The Central Bank of Nigeria (CBN) has approved an additional sale of $20,000 to each eligible Bureau de Change (BDC) operator. This sale will be conducted at a rate of N1,590 per US dollar, according to a circular issued on September 25, 2024, and signed by Dr. W.J. Kanya, Acting Director of the CBN’s Trade & Exchange Department.
Key Highlights:
- The new sale price of N1,590/$ is N10 higher than the previous sale earlier this month.
- BDC operators can sell foreign exchange to eligible end-users with a profit margin not exceeding 1% above the CBN’s purchase rate.
- The CBN aims to provide increased liquidity to the foreign exchange market, particularly for invisible transactions, which include payments for services such as education, medical expenses abroad, or personal travel.
Conditions for Participation:
Eligible BDCs are required to:
- Make the necessary naira payment to their respective CBN deposit accounts.
- Submit payment confirmation and all relevant documents at designated CBN branches in Abuja, Awka, Kano, and Lagos to collect the $20,000.
Market Impact:
This move is the second sale by the CBN to BDCs in September 2024, and the seventh sale this year. With 1,583 approved BDC operators, the CBN’s total cost for this month’s two sales could be $63.32 million. This initiative is expected to help stabilize the foreign exchange market and meet growing demands for invisible transactions.
