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Bolt Faces Backlash Over Alleged 50% Fare Cut in Lagos, Drivers Threaten Protests

by Nelson Ugwuagbo
written by Nelson Ugwuagbo

The Lagos ride-hailing sector is facing renewed scrutiny following claims by the Amalgamated Union of App-Based Transporters of Nigeria (AUATON) that Bolt has implemented a 50% fare reduction, significantly affecting drivers’ earnings.

AUATON’s Lagos State Public Relations Officer, Steven Iwindoye, warned that a mass protest could be imminent if the alleged fare adjustment is not reversed.

However, in exclusive interviews with Nairametrics, some Bolt drivers refuted the claim. Drivers Christian and Evans Nwokoro stated they had not transported any passengers who received a 50% discount, adding that Bolt’s discounts are part of a targeted loyalty program rather than a uniform fare reduction.

With rising fuel prices and increasing operational costs, fare adjustments remain a contentious issue for ride-hailing drivers in Nigeria. The latest dispute highlights ongoing concerns over pricing transparency, fair compensation, and the balance between customer incentives and driver earnings.

While fare disputes are common in the industry, the drivers maintained that Bolt’s pricing model does not impose a blanket fare slash but instead applies structured incentives based on customer history.

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Business

Dangote Refinery Exports Jet Fuel to Saudi Aramco

by Folarin Kehinde
written by Folarin Kehinde

Dangote Petroleum Refinery has exported two cargoes of jet fuel to Saudi Aramco, marking a significant milestone for the $20 billion facility. The achievement highlights the refinery’s global competitiveness and commitment to high standards.

Aliko Dangote, President of Dangote Group, disclosed this on Tuesday during a visit by the Nigerian Economic Summit Group (NESG) to the refinery and Dangote Fertiliser Limited in Ibeju-Lekki, Lagos. He said the refinery’s advanced technology made it possible to supply products to global players like Saudi Aramco. Since commencing operations in 2024, the refinery has ramped up production to 550,000 barrels per day.

NESG Chairman, Niyi Yusuf, commended Dangote for his investment, describing it as the kind of bold initiative needed to drive Nigeria’s economy toward the $1 trillion mark. He stressed that Nigeria must prioritize domestic production over imports, citing global examples where governments actively protect their industries.

Dangote, in response, emphasized the critical role of private sector investments in national development. He noted that major economies, including the U.S. and China, safeguard their industries, and Nigeria should do the same. He cited the Benin Republic’s cement import restrictions as a model for supporting local businesses.

He also highlighted the challenges of industrial investment in Nigeria, particularly the burden of providing infrastructure such as power, roads, and ports, which should be government responsibilities. He added that 52 percent of every naira generated by Dangote Cement goes to government revenue, reinforcing the economic benefits of a thriving private sector.

With its growing production capacity and expanding exports, the Dangote Refinery is positioning Nigeria as a major player in the global energy market.

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Business

BREAKING: E-payment transactions hit N1.07 quadrillion in 2024

by Folarin Kehinde
written by Folarin Kehinde

Electronic payment transactions in Nigeria rose to N1.07 quadrillion in 2024, reaching an all-time high and the first time to hit the quadrillion mark.

According to the data released by the Nigeria Inter-Bank Settlement System (NIBSS), the value recorded on the NIBSS Instant Payment (NIP) represents a 79.6% increase over the N600 trillion recorded in 2023.

While the e-payment data shows a steady increase throughout the 12 months of the year, the highest value was recorded in December.

Being a festive period with lots of spending activities, Nigerians spent a total of N115.1 trillion over electronic channels in December 2024.

This came as the all-time high monthly record on the NIBSS electronic payment platform.

Meanwhile, the volume of transactions processed by NIBSS for the year also jumped from 9.7 billion in 2023 to 11.2 billion in 2024.

This represents a 15.5% increase in the volume of electronic transactions year on year.

Industry analysts believe that the surge in e-payment transactions can be linked to the recent cash crunch experience and the cashless policy of the Central Bank of Nigeria (CBN) limiting the amount of cash that can be withdrawn daily.

According to the revised cashless policy, which came into effect on January 9, 2023, cash withdrawal by an individual is limited to N500,000 a week, while corporate organizations have N5 million withdrawal limit in a week.

A Lagos-based financial analyst, Mr. Adewale Adeoye, said the non-availability of cash in banks like it used to be has been pushing more Nigerians to embrace cashless payment.

According to him, those who need cash by all means now resort to PoS operators, through which they either use their cards or transfer into accounts to receive cash.

“It is expected that electronic transactions will continue to go up since banks are not willing to release cash like before. Aside from the CBN withdrawal limit, if you enter a bank today to withdraw cash, they may tell you that you can’t collect more than N5,000 over the counter.

“So, you are forced to use ATMs, which in most cases are also short of cash. If all that fails, you start looking for PoS operators or you resort to doing mobile transfers,” he said.

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Business

FG approves 50% Tarrif increase request by network operators

by Folarin Kehinde
written by Folarin Kehinde

The Nigerian Communications Commission (NCC), pursuant to its power under Section 108 of the Nigerian Communications Act, 2003 (NCA) to regulate and approve tariff rates and charges by telecommunications operators, will be granting approval for tariff adjustment requests by Network Operators in response to prevailing market conditions.

The adjustment, capped at a maximum of 50 per cent of current tariffs, though lower than the over 100 per cent requested by some network operators, was arrived at taking into account ongoing industry reforms that will positively influence sustainability.

These adjustments will remain within the tariff bands stipulated in the 2013 NCC Cost Study, and requests will be reviewed on a case-by-case basis as is the Commission’s standard practice for tariff reviews. It will be implemented in strict adherence to the recently issued NCC Guidance on Tariff Simplification, 2024.

Tariff rates have remained static since 2013, despite the increasing costs of operation faced by telecom operators. The approved adjustment is aimed at addressing the significant gap between operational costs and current tariffs while ensuring that the delivery of services to consumers is not compromised.

These adjustments will support the ability of operators to continue investing in infrastructure and innovation, ultimately benefiting consumers through improved services and connectivity, including better network quality, enhanced customer service, and greater coverage.

Recognising the concerns of the public, this decision was made after extensive consultations with key stakeholders across the public and private sectors.

The NCC has prioritised striking a balance between protecting telecom consumers and ensuring the sustainability of the industry, including the thousands of indigenous vendors and suppliers who form a critical part of the telecommunications ecosystem.

The NCC recognises the financial pressures faced by Nigerian households and businesses and remains deeply empathetic to the impact of tariff adjustments. To this end, the Commission has mandated that operators implement these adjustments transparently and in a manner that is fair to consumers. Operators are also required to educate and inform the public about the new rates while demonstrating measurable improvements in service delivery.

Additionally, the NCC reaffirms its dedication to fostering a resilient, innovative, and inclusive telecommunications sector. Beyond protecting consumers, the Commission’s actions are designed to ensure the long-term sustainability of the industry, support indigenous vendors and suppliers, and promote the overall growth of Nigeria’s digital economy.

As a regulator, the NCC will continue to engage with stakeholders to create a telecommunications environment that works for everyone—one that protects consumers, supports operators, and sustains the ecosystem that drives connectivity across the nation.

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Business

BREAKING: CBN Fines Nine Banks N1.3bn for Not Stocking ATMs

by Folarin Kehinde
written by Folarin Kehinde

The Central Bank of Nigeria (CBN) has sanctioned nine deposit money banks (DMBs) for failing to ensure cash availability via automated teller machines (ATMs) during the festive season.

The banks have been fined a total of N1.35 billion for their non-compliance. Each of the banks received a fine of N150 million.

The affected banks are Fidelity Bank, First Bank, Keystone Bank, Union Bank, and Globus Bank. Others include Providus Bank, Zenith Bank, United Bank for Africa (UBA), and Sterling Bank.

A press release issued on Tuesday by Mrs Hakama Sidi Ali, the Acting Director of Corporate Communications at the CBN, said, “In a clear message of zero tolerance for cash flow disruptions, the Central Bank of Nigeria has sanctioned Deposit Money Banks for failing to make Naira notes available through automated teller machines, during the yuletide season.

“Each bank was fined N150m for non-compliance, in line with the CBN’s cash distribution guidelines, following spot checks on their branches. The enforcement action follows repeated warnings from the CBN to financial institutions to guarantee seamless cash availability, particularly during periods of high demand.

“The affected banks include Fidelity Bank Plc, First Bank Plc, Keystone Bank Plc, Union Bank Plc, Globus Bank Plc, Providus Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, and Sterling Bank Plc.”

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Business

Pump price hike looms as petrol depots increase prices

by Folarin Kehinde
written by Folarin Kehinde

There are indications of an imminent hike in the price of petrol as the loading costs of petrol and diesel at depots increased across Nigeria on Monday.

On Sunday, Brent crude oil, the international benchmark, increased to $79.76 per barrel.

Prominent depots, including Swift, Wosbab, Sahara, and Shellplux, also adjusted their petrol prices to between N950 and N960 per litre, compared to last week’s range of N907 to N912 per litre

Similarly, diesel prices witnessed a steep rise, with depots such as Matrix Warri and Nipco increasing rates by N72 to N100 per litre.

Stockgap depot increased its loading depot price from N1,080 to N1,150, while Ibeto approved an increase from N1,050 to N1,150 per litre.

According to data from the Major Energies Marketers Association of Nigeria on December 19, 2024, the landing cost of petrol stood at N887.51 per litre; however, the rise in the price of crude oil means the landing cost may go up in the coming days.

In the past weeks, the price of petrol has recorded a reduction.

Last year, Dangote Refinery and Nigerian National Petroleum Company Limited (NNPCL) announced an ex-depot petrol price reduction.

This led to the retail product dropping to between N935 and N965 per litre from N1040 per litre.

Consequently, Nigerians currently buy petrol between N935 and N1,100 per litre nationwide.

A rise in petrol prices is likely to impact directly in the prices of goods and services that are already on the high side.

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Business

Warri Refinery: Oil marketers to start lifting petrol in February

by Folarin Kehinde
written by Folarin Kehinde

Oil marketers target to start lifting Premium Motor Spirit from the 125,000 barrels per day Warri Refinery by February 2025.

This comes as the Independent Petroleum Marketers Association of Nigeria confirmed that its members have started lifting automotive gas oil (diesel) and kerosene.

Chairman, Delta State chapter of the Independent Petroleum Marketers Association of Nigeria, Harry Okenini, disclosed this in his remarks on the functionality of the refinery at the weekend.

According to him, the refinery is partly operational.

“For now, only the automotive gas oil, popularly called diesel, and dual-purpose kerosene are being produced and loaded out for consumption.

“Hopefully, by February, we are expecting cooking gas, PMS, and other products to come out.

As of now, the retail unit is only loading AGO and DPK,” he added.

Similarly, the National Chairman of the Surface Tank and Kerosene Peddlers, a branch of the National Union of Petroleum and Natural Gas Workers, NUPENG, Israel Omokere, stated that the refinery was in operation.

“Hopefully the PMS will come on board. We are loading kerosene and AGO for now.”

LEADING REPORTERS reports that the development is coming a month after the rehabilitation of the Port Harcourt refinery situated in Rivers State.

Addressing the team during the tour of the facility began on Monday, Kyari said, “This plant is running. Although it is not 100 per cent complete, we are still in the process.

“Many people think these things are not real. They think real things are not possible in this country. We want you to see that this is real.”
SGF Complex, Sheu Shagari House Beside National Assembly

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Business

Naira weakens to 1,541/$

by Folarin Kehinde
written by Folarin Kehinde

The Nigerian naira weakened to N1,541.36/$ on the first day of trading in the New Year.

According to the NFEM rate data available on the website of the Central Bank of Nigeria, this is a 0.36 per cent depreciation compared to the closing rate of 2024 which was N1,535.82/$.

Some authorised dealers quoted the dollar at N1,545/$, an improvement compared to the N1,550/$ quoted on Tuesday while others quoted the naira at N1520/$ at the close of trading on Thursday.

At the parallel market, the naira closed trading at N1,655/$ compared to N1670/$ on Tuesday.

Some authorised dealers quoted the dollar at N1,545/$, an improvement compared to the N1,550/$ quoted on Tuesday while others quoted the naira at N1520/$ at the close of trading on Thursday.

At the parallel market, the naira closed trading at N1,655/$ compared to N1670/$ on Tuesday.

The naira had recorded a 40.9 per cent depreciation in 2024 when compared to the official rate at the close of 2023, which stood at 907.11/$.

The significant depreciation comes amid the CBN’s introduction of several foreign exchange policies aimed at enhancing market transparency and attracting foreign investors.

The latest reform was the introduction of the Electronic Foreign Exchange Matching System which set new guidelines for authorised Foreign Exchange dealers in December. This introduction saw the naira gain some semblance of stability.

Meanwhile, in the money market, the Nigerian Interbank Offered Rate experienced downward movements across all maturities, signalling liquidity in the banking system. However, the Open Repo Rate fell by 0.61 per cent to 26.69 per cent, while the Overnight Lending Rate decreased by 0.55 per cent to 27.25 per cent.

Trading in the secondary market for FGN bonds was subdued, resulting in a slight uptick in the average yield to 19.76 per cent. In Nigeria’s sovereign Eurobonds market, buy pressure across the short, mid, and long ends of the yield curve led to a 6 bps decrease in the average yield to 9.62 per cent.

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Business

Nigerians to pay more as Telcos propose 100% tariff hike

by Folarin Kehinde
written by Folarin Kehinde

“According to Toriola, the proposed tariff hike is necessary for the sustainability of the industry, which has been facing significant financial pressures due to rising operational costs.”

Nigerian telecommunications companies have proposed a 100 per cent increase in their tariffs, pending approval from the government.

The proposal, which has been submitted to the Nigerian Communications Commission, aims to address rising operational costs, including inflation and increased service delivery expenses.

The disclosure was made by the Chief Executive Officer, MTN Nigeria, Karl Toriola, during an interview on Arise TV on Thursday.

However, the CEO expressed that it remains uncertain whether the Nigerian Communications Commission—the telecom regulator, will approve the proposal.

According to Toriola, the proposed tariff hike is necessary for the sustainability of the industry, which has been facing significant financial pressures due to rising operational costs.

“We’ve put forward requests of approximately 100 per cent tariff increases to regulators. I doubt they’re going to approve that quantum of increases because they are very, very sensitive to the current economic situation in the country,” Toriola said.

Despite the challenges, Toriola expressed optimism that regulators would make the right decision, taking into account the realities of the sector.

The CEO emphasised that the focus is on ensuring the long-term sustainability of the industry, rather than short-term profitability.

“I believe we’re all on the same side, the policymakers, the regulators, our Chairman of ALTON, Gbenga Adebayo, and the industry. We’re united because we share concerns about a few fundamental issues. First, human rights, are critical to driving any economy. Without a sustainable industry, the broader economy and the well-being of the people will be negatively impacted.”

The proposal comes amid rising costs for telecom companies, driven by factors such as inflation, exchange rate fluctuations, and the increasing price of key operational inputs like diesel, power generation, and raw materials.

Toriola highlighted the pressure these rising costs have put on telecom businesses, making it difficult for many companies to maintain profitable operations.

Earlier this week, operators issued a statement warning that service disruptions are imminent unless tariffs are adjusted to account for escalating operational costs.

The Chairman of the Association of Licensed Telecommunications Operators of Nigeria, Engr. Gbenga Adebayo described the telecom sector as “under siege,” citing soaring operational costs driven by inflation, volatile exchange rates, and rising energy prices.

He noted that despite these challenges, tariffs have remained unchanged, leaving operators struggling to maintain quality service and expand their networks.

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Business

2025: Anxiety as Nigerians to pay 40 per cent more for calls, data

by Folarin Kehinde
written by Folarin Kehinde

There is anxiety over a possible 40 percent telecommunications service tariff hike in Nigeria this New Year.

This comes as telecommunications subscribers in Nigeria, under the aegis of the National Association of Telecoms Subscribers (NATCOMS), rejected the proposed telecoms tariff hike.

The subscribers said it would be insensitive for the Nigerian government to approve a telecoms tariff hike amid the existing economic hardship.

LEADING REPORTERS gathered that in recent days, there has been widespread speculation of a 40 percent telecoms hike.

Accordingly, this means that all telecom services offered by operators such as MTN, Glo, Airtel, and others would increase by 40 percent. For instance, a data bundle priced at N1000 would rise to N1,400 in the new tariff regime expected to kick off in 2025.

Meanwhile, official sources in the Nigerian Communications Commission (NCC) refuted the tariff hike claims.

This comes at a time when telecom operators, in a recent statement, threatened a shutdown if tariffs are not increased.

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