The Association of Bureau De Change Operators of Nigeria has expressed willingness to work with the Central Bank of Nigeria towards the convergence of exchange rates between it and Deposit Money Banks.
According to the body, this is needful for a healthy competition.
Speaking for the association in an interview with our correspondent, its President, Alhaji Aminu Gwadabe, said the apex regulator should allow the Bureau de Change outlets to have access to the investors/exporters window and to also make BDC operators direct agents of the International Money Transfer Organisations, as is the case in other advanced economies.
The ABCON, while listing the recipe for a stronger naira and a more stable exchange rate in 2018, called for the deepening of the BDCs’ scope of operations by allowing them to transact on SME remittances, noting that allowing the BDCs to remit upkeep and accommodation fees for Nigerian students abroad will help to mitigate parents’ problems in sourcing for the dollar.
Gwadabe urged the CBN to allow the BDCs to do live programmes on the rendition of returns/operations, to ensure greater transparency in a policy-friendly regime.
Others of the recipe listed by the group include the exemption of BDC transactions from VAT payments as observed in the UK and the U.S. and the reduction of complex documentation requirements on BDC transactions.
He noted that constant collaboration with self-regulatory organisations like ABCON, as recommended by an article of the Financial Action Task Force, was important for the nation’s foreign exchange market.
Gwadabe urged the CBN to remove or reduce to the barest minimum, bank charges on BDC operations and a review of the annual license renewal of the BDCs, in view of their numerical strength.
He added that the approval of additional disbursement centres in Port Harcourt, Maiduguri, Benin and Ibadan would facilitate access to FOREX in those areas.
According to the body, this is needful for a healthy competition.
Speaking for the association in an interview with our correspondent, its President, Alhaji Aminu Gwadabe, said the apex regulator should allow the Bureau de Change outlets to have access to the investors/exporters window and to also make BDC operators direct agents of the International Money Transfer Organisations, as is the case in other advanced economies.
The ABCON, while listing the recipe for a stronger naira and a more stable exchange rate in 2018, called for the deepening of the BDCs’ scope of operations by allowing them to transact on SME remittances, noting that allowing the BDCs to remit upkeep and accommodation fees for Nigerian students abroad will help to mitigate parents’ problems in sourcing for the dollar.
Gwadabe urged the CBN to allow the BDCs to do live programmes on the rendition of returns/operations, to ensure greater transparency in a policy-friendly regime.
Others of the recipe listed by the group include the exemption of BDC transactions from VAT payments as observed in the UK and the U.S. and the reduction of complex documentation requirements on BDC transactions.
He noted that constant collaboration with self-regulatory organisations like ABCON, as recommended by an article of the Financial Action Task Force, was important for the nation’s foreign exchange market.
Gwadabe urged the CBN to remove or reduce to the barest minimum, bank charges on BDC operations and a review of the annual license renewal of the BDCs, in view of their numerical strength.
He added that the approval of additional disbursement centres in Port Harcourt, Maiduguri, Benin and Ibadan would facilitate access to FOREX in those areas.
