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CBN may re-validate some revoked Bureau De Change licences

The Central Bank of Nigeria (CBN) says it may revalidate some Bureau De Change (BDC) operators’ licences revoked over their inability to meet up with the recapitalisation deadline in 2012.

Mr Olufemi Fabanwo, the Director of Other Financial Institutions and Supervision Department (OFISD), disclosed this on Saturday in an interview with the News Agency of Nigeria (NAN) in Lagos.

He said that the CBN might reconsider allowing the affected bureau de change operators to resume their operations, if they were not found guilty of any offence.

According to him, the authority may reconsider, reinstate and align the bureau de change operators back into business, if their licences were not supposed to have been revoked.

“If they have not paid before the deadline, it means that they got their licences under a false pretence and that cannot be revisited.

“For those that had paid prior to the revocation and there is evidence and proof that they paid, then, the CBN can reconsider their licences,” Fabanwo said.

NAN recalls that the CBN had in January 2013 withdrew the licences of 236 Bureau de Change operators over their inability to recapitalise to the tune of 250,000 dollars.

The bank, in a circular dated Jan. 11, 2013 said that the withdrawal of the licences took effect from January 14.

NAN also recalls that the CBN had on Nov. 3, 2010, cancelled the issuance of Class ‘A’ BDC licences, following its review of the two-tier structure of the market.

The bank said appraisal of the policy initiative revealed gross abuses of the enhanced official funding of Class ‘A’ category of the BDCs and the negation of expected benefits to the economy

“The CBN has also been inundated with complaints from foreign countries that some Nigerian travellers indulged in cross-border transportation of large sums of foreign currencies in cash,” it said.

The CBN said that the Class ‘A’ BDCs, whose licences had been withdrawn, were free to apply for Class ‘B’ licences with the attendant privileges by fulfilling the stipulated licencing requirements.

NAN recalls that the Apex bank had on Feb.26, 2009, restructured the BDCs into categories ‘A’ and ‘B’, to further liberalise the foreign exchange market and enhance its efficiency. (NAN)


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