CBN Places Outright Forex Ban on Maize Importation

maize importation

By Modupe Gbadeyanka

The Central Bank of Nigeria (CBN) has stopped the processing of Form M for the importation of maize/corn into the country.

Business Post reports that the Form M is a mandatory documentation process aimed to monitor goods brought into Nigeria.

Also, the document, which was created by the Federal Ministry of Finance (FMF) and the CBN, is to enable the collection of import duties where applicable to the imported goods.

On Monday, the apex bank directed banks and those permitted to trade foreign exchange (forex) in the country to stop processing the document for the maize/corn imports “with immediate effect.”

Explaining the rationale behind this directive, the bank, in a circular signed by its director in charge of Trade and Exchange Department, Dr O.S. Nnaji, noted that it was to boost local production of the farm product.

According to the central bank, the present global health pandemic, COVID-19, has caused many Nigerians to lose their jobs, putting a dent on the economy.

It stated that in order to begin a process of economic recovery, it was necessary to take this decision for the interest of the general populace.

“As part of efforts by the CBN to increase local production, stimulate a rapid economic recovery, safeguard rural livelihoods and increase jobs, which were lost as a result of the ongoing COVID-19 pandemic, authorised dealers are hereby directed to discontinue the processing of Forms M for the importation of maize/corn with immediate effect.

“Accordingly, all authorised dealers are hereby requested to submit the list of Forms M already registered for the importation of maize/corn using the attached format on or before the close of business on Wednesday, July 15, 2020,” the statement, which urged those involved to “ensure strict compliance,” stated.

Business Post gathered that with this directive, importers of maize/corn will not be allowed to get forex to bring the product into the country.

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

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