The Central Bank of Nigeria (CBN) has revealed a substantial increase in overseas remittances, indicating a rise to $1.3 billion in February compared to a mere $300 million in the previous month.

Mrs. Hakama Sidi Ali, the acting Director of the Corporate Communications Department at the CBN, shared this information with journalists, highlighting a significant uptick in foreign investor activity in Nigerian assets.

According to Mrs. Ali, foreign investors injected over $1 billion into Nigerian assets last month alone, contributing to a total portfolio flow of approximately $2.3 billion since the beginning of the year. While this figure represents a decline from the $3.9 billion recorded in 2023, it underscores a notable resurgence in investor confidence amidst ongoing economic reforms.

The CBN also reported a notable surge in foreign exchange inflows into the economy during February, attributed primarily to heightened remittance payments by Nigerians abroad and increased purchases of naira-denominated assets by foreign portfolio investors. This trend continued into March, driven by amplified investor interest in short-term sovereign debt following recent adjustments to benchmark interest rates.

Notably, government securities issuances witnessed significant oversubscription, with foreign investors accounting for over 75% of bids received at auctions conducted on March 1 and 6, 2024. This influx of foreign capital underscores growing confidence in Nigeria’s economic prospects and the efficacy of recent policy interventions.

CBN Governor, Mr. Olayemi Cardoso, outlined a comprehensive strategy aimed at curbing inflation, stabilizing the exchange rate, and bolstering confidence in the banking system and the broader economy. Speaking after the Monetary Policy Committee (MPC) meeting, he emphasized the importance of sustained increases in Nigeria’s foreign currency reserves and enhanced liquidity in the FX market to achieve these objectives. Mr. Cardoso reiterated the effectiveness of recent measures implemented by the CBN, attributing the positive outcomes to a clear strategy and plan.

He said, “All the different measures we have taken to boost reserves and create more liquidity in the markets have started to pay off.

“When people understand the real issues and see a strategy and a plan, things tend to calm down. Our objective today is to ensure that the market has supply, that the market functions, and that investors can come in and go out.”

In a bold move to address soaring inflation, the CBN MPC raised the Monetary Policy Rate (MPR) by 400 basis points to 22.75%, alongside adjustments to the asymmetric corridor and banks’ Cash Reserve Requirement (CRR). These measures aim to curb inflationary pressures and restore macroeconomic stability, reflecting the committee’s commitment to reversing the upward trajectory of inflation.

While acknowledging the inherent trade-offs between output growth and inflation containment, Mr. Cardoso emphasized the need to maintain low and stable inflation for sustained economic expansion. The significant policy rate hike seeks to drive down inflation substantially, according to the CBN governor.

He said the MPC remains steadfast in its commitment to fostering an environment conducive to robust economic growth while safeguarding price stability and financial resilience.

The central bank has been actively addressing the FX issue in the country with some reforms, such as clearing the backlog of forex obligations which it said would be fully cleared in days.

Also, the apex bank plans to establish a singular foreign currency (FCY) gateway bank that will centralize all correspondent banking activities and provide incentives to individuals who hold foreign currencies outside the formal banking system.

Other measures include investigating and resolving FX backlogs, restricting forex allocation for overseas education and medical trips, augmenting the minimum share capital for BDCs, and targeting FX market speculators.

In a bid to offer Nigerians alternatives and enhance competition in the satellite pay television sector, the Federal Government has unveiled Silver Lake Television (SLTV), an indigenous satellite pay television.

The launch event, held at the Shehu Yar’Adua Centre, Abuja, saw the Secretary to the Government of the Federation, George Akume, affirming that SLTV would provide Nigerians with real value for their money.

Represented by his Senior Special Assistant (Technical), Prof. Babatunde Bernard, Akume highlighted the need for the SLTV’s establishment to meet the aspirations of Nigerians to benefit from the opportunities inherent in the Nigerian economy. He commended Metrodigital Limited, the operators of SLTV, for their patriotic initiative and expressed the Federal Government’s full support for the venture.

“In recent times, Nigerians have been yearning for alternatives to Satellite PayTV that can serve as an alternative to the existing ones,” he said.

“SLTV has responded very loudly and clearly, and from the information made available to me, they are willing to give their fellow compatriots real value for their money in terms of service quality and affordability.

“Nigeria is an opportunity that is impossible to replicate or find elsewhere in any part of the world. The Federal Government wishes to assure the management of SLTV of her full backing as they continue to do legitimate business in Nigeria’s broadcast industry.”

Dr. Ifeanyi Nwafor, the Managing Director of Metrodigital Limited, lamented the impediments faced by the pay-TV industry in Nigeria due to policies and legal frameworks promoting monopoly. However, he expressed optimism, noting that recent positive steps taken by the government had encouraged investment in the sector.

Nwafor emphasized SLTV’s commitment to affordability and quality of service, offering packages for as low as N2,500 hosting over 55 stations.

Speaking at the launch, Dr. Charles Ebuebu, the Director General and Chief Executive Officer of the National Broadcasting Commission (NBC), addressed calls for the introduction of pay-per-view options for Nigerian pay satellite television subscribers.

While acknowledging the validity of such requests, Ebuebu highlighted the need for renegotiating existing contracts with content providers to accommodate the new model.

He assured Nigerians of NBC’s commitment to addressing issues of overpricing and exploitation in the broadcasting sector. He emphasized the commission’s efforts to create a competitive ecosystem where market forces determine prices, ensuring that consumers have choices and are not subjected to exploitative practices.

“The NBC is reviewing policies and regulations to create a viable competitive ecosystem in broadcasting where consumers will be the ones to choose, and therefore, market forces determine prices, and it’s not exploitative,” affirmed Ebuebu.

He however acknowledged potential obstacles to achieving a successful pay-per-view system. He said, “There are two sides to that coin; the first part to it is that with the current economic situation of the country, inflation and all of that, it’s not just broadcasting that is affected, all businesses are affected, so when you have prices being reviewed upwards, it’s not located only within the broadcast sector.

“However, we do acknowledge the fact that in some cases, there has been exploitation in certain areas and as NBC, we’re looking at it.

“As I said, we’re reviewing our policies and regulations so as to create a viable competitive ecosystem in broadcasting where the consumers will be the ones who’ll have to choose and therefore, market forces determined prices and it’s not exploitative.”

The launch of SLTV marks a significant milestone in Nigeria’s broadcasting industry, heralding increased competition, choice, and affordability for consumers.

It comes against the backdrop of longstanding tensions between the Nigerian government and Multichoice, the parent company of DStv, the dominant player in the country’s pay TV market. Incessant squabbles over pricing and regulatory issues have characterized the relationship between the two parties, with accusations of monopolistic practices and exploitation leveled against DStv.

Critics argue that DStv’s dominance has stifled competition and limited consumer options, resulting in exorbitant subscription fees and subpar service quality. The government has been under pressure to address these concerns and create a more level playing field for emerging players like SLTV.

Nigerian lawmakers had repeatedly, moved to force Multichoice to reverse the price hike, citing exploitation of subscribers.

Good People, over the last three months, no person has sent me a note that he/she was having problems with getting a Nigerian passport. Simply, we can assume that the government has fixed this friction. I want to publicly commend the government for demonstrating that we can deliver services at a high level. 

To the minister of Interior, we #salute. He delivered as promised: “The Minister of Interior, Olubunmi Tunji-Ojo, has stated that the clearance of all passport backlogs should not exceed two weeks, emphasizing that there is no justification for passport delays in Nigeria.” He gets A on that.

You see, the nation can promise and deliver. If not  for the mindless floating of Naira and the removal of fuel subsidy before any substantive economic team was in place, the current paralysis would not be happening. I mean if the president just waited to have read and digested Nigeria’s economic status, from the predecessor, and built models via a standby economic team, before those two policies were pushed, the mess we’re today would have been avoided. 

But because he acted on an impulse without any strategic planning, the men and women who were later hired as ministers have been tasked to clean things up. That is a lesson for Nigeria and we must ensure such does not happen in the future.

That noted, we should commend the team for the efforts on the passports. It does mean we still have the capacity to deliver services.

The Minister of Interior, Olubunmi Tunji-Ojo, has stated that the clearance of all passport backlogs should not exceed two weeks, emphasizing that there is no justification for passport delays in Nigeria.

Tunji-Ojo, who made the statement during a live appearance on Channels Television’s Politics Today programme on Tuesday, added that the delay around fresh passport issuance and renewal fuels corruption in the sector.

The newly-appointed Minister of Interior inherited a backlog of issues, including scarcity of passport notes, from his predecessor Rauf Aregbesola. But he said clearing all backlogs shouldn’t take more than two weeks.

Good People, over the last three months, no person has sent me a note that he/she was having problems with getting a Nigerian passport. Simply, we can assume that the government has fixed this friction. I want to publicly commend the government for demonstrating that we can… pic.twitter.com/vUc5zVwUt9

— Ndubuisi Ekekwe (@ndekekwe) March 9, 2024