The Central Bank of Nigeria (CBN) has barred all the banks, excluding First Bank, from selling dollar proceeds of International Money Transfer Services, to Bureau De Change (BDC).
The barred banks failed to comply with a CBN order asking them to sell proceeds of their international money transfer services to BDCs. The order was an attempt to address the steady and sharp depreciation of the naira in the parallel market.
The accusations against the banks stemmed from complaints made by several BDCs, with the Association of Bureaux De change Operators of Nigeria, ABCON, calling for a review of the policy measure.
Following the suspension, the banks have also been directed to give up 25 per cent of the dollars received through international money transfer services to CBN.