Remittance inflows have increased 130%, according to the Central Bank of Nigeria (CBN), and reached $553 million in July 2024.
This milestone, according to the CBN, signifies the biggest monthly remittance inflows ever noted and a notable rise over the same time in 2023.
Hakama Sidi Ali, the Acting Director of Corporate Communications, made this claim in a statement on Tuesday, August 20, 2024. The CBN credits this surge in remittance inflows to a series of strategic policy measures designed to enhance liquidity in Nigeria’s foreign exchange market.
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The statement read: “The Central Bank of Nigeria (CBN) has reported a significant increase in remittance inflows, reaching $553 million in July 2024, a 130 per cent increase from the corresponding period in 2023.
“This figure represents 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 is attributable to policy measures introduced by the CBN to enhance liquidity in Nigeria’s foreign exchange market. These measures include 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.
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“Diaspora remittances are a crucial source of foreign exchange for Nigeria, supplementing both foreign direct investment and portfolio investments. The CBN’s initiatives have supported continued growth in these inflows, aligning with the institution’s objective of doubling formal remittance receipts within a year.”
The CBN also noted that the National Bureau of Statistics (NBS) reported a slowdown in Nigeria’s year-on-year headline inflation rate for the first time in 19 months, signalling the effectiveness of the CBN’s monetary policy tightening measures.
The CBN further expressed its commitment to closely monitoring market conditions and adjusting its policies as needed to ensure the continued flow of remittances, thereby contributing to the stability of the foreign exchange market.
