The Central Bank of Nigeria's (CBN) decision to revoke the licenses of 4,173 Bureaux De Change (BDC) operators, as announced on March 1, is a regulatory action taken in accordance with the powers conferred on the apex bank under the Bank and Other Financial Institutions Act (BOFIA) 2020, Act No. 5, and the Revised Operational Guidelines for Bureaux De Change 2015.
The statement by the Acting Director of Corporate Communications, Sidi Ali Hakama, outlines that the affected BDC operators consistently failed to comply with regulatory provisions, including payment of necessary fees, timely license renewal, rendition of returns, and adherence to guidelines, directives, and circulars of the CBN, especially regarding Anti-Money Laundering (AML), Countering the Financing of Terrorism (CFT), and Counter-Proliferation Financing (CPF) regulations.
The CBN also mentioned that it is in the process of revising the regulatory and supervisory guidelines for Bureau de Change operations in Nigeria. Compliance with the new requirements will be mandatory for all stakeholders in the sector when the revised guidelines become effective.
The list of affected BDC operators is available on the CBN's website, and the public is advised to take note of the regulatory measures and comply accordingly. This move indicates the central bank's commitment to maintaining a robust regulatory framework in the financial sector and ensuring compliance with established guidelines to safeguard the integrity of financial operations in the country.