Connect with us

Business News

Nigeria Gets $3.35bn SDRs from IMF

Published

on

International Monetary Fund, IMF
Share

Nigeria will receive $3.35 billion as its share of the International

Monetary Fund (IMF) $650bn special drawing rights (SDRs) to help boost

the liquidity of member countries.

Managing Director of the IMF, Kristalina Georgieva, announced the

deployment in a statement yesterday.

SDR is an international reserve asset created by the United Nations (UN) specialised agency to supplement its member countries’ official

reserves.

The value of the SDR is based on a basket of five currencies – the

US dollar, the Euro, the Chinese renminbi, the Japanese yen, and the

British Pound Sterling.

They are units of account for the IMF, not a

currency per se.

Georgieva said the SDRs will be distributed to countries in proportion

to their quota shares in the IMF.

She said $275 billion will go to emerging and developing countries, of

which low-income countries will receive about $21 billion.

“The largest allocation of Special Drawing Rights (SDRs) in

history—about $650 billion—comes into effect today. The allocation is

a significant shot in the arm for the world and, if used wisely, a

unique opportunity to combat this unprecedented crisis,” the statement

reads.

“The SDR allocation will provide additional liquidity to the global

economic system – supplementing countries’ foreign exchange reserves

and reducing their reliance on more expensive domestic or external

debt. Countries can use the space provided by the SDR allocation to

support their economies and step up their fight against the crisis.

“SDRs are being distributed to countries in proportion to their quota

shares in the IMF. This means about $275 billion is going to emerging

and developing countries, of which low-income countries will receive

about $21 billion – equivalent to as much as 6 percent of GDP in some

cases.”

The IMF boss said countries should ensure that decisions on the use of

SDRs “should be prudent and well-informed”.

She further stated that IMF would provide a framework for assessing

the macroeconomic implications of the new allocation, its statistical

treatment and governance, and how it might affect debt sustainability.

The bank would also provide regular updates on all SDR holdings,

transactions, and trading – including a follow-up report on the use of

SDRs in two years’ time.

“To magnify the benefits of this allocation, the IMF is encouraging

voluntary channeling of some SDRs from countries with strong external

positions to countries most in need,” the statement adds.

“Over the past 16 months, some members have already pledged to lend

$24bn, including $15 billion from their existing SDRs, to the IMF’s

Poverty Reduction and Growth Trust, which provides concessional loans

to low-income countries. This is just a start, and the IMF will

continue to work with our members to build on this effort.

“This SDR allocation is a critical component of the IMF’s broader

effort to support countries through the pandemic, which includes: $117

billion in new financing for 85 countries; debt service relief for 29

low-income countries; and policy advice and capacity development

support to over 175 countries to help secure a strong and more

sustainable recovery.”

The new SDR allocation is the highest in the history of the IMF.

In June, President of the African Development Bank (AfDB), Akinwumi

Adesina, said G7 countries had also agreed to reallocate $100 billion

in their IMF SDR to African states by October.

Business News

NELFUND Loan Improves Graduate’s GPA to 3.50

Published

on

Share

A graduate of the University of Maiduguri, Shianya Ebwaseh, said the Nigerian Education Loan Fund (NELFUND) helped improve her Grade Point Average (GPA) to 3.50 through financial support that enabled her to concentrate on her studies.

Ebwaseh, who graduated from the Department of Zoology, Faculty of Life Sciences, said this in an interview on Monday in Maiduguri.

She said financial difficulties had previously affected her academic performance, as she struggled to meet her daily needs while pursuing her degree.

The graduate said she resorted to selling fried chips and groundnuts on campus to support herself, sometimes missing lectures because of the time and energy required to run the business.

According to her, the introduction of NELFUND’s student loan scheme relieved her financial burden through tuition support and a monthly N20,000 upkeep allowance.

“Before NELFUND, I struggled with my GPA because of financial challenges. I sometimes missed lectures after spending hours frying and packaging chips for sale.

“But when NELFUND came, I stopped the business and concentrated on my studies. My GPA improved to 3.50, which is Second Class Upper,” she said.

Ebwaseh said the financial support also enabled her to attend lectures regularly, purchase learning materials and prepare adequately for tests and examinations without constant worries about money.

She added that her examination scores improved significantly after she began receiving the support, attributing the change to increased concentration and financial stability.

The graduate, who said she accessed the scheme in her third year, described the application process as simple and encouraged other eligible students to apply.

She also said the programme had helped financially disadvantaged students remain in school, particularly those whose parents could not afford tuition fees and upkeep.

Ebwaseh appealed to the Federal Government to sustain the initiative, emphasising that withdrawing the support could expose many students to financial difficulties and possible dropout.

She said the scheme had given beneficiaries an opportunity to pursue their academic ambitions with fewer financial distractions.(NAN)

Continue Reading

Business News

FG Seeks Synergy Among Housing Agencies to Boost Housing Delivery

Published

on

Share

The Minister of Housing and Urban Development, Dr Muttaqha Darma, has called for synergy among government agencies in the housing sector to improve coordination and accelerate housing delivery.

Darma made the call in Abuja on Monday at the stakeholders’ conference on the proposed National Real Estate Regulatory Authority (NRERA).

The conference, themed “One vision, One Ecosystem, One National Housing and Real Estate Plan”, was organised by the Office of the Speaker, House of Representatives, and the House Committee on Housing and Habitat.

The minister said the lack of coordination among government agencies had affected the effective delivery of houses to Nigerians, noting that institutions in the sector operated independently.

“The players within the industry, all of us, operate in silos.

“Federal Housing Authority (FHA) does not even know what the Federal Mortgage Bank of Nigeria (FMBN) is doing. FMBN does not know what the Ministry of Finance Incorporated (MOFI) is doing,” he said.

According to him, the various institutions must work together towards a common goal rather than operate independently.

“Our target is to build houses for Nigerians. We are wasting our time because if we fail, it is us who fail, not the President,” he said.

The minister expressed support for the establishment of NRERA, saying the proposed authority would address the regulatory gaps in the real estate sector.

He said the ministry had reviewed the proposed legislation and recognised its potential to improve the sector.

Darma also disclosed that abandoned housing projects funded by the Federal Mortgage Bank of Nigeria (FMBN) across the country were worth about N38 billion.

He said a survey conducted by the ministry revealed abandoned FMBN-funded housing developments in every state of the federation, including the Federal Capital Territory.

“We realised about N38 billion of contributors’ money, your own money, all the Nigerian workers’ money. N38 billion is wasted,” he said.

He said that the poor management of workers’ contributions could discourage Nigerians from contributing to the National Housing Fund.

The minister urged the committee handling the proposed legislation to ensure that state governments were included in the regulatory framework.

He also called for safeguards to protect homebuyers, tenants, developers and mortgage lenders, including mandatory escrow accounts for buyers and standardised tenancy agreements.

The Managing Director and Chief Executive Officer of the Ministry of Finance Incorporated (MOFI), Dr Armstrong Takang, said effective regulation was necessary to restore investor confidence in Nigeria’s real estate sector.

Takang said the sector contributed 12.71 per cent to Nigeria’s Gross Domestic Product (GDP) as of June 2026, but remained largely unregulated.

He said the absence of a national licensing system had allowed unqualified individuals to operate as estate agents and developers without adequate accountability.

“Anyone can sell land, anyone can collect off-plan payments, run into tens of billions and get away with it. There are very few countries in the world where these are allowed,” he said.

He called for mandatory licensing of real estate operators and the protection of buyers’ funds through designated project accounts.

“An operator must be licensed with the authorities. No one should be operating in the real estate sector without a licence, no matter which part of the value chain they are involved in,” he said.

He added that buyers’ funds should be kept in protected project accounts and released to developers based on evidence of progress on construction.

Takang said effective regulation would attract domestic and foreign investment, protect citizens and support the Federal Government’s one-trillion-dollar economy target.

He urged the National Assembly to ensure the passage of the proposed legislation, describing it as critical to bringing order and transparency to the real estate sector.

Continue Reading

Business News

OPay Provides Update on Planned NYSE IPO, Reaffirms Normal Business Operations

Published

on

Share

From Tony Nwachukwu, Lagos

Fintech company OPay has announced the postponement of its planned public offering on the New York Stock Exchange (NYSE), following careful consideration of an ongoing inquiry by a regulatory authority.

The company said the decision to postpone the offering was taken in the best interests of the business and its customers.

In a statement shared with DAILY ASSET, OPay explained that the ongoing inquiry does not affect the services it provides to customers or how it operates in Nigeria and its other business markets.

The company also reassured customers, merchants, agents and other business partners that its operations would continue as usual, with all services remaining fully available.

“Customers can continue sending and receiving money, making payments and saving without interruption,” the statement noted.

OPay expressed appreciation to its customers, merchants, agents, business partners, employees and other stakeholders for their continued trust and support.

The company also reiterated its commitment to making financial services more inclusive through technology

Continue Reading

Advertisement

Top Stories

NEWS11 hours ago

West Africa: How WAHO Successfully Harmonized Procedure Manuals for Health Disciplines and Professions

ShareBy David Torough After three days of serious brain-storming sessions in Abuja, the West African Health Organization (WAHO), has successfully...

NEWS11 hours ago

2027: CAN Seeks Return of Sacked Traditional Rulers in Kaduna

ShareFrom Shabanyan Kantiok, Kaduna The Christian Association of Nigeria in Chikun Local Government Area of Kaduna State has urged Christian...

NEWS11 hours ago

OPay Opens New Kano Office, Strengthens Commitment to Nigeria’s Financial Inclusion

ShareOPay, Nigeria’s leading digital bank, has opened a new office in Kano State, strengthening its presence in Nigeria and bringing...

NEWS11 hours ago

Rigging Years Before Elections: Why Tinubu, Parliament Favours Staggered Balloting

Share Silhouette of Donald Andoor e‐mail; doandoor@gmail.com There is a growing need for Nigerians to look beyond the ballot box and...

NEWS11 hours ago

Akpabio Congratulates Nigeria’s Golden Girls, Flamingos

ShareThe President of the Senate, Godswill Akpabio has sent a hearty congratulations to the Nigerian Under-17 Women’s National Team on...

NEWS11 hours ago

Customs Generates N1.4tn Revenue in Two Months

ShareBy Julius Tambaya, Abuja The Nigeria Customs Service (NCS) generated a total of N1.419 trillion in revenue between September and...

POLITICS11 hours ago

ADC Crisis: Court Battle Threatens Opposition’s 2027 Game Plan

ShareBy David Torough, Abuja The crisis rocking the African Democratic Congress (ADC) has intensified following the Federal High Court judgment...

POLITICS11 hours ago

FG Secures $200m World Bank Support to Boost Aquaculture

ShareBy David Torough, Abuja Nigeria’s annual fish supply deficit has exceeded 2.2 million tonnes, forcing the country to spend close...

NEWS3 days ago

CBN Introduces New Regulatory Framework for Non-Security VASPs, others

ShareBy Tony Obiechina, Abuja The Central Bank of Nigeria (CBN) has introduced a comprehensive regulatory framework for non-security virtual assets...

NEWS3 days ago

Group tasks Women Journalists on Reporting Impact of Coal Mining in Enugu

ShareFrom Sylvia Udegbunam, Enugu A non-governmental organisation, Renevlyn Development Initiatives, has called on women journalists in Enugu State to intensify...