In a circular dated June 23rd, 2015, the Central Bank of Nigeria (CBN) introduced a list of imported goods and services that would no longer be eligible for foreign exchange in the Nigerian foreign exchange market. The move aimed to stabilize the foreign exchange market, promote local production, conserve foreign reserves, and stimulate domestic industries and employment.
The initial list contained 41 items, and the central bank later added two more, bringing the total to 43 restricted items. These items include essential commodities such as rice, cement, margarine, palm oil products, meat and processed meat products, poultry, and various steel and metal products. The list also encompasses textiles, furniture, kitchen utensils, toothpicks, glassware, cosmetics, and maize, among others.
It is important to note that the publication of this list does not imply a complete ban on importing these items. Rather, importers of these goods and services are prohibited from accessing foreign exchange through the official investor and exporter window. Alternative means of obtaining foreign currency may still be utilized for their importation.
The CBN’s decision to restrict foreign exchange access for these items aimed to encourage local production, reduce import dependence, and enhance the country’s self-sufficiency. The policy has been in effect for eight years, and its effectiveness remains a subject of ongoing debate.
As readers have expressed interest in the specific items on the list, we have provided a comprehensive breakdown. However, it is important to acknowledge that each item includes various sub-items as identified by the Nigerian Customs through their import codes.
While the policy has generated mixed reactions, the CBN believes it has contributed to the conservation of foreign reserves and the revitalization of domestic industries.
