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Presidency Clarifies Buhari Stance on Opening Grazing

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Cattle farming

President Muhammadu Buhari is opposed to open grazing of cattle, the presidency said yesterday in an apparent effort to douse the rising critique of its statement on Monday, quoting the president as querying the legality of Southern governors’ ban on open grazing.

Presidential spokesman, Mallam Garba Shehu, while fielding questions on ARISE NEWS CHANNEL, said many people misconstrued Buhari’s views on the Southern governors’ resolutions at their May 11 meeting in Asaba, Delta State as an endorsement of open grazing.

Hours before the clarification from the presidency, the Monday statement had drawn flaks from the Southern governors; the Yoruba socio-cultural group, Afenifere; and some senior lawyers.

The presidency statement by Shehu had questioned the legality of the Southern governors’ resolutions, in which they, among others, banned open grazing of cattle in the South.

The statement quoted Buhari as dismissing the ban, while accusing the 17 Southern governors of not proffering any solution to the intractable farmer-herder conflicts, largely driven by open grazing of cattle.

The presidency announced Buhari’s approval for ranching and revival of grazing reserves nationwide.

But the Chairman of the Southern Governors’ Forum and Ondo State Governor, Mr. Rotimi Akeredolu, yesterday fired back at the presidency, warning that no land in the South will be ceded to those he described “as a band of invaders masquerading as herdsmen under any guise.”

The Arewa Consultative Forum (ACF) also maintained its earlier stance that the ban on open grazing was in the best interest of all Nigerians.

But Benue State Governor, Dr. Samuel Ortom, yesterday kicked against the presidential decision to revive grazing reserves, saying that the reserves, created when Nigeria had a population of 50 million have since been taken over by airports, schools, roads, hospitals and other infrastructure.

Some senior lawyers also faulted Buhari’s opposition to the open grazing ban, alleging ethnic bias.

However, in an effort to douse tension generated by his statement, Shehu told ARISE NEWS Channel that Buhari would want to see an end to the archaic practice of open grazing of cattle.

He added that the objective of the president and that of the governors fully align.

However, he stated that the only difference between the positions of both parties is the approach to achieving the aim, adding that the president is insistent that it should be done in an organised manner.

He said: “The president wants to see an end to open grazing; he wants to see ranching; but he wants it in a way that’s organised and he has a plan for it and the plan will take off in June.”

According to him, all the ongoing attacks on the president are from people who are in the mood for a public fight.

He said states that were able to meet the minimum requirements would be encouraged to embark on ranching, and expressed optimism that those opposed to ranching will change their minds when it becomes fully functional.

Shehu said the president viewed open grazing as old-fashioned and was looking forward to a replacement for the medieval practice.

But he reiterated that banning open grazing without an alternative is not a good approach to the issue.

He said the president was worried about the crisis generated by the matter, adding that the generalisation of every herder as criminals is not the right thing to do.

While admitting that the ranks of the nomads had been infiltrated with people now bearing AK-47 rifles to kill and maim, Shehu called for calm as the issue won’t be solved by public show of strength.

“Let us stop this shadow boxing. You just brought one or two people here who said things that nobody said from our own end. Did the president say he didn’t support…? He’s opposed to the way the governors have chosen to do it,” he said.

On state policing, Shehu said the president was initially concerned that governors who are unable to pay salaries to their workers want to give guns to police set up by them, adding that if it is what Nigerians want, the president would have no option but to support it.

“You hire a policeman. Give him a gun and for one year, you don’t pay salaries, like you are doing to your teachers, that’s a problem,” Shehu stated.

Besides, he added that to implement state policing will require amending the 1999 Constitution, and Buhari has never rejected constitution amendments.

On restructuring, he stated that the All Progressives Congress (APC) wasn’t against devolution of power, as that is the work of the legislature to do.

He also dismissed speculations that Buhari was interested in extending his tenure, saying that those raising doubts over whether or not elections will hold in 2023 are doing so because they are unelectable.

Shehu also said he was not aware of any shoot-on-sight order against Igbo, adding that the rumour is meant to provoke unnecessary public anger.

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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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Economy

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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Economy

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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