Nume Ekeghe

Data obtained from the Central Bank of Nigeria (CBN) has showed that direct remittance inflows into Nigeria totaled $1.92 billion in 2024, reflecting a slight decline from the $1.98 billion recorded in the previous year.

Despite this dip, remittances continued to play a critical role in supporting household income and foreign exchange liquidity. The data also revealed that January and February 2025 have already recorded $180 million in direct remittances, with $125.6 million in January and $54.4 million in February, suggesting a cautious start to the year.

Analysis of the CBN data showed that the year 2024 began with relatively strong inflows of $138.6 million in January. However, February saw a dramatic decline to $39.1 million, marking the lowest monthly figure of the year. This drop was likely influenced by seasonal factors and economic uncertainties affecting the diaspora. March saw a modest recovery, with remittances rising to $104.9 million, signaling a gradual stabilisation.

Remittance inflows picked up significantly in the second quarter, with April recording $193.3 million—a strong rebound from the previous quarter. The trend continued in May, which recorded $365.4 million, the highest inflow of the year. June followed with $270.5 million, maintaining a robust level of inflows as Nigerians abroad sent more funds home, possibly due to mid-year financial obligations such as school fees and investment commitments.

The third quarter of the year saw another round of volatility. July’s remittances plunged to $72.2 million, marking a sharp drop from the strong June figures. However, August rebounded with $131 million, suggesting a renewed inflow of funds from the diaspora. This was followed by September’s surge to $230.3 million, reinforcing the vital role of remittances in Nigeria’s economy.

As the year drew to a close, inflows experienced further fluctuations. October recorded a dip to $64.3 million, but November rebounded with $127.1 million. Finally, December ended the year with $173.7 million, the strongest performance since June, likely fueled by holiday-related spending and increased financial support from Nigerians abroad.