CBN Reopens FX Access to BDCs, Sets $150,000 Weekly Cap to Tighten Market Control

February 10, 2026 admin 0 Comments

The Central Bank of Nigeria has restored FX market access to BDCs with a $150,000 weekly cap, aiming to boost liquidity while tightening oversight in the retail dollar segment.

Nigeria’s foreign exchange landscape is shifting again as the Central Bank of Nigeria (CBN) rolls out a new policy allowing Bureau De Change operators back into the official FX market. The move signals a recalibration of strategy — reopening supply channels while maintaining firm regulatory control.

In a fresh directive, the CBN approved limited access for licensed Bureau De Change (BDC) operators to purchase foreign exchange directly from the Nigerian Foreign Exchange Market (NFEM). Under the framework, each operator is capped at a weekly purchase limit of $150,000, a measure designed to improve retail dollar availability without triggering speculative pressure.

The apex bank said the policy is targeted at easing genuine demand for foreign currency, particularly for small businesses, travel needs, and other retail transactions that often struggle with limited access to official supply. By allowing BDCs to source FX from any authorised dealer bank at prevailing market rates, the regulator is widening distribution channels across the country.

Unlike previous interventions that focused solely on supply injection, the new policy comes with tighter compliance requirements. Banks must conduct full Know-Your-Customer checks before selling FX to BDCs, while operators are required to submit accurate electronic returns and maintain transparent transaction records. Any unused foreign exchange must be returned to the market within 24 hours — a rule aimed at discouraging hoarding and speculative holding.

The CBN also restricted settlement structures, banning third-party transactions and limiting cash dealings to a maximum of 25 percent of each trade’s value. Analysts say these safeguards reflect the regulator’s attempt to strike a balance between liquidity expansion and strict supervision, especially as the naira continues to adjust under broader monetary reforms.

Market watchers believe the decision could help narrow the gap between official and parallel market rates if implementation remains consistent. However, the long-term impact will likely depend on sustained supply flows, exchange-rate stability, and confidence among authorised dealers and retail market participants.

As Nigeria’s FX framework continues to evolve, the CBN’s latest move signals a more controlled re-entry of BDCs into the system — one that prioritises transparency alongside accessibility. Whether the policy translates into real relief for everyday users of foreign currency will depend on how effectively compliance and market discipline are enforced.

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