Nigeria’s apex bank has advised Nigerians in diaspora to channel their remittances home towards investment rather than consumption.
Deputy Governor (Financial System Stability) at the Central Bank of Nigeria (CBN), Mr. Philip Ikeazor, gave the advice during a forum that focused on: “Optimizing Remittances to Nigeria: A Vision for the Future,” held with the Nigerian diaspora in Houston, Texas, United States (U.S).
Ikeazor argued that if effectively utilized, remittances could play a transformational role in Nigeria’s economic development by driving productive investments.
He urged stakeholders to collaborate in exploring ways to maximize remittance flows for national growth.
Also speaking on the occasion, Deputy Governor (Economic Policy) at the CBN, Muhammad Sani Abdullahi, reiterated the apex bank’s commitment to creating an environment conducive to private sector growth, stressing that remittances could act as a catalyst for inclusive economic development and financial inclusion.
He also reaffirmed CBN Governor Olayemi Cardoso’s goal of doubling capital inflows and remittances to Nigeria.
Lamenting the potential impact of Nigeria’s presence on the Financial Action Task Force (FATF) grey list, CEO of LemFi, Olalere Ridwan, said addressing the issue could significantly lower remittance fees.
CEO of UBA, Dr. Oliver Alawuba and CEO of Fidelity Bank, Nneka Onyeali-Ikpe, stressed the need for collaboration between banks, fintechs, and regulators to unlock the full value of remittances.
With remittances averaging $20.5 billion yeary over the past decade, the CBN and financial stakeholders are looking to shift these inflows toward investments that can foster long-term economic growth, marking a critical step toward sustainable national development.
