CONTRARY to claims by the Central Bank of Nigeria (CBN) that the weakening of the value of the Naira was caused by the non-remittance of funds into foreign reverse by the Nigerian National Petroleum Company Ltd, fresh facts have shown that the NNPC remitted a total of N2.7 billion into its accounts with the CBN from January to June this year.
The CBN had, in reacting to the nose-diving of the value of Naira, said the non-remittance of dollars by the NNPC precipitated the forex crisis.
In a report entitled “The forex question in Nigeria: Fact sheet,” the CBN said there had been “zero-dollar remittance to the country’s foreign reserve by the NNPC.”
Checks have however revealed that the NNPC Ltd remitted $2.7billion into CBN in the first six months of this year.
Records showed that out of the $2.7 billion the NNPC remitted into its CBN accounts, $645million was for dividend paid by the Nigerian Liquefied Natural Gas Company Ltd, while $1.786 billion was from the NNPC operational activities.
A breakdown of the NNPC remittances showed that funds into the NNPC accounts came thus: $18,770,418.97 (January 2022), $194, 563, 276. 49 (February 2022) and $373, 232,875.20 (March 2022).
Other NNPC remittances were $247,884,295.52 (April 2022), $591, 565, 425. 41 (May 2022) and $880, 906, 761.81 (June 2022).
CBN Governor, Godwin Emefiele, has been in the eye of the storm following the weakening of the naira.
Last Wednesday, the Senate decided to invite Emefiele to explain the weakening of the value of the naira and to proffer the way forward.
Following a motion sponsored by Senator Olubunmi Adetunmbi, the Senate, apart from summoning Emefiele, also mandated its Committee on Banking, Insurance and Other Financial Institutions to critically look into the intervention funds CBN earmarked to support some sectors of the economy.
In his motion seeking Emefiele’s summoning, Senator Adetumbi said CBN’s earlier ban of forex sales to BDC operators caused a spike in exchange rate.
He stated that a few people benefit from the import-export window meant to serve the forex needs of business enterprises.
According to him even the Personal Travel Allowance (PTA) and Business Travel Allowance (BTA) are not accessible as less than 20 per cent of the total forex demand by travellers and businesses is met by CBN.
The CBN has been blaming the rapid depreciation of the value of the Naira to so many factors.
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