The Central Bank of Nigeria (CBN) has unveiled a set of new measures aimed at enhancing local currency liquidity for the settlement of diaspora remittances.

CBN Announces Policies to Boost Naira Liquidity for Foreign Remittance

The Central Bank of Nigeria (CBN) has unveiled a set of new measures aimed at enhancing local currency liquidity for the settlement of diaspora remittances. The key points from the circular dated June 24, 2024, are highlighted below:

  1. Same-day settlement is available for transactions confirmed before noon on a trading date.
  2. Pricing is based on prevailing NAFEM rates and an observable market benchmark.
  3. The measures follow existing arrangements for authorized dealers with Foreign Portfolio Investment in primary market securities auctions.
  4. Mandatory daily regulatory returns to the CBN, including relevant fund source information, are required.
  5. International Money Transfer Operators (IMTOs) must confirm partner banks and provide standard settlement instructions.
  6. Participants include Money Transfer Operators (MTOs), Authorized Dealer Banks, and the CBN.

Note: IMTOs can now access Naira liquidity directly from the CBN or through their authorized dealer banks. This directive is effective immediately.


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