• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Economy

FG blames state governors for rising poverty rate across the country

Chike Olisah by Chike Olisah
November 30, 2022
in Economy
FG blames state governors for rising poverty rate across the country

Minister of State for Budget and National Planning, Clement Agba

Share on FacebookShare on TwitterShare on Linkedin

The Federal Government has blamed the state governors for the rising poverty levels across the country.

Minister of State for Budget and National Planning Clement Agba apportioned the blame on Wednesday while briefing State House correspondents at the end of the weekly Federal Executive Council (FEC) meeting.

He also challenged state governors on the need to address the poverty among rural dwellers to make life more meaningful for them.

RelatedStories

FG sets up Tribunal for adverts offenders under ARCON Act

FG shifts population census to May

March 15, 2023
Labour party faction backs Tinubu’s inauguration, says Peter Obi’s request is illegal

Multidimensional poverty a risk to state capacity and effectiveness if not challenged – Obi

November 25, 2022

Governors abandoned villagers: While noting that 72% of the poorest people in Nigeria reside in rural communities, Agba claimed that the governors have abandoned the critical demography, preferring to spend state resources on the capital cities instead. He said:

  • “The governors are functioning in their state capitals. And a democracy that we preach about is delivering the greatest goods to the greatest number of people. And our demography shows that the greatest number of our people live in rural areas, but the governors are not working in the rural areas.
  • “Right now 70 per cent of our people live in rural areas. They produce 90 per cent of what we eat. And unfortunately, 60 per cent of what they produce is lost due to post-harvest loss and it does not get to the market.
  • “I think from the Federal Government’s side we are doing our best. But we need to say that rather than governors continuing to compete to take loans to build airports that are not necessary, where they have other airports so close to them, or governors now competing to build flyovers all over the place, we appeal that they should concentrate on building rural roads so that the farmer can at least get their products to the market.”

Nigeria’s poorest states: Agba said that Sokoto State ranked the highest on the poverty scale, followed by the oil-rich state of Bayelsa, according to the findings of a recent survey he conducted across the 109 senatorial districts nationwide.

  • “The result clearly shows that 72% of poverty is in rural areas. It also shows clearly that Sokoto State is leading in poverty with 91%. But the surprising thing is Bayelsa is the second in terms of poverty rating in the country. So, you see the issue is not about the availability of money. But it has to do with the application of money,” Agba said.

He lamented that despite the federal government’s intervention to alleviate poverty, the results have not reflected the amount of investment made in the area.

  • “In the course of working on the national development plan, we looked at previous plans and asked why they didn’t do as much as expected. We also looked at the issues of the National Social Investment Programme.
  • “At the federal level, the government is putting out so much money but not seeing so much reflection in terms of money that has been put into alleviating poverty, which is one of the reasons the government also put in place the national poverty reduction with growth strategy.
  • “But if the federal government puts the entire income that it earns into all of this without some form of complementarity from the state governments in playing their part, it will seem as if we are throwing money in the pond.”

In case you missed it: Recall that about two weeks ago, the National Bureau of Statistics (NBS) revealed that 63% of persons living in Nigeria (133 million people) are multidimensionally poor. This represents half of the population of Nigeria, 72% of whom reside in rural areas compared to 42% in urban areas.

 


Follow us for Breaking News and Market Intelligence.
Tags: Clement Agbamultidimensional poverty
Chike Olisah

Chike Olisah

Chike was a banker with over 11 years experience in retail and commercial banking, risk management, treasury portfolio management and relationship management. He also acquired some experience in financial management and do have some special interest in investment analysis and personal finance. He had stints with financial institutions like the former Intercontinental Bank and Fidelity Bank.

Related Posts

FG sets up Tribunal for adverts offenders under ARCON Act
Business News

FG shifts population census to May

March 15, 2023
Labour party faction backs Tinubu’s inauguration, says Peter Obi’s request is illegal
Economy

Multidimensional poverty a risk to state capacity and effectiveness if not challenged – Obi

November 25, 2022
Peter Obi
Economy

2023: Nigeria cannot have so many people living in poverty and not have criminality- Peter Obi

November 22, 2022
Fuel prices: Information Minister defends President Buhari's comparison of Saudi with Nigeria, FG reiterates commitment to implement reform of broadcasting code, Border to remain closed till Benin, Niger meet Nigeria's conditions, FG vows , Lai Mohammed: Nigeria’s non-oil exports increased to N2 trillion, COVID-19: FG to deploy police, army for enforcement
Politics

Border Closure: Presidential task force inspects Nigeria-Niger Border 

December 2, 2019
Nigeria signs €70 million economy pact with Germany m Nigeria borrows fresh €500m from Credit Suisse, others, to finance industrialization , FG crafts ten-year economic plan to replace ERGP 
Business News

Nigeria borrows fresh €500m from Credit Suisse, others, to finance industrialization 

November 21, 2019
FG foreign reserves Nigeria Yemi-Osinbajo, FG negotiates with Governors on bail-out fund, as NEC approves 100 billion for NLTP, bail-out fund States Governors, FG earns N28.6 trillion from VAT, others , Ease of doing Business: States must partner with Federal Government – Osinbajo , AfCFTA: Nigeria’s financial footprints to be extended across Africa – Osinbajo , FG seeks partnership with National Council of Registered Insurance Brokers, here’s why , Osinbajo says FG’s investment to take advantage of Africa’s $200bn tourism potential is massive, Pres. Buhari’s plan to tax US tech companies might provoke US trade war https://www.yemiosinbajo.ng/vps-lecture-at-the-national-defence-college-course-28-lecture-event/ https://punchng.com/digital-firms-to-pay-tax-under-new-finance-act-osinbajo-2/ https://www.nytimes.com/2020/01/31/business/economy/digital-tax-oecd.html Nigeria at risk of trade war with United States as the Nigerian Government says it will impose taxes on technology companies like Facebook, Google, and other digital companies that have been escaping tax payment in Nigeria due to their lack of presence within the country. The US has threatened tariffs on imports from countries that impose such digital taxes. The tech companies with heavy revenue footprint in Nigeria now have their backs against the wall because President Muhammadu Buhari-led administration want to tax them to grow Nigeria’s revenue; which has led to the development of the Finance Act. The Finance Act is the solution of President Buhari to the revenue problem which the Finance Minister, Ahmad Zainab, said Nigeria has. The Nigerian government is looking to grow its revenue through taxes, and one of such is the digital tax which Vice President, Yemi Osinbajo, said will commence despite the threat of the US which is aimed at protecting the silicon companies. No more back door operation: Facebook, Google, Amazon, YouTube and many more digital businesses have a sizeable market in Nigeria, but don’t have a physical structure for their operations; this has cost Nigeria tax revenue. These companies are known to prefer situating their companies in tax havens where taxes are low compared to other African and European countries. Ireland and Bermuda are some of the tax havens for these multinational companies. But according to Osinbajo, the period of making gains from their operation in Nigeria without paying tax is over. Osinbajo, while speaking at The National Defence College, Course 28 Lecture Event, said that, “Let me also briefly mention the new provisions on Taxation of Digital Economy and Non-Resident Companies. This is a very important aspect of our taxation policy. Before the Finance Act, only companies that had a physical presence or a fixed base in Nigeria could be taxed. “So, most digital companies, I mean any of the big technology companies, or multi-national digital companies, that did not have physical offices in Nigeria, made significant income from Nigeria from online activities, such as advertising, movie streaming, online gaming and e-commerce from subscribers in Nigeria, but paid no taxes whatsoever because they did not have a physical base in Nigeria. So now we are no longer relying on the fixed base or physical address criterion.” He added that, “Under the Finance Act, once you have a Significant Economic Presence (SEP) in Nigeria, you are liable to tax. Whether you are a resident here or you are not resident as a company, as long as your economic presence is significant, you are liable to tax. If you are streaming online, advertising using Google adverts, whether you are resident here or not, you are now subject to tax. “So, non-residents who previously had no fixed base and no Nigerian tax liability will now be liable to tax based on the SEP criterion. The Minister of Finance is empowered to issue a regulation defining what Significant Economic Presence means. So, she just defines the scope of what we will be looking out for in terms of Significant Economic Presence.” Osinbajo explained. Nigeria is not alone in this crusade: Nigeria is not the only country trying to tax these technology companies. The European Union have also been coming after them for taxes. The EU is also stating that if the technology companies are making economic gains through their operation despite the lack of physical presence in several European countries, then the tech conglomerates should be taxed. This has led to review of tax laws by the EU. According to a report by New York Times, new rules to tax these multinational companies are being discussed by about 130 countries through the Organization for Economic Cooperation and Development. The review has become necessary as digital economy begins to open new revenue sources. Should Nigeria tread carefully? The United States has threated to hit any country imposing taxes on the technology companies - which are mostly American – with tariffs on import. This put Nigeria at a rather impossible position, as the country is not economically strong enough to enter a trade war or go on a tit for tat battle with the US. According to Q3 report, the US is the fifth biggest export destination for Nigeria, having imported N322.2 billion (6.28%) goods from Nigeria, with crude oil constituting N329.8 billion. Although, the US is behind Ghana, India, Netherlands and Spain, it doesn’t change the significance of the US market to the Nigerian economy. Meanwhile, Nigeria’s top import sources include the U.S, accounting for N747 billion in H1 2019. Franch had moved to tax the online businesses but have now delayed the plan this year after a meeting with the US; the US has also paused its tariff threat against France. Britain is also one of the digital tax drivers. With such threat hanging over the digital tax, it’s unlikely Nigeria will go ahead taxing these technology companies, as US feels such tax is discriminatory against US firms, and have suggested these companies be allowed to decide if they want to operate with the new tax standards., FG will provide succor for daily wage earners as lockdown continues – Osinbajo
Business News

Bail-out Fund: FG negotiates with States Governors as NEC approves 100 billion for NLTP 

September 20, 2019
Next Post
FG to earn N28 billion from satellite concession deal

FG to earn N28 billion from satellite concession deal

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank
Zenth Bank








DUNS

Recent News

  • BUA Cement gains over 7% as Nigerian stock market conquers new territory 
  • Delta Assembly to engage Landlords’ Associations over proposed rent hike control Bill 
  • Troops deactivate 21 illegal refineries, apprehend 23 oil thieves in one week 

Follow us on social media:

Recent News

Weekly Stock Update: Nigerian Exchange Group record growth w-o-w, up by 0.48%

BUA Cement gains over 7% as Nigerian stock market conquers new territory 

June 13, 2025
Delta Assembly to engage Landlords’ Associations over proposed rent hike control Bill 

Delta Assembly to engage Landlords’ Associations over proposed rent hike control Bill 

June 13, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics