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Nigeria’s debt N39.6 trillion and growing- DMO

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Nigeria’s debt N39.6 trillion and growing- DMO

Nigeria’s debt N39.6 trillion and growing- DMO

By: Michael Mike

The Debt Management Office (DMO) said on Thursday that the nation’s public debt has grown to US$95.779 billion or N39.556 trillion at the end of last year.

Director-General of DMO, Ms. Patience  Oniha during a media briefing in Abuja said the amount represents the total external and domestic debts of the federal government, 36 state governments and the Federal Capital Territory (FCT).

She noted that the comparable figure for December 31, 2020 was US$86.392 billion or N32.815 trillion.

She also disclosed that the public debt stock for December 31, 2021 includes new borrowings by the federal government and the sub-nationals, noting that for the federal government the 2021 appropriation and supplementary acts included total new borrowings (from domestic and external sources) of N5.489 trillion to part finance the deficit.

Oniha said borrowings for this purpose and disbursements by multi-lateral and bi-lateral creditors account for a significant portion of the increase in the debt stock, adding that increases were also recorded in the debt stock of the states and the FCT.

She revealed that borrowings were raised from diverse sources, primarily through the issuances of the Eurobonds, Sovereign Sukuk and FGN Bonds, which were utilized to finance capital projects and support economic recovery.

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She said: “With the total debt stock to gross domestic product (GDP) as at December 31, 2021 of 22.47%, the debt to GDP ratio still remains within Nigeria’s self-imposed limit of 40%. 

“This ratio is prudent when compared to the 55% limit advised by the World Babb and the International Monetary Fund (IMF) for countries in Nigeria’s peer group, as well as, ECOWAS Convergence Ratio of 70%.”

She however noted that the federal government is mindful of the relatively high Debt-to-Revenue Ratio and has initiated various measures to increase revenues through the Strategic Revenue Growth Initiative and the Introduction of Finance Acts since 2019.

She corrected the erroneous belief that the present administration was responsible for the rising debt profile, insisting that this was the accumulation of years of budget deficits and the need to borrow to finance the deficit budgets.

She lamented that we have not had budget surplus since way back 2010 even when the price of oil revenue was on the high.

She explained that many countries due largely to COVID-19 pandemic fell into recession and had to borrow to pull out of this, insisting that Nigeria was no exception to recession and need to get loan to finance her way to succession.

Nigeria’s debt N39.6 trillion and growing- DMO

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Boko Haram Militants Attack Geidam, Burn Vehicles, and Kill Night Watchman

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Boko Haram Militants Attack Geidam, Burn Vehicles, and Kill Night Watchman

By: Zagazola Makama

The Islamic State of the West African Province(ISWAP) launched a violent attack on Geidam town in the early hours of Saturday, leaving one person dead and causing significant damage to property.

Intelligence sources told Zagazola Makama that the attack occurred at around 3:30 a.m. when insurgents entered the town and began firing explosives at random.

During the assault, two vehicles belonging to customs officials were set ablaze. In a further act of desecration, the attackers targeted the grave of a local resident, Khalifah Ayiloma, located in Kolori Ward, setting the gravesite on fire.

The insurgents also attacked the residence of Dahiru Muhammadu, a 60-year-old night watchman who was stationed opposite the Geidam Polytechnic.

He was shot in the neck and rushed to Geidam Specialist Hospital, where he was later confirmed dead.

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ECOWAS Insists Peace and Unity Important to Success of AFCTA in West Africa

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ECOWAS Insists Peace and Unity Important to Success of AFCTA in West Africa

By: Michael Mike

The Economic Community of West African States (ECOWAS) has said peace and unity in West Africa remains important to the success of African Continental Free Trade Area (AFCTA) in the region.

Speaking at the capacity building on dispute settlement mechanisms under the AFCTA organised by ECOWAS, the Director of Trade ECOWAS commission, Kolawole Sofola said given the complexity of cross border trade and investment, effective dispute resolution mechanisms are critical for ensuring the smooth operation of AFCTA agreement and its protocols.

He said this workshop comes at a pivotal moment in our collective journey towards regional and continental integration. He added that: “As we work towards realizing the full potential of the African Continental Free Trade Area, it is clear that the mechanisms for resolving trade disputes will be a cornerstone in ensuring the success and the credibility of this landmark agreement.”

He noted that AFCFTA represents not just an opportunity, but a transformation for Africa, providing a platform for trade liberalization, economic growth and development, however, it would only succeed if the rules are adhered to and any disputes that arise are settled in a fair, efficient and transparent manner”.

He added that: “The benefits of trade agreements could be undermined, affecting investor confidence, distorting fair competition and stifling economic progress. By ensuring that disputes are addressed swiftly, we foster an environment that promotes fair trade, protects intellectual property rights, enhances innovation and ultimately contributes to the economic development of West Africa and the African continent as a whole”.

One of the organisers and facilitator at the workshop, Professor Muhammed Ladan shed light on the reason why the workshop is so important by saying “of all the 15 ECOWAS member states, only Benin Republic has signed, and that is yet to ratify, the African Continental Free Trade Area agreement and two out of 55 African member states, 54 are signatories to the African contributory agreement, and 48 are state parties through the African refugee area agreement, meaning as ECOWAS we are actually integrated into the African contributors area agreement, already by 14 out of 15 ECOWAS member states being signatories, are also parties, which means the agreement as of today are legally binding on 14 out of 15 states”.

He further explained that, “because of the AFCTA agreement itself, article one defines the regional economic communities in Africa that they are the building blocks of the African Continental Free Trade Area
agreement. And ECOWAS is one of the eight recognized regional economic communities under Article One of the agreement now, if article one recognizes by definition, that ECOWAS is one of the eight organized regional economic communities to serve as a building block for the other community area agreement and its eight protocols, then you can see the reason why we are starting actually at ECOWAS to show our functionality and viability and readiness as a truly golden block”.

He said with all the members participating in this workshop, we hope the resolution and agreement arrived at will further help to build better relationship among the members state and also foster stronger collaboration, coordination and knowledge sharing among ECOWAS Court judges, registry staff and legal officers in implementing dispute resolution mechanisms under both frameworks.

ECOWAS Insists Peace and Unity Important to Success of AFCTA in West Africa

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Prof. Ahmed Ahidjo, Now Ambassador of Peace 

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Prof. Ahmed Ahidjo, Now Ambassador of Peace 

By: Balami Lazarus 

A golden fish has no hiding place. The name Prof. Ahmed Ahidjo is a household name in hospital administration/medicine. UMTH, under the leadership of Prof. Ahidjo, is a testament to being the best teaching hospital in Nigeri in terms of healthcare services and provision of state-of-the-art medical facilities. 

Prof. Ahidjo, who was recently awarded and made Ambassador of Peace by the Universal Peace Federation (UPF), are indications of his peaceful nature and efforts. In a letter signed by the Secretary General of Nigeria, Dr. George Ikpot, in parts, it reads, ‘By your actions to date, you have demonstrated an implicit understanding of the value of peace… for your community and humanity in general.’ 

The organization further wishes to salute and commend Prof. Ahmed Ahidjo for the immense development efforts experienced by the people within and outside of Borno State’during this period of your administration’. The award certificate of the Universal Peace Federation, signed by Rev. Dr. Sun Myung Moon, Founder, recognized and declared Prof. Ahmed Ahidjo as Ambassador of Peace’.

Prof. Ahmed Ahidjo, Now Ambassador of Peace 

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