The Central Bank of Nigeria (CBN) has executed another round of dollar sales to Bureau De Change (BDC) operators, setting the exchange rate at N1,251 per dollar.

Dr. Hassan Mahmud, Director of the Trade and Exchange Department at the apex bank, disclosed that each BDC received $10,000 under this arrangement.

In a statement, Dr. Mahmud reiterated the directive for BDCs to adhere strictly to a selling cap of 1.5% above the purchase price, restricting the maximum selling rate to N1,269 per dollar. BDCs were instructed to remit Naira payments to designated CBN accounts by March 28, 2024, to facilitate disbursement.

“We refer to our letter to you referenced TED/DIR/CON/GOM/001/071 in respect of the above subject wherein the CB approved a second tranche of sale of FX to eligible BDCs.

“We write to inform you of the sale of $10,000 to each BDC at the rate of N1,251/$1. The BDCs are to sell to eligible end users at a spread of not mora than 1.5 per cent above the purchase price.

“All eligible BDCs are directed to make the Naira payment to the underlisted CBN Naira Deposit Account Numbers before close of business on Thursday March 28, 2024, and submit confirmation of payment, with other necessary documentation, for disbursement at the appropriate CBN Branches.”

This recent move follows the CBN’s decision last month to allocate $20,000 to eligible BDC operators nationwide. The resumption of dollar sales to BDCs contrasts with the policy implemented by former CBN governor, Godwin Emefiele, who halted such transactions in 2021.

With this latest development, the CBN aims to enhance liquidity in the foreign exchange market while ensuring transparency and accountability among currency dealers.

The effectiveness of these measures in addressing Nigeria’s exchange rate challenges remains a subject of keen observation within economic circles.