CBN Introduce N5 for $1 Rebate

Nigeria’s Apex Bank has introduced a rebate of  ₦5 for every $1 of funds remitted to Nigeria, through International Money Transfer Organisations in its new forex policy.

The Central Bank Governor, Godwin Emefiele, who disclosed in a virtual event at its inaugural webinar on the impact of the new forex policy on diaspora investments, said this new policy will take effect from 8 March. 

He said, “Furthermore, in an effort to reduce the cost burden of remitting funds to Nigeria by working Nigerians in the diaspora, the Central Bank of Nigeria has introduced a rebate of ₦5 for every $1 of fund remitted to Nigeria, through IMTOs licensed by the Central Bank.

“This rebate will be provided to the bank accounts of beneficiaries, following receipt of remittance inflows.

“We believe this new measure will help to make the process of sending remittance through formal bank channels cheaper and more convenient for Nigerians in the diaspora.This new policy is expected to take effect on the 8th of March 2021.” 

Nigeria’s Apex Bank has introduced a rebate of  ₦5 for every $1 of funds remitted to Nigeria, through International Money Transfer Organisations in its new forex policy.

According to Emefiele, efforts at driving remittance inflows into Nigeria would yield positive results and continue to ensure formal banking channels offer cheaper, faster, and more convenient ways for remitters to send funds to beneficiaries. 

He also noted that the cost of sending remittances was a significant way to boost remittance inflows to Nigeria.

“The new policy was expected to enlarge the scope and scale of foreign exchange inflows into the country with a view to stabilising the exchange rate and supporting accretion to external reserves. More importantly, it would provide an opportunity for Nigerians living abroad to make investments in their home country”, he noted.