The Central Bank of Nigeria announced that diaspora remittances through International Money Transfer Operators (IMTOs) reached $4.22bn between January and October 2024, marking a significant 61 per cent increase compared to the $2.62bn recorded in the same period in 2023.
The CBN Governor, Olayemi Cardoso, revealed this during an interactive session with the Senate Committee on Banking, Insurance, and Other Financial Institutions held at the National Assembly on Wednesday.
Cardoso regarded the year-over-year gain as positive, stating that remittances increased from $336mn in September 2024 to $402m in October 2024.
He expressed confidence that remittance inflows will continue to rise, crediting the growth to better remittance system efficiency, policies implemented by President Bola Tinubu`s government, and growing trust among Nigerians overseas.
Cardoso in addition said that Nigeria’s outside reserves multiplied from $38.35bn on September 30, 2024, to $42.01bn as of December 12, 2024.
He defined that this upward thrust turned into fueled through receipts from crude oil taxes and third-celebration inflows at some stage in Q3 2024.
“Our external reserves level can finance over nine months of imports of goods and services, exceeding the international benchmark of three months.
“This provides a robust buffer against potential economic shocks,” Cardoso said.
Addressing the cash shortage issue, Cardoso reiterated that any bank branch caught distributing new naira notes to currency hawkers would face a fine of N150m.
Cardoso expressed confidence in the country’s economic outlook for 2025.
“Despite the challenges facing our economy, there are clear reasons for optimism.
“The gradual stabilization of the forex market, ongoing banking sector recapitalization, and growth in key sectors signal a path toward recovery and stability,” he added.
In a related development, the CBN reported that remittance inflows had risen to nearly $600mn by the end of September 2024, following its June 25 decision to allow eligible IMTOs to access the official foreign exchange window.
