CBN Allows Oil Majors Full Access to Export Earnings

The Central Bank of Nigeria (CBN) has issued a circular granting international oil companies (IOCs) 100% access to their export earnings, allowing them to repatriate all proceeds directly. This decision, signed by Dr.

Musa Nakorji, Director of the Trade Exchange Department, represents a significant shift from earlier policies that required IOCs to repatriate only 50% of their export proceeds. The new framework is part of ongoing reforms aimed at improving liquidity and stabilizing the foreign exchange market in Nigeria.

The CBN's circular, published on its website, states that authorized dealer banks must ensure adequate documentation is submitted and monthly reports are provided. This adjustment is expected to ease constraints faced by oil firms in accessing foreign exchange earnings.

The CBN clarified that the new directive supersedes previous guidelines regarding cash pool arrangements for oil companies and is effective immediately.