By Dr. Ibrahim Modibbo

Within hours after the launch of foreign exchange code by the Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, on January 28, 2025, in Abuja, the positives from this move by the apex bank emerged as the naira appreciated against the US dollar. Following the launch of the FX code on Tuesday, the naira appreciated by 0.97 percent, gaining N16 against the dollar in the parallel market, by trading at an average rate of N1, 634 compared to N1, 650 it traded on Monday. In the official window, data from the CBN revealed that the naira was quoted at N1, 533.50 to the dollar at the Nigerian Foreign Exchange Market (NFEM).

Cardoso’s newly introduced FX code is aimed at improving market liquidity, enhancing transparency, and providing guidance for all those participating in the country’s foreign exchange sector. The code represents a set of principles that are not only encouraged, but accepted as best practices in the global foreign exchange market. The CBN as the regulator of Nigeria’s turbulent forex market drafted the FX code to address risks associated with the emerging financial landscape in the nation, while also strengthening the integrity and functionality of the foreign exchange market.

The CBN in developing the FX code is responding to Nigeria’s financial transformation in recent years and the attendant risks associated with such a growth, in spite of significant progress recorded. The code seeks to establish standards that ensure the efficient functioning of the wholesale FX market, further reinforcing the country’s flexible exchange rate system. It will further promote a robust market that’s characterised by fairness, openness, and adequate transparency, enabling a diverse group of participants to engage effectively at competitive rates that reflect accurate market information. It outlines behavioral standards and best practices that align with global expectations.
Addressing industry players at the launch and alluding to the deep insights and interactions with them, Cardoso said that the acceptance of the FX code reflects the collective vision of everyone for a foreign exchange market built on integrity, fairness, transparency and efficiency, based on its critical nature for Nigeria’s economic growth and stability.

Making reference to the words of the late Nelson Mandela, on the need for leaders to be great listeners, the CBN governor admitted that the apex bank through its interactions with industry players, better understands the perspectives, concerns, and recommendations they expressed. He said the ideas shared reaffirmed the collective commitment to shaping a more resilient and transparent FX market.

He declared that the FX code represents a decisive step forward by the CBN, to set a clear and enforceable standards for ethical conduct, transparency, and good governance in Nigeria’s foreign exchange market. The code, Cardoso added is a firm signal that business-as-usual in the forex market has ended because the code is a blueprint for the future, that is grounded in the hard lessons of the past.

“We must not forget where we are coming from. The era of multiple exchange rates, which created privileges for a select few at the expense of most Nigerians, severely undermined market integrity. As an example, the $7billion of FX backlogs that has taken over 12 months to verify has led to the discovery of multiple unethical and even illegal practices that we should not be proud of as a nation,” he disclosed.

The CBN governor further stated that the period of unprecedented ways-and-means-financing that inflicted significant damage on Nigeria’s economy, contributing to rising inflation, currency depreciation, and eroded public confidence in government’s ability to deal with adverse economic issues is over.

“These practices must never return. The FX Code is a firm rejection of such distortions and an equally firm commitment to a future defined by fairness, trust and market-driven principles. Let us be clear: the system itself played a key role in the challenges of the past.

“Unethical behaviours and systemic abuses – whether by those with privileged access or by complicit participants – eroded public trust and harmed our economy. We will not tolerate any attempts to revert to those practices. Any individual or institution that violates the FX Code will face swift and decisive sanctions,” Cardoso warned.

Predicting the future, he expressed confidence that the nation’s journey towards market reforms is already yielding positive results. According to him, 2024 was marked by structural reforms which sought to return the naira to a freely determined market price and ease volatility.

Such reforms include the discontinuation of quasi-fiscal interventions, unifying the exchange rate windows, clearing a backlog of foreign exchange commitments, and recalibrating monetary policy tools to redirect the course of Nigeria’s economy, restore order and credibility to our FX market, and refocus the CBN on discharging its core mandates.

Cardoso used the opportunity of the FX code to reel out some notable achievements of his stewardship, pointing to the introduction of the Electronic Foreign Exchange Matching System (EFEMS) in December 2024 that has improved market transparency and efficiency. Since its launch, the naira has appreciated significantly—from ₦1, 663.90 on December 2,
2024, to ₦1, 536.72 as of January 28, 2025. Also worthy of mention is the country’s external reserves that have grown by 12.74 percent, reaching $40.68 billion at the end of 2024.

He emphasized the importance of exchange rate stability, describing it as the cornerstone of macro-economic health for an economy like Nigeria’s. The apex bank governor said that beyond daily market rates, the exchange rate influences critical indicators such as the balance of payments, external reserves, international trade, inflation, economic growth, and foreign investment. These factors collectively, he submitted shape the economic welfare of the nation and that of Nigerians.

To Cardoso, tackling rising inflation remains a major challenge of the CBN under his watch, as in his view, rising prices erode the purchasing power of Nigerians and increases the cost of living. However, he believes strongly too that by fostering an exchange rate stability, the problem of inflation can be tackled head-on.

The FX code, the CBN chief asserted marks a new era of compliance and accountability. The code, he declared is not just a set of recommendations, but an enforceable framework, warning industry players that under the CBN Act, 2007 and BOFIA Act, 2020, violations will be met with penalties and administrative actions. He told stakeholders who attended the launch that they must recognize that adherence to the code is not merely about compliance but about restoring public trust in Nigeria’s financial system.

“Beyond the foreign exchange market, the FX code forms part of our renewed focus on compliance across the financial services industry and I am particularly pleased that we have the leadership of the industry to reinforce a collective commitment to the journey ahead. Self-regulation and conduct are at the core of the changes in culture we expect to see at play in the industry, and I expect the principles of the FX code to be applied across other business areas.

“The FX code is built on six core principles—ethics, governance, execution, information sharing, risk management and compliance, and confirmation and settlement processes. These principles align with international standards, while addressing Nigeria’s unique challenges. Together, they provide the foundation for a resilient and transparent market that inspires confidence among both domestic and international participants.

“Today, as we formally launch the FX code, I call on all market participants to embrace its principles wholeheartedly. The six guiding principles and 52 sub-principles must become the standard for conduct across all participating institutions. Leaders in this room – board chairs, managing directors, and chief compliance officers – must lead from the front. Embedding these standards within your organizations is not optional,” Cardosa stated.

He reiterated that the eras of opaque practices is over because the CBN will not hesitate to deal with any institution or individual that undermines the integrity of the financial markets. The code, he added, serves as a collective pledge to transparency, ethical conduct, and fairness in the forex market, and that most importantly, through strict adherence to thev code, Nigeria can build a financial ecosystem that embodies resilience, global competitiveness, and economic prosperity.

Dr Modibbo is an Abuja based Development communication analyst.

BY BOLAJI AFOLABI

In various countries across the world, the month of December is usually special and unique. From the weather to people’s mood and activities, it evokes some peculiar frenzy that are easily contagious. In diverse ways and practices, people look forward to the season as the perfect time to “wind down” and “close shop” having survived the vicissitudes of the out-going year. For some, it is the period for holidays and vacation. For others, weddings, and numerous social engagements are scheduled during this season. All around the globe, airports are very busy. Same with parks, and sea ports. Generally, people look forward; with excitement to hearty re-connection, communication, and celebrations with families, friends, and loved ones.

Given the global economic meltdown and it’s negative effects on the country, peoples expectations were measured and reasonable. Conscious of the debilitating economic situation that has thrown many people into accentuating poverty and corrosive hunger, many were not confident of enjoying blissful yuletide season. Due to their scant and scarce finances, many people after calculations and conjectures, eschewed from elaborate and grandiose preparations for the season.

For the political class, and those in various leadership positions at federal, state, and local government levels, the last yuletide season was slightly different. In times past, people looked forward to “hand of fellowship” from leaders. Politicians and public officials happily “give back” to their constituents. However, for December 2024, sighting “national economic situation” as comfortable alibi, the expectations of constituents were not fully met. Indeed, there were unconfirmed stories about politicians who devised “ingenious measures” to avoid possible umbrage of their constituents. To extricate themselves from the harassment of hangers-on, and public ridicule by fearless constituents, some politicians allegedly think outside the box. This included, holidays outside the country; remained incommunicado; stayed back in Abuja; hibernated in state capitals as mark of “loyalty” to their principals.

For the people of Obio-Akpor federal constituency in Rivers state, the story was entirely different. Variously described as the melting pot of the Treasure Base; moniker for Rivers, residents and indigenes of the 17 Wards and over 70 communities that make up the constituency experienced flurry of empowerment programmes, give-aways, and convivial celebrations during the yuletide season. According to reports, from the first week of December to the last few days of 2024, the buzz in and around the constituency was spectacular, and electrifying.

In continuation of the empowerment and skills development initiatives; which has been running from mid-2023, emplaced by Rep. Chinda Kingsley, member representing Obio-Akpor Federal Constituency in the House of Representatives, many people from across the communities benefitted. Youths, women, and men who participated in the three-month training programmes which included tailoring, interior decoration, hair dressing, barbing and other relevant skills geared towards self-reliance, and entrepreneurial development were given start-up packs, materials, equipment, and cash. The non-partisan, all-encompassing, and fair-to-all intervention initiative had beneficiaries from various communities across the 17 Wards. From records, the long-list of beneficiaries covers constituents from Rumuewhara, Rumuolumeni, Rumuokoro, Elelenwo, Rumuodara, Rumuola, Rumueme, Rumuepirikom, Rumuodomaya, Choba and other communities within the federal constituency.

Guests, leaders, stakeholders, constituents, and numerous others that attended the closing ceremony and empowerment presentation that held late December in Port Harcourt were visibly elated about the empowerment programmes. As expected, the beneficiaries could not hide their excitement and enthusiasm for the life-changing gesture. Ms. Ruth Ogbona who got a sewing machine confirmed that, “I am very happy for participating in the three-month training. With all what I have learned, and presentation of this brand new, and latest sewing machine, my dream of being a fashion designer is now reality.” Another beneficiary, Ms. Peace declared that, “it is a dream come true. I thank God for this opportunity which will make me and others grow up, and be better people in our communities.”

Some other beneficiaries while expressing their gratitude to Rep. Chinda alluded to the transparency of the various training programmes, noted that the initiative; which is still continuing is arguably the first by any legislator in the state. Mr. David King said that, “I and virtually all other participants were selected fairly and freely by the coordinators. I did not lobby or spoke to anyone. I thank Chinda for this rare privildge. He is a blessing to the people of Obio-Akpor.” In the words of Ms. Suzie, “Hon. Chinda is truly a man of his words because while campaigning he said, ‘I Win You Win’ and made promises not to abandon the people. I am very happy that since August 2023, he has embarked on different empowerment programmes that have positive impact on all of us.” An elated Ms. Amadi declared that, “I am excited about this empowerment material which I have desired for many years. That I am a beneficiary without knowing anybody makes it more fulfilling and heart warming. My prayer is that God will continue to bless Hon. Chinda in all he is doing.”

Cognisant of the premium placed on Christmas and New Year celebrations by people, Rep. Chinda distributed different food items, and condiments around Obio-Akpor. These included rice, beans, garri, groundnut oil, tomatoes, maggi, and other items. Chiefs, community leaders, elders, and religious leaders benefitted from the end of year give-aways. Others included political stakeholders, political associates, informal groups, trade associations, ethnic unions, women, men, and youths. Indeed, the give-aways covered the entire 17 Wards in Obio-Akpor federal constituency. The impact of the gesture was extensive that it generated widespread commendation and gratitude among various strata of the constituency. A youth leader, Mr. Bright John affirmed that, “we are very fortunate to have a Leader and Representative who is caring, altruistic, and passionate about the well-being of his constituents. Unlike what normally happens, Chinda ensured that the items percolate to everyone.” For Mrs. Priscilla Ogechi Kanu, “this has never happened. Hon. Chinda has contributed positively to the growth of many people. My prayer is that God will perfect everything that concerns him.” Chief Alphonsus Obiereka, a community leader and politicians declared that, “apart from the distribution of food items and assorted condiments to people, as well as empowerment programmes, there are other initiatives by Chinda that are positively touching lives of people, and improving development in and around our various communities.”

Indeed, the people of Obio-Akpor have witnessed numerous projects, programmes, and initiatives that are making broad-based, and cross-disciplinary impacts on residents and citizens. Since 2023, there are visible interventions across the 17 Wards with special focus on skills development, education, health, and agriculture. Some of these includes medical outreach; digital and artificial intelligence trainings; entrepreneurial development on ICT, welding, and chalk production. Others include agricultural training through the OK Chinda Youth AgriBusiness & Food Security Initiative (OYAFSI); provision of educational soft-structures; payment of school fees for some categories of students; yearly distribution of JAMB forms, and many others. Participants and beneficiaries of these programmes, regularly gives testimonies about the timeliness and importance to Obio-Akpor, and Rivers state. According to Nene Bright, one of the graduates of the mid-2024 Artificial intelligence training programme, “it was an eye-opening and career-finding exercise. It has boosted my horizon to unleash my potentials, and exploit the numerous opportunities in information technology.” For Boniface Godswill, “passing through the OYAFSI, is the most reasonable decision I have taken in life. I now know the vast opportunities imbedded in agriculture, few of which I have started to exploit.”

For many people in Obio-Akpor federal constituency, the last yuletide season is one they will not forget in hurry. Days, weeks, and months to come, the sweet feelings, and pleasurable memories will keep resonating in their minds. Collectively, these gestures, initiatives, and programmes are still attracting positive endorsements, and public thumbs up. Many people are confident that Chinda will sustain, deepen, and possibly expand the scope of the numerous interventions. Many are already doing the countdown to 2025 yuletide season.

BOLAJI AFOLABI, a development communications specialist, was with the Office of Public Affairs in The Presidency.

By

Dr. Tonye Clinton Jaja,
Executive Director,
Nigerian Law Society (NLS).

On 23rd January 2025, it was reported that:

“…about 1,300 (medical) consultants left Nigeria in the last five years.

On Thursday, the Medical and Dental Consultants Association of Nigeria (MDCAN) said only 6,000 consultants are left in the country.

The association’s president, Muhammad Mohammad, said this during the association’s National Executive Council (NEC) Meeting in Ilorin, Kwara State.”

According to the World Health Organisation (WHO) “ratio of medical doctors to population varies by country and can be used to determine how many physicians a service area needs.

The World Health Organization (WHO) recommends a ratio of one doctor per 1,000 people.”

Going by the current population of Nigeria, which is approximately 230,000,000 (two hundred and thirty million persons), it means that the ratio of medical doctors to the Nigerian population is three medical doctors to one hundred and fifteen thousand persons (3:115,000).

So assuming that a medical doctor takes two days to attend to one Nigerian citizen or resident, it would take the said medical doctor one full year (without taking any holiday) to attend to the said quota of 115,000.

This ratio (3:115,000) is 100 times above the WHO recommended standard ratio of one medical doctor to 1,000 population (1:1000).

As bleak as these statistics may appear, it presents an opportunity for both the receipt of foreign exchange and development of indigenous traditional medicine manufacturing.

Medical cannabis (popular known as Indian hemp or “Igbo”, “weed”, “ganja”) is now the new “crude oil” and foreign exchange earner for many African countries such as the Kingdom of Lesotho.

As far back as the year 2008, Lesotho amended it’s laws to comply with the relevant United Nations legislation to decriminalise and permit the cultivation and sale of the species of cannabis that is known as “medical cannabis”.

“Following the December 2, 2020, vote by the United Nations Commission on Narcotic Drugs, the removal of cannabis and cannabis resin from that Schedule entered into force in 2021. Since 2021, cannabis and cannabis resin remain listed in Schedule I of the Single Convention, alongside extracts and tinctures of cannabis.”

In a nutshell, the implication was that: “At that time, the ECDD, a Committee of the United Nations Office of Drugs and Crimes advised that certain cannabis-derived medicines like cannabidiol (CBD)have no potential to be abused or cause dependence but have significant health benefits for children with treatment-resistant epilepsy, and therefore should not be placed under international control.”

With this re-classification of cannabis, “In the 2019 African Cannabis Report, Lesotho’s industry was projected to be worth at least $92m (£76m) by 2023.”

Revenue in Lesotho’s Cannabis market is forecasted to reach US$3.77m in 2025. The revenue is anticipated to demonstrate an annual growth rate (CAGR 2025-2029) of 1.17%, leading to a market volume of US$3.95m by 2029.”

The BBC reported that:
The high altitude combined with fertile soils, untainted by pesticides, enables growers to produce a high-quality crop, valued all over the world.

Last year, (2017) Lesotho became the first African country to legalise the cultivation of marijuana for medicinal purposes, spawning a new sector in a country where the economy struggles to create employment opportunities.”

Going by the foregoing, Lesotho has increased it’s foreign exchange earnings through the sale of medical cannabis to Canada and other European countries that utilise it for the manufacture of medicines for treatment of cancer and epilepsy.

Let it be repeated here that Lesotho legalised the cultivation of MEDICAL CANNABIS for production of medication. This is different from cannabis that is used for recreational use. This species is not legalised.

This distinction is very important considering that some law-makers frown at the idea or even the mere mention of cannabis (Igbo, weed, ganja, skunk, etc.).

About the year 2022, or thereabouts, I still recall the difficulty of convincing my wife (who is a lawyer not to mention others) about why I was involved as a legal consultant for the drafting of a Bill to Legalise the Cultivation of Medicinal Cannabis in Nigeria. The said Bill was sponsored by Hon. Miriam Onuoha of the House of Representatives, National Assembly of Nigeria.

During my legislative advocacy, to promote the said Bill, the current majority leader told me point-blank that his constituents would not be happy that he is supporting a Bill to legalise the cultivation of MEDICAL CANNABIS, which he kept referring to as “Igbo” (the pidgin English language name) instead of the botanical name (cannabis sativa), which sounds more refined!!!!

I also approached a very popular human rights lawyer who is also a Senior Advocate of Nigeria-SAN to support the advocacy by filing a public interest lawsuit to compel the National Assembly to enact a law to give effect or “domesticate” the said UN legislation that de-classified cannabis. He “diplomatically” turned it down because of the risks to his reputation.

However, the current Deputy Speaker of the House of Representatives, National Assembly who had taken his time to read about the medical value of medicinal cannabis is on record as giving 100% support to the said Bill.

Several medical doctors provided myself and other members of our team with results of scientific studies that support the medical and medicinal benefits of the species of cannabis known as medical cannabis. It was an eye-opener for me.

It was based on those tangible, empirical evidence that I supported the drafting of a Bill for legalisation of cultivation of MEDICAL CANNABIS.

And it is on that basis that I now support the opportunity for Nigeria to increase it’s foreign exchange earnings through the cultivation of MEDICAL CANNABIS.

This has to be done under very strict regulations.

As the Government of Lesotho is doing, they enter into a direct partnership agreement that allows the foreign companies to be involved in the cultivation and processing and exporting of the medical cannabis.

It is not safe to allow indigenous Nigerians to be involved directly in the cultivation and processing and packing and exporting (“make them no come smoke am, or steal am finish”-as we would say in pidgin English language).

From the foregoing, it is obvious that the dearth of medical doctors in Nigeria present a golden opportunity for the growth and development of indigenous traditional medicine industry in Nigeria.

The Nigerian soil and tropical climate supports the growth of plants and trees that are the raw materials for production of medicines that can cure a lot of ailments.

Growing up as a child, I inherited asthma, as my grandfather was always with an inhaler. On one of the boat rides from ogoniland to my village (Opobo town) in the year 1987 or thereabouts, because of the exposure to cold breeze, I suffered an asthma attack and I was rushed to the local hospital upon disembarking from the boat. My mother who witnessed the whole incident told me that it was an elderly person with knowledge of local herbs that boiled some plants that was used to revive me after I drank it. And that was the last time, I experienced any sort of asthma attacks not even when I was resident in the United Kingdom, which has a colder weather than Nigeria. Till today, I have not used any inhaler, since the year 1987.

So this is a testament to the potency of our traditional medicines.

However, we are not paying attention to it as an alternative source of medicine and foreign exchange earnings.

It is hoped that this current dearth of medical doctors in Nigeria will open our eyes to the golden opportunity.

As the saying goes: “God never closes a door, without opening a window somewhere else”-Sound of Music (1964)!!!