• Manufacturers Warn Of Gloomy Days Ahead
• CBN’s Polices’ Review Urged
• Importers Flock Abroad To Beat Forex Policy

ITS noblest intentions, notwithstanding, the Federal Government may have to do more to convince Nigerians its economic policies are not crafted to sink the ship altogether.Cover-Buhari

The Federal Government has toed policy paths, which officials vow are needed to bring the nation’s economy out of the woods. From The Guardian’s findings, however, not all stakeholders appear to be on the same page with government.

“There are more negatives than positives. If we look at the outcomes we have had in the past four months, they are quite drastic on the negative side. Gross Domestic Product (GDP) is declining; underemployment and unemployment are increasing, and the general level of economic activities is weak. The capital market is also declining. Coming from the position we were after the elections, when there were local and international goodwill and we had the opportunity to leverage on all that, unfortunately, foreign investment has stayed flat from the level we had in the first quarter,” said Chief Executive Officer (CEO) of RTC Advisory Services Limited, Opeyemi Agbaje.Agbaje

According to the public policy analyst, the above situation can only be blamed on the absence of an economic direction. “Goodwill, on its own, is insufficient; it needs to leverage on the right policies,” he said, adding: “We have no policies, or at least, not a coherent policy. Nobody has defined a coherent economic agenda. We are just doing things on a day-to-day basis.”

The Treasury Single Account (TSA), particularly, has come under criticism. While experts acknowledged its constitutional basis, they argued that unless it is properly executed, it could stifle key economic nerves.cbn-gov

“The major advantage of the TSA is the fact that it will ensure and improve revenue inflow into the Federation Account, and this will improve the fiscal stability of all the levels of government – federal, state and local. However, it is necessary to caution against the resultant bureaucratic bottleneck that could be created in the disbursement of funds to the Ministries, Departments and Agencies (MDAs) for their operations. If care is not taken, the operations of some of the agencies may be crippled, if there is no adequate framework for speedy release of funds to the agencies for their daily operations. This is an area the authorities need to watch properly,” said Muda Yusuf, Director General of the Lagos Chamber of Commerce (LCCI). Read More →




Central Bank of Nigeria, CBN, said its N213bn Nigeria Electricity Market Stabilisation Facility, NEMSF, would improve generation, distribution and transmission of power in the country.cbn

Special Assistant to CBN Governor on Energy Sector, Mr. Yinka Balogun, said this in Abuja on Monday at a roundtable on “Releasing Private Sector Capital for Investment in the Power Sector”.

He said the intervention fund would ensure that the power sector delivered tangible improvement in power supply for the benefit of all Nigerians.

“CBN will disburse these funds in partnership with “deposit money banks” to address the shortfalls in revenue for operators to boost power supply and settle legacy gas debt.

“We believe that once the power sector issues are fixed, Nigeria will return to the path of sustainability at other sectors,” he said.

Balogun said that the funds was mainly for distribution companies and would be monitored to ensure that they were used to purchase specific equipment such as meters and transformers. Read More →



Senator Iroegbu in Abuja

 

President Muhammadu Buhari, has directed Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele to ensure the outstanding tuition, stipends and allowances of all amnesty beneficiaries were paid without further delay.Paul-Boroh

This is as the European Union (EU) has strengthened its partnership with the Office of the Special Adviser to the President on Niger Delta, under which the Presidential Amnesty Programme (PAP) is domiciled, to seek ways of ensuring that the programmes meets up with its mandate.
This was confirmed in a statement yesterday by the Head of Communications, Amnesty Office, Mr. Daniel Alabra.

Following the directive, Alabra said, the CBN has successfully credited the accounts of students in the following 10 institutions: Nilai University, Malaysia, universities of Strathclyde, Westminster and Dundee in UK, Liberty University, Virginia, USA, New York Institute of Technology, University of Arizona, Lynn University, USA, Edinburgh University, UK, and University of Essex. Read More →



Olalekan Adetayo

 

 

President Muhammadu Buhari on Sunday ordered all ministries, agencies and departments of government to immediately put a stop to the current arrangement in which they operate multiple bank accounts for the purpose of keeping revenues and incomes.President-Muhammadu-Buhari

He said henceforth, agencies of government must start paying revenues, incomes and other receipts into what he called a Treasury Single Account domiciled with the Central Bank of Nigeria.

The directive was contained in a statement made available to journalists by the Senior Special Assistant to the Vice President on Media and Publicity, Mr. Laolu Akande.
Akande explained that the President’s directive was meant to promote transparency and facilitate compliance with Sections 80 and 162 of the 1999 Constitution.

“Henceforth, all receipts due to the Federal Government or any of its agencies must be paid into TSA or designated accounts maintained and operated in the Central Bank of Nigeria, except otherwise expressly approved,” the statement said. Read More →



By Luka Binniyat

 

The Kaduna State Government on Thursday announced its decision to commence implementation of consolidated single account, otherwise known as the Treasury Single Account (TSA) framework from 1 September 2015. A statement signed, Nasir-el-RufaiWednesday, in Kaduna by Samuel Aruwan, spokesman of Governor Nasir El Rufai of Kaduna state on behalf of the governor read that all banks holding monies of Kaduna state government should close them and return the balances to the new TSA which had been opened at the Central Bank of Nigeria, CBN.

While reading the statement, Aruwan said, “Kaduna State Government will henceforth commence implementation of the Treasury Single Account (TSA) framework by 1 September 2015.

As part of the process of attaining this goal, all banks that maintain the accounts for Kaduna state government have been put on notice to close them and remit the balances to the Central Bank of Nigeria which will host the state’s TSA.” Read More →



Anna Okon


Bad times have hit the non-oil export sector, forcing many operators to close shop, ANNA OKON writes

Operators in the agro-allied industry, a major non-oil export sector in Nigeria, say they are daily losing billions of naira in revenue. And many have thus resorted to changing business on account of this.Non-oil-export

Findings by our correspondent revealed that the sector has been hard hit by a combination of factors, chief among which are poor infrastructure, rising cost of produce, continued fall in the value of the naira and the Central Bank of Nigeria’s policy on the utilisation of foreign exchange. Read More →



By Yemi Adepetun and Temiloluwa Adeoye


MANY are wondering what is happening to the Naira, which gained marginal value after the elections. The naira had gained about 23 Naira against the Dollar as it exchanged for N197, against N220 before the elections, making many to heave a sigh of relief. Thinking was that the Dollar would continue its free fall.Nairadollar

But the Naira is beginning to witness a downward slide in the value, as it now exchanges for N230. Efforts by the Central Bank of Nigeria (CBN) to shore up the Naira have not made a difference. In fact, the value continued to depreciate. The bank had adopted a lot of measures, including prohibition of demand and offer of Dollar for local purchases and services, closure of Retail Dutch Auction System (RDAS) for interbank foreign exchange market and recently, the removal of 41 items from the list of imported items that foreign currencies could be sought for importation.

The declining value of the Naira is taking its toll on every sector of the economy. Importers are lamenting low patronage and inability to import more and to clear some of their goods at the ports.

Olalekan Tosin is an importer of lace materials. She is the owner of Titilope fabrics on Lagos Island. According to her, she has not been able to travel to Switzerland to buy lace materials in the last six months because of the rising exchange rate and the inability to sell fabrics at the prevailing rate. Read More →