The Central Bank of Nigeria (CBN) has extended the deadline for Bureau De Change (BDC) operators to meet new recapitalisation rules.
The revised deadline is now December 31, 2025. This new date gives BDCs an additional 18 months to comply with the capital requirements introduced earlier this year.
The extension was shared in a group chat among licensed BDC operators after the second recapitalisation deadline, which was June 3, 2025, passed with many operators still not meeting the target.
The first deadline had been set for December 3, 2024. However, the CBN moved it by six months to allow more operators time to raise the required funds.
CBN’s Recapitalisation Framework Divides BDCs into Two Tiers
In February 2024, the CBN rolled out a new two-tier recapitalisation framework to improve transparency and standardise operations in Nigeria’s foreign exchange market. Tier-1 BDCs must raise a minimum of ₦2 billion in capital. These operators will have licenses to function nationwide, allowing them to serve a broader range of customers.
Tier-2 BDCs, on the other hand, are required to raise ₦500 million. They will be restricted to operating within a single state. This system is meant to separate large-scale operators from smaller, local BDCs and ensure that only financially stable businesses continue to operate in the sector.
Aminu Gwadabe, President of the Association of Bureau De Change Operators of Nigeria (ABCON), shared concern about the low level of compliance. Many BDCs are still struggling to meet the required capital levels.
Some blame the ongoing economic hardship in the country and the weaker value of the naira. In the past year, the naira has experienced several fluctuations, affecting both demand for foreign exchange and BDC profitability.
More Changes Expected as CBN Tightens Regulation
This deadline extension is part of a larger effort by the CBN to clean up Nigeria’s financial system and reduce illegal forex dealings. The apex bank wants BDCs to operate with stronger internal controls and capital reserves. This move is also intended to prevent operators from manipulating exchange rates and hoarding dollars.
Meanwhile, some BDC owners are reportedly seeking joint ventures and external funding to meet the new capital demands. Others may opt to downgrade to Tier-2 status to avoid the higher ₦2 billion capital requirement. Whichever route they choose, operators must now act fast to meet the new deadline.
As compliance continues to lag, the CBN may also introduce more checks to confirm that BDCs genuinely meet capital standards. Experts believe that if the policy is enforced strictly, the Nigerian foreign exchange market could become more stable and investor-friendly by 2026.
For BDC operators or financial professionals managing business operations or accounting needs, this Amazon business calculator might come in handy for quick, on-the-go currency conversions and cashflow planning.
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