The US Treasury department weaponised the US dollars and handed China a great win. Yes, with sanctions into and within US dollars, some auxiliary countries like Russia were rattled. The Euro joined the sanction party. But because it does not have the depth the US economy has, the Chinese Yuan has overtaken the Euro in global trade.

The state: “According to the latest data from the International Interbank Payment System (Swift), the Chinese currency has surpassed the euro to become the world’s second largest trade settlement currency. This milestone signifies the growing status of the renminbi in international financial markets and reflects the importance of the Chinese economy in global trade.

“Recently, the People’s Bank of China announced that the exchange rate of the Chinese yuan against the US dollar has reached 6.35, a new high in nearly a decade. This means that the international purchasing power and influence of the Chinese yuan is also increasing, even surpassing the euro to become the second largest international currency after the US dollar.”

In the Igbo Nation, the elders will say that when you hold a child on the ground, you are also holding yourself since when you leave the child, the child will rise up. So, the only way to keep him or her down is to keep holding him/her on the ground. Indeed, why score an own-goal when the world uses your currency, by telling them NOT to use it? You will hurt them, but you will also hurt yourself.

That was why I protested when Nigeria closed its land borders thinking it was punishing those countries without knowing that it was accelerating deindustrialization in Nigeria. During the border closure, Nigeria experienced one of the largest deindustrialization phases in the last 23 years. Why? Most producers in Nigeria focus on those countries, and when we closed the borders, they closed shops!

The Presidential Fiscal Policy and Tax Reforms Committee announced Tuesday it has submitted its report, containing key recommendations to address critical economic issues, to the President.

These recommendations cover a range of economic challenges, including exchange rate management, the impact of fuel subsidy removal, inflation control, and the facilitation of economic growth.

The Committee, headed by former PwC tax chief, Taiwo Oyedele, was set up by President Bola Ahmed Tinubu in July to review and advise on reforms to shape Nigeria’s fiscal policy and tax system.

The Committee was tasked with addressing fiscal governance, revenue transformation, and economic growth facilitation – with its work divided into three phases:

Quick Wins within 30 days: This phase focused on identifying and implementing immediate measures and actions that could yield quick results and improvements in the fiscal and economic landscape.

Critical Reforms within 6 months: In this phase, the committee worked on more significant and long-term reforms that were expected to bring about substantial changes in fiscal policies and economic growth.

Implementation within 1 year: The final phase involved the implementation of the recommended reforms and policies, ensuring that they were effectively executed to achieve the desired outcomes.

The committee announced its recommendations as follows:

1. Measures to address duplication of functions in public service, ensure prudent public financial management, and optimize value from government assets and natural resources
2. Policy signaling and collaboration by MDAs, economic management, and policy execution team
3. Use of technology “Data4Tax” to expand the tax net
4. Increase personal income tax exempt threshold and personal relief allowance
5. Tax break for the private sector in respect of wage increases to low-income earners, transport subsidy and net increase in employment
6. Permit the payment of taxes on foreign currency-denominated transactions in Naira for Nigerian businesses.
7. Remove impediments to global employment opportunities for Nigerians based in Nigeria
8. Suspension of VAT on diesel and tax waivers on CNG, CNG conversion, and renewable energy items
9. Comprehensive review of tariffs on the 43 items unbanned from accessing forex in the official market and fiscal policy review of other items prohibited for imports
10. Reforms of Withholding Tax Regulations to ensure simplicity and ease the pressure on the working capital of businesses
11. Facilitate the use of mobile phones for conditional cash transfers and introduce a spending framework for subsidy removal and forex reform windfall, including a national portal to track spending by FG, states, and local governments
12. Suspension of multiple taxes which place burdens on the poor and small businesses and compensate with windfalls revenue of certain agencies
13. Expand the official foreign exchange market to incorporate BDCs, forex apps, and retail fx dealers, and outlaw transactions in the black market
14. Digitalise Nigeria’s fx regime and discourage speculative demands and hoarding of fx in cash
15. Imposition of excise tax on foreign exchange transactions outside the official market
16. Implement forward contracts for the importation of PMS as a short-term measure pending improvement in key economic indices
17. Discontinue with the FX verification portal and requirement for Certificate of Capital Importation and export proceeds restriction
18. Address impediments to export promotion and bottlenecks regarding Exports Expansion Grants, and remove restrictions on repatriation and use of export proceeds by exporters
19. Modify Tax ProMax to allow taxpayers to make part payments of outstanding tax liabilities
20. Grant waiver of penalty and interests on the condition of full payment of outstanding tax liabilities on or before 31 December 2023.

Peter Obi, the Labour Party’s presidential candidate in Nigeria’s last general election, has called on the judiciary to maintain the honor of titles that politicians hold through transparent rulings.

He was addressing the issues of identity crises and controversies that have arisen in Nigerian politics since the 2023 presidential elections.

In his note titled “The Rule of Law and The Credibility of Leadership,” Obi emphasized the importance of titles held by individuals in power and how they lose meaning if they lack integrity and authenticity. He stressed that when there is public doubt about the veracity of titles and claims, it is the role of the judiciary to uphold the honor of these titles through transparent rulings.

“The lofty titles that decorate people in power have little meaning if there is a hollowness and falsehood underneath them,” he said. “Such titles which adorn those in public office mean nothing if they are not original and are fake if those who bear them have no honour to support the weight of the titles they carry.”

Obi’s statement is coming on the heels of appeals by him and the Peoples Democratic Party (PDP) presidential candidate Atiku Abubakar at the Supreme Court, challenging the ruling of the Presidential Election Petition Tribunal, which upheld the victory of President Bola Tinubu, who allegedly stole the election.

Atiku, who in August filed a suit that compelled Chicago State University to release the academic credentials of Tinubu, is asking the Supreme Court to admit the documents as evidence. The documents from CSU reveal that the certificate Tinubu submitted to the Independent National Electoral Commission (INEC) was not issued by the university. As a result, the president is facing allegations of certificate forgery.

The Supreme Court said on Monday that “there are two conflicting letters from the CSU – one authenticating the president’s certificate and another discrediting it,” asking “which do we rely on?” This question has been interpreted by many as a sign that the apex court is once again, about to subvert justice.

Based on this concern, Obi further said that the judiciary’s duty to protect society’s value system is crucial, as it helps maintain the rule of law, which is the lifeblood of democracy. He stated that the rule of law is the foundation for fundamental human rights and the principle that binds society together.

“In situations where there is public doubt as to the veracity and authenticity of these titles and the claims behind them, it is the judiciary’s role, when called upon, to uphold the honour of the titles through transparent rulings. Only through such judicial interventions can the public be protected from the tyranny of dubious and duplicitous characters and identity fraudsters,” Obi said.

“In such situations, the judiciary has a bounding duty to protect society’s value system. This is one of the obligations of an impartial judiciary in a democracy. The rule of law remains the lifeblood of democracy in all societies and by whatever definition across time.”

The former Anambra State governor noted that when the fairness of the judiciary is not assured, and the transparency of judiciary operatives is uncertain, the rule of law and democracy itself come under threat. He warned against a situation where the rich and powerful can trample on the rights of ordinary citizens with impunity, which could lead to the erosion of democracy.

“The expectation by the high and low alike that their rights will be protected and respected by fair judges in transparent courts is what keeps citizens’ loyalty and belief in democracy. People, irrespective of their station in life, approach the courts whenever they feel their rights are assailed in the expectation that fair courts will render justice to them according to law.

“However, when the fairness of the judiciary is not assured, and the transparency of judiciary operatives is uncertain, the rule of law will come under severe threat. Once ordinary people lose faith in the fairness of the judiciary, the rule of law is threatened,” he said.

Obi added that the erosion of democracy occurs when the influence of the powerful and wealthy supersedes the rule of law, jeopardizing society. Talking about the consequences, he said in such cases, justice becomes a commodity, corrupting the legal system. When democracy relies on flawed justice, it exposes society to threats like government impunity and the violation of the rights of ordinary citizens.

He concluded by citing US President Joe Biden’s emphasis on the critical role of an economy and government that adheres to the rule of law for the prosperity of a fledgling democracy.

“For any young democracy, the most difficult but important step is burying the legacy of tyranny and establishing an economy and a government and institutions that abide by the rule of law.”