The Association of Bureau De Change Operators of Nigeria (ABCON) says that the Central Bank of Nigeria’s (CBN) June 3 recapitalisation deadline for Bureau De Change (BDC) operators remains sacrosanct.
ABCON President, Dr Aminu Gwadabe, said this in an interview with the News Agency of Nigeria (NAN) in Lagos after a stakeholders meeting with CBN.
NAN reports that CBN in May 2024 issued new operational guidelines for BDCs, effective June 3, 2024, directing all existing BDCs to reapply for new licences.
BDCs with Tier 1 licence were expected to have a capital base of N2 billion while those with Tier 2 licence needed N500 million, with a non-refundable licence fees of N5 million and N2 million respectively.
Both Tier 1 and Tier 2 BDCs were given six months to meet up with the minimum capital requirement for the licence category applied for.
The apex bank later extended the recapitalisation deadline by an additional six months while it continued engagements with the BDC operators to meet the new capital threshold by June 3.
ABCON, however, had raised concerns that only about 10 per cent of its members were able to reach the capital requirement as at Monday.
The association, thereafter, had a final stakeholder’s engagement with the apex bank in Lagos on Monday.
Speaking on the outcome of the meeting with NAN, Gwadabe thanked the apex bank for the move adding that the BDCs recapitalisation deadline was sacrosanct.
“First, we want to thank the management of the Central bank for their enhanced consultations with stakeholders.
“The CBN have acknowledged that our sub sector is a critical retail end sub sector and that BDCs are important and potent tool of CBN’s policy transmission mechanisms.
“Discussions are ongoing and with some give and take.
“The deadline for the existing BDCs for recapitalisation by June 3rd, 2025 remains sacrosanct. Also, the minimum capital requirements of N2billion for tier 1 and N500million for tier 2 remain sacrosanct,” he said.
The ABCON President added that the window for new licences was open for prospective investors with an agreement to accelerate the licencing process.
“Other matters are yet to be wrapped up with higher hopes of reaching a win win situation,” he said. (NAN)
