As part of its objectives to increase foreign exchange liquidity and make it accessible to small and medium enterprises (SMEs) and other retail businesses, the Central Bank of Nigeria (CBN) on Monday introduced the use of FORM X for Small and Medium Enterprises (SMEs) that requires just basic documentation.
Here are a few things you should know about the Form X:
- The innovative measure is meant to ease the bottlenecks associated with documentation usually encountered by this category of businesses.
- The new form, which must be completed by all SME applicants, requires them to fill the form with a supporting application letter, as well as beneficiary invoice and bank wire transfer details.
- The objective of the new guideline is to remove obstacles usually encountered by those whose FX needs for either visibles or invisibles transactions are as small as or less than $10,000.