The Central Bank of Nigeria (CBN) has announced that the country’s official currency, the naira, can now be chosen as a payout method for remittances from the diaspora. This information was included in a circular dated July 10, 2023, signed by O.S. Nnaji, the Director of CBN’s Trade and Exchange Department.
Furthermore, the CBN has mandated that the foreign exchange rate from the investors and exporters (I&E) window should be used to determine the rate for the naira payout.
This change means that recipients of diaspora remittances now have the option to receive their funds in naira, in addition to the existing choices of receiving money in dollars or eNaira.
The circular addressed the general public, deposit money banks, international money transfer operators (IMTOs), and other concerned parties.
“Accordingly, all recipients of diaspora remittances through the CBN-approved IMTOs on the attached list shall henceforth have the option of receiving naira payment in addition to USD and eNaira as payout options.
“For the avoidance of doubt, International Money Transfer Operators are required to pay out the proceeds using the Investor & Exporter’s window rate as the anchor rate on the day of the transaction.”
The circular emphasized that the regulation is effective immediately and compliance is required.
Additionally, the CBN provided an updated list of registered International Monetary Transfer Operators (IMTOs) operating in the country.
The central bank approved the inclusion of five new IMTOs to facilitate diaspora remittances.
CSL Pay Limited, e-2-e Pay Limited, LeadRemit Limited, Lycamoney Financial Services Limited, and SimbaPay Limited have been authorized by the apex bank as the five additional IMTOs.