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Nigerians most exploited by telecom, energy firms – FCCPC

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Energy, fintech, and telecommunications companies generate the highest number of consumer complaints in Nigeria, the Federal Competition and Consumer Protection Commission (FCCPC) has declared.

The agency’s Executive Vice Chairman, Tunji Bello, made this known on Thursday while briefing State House correspondents at the Aso Rock Presidential Villa, Abuja. Bello said the commission had received thousands of complaints from Nigerians across these sectors and had recovered over N20bn for consumers as of March 2026.

According to him, the commission resolved more than 9,000 complaints and recovered over N10bn for consumers between March and August 2025 alone.

“Let me tell you where most complaints come from. Mostly on energy, fintech. For energy, people complain about the electricity supply, and so on. That’s where we get most complaints. And that led to recent action in Lagos against a disco. Also fintech. You know, people do a lot of transactions online, and most of them are either given unfair terms.

“Somebody has borrowed money, and then you discover that when they ask to pay back, the interest rate is outrageous. Most of them we have interrogated, and we’ve been able to resolve as many as possible,” Bello stated.

He added that the telecommunications sector and banks also account for significant complaints, noting that the commission receives about 25,000 complaints annually through various platforms. Bello said cumulative recoveries for consumers had exceeded N20bn as of March 2026, up from N10bn recorded in October 2025.

The FCCPC boss also revealed that the commission had begun monitoring petrol prices and other commodities across the country following the escalating United States-Israeli-Iran conflict in the Middle East. He said the agency deployed monitors nationwide to track price movements and prevent fuel suppliers and petrol stations from exploiting Nigerians.

“We are presently monitoring the situation as it affects prices in Nigeria and various prices. Because it’s not just petrol. Petrol has supply effects on some of the things we eat or we take on a daily basis.

“So we are monitoring. I will still want to see it as a temporary measure. But you know, the federal government under the leadership of our president has recorded massive gains in the last two years, and we don’t want to see this as something that will now begin to offset that progress,” Bello said.

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He explained that the commission was working with regulators in the petroleum sector to ensure compliance with pricing regulations.

“Whatever the fuel suppliers dictate, if the petrol stations are not complying, those are the things we are trying to monitor. If somebody has reduced N100 or N200 from it and you are still selling your own for N1,500 per litre, we should be able to ask you, ‘ Why are you doing that? So those are the things that our monitors are outside already monitoring developments,” he stated.

Bello also disclosed that the commission was collaborating with the Nigerian Upstream Petroleum Regulatory Commission to strengthen compliance oversight.

In the aviation sector, Bello said the commission would compel airlines that hiked ticket prices during the December 2025 Yuletide period to refund excess charges to passengers who were exploited.

He disclosed that investigations into price-fixing allegations involving about five or six airlines had been concluded and that the commission would soon release its final report with penalties.

“We investigated following the complaints that they fixed prices during the Christmas period. Prices of airline tickets were around N45,000 to N50,000, and suddenly became N400,000 to N500,000, from N400,000 to N670,000 during the Christmas period. So we followed up through our investigation, and we were able to conclude that it was a kind of price-fixing mechanism,” Bello said.

He added that the preliminary report had already found the airlines culpable of price exploitation. “The preliminary report already found them wanting in that regard, so the final report is going to be issued very soon.

“And what we are also considering is to look at a situation where we have to ask them to refund the excess to the passengers, which they exploited. So those are some things we are considering. By the time we come up with the final report, you will see that,” he stated.

When pressed to name the airlines involved, Bello declined but confirmed that about five or six carriers were under investigation. “I know about five or six, but I don’t want to mention names,” he said.

The commission’s action followed complaints from Nigerians who travelled during the Christmas and New Year period and were forced to pay exorbitant fares for domestic flights due to high demand and limited seat availability.

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Many travellers had taken to social media to protest the sudden spike in ticket prices, describing them as exploitative given the prevailing economic hardship. Bello said preliminary findings suggested that the airlines might have engaged in collective price-fixing, a practice prohibited under the Federal Competition and Consumer Protection Act.

Price-fixing occurs when competing businesses agree to set prices at a certain level rather than allowing market forces to determine pricing, and it is considered anti-competitive behaviour punishable under Nigerian law. Previous enforcement actions by the FCCPC have typically focused on fines and penalties payable to the government.

During the briefing, the FCCPC also addressed concerns about electricity tariff bands, with officials defending the Band A classification while acknowledging that consumers are not always receiving the promised 20 hours of daily power supply.

The Commission’s Executive Commissioner of Operations, Louis Odion, explained that the commission’s role was not price control but ensuring that consumers were not exploited through the pricing of products or services.

“We are not a price control agency, but what we try to do is to ensure that consumers are not exploited, either by way of the pricing of products or services. In the electricity sector, that is where we have most of the challenges that consumers contend with in this country,” he said.

Odion disclosed that Band A consumers, who pay higher tariffs, are entitled to at least 20 hours of electricity supply daily, while Band B consumers should receive 16 hours. He urged consumers to formally complain when they do not receive the promised hours of supply, noting that the commission operates an evidence-based system.

“A lot of times, if you go ask them, they will tell you this estate is actually on Band A, but we haven’t received any formal complaint from the estate as to the fact that this is the number of hours of electricity we are receiving. Our operational work is evidence-based. If we do not have evidence of a particular issue, we are not able to actually act on it,” he explained.

On prosecution powers, the commission’s Head of Legal Services, Chizenum Nsitem, revealed that the FCCPC had prosecuted over 25 cases since the operationalisation of the Federal Competition and Consumer Protection Act in 2019.

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“At the last count, we have over 25 cases that we have been able to prosecute, given the infractions of the provisions of the FCCPA. For the fear of being prosecuted, undertakings have complied relatively with provisions of the FCCPA,” Nsitem said.

He disclosed that the commission currently has over 30 cases pending at the Federal High Court and the FCCPC Tribunal, including five cases at the Court of Appeal where undertakings have appealed tribunal decisions.

The legal chief cited Section 20(2) of the FCCPA, which empowers legal officers to prosecute on behalf of the commission, and Section 113, which allows referral of cases to the Attorney-General of the Federation.

The FCCPC was established to protect and promote the interests and welfare of consumers, ensure that consumers’ rights are respected, and provide them with access to information to make informed choices.

Nigeria’s aviation sector has faced criticism over fluctuating ticket prices, with airlines attributing high fares to rising aviation fuel costs, foreign exchange challenges, and operational expenses.

On cement prices, Bello said the commission had set up an investigative team to probe pricing across the federation following complaints from Nigerians.

“We are already investigating the cement prices across the Federation. I don’t want to preempt that investigation. We have set up an investigative team already. They are going around at the moment. And I’m sure by the time we come out with our full report, it will be published, and everybody will see,” Bello said.

On telecommunications tariffs, Bello revealed that the FCCPC worked with the Nigerian Communications Commission last year to reduce a proposed 100 per cent tariff increase by telecom companies to 50 per cent.

“Last year, when they were going to increase the rates telecoms were charging, through our MOU with them, they consulted us. The telecom companies were going to increase by 100 per cent. We persuaded through that negotiation that no, you cannot, because of the inflation rate at that time. We were able to manage them to come down to 50 per cent,” Bello said.

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Nigerian states’ revenues rise 93%, but education spending drops — World Bank

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The World Bank says Nigeria’s 36 states recorded a 93 per cent increase in revenues between 2023 and 2025 but education received a declining share of the sector’s expenditure.

The bank disclosed this in its latest Nigeria Development Update, which examined how increased public revenues have influenced spending priorities across the federation.

The report was made available to the News Agency of Nigeria by the World Bank in Washington D.C.

According to the report, states’ aggregate revenues rose by approximately 93 per cent in real terms, while expenditure increased by 92 per cent during the period.

The report attributed the improvement partly to exchange-rate reforms, petrol subsidy removal, stronger revenue administration and increased allocations from the federation account.

It said states also benefited from refunds, settlement of longstanding federal obligations, intervention funds, and stronger Value Added Tax collections.

However, education’s share of total state expenditure declined from 14.9 per cent in 2021 to 12.1 per cent in 2025, according to the report.

Health expenditure remained broadly stable at approximately seven per cent, while social protection’s share increased from 1.4 per cent to 4.4 per cent.

The bank said capital expenditure increased significantly, accounting for 61 per cent of state spending, compared with 46 per cent previously.

Transport infrastructure recorded the largest increase, alongside substantial spending on housing, agriculture and other economic investments.

The report quoted Mathew Verghis, the World Bank Country Director for Nigeria, as saying that increased revenues provided the opportunity to improve infrastructure, education, healthcare, and water services.

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He said greater spending efficiency, accountability and improved service delivery were essential to ensuring that additional public resources benefited Nigerians.

The bank acknowledged improvements in states’ fiscal reporting, transparency and internally generated revenue.

It, however, stressed that stronger investment in human capital was necessary to translate economic reforms into sustainable employment and improved living standards.

The report also projected average economic growth of 4.4 per cent between 2026 and 2028, subject to sustained reforms and improved service delivery.

It urged federal and state authorities to ensure that increased public revenues translated into tangible improvements in Nigerians’ welfare.

NAN

Source: punchng.com

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Nigeria promotes investment without building production capacity – UNILAG don

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A professor of Comparative Political Economy at the University of Lagos, Adelaja Odukoya, has asserted that Nigeria’s economic policies promote investment without sufficiently strengthening domestic production.

Odukoya argued that the contradiction had weakened the country’s productive foundations, with policies encouraging investment and entrepreneurship while failing to create the technological capacity, productive employment and processing industries needed to drive sustainable development.

Odukoya spoke at the maiden edition of the Adeleke University Toyin Falola Annual Lecture, held on Thursday at the Performing Arts Theatre, Adeleke University, Ede.

The lecture had as its theme, “History, Power and Accumulation: Reimagining Africa in the Globally Disorderly Order.”

Odukoya identified several contradictions in the way the Nigerian state manages economic activity.

He said, “The state promotes investment without creating conditions for technological transfer. It encourages entrepreneurship without generating sufficient productive employment.

“It expands primary-product exports while leaving processing capacity undeveloped. It constructs infrastructure without establishing strong linkages with domestic production.”

According to him, the contradictions explain why increased economic activity and accumulation do not necessarily translate into development.

“Accumulation is not synonymous with development,” Odukoya stated.

He argued that genuine development should be measured by the expansion of productive, technological, institutional and human capabilities.

“A country could attract investment, export minerals and agricultural commodities and record economic activity while still failing to build the domestic industries and technological capabilities required for long-term development,” he said.

His argument was echoed by Prof Toyin Falola, who said Africa’s vast natural resources would continue to reinforce dependency unless governments developed the industrial, technological and institutional capacity to transform them into productive power.

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Falola said Africa’s resource problem was not simply one of historical exploitation, but also the continent’s failure to convert its resource endowments into power.

“The issue, however, is not just to repeat the history of exploitation. It is more important to know how Africa turns its great resources into power,” Falola said.

He argued that Africa could not afford to remain a spectator as global economic and geopolitical arrangements continued to change, stressing that resource ownership without the capacity to add value would not guarantee influence.

Falola said the continent required a combination of knowledge, government policy and industrial capacity to change its economic position.

“There must be universities that generate new knowledge; there must be governments that translate this knowledge into policies; there must be industries that add value to the continent’s natural resources,” he said.

He added that Africa needed more than improved infrastructure and stronger economies if it wanted to exercise greater influence in the global system.

“The future of the continent will require more than just better infrastructure, improved economies, and more effective political institutions,” Falola said.

Source: punchng.com

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Import waivers, insecurity end two-year agric trade surplus

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Import waivers meant to ease hunger and insecurity on farms have led to a deficit, ending a two-year run of surpluses, as Nigeria’s agricultural trade balance swung from a N740.27bn surplus in the first half of 2025 to a N56.13bn deficit in H1 2026, according to agriculture and trade experts.

Recent foreign trade data from the National Bureau of Statistics showed that agricultural exports fell by 33.28 per cent, or N985.14bn, to N1.98tn in H1 2026 from N2.96tn in H1 2025.

Agricultural imports fell by only 8.50 per cent, or N188.74bn, to N2.03tn from N2.22tn over the same period. The gap between the two movements produced a N796.40bn swing in the trade balance.

Nigeria recorded a N365.74bn deficit in H1 2023, when imports of N926.25bn far exceeded exports of N560.51bn. The balance then turned to a N194.92bn surplus in H1 2024 before it widened to N740.27bn in H1 2025.

In separate phone interviews with The PUNCH, Agribusiness experts, including the Chairman of the Lagos Chamber of Commerce and Industry’s Agricultural and Allied Group, Tunde Banjoko, explained that recent government policy led to the shift.

Banjoko said, “Some waivers were given for products like palm oil and rice, and the import tariffs were drastically reduced. It became more favourable for people to import than to patronise local producers.”

He said the waivers on food commodities hurt domestic producers, even though lower tariffs on tractors and manufacturing equipment helped them.

According to Banjoko, “The effect is that our imports will rise above our exports. Second, we will discourage local production. Thirdly, we will be reducing employment, because some factories will shut down if they are not able to compete.”

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Banjoko also said weak funding for processors compounds the problem. He said foreign direct investment flows mainly into the capital market rather than into production and processing, so local processors cannot scale.

He urged the Federal Government to speed up the Special Agro-Industrial Processing Zones programme. “We should speed up such projects where we can produce enough for our country and start exporting, not look for shortcuts by reducing prices,” Banjoko added.

Meanwhile, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, identified two major factors behind the deficit. He said the first was the Federal Government’s decision to allow some food imports to tackle runaway inflation.

Yusuf said, “The first is the decision of the government to allow for some food imports as a result of the challenges of food inflation, which at a point was getting almost completely out of hand.”

He added that insecurity worsened the supply gap and cut export capacity, stating, “Insecurity led many farmers to leave their farms. Many of them have ended up in IDP camps, and quite a number have completely abandoned farming.”

He added that farmers cannot export without output. Yusuf said, “You can only export when you have the output.”

Yusuf also said high input costs and falling produce prices have discouraged farming. He said, “Most of these inputs are imported, so the exchange rate situation has seriously affected the cost of inputs, and the prices of produce have gone down.”

He urged the Federal Government to cut the cost of fertiliser, agrochemicals, machinery and improved seedlings. He also called for a minimum guaranteed price for agricultural produce.

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Yusuf said, “The government can establish a threshold below which, if prices fall, it will give farmers some compensation. That is the way it is done in many other economies.”

Source: punchng.com

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