₦airaland Forum

President Buhari's 2018 Budget Speech: Budget Of Consolidation

Protocols

1. I am here to present 2018 Budget Proposals. Before presenting the Budget, let me thank all of you Distinguished and Honourable Members of the National Assembly, and indeed all Nigerians, for your support and prayers for my full recovery while I was on medical vacation.

2. I am very pleased to address this Joint Session of the National Assembly, on the revenue and expenditure estimates, and related matters, of the Federal Government of Nigeria for the 2018 fiscal year.

3. The 2018 Budget will consolidate on the achievements of previous budgets and deliver on Nigeria’s Economic Recovery and Growth Plan (ERGP) 2018 – 2020.

Overview Of Economic Developments In 2017

4. 2017, so far, has been a year of uncertainty on many fronts across the world. Whether it is Brexit, the crisis in the Korean Peninsular, or indeed, the political uncertainty in key oil producing nations of the Middle East and South America, we can all agree that these developments have in one way or another impacted Nigeria’s economic fortunes.

5. By all accounts, 2018 is expected to be a year of better outcomes. The tepid economic recovery is expected to pick up pace and the global political terrain is expected to stabilize. The International Monetary Fund (IMF) is anticipating global GDP growth of 3.7 percent in 2018. Emerging markets and developing economies are expected to lead with GDP growth of 4.9 percent, while advanced economies are projected to grow at a slower rate of 2 percent.

6. Nigeria’s journey out of the recent recession was a revealing one. We heard many opinions from within and outside Nigeria on how best to address our economic woes. We listened carefully and studied these proposals diligently. Our belief has always been that the quickest and easiest solution may not necessarily be the best solution for a nation as diverse as ours. We took our time to create a balanced and equitable response, keeping in mind that only tailored Nigerian solutions can fix Nigeria’s unique problems.

7. And from the recovery that we are seeing today, it is clear that we made the right decisions. Distinguished and Honourable Members of the National Assembly, I am now asking you to continue to support our economic policies in order to consolidate and sustain on the success achieved so far. We simply cannot go back.

8. In the non-oil sector, crop production has been one of the main contributors to non-oil growth, which rose to 0.45 percent in the second quarter of this year. This was primarily driven by our ongoing financial, capacity building and infrastructure development programs.

9. The Ministry of Agriculture and Rural Development, working with development partners and the private sector, have embarked on numerous capacity building projects. We have also completed over 33,000 Hectares of Irrigation Projects that have increased water availability in key food producing states. We shall continue to intensify our interventions through the Anchor Borrowers’ Programme and the Presidential Fertilizer Initiative to ensure that this momentum is sustained. We have also made provisions in the 2018 Budget to complete ongoing Irrigation Projects at Ada, in Enugu State; Lower Anambra, in Anambra State; and Gari, in Jigawa State. In 2017, many factories and projects in the food and agricultural sectors were commissioned in Kebbi, Nasarawa, Kaduna, Anambra, Edo, Jigawa, Rivers, Niger, Ogun and Ebonyi States, to mention a few. This is a clear statement that our economic diversification and inclusive growth ambitions are coming to fruition.

10. Significant progress has also been made in the Solid Minerals development sector. In Ondo State, for instance, work is ongoing to fully exploit the bitumen resources to meet the 600,000 MTs of asphalt imported per annum for roads and other construction projects. To consolidate on these efforts, we have also established a 30 billion Naira Solid Minerals Development Fund to support other minerals exploration activities across the country.

11. In the oil and gas sector, the relatively higher crude oil prices supported our economic recovery. Our mutually beneficial engagement with oil producing communities in the Niger Delta contributed immensely to the recovery in oil production experienced in recent months. We would like to thank the leadership and communities in the Niger-Delta for their continued support and to also reiterate our assurances that this Administration will continue to honour our commitments to them. We cannot afford to go back to those dark days of insecurity and vandalism. We all want a country that is safe, stable and secure for our families and communities. This means we must all come together to address any grievances through dialogue and peaceful engagement. Threats, intimidation or violence are never the answer.

12. We are working hard on the Ogoni Clean-up Project. During the year, we engaged 8 international and local companies proposing different technologies for the mandate. To enable us select the best and most suitable technology for the remediation work, we asked each company to conduct Demonstration Clean-up Exercises in the 4 Local Government Areas of Ogoni Land. These Demonstrations were recently concluded and the results are being studied by the Governing Council of the Ogoni Clean-up Project. Although the Project will be funded by the International Oil Companies, we have made provisions in the 2018 Budget for the costs of oversight and governance, to ensure effective implementation.

13. On the international front, I would like to thank our friends and partners in the Joint OPEC / Non-OPEC Ministerial Monitoring Committee (JMMC) who graciously granted Nigeria an exemption from the output cuts imposed on OPEC Member Countries in January 2017. This exemption, which was extended in September 2017, significantly helped during our most challenging time. We shall continue our positive engagement with other oil producing nations to ensure that the momentum generated is sustained.

14. Permit me, Mr. Senate President and Right Honourable Speaker, to state that despite the downturn in oil prices and our challenging economic circumstances, this Administration was able to invest an unprecedented sum of over 1.2 trillion Naira in capital projects through the 2016 Budget. This is the highest ever in the history of this country. This is a clear demonstration of our commitment to consolidate on our economic diversification reforms and lay a stronger foundation for future growth and development.

15. Our Sovereign Wealth Fund, which was established in 2011 with US$1 billion, did not receive additional investment for 4 years when oil prices were as high as US$120 per barrel. However, despite record low oil prices, this Administration was able to invest an additional US$500 million into the Fund. This further demonstrates that in our struggle to have a stable and secure nation today, we have not, and will not, lose sight of the need to lay a solid foundation for the future prosperity of successive generations.

16. We have asked the Sovereign Wealth Fund to look inward and invest locally. Some of the successes we are seeing today in the agricultural sector are driven by this new investment approach by the Nigeria Sovereign Investment Authority (NSIA). The NSIA also has a very strong pipeline of local investments that will support our inclusive and diversified economic growth plan.

17. Stability has been restored to the foreign exchange market due to the interventions by the Central Bank of Nigeria to improve access to liquidity, discourage currency speculation and increase net foreign exchange inflows. As at the 30th of October, 2017, our external reserves had increased to US$34bn. This stability has supported our efforts to provide the enabling environment and interventions needed to empower Micro, Small and Medium-Sized enterprises, investors, manufacturers and exporters, to sustain and in some cases, grow their operations. Indeed, by the second quarter of 2017, exports significantly outpaced imports, resulting in a trade surplus of 506.5 billion Naira.

Ease of Doing Business Reforms

18. One of the targets we set for gauging our progress in creating an enabling environment for business was to achieve a positive movement in the World Ease of Doing Business Index. You would recall Nigeria experienced a decade-long decline in this ranking. In 2008, Nigeria was ranked 120th. By 2015, our situation had deteriorated to 169th of the 189 countries surveyed. Our very simple, logical and user-friendly reforms are reversing this trend. A recently released World Bank business ranking report announced that Nigeria had moved 24 places to 145th position in 2017. I am delighted that we have met and even surpassed our target of moving at least 20 paces up this global ranking. The same World Bank report also stated that Nigeria is among the top 10 reforming countries in the world.

19. To ensure these reforms are institutionalized, Executive Order Number #1 on the Promotion of Transparency and Efficiency in the Business Environment was issued in May 2017. The Order contained measures that ease the process of business registration, approval of permits, granting visas and streamlining port operations. We are committed to continuing and accelerating the Ease of Doing Business reforms, which are critical to attracting new investments, growing the economy and creating jobs for our people.

Improved Tax Administration

20. Although the economy is diversified with non-oil Sector accounting for over 90 percent of total Nominal GDP, the Government’s revenues are not as diversified yet. Our Tax-to-GDP ratio of about 6% is one of the lowest in the world. This situation is not consistent with our goal of having a diversified, sustainable and inclusive economy. Accordingly, we are stepping up efforts to ensure all taxable Nigerians comply with the legal requirement to declare income from all sources and remit taxes due to the appropriate authorities.

21. Already, we have introduced the Voluntary Assets and Income Declaration Scheme (VAIDS) on the 1st of July, 2017. The Scheme provides non-compliant taxpayers with a nine-month window to regularise their tax status relating to historical periods. In return, overdue interest and penalties will be forgiven. In addition, no investigations or criminal charges will be brought against participating taxpayers. We expect that this Scheme will widen the tax net for both the Federal and State Governments. I am therefore, asking all Nigerians to seize this opportunity and do right thing. Let us not shy away from our duty to build a better Nigeria.

Optimising Efficiency in Expenditure

22. In 2016 this Administration adopted a policy of allocating at least 30 percent of our annual budget to capital expenditure. This was entrenched in the ERGP to unlock further growth in the economy. This tradition was maintained in the 2017 Budget and has been reflected in the proposal for 2018, in which 30.8 percent of total expenditure has been set aside for the capital vote.

23. To support these efforts, you would recall that an Efficiency Unit was set up under the Federal Ministry of Finance to reduce wastage, plug leakages and foster greater fiscal transparency. We have intensified the implementation of the Integrated Payroll and Personnel Information System (IPPIS) across government MDAs to automate personnel records and salaries’ payment process, with the goal of eliminating ghost workers. 461 Federal MDAs have been captured on the system, so far. Our target is to enroll all MDAs. I have directed the military and other security agencies to ensure total compliance without further delay.

Increased Investment in Infrastructure

24. Mr. Senate President, and the Right Honourable Speaker, we shall continue to develop our infrastructure across the country. Although a lot of progress has been made, the huge contractor liabilities we inherited have adversely impacted our infrastructure development timetable. Indeed, contractors were owed trillions of Naira when this Administration came into office. In some areas, we have made payments so projects may be completed; while in others, we are reconciling the liabilities to identify and settle legitimate claims. As a responsible and accountable Administration, we decided that clearing this backlog was an important priority.

25. For instance, at the outset of this Administration in 2015, the Abuja Metro-Rail Project, which began in 2007 was only 50% completed, after 8 years. Today, in just 18 months, we have pushed the project to 98% completion. This was achieved as the Nigerian Government was diligently able to meet its counterpart funding obligations for the Chinese loans.

26. We have also continued work on key strategic Roads. Over 766 kilometres of roads were constructed or rehabilitated across the country in 2017. For instance, work is at various stages of completion on these strategic roads with immense socio-economic benefits:

a. Rehabilitation of Ilorin-Jebba-Mokwa-Birnin-Gwari-Kaduna Road;

b. Dualization of Oyo-Ogbomosho-Ilorin Road;

c. Rehabilitation of Gombe-Numan-Yola Road;

d. Dualization of Kano-Maiduguri Road;

e. Rehabilitation of Sokoto-Tambuwal-Jega Road and Kotangora-Makera Road that transverse Sokoto, Kebbi and Niger States;

f. Rehabilitation and Reconstruction of Enugu-Port-Harcourt Road;

g. Rehabilitation of Enugu-Onitsha Dual Carriageway Road;

h. Rehabilitation of Aleshi-Ugep Road and the Iyamoyun-Ugep Section in Cross River State;

i. Rehabilitation, Reconstruction and Expansion of Lagos-Ibadan Dual Carriageway Road;

j. Construction of Loko-Oweto Bridge over River Benue in Nasarawa and Benue States; and

k. Construction Gokanni Bridge along Tegina-Mokwa-Jebba Road in Niger State.

27. Under the Federal Roads Development Programme, we recently completed a Data Collection Exercise on the 7,000km Federal Road Network which was funded by the World Bank. This information is enabling us to make informed decisions regarding the planning, budgeting and management of the Federal Road Network. Going forward, we will be working based on facts rather than subjectivity.

28. Furthermore, we have also invested a lot of time and effort in identifying alternative means of funding new projects. For example, the recent 100 billion Naira Sukuk Financing will cater specifically for the development of 25 roads across the country. We also developed different structures that empower private investors to contribute to the development of roads of significant national importance. Already, we are seeing results. For example:

a. The Bonny-Bodo Road is being jointly funded by the Federal Government and Nigeria LNG Limited. This project was conceived decades ago but it was abandoned. This Administration restarted the project and when completed, it will enable road transportation access for key communities in the Niger- Delta region; and

b. The Apapa Wharf-Toll Gate Road in Lagos State is also being constructed by private sector investors in exchange for tax credits.

29. Distinguished Members of the National Assembly, our Power Sector Reforms still remain a work in progress. Although we have increased generation capacity significantly, we still have challenges with the Transmission and Distribution Networks. That said, I am pleased to announce that since 2015, the Transmission Company of Nigeria (TCN) and Niger-Delta Power Holding Company (NDPHC) have added 1,950 MVA of 330-132kV transformer capacity at 10 Transmission stations, as well as 2,930 MVA of 132-33kV transformer capacity to 42 substations nationwide. With these additions, the Transmission Network today can handle up to 7,000 Mega Watts (MW).

30. The key bottleneck now is the Distribution Network where the substations cannot take more than 5,000 MW. This is constraining power delivery to consumers. We are working with the privatized Distribution Companies to see how to overcome this challenge. Nigerians should be rest assured that this Administration is doing all it can to alleviate the embarrassing power situation in this country.

31. Furthermore, to sustain the continued expansion of generation capacity and enhance evacuation, we approved a Payment Assurance Guarantee Scheme which enabled the Nigerian Bulk Electricity Trader (NBET) to raise 701 billion Naira. This assures the Generation Companies of up to 80% payment on their invoices. This intervention has brought confidence back into the sector and we expect additional investment to flow through, particularly in the gas production sector.

32. Distinguished Members of the National Assembly, this Administration is committed to the development of Green Alternative Energy Sources. To date, we have signed Power Purchase Agreements (PPA) with 14 solar companies. We also approved:

a. The completion of the 10 MW Wind Farm in Katsina State, a project that was abandoned since 2012; and

b. The concession of 6 small hydro-electric power plants with a total capacity of 50 MW.

33. To enable the successful take-off of these, and future Green Projects, I am pleased to inform this Distinguished Assembly that the Federal Government will be launching the first African Sovereign Green Bond in December 2017. The bond will be used to finance renewable energy projects. We are very excited about this development as it will go a long way in solving many of our energy challenges, especially in the hinterland.

34. On Rail, we recently received 2 additional locomotives and 10 standard gauge coaches for the Abuja-Kaduna Rail Line. These will be deployed for the new non-stop express service between the two cities that will only take one hour and fifteen minutes. This new service will complement the existing service currently in place. We plan to commission this by December 2017.

35. We have also kick-started the abandoned Itakpe-Ajaokuta-Warri Rail Line. This project has been on for over 17 years. We had to take some drastic measures but I am pleased to announce that work is ongoing and we expect to commission this service by September 2018. This service will start with 7 standard gauge coaches.

36. The situation at the Apapa port complex is a top priority for this Administration. The delays due to congestion and their adverse impact on business operations and costs is a key concern to our Government. As I mentioned earlier, we are partnering with the private sector to fix the road. We shall do the right thing considering. We will not cut corners.

37. In addition to the road, we have also commenced the extension of the Lagos-Ibadan Standard Gauge Rail Line to connect Apapa and Tin Can Port Complexes. This project will significantly ease the congestion at the ports and enhance both export and import operations. This project shall be completed by December 2018. Already, working with the private sector, we have repaired the Apapa Port Narrow Gauge Line which is currently being used to evacuate goods from the port, thereby easing congestion.

38. As we all know, sometimes doing the right thing takes time and requires sacrifices. I am therefore appealing to all stakeholders to work with us in ensuring we deliver a solution that we will all be proud of.

39. Certainly, the infrastructure requirement to reposition Nigeria for the future is huge and our resources are limited. Government, therefore, will pursue private partnerships to maximise available capital and developmental impact. In the next fiscal year, we will also establish 7 tertiary health institutions across the country through partnership with our Sovereign Wealth Fund and other private sector investors.

As sign of respect for Nigeria's fallen heroes, President Muhammadu Buhari today at the e-Nigeria Conference, directed that all heads of Ministries, Departments and Agencies (MDAs), others to wear the emblem.

Office Of The Vice President Press Release

***The recession was just not something that occurred in a cyclical fashion – not just another economic occurrence. No! It was unbridled corruption on a scale that was unprecedented anywhere in the world.

Address By The Vice President Of The Federal Republic Of Nigeria, His Excellency, Prof. Yemi Osinbajo SAN At The Legislative Economic Summit Themed: Legislative Framework For Economic Recovery And Sustainable Development At The International Conference Centre, Abuja On November 6, 2017.

Protocols

Let me begin by saluting the House of Representatives for taking the initiative to establish a Committee, dedicated to working with other stakeholders to get Nigeria out of the 2016 - 2017 recession.

In similar vein, I must commend the Honorable Members of the Committee for their sterling work of investigating the issues, consulting with relevant stakeholders, and coming up with useful insights and recommendations for policy actions to end the recession.

I have titled my remarks here, The Nigerian Recession: We must never walk this way again.

The story of the Nigerian recession must be told often, and more importantly, truthfully. There are two reasons why; the first is so as to ensure that never again, do we experience the horrors and deprivations of a recession, the second is that we cannot afford another recession, not now or in the future.

Permit me to quickly retell that story as I understand it, of how we got into a recession. Three reasons: one, we were running an unstable economic structure. Oil alone contributed 70% of budgetary revenues and 90%, perhaps more than that, of our foreign exchange revenues.

Up to 50-53% of the non-oil sector was dependent on the oil sector. Consequently, the fortunes of up to 60% of the Nigerian economy, rested on this volatile sector. This shaky foundation was masked in the past by high oil prices, but as soon as oil prices fell, the weakness showed.

The second weakness in our economic structure is that it had mainly been consumption driven with a high propensity to import. Worse still, we were importing food, food that we could grow. Our unsustainable food importation bill at some point, was over N1trilion, it was particularly damning for the economy as foreign exchange revenues dried up.

In 2015, oil prices fell to as low as $28 at some point. But worse still, throughout 2016 we lost almost a million barrels a day in oil production due to vandalization and sabotage of oil facilities and pipelines. We lost something in the order of about 60% of our revenues. Yet we could have survived without going into a recession, I think Dr. Teriba so ably stated that, we could have survived if we had savings. But we had no savings only debt.

As economists would say, and as Dr. Teriba had said, we did not have the fiscal buffers to enable a counter-cyclical approach. In other words, we lacked the savings to see us through the lean times. Why? Why did we lack savings, when so much money was being made? This is the elephant in the room.

This leads us to the second reason for the recession – corruption! Unbridled corruption and waste. I think it is important for us to emphasize that, so that we do not think that the recession was just something that occurred in a cyclical fashion – just another economic occurrence. No! It was not another economic occurrence, it was unbridled corruption on a scale that was unprecedented anywhere in the world, is what we experienced in Nigeria. It is important that we emphasize it so we don’t walk this way again.

The figures speak for themselves. Between 2013 and 2015 with oil prices averaging up to $110 per barrel, sometimes going to as high as $150, the government of the day somehow contrived to increase national debt from N7.9 trillion to N12.1 trillion while reducing external reserves from $45 billion to $28 billion as of May 2015.

Of course, we all know that there was very little by the way of investment in infrastructure and capital projects. In fact in 2015, capital spend was less than 11%. So there was very little to show for where this money went.

I don’t want to keep repeating some of the incredible things that happened, a few weeks before the last elections; how large sums of money, a 100billion in cash ostensibly for security. Another $289million in cash was paid out in the same period. No country can survive that kind of unbridled waste and corruption. We must never forget, that corruption is perhaps, the most outrageous cause of our economic decline.

Aside from barefaced stealing or waste of resources, the inflation of contracts and other procurements ensures that the cost of infrastructure necessary for development will always be unaffordable. So if what we should spend on building a 200km road ends up being spent on a 20 km road, there is no way we are going to make any progress and there is no way we won’t end up in some kind of economic decline or the other.

Today, we can say that despite the 60% or even more reduction in revenues from oil, we are bailing out the States and our capital spend in 2016 was close to N1.3trillion, the highest yet in the country's history. So with more prudent management, it is possible to do more with far less money.

Permit me to comment on two of the other major causes for the deepening of the recession. One is the intractable delays in the budget approval process and two the long procurement processes.

If the budget process takes up to 5 months of the financial year and procurement is another 3months we have already ensured that the economy will be at a standstill for most of the year.

The truth is that no developing economy can afford the luxury of prolonged executive/legislative wrangling over the budget. Developed economies with strong and independent private sectors may be able to cope, but Nigeria simply cannot.

Budgetary delay in a situation of national economic emergency, and the hardship encountered by so many, is simply wrong and unacceptable. Neither the executive nor the legislature can excuse itself. It is wrong for us to hold up the budget for that long. The delays of course, will ensure that money will not flow into the economy, and that capital projects will not be done.

Let us go back to the 1st reason why we must remind ourselves about the recession story. It is so that we do not go down this road again, how do we make sure we don't?

It was clear to this government, that the solution to getting Nigeria out of recession, requires focused and determined leadership to take immediate and long-term measures to tackle our weak economic foundations. This found expression is in the Economic Recovery and Growth Plan of Government.

The recovery intended in the Plan was truly to take the economy out of recession, but in addition, it was to stem the slide in growth that occurred since 2014. We accordingly prioritized, actions to restore oil production at home through a New Vision for the Niger Delta, while working with our international partners to stabilize oil prices.

The results are clear, with oil production now at 2million barrels per day (including condensates which are not part of the OPEC quota) and our external reserves now stand at about $34billion.

A second plank of immediate actions taken was ensuring that consumption and investment did not contract any further. The Federal Government did paid its own salary obligations and extended support to the States to pay the backlog of salaries.

In addition our social intervention programmes put money in the hands of Nigerians through N-Power jobs for young graduates, about 200,000 have been engaged and another 300,000 are in the pipeline for engagement, microcredit loans for market women and artisans, and indirectly, by paying for meals for primary school children through our home grown school feeding programme.

The capital spend of about N1.3 trillion in the 2016 budget was unprecedented, but it was important in ensuring that money would go into the economy. This capital spend had the dual purpose, one - boosting growth through government spending but also to provide infrastructure to underpin what we hope would be a fast-growing, dynamic and diversified economy.

Moreover promoted the productive sectors of agriculture, manufacturing and solid minerals. It is well known that the agricultural sector continued to grow even during the recession due to the emphasis that we placed on sector through schemes like the Anchor Borrowers Programme and the Presidential Initiative on Fertilizer. I will return to this point briefly.

Industry returned to positive growth in the second quarter of this year after nine successive quarters of decline since 2014. This was of course due to the increased availability of foreign exchange for imports of intermediate goods and raw materials, more spirited efforts being made by local industries to source for raw materials, and also less onerous business conditions.

Indeed, our efforts to create a more business friendly environment yielded fruit only a few days ago when we exceeded our target of moving up on the World Bank’s ease of doing business rankings. We moved up 24 places instead of our target of 20 and we were named one of the 10 best reforming economies in the world.

It is important to emphasize that the Presidential Enabling Business Environment Council is a collaboration between the Executive, legislature and the private sector. I must commend the legislature for playing its part promptly and faithfully by passing two watershed pieces of legislation on the credit bureau and movable assets. These two legislatures were critical in the way that our economy was viewed by the World Bank and investors in the economy.

The Economic Recovery and Growth Plan remains our blue print for actions going forward, but let me just emphasize a few points. First, we will continue to provide strong macroeconomic management, by increasing revenues and getting out more delivery of infrastructure and services with every naira spent.

We will also maintain efforts to bring inflation down, stabilize the exchange rate and reduce interest rates. Similarly, our debt will be kept within sustainable limits while borrowing will be used strictly for capital expenditure and to rebalance the ratio of domestic to external debt.

Increasing productivity in agriculture and industry is critical. We simply must produce, productivity is crucial. This is easier said than done but it must be done. We have focused on agriculture and the agro-allied value chain with our focus on cheaper and improved inputs, local fertilizer production, cheaper credit for farmers through the Anchor Borrowers’ programme —productivity in the agricultural sector is at an all-time high. Rice imports have dropped by 70%. And we are fast becoming one of the largest producers of paddy rice in the world. Now we are producing about 7metric ton of paddy rice.

Agriculture is providing more jobs than ever before, as it contributes more to GDP. More investments are coming into agriculture; Walcot, one of the agro-allied companies, a few months ago, opened its 120,000 metric ton rice mill in Kebbi.

The Indorama opened a 3million metric ton fertilizer plant in Rivers State also a few weeks ago. Dangote is investing in a total capacity of 1million metric tons of rice mills and that will be ready by May 2018. Olam’s poultry and feed mill which recently opened in Kaduna is the largest in the country today.

In the same vein, we will continue to lay emphasis on adding value to our oil and gas resources. Thus, in addition to ensuring the availability of premium motor spirit and other refined petroleum products by supporting the building of additional refineries, including modular ones, we are also seeing viable investments in fertilizer, petrochemical and gas liquefaction plants.

Ensuring the availability and sufficiency of electricity remains a major priority for the Federal Government. It seems to have almost gone unnoticed, that our discussion about power generation has gone from talking about 4000 MW to 7000MW, alongside an increase in transmission capacity.

In addition, we remain focused on implementing the Power Sector Recovery Plan, the eligible customer arrangement and boosting the contribution of renewable energy to our national energy mix.

Transport infrastructure is one area in which Nigerians come into contact daily because roads, air and rail are essential for commerce, especially the movement of people and goods. While the Federal Government is making steady, but strategic progress on both the narrow and standard gauge rail lines, it is quite evident that it does not have the resources to repair and rebuild all of the road network that we all desire to see.

This is why the Federal Executive Council recently approved the revision and deepening of the Road Trust Fund. A scheme that would enable the private sector to develop roads of interest to them in exchange for tax credits. We already have several expressions of interest in this and there are already agreements that are going into operation in relation with this road trust fund.

We are confident that with this scheme, and other related ones such as handing over key roads to State Governments to repair would lead to a much improved road network in a short period.

Diversification of our revenue earnings from dependence on oil is a key policy objective for us. Aside from developing exports, effective tax collection is key. Federal and State authorities are being pushed to aggressively collect taxes. Without increasing taxes, if we spread the tax net, if we increase collection of taxes, we will be doing far better in terms of revenue than we are doing today.

The focus on oil, has also given rise to a complete dependence by the federal government but more so the States on the monthly federal allocation.

Most States today, earn less than N1billion a month from internally generated revenue. 15 States earn less than N500million a month and about three states earn less than N300million a month from internally generated revenue. Of course, these are outrageously low earnings from taxation.

Before oil, all that the three regions we had at the time, was agriculture and taxes. Yet the West, just to cite an example, was exporting cocoa, built the tallest building in Africa, the first television station in Africa, hundreds of miles of roads, farm settlements and industrial estates.

The same territory and more people are available today. So there is absolutely no reason we can’t ramp up taxes, but federal and state taxes.

Lagos, Rivers and Ogun States have shown what is possible with effective taxation and promotion of industry. Lagos generates more revenues now than 31 States put together. The revolution started in 2004 when President Obasanjo seized the local government funds of Lagos State.

With almost 40% loss of income from FAAC Lagos begun an aggressive reform of its tax system. The results is what we see today, that the State can survive without any recourse to Federal allocation.

Rivers States earns roughly N85billon annually, Ogun State earns N72billion. Ogun State is somewhat interesting because, unlike Rivers State which has a captive market of oil companies, Ogun State has had to aggressively attract industry and use its strategic proximity to Lagos to offer a cheaper deal to investors. So it has been able to ramp up its taxes.

I think that taxes are so crucial, collecting taxes, VAT, income taxes and corporation taxes will be crucial as we increase our revenues.

Finally, why is that we cannot afford another recession now or in the future? Simple, every year we are growing at the rate of 2.6% percent per annum. We can only create jobs and feed our people if our growth rate is at least double that figure. In other words, if we are able to increase our economy and possibly, double or triple that figure.

By 2050, we will have the fourth largest population in the world. Over 60% of that population will be young men and women who will need education, jobs and a future for their families.

There is no society yet on earth that has had that size of population and did not have the technology, educational facilities and other infrastructure to sustain it. The cost of being the first such nation will be too grave to bear.

Honorable members, distinguished colleagues, the obligation that history and providence has thrust upon us today is to honestly do all we can to ensure that the future of our people is secure and prosperous. We must not walk this path of recession again.

Thank you very much.


Released by
Laolu Akande
Senior Special Assistant on Media and Publicity
Office of Vice President
6 November, 2017

Press Release: 7 Division Human Rights Desk Mobile Numbers, Email Addresses And Whatsapp Number

Following the commissioning of 7 Division Human Rights Office at Maimalari Cantonment in Maiduguri by the Chief of Army Staff Lieutenant General TY Buratai on 3rd October 2017, the Division Human Rights Desk is now fully functional. The mobile numbers, email addresses and WhatsApp number of the 7 Division

Human Rights Desk are as follows:
a. Emails.
(1) hq7divisionhumanrightsdesk@yahoo.com
(2) 7divisionhumanrightsdesk@gmail.com

b. Mobile Numbers.
(1)07088860867
(2)08032120638 – Also for Whatsapp.

You are please requested to disseminate this information to the general public through your medium.

Thank you for your cooperation.

Colonel Kingsley Mfon Samuel
Deputy Director 7 Division Army Public Relations

Office Of The Vice President Press Release: FG’s Oil And Gas Reforms Fast-Tracking Private Sector Led Investments – VP Osinbajo

*Solicits private sector cooperation in the realization of FG’s clean energy economy initiative.

“We remain focused on making necessary, even if dramatic, policy shifts in this sector to grow, deepen and open up the business and opportunities in Nigeria’s oil and gas sector.’’

“We solicit your cooperation and support for our own clean energy economy efforts as well. We would like to see you invest more in research and development initiatives focused on renewable energy.

Below is the full text of the Vice President’s address:

Keynote Address By The Vice President Of The Federal Republic Of Nigeria, His Excellency, Prof. Yemi Osinbanjo SAN At The 55th Anniversary Celebration Of Oil Producers’ Trade Section (OPTS) Of The Lagos Chambers Of Commerce And Industry (LCCI) Held At The Eko Hotels, Lagos On November 2, 2017.

Protocols

I am honoured and pleased to be in your midst today to celebrate the 55th anniversary of the Oil Producers Trade Section (OPTS) of the Lagos Chambers of Commerce and Industry (LCCI).
As the oldest advocacy group for the Oil and Gas industry, the OPTS has a rich heritage of promoting the best interests of the Upstream Oil and Gas sector of the Nigerian economy.

Aside from being the industry’s largest private sector investors and participants, we all owe you a debt of gratitude for these positive contributions through the years.

The theme: Nigeria: An Investor Friendly Destination, aptly describes Nigeria’s current journey of transiting to the next chapter, of maximizing our resources for the development of our nation, and the OPTS platform is an important sounding board for government and several regional non- state actors interested in the oil and gas industry.

Permit me to mention some highlights of the performance of the Industry in the past two years and in the past year. 2016 tested the resolve and resilience of oil producing countries especially OPEC members.

Unlike in 2008 where the oil price decline was driven by demand deterioration, the decline in the oil price from 2014 to 2016 was due to excess supply. So more than ever, we needed closer collaboration within OPEC and externally with the non-OPEC members. Oil market sentiments have improved since the OPEC and non-OPEC declaration, and as prices rose, volatility decreased and net futures and options long positions increased.

In 2016, the Nigeria upstream sector of the oil and gas industry was challenged by the menace of upstream assets vandalism. From a peak production of over 2.30 Million barrels per day recorded at the beginning of 2016, we witnessed a decline to an almost all-time-low of just under 1.0 Million barrels per day due to incessant vandalism. Many indigenous producers suffered perhaps more than other players in the industry.

But thankfully, largely due to sustained engagements with the Niger Delta and the new Niger Delta vision, our production has ramped up to about 2.1 million barrels per day, from our 2016 crude oil production average of about 1.8 million barrels and that figure includes condenses.

Petroleum products supply and distribution to the nation is fairly stabilized since the giant leap of May 2016 market liberalization.

However, with the prevailing change in the macroeconomic conditions, this is being achieved at higher cost, especially to NNPC as the supplier of the last resort.

We continue to channel more energy towards resolving our downstream issues, once and for all and we have also made tremendous progress in fulfilling the repayment terms of the new sustainable funding framework for Joint Venture cash call operations. This will not only sustain our JV operations but is also a key enabler for incremental production from our JV operations and a pathway towards incorporating our JVs.

In the area of Local Content, in the year 2016, the country witnessed a steady increase in participation of Nigerians in oil and gas contracts by about 180%, and we expect that the numbers will increase in 2017 and beyond.

When all these highlights of the industry are taken together, we can see both progress and challenges.

Our challenges include that of security & environment, institutional capacity, funding of investments, high industry technical costs, obsolete legislation & fiscal regimes, downstream sector issues and infrastructure constraints.

There are often various factors that contribute to create these challenges. These factors obviously underpin our own approach and considerations we have made in reforming and repositioning our oil and gas industry.

Reforming the Industry, you are well aware, His Excellency, President Muhammadu Buhari launched in October 2016, the roadmap for the repositioning of the Nigeria Oil and Gas Industry. The roadmap has very specific time-focused targets and like the many other steps taken in the sector since the inception of the present administration, we remain focused on making necessary, even if dramatic policy shifts in this sector to grow, deepen and open up the business and opportunities in Nigeria’s oil and gas sector.

All studies conducted on the Nigerian petroleum sector since 1999, agree that the issue that the role of Government in the oil and gas sector needs to be better clarified whilst the policy, regulatory and commercial institutions need to be given a refocused mandate to ensure better sector governance, transparency of regulations and operations, accountability of the institutions, and removal of opaqueness around the industry.

For these reasons, we have begun to address these issues with an overhaul of sector policies. We have developed and obtained the approval of the Federal Executive Council for a new National Oil and Gas Policy, and a new fiscal policy has been developed and its approval by FEC is underway.

We have taken a root and branch effort to reform, which is the basis of these policies and in order to ensure the sustainability of the policies, Nigeria is in the process of legislating these critical policy positions within the next few months.

The strategic objective of the new oil policy is to:
i Create a market driven oil and gas industry,
ii Maximize production and processing of hydrocarbons,
iii Move away from oil as a source of income, to oil as a fuel for economic growth,
iv Minimize the environmental footprint of oil exploration and production,
v Manage the balance between depleting oil resources vs renewable energy,
vi In the gas space, our policy interventions aspire to move the economy from oil to gas,
vii Diversify the gas supply options within Nigeria, to ensure security of supply,
viii Extend gas penetration in the domestic market in order to facilitate the growth of the electric power, agricultural, and industrial sectors gain a presence for Nigerian gas in international markets,
ix Operate a gas industry with a clear division of roles between private and public sectors,
x Public sector policy making; implementation and regulation,
xi Private sector investment and operations,
xii End and commercialize gas flaring and address environmental issues,
xiii Provide an enabling environment for increased private sector participation in the gas sector.

To clarify the rules guiding investment in the gas sector, the new fiscal policy sets out to address Nigeria’s energy trilemma of addressing energy availability, enhancing energy accessibility and promoting energy availability

It will enhance fiscal neutrality, create a fiscal basis that will encourage investments and market developments, while emplacing competitiveness and cost efficiency for the benefit of both government and the industry operators.

Hitherto, the Nigerian downstream infrastructure had been solely financed by government because of the social and economic impact, high investment requirements and long gestation period.

Due to competing needs for government resources from other public sector services, most oil and gas infrastructure development projects should be financed and managed through private sector participation.

It is in the light of this, that comprehensive reforms are ongoing to fast track the development of private sector led downstream infrastructure, for effective competition and efficient service delivery.

We will continue to address Niger Delta issues and build a peaceful and prosperous Niger Delta, with emphasis on job creation for our teaming unemployed youths, investment in infrastructure, energy and promotion of sustainable livelihood.

Other key areas in our focus include; hydrocarbon tracking, cost reduction and restructuring our parastatals. All in all, if our government’s orientation and doctrinal positions are anything to go by, the future portends even greater private sector leadership and participation in the oil and gas sector.

The oil industry stands to benefit greatly from our on-going Ease of Doing Business reforms. On Tuesday, the World Bank released its latest report, in which Nigeria achieved the unprecedented step of climbing 24 places in the rankings, and earning a place on the list of ten most improved economies in the world.

This is fantastic news, but by no means an excuse for us to slow down. Instead we’re taking it as the very reason why we need to ramp up our reforms, for the benefit of Nigeria. There is still work to be done in reducing bureaucratic bottlenecks in the award of contracts and generally in obtaining approvals – in your case from National Petroleum Investment Management Services (NAPIMS). It is for this reason – the creation of a business environment that catalyzes business activity and investment –that this year alone we have issued an Executive Order focusing on improving the business environment, and launched two National Action Plans designed to be short-term interventions aimed at implementing specific business environment reforms. The second National Action Plan is on-going, and we expect that it will yield results across every sector of the economy, including the OPTS.

In closing, let me reflect briefly on the issue of the slow but steady emergence of a post-oil world order. All around us there is evidence along these lines, of a world that is coming to terms with the fact that fossil fuels are going out of fashion. I’m certain that this is an issue you’ve had to agonise over and grapple with as oil producing companies.

Around the world, countries are increasingly setting deadlines to wean their cars and machines off petrol and diesel, in favour or clean, renewable energy. It is no longer a question of if but when. And it is for this reason that so-called ‘oil-rich’ countries have an obligation to prepare for a destiny beyond oil. It is in this context, that the mantra of ‘we need oil to set ourselves free from oil’ makes maximum sense.

As you yourselves adjust to the reality of the dwindling significance of fossil fuels, we solicit your cooperation and support for our own clean energy economy efforts as well. We would like to see you invest more in research and development initiatives focused on renewable energy; in generally envisioning and laying the foundation for a post-oil world.

The thinking about the swiftly emerging future, more than any concerns about a disappearing present, is what should most readily occupy our minds and thoughts on, as oil producers. It is certainly what should occupy the hearts and minds of all countries around the world, especially the so-called ‘oil rich’ ones like ours.

On this note, let me again express my appreciation to the Oil Producers Trade Section (OPTS) of the Lagos Chamber of Commerce and Industry (LCCI), for extending this invitation to me to celebrate your 55th anniversary with you. No doubt, the five-and-half decades ahead are guaranteed to witness more business model disruption and technological innovation than the five-and-half behind you.

I wish you a successful navigation of the exciting times and seasons ahead.

Happy 55th anniversary and thank you.


Released by:
Laolu Akande
Senior Special Assistant to the President on Media & Publicity
Office of the Vice President
2nd November, 2017

Office Of The Vice President: Press Release

World Bank Doing Business Report On Nigeria Fantastic, & Is Proof That Buhari Administration's Reforms Are Working, Says Osinbajo.

FG Will Not Rest On Its Oars On Improving The Nigerian Economy.

*VP Adds That Presidency Will Make Dramatic Policy Changes In Oil & Gas Sector If Necessary.

*“The present administration remains focused on making necessary even if dramatic policy shifts in this sector to grow, deepen and open up the business and opportunities in Nigeria’s Oil and Gas Sector” – VP Osinbajo.

Despite Nigeria’s latest impressive ranking in the World Bank’s latest ‘Doing Business’ report, the Buhari administration will continue to actively pursue its reform agenda to keep improving the nation’s economy, according to Vice President Yemi Osinbajo, SAN
Prof. Osinbajo further said the oil and gas industry in Nigeria stands to benefit greatly from the administration’s Ease of Doing Business reforms.

He said this in his speech on Thursday to mark the 55th anniversary of the Oil Producers Trade Section (OPTS) of the Lagos Chambers Of Commerce and Industry (LCCI) at the Eko Hotel & Suites, Lagos, with the theme: Nigeria: An Investor Friendly Destination.

The Vice President noted that Nigeria’s latest ranking in the World Bank’s report was an indication that the Buhari administration’s reforms were producing results.

“On Tuesday, the World Bank released its latest report, in which Nigeria achieved the unprecedented step of climbing 24 places in the rankings, and earning a place on the list of 10 most improved economies in the world.

“This is fantastic news, but by no means an excuse for us to slow down. Instead we’re taking it as the very reason why we need to ramp up our reforms, for the benefit of Nigeria. There is still work to be done in reducing bureaucratic bottlenecks in the award of contracts and generally in obtaining approvals.

"It is for this reason – the creation of a business environment that catalyses business activity and investment - that this year alone we have issued an Executive Order focusing on improving the business environment, and launched two National Action Plans designed to be short-term interventions aimed at implementing specific business environment reforms. The second National Action Plan is ongoing, and we expect that it will yield results across every sector of the economy, including the OPTS.”

Prof. Osinbajo further said the Federal Government, through its sector road map launched in October 2016, is making inroads towards reforming and repositioning the nation’s oil and gas industry.

He added that the administration has developed and obtained the approval of the Federal Executive Council for a new National Oil Policy and a new National Gas Policy.
Prof. Osinbajo said, “The roadmap has very specific time-focused targets and like the many bold steps we have taken in this sector since the inception of the present administration, we remain focused on making necessary even if dramatic policy shifts in this sector to grow, deepen and open up the business and opportunities in Nigeria’s Oil and Gas Sector.

“In 2016, the Nigeria upstream sector of the oil and gas industry was challenged by the menace of upstream assets vandalism. From a peak production of over 2.30 Million barrels per day recorded at the beginning of 2016 we witnessed a decline to an almost all-time-low of about 1.0 Million barrels per day per day due to incessant vandalism. Many indigenous producers suffered perhaps more than other players in the industry.

“Thankfully due to our sustained engagements with the Niger Delta, our production has ramped up to about 2.1 million barrels per day from our 2016 crude oil production average of about 1.80 million barrels.”

While calling for more private sector participation in the oil and gas infrastructure development projects, the Vice President emphasised that the Buhari administration will continue to address development in the Niger Delta through its New Vision for the region.

“We will continue to address Niger Delta issues and build a peaceful and prosperous Niger Delta, with emphasis on job creation for our teaming unemployed youths, investment in infrastructure, energy and promotion of sustainable livelihood,” he said.


Laolu Akande
Senior Special Assistant to the President on Media & Publicity
Office of the Vice President
2nd November, 2017

Background For The Federal Government's Ease of Doing Business Reform.

WATCH: Honourable Minister Of Finance Kemi Adeosun speaks on illegal recruitment in Ministries----->> https://twitter.com/twitter/statuses/923790231094071297

Speech By His Excellency Muhammadu Buhari On The Occasion Of The Launch Of The 2018 Armed Forces Remembrance Day Emblem And Appeal Fund On Wednesday, 1st November 2017

The Vice President
Distinguished Senate President
Honourable Speaker of the House of Representatives
Chief Justice of Nigeria
Members of the Federal Executive Council
Permanent Secretaries
Chief of Defence Staff
Service Chiefs and Inspector General of Police
Members of the Diplomatic Corps
Senior Officers
Distinguished Veterans
Ladies and Gentlemen, Members of the Press

I heartily welcome you all to the formal launching of the Armed Forces Remembrance Day Celebration 2018 Emblem and Appeal Fund. Our gathering here today is in continuation of a worthy tradition of recognizing and appreciating the sacrifices of our veterans in the First and Second World Wars, Nigerian Civil War, Peace Support Operations around the world, and Internal Security Operations particularly the ongoing war on insurgency in the Northeastern part of the country.

2. It is indeed worthwhile to honour the memory of our distinguished veterans who paid the supreme sacrifice to keep the country united. Some others have spent the best part of their lives in Service to keep our nation and the world in peace.

3. The resolve by our countrymen and women to remain in one indivisible and indissoluble nation, Nigeria is at the centre of this celebration. Indeed the Remembrance Day Celebration is being marked on the 15th of January instead of 11th of November as in other Commonwealth nations to commemorate the end of the Nigerian civil war – a war that was fought to keep Nigeria one.

4. We must therefore cast our minds back at the events that led to the civil war, the immense human capital loss of the tragic war, and resolve that never again shall we allow our dear nation by our actions or inactions to experience another war.

5. I want to salute the gallantry, courage and sacrifices of men and women of the Armed Forces as they grapple with diverse and contemporary security challenges plaguing the country.

6. I appreciate your display of unparalleled loyalty to the country and dedication to duty. Being one of you, I understand what you have to undergo. This administration will continue to do all within its power and resources to ensure that your welfare is adequately catered for.

7. The noble culture of appreciation and respect for veterans and servicemen and women experienced all over the world is very much part of us in Nigeria.

8. I therefore look forward to a time when business concerns and service providers in the country would give special recognition and consideration for these distinguished citizens and support the veterans’ cause in any way they can through voluntary donations, employment opportunities and welfare support.

9. As a government we desire to improve the capability of our Armed Forces. I am glad that our efforts are yielding positive results already in boosting the morale of men and women of the Armed Forces.

10. We will continue to engage them in training and retraining to improve on their capacity to discharge their constitutional roles.

11. As I launch the Emblem today, I call on all Nigerians, the Diaspora and our friends to donate generously to the cause of the Nigerian Legion and families of the Fallen Heroes.

12. I implore all to procure and wear the emblem with pride as a way of identifying with those that laid down their lives, the incapacitated and others still who are daily in harm’s way in order to guarantee our peace and security. We will always remember them and the respect we owe them.

13. I also hereby launch the Partnership Scheme for the Armed Forces in which all Nigerians, corporate organizations and government agencies should support and partner with the Nigerian Armed Forces in appreciation of the sacrifices of these honourable men and women.

14. May I use this medium to commend the Nigerian Legion of which I am the Grand Patron, for its effort in maintaining comradeship of the Servicemen and servicewomen after retirement.

15. Let me use this opportunity to thank the state Governors who are patrons of the Legion in their respective states for the support they have been rendering to the Legion. I urge them to continue and improve on this even in the face of dwindling resources.

16. Distinguished Veterans, Ladies and Gentlemen, it is my singular honour and privilege to launch the 2018 Armed Forces Remembrance Day Emblem and Appeal Fund

17. Thank you all and God bless Nigeria.

Mr Boss Gida Mustapha was sworn in this morning by President Muhammadu Buhari as the new Secretary to the Government of the Federation (SGF). Following his swearing-in, the new SGF took his seat next to the Vice President in the Council Chambers, ahead of the FEC Meeting.
Until his appointment the new SGF was Managing Director of the National Inland Waterways Authority (NIWA).

Contrary to reports, the African Development Bank (AfDB) has not called off the $600m loan to support Nigeria's economic recovery.

Breaking News:

President Muhammadu Buhari has sacked the Secretary to the Government of the Federation, Babachir Lawal.

Mr Boss Mustapha has been appointed new Secretary to the Government of Federation.

Also sacked is the suspended Director-General of the National Intelligence Agency (NIA), Ambassador Ayodele Oke.

Office Of The Vice President Press Release: It's In Nigeria's Interest To Promote Transparency In Extractive Sector, Says Vice President Osinbajo

*EITI commends Nigeria’s “outstanding speech” at recent Jakarta conference.

Nigeria will continue to embrace transparency in the extractive sector because it is in the country’s overriding national interest to do so, according to Vice President Yemi Osinbajo, SAN.

Prof. Osinbajo stated this during a bilateral meeting with the Chairman of the Extractive Industries Transparency Initiative (EITI), Mr. Fredrik Reinfeldt, on the side-lines of the just-concluded EITI Beneficial Ownership Conference, in Jakarta, Malaysia.

He said, “Transparency in this sector is very important for Nigeria. It is in our enlightened self-interest to do so because of the strategic nature of this sector to our economy. So we are doing this more for ourselves.

“These are commitments that we made with all sense of seriousness, not because we are looking for applause or commendation, but because we are convinced they are in our best interests.”

At the bilateral meeting on Monday, the Vice President reaffirmed the Buhari administration’s commitment to a sustained EITI implementation in Nigeria and the establishment of a publicly accessible register of the ultimate owners of companies operating in the country.

Earlier in his keynote address, Prof. Osinbajo had noted that the EITI implementation was in line with President Muhammadu Buhari administration’s anti-corruption drive, and the commitment the President made at the May 2016 London Anti-Corruption Summit.

The Vice President pledged that the administration will continue to support the Nigeria Extractive Industries Transparency Initiative (NEITI) to deliver on its mandates.

The EITI Chairman, a former Prime Minister of Sweden, commended Prof. Osinbajo for his “outstanding speech” at the opening plenary, and pledged that the EITI board and secretariat will continue to support Nigeria in its initiatives. Reinfeldt also praised Nigeria for attaining “meaningful progress” at the last validation despite the complexity of EITI operation in Nigeria.

Validation, which provides an independent assessment of EITI implementation, is used to assess whether a country implementing the EITI has met the requirements for compliance with the EITI Standard.

The EITI, a global standard to promote prudent management of oil, gas and mineral resources, is implemented in 52 countries, including Nigeria, which signed up to the initiative in 2003 and started implementation in 2004. The implementation of EITI in Nigeria is backed by the NEITI Act 2007. Nigeria is regarded as one of the leading EITI-implementing countries as its operations have shaped the evolution of the global body.

The EITI Beneficial Ownership Conference brought together representatives of governments, companies and civil society groups to exchange ideas and share practices on how to end secret ownership in the extractive sector in all EITI-implementing countries by January 2020.

Others at the bilateral meeting include the Minister of State for National Planning, Mrs. Zainab Ahmed, who is also a member of the EITI board; the Nigerian Ambassador to Indonesia, Mr Hakeem Balogun; and the Executive Secretary of NEITI, Mr. Waziri Adio. Accompanying the EITI chairman were Mr. Eddie Rich and Mr. Pablo Valverde, both of the EITI Secretariat in Oslo, Norway.


Laolu Akande
Senior Special Assistant to the President on Media & Publicity
Office of the Vice President
29 October, 2017

Nigeria Is Out Of Recession And President Buhari Is Transforming The Economy.

Around the middle of 2014, when the price of crude oil fell dramatically, Nigeria’s finances became challenged. This is not hard to explain: We’ve historically depended on crude oil for as much as 70 per cent of government revenues and 90 per cent of foreign exchange earnings. The outcome—pressure on government finances—was by no means unusual. A similar fate befell most oil-rich countries around the world.

Where Nigeria possibly stood out was in the fact that during the preceding three years—when oil prices were in excess of $100 per barrel—the previous administration did little in terms of saving and investing for the future. Our sovereign wealth fund—which was established in October 2012 with just US$1 billion—did not receive any further inflow during the oil price boom. Instead, billions of dollars were squandered through corrupt oil and defense contracts.

It is a terrible thing for a country to fall on hard times without a savings buffer. But there was nothing unexpected about our downturn. It was the inevitable result of the choices we made or didn’t make during the years of boom.

What is remarkable—yet not talked about as much—is the way we have worked so hard to exit the recession, reset the economy and reposition Nigeria for a brighter future for present and future generations of Nigerians. President Muhammadu Buhari and his administration are laying the foundations for the kind of economic growth that makes a real impact in the lives of citizens.

The downturn has inspired unprecedented levels of fiscal responsibility, in line with President Buhari’s determination to fight Nigeria’s endemic corruption.

Shortly after taking office, he issued a presidential order mandating the immediate implementation of the Treasury Single Account (TSA) system, consolidating thousands of government accounts scattered across banks into a unified system that is transparent and easy to centrally monitor and track. Under the old system, it was common for government accounts to be converted into personal use, but under the TSA this is impossible. Also, the proliferation of accounts encouraged several questionable practices.

Budgetary reform has also taken a lot of our time and attention. We are pioneering the use of software to prepare our annual budgets, which allows greater transparency and the ability to track changes.

We have insisted on using biometric verification in the deployment of our social investment programme, which includes a job scheme for unemployed graduates; a school feeding scheme for primary school pupils; a conditional cash transfer scheme targeting a million of our poorest citizens; and a micro-credit scheme for artisans, farmers, and traders. In the past, social investment payments would have been made as cash handouts.

A similar insistence on biometric verification for the federal payroll has resulted in the detection of tens of thousands of bogus beneficiaries—or “ghost workers,” as we often refer to them in Nigeria—and savings running into billions of naira every month. The tighter rein on public finances allowed us invest $500 million in our sovereign wealth fund during a recession.

We are pursuing unprecedented cooperation with foreign governments and powers, as part of our transparency and anti-corruption drive. For the simple reason that a disproportionate amount of public funds looted in Nigeria end up in the United Arab Emirates, Nigeria has signed bilateral agreements with the UAE government on extradition, exchange of information, and repatriation of stolen public funds.

One strong demonstration of our political will has been a whistleblowing scheme we launched months ago that empowers citizens to report public corruption. The impact in terms of recoveries has exceeded our expectations: In two high-profile examples, $43 million and $9.8 million in looted cash were recovered from apartments in Lagos in the south and Kaduna in the north respectively.

A lot of the work we have done since President Buhari came to office in May 2015 has been focused on dismantling the old ways of doing things, rebuilding them, and empowering and fortifying our institutions with technology to block loopholes, discourage abuse, and prevent a relapse into the destructive ways of the past.

The new Nigeria we seek will not happen without this kind of foundational reform that imposes on us new ways of thinking and of doing things. The early results are already being seen. A concerted focus on agriculture has seen our rice imports from Thailand dropping by 90 per cent between 2015 and 2016 and being replaced by locally grown variants.

As oil has let us down, we have started to do what we should have done decades ago: Invest in agriculture and mining. Throughout the recession, agriculture recorded healthy growth. As we emerge from the recession, its impact is certain to multiply and position Nigeria for a prosperous future.

The most important elements of any reform effort tend to be the least flamboyant. We are confident that in the months and years ahead, Nigerians and the world will see the full impact of the foundational resetting that the Buhari administration has been focused on since 2015.

There is of course a lot of resistance to reform, by vested interests within and outside the system. But we are not fazed. The work of reform goes on. To borrow a phrase from the Nigerian novelist, Chinua Achebe, it is morning yet on Creation Day. Not very long from now, Nigerians and the world will look back on the recession we have just emerged from, and realize that it was the turning point in Nigeria's journey to true growth and greatness.


By The Hounorable Minister Of Finance,
Kemi Adeosun.

Source: http://www.newsweek.com/nigeria-economy-recession-muhammadu-buhari-693620

State House Press Release: President Buhari Congratulates Chinese Leader On Re-election

President Muhammadu Buhari has congratulated the Chinese President Xi Jinping on his re-election as the General Secretary of the Communist Party of China and the leader of the nation.
The President expressed his conviction that the success of the 19th National Congress of the CPC and the implementation of its important decisions will serve to fulfil the Chinese dream of the great rejuvenation of the Chinese nation.

“Your widely acknowledged wise and firm leadership has played a critical role in the changes in China in the past five years and the renewal of your term will no doubt strengthen the unity of CPC and its central, unified leadership and further enhance cohesiveness of the Chinese nation,” he said.

The Nigerian leader expressed belief in the capability of the CPC Leadership and President Xi to take China to a new level and enhance its standing around the globe in the next five years.

President Buhari also said that his fruitful meetings and frequent communications with President Xi had allowed the two countries to firmly commit to strong economic synergy and cooperative potentials.

The President praised the existing cordial relationship between China and Nigeria on one hand and with Africa as a whole, especially sustaining the Forum on China-Africa Cooperation (FOCAC).

He wished the re-elected Chinese leader a very successful second tenure.


Femi Adesina
Special Adviser to the President
(Media & Publicity)
October 26, 2017

Please disregard the fake news circulating concerning the exportation of yams to Europe & the United States on June, 29 2017.

Federal Ministry Of Agriculture And Rural Development Press Release: Exporters Debunk Yam Export Rejection Stories

The exporters of yam to the UK and US have disputed the reports, initially aired by the Africa Independent Television (AIT) purporting that the yams exported after the official flag-off ceremony on June 29, 2017 were rejected at their export destinations.

The symbolic event, done at the Lilypond Container Terminal in Lagos by the Honourable Minister of Agriculture and Rural Development, Chief Audu Ogbeh, meant to boost the morale of Nigerian exporters and make a bold statement to the global marketplace, has drawn widespread criticisms on various media platforms based on the misleading reports.
The concerned exporters and other prospective exporters have expressed worries about the potential impact of the negative publicity on their prospects at the export market in the wake of federal government’s initiative on diversification of the economy through agricultural produce export.

Most commentators and analysts in the mainstream and social media have retailed the negative aspect of the laudable initiative and have played up the wrong versions of the export story. Discussions with the exporters have since shown the prevailing storyline as inappropriate and misleading.

First, the exporters to the UK and US have emphatically said that their consignments were successfully cleared at the ports and delivered them to their various warehouses. They said, although some cases of tuber spoilage were reported in both cases, these were separated from the good ones, and the good ones were distributed to the buyers. The exporters noted that Ghana, which has been exporting yams for a while, routinely records cases of spoilage, without making any public issues therefrom; and their yams don’t get rejected as a result.

Mr. Michael Adedipe of ADES UK Foods and Drinks for the UK, whose warehouse was visited by AIT, has deplored the AIT report and other subsequent commentaries about rejection of his yams by the UK authorities. Adedipe has said emphatically that the consignment was not rejected; “It was cleared.”

According to Adedipe, who confirmed that he spoke to AIT: “I’ve watched the (TV) programme which lasted for about two hours. All the positive stuff removed. We that decide to venture in this project are aware of the risks involved because, this fresh produce … we’ll expect five or 10 per cent damages. I don’t know why they said the product got rejected. I’ve sent my release note. I’ve sent video of loading. I’ve sent every documentation to say that there is no issue like that at all.”

On the spoilage of yam, Adedipe explained that “the failure has nothing to do with the ministry of agriculture, but the Nigerian Ports Authority. That’s where I see the failure.” He expressed disgust at the mishandling of his comments by the AIT reporter, saying: “I told him, he is aware of it. He knew about the delay, I told him about all the consignment. He knew every single thing that happened. But what he did the most is to use all the negative stuff. We talked about other things. I told him how I came into the UK to go and fix our problem. All those were removed from the report.”

Adedipe, who has vowed not to stop yam export business, disclosed that “the other mistake was the shipping line we used. But they were the ones that were available.” According to him, in spite of the sour experience with media report, “I’m willing to invest. I still expect...at least to take a container from Nigeria every week.”

Managing Director, Wan Nyikwagh Farms Nigeria Limited, Mr Yandev Amaabai, has strongly disputed the yam rejection story and said it doesn’t even tally. “The story from AIT was focused on UK. So far, I am the only person who has lifted yam to the US. Whatever we can do to clarify this issue will be good. We learn as we progress. The whole idea that government brought was to diversify the economy.”

My goods actually got to the US on September 7, 2017. The ship berthed on September 2, 2017, but, because of the flooding in Texas, we couldn’t discharge until the 7th. They were cleared from the Customs and brought to the warehouse on the 7th. Yams are perishable items and, definitely, some may go bad on the way. But, this statement that says the American government rejected Nigerian yams, where does it come from?

Our yams were released to us and we took them to the stores. We sorted out our yams when they got there. We distributed them to the off-takers. So, where they got this story from, I don’t know. Nobody has ever called from anywhere, even in the US, to ask me question. If a few yams got rotten, and I am not complaining, why are people crying more than the owner? I have all the papers. The Customs cleared my goods on the other side. And these things went to my warehouse from where we distributed.”

If Ghana, which produces 4.8 million tonnes of yams, according to 2008 estimates, occupies a niche as the leading exporter of crop, accounting for over 94 per cent of total yam exports in West Africa, Nigeria which is by far the world’s largest producer of yams, accounting for over 70 to 76 per cent of the world production, producing 35.017 million metric tonnes valued equivalent of US$5.654 billion by the 2008 estimates should do better than Ghana in the export market.

Ghana is the first country in West Africa to launch its national yam development strategy in 2013. The country aims at US$5billion dollars of exports by 2018. Nigeria, which produces seven times Ghana’s production volume, is beset with criticisms over attempts to bring it to the global yam markets. About 90 per cent of Ghana’s yams are exported to the US, Canada, UK and elsewhere in Europe. There are more Nigerians than Ghanaians in these countries, meaning more prospects for Nigerian exporters.

Chief Ogbeh has said that Nigeria, the largest producer of yam in the world, is not anywhere near the capacity to export and remains so much a nation of consumers. He stressed that “Nigeria must export” as the “country’s economy is increasing, and in ten years’ time, oil and gas is going to drop. Then we may have nothing to earn foreign exchange except we begin to diversify our export base now.”

With all these prospects in view, the Honourable Minister expressed surprise at the negative news trailing his laudable effort at putting Nigeria on the global yam export market, saying “we’re not going to stop because this is not enough to demoralise us. We have food to export. Never mind what so-called critics are doing.”

“In the ministry of agriculture,” he said, “we are not exporters. The ministry does not export. We’re going to talk to the port authority on cooling vans for vegetables and fresh produce so that exporters don’t lose money and we don’t lose face. We should begin to build cold trucks that are temperature-controlled to keep the yams till the time they have to go. We should invest in special containers for their storage.”

“If other countries are doing it, we too can do it. We’re trying to take over the market. We’ve come to nearly 70 per cent of raw output of yams. Why can’t Nigerians in Texas, Canada, London and Germany have access to the yams?” The Minister vowed that “we will go ahead with our efforts to export yam. We will not let this opportunity slip any further. We are determined to position our people to capture the investment opportunities and benefits in the yam export to these countries. We will fix the yam export value chain. We have the volume and the market.”

We will emphasise global best practices, engage with world class experts and international organisations as well as leverage the strength in indigenous knowledge. We will support investment in relevant infrastructure and facilities. We will revive the abandoned yam conditioning centres in Ekiti and Nassarawa states while we encourage the construction of new ones with appropriate equipment to boost storage and export prospects. We appeal to Nigerians, in the spirit of patriotism, to see the silver lining around the cloud of the week of misinformation about yam export.

We have commenced engagement with the National Assembly for the repeal of the 1989 law that prohibits export of yams and other agro-commodities. Currently, the bill has passed the second reading at the National Assembly. The continued existence of this law is an obstruction against the economic diversification and export initiative of this administration. We plead with the National Assembly to fast-track the repeal of the law and help us further unlock our export potential.


Dr. Olukayode Oyeleye,
Special Adviser, Media & Communications
Abuja,
October 24, 2017

8 Takeaways from President Muhammadu Buhari’s Visit to Turkey from 18- 22 October, 2017. #PMBinTurkey.

From 18- 22 October, 2017, President Muhammadu Buhari was in Turkey for a short State Visit where he met with President Recep Tayyip Erdogan of Turkey, in Ankara for bilateral discussions and also participated in the ninth D-8 Summit at the Lutfi Kirdar International Convention and Summit Centre in Istanbul, Turkey.

Here are 8 highlights of President Buhari’s visit to Turkey:
1. On Security, Nigeria and Turkey agreed to partner in fighting transnational crimes, including the smuggling of illicit arms and drugs.

2. On the humanitarian crisis in Nigeria’s North- East, Nigeria and Turkey discussed the possibilities of collaboration in handling Internally Displaced Persons (IDPs) and refugees.

3. On Civil Aviation, Turkey made a case for a Turkish Company interested in bidding for the concession of the Abuja Airport. The delegation led by President Muhammadu Buhari informed the Turkish delegation that the airport concession process in Nigeria is ongoing and Turkish investors are welcome to participate. Turkey also made a request for increased air transportation slots for Turkish Airlines.

4. On Trade and Investment, Presidents Mohammadu Buhari and Recep Tayyip Erdogan individually outlined ways to increase the size of trade and investment between Nigeria and Turkey.

5. The Nigerian delegation brought home lessons from Turkey’s use of Build- Operate-Transfer (BOT) model for funding infrastructure.

6. On Education and Health Matters, the Nigerian delegation accepted an offer by the Turkish Government to support the Maarif Organization for Education to set up schools and hospitals in Nigeria.

7. On Defence, Nigeria and Turkey agreed to strengthen the defence and military cooperation initiated by them a few years ago. Recall that the Defence section in the Turkish Embassy, Abuja was established 2013 and the Nigeria’s Defence section in the Nigerian Embassy, Ankara in 2016.

8. On the sidelines of the D-8 Summit, President Muhammadu Buhari held a bilateral meeting with Pakistani PM Shahid Khakan Abbasi, in Istanbul and the two countries agreed to revamp the Nigeria-Pakistan Joint Commission. President Buhari also met with President Alpha Conde of Guinea.

Office Of The Vice President Press Release: Setting The Records Straight: Second Niger Bridge: N2bn, Not $2bn

During the APC Governorship campaign flag-off in Onitsha, Anambra State, on Friday, October 20, 2017, Vice President Yemi Osinbajo, SAN, had reiterated the Buhari administration’s commitment to keeping its promises to the Nigerian people.

One of these promises is the construction of the second Niger Bridge.

In the official press release I sent on the Vice President’s remarks during the campaign rally in Onitsha that same day, I did quote the VP as saying that “the Sovereign Wealth Fund paid N2 billion for that same project (Sum paid to the contractor: Julius Berger for early works). We will definitely see our second Niger Bridge, we will not make promises we cannot keep”.

However, a short video clip from the event captured on the news segment of a television channel quoted Prof. Osinbajo as mentioning “$2bn”, and not “N2bn”, which was what he had actually meant to say. Mentioning the dollar currency was inadvertent.

As it happened, the excerpt from the video, which was shared online, was what was quoted in the headlines of some media houses, and in comments on social media.

The figures were misplaced. Kindly set the records straight, from the speech I had sent.

It is also pertinent to state that the highlight of the rally and Prof. Osinbajo’s remarks was the commitment of this administration to improve the country’s transportation network and economy.

“The APC government is a government that will do everything it has promised. We are not making promises for nothing. The second Niger Bridge, we have been talking about it for a long time, but for the first time, the President went by himself to negotiate the facility to do that second Niger Bridge. That is why the second Niger Bridge is in our current budget and we have provided for it,” the Vice President had said.

Please note, again, the sum provided for this is actually two billion naira (N2 billion).

Below are the remarks by the Vice President, as earlier sent on October 20, 2017.

We Will Not Make Promises We Cannot Keep, We Keep Our Promises - Osinbajo

*N2b Just Released For Early Works On Second Niger Bridge.

Remarks By His Excellency Professor Yemi Osinbajo, SAN, GCON, Vice President Of The Federal Republic Of Nigeria, At The APC Governorship Campaign Flag-Off In Onitsha, Anambra State Earlier Today, Friday, October 20, 2017.

How many people know that we are blessed in Anambra State? If you are blessed, just raise your hand.

Ahhhh, I see that all of us are raising our hands! The Lord God Almighty will bless you.

I have come on behalf of Mr. President, many people know already that our President is a man who loves this State, and if you are looking for evidence that he loves this State, I am sure that you will not look very far.

The first time that he ran for President, his running mate was from this State, yes, Chief Chuba Okadigbo. The second time that he ran, his running mate was from this State also, Chief Ume-Ezeoke. So I want you to give Mr. President 3 Gbosas! (Crowd responds!)

The APC government is a government that will do everything it has promised. We are not making promises for nothing. The second Niger Bridge, we have been talking about it for a long time, but for the first time, the President went by himself to negotiate the facility to do that second Niger Bridge. That is why the second Niger Bridge is in our current budget and we have provided for it.

In fact, I am being reminded that just two days ago, the Sovereign Wealth Fund paid N2billion for that same project (Sum paid to the contractor: Julius Berger for early works). We will definitely see our second Niger Bridge, we will not make promises we cannot keep.

When we were talking about railways, Lagos – Calabar railway, under the old administration, I will not mention them by name, they said Lagos will go to Calabar, there was no connection to the Southeast. It was when President Muhammadu Buhari came, that we re-designed the Lagos – Calabar, in order to pass through Onitsha in the first place. That new design is what we also have- the Port Harcourt - Maiduguri railway, which has a connection to Umuahia, Owerri, Enugu, and Awka. So we will not make promises we cannot keep, we will keep our promises.

This State was the first to receive our Home-Grown School Feeding Programme, we gave this State money first for that programme. And we have already in 807 schools, here in Anambra State, fed young children in primary schools. We have over 103,000 children that are already being fed here in Anambra. The school feeding programme is an APC programme and we have engaged over a thousand cooks.

Also, we have our N-Power programme for young graduates. Already we have employed 4,518 young graduates and we intend to increase the number. We will not make any promise we cannot keep.

That is why I am so sure you will be making the right choice, you will be doing the right thing. How many people know that when you do the right thing, you will get the right result? One plus one is two not two and a half, two plus two is four not four and a half. If you make the right choice, you will get the right results.

When we made the right choice and voted the APC, we are getting the right results. By the grace of God, you in Anambra State will also get the right results.

So it is my very special pleasure now, to invite the National Chairman to present our flag, I am going to join him. The proper person to present the flag is our Chairman, so that it will be valid, because we don’t want any invalid presentation of our flag, and I will also accompany him and all of us here will accompany him.

Thank you.


Laolu Akande
Senior Special Assistant on Media & Publicity to the President
Office of the Vice President
24 October, 2017

This fake photo of Abdulrasheed Maina is circulating on social media.

This fake photo of Abdulrasheed Maina is circulating on social media.

State House Press Release: President Buhari Calls For Caution In Implementing ECOWAS Single Currency

President Muhamadu Buhari Tuesday in Niamey, Niger, urged ECOWAS member countries to tread carefully in pushing for a single currency in the sub-region by 2020, drawing attention to the challenges faced by the European Union in realising the same goal.

In his speech at the 4th Meeting of the Presidential Task Force on the ECOWAS Currency Programme, President Buhari said the necessary economic fundamentals among countries continue to differ over the years, making it more difficult to pull through with the project by 2020.

“Nigeria advises that we proceed cautiously with the integration agenda, taking into consideration the above concerns and the lessons currently unfolding in the European Union. To that end, Nigeria will caution against any position that pushes for a fast-track approach to monetary union, while neglecting fundamentals and other pertinent issues,’’ he said.

President Buhari noted that some of the obstacles to realising the roadmap for the implementation of a single currency include diverse and uncertain macro – economic fundamentals of many countries, unrealistic inflation targeting based on flexible exchange rate regime and inconsistency with the African Monetary Co-operation Programme.
The President said domestic issues in ECOWAS member countries relating to their constitutions and dependence on aids continue to affect the framework for implementing the single currency in the sub-region.

He said “although the ECOWAS Commission has anchored its pursuit of the new impetus to monetary integration on “the information presented to the Heads of State which were the basis for their recommendations”, we are concerned that we have not properly articulated and analyzed a comprehensive picture of the state of preparedness of individual countries for monetary integration in ECOWAS by 2020.

“In previous meetings, we had specifically raised observations on the state of preparedness of the member states, the credibility of the union if anchored on watered down criteria, and the continuing disparities between macroeconomic conditions in ECOWAS countries, amongst others. And I would like to reiterate this concerns.’’

The President told the Heads of State that the conditions that pushed Nigeria into withdrawing from the process in the past had not changed.

"Nigeria had earlier withdrawn from the process because its key questions and concerns were ignored and till date, none of the issues has come up as an agenda issue to be considered by the Taskforce. Consequently, the Roadmap which did not involve widespread consultation with national stakeholders is not sufficiently inclusive,’’ he added.

Going forward with the project, President Buhari suggested a thorough review of the convergence roadmap and the constitution of an expert committee on each of the subject areas to come up with acceptable time frame, defined cost and funding sources identified.

"This should also consider stakeholders such as the Ministries of Finance, Customs, Parliamentary groups, Tax Authorities, Immigration authorities to achieve comprehensiveness,’’ he said.

The President said there should be a push towards ratification and domestication of legal instruments and related protocols, while fiscal, trade and monetary policies and statistical systems, which had not gone far, could be harmonized.

President Buhari noted that the West African Economic and Monetary Union (UEMOA) countries should make a presentation on a clear roadmap towards delinking from the French Treasury.

He also advised an examination of the African Union position on the same issue, which the African Central Bank Governors, in line with the African Union programme of monetary convergence, recommended a convergence deadline of 2034 for the establishment of Regional Central Banks in all sub-regions.

In his remarks, the President of the ECOWAS Commission, Marcel Alain de Souza, said the single currency for the West African sub-region was a laudable and historical project, but regretted that it had taken too long to be actualized.

The President said the creation of a Central Bank for the West Coast would accelerate the process.

He noted that Nigeria constitutes more than 70 percent of the GDP of the West African region, with a population of 180 million, and would play a significant role in facilitating the process of realising a single currency for the sub-region.


Femi Adesina
Special Adviser to the President
(Media & Publicity)
October 24th, 2017

Last week, the Ford Assembly Plant, in partnership with Coscharis Motors was officially commissioned. The Plant, which has been in the works since November 2015, will produce 20,000 vehicles yearly.

This Assembly Plant is the second in Africa.

Screengrab on Maina- "On President Muhammadu Buhari's direction to disengage former Chairman of the Presidential Task Force on Pension Reforms, Mr. Abdullahi Abdulrasheed Maina from the service"

State House Press Release: President Buhari To Participate In ECOWAS Task Force Meeting On Common Currency ‎In Niamey

President Muhammadu Buhari will today depart for Niamey, Republic of Niger, to participate in a meeting on common currency for the West African sub-region.

Member countries of the ECOWAS Task Force on Common Currency are ‎Nigeria, Cote d'Ivoire, Ghana and Niger.

The Minister of Finance, Mrs Kemi Adeosun and the Central Bank of Nigeria governor, Mr Godwin Emefiele, will also join the President at the meeting.

President Buhari will return to Abuja same day after the meeting.


Femi Adesina
Special Adviser to the President
(Media & Publicity)
October 23, 2017.

Our Concrete Achievements Not Propaganda and Lies - Buhari

We Have Concrete Achievements To Showcase - Buhari

Our Achievements Are Real, Not Propaganda And Lies - Buhari

President Muhammadu Buhari said his Administration has recorded concrete achievements which are there for all to see, contrary to the opposition's statement that the Administration is running on propaganda and lies.

The President, who was represented by the Minister of Information and Culture, Alhaji Lai Mohammed, made the assertion at the opening of the two-day Nigeria Governors' Forum Conference for Media Handlers of States' Chief Executives in Abuja on Monday.

''For our Administration, our achievements are there for all to see. We are delivering in the broad areas that formed the plank of our policies: security, fight against corruption and the economy, which includes the massive provision of infrastructure, ease of doing business and agriculture, just to mention a few,'' he said.

Providing facts and figures, the President listed the Administration's achievements in ending subsidy and yet ensuring the availability of petroleum products; in raising power generation, transmission and distribution, in the massive provision of infrastructure; in tackling insecurity and making a success of the agriculture revolution, among others.

''Those who accused this Administration of 'propaganda and lies' in the fuel supply sector, for example, did not tell Nigerians that whereas they paid between 800 billion and 1.3 trillion Naira as 'subsidy' yearly in their time, without making the products available even at regulated prices, this Administration is not paying any subsidy, yet all products are currently available at competitive prices and fuel queues are now history. In their time, they paid subsidy of 3.7 billion Naira daily in 2011; 2.2 billion Naira daily in 2012 and 2013, and 2.5 billion Naira daily in 2014, all for products that were never available.

''Those who accused this government of 'propaganda and lies' also said we have not achieved anything in the power sector. Comment is free, facts are sacred, as they say. When this Administration assumed office on 29 May 2015, available power on the grid totalled 2,690MW, transmission capacity was around 5,000MW and distribution capacity was 4,000MW.

''As at 4 September 2017, the available power that can be put on the grid was 6,619MW; the transmission capacity was simulated at 6,700 MW
(up from 5,000 MW in 2015) but the distribution capacity was 4,600 MW, which was what was put on the grid. On September 12, 2017, production of power reached an all-time level of 7,001MW,'' he said

President Buhari said it is an irony that those who presided over a budget of 18 billion Naira for roads, 5 billion Naira for power and 1.8 billion Naira for Housing in 2015 are now accusing those who spent 198.25 billion Naira on roads, 91.2 billion Naira on power and 71.559 billion Naira on housing in the following year of non-achievement?

''Because of the increased spending in these areas, the massive debts owed to contractors are being settled so they can recall workers who were laid off and re-open closed work sites. As a matter of fact, during the implementation of the 2016 budget, we paid 103 construction companies executing 192 projects, and they, in turn, employed 17,749 people directly and 52,000 people indirectly in works.

''So far this year, 47.169 billion Naira has been paid to 62 contractors working on 149 projects to continue work on roads and bridges and keep people at work. Similar payments are being made to supervising consultants and to contractors in Housing and Power Sectors of the Ministry,'' he said.

The President also said highlighted the achievements that have been recorded by his Administration in the area of the Economy, wondering whether it is 'propaganda and lies' that headline Inflation has now fallen for the eighth consecutive month; that foreign exchange reserves are up to $32 billion, from $24 billion a year ago: that oil production is at nearly 2 million barrels per day and that Home-grown School Feeding Programme now being implemented in 17 States is benefiting more than 3 million public primary school children and more than 30,000 cooks across 20,000 schools.

He said close to 200,000 youths are now benefiting from the N-Power Programme, which recruits unemployed graduates to work as teachers,
agricultural extension workers, and health extension workers; that the Government Enterprise & Empowerment Programme (GEEP), which provides micro-credit to farmers, traders, and artisans, now has in excess of 1 million beneficiaries, with women accounting for 56% of that number, and that at about $1.8 billion, the capital inflows in the second quarter of 2017 were almost double the $908 million in the first quarter.

''If our achievements are based on 'propaganda and lies', as they claim, why is our agricultural revolution achieving so much success: We have commissioned the 120,000 MT per annum WACOT Rice Mill in Argungu, Kebbi State. We have commissioned the 60,000 MT per annum Edo
State Fertilizer Company Limited. What about the commissioning of OLAM's 750,000 MT per annum Integrated Poultry Facility in Kaduna State? Do you know that 15 moribund Fertilizer Blending Plants have now been revived and in operation across Nigeria, under the Presidential Fertilizer Initiative, creating 50,000 direct jobs and 70,000 indirect jobs?'' the President asked.

He said when the Administration assumed office in 2015, Boko Haram was active in at least 10 states, could stroll into Abuja at a time and target of their own choosing to cause maximum havoc, in addition to holding territories and collecting taxes.

''Today, Boko Haram has been so degraded that it lacks the capacity to carry out any organized attack, while also increasingly losing the capacity to even attack soft targets. Importantly, Boko Haram no longer holds any territory. The same vigour is being used to address the
herdsmen-farmers' clash, kidnapping for ransom and other crimes,'' the President said.

He said the biggest challenge facing government information managers is how to project the achievements of their principals against the background of worsening cases of disinformation and fake news, adding that the best way to tackle the problem is to remain focused, refused to be distracted or intimidated and also to use facts and figures to counter the purveyors of disinformation and fake news.


Segun Adeyemi
SA To Hon Minister of Information and Culture
Abuja
23rd Oct 2017

State House Press Release: President Buhari Directs Maina's Disengagement From Service

President Muhammadu Buhari has directed the immediate disengagement from service of Mr Abdullahi Abdulrasheed Maina, former chairman of the Presidential Task Force on Pension Reforms.

In a memo to the Head of the Civil Service of the Federation, the President equally demanded a full report of the circumstances of Maina's recall and posting to the Ministry of Interior.

The report is to be submitted to the office of the Chief of Staff to the President, Mallam Abba Kyari, before the end of work today, Monday, October 23, 2017.


Femi Adesina
Special Adviser to the President,
(Media and Publicity)
October 23, 2017

Office Of The Vice President Press Release: School Feeding Programme Reaches 17 States

*Over 4m school pupils now eating one free meal a day.

*25,771 schools now benefitting from the programme.

*Also, N5,000 monthly Conditional Cash Transfer now funded in 16 states for 115,000 Nigerians.

Three more states have been added to the National Home Grown School Feeding Programme, with an additional one million children now benefitting from it. They are Cross River, Akwa Ibom and Niger states.

This brings to 17 the number of states currently participating in the School Feeding Programme, a crucial part of President Muhammadu Buhari administration’s Social Investment Programmes, SIP, aimed at tackling poverty and hunger, as well as creating jobs for Nigerians.

The other 14 states already on the programme are Anambra, Enugu, Oyo, Osun, Ogun, Ebonyi, Zamfara, Delta, Abia, Benue, Plateau, Bauchi, Taraba and Kaduna.

So far, in Cross River state, 117,750 children in 973 schools are being fed under the programme, while in Akwa Ibom, there are 171,732 children in 1,101 schools being fed. Niger State has a total of 710,880 being fed in 2,411 schools in the state.

In total, 4,773,064 schoolchildren in 25,771 schools in 17 states are currently benefitting from the school feeding programme.

This is a notable increase from the previous total of 2,918,842 schoolchildren from 19,881 schools in 14 states that had benefitted from the programme.

About 34,869 direct jobs have since been created from the School Feeding Programme across the participating states. In Cross River state, for example, 1,384 cooks have been engaged, while 1,309 cooks are currently engaged in Akwa Ibom State, and 5,924 cooks are engaged under the programme in Niger State.

Meanwhile, few days after the United Nations designated 17th October as the International Day for Eradication of Poverty, thousands of Nigerians identified poorest and most vulnerable have received the monthly Conditional Cash Transfer in Plateau and Cross River states.

About 115,000 beneficiaries are now being funded with the monthly N5,000 stipend in 16 states; including Borno, Cross River, Niger, Kwara, Ekiti, Kogi, Oyo, Osun, Plateau, Bauchi, Anambra, Jigawa, Taraba and Adamawa.

There are reported disbursement hitches in Benue and Anambra states, and they are being addressed. This mainly has to do with non-opening of bank accounts and enrolling beneficiaries. It is expected that by the end of next month the hitches would have been completely resolved and the beneficiaries in position to receive the cash transfers in those states.

The CCT scheme directly supports those within the lowest poverty bracket by improving nutrition, increasing household consumption and supporting the development of human capital through cash benefits to various categories of the poorest and most vulnerable.

The School Feeding Programme and Conditional Cash Transfer schemes are two of the Buhari administration’s N500 billion Social Investment Programmes, SIPs, aimed at improving the lives of ordinary Nigerians nationwide through welfare and empowerment programmes.


Laolu Akande
Senior Special Assistant on Media & Publicity to the President
Office of the Vice President
23th October, 2017

Press Release: Vice President Osinbajo At EITI Conference Calls For Global Action Against Corporate Secrecy, Illicit Financial Flows

*Says, “Secrecy provides convenient cover for the criminal and the corrupt…’’

"we know that anonymous companies are not always illegal or are not always designed to harm. But we also know that secrecy provides a convenient cover for the criminal and the corrupt. And we are not just operating from the theoretical or hypothetical standpoint.’’

"Our lived experience has shown clearly that anonymous corporate ownership could serve as vehicles for masking conflicts of interest, corruption, tax evasion, money laundering, and even terrorism financing.’’

Below is the full text of his address:

Address By His Excellency, Prof. Yemi Osinbajo, Vice President Of The Federal Republic Of Nigeria, At The EITI Beneficial Ownership Conference In Jakarta, Indonesia On 23rd October 2017

Protocol

I am honoured to have the privilege of addressing you at this important event. Let me start by commending President Joko Widodo and the government and the people of Indonesia for graciously hosting this conference, and for their remarkable hospitality since we arrived.

On behalf of all who have come to this critical conference from far and near, please accept our gratitude.

The EITI and its various partners are also deserving of gratitude for the valuable time and resources they have poured into this effort and for not relenting in the campaign to end corporate secrecy. We simply cannot thank you enough.

I will be preaching to the converted if I say that hidden corporate ownership poses real and present danger to most countries, especially the developing ones such as ours.

A report that will be frequently cited in this gathering is the one by the One Campaign, titled the “One Trillion Dollar Scandal.” The 2014 report claims that developing countries lose $1 trillion annually to corporate transgressions, most of it traceable to the activities of companies with secret ownership.

Another report that may enjoy mention here is the 2015 report of the High Level Panel on Illicit Financial Flows from Africa chaired by former South African President Thabo Mbeki. The panel stated in its report that Africa had lost over $1 trillion over a 50-year period and that Africa loses more than $50 billion annually to illicit financial flows. Most of these illicit flows are perpetrated in the extractive sector and through companies with hidden ownerships.

So for us in the developing world and especially in Africa, breaking the wall of secret corporate ownership is an existential matter. It is for us literarily a matter of life and death. Masked or Hidden corporate ownership is deeply implicated in the sad story of our underdevelopment.

Yes, we know that anonymous companies are not always illegal or are not always designed to harm. But we also know that secrecy provides a convenient cover for the criminal and the corrupt. And we are not just operating from the theoretical or hypothetical standpoint.

Our lived experience has shown clearly that anonymous corporate ownership could serve as vehicles for masking conflicts of interest, corruption, tax evasion, money laundering, and even terrorism financing.

But this is not just a developing world’s problem. We live in a more inter-connected world, and anonymous companies have footprints and tentacles that do not respect the developed/developing divide.

Even when the degree of exposure may differ, everyone in today’ world is at risk of the dangers posed by anonymous corporate ownership. If nothing else, the Panama Papers clearly illustrated the global scale and spread of this problem. So this is a global challenge and nothing less than a truly global approach will be needed to tackle it.

We salute the United Kingdom, Norway, Netherlands and Denmark for leading the way in establishing public registers of the real, human owners of companies in their countries and call on other G8 and G20 countries not only to follow suit by initiating actions to end corporate secrecy at home and their dependencies. Open Ownership and its partners must also be commended for establishing a global register of beneficial ownership with entries on about two million companies.

However, we must note that current legislative measures in the mentioned countries may need to go farther to effectively discourage or totally prohibit non-disclosure agreements by governments with big corporates, and to re-evaluate the use of secret trusts to hide beneficial ownership from the prying eyes of the law.

It is important to underscore the fact that opacity in one section of the globe undermines openness in the other. We need to break down this wall together as we are all at risk of the evil effects of opacity in business ownership.

Nigeria is still grappling with the negative consequences of the use of opacity by senior members of government and their cronies between 1993 and 1998 awarding themselves juicy contracts in the extractive industry. One of such incidents involving a company called Malabu Oil and Gas has been and is still subject of criminal and civil proceedings in many parts of the world involving huge legal costs while the full benefit of the natural resource remains unexploited for the benefit of the people of Nigeria to which it belongs.

We must be careful not to frame this campaign as a zero-sum between society and business. While governments and citizens stand to benefit from increased revenues, better law enforcement in this area should improve citizens’ welfare as a result of more ownership transparency. Many big businesses are equally concerned because most are legitimate and many have signed on to business integrity protocols such as EITI and the UN Global Compact.

Legitimate businesses benefit not only from the better business climate that results when governments better serve their citizens but also from knowing who they are doing businesses with or competing against, they benefit from a level playing field, lower costs of doing business, and from reduced reputational risks.

A paper by Stefan Zeume of the University of Michigan and two others showed that 1,105 publicly listed companies mentioned in the Panama Papers lost market capitalisation of $230 billion to the leaks, a loss of $200 million on the average per company.

On many occasions, companies have incurred hefty fines in their home countries for engaging in bribery and other unethical conducts. Hidden ownership and other underhand business practices could thus erode profitability and shareholder value. This is why Ownership transparency is a potential win-win for all, business inclusive.

So we need everyone on board: governments, businesses, development partners, international organisations, civil society groups, media, and citizens.

For us in Nigeria, we will remain on board the EITI and the ownership transparency train because they align with our national priorities and will help to advance the electoral mandate of our administration, which is to fight corruption, combat insecurity and grow the economy.

You will recollect that Nigeria was one of the first set of countries to join the EITI, one of the 12 EITI-implementing countries that piloted beneficial ownership disclosure, and one of the few countries that have disclosed beneficial ownership details in three audit reports. Through our national EITI agency (NEITI), we also published a comprehensive roadmap that will culminate in the establishment of the register of beneficial owners of companies operating in our extractive sector.

But we are taking this beyond the extractive sector. At the May 2016 London Anti-Corruption Summit, President Muhammadu Buhari made a commitment to establish a public register of the beneficial owners of all companies operating in Nigeria.

In December 2016, Nigeria joined the Open Government Partnership (OGP) and submitted a National Action Plan that prioritises the establishment of this all-encompassing and publicly accessible register. These are commitments that we made with all sense of seriousness. They are commitments that we made not because we are seeking applause or commendation, but because we are convinced they are in our best interests.

To further reinforce our determination by our course of actions we presented a draft Money Laundering Prevention and Prohibition Bill to the National Assembly in 2016. The 2016 draft Money Laundering (Prohibition) (Amendment) Act attempts to cure the deficiency of the 2011 Act Money Laundering (Prohibition) (Amendment) Act No. 11, 2011 to bring it in line with the FATF standards and it contains robust provisions on removing the barriers to full beneficial ownership disclosure in our laws.

We are however mindful of challenges that will dog this initiative not just in our country but globally. Already, we have noted that the laws passed in some very developed countries do not go far enough to set the examples we really need as they do not cover territories and dependencies where most of the stolen assets from developed countries end up.

Furthermore, we should expect the following reactions or problems:
1. Resistance in many countries by vested interests to the passage of a comprehensive legal framework for the implementation of an effective beneficial ownership disclosure regime.

2. The huge budgetary implications for developing countries of establishing, verifying and ensuring compliance.

3. Balancing conflicting interests and the right to personal data protection/safeguards from political witch-hunting.

4. Resolution of grey areas on the materiality threshold and the scope of beneficial ownership.

These are of course all surmountable with the required political will and sustained pressure from the global community.

Let me conclude by sharing a message that we constantly deliver to ourselves. As difficult as it may seem, establishing a publicly accessible register of beneficial owners of companies may the easiest part. Making the register count will take a lot of work. It will be important to develop mechanisms to verify the data disclosed and to build the capacities of tax authorities, law enforcement agencies, media and civic groups and even citizens to wade through, interrogate, make sense of and use the data in the registers.

We also need to move away from the illusion of a magic bullet. In fact, there are no magic bullets in the quest for openness and governance reforms. Those who profit from opaqueness will not roll over. They do not have the incentives to do so.

So, it is not inconceivable that as we are busy trying to break down the walls of corporate secrecy, they are also busy erecting new ones. So have no illusions that they will not devise grand schemes to game the system. In fact, they will try. Our task is to make it more difficult for them to hide or disguise the identities of real owners of companies to the detriment of the larger society. As with freedom, the price of openness will always be eternal vigilance.

In a related vein, we should not look at EITI as the one-stop-shop for reversing the resource curse. It is a wonderful tool, which must be mainstreamed and combined with other tools to ensure that natural resources are more prudently managed and better deployed towards both economic growth and sustainable human development. While uniform standards are necessary, we should not make a fetish of them.

It is important to take adequate account of national realities, to iterate, to be ever vigilant of and adapt to new arenas of work such as ownership transparency, and to focus more on impact than on just activities or box-ticking exercises. This is a powerful initiative. It can be even more potent by the collective commitment that we share.

May I, as I take my seat again, thank you, your Excellency and the EITI for this opportunity to share our thoughts.

I wish you fruitful deliberations at this important event.

I thank you all.


Released by
Laolu Akande
Senior Special Assistant to the President (Media & Publicity)
Office of the Vice President
23rd October, 2017

President Buhari flanked by Minister of Industry, Trade and Investment Okechukwu Enelamah and Minister of Foreign Affairs Geoffrey Onyeama, at the D-8 Summit in Istanbul, Turkey | October 20, 2017.

President Buhari Urges D-8 To Prioritize Incentives For Trade, Investments Among Member Countries

President Muhammadu Buhari on Friday in Istanbul urged D-8 leaders to prioritize incentives and measures aimed at increasing trade and investments among member countries.

Speaking at the ninth summit of the D-8, President Buhari said the private sector and business communities in the economic organization must be assisted with incentives to widen economic cooperation among member-states.

‘‘As the D-8, we need to intensify our activities with a view to enhancing various measures and incentives introduced to promote trade and assist the business communities from Member States to invest in our countries and widen our cooperation.

‘‘We need to work hard to establish integrated manufacturing structures and markets. I will like to reiterate the importance of increasing trade and investment among our Member States,’’ he said,

President Buhari also used the occasion of his speech to reiterate Nigeria’s commitment to international trade and development even as he affirmed the country’s readiness to host the Meeting of D8 Ministers of Industry from November 14 – 17 in Abuja.

Highlighting the attractive business and investment opportunities in the country, the President stressed the need for prospective investors to take advantage of the Federal Government’s new policies on trade facilitation.

‘‘Nigeria is committed to, and is actively pursuing a policy of trade and investment facilitation for growth. The gains from trade are reflected in greater competitiveness, improved productivity, job creation, consumer welfare and prosperity.

‘‘Economies that grow fastest and at more sustainable rates are those that actively promote trade and attract investment. We are committed to creating an enabling environment and making Nigeria an attractive place for business and investment,’’ he said.

The President also urged D-8 member countries to support the efforts of the African Union (AU) to establish the first ever single market for trade in goods and services on the continent.

He described the AU-backed Continental Free Trade Area for Africa as a ‘’win-win for all, including member countries of the D-8.’’

‘‘I am pleased to inform you of positive market developments currently in Africa, that will support our efforts as Members of the D-8 to enlarge our markets, facilitate our trade and investments, and develop our economies.

‘‘In Africa, we are on the threshold of finalizing negotiations to establish the first ever Single Market for Trade in Goods and Services on our Continent, in the Continental Free Trade Area for Africa. This will be a win-win for all, including member countries of the D-8.

‘‘As partners, I urge that we work together to support this effort of the African Union that will have a positive effect on global economic development and integration,’’ he said.

Earlier, President Buhari had congratulated the outgoing Chairman of D8, Pakistani government, and Dr. Seyed Ali Mohammad Mousavi, the outgoing Secretary-General, on their commitment and strong resolve to forge the organization ahead even in the face of serious challenges.

He also congratulated Turkey on assuming the new leadership of the economic organization.

He assured D-8 leaders that Nigeria would continue to support the Secretariat in its assignments to achieve the visions and objectives of the organization.


Garba Shehu
Senior Special Assistant to the President
(Media & Publicity)
October 20, 2017

State House Press Release: President Buhari Asks Army,Police To Halt The Return Of Madness To Plateau State

President Muhammadu Buhari has received with deep sadness and regret, news of the recent killings of at least 20 people in Plateau State, during what has been described as a reprisal attack by some herdsmen.

President Buhari believes that this madness has gone too far. He has instructed the military and the police to not only bring the violence to an instant end, but to draw up a plan to ensure that there are no further attacks and reprisal attacks by one group against the other.

President Buhari is devoted to the sanctity of Nigeria's unity, and he encourages Nigerians of all groups to learn to live together in peace and harmony..

He commiserates with the governor and people of Plateau State, and with those who lost their loved ones, friends and family: May God comfort them as only He can.


Garba Shehu
SSAP(Media and Publicity).
16-10-17.