Central Bank to Sell $25,000 to Bureaux De Change Weekly.

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The Central Bank of Nigeria (CBN) has introduced new guidelines to regulate the retail foreign exchange market and enhance transparency. According to a circular issued by the Trade and Exchange Department, Bureau de Change (BDC) operators are now restricted to purchasing a maximum of $25,000 per week from a single authorised dealer bank.

The directive, which takes effect immediately, requires BDCs to select one authorised dealer bank per week to source their allocated forex, preventing them from obtaining funds from multiple banks. As stated in the circular, “Authorised dealers shall sell foreign exchange cash to BDCs subject to a maximum of USD25,000.00 to a BDC per week.”

“A BDC shall approach its preferred authorised dealer bank and can only procure the said amount from only that bank of its choice in a week. Any breach of this condition will attract appropriate sanction.”

“The selling rate by the authorised dealers to BDCs shall be the prevailing day rate at the NFEM window.”

The CBN has also mandated that forex must be sold at the prevailing rate in the Nigerian Foreign Exchange Market window to ensure consistency in pricing. To curb excessive pricing, the bank has imposed a one percent cap on the margin BDCs can charge end-users above their purchase rate.

In addition, the guidelines introduce strict reporting requirements for both BDCs and authorised dealer banks. Banks must submit weekly reports on forex sales to BDCs, while BDCs must render daily returns on forex purchases and sales.

The CBN has also restricted the use of BDC-purchased forex to specific transactions, including business and personal travel allowances, overseas school fees, and overseas medical fees, with a quarterly disbursement cap of $5,000 per end-user.

To strengthen anti-money laundering measures, the CBN has directed BDCs to maintain proper records of all transactions, including the bank verification number of end-users and an endorsement of the amount disbursed in the beneficiary’s international passport.

The bank warned that any authorised dealer bank or BDC that diverts funds or violates the guidelines will face severe sanctions, including suspending their dealership licence. This move is part of the CBN’s broader strategy to stabilise the naira, prevent forex speculation, and improve liquidity in the foreign exchange market.

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