(3 Minutes Read)
The Nigerian Federal Executive Council (FEC) approved the Economic Stabilization Bill to enhance Nigeria’s economic stability and growth. The bill, which will soon be transmitted to the National Assembly, contains key provisions to amend the Foreign Exchange Act, encouraging electronic transactions over cash to increase liquidity.
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, who disclosed this to reporters at the State House, Abuja, after the FEC meeting, which was presided over by President Bola Tinubu, the bill empowers the Central Bank to attract international funds, facilitating foreign exchange transactions and remittances to Nigeria.
Additionally, the bill proposes reforms to the Companies Income Tax Act, enabling Nigerians to provide services to foreign companies without requiring them to register in Nigeria. This move is expected to create new employment, income, and entrepreneurship opportunities.
Economic Stabilization Bill contains items that change the Foreign Exchange Act to give greater liquidity and encourage the use of electronic rather than cash means. It gives the Central Bank even greater ability to bring in and attract funds such as money from international money transfer organizations and others that want to transact foreign exchange business and in fact, remit funds to Nigeria. There’s also a proposal to amend the Companies Income Tax Act basically to allow Nigerians with the skills, the expertise, and the relevant relationships to be able to stay in Nigeria and provide services to foreign companies at home, without those companies having to come and register in Nigeria, thereby opening up a whole vista of employment opportunities, income opportunities, and entrepreneurship opportunities.
Read Also:
https://trendsnafrica.com/us-to-engage-nigeria-in-promoting-responsible-deployment-of-ai/
Minister of Finance and Coordinating Minister of the Economy, Wale Edun revealed that the Fiscal Responsibility Act will be overhauled, guiding government-owned enterprises in sharing surpluses and building reserve funds from their revenues. There are changes to the Fiscal Responsibility Act as well that affect in particular government-owned enterprises and how they are to share their surpluses and how they are to put in place reserve funds for building surpluses from their revenues, said the Minister.
