Connect with us

Economy

Why Aboki Fx Founder Will Be Prosecuted -Emefiele

Published

on

Naira To Dollar: Emefiele Accused Of Wrecking Nigeria's Economy

Aboki fx founder Oniwinde Adedotun will be prosecuted for endangering the Nigerian economy. This is according to Governor Godwin Emefiele of the Central Bank of Nigeria (CBN), who declared him wanted on Friday, September 17, 2021.

Newsrand understands that Aboki fx is a digital platform that publishes the black market exchange rate of the naira against other currencies, especially the dollar.

Fielding responses directed to him at the just-concluded 280th Monetary policy committee (MPC) meeting of the apex bank which held in Abuja, Emefiele maintained that Adedotun is an illegal forex dealer. Hence, he was going down.

The CBN governor’s words: “Mr. Oniwinde started the AbokiFX operation in 2015 and has since milked the economy by manipulating the exchange rate.

“Oniwinde lives in London while concorting criminal activities on our economy. Our preliminary findings show that the company continues to file the same cash account in the United Kingdom whereas he maintained about 25 accounts with 8 banks in Nigeria, milking the system and collecting cash through Automatic Teller machines in London.

“He then sells tens of millions in FX to company’s in Nigeria; we will go after them all.”

Aboki fx founder risks jail term

Adedotun risks two years imprisonment, as well as a N600,000 fine if found guilty of manipulating the foreign exchange (forex) market in Nigeria.

According to the law, anybody or company reporting a different forex price aside from that of CBN is guilty of an offence and liable on conviction.

The law reads in Section 11; subsection 1C, that, “(1) It shall be an offence for any person, association of individuals or body corporate (whether public or private) to – (c) publish or cause to be published exchange and interest rates other than the rates determined by the Bank from time to time.”

Any person culpable of an offense, will pay a fine of N100,000 or be jailed for a term of two years or to both such fine and imprisonment.

In the case of an organisation, which is that of abokiFX, a fine of N500,000 and the suspension or revocation of its certificate of registration or certificate of incorporation will be issued.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Economy

N-power Batch C Deployment: How Non-graduate Can Check Training Posting

Published

on

N-power Batch C Deployment: How Non-graduate Can Check Training Posting

It is no longer news that the Federal Government has announced the deployment of N-Power Batch C non-graduate tech-software beneficiaries.

However, while some of the beneficiaries have already checked their postings, Unmask NG understands that others were struggling to check theirs.

If you are one of the N-power beneficiaries having issues in checking their postings, follow the steps below:

1. Go to https://www.nasims.gov.ng

2. Click on the deployment page to see your training posting status.

NB: If you are posted, your training venue, training track, training main, training life skills, and remuneration details will be displayed.

It would be recalled that a few months after the inauguration of 510,000 Batch C1 graduate and non-graduate volunteers, a training portal had been opened for beneficiaries.

Continue Reading

Economy

Dollar To Naira: World Bank Tackles CBN On Forex Management

Published

on

Dollar To Naira: World Bank Tackles CBN On Forex Management

Dollar to naira alarming exchange rate has been a major issue causing setbacks for most businesses in Nigeria, and the World Bank has broken its silence about it.

In an interview published on Punch, Shubham Chaudhuri, World Bank’s Country Director for Nigeria, said the Central Bank of Nigeria (CBN) was deploying policies that don’t have the potency of addressing the lingering forex challenge.

According to Chaudhuri, even though the World Bank aligned with the CBN on the need to achieve price stability as one of its core mandates, it differed on the method and choice of policies in achieving this.

His words: “Nigeria, like many other countries, has gone through a very tough time, especially last year, with the price of oil falling, which had an immediate effect in terms of foreign currency inflows into the country because sales of crude oil are one of the biggest sources of foreign currency inflows into Nigeria.

“So, we recognise that in the middle of the economic crisis, Nigeria was under tremendous pressure, alongside the naira. One of the core mandates of CBN is price stabilisation. However, we differ with the CBN on how best this aim can be achieved.”

World Bank advises CBN on how to manage dollar to naira

For World Bank, it is not a smart thing to do for CBN to have multiple exchange rates, amongst other policies that bottle it up with pressures.

The World Bank director explained that it is pertinent for the apex bank to allow the naira to respond to pressures from market realities on its own.

“In the FX market, the way it works is to let the naira respond to very real pressures but in a way that let the steam off rather than bottle it. Because if you bottle it, the pressure does not get released, and at some points, there has to be a massive adjustment.

“Over the last year, the pressures have been building up. Finding ways to release some of the pressures by letting the naira adjust more gradually would help and keep the naira, in a long run, from depreciating by a very large amount,” he stated.

Chaudhuri also advised the central bank to adopt a more predictable, clear mechanism for the forex, as he expressed optimism that it would help in restoring and enhancing the confidence in the market.

“We haven’t had foreign portfolio investors come back to Nigeria since the COVID crisis, not at the levels that we saw earlier. Some of that has to do with what is happening to interest rates locally but some of that also has to do with their confidence – that if they do come into the market, they will be able to get the FX out again, repatriate their profits.

“What’s more concerning is foreign direct investors. FDI has not recovered. That also has to do partly with the level of confidence in terms of the ability to predictably access foreign exchange. While we understand and see what the CBN’s overall objectives are, we do differ on how those objectives might be obtained,” the World Bank boss added.

Continue Reading

Economy

NNPC: Petrol Subsidy May Hit N3trn

Published

on

NNPC: Petrol Subsidy May Hit N3trn

The annual subsidy on Premium Motor Spirit (petrol) will rise to N3 trillion if the current market realities persist. This is according to Petroleum Products Marketing Company (PPMC), a subsidiary of the Nigerian National Petroleum Corporation (NNPC).

Making this disclosure at a panel session during the 15th OTL Africa Downstream Week 2021 in Lagos, the Managing Director of PPMC, Isiyaku Abdullahi stated: “At $80 crude oil, 60 million litres daily consumption and N411/$1 forex, PMS under-recovery per litre will be N138/litre. Daily PMS under-recovery will be N8.3bn. Annual PMS under-recovery will escalate to N3 trillion.”

Newsrand understands that the sharp rise in global oil prices to record highs had pushed the subsidy cost being incurred by the Federal Government to N8.28 billion daily.

The subsidy, which the NNPC prefers to call ‘value shortfall’ or ‘under-recovery’, resurfaced in January this year as the government left the pump price of petrol unchanged at N162-N165 per litre despite the increase in oil prices.

The Federal Government had in March 2020 removed petrol subsidy after reducing the pump price of the product to N125 per litre from N145 following the crash in oil prices.

The NNPC, which has been the sole importer of petrol into the country in recent years, has been bearing the subsidy cost since it resurfaced.

Isiyaku said with the rehabilitation of the country’s refineries and the construction of condensate refineries as well as the Dangote refinery, the Nigerian fuels market would transform from import-dependent to a net exporter by 2024.

He said full deregulation of the downstream sector might push an accelerated switching to Compressed Natural Gas and Liquefied Petroleum Gas, subject to global energy prices trend in the near term.

According to him, the Petroleum Industry Act presents a unique opportunity for investments across the value chain.

Continue Reading

Trending