“We Have a Solution”: ABCON Makes New Proposal to CBN To Save Naira From Further Depreciation

“We Have a Solution”: ABCON Makes New Proposal to CBN To Save Naira From Further Depreciation

  • Aminu Gwadebe has revealed ABCON's readiness to work with Yemi Cardoso, the CBN governor, to save the Naira from further depreciation
  • Naira depreciation has become a significant concern for the CBN, and ABCON aims to provide a solution
  • In a chat with Legit.ng he also clarified reports about plans by Bureau De Change operators to close businesses due to shortage of dollars

Legit.ng journalist Dave Ibemere has over a decade of experience covering Tech, Energy, Stocks, Investments, and the Economy.

Aminu Gwadebe, the president of the Association of Bureau De Change Operators of Nigeria (ABCON), has called on the Central Bank of Nigeria (CBN) to harness the strengths and extensive network of Bureau De Change (BDC) operators in a strategic effort to enhance the stability of the Nigerian Naira.

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naira to dollar exchange rate
ABCON is ready to help CBN find a solution to the Naira Photo credit: ABCON
Source: Getty Images

Gwadebe said due to the nation's substantial forex challenges, allowing BDCs to play a more active role in the economy could be instrumental in addressing these challenges.

Gwadebe also highlighted the significance of recognising and leveraging the unique network of BDC operators.

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A statement shared with Legit.ng reads:

“We understand that it is a national issue. That it is a national epidemic because we have poor reserves. But with the new reforms taking place on the supply side, we (hope) we will be welcome on board. This is our expectation and we are confident that the regulators will listen to us.
“We are also telling the central bank that if it wants to bring down the exchange rate, the Bureaus De Change remain the most acceptable.
"We are urging the central bank to utilise the strength and network of BDCs. It will help them to achieve their aim.”

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BDCS closing business

Reacting to reports of BDC operators closing business in Abuja, Gwadebe clarified that the association had nothing to do with it.

He also added there were no government plans to stop BDCs from operating.

He noted:

“No government shut down and our members didn’t shut down because we have not issued that directive. You know in this country, once they hear Bureau De Change, they assume that we all mean the same. That arrangement is not from the national body of ABCON.”

ABCON finally exposes reasons behind naira depreciation

Meanwhile, Legit.ng earlier reported that Bureau de Change operators raised alarm that some Nigerians were hoarding their savings in the US dollar due to the depreciation in the value of the Naira.

Speaking on this, Gwadabe said there was a need for the FX market to be liquid.

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The ABCON boss also noted that the $2.2 billion released by Afrexim Bank was insufficient to stimulate the market and significantly impact Naira's value.

Source: Legit.ng

Dave Ibemere avatar

Dave Ibemere (Senior Business Editor) Dave Ibemere is a senior business editor at Legit.ng. He is a financial journalist with over a decade of experience in print and online media. He also holds a Master's degree from the University of Lagos. He is a member of the African Academy for Open-Source Investigation (AAOSI), the Nigerian Institute of Public Relations and other media think tank groups. He previously worked with The Guardian, BusinessDay, and headed the business desk at Ripples Nigeria. Email: dave.ibemere@corp.legit.ng.

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