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Nigeria’s Crude Oil Export Dips by N4.4trn in 9 Months

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Crude Oil

A sharp decline was recorded in revenue accruable to the Federal Government from the petroleum sector, as the country’s earnings from crude oil export dropped to N5.271 trillion for the nine month period, January to September 2015.

According to data obtained from the National Bureau of Statistics, NBS, the value of Nigeria’s crude oil export for the nine month period 2015, represented a decline of 45.39 per cent or N4.381 trillion when compared to crude oil export of N9.652 trillion recorded in the same period in 2014.

It also represented a decline of 55.67 per cent or N6.62 trillion when compared to total crude oil earnings of N11.891 trillion recorded in 2014.

Giving a breakdown of Nigeria’s crude oil earnings in nine-month 2015, the NBS data revealed that the country earned N1.675 trillion from crude oil export in the first quarter of 2015, N1.984 trillion and N1.611 trillion in the second and third quarters respectively.

This was in contrast to crude oil export earnings of N3.234 trillion, N3.269 trillion and N3.149 trillion for the first, second and third quarters respectively, while in the fourth quarter of 2014, the country earned N2.239 trillion from the export of the commodity in the fourth quarter of 2015.

Further breakdown of the 2015 figures showed that the country earned N505.898 billion, N591.964 billion, N577.361 billion, N698.387 billion and N668.526 billion in January, February, March, April and May respectively.

In the months of June, July, August and September, Nigeria’s crude oil export stood at N617.364 billion, N572.813 billion, N512.823 billion and N525.857 billion respectively.

Despite the sharp drop in crude oil export, the country’s fuel imports rose by 6.248 per cent or N54.6 billion to N928.459 billion in the first nine months of the year, compared to fuel imports of N878.858 billion recorded in the first nine month of 2014.

This was also in contrast to total fuel imports of N1.202 trillion recorded in the whole of 2014 and N264.853 billion recorded in 2013.

Giving a quarter-on-quarter analysis, the NBS report stated that N288.871 billion was spent on fuel imports in the first quarter of 2015, as against N237.257 billion in the same period in 2014, while in the second and third quarters of 2015, the country spent N389.258 billion and N250.329 billion respectively. This is compared to N368.554 billion and N268.047 billion recorded in the second and third quarters of 2014 respectively.

On a monthly basis, the country spent N49.2 billion, N105.974 billion, N139.237 billion and N133.794 billion on fuel imports for January, February, March, April and May 2015 respectively, while for the months of June, July, August and September, fuel imports stood at N116.227 billion, N134.141 billion, N85.452 billion and N30.737 billion respectively.

In general, the NBS said, “The total value of Nigeria’s merchandise trade at the end of the third quarter of 2015 was ¦ 4.021 trillion. This was 7.8 per cent less than ¦ 4.359 trillion, recorded in the preceding quarter. This development arose from a decrease of ¦ 320.6 billion or 12.1 per cent, in the value of exports combined with a marginal decline of ¦ 17.4 billion or 1.0 per cent, in the value of imports against the levels recorded in the preceding quarter.

Vanguard

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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Minister Reveals FG’s Plan to Toll Major Highways in Nigeria, Says it Will Boost Confidence

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lekki

The Minister of Works, David Umahi, has revealed plans by the Nigerian government to apply toll fees on major highways in the country upon full construction.

According to Umahi, who spoke during an inter-ministerial press briefing held in Abuja as part of the 64th Independence anniversary celebrations, some of the highways targeted for tolling include Lagos-Ibadan expressway, Second Niger Bridge, the Abuja-Kano road, and the Makurdi to 9th Mile route in Enugu State.

He noted that the aim of the tolling is to bring confidence in the use of the highways.

“We have the Lagos-Ibadan (expressway), we are completing it and we are tolling it,” the minister stated.

“For example, we are completing the Lagos-Ibadan, we are working on Makurdi to 9th Mile in Enugu State, we are working from Abuja to Lagos.

“These roads are going to be tolled. But, we are not just tolling them, we are bringing confidence in the use of these roads,” Umahi said.

Investors King gathered that in August, the Federal Government reopened the bidding for the Lagos-Ibadan Expressway Phase 2 project.

The development came after the Minister of Works, David Umahi rejected Julius Berger Plc’s proposal.  

This decision was announced in a statement by the Ministry of Works, following a meeting between the minister and representatives from Julius Berger Plc at the Ministry’s Headquarters in Mabushi, Abuja. 

Umahi expressed his disappointment with Julius Berger’s pricing.

He said, “One of the bypasses, which is 17.27 kilometres by two on asphalt, was awarded to Julius Berger. We changed the pavement elements to concrete, and the cost we calculated was N133 billion. Berger presented a figure almost twice our estimate, at N279 billion.”

“We disagreed with this cost during the negotiation in September 2023. We’ve decided to refer the project back to the Bureau of Public Procurement (BPP) and invite more contractors to bid because this involves public funds,” he added.

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Gates Foundation Donates $600,000 to Nigeria For Flood Victims, Agric Sector Reform 

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Bill Gates

Reprieve might be in sight for victims of the devastating flood disaster in Borno State as the Federal Government has secured a $600,000 relief fund and commitments from the Bill and Melinda Gates Foundation.

The Bill and Melinda Gates Foundation led by its head of Global Development Programme, Dr. Christopher Elias made the donation when Vice President Kashim Shettima met with the team on the sidelines of the 79th United Nations General Assembly in New York.

Explaining what the fund is meant for, the Senior Special Assistant to the Vice President on Media and Communications, Stanley Nkwocha, revealed in a statement he issued on Thursday said the money is to hasten relief efforts for victims of the devastating floods, as well as for health and agricultural sectors’ reforms.

In a statement titled ‘Nigeria secures $600,000 for flood relief, health, agric sectors’ reforms,’ Shittima noted that the Federal Government is confident in its ability to drive meaningful change and improve the lives of all Nigerians.

The Bill & Melinda Gates Foundation pledged the $600,000 for flood relief in Borno state and other health sector initiatives, with an additional $5m grant approved for Lagos Business School and partners to develop the agricultural economics of industrial cassava.

Nigeria’s Vice President, Shettima, reaffirmed the commitment of the administration of President Bola Tinubu to placing health, nutrition, and agricultural development at the forefront of the nation’s national agenda.

He assured the government’s readiness to address the pressing developmental challenges facing the country, particularly the significant malnutrition crisis.

He emphasised the Nigerian government’s dedication to integrity and effective leadership in tackling these issues, pointing out that there is an urgency in securing locations for maize production under the Telemaze programme

Promising swift action on import permits for certified seeds, the VP said food security and industrial agricultural development are key to growth.

Specifically, Shettima mentioned the Cassava Accelerator programme as one of the policies that hold immense potential for the nation’s economy.

He indicated that the government is pursuing digitisation and data exchange systems, which we believe will revolutionise public services.

Expressing firm trust and support of partners like the Gates Foundation,” Shettima assured them that the fund would be judiciously utilized to better the lives of Nigerians.

Speaking, the president of the Global Development Programme at the Gates Foundation, Dr. Christopher Elias, expressed worry about the severe flooding in Borno, reiterating the organization’s commitment to supporting Nigeria in times of crisis.

The Foundation also pledged support for Nigeria’s health sector reforms, particularly in the fight against polio.

Similarly, the president of Global Growth & Opportunity Division at the Bill & Melinda, Rodger Voorhies, detailed plans for scaling up drought-tolerant maize production and advancing the Nigeria Cassava Investment Accelerator programme.

He disclosed that a $5m grant has been approved for Lagos Business School and partners to develop the agricultural economics of industrial cassava.

He requested import permits for 5,000 metric tons of certified maize seed to build a foundation seed system in the country.

In his submission, Director of the Nigeria Country Office at the Gates Foundation, Uche Amaonwu, expressed appreciation for the ongoing partnership, particularly highlighting a $60 million investment in sector-wide programmes and collaborations on reproductive health issues.

 

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Tinubu Receives Performance Reports of Ministers, Confirms Planned Reshuffling of Cabinet

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President Bola Tinubu has confirmed that he would be reshuffling his cabinet team based on reports he had received about their performance.

While there is no specific time that the president disclosed for the rejig exercise, the presidency noted that it would be soon.

It indicated that President Tinubu was handed the reports of the activities of his ministers before making the decision that he would overhaul his team.

It added that the president has empirical evidence from performance reports he received in the past months to make some fundamental decisions on which of the ministers would be relieved of their duties.

Special Adviser to the President on Information and Strategy, Mr. Bayo Onanuga, and the Senior Special Assistant to the President on Digital/New Media, Mr. O’Tega Ogra, revealed this to State House Correspondents during a joint briefing at the Aso Rock Villa, Abuja, on Wednesday.

Onanuga said although there is no timeline for the impending reshuffle, the president has “expressed his desire” to do it.

He insisted that there is no timeline for the forthcoming exercise, adding that the President has expressed his desire to reshuffle his cabinet, and he will do it.

According to Onanuga, he is not aware whether the reshuffling would happen before before October 1 or after it but that the cabinet would be rejigged.

In his remarks, Ogra said the decision would not be arbitrary but will be based on performance reports presented by the Special Adviser to the President on Policy Coordination, Hadiza Bala-Usman. Bala-Usman also heads the Central Delivery Coordination Unit.

He said, “The President’s decision to reshuffle his cabinet is also based on empirical evidence” recalling that President Tinubu, had while speaking at the retreat for the ministers noted that they were going to have periodic reviews and the decisions that are extracted from these reviews will be used to make that final decision.

Investors King had reported that some Nigerians had been demanding the replacement of underperforming ministers in line with Tinubu’s earlier threat that he would sack those who are not performing in his team.

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