Connect with us

Economy

NBS Data Show We’re Making Progress – Buhari

Published

on

president-muhammadu-buhari
  • NBS Data Show We’re Making Progress – Buhari

President Muhammadu Buhari says the recent data reeled out by the National Bureau of Statistics show that his administration is doing well.

Buhari said this on Wednesday during a Gala Night organised by beneficiaries of the government’s Anchor Borrowers Programme held at the State House Conference Centre, Abuja.

The President followed the announcement on Wednesday by the NBS that the number of unemployed persons of working age had risen to 20.9 million.

He said that statistics from the NBS had confirmed that his administration’s policies were yielding results.

Buhari said he inherited “a broken system in the agricultural sector in 2015.”

After hearing testimonies from some rice farmers, the President said, “Seeing your faces and hearing your stories give me hope. Today, we are on track to achieving an all-inclusive economy.”

The Senior Special Assistant to the President on Media and Publicity, Mallam Garba Shehu, had said Buhari had ordered the Statistician-General of the NBS, Dr Yemi Kale, to change the high unemployment statistics and reflect the rising rate of employment in the agriculture sector.

Shehu said during a recent meeting with the Federal Executive Council, Kale admitted that the NBS was only focusing on the creation of white-collar jobs and not the agriculture sector and the informal sector.

“Rice Producers Association of Nigeria made the open claim and nobody has challenged them up until the time that we speak, that they had created 12 million new jobs,” Shehu had said.

Kale, however, denied ever making such a claim.

The United States Department of Agriculture World Markets and Trade had said last month that Nigeria imported three million metric tons of rice in 2018.

The US report had said the import figure was 400,000 MT higher than the quantity of the product that was imported in 2017.

The report also stated that Nigeria’s local rice production dropped from 2016 to 2018 compared to the situation in 2015.

The report ran contrary to several claims by the Nigerian Government that local rice production had increased while importation had dropped by up to 90 per cent.

Meanwhile, the Vice Presidential Candidate of the Peoples’ Democratic Party in the forthcoming 2019 general elections, Mr Peter Obi, has blamed the rising unemployment rate in the country on the strategy of the Federal Government.

Speaking to journalists in Abuja on Thursday, Obi expressed sadness that a lot of ordinary Nigerians had continued to degenerate as shown by the unemployment rate released by the NBS in Abuja on Wednesday.

The NBS had on Wednesday indicated that the country’s unemployment rate had degenerated from 18.8 per cent in 2017 to 23.1 per cent in the third quarter of 2018.

Obi said that urgent steps needed to be taken in order to stop the downward trend.

He said, “They (government) are getting it wrong. If they are getting it right, the number would have been reducing. The whole approach or economic architecture is wrong. There should be areas of concentration. There are areas that you need to sincerely support which is not happening.

“In 2014, the overall unemployment and underemployment rate was 24 per cent; now it is 40 per cent. Then, the unemployment rate was 12 per cent. It moved to 18.8 per cent. Now, it has got worse. So, we need to do something aggressively to start turning things around.”

He added, “The 2019 elections will be strictly about the issues that concern the ordinary Nigerian – issues about the voiceless 87 million poor people that are living in Nigeria, issues about millions of unemployed Nigerians.

“How do we start pulling those 87 million people out of poverty and how do we start ensuring that millions of unemployed Nigerians get jobs? So, when you see that the situation is worsening, you get sad. So, for me, the first expression is sadness.

“Then, what do we do aggressively to ensure that we start turning things around? That is the issue.”

Asked to speak on the 12 million jobs that the Federal Government said had been created in rice farming, Obi said more rice farmers should reflect on higher productivity and lower prices.

He said, “You can have 15 million rice farmers but rice is still expensive. The more people that get into rice production, the more rice we produce and the more the price of rice goes up. It shows that there is a disconnect. If we have 10 million rice farmers, the price of rice should have been coming down.”

Obi added that in rice-producing nations such as Thailand, rice was not only available but also affordable.

The PDP also said the claim by Buhari that his administration was doing well, given the NBS report was incorrect and untrue.

The Deputy National Publicity Secretary of the PDP, Mr Diran Odeyemi, in a telephone interview with one of our correspondents, said Buhari’s government had increased poverty, unemployment, insecurity and misery in the country.

He said, “It is unfortunate that the president of a whole nation can come out in public and tell an absolute lie to citizens who are suffering the effect of his maladministration. The NBS gave an accurate figure of unemployment in Nigeria and the poverty level. And here we have a President telling an open lie.

“I urge Nigerians to respond by their Permanent Voter Cards, which is the weapon to correct the mistake of this administration and the mistake of electing the All Progressives Congress into government.

“They should elect (Abubakar) Atiku as the President who is prepared and ready to put smiles on their faces with a thorough economic plan and a system that will ensure that poverty is eradicated in the country and that youths are gainfully employed.

“The claim of Buhari that the government is making progress or doing well is an absolute lie.”

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.

Continue Reading
Comments

Economy

Remittances To Africa Projected to Drop By 5.4% in 2021: UNECA

Published

on

Remittance-Investors king

According to a new report from United Nations Economic Commission for Africa (UNECA), remittances to Africa are projected to drop by 5.4 percent to $41 billion in 2021 from $44 billion last year.

The report notes that the bleak situation has been compounded by the high cost of sending money to Africa from abroad, as the cost of remittances to Africa remains the highest in the world at 8.9 percent.

Remittances are an essential part of economic activity in low and middle-income countries (LMIC), including Africa. Due to the economic crisis induced by the COVID-19 pandemic and shutdown, global remittances are projected to decline sharply by about 20 percent in 2020. For Africa, remittances are projected to drop by 5.4 percent to $41 billion in 2021 from $44 billion last year, according to a new report by the United Nations Economic Commission for Africa (UNECA) projects remittances.

The report, titled “African regional review of the implementation of the Global Compact for Safe, Orderly and Regular Migration”, notes that the projected fall is mainly due to a fall in the wages and employment of migrant workers, who tend to be more vulnerable to loss of employment and wages amid the pandemic.

The report adds that the bleak situation has been compounded by the high cost of sending money to Africa from abroad as the cost of remittances to Africa remains the highest in the world at 8.9 percent.

“A migrant sending $200 to his/her family in Africa pays an estimated nine percent of the value of the transaction, indicating that the continent is still far from achieving the three percent target set out in Sustainable Development Goal 10,” the report stated.

This signals huge deficits in millions of African households depending on their friends and relatives abroad for a financial lifeline, thus threatening a perpetuation of macroeconomic imbalances on the continent.

The Addis Ababa Action Agenda of the Third International Conference on Financing for Development and Sustainable Development Goal indicator 10(c) provides that countries should, by 2030, reduce to less than three percent the transaction costs of migrant remittances and eliminate remittance corridors with costs higher than five percent.

In response, some African countries have taken action to lower the costs of remittance transfers by offering diaspora bonds to investors and relaxing foreign exchange controls to allow for electronic and mobile money transfers at reduced costs.

“It should be noted, in that regard, that the use of digital money transfer platforms reduces transfer fees in Africa by an average of 7 percent,” says the report.

“Private financial institutions also offer incentives to encourage members of diaspora communities to use their services, including low transaction fees for remittances, and facilitate diaspora-initiated projects, especially in the real estate sector. These measures all promote the financial inclusion of migrants and their families.”

The report recommends that member States support migrants and their families through adopting laws and regulations to facilitate the sending and receiving of remittances, including by fostering competition among banks and other remittance handling agencies to establish low-cost transfer mechanisms.

In addition, the report recommends that African countries make every effort to reduce the transfer costs associated with remittance payments by making more extensive use of digital transfer solutions, such as MPESA, and by streamlining the regulatory constraints associated with international money transfers.

Finally, the report concludes that the African States should also engage with destination countries to identify ways to enhance the provision of basic services to migrants in those countries as remittances are a primary source of national income for at least 25 African countries, all of which have large diaspora populations.

Continue Reading

Economy

Nigeria’s Inflation Rate Declines to 17.01 Percent in August 2021

Published

on

Lagos Nigeria - Investors King

Prices moderated further in Africa’s largest economy, Nigeria, in the month of August despite rising costs and growing economic uncertainties.

Consumer Price Index (CPI), which measures inflation rate, grew by 17.01 percent year-on-year in August 2021, representing a 0.37 percent decrease when compared to the 17.38 percent recorded in the month of July 2021.

On a monthly basis, inflation rate increased by 1.02 percent in August 2021, slightly higher by 0.09 percent than the 0.93 percent filed in July, the National Buruea of Statistics (NBS) stated in its latest report.

Prices of goods and services continued to drop on paper in recent months even as costs are hitting record highs across most sectors in Nigeria.

Naira has plunged to a record-low against the United States Dollar and other global currencies following the Central Bank of Nigeria’s decision to halt sale of forex to Bureau De Change Operators in an effort to curb illicit financial flows and forex supplies to the black market.

Naira plunged to N560 per United States Dollar at the black on Wednesday to set a new record low against the greenback and subsequently dragged on cost of import goods and profit of import dependent businesses.

Food Index also rose at a slower pace in August 2021 even with Nigerians complaining of over 50 percent increase in the price of food items. Food composite index rose by 20.30 percent in August, at a slower pace when compared to 21.03 percent recorded in the month of July 2021.

The rise in food index were caused by increases in prices of Bread and cereals, Milk, cheese and egg, Oils and fats, Potatoes, yam and other tuber, Food product n.e.c, Meat and Coffee, tea and cocoa, according to the NBS report.

On a monthly basis, the food sub-index grew by 1.06 percent in August 2021, representing an increase of 0.20 percent from 0.86 percent filed in the month of July 2021.

Looking at a more stable food index guage, the twelve-month period ending August 2021 over the previous twelve-month average, food index increased by 0.34 percent from 20.16 percent achieved in July 2021 to 20.50 percent in August 2021.

Continue Reading

Economy

Glo to Reconstruct 64km Ota-Idiroko Road Using Tax Credit Scheme – Fashola

Published

on

Tax Credit - Investors King

Mobile telecommunications giant, Globacom, has offered to reconstruct the 64 km Ota-Idiroko road in 2022, using Federal Government’s Tax Credit Scheme.

The Minister of Works and Housing, Mr. Babatunde Fashola, announced this on Wednesday during an inspection tour of the ongoing reconstruction of the Lagos-Ibadan Expressway.

“From Ota to Idiroko, we don’t have a contract there, but Chief Mike Adenuga of Globacom has offered to construct that road using the tax credit system.

“So, that has also started, they are doing the design, and hopefully, by sometime early next year, they should mobilize to site. The real reconstruction is going to happen if we have a deal with Glo,” Fashola said.

He said that FERMA would carry out rehabilitation works on the Ota-Idiroko road between October and December.

“But between now and December, FERMA has gone to take measurements there and they will move there from the end of September if the Ogun State Government does two things.

“Clear all the squatters, traders, and the settlers on the road and help us manage traffic and the governor as at last night has committed to doing that for us,” the minister said.

He said efforts were on to bring in Flour Mills of Nigeria Plc and Unilever to reconstruct the Badagry link to the Lagos-Ota-Abeokuta road under the Tax Credit Scheme of the Federal Government.

The minister said that the Lagos-Ota-Abeokuta road had become a problematic road due to years of neglect by previous administrations, as such the highway required a huge investment.

He commended Gov. Dapo Abiodun for his passion for fixing roads in Ogun State, adding that the reconstruction of the failed portions of the Lagos-Ota-Abeokuta road would be completed by December at the cost of N13. 4 billion.

The minister added that the project would be handled by the Federal Road Maintenance Agency (FERMA).

He called on federal lawmakers representing Lagos and Ogun States to ensure increased budgetary allocation for the roads to ensure their speedy completion to ease the hardship on road users.

“When people say Fashola is looking away, I am not looking away, I just can’t find the money,” he said.

He also called for support of citizens for parliamentarians to ensure more borrowing for infrastructure upgrades because the future depends on development strides today.

Also speaking during the inspection tour, Gov. Dapo Abiodun of Ogun said that the project became necessary because Ogun is the industrial hub of the nation that needed good roads for interconnectivity to boost commerce.

He said: “We have given the commitment that we will relocate traders, we will control and manage traffic, whatever that it is we need to do, we will ensure that we begin to bring succor and needed relief to our people.

“The state of that road today is pitiable. I went on that road myself and I felt bad for our citizens.”

Abiodun said the state government was ready to borrow to reconstruct the Lagos-Ota-Abeokuta Road should there be a delay in the Sukuk funding for the highway.

“If this Sukuk bond would not happen immediately, the state government is willing to go and borrow against that promise so that we can mobilize the contractor,” he said.

He thanked Fashola for the efforts to reconstruct roads in the state and pledged the support of the state government in fixing the highways.

Continue Reading




Advertisement
Advertisement
Advertisement

Trending