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Government Palliative Worsening Food Inflation — CBN Governor Cardoso

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The government’s massive purchases of food as palliatives, according to Olayemi Cardoso, Governor of the Central Bank of Nigeria, are a major factor in the nation’s skyrocketing food inflation.

In his remarks during the March Monetary Policy Committee, which were posted on the CBN website, he made this claim. The benchmark interest rate was raised from 22.75 percent to 24.75 percent by the MPC.

The group stated that combating inflation was the goal of its aggressive approach.

Nonetheless, the nation’s inflation rate surged to 33.2% in March, with food inflation hitting 40.01%, a 15.56 percentage point increase from 24.45% in March 2023 on a year-over-year basis.

According to the National Bureau of Statistics, the surge in food inflation could be attributed to rising prices for items such as garri, millet, yam tuber, water yam, and others.

Following the removal of fuel subsidy, the Federal Government approved N5bn for each state and the Federal Capital Territory to enable them to procure food items for distribution to the poor in their respective states.

In his comments, the CBN governor noted that inflationary pressure had failed to abate despite the hike in the interest rate in February.

He said, “Despite notable stability in the foreign exchange market resulting from decisions taken at that 293rd MPC meeting, inflationary pressure remains unabated. While there is the argument that the significant tightening since the last MPC meeting is yet to fully permeate the system and yield its expected impact, the risk of galloping inflation persists. If such a hyperinflationary scenario is to become reality, available options to control inflation could be severely constrained. From the facts presented to the MPC, there is a clear indication that the monetary factors contributing to inflation are diminishing in their significance.

“This could be considered as evidence of the impact of decisions reached at the 293rd MPC meeting. Staff reports show that the principal drivers of acceleration in inflation are hikes in food and energy prices which are associated with structural factors. Further, new dimensions of inflationary pressure are emerging. First, ‘seller inflation’ arising from the oligopolistic structure of commodity markets such as noticed in the prices of local commodities is gaining significance. In addition, huge purchases by the government for distribution as palliatives to vulnerable citizenry is adding another dimension to the food price inflation, with seasonal factors of food price increases during religious fasting and festive periods, adding price cyclicality.”

He further said that the new sources of inflation were better addressed by the fiscal authorities to complement the efforts of monetary policy.

Another member of the committee, Bala Bello, echoed a similar sentiment about the rising inflationary trend, saying, “Both food and core inflation rose in February 2024, underpinning acceleration in headline inflation to 31.70 per cent in February 2024 from 29.90 per cent in the previous month. This continued rise in inflation was mainly due to persisting high production costs, lingering security challenges and exchange rate pressures.

“Inflation is currently unacceptably high and requires decisive and coordinated efforts to curb it, given its adverse impact on citizens’ purchasing power, investment decisions and broad output performance.

According to Bala, the Federal Government’s initiatives at addressing food insecurity, such as the release of grains from the strategic reserves, distribution of seeds and fertilisers, and support for dry season farming, are important and commendable.

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56-Yr-Old Dallas Pastor sentenced To 35 Years Imprisonment For Stealing Over $300,000 Properties From 3 Churches

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A Dallas, US, pastor has been sentenced to 35 years in prison after he was convicted of stealing property from three churches by filing fraudulent deeds.

Whitney Foster, 56, was found guilty by a jury of stealing goods worth at least $300,000, according to a news release from Dallas County Criminal District Attorney John Creuzot.

According to investigators, the total worth of the pilfered properties approached $800,000. According to Creuzot, “stealing real estate is an extremely serious and damaging crime.”

“It’s worse than the theft of someone’s vehicle or other possessions. When someone steals property, we must hold them accountable because they are hurting people.” Foster was the pastor of a small congregation that did not have a physical place to gather.

He stole church buildings and land by filing fraudulent deeds that listed fake leadership for the victim churches as the grantors and naming his church as the grantee, according to the district attorney’s office. The churches from which Foster stole were First Christian Church of Lancaster and two in Dallas — Canada Drive Christian Church and Church at Nineveh, authorities said.

Two of properties are still listed under the defendant’s name or his church’s name, and his congregation has been gathering at one of them, Creuzot said.

The third church property “remains embroiled in legal complications caused by Foster’s actions,” according to the news release.

Prosecutors also presented the jury with evidence of seven additional fraudulent deeds.

Homeowners in many Texas counties can register their property for a deed fraud alert service, which will send an alert via email whenever a document is filed on your property.

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Ecobank’s “Adire Lagos” Opens With Over 100 Exhibitors

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The annual Ecobank “Adire Lagos” exhibition took off yesterday  with over 100 exhibitors showcasing their wares.

Originating from Abeokuta in Southwestern Nigeria, Adire textile is an indigenous indigo-dyed cloth made by using different wax-resistant methods to create dazzling designs. The four-day Adire exhibition, returning for the third year in a row, is to promote culture, tourism, micro, small and medium enterprises (MSMEs) and enable them benefit from the African Continental Free Trade Area (AfCFTA). Some of the international exhibitors at the fair include Adire Oodua, Tampoori, Jide Batik, Janae, Asologe and host of others.

The 4-day fair which ends on Monday  is  at the Ecobank Pan African Centre (EPAC),  complex located in Victoria Island, Lagos,  is set to witness  influx of topflight exhibitors, government functionaries, culture enthusiasts, social media influencers, artistes, local and foreign tourists, traditional rulers, and members of the diplomatic community. It provides an exceptional opportunity to network with entrepreneurs, shoppers, and everyone in the business of Adire.

Addressing journalists at the opening ceremony, the Executive Director, Commercial Banking, Ecobank Nigeria, Kola Adeleke said the exhibition is part of the efforts of the bank to support the creative industry in the country, adding that it was also to promote micro, small and medium enterprises (MSMEs) and help them benefit from the African Continental Free Trade Area (AfCFTA).

According to him, “As you all know, we are part of a Pan African bank which operates in 33 countries of Africa. We always look out to support various initiatives on the continent and this adire exhibition fits into the scheme. As you can see, today, we have over 100 merchants who are being given the opportunity to showcase their adire products. This is the biggest that we’ve ever seen. It is an international exhibition. We want to support them all the way, train them and make them international brands with indigenous backgrounds. We want to ensure they are able to export their locally-created products across the continent. This is also one way to support the Nigerian economy.”

Exhibitors and attendees alike were enthusiastic and full of commendation for Ecobank. Ecobank Nigeria, a key driver of tourism, culture and the creative industries in Nigeria, recently hosted the +234Art, a 10-day art fair dedicated to nurturing and uplifting the burgeoning art industry in Nigeria. The fair provided a platform to support emerging artists and encourage increased interest in art acquisition; the bank organised the Photography, Art, and Design Exhibition (PADE) to commemorate World Photography Day in 2022; the bank also partnered “Songs & Stories” With Cobhams Asuquo;  Redbull Dance Your Style; BellaNaija Style Summit and Loosing Daylight (An exhibition of the history of Nollywood organised by Nse Ikpe-Etim)

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Guinness Nigeria Debunks Exit News, Reaffirms Commitment To Operations And Growth

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Guinness Nigeria Plc wishes to correct the recent speculations and false/malicious misinformation alleging a plan to exit from the Nigerian market. Contrary to rumors being peddled on various media platforms, Guinness Nigeria remains firmly committed to its operations in Nigeria and is poised for a new phase of growth and innovation.

Since commencing operations in April 1950, Guinness Nigeria boasts of a proud and eventful 74-year legacy intricately woven into Nigeria’s cultural and economic fabric. Our unwavering commitment to Nigeria is evident in the substantial investments in infrastructure, employment, backward integration and our community development and social responsibility initiatives. The recent announcement of the partnership between Diageo and Tolaram Group further reinforces unequivocally that Guinness Nigeria remains committed to Nigeria and has no intention of exiting the dynamic Nigerian market. Our business will continue strongly, and no jobs or factories will be adversely affected as a result of this new partnership.

Under the partnership announced, Tolaram Group will acquire a 58.02% majority stake in Guinness Nigeria, enabling us to harness and leverage Tolaram Group’s extensive expertise in manufacturing and distribution. Importantly, Guinness Nigeria will retain its status as a listed company on the Nigerian Stock Exchange, maintaining its prime status in the Nigerian beverage industry. Diageo’s establishment of a wholly-owned international premium spirits company in Nigeria is also a noteworthy demonstration of its continuing dedication to sustaining its operations across West and Central Africa, with Nigeria as a pivotal operational hub.

Under a long-term license and royalty arrangement, Guinness Nigeria will continue to produce and sell all our iconic brands including Guinness FES and Smooth, Smirnoff Ice, Orijin Bitters, and Malta Guinness as well as Diageo MSS brands like Smirnoff X1, Gordon’s Moringa and Captain Morgan Gold Rum, ensuring our esteemed consumers nationwide continue to enjoy their favorite beverages.

We are excited to embark on this new chapter of growth and development in Nigeria.

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