In a significant development for trade in Nigeria, the Central Bank of Nigeria
(CBN) has officially launched the Price Verification System (PVS). This move
follows a successful pilot run of the system and extensive training sessions
conducted for banks and officials involved in trade transactions. Scheduled to
go live on August 31, 2023, the PVS is set to revolutionize the way importers
and exporters of goods and services engage with the Nigerian market.
Understanding the Price Verification System
The Price Verification System (PVS) is a groundbreaking initiative by the CBN
aimed at enhancing transparency and accuracy in trade transactions. This
digital platform mandates importers and exporters to register on the CBN’s
dedicated electronic portal. To ensure smooth operations, the portal will be
managed by CBN’s appointed service provider, assuring users of a seamless experience.
Once registered, importers and exporters will undergo a thorough
authentication process. Upon successful authentication, they will receive a
verification report and a digital certificate, both of which are valid for one year.
This streamlined approach not only simplifies the registration process but also
adds an extra layer of security to trade transactions.
Official Announcement by the Central Bank of Nigeria
The CBN made an official announcement regarding the launch of the Price
Verification System (PVS) through a written document published on its website and distributed to all banks. The document states:
“Following a successful pilot run and in furtherance of its drive to ensure
transparency and accuracy in trade transactions, the Central Bank of Nigeria
has announced the official Go-Live of the Price Verification System (PVS).
Consequently, all applications for Form M must include a valid Price Verification
Report generated from the price verification portal as from August 31st, 2023.
This report has now become a mandatory trade document and is a prerequisite for the completion of a Form M.”
This announcement carries significant implications for trade in Nigeria. Starting
August 31, 2023, all applications for Forms M must be accompanied by a valid
Price Verification Report (PVR), which must be generated exclusively from the CBN’s Price Verification Portal.
Ensuring Trade Accuracy
One of the most noteworthy aspects of the PVS is its ability to scrutinize import
and export prices. Transactions with prices exceeding 2.5% of the verified
prices will be subject to thorough examination and may not be approved for
Form M. This measure is aimed at preventing price manipulation and ensuring
that trade transactions are conducted at fair and accurate prices.
The launch of the Price Verification System by the Central Bank of Nigeria
marks a significant step forward in enhancing transparency, accuracy, and
fairness in trade transactions. Importers and exporters are now required to
register on the CBN’s dedicated electronic portal and obtain a valid Price
Verification Report (PVR) for Form M applications. This initiative ensures that
trade in Nigeria operates on a level playing field, promoting trust and
confidence among all stakeholders.
Frequently Asked Questions (FAQs)
- What is the Price Verification System (PVS) introduced by the CBN?The Price Verification System is a digital platform launched by the Central Bank of Nigeria to enhance transparency and accuracy in trade transactions.
- When does the PVS officially go live?The PVS is scheduled to go live on August 31, 2023.
- Who needs to register on the CBN’s Price Verification Portal?Importers and exporters of goods and services into and out of Nigeria are required to register on the portal.
- What happens after successful registration on the Price Verification Portal?Once registered and authenticated, users will receive a verification report and a digital certificate, both valid for one year.
- How will the PVS impact trade transactions?The PVS will scrutinize import and export prices, with transactions exceeding 2.5% of verified prices subject to examination and potential disapproval for Form M.
The Price Verification System represents a pivotal moment in Nigeria’s trade landscape, ushering in a new era of transparency and fairness.