The Central Bank of Nigeria has directed commercial banks to sell business and personal travel allowances to retail customers within 24 hours of filing a demand request.
This was in view of the CBN’s willingness, capability, and determination to meet Forex demand in the market, and in order to further increase foreign exchange availability to all end-users and ensure that a fair and verifiable exchange rate operates in the market.
In a statement signed by CBN Director, Financial Markets Department, Dr Alvan Ikoku, “all banks are hereby directed to open a teller point for retail Forex transactions, including buying and selling, in all locations in order to ensure access to foreign exchange by their customers and other users, without any hindrance”
The apex bank also said that all banks must have an electronic display board in all their branches; showing rates of all trading currencies, and customers must insist on processing Forex transactions based on the displayed rates.
Banks are mandated to process and meet the demand for Travel Allowances (PTA/BTA) by end-users within 24 hours of such application, as long as the end- users meet basic requirements already outlined in earlier directives.
The commercial Banks are also mandated to process and meet demands for school fees and medical bills within 48 hours of such application, noting that this directive is effective immediately and non-compliance would attract sanctions, including but not limited to being barred from all future CBN foreign exchange interventions.
