Diaspora (Commonwealth Union) _ The Central Bank of Nigeria (CBN) has announced an ambitious plan to double diaspora remittance flow into Nigeria within one year. This announcement was made by Olayemi Cardoso, the governor of the CBN, during the BusinessDay CEO Forum themed “Leadership in Tough Economic Times” on Thursday.
Cardoso emphasized that this goal aims to address challenges within Nigeria’s financial sector. He highlighted the importance of diaspora remittances as a critical component of the country’s monetary strategy. “As a result of the challenges we have faced, one of the things we’ve done on the monetary side is recognize that diaspora remittances are very key. We set up a committee last time I went to Washington for the World Bank meetings, and I invited International Money Transfer Operators (IMTOs). People flew in from all over the world to engage with me on this,” he explained.
Cardoso further elaborated on the discussions that took place during these meetings, which have now laid the groundwork for the ambitious target. “At the end of that, we said based on the dialogue we had, we are going to double the remittance flow within a year. If we can replicate this success in other areas, we will achieve our financial goals,” he said.
In 2023, international remittances into Nigeria totalled $19.5 billion, according to the World Bank. This represented a 2.5 percent decline from the previous year, but still accounted for 35 percent of total inflows into Sub-Saharan Africa. This substantial inflow underscores the significance of remittances in the Nigerian economy and the potential impact of doubling these figures.
The plan to increase remittances is part of broader efforts to stabilize and grow Nigeria’s economy amidst various economic challenges. By enhancing the flow of funds from Nigerians abroad, the CBN aims to provide a much-needed boost to the financial sector, potentially easing liquidity issues and supporting economic growth.
Cardoso’s announcement at the BusinessDay CEO Forum indicates a proactive approach by the CBN to engage with global financial stakeholders and leverage international resources to support the Nigerian economy. The success of this initiative could significantly improve Nigeria’s financial stability and provide a template for other economic reforms.
Overall, the CBN’s plan to double diaspora remittances within a year reflects a strategic move to harness the financial contributions of Nigerians living abroad, fostering economic resilience and growth in challenging times.
