The remittance industry is one which drives countries. Generating the funds needed for a healthy consumerism based economy, currently many developing countries rely on this industry to bring in GDP. As discussed previously remittance in Nigeria is huge as it contributes to well over 3% of GDP. However a controversial new decision from the Central Bank means that only three remittance operators will be allowed to operate freely in the country. Effectively monopolizing a multibillion dollar industry the bank has made fiat remittances not only expensive but time consuming.Cashila-Revolutionizing-the-European-Remittance-Market
Previously the freedom many enjoyed choosing the most efficient and cheap service has been taken away as the bank puts its foot down. In a directive released by the bank, all but 3 operators are forced to sell their holdings of foreign currency. This includes remittance coming into the country which may be in various currencies such as Dollars, pounds or Euros. Furthermore the threat of a Forex-remittanceswithdrawal of licence sadly means the majority may be forced to close if they fail to adhere to the new rules.
As fiat remittances get costly, you may be left out of pocket when trying to make a weekly payment to your family. A combination of capital controls and CNB legislature has forced remittances into a corner as the bank attempts to justify these new rules as a safeguard for the Naira currency. Current day alternatives such as Bitcoin allow you to bypass fiat restrictions to sell and buy as you please. NairaEX, Nigeria’s leading exchange offers the most competitive rates on Bitcoin sales allowing you to make the most out of your remit. Not only will you enjoy an instant transaction conversion and the cheapest fees in the market, but your friends and family will enjoy the amazing rates offered. Untraceable by the government and completely decentralized Bitcoin may soon become the remittance medium of the future!
AB9NGK Nigerian Central Bank, Abuja, Nigeria. Image shot 2007. Exact date unknown.