The Central Bank of Nigeria (CBN), on Tuesday approved allocation of 20,000 dollars to all eligible Bureau De Change (BDCs) within the country.
According to circular signed by Dr Hassan Mahmud, Director, Trade and Exchange Department, CBN, said the on-going reforms in the foreign exchange market, is aimed at achieving an appropriate market determined exchange rate for the Naira.
The statement further reads: “the Central Bank of Nigeria (CBN) has observed the continued price distortions at the retail end of the market, which is feeding into the parallel market and further widening the exchange rate premium.To this end, the C B has approved the sale of foreign exchange to eligible Bureau De Change (BDCs) to meet the demand for invisible transactions.
“The sum of $20,000 is to be sold to each BDC at the rate of N1,301/S- (representing the lower band rate of executed spot transactions at NAFEM for the previous trading day, as at today, 27th February 2024).
Al B D s are allowed to sell to end-users at a margin NOT MORE THAN one percent (1 %) above the purchase rate from CBN.
“All eligible B D s are directed to make the Naira payment to the designated C B Foreign
Currency Deposit Naira Accounts and submit confirmation of payment, with other necessary
documentations, for disbursement at the appropriate C B Branches – ABUJA, AWKA, LAGOS AND KANO.”
