Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Content Partners
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Get Data
    • Macro-Economic News
    • Research Analysis
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Content Partners
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Get Data
    • Macro-Economic News
    • Research Analysis
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
Nairametrics
No Result
View All Result
Home Business News

New Forex Policy: CBN Releases List Of Approved 2,998 BDC Operators

Nairametrics by Nairametrics
May 27, 2016
in Business News, Currencies, Spotlight
Forex dealers are working on a proposal that could usher in another devaluation
Share on FacebookShare on TwitterShare on Linkedin

The CBN on Friday released a list of about 2,998 Bureau De Change operators who are expected to participate in the new exchange rate regime. The CBN in its monetary policy committee communique on Tuesday, announced that it was shifting gear thus adopting a flexible exchange rate policy which Nairametrics believes is a “semi float” of the Naira.

The Bank confirmed this in a circular published on its website titled “Updated List of Confirmed Bureaux De Change in Compliance With New Requirement”. The CBN in January banned the sale of forex to BDC’s accusing them of round tripping. Back then the CBN said it had 2,786 BDC suggesting they have just issued new licenses. The apparent U-turn is therefore an indication that the CBN will need the BDC’s to help ensure that its new “flexible exchange rate” policy works.

Analysts believe the new policy will now see commercial banks, BDC’s and other approved forex dealers buy and sell forex via a market determined mechanism effectively dumping its fixed currency regime previously imposed on the market. They therefore would need to BDC’s to help ensure that the market is robust while eliminating another shadow economy.

RelatedPosts

Seplat and Mobil deal: It’s time to consider moving on

24 Hours Power Supply: Ikeja Electric Sign Tripartite Agreement with Enaro Energy and Ayobo Community

Critics however believe the reintroduction of BDC’s might be bad for the market as they might end up engaging in the same arbitrage activities that took place before they were banned. For example, rogue commercial banks can declare artificial scarcity after selling block dollars to BDC’s. BDC’s will then add a premium to the price obtained from the back door from banks for onward sale to end users.

The CBN is yet to confirm if indeed, the list is directly linked to its new policy.

Related

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

inq
avatrade
Stanbic bank
Mega Millions
UBN
Hot forex
Access Bank
Bankers Committee
First bank






    Business News | Stock Market | Money Market | Cryptos | Financial Literacy | SME |

    Recent News

    • Seplat and Mobil deal: It’s time to consider moving on
    • 24 Hours Power Supply: Ikeja Electric Sign Tripartite Agreement with Enaro Energy and Ayobo Community
    • Seplat debunks involvement in impropriety as Buhari reportedly makes u-turn on consent to acquire Mobil Nigeria

    Follow us on social media:

    Recent News

    Developing nations must be allowed to create a just energy transition – Roger Brown, Seplat CEO

    Seplat and Mobil deal: It’s time to consider moving on

    August 11, 2022
    24 Hours Power Supply: Ikeja Electric Sign Tripartite Agreement with Enaro Energy and Ayobo Community

    24 Hours Power Supply: Ikeja Electric Sign Tripartite Agreement with Enaro Energy and Ayobo Community

    August 10, 2022
    • ABOUT US
    • CONTACT US
    • PRODUCTS
    • ANDROID APP
    • iOS APP
    • DISCLAIMER
    • CAREERS
    • PRIVACY POLICY

    © 2022 Nairametrics

    No Result
    View All Result
    • Home
    • Exclusives
      • Financial Analysis
      • Corporate Stories
      • Interviews
      • Investigations
      • Metrics
    • Markets
      • Cryptos
      • Commodities
      • Equities
        • Dividends
        • Stock Market
      • Fixed Income
      • Market Views
      • Securities
    • Industries
      • Company News
      • Consumer Goods
      • Content Partners
      • Corporate deals
      • Corporate Press Releases
      • Energy
      • Entertainment
      • Financial Services
      • Hospitality & Travel
      • Manufacturing
      • Real Estate and Construction
      • Tech News
    • Economy
      • Get Data
      • Macro-Economic News
      • Research Analysis
    • Business News
    • Financial Literacy
      • Career tips
      • Personal Finance
    • Lifestyle
      • Billionaire Watch
      • Profiles
    • Opinions
      • Blurb
      • Op-Eds

    © 2022 Nairametrics

    Social Media Auto Publish Powered By : XYZScripts.com