The Central Bank of Nigeria (CBN) has granted final licenses to 82 Bureaux De Change (BDCs), authorizing them to commence full operations effective November 27.
The development was announced in a statement issued in Abuja on Monday by the CBN’s Acting Director of Corporate Communications, Mrs. Hakama Sidi-Ali.
She stated that the licensing exercise was conducted in strict compliance with the powers conferred on the apex bank by the Bank and Other Financial Institutions Act (BOFIA) 2020.
Sidi-Ali explained that the move also serves as an enforcement of the Regulatory and Supervisory Guidelines for BDC Operations in Nigeria 2024.
She also emphasized that only BDCs expressly listed on the CBN’s official website are authorized to operate as of the effective date.
She assured the public that the bank would continue to update the online registry of validly licensed operators to facilitate public verification.
The CBN spokesperson issued a stern warning regarding the legal implications of unauthorized operations.
According to her, operating a BDC business without a valid license constitutes a punishable offense under Section 57(1) of BOFIA 2020.
She advised the general public to avoid dealings with unlicensed foreign exchange operators and to be guided by the official list to ensure the safety of their transactions.
This fresh licensing round comes against the backdrop of a significant sanitation of the foreign exchange sector earlier in the year.
It would be recalled that the sector, which at one point boasted about 5,690 operators, witnessed a drastic reduction on March 1, 2024, when the CBN revoked the licenses of 4,173 BDC operators due to regulatory non-compliance.
Following that revocation, the number of recognized operators had dropped to approximately 1,517 prior to this latest approval.