Tag: BDCs

CBN grants final licences to 82 BDCs

Aminu Imam
CBN on BDCs

The Central Bank of Nigeria, (CBN), has granted final licenses to 82 Bureaux-De-Change (BDCs) to operate, with effect from December 27. A statement issued in Abuja yesterday by the CBN’s acting director, corporate communications department, Mrs. Hakama Sidi-Ali, stated that the exercise was in line with its powers conferred under the Bank and Other Financial Institutions Act (BOFIA) 2020. According to Mrs. Sidi-Ali, it is also in line with the Regulatory and Supervisory Guidelines for BDC Operations in Nigeria 2024. “By this notice, only BDCs listed on the Bank’s website…

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Forex Crisis: CBN revokes operational licenses of 4,173 BDCs

Aminu Imam

The Central Bank of Nigeria, (CBN), has revoked the licenses of 4,173 Bureaux De Change (BDC) operators. According to the apex bank, in an issued statement by the Acting Director, Corporate Communications, Sidi Ali Hakama, the affected institutions failed to observe regulatory provisions. These, according to the bank, include payment of all necessary fees, including licence renewal, within the stipulated period in line with Guidelines; rendition of returns in line with the Guidelines, and compliance with guidelines, directives and circulars of the CBN, particularly Anti-Money Laundering (AML), Countering the Financing…

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CBN withdraws licenses of 2,698 BDCs, as Naira continues free fall

Aminu Imam

The Central Bank of Nigeria (CBN) has released a new list of Bureau de Change (BDC) dealers, with the number of approved operators reduced to 2,991. BDCs in Nigeria are the major influencers of exchange rate. The document, titled: Approved BDCs, revealed that the licenses of 2,698 BDCs have been withdrawn. The CBNs decision to withdraw the licenses of 2,698 BDCs comes as the naira continues to free fall. The naira fell to N795.28 at the Investors and Exporters FX window and was even weaker when it closed at N809…

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Naira slumps to N885 per US$ despite EFCCs raids on BDC hubs

Aminu Imam

Nigeria’s local currency, the Naira, has dropped to a new low of N885 per dollar at the parallel section of the foreign exchange (FX) market, otherwise known as the black market. The figure represents a depreciation of N70, or 8.6%, from the N815 it traded last week. Speaking yesterday, some Bureau-De-Change (BDC) operators said the US dollar demand has been swelling and putting pressure on the naira. They put the buying price of the dollar at N860 and the selling price at N885, leaving a N25 profit margin. A currency…

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Naira strengthens against dollar ahead of CBN FX sales to BDCs

Ishaku Yohanna

The naira has strengthened at the parallel market to N448 against the dollar after the Central Bank of Nigeria (CBN) announced that it would resume dollar sales to bureau de change operators. Before the announcement, the naira had been trading as low as N480 against the dollar. Upon resumption, the apex bank said BDCs must not exchange the naira at more than N386/$ to end-users. The CBN said its decision to resume FX sales to BDCs is to enhance accessibility to forex particularly to travellers since the resumption date for…

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