$3.1bn sale to BDCs sustained naira stability, 25,000 jobs —ABCON

  THE Association of Bureaux De Change Operators of Nigeria (ABCON) has said that the 163 per cent increase in dollar sales to bureaux de change (BDCs) to $3.1 billion in the first half of the year helped to sustain exchange rate stability and protected 25,000 jobs in the sub-sector.

ABCON President, Alhaji Aminu Gwadabe stated this while commenting on the half year (H1’18) economic report released by the Central Bank of Nigeria (CBN) last week.

The report among other things showed that CBN  dollar sales to BDCs  rose by 163 per cent to $3.1 billion in the first half of the year (H1’18) from $1.2 billion in the corresponding period of 2017 (H1’17).

The report stated that: “The significant increase in BDC sales, reflected the bank’s policy to increase the supply of foreign exchange to small end-users.”

Recall that the CBN on May 27, 2018, increased weekly dollar sales to each BDCs by 50 per cent to $60,000 per week from $40,000 per week.

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Gwadabe noted that the 163 per cent increase in foreign exchange sales to BDCs is attributed to the success recorded in the Investors and Exporters (I&E) window introduced by the CBN and the transparency in the forex market, facilitated by www.naijabdcs.com,  the live exchange rate platform introduced by ABCON.

He added that the development enabled the apex bank  to empower  BDCs in achieving sustained exchange rate stability, convergence of exchange rates which by extension  discouraged rent seeking and other  speculative tendencies in the market.

On the impact of the increased forex sales to BDCs, Gwadabe said: “The overall impact in the economy includes employment generation of over 25,000 jobs in the BDC sub sector and enhanced investors’ confidence.”

He added that the recent efforts of the association to automate operations of BDCs will help to consolidate on these gains.

“The ABCON automation drive of BDCs operations designed to enhance their visibility and attractiveness is already giving them an information technological (IT) edge  in the quest to become direct agents of international money transfer operators”, he said.