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CBN Issues IMTOs Naira Access To Boost Remittances

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By Kayode Sanni-Arewa

The Central Bank of Nigeria (CBN), on Monday, issued new measures it is currently putting in place, to boost naira liquidity and raise diaspora remittances.

According to its latest circular, the apex bank said eligible International Money Transfer Operators (IMTOs), will now have access to naira liquidity through the bank’s window. This initiative is designed to widen access to local currency liquidity, ensuring smoother and more efficient settlement processes for remittances, the CBN said.

Signed by W. J. Kanya, acting director of the trade and exchange department at the CBN, said transactions executed before noon on a trading date will be settled on the same day.

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According to the circular, all participants are required to submit daily regulatory returns to the CBN. These returns must include all relevant information on the sources of funds.

The key participants in the segment include: IMTOs, authorised dealer banks, and the CBN.

Under the new guidelines, IMTO operators will be able to directly access the CBN window, or do so via their Authorised Dealer Banks (ADBs) to execute foreign exchange transactions in the market. The circular outlines specific compliance measures to ensure the effective operation of the initiative.

It also said pricing on the CBN portal will mirror the NAFEX traded rates, which are based on an acceptable market benchmark.

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The operation of the segment will follow the existing arrangements in place for authorised dealers involved with foreign portfolio investment in primary market securities auctions.

The circular emphasised that these measures are effective immediately, highlighting the bank’s commitment to maintaining the smooth functioning of the foreign exchange market and improving formal remittance channels.

The decision is expected to significantly improve the liquidity of local currency for diaspora remittances, thereby enhancing the overall efficiency and reliability of the foreign exchange market in the country.

The CBN has focused on increasing remittances and naira liquidity.

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This is as in May 2024, the bank granted 14 IMTOs an approval-in-principle (AIP) in an effort to double foreign-currency remittance inflows through formal channels.

“This will spur liquidity in Nigeria’s Autonomous Foreign Exchange Market (NAFEX), augmenting price discovery to enable a market-driven fair value for the naira,” said Hakama Sidi Ali, CBN’s Acting Director of Corporate Communications, while announcing the new plan in a statement.

The CBN Governor, Olayemi Cardoso, had recently disclosed the apex bank’s target to double remittance flows into Nigeria within a year, which he firmly believed was possible.

He said, “We are wasting no time driving progress to remove any bottlenecks hindering flows through formal channels permanently. We have a determined pathway and a sequenced approach to tackling all challenges ahead, working hand in hand with key stakeholders in the remittance industry.”

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NSCDC, Tantita intensify joint efforts to combat oil theft in Niger Delta

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The Nigeria Security and Civil Defence Corps (NSCDC) and Tantita Security Services Limited (TSSL) have intensified their joint efforts to eliminate economic sabotage in the Niger Delta, in line with the Renewed Hope Agenda set forth by President Bola Ahmed Tinubu.

As part of his inspection of NSCDC operations in the area, Commandant-General Dr. Abubakar Audi led a group of senior officers to meet with Chief Kestin Pondi, Managing Director of TSSL, and High Chief Government Ekpemupolo, commonly referred to as Tompolo, in Warri and Oporoza, Delta State.

Audi and his team also toured the operational facilities of NSCDC operatives working with Tantita in far-flung creeks of the Niger Delta and other formations to assess their activities and encourage the frontline security agents.

The Commandant-General while paying a courtesy visit to Pondi said his operational tour of the Niger Delta was to enable him get first hand information of his men on ground and strengthen the relationship between the corps and Tantita.

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Audi said the NSCDC would celebrate the gallantry of his men on March 1st adding that the occasion would recognise fallen heroes of the corps and empower the families of deceased officers.

He said: “We place high premium on the welfare of our staff that is why every March 1st we recognise our personnel who died on active duty by assisting their families through payment of life insurance benefits and other empowerment schemes.”

In his remarks, the Managing Director, Tantita Security Services Ltd, Mr Kestin Pondi, heaped praises on President Ahmed Tinubu for providing the enabling environment to fight oil theft in the Niger Delta region.

He assured of closer collaboration with security forces including the NSCDC in the ongoing efforts to tackle pipeline vandalism and oil theft.

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Pondi said without the collaborative efforts of the NSCDC and other security agencies, the success record would have been impossible.

He said prior to Tantita’s involvement in combating oil theft, production levels hovered around 800,000 barrels per day, adding that the increased production was because of the collaboration with NSCDC.

He said:  “The success recorded in the recent past is not without the collaborative efforts of NSCDC. At the moment we have over 450 personnel in our organisation who have been providing collaborative services to our personnel.

“It is worthy of note that as at the time we came on board, the nation was producing between 600000 – 800000 barrels per day in 2022, but as at today we have gone over 2 million barrels per day and this is largely due to our collaboration with you.

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A former President, Ijaw Youths Council (IYC) Worldwide, Engr. Udengs Eradiri, hailed NSCDC and Tantita for their mutual relationship saying their operational style was in line with President Tinubu’s leadership approach of community and stakeholders’ engagements.

Describing President Tinubu as a community man, Eradiri said Tinubu’s approach was centered around the people adding that in similar way Tantita and NSCDC approach instilled confidence in people to protect oil facilities within their domain.

“This is in line with President Tinubu’s leadership style. President Tinubu is a community man. His approach has always been about the people. For some of us who have known him for years ago, we are not surprised that he is doing things differently.

“Recall that when he was campaigning he came to the Gbaramatu Kingdom. President Tinubu expanded the relationship with Tantita and consolidated on what he met and that is why the trajectory has been smooth. President Tinubu is the reason Tantita is succeeding and we want to commend him for believing in Tompolo and the people,” he said.

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Imo govt warns nightclub, lounge proprietors against selling hard drugs to customers

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The Imo Government has issued a stern warning to hotel owners and nightclub operators, urging them to refrain from permitting the use of hard drugs within their establishments.

This announcement was made in a statement signed by Chief Ezechukwu Obonna, the Special Adviser to Governor Hope Uzodinma on Narcotics and Illicit Drugs Monitoring, and was shared with journalists in Owerri on Saturday.

According to Obonna, the state government has observed that hard drugs, especially cannabis, popularly called ‘loud’, are now being freely sold and consumed in public places, especially in lounges and nightclubs in the state, as if the drug is no longer prohibited by law.

He warned operators of nightclubs and lounges to immediately put an end to the consumption and sale of hard drugs, particularly in their business areas.

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He said that any establishment found to be enabling or permitting the use of hard drugs would face severe consequences.

“The government is issuing this stern warning to lounge and nightclub owners across the state to note that the government will no longer tolerate the use of private businesses as havens for illicit drug use.

“We urge all lounge and nightclub owners to take responsibility for ensuring their patrons are not engaging in illicit activities.

“The Imo State Government is committed to protecting the health and well-being of its citizens, and we will not hesitate to take action against those who compromise this effort,” he said.

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He added that the International Narcotics Control Board had expressed concerns about the growing trend of drug use and its impact on public health.

According to him, the Imo Government is taking proactive steps to address this issue and ensure a safer, healthier environment for all citizens.

“We appeal to all lounge and nightclub owners to cooperate with the government in this effort and to report any suspicious activities to the authorities immediately.  Together, we can create a safer, more responsible tourism and entertainment industry in Imo,” he said.

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Watch Saturday episode of Your Family Lawyer on ‘How can I get a divorce under Islamic marriage

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Seasoned lawyer and progenitor of Your Family Lawyer, Chuma Chinye tackled how you can get a divorce under Islamic marriage.

Using vivid examples and solutions on how you can maintain a cool head when faced on how to get your rights under Islamic marriage.

Watch podcast below:

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