RateCaptain
  • FX Rates
  • Money Market
  • Cryptocurrency
  • Commodities
  • Corporates
  • Contact Us
No Result
View All Result
Subscribe
  • FX Rates
  • Money Market
  • Cryptocurrency
  • Commodities
  • Corporates
  • Contact Us
No Result
View All Result
RateCaptain
No Result
View All Result
Home Economy

FAAC accuses NNPC of using lower FX rate for crude oil revenue

Rate Captain by Rate Captain
January 18, 2023
in Economy
Reading Time: 2 mins read
A A
0
FAAC accuses NNPC of using lower FX rate for crude oil revenue
Share on FacebookShare on TwitterShare on WhatsappShare on Telegram

The Federation Account Allocation Committee (FAAC) has accused the Nigerian National Petroleum Company (NNPC) of using an exchange rate lower than the Central Bank of Nigeria (CBN) official rate for the sale of domestic crude oil between 2015 and 2022.

The committee said this in a report signed by Kabir. M. Mashi, chairman of its post mortem sub-committee (PSMC), this is according to TheCable.

AlsoRead

Ride-hailing Drivers in Nigeria Demand a Price Increase of 200%.

Nigeria Customs Service Modernisation Project Aims to Generate $200bn in Revenue

NNPC CEO: NNPC Utilizes Official Forex Rate, Fuel Price Unaffected by Exchange Rate Changes

The report was presented the sub-committee at FAAC’s monthly plenary meeting held on Tuesday, January 17, 2023.

What FAAC is saying

The FAAC sub-committee said it observed some underpayments of N185.45 billion to the federation account as a result of the low exchange rate applied by the NNPC.

“On the exchange rate application by NNPC on domestic crude, FIRS PSC crude and NUPRC royalty crude sale values, the sub-committee observed some under payments of N185,458,842,270.76 to the federation account as a result of NNPC using exchange rate lower than the CBN official rate on domestic crude sale for the period 2015 to 2022,” the report reads.

FAAC also said the CBN has confirmed that “NNPC did not use the rate advised” by the bank.

It added that the national oil firm has not yet responded to the matter after “several months of being given the analysis to review”.

Despite the concerns of FIRS, NUPRC and other stakeholders, NNPC Limited has continued to use a different exchange rate in remittances to the federation account till date,” the committee.

What you should know

Consequently, the FAAC sub-committee recommended that the plenary should take a decision on the appropriate exchange rate to be used by NNPC Limited on remittances to the federation account going forward to avoid underpayments to the federation account.

It also said the plenary should engage a third party forensic auditor to validate the established underpayments to the federation account by NNPC.

Meanwhile, in a related development, the FAAC sub-committee said it also observed that within the post-mandated period, the issue of non-application of mandated rates by CBN for the months of March, April, and May 2020 resulted in the underpayment to the forex equalisation account by N67. 1 billion.

The sub-committee said it had earlier submitted its report to FAAC and awaits its investigation with CBN to ascertain why mandated rates were not used in the months under reference.

Tags: accusationscrude oil revenueFAACFX ratelower rateNNPCrevenue loss
Previous Post

Bank branch fraud increased by 87.99% in the second quarter of 2022.

Next Post

Naira strengthens to N744/$1 at the parallel market

Related News

Ride-hailing Drivers in Nigeria Demand a Price Increase of 200%.

Ride-hailing Drivers in Nigeria Demand a Price Increase of 200%.

by Rate Captain
June 2, 2023
0

Ride-hailing drivers in Nigeria have united under the banner of the Amalgamated Union of App-Based Transport Workers of Nigeria (AUATWON)...

Nigeria Customs Service Modernisation Project Aims to Generate $200bn in Revenue

Nigeria Customs Service Modernisation Project Aims to Generate $200bn in Revenue

by Rate Captain
June 2, 2023
0

The Federal Government of Nigeria has set a target to generate $200 billion in revenue from the modernization project of...

NNPC CEO: NNPC Utilizes Official Forex Rate, Fuel Price Unaffected by Exchange Rate Changes

NNPC CEO: NNPC Utilizes Official Forex Rate, Fuel Price Unaffected by Exchange Rate Changes

by Rate Captain
June 1, 2023
0

The Group Chief Executive Officer of the Nigerian National Petroleum Corporation Limited (NNPCL), Mele Kyari, recently emphasized that the NNPC...

Embracing Remote and Hybrid Work to Beat Transportation Costs in Nigeria.

Embracing Remote and Hybrid Work to Beat Transportation Costs in Nigeria.

by Rate Captain
June 1, 2023
0

As fuel prices continue to rise in Nigeria, workers are increasingly seeking remote job opportunities because the surge in fuel...

Next Post

Naira strengthens to N744/$1 at the parallel market

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

US Nation’s Employers Add 339,000 Jobs in May, Defying Market Expectations.

US Nation’s Employers Add 339,000 Jobs in May, Defying Market Expectations.

June 2, 2023
Ride-hailing Drivers in Nigeria Demand a Price Increase of 200%.

Ride-hailing Drivers in Nigeria Demand a Price Increase of 200%.

June 2, 2023

Popular Story

  • Providus Bank Plc Announces Graduate Management Trainee Program 2023/2024.

    Providus Bank Plc Announces Graduate Management Trainee Program 2023/2024.

    0 shares
    Share 0 Tweet 0
  • Ride-hailing Drivers in Nigeria Demand a Price Increase of 200%.

    0 shares
    Share 0 Tweet 0
  • Telcos issue banks disconnection notice over USSD debt

    0 shares
    Share 0 Tweet 0
  • US Nation’s Employers Add 339,000 Jobs in May, Defying Market Expectations.

    0 shares
    Share 0 Tweet 0
  • Telecom Operators Blame Communications Minister for Telecom Debt Crisis

    0 shares
    Share 0 Tweet 0
RateCaptain

RateCaptain

We bring you the most accurate in new and market data. Check our landing page for details.

  • FX Rates
  • Money Market
  • Cryptocurrency
  • Commodities
  • Corporates
  • Contact Us

Copyright © 2022 RateCaptain - All rights reserved by RateCaptain.

No Result
View All Result
  • FX Rates
  • Money Market
  • Cryptocurrency
  • Commodities
  • Corporates
  • Contact Us

Copyright © 2022 RateCaptain - All rights reserved by RateCaptain.

?>