CBN mandates BDCs to access FX window thrice weekly
by ONYINYE NWACHUKWU, ABUJA
May 27, 2018 | 2:56 pm| | | Start Conversation
In a move that would hopefully create more foreign exchange liquidity in the market and uplift the Naira, the Central Bank of Nigeria has mandated all Bureau De Change operators to access forex from its windows at lest three times a week.
Any BDC that fails this directive would face sanctions, and risks losing its operating licence, according to the new order which also targets to clampdown on fx hoarding.
“All BDCs shall henceforth access forex from the CBN on Mondays, Wednesdays and Fridays. It is compulsory that all BDCs access forex at least three times weekly,” the CBN said in a mailed statement at the weekend, insisting that Compliance is Compulsory.
“Any BDC that fails to access the forex window at least three times weekly shall have its licence reviewed by the CBN,” it added.
In the new directive, the CBN also mandated commercial lenders to henceforth, sell forex to travelers across the counter as long as they present valid documents that prove their eligibility.
The directive comes four days after CBN warned banks against refusing to sell the Business Travel Allowance (BTA) and Personal Travel Allowance (PTA) to customers, and also for pilgrimage.
The CBN said its actions were based on reliable information, and had asked intending pilgrims and other customers that faced difficulties from their banks to secure BTA/PTA to report to it with immediate effect.
“All Deposit Money Banks (DMBs) are mandated to buy and sell foreign exchange to travelers (both customers and non-customers) upon presentation of relevant, valid travel documents such as visa and ticket OVER THE COUNTER,” the CBN further noted in the new statement signed by Isaac Okoroafor, its acting Director, Corporate Communications.
“All travelers shall be attended to immediately at the banks’ counters. Any contravention shall be sanctioned by the CBN.”
ONYINYE NWACHUKWU, ABUJA
Big Read |