The CBN is introducing a new digital system to track every dollar sold by Bureau De Change (BDC) operators, marking its latest effort to tighten oversight of the country’s retail foreign exchange market.
Under new operational guidelines issued on July 15 to authorised dealer banks and licensed BDCs, the apex bank unveiled a centralised electronic platform that will monitor foreign exchange transactions from the moment a BDC requests dollars from a bank until those funds are sold to customers.
Known as the FX BDC Purchase Tracker (FXBT), the platform will require BDC operators to submit transaction data in real time or on the same day, giving the CBN greater visibility into how official foreign exchange is bought, allocated and used.
The new system builds on the central bank’s February decision to allow licensed BDCs purchase foreign exchange directly from authorised dealer banks through the Nigerian Foreign Exchange Market (NFEM), a policy aimed at improving liquidity in the retail forex market. While that move reopened access to official dollar supplies, the FXBT is designed to ensure those funds are closely monitored from start to finish.
By digitising the process, the CBN will be able to track every purchase request, approval and settlement. The system is expected to help the regulator identify operators that exceed the weekly purchase limit of $150,000, obtain allocations from multiple banks or divert official foreign exchange into unauthorised channels.
The initiative is part of the CBN’s broader drive to improve transparency in Nigeria’s foreign exchange market by replacing fragmented reporting with transaction-level monitoring.
The central bank has steadily tightened regulation of the BDC sector in recent years. In December 2025, it issued the first batch of final licences to 82 Bureau De Change operators under its revised 2024 regulatory framework, part of efforts to curb unregulated street trading, improve market integrity and restore confidence in the sector.
Since the foreign exchange reforms introduced in June 2023, the CBN has focused on creating a more market-driven exchange rate while strengthening oversight. The latest framework adds a digital layer to those reforms, allowing regulators to monitor liquidity, enforce compliance and detect irregularities in real time.
The new guidelines also place greater responsibility on banks. Before selling foreign exchange to any BDC, authorised dealer banks must carry out comprehensive Know Your Customer (KYC) and customer due diligence checks. They are required to verify beneficial ownership, retain incorporation documents and conduct enhanced checks on higher-risk operators. Banks are prohibited from selling foreign exchange to any BDC that fails to meet these requirements.
In effect, banks become the first line of regulatory enforcement, helping the CBN identify potential compliance issues before transactions take place rather than after the fact.
At the same time, the framework prevents banks from forcing BDCs into exclusive business relationships. Operators remain free to purchase foreign exchange from any authorised dealer bank of their choice.
Under the new process, BDCs must submit purchase requests electronically through the FXBT portal. Banks are required to acknowledge requests within two business hours and communicate approvals or rejections through the same platform.
The CBN has also introduced stricter rules on how official foreign exchange can be used. Any dollars purchased through the NFEM that remain unsold after the approved utilisation period must be returned to the market within 24 hours. Operators that fail to do so risk losing the unused funds and may also forfeit future access to official foreign exchange allocations.
BDCs must also declare any previously unused balances before submitting fresh purchase requests, a measure aimed at discouraging speculation and preventing operators from holding onto dollars in anticipation of favourable exchange rate movements.
In addition, all transactions between banks, BDCs and customers must now be settled through accounts held with licensed financial institutions. Third-party transfers are prohibited, meaning foreign exchange purchased by a BDC can only be credited to its registered settlement account. Any transfer outside that account will be treated as a regulatory violation.
The CBN said all authorised dealer banks and licensed Bureau De Change operators are expected to comply with the new guidelines with immediate effect.