Forex traders in Lagos and Abuja, once busy exchanging dollars, pounds, and euros, now sit idle.
They struggle to survive after the Central Bank of Nigeria (CBN) cut off their dollar supply.
Forex Traders Fight To Survive
The CBN halted sales in 2021, accusing some BDCs of money laundering and illegal transfers.
Later, it briefly resumed sales in 2024 after revoking over 4,000 licences, but it quickly stopped again.
“Income has dropped sharply, and the market is disorganised,” said trader Abubakar Ardo.
“Moreover, most customers prefer online transfers or IMTOs over physical cash exchanges.”
Market Liquidity Weakens
Consequently, many BDCs have closed or reduced staff.
Others rely on small walk-in customers selling limited foreign currency.
This slowdown affects more than traders.
Reduced BDC activity weakens liquidity in Nigeria’s retail forex market.
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As a result, small businesses and travellers struggle to access foreign currency.
Hopes For CBN Re-engagement
President of the Association of BDC Operators of Nigeria (ABCON), Aminu Gwadebe, said most members face near extinction.
However, he added, ongoing discussions with the CBN aim to restore active BDC participation.
“We remain hopeful,” he said.
BDC operators previously served as a vital link between CBN policies and retail-level liquidity.
Without them, the market experiences dislocation and uncertainty.
For now, the sector survives in survival mode.
Counters remain quiet, income flows slowly, and traders await a clear path from the CBN to regain their role in the market.
