Redesign of naira: Dollar crunch hits BDCs, sells at N818/$


After the announcement by the central Bank that a new currency will be rolled out by December, the naira fell to N818/$1 at the parallel market on Monday in Abuja and N815 in Lagos as it continued to lose its value.

Redesign of naira: Dollar crunch hits BDCs, sells at N818/$

Investigations revealed that the naira is currently under high selling pressure in the black market following CBN’s announcement that the newly redesigned naira notes would start circulating in the economy from December 15, 2022.

Since the Central Bank made this announcement last week, the naira has fallen from its initial record low of N765/$1, losing over N53 in five days, further piling pressure on the local currency.

One of our correspondents who visited the popular Bureau De Change hub at Wuse Zone 4, Abuja reports that several customers came looking for dollars but had difficulty accessing it.

Some of the offices visited included AA Funtua BDC, Mourison BDC, Wireless Resources BDC, Bani Mbaka BDC, Amfani Girma BDC and others.

Our correspondent who also posed as a customer to purchase $10,000 couldn’t get any BDC who had up to that amount of dollars to sell. Some of the BDCs said they didn’t even have $5,000 to sell.

Some of the operators confirmed there was a spike in demand following the CBN’s announcement that it will introduce new currencies.

Operators said they’ve seen an unusual demand and mop-up in the past few days.

One of the operators who identified himself as Ismailia Yusuf said the US dollar was very scarce. He also said the EFCC had visited the BDCs to scavenge for those offloading naira for dollars.

He couldn’t confirm if arrests were made but he did say operators were careful of exchanging huge amounts of naira for dollars.

It was not immediately clear if the scarcity is also a result of operators hoarding the dollars to create more scarcity and make more profit.

Another operator, Nura, said before the announcement by the CBN, they could do an exchange for up to $500,000 and sometimes $1m exchange but it’s no longer possible.

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