Nigeria Shines as World Bank Releases List of Top 10 African Countries With Highest Remittance
- The World Bank has said that diaspora remittances into Africa slowed by -0.3% in 2023
- The bank disclosed that Africa recorded about $72.5 billion in remittances in 2023.
- The World Bank report ranked Nigeria and Egypt as topping the list of 10 African countries with the highest remittances
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment, and the economy for over a decade.
The World Bank has released the global remittance report, ranking India as the country with the most diaspora remittance in 2023, with about $120 billion.
The global lender said Africa's top 10 recipient countries got about $72.5 billion.
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Africa receives less remittances in 2023
The bank disclosed that there were slightly fair representations of the different regions among the top recipients on the continent, with North African countries ranking among the top 10.
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Reports say three and two countries from West and East Africa were on the list, respectively, while the Central Africa region accounted for one.
Per the report, remittance flows to Sub-Saharan Africa hit about $54 billion in the past year, a slight decline of -0.3% from the previous year.
Remittances flows to the continent are projected to increase by 1,3% in 2024.
More North American countries represent
The MENA region, which includes North African countries, recorded a 15% decline in 2023 due to declines in Egypt.
According to the report, the decline in Egypt’s remittances was due to a diversion from official to unofficial channels due to exchange rate disparities between the official and parallel markets.
10. Democratic Republic of Congo—The total remittance payment to D.R. Congo in 2023 stood at approximately $1.4 billion and has remained similar since 2021.
The top 10 countries per World Bank ranking
Algeria: $1.86 billion
Algeria recorded 1.86 billion in remittances- $163 million above the figure in 2023.
Tunisia: $2.65 billion
The total remittance payment received in 2023 was $2.65 billion, a decline of 5.5% from the figure for 2022, which was $2.86 billion.
Senegal: $2.94 billion
The lowest-ranking West African country on the list earned $2.94 billion in 202, a decline of $71 million from the $3.00 billion it received in the previous year.
Zimbabwe: $3.08 billion
The Southern African country recorded remittance payments of $3.08 billion in 2023, unchanged from the previous year.
Kenya: $4.16 billion
The only Eastern African country among the top ten received $4.16 billion in remittances in 2023- a slight increase from the $4.06 billion received in 2023.
Ghana: $4.63 billion
Remittance payments to Ghana in 2023 remained unchanged from the figure in 2022 at $4.63 billion. Its share of GDP for the year was 6.2%/
Morocco: $11.75 billion
In 2023, remittance payments to this country stood at $11.75 billion, which is marginally higher than the $11.17 billion recorded in 2022.
Egypt: $19.53 billion
International remittance payments to Egypt in 2023 stood at $19.53 billion.
This represents a decline of 31% when compared to the $28.33 billion recorded in 2022.
The remittance payment for 2023 is the lowest since 2017 when the country recorded around $18 billion. Remittances as a share of GDP in Egypt stood at $5.0%.
Nigeria: $19.555 billion
In 2023, Nigeria marginally edged Egypt with around $23 million to become Africa's highest recipient of international remittances.
International remittances stood at $19.555 billion, declining from $20.12 billion in 2022.
The development comes as Nigeria’s foreign reserve surged by $110 million in 24 hours to hit $34.7 billion.
Nigeria’s FX reserves rise
Legit.ng reported that the surge in FX reserves was attributed to improved remittances from Nigerians in the diaspora.
Analysts see the rise in FX reserve as a positive development for Nigeria’s economy, providing a buffer against external shocks and supporting Nigeria’s ability to meet its financial obligations.
According to reports, Fitch Ratings recently upgraded Nigeria’s economic outlook to positive, citing significant reforms that have restored confidence and macroeconomic stability and enhanced policy coherence and credibility.
Abroad Send Home $282m in 3 months
Legit.ng earlier reported that Nigeria recorded $282.61 million as direct forex remittances in the first quarter of 2024.
The information was obtained from the Central Bank of Nigeria’s (CBN) website on Monday, May 13, 2024.
Forex remittance is the money transferred from Nigerians abroad to family or other individuals.
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Source: Legit.ng
