Bureau de Change operators and Authorised Dealer Banks have been directed to only purchase up to $25,000 FX for their weekly operations.
The approval was given to them in a new guideline released by the Central Bank of Nigeria (CBN).
The apex bank in its guideline explained that this would help the operators and ADBs to meet the demand of the retail market.
WJ Kanya, the acting director of trade and exchange at the apex bank highlighted the requirements for compliance with the directive for transparency and prevention of the misuse of FX.
With the new CBN’s guidelines, the BDCs are to source for forex from a single ADB per week.
This is aimed at preventing activities that could be speculative and in addition ensuring proper oversight functions.
“Authorised dealers must submit weekly reports of their forex sales to BDCs in a specified Excel format to the CBN Trade and Exchange Department via teddmo@cbn.gov.ng. BDCs must render daily returns on forex purchases and sales (utilisation) through the Financial Institutions Forex Reporting System (FIFX).
“These measures will help the CBN track forex flows and prevent illicit activities in the currency market,” the CBN stated.
According to the CBN, the operators are only permitted to disburse forex for a maximum transaction of $5,0000 per quarterly transaction
This include business Travel Allowance (BTA)/Personal Travel Allowance (PTA), Overseas school fees and Overseas medical fees.
