The Central Bank of Nigeria (CBN) has issued operational guidelines for bureau de change (BDC) operators purchasing foreign exchange (FX) from authorised dealer banks, introducing stricter compliance requirements and an electronic transaction portal.
In a circular dated July 15 and signed by Aderinola
Shonekan, director of the trade and exchange department, the apex bank said the
framework takes immediate effect.
The CBN said the guidelines provide the operational
modalities for the implementation of its February 10, 2026, circular, which
granted BDCs access to the official FX market through authorised dealer banks.
“The Guidance announces the implementation of the electronic
portal to facilitate the interaction between BDCs and the NFEM and outlines,
among others, the eligibility requirements for participating BDCs, purchase
request procedures, confirmation and settlement processes, reporting
obligations, weekly purchase limits, treatment of unutilized balances, and
compliance responsibilities of Authorised Dealer Banks and BDC operators,” the
circular reads.
“The framework is intended to enhance transparency,
efficiency, market liquidity, and orderly participation in the retail segment
of the NFEM.”
The apex bank warned that violations of the circular or the
accompanying guidelines would attract regulatory sanctions.
‘ONLY LICENSED BDCs CAN ACCESS OFFICIAL FX MARKET’
According to the guidelines, only BDCs with valid and
subsisting licences issued by the CBN will be eligible to purchase FX under the
framework.
The bank said operators under regulatory sanctions, those
with suspended licences or those whose operations have been restricted would
remain ineligible until such sanctions are lifted.
The CBN also directed authorised dealer banks to complete
full know-your-customer (KYC) and customer due diligence (CDD) checks before
executing any FX transaction with a BDC.
According to the guidelines, banks are required to obtain
and retain each BDC’s licence certificate, tax identification number (TIN),
Corporate Affairs Commission (CAC) incorporation documents, beneficial
ownership information and contact details of principal officers.
They are also expected to conduct enhanced due diligence on
higher-risk operators and update KYC records at least once a year or whenever
there is a material change in ownership or management.
“No foreign exchange shall be disbursed to any BDC that has
not satisfied the Bank’s KYC and due diligence requirements,” the CBN said.
FX PURCHASE TRACKER
The apex bank said all licensed BDCs will be registered on a
centralised electronic portal known as the FX BDC Purchase Tracker (FXBT).
The regulator said operators will submit purchase requests
electronically to any authorised dealer bank of their choice through the
platform.
The CBN prohibited banks from imposing exclusivity
arrangements, referral fees or any conditions that limit a BDC’s freedom to
choose its preferred counterparty.
“A BDC wishing to purchase foreign exchange shall submit a
Purchase Request electronically via the Bank’s designated portal (FX Purchase
Tracker Portal) to the chosen Authorized Dealer Bank, ensuring all mandatory
fields are adequately completed,” the regulator said.
“BDCs are allowed to make multiple requests weekly, subject
to any maximum permissible caps that may be prescribed by the CBN.”
‘BANKS MUST RESPOND WITHIN TWO HOURS, NO THIRD PARTY TRANSACTIONS’
The CBN directed authorised dealer banks to acknowledge
every purchase request within two business hours.
“Where a request is approved, the BDC will receive
confirmation through the portal,” the document reads.
“Where a request is rejected, the bank must provide specific
reasons, including incomplete KYC documentation, exhaustion of the weekly
purchase limit, unresolved compliance issues or internal risk concerns.”
The guidelines also prohibited third-party transactions and
retained the existing weekly purchase cap of $150,000 per BDC across all
authorised dealer banks.
The CBN said FX purchased under the framework must be
credited only to the BDC’s registered settlement account maintained with a
licensed financial institution.
The institution warned that disbursement into any other
account would constitute a regulatory violation and must be reported
immediately.
UNUSED DOLLARS MUST BE RETURNED WITHIN 24 HOURS
The apex bank said BDCs will no longer be allowed to retain
unutilised FX purchased from the NFEM, noting that any unused balance must be
sold back into the market within 24 hours after the expiry of the utilisation
period.
The CBN warned that failure to comply could result in
forfeiture of the unused funds, suspension of access to the NFEM and other
regulatory sanctions.
The apex bank also directed BDCs to disclose any unutilised
balances from the previous week when submitting new purchase requests, with
banks expected to factor such balances into weekly purchase limit calculations.
MONETARY FINES, SUSPENSION FOR VIOLATIONS
The regulator further said licensed BDCs must continue to
file electronic returns detailing weekly FX purchases, sales to end users,
settlement methods, and unutilised balances.
The CBN cautioned that any breach of the guidelines or the
earlier circular would attract sanctions under the Banks and Other Financial
Institutions Act (BOFIA) 2020 and the Foreign Exchange Act.
According to the guidelines, the sanctions include monetary
fines, suspension of access to the NFEM, withdrawal of BDC licences, revocation
of authorised dealer status for banks found complicit in violations, and
referral to law enforcement agencies where criminal conduct is suspected.
The CBN said its trade and exchange department would lead
compliance monitoring, adding that on-site and off-site examinations could be
conducted without prior notice in collaboration with other supervisory
departments.
While BDCs may continue existing relationships with
authorised dealer banks, the apex bank said all transactions conducted under
the framework must comply with the new operational guidelines with immediate
effect.
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