The Central Bank of Nigeria (CBN) has approved new guidelines to regulate the activities of Bureau de Change (BDC) operators in the country.
In a circular released by the apex bank to BDCs, the minimum capital base for Tier-1 BDCs is N2bn while that of Tier-1 is set at N500m. Also, the mandatory caution deposit of N200m for tier-1 BDC licence holders was removed while the N50m for tier-2 licence holders was waived.
CBN’s Director of Financial Policy and Regulation, Haruna Mustafa, said the approved guidelines take effect from June 3, 2024.
The apex bank directed existing BDCs to reapply for new licenses and meet the minimum capital requirements for the license category applied for within six months from June 3, 2024.
The CBN banned BDC operators from street trading, international outward transfers, financing of political activities, dealing in gold or other precious metals, dealing in crypto assets or any other virtual assets, amongst others.
The CBN also insisted that BDCs must channel their transactions through digital means once it is above 500 dollars
