The Central Bank of Nigeria (CBN) has directed all existing Bureau De Change Operators to re-apply for licences.
The apex bank gave the directive in a circular issued by its Director of Financial Policy and Regulation Department, Haruna Mustafa, on Wednesday.
The BDCs were also required to meet the capital requirements for their licence category within six months.
“All existing BDCs and promoters of proposed BDCs are to note the following: Re-apply for a new license according to any of the Tiers or license category of their choice as provided in the Guidelines,” CBN said.
The bank also made some changes to the guidelines of existing BDCs.
One of the changes in the guidelines is the removal of the mandatory caution deposit of N200 million for tier-1 licence holders.
Also, N50 million for tier-2 licence holders was removed by the apex bank.
The CBN also withdrew the non-refundable annual licence renewal fee of N5 million and N1 million for tier-1 and tier-2 BDCs, respectively.
“As part of reforms to re-position the Bureau De Change (BDC) sub-sector to play its envisioned role in the foreign exchange market in Nigeria, the Central Bank of Nigeria (CBN) issued the Draft Operational Guidelines for BDC Operations in Nigeria in February 2024, for stakeholder comments/inputs,” the circular read.
“Following the conclusion of the stakeholder consultations and in exercise of the powers conferred on it by Section 56 of the Banks and Other Financial Institutions Act (BOFIA) 2020, the CBN hereby issues the attached Regulatory and Supervisory Guidelines for Bureau De Change Operations in Nigeria 2024 for compliance by all operators and promoters of proposed BDCs in Nigeria.”
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