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CBN Introduces N5 Rebate On Every $1 Remittance, Today

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The Central Bank of Nigeria (CBN) has introduced a rebate of N5 for every $1 of fund remitted to Nigeria, through International Money Transfer Organisations in its new forex policy.

The Central Bank Governor, Godwin Emefiele, disclosed this, last Saturday, during a virtual event organised by Fidelity Bank at its inaugural webinar on the impact of the new forex policy on Diaspora investments.

Emefiele said that this new policy takes effect, today.

He said, “Furthermore, in an effort to reduce the cost burden of remitting funds to Nigeria by working Nigerians in the Diaspora, the Central Bank of Nigeria has introduced a rebate of N5 for every $1 of fund remitted to Nigeria, through IMTOs licensed by the Central Bank of Nigeria.

“This rebate will be provided to the bank accounts of beneficiaries, following receipt of remittance inflows.

“We believe this new measure will help to make the process of sending remittance through formal bank channels cheaper and more convenient for Nigerians in the Diaspora. This new policy is expected to take effect on the 8th of March, 2021.”

According to him, efforts at driving remittance inflows into Nigeria would yield positive results as it continued to ensure formal banking channels offer cheaper, faster, and more convenient ways for remitters to send funds to beneficiaries.

The CBN governor said that reducing the cost of sending remittances was a significant way to boost remittance inflows to Nigeria.

In general, he said, the new policy was expected to enlarge the scope and scale of foreign exchange inflows into the country with a view to stabilising the exchange rate and supporting accretion to external reserves.

More importantly, it would provide an opportunity for Nigerians living abroad to make investments in their home country, he noted.

Emefiele said, “Yet, the introduction of the new policy presented new challenges as operators and remittance service providers were initially unable to integrate with the commercial banks.

“The CBN continues to work assiduously to resolve the few intermittent interface challenges that are remaining.”

He said that it was brokering meetings between the IMTOs and banks in order to ensure that they have a smooth transition and the Diaspora community has a more convenient way to remit funds to Nigeria.

According to him, efforts at driving remittance inflows into Nigeria would yield positive results as it continued to ensure formal banking channels offer cheaper, faster and more convenient ways for remitters to send funds to beneficiaries.

He added, “Today, the World Bank data shows that Nigeria, with a total flow of $21billion, was the seventh largest recipient of remittances in 2019.

“This is behind India, China, and even Egypt. Though official remittance flows declined in 2020 due largely to the undermining impact of the Covid-19 pandemic, it maintained its dominance over FDI inflows.”

Emefiele had earlier disclosed that remittances improved from a weekly average of about $5million to over $30million per week through its forex initiatives.

The CBN governor said reducing the cost of sending remittances was a significant way to boost remittance inflows to Nigeria.

More importantly, it would provide an opportunity for Nigerians living abroad to make investments in their home country, he noted.

However, it has been argued that the ‘Naira-for-Dollar’ policy may increase the country’s foreign remittances to $34.89billion by 2023.

Forecast by PricewaterhouseCoopers, one of the big four accounting firms, had suggested that Nigeria’s remittance flows could reach $34.89billion by 2023 if the policies were right.

PwC, in the forecast, noted that the growth in remittances was subject to global economic forces, which could spur or hinder growth of remittance flows, growth in emigration, economic conditions of residing countries and poor economic fundamentals in the Nigerian economy.

The forecast revealed that as of 2017, the highest remittance came from the United States, followed by the United Kingdom, Cameroon, Italy, Ghana, Spain, Germany, Benin Republic, Ireland and Canada.

It added, “Several countries across the globe, including Nigeria, have developed plans towards attracting investment from their Diaspora community for national development. Essentially, the extent to which the Diaspora contributes to the developmental affairs of a country will be determined largely by trust.

“In summary, what is required is a coherent policy framework to harness remittances into generating capital for productive investments for the growth and development of small and micro-enterprises, which will in turn, create employment. In addition, remittances can be deployed toward philanthropic activities, which can serve as solutions for specific deficiencies in the local infrastructure such as schools, hospitals and roads.”

Nigeria’s Diaspora remittance in 2019 was put at $21billion by the World Bank.

Even though the forecast showed that the remittance would have risen to $27.66billion in 2020, experts believe the projection couldn’t have been met due to the impact of the Covid-19 pandemic.

Reacting, a former President, Association of National Accountants of Nigeria, Dr Sam Nzekwe, said this latest move would encourage people to patronise government licensed money transfer operators as opposed to the agents that could not be easily monitored.

It would also ensure that more forex was remitted into the country, he noted.

A Professor of Economics at the Olabisi Onabanjo University, Sheriffdeen Tella, said, “It won’t have any major impact on Diaspora remittances.

“The first thing is that the amount (N5) is too small to attract those living abroad to start sending money home. Don’t forget that these people also have their plans.

“Secondly, it may not be able to save the naira from the current slide. The reason is that production is picking up now and most of production needs foreign inputs. So, people will spend dollars to do more imports. Also, we have not been able tackle illicit financial flows.”

Similarly, the Chairman of Foundation for Economic Research and Training, Prof Akpan Ekpo, said the new scheme introduced by the CBN was aimed at tackling dollar scarcity in the country by encouraging the inflow of the greenback.

Ekpo, a former director-general of the West African Institute for Financial and Economic Management, said, “I think it is just to encourage the inflow of dollars so that they can reduce the amount of naira needed to buy the dollar. Now, the naira has depreciated officially to 410/$1; it is about 480/$1 in the black market. That gap is still wide; so, the CBN is trying to narrow the gap.

“The only way we can boost forex supply is to diversify the economy – build a complex industrial economy where we earn forex outside of oil. That is the only way we can boost forex supply, not the way we are going.”

But he said while the impact of the CBN policy on the Nigerian economy would be marginal, it would not save the naira from sliding down further.

Ekpo explained, “That is the idea – to see whether they can stop the depreciation. Whether that will happen, I don’t think that will happen in the short term. The impact on the economy will be very marginal. The idea is that they want to bring in more dollars because if you stabilise the exchange rate, you will restore confidence in the economy and hopefully, if you restore confidence, you might encourage an inflow of foreign direct investment. That’s the whole idea.”

He said, “We don’t know (whether the new policy will increase Diaspora remittance); let’s see what happens before six months because the only way you can increase dollar supply is for the country to produce and export non-oil (commodities), not just crude oil only. If it’s crude oil alone, we are earning a lot of revenue from oil, but still we have a problem with the dollar.

“So, the only way is to be an economy that produces and exports non-oil to earn foreign currency, meaning that the economy has to be diversified to do that.”

An economist and Senior Lecturer, Lagos Business School, Dr Bongo Adi, applauded the policy, noting that it could leapfrog the economy.

He said this was part of the innovations and proactive incentives that was expected from the bank and cited India as an example of a country that leveraged Diaspora remittances to transform her economy and escape the poverty trap.

The Director-General, Lagos Chamber of Commerce and Industry, Dr Muda Yusuf, said the ‘CBN Naira 4 Dollar Scheme’ would increase the annual Diaspora remittance and save the naira from its current slide.

He, however, added that the apex bank should allow exporters free access to their export proceeds.

Also, a businessman, Mr Jimoh Ibrahim, described the policy as one that had the capacity to boost the value of naira against the dollar, given that there would be an increase in remittances from the Diaspora.

He however pointed out that there should be other ways of encouraging Nigerians abroad to remit forex, noting that the N5 incentive could only be significant when the volume is high.

Also, the Director-General, the Nigerian Association of Chamber of Commerce, Industry, Mines and Agriculture, Ambassador Ayo Olukanni, said the CBN must have taken the decision to harness the huge potential of foreign remittances.

He said if well implemented, the policy might boost foreign exchange and reduce the pressure on naira.

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EFCC Holds Stakeholders Engagement Party With Media, CSOs

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The Economic and Financial Crime Commission (EFCC) Port Harcourt zonal command has held a one-day capacity workshop with some selected media organisations and civil society organisations in the state

The one-day capacity workshop was aimed at strengthening existing relationships among the media and the civil society organisations in the state with a view to improving the existing relationships among the graft agency and the media.

Speaking at the event the zonal commander of EFCC, MR. HASSAN SAIDU, said the
initiative is part of the Commission’s ongoing commitment to strengthening collaboration with key stakeholders, particularly the media and civil society, in our collective fight against economic and financial crimes , adding that the decision to organize this workshop underscores the strategic importance the EFCC places on the roles of the media and the CSOs as watchdogs of the society.

According to him,all over the world, the partnership between anti-corruption agencies, the media, and civil society has been instrumental in promoting transparency, accountability, and good governance, noting that the collaboration is even more imperative in Nigeria given the scale and sophistication of economic crimes we contend with.

“Let me take this opportunity to acknowledge and appreciate the invaluable support you have given to the EFCC over the years.

Your consistent focus on our work through reporting, advocacy, and public engagement has helped to sustain the momentum of our preventive and enforcement efforts.”

The EFCC’s mandate is both engaging and arduous. I say this because the landscape of economic crime is dynamic and your duty to report and interpret these developments requires diligence, patriotism and integrity.”

He posted that It is in recognition of these challenges that the Commission introduced a Specialized Workshop Series on Economic and Financial Crimes Reporting for journalists, adding that the commission has expanded this initiative to include civil society organizations to further demonstrate their belief in an inclusive and collaborative anti-corruption framework.

“As you are aware, Port Harcourt remains Nigeria’s treasure base of the Nation and a fertile ground for various forms of economic and financial crimes, ranging from pipeline vandalism, foreign exchange scams and business email compromise to investment and property fraud, and crude oil theft.”

The EFCC zonal commander averred that the 2025 edition of the workshop is Understanding Cryptocurrency Fraud and other Emerging Financial Crimes and Prosecution of Financial Crimes: Issues, Challenges and Way Forward , adding that
It is imperative for us to note that the surge of Cryptocurrency Fraud and other related offences in the Nigeria’s Cyberspace is becoming alarming hence, as part of the efforts of the EFCC to nip this menace and eradicate these crimes from Nigeria Cyberspace there is need for synergy with relevant Stakeholders, that is the reason why the Commission has chosen these topics to educate, create awareness and discuss arising issues that will yield more significant results as the EFCC tackles the spate of these crimes.

 

“We must work together to intensify public sensitization. Your platforms- print, broadcast, digital, and community-based- are essential in equipping Nigerians with the knowledge to make informed decisions and avoid falling prey to scammers. ”

He reiterated that the fight against economic and financial crimes is not the sole responsibility of the EFCC or other anti-corruption agencies. It is a collective national duty, meaning all hands must be on deck , stressing that
We owe it to our country and, indeed, the global community to expose and confront corrupt practices wherever they exist.

“The media must continue to hold public institutions accountable, while civil society must deepen civic engagement and promote transparency at all levels.
The EFCC remains committed to building a stronger and more effective partnership with all stakeholders in the fight against corruption. he stated.

Earlier In his presentation on cryptocurrency-related crimes, CSE Coker Oyegunle, Head of Advanced Fee Fraud, explained that digital assets are increasingly being used for money laundering, identity theft, phishing, malware attacks, and ransomware, most of which involve untraceable crypto payments.

He noted that Nigeria now has a coordinated regulatory framework involving multiple agencies. The Securities and Exchange Commission (SEC) serves as the lead regulator under the Investment and Securities Act 2025, defining digital assets as securities and licensing virtual asset service providers.

Our correspondent reports that other topics presented during the workshop include prosecuting Financial crimes: Issues, challenges and the way forward and the role of CSOs and media in driving a preventive frame work.

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RSU Blames Poor Funding for Failure to Meet Academic Targets as 1,356 Set for Combined Convocation on Saturday”

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The management of Rivers State University (RSU), Port Harcourt, has stated that poor funding has hindered the institution’s ability to meet its expected academic targets.

The Vice-Chancellor of the university, Prof. Isaac Zeb-Obipi, made this statement during a press briefing held at the institution on Monday in Port Harcourt, ahead of the week-long 37th and 38th combined convocation ceremony scheduled for Friday and Saturday this week.

Prof. Zeb-Obipi emphasized that poor funding continues to be a major challenge limiting the institution’s ability to meet its targets, adding that they trust the state governor, Sir Fubara Siminalaye, who is the visitor to the university, will continue to strengthen and support them.

He noted that the state governor has demonstrated his commitment to supporting the university, recently approving N700m for the ongoing NUC accreditation.

The Vice-Chancellor stated that the university faces deficits in classrooms, staff accommodation, and student hostels, with the infrastructure gap widening, and existing lecture halls and laboratories requiring renovation.

“We are prioritizing phased upgrades based on program needs,

He added that the university is short-staffed, having lost staff to retirement, death, and changes in job or place of work, and that new programs, departments, and faculties have been created to meet the contemporary needs of society.

Mean while,a total of 13,242 students are set to graduate in the combined convocation, with 10,648 undergraduates, 1,356 Master’s degree students, 700 postgraduate diplomas, and 538 Doctors of Philosophy.

The Vice-Chancellor also used the opportunity to list some achievements of his administration, including the creation of new directorates, completion of abandoned laboratories, and upgrades in the faculty of sciences, made possible with support from the Tertiary Education Technology Fund (TETFund).

He expressed appreciation to the governor and visitor to the university, Sir Siminalaye Fubara, for approving his appointment and promised to justify the confidence placed in him.

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MOSIEND Calls For RSG, NDDC, Stakeholders’ Intervention In Obolo Nation

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The Movement for the Survival of the Izon Ethnic Nationality in the Niger Delta (MOSIEND) has decried the neglect of communities in Obolo Nation and others in the Niger Delta Region

MOSIEND also called on the stakeholders to empower the youths in skill acquisition and other meaningful ventures to better their lives

This call was on Rhythm 93.7 FM Port Harcourt, Radio program, Talk of the Town, by MOSIEND Eastern Zonal Coordinator of MOSIEND Half Hour Comrade Tammy Bruce Longjohn, alongside Asarama Clan Chairman, Comrade Amos Zebedee Udu, and Unyeada Clan Chairman Comrade Owen Wilson Ngere monitored by our correspondent

The spokepersons underscores the urgent need for government agencies and development partners to respond decisively to the dire state of basic amenities in the area.

MOSIEND leaders in Obolo Nation lamented the absence of potable water, electricity, access roads, and other functional public infrastructures in the clans

“What is troubling is that these complaints continue to echo without corresponding action from the Rivers State Government, the Niger Delta Development Commission, and the oil companies operating in and around the area”.

According to the MOSIEND leaders, the situation has reached a point where community members, particularly youths and women, require deliberate intervention to rebuild livelihoods and restore hope.

They also emphasised the need for empowerment programmes, vocational training, and investments in local economies that depend heavily on fishing and trade.

The Clan leaders call for provision of small engine boats for fishermen and the construction of proper market spaces for the communities

Asarama Clan Chairman, Comrade Udu noted that the community participates fully in electoral processes yet continues to live without clean water or electricity.

He insisted that the clan is not benefiting as they ought to from any MoU with oil companies nor from NDDC projects, raises concerns about the fairness and inclusiveness of development planning in the state.

Equally troubling is the account from Unyeada Clan Chairman, Comrade Owen Wilson Ngere, who highlighted the alarming state of Unyeada Primary School, where children are forced to learn on bare floors without desks, chairs, or basic sanitation facilities.

” For a region that hosts oil and gas activities, such conditions are unacceptable and should concern all stakeholders”.

The Unyeada Clan Commended NDDC for the installation of solar lights in the communities, noting that the project is not enough for the entire community as they
appeal for more of the solar project in the area

While the leaders expressed appreciation to Governor Siminalayi Fubara for the ongoing construction of roads in the area, and to the local council Chairman for the provision of potable water in some communities, .

“Obolo Nation has shown remarkable restraint and continues to maintain peace, as noted by the MOSIEND Coordinator”.

“The issues highlighted are not demands for luxury,but are basic necessities that every community in the Niger Delta deserves.

“The time for promises has passed; what Obolo communities need now is visible, sustained, and inclusive development.

 

Chinedu Wosu

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