About 1368 eligible Bureau De Change (BDC) Operators in Abuja, Awka, Kano and Lagos are set to benefit from the 20,000 dollars weekly FX intervention by the CBN to halt the free fall of the naira against the dollar.
The apex bank in a circular released on Tuesday said that the intervention became expedient following the ongoing reforms at the FX market aimed at achieving appropriate market determined exchange rate for the naira.
According to the circular, the CBN has observed the continued price distortions at the foreign exchange market, which is feeding into the parallel market and further widening the exchange rate premium.
“To this end, the CBN has approved the sale of foreign exchange to eligible Bureau De Change Operators to meet the demand of invisible transactions.
“The sum of 20 000 dollars is to be sold to BDCs at the rate of N1301 to a dollar.(representing the lower band rate of executable spot transaction at NAFEM for the previous trading day as at 27 Feb., 2024.
“All BDCa are allowed to sell to retail end users at a margin not more than 1 per cent above the purchase rate from CBN.
The circular directs all eligible BDCs to make the Naira payment to the designated CBN Foreign Currency Deposit Naira Accounts and submit confirmation of payments with other necessary documentations for disbursement at the appropriate CBN branches at Abuja, Kano, Lagos, Awka.
The circular was signed by Dr Hassan Mahmud, Director, trade and exchange department, CBN.
