Tips for buyers
International trade can present risks, uncertainties about timing and modes of payments between buyer and seller. Ensure the terms of payments are clearly defined in the export contract Find below some important financial tips on how to relate with Nigerian exporters.
Some of the world’s currencies are accepted for most international transactions in Nigeria. The most popular are US Dollar, British Pounds Euro and Yen. The US Dollar is most widely accepted by Nigerian sellers.
The most acceptable form of payment for export in Nigeria is Documentary credit (e.g. Letter of Credit). Others are:
- Open account (e.g. advanced payment, cash against document, deferred payment)
- Documentary collections (e.g. bills of collections)
It is advisable to always check and discuss your payment options with a financial adviser and the seller. This would ensure the right payment agreement in your export contract.
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