About Nigeria

Nigeria is often called the “Giant of Africa.” This name comes from the vastness of its land, the diversity of its peoples and languages, its huge population (the largest in Africa), and its oil and other natural resources.

Nigeria is a patchwork of distinctive regions, including deserts, plains, swamps, mountains, and steamy jungles. It has one of the largest river systems in the world, including the Niger Delta, the third largest delta on Earth.

Much of Nigeria is covered with plains and savannas. These tropical grasslands spread out as far as the eye can see and are interrupted here and there by trees and shrubs. The southwestern plains are home to the Yoruba people, who have lived there for thousands of years.

FAST FACTS

REVISED GUIDELINE(S) ON BUSINESS PERMIT AND QUOTA

INTRODUCTION

The Citizenship and Business Department has responsibility for administering and enforcing the provisions of the immigration Act, 1963 relate to the establishment of business in Nigeria and the employment of expatriates. In other Words, the Department is entrusted principally with the following responsibilities;

1. Issuance of Business Permit and expatriate Quota positions
2. Monitoring the execution of the quota positions granted in order to ensure effective transfer of technology to Nigerians and eventual indigenization of the positions occupied by the Expatriates.

GENERAL RULES APPLICABLE TO ALL COMPANIES

Every enterprise, desirous of obtaining Business Permit and Expatriate Quota, is to submit an application to that effect to the Federal Ministry of Internal Affairs on Form T/1 designed for that purpose Companies are, however, to note that emphasis would be placed on employment of Nigerians to understudy the foreign experts for the purpose of training them, to enable the understudies acquire relevant skills for the eventual take-over of the expatriate quota positions. Renewal of quotas granted will not be automatic but considered on merit based on submission of the required documents, as specified in paragraph 3 (C) of this Handbook.

GRANT OF BUSINESS PERMIT / EXPATRIATE QUOTA POSITION

All applications by companies for Business Permit and expatriate Quota should be accompanied by the following documents:

1. BUSINESS PERMIT
   For only Joint Venture and wholly Foreign owned Companies.
   
   1. Completed Immigration Form T/1
   2. Certificate of Incorporation
   3. Memorandum and Article of Association
   4. Feasibility Report (should be certified or registered with Corporate Affairs commission (CAC)
   5. Corporate Affairs Commission’s Form CAC 2.3 ^ 2.5 of CAC C02 & C07
   6. Joint Venture Agreement for partnership venture between Nigerian and foreigners (original to be presented for sighting)
   7. Company’s Current Tax Clearance Certificate (Original to be presented for sighting)
   8. Lease agreement for C of O for opening premises (original to be presented for sighting)

   NOTE:
   For Business permit, the Authorized share capital must not be less than N10 million in respect of each Company.

2. GRANT OF EXPATRIATE QUOTA ONLY
   Same documents as in (a) above plus:
   
   1. Evidence of imported machinery, such as, Form M, Proforma invoice, Shipping documents and Clean Certificate of Inspection issued by Government appointed Pre-shipment Inspection Agents.
   2. License / Permit / Certificate from relevant Government Agencies / department / ministries for the operation or execution of project if company is engaged in oil services, health care services, fishing, mining, constructions (Work Registration Board), etc (original to be presented for sighting)
   3. Evidence of work at hand, its duration and value attached to the contract(s) if the company is engaged in building, civil engineering, construction, etc (original to be presented for sighting)
   4. Proposed annual salaries to be paid to the expatriates to be recruited indicating designation, names, jobs description and qualifications (CV and copies of credentials of expatriate to be attached).
3. RENEWAL OF EXPATRIATES QUOTA
   
   1. Completed Immigration Form /T2
   2. Corporate Tax Clearance Certificate (original to be presented for sighting)
   3. Current Tax Clearance certificate of the expatriate (original to be presented for sighting)
   4. Expatriate Quota Returns for the three months preceding the date of approval.
   5. Detailed Training programme for Nigerians
   6. List of Nigerians understudying expatriate on prescribed formats showing date employed, qualification, etc.
   7. List of Nigerian Senior/Management Staffs showing names, designations, qualifications, salaries per annum
   8. Certificate Current Audited Accounts
   9. Annual income tax Clearance certificate of the Expatriate staff (original to be presented fro sighting);
4. ADDITIONAL EXPATRIATE QUOTA
   Same documents as for renewal of expatriate quota plus:
   1. Evidence of acquired machinery or expansion of company is engaged in manufacturing in the form of Clean Certificate of inspection (CCI) issued by Government appointed Pre shipment inspection Agents
   2. Evidence of new contract if Company is engaged in construction/engineering and oil (original to be presented for Sighting) see  b (ii) for guidance
   3. Evidence of acquired farm / factory if Company is engaged in agro-allied business (original to be presented for sighting).
5. RESTORATIONS OF QUOTA
   In applying for restoration, there must be reasons and proof for the reactivation and revitalizing the company i.e. previously depressed economy, increased demand for the Company’s product / services and acquisition of new machinery i.e. Clean Certificate of Inspection (CCI) issued by Government appointed Pre-shipment inspection
   AGENTS.
6. REDESIGNATION OF QUOTA
   In case where a Company has difficulty in filling or owing to exigency of Operations, it is at liberty to apply for the re-designation of the affected position and this will be considered, purely on its own merit.
7. PERMANENT UNTIL REVIEWED QUOTA – (P.U.R)
   The main reason for the granting of P.U.R quota slot for which a Certificate would be issued, is to enable the foreign subscriber(s) adequately protect their interest and to give them a sense of greater commitment. The criteria and documents required for P.U.R are:
   
   1. Minimum share capital should be N10 Million
   2. Appreciable net profit of which not less than N2 million has been paid as Corporate Tax (original to be presented for sighting)
   3. Certified and Detailed Audited Account
   4. Certificate of Incorporation
   5. Monthly Returns of Expatriate Quota
   6. Company Organisation Structure
   7. Individual Income tax Clearance Certificate of the expatriates (original to be presented for sighting).

   NOTE:
   Other factors that would also be considered when considering P.U.R request include:

   1. political / policy direction of Government.
   2. company’s area of business to fall within priority sectors of the economy.
   3. Evidence that P/U.R would guarantee Technology transfer.
   4. Company should have large quota portfolio and Corresponding share holding as an added qualification.
8. QUOTA FOR INDIGENOUS COMPANY (FULLY-OWNED BY NIGERIANS
   Same documents as in (b) above except Joint Venture Agreement
9. WHOLLY-OWNED FOREIGN COMPANY
   
   1. Same documents as in (a) & (b) above except Joint venture Agreement
   2. Share Capital must not be less than N10 Million.
10. AMENDMENT OF BUSINESS PERMIT
    
    1. Board Resolution on the changes in either the composition of the Board of directors, location of business or line of activities duly registered with Corporate Affairs Commission
    2. Extract of Minute of Board of Directors Meeting showing decision taken and attendance.
    3. Evidence of resignation / appointment of Directors (old & new) where applicable
    4. Company Current Tax Clearance Certificate (original to be presented for sighting);

       NOTE:
       Board Resolution should indicate names of Directors present at the meeting and must be fully signed by the Chairman and Company Secretary.

What Is CERPAC ?
CERPAC IS THE ACRONYM FOR COMBINED EXPATRIATE RESIDENCE PERMIT AND ALIENS CARD.

Who qualifies
Expatriates resident or working in Nigeria

1. INTRODUCTION AND REQUIREMENTS
   CERPAC FORMS:
   1. CR (Concessionary) forms are meant for Missionaries, Students,  on ECOWAS African Nationals and Cameroonians
   2. AO forms are for other Nationals and persons with special  Immigrant status.
   3. AR forms are for Exempted Persons (Diplomats, Government officials, NGO’s and Niger-wives).
      
      1. AR forms are issued at the Immigration Service quarters and State Commands all over the Federation.
      2. CR & AO forms are obtainable from Afribank Nigeria Plc.

   CERPAC GUIDELINE(S)

   1. 4. The CERPAC form as endorsed is  valid for three (3) months from the date of purchase.
      5. Two forms are endorsed with this Booklet Guideline(s) as sample at the point of collection of the CERPAC pack.
         
         1. Please read through both forms carefully before completing them.
         2. Use a black ball point pen and complete the forms in capital letters .
2. Please Note the following:
   
   1. The envelope containing this CERPAC Pack should be preserved and used in submitting your forms and documents after completion.
   2. All fees paid to obtain forms are not refundable.
   3. In the event of loss of form(s), replacement will be treated as a new issue and will attract the original fees.
   4. Any erasures, cancellation, or defacement of any sort shall render the form(s) void.
   5. Any form(s) voided as in 2.4 (above) must be returned as a complete set to the bank of purchase for replacement. Such replacement will attract a service charge and pack cost of N2,500(Two Thousand, Five Hundred Naira) payable to the Bank.
   6. Three (3) Nos. “2 x 2” passport  photographs on white background should be submitted with the completed forms.  One of the photographs should be attached to the bottom right-hand side of the CERPAC form titled “Receipt and Temporary Card
   7. You are required to append your signature beside your photograph attached on the form (as in 3.1 above)
   8. Enclose also one (1) No. facial portrait measuring 4′ x 3′ (inch) white background
3. All completed forms and documents should be submitted to the Immigration State Command where your file(s) is (are) located, for Verification and Clearance.
4. At the time of submitting the completed forms and documents, you will be required to present your original Passport for verification of the documents presented.
5. When your forms and documents are received, verified and endorsed by the relevant Immigration State Command, an Immigration/CERPAC Stamp will be applied to your Receipt/Temporary Card. Please ensure that the Receipt/ Temporary Card is authenticated and returned to you. You will also be required to physically come into a CERPAC office for the capture of your Digital Personal Identification.
   Special Immigrant Status
   
   1. Special Immigrant Status: These are expatriates married to Nigerian Women
   2. Formal letter of request from Nigerian wife accepting Immigration Responsibility.
   3. Formal letter of request from the husband.
   4. Photocopies of the first five (5) pages of wife’s ria Standard passport.
   5. Photocopy of marriage Certificate.
   6. Duly completed form IMM22 in triplicate copies with three (3) recent passport photographs.
   7. Applicant’s National Passport.

WHAT IS CERPAC GREEN CARD ?

The CERPAC GREEN CARD is a bonfire document that allows a non-Nigerian to reside in Nigeria and carry out an approved activity as specified in the permit, or to accompany a resident or citizen of Nigeria as a dependent. Possession of a valid CERPAC GREEN CARD does not exempt the holder from having a valid entry or re-entry permit/visa. Holders of resident status in Nigeria who are proceeding on leave or temporary duty outside Nigeria should apply for re-entry permit/visa prior to their departure from Nigeria.
The validity is Two (2) years.

WHAT IS CERPAC BROWN CARD?

Every Alien resident in Nigeria or visiting with the intention to remain in Nigeria in excess of 56 days and crew members leaving their ship and staying ashore in excess of 28 days are required by law to register. Unlike the CERPAC GREEN CARD, the BROWN CARD is, essentially, a movement chart.

Work in Nigeria

When you’re ready to jump into working in Nigeria, one of the first challenges that may come to mind is hiring. Your company can be only as successful as the people behind the brand, so you need talented employees who will help you build a new location. 

Skills shortages

According to the Critical workers are needed in the following roles:

• Accountant
• Architect
• Bookkeeper
• Chef
• Company secretary
• Electrician    
• Management consultant
• Multimedia specialist
• Retail manager
• University lecturer
• Web designer.

This isn’t an exhaustive list so check the document to determine if you have the sought-after skills and qualifications to carry out an in-demand role.

Nigeria Employment Laws

Nigeria’s major sources of employment compliance laws include the Constitution of the Federal Republic of Nigeria 1999 and the Labor Act of the Laws of the Federation of Nigeria 2004. All federal laws enacted by the National Assembly and state laws enacted by the House of Assembly also govern employment relationships.

There are two broad categories of employees in Nigeria — those who perform manual or clerical work and those who do administrative, executive, technical, or professional work. The Labor Act applies only to the first group of employees who handle manual or clerical work. Non-workers are typically governed by their employment contracts.

Benefits of Hiring Outsourcing in Nigeria

Choosing Nigeria hiring outsourcing services with Globalization Partners will give you more time and confidence in your hiring process. We know how to hire Nigerian employees on your behalf, and we promise that your employees will experience a great hiring process that will allow them to be productive sooner. As the Employer of Record, we can shoulder all compliance matters so that you can run your company without added stress.

Working Hours in Nigeria

The labor law requires one 24 hour rest period every seven days and a one hour break per six hours of work.

Holidays in Nigeria

• New Year’s Day
• Good Friday
• Easter Monday
• Labor Day
• Democracy Day
• Id el Fitri
• Id el Kabir
• National Day
• Id el Moulud
• Christmas Day
• Boxing Day

Vacation Days in Nigeria

Employees are generally entitled to six days of paid annual leave after one year of employment.

Nigeria Sick Leave

In general, employees are entitled to 12 days of paid sick leave per year.

Maternity/Paternity Leave in Nigeria

Female employees are generally entitled to 12 weeks of maternity leave at 50% of pay.

Paid paternity leave is available in the Lagos and Enugu States of 2 weeks and 3 weeks respectively.

Health Insurance in Nigeria

Nigeria has a National Health Insurance Scheme. Private health insurance is also available.

Nigeria Supplementary Benefits

Common benefits include:

• pension plans
• dental benefits
• life insurance
• stock options
• car allowance
• mobile phone

Bonuses

Some companies pay a 13th month bonus, but it is not statutorily required. Annual bonuses and performance-based bonuses are common in Nigeria.

Termination/Severance in Nigeria

Nigeria has at-will employment. In general, employers should provide written notice of dismissal and give the employee an opportunity for defense.

Probationary periods of up to three months, or longer if negotiated, are permitted.

There is no statutory severance pay.

Paying Taxes in Nigeria

Employees who make more than ₦3,000 contribute 2.5% of their wages to the National Housing Fund.

Contributory Pension Scheme:

• Employers contribute at least 10% of employee monthly emolument
• Employees contribute at least 8% of monthly emolument

Nigerian visa

If your company is planning to expand operations to Nigeria, you probably want to get started as soon as possible. However, you’ll need to make sure all of your employees have the visas and permits they need to live and work in Nigeria legally.

Types of Work Visas in Nigeria

There are four primary types of visas offered in Nigeria:

• Tourist visa
• Business visa
• Temporary work permit
• Subject to Regularization (STR) visa

There are a few other visas, including those for transit and diplomatic visits. All of these visas are issued to allow entry into Nigeria, and they’re all valid for three months.

Foreign citizens who plan to take up employment in Nigeria will need to obtain an STR visa. However, this visa alone does not give the holder the legal right to work in Nigeria. To do so, they will also need to obtain a Combined Expatriate Residence Permit and Aliens Card, or CERPAC, which is a combined permit for residency and work in Nigeria.

Requirements to Obtain Nigeria Work Visas

To live and work in Nigeria, employees will need to start by obtaining an STR visa. The following documents are required:

• A formal application from the sponsoring employer in Nigeria
• A passport with a minimum of two blank pages and six months of validity
• Proof of sufficient financial means
• Two valid passport-size photos
• A completed visa application form
• A letter containing a job offer from a company in Nigeria and an acceptance letter from the employee
• A copy of the employee’s CV and relevant educational qualifications
• Expatriate quota approval

To obtain a CERPAC card, applicants will need to provide the following documents:

• An application letter from the Nigerian employer accepting Immigration Responsibility and requesting that the employee’s stay be regularized
• A letter of employment and acceptance of the job offer
• A duly completed application form
• Proof of expatriate quota approval
• Three passport photos
• The applicant’s passport, which should have STR visa endorsement
• A business permit
• Proof of payment for any applicable fees

Other Important Considerations

Should a foreign employee need to remain in Nigeria for more than two years, your company needs to be aware of the process for renewing their CERPAC. Applicants for CERPAC renewal will need to provide:

• The original card that is expiring
• A valid passport, along with copies of any pages that are relevant
• Proof of quota approval
• A letter from the employer requesting the renewal of the card

These requirements also apply to the replacement process in the event that the card is lost.

Coraledu, a leading overseas immigration consultancy, offers tailored services to assist clients with their immigration needs.

Services include:

• Expert guidance and counseling for Nigeria Immigration.
• Free career counseling sessions available, schedule your appointment today.
• Comprehensive support for Nigeria PR visa applications.
• Job search assistance to help find relevant employment opportunities in Nigeria.