LAGOS – To ensure the industry overcome its current challenges, the Association of Bureaux de Change Operators of Nigeria (ABCON),yesterday emphasized the need for the Central Bank of Nigeria(CBN) to exempt bureau de change operators from payment of Value Added Tax (VAT).
The association’s president, Alhaji Aminu Gwadabe, stated this in his speech at the launch of the ABCON live run automation project in Lagos.
He said the association should also be exempted from Commission on Turnover (COT), reduce BDCs annual license renewal fee and also expand their scope of transactions,lamented that the BDC sector has been confronted with many challenges that have continued to defy solutions.
According to him,some of the challenges include multiple exchange rate, abnormal bank charges, Value Added Tax (VAT) and Commission on Turnover (COT), parallel market operators and illegal International Money Transfer Operators (IMTOs), porous international borders, complex documentation requirements and poor capacity/ skills of operators.
He said these hitches have negative impact on BDCs’ efforts toward compliance to statutory and regulatory requirements, adding that six units within the CBN are involved with BDC regulations, supervision, licensing, monitoring.
He, however, stated that the association currently has an understanding the Federal Inland Revenue Service (IFRS) where members now pay five per cent of commission made from their transactions.
Speaking on the launch of the automation project, Gwadabe said the portal will sustain transparent transactions in the BDC corridor, boost the morale of operators and ensure continuous operations in ABCON.
“The ABCON has fully upgraded its Information Communication and Technology (ICT) platforms, to achieve full digitization of BDCs operations in line with its goal of sustaining transparent operation and prompt rendition of weekly returns to regulatory agencies.
“Of special note is also the integration of our platform to immigration platform for the verifications of international passport. Already, we are in advance engagement with the Irish technology experts for the achievement of this idea”, he said.
On deepening capacity and skills of industry operators, Gwadabe said the association is appealing to the CBN to issue Letter of Consent for its proposed training institute.
“This is going to boost the current ABCON Management commitment in building capacity for its members and to stimulate competency in the sector”, he said.
Source: independent
