The Association of Bureaux De Change Operators of Nigeria (ABCON), has recently urged the CBN to reconsider the ban on forex to allow BDC operators receive diaspora remittances in 2022.

This was disclosed in a statement signed by ABCON President, Alhaji (Dr) Aminu Gwadabe.

In his statement, Gwadabe said that, just as the CBN de-risked the agricultural sector, making it easier for farmers to get single-digit loans from banks, the CBN could also apply the same method for the BDCs operations, which will allow them to receive diaspora remittances through International Money Supply Operators (IMTOs) and deepen foreign capital flows to the Nigerian economy.

Gwadabe added that, ABCON recognizes the challenges faced by the CBN in maintaining weekly dollar supply to BDCs due to falling foreign reserves, declining oil output, and oil theft, Covid-19-induced economic hardships, fiscal policy concerns, debt burden, and election spending.

“We support any measures that would lead to compliance with the Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT), supporting CBN’s exchange rate stability policies and security agencies to punish any BDC operator breaching corporate governance and compliance guidelines.

“It is our sincere belief that the BDCs need to be integrated back officially to ensure their continuous potent role in exchange rate stability management. The recognition of the role of BDCs in Nigeria’s financial sector remains the first step to building a sustainable and viable forex market that is comparable to what is obtainable in other developed economies. But getting the Nigerian BDC sector to where it is desired to be demands hard work, quality leadership, regulatory foresight and sound government policies”.

He further stated that ABCON is now training Compliance Officers to ensure that they are aware of what is expected of them, particularly in terms of monthly rendition of results and tracking illicit financial flows.

cc: Nairametrics