CBN Sets Limits On Dollar Purchase From BDCs, Introduces New Guidelines....KINDLY READ THE FULL STORY HERE▶

The Central Bank of Nigeria (CBN) has implemented restrictions on foreign exchange (FX) sales by Bureau De Change (BDC) operators……..CONTINUE READING

This decision was outlined in a document titled ‘Revised Regulatory and Supervisory Guidelines for Bureau De Change Operations in Nigeria’, released on February 23, 2024.

As per the circular, BDCs are now authorized to sell foreign currency in amounts equivalent to $4,000 and $5,000 for personal travel allowance (PTA) or business travel allowance (BTA) to an individual once every six months.

The CBN stipulated that the sale of foreign currencies to intending travelers must be accompanied by their bank verification number (BVN) or tax identification number (TIN), a duly completed e-form, valid international passport, valid visa, and valid international return ticket.

Additionally, for BTA transactions, the apex bank requires a letter of request from the corporate body stating the purpose of the visit addressed to the processing BDC, along with a certificate of business registration or incorporation submitted by customers.

Moreover, the CBN mandated that customers must provide a letter of invitation from their overseas business partner and a tax clearance certificate.

The apex bank specified, “The amount of foreign currency sold and the date of sale shall be endorsed on the passport. A photocopy of the documents, forex endorsement page, and sales receipt shall be filed in a sequential order by the BDC.”

Furthermore, the CBN outlined that BDCs are permitted to sell foreign currency up to the equivalent of $5,000 to a customer for medical bills once a year. Such bills are to be transferred from the BDC’s domiciliary account to a Nigerian bank and paid directly to the hospital.

Additionally, BDCs may sell foreign currency up to the equivalent of $10,000 to a customer for school fees once a year. This fee, transferred from the BDC’s domiciliary account with a Nigerian bank, must be paid directly to the school and supported by various documents, including evidence of admission/course program, valid air ticket, and school bill/invoice.

The CBN noted that it reserves the right to review the amounts and frequencies for the sale of foreign exchange periodically.