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Nigeria: Vehicle importation down by 45% over forex crisis— Customs Chief

Published

3 days ago

July 4, 2024

Due to issues with foreign exchange in the country, vehicle imports decreased by 45% in the first quarter of 2024, according to Adewale Adeniyi, Comptroller General of the Nigeria Customs Service.

Adeniyi noted in a recent interview with Arise Television that the moment was extremely critical for Nigerians and businesses in general as a result of the fluctuation in exchange rates,

“It affected car dealers. We had as much as a 45 per cent decrease in the volume of cars that were brought into Nigeria in that period.

“And they were not the kind of cars that fetched optimum revenue for the customs. Not only cars, but even regular imports were also affected because people could no longer import raw materials as they wanted and the volatility did not allow them to plan for tomorrow,” the CGC stated.

He expressed optimism that things had begun to improve in the second quarter of the year.

“But we see some relative degree of stability in the second quarter because there are lots of discussions going on. Some at the level of the National Assembly, most of them spearheaded by the Minister of Finance and Coordinating Minister of the Economy, bring on the stakeholders that are involved together, to ensure that we achieve stability.”

Adeniyi provided an update on the private jet owners’ verification exercise, stating that since the announcement of the verification, a sizable number of private jet owners have begun to leave Nigeria.

The departing jets, he said, do not want to be confirmed.

He said that hardly many owners have participated in the exercise since it began a few weeks ago.

“Very few of them have shown up for verification and we gathered from intelligence that a good number of them have been leaving Nigeria since the announcement was given because they would not want to be verified,” he asserted.

Adeniyi stated that if an aircraft is going to be operated in Nigeria, the owners must come to Nigeria Customs and pay the customs duty when the aircraft is brought in and registered. The CGC clarified that more private aircraft were operating outside of legal boundaries, which is why the service initiated a private jet owners’ verification exercise.

“We have seen so many of these aircraft flying and our record tends to show that only a few of them have shown up to pay duty and this is why we are bringing this verification up,” he said.

The Chief Government Coop underlined that the purpose of the verification process was to verify who was operating legally and who wasn’t. According to the customs helmsman, one of the main motivators for smugglers is the increase in fuel prices in neighbouring nations.

Related Topics:‘Oldest known drawing’ found in South Africa Featured Nigeria Nigerian Customs

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Ethiopian PM reveals country could get $10.5 billion if talks with World Bank, IMF succeed

Published

18 hours ago

July 6, 2024

Ifeoluwa Dada

If lengthy negotiations with the World Bank and the International Monetary Fund (IMF) are successful, Ethiopia would get $10.5 billion in support over the next few years, Prime Minister Abiy Ahmed announced on Friday.

The most populous nation in East Africa had severe inflation and ongoing shortages of foreign currency in December, making it the third country on the continent to experience a debt default in as many years.

If lengthy negotiations with the World Bank and the International Monetary Fund are successful, Ethiopia will get $10.5 billion in support over the next few years, Prime Minister Abiy Ahmed announced on Friday.

“We have been having a wide range of talks, negotiations and discussions with the IMF and World Bank. Because we were a bit tough with them and they were also tough with us, the (talks) took five years,” Abiy told lawmakers.

“Now with the support of some friendly countries, it seems like many of our ideas have been accepted. If this succeeds and we can agree on the reforms, Ethiopia will get $10.5 billion in the coming years,” he said.

Without going into further detail, Abiy continued, “There were some reforms the government was unwilling to undertake right away.”

“There are some areas we think should be reformed now, and there are things we think should stay as it is. If all these suggestions get accepted and we agree, there is an opportunity ahead of us. This reform agenda will play a huge impact in alleviating the debt burden,” the prime minister said.

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Nigeria beats competitors to host Africa Energy Bank

Published

2 days ago

July 5, 2024

Ifeoluwa Dada

Nigeria, the continent’s largest oil producer, defeated three rival nations to win the rights to host the newly established Africa Energy Bank (AEB), the country’s oil minister announced on Thursday.

Nigeria will be at the vanguard of Africa’s energy future thanks to a decision made at an extraordinary meeting of the Council of Ministers of the African Petroleum Producers Organization (APPO), according to a statement from Minister of State for Petroleum Resources, Heineken Lokpobiri.

After ratifying the bank’s charter and President Bola Tinubu approved an investment of $100 million, surpassing the needed $83.33 million for member nations, Nigeria’s quest to host the AEB was reinforced in late May.

Funded by Afrexim Bank and APPO, the fossil fuel-focused bank seeks to assist the continent’s energy transformation objectives and finance energy projects across the continent.

“This decision reflects our collective ambition to create African solutions to African energy challenges,” Lokpobiri said.

“The African Energy Bank will be instrumental in providing the financial backbone for energy projects that will drive growth and development across the continent,” he added.

When the AEB launches later this year, its first spending authority is $5 billion. According to analysts, Nigeria, one of Africa’s leading energy producers and an original member of APPO, has expressed a great deal of interest in the bank as it launches a fresh initiative to attract investment into its flagging oil and gas sector.

“Hosting the bank would be a vote of confidence in Nigeria at a time its energy industry badly needs a boost,” Clementine Wallop, director for sub-Saharan Africa at political risk consultancy Horizon Engage, said before the announcement.

After Ivory Coast and South Africa failed to meet the requirements, Algeria, Benin, and Ghana are the three other countries that bid to host the AEB.