The Bureau De Change (BDC) operators have declared operational war against foreign exchange speculators and black market dealers distorting the naira exchange rate against the dollar and other global currencies.
This follows the illegal activities of speculators and black market operators which the BDCs say poses a threat to exchange rate stability.
This disclosure was made by the President of the Association of Bureau De Change Operators in Nigeria (ABCON), Aminu Gwadebe while speaking on the theme, ‘ABCON Sensitisation Against Volatility in the Exchange Rate,’ at a virtual meeting with members of the association across all the six geo-political zones in Nigeria.
Gwadabe said the BDCs will not allow forex speculators and street hawkers to take over BDC business in Nigeria through their illegal practices.
The ABCON boss, at the event which held simultaneously in Lagos, Abuja, Kano, Onitsha, Benin, among others, and attended by over 5,000 BDCs, said licensed BDCs will continue to defend the naira through regulatory compliance and constantly supporting the CBN to achieve stable exchange rate and attract forex into the economy.
Gwadebe said the sensitization programme will upscale BDCs’ compliance with the Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT).
He said, “ Please, now is the time to support the CBN to achieve a stable exchange rate. Do not allow forex speculators, street hawkers to take over our business. Constantly comply with CBN’s regulations on the rendition of returns and corporate governance practices because aside helping in stabilizing the naira, the CBN examiners can visit your offices and defaulting members will be sanctioned.”
According to him, members can be spot-checked by the CBN examiners at any time and should therefore put in necessary measures to align with the regulatory policies.
“Be vigilant in your operations because you can be spot-checked by the CBN examiners at any time. All BDCs should appoint Compliance Officers and Data Protection Officers as directed by the CBN which is also in-line with the global best practices. Also, avoid sending your returns late, selling dollar above CBN approved rate,” he advised.
Gwadabe said that by following set rules, the operators will set a good example in their operational modalities and make forex buyers lose confidence in black market dealers.
He said every BDC operator needs full knowledge and understanding of how to raise and submit both the Suspicious Transaction Reports (STRs) and Currency Transaction Reports (CTRs) to regulators, understand the obligation of registering and filing reports on the NFIU goAML -Anti-Money Laundering portal and proper documentation of all forex sales.
He also said all BDCs should file their reports as and at when due on weekly basis to Nigerian Financial Intelligence Unit, and CBN and also Economic and Financial Crimes Commission as well as Know Your Customer (KYC) and due diligence reports.