The Association of Bureau De Change Operators of Nigeria (ABCON) says the expected recovery is due to the introduction of Travelex, a licensed Forex dealer. The President of ABCON, Alhaji Aminu Gwadabe, said Travelex would enhance transparency in the distribution network.
Travelex, an international money transfer organisation, was officially directed by CBN to distribute Forex to Bureaux De Change operators by Monday. Gwadabe said that Forex distribution would be efficient and uniform across ABCON members, unlike what was obtainable in the past.
“Against this background, the naira is expected to be on a recovery path from Monday as the distribution of Forex to BDCs will boost liquidity in the market. The boosting of liquidity in the market will dampen the fears of investors and market speculators, thereby raising their confidence in the market.This is a purely ABCON and Travelex arrangement, and has the capacity of removing the bottlenecks in the Forex distribution chain. Travelex has the technology to pay about 1,000 BDCs within two hours. The new arrangement also eliminates relating with bank account officers.”