THE Central Bank of Nigeria (CBN) has approved the participation of licensed Bureau De Change (BDC) operators in the Nigerian Foreign Exchange Market (NFEM), allowing each operator to purchase up to $150,000 weekly in a move aimed at improving liquidity and stabilising the retail forex segment.
The directive was conveyed in a circular dated February 10, 2026, and signed by the Director of the Trade and Exchange Department, Dr Musa Nakorji sighted by News Point Nigeria.
The circular was addressed to authorised dealer banks and the general public.
According to the apex bank, the policy is designed to ensure adequate foreign exchange liquidity in the retail market and meet the legitimate needs of end users.
“To ensure the availability of adequate foreign exchange liquidity in the retail segment of the foreign exchange market to meet the legitimate needs of end users, this is to inform market participants that all BDCs that are duly licensed by the CBN are allowed to access foreign exchange from the NFEM through any Authorised Dealer of their choice, at the prevailing exchange rate,” the circular stated.
The development comes at a time when the gap between the official and parallel market exchange rates has widened significantly, exceeding N90 for the first time in three years.
Market analysts believe the move could help reduce speculative pressure in the parallel market and narrow the exchange rate disparity by increasing legitimate supply channels.
While reopening access to BDCs, the CBN also introduced strict regulatory and compliance requirements.
Authorised dealer banks are mandated to conduct full Know-Your-Customer (KYC) and due diligence checks before selling foreign exchange to any BDC.
“Authorised dealers are required to complete the necessary KYC and due diligence for their BDC clients in line with applicable regulations and the internal risk management framework,” the circular read.
Upon completion of these checks, BDCs may purchase foreign exchange strictly in line with existing operational guidelines, subject to a maximum of $150,000 per week per operator.
In addition, the apex bank imposed tight transparency and reporting requirements, directing all licensed BDCs to submit accurate and timely electronic returns to the CBN in accordance with prevailing regulations.
To prevent speculative accumulation of dollars, the CBN warned that BDCs must not retain unutilised foreign exchange.
“Any unutilised balances are expected to be sold back to the market within 24 hours,” the bank stated, adding that BDCs are not permitted to keep funds purchased from the NFEM in their positions.
The apex bank further strengthened settlement rules, mandating that all foreign exchange transactions be conducted exclusively through settlement accounts held with licensed financial institutions.
“Settlement of foreign exchange transactions by BDCs with Authorised Dealers and/or with end user customers shall be conducted exclusively through settlement accounts held with licensed financial institutions,” the circular added.
The CBN also prohibited third-party transactions and limited cash settlements to a maximum of 25 per cent of each transaction amount.
The policy marks a significant shift from earlier restrictions. In October 2025, the President of the Association of Bureau De Change Operators of Nigeria (ABCON), Aminu Gwadebe, had raised concerns about the difficulties BDCs faced in accessing dollars after the CBN suspended dollar sales to the sector.
Following the suspension, operators reportedly relied largely on walk-in customers and informal sources to obtain foreign exchange.
Earlier in 2025, the CBN had restricted BDCs to purchasing a maximum of $25,000 weekly from a single authorised dealer bank. However, the suspension effectively limited their access to bank-sourced dollars.
With the new $150,000 weekly cap and renewed access to the formal market, stakeholders see the move as an attempt by the apex bank to strike a balance between liberalising access and maintaining strict regulatory oversight.