The Certificate of Capital Importation - "CCI"

The Certificate of Capital Importation (“CCI”)

A CCI is evidence of capital inflow/investment/loan into a Nigerian company. It legitimizes and facilitates the repatriation of dividends, capital and repayment of external loan facilities. A company can also obtain a CCI for the importation of equipment as a direct investment into the new company. The Central Bank of Nigeria (“CBN”) empowers commercial banks in Nigeria to issue a CCI within 24 hours of receiving inflow of funds, having received the requisite application from the Nigerian company and the necessary documentation. Failure to apply for and/or issue the CCI within the specified period, the commercial bank must then obtain CBN’s approval before issuing the CCI. The documentation requirement for obtaining a CCI depends on the nature of the transaction. Below are the required documents to obtain a CCI in connection with an equity and loan transactions.

Lo

an CCI

Request for foreign loans by companies incorporated in Nigeria from corporate bodies/institutions offshore shall be processed through Authorized Dealers, usually commercial banks and supported with the following documents:

1. Board resolution approving the loan facility;
2. A copy of the agreement, showing terms and conditions of the facility, including moratorium, date of maturity, interest rate and schedule of repayment of principal and interest;
3. A copy of letter of offer of loan/facility or credit; and
4. A copy of letter of acceptance of loan/facility or credit.

Upon the receipt of the funds by the commercial bank and the above listed documents, the commercial bank is required to issue a CCI within 24 hours.

Equity CCI

Where a shareholder decides to pay the amount remaining unpaid on its subscription, by the importation of funds into Nigeria, the shareholder needs to do so through an Authorized Dealer. The documents required to make the application and obtain a CCI are as follows:

1. A letter from the company applying for a CCI;
2. Board resolution of the company accepting the funds and authorizing an application for CCI to be made; and
3. A copy of the telex issued by the paying bank.

In order to avoid delay in processing the CCI, the documents mentioned in (a) and (b) above should be prepared, signed and transmitted to the bank prior to the remittance of the capital. The bank is required to issue the CCI within 24 hours of receipt of the funds.

CAPITAL AS EQUIPMENT

Where capital is imported in form of equipment/machinery or raw materials, the CCI will be issued subject to the following documentation requirements:

1. Original final attested invoice / Clean Report of Inspection;
2. Certified copy of bill of lading (original to be sighted);
3. Certified copy of Bill of Entry/Single Goods Declaration Form (original copy to be
4. sighted); and
5. Original import duty payment receipt bearing Single Goods Declaration (SGD) Form number.