Abstract:

Developing countries due to their poor GDP per capita and general level of poverty, depend on remittances to better the lots of individuals with remittance seen as an approached to poverty reduction. Nigeria as a developing nation is the highest recipient of remittance in Sub-Saharan Africa, yet the rate of poverty is still alarming. This study, examines the effect of international remittance inflow on economic growth in Nigeria, using time series data from 1990-2021. The apriori expectation is that there should be a positive relationship between remittance inflow and poverty reduction in Nigeria. A model constituting poverty rate as the dependent variable and international remittance inflow, trade openness, index of financial development and foreign exchange rate as the independent variables was built to test the study hypothesis, with recommendations made based on the findings.