The Central Bank of Nigeria (CBN) has indefinitely extended the Naira-4-Dollar incentive in which banks pay N5 for every dollar received as remittance.
The apex bank made this known in a circular from its Trade and Exchange Department to all deposit money banks and International Money Transfer Operators (IMTOs).
It had commenced the initiative on March 8, 2021 in a bid to encourage remittance inflow through official channels and increase dollar liquidity in the country.
With the policy, banks are required to pay N5 for every dollar that is sent either into the domiciliary account or cash collection from outside the shores of the country.
The initiative which was supposed to end this Saturday May 8, 2021, according to the Governor of the CBN Godwin Emefiele, said will yield positive results had noted that the measure will encourage banks and financial institutions to develop products and investments vehicles, geared towards attracting investments from Nigerians in the diaspora.
“We have no doubt that these changes can help to finance a future stream of investment opportunities for Nigerians living abroad” he said.