Former Governor of Ekiti State, Ayodele Fayose has described as “the best and wisest decision” the announcement of the removal of fuel subsidy by President Bola Tinubu.
Tinubu, shortly after he was inaugurated as the President, on Monday, declared that the subsidy is no longer sustainable in the country, adding that it is gone.
The announcement has been greeted with mixed reactions as Nigerians argued over the timing, the palliatives to cushion the effects among other things.
This has brought long queues to petrol stations as commercial drivers hiked the prices of transport fares since Tuesday.
Reacting to the removal of fuel subsidy, via a Twitter post, Wednesday, Fayose said Tinubu made the decision in the best interest of Nigerians, as he appealed to them to bear the short-lived suffering.
Fayose said, “On this removal of fuel subsidy, I am convinced that President Tinubu has taken the best and the wisest decision for the collective good of Nigeria and its people. He promised to remove the subsidy, he never hid it.
“Most importantly, too, the immediate past govt already removed fuel subsidy technically by not making provision for it in the 2023 budget.
“I appeal to Nigerians to bear with the government for now as the present hardship will ease out with time.
“Removing the fuel subsidy is the best thing to do and it has to be done once and for all.
“Unfortunately, the subsidy regime has only been benefiting a few people in the oil industry and Nigeria must break this chain once and for all.”
The former governor and chieftain of the Peoples Democratic Party (PDP) assured Nigerian people that Tinubu would lead the country well based on his antecedents as the former governor of Lagos state.
Fayose said, “No doubt, President Tinubu is not a magician who can manufacture money. He can only strategically reposition the country, using his experience and intellect, which he has started.
“Many govts have come and paid lip service to all these issues, it is time to sustain our country by taking decisions that may be seen as harsh, but can return the country back to the path of progress.
“The NLC and all interested parties, especially ordinary Nigerians should realize that the last administration did more damage and the new government can only be finding ways and means to stabilize the country.
“Sadly, like typical Nigerians who are always desirous of taking advantage of every situation, the fuel marketers are only interested in making money for themselves and methinks the govt should come very hard on them this time.
“Anyone among them found to be hoarding fuel or selling at an exorbitant rate should be dealt with.”
A group known as The Natives has said that no country can consistently allow N400 billion monthly to a few Nigerians in the name of subsidy.
It said, rather, that the N400 billion per month could be invested in “one million jobs, the digital economy, health, infrastructure, agriculture, education, and incentives.”
DAILY POST reports that President Bola Tinubu declared on Monday that there was no provision for fuel in his administration.
“We commend the decision of the outgoing administration in phasing out the petrol subsidy regime, which has increasingly favoured the rich more than the poor. Subsidy can no longer justify its ever-increasing costs in the wake of drying resources. We shall instead re-channel the funds into better investment in public infrastructure, education, health care, and jobs that will materially improve the lives of millions,” the President said.
The leader of the group, Smart Edwards, while addressing a press conference on Wednesday in Abuja, said it would never allow anyone to reinstate subsidy which it described as sabotage of citizens’ livelihoods.
The group, therefore, called on the President to give no restraint to the immediate revocation of any licence of saboteurs and deal decisively with any attempt to make life unbearable for citizens by any beneficiary of a subsidy or its removal.
It stressed that it would engage the President meaningfully to ensure that this country is governed under the rule of law and for the prosperity of all Nigerians.
The group stressed that the first burden on the nation was to free the nation from those who held it hostage by fleecing the country’s resources and impoverishing the people.
He said: “We want to state clearly that as citizens of Nigeria, we asked for it, and we will not postpone any doomsday. As a matter of fact, there is no doom.
“We asked every candidate for the removal, we demanded it from the past government, we were assured it will never go beyond June, we formed a coalition for the sector; we got the assurance of Asiwaju, Peter Obi, Atiku Abubakar, the Nigerian Labour Congress (NLC), the Trade Union Congress (TUC), the political parties, and former President Muhammadu Buhari; we asked the Ministry of Finance; we demanded it from former President Muhammadu Buhari; we asked the Ministry of Finance. We demanded it from NNPC Ltd. We gathered civil society for it, and we knew it was coming; it will end in June, and we will never allow anyone to reinstate this sabotage of our livelihoods.”
[DailyPost]
Igbo youth groups under the aegis of the Coalition of South East Youth Leaders (COSEYL) have concluded plans to carry out a 2-million-man-march in Abuja, the capital of Nigeria.
The march scheduled for 5th June 2023 will enable the groups to press home its resolution that the Senate Chief Whip, Senator Uzor Kalu is the authentic consensus candidate of the people of South East for the position of the Senate President of the 10th Assembly.
Rising from their general meeting in Owerri on Sunday, COSEYL in a communique resolved that the leadership of the All Progressives Congress (APC) should zone the Senate President’s position to South East for fairness, equity and justice.
The communique which was jointly endorsed by the President General of the Igbo youth groups, Goodluck Ibem, Ndubuisi Uche Secretary and Okey Nwaoru, Publicity secretary respectively, equally called on President Bola Tinubu to release the leader of the Indigenous People of Biafra (IPOB) Nnamdi Kanu to attend to medical treatment.
They said: “Mazi Nnamdi Kanu is seriously sick and needs urgent and better medical treatment by his doctors who know his medical history and knows better how to treat him for a better medical result. This is pertinent to help reduce youth restiveness and insecurity in the South East”.
The groups urged the Federal Government to declare a state of emergency on insurgency, terrorism, kidnapping, banditry and other violent crimes in the nation.
On the issue of insecurity, they described it as very important to be resolved urgently so that farmers can go back to the farm to cultivate and harvest crops for human consumption.
They said: “Hunger kills faster than bullets. Food security is important to sustain human existence”.
They advised the leadership of the All Progressive Congress to zone the position of the Senate President to the South East geopolitical zone adding that Senator Orji Uzor Kalu the current Senate Chief Whip is the consensus candidate of the people of South East.
The youth groups urged President Tinubu to prevail on Petroleum marketers to stop the arbitrary increase of fuel prices, emphasising that its effect is already causing untold hardship for the people.
They said: “The sudden removal of fuel subsidy has led to hyper-Inflation and increase in fuel from N240 to N700 per litre and increase in other petroleum products which has resulted in increase in prices of goods and services. Nigerians are currently facing untold hardship and we urge the President to put measures in place to stop arbitrary increase of prices of petroleum products, hoarding and other sharp practices by petroleum marketers”
The Chief Executive of the Nigerian National Petroleum Company Limited (NNPCL), Mele Kyari, on Tuesday met with President Bola Tinubu at the Presidential Villa, Abuja, telling correspondents afterwards that the federal government is owing the company the sum of N2.8 trillion that it had already paid on petrol subsidy.
He affirmed that the subsidy is no longer sustainable as it has made it impossible for the company to have funds to channel into its core businesses.
Kyari said the petrol queues that have resurfaced are understandable as marketers will like to understand the meaning of the president’s pronouncement that “subsidy is gone.”
He said that the uncertainty on the remarks also caused consumers to rush for the product and causing queues.
The NNPCL boss assured that the government will initiate measures to cushion the effects of the removal of subsidy.
Kyari was joined by the Chief Executive of Nigerian Mainstream and Downstream Regulatory Authority, Faruk Ahmed, who also said that with the removal of subsidy, there will be no price cap on the sale of petroleum products in the country just as he said that conversation is ongoing to ensure that consumers are not shortchanged.
The NNPCL Group CEO said, “Since the provision of the N6 trillion in 2022, and N3.7 trillion in 2023, we have not have not received any payment whatsoever from the federation.
“That means they (federal government) are unable to pay and we’ve continued to support this subsidy from the cash flow of the NNPC.
“That is, when we net off our fiscal obligations of taxes and royalty, there’s still a balance that we’re funding from our cash flow. And that has become very, very difficult and affecting our other operations.
“We’re not able to keep some of these cash for invest on our core businesses.
:And the end result is that it can be a huge challenge for the company and we have highlighted this severally to government that they must compensate and NNPC, they must pay back an NNPC for the money that we have spent on the subsidy.”
“So, today the country does not have the money to pay for subsidy. There’s incremental value that will come from it. But it is not an issue of whether you can do it or not because today, we can’t afford it and they are not able to pay our bill. That comes to how much is the federation owing NNPC now.
“Today, we are waiting for them to settle up to N2.8trillion of NNPC’s cashflow from the subsidy regime and we can’t continue to build this.”
[Tribune]
Senior Advocate of Nigeria (SAN), Olisa Agbakoba said President Bola Tinubu needs to dismantle the Economic and Financial Crimes Commission, EFCC, in his bid to have a successful anti-corruption war.
Agbakoba stated this while speaking in an interview on The Morning Show of Arise Television on Wednesday.
The legal luminary also urged the President to relieve the EFCC chairman, Abdulrasheed Bawa of his job, in order to have a fresh leadership for the agency in the new administration.
He said, “For me, I think the EFCC should be dismantled and Bawa should be allowed to go. He has been picking up fight with so many people, which are actually unnecessary.”
The newly inaugurated Governor of Abia State, Dr. Alex Otti, has directed the immediate suspension of all transport levies hitherto imposed on tricycles (keke), buses, taxis and other commercial vehicles plying Abia roads.
The directive, according to a statement issued by the Special Adviser to the Governor on Media and Publicity, Ferdinand Ekeoma, takes immediate effect.
The move was a sequel to the governor’s campaign promises, where he pledged to review the alleged extortion in the levy collection.
The statement added that the suspension would remain until the new administration “reviews these levies and makes public its arrangements for the smooth, organized and transparent collection of such transport levies in a manner that would not lead to extortion, intimidation and violation of rights and privileges of Abia residents.
“The government believes that the present method is archaic and very harmful to the lives of the people and the economic well-being of the state, and thus should not be allowed to continue.
“In the light of the above decision, the governor has asked all those involved, directly and indirectly to please discontinue forthwith, or face the wrath of the law, as security agents have been briefed and directed to apprehend and bring to justice anyone found violating this directive”.
The Chief Executive of the Nigerian National Petroleum Company Limited (NNPCL), Mele Kyari, on Tuesday met with President Bola Tinubu at the Presidential Villa, Abuja, telling correspondents afterwards that the federal government is owing the company the sum of N2.8 trillion that it had already paid on petrol subsidy.
He affirmed that the subsidy is no longer sustainable as it has made it impossible for the company to have funds to channel into its core businesses.
Kyari said the petrol queues that have resurfaced are understandable as marketers will like to understand the meaning of the president’s pronouncement that “subsidy is gone.”
He said that the uncertainty on the remarks also caused consumers to rush for the product and causing queues.
The NNPCL boss assured that the government will initiate measures to cushion the effects of the removal of subsidy.
Kyari was joined by the Chief Executive of Nigerian Mainstream and Downstream Regulatory Authority, Faruk Ahmed, who also said that with the removal of subsidy, there will be no price cap on the sale of petroleum products in the country just as he said that conversation is ongoing to ensure that consumers are not shortchanged.
The NNPCL Group CEO said, “Since the provision of the N6 trillion in 2022, and N3.7 trillion in 2023, we have not have not received any payment whatsoever from the federation.
“That means they (federal government) are unable to pay and we’ve continued to support this subsidy from the cash flow of the NNPC.
“That is, when we net off our fiscal obligations of taxes and royalty, there’s still a balance that we’re funding from our cash flow. And that has become very, very difficult and affecting our other operations.
“We’re not able to keep some of these cash for invest on our core businesses.
:And the end result is that it can be a huge challenge for the company and we have highlighted this severally to government that they must compensate and NNPC, they must pay back an NNPC for the money that we have spent on the subsidy.”
“So, today the country does not have the money to pay for subsidy. There’s incremental value that will come from it. But it is not an issue of whether you can do it or not because today, we can’t afford it and they are not able to pay our bill. That comes to how much is the federation owing NNPC now.
“Today, we are waiting for them to settle up to N2.8trillion of NNPC’s cashflow from the subsidy regime and we can’t continue to build this.”
Representatives of the Federal Government are expected to meet with the Nigeria Labour Congress today by 2pm over the planned removal of fuel subsidy.
The NLC National President, Joe Ajaero, made the disclosure during an interview with channels television on Wednesday morning.
He said the position of Labour had been clear that even if President Bola Tinubu has a good intention, alternatives must be provided.
He said the President should have asked questions and find out the implications of fuel subsidy removal on Nigerians on the streets.
The NLC boss listed the alternatives to include the repair of the nation’s four refineries, provision of transportation of alternatives for the Nigerian workers, amongst others.
“The pronouncement by Mr President is as good as law and if in the process we make a law that is not practicable, the same people that made the law can look at it,” Ajaero said while calling for a review of the President’s pronouncement.
“Does it bring pleasure to us to say subsidy is gone and people start suffering? Is it not part of leadership for us to look at how the suffering of the people can be reduced?” he asked.
Recall that Tinubu while giving his inaugural speech on Monday, May 29,2023 unexpectedly declared, “Subsidy is gone”.
Though the president’s image makers in statements issued by the state house insisted that the new president was misquoted by some sections of the media.
Tinubu’s declaration led to an increase in panic buying with some filling stations across the country pegging the pump price of the Premium Motor Spirit to as high as N600 per litre.
The organized labour comprising of Trade Union Congress and the Nigeria Labour Congress described the move by Tinubu as a “joke taken too far”.
It is expected that Today’s meeting will provide a lasting solution to the situation on ground.
Already, the Nigerian National Population Company Limited noted that the country was spending over N400bn monthly on subsidy. Industry experts have said the model was not sustainable in the long run.
The subsidy on fuel when removed, will be channeled into the development of other sectors, President Tinubu said on Monday.
A Senior Advocate of Nigeria, Olisa Agbakoba has called on President Bola Ahmed Tinubu not to delay in appointing his cabinet members.
Agbakoba made the call on Arise Tv while giving an opinion on his expectations for the new administration.
Tinubu was inaugurated on May 29, 2023 to take over the mantle from former president Muhammadu Buhari.
Tinubu inherited an economy with debt profile estimated at N76trn; inflation has reached 22.22 Per cent in April while unemployment is expected to rise above 40 per cent by the time the National Bureau of Statistics publishes its report.
It is believed that Tinubu’s ability to turn around the fortunes of the country will rely on the capable hands he would appoint to run his government.
He suggested the replacement of Godwin Emefiele, the current Central bank of Nigeria Governor with either Mustafa Chike-Obi, the Chairman of Fidelity Bank Nigeria or Dr. Yemi Cardoso who is the Chairman of the Board of Directors of Citibank Nigeria.
Agbakoba said, “We need to talk about a limited government. The government is too big, he needs to have good people. In the CIA they are called ‘top assassins’. My number one top assassin for the Attorney General position will be either Babatunde Ogala or BRF (Babatunde Raji Fashola); for the SGF, I will say that someone like Governor (Abubakar Atiku) Bagudu should be appointed to the position of the SGF.
“The timeline for an appointment is absolutely today. Today, I will think he should be making critical appointments, I will just give a couple of names: Mustafa Chike-Obi (Chairman of Fidelity Bank Nigeria) or (Chairman of the Board of Directors of Citibank Nigeria) Dr. Yemi Cardoso. I will like to see the transport ministry reorganised into four sub-ministries of rail, road, shipping, and air with the secretary of transport organising this.
“Works should seize to be a ministry and they should go onto transport ministry. By 6:pm today, the challenge for President Tinubu will be to name at least four or five critical ministers, because there is no time to waste.”
He argued that asides from scrapping the Transport Ministry, Nigeria needs to introduce a Maritime Ministry in order to tap into the potential of the maritime sector.
He added, “The issue concerning the economy is there is no money. The debt-to-revenue ratio is horrible. We earn N100 and we use it to pay debt. So, there is nothing he can do. Quickly, he must look for how to generate revenue. I’m sitting here in Apapa, this is a goldmine. The port here produces N20bn every day yet this place is abandoned. I would like to see the president propose to the National Assembly an emergency regeneration bill for Apapa. It may cost N10bn to N15bn but it will be worth it because we get a lot of money from Apapa.
“There are 56,000 broken projects that are uncompleted. We need to see legislation going to the National Assembly so that those broken projects can be quickly completed and bring out money for us. The maritime economy has been glossed over by all presidents in Nigeria. It needs to form the central and key part of the president’s agenda and I want to see the president appoint a minister for maritime affairs.
“Nigeria is a very huge country, outside of the oil and gas, the maritime sector is the second largest yet there is no minister. There is the minister of aviation which is smaller than the maritime industry. So that is something that should be done. Analysts have shown the maritime sector can produce up to N7trn or N8trn a year.”
Adesola Adedeji, the receptionist of Hilton Hotels owned by Dr. Rahmon Adedoyin, has been sentenced to two years imprisonment for altering the record of the hotel in the case of the murder of a postgraduate student of Obafemi Awolowo University, Ile-Ife, Timothy Adegoke.
Recall that Adedoyin was sentenced to death by hanging alongside the manager of the hotel, Adeniyi Aderogba, and supervisor, Oyetunde Kazeem, while sentencing of Adesola was deferred till today (Wednesday) after the prosecution counsel pleaded that the judge should tamper justice with mercy because she helped to unearth the mystery behind the case.
Adesola was convicted for altering the hotel’s record to cover up the whereabouts of Adegoke.
Reading the judgment, Justice Ojo said: “I have carefully considered the passionate plea of counsel to the seventh defendant in this circumstances and also carefully considered the submission of the prosecution on the need to temper justice with mercy in respect of the seventh defendant in this case. I have observed and considered the sober dominion of the seventh defendant in the court throughout the trial. I am equally mindful of the circumstances surrounding the case of the defendant in this case and I am not unmindful of the provision of section 411 (2) (b)(3) of the law on this case. I hereby sentence you, Adedeji Adesola to two years imprisonment starting from the first day of her arrest.”
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The North West Zonal Chairman of the All Progressives Congress, APC, Salihu Moh. Lukman has accused the party’s National Chairman, Abdullahi Adamu of working at crossed purposes with President Bola Tinubu over his choices for principal offices in the 10th National Assembly.
The assembly would be inaugurated on June 13.
A statement issued by Lukman on Wednesday said Adamu has continued his fight against Tinubu, dating back to 2022 when he announced that the party had adopted Senate President, Ahmad Lawan as its presidential candidate.
He said Adamu has handicapped members of the National Working Committee even as he has refused all pressures to hold National Executive Committee meetings in order to consider critical issues affecting the party.
Lukman who has been at loggerheads with Adamu and has gone to court to force the party chairman to hold a NEC meeting accused Adamu of trying to work with “rebels” in the APC to produce principal officers for the 10th Assembly.
He said, “When APC and Asiwaju won the 2023 elections, the structures of the party were blocked from functioning to allow for wider internal democratic consultations, debates, and contestations using the legitimate structures provided in the constitution of the party to facilitate internal negotiations to zone leadership of the 10th National Assembly.
“Practically, in a manner that is nothing more than suspending the constitution of the party, the National Chairman, Sen. Abdullahi Adamu, supported by the National Secretary, Sen. Iyiola Omisore has blocked all organs of the party from meeting, except the NWC.
“In the case of the NWC, it is more a case of spoon-feeding members with convenient information. And where challenged as was the case with the court case aimed at restoring constitutional order in the party, the National Legal Adviser, Barr. Ahmed El-Marzuq becomes handy with spurious legal interpretations, which are anything but legal, bereft of any logic,” he said.
He stressed, “The same conservative bloc is now spewing up hardcore ethnic Northern arguments against the zoning decisions approved by the NWC following the outcome of consultations between Sen. Abdullahi Adamu-led NWC team with President Tinubu.
“As if those consultations were not designed to produce agreements, once the NWC approved the recommendation for zoning the leadership of the 10th National Assembly, Sen. Abdullahi Adamu, instead of acting as the National Chairman, facilitating the implementation of decisions of organs of the party, he is acting as a factional leader opposing the decision of the NWC.
“Instead of working for the success of the decision of the NWC through activating meetings of higher organs of the party to confer more legitimacy to the decision of the NWC, he seems to be more interested in ensuring that the 2015 model of rebellious leadership emerges in the 10th National Assembly,” he added.
He further said, “As things are, the biggest challenge for APC of concluding the transitionary journey into the new era of President Tinubu is whether the vision of producing a progressive party managing progressive governance initiatives will be produced.
“To have a progressive party requires dynamism, action, and improvement both in the management of the APC and governments it produced.
“This is more about responding to challenges facing Nigeria with unconventional initiatives aimed at producing results that will accelerate Nigeria’s march towards democratic development than anything else.
“Inability to guarantee accelerated Nigeria’s march towards democratic development is the source of frustration for Nigerians and is why Nigerians would find failed and colourless politicians in other parties attractive during elections,” Lukman said.
He pointed out that the first test of Tinubu’s emergence as the leader of the APC as President of the Federal Republic is whether he will allow leading conservatives to continue to block structures of the party from operating as provided in the APC constitution.
According to him, “It is already a tragedy that two undeniably hardcore conservatives will be given the task of leading the APC as National Chairman and National Secretary. How can a party envisioned to be progressive have such a misfortune?
“Part of the test will be whether President Tinubu, having agreed together with the APC NWC on zoning formula for the leadership of the 10th National Assembly just sit and watch conservative right-wing elements within the APC use Northern ethnic arguments to mobilise for the defeat of endorsed APC candidates for the leadership of the 10th National Assembly?
“The take off for the President Tinubu administration will surely define what to expect. The choices are clear. It is either a progressive government led by a reformed and progressive APC with a competent team of dynamic, visionary, and selfless appointees both leading the party and governments it produced; or an outrightly conservative APC managing business-as-usual government led by unambitious team of appointees whose interest is not more than self-enrichment thereby converting public resources into personal assets.”
Following the announcement by President Bola Tinubu during his inauguration that the Federal Government will no longer pay subsidy on Premium Motor Spirit,the Nigerian National Petroleum Company Ltd has effected an upward adjustment in the price of petrol across the country.
The approval is contained in a schedule seen by THE WHISTLER detailing the new prices that would be charged by the NNPC retail outlets across the country.
The NNPC in playing it’s energy security role is the sole supplier of petrol in Nigeria currently and it is now expected that other marketers will follow the NNPC prices and adjust their own pump price with effect from today.
According to the price template, the price of petrol has now been adjusted upward from between N189 to N194 to N537 per litre in Abuja and other North-Central States such as Nasarawa, Plateau, Kwara, Kogi, Benue and Niger.
For Lagos and other South West States such as Oyo, Ogun, Ekiti, Ondo and Osun, the price of PMS was raised from between N184 and N189 per litre to between N488 and N500 per litre.
In the South East where states such as Abia, Imo, Anambra, Enugu and Ebonyi, the price was increase from between N184 and N189 per litre to N515 to N520.
Similarly, in the North -West, the price of PMS was raised from N194 per litre to N540 while for the North-East, it moved from N199 to N550 per litre.
The NNPC Ltd had shortly after the announcement by Tinubu saidthe decision to remove the subsidy on Premium Motor Spirit (PMS) by the President is a welcome development.
The Group Chief Executive Officer (GCEO) of the NNPC, Mr. Mele Kyari during a press briefing shortly after the pronouncement by President Tinubu said the subsidy burden which has been placed on the NNPC Limited is affecting the company’s cashflow and threatening its sustainability plans due to the federal government’s inability to refund the subsidy claims.
He added that NNPC as a limited liability company cannot continue to bear the burden of subsidy on behalf of the federation if it must deliver dividends to its shareholders and be profitable.
He said, “We welcome the decision of the president to announce the removal of subsidy on PMS and this has been the major challenge for NNPC operations.
“We have been funding subsidy from the cash flow of the NNPC since government is unable to defray the cost of subsidy for the federation. We believe that this will free resources for the NNPC to continue to do the great work that this company is doing for our country and it allows us to continue to function as a commercial entity.”
Kyari assured that the company has over 30 days of PMS storage and supply and appealed to Nigerians not to indulge in panic buying.
He stated further that the company is in discussion with the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to develop a framework of the implementation of the removal of the PMS subsidy as announced by the President.
He further added that the company as the supplier of last resort as mandated by the Petroleum Industry Act (PIA) will continue to ensure availability of PMS and other petroleum products.
Tinubu had in his inaugural speech at the Eagles Square abolished fuel subsidy in Nigeria, saying it is no longer sustainable.
He had said, “On fuel subsidy, the budget I met before I assumed office and what I heard is that there is no provision for subsidy. Fuel subsidy is gone.”
The Federal Government had in the last few months been taking steps to stop the payment of fuel subsidy.
In the 2023 budget, the federal government had made provisions of N3.36trn for fuel subsidy payment to cover the first six months of this year.
This is in line with the 18-month extension announced in early 2022 by the government.
The immediate past administration of former President Muhammadu Buhari had set up a Subsidy Removal Committee which comprises the Ministry of Finance, Budget and National Planning, Ministry of Petroleum Resources, Nigerian National Petroleum Company (NNPC) Limited, the downstream and upstream regulators, Central Bank of Nigeria (CBN) and the Chief Economic Adviser to the President.
The 2023 Fiscal Framework and Appropriation Act as well as the Petroleum Industry Act (PIA) have made the provision that government should exit fuel subsidy by June 2023.
Kyari had during the inauguration of Dangote Refinery last week stated that the lingering challenge of Petroleum Motor Spirit subsidies is becoming unbearable as the burden is clearly getting out of the capacity of the state to bear.
He gave the monthly fuel subsidy burden at about N400bn monthly, adding that something needs to be done urgently to stop the spending.
...Says Nigeria and indeed humanity has lost a huge asset.
The socio cultural and non partisan pan Esan umbrella organization, Esan Okpa Initiative (EOI), has received the news of Monday morning passing of the media mogul and founder of AIT/Raypower, High Chief Dr Raymond Aleogho Dokpesi, at age 71, with deep shock and sadness.
In a press release in Benin City signed by its President, Rt Hon Mathew Egbadon and Public Relations Officer, Mr Tony Iyare, the organization says , “His death is a huge and tragic loss not only to Edo State but to our dear country Nigeria”.
Recalling his dogged and great pioneering role in private broadcasting about 30 years ago, which has expanded the media space and offered alternative platforms for venting of diverse opinions and views, the group contends that “Nigeria and humanity has indeed lost a huge asset”.
Recounting his humility, humanism and generosity which has greatly impacted on many, the group salutes him for “always being imbued with the propensity to share whatever he had with others”.
Expressing its deep and heartfelt sympathy and condolences to his immediate and AIT/Raypower families, Esan Okpa says, “the hearts and prayers of our members are with all those who hold dear our departed business mogul and statesman,and we pray that God Almighty should console them all in this moment of grief.”
“We also pray for the repose of his soul, as we share the grief of the immediate family he left behind” the organization concluded.
The Nigerian stock market reacted positively to the inauguration of President Bola Tinubu, as the benchmark index closed 5.23 per cent stronger – the biggest single-day gain since 12 November 2020 – to settle at 55,745.74 points.
The Nigeria stock market benchmark performance indicators – the All-Share Index (ASI) and its equities Market Capitalisation – rose by 5.23 per cent or N1.51 trillion, its highest daily gain in two years, from preceding trading day’s lows of 52,973.88 points and N28.845 trillion respectively to 55,745.74 points and N30.353 trillion.
In 9,916 deals, investors exchanged 1,078,230,806 shares valued at N15.799 billion. The stock market’s year-to-date (YtD) positive return also increased to 8.77percent. Access Corporation, FBN Holdings, Transcorp, UBA, and GTCO were the most traded stocks as stocks like Nigerian Breweries, Jaiz Bank, FCMB Group, and Eterna were topmost on the buy-side of the Nigerian Bourse.
Nigerian Breweries rose most, from N38.50 to N42.35, adding N3.85 or 10 per cent, while Eterna moved from N7 to N7.70, up by 70 kobo or 10 per cent. FCMB Group rallied from N4.20 to N4.62, adding 42 kobo or 10 percent.
Analysts at Nigeria’s equities market are optimistic that the pro-market policy direction of the President Bola Tinubu-led new administration will bring some cheer to equity investors.
President Tinubu had on Monday highlighted the need for a unified exchange rate and a reduction in interest rates to drive up investment in the country. Barely hours after Tinubu said “fuel subsidy is gone”, long queues resurfaced across petrol stations in major cities as about 98 percent of petrol stations shut their pumps.
CardinalStone research analysts in their May 30 note said, “We expect the early communication of the mostly pro-market policy direction of the new administration to bring some cheer to equity investors. Notably, potential improvement in FX market liquidity and removal of fuel subsidies could reignite foreign participation in the equities market from its current lows. There is also likely to be a bandwagon effect on the part of locals.
“We scope for a positive re-rating of the Nigerian equities market, which is currently trading at a 19.1percent discount to its 10-year average level despite boasting higher Return on Equity (ROE) (19.2 per cent versus a 10-year mean of 15.2 per cent) and adjusted dividend yield (6.5 per cent versus a 10-year mean of 5.2 per cent).
In the medium term, overall macro improvements and a benign policy environment could enhance the fundamental values of equities and potentially support target prices”.
In the CardinalStone analysts view, the administration’s preference for a reduction in yields could be actualised by “first effectively combating supply-side drivers of inflation—the primary justification for the current hawkish monetary policy regime. However, resolving these supply-side issues will likely take some time, leaving latitude for high-interest rates in the near term, especially given the government’s borrowing needs vis-à-vis relatively tight liquidity”.