Window. The CBN also announced that the first set of payments will start in the month of April 2022. The Apex bank announced that the first set of payments for the CBN RT200 rebate scheme would commence in April 2022.
Therefore, let uncover the main reason why the CBN introduced the policy. According to the CBN, the rebate policy was made to act as a substantial incentive to get Nigeria’s goal of realizing the repatriation of US$200 billion in Foreign Exchange (FX) exclusively from non-oil exports over the next 3-5 years.
The Apex bank claimed that the scheme was pushed because of the success achieved with the Naira 4 Dollar Scheme initially promoted.
You can remember that on March 8th, 2021, the Naira 4 Dollar Scheme was launched by the CBN; the scheme was intended to help boost the inflow of foreign exchange into the country from diaspora remittances.
The scheme works this way:
For every one dollar ($1) a person sends to Nigeria through licensed International Money Transfer Operator (IMTO), the CBN offers the person a N5 reward.
Therefore, if you send in $1,000 from abroad, through any licensed International Money Transfer Operator (IMTO), the CBN just credits you automatically with N5,000 (N5 X 1,000). You just earn that by remitting FX to your country.
The CBN claimed that the policy was a huge success as it stated that within the first anniversary of the initiative that diaspora remittances have surged by 1,667% from $6 million to $100 million weekly. This is an impressive result indeed from the policy.
Following the impressive result gotten from the Naira 4 Dollar, the CBN moved the scheme from IMTOs to the IFEX Window in February 2022. From the guidelines issued by the CBN, for every US Dollar repatriated and sold at the Investors and Exporters Window, a payment of N65 will automatically be credited to the remitter’s account.
You can imagine a situation where an eligible participant brings $100,000 through the IFEX Window, and he will receive an incentive of N65 to the Dollar, it simply means getting N6.5 million credited to his account by the CBN.
I believe that our members involved in exports may have a lot to gain by carefully looking at these policies to see the goodness in them before participating.
We will continue to bring to you more of this article in future. Stay with us as we are among the best in export matters in the country.
Our company is one of the best companies in Export and Importation businesses in Nigeria today, we train individuals and corporate organizations on how to do Export, Major and Mini Import business the right way; if you are interested, please contact the admin of this forum now.
Some people are wondering why the Central Bank of Nigeria (CBN) is currently paying some non-oil exporters but not themselves even as they too are non-oil exporters.
First off, we need to understand the meaning of Investors and Exporters (I&E) Window.
Introduction:
According to the Central Bank of Nigeria (CBN), in a continuing effort to deepen the foreign exchange (FX) market and accommodate all FX obligations, the bank hereby announces a special window for investors, Exporters & End-users (herein referred to as the “Investors & Exporters’ FX Window” or the Window”). The purpose of this window is to boost liquidity in the FX market and ensure timely execution and settlement for eligible transactions.
Permitted Transactions:
Transactions eligible to access the window include:
a) Invisible Transactions (excluding International Airline Ticket Sales’ remittances) – Loan Repayments, Loan Interest Payments, Dividends/Income Remittances, Capital Repatriation, Management Services Fees, Software Subscription Fees, Technology Transfer Agreements, Personal Home Remittances, and any such other eligible invisible transactions including ‘miscellaneous Payments’ as detailed under Memorandum 15 of the CBN Foreign Exchange Manual.
The above explains why the CBN established the Window. The CBN also announced that the first set of payments will start in the month of April 2022. The Apex bank announced that the first set of payments for the CBN RT200 rebate scheme would commence in April 2022.
Therefore, let uncover the main reason why the CBN introduced the policy. According to the CBN, the rebate policy was made to act as a substantial incentive to get Nigeria’s goal of realizing the repatriation of US$200 billion in Foreign Exchange (FX) exclusively from non-oil exports over the next 3-5 years.
The Apex bank claimed that the scheme was pushed because of the success achieved with the Naira 4 Dollar Scheme initially promoted.
You can remember that on March 8th, 2021, the Naira 4 Dollar Scheme was launched by the CBN; the scheme was intended to help boost the inflow of foreign exchange into the country from diaspora remittances.
The scheme works this way:
For every one dollar ($1) a person sends to Nigeria through licensed International Money Transfer Operator (IMTO), the CBN offers the person a N5 reward.
Therefore, if you send in $1,000 from abroad, through any licensed International Money Transfer Operator (IMTO), the CBN just credits you automatically with N5,000 (N5 X 1,000). You just earn that by remitting FX to your country.
The CBN claimed that the policy was a huge success as it stated that within the first anniversary of the initiative that diaspora remittances have surged by 1,667% from $6 million to $100 million weekly. This is an impressive result indeed from the policy.
Following the impressive result gotten from the Naira 4 Dollar, the CBN moved the scheme from IMTOs to the IFEX Window in February 2022. From the guidelines issued by the CBN, for every US Dollar repatriated and sold at the Investors and Exporters Window, a payment of N65 will automatically be credited to the remitter’s account.
You can imagine a situation where an eligible participant brings $100,000 through the IFEX Window, and he will receive an incentive of N65 to the Dollar, it simply means getting N6.5 million credited to his account by the CBN.
I believe that our members involved in exports may have a lot to gain by carefully looking at these policies to see the goodness in them before participating.
We will continue to bring to you more of this article in future. Stay with us as we are among the best in export matters in the country.
Our company is one of the best companies in Export and Importation businesses in Nigeria today, we train individuals and corporate organizations on how to do Export, Major and Mini Import business the right way; if you are interested, please contact the admin of this forum now.
