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The Central Bank of Nigeria (CBN) has published an updated list of approved Bureau de Change (BDC) operators in the country, revealing a significant reduction in the total number of licensed operators to 2,991.
The document titled ‘Approved BDCs’, obtained by The PUNCH, highlights the withdrawal of licenses from 2,698 BDCs. This marks a substantial decrease compared to the previous year when the CBN approved 5,689 dealers, as indicated in a document titled ‘List of CBN Licensed Bureaux De Change as at December 31, 2021’ with reference: REF: FPR/DIR/PUB/CIR/001/037.
The observation made by The PUNCH shows that the number of BDC operators had grown from 74 in 2005 to 5,689 in 2021.
Under the previous administration led by former CBN Governor Godwin Emefiele, the number of BDCs increased by over 100 percent. However, due to concerns of round-tripping and involvement in illegal financial activities, the ban on foreign exchange sales to BDCs was implemented.
The current administration has recommended key reforms, including raising the capitalization requirements for BDC operators, as suggested in the document titled ‘Policy Advisory Council Report: National Economy Sub-Committee’. The council also proposed allowing Nigerian banks to act as primary dealers in supplying the forex market.
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