A Civil Society Organisation (CSO) that monitors, reports on, and advocates workable policies for the Hajj and Umrah industry in Nigeria, Independent Hajj Reporters (IHR), has called on the Federal Government to approve a certain benchmark of dollar rates for the 2025 Hajj transactions.
The CSO made the call on Sunday in a statement signed by its national coordinator, Ibrahim Muhammad, made available to Tribune Online in Abuja, submitting that 80 percent of Hajj transactions are dollarised.
The IHR asserted that frequent fluctuation of the exchange rate and the unpredictable nature of forex trading have made it difficult to tabulate fares for the 2025 Hajj.
According to the statement, “Eighty percent of hajj transactions are dollar-based meaning that the pilgrims will pay their hajj fare in naira and thereafter it will be converted to the dollar at the official exchange rate by the Central Bank of Nigeria (CBN) before being transferred to Saudi-based service providers for hajj services.
“The frequent fluctuation of the exchange rate and the unpredictable nature of forex trading has made it difficult to tabulate the Hajj fare as at when desirable for pilgrims to be able to know the exact price of 2025 Hajj packages.”
The CSO added, “For example, the failure to peg the dollar at a fixed rate for the 2024 Hajj transactions led to the reduction of pilgrims BTA from the 500 dollars they paid for in naira equivalent as at the time of payment to the 400 dollars they received during pilgrims airlift.
“Secondly, NAHCON will find it difficult to compute the exact Hajj fare or compute dollar-based Hajj services without specific government-approved forex rates for the 2025 Hajj transactions.”
The CSO explained that the reduction of BTA during 2024 Hajj inflicted untold suffering on innocent pilgrims and pleaded with the Federal Government to approve Hajj 2025 transactions on a fixed dollar rate to allow certainty and stability in Hajj exercise in Nigeria.
IHR stated that it was aware that efforts were being made by the National Hajj Commission of Nigeria (NAHCON) leadership to pay service providers (though without details as to which services) in naira to reduce the pressure of dollars in Hajj transactions.
“It must be understood that service providers who may be paid in naira will have to take their naira to the bank for conversion to the dollar before paying for their services in their country. Such transaction should be based on a specific forex rate,” it submitted.
The CSO then appealed to the Federal Government to have a fixed dollar rate for the 2025 Hajj.
“Given the current financial difficulties and the high rise in the cost of hajj fare, we once again appeal to the Federal Government to peg the dollar to a fixed rate for hajj 2025 transactions,” IHR said
