The Association of Bureau de Change Operators of Nigeria has expressed support for the Central Bank of Nigeria’s directive to banks to stop the use of domiciliary accounts as collateral for naira loans.
President of ABCON, Aminu Gwadabe, revealed the association’s stance in a statement on Thursday, pointing out that the directive would not only boost liquidity in the currency market but also strengthen the nation’s buffers.
Gwadebe also called for an upgrade of CBN policies on BDC operations to legislation so as to boost investor confidence.
The CBN had recently sold ten thousand dollars to eligible BDCs at the rate of one thousand, one hundred and one naira per dollars, as the apex bank warned that the BDCs should not sell at a spread of more than 1.5 per cent above the purchase price.
The post Bureau De Change Operators Back Central Bank of Nigeria’s Directive to Stop Use of Domiciliary Accounts as Collateral for Loans first appeared on Royal Times of Nigeria..