Remittances hit record $947 million in July, CBN approaches $1 billion monthly target
By Aboki Forex —
Nigeria recorded $947 million in remittance inflows through International Money Transfer Operators (IMTOs) in July, the Central Bank of Nigeria (CBN) announced yesterday. That is the highest monthly inflow ever recorded through formal channels, and it puts the country close to the $1 billion monthly target set by CBN Governor, Olayemi Cardoso.
IMTO inflows reached $3.8 billion in the first seven months of 2026, 50.2 per cent higher than the same period in 2025. The CBN said this points to a significant strengthening in flows through formal channels, helped by reforms aimed at making remittance channels more competitive, transparent and accessible.
Reforms and diaspora engagement driving inflows
The CBN credited the growth to a move to a more market-determined exchange rate, reforms to the regulatory framework for IMTOs, and the introduction of the Non-Resident Bank Verification Number (NRBVN). It also cited closer engagement with IMTOs, banks, and Nigerian diaspora communities.
“When we set a clear ambition to reach $1 billion a month in remittance inflows through formal channels nearly two years ago, some people thought we were dreaming. At $947 million in July, we are now approaching that milestone,” Cardoso said.
He added: “July is an important marker, but our focus is not on a single month. It is on creating the conditions for sustained growth in formal remittances. We expect to keep seeing improvement and believe Nigeria can reach and ultimately sustain monthly inflows above US$1 billion.”
Naira settlement accounts now mandatory for IMTOs
The CBN had earlier directed all IMTOs to open naira settlement accounts. With the directive, operators were mandated to route all remittance transactions through those accounts with effect from May 01, 2026. Recipients of diaspora remittances are now paid in the local currency, ending decades of dollar payments to Nigerians when relatives abroad send money home.
In a circular signed by Musa Nakorji, CBN’s Director of Trade and Exchange Department, the apex bank said the directive covers all transactions related to international money transfers, including disbursements to beneficiaries and other settlements.
“All IMTOs are hereby directed to open naira settlement accounts and ensure that all transactions are routed strictly through their designated settlement accounts, maintained with authorised dealer banks (ADBs) in Nigeria,” the CBN stated.
Pricing, transparency and compliance rules
IMTOs may designate existing accounts or open new ones, and are allowed to operate multiple settlement accounts across different dealer banks. They must notify the CBN’s trade and exchange department of all designated accounts and provide updates when necessary.
The CBN also instructed IMTOs to benchmark their rates against real-time market prices on Bloomberg’s BMatch platform. “IMTOs shall observe real-time market prices from the Bloomberg BMatch and utilise this as guidance for pricing transactions with their customers and authorised dealers,” the bank said. Authorised dealer banks may process foreign currency transfers from IMTO settlement accounts to other authorised dealers and approved participants, including bureau de change operators.
The regulator reminded IMTOs to comply with anti-money laundering, combating the financing of terrorism, and counter-proliferation financing (AML/CFT/CPF) requirements, while keeping proper records for audit and regulatory review. The new directive builds on earlier reforms introduced by the CBN on January 31, 2024, which provided updated guidelines for the licensing and operations of international money transfer services in Nigeria.
For the naira and Nigerian households, the shift means more diaspora dollars now enter the official forex market, boosting liquidity and transparency. With recipients paid in naira, the CBN gains better visibility of remittance flows, while families still receive value for money sent from abroad through a more formal and traceable system.