29.6 C
Abuja

CBN bans forex sales to BDCs

Related

1min read

THE Central Bank of Nigeria (CBN) has said it will not sell foreign exchange (FX) to Bureau De Change (BDC) operators in the country.

The CBN Governor Godwin Emefiele, who announced this at the end of the Monetary Policy Committee’s meeting in Abuja on Tuesday, accused the operators of dollarising the economy.

He also accused the operators of aiding money laundering and illegal financial inflows.

“They have turned themselves away from their objectives,” he said.

“They are now agents that facilitate graft and corruption in the country.

“We cannot continue with the bad practices that are happening at the BDC market.”

He said evidence abounded that several international organisations and embassies patronised BDCs through illegal FX dealers to fund their institutions.

- Advertisement -

He said the CBN would channel weekly dollar sales to commercial banks to meet legitimate forex demands of Nigerians.

The bank warned that it would ‘deal ruthlessly’ with banks allowing illegal forex dealers to use their platforms, promising to report defaulting international organisations to their regulators.

“We will deal with them ruthlessly, and we will report the international bodies,” he said.

An economist said the ban would worsen dollar availability in the country, noting that “getting FX from BDCs is easier than banks. So, tightening it by taking it to the banks might help curb fraud, but it would make access difficult. I hope the CBN takes care of that.”

Vincent Ufuoma is a reporter with The ICIR. He is a lover of God, truth, knowledge and justice.

- Advertisement -
- Advertisement -

If you or someone you know has a lead, tip or personal experience about this report, our WhatsApp line is open and confidential for a conversation

Advertisement

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Support the ICIR

We need your support to produce excellent journalism at all times.

Recent

Military insists ISWAP leader Al Barnawi is dead

THE Nigerian Military has insisted that the leader of the Islamic State of West...

Pandora Papers: Inside Governor Dapo Abiodun’s secret businesses, foreign account

By Oladeinde OLAWOYIN  Mr Abiodun, a businessman cum politician, became Ogun governor on May 29,...

Police arrest four suspected abductors of mother, child in Adamawa

ADAMAWA State Police have confirmed the arrest of four men suspected of kidnapping a...

Police to deploy over 34,000 officers for Anambra election

THE Nigerian Police Force said it would deploy more than 34,000 of its officers...

FG announces December 1 as COVID-19 vaccine deadline for government workers

THE Federal Government (FG) has announced December 1 as the deadline for civil servants...
Advertisement

Most Read

Advertisement

Subscribe to our newsletter

Advertisement