Members of the Association of Bureau De Change Operators of Nigeria (ABCON) have been warned to adhere closely to the 8 a.m.–6 p.m. working hours or risk disciplinary action.
This comes after the National Security Agency (NSA) and the Central Bank of Nigeria (CBN) issued a significant directive requiring licensed Bureau De Change (BDC) operators to operate between 8 a.m. and 6 p.m.
On Tuesday, December 10, 2024, ABCON sent its members a memo titled “CBN’s Directive On Opening and Closing Hours of Business,” which THE NEW CHRONICLES could view.
The CBN’s efforts to address some of the malpractices at the retail end of the currency market and establish a transparent and well-regulated system may be related to the directive.
Non-compliance will result in sanctions
In its message, ABCON cautioned its members that any departure from these designated operation hours would result in penalties, even though it said that the rule is effective immediately.
- Additionally, it recommended that all certified BDCs operating at airports nationwide follow the Nigeria Civil Aviation Authority’s (NCAA) business-hours requirements.
The ABCON memo said, ‘’We wish to bring to your attention on an important directive issued by the Central Bank of Nigeria (CBN) and the National Security Agency (NSA) of the Directive that all licensed Bureaux de Change (BDC) must operate strictly within the operational business hours of 8:00 AM to 6:00 PM, Nigerian time.
‘’This directive is effective immediately, and any deviation from these stipulated operating hours will result in penalties. It is crucial that all members comply with this new regulation to avoid any punitive measures.
‘’The BDCs operating in all airports are advised to abide by the NCAA regulations on Business hours.
‘’We appreciate your prompt attention to this matter and expect full adherence to ensure smooth and compliant operations across all BDCs. Thank you for your cooperation.’’
What To Note
The CBN’s announcement of updated guidelines for the Nigeria Foreign Exchange Market (NFEM) indicated a significant upheaval in the nation’s foreign exchange operations.
- The revisions, which include consolidating all FX windows, redefining market players’ roles, and introducing more stringent compliance and transparency requirements, are contained in a circular dated November 29, 2024.
- The apex bank is working to fix long-standing inefficiencies in the foreign exchange market and establish a transparent, well-regulated system. This most recent action is part of that effort.
- One of the updated guidelines’ main requirements is that all foreign exchange transactions be priced using the Electronic Foreign Exchange Matching System (EFEMS), a centralised platform that will also make daily FX rates available to the public.
Additionally, licensed BDC businesses can buy foreign exchange directly from authorized dealers under the updated CBN guidelines, provided that the apex bank sets a monthly quota.
These modifications also entail tighter oversight and more access to FX for the BDCs.
