News
ActionAid Nigeria Responds to CBN’s Interest Rate Hike, Highlights Economic Implications and Proposes Solutions
ActionAid Nigeria Responds to CBN’s Interest Rate Hike, Highlights Economic Implications and Proposes Solutions
By: Michael Mike
ActionAid Nigeria acknowledges the Central Bank of Nigeria’s (CBN) recent decision to raise the Monetary Policy Rate (MPR) to 26.25%, as announced by Governor Yemi Cardoso during the 295th Monetary Policy Committee (MPC) meeting. This marks the third consecutive increase aimed at curbing the surging inflation, which currently stands at 33.69%.
Speaking at its head office in Abuja, ActionAid Nigeria’s Country Director, Andrew Mamedu, noted that, “While the decision to adjust the MPR demonstrates a proactive approach to achieving price and economic stability, it is important to acknowledge its broader implications. We recognise that although inflation is still rising, the month-on-month rate increase is reducing. In the other hand, the increased MPR will inevitably lead to higher borrowing costs for businesses and individuals. Small and Medium-sized Enterprises (SMEs), which are the backbone of our economy, will face heightened challenges in accessing affordable credit. This could stifle innovation, growth, and job creation within this vital sector.
For vulnerable populations, the rising cost of living and food prices, exacerbated by higher interest rates, will further strain their already limited financial resources. This becomes a case of double jeopardy of high inflation and high interest rates. As the cost of borrowing increases, so does the difficulty in securing loans for essential needs, pushing many deeper into poverty.”
To mitigate the impacts of the increase in interest rates and inflation, ActionAid Nigeria proposes that the Federal and State Governments must immediately step-up social protection programs to support the most vulnerable populations. This includes expanding food assistance initiatives, providing targeted financial aid to low-income families, and offering more support to other social sectors, including education, health, and housing.
Andrew Mamedu also reiterated that “It is only fair for the CBN to increase special credit facilities with lower interest rates for SMEs at this crucial time to ensure they can continue to operate and grow. Providing technical and financial support to these businesses will help them sustain their contributions to the economy. Additionally, not many people understand the implications of this hike in interest rates. It is very important for the CBN to collaborate with the National Orientation Agency (NOA) to engage with the public and stakeholders to explain the rationale behind these economic policies. This will foster understanding and patience and enhance transparent communication from the government to manage expectations and build trust and get the citizens to hold greedy businesses and individuals accountable from exploiting the system.
The country director concluded that the fiscal aspects of the economy need to complement the CBN’s efforts in managing monetary policy. This includes improving the ease of doing business, implementing progressive taxation, and ensuring effective budgeting and budget utilisation.
ActionAid Nigeria remains committed to working with the government, private sector, and civil society to address these challenges and promote a more inclusive and resilient economy.
ActionAid Nigeria Responds to CBN’s Interest Rate Hike, Highlights Economic Implications and Proposes Solutions
News
European Union Commits €22m to Accelerate Nigeria’s Fibre Network Under BRIDGE Project
European Union Commits €22m to Accelerate Nigeria’s Fibre Network Under BRIDGE Project
By: Michael Mike
The European Union has pledged €22 million in grant funding to support Nigeria’s large-scale fibre-optic expansion, reinforcing the Federal Government’s drive to transform the country’s digital backbone.
The grant, announced in Abuja on Wednesday, will be channelled through the European Bank for Reconstruction and Development (EBRD) and on-granted to the Federal Ministry of Communications, Innovation and Digital Economy for implementation of the government’s Project BRIDGE initiative.
The EU funding will sit alongside an €86 million loan from the EBRD’s own resources, pending final approval. The operation represents the EBRD’s first major sovereign financing in Nigeria since the country formally became a shareholder of the bank last year.
Minister of Communications, Innovation and Digital Economy, Bosun Tijjani described the agreement as a decisive step toward delivering the BRIDGE project within schedule, noting that Nigeria’s digital transformation agenda depends heavily on robust and inclusive broadband infrastructure.
He said the partnership reflects growing confidence in Nigeria’s digital roadmap and expressed optimism that 2026 would mark a year of tangible progress in cooperation between Nigeria and the EU.
EBRD President, Odile Renaud-Basso, who is on an official visit to Nigeria, said the bank was proud to collaborate with the EU to expand digital infrastructure in Africa’s largest economy. She noted that the technical cooperation embedded in the financing is structured to crowd in private capital while ensuring secure, resilient and inclusive connectivity.
EU Ambassador to Nigeria, Gautier Mignot, underscored the strategic importance of digital networks to both Nigeria and the EU, stressing the need for trusted, high-integrity infrastructure built to international standards.
Project BRIDGE aims to deploy 90,000 kilometres of fibre-optic cables nationwide through a Special Purpose Vehicle (SPV) that will be capitalised with sovereign loans and private sector participation. In addition to the EBRD financing, the Federal Government is expected to receive support from the World Bank and the African Development Bank.
The EU’s €22 million package combines technical assistance with investment support to speed up project preparation and strengthen implementation capacity. It will fund low-level design work for about 40,000 kilometres of the planned network, including route mapping, crossing surveys, digital planning, quality assurance and security risk assessments aligned with global best practices.
Officials said this groundwork would provide the SPV with a ready-to-execute blueprint, enabling immediate rollout once financing arrangements are finalised and the vehicle is established with at least 51 per cent private sector ownership.
Beyond infrastructure, the grant is expected to deepen Nigeria’s digital skills base. About 2,000 technicians will receive specialised training, while small subcontractors will gain access to pooled procurement systems and equipment subsidies designed to reduce entry barriers.
Authorities estimate that these measures could lower deployment costs by between 20 and 30 per cent, while promoting adherence to Nigerian and EU quality standards and encouraging participation of European technology suppliers in the fibre supply chain.
The intervention forms part of the EU’s broader Global Gateway strategy, which supports investments in digital infrastructure, public services and human capital development across partner countries.
For Nigeria, the partnership signals renewed international backing for its ambition to build a resilient, open-access broadband network capable of driving economic growth, innovation and digital inclusion nationwide.
European Union Commits €22m to Accelerate Nigeria’s Fibre Network Under BRIDGE Project
News
Troops repel insurgents, neutralise suspected informant in Borno
Troops repel insurgents, neutralise suspected informant in Borno
By: Zagazola Makama
Troops of Operation Hadin Kai have repelled suspected insurgents and neutralised a suspected informant during operations in Ngamdu area of Borno.
Military sources said the action followed signals intelligence indicating that suspected Boko Haram elements were massing.
At about 2:30 a.m. on Feb. 18, troops carried out a fire mission on the identified area, forcing the insurgents to disperse and abort their suspected plan.
Shortly afterward, at about 3:45 a.m., troops engaged and neutralised a suspected insurgent informant who attempted to breach the trench defensive position in Ngamdu.
Sources said the troops immediately conducted a search of the surrounding area after the encounter but made no further contact with fleeing suspects.
Troops repel insurgents, neutralise suspected informant in Borno
News
Yobe: Troops Disperse Terrorists, Arrest Five Suspected Arms Smugglers
Yobe: Troops Disperse Terrorists, Arrest Five Suspected Arms Smugglers
By: Zagazola Makama
Troops of Operation Hadin Kai have disrupted a suspected terrorist gathering and arrested five suspected arms smugglers during separate operations in Yobe State.
Security sources said that at about 6:21 p.m. on Feb. 17, troops conducted a fire mission following credible intelligence that terrorists were converging in large numbers on motorcycles at Mangari, about 10.6 kilometres from the location of the 135 Special Forces Battalion in Buratai.

The swift action forced the insurgents to disperse in disarray, effectively disrupting their suspected plans.
In a separate development, troops of the Forward Operating Base (FOB) Potiskum apprehended five suspected arms smugglers and abductors at about 4:30 a.m. on Feb. 18 at a checkpoint along the Gombe–Potiskum road.

Those arrested included a 41-year-old suspect, Baba Abare, who was found in possession of an AK-47 rifle, alongside four others identified as Idris Zakari, 33; Nasiru Aliyu, 25; Abdullahi Sulaiman, 35; and Mohammed Idris, 34, all said to be indigenes of Potiskum town.

The suspects were intercepted in two Golf Wagon vehicles bearing registration numbers Borno NGL-506XA and Kaduna DKD16-01.

They were disarmed and handed over to appropriate authorities for further investigation.
Yobe: Troops Disperse Terrorists, Arrest Five Suspected Arms Smugglers
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