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ABCON lauds CBN’s FX policies
The Association of Bureau de Change Operators of Nigeria (ABCON) says the recall of members into the foreign exchange (FX) market has led to stability in the exchange rate.
Aminu Gwadabe, ABCON president, spoke on significant developments in Nigeria’s FX market in a statement on Sunday.
According to Gwadabe, in addition to addressing the $7 billion FX backlog, and the monetary policy tightening that led to more investment in government instruments, the recall of the bureau de change (BDCs) operators by the Central Bank of Nigeria (CBN) was also a significant move to boost dollar liquidity at the retail end of the market.
He thanked the CBN and other relevant agencies for acknowledging the BDCs as a crucial component of the FX market and an efficient mechanism for transmitting exchange rates in FX management.
“The reconsideration of the BDCs into the mainstream foreign exchange market has not only cleared illegal economic behaviours of hoarding, rent-seeking, round tripping and FX holding position, and led to the emergence of exchange rate convergence,” he said.
“The stability in exchange rate has already started to have positive impact on the prices of goods and services.
“For instance, the price for international school fees has dropped by 15 percent; cost of medical tourism reduced by 20 percent and airfares for local and international trips dipped by 25 percent.
“In a most serious note, the positive impacts include also heightened confidence of the public in the local currency as it eliminates currency substitution behaviour which hitherto being (sic) adding pressure on our local currency.”
Gwadabe said the success story is unending, with the naira trading at N1,255/$ on Saturday — which is below the N1,269.765 the BDCs are advised to sell.
“It is our view that the collaboration between the BDCs, CBN, National Security Adviser (NSA), Economic and Financial Crimes Commission (EFCC), as well as support from the presidency helped in creating the opportunity for building the foundation of this achievement,” he said.
“Overall the combination of these actions have induced an atmosphere of public calmness, confidence, hope and liquidity in the markets.
“We call therefore on the CBN to continue to calibrate the existing relationship between the BDCs and the apex bank to sustain the success story.”
Describing the ongoing market development as revolutionary, the ABCON president said a stable naira would attract more foreign portfolio inflows to the economy.
He said prospects for FX earnings are promising, with an increase in foreign portfolio investments (FPI) and inflows exceeding $1.5 billion just days after the monetary policy committee (MPC) raised interest rates by 200 basis points.
Gwadabe said increases in FX inflows through the CBN’s monetary tools are aiding to boost foreign reserve accretion, granting the apex bank the power to defend the local currency.
Gwadabe reiterated ABCON’s commitment to maintaining collaboration with the central bank to ensure that all members benefit mutually, preventing exclusion and the dominance of the sector by larger entities.
The collaboration, he said, aims to safeguard the investments, skills, and capacity of members — mitigating potential losses of capital and unintended consequences such as unemployment and heightened insecurity.
On February 27, CBN approved the sale of FX to BDCs.
Speaking on the decision, the apex bank said it observed the continued price distortions at the retail end of the market, which was feeding into the parallel market and further widening the exchange rate premium.
The Commander of Operation Safe Haven (OPSH), Maj.-Gen. Folusho Oyinlola, has decried the influx of large number of cattle into Barkin Ladi Local Government Area (LGA) of Plateau State.
Oyinlola, who doubles as the General Officer Commanding (GOC) 3 Division of the Nigerian Army, Rukuba, near Jos, said this on Tuesday during an engagement with stakeholders in Barkin Ladi.
He noted that the influx of the cattle was constituting a major security threat to the locality and the state in general.
According to him, the isolated attacks, farm destruction, and other illegal activities are as a result of the unhealthy development.
“I must express the concerns of security agencies about recent developments in parts of Barkin Ladi.
“There is a growing unease about the influx of large number of cattle into farming communities.
“While the movement of livestock in Barkin Ladi and indeed Pateau in general is not unusual, the scale and timings of this new influx raise legitimate security concerns.
“Unfortunately, this development has already resulted in adverse outcomes, including farm destructions, isolated attacks, and attacks on livestock.
“The impact of this action on food security, economic stability, and social harmony cannot be over emphasised,” he said.
The commander, who also expressed deep concerns over the recent killings in the locality, called on the stakeholders to unite and fashion out ways to end the violence.
He, however, promised to fish out the perpetrators of the heinous crime, who would be made to face the full wrath of the law.
Oyinlola explained that the stakeholders’ engagement was aimed at ensuring a successful and peaceful farming season in the locality.
“The faming season is already ongoing, and for many families, this is a period for securing their livelihood.
“Therefore, any disruption of farming activities now will have dire consequences for the rest of the year and beyond.
“To this end, this engagement is convened to hear from you, all stakeholders, to listen to your concerns,” he said.
The News Agency of Nigeria (NAN), reports that the meeting had in attendance heads of security agencies, government officials, traditional and religious leaders, among others.(NAN)
The Catholic Church’s cardinals issued an urgent appeal for peace on Tuesday, one day before they retreat into the Vatican’s Sistine Chapel to elect a new pope.
In a joint statement, they called on all warring parties worldwide to “achieve a lasting ceasefire as soon as possible.”
The statement, released by the Vatican, said the cardinals note “with regret” that there has been no “progress in promoting peace processes in Ukraine, the Middle East and many other parts of the world.”
On the contrary, they said, attacks have intensified, especially against the civilian population.
The cardinals called for ceasefires “without preconditions and without further delay” in order to negotiate “the peace long desired by the affected populations and the whole world.”
They also appealed to believers, asking them to intensify their prayers for a just and lasting peace.
The statement was delivered during the General Congregation of the College of Cardinals, the last meeting of the cardinals before the start of the conclave.
Starting on Wednesday, eligible cardinals under the age of 80 are to vote to elect a successor to pope Francis, who died on Easter Monday at the age of 88.
The World Health Organization (WHO) says on Tuesday that more than 30-year difference in life expectancy between the richest and the poorest countries highlights global health inequities.
The global health body stated this in its ‘World Report on Social Determinants of Health Equity’ launched on Tuesday by its Director-General, Dr Tedros Ghebreyesus.
The report revealed that where one was born could be the difference between living over three decades longer than someone else from a poorer country lacking safe housing, good educational opportunities and access to decent jobs.
According to the report, people in the country with the highest life expectancy will, on average, live for 33 years more than those born in the country with the lowest life expectancy.
It further revealed that lack of safe housing, good educational opportunities and access to decent jobs could be responsible for a reduction in life expectancy in both rich and poor countries alike.
“Our world is an unequal one. Where we are born, grow, live, work and age significantly influences our health and well-being,” said Ghebreyesus.
The report found that inequities in health were closely linked to degrees of social disadvantage and levels of discrimination.
“Health follows a social gradient whereby the more deprived the area in which people live, the lower their incomes are,” the UN global health agency said.
It stated that inequities’ were exacerbated in populations that face discrimination and marginalisation, such as Indigenous Peoples, who had lower life expectancies than their non-Indigenous counterparts.
According to the report, this is the case in both high and low-income countries.
The study was the first to be published since 2008 when the WHO Commission on Social Determinants of Health released its final report.
The report laid out targets for 2040 for reducing gaps between and within countries in life expectancy, childhood and maternal mortality.
It showed that these targets were likely to be missed and in spite of a scarcity of data, there was sufficient evidence to show that health inequities were often widening.
“For example, children born in poorer countries are 13 times more likely to die before their fifth birthday than in wealthier countries.
“Moreover, modelling shows that the lives of nearly two million children annually could be saved by closing the gap and enhancing equity between the poorest and wealthiest sectors of the population within low- and-middle-income countries.”
Additionally, while maternal mortality declined by 40 per cent between the years 2000 and 2023, the majority of deaths, 94 per cent, still occurred in low and lower-middle-income countries.
WHO called for collective action to address economic inequality and invest in social infrastructure and universal public services.
The agency also recommended other steps, including overcoming structural discrimination and the determinants and impacts of conflicts, emergencies and forced migration. (NAN)