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Naira among worst performing currencies – World Bank

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Naira notes
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The naira has been listed among the worst-performing currencies in Sub-Saharan Africa in 2024.

This is according to the latest edition of Africa’s Pulse, a new report by the World Bank.

As of the end of August 2024, the naira had depreciated by approximately 43 per cent year-to-date, making it one of the region’s weakest currencies alongside the Ethiopian birr and South Sudanese pound.

The depreciation of the naira is attributed to several factors, including surging demand for United States dollars in the parallel market, limited dollar inflows, and delays in foreign exchange disbursements by Nigeria’s central bank.

The World Bank’s report further highlights that demand for dollars, driven by financial institutions, non-financial end-users, and money managers, has exacerbated the pressure on the naira.

It noted, “By August 2024, the Ethiopian birr, Nigerian naira, and South Sudanese pound were among the worst performers in the region. The Nigerian naira continued losing value, with a year-to-date depreciation of about 43 per cent as of end-August.

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“Surges in demand for US dollars in the parallel market, driven by financial institutions, money managers, and non-financial end-users, combined with limited dollar inflows and slow foreign exchange disbursements to currency exchange bureaus by the central bank explain the weakening of the naira.”
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This situation has persisted despite some foreign exchange market reforms introduced by the Nigerian government, including the liberalization of the official exchange rate that began in June 2023.

However, these efforts have so far been insufficient to stabilize the currency.

The naira’s struggle reflects broader economic challenges in Nigeria, including limited foreign currency reserves and ongoing inflationary pressures.

The report also notes that the naira’s depreciation has contributed to higher domestic prices, particularly for imported goods, compounding the difficulties for Nigerian consumers.

In contrast, some African currencies that faced challenges in 2023, such as the Kenyan shilling and South African rand, have shown signs of recovery this year.

The Kenyan shilling, for instance, strengthened by 21 per cent year-to-date by the end of August 2024, marking it as one of the region’s top performers.

Despite this, foreign exchange shortages and exchange rate pressures remain a significant concern for many African economies.

The PUNCH, however, observed that the naira appreciated by 5.69 per cent against the dollar on Monday, according to data from the FMDQ Exchange.

The exchange rate improved from N1,641.27/$1 on Friday, October 11 to N1,552.92/$1 on Monday, October 14.

Despite the naira’s recovery, foreign exchange turnover plummeted by 44.27 per cent, falling from $616.73m to $343.71m over the same period.

In its report, the World Bank offers a cautious outlook for Nigeria’s economic growth, projecting that its Gross Domestic Product will expand by 3.3 per cent in 2024 and slightly accelerate to 3.6 per cent in 2025-2026.

The report read: “Economic growth in Nigeria is projected at 3.3 per cent in 2024 and 3.6 per cent in 2025–26 as macroeconomic and fiscal reforms gradually start yielding results. Inflation peaked in June 2024 (at 34.2 per cent year-on-year) and decelerated to 33.4 per cent in July and further to 32.2 per cent in August.”

It also noted that following the Nigerian government’s decision to remove fuel subsidies in mid-2023, gasoline prices surged dramatically, causing a ripple effect on inflation across the country. The report notes that this policy change, which saw gasoline prices triple initially, further increased by an additional 40-45 per cent in September 2024, driving up transportation and logistics costs for businesses and consumers alike.

In July 2024, inflation reached 34.2%, and although it showed signs of easing in August, the recent hike in gasoline prices is expected to reverse this trend and potentially push inflation higher in the coming months. (PUNCH)

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Yilwatda hails Tinubu’s intervention funds as a promise kept

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President Tinubu and APC National Chairman, Prof Yilwatda
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The National Chairman of the All Progressives Congress (APC), Professor Nentawe Yilwatda, has said that the intervention programmes of the administration of President Bola Ahmed Tinubu have continued to demonstrate that the Renewed Hope Agenda is delivering tangible economic benefits to millions of Nigerians through strategic investments in entrepreneurship, small businesses, and youth empowerment.

According to Professor Yilwatda, the Presidential Intervention Funds represent yet another example of the Tinubu administration fulfilling its campaign promises by providing the critical financial support needed to stimulate enterprise, create jobs, and deepen economic inclusion across the country.

In a statement by his Special Adviser on Media and Information Strategy, Abimbola Tooki, the National Chairman noted that for decades, access to affordable financing remained one of the biggest obstacles confronting Micro, Small and Medium Enterprises (MSMEs), despite their enormous contribution to national economic growth and employment generation.

The current administration, he said, has deliberately moved to address this challenge through targeted intervention programmes that are unlocking the entrepreneurial potential of Nigerians.

“The Tinubu administration understands that sustainable economic growth begins with empowering the productive sector. By supporting small businesses and young entrepreneurs, government is laying the foundation for long-term prosperity and shared economic progress,” he stated.

Professor Yilwatda highlighted the ₦75 billion Presidential Intervention Fund for MSMEs as a landmark initiative designed to provide accessible financing for small businesses across various sectors of the economy.

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He said the programme is enabling entrepreneurs to expand their operations, increase productivity, and create employment opportunities.

He further pointed to the ₦11 billion support package through the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), describing it as a strategic investment in strengthening the capacity and competitiveness of Nigerian small and medium enterprises.

The APC National Chairman also commended the ₦30 billion Youth Entrepreneurship Fund through the Niger Delta Development Commission (NDDC), noting that the initiative reflects President Tinubu’s commitment to equipping young Nigerians with the resources required to transform innovative ideas into successful businesses and become drivers of national development.

Professor Yilwatda emphasized that these interventions are already making meaningful differences in the lives of ordinary Nigerians. Across the country, young entrepreneurs, artisans, farmers, traders, tailors, manufacturers, and other small business owners are accessing capital to expand their businesses, employ more people, and contribute to the economic development of their communities.

He explained that the impact extends beyond individual beneficiaries, creating a multiplier effect through increased productivity, higher household incomes, stronger local economies, and expanded opportunities for wealth creation.

“The APC remains committed to building an economy that works for all Nigerians. These intervention funds are not mere policy announcements; they are practical investments in the dreams and aspirations of millions of our people.

“The evidence is clear. Businesses are receiving support, young people are being empowered, jobs are being created, and economic inclusion is expanding. This is governance that delivers results, and it is another demonstration that President Bola Ahmed Tinubu is keeping his promises to the Nigerian people,” Professor Yilwatda said.

He reaffirmed the commitment of the APC and the Tinubu administration to implementing policies that promote entrepreneurship, stimulate investment, strengthen local industries, and build a resilient economy capable of delivering sustainable prosperity for all Nigerians.

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Ex-Minister Uche Nnaji set for arraignment as ICPC files six criminal charges over alleged certificate forgery

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Uche Nnaji when he was arrested by security operatives
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The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has filed a six-count criminal charge against former Minister of Innovation, Science and Technology, , over alleged certificate forgery and related offences.

The charges, filed before the Federal High Court in Abuja, are contained in suit number FHC/ABJ/CR/389/2026, with the Federal Government listed as the complainant and Nnaji as the sole defendant.

According to the charge sheet, the ICPC accused the former minister of receiving N29.58 million in salaries and allowances while serving in office, alleging that he ought to have known the funds were proceeds of an unlawful act arising from corruption and fraud. The commission said the action contravenes provisions of the Money Laundering (Prevention and Prohibition) Act, 2022.

The anti-graft agency also alleged that Nnaji used his office to confer corrupt advantage on himself and knowingly presented false information to the Federal Government by submitting forged > (NYSC) and (UNN) certificates during his ministerial appointment in 2023.

In separate counts, the ICPC accused him of producing and using as genuine a forged NYSC Certificate of National Service and a forged UNN degree certificate, offences punishable under the Penal Code.

The filing of the charges follows Nnaji’s arrest last Wednesday after arriving in Abuja from Enugu aboard a chartered flight.

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The prosecution stems from an investigation published by Premium Times, which alleged that Nnaji forged his university degree and NYSC certificates submitted to President and the Nigerian Senate during his ministerial confirmation.

The newspaper reported that the confirmed Nnaji was admitted in 1981 but neither graduated nor was issued a degree certificate, while the NYSC also reportedly disowned the discharge certificate attributed to him.

Nnaji resigned as minister shortly after the allegations became public. He has since defected from the APC to PDP , where he emerged as the governorship candidate of a faction of the party for the 2027 Enugu governorship election.

He is expected to be arraigned before the Federal High Court in the coming days.

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At last, Tinubu directs ICPC to investigate ‘Fictitious Council’

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President Bola Tinubu
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President Bola Ahmed Tinubu has directed the Independent Corrupt Practices and Other Related Offences Commission (ICPC) to conduct a thorough investigation into the activities of a “Presidential Foreign Intervention Promotion Council” (PFIPC) and all related matters.

According to a statement signed by Bayo Onanuga,Special Adviser to the President (Information and Strategy), the President directed that the investigation be concluded and a comprehensive report submitted to him within 30 days.

The directive follows the discovery of the fictitious PFIPC, which was never established by the Federal Government of Nigeria and has no basis in any law, presidential instrument, executive approval, or other lawful act of Government.

One Adeniyi Adeyemi Matthew presented himself as the Director-General of the so-called PFIPC and falsely claimed to be a presidential appointee.

Among the issues to be investigated by the ICPC are the forged appointment letters and other official government documents; the use of a false claim of presidential appointment to seek or obtain official recognition and diplomatic support, including visa facilitation; and the opening of multiple bank accounts in the names of purported government agencies using allegedly forged documents.

President Tinubu directed the ICPC to investigate not only the conduct of the principal individual and other collaborators involved but also the wider circumstances that may have enabled a fictitious body and a false claim of presidential appointment to acquire an appearance of official legitimacy.

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The investigation is to examine the provenance and use of false official documents; the processes through which official recognition or diplomatic support may have been sought or obtained; the opening and operation of any related bank accounts; the source and movement of any funds involved; and the role of any public officer, private individual, financial institution, intermediary or other person or entity that may have facilitated, enabled or participated in the alleged scheme.

The President further directed the Commission to identify any weaknesses in government and institutional procedures that may have been exploited and to recommend immediate measures to prevent the recurrence of similar abuses.

All ministries, departments and agencies of the Federal Government have been directed to provide the ICPC, upon lawful request, with all relevant information, records and assistance required for the expeditious completion of the investigation.

President Tinubu stated that the integrity of the Presidency and the institutions of the Federal Government must be protected against impersonation, forgery, abuse of official identity and the exploitation of weaknesses in the public service.

The President directed that all persons found culpable be treated strictly in accordance with applicable law.

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