CBN removes $250,000 ceiling on forex sales to BDCs

By The Rainbow


The Central Bank of Nigeria has removed the $250,000 ceiling placed on the foreign exchange sales to Bureaux de change (BDCs) in a move to shore up liquidity in that segment of the market.

CBN however directed that authorized dealers and BDC operators are to continue to render weekly returns on their transactions to it and other relevant authorities, failing, which will attract sanctions, including, revocation of operating licenses

Part of the circular released today said, 'Consequently, the limit of $250,000.00 as the minimum monthly forex sales to BDC is hereby removed in order to shore up liquidity in that segment of the foreign exchange market.

Authorised dealers are therefore free to sell forex to BDC subject to compliance with the provisions of the extant AML/FT laws and regulations in the disbursement of the forex.

Furthermore. All transactions between Authorized Dealers and BDCs as well as the latter and end-users must be supported with appropriate documentation.'