[Abuja]–The Central Bank of Nigeria had mandated all commercial banks to process and meet foreign exchange demands of retail customers within 24 to 48 hours of application.
The CBN gave this mandate in a circular to all banks signed by the Director, Financial Markets Developments, Mr. Alvan Ikoku.
The circular titled “Update to Foreign Exchange Directives”, stated that all banks must now process foreign exchange demand for Personal Travel Allowance (PTA) and Business Travel Allowance (BTA) in all their branches within 24 hours, while school fees medicals and others, would not exceed 48 hours before disbursements are made.
It further included that, “All banks must have an electronic display board in all their branches, showing rates of all trading currencies, and customers must insist on processing FX transactions based on the displayed rates.”
The CBN included that the “directive is effective immediately and non-compliance would attract sanctions including but not limited to being barred from all future CBN exchange intervention”.
The new directive, which came as part of reforms in the Forex market is to increase liquidity and availability of Forex to end users and reduce the overbearing pressure on the Naira.Please Follow Us @ThePageNg