The Corporate Affairs Commission (CAC) has reversed its requirement for companies with foreign involvement in Nigeria to maintain a minimum paid-up capital of N100 million.
This was contained in a circular shared on the official X account of the commission on Friday.
The statement which was signed by the management of the CAC disregarded its earlier issued notice titled “Minimum Paid-Up Capital for Companies with Foreign Participation”, adding that the initial notice with reference to paid-up capital rather than issued capital was based on the Federal Ministry of Interior Handbook on Expatriate Quota Administration 2022 Revised Edition.
- “Our dear esteemed customers and the general public are hereby advised to disregard our earlier issued notice titled “Minimum Paid-Up Capital for Companies with Foreign Participation”, the commission said
- The Commission also added that going forward a more revised notice will be issued to the public.
- “We shall issue an amended notice with regards to the above in due course,” the statement underlined.
Backstory
Earlier on Tuesday, the Commission had revealed that it has assessed and begun implementing the mandate for companies with foreign involvement to maintain a minimum paid-up capital of N100 million.
The commission disclosed this in a statement on its website commenting on the implementation of its Revised Handbook on Expatriate Quota Administration (2022).
It stated,
- “The Commission wishes to notify the General Public that it has, in line with the Revised Handbook on Expatriate Quota Administration (2022), commenced the implementation of the requirement of N100,000,000 (One Hundred Million Naira) MINIMUM PAID-UP CAPITAL for Companies with foreign participation.”
- “Accordingly, any application for incorporation of a Company having foreign participation shall not be processed unless it complies with the above requirement.”
Before now, the minimum paid-up capital for such foreign companies to participate in the Nigerian market was N10 million.
Its unfortunate that our ministry or commission does not evaluate there decision before pushing it to the public
I want to be a modernizing farm business and product an