Connect with us

News

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

Published

4 years ago

on

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.

The beautiful life of the Nigerian university lecturers that you do not know

Advert

“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.

Related Topics:

News

Despite Dangote’s Withdrawal, ICPC Vows to Continue Investigation on Ex-NMDPRA Boss

Published

38 minutes ago

on

January 8, 2026

By

 

By Yusuf Danjuma Yunusa

The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has declared its intention to proceed with an investigation into the sacked Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Farouk Ahmed, despite the withdrawal of a petition against him by businessman Aliko Dangote.

Mr. Dangote had earlier petitioned the anti-graft agency, alleging that Mr. Ahmed misappropriated $5 million for the payment of his children’s school fees. The ICPC had consequently invited Mr. Dangote in December to formally adopt the petition as required by law.

Advert

However, in a statement issued on Wednesday, the Commission confirmed the petition’s withdrawal. It noted receipt of a formal letter dated January 5, 2025, from Dr. O.J. Onoja, SAN, the legal counsel to Aliko Dangote. The letter, titled “Notice of Withdrawal of Petition against Engineer Farouk Ahmed,” stated that the petitioner was withdrawing the complaint in its entirety and indicated that another law enforcement agency had taken over the matter.

The ICPC, in its response, asserted its statutory authority to continue the probe. Citing sections 3(14) and 27(3) of its enabling Act, the Commission stated that investigations had already commenced in the public interest.

“The ICPC will therefore continue to investigate this matter in line with its statutory mandate and in the interest of transparency, accountability and the fight against corruption for the benefit of Nigeria,” the statement concluded.

Continue Reading

News

League of Veteran Journalists Independent of Ministry, Says Waiya as Journalists Adopt Constitution

Published

46 minutes ago

on

January 8, 2026

By

Comrade Ibrahim Abdullahi Waiya addressing the Press after the meeting

 

 

The Kano State Commissioner for Information and Internal Affairs, Comrade Ibrahim Abdullahi Waiya, has clarified that the Kano League of Veteran Journalists (KALVEJ) is an independent professional body and not an appendage of the State Ministry of Information.

Speaking during the ratification and adoption of the League’s Charter, which has now become its Constitution, the Commissioner explained that although the Ministry supports and relates with the League, such engagement is strictly on a professional basis.

He emphasized the importance of preserving the independence of professional bodies to enable them operate effectively and in line with global best practices, noting that the Ministry maintains similar professional relationships with bodies such as the Nigeria Union of Journalists (NUJ), the Nigerian Institute of Public Relations (NIPR), and other related professional organizations.

Advert

The Constitution was ratified and adopted at the Tahir Guest Palace, Kano, during a session attended by members of the League drawn from various segments of the journalism profession, including academics.

The session featured extensive discussions, comments, observations, and detailed scrutiny of the draft document by members. Key observations raised included the absence of clear provisions on members’ welfare, gender representation, and sustainable funding mechanisms for the League.

Following exhaustive deliberations, members resolved that all issues raised during the session be forwarded to the Constitution Drafting Committee and Secretariat for further consideration and necessary amendments.

At the end of the session, a motion was moved and unanimously adopted mandating the Constitution Drafting Committee to continue managing the affairs of the League for a period of one year, pending the conduct of elections for substantive executives.

In his remarks, the Chairman of the Committee, Alhaji Ahmed Aminu, expressed gratitude to members for the confidence reposed in the committee. He assured the gathering that all concerns raised, particularly those relating to the welfare of members, would be adequately addressed in the revised Constitution.

Signed
Sani Abba Yola
Director, Special Duties
Kano State Ministry of Information and Internal Affairs
7th January, 2026

Continue Reading

News

Court Orders Interim Forfeiture of Malami’s 57 Properties

Published

1 hour ago

on

January 8, 2026

By

 

 

By Yusuf Danjuma Yunusa

A Federal High Court in Abuja has ordered the interim forfeiture of 57 properties valued at about N213.2 billion, allegedly linked to a former Attorney-General of the Federation and Minister of Justice, Abubakar Malami (SAN), and his two sons, Abdulaziz and Abiru-Rahman Malami.

Justice Emeka Nwite granted the order on Tuesday, January 6, 2026, following an ex-parte application filed by the Economic and Financial Crimes Commission (EFCC). The court held that the assets, acquired between 2016 and 2024, are reasonably suspected to be proceeds of unlawful activities.

Advert

The diverse portfolio of properties spans Abuja, Kebbi, Kano, and Kaduna states. It includes luxury hotels and duplexes in Abuja’s Maitama, Asokoro, Wuse II, and Jabi districts; farmlands and housing estates in Birnin Kebbi; and commercial plazas, warehouses, and school facilities in other locations.

Justice Nwite directed that the interim forfeiture order be published in a national newspaper. This will allow any interested party 14 days to show cause why a final forfeiture order should not be granted in favour of the Federal Government. The matter was adjourned to January 27, 2026, for a report of compliance.

In a related case before the same court, Malami, his wife Bashir Asabe, and his son Abubakar Abdulaziz are currently standing trial over separate alleged money laundering charges involving N8.7 billion.

Continue Reading

Trending