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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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Northern Governors Declare Support for FG’s Plan to Restore 4 million Hectares of Degraded Land

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Northern Governors Declare Support for FG’s Plan to Restore 4 million Hectares of Degraded Land

By: Michael Mike

Governors of the 19 Northern States have declared suppprt for the Federal Government’s plan to restore 4 million hectares of degraded land in the region by 2030.

Speaking in Abuja during the endorsement and validation of the first phase of the developed catchment management plans (SCMP) by the Agro-Climatic Resilience in Semi-Arid Landscapes (ACReSAL) project
stakeholders, Gombe State Governor and Chairman of Northern Governor’s Forum, Muhammadu Inuwa Yahaya said: “Your Excellencies, ladies and gentlemen, we are pleased with the progress of the ACReSAL project in the beneficiary states, particularly its multi-sectoral approach to desertification control, landscape management, community livelihoods, resilience, and institutional strengthening.

“The ACReSAL project has contributed to creating a healthy and eco-friendly environment for human habitation through dryland management practices, which include gully stabilization, bioremediation, and afforestation activities.

“I would like to reiterate our commitment to supporting the ACReSAL project in achieving the Federal Government’s goal of restoring 4 million hectares of degraded land for broader landscape restoration by 2030.”

He added that: “As part of this initiative, we have, with the support of ACReSAL, planted over 4 million trees in Gombe State for instance over the past four years through our flagship program, Gombe Goes Green.”

Yahaya said: “On behalf of the 19 beneficiary states and the FCT, I want to express our profound gratitude to the Federal Ministries of Environment, Water Resources and Sanitation and the Ministry of Agriculture and Food Security for their technical support in the development of the Strategic Catchment Management Plans generally.

“Additionally, I would like to sincerely commend the WorldBank Task Team Leader on ACReSAL, Dr. Joy Iganya Agene, along with the Bank’s specialists and the ACReSAL National Project Coordinator, Dr. Abdulhamid Umar, and his team for facilitating the development of this vital document.”

On his part, the Minister of Environment, Mallam Balarabe Lawal, while recognising that it was the first time the Government of Nigeria will be developing Strategic Catchment Management Plans of such magnitude, said: “I must also mention that the 20no. strategic catchment management plans being bankrolled by the Federal Government would create the platform and structure into which another set of 200 micro catchment management plans from the 19 ACReSAL participating states and the FCT will dovetail into.”

He disclosed that: “These micro catchment management plans would be developed by ACReSAL at state project management units, under the guidance of the Governors of the 19 ACReSAL States and the Honourable Minister of the FCT.”

Minister of State for Agriculture and Food Security, Senator Sabi Abdullahi noted that: “Since the inception of ACReSAL, it has become a cornerstone in the ministry’s efforts to bolster the agricultural sector against climate-related challenges across communities. Within the ministry, the project has catalyzed several transformative projects, notably, the ‘Nigerian Farmers Soil Health Card Scheme’.

“Through sustainable land and water management practices, thousands of hectares of degraded land have been reclaimed, ensuring they are once again productive. The ministry has also leveraged ACReSAL to develop a climate-smart agriculture manual that will equip farmers with the tools and knowledge to adapt to changing weather patterns while maintaining productivity. The 19 northern states and FCT, home to Nigeria’s most vulnerable semi-arid regions, have been direct beneficiaries of ACReSAL’s initiatives.”

Northern Governors Declare Support for FG’s Plan to Restore 4 million Hectares of Degraded Land

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Three Key bandits Leaders, several leaders killed in a deadly rival clash in Kastina

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Three Key bandits Leaders, several leaders killed in a deadly rival clash in Kastina

By: Zagazola Makama

A deadly violent clash between rival bandit factions erupted on Tuesday in the Safana Local Government Area of Katsina State, resulting in the death of key leaders and heightened security concerns in the region.

The confrontation, involving the Yan Kambari group and followers of the late notorious bandit leader, Usman Modi Modi, led to heavy casualties and the seizure of livestock belonging to Harisu, a known associate of one of the factions.

The Yan Kambari group reportedly launched the attack on Harisu’s residence, sparking a deadly confrontation that claimed the lives of several bandit leaders, including: Nasiru Bosho, Bala Yatsa and Audu Mankare, who succumbed to gunshot injuries sustained during the clash.

Nasiru Bosho is a notorious leader of bandit operations in Safana LGA and heading the Dogon Marke Camp, who was overseeing weapons previously held by Usman Modi Modi, Bala Yatsa was known for his role in the killing of Usman Modi Modi while Audu Mankare who sustained a gunshot wound in the chest during the engagement, is believed to have succumbed to his injuries shortly after the incident.

More infighting is expected to unfold as both groups are warming up to carry out reprisal.

Three Key bandits Leaders, several leaders killed in a deadly rival clash in Kastina

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KACRAN National President commends Potikum LG Chairman

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KACRAN National President commends Potikum LG Chairman

By: Yahaya Wakili

The National President of the Kulen Allah Cattle Rearers Association of Nigeria (KACRAN), Hon. Khalil Mohammed Bello, has commended the executive chairman of the Potiskum local government area, Yobe State, Hon. Salisu Muktari, for providing herders of Potiskum local government with water points.

Hon. Khalil Bello made the commendation when he and his entourage visited the chairman in the council chamber in continuation of the association community-to-community peace sensitization campaign in the state.

“In addition to his previous excellent performances with regards to providing his pastoralists with water points, the executive chairman promised to provide more water points for Potiskum local government herders in the 2025 fiscal year,” Bello said.

The national president called on pastoralists in the Potiskum local government area and its environs to continue to live in peace with one another by avoiding the destruction of anybody’s farmlands.

According to him, the sensitization is part of the proactive measures taken by the association to prevent herder and farmer conflicts in the state and the nation in general.

He reinstated the need for harders not to destroy farmlands during the ongoing harvesting period, adding that pastoralists and farmers are partners in progress.

Hon. Khalil Mohammed Bello acknowledges the government’s commitment under the able leadership of Governor Mai Mala Buni CON towards ending the premium crises between farmers and cattle rearers in the state.

He also appreciates the warm reception and the hospitality accorded him and members of his entourage by the executive chairman of the council, Hon. Salisu Muktari, and the people of Potiskum town and its surroundings.

The National President urged the other local government executives chairmen to emulate the executive chairman of Potiskum local government, Hon. Salisu Muktari, to provide water points to herders in their respective local government areas.

Speaking earlier, the executive chairman of the Potiskum local government area, Hon. Salisu Muktari, assured the readiness of the local government council towards supporting the association to achieve its desired objectives.

The chairman pledged to construct more water points for pastoralists in the area and called on the KACRAN leadership to identify the point where the water facilities will be constructed.

KACRAN National President commends Potikum LG Chairman

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