The Central Bank of Nigeria, CBN, has reported a substantial increase in remittance inflows, to the tune of $553 million in July 2024.
The figure, the government-controlled bank said represents a 130 per cent increase from the corresponding period in 2023.
A statement by the Apex bank’s acting Director, Corporate Communications, Hakama Sidi Ali on Tuesday, said the figure represented the highest monthly total inflows on record, and reflects ongoing efforts by the CBN to enhance liquidity in Nigeria’s foreign exchange market.
The substantial growth in remittance receipts was attributable to policy measures introduced by the CBN to enhance liquidity in Nigeria’s foreign exchange market.
These measures included granting licenses to new International Money Transfer Operators, IMTOs, implementing a willing buyer-willing seller model, and enabling timely access to naira liquidity for IMTOs.
Diaspora remittances are a crucial source of foreign exchange for Nigeria, supplementing both foreign direct investment and portfolio investments.
The apex bank stated that its initiatives have supported continued growth in these inflows, aligning with the institution’s objective of doubling formal remittance receipts within a year.
The statement added, “The increase in remittances is a strong testament to the success of the CBN’s ongoing efforts to bolster public confidence in the foreign exchange market, strengthen a robust and inclusive banking system, and promote price stability, which is essential for sustained economic growth.”
