CBN Sets 25% Cash Limit For Travel Allowances

The Central Bank of Nigeria (CBN) has introduced a new rule limiting cash payouts for Personal Travel Allowance (PTA) and Business Travel Allowance (BTA) obtained through Bureau De Change (BDCs).

Beneficiaries can now receive only 25 percent of their foreign currency in cash, with the remaining 75 percent credited to a prepaid card.

According to the bank, travelers are allowed to access up to $4,000 per quarter for PTA and $5,000 per quarter for BTA.

To collect the allowances, travelers must provide all required documents.

For Nigerians traveling abroad for medical treatment, foreign currency can be obtained for expenses up to $5,000 through BDCs, provided proper documentation is submitted.

Expenses exceeding this limit must be arranged through commercial or non-interest banks.

Students studying abroad or their sponsors can also access foreign currency from BDCs for school fees, capped at $10,000 per year.

Required documents must be submitted as outlined in the CBN guidelines.

The new measures aim to regulate foreign currency distribution for travel, medical, and educational purposes while ensuring most of the funds are transferred electronically.