Connect with us

Business

BREAKING: CBN Bars Foreign Oil Companies, Limits 100% Repatriation Of FX Proceeds

CBN implements restrictions preventing foreign oil companies from repatriating 100% of their foreign exchange earnings at once….

Published

on

BREAKING: CBN Bars Foreign Oil Companies, Limits 100% Repatriation Of FX Proceeds
CBN Building

CBN implements restrictions preventing foreign oil companies from repatriating 100% of their foreign exchange earnings at once, aiming to manage currency liquidity and stabilize the economy.

This move aims to regulate the outflow of foreign exchange and ensure greater control over the country’s financial stability.

The Central Bank of Nigeria (CBN) has stopped international oil companies from repatriating 100% foreign exchange proceeds to their mother companies overseas at once.

VerseNews reports that the apex bank said international oil companies can repatriate 50% of their proceeds in the first instance and then the other half after 90 days.

The Director of Trade and Exchange Department at the apex bank, Hassan Mahmud, made this known in a circular dated February 14, 2024.

The CBN said it observed that proceeds of crude oil exports by International Oil Companies (IOCs) operating in Nigeria are transferred offshore to fund parent accounts of the IOCs in a phenomenon described as “cash pooling”.

“This has an impact on liquidity in the domestic foreign exchange market,” the apex bank stated.

“In line with the ongoing reforms in the foreign exchange market, it has become necessary to take measures to address this trend. Consequently, the CBN hereby directs as follows;

“Banks are allowed to pool cash on behalf of IOCs, subject to a maximum of 50% of the repatriated export proceeds in the first instance;

“The Balance 50% may be repatriated after 90 days from the date of inflow of export proceeds.”

whatsapp

Stay ahead with VerseNews. Get the latest breaking news, insightful analysis, and trending stories. Your go-to source for timely updates and unbiased reporting.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

WATCH: Nigeria Newspaper Headline Today

Apply For Latest Job Openings

Trending

pricillia ojo pricillia ojo
Celebrity Gist6 hours ago

Priscilla Ojo And Husband, Juma Jux reveal Their Baby’s Gender (VIDEO)

Nigerian influencer Priscilla Ojo and Tanzanian singer Juma Jux have taken their love story to the next chapter with a...

INECVerseNewsNG15 INECVerseNewsNG15
Politics12 hours ago

INEC Declares Politician Serving Jail Term Winner of Assembly Rerun Election

INEC further announced that Certificates of Return would be presented to successful candidates on August 21 and 22, 2025.

bbnaijas10 bbnaijas10
Big Brother Naija13 hours ago

Love Triangles, Betrayal and Apologies Shake Biggie’s House

Emotions ran high on Thursday as Denari’s bond with Doris sparked tension, forcing apologies, confessions and fresh drama in Biggie’s...

davido chioma davido chioma
Celebrity Gist13 hours ago

Chioma Adeleke Returns to Instagram After 3 Years With Emotional Tribute to Son Ifeanyi, Davido Reacts

Chioma Adeleke, wife of Davido, made her first Instagram post in three years after losing her son, Ifeanyi.

mide and bright morgan bbnaija mide and bright morgan bbnaija
Big Brother Naija19 hours ago

BBNaijaS10: Mide Puts Bright Morgan On a Ship Probation

Tensions flared in the Big Brother house as Mide confronted Bright Morgan over their budding relationship.

SERAP Gives Wike, Sani Others 7 Days To Account For N5.9trn, $4.6bn Loans SERAP Gives Wike, Sani Others 7 Days To Account For N5.9trn, $4.6bn Loans
Politics19 hours ago

Leaked Memo Exposes Wike’s Claim of No PDP NEC Invitation

A leaked memo has revealed that FCT Minister, Nyesom Wike, was duly invited to the Peoples Democratic Party’s (PDP) NEC...

social media scaled 1 social media scaled 1
News20 hours ago

BREAKING: FG Shuts Down 13 Million Social Media Accounts, Enforces Code of Practice

The Federal Government has released new compliance figures under its 2024 Code of Practice, showing millions of actions taken against...

NCAA Airplane jpg 780x470 1 NCAA Airplane jpg 780x470 1
News24 hours ago

NCAA Bans Use of ‘Flight Mode’, Orders Complete Phone Shutdown During Take-Off

The NCAA has banned “flight mode,” directing that all phones and devices be completely switched off during take-off and landing.

otega evicted1 otega evicted1
Big Brother Naija4 days ago

BBNaijaS10: Otega and Kayikunmi Evicted From the Reality Show

Otega and Kayikunmi have been evicted from Big Brother Naija Season 10, leaving 24 housemates in the race for the...

terrorists terrorists
News5 days ago

How Nigerian Forces Captured ‘Terrorist Leaders’ Abu Bara and Mallam Mamuda, Details Emerge

Nigeria has dealt a heavy blow to terrorists with the capture of “Ansaru leaders” Abu Bara and Mallam Mamuda.

Advertisement