Business
Vehicle Importation Down by 45% Over Forex Crisis – CGC
The Comptroller General of the Nigeria Customs Service (NCS), Adewale Adeniyi, has revealed that vehicle importation in Nigeria decreased by 45% in the first quarter of 2024 due to foreign exchange challenges. In an interview with Arise Television, Adeniyi highlighted the critical impact of volatile exchange rates on businesses, particularly car dealers.
“It affected car dealers. We had as much as a 45% decrease in the volume of cars that were brought into Nigeria in that period. And they were not the kind of cars that fetched optimum revenue for the customs. Not only cars, but even regular imports were also affected because people could no longer import raw materials as they wanted and the volatility did not allow them to plan for tomorrow,” said Adeniyi.
Despite the downturn, Adeniyi expressed optimism that the situation was improving in the second quarter of the year. He noted, “But we see some relative degree of stability in the second quarter because there are lots of discussions going on. Some at the level of the National Assembly, most of them spearheaded by the Minister of Finance and Coordinating Minister of the Economy, bring on the stakeholders that are involved together, to ensure that we achieve stability.”
Private Jet Owners’ Verification Exercise
Adeniyi also provided an update on the ongoing verification exercise for private jet owners. He mentioned that many private jet owners had begun leaving Nigeria since the verification announcement, indicating they did not want to participate in the process. “Very few of them have shown up for verification and we gathered from intelligence that a good number of them have been leaving Nigeria since the announcement was given because they would not want to be verified,” he stated.
The CGC clarified that private jets used in Nigeria must pay customs duty according to international aviation law, except for those here on a temporary basis. The verification exercise aims to ensure compliance with this requirement, as data from the Nigerian Civil Aviation Authority (NCAA) showed that many private jets operating in the country had not paid customs duty.
“When the exercise started sometime in 2019, the service realised N2bn. We discovered that there were more private jets that were operating in Nigeria but had not been brought under the ambit of the law. So, the data that we got from the NCAA showed that only very few of them paid customs duty to operate in Nigeria,” Adeniyi explained.
Addressing Smuggling Incentives
Adeniyi identified the significant price difference in fuel between Nigeria and its neighboring countries as a major incentive for fuel smuggling. “In Benin Republic, a litre of fuel is between N1,500 and N1,600. In Cameroon, it is high as N2,000 per litre. So, when we have this kind of thing around our neighbors and we are still doing a litre between N710 and N720, there is already an incentive because the price difference is very wide,” he said.
To combat smuggling, the NCS is collaborating with relevant agencies to monitor the trucking of products from their depots in real-time.
Improving Welfare for Customs Officials
The CGC emphasized efforts to enhance the welfare of customs officials, including better remuneration, improved working conditions, and timely payment of allowances. He also announced a new policy for timely promotions, stating, “We had an understanding that every year, on January 1, we are releasing the promotion of officers who are deserving. We have done it in January 2024 and we are hoping that by January 2025, the next batch of officers would benefit and they would be paid salaries commensurate with their new rank.”
With a potential TikTok ban looming in the United States, many of the app’s 170 million American users are flocking to the Chinese platform RedNote. Dubbed “TikTok refugees,” these users have propelled RedNote to the top spot on Apple’s US App Store as of Monday.
RedNote, known in China as Xiaohongshu or “Little Red Book,” boasts approximately 300 million monthly users and combines features similar to TikTok and Instagram. It is particularly popular among young urban women in China, Taiwan, and other Mandarin-speaking regions, offering a platform for exchanging lifestyle tips on topics ranging from fashion to relationships.
The app’s growing popularity comes as the U.S. Supreme Court prepares to decide on a law requiring TikTok to sell its U.S. operations by January 19 or face a ban. TikTok has refused to sell, arguing that such a move would violate the free speech rights of its users.
RedNote has embraced its influx of U.S. users, with 63,000 posts tagged “TikTok refugee” providing guidance on navigating the platform and learning basic Chinese phrases. One U.S. user humorously wrote, “To our Chinese hosts, thanks for having us—sorry in advance for the chaos.”
Despite its warm reception, RedNote is not without controversy. Critics point to censorship concerns, particularly regarding criticisms of the Chinese government. Additionally, public officials in Taiwan are restricted from using RedNote due to perceived security risks associated with Chinese software.
As U.S. users join RedNote, some Chinese users have joked about being labeled “Chinese spies,” referencing U.S. officials’ concerns over TikTok’s alleged ties to Chinese government surveillance. However, RedNote has distanced itself from political associations, stating that its name does not reference Mao Zedong’s famous “Little Red Book.”
Bitcoin has soared to a new all-time high, briefly surpassing $106,000 (£83,890) on Monday during Asian trading hours. The cryptocurrency’s unprecedented rally marks a 50% surge since Donald Trump’s victory in the U.S. presidential election on November 5, with market sentiment buoyed by the incoming administration’s pro-cryptocurrency stance.
The Trump administration has signaled a friendlier approach to digital currencies compared to its predecessor. Notably, President-elect Trump recently announced plans to explore creating a national Bitcoin reserve, akin to the U.S. strategic oil reserve, to support the cryptocurrency’s strategic adoption.
Peter McGuire of trading platform XM.com attributed the surge to growing “FOMO” (fear of missing out) among investors. “The Bitcoin rally since the election has been parabolic,” McGuire explained. “Many investors believe $120,000 is achievable by the end of the year, and projections for mid-2025 suggest prices could exceed $150,000.”
Adding to the market optimism, Trump has appointed David Sacks, a Silicon Valley entrepreneur and former PayPal executive, as his AI and cryptocurrency czar. Sacks, known for his close ties to Trump advisor and billionaire Elon Musk, is expected to play a significant role in shaping the administration’s blockchain and cryptocurrency policies.
Chinese crypto entrepreneur Justin Sun, known for his headline-grabbing antics, recently made waves after consuming a $6.2 million banana in an art stunt. Not long after, Sun invested $30 million into World Liberty Financial, a cryptocurrency firm with ties to former President Donald Trump.
The investment proved transformative for the struggling company, pushing it past the threshold needed for Trump to begin profiting from the venture. Trump and his family are now positioned to collect around $20 million, with the potential for more.
Sun, currently facing fraud charges in the U.S. over his own crypto operations, did not elaborate on why he backed the untradable token initiative. However, the move has raised concerns among ethics experts, who view it as an example of how Trump’s vast business interests could create avenues for influence.
Richard Painter, former White House ethics lawyer under George W. Bush, noted the heightened risk:
“The conflicts have grown substantially with the scope of his business empire.”
Trump’s spokeswoman, Karoline Leavitt, dismissed concerns, highlighting that Trump had distanced himself from his real estate empire during his presidency and donated his salary:
“Unlike most politicians, President Trump didn’t get into politics for profit – he’s fighting because he loves this country.”
Critics argue that Trump has not adequately addressed the potential for corruption as his business dealings expand ahead of a possible return to the White House.
Novak Djokovic Sets Grand Slam Record with Melbourne Victory
Linda Nolan, Beloved Singer of The Nolans, Dies at 65
Drake Files Defamation Lawsuit Against Universal Music Group Over Kendrick Lamar Song
-
Business4 days agoUS TikTok Users Migrate to RedNote as Ban Deadline Approaches
-
News4 days agoSigns of Progress as Gaza Ceasefire Negotiations Continue in Qatar
-
News3 days agoIsrael and Hamas Reach Historic Ceasefire and Hostage Release Agreement
-
Sports3 days agoNovak Djokovic Sets Grand Slam Record with Melbourne Victory
-
Entertainment3 days agoDrake Files Defamation Lawsuit Against Universal Music Group Over Kendrick Lamar Song
-
Entertainment3 days agoLinda Nolan, Beloved Singer of The Nolans, Dies at 65