A Federal High Court sitting in Abuja has ruled that the Federal Competition and Consumer Protection Commission (FCCPC) lacks the legal authority to regulate or control prices in Nigeria's free market economy. The landmark judgment reaffirms the const… Read on blog or Reader SMALL BUSINESS INSIGHTS Read on blog or Reader Court rules FCCPC has no legal power to control prices in Nigeria's free market economy By Abiodun Abdullahi on May 10, 2025 A Federal High Court sitting in Abuja has ruled that the Federal Competition and Consumer Protection Commission (FCCPC) lacks the legal authority to regulate or control prices in Nigeria's free market economy. The landmark judgment reaffirms the constitutional right to market-driven pricing and limits regulatory overreach in commercial affairs. The ruling, delivered by Justice James Omotosho, followed a suit filed by Multichoice Nigeria, operators of DStv and GOtv, challenging the FCCPC's intervention in its subscription pricing structure. The company also sought legal protection from a separate case instituted by lawyer Festus Onifade, who had sought to block Multichoice from increasing subscription rates on its pay-TV platforms. Although the court dismissed Multichoice's suit as an abuse of court process—citing an existing similar matter between the parties—Justice Omotosho provided a definitive interpretation of the FCCPC's regulatory limits. "The power to fix prices cannot be exercised by any other person or agency except the President. If delegated, it must be by an instrument and published in the gazette," the judge stated. Citing Section 88 of the Federal Competition and Consumer Protection Act (FCCPA), the court affirmed that only the President of Nigeria may regulate prices, and even then, only under specific conditions relating to essential goods or services. Any such delegation of power must be properly documented and gazetted—a condition absent in the current case. Read also Justice Omotosho emphasized that Nigeria operates an open market economy, where businesses are constitutionally free to determine prices based on market forces. He ruled that the FCCPC's intervention in Multichoice's pricing lacked legal backing and constituted regulatory overreach. "In a free market, price controls can only apply across an industry and not be targeted at a single company—unless monopoly or dominant market power is clearly established," the judge noted. The court found no evidence presented by the FCCPC to prove that Multichoice holds a dominant market position or that its pricing was excessive or exploitative. The judge criticized the commission's approach as discriminatory, pointing out that other pay-TV operators had not faced similar actions. "The FCCPC's responsibility is to monitor and act against anti-competitive practices. It is not compulsory for Nigerians to subscribe to Multichoice's services," Justice Omotosho ruled. He further highlighted the existence of consumer choice in the pay-TV sector, reinforcing the principle of "willing buyer, willing seller" as the foundation of free enterprise. The court also aligned with an earlier ruling by the Competition and Consumer Protection Tribunal (CCPT), which dismissed a similar challenge against Multichoice. Justice Omotosho described the Tribunal's decision as "well-considered." In conclusion, the court reaffirmed that price determination in a free market must be left to competitive forces, and any attempt to restrict pricing freedom must adhere strictly to the constitutional and statutory framework.

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The International Monetary Fund (IMF) has officially confirmed that Nigeria has fully repaid the $3.4 billion emergency loan it received in April 2020 to mitigate the economic fallout from the COVID-19 pandemic. The confirmation was issued on Thursda… Read on blog or Reader SMALL BUSINESS INSIGHTS Read on blog or Reader IMF confirms Nigeria's full repayment of $3.4bn COVID-19 loan By Abiodun Abdullahi on May 10, 2025 The International Monetary Fund (IMF) has officially confirmed that Nigeria has fully repaid the $3.4 billion emergency loan it received in April 2020 to mitigate the economic fallout from the COVID-19 pandemic. The confirmation was issued on Thursday in a statement released on behalf of Mr. Christian Ebeke, IMF Resident Representative for Nigeria. According to the IMF, the final repayment was made on April 30, 2025, marking the full settlement of one of the largest emergency financing arrangements extended under the Rapid Financing Instrument (RFI) during the global crisis. "As of April 30, 2025, Nigeria has fully repaid the financial support of about US$3.4 billion it requested and received in April 2020 from the IMF under the Rapid Financing Instrument to help alleviate the impact of the COVID-19 pandemic and the sharp fall in oil prices," the IMF stated. The facility was approved at a time when Nigeria faced the dual shocks of a global health emergency and a steep collapse in international oil prices—its main source of foreign revenue. The funds were deployed to stabilize the economy, support essential fiscal spending, and provide critical healthcare and social safety nets at the peak of the crisis. While the principal loan has now been fully settled, Nigeria will continue to make annual charges on its Special Drawing Rights (SDRs)—the IMF's unit of account and international reserve asset. "Nigeria is expected to honor some additional payments in the form of Special Drawing Rights charges of about US$30 million annually," the statement added. Read also These SDR-related charges result from the difference between Nigeria's current SDR holdings and its cumulative SDR allocation. As outlined by the IMF, such charges—calculated using the weekly-adjusted SDR interest rate—will continue until Nigeria's SDR holdings (currently SDR 3,164 million or $4.3 billion) align with its cumulative allocation (SDR 4,027 million or $5.5 billion). For the 2025 fiscal year, Nigeria's total SDR charges are projected to be SDR 22.35 million, equivalent to $30.24 million, and will be paid in three installments—in May, August, and November. The conclusion of the COVID-19 loan repayment stands as a key milestone in Nigeria's debt management efforts. In 2024 alone, the country paid $1.63 billion to the IMF, covering principal obligations on the emergency loan with no additional interest or service charges recorded for that year. According to the IMF's financial data, Nigeria's total external debt servicing rose to $4.66 billion in 2024, up from $3.5 billion in 2023. Multilateral lenders accounted for 56% of this figure, with the IMF alone representing about 35% of total payments. Economic analysts have hailed the IMF's confirmation of Nigeria's full loan repayment as a positive signal to the global financial community. Amid a turbulent macroeconomic landscape shaped by high global interest rates and unstable oil revenues, Nigeria's ability to meet its debt obligations could enhance its credit standing and improve access to concessional financing in the future.

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The Federal Government's push to stabilise the naira through local crude oil and refined product sales is gaining momentum, with key milestones recorded since the policy's revival.At a high-level meeting in Abuja, chaired by Finance Minister Wale Edun… Read on blog or Reader SMALL BUSINESS INSIGHTS Read on blog or Reader FG's naira crude deal scores win as Dangote refinery restarts sales By Busola Bamidele on May 9, 2025 The Federal Government's push to stabilise the naira through local crude oil and refined product sales is gaining momentum, with key milestones recorded since the policy's revival. At a high-level meeting in Abuja, chaired by Finance Minister Wale Edun, stakeholders reviewed the latest progress. The Nigerian National Petroleum Company Limited (NNPCL) presented its crude delivery report, while the Nigerian Midstream and Downstream Petroleum Regulatory Authority detailed domestic production from the Dangote Refinery. Read also: FG's naira crude deal scores win as Dangote refinery restarts sales Abia begins statewide enumeration drive, eyes N120bn IGR FCT seeks access to natural resources fund to drive agriculture, tourism If you were given N1,000,000 today, what part of your business would you invest in first? Apply for Nigeria's 2025 creative fund and secure over $100,000 in support The meeting, which included FIRS Chairman Zacch Adedeji and Presidential Energy Adviser Olu Verheijen, reaffirmed government backing for the initiative central to President Bola Tinubu's economic plan. The policy had earlier stalled in March 2025 when Dangote Refinery suspended naira-based sales due to FX mismatch. But following leadership changes at NNPCL, the deal was revived, prompting a drop in petrol prices to N915/litre. With NNPCL now mandated to sell crude to local refineries in naira, the initiative is expected to ease pressure on the dollar, stabilise fuel prices, and boost local refining.

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