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An estimated tens of billions of old naira notes remain in circulation and are predominantly the only means of conducting transactions in exchange for goods and services in many parts of the country.
This is just as the Central Bank of Nigeria’s January 31st deadline for phasing out the old currency is fast approaching. Late last year, the CBN introduced a redesigned currency for the 1000, 500 and 200 naira denominations and asked all holders of the old currency to deposit them in banks before January 31, 2023; which is now three days away.
CBN had also asked the banks to stop dispensing old notes from the Automated Teller Machines, while most bank branches, even in Lagos and the FCT, had drastically reduced the money loaded in ATMs because of the shortage of the new notes as of Friday. Some ATMs observed by our reporters had not dispensed for days.
The acute shortage of the new notes is however been felt mostly on the streets where commuters have been left stranded, markets are struggling to stay open while businesses are being forced to rely on electronic transactions.
Our correspondents were on the streets in major cities and report that the old notes in circulation are still more than the redesigned new notes, and yet are being rejected as a legal tender.
And with just three days to the deadline for old notes to cease to be legal tender in the country, commercial banks are opening up their branches today, Saturday, January 28 and tomorrow, Sunday, January 29 for customers to deposit old notes in their possession.
Although, the Central Bank of Nigeria had last year directed that banks open on Saturdays to allow customers ample time to deposit their old notes, only a few opened up their branches on Saturdays with some opening a few designated branches.
Also established businesses had requested that customers pay either with transfer, use the POS or pay with new notes. Similarly, informal businesses had resorted to accepting electronic payments for goods and services.
“The Okada (commercial motorcycle) I took today refused to collect cash from me” Obinna, a civil servant told LEADERSHIP Weekend. “It was strange but he insisted that I paty with transfer as he said he had no intention of going to deposit old notes in the bank.”
Similarly, a petty trader who also runs an agent banking centre, Mrs Ajoke said she stopped collecting the old notes on Friday afternoon as she had gone to make the last deposit in the bank. “The crowd in the banking hall was too much. I don’t think I want to do that again so I stopped collecting the old notes.”
A survey by LEADERSHIP Weekend around Lagos on Friday showed a large crowd in the banking halls, most of who were depositing cash. There were also long queues at the ATMs for those who wanted to make withdrawals and wanted the new notes.
With barely three days to the CBN deadline on the validity of old naira notes, residents of the Federal Capital Territory (FCT) are appealing to the federal government to extend the deadline for the new naira policy, as most traders and motorists have started rejecting the old naira notes.
It was observed that most residents in the territory are presently confused about how to get the new naira notes which they said has been difficult to get, following reports of hoarding of the new notes by commercial banks.
Following the rejection of the old naira notes, LEADERSHIP Weekend witnessed an incident in Dutse Alhaji market yesterday, where a woman, who simply identified herself as Mrs Donald, bought foodstuff to take home to feed her family, but when she paid the trader, the seller rejected the money, saying that it is no longer a legal tender.
The woman angrily dropped the money on the table for the trader after telling her that Tuesday, January 31, is the deadline, saying that she had no other money and that she cannot afford to let her children stay hungry, which did not go down well with the trader who angrily ran after her to collect her wares back from the woman.
“The issue of this money is becoming embarrassing because you have your money but cannot spend it on what your need. I went to where I bank in Dutse but the cashiers refused to change the money I took there, with the excuse that they do not have enough of the new notes. This is wrong and should be corrected,” she said angrily and left.
Also, it was observed that on most major roads in the FCT, passengers were seen stranded, not because there were no vehicles to take them to their destinations or because they do not have money on them, but because commercial drivers were rejecting old naira notes from them.
One of the stranded passengers along Kubwa expressway, Mr Ephraim Chukwuebuka, said that most of the passengers spent hours on the road pleading with motorists to accept the old notes from them because the deadline is Tuesday but that they bluntly refused.
“The whole thing is not funny at all. With the way things are going, there is no way I will go to work until I get the new naira notes which are presently like gold in Abuja because there is no way I can trek to the town where I work.
“The federal government should look into this new naira policy because it is now obvious that it is the poor masses that are suffering from it. When we go to the bank to change money, they will say that the new notes are not enough to circulate. So, how are we going to survive this?” he queried.
Another stranded passenger, Ms Cynthia Oluwole, appealed that if the new naira notes printed are not enough to circulate for public use, there is a need for the CBN and the federal government to extend the deadline until more new naira notes are in circulation.
“I do not want to believe that the banks are hoarding the new naira notes for their selfish reasons, or probably some rich and powerful Nigerians have collected their massive share of the money while they leave the poor Nigerians to suffer because of the policy.
Yobe state residents have decried the rejection and non-availability of the redesigned N1000, N500 and N200 notes by traders and Point of Sales (POS) operators across the state.
Some of the residents who spoke with our correspondent said “it is unfortunate, that traders have started rejecting the old Naira notes even before the January, 31, 2023. Now, I wanted to buy some foodstuff but couldn’t due to lack of the new notes.”
A bank customer, Bukar Baba said “I was at the Automated Teller Machine (ATM) point, but only few machines were dispensing the new notes with long queues while others are still dispensing the old notes. Even the banking hall was filled to capacity as many people were trying to deposit their money ahead of the January 31 deadline.”
Another resident, Abubakar Musa said, “we don’t know what to do. The old currency is scarce and people have started rejecting the old ones. Except fuel stations, most of the traders have stopped collecting the old notes,” he said.
A trader, Mansir Ali said “yes, we have started rejecting the old notes because, we have only few days to the deadline and there are long queues in the banks. So, there is no way we can deposit our cash before the deadline.
“We, too, are in dilemma because if you go to buy goods, the dealers are rejecting the old notes. I don’t have many goods but due to scarcity of the new notes, I can’t buy goods that I don’t have.”
A hotel manager who would not want his name mentioned told our correspondent that, “As I’m speaking with you, we are no longer collecting old notes because if we collect old notes, it will become difficult to deposit them before the deadline and the cash will become useless for us. So, we are accepting bank transfers.
A POS operator, Alhaji Musa said “yes we don’t want to collect old Naira notes because people have stopped collecting it from us and when we get to the bank, there are long queues and even at that, the new notes are difficult to get.”
Anger and frustration best described the feelings of most banks’ customers and other Edo residents following the inability of financial institutions in the state to make available the new naira notes.
Some operators of POS are also not left out as most customers are refusing the old naira notes.
However, some commercial bus drivers popularly known as tuke-tuke still collect the old naira notes from commuters.
A POS operator who spoke with LEADERSHIP weekend, Ighodalo Festus appealed to the apex bank to extend the deadline on the collection of old notes.
“Government should do something about this deadline on old notes. This thing is killing our business. People don’t want to collect the old from us anymore and the banks are not giving us the new notes.
As bank customers besiege commercials banks in Delta State to beat the deadline for cash swap of new naira notes, Central Bank of Nigeria (CBN) has advised that it should not result to panic and apprehension.
In Delta state, there is rush associated with the exchange of old naira notes with old ones amid CBN’s January 31 deadline.
Across the length and breadth of Asaba, it’s a dirge of agonies, woes, dilemma and confusion and frustration from commercial banks over the new naira notes debacle.
Traders are now skeptical and apprehensive on whether to continue their business transactions with the old naira notes or not. They are simply confused on how to handle the issue whether to stop transacting business with the old notes when they don’t have access to the new ones.
Gift Onaiye who sells crayfish, shrimps and other seafoods for customers said she was surprised to discover that the withdrawal she was to make was to be paid in the old naira notes!
“I don’t have the new naira notes as none of my customers have paid me with them. So, how can I stop using the ones I have? I can’t just carry all my money to bank and be waiting for them to give me new notes. What will I use to buy my personal needs if by Monday, the deadline comes? I don’t know what to do.”
She expressed her dilemma: “I only have three 200 hundred naira notes of the new currency which I have kept aside. When I went to bank today to deposit all my money thinking if I withdrew some, they would give me new currency notes, it was still the old currency notes.”
But the director, Banking Services, CBN, Abuja Mr Sam Okejere and the CBN branch controller, Delta State, Mr Godwin Okafor, allayed the fears of the masses, saying there are several payment methods.
During a sensitisation programme on cash swap and facilitation of the circulation of its new naira notes, Mr Okafor mentioned some of the payments to include instant payment, online transfers, bank verification number (BVN), debit/credit cards, international bank transfer, among others.
While saying that the cash swap programme is in partnership with super agents and deposit money banks (DMBs) at different parts of the country, “The agent shall exchange a maximum of N10,000 per person. Amounts above N10,000 may be treated as cash-in deposit into wallets or bank accounts in line with the cashless policy. BVN, NIN, or Voter’s card details of the customers should be captured as much as possible.
They said the super agents refer to companies licensed by the CBN to recruit for the purpose of agency banking and will sensitise customers on opening wallets, bank accounts and the various channels for conducting electronic transactions.
“Designated agents are eligible to collect the redesigned notes from DMBs in line with the revised cash withdrawal limit policy. Agents are also permitted to charge cash-out fees for the cash swap transactions but prohibited from charging any further commissions to customers for this service,” Okafor said.
While revealing principals (super agents, MMOs, DMBs) shall be held accountable for their agents’ adherence to the above guidelines, they said these agents will render weekly returns to their designated banks regarding the cash swap transactions while the banks shall in turn render the same to the CBN on a weekly basis.
The exercise was performed on Friday in Asaba, lllah, lbusa, Ogwashi-Uku, in Oshimili South, Oshimili North and Aniocha South local government areas of the state.
Transporters plying inter and intra-state routes in Akwa Ibom State have expressed dismay at the new currency regime, lamenting that it has come to compound the already tense atmosphere chocked by the prevailing fuel crises with a litre being sold for N400 in the state.
“We don’t have the time to leave our work to go and queue at the bank to deposit the old notes because the banks are already overcrowded with the approaching deadline,” a mini-bus driver plying Uyo-Ikot Ekpene road, Udo Ekanem explained.
“I already have a lot of old notes piled up and I had to tell my wife and children to help me go and bank them, but some of them returned without depositing the cash,” he added.
Calling on government and the National Assembly to intervene by impressing it on the Central Bank of Nigeria (CBN) governor, Godwin Emefiele, to extend the deadline, a commuter, Effiong Inyang lamented that “today, I could not board a bus to Eket because the driver pointedly told me it’s either the new notes or perish the thought of joining my bus.
“I was stranded yesterday traveling from Uyo to Eket. The driver suddenly stopped midway to demand for fares, but was disappointed when nearly every passenger thrusted the old notes. He rejected them and offered to coney only those with the new notes to their destination in Eket.”
Less than four days to the deadline for the redesigned naira by the CBN, some Point-of-Sale (POS) operators in Bauchi State who are still using the old currencies have increased charges for transactions in the old banknotes.
A check by LEADERSHIP Weekend showed that the operators increased deposit charges by about 50 per cent.
The operators are now charging between N150 and N200 for N5,000 and N10,000 deposits as against N100, while others simply refused transactions in the old naira notes.
A POS operator, Mrs Grace Simon said she rejected the old naira notes because it was difficult for her to deposit it in the banks due to long queues.
“There is a multitude of customers in the banks, you have to spend several hours in the queue to deposit the old naira notes.
“Honestly, I don’t have the strength, and that is why some of us increased charges for old naira notes.
“The charge for a transaction in the new banknotes still remains the same,” she said.
According to him, the new notes are not readily available. He narrated that all efforts to obtain the new notes from the banks to satisfy his customers proved abortive.
Nwakwe revealed that over 30 percent of cash outlay with him are of the old notes and intends to pay into his account waiting for further details.
A transporter, Chima Ibezim, expressed dismay in respect of the hardship he is passing through, according to him, the new notes are not in full circulation as commuters still pay with the old notes.
He appealed to the Federal Government to extend the deadline so as to save the citizenry from further sufferings and untold hardship. He urged the CBN to make available the new notes in larger quantities.
A visit by LEADERSHIP Weekend to many POS operators in Damaturu, the state capital, revealed that many are rejecting the old naira notes while few others still collect it.
“I collect the old notes because our ogas said they don’t have problem till on Sunday but, many artisans that we roam about together in the town, reject the old notes,” a cola nut seller, Mohammed Nura said.
Governor Buni had in a statement issued by his director-general on Press Affairs and Media, Mamman Mohammed sought the extension to the deadline as only 4 out of the 17 LGAs have banks.
Commercial Activities have been paralysed in Jigawa State as people spend days on cues to withdraw money from ATM while old notes are been rejected ahead of Central Bank of Nigeria (CBN) deadline.
Local markets, traders, food vendors as well as other small and medium business are virtually shut down which has consequently thrown families into untold hardship.
Going round the state, people seemed confused as new notes were difficult to get to meet their family needs while many lamented how the CBN policy is unfriendly to rural communities.
A trader in grains, Bashir Maidaura narrated how he kept going to an ATM point for two days to get money for buying grains at local markets as old Naira notes are no longer accepted there.
Saifullahi Ibrahim of Kudai town Dutse local government who was found standing frustrated on a queue at an ATM point said he was very exhausted as he spent more than 12 hours without getting the new note to feed his children.
“This CBN policy is very disgusting, unfriendly and unfair to us the electorate who voted this government into power.
Mustapha Sulaiman of Kuma town Buji local government revealed that, there was no single CBN or any commercial bank agent providing the people with new notes in exchanging with old notes.
“Please, we in villages lack access to the new notes. Life is becoming very unbelievable for us as the old notes are rejected. We are calling on the CBN governor to extend the deadline to avoid total breakdown of law and order in our society. The security situation is already very alarming,” Mustapha stated.
“We are politicians. This policy has potent negative impact on our campaigns.
Please Baba Buhari and the CBN governor should look into our future and the difficulty our rural people are facing. Extend the deadline and increase the withdraw limit for the sake of God,” Talatu called.
Residents of Ilorin, Kwara State are going through difficult times due to the twin-problem of acute fuel scarcity and rejection of old naira notes by petty traders.
Commercial drivers, including motorcyclists and tricyclists, have hiked transport fares as only a few filling stations that dispensed fuel as at the time of filing this report now sell a litre of petroleum at N350.
The hike notwithstanding, there were long queues at the filling stations.
Most poor residents were also starving because of the rejection of the old naira notes by food sellers.
LEADERSHIP Weekend gathered that food vendors, especially in the downtown in Ilorin were insisting on collecting new naira notes or N100, N50 and N20 notes.
Three residents of Okelele, Alagbado and Oja-Oba area of Ilorin, Alh Mubaraq Salahu, Raheem Onibembe and Alhaja Adenike Khadija confirmed the rejection of the old naira notes by food vendors and marketers.
Worse still, the commercial banks were still paying their customers with the old naira notes.
A bank customer, Alh Umaru Yerro said:”I was at a bank at Taiwo Road, Ilorin this morning (Friday) to withdraw money. The bankers offered me the old naira notes which I rejected. Apparently, they didn’t have new naira notes. I left the bank dejected.”
A seller of beans cakes popularly called akara, Alhaja Salamat AbdulGaniyu said, “I cannot take the old naira notes again from my customers as the January 31 deadline is fast approaching. I don’t want to be caught unawares.”
On the rise in transport fares, transporters blamed the hike on astronomical increase in the price of petroleum and the man-hour spent at the filling stations queuing to buy fuel.
When LEADERSHIP weekend visited some ATMs at UBA, Unity, Zenith and Access banks along Ahmadu Bello Way in the state capital, customers were on long queues waiting for the management of the banks to put new notes in their ATMs.
Our Correspondent gathered from some customers that most of them were at the banks from as early as 5:30am till midnight.
In Benue State, most banks are still dispensing old Naira notes to their customers, even at the ATM points.
In an interview, one of the customers who vowed to return the old notes he withdrew from the ATM in one of the banks in Makurdi metropolis, appealed to the CBN to extend the time for the usage of the old Naira notes since the new notes are limited in circulation.
Our correspondent who went round to monitor some of the banks observed that most banks were overcrowded because customers who came to withdraw money were rejecting the old notes.
In an interview, one of the bank staff who pleaded anonymity said for over three days now, their bank is yet to get the new Naira notes from the CBN. So, they were dispensing what they had – old notes – to customers.
He said, “We don’t know what is really the problem but most of the commercial banks including ours, since the beginning of this week, are yet to get the new Naira notes from the CBN and our customers are rejecting the old ones.”
A POS operator who did not want her name in print informed that instead of collecting 10 per cent for every amount deposited or withdrawn, they were collecting 20 per cent for anyone that is collecting new notes and 10 percent for new notes.
Credit: https://leadership.ng/billions-of-old-naira-still-in-circulation-3-days-to-deadline/
As the new naira notes enter circulation, DEBORAH DAN-AWOH, UTHMAN SALAMI and JOSEPHINE OGUNDEJI get reactions from Nigerians about the redesigned currency.
The rate at which inflation in the country has been accelerating has been a major source of concern for the Central Bank of Nigeria. It has taken different measures to control rising inflation that hit a 17-year high of 21.47 percent in November. Some of the latest steps taken by the monetary authority to meet the challenge were the redesign of the naira and the introduction of a new cash withdrawal limit.
CBN Governor Godwin Emefiele announced plans on October 26 to redesign the N200, N500 and N1,000 notes. He said it would take effect from December 15 and Nigerians have until January 31, 2022 to exchange their old naira notes.
Emefiele explained that the redesign of the local currency became necessary to address inflationary problems, counterfeiting, insecurity and other problems that plague Nigeria. He also claimed that the redesign of the naira was aimed at controlling the currency in circulation, as well as ransom payments to kidnappers and terrorists.
“Indeed, the integrity of a local legal tender, the efficiency of its supply, and its effectiveness in conducting monetary policy are some of the hallmarks of a great central bank. In recent times, however, currency management has faced several daunting challenges that have continued to grow in scale and sophistication with concomitant and unforeseen consequences for the integrity of both the CBN and the country.
“More specifically, as of the end of September 2022, the data available at the CBN indicates that N2.73 trillion of the N3.23 trillion currency in circulation was outside the vaults of commercial banks across the country, and allegedly in hands of members of the public. . Clearly, the currency in circulation has more than doubled since 2015, from N1.46 trillion in December 2015 to N3.23 trillion in September 2022. I must say that this is a very worrying trend that cannot be allowed to continue.” .
Emefiele highlighted the challenges driving CBN's action such as significant banknote hoarding by the public; worsening shortage of clean and fit banknotes with a concomitant negative perception of the CBN and increased risk to financial stability; and the increased ease and risk of counterfeiting evidenced by various security reports.
Coinciding with the recent withdrawal of N100,000 and N500,000 weekly OTC memos for individuals and businesses. Emefiele added that CBN would work with law enforcement agencies such as the Economic and Financial Crimes Commission and the Independent Commission for Corrupt Practices and Other Related Crimes, to complicate and track large withdrawals.
However, despite Emefiele's explanation, much agitation greeted the announcement, with many arguing that the redesign of the banknotes and the limited time frame for their implementation could bring the country's economy to its knees. The National Assembly even asked the apex to review the policy as it would have an adverse impact on the economy, but the central bank was adamant, saying it would not go back on the December 15 date for the introduction of the new notes.
Bank customers speak
The main bank stood its ground when the redesigned naira notes entered circulation on Thursday. PUNCH correspondents went to different banks to find out customer reactions to the introduction of the new banknotes. Many of them expressed reactions, unsure about the impacts it would have on them in the long term.
Although not many have received the new naira notes, particularly in Lagos and Ogun State, a client of Zenith Bank, Caleb Oboagwina testified that he received the new notes due to the special relationship he has with the bank.
He said: “The redesign of the naira is not the real issue, but the monetary policy that the Central Bank of Nigeria has decided to propose and impose at the same time.
"All countries have a similar policy to help their currency appreciate."
A media consultant, Mr. Aderemi Lawrence Oluwanisola, while speaking to our correspondent at the United Bank for Africa banking room in Marina, Lagos, said the decision was a waste of time and resources.
He said: “When you talk about creating new notes, there is no significant impact on the economy. It is just a mere renewal of new notes. It's just repackaged. It has no economic effect. It's like buying new clothes and getting rid of the old ones.
“People say it's going to stop people from keeping large sums of money in their homes, but that's not true. They will continue their act once the new notes are fully in circulation."
Another customer, Sulaiman Ayinde, a farmer, told The PUNCH in the banking room of Sterling Bank in Marina, Lagos, that the logic behind the new notes was not well conceived and thought out.
According to him, “it will affect the economy. It is as if they wanted to reduce money in circulation.
“And why did they have to spend such a large amount of money to print money when those who want to keep money would continue to do so after the old ones have been taken out of circulation? So it's a waste of effort. Whoever is behind it must be questioned."
Meanwhile, Mr. Emmanuel Anoro, believes that the decision was the right one to take considering the depreciation of the naira.
He added: “Exchange for new naira notes is fine. It will help exchange contaminated banknotes and discourage people from keeping money inside their homes.”
However, he explained that he had not yet fully understood the cash withdrawal limit plan. He said: “But the other one, the cash-out limit, is what I don't seem to understand. The reason behind that has not been properly explained. The new naira is fine."
A client of Guarantee Trust Bank in Redemption Camp, Mowe, Ogun State, Wale Adeagbo, said it was mismanagement of public funds. He said: “In all honesty, I see the naira redesign as a means by which CBN has lawfully mismanaged public funds. A lot of money was spent on this so-called redesign.
"Achieving the purpose of checkmating kidnappers who demand cash ransom, only time will tell its effectiveness."
Speaking about the new banknotes, a GTB customer, Ruby Natan-Utu, expressed his displeasure with the aesthetics.
She said: “In terms of aesthetics, I don't like them. However, in terms of what you're aiming to achieve, I'm all for it. The benefits outweigh the challenges. There is no doubt that the country is corrupt and with the upcoming elections, some people may have a lot of cash in their homes. Therefore, this is the only way to dispose of the cash hidden in the houses to buy votes.
An access bank customer, Williams Akinyele, said the redesigned notes are no different from the old ones.
He said: “It looks like CBN just told their designers to add more color to the old ones while swapping the colors of N500 and N200 with each other. However, I think the approach is not bad. To some extent, it would control counterfeiting as implied by the CBN governor and possibly inflation as well. Clearly we have too many nairas in circulation. The rate at which we have people accumulating naira is also alarming. Maybe this will solve this problem a bit too. However, the design is really ugly; the CBN could have done better”.
Femi Eden, who does banking with Kuda Bank, noted that the notes are not aesthetically beautiful. She stated that the goal behind the redesign is valid, as it can help checkmate vote-buying during the upcoming general election.
Tolulope Abimbola, a client of Zenith Bank, said she does not trust Nigerian politicians. She said: "Well, I think it would help cut down on cash vote buying and all that, but I still don't trust our current class of politicians because they always find ways around laws and policies."
An Access Bank customer, who preferred to be identified as Folashade, said he hoped the naira redesign would help curb inflation. According to her, the new naira coincides with the cashless policy memorandum. “It will help reduce the circulation of excessive cash and reduce the public display of naira notes at parties and events,” she enthused.
Daniel, who also works with Access Bank, noted that this will at least "help track down these kidnappers who are only in possession of old banknotes." However, he added that there were downsides to the coin redesign, as the grassroots have been a bit skeptical. “I remember that I tried to buy something in the market and the woman who was selling it refused to collect the money, thinking that it was fake. After much persuasion and confirmation from five people that she was original, she finally picked it up."
Although Isaac, a UBA customer, was enthusiastic about the introduction of new notes, he said: "I hope this will help curb the economic problems because that is what CBN has promised."
Expert views
Chapel Hill Denham's director of research and strategy, Tajudeen Ibrahim, told The PUNCH that he was concerned about the limited time Nigerians are given to exchange their old naira notes for new ones.
“What this will do is create a rush for the new naira notes, as there is a limited time before the old ones become obsolete.
“This fever can come in two forms. First, hurry to exchange the currency bills for the new bills. The second way is that every transaction in dollars or we can say that most of the transactions will be changing dollars to naira”, he argued.
Ibrahim revealed that Nigerians in the diaspora returning home for the holidays would join the queue to demand the new naira.
He added that the high demand “will help in part to stabilize or even slightly appreciate the local currency in the parallel market. It could also drive the appreciation of the naira in the short term, which is not sustainable."
However, the founder and CEO of the Center for the Promotion of Private Enterprise, Dr. Muda Yusuf, explained that the timing of the disbursement of the new naira may clash with the speed of business transactions.
He noted: “In terms of time, it will slow down economic activities. In this season, many transactions will take place. And most transactions will be in cash, especially at retail outlets, at the informal sector level, and locations outside of urban centers.
“So as people make these transactions, there will come a point where people start rejecting old bills because as we get closer to the cutoff date, the rejection rate will increase and if that happens, it will slow down the transactions. economic transactions. ”
Previous reports from The PUNCH shared that ICAN recommended closer collaboration between the CBN, tax authorities (i.e. Federal Ministry of Finance, Budget and National Planning) and law enforcement agencies to preserve the integrity of the system. country's financial
It added: "Any person or organization found to be in contravention of our monetary and fiscal regulations must be prosecuted to the fullest extent of the law."
He urged the CBN to be transparent and tell the public the cost of redesigning the naira, adding that the CBN should vigorously pursue the push for a cashless economy.
Credit: https://punchng.com/nigerians-receive-new-naira-notes-with-mixed-feelings/Where this photo is from, Vetiva Capital Management
an hour passes
Friends, family and many Nigerians are not beginning to mourn the death of Dr. Olaolu Mudasiru who will be deputy general manager, co-founder of Vetiva Capital Management (VCML), an investment and asset management company.
This latest news of my death spread to social media and shock pipo.
Vetiva Capital Management announced the death of Dr. Olaolu as Deputy General Manager/COO and Co-Founder of this company.
For one Twitter post, this company posted a photo of Dr. Olaolu, better known as Dr. Bob, and wrote:
"We haven't lost our Super Griffin. Rest in peace, Dr. Olaolu Mudasiru (Dr. Bob)."
Local media reports that Dr Olaolu passed away on Sunday morning after a motorist got stuck while cycling with two pesin towards Bourdilion Road, Ikoyi in Lagos State.
Report add say a hit and run driver ran from the scene after the accident.
Lagos tok-tok pesin police, Benjamin Hundeyin, never issue a statement and arrest any pesin suspected of being the hit-and-run driver.
BBC Pidgin tries to reach Benjamin Hundeyin but does not respond.
Di news about how Dr. Olaolu death takes, send shock to im family and friends plus odas
Some close friends and business associates don't take to Twitter to pay tribute and express their grief.
Wetin to know about Dr. Olaolu Mudasiru
Dem born Dr Olaolu Mudasiru Aka Dr Bob on August 5, 1968.
He is the first son of Gbolahan Mudasiru, former Military Governor of Lagos State.
He is Deputy Managing Director/COO and Co-Founder of Vetiva Capital Management Limited.
Before co-founding Vetiva, Olaolu worked for Oando Plc, Asset Resource & Management Company (a subsidiary of Guaranty Trust Bank Plc) and Standard Trust Bank (now UBA Plc).
Dr. Olaolu is an investment banker with extensive experience in the stock brokerage, asset management and oda aspects of investment banking business.
E get MSc in international securities, investment and banking from di ICMA Center of di University of Reading UK.
Dr. Olaolu holds an MBBS degree from the University of Medicine University of Lagos, Nigeria.
I am a leading member of the London Stock Exchange, an association of the Chartered Institute of Stockbrokers, Nigeria and also a member of the Medical and Dental Council of Nigeria.
We will also receive the Chevening Scholarship which the UK Government gives to mid-career high flyers worldwide.
The court of appeal sitting in Abuja has upheld the conviction of Faisal, son of Abdulrasheed Maina, former chairman of the defunct Pension Reform Taskforce Team (PRTT), over money laundering.
Maina is currently serving an eight-year jail term at the Kuje prison in Abuja over the laundering of N2 billion pension funds.
A three-member panel led by Ugochukwu Anthony Ogakwu, the lead judge, gave the ruling on Thursday.
In the ruling, Ogakwu held that the federal high court was right to have convicted Faisal over the charges levelled against him.
The three-member panel reduced the jail term from 14 years to seven, saying the trial court should not have handed a maximum term on the ground that Faisal is a first-time offender.
Faisal was convicted by the federal high court in Abuja over money laundering and sentenced to 14 years imprisonment in October 2021.
Okong Abang, the trial judge, held that the anti-graft agency established that Faisal operated a fictitious bank account with the United Bank for Africa (UBA), through which his father, Maina, laundered the sum of N58.
1million.
The court noted that the said fund which was initially deposited into the UBA account, operated in the name of “Alhaji Faisal Farm 2”, was subsequently withdrawn by Faisal and his father, between October 2013 and June 2019.
The Economic and Financial Crimes Commission (EFCC) arraigned Faisal on a three-count charge bordering on money laundering.
Speaker of the House of Representatives, Rep. Femi Gbajabiamila said in Abuja on Monday that Nigeria would enforce its Bilateral Aviation Safety Agreement (BASA)
BASA is an agreement that provides for civil aviation certifications to be shared between two countries.
Gbajabiamila made the declaration at a roundtable with aviation stakeholders and top government officials to resolve trapped foreign airline’s funds of 700million dollars in Nigeria.
The roundtable was also set up to thrash out the issue of visa ban on Nigerians by the United Arab Emirates (UAE)
The speaker said there was the need for all stakeholders to shift ground in the interim, but that in the long run, the solution is to implement BASA agreements.
Gbajabiamila said government would make efforts to, at least pay half of the trapped funds by the end of 2022.
This, he explained would allow Emirates Airline of the UAE to return to status quo and the alleged UAE visa ban on Nigerians to be lifted.
“Even if we clear the backlog, we will still run into these issues for as long as the BASA agreement of reciprocity is not respected because we will continue to accumulate.
“If BASA is respected, Nigerian airlines will reduce the deficit going to the foreign airline, so there is no running away from that and we will enforce that,’’ he said.
Gbajabiamila said national interest should always be on the front burner, adding that if the visa ban was connected in any way with the trapped funds; that would be the most nauseating thing he ever heard.
The lawmaker said it was important to resolve the issues as failure to do so would tantamount to “cutting your nose to spite your face’’.
“We will in the long run, sit with the government of UAE and let it know that Nigeria is not a country that you can toy with.
“I know that there are ways where Nigeria has upper hand on them; the doctrine of reciprocity is not confined to the issue at hand.
“It can be defined in a broad term and that is what I want the government of UAE and indeed any other country to realise.
National pride and sovereignty are two important things.
What they wouldn’t take, they should not dish out,’’ he said.
In his submissions, Governor of the CBN, Mr Godwin Emiefele, said since 2016, the bank had always accorded priority to foreign airlines to repatriate their funds.
He stressed that the bank accorded extreme priority to International Air Transport Association (IATA) in the allocation of foreign exchange.
Emiefele recalled that because of the recession of 2016, he informed the airlines that there would be delays in the repatriation of funds while assuring them that their monies would not be lost.
“On a particular day, I took a decision to allocate 265 million dollars to foreign airlines.
“On that day, we allocated 322 million dollars to IATA through UBA; Qatar Airways got 22.8 million dollars through Standard Chartered Bank.
“Emirates Airline got 19.6 million dollars through Access Bank; British Airways got 5.5 million dollars through Garanty Trust Bank; Virgin Atlantic Airline got 4.8 million dollars through Zenith Bank,’’ he said.
He noted that the problem was the issue of not granting Nigerian Airline opportunity to fly into other countries with which the country has BASA.
He stressed that disallowing Nigerian airlines the opportunity to operate foreign flights was chocking the country.
“When you allow Nigerian airlines to fly into other countries, they charge in naira and that is what we expect foreign airlines operating on Nigeria to do.
“But under the BASA agreement, every penny that the foreign airline sells in ticket must be converted to dollars and taken away.
“But if Nigerian airlines charge in naira, it does not have to convert to dollars and so that naira sits here; that is why we are saying countries with which we have agreement must respect BASA.
“You cannot be landing 21 flights into Nigeria and you do not allow any Nigerian airline to land in your country.
“And when the Nigerian airlines land, you intimidate them with sniffer dogs and do not allow them to carry out maintenance checks,’’ he lamented.
Emiefele stressed that such attitude was making life difficult for Nigeria and it also meant taking advantage of a country with the largest population, largest economy and market in Africa.
The governor said that part of the money had been paid and that more funds would be released to the foreign airlines at the end of October.
The CBN boss said what was happening in the aviation sector was a global issue, adding that the global outlook was darkening due to deepening global slowdown.
He said that in line with the principle of globalisation, it was expected that countries would work together, but that unfortunately, de-globalisation was going on as countries were thinking about themselves alone.
The governor said the same issue was playing out in the aviation sector with regards to the demand of the foreign airlines.
He said that more than a third of global economy was in recession and that rising unemployment and inflation was hitting the global economy, while growth was on the decline.
According to the governor, global financial market had become very difficult.
He stressed that de-globalisation, the Russia-Ukraine war, inflationary pressure, the China slowdown which is now in the negative, could spell disaster for most countries in 2023.
In his remarks, Minister of Aviation, Sen. Hadi Sirika said Nigeria, with a population of about 215 million highly mobile people would not succumb to threats.
Sirika said that he expected the foreign airlines to understand when Nigeria is in a difficult situation given the amount of money they make in Nigeria and should not threaten to shut down operations.
“If you disagree, we expect that you come to us and we negotiate and we give you what we have in the hope that we finish paying; what I have problem with is threats.
“Every country; every airline will threaten Nigeria.
We will not fly to Nigeria again; we are not giving Nigerians visa; we won’t do our operations; we will shut down Abuja and Lagos,’’ he quoted the other countries as saying.
“Please countries have been shut completely and they did well, there are examples in Asia, the Middle East and even Europe; we are not afraid of being shut.
“It will help us to do better; our school and hospitals will do better; we will begin to go to our own hospitals and to our own schools.
“If you shut down Nigeria, it does not make any sense and we are not threatened,’’ he added.
In his submission, Deputy President, Airline Operators of Nigeria (AON) Mr Allen Onyema, the Chief Executive Officer of Air Peace Airline, noted that Nigeria is the largest market for the international airlines.
He said the foreign airlines had gained a lot from Nigeria over the years and this was not the way to payback in Nigeria’s difficult times.
He said that UAE visas local airlines applied for through agents had been turned down since last week.
According to him, those still flying to the UAE are those who have existing visas, all others have stopped flying and by Oct. 28, Air Peace, too will pull out.
“At any point in time, we expect these foreign airlines to respect our country and not to arm-twist us for their benefit.
“Africa has been the whipping boy for everybody and this has to stop no matter the price anybody has to pay.
“It is time to speak up against this evil; it is not good; we expect them to reciprocate what Nigeria had been to them all these years,’’ he said.
Onyema said that the solution to the issues of trapped funds would be to reduce the frequency of foreign airlines operations and grant equal opportunity to local airlines to operate international flights.
The Country Representative of IATA in Nigeria, Mr Samson Ifatokun acknowledged that the CBN was doing its best to resolve the issue of trapped funds.
He said, however, that the foreign airlines needed some form of assurance and a roadmap on how the balance would be paid.
Ifatokun said that the position of the speaker would be communicated to the foreign airlines for their consideration and final decision.
NewsSourceCredit: NAN
The Police Command in Sokoto State had arrested a dismissed Police Officer and four others over alleged criminal conspiracy, armed robbery and kidnapping in the state.
Mr Muhammed Gumel, the Commissioner of Police in the state made the disclosure while addressing newsmen in Sokoto on Friday.
Gumel said the command on Sept. 17, received report that on the same date, some armed men in Wamakko Local Government Area attacked and inflicted serious injuries on a male victim.
“The armed men carted away from the victim a cellphone valued N90,000 and kidnapped a female victim, but she later jumped off the moving motorcycle and was rescued by a good samaritans.
“In the process of investigation, the police arrested five suspects in connection with the crime, among them is a dismissed Police Officer whose uniform was used by one of the suspects who happened to be his younger brother,” he said.
The commissioner also disclosed that the command on Oct. 3, received a report of one Abubakar Aliyu, who was sighted while on admission at Orthopedic Hospital Wamakko receiving treatment.
“Aliyu was identified by a victim’s brother to be among those who on July 21, criminally conspired with others and kidnapped a 55-year-old person in Takwacho village of Tambuwal LGA.
“The suspects demanded the sum of N3 million as ransom.
However, when the victim’s father went to pay the aforesaid amount to secure his release, the culprits collected the money, killed both the victim and the father,” he said.
Gumel added that the suspect, during investigation confessed to conspiring with two others and kidnapped the deceased and many others.
“Search at the suspect house led to the recovery of one live AK-47 ammunition, Tecno T528 handset with sim number: 07068044739, containing Bank alert details of UBA with account number 2253307925.
“Other items recovered include operational wears and a charm vest,” he added.
Gumel said that the police also arrested another suspected gang of five armed robbers who allegedly conspired and ransacked a house in Wamakko LGA and made away with N800,000.
“Other arrests were those of 17 suspects that include two women over alleged possession of hard drugs and other dangerous weapons in Sokoto South LGA.
“The command had also with the support of vigilante group in Rabah LGA, recovered 96 sheep and three cows from bandits who stormed Yar Tsakuwa District of the area,” he said.
NewsSourceCredit: NAN
The Nigerian equity market on Thursday posted negative results due to profit taking in some Tier-One banking stocks by investors.
Consequently, the All-Share Index (ASI) dipped by 7.46 basis points or 0.02 per cent to close at 47, 524.38 as against 47,531.84 recorded at the previous trading session.
Also, market capitalisation depreciated by N4 billion from N25.889 trillion on Wednesday to N25.885 at the close of trade.
The key drivers of the weak performance were stocks of Zenith Bank, Access Holding and United Bank for Africa(UBA).
The market breath, however, ended positive with 13 gainers against 10 losers.
Meanwhile, a turnover of 86.54 billion shares exchanged in 3,264 deals was recorded in the day’s trading.
Further analysis of the day’s trading showed that in percentage terms, Honeywell Flour Mill topped the day’s gainers’ table with 9.79 per cent to close N2.13 per share.
Neimeth International Pharma followed with a gain of 9.52 per cent to close at N1.38, while Fidson grew by 7.88 per cent to close at N9.17 per share.
Also, Chams appreciated by 7.69 cent to close 28k, while Livestock Feeds added 6.8 per cent to close at N1.10 per share.
On the flip side, UACN led the losers with a drop of 9.76 per cent to close at N9.25 per share while Geregu Power shed 9.02 per cent to close at N110 per share.
LASACO shed 6.67 per cent to close at 84k kobo per share.
Conerstone Insurance and Champion Breweries dropped by 5.45 per cent and 3.33 per cent each to close at 52k and N3.48 per share, respectively.
NewsSourceCredit: NAN
The equity market recorded a loss of N78 billion or 0.29 per cent on Tuesday as market capitalisation closed at N26.373 trillion compared with N26.451 trillion posted on Friday.
Similarly, the All-Share Index dipped by 144.42 points or 0.29 per cent to close at 48, 879.74 from 49,024.16 recorded on Friday.
Selloffs in Tier-one banks such as Zenith Bank, Access Holding, FBN Holding and Guaranty Trust Holding Company (GTCO) were the primary drivers of the market’s weak performance.
As a result, the year-to-date (YTD) return fell to 14.43 per cent.
Analysts at Vetiva Securities Ltd. said, “We expect another mixed day of trading tomorrow, amid bargain hunting activities across board as investors continue to tread cautiously in the market.
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Overall there were nine gainers and 21 losers, with Multiverse Mining and Exploration leading the gainers’ chart with 9.76 per cent to close at N4.05 per share.
RTBriscoe followed with a rise of 8.82 per cent to close at 37k, while NGX Group gained by 7.5 per cent to close at N21.50 per share.
AIICO Insurance rose by 5.77 per cent to close 55k per share.
Africa Prudential appreciated by four per cent to close at N5.20.
Conversely, International Breweries led the losers’ chat with a depreciation of 9.09 per cent to close at N4.50 per share.
Red Star Express declined by 7.83 per cent to close at N2.12, while Sovereign Trust Insurance went down by 7.41 per cent to close at 25k per share.
Japaul Gold and Ventures fell by 7.14 per cent to close at 26k per share.
Also, Consolidated Hallmark Insurance lost by 7.02 per cent to close at 53k per share.
A total of 125.95 million shares valued at N3.07 billion were exchanged in 4.145 deals.
GTCO recorded the highest volume of 17.19 million shares traded worth N1.26 billion.
Zenith Bank followed, having sold 14.39 million shares valued at N283.88million.
United Bank for Africa(UBA) traded 10.67 million shares worth N73.19 million, while NGX Group sold 8.35 million shares amounting to N173.92 million.
Also, Chams sold 6.78 million shares worth 1.87 million.
NewsSourceCredit: NAN
The Nigerian Exchange Ltd. (NGX) was upbeat on Monday as market capitalisation increased by N87 billion or 0.33 per cent to close at N26.532 trillion from N26.445 trillion recorded on Friday.
Also, the All-Share Index (ASI) increased by 162.70 basis points, representing a rise of 0.33 per cent to close at 49,189.32 from 49, 026.62 posted on Friday.
Renewed investors’ interest in BUA Cement, Guaranty Trust Holding Company (GTCO) and Zenith Bank were the primary drivers of the overall strong performance of the market.
Consequently, the year-to-date (YTD) return rose to 15.22 per cent.
The market breath closed negative as as 12 stocks advanced and 17 stocks declined.
Multiverse Mining & Exploration led the gainers’ table during the day, gaining by 10 per cent to close at N3.10 per share.
FCMB followed with a gain of 8.02 per cent to close at N3.50, while Union Bank of Nigeria (UBN) inched up by 7.83 per cent to close at N6.20 per share.
Japaul Gold &Ventures grew by 7.41 per cent to close at 29k per share.
NGX Group appreciated by 5.88 per cent to close at N18 per share.
On the other hand, Academy Press topped the losers’ chart, depreciating by 10 per cent to close at N1.53 per share.
NEM Insurance trailed with a loss of 8.91 per cent to close at N4.91, while Neimeth declined by 8.33 per cent to close at N1.43 per share.
Champion Breweries was down by 7.86 per cent to close at N3.40, while Chams lost by 7.41 per cent to close at 25k per share.
Transactions in the shares of Courteville Business Solutions topped the activity chart with 24.36 million shares valued at N10.96 million.
FCMB followed with 20 million shares worth N69.43 million, while Zenith Bank traded 8.87 million shares valued at N177.14 million.
Transcorp traded 5.92 million shares valued at N6.15 million, while United Bank for Africa(UBA) transacted 5.88 million shares worth N42.64 million.
NewsSourceCredit: NAN
Harvests from Nigeria’s global economic summit in New York
Harvests from Nigeria’s global economic summit in New York
By Garba Shehu
On Thursday last week, the Nigeria International Economic Partnership Forum was held in Manhattan, New York in the middle of the most important international event of the year: the United Nations General Assembly (UNGA).
The Forum was enormously popular, attracting some 500 guests and delegates – almost double the expected number.
While this resulted in a somewhat chaotic atmosphere at times, the Forum was a resounding success: a clear indication of investor confidence in Nigeria.
Nigeria is the biggest economy in Africa and seeks to raise GDP to USD 965 billion-almost a trillion Dollars by 2027.
Under President Muhammadu Buhari, the nation has recorded marked progress in highways construction, bridges, railway, power, electrification and capacity addition in airports and their modernization.
As the President spoke, making the determination of his government to open more and more sectors of the economy to the private sector, a particular participant stunned, not a few when he announced that he manages pension funds of USD 1.3 Trillion, money well in excess Nigeria’s current GDP, five times over.
First, well over a billion dollars’ worth of deals benefitting Nigeria and her partners were signed at the Forum, including a $1.3 billion investment from Sun Africa for a new solar energy project; $70 million ring-fenced by Adryada and Noblesse Green Energy for a new biodiversity project; strategic financing support for a new refinery on the Niger Delta announced by Honeywell UOP; and a major philanthropic investment in data for Nigerian schools announced by Airtel Africa that would be setting up internet connection for 100 schools each year for five years running.
A highlight of the event was the Presidential Luncheon, which saw Guest of Honour President Buhari joined by CEOs and Senior Executives from some of the largest and most prominent American and African companies, including GE, Chevron, Honeywell, Bell Flight, Sun Africa, McGraw Hill, American Tower and many more.
The full guest list of participants included the American Tower Corporation, Aveva, Big Sun Holdings, Citi, CrossBoundry Group, Cure Violence Global, Entrust, Educational Testing Service, ExxonMobil , GE Healthcare,Gilead Sciences and Hello Tractor.
Also in attendance were Google, McLarty Associates,Medici Land Governance, NBA, Odum Capital, Oracle, Pearson,Rendeavour, Roche,Seed Global Health, Standard Bank,, UBA America, the AfDB, African EXIM Bank and its US equivalent, Export Import Bank of United States, headed by Reta Jo Lewis, the first ever African-American to lead the organization, and the Jeddah-based Islamic Development Bank, IDB.
We had also in actual participation, the World Food Program, WFP, the Food and Agriculture Organization, FAO, the International Fund for Agriculture, IFAD and NEPAD agency for Africa.
Of course no one could have overlooked the overarching presence and actual participation of the Corporate Council of Africa whose current President, Florie Liser addressed the meeting, saying that the organization is pushing for a private sector roadmap to support investment in several sectors to aid economic growth in Nigeria.
Some of the this country’s biggest corporations were also represented at the highest levels, including, but not limited to the great oil behemoth, the NNPC Limited, the Nigerian Ports Authority, the NIPC, NEXIM Bank, Ndimi’s Oriental Energy, First Bank, Airtel, Flour Mills Nigeria, the Fertilizer Producers Association of Nigeria, the Pharmaceutical Manufacturers Association of Nigeria and so many others.
Interestingly, there were also in attendance, several young Nigerian entrepreneurs who are continually making their mark on the global business landscape.
After breakfast and the opening session, we had the first plenary on Nigeria’s economic outlook and the second one on high level conversations about scaling up international partnerships for Nigeria on the development drive.
Thereafter, eight breakout sessions convened simultaneously for the real business that brought everyone here.
There was a thematic group seeking answers to important questions about growing Nigeria’s agriculture for food security and access to export market.
It addressed questions of increased investment in fertilizer and urea, opportunities for Nigeria-EU partnerships in view of the Russia-Ukraine war and such issues as the need for technology support and innovative financing mechanisms for agriculture.
Nigeria’s Oil and Gas sector came under discussion with a focus on “reforms, results and the road ahead,” where international interest was canvassed for the two pipeline projects taking Nigeria’s gas to Europe through Morocco and Algeria.
Awareness was also raised by the NNPC Limited on the dangers of crude oil to Nigeria and the world at large.
They called it “blood oil.
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The investment climate in Nigeria including systemic risk issues and the vistas of the African Continental Trade Agreement were also brought under focus.
Infrastructure opportunities in power, clean energy, transportation and water came under discussion, as did the ways and means of increasing capital flows into Nigeria, industrial financing, international development financing and the road to greater financial inclusion.
Nigeria also brought for international discussion at this forum, the quest for scaling up international resources for financing education in the continent as well the need for innovative deal-making mechanisms to link government, deal sponsors and international pools capital in the health sector.
There was also a very comprehensive discussion on the next steps for technology development: emerging technologies, satellite technology, digital communication, financing clean industries and the use of technology to combat insecurity.
There have been some of criticisms about the size of the venue and the number of guests; it can only be said that those making those criticisms have never experienced New York during UNGA – one of the world’s busiest and most important international events attended yearly by world leaders from around the globe.
The President himself pointed to the significance of the representation at the forum when he said
“ the beauty of this forum is that the Ministers responsible for all of these sectors are here today, as are some of Nigeria’s premier business leaders who are already excelling in these spaces.
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There were some who criticized the quality of speakers at the Forum.
With a lineup that included the President himself, the country’s most senior ministers and the most senior executives from those prominent companies already mentioned, these claims can only be described as inaccurate.
As for those bandying around other names of supposed speakers who did not attend, they are merely misinformed, and taking their information from a dated, draft list of potential invitees – not from the final list.
Sadly, there are those who will always seek to criticize Nigeria for their own political gain and put her down even in moments of her greatest success.
The resoundingly successful Nigeria International Economic Partnership Forum is a clear example.
We look forward to an equally successful repeat next year.
Nigeria has everyone to thank for this successful program, and not least in this category is the Chief of Staff to the President, Professor Ibrahim Gambari, a veteran of the UN and global systems who was the linchpin of the entire event.
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*Shehu is the Senior Special Assistant to the President on Media and Publicity.
NewsSourceCredit: NAN
