Nigeria’s economic failures create opportunities for terror financing, says Kurfi on BDC involvement.

Dr Bashir Kurfi, a lecturer in International Finance at Ahmadu Bello University (ABU) in Zaria, explained that accusations of some Bureau De Change (BDC) operators being involved in terrorism financing are not unexpected, given the global reach of terrorism and the frequent use of foreign currencies in illicit transactions.

During an interview on Trust TV on Wednesday, Kurfi noted that terrorist groups such as Boko Haram and the Islamic State West Africa Province (ISWAP), which operate throughout the Sahel region, rely on international financial networks to transfer money.

“When you talk of terrorism, it has an international dimension. Groups like Boko Haram and ISWAP have networks across countries, so there will naturally be international movement of funds,” he said.

Addressing reports from the United States that some Nigerian BDC operators have been linked to suspicious financial activity, Kurfi said BDCs can easily be used for illicit purposes because they primarily handle cash and foreign currencies.

“Bureau De Change operators can become a vehicle because they handle cash and different currencies. The US dollar remains the dominant currency in international transactions, including illegal ones,” he added.

Kurfi blamed Nigeria’s fragile economy and weak political leadership for the growing preference for the dollar over the naira.

“The currency of a country is its dignity. Once it loses value and public confidence, people begin to look for alternatives,” he stated.

He also linked the naira’s weakness to Nigeria’s heavy reliance on imports, noting that even local industries depend on imported raw materials.

The economist further connected insecurity in certain parts of the country to illegal mining, saying that mineral resources have fueled conflicts in several African nations.

“There is a relationship between banditry and mining. In many conflict areas, valuable mineral resources help sustain violence,” he said.

Kurfi called for tighter regulation of the financial sector, better economic policies, and closer monitoring of mining activities to reduce insecurity and curb illicit financial flows in the country.