Diaspora remittances: ‘Naira for dollar scheme’ to the rescue Mustapha Temidayo
The Central Bank of Nigeria’s (CBN’s) ‘Naira for Dollar Scheme’, aimed at promoting diaspora remittances will be ending this Saturday. The two-month campaign, which started on March 8, has seen many diaspora remittances recipients get rewarded with N5 for every dollar received. The policy creates opportunity for banks to utilise their products and investments’ vehicles to attract foreign capital from Nigerians in the diaspora.The campaign has led to significant increase foreign reserves and boosted dollar liquidity in the economy, writes COLLINS NWEZE.
Not many people considered the possibility of being rewarded for receiving dollar inflow from the diaspora.
April 30, 2021 Mc Donald Chapalapata (Contributor) 2 Comments
“I will be sending money to my relatives in a reliable and secure way.”
In a bid to serve its clientele more, and with due diligence, the bank of the nation, National Bank of Malawi (NBM) plc has entered into a partnership with International Money Transfer Institution, Western Union, that specializes in global cross-border and cross-currency money movement to ease money transfer transactions for its customers and non-customers.
NBM plc Head of Treasury and Investment Banking, Harry Mukaka, said in an interview that the partnership with Western Union will help customers to send and receive money with speed, ease, and reliability.
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First Bank of Nigeria Limited, Nigeria’s leading financial inclusion services provider, is rewarding customers with N5 for every dollar received through foreign remittances.
This N5 for a dollar incentive is paid to FirstBank’s customers regardless of their preference to collect the dollars as cash across the counter in any of the bank’s over 750 branches nationwide or as transfer into the customers domiciliary accounts.
The reward to customers is in line with the Central Bank of Nigeria’s ‘Naira 4 Dollar scheme’, driven to promote diaspora remittances into the country. For example, a customer that receives $10,000 gets N50,000 as reward. The scheme runs from Monday, 8 March – Saturday, 8 May 2021.
FirstBank promotes diaspora remittances, rewards customers with extra 5 Naira for dollar received naija247news.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from naija247news.com Daily Mail and Mail on Sunday newspapers.
According to a circular dated March 5, 2021 and directed to all Deposit Money Banks (DMBs), International Money Transfer Operators (IMTOs) and members of the public, the apex bank said the new scheme was an effort to sustain the encouraging increase in inflows of Diaspora remittances into Nigeria.
The circular, issued by the Trade and Exchange Department of the CBN, stated that the scheme was an incentive for senders and recipients of international money transfers.
Accordingly, all recipients of Diaspora remittances through the CBN licenced IMOs, shall henceforth be paid N5 for every $1 received as remittance inflow.
“In light of this, the CBN shall, through commercial banks, pay to remittance recipients the incentive of N5 for every $1US remitted by the sender and collected by a designated beneficiary.