The Central Bank of Nigeria (CBN) has introduced new guidelines that permit Bureau de Change (BDC) operators to purchase up to $25,000 weekly from Authorised Dealer Banks (ADBs) to meet the growing demand for eligible retail market transactions.
This move, outlined in a circular issued on February 5, 2025, aims to streamline the forex market, enhance transparency, and combat potential misuse of foreign exchange resources. The circular, signed by W. J. Kanya,
Acting Director of the Trade & Exchange Department, underscores the importance of compliance to ensure a stable and transparent forex market.
The CBN mandates that BDCs must source their allotted foreign exchange from a single authorised dealer per week, helping to curb speculative activity and enforce better oversight.
Any violation of this rule will result in strict sanctions, reinforcing the need for discipline in the forex market.
Additionally, the new guidelines require that all foreign exchange sales to BDCs be conducted at the prevailing rate in the Nigerian Foreign Exchange Market (NFEM) window.
This regulation ensures consistent pricing across the market, providing a fairer environment for both BDCs and consumers.
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