Economy

FG Applies Sledge Hammer To Stabilize The Naira, Blocks Online Crypto Tradings

Published

8 months ago

February 22, 2024

The Federal Government on Wednesday, February 21, 2024 blocked the online platforms of Binance and other crypto firms to avert what it considers continuous manipulation of the forex market and illicit movement of funds, Premium Times reported on Wednesday.

Sources within the major telecommunication companies in the country told PREMIUM TIMES Wednesday evening that the Nigerian Communications Commission (NCC) communicated the directive to telcos and they had started acting on it.

Apart from Binance, other platforms such as Forextime, OctaFX, Crypto, FXTM, Coinbase, Kraken, among others, were equally blocked.

PREMIUM TIMES earlier reported Wednesday that the government was considering blocking the online platforms of Binance and other crypto firms as part of efforts to avert the free fall of the local currency.

Presidency and regulatory sources said the government decided to move against Binance and other crypto firms following reports that currency speculators and money launderers were using them to execute criminal activities. Authorities believe the ‘criminal activities’ going on on platforms are contributing significantly to the weakening of the naira.

Binance, a digital assets platform, serves as a window for peer to peer transactions allowing users to advertise interest to sell or buy currencies of their choice.

In September 2023, Nigeria’s Securities and Exchange Commission (SEC) placed a disclaimer on Binance Nigeria Limited, saying the platform was “neither registered nor regulated by the Commission and its operations in Nigeria are therefore illegal”.

Despite the warning by the regulatory agency, the firm continued its operation, attracting huge patronage especially among urban youths and suspected speculators and money launderers. Aside from suspicions of economic sabotage, officials also speak of national security concerns as the platforms are often patronised by other criminal groups including for payment of ransom.

In its reaction earlier on Wednesday, Binance said “users behaving in a manipulative way” will be removed from its platform.

“As industry leaders, we are working hand in hand with local authorities, lawmakers, and regulators to ensure we act on non-compliance,” the platform added, noting that it is “setting an upper limit for ads, filtering and removing bad ads, requiring and raising deposits for merchants posting ads as well as processes for actioning against any market manipulators.”

On Tuesday, the Nigerian government announced that it was planning to raise $10bn to improve liquidity in the foreign exchange market.

President Bola Tinubu, who was represented by Vice President Kashim Shettima, disclosed this at the inaugural Public Wealth Management Conference in Abuja on Tuesday.

“At the core of this is ensuring optimal management of the assets and investments of the Federal Government towards unlocking their revenue potential. This includes our bold and achievable plan to double the GDP growth rate and significantly increase the GDP base over the next 8 years,” Mr Shettima said.

Meanwhile, the naira tumbled to an all-time low of N1,900 per dollar at the parallel market on Tuesday, amidst speculations and uncertainties about supply constraints in the markets. But at the Nigerian Autonomous Foreign Exchange Market (NAFEM), the local unit appreciated slightly to N1,551.24.

Earlier on Tuesday, the office of the National Security Adviser directed law enforcement agencies to take firm measures against anyone engaged in foreign exchange market speculation.

“In a concerted effort to safeguard Nigeria’s foreign exchange market and combat speculative activities, the Office of the National Security Adviser and the Central Bank of Nigeria are joining forces to address challenges impacting the nation’s economic stability,” the office said in a statement.

“The CBN’s proactive measures to stabilise the foreign exchange market and stimulate economic activities have been commendable. However, the effectiveness of these initiatives is being undermined by the activities of speculators, both domestic and international, operating through various channels, thereby exacerbating the depreciation of the Nigerian naira.”

PREMIUM TIMES

Economy

SEE NAIRA Rates Against The USD, GBP, EURO Today October 15, 2024

Published

3 days ago

October 15, 2024

Naijablitznews

By Mario Deepromoter

WHEN we look at this month, USD was traded at ₦1690 at the beginning of this October on Tuesday, October 1, 2024. As at today with USD being traded at ₦1,699 we see a -16.89% decline for United States Dollar to Naira exchange rate for this month.

On this page, we are primarily focusing on the Black Market Dollar To Naira Exchange Rate Today, the USD to Naira currency pair are the most traded currency in the FX market.

Black Market Exchange Rates
Buying Rate
Selling Rate
Dollar to Naira 1699 1688
Pounds to Naira 2252 2217
Euro to Naira 1854 1830
Canadian Dollar to Naira 1231 1223
Rand to Naira 52 43
Dirham to Naira ‎0 0
Yuan to Naira 62 62
G.Cedi to Nair 70 50
CFA F. (XOF) To Naira 0.83 0.81
CFA F. (XAF) To Naira 0.74 0.74

Having full knowledge how much USD to NGN black market exchange rate today will give you a better opportunity to plan and make informed decisions.

Nairatoday com

Economy

Naira Sinks to New Low in Parallel Market

Published

3 days ago

October 15, 2024

Kayode Sanni-Arewa

The Nigerian naira has tumbled to an unprecedented low, trading at N1,700 per dollar in the parallel market on October 14, 2024. This marks a 0.29% decline from its previous rate of N1,695/$1 recorded just days earlier, despite a surge in crude oil prices, which have now surpassed $80 per barrel.

While the parallel market saw a significant drop, the naira remained relatively stable in the official Investors and Exporters (I&E) window, closing at N1,641.27/$1. However, this still represents a 1.14% depreciation from its earlier rate of N1,622.57/$1.

The growing disparity between the official exchange rate and the parallel market continues to expose the pressure on Nigeria’s foreign exchange system.

The naira has experienced a steep decline throughout 2024, losing over 50% of its value since January, when it traded at N907.11/$1. By October, the currency had crossed the N1,500/$1 threshold. After a temporary recovery in March to N1,303/$1, the currency has been on a consistent downward slide.

Key Data Points:
Parallel market rate: Naira dropped to N1,700 per dollar on October 14.
I&E window: Closed at N1,641.27/$1, marking a 1.15% drop from N1,622.57/$1.
Trading volume: Surged to $616.73 million, indicating rising demand for dollars.

Despite global oil prices climbing above $80 per barrel, the naira continues to weaken, largely due to a persistent shortage of dollars, inflationary pressures, and reliance on the parallel market. While higher oil prices would typically provide relief for oildependent economies, Nigeria’s foreign exchange system remains under strain.

Though the naira’s breach of N1,700/$1 is concerning, there is hope for a shortterm rebound. Rising oil prices and new economic policies aimed at curbing demand for foreign exchange may help stabilize the currency, with a potential return to the N1,600/$1 range. However, the broader economic environment, including inflation and forex supply, will determine the naira’s future trajectory.

Economy

No cause for alarm as FG adopts 88 international standards for CNG vehicle safety

Published

4 days ago

October 14, 2024

Kayode Sanni-Arewa

The Federal Government says it has adopted 88 international standards for Compressed Natural Gas products to bolster the ongoing rollout of various CNG initiatives across the country.

It said this procedure will ensure a smooth implementation of CNG systems in vehicles and to ensure the use of quality products in Nigeria.

The Director-General, Standard Organisation of Nigeria, Dr Ifeanyi Okeke, disclosed this in a statement issued on Sunday to commemorate the World Standards Day celebration in Abuja.

The annual celebration is themed, “Our Shared Vision for a Better World: Standards for Changing the Climate.”

Okeke said the event was aimed at raising awareness about the impact of standards on industrialisation and economic growth.

Recently, there have been growing concerns regarding the conversion of fossil fuel-powered vehicles to CNG vehicles, particularly about the risks of explosions and other safety hazards associated with the use of CNG as a fuel source.

These apprehensions stem from reports of incidents where improperly installed or maintained CNG systems have led to dangerous situations, raising questions about the adequacy of safety regulations and the need for more rigorous oversight.

But reacting, the SON DG said the government adopted international standards to ensure that CNG products meet rigorous safety and quality benchmarks, ultimately supporting the broader transition to sustainable energy solutions.

He said, “Standards are crucial in achieving these goals and in facilitating the development of renewable energy; energy efficiency and sustainable practices.

“The SON, in line with President Bola Ahmed Tinubu’s agenda, has adopted 88 international standards for Compressed Natural Gas products to support the success of CNG initiatives.

“Additionally, the SON is a member of the committee developing the Natural Gas Vehicles Monitoring System, aimed at overseeing the implementation of CNG systems in vehicles and to ensure the use of quality products in Nigeria.”

The SON boss said the organisation has also conducted factory visits to China and India to certify CNG components in its quest for safety and quality assurance.

“As we navigate the challenges of climate change, we must acknowledge that standards are vital for the successful implementation of mitigation strategies.

“Let me assure you that SON is dedicated to improving life through standardisation and quality assurance, fostering consumer confidence, and enhancing the global competitiveness of Made-in-Nigeria products.

“Through global collaboration, Standards bodies around the world align their activities with the Sustainable Development Goals for peace, prosperity and the welfare of people and the planet. International standards offer practical solutions which we must all identify with to become part of the solution since they are the backbone of global progress,” the statement concluded.