The Central Bank of Nigeria has issued a circular instructing commercial banks to sell dollars to Pilgrims going to the Hajj at an exchange rate of N197.

The Central Bank explains that the sale of the forex will be funneled through commercial banks who are then mandated to sell to pilgrims at N197. Pilgrims are expected to purchase a minimum of $750 and a maximum of $1000 per pilgrim.



The circular also reveals there are a total of 65,197 Pilgrims, thus the CBN will sell as much as $65,197,000 assuming every Pilgrim buys as much as $1000 each.


Nigeria’s official exchange rate closed at about N315 which suggest that this sale could cost Nigerian tax payers about N7, 693, 246,000 in exchange rate loss (based on 315 -197=118).

This is not the first time the Central Bank is selling dollars to Pilgrims at a subsidized rate. Last August it also sold dollars at N160 at a time when the official exchange rate was about N197. Only that this time, the disparity is wider.

The implication for Nigerian tax payers is that the government is now incurring this sort of expense at a time when the economy is likely in a recession and millions are finding it hard to feed themselves. It is also at a time where the Nigerian government is running cap in hand begging foreign investors to invest in Nigeria so that we can boost our external reserves.

It also calls to question suspicions that government officials may be getting travel allowances at a different exchange rate from what is obtainable at the official interbank market.

The Central Bank of Nigeria floated the Naira on the 20th of June 2016 following a year-long policy of holding the exchange rate at a fixed rate of about N197/$1. Since floating the naira, the exchange rate has depreciated by as much 60% at the interbank and over 100% at the parallel market. The dollar closed at about N400 at the parallel market on Thursday.


http://nairametrics.com/cbn-to-lose-n7-6-billion-in-tax-payers-money-for-selling-dollars-to-hajj-pilgrims-n197/

Ok

Chain the Change loading..............

later Buhari, Lai Mohammed and his gullible zombies will be looking for who to blame
Just look at how they are mismanaging the economy! like if you want thunder to fire them!! mynd44 and lalasticlala come and see oooh

2019



How long will you take before you get here?

First, it is hypocritical to lament about the amount of money being lost because of the subsidy for Hajj pilgrims even though you kept quiet when the Christian pilgrims were also subsidised by the same government last year.

But having said that, this government campaigned that they will stop wastages. What better/bigger example of wastage can you think of than subsidizing pilgrimage - be it muslims or christians. The money being used for this purpose will go a long way in solving some of our pressing needs.

We should always talk and speak out when the government does something wrong. It is very silly and childish (to say the least) when you speak only when it favour you or while trying to pull down the other. It reminds me of Jibrin and Dogara.

Dividends of one Nigeria

gists:
First, it is hypocritical to lament about the amount of money being lost because of the subsidy for Hajj pilgrims even though you kept quiet when the Christian pilgrims were also subsidised by the same government last year.

But having said that, this government campaigned that they will stop wastages. What better/bigger example of wastage can you think of than subsidizing pilgrimage - be it muslims or christians. The money being used for this purpose will go a long way in solving some of our pressing needs.

We should always talk and speak out when the government does something wrong. It is very silly and childish (to say the least) when you speak only when it favour you or while trying to pull down the other. It reminds me of Jibrin and Dogara.

Oga both are so wrong!!! how come you did not create a thread then since you were aware??

Am supporting Apc govt but am not with Buhari on this, this is a bias move against importers and am disapointed. Why would you rob peter to pay paul ?

If the same was done for Christian pilgrimage.. so what's wrong to do the same for Muslims...?

Ok.. .importers weren't given this chance

what else do you expect? At this time of national economic recession and at a time many of the nation's institutions/agencies/parastatals et al are in dire need of funds to function properly

Well, thanks to the booharinomics theory of presidiot Cassandra of west Germany. A hopeless, insensitive, ethno religious, autocrat cum tyrant who lacks the basic ingredient to be called a leader in a democratic setting and is more interested in battle of vendetta, promoting his islamic agenda even when common sense and wise counsel would have prevailed.

Some pigs are already defending the incompetent doofus as thou their life depends on it. I expect the igede lost soul of mistaken identity from who just opened a thread preaching his usual nonsense gospel of 'boohary can never do wrong' to come and defend the certificatless illiterate once again. He already opened a thread in defence of his god boohary .

Let me invite my friends omenka/progressive01 and my sweetheart modath to hear their opinion on this

Okay

Progressive01, come and say something to this.

I know you have no clue about the consequences of that pilgrimage subsidy and you know nothing about exchange, you are a typical zombie as seen in your article.


Can you see the loss this will bring, what gain will the hajj bring to the Nigeria economy?

You were saying they did same thing for Christians, did you forgot the exchange rate then compare to now? As at today a dollar is #400 compare to last year #245..... and they are subsidizing below half of the current parallel rate, isn't that insane?

some lunatics out of their blind support just because of crumbles that they are getting once in a while from this administration already supported the silly move by the FG

So they are giving preference to people who's trip will not benefit the economy over businesses who would have improved the slow dieing economy

Wow, this government does not stop to amaze me

Maybe their prayers, will....

And at the end of the day, taxpayers will bear the cost. Hummm I no fit talk again. I dey go sleep.

Fantastic corruption

Sometimes one can't help but wonder the kind of juju that is always used on decision makers in this country once they get to power. How did any normal human with a functional brain think this sort of thing is a good idea?

And one begins to wonder why the black race is so backward... People are dying of kwashiorkor in the north and in several parts of the country, the best priority for some people in power is to spend scarce billions subsidizing worthless spiritual trips?... If this foolishness is not rescinded, may high thunder strike the idiots who thought up and approved this nonsense as a good idea.

Na traditional ruler fit our president

A dollar was sold for 100 naira to Christians during their pilgrimage to Jerusalem,nobody raised his or her eyebrows. Why the noise now?What the fuss about this? Please noisemakers, learn how to be tolerant.

This is way too wrong. If you are giving the forex to people for religious purpose, there are so many industries out there that are brooming down just because of lack of forex.
Its imperative that the fg rescind this decision.
We really need to exempt religion bias off our day to day running of GOVERNMENT.


Anyways...


DRABEEYwasHERE

.

magnetik:
If the same was done for Christian pilgrimage.. so what's wrong to do the same for Muslims...?

senior, pls grow up!
Nobody is concerned about religion here. we are all disturbed about the current mess this country is in. what about the president promise of prudent spending? we earn less, we should spend less and plan more.
take a stroll to market and check the price of commodities.

I am tired
Buhari

Buhari Bleep off for ds one seriously

This is unfair to importers...what have we gained from this pilgrimage?

School fees is not important enough to be subsidized but hajj is?
Medical bills nko?
Chai

The CBN and her policies is quite outrageous. The CBN floated the naira without life jacket and now the naira is in full obedience to gravity. We don't need this at this time. We have so many challenges daunting us as a nation. Tax payers money should be used judiciously

I belong to some people... Amaechi

Is that the right thing to do?Now wey em wan go stone devil so Devil no go vex retaliate so?

Overflogged issue

Always favouring the so called first class citizens...yet hunger is imminent among them