Visa Requirements for Nigeria

Five different types of visas are offered by the Nigerian Immigration Service. Each visa allows a 90 day duration, and is valid for different purposes. The initial visa should be applied for within the traveler's country of residence, and an interview may be required. 

• TOURIST VISA

Available to visitors of all nationalities who wish to visit Nigeria for the purpose of tourism, or to visit family or friends.

• BUSINESS VISA

Available to foreign travelers who wish to visit Nigeria for business purposes (meetings, conferences, seminars, job interviews, etc.)  This visa is not valid for actual employment.

• TEMPORARY WORK PERMIT (TWP)

Permit is available for specialized skilled services, such as repairs to equipment, maintenance, installation work, auditing, training, etc. The permit is intended for short term work, and is applied for by the Nigerian company on the applicants behalf.

• SUBJECT TO REGULARIZATION (STR) VISA

Visa issued to foreigners for the purposes of employment, study, research, etc. The Nigerian employer initiates the application on the foreigners behalf, and a work contract is required.

• VISA ON ARRIVAL

Available to frequently traveled, high net worth investors who are visiting Nigeria for business interests. Visa on arrival is also available to citizens of African countries.

Obtaining Residency Status in Nigeria

Employment

A foreigner who has been issued a STR work visa can then have their employer apply for a Combined Expatriate Residence Permit and Aliens Card (CERPAC) on their behalf.  This is a combined residence permit and work permit, and is valid for a period of up to 2 years, after which a renewal application can be made by the holder.

Business owners

A person can obtain residency in Nigeria by registering a company with a minimum of N 10,000,000.00 (Ten Million Naira) authorized share capital in Nigeria.

The following permits must be obtained after the incorporation of the company:

• BUSINESS PERMIT

Every wholly foreign-owned company registered in Nigeria must obtain a Business Permit before the commencement of operation. The Federal Ministry of Interiors issues business permit.

• EXPATRIATE QUOTA

Every company seeking to bring foreign workers, either a CEO or director or other employees to Nigeria must obtain Expatriate quotas for the total numbers of staff to be sent into Nigeria. Expatriate quotas are issued to company to enable it bring foreign workers.

• STR VISA

The Subject to Regularization (STR) Visa is to be obtained by every prospective immigrant to Nigeria with a valid expatriate quota. It is issued at the Nigerian embassy overseas. It involves various documentation including expatriate quota, which the applicant must present to the Nigerian embassy oversea.

• RESIDENCE PERMIT (CERPAC)

The Combined Expatriate Residence Permit and Aliens Card (CERPAC) can only be obtained when the foreign applicant with valid expatriate quota and STR Visa has arrived the Nigerian territory.

Obtaining Nigerian Citizenship

Under the Nigerian Constitution, there are only 3 ways of Nigerian citizenship:

• By Birth: either parent or grandparent must have been born in Nigeria
• By Registration: applicable to a woman who is or has been married to a citizen of Nigeria. Foreign men who are married to a Nigerian female for a minimum of five (5) years and above can be issued special immigrant status with full residential rights.  In addition, any person of full age and capacity born outside of Nigeria whose grandparent(s) is a citizen of Nigeria is also eligible for citizenship by registration.
• By Naturalization: a person who has resided in Nigeria for a continuous period of fifteen years before his/her application for naturalization
  
  

A foreigner can therefore relocate to Nigeria and gain citizenship either by incorporating a company, by marriage or by naturalization.

Citizenship by DNA

A foreigner tracing his or her ancestry to Nigeria via a DNA test cannot ascertain citizenship in Nigeria except for in the event that a parent or grandparent of the foreigner was born in Nigeria. The Nigerian Legal System is evolving, and with the right exposure and influence, laws may be made in the future by the Nigerian legislative arm of government, to embrace Africans in Diaspora, especially those with DNA traceable to indigenous communities in Nigeria. This is the type of legislation that The African Diaspora Group will work to influence as we expand our presence on the continent.

For all of your citizenship & residency legal needs, reach out to Resolution Law Firm in Lagos, Nigeria.

Resolution Law Firm
Olusola Jegede, MCIArb
+234 811 111 3830 (WhatsApp)
Email | Website

*The information provided on this website does not, and is not intended to, constitute legal advice; instead, all education, content, and materials available on this site are for general informational purposes only. This website contains links to other third-party websites. Such links are only for the convenience of the member; The African Diaspora Group and its affiliates do not recommend or endorse the contents of the third-party sites.

Healthcare

The Nigerian healthcare system has had a history of some inefficiencies, due to shortages of medical supplies, poor sanitation, the prevalence of diseases that have been eradicated in most developed nations, and the exodus of healthcare professionals from Nigeria to other countries in search for better opportunities abroad. Improvements have been made in the recent years as the country moves to take on the fight to end polio, including a decentralized disease control network with improved vaccine storage. 

While the lack of quality healthcare options may be a drawback for foreign visitors, with adequate coverage from an international health insurance provider, most individuals are able to find solutions to their needs, without relying on the public healthcare system.

International Health Insurance

International insurance is a good option for foreigners visiting or relocating to Nigeria, as it offers private health benefits and emergency evacuation coverage if the need presents. Payment is typically expected upfront, with reimbursement provided by the health insurer thereafter. There are many international health insurance providers to consider. Research coverage, premiums, and reviews on claims processing from some top providers:

• Cigna Global
• Aetna International
• GeoBlue Global
• NOW International
• Allianz Care

The Nigerian Health Insurance Scheme

For citizens, the National Health Insurance Scheme (NHIS) is available, with aims of providing all Nigerians with access to healthcare. This program is not available to expats, but if relocating for work, the employer may extend healthcare benefits. 

Nigerian School System

The Federal Ministry of Education oversees the Nigerian education system. The school system is divided into kindergarten, primary education, secondary education, and tertiary education. Primary education begins at age 3 and uses a 6-3-3-4 system; meaning students spend six years in primary school, three years in junior secondary school, three years in senior secondary school, and four years in tertiary institution. Students learn English, mathematics, religion (usually Christian and Islamic), science, and one of the three main indigenous languages: Yoruba, Hausa-Fulani, or Igbo.

When selecting a school for your loved ones, some considerations may include costs, teachers, books and technology, curriculum, extracurricular activities, meals, transportation options, and proximity to home, as traffic can be dense specifically in Lagos. 

Many expats send their children to private international schools, and there are many to choose from throughout Nigeria. Homeschooling is also an option and is permissible in Nigeria.

Relocating your Belongings

Relocating abroad can offer the chance to downsize personal belongings, and start anew. But for the items that you are just unable to pack or part ways with, there are options. 

Air freight

Air freight is quick, taking just a few days for arrival, but is the most expensive option due to the cost of transporting bulk items via aircraft. Air freight is often used for lighter and more expensive items that are time sensitive, such as pets and livestock.

Sea freight

Ocean freight is the most common form of shipping goods overseas, but the process can take a few weeks for arrival, so timing should be taken into account. Goods ship in 20 or 40 ft sea cans, and you will need to arrange for transport from the port to your destination.

Relocating with Pets

The process for bringing pets such as cats and dogs into Nigeria will require that you obtain an import permit (International Veterinary Certificate). 

To obtain an import permit, the process is as follows:

1. Written application form, indicating the date of travel.
2. Attach copies of the following documents: 
   • Health certificate attesting to the health status of the pet. This must be signed and stamped by the attending veterinarian and endorsed by the official veterinarian of the exporting country.
   • Up-to-date vaccination record (only inactivated vaccines may be used).
   • Laboratory results for Rabies serology test
   • Attach evidence of payment for import/export processing fees after payment on Remita.  (Find processing fees and procedure for payment here. *Scroll down to 'Processing Fees for Veterinary Export and Import Permit' section).
3. Submit all documents as hard copies to the Department of Veterinary and Pest Control Services, Federal Ministry of Agriculture and Rural Development, Garki, Abuja or Scan and email copies to [email protected] or [email protected]. The process of obtaining an import permit takes 3-5 working days.

Notify Nigeria Agricultural Quarantine Service (NAQS) of travel details upon receipt of the permit. Be sure to check with the airline to confirm any additional requirements for international pet travel.

Upon arrival at the point of entry to Nigeria: 

1. Make declaration of the animal for NAQS inspection and certification. Declaration should include all the documents accompanying the animal including the Health certificate.
2. NAQS Officers verify the documents as well as the health status of animal at the point of entry.
3. If the animal complies with the NAQS import policies, the owner will pay the appropriate fees for the pet to be quarantined for a "reasonable period of time" after which they will be released.
4. If the animal does not comply with import policies, the following measures will apply:
   • Quarantine at the owner’s expense and risk.
   • Collection of samples for laboratory analysis.
   • Release, detention, or seizure of the pet, as deemed necessary by the NAQS officer. 

Relocation Consultation

The African Diaspora Group offers a wide network of consultancy offices throughout Africa, that will facilitate your visitation or relocation needs. Let our local specialists provide you with the information and tools for a smooth trip to Nigeria.

Schedule services

*The information provided on this website does not, and is not intended to, constitute legal advice; instead, all education, content, and materials available on this site are for general informational purposes only. This website contains links to other third-party websites. Such links are only for the convenience of the member; The African Diaspora Group and its affiliates do not recommend or endorse the contents of the third-party sites.

Foreign Ownership of Land and Property

While a foreigner can acquire ownership of land or property in Nigeria, it is important to note that this acquisition is subject to the provision of Section 46 of the Land Use Act and the restriction in the Acquisition of Lands by Alien Laws of various states of Nigeria, which provides that no alien shall acquire any interest or right in or over land from a native of Nigeria unless the transaction under which the interest or right is acquired has been previously approved in writing by the Governor. 

Land

Foreigners can obtain leases from the State for a maximum of 99 years for the use of land. The Land Use Act of 1978 converted all land to State Land. The Governor of the State is responsible for the management of this land on behalf of the people. Therefore, land cannot be owned privately. The Governor´s consent is needed for the assignment of title to use, occupy, and improve property with a statutory certificate. This certificate does not include rights to sell, give, or sublet, which requires further consent from the State Governor. Before purchasing, it is important to make sure that consent from the Governor is obtained for the sale. No land can be "sold" without this consent.

Property

Sale of real estate, however, does not involve actual selling and purchasing. There is only the transfer of rights from one person to another. This transaction is usually called an ‘Assignment’. The seller assigns the rights to use and occupy the land to the buyer. After the transaction, the buyer applies for a new certificate under his name.

Steps to a Real Estate Transaction

Purchasing from a developer / builder

1. Reach out to a real estate agent to begin your property search: It is always recommended to work with a Realtor when looking to purchase property. Your agent will gather information about your goals, and help you to search for the right properties. Once you have identified a property of interest, be sure to ask questions to ensure that the property is okay to move forward with - Location, title, delivery date if it’s a pre-construction (off-plan) house, etc.
2. Do your due diligence by asking for the title document so you can use it to conduct a search at the Lands Registry.  *You can involve a lawyer at this stage to help you with the search.
3. If Everything checks out okay and the property is free from government acquisition, then you can make your agreed upon payment. (Details on payment plans discussed in 'Financing' section below)
   
   

Purchasing from an Individual or Family

If buying land or property directly from an individual or family unit, the process is more complex, and requires considerably more due-diligence on the buyers part. An interested purchaser must verify the name of the actual owner to the stated land, as well as the track record of that vendor (seller) to minimize any future legal issues. 

Steps include:

1. Investigation of property title: the purchaser's solicitor (attorney) proceeds to carry out an investigation to verify the vendors name as well as to determine that there are no defects in the stated property owner’s name. This investigation involves several searches at various registries where records of properties and encumbrances are kept.
2. Assignment: The Deed of Assignment may be prepared and signed by all parties and their witnesses. The vendor submits all original documents relating to the title of the land to the purchaser.
3. Registration: the purchaser can take a full possession of the property. The buyer must register the property with the government to complete the transaction.
4. Governor's consent: The Land Use Act prohibits the sale or transfer of the occupancy rights of a property without the consent of the Governor. An application will be made by the buyer, and the seller should have signed to give their consent at the time of contract acceptance.

For a full guide on purchasing land or property from an individual or family member, download your copy here. Due to the extensive nature of events that must take place, it is advisable for a buyer to purchase from a developer, who will have completed these steps when they purchased the land from the individual themselves.

Realtors Commissions

If buying a property from a real estate company, and utilizing a Realtor, the company pays the Realtor’s commission, so the buyer does not have to pay this fee.

If the buyer is buying from an individual or a standalone developer, the buyer pays Realtor commissions in the range of 3-5% of the purchase price for a house, or 10-15% of the purchase price for land.

An Attorney's Role in the Real Estate Transaction

It is very essential and advisable to involve a lawyer when one intends to buy a land or acquire a property. Roles and responsibilities of a lawyer in relation to a real estate transaction include but are not limited to the following:

• Investigation of the title sought to be transferred from the appropriate registries.
• Advising on the viability or otherwise of the title of the property sought to be transferred.
• Preparation of formal contract that encapsulates the agreement of the parties in respect of the property that is being transferred. Excellent drafting skills are required for this to ensure that the document reflects the full intention of the parties.
• Approval of the contract by the solicitor of the purchaser.
• Exchange of contract by the parties to the contract.
• Obtaining the consent of relevant authorities for permission to transfer the legal interest in the property.
• Preparing and ensuring the execution of the deed or the instrument that transfers the legal interest in the property.
• Payment of stamp duties, fees and other taxes in respect of the property being transferred.
• Registration of the instrument that conveys the legal interest in the land

Legal Fees

On average, legal fees are typically around 5% of the cost of the land. These fees are subject to negotiation based on the cost of the property to be purchased. The fees may be higher or lower in various transactions.

Risks

Purchasing property in Nigeria is not without risks. Two laws make land ownership uncertain in Nigeria. Although these laws have their counterpart in most countries, it is the implementation that really matters.

The Petroleum Act of 1969 and Land Use Act of 1978 allow the government to take over land under the state’s right to eminent domain. The compensation to the owner covers only the "unexhausted improvements" to the land but not the land itself. The value is also fixed to a government rate which was set in the year the law was created. These factors combined with corruption and years of autocratic rule, mean that uncompensated expropriation of property is common.

Omonile Wahala

The Omonile are indigenous / traditional land owners in Lagos State. They are often feared by purchasers of land because of their history of engaging in various schemes, such as selling a property to multiple buyers; reselling land that was already sold, to another buyer, usually when there has been some appreciation to the land, and relocating the previous buyer to a new location; collecting fines or taxes on land that has been sold, selling land that is engaged in a dispute to buyers, etc.

To minimize the possibility of falling victim of such activities, it is important to involve an attorney, who will complete thorough checks relating to the property title, who has rights to the property along with their history as a seller, and whether there are any disputes. After purchasing land, it is advised to begin construction immediately, instead of waiting months or years to begin building, during which the land may have been “sold” to someone else. When viewing real estate, you may come across terms such as "No Omonile", and this is making reference to that land not being subject to indigenous ownership.

Property Ownership

Search land or property within Africa through our partner company, OneAfrica Properties. Once you are ready to begin taking steps towards making a purchase, schedule a consultation with an international property specialist to assist you in locating land or housing in the location of your dreams. 

Search land & real estate

Financing

Payment plans 

Real estate developers who build property often offer payment plans when purchasing pre-construction (off-plan) property or land. Terms will vary between developers, but the most common financing terms are as follows:

• Outright payment made in 0-3 months
• 6-12 month payment plans for land
• 6-24 month payment plans for houses

Mortgage Lenders

Interest rates are much higher than the prevailing rates in the US or UK (around 18-26%), but it is a viable option for those who are looking for a means to purchase their home, without having to come up with the entire amount in cash. 

Other Financing Options

For foreign buyers looking to purchase land or property in Nigeria, some other considerations could include utilizing funds that are accessible from sources within the purchasers home country. 

Sources such as home equity lines of credit, retirement accounts, personal loans, traditional lines of credit, liquidating stocks, cryptocurrency or precious metals, etc. can allow access to capital, at lower interest rates than what is offered when financing real estate through a Nigerian bank. 

Programs for Nigerian Citizens

• NATIONAL HOUSING FUND (NHF)

Available to employed or self-employed citizens of Nigeria, who contribute 2.5% of their monthly income into the housing fund, which allows access to obtaining a 30 year mortgage at a 6% interest rate.

• RENT-TO-OWN

The Lagos State Government has set up the rent-to-own scheme, which allows individuals to pay only 5% of the cost of the housing unit as the commitment fee, and the balance is spread over a period of 10 years. Purchasers may live in the property while paying towards ownership at a fixed rent over the 10 year period.

For all of your land & property related legal needs, reach out to Resolution Law Firm in Lagos, Nigeria. 

Resolution Law Firm
Olusola Jegede, MCIArb
+234 811 111 3830 (WhatsApp)
Email | Website

*The information provided on this website does not, and is not intended to, constitute legal advice; instead, all education, content, and materials available on this site are for general informational purposes only. This website contains links to other third-party websites. Such links are only for the convenience of the member; The African Diaspora Group and its directors do not recommend or endorse the contents of the third-party sites.

Investing in Nigeria

Nigeria is making an effort to make foreign investment attractive, and to offer incentives for doing business within the country. The establishment of the Nigerian Investment Promotion Center (NIPC) in 2004 has helped to provide resources for investors around the world to learn more about available opportunities, and take the first steps to successfully operate a business in Nigeria. 

Investment Industries

Agriculture

The agricultural sector continues to play a vital role in the economy, contributing 25% of Nigeria’s Gross Domestic Product (GDP) and accounting for 48% of the labor force. Sub-sectors include crops, livestock, fishing, and forestry. Nigeria's population is expected to increase to 410 million by 2050, thereby increasing domestic consumption.

Manufacturing

The manufacturing sub-sector has been growing in recent times in direct response to various programs implemented by government. The sub-sector’s capacity utilization has grown from an average of 35% in the 1990s to an average of 54% in the last five years. Its contribution to national GDP has also grown steadily to an annual average of 9% in the same period.

Lagos and its surroundings are home to about 60% of Nigeria’s industrial activities. Other key industrial centers are Kano, Aba, Ibadan and Kaduna. Nigeria’s most important manufacturing industries include beverages, cement, food processing, textiles and detergents.

Oil & Gas

Oil, natural gas and other oil and gas related products account for 90% of the total export volume and more than 80% of the government revenues. The country produces a daily average of 2.5 million barrels of crude oil which ranks it as the largest African producer and the 6th in the world.

Major international oil companies currently operating in the country include Total, Chevron, Exxon Mobil, Elf, Shell, ConocoPhillips, Eni, and more.

Real Estate

The population in Nigeria is growing at unprecedented levels, presenting a need to keep up with housing demands, while offering affordable housing options to citizens. Federal and Lagos State Governments have taken strides to provide an avenue for reducing Nigeria’s 17 million housing deficit in an affordable yet profitable manner. 

The Lagos State Ministry of Housing has set aside land in strategic locations where they seek partnerships with investors to develop housing and share profits, under various arrangements. 

Investment Incentives

Nigeria is actively working to make investments, both domestic and international, an attractive option for investors globally. A few of the incentives that are offered as as follows: 

Tax Treaties

Nigeria has entered into tax treaties with the United Kingdom, South Africa, Belgium, China, France, Netherlands, and South Africa, to avoid double taxation on income and capital gains.

Pioneer Status

Companies in industries such as agriculture, oil & gas, solid minerals, manufacturing, tourism & hospitality, power, may be recognized as 'pioneer'. This allows a company an income tax holiday for 3-5 years. Dividends are also exempt from taxation.

Rural Investment Allowance

Companies based less than 20 kilometres from government facilities who incur capital expenditures for providing electricity, water, tarred roads, etc. for trade or business purposes may qualify for the rural investment allowance.

Allowance rates: 100% - no facilities; 50% - no electricity; 30% - no water; 15% - no tarred road.

Investment Tax Relief

Similar to rural investment allowance, but only available for a maximum of 3 years for companies without pioneer status.

Export Expansion Grant

Post-shipment incentive for non-oil exports. Qualifying exports must fully repatriate proceeds within 300 days.

Deduction for Research and Development

Allows a 20% investment tax credit on qualifying expenditures for companies engaged in research and development activities.

Export Processing Zones Incentives

Allows a 100% capital allowance, rent-free land during construction, and a full holiday from federal, state and local
government taxes for qualifying companies.

Types of Businesses

There are four (4) types of companies recognized for business in Nigeria:

1. Private Limited Liability Company (LTD): This is the most common form of business set up by investors and it requires a minimum share capital of NGN 10, 000. A private limited liability company is a legal entity in its own right, separate from those who own it. The company requires a minimum of two (2) and a maximum of fifty (50) shareholders and directors. Such a company is restricted from transferring its shares freely and prohibited from inviting the public to subscribe to its shares, debentures and/or deposit money for fixed periods or payable at call, whether or not bearing interest.
2. Public Limited Liability Company (PLC): The minimum share capital for this type of company is NGN 500,000. A Public Limited Company required a memorandum of Understanding of two (2) shareholders. There is no restriction  on the maximum number of shareholders or their right to transfer their shares freely. The public may be invited to subscribe to its capital and the shares may be traded on any securities Exchange.
3. Company Limited by Guarantee (GTE): Generally incorporated as a not-for-profit, this kind of company limits its members’ liability to the amount of their respective guarantees.
4. Unlimited Company: This type of company has no limit on the liability of its members.

Business Registration

Members of The African Diaspora Group Investment Club have direct access to our partners within the Nigerian Investment Promotion Commission for facilitation with the business registration process. For those who wish to initiate the process independently, instructions are as follows.

The business incorporation process can be initiated online via the Nigerian Corporate Affairs Commission. Here, one can conduct name searches, complete the required forms, submit all relevant incorporation documents, and pay associated fees.

The online registration process is as follows:

1. Create an account on the CAC portal This can only be created by one of the company’s directors/shareholders or an accredited agent (a lawyer, chartered accountant or chartered secretary)
2. Conduct a name search and reserve a name
3. Complete the registration form, providing details of the directors, shareholders, and nature of the business
4. Pay CAC filing fees and stamp duty
5. Download completed online form and Memorandum & Articles of Association. Sign documents accordingly.
6. Upload scanned documents for processing
7. Present original copies of uploaded documents and collect certificate of incorporation from the preferred location
8. Once the certificate of incorporation is ready, a Tax Identification Number (TIN) will be generated by the Federal
   Inland Revenue Service and sent to registrant’s email.

Exemption from Incorporation

Foreign companies intending to do business in Nigeria may apply for exemption from the standard registration requirements if they are:

• Invited by any tier of government for specific individual projects;
• Executing specific individual loan projects on behalf of a donor country or international organisation;
• Foreign government-owned companies engaged solely in export promotion activities; and
• Engineering consultants or technical experts engaged in specialist projects with any tier of government

For all of your business & investment related legal needs, reach out to Resolution Law Firm in Lagos, Nigeria.

Resolution Law Firm
Olusola Jegede, MCIArb
+234 811 111 3830 (WhatsApp)
Email | Website

*All investment strategies and investments involve risk of loss. Nothing contained in this website should be construed as investment advice. Any reference to an investments past or potential performance is not, and should not be construed as a recommendation, or as a guarantee of any specific outcome or profit.