On Monday, the Economic and Financial Crimes Commission (EFCC) launched an unexpected operation in the bustling Wuse Zone 4 district of Abuja, targeting Bureau De Change (BDC) operators suspected of engaging in illicit financial activities. The swift and decisive action led to the apprehension of an undisclosed number of individuals involved in the BDC trade.
Eyewitnesses and traders in the vicinity, who were intimately familiar with the dynamics of BDC operations, recounted the events that unfolded during the midday raid. The sudden intrusion by EFCC agents instigated a palpable sense of chaos and anxiety among the local populace, as the normally bustling area was engulfed in a flurry of activity and commotion.
Despite the apprehension caused by the raid, some BDC traders bravely confirmed the occurrence of the operation to media correspondents, shedding light on the disruptive nature of the event and its repercussions on their daily business activities.
In a parallel development, the EFCC continued its crackdown later that Monday afternoon, extending its reach to other areas of the city. Additional traders were apprehended in subsequent raids, with reports indicating that those detained were released on bail upon payment of fines ranging between ₦30,000 and ₦50,000.
The series of raids underscored the EFCC’s unwavering commitment to combat financial crimes and ensure compliance with regulatory standards within the BDC sector. The enforcement actions serve as a stern warning to individuals engaging in illegal financial activities, emphasizing the consequences of flouting the law and violating established regulations.
As the dust settles on the events of Monday, residents and traders alike remain vigilant, acutely aware of the heightened scrutiny and enforcement measures being implemented in the wake of the EFCC’s crackdown on illicit financial activities.
One of the traders who pleaded anonymity due to the sensitivity of the issue said the arrest affected trading activities at the market.
He said, “EFCC just raided the market, arresting many operators. They arrested some persons seen on the street and even pursued some persons to their offices. We are still looking for ₦30,000 or ₦50,000 to bail those arrested on Friday yet they came again today.”
The development was part of ongoing efforts by the EFCC and the CBN to restore exchange rate stability and boost forex liquidity.
Last Friday, the EFCC in a statement said it arrested 34 suspected currency speculators for alleged foreign exchange fraud.
Despite these efforts, the naira began the week on a negative note against the United States dollar closing at ₦1419.11/$ on Monday indicating signs of a turbulent week.
In Monday’s trading session, the official market saw the naira facing losses, marking a depreciation of ₦58 or 4.3 per cent compared to its trading value last Friday, dropping from ₦1,361 to ₦1,419 against the dollar. This decline is indicative of heightened demand for the greenback.
During Monday’s trading, the naira reached an intraday high of ₦1,451, up from ₦1,410 per dollar on Friday. Similarly, the intraday low appreciated to ₦1,060 on Monday, compared to ₦1,051 per dollar quoted during spot trading on Friday.
A significant FX transaction worth $147.83 million was executed during the trading session.
Following a consistent ascent over a 14-day period ending on April 19th, where the naira strengthened to ₦1,120/$1 from a previous rate of ₦1,470/$1 on March 25th, the currency experienced a six-day depreciation, dropping by ₦310 or 21.68 per cent, and stabilizing at ₦1,430/$1 by April 26th.
However, this downward trend reversed towards the end of the trading week, with the naira regaining strength by 2.14 per cent and further appreciating by 3.70 per cent by Monday.
In the official market, the naira followed a similar trajectory, depreciating by ₦169.24 or 12.64 per cent to close at ₦1,339.23/$1 on April 26th, down from ₦1,169.99/$1 on April 19th, and continuing its decline over the subsequent seven trading days at the NAFEM window.
Currency traders in the bustling Zone 4 market reported selling the dollar at ₦1,340 per dollar, compared to ₦1,275 over the weekend.
