The Central Bank of Nigeria (CBN) has reported that personal remittance inflows into the country climbed to $20.93bn in 2024, marking an 8.9 per cent year-on-year increase.
This disclosure was made in a statement issued on Wednesday by the apex bank while announcing a balance of payments surplus of $6.83bn for the 2024 financial year.
The statement, signed by the Acting Director of Corporate Communications, Mrs. Hakama Sidi-Ali, highlighted a significant shift from previous deficits of $3.34bn in 2023 and $3.32bn in 2022.
Surge Driven by Macroeconomic Reforms and Diaspora Engagement
According to the CBN, the positive trend in remittance inflows and the broader external balance is a result of macroeconomic reforms, stronger trade performance, and renewed investor confidence.
The bank noted that remittance inflows remained robust throughout 2024. International Money Transfer Operator (IMTO) inflows jumped by 43.5 per cent, reaching $4.73bn, compared to $3.30bn in 2023.
“Remittance inflows remained resilient, with personal remittances rising by 8.9 per cent to $20.93bn. International Money Transfer Operator inflows surged by 43.5 per cent to $4.73bn, up from $3.30bn in 2023, reflecting stronger engagement from the Nigerian diaspora. Official development assistance also rose by 6.2 per cent to $3.37bn,” the statement read.
Trade and Capital Accounts See Strong Performance
The current and capital accounts registered a $17.22bn surplus, driven primarily by a goods trade surplus of $13.17bn.
- Non-oil exports rose by 24.6 per cent to $7.46bn
- Gas exports surged by 48.3 per cent to $8.66bn
- Petroleum imports fell by 23.2 per cent to $14.06bn
- Non-oil imports declined by 12.6 per cent to $25.74bn
Financial Account Highlights
On the financial account side, Nigeria recorded a net acquisition of financial assets worth $12.12bn.
- Portfolio investment inflows more than doubled, increasing by 106.5 per cent to $13.35bn
- Resident foreign currency holdings rose by $5.41bn
- However, foreign direct investment (FDI) fell sharply by 42.3 per cent to $1.08bn
External Reserves and Data Accuracy Improve
The CBN also revealed that Nigeria’s external reserves grew by $6bn, reaching $40.19bn by the end of 2024. This expansion helps strengthen the country’s foreign exchange buffer.
Additionally, net errors and omissions in financial reporting dropped by 79.5 per cent to – $5.10bn, down from $24.90bn in 2023—an improvement the bank credited to enhanced data capture and transparency.
Reacting to the performance, the Governor of the CBN said:
“The positive turnaround in our external finances is evidence of effective policy implementation and our unwavering commitment to macroeconomic stability. This surplus marks an important step forward for Nigeria’s economy, benefiting investors, businesses, and everyday Nigerians alike.”
The apex bank attributed these gains to policy reforms such as the liberalisation and unification of the foreign exchange market, a disciplined monetary policy stance, and coordinated fiscal and monetary interventions.
