Two new financial products have been introduced by the Central Bank of Nigeria (CBN) to cater to Nigerians residing overseas.
CBN’s Trade and Exchange Department published a circular on January 10, 2025, introducing the Non-Resident Nigerian Ordinary Account and the Non-Resident Nigerian Investment Account. The CBN claims that the goals of these accounts are to promote financial inclusion among Nigerians living abroad, facilitate remittances, and stimulate investments.
Dr W. J. Kanya, the interim Director of Trade and Exchange, signed the document, which reads: “The Central Bank of Nigeria is pleased to inform the general public of the introduction of the Non-Resident Nigerian Ordinary Account and Non-Resident Nigerian Investment Account targeted at Nigerians in the diaspora.”
It is also anticipated that the effort will offer a safe and effective platform for investing in and managing money in Nigeria’s financial markets. The circular further mentioned: “Effective 1st January 2025, eligible NRNs shall have the opportunity to own any of the Non-resident Nigerian accounts, subject to meeting KYC requirements which will be made available in FAQs to be released soon.
“This policy is without prejudice to Memorandum 17 of the CBN Foreign Exchange Manual (2018),” it added.
By enabling non-resident Nigerians to handle funds in foreign currency or naira and send foreign earnings into Nigeria, the NRNOA aims to streamline remittances. In addition to spending on healthcare, education, and family maintenance, deposits from sources like salary, allowances, and dividends are also encouraged. However, through the NRNIA, NRNs can invest in Nigeria’s financial markets, including fixed deposits, bonds denominated in foreign currencies, and local assets including stocks, government securities, and mortgage products. Both accounts provide currency flexibility, allowing holders to keep balances in either naira or foreign money, according to the CBN.
Through licensed dealers, account holders will also be able to exchange money between the two currencies at the going rate, BrandSpur banking and finance news reports.
Specifically, the NRNIA is set up to encourage active involvement in the economic growth of Nigeria and to stimulate investments in its financial products, including the Diaspora Bond. By increasing remittances and encouraging investments in vital areas, the CBN thinks that the opening of these accounts will unlock the economic potential of Nigerians living abroad.
