The Central Bank of Nigeria (CBN) has made a significant announcement regarding diaspora remittances. In a circular dated July 10, 2023, the CBN stated that the naira, the country’s legal tender, will now be included as a payout option. The CBN further instructed that the investors and exporters (I&E) window foreign exchange rate should be used to determine the rate for the naira payout.
This development offers recipients of diaspora remittances an additional choice, alongside the existing options of receiving their funds in dollars or eNaira. The circular, signed by O.S. Nnaji, Director of the Trade & Exchange Department at the CBN, was addressed to deposit money banks, international money transfer operators (IMTOs), and the general public.
By incorporating the naira as a payout option for international money transfers, the CBN aims to provide more flexibility and convenience to individuals receiving funds from abroad. This move reflects the ongoing efforts to enhance the efficiency and accessibility of remittance transactions.