bigtt76:
You need to open a domiciliary account in the currencies you want to receive?

CBN ARE BS

time for dollar hoarding, when the tin tire dem time to cash out. las las within 3 to 6 months. elemi loma last.

Academicwizman:
I am not an economist but I feel that Naira will become valueless in the nearest future and unemployment will become worse.

It appears that the government, through this policy has abandoned the hard work of proping up the economy through increased productivity but banking on foreign remittances to help the economy.

Dollarisation of the economy will be the order of the day. One would expect that the naira should become more valuable since there will be more dollars in the economy but preference to hold dollar over the naira and even trade with it internally will drive the naira value down unless the FG ban dollar as medium of exchange internally.

The cost of goods will skyrocket in naira value with devalued naira.


The inducement for foreign remittances will be lost and sending money home may become less attractive.

My thoughts exactly. Instead of stimulating the economy into productivity so that we can earn $ from export while diaspora remittances be an added advantage, these ones want to rely on diaspora remittances as our supposed source of foreign exchange.

How this will pan out I really don't know because Naija is a strange place.

drey076:

this is good because value of dollar will further crash in the parallel market.
more people will patronise bureau de change when they receive their US dollar rather than banks buying it at a ridiculous rate

Wonderful
Thanks

The directive is to your advantage. It means you can only receive the USD in cash or request a transfer to your domiciliary account if u have one. The reason is to stop the company from paying you in Naira at some unfavourable rate.
So the beneficiary should should go the branch and get USD cash to request transfer to his dom account.

Same as the normal account opening process except you will need to make a deposit to activate it.

Uniquisite:


CBN ARE BS

CAN AVERAGE NIGERIAN PROVIDE THE REQUIREMENT TO OPEN DOC. ACCOUNT IN BANK?

Observing the dollars effect on the Naira and economy as a whole.

The directive is to your advantage. It means you can only receive the USD in cash or request a transfer to your domiciliary account if u have one. The reason is to stop the company from paying you in Naira at some unfavourable rate.
So the beneficiary should go the branch and get USD cash or request transfer to his dom account.

Yusuf7777:
The directive is to your advantage. It means you can only receive the USD in cash or request a transfer to your domiciliary account if u have one. The reason is to stop the company from paying you in Naira at some unfavourable rate.
So the beneficiary should should go the branch and get USD cash to request transfer to his dom account.

TF

You are absolutely wrong to think CBN is doing this to favour those receiving money from abroad

jajeri3216:
If you're broke and waste your money, no amount of economic policy without actions will save you.

Either you find a better job, add side hustles, after which you must invest your earnings to grow.

Devaluation, revaluation, cajoling diasporas for funds , free markets , infact nothing will work except for true diversification, investments and cutting wastage.

Zimbabwe loading..

Unfortunately.....
You are right
One has to be proactive....
Despite what's going on

bigtt76:
All the international money transfer operators of which Worldremit one, are mandated by CBN to pay in dollars.

If you want to transfer the oney to the beneficiay's bank account, it has to be a domiciliary account in the currency you are sending. No more automatic conversion into Naira at a pre-determined rate

When the beneficiary withdraws from domiciliary account, s/he can just walk up to a money changer and get dollar to naira at N475 or higher instead of N390 official CBN's rate the banks offers

Please how possible is it for one to get the dollar at the the official bank rate?

humilitypays:
the meme

lol

DexterousOne:

Unfortunately.....
You are right
One has to be proactive....
Despite what's going on

How r u keeping, ma man Dexter? It's been awhile.

jajeri3216:


How r u keeping, ma man Dexter? It's been awhile.

I'm good
Thanks for asking

Hows it going at your end ?

surrogatesng:

Worldremit no longer pays into account.You will pick up the money at the bank in foreign currency

do i need to create a domiciliary account to pick the money up?

DexterousOne:


I'm good
Thanks for asking

Hows it going at your end ?

Hanging in there. We thank God

YoungB1a:
Pls did this affect PayPal because I'm finding it difficult to cashout cc Katlyst

try using the africard from UBA. what's it saying?

bigtt76:
Exactly but a bad policy.

1. It's recognizing the black market and legit helping to channel forex there.

2. The black market would get saturated at a point in time because no business man or woman would go there to source forex for business and the black marketers would not sell to the banks at the CBN rate

3. Naira in circulation would be mopped up at a point in time resulting in the dollarization of the economy (no one would want tk be paid in naira)

4. At the end of the day, beneficiaries would have no option but to exchange with the banks or hoard in their domiciliary accounts.

Have the other way round help dollar to stabilise.The idea is diaspora will be happy to send dollar and the receiver will get same.If someone have sent dollar to you before and you started pressing calculator only to get to bank and discover that they have cut the money into 2.

obiekunie2:


sorry sir, this explanation doesnt tarry.

it says - mobile services and bank accounts are temporary suspended.

if these avenues are suspended, how do you receive the fund??

how do you now send for cash pickup??



this country is ssoooo confusing and complicated!


PLS CAN SOMEBODY SHED MORE LIGHT ON THESE?

TIME TO GO GHANA, NIGER OR COTONOU AND OPEN AN ACCOUNT.

Please, would like to know if international transfer into domiciliary accounts are also affected! Thanks

You can send money in dollars to your bank account and also you can cashout in dollars but you can't do transaction or buying anything online in dollars only cash out and convert to any currency of your choice.

obiekunie2:


sorry sir, this explanation doesnt tarry.

it says - mobile services and bank accounts are temporary suspended.

if these avenues are suspended, how do you receive the fund??

how do you now send for cash pickup??



this country is ssoooo confusing and complicated!


PLS CAN SOMEBODY SHED MORE LIGHT ON THESE?

TIME TO GO GHANA, NIGER OR COTONOU AND OPEN AN ACCOUNT.

Hmmm

ello29:
You can send money in dollars to your bank account and also you can cashout in dollars but you can't do transaction or buying anything online in dollars only cash out and convert to any currency of your choice.

Receive dollar into Naira bank account? Hmm

EarlyCareer:
English is hard sha...

Bigtt76 has explained already.

- All money sent in dollars will be received in dollars.

- Receivers have to go to the bank to pick up the money which will be paid in dollars to them.

- Money sent will no longer be paid directly into receiver's bank account or wallet. This is temporary.

- this means that once dollars is picked up, you can now change to naira as you wish.

long process, what is the idea behind it? How would this benefit me or the receiver?

bigtt76:
It means your beneficiary can receive the dollar you transferred to them from any of the WU partner banks and go ahead to convert to Naira where ever they so wish. No more conversion into Naira at the partner bank

Very soon, Nigeria will adopt the US dollar for domestic transactions

Uniquisite:


Receive dollar into Naira bank account? Hmm

I wonder, what kinda rubbish is that? Why can't I just pay money directly to my Nigerian account? Why the hassle of receiving and going to exchange? How would that benefit me?

emmy512:
Does it Affect payooner too?

I wish to know too.

Uniquisite:


CBN ARE BS

Total rubbish

What of other currencies like Euro, Japanese Yen, Canadian dollar etc. Will they convert it to US dollar or what. The policy get K-leg.

bigtt76:
I agree with your points absolutely, it would help drive down the exchange rates but it's also dependent on the equilibrium between the foreign reserve and the in flows.

Mind you, the IMTOs are not flying in the forex to be disbursed (it would increase the wait time if the banks have to defend on this) so what they do is get from CBN and fulfill the demands locally at a cost to CBN.

I still don't see the need paying out the dollars locally or even allocating to the BDCs. I don't know of any country that does this though

Rather what the CBN would've done if they wish to allow dollar cash outs, mandate that the cash outs is done through the BDCs (they are the regulated black marketers of our time) who will in turn, either return it back to their bank accounts or sell to businesses.

The money changer out there won't resell at a loss, so where's the gain?

I am totally aligned with your skepticism, however to prevent the sales at a loss, the BDC/BM will drop the exchange rates offered to people.

The IMTOs would have to credit the Foreign Reserve account of Nigeria with the equivalent USD amount since the payout is now in USD, thus CBN is only paying out what it has received and will continue to utilise its own USD for the official transactions. As more USD comes into play, the USD will have to find itself back to the banks.

The big elephant that no one is talking about is Domiciliary Accounts!!! Which other country allows ALL citizens to keep money in foreign currencies in their banks? That anyone can decide to bet against the Naira by purchasing USD and keeping in the bank, which adds no value to the economy, is the biggest travesty of the economy I have seen.

That's our fear now, when all the Naira has been exchanged for dollars, it may happen

adeheritage:


Very soon, Nigeria will adopt the US dollar for domestic transactions

On point.

Akainzo:


I am totally aligned with your skepticism, however to prevent the sales at a loss, the BDC/BM will drop the exchange rates offered to people.

The IMTOs would have to credit the Foreign Reserve account of Nigeria with the equivalent USD amount since the payout is now in USD, thus CBN is only paying out what it has received and will continue to utilise its own USD for the official transactions. As more USD comes into play, the USD will have to find itself back to the banks.

The big elephant that no one is talking about is Domiciliary Accounts!!! Which other country allows ALL citizens to keep money in foreign currencies in their banks? That anyone can decide to bet against the Naira by purchasing USD and keeping in the bank, which adds no value to the economy, is the biggest travesty of the economy I have seen.

emmy512:
Does it Affect payooner too?

Wanted to ask