CBN: IMTO Inflows Hit Record $1.29bn in Q1, Rise 45%
Diaspora Remittance Inflows Hit Record $1.29bn in Q1 2026
Inflows through International Money Transfer Operators (IMTOs) reached a record $1.29 billion in the first quarter of 2026, representing a 45% increase from the $888.47 million recorded in the same period of 2025, according to Central Bank of Nigeria (CBN) data.
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The increase indicates stronger remittance flows through formal channels and comes as the CBN continues to introduce measures aimed at improving transparency and oversight of Nigeria's diaspora remittance market.
January records highest monthly inflow
The CBN's Q1 2026 Statistical Bulletin shows that IMTO inflows increased across all three months of the quarter.
January recorded the highest monthly inflow at $506.66 million, followed by $402.13 million in February and $377.93 million in March.
February's figure increased from $288.82 million recorded in the same month of 2025, while March inflows rose from $317.60 million a year earlier.
The combined first-quarter inflow was approximately $398.26 million higher than the $888.47 million recorded during Q1 2025.
Formal remittance channels gain ground
The latest figures point to increased use of formal channels for sending money into Nigeria.
Remittances from Nigerians living abroad remain an important source of foreign exchange for the economy, providing funds to households and businesses and contributing to the country's external liquidity.
The stronger IMTO performance also comes after a period of regulatory changes designed to improve the monitoring of remittance transactions and strengthen the foreign exchange market.
CBN tightens oversight of IMTO operations
The CBN introduced additional requirements for IMTOs in March 2026, including a directive requiring operators to open designated naira settlement accounts with authorised dealer banks.
Under the framework, remittance-related transactions, including payments to beneficiaries and settlements, are processed through the designated accounts.
The central bank has also previously revised its guidelines for IMTO operations and adjusted licensing requirements as part of efforts to strengthen regulatory oversight.
Remittances support foreign exchange liquidity
The increase in formal remittance inflows provides an additional source of foreign exchange for Nigeria.
The development is particularly relevant as the country continues efforts to improve liquidity and deepen activity in the foreign exchange market.
The CBN has also been working with IMTO operators through a collaborative task force established to increase remittance inflows into the country.
However, higher remittance inflows do not necessarily translate directly into increased investment because a significant portion of remittances goes towards household consumption, education, healthcare and other personal expenses.
Potential implications for housing and property
The increase in diaspora remittances could also have implications for Nigeria's housing market.
A portion of funds sent home by Nigerians abroad is used for home construction, property purchases, renovations and other housing-related expenditure.
Stronger formal remittance channels could make it easier for Nigerians in the diaspora to transfer funds for such purposes while providing greater transaction visibility.
The impact on property investment will ultimately depend on how much of the additional inflows are directed towards real estate rather than household consumption and other expenses.
Q1 inflows exceed previous years
The $1.29 billion recorded in Q1 2026 was higher than the combined first-quarter IMTO inflows recorded in each year from 2019 to 2025, according to the CBN data cited by Nairametrics.
The performance also builds on strong monthly inflows recorded during 2025. December 2025 recorded $511.11 million, while April reached $597.44 million, the highest monthly figure recorded during that year.
Outlook
The record $1.29 billion IMTO inflow in Q1 2026 highlights the growing importance of formal diaspora remittances to Nigeria's foreign exchange market.
Continued regulatory improvements, greater transparency and easier access to formal remittance channels could support further growth in inflows.
For the housing and property market, sustained growth in diaspora remittances could provide an additional source of funding for property acquisition and construction, particularly if more Nigerians abroad channel funds into formal real estate transactions.
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