The Central Bank of Nigeria (CBN) has once again intervened in the foreign exchange market by selling discounted dollars to licensed Bureau De Change (BDC) operators. This move is part of the CBN’s ongoing efforts to maintain liquidity in the market and stabilize the value of the naira, which has been experiencing a recent decline.
According to a circular obtained by Legit.ng, the CBN has set a special exchange rate for the sale of dollars to BDC operators. Under this arrangement, the CBN will sell $10,000 to BDCs at the rate of N1,021 per dollar. This rate represents a significant discount compared to the official exchange rate, which closed at N1,234.49 per dollar.
In addition to providing discounted dollars to BDCs, the CBN has also imposed strict guidelines to prevent round-tripping and ensure that the allocated funds are used appropriately. The 1,583 beneficiary BDCs are required to sell the dollars to eligible customers at a maximum spread of 1.5% above the purchase price. This means that BDCs are not permitted to sell dollars to Nigerians at a rate exceeding N1,040 per dollar.
The CBN’s intervention comes amidst concerns over the recent depreciation of the naira, which has been attributed to various factors, including the emergence of new cryptocurrency platforms. However, the CBN remains committed to implementing measures to support the stability of the naira and promote economic growth.
Overall, the CBN’s decision to provide discounted dollars to BDCs and set a special exchange rate demonstrates its proactive approach to managing foreign exchange markets and ensuring the stability of the Nigerian economy amid challenging economic conditions.
