However, the system for receiving these inflows has evolved. The most recent and arguably most consequential change is the Central Bank of Nigeria’s (CBN) directive requiring all International Money Transfer Operators (IMTOs) to disburse inbound remittances strictly in Naira.

This policy marks a departure from previous years where beneficiaries often had the choice to receive US Dollars (USD) in cash or into domiciliary accounts.

In examining the technical requirements, the economic rationale, and the implications for both operators and citizens, we can better understand how this Naira-Only policy fits into ongoing reforms of Nigeria’s foreign exchange framework.

The CBN, in its circular, noted the aim to improve diaspora remittance flows, strengthening transparency, enhancing traceability, and ensuring effective monitoring of transactions.

The central bank directed IMTOs to open and operate Naira settlement accounts and route all transactions through designated accounts held with Authorised Dealer Banks (ADBs) in Nigeria.

According to the circular, all transactions arising from international money transfer operations, including disbursements to beneficiaries and related settlements, must be processed exclusively through these settlement accounts.

IMTOs are permitted to maintain accounts with multiple ADBs depending on their operational strategies.

The directive, which takes effect from May 1, 2026, reinforces the CBN’s push to formalise remittance inflows and strengthen a key source of foreign exchange for the economy.

The remittance further explained that settlement accounts shall only be credited with remittance flows and proceeds of foreign exchange conversions carried out by licensed IMTOs or their agents within the Nigerian Foreign Exchange Market (NFEM).

IMTOs are required to properly designate these accounts and notify the CBN’s Trade and Exchange Department, updating the list as necessary.

To support efficiency in the market, Authorised Dealer Banks may process foreign currency transfers from IMTO settlement accounts to other ADBs and approved participants, including licensed Bureau de Change operators.

IMTOs are also expected to reference real-time market prices from Bloomberg BMATCH when pricing transactions, a move designed to improve transparency and price discovery while reducing information gaps between operators and banks.

The Core Mandate: Transitioning to Naira-Only Payouts

In early 2024, the CBN issued revised guidelines that fundamentally altered the operational landscape for IMTOs like Western Union, MoneyGram, and Remitly.

Part of the requirement of this directive is that all inbound money transfers must be paid to beneficiaries in Naira.

Previously, the CBN had experimented with various models, including the “Naira 4 Dollar” scheme which incentivised USD receipts.

However, the current leadership under Governor Olayemi Cardoso has transitioned toward a “willing buyer, willing seller” market model.

Under the new rules, the option to receive foreign currency cash or USD credits to domiciliary accounts for these specific retail transfers has been removed.

Key Technical Provisions for IMTOs

Mandatory Naira Settlement Accounts: As of mid-2024 and extending into 2026 compliance windows, IMTOs are required to open and maintain designated Naira Settlement Accounts with Authorised Dealer Banks (ADBs) in Nigeria.

Restricted Inbound-Only Focus: IMTOs are now strictly limited to facilitating inbound transfers. Outbound transactions (sending money from Nigeria to other countries) are generally prohibited for these operators, concentrating their efforts solely on bringing liquidity into the country.

Prohibition of Fintechs as Primary IMTOs: One of the more controversial aspects of the 2024 guidelines was the exclusion of fintech companies and Deposit Money Banks (DMBs) from holding primary IMTO licenses, though they are still permitted to act as agents for licensed operators.

Price Discovery and the Bloomberg BMatch Standard

A common concern with local currency payouts is the exchange rate. To prevent the exploitation of beneficiaries and to reduce the gap between official and parallel market rates, the CBN introduced a transparent pricing mechanism.

IMTOs are no longer allowed to set arbitrary rates. Instead, they are directed to benchmark their transactions against real-time market prices.

Specifically, the CBN has mandated the use of the Bloomberg BMatch platform as a reference. This ensures that the rate a customer receives money is reflective of the current market reality in the Nigerian Foreign Exchange Market (NFEM).

By removing the allowable limit (which previously capped rates within a small percentage of the previous day’s close), the CBN has effectively allowed the Naira to find its value based on actual demand and supply.

This transparency is intended to discourage round-tripping, the practice of diverting foreign exchange to the black market for a higher profit, and to ensure that the official channels remain competitive with informal ones.

The Economic Rationale: Why Now?

The push for a Naira-only policy is not merely an administrative preference; it is a strategic attempt to solve a liquidity crisis. Nigeria’s foreign reserves have faced immense pressure due to fluctuating oil prices and a high demand for imports.

1. Enhancing Traceability and Transparency

When remittances are paid out in USD cash, the funds often disappear into the informal economy or the parallel market (the black market).

By forcing these transactions into the Naira-denominated banking system, the CBN gains better visibility into the volume of foreign currency entering the country.

Every dollar sent from abroad must now be sold to the official market (the IMTO or its agent bank) before the equivalent Naira is paid to the recipient.

2. Boosting Official FX Liquidity

Under this policy, the foreign currency sent by the diaspora remains at the gateway, held by the Authorised Dealer Banks or the CBN.

This foreign exchange can then be utilised to fund critical imports, pay off external debts, or stabilise the currency.

It effectively channels billions of dollars annually directly into the official coffers rather than letting it circulate in unregulated street markets.

3. Strengthening Monetary Policy Transmission

When a large portion of the economy operates using physical foreign currency, the central bank loses its ability to control the money supply effectively.

By ensuring that retail transactions are settled in the local currency, the CBN regains a measure of control over the Naira’s velocity and inflationary pressures.

Impact on Beneficiaries and the Diaspora

For the average Nigerian, the shift has been met with mixed emotions. During periods of high Naira volatility, many preferred holding USD as a hedge against inflation. However, the new policy provides a counter-benefit: Ease of Access.

Recipients no longer need to find a Bureau de Change (BDC) to convert their USD into Naira for daily expenses. The funds are delivered directly into their bank accounts or can be picked up as Naira cash.

Furthermore, because IMTOs are now forced to use market-reflective rates, the loss that beneficiaries used to take by using official channels (which often had much lower rates than the street) has been significantly narrowed.

Note on Cash Limits: For those who still prefer physical cash, the CBN has set limits. While bank transfers are encouraged, cash payouts in Naira are permitted, though large transactions (typically exceeding the equivalent of $200) are mandated to be paid directly into a bank account to align with Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) protocols.

Compliance and Sanctions

To ensure that IMTOs do not find backdoors to pay in USD or use unauthorised rates, the CBN has stepped up its oversight. Operators are required to file daily, weekly, and monthly returns.

Failure to comply can result in: revocation of operating licenses, heavy financial penalties and suspension from the settlement system.

As of early 2026, the CBN has reiterated that any IMTO found paying in foreign currency or bypassing the designated Naira settlement accounts will face immediate sanctions.

This zero-tolerance approach is designed to eliminate the arbitrage opportunities that previously made it more profitable for operators to divert funds away from the official system.

Looking Ahead: The Future of Nigerian Remittances

The success of the Naira-only policy depends heavily on the stability of the Naira itself. If the gap between the official market and the parallel market remains small, the diaspora will continue to use official IMTOs.

However, if the Naira devalues rapidly and the official rate lags, there is a risk that senders will return to an informal method of money transfer.

The CBN’s strategy is a high-stakes bet on market liberalisation. By forcing all formal remittances through a single, Naira-denominated funnel, the government hopes to create a self-sustaining cycle of liquidity that eventually stabilises the currency for the long term.

According to the apex bank, the directive became necessary as it had been inundated with complaints from customers after it conducted consumer market intelligence.

In a circular dated June 27, 2024, but made public on Monday, Solaja Olayemi, CBN’s acting director, Currency Operations Department, said the regulator frowned at “this selective acceptance of deposit” and that all relevant parties comply accordingly.

The CBN said all banks and authorised forex dealers “should henceforth accept both old series and lower denominations of United States Dollars (USD) that are legal tender for deposit from their customers”.

The financial regulator warned that sanctions would be meted out to any bank or authorised forex dealer that rejects old series or lower denominations of the United States greenback from their customers.

Earlier Warnings From CBN

The CBN issued directives in 2021, instructing forex dealers and deposit money banks to stop refusing old dollar bills and denominations.

Complaints from customers over the refusal to accept the lower notes as a means of transaction have also led to sanctions.

The apex bank also warned authorised dealers from stamping or defacing dollar bills as it would fail the authentication tests during processing and sorting.

Attempts To Curb Wobbling Naira

Mid-2023, the CBN, acting out the directive of President Bola Tinubu, announced the unification of all segments of the forex exchange market, indicating that the exchange rate will rise or fall based on the supply and demand in the market.

The reason, according to President Tinubu, was the need to “stop the bleeding of our finances”.

Despite early positive signs, the Naira would eventually breach the ₦700/$ threshold hitting over ₦1,500/$ at the moment.

To tackle this challenge, the CBN swiftly implemented a series of policy measures, one of which targeted International Money Transfer Operators (IMTOs), removing the allowable limit of exchange rates quoted by them as well as limiting their operations to inbound transfers only

Another attempt was the revocation of licenses of Bureau De Change (BDC) operators engaged in alleged unethical practices.

The Olayemi Cardoso administration also released guidelines aimed at addressing the challenges faced by BDCs in the foreign exchange market, promoting a more stable and transparent financial environment.

More importantly, the Central Bank of Nigeria Act of 2007, of the Federal Republic of Nigeria charges the Bank with the overall control and administration of the monetary and fiscal sector policies of the Federal Government.

The objectives of the Central Bank of Nigeria also include, but are not limited to:  ensuring monetary and price stability, issuing legal tender currency in Nigeria, and maintaining external reserves to safeguard the international value of the legal lender currency.

Others are promoting a sound financial system in Nigeria, and last but not the list Act as Bankers and provide economic and financial advice to the Federal government.

In line with the optimal function of the Nigeria’s Apex Bank, on February 3, 2024, is issued a directive to the International Monetary Transfer Operators (IMTOs) to halt facilitation of dollar transfers to and from Nigeria to other countries.

The new directive also restricts inbound transfers to the naira equivalent of every dollar transfer and compels the IMTOs to quote exchange rates for naira rates at the nation’s official foreign exchange market (FX).

Furthermore, as the naira continued its downward trend against the United States dollar at the official and parallel foreign exchange markets, much to the despair of citizens, it recorded a new all-time low for the naira which depreciated to N1,730/$.

The development led operatives of the Economic and Financial Crimes Commission (EFCC), to raid some Bureau De Change operators’ outlets in Abuja on Monday, arresting currency traders suspected to be speculating against the naira.

This represents N60 or 3.59 percent drop from N1,670/$ recorded at the close of trade at the black market on Friday.

The naira depreciation followed a strong demand for dollars by speculators as well as individuals traveling for business, tourism, education, and health, according to currency dealers. Meanwhile, the naira was exchanged above N2,000 against the Great Britain Pound at the parallel market on Monday but sold at 1931/£ at the official market, according to the Central Bank of Nigeria exchange.

However, In a recent twist, the Nigerian government asked the telecommunications firms to restrict access to the websites of cryptocurrency firms such as; Binance, OctaFX, Coinbase and others, months after its Central Bank issued a guideline to govern digital asset operators’ activities.

Implicit to note is the fact that in December 2023 the Central Bank of Nigeria changed its stance on crypto assets and asked banks to disregard its February 2021 ban on crypto transactions.

This new restriction on crypto websites is aimed at slowing currency speculation activities in the country, with Binance stating that its platform is not for currency pricing.

The platform said this after users complained about their inability to buy dollars.

One user on X, @MikaelCBernard, tweeted,

“There’s no more dollars available on Binance oh. It is like Binance traders have gone on strike. You can only sell, but you can’t buy”.

While noting its commitment to a market-driven, fraud-free, and manipulation-free platform for its users, Binance said, “Furthermore, as industry leaders, we are working hand in hand with local authorities, lawmakers, and regulators to ensure we act on non-compliance.”

Later on Wednesday, the firm confirmed that it has paused transactions to protect users from price suppression.

Addressing rumours that currency speculation was thriving on its platform, the firm said, “It is important to note that foreign exchange rates are influenced by various complex factors, which Binance does not influence on.

“However, we continue to actively engage with regulators, policymakers, and other relevant stakeholders to foster an open, transparent dialogue about managing the evolving landscape of cryptocurrency and financial markets.”

However, in a move that began as a rumour, the Nigerian Communications Commission has asked telecom firms to block access to the websites of Binance and other cryptocurrency firms.

According to a top source in the telecoms industry, telcos got a directive from the commission today.

The restriction is to take effect immediately, the source added. There is no timeline yet for this restriction.

When Nigeria blocked access to Twitter in 2021, it asked telcos to restrict access to the platform.

It is instructing to note that, revenue in the Cryptocurrencies market is projected to reach US$32.6m in 2024, showing an annual growth rate (CAGR 2024-2028) of 12.66% resulting in a projected total amount of US$52.5m by 2028.

The average revenue per user in the Cryptocurrencies market amounts to US$7.0 in 2024. From a global comparison perspective, it is shown that the highest revenue is reached in the United States (US$23,220.00m in 2024).

In the Cryptocurrencies market, the number of users is expected to amount to 6.32m users by 2028. User penetration will be 2.03% in 2024 and is expected to hit 2.52% by 2028.

Nigeria’s interest in Bitcoins reached a peak during the summer of 2020, reaching the highest level since early 2018.

This conclusion reveals itself after investigating Bitcoin trading volume against domestic currencies used for the transaction of the virtual currency.

The African country was said to be one of the three countries with the most Bitcoin trading in the world in 2020.

It is estimated that over 22 million people, 10.3% of Nigeria’s total population, currently own cryptocurrency.

State of Crypto in Nigeria 47% of Nigerians are Actively Involved in Crypto Trading, whilst 27% of Nigerians are actively engaged with crypto, a new study shows as the country finds safety in the currency amid worries about the foreign exchange rate.

According to insights by CoinJournal shared with Business Post, cryptocurrencies, including Bitcoin (BTC) and various alternatives, are no longer just investments for speculation, “They represent a significant change in how people view and use money, providing decentralized options compared to traditional financial systems.”

Again, Nigeria is ranked as the top country for cryptocurrency usage and ownership. With 45% of its population using or owning cryptocurrency in 2022, other top countries include Thailand 44%, Turkey 44% and the United Arab Emirates 34%.

But the United States is ranked 22nd on the list, with only 16% of the population owning or suing cryptocurrency, while the United Kingdom ranks 50th with 11% ownership and usage.

With Nigeria’s staggering youth unemployment pegged at 53.4%, it can be implied that the majority of those deals are in digital assets in Nigeria.

This recent restriction on Binance and progressive restriction by the telecos will make the use of Virtual Private Networks (VPN) a succour for cryptocurrency traders.

VPN gives an extra layer of privacy and anonymity to hide our activity and location, avoiding hackers and trackers (especially on public WIFI).

A VPN also helps you overcome online censorship, torrent it anonymously, and access your favourite streaming services when traveling.

Nigeria’s social media has been littered with several crypto stakeholders advising their community on using Virtual Private Networks in the face of this ban.  Despite this, Binance is currently embroiled in regulatory issues in the US.

The firm recently agreed to record $4.3 billion fine, its former CEO, Changpeng Zhao, is in the US awaiting sentencing. However, these challenges notwithstanding, Binance’s data reflects robust activity for its USDT/NGN trading pair, with nearly 5 billion Naira in trades, equivalent to $3million, within the last 24  hours.

However, considering the legality and complexity revolving around Virtual Private Networks (VPN) and the seeming commitment of the Federal Government of Nigeria to carry out its reform on Foreign Exchange, no one can predict with exactitude where and how the Federal Government of Nigeria chose to wild its big stick.

Already, the Special Special Adviser to President Bola Tinubu on Information and Strategy, Mr. Bayo Onanuga has called for the ban of Binance, Kucoin, and other trading platforms in Nigeria.

Onanuga accused the platforms of manipulating the naira leading to the continued fall of the Nigerian currency in the forex market. This is coming amid speculations that the government is already considering the ban.

The President’s Adviser urged the Economic and Financial Crimes Commission (EFCC) and the Central Bank of Nigeria (CBN) to take swift action to end the operations of the crypto exchanges in the country.

Calling for the ban via a post he titled “the Naira-Dollar manipulators” on X, Onanuga accused Nigerians trading currency on the Binance platform of unpatriotism.

The question remains, Can VPN Safe Cryptocurrency Traders?

He also notes that while some Nigerians may resort to Cryptocurrency as an alternative route,   the absence of implemented systems to monitor concurrency transactions within the economy will diminish the benefits of increased cryptocurrency usage in Nigeria.

He was however of the opinion that the impact of the policy on the Nigerian economy will be contingent on the adaptability of its financial ecosystem.

He made this known in an exclusive interview with our correspondence on Monday when airing his views on the recent policy of the government through the Central Bank of Nigeria (CBN) directing International Money Transfer Operators and banks to halt the payment of dollars to their customers, but instead pay the naira equivalent.

Earlier, the Central Bank of Nigeria (CBN) barred international money transfer operators (IMTOs) from paying Nigerians in foreign currencies, which implied that Nigerians abroad would no longer be able to send dollars or any foreign currency into bank accounts in the country.

Our findings revealed that the international money transfer operators (IMTOs), had removed the options of sending dollars or other foreign currency to Nigeria on their websites and mobile applications in compliance with the CBN directive. Consequently, Nigerians abroad are only allowed to transfer the naira equivalent amount of the foreign currency.

Speaking further, he noted that, the core purpose of diaspora remittances is primarily to support families in Nigeria, but was quick to assert that the Central Bank of Nigeria (CBN) directing restricting payout options for International Money Transfer Operators (IMTOs) to only naira will likely prompt the exploration of alternative channels for diaspora remittances.

Among these alternatives, cryptocurrency stands out, particularly given Nigeria’s prominent position as the 6th largest global market for cryptocurrency transactions.

The potential for increased crypto transactions is probable.

Similarly, Mr. Bolaji Babalola, an expert in cryptocurrency related matters, said:

“On the face value, it is a good policy in the sense that most of those payments processed by International Money Transfer Operators (IMTOS), a lot of times ends up in the black market, people withdraw the dollars   and then sells   to the black market because of the higher exchange rates,

He stressed that this policy gives Nigerians the opportunity to get the equivalent of dollars in naira, which means the money will remain in the Nigeria Banking system and the receiver will only get the naira equivalent of the foreign currencies, be it dollars, or pounds, will be in the banking system.

Bolaji raised concern that although the policy was supposed to boost liquidity in the official market, but “the Nigeria factors” will also play out Nigeria’s commercial banks are part of the problems we have when it comes to foreign exchange or currencies especially hoarding and the likes which they had been known for since time immemorial.

So, it should boost liquidity in the official market,  I think some people prefer it, but it is a kind of two phase, someone who offers services to clients abroad may prefer it, and some may not.

Again Afolabi noted that limited literacy levels regarding cryptocurrency usage could pose a significant barrier to increased adoption. Additionally, the fact that cryptocurrencies are not universally accepted for the payment of goods and services limits their usage.

Furthermore, the high volatility of cryptocurrency prices and the absence of robust safeguards against loss or fraud, given the susceptibility of cryptocurrency to cyberattacks and hacking, may hinder its widespread adoption.

He affirmed that an increase in cryptocurrency adoption could potentially divert funds and foreign exchange liquidity to the parallel market, undermining the immediate objectives sought by the CBN’s directive to restrict USD transfers for IMTOs.

[Featured Image Credit]

This represents a 74 percent drop from the $331.1m transactions recorded at the official Nigeria Autonomous Foreign Exchange Market on Thursday.

Meanwhile, the naira depreciated to N1,537/$ on Friday from N1,498/$ recorded at the close of trading activity on Thursday at the official market.

According to PUNCH analysis of data obtained from FMDQ Security Exchange showed that forex turnover plunged by 74 percent to $84.10m on Friday from $336.11m on Thursday.

However, aside from commercial banks, the Central Bank of Nigeria, oil firms and multinationals also sell dollars at NAFEM.

At the parallel market, on Friday, the naira also depreciated to N1,670/$ from N1,600/$ recorded on Thursday amid a demand with a steady demand for the greenback.

Further analysis for the week ending showed that the supply started on a low at $116.11m on Monday; it increased by $292.3m to $381.92m on Tuesday but dropped to $117.87m on Wednesday. On Thursday, the supply increased to $336.11m.

Market experts hinted that the naira depreciation followed a strong demand for dollars by speculators as well as individuals travelling for business, tourism, education and health.

According to currency dealers, the demand for the greenback may not end anytime soon.

The FMDQ report indicated that the banks led others to sell $1.97bn in the first week of the CBN circular which had mandated banks not to exceed a new threshold in their FX prudential guidelines.

In a series of guidelines, the CBN had ordered Deposit Money Banks to sell their excess dollar stock. It also warned lenders against hoarding excess foreign currencies for profit.

On Thursday, the apex bank released another set of guidelines that stopped banks from paying Personal Travel Allowance to their customers.

In a second circular signed by its Director, Trade and Exchange Department, Hassan Mahmud, it also asked International Oil Companies not to repatriate all their revenue to their parent companies at once. The apex banks also, in the third circular, reviewed its guidelines to stop under-invoicing of exports and over-invoicing of imports.

Nevertheless, despite the Central Bank’s efforts to boost forex supply through various policy interventions, challenges persist in the forex market.

The gap between the rates in the official market and the parallel market is once again widening, raising concerns about the potential resurgence of round-tripping activities.

In response to the circular, banking institutions and IMTOs have begun the implementation, carrying out operational adjustments to accommodate the revised remittance framework by issuing notices to their customers. (Credit: Punch Online).

He spoke to our correspondent on while affirming that, it was a step in the right direction.

Recall that on January 31, in a published document addressed to the IMTOs, CBN ordered the operators not to facilitate money transfers from Nigeria to other countries.

In other words, the IMTOs will now only pay in naira.

Speaking further, the Financial Expert said, although the Nigeria government through the Central Bank of Nigeria (CBN), remains the highest suppliers of the forex exchange, and one would have expected the country to benefits from the enterprise through forex remittances, but unfortunately it is not.

According to him, it is a right step in the right direction because for the first time, the directive is now creating a two way traffic exchange regime, whereby people who consume foreign exchange, for example importers, students, tourists and the “japa” people (emigrants), medical tourists, property buyers, and people engaging in money laundering, entered the market and purchase foreign exchange whether through the bank or through the Bureau de change.

He noted Nigeria has an Annual Diaspora Remittance in the region of $30billion, but 95% of this money are kept outside the official system and this is one of the problems facing the Naira.

So this new directives will solve the two problems of: Problem of hoarding of available scarce forex, and would also prevent speculations by the people who hoard the money.

“The only supplier or the biggest supplier of foreign exchange  in the  market is the government.  So when people go the market and access foreign exchange, whether at the Bank or at the Bureau Exchange, and they travel abroad and  engage in  activities abroad, one would expect that Nigeria as a country should be able to benefit  from that enterprise through forex remittances.

For example, if you travelled abroad, you bought  foreign exchange, maybe you pay your school fees, paying thousands of Pounds,  thousands of dollars as school fees, which you sourced through the Nigerian market and then you send money home let’s say  $5000, $10000, $20,000

Recalled that the apex bank described the new directive as a move to, “liberalise the forex market and ensure transparency”.

Despite the decision to float the naira, the currency has witnessed even more volatility as the CBN attempts to clear forex backlogs worth about $7bn.

Wunmi noted that, the apex bank and by extension the economy will benefit more from the directives because feelers, unpatriotic Nigerians who are trying to outsmart the system either through Cryptocurrency and other means will be contained by the apex bank.

“We are already getting some feelers of some unpatriotic Nigerians who are trying to game or outsmart the system, by saying that they are going to by-pass this (IMTO) and start using cryptocurrency and that is where the recent lifting of the ban on cryptocurrency is so much laudable. Because Cryptocurrency is now recognized, government can now regulate it and ensure that it is not allowed to undermine the financial system.

So this is a good step in the right direction as it is done all over the world, if you take dollars to the United Kingdom, you cannot spend dollars in the United Kingdom, you have to go to the bank or go to a currency bureau and change it and be given the legal tender of  that particular country.

If you take pounds to the United States of America for instance, you go to the bank or currency Bureau and change your pound to dollars.

“So Nigeria should not be an exemption, this is a right step in the right direction, and within a very short period of time, I am sure we will start seeing the benefits of that”, he said.

In other words, Nigerians abroad will no longer be able to send dollars or foreign currencies into bank accounts in the country.

IMTOs removed the option of sending dollars or other foreign currency to Nigeria on their websites and mobile applications in compliance with the CBN directive.

Consequently, Nigerians abroad are only allowed to transfer the naira equivalent amount of the foreign currency.

However, IMTOs are removing the option of sending dollars to banks accounts in the country and are exchanging at the rate of N1,450 to the dollar.

One of the IMTOs, WorldRemit, in a notice to customers, said:

“we can no longer support transfers in USD – only in Naira. If you’re about to send money to Nigeria – this is important. The Central Bank of Nigeria (CBN) has directed that it’s no longer possible for any money transfers to be paid out in USD in Nigeria.”

Also, Sendwave issued a notice to customers, thus:

“In compliance with a recent directive from the Central Bank of Nigeria (CBN), we regret to inform you that Sendwave, along with all money transfer operators, is no longer able to support USD transfers to Nigeria. We’d encourage you to switch to sending Naira transfers instead.”

The CBN had earlier instructed banks to begin paying Dollars and other foreign currency payouts from abroad in Naira to boost forex supply.

“All inbound money transfers to Nigeria shall be paid to beneficiaries in Naira through a bank account, or cash. Proceeds of IMTO more than the equivalent of $200 shall be paid through an account.

“Cash payments shall be made upon the provision of a satisfactory/acceptable means of identification. Where the beneficiary does not have an account with the IMTO agent bank, the agent bank shall credit the beneficiary account in another bank. The exchange rate for the Naira payment shall be at the prevailing rate in the Nigerian Foreign Exchange Market,” the CBN guideline reads in part.