Headlines
Unprecedented Oil Theft Affecting Nigeria’s Economy, CBN Governor Emefiele Laments
By Derrick Bangura
Mr. Godwin Emefiele, Governor of the Central Bank of Nigeria (CBN), criticized the unprecedented rate of oil theft seen in recent years, as well as its crippling effect on government revenue and reserve accumulation. This was said by Emefiele during a press conference following the Monetary Policy Committee (MPC) meeting in Abuja.
The CBN decided to keep the Monetary Policy Rate (MPR), often known as the interest rate, at 11.5 percent after the second MPC meeting in 2022, with an asymmetric corridor of +100/-700 basis points around the MPR.
But Emefiele urged the Nigerian National Petroleum Company (NNPC) to take urgent steps to ensure adequate supply of petroleum products in the country to reduce the rate of arbitrary increase in price of these petroleum products by oil marketers.
The CBN governor’s comment came a day after THISDAY reported similar concern expressed by Co-founder and former Chief Executive Officer of Seplat Energy Plc, Mr. Austin Avuru, who called for a state of emergency in the Nigerian oil and gas sector, revealing that up to 80 per cent of oil pumped in the country, particularly in the East, is stolen. Avuru spoke few days after a businessman and Chairman Heirs Holdings, Mr. Tony Elumelu, also bemoaned the worsening state of the industry, stressing that about 95 per cent of oil production does not get to the terminal. Elumelu has his oil assets in the Niger Delta.
Just about a week ago, Aiteo Eastern Exploration and Production Company (AEEPCO), operators of the Nembe Creek Trunk Line (NCTL) pipeline, threatened to exit the facility due to incessant vandalism, perennial sabotage and outright theft.
The company sated, “AEEPCO remains gravely concerned about the persistent heightened attack on our production facilities and the NCTL. These attacks appear to have escalated in intensity and effect.
“All our current efforts to sustain and increase crude production are being aggressively undermined, even wiped out by the activities of economic saboteurs whose audacity continues to be growing by the day.”
Aiteo disclosed that its NCTL had been targeted, with considerable success, for the sole and devastating objective of aiding crude theft.
The company stated that given the level of losses, occasioned by massive oil theft, it was experiencing, as joint operator of the NNPC/AITEO JV, it was now left with the unavoidable option of actualising a total exit from the NCTL.
“We are giving active and urgent consideration to this course of action because the consequences of continuing to operate in this manner now represents an existential threat to our survival,” the firm stated.
The CBN also left other monetary policy parameters unchanged, namely the Cash Reserve Ratio (CRR) at 27.5 per cent and Liquidity Ratio at 30 per cent.
MPR is the rate at which the CBN lends to commercial banks and it often determines the cost of borrowing in the economy.
The MPC also voted to maintain CRR at 27.5 per cent as well as the Liquidity Ratio at 30 per cent.
The CBN governor said six out of the 10 MPC members present voted to retain monetary parameters, adding that while loosening could trigger liquidity surfeit in the system, a tightening stance would impact the fragile recovery of the economy, reverse credit expansion and yet, fall short of taming inflation.
Emefiele, who read the committee’s communiqué, however expressed worry that whereas global oil prices had gone up, this had been compounded by shortage of supply of petroleum products.
The CBN also expressed optimism that in the medium term, the proposed take-off of the Dangote refinery this year, would help to improve the supply of petroleum products in the country.
Emefiele said the CBN remained optimistic that food prices would trend downwards in 2022 as security agencies sustain efforts to subdue the activities of bandits so as to allow farmers back to their farmers.
He said, “And now what we are saying is that if farmers are able to access their farms, do they have the wherewithal to procure the inputs, seeds, fertilizer and other inputs with which they can go back to the farm and farm? We are making all those available. And that is why we still remain reasonably optimistic that food prices would moderate in 2022.”
He said the MPC further noted with concern the effect, which the global price increase in petroleum and other products was having on all economies. He pointed out that this had resulted in imported inflation on the Nigerian economy.
The committee believed that specific actions were required to ensure that the trend did not continue, given the adverse consequences and aggressive rising price level could have on the cost of living and purchasing power of Nigerians.
Emefiele noted that before the Russia-Ukraine war, the MPC was optimistic that the moderate decline in inflation was sustainable due to the positive impact of good harvest on price levels. But it expressed worry that, whereas global prices had gone up, this had been compounded by the shortage of supply of petroleum products.
He added that the rising price of diesel had been compounded by the inadequate electricity supply, which has adversely impacted domestic prices.
The MPC, however, advised the CBN and the fiscal authorities to take specific and urgent actions to avoid many power generating stations shutdown for turn-around maintenance, resulting in the current unwarranted shutdown of generating assets.
The CBN said the committee was, nonetheless, relieved that food inflation declined marginally due to good harvest.
Emefiele added, “Although some scarcity is expected as we approach the planting season, the committee is optimistic that with the high level of strategic grain reserves of the CBN, it is relieved that food prices would remain relatively moderated.”
The committee further advised the apex bank to redouble its development finance initiatives aimed at boosting domestic food output, which would help in moderating food inflation. going forward, thereby moderating headline inflation.
On the global scene, the committee noted with concern the recent heightening of uncertainties confronting the recovery of the global economy as the Russia-Ukraine conflict and numerous sanctions against Russia, introduced a new dimension of risk to the tepid recovery of the global economy.
Among other things, the committee took into cognisance the lingering headwinds associated with the COVID-19 pandemic and global supply chain constraints, rising inflationary pressure, and more recently, the progression of an interest rate hike by the US Federal Reserve Bank and Bank of England (BOE).
Members noted that the on-going war and the resultant sanctions against Russia will continue to have a considerable impact on the global supply chain as both countries are major players in the global commodities market.
Emefiele said global financial conditions were thus, expected to tighten in the short-term as the investment horizon gradually becomes clearer, adding that this is expected to impact capital flows to emerging market economies as risk-averse portfolio investors adopt a wait-and-see approach.
He said the risks to the overall recovery of the global economy remained heightened and called for cautious policy manoeuvring to avoid a sharp downturn, such as experienced in 2020.
Providing update on the N15 trillion Infrastructure Corporation of Nigeria (Infraco), the CBN governor said the company had commenced operation in earnest, adding that it has secured about N250 billion bridged loans to finance three projects.
He told journalists, “Infraco is set up, the board is running and the MD has been appointed, asset managers have been appointed. We have currently three assets that are under finance. We’ve done bridge finance of almost about N250 billion for that purpose and the remaining sum, asset managers are going to be going into the data room to see the numbers, to determine viability of those roads…Lagos- Ibadan, Abuja-Kano-Kaduna (AKK) project as well as the second Niger Bridge which is almost completed now.
“I am sure we are only meant to complete the funding that the federal government has put into it before now. And we will do it. And the Permanent Secretary, Finance, who also is assisting at least in terms of collaboration between fiscal and monetary authority also assured that there are pipelines of infrastructure to be looked at.”
He added, “Of course, Infraco as an institution that looks at commercial viability, we will look at each of those projects, determine their commercial viability and determine particularly how would revenue be realised to repay the loans and from there it would be done.
“So I believe we are on the fast mode and 2022 would be a very aggressive year in the tenure of Infraco.”
Headlines
Adamawa Business School Hosts Workshop on New Tax Reform Law
Adamawa Business School Hosts Workshop on New Tax Reform Law
By Ibrahim Abubakar Jimeta
The Adamawa Business School (ABS) has organised a high-level training and sensitisation workshop on the New Tax Reform Law in Nigeria, aimed at enhancing understanding of recent fiscal reforms and strengthening public sector administration in Adamawa State.
The workshop, held in collaboration with the Office of the Head of the Civil Service of Adamawa State and supported by the Federal Inland Revenue Service (FIRS), brought together Permanent Secretaries, senior public servants, tax officials, and policy experts to examine the implications of the new tax framework for governance and fiscal sustainability.
Speaking during the opening session, the Co-Founder of Adamawa Business School, Mallam Jamilu Yusuf, described the workshop as a strategic intervention designed to bridge knowledge gaps and improve policy implementation within Ministries, Departments, and Agencies (MDAs).
Yusuf explained that the engagement was organised under the school’s Public Policy Support Initiative, a non-profit platform that provides research, training, and capacity development support to government institutions. He noted that Nigeria’s evolving tax landscape, driven by Finance Acts, administrative reforms, and digital innovations, requires senior public officials to be well-informed in order to translate policy into effective practice.
According to him, Permanent Secretaries and top civil servants play a crucial role in ensuring compliance and successful implementation of tax reforms at the sub-national level, stressing that inadequate understanding of tax laws often creates implementation challenges that negatively affect citizens and institutions.
He reaffirmed Adamawa Business School’s commitment to supporting the state government through policy-focused learning, dialogue, and partnerships that promote transparency, fiscal sustainability, and improved service delivery.
In his remarks, the Head of the Adamawa State Civil Service, Isa Shehu Ardo, mni, emphasised the importance of equipping senior public servants with a clear understanding of the new tax laws. He noted that Permanent Secretaries, as the most senior career officers in the public service, must fully comprehend the reforms in order to guide implementation and avoid difficulties that often arise from poor information and limited awareness.
Delivering the welcome address on behalf of the Office of the Head of Civil Service, the Permanent Secretary, Establishment and Training, Fabian S. Wambai, commended Adamawa Business School for organising the workshop as part of its corporate social responsibility.
Wambai described the new national tax law as a major reform with far-reaching implications for public finance, compliance, and economic stability. He said the workshop provided a valuable opportunity for Permanent Secretaries, as accounting officers and senior administrators, to deepen their understanding of the law and its impact on government operations and engagements with the private sector.
He urged participants to actively engage in discussions, interact with resource persons, and leverage the knowledge gained to strengthen institutional compliance, improve advisory roles to political leadership, and promote transparent and accountable governance.
The workshop featured sessions led by experienced tax professionals, focusing on the provisions of the new tax reform law, its implications for public financial management, and strategies for effective collaboration between federal and state institutions.
Participants expressed optimism that the training would enhance policy implementation, reduce administrative challenges, and contribute to a more efficient and fiscally informed public service in Adamawa State.
Headlines
Noble Ladies Champion Women’s Financial Independence at Grand Inauguration in Abuja
Women from diverse backgrounds across Nigeria and beyond gathered at the Art and Culture Auditorium, Abuja, for the inauguration and convention of the Noble Ladies Association. The event, led by the association’s Founder and “visionary and polished Queen Mother,” Mrs. Margaret Chigozie Mkpuma, was a colourful display of feminine elegance, empowerment, and ambition.
The highly anticipated gathering, attended by over 700 members and counting, reflected the association’s mission to help women realise their potential while shifting mindsets away from dependency and over-glamorization of the ‘white collar job.’ According to the group, progress can be better achieved through innovation and creativity. “When a woman is able to earn and blossom on her own she has no reason to look at herself as a second fiddle,” the association stated.
One of the association’s standout initiatives is its women-only investment platform, which currently offers a minimum entry of ₦100,000 with a return of ₦130,000 over 30 days—an interest rate of 30 percent. Some members invest as much as ₦1 million, enjoying the same return rate. Mrs. Mkpuma explained that the scheme focuses on women because “women bear the greater brunt of poverty” and the platform seeks “to offer equity in the absence of economic equality.”
Education is also central to the Noble Ladies’ mission, regardless of age. Their mantra, “start again from where you stopped,” encourages women to return to school or upgrade their skills at any stage in life. The association believes that financial stability is vital in protecting women from cultural practices that dispossess widows of their late husbands’ assets, while also enabling them to raise morally and socially grounded families.
Founded on the vision of enhancing women’s skills and achieving financial stability, the association rests on a value system that discourages pity and promotes purpose. “You have a purpose and you build on that purpose to achieve great potentials and emancipation,” Mrs. Mkpuma said.
A criminologist by training and entrepreneur by practice, she cautions against idleness while waiting for formal employment. “There are billions in the informal and non-formal sectors waiting to be made,” she said, rejecting the “new normal of begging” and urging people to “be more introspective to find their purpose in life and hold on to it.”
Mrs. Mkpuma’s management style keeps members actively engaged, focusing on vocational skills and training to prepare them for competitive markets. She is exploring “innovative integration of uncommon technologies” and is already in talks with international franchises to invest in Nigeria, with Noble Ladies as first beneficiaries.
The association’s core values include mutual respect, innovation, forward-thinking, equal opportunity, and financial emancipation. With plans underway to establish a secretariat in the heart of Abuja, the group aims to expand its impact.
The event drew high-profile guests, including former Inspector General of Police, Mike Okiro, and a host of VIPs, marking a significant milestone in the association’s drive for women’s empowerment.
Headlines
NEPZA, FCT agree to create world-class FTZ environment
The Nigeria Export Processing Zones Authority (NEPZA) has stepped in to resolve the dispute between the Federal Capital Territory Administration and the Abuja Technology Village (ATV), a licensed Free Trade Zone, over the potential revocation of the zone’s land title.
Dr. Olufemi Ogunyemi, the Managing Director of NEPZA, urged ATV operators and investors to withdraw the lawsuit filed against the FCT administration immediately to facilitate a roundtable negotiation.
Dr. Ogunyemi delivered the charge during a courtesy visit to the Minister of the Federal Capital Territory, Barrister Nyesom Wike, on Thursday in Abuja.
You will recall that the ATV operators responded to the revocation notice issued by the FCT administration with a lawsuit.
Dr. Ogunyemi stated that the continued support for the growth of the Free Trade Zones Scheme would benefit the nation’s economy and the FCT’s development, emphasizing that the FCT administration recognized the scheme’s potential to accelerate industrialisation.
Dr. Ogunyemi, also the Chief Executive Officer of NEPZA, expressed his delight at the steps taken by the FCT minister to expand the economic frontier of the FCT through the proposed Abuja City Walk (ACW) project.
Dr. Ogunyemi further explained that the Authority was preparing to assess all the 63 licensed Free Trade Zones across the country with the view to vetting their functionality and contributions to the nation’s Foreign Direct Investment and export drives.
“I have come to discuss with His Excellency, the Minister of the Federal Capital Territory on the importance of supporting the ATV to succeed while also promoting the development of the Abuja City Walk project. We must work together to achieve this for the good of our nation,” he said.
On his part, the FCT Minister reiterated his unflinching determination to work towards President Bola Ahmed Tinubu’s Renewed Hope Agenda by bringing FDI to the FCT.
“We must fulfil Mr. President’s promises regarding industrialization, trade, and investment. In this context, the FCT will collaborate with NEPZA to review the future of ATV, a zone that was sponsored and supported by the FCT administration,” Wike said.
Barrister Wike also said that efforts were underway to fast-track the industrialisation process of the territory with the construction of the Abuja City Walk.
The minister further said the Abuja City Walk project was planned to cover over 200 hectares in the Abuja Technology Village corridor along Airport Road.
According to him, the business ecosystem aimed to create a lively, mixed-use urban center with residential, commercial, retail, hospitality, medical, and institutional facilities.
He added that the ACW would turn out to be a high-definition and world-class project that would give this administration’s Renewed Hope Agenda true meaning in the North-Central Region of the country.
Barrister Wike also indicated his continued pursuit of land and property owners who failed to fulfil their obligations to the FCT in his determination to develop the territory.
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