The Central Bank of Nigeria has directed all International Money Transfer Operators (IMTOs) to open Naira settlement accounts with authorised dealer banks as part of efforts to improve transparency in remittance inflows.
The directive, which takes effect from May 1, 2026, requires all IMTO transactions to be processed strictly through designated settlement accounts.
Strengthening remittance transparency
In a circular signed by Musa Nakoji, the apex bank stated that all disbursements to beneficiaries and related settlements must pass through these accounts.
According to the CBN, the move is aimed at enhancing oversight, improving traceability of funds and strengthening confidence in Nigeria’s foreign exchange system.
“All transactions arising from international money transfer operations must be processed exclusively through the IMTO’s settlement accounts,” the circular stated.
Flexible account structure for operators
The CBN clarified that IMTOs can either use existing accounts or open new ones to comply with the directive.
Operators are also allowed to maintain multiple settlement accounts across different authorised dealer banks, depending on their operational needs.
However, these accounts will be strictly reserved for remittance inflows and proceeds from foreign exchange transactions conducted within the Nigerian FX market.
Compliance and regulatory oversight
As part of compliance requirements, IMTOs are expected to properly designate their settlement accounts and submit details to the CBN’s Trade and Exchange Department.
They are also required to provide regular updates to ensure effective monitoring and regulatory supervision.
The apex bank emphasised that operators must maintain proper transaction records for audit and regulatory checks.
Market efficiency and pricing reforms
To further improve efficiency in the foreign exchange market, the CBN directed IMTOs to align their pricing with real-time market rates sourced from Bloomberg’s BMATCH platform.
The policy is expected to enhance price discovery, reduce information gaps between operators and banks, and increase participation in the official FX market.
In addition, authorised dealer banks have been permitted to process foreign currency transfers from IMTO settlement accounts to other banks and approved market participants, including Bureau De Change operators.
Part of broader FX reforms
The directive builds on earlier reforms introduced by the CBN in January 2024, which updated guidelines for licensing and operations of international money transfer services in Nigeria.
The bank reiterated that IMTOs must continue to comply with anti-money laundering regulations, counter-terrorism financing standards and other financial system safeguards.
Analysts say the new policy is part of broader efforts to strengthen foreign exchange inflows from the diaspora, improve transparency and ensure remittances contribute more effectively to Nigeria’s economic stability.
