The Central Bank of Nigeria has unveiled a plan to provide $20,000 in foreign exchange to eligible Bureau De Change operators, marking a reversal from the suspension imposed over two years ago.
This move, outlined in a circular, aims to address distortions in the retail segment of Nigeria’s foreign exchange market and narrow the exchange rate gap.
The allocated funds will be sold at a rate of N1,301/$, reflecting the lower band rate of previous spot transactions. The directive also specifies that BDCs can sell to end-users with a margin not exceeding one percent above the CBN’s purchase rate.
The CBN has been implementing various measures to stabilize the Naira, including addressing FX backlog, restricting forex for specific purposes, and increasing BDCs’ minimum share capital.
