The Central Bank of Nigeria (CBN) has approved the participation of licensed Bureau De Change (BDC) operators in the Nigerian Foreign Exchange Market (NFEM), allowing each operator to purchase up to $150,000 weekly. The directive, dated February 10, 2026, was announced in a circular signed by the Director of the Trade and Exchange Department, Dr Musa Nakorji, and addressed to authorised dealer banks and the general public. The move signals a renewed effort by the apex bank to strengthen liquidity in the retail forex segment and improve access to foreign exchange for Nigerians.
The policy shift comes at a critical time, as the gap between the official and parallel market rates recently widened by over N90 for the first time in three years. By allowing BDCs to source foreign exchange directly from the official market, the CBN hopes to reduce pressure in the parallel market and support greater exchange rate stability. Market watchers say the decision could help restore confidence and ease volatility in the forex ecosystem.
In the circular, the CBN stated that all duly licensed BDCs are permitted to access foreign exchange through any authorised dealer at the prevailing rate. However, the bank emphasised strict compliance measures. Authorised dealers are required to conduct comprehensive Know-Your-Customer (KYC) checks and due diligence procedures in line with regulatory standards and internal risk management frameworks before executing any transaction.
To prevent speculation and hoarding, the apex bank imposed tight operational controls. BDCs must not retain unutilised foreign exchange purchased from the market, with any unused balances required to be sold back within 24 hours. Additionally, all transactions must be settled through licensed financial institutions, third-party transactions are strictly prohibited, and cash settlements are capped at 25 per cent of each transaction amount. The CBN also mandated the timely and accurate electronic submission of transaction returns.
The development follows months of concerns raised by BDC operators over limited access to dollars after the earlier suspension of direct sales. The Association of Bureau De Change Operators of Nigeria had previously highlighted the operational strain on members who were forced to rely solely on walk-in customers for dollar supply. With this new $150,000 weekly access window—significantly higher than the earlier $25,000 weekly cap per authorised dealer—the CBN appears to be balancing broader market access with tighter regulatory oversight as it works to deepen and stabilise Nigeria’s foreign exchange market.
source: punch