EXCHANGE CONTROL (ANTI-SABOTAGE) ACT

An Act imposes criminal penalties for deliberate acts of economic sabotage in foreign exchange markets. It targets individuals who manipulate these markets and supports regulators like the Central Bank of Nigeria and the Economic and Financial Crimes Commission in enforcement. This protects Nigeria's foreign exchange reserves and ensures market stability.

What Is This Policy?

An Act imposing criminal penalties for deliberate acts of economic sabotage involving foreign exchange, particularly the malicious manipulation of foreign exchange markets or willful destruction of foreign exchange reserves.

Who Does It Target?

Persons engaging in deliberate foreign exchange market manipulation CBN as the forex market regulator EFCC as the economic crimes enforcement body Courts handling economic sabotage cases

What Does It Aim to Achieve?

Protect Nigeria's foreign exchange reserves and market stability by criminalising deliberate acts that undermine the foreign exchange system.

Key Features

Sabotage Offences: Defines the specific acts that constitute foreign exchange sabotage. Severe Penalties: Imposes severe penalties including long imprisonment for forex sabotage. CBN Reporting: CBN may report suspected sabotage to EFCC for investigation. National Security: Treats deliberate forex sabotage as an economic security threat.

Current Status

Rollout Stage: Active Coverage: Nationwide foreign exchange market Beneficiaries: Forex market stability; national economy Funding: Federal Government

How to Access

Report suspected forex market manipulation to CBN or EFCC Banks must report suspicious forex transactions to NFIU Application method: Report at https://www.efcc.gov.ng

Important Terms

Forex market manipulation is treated as an economic crime equivalent to terrorism financing The Act supplements the FEMAP Act for the most serious forex offences Both individuals and corporate entities may be prosecuted under this Act

Official Resources

Website: https://www.efcc.gov.ng Contact: EFCC / CBN

Legal Framework

Enacted under the legislative powers of the National Assembly as the Exchange Control (Anti-Sabotage) Act (Cap E18 LFN 2004). Operates alongside the Foreign Exchange (Monitoring and Miscellaneous Provisions) Act, the Central Bank of Nigeria Act 2007, the EFCC (Establishment) Act 2004, and the Criminal Code Act on economic sabotage. Aligns with FATF Recommendations on anti-money laundering and strategic goods controls.