BREAKING: CBN Begins Forex Sales To BDCs At N1,251/$1

CBN begins forex sales to BDCs at the exchange rate of N1,269/$1, maintaining a 1.5% spread above buying price as per CBN directive.

The Central Bank of Nigeria (CBN) issued a circular to Bureau de Change operators (BDCs), indicating that they have provided each BDC with $10,000 at an exchange rate of N1,251 per US dollar.

In the circular, each Bureau de Change is instructed to offer dollars to qualified customers at a rate that does not surpass 1.5% above the buying price.

This indicates that Bureau de Change are advised not to sell above N1,269 for each $1.

“We refer to our letter to you referenced TED/DIR/CON/GOM/001/071 in respect of the above subject wherein the CB approved a second tranche of sale of FX to eligible BDCs.

“We write to inform you of the sale of $10,000 to each BDC at the rate of N1,251/$1. The BDCs are to sell to eligible end users at a spread of NOT MORE THAN 1.5 per cent above the purchase price.”

This announcement marks the resumption of dollar sales to BDC operators after a prolonged ban imposed by the central bank in 2021.

The ban was lifted earlier this year following the revocation of licenses of over 4,173 BDC operators in February.