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Bandits Surrender AK 47 Riffles In Zamfara

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Leader of bandits, Auwalu Daudawa, and six members of his gang on Monday, February 8, repented and surrendered 20 AK-47 rifles and one RPG to security agencies in Zamfara State. Daudawa and the others declared their repentance from banditry before Governor Bello Matawalle and security agencies in Gusau on Monday.

Daudawa who spoke on behalf of other bandits sought the forgiveness of the state government and the people of the state. Governor matawalle commended the gang leader and his members for denouncing banditry and keying into the peace process of the state government. 8Matawalle also lauded the council of Ulama and residents of the state for supporting the process.

“We are going ahead with the process as agreed with all stakeholders in the state. We are in this dialogue to ensure sustainable peace in the state. We are committed to that and we are working day and night to achieve the goal.

“We thank Daudawa and his members for their repentance and implore them to join hands with the state government in convincing others to also repent,” the governor said. He also urged other unrepentant bandit groups in the state to subscribe to the peace initiative in the state.

“Today we have more than 20 AK-47 released by the former bandits, this is very commendable. “I call on people of the state to pray for Daudawa and his team so that he can maintain his oath. “We should give them benefit of the doubt as we are going to provide them with accommodation in the town.

“We are going to assist them to improve their livelihood in the town,” Matawalle said.

FG to perform Ground Breaking ceremony of Kano-Maradi rail project

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Ground breaking ceremony of Kano-Maradi rail line will be performed by the Federal Government on Tuesday, 9 February, 2021, in preparation for the commencement of the 284km standard gauge rail project.

In a statement issued by Media Aide to the Minister of Transportation , Hon. Rotimi Chibuike Amaechi, the Kano-Maradi line is crucial to the overall railway development in Nigeria and the sub region.

Amaechi noted that the project, if completed, will represents the last section of the corridor that connects Lagos-Kano and subsequently to the Republic of Niger, through the border town of Maradi.

The Project, which is a standard gauge railway line of about 284km traverses Kano-Dambatta-Kazaure-Daura-Mashi-Katsina-Jibiya-Maradi in Niger Republic.

He said the line has been designed to pass close to major cities, town and villages without dividing them to facilitate public transportation and to stimulate the development of the agricultural economy and manufacturing industries along the corridor as well reduce the cost development.

The Minister explained that the project is planned to have a total of 15 stations including Maradi which comprises two main stations in Kano and Katsina, three medium stations in Kazaure, Daura and Jibiya, three small stations in Shagalle, Dambatta and Mashi, with other Halt stations at the Airport, Kunya Dube, Muduru, Daddara, Anoal Mata and Maradi.

He said, “The project when completed will serve domestic industries and play the role of a viable transportation backbone, linking countries in the West Africa sub-region starting with the neighbouring Niger Republic for their import and export logistics chain.

“In the process, the volume of trade in the country will increase while promoting the realization of Nigeria’s interest on the Africa Free Trade Single Market Area formulation.

“The railway will account for average freight carriage forecast of 1,043,980.5 tons annually in the first 10 years of operation within its short corridor and a forecast of average passenger traffic of 3,543,637.9 annually within the same period.

“A geometrical increase in this service is expected when it is linked to the South Nigeria port of Apapa, Tin-can Island and Warri is realised by the construction of Lagos-Kano and Abuja-Itakpe respectively to average forecast of 2.2 Million tons annually and passenger traffic of average of 5.1 million”

“The total population of the three states concerned by the new line which is Kano, Katsina and Maradi has 19,563,874 inhabitants in 2006 and was estimated at 22,166,543 in 2010, which by estimated annual growth rate of 2.7 percent will amount to 28,933,988 in 2020 which represents 14 percent of the total population of Nigeria.”

The groundbreaking which will be done by Mr. President, Muhammadu Buhari GCON will be attended by Governors, Ambassadors, Minister of Transportation of Niger, Ministers from both countries among other stakeholders in the sector.

COVID-19 won’t go soon, devise means of adaptation, Sirika tells aviators

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Minister of Aviation, Senator Hadi Sirika has urged aviation stakeholders to tighten their belts and device means by which the sector will adapt and operate efficiently with COVID 19 pandemic, inferring that COVID 19 might linger for a while.

This he said has become necessary as the sector cannot afford to take back seat nor derail from the implementation of the roadmap being pursued by the Ministry.

The Minister stated this at the opening of a 4-day capacity building retreat for senior management staff of the Ministry and its Parastatals holding at the Ibom Hotel and Golf Resorts, Uyo, Akwa Ibom state.

According to Sirika, “The aviation sector in 2020 was the worst affected by the pandemic. This happened at a time when the sector become, in 2019, the fastest-growing sector of the Nigerian economy, signifying that our modest effort and Roadmap is not only on the right direction but yielding the right results.

“I noticed that included in the retreat objectives was a discussion on issues and challenges on the implementation of the aviation Roadmap. I will urge the retreat to treat and dissect the aviation sector Roadmap to digest its content and facilitate its implementation,” he stated.

The minister implored the participants to come up with a framework for improving the relationship between Ministry and its agencies to the level that will not only achieve a very high level of implementation of the Roadmap, but will also smoothen the inter-Agency relationship.

The Chairman, Savannah Centre for Development and Training, facilitators of the retreat, Malam Abidu Yazid observed that whatever was being done in the aviation industry, there was a need for partnership and acquisition of knowledge for the industry to succeed.

He said synergy was key to the realisation of objectives where more than one player is involved in driving policies and used the aviation sector as an example of an industry where symbiosis can not dispensed with.

He commended the Minister of Aviation Senator Hadi Sirika for leading the sector from the front by not shying away from taking responsibilities and embarking on projects and programmes for the ultimate benefit of the nation’s Aviation industry.

Earlier in his welcome remark, the Permanent Secretary of theMinistry, Engr. Hassan Musa said aviation was a very peculiar sector which is subjected to international regulation and audit, which means that all activities are measured by international standards.

According to the Permanent Secretary, the retreat was organised in order to forge the synergy that would facilitate the realisation of the objectives of the aviation Roadmap, which, on its own, is geared towards the overall development of the sector.

The theme of the retreat was “ The Ministry of Aviation and its Parastatals: A symbiotic relationship for National Development, Growth and Progress.”

South African community police bust drug cartel, seize firearms, munitions, explosives

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Gauteng Commissioner of Police, Lt-Gen. Elias Mawela, has commended the tireless efforts of the Crime Intelligence units in the Province that recently, consistently led to significant breakthroughs in the strife to reduce the volumes of crime in Gauteng.

In the latest intelligence-driven operation, members of the Johannesburg Central Crime Intelligence were, on Monday, bust a drug cartel following up on information of drug-dealing at a residential complex in Winchester Hills in the Booysens policing precinct.

In a release by Office of the Provisional Commissioner Gauteng of the south African Police Service, it said that “The team spotted the two vehicles of interest pull up next to each other in the parking lot at the complex and executed a take-down, arresting one suspect after witnessing a transfer of unknown parcels from one vehicle to the other. The second suspect fled and evaded arrest.

“An on-site investigation led police to a flat where they searched and recovered two AK-47 rifles, an LM-5 Rifle, three shotguns, two ruger rifles, and a revolver. Bullet-proof vests, security dashboard lights, ammunition, teargas and smoke canisters, a practice hand grenade, form part of the items seized for further investigation.

“All relevant crime scene management roleplayers were summoned to the scene and the multi-disciplinary team after processsing the scene confirmed that the parcels that were moved between the suspects’ vehicles contained: an undisclosed amount of cash suspected to be the proceeds of drug sales; as well as five bags whose contents will be determined pending forensic analysis.”

Further investigations are underway and will be led by the Directorate Priority Crime Investigation (Hawks). The 30-year old suspect from Sunnyside will appear in court in due course. “The recovery of such high calibre firearms suggests that the suspects could be involved in much more than just drug-related crime. The investigating team must leave no stone unturned towards apprehending the sought suspect and their accomplices as we believe that more suspects may be involved,” cited Lieutenant General Mawela.

FG Seals Abuja Laboratory For Issuing Fake COVID-19 Results To International Travellers

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A laboratory in Abuja has been sealed by the federal government for issuing false COVID-19 results to international travellers.

The Director-General of Nigeria Centre for Disease Control (NCDC), Dr. Chikwe Ihekweazu, disclosed this at the weekly press briefing of the Presidential Task Force on COVID-19 in Abuja.

He said the development followed an investigation conducted by the government after a media report last year revealed underhand dealings of some laboratories issuing fake results after collecting N25,000 from travellers.

Ihekweazu said based on that report, an investigation was conducted and the affected laboratory was sealed with the assistance of the Federal Capital Territory Authority.

Breaking: Nigerian Army Appoints General Yerima as New Spokesman

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He takes over from Brigadier General  Sagir Musa who has been redeployed.

Yerima, a one time director Defence Information was until his appointment, the deputy director reserve at the Defence Headquarters (DHQ).

Brigadier Mohammed M. Yerima obtained a BA Ed Political Science from Ahmadu Bello University before he enrolled into the Nigerian Army in October 1989 and commissioned into the Corps of Army Public Relations.

He had served in various military formations. He was ADC to Commander TRADOC, Major General Ishola William between 1990-1993, Public Relations Officer NAOWA in the Office of Chief of Army Staff 1994, Spokesperson 81 Division of the Nigerian Army 1995-1996, PRO Nigerian Defence Academy 1996-2000, Military Spokesperson United Nations Mission in Siera Leone 2000-2002, PRO to Chief of Army Staff 2003, PRO Chief of Defence Staff 2005, Deputy Director Public Relation 1 Division Nigerian Army 2008 (Chief of Staff and Coordinator at Directorate of Army Public Relations 2007-2009. Director Defence Information in 2009 to 2013.

He was also Deputy Director Production TRADOC 2013-2017 as well as Deputy Director Reserve, Defence Headquarters before his current appointment.

Brigadier General Mohammed Yarima is member of the Nigerian Institute of Public Relations (NIPR) as well as African Public Relations Association (APRA) and Fellow of West Africa Society for Administration and Communication. He was Chairman of Media and Information Committee on Emergency Management (MICEM)

The new Army Spokesperson was a participant at Senior Strategic Media Operation programme at Reach Cambridge and at Kofi Annan Centre, Ghana. He also attended Senior Leadership Course at Sheringham United Kingdom and undertook a US-Embassy funded Media tour of Africom in Studgarf Germany.

Modification and reformation of education system in Nigeria by FG

Modification and Reformation of the Education system in Nigeria by The Federal Government (FG) will take place soon. The FG hints that the current system of education in Nigeria will be modified by reforming learning, curriculum and pedagogy, to be in line with modern global education.

Minister of State for Education, Hon Chukwuemeka Nwajiuba, who gave the indication. on Monday. in Abuja, admitted that the nation’s educational sector is faced with a myriad of challenges including poor management/leadership style, inadequate classrooms, indiscipline by staff and students, inadequate number of qualified teachers, inadequate staff welfare, poor academic performance, inadequate funding resulting to dilapidated furniture and unfinished projects among others.

He spoke on the occasion of the 2020 Annual General Meeting (AGM) of Principals of Federal Unity Colleges (FUCS), with the theme, “Restructuring Our Educational System to suit our challenging times.”

Read also: African Development Bank grants $11.26 million for ladies, girls’ education in Chad

He described the theme of the AGM as apt, in that it was imperative in ensuring qualitative instructional delivery so as to maximize student performance in conformity with societal needs.

The Minister said the AGM is an event that provides the participants who are the Principals of the 110 Federal Government Colleges, the opportunity to take stock of activities in the Unity Colleges and share best practices.

While reaffirming the commitment of the Federal Government towards reforming the educational system, Nwajiuba, said the government was making concerted efforts to deliver quality education in line with the President Muhammadu Buhari’ 9-Point Agenda, he noted emphasises on access to quality education.

“Easy access to quality education for all is on course and we are determined to reset our priorities, specify our targets, programmes and strategies in other to make this a concrete and measurable reality in the education sector.

“To further achieve the objectives of quality education for all, we need the collective support, co-operation and sincere commitment of all the key players, especially you the Principals of the FUCs.

“At this juncture, I wish to commend the Federal Government for the establishment of six (6) more Federal Science and Technical Colleges (FSTCS) in the Country. These Colleges will go a long way in promoting the acquisition of entrepreneurial skills for self-reliance,” he said.

Read also: Education: Gombe Govt pays Exams fee for 13,000 students

He challenged the Principals to brace up to their responsibilities and return the colleges as centres of excellence which was the vision of the founding fathers.

“You owe it as a duty to teach and nurture these children to achieve expected behaviour despite the challenges facing the educational system,” he said.

The Minister reminded them that they were the face of the Federal Ministry of Education in the states and that it was imperative that “you always act in such a way that the Ministry is not brought to disrepute.”

Permanent Secretary, Federal Ministry of Education, Arc. Sonny Echono, charged the Principals to embrace technology in teaching and learning, noting that all of them would be assessed both in the performance of students, financial management, infrastructure development, procurement processes and above all relationship with teachers.

He urged them to ensure strict compliance with COVID-19 protocols in their various schools, saying the second wave of the pandemic had been virulent and more dangerous.

The Chairperson of Principals of Federal Unity Colleges, Dr Tokunbo Yakubu-Oyinloye, in her welcome address said the nation was in challenging times especially with the advent of COVID-19 which has made a great difference in every aspect of life all over the world.

Read also: Resumption: Nigerian Academy of Education wants funds release directly to schools for COVID-19 protocols

She noted there was also the explosion of knowledge, the increased spread of social media and the ascendancy of the digital age to grapple with, saying she was glad that many of the Unity schools had to incorporate online teaching methods and e-Learning with the use of ICT into the teaching and learning last year to ensure the students did not lose out during the lockdown caused by the epidemic.

“This was a wake-up call to many of us that in this 21st century we would have to adopt and adapt new ideas and new technologies to be able to provide the best education possible to our students,” she said.

Group lauds MDAs’ accountability,  probity under PMB’s administration

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The Coalition of Civil Rights Groups (CCRG) has rated ministries, parastatals and agencies under President Muhammadu Buhari’s administration high on accountability, probity and transparency.

The coalition said it made this conclusion after scrutinizing policy formulation and implementation across the various MDAs.

Unveiling its interim report on Monday at a press conference in Abuja, President, Comrade Isaac Ikpa, said various indices indicate sustainable efforts towards building strong institutions capable of addressing corruption and other forms of societal ills that retards development.

According to the report, the implementation of the Treasury Single Account (TSA) has ensured that finances of MDAs are subjected to the best possible accountability procedures which have greatly reduced incidence of siphoning off government funds.

The report added that the implementation of Personnel and Payroll Information System (IPPIS) has blocked loopholes that hitherto cost the country billions of dollars.

The coalition also noted that high-profile politicians, civil servants and retired military officers have been prosecuted for corruption, securing convictions in a handful of cases.

The Coalition of Civil Rights Groups’ findings, therefore, invalidates Transparency International’s report for lacking evidence and “different from reality”.

The group revealed that there are political undertones to T.I’s low rating of Nigeria, noting that it is hinged on permutations towards causing a distraction for the president.

The coalition, however, advised the Federal Government to institute measures that would keep the citizens abreast of happenings in the polity with regards to the introduction of policies and programmes that affect their lives.

It also charged MDAs to respond to Freedom of Information request in a timely fashion and make such known to the general public in a bid to carry the citizens along at all times.

Read the full statement below.

Introduction:

The Coalition of Civil Rights Groups in fulfilment of its mandate of holding government accountable in governance assessed the Muhammadu Buhari administration to highlight the commitment towards good governance in delivering the dividends of democracy to the people.

The assessment entailed detailed scrutiny of policy formulation and implementation across the country’s various MDAs, emphasizing accountability, transparency, and probity. It also touched on the various programmes implemented by the Muhammadu Buhari administration regarding governance, the rule of law, and human rights.

The various social intervention programmes of the Muhammadu Buhari administration were also scrutinized in any objectivity manner, devoid of sentiments to put issues in proper perspectives.

The Issues:

There have been insinuations that Nigeria’s rule of law is selective – the rich and powerful do not play by the rules, which has fuelled corruption in the polity. This has indeed questioned the sincerity of the Muhammadu Buhari administration in the fight against corruption.

There were also insinuations that the operations of MDAs in Nigeria have been fraught with a lack of accountability and transparency, which has aided massive corruption and disregard for extant procurement laws in the conduct of government business.

The implementation of the rule of law was also questioned through allegations that the government has displayed total disregard for the rule of law through questionable actions that undermine individuals’ rights to express themselves on matters of national concern. There were also allusions to implementing a selective justice system targeted at perceived political opponents while shielding individuals and organizations with ties to the present administration from being held accountable for questionable transactions and activities that fuel acts of corruption and undermine sustainable growth and development.

This also on the heels that Transparency International in its yearly report stated that Nigeria had dropped two places down to rank as the world’s 34th most corrupt nation. While this position has been canvassed, the factors responsible were not adequately highlighted.

Findings:

The assessment report’s findings indeed brought up questions on how the Muhammadu Buhari administration has fared in the fight against corruption. Our findings revealed acts of political colourations that possibly influenced the perception that the Muhammadu Buhari administration is selective in the fight against corruption.

An analysis of the institutional framework in place negates the claims. This is on the heels that the framework is not subject to manipulations as the various mechanisms in place provide for checks and balances in the conduct of government business.

It was also discovered that the implementation of the Treasury Single Account (TSA) has ensured that finances of MDAs are subjected to the best possible accountability procedures which has greatly reduced incidence of siphoning of government funds while entrenching a regime of accountability in the disbursement of government funds for purposes intended.

The Personnel and Payroll Information System (IPPIS) was also identified as one of the measures implemented by the Muhammadu Buhari administration in tackling corruption in the system by blocking loopholes that hitherto cost the country billions of dollars.

Our findings also revealed the prosecution of high-profile politicians, civil servants and retired military officers for corruption and secured convictions in a handful of cases. His administration has also recovered billions of Naira in stolen assets from corrupt Nigerians.

Scores of corrupt politicians across party lines and government officials are currently undergoing trials for various forms of financial impropriety, thereby rating the Muhammadu Buhari’s campaign against corruption as the most intense the country has ever seen.

The Realities:

The Coalition of Civil Society Groups in the extensive analysis of the issues at stake states that what is being propagated in the public space is different from reality. The various indices indicate sustainable efforts towards building strong institutions capable of addressing corruption and other forms of societal ills that retards development.

As discovered in the analysis of issues, there are political undertones to rating the Muhammadu Buhari’s administration low in the war against corruption. This is hinged on permutations towards causing a distraction for the administration.

The Coalition of Civil Rights Groups’ position is that there has been an entrenchment of accountability and transparency in the conduct of government business. The loopholes for siphoning government resources have been blocked. This has also brought about accountability which remains the hallmark of the Muhammadu Buhari’s administration.

It must also be stated that there hasn’t been any tangible evidence that supports the claims of selective implementation of the war against corruption from our analysis. The bulk of the insinuations are hinged on hearsays and illogical conclusions, which remains questionable by all known parameters.

It is thus a statement of the fact that there hasn’t been an era in the annals of the country where the government has displayed an unalloyed commitment to the judicious putting use of resources of the country than now. And those in leadership positions have been tasked through various mechanisms to play by the rules.

Our position remains that the Muhammadu Buhari’s administration has not been found to promote corrupt practices. No record indicates systematic protection for individuals and organizations that runs afoul of the law.

Recommendations:

The Coalition for Civil Rights Groups as a result of the forgoing herby makes the following recommendations:

That the government must institute measures that would keep the citizens abreast of happenings in the polity with regards to the introduction of policies and programmes that affect ordinary citizens’ lives.

That the government must task MDAs to respond for Freedom of Information request in a timely fashion and make such known to the general public in a bid to douse tension and carry the citizens along at all times

Through its various MDAs, the government must provide accurate information on burning issues to allow the citizens to make their independent judgment on the government’s efforts in all sectors of the economy.

That the government must engage in town hall meetings with critical stakeholders to allow them to seek clarification on areas that requires attention and collective inputs.

That the government must address concerns in the public space in a most decorous manner without making allegations that smacks a mockery of the whole governance process.

Conclusion:

The Coalition of Civil Rights Groups concludes that the Muhammadu Buhari’s administration since inception has been at the vanguard of promoting accountability and transparency in the conduct of government business.

This has consequently led to an enviable level of accountability and transparency across the MDAs. Therefore, it remains acts of sabotage activities of individuals and organizations that rate the government low in accountability and transparency in governance in Nigeria.

Group hails Buratai’s nomination as well deserved call for service

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…. urges Senate, Nigerians to disown PDP

The Coalition for Good Governance (CGG) has welcomed the nomination of immediate past Chief of Army Staff (COAS), Lt. Gen. Tukur Buratai (rtd) and other former service chiefs as ambassadors-designate, describing it as “worthy, exemplary and timely”.

According to the group, the decision is a well-deserved call for service and step in the right direction towards galvanizing the required international collaboration to wipe out terrorism in Nigeria.

The CGG made its stance known on Monday at a press conference in Abuja.

In a statement titled “nomination of Buratai, others will deliver required international collaboration to wipe-out terrorism”, Executive Convener, Paul Aliyu said the nomination is strategic and a display of President Muhammadu Buhari’s commitment towards putting an end to terrorism.

Aliyu, therefore, charged the new nominees to put the country’s interest first in their new assignment and reciprocate the confidence reposed on them by the president.

While assuring that the former service heads would be worthy ambassadors wherever they find themselves, the coalition charged them to exhibit the same zeal and commitment with which they prosecuted the war against insurgency.

The coalition, however, charged Nigerians and the Senate to disown the Peoples Democratic Party and speedily confirm the nomination.

It also called on well-meaning Nigerians to see the gains that would be accrued with the calibre of the nominees and consequently encourage them to discharge their duties to the benefit of Nigeria.

Read the full statement below:

The Coalition for Good Governance welcomes you all to this press conference to shed light on the recent nomination of the immediate past Chief of Army Staff, Lt. Gen. Tukur Buratai and other Service Chiefs as Special Envoys by President Muhammadu Buhari.

This exigency of time regarding the war against insurgency in Nigeria has indeed emphasized the need for the required international collaboration towards addressing the threats posed by the Boko Haram insurgency in the African continent.

The Coalition for Good Governance indeed views President Muhammadu Buhari’s nominations as strategic towards ensuring that the immediate past Service Chiefs uses their experience and vast network in galvanizing the much needed international collaboration in the war against insurgency not just in Nigeria, but across the African continent.

Nigeria’s strategic role in addressing the threats of terrorism in the African continent cannot be overemphasized. As such, the nominations indeed emphasize President Muhammadu Buhari’s commitment towards ensuring that Nigeria and the African continent are free from the clutches of terrorism.

It remains our firm belief that the appointments would indeed bolster the needed international collaboration needed in Nigeria towards the total defeat of terrorism in the country. It is also sufficing to add that President Muhammadu Buhari is indeed committed to seeing to an end of the Boko Haram insurgency in Nigeria within the shortest possible time.

It is also our firm belief that with the vast experience of the nominees, they shall put to bear that needed diplomacy toward galvanizing support for Nigeria as it battles the remnants of the Boko Haram insurgent group.

This is also on the heels that it is a statement of the fact that the activities of the Boko Haram group were indeed bolstered by support from some international actors against the interest of Nigeria through the provision of logistical support in aiding the operations of the Boko Haram insurgents.

The Coalition for Good Governance sees the nominations as worthy, exemplary and timely by all indications. We consequently wish to state the ability of the nominees to deliver is never in doubt as their track record speaks volume of dexterity and the penchant for achieving results as evident in their efforts towards addressing the threats posed by the Boko Haram insurgents while they headed the various services of the Armed Forces.

The Coalition for Good Governance commends President Muhammadu Buhari for this rare display of insight towards harnessing the nominees’ experience to the benefit of Nigeria in winning the war against Boko Haram insurgency.

We consequently charge the new nominees to put the country’s interest first in their new assignment by ensuring that they galvanize support for Nigeria in the war against insurgency. They must also do all within their means to reciprocate the confidence reposed on them by Mr President in finding them worthy in their nomination as Ambassadors of Nigeria.

We trust that they shall be worth ambassadors of Nigeria wherever they find themselves by keeping the flag flying high in service to the country. They should also do well to replicate the same zeal and commitment with which they prosecuted the war against Boko Haram insurgency in Nigeria.

The Coalition for Good Governance is calling on all well-meaning Nigerians to see the gains that would be accrued to Nigeria with the calibre of the nominees and consequently applaud and encourage the new nominees to discharge their duties to the benefit of Nigeria.

The time for collective action towards addressing the Boko Haram insurgency in now and President Muhammadu Buhari has taken the lead in this regard. It behoves on all to follow suit in our quest to see to an end of the Boko Haram insurgency in Nigeria.

The Coalition for Good Governance commends the nominations. It pledges its support for galvanizing international collaboration towards defeating the Boko Haram insurgency in Nigeria.

We thank you all for your time. We desire that Nigeria shall indeed defeat the Boko Haram insurgency that has festered over the years.

Thank you, and God bless.

CBN states reasons why cryptocurrency trading in Nigeria is banned

The Central Bank of Nigeria (CBN) has stated the reasons why cryptocurrency trading in Nigeria is banned.

Transactions in cryptocurrencies are largely speculative, volatile and should be discouraged, the Central Bank of Nigeria (CBN) says.

The apex bank gave the explanation in a statement on its official website, by Mr Osita Nwanisobi, Acting Director of Communications.

Read also: Banned in Nigeria for 14 years: Chloroquine emerges anti-viral drug for coronavirus

The explanation is coming on the heels of widespread reactions to the CBN’s recent directive prohibiting cryptocurrencies transactions by Deposit Money Banks (DMBs).

Nwanibosi stated that the nature of cryptocurrencies created a perverse incentive that allowed for speculation and volatility

“Evidence now suggests that some cryptocurrencies have become more widely used as speculative assets rather than as means of payment, thus explaining the significant volatility and variability in their prices.

“Because the total number of Bitcoins that would ever be issued is fixed (only 21 million will ever be created), new issuances are predetermined at a gradually decelerating pace.

“This limited supply has created a perverse incentive that encourages users to stockpile them in the hope that their prices rise.

“Unfortunately, with a conglomeration of desperate, disparate, and unregulated actors comes unprecedented price volatility that has threatened many sophisticated financial systems.

Read also: US/Iran Face-Off: Group calls for red alert on IMN members over threat to American, British citizens in Nigeria

“ In fact, the price of ether, one of the largest cryptocurrencies in the world, fell from 320 dollars to 0.10 dollars in June 2017. The price of Bitcoins has also suffered similar volatilities,’’ he said.

He said that cryptocurrencies do not have real values and cannot be trusted to generate returns on investments.

“Unlike Fiat Money which is accompanied by full faith and comfort of a country or Central Bank, cryptocurrencies do not have any intrinsic value and do not generate returns by themselves.

“ When one buys a stock, say of a conglomerate in the Nigeria Stock Exchange, its price reflects the activity and production of that conglomerate and the value people place on their goods and services.

“ This price may rise as the conglomerate produces better goods or services and probably gains greater market share.

“In contrast, cryptocurrencies do not have fundamentals and would never have fundamentals.

“Investors only buy in the hope that its use and acceptability will rise, thereby pushing up its demand and price.

“But since new versions of cryptocurrencies come on stream with new mathematical models, an infinite supply may someday crash the price to zero,’’ he warned.

He, however, assured that CBN’s actions were not meant to discourage technology-driven payment systems but to boost it.

“At this juncture, the CBN would like to assert that our actions are not in any way, shape or form inimical to the development of FinTech or a technology-driven payment system.

“On the contrary, the Nigerian payment system has evolved significantly over the last decade, leapfrogging many of its counterparts in emerging, frontier and advanced economies propelled by reforms driven by the CBN.

Read also: NIGERIAN CUSTOMS RELEASE LIST OF PROHIBITED ITEMS

“This is evident from the variety of participants, products, channels, cutting-edge technology in the payments system.

“ It is also validated by the astronomical growth of volume and value of transactions.

“Nigeria is an investment destination of choice for international financial technology companies because of CBN’s policies that have created an enabling investment environment in the payments system,’’ he said.

The director added that innovations in Nigeria’s payment system were catalysed by regulatory reforms driven by the CBN.

He said such reforms included the issuance of a raft of guidelines and regulations on Operations of Electronic Payments Channels in Nigeria; Transaction Switching; Card Issuance and Usage, and Licensing of payment service providers.

Read also: 200,000 maize farmers received credit from CBN to bolster domestic maize production in Ngeria

“The robust regulatory framework put in place by the Bank opened up the payment system to innovation with several new players across in the following licensing categories-

“Payment Terminal Service Providers (PTSPs), Payment Solution Service Providers (PSSPs), Mobile Money Operators (MMOs), Payment Terminal Application Developers (PTSAs), Switches, Super Agents, Agents and Payment Service Banks (PSBs)

“This has created both direct and indirect jobs for Nigeria’s youth population.

“Several other initiatives are being implemented to further support FinTech development and creation of jobs. These include regulatory sandbox and open banking principles that the Bank recently implemented.

“The recent regulatory directive became necessary to protect the financial system and the generality of Nigerians from the risks inherent in crypto assets transactions.

“The risks have escalated in recent times, with dire consequences for the integrity of the financial system and financial stability,’’ he said.

He emphasised that cryptocurrencies were largely speculative, anonymous and untuntraceable.

Read also: Nigeria sitting on time bomb – Ortom

“They are increasingly being used for money laundering, terrorism financing and other criminal activities.

“ Small retail and unsophisticated investors also face the high probability of loss due to the high volatility of the investments in recent times.

“In light of these realities and analyses, the CBN has no comfort in cryptocurrencies at this time.

“We will continue to do all within its regulatory powers to educate Nigerians to desist from its use and protect our financial system from activities of fraudsters and speculators,” he said.