The Central Bank of Nigeria (CBN), on Monday, 25 March approved a second tranche of sale of foreign exchange (FX) to eligible Bureau De Change (BDC) operators to meet invisible transactions’ demand. The central bank disclosed that the sum of $10,000 would be sold to each BDC at the rate of N1,251/$1, a N50 reduction compared to the N1,301/$1 allocation in the initial tranche. The latest intervention also indicated that the apex bank halved the $20,000 it allocated to each BDC in February.
CBN conveyed the latest allocation in a letter addressed to the President, Association of Bureau De Change Operators of Nigeria (ABCON), dated March 25, 2024, and signed by CBN director, trade and exchange department, Hassan Mahmud. The bank also directed that the BDC operators sell FX to eligible end-users at a spread of not more than 1.5 percent above the purchase price, compared to one per cent previously. The central bank also warned that any BDC that breached the terms of sale to end-users would be sanctioned appropriately, including outright suspension from further participation in the sale.
