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China makes constant progress in RMB internationalization

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By Qiu Haifeng

China’s Renminbi(RMB) has constantly expanded its international circle of friends as China sees better economic development and a higher level of opening up, playing a more important role in cross-border payment, investment and financing, exchange reserves and invoicing.

A Chinese official revealed that the country will further improve the fundamental systems for RMB settlements in cross-border investment and financing transactions, enhance the opening-up of China’s foreign exchange and financial market and ensure better access to it, and keep promoting the internationalization of the RMB in an orderly manner.

On April 26, the Argentine government declared that it would pay for imports from China with RMB. Argentina’s Economy Minister Sergio Massa said this indicated further activation of the currency swap agreement between China and Argentina, which helps Argentina strengthen its foreign exchange reserves and is of important significance for the country to better its economic situation.

Previously on February 7, China’s central bank, the People’s Bank of China (PBOC), announced that it had signed with its Brazilian counterpart a memorandum of cooperation on setting up RMB clearing arrangements in Brazil.

Two months later, the Industrial and Commercial Bank of China (ICBC), authorized by the PBOC as an RMB clearing bank in Brazil, has processed the first cross-border RMB settlement transaction in the South American country at its local branch there, which marked substantial progress of the ICBC’s cross-border RMB business in Brazil.

At the end of March this year, the first yuan-settled liquefied natural gas (LNG) trade was completed, a big step of China’s exploration in the cross-border yuan payment in petrol and gas trade.

It is reported that the first international LNG transaction settled in the Chinese currency was made between China National Offshore Oil Corporation and France’s TotalEnergies. Approximately 65,000 tons of LNG imported from the United Arab Emirates was traded.

According to statistics, China’s cross-border receipts and payments settled in RMB totaled 42 trillion yuan ($5.91 trillion) in 2022, an increase of 3.4 times compared to 2017, and accounted for nearly half of the country’s total cross-border receipts and payments. An obvious rise in the cross-border RMB settlements was reported in the first quarter this year, too.

Besides, the PBOC has authorized 31 RMB clearing banks in 29 countries and regions, and signed bilateral currency swap agreements with central banks or monetary authorities in 40 countries and regions, with a total value of more than 4 trillion yuan.

“Cross-border settlement is one of the important indicators demonstrating the internationalization of the RMB. The Chinese currency is used in more and more countries and regions for settlement and payment, which mirrors that it has been further internationalized,” said Wang Jiaqiang, a senior researcher with the Bank of China Research Institute.

The RMB is also getting popular globally as a reserve currency.

According to a recent report issued by Brazil’s central bank, the RMB became an international reserve currency of Brazil in 2019. As of the end of 2022, the proportion of the RMB in Brazil’s international exchange reserves reached 5.37 percent, exceeding the proportion of the euro at 4.74 percent, which marked that the RMB became Brazil’s second-largest international reserve currency.

Over 80 central banks or monetary authorities have listed the RMB as an international reserve currency, including Brazil’s central bank. The RMB has retained its position as the fifth-largest reserve currency, and its weighting in the basket of currencies that make up the International Monetary Fund Special Drawing Rights-an international reserve asset also known as the SDRs ranked third.

“More and more central banks or monetary authorities are including RMB in their foreign exchange reserves, which fully reflects the demand of the market. In the past years, foreign exchange reserves held by central banks around the world were mostly in U.S. dollars. However, ‘putting all eggs in one basket’ is obviously to the disadvantage of the stability of the international market as the U.S. currency faces more and more uncertainties these years. The RMB is gradually recognized as a reserve currency, and it offers a new and reliable choice for central banks,” said Zhang Huanbo, a researcher with the China Center for International Economic Exchanges.

Insiders believe that the RMB has achieved new breakthroughs and progress in internationalization this year.

With the establishment of RMB clearing banks and local currency swap networks, the development of offshore RMB market, the opening of domestic financial market and the improvement in the overseas layout of Chinese financial institutions, the RMB has preliminarily shown the network effect of its international use.

Besides, the investment and risk-hedging functions of RMB assets have been gradually enhanced, and enterprises are more willing to use RMB in cross-border trade, investment and financing to avoid the risk of currency mismatch. The international monetary system is more diversified.

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Bank Cannot Freeze Customer’s Account Without Valid Court Order — Zarewa

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A legal practitioner, Mr M. D. Zarewa, has said that a bank cannot freeze or restrict a customer’s account without a valid court order.
Zarewa said it was prevalent in the society for law enforcement agencies to give directives to banks to freeze customers’ accounts whenever there was a pending case before them, adding that banks often complied with such directives.
He, however, said such practice was alien to Nigeria’s jurisprudence, stressing that banks were enjoined not to interfere with or restrict the activities of any customer’s account without a valid court order.
According to him, it is trite law and settled beyond argument that a bank cannot freeze a customer’s account without a valid court order.
He said the position was entrenched in the case of GTB Plc v. Olachi & Anor (2025) LPELR-81833(CA), where the Court of Appeal held that “whether frozen or restricted, neither can be done without the valid order of a Court of Law.”
Zarewa further cited GTBank v. Adedamola (2019) 5 NWLR (Pt. 1664) 30 at 43, Paras. E-F, where the court held:
“Before freezing customer’s account or placing any form of restraint on any account, the bank must be satisfied that there is an Order of Court.
“By the provisions of Section 34 of the Economic and Financial Crimes Commission Act 2004, the Economic and Financial Crimes Commission has no power to give direct instructions to banks to freeze the account of a customer without an Order of Court. So doing, constitutes a flagrant disregard and violation of the rights of a customer.”
The lawyer said any customer whose account had been frozen or restricted without a valid court order could institute a suit against the bank for grossly violating his or her rights.
He said such a customer could particularly seek redress for the violation of the right to own movable and immovable property and seek compensation from the court.
Furthermore, Zarewa said the law was trite that where there was a wrong, there was a remedy, as captured in the Latin maxim, Ubi jus ibi remedium.

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Gov AbdulRazaq Inaugurates 464-Unit Housing Estate In Kwara

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Stephen Olufemi Oni, Ilorin

​‌‌‌‍‍​‍⁠⁠‍​​⁠​⁠Kwara State Governor AbdulRahman AbdulRazaq has inaugurated the ‘AbdulRahman AbdulRazaq Morire Housing Estate’ in Ijagbo, Oyun Local Government Area of the State.

Speaking at the groundbreaking of the housing estates, which included 210 units of two-bedroom terrace apartments, 200 units of three-bedroom units and 54 units of four-bedroom terrace duplexes, the
Governor, noted that housing should not be seen or regarded as a luxury, but rather as a fundamental human requirement and cornerstone of dignity, security, and family stability, lamenting the daunting challenge of addressing housing deficits across the country.

He said: “Dear Kwarans, housing is not a luxury. Basic housing is a
fundamental human need and a cornerstone of dignity, security,
and family stability. Yet, across Nigeria and indeed in Kwara State,
the challenge of addressing housing deficit is daunting.

“This administration believes that inadequacy of proper shelter
for Nigerians is not merely a problem of not building enough
houses. Indeed, several studies have attributed the housing deficit in Nigeria to a complex mix of causes, key among them being high costs and rising costs of building materials, weak finance, difficult land systems, infrastructure gaps, institutional limitations, among others.

“On behalf of the people of Kwara, I thank the management of ISHI
Homes Limited for this partnership and for choosing Kwara State
as the location for this important development.”

Represented by the Commissioner for Housing and Urban Development, Dr Segun Ogunsola, the Governor applauded the developer for recognising his administration’s contributions to mass housing development in the State.

“The administration has consistently placed housing development high on its agenda. The government recognises access to decent and affordable housing as essential to the wellbeing of the people.

“The State Government has also been in active collaboration with
institutional partners including the Federal Ministry of Housing
with a view to increasing housing stock in the State.

“Recently, we acquired a housing estate with over 130 flats at
Ogbondoroko in Asa LGA of the State. Government has approved
that the estate be onboarded onto the administration’s social
support scheme,” he disclosed.

AbdulRazaq said the commitment was reflected in the development of the Kwara Smart City and other mass housing initiatives across the State.

The Governor disclosed that his reforms in land administration have reduced the processing time for Certificate of Occupancy (C of O) from 180 days to 35 days.

AbdulRazaq said the improved turnaround time demonstrated the administration’s commitment to making land administration more transparent, efficient and investor-friendly.

Earlier in his remarks, the Chief Executive Officer (CEO) of ISHI Homes, Dr Olayinka Ilufoye, said the project was intended to democratise home ownership and make decent and affordable housing accessible to the people of Kwara South senatorial district.

Ilufoye said the estate was meant for civil servants, traders and other Nigerians who can access it through the National Housing Fund (NHF).

“The name AbdulRahman AbdulRazaq Morire, which translates to ‘I have seen goodness’, is a deliberate expression of our faith, hope and expectation.

“We believe this estate will become a testimony of prosperity, progress and abundance in Kwara South,” he said.

Ilufoye pledged that the company would remain committed to transparency, accountability, quality construction and timely delivery.

The Executive Chairman of the Kwara State Geographic Information Service (KWGIS), Alhaji Sulyman Abdulkareem said the state government has consistently placed housing development high on its development agenda.

He commended the state government for ensuring access to land, facilitating the prompt issuance of titles and certificate of occupancy.

Abdulkareem pointed out that by providing timely approval for mortgage transactions, the Governor is creating the conditions necessary for housing development to thrive in Kwara State.

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Scholars Hail Late Sheik Kamalu-deen’s Legacies iN Education, Leadership

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Stephen Olufemi Oni, Ilorin

Nigeria, and the world at large, are in dire need of exemplary leaders like the late Founder of the Ansarul Islam Society of Nigeria, Sheik Muhammad Kamalu-deen al- Adabbiy.

This was the submission of various scholars at a media briefing in ilorin, the Kwara State capital, to usher in the Society’s week-long activities to commemorate the 100 years of the establishment of the Az-Zumratul Adabiyatul Kamaliyyah School of Arabic and Islamic Studies, in Okekere, Ilorin.

The school was fouded by the late Sheik Kamalu-deen in 1942.

Born in 1905, the late Sheik Kamalu-deen was one of Nigeria’s foremost Islamic scholars and educational piooneers who transformed deep Islamic religoius learning into education and also advocated the acquisition of western education .

He also served as a Councillor and Member of the Ilorin Native Authority Transition Committee between 1958 and 1961and was appointed as the first grand mufti of Ilorin by the Emir of Ilorin.

The late Kamalu-deen al- Adabbiy died in 2005 at the aged of 100 years, leaving behind impactful legacies in the propagation of Islamic religion, scholarship, education and leadership.

Addressing journalists at the ancient hall of the Az-Zumratul Adabiyatul Kamaliyyah School of Arabic and Islamic Studies in Okekere, Ilorin, the spokesperson, Prof Kamil Kamaldeen, said the late sheikh was “non discriminatory” in all his policies, a virtue he said was lacking in most leaders today.

“We are here to celebrate the legacies of the late Sheikh Muhammad Kamalu-deen al-Adabbiy not to tell his history, at a time when the world continues to need what he stood for. We are in a world today that we are looking for leaders who will serve without puting themselves first, no matter where we come from,” he said

The Registrar was flanked by the Vice Chancellor of the Muhammad Kamalu-deen University, Prof AbdulRasheed Jimoh, General Overseer of the Az-Zumratul school, Sheik Mustapha Kamalu-deen al- Adabby, Grand Khadi of the Kwara State Sharia Court of Appeal, Justice Abdulateef Kamaldeen, National Missioner of Ansarul Islam Society of Nigeria, Sheik Abdulmumini Ayara, retired Grand Khadi of the Kwara state Sharia Court of Appeal, Justice Idris Haroon and a foremost islamic Scholar, Sheik Sharafadeen Ajara .

Others included the President of Az-Zumratul alumni association, Ustaz Abdullahi Oni-Tolotolo, and the Principal of the School.

They noted that the late Sheikh Kamalu-deen had through his preachings, established educational structures and selfless leadership qualities, produced worthy ambassadors in all spheres of disciplines, urging leaders at all levels to invest heavily in education .

“No society loses from investing in education, it can only gain, no society loses when you build skills, you can only gain,” they added.

The Scholars also charged leaders to take a cue from the late Sheikh Kamalu-deen whom they said was always willing to collaborate with scholars and leaders of like minds in a bid to bring advancement and progress to his community, citing his link with Al-Ahhar University, Cairo, as beneficial in advancement of higher Islamic studies in Ilorin.

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