Nigeria targets $5.5bn Eurobonds sales in 3 months
According to the Debt Management Office, plans are in place for Nigeria to sell $5.5 billion of Eurobonds in the next three months to fund capital projects and replace local-currency debt. DMO Director-General Patience Oniha said in an interview held in Abuja on Wednesday that the government wants to raise $2.5 billion in October to help fund 2017’s 7.4 trillion-naira ($20.8 billion) budget, selling the remaining $3 billion before the end of the year to replace naira-denominated debt.
The National Bureau of Statistics had said on the 19th of September that Nigeria’s overall foreign debt, which includes funds from partners and the Export-Import Bank of China, stood at $15.1 billion as of June 30, while domestic debt was 14.1 trillion naira. The government wants to increase the proportion of foreign borrowing to 40 percent of total debt stock from under 30 percent currently, Oniha said. There is an almost 10% point spread between domestic and foreign borrowing costs and the restructuring debt plan will help save the government hundreds of million dollars in financing costs, Oniha said.
FG, States and LG share N637.7bn says FAAC
At the end of the monthly Federal Accounts Allocation Committee (FAAC) meeting, the Accountant General of the Federation, Mr Ahmed Idris, said that the Federal Government, state and Local Governments shared N637.704 billion this month, September. The FAAC monthly meeting was held in Abuja on Thursday 28th September, 2017.
Idris in his speech said “it is evident from the records and from what we have distributed today that the figure distributed this month is by far greater than the previous month by N169,852bn.” he further said that the sum is inclusive of Value Added Tax (VAT).
FG negotiates 40% stake on power sector
Mr. Babatunde Fashola, Minister of Power, Works and Housing, at the Lagos Chamber of Commerce and Industry (LCCI) Policy Dialogue on the power sector in Lagos, disclosed that the Federal Government was ready to negotiate offers for its 40 percent stake in the power sector. He also stated that the regulations and orders that would govern eligible customers will be out next month to ensure customers bought directly from the Generating Companies, GENCOs. Fashola said “We should also expect that the orders and regulations governing power eligible customers so that more people can get access to power will be issued in October this year. So when the regulation comes, the process of implementation for added power will start… It would enable other businesses that are not distribution companies, DISCOs, to supply metres. The core business of the DISCOs is not metre supply, their core business is distributing power but it needs metres to do so.”
Mr. Kola Adeshina, Managing Director of Egbin Power Station said the fundamental problems of the power sector stemmed from its pricing. In his words, “We are talking of industrialization but we cannot be industrialised if the cost of electricity is high. Banks are bleeding due to the level of loans they given to the power sector.’’ the stakeholders were urged to use the country’s vast gas endowment towards reducing the pricing of electricity.
NPDC projects equity production growth to 500,000 by 2020
Nigerian Petroleum Development Company (NDPC) has projected growth in its equity production from the current 180,000 barrels per day to 300,000 barrels per day in 2018, 400,000 barrels per day in 2019 and 500,000 barrels per day 2020.
Mr. Yusuf Matashi, NPDC managing director, said that the projected increase in the company’s equity production was due to the ongoing transformation in Nigerian National Petroleum Company (NNPC). Having just attained the position of the 5th largest Exploration and Production Oil Producer in Nigeria, The NPDC has greater expectations and is set to achieve the new target.
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Nassarawa declares N25bn monthly IGR target
Alhaji Usman Okposhi, Chairman, Nassarawa State Internal Revenue Service Board, has said that the target of the board is to generate N25 billion every month for the state. He further explained that the board has generated over N3 billion between January and August 2017 as internally generated revenue for the state government. He admitted that since the creation of the state 21 years ago, the state’s revenue generation has not been good.
Mr. Okposhi, on allegations that he connived with illegal tax collectors and banks to defraud the state of its share on percentage on income tax, explained that the board does not collect tax from organizations or banks directly. Such payments are rather made through a bank account with tellers and are duly documented.
700 graduates deployed as tax officers to 9 states
700 graduates have been deployed by the Voluntary Assets and Income Declaration Scheme (VIADS) as Community Tax Liaison Officers (CTLOs) to nine states of thee capital and the Federal Capital Territory (FCT). The 9 states include; Lagos, Ogun, Enugu, Edo, Cross-River, Delta, Oyo, Kaduna and Nassarawa states. The CTLOs after undergoing an intensive week-long training on taxation and customer service in Abuja were deployed to their various states of origin and charged with the responsibility of creating awareness about VAIDS scheme and taxation in general.
VIADS scheme is expected to create at least 7,500 opportunities for Nigerians as CTLOs as well as projected revenue of $1 billion.
10,000 businesses to benefit from FG’s GEEP initiative
During an interactive forum held with key stakeholders in Lokoja yesterday to review the successes and challenges of the Government Enterprise and Empowerment Programme (GEEP), the Kogi State Office of the Social Investment Programme (SIP) said that it is targeting 10,000 small scale business owners including market women to be benefactors of the Federal Government’s interest-free loan initiative under GEEP.
Mr. Adoga Ibrahim, the Focal person for the state explained that each successful beneficiary of the programme has the opportunity to access a loan of ten to fifty thousand naira depending on the nature of the business. So far, N85.5 million has been disbursed to 1,710 successful beneficiaries under GEEP in Kogi state.
Oil Producer in Nigeria, The NPDC has greater expectations and is set to achieve the new target.
Niger Govt. approves creation of Oil and Gas dept.
The Niger Government has approved the creation of a Department of Oil and Gas under the state Ministry of Mineral Resources. According to the state Commissioner for Mineral Resources, Alhaji Mudi Mohammed, the approval was given by Gov. Abubakar Bello at the weekly State Executive Council meeting. Alhaji Mudi said since the state was prospecting for oil and gas in Bida and Zungeru Basin, there was need for the creation of a department that would oversee the production process in line with the Federal Government’s mandate.
The department would be responsible for coordinating the exploration, development and deployment process to attract investors; it will also liaise with the Federal Government on the exploration and development of the oil and gas sector in the state.
CBN’s September PMI report affirms Nigeria’s exit from recession
The Purchasing Managers Index (PMI) report for September was released on Thursday by the Central Bank of Nigeria (CBN). The report indicated notable expansion in most sub-subsectors of the economy during the month, hence affirming the nation’s exit from recession. The report disclosed that the September Manufacturing PMI stood at 55.3 index points indicating a rapid expansion relative to 53.6 index points recorded in August; marking the sixth consecutive month of expansion since the last contraction in March, 2017. A composite PMI above 50 points indicates that the manufacturing/non-manufacturing economy is generally expanding, and any point below 50 indicates a contraction.
According to the report, “The new orders index grew for the sixth consecutive month at 53.5 points, while, the supplier delivery time for the sector, rose for the fourth consecutive month recording an index of 55.4 points. The employment level index in September 2017 stood at 52.8 points, indicating growth in employment level for the fifth consecutive month. While at 56.4 points, raw materials inventories index grew for the sixth consecutive month, and at a faster rate when compared to its level in August 2017”.
The composite PMI for the non-manufacturing sector for September stood at 54.9 points up from 54.1 index points recorded in August, indicating growth in Non-manufacturing PMI for the fifth consecutive month. The report further stated: “Of the 18 non-manufacturing subsectors, 15 recorded growth, with the highest subsector growths in: utilities; agriculture; health care & social assistance; finance and insurance subsectors, while the construction; management of companies; and professional, scientific & technical services sub sectors recorded contraction in the review period.”