Diaspora Remittances to Nigeria Drop by 6.28% in Q1 2024

Confidence UbaniMay 16, 20241 Mins read149

In the first quarter of 2024, Nigeria recorded $282.61 million in direct foreign exchange (FX) remittances, marking a 6.28% decrease from the $301.57 million recorded in Q1 2023.

This decline, amounting to $18.96 million, comes amid reforms implemented by the Central Bank of Nigeria (CBN), according to international payment data on the CBN’s website.

The CBN data, which tracks direct diaspora remittances facilitated through international money transfer operators (IMTOs), showed notable fluctuations in remittance inflows over the months. January 2024 saw a substantial increase in remittances, with $138.56 million recorded, a 75% rise from the $79.19 million in January 2023.

In contrast, February 2024 experienced a sharp decline, with remittances plummeting to $39.15 million, more than 53% lower than the $83.76 million recorded in February 2023. This significant drop suggests pronounced volatility in remittance inflows during this period.

March 2024 also saw a decrease, with remittances totalling $104.91 million, down approximately 24% from the $138.63 million recorded in March 2023. These year-over-year fluctuations indicate that remittance flows could be influenced by economic factors, policy changes, or other external variables affecting the financial landscape.

The trends in remittance payments show the ongoing challenges affecting Nigeria’s economy.

Read: Five Things Remote Writers Should Do