Naira as good as dead, sells at N305 to dollar

By Babajide Komolafe

The naira, Wednesday, depreciated further to N305 per dollar as scarcity of dollars intensified in the parallel market.

From an average of N287 per dollar, Tuesday, the parallel market exchange rate rose to an average of N305 per dollar across the country.

Since Monday when the Central Bank of Nigeria (CBN) stopped the weekly dollar sales to Bureaux De Change (BDCs), the naira has been depreciating against the dollar.

BDC sources who confirmed the development to Vanguard however said that the exchange rate situation is uncertain as the rate changes from time to time.

Vanguard investigation revealed that though the exchange rate touched N305 in major cities like Lagos, Abuja and Kano, it dropped slightly to between N295 and N300 per dollar in Lagos and Abuja at the close of business, while it closed at N305 in Kano.

Chief Executive Officer, H.J Trust BDC, Mr. Harrison Owoh, told Vanguard that the market is fluid. “You cannot quote rate for anybody now because the rate is changing every time.”

An Abuja based BDC Operator who spoke to Vanguard on condition of anonymity said that the rate closed in Abuja at N298 but was above N300 during the day. He however said that it was difficult to quote any specific rate now as the situation is unpredictable. He opined that the rate would stabilised by next week, when the market would have absorbed the impact of the new CBN policy.

Naira Crash: Devaluation is Now Inevitable - Expert

Following the continued widening of the gap between the value of the naira on the black and official markets, a devaluation is now inevitable, Samir Gadio, head of Africa strategy at Standard Chartered Bank said.

"With pressure on foreign reserves and oil prices at $30 per barrel, devaluation is now unavoidable. The issue will be the quantum and methodology," he said.

Recently, Russian investment bank, Renaissance Capital, recently said a fair price for the naira is 305 to a dollar but stated that a devaluation to 240 or 250 per dollar is appropriate.

Currency and stock markets have been hard hit by the persistent fall in crude, Nigeria's main export, triggering a fall in government revenues and exit of foreign investors from the local bourse.

Nigerian stocks on Wednesday fell 3.6 percent to near a three-and-half-year low after the naira hit a new trough of 300 per dollar on the black market, weighed down by sliding oil prices and the central bank decision to curb dollar supply.

The Central bank had stopped dollar sale to Bureaux de Change, accusing them of negatively speculating about the naira.

Why EFCC is after PDP members---APC National Chairman

THE National Chairman of the All Progressives Congress (APC), Chief John Odigie-Oyegun, has offered an explanation as to why only members of the Peoples Democratic Party (PDP) appeared to be targeted in the ongoing anti-corruption war, saying that it was because the opposition party occupied power at the centre in the last 16 years.

Emerging from APC's National Working Committee (NWC) meeting with President Muhammadu Buhari at the Presidential Villa, Abuja, on Monday night, he told State House correspondents that it was natural that those who were in power would be the ones to answer questions on their stewardship.

He said the war had nothing to do with political divide but would be fought not minding whose ox is gored.

He stated: "The APC is not in any way apologetic. We promised change and there is a lot of rot in the system. This must be cleansed any whoever and whatever ox is being gored, wherever the tree is going to fall, let it be.

"We must get used to the fact that in the process of cleansing this nation, there is going to be a lot of bullets to bite.

"The APC was not in office at national level in the last 10 to 16 years. So, the issue of whether somebody is PDP or not PDP does not arise. We have a nation to cleanse. The president has committed himself to that and we should do it whatever way it comes. We are not being apologetic about that at all.

"It has nothing to do with witch-hunting. It just happened that the dramatist personal of the period all happened to be on one side of the political divide."

On members of the opposition defecting to the ruling party, he denied that it was a ploy to make Nigeria a one-party state as he added that the APC would welcome to its fold anyone who could help it to advance its vision.

Odigie-Oyegun revealed that the national leadership of the APC discussed the state of the nation with the president and the upcoming elections in different states of the federation.

According to him, the meeting "has been a normal interactive meeting. We were here to brief the president on the state of the party, the challenges that we are facing, the numerous elections that we have to face in the next two, three months.

"As of today, we have 78 elections to contend with mostly arising from court actions following the national elections. We also took the opportunity to be briefed on the state of the nation and the great work the administration is doing in the face of very, very intense challenges to tackle these issues and these problems.

"So, we are going away fulfilled, happy that government has substantially blocked the leakages in the system. There is still a lot to be done and we are looking forward to the early passage of the budget so that full implementation will begin. "

Ex-Chinese vice minister jailed 15 years for bribery

A court in northern China sentenced a former Vice Minister of China’s Ministry of Public Security and a member of the Central Committee of the Communist Party of China, Li Dongsheng, to 15 years in jail on Tuesday for accepting bribes, state media reported.

Dongsheng is the latest senior figure to fall in President Xi Jinping’s anti-corruption crackdown that has targeted scores of high-level officials, including figures linked to China’s former state security chief, Zhou Yongkang.

Zhou, the biggest tiger to fall, was once seen as a potent rival of Xi and was at the center of a vast patronage system from his various positions of power.

Dongsheng was sentenced by a court in Tianjin city, the official Xinhua News Agency reported. Calls to the court rang unanswered.

Li helped others get benefits from 1996 to 2013 when he held positions including the vice minister in the Ministry of Public Security and the deputy head of state broadcaster China Central Television, Xinhua said.

He also demanded and received bribes worth 22 million yuan ($3.4 million) from 2008 to 2013, Xinhua said.

Despite having no experience in law enforcement, Li was elevated to vice public security minister in 2009, sparking rumors he was assisted by Zhou, who was sentenced to life in prison in June for corruption and other crimes.

47 presidential candidates for Benin Republic's election

The Republic of Benin National Electoral Commission (CENA) said 47 candidates had filed their papers to contest Benin's presidential election scheduled for February 28.

It said in a release on Wednesday in Cotonou, the country's capital, that among the candidates are economic operators, former ministers, Members of Parliament and two army generals.

CENA said Forces for Emerging Benin (FCBE), the coalition of outgoing president, Boni Yayi, is presenting Lionel Zinsou, current prime minister, as its candidate.

It said the opposition Union for the Nation (UN) is fielding Erick Houndete, second vice-president of the Beninese Parliament while the Party for Democratic Change (PRD) of Mr Adrien Houngbédji, who the opposition mobilised to elect as Speaker of Parliament in May 2015, is backing the candidature of the prime minister.

CENA said the list of candidates would be transmitted to the Constitutional Court for validation.

It said further that there are 4,726,923 voters, with 99 per cent of them in the country.

CENA said the 14 days of campaign would be from February 12 to 26.

"The second round of the election would be held on March 13 if no candidate secures more than half of the votes in the first round," it said.

Although the campaign has not been officially launched, several potential candidates or their supporters are going round the country mobilising voters.