The Association of Bureaux De Change Operators of Nigeria has said that the nation’s foreign exchange market achieved improved level of stability in the first half of this year due to about 163 percent increase in dollar sales to bureaux de change.
The association stated that the improved supplies of about $3.1 billion during the period by the Central Bank of Nigeria (CBN) , helped to sustain exchange rate stability and protected 25,000 jobs in the sub-sector.
The ABCON President, Alhaji Aminu Gwadabe, disclosed this while commenting on the half-year economic report released by the CBN last week which indicated that dollar sales to the BDCs increased by 163 percent to $3.1 billion from January to June this year up from $1.2 billion sold in the corresponding period of 2017.
A statement issued by the association on the report quoted Gwadabe as saying that the significant increase in the BDC sales reflected the bank’s policy to increase the supply of foreign exchange to small end-users.
The ABCON leader recalled that the CBN had on May 27, 2018 increased weekly dollar sales to each BDCs by 50 percent to $60,000 from $40,000 per week.
According to him, the 163 percent increase in forex sales to the BDCs is linked to the success recorded in the investors and exporters window introduced by the CBN and improved transparency facilitated by www.naijabdcs.com, the live exchange rate platform introduced by ABCON in the forex market,
Gwadabe pointed out that the monetary authorities’ initiative helped the BDCs to achieve sustained exchange rate stability, convergence of exchange rates and discouragement of rent seeking and other speculative tendencies in the market.
Expatiating on the impact of the improved forex sales to BDCs, Gwadabe explained that generally the step helped to sustain over 25,000 jobs in the BDC sub-sector and enhanced investors’ confidence in the forex market.
He maintained that ABCON’s recent efforts to automate operations of the BDCs would help to consolidate on the gains recorded so far.
