According to the data at the FMDQ Security Exchange where forex is traded officially, the dollar to naira exchange rate stood at (undisclosed).
This would mean that the Nigerian currency either gained or lose in value against the United States dollar, as the foreign exchange (forex) trading closed at N461.42 per $1 on Thursday, June 1.
How much is the dollarto naira at the black market today?
Going by sources at the Bureau De Change (BDC) in Lagos, the dollar to naira last traded between ₦750 and ₦765 with an average of ₦757.50 in the black market in the state.
It is, however, pertinent to note that the Central Bank of Nigeria (CBN) does not recognise the parallel market (black market), as it has directed individuals who want to engage in forex to approach their respective banks.
African trade experts have identified difficult border checks, harassment, solicitation from security officials, kickbacks from traders and bad roads as barriers hindering the maximisation of opportunities in Intra-Africa trade.
This was disclosed in the latest edition of Pathway Africa magazine obtained from the Ministry of Aviation.
The Secretary-General, African Federation of Women Entrepreneurs, Lucia Quachey, was quoted as saying, “Only a few hundred kilometres separate Lagos, Nigeria, from Accra in Ghana but for the thousands of traders who ply this route, the journey through these routes can take a full day. Customs officials and police at roadblocks will make you unload and unpack every little package in order to delay you for hours.”
She further advocated the dismantling of various tariffs and non-tariff barriers and the building of infrastructure to boost trade.
AfCFTA project aims to ease conditions for commerce between Africa’s 55 nations, eliminating barriers and increasing trade, which is projected to have an enormous impact on the continent, its 1.3 billion citizens and an estimated $3.4tn GDP.
Similarly, the Secretary-General, Abuja Memorandum of Understanding, Sunday Umoren, called for active collaboration of private sectors and development partners.
He emphasised the need to engage carriers and vessel owners in delivering on AFCFTA.
“Shipping is the bedrock of globalisation it helps in ensuring that the benefit of trade and commerce are more evenly spread across countries
“All African industrial policymakers should be bold in developing and implementing an extensive range of reforms and trade facilitation measures needed to achieve the substantial rewards and dividends that the agreement offers,” he said.
Umoren urged that nothing should stop the region from having a ship-owning capacity to eliminate the burden and impact of the high freight rate of foreign ships.
Meanwhile, a financial expert, Jonathan Aremu, has noted that essential domestication of laws and policies is being ironed out, adding the final details will be rectified through assent by the national assembly and relevant ministries.
Speaking in a telephone interview with Saturday PUNCH, the Professor of Economics at Covenant University said, “Economic integration means countries coming together to discuss the type of trade and what we will be doing in common but what is delaying the process is that some essential documentation has to be done. The policies have to be implemented in domestic laws and will be sent to the National Assembly for assent. After this, the signed policies will be sent to different ministries that will participate because you need one approval or the other from these ministries and the relevant laws in those ministries have to be adjusted to accommodate what we have rectified. While the process is ongoing, nobody can say anything but a lot is ongoing on.
“There is pressure on countries involved because they want it to work, a lot of traders want to participate as well but things must be put in place else if there is a mistake, the culprit will be severely punished.”
The Group Chief Executive Officer, CEO, Nigerian Exchange Group, NGX, Oscar Onyema has expressed optimism that foreign investors will return to Nigeria’s capital market in light of the policy direction of the new administration.
Onyema stated this during the ongoing International Court of Arbitration Africa Conference on International Arbitration in Lagos.
He said that the the inaugural speech of President Bola Tinubu and his preparedness to remove fuel subsidy, unify exchange rates and ensure that investors and foreign businesses repatriate their dividends and profits would motivate investors to come in.
“All these comments are the right noise for money. Money goes to the least resistant places where it can get the best risk adjustment returns and without unnecessary hassles because there is competition across the globe.
“On what we have seen in the last eight years, there has been an outflow of foreign portfolio investments predominantly but with these policy changes, you can begin to understand why we are very optimistic that these flows will come back and with it, attract additional flows,” Onyema said.
Foreign transactions on the NGX have decreased by 38.47 per cent from N616bn in 2007 to N379bn at the end of 2022, majorly due to forex exchange constraints in the country.
The Director General of the Securities and Exchange Commission, Lamido Yuguda, has expressed optimism that the challenges in the market would be tackled.
Yuguda at the last meeting of the Nigerian Capital Market Committee said, “This is a situation that is not permanent, we expect the foreign exchange situation in their country to substantially improve.
There are a lot of economic developments in the country today that are actually laying the foundation for a much more vibrant foreign exchange in the country.”
President Bola Tinubu stated that it is critical to revise the current N30,000 minimum pay for civil personnel in order to increase revenue in the country.
On Friday, Tinubu addressed members of the Progressive Governors Forum (PGF) led by Hope Uzodinma, the forum’s chairman and the governor of Imo, in Abuja.
Tinubu stated that the federal and state governments must work together to examine the minimum wage as well as the source and use of the country’s revenue.
“We need to do some arithmetic and soul-searching on the minimum wage. We will have to take a look at that together, and the revenue. We must strengthen the source and application of our revenue,” he said.
“This meeting is not strange to me, and the content of the meeting is so valuable. The camaraderie is very stimulating. This is about the Nigerian project, not Bola Tinubu.”
The president also stated that numerous currency rates would be streamlined, and that governance would be a continuous process.
“I have inherited the assets and liabilities of my predecessor. This is the first time you entered the council chambers, and it is my first time too for a meeting,” Tinubu said.
“As progressives and thinkers under the umbrella of the All Progressives Congress (APC), you have a role to play in educating our people and making sure we manage ourselves,’’ Tinubu told the governors.
“If we work together, the Nigeria of our dreams is not far away. Rest assured that we will not have multiple exchange rates anymore. You asked for this meeting, and I had to set aside time to be here.
“We have a political party that we will need to manage, whichever way, we have inherited assets and liabilities, and we cannot complain.
“It is in our hands, and I am ready to work and listen at any time,” he added.
The Lagos State Government (Govt) has warned citizens to avoid panic buying and stockpiling of petrol. The State Government also asked locals not to patronize black marketeers, claiming that with the new petrol system, market forces would set prices.
Dr. Obafemi Hamzat, Deputy Governor of Lagos State, said on Friday during an on-the-spot examination of several filling stations in the state’s Ikoyi district.
Dr. Hamzat told journalists during the exercise that there is no need for panic buying and stockpiling of fuel because marketers have guaranteed the government of its availability in the state.
He stated that the purpose of the journey was to walk around and assess the situation, stressing that the difficulty is not a lack of fuel, but rather an increase in price.
Hamzat urged Nigerians to embrace deregulation, claiming that the benefits of eliminating subsidies outweigh the drawbacks.
“In terms of volume, according to the managers of fuel stations visited, we have enough so there is no need to rush to buy. There is no need to patronise black marketers,” he said.
“The regime of fuel subsidy was announced to have ended. Lagos is always the epicenter of everything, 40 percent of cabs are in Lagos, and whatever affects PMS, affects Lagos. So the essence is to go around and assess the situation.
“For us, it is to make sure that there is no scarcity, people don’t need to rush. Prices have gone up but in terms of volume, there is enough volume. So there is no question of scarcity.
“Don’t patronise black marketers. The bottom line is very simple because there is no regime of fuel subsidy again.
“People don’t have the incentive to hoard anymore. It was sold for N185 in Nigeria and the Republic of Benin selling for N650, that is why we claim the volume is high, so the volume will crash.”
Hamzat went on to say that revenue generation has been a big concern in the country, saying that the recent subsidy reduction would allow the government to redirect cash to other sectors.
The Deputy Governor maintained, citing the International Monetary Fund (IMF), that the fuel subsidy is not sustainable, noting that it benefited less than 13 percent of the total population while leaving out 87 percent.
He said: “There are 48,000km of borders in Nigeria, even if you deploy the military, the Navy, people will steal because we are talking of market, we are subsidising fuel for other countries.
“Various commentators and IMF have told us we are spending trillions subsidising substantially rich people because we are spending on 13 percent of the less privileged and 87 percent for people who can afford it. It doesn’t make sense.
“So if we can plow that money back, then it makes it easier to invest in education, health, and others. So the President will be able to harness it and be able to use it for various projects.”
The Deputy Governor also noted that the government is aware of the effect of the removal because it will affect transportation prices and commodities but in the long run, things will get better.
“I understand that the transportation fares have gone higher but the only thing is that it will get a little tougher before it gets better. Remember, the prices in Lagos will be different from Ibadan. And even in Lagos, because of efficiency, prices will differ but you are not subsidising anybody’s inefficiency.
“It is a question of time, in just two or three months, things will stabilise. So, if the international prices crash, they will also crash. Competition will always make it crash, market forces will determine the prices,” he said.
The Nigeria Labour Congress (NLC) called President Bola Tinubu on Friday to order the Nigerian National Petroleum Company (NNPC) Limited to reinstate the original pump rates of Premium Motor Spirit, or petrol, or face industrial action.
The NLC has given the NNPC till Wednesday to return to the original price of N194 per litre, or its members will be forced to leave their job posts.
The labour union has urged all of its affiliate unions and state councils to begin mobilization in the event that the government, via the NNPCL, refuses to return to the old pump price of PMS.
After its extended National Executive Council, NEC, meeting in Abuja, NLC President, Joe Ajaero, highlighted with regret that NNPC on Wednesday increased PMS pump rates by more over 200 percent, raising the price of fuel to between N488 and N557 per litre.
COMMUNIQUE AT THE END OF AN EMERGENCY NATIONAL EXECUTIVE COUNCIL (NEC) MEETING OF THE NIGERIA LABOUR CONGRESS (NLC) HELD ON FRIDAY, THE 2ND DAY OF JUNE 2023https://t.co/1XrIIH2pkl
— Nigeria Labour Congress HQ (@NLCHeadquarters) June 2, 2023
Ajaero stated that following a unanimous agreement by all NLC affiliates, unions were directed to mobilize immediately ahead of the planned nationwide protest.
According to him, “The NLC decided that if by Wednesday next week the NNPCL, a private limited liability company, that illegally announced a price regime in the oil sector, refuses to announce revert itself for negotiation to continue, that the NLC and all its affiliates, will withdraw their services and commence protests nationwide until this is complied with.
“The NNPCL doesn’t have the monopoly to act illegally even as a private company. The NLC NEC therefore directed all state councils and all industrial unions to commence mobilisation from this moment to make sure that this action is enforced. The action has commenced at this moment.”
He also demanded an investigation into the subsidy regime during the last eight years, the amount paid in subsidies, and the recipients of the payments.
The NLC leader also urged the NNPCL to keep accurate records on the amount of petroleum products Nigerians consume on a daily basis.
He accused the NNPCL of refusing to divulge subsidy recipients and petroleum product landing costs.
He said: “The Nigeria Labour Congress (NLC) is calling for a thorough probe in the process of subsidy to know those involved and the amount involved. Investigate it properly before it is swept under the carpet.
“The current attempt to sweep the fraudulent practices in the subsidy regime should not be tolerated by all well-meaning Nigerians.”
In the midst of a dispute over Unstructured Supplementary Data Service debt totaling more than N120 billion, telecommunications companies have sent disconnection notices to Deposit Money Banks.
For using their USSD infrastructure for financial services, banks are allegedly owed N120 billion by telcos.
The telecoms, MTN, Glo, Airtel, and 9mobile, have now made it clear that they want to prevent bank clients from using USSD short codes to access bank services.
The Nigerian Communications Commission authorized telcos to disconnect the banks, following the failure of stakeholder efforts, including those of the former Minister of Communication and Digital Economy, Isa Pantami, the NCC, the Central Bank of Nigeria, MNOs, and DMBs.
In their statement, the telcos noted that “it is pertinent to note that the contract between MNOs and DMBs on the use of USSDs for banking transactions is strictly commercial and MNOs are at liberty to withdraw the services if it is established that the transaction is unprofitable for them.”
According to Gbenga Adebayo, Chairman of the Association of Licensed Telecommunications Operators of Nigeria, sending bank notices is part of the withdrawal process. We haven’t disconnected yet, but notices have been made to the banks, he informed the press.
“The conditions of the agreement with the operators will determine how long this notice will be in effect. Disconnection depends on whether they make a payment in response. We won’t experience disconnections if they answer with payment. If not, we would begin disconnecting services over the ensuing days, weeks, or months.
Since 2019, there has been a dispute over who should pay for USSD services between banks and telcos. In 2019, telcos claimed that banks owed them N32 billion for providing financial services over USSD. Threats have since been exchanged, and on one occasion the Federal Government was forced to intervene after telecoms cut off banks’ USSD connectivity.
For many Nigerians, especially those without smartphones (according to Alliance for Affordable Internet, only roughly 44% of Nigerians have access to smartphones), USSD remains the major financial infrastructure.
If banks and telcos do not quickly come to an acceptable agreement, consumers would suffer, according to CBN Governor Godwin Emefiele.
He stated this recently at the introduction of SabiMoni: “I am very certain that we are going to get to the end of it because if we do not resolve the problem, the people who will suffer when this kind of disagreement goes on will be those who are users of the banking sector.”
The Board of Directors of the African Development Bank (AfDB) Group has approved an equity investment of $20 million in the Africa50 Infrastructure Acceleration Fund I in support of its target to mobilize private capital for infrastructure across the continent.
The Africa50 Infrastructure Acceleration Fund I is a pan-African infrastructure private equity fund that is mobilizing up to $500 million for investment and value creation in strategic infrastructure sectors. These include power, energy, digital and social infrastructure, transportation, logistics, and water and sanitation.
The fund is sponsored by Africa50 an infrastructure investment platform established by governments and the African Development Bank. Africa50 brings infrastructure project development and financing under one umbrella. Africa50 has a strong track record of investments in the private sector and of projects undertaken under a Public Private-Partnership (PPP) framework.
The mobilization of private capital is critical to closing the infrastructure financing gap in Africa, especially given the limited fiscal space of African governments which currently provide the largest source of infrastructure funding on the continent.
The Africa50 Infrastructure Acceleration Fund I was established as a vehicle to help execute Africa50’s mandate of mobilizing private capital and accelerating further investment flows into African infrastructure by targeting private and institutional investors.
African Development Bank Director for the Industrial and Trade Development Department, Abdu Mukhtar said the Bank’s investment in the Fund underlined its strategic nature and the fact that the Bank prioritizes investing in strategic infrastructure sectors that contribute to closing Africa’s infrastructure financing gap (estimated at $68-108 billion annually).
“The Bank’s investment will support Africa50 to crowd-in private capital into African infrastructure through a private equity fund vehicle that private investors better understand and are more comfortable investing in,” Mukhtar said.
Commenting on the approval, Wale Shonibare, African Development Bank’s Director for Energy Financial Solutions, Policy and Regulations said the Bank’s support for the Africa50 Infrastructure Acceleration Fund I aligned with its High Five objectives. “It also strengthens the Bank’s already existing partnerships with the Africa50 Group on initiatives such as the African Sovereign Investors Forum and the Alliance for Green Infrastructure in Africa,” Shonibare added.
Alain Ebobissé, CEO of the Africa50 Group, said: “We are highly appreciative of the African Development Bank’s support for the Africa50 Infrastructure Acceleration Fund I. We look forward to continuing to work collaboratively with the African Development Bank and other investors to make a meaningful contribution to improving the infrastructure landscape on the continent.”
By leveraging private capital for infrastructure investment, The Africa50 Infrastructure Acceleration Fund I can help create jobs, strengthen healthcare access, improve education access through digital technologies, enhance access to financial services and financial inclusion through fintech investments, and reduce the impact of climate change. The fund is projected to create 3,278 full-time equivalent jobs over the period 2023-2035, including 1,676 jobs for women. In addition, the fund is expected to contribute to fostering regional integration through improvements in transport and logistics infrastructure that can lead to increased inter and intra-regional trade.
The African Development Bank and partners in the new fund will continue to provide growth capital and infrastructure equity to support the urgent need to accelerate private sector funding toward bridging the infrastructure financing gap in Africa.
The African Development Bank (AfDB) Group is committed to partnering with Africa’s regional and continental institutions to address the continent’s biggest development challenges. This was the key message when Bank President, Dr. Akinwumi Adesina, met with the heads of intergovernmental organisations and African development finance institutions on 25 May in Sharm el-Sheikh, Egypt.
The meeting, titled “Mobilising capital for smart infrastructure and deeper integration”, was the second of its kind organised by the Bank on the sidelines of its Annual Meetings and offered participants an opportunity to share their main concerns and discuss opportunities for cooperation.
Mr Adesina reminded the meeting of the vital role African regional institutions play in promoting Africa’s political, economic, and social development and stressed that the continent needs to achieve double digit annual economic growth to eradicate poverty. “We must ensure that Africa is at the heart of debates worldwide. Africa must have its rightful place in leading international bodies. But in addition to having a place, we also need resources,” he said.
The bank and regional and continental institutions must act together to achieve this. In particular, the African Continental Free Trade Area (AfCFTA), a market of 1.4 billion consumers with a combined GDP of $3.4 trillion, should be put to work in creating value chains to change Africa’s role as a provider of raw materials for other countries’ development.
The Bank chief called on African regional organisations to work with individual countries to ensure that Africa benefits from the vast potential market for electric cars (estimated at $34 trillion) for example. Adesina pointed out it would cost less to produce lithium-ion batteries in Africa than in the United States or China.
Infrastructure, peace, and security for better integration
Regional institutions, and especially regional economic communities and regional banks have welcomed the Bank’s investments and are calling for more inclusive projects in the near term. The Abidjan-Lagos Corridor Highway Development Project, the railway linking Tanzania, Burundi and the Democratic Republic of Congo, and the Kinshasa-Brazzaville Road-Rail Bridge Project are just a few examples of projects the Bank is financing.
Albert M. Muchanga, African Union Commissioner for Trade and Industry, outlined the Union’s expectations for funding, including for its specialised institutions. “We are in the process of mobilising the private sector. We are working to set up the Association of African Stock Exchanges and, together with the African Development Bank we have launched a study of Africa’s development drivers, which will identify key actions needed to achieve economic growth of 7-10% by 2063,” he said.
Arab Maghreb Union Secretary-General Taïeb Baccouche called for greater emphasis on young people to save them from the mirage of emigration. An agropastoral project is now being rolled out to create more jobs for young people in the Maghreb. Mr Baccouche said that abolishing visas would be a step forward for the proper functioning of the AfCFTA.
Elias M. Magosi, Executive Secretary of the Southern African Development Community (SADC), said that infrastructure is a major concern for the SADC and in particular, energy infrastructure.
Peter Mathuki, Secretary-General of the East African Community, stressed the need to develop integrated railway networks and to strengthen public-private partnerships. Ms Ngakono Marie Thérèse Chantal Mfoula, Commissioner for Infrastructure at the Economic Community of Central African States , pointed out that the region had made progress toward integration.
Omar Alieu Touray, President of the Economic Commission of West African States (ECOWAS) underscored the region’s fears over peace and security issues. He applauded the African Development Bank for supporting operationalisation of a regional early warning mechanism. With a cumulative GDP of $662 billion, the Common Market for Eastern and Southern Africa (COMESA), which includes both SADC and EAC countries, has identified more than 69 banking and multilateral institutions that are ready to invest in projects that will deepen integration, according to its Secretary-General Chileshe Kapwepwe.
Mobilising the private sector for infrastructure integration
Other themes discussed at the meeting included peace and regional security, health, food security and the debt burden that is an obstacle to Africa’s development.
The Bank is promoting the establishment of an African Stability Mechanism to help the continent build a “cushion” of resources to counter external shocks. It will also continue to work through the Africa Investment Forum to mobilise the private sector in Africa and elsewhere in support of large-scale projects.
The Africa Investment Forum will hold its next Market Days in Marrakech, Morocco, in November. Dr. Adesina concluded by saying that the private sector, the African diaspora, and African development finance institutions should assist in making the African Union financially autonomous. He promised Bank support for this aim.
“The hand that gives is greater than the hand that receives, and we need to work on mobilising individual savings in order to finance development,” said Serge Ékué, President of the West African Development Bank.
Marie-Laure Akin-Olugbade, the bank’s vice president for Regional Development, Integration and Service Delivery, expressed satisfaction with the discussions. “The meeting is a unique platform that gives us the opportunity to cooperate, exchange and explore ways to effectively channel resources, share best practices and coordinate our policies and advocacy in favour of Africa’s development and regional integration,” she said.
Other participants included Hanan Morsy, Deputy Executive Secretary for the UN Economic Commission for Africa; Nardos Bekele-Thomas, CEO of the African Union Development Agency (AUDA-NEPAD); Alain Ebobissé, CEO of Africa50; Boitumelo Mosako, CEO of the Development Bank of Southern Africa (DBSA); Admassu Tadesse, president emeritus and group managing director of the Trade and Development Bank Group (TDB).
Leading telecommunications provider Airtel Nigeria has launched a new Television commercial, to showcase the exceptional benefits its Home Broadband connectivity.
The TVC, stars the popular Nollywood actor, Eyinna Nwigwe, who plays the character of a young man navigating through his daily remote work routine and how he manages to maintain a balance between his work and personal life, staying effortlessly connected with his business associates and loved ones across the globe.
Chief Commercial Officer, Airtel Nigeria, Femi Oshinlaja, while commenting on the benefits of the Airtel BroadBand, said, “The high-speed internet and reliable connection of the Airtel Home Broadband makes it the preferred choice for those who require a reliable connection and access to data.
“This offers users the ease and speed to access websites, stream videos, and download files. Moreover, the network’s reliable connection ensures that users experience fewer disruptions in their online activities.
“As such, this makes it the go-to option for those who need a dependable connection to get their work done or stay connected with friends and family.”
The Airtel Home Broadband offers a Basic package, with unlimited internet and up to 40Mbps download speed; the Standard package, with 100Mbps download speed; the Entertainment package with=200Mbps download speed, the Professional package with200Mbps download speed; and the Infinity package which offers up to 1GBps download speed. All these packages, according to Airtel Nigeria officials, offer unlimited internet access.
Nigeria Is facing Worst Unemployment Crisis - World Bank
The Nigeria Customs Service has introduced options for migration from the Fast Track Regime to Fast Track 2.0 as part of the Accelerating Revenue Mobilization Reforms Programme in an effort to increase trade compliance.
The platform also helps trade by allowing traders based on their adherence to regulations and contribution to trade in Nigeria, according to a statement released on Wednesday by Abdullahi Maiwada, the service’s national public relations officer.
“By introducing Fast Track 2.0, the Nigeria Customs Service seeks to streamline trade processes, promote compliance, and create a more productive and rewarding environment for traders,” the official stated.
Maiwada stated that when fully operational, FT 2.0 will encourage traders to follow Customs norms and rules.
“The potential for significant cost savings related to cargo handling and demurrage at the ports is one of the key benefits.
“Traders that are interested in using this facility can apply and access additional information on the website. It is recommended that current traders who are utilizing the previous Fast Track system apply for the new Fast Track 2.0 (FT 2.0),” he said.
According to data from the National Bureau of Statistics (NBS), household final consumption decreased by -12.47 percent in the fourth quarter of 2022 compared to the growth rate of 7.30 percent in the previous quarter.
The new Nigerian Gross Domestic Product Report (Expenditure and Income Approach) for Q3 and Q4 2022 included this revelation.
According to a portion of the report, “Household final consumption increased by -5.83 percent and -12.47 percent, respectively, in real terms in the third and fourth quarters of 2022. These growth rates were, however, less than the respective growth rates for their comparable quarters in 2021, which were 19.36% and 7.30%.
The NBS cited inflation and the nation’s difficult economic conditions as the causes of the poor growth.
“Growth becomes negative in Q2 to Q4 2022 due to rising prices and difficult economic conditions,” the NBS stated. Growth rates in Q3 and Q4 of 2022 were -5.83% and -12.47%, respectively, demonstrating lower rates when compared to the comparable quarters of 2021.
Furthermore, it was revealed that while household consumption increased by 25.65% overall in 2021, it declined to -4.07% in 2022. The statement in the report was, “On an annual basis, 2022 grew by -4.07% compared to 25.65% in 2021.”
The NBS estimates that this consumption, which comprises of expenditures made by resident families on individual consumption goods and services, amounted for 65.17 percent of real GDP at market prices in Q3 of 2022 and 60.25 percent in Q4 of 2022.
The amount of money spent by households for final consumption, such as food, clothing, housing (rent), energy, transportation, durable goods, health expenses, leisure, and other services, is referred to as household spending, according to the Organization for Economic Cooperation and Development.
The consumption expenditure of Nigerians reached N130.08 trillion in 2022 despite the country’s negative growth rate due to growing inflation. When compared to N108.47tn in 2021, this represented an increase of N21.61tn or 16.61%.
The inflation rate in Nigeria increased in April from the 22.04 percent recorded in March for the fourth month in a row this year, maintaining its 17-year high level.
In comparison to March 2023, the headline inflation rate increased by 0.18 percentage points in April 2023. Similar to this, the headline inflation rate was 5.40 percentage points higher year over year than the 16.82 percent rate registered in April 2022.
The NBS revealed that the main industries that increased inflation rates were food and alcoholic drinks, housing, water, electricity, gas and other fuel, apparel and footwear, and housing in its Commodity Price Index report for April 2022.
Gabriel Idahosa, the deputy president of the Lagos Chamber of Commerce and Industry, recently said that the previous administration had failed to control inflation.
He did, however, express optimism that, if the incoming administration implements sound economic policies, the country’s inflation rate may start to decline by the third quarter of the year.
Segun Kuti-George, vice president of the Nigerian Association of Small-Scale Industrialists, attributed the majority of the country’s inflation to excessive imports of foreign goods.
In the lack of liquidity pressures in the financial system, the Nigerian Treasury Bills (NTB) did not record any noteworthy transactions that may have shifted the yield curve to the left or the right.
Although there is still liquidity in the market, funding rates were stabilized in anticipation of possible cash reserve requirements enforced by the apex bank. The overnight lending rate remained at 12.3%, according to analysts at Cordros Capital, who also noted that the system liquidity ended the day with a net long position of N162.63 billion.
The Nigerian Interbank Offered Rate (NIBOR) climbed uniformly for all tracked maturities, according to market experts at Cowry Asset Management, as measures of money market stress tightened and banks with liquidity requested higher rates.
Benchmark rates for short-term transactions: the overnight lending rate was steady at 12.25% while the open repo rate moderated by 25 basis points to 11.50%.
Trading activity on the Nigerian Treasury bill was very low in the secondary market. As spot rates continue to fall, market participant indifference has become increasingly obvious.
Local banks held to their investment securities holdings, and instead pitched their tents at the Central Bank of Nigeria (CBN) standing lending facility (SLF) to close the liquidity gap.
Also, asset/fund managers shy away from increasing their position amidst rising inflation rates, in addition to rate hikes spurred by monetary policy tightening.
Yet, return on investment across the fixed income market remained exposed to an accelerating inflation rate in the country.
2020: Despite Slow Global Trade, Banks’ Earnings On LCs Grew By 45%
The Nigerian Maritime Administration and Safety Agency has been given permission to continue disbursing $700 million from the Cabotage Vessel Finance Fund by the House of Representatives Committee on Nigerian Content Development and Monitoring.
The House has requested the NIMASA to halt its proposal to withdraw the money from the Fund on May 2, 2023. The Committee on Local Content was instructed by members of the House to “immediately commence investigations of the Cabotage Vessel Finance Fund to determine all monies that have accrued to the fund since its establishment in the year 2003 and report to the House within 14 days.”
The House had also directed the committee to engage an external auditor to audit all contracts that have been entered into in the cabotage regime and report the same to the House within 14 days.
The lawmakers had also resolved to “direct NIMASA to immediately stop the planned disbursement of $700m to Nigerian citizens and companies,” asking the agency to and lay before the House, an audited statement of account “showing all monies that have accrued to the Cabotage Vessel Finance Fund not later than seven days from the date of this resolution.”
Furthermore, the House resolved to invite the Minister of Transport, Muazu Sambo; and the Director-General of NIMASA, Bashir Jamo, “to report to the House Committee on Local Content on the state of the Cabotage Vessel Finance Fund and how the funds have been applied over the past 20 years.”
These resolutions were sequel to the unanimous adoption of a motion of urgent public importance moved by a member of the House, Henry Nwawuba, titled ‘Urgent Need to Stop the Planned Disbursement of $700m Cabotage Vessel Finance Fund, and Investigate the Total Accrual of the Fund.’
However, the committee, in its report, a copy of which our correspondent obtained on Thursday, recommended that the $700m be disbursed.
In the report, the committee said it requested NIMASA and the Federal Ministry of Transportation to provide detailed information on the total amount accrued to the Fund and disbursements since inception.
According to the report, the committee met with the Minister of Transportation and the Director-General of NIMASA on May 11, 2023, to find out about the details concerning the matter.
It partly read, “After a thorough analysis of the various submissions on the matter, coupled with the explanations given by the Ministry and NIMASA, the committee discovered that due process was followed in the planned disbursement of the Cabotage Vessel Finance Fund.
“The committee notes that the CVFF is a fund that was set up in 2003 by the Coastal and Inland Shipping Act. The Fund was established for the purpose of developing indigenous ship acquisition capacity, and to provide financial assistance to indigenous shipping operators.
“The committee further notes that there is a lack of capacity amongst indigenous/domestic coastal operators in Nigeria, thus the reason Nigerian National Petroleum Company Limited still awards contracts to foreign shipping companies, in contravention of the Cabotage and Nigerian Oil and Gas Industry Content Development Act. Some of these awards have been previously investigated by the Committee which led to their cancellation.
“It was also discovered that the total funds of $360m in the CVFF account with the Central Bank of Nigeria represents 50 per cent, while the remaining counterpart funds of 50 per cent is from stakeholders and banks, which is 15 per cent and 35 per cent, respectively.”
The committee said in view of the findings during the investigation, it recommends that “NIMASA should go ahead with the disbursement of the Cabotage Vessel Finance Fund in compliance with the extant laws and laid down guidelines for the said disbursement.”
The committee also said to ensure the disbursement does not violate any of the extant laws made by the National Assembly, “the following persons were nominated to supervise the disbursement process: Legor Idagbo – Chairman, Henry Nwawuba – Member and Kehinde Bolade-Olaiya – committee clerk.”
According to the report, the committee appointed an audit firm, Stratford Hill and Co., as the coordinating enforcement auditor for the CVFF.
The report partly read, “The committee applauds NNPC for its commitment to awarding the shipping contracts to indigenous companies that have built capacity to the level where they can successfully execute these contracts.
“The committee is grateful to the leadership of the House for the confidence bestowed on it to carry out the investigation.”
L-R, Dr Suleiman Musa, Consultant to Kano Dairy Cooperative; Master Muhammadu Sani, one of the beneficiaries of Outspan educational support; Lawan Ahmed, Desk Officer, Development Finance Office, Central Bank of Nigeria, Kano Branch; Manish Khede, Regional Manager, Outspan Nigeria Limited; and Alhaji Mukhtar Gaya, Chief Executive Officer, Nagata Farms, during the Outspan World Milk Day 2023 commemorative event and value chain engagement held in Kwanar Dawakin Kudu LGA, Kano State, on Thursday, June 1, 2023.
To commemorate this year’s World Milk Day (WMD), Outspan Nigeria Limited, a subsidiary of olam food ingredients (ofi), convened members of the Kano Dairy Cooperative, representatives from the Central Bank of Nigeria, local chiefs, and key officials from state and federal ministries of agriculture in Kwanar Dawakin Kudu LGA.
Under this year’s theme ‘Sustainable Dairy: Good for Planet, Good for you’, the day was an opportunity to engage and celebrate the local dairy community as part of Outspan’s broader efforts to promote sustainable farming practices, wider milk consumption, and education for farmers’ children.
Activities organized by Outspan included a lecture on sustainable dairy farming practices for the dairy cooperative members, donation of educational materials such as school bags and textbooks to the children of the dairy farmers, and promotion of the nutritional benefits of milk to encourage wider consumption and improve public health.
Last year, Outspan marked WMD with the distribution of animal feed to dairy farmers, training farmers on sustainability practices and donating a cold truck to the dairy union, and educational materials to farmers’ children.
The efforts form part of the business’ scaled and sustainable local dairy value chain backward integration (BIP) investment which aims to raise the level of milk production in the country in support of the Federal Government’s economic diversification agenda.
Speaking at this year’s event, Manish Khede, Regional Manager, ofi’s dairy business in Nigeria, explained, “Sustainability is critical to ofi’s value proposition to offer ingredients that are good for consumers, farmers, and the world around us.
“Maintaining proper care of cattle herds, natural resources, and land is critical to addressing climate change. This is why we organized a lecture on sustainable dairy farming practices for dairy farmers.”
L-R, Abubakar Usman, Chairman, Kano Dairy Cooperative; Alhaji Mukhtar Gaya, Chief Executive Officer, Nagata Farms, Miss Saidat Adam, one of the beneficiaries of Outspan educational supports; Lawan Ahmed, Desk Officer, Development Finance Office, Central Bank of Nigeria, Kano Branch; and Manish Khede, Regional Manager, Outspan Nigeria Limited, during the Outspan World Milk Day 2023 commemorative event and value chain engagement held in Kwanar Dawakin Kudu LGA, Kano State, on Thursday, June 1, 2023.
He added that the business also prioritizes the education of the farmers’ children as this will help to provide them with a buffer for the future. He pointed to the educational materials comprising textbooks and school bags being donated to the children as the business’ way of aiding the children’s learning.
Commenting on milk consumption, Khede continued “According to Healthline, a global health information platform, milk is a good source of many vital nutrients such as calcium, vitamin D and protein. We believe that promoting access to and consumption of fresh and safe milk in Kano State can contribute to healthier communities and productivity too.
Praveen Paulsamy, Vice President of ofi’s dairy business in Nigeria, said, “We are committed to the Federal Government’s economic development agenda. Hence, we’re looking to continue our investment in developing the local dairy value chain to remove the hurdles that have been impeding growth along the chain and the dairy farming communities.”
The representative of the Branch Controller, Central Bank of Nigeria (CBN), Kano, at the event, Lawan Ahmed, said, “The milk industry provides valuable nutrients that support healthy physiological growth among the populace. The players in the industry deserve to be celebrated.”
L-R, Alhaji Shehu Bala, Director of Cooperatives, Ministry of Commerce, Industry, Cooperative and Solid Mineral, Kano State; Abubakar Mohammed, representative of the District Head, Dawakin Kudu; Abubakar Fagi, a smallholder dairy farmer and winner of Outspan/ Kano Dairy Cooperative award for the Best Dairy Farmer of the Year; Manish Khede, Regional Manager, Outspan Nigeria Limited; and Abdullahi Usman, Chairman, Kano Dairy Cooperative during the Outspan World Milk Day 2023 commemorative event and value chain engagement held in Kwanar Dawakin Kudu LGA, Kano State, on Thursday, June 1, 2023.
Garzali Muhammed, the Director of Livestock & Poultry Service, Ministry of Agriculture and Natural Resources, Kano explained that “Outspan has been instrumental in enhancing the productivity of the members of Kano Dairy Cooperative. The various backward integration investments embarked upon by the business have had a positive impact on the productivity rate and income levels of the dairy farming community in the state.”
Thanking Outspan for their consistent support of smallholder dairy farmers, Alhaji Usman Abdullahi, the Chairman of Kano Dairy Cooperative said: The Cooperative is delighted to be partnering with Outspan in raising the level of milk production in Nigeria.”
President Bola Ahmed Tinubu has announced the appointment of Speaker of House of Representatives, Hon. Femi Gbajabiamila, as Chief of Staff, and a former Deputy Governor of Jigawa State, Senator Ibrahim Hassan Hadejia, as Deputy Chief of Staff.
At a meeting on Friday with Progressives Governors Forum (PGF) at the State House, Abuja, the President, according to a release issued by State House Director of Information, Abiodun Oladunjoye, also named former Governor of Benue State and immediate past Minister of Special Duties, George Akume, Secretary to the Government of the Federation (SGF).
Gbajabiamila had since resumed duties as he was on Friday morning taken around the offices at the State House in Abuja to familiarise with staff by officials of the State House.
Responding to the appointment, Gbajabiamila thanked Tinubu for “finding me worthy of being your Chief of Staff”, promising to give his best.
He made this known in a terse statement shortly after his appointment was made official by the President on Friday, ending weeks of speculation.
“Having spent the last 20 years in the Nigerian Parliament, and after winning my 6th term election into the National Assembly, I shall work with Mr President in discharging the enormous task ahead of him for the peace and progress of the federal republic of Nigeria.
“I shall give my best when I take office on June 14 2023 as reflected in Mr. President’s official letter,” Gbajabiamila said.
A comprehensive State of Web 3.0 in Africa Report, is set to be released on June 23, 2023. The report highlights the rapidly-evolving landscape of Web 3.0 technologies in African countries, providing in-depth analysis of their impact, opportunities, and challenges and offering recommendations for fostering growth and measurable impact.
Web 3.0 technologies are experiencing exponential growth and expansion in Africa, with the potential to bring transformative change to various industries such as trade and industry, financial services and lending, supply chain management and logistics and healthcare provision and accessibility. Factors such as regulatory clarity, infrastructure development, and collaboration between stakeholders will play a significant role in the widespread use and successful implementation of these technologies.
The report, sponsored by Emurgo Africa, will be launched at a media event in Nairobi, Kenya, with industry leaders, policymakers and press in attendance. Key figures from prominent blockchain investors, developer and ecosystem players, including NODO, CVVC, GreenHouse Capital, PwC and Cardano, will deliver notable conversations and remarks at the event.
The Report aims to fill a knowledge gap by examining the potential of these technologies to advance social and economic development in Africa. It presents a detailed view of the current landscape and future prospects of Web 3.0 technologies in the region, featuring real-world use cases, possibilities and obstacles connected with their adoption.
The Report explores various aspects of Web 3.0, such as decentralized finance (DeFi), blockchain technology, digital identity, smart contracts, and data privacy. It also investigates the regulatory environment, infrastructure, and access to technology in the target nations, identifying areas for development that will facilitate the growth and adoption of Web 3.0 technologies.
Key findings from the report include the immense opportunities for the African continent through the adoption of Web 3.0 technologies, a staggering 1,668% increase in investment in blockchain technology in Africa between 2021 and 2022, and the crucial importance of collaboration between industry stakeholders, policymakers, and regulators in fostering an environment conducive to the growth of Web 3.0 technologies.
Ahmed M. Amer, CEO of Emurgo Africa, said: “The future of Web 3.0 technologies in Africa is bright, with the potential to drive unprecedented social, financial and economic development across the continent. This report emphasizes the critical importance of collaboration between stakeholders, policymakers, and regulators in fully realizing the transformative power of Web 3.0 technologies in Africa.”
Paris Saint-Germain (PSG) coach Christophe Galtier stated on Thursday that he hopes Lionel Messi receives a warm welcome in his final game at the Parc des Princes.
Messi’s two-year spell with Qatar-backed PSG, who have already won the Ligue 1 title for a record 11th time, will come to an end on Saturday against Clermont.
Following PSG’s elimination from the Champions League by Bayern Munich in the last 16, the Argentine World Cup champion has been booed by the club’s supporters on multiple occasions.
“(It) will be his last game at the Parc des Princes and I dare hope he will get the best possible welcome,” Galtier said at a press conference.
“He has been important, always available.
“He has always been at the service of the team, as the passer and finisher.
“I have had the privilege to coach the best player in the history of football. It has been a great privilege,” Galtier said.
Messi’s prospects of returning to his former club Barcelona appear to be dwindling.
Saudi Arabia is one conceivable destination, where he might join former Real Madrid sparring rival Cristiano Ronaldo in a deal worth hundreds of millions of euros.
According to Amnesty International Nigeria, Nigerians are frightened of how the removal may impact their daily life.
Isa Sanusi, the acting director of Amnesty, announced this in a statement. He claims that millions of Nigerians are anxious about how they will be able to pay for the prices of healthcare, food, and education as a result of the new administration’s decision.
“Millions of Nigerians are terrified about the ripple effects that President Bola Tinubu’s decision to remove the fuel subsidy will have on their daily lives,” he stated.
“Many people worry that they won’t be able to afford the expenditures of healthcare, food, and education. The administration has not yet made any suggestions about how to lessen this decision’s effects on those with limited financial resources”.
In response to the climate crisis, Isa pointed out that while all nations must eventually end all subsidies for fossil fuels, they shouldn’t do so in a way that makes it harder for those with low incomes to secure their right to an adequate standard of living.
He emphasized the significance of implementing social safety nets and protective measures with the elimination of subsidies.
Nigerians shouldn’t be made to pay for decades of political and economic mishandling of the subsidy program, he claimed.
The government must finally give in to persistent calls from civil society and lawmakers to look into the gasoline supply chain and prosecute anyone found guilty of smuggling, hoarding, or “subsidy scams” regardless of their position or status.
Isa argued that the new administration had to take action immediately now to protect the rights of those who will be most negatively impacted by the elimination of fuel subsidies.
The price of fuel has skyrocketed after President Bola Tinubu said during his inaugural speech that the government wouldn’t pay for fuel subsidies once again. Fueling stations are once again experiencing lines, and transportation costs have increased by almost 100%.
A senior member of Airline Operators of Nigeria (AON) and the President/CEO, Top Brass Aviation Limited, Captain Roland Iyayi has slammed the former Minister of Aviation, Hadi Sirika, over the unveiling of Nigeria Air.
BizWatch Nigeria understands that Nigeria Air is the national carrier floated by the former President Muhammadu Buhari-led government.
The unveiling of Nigeria Air was heavily criticised as Sirika did so with an airplane, many critics argued belongs to Ethiopian Airlines.
Sharing his sentiment on the Nigeria Air unveiling, Iyayi said the landing of the aircraft in Abuja signals nothing, adding that the former minister instead, took Nigerians for a ride.
His words: ”I doubt very much if flying an aircraft into an airport and having water salute to show people that there is an aircraft that has just been painted in the colours of Nigeria Air would amount to birthing an airline. The truth of the matter is, I think what the outgoing Minister had done is nothing short of taking Nigerians for a big ride.
“And I think it is a monumental fraud to sort of conniving with Ethiopian Airlines, having an aircraft that was on commercial flight for Ethiopian Airlines on the 21st of May, which is about a week ago, flying into Tel Aviv on an ET 405 flight, to fly into Abuja, only for static display will mean to birth an airline. That particular aircraft flew out of Abuja yesterday (Saturday, May 27, 2023), and as I speak, it is back in Ethiopia. And I can tell you that presently, the decals (sticker) of Nigeria Air stuck on it, is being removed and it is being quickly rebranded Ethiopian Airlines to be put back in service.
”So, essentially, all that we did was basically a charade by the outgoing minister of aviation, possibly to sort of block out, maybe, considering the fact that in the last sic to seven years, we have had about N85.42 billion in terms of budgetary allocations to Nigeria Air, which is supposedly a private enterprise. So, we have a lot of issues here that are not explained, and I think this desperate move by the outgoing Minister is just one in the line of several things he had done to undermine the entire Nigerian populace.”
This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
Strictly Necessary Cookies
Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.
If you disable this cookie, we will not be able to save your preferences. This means that every time you visit this website you will need to enable or disable cookies again.
