ABUJA BDC OPERATORS SHUTDOWN OPERATIONS OVER DOLLAR SCARCITY

February 1, 2024February 1, 2024

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According to reports, Bureau De Change operators in Abuja have announced that they will be closing due to a lack of dollars.

Abdulahi Dauran, the association’s chairman, made this announcement on Wednesday.

Meanwhile, on Tuesday, the naira closed at an all-time low of N1,482 per US dollar on the official window, while it held steady at N1,450/$ on the parallel market.

Dauran blamed cryptocurrencies and internet commerce for the closure.

He said the closure of business would take effect on Thursday, February 1, 2024.

This event, however, coincides with new efforts by the Central Bank of Nigeria to stabilize the fluctuating exchange rate in the country.

Deposit Money Banks were given an order by the apex bank on Wednesday to sell their excess dollar stock by February 1, 2024.

Furthermore, lenders were also cautioned by the CBN not to stockpile surplus foreign currency for financial advantage.

Officials from the bank assert that they believe certain commercial banks maintain long-term foreign exchange positions in order to take advantage of the unpredictable fluctuations in exchange prices.

A new set of recommendations intended to lower the dangers connected to these practices was also created by the new regulation.