The Central Bank of Nigeria (CBN) has launched two innovative financial products, the Non-Resident Nigerian Ordinary Account (NRNOA) and the Non-Resident Nigerian Investment Account (NRNIA), designed to attract Nigerian citizens living abroad.
Announced on Friday, these accounts are set to bolster the engagement of Non-Resident Nigerians (NRNs) in the country’s economic activities.
In a statement, the CBN highlighted that these accounts would enhance NRNs’ access to opportunities within the Nigerian economy and increase their contribution to the nation’s socio-economic development. The initiative is expected to provide NRNs with a secure and direct means to manage their funds, reducing dependency on intermediaries for local financial obligations.
READ ALSO:Gov. Sanwo-Olu signs N3.36 trillion Lagos 2025 budget into law
Starting from January 1, 2025, eligible NRNs can open these accounts, provided they meet the Know Your Customer (KYC) requirements outlined in the upcoming Frequently Asked Questions (FAQs) release.
Features of the New Accounts:
- Non-Resident Nigerian Ordinary Account (NRNOA): This account allows NRNs to remit foreign earnings to Nigeria and manage funds in both foreign and local currencies. It offers the flexibility to maintain foreign and naira accounts for various transactions, with interest earned on deposits subject to applicable federal taxes. Balances in the foreign account can be repatriated without restrictions, and funds can be converted into naira at prevailing exchange rates.
- Non-Resident Nigerian Investment Account (NRNIA): This account facilitates investment in Nigerian assets using either foreign or local currency. Account holders can fully repatriate both investment principal and profits, enabling seamless capital mobility. The NRNIA promotes diversification by allowing investments in a wide range of local and foreign currency-denominated assets.
To open these accounts, NRNs can present valid or expired Nigerian passports with a valid foreign passport or proof of residency. Alternatively, a valid foreign passport with evidence of Nigerian citizenship through either parent is acceptable.
Diaspora Engagement and Remittance Optimization:
In October 2024, the CBN led a delegation, including the Nigeria Inter-Bank Settlement System (NIBSS), major Nigerian banks, and International Money Transfer Operators (IMTOs), to engage with the Nigerian Diaspora community in Houston, Texas. The forum, themed “Optimizing Remittances to Nigeria: A Vision for the Future,” aimed to enhance remittance flows and strengthen the financial sector.
Deputy Governor (Economic Policy), CBN, Muhammad Sani Abdullahi, emphasized the need to optimize remittance inflows, which average $20.5 billion annually, for long-term investments rather than immediate consumption. The CBN and financial stakeholders are committed to leveraging these inflows for national development.
The introduction of NRNOA and NRNIA underscores the CBN’s strategic approach to tapping into the Nigerian Diaspora’s potential, fostering increased investment and participation in the country’s economic growth.
