BDCs to reapply for new licence, get 6-month recapitalisation deadline – Newstrends
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BDCs to reapply for new licence, get 6-month recapitalisation deadline

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CBN Governor, Olayemi Cardoso

BDCs to reapply for new licence, get 6-month recapitalisation deadline

The Central Bank of Nigeria has released new operational guidelines for Bureau De Change, directing existing operators to reapply for new licences and are given a six-month deadline to meet the new minimum capital requirements.

The new guidelines introduce two categories of BDC, Tier 1 and Tier 2, with minimum capital requirements of N2 billion and N500 million respectively.

The new guidelines were released on Wednesday in a circular to all BDC operators and stakeholders in the financial services industry

Among other things, the new guidelines limited the foreign currency holdings of BDCs (Net Open Position, NOP) to 30 per cent of shareholders’ funds unimpaired by losses. It also limited total borrowing to 50 per cent of shareholders’ funds unimpaired by losses.

Titled, “Regulatory and Supervisory Guidelines for BDC Operation in Nigeria”, the circular was signed by the Director, Financial Policy and Regulation Department, Haruna Mustafa.

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The circular stated: “As part of reforms to re-position the Bureau De Change (BDC) sub-sector to play its envisioned role in the foreign exchange market in Nigeria, the Central Bank of Nigeria (CBN) issued the Draft Operational Guidelines for BDC Operations in Nigeria in February 2024, for stakeholder comments/inputs.

“Following the conclusion of the stakeholder consultations and in the exercise of the powers conferred on it by Section 56 of the Banks and Other Financial Institutions Act (BOFIA) 2020, the CBN hereby issues the attached Regulatory and Supervisory Guidelines for Bureau De Change Operations in Nigeria 2024 for compliance by all operators and promoters of proposed BDCs in Nigeria.

“The Guidelines, amongst others, introduce new licensing requirements and categories of BDCs as well as revise the permissible activities, financial requirements, corporate governance requirements and AMUCFT/CPF provisions for BDCs.
“All existing BDCs shall; Re-apply for a new license according to any of the Tiers or license category of their choice as provided in the Guidelines;

“Meet the minimum capital requirements for the license category applied for within six (6) months from the effective date of the Guidelines.”

BDCs to reapply for new licence, get 6-month recapitalisation deadline

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NNPCL rolls out 12 new CNG stations in Lagos, Abuja

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NNPCL rolls out 12 new CNG stations in Lagos, Abuja

The Nigerian National Petroleum Company Ltd (NNPCL), on Thursday commissioned 12 compressed natural gas (CNG) stations to reduce transportation cost in the country.

Tinubu had on May 29, last year announced the removal of subsidy on petrol, a development that made the price rise from N197 per liter to N690 per liter.

The newly built CNG stations, which had six in Lagos and six in Abuja, were commissioned by the Minister of State for Petroleum Resources (Gas) Ekperikpe Ekpo.

Together, the Abuja and Lagos stations have a combined dispensing capacity of over 6 million standard cubic feet (MMSCF) of CNG per day, serving approximately 15,000 vehicles daily.

The newly built CNG stations, which had six in Lagos and six in Abuja, were commissioned by the Minister of State for Petroleum Resources (Gas) Ekperikpe Ekpo.

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Together, the Abuja and Lagos stations have a combined dispensing capacity of over 6 million standard cubic feet (MMSCF) of CNG per day, serving approximately 15,000 vehicles daily.

Also speaking at the occasion, the managing director, NNPC Retail Limited, Mr Huub Stokman, revealed that in the next one year, NNPC Retail would have launched over 100 CNG sites, including 16 NNPC gas marketing and NIPCO gas JV sites.

“CNG provides Nigeria with affordable alternatives to existing available fuel products. It will be about 40 per cent cheaper than petrol in Nigeria; and with continued investments, it will become a significant part of our energy mix,” Stokman added.

On his part, the chairman of the NNPC Board of Directors, Chief Pius Akinyelure, said increased CNG adoption would foster economic benefits by reducing fuel cost for consumers and businesses alike.

Under the presidential CNG initiative, NNPC and NIPCO gas entered into a strategic partnership for expansion of CNG stations across Nigeria. Under this partnership, 35 CNG stations are to be constructed across Nigeria.

These CNG stations feature advanced reciprocating and hydraulic booster compressors, ensuring a dispensing pressure of 200 bar for CNG vehicles.

The CNG is supplied to stations in Abuja and Lagos via virtual transportation from mother stations in Ajaokuta, Kogi State and lbafo in Ogun state.

 

NNPCL rolls out 12 new CNG stations in Lagos, Abuja

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Nigerian Railway Corporation suspends Warri-Itakpe train after derailment

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Nigerian Railway Corporation suspends Warri-Itakpe train after derailment

The Nigerian Railway Corporation (NRC) has announced the suspension of its train services from Warri in Delta State to Itakpe in Kogi State, starting from Friday, July 5th.

The suspension is due to an obstruction on the track, according to the NRC.

This is contained in a notice sent to customers titled “Public Announcement” on Friday, saying that the agency would likely resume operations on Monday, July 8, 2024.

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It read, “This is to officially notify our esteemed passengers that Warri-Itakpe Train will not run today being Friday, 5th July 2024 due to the obstruction we have on our track.

“We shall resume our normal train services on Monday 8th July 2024. Passengers who already booked their tickets online will be refunded.”

“All inconveniences is highly regretted. Thank you,” the statement added.

The train reportedly derailed on Thursday, July 4 at about 7.15pm.

A passenger on the train said it wobbled along its track at several locations and derailed.

It was however learnt that the NRC team was working to fix the problem.

Nigerian Railway Corporation suspends Warri-Itakpe train after derailment

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NCAA suspends licences of 10 private jet operators

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NCAA suspends licences of 10 private jet operators

The Nigeria Civil Aviation Authority (NCAA) has suspended the Permits for Non-Commercial Flights (PNCF) licenses of ten private jet operators for failing to comply with an earlier recertification directive aimed at curbing the misuse of private jets for commercial operations. 

In a statement signed by Michael Achimugu, Director of Public Affairs and Consumer Protection, the NCAA explained that the operators did not adhere to the directive issued on April 16, 2024, requiring re-evaluation by April 19, 2024.  

This directive was intended to ensure compliance with Part 18.3.4 of the Nigeria Civil Aviation Regulations 2023, which prohibits PNCF holders from using their aircraft for commercial operations or charter services.

“The Nigeria Civil Aviation Regulations 2023 Part 18.3.4 forbids holders of PNCF from using their aircraft for CARRIAGE OF PASSENGERS, CARGO or MAIL for HIRE or REWARD (commercial operation or charter services).  

“As a result of flagrant disregard of this rule, the NCAA had earlier directed all holders of PNCF to undergo re-evaluation which should have been concluded by the 19th of April 2024.  

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“To this end, the NCAA has suspended the PERMIT FOR NON-COMMERCIAL FLIGHTS of ten private jet operators,” the statement read in part.  

The ten suspended private jet operators whose PNCF licenses were suspended over failure to commence the recertification process include: 

  • Azikel Dredging Nigeria Ltd. 
  • Bli-Aviation Safety Services 
  • Ferry Aviation Developments Ltd.  
  • Matrix Energy Ltd. 
  • Marrietta Management Services Ltd. 
  • Worldwide Skypaths Services 
  • Mattini Airline Services Ltd. 
  • Aero Lead Ltd. 
  • Sky Bird Air Ltd  
  • Ezuma Jets Ltd. 

The statement also informed the public that engaging PNCF holders for commercial purposes is illegal, and the NCAA will promptly take enforcement actions against any violators.  

Additionally, NCAA officials have been deployed to General Aviation Terminals (GAT) and private wings of airports to monitor the activities of PNCF holders, the statement noted. 

NCAA suspends licences of 10 private jet operators

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