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

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4 years ago

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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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ADC Rising: Salga hails influx of political heavyweights as a turning point for justice

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4 hours ago

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April 1, 2026

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Ambassador Abdulrahman Mai Nasara Salga, a prominent ADC leader from Dala, Kano, has welcomed the influx of influential politicians into the party, describing it as a sign of ADC’s growing acceptance.

Salga, who contested for the federal legislature in Dala during the 2023 general election, says the party’s progress is heartening, having worked tirelessly to promote ADC’s agenda and position it as a viable alternative for good governance.

He highlights the entry of Kwankwasiyya leader Dr. Rabiu Musa Kwankwaso, former Kano State Deputy Governor Comrade Aminu Abdulsalam, and APC’s 2025 gubernatorial candidate Dr. Nasir Yusuf Gawuna, among others, as major boosts that are transforming ADC into a formidable opposition force.

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Salga believes these developments signal a shift towards justice and better leadership in Kano and Nigeria. He urges party leaders, including Atiku Abubakar, Peter Obi, and Kwankwaso, to unite for success in 2027.

The ADC leader pledges continued efforts to promote the party’s ideals, expressing optimism for a brighter future with these influential additions.

 

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BREAKING: INEC Removes David Mark-Led NWC from Portal, Updates Records Amid ADC Leadership Crisis

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7 hours ago

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April 1, 2026

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By Yusuf Danjuma Yunusa

The Independent National Electoral Commission (INEC) has formally updated its official portal to reflect changes in the leadership of the African Democratic Congress (ADC), signaling the commission’s recognition of the leadership dispute within the party.

The commission confirmed that the removal of the National Working Committee (NWC) led by David Mark followed a detailed review of a recent Court of Appeal judgment and an ongoing suit at the Federal High Court in Abuja.

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According to INEC, the decision comes after receiving conflicting legal representations from the two factions vying for control of the party. One faction, loyal to Nafiu Bala Gombe, urged the commission to enforce the appellate court’s ruling, which includes withdrawing recognition from the Mark-led NWC. The other faction, aligned with Mr. Mark, advised INEC against recognizing Mr. Gombe as acting national chairman, citing the pending legal proceedings.

The leadership crisis traces back to July 2025, when the ADC’s former leadership resigned, paving the way for a new executive committee headed by Mr. Mark. Mr. Gombe, a former vice-national chairman, has challenged this transition, arguing that the party’s constitution mandates his ascension to the leadership role.

In a ruling delivered on March 12, 2026, the Court of Appeal dismissed an interlocutory appeal filed by Mr. Mark. The court ordered all parties to maintain the status quo ante bellum—the state of affairs before the crisis—pending the resolution of the substantive suit at the Federal High Court.

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JUST IN: El-Rufai Detained as Bail Ruling Adjourned to April 14

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12 hours ago

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April 1, 2026

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By Yusuf Danjuma Yunusa

Operatives of the Department of State Services on Wednesday took former Kaduna State governor, Nasir El-Rufai, into custody moments after proceedings at the Federal High Court in Kaduna.

El-Rufai, standing trial over alleged corruption, had just concluded a hearing on his bail application filed by the Independent Corrupt Practices and Other Related Offences Commission when DSS operatives bundled him into a waiting vehicle and drove him away, reportedly heading to Abuja.

A heavy DSS presence around the court before the hearing had fuelled speculation that the former governor might be taken into custody.

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Security sources said vehicles had been strategically positioned around the court prior to proceedings.

El-Rufai had arrived at the court at about 9:05 a.m. in a Hilux van, drawing attention from security personnel and observers.

Speaking to journalists after the proceedings, lead defence counsel, Oluwole Iyamu (SAN), confirmed that the court had fixed April 14 for ruling on the bail application.

“The bail application was argued and responded to, and the ruling has been fixed for April 14.

“We look forward to that day. We are hopeful. We have put our arguments before the court, and this is a court of justice.

“We await the decision of the court,” he added.

He also noted that the defence team is prepared for a related case scheduled for April 10 at the Federal High Court in Abuja, describing it as “a separate matter.”

“That is a separate matter. As lawyers, we are ready. We have filed all necessary processes and will be in court. That is the DSS matter,” he said.

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