FEATURES
As the president Bola Tinubu’s Tax Reform Bills continues to attract heated debates across the nation, some socio-cultural organizations in the country have also stated their positions on the matter.
DAILY POST reports that the controversy surrounding the tax bills followed a stiff opposition from stakeholders in the Northern part of the country.
The journey to the now controversial bills began in July 2024 when President Tinubu inaugurated the Presidential Fiscal Policy and Tax Reform Committee, PFPTRC.
The committee subsequently informed Nigerians of the move to replace the National Tax Policy with a more comprehensive “National Fiscal Policy on Fair Taxation, Responsible Borrowing and Sustainable Spending”.
This birthed the four bills, including the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill. They are currently before both chambers of the National Assembly for passage.
DAILY POST reports that the contention over the bills, among other things, is the sharing of the Value Added Tax as proposed by the bills.
The principle of sharing 60 per cent of VAT revenue through the derivation principle has continued to spark debates, with the northern elites leading the opposition.
According to some of the northern stakeholders, the VAT arrangement would favour Lagos and a few other Southern states because they host many company headquarters.
DAILY POST reports that the controversy started on October 29 when the Northern Governors and traditional rulers from the region rejected the Tax Reform Bills.
Following their stance, the National Economic Council, NEC, on November 1, during its 145th meeting in Abuja, advised the president to withdraw the bills.
President Tinubu, however, insisted that the bills should be allowed to go through legislative processes.
Despite the opposition, the Tax Reform Bills on Thursday last week passed second reading at the upper legislative chamber.
Airing their own views, some socio-cultural organizations in the country, including Afenifere, Ohanaeze Ndigbo and Arewa Youths Forum, AYF, stated their positions in separate interviews with DAILY POST on Sunday.
Our correspondent reported that while Afenifere and Ohanaeze apparently backed the bills, the Arewa youths expressed mixed feelings.
FG has been unfair to North in terms of distribution of resources – AYF raises concerns
The President General of the AYF, Yerima Shettima told DAILY POST on Sunday that prior to the introduction of the bills, the Federal Government has not been fair to the North in regards to the distribution of national resources.
He noted that while a monolithic stance on the controversial tax bills is unlikely, “our concerns generally revolve around equity, fairness, and the potential for disproportionate burden on the Northern region.
“Our primary concern stems from the perception of inequitable distribution of resources and infrastructure development across the country.
“We believe that despite contributing significantly to the national GDP through agriculture and other sectors, the North historically receives less in return in terms of public services, infrastructure investment, and developmental projects.
“Consequently, the introduction of new taxes, without addressing this existing imbalance, is viewed with skepticism.
“They believe that increased taxation without corresponding improvements in infrastructure – roads, schools, hospitals – would unfairly burden a population already struggling with poverty, unemployment, and limited access to essential services.
“Another key concern is the potential impact of the tax reform on informal sectors which heavily dominate the Northern economy.
“A large portion of the Arewa youth population is employed in the informal sector – agriculture, small-scale businesses, and artisanal trades – which often operates outside the formal tax net.
“The implementation of the tax reform bill, particularly if it extends tax obligations to the informal sector, could pose a significant challenge. We fear that increased tax burdens could cripple these businesses, leading to job losses and further economic hardship”.
According to Shettima, the lack of adequate education and awareness about tax regulations in the country also exacerbates their concerns on the proposed bills.
According to him, “many young people in the informal sector lack the knowledge and resources to understand and comply with new tax laws, potentially leading to fines and penalties, further marginalizing them economically.
“Furthermore, our position is also influenced by the perceptions of governmental transparency and accountability.
“Mistrust in government institutions and concerns about the proper utilization of tax revenue are prevalent.
“We question whether the increased tax revenue generated will be effectively utilized for the benefit of all Nigerians, or if it will be mismanaged or disproportionately benefit certain regions.
“Concerns about corruption and lack of accountability in government spending further fuel this skepticism and contribute to our reluctance to embrace tax reform without robust guarantees of transparency and equitable distribution of resources.
“The lack of visible development projects and infrastructure in the North, despite past tax contributions, strengthens our belief that increased taxation without guarantees of responsible governance is unproductive.
“The absence of robust engagement and consultation with the Arewa youth by the Northern Senators during the formulation of the tax reform bill is a point of considerable frustration.
“We feel our concerns and perspectives have been largely ignored in the decision-making process.
“This lack of inclusivity fuels our distrust and reinforces our opposition to the bill in its current form.
“We call for a more participatory approach that involves meaningful dialogue and addresses our specific concerns before implementation”.
Industrious Igbos will benefit from tax reform bills – Ohanaeze backs President Tinubu
Factional Secretary-General of Ohanaeze, Okechukwu Isiguzoro told DAILY POST that after thorough consultations and evaluations, the organization realized that the Tax Reform Bills would have more benefits to the people.
According to him, the tax reform bills are not merely legislative proposals, stating that they represent a transformative opportunity for the rejuvenation of Small Medium Enterprises (SMEs) and the enhancement of the fortunes of Nigerian workers.
He believes that by “eliminating the scourge of double taxation imposed by unscrupulous state governors, these reforms will pave the way for an equitable business climate that significantly elevates both local and foreign investment potential.
“The Igbo people, renowned for our entrepreneurial spirit and unwavering commitment to economic self-determination, stand to gain immensely from these reforms.
“The proposed measures are expected to safeguard the private sector, particularly benefiting the industrious Igbos who play a pivotal role in driving the Nigerian economy through vibrant SME activities.
“In an environment characterized by fairness and transparent regulations, we are confident that the majority of the benefits arising from these tax reforms will bolster our endeavors, facilitating growth and fostering robust business opportunities.
“In light of these compelling advantages, Ohanaeze Ndigbo ardently calls upon all Southern Federal lawmakers, both in the Senate and the House of Representatives, to unify their efforts in support of President Tinubu’s transformative restructuring program within Nigeria’s economic and fiscal sectors.
“It is imperative that our Southern legislators close ranks, transcending partisan divides, to ensure that the Tax Reforms Bills navigate both chambers of the National Assembly successfully.
“We wish to reiterate our unwavering commitment to show solidarity with President Tinubu, as we expect that the Southeast Federal lawmakers will provide essential backing to these initiatives.
“This collective support is particularly noteworthy as it underscores our strategic alignment with the President following our decision to abstain from nationwide protests in August 2024, a decision made in the spirit of dialogue and cooperation.”
Isiguzoro, however, expressed concerns over the “substantial opposition that has emerged from certain factions within Northern Nigeria regarding these critical reforms”.
He alleged that Northern governors “are mobilizing their forces to stifle the progression of the Tax Reforms Bills within the National Assembly, relying on their numerical predominance to assert undue influence.
“This orchestrated opposition appears driven by a desire to perpetuate the current VAT derivation principles that unjustly favour select interests at the expense of equitable national growth.
“The implications of such maneuvers are profound. If the Northern political elites succeed in thwarting President Tinubu’s initiatives, it could set a dangerous precedent, fostering a climate of resistance against meaningful reform.
“This scenario poses a tangible threat not only to the President’s agenda but also to the broader economic aspirations of millions of Nigerians who yearn for a reformed and equitable system,” he said.
Ohanaeze urged all stakeholders, including lawmakers, business actors, and citizens, to “unite in support of these pivotal Tax Reforms Bills”, insisting that the promise of a “prosperous and just Nigeria is within our reach, but it demands our collective resolve to advocate for transparency, equity, and sustainable economic growth”.
Every state has opportunity of deriving maximum benefits – Afenifere counters northern leaders
On his part, Afenifere’s National Publicity Secretary, Comrade Jare Ajayi said the organization was of the opinion that using or including ‘derivation’ as a factor of distribution would not deprive the Northern States or any other state what is due to them.
Speaking on the concerns raised over the derivation method, Ajayi said “since people consume items and patronize services in every state, there is no reason any state will not benefit from the proceeds of VAT collected in their domains”.
Ajayi stated that the position of Northern stakeholders “further underscores the imperativeness of restructuring the country urgently so that each constituent part, zone or region etc, would be in a position to exploit and largely control the resources within its enclave”.
He added that such an arrangement would not only encourage a healthy competition, it would motivate states and individuals.
He further asserted that rather than trying to look at the assumed areas that the VAT Amendment Bill would be a disadvantage, stakeholders should look at the many positive aspects of the proposed Act and suggestions made on areas needing improvement.
“From experience, where the derivation formula has been applied such as the Niger Delta etc., benefiting states have been the gainers for it.
“Since every state has a population that can engage in activities capable of enhancing VAT, it means that every state has the opportunity of deriving maximum benefits from the new arrangement being proposed”, Ajayi added.
[DailyPost]
A former Nigerian Bar Association President, Wole Olanipekun (SAN), has asserted that Nigeria’s Constitution needed to be crafted to reflect the realities on the ground in the interest of all geo-political zones.
Naija News reports that the senior advocate spoke with journalists at his Ikere Ekiti hometown on Saturday evening.
Olanipekun stated that the single-term presidency proposal rejected by former President Olusegun Obasanjo would have stabilised Nigeria if it had been accepted.
Speaking on the proposal by the NBA at that time, Olanipekun said Nigeria needed a Constitution that would factor in the interest of all geo-political zones.
Olanipekun added that something must be done regarding the Constitution.
He said, “When I was the President of the NBA, we originated it (single-term presidency). It was one of the proposals we brought to Obasanjo as President, he rejected it then. Beautifully crafted, by that time we presented it to him, we said, ‘Mr President, for us to stabilise this Republic, experiment this’.
“We suggested to him (Obasanjo) a single term of five or six years, not the way they are bandying it now. Our own was well worked out. We worked on it, we researched on it.
“We suggested then that there are six geo-political zones, if the President comes from the South-West, for example, there will be six vice presidents, but each of the six vice presidents must have a portfolio. For instance, a vice president will be in charge of the Ministry of Justice as Attorney General, one will be in charge of Education, one in charge of Defence, one in charge of the Federal Capital Territory and another in charge of Works.
“We suggested that a geo-political zone that has a vice president who holds the portfolio of Education will not have a Minister of Education. We worked it out, we did everything for him, and that if paradventure, a President from a particular geo-political zone is impeached or dies in office, the vice president from that geo-political zone will complete his tenure. Next time around, the Presidency will just move to the next geo-political zone. By now, it would have moved round, but it didn’t work out.
“I am still of the view that we have to do something with that aspect of the Constitution, that we have to look into it.
“The Constitution, to me, does not reflect what we have on the ground as Nigeria. We deserve a Constitution that is home-grown. No Constitution is perfect, but then we cannot be going on with an imperfect Constitution amending and amending.”
- Workers down tools in Kaduna, Ebonyi, Nasarawa, FCT
- No strike in Oyo, Ekiti, Abia, Imo, others
Workers in three states and the Federal Capital Territory (FCT) resolved at the weekend to boycott work from today over the disagreement with the authorities on implementation of the new minimum wage.
In some other states, there is confusion following the directive by the national secretariat of the Nigeria Labour Congress (NLC) for workers in those states to embark on strike over the issue.
Some of the state councils of the NLC are threatening strike not based on the refusal of the state governments to pay, but due to lack of mutual agreement on what is being offered.
The NLC and Trade Union Congress (TUC) councils in Ebonyi, Nasarawa, Kaduna and the Federal Capital Territory (FCT) have directed their workers to begin strike today.
In all these states, the governments had announced a minimum wage to be paid but there is disagreement on the mode of implementation.
Ebonyi has announced N75,000; Nasarawa, N70,500; Kaduna, N72,000 and FCT, N70,000.
The Minimum Wage Act 2024 stipulates N70,000 for the least paid worker.
The Federal Government commenced payment in September. More than 30 states have sealed agreements with their workers to pay various amounts ranging from N70,000 to N85,000 being paid by Lagos and Rivers states.
In Kaduna, the state government said it had commenced payment, but the workers kicked, saying there was no consequential adjustment.
In Ebonyi, where government has proposed N74,000, workers rejected it, saying it was a unilateral decision taken without consultation.
In FCT, workers in the area councils said there is no agreement to pay although Federal Capital Territory Minister Nyesom Wike announced N70,000 as minimum wage.
At the weekend, NLC President Joe Ajaero, listed Abia, Oyo and Ekiti states among states councils directed to begin strike over the non-implementation of the Minimum Wage Act. But the state union chapters clarified that they were listed in error.
Workers in Sokoto and Akwa Ibom states, who have engaged their governments in a running battle over the wage matter, are yet to decide on the option of industrial action.
Kaduna: workers begin warning strike
Kaduna workers will today begin a one week warning strike over what they described as the non-implementation of the new wage.
The state NLC chairman, Comrade Ayuba Magaji Suleiman, said: “We are set to embark on warning strike starting from tomorrow (today) as instructed by our national leaders.”
However, government has decried the decision, saying it has not defaulted in implementation.
Governor Uba Sani’s Chief Press Secretary, Malam Ibraheem Musa, chided NLC for lumping Kaduna State with other states that have defaulted, describing it ‘’as grossly unfair because the least paid worker received N72,000 as gross salary in the month of November.’’
Musa added: “Governor Uba Sani has complied with the spirit and letter of the National Minimum Wage Law, by paying the lowest paid civil servant N72,000 last month.
“NLC is harping on the issue of consequential adjustment, but the Labour body should realise that there is a difference between salary increment and minimum wage.
“Kaduna State receives an average of N8 billion from Federal Account Allocation Committee (FAAC) every month. It also generates around N4b monthly. That translates to N12 billion revenue monthly.
“However, the monthly wage bill has jumped from N5.4 billion to N6.3 billion with the implementation of the minimum wage last month. And there is also the deduction of N4 billion for loan payment every month.
“So, the wage bill and the deduction have gulped over N10billion of the total N12 billion revenue. That leaves only N2 billion for rural transformation, overhauling the health sector, revamping education and providing dividends of democracy to the people of Kaduna State.”
Musa insisted that it would be unfair for Kaduna State Government to spend almost all its revenue on consequential adjustments, after paying the mandatory minimum wage.
He said: “There are over 10 million people who are also entitled to the accrued revenue of Kaduna State. There are 84,827 civil servants in the state. So, it is unreasonable for government to spend over 90% of its revenue on just about one percent of the population.”
The spokesman, who described Sani as a Labour-friendly governor, pleaded with the NLC to exercise patience over the consequential adjustments, pending when government’s revenue would improve.
He said the government has already bought buses to convey workers to and from work free of charge, as part of the palliatives to cushion the effects of the economic problems.
However, the NLC chairman insisted that the strike will begin today.
He said: “We held a meeting, but we didn’t reach an agreement. The state government is not ready to implement the consequential adjustment and for us, that is unacceptable. So, we are embarking on the one week warning strike.
Also, the TUC accused the state government of unilateral implementation of the N72,000.00 new minimum wage, saying that the consequential adjustment is key.
TUC Chairman, Comrade, Abdullahi Danfulani said in a statement:“We were saddened after a careful study of the unilateral implementation of the N72,000.00 new minimum wage as announced by the Kaduna State Government during the State Executive Council (SEC) meeting of the congress held on the 30th November.
“The Council vehemently viewed it necessary to protest the unilateral manner by which the implementation of the consequential adjustments were made and this negates the principles of collective bargaining.
“However, we urge the state government to take the next step by approving the consequential adjustments to the salary tables as negotiated by the organised labour.
“We believe that this move will not only boost the morale of workers, but also increase productivity and efficiency in the public service.
“While we appreciate the state government for the consistent payment of workers’ salaries and the incorporation of workers of Kaduna State Water Corporation (KADSWAC) into the state payroll, payment of salary arrears and turn-around frame work for the revitalisation of the plant, we look forward to working with the state government to ensure a smooth implementation of the new minimum wage and consequential adjustments.
“By this communiqué the council is issuing a one week warning strike ultimatum from the day this communiqué was released.
Ebonyi workers join strike
Ebonyi NLC Chairman, Ogugua Egwu, who spoke in Abakaliki, the state capital, said the union rejected the decision of the state government to unilaterally approve a N75,000 wage for Grade Levels 1 and 2 workers and N40,000 upward review for Grade Levels 3-16.
He said the review did not meet the requirements of the new minimum wage.
Egwu said: “This wage award which was christened “minimum wage” is averse to the traditional procedures of implementing minimum wage, no matter the magnitude of the beautiful intent with which the pronouncement was made.”
Egwu noted that when a minimum wage is pronounced, it must go through the rigours of consequential adjustments that will translate into an agreement signed by both the government and Labour.
He added: “The pronouncement made was not a product of any collective bargaining agreement as we were never part of any consultation that led to the said pronouncement.
“To make matters worse for Ebonyi workers, the salary chart forced on workers and currently used did not undergo any consequential adjustment and has consistently malnourished the take home pay of workers as it lacks minimal progression.”
But the Commissioner for Information, Jude Okpor, disagreed with Labour that it was not consulted before the wage increase by the state government.
He said a committee was set up based on the panel’’s report.
Okpor added: “A committee was set up headed by the Head of Service. It was based on their report that the increased was implemented.”
Our grouse about N70,500, by Nasarawa workers
The grouse of workers on the payroll of the Nasarawa State government was the lack of written agreement on the N70, 500 the state agreed to pay.
Chairman of the committee and Deputy Governor Emmanuel Akabe announced that members met to finalise talks on the wage in his office in Lafia at weekend.
He also assured workers that the state would commence payment of the N70, 500 by December, noting that negotiations on salary adjustments were at advance stage.
But the organised Labour said it was mobilising its members for an indefinite strike after the state government delay in implementing the new minimum wage.
Chairman of the state NLC, Comrade Ismaila Okoh, said despite numerous meetings, including those chaired by Akabe, no formal agreement had been reached.
He said the state government verbally committed to N70, 500 minimum wage, but failed to provide a written agreement specifying payment terms.
The union leader further explained that all affiliate unions have been alerted and instructed to prepare for strike if the government did not implement the new minimum wage by yesterday and up to this moment; no action had been taken by the government.
“The workers are resolute, we are ready to take all necessary steps to ensure the full implementation of the minimum wage signed into law by President Bola Ahmed Tinubu,” he said.
No fund to implement minimum wage in FCT
FCT Area Council employees resolved at the weekend to join the strike, following the directive by the NLC and TUC.
The chairman of Nigerian Union of Local Government Employees (NULGE), FCT chapter, Abdullahi Kabbi, said despite the approval of N70,000 by FCT Minister Nyesom Wike, the Area Councils have not started its implementation.
Kabbi said both Local Education Authorities (LEA), and all the six area councils will comply with the strike.
He said while FCTA staff are being paid N70, 000 Minimum Wage but chairmen claimed that they don’t have money.
He said: “We are going to comply because we have been given a directive from our national bodies. When I say national bodies I mean, the NLC and my secretary of local government employees.
“We have been served the letter that we should go on indefinite strike if we have not been paid our minimum Wage arrears and implementation.
“In FCT we have minimum Wage implementation yet to be achieved and other backlog of arrears. That is where we are now. That yes, it is a national circular and an Act that they must pay but they should give them one month or two to implement the Minimum Wage. We don’t want to agree with that because many times, if we give the Area council chairmen privilege like that, they will abuse it.
“We urge every one of our members to stay at home until our leaders hold their meeting on the next line of action. We will fight for our right.”
No strike in Sokoto
The Sokoto chapter of NLC distanced itself from the strike, saying that it is satisfied with the N70,000 minimum wage implementation by the state government from January next year.
NLC chairman Abdullahi Aliyu Jungle said: “The state branch of the NLC supports the implementation of N70,000 announced by the state government effective January 2025.
“We will also assist the state government in implementing the minimum wage, even if it means conducting screening and verification to ensure that only genuinely employed workers benefit from the new minimum wage of N70, 000.
The chairman urged workers to exercise patience while expressing confidence in the state government’s commitment to unveiling more welfare packages for the workforce.
We are not going on strike, says Imo NLC
The Imo State NLC dismissed rumours of an impending strike, emphasising its commitment to maintaining industrial harmony.
Imo NLC Chairman, Comrade Uche Chigemezu, said: “We are not going on strike. We have signed an agreement with the state government.”
Chigemezu explained that the national body’s letter, which listed Imo State as one of the states embarking on strike was issued before the state government and the NLC finalised their agreement.
Enugu pays
Workers in Enugu State have been paid N80,000 offered by the state government, some workers confirmed yesterday.
A worker said: “The thing is that some of us were credited with additional N50,000 while others got N51,000. I think they called it wage adjustment. I’m happy that the money has started coming.”
Oyo NLC lauds Makinde
The Oyo State NLC lauded Governor Seyi Makinde for sustaining the negotiation on the consequential adjustments.
NLC Secretary Comrade Adebayo Aribatise said the decision to put on hold the strike was due to the robust discussion on a favourable consequential adjustment in accordance with the N80,000 wage.
Aribatise said the Union arrived at the decision during the enlarged meeting of the State Executive Council (SEC) and State Advisory Council (SAC) where the minimum wage implementation was extensively discussed.
Aribatise said: “The attention of the Council had been drawn to the news circulating about Oyo State NLC declaring strike commencing from Monday 2nd December.
“The SEC and SAC of the NLC Oyo State Council met on Thursday 28th November, and discussed extensively on the New Minimum Wage Implementation in Oyo State and later concluded that all forms of industrial actions be put on hold since the committee set up by the government is already having a robust discussion on a favourable consequential adjustment in accordance with the pronounced N80,000 and acceptable salary table for the entire workforce in the state.
“In view of this, the Oyo State Council of NLC will not be going on strike so as to give room for the committee on consequential adjustment to get the table completed with needed endorsement for implementation within the next couple of days.
“To this end, we wish to call on the entire workers of Oyo State to remain calm while the arrangement for a robust minimum wage table for Oyo State is concluded by the joint committee of the State Government and the Labour movement.”
The Special Adviser on Labour Matters to the Governor, Adebayo Titilola-Sodo, said the Labour leaders have shown commendable understanding by not embarking on strike as directive by the national leadership.
He said as a member of the negotiation committee deliberating the implementation of the consequential adjustments, both parties (Labour and government) have made a lot of progress on the deliberation by presenting different tables which are still undergoing negotiations.
NLC listed Ekiti in error, says commissioner
The Ekiti State Commissioner for Information, Taiwo Olatunbosun, debunked the claims by the NLC that Ekiti was among the 14 states that had not concluded negotiations on the implementation of the minimum wage.
Olatunbosun said the inclusion of Ekiti on the list was made in error, recalling that Governor Biodun Oyebanji had approved N70,000 minimum wage and its consequential adjustment effective from December 1.
He said: “Ekiti have since signed the agreement, following the approval of Mr Governor more than a week ago and you are all living witness to it. If the national body has listed Ekiti as part of the states to embark on strike, that must have been done in error.
“With all due respect to the leaders of Labour union in Ekiti, I’m very sure they have communicated appropriately with the national leadership specifically on the N70,000 new minimum wage that is approved by law at the national level.
“In Ekiti, we didn’t limit at that. We have given other cadre of workers from level 2 to level 6 133% consequential increment while we give workers from level 7 to 10 110% increment.
“We also gave workers from level 12 to 14 90% consequential adjustment to their salary. And civil servants from level 15 to 16 got 77% while level 17 got 70% adjustment. We didn’t stop at that; we also considered the pensioners. We increased their monthly benefits with N20,000 across all cadres.”
The NLC chairman, Kolapo Olatunde, said the Oyebanji-led government has set machinery in motion for the implementation of N70,000 minimum wage and its consequential adjustments.
He said all documents have been forwarded to the national headquarters on the agreement reached with the state government for the implementation of the new minimum wage.
Uncertainty in Yobe
There is anxiety among workers in Yobe, following the delay in the implementation of the new wage.
The Commissioner for Finance, Mohammed Abatcha, however, reassured stakeholders that steps were being taken in that direction.
He said: “Paying workers is a top priority for this administration. We are working closely with the Assembly, and they are ready to approve the virement before the end of this month.”
Despite the assurance, civil servants are unconvinced.
Isa Abubakar, a civil servant, expressed skepticism about government’s ability to fulfil its promise.
He said: “We hear all these announcements, but when it comes to action, things often don’t happen as planned. I’ll believe it when I see the new wage in my account. For now, I doubt the state will pay by December.”
Uncertainty over strike in Akwa Ibom
Akwa Ibom NLC chairman Sunny James has not issued any directive to workers on the strike.
He did not respond to phone calls and text messages by our correspondent on the position of labour on the matter.
Governor Umo Eno, who had announced N70,000 as minimum wage for workers in the state, also set up an implementation committee.
The committee headed by the Head of Service, Effiong Essien, is yet to submit its report.
Cross River Govt, union reach agreement
In Cross River, a last-minute pact between the government and representatives of Labour pulled the brake on the planned workers’ strike.
The parties reached an agreement on the payment of N70, 000 as minimum wage. They also agreed on consequential adjustments across all levels, effective from December 1.
As at 9pm last night, government and Labour officials were still locked in a meeting over the issue. Details of the parley were sketchy, but the office of the Chief Press Secretary (CPS) to the Governor, Mr. Gill Nsa, confirmed that an agreement had been reached.
One of the government’s representatives in the minimum wage Committee, Clarkson Otu, expressed hope that there would be no strike in the state.
Otu, who is Special Adviser to the Governor on Labour and Productivity, said: “We’re done this evening. We’re in the governor’s office to sign the Memorandum of Understanding (MoU).
“You would get a fuller brief when we’re done signing the MoU. It is after we’ve signed that the Labour will make their statement on the strike. It is not within my purview to say whether they’ll go on strike or not.
Union leaders could not be reached as at 10pm last night.
Katsina begins implementation
The Katsina State Government has approved the implementation of N70,000 minimum wage for its civil servants from December 2024.
The Secretary to the State Government, Alhaji Abdullahi Garba-Faskari, made this known to reporters in Katsina, the state capital at the weekend
He said that the new minimum wage would be given to workers under the payroll of the state government, Local Governments and the Local Education Authorities (LEAs).
The SSG explained that the agreement was sequel to an exhaustive and fruitful negotiations between representatives of the state government and the Labour unions.
Garba-Faskari reiterated the state government’s commitment to improving the welfare of its workers.
He described the decision as a testament to Governor Dikko Radda administration’s dedication to prioritising the needs of civil servants and fostering harmonious Labour relations.
Katsina NLC Chairman Hamisu Hussaini, assured workers that their rights and interests would continue to remain the union’s priority.
He urged the workers to continue to give their best for the progress of the state.
[TheNation]
President Bola Tinubu says the good life that Nigerians thought they were living prior to his administration was fake and capable of collapsing the country.
Speaking on Saturday during the 34th and 35th combined convocation ceremonies of the Federal University of Technology Akure (FUTA) in Ondo state, Tinubu said the removal of the petrol subsidy and the unification of exchange rates were necessary to save Nigeria from the brink of collapse.
Tinubu announced the end of petrol subsidy on May 29, 2023, during his inauguration.
The Central Bank of Nigeria (CBN) also announced the unification of all segments of foreign exchange markets.
The president, represented at the event by Wahab Egbewole, vice-chancellor of the University of Ilorin, said his administration took decisive action to avert economic disaster and secure the future of Nigerians.
“As you are all aware, we took the baton of authority at a time when our economy was nose-diving as a result of heavy debts from fuel and dollar subsidies,” Tinubu said.
“The subsidies were meant to support the poor and make life better for all Nigerians. We are all aware of the fact that the poor and average Nigerians were the sufferers of what was supposed to give them succour and improved standard of living.
“Unfortunately, the good life we thought we were living was a fake one that was capable of leading the country to a total collapse unless drastic efforts were urgently taken.
“The need to salvage the future of our children, and bring the country back from the brink of collapse necessitated the strategic decisions to remove the fuel subsidy and also unify the exchange rates. I am not unaware of the consequences of the tough decisions on our people. I sincerely wish there could be softer options.”
The president expressed optimism that the policies are already yielding positive outcomes.
He noted that the country’s macro-economic indicators are improving daily, while the micro-economy, which directly affects citizens, is gradually taking shape.
Tinubu added that Nigeria is transitioning from a consumption-driven economy to one focused on production across all aspects of human endeavours.
‘YOUTHS MIGRATION HAVE LED TO BRAIN DRAIN IN NIGERIA’
Tinubu called on the graduands to join hands together with his administration “to recover our lost glory and virtues.”
The president also condemned the widespread migration of youths in search of “greener pastures”, stressing that the trend has resulted into a significant brain drain in all sectors of the nation’s economy.
“Many of our youths have chosen the supposed easy option of emigrating to the proverbial greener pastures where their citizens had rolled up their sleeves to bring their nations back from the brinks in their times of trouble,” Tinubu said.
“Such inclination has led to the brain drain syndrome that we now experience in all areas of our endeavours as a nation.
“Our intellectuals and experts on whom the nation has massively invested huge resources to train in the interest of our country are migrating overseas in large numbers at a time their services are most required at home.
“It is heart-rending and the syndrome is not the solution to our problems. We are not Nigerians by accident, and I believe that the Almighty God who made us Nigerians has given us the required wisdom to turn things around for our betterment.
“The present challenges call for a high degree of patriotism and I can assure all Nigerians that there is light at the end of the tunnel. After rain comes sunshine. The brighter days are almost here.”
Tinubu said the renewed hope agenda is on track, assuring Nigerians that his administration will remain steadfast in its pursuit of a better and greater nation.
•72 lawmakers, Zulum, Tambuwal reject bills, APC slams critics as northern group protests
The House of Representatives has suspended indefinitely the debate on the Tax Reforms Bills earlier fixed for Tuesday following mounting pressure from the 19 northern states governors, The PUNCH reports.
The planned debate was called off in a memo signed by the Clerk of the House of Representatives, Dr Yahaya Danzaria, as 73 northern lawmakers kicked against the bills.
Those who rejected the bills include 48 Reps members from the North-East, 24 federal lawmakers from Kano and a former Governor of Sokoto State, Senator Aminu Tambuwal, who represents Sokoto South Senatorial District.
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The memo suspending the debate dated November 30, 2024 is titled, ‘Rescheduling of Special Session on Tax Reform Bills.’
It read, “I am directed by the House leadership to inform all Honourable Members that the special session, initially scheduled for Tuesday, December 3, 2024, to discuss all the tax reform bills, has been postponed to a later date.
“This rescheduling is due to the need for further and broader consultations with all relevant stakeholders. A new date and venue for the session will be communicated in due course. We regret any inconvenience this may cause and appreciate your understanding.”
A leaked video of the closed-door session of the Green Chamber obtained by The PUNCH showed the North-East lawmakers in tense debates against the tax reform bills.
The footage shows the member representing Damboa/Gwoza/Chibok Federal Constituency, Borno State, saying, “On behalf of the 48 honourable members from the ravaged North-East sub-region, I want to first of all rely on the position of the three previous caucus leaders. In addition to this, the primary responsibility of every government is simply the welfare of its citizens.
“North-East, even before the insurgency, was the poorest region in Nigeria. Today, our people have been turned into beggars. Billionaires and millionaires of yesterday have to queue up in IDP camps in host communities to collect 10kg bags of rice.
“If other parts of the country were in our shoes, even this sitting would not be possible. We have concluded that we are going to make further consultations because there is nothing that is cast in stone.”
Giving an insight into the development during the closed-door session, a lawmaker from the North-West, stated, “As the representatives of the people, we have resolved to continue our consultation on the matter,” adding that “Things degenerated almost to a point of rebellion against the Deputy Speaker Benjamin Kalu who presided over the executive session.”
According to him, what transpired during Thursday’s executive session indicate that the bills may not have a smooth ride in the House.
“From what I can deduce, the Governors of the North are not yet convinced about the arguments in favour of the bills. The bills are against the interest of the North and that is why we are saying, ‘if you think this is not the case, give us more time to consult with our people.’
“The speed with which they want these bills considered and passed is suspicious. This is why our governors are not convinced and we are not convinced either,” he noted.
The PUNCH reported that on September 3, 2024 President Bola Tinubu transmitted four tax reforms bills to the National Assembly for consideration following the recommendations of the Taiwo Oyedele-led Presidential Committee on Fiscal and Tax Reforms.
The bills include the Nigeria Tax Bill 2024, which aims to provide the fiscal framework for taxation in the country, and the Tax Administration Bill, which will provide a clear and concise legal framework for all taxes in the country and reduce disputes.
Others are the Nigeria Revenue Service Establishment Bill, expected to repeal the Federal Inland Revenue Service Act and establish the Nigeria Revenue Service as well as the Joint Revenue Board Establishment Bill, which will create a tax tribunal and a tax ombudsman.
On October 29, 2024, the Northern Governors Forum, the umbrella body comprising the 19 governors of the region, kicked against the bill, particularly the Value Added Tax-sharing template.
At a gathering in Kaduna, the governors directed federal lawmakers from their respective states to vote against the bills when they came up for debate in both chambers of the National Assembly.
Two days later, the National Economic Council presided over by Vice President Kashim Shettima advised the Federal Government to withdraw the bills to create room for broader consultations among critical stakeholders, a counsel turned down by the President in a statement by his spokesman, Bayo Onanuga.
Last week, the Tajudeen Abbas-led 10th House spent over two hours in executive session to forge a common front on the bills, only to emerge to announce the continuation of consultation ahead of the debate on the general principles of the bills.
One of our correspondents gathered that the bills would have been debated on Tuesday, but the intense pressure on lawmakers fuelled by Friday’s remark of Borno State Governor, Babagana Zulum, may have triggered the postponement of the debate yet again.
Zulum was quoted in an interview with BBC as saying, “Why the rush? The Petroleum Industry Bill took almost 20 years before it was finally passed. But this tax reform bill is being transmitted and receiving legislative attention within a week. It should be treated carefully and with caution so that even after our exit, our children will reap its benefits.
“We condemn these bills sent to the National Assembly. They will drag the North backwards and also affect the South East, South West, and some South-Western states like Oyo, Osun, Ekiti, and Ondo.”
In what appeared a reminder of how Tinubu was elected the President, Zulum urged him not to gloss over the role the North played in his election.
He added, “This is not opposition. Based on our understanding, this bill will destroy the North entirely. We call on President Tinubu to review this decision. He secured 60 per cent of his votes from the North. He should not listen to those telling him the North is not supporting him. What we need is the withdrawal of these tax bills.”
Zulum, on Sunday, however, stated that he was not an enemy of President Tinubu’s administration, insisting that if the four tax bills were passed into law, only one of the 36 states – Lagos – would be the major beneficiary.
The governor made the clarification on Channels Television’s Politics Today.
He said, “I am a strong member of the APC. If you are to count two governors who have been in support of Tinubu from 2019 to 2023, you can mention Prof Zulum. I was the first governor to come out publicly to say that power must go to the South.
“Unfortunately, the President was told by many that the North is against him. About 60.2 per cent of his votes came from the North. On this tax issue, there are a lot of misconceptions. During the NEC, we advised the Federal Government to pause for a moment to have a deeper consultation with stakeholders. That was our own statement.
“But later on, people turned it upside down. I want you to believe that our consultation is central to democracy and in a democratic setting, we are begging for the right to be consulted. This is only what has happened.”
Zulum added, “I am not an economist. But based on the calculations we did, only Lagos will benefit from, this scheme. However, we have had a series of consultation with the FIRS team and had a meeting with the tax team of Lagos State. Lagos told me that they will lose a lot if this implemented. They said ‘We did our research and concluded we will lose.’
“Then why are we in a rush? Not only in Northern Nigeria, the Southeast, South-South and even the Southwest will be severely affected. Only Lagos will benefit from this scheme. But what we are telling them is to give us time. Why are we in a rush? Let us pause and do deeper consultation because we are in a democracy.
“We should look at the nitty-gritty of these bills before passing into law. This is our only bone of contention. And then people are saying Prof Zulum and the governors are against the president. This is a democratic setting. People want us to run a garrison democracy. Most of these monies will go to Lagos. We need more time.”
Lawmakers reject bills
Corroborating the position of their state governor,Abba Kabir Yusuf, the 24 federal lawmakers from Kano State have also rejected the tax bills.
The decision was adopted during a state caucus meeting on Sunday chaired by the Kano State Deputy Governor, Aminu Gwarzo, and attended by many state representatives.
The member representing Kumbotso Federal Constituency, Idris Dankawu, stated, “To clarify this issue, I want to inform the people of Kano State, especially the residents of Kumbotso Federal Constituency, that based on the outcome of our meeting, we are against the proposed tax reform bills. We have agreed to work collectively to ensure that the bill is withdrawn in the overall interest of the good people of Kano State.
“Let me reassure the good people of Kumbotso Federal Constituency that your views, opinions and yearnings will continue to receive my utmost attention and care.”
A former Governor of Sokoto State, Senator Aminu Tambuwal, similarly thumbed down the bills.
Tambuwal made his position known during the distribution of relief materials to victims of flooding as well as handing over starter packs to over one thousand beneficiaries of skills acquisition in his senatorial district on Sunday.
He condemned the timing of the bill, which he said was wrong and not in tune with the demands of the citizens.
He said, “Let me use the opportunity of this platform to address the issue that is raging for now; the issue of Tax reform as presented by President Bola Ahmed Tinubu.
“I believe this is a wrong time for any upward review of either VAT or any form of tax, the time is inauspicious, the time is very wrong.
“These are hard times for the people of Nigeria and what they are going through. What we require of the government is for it to focus on projects and programmes that will bring succour and relief to the people and not increase their hardship.
“Already, we are facing the hardship occasioned by the devaluation of the naira and removal of fuel subsidy that was done by this regime. I believe we should focus on managing the hardship and see how we can bring our people out of hardship.
“The recent statistics of National Bureau of Statistics shows that over 30 million Nigerians are already in abject poverty.”
APC lawmakers lobby
Meanwhile, two lawmakers elected on the platform of the All Progressives Congress, Philip Agbese and Babajimi Benson, have been canvassing support for the bills in the Green Chamber.
Speaking with our correspondent, Agbese, who represents Ado/Ogbadigbo/Okpokwu Federal Constituency, Benue State, said, “We are rallying support, trying to convince our colleagues because these tax bills intend to take the burden away from poor people and small companies.”
On his part, Benson, who represents Ikorodu Federal Constituency, Lagos State and who has been a consistent advocate for the bills explained, “We have all seen the merits in the bill but we are all lobbying ourselves to make the final document accepted.”
On why the debate on the bills was put on hold, Benson said, “We understand that the tax bills have generated so much interest. We understand that as a family, broader consultations need to be done, we all need one another. We need to separate the issues; we need to ensure that contentious issues are identified and negotiated.
“We believe that in the fullness of time, the tax reforms proposed by Mr President will be adjudged as a game-changing initiative.”
In line with the position of the northern leaders, the Coalition of Northern Groups, Gombe State chapter, expressed strong opposition to the proposed tax reform bills, citing concerns that it may exacerbate regional disparities and negatively impact the economic well-being of the northern region.
In a statement signed by the state coordinator, Muhammad Deba, on Saturday, the group stated, “The new VAT regime could further widen the economic gap between the North and South. This could lead to social unrest, migration, and other negative consequences.
“The government has not provided sufficient data and analysis to justify the proposed changes to the VAT sharing formula. Without transparent and evidence-based decision-making, the potential negative impacts of the reform cannot be accurately assessed.”
Oyo’s stand
The Special Adviser to the Oyo State Governor on Media, Sulaimon Olanrewaju, on Sunday, disclosed that the state government fully backed the National Economic Council’s position on the controversial tax bills.
Olanrewaju, who spoke with The PUNCH in Ibadan, the Oyo State capital, said NEC’s position would enable the bill to meet the needs of the people.
“Well, I don’t have a response to whether it will affect the payment of salaries of civil servants or not, but I would like you to recall that the council at its meeting advised the President to withdraw the bills and allow for more discussions and consultations.
“And you will recall that all the governors were there, the past governors were there. My governor, Seyi Makinde, was the one that read the position of the council. My governor communicated the positions of the council. So, it remains the position of the Oyo State Government, that we need more consultations.
“The governor was not saying withdraw or stop the reform. To make it more effective, address the needs of the people, and correct the imbalances that have existed, it requires wider consultations and that is the position of the state. But whether it will affect the payment of salaries or not, I don’t have that information.”
Afenifere backs bill
However, the pan-Yoruba socio-political organisation, Afenifere, however, threw its weight behind the controversial bills.
The group, which disagreed with some other socio-cultural groups in the country, argued that Tinubu meant well for the country with the bills, which have passed the second reading in the Senate.
The Organising Secretary of the group, Abagun Omololu, explained that the bills had potential economic benefits for all regions, including the northern region.
He said, “Afenifere is in support of the tax reform for its promise of economic revival. We have noted that the bills are a crucial step towards stimulating the Nigerian economy, hence with the tax system reform, we hope for improvement of revenue generation at both federal and state levels. This is essential for funding critical infrastructure and social services that will benefit all Nigerians, including those in the North.
“After due scrutiny and consideration, we agree that the proposed changes to VAT administration are designed to align revenue sharing more closely with consumption patterns, affording states to receive funding based on actual economic activity rather than historical allocations.”
On its part, the Middle Belt Forum said it would support any reform that engendered justice and fairness among the federating units and put the country on the path of development.
The MBF National President, Bitrus Pogu, said the bills should be subjected to scrutiny by experts to enable Nigerians have a better understanding of the issues at stake.
“When an aspect of something is being considered rather than the holistic view, you are likely to land into a problem and that is the issue with those opposed to the tax reforms bills.
“The problem they are having is the aspect of revenue sharing, which the bills seem to have tried to make commensurate with revenue generation. I think that is where the problem is. We in Nigeria like to enjoy benefits and reap where we didn’t show. All of us have been depending on oil for all these years. This oil is a depleting resource but it is coming from somewhere,” he stated.
APC faults critics
Lending its support to the bills, the APC called for the understanding of Nigerians, saying the bills were intended to stimulate the nation’s fiscal policy framework.
The clarification was made by the National Secretary of the APC, Senator Ajibola Basiru, in an interview with The PUNCH.
Ajibola also warned the critics of the tax reforms to desist from painting President Tinubu as a dictator.
He said, “We are not in a dictatorship where the President will by fiat make a resolution. There is separation of powers. The executive has initiated the bill. So, it is for the National Assembly, which comprises representatives from all over the country, to determine whether the bill will pass or not.
“It is not the prerogative of only the President. People must not see him as a dictator. So, if the bill eventually passes, it will be because it has passed the test of acceptability by the majority of the Nigerian people as represented in the National Assembly.
“Secondly, a bill is only passed after it has been subjected to public hearing. What has happened now is that the bills have passed a second reading. It will now go to the committee stage from where there will be a public hearing.”
In his intervention, former Vice President Atiku Abubakar called for transparency and fairness in the ongoing review of the bills.
In a statement issued on Sunday, the Peoples Democratic Party presidential candidate in the 2023 election expressed concern over the uneven development across Nigeria’s federating units, stressing the importance of a fiscal system that ensured justice and equity.
[Punch]
The Port Harcourt Refining Company, PHRC, and Petroleum Tanker Drivers, PTD, are at war over the overloading of products at the refinery.
While PHRC accused tanker drivers of being responsible for the low pace of loading of petroleum products at the facility, PTD, through its umbrella body, the Nigeria Union of Petroleum and Natural Gas Workers, NUPENG, dismissed the allegation, saying the company was being economical with the truth..
Meanwhile, Major Energy Marketers Association of Nigeria, MEMAN, Petroleum Products Retail Outlets owners Association of Nigeria, PETROAN and National President, Independent Petroleum Marketers Association of Nigeria, IPMAN, said they were ready to lift products and were working on it.
When Vanguard visited the Area 5 of the refinery, yesterday, about 3p.m., refining of petroleum products was ongoing.
A source in the facility said the refinery produces daily, adding that it has maintained its production status as disclosed earlier on Tuesday.
Also, at the loading bay of the refinery, three trucks were being loaded, while seven others were standing by within the bay to be loaded.
It was observed that of the 18 loading points in the facility, only three were in use.
It was further observed that only tankers with NNPC insignia were loading and seen within the premises of the refinery.
Although the facility was not bustling with life, activities were on going within the loading bay and the production area.
‘Loading hasn’t stopped since last Tuesday’
The Terminal Manager of Port Harcourt Refinery, Worlu Joel, disclosed that the Petroleum Products Marketing Company, PPMC, arm of the refinery was working and that loading of trucks has not stopped since Tuesday.
He noted that the facility has the capacity of loading 100 trucks in an hour, but that out of the 18 points, 11 were functional at the moment.
He said out of the 11, only three were being used because the facility was delivering optimally.
Joel said: “This is PPMC loading arm. We have 11 loading bays that are functional but because of the capacity, it has a huge capacity to deliver, so we are using three at the moment because it is efficient.
“Out of the three, each one has the capacity of loading three trucks in 15 minutes. A truck is 45,000 litres minimum. We have the ones of 60,000 litres. Already, we have loaded more than 10 trucks.
“So, before the close of work yesterday, just in the next one hour, we are going to evacuate minimum of 15 trucks.”
Joel said that there were enough products but that tankers drivers are not coming up to load, calling on tankers drivers to come on to load.
He said: “We have surplus products available. We have our loading arms operational and we have been begging them to come in since, yesterday but because today is weekend that is why they have not turned up.
“If you give us 100 trucks yesterday, we will evacuate it in less than five hours. So, it is not our problem if there are no loading trucks, it is the tanker drivers’ problem. We have been begging them since yesterday to come around and take the products but they didn’t turn up, it was just this morning (yesterday) after pleading with them that they came.”
NUPENG denies PHRC allegation
General Secretary of NUPENG, Mr. Afolabi Olawale, while reacting to the development, told Vanguard that the management of PHRC was lying.
“The management is economical with the truth. People should know how we operate. We (tanker drivers) cannot just drive into the refinery to load products. The marketers buy the products and contract the employers of tankers drivers, Nigeria Association of Road Transport Owners, NARTO.
“It is only when NARTO informs tanker drivers where there are products for loading that we can go in and load. We are ready at all times to load products when and where products are available,” he added.
All supply sources will be explored —MEMAN
Reacting on the readiness of Port Harcourt refinery to flood the market with petroleum products, yesterday, the Cheif Executive Officer, Mr. Clement Isong, said its members were ready to do business with the Port Harcourt refinery.
Isong, said: “All product supply sources will be explored.”
We’ve submitted application — PETROAN
On his part, the Chairman of Mr. Billy Gillis-Harry, said the association had submitted an application and was waiting for a response from the refinery.
He said: “PETROAN is ready to do business with all refineries. Already, we have submitted an application at the refinery portal. We are waiting for its response. We intend to do business with the refinery.”
We look forward to lifting from Port harcourt Refinery —IPMAN
National President, IPMAN, Alhaji Abubakar Shettima, expressed happiness at the reopening of the refinery, describing it as good news.
Alhaji Shettima said marketers could not say much about the reopening as they have not had any prior discussions with NNPC.
“We feel very happy and it is good news for everybody. We are happy with the new development. But we cannot say much. We will wait for NNPC to disclose the price it will sell its products and that will determine how marketers will react,” he stated.
Community happy as refinery resumes operation
Meanwhile, the Chief Security Officer of Alesa Eleme, Dibia Isaiah, expressed joy that the facility in their community has resumed full operation.
Isaiah said: “Everybody is seeing it live and direct that production is on. I suspect it was the enemy of this rehabilitation that is peddling the rumours.
“But you can witness what is going on here, I am one of the loaders from the host community; I have loaded four trucks this morning. Tomorrow, we will load more, there is no time we will not load.
“This is a very busy period us. I wonder why people are giving out fake information just to run down the management. It is not good. I want to urge Nigerians to disregard such rumours.”
[Vanguard]
Dapo Abiodun, governor of Ogun, says his administration prioritised the development of the western part of the state because it has been neglected for a long time.
Speaking at the Oronna Day Celebration in Yewa south LGA of the state, Abiodun said the Ogun west senatorial district has not been given the needed attention despite being the food basket of Ogun.
The governor said his administration has inaugurated at least one road project in the western part of the state.
“When I assumed office and for some reasons, most of my predecessors did not accord this zone the place and attention it deserved,” he said.
“Kabiyesi called me and said ‘before you, all that happened here is that they will do some groundbreaking but they never commissioned any project in this local government or in this zone’ and I told kabiyesi that the narrative will change.
“We will do ground breaking and we will also commission projects. I beat my chest and proudly say that we have done just that.
“The very important arteria road that connects the local government area to Ado/Odo-Ota Local Government Area and other five local government areas is the Ilaro -Owode road.
“We totally reconstructed it and the journey that took probably two and a half hours now takes a few minutes.”
On his part, Barau Jibrin, deputy senate president, commended the government’s efforts in developing the state.
The deputy senate president said Oronna Day could be used as a “developmental tool and a source of foreign exchange earnings”.
[TheCable]
offloads equity in Lafarge to Chinese firm
Holcim, a Swiss building materials company, has agreed to sell its Nigerian business to Huaxin Cement Ltd., a Chinese firm.
The deal, valued at $1 billion, would lead to the sale of Holcim’s 83 percent stake in Lafarge Africa, according to a statement on Sunday.
Lafarge Africa Plc is a member of the Holcim Group — a maker of roofing and other housing products, such as cement, aggregates for construction and ready-mix concrete.
The company said the agreement has been signed, noting that the transaction is expected to close next year.
“Holcim has signed an agreement with Huaxin Cement Ltd to sell its entire 83.81% shareholding in Lafarge Africa Plc, at an equity value of $1 billion on a 100% basis,” the statement reads.
“The transaction is expected to close in 2025, subject to customary and regulatory approvals.”
Holcim, however, did not give reasons for its exit.
On May 24, Kimberly-Clark, makers of Huggies, said it plans to stop localmanufacturing and sales in Nigeria after 14 years of operation.
According to the firm, the decision was made owing to its recently refocused corporate priorities globally as well as economic trends in the country.
Pick n Pay, a South African grocery retailer, in October, also announced plans to exit Nigeria by selling its 51 percent stake in a joint venture.
Sean Summers, chief executive officer (CEO) of Pick n Pay, said the move was part of plans to restructure outside of its home market.
In 2023, three pharmaceutical companies exited Nigeria.
GlaxoSmithKline (GSK) Consumer Nigeria Plc ceased operations and transferred its business activities to a third-party organisation.
Sanofi-Aventis Nigeria Limited, a French pharmaceutical company, also halted its direct operations in the country in November 2023.
One month later, Procter & Gamble (P&G), an American multinational consumer goods company, disclosed plans to transition from local production to solely importing its products.
Governor Babagana Zulum has revealed that the northern Governors need more time for consultations on the tax reforms proposed by President Bola Tinubu.
The Borno State Governor explained that this is why they advised President Tinubu to withdraw the bills so they could consult further.
Governor Zulum made the disclosure on Sunday while speaking as a guest on Channels Television’s Sunday Politics, adding that contrary to insinuations in certain quarters, the Governors are not against the administration of President Tinubu.
According to him, the north gave Tinubu over sixty percent of votes during the 2023 elections which is a clear indication of their support for him.
He, however, maintained that he wouldn’t withdraw his earlier statement on the proposed tax reforms in which he maintained that the bill would only be beneficial to Lagos State and would make other regions, including the north, suffer.
“On this tax issue, there are a lot of misconceptions. We felt that the VAT provision in the tax law. Based on the calculations that we did, only Lagos and Rivers States will benefit from this scheme. We did our own research and concluded that we would lose.
On the narration in some places that he is working against the government of President Tinubu, Zulum affirmed his commitment to the President and the All Progressives Congress (APC), submitting that the northern governors are not against President Tinubu.
“I am a strong member of APC. If you can count two governors before 2019 and 2023 who were in support of Tinubu, you can mention Governor Zulum. I was the first governor to come out publicly and say that power must go to the South.
“Unfortunately, the President was told by many that the North was against him. 60.2 per cent of his votes came from the north,” he submitted.
The Socio-Economic Rights and Accountability Project (SERAP) has called on President Bola Tinubu to direct a full disclosure of contractors and companies implicated in the disappearance of over N167 billion allocated for projects in 31 federal ministries, departments, and agencies (MDAs).
The funds were reportedly disbursed, but no projects were executed, according to the 2021 audited report by the Office of the Auditor-General of the Federation.
In an open letter dated November 30, 2024, signed by SERAP Deputy Director, Kolawole Oluwadare, the organization demanded that Tinubu instruct the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, and the Accountant-General of the Federation, Oluwatoyin Madein, to publish the names of the contractors and shareholders involved.
SERAP is also urging the government to recover the funds and prosecute those responsible.
The letter highlighted a pattern of corruption documented in the Auditor-General’s report, revealing that contractors absconded with public funds allocated for projects in 31 MDAs.
The Nigerian Bulk Electricity Trading Plc (NBET) alone reportedly paid N100 billion to contractors for projects that remain unexecuted.
Other implicated agencies include the Nigerian Correctional Service, the National Pension Commission, the Hydrocarbon Pollution Remediation Project (HYPREP), and the Petroleum Technology Development Fund (PTDF), among others.
SERAP argued that this massive financial loss has exacerbated Nigeria’s development challenges, depriving citizens of essential services such as education, healthcare, and infrastructure.
“The names of the companies and contractors, along with their shareholders, must be published to ensure accountability and prevent a culture of impunity,” the letter read.
“Publishing these details will deter future corruption and demonstrate the government’s commitment to transparency,” the open letter added.
SERAP also called on the Attorney-General of the Federation, Lateef Fagbemi, SAN, to work with anti-corruption agencies to ensure that those responsible face justice.
The group emphasized that the funds must be recovered and returned to the national treasury for the benefit of citizens.
Failure to act, SERAP warned, would prompt legal action. “If no measures are taken within seven days, we will pursue all appropriate legal actions to compel the government to comply in the public interest,” the organization stated.
SERAP underscored the devastating impact of corruption on Nigeria’s development, noting that the diversion of funds has led to worsening inequality and inadequate public services.
“Corruption undermines economic progress, trapping millions of Nigerians in poverty and depriving them of opportunities,” the letter asserted.
The group also cited Nigeria’s obligations under the United Nations Convention Against Corruption (UNCAC) and the Freedom of Information Act, which mandate transparency and accountability in the use of public funds.
“Your government must show that it will not shield or tolerate wrongdoing by contractors or public officials,” SERAP urged.
The letter concluded by emphasizing that addressing these allegations is not just about financial recovery but restoring public trust in government institutions.
More...
Economic Hardship: It Is Pathetic, Nigerians Now Begging For Survival – APC Chieftain, Oyintiloye
AFOLABI
A chieftain of the All Progressives Congress (APC) in Osun State, Olatunbosun Oyintiloye, has lamented that the economic crisis in the country is becoming unbearable.
Speaking with newsmen on Sunday, he lamented that the cost of foodstuffs has increased significantly, making it difficult for the masses to afford good meals.
He called on the government to come together and rescue the masses by providing solutions to the challenges in the country.
“The rise in food prices is mostly caused by insecurity, high cost of transportation of the products, climate change, and the instability of the exchange rate of naira,” he said.
Speaking further, he added that the astronomical rise in the food prices had battered the purchasing power of citizens, leading to uncertainty, an increase in poverty, and a high cost of living.
He said that with food as a primary resource for human survival, the government at every level should undertake tangible programmes to defeat hunger in the land.
According to him, “A recent survey conducted by the National Bureau of Statistics (NBS) also confirmed that food prices have risen by over 100 per cent”.
Oyintiloye said the 2023/24 General Household Survey-Panel, commonly called (GHS-Panel), launched on November 25, 2024, in Abuja, revealed that “65.8 per cent of the households were unable to eat healthy, nutritious, or preferred foods because of low income”.
The APC chieftain said that while the President Bola Tinubu-led administration is doing everything possible to bring down the food prices, many Nigerians are still struggling to eat three square meals.
Oyintiloye said that despite the food waiver policy being implemented by the Federal Government and the Central Bank’s intervention to curb inflation through the monetary policy, the prices of foodstuff is still on a very high side
“The exchange rate fluctuations further exacerbate this issue, particularly affecting the prices of imported food items.
“The situation on the prices of food is becoming worrisome and extremely unbearable for the masses.
“Many households can no longer afford nutrition meals, while many are begging for survival. This is pathetic and no longer bearable for the masses.
“I urge governors and the Federal Government to intensify efforts to stop further increase in the cost of food items. The situation may worsen if factors leading to the increase are left unattended to,” he added.
The Igbo socio-cultural organization, Ohanaeze Ndigbo, has declared total support for the proposed tax reforms by President Bola Tinubu, adding that the proposals are in the interest of the Igbo nation.
The group, in a statement on Sunday by its Secretary General, Okechukwu Isiguzoro, said they declared support for the proposed tax reforms after a deep study of the contents and consultations with stakeholders.
According to Ohanaeze Ndigbo, the reforms will rejuvenate the Small and Medium Enterprises (SMEs), enhance the fortunes of Nigerian workers, and eliminate the scourge of double taxation.
The group also expressed concerns about the antagonism against the proposed reforms, alleging specifically that the Northern region is jittery of losing illicit gains if the bill is approved by the National Assembly.
“In an emphatic affirmation of progress and economic empowerment, Ohanaeze Ndigbo, the Igbo apex socio-cultural organization representing the Igbo nation, hereby announces its steadfast endorsement of President Bola Ahmed Tinubu’s proposed Tax Reforms Bills.
“This endorsement comes after rigorous reviews, exhaustive consultations with an array of stakeholders, and an in-depth analysis of the bills’ implications for the Nigerian economic landscape.
“Our comprehensive evaluation has led us to the resolute conclusion that these tax reforms are not merely legislative proposals; they represent a transformative opportunity for the rejuvenation of Small Medium Enterprises (SMEs) and the enhancement of the fortunes of Nigerian workers.
“By eliminating the scourge of double taxation imposed by unscrupulous state governors, these reforms will pave the way for an equitable business climate that significantly elevates both local and foreign investment potential.
“The Igbo people, renowned for our entrepreneurial spirit and unwavering commitment to economic self-determination, stand to gain immensely from these reforms. The proposed measures are expected to safeguard the private sector, particularly benefiting the industrious Igbos who play a pivotal role in driving the Nigerian economy through vibrant SME activities.
“In an environment characterized by fairness and transparent regulations, we are confident that the majority of the benefits arising from these tax reforms will bolster our( Igbo) endeavors, facilitating growth and fostering robust business opportunities,” the group submitted.
Ohanaeze, therefore appealed to all southern federal lawmakers in the National Assembly to work together towards ensuring the tax reform bills are approved by the legislators.
The group added that the decision to support the tax reforms aligns with an earlier decision to ignore the planned protests against the policies of the Tinubu government.
“In light of these compelling advantages, Ohanaeze Ndigbo ardently calls upon all Southern Federal Lawmakers(Senators & House of Reps Members)—both in the Senate and the House of Representatives—to unify their efforts in support of President Tinubu’s transformative restructuring program within Nigeria’s economic and fiscal sectors.
“It is imperative that our Southern Senators and House Of Representatives members close ranks, transcending partisan divides, to ensure that the Tax Reforms Bills navigate both chambers of the National Assembly successfully.
“We wish to reiterate our unwavering commitment to show solidarity with President Tinubu, as we expect that the Southeast Federal Lawmakers will provide essential backing to these initiatives.
“This collective support is particularly noteworthy as it underscores our strategic alignment with the President following our decision to abstain from nationwide protests in August 2024, a decision made in the spirit of dialogue and cooperation,” it stated.
On the opposition from some leaders in the northern region against the proposed tax reforms, Ohanaeze submitted that the northerners are only trying to frustrate the bill because the status quo favours their selfish interest at the expense of national growth.
It urged all stakeholders to support the proposals as it promises sustainable economic growth towards a prosperous Nigeria.
“Nonetheless, it is disheartening to observe the substantial opposition that has emerged from certain quarters within Northern Nigeria regarding these critical reforms.
“There is palpable concern that Northern governors are mobilizing their forces to stifle the progression of the Tax Reforms Bills within the National Assembly, relying on their numerical predominance to assert undue influence.
“This orchestrated opposition appears driven by a desire to perpetuate the current VAT derivation principles that unjustly favor select interests at the expense of equitable national growth.
“The implications of such maneuvers are profound. If the Northern political elites succeed in thwarting President Tinubu’s initiatives, it could set a dangerous precedent, fostering a climate of resistance against meaningful reform. This scenario poses a tangible threat not only to the President’s agenda but also to the broader economic aspirations of millions of Nigerians who yearn for a reformed and equitable system.
“Moreover, it cannot be overlooked that a successful passage of the Tax Reforms Bills could have far-reaching consequences for President Tinubu’s administration, potentially inciting a politically motivated backlash in the 2027 electoral landscape. It is essential that we, as a nation, confront these challenges decisively, fostering a collaborative spirit to advance our collective interests rather than allowing parochial motivations to derail our progress.
“In conclusion, Ohanaeze Ndigbo urges all stakeholders, including lawmakers, business actors, and citizens, to unite in support of these pivotal Tax Reforms Bills.
“The promise of a prosperous and just Nigeria is within our reach, but it demands our collective resolve to advocate for transparency, equity, and sustainable economic growth.
“Together, let us champion an agenda that uplifts all Nigerians and ensures that our legislative processes reflect the aspirations of a nation committed to progress and integrity,” the statement concluded.
A Nigerian food vendor, Azeez Olayide, has said he and his business partner left their jobs to start selling jollof rice in the United Kingdom.
Olayide disclosed this during a recent interview on the programme My Tasty Naija.
He said the business name, ‘2 Nigerian Boys’ began in February 2019 at London Financial District, Spitalfield market.
According to the businessman, the adventure started when he and his friend wanted to satisfy their appetite with ‘smoky’ jollof rice but did not get it.
“The story was just about two Nigerian friends who loved Nigerian foods so much,” Olayide said. “One of them just said, ‘Let’s go to the city and bring jollof rice.’”
The two men were dumbfounded on the first day they started the business as they sold all that they had in 30 minutes, giving them the confidence that the business would thrive.
“Both of us were amazed and looked at each other in the face and said, ‘We need to quit our jobs and start selling Nigerian foods.’”
He stressed that the success of the business was based on its acceptance by the customers who loved the food.
“Ninety per cent of our customers are non-Africans, while the remaining 10 per cent are Nigerians. They love the beef when they eat it,” Olayide said.
“It is a lunchtime business. We open business between 12pm and 2pm. It gets crazy here with lunchtime.”
Another peculiarity of the business is that the food is cooked on-site to announce itself to passers-by and people.
Meanwhile, he disclosed that a branch of the business has been opened in Briston after feedback from customers in London.
Olayide, however, declined to reveal his business partner, whom he called ‘a magician’ and was the brain behind the cooking of the jollof rice.
“You can’t see the person performing the magic. The second Nigerian boy is a magician who makes the Nigerian Boys come together for a business,” he added.
President Bola Tinubu has stated that despite the hardship brought on by the removal of the oil subsidy, there is still light at the end of the tunnel.
He insisted that the removal of the oil subsidy was not to torment Nigerians but to save the country from collapse.
Tinubu stated this in his address at the 34th and 35th combined convocation ceremonies of the Federal University of Technology Akure Ondo State on Saturday.
Represented by the Vice Chancellor of the University of Ilorin, Prof Wahab Egbewole, the president said he took over power when the economy was nose-diving.
He said, “As you are all aware, we took the baton of authority at a time when our economy was nose-diving as a result of heavy debts from fuel and dollar subsidies. The subsidies were meant to support the poor and make life better for all Nigerians.
“We are all aware of the fact that the poor and average Nigerians were the sufferers of what was supposed to give them succour and improved standard of living. Unfortunately, the good life we thought we were living was a fake one that was capable of leading the country to a total collapse unless drastic efforts were urgently taken.
“The need to salvage the future of our children and bring the country back from the brink of collapse necessitated the strategic decisions to remove the fuel subsidy and also unify the exchange rates. I am not unaware of the consequences of the tough decisions on our people.”
Stressing that the policy has been fruitful, Tinubu stated, “The macro-economy of our dear country is improving by the day and beyond expectations. The micro-economy, which directly affects our citizens, is also taking shape gradually with positive results. We are now graduating from consumption to production economy in every facet of our human endeavours. By the grace of the Almighty God, every household will experience a better life and have brighter hope for the future.
“The present challenges call for a high degree of patriotism and I can assure all Nigerians that there is light at the end of the tunnel. After rain comes sunshine. The brighter days are almost here. The Renewed Hope Agenda is on track, and we shall not deviate on the path of better and greater Nigeria.