The Economic and Financial Crimes Commission (EFCC) has sounded a strong warning to Bureau De Change (BDC) operators and other financial stakeholders, urging strict adherence to Nigeria’s financial laws and cautioning against illegal cash movements across borders.

Speaking during a joint sensitization event in Kano on Saturday, EFCC Chairman Ola Olukoyede, represented by the Kano Zonal Director CE Ibrahim Shazali, stressed the critical threat that illicit financial flows pose to Nigeria’s economy.

Olukoyede reminded participants that under Section 3(3) of the Money Laundering (Prevention and Prohibition) Act, transporting cash exceeding $10,000 without proper declaration is a criminal offense.

He also emphasized that Section 18 of the Act mandates BDC operators to promptly report suspicious transactions to the Nigeria Financial Intelligence Unit (NFIU).

He warned that any failure to declare large cash movements to the Nigeria Customs Service would attract severe legal consequences, including heavy fines, imprisonment, and asset forfeiture.

“Nigeria, as a signatory to international anti-money laundering conventions, has established strict regulations to control the movement of cash in and out of the country. The Central Bank of Nigeria Act, the Money Laundering Act, and the EFCC Establishment Act provide clear rules on cash declarations and penalties for violations,” Olukoyede said.

Despite these measures, he noted that illegal cash movements by businessmen, pilgrims, and tourists persist, often due to ignorance or deliberate attempts to avoid scrutiny.

He reaffirmed that the EFCC, working closely with the Nigeria Customs Service (NCS) and the Independent Corrupt Practices Commission (ICPC), is committed to clamping down on offenders and protecting Nigeria’s financial system from further harm.

The sensitization program, organized in partnership with the NCS and ICPC, aimed to educate financial operators and travelers on the risks and penalties tied to cross-border cash smuggling.

Representatives from the collaborating agencies urged all stakeholders to prioritize financial integrity, report suspicious activities, and uphold national economic interests over personal gain.

“Compliance is not optional; it is a legal and patriotic duty. Together, we can curb illicit financial flows and strengthen Nigeria’s economic security,” Olukoyede emphasized.

Meanwhile, in February 2025, the Central Bank of Nigeria (CBN) introduced new forex guidelines that allow BDCs to purchase up to $25,000 weekly from a single Authorized Dealer Bank (ADB) to meet demand for eligible invisible transactions.

The policy aims to tighten control over forex distribution, discourage speculation, and stabilize the market.

BDCs are required to buy from only one ADB per week, and any violation of this rule would attract sanctions.

The CBN also directed that foreign exchange be sold to BDCs at the prevailing rate in the Nigerian Foreign Exchange Market (NFEM) window to ensure price consistency and reduce volatility.

As enforcement intensifies, authorities are doubling efforts to ensure that all players in the financial system operate transparently and in full compliance with the law.