Timely analysis and commentary on legal issues, plus the latest announcements from our firm.
Nigerians abroad remit over $20 billion annually to their homeland, a figure that surpasses foreign direct investment and rivals significant portions of the federal budget. While the Central Bank of Nigeria (CBN) has introduced diaspora investment accounts and the Tax Act provides specific exemptions, most of these funds historically flow into household support rather than productive, long-term investment.
In a decisive move to align Nigeria’s financial ecosystem with international best practices, the Central Bank of Nigeria (CBN), under Governor Olayemi Cardoso, has officially launched the Nigerian Overnight Financing Rate (NOFR). Developed in collaboration with the Financial Markets Dealers Association (FMDA) and backed by technical support from the European Bank for Reconstruction and Development (EBRD), this new transaction-based benchmark interest rate marks a fundamental shift in how short-term liquidity and corporate credit will be priced across the nation.
Nigeria's free zones offer tax exemptions, foreign exchange freedom, and unrestricted profit repatriation, a compelling proposition for lenders and investors. But the free zone legal environment is specialised, and security that looks robust on paper can unravel at enforcement. The Banking & Finance team at FJKO breaks down what financiers must know before committing capital.