The Central Bank of Nigeria (CBN) said it has sold a total of $10, 000 to 1, 588 Bureau De Change (BDC) operators to meet retail market demand for eligible invisible transactions.
The statement further specified that the sale of $10,000 was executed at the rate of N110 per US dollar. Additionally, the BDCs are instructed to vend to eligible customers with a margin not exceeding 1.5 percent above the buying rate.
The statement read, “We write to inform you of the sale of $10,000 by the CBN to BDCs at the rate of 1101/$. The BDCs are, in turn, to sell to eligible end users at a spread not more than 1.5 per cent of the purchase price.”
The designated eligible BDCs have been instructed to initiate the payment of naira deposits into four CBN accounts, effective from April 8, 2024.
Additionally, they are required to furnish proof of payment and other pertinent documents at the respective CBN branches for disbursement.
This directive follows the sale of $10,000 to BDCs at a rate of N1,251 per US dollar in March. The CBN mandated the BDCs to vend to eligible customers at a rate not exceeding 1.5 percent above the purchase price, set at N1,269 per US dollar.
The Association of Bureau De Change Operators of Nigeria (ABCON) had previously urged the CBN to adjust and lower its applicable exchange rate below the N1,251 per US dollar benchmark set for its members.
ABCON’s National President, Aminu Gwadabe, conveyed this request in a letter addressed to the CBN Director, Trade and Exchange Department.
It’s noteworthy that the prevailing parallel market rate of 1,235 per US dollar is lower than the BDCs’ applicable buying exchange rate of 1,251 per US dollar (plus a 1.5 percent margin) established by the CBN in its latest series of interventions.