Bureau de Change Operators Beg CBN for Digital Autonomy to Create 40,000 Jobs
- BDC operators are imploring the CBN to grant them autonomy for digital operations
- In addition to rate convergence, it is believed that the move will curb volatility in the market and promote economic growth
- Operators believe this will help the CBN democratise and centralise digital operations
The Association of Bureau De Change Operators of Nigeria (ABCON) has called on the Central Bank of Nigeria (CBN) to license operators' digital autonomy.
In a statement, Dr. Aminu Gwadabe, the association's president, called on the apex bank to grant a no-objection approval for the BDCs to fully go digital on all their operational correspondences.
Source: Getty Images
The appeal comes after the CBN released new guidelines for BDC operators in the country.
Move to facilitate growth in the economy
According to a report, Gwadabe predicted that the action would encourage rate convergence, reduce market volatility, and stimulate economic growth.
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The ABCON president noted that before the COVID-19 outbreak in 2020, the association led its members to rate convergence in 2006, 2009, 2018, and 2020.
Gwadabe said with the move, achieving the federal government's harmonised foreign exchange rate policies would be improved.
He also said effective monitoring of BDCs' activities for legal and regulatory requirements would also be encouraged by giving the operators digital autonomy.
Gwadabe said in addition to creating jobs for over 40,000 people in the industry, digital autonomy for operators would bring about greater responsibility, openness, and ease of supervision.
As a proactive organisation and an umbrella body of CBN, licensed BDCs, and in line with the CBN planned reforms on BDCs for tech compliance, ABCON started various digitisation reforms since 2016 to date for licensed operators.
ABCON claimed that by giving all operators the freedom to transition to digital operations, the CBN could democratise and centralise the digital operating mechanisms for all BDCs.
In a recent report, the CBN restricted BDC to a certain rate against the official window when buying and selling forex to customers.
Naira Crashes to Above N900 Against US Dollar on P2P FX Market, ABCON Blames Binance
Legit earlier reported that the naira performed poorly at the Peer-2-Peer (P2P) window and in the black foreign exchange markets.
Data obtained by Legit showed that the naira on the P2P platform, mainly utilised by cryptocurrency traders, was exchanged at a rate of N903 to a dollar on Tuesday, August 8, 2023.
Source: Legit.ng
