BIG STORY

ECONOMY: Interest Rate Will Come Down Soon — CBN Governor Cardoso

Published

6 months ago

July 12, 2024

Central Bank of Nigeria (CBN) Governor, Dr. Olayemi Cardoso, has alleviated concerns from both private and public sector stakeholders about the high interest rate in the country, assuring that it is a temporary measure and will soon subside.

Speaking at the Businessday CEO Forum in Lagos, Cardoso acknowledged the need for economic growth but emphasized the importance of curbing inflation, currently at 33.95%. While the benchmark interest rate stands at 26.25%, business owners, analysts, manufacturers, and state governments have expressed concerns about the high cost of borrowing, warning of job losses and stifled economic growth.

However, the CBN governor and the Monetary Policy Committee are committed to finding a balance between growth and inflation control.

Cardoso noted that the high interest rate had become necessary to combat the consequences of the huge money supply into the system prior to his ascension as CBN governor. “Sadly, we have a situation where we were all there when a lot of money supply went into the system. We all saw Ways and Means soar to N27 trillion. We saw interventions N10.5 trillion. It has its consequences. Painful, but it has its consequences. And to a large respect, that is what we’re paying for now.

“Interest rates are not set by the governor of the central bank. Interest rates are set by the Monetary Policy Committee. And thankfully, we have a monetary comments policy committee comprised of independent minded thinking people. And these are people who are not given to emotion. What they look at is data, and they basically go along with what the data says. The MPC has made it very clear that for them the major issue is taming inflation have also made it very clear that they will do whatever is necessary to tame inflation.

“The MPC is not oblivious to the fact that ultimately we do want to grow. The country does need growth. If these hikes were not done at the time they were done. If you recall, naira to dollar was almost tipping over. This helps to stabilise. Also, it is a time issue This is not something that I expect would remain with us forever. To the extent that the right policies are used, and obviously, with the results we’ve seen the right policies are being used. I believe that in the not too distant future, things will begin to modulate and interest rates will come down.”

Speaking on recapitalization of banks, he said there is need to ensure that banks are able to contribute their quota to the GDP of the country, noting that the banks had more than enough time to prepare for it. “We give them a whole two years. Again, that is not normal in the Nigerian circumstance when it comes to policymaking.

“Policies come out and they expect you to do it within six months, nine months or immediately and we said no. Two years, take your time. Don’t be in any rush. What we are looking to do is build a better and stronger and more resilient banking system. And that is not something we want you to do overnight. It is important to note that the contribution that the banking system has towards our GDP is relatively modest in comparison to our peers. This we believe is a means of hopefully beginning to address that issue. Indeed, will open the banks to wanting to provide different kinds of services to the populace, as opposed to aggregate it in one particular area.

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BIG STORY

JUST IN: Court Remands Lagos Teacher For Assaulting 3-Yr-Old Boy

Published

2 hours ago

January 9, 2025

PorscheClassy News

A 45-year-old teacher from Christ-Mitots International School, Stella Nwadigbo, has been remanded by a Magistrate Court in Ogba for allegedly assaulting a three-year-old child in the Ikorodu Local Government Area of Lagos State.

Nwadigbo, who was suspended by the school management in response to public outcry, was remanded by the court at Kirikiri Correctional Facility, awaiting the next hearing on February 18, 2025.

The teacher was remanded on Thursday after the Police arraigned her for beating a pupil, “Micheal Abayomi,” who was unable to write the numbers 16 and 61 during school hours.

More to come…

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BIG STORY

Japa, Agbero, Eba, 17 Other Nigerian Words Added To Oxford Dictionary

Published

5 hours ago

January 9, 2025

PorscheClassy News

The Oxford English Dictionary has broadened its vocabulary with 20 Nigerian words and expressions in its most recent update.

The newly included entries feature well-known terms such as “japa,” “agbero,” “eba,” “419,” and “abi,” among others.

These words, deeply embedded in the daily lives of Nigerians, underscore the influence of Pidgin English, street slang, and cultural expressions that are progressively gaining international recognition.

Notably, some of these words, like “japa” and “jand,” are listed as both nouns and verbs in the dictionary.

Pronunciation guides have been included to help non-Nigerians pronounce the words accurately.

Kingsley Ugwuanyi, a Nigerian English consultant for the Oxford English Dictionary, shared the update on LinkedIn on Tuesday.

He expressed enthusiasm about his involvement in drafting the words and recording their pronunciations.

Ugwuanyi wrote, “I’m thrilled to announce that the Oxford English Dictionary (OED) Oxford Languages | OUP has officially published its latest updates, featuring an amazing collection of Nigerian English words that beautifully reflect Nigeria’s culture, creativity, and the unique ways we express ourselves as Nigerians.

“This time, I not only drafted most of the words but also had the incredible opportunity to provide their hashtag#pronunciations! So, when you explore the OED online and click on the pronunciations, you’ll hear my hashtag#voice bringing these words to life.”

Among the entries, “japa” is defined as “the emigration of Nigerians to other countries (especially those in Europe or North America) in search of further education, employment, or economic opportunity.”

“Agbero” is described as “a person (usually a boy or young man) who works as a tout, typically at car parks and bus stops, collecting money from passengers and drivers, and ushering passengers onto vehicles.”

The term “419,” widely recognized in Nigeria, is defined as “Fraud (now usually perpetrated on the internet) involving requests for advance payment in return for a substantial share of a large amount of money, which ultimately is never given. Frequently as a modifier, as in 419 email, 419 scam, etc. Cf. yahoo n.2.”

Other words added include abi, adire (batik), area boy (lout), cross-carpet, cross-carpeting, eba, Edo, gele (headgear), jand (noun, verb), janded (adjective), Kanuri, Kobo, Naija, suya, Yahoo, Yahoo boy, and Yarn Dust.

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BIG STORY

Alleged Fraud: Emefiele Loses Bid To Stop $4.5bn, N2.8bn Case

Published

8 hours ago

January 9, 2025

PorscheClassy News

The Lagos State Special Offences Court, on Wednesday, dismissed an application filed by former governor of the Central Bank of Nigeria, Godwin Emefiele, challenging the court’s jurisdiction to entertain the $4.5 billion and N2.8 billion fraud charges brought against him by the Economic and Financial Crimes Commission.

Justice Rahman Oshodi, in his ruling, held that the court had the jurisdiction to try Emefiele and his co-defendant, Henry Omoile.

The judge, however, struck out four of the 26 counts filed by the EFCC against the defendants for lack of jurisdiction.

“The objection challenging the court’s territorial jurisdiction over counts eight to 26 fails and is hereby dismissed.

“The prosecution has established sufficient territorial nexus in this case,” the court held.

To this end, the judge subsequently adjourned the case for trial continuation on February 24, 2025.

The EFCC had arraigned Emefiele on 26 charges, bordering on abuse of office and illegal allocation of $4.5 billion and N2.8 billion.

At the last adjourned date on December 12, 2024, Emefiele’s counsel, Mr. Olalekan Ojo (SAN), argued that the court lacked jurisdiction to hear the case in Lagos.

The embattled Emefiele was suspended as CBN governor on June 14, 2023, by President Bola Ahmed Tinubu’s government.

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