By Dipo Olowookere
Any authorised foreign exchange dealers that fail to adhere strictly to the recently introduced forex policy by the Central Bank of Nigeria (CBN) risks suspension from the market, the apex bank has threatened.
The bankers’ bank, in a statement issued on Sunday and signed by its Director in charge of Financial Markets Department, Dr Alvan Ikoku, explained that this latest warning came on in line with its determination to meet forex demand in the market and to further increase foreign exchange availability to all end-users and ensure that a fair and verifiable exchange rate operates in the market.
The CBN directed all banks to “open a teller point for retail FX transactions, including buying and selling, in all locations in order to ensure access to foreign exchange by their customers and other users, without any hindrance.”
It further said, “All banks must have an electronic display board in all their branches; showing rates of all trading currencies, and customers must insist on processing FX transactions based on the displayed rates.”
“Banks are mandated to process and meet the demand for Travel Allowances (PTA/BTA) by end-users within 24 hours of such application, as long as the end users meet basic requirements already outlined in earlier directives,” the circular also said.
Furthermore, the apex bank emphasised that, “Banks are mandated to process and meet demands for school fees and medical bills within 48 hours of such application,” warning that failure to comply with these directives “would attract sanctions, including but not limited to being barred from all future CBN foreign exchange interventions.”
The circular concluded that these directives take immediate effect.
