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FG Invests N87.2bn in Fertiliser Production

Published

8 years ago

on

Agriculture
  • FG Invests N87.2bn in Fertiliser Production

The Federal Government through the Nigerian Sovereign Investment Authority, which is the agency managing the Sovereign Wealth Fund, will from next week begin the implementation of a fertiliser project that will enable the country to conserve its foreign exchange by about $1.5bn (about N458bn) in the next three years.

Details of the fertiliser project, which were made available to our correspondent on Friday in Abuja, would see the NSIA and its partners invest a total sum of $286.4m (N87.2bn) in the project for blending of one million metric tonnes of fertiliser.

The SWF, which was set up in 2013 with about $1.55bn, has three pots from which investments can be anchored.

The pots are Future Generation Fund, Infrastructure Fund, and Fiscal Stabilisation Fund.

The NSIA had allocated 20 per cent of the fund to the Stabilisation Fund; 40 per cent to the Future Generation Fund and another 40 per cent to Infrastructure Fund.

Just last week, the National Economic Council gave approval that the sum of $250m (N76.3bn) be injected as additional capital to the SWF.

The fertiliser project, it was learnt, was part of the moves by the agency to increase its investment in domestic infrastructure owing to the immense opportunities in that segment of the economy.

The objective of the project is to deliver fertiliser to farmers in time and at a reasonable price of N5,500 per 50kg bag.

This, according to the project document, is a reduction of between 30 per cent and 40 per cent from current price, with deliveries starting from next week from the blending plants in Kaduna.

This, according to the project document, will enable the Federal Government to eliminate subsidy in the fertiliser sale projected to be about N120bn based on the budgetary provision for fertiliser subsidy in 2017.

Cumulatively, about N720bn is expected to be saved through import substitution on fertiliser within the next three years of the implementation of the project and create thousands of jobs by reviving the local blending plants.

The document read in part, “The objective is to deliver fertiliser to farmers in time and at a reasonable price. The target is N5,500/50kg bag.

“For the wet season, we are targeting one million metric tonnes in five batches of 200,000 tonnes each starting in February this year.”

Speaking on the impact of the project on the economy, the Managing Director of NSIA, Mr. Uche Orji, said the country would begin to see massive harvest of agricultural produce.

He added that the agency would be taking over the Nigerian Commodities Exchange under a pre-privatisation investment arrangement, adding that this would enable the NSIA to inject about $10m into the revival of the exchange.

Orji noted that under the arrangement, the NSIA would revive the commodities exchange by adding value to its operations and making it more attractive to investors before its final privatisation by the Bureau of Public Enterprises.

He said with the taking over of the commodities exchange as well as its investment in the fertiliser plant, the agency would be attracting more investments into the agricultural sector, particularly in the area of storage facilities.

He said, “We are working with the BPE on the commodities exchange. The commodities exchange is not operational; we will invest in its operations and use it as a way of creating infrastructure for agriculture, warehouse, storage, silos and have an exchange that works.

“The privatisation of the Nigerian Commodity Exchange between the BPE and the NSIA is expected to be concluded this year at a cost of $10m.”

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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Economic Alliance: Governors Eno and Sanwo-Olu Flag Off Ibom Towers in Victoria Island

Published

1 week ago

on

October 31, 2024

By

General Economy In Nigeria's Capital

The Governor of Akwa Ibom State, Umo Eno, and his Lagos State counterpart, Babajide Sanwo-Olu, have flagged off an 18-storey Ibom Towers project in the Victoria Island area of Lagos State.

Governor Eno announced this via a post on his official X handle on Wednesday, October 30.

Speaking after the Ibom Towers project ceremony in Lagos, Governor Eno stated that the project will drive revenue growth and strengthen economic ties between Akwa Ibom and Lagos States.

Eno commended Lagos State Governor Sanwo-Olu for leading the ceremony, adding that the project is set for completion in 24 months.

He detailed that the Ibom Towers, located at Plot 868A, Bishop Aboyade Cole, Victoria Island, Lagos, will feature luxury apartments, gyms, pools, and smart building technology.

Governor Eno said, “Today, as part of our efforts to diversify Akwa Ibom’s economy, we marked the groundbreaking of the 18-story Ibom Towers in Lagos. This project, expected to be completed in 24 months, will drive substantial revenue growth and economic ties between Akwa Ibom and Lagos States.

“We are grateful to Governor Babajide Sanwo-Olu for leading the groundbreaking ceremony and to former Governors Udom Emmanuel, CON, and Obong Victor Attah for their support.

“Ibom Towers represents a bold step toward economic innovation, featuring luxury apartments, gyms, pools, and smart building technology.

“It’s designed to attract urban professionals and generate revenue through property leases and tourism, boosting GDP for both states. Thanks to everyone who joined us today, including the Oba of Oniru, HRM Oba Abdulwasiu Omogbolahan Lawal, His Eminence Ntenyin Solomon Etuk, Speaker Udeme Otong, AKICORP MD Imo-Abasi Jacob, and numerous traditional rulers for their support in bringing this vision to life. Together, we’re paving the way for a prosperous future!”

Governor Sanwo-Olu, who described the project as a symbol of inter-state collaboration, commended Umo Eno for recognizing Lagos as a prime investment opportunity.

The Lagos State Governor expressed his full support for Governor Eno and the Ibom Towers project.

He said, “Today, I joined Governor Umo Eno of Akwa Ibom State for the groundbreaking ceremony of Ibom Towers in Victoria Island, Lagos.

“I commend Governor Eno for recognizing Lagos as a prime investment opportunity, as this project is a symbol of inter-state collaboration. It represents not only physical growth but also our commitment to strengthening economic ties and fostering new opportunities.

“As Ibom Tower rises, it will serve as a beacon for business and community engagement, reflecting our shared vision for Nigeria’s growth through creativity and collaboration.

“On behalf of Lagos State, I extend our support to Governor Eno and all involved in this endeavor.”

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FG Warns Property Owners: Settle Ground Rent in 60 Days or Lose Certificates of Occupancy

Published

2 weeks ago

on

October 24, 2024

By

Housing - Investors King

The Federal Ministry of Housing and Urban Development has announced plans to revoke the Certificates of Occupancy (C of O) of property owners who continue to refuse payment of ground rent and other statutory charges owed to the Ministry.

This development was disclosed by the Minister of Housing and Urban Development, Ahmed Dangiwa, during the 29th Conference of Directors of Lands held in Abuja on Wednesday.

Dangiwa stated that the Federal Government is giving C of O holders a 60-day ultimatum to clear their outstanding debts.

At the conference, themed “Equitable Land Stewardship: Challenges of Land Administration and Its Impact on Climate Change and Community Rights,” Dangiwa revealed that property owners’ refusal to pay their dues has resulted in a loss of trillions of naira in revenue for the government.

According to him, President Bola Tinubu’s administration will not tolerate non-compliance, as the revenue is critical to delivering on the president’s agenda.

He said, “The Federal Ministry of Housing and Urban Development is aware that several owners of titled properties have failed to pay ground rent and other statutory charges to the Ministry for several years.

“This non-compliance has resulted in the loss of trillions of naira in revenue to the Federal Government. Under the Renewed Hope Agenda of His Excellency, President Bola Ahmed Tinubu, this cannot be tolerated, as this revenue is much needed to deliver the Renewed Hope Agenda.”

“As such all Federal C of O title owners are hereby given a 60-day notice to settle all outstanding ground rent and statutory charges. Failure to make payment within this period will result in the revocation of their C of Os.”

“Failure to adhere to these requirements will attract the appropriate penalties and sanctions,” Dangiwa warned.

The announcement comes amidst the economic hardship ravaging the country as a result of the fuel subsidy removal of President Bola Tinubu government’s.

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Deji Adeleke Boasts of Generating 15% of Nigeria’s Electricity, to Unveil $2bn Worth of Power Plant Next Year

Published

3 weeks ago

on

October 16, 2024

By

power project

A billionaire businessman and father of popular music star David Adeleke, also known as Davido, Dr. Adedeji Adeleke has disclosed that he has a firm that generates about 15 per cent of Nigeria’s electricity.

He disclosed this while speaking at the Seventh-Day Adventist Church’s General Conference Annual Council 2024.

Adeleke revealed that he is in the process of constructing a 1,250-megawatt power plant worth $2billion, saying that upon completion, is expected to be the largest in the country and that it would be operational in January, 2025.

He said as a businessman in electricity, he owns power plants and generate presently about 15 percent of the electricity needs of Nigeria.

The elder brother of the Osun State Governor, Ademola Adeleke, said he has Chinese engineering companies that work for him, adding that his tenth new power plant will be the biggest thermal power plant in the country.

Adeleke disclosed that while preparations for the project were underway, an unnamed government official threatened to prevent its completion.

Despite this challenge, Adeleke credited the near-completion of the project to the mercies of God, stating that it is a testament to divine intervention that the venture has progressed this far.

Adeleke noted that his Chinese friend had to travel down to Nigeria to discuss a way out because he never believed that prayer was enough to get the project done.

He affirmed that prayer did as the then Minister of Power granted the approval because he saw that the project was a brilliant one.

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