February 25, 2022

CBN unveils N65/$ rebate for Non Oil Exporters

CBN unveils  N65/$ rebate for Non Oil Exporters

By Babajide Komolafe, Economy Editor

Exporters will now enjoy a rebate of N65 for every dollar of Non-Oil export proceed sold to third parties  through the official foreign exchange market also known as the Investors and Exporter (I&E) window of the foreign exchange market.

The rebate is part of the benefits under the Non Oil Exports Proceed Repatriation Rebate Scheme unveiled by the Central Bank of Nigeria, CBN, Friday.

The scheme is part of the RT200 FX programme recently introduced by the apex bank aimed at attracting $200 billion in foreign exchange earning from non oil exports proceeds over the next three to five years.

Announcing details of the scheme in circular titled, Operating Guidelines for RT200 Non Oil Exports Proceed Repatriation Rebate Scheme’, the CBN said the objectives of the scheme are to:  Enhance Foreign Exchange inflow; Diversify the sources of FX inflow; To increase the level of contribution of non-oil exports; Ensure stability and sustainability of FX inflows”.

According to th apex bank, “The scheme shall pay:  N65 for every US$1 repatriated and sold at the I & E Window to Authorised Dealers and Banks (ADBs) for other thirty party use, and; N35 for every US$1 repatriated and sold into I&E for own use on eligible transactions only. However, the spread should not be more than 10 Kobo.

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“Payment of the incentive shall be made on quarterly basis. The accounts of exporters that qualify for rebates shall be credited latest one week after the end of the quarter” 

On the eligibility criteria, the CBN stated: “Only exporters of finished and semi-finished goods are eligible for this incentive.

“Exporters shall qualify for the rebates only, where repatriated export proceeds are sold at the Investors’ & Exporters’ Window (1& E).

“Eligible transactions that qualify for incentives under the Scheme shall be: Export of finished and semi-finished goods wholly or partly processed or manufactured in Nigeria, except otherwise stated by the CBN; Export of goods and services (I.T and Creative Businesses) that are permissible and excluded under existing export prohibition list; 

“Completion of e-Form NXP; Registration with Corporate Affairs Commission (CAC) and Nigeria Export Promotion Council (NEPC); Sale of repatriated export proceeds at the | & E Window;

‘Notwithstanding when the export process was initlated, the exporter will qualify for the rebate provided the exporter meets”.