Analysis of the Nigeria Visa ... - Deloitte Nigeria...

Analysis of the Nigeria Visa Policy 2020

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Analysis of the Nigeria Visa Policy (NVP) 2020

“The introduction of the Policy is a laudable effort geared towards simplifying the Nigerian visa application process, providing various visa options for travels, facilitating ease of doing business, attracting Foreign Direct Investments and boosting tourism in Nigeria.”

Introduction We recently witnessed the unveiling of the Nigeria Visa Policy (NVP) 2020 (the Policy), a visa policy structured to outline the expectations of the Immigration Act 2015 and the Immigration Regulations 2017 with respect to visa administrations in Nigeria.

Analysis of the Nigeria Visa Policy 2020 20 February 2020

“The introduction of investor

visa would encourage investors

to invest in the economy

leading to an increase in

Foreign Direct Investment.”


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The unveiling of the Policy has generated a lot of attention from both local and international stakeholders. Certainly, the interest generated is expected, considering uncertainties that usually accompany the introduction of a new

policy of this nature. Understandably, the interest in the Policy is further heightened by the possible impact that the Policy might have on expatriate mobility and residency; a key constituent of businesses with global operations and outlook.

To assist stakeholders understand the provisions of the Policy, we hereby present a summary of the key aspects of the NVP 2020:

Highlights of key sections in the Policy

1. 79 visa types, grouped into 4 categories, can be applied for in 3 possible

ways

The Policy adopts four (4) visa categories which are further expanded to seventy-nine (79) visa classes/types with the intention of having a visa for every “conceivable” purpose. Each visa type has a unique code for ease of reference and processing. The summary of the four (4) visa categories and seventy-nine (79) classes/ types introduced under the Policy are:

S/N Visa Category No of Visa Classes/Types

1 Visa Free/ Exemption 4

2 Short Visit Visas 24

3 Temporary Residence Visas 36

4 Permanent Residence Visas 15

Total 79

It is important to note that the adoption of seventy-nine (79) visa types is an indication that the Policy seeks to erase the ambiguities surrounding the appropriateness of some visas for the purpose for which they are issued under the old visa regime. On the other hand, the creation of several visa classes might increase the possibility of a wrong visa being issued.

We expect that the Nigeria Immigration Services (NIS) would ensure seamless compliance with the guidance and clarity provided in the Policy. The Policy further outlines the three possible ways in which visas can be processed and obtained. The ways, referred to as Visa Application Channels includes Visa on Arrival, Electronic Visa (e-Visa) and Visa at the Embassy.


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This newsletter provides analysis and insights on the four categories and three Visa Application Channels as detailed below:

2. Visa Categories

The Policy provides a distinction between the four (4) visa categories which have been expanded to seventy-nine (79) visa classes/types to identify travellers exempted (permitted to visit Nigeria without obtaining a visa) and those mandated to obtain a visa before entry into Nigeria We explore each of the four visa categories further, in the following paragraphs: 2.1 Visa-Free/Exemption

There are four visa types/classes under this category and the Policy provides that travellers under these four (4) classes are permitted to visit Nigeria without a visa. The classes are:

2.1.1 F1A – ECOWAS Member states: The Policy upholds the

existing ECOWAS Free Movement Protocol which allows citizens of the ECOWAS member states free entry into Nigeria for a maximum of 90 days without a visa. However, nationals of ECOWAS member states are required to obtain ECOWAS Residence Card while in Nigeria for employment or business establishment purposes.

2.1.2 F1B – Visa Abolition Agreement Countries: Citizens of the

Republic of Cameroun and Chad with valid travel documents are granted visa-free entry only for short visit up to a maximum of 90 days. This class is however not valid for employment/business purposes. Friends and family members of nationals of Cameroun and Chad who are employed in Nigeria can visit under this option.

2.1.3 F1C – Visa Waiver for International Organizations: Holders of

official travel documents from International Organizations listed below are also granted visa-free entry into the country for a maximum of 90 days:

United Nations Organization (UN)

African Union Commission (AU)

ECOWAS Commission

African Development Bank

2.1.4 F1D – Reciprocity Visa Waiver Agreement Countries: Holders of Diplomatic/official passport of countries with which Nigeria has bilateral/multilateral agreements are granted visa-free entry valid for a maximum of 90 days. However, the visa-free entry is not valid for employment.

2.2 Short Visit Visas (SVV)

Currently, the implementation date of the policy is yet to be announced as work is still ongoing with regards to the operational modalities. We anticipate the announcement of the effective date soon.


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Short Visit Visas allow travellers to visit Nigeria for a period not exceeding three (3) months for the purpose of visit, tourism, business meetings, conferences, seminars, contract negotiation, marketing, trade fair, job interview, humanitarian service and other related activities.

Notwithstanding the fact that the Policy retained the sales and distribution of Nigerian goods as a permissible activity under SVV, we know that in practice, all forms of business activities relating to work and generation of income are subsumed under the Temporary Work Permit (TWP) and STR visas. We expect that the NIS will come out with a simplified guideline on how the SVV will be implemented.

The major highlights of the SVV are:

2.2.1 Introduction of F4A - Business Single Entry Visa as e-visa: This is for all those who wish to come to Nigeria for any of the purposes stated under SVV. Prior to the NVP 2020, business visa as designed under VoA was meant for ‘top business executives’. Business visa in its new form under the NVP 2020 gives opportunities to those who are not classified as top business executives to utilize the online option for their visa application.

2.2.2 Introduction of F4C - Business Frequently Travelled Executives Visa: This visa is designed for frequently travelled business persons of international repute with an investment portfolio of (USD250,000) in Nigeria. This visa class is a multiple entry visa with visitors permit issued to the visa holders to stay in Nigeria during each visit not exceeding ninety (90) days. The visa holders are permitted to carry out any of the activities stated under SVV and consequently, are not allowed to carry out work/employment-related activities. The visa can be obtained through any of the three available visa application channels – Embassy, e-Visa and VoA.

2.2.3 Emphasis on F4B - Business Multiple Entry and F6B - Visiting

(Multiple Entry) visas: These visas are available only to citizens of countries who offer similar multiple-entry business and visiting visas to Nigerians. While the Business Multiple Entry Visa is meant for business-related activities excluding work/employment, Visiting (Multiple Entry) visa, on the other hand, is strictly for social visits to family and friends. Both classes of visas can only be obtained at the embassy. These visa holders also receive visitors permit not exceeding ninety (90) days per visit.

2.2.4 Introduction of F7A - Journalist Visa: This is a single entry visa meant for media practitioners and journalists to carry out journalism and media-related activities only. The visa is a single entry visa and it is not meant for employment with a


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media house or company. It can be obtained either at the embassy or as e-Visa.

2.2.5 Introduction of F7F - Artist/Entertainer/Musician Visa: This

single entry visa is designed for musicians, entertainers and those in the creative industry. The visa can be picked up either at the embassy or processed as e-Visa. Business organizations wishing to invite foreign musicians/artist for their local events can take advantage of this visa option.

Beyond the visa options discussed above, the Policy also introduced other short visit visas to cover humanitarian services, cultural exchange programs, academic exchange programs, study tours, medical tourism, sports, religious tourism and cleric. It also has a visa for the staff of an International Non-Governmental Organization (INGO) who wish to visit Nigeria for INGO related activities. Under the SVV category, the Policy attempts to provide a visa to cover a wider spectrum in line with the intention of the Nigerian government. While this is a welcome development, we hope that the NIS will restructure its operational arm - the units responsible for visa/permit issuance - to facilitate seamless collaborations with all Nigerian Missions abroad for immediate implementation of the Policy.

2.3 Temporary Residence Visas (TRV) This category of visa allows foreign nationals to reside in Nigeria for a period not exceeding two years, subject to renewal, for the purpose of employment and accompanying employed migrants. Our detailed review of the TRV category shows the introduction of: 2.3.1 R11 - Temporary Residence Permit (6 months) Visa: This visa

type allows the visa holder multiple entries into Nigeria, for the purpose of temporary employment, to carry out specialized skilled services. The cost of the corresponding Residence Permit (RP) associated with this visa is 50% of the Standard RP fee of $2,000. The RP is not renewable.

The introduction of the R11 visa reinforces the desire of the

Nigerian government to improve the business environment in

the country. The regular Temporary Work Permit visa under

the old regime was too restrictive and did not offer the

needed flexibility for the modern-day business environment.

Thus, we have no doubt that the R11 visa will, in the long run,

contribute significantly to improve ease of doing business in

Nigeria.


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2.3.2 Visa type for aged parents (65 years and above) of employed expatriates in Nigeria (R1E – R6E): As applicable under the old STR visa, the requirements for each visa type is peculiar based on the age, status and place of employment i.e. regular employment, INGO, employment with the government, religious houses etc.

The introduction of R11 and R1E – R6E visa types would go a long way to meet the yearnings of businesses in Nigeria and its expatriate community. 2.3.3 Thirty-five variants of the old Subject to Regularization (STR)

visa: This allows for employment and residency in Nigeria. The policy assigned a visa type each with unique code for a principal expatriate worker in regular employment, foreign missions, free trade zones, government establishments, INGOs, religious houses/organizations and students. It also created visa types for their spouses and children (minor and adult - 18 years and above).

2.4 Permanent Residence Visa (PRV) The Permanent Residence Visa allows certain classes of individuals to obtain permanent residence status in Nigeria. The beneficiaries of this visa category are spouses of Nigerian citizens, Nigerians by birth who renounced Nigerian citizenship, and their spouses, as well as investors who import an annual minimum threshold of capital ranging from USD250,000 to USD100,000,000 and highly skilled foreign nationals who possess scarce knowledge/ability/technical know-how.

Some categories of retirees are also eligible for PRV.

We have outlined the two (2) unique elements to note under PRV as follows:

2.4.1 Holders of N1A (Spouse of Nigerian Citizen Visa) and N2A – (Nigerian by Birth who Renounced Nigeria Citizenship Visa) are not valid/permitted for employment. This appears to be a deviation from the status quo and an imposition that needs to be addressed. It seems inconceivable and conflicting that a spouse of a Nigerian will be given a resident status in Nigeria without the right to work. Under the outgoing regime, ‘Niger-wife1’ are issued residence permit and allowed to work with their status as Niger-wife. We hope the NIS would come up with additional guidelines that would reinstate the right to work for the spouse of a Nigerian citizen.

2.4.2 The Policy introduced five (5) variants of Investor Visas

categorized based on the size of investment viz-a-viz size of

1 The wife whose husband is a Nigerian

“The introduction of investor visa would encourage investors to invest in the economy leading to an increase in Foreign Direct Investment.”


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business and industry in Nigeria. Irrespective of the amount of capital invested and business size, each visa holder is entitled to five (5) years residence permit with no restriction to the activities that can be performed.

To qualify for Investor Visa as a small scale business, one would require capital investment of USD250,000 – USD500,000, medium scale is USD500,000 – USD1,000,000, large scale corporation is USD1,000,000 – USD10,000,000, ultra large scale corporation is USD10,000,000 and above. The Policy also provided for Investor Visa for individuals in the Oil and Gas, and Power sectors whose capital investment in the Nigerian economy is up to the tune of USD100,000,000.

We believe that the introduction of investor visa would encourage investors to invest in the economy, leading to an increase in Foreign Direct Investment. The introduction of the Highly Skilled Immigrant Visa seems to be an appropriate addition to the visa regime in Nigeria considering the need for technological development and advancement. However, we hope that the criteria will be clearly stated and upheld as appropriate. All the visas under PRV can only be obtained at the embassy/high commission of Nigeria abroad. 3. Visa Application Channels

The NVP 2020 prescribes Visa on Arrival, Electronic Visa (e-Visa) and Visa at the Embassy as the three (3) media/channels through which Nigerian visas can be processed and obtained. A detailed review of the Policy shows that the government modified the previous Visa on Arrival and came up with two variants, which ultimately forms part of the three (3) visa channels as follows:

Visa-on-Arrival (VoA): This is a visa application process that allows certain classes of visas to be issued to foreign nationals at the port of entry in Nigeria. It is important to note that travellers that seek to utilize the classes of visas available under the VoA option are required to make online payments for their visas and present evidence of such payment, upon arrival in Nigeria, before the visas are issued. F4C – Business – Frequently Travelled Executive Visa, F5A – Tourism Visa, F7K- Emergency Relief Work Visa, F9A – Returning holders of other National Passport who are Nigerians by birth2 and citizens of African Union Countries are the classes of visas that can be obtained through the VoA channel.

2 The travelers are required to provide evidence of registration with Nigerian embassy in their home country confirming their status


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Going by our understanding of the regulatory environment and the fact that the criteria associated with frequent business traveller appear vague, business travellers wishing to utilize F4C Business – Frequently Travelled Executive Visa, may apply via the e-Visa channel. This is basically to avoid any form of delay, embarrassment and possibility of deportation at the port of entry. Arriving in Nigeria without a visa might be treated as a visa-less case and such traveller deported.

3.1 Electronic Visa (e-Visa): E-Visa is a web-based/online application

process that enables intending visitors to Nigeria, for short visits not more than three (3) months, to apply for and obtain electronic visa approvals before embarking on a trip to Nigeria. A Travel Authorization Letter is issued to e-visa applicants upon approval to facilitate their trip to Nigeria while the visa is physically stamped onto the passports at the point of entry. Applicants who wish to utilize e-Visas should bear in mind while planning their trips that the Travel Authorization Letter issued on the e-visa platform is valid for not more than 14 days from the date of issuance.

3.2 Visa at the Embassy: Apart from the classes of visas stated under 3.1

and 3.2 above, all other visa categories can be processed and obtained at the Nigerian embassies/High commissions. The Policy further recognizes Visa Application Centers (VAC) operating in some countries. However, the VAC only receives visa applications and forwards same to the Embassy/High Commission for processing. Generally, the Policy re-establishes the fact that visas obtained from the embassy are valid for not more than 90 days from the date of issuance.

Conclusion

The introduction of the Policy is a laudable effort geared towards simplifying the Nigerian visa application process, providing various visa options for travels, facilitating ease of doing business, attracting Foreign Direct Investments and boosting tourism in Nigeria. To achieve the gains set out by the government, the unveiling of the NVP 2020 must be complimented with commitment and dedication to excellent service delivery by the officers/ officials of the NIS and Federal Ministry of Foreign Affairs who are saddled with the responsibilities of issuing the visas at the foreign missions and port of entry. We will continue to monitor developments in this space and provide updates as soon as they become available. If you require further clarification, please reach out to [email protected]

Contacts

Yomi Olugbenro West Africa Tax Leader Tel: +234 19041724 Email: [email protected]

Oluseye Arowolo Partner, Tax & Regulatory Services Tel: +234 19041723 Email: [email protected]

Patrick Nzeh Partner, Tax & Regulatory Services Tel: +234 19041714 Email: [email protected]

Taiwo Okunade Partner, Tax & Regulatory Services Tel: +234 19042134 Email: [email protected]

Olukunle Ogunbamawo Partner, Tax & Regulatory Services Tel: +23419042133 Email: [email protected]

Funke Oladoke Partner, Tax & Regulatory Services Tel: +234 19041703 Email: [email protected]

mailto:[email protected]








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