Send, Receive, Thrive: Nigeria's Updated International Money Transfer Regime

1.0. INTRODUCTION

International Money Transfer Operators ("IMTOs") in Nigeria are companies or organisations authorised by the Central Bank of Nigeria ("CBN") to facilitate the transfer of funds from individuals or entities residing abroad to recipients in Nigeria, and the payment of a corresponding sum to a beneficiary through a clearing network to which the IMTO belongs.¹ These IMTOs play an important role in the remittance process by providing secure and efficient channels for individuals in the diaspora to send money to their families, friends, or business partners in Nigeria.

Diaspora remittances account for a considerable portion of Nigeria's foreign exchange inflow, and statistics show that between 2019 and 2022,² Nigerians in the diaspora were reported to have remitted $60.22billion. Furthermore, a total of $168.33 billion has been remitted in the past eight years (which is estimated to be over ten times higher than the amount of foreign direct