|CFR Senior Fellow for Africa Policy Studies John Campbell.|
Thursday, 27 November 2014
A view of the shore of the Atlantic ocean at Orobiri village,days after Royal Dutch Shell's Bonga off-shore oil spill, in Nigeria's delta state December 31, 2011.
CREDIT: REUTERS/AKINTUNDE AKINLEYE
(Reuters) - Nigeria's National Assembly said on Wednesday oil major Shell should pay $3.96 billion for a 2011 spill at its offshore Bonga oilfield in the latest assessment of damage to the environment.
The non-binding decision comes after years of analysis by various Nigerian state agencies, which have proposed a range of fines as high as $11.5 billion.
The parliament finally reached a decision based on the report of the National Oil Spill Detection and Response Agency (NOSDRA), which previously recommended a fine of $5 billion.
Shell declined to comment. The company has previously said it took responsibility for the spill and had cleaned the area.
ABUJA, Nigeria (AP) - The Central Bank of Nigeria says it has devalued of the naira, setting the new official exchange rate at 168 to the dollar from its previous rate of 155.
The central bank's governor Godwin Emefiele said Wednesday that the falling price of oil forced Nigeria to devalue its currency.
The new exchange rate represents an 8.3 percent devaluation in the face of heightened demand for foreign exchange. The U.S. dollar is goes for 184 naira on Nigeria's illegal foreign exchange market.
The last time the naira was devalued was November 2011, when Nigeria's central bank set the official exchange rate at 155 to $1 from its previous rate of 150.
The Asset Management Corporation of Nigeria (“AMCON”) has announced the successful completion of the sale of the entire issued and fully paid up ordinary shares of Enterprise Bank Limited (“Enterprise Bank” or “EBL”) to Heritage Bank owned special purpose vehicle, HBCL Investment Services Limited (“HISL”) (the “Transaction”), for a consideration of NGN56.1billion.
A statement signed by the head Corporate Communication, Strategy and Research AMCON Mr. Kayode Lambo said the Transaction was structured as a broad public auction process, which attracted interest from multiple domestic and international bidders, with HISL emerging as the preferred bidder.
According to AMCON, completion of this Transaction follows from the fulfilment of the terms and conditions stated in the Share Purchase Agreement (“SPA”) executed between AMCON and HISL.
“The Transaction has been approved by the Board of Directors of AMCON and relevant regulatory approvals have been obtained from the Central Bank of Nigeria and the Securities & Exchange Commission.
In line with AMCON’s strategic objectives, this Transaction marks the divestment of the first of three banks that were acquired by AMCON in August 2011 and represents a landmark transaction in the Nigerian banking sector,” the statement read in part.
Citigroup Global Markets Limited (“Citi”) and Vetiva Capital Management Limited (“Vetiva”) acted as Financial Advisers to AMCON while G. Elias & Co. acted as Legal Advisers to AMCON on the Transaction.
Source: Nigerian Tribune
WorldStage Newsonline-- The Central Bank of Nigeria (CBN) has commenced the education of the Nigerian public on the incorporated security features of the Naira, warning against the act of counterfeiting.
The Governor of the apex bank, Mr. Godwin Emefiele, gave the charge in Abuja Wednesday while declaring open the maiden temporary exhibitions of the Currency Museum on “Counterfeit Money: Who Pays?” and “Non-Interest Banking in Nigeria” held at the Bank’s auditorium.
Emefiele, who was represented at the event by the Deputy Governor in charge of the Operations Directorate, Alhaji Suleiman Barau, noted that educating the public would enable them identify counterfeited notes should they encounter such. According to him, the CBN remains committed to safeguarding the value of the Naira by ensuring that banknotes are not susceptible to counterfeiting.
Earlier, the Director, Currency Operations Department of the Bank, Mr. Olufemi Fabamwo, observed that technological advancement posed a serious threat for national currencies to be counterfeited.
He, however, stressed that the CBN was alive to its role of protecting the country’s legal tender from counterfeiting by putting in place appropriate policies relating to preventing and minimizing currency counterfeiting as well as providing the public with basis for easy identification of fake notes.
Reflecting further on the second subject of the exhibitions, Fabamwo noted that the concept of non-interest banking was largely still being misunderstood in Nigeria.
While disclosing that the activities of non-interest banks are duly regulated by the CBN, he urged stakeholders to embrace the products offered by non-interest banking based on their universal acceptability and benefits to customers.
The House of Representatives Committee on banking and currency, has frowned at the devaluation of the local currency and increase in the Monetary Policy Rate (MPR), saying that the development would further suffocate budding businesses.
The Chairman of the House Committee, Chukwudi Jones Onyereri, said CBN’s decision should have been preceded by considerations of attendant hike in interest rates by banks.
According to him, the increment from 12 per cent to 13 per cent would be responded to by the financial institutions in a fierce manner such that interest rates would become higher urging CBN to think about placing a cap on rates as a matter of urgency.
Onyereri, who made the disclosure during the House of Representatives Committee on Banking and Currency’s oversight visit, in Lagos, on Tuesday, raised concern that some interventions of CBN may constitute a distraction, advised that the apex bank face projects that will directly impact on the lives of the people.
He said that part of the country’s challenge is misplaced priorities and policy directives that do not take into consideration the domestic factors.