Mr. Godwin Emefiele, Governor of CBN

CBN encourages local production, introduces ‘Naira 4 Dollar Scheme’ to boost Diaspora remittances

*Central Bank of Nigeria Governor Godwin Emefiele urges multinationals and other indigenous corporations operating in Nigeria to work towards production of their goods to create jobs and support skills transfers in the country

*The apex bank has announced the ‘CBN Naira 4 Dollar Scheme’ of N5 for every $1 received as an incentive for senders and recipients of international money transfers in the country

Isola Moses | ConsumerConnect

In order to boost and sustain inflows of the Diaspora remittances into the country, the Central Bank of Nigeria (CBN) henceforth will pay recipients of Diaspora remittances through CBN-licensed IMTOs N5 for every $1 received as remittances inflow.

A.S. Jibrin, Director of Trade and Exchange Department of CBN, in a circular issued to all Deposit Money Banks (DMO) and International Money Transfer Operators (IMTOs) dated March 5, 2021, announced the introduction of “CBN Naira 4 Dollar Scheme” as an incentive for senders and recipients of international money transfers.

The circular stated: “In an effort to sustain the encouraging increase in inflows of diaspora remittances into the country, the Central Bank of Nigeria (CBN) hereby announces the introduction of the ‘CBN Naira 4 Dollar Scheme’, and incentive for senders and recipients of International Money Transfers.”

The CBN added: “Accordingly, all recipients of diaspora remittances through CBN licensed IMTOs shall henceforth be paid N5 for every USD1 received as remittance inflow.”

In a related development, Mr. Godwin Emefiele, Governor of CBN, Friday urged multinationals and other manufacturing companies operating in Nigeria to work towards the production of their goods in in the country.

ConsumerConnect gathered Emefiele, who said this in Lagos, during the signing of an agreement between Procter & Gamble (P&G), a consumer goods manufacturer and Colori Cosmetics, for the local production of Oral B products in Nigeria, reiterated the CBN’s support towards local manufacturing.

The parties to the agreement explained that the partnership represents a new investment of $35 million with additional direct jobs of over 200 expected to be created. The deal is expected to further promote localisation, technology advancement in Nigeria, support the government’s economic diversification drive as well as create an export hub of manufactured goods in Nigeria, according to report.

He advised other multinationals to follow suit and collaborate with partners to strengthen industrialisation in the country.

Emefiele said: “I encourage other multinational firms to consider the opportunities that Nigeria offers and begin to set up their manufacturing lines in Nigeria.

“I also encourage indigenous corporations by saying rather than import goods that can be produced in Nigeria; they should begin to produce those goods here in Nigeria.

“We believe this will help to enable the build out of a more resilient economy that creates jobs and supports skills transfers for our growing and youthful population.”

According to him, the manufacturing industry has been a key focus of the efforts by the monetary and fiscal authorities towards driving recovery of the Nigerian economy, following the downturn in the first half of last year, as a result of the COVID-19 pandemic.

The Central Bank will set up a N1 trillion facility April 2021, geared towards support growth and expansion of manufacturing firms in the country.

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