The Central Bank of Nigeria (CBN) recently disclosed that diaspora remittances processed by international money transfer operators reached a total of $4.22 billion between January and October 2024. This figure represents a significant increase from the $2.62 billion recorded during the same period in 2023.
CBN Governor Olayemi Cardoso shared this information during an interactive session with the Senate Committee on Banking, Insurance, and Other Financial Institutions at the National Assembly. He highlighted the year-on-year growth of approximately 61.1%, emphasizing the remarkable progress in remittance inflows.
Cardoso also presented a monthly analysis, revealing that remittances surged from $336 million in September 2024 to $402 million in October 2024. He attributed this increase to the enhanced efficiency of the remittance system, the positive outcomes of President Bola Tinubu’s policies, and the growing confidence of Nigerians in the diaspora to contribute to national development.
Furthermore, the governor projected that remittance inflows would continue to rise by the end of the year if the current trend persists. He mentioned that the country maintained a current account surplus, witnessed improvements in the trade balance, and had external reserves capable of financing over 9.09 months of imports of goods and services.
Addressing the issue of cash shortages, Cardoso reiterated the CBN’s new policy of imposing a 150 million Naira penalty on any bank branch found illegally distributing new Naira notes to unauthorized individuals. He expressed optimism about the Nigerian economy’s prospects for the fiscal year 2025, attributing the positive outlook to the policies and measures already implemented.
In conclusion, Cardoso highlighted the gradual stabilization of the forex market, the ongoing recapitalization of the banking sector, and the positive growth trends in key sectors like services. Senator Adetokunbo Abiru, Chairman of the Committee, commended the governor’s presentation and acknowledged the promising developments in the economy, signaling a path towards recovery and stability.
Overall, the CBN’s efforts to enhance remittance inflows and strengthen the economy are crucial steps towards achieving sustainable growth and prosperity for Nigeria.
