Reported by: Ijeoma G | Edited by: Oravbiere Osayomore Promise.
The Central Bank of Nigeria has unveiled a comprehensive regulatory framework for Bureau de Change operators purchasing foreign exchange from authorised dealer banks, introducing a centralised electronic transaction portal and imposing a strict 24-hour resale rule for unutilised dollars. The new operational guidelines, contained in a circular dated July 15, 2026, and signed by Aderinola Shonekan, Director of the Trade and Exchange Department, take immediate effect and represent the most significant technology-driven oversight initiative in the retail foreign exchange market in recent years.
The framework provides the operational modalities for implementing the CBN's February 10, 2026 circular, which restored licensed BDCs' access to the official foreign exchange market through authorised dealer banks after years of exclusion. According to the apex bank, the guidance announces the implementation of an electronic portal to facilitate interaction between BDCs and the Nigerian Foreign Exchange Market, outlining eligibility requirements, purchase request procedures, confirmation and settlement processes, reporting obligations, weekly purchase limits, treatment of unutilised balances, and compliance responsibilities of both authorised dealer banks and BDC operators.
Under the new framework, only BDCs with valid and subsisting CBN licences will be eligible to purchase foreign exchange. Operators under regulatory sanctions, those with suspended licences, or those whose operations have been restricted will remain ineligible until such sanctions are lifted. The CBN also directed authorised dealer banks to complete full Know-Your-Customer and customer due diligence checks before executing any FX transaction with a BDC. Banks are required to obtain and retain each BDC's licence certificate, Tax Identification Number, Corporate Affairs Commission incorporation documents, beneficial ownership information, and contact details of principal officers.
All licensed BDCs must now register on a centralised electronic portal known as the FX BDC Purchase Tracker (FXBT), where they will submit purchase requests electronically to any authorised dealer bank of their choice. The CBN has prohibited banks from imposing exclusivity arrangements, referral fees, or any conditions that limit a BDC's freedom to choose its preferred counterparty. Authorised dealer banks are required to acknowledge every purchase request within two business hours and must provide specific reasons for any rejected request.
A key feature of the new guidelines is the prohibition on BDCs retaining unutilised foreign exchange purchased from the official market. The CBN has ordered that all unutilised balances must be sold back to the NFEM within 24 hours of the expiry of the utilisation period. Failure to comply will attract regulatory sanctions including forfeiture of the unutilised balance and suspension of the BDC's NFEM access. BDCs are also required to disclose any unutilised balance from the prior week in each new purchase request submission, and authorised dealer banks must factor disclosed unutilised balances into their weekly cap calculations.
The guidelines also prohibit third-party transactions, with the CBN stating that foreign exchange purchased by a BDC shall be credited only to the BDC's registered settlement account. The existing weekly purchase cap of $150,000 per BDC across all authorised dealer banks has been retained. The apex bank warned that violations of the circular or the accompanying guidelines would attract regulatory sanctions, including monetary fines, suspension from the NFEM, withdrawal of BDC licences, revocation of authorised dealer status for banks involved in breaches, and referral to law enforcement agencies where criminal conduct is established.
Financial experts have praised the technological intervention, noting that real-time tracking will significantly boost liquidity, enhance regulatory compliance, and help stabilise the naira by curbing speculative activities in the retail market. The initiative represents a shift from delayed, manual reporting to automated monitoring, as the CBN aims to eliminate double-dipping, track unutilised funds, and ensure that only compliant operators remain active in the market. The new framework is expected to provide regulators with complete visibility and systemic compliance within the retail market segment.
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