CBN’s FXBT: A New Era of Forex Oversight
By Zekeri Idakwo Laruba
For years, Nigeria’s foreign exchange market has been characterized by persistent instability, widening gaps between official and parallel market rates, speculative trading, arbitrage opportunities, and recurring concerns over transparency in the allocation and utilization of foreign exchange. Despite numerous policy interventions by the Central Bank of Nigeria (CBN), the country’s forex ecosystem has continued to grapple with structural weaknesses that often undermine confidence among businesses, investors, and ordinary citizens.
One of the most contentious aspects of the market has been the role of Bureau De Change (BDC) operators. While BDCs serve as critical channels for retail foreign exchange transactions, regulators have repeatedly expressed concerns about round-tripping, speculative hoarding, multiple allocations, and inadequate monitoring mechanisms. In several instances, foreign exchange supplied through official channels was alleged to have found its way into the parallel market, fueling distortions rather than easing pressure on the naira.
These concerns have become even more pronounced as the CBN pursues broader reforms aimed at unifying exchange rates, improving market transparency, and attracting foreign investment. Against this backdrop, the apex bank has introduced what may be one of the most significant technology-driven regulatory interventions in the history of Nigeria’s retail foreign exchange market, the Foreign Exchange Bureau De Change Purchase Tracker (FXBT).
According to the July 15, 2026 circular signed by the Director of the Trade and Exchange Department, Aderinola Shonekan, the FXBT was introduced to provide “real-time transaction data…
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Read Full Article by Hafsat Ibrahim at economicconfidential.com
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