Amidst the current forex crisis in the country, the Central Bank of Nigeria (CBN) has introduced a foreign exchange (FX) price verification system (PVS) portal to enable importers to access forex.
In a statement from its Trade and Exchange Department on Thursday night, the apex bank said a price verification report from the portal is now mandatory for all Form M requests, which takes effect on August 31, 2023.
The statement read, “Following the successful conduct of the pilot run and various trainings held with all the banks, the Central Bank of Nigeria hereby announces the Go-Live of the Price Verification System (PVS).
“All applications for Forms M shall be accompanied by a valid price verification report generated from the price verification portal. For the avoidance of doubt, by this circular, the price verification report has become a mandatory trade document precedent to the completion of Form M. All authorised dealers are, hereby, advised to bring this to the attention of their customers,” the statement adds.
CBN also said any case of infraction would be appropriately sanctioned while urging importers to ensure compliance.
Available records show that the life span of a Form M is 180 days (for general merchandise) and 365 days (for plant and machinery). An extension of 180 days (for general merchandise) and 365 days (for plant and machinery) can be granted on the Form M by the Authorized Dealer if deemed necessary. Any further extension has to be approved by the Central Bank of Nigeria (CBN).
Read also: Naira depreciation: BDC operators ask CBN to let them offer liquidity in the forex market
CBN warns the public against IFOs
The new development follows just as the CBN-led Financial Services Regulation and Coordinating Committee {FSRCC)}, in collaboration with National Broadcasting Commission {NBC}, has advised Nigerians to stop patronizing Illegal Financial Operators (IFOs), otherwise known as Ponzi schemes that spear in different forms.
In a joint statement available on the CBN website, the regulators warn that their growing activities portend grave risk to the public confidence and stability of the Nigerian Financial System.
“The FSRCC and NEC in their continuing efforts to end the scourge of IFOs in Nigeria, hereby issue the following advisory to the general public: Refrain from dealing with unlicensed or illegal financial operators, who lure and defraud unsuspecting members of the public by offering extraordinary returns on investments as bait.”
FSRCC nd NBC joint statement
”Verify the licensing status of such companies and schemes on the following websites before investing in them: CBN: https://www.cbn.gov.ng; NAICOM: https://naicom.gov.ng; PenCom: htips://www.pencom.gov.ng d. SEC: https://sec.gov.ng,” the statement reads in part.
Consequently, the committee wants the public to report any individual or entities suspected to be involved in such nefarious activities to law enforcement agencies and call its toll-free lines.
“Member agencies will continue to engage in regular sensitization campaigns on the threats posed by the activities of Illegal Financial Operators. “Further enquiries may be addressed to: The Director, Financial Policy and Regulation Department / Secretary, FSRCC, Central Bank of Nigeria, and/or I. The Executive Commissioner, Legal, and Enforcement, Securities and Exchange Commission,” the statement further advised.
Read also: How CBN generated N103.8 bn in profits in 2022 despite Naira’s poor performance
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