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CBN orders banks to open dollar account for remittances

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The Central Bank of Nigeria (CBN) has ordered commercial banks to open new dollar account with offshore lenders for receiving international money transfers.

The CBN’s new order was disclosed by the WorldRemit- an International Money Transfer Operators (IMTO) player to its clients.

Recall that the central bank raised the alarm that its policy mandating IMTOs to pay diaspora remittances beneficiaries in dollars is being flouted.

The banking regulator noted that all mobile money operators should disable wallets from receipt of funds from IMTOs following suspected abuse of policy guidelines by the IMTOs.

Speaking about the order, the CBN Governor, Godwin Emefiele, explained that analysed data on IMTOs inflows into the country over the past year.

Emefiele condemned the use of unsafe unofficial channels, which also supported the diversion of remittance flows meant for Nigeria, thereby undermining Nigeria’s Foreign Exchange management framework.

The WorldRemit that confirmed the CBN’s new order noted that all Nigerian banks will be mandated to facilitate money transfers by automatically opening US Dollar bank accounts for those who do not currently have US Dollar bank accounts.

According to the company, “This development ensures that all international money transfers will be successfully processed even if senders enter Naira account details for transactions.

“Further to this announcement, the CBN also stated that a $2,000 withdrawal limit will apply to these accounts.”

Speaking about the decision, the Country Manager, Nigeria and Ghana, at WorldRemit, Gbenga Okejimi, said: “We are very pleased by the CBN’s decision to mandate Nigerian banks to help citizens who do not have a USD account by automatically providing this facility on their behalf.

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“This development will make all the difference to those who receive support from family and friends abroad”.

 

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2 Comments

  1. Pingback: CBN Orders Banks To Open Dollar Account For Remittances | Techvalley

  2. Pingback: CBN orders banks to open dollar account for remittances - 9jaheadies

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