CBN SELLS FOREX TO BDC OPERATORS AT N1450 PER DOLLAR

July 18, 2024July 18, 2024

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At a rate of N1450 per dollar, the Central Bank of Nigeria sold dollars to qualified Bureau de Change operators on Thursday.

This was revealed on Thursday in a statement that was signed by AA Mahdi, the acting director of the CBN’s Trade and Exchange Department.

Days prior, the apex bank sold authorized dealers $123 million.

According to the Association of Bureau De Change Operators of Nigeria, they weren’t included in that particular forex sales tranche.

In an interview, ABCON President Aminu Gwadebe stated that the foreign intervention was only given to banks.

In the latest move, the CBN said it has “approved the sales of FX to eligible Bureau De Change to meet the demand for invisible transactions. The sum of $20,000 is to be sold to each BDC at the rate of N1,450/$ (representing the lower band of the trading rate at NAFEM in the previous trading day).”

Premising the move on the ongoing reforms in the foreign exchange market, the CBN said it “Has observed the continued distortions in the retail end of the market, which is feeding into the Parallel market and further widening the exchange rate premium.”

It warned the BDCs to sell to eligible end-users at a margin not more than 1.5 per cent above the purchase rate from CBN.