Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.


CBN asked to reconsider N35m capital base

08 July 2014, 10:46

Lagos -  The Association of Bureau De Change Operators of Nigeria (ABCON) has urged the Central Bank of Nigeria (CBN) to review the N35 million mandatory cautionary deposit for bureau de change operators.

ABCON’s President, Aminu Gwadabe, made the call at a meeting organised by the association for its members on Monday in Lagos.

Gwadabe said that the association had recommended the categorisation of the operators with different scopes of business.

He urged the CBN to initiate stakeholders’ sensitisation meetings for a comprehensive discussion of monetary policy related issues before the implementation of the new policy.

The association president said that the capital requirement for the operators did not require  periodic increases as obtained in other financial institutions.

"However, it had been reviewed from N250 000 to N500 000 and then N10 million.

"Therefore, we recommend that BDC capitalisation requirement should be reviewed to a maximum of N15 million.

"We also recommend refund of the earlier N500 000 mandatory cautionary deposit of over 2 500 of members before the introduction of additional $20 000 USD (N3.5 million)," he said.

He said that the N500 000 deposit had been with the CBN for more than 10 years.

Gwadabe also urged the CBN to ensure constructive engagement of the stakeholders and extension of the deadline for the deposit.

Gwadabe said that, without the engagement, it would be difficult to settle at the N35 million deposit.

He said that the new policy had the potential to send some operators out of business, thereby destabilising the foreign exchange market.

Gwadabe also said that the policy might empower the black market as well as widen the exchange rate premium.

-    NAN

For the latest on national news, politics, sport, entertainment and more follow us on Twitter and like our Facebook page.


Read News24’s Comments Policy

Comment on this story
Comments have been closed for this article.

Read more from our Users

Nigeria @ 56: Words to my green f...

A leader’s job is not to dictate, but rather to be respected, admired and be a trustee, of the land we love, with so much potential, a land which should be freer than free. Its still a long way to fufilling our destiny! Read more...

Submitted by
Isaac Asabor263
Recession: An opportunity for Nig...

The recession should be seen as an opportunity for the country’s promotion as long as we all collectively conduct ourselves in a patriotic manner, writes Isaac Asabor.  Read more...

Submitted by
Black and White

We want to imitate the whites in everything because we are ignorant of our inherent originality and content. We spend all our Naira to acquire his inventions because we so oblivious of our natural endowments that we allow him have it for free. Read more...

Submitted by
Nate Nat
Adamawa State University Mubi: A ...

ADSU integrity forum has accused the Sunday Joshua Wugira, a lawyer, of adopting unorthodox tactics by abusing his privilege by attacking the integrity of ADSU Vice Chancellor Dr. Moses Zira Zaruwa, writes a News24 reader. Read more...

Submitted by
Abdulsalam Jubril
My Country Nigeria (Part One)

Poetry by Abdulsalam Jubril.

Submitted by
Abdulsalam Jubril
Recession, dearth in leadership a...

Every leader has the opportunity to become great and making himself immortal in the lives and hearts of people for generations to come. Will Mr. President seize this opportunity?, questions Abdulsalam Jubril. Read more...