Business

Lagos, Nigeria – In a somber announcement on Friday, the Institute of Chartered Accountants of Nigeria (ICAN) confirmed the demise of Emmanuel Ijewere, a distinguished figure who had served as the 32nd president of the institute from 1996 to 1997. The news was verified by Dare Muyiwa, the senior manager of the corporate communications directorate of ICAN.

“Yes, he is late,” Muyiwa reportedly informed news correspondents , shedding light on the passing of Ijewere after a prolonged battle with a terminal illness.

Emmanuel Ijewere, born in 1946, was a luminary in the Nigerian business landscape, displaying expertise in banking, finance, and agriculture. His contributions extended beyond ICAN, as he held significant roles in prestigious organizations such as the Institute of Directors (IOD) and the Nigerian Red Cross.

Commencing his accounting career in 1965 at Coopers & Lybrand, Ijewere later founded Ijewere & Co., a chartered accountancy firm in Nigeria, in 1979. The firm earned a stellar reputation for its tax advisory services, solidifying its place among the country’s most esteemed indigenous accounting companies.

As a businessman, Ijewere chaired and directed several companies, including Best Foods Group, Emson, Nigeria Agribusiness Group, Drum Resources Nigeria Limited, Apel Capital & Trust Limited, Countrywide Direct Mortgage Company, Kerildbert Holdings, Computer Warehouse Group (CWG), Gemini Pharmaceuticals, among others.

On the national stage, he was a pioneer chairman of the Agriculture and Food Security Commission and served as a director on the defunct modified value-added tax committee in 1993. Emmanuel Ijewere’s influence reached beyond borders, with memberships in the National Economic Forum (NEF), the International Investment Council (HIIC), and the Agricultural Transformation Implementation Council (ATIC) under the chairmanship of ex-President Goodluck Ebele Jonathan.

Notably, he played a vital role as the president of the Nigeria Agribusiness Group (NAGB), the umbrella organization for Nigerian agriculture, until his passing.

Emmanuel Ijewere’s commitment to the agricultural sector was evident through his role as a resource person for the transition committee of former President Muhammadu Buhari, providing insights into the agricultural landscape of the nation.

His demise marks the end of an era for the Nigerian business community, as Emmanuel Ijewere’s multifaceted contributions and leadership will be remembered and celebrated by those whose lives he touched

This is according to a circular dated December 22, 2023, with reference number FPR/DIR/PUB/CIR/002/003, and signed by the Director, Financial Policy and Regulation Department, Haruna Mustafa. 

The Central Bank of Nigeria has reversed its policy on crypto assets in the country and asked banks to disregard its earlier ban on crypto transactions. 
This is according to a circular dated December 22, 2023, with reference number FPR/DIR/PUB/CIR/002/003, and signed by the Director, Financial Policy and Regulation Department, Haruna Mustafa. 
The CBN circular is titled, “Circular to all Banks and other Financial Institutions Guidelines on Operations of Bank Accounts for Virtual Assets Service Providers (VASPS).” 
The apex bank stated that current trends globally have shown the need for crypto regulation. It said, “The CBN in February 2021 issued a circular restricting banks and other financial institutions from operating accounts for cryptocurrency service providers in view of the money laundering and terrorism financing (ML/TF) risks and vulnerabilities inherent in their operations as well as the absence of regulations and consumer protection measures.
“However, current trends globally have shown that there is need to regulate the included providers (V/ASPs) which activities of virtual assets service cryptocurrencies and crypto assets. Following this development, the Financial Action Task Force (FATF) in 2018 also updated its Recommendation 15 to require VASPs to be regulated to prevent misuse of virtual assets for ML/TF/PF Furthermore, Section 30 of the Money Laundering (Prevention and Prohibition) Act, 2022 recognizes VASPs as part of the definition of a financial institution. 
“In addition, the Securities and Exchange Commission in May 2022 issued Rules on Issuance, Offering and Custody of Digital Assets and VASPs to provide a regulatory framework for their operations in Nigeria. 
“In view of the foregoing, the CBN hereby issues this guideline to provide guidance to financial institutions under its regulatory purview in respect of their banking relationship with VASPs in Nigeria

Former Governor of the Central Bank of Nigeria, CBN, Mr Godwin Emefiele has disclosed that the naira redesign was a directive from one of ex-President Muhammadu Buhari’s former aide.

Emefiele said the former presidential aide gave him the directive in September 2022 during his visit to the Presidential Villa in Abuja.

This was contained in a report by the Special Investigator on CBN and Related Entities, Jim Obazee which was submitted to President Bola Tinubu.

Tinubu had commissioned Obaze to investigate the CBN operations under Emefiele.

Recall that CBN under Emefiele had redesigned N1,000, N500, N200 and N100 notes.

Explaining why the naira denomination was redesigned, Buhari had said the need to fight corruption and insecurity headlong, including controlling inflationary trend partly necessitated the decision to redesign the currency denominations.

Obaze’s report reads partly: “The Naira Redesign was not approved by the Board of CBN and President Muhammadu Buhari in accordance with the law. Buhari only tagged along. Sometimes in September 2022, the erstwhile Governor of the CBN claimed that during his visit to the Presidential Villa, one of the presidential aides told him to go and consider redesigning the Naira.

“On 6th of October, 2022, Emefiele wrote Buhari seeking approval to redesign and reconfigure N1,000, N500, N200 and N100 notes. Buhari approved the proposal same day. But Buhari approved the currency be printed in Nigeria.

“On that 6th October 2022, former President Muhammadu Buhari approved Emefiele’s request and directed that he should redesign and reconfigure the four denominations of the Naira notes as prayed, but should print them locally.

“Emefiele did not consult with the management of the CBN or seek any recommendation from the Board of the CBN as required by Section 19 of the CBN Act, 2007.

“Emefiele did not seek the recommendation of the Board of the CBN nor revert to former President Muhammadu Buhari to inform him nor seek his presidential approval for the new redesigns and the fact that he is now recommending only three denominations

“Emefiele took the redesigns, a mere change of colour to De La Rue in UK for a fee of £205,000. Only N1,000, N500 and N200 notes were redesigned.”

The Central Bank of Nigeria, CBN, has announced a stop to new loan applications under its development finance intervention funds scheme.

The suspension signals a dramatic shift in the central bank’s stance on development finance intervention funds, which were formerly regarded as a cornerstone.

The central bank also tasked Deposit Money Banks with recovering already given loans under the plan.

The CBN announced this in a circular to bank CEOs issued by the Acting Director, of the Development Finance Department, Sa’ad Hamidu, on Tuesday.

The circular titled ‘Suspension of Acceptance of New Applications under the Existing Central Bank of Nigeria, CBN Development Finance Intervention Programme’, read, “In furtherance of the Central Bank of Nigeria’s new policy thrust focusing on its core mandate of ensuring price and monetary stability, the Bank has commenced its pullback from direct development financing interventions.

“Accordingly, the CBN would be moving into more limited policy advisory roles that support economic growth.

“In consideration of the above, the CBN wishes to inform you that it has stopped accepting new loan applications for processing under any of its existing intervention programmes and schemes.”

In a bid to alleviate the ongoing cash scarcity crisis in Nigeria, the Central Bank of Nigeria (CBN) has announced the temporary suspension of processing fees on cash deposits exceeding certain thresholds.

This suspension, which takes effect immediately and will remain in place until April 30, 2024, aims to incentivize cash deposits and enhance financial transactions for individuals and businesses.

Previously, individuals were charged a two percent processing fee on cash deposits above N500,000, while corporate entities faced a three percent fee for deposits exceeding N3,000,000.

The directive, signed by Dr. Adetona S. Adedeji, Acting Director of Banking Supervision, mandates all CBN-regulated financial institutions to comply. This means individuals and businesses can now deposit any amount of cash without incurring additional charges.

Leading Reporters gathered that CBN staff said “this measure will address the immediate cash shortage by encouraging the deposit of available cash into the formal banking system. This will increase the liquidity available for withdrawals and economic activity. Additionally, it promotes financial inclusion by making banking services more accessible to individuals who primarily rely on cash transactions.”

However, concerns remain about the potential for fueling inflation and illicit financial activities due to the processing fee suspension. Experts emphasize the need for the CBN to closely monitor the impact of this measure and implement appropriate mitigating measures if necessary.

The Nation has also reliably gathered that to address the current cash crunch in the country, the CBN has started deploying cash from its branches across the country to locations in dire need of cash.

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Another CBN official revealed that “efforts are currently being made to move cash to where the scarcity is hardest.”

Read Also: Why CBN must resist further hike in interest rates

He reiterated that the CBN has sufficient cash to meet the transaction demands of cash-using members of the public.

He attributed the biting cash crunch to the panic withdrawals of cash by Nigerians ahead of the yuletide to forestall the experience of the last year.

The CBN’s latest directive and action to deploy cash to needy areas demonstrates its commitment to addressing the current cash scarcity crisis while promoting a cashless economy and ensuring a robust and inclusive financial system.

The suspension of processing fees on cash deposits is expected to provide immediate relief to individuals and businesses affected by the cash shortage, boosting economic activity and access to financial services in the short term.

Point-of-sale operators in Nigeria have raised the alarm that some state governments have started charging them at least N30,000 in taxes annually per agent.

The National Vice President of the Association of Mobile Money and Bank Agents in Nigeria, Obioha Oti, disclosed this in an interview with news correspondent Thursday.

Oti was speaking on the emerging threat of the naira shortage and its effect on PoS operators.

According to him, PoS vendors are plagued by naira shortages and heavy taxes in some parts of the country.

He alleged that state governments in Anambra, Cross River, and Akwa Ibom, as well as other states in the southwest and north, tax PoS operators N100 daily and N2500 monthly.

“There are many other problems POS operators are facing now. This disturbing trend is why some state governments have started taxing operators heavily. We have reports in Akwa Ibom, Cross River, Anambra states, states in the southwest and others in the north. For Anambra, there is an agency the government commissions to collect N100 daily, N2500 monthly, and N1000 to register. If you do the calculation, one agent will pay at least N30,000 to the government in the form of taxes. And sometimes the people collecting these taxes are more than one,” he said.

An American multinational consumer goods firm, Procter & Gamble, popularly known as P&G, has announced that it is winding down its on-ground presence in Nigeria.

The Chief Financial Officer, Andre Schulten, made this known during his presentation at the Morgan Stanley global consumer & retail conference in New York on Tuesday.

P&G is the manufacturer of common Nigerian household items such as Pampers, Always, Oral B, Ariel, Ambi-pur, SafeGuard, Olay and Gillette.

According to Schulten, P&G will transition into importing its products to Nigeria rather than producing them in the country, adding that it is a result of the country’s challenging business environment as well as the difficulty in creating US dollar value

“The other reality that arises in some of these markets is that it gets increasingly difficult to operate and create US dollar value.

“So when you think about places like Nigeria and Argentina, it is difficult for us to operate because of the macroeconomic environment.

“So with that in mind, we are announcing a restructuring program with the intent to adjust the operating model and adjust the portfolio to ensure that we maintain the portfolio discipline that has brought us to this point.

“The restructuring program will largely focus on Nigeria and Argentina. We’ve announced that we will turn Nigeria into an import-only market, effectively dissolving our footprint on the ground in Nigeria and reverting to an import-only model,” he said.

Fidelity Bank Plc has become an official signatory of the UN Principles for Responsible Banking (PRB) – a single framework for a sustainable banking industry developed through a collaboration between banks worldwide and the United Nations Environment Programme Finance Initiative (UNEP FI).

The Principles are the leading framework for ensuring that banks’ strategy and practice align with the vision society has set out for its future in the UN Sustainable Development Goals and the Paris Climate Agreement. Banks who have signed the Principles commit to be ambitious in their sustainability strategies, working to mainstream and embed sustainability into the heart of their business, while allowing them to remain at the cutting-edge of sustainable finance.

Under the Principles, signatory banks identify and measure the environmental and social impact resulting from their business activities, set and implement targets where they have the most significant impact, and regularly report publicly on their progress. The Principles provide a framework for banks to systematically understand the risks and seize the opportunities arising from the transition to more sustainable economies.

“As long-time signatories to UNEPFI, signing onto the PRB is the next step to show our commitment to sustainability. Sustainability is central to our corporate strategy as a bank and joining the Principles further affirms our determination to increasing our positive impacts in all aspects of sustainability. The PRB aligns with our sustainability principles and the bank is delighted to join the global community of signatories championing sustainable development around the world”, commented Dr Nneka Onyeali-Ikpe,OON, Managing Director/Chief Executive Officer, Fidelity Bank Plc.

Signatories to the Principles take on a leadership role, demonstrating how banking products, services and relationships can support and accelerate the changes necessary to achieve shared prosperity for both current and future generations, building a positive future for both people and planet.

These banks also join the world’s largest global banking community focused on sustainable finance, sharing best-practice, and working together on practical guidance and pioneering tools of benefit to the entire industry.

This is a journey of unprecedented scale and scope at a time when such ambition is urgently needed to address the major planetary crises of climate change, nature loss, pollution and social issues.

Together, these collective efforts will ensure that profitability goes hand in hand with a sense of purpose.

Leading financial institution, Fidelity Bank Plc, has restated its determination to help businesses run profitably as it recently partnered with the Lagos Chamber of Commerce and Industry (LCCI) to host a conference to discuss solutions to challenges bedeviling the growth of businesses in the country.

Held at the LCCI office at Commerce House, Victoria Island, Lagos, the event featured a panel session comprising several top functionaries across the Nigerian economy.

Panelists at the session, which was themed “Powering Nigerian Businesses for Growth”, include: MD/CEO, KSBC Knowledge Resources Ltd, Mr. Chika Mbonu; CEO, Helf Africa, Mr. Yemi Osinubi, CFA; Principal, Sahel Capital, Ms. Tosin Ojo, CFA; Deputy National President of the Nigeria Cargo Airport Chapter of the National Association of Government Approved Freight Forwarders (NAGAFF), Dr. Segun Musa; MD/CEO Zevis Pharmaceutical Ltd, Sir Elvis Emecheta; and MD, Super Audio Ind. Nigeria Limited, Mr. Keshab Vaswani.

Giving her keynote address at the event titled, “Promoting Trade and Industry in Nigeria: Government Initiatives and Opportunities for Business Growth”, the Honourable Minister of Industry, Trade, and Investment, Dr Doris Uzoka-Anite, who was represented by the Managing Director, Tafawa Balewa Square Managing Board, Mrs. Lucia Shittu, said:

“As a government, our responsibility is to provide the environment for ease of doing business that allows corporations to thrive similarly in other countries where they have representation. The Presidential Enabling Business Environment Council (PEBEC) was specifically constituted to achieve this with the primary objective of removing critical bottlenecks and bureaucratic constraints to doing business in Nigeria. As part of the ministry’s commitment to achieving this, our vision board is “Reposition Nigeria for business and investment, to attract FDIs by improving the ease of doing business” and I’m proud to announce that as of the last Ease of Doing Business report, one of the agencies supervised by my ministry – the Standards Organisation of Nigeria – is ranked as the most performant with a score of 98.09%. However, we still have a long way to go in strengthening weaker government institutions.

“Some of the upcoming initiatives from the Presidential Council on Industrial Revitalization, among other initiatives, include: upskilling, global-focused certification and licensing of artisans – with a view to export readiness and pipelining for both local businesses and cross-national corporations; creating a robust Agri-market system – one that ensures farmers get the most value for their hard work, provides farmers with more reliable access to credit through instruments like warehouse receipts, reduces the current multi-layered arbitrage system in the markets, introduces standards for warehousing, value addition and exports; standardising and promoting deeper technology and knowledge transfer across all our programmes including the free trade zones.”

Welcoming guests to the event, the MD/CEO, Fidelity Bank Plc, Dr. Nneka Onyeali-Ikpe,OON, who was represented by the Divisional Head, Product Development, Fidelity Bank Plc and Chairman, Financial Services Group of the LCCI, Mr. Osita Ede, made a case for effective partnerships between the public and private sectors to drive economic growth.

In her words, “In the face of economic uncertainties, it is crucial that we embrace a mindset of resilience, adaptability, and collaboration. Together, we can identify opportunities that will not only sustain our businesses but also drive collective prosperity.

“Fidelity Bank is committed to being a catalyst for positive change, empowering businesses, and driving economic growth. We believe that by working together, in the face of the current economic realities, we can unlock the full potential of our nation’s businesses and create a future that is both sustainable and prosperous”.

Similarly, the President of the LCCI, Asiwaju (Dr) Michael Olawale-Cole championed the cause of business owners at the event, explaining that, “As business owners, we are faced with high operating costs and weak consumer demand due to high inflation and declining purchasing power. To explore growth opportunities, businesses must realise they have foreign exchange exposures and adopt hedging strategies to mitigate the impact of high inflation as well as leverage digital technologies to streamline operations, improve efficiency, reduce costs, and reach new customers.”

Advising the government, Olawale-Cole noted that with a huge debt profile, the government must seek alternative funding sources to improve the country’s infrastructure.