Connect with us

Business News

NECA Seeks Fiscal Interventions to Boost Local Production

Published

on

Share

From Joy Ekeke, Lagos 

The Nigeria Employers’ Consultative Association (NECA) has advocated the need for fiscal interventions in local production to curb the trend of inflation which has heightened  in the past 10 months.

Director General of the association, Timothy Olawale, said this had been a major cause of concern, stating that more work needed to be done to curb the pressures.

“The rise to 14.23% in October 2020, signalling 15 months of consistent increase, suggests that the policy options provided by the Central Bank of Nigeria (CBN) in taming the gory head of inflation need critical review”, he said.

 

The NECA boss, who disclosed this in a statement in Lagos, stated that the persistent increase in food prices was majorly caused by the prolonged border closure, restrictions in forex market and the insecurity in the Northern states has further added to the situation.

“The inflationary situation was further compounded by the recent #EndSARS protest, which limited movement of persons and goods/services across most cities and the rising cost of transportation. 

“Since the deregulation of petrol prices, the country has witnessed petrol increase by almost 30% in the last 4 months, which suggests a continuous increase in transport cost. Sadly, Nigerians are now been battered on two fronts: high transport cost and high inflation,” he stressed.

To mitigate these challenges, the NECA boss suggest that, “the Federal Government should roll-out more direct fiscal interventions to aid domestic production, as it’s being done in the agricultural sector. These interventions should be extended to the mining, manufacturing and other high job creating sectors.

“It is also important to support the Transportation sector, most especially the Public Transport (massive transit buses), by reducing the duties/taxes on cost of vehicle import, which is currently about 70% for fully-built vehicle units. If import duty waiver/reduction is applied to the Public Transport sector, this will surely go a long way in reducing cost of public transportation. With the current exchange and import duty, the landing cost of a high capacity bus in Lagos is approximately N78million ($170,000) at least. This is aside fuel cost which accounts for 35% of revenue and interest rate of 27%.”

“While we applaud the various Intervention programmes of the Central Bank of Nigeria (CBN) during the COVID-19 pandemic, the apex bank should complement its efforts by synergizing its policies alongside the fiscal authorities in bringing needed growth and development into the economy. We urge, as a matter of urgency that concerted efforts should be made across-board to create an environment that will not only attract foreign direct investment, but that will also enable current investors to remain sustainable as a way out of the challenges of a mono-foreign exchange economy.”

Kerosene Increases to N352.93 Per Litre – NBS

Similarly, the National Bureau of Statistics (NBS) said the average price per litre paid by consumers for national household kerosene increased to N352.93 in October from N347.98 in September.

The bureau made this known in its “National Household Kerosene Price Watch (October 2020)’’ obtained from its website yesterday in Abuja.

According to the bureau, the increase is by 1.42 per cent month on-month and by 8.69 per cent year-on-year.

The report said that states with the highest average price per litre of kerosene were Taraba residents who bought the product at N437.50, Ebonyi at N423.81 and Benue N410.

It said that states with the lowest average price per litre of kerosene were Bayelsa whose residents bought at N230.95, Rivers at N285.19 and Oyo at N310.

“Similarly, average price per gallon paid by consumers for kerosene increased by 0.27 per cent month-on-month and by 1.91 per cent year-on-year to N1, 233 in October from N1, 229 in September.

“States with the highest average price per gallon of kerosene were Katsina N1, 369, Jigawa N1, 361 and Enugu N1, 359.

“States with the lowest average price per gallon of kerosene were Delta N979, Osun N1,005  and Ogun N1,079.

The NBS said that in arriving at the statistics, field work was carried out by its staff in all states of the federation supported by supervisors who were monitored by internal and external observers.

 Cooking Gas Dips in October

However, in a related development the NBS said average price for refilling five kilogrammes (5kg) cylinder of Cooking Gas decreased slightly to N1, 953.71 in October from N1,974.67 in September.

The bureau said this in its “Liquefied Petroleum Gas (Cooking Gas) Price Watch’’ for October obtained from its website yesterday in Abuja.

The NBS said the price for refilling 5kg cylinder of cooking gas dropped by -1.06 per cent month-on-month and by -0.70 per cent year-on-year in the period under review.

According to it, states with the highest average price for refilling 5kg cylinder for cooking gas were Bauchi N2, 487.83, Borno N2, 392.77 and Adamawa N2, 367.80.

It also said that states with the lowest average price for the refilling of   5kg cylinder for cooking gas were Enugu, N1,611.11, Jigawa, N1,678.57 and Imo, N1,693.75.

“Similarly, average price for refilling 12.5kg cylinder decreased by -0.78 per cent month-on-month and by -0.64 per cent year-on-year to N4,078.65 in October from N4,110.92 in September.

“States with the highest average price for refilling 12.5kg cylinder for cooking gas were Cross River N4,598.50, Akwa Ibom N4,562.50 and Anambra N4,503.14.”

The report added that states with the lowest average price for the refilling 12.5kg cylinder were Kano N3,560, Oyo N3,638.46 and Zamfara N3,700.

It said the various prices were collected across all the 774 local governments in the states, and the Federal Capital Territory (FCT), from over 10,000 respondents and locations.

The NBS said its audit team subsequently conducted randomly selected verification of prices recorded.

Business News

UBA Wins N156bn Debt Recovery Case Against Stallion Group

Published

on

Share

The Court on Friday ruled in the Bank’s favour on all issues and granted all its prayers.

United Bank for Africa (UBA) Plc has secured a significant legal victory in its debt recovery proceedings against Stallion Group, following a court judgment which upheld the Bank’s position on all issues submitted for determination.

In a sweeping decision, delivered by by Justice Daniel Osiagor  of the Federal High Court sitting in Ikoyi, Lagos on Friday,  the Court granted all the reliefs sought by UBA, affirming the validity of the appointment of a Receiver/Manager, the enforceability of the mortgage security and the liability of the guarantors.

The Court observed that the Defendants did not dispute the existence of their indebtedness to the Bank but challenged the amount claimed. It further held that the reconciliation of accounts between the parties did not extinguish or negate the underlying indebtedness.

In a major affirmation of UBA’s enforcement rights, the Court upheld the appointment of the Receiver/Manager and confirmed his entitlement to take possession of the mortgaged property and seek appropriate protective orders.

The Court also dismissed objections raised by the 12th Defendant, holding that it had failed to establish any proprietary rights over the mortgaged property. Consequently, its consent was not required for the creation of the mortgage, and its objections were rejected.

Significantly, the Court restrained the Defendants from diverting receivables due to them from government agencies, thereby reinforcing the Bank’s ability to protect its recovery interests.

The judgment also affirmed the liability of the guarantors, strengthening UBA’s legal position in pursuing recovery of the outstanding obligations.

The decision represents a comprehensive victory for UBA, with the Court resolving all issues in the Bank’s favour and granting all the reliefs sought.

The ruling is particularly significant for the enforcement of creditors’ rights in Nigeria, underscoring the legal validity of properly constituted security arrangements and the authority of duly appointed receivers to enforce creditors’ interests.

It also reinforces the principle that disputes over the precise amount of an outstanding debt do not, by themselves, invalidate the underlying indebtedness or prevent creditors from exercising their lawful recovery rights.

The judgment marks a major milestone in UBA’s efforts to recover its exposure to Stallion Group and safeguard the interests of the Bank and its stakeholders.

Continue Reading

Business News

Budget Office Defends Tax Reform Acts, Seeks Due Process

Published

on

Share

By Tony Obiechina, Abuja 

The Budget Office of the Federation has reaffirmed the integrity of Nigeria’s newly enacted Tax Reform Acts, cautioning against what it described as governance by speculation and unverified claims following allegations of post-passage alterations.

In a statement on Wednesday, the Budget Office said it had taken note of concerns raised by the Minority Caucus of the House of Representatives, stressing that the sanctity of the law is central to constitutional democracy and not a mere procedural formality.

According to the Office, any suggestion that a law could be altered after debate, passage, authentication, and presidential assent without due process would strike at the core of the Republic and undermine citizens’ right to be governed by transparent and stable laws.

However, it warned that democratic integrity is also endangered by the careless amplification of unverified claims. “A nation cannot be governed by insinuation or sustained on circulating documents of uncertain origin,” the statement noted, adding that public confidence, once shaken by speculation, is often difficult to restore.

The Budget Office emphasized that both government and citizens share a common interest in truth, clarity, and due process, noting that public finance depends heavily on trust in the legality and clarity of fiscal laws. It welcomed the decision of the National Assembly to investigate the allegations, describing institutional inquiry, not conjecture as the appropriate response to claims of illegality.

On public access to the law, the Office agreed that Nigerians and the business community are entitled to clear and authoritative texts of all laws they are required to obey. It clarified, however, that the authenticity of legislation is determined by certified legislative records and official publication processes, not by informal or viral reproductions.

The statement also underscored the importance of separation of powers, warning that claims suggesting Nigeria is being governed by “fake laws,” if not backed by established facts, risk eroding confidence in democratic institutions.

 At the same time, it stressed that legislative scrutiny should not be dismissed by the executive, noting that oversight is a constitutional duty, not an act of hostility.

From a fiscal perspective, the Budget Office said legal certainty is essential for revenue projections, macroeconomic stability, budget credibility, and investor confidence. While it is not the custodian of legislative records, it maintained that uncertainty around operative tax provisions directly affects economic planning.

To restore confidence, the Office proposed a set of measures, including the publication of verified reference texts in a single public repository, orderly access to Certified True Copies for stakeholders, clear public explanations where discrepancies are alleged, and strict alignment of all implementing regulations with authenticated legal texts.

Addressing calls for suspension of the tax reforms, the Budget Office cautioned against allowing prudence to slide into paralysis. It argued that properly implemented tax reform is necessary to reduce dependence on borrowing and inflationary financing, while easing indirect burdens on vulnerable citizens.

“Where clarification is required, it must be provided; where correction is required, it must be effected; where investigation is required, it must proceed,” the statement said, adding that governance and reform should not be stalled by unresolved conjecture.

The Office concluded by describing taxation as a democratic covenant that binds citizens and the state, insisting that compliance depends on transparency and trust. It called on political actors to protect institutions as much as positions, urging citizens and businesses to rely on verified sources and resist the spread of unauthenticated information.

The statement was signed by Tanimu Yakubu, Director-General of the Budget Office of the Federation, who reaffirmed the agency’s commitment to fiscal transparency, institutional integrity, and reforms that advance national prosperity while safeguarding citizens’ rights.

Continue Reading

Business News

Tinubu Congratulates Dangote on World Bank Appointment

Published

on

Share

By Jennifer Enuma, Abuja

President Bola Tinubu has congratulated Alhaji Aliko Dangote, the President of Dangote Group, on his appointment to the World Bank’s Private Sector Investment Lab, a body tasked with promoting investment and job creation in emerging economies.

In a statement by Special Adviser on Media and Publicity, Bayo Onanauga, the President described the appointment as apt, given Dangote’s rich private sector experience, strategic investments, and many employment opportunities created through his Dangote Group.

The Dangote Group became one of Africa’s leading conglomerates through innovation and continuous investment.

Dangote Group’s business interests span cement, fertiliser, salt, sugar, oil, and gas. However, the $20 billion Dangote Petroleum Refinery and Petrochemicals remains Africa’s most daring project and most significant single private investment.

“President Tinubu urges Dangote to bring to bear on the World Bank appointment his transformative ideas and initiatives to impact the emerging markets across the world fully” the statement said.

The World Bank announced Dangote’s appointment on Wednesday, as part of a broader expansion of its Private Sector Investment Lab. The lab now enters a new phase aimed at scaling up solutions to attract private capital and create jobs in the developing world.

The CEO of Bayer AG, Bill Anderson, the Chair of Bharti Enterprises, Sunil Bharti Mittal, and the President and CEO of Hyatt Hotels Corporation, Mark Hoplamazian, are on the Private Sector Investment Lab with Dangote.

The World Bank said the expanded membership brings together business leaders with proven track records in generating employment in developing economies, supporting the Bank’s focus on job creation as a central pillar of global development.

Continue Reading

Advertisement

Top Stories

NEWS1 hour ago

Former Delta Governor, Uduaghan Dies at 71

Share From Francis Sadhere, Delta  Former Governor of Delta State, Dr. Emmanuel Eweta Uduaghan, has died. He was 71. Uduaghan,...

view point14 hours ago

Attempted Suicide in Nigeria: Legislative Reform, Economic Hardship and the Right to Human Dignity

ShareBy Oluwaleye Adedoyin Grace Should a person who survives a suicide attempt be punished or helped? This question challenges Nigeria’s...

BUSINESS14 hours ago

UBA Scores Legal Victory in N156bn Stallion Debt Case

ShareBy Tambaya Julius, Abuja United Bank for Africa (UBA) Plc has secured a favourable judgment in its N156 billion debt...

BUSINESS14 hours ago

Nigeria Customs, Afreximbank Push Regional Border Modernisation

ShareBy Tambaya Julius, Abuja The Nigeria Customs Service (NCS) and the Customs administrations of Benin and Cameroon are working with...

NEWS14 hours ago

NCDMB Heritage Energy Train 48 Nigerians in Subsea Engineering

ShareFrom Mike Tayese, Yenagoa The Nigerian Content Development and Monitoring Board (NCDMB), in partnership with Heritage Energy Operational Services Limited...

NEWS14 hours ago

CAN: Tinubu Tasks Christians on Greater Unity

ShareBy Laide Akinboade, Abuja The first lady Senator Oluremi Tinubu, at the weekend urged all Nigerian Christians to ensure they...

NEWS14 hours ago

Maka Oganiru Begins Operations, Pledges   Africa’s  Investment-ready Projects

ShareBy Tony Obiechina, Abuja New Africa-focused advisory firm aims to connect high-potential opportunities with global capital, institutional investors and strategic...

POLITICS14 hours ago

FG Tadks  Varsities on Specialised Health Degree Programmes

ShareBy Tambaya Julius, Abuja  The Federal Government has urged vice-chancellors of Nigerian universities to introduce degree programmes that address critical...

NEWS14 hours ago

Presidency, Makinde Clash Over Alleged ₦250bn NLNG Fund for States

ShareBy Tambaya Julius, Abuja The Presidency has dismissed claims by Oyo State Governor Seyi Makinde that the Federal Government is...

Business News2 days ago

UBA Wins N156bn Debt Recovery Case Against Stallion Group

ShareThe Court on Friday ruled in the Bank’s favour on all issues and granted all its prayers. United Bank for...