Pilgrims received ₦1.6m each from FG's ₦90b fund — NAHCON Chair

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The National Hajj Commission of Nigeria (NAHCON) has explained how the quick intervention of the Federal Government neutralised initial challenges that almost crippled the participation of Nigerians in the 2024 Hajj exercise.

Chairman of the Commission, Ahmad Arabi, while addressing a world Press conference on Wednesday, said each pilgrim was supported with ₦1,637,369.87 from the intervention, except for pilgrims under the Hajj Savings Scheme (HSS) and those from private tours.

The Guardian reports that President Bola Tinubu had released N90 billion to mitigate the spike in the exchange rate of naira to dollar following the floating of the naira, which heightened the Hajj fare at the nip of preparation.

It should also be recalled that Nigerian pilgrims were issued a four-day ultimatum to settle an additional N1.9 million to add to the N4.6 million initial deposit as the total Hajj fare for the just concluded exercise.

Addressing a world press briefing in Abuja, Arabi explained that the 2024 exercise was a huge success despite unforeseen hiccups that were later surmounted.

Arabi disclosed that the initial predicament the commission had to contend with was the late remittance of deposits and subsequent pressure from stakeholders, including state governors and prominent individuals.

The NAHCON boss explained that the situation eventually affected the early plan of the commission before the eventual fluctuation in the exchange rate between naira and dollar spiked the fare.

“After successful inspection and negotiation of the cost of service delivery for the intending pilgrims to the 2024 Hajj, the Hajj fare was totaled to cost $5,692.25, a reduction from the 2023 Hajj fare of $6,401.31 at the exchange rate of N456.00. The first challenge we encountered during the early stages was the slow remittance of Hajj fares by pilgrims.

“Recall that by the final deadline of 12th February 2024, the unforeseen spike in foreign exchange rates had totally complicated matters, necessitating a fresh adjustment of the year’s Hajj fare from the initially announced N4.9m.

“The financial projection after the foreign exchange liberalisation was that each pilgrim would have to top up about ₦3.6 million in addition to the initial payment. We are grateful to President Bola Ahmed Tinubu for his swift approval of ₦90 billion instead.”

Explaining how the commission disbursed the ₦90 billion, Mal. Arabi said each pilgrim was supported with ₦1,637,369.87 from the intervention, except for pilgrims under the Hajj Savings Scheme (HSS) and those from private tours.

“How to spread this N90 billion equitably, to such a degree that registered pilgrims would not have to pay additionally to the N4.9m, was tough. At first, the 90 billion Naira would only cater conveniently for about 18,000 intending pilgrims out of the about 50,000 duly registered persons as of 22nd March 2024.

“Subsequently, appreciation of the naira to N1,474.00 in May 2024 brought respite to our calculations as it meant a reduction from what the registered pilgrims would have to top up. NAHCON then devised a distribution strategy, which played a crucial role in ensuring that all stakeholders associated with the 2024 Hajj benefited from financial stability.

“However, new registrants were asked to pay N8,454,464.74, being exempted from the Federal Government’s intervention. It is on record that eligible officials and stakeholders from all tiers of government enjoyed the subsidy from the N90 billion,” Arabi added.

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