Nigeria’s Monthly Remittances Hit Record $947m, Near $1bn Target

By Benson Daniel

Nigeria’s formal remittance inflows rose to a record $947 million in July 2026, marking the highest monthly inflow ever recorded through International Money Transfer Operators and bringing the country closer to the Central Bank of Nigeria’s $1 billion monthly target.

The latest performance represents a significant improvement in the flow of diaspora funds through formal financial channels and highlights the growing contribution of remittances to Nigeria’s foreign exchange market and broader economy.

According to the Central Bank of Nigeria, inflows through IMTOs reached $3.8 billion between January and July 2026. The figure represents a 50.2 percent increase compared with the corresponding period of 2025, indicating a substantial strengthening of formal remittance flows during the year.

The July figure is particularly significant because it leaves Nigeria only $53 million short of the $1 billion monthly target established by CBN Governor Olayemi Cardoso nearly two years ago.

The increase has been attributed to a series of reforms aimed at making formal remittance channels more competitive, accessible and transparent. These measures include changes to the regulatory framework governing IMTOs, movement towards a more market determined exchange rate and the introduction of the Non Resident Bank Verification Number, or NRBVN.

The CBN has also increased its engagement with international money transfer operators, commercial banks and Nigerian diaspora communities in major remittance corridors. The objective is to reduce obstacles affecting formal transfers and encourage more Nigerians abroad to use regulated channels when sending money home.

More recently, the apex bank strengthened requirements for remittance transactions to pass through designated settlement accounts with authorised dealer banks. The measure is intended to improve transparency, traceability and monitoring of foreign exchange transactions while strengthening the formal remittance ecosystem.

The record inflow has implications beyond the size of the monthly figure. Higher formal remittances increase the supply of foreign currency entering the regulated financial system, potentially supporting foreign exchange liquidity and improving visibility over diaspora-related inflows.

Remittances also provide an important source of financial support for Nigerian households. Funds received from Nigerians living abroad are commonly used for household expenses, education, healthcare, housing, business activities and investment, making diaspora transfers an important component of household financing.

At the national level, stronger remittance inflows can also improve Nigeria’s external financing position and provide an additional source of foreign exchange alongside earnings from exports and other international transactions.

The CBN, however, has indicated that the July record should not be viewed in isolation. Monthly remittance figures can fluctuate, and the bank’s broader objective is to sustain the upward trend and ensure that an increasing proportion of diaspora funds enters the country through formal channels.

Cardoso said the latest performance showed that the $1 billion monthly ambition was becoming increasingly achievable, while stressing that the focus remained on creating conditions for sustained growth rather than simply reaching a single monthly milestone.

The CBN is expected to continue engaging diaspora communities, IMTOs, banks and other financial sector stakeholders across major international remittance corridors. These engagements are aimed at reducing transaction friction, widening access and encouraging more Nigerians abroad to use formal channels.

If the current momentum is sustained, Nigeria could cross the $1 billion monthly threshold in the coming months. More importantly, maintaining formal inflows above that level would strengthen the role of diaspora remittances in supporting foreign exchange liquidity, household finances and investment.

The July record therefore represents not only a new high for monthly remittances but also an important test of the CBN’s strategy to bring a greater share of Nigeria’s diaspora money into the formal financial system.