Dr. Aminu Gwadabe, the President of the Association of Bureau De Change Operators of Nigeria (ABCON), has emphasized the pivotal role of Bureau De Change (BDC) operators in the quest for a stable, robust, and secure exchange rate in Nigeria.
In a statement, he highlighted the necessity of BDCs participating actively in the retail segment of the forex exchange market to address the current challenges and build a highly liquid forex market that bolsters the domestic economy.
Under the current leadership of the Central Bank of Nigeria (CBN), Gwadabe expressed confidence in Nigeria’s capacity to attain a stable and strong exchange rate.
He stressed that, given the ongoing volatility in the exchange rate and the continuous depreciation of the naira in both official and parallel markets, BDCs need to be deeply engaged in crafting enduring solutions.
The naira recently crossed the N1,100 to the dollar threshold in the parallel market, further weakening at the official market due to persistent dollar scarcity and the speculative activities of illegal forex dealers.
While acknowledging the CBN’s efforts to narrow exchange rate disparities, Gwadabe underscored that involving BDCs in the solution would not only contribute to a highly liquid market but also promote rate stability.
ABCON is also grappling with unlicensed forex dealers central to speculative activities that cast a negative image on the sub-sector. Gwadabe noted that while educating the public against patronizing illegal forex dealers is ongoing, the suspension of ABCON’s Self-Regulatory Organization status limits the group’s ability to directly sanction these unauthorized operators.
The call for BDCs’ full participation aims to strengthen the exchange rate, enhance the economy, and ensure lasting stability in Nigeria’s forex market.
