Monday brief: PoS operators expect changes to CBN policy
+ Reps move to legalise crypto in Nigeria
Good morning.
The little man from Rosario, Lionel Messi, sparked joy and fury after he inspired Argentina to their first World Cup victory since 1986. Many Nigerians supported France, with Mbappe demonstrating why he is regarded as the hottest property in world football right now. But it wasn’t to be for the French. Messi, at long last, is now a world champion, an achievement that will cement his place as, perhaps, football’s greatest magician.
Meanwhile, to today’s business, we are looking at new developments to the CBN’s decision to limit cash withdrawals and why federal lawmakers are looking to provide a legal framework for trading crypto.
PoS operators expect changes to CBN policy
Mobile money operators in Nigeria say they expect the Central Bank of Nigeria to reverse its policy on cash withdrawal limits before the year runs out.
A mobile money union executive, Victor Olojo, told Punch Newspaper that the National Assembly had promised to ensure the CBN effects changes to the policy which, as it is, could cripple millions of mobile money businesses.
“However, if anything doesn’t change by the end of the year, we will go to the streets to protest and go to court,” Olojo said.
The CBN’s decision to limit cash withdrawals for individuals to N100,000 and corporate bodies to N500,000 weekly has generated criticism from many quarters.
While the CBN says the policy is geared towards enabling a cashless economy, experts have pointed out that the communication infrastructure for seamless transactions is not yet in place across the country.
Adamu Bulkachuwa: The Bauchi senator said the CBN’s cash withdrawal policy appears to have been a political move. “So, how do you reason that it will not affect the elections or how do you explain that it has nothing to do with the elections?”
Related: Vanguard newspaper is reporting that few days after the release of new naira notes, fake copies are now in circulation.
INEC pins hopes on BVAS
INEC’s voter education chief, Festus Okoye, said the Bimodal Voter Registration System (BVAS) will void attempts by politicians to rig the 2023 elections through the purchase of Permanent Voter Cards (PVCs).
“Some politicians are very optimistic, they normally plan for the rainy day; they are still thinking that there is a possibility that they can beat the BVAS that we are going to use for voter accreditation and authentication but their exercise will be an exercise in futility,” Okoye said.
There have been reports of politicians buying PVCs in large numbers, sparking fears that the elections may be compromised.
Muhammadu Buhari: The president believes INEC has no reason to not be ready for the 2023 elections “because I made sure they were given all the resources they asked for.”
FG to reduce tax waivers?
To shore up revenues, the Federal Government is seeking to cut down on tax waivers.
According to an analysis by Punch Newspaper, at least 172 companies may not benefit from about N2.4 trillion worth of tax waivers.
It’s not necessarily good news. The point of the waivers in the first place is to encourage investment in the economy which could lead to job creation and increased productivity.
But it is not yet clear how the cuts will be carried out. Preference of course should be given to companies which have the potential to generate employment opportunities and quality exports.
Good news: Efforts to combat oil theft seem to be yielding results as oil production and revenue have risen significantly in recent months.
What else is happening?
Calabar carnival: Cross River State Governor, Ben Ayade, said subsidised flights will be provided to encourage fun seekers from all over the country to grace the fiesta this month.
Muhammadu Buhari: The president has returned to Abuja after attending the US-Africa summit in Washington DC.
Cryptocurrency: The House of Representatives is considering a legislation that may legalise the trading of blockchain-backed products such as Bitcoin and Ethereum.
NAFDAC: The food and drug administration agency uncovered a warehouse in Lagos stocked with unregistered food products including sardine, cooking spices, and tomato paste worth millions of naira.
PDP Crisis: Former Governor Ayo Fayose was omitted from the party’s presidential campaign council in Ekiti state.
Davido: The Nigerian pop superstar joined Aisha and Trinidad Cardona to perform ‘Hayya Hayya’ (Better Together) at the final of the 2022 World Cup in Qatar.
Twitter: The social network says it will prohibit the “free promotion” of other social media companies on its platforms.
Climate desk
It’s the weather, stupid: Changing weather patterns increase the likelihood of domestic conflicts by as high as up to 38 percent, according to an IMF working paper.
Hunger epidemic: About 48 million people will struggle to get enough food in West and Central Africa by mid-2023, according to the United Nations. Conflict and climate change were cited as long term causes.
Muhammadu Buhari: The president advised western countries not to rush to eliminate the usage of fossil fuels for a healthier climate.
Ripple effects: The EU is implementing a carbon tax law that would impose a tariff on imports. It could hurt developing economies like Nigeria.
China desk
Rescue operation: The Nigerian Air Force said it rescued seven Chinese expatriates who were kidnapped in Niger State in June.
Bad trade: Chinese demand for Rosewood continues to fuel illegal logging in the West African nation of Ghana.
Pandemic blues: Projections from a US-based think-tank suggests one million people could die after China abruptly lifted Covid restrictions.
Great power competition: In light of the recently concluded US-Africa summit, two authors from Development Reimagined argued that US-China competition seems to be working for Africa. But they warned that African leaders “will need to keep working to reap the full benefits.”
And that’s it for today. Let’s do this again tomorrow.