Economist Warns Nigeria's Weak Economy Fuels Terror Financing via BDCs
Dr Bashir Kurfi, a lecturer in International Finance at Ahmadu Bello University in Zaria, said allegations linking some Bureau De Change (BDC) operators to terrorism financing are not surprising, given the international nature of groups like Boko Haram and ISWAP. Speaking on Trust TV on June 25, 2026, he explained that terrorist networks depend on international financial systems to move funds, and BDCs—because they handle cash and foreign currencies, especially the US dollar—can be exploited for illicit flows.
Kurfi blamed Nigeria’s weak economy and poor political leadership for the growing preference for the dollar over the naira, noting that a currency losing value and public confidence pushes people to alternatives. He tied the naira’s weakness to the country’s heavy reliance on imports, adding that even local industries need imported raw materials. He also connected insecurity in parts of Nigeria to illegal mining, saying valuable mineral resources in conflict areas help sustain violence, just as they have in other African nations.
To curb illicit financial flows and insecurity, Kurfi urged stronger regulation of the financial sector, better economic policies to stabilise the naira, and closer monitoring of mining activities nationwide.
Will stronger BDC oversight and economic reforms reduce the risk of terror financing, or will underlying structural weaknesses keep the naira—and Nigeria—vulnerable to exploitation?