This post is about how to trade FOREX at Nigerian banks.
Following the Central Bank of Nigeria’s instruction to prohibit the selling of foreign currency to Bureau De Change operators, it is critical to understand how to trade dollars and other foreign currencies at Nigerian banks for personal and business purposes.
Recall that the CBN Governor, Godwin Emefiele, ordered a ban on Bureau De Change operators in Nigeria after the apex bank ceased the issuing of trading licenses. Here’s how to trade FX at Nigeria’s commercial banks now that they’ve taken over the procedure.
What the Banks Have to Say?
According to the communiqué from two of Nigeria’s tier one commercial bank, Guarantee Trust Bank:
“Your foreign exchange inquiries will be handled immediately. This means you’ll receive your FX the same day in cash, and in the event of school fees and medical expenditures, to the designated offshore recipient. Please keep in mind that all of this is contingent on you delivering all the documentation for these transactions.”
To purchase your Personal Travel Allowance, Business Travel Allowance, pay your overseas school fees, foreign medical bills, SME Form Q transactions, and any other qualifying foreign exchange transaction, please visit any of our branches countrywide.
According to First Bank,
“Getting Foreign exchange for school tuition, medical expenses, Personal Travel Allowance (PTA), and Business Travel Allowance (BTA) is now as easy as A, B, C.”
How To Trade Dollars, Other Foreign Exchange At Nigerian Banks
- You must be at least 18 years old and have a current Bank Verification Number (BVN)
- A valid Nigerian passport with a valid visa, as well as a valid international return ticket with a departure date only 14 days from PTA.
- PTA requests are limited to $4,000 per applicant per quarter.
- A return ticket from Nigeria to your destination, with a minimum travel time of 5 hours.
For International School Fees Payment:
- Students can apply directly or through their parents or guardians who have a valid BVN number.
- School fees require an admission letter, payment invoice, first degree certificate (only for postgraduate courses), and a correctly completed Form A.
How to Trade FOREX at First Bank Nigeria Plc:
- Applicants must be at least 18 years old and have a valid BVN.
- A properly completed Form A, a valid Nigerian passport with a valid visa, and a return ticket with a departure date only 14 days from PTA/BTA purchase are all required.
- PTA applicants are eligible for $4000 and BTA applicants are eligible for $5000 per quarter.
- PTA/BTA is valid for flights departing from Nigeria that take at least 5 hours.
- PTA/BTA is not applicable to countries in the West African Region and Cameroon.
- Travelers who are on the same trip or travel and have the same tickets are not eligible for both PTA and BTA.
The following are additional BTA requirements:
- Certificate of incorporation/registration of a business
- A letter from a foreign business partner outlining the purpose and duration of the business trip.
- Letter from the corporate entity to the processor bank, including the names of the beneficiaries and the reason for the visit.
Please contact your account officers at other banks to understand how to trade dollars and other foreign exchange under their banking policies and procedures. However, in order to achieve a full takeover by Bureau De Change operators, the CBN has urged all commercial banks to develop a mobile application that will make the procedure seamless for consumers.