President of the Association of Bureau de Change Operators of Nigeria, Aminu Gwadabe, has called on the central bank to have a paradigm shift from demand to supply measures which includes focusing more on diaspora remittances. Speaking to Breakfast Connect on Africa Business Radio, Gwadabe described diaspora remittances as the “new oil”, which data from Nairametrics shows rose by 56.4% to $17.57 billion in 2019 from $11.23 billion in 2018. According to the ABCON president, diaspora remittances are consistent, stable and cheap. He says BDCs should also be allowed to be carry out remittances, like deposit money banks.
He also noted that 95% of the more than 5,000 CBN licenced BDCs across the country are out of business due to coronavirus. In our discussion, Gwadabe also showed support for the unification of the exchange rate, which, according to him, breeds inefficient resource allocation.