Central Bank of Nigeria (CBN) has said that any authorised dealer bank the processes foreign exchange (forex) transactions without proper documentation will be fined N100 million.

In addition, the bank will pay N10 million for each transaction involved.

The sanctions are contained in the fourth edition of the Foreign Exchange Manual, which serves as a guide for participants in Nigeria’s forex market.

According to the CBN, the updated manual aims to improve compliance, increase transparency, and strengthen confidence in the foreign exchange system.

Banks are now required to obtain, verify, and keep all necessary documents before releasing foreign currency to customers.

Similar documentation requirements apply to forward and swap transactions, where proof of the underlying trade or obligation must be provided before settlement.

For import transactions, importers must continue to provide documents such as Form M, invoices, certificates of origin, packing lists, and shipping documents.

They must also submit Exchange Control Documents within 90 days after negotiating shipping documents through overseas correspondent banks.

The CBN warned that failure to meet documentation requirements will attract escalating sanctions.

A first violation will result in a 90-day suspension from forex transactions, a second violation will attract a 180-day suspension, and a third offence will lead to a one-year suspension.

A fourth violation could result in a complete ban from participating in forex transactions.

Banks that fail to report cases of default to the CBN will also face sanctions.

The apex bank further tightened reporting requirements. Institutions that submit required daily or monthly returns late will be fined N500,000, while those that fail to submit returns at all will pay a minimum of N5 million, plus an additional N500,000 daily until compliance is achieved.Afternoon Paper Subscription

The revised manual also strengthens oversight of banks’ foreign currency exposure.

Financial institutions that exceed approved Net Open Position limits will receive a warning for the first offence, a 10-working-day suspension from the Nigerian Foreign Exchange Market for the second offence, and a 90-day suspension for the third violation.

The CBN also imposed sanctions on unauthorised reallocation of foreign exchange funds. Any bank found engaging in such practices will be fined N10 million per transaction and may face additional disciplinary action under the Bankers’ Committee ethics framework.

According to the CBN, the new measures are aimed at promoting transparency, strengthening market discipline, reducing abuses, and improving investor confidence in Nigeria’s foreign exchange market.

The Bank of Industry (BOI) has been recognised with two prestigious awards at the recently concluded EMEA Finance Achievement Awards, reinforcing its position as a leading development finance institution driving inclusive and sustainable economic growth across Africa.

The Bank received the Best Sustainability Deal in Africa Award for its financing intervention under the Nigeria Distributed Access through Renewable Energy Scale-up (DARES) Project and the Best Social Development Deal in Africa Award for its flagship Guaranteed Loans for Women (GLOW) programme.

The award-winning DARES initiative is being implemented by BOI in collaboration with the Rural Electrification Agency (REA) and supported by the World Bank through a $750 million International Development Association (IDA) credit facility. The programme is designed to expand electricity access across underserved and unserved communities through the deployment of solar mini-grids.

The initiative forms part of BOI’s broader Power and Utilities portfolio, through which the Bank disbursed ₦27 billion to eight businesses in 2025. According to BOI’s 2025 Annual Development Impact Report, all supported projects demonstrated 100 per cent financial additionality, indicating that they would not have proceeded without BOI’s intervention.

The Bank’s Power and Utilities portfolio also recorded the highest Development Impact Framework score across all sectors financed by BOI, underscoring the transformational impact of its investments in sustainable energy infrastructure.

Similarly, the GLOW programme was recognised for advancing financial inclusion and economic empowerment for women-owned and women-led businesses across Nigeria.

Designed to address longstanding barriers faced by female entrepreneurs, including limited access to affordable finance, collateral constraints, and capacity gaps, GLOW provides tailored financing, business support services, and capacity-building opportunities to women-led enterprises across multiple sectors of the economy.

Beyond financing, GLOW provides training, mentorship, market access support, and opportunities for women-owned businesses to strengthen their competitiveness and expand into regional and international markets, including opportunities presented by the African Continental Free Trade Area (AfCFTA).

Speaking on the awards, Dr. Olasupo Olusi, MD/CEO BOI, described the recognition as an affirmation of BOI’s commitment to financing initiatives that create lasting developmental impact.

“These awards reflect the Bank of Industry’s deliberate focus on supporting projects and programmes that deliver measurable economic, social, and environmental outcomes for Nigerians. Whether it is bringing reliable electricity to underserved communities through renewable energy solutions or empowering women entrepreneurs by providing access to affordable finance and growth opportunities, our goal remains the same: to build a more inclusive, resilient, and sustainable economy. We are honoured by this international recognition and remain committed to deepening our impact across sectors that matter most to national development.”

The dual recognition further underscores BOI’s growing reputation as a catalyst for sustainable development and inclusive industrialisation, leveraging innovative financing solutions to address critical development challenges while unlocking opportunities for businesses and communities across Nigeria.

As Nigeria’s foremost development finance institution, BOI continues to play a pivotal role in advancing the Federal Government’s economic transformation agenda through strategic investments that stimulate enterprise growth, create jobs, improve livelihoods, and strengthen the country’s long-term economic competitiveness.

Federal Government’s debt repayment obligations exceeded the 2025 amended budget allocation by N1.90 trillion in the first nine months of the year, according to the latest Budget Implementation Report released by the Budget Office of the Federation.

The report showed that total debt-related payments, comprising domestic debt service, foreign debt service and sinking fund obligations, rose to N12.63 trillion between January and September, compared with a prorated budget provision of N10.74 trillion.

The figure represents an excess expenditure of N1.90 trillion, or 17.65 per cent above budget.

According to the report, debt service alone amounted to N12.52 trillion during the period, exceeding the prorated allocation of N10.45 trillion by N2.07 trillion, representing an overrun of 19.8 per cent.

A breakdown of the figures showed that domestic debt service stood at N6.23 trillion, surpassing its budget provision of N5.39 trillion by N832.42 billion.

Foreign debt service also exceeded projections, rising to N6.30 trillion against an allocation of N5.06 trillion, an increase of N1.24 trillion.

The report indicated that debt servicing consumed 67.2 per cent of the Federal Government’s retained revenue of N18.63 trillion in the first nine months of the year.

When sinking fund obligations are included, debt-related payments accounted for approximately 67.8 per cent of retained revenue.

This implies that for every N100 earned by the government during the period, about N67 was used to service debt, leaving roughly N33 for recurrent expenditure, capital projects, transfers and other obligations.

The Budget Office also reported significant revenue underperformance during the period.

Aggregate Federal Government revenue stood at N18.63 trillion, falling short of the projected N30.67 trillion by N12.03 trillion, representing a 39.24 per cent shortfall.

In the third quarter alone, revenue amounted to N7.70 trillion, below the quarterly target of N10.22 trillion by N2.52 trillion.

The Budget Office attributed the weak performance largely to lower-than-expected oil revenue despite improvements in non-oil collections.

The report further showed that debt obligations continued to constrain government spending on infrastructure and development projects.

Capital expenditure amounted to N3.10 trillion during the first nine months of the year, significantly below the N17.58 trillion budgeted for the period.

This means debt-related payments were more than four times the amount spent on capital projects.

According to the report, the elevated debt service-to-revenue ratio underscores the need for stronger revenue mobilisation efforts and expenditure rationalisation to create additional fiscal space.

Total government expenditure during the period stood at N24.66 trillion, compared with a prorated budget estimate of N41.24 trillion.

The fiscal deficit was recorded at N6.03 trillion against a prorated deficit target of N10.58 trillion.

Financing items totalled N12.07 trillion, driven largely by domestic borrowing of N7.08 trillion and multilateral and bilateral project-tied loans amounting to N4.81 trillion.

Meanwhile, Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, said the government was considering refinancing some of its costly debt obligations while exploring additional funding sources.

Speaking in an interview with Bloomberg Television, Oyedele said current market conditions offered opportunities for the government to refinance expensive debt and mobilise funds for development.

“We think that this timing is good for us to be able to maybe even refinance some of our expensive past debts, but also to raise more funding for our development at this critical time,” he said.

According to him, discussions are ongoing with multilateral institutions, including the World Bank, while investor confidence has improved following economic reforms implemented by the administration of President Bola Tinubu.

Oyedele, however, reiterated that Nigeria could no longer depend primarily on borrowing to finance development and stressed the need for a sustainable fiscal framework capable of supporting critical sectors of the economy.

Analysts say the figures highlight Nigeria’s persistent fiscal challenge, with rising debt service costs and weak revenue generation continuing to limit resources available for infrastructure development and economic growth.