The Central Bank of Nigeria, CBN has introduced a scheme that provides an incentive of N5/$ for senders and recipients of International Money Transfers.
This was disclosed in a circular directed to all Deposit Money Banks, International Money Transfer Operators (IMTOs) and the General Public by the apex Bank on the 5th of March 2021.
In the Circular, CBN stated that it has introduced a scheme for diaspora remittances called “NAIRA 4 DOLLAR SCHEME”, in an effort to sustain the encouraging increase in inflows of diaspora remittances into the country.
According to the apex Bank, the “CBN Naira 4 Dollar Scheme” is an incentive that allows all recipients of diaspora remittances to be paid N5 for every USD1 received as remittance inflow through CBN licensed IMTOs.
“In light of this, the CBN shall, through commercial banks, pay to remittance recipients the incentive of N5 for every USD1 remitted by sender and collected by designated beneficiary.
“This incentive is to be paid to recipients whether they choose to collect the USD as cash across the counter in a bank or transfer same into their domicitiary account.
“In effect, a typical recipient of diaspora remittances will, at the point of collection, receive not only the USD sent from abroad but also the additional N5 per USD received.” CBN stated.
However, “Please note having discussed with banks and IMTOs, the scheme takes effect from Monday 8 March 2021 and ends on Saturday 08 May 2021.” It added.
