Nigeria: 14 airlines withdraw from Nigeria over hike of foreign exchange (Forex)

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There is palpable tension in Nigerian Avia-sphere following the withdrawal of 14 airlines from Nigeria over the lingering hike of foreign exchange (forex).



Elombah.com gathered that the affected airlines withdrew their services from the country due to low patronage on account of the economic recession.



Some of the affected airlines include United Airlines, Iberia and Air Gambia.



These are among some 50 airlines that plied the Nigerian routes not so long ago.



It was also gathered that foreign firms, so far, have lost 64 billion Naira while trying to repatriate stuck funds amidst the forex crisis.



The mass repatriation is coming in the wake of the new forex policy of the Central Bank of Nigeria (CBN).



President of the National Association of Nigeria Travel Agencies (NANTA), Bankole Bernard lamented the withdrawal.



He said that the new forex policy and economic crunch came with enormous negative effect on travel agencies.



He cited new forex policy as the reason for which the airlines exited the country.



Bernard blasted the economic policies of the CBN at the Aviation Round Table (ART) breakfast meeting held in Lagos recently.



He said that travel agencies that sold about $1.4 billion worth of air tickets in 2015 were beginning to record losses with the departure of the airlines.



He added that there was fear that more airlines might quit flying the Nigerian routes.



Apparently frustrated by the low patronage, he said that some of his members were beginning to consider relocating to Ghana, where “their policies are consistent.”



Bernard said that the alleged inconsistent policy of the current administration, particularly on the naira devaluation, accounted for the current “nightmarish” experience the airlines are facing.



The loss of N64b by the foreign airlines was on account of repatriating $800 million stuck in the economy in the last one year, but released after the recent devaluation of the naira.



With the devaluation, the accumulated $800million from airlines’ sales of tickets when the exchange rate was still at N197 to $1, was taken out of the country at the new rate of N320 to $1.



Consequently, a substantial amount was lost in the last couple of weeks.



Confirming the development, the Regional Manager of British Airways, Kola Olayinka, said that for every $1m repatriated since the new policy began, the airlines lose not less than N80 million.



Olayinka blamed the situation on what he called the immediate and unfortunate effect of the new policy.



The policy, he said, is affecting all foreign airlines that had funds sitting in the Nigerian banks.



The current administration last year introduced a fiscal policy through the CBN, restricting access to foreign exchange and funds transfer out of the country.



In the process, the International Air Transport Association (IATA) estimated that no less than $600 million belonging to foreign airlines was stranded in Nigeria.



The association appealed to government to ensure the immediate release of such funds.

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You’re a total failure, Kano APC chieftain tells Buhari ON AUGUST 9, 20167:18 AMIN NEWSCOMMENTS KANO— THE factional chairman of All Progressives Congress, APC, in Kano State, Hussaini Mairiga, yesterdaty came down hard on President Muhammadu Buhari, describing him as a total failure. President Buhari commissions Road Projects in Wanke Zamfara State Mairiga, who spoke with journalists in Kano, said “from the looks of things, President Buhari has betrayed the confidence of the Nigerian masses who voted for him massively into power.” The factional chairman said it was not an exaggeration that members of many families in the country go to bed without at least one square meal, while others had fled their homes because they could no longer provide the basic needs of life for their loved ones. Mairiga, who is known for his bluntness, expressed worry that after one year of the Buhari administration in power, there was nothing to show while poverty in the country had reached an unprecedented level. He lamented that while a bag of rice now sold for N16, 000, prices of other essentials commodities had tripled. Mairiga noted with dismay that prices of goods were rising at a time the ordinary man did not have money to make a living. Another disturbing scenario, according to the factional APC chairman, was that those around the president, including his ministers, had refused to tell him the truth and advice on the reality on ground. He reminded Buhari of his campaign promises, stating that he did not like the way the masses were allowed to wallow in destitution and penury. He said Nigerians were in the worst condition that needed urgent attention. The APC chairman advised the President to stop deceiving Nigerians that the nation had no money whereas on monthly basis, the federal and states governments continued to enjoy a boost in their allocations.

Read more at: http://www.vanguardngr.com/201....6/08/youre-total-fai

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My People remember to eat healthy food. Do not depend on canned food all the time

My People remember to eat healthy food. Do not depend on canned food all the time.

Otutu oma my people. Ka Chineke gozie ayi na ubochi taa. Isee