17 January 2013

Nigeria: CBN Revokes Licences of 236 Bureaux De Change

The Central Bank of Nigeria (CBN) has announced the revocation of operating licences of 236 bureau de change operators in the country.

The bank in statement yesterday by the Director, Trade and Exchange Department advised all authorized dealers/buyers and the general public to with effect from January 14, 2013, desist from any transactions with the affected BDCs.

"Consequently, all authorized dealers/buyers and the general public are advised that with effect from January 14,2013, any foreign exchange transactions, including sale to and purchase from the affected BDCs as well as transfer of funds through them and or on their behalf is illegal," the statement said.

Although the statement did not give reasons for the revocation of the licences but when contacted, the spokesman of CBN, Mr Okoroafor Ugochukwu, said that the affected BDCs failed to meet up with the minimum paid up capital requirements set by the apex bank.

The CBN had set the minimum capital requirements for the BDC operators in two categories.

Category 'A' BDCs are expected to have a minimum paid up capital of N250 million while category 'B' BDCs are expected to have a minimum of N20 million.

Some of the affected BDCs includes A.F.A BDC, A.I.A BDC, Acclaim BDC,AL-Rima, Belview Travels Nig.Ltd (BDC),Circulated BDC, Dabi BDC, Danco BDC, Executive BDC,FCT BDC, Faith BDC, Fairex BDC, Jama'a BDC, Kano Agency BDC.

Others are Forexfield BDC,Gold package BDC, Gombai BDC, Katinga BDC, Kanzul BDC, Kungu BDC, Lindel BDC, List BDC, Malina BDC, Masaba BDC, among others.

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