CBN sets terms for RT200 implementation, unveils incentives
28 February 2022 | 2:46 am
Central Bank of Nigeria (CBN), at the weekend, released implementation guidelines for its newly created RT200 Non-oil Export Proceeds Repatriation Rebate Scheme
• Exporters to receive N65 for every dollar repatriated through I & E
Central Bank of Nigeria (CBN), at the weekend, released implementation guidelines for its newly created RT200 Non-oil Export Proceeds Repatriation Rebate Scheme, highlighting its exporters’ responsibilities and benefits.
According to the circular signed by the Director of Trade and Exchange Department, Dr. Ozoemena Nnaji, exporters of eligible non-oil commodities will receive N65 for every $1 repatriated and sold at the Investors’ and Exporters’ (I & E) Window through authorised dealer banks (ADBs) for third-party use.
Others who repatriate and sold through the window for self-use on eligible transactions will also receive a rebate of N35 per dollar, the document stated.
It would be recalled that the CBN Governor, Godwin Emefiele, recently unveiled the scheme, which is aimed at raising $200 billion from processed and semi-processed non-oil exports in the next three to five years.
The CBN boss said the new policy direction would ultimately lead to the self-sufficiency of the commercial banks in foreign exchange needs in the coming years.
The guideline said the rebates would be paid quarterly, adding that accounts of qualified exporters would be credited “latest one week after the end of the first quarter”.
The rebate would narrow the arbitrage between the official and parallel markets. The exchange rate of the parallel market is N575/$ while I & E Window closed at N416/$ last week. This differential is responsible for the low participation at the official window by exporters.
The new initiative is a replica of the Naira-4Dollar Scheme, which started last year and targets diaspora remittances. Under the scheme, recipients of diaspora remittances are rewarded with N5 for every dollar wired through the official window.
Applicants for the rebates are expected to file evidence of repatriation and other relevant documents. Such applications are expected to be made five days after the sale of the proceeds is consummated.
The guidelines highlighted the roles of the apex bank, ADBs and exporters in the process while drawing the attention of all stakeholders to possible sanctions in the event of infractions.
On eligibility criteria, the CBN said only exporters of finished and semi-finished goods whose repatriated export proceeds are sold at I&E window would benefit.