CBN Suspends FOREX Sales to BDCs Until Further Notice

March 26, 2020/CBN

We write to acknowledge the receipt of your letter dated March 24, 2020 on the above subject.

While thanking you for the observations raised, we wish to sincerely appreciate the role your Association has played in the stabilization of the exchange rate in the country in the past months.

It is on record that the outbreak of the coronavirus has disrupted socio-economic activities not only in Nigeria but across the world. The situation is further worsened with the crash of crude oil prices in the international market with its attendant effect on economic activities.

Consequently, this has led several countries to take decisive measures to contain the spread of the outbreak with Nigeria inclusive. These measures include among others, the total shut down of air and land boarders across the world leading to reduction in travels and demand for foreign exchange by travellers.

Furthermore, the Government’s directive to restrict gatherings to not more than twenty (20) persons is aimed at reducing person to person contact and curb the transmission of the COVID-19 virus meant that the concentration of the BDC encashers at disbursement centres would pose health challenges.

In view of the foregoing, hereby confirm that based on your recommendations, sales of foreign currency to members of ABCON is hereby suspended until further notice.

Meanwhile, you may wish to inform all your members accordingly of this development.

Please accept the assurances of the warmest regards of the Governor, Central Bank of Nigeria.

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