CBN Data Shows Nigeria’s Diaspora Remittances Fall to $5.30bn
- Nigeria’s diaspora remittance inflows fell to $5.30 billion in Q1 2026 from $5.72 billion in Q4 2025
- Also, Nigeria’s current account surplus surged 255.7% to $4.98 billion, driven by higher crude oil and gas exports
- CBN data also revealed that external reserves rose to $48.35bn despite a decline in remittances
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Personal remittances into the country, otherwise called diaspora remittances, dropped in the first three months of this year as Nigerians in other climes sent home $5.30bn compared to $5.72bn in the last three months of last year.
These details are contained in the Central Bank of Nigeria( CBN)’s first-quarter 2026 balance of payments report.
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The fall, stakeholders believed, is a result of prevalent FX leakages that have continuously frustrated genuine efforts made by the country to boost formal channels for foreign currency transactions and thereby limit inflows from the diasporas, Tribune reports.
Part of CBN reads
”FX leakages continue to undermine formal channels and distort prices in this market as such many transfers to the economy outside direct intervention, and limit the extent of diaspora contributions to dollar liquidity. The implications are that stronger remittances are often limited in scope”
However, in a Nigeria where diaspora remittances often serve as one of the biggest foreign exchange earnings sources that support household spending, business transactions and its external position, remittances have continued to remain a potent tool for economic stability.
The apex bank added:
With declining remittances coupled with increasing outflows under the service accounts this could potentially limit the overall gain in the external sector position.
"Direct investment (net capital inflows) was also subdued during the period due to concern on the economic investment environment, while borrowing (net financial inflows) increased.”
Source: Getty Images
Sources of FX inflows into Nigeria
Despite the setback in diaspora transfers, Nigeria's external position strengthened significantly in Q1 2026 as the current account surplus widened dramatically by 255.7% QoQ to $4.98 billion from $1.40 billion in Q4 2025, Cable reports.
The growth was driven by stronger hydrocarbon exports and a sharp decline in petroleum imports. Crude oil exports rose to $8.11 billion, natural gas exports increased to $2.53 billion, while refined petroleum exports climbed to $2.37 billion.
Also, refined petroleum imports dropped 87.5% to $310 million, supporting a wider goods surplus of $5.95 billion. Total exports increased to $15.49 billion, while imports declined to $9.54 billion.
The stronger external position lifted Nigeria’s foreign reserves to $48.35 billion from $45.75 billion, improving the CBN’s capacity to manage FX pressures and support economic stability.
Naira appreciates by 0.55%
Earlier, Legit.ng reported that the naira strengthened against the dollar at the Nigerian Autonomous Foreign Exchange Market (NAFEX), appreciating by 0.55% due to bolstered external reserves and steady FX inflows.
At the official window, the currency strengthened by N7.56 to close at N1,356.27/ $1, as against N1,363.83/ $1 on the previous trading.
A breakdown of Naira performance against the euro, the pound sterling and other foreign currencies has been provided.
Source: Legit.ng
