The Central Bank of Nigeria (CBN) has approved access for licensed bureau de change (BDC) operators to purchase foreign exchange directly from the Nigerian Foreign Exchange Market (NFEM) through authorised dealer banks.
The decision was disclosed in a circular issued Tuesday and signed by Musa Narkoji, director of the CBN’s trade and exchange department. The notice was addressed to authorised dealer banks and the general public.
Under the new directive, all BDCs licensed by the apex bank are permitted to buy foreign exchange from the NFEM at the prevailing market rate through any authorised dealer bank of their choice.
The CBN said the move is designed to deepen liquidity in the retail foreign exchange segment and ensure that legitimate end-user demand is adequately met.
“Authorised Dealers are required to complete the necessary KYC and due diligence for their BDC clients in line with applicable regulations and the internal risk management framework,” the CBN stated.
“Upon completion of these requirements, foreign exchange may be sold to BDCs for utilisation in line with the existing BDC Guidelines, subject to a maximum of USD150,000 per week for each BDC.
“All licensed BDCs shall ensure the timely and accurate submission of returns to the Central Bank electronically, and in accordance with extant regulations.
“Any unutilised balances are expected to be sold back to the market within 24 hours (BDCs are not permitted to keep funds purchased from NFEM in their positions).”
In addition, the apex bank directed that all foreign exchange transactions between BDCs, authorised dealers, and end users must be settled through accounts held with licensed financial institutions. Third-party transactions are prohibited under the arrangement.
The regulator also capped cash settlement at no more than 25 percent of each transaction amount and stressed that all operations must comply with existing BDC guidelines.
The development builds on earlier temporary measures introduced in December 2024, when the CBN granted BDC operators access to purchase up to $25,000 weekly from the official window between December 19, 2024, and January 30, 2025. The timeframe was subsequently extended in February 2025 for eligible operators.
The latest move significantly increases the weekly purchase limit, signalling the CBN’s renewed effort to stabilise the retail foreign exchange market while maintaining regulatory oversight.
