Economy
BDC Operators Blame CBN for Increase in Prices of Food, Others
By Aduragbemi Omiyale
In the past months, the prices of food items, products and services in the country have been on the rise despite the National Bureau of Statistics (NBS) saying the inflation rate was moderating.
For most consumers, when they go to the market today, they are not sure the prices of items would remain the same tomorrow and this has been very frustrating for them.
Many have wondered how long they would have to experience this situation but it seems the Bureaux De Change (BDC) operators know the major cause of the problem and like the popular saying, when an issue is known, solving it is not far away.
Recently, the president of the Association of Bureau De Change Operators of Nigeria (ABCON), Mr Aminu Gwadabe, informed Daily Trust in an interview that the Central Bank of Nigeria (CBN) is the brain behind all these problems.
He said the decision of the apex bank to ban the sale of foreign exchange (FX) to his members in July 2021 is what is pushing the prices of goods and services in the country higher.
Mr Gwadabe said the central bank must see street forex traders as an important part of the market and the economy at large, emphasising that things were still better before the July 27, 2021, directive.
“The impacts of the CBN action include direct job losses of about 40,000 employees and over N200 billion capital to go toxic,” the ABCON leader informed the newspaper.
He stressed that the action of the apex bank paved the way for the “dominance of un-official online and Hawala activities.
“Dearth of BDCs expertise developed over the years, increased volatility and confidence crises of the naira, security concerns and increase in prices of goods and services.
“In all the BDCs remained the potent tool for CBN exchange rate stability instruments and accessibility.”
Business Post recalls that nearly two months ago, the Governor of the CBN, Mr Godwin Emefiele, while addressing newsmen after the Monetary Policy Committee (MPC) meeting in Abuja, said the bank would discontinue FX sales to BDCs over alleged round-tripping.
He said the operators were wasting the allocation to them, lamenting that the sale of $20,000 weekly to each of the over 5,500 BDC operators in the country taking a huge toll on the nation’s forex reserves. It was learned that in a year, the country was selling about $5.72 billion to the parallel side of the FX market in a bid to defend the Naira.
Since this policy commenced, the value of the local currency against the Dollar at the unregulated segment of the market has broadly nosedived. It traded on Monday at N532 to $1.
By Modupe Gbadeyanka
The transition guidelines on the Tax Acts 2025 to provide direction to taxpayers, tax practitioners, revenue authorities and other stakeholders on how to address various issues arising from the old regime to the new framework have been released by the federal government.
The framework was issued on Thursday via a statement signed by the Director of Press Relations in the Federal Ministry of Finance, Efe Ovuakporie.
The guidelines set out the process for transition from the repealed tax laws to the new tax framework effective January 1, 2026.
Under the guidelines, the Tax Acts 2025, comprising the Nigeria Revenue Service (Establishment) Act, the Nigeria Tax Act, the Nigeria Tax Administration Act, and the Joint Revenue Board (Establishment) Act, apply from the respective commencement dates as enacted in each law. In particular, January 1, 2026, for the Nigeria Tax Act, 2025.
Tax liabilities, assessments, audits, investigations, disputes and enforcement actions relating to periods before that date will be treated under the repealed tax laws, the notice stated.
Tax returns relating to accounting periods ending before January 1, 2026, will be filed under the previous tax laws, while returns relating to accounting periods ending from January 1, 2026, onward will be administered under the new tax framework.
The document also covers the treatment of income taxes, transaction taxes, development levies, tax incentives, exemptions, record-keeping obligations and transactions that span both the old and new tax regimes.
Existing tax incentives and exemptions granted under the repealed laws will remain in place until their expiration dates. New applications and pending requests, however, will be considered under the provisions of the Tax Acts 2025.
The Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele, described the Tax Acts 2025 as a significant milestone in Nigeria’s tax reform programme, noting that the Guidelines set out how existing obligations, ongoing matters and future transactions will be treated under the new regime.
According to the Minister, the guidelines are anchored on three key principles – clarity, fairness and administrative certainty, adding that they are intended to promote uniform implementation and support effective administration across the Nigeria Revenue Service, State Internal Revenue Services, the FCT Internal Revenue Service, Local Government Revenue Committees, tax practitioners and taxpayers nationwide.
By Adedapo Adesanya
The Federation Account Allocation Committee (FAAC) has shared a total of N2.300 trillion among the federal government, state governments, and Local Government Councils from the revenue generated in May 2026.
The amount is slightly higher than the N2.257 trillion distributed last month, according to a statement issued by the Head of Information at the Federal Ministry of Finance, Mrs Efe Ovuakporie.
The FAAC allocation was confirmed at its June 2026 meeting following consideration of revenue receipts for the month of May.
The total distributable revenue of N2.300 trillion comprised N1.611 trillion from statutory revenue and N688.785 billion from Value Added Tax (VAT).
From the distributable amount, the federal government received N818.680 billion, while state governments got N759.141 billion. Local Government Councils were given N534.277 billion, and oil-producing states received N188.132 billion as 13 per cent derivation revenue.
The gross statutory revenue for the month stood at N2.652 trillion, representing an increase of N273.623 billion compared to the N2.378 trillion recorded in April 2026.
FAAC reported significant increases in collections from Companies Income Tax (CIT), Capital Gains Tax (CGT), Stamp Duties, Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), and oil royalties during the period under review.
However, collections from Import Duty, Value Added Tax (VAT), Excise Duty, and Common External Tariff (CET) levies recorded declines compared to the previous month.
Gross VAT revenue for May 2026 stood at N743.668 billion, lower than the N806.617 billion collected in April 2026.
The committee noted that despite the decline in VAT collections, overall revenue performance for the month was strengthened by improved receipts from petroleum-related taxes and Companies Income Tax.
By Aduragbemi Omiyale
Trading in the equities of Fortis Global Insurance Plc on the floor of the Nigerian Exchange (NGX) Limited has been suspended.
The action was taken on Wednesday, June 17, 2026, by the regulatory subsidiary of the NGX Group Plc, NGX Regulation (NGX RegCo) Limited.
It was to prevent investors from buying and selling the company’s securities on the stock market ahead of its share reconstruction.
According to a circular signed by the Head of Issuer Regulation Department of NGX RegCo, Mr Godstime Iwenekhai, the suspension is also to determine the shareholders who are entitled to receive the reconstructed shares.
“Trading license holders and the investing public are hereby notified that trading in the shares of Fortis Global Insurance Plc was suspended on Wednesday, June 17, 2026.
“The suspension is necessary to prevent trading in the shares of Fortis Global Insurance Plc to enable the Company’s Registrars and the Central Securities Clearing System Plc (CSCS) to reconcile their books for the listing of the reconstructed shares on Nigerian Exchange Limited (NGX).
“The suspension is also required for the purpose of determining the shareholders who are entitled to receive the reconstructed shares,” the notice stated.
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