• Business - Economy
  • Updated: May 24, 2024

BDCs' recapitalisation: ABCON faults CBN's directive

BDCs' recapitalisation: ABCON faults CBN's directive

The Association of Bureau De Change Operators has decried the Central Bank of Nigeria’s fresh recapitalization requirements for its members amid the foreign exchange crisis.

Aminu Gwadebe, ABCON president, made this known on Thursday at the 8th edition of the Vanguard Economic Summit.

Recall that the CBN announced a fresh guideline for BDC operators in Nigeria on Wednesday.

The apex bank ordered all BDC operators to re-apply for licenses, increasing the minimum capital requirement for tier-1 and tier licenses to N2 billion and N500 billion, respectively.

However, Gwandabe has called for a review of the CBN’s directive for BDC operators to increase their capital base, saying it is against global standards.

“You increased the capital from N10 million to N35 million in 2014, and now you are raising the capital base of BDCs from N35 million to N500 million for Tier 2 operators and N2 billion. It’s highly against the global standard,” Gwadabe said.

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