THE Central Bank of Nigeria (CBN) has revoked the licenses of 4,173 Bureaux De Change Operators for not complying with regulatory requirements, as announced by the bank’s Acting Director, Corporate Communications, Sidi Ali Hakama.
This action is part of the CBN’s efforts to rebuild trust in the country’s foreign exchange market.
The list of affected BDC operators is available on the CBN’s website, and the apex bank is updating the regulatory guidelines for Bureau de Change operations in Nigeria.
Compliance with the new rules will be obligatory for all stakeholders in the sector.
The CBN cited its authority under the Bank and Other Financial Institutions Act (BOFIA) 2020, Act No. 5, and the Revised Operational Guidelines for Bureaux De Change 2015 for taking this step, which includes adhering to payment deadlines, submitting required reports, and following CBN directives, especially related to anti-money laundering and counter-terrorism financing regulations.
Nigeria is currently facing challenges such as inflation, food inflation, a forex crisis, economic difficulties, and a high cost of living due to the removal of petrol subsidies, leading to protests in some areas.
The Nigerian naira has significantly depreciated over the past nine months since the closure of the foreign exchange window by the President Bola Tinubu administration, dropping from around N700/$1 last May to over N1500/$1 presently.
The government has shifted its focus towards cryptocurrency platforms, cracking down on them through telecommunication firms.
The Governor of the Central Bank of Nigeria, Olayemi Cardoso, expressed concerns about illicit flows through crypto exchanges, with a particular mention of Binance.
The CBN is cooperating with anti-corruption agencies, the police, and the Office of the National Security Adviser to investigate cryptocurrency exchanges for suspicious activities.
Presidential spokesperson Bayo Onanuga also warned against using the black market for foreign exchange rates, emphasizing that the CBN’s website is the only legal platform.
He criticized cryptocurrency trading website Binance for allegedly manipulating the exchange rate and potentially harming the Nigerian economy.
Onanuga urged Nigerians to rely on the CBN’s exchange rate and predicted that stabilizing the exchange rate would lead to normalized prices for goods in the country.
