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Makarfi Flays New CBN’s BDC Policy, Says It’s Unjust, Unfair, Unequitable

The new plan by the Central Bank of Nigeria (CBN) to bench the capital base for Bureau de Change (BDC) operations at N35 million has come under heavy bashing from the Chairman, Senate Committee on Finance, Senator Ahmed Makarfi.

Describing the policy as unjust, unfair and inequitable, Makarfi, while answering questions from journalists in Abuja yesterday said the policy should be optional, noting that operators of BDC would be running at a loss if such a high capital base is set for them.

According to him, CBN could only justifiably raise the capital base of BDC if operators in the market would not have to make the bulk of their purchase from the government adding that if capital base is set for operators in foreign exchange (forex) market, they must be free to make their purchase wherever they choose to do it.

He argued that in foreign countries, whereas governments can sell forex to BDCs with a view to regulating the market, whatever they sell is however, dependent on what they buy, submitting that capital base should be set for only those who want to buy from the government but the policy must not be binding on those who choose to make their purchase elsewhere.

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