Approximately 1,500 Bureau De Change (BDC) operators across Nigeria are at risk of shutting down following the expiration of the Central Bank of Nigeria’s (CBN) recapitalisation deadline on Tuesday, June 3, 2025.
The CBN’s directive requires Tier 1 BDCs to raise their minimum capital to N2 billion, while Tier 2 operators must meet a N500 million benchmark. However, the Association of Bureau De Change Operators of Nigeria (ABCON) revealed that over 95 percent of its members failed to meet the new capital thresholds within the one-year compliance window.
ABCON President, Aminu Gwadabe, described the situation as a major shake-up for the industry, warning of widespread job losses and the likely growth of unregulated parallel market activities.
“Not more than five percent of operators have met the recapitalisation requirement,” Gwadabe said. “Without an extension, over 1,500 operators face extinction, and the impact on employment and financial inclusion could be devastating.”
He added that while the CBN had shown interest in stakeholder engagement, the recapitalisation policy and the short timeline had placed overwhelming pressure on smaller operators.
Stakeholders in the financial sector have expressed concern about the looming economic implications, including the loss of up to 3 million direct and indirect jobs and increased informal forex transactions if the BDC shutdowns proceed.
ABCON is now calling on the apex bank to consider a phased or extended implementation to allow more operators time to comply and adapt to the new regulatory framework.
