Business

CBN Disburses N30b To Oil Palm Sector In One Year, Edo Gulps N25bn, Says Emefiele

Published

4 years ago

December 17, 2019

Editor

The governor of Central Bank of Nigeria (CBN), Mr. Godwin Emefiele, has said that the Apex bank disbursed over N30b to entrepreneurs in the oil palm sector in the last one year, saying almost N25b has been channeled to support companies the sector in Edo State.

Emefiele who disclosed this on Tuesday in Benin City at the formal launching of Edo Oil Palm Programme, noted that Edo State, being the largest host to number of oil palm plantation and companies in the country was given that prominent.

The CBN Governor said in the Apex bank bid to revamping oil palm sector, it decided to focus on Edo State, adding that the state government willingness to partner makes it easier.

He said, “It is no surprise because Edo State has the largest number of oil palm plantation in the country. It therefore stands to reason that if we say we want to revive the oil palm industry in Nigeria, then Edo State naturally will be the first place to start. I say this because out of about N30bn so far disbursed to entrepreneurs in this sector in the last one year, almost N25bn has been channeled to support companies that are into oil palm plantation in Edo State.

“It is imperative to categorically state that we are poised to do all in our powers to revamp this sector including not just suspending but closing and directing all the banks in Nigeria to close the accounts of any company or any person, it staff, owners, top management including their cronies and supply chain enablers involved in smuggling and dumping palm oil into Nigeria.”

CBN Governor, Mr. Godwin Emefiele (2nd left), Edo State Governor, Mr. Godwin Obaseki (3rd left) and Edo State Deputy Governor, Mr. Philip Shiabu (Right) at the launching of Edo Oil Palm Programme in Benin City on Tuesday

Emefiele noted that, the CBN, as a major stakeholder in the financial sector and indeed the economic development of the country, is set to render its unflinching support to development of oil palm, saying this would be achieved by producing affordable long term finance to growers in the sector.

He implored other stakeholders in the sector to borrow a leaf from the commitment of the CBN and play their respective roles, stressing that this will enable the bank achieve its common goals and objectives in the sector.

The CBN Governor, while warning those using and hiding under ECOWAS states liberisation scheme to sabotage the efforts of the Federal Government to desist from such act, stated that ‘the days of smuggling are over.

“We continue to appeal to those who are involved in smuggling or involved in dumping; that the days of smuggling or dumping are over, let them come and join us in this vanguard to develop oil palm and other agricultural products value chain in Nigeria. I want to appeal to other state governors to make land available speedily”, he said.

His his speech, Edo State governor, Mr. Godwin Obaseki, said the oil palm, a sub-sector in the agriculture has the tendency of driving and growing the economic of the state as it has done for countries such as Indonesia and Malysia.

The governor opined that enomous business opportunities for investors in millions of nairas for both local and exportation are imbedded in the sector, adding that more than 600, 000 jobs would created by the sector come 2030.

He noted that the programme was part of the state government’s commitment to the Federal Government’s agenda of diversifying the economy and improving the lives of the people of Edo State.

According to the governor, main purpose of the Edo Oil Palm is to laverage on what, accroding to him, the Centrak Bank of Nigeria has initiated, stressing that it is mainly to taking a critical risk in the oil palm sector, by solving the biggest challenge of plantation.

He noted that to make the programme successful, principle of Social inclusion and forestation policy have been put in place, stressing that success of the programme will largely depend on cooperation of host communities hence they must be carried along.

“Under this programme, development of all sectors of the economy is a key. The programme is intended to have measurable socio-economic impact and development on our people and our communities. Socio inclusion programme will be strictly implemented and enforced.

“Success of the programme will largely depend on support and cooperation of the local community and that is why including them is very important”, he added.

Obeseki said to make the programme a success, the state government has allocated over 1,200 hectres of land, adding that the state government is allocating land to investors in multiple.

He also disclosed that an implementation committee of stakeholders and professionals to make sure all guidlines are strictly adhere to has been set up, adding that the committee is under is office for proper supervision.

He said, “Under this programme, Edo State government has meticulously legislated and created access to about 1,200 hectres of land which we have made available strictly for oil palm production and we are doing this by a programme guided by four principles.”

Obaseki noted that the Government was giving out land free while the CBN is committed in providing the funds, saying large percent of such investment should be invested in the oil palm sector.

“The programme is a key part of our program that in every 500 hectres we give to you, at least 80% should be reserved for the small holders agroagric of whom you will offtake from so that some of this money remains in the community and help secure more investment in the community.

“The programme is a key part of our program that in every 500 hectres we give to you, at least 80% should be reserved for the small holders agroagric of whom you will offtake from so that some of this money remains in the communities and help secure more investment in the communities.

“We will give you the land, you are not paying for it. For expect that in hectres of land that will be given to you, you at least commit one hectre so that we can begin to go back to our forestry”, he noted.

Business

FULL LIST: 16 Banking Transactions Exempted From CBN’s New

Published

7 hours ago

May 7, 2024

Editor

The Central Bank of Nigeria on Monday directed all banks to commence charging a 0.5 per cent cybersecurity levy on all electronic transactions within the country.

The apex bank stated this in a circular signed by the Director, Payments System Management Department, Chibuzo Efobi; and the Director, Financial Policy and Regulation Department, Haruna Mustafa; a copy of which was obtained by The PUNCH.

The circular, which was directed to all commercial, merchant, non-interest, and payment service banks, among others; noted that the implementation of the levy would start two weeks from Monday, May 6, 2024.

“The levy shall be applied at the point of electronic transfer origination, then deducted and remitted by the financial institution. The deducted amount shall be reflected in the customer’s account with the narration, ‘Cybersecurity Levy,’” the circular partly read.

In this piece, The PUNCH highlights all the 16 banking transactions that are exempted from the CBN’s new cybersecurity levy:

Loan disbursements and repayments
Salary payments
Intra-account transfers within the same bank or between different banks for the same customer
Intra-bank transfers between customers of the same bank
Other Financial Institutions instructions to their correspondent banks
Interbank placements,
Banks’ transfers to CBN and vice-versa
Inter-branch transfers within a bank
Cheque clearing and settlements
Letters of Credits

Banks’ recapitalisation-related funding – only bulk funds movement from collection accounts
Savings and deposits, including transactions involving long-term investments such as Treasury Bills, Bonds, and Commercial Papers.
Government Social Welfare Programmes transactions e.g. Pension payments
Non-profit and charitable transactions, including donations to registered non-profit organisations or charities
Educational institutions’ transactions, including tuition payments and other transactions involving schools, universities, or other educational institutions
Transactions involving bank’s internal accounts such as suspense accounts, clearing accounts, profit and loss accounts, inter-branch accounts, reserve accounts, nostro and vostro accounts, and escrow accounts.

Business

Five Things To Know About The New Cybersecurity Levy To Be Paid By Nigerians

Published

7 hours ago

May 7, 2024

Editor

The Central Bank of Nigeria, on Monday, directed banks and other financial institutions to start charging a cybersecurity levy on all banking transactions.

According to the circular sighted by The PUNCH, the implementation of the levy would start in two weeks.

The circular read in part, “Following the enactment of the Cybercrime (Prohibition, Prevention, etc) (amendment) Act 2024 and pursuant to the provision of Section 44 (2)(a) of the Act, ‘a levy of 0.5% (0.005) equivalent to a half percent of all electronic transactions value by the business specified in the Second Schedule of the Act,’ is to be remitted to the National Cybersecurity Fund, which shall be administered by the Office of the National Security Adviser.”

Here are some things to know about the cybersecurity levy to be paid by Nigerians, according to the CBN circular:

1. A new levy of 0.5%, equivalent to half per cent, is applied to electronic transactions as mandated by the Cybercrime (Prohibition, Prevention, etc) (amendment) Act 2024.

2. The levy is paid by the originator of the electronic transaction and deducted by the financial institution. The deducted amount shall be reflected in the customer’s account with the narration: “Cybersecurity Levy.”

3. Financial institutions will deduct the levy and remit it to the National Cybersecurity Fund administered by the Office of the National Security Adviser.

4. Deductions shall commence within two weeks from the date of the circular, May 6, and financial institutions must remit collected levies in bulk to the NCF account domiciled at the CBN monthly by the fifth business day of the following month.

5. Financial institutions have deadlines to update their systems to handle levy deduction and remittance. Failure to remit the levy can result in penalties, including a fine of up to 2% of a financial institution’s annual turnover.

Business

FG Gives Deadline To PoS Operators To Register With CAC

Published

8 hours ago

May 7, 2024

Editor

The Corporate Affairs Commission has set a two-month deadline for Point of Sale operators in the country to register their agents, merchants and individuals, latest by July 7, 2024.

The Registrar-General/Chief Executive Officer, CAC, Hussaini Magaji, SAN, met with some fintech companies, also known as PoS, on Monday in Abuja, during which the agreement was reached.

Magaji said the measure aims at safeguarding the businesses of fintech customers and strengthening the economy, the commission stated via its X handle, tweeting as @cacnigeria1.

Magaji stated that the move complies with “Section 863, Subsection 1 of the Companies and Allied Matters Act, CAMA 2020 as well as the 2013 Central Bank of Nigeria’s guidelines on agent banking.”

The tweet partly read, “Hussaini Magaji, therefore, said that the timeline for the registration, which will expire on July 7, 2024, was not targeted at any groups or individuals but genuinely aimed at protecting businesses.

“Several speakers from the fintech industry pledged to collaborate with the Commission to ensure hitch-free implementation of the directive.

“Some of them, however, stressed the need for adequate and collective sensitisation to ensure that the exercise achieved the desired results.”

In his remarks, Tokoni Peter, the Special Adviser to President Bola Tinubu on ICT Development and Innovation, “pledged to ensure the smooth facilitation of the process in line with the Renewed Hope Initiative of the present administration.”

Present at the meeting were representatives of fintech companies, including Opay, Momba, Palm Pay, Moniepoint, Paystack, among others.

Aside from being an avenue for job creation, PoS operators play a significant role in financial transactions nationwide.

The move to compel the registration of the fintech companies with the CAC has come at a much-needed time as the companies have also been a key part of fraudulent transactions.

In its Annual Fraud Landscape (January to December 2023) report, the Nigeria Inter-Bank Settlement System has said that financial institutions lost about N17.67 billion to fraud in 2023.

It was also reported that the Web and PoS channels were the most exploited payment channels by fraudsters in 2023.

The count of Web Fraud decreased by 38 per cent and ATM fraud recorded a 64 per cent reduction from 2022 to 2023.