Bureau de Change (BDC) operators in Nigeria have lauded President Bola Ahmed Tinubu’s tax reform bills, describing them as a positive step toward economic stability and governance efficiency.
The Chairman of the North Central Zone of the Association, Mr. Thomas Okoye, made this commendation during a public hearing on the tax reform bills organised by the House of Representatives Committee on Finance in Abuja.
Okoye also praised the National Assembly for its commitment to enacting effective tax reforms that will drive economic growth, ensure the successful implementation of the Renewed Hope Agenda, and enhance governance at all levels.
He said that the lawmakers are doing a great job of reaching out to all stakeholders in advancing the bill.
“May we also use this opportunity to congratulate the members of the 10th National Assembly on some of the feats achieved so far, like the reduction in inflation and appreciation of the Naira exchange rate through the use of licensed Bureaux de Change in the retail end of the market,“ Mr. Okoye said.
He noted that the generality of the tax bills is commendable.
He pointed out that so far, there are things to be finalised on the bill, which was the reason for the public hearing.
He, however, called for an exchange rate tax exemption for the association to curb inflation in the country.
“For us, of course they are doing a good thing, but, regarding our side of the business and the association, we are strongly in line with the fact that they should exempt us. They have done it before with the Federal Inland Revenue Service, FIRS, in exempting the volume of transactions that we do, which, without any doubt, they still have the power to do whatever is needed of them. But, looking at the way the economy is, if they don’t exempt us in the exchange rate transaction, it’s not just the fact that it will pop up the inflation; of course it will affect the ratio of dollars in the market,“ Okoye said.
He said that the Central Bank of Nigeria, through its intervention, has been able to stabilise the market rate.
“And we are still hoping it will come down more with the help of the government and the regulators. Right now you will see that the volatility of the market has reduced and is reducing every day. It is teamwork. I bet you that between now and next year, the new reforms and the way and manner they are going about it and making sure that everything is put in place, we will see a very drastic drop in the rate.
“We hope that the Central Bank will be of help to the masses, especially to us the operators, in bringing this recapitalisation figure to a minimum rate that will be affordable to all of us. Putting it as it is right now at the rate of five hundred million for tier two licenses, which is within a state license and then two billion for a wide license. It’s too much a burden on us because we were at thirty-five million license holders and from thirty-five million naira license holders to five hundred million. It’s a very big hike. Not that what they are doing is not good, but we hope they will understand that Rome was not built in a day,“ he added.
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