The Central Bank of Nigeria has announced the issuance of licenses to 11 New Money Transfer Operators (MTO).
A few weeks ago THE CBN issued a press release ‘warning’ un-licensed operators from executing international monetary services in Nigeria without its approval. This announcement elicited outrage from some existing MTO’s who believed the CBN’s decision was high handed.
Some forex commentators also believed that the CBN’s decision was one of the reasons why the exchange rate depreciated heavily at the black market. It is opined that the fewer MTOs we have the less supply of forex in the interbank market. Nigerians in diaspora are thought to prefer a flurry of MTOs to remmit money back home due to reasons such as lower fees, flexible requirements, service delivery levels etc.