The Governor of the Central Bank of Nigeria, CBN, Godwin Emefiele, on Monday paid unexpected visit to some banks in Abuja with the aim of monitoring their rate of compliance while cautioning against selling dollars to eligible travellers above the stipulated price of N360.
The bank branches visited by the governor are Zenith Bank Plc in Maitama, First Bank of Nigeria Limited in the Central Area and United Bank for Africa Plc in Area 3.
Satisfied with the level of compliance, the Governor promised deploying inspectors to continue with the on-site inspection of the lenders.
The CBN had issued the circular to banks directing them to sell foreign exchange over the counter to eligible buyers, who walk into any bank regardless of whether they were customers of the bank or not.
To qualify to access foreign exchange under this regime, such intending travellers must have in their possession valid travelling documents such as visas, passports and air tickets
Emefiele said, “During the weekend, there was a release from the Central Bank of Nigeria that all banks are mandated to sell foreign exchange to anybody that walks into their bank, whether it is a customer or non-customer of that bank. It is the banks’ primary responsibility to provide foreign currencies for travellers out of the country.
“So, all that you need is just your passport, visa and travelling ticket. You are not expected as a customer or non-customer to deposit your documents and go away; you are expected to be attended to over the counter.
“The essence of this visit is to see whether the banks are actually doing what we said they should do. I can say that I am happy, it hasn’t really hit the ground but I would have wished I see a long queue of people trying to buy BTA from the banks.”
Emefiele added that no bank should turn back any eligible traveller who had complied with the laid down requirements, adding that the CBN had given all the banks enough foreign exchange to meet genuine demands of travellers.
He said, “I seize this opportunity to tell all Nigerians that all the banks are stocked with foreign currency and they should not have any problem coming to a bank, and you will see a cubicle for BTA or Bureau De Change.
“You can go there and buy your dollar. The price is N360 to a dollar and you don’t have to be a customer. That is the essence of this. It is symbolic that I see for myself and we will also be talking to the management of the banks.
“We’ve visited three banks, First Bank, Zenith and lastly, UBA. Our examiners will continue the process of on the spot assessment to find out and be sure that people who are travelling get attended to at the counter.”
The CBN governor pointed out that this action has been necessitated to ensure enough liquidity for eligible travellers.
He added, “Nobody should just fall into the temptation of buying BTA or PTA from a bank at more than N360 to the dollar.
“The banks are entitled to their margin, because their margin has been built into it. You don’t have to pay any charge. It’s just N360 to the dollar.”
Some of the bank officials, who received the governor, said that they had fully complied with the directive of the apex bank.
For instance, the Executive Director, North, Zenith Bank Plc, Umar Ahmed, who received Emefiele at the bank’s branch in Maitama, stated that foreign exchange was sold to travellers at the price of N360 to a dollar.
He said, “We have been attending to customers. Currently, we have customers right now that foreign exchange are being sold to.
“The process takes less than five minutes to attend to a customer if all the travel documents are in place.”
When asked if there had been challenges with the implementation of the directive, he said, “We don’t have any challenge, it’s very seamless because the documentation requirements are very minimal and for every traveller, these are basic documents they should have.”
He said Zenith Bank had adequate foreign exchange to meet the demands of eligible travellers.
Meanwhile, in furtherance to the directive by the CBN, ordering the Bureau De Change to begin to access the bank for its forex needs at least thrice weekly, the Apex bank also disclosed that it will double its sale of foreign exchange to the BDCs’ operators.
In a separate statement issued by the Acting Director, Trade and Exchange Department, CBN, Mrs. Onyinye Ahuchogu, the increase in sales is part of efforts to enhance the accessibility of forex to the BDC segment of the market.
She said, “The BDCs are to ensure that their accounts with the banks are duly funded with the equivalent naira proceeds on Tuesdays, Thursdays and Fridays.
Ahuchogu stated that the frequency of sales to licensed BDCs was increased to three times weekly, adding that consequent purchase of forex by the BDCs would be on Mondays, Wednesdays and Fridays, pointing out that authorised dealers shall continue to sell foreign currencies for travel-related invisible transactions to customers and non-customers over the counter upon presentation of relevant travel documents such as passport, air ticket and visa.
She called for strict compliance to the directive to avoid sanctions.