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CBN Bars Abuja, Lagos PoS Operators From Cash Swap Programme

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The Central Bank of Nigeria has excluded mobile money/Point of Sales agents in Abuja and Lagos from its newly launched cash swap programme.

The development came as the January 31 deadline for the phasing out of the old N1,000, N500 and N200 notes approaches.

In a Frequently Asked Questions document released to selected agents and obtained by our correspondent on Monday, the CBN provided some guidelines for the cash swap programme.

According to the document, only five banks have been approved to engage in the programme. They are: Access Bank Plc, Zenith Bank Plc, United Bank for Africa Plc, First Bank of Nigeria Limited, and First City Monument Bank.

It read in part, “Not all agents can participate. This is open to only selected agents profiled by the super agent/MMO/bank and submitted to the Central Bank of Nigeria and participating banks (Access, Zenith, UBA, First, FCMB).”

On the number of states selected for the programme, it read, “Selected agents in all the 36 states (except Lagos state and FCT, Abuja). Lagos and Abuja agents are excluded from this.”

It was gathered that the agents are restricted from using the new notes for their regular transactions, only for the programme.

On where the agents can get the new notes, the document added, “from one of these designated banks (Zenith, First Bank, Access, UBA, FCMB). However, you must have a bank account with that bank and your operators (super agent/MMO/bank) will have pre-registered you with the bank where you have an account.”

It added, “you must go to the bank you have informed operator (super agent/MMO/bank) of. That is where your agent details will be submitted to for verification when you get there to collect the new notes.”

Also, each agent’s name, BVN number, and operator’s name are required before the new notes will be released.

The document added that the bank would also verify the agent’s picture and finger print.

The document also noted that an agent is expected to have a record of the customer’s Know-Your-Customer information, which includes name, phone number, bank, account number and amount.

It was also noted that why there is no restriction on how much a customer can deposit, only N10,000 can be released per customer under the cash swap programme.

The CBN also urged the agents to open a bank account or wallet for customers with bank accounts.

It was also gathered that an agent can only get up to N500,000 new notes weekly for the programme.

Also, each agent is expected to record all transactions performed with the new notes and submit the record to the operator (super agent/MMO/bank).

CBN threatens sanction

Regarding what happens if an agent uses the new notes for other purposes other than the new naira initiative, the document noted, “There will be severe sanctions such as de-listing as an agent, withhold of any applicable benefit, de-list from future programmes, negative report to bank & CBN and other such penalties as directed by regulatory authorities.”

In a memo by Moniepoint to their agents, agents were asked to collect BVN, NIN, or voter’s card details from customers paid new notes.

The memo read in part, “The Swap should be in the form of PoS withdrawals only of not more than N10,000 per person. Any withdrawal more than N10,000 per person should not be paid with new notes.

“Agents are also permitted to charge cash-out fees for the cash swap transactions but prohibited from charging any further commissions to customers for this service.

“You are to collect BVN, NIN or votes card details from customers paid with new notes for weekly submissions to the CBN.

“The CBN will continue to monitor implementation of the programme and provide further guidance as may be necessary.”

The National President, Association of Mobile Money and Bank Agents in Nigeria, Mr Victor Olojo, told our correspondent that a proposed meeting with the CBN did not hold.

He further noted that the agents were still actively involved in the process and a framework had been provided to guide the programme.

The CBN when announcing the cash swap programme which began on Monday, noted that the initiative was aimed at enabling citizens in rural areas or those with limited access to formal financial services to exchange old naira notes for the redesigned notes. To promote financial inclusion, the CBN said the service was also available to anybody without a bank account.

It said agents might, on request, instantly open a wallet or account, leveraging the CBN tiered know your customer framework. This, according to the bank, will ensure that this category of the populace (unbanked citizens) is able to exchange or deposit their cash seamlessly without taking unnecessary risks or incurring undue costs.

The CBN also directed agents to sensitise customers to opening wallets/bank accounts and the various channels for conducting electronic transactions.

PoS agents

A PoS agent (name withheld), who reached out to the executive members of the AMMBAN, noted that PoS agents were risking their lives in Kebbi to circulate the new notes.

He said, “Here in Kebbi State, the new notes are only in circulation within the Birnin Kebbi the state capital, and agents are doing their best to mop up the old notes, taking the risk of traveling with huge cash from rural areas to the state capital as most of the banks in Kebbi State has only one branch in the state capital while the few banks exist in the selected local governments are over-crowded.”

The AMMBAN president had earlier said that the issue of insecurity would likely affect the operations of some PoS agents, noting that some measures were also in place to safeguard the agents and the cash.

 

Credit: The Punch

BIG STORY

We’ll Reintroduce Bill Seeking 6-Year Single Term For President, Governors Despite Rejection — Rep

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Ikeagwuonu Ugochinyere, a member of the House of Representatives, says the push for a six-year single term for president and governors will continue despite the bill’s rejection.

The bill, which was slated for a second reading during Thursday’s plenary session, was rejected by lawmakers in the Green Chamber.

Sponsored by Ikeagwuonu from Imo State and 33 other lawmakers, the bill also sought to amend Section 3 of the Constitution to recognize the division of Nigeria into six geopolitical zones.

Briefing journalists on Thursday evening, the lawmaker described the rejection of the bill as a “temporary setback.”

“The struggle to reform our constitutional democracy to be all-inclusive and provide an avenue for justice, equity, and fairness has not been lost,” he said.

The lawmaker added that voting against the bill by the parliament “does not put an end to agitation and hope that we will realise this objective.”

“This is a temporary setback which does not affect the campaign for an inclusive democratic process,” he said.

The Imo lawmaker stated that the sponsors of the bill will review the decision of the House and “find possible ways of reintroducing it after following due legislative procedures.”

“All I can tell Nigerians is that we will continue the advocacy and convince our colleagues to see reason with us. If elections are held in one day, it will reduce cost and rigging,” he said.

“If power rotates, it will help deescalate political tensions, and a six-year single term will go a long way in helping elective leaders focus on delivering their democratic mandate.”

“All hope is not lost, we will continue the advocacy, and we hope that when reintroduced, our colleagues will support it.”

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BIG STORY

65% Of Nigerian Households Can’t Afford Healthy Meals — NBS

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The National Bureau of Statistics (NBS) reports that food scarcity, insecurity, and high prices have led Nigerian households to reduce consumption, with 65 percent unable to afford healthy meals due to financial constraints.

These findings were released in the NBS’s latest General Household Survey Panel (Wave 5) report, conducted in partnership with the World Bank.

The report reveals that 71 percent of households were affected by rising prices of major food items, while food shortages impacted more than a third of households over the past year. These shortages were particularly severe in June, July, and August, worsening the food insecurity crisis.

As a result, 48.8 percent of households reported cutting back on food consumption, according to the NBS data.

“In the past 12 months, more than one-third of households faced food shortages, which occurred more frequently in the months of June, July, and August,” the report states.

“Price increases on major food items were the most prevalent shock reported by households, affecting 71.0 percent of surveyed households.”

“Households’ main reported mechanism for coping with shocks was reducing food consumption (48.8 percent).”

  • ‘62.4% Nigerian Households Secured Less Food’

The report also notes a significant increase in the number of households concerned about not having enough food to eat, with the figure rising from 36.9 percent in Wave 4 (conducted in 2019) to 62.4 percent in Wave 5.

According to the NBS, this surge reflects a rise in food insecurity, with more than half of Nigerian families struggling to meet their dietary needs.

“Approximately two out of three households (65.8 percent) reported being unable to eat healthy, nutritious, or preferred foods because of lack of money in the last 30 days. 63.8 percent of households ate only a few kinds of food due to lack of money, 62.4 percent were worried about not having enough food to eat, and 60.5 percent ate less than they thought they should,” the report adds.

“Furthermore, 12.3 percent reported that at least one person in the household went without eating for a whole day, and 20.8 percent of households had to borrow food or rely on help from friends or relatives.”

“In general, households in the southern zones report more incidents related to food security than those in northern zones.”

“For example, in the southern zones, the proportion of households reporting that they had to skip a meal ranged from 50.1 percent in South West to 62.4 percent in South East, while in the northern zones this share varied from 34.0 percent in North Central to 48.3 percent in North East.”

The report further highlights that residents in the south-south zone experienced the highest rates of food insecurity across five out of eight indicators. In contrast, the north-central zone had the lowest rates in six of the eight indicators.

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BIG STORY

POLITICS: Rest 31-Year Presidential Ambition — Bode George Tells Atiku Abubakar

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A former Deputy National Chairman of the Peoples Democratic Party, Chief Bode George, has advised former Vice President Atiku Abubakar to end his 31-year-long bid to be President.

Noting that Atiku’s bid to be President dated back to 1993, George said it was high time the former Vice President retired from such a contest, especially in the 2027 election.

Addressing a press conference at his Ikoyi, Lagos office, on Thursday, George urged Atiku to assume the position of an elder in the nation and leave his bid to posterity.

“To Atiku, my advice is this, you will be 81 years old in 2027, and you have been contesting for the presidency since 1993. This is the time for you to calm down and act like an elder. I appeal to you in the name of the Almighty Allah, that you serve, to take it easy and leave everything for posterity,” George said.

George decried that the PDP was on the verge of crumbling because people uplifted their personal interests and individual ambitions above national interest.

He criticised the “divisive, arrogant, haughty” members of the party romancing the ruling All Progressives Congress yet failing to defect from the PDP, describing them as cowards.

“We are where we are today because of a self-inflicted crisis; we should bury our individual ambitions now and not allow the PDP to crumble, please. Elders of the party should tell some of these funny characters to cool off and think of our national interest instead of their personal interest.

“Nigerians are angry and hungry. Instead of telling the APC the truth, some divisive, arrogant and haughty members are busy romancing the ruling party and they are quick to refer to themselves as elder statesmen. Instead of instigating a crisis in our party, why are they not bold enough to defect to the APC? Do they really fear God at all? No member is big enough to hold the party to ransom,” George added.

Particularly pointing to the crisis between Rivers State Governor, Siminalayi Fubara, and his predecessor and Minister of the Federal Capital Territory, Nyesom Wike, George urged Wike to immediately “cool off” from wanting to “bring down” Fubara.

George said it was worrisome that some party members, rather than bringing the two parties to mediation, further fuelled the Fubara/Wike crisis for their selfish interests.

“My advice to Wike is very simple. You are my political son. I am therefore appealing to him to cool off immediately. I know he was injured by friends during the last PDP presidential contest, but I am advising him as a father to please take it easy. Nobody is bigger than any party. Forget what happened in the past and let us work together in the interest of this party.

“I want to ask the elders at the helm of affairs of our party today, ‘What exactly is the offence of Governor Siminalayi Fubara of Rivers State?’ What exactly is the offence of this gentleman that some elders of our party are trying to throw him under the bus because of political expediency? What exactly is going on that some party members don’t feel bothered about the happenings in Rivers State? Governor Fubara was helped by Governor Wike to become the number one citizen of the oil-bearing state. The governor himself acknowledged this on several occasions.

“Must the governor now behave like a slave to his predecessor and other characters because of this concept of godfatherism which is a misnomer in our politics? Why are some party members encouraging his predecessor to bring him down? He is in Abuja; he wants to control what goes on in Rivers State.

“Did the governors before him behave this way? Why are the party leaders not eager to mediate and bring both groups to normalcy? The PDP cannot continue like this. Why can’t we learn from our past mistakes? Is our party jinxed? Why can’t we tell all these troublemakers to go and sit down if they don’t want this party to move forward?”

The National Assembly has amended the National Drug Law Enforcement Agency Act, prescribing life imprisonment for drug offenders and traffickers.

This decision followed the adoption of the harmonised report by the Senate and House of Representatives on the NDLEA Act amendment.

Presenting the report, the Chairman of the Senate Conference Committee, Senator Tahir Monguno, explained that the amendment sought to impose stricter penalties to deter illegal drug activities.

The amendment specifically stated: “Any person who unlawfully engages in the storage, custody, movement, carriage, or concealment of dangerous drugs or controlled substances and, while doing so, is armed with an offensive weapon or disguised in any manner, commits an offence under this Act and is liable, upon conviction, to life imprisonment.”

The Senate approved the recommendation through a voice vote during Thursday’s plenary, presided over by the Deputy Senate President, Barau Jibrin.

In addition to the NDLEA amendment, the Senate also passed a bill to empower the Revenue Mobilisation, Allocation, and Fiscal Commission.

The proposed legislation, known as the Revenue Mobilisation, Allocation, and Fiscal Commission Bill of 2024, sought to replace the existing RMAFC Act of 2004.

The updated law revises the commission’s composition and operational framework to ensure federal, state, and local governments receive constitutionally mandated resources to address governance and developmental challenges.

Presenting the bill, the Chairman of the Senate Committee on National Planning and Economic Affairs, Yahaya Abdullahi, highlighted the urgency of reforming the commission in light of Nigeria’s dwindling revenues and growing population.

Abdullahi explained that the bill aims to strengthen RMAFC’s mandate as the constitutionally recognised body responsible for monitoring revenue generation and ensuring its equitable distribution among the three tiers of government.

“The Act, last revised over 20 years ago, no longer reflects Nigeria’s evolving economic realities. This bill proposes additional funding and a restructured operational framework for the commission to improve its efficiency,” he said.

He further emphasised that adequate funding from the Federation Account was critical for RMAFC to perform its constitutional responsibilities effectively, noting that funding challenges had previously hindered its performance.

The Senate endorsed the bill following deliberations and a majority vote.

It now awaits President Bola Ahmed Tinubu’s assent to become law.

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