Upward Review of the Fee for Combined Expatriate Residence Permit and Alien Card (CERPAC)

The Federal Government of Nigeria recently announced the increase in the cost of the Combined Expatriate Residence Permit and Alien Card (CERPAC) from $1,000 to $2,000, an unprecedented 100% hike in the cost of the key immigration facility.  

The circular titled, ‘Re: Review of CERPAC Fees’, and referenced as FMI/PSO/012/1/15 is dated December 13, 2018 and signed by the Permanent Secretary, Federal Ministry of Interior on behalf of the Honourable Minister.

The CERPAC card is issued pursuant to the provisions of Section 18 of the Immigration Act 2015 and the 2017 Immigration Regulations and applies to expatriates who are legally employed to work in Nigeria, visiting for long periods (beyond 56 days) and seamen who stay ashore beyond 28 days. It also applies to the spouses and other lawful dependents of expatriates working in Nigeria and has a validity period of 24 months subject to the validity of the underlining Expatriate Quota. The CERPAC is renewable upon expiry.

The Circular indicates that there will be no further review of underlining fees until after three years from the period of the implementation of the new CERPAC fee. It is however anticipated that the upward review would not affect students and missionaries who are also required to purchase CERPAC to legitimise their stay in Nigeria. The Bank Commission payable upon purchase of each CERPAC is also expected to remain unchanged in spite of the increase in the cost of CERPAC.

The increase has to raise legitimate concerns amongst investors and expatriates as it increases the cost of doing business and is a direct contradiction to the significant efforts towards improving the ease of doing business in Nigeria. The upward review would also negatively impact government’s efforts towards making the requisite skills and technological know-how that would drive its developmental initiatives, readily available in Nigeria at affordable rates. More worrisome is the fact that, although the CERPAC is presumed to have a 24months validity, in reality, it is issued for a 12 months period and renewable annually.

It however hoped that apart from generating additional revenue to the Federal Government, proceeds from the review will be deployed towards the complete automation of the Nigerian immigration value chain, eliminate the perennial red-tapes and make necessary facilities readily available to qualified applicants.

• Upward Review of the Fee for Combined Expatriate Residence Permit and Alien Card (CERPAC)