The new Central Bank of Nigeria (CBN) regime of banking charges against customers for services rendered is expected to start today, January 1st, 2020.
The apex bank had instructed banks to slashed withdrawal fees usually charged after the third withdrawal from Automated Teller Machines (ATM) within the same month.
In the new directive contained in the new Guide to Bank Charges, the CBN stated that the withdrawal fee charged for the use of other banks’ ATM has been reduced from N65 to N35.
Card maintenance fee has been reviewed to N50 every three month (quarterly), from the initial monthly period. The guide released by the CBN contains major changes on electronic transactions’ charges in Nigeria.
A graduated fee scale for electronic transfers to replace the current flat fee of N50 will begin, as transfers below N10,000 will attract a maximum charge of N10; and transfers above N50,000, N50.
Card maintenance fee on the current account has been removed as the accounts already attract maintenance fees.
Savings accounts will now attract a card maintenance fee of N50 per quarter (three months) from N50 per month. Yearly card maintenance fee on foreign currency denominated cards is reduced to $10 from $20.
[READ MORE: Bank CEOs, NCC, CBN to meet over USSD charges)
The charge for hardware token will be on a cost-recovery basis subject to a maximum of N2,500 from previous maximum charge of N3,500, while the fee for SMS mandatory alert will be on cost recovery from previous maximum charge of N4.
Bill payment via e-channels will attract a maximum charge of N500 from 0.75 per cent of the transaction value subject to a maximum of N1,200.
Fidelity, Union Bank, Wema comply
Some of the commercial banks have complied, as they have sent messages to their depositors in preparedness for January 1, 2020, commencement of the new charges, which cut nearly all applicable fees by the lenders significantly.
Some of them are Fidelity Bank, Union Bank, and Wema Bank. They have sent messages to customers, highlighting various aspects of the cut in the charges against customers for banking transactions, as well as affirming their readiness to comply with the rules.
Meanwhile, CBN had said that the revision of the Guide to Charges and strengthening of the Consumer Protection Regulation was necessitated by continued evolution in the financial industry over the past few years, which has spurred innovation and the introduction of new products, channels and/or participants.
Banks to pay N2 million on any breach
Following the new directives, the CBN stated that any Financial Institution that breaches any of the provisions as contained in the new guide will pay a penalty of N2 million per infraction or as may be determined by the CBN from time to time.
It read, “Financial Institutions are to note that any breach of the provisions of this Guide carries a penalty of N2,000,000 per infraction or as may be determined by the CBN from time to time.
“Failure to comply with CBN’s directive in respect of any infraction shall attract a further penalty of N2,000,000 daily until the directive is complied with or as may be determined by the CBN from time to time.”
Official: Imo State is unemployment capital of Nigeria
According to NBS, 75.1% of the total employable people in Imo State are either underemployed or unemployed.
Data from the National Bureau of Statistics reveal Imo State, located in the South-Eastern part of Nigeria has the highest unemployment rate in the country.
In contrast, Anambra State is the state with the least unemployment in the country with 13.1% unemployment rate. The national average for the unemployment rate is 27.1%
Imo State has an unemployment rate of 48.7% as at the second quarter of 2020, by far the highest when compared to any other state in the country.
According to the data, 75.1% of the total employable people in the state are either underemployed or unemployed.
- Total number of employable people – 2.48 million
- Fully employed people – 618, 481
- Unemployed people in the state – 593. 347
- Underemployed – 656, 394
Imo State is largely a civil service town and has been unlucky with state governors over the last 20 years. Private sector jobs are hard to come by in the serene state with most industries setting up show in nearby cities like Aba, Port Harcourt, and Onitsha.
The city was once notorious for ritual motivated murders and kidnappings but has since overcome these challenges.
Akwa Ibom State is next on the list with an unemployment rate of 1.14 million people. The state’s underemployed population is about 551k people while the unemployment and underemployment rates combined is 66.9%.
The best: The state with the lowest unemployment rate in Nigeria is Anambra State with 13.1% out of the total working population of 2.25 million people. The state was 37 out of 37 states in the ranking of unemployment by state. About 1.9 million people in Anambra State are either fully employed (1.57 million) or under-employed (384k) in the state.
Lagos State, Nigeria’s commercial capital and where most graduates rush to for jobs currently has an unemployment rate of 19.5% and sits at 27 in the state by state unemployment ladder. The data shows about 6.8 million people make up the labour force population in Lagos State out of which 3.99 million people are fully employed and another 1.5 million people are underemployed. About 870k Lagosians who are employable did absolutely nothing.
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Concentration: In terms of the concentration of unemployed people, Rivers State came first with a whopping 1.7 million people out of jobs in the state. The state as a working population of 3.9 million. Rivers State unemployment rate is 43.7 and ranks third as the worst. 21.7 million Nigerians are unemployed.
Lagos State had the most employed persona with about 3.99 million people out of a total of 35.5 million.
Nigeria’s unemployment rate jumps to 27.1% as at 2020 Q2
Nigeria’s unemployment rate as at the second quarter of 2020 is 27.1% meaning about 21.7 million Nigerians remain unemployed.
Nigeria’s unemployment rate as at the second quarter of 2020 is 27.1% indicating that about 21,764,614 (21.7 million) Nigerians remain unemployed.
Nigeria’s unemployment and underemployment rate (28.6%) is a combined 55.7%. This means the total number of Nigerians who are unemployed or underemployed as at 2020 Q2.
This is contained in a recently released unemployment data report published by the National Bureau of Statistics. Nigeria’s unemployment rate was 23.1% in Q3 2018 confirming it increased by 4% points between then and the second quarter of 2020.
- The number of persons in the economically active or working-age population (15 – 64 years of age) during the reference period of the survey, Q2, 2020 was 116,871,186.
- The number of persons in the labour force (i.e. people within ages 15 -64, who are able and willing to work) was estimated to be 80,291,894. This was 11.3% less than the number persons in Q3, 2018. Of this number, those within the age bracket of 25-34 were highest, with 23,328,460 or 29.1% of the labour force.
- The total number of people in employment (i.e. people with jobs) during the reference period was dwellers, it rose to 31.5% from 22.8%, while the rate among urban dwellers rose to 23.2% from 58,527,276.
- Of this number, 35,585,274 were full-time employed (i.e. worked 40+ hours per week), while 22,942,003 were under-employed (i.e. working between 20-29 hours per week). This figure is 15.8% less than the people in employment in Q3, 2020
- The unemployment rate during the reference period, Q2, 2020 was 27.1%, up from the 23.1% recorded in Q3, 2018. The underemployment rate increased from 20.1% in Q3, 2018 to 28.6%.
- For the period under review, Q2, 2020, the unemployment rate among young people (15-34years) was 34.9%, up from 29.7%, while the rate of underemployment for the same age group rose to 28.2% from 25.7% in Q3, 2018. These rates were the highest when compared to other age groupings.
The data is coming after nearly two years when the last data was published. The bureau last published jobs data in the third quarter of 2018 citing funding as a major challenge.
- Nigeria’s youth remain the hardest hit by unemployment with over 13.9 million people aged between 15 and 34 years unemployed.
- The data also shows 7.6 million of this subset did nothing.
- Women also continue to bear the brunch of bad economy with about 12.2 million out of jobs from the 27 million currently unemployed.
- Graduates and post graduates combined made up about 2.9 million of the total Nigerians that are unemployed.
- In a surpising data, out of the 35.5 million Nigerians that are fully employed, 28.8 million of them never attended school (6.29 million) or did not have a tertiary education (22.5).
- In fact, most fully employed people in Nigeria with SSS (Senior Secondary School certificates) are a whopping 13.2 million.
COVID-19: Nigeria, 6 other African countries to start antibodies tests next week
These countries are the first set of countries to commit to the testing.
Nigeria and 6 other African countries will start conducting coronavirus antibodies tests as early as next week, as part of efforts to understand the extent of the outbreak on the continent.
Apart from Nigeria, the other African countries that will benefit from this include Sierra Leone, Zambia, Zimbabwe, Cameroon, and Morocco.
While making the disclosure in Addis Ababa, the head of the African Centres for Disease Control and Prevention, John Nkengasong, said that these countries are the first set of countries to commit to it.
Western countries have been using antibody tests to discover how many of their citizens have been infected by the coronavirus disease, with the expectation that will help them reopen their economies.
This new development is coming some days after the Nigerian Government started negotiations with prospective COVID-19 vaccine distributors to the country ahead of their availability.
The Vice President, Yemi Osinbajo, who kick-started the negotiation on behalf of the Federal Government, in a virtual meeting with representatives of the vaccine candidate, told the co-discussants that Nigeria must be given priority when COVID-19 vaccine is ready for distribution.
Nkengasong said that Africa has so far conducted 9.4 million coronavirus tests, a 10% increase over last week. These tests show whether people currently have the coronavirus disease.
Experts said that the low levels of testing in many countries mean that Africa’s infection rates could be higher than being reported.
He said that 25 African countries still have full border closures, with 23 imposing tests at entry points. He also stressed on the need to harmonize border testing and recognize certificates in order to facilitate travel.