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“We Increased Health Sector Budgetary Allocation to Over N340bn in 2018”-FG

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  • “We Increased Health Sector Budgetary Allocation to Over N340bn in 2018”-FG

The Federal Government announced on Thursday that it allocated over N340bn to the health sector in 2018 to tackle health challenges in the country.

President Mohammadu Buhari noted that the allocation was an increase from the N259bn pumped into the health sector in 2015.

He added that the FG took the action in an effort to increase life expectancy in the country by fighting a wide range of health problems, such as; the root causes of child and maternal mortality, in line with the United Nation’s Sustainable Development Goals (SDGs).

The president made this announcement at the commissioning of the Nigeria Air Force Reference Hospital (NAFRH) in Daura, Katsina State.

He said, “As you are all aware, the Federal Government has in the last four years invested so much resource in the health sector. To this end, the Federal Government has increased budgetary allocation to the health sector from N259 billion in 2015 to over N340 billion in 2018.

“Accordingly, significant strides have been made to improve life expectancy and reduce some of the killers associated with child and maternal mortality to less than 70 deaths per 100,000 live births by the Year 2030, as enshrined in the United Nations Sustainable Development Goals.”

The President also said that, although his administration has recorded several achievements, more efforts are required to end the large number of diseases and health problems facing the country.

“To achieve this, all hands must be on deck to focus on providing more efficient funding of the health sector, improved sanitation and hygiene, and increased access to medical care in order to save the lives of millions of Nigerians. It therefore suffices to state that there is no auspicious time to commission this Reference Hospital than now,”he said.

President Buhari further revealed that NAFRH would assist the Federal Government and Katsina State Government to achieve the goal of providing quality and affordable health care to Nigerians; adding that, the Reference Hospital would supplement available health institutions in the country.

“More importantly, the facility is poised to provide the much needed trauma care for personnel on active duty, especially those engaged in various theatres of operation. This will go a long way in boosting the morale of personnel as well as encourage them to give their best in the cause of service to our father land,” he said.

In his presentation, the Chief of Army Staff, Air Marshall Abubakar Sadique explained that the hospital; with Ultra-Modern operating centers, intensive care unit and modern diagnostic and life support equipment is essential for the treatment of severe health conditions, including the treatment of wounded soldiers.

He said,“The NAFRH Daura is a 60-bed hospital with two ultra-modern operating theatres, an Intensive Care unit, medical laboratory, Eye and Dental clinics and a physiotherapy department.”

“Other departments include: Special Care Baby Unit, Renal Dialysis, Ophthalmic, Dental, Maternity and Antenatal unit, Cancer Screening Centre, Accident and Emergency Unit, and a robust radiology department with complete digital X-ray, Mammogram, Magnetic Resonance Imaging and Computerised Tomography scan machines.

“It is equipped with modern diagnostic, life support and surgical equipment intended to provide an ideal facility for the care of critically ill-patients such as soldiers wounded in action. In addition, this facility will be utilised for the training of our medical staff as a teaching hospital for the NAF School of Medical Science and Aviation Medicine.”

He also revealed that to ensure the provision of health care to NAF personnel, their family members and host communities, medical centers are also situated in the following NAF units: Birni Gwari, Kaduna State; Agatu, Benue State; Doma in Nassarawa State and Nguroje in Taraba State.

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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Banking Sector

UBA, Access Holdings, and FBN Holdings Lead Nigerian Banks in Electronic Banking Revenue

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United Bank for Africa (UBA) Plc, Access Holdings Plc, and FBN Holdings Plc have emerged as frontrunners in electronic banking revenue among the country’s top financial institutions.

Data revealed that these banks led the pack in income from electronic banking services throughout the 2023 fiscal year.

UBA reported the highest electronic banking income of  N125.5 billion in 2023, up from N78.9 billion recorded in the previous year.

Similarly, Access Holdings grew electronic banking revenue from N59.6 billion in the previous year to N101.6 billion in the year under review.

FBN Holdings also experienced an increase in electronic banking revenue from N55 billion in 2022 to N66 billion.

The rise in electronic banking revenue underscores the pivotal role played by these banks in facilitating digital financial transactions across Nigeria.

As the nation embraces digitalization and transitions towards cashless transactions, these banks have capitalized on the growing demand for electronic banking services.

Tesleemah Lateef, a bank analyst at Cordros Securities Limited, attributed the increase in electronic banking income to the surge in online transactions driven by the cashless policy implemented in the first quarter of 2023.

The policy incentivized individuals and businesses to conduct more transactions through digital channels, resulting in a substantial uptick in electronic banking revenue.

Furthermore, the combined revenue from electronic banking among the top 10 Nigerian banks surged to N427 billion from N309 billion, reflecting the industry’s robust growth trajectory in digital financial services.

The impressive performance of UBA, Access Holdings, and FBN Holdings underscores their strategic focus on leveraging technology to enhance customer experience and drive financial inclusion.

By investing in digital payment infrastructure and promoting digital payments among their customers, these banks have cemented their position as industry leaders in the rapidly evolving landscape of electronic banking in Nigeria.

As the Central Bank of Nigeria continues to promote digital payments and reduce the country’s dependence on cash, banks are poised to further capitalize on the opportunities presented by the digital economy.

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Loans

Nigeria’s $2.25 Billion Loan Request to Receive Final Approval from World Bank in June

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Nigeria’s $2.25 billion loan request is expected to receive final approval from the World Bank in June.

The loan, consisting of $1.5 billion in Development Policy Financing and $750 million in Programme-for-Results Financing, aims to bolster Nigeria’s developmental efforts.

Finance Minister Wale Edun hailed the loan as a “free lunch,” highlighting its favorable terms, including a 40-year term, 10 years of moratorium, and a 1% interest rate.

Edun highlighted the loan’s quasi-grant nature, providing substantial financial support to Nigeria’s economic endeavors.

While the loan request awaits formal approval in June, Edun revealed that the World Bank’s board of directors had already greenlit the credit, currently undergoing processing.

The loan signifies a vote of confidence in Nigeria’s economic resilience and strategic response to global challenges, as showcased during the recent Spring Meetings.

Nigeria’s delegation, led by Edun, underscored the nation’s commitment to addressing economic obstacles and leveraging international partnerships for sustainable development.

With the impending approval of the $2.25 billion loan, Nigeria looks poised to embark on transformative initiatives, buoyed by crucial financial backing from the World Bank.

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Banking Sector

FMBN Set for Commercialization to Improve Affordable Mortgage Financing

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In a bid to bolster housing delivery efficiency and enhance affordable mortgage financing for Nigerians, the Federal Mortgage Bank of Nigeria (FMBN) is gearing up for commercialization.

This move comes as part of the Nigerian government’s efforts to address the housing deficit and ensure adequate shelter for its citizens.

The Managing Director of FMBN, Shehu Osidi, made this announcement during a courtesy visit by the Federal Housing Delivery Reforms Task Team at the bank’s headquarters in Abuja.

Led by Mr. Adedeji Adesemoye and Brig. Gen. Tunde Reis, the task team discussed strategies to revitalize the housing sector, with a focus on FMBN’s pivotal role in providing affordable mortgage financing.

Osidi explained the bank’s commitment to supporting the government’s agenda of reforming and improving the housing sector, which is vital for sustainable development and enhancing citizens’ quality of life.

He underscored FMBN’s significant journey in the history of mortgage and housing finance in Nigeria and expressed optimism about the forthcoming commercialization process.

The commercialization plan involves repositioning and recapitalization efforts, following extensive engagements with the Bureau of Public Enterprise (BPE).

Osidi stressed the importance of aligning the bank’s operations with its mandate of affordable mortgage financing, ensuring that it remains a reliable partner in the quest for accessible housing solutions.

As part of its strategic blueprint, FMBN has prioritized various initiatives to enhance service delivery and operational efficiency.

Of note is the ICT project aimed at upgrading core banking applications that is almost complete and promised to revolutionize customers’ experience.

Also, amendments to the FMBN and NFH Acts are underway in the National Assembly, addressing key areas to facilitate the bank’s transformation.

Despite challenges, including performance issues with estate development loans, FMBN is determined to overcome obstacles and achieve its objectives.

The commercialization plan aligns with broader efforts to deepen reforms and foster a remarkable turnaround in the housing sector.

By focusing on process automation, cost efficiency, credit quality enhancement, and strategic partnerships, FMBN aims to catalyze sustainable growth and address the nation’s housing needs effectively.

Chairman of the Federal Housing Reforms Task Team, Adedeji Adesomoye, reiterated the committee’s mandate to review the operations and governance structures of key housing institutions.

With ambitious targets set by the government, including the construction of 20,000 housing units in 2024 and 50,000 units in subsequent years, the commercialization of FMBN marks a pivotal step towards realizing Nigeria’s housing aspirations.

As the commercialization process unfolds, FMBN stands poised to play a central role in facilitating access to affordable mortgage financing, thereby contributing to the realization of homeownership dreams for millions of Nigerians.

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