CBN sees unprecedented remittance inflows of $553m for July 2024

The Central Bank of Nigeria (CBN) has announced a staggering 130% increase in remittance inflows, reaching an all-time high of $553 million in July 2024. This surpasses the corresponding period in 2023 and marks the highest monthly total inflows on record.

According to the CBN, this significant growth is a direct result of its efforts to boost liquidity in Nigeria’s foreign exchange market. Key policy measures contributing to this success include the licensing of new International Money Transfer Operators (IMTOs), the implementation of a willing buyer-willing seller model, and ensuring timely access to naira liquidity for IMTOs.

This development is a major milestone in the CBN’s ongoing efforts to stabilize and strengthen Nigeria’s foreign exchange market.

The statement reads,“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.

It added that 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.

“Recent data from the National Bureau of Statistics (NBS) revealed that Nigeria’s year-on-year headline inflation rate slowed in July 2024, for the first time in 19 months – a clear indication that the CBN’s monetary policy tightening measures are delivering results.

“The CBN anticipates that these measures will contribute to achieving its broader objective of maintaining stability in the foreign exchange market. The Bank will continue to monitor market conditions and adjust policies as necessary to enable greater remittance flows into Nigeria.”