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MR. PRESIDENT; WITHHOLD ASSENT TO THE AMENDMENT OF THE CENTRAL BANK OF NIGERIA ACT

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MR. PRESIDENT; WITHHOLD ASSENT TO THE AMENDMENT OF THE CENTRAL BANK OF NIGERIA ACT

By: Michael Mike

Centre for Social Justices (CSJ) notes with regret the recent amendment to the Central Bank of Nigeria Act, increasing advances the CBN can grant to the Federal Government of Nigeria from 5 percent to 15 percent. The amendment contradicts best practices in fiscal responsibility and is an authorization of the Executive to create macroeconomic distortions through arbitrary and increased ways and means funding.

We recall that the extant S.38 of the CBN Act grants FGN access to ways and means financing in respect of temporary deficiency of budget revenue at such rate of interest as may be determined by CBN. The total amount of such advances outstanding shall not at any time exceed five per cent of the previous year’s actual revenue of FGN. All Advances made pursuant to this authority shall be repaid – (a) as soon as possible and shall in any event be repayable by the end of the Federal Government financial year in which they are granted and if such advances remain unpaid at the end of the year, the power of CBN to grant such further advances in any subsequent years shall not be exercisable, unless the outstanding advances have been repaid.

According to Senator Gobir said: “The very essence of this bill is to enable the federal government to meet its immediate and future obligation in the approval of the ways and means by the National Assembly and advances to the federal government by the Central Bank of Nigeria. This amendment is very consequential and it needs the support of us all. This is to enable the federal government to embark on very important projects that will inflate and rejig the economy.” However, the amendment is a misconceived route to meeting the needs and obligations of FGN and definitely cannot be the road to rejigging the economy. It will rather create new macroeconomic challenges.

Specifically, the following issues are noteworthy:

v If FGN has not been able to refund previous advances from the CBN at 5 percent of previous year’s revenue, what machinery did the amendment put in place to ensure that FGN will be in a position to repay 15 percent of previous years revenue by the end of its financial year?

v There is evidence that previous advances from the CBN were in excess of the 5 percent rule and instead of reforms to ensure conformity with fit and good practices, a leeway is provided for deepening fiscal mischief.

v Previous high levels of advances led the Executive to incur over N23trillion in ways and means which could not be repaid and had to be converted by the National Assembly to long term indebtedness contrary to the provisions of the CBN Act.

v S. 38 (1) of the CBN Act categorically states that such advance should be in respect to temporary deficiency of budget revenue and not as a means of funding the deficit budget as the Federal Government has resorted to in recent years. Over the years and in accordance with fit and good practices, ways and means has never been listed in the Appropriation Act as a source of funding the deficit.

v The option of resorting to ways and means to fund budgetary deficits further increases the already high inflation rate especially when done by printing money not backed by value. Thus, it erodes the value of the Naira, and real income; it reduces purchasing power of citizens.

v The amendment of the CBN Act did not follow due process; it was arbitrary and lacking in popular particpation. There was no opportunity of a public hearing and publicity, to give room for Nigerians to make inputs on this very crucial matter with potentials to negatively affect overall economic growth and general welfare of the people.

In the light of the foregoing, CSJ strongly appeals to President Bola Ahmed Tinubu to withhold assent to the bill. CSJ acknowledges the revenue challenges facing the nation but the implementation of this particular bill (if it becomes law) will create monumental macroeconomic challenges now and in the future.

Eze Onyekpere Sundayson Chidi
Lead Director Program Manager, Public Finance Management.

MR. PRESIDENT; WITHHOLD ASSENT TO THE AMENDMENT OF THE CENTRAL BANK OF NIGERIA ACT

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State Actors Grumble Over Operational Allowances Within the Hadin Kai Theatre.

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State Actors Grumble Over Operational Allowances Within the Hadin Kai Theatre.

By: Bodunrin Kayode

There is a quiet grumble within the ranks of the Joint Security team in the Hadin Kai theatre with an allegation that some forward operational bases are paid discriminatory allowances.

Some sources within the non military rankings who spoke with this reporter claim that their military colleagues in some forward operational bases (FOB) are actually paid higher than the rest of them by the pay masters who are supposed to release these funds.

This has actually led to a silent outcry by some of the security personnel within the ranks of the Hadin Kai theatre who have decried what they described as the unnecessary disparity between their operational allowances and that of the military.

“There has been some underground grumbling within the ranks of the uniformed personnel in the Hadin Kai theatre over allowances and I am talking about the para military and the police who are in the team in this very sector one.

” From our investigation, it has never happened before and that makes it strange and we believe it is not known to the theatre commander (TC) who we all know as a just man who wants all of us to be happy.

” And that is why we are passing this injustice through you people because you are equal partners in the battles we are fighting against our common enemy because we believe the wrong will be reversed as soon as he gets to hear.

“At our own FOB for now, I can say the drilling for crude oil has stopped but we are pinning the ground against the criminals. And I must tell you, the main challenges here is water we don’t have enough water and the food served is not that good.

“we have only been allocated two bags of water for one week in this hot weather and the allowance given is 31,000 naira while the military is 45,000 naira sir.

“So why is there a difference in the money while both of us are working in the same assignment. Before the allowance was N45,000 and was equal to that of the Army but now they have reduced non military to N31,000 and they expect us to pay returns of 5,000 inside the same N31,000” Said the angry operative.

Operatives of operation Hadin Kai are made up mostly of the entire military, Federal Police, immigration, customs, Civil defence, custodial service, vigilante and the civilian jtf.

In spite of all these collaboration among services which includes the state security services sometimes, the war has gone on for almost 17 years with no sign of a true, seize fire, table negotiations or a total end of the hostilities between the country and non state actors.

State Actors Grumble Over Operational Allowances Within the Hadin Kai Theatre.

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Grumble within ranks in joint security team in Borno

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Grumble within ranks in joint security team in Borno

By: Bodunrin Kayode

There is a quiet grumble within the ranks of the Joint Security team in the Hadin Kai theatre with an allegation that some forward operational bases are paid discriminatory allowances.

Some sources within the non military rankings who spoke with this reporter claim that their military colleagues in some forward operational bases (FOB) are actually paid higher than the rest of them by the pay masters who are supposed to release these funds.

This has actually led to a silent outcry by some of the security personnel within the ranks of the Hadin Kai theatre who have decried what they described as the unnecessary disparity between their operational allowances and that of the military.

“There has been some underground grumbling within the ranks of the uniformed personnel in the Hadin Kai theatre over allowances and I am talking about the para military and the police who are in the team in this very sector one.

” From our investigation, it has never happened before and that makes it strange and we believe it is not known to the theatre commander (TC) who we all know as a just man who wants all of us to be happy.

” And that is why we are passing this injustice through you people because you are equal partners in the battles we are fighting against our common enemy because we believe the wrong will be reversed as soon as he gets to hear.

“At our own FOB for now, I can say the drilling for crude oil has stopped but we are pinning the ground against the criminals. And I must tell you, the main challenges here is water we don’t have enough water and the food served is not that good.

“we have only been allocated two bags of water for one week in this hot weather and the allowance given is 31,000 naira while the military is 45,000 naira sir.

“So why is there a difference in the money while both of us are working in the same assignment. Before the allowance was N45,000 and was equal to that of the Army but now they have reduced non military to N31,000 and they expect us to pay returns of 5,000 inside the same N31,000” Said the angry operative.

Operatives of operation Hadin Kai are made up mostly of the entire military, Federal Police, immigration, customs, Civil defence, custodial service, vigilante and the civilian jtf.

In spite of all these collaboration among services which includes the state security services sometimes, the war has gone on for almost 17 years with no sign of a true, seize fire, table negotiations or a total end of the hostilities between the country and non state actors.

Grumble within ranks in joint security team in Borno

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EU Commits €235 Million to Tackle Escalating Humanitarian Crises in West and Central Africa

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EU Commits €235 Million to Tackle Escalating Humanitarian Crises in West and Central Africa

By: Michael Mike

The European Commission has unveiled a €235 million humanitarian aid package aimed at addressing the deepening crises across West and Central Africa, where conflict, hunger, displacement, and climate shocks continue to devastate millions of lives.

The funding will target the region’s most vulnerable populations, including those affected by armed conflicts, food insecurity, forced displacement, and communities cut off from essential services. A significant portion—€75 million—has been earmarked for the Central Sahel, widely regarded as the epicentre of the region’s instability.

Other allocations include more than €72 million for Chad, €33 million for Nigeria, €22 million for the Central African Republic, €16.6 million for Cameroon, €4.8 million for Mauritania, and over €6 million for coastal countries. An additional €6.4 million will support region-wide humanitarian initiatives.

Announcing the intervention, Hadja Lahbib, European Commissioner for Equality, Preparedness and Crisis Management, described the situation as a convergence of multiple emergencies.

“West and Central Africa is facing a storm of humanitarian crises, driven by conflict, poverty, hunger, instability, and climate shocks,” she said, recalling firsthand encounters with displaced families during a visit to Chad.

According to Lahbib, the aid will provide critical relief, including food, clean water, healthcare, shelter, and access to education for children whose lives have been disrupted by violence and displacement.

The region’s humanitarian situation remains dire, with conflicts in the Central Sahel and the Lake Chad Basin continuing to spill across borders, intensifying instability in coastal nations and triggering widespread displacement. The ongoing crisis in Sudan has further strained resources in eastern Chad, while separate emergencies persist in north-western Nigeria, parts of Cameroon, and the Central African Republic.

The European Union reiterated its commitment to acting as a reliable humanitarian partner, emphasizing that the intervention is designed not only to save lives but also to restore dignity and hope for affected communities.

EU Commits €235 Million to Tackle Escalating Humanitarian Crises in West and Central Africa

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