The Central Bank of Nigeria (CBN), in its latest circular on Foreign Exchange Payment for Small-Scale Importation, has advised that all eligible imports by Small and Medium Enterprises (SMEs) valued at no more than USD20,000 (Twenty thousand Dollars) per quarter can now be effected by Telegraphic Transfer.
As part of efforts to improve access to foreign exchange for Small and Medium Scale Enterprises (SMEs), the Central Bank of Nigeria has introduced the use of “Form Q” to ease documentation requirements. What this means is that SMEs can now import eligible items without necessarily opening a Letter of Credit or Bills for Collections.
The form Q is available in all Polaris Bank branches.
Additional documentation required include the following:
- Duly completed SME application form (Form Q)
- Provision of Profoma Invoice from the supplier
- Application letter
- Beneficiary bank account details
A quarterly limit of $20,000 applies to each SME
A trader can buy foreign currency and pay immediately to his/her suppliers upon the provision of the documents; shipping documents must be submitted not later than 60 days from the date of remittance.
For further information on this circular, please visit any Polaris Bank branch close to you or speak with your Account Manager.
We thank you for banking with Polaris Bank.