Total direct remittance inflow into Nigeria has declined by 50% to US$1 billion between January and February 2020. This is significantly lower than 2019 levels, as a total of US$23 billion was remitted in 2019, making Nigeria the highest recipient within in the region.
With a diaspora residing in countries that have been severely hit by the COVID-19 pandemic including Spain, Italy, the United Kingdom and the United States, their ability to work and thus remit funds have been significantly limited.
Remittance is a major source of income for vulnerable households in developing countries, and this recent development could increase poverty and further widen inequality. In the coming months, remittance flows are expected to continue declining as a recent World Bank report noted that flows to low and middle-income countries in Africa will fall by 23,1%.