Launching payments in Nigeria: the stack

By Polynopsis team · Last updated 28 October 2026

Paying out in Nigeria means delivering naira only: a CBN-licensed IMTO sells the incoming foreign currency through an Authorised Dealer Bank or the CBN window and pays beneficiaries to a bank account (required above US$200), a wallet or as cash, with NIP settling bank transfers 24/7. Cross-border payment companies typically pair a licensed IMTO or payout partner such as Flutterwave, Thunes, TerraPay or dLocal with a designated naira settlement account at an Authorised Dealer Bank, BVN, NIN and CAC checks, and stablecoin ramps admitted to the SEC's incubation programme.

Currency	NGN
Local payout rails	NIP (NIBSS Instant Payments), CBN RTGS
Holiday calendar	Nigeria bank holidays 2026 and 2027
Corridor playbooks	USD to NGN, GBP to NGN, CAD to NGN

The Nigeria market

Nigeria received US$22.79 billion in personal remittances in 2025, up from US$22.13 billion in 2024 (World Bank data, last updated 8 October 2026). source
CBN data for 2024 put inflows through licensed IMTOs at US$4.73 billion, about 23% of the US$20.93 billion in personal remittances in the CBN's 2024 balance of payments, a separate series from the World Bank figure above. source
Electronic payments in Nigeria reached about ₦1.07 quadrillion in 2024, up from ₦600 trillion in 2023, and transaction volume rose from 9.7 billion to about 11.2 billion (NIBSS). source
NIP, launched by NIBSS in 2011, runs 24/7 with most transactions settling in under one second, and in 2025 became the first instant payment system in Africa rated mature on the AfricaNenda Inclusivity Spectrum. source
Sending US$200 from the United States to Nigeria cost 2.72% on average in Q3 2025 (average fee US$4.47, exchange rate margin 0.48%). source

Licensing: who can pay out in Nigeria

Under the CBN's Revised Guidelines for International Money Transfer Services (January 2024), IMTOs handle inbound transfers only, need minimum share capital of US$1 million for foreign IMTOs (or the equivalent for indigenous IMTOs), pay a ₦10 million application fee and a ₦10 million annual renewal, and work through an Authorised Dealer Bank as agent. Banks cannot operate IMTO services but can act as agents. source
The CBN's licensed IMTO list runs to 108 operators (read 26 October 2026), including Flutterwave Tech Payments, Interswitch, Paga Remit, Remitly, WorldRemit, Rightcard Payment Services (LemFi), Remitix (Mukuru), MoneyGram and Western Union. source
Domestic payment licences are separate: the CBN's register lists Flutterwave Technology Solutions and Paystack Payment under switching and processing, Cellulant Nigeria, Demerge Nigeria, Fincra Technologies and Bvnk Services as payment solution service providers, and OPay, PalmPay and Pagatech as mobile money operators. source
SEC Nigeria's FinPort register lists Busha Digital Limited and Quidax Technologies Limited as digital assets exchanges among its Accelerated Regulatory Incubation Program (ARIP) participants. source
On 13 August 2026 SEC Nigeria cleared Pisi Payments Solution, BC Access (Nigeria) and Yellow Card Financial for ARIP, giving them an approval-in-principle that the SEC states is not a final licence. source

This page explains the rules in general terms and is not legal or regulatory advice. Check the primary source and take advice on how the rules apply to your firm.

Payout rails in Nigeria

Rail	Operator	What matters for payouts	Source
NIP (NIBSS Instant Payments)	Nigeria Inter-Bank Settlement System (NIBSS)	Account-number based real-time interbank transfers, available 24 hours a day, 365 days a year, with funds usable by the recipient immediately. All commercial banks, microfinance banks and mobile money operators participate.	source
CBN RTGS	Central Bank of Nigeria	Large-value settlement in four sessions with cut-offs at 09:00, 12:00, 15:00 and 18:00, and access for external users on RTGS and S4 until 18:30 since the April 2023 upgrade.	source

The Nigeria payments stack, layer by layer

The providers below are a starting shortlist for each layer, described from their own documentation. Confirm terms, coverage and licences with each provider.

Payout and collection partners

Provider	What it does in Nigeria	Source
Flutterwave · our guide	Transfers API pays out NGN individually or in bulk from a Flutterwave balance to Nigerian bank accounts, and can verify Nigerian bank account details before sending.	source
Thunes · our guide	MoMo PSB wallet holders receive international transfers instantly through Thunes' network from markets including the USA, UK, Canada, France, Australia, Saudi Arabia, Israel and South Africa (November 2025).	source
TerraPay · our guide	Its network page lists Nigeria among its African receive markets.	source
dLocal · our guide	Payouts V3 sends NGN bank transfers for B2C, B2B and P2P flows through Demerge Nigeria Limited, a CBN-licensed Payment Solution Service Provider.	source
Fincra	Payout API sends NGN to Nigerian bank accounts, alongside cross-currency payouts and USDT, USDC and cNGN payouts to crypto wallets.	source
Onafriq	Its integration with the Yuno platform is live in Nigeria and six other markets, covering disbursements, collections, card issuance and FX treasury services.	source
Nairagram	Payout network and API for money transfer operators and payment companies, paying out by bank deposit, mobile wallet and cash pickup across 30+ African countries.	source

Local banking and settlement accounts

Provider	What it does in Nigeria	Source
ProvidusUnity Bank	Banking APIs for fintechs and other institutions: transfers, current and available balances, account statements, real-time transaction notifications and virtual accounts for collections.	source
VFD Microfinance Bank (VBaaS)	Wallets API creates pool or one-to-one sub-accounts and virtual accounts, sends intra-bank and inter-bank transfers with webhook notifications, and returns account transactions for reconciliation.	source
Anchor	Banking-as-a-service APIs for business and virtual accounts, sub-ledger accounts, statements and NIP transfers. Anchor states it became a CBN-licensed microfinance bank in 2025.	source

Stablecoin ramps and exchanges

Provider	What it does in Nigeria	Source
Yellow Card · our guide	Stablecoin payments API that receives and sends NGN by bank transfer, which Yellow Card lists as instant in Nigeria.	source
Busha	Busha Business APIs let businesses embed wallets, stablecoin on and off-ramps and payouts, with access to NGN, KES, GHS and other African currencies.	source
Quidax	Stablecoin and digital asset infrastructure for individuals, businesses and financial institutions moving stablecoins in and out of Africa.	source

FX and liquidity

Provider	What it does in Nigeria	Source
NFEM daily rate (CBN)	The CBN publishes a daily Nigerian Foreign Exchange Market rate, derived at volume weighted average, which stands as the official exchange rate for the day.	source
EFEMS on Bloomberg BMatch	Interbank USD/NGN spot trading runs on the Electronic Foreign Exchange Matching System under CBN guidelines of 25 November 2024, with a US$100,000 minimum trade and US$50,000 increments.	source
CBN window for IMTOs	Since 24 June 2024 eligible IMTOs can sell foreign exchange to the CBN directly or through their Authorised Dealer Banks to obtain naira, priced off prevailing NAFEM rates.	source
Authorised Dealer Banks	Under the CBN's Foreign Exchange Manual (4th edition, May 2026), Authorised Dealers deal spot FX with each other, their customers or the CBN for delivery within T+2, and all interbank spot trades run on a CBN-approved electronic system.	source

KYC and KYB providers

Provider	What it does in Nigeria	Source
Smile ID	Verifies Nigerian identities against issuing-authority records using BVN, NIN (with an enterprise ID from NIMC), virtual NIN, NIN slip, voter's ID or a bank account number.	source
Dojah	Verifies Nigerian companies with the Corporate Affairs Commission by RC number, returning directors, proprietors and shareholders on the advanced lookup.	source
Youverify	Verifies Nigerian BVN, NIN, driver's licence and phone numbers, and runs bank account verification, through its identity API.	source

Bank data and open banking

Provider	What it does in Nigeria	Source
Mono	Connect API returns a linked user's account balance at GET /v2/accounts/{id}/balance, alongside transactions and statements, for Nigerian banks and fintechs.	source

Funding and prefunding NGN payouts

IMTOs are barred from buying foreign exchange in Nigeria's domestic market for settlement, and customer funds meant for remittance must sit in a designated account with the agent Authorised Dealer Bank, separate from the operator's other accounts. source
A CBN circular of 24 March 2026, effective 1 May 2026, requires every IMTO to open designated naira settlement accounts with Authorised Dealer Banks and run all beneficiary payments and settlements through them. The accounts can be credited only with remittance flows and the proceeds of FX conversions with authorised NFEM participants, and IMTOs can hold several such accounts with different banks. source
Trades with the CBN window settle the same day only when executed and confirmed before 12 noon on a trading date, and participants file daily returns on the sources of funds. source
EFEMS trades between 09:00 and 16:00 WAT on business days, and unmatched orders are cleared at the close, so FX conversion follows the Nigerian trading day while NIP payouts continue at weekends. source
IMTOs pay beneficiaries at the prevailing NFEM rate on the day the transfer is received, and since 1 May 2026 must set remittance rates by reference to real-time Bloomberg BMatch prices. source

Size the prefund to your runway target with the corridor runway calculator and the Nigeria holiday calendar.

Launch checklist

Plan: launch volume, the prefund sized to your runway target including weekends and holidays, the contracting entity and the funding route.
Open accounts: shortlist payout partners and a local banking route from the layers above, and prepare the onboarding pack.
Set up: read access to every new balance, a runway target with alerts, and the corridor in your daily reports.
Go live: the first prefund and a test payout, then daily monitoring.

Polynopsis turns this into one plan with named approvals, then shows every Nigeria partner, bank and wallet in one live position. See how a corridor launch works.

Frequently asked questions

Can a Nigerian beneficiary be paid in dollars?

No. Under the CBN's IMTO guidelines, inbound transfers are paid in naira only, at the prevailing NFEM rate on the day the transfer is received.

How much can be paid out as cash?

Under the CBN's 2024 IMTO guidelines, up to the equivalent of US$200, with anything above that paid into a bank account. The CBN's Foreign Exchange Manual (May 2026) states that inbound transfers are disbursed to beneficiaries' bank accounts in naira.

Where does an IMTO get naira for payouts?

By selling foreign currency, through an Authorised Dealer Bank or, since June 2024, the CBN window. IMTOs cannot buy FX locally for settlement, and CBN window trades settle the same day only if confirmed before 12 noon.

Who licenses international money transfer in Nigeria?

The CBN's Trade and Exchange Department. Its list shows 108 licensed IMTOs as of October 2026, and foreign IMTOs need minimum share capital of US$1 million.

Are Nigerian crypto exchanges licensed?

They are admitted through SEC Nigeria's ARIP. Busha and Quidax are listed as digital assets exchanges, and the August 2026 admissions, including Yellow Card Financial, carry an approval-in-principle the SEC says is not a final licence.

When do Nigerian bank rails run?

NIP runs 24/7. CBN RTGS settles in four sessions with cut-offs at 09:00, 12:00, 15:00 and 18:00.

Other markets

Sources

Know where all your money is.

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