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2017 Budget Ready for President’s Assent Next Week – Lawan

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Budget 2017 year on cube with pencil and clock
  • 2017 Budget Ready for President’s Assent Next Week

The Senate Leader, Ahmed Lawan, on Thursday expressed the hope that the 2017 Appropriation Bill would be ready for the signature of President Muhammadu Buhari next week despite the hitches being experienced on the passage of the document at the National Assembly.

Lawan said this in an interview with State House correspondents after he met behind closed doors with Buhari at the Presidential Villa, Abuja.

While saying there was nothing to worry about the document, the Senate Leader recalled that the National Assembly had intended to pass the budget in March.

He stated that target could not be met because of some parameters that lawmakers did not have control over.

He said while it was also planned to be passed in April, the residence of the Chairman, Senate Committee on Appropriation, Danjuma Goje, was raided by the police and some of the budget documents were taken away.

Lawan said, “This and other things that happened and essentially the trauma that the Chairman, Senate Committee on Appropriation had to go through, affected the process of budgeting.

“When we were going on Easter recess, members of the Senate Committee on Appropriation, including those of the House, did not go on recess. They stayed back because that was the arrangement, so that by the time we returned on April 25, that was Tuesday, they should lay the report of the budget.

“Unfortunately, that was not possible because of what happened. But the good news is that we are doing everything possible to ensure that we catch up with the lost time.

“So, by the grace of God, I am thinking that by next week, we should be able to finish our own work and pass the budget for Mr. President to sign.”

Lawan also gave an indication that the Senate might consider the list of ministerial nominees sent to it by the President and other matters by next week.

When asked for the purpose of his visit to the President, Lawan said it was his responsibility as the Senate Leader to market all bills and requests in the Senate.

He said he was in the Presidential Villa to meet Buhari as part of his continuous engagements.

“It was meant to be sure that l get my briefings right so that l can always market presidential requests so well and as scheduled, and this is supposed to be a continuous process and that is essentially why l have come to meet the President,” he explained.

Lawan added that it was wrong to narrow lobbying in a presidential system to giving somebody money to buy his or her conscience.

He said it was meant to involve talking and engaging continuously with people who had mandates and jurisdictions on some issues, adding that that was what he meant by continuous and sustained interactions between the President and the legislature.

He said, “l know clearly that there is independence of each arm, but l also know equally well that there is so much inter-dependence between the two arms and even among the three arms of government in Nigeria.

“Therefore, we need to always close and narrow the gap and that is what l mean. My presence here is part of that engagement because even as legislators, we lobby. When we have our bills, we lobby our colleagues. We go to their houses. We send some write-ups to explain the necessity of those bills. We move from one seat to the next, talking to our colleagues.

“So, there is nothing wrong and l believe it is something we need to cultivate as a culture in this democracy.”

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

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Economy

Federal Government Set to Seal $3.8bn Brass Methanol Project Deal in May 2024

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Gas-Pipeline

The Federal Government of Nigeria is on the brink of achieving a significant milestone as it prepares to finalize the Gas Supply and Purchase Agreement (GSPA) for the $3.8 billion Brass Methanol Project.

The agreement to be signed in May 2024 marks a pivotal step in the country’s journey toward industrialization and self-sufficiency in methanol production.

The Brass Methanol Project, located in Bayelsa State, is a flagship industrial endeavor aimed at harnessing Nigeria’s abundant natural gas resources to produce methanol, a vital chemical used in various industrial processes.

With Nigeria currently reliant on imported methanol, this project holds immense promise for reducing dependency on foreign supplies and stimulating economic growth.

Upon completion, the Brass Methanol Project is expected to have a daily production capacity of 10,000 tonnes of methanol, positioning Nigeria as a major player in the global methanol market.

Furthermore, the project is projected to create up to 15,000 jobs during its construction phase, providing a significant boost to employment opportunities in the country.

The successful execution of the GSPA is essential to ensuring uninterrupted gas supply to the Brass Methanol Project.

Key stakeholders, including the Nigerian National Petroleum Company Limited and the Nigerian Content Development & Monitoring Board, are working closely to finalize the agreement and pave the way for the project’s advancement.

Speaking on the significance of the project, Minister of State Petroleum Resources (Gas), Ekperikpe Ekpo, emphasized President Bola Tinubu’s keen interest in expediting the Brass Methanol Project.

Ekpo reaffirmed the government’s commitment to facilitating the project’s success and harnessing its potential to attract foreign direct investment and drive economic development.

The Brass Methanol Project represents a major stride toward achieving Nigeria’s industrialization goals and unlocking the full potential of its natural resources.

As the country prepares to seal the deal in May 2024, anticipation grows for the transformative impact that this landmark project will have on Nigeria’s economy and industrial landscape.

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IMF Report: Nigeria’s Inflation to Dip to 26.3% in 2024, Growth Expected at 3.3%

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IMF global - Investors King

Nigeria’s economic outlook for 2024 appears cautiously optimistic with projections indicating a potential decrease in the country’s inflation rate alongside moderate economic growth.

The IMF’s revised Global Economic Outlook for 2024 highlights key forecasts for Nigeria’s economic landscape and gave insights into both inflationary trends and GDP expansion.

According to the IMF report, Nigeria’s inflation rate is projected to decline to 26.3% by the end of 2024.

This projection aligns with expectations of a gradual easing of inflationary pressures within the country, although challenges such as fuel subsidy removal and exchange rate fluctuations continue to pose significant hurdles to price stability.

In tandem with the inflation forecast, the IMF also predicts a modest economic growth rate of 3.3% for Nigeria in 2024.

This growth projection reflects a cautious optimism regarding the country’s economic recovery and resilience in the face of various internal and external challenges.

Despite the ongoing efforts to stabilize the foreign exchange market and address macroeconomic imbalances, the IMF underscores the need for continued policy reforms and prudent fiscal management to sustain growth momentum.

The IMF report provides valuable insights into Nigeria’s economic trajectory, offering policymakers, investors, and stakeholders a comprehensive understanding of the country’s macroeconomic dynamics.

While the projected decline in inflation and modest growth outlook offer reasons for cautious optimism, it remains essential for Nigerian authorities to remain vigilant and proactive in addressing underlying structural vulnerabilities and promoting inclusive economic development.

As the country navigates through a challenging economic landscape, concerted efforts towards policy coordination, investment promotion, and structural reforms will be crucial in unlocking Nigeria’s full growth potential and fostering long-term prosperity.

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South Africa’s March Inflation Hits Two-Month Low Amid Economic Uncertainty

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South Africa's economy - Investors King

South Africa’s inflation rate declined to a two-month low, according to data released by Statistics South Africa.

Consumer prices rose by 5.3% year-on-year, down from 5.6% in February. While this decline may initially suggest a positive trend, analysts caution against premature optimism due to various economic factors at play.

The weakening of the South African rand against the dollar, coupled with drought conditions affecting staple crops like white corn and geopolitical tensions in the Middle East leading to rising oil prices, poses significant challenges.

These factors are expected to keep inflation relatively high and stubborn in the coming months, making policymakers hesitant to adjust borrowing costs.

Lesetja Kganyago, Governor of the South African Reserve Bank, reiterated the bank’s cautious stance on inflation pressures.

Despite the recent easing, inflation has consistently remained above the midpoint of the central bank’s target range of 3-6% since May 2021. Consequently, the bank has maintained the benchmark interest rate at 8.25% for nearly a year, aiming to anchor inflation expectations.

While some traders speculate on potential interest rate hikes, forward-rate agreements indicate a low likelihood of such a move at the upcoming monetary policy committee meeting.

The yield on 10-year bonds also saw a marginal decline following the release of the inflation data.

March’s inflation decline was mainly attributed to lower prices in miscellaneous goods and services, education, health, and housing and utilities.

However, core inflation, which excludes volatile food and energy costs, remained relatively steady at 4.9%.

Overall, South Africa’s inflation trajectory underscores the delicate balance between economic recovery and inflation containment amid ongoing global uncertainties.

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