The bootstrapped remittance company, Africhange, has recently obtained an IMTO license for its Nigerian subsidiary. This license permits the subsidiary to handle foreign currency transfers, albeit limited to inbound transactions only. Africhange is set to compete with numerous companies in processing inbound forex transfers into Nigeria, distinguishing itself through competitive rates and expedited services.
The Central Bank of Nigeria has been actively issuing IMTO licenses to facilitate increased foreign currency inflows into the country. This initiative has seen a significant rise in remittance flows, with August alone recording a remarkable $585 million, marking a 130% year-on-year increase.
Nigeria stands as one of Sub-Saharan Africa’s major recipients of remittances, with these transfers contributing significantly to the region’s economic landscape. Africhange, which previously relied on third-party services for remittance processing, will now operate independently following the acquisition of the IMTO license. The startup aims to streamline the transfer process, providing faster and more cost-effective services for its users.
Africhange’s CEO, David Ajala, emphasized that securing the IMTO license enables the company to offer efficient support for individuals sending money back home. Since its establishment in 2020, Africhange has garnered over 200,000 users globally, processing more than 2 million transactions. Operating across 100 countries, including Canada, the UK, Australia, and Nigeria, Africhange offers various currency exchange services for international transfers.