Economy

N1.58tn Released for Capital Projects, Says FG

Published

6 years ago

June 20, 2018

N1.58tn Released for Capital Projects, Says FG

The Federal Government on Tuesday said it had released N1.58tn to its Ministries, Departments and Agencies for the execution of capital projects as contained in the 2017 budget.

The Minister of Finance, Mrs Kemi Adeosun, gave the figure in a statement issued in Abuja.

The 2017 budget, christened ‘Budget of Recovery and Growth’, was presented to the National Assembly on December 14, 2016, and passed by the lawmakers on May 11, 2017.

The fiscal document, which was signed into law by the then Acting President, Prof Yemi Osinbajo, on June 12, 2017, had a total expenditure of N7.44tn, out of which N2.99tn was for non-debt recurrent spending, N2.36tn for capital expenditure, while debt servicing was to gulp N1.66tn.

In the statement signed by the Director of Information, Ministry of Finance, Hassan Dodo, the minister said the N1.58tn released for capital projects for 2017 was N370bn higher than the N1.21tn that the government made available to the MDAs for 2016.

Out of the N1.58tn, Adeosun stated that the Ministry of Power, Works and Housing received the highest amount of N523.01bn.

This, she noted, was 33.1 per cent of the total capital release for the 2017 fiscal period.

The sector, according to her, also received the highest release in the 2016 capital budget of N307.41bn, representing 25.21 per cent of the entire capital budget for the year.

She said defence received the second highest capital release of N197.59bn, which was 12.50 per cent of the total N1.58tn released for 2017.

This was N120.06bn higher than the N77.53bn that the sector got from the 2016 budget.

The statement said agriculture and water resources received a total of N149.48bn, which was 9.46 per cent of the capital budget received for the 2017 budget.

The sector had received N143.12bn, which was 11.74 per cent of the capital release in 2016.

Transportation followed with total capital receipt of N126.25bn, which was 7.99 per cent of the 2017 capital budget as against the N171.9bn that the sector got in 2016.

The statement also said health and education together received a total of N98.19bn, representing 6.21 per cent of the capital budget released for 2017, as against N56.27bn they got for 2016.

The statement added that other sectors combined received a total of N485.73bn, which was 30.74 per cent of the 2017 capital release.

In 2016, it said a total of N463.23bn was disbursed to these sectors.

Adeosun noted that despite the economic challenges experienced in 2017, the Federal Government was able to fully cash-back the capital releases.

She explained that the sustained high allocation to key sectors was a reflection of the Federal Government’s commitment to infrastructure development in the country.

The finance minister added that the Federal Government was working assiduously to attract private capital to complement its spending in the key areas.

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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

World Bank VP Lauds CBN Governor Cardoso’s Inflation-Fighting Policies

Published

2 days ago

October 16, 2024

Bassey Marshall

The Senior Vice President of the World Bank, Indermit Gill, has praised the Governor of the Central Bank of Nigeria, Yemi Cardoso, over his approach to managing inflation in the country.

Gill made this known during his address at the 30th Nigerian Economic Summit organized by the Nigerian Economic Summit Group in Abuja, on Monday.

The World Bank VP decried the high cost of petrol occasioned by the subsidy removal of President Tinubu’s government and the untold hardship it has imposed on Nigerians.

However, he hailed the interest rate increase by the central bank which according to him will boost confidence in the Naira and anchor inflationary expectations.

Gill emphasized that Governor Cardoso through his policies has been steering Nigeria in the right direction.

Meanwhile, Gill noted that Nigeria is just in the beginning stage of reaping the benefits of these policies.

According to him, the country will need to sustain the momentum for a period of ten to seventeen years, before achieving the desired outcome.

He revealed that countries like India, Poland, Korea, and Norway have benefitted from the approach.

He said, “Implementing such a far-reaching reform is impossible without a solid political commitment from the top. The price of PMS has quadrupled since the subsidy cut, imposing terrible hardship across the breadth of Nigeria’s society.

“The Central Bank has had to hike its policy by a huge 850 basis point, almost 9 percentage points in the last month to boost confidence in the naira and anchor inflationary expectations.

“The Central Bank financing of fiscal deficit has finally ended, and Governor Cardoso has been putting Nigeria or helping to put Nigeria on the right course.”

“But this is only the beginning, Nigeria will need to stay the course for at least 10 to 17 years to transform its economy. If it does that, it will transform its economy.

“And it will become an engine of growth in Sub-Saharan Africa. And he will help to transform Sub-Saharan Africa. It’s very difficult to do these things, but the rewards are massive.

“This is the lesson from the last forty years as well as the experience of countries such as India, Poland, Korea and Norway,” Gill said.

Investors King reported that on September 24, 2024, the apex bank announced another increase in its Monetary Policy Rate (MPR) to 27.25% from 26.75 percent.

The decision was made during the Monetary Policy Committee (MPC) meeting chaired by CBN Governor, Yemi Cardoso.

Economy

Sanwo-Olu Unveils Lagos Red Line Rail For Commercial Operations

Published

2 days ago

October 16, 2024

Ugwoke Ogbodo

The Governor of Lagos State, Babajide Sanwo-Olu, has officially unveiled the LMRT Red Line for commercial operations.

The governor said the Red Line is the second rail system to become operational in less than two years in the state.

The 27-kilometre Red Line has eight stations at Oyingbo, Yaba, Mushin, Oshodi, Ikeja, Agege, Iju, and Agbado.

The train service is projected to transport about 500,000 Lagosians daily as the schedule is increased, providing a viable means of commuting.

In a post on his verified social media handles on Tuesday, Sanwo-Olu warned against vandalisation of the project, saying his government wouldn’t tolerate the destruction of public property.

Sanwo-Olu wrote, “Dear Lagosians, today marks the launch of commercial operations of the LMRT Red Line, commencing passenger services from Agbado to Oyingbo.

“We’re on a mission to keep Lagos moving, and the Red Line is a key part of our vision to create a seamlessly connected city. It is also our second rail system to become operational in less than two years.

“Spanning 27, the Red Line has eight stations at Oyingbo, Yaba, Mushin, Oshodi, Ikeja, Agege, Iju, and Agbado. The train service is projected to transport about 500,000 Lagosians daily as we ramp up the schedule and provide a viable means of commuting.”

He added that daily passenger services will depart from Agbado at 6:00 AM, with the second train leaving Iju Station at 7:30 AM.

“Ensure you have your Cowry Card ready to board,” he noted.

He urged residents to treat the project with the respect it deserves, stressing that “vandalism or disruptions will not be tolerated.”

He said, “Together, we can ensure that our trains remain a safe and enjoyable experience for everyone.”

Economy

Nationwide Blackout as National Grid Partially Collapses, Akwa Ibom Power Supply Remains Unaffected

Published

3 days ago

October 15, 2024

Yetunde Olugbenga

A partial collapse of the national grid has been reported by electricity distribution companies, resulting in a blackout in most parts of the country.

However, the Akwa Ibom Generating Station was “islanded,” allowing it to continue supplying electricity to neighboring cities.

The spokesperson for the Transmission Company of Nigeria (TCN), Ndidi Mbah, disclosed this during a chat on Monday evening.

Mbah explained that the Akwa Ibom Generating Station was “islanded” to enable continuous power supply through the Eket, Ekim, Uyo, and Itu 132-kilovolt substations.

“The entire system did not collapse, as the IBOM Generating Station was islanded (i.e., separated to stand alone and continue supplying some areas to avoid a total system failure), allowing it to supply electricity through the Eket, Ekim, Uyo, and Itu 132kV substations,” she said.

Mbah further disclosed that the collapsed national grid was partial as TCN has begun system recovery to restore normalcy in the affected area.

“Recovery is currently ongoing and has advanced significantly.” She said.

Mbah’s disclosure about the Akwa Ibom generating station being “islanded” came shortly after Emeka Ezeh, Head of Corporate Communications at the Enugu Electricity Distribution Company (EEDC), confirmed the national grid’s collapse around 6:48 p.m. on Monday.

“…of a general system collapse that occurred at 18:48 hours today, 14th October 2024.” He stated.

Speaking about how to restore power, a statement signed by Ezeh revealed that the EEDC is on standby to restore supply from Osogbo.

“We are on standby awaiting detailed information of the collapse and restoration of supply from the National Control Centre (NCC), Osogbo,” the statement read.

“Rest assured, we are working with the relevant stakeholders to restore power as soon as the grid is stabilised. Thank you for your understanding”, the statement indicated.

The Abuja Disco also reported the grid collapse at 6:58 p.m.

“Dear Valued Customer, Please be informed that the power outage being experienced is due to a system failure from the national grid at 6:58 pm today, affecting the power supply to our franchise areas”, the Abuja Disco declared.

It was reported that the collapsed electricity grid has vehemently thrown the nation into a blackout. Moreover, at the time of this report, power supply is yet to be restored across parts of the country.