The Central Bank of Nigeria, CBN, has temporarily permitted Bureau de Change, BDC, operators to purchase up to $25,000 weekly in foreign exchange, FX, from the Nigerian Foreign Exchange Market, NFEM.
The apex bank disclosed this in a circular signed by T.G. Aliu on behalf of the acting director of Trade and Exchange Department.
The move is designed to meet seasonal retail demand for FX during the holiday period.
The arrangement will be in effect from December 19, 2024, to January 30, 2025.
CBN explained that under the directive, BDCs may purchase FX from a single authorised dealer of their choice, provided they fully fund their accounts before accessing the market.
It stated that the transactions will occur at the prevailing NFEM rate, and BDCs are required to adhere to a maximum 1 percent spread when pricing FX for retail end-users.
CBN added that transactions conducted under this scheme must be reported to the apex bank.
“In order to meet expected seasonal demand for foreign exchange, the CBN is allowing temporary access for all existing BDCs to the NFEM for the purchase of FX from authorised dealers, subject to a weekly cap of USD 25,000.00 (Twenty-five thousand dollars only).
“This window will be open between December 19, 2024, and January 30, 2025,” the circular reads.
Media Talk Africa reports that the Naira weakened slightly against the dollar in the foreign exchange market on Friday.
