The Federal Government has introduced a nine-month amnesty program allowing individuals holding dollars outside the formal banking system to bring those funds into the financial system.
The Minister of Finance, Wale Edun, made the announcement after the National Economic Council meeting chaired by Vice President Kashim Shettima on Thursday.
Edun explained that individuals with dollars outside the banking system can bring them in without facing penalties or taxes, provided the funds are not proceeds of crime or illicit money.
This initiative aims to encourage compliance, boost foreign exchange reserves, and promote economic activity, according to Independent.
The minister also provided updates on government economic relief measures, stating that 25 million Nigerians have benefited from federal social protection initiatives.
These initiatives include digital outreach, microenterprise loans, and sector-specific support for power, agriculture, manufacturing, health, and compressed natural gas.
Edun noted that the Excess Crude Account stands at $473,754.57, the Natural Resources Fund at N26,105,837,627.67, and the Stabilization Account at N36,299,452,763.62.
The Central Bank of Nigeria will release guidelines for the amnesty program.
This move is part of the government’s broader economic reform efforts to stabilize the economy and support vulnerable Nigerians.
He said, “One element of the cost increase is the foreign exchange rate, and that is demand and supply. There is going to be a release today, details by the Federal Government through the Ministry of Finance, in conjunction with the central bank, a programme, starting today, 31st of October, and lasting nine months, that will allow people to bring in cash that is outside the banking system.
“Therefore it is unsafe, it is unsecure and it is outside of legal limits. They will be allowed forbearance to bring dollar cash. Let me emphasise once again, it is to bring dollars that they are holding outside the system to be able to bring them in and credit it to their bank accounts, as long as it is not proceeds of crime, illicit money. There will be no penalty, there will be no taxes, there will be no questions.
“They just meet the normal Know Your Customer criteria of banks and they have an opportunity to bring in those funds, make them safe, make them secure, and make them available through normal, economic activity. The details of that, the guidelines of that, will be released, first of all, the announcement by the Ministry of Finance and the guidelines later will follow very quickly by the central bank.
“That is an opportunity, not just for people who would normally like to comply, to be compliant with the laws and normal business practice, but of course, it gives us an opportunity to bring those dollars from where they are doing nothing to where they are within the financial system, they add to our reserves, and of course can help with the exchange rate”.
