CBN boosts forex market with $20K sale to BDC

The Central Bank of Nigeria (CBN) has approved another sale of foreign exchange to qualified Bureau of Currency Exchange (BDC) operators at N1,590 per dollar to meet hidden transaction demand.

The CBN’s Managing Director of Trade and Exchange Department, WJ Kanya disclosed this in a statement titled: “Sale of Foreign Exchange to BDCs to Meet Retail Market Demand for Qualified Invisible Transactions,” on Wednesday night in Abuja.

The apex bank set the amount of dollars to be sold to each BDC at $20,000 at an exchange rate of N1,590/$ for each dollar.

The circular reads: “We hereby inform Bureau of Exchange (BDC) Operators and the general public that the CBN will be providing additional liquidity in this segment of the foreign exchange market.

“To this end, the CBN has approved the sale of US$20,000.00 to each eligible BDC at an exchange rate of N1,590/$. This is to meet the demand for hidden transactions.

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“All BDCs are permitted to sell to qualified end users at a margin of NO MORE THAN one percent (1%) above the purchase price from the CBN

“Eligible BDCs interested in this transaction are directed to make Naira payments to the CBN Deposit Account Number using the said account.”

The apex bank also said confirmation of payment and documentation required for disbursement should be submitted at its branches in Abuja, Awka, Kano and Lagos.

By: Babajide Okeowo

CBN boosts forex market with $20K sale to BDC first appeared on Latest Nigeria News | Top Stories from Ripples Nigeria.