The Central Bank of Nigeria, CBN, has ordered Deposit Money Banks, DMBs to sell foreign exchange (FX) to customers.

CBN disclosed this in a letter to all banks reminding them to set up teller points at designated branches across the country to fulfil legitimate FX requests by customers.

The regulator, on Tuesday, has announced the discontinuity of forex supplies to the Bureau de Change Operators, BDCs in the country over their continuous abuse of the privilege.

The letter, signed by Haruna Mustafa Director, Banking Supervision Department, stated: “Further to the Monetary Policy Committee (MPC. briefing of July 27, 2021, al Deposit Money Banks (DMBs are hereby reminded to set up teller pots at designated branches across the country to fulfil legitimate FX requests for Personal Travel Allowance (PTA Business Travel Allowance (BTA, tuition fees, medical payments SMEs transactions amongst others.

“In this regard, DMBs are also required to adequately publicize the locations of the designated branches and make necessary arrangements to sell FX to customers
in cash and/or electronically in compliance with extant regulations.

“DMBs are strongly advised to ensure that no customer is turned back or refused FX provided that documentation and all other requirements are satisfied. Equally undue delays, rationing and/or diversion of FX is strongly discouraged whilst DMBs are required to establish electronic application and alert systems to update customers on the status of their FX requests.

“As communicated during the briefing, a toll-free line has been set up at the CBN for bank customers to escalate unresolved complaints related to their FX
requests.

“The CBN will continue to closely monitor banks conduct and compliance with this directive in order to ensure an efficient FX market for all legitimate users.

“Please note that any breach of the directive will be severely sanctioned.”

Benesis:

This is brilliant, this will lead to s stable price of the naira, the BDC will now compete with banks to stay in business and in so doing, the naira will be strengthen.. This policy if implemented will be great, but trust the powers that be to revert it soon

DMBs are strongly advised to ensure that no customer is turned back or refused FX provided that documentation and all other requirements are satisfied

jayjaycee0:
This is a good move.

If I were president, I would never consider selling FX to bureau de change. The forex round-trips go merry-go-round and some lahks at the end of control are milking Nigerians by buying low from CBN and selling high to demanding customers.

With this government can have a full control and regulation of the price of dollars.
Watch dollar exchange rate crash to almost CBN rate now, as bureau de change will be in completion to match what the DMBs are selling.

This is simple economics and I don't even have to open any books to see that.

The CBN will continue to closely monitor banks conduct and compliance with this directive in order to ensure an efficient FX market for all legitimate users.

"Please note that any breach of the directive will be severely sanctioned.”

Torosk1:
Yahoo bois right now

igbsam:
If only they'll monitor and implement this order.