The Central Bank of Nigeria (CBN) has significantly increased the amount of foreign exchange Nigerian students can remit for tuition fees overseas, raising the cap from $15,000 to $25,000 per semester.
The new limit is contained in the **Foreign Exchange Manual, Fourth Edition**, which was released on Wednesday and will take effect from June 1, 2026.
New Guidelines for Students
Under the updated rules, both undergraduate and postgraduate students can now apply to authorised dealer banks for up to $25,000 per semester to cover tuition at foreign institutions. Previously, the allowance was restricted to $15,000 per semester and limited to two semesters per academic year.
Applicants are required to submit Form A along with supporting documents, including:
– Admission letter from the foreign institution
– Tuition fee schedule
– Valid international passport (biodata page)
– Student identification card (for returning students)
– First degree certificate (for postgraduate applicants)
The CBN clarified that tuition fees and maintenance allowances are treated separately. When both are billed together, the full amount goes directly to the educational institution. For students living off-campus, the maintenance allowance is capped at $5,000 per quarter and paid directly to the student.
Remittances under this scheme do not apply to nursery, primary, secondary, foundation, or A-level programmes abroad.
Broader FX Reforms
The tuition limit increase forms part of wider reforms in the new FX manual. Other notable changes include:
– Raising the allowable advance payment for imports from 15% to 30%.
– Adjusting Personal Travel Allowance (PTA) and Business Travel Allowance (BTA) rules, allowing 25% of approved amounts to be disbursed in cash, with the remaining 75% processed through electronic channels (debit/credit cards).
Positive Reserves Movement
The latest reforms come as Nigeria’s external reserves recorded a modest improvement, rising by $1.72 million to $33.22 billion the first increase in five months.
The CBN has reiterated its commitment to continued intervention in the foreign exchange market to improve liquidity and support the stability of the naira.
The upward review of the tuition remittance limit is expected to ease financial pressure on Nigerian families with children studying abroad, while maintaining regulatory oversight to ensure funds are used for their intended purpose.
