Treasury & FX in Nigeria

Treasury & FX in Nigeria

Call date: 7th May 2019

Members from Africa, EU and the U.S. compared their experiences with FX and Treasury in Nigeria, including cash repatriation, hedging, local banking and bank accounts, sweeping, payments and signatories.

The call was chaired by Arnaud Francq, the key discussion details are below.

If you would like a copy of this report, please get in touch.

Click here for more posts on Africa

Chairman’s take aways

  • Bureaucracy – continues to be a problem & cash repatriation is particularly complex.
  • Hedging is expensive
  • Although the FX market has improved recently- it is still hard to get the allocation you need.
  • Many companies are using a number of local banks (mostly for collections) and a couple of international banks
  • It is possible to sweep from local bank accounts into main header accounts – but the system isn’t always reliable
  • E Bills (Official name is Ebillspay, it leverages the NIBSS Instant Payment (NIP) platform) & NIBBS (Nigeria Interbank Settlement System, actually the Fund sweeping Service provided by NIBSS) are an option, but still has implementation glitches and it doesn’t work for all banks
  • The requirement to provide biometric data for the opening of bank accounts – in person – at Nigerian embassies is highly problematic for some companies

Click here for more posts on Africa

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: