The Central Bank of Nigeria, CBN, has accused several commercial banks in the country of making illegal gains on the forex market.
Acting Director, Trade & Exchange, W.D. Gotring, in a circular to authorised dealers titled: Re: Transactions in ‘Free Funds’ by Authorised Dealers’, accused banks of buying and selling forex without following stipulated guidelines.
“The CBN has noticed that some Authorised Dealers have continued to buy and sell foreign exchange referred to as ‘free funds’ despite the provision of the circular of March 4, 2004 on the subject,” he said.
He cautioned the lenders that their action is a breach of extant regulations, and said they will be punished if they failed to quit the act.