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IMF: Dangote Refinery, Supportive Credit Facility, Can Accelerate Nigeria’s Economic Recovery Process

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Aliko Dangote

The International Monetary Fund (IMP) has noted that the non-oil sector of the Nigerian economy could be stronger, benefitting from its recent growth momentum, higher production from the new Dangote Refinery, and supportive credit policies.

In IMF’s Executive Board 2021 Article IV Consultation with Nigeria released recently, the global organisation added that Nigeria’s ratification of the African Continental Free Trade Agreement could also yield a positive boost to the non-oil sector while oil production could rebound, supported by the more generous terms of the Petroleum Industry Act.

According to the IMF, Nigeria exited the recession in the fourth quarter of 2020 and its output rose by 4.1 per cent (y-o-y) in the third quarter, with broad-based growth except for the oil sector, which is facing security and technical challenges.

While growth was projected at 3 per cent for 2021, it stated that headline inflation rose sharply during the pandemic, reaching a peak of 18.2 per cent year-on-year (y-o-y) in March 2021, but has since declined to 15.6 per cent in December.

The institution attributed this to the new harvest season and opening of land borders, although it noted that the reported unemployment rates (end 2020) have yet to come down. It, however, confirmed that more recent COVID-19 monthly surveys have shown that employment was back at its pre-pandemic level.

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“Despite the recovery in oil prices, the general government fiscal deficit is projected to widen in 2021 to 5.9 per cent of GDP, reflecting implicit fuel subsidies and higher security spending,” the Fund said. “Moreover, the consolidated government revenue-to-GDP ratio at 7.5 per cent remains among the lowest in the world.

“After registering a historic deficit in 2020, the current account improved in 2021, and gross FX reserves have improved, supported by the IMF’s SDR allocation and Eurobond placements in September 2021.

“Notwithstanding the authorities’ proactive approach to contain COVID-19 infection rates and fatalities and the recent growth improvement, socio-economic conditions remain a challenge. Levels of food insecurity have risen, and the poverty rate is estimated to have risen during the pandemic.”

The directors highlighted the urgency of fiscal consolidation to create policy space and reduce debt sustainability risks and called for significant domestic revenue mobilisation.

“They noted that exchange rate reforms should be accompanied by macroeconomic policies to contain inflation, structural reforms to improve transparency and governance, and clear communications regarding exchange rate policy.

“Directors considered it appropriate to maintain a supportive monetary policy in the near term, with continued vigilance against inflation and balance of payments risks. They encouraged the authorities to stand ready to adjust the monetary stance if inflationary pressures increase,” the consultation noted.

“Directors recommended strengthening the monetary operational framework over the medium term – focusing on the primacy of price stability – and scaling back the central bank’s quasi-fiscal operations. Directors welcomed the resilience of the banking sector and the planned expiration of pandemic-related support measures. They agreed that while the newly launched eNaira could help foster financial inclusion and improve the delivery of social assistance, close monitoring of associated risks will be important. They also encouraged further efforts to address deficiencies in the AML/CFT framework.

“Directors emphasised the need for bold reforms in the trade regime and agricultural sector, as well as investments, to promote diversification and job-rich growth and harness the gains from the African Continental Free Trade Agreement. Improvement in transparency and governance are also crucial for strengthening business confidence and public trust. Directors called for stronger efforts to improve the transparency of COVID-19 emergency spending,” the IMF added.

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Tinubu, Service Chiefs Brainstorm Over Deteriorating Security in North-East

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By Yusuf Danjuma Yunusa

President Bola Tinubu on Thursday convened a nearly two-hour security meeting with service chiefs at the Presidential Villa, Abuja, marking the first of such gathering since Tunji Disu assumed office as Inspector-General of Police.

The security chiefs, who arrived at the Villa without their usual official vehicles, making identification difficult, departed the premises at approximately 5:10pm after extensive deliberations with the President.

The service chiefs and the IG were identified by newsmen present at the Villa as they left the forecourt following the closed-door meeting.

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The session comes amid heightened security concerns across the country, particularly the recent killings of military commanding officers in various theatres of operation.

In the past week alone, the military lost at least three commanding officers in charge of forward operating bases following a surge in attacks on security formations and personnel, especially in the North-East where Boko Haram and Islamic State West Africa Province insurgents have intensified assaults on military positions.

Notable among recent incidents was the attack on Ngoshe in Borno State, which resulted in abductions, as well as separate assaults on Konduga, Marte, Jakana, and Mainok, all in Borno State.

The attacks prompted responses from both President Tinubu and Vice President Kashim Shettima, who vowed to deploy overwhelming force to end the insurgency.

As of the time of filing this report, details of the discussions at the security meeting had not been disclosed to the media.

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Ex-Sokoto Governor Tambuwal Officially Joins ADC

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By Yusuf Danjuma Yunusa

Senator Aminu Tambuwal, a former Governor of Sokoto State, has officially resigned his membership from the Peoples Democratic Party (PDP), attributing his departure to the party’s deepening internal crises. He has subsequently joined the African Democratic Congress (ADC).

Tambuwal, who currently represents Sokoto South in the Senate, formalized his resignation in a letter dated March 11, 2026, addressed to the PDP ward chairman in his Tambuwal/Shinfiri Ward, Tambuwal Local Government Area. The contents of the letter were made public on Thursday.

In the correspondence, the former Speaker of the House of Representatives explained that the decision was the result of extensive deliberations with his political network. “After deep reflection and extensive consultations with my political associates and supporters, I have decided to resign my membership of the Peoples Democratic Party with immediate effect,” the letter stated.

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He pointed to the party’s ongoing instability as the primary reason for his exit. “The persistent internal crises, leadership disagreements and growing divisions within the party have made it increasingly difficult for me to continue my membership,” Tambuwal wrote.

While severing ties with the PDP, Tambuwal acknowledged the platform the party provided for his political career. “I remain grateful to the party for the platform it provided me to serve Nigeria as Speaker of the House of Representatives and later as Governor of Sokoto State,” he noted.

Confirming his immediate switch to the ADC, Tambuwal said he is joined by his associates and supporters. He framed the move as a pursuit of a more principled and credible political vehicle. “My decision is guided by the conviction that Nigeria requires a stronger political platform built on integrity, accountability, inclusiveness and a clear commitment to national development,” he added.

Tambuwal’s political career has been marked by significant shifts. He served as Speaker of the House of Representatives from 2011 to 2015 under the PDP before crossing over to the All Progressives Congress (APC) to successfully run for Governor of Sokoto State in 2015. In a dramatic move later that same year, he defected back to the PDP, under whose banner he won a second gubernatorial term in 2019.

Following the conclusion of his second term as governor in 2023, he was elected to the Senate. His latest defection to the ADC is poised to reshape the political landscape in Sokoto State, where he remains a highly influential figure.

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ADC Criticises Tinubu’s CNG Plan, Demands Price Cap

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By Yusuf Danjuma Yunusa

The African Democratic Congress (ADC) has urgently called on the Federal Government to implement a temporary cap on petrol prices, warning that the recent surge in fuel costs is exacerbating the hardship faced by millions of Nigerian households.

In a press statement issued on Wednesday, the party’s National Publicity Secretary, Mallam Bolaji Abdullahi, acknowledged that volatility in global oil markets—spurred by the ongoing crisis in the Middle East—is contributing to the price hikes. However, the ADC argued that external factors do not justify allowing fuel prices to rise unchecked in an economy still reeling from the removal of the fuel subsidy.

“For everyday Nigerians, petrol determines the price of food, transportation, and survival. When petrol rises, everything else rises with it,” Abdullahi stated. “This is why the African Democratic Congress urges the Federal Government to take urgent action to stabilize petrol prices.”

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The party criticized the administration of President Bola Tinubu, stating that the current APC-led government must take responsibility for shielding citizens from the harshest effects of the increases. The ADC further called for the introduction of targeted palliatives specifically designed to support low-income Nigerians who are most vulnerable to the rising cost of transportation and goods.

Beyond the immediate call for a price cap, the ADC questioned the feasibility of the government’s long-term energy strategy, specifically targeting the recently announced plan to distribute 100,000 Compressed Natural Gas (CNG) conversion kits.

The party noted that with over 11 million vehicles registered in Nigeria, the proposed 100,000 kits would cover less than one percent of the nation’s vehicle fleet. Furthermore, the ADC raised concerns about the limited availability of CNG refuelling stations across the country, questioning whether the policy would have any tangible impact on the average Nigerian.

“A policy that touches only a fraction of vehicles cannot meaningfully address a national fuel crisis,” Abdullahi said. “If Nigerians cannot easily find where to refuel, then the policy risks becoming an announcement without real impact.”

The ADC urged the Federal Government to pursue a more comprehensive and credible energy strategy that reflects Nigeria’s status as an oil-producing nation.

“Nigeria is an oil-producing country, and it should not be a place where the cost of petrol repeatedly pushes millions of citizens deeper into hardship,” the statement concluded. “At a time of rising global uncertainty, protecting the welfare of citizens must remain the first duty of any government that knows what they are doing.”

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