The Association of Bureaux De Change Operators (ABCON) has urged the Central Bank of Nigeria (CBN) to make Bureau De Change Operators payout agents for foreign remittances in the country. This was disclosed in a statement by Aminu Gwadabe, ABCON president, titled, “ABCON Asks CBN to Make BDCs Payout Agents for Diaspora Remittances”.
Gwadabe urged that the regulator should take advantage of the more than 5,000 licenced BDCs in Nigeria in getting remittances to beneficiaries.
It would enable Nigerians sending money home from abroad to do so more conveniently, the ABCON chief noted.
The ABCON president believes that funds remitted from abroad will bolster the country’s balance of payment, minimise external borrowing dependence, and ease the weight of the coronavirus crisis on forex inflows into Nigeria.
Nigeria’s yearly remittance inflow of $25 billion is significant to currency management, the ABCON boss said, noting that it should be given free, unhindered movement into the economy.
The push is expected to help stimulate dollar liquidity, attain market price equilibrium, enhance depth in the currency market, boost foreign exchange accretion and maintain exchange rate stability.
On reports of non-compliance with payment of remittances to beneficiaries in dollar by mobile money operators as directed by the CBN, Gwadabe hopes this could be reversed if BDCs are involved in diaspora remittances settlement.