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Direct Oil Companies, Banks To Sell Forex To Us, BDC Operators Urge CBN

Bureau de Change (BDC) Operators have urged the Central Bank of Nigeria (CBN) to instruct oil companies and banks to sell foreign exchange (Forex) to them for the continuity of their business.

The President, Association of Bureau de Change Operators of Nigeria (ABCON), Alhaji Aminu Gwadabe, said this in an interview with the News Agency of Nigeria (NAN) on Monday in Abuja.

NAN reports that the operators are making the appeal after CBN stopped the sale of Forex to BDC and directed them to seek it from autonomous sources. Afterwards, the 2,839 BDC operators in the country demanded the return of their N35 million deposit from CBN, which amounted to about N99.4 billion.

CBN later agreed to the refund, but retained one million naira each as licensing fee. Gwadabe said that there was need for CBN to clearly state who these autonomous sources were so that they would feel free to do business with BDC operators.

“The autonomous sources we can easily buy forex from are banks, oil companies and exporters among others. This is because they have foreign income streams that do not go directly to CBN. “It is their personal earnings and CBN cannot lay claim to it.

“It is important that CBN makes this clarification because as an operator, I know where it’s paining me. “You see as at last year, banks, oil companies won’t sell forex to us and even now they are still not inclined to do so and its a problem.

“But if they know that such transaction is sanctioned by CBN, they will be more open to the idea of selling forex to us. “So what we are asking is that CBN issues a directive to them.

This will ensure a steady supply of dollar in the market and at the end, the stability of the naira.” Gwadabe said ABCON recognised the continued support of the CBN to the BDC segment by agreeing to review downward the N35 million licensing fee.
He said its members had begun the submission of their account details to the Financial Policy and Regulation Department of the CBN for immediate transfer of the monies.
NAN reports that Naira is now changing at N302 to a dollar and N417 to a pound sterling at the parallel market. (NAN)

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