The Central Bank of Nigeria (CBN) has issued a circular to Bureau De Change (BDC) operators, notifying them of direct sales of US dollars at a discounted rate of N1,021 per dollar.
CBN Circular On Sale Of USD At Discounted Rate.
The apex bank circular, signed by Director, Trade Exchange Department, Dr Hassan Mahmud, directed all eligible BDCs operators to start payment of the naira deposit to the CBN account and submit confirmation of the payment with other necessary documentations for disbursement of the forex at the CBN branches.
The direct sales of forex by the CBN is the second time such sales are carried out this month and the fourth in the current year, showing the CBN’s proactive effort to manage local currency fluctuation and meet foreign exchange demand.
Earlier Sales Of USD By CBN
The CBN, had in February 2024, announced the selling of $20,000 to each BDCS at the rate of N1,301/ dollar but by the second attempt, the bank reduced the allocation by 50 per cent and sold Forex to them at a rate of N1,251 to one dollar. Earlier this month, the apex bank had a sale of $10,000 to each BDC at a rate of N1,101 to one dollar
Directive OF CBN On Sale Of USD To End Users
The CBN also directed BDCs operators to sell to eligible end users at a spread not more than 1.5 per cent above the purchased price.
Why The Direct Sales By CBN
Meanwhile, direct sales of forex to BDCs was designed to meet the forex demand of the retail-end market, especially for invisible transactions such as travel allowances, tuition fees, and medical payments, this policy involves selling a total of $10,000 to each eligible BDC.
The apex bank also urged all BDCs to continue to abide by the forex rules and conditions as stipulated in the operational guidelines.