The Central Bank of Nigeria (CBN) has announced the sale of dollars to Bureau De Change (BDC) operators at a rate of N1,101 per dollar. This decision, revealed in a circular posted on the CBN website, marks a shift from previous rates.
Under this directive, each BDC is eligible to purchase $10,000 from the CBN and is instructed to sell at a spread not exceeding 1.5% above the CBN rate. This initiative follows previous sales in March, where BDCs were allotted $10,000 at N1,251/$.
The CBN’s decision to lower the exchange rate comes after an appeal from the Association of Bureau De Change Operators of Nigeria (ABCON) to adjust the rate below N1,251/$. In response, ABCON’s National President, Aminu Gwadabe, urged the CBN to reconsider its rate in light of prevailing market conditions.
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With the parallel market rate at 1,235/$, lower than the CBN’s prescribed rate for BDCs, the move aims to align exchange rates more closely with market dynamics.
Eligible BDCs are directed to initiate naira deposits into designated CBN accounts starting April 8, 2024, and to provide proof of payment and necessary documentation for disbursement.
As the CBN continues its efforts to stabilize the naira, recent data indicates a significant decline in Nigeria’s foreign exchange reserves, highlighting the need for proactive measures to manage currency fluctuations.
Stay tuned for further updates on this developing story.
