ABCON seeks higher transaction margin for BDCs

The Association of Bureaux de Change Operators of Nigeria (ABCON) yesterday demanded for higher transaction margins for Bureaux De Change (BDCs) as being practiced in other parts of the world.

Speaking during the ABCON Live Run Automation Project launch in Lagos, ABCON President, Aminu Gwadabe, said 10 per cent transaction margin is the common practice across the world, but Nigeria BDCs only get about one per cent.

He said the automation of BDCs’ operations is a good step needed to get the regulators consider raising the transaction margin for Nigerian BDCs.

Gwadabe who spoke on the theme: Digitizing  BDC Operations for Efficiency, Transparency and Regulatory Compliance, said the project will enhance BDCs compliance with set regulations and promote market integrity.

The event was attended by representatives of the Central Bank of Nigeria (CBN), Nigeria Interbank Settlement System (NIBSS), Travelex Nigeria, Nigerian Financial Intelligence Unit (NFIU) among others.

Also speaking on the transaction margin, General Manager, Travelex Nigeria, Tony Enwereji, said that in other countries where the company operates, transaction margin is always around six per cent.

He said the automation of BDCs operations is expected to lead to transaction margin raise for Nigerian operators.

Gwadabe explained that the portal will sustain transparent transactions in the BDC corridor, boost the morale of operators and ensure continuous operations in ABCON.

He said that the era of manual filling of returns is over with the new portal.

He said ABCON has fully upgraded its Information Communication and Technology (ICT) platforms, to achieve full digitization of BDCs operations in line with its goal of sustaining transparent operation and prompt rendition of weekly returns to regulatory agencies.

“Of special note is also the integration of our platform to immigration platform for the verifications of international passport. Already, we are in advance engagement with the Irish technology experts for the achievement of this idea”. “Besides, the ABCON had last year launched the www.naijabdcs.com. A website that displays foreign currency rates thrice daily to serve as a reliable platform for local and international investors, who will rely on it to access uniform forex rate across states, regions and markets nationally,” Gwadabe said. He said the ABCON coordination journey of automation and digitilization of BDCs’ operations started in 2016 with the launch of our www.naijabdcs.com rate display site and its mobile applications which can be downloaded from goggle play store.