Abuja Bureau de Change Offices Close Indefinitely Amid Escalating Forex Crisis
In response to the deepening foreign exchange crisis in Nigeria, Bureau de Change operators have declared the indefinite closure of their business establishments in Abuja, effective from Thursday, February 1, 2024. Abdullahi Dauran, the Chairman of BDC operators in Abuja, conveyed this decision in a statement released on Wednesday.
Dauran emphasized that the scarcity of dollars is the primary factor compelling the closure of their operations. He pointed to the influence of online business transactions and cryptocurrency as key contributors to the shortage of dollars.
When questioned about the development, Aminu Gwadabe, President of the Association of Bureaux de Change Operators of Nigeria (ABCON), provided a vague response, stating, "I saw it online, too."
According to data from FMDQ on Thursday, the Naira experienced a marginal appreciation, standing at N1,455.59 per US dollar, a slight improvement from N1,482.57 on Wednesday.
The report indicates that Naira depreciation worsened on Tuesday, surpassing the official market rate of N1,482.57 per US Dollar observed on Wednesday and the N1,470 quoted at the parallel market.
Despite the Central Bank of Nigeria's injection of over $500 million to address the forex backlog and other interventions, the Naira's decline against the dollar persists.
In a potential effort to curb the continuous depreciation of the Naira in the forex market, the CBN released fresh guidelines to commercial banks on Wednesday, specifically targeting foreign currency speculation and hoarding.