JUST-IN: CBN Begins Forex Sales To BDCs At N1,251/$1

The Central Bank of Nigeria (CBN) has issued a circular addressed to Bureau De Change operators (BDCs), revealing that each BDC has been allocated $10,000 at a rate of N1,251/$1.

According to the circular, which was released on Monday, the BDCs were mandated to sell the allocated dollars to eligible customers at a rate not exceeding 1.5 per cent above the purchase price, indicating that BDCs are expected to sell at a maximum of N1,269/$1.

The central bank, however, didn’t state how many BDCs will get the Forex allocation.

The circular states, “We refer to our letter to you referenced TED/DIR/CON/GOM/001/071 in respect of the above subject wherein the CB approved a second tranche of sale of FX to eligible BDCs.

“We write to inform you of the sale of $10,000 to each BDC at the rate of N1,251/$1. The BDCs are to sell to eligible end users at a spread of NOT MORE THAN 1.5 per cent above the purchase price.”

This announcement marks the resumption of dollar sales to BDC operators after a prolonged ban imposed by the central bank in 2021.

The ban was lifted earlier this year following the revocation of licenses of over 4,173 BDC operators in February.