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Why economic hardship may persist in Nigeria- Financial Expert.

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A financial expert, Babatunde Salami, has advanced reasons why it would be difficult for the country to escape the pressure of economic hardship currently plaguing it.

He asked Nigerians to brace for more hardship in the next three years as the nation’s revenue is very low, and susceptible to external debt.

“I don’t see us getting out soon of this economic challenges and attendant consequences, regardless of who is in power. It is not a two to three years period because majority of transactions entered into by CBN on behalf of the Nation, some have matured but yet to be settled. Leading over due liabilities and others will soon mature leading to further default.

“In addition, the national Revenue is equally not encouraging, as it is very low for a country of huge population, and with the facts that 90% of national revenue was to service the interest of the national debt last year,” he said.

Contrary to the notion that resuscitation of the refineries will rescue the situation, the financial expert said all the money expended on Turnaround Maintenance in turning around the refineries proved to be wasted over the years.

Salami said: “The refineries have not produced anything for years, money spent on them have been good money thrown into bad rubbish.

“The three refineries in Warri, Port Harcourt and Kaduna haven’t produced a litre in years and we are paying salaries of an average of N13billion monthly to the people who are just resuming to office and producing Nothing, what is the productivity level. These were part of the structural problems in the Nigeria.”

The financial expert took a swipe at the Central Bank of Nigeria (CBN) for allegedly shrouding its account in secrecy, thus making it difficult to be audited.

He said: “The implication of failure to audit account is that you don’t know where you are or financial status or standing and CBN account not been audited for 5 years. It was a long time and the implications are becoming very obvious on our economy.”

In reference to the report of the world renowned financial management firm, JPMorgan Chase & Co., Salami alleged some hidden transactions in the Audit report by the CBN and also blamed the current financial crisis on some questionable transactions made by the Apex Bank in recent years.

He said: “In balance sheet, we normally see figures like $33.7billion and the figure is not the actual money belonging to the Nation, because there are some borrowings that have been included in terms of wanting to know how much Funds Nigeria has

“The audited account exposes many things that ordinarily people may not take cognizance of, one of which was the Forward Contract that CBN entered. ‘Forward Contract is one of the Derivative product use to hedge volatilities in prices of good and services, Currency. Upon maturing of the Forward Contract you are obligated to settle, the CBN has not settled the matured Forward Contract leading to Past Due liabilities and some other Forward Contracts will mature and the CBN will not be able meet its obligations of $6.1 Billon. This will be liabilities on the Nation and it might lead to a ripple effect of people going to court to make sure they get settled but is quite worrisome why the CBN has failed to deliver.

“Recently, there was a issue of cashless policy and the complaint of the CBN Governor was that there was too much money in circulation and there is need to reduce it where at the percentage of money in circulation then was 6% while America had 10% and Britain had about 9%.

“A report came out through JPMorgan, which is different from what was reported in the audited account of CBN. JP Morgan claimed CBN is owing them $7.5 billion, which hasn’t matured but will be netted off the $33billion. The figure is coming down

“There is another worrisome aspect of it that JP Morgan, being a Bank most of External Reserve Fund are kept, had a fair of our Balances, It is like saying you have N10,000 in your account but the bank manager is saying that you have only N3,000 on your balance sheet. So, you need for the CBN to explain why its your figure is different from that of JPMORGAN.

“JP Morgan said at a particular point in time any individual who is in need of dollar maybe for travelling or payment of school fee you have to make application for weeks or months and it was difficult but the question is what happened to the cash in circulation in Dollar.

“Apparently, JP Morgan exposed that $21billion was used as swap with local banks and Foreign counterparts where Dollars and Naira were swapped leading to scarcity of Dollars and the law of demand and supply came into play, meaning Dollar price rose against Naira and still continuing.”

He noted that the failure of the CBN Governor to maintain price stability is due to what he described as an unwise decision, saying this is similar to Nigerian/Chinese Bilateral swap where Chines Yuan were swapped with Naira in March 2018.

“The responsibility of CBN Governor is to regulate and maintain price stability whereas he is making transactions that are opposite to bringing Dollar prices downward I don’t think that was a wise decision.

“By the time you net off $21billion, $6.1billion and $7.5billion in an open environment, Nigeria just has only $3.7 billion left whereas we have reported that we have $33.7billion.

“How do we now settle majority of these outstanding that is $21billion, $3billion and $7billion, how do you manage this? As at the time of taking over of the last government, there were some balances in the account and it grew to about $44billion. So, what happened to those balances, this is begging for answer”, he said.

Salami observed that the inability to stabilize price will further affect the country trade balance as well as compound the already affected living standard of the citizens.

He added: “Implications are, firstly, our trade balance will be affected. Secondly, our living standard will also take a hit as the country is currently struggling with productivity due to insecurity.”

On the anchor borrowers programme, Salami lamented that majority of the funds were given out for political patronage and lauded President Tinubu for taking the step to recover money from the defaulters who are yet to redeem the loan.

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Dogara Mourns Victims of Air Force Plane Crash, Condole President Tinubu, Military

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Former Speaker of the House of Representatives and Chairman of the Board of the National Credit Guarantee Company Limited (NCGC), Rt. Hon. Yakubu Dogara, CFR has expressed deep sorrow over the Nigerian Air Force aircraft crash that claimed the lives of 32 persons near Igbokoda, Ondo State. Dogara described the tragedy as a heartbreaking loss to the nation, noting that the deaths of the victims have left a painful void in the country’s defence and security community.

In a statement, the former Speaker extended his condolences to President Bola Ahmed Tinubu, Commander-in-Chief of the Armed Forces, the Nigerian Air Force, and the families of those who perished in the unfortunate incident.

He said the nation shares in the grief of the bereaved families and the Armed Forces at this time of immense sorrow, adding that the sacrifices of those who lost their lives in service to the country will not be forgotten. “The nation mourns with the families of the deceased and stands in solidarity with the Armed Forces during this difficult period,” Dogara stated.

He also commiserated with the Chief of Air Staff, officers and men of the Nigerian Air Force, praying that God grants them the fortitude to bear the painful loss.
According to him, moments such as this call for national unity, reflection and collective support for the families and institutions affected by the tragedy.

Dogara paid tribute to the victims, describing them as patriotic Nigerians whose commitment and service contributed to the security and stability of the nation. He further applauded the efforts of emergency responders, rescue teams and all personnel involved in the aftermath of the crash, commending their courage and professionalism under difficult circumstances.

The former Speaker prayed God to comfort their families, friends and colleagues.
He also offered prayers for the safety and protection of members of the Armed Forces and for continued peace, unity and progress in Nigeria.

The Nigerian Air Force aircraft crashed near Igbokoda, Ondo State, resulting in the death of 32 persons and plunging the nation into mourning. Authorities are yet to make public the cause of the accident as investigations continue.

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Centre for Credible Reforms Lauds Transparency in Ongoing Insurance Sector Reforms

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The Centre for Credible Reforms and Institutional Accountability (CCRIA) has commended the Commissioner for Insurance and Chief Executive Officer of the National Insurance Commission (NAICOM), Mr Olusegun Ayo Omosehin, for promoting transparency and accountability in the ongoing reforms of Nigeria’s insurance industry.

The centre said the implementation of the Nigerian Insurance Industry Reform Act (NIIRA) 2025 had ushered in a new phase of development for the sector, with stronger regulatory standards, improved capitalisation and greater emphasis on protecting policyholders.

Dr Aminu Abubakar Aminu, president of the centre, said this in a statement at the weekend.

Aminu commended President Bola Tinubu and the National Assembly for the enactment of NIIRA, describing the legislation as a major step towards addressing longstanding challenges in the insurance industry.

“The enactment of the Nigerian Insurance Industry Reform Act is a significant milestone in the development of Nigeria’s insurance sector. We commend Mr President and the National Assembly for recognising the need to modernise the legal and regulatory framework governing the industry. NIIRA provides the foundation for an insurance sector that is better capitalised, more accountable, more responsive to policyholders and better equipped to contribute meaningfully to the Nigerian economy,” he said.

The centre also praised Omosehin for his leadership of NAICOM, saying his extensive experience as an insurance professional had positioned him to effectively implement the new regulatory framework.

“We consider the appointment of Mr Olusegun Ayo Omosehin as Commissioner for Insurance and Chief Executive Officer of NAICOM a timely and appropriate decision. He is a seasoned insurance professional with many years of experience in the industry, and his understanding of the sector gives him the practical knowledge required to lead an important reform process of this nature. We commend him for the direction he has provided since assuming office and for his commitment to strengthening the industry,” Aminu said.

According to the centre, the ongoing recapitalisation exercise was among the important steps taken to strengthen the financial capacity of insurance companies and improve their ability to meet obligations to policyholders.

Aminu said the reforms were already producing early gains and should be sustained through consistent implementation.

“The early developments under NIIRA demonstrate that the reform is not merely a legislative exercise but a process capable of producing measurable improvements in the industry. Stronger capital requirements, improved supervision and greater attention to policyholder protection will ultimately create an insurance market that Nigerians can trust. We encourage NAICOM to remain focused on the implementation of the Act and to continue providing clear guidance to operators and other stakeholders,” he said.

The centre noted that the reforms would also help deepen insurance penetration and strengthen the industry’s contribution to national economic development.

It urged insurance companies, brokers, reinsurers, professional bodies and other stakeholders to embrace the new framework and work with NAICOM to achieve the objectives of the legislation.

“The success of NIIRA will require the cooperation of every stakeholder in the insurance ecosystem. Operators must see the reforms as an opportunity to strengthen their institutions, improve their services and regain the confidence of Nigerians. A well-regulated insurance industry can mobilise long-term capital, protect businesses and households against risks and support investment and economic growth. These are benefits that go beyond the insurance industry itself,” Aminu said.

Aminu emphasized that the centre was particularly encouraged by the emphasis on policyholder protection under the new framework, noting that public confidence remained critical to the growth of insurance in Nigeria.

He said Nigerians should be able to purchase insurance products with confidence that operators had the financial capacity and institutional structures required to honour legitimate claims.

The president further urged NAICOM to sustain its engagement with stakeholders while ensuring that the provisions of NIIRA were implemented transparently and consistently.

“What is required at this stage is continuity, professionalism and commitment to the objectives of the law. The reforms must be sustained beyond the initial implementation period so that the gains can become permanent features of the industry. We believe NAICOM, under the leadership of Mr Ayo Omosehin, has an important responsibility to ensure that the momentum is maintained, and we encourage all stakeholders to support the commission in delivering on this mandate,” he said.

The centre said the successful implementation of NIIRA would strengthen confidence in the insurance sector, improve the protection available to policyholders and position the industry to play a greater role in Nigeria’s economic transformation.

It also called for continued collaboration between NAICOM, insurance operators and other stakeholders to ensure that the objectives of the new law were fully achieved.

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Hon. Amb. Jim Okolo Promotes Nigeria’s Vast Potential at New York Independence Day Celebration

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As Nigerians from across the United States gathered in Manhattan to celebrate Nigeria’s Independence Day in grand style, Hon. Amb. Jim Okolo used the occasion to share an inspiring message about Nigeria’s immense possibilities, rich cultural heritage, and promising future.
Speaking with members of the media during the colourful celebration, Hon. Amb. Okolo described Nigeria as one of the most blessed nations in the world, endowed with abundant natural resources, a dynamic population, and a cultural heritage that continues to earn global recognition.
According to him, Nigeria possesses enormous deposits of valuable minerals and other natural resources that, if fully harnessed, can accelerate economic growth and create prosperity for millions of citizens. He noted that the country is strategically positioned to become a leading destination for investment in mining, agriculture, technology, manufacturing, and infrastructure development.
Beyond its natural wealth, Hon. Amb. Okolo emphasized that Nigeria’s greatest strength remains its people. He praised the creativity, resilience, intelligence, and entrepreneurial spirit of Nigerians, pointing out that Nigerian professionals, innovators, academics, and business leaders continue to excel in various sectors across the world.
The respected diplomat also spoke passionately about Nigeria’s unique cultural identity. From the colourful festivals of its diverse ethnic groups to its globally celebrated music, fashion, literature, cuisine, and film industry, he described Nigeria as a nation whose cultural influence extends far beyond its borders.
He noted that Nigeria’s diversity is one of its greatest treasures, bringing together hundreds of ethnic nationalities with distinct traditions and languages that collectively form a vibrant and unified national identity.
While addressing questions on security, Hon. Amb. Okolo maintained that although Nigeria faces certain security challenges, the situation is not always as severe as often portrayed by social media discussions and sections of the international media. He stressed that millions of Nigerians continue to live, work, study, invest, and contribute meaningfully to society every day.
He called on the international community, investors, and members of the diaspora to focus on Nigeria’s strengths, opportunities, and achievements rather than allowing negative narratives to define the country’s image.
“Nigeria remains a land of opportunity, innovation, and hope. It is a nation blessed with extraordinary human capital, abundant resources, a rich cultural heritage, and a people whose determination and resilience continue to inspire the world,” he said.
The celebration was attended by several distinguished personalities, including the United Nations Secretary-General, Hajia Amina Mohammed, the Nigerian Ambassador to the United Nations, diplomats, business leaders, community stakeholders, and prominent members of the Nigerian diaspora.
The event transformed parts of Manhattan into a vibrant showcase of Nigerian pride, featuring cultural exhibitions, traditional performances, business networking sessions, authentic Nigerian cuisine, and displays highlighting the country’s achievements and diversity.
Adding excitement to the festivities were thrilling performances by internationally acclaimed Nigerian music stars Patoranking, Runtown, and BNXN (formerly known as Buju), who entertained thousands of attendees and demonstrated the growing global appeal of Nigerian music.
As the celebration came to a close, the message from Hon. Amb. Jim Okolo resonated strongly among participants: that Nigeria is far more than the challenges often highlighted in headlines. It is a nation blessed with extraordinary talent, vast opportunities, cultural richness, and the potential to achieve even greater success on the global stage.

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