Challenges in Forex Bureaus as Rwandans Seek US Dollars

Afaf Fahchouch
Afaf Fahchouch
3 Min Read
DOLLARS

In the midst of various national developments, particularly in the city of Kigali, reports have emerged of the fluctuating value of the US Dollar in local Forex Bureaus. The market has witnessed significant demand for American Dollars, yet obtaining them has become increasingly challenging, with some traders expressing reluctance to sell.

To gain insights into this situation, Kigali Today reached out to the National Bank of Rwanda, seeking clarification on the matter. The Governor of the National Bank of Rwanda, Mr. John Rwangombwa, emphasized that these reports are not entirely accurate.

While there has been an increased demand for US Dollars, it does not signify a scarcity in the market, as some have suggested. He further stated that, since the beginning of July this year, the number of people seeking US Dollars has significantly risen. Still, it does not mean that those who wish to sell them have been deterred.

Governor Rwangombwa explained, “Not all reports are accurate. The US Dollar has not significantly disappeared from the market to the point where its availability is scarce. On the contrary, since July this year, the number of people seeking US Dollars has been on the rise. Those who have expressed reluctance to sell may be few, but the market continues to function. Those who claim there is a shortage are mistaken. We witness transactions of millions of US Dollars every week. So, the question is whether it is indeed in short supply, as some suggest. What has been observed is in line with the previous months, such as July and August.”

However, Governor Rwangombwa acknowledged that there have been challenges within the Forex Bureaus, particularly with some individuals who possess US Dollars but are unwilling to part with them. This has led to discrepancies and increased prices.

He added, “In a single week, we conducted inspections, and as a result, three Forex Bureaus have been suspended, while ten others face sanctions, including the withdrawal of licenses.”

It is worth noting that individuals who refuse to sell US Dollars can encounter legal consequences. Some have taken to refusing to trade with such individuals, hoping that this will motivate the reluctant sellers to change their stance.

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