Economy

FG announces incentives for Nigerians to repatriate foreign funds

Published

3 hours ago

November 1, 2024

The federal government has launched an amnesty initiative that allows individuals to deposit foreign currencies into banks without penalties or taxes — provided the funds are not proceeds of crime.

Announcing the initiative in a statement on Thursday, the ministry of finance said the programme is called the ‘Disclosure Scheme’.

Mohammed Manga, the ministry’s director of information and public relations, said the scheme, starting October, is for nine months.

The public relations officer said the initiative is designed to enhance transparency in the financial sector and boost Nigeria’s economic resilience, growth, and development.

He said by facilitating the voluntary disclosure, depositing, repatriation, and investment of internationally tradable foreign currency held by Nigerians, both within and outside the country, “the scheme aims to integrate these legitimate foreign currency assets into the formal economy”.

“The federal government of Nigeria is pleased to announce the commencement of the foreign currency voluntary disclosure, depositing, repatriation, and investment scheme, known as the disclosure scheme, in pursuance of Executive Order No. 15 of 2023 titled ‘Disclosure, Depositing, Repatriation, and Investment of Eligible Foreign Exchange Assets and Related Matters Order, 2023’ and the ‘Foreign Currency Disclosure, Deposit, Repatriation, and Investment Scheme Guidelines, 2024’, issued by the Honourable Minister of Finance and Coordinating Minister of the Economy, on October 25th, 2024,” the statement reads.

“Key objectives of the disclosure scheme: enhance financial transparency: Promote transparency in the financial sector by formalising legitimate foreign currency assets held outside the Nigerian banking system by Nigerians within or outside of Nigeria.

“Bolstering AML and CFT capabilities: The scheme specifically targets weaknesses in the existing framework by promoting cashless and legitimate transactions within the formal financial system.

“This strengthens regulatory enforcement while also encouraging financial practices that reduce the likelihood of illicit cash transactions.”

‘FUNDS WILL INCREASE RESERVES’

Speaking on the scheme, Wale Edun, minister of finance and coordinating minister of the economy, said the initiative would enhance financial security and contribute positively to the economy by increasing reserves and stabilising exchange rates.

“The disclosure scheme is a bold initiative aimed at integrating foreign currency outside the formal financial system into the formal economy,” Edun said.

“It strengthens transparency and economic resilience, setting us on a path to rapid economic growth.

“The scheme offers a secure, confidential channel for people to reintegrate their legitimate foreign currency funds, promoting stability and growth for our nation.

“Guided by President Tinubu’s leadership and supported by the Central Bank of Nigeria (CBN) and Ministry of Justice, we are building a transparent and inclusive economy, aligned with best practices in anti-money laundering and countering the financing of terrorism.”

Edun encouraged Nigerians holding legitimately earned foreign currency to participate.

Economy

Dollar Reaches Record High Against Naira Today 31st October 2024

Published

1 day ago

October 31, 2024

Naijablitznews

The black market exchange rate for the dollar to naira, also known as the parallel market (Aboki fx), is updated today. As of October 31, 2024, reports from Bureau De Change (BDC) sources indicate that one dollar is bought at N1745 and sold at N1750 on the Lagos black market.

Dollar to Naira Black Market Exchange Rates (Aboki fx) Today:

Buying Rate: N1745
Selling Rate: N1750
CBN Official Exchange Rate:

Buying Rate: N1664
Selling Rate: N1665
Note: The Central Bank of Nigeria (CBN) does not recognize the parallel market and advises individuals to use official banking channels for forex transactions. Actual exchange rates may vary.

Global Context: Nigeria’s naira has become the third worst-performing currency worldwide, following a 70% depreciation this year. With diminishing dollar liquidity and challenges in oil production, the naira’s volatility has intensified, prompting Finance Minister Wale Edun to stress the importance of increasing crude output to strengthen foreign reserves and stabilize the currency.

Economy

Dangote tells NNPC, oil marketers to stop importing petrol, says refinery has enough

Published

2 days ago

October 30, 2024

Kayode Sanni-Arewa

The President and Chief Executive of Dangote Industries Limited, Alhaji Aliko Dangote, says his refinery has the capacity to surpass the daily fuel needs of the country.

To this end, he urged the Nigerian National Petroleum Company Limited (NNPCL) and other fuel importers to stop importation.

The advice, if realised, is expected to save the country several billions of dollars in fuel importation and ease its corresponding strain on the naira.

Dangote disclosed this on Tuesday at the Villa after a meeting with President Bola Tinubu on the naira-for-crude policy.

The Minister of Finance, Wale Edun, and the Group CEO of the NNPCL, Mele Kyari, attended the meeting.

Dangote said he told the President that his refinery is ready to supply over 30 million litres daily with enough supply of crude.

He said the technical committee is doing the work and if there is any issue after that, the Minister of Finance and Coordinating Minister of the Economy will give guidance before it is escalated to the President.

According to him, “At full capacity we can even supply whatever is being consumed because what I estimated as our consumption is about 30-32 million litres which we can even start producing by next week.

“As we speak today. We have 500 million litres in our tanks. With that even if there is no production anywhere or no import that will take the country more than 12 days.

“So, we are more than ready and I am also putting my name on the line by telling Mr President that we will be able to supply the market 30 million per day and we are ramping up”.

Dangote added that, “On the streets what you have to understand is that we are producers. I have a refinery, and I am not in the business of retail.

“If I am in the business of retail you can hold me responsible, but what I am saying is that the retailers should please come forward and pick. If They don’t come forward and pick, what do you want me to do”.

He said he is expecting that the NNPCL and the marketers will stop importing, adding that he was losing money keeping product in tanks.

“I don’t know if you understand what it means to keep half a billion litres in our tanks, it is costing me money. Everyday if I am to collect money I can charge 32 percent in interest.

“That is what I am losing, and you are talking about 500 billion. If they come and collect then you will not see any queue in the filling stations”.

He said coming to the refinery to lift fuel should not be difficult since the NNPCL and other marketers have been doing that with importation.

“We have what it takes for them to come and collect, we are not retailers and we don’t have trucks, but we have a factory where we can load, come and pick and distribute and they have been doing that with importation.

“Since they have been doing that with importation I see no reason why they should not come and collect and distribute”, he stated.