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Economist Tasks CBN On Inflation Control

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Johnson Chukwu, an economist, has advised the CBN to concentrate on core inflation, food inflation, and energy inflation to maintain the inflationary rate low on Tuesday in Lagos.

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The three pricing components were identified by Mr. Chukwu, managing director of an assets management firm, as the primary causes of inflation in Nigeria and most other economies.

He told newsmen, “CBN should focus on the primary tasks of ensuring price stability.

In order to combat the rising inflationary rate, he said Nigeria must also ensure higher production in the agricultural sector and other areas.

“In order to increase food production and lower inflation, the government should revitalize agriculture and solve insecurity.

“If liquidity is kept at its present level and productivity in agriculture and in other sectors increases, the number of goods and services available will increase and inflationary rate will begin to moderate,’’ he said.

Mr Chukwu also charged the CBN to clear arrears of unpaid demands or arrears of unremitted FOREX obligations before thinking of increasing interest rates.

“I am against the school of thought that if Nigeria increases interest rates, local currency interest rates will attract foreign portfolio investors.

“They will not come until the arrears of unpaid demands or arrears of unremitted FOREX obligations are cleared.

“Increasing interest rates in a local economy will only hurt productivity; so that should not be the priority of the CBN,’’ he said.

The economist also told newsmen that the CBN and the federal government needed to access funding support from multilateral agencies to stabilize the exchange rate.

“Nigeria needs to build its foreign reserve and that cannot be built easily from the sale of crude oil only going by what is happening to its crude oil production.

“The shorter route will be to access funding from either the IMF, the World Bank, or any of the multinationals or bilateral partners like the United States of America, the United Kingdom, or China.

“Those countries can help to provide funding for Nigeria as a kind of balance of payment support.

“With that, Nigeria can clear the arrears of unmet demands for FOREX by airlines, by portfolio investors, and for matured letters of credit,’’ he said.

Mr Chukwu also faulted the idea that the government should sell its stakes in some of its oil production joint ventures as, according to him, not many multinational oil companies are keen on Nigeria.

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NEMA Distributes Grains To Vulnerable In Kebbi

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Director-general of the National Emergency Management Agency (NEMA), Zubaida Umar has distributed assorted grains from the federal government to the people of Kebbi State.

Read Also: Katsina State Government Approves 200 Million To Tackles Malnutrition

While distributing the grains yesterday at Bulasa government grains stores in Birnin Kebbi alongside with Governor Idris the DG NEMA, Zubaida Umar said the gesture from the federal government was aimed at reducing poverty amongst the less privileged in Kebbi State.

Umar added that the grains would be distributed across the 21 local government areas of the state to the vulnerable persons in the grassroots.

Governor Nasir Idris while commending the federal government for the gesture said, the initiative underscored the government’s commitment in supporting those in need especially in this challenging time.

He said the gesture is an act of kindness and generosity of APC led-administration towards making a real difference by impacting the lives of those facing hardship and uncertainty in the state.

“I would like to express my heartfelt gratitude to the federal government under the able leadership of our dear President Asiwaju Bola Ahmed Tinubu for his swift response and unwavering commitment in providing relief to the most vulnerable members of our society,” he added.

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NNPCL Committed To Nasarawa Oil, Gas Initiative – Kyari

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Nigerian National Petroleum Company Limited (NNPCL) has said it is committed to partnering with the Nasarawa State government in the area of oil and gas development.

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The group managing director of NNPCL, Engr. Mele Kyari, who disclosed this during the second day of the Nasarawa Investment Summit yesterday in Lafia, said Nasarawa is blessed with substantial natural gas reserves.

Represented by the executive vice president (Gas and Power), Olalekan Oguleye, the NNPC boss said the state has the potential to power industrialization that would drive economic growth to improve the lives of its citizens.

He noted that the company is more than willing for further collaboration that will unlock the full potential of the state’s natural resources for the benefit of the state and the country at large.

Kyari appreciated the bold steps the state government has taken towards building its economy in the area of solid mineral and energy.

He said the state has become a home not just for mineral resources but also for agriculture and energy.

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Court Disbands Cross River Cocoa Allocation Taskforce

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A High Court sitting in Effraya, Etung local government area of Cross River State has granted a motion ex-parte disbanding the state Cocoa Allocation Surveillance Team from operating at the Government Cocoa Estate.

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The court restrained the team from harassing allottees of government cocoa farms in Etung local government area of the state.

The order came five days after the Bassey Otu administration issued a statement suspending the activities of surveillance team at the cocoa estate in the state.

The court headed by Justice Amajama Eneji, after the proceedings yesterday, adjourned the matter for augment on May 23, 2024 after a counter affidavit to the motion on notice and statement of defence was filed by counsel to Cross River State government, Barr. Woda Ogar.

In a brief interview with journalists at the court premises at Effraya, counsel to Cross River State government, Wada Ogar, said, “I just came today to find out that there were 27 others recently filed.

“The ex-parte application was all taken today and had been variously adjourned to May 23, 2024 for hearing of the motion on notice. But what I came here for were suit no. HA/16, 17 and 18, 2024 which have been served on me and I have filed my responses.

“Well, it is the allegation of the claimants that some hooligans are taking over the plots over which we are in court, harassing the people and all that.

“That is why in the first place, they brought an application ex-parte to restrain those people and then they alleged that, surveillance committee set up by government was being used to perpetrate illegalities, because of that, the court made another ex-parte which had gone viral” Woda said.

Meanwhile, counsel for the claimants, Mba Ukweni (SAN), averred that he and his clients (claimants ) came to court to take a motion for interlocutory injunction to restraint government and its agents, her appointees from interfering with allottees of government cocoa farms.

“So, we were served with their counter affidavit yesterday but, my learned friend for the defendant was gracious enough to bring to the attention of the court that from which ever perspective whether the government was not aware of the pendency of the matter made by the court which they have or from other sources for other reason decided that they should disband the taskforce which my colleague brought to the attention of the court.

“We had to leverage on it and said if the government itself have now discovered that the activities of the members of the taskforce and the people they are using to harass people in the estate is illegal, the court should give a stamp of legal authority to that and restrain them.

“So, the court agreed with both of us and has made the order which is as good as an interlocutory injunction. it is an order of court restraining them so, the status quo remain parties have to continue with what they are doing.

“The people who had been allotted estate cocoa farm have to continue with the allocation because that is the status quo.

“As at January, they have already been led into possession so, they have to be in possession and do their work. It doesn’t have to be disturbed; work does not have to be disturbed by any person at all,” he said.

When asked to explain what would happen in the eventuality of disregarding the court order, Ukweni said, “If they disrespect the court order, the law is not limited in what to do, they will be sanctioned.”

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