Foreign exchange crisis pushes Hajj fare to N4.9m

The volatility in the exchange rate of the Nigerian currency, the Naira, has raised the fare for the 2024 intending Muslim pilgrims from the initial N4.5 million pegged by the National Hajj Commission of Nigeria (NAHCON) to N4.9 million.

This sudden development, coming barely three days after the January 31, 2024 dateline initially set by the national Muslim pilgrims’ agency has general mixed feelings in the Muslim community across the country.

This has equally raised concern among intending pilgrims, majority of whom have yet to fully pay the N4.5 million earlier announced as the fare.

The pegging of the new fare, according to NAHCON, is due to “the volatile currency situation.”

This development is coming just as tour operators, under the aegis of the Association of Hajj and Umrah Operators of Nigeria (AHUON), have called for subsidy for intending pilgrims.

The naira plunged to a record low on Tuesday selling for 1,413 against dollar at the official foreign exchange window.

The drop of the exchange rate of the currency against the US dollar followed an adjustment in the methodology for setting the rate.

Theeditorial.ng gathered that the new hajj fare, which is about N1.6 million higher than that of last year, had earlier been pegged at N4.5 million.

The NAHCON, in a statement yesterday by its spokesperson, Fatima Sanda Usara, said intending pilgrims for the 2024 hajj from southern states were required to pay N4,899,000; those from northern states, N4,699,000 and those from Yola and Maiduguri, N4,679,000.

The commission said if it had not taken a drastic decision to consolidate the gains achieved in lowering the cost of services for hajj, the 2024 pilgrimage might have cost about N6 million.

The commission gave intending pilgrims till February 12 to make final payments, to enable it transfer the money to the service providers before the February 25 deadline set by the Kingdom of Saudi Arabia.

The statement by the commission said: “It would be recalled that the chairman of National Hajj Commission of Nigeria (NAHCON), Malam Jalal Ahmad Arabi, had initially aimed to maintain the 2024 Hajj fare at N4.5 million that was charged as initial deposit.

“The prospects had remained high until the well-known Naira crash that occurred mid-week. Regrettably, the recent instability in the Dollar exchange rate compelled a necessary adjustment despite commendable efforts by NAHCON Chairman, Jalal Ahmad Arabi to maintain cost of the year’s Hajj at the said rate.

“Chairman Arabi had actively negotiated substantial discounts with service providers in the Kingdom of Saudi Arabia in late January, striving to alleviate costs for intending pilgrims.

“However, the volatile currency situation within the week necessitated the commission to take a drastic decision to consolidate the gains achieved in lowering the cost of services for the Hajj, without which the price of 2024 Muslim pilgrimage might have shot to about N6,000,000 (six million Naira).

“Consequently, intending pilgrims from Nigeria’s Southern centre are required to pay N4,899,000 as Hajj fare; those from the Northern centre will pay N4,699,000, for the Hajj and pilgrims from Yola and Maiduguri centre will pay a fee of N4,679,000 for the 2024 Hajj.

“While expressing his regret, Chairman Arabi stated that this is the will of Allah, because the Commission, facing a tight deadline of 25th February, has limited time to explore further options to remain within the range of N4.5 million which he assiduously worked for. Consequently, NAHCON announces the feasible cost of Hajj to meet the impending remittance deadline.

“Intending pilgrims are therefore advised to balance their Hajj fare by Monday, 12th of February accordingly, to enable the commission transfer the funds before the imminent deadline.

“NAHCON assures the public of its commitment to ensuring a smooth and successful Hajj pilgrimage for all participants despite the challenges posed by foreign exchange factors. The Commission appreciates the understanding and cooperation of the Nigerian Muslim community during these times”, Ms Usara, who is Assistant Director, Public Affairs in the Commission said in the statement.

Some intending pilgrims from Kano State, who had paid the initial deposit of N4.5 million, said they would complete the payment to N4.7 million as announced by the hajj commission.

Hassan Abdullahi, who deposited N4.5 million for his mother to perform this year’s pilgrimage, said though he had hoped that the fare would remain unchanged he will pay the balance of N200,000.

“I am just hearing from you the (new) hajj fares you said NAHCON announced. Hajj is a pillar of Islam and I am determined that my mother, who is about 56 (years) now, will perform this important religious obligation. It is her first time unlike me,” he said.

Similarly, Sa’adu Na’abba said he will pay the balance before the deadline, but stressed that if the fare goes beyond N5 million, he might have a rethink.

Another intending pilgrim, Ahmadu Rufai, Abbas, said: “The hajj fare is expensive. But that is the economic reality in the country. We can only pray to God to bless us to afford this journey; but it is not easy”.

The spokesman of the Kano State Pilgrims’ Welfare Board, Suleiman Dederi, told Daily Trust that the Executive Secretary of board, Laminu Rabiu Danbaffa, will chair a management meeting over the weekend to deliberate on the new hajj fares.

He said over 2,000 intending pilgrims had deposited N4.5 million. The NAHCON had allocated 5,993 seats to the state.