CBN launches new forex manual to boost liquidity, takes effect June 1

The Central Bank of Nigeria on Friday unveiled the fourth edition of its Foreign Exchange Manual, a revised framework set to take effect from June 1, 2026, as part of ongoing reforms to enhance transparency and liquidity in the country’s forex market.

Speaking at the launch in Abuja, CBN Governor Olayemi Cardoso said the initiative reflects the bank’s commitment to strengthening macroeconomic stability and modernising foreign exchange administration.

Cardoso noted that the revision became necessary due to evolving global economic conditions, domestic structural adjustments, and ongoing forex market reforms. He described the new manual as the product of extensive consultation and rigorous technical review aligned with international best practices.

The CBN governor added that successful implementation would depend on the cooperation of authorised dealer banks, corporates, regulators, exporters, importers, and other stakeholders. He said the bank would strengthen monitoring mechanisms to ensure fairness and compliance.

Deputy Governor of the Economic Policy Directorate, Muhammad Abdullahi, stated that the revised manual is part of broader reforms under Cardoso’s leadership to restore confidence, deepen liquidity, and improve market efficiency. He said the review adopted an “Ease of Doing Business” approach to reduce bottlenecks and ambiguities.

Key changes include harmonising Personal Travel Allowance and Business Travel Allowance disbursement with revised Bureau De Change guidelines, under which 75 per cent will be electronic and 25 per cent cash. Advance payment for imports has been raised from 15 per cent to 30 per cent.

The manual also introduces provisions for service exports, PAPSS transactions, tech company remittances, non-resident investment accounts, and tuition fee payments up to $25,000 per semester. Holders of export proceeds and ordinary domiciliary accounts now have unfettered access, while the mandatory Form A requirement for domiciliary account remittances has been removed.

Representing the Finance Minister, Permanent Secretary Mohammed Danjuma described the manual as a strategic tool to improve transparency and investor confidence.

UBA Group Managing Director Oliver Alawuba commended the CBN’s reforms, noting that confidence in the Nigerian economy has greatly improved. He assured that commercial banks would support full implementation.