CBN Instructs IMTOs To Include Naira And eNaira To Diaspora Remittances Payment Options

The Naira will now be a payment option for remittances from Nigeria’s diaspora, citing instructions from the Central Bank of Nigeria (CBN) to International Money Transfer Operators (IMTO).

The CBN reported that there are now three payment options available for remittance receipts from Nigerians living abroad: US dollars, naira, and electronic naira.

This information was provided in a circular with the following reference number: TED/FEM/PUB/FPC/001/004 and the title: Payout Option In Naira For Receipt Of Proceeds Of Diaspora Remittances.

The CBN also instructed the international money transfer operators to utilize the Investors’ & Exporters’ window rate while converting foreign currencies to naira in the circular, which was received on Wednesday but is dated July 10, 2023.

Recall that during the tenure of the suspended CBN Governor, Godwin Emefiele, International Money Transfer Operators, were told to only payout proceeds of diaspora remittances in foreign currency, restricting them from automatically converting the remittance.

Disclosing the new development in the circular signed by CBN’s Director, Trade & Exchange Department, O.S Nnaji, the apex bank said: “Further to the circular referenced TED/FEM/FPC/01/011 dated November 30, 2020 in respect of the above subject, the Central Bank of Nigeria hereby announces Naira as a payout option for receipts of the proceeds of International Money Transfers.

“Accordingly, all recipients of diaspora remittances through the CBN approved IMTOs on the attached list shall henceforth have the option of receiving Naira payments 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 Investors’ & Exporters’ window rate as the anchor rate on the day of the transaction.

“This regulation takes effect immediately. Please note and ensure compliance.”