The federal government of Nigeria has announced the suspension of subsidies for Hajj payments, affecting Muslims planning to travel to Saudi Arabia for the 2025 pilgrimage. The National Hajj Commission of Nigeria (NAHCON) confirmed this development in a statement issued on Monday by spokesperson Fatima Sanda Usara.
Traditionally, government subsidies have provided pilgrims with a concessionary exchange rate, allowing them to purchase U.S. dollars at a more favorable rate from the Central Bank of Nigeria (CBN). However, Usara clarified, “There will be no concessionary exchange rate from the government for Hajj fare payment for pilgrims, whether through state or private Hajj operators.”
If the naira remains at its current exchange rate of ₦1,650 to a dollar, prospective pilgrims may need to pay nearly ₦10 million, as the cost is estimated to be at least $6,000. While NAHCON has not yet announced the official Hajj fare for 2025, State Pilgrims Welfare Boards are already requesting an initial deposit of ₦8.5 million from pilgrims.
Additionally, NAHCON stated that every Nigerian pilgrim participating in the 2023 Hajj would receive a refund of 64,682 Saudi Riyal (150 Saudi Riyal).
These updates were discussed during a meeting between NAHCON and members of the Private Tour Operators in Nigeria (PTOs) on October 7, 2024. Acting Chairman of the Commission, Prof. Abdullahi Sale Pakistan, led the virtual meeting, where he shared new developments from Saudi Arabia’s Ministry of Hajj and Umrah (MoHU) and NAHCON’s recent decisions.
It was noted that the number of approved Pilgrim Transport Operators (PTOs) has been reduced from 20 to 10, with each company required to register at least 2,000 pilgrims to qualify for Hajj visa approval. Regarding the 2022 refunds, NAHCON is still gathering additional information, but refund details for PTOs operating in Field Office 18 in 2022 have been disclosed, amounting to SR62,602 (₦26,993,224) due to insufficient meal provisions.
Furthermore, NAHCON’s EXCO has approved the option for operators to use a bank guarantee as payment of ₦40 million for the 2025 Hajj caution deposit. Any operator who wishes to switch from a cash deposit to a bank guarantee may request a refund of their earlier deposit.
In response to claims that NAHCON owes PTOs ₦17 billion from the 2024 Hajj caution deposit of ₦25 million, it was clarified that the commission only received ₦2 billion, including a rollover of ₦1 billion from the previous year. From this amount, 30 companies have requested refunds totaling ₦750 million, which have been paid, leaving ₦750 million still held by the commission for undecided PTOs.
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