Recall that the apex bank had issued the directive on Friday in its circular to DMBs, IMTOs and payment service providers titled ‘Receipt of Diaspora Remittances: Additional Operational Guidelines 2,’ jointly signed by the director of banking supervision and director of payments system management.
The move, it was gathered, followed CBN’s decision on Wednesday, which ordered switches and processors to immediately halt all domestic currency transfers in respect of foreign remittances through IMTOs.
“DMBs are to close all naira accounts for IMTOs. This is to ensure that diaspora remittances are received by beneficiaries in foreign currency only (cash and/or transfers to domiciliary accounts of recipients),” the circular said.
“DMBs are permitted to open new Opex accounts for the purpose of the IMTO operations, such as salary payments and other operating expenses excluding diaspora remittance receipts.
“DMBs must ensure that proper audit of IMTO accounts is done to forestall further use of Naira accounts for diaspora remittances purposes.”
The CBN had warned that operators paying beneficiaries of diaspora remittances in local currency could forfeit their operational licences if they persisted with the practice.
“Following the recent policy pronouncement on amendment to procedures for receipt of diaspora remittances, the CBN notes material compliance by majority of market participants as beneficiaries of remittances through IMTOs now receive foreign currency through their designated banks,” CBN said in the earlier circular released on Wednesday
“However and regrettably, a few operators continue to pay remittances in local currency contrary to regulatory directive. The CBN frowns on this practice,” it added.
You may be interested
Cultists Scatter Bella Shmurda’s Show In Ilorin (Video)Webby - January 14, 2021
[unable to retrieve full-text content]Singer Bella Shmurda breaks down in tears as suspected cultists scatter his show in Ilorin, Kwara…
Wyclef Jean in Desperate Search for Sean TizzleWebby - January 14, 2021
What looks like the onset of a possible bromance between Haitian born rapper, singer and actor, Nel Ust Wyclef Jean,…