Non-oil exporters have stepped up the repatriation of export earnings through the Investors and Exporters (I&E) window of the foreign exchange (forex) market in response to the RT 200 program introduced by the Central Bank of Nigeria (CBN).
Foreign exchange inflows from non-oil exports passing through the I&E window jumped 166% to $2.4 billion in the first six months (H1) of 2022, compared to the previous period of 2021, according to data. latest CBN data.
Over the past five years, input data for non-oil exports passing through the I&E window in the first half $100 million (2017), $500 million (2018), $500 million (2019), $300 million (2020) and $900 million (2021) .
The RT200 FX program is a CBN initiative that aims to raise $200 billion in foreign exchange revenue from non-oil products over the next three to five years.
One of the main anchors of the program is the repatriation rebate program for non-oil export products. The program is designed to incentivize exporters in the non-oil export sector to encourage the repatriation and sale of export earnings on the foreign exchange market.
It was born out of the need to develop new strategies aimed at achieving more stable and sustainable foreign exchange inflows in order to insulate the Nigerian economy from shocks and foreign exchange shortages.
The Reimbursement Scheme pays N65 for every dollar repatriated and sold at the I&E counter to Authorized Concession Banks (ADBs) for use by third parties, and N35 for every dollar repatriated and sold to I&E for its own use on qualifying transactions.
Premium payment is made on a quarterly basis. The accounts of exporters eligible for rebates are credited one week after the end of the quarter.
In April, CBN Governor Godwin Emefiele ordered the immediate release of N3.5 billion in rebates to 150 exporters who participated in the RT200 FX program.