The Director of Monetary Policy, Central Bank of Nigeria (CBN), Moses Tule has accused Bureau De Change operators in Nigeria of doing business the wrong way in the foreign exchange market.

Mr Tule, while speaking to Channels Television, disclosed that the Bureau De Change (BDC) operators are not supposed to be huge dealers in the foreign exchange market, but meet the needs of people who desire foreign exchange in very small quantities.

He explained that the BDCs are going against the terms of agreement in their licence.

The Director said that the BDC was established “to take people off the street into organised offices and structures around the foreign exchange market”.

“Here we are, we have Bureau De Change that are making huge volume transactions in foreign exchange, contrary to the terms of their licence.”

He also revealed that the Bureau De Change have taken a life of their own, saying they take actions that threaten the decision of the CBN.

“The Association of Bureau De Change Operators, which is supposed to serve as a self-regulating association, has taken on an entire life of its own and they act as a trade union, making demands that the Central Bank reverses its policy.

“Anytime there is a policy by the bank that affects BDCs, the very next moment you see them raising rates in order to threaten the institution to call them to discussion to rescind the decision,” Mr Tile said.

He urged everyone affected by the monetary policies to make sacrifices, saying the BDCs would not be an exception.

Mr Tule also revealed that Nigeria is going through very unusual times as the government revenues and reserves are extremely very low because of the low prices of oil.

He said that there was a need to improve the demand management side of reserves and encourage Nigerians to produce for exports, in order to build a stock of reserves.

“As long as you are not increasing new reserves or you are building up new reserves by reason of increased exports, at a point you will run out of reserves and you will have no option than to invite the IMF,” Mr Tule said.