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Climate Deal: Nigeria to reap Billions of Dollars in Debt relief — Osinbajo

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Vice President Yemi Osinbajo says the Federal Government will be reaping billions of dollars in debt relief from some creditors if the Debt-for-Climate (DFC) swap deal is accepted.

Osinbajo’s spokesman, Laolu Akande, in a statement on Sunday in Abuja, said the swap deal was  proposed recently  in the U.

S. by the vice president.

The idea, described as fresh thinking in Washington D.

C by senior American government officials, is already receiving positive reviews even as Osinbajo explained the potential for significant debt cancellation for African countries.

In his meetings with the top officials of the US Government right after his speech at the Centre for Global Development (CGD), Osinbajo pushed the DFC idea.

“The proposed DFC  swaps would be a very useful intervention and helpful as it will reduce debt burdens,” while advancing the Climate Change objectives of the international community.”

He also described the idea as a climate change related financing instrument, deserving of global consideration as it is a win-win proposal.

Osinbajo also pushed the idea of opening up the Carbon Market in Africa so that the climate change actions of African countries could be adequately verified by the international community through the assessments of the appropriate verification institutions.

“We are hoping to get support and international buy-ins for these ideas,” specifically the DFC and the participation of African countries in the international carbon market.

He reiterated that the DFC will help solve many of the debt burden challenges in Nigeria and other countries.

Responding to the DFC proposal,  Samantha Power, the Administrator of USAID,  told the vice president that the idea was “fresh thinking that is very exciting”.

He added  that the U.S. was open to such new thinking even though it would require the full policy review of the American Government.

Experts say that under the DFC, sovereign debtors and international creditors will forgive all or a portion of external debt.

The debts  often run into billions in a country like Nigeria, in exchange for a commitment by the country to invest in domestic currency, in specific climate or energy transition projects during a commonly agreed period.

The expectation is that DFC Debt will reduce the level of indebtedness and free up fiscal resources to be invested in clean energy projects in Nigeria and other countries signed up for the programme, once accepted by creditor-nations.

Osinbajo had explained that the swap deal was a type of debt swap where bilateral or multilateral debt was forgiven by creditors in exchange for a commitment by the debtor to use the outstanding debt service payments for national climate action programs.

“Typically, the creditor country or institution agrees to forgive part of a debt.

“If the debtor country would pay the avoided debt service in a local currency into an escrow or any other transparent fund, and the funds must then be used for agreed climate projects in the debtor country,” he said.

While in Washington D.C., the vice president  met with his American counterpart,  Kamala Harris at the White House and the U.S. Secretary of the Treasury, Janet Yellen

He also held an interactive session with a group of Nigerian staff members of the World Bank and the IMF.(NAN)

NEWS

Tinubu Approves Management Unit for Health Sector Renewal Investment Initiative

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President Bola Tinubu has approved the establishment of the Sector-wide Coordinating Office-Programme Management Unit (SCO-PMU) domiciled in the Office of the Coordinating Minister of Health and Social Welfare.A statement on Friday by his spokesman, Chief Ajuri Ngelale, said the unit would ensure efficient, transparent and accountable management of external grants mobilised towards the implementation of the Nigeria Health Sector Renewal Investment Initiative (NHSRII).

Ngelale said SCO-PMU would report to a Steering Committee/Ministerial Oversight Committee chaired by the Minister, including the Minister of State, Permanent Secretary; Ministry of Finance, Ministry of Budget and Economic Planning and relevant development partners.
“The SCO-PMU will serve as the secretariat and delivery unit for the NHSRII and is to be headed by a national coordinator (NC).“The functions of the SCO-PMU include programme management, monitoring and evaluation, engagement and supervision of Independent Verification Agents (IVAs) for NHSRII programmes and fiduciary management, among others.“Consequently, the President has approved the appointment of Dr. Muntaqa Umar Sadiq as the National Coordinator of SCO-PMU,” he said.

Report says that Sadiq has over 17 years of experience in public health, impact investing, investment banking, energy, and climate financing across the health, finance, climate and energy sectors.He had served as Head of the Performance Management and Delivery Unit at the Federal Ministry of Health and Social Welfare and Chief Executive Officer of the Private Sector Health Alliance of Nigeria.He also served as Head of the Nigeria Energy Transition Office and Private Sector Engagement Adviser at the World Bank. (NAN)

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Education

FG Denies Slash in Students’ Allowances

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The Federal Government says it has no plan to slash scholarship students’ allowances as recently projected in the media.The Minister of Education, Prof. Tahir Mamman, stated this during a meeting with the leadership of the National Association of Nigerian Students (NANS) in Abuja on Friday.

Report says that there was a report that the ministry, through the Federal Scholarship Board, announced a slash in allowances of foreign scholars stranded in Russia, Morocco, and Algeria among others.

The slash in scholars’ allowances under the federal government’s Bilateral Educational Agreement Scholarship (BEA) was attributed to the economic crises.Mamman said that there was no slash in scholars` allowances but rather an adjustment due to Foreign Exchange fluctuations (FOREX).
“We want to clarify what has been in the media on allowances paid to scholars under the Bilateral Scholarship Agreement.“We want to place it on record that the ministry and the Federal Government for that matter have not slashed the allowances due to students.“What happened is some adjustments in the amount due to them because of FOREX fluctuations, and as soon as we get the balance we have applied for, we will pay them.“But for now, what is in the budget is what we can pay. So, there is no slash, we will even be happy to increase, so this is what has led to the adjustments,” he said.(NAN)

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Planned Protests: CAN calls for calm and patience

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By Laide Akinboade, Abuja

The Christian Association of Nigeria, CAN, on Friday, has urged Nigerians to calm and patient with Federal Government and should give the the government more time to address these pressing concerns.In a statement issued by CAN and signed by Archbishop Daniel Okoh ,President, CAN and made available to journalists in Abuja.

CAN also urged all Nigerians to consider alternative means of expressing their grievances.
He however said CAN stands in solidarity with the citizens of nation during these challenging times of economic hardship and pervasive hunger. The statement reads in part, “As we navigate this period of crisis, it is imperative to uphold the constitutional rights of every Nigerian to peacefully protest and express their grievances.
The right to assemble and voice discontent is a cornerstone of our democracy and must be protected and respected by all. Peaceful protests are a powerful tool for civic engagement, allowing the populace to communicate their concerns and hold leaders accountable. However, the anxiety related to the impending protests is heightening, especially given the volatile experiences in countries like Kenya and Pakistan.”We must also draw from our recent history. The #ENDSARS and #RevolutionNow protests, though rooted in genuine grievances, were marred by tragic incidents where miscreants hijacked the process. This led to widespread looting, destruction of properties, and unfortunate loss of lives. These experiences have shown us that mass demonstrations can quickly degenerate into chaos if not properly managed and coordinated.” In light of the planned protests scheduled to commence on 1st of August, CAN urges all Nigerians to consider alternative means of expressing their grievances. We recommend giving the government more time to address these pressing concerns. This period should be used to explore other legal avenues that will not easily give hoodlums the opportunity to hijack the exercise to destroy our national assets or endanger lives and properties. Dialogue, petitions, and town hall meetings are viable options that can yield positive results without the risk of disorder.”We call on the government to cut the cost of governance and expedite its efforts to alleviate the hardships in the land. The opulent lifestyle of political office holders must be addressed to demonstrate the sincerity of those in government to improve the living conditions of the people. Likewise, it is imperative that the government implements the newly approved national minimum wage to provide immediate relief to struggling families.”Furthermore, specific measures must be taken to put an end to kidnappings, banditry, and mass killings that have plagued various parts of our country. The security and well-being of every Nigerian should be paramount, and urgent action is required to restore peace and order.”We also call on the government to expedite its efforts to alleviate the hardships in the land. There is an urgent need for more refined and effective policies that address the root causes of the economic challenges we face. The government must deepen its consultations with stakeholders, including religious leaders, to create a more inclusive and comprehensive approach to problem-solving. By working together, we can devise sustainable solutions that reflect the needs and aspirations of the people.”In these trying times, let us all remember the words of our Lord Jesus Christ: “Blessed are the peacemakers, for they shall be called the children of God” (Matthew 5:9). As we seek to bring about positive change, let us do so with a spirit of peace, love, and unity. Our strength lies in our ability to come together, support one another, and work collectively toward a better Nigeria.”We pray for wisdom and discernment for our leaders, resilience and hope for our citizens, and divine intervention to guide us through these difficult times”.

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