Nigeria CBN mandates real-time FX tracking for BDCs
Nigeria's central bank is deploying a real-time transaction portal to monitor Bureau De Change operators, aiming to curb speculation while expanding retail foreign exchange liquidity.
The Central Bank of Nigeria has ordered all licensed Bureau De Change (BDC) operators to report foreign exchange purchases through a new centralized portal, the FX BDC Purchase Tracker (FXBT). A July 15 circular from Trade and Exchange Director Aderinola Shonekan mandates same-day or real-time data submission to enable systemic oversight of the retail currency market.
The tracker provides the technological backbone for a February 2026 policy that permitted BDCs to buy up to $150,000 per week directly from authorised dealer banks. While that directive was designed to alleviate retail dollar shortages, it raised concerns among regulators about round-tripping and the abuse of allocations. The FXBT is the central bank's mechanism to gain visibility into those flows and neutralize speculative risks. Only operators with valid, subsisting licences are eligible to participate, with those under sanction explicitly excluded.
To ensure market integrity, banks are barred from imposing exclusivity arrangements or referral fees on BDCs. Dealers must be allowed to source currency from any authorised bank, which must acknowledge electronic purchase requests within two hours. Banks can only reject requests for specific reasons, such as incomplete documentation or breaches of weekly limits. Before onboarding any BDC, banks must also conduct strict Customer Due Diligence, requiring Tax Identification Numbers, corporate registration documents, and beneficial ownership disclosures.
To prevent hoarding, the CBN banned BDCs from retaining unutilized foreign exchange. Any unused balances must be sold back into the market within 24 hours after the utilization period expires, with failure risking forfeiture of the funds. All transactions must be routed through licensed financial institution accounts, explicitly prohibiting third-party deals. Furthermore, operators are required to disclose any unutilized balances from prior allocations when submitting new purchase requests, forcing banks to factor those outstanding amounts into their weekly calculations.
Compliance obligations extend beyond the real-time portal, requiring BDCs to continue filing detailed weekly electronic returns covering purchases, end-user sales, and reconciliation data. “The CBN shall maintain a centralised portal... enabling systemic compliance and oversight,” the circular stated. The central bank warned that violations will trigger sanctions under the Banks and Other Financial Institutions Act 2020, ranging from monetary fines to licence revocations and criminal referrals, backed by unannounced inspections.
