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UK-based fintech company Wise, known for its low-cost international money transfer services, has resumed naira payouts to Nigeria following the Central Bank of Nigeria’s (CBN) recent regulatory changes. This comes after Wise previously suspended remittance services to the country due to evolving CBN policies.
In January 2024, the CBN introduced a new directive, reversing its earlier policy that mandated all remittances be paid exclusively in US dollars. The updated guidelines now require remittances below the $200 equivalent to be paid in naira. As a result, Wise has discontinued its US dollar remittance service to Nigeria and has adopted the new naira payout structure, allowing UK customers to send funds directly to Nigerian bank accounts in local currency.
This move marks Wise’s renewed attempt to stabilize its presence in the Nigerian market, a journey that has seen multiple interruptions since 2015 due to regulatory challenges and difficulties in maintaining mid-market exchange rates. Wise first halted naira transfers in 2016, resumed in 2017, but paused services again in 2020 when the CBN mandated remittances in US dollars, a requirement Wise struggled to meet.
The company faced similar regulatory and operational issues in 2022, leading to another suspension of naira payouts. However, Wise’s 2024 return comes with full compliance to CBN’s latest guidelines, reflecting its commitment to providing transparent and reliable remittance services in line with Nigeria’s evolving financial regulations.
Despite its turbulent history, Wise’s re-entry into Nigeria signals optimism and a focus on offering consistent cross-border payment solutions in local currency, enhancing the convenience of remittance transactions for Nigerians.
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