The Central Bank of Nigeria (CBN) has announced a significant growth in remittance inflows to the tune of $553m into the country in July 2024.
According to a statement on Tuesday, by the Apex bank’s Ag. Director, Corporate Communications, Hakama Sidi Ali, the figure, which was the highest monthly total inflows on record, reflects ongoing efforts by the CBN to enhance liquidity in Nigeria’s foreign exchange market.
The apex bank attributed the increase in remittance receipts to policy measures introduced by the CBN to enhance liquidity in Nigeria’s foreign exchange market.
The CBN said its initiatives have supported continued growth in these inflows, aligning with the institution’s objective of doubling formal remittance receipts within a year.
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 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, the statement added.
Nigeria’s year-on-year headline inflation rate slowed in July 2024, for the first time in 19 months, a recent data from the National Bureau of Statistics (NBS) showed.
CBN said the latest inflation rate clearly showed that its 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,’ the statement added.