File photo of Nigerian central bank governor Godwin Emefiele in Abuja, Nigeria

Forex: CBN Bans Sales to Bureau De Change Operators

The Central Bank of Nigeria (CBN) has banned the sale of forex to Bureau De Change operators (BDCs).

Godwin Emiefele, governor of the bank, announced the ban at a press briefing which held after a meeting of the Monetary Policy Committee of the bank, on Tuesday.

He said the N5. 7 billion allocated to BDCs had become unsustainable as
$20,000 is allocated to over 5500 BDCs, amounting to $110million per week.

Emiefele said BDC operators have become a conduit for illegal financial flows.

“They have turned themselves away from their objectives. They are now agents that facilitate graft and corruption in the country.”

“We cannot continue with the bad practices that are happening at the BDC market,” he said.

He also said the CBN will no longer continue registration of new BDCs and current allocation will be channeled to commercial banks.

All commercial bank branches will create a separate desk for sales of forex.

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