Economy

Israeli Firm to Secure Nigeria’s Maritime Space

Published

7 years ago

October 31, 2017

minister-of-transportation-hon-rotimi-amaechi

Israeli Firm to Secure Nigeria’s Maritime Space

The Federal Government has contracted an Israeli firm to handle the security of the nation’s waterways and maritime facilities and train personnel.

The Minister of Transportation, Mr. Rotimi Amaechi, disclosed this on Monday in a keynote address at the 2017 World Maritime Day in Lagos.

The minister said the government had engaged the firm for three years to adequately train Nigerian personnel on the security of the sector, after which it would hand over the operation to Nigerians.

He stated that Nigeria would spend $195m on the exercise, expected to commence in December.

Amaechi stressed the importance of security in the nation’s maritime sector against the backdrop of the activities of pirates and the huge amount of money firms operating in the shipping sector were currently spending on escort services.

He said, “We have mandated a consulting firm to do a study of the maritime sector and they will round off in nine months. They have already done between three and four months, and we are expecting them to submit an interim report on their findings.

“One of the burning issues in the maritime sector is security. The Federal Government has contracted an Israeli firm, which is going to train our security men. They will buy equipment and dominate Nigeria’s waterways for the next three years.

“Within that three years, the Israeli firm will train our security operatives for them to take over after the expiration of the contract. They are yet to launch because they are still buying the equipment. When you see the equipment on the waterways, people will know they are safe and secure.”

The minister noted that the shipping firms were paying as much as $18m annually to those escorting their vessels from one point to another on Nigeria’s waterways, adding that from the middle of next year, such escort services would cease as the Israelis had promised that there would be no more harassment of firms on the nation’s waterways.

The minister added that the government was reviewing its concession agreement with private investors.

He further stated that the time being wasted for cargoes to exit the ports would be reduced by December when the narrow gauge rail line would begin to work.

Amaechi said, “We will insist that everybody must put their cargoes on the train. By December, we are bringing in about 100 wagons. We are launching six locomotives before December. Initially, General Electric said they would pick the cargoes from the ports to Ebute-Meta, but I told them that such movement of cargoes to Ebute-Meta would not work.

“By next week, I will inform General Electric that all cargoes will be moved from the ports straight to Papalanto in Ogun State. This will start before the end of December. We are doing that with the Nigerian Ports Authority and the Nigerian Railway Corporation.”

On the recent unrest at the Maritime Academy of Nigeria, Oron, Akwa Ibom State, the minister said he was trying to establish that the institution belongs to the Federal Government, and not a community.

He added, “I have never seen where a community tells government who to be appointed as a rector, or who contract should be awarded to. That has stopped with my regime. I initially wanted to appoint a Kano person as the rector of MAN, Oron, so that the host community will know the academy belongs to Nigeria and not to the Oron community.

“But we have appointed a trusted leadership that will develop and improve the plight of the academy so that quality graduates will be churned out of the academy.”

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Samed Olukoya

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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Economy

FIRS VAT Revenue Surges to N1.56 Trillion in Q2 2024 Amid Economic Struggles

Published

3 days ago

September 10, 2024

Samed Olukoya

The Federal Inland Revenue Service (FIRS) generated N1.56 trillion in Value Added Tax (VAT) in the second quarter (Q2) of 2024, according to the latest report from the National Bureau of Statistics (NBS).

This represents an increase of 9.11% compared to the N1.43 trillion reported in the first quarter of 2024.

A breakdown of the report showed that local VAT payments accounted for N792.58 billion of the total amount generated, while foreign VAT payments stood at N395.74 billion, and import VAT contributed N372.95 billion.

A quarterly analysis of the report revealed that human health and social work activities recorded the highest growth rate with 98.44%. This was followed by agriculture, forestry, and fishing with 70.26%, and water supply, sewerage, waste management, and remediation activities with 59.75%.

On the other hand, activities of households as employers and undifferentiated goods- and services-producing activities of households for own use had the lowest growth rate with –46.84%, followed by real estate activities with –42.59%.

Sectoral analysis showed that the manufacturing sector contributed the most at 11.78%. Information and communication and mining and quarrying contributed 9.02% and 8.79%, respectively.

Nevertheless, activities of households as employers and undifferentiated goods- and services-producing activities of households for own use recorded the least share with 0.00%, followed by activities of extraterritorial organizations and bodies with 0.01%, and water supply, sewerage, waste management, and remediation activities and real estate services with 0.04% each.

On a year-on-year basis, VAT collections grew by 99.82% from Q2 2023 despite ongoing economic challenges.

Nigeria’s inflation rate remains well above 30 percent, while new job creation is almost nonexistent.

Other key economic factors, such as investor sentiment, the purchasing managers’ index, and consumer spending, remain weak amid intermittent protests by citizens demanding improvements in quality of life.

Economy

Nigeria Sees 9.11% Increase in VAT Revenue, Generating N1.56 Trillion in Q2 2024

Published

4 days ago

September 9, 2024

Investors King

The federal government in the second quarter of 2024 generated a total of N1.56 trillion from Value Added Tax. This is a 9.11 percent increase from the N1.43 trillion in Q1 2024.

According to the National Bureau of Statistics report, local payments recorded were N792.58 billion, foreign VAT payments were N395.74 billion, while import VAT contributed N372.95 billion in Q2 2024.

“On a quarter-on-quarter basis, human health and social work activities recorded the highest growth rate with 98.44%, followed by agriculture, forestry and fishing with 70.26%, and water supply, sewerage, waste management and remediation activities with 59.75%,” NBS reported.

“On the other hand, activities of households as employers, undifferentiated goods and services producing activities of households for own use had the lowest growth rate with 46.84%, followed by Real estate activities with 42.59%.

“In terms of sectoral contributions, the top three largest shares in Q2 2024 were
manufacturing with 11.78%; information and communication with 9.02%; and Mining and quarrying with 8.79%.

“Nevertheless, activities of households as employers, undifferentiated goods- and services-producing activities of households for own use recorded the least share with 0.00%, followed by activities of extraterritorial organisations and bodies with 0.01%; and Water supply, sewerage, waste management and remediation activities with and real estate services 0.04% each.

“However, on a year-on-year basis, VAT collections in Q2 2024 increased by 99.82% from Q2 2023.”

Economy

Finance Minister Denies VAT Hike, Confirms Rate Remains at 7.5%

Published

4 days ago

September 9, 2024

Investors King

Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, on Monday, debunked reports doing the rounds that the rate for Value-Added Tax (VAT) has been upwardly adjusted to 10% from 7.5%.

The Minister, in a statement signed by him, affirmed that VAT rate as contained in relevant tax laws and chargeable on goods and services remains 7.5%.

“The current VAT rate is 7.5% and this is what government is charging on a spectrum of goods and services to which the tax is applicable. Therefore, neither the Federal Government nor any of its agencies will act contrary to what our laws stipulate.

“The tax system stands on a tripod, namely tax policy, tax laws and tax administration. All the three must combine well to give us a sound system that gives vitality to the fiscal position of government.

“Our focus as a government is to use fiscal policy in a manner that promotes and enhances strong and sustainable economic growth, reduces poverty as well as makes businesses to flourish.

“The imputation in some media reports on the issue of VAT and the opinion articles that have sprouted from them seem to wrongly convey the impression that government is out to make life difficult for Nigerians. That is not correct. If anything, the Federal Government has, through its policies, demonstrated that it is committed to creating a congenial environment for businesses to thrive.

“In fact, it is on record that the Federal Government, as part of efforts to bring relief to Nigerians and businesses, recently ordered the stoppage of import duties, tariffs and taxes on rice, wheat, beans and other food items.

“For emphasis, as of today, VAT remains 7.5% and that is what will be charged on all the goods and services that are VAT-able,” Edun said