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UN Report: 2024 Could Errand Protracted Period of Low Growth

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UN Report: 2024 Could Errand Protracted Period of Low Growth

By: Michael Mike

A United Nations flagship economic report has raised an alarm that protracted period of low growth looms large, and could undermine progress on sustainable development.

According to the report released on Friday, weakening global trade, high borrowing costs, elevated public debt, persistently low investment, and mounting geopolitical tensions put global growth at risk.

The global economic growth is projected to slow from an estimated 2.7 per cent in 2023 to 2.4 per cent in 2024, trending below the pre-pandemic growth rate of 3.0 per cent, according to the United Nations World Economic Situation and Prospects (WESP) 2024, launched on Friday.

This latest forecast comes on the heels of global economic performance exceeding expectations in 2023. However, last year’s stronger-than-expected GDP growth masked short-term risks and structural vulnerabilities, according to the report.

The UN’s flagship economic report presents a sombre economic outlook for the near term. Persistently high interest rates, further escalation of conflicts, sluggish international trade, and increasing climate disasters, pose significant challenges to global growth.

The report stated that the prospects of a prolonged period of tighter credit conditions and higher borrowing costs present strong headwinds for a world economy saddled with debt, while in need of more investments to resuscitate growth, fight climate change and accelerate progress towards the Sustainable Development Goals (SDGs).

Reacting to the report, the United Nations Secretary- General, António Guterres, said: “2024 must be the year when we break out of this quagmire. By unlocking big, bold investments we can drive sustainable development and climate action, and put the global economy on a stronger growth path for all,” adding that:
“We must build on the progress made in the past year towards an SDG Stimulus of at least $500 billion per year in affordable long-term financing for investments in sustainable development and climate action.”

The report stated that growth in several large, developed economies, especially the United States, is projected to decelerate in 2024 given high interest rates, slowing consumer spending and weaker labour markets. The short-term growth prospects for many developing countries – particularly in East Asia, Western Asia and Latin America and the Caribbean – are also deteriorating because of tighter financial conditions, shrinking fiscal space and sluggish external demand.

Low-income and vulnerable economies are facing increasing balance-of-payments pressures and debt sustainability risks. Economic prospects for small island developing States, in particular, will be constrained by heavy debt burdens, high interest rates and increasing climate-related vulnerabilities, which threaten to undermine, and in some cases, even reverse gains made on the SDGs, according to the report.

The report further showed that global inflation is projected to decline further, from an estimated 5.7 per cent in 2023 to 3.9 per cent in 2024. Price pressures are, however, still elevated in many countries and any further escalation of geopolitical conflicts risks renewed increases in inflation.

In about a quarter of all developing countries, annual inflation is projected to exceed 10 per cent in 2024, the report highlighted, showing that since January 2021, consumer prices in developing economies have increased by a cumulative 21.1 per cent, significantly eroding the economic gains made following the COVID-19 recovery. Amid supply-side disruptions, conflicts and extreme weather events, local food price inflation remained high in many developing economies, disproportionately affecting the poorest households.

“Persistently high inflation has further set back progress in poverty eradication, with especially severe impacts in the least developed countries,” said United Nations Under- Secretary-General for Economic and Social Affairs, Li Junhua,.

He said: “It is absolutely imperative that we strengthen global cooperation and the multilateral trading system, reform development finance, address debt challenges and scale up climate financing to help vulnerable countries accelerate towards a path of sustainable and inclusive growth.”

According to the report, the global labour markets have seen an uneven recovery from the pandemic crisis. In developed economies, labour markets have remained resilient despite a slowdown in growth. However, in many developing countries, particularly in Western Asia and Africa, key employment indicators, including unemployment rates, are yet to return to pre- pandemic levels. The global gender employment gap remains high, and gender pay gaps not only persist but have even widened in some occupations.
Stronger international cooperation needed to stimulate growth and promote green transition.

It advised that Governments will need to avoid self-defeating fiscal consolidations and expand fiscal support to stimulate growth at a time when global monetary conditions will remain tight, adding that Central banks around the world continue to face difficult trade-offs in striking a balance between inflation, growth and financial stability objectives. Developing country central banks, in particular, will need to deploy a broad range of macroeconomic and macroprudential policy tools to minimize the adverse spillover effects of monetary tightening in developed economies.

Furthermore, the report emphasized that robust and effective global cooperation initiatives are urgently needed to avoid debt crises and provide adequate financing to developing countries. Low-income countries and middle-income countries with vulnerable fiscal situations need debt relief and debt restructuring to avoid a protracted cycle of weak investment, slow growth and high debt-servicing burdens.

It added that in addition, global climate finance must be massively scaled up. Reducing – and eventually eliminating – fossil fuel subsidies, following through on international financing commitments, such as the $100 billion pledge to support developing countries, and promoting technology transfer are critical for strengthening climate action worldwide. It also underscores the ever- increasing role of industrial policies to bolster innovation and productive capacity, build resilience and accelerate a green transition.

UN Report: 2024 Could Errand Protracted Period of Low Growth

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3 bandits, 11 community guards killed in bloody clash in Katsina

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3 bandits, 11 community guards killed in bloody clash in Katsina

By: Zagazola Makama

No fewer than three suspected bandits and 11 members of a local vigilante group have been killed in a violent clash between communities and repentant bandits in Jibia Local Government Area of Katsina State.

The incident, which occurred on Tuesday, followed the collapse of a peace arrangement between residents of Falale and Kadobe villages and a group of repentant bandits operating in the area.

Security sources told Zagazola Makama that the confrontation began at about 12:00 p.m. when tensions escalated into a fierce exchange, leading to the killing of three of the bandits.

The development, however, triggered a swift reprisal attack by the armed group, resulting in the deaths of 11 vigilante members drawn from the affected communities.

The Katsina State Police Command confirmed the incident, noting that security operatives were immediately deployed to the scene upon receipt of the report.

Similarly, a joint teams of the troops of Operation FANSAN YANMA, police and other security agencies engaged community leaders and stakeholders to de-escalate the situation and prevent further violence.

“Normalcy has been restored in the area, while investigation into the incident has commenced,” the sources said.

The clash is believed to be linked to a breakdown in trust between the communities and the repentant bandits, amid ongoing efforts by the state government to explore non-kinetic approaches to addressing insecurity in parts of the state.

Residents said the situation remains tense, although security presence has been reinforced to forestall further attacks.

3 bandits, 11 community guards killed in bloody clash in Katsina

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Nigerian Military eliminate 61 terrorists in Malam Fatori, Borno

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Nigerian Military eliminate 61 terrorists in Malam Fatori, Borno

By: Zagazola Makama

The Nigerian Army troops of Operation Hadin Kai (OPHK), in close coordination with, The Nigerian Air Force (NAF), has neutralised no fewer than 61 ISWAP terrorists during a foiled infiltration attempt in Malam Fatori, Abadam Local Government Area of Borno.

Sources involved in the operation disclosed that the terrorists launched the attack in the early hours of Wednesday, advancing on foot and deploying armed drones in a desperate bid to breach the defences of troops at the 68 Battalion location.

The sources told Zagazola Makama that the attack, which came through the frontage of Bravo Company from the Duguri general area, was met with overwhelming firepower and superior coordination between ground forces and air components.

The sources explained that troops, supported by precision air strikes, engaged the insurgents in a fierce battle that resulted in heavy casualties on the side of the terrorists.

According to him, the integration of air and ground manoeuvre ensured that the terrorists were fixed, targeted and neutralised in large numbers.

“Our forces executed four highly effective air interdiction strikes on identified enemy concentrations, decimating their fighting capability. The synergy between air and land forces denied the terrorists freedom of movement and forced a disorderly withdrawal towards the Arege general area after suffering heavy casualties,” he said

The sources noted that additional strike support from allied Nigerien air assets further compounded the pressure on the fleeing insurgents, although battle damage assessment from those strikes was still ongoing.

“The allied forces from neighbouring Niger Republic also conducted rapid strike passes in support of the operation, thereby compounding the pressure on the fleeing insurgents.

“On own casualties, the officer confirmed that four soldiers sustained minor injuries during the engagement and have since been stabilised.

Nigerian Military eliminate 61 terrorists in Malam Fatori, Borno

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VP Shettima Mourns Borno Terror Attack Victims, Says No Religion Endorses Killing Of Innocent Lives

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VP Shettima Mourns Borno Terror Attack Victims, Says No Religion Endorses Killing Of Innocent Lives

By: Our Reporter

Ahead of his trip to Maiduguri, the Borno State capital, Vice President Kashim Shettima , has expressed grief over the death of 25 persons killed in the multiple explosions in different locations across Maiduguri, the Borno State capital on Monday.

He pointed out that no religion sanctions the killing of innocent lives, as the sanctity of human life remains a core tenet of major world faiths.

VP Shettima, who spoke on Tuesday during the closing of the Annual Ramadan Tafsir at the State House Mosque, Abuja, prayed Almighty Allah to grant the souls of those killed in the terror attack in Maiduguri eternal rest, reward them with Aljannah firdaus and give their family the fortitude to bear the irreparable loss.

Praying Almighty Allah to also vanish all agents of terror from the surface of the earth, the VP said, “May the lives of innocent souls – 25 of them – that lost their lives in Maiduguri last evening rest in peace. May Allah grant their souls eternal rest and reward them with His Aljannah firdaus, and may Allah also grant their families the fortitude to bear the irreparable losses.

“May Allah bring this madness to an end. No religion sanctions the killing of the innocent. Whatever that is motivating them, may Allah either guide them on to the right path or May Allah vanish them from the surface of the earth.”

The Vice President emphasised the need for all Nigerians to continue to pray for the country across every sector, as well as pray that the Almighty should continue to grant President Bola Ahmed Tinubu and members of his team wisdom, courage, sincerity and equity in service.

He noted that each season of Ramadan reminds Muslims of a truth that power often tries to hide from man, and that no sit is permanent, just as no office is ultimate and no human being stands above his dependence on his creator.

VP Shettima said, “In the presence of Allah, the distance between the mighty and the unknown vanishes. What remains is character, what remains is accountability, what remains is what we did with the trust placed in our hands.

“This is why gatherings such as this matters. They rescue public lives from arrogance; they retain soul to scale; they teach those entrusted with authority that the nation is not built by policy alone but by conscience; not by proclamation alone but by restraint; not by ambition alone but by fear of Allah.”

The VP called on the Muslim faithful to continue to live in the teachings and lessons of the month of Ramadan, as the final days of Ramadan begins to sleep through their fingers.

“The question before us is not whether Ramadan is ending. The question is whether its teachings will continue to live in us after the moon has changed.

“It is quite easy to cut the head when the atmosphere is charged with devotion. The harder task is to carry it into ordinary days, into the market, into the office, into the home, into the chamber of power, and into the private corners where only Allah sees what we are doing, ” he noted.

While drawing from the lessons of Ramadan, the Vice President said the holy month had thought the Muslim faithful that pity without mercy is noise and worship without service is incomplete.

“So, as we close this year’s Tafsir, let us not return to the habits that weaken our common lives; let us not go back to bitterness, to reckless speech, to indifference dressed as sophistication. A believer doesn’t spend the whole month learning only to become a captive again of anger, greed and division.

“Nigeria needs homes where children encounter good examples before good advice. Nigeria, indeed, needs leaders in every spare who understand that influence is a trust, not a license, ” VP Shettima said.

He paid growing tribute to the Chief Imam of the State House Mosque, Sheikh Abdulwaheed Suleiman Abubakar, and his lieutenant for conducting the Tafsir with wisdom, calm hearts.

Earlier, the Chief Imam prayed for sustainable peace and development of Nigerian and the success of the Tinubu administration’s policies and programmes.

The cleric emphasised the need for leaders at all levels to continue to discharge their responsibilities with the fear of Allah for the process and development of the country.

VP Shettima Mourns Borno Terror Attack Victims, Says No Religion Endorses Killing Of Innocent Lives

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