The Central Bank of Nigeria (CBN) task force formed to double remittance inflows into Nigeria will report directly to Yemi Cardoso, the Governor of the CBN.
The Governor of the CBN, Yemi Cardoso, made this statement at a press briefing following the conclusion of the World Bank/IMF Spring Meetings in Washington, DC on Saturday, April 20th.
Nairametrics earlier reported that the apex bank had reached an agreement with International Money Transfer Operators (IMTOs) to set up a Collaborative Task Force to double remittance inflows into the country.
Nigeria relies heavily on remittance inflows to boost dollar supplies, which, according to the World Bank, average around $20.5 billion. The apex bank did not state what the current official remittance inflows were.
What Cardoso is saying
The Governor stated that they are setting up a collaborative task force reporting to the CBN Governor to drive progress and address any bottlenecks that hinder flows through formal channels.
- “We had very productive discussions leading to International Money Transfer Operators (IMTOs) where we collectively committed to doubling remittance flows through formal channels into Nigeria in the immediate short to medium term.
- “This target, is both ambitious and achievable and we are wasting no time in setting up a collaborative task force reporting to myself to drive progress to address any bottlenecks to hinder flows through formal channels.”
What you should know
Nairametrics earlier reported that the central bank met with International Money Transfer Operators (IMTOs) on the sidelines of the Spring Meetings to address formal remittance inflows into Nigeria as part of a larger effort to boost forex supplies.
At the meeting were representatives of domestic and international stakeholders in the Nigerian forex market such as Lemfi, Flutterwave, J.P. Morgan, Remitly, VertoFx, Interswitch, BudPay, Makeba, TapTap Send, Visa, Venture Garden Group, and other players in the remittances industry.
During the meeting, some of the objectives outlined by the Central Bank of Nigeria (CBN) include;
- Reducing transaction costs: A focal point of the discourse revolved around reducing transaction costs associated with remittances, which the CBN identified as a significant barrier to formal inflows.
- Doubling remittance inflows via formal channels: Another objective identified by the CBN is to double remittance inflows via formal channels.
- Establishment of a stakeholders’ forum on IMTOs: In relation to this objective, stakeholders advocated for the establishment of a dedicated forum to engage with IMTOs.
- Compliance standardization: The importance of standardizing compliance processes was underscored, with the CBN expressing its commitment to collaboration with regulators and relevant agencies to streamline remittance payment channels, reduce friction and enhance efficiency.
