CBN targeting $2bn diaspora remittances monthly, says Emefiele

The Governor of the Central Bank of Nigeria, Godwin Emefiele, on Thursday said the target of the CBN was for the country to attract about $2bn monthly as remittances from citizens in diaspora.

Emefiele’s position is coming after the apex bank introduced its new Diaspora Foreign Exchange Remittances Policy.

The CBN boss told journalists during a press briefing on the new policy in Abuja that countries that had similar demographic features with Nigeria, such as Pakistan, often received about $2bn monthly from their citizens in diaspora.

He said, “I’m aware from the data available that, for instance, Pakistan, even in the midst of COVID-19 receives $2bn monthly from flows from Pakistani in diaspora.

“If Nigeria is able to receive even if it is just $1bn monthly or moving close to $2bn monthly, I’m so certain you all know what will happen to the exchange rate in Nigeria.”

Emefiele noted that should the $2bn monthly target be met, Deposit Money Banks would after some time have no need of calling the CBN to fund their commercial operations.

“So that is why we are saying that we want to aggressively take on this and see how this will help our economy,” the governor stated.

He declared to Nigerians both at home and in the diaspora that the policy of recipients receiving their monies from abroad would kick off on December 4, 2020.

He noted that in a bid to block any loophole to manipulate the policy, the CBN had ordered all DMBs to close all their Naira General Ledger through which the naira remittances were hitherto being carried out.

He said the bank took the decision following resistance from international money transfer operators over its new decision on diaspora remittances.

Emefiele said, “The CBN observed some pushback by some of the IMTOs who were bent on continuing their nefarious activities of undermining our policy by attempting to resist the new policies.”