CBN Tightens Grip On Diaspora Remittances With New Rules

The Central Bank of Nigeria (CBN) has introduced a new regulatory framework to strengthen oversight of diaspora remittances and enhance transparency in Nigeria’s foreign exchange market.

Under the new directive, all International Money Transfer Operators (IMTOs) are required to open and maintain naira settlement accounts with authorised dealer banks, through which all remittance-related transactions must be processed.

The policy, contained in a circular dated March 24, 2026, was signed by the Director of the Trade and Exchange Department, Dr. Musa Nakorji, and made public on the apex bank’s website on Tuesday.

According to the CBN, the move is designed to “enhance diaspora remittances, strengthen transparency, traceability, and effective monitoring of all transactions.”

With the new arrangement, all inflows, beneficiary payments, and settlement activities linked to international transfers will now pass strictly through designated accounts held with authorised dealer banks in Nigeria.

The framework also limits how such accounts can be funded, stating that they “shall only be credited with remittance flows and proceeds of foreign exchange conversions by licensed IMTOs (or their agents)” within the Nigerian Foreign Exchange Market.

As part of the changes, IMTOs must formally designate their settlement accounts and submit details to the apex bank, while providing updates when necessary.

The CBN said the policy will also improve efficiency in the FX market, allowing authorised dealer banks to transfer foreign currency from IMTO accounts to other banks and approved participants, including Bureau De Change operators.

In addition, IMTOs are now required to align their pricing with real-time market rates from the Bloomberg BMatch system. The circular stated that operators “shall observe real-time market prices from the Bloomberg BMATCH and utilise this as guidance for pricing transactions with their customers and Authorised Dealers.”

The apex bank noted that the pricing guideline would “improve price discovery, reduce information asymmetry between IMTOs and banks, and encourage increased participation in the official FX market.”

It also stressed that all operators must maintain accurate transaction records and comply fully with anti-money laundering, counter-terrorism financing, and counter-proliferation financing regulations.

“This directive takes effect from May 1, 2026. Please note and ensure compliance,” the circular stated.

Analysts say the move signals a broader push by the CBN to channel remittance inflows through formal banking systems, deepen liquidity in the official FX market, and enhance regulatory oversight of cross-border financial flows into Nigeria.