31 May

Daily Watch – Customs to use higher exchange rate, Buhari to visit Ogoni region

  • The Nigerian Customs has announced that it will begin to use the rate of N285 to the American dollar for the calculation of duty on all imports from tomorrow, June 1. This is seen as further evidence of the implicit adjustment of the value of the Naira which had remained pegged at N199 for almost a year. The CBN has announced that it will work out modalities for the operation of the parallel foreign exchange market in a move towards a more flexible exchange rate for the Naira. While the market awaits the rules being put in place by the apex bank, many have been watching for signs that could help point them to the rate applicable in the interbank market. The Customs announcement is perhaps the clearest sign yet that the rate of exchange will be closer to N300 than the current official rate of N199.
  • President Muhammadu Buhari will launch the Ogoni land clean-up on June 2. The head of Corporate Affairs of the NDDC, Chijioke Amu-Nnadi, said that the Minister of Environment, Amina Mohammed, confirmed the date when she visited Bodo in Gokana Local Government Area of Rivers State to inspect an oil spill clean-up demonstration. Ms. Mohammed was quoted as saying that the President had given assurances that the area would be cleaned-up in fulfilment of his campaign promise to people of the Niger Delta. “I can confirm that President Buhari will visit Ogoni land on June 2 to flag-off clean-up of oil spills in the area as recommended in the UNEP report. Buhari would return to Ogoni land where he inaugurated a fish pond in 1984 where the once flourishing pond regrettably had been destroyed by oil pollution.”
  • The merger between Vitafoam and Vono Products has been completed. The Nigerian Stock Exchange has as a result, delisted Vono Products. According to the NSE, Vitafoam and Vono Products had obtained a court’s approval for their merger which took effect from March 11. The NSE further explained that at the conclusion of the merger process, there would be a dissolution and delisting of Vono Products Plc from the Daily Official List of the NSE. Both companies had agreed to a merger last year, seeking to combine their business operations to ensure business efficiency.
  • British Airways, on Sunday, refuted reports that it was shutting down its services in Nigeria due to operating environment. In a statement, BA denied the reports and indicated that Nigeria remains a strategic market for the airline, which will continue to operate in the country.