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JUST IN: Netflix exits Nigeria

by Folarin Kehinde
written by Folarin Kehinde

Netflix has decided to abandon the Nigerian market as the country’s economy records further collapse with recent inflation data from the National Bureau of Statistics, Peoples Gazette can report.

Officials at the major on-demand movies channel told The Gazette on Wednesday evening that the worsening economic situation under President Bola Tinubu made the decision inevitable.

“We’re exiting the Nigerian market,” an official said under anonymity, pending an official announcement. “We’ve lost too many paying subscribers, and the exchange rate of naira against the American dollar also did not help us in any way.”

The development came barely six years after Netflix entered Africa’s largest economy with the production of Lionheart, which was touted as heralding a new era of high-quality cinema production in the country.

Since 2018, the Nigerian Nollywood industry has cheerfully embraced Netflix, which helped spread Nigeria’s creative work to a global audience.

Although the company has also reported a downward trend in subscriptions in other markets, it has persevered until now, with Nigeria appearing to be the first major country to lose the premium entertainment the U.S.-based company offers.

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Business

CBN releases telephone numbers for reporting cash scarcity at ATMs

by Folarin Kehinde
written by Folarin Kehinde

The Central Bank of Nigeria (CBN) has provided designated contacts for bank customers to report difficulties experienced with withdrawing cash over the counter or at automated teller machines (ATMs).

On November 29, Olayemi Cardoso, governor of CBN urged bank customers to report any withdrawal challenges via designated numbers.

Prior to the directive, the financial regulator had asked banks to prioritise cash disbursement through ATMs or face penalties.

But in a circular on Tuesday, jointly signed by Solaja Olayemi, its acting director of currency operations, and Isa-Olatinwo Aisha, its acting director of branch operations, CBN provided designated lines to help address customers’ challenges.

“Please refer to the various engagements and interventions from the Central Bank of Nigeria (CBN) on the above subject aimed at addressing efficient and optimal currency circulation in the economy,” CBN said.

“As part of these ongoing efforts, we would like to draw your attention to the following directives and Guidelines:

“Deposit Money Banks (DMBs): DMBs are directed to ensure efficient cash disbursement to customers Over-the-Counter (OTC) and through ATMs as the CBN will intensify its oversight roles to enforce this directive and ensure compliance.

“General Public Reporting: Members of the public who are unable to obtain cash Over-the-Counter or through ATMs at DMBs, are encouraged to report these instances using the designated reporting channels and format provided below.

“This will assist CBN in addressing issues hindering the availability of cash and further improve currency circulation.”

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Business

Over 19,000 Air Passengers luggage lost in six months – FG

by Folarin Kehinde
written by Folarin Kehinde

About 2,000 air passengers lost 19,274 pieces of luggage between January and June this year, the Federal Government has revealed.

Data obtained from the half-year report of the Nigerian Civil Aviation Authority, an agency of the Federal Government that regulates civil aviation, further indicated that 19,250 passengers were delayed for long hours during the review period.

Many air passengers in Nigeria face challenges including the loss of personal belongings and ongoing frustrations with the poor experiences they encounter at various airports.

Passengers experience delayed or abrupt cancellations of scheduled flights at various airports severally.

NCAA data showed that 35,398 flights operated by 13 local carriers experienced 16,945 delays, while 26 international airlines had 2,305 flight delays out of the 7,144 flights operated within the same period.

The 13 domestic carriers cancelled 696 flights within the period, representing two per cent of the total 35,398 flights operated by the airlines.

The data indicated that 48 per cent of total local flights were delayed by domestic operators with Dana Air getting the highest number of delays. It recorded 69 per cent flight delays, as the airline delayed 999 flights out of a total of 1,446.

Aero Contractor had 37 per cent delays with 1,992 operations. Arik Air had 59 per cent delays, indicating 1,378 delays out of its 2,331 flights operated within the period.

The report showed that Overland Airways, Air Peace, Max Air, Ibom Air, United Nigeria Airlines, Green Africa Airways, ValueJe, Rajo Air, and NG Eagles also recorded flight delays.

Air Peace, the biggest Nigerian airline, had 11,111 flights with 5,350 of the flights delayed, representing 48 per cent. The airline’s performance was better than Max Air but worse than Overland Airways.

The half-year report showed that Azman, which only flew 145 times, had 76 delays, indicating 52 per cent flight delays within the period.

The document showed that Aero Contractors had 33 cancelled flights, which was two per cent of its total flights; Arik Air had 32 cancelled flights, representing one per cent of its total operations.

Overland Airways had 57 cancelled flights, showing five per cent of its total flights; Air Peace had 294 cancelled flights, which was three per cent of its total flights; Max Air had 23 flight cancellations, representing one per cent of its total flights, among others.

On the international routes, the airlines operated 7,144 flights, with 2, 305 delays and 69 cancellations to and from Nigeria.

Eight international carriers delayed 40 per cent and above of their flight abd they include Delta Airlines, Cronos, Turkish Airlines, South African Airway, Air Peace, British Airways, Kenya Airways, and Air Cote d’Ivoire.

The United States carrier, Delta Airlines topped the list of airlines with the most flight delays among the international carriers, with 63 per cent of its flights delayed either inward or outward of Nigeria.

During the first six-month period, Delta flew 180 times but had 113 delays and outrightly cancelled flights seven times.

Cronos was trailing Delta with 60 per cent of flight delays out of its 25 flights with 15 delays, but zero cancellations.

Turkish Airlines operated 284 flights but had 148 delays, maintaining a third position on the list having delayed 52 per cent of its total flights. The airline also had five cancelled flights, showing two per cent of its total operations.

South African Airways operated 76 flights, 36 were delayed, showing 47 per cent of its total operations.

Air Peace with 888 flights had 409 delays, which was 46 per cent of its total operations. The airline also had six flight cancellations, showing one per cent of its total flights within the period.

British Airways operated 354 flights in and out of Nigeria in the first six months of 2024 and recorded 141 delays, representing 40 per cent of its total operations. It also cancelled one per cent of its total flights within the period.

Kenya Airways and Air Cote d’Ivoire contributed 45 and 40 per cent to the menace of flight delays during the period.

Kenya Airways with 146 flights, had 85 delays and cancelled two per cent of its flights. Air Cote d’Ivoire had 355 flights and 141 delays, indicating 40 per cent of the total delays and eight cancelled flights or two per cent.

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Business

Christmas: Aero reduces airfares to N80,000 for ALL destinations

by Folarin Kehinde
written by Folarin Kehinde

Aero Contractors, Nigeria’s oldest aviation company, says travellers will pay a minimum of N80,000 for local flights this festive season.

Speaking to journalists on Tuesday, Ado Sanusi, the airline’s managing director, said the ticket price would apply to all Aero’s routes.

Sanusi said through the gesture, billed to end in January next year, the company aims to give back to Nigerians and support them the during the Christmas season.

As at 1:40 pm on Tuesday, Aero’s economy ticket to Abuja from Lagos was N99,643, while business class ticket stood at N189, 167.

“We have understood the pains Nigerians have been going through because of the economic hardship, the high prices of tickets, and the holiday season is nearby,” he said.

“So, Aero contractors has decided to announce a Christmas initiative, we call them, pocket-friendly Christmas prices. These prices are designed to allow Nigerians to travel to all our destinations without paying too much.

“And this is in the spirit of giving, which is the spirit of Christmas. We believe that as a company, this is just a very old history of understanding its customers. We believe it’s time for us to give back to our customers.

“Our prices will start from 80,000 to all of our destinations, and we intend to make it affordable to flying public. And this is to allow the flying public/families to meet their loved ones during this Christmas season.”

Sanusi said the aviation firm has studied the economic situation of the country, assuring that Aero will still be profitable with the price cut.

He also said the three aircraft in the company’s fleet would be sufficient for all its operations, stressing that Aero intends to “continue to be modestly reliable”.

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Business

BREAKING: FG begins N50 electronic levy deductions from Opay, Moniepoint, others’ users

by Folarin Kehinde
written by Folarin Kehinde

The federal government has commenced N50 electronic levy deductions from transactions of N10,000 and above made by users of financial technology (Fintech) companies, including Opay, Moniepoint, Kuda, and others.

The levy, called Electronic Money Transfer Levy (EMTL), introduced under the Finance Act 2020, places a singular and one-off levy of N50 on the recipient of any electronic receipt or transfer of N10,000 or above, and was earlier announced to take effect from September 9, Tribune Online reported.

The introduction of the EMTL was, however, met with opposition from Nigerians, with various groups including the National Association of Nigerian Students (NANS) calling on the federal government to reverse its position on the implementation of the levy.

Meanwhile, in a notice sent to customers earlier in September, Opay explained that the levy was imposed by the Federal Inland Revenue Service (FIRS), stating however that it did not benefit from it.

“Please be informed that starting September 9, 2024, a one-time of N50 will be applied to electronic transfers of N10,000 and above paid into your personal or business account in compliance with the Federal Inland Revenue Service (FIRS) regulations.

“It is important to note that Opay does not benefit from this charge in any way as it is directed entirely by the federal government,” Opay explained in its earlier notice.

In a recent development, the fintech companies have again notified their customers that the implementation of the N50 EMTL deduction has commenced from December 1, 2024.

Opay, in a message sent to its users on Saturday (also shared via its app), explained that the electronic levy deduction begins on December 1.

“Dear Customer, in line with the FIRS, the EMTL applies starting from December 1st, 2024,” the message reads.

Likewise, Moniepoint in a notice sent to its customers on Saturday, explained that it has commenced implementation of the EMTL charges, clarifying however that the levy will be remitted to the FIRS.

“Dear customer, you will be charged stamp duty of N%) on inflows of N10,000 and above. Moniepoint collects and remits this on behalf and to FIRS,” Moniepoint says.

Meanwhile, our correspondent also gathered that the EMTL implementation has officially taken effect with Fintechs already deducting N50 for the federal government on transactions of N10,000 and above.

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Business

After 65 years, Swiss multinational exits Nigeria, sells Lafarge Africa for $1 billion

by Folarin Kehinde
written by Folarin Kehinde

After more than six decades of operations in Nigeria, Swiss multinational Holcim has announced its decision to exit the country.

Holcim, a global leader in innovative and sustainable construction solutions, disclosed plans to sell its 83.8% stake in Lafarge Africa Plc to China’s Huaxin Cement in a transaction valued at $1 billion.

The deal, which is subject to regulatory approval, is expected to close by 2025.

This move aligns with Holcim’s global strategy to streamline its portfolio and focus on high-growth regions and sustainable initiatives.

The company has been divesting assets in less strategic markets, including Zambia, where it sold its majority stake to Huaxin Cement in 2021.

Lafarge Africa, formerly West African Portland Cement Company (WAPCO), began operations in 1959 and has been a cornerstone of Nigeria’s building materials industry.

Its facilities include plants in Ogun, Cross River, and Gombe states, with an installed production capacity of 10.5 million tons annually. The company is renowned for its flagship brands such as Elephant Cement and Supaset.

Huaxin Cement, the incoming investor, has a 116-year history in the global cement industry and is among China’s top manufacturers.

The acquisition positions Huaxin to strengthen its footprint in Africa, leveraging Lafarge’s established operations to expand in one of the continent’s largest markets.

Holcim, on the other hand, will focus on high-margin products and sustainable innovations, including low-carbon cement.

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Business

‘Nigeria Is Open For Business,’ Tinubu Woos French Investors

by Folarin Kehinde
written by Folarin Kehinde

President Bola Tinubu has told French investors that the country is open for business, saying his government is creating an enabling environment for them to thrive.

Tinubu said this on Thursday during a joint briefing with the French President Emmanuel Macron at the Elysee Palace.

“We’ve been working on stabilizing the security system in Nigeria and we are getting closer and closer,” Tinubu said. “We are doing better now in the area of security. I can assure all the investors that Nigeria is open for business.”

“We assure you of a free market economy; easy in, easy out; no hindrance,” Tinubu said.

The Nigerian president underscored his country’s youth who are skilled, educated, and ready to be trained as part of the reasons French investors should look towards the West African nation.

“We have a vibrant youth population that is well educated, skilled, and ready to be trained for the development of our economy,” Tinubu who is on a three-day visit to France told the gathering.

“This, I will emphasize, is why we need the French experts and investors to do more in this area to help develop our youth population.”

He said Nigeria is working on diversifying its economy away from fossil fuels and believes France can play a key role in that move.

“We have the potential to diversify our economy from fossil fuels,” he said.

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Business

Port Harcourt refinery’ll crash fuel price, create jobs—IPMAN, PETRAON

by Folarin Kehinde
written by Folarin Kehinde

Stakeholders in the oil and gas industry have said the commencement of production at the Port Harcourt Refining Company will engender competition, crash the pump price of petroleum products and create jobs for Nigerians.

Recall that the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Mele Kyari had on Tuesday inaugurated a 60,000 barrel per day capacity plant at the old Port Harcourt Refinery Deport.

During the event, Kyari said the other sections of the refinery will be completed in due course.

The stakeholders, including the Independent Petroleum Marketers Association of Nigeria, said this while speaking with newsmen at the sideline of resumption of production at the Port Harcourt Refinery and loading of trucks at the facility located in Eleme, Rivers State on Tuesday.

The IPMAN Chairman in Rivers State, Tekena Ikpaki, said the coming on stream of the Port Harcourt Refinery while confirming the loading of products into trucks while describing it as a remarkable achievement.

Ikpaki stated, “This will remain memorable in our lives and in our hearts because it has been long expected.

“Now it is no longer expected, it is real, it can be seen and felt. Trucks have been coming in and loading out and we have been witnessing the process.”

Asked what the operation of the Port Harcourt Refinery and the Dangote Refinery together mean for the downstream sector, he said it will engender competition and reduce the cost of petroleum products.

Tekena stated, “You know in God’s time He makes all things beautiful and this is just the best thing that will happen to Nigerians. I mean there is super competition now in the system which is in favour of the entire Nigerians.

When Dangote and the NNPCL are at loggerheads and they are competing, who enjoys the dividends? Of course you and I. So I believe that since the refinery has come on stream, Dangote is there too, it will further push down the price of products.

“Over the weekend, Dangote had announced price reduction both on the marine and trucking, coming from perhaps the resumed operation of the Port Harcourt Refinery. So I think price reduction will be experienced and it will be in our favour and the favour of Nigerians.”

While expressing the optimism that more trucks are expected to come into the facility to load products in the coming days, saying the event of Tuesday was a test run.

“Yes because it is still a test run. You know the place (Refinery) has been moribund for some time. For now, it is still hypothetical but in no distant time everything will be in its proper place and the inflow of trucks will be seen again the way it used to be, ” the Rivers State IPMAN Chairman said.

On its part, the Petroleum Product Retail Outlet Owners Association of Nigeria said the commencement of production after five years will create job opportunities, boost the nation’s economy and bring about competition in the downstream sector.

The National Public Relations Officer of PETROAN, Joseph Obelle said this also corroborated the opinion of IPMAN that it will lead to a reduction in the price of Premium Motor Spirit also known as Petrol.

Obellei further said the association will continue to work with the management of the NNPCL, retail management and other stakeholders to ensure that products lifted at the Port Harcourt Refinery depot are well distributed to all nooks and crannies of the nation.

He commended President Bola Tinubu and the management of the NNPCL for their commitment to reviving the refinery.

He commended President Bola Tinubu and the management of the NNPCL for their commitment to reviving the refinery.

He added, “PETRAON expresses optimism for the commencement of production at the Port Harcourt Refinery.

“We are so sure that it will offer job opportunities, boost the economy of the country and trigger competition in the downstream sector which we reflect significantly to price reduction.

“We want to commend the leadership of the NNPC led by the Group CEO, Mele Kyari for demonstrating leadership with his team towards seeing the Port Harcourt Refinery becoming a reality.”

Obelle added, “Funding would have been an issue if not for the determination of Mr President. So we also commend President Bola Tinubu for releasing funds for the Port Harcourt Refinery rehabilitation”

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CBN foreign reserves
Business

Nigeria’s foreign reserves Rises to $40.8bn – CBN

by Nelson Ugwuagbo
written by Nelson Ugwuagbo

Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), has announced an increase in the country’s foreign reserves to $40.88 billion as of November 21, 2024.

Cardoso disclosed this on Tuesday during a press conference following the 298th meeting of the Monetary Policy Committee (MPC) in Abuja.

According to the CBN governor, the reserves grew from $40.06 billion at the end of October to $40.88 billion in November, reflecting an increase of $82 million or 2.05 percent over 21 days.

“The external reserves rose marginally to $40.88 billion as of November 21, 2024, from $40.06 billion at the end of October 2024, sufficient to finance 17 months of imports,” Cardoso said.

However, data on the CBN’s official website indicated that Nigeria’s foreign reserves stood at $40.27 billion on November 22, slightly below the figure presented by the governor.

Cardoso attributed the rise in reserves to effective policy measures implemented by the bank, which he said are delivering positive results.

“It is a clear indication that the policies we have put in place are yielding fruits,” he said. “Reserves are there for various purposes, including serving as buffers against unanticipated economic shocks.”

The CBN governor emphasized that reserves are not meant for indiscriminate use but to stabilize the economy during unforeseen challenges.

“We must understand that reserves are not there to simply deplete. They are critical for defending the economy during times of unexpected shocks, which we have seen in global economies,” he added.

Cardoso also highlighted the bank’s ongoing efforts to stabilize the currency and maintain price stability.

“The currency has been more stable compared to what it was in June,” he said. However, he noted that achieving lasting stability requires increased exports and diversification of the economy.

The governor further announced that diaspora remittances have risen significantly due to recent policies, reaching over $600 million. He praised Nigerians in the diaspora for their contributions to the country’s economic development.

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Porthacourt Refinery: “Prices of petroleum products will reduce” NMDPRA Boss assure Nigerians

by Folarin Kehinde
written by Folarin Kehinde

The Chief Executive Officer, Nigerian Midstream and Downstream Petroleum Authority, Farouk Ahmed has said the commencement of operations at the Port Harcourt Refinery will lead to decrease in prices of petroleum products.

Recall that President Bola Tinubu in 2023 announced an end to the subsidy regime, leading to a hike in the cost of petrol.

Ahmed disclosed this to newsmen at the opening of the porthacourt refinery on Tuesday.

According to him, products will be available nationwide because there’s now competition among Dangote Refinery and porthacourt refinery.

“Products will be available nationwide. What is important is that there is now competition and there is a choice, and we will see the prices of the products come down becausethers ample supply”.

The NMDPRA boss added that with Dangote and porthacourt refineries on stream, Warri and Kaduna will be the next exporter of petroleum products.

LEADING REPORTERS reports that the Nigerian National Petroleum Company Limited, NNPCL, announced the commencement of crude oil processing at the government-owned facility.

The commencement of production at the Port Harcourt refinery comes after a series of failed deadlines.

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