There has been a significant development in the Nigerian foreign exchange market. The Economic and Financial Crimes Commission (EFCC) has reportedly reached an agreement with Bureau De Change operators (BDCs) which could impact the escalating black market rate. The result? The dollar is now selling at over N1,400, striking fear into the heart of currency traders and businesses. Remember, this could be the starting point of several changes to come.
The endeavor is marked by a united approach from both parties towards achieving stability in the market. This unusual alliance set its prime focus on making regulatory reforms, ensuring transparency in exchange practices, and adhering to anti-money laundering (AML) compliance mechanisms.
The decision to club forces against the inflating unofficial forex market came into existence as a series of continued efforts by ABCON for stabilizing the Naira value in the global market. EFCC’s role will be pivotal towards establishing legitimacy in exchange practices and eliminating elements engaging in fraudulent activities.
EFCC and ABCON’s joint venture aspires to foster a conducive trading environment for the Bureaux De Change (BDC) operators and end-users. The collaboration emphasizes creating an efficient and transparent exchange process that allows ridding the market of speculative activities that artificially manipulate the Naira.
As an immediate ripple effect of this partnership, latest figures corroborate a downward movement in dollar rates. Unofficial exchange rates manifested the Dollar standing at an inflated rate of N1,410 per dollar on Thursday, November 25, 2024. This sudden surge has pressured regulatory agencies such as ABCON and EFCC to take swift and sturdy action, thus their recent pact.
In the light of this unprecedented alliance, ABCON and EFCC’s robust approach spells an uplifting future for the naira in the unofficial forex market. While the battle against an inflated Dollar is far from over, consistent efforts by these bodies provide a ray of hope to get the Naira back on the path of strength and stability.
During the meeting approval for ABCON to establish a common website for Bureaux de Change (BDCs) rate and trading platform was reached.
ABCON moves to crash the dollar
Gwadabe described the platform as a formidable competitor to other entities in the economy, maintaining consistency in rate reporting.
Last year, an online platform established by the BDCs for rate publication, and another displaying parallel market rates, were deactivated by the Central Bank of Nigeria.
The operators faced accusations of rate manipulation.
The president of ABCON further stated the new website aims to exceed its predecessor in quality and refinement.
“The bureaux will now be upscaling the old website to serve as a challenger to other platforms in the economy”