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Democracy offers citizens the choice to freely make political decisions by majority rule. It was defined by Abraham Lincoln as government of the people by the people and for the people. This concept of representative government has been positioned as the best and globally accepted. Where democracy works, it is people-centred. Citizens wield absolute powers to choose who leads in every tiers of government. To this end, people are at liberty to vote any candidate of their choice without let or hindrance. United States of America, Britain and most European countries  practice this form of government and have been at the fore front of ensuring that this ideology takes over global governments. 

However, some countries have no regard for the western kind of democracy. They have developed home grown system of government peculiar to their needs, aspirations and it serves their purpose better. From available development indices and statistics, those countries are making tremendous progress despite the fact that democracy has nothing to do with their system. China has confounded the world and demystified the notion that democracy is the best form of government. What Africa needs is her peculiar form of home grown democracy to function optimally.

The proponents of democracy as the best form of government hinged their argument on the following principles governing the practice. First, sovereignty of the people. The people wield absolute power to determine who occupies any elective position and govern them through their votes. Second, equality before the law. People are equally protected by the law regardless of their status in the society. The law treats everybody – young, old, male and female, rich or poor same. 

Third, majority rule. This is a democratic principle which gives the power to make decisions to the group with highest numbers in the community. It is a social choice rule which permits that when comparing two options, the one preferred by more than half should be considered. Fourth, upholding of minority rights. It upholds legal provisions in democracy intended to recorgnise and accommodate the distinctive needs of non-dominant ethnic or racial groups. Fifth, guarantee of basic human rights. Democracy makes the protection of the fundamental freedoms and rights of all people paramount - this includes right to life; freedom from slavery, torture and freedom of expression. 

Sixth, free, fair and credible elections. Democratic practice ideally offers an election comparatively devoid of coercion and manipulation. No rigging, snatching of ballot boxes, shutting down the iREV portal or killing. Seven, rule of the law. It is a state where citizens elect their own leaders and the government itself is bound by the law while also helping to ensure that the law is respected among citizens of the state.  Eighth, constitutional limits on government. These are democratic legal and institutional restrictions on the power of the government. They are intended to protect the rights of individuals and minorities. 

However, the pitfall of African democracy is evident in the manipulation of electoral system and crooked leadership recruitment process. This has led to abysmal level of development in all sectors across the continent. The imposed version of democracy obtainable in Africa runs short of true representative government. It is a colonial-legacy nailed to the necks of African countries. 

Suffice it to say that, the challenges confronting Africa is erected on the weak pillars of her democracy driven by external forces of neo-colonialism. Many Africans have come to the realisation that what is obtainable is akin to voodoo practice tailored to satisfy more of the interest of colonial masters than that of the citizens. This common African democratic system offers the neo-colonialists opportunities to rule by proxy through their anointed rich and powerful puppets who represent their overall interests. 

Many African leaders who fit into the above description were/are largely made up of leadership charlatans without character or integrity. They are ready to negotiate away their countries for any amount. Despite the above shortcomings, the colonial powers who cannot tolerate such misgivings in their countries continue to romance and sustain such leaders. The reigns of such leaders only end with military interventions as seen recently or when their people rise and disgrace many of them out of office.  

While, the early African democratic processes were beset with naivety, fraud, corruption and electoral irregularities leading to military interventions; the trend has remained the same over the years. The colonial masters pretend to nurture democracy in Africa but they simply manipulate the process to suit their whims. This has led to failure to produce the rightful winners through transparent electoral choices and processes. Who could boldly assert that what is obtainable in Africa and nay Nigeria is ideal democracy? 

The electoral processes are marred by obvious state or externally sponsored irregularities to favour certain candidates. They are blatantly flawed and manipulated. With the connivance of some developed countries what is seen as democracy is a selective appointment of their favourites to political offices in the name of election. Nigeria and nay almost African nations have got people with leadership qualities to transform their countries but they are frustrated. The corrupt electoral system gives them no chance. At every electoral recruitment process, they are either rigged out using the electoral umpires, security agencies and even the judiciary. 

This disappointedly threw up unpopular figures as leaders who are often forced down the throat of citizens. No time in Nigeria’s political history was the best elected into office. It was deliberately orchestrated to perpetually make Nigeria non-functional. Early in the life of the country, the so-called owners of Nigeria were quite aware that Chief Obafemi Awolowo and Nnamdi Azikiwe were both better leaders than Shehu Shagari but they lost eventually in a keenly contested election to a neophyte through a manipulated process. One wonders why election observers from the west and Europe always spend time and money to monitor and ensure supposedly free and fair elections when they sit on the fence in the face of obvious electoral irregularities whenever they release their reports. 

No matter how beautiful democracy is burnished, it represents nothing more than scrap-colonial-legacies, a transition of old feudal and oligarchical systems indirectly imposed on the people as the best form of government. Time has proven that good leadership does not necessarily evolve from democracy. The resounding ovation President of Burkina Faso - Ibrahim Traore received in Ghana as he attended the inauguration of President John Mahama was a pointer to the fact that what people desire are service, patriotic and committed leaders who proffer solutions through developmental strides for the common good. All African leaders who are products of democracy in attendance were jolted at the acceptance and warm reception of a man who is not in their ideological league. This should serve as a lesson and a moment of sober reflection for African leaders who think every election cycle which they will rig to win or sit tight is more important and a reflection of democracy or good governance. 

 

Sunday Onyemaechi Eze, lecturer Department of Mass Communication and Head Internationalisation and Partnership, Coal City University, Enugu State.

 

 

 

 

 

 

Nduka Obaigbena Leads ARISE News Teams to Washington DC for Trump Inauguration and then to Davos for World Economic Forum 

Led by Chairman and Editor-in-Chief Nduka Obaigbena, at the invitation of a former ARISE News Staff who is now a Trump Surrogate, the ARISE team landed in Washington DC for a robust coverage of Donald Trump's inauguration as the United States 47th President. The ARISE team includes Ohi Odiai, Adefemi Akinsanya ( who flew in from Turkey) and Opeyemi Adenihun. 

ARISE will give you a blow-by-blow account of events as they occur - in the spotlight and behind the scenes.  

Meanwhile, ARISE News Anchors, Rotus Oddiri, Adesuwa Omoruan and Ivica Babic have landed in Davos for on-the-spot coverage of global business leaders at the World Economic Forum annual gathering where Vice President Kashim Shetima is leading the Nigerian economic team.

Stay tuned to ARISE News platforms to get all the latest news.

ARISE News is the world’s standout news channel and broadcaster from Africa.

He is not just a deputy of the gods, he is the father and mother of death, the offspring of perdition, of metaphysical ruination and wanton loss. His suzerainty over Oyo Empire in its glory days was the stuff of which legends have been made. The long list of his forebears and their unique individual legacies beggar belief. He is the Alaafin, the king of Oyo, “owner of the palace”.

Now, things are quieter in the capital city of the Yoruba empire, no thanks to the rude intervention of British colonialists whose contempt of the traditional institution was exemplified in their classifying the seat of the African traditional ruler as a “stool” instead of a “throne”. Unfortunately, many scholarly Africans still carry on with this insult.

Pedigree is everything in Yoruba philosophy of life. A mango tree will never produce guava. An elephant will never beget a rat. The Alaafin of Oyo’s ancestry is traced to Oduduwa, the famed progenitor of the Yoruba race.

Forebears

The Oyo Empire was not a purely hereditary monarchy, nor an absolute one. The Oyo Mesi selected the Alaafin. He was not always closely related to his predecessor, although he had to be a descendant of Oranmiyan royal family.

The Brave And The Bold

In the past, the Alaafin’s eldest son usually succeeded his father on the throne. This sometimes led the crown prince, known as the Aremo, to hasten the death of his father. To prevent that, the traditional authorities enacted a law for the crown prince to be made to commit ritual suicide upon his father’s death. This practice was the subject of Wole Soyinka’s “Death and the King’s Horseman”.

The founding of Oyo is estimated to have happened around 1300. The kingdom has had a storied past. In the beginning before history was born, Oduduwa’s son, Oranmiyan, was the first Alaafin. He was succeeded by Oba Ajaka who was eventually deposed because he lacked Yoruba military virtues of sternness, ruthless efficiency and subterfuge. His junior brother, Shango, was thought to cut the right picture: militant, mystifying and gifted with an infernal temper.

The story of how Shango ended up is well known. His earlier identified virtues turned out to be his Achilles heel. But he had become the personification of vital energy, occult manifestations and cosmic inter-relatedness that he was consecrated as the god of thunder and lightning. There is a huge corpus of work on Shango in many libraries and his devotees are scattered all over Yorubaland and in the Diaspora, especially in Oshogbo, parts of Brazil, Cuba, etc. and wherever Yoruba immigrants and former slaves can be found

Shango’s predecessor, the formerly tame Ajaka, was allowed to return to the throne after the tragic death of his brother. Since that time, Alaafins have come and gone. By tradition, after the demise of an Alaafin, the Oyo Mesi, a body of seven high chiefs, are tasked with superintending the appointment of a new monarch. Their work is well cut out and is usually believed to be facilitated by Ifa divination.

Oyo once had a female king, Alaafin Orompoto, who ruled from 1554 to 1562. She ascended the throne after her father and brother died without producing male heirs.

Process

At times, the laid down process is side-stepped as happened recently with the appointment of Engr. Abimbola Akeem Owoade by the Oyo State government. Alleging that he had proof that six of the kingmakers had been serially bribed by one of the contending princes, the governor had sought the help of another son of Oyo, the famed Professor Wande Abimbola, a noted former vice-chancellor of the Obafemi Awolowo University, Ile-Ife and world renowned babalawo (diviner) who holds the title of Awise Awo Agbaye. Abimbola has now disclosed that the Ifa oracle chose 47-year-old Abimbola Akeem Owoade of the Owoade-Agunloye, Agure Compound, as the 46th Alaafin.

It will be recalled that In October 2023, the Economic and Financial Crimes Commission (EFCC) quizzed some Oyo kingmakers over allegations that they took bribes of N15 million each from one of the candidates.

Flashback

Those who are old enough would remember that the immediate reaction of contending rival princes to the choice of the then Prince Lamidi Olayiwola Adeniran Adeyemi as Alaafin of Oyo several decades ago will tell you that the choice of an Alaafin through a process sidestepping the established route for one reason or the other, is not unprecedented.

Back then in 1970, some of Adeyemi’s rivals argued that he should be disqualified because his father, Oba Adeniran, had been dethroned by the Western Region government after his public spat with council chairman Bode Thomas which eventually led to the strongly held view that he had pronounced a hex on the politician (or bewitched him) leading to his almost immediate death in bizarre circumstances defying medical science. Oba Adeniran, famed husband of 200 wives, died in exile in Lagos.

But fate has its ways. Lamidi, son of Adeniran, whose father had been deposed and exiled in 1954 was announced by the military government as successor of Alaafin Gbadegesin Ladigbolu II in 1970.

In his excellent article titled: “Making of an Aláàfin: Bribes or the gods?”, Festus Adedayo of the Nigerian Tribune asked some very important questions regarding the allegation made by the government of Oyo State that some princes had attempted to win the royal race by resorting to bribery. Hence the government’s resort to Awise Agbaye who himself is one of the highest authorities in the field.

As a people, the Oyo have seen it all: civil and external wars, strife, slavery, colonialism, foreign trade, the trans-Sahara trade route and many other events that shaped their philosophy. The people went through an interregnum of 80 years as an exiled dynasty. Perhaps, they needed that exile because when they started rebuilding, they created a government that established its power over a vast territory that stretched from parts of present day southwest Nigeria to Benin, Togo, Ghana, all the way to parts of Cote d’Ivoire.

Cavalry was the game-changing arm of the Oyo Empire. Late 16th and 17th century expeditions were composed entirely of cavalry. This columnist’s forebears, as related in the family’s “Oriki” (praise name) travelled on horse and camel back as part of a caravan for the annual Muslim pilgrimage in Mecca, a three-month religious cum commercial adventure in those days. It will be recalled that itinerant Islamic scholars had brought Islam to Oyo centuries before the Dan Fodio Jihad.

Urbanised

As a highly urbanised people, Oyo ran a sophisticated and efficient government which guaranteed that the wealthy paid their fair share of tributes to the king who, in turn, gave leadership to the military as the sovereign generalissimo as well as give direction to civil and religious institutions.

Generally speaking, Yoruba people live, breathe, drink and honour their culture. As far back as anyone can remember, Oyo, like other Yoruba groups, had thriving traditional industries with cloth weaving as one of the most lucrative occupations. No wonder, Yorubas have always had different costumes for different occasions.

Relics of architecture within the Oyo Empire, exhibited an intricate built environment showcasing a distinctive architectural style, highlighted by intricate sculptures that symbolised the status of the inhabitants.

There you have it, folks – a glimpse into the kind of people, challenges, and socio-political milieu that the mint-fresh Alaafin Abimbola Akeem Owoade has been endorsed to serve as king. Long may he reign!

 

 

We have been told that as we approach the end-time, there is nothing we shall not see or hear! All things become possible. Yinka Aiyefele told us in one of his songs that Ifa now shouts Alleluia (Ifa n ke alleluya). Now, in the ensuing melee over the appointment of a new Alafin of Oyo, we have witnessed allegations of bribery and corruption fly in all directions, Ifa’s sacred groves inclusive. If gold rusts, what will iron do?

Do we have any institution left that is spared the corrosive influence of corruption? Politicians and civilian governments are corrupt. Soldiers and military governments are corrupt. Judges and the entire judiciary, including the Bar, are corrupt. Lawmakers are corrupt. One speaker of a House of Assembly was removed last week over allegations of corruption, among others. Civil servants are the engine room of corruption. Imams and pastors are corrupt. The common man on the street is corrupt. Traditional rulers are corrupt. Even journalists and writers are corrupt! Everyone is corrupt.

Corruption oozes from every nook and cranny of our national life. But that Ifa, the Yoruba god of divinity that is renowned for purity, has also now been cornered by corruption baffles me! If the government cannot help; if lawmakers cannot help; if judges cannot help, if we cannot seek refuge with the men and women of God; if our traditional institutions are of no consequence; if we all sleep - snoring - with all heads facing the same direction, where will salvation come from?

That there is a tussle over the Alafin stool is normal; princes everywhere contest vigorously for vacant stools. In times past, virtue, not filthy lucre, most of the time determined the winner. I said “most of the time” because history records the shenanigans of princes and kingmakers that truncated virtue even in those very distant times. Since colonial rule and after, Government interference has meant that laws enacted by the government determine succession and whatever disputes that may arise therefrom.

Look around and tell of the occupant of any throne today whose ascension has not been influenced one way or the other by the powers-that-be! The difference, usually, is not in substance but in appearance. To all intents and purposes, traditional rulers today are appointees of the government. They ascend to, and occupy the throne at the pleasure of the government. They spend time there at the mercy of the powers-that-be. They get promoted and can be removed at will. They are glorified artefacts and relics from the past.

The Alafin stool is not new to controversies; if anything, controversies and troubles have been its second nature from time immemorial. However, the intrigues this time around are of a dimension that has repercussions that will reverberate throughout the length and breath of the Yoruba nation. One: If it is true that the choice of the Oyo traditional kingmakers is beholden to the Sokoto caliphate, and that money was used to “press” the hands and pockets of the kingmakers, then, he stands disqualified. Yorubaland must not allow Ilorin to happen again - and not to Oyo of all places!

Scripture says affliction shall not rise a second time (Nahum 1:9). Even if inducement was not involved, the very fact of a cozy relationship with the caliphate automatically disqualifies any candidate to the Alafin stool - indeed, any stool in Yoruba land. Once bitten, forever shy! On the basis of the allegations of financial inducement, the Oyo State Government cancelled the exercise conducted by the kingmakers and embarked on another. Good idea, but bad implementation. That is the problem we run into when we employ half-measures when we ought to have gone the whole hog.

Allegations of giving and receiving bribes are grievous. Trying to sell a throne as important as that of the Alafin is sacrilege. With regard to the importance of the Alafin throne to the entire Yoruba race, it is a treasonable act of unimaginable proportions, especially considering the Yoruba experience with Ilorin. The Oyo State Government was too lenient - too laidback, too lackadaisical, too carefree - in its disposition to those involved in the giving and taking of the alleged bribe - if any. They should have been arrested and handed over for prosecution before warrant chiefs were appointed to fill the vacancies thus created. Assuming that was done and they are by now having their day in court, they would not have been in the position to flex muscles with the government as is currently the case. Besides, the government would today have stood on high moral ground rather than have its back to the wall like the kingmakers and their supporters are trying to do at the moment. But it is not too late for the government to do the needful.

Two: The Baba who was contacted by the Oyo State Government to consult Ifa is known by all to be beyond reproach. His records of probity and integrity are in the public domain. His expertise in Ifa divination is also not in contest. So, I was satisfied when he was said to have been the one who said Ifa chose the prince that was pronounced as the new Alafin by the Oyo State Government. Regardless of whether or not he was the statutory Ifa priest so recognised by law, I go with his recommendation because the occasion was not normal after those with the statutory roles have (allegedly) compromised themselves and their offices.

A desperate situation, they say, demands a desperate solution. This was one such occasion and I salute the Oyo State Government for rising to the occasion. The snag, however, is a news report that says the “authentic” prince chosen by Ifa (which Ifa and by which Ifa priest again?) is neither the one being flaunted by the kingmakers nor the one pronounced as the Alafin by the government. That angle needs to be critically looked at and straightened out. If we are against the injustice of some elements who chose to sell the throne and we insist on the right thing being done, then, we must not, in the same breath, perpetrate injustice in another direction. Like Caesar’s wife, everyone concerned must wash clean on this score.

Otedola, Obaigbena: When two elephants fight …

One good turn deserves another. Our people say if you pour water ahead of you, you will surely step on wet ground. In other words, it is give-and-take. Scripture says if you want to receive, give. “Give and it shall be given unto you…” (Luke 6:38). There are other biblical quotes that support giving as a prerequisite for receiving. Trade by barter, kind of! If you don’t sow, you don’t reap, and whatsoever a man soweth, that shall he reap also (Galatians 6:7). For someone who is slothful and does not want to work, the Bible says such a fellow “shall not eat” (2 Thessalonians 3: 10). A musician converted it into a song thus: if hunger whacks the indolent; let him die! From the above, it is not all giving that is charity. Some giving is a hook meant to attract or draw benefits.

So, when a news organization known for its truculence towards President Bola Ahmed Tinubu suddenly made what looked like a volte-face and announced him their Man of the Year 2024, tongues wagged. One reader callled me and said, “Oga Bola, I smell a rat! Don’t you think this is a Greek gift?” I was surprised that he reasoned that way because I, too, had concluded that Tinubu qualified as my own “Personality of the Year 2024”.

It is not everything that is a Greek gift. Yes, the media establishment in question may have been overly antagonistic to the President; there is nothing extraordinary or unusual about that. In fact, the media by its orientation and calling is supposed to be more adversarial than friendly with any government in power. It is a watchdog and has the constitutional obligation of holding the government accountable to the people. The media must be critical of the government. It must at all times hold the government’s feet to the fire to be able to do that.

That, however, is not to dismiss suspicion. Going forward, the same news organization has made a very influential, even if controversial, ally of the President its Minister of the Year 2024! Pray, what is it gunning for and what is a Greek gift? Greek gift is a gift given with the intention to trick and thereby harm the recipient or receive an intended reward through the back door.

Greek poet, Homer, in his Iliad, tells the story of the war waged by the Greeks against the city-state of Troy but the Greeks were unable to penetrate Troy after a long period of battle. So Agamemnon, king of the Greeks, devised a trick: he constructed a big horse, hid some of his soldiers inside of it and left it at the firmly-secured gate of Troy, after which his troops withdrew into the distance, giving the impression that they had not only abandoned the battlefield but had also left the horse-loving Trojans the gift of a horse, maybe as a form of appeasement and sign of friendship.

The Trojans joyfully dragged the wooden horse into their city. In the night, the soldiers hiding inside the horse came out, slaughtered the guards and opened the gate for Greek soldiers to troop in and capture the city. Hence the saying to this day, “Beware of Greeks bearing gifts” or simply “Beware of Greek gifts”!

Last week when news broke that a first generation bank had instituted court action against the owner of the news organisation that awarded the Man of the Year award to the President, the reader in question called me again and said, “Oga Bola, did I not tell you that I smelled a rat? Will the President sit idly by and allow a man who just gave him the Greek gift of Man of the Year to be ridiculed or will he step in to arrange some sort of soft-landing for him?”

Later, we saw pictures of the bank boss with the President: Has he been reported to the President? Was he summoned? Or did he go on his own volition to counterbalance influence? The bank boss gave his own side of the story to the media, which painted a gory picture of corruption in high places. Did he sway the President? When the news media concerned responded with their own explanation, I honestly was convinced they, too, had a good case. But when the bank responded again, I got confused! There were a lot of technical terms and jargons traded to and fro. I am neither a lawyer nor a financial expert. The courts should be allowed to comb through the jig-saw puzzle in a way that will, in the end, serve the public interest.

But note that Greek gifts, once received, become a bait. And any trap that fails to make the intended catch must return the bait to the owner!

As the duly recognized National Caretaker Committee Chairman and Secretary of the Labour Party, we, on behalf of ourselves and other members of the National Caretaker Committee, deem it necessary to issue this Press Release to clarify and set the records straight.

Firstly, today, 17th January 2025, the Court of Appeal of Nigeria, Abuja Division, in Appeal No: CA/ABJ/CV/1217/2024; SEN. NENADI ESTHER USMAN & ANOR v. LABOUR PARTY & ANOR, unreservedly allowed our appeal against the judgment of the Federal High Court, Abuja Division, in Suit No: FHC/ABJ/CS/1271/2024, delivered on 8th October 2024 by Hon. Justice Emeka Nwite.

In its judgment delivered today, the Court of Appeal upheld the following:

1. Lack of Jurisdiction: The Court of Appeal affirmed that Suit No: FHC/ABJ/CS/1271/2024, filed before the Federal High Court by Barr. Julius Abure, was a leadership dispute, over which the Federal High Court has no jurisdiction.
2. Error by the Federal High Court: The Federal High Court erred and acted without jurisdiction by entertaining the leadership dispute brought before it by Barr. Julius Abure.
3. Violation of Fair Hearing: The Federal High Court violated our right to fair hearing by failing to consider our Counter-Affidavit filed in opposition to the suit before it.

Accordingly, the Court of Appeal struck out the suit filed before the Federal High Court for lack of jurisdiction.

It is important to address the erroneous and unsolicited finding by the Court of Appeal that, in a judgment it delivered on 13th November 2024 in Appeal No: CA/ABJ/CV/1172/2024; LABOUR PARTY v. OLUSOLA EBISENI & ORS, Julius Abure was “admitted as the National Chairman of the Labour Party.” This finding is completely inconsistent with the substantive judgment delivered by the Court of Appeal.

For clarity, the judgment delivered on 13th November 2024 in Appeal No: CA/ABJ/CV/1172/2024 pertains to the nomination of a Governorship Candidate for the Ondo State Governorship Election. It has no connection whatsoever to the leadership dispute, which was the crux of the instant suit.

Furthermore, we reiterate the established legal principle in Nigeria that courts lack jurisdiction to interfere in the internal affairs of political parties, including leadership and management issues. Therefore, we commend the Court of Appeal for upholding the position that the leadership dispute in Suit No: FHC/ABJ/CS/1271/2024 is non-justiciable and outside the court's jurisdiction.

Finally, we wish to remind the public that on 4th September 2024, the Labour Party constituted a National Caretaker Committee, appointing the undersigned, Senator Nenadi Esther Usman, as the National Caretaker Committee Chairman, and Senator Darlington Nwokocha as the National Caretaker Committee Secretary. Both have been diligently and effectively carrying out their duties to the admiration of stakeholders and the entire membership of the party.

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Signed:
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SEN. NENADI ESTHER USMAN
National Caretaker Committee Chairman
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SEN. DARLINGTON NWOKOCHA
National Caretaker Committee Secretary

Over 50 persons lost their lives in a petrol tanker explosion along Dikko-Maje road, opposite Badeggi fuelling station, in Suleja LGA of Niger State, on Saturday.

Mr Kumar Tsukwam, Federal Road Safety Corps, FRSC, Commander in Niger State, confirmed this to the News Agency of Nigeria, NAN, in Minna.

He said a loaded petrol tanker fell at the scene of the incident and people gathered, scooping the spilling fuel, unaware of the impending danger.

Tsukwam said those who went to scoop fuel were engulfed by the flames just as those who went to rescue them were also affected.

He said more than 50 people lost their lives in the tragic incident.

He, however, assured that personnel of the FRSC and other sister agencies were at the scene, working tirelessly to rescue those trapped.

Similarly, Alhaji Abdullahi Baba-Arah, Director General of the Niger State Emergency Management Agency, NSEMA, said the explosion occurred at about 9:00 am on Saturday.

According to him, the incident happened when a tanker loaded with premium motor spirit, PMS, crashed, and an attempt was made to transfer its contents to another tanker.

In the process, the PMS came into contact with a generator used to effect the transfer, triggering an explosion that claimed over 50 lives.

He said NSEMA, in collaboration with the National Emergency Management Agency, NEMA, Suleja LGA Emergency Committee, and volunteers, are currently carrying out search, rescue and recovery operations.

According to Baba-Arah, the injured have been moved to the hospital for treatment, while efforts are being made to recover the corpses of the deceased.

[DailyPost]

Many of Nigeria’s 36 states are reeling out huge budgetary provisions in hundreds of billions, and some have even dared the trillions naira mark, squaring up with the central government with their budget projections. The question on everyone’s lips is how these budgetary provisions will translate to better life and improved standards of living for Nigerians, writes Group Business Editor, SIMEON EBULU with additional reports from the states.

Budgetary provisions of most states this year, have assumed a certain ascendancy, expectedly so, given that Federal Allocations have equally been on the increase since the advent of the present administration.

Some of the states, notably, Lagos, Rivers, Ogun and Niger have even crossed over to the trillions trajectory. In the past, the trillions budget trade mark was originally the preserve of the Federal Government. Rivers State for instance, has posted a N1.189 trillion budgetary provision for 2025, while Lagos (not a new entrant though), has edged its own higher to N3.005 trillion for the 2025 fiscal year. Ogun State has stepped into this coveted group with its N1.055 trillion budget outing, as well as Niger State saying bye-bye to the billions class with its entry into the trillion naira category with N1.5 trillion, beating Rivers and Ogun states to it.

The budget figures for the 36 states, as presented by the governors, have shown remarkable appreciation compared to what most of them posted in 2024 and the years before.

If the observed increases are sustained, clearly as the trend suggests, it won’t be long before other states start declaring their annual budgetary provisions in trillions, and hopefully there won’t be confusion in presenting the figures to the public.

Put together, the amount of resources now available at the states, to be modest, is quite revealing. The states, most of them that is, are parading budgets in excess of half a trillion naira yearly. Given that development (whether physical, or human capital), is driven by resources, equitably applied, or deployed, the expectation and the call from many quarters that the states should take their place in moving the country forward, cannot be misplaced. In fact, it bears emphasis. The synergy and milestone that a conscious and meticulous deployment of a percentage of these resources can bring to bear on the development of the nation, be it roads construction, primary health care services provision, education at whatever level, name it. The cumulative impact of these financial resources, if equitably and steadfastly deployed, bearing in mind the geographical contiguity of the country, cannot be underestimated.

 

From year-to-year, in ascending order, humongous financial, material and human resources are pushed and deployed to the states in forms of federally allocated revenues, grants from foreign nations including notable Foundations, in addition to Internally Generated Revenues (IGR). What has become of these resources over the years, is the resounding question on every one’s lips. But if you ask me, na who I go ask!!!

How they stand.

Lagos State

Governor Babajide Sanwo-Olu of Lagos State has presented and equally signed a ₦3.005 trillion budget for the year, 2025.

 

Tagged the “Budget of Sustainability,” it seeks to focus on capital projects aimed at driving economic growth and development.

A breakdown of the budget showed that ₦1.7 trillion is assigned for Capital Expenditure, while N1.2 trillion is for the Recurrent provisions.

“Total revenue comprises our Internally Generated Revenue of  ₦1,970,897,000,000, and total Federal Transfers of  ₦626,137,000,000,” the governor said.

”  This 2025 budget, aptly themed the “Budget of Sustainability,” is not just a fiscal document, but a blueprint for continuity, resilience, and shared prosperity for every Lagosian. As the heartbeat of Nigeria and the economic hub of Africa, Lagos stands at a crossroads, confronted by a nexus of challenges that test our resolve and of opportunities that call for bold action, he stated.

 In crafting this budget, Sanyo-Olu said, “we have listened to your voices, studied global and local economic realities, and reaffirmed our commitment to ensuring that Lagos continues to thrive sustainably for generations to come.”

 The ‘Budget of Sustainability ‘ embodies the values that have always defined us as Lagosians: resilience, innovation, inclusivity and sustainability. It speaks to our vision of balancing the pressing needs of today with the undeniable responsibility of securing the future.

This budget is structured around five key pillars designed to ensure economic stability, environmental stewardship, and social equity.

The budget , he said will focus on  : Infrastructure Sustainability,  Economic Diversification,  Social Inclusion and Human Capital Development,  Environmental Sustainability as well as  Governance and Institutional Reforms.

The Governor said : ”  It will focus on continuous investments in infrastructure are the backbone of our development agenda. The Greater Lagos we envision will emerge on the back of high-quality infrastructure that keeps pace with population growth. Our focus is therefore on ensuring the durability, functionality, and adaptability of our physical assets to meet the ever-growing demands of our people.”

In the coming fiscal year, we will be prioritizing the maintenance, upgrade and expansion of existing road networks, bridges, rail systems and drainage infrastructure, to enhance mobility and to mitigate the impact of climate change. Digital infrastructure is not left out, in line with our vision for a truly 21st century megacity.

Rivers State

Rivers State for instance, in its budget, themed: ‘Budget of Inclusive Growth and Development’, posted an estimated total budgetary provision of N1.189 trillion. The breakdown as enunciated by the Governor, Siminalayi Fubara, included Capital Expenditure of N678.088 billion, and Recurrent Expenditure of N462.254billion. The breakdown implied a higher commitment to capital expenditure, as against the 44.56 per cent to recurrent-capital expenditures.

The N1.189 trillion budget was premised on some national assumptions and state’s expectations. These include oil price benchmark of $80 per barrel, oil production rate of 1.8 million barrels per day, exchange rate of N1,500 per dollar, inflation rate of 22 per cent, State GDP growth rate of 3.18 per cent and increase in internally generated revenue (IGR) to not less than 35 per cent of the total budget. The state plans to increase internal tax base by bringing more people into the tax net.

In financing the 2025 budget, the government expects to source N264.369 billion from IGR, statutory allocation, N18.203 billion; mineral funds, N132.173 billion; Value Added Tax, N204.262 billion; Refunds Escrow, Paris/ECA, N31.200 billion; refunds from bank charges, N27.500 billion; excess crude account, N20.600 billion; exchange rate gain, N25.244 billion; forex equalization, N50 billion; other FAAC, N50 billion; asset sales, N25 billion; capital receipts, N9.880 billion; proposed internal grants, N60.080 billion; proposed external grants, N7.522 billion; proposed loans and bonds, N250 billion and prior year balance of N12.931 billion.

Out of the N678.088 billion allocated for capital expenditures, nearly one-third or N213.586 billion was allocated to “governance” while infrastructure received the highest specific allocation of N195.075 billion. Agriculture was allocated N30.954 billion. Other major allocations included education, N63.275 billion and health, which was allocated N97.751 billion.

Fubara outlined the core priorities for the 2025 fiscal year to include agriculture, economic growth, quality education and healthcare delivery, basic infrastructure, and social investments. However, allocation to agriculture represented 4.6 per cent of capital budget and 2.6 per cent of total budget, allocation to health was 9.0 per cent of capital expenditures while health received 14.45 per cent of capital estimates.

He said the N213 billion under “governance” would be used “for the provision of effective governance, public administration, social investments, and the security of lives and property for the 2025 fiscal year”.The N213 billion would enable the government to execute its mandates on public governance and deliver the dividends of democracy through purposeful and highly impactful social policies, programmes and projects in the most efficient, effective and sustainable manner, he stated.

Akwa Ibom

Akwa Ibom State’s N955 billion 2025 Budget christened “Budget of Consolidation and Expansion” is anchored on Governor Umo Eno’s ARISE Agenda.  Part of the objective of the 2025 Budget is  food security through substantial investment I n the agricultural revolution, rural development through robust inputs in modern living facilities, consolidation, maintenance and advancement of world-class infrastructure in the state.

The 2025 Budget is predicated on an oil benchmark of $75 per barrel at a daily production rate of 2.12 million barrels with an estimated exchange rate of N1,400 per dollar, in line with the national budget benchmark projections.

The total budget size of N955 billion represent a modest increase of three per cent on the 2024 revised budget of N923.46 billion. The main budget components include recurrent expenditure of N300 billion and capital expenditure of N655 billion. The total projected recurrent expenditure for 2025 is put at N830 billion as against the proposed revised provision of N803.703 billion for 2024.

The breakdown of expected inflows include Internally Generated Revenue (IGR )of N80 billion, statutory revenue, N20 billion; derivation revenue, N135 billion, 13 per cent derivative revenue arrears, N60 billion; exchange gain, augmentation and others, N455 billion; excess crude account, N5 billion; Value Added Tax (VAT), N70 billion and ecological fund of N5 billion.

For recurrent expenditure, incorporating personnel cost is estimated at N115.7 billion, while overhead cost would gulp N184.31 billion. On the other hand, total projected capital receipts showed that N530 billion would be transferred from the Consolidated Revenue Fund, while the balance of N125 billion consisted mainly of N100 billion opening balance from 2024 account.

The sectoral allocation in the budget suggests that 59 per cent or N564.4 billion would be spent on the economic sector, N215.86 billion or 22.6 per cent on the administrative sector, 2.2 per cent or N21.39 billion on law and justice sector and N152.33 billion or 16 per cent on social sector.

Cross River State

Cross River State’s N538.52 billion 2025 Budget, which came into force on January 01, 2025, consisted of recurrent expenditures of N202.61 billion, capital expenditures of N333.34 billion and statutory votes of N2.567 billion. The highest allocations under the recurrent expenditures were to debt management department, N 50 billion; Office of Accountant General, N36.2 billion and special services department, with N10.72 billion. In capital expenditures, highest allocations were to Ministries of Work and Infrastructure, Aviation, Education and Health at N99.63 billion, N16 billion, N9.56 billion and N16.8 billion respectively.

Ekiti State

Ekiti State’s N375.790 billion 2025 Budget focused on the state’s shared prosperity agenda, which was built on six pillars of governance, youth development and job creation, human capital development, agriculture and rural development, infrastructure and industrialization and arts, culture and tourism.

Expected revenue sources included Federal Allocation of N168.15 billion or 44.7 per cent of total budget size, Value Added Tax (VAT) of N54.92 billion or 14.6 per cent of budget size, IGR of 29.1 billion or 7.7 per cent of budget size, external grants of N79.51 billion or 21.2 per cent of budget and loan of N25 billion or 6.7 per cent of total budget size.

The breakdown of the budget included recurrent expenditures of N192.33 billion or 51 per cent of total budget and capital expenditures of N183.46 billion, about 49 per cent of total budget. Personnel cost of N60.88 billion or 16 per cent of recurrent budget was the highest under recurrent expenditures, followed by grants and subsidies, which were expected to close at N36.44 billion or 10 per cent of the budget.  A total of N138.18 billion of the capital budget is allocated to the economic sector, followed by social sector with 14 per cent or N26.49 billion. Administrative sector and law and justice sector received N14.13 billion or 8.0 per cent and N4.6 billion or 3.0 per cent respectively.

The 2025 budget, christened “Budget of Sustainable Impact”, focused on the economic sector, which included agriculture and food security, rural development, small and medium enterprises (SMEs), social investments programmes, arts, culture and tourism and infrastructure. Governor Biodun Oyebanji explained that the allocation of the highest allocation to the economic sector was because it plays a vital role owing to its capacity to engender sustainable growth and development. Some of the major projects to be executed under the economic sector included massive agricultural projects, completion of the 1km flyover bridge from Union Bank in Ajilosun to First Bank at Okeyinmi, Ado Ekiti, construction of rural and farm access roads and provision of potable water and sanitation facilities across the state and rural.

Adamawa’s 2025 budget

For the 2025 budget, the Adamawa State government puts its proposed spending at ₦486,218,047,600 towards the financing of both the recurrent and capital development programmes within the 2025 fiscal year. This represents over 100 per cent increase when compared to the 2024 budget of ₦225,893,690,626.00.

The Governor of Adamawa State, Ahmadu Umaru Fintiri, while presenting the budget on December 16, 2024, noted that this year’s budget is in line with the Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP). Out of the total Proposed Budget Estimate of ₦486,218,047,600, the sum of ₦137,256,217,610, which represents 28.23 per cent is earmarked for Recurrent services, while the balance of N348,961,829,990 which is 71.77 per cent of the total Projected Annual Budget is earmarked for Capital Development Programmes and services in the state.

A breakdown of the state’s budget in terms of expected revenue indicates that the state hopes to raise the following revenue thus: Statutory Allocation   of N53,000,000,000 or 10.9 per cent; Share of VAT, N91,000,000,000 or 18.7 per cent; excess non-oil N12,000,000,000 or 2.4 per cent; exchange rate gain, N50,000,000,000    or 10.3 per cent; Ecological /Flood funds, N10,632,000,000    or 2.2 per cent; Electronic money transfer   N3,500,000,000 or 0.7 per cent; State infrastructure & security , N42,000,000,000 or 8.6 per cent; Signature bonus, N60,000,000,000 or 12.3 per cent; Other FAAC distribution, N48,000,000,000 or 9.9 per cent; Independent revenue, N24,568,582,500 or 5.1 per cent and Capital receipts, N91,517,465,100 or 18.8 per cent.

In terms of budgetary allocations, the Ministry of Works and Energy Development tops the list with N88,887,728,830.00. This is  closely followed by Ministry of Education and Human Capital Development with N40,407,396,580.00 and the Office of the Accountant General, N25,877,656,320.00

The Ministry of Agriculture, with N12,695,312,040.00; Ministry of Health and Human Services, with N12,646,274,760.00 and Ministry of Rural Infrastructure & Community Development, with an allocation of N11,060,140,560.00 places as the last three ministries with the least allocations.

Ogun State

Ogun State is set to drive growth, infrastructure with N1.055 trillion budget for 2025

 Its total budget estimated at N1.055 trillion for the year 2025 will be channeled to building key infrastructure and supporting growth in key segments of the economy.

 The State Governor, Prince Dapo Abiodun, disclosed this during the budget presentation to the state House of Assembly, in Ogun State.

 He disclosed that the revenue composition includes an estimated N120.97 billion from the Ogun State Internal Revenue Service (OGIRS) and N193.85 billion from other Ministries, Departments, and Agencies (MDAs), totaling N314.82 billion. Statutory allocations from the Federal Government, including FAAC and VAT, are projected at N228.06 billion.

 He said: “We will continue to leverage existing statutes to enhance revenue transparency, broaden the base, and strengthen the State’s finances without imposing additional burdens on residents,” he stated.

 The Governor, explained that that expenditure policy for 2025 aligns with the Ogun State Economic Development Plan and Strategy (2021–2025), targeting fiscal sustainability, human development, food security, a favorable business environment, energy sufficiency, enhanced transport infrastructure, and industrialization with a focus on Small and Medium Enterprises (SMEs).

 “The 2025 budget represents a carefully designed strategic roadmap aimed at accelerating our development agenda. It is a manifestation of our shared vision for a prosperous Ogun State—a state where infrastructure, quality education, healthcare, security, and economic opportunities are accessible to all,” he said.

Bauchi State

With the passage of the N467 billion 2025 budget, tagged “Budget of Consolidation and Sustainable Development,” by the Bauchi State House of Assembly, the implementation of Governor Bala Mohammed’s ‘My Bauchi Project’, the strategic vision developed to guide his administration, is on course.

 This followed the governor’s November 21, 2024 proposed N465 billion appropriation bill to the assembly, which, according to Speaker Suleiman Abubakar, was jacked up by N2 billion, making it N467 billion which was then passed. Mohammed said the upward review of N2 billion was necessitated by the desire to ensure that services were delivered to the people.

 His words: “We look forward to implementing the 2025 budget for the next one year and are ever more committed to investing in the development of critical infrastructure needed to grow our economy. We will also pay special attention to develop the human capital resources of the state through prioritisation of education, healthcare delivery and provision of key social services.

 “This is in addition to a plan to promote agriculture production, improve commerce and attract investors.”

 In the 2025 fiscal year, N465b has been earmarked for capital and recurrent services. This comprises of recurrent expenditure of N183b, representing 39.3 per cent while capital expenditure gets N282b, which represents 60.7 per cent.

 The sum of N273b is estimated as recurrent revenue, made up of Internally Generated Revenue (IGR) of N50, 028b; Statutory Allocation N42, 030b; VAT N78, 500b; and FAAC Revenue N102, 500b.

 Bauchi State also projects to realize capital receipts in the sum of N172.441 billion in the following areas: Aids and Grants N27,629,353,172.00 and Bond N30,000,000,000.00.

Niger State

Niger State has unveiled a budget of N1.5 trillion for the current year, aimed at stimulating economic growth, which marks a substantial increase from the previous year’s budget of N805 billion. The budget for 2025 surpasses the 2024 appropriation by 48.3 percent. According to Governor Mohammed Umaru Bago, the budget allocates over N196 billion for recurrent expenditure and more than N1.3 trillion for capital expenditure. The focus of this budget will be on critical economic sectors such as the security of lives and property, agriculture and food security, health, education, water and sanitation, infrastructure development, social security, and environmental sustainability. The State Government anticipates a revenue of N1,558,887,565,358.00 to facilitate these objectives

The allocations include N53,400,000,000.00 as Statutory Allocation; N85,300,555,454.00 from Value Added Tax; N236,900,000,000.00 from other Federation Account Allocation Committee (FAAC) Receipts; N63,360,000,000.00 from Internally Generated Revenue (IGR); N186,368,241,948.00 from supplementary IGR; and N933,558,767,956.00 from capital receipts. The capital receipts consist of N493,496,681,728.00 in loans and N440,062,086,228.00 in grants.

The proposed recurrent expenditure amounts to N196 billion, which includes N72,276,458,552.00 allocated for Personnel Costs, N51,106,010,146.00 designated for Overhead Costs, and N72,952,892,745.00 for charges under the Consolidated Revenue Fund. In addition, the capital expenditure comprises N27,611,200,002.00 for Administrative purposes, N1,362,552,203,915.00 for Economic initiatives, N3,508,500,000.00 for Law and Justice, and N224,926,959,523.00 for the Social Sector.

Imo State

 Imo State is targeting expanded economic opportunities with N755.6 billion  budget

 The Imo State Government has expressed its readiness to pursue expanded economic development of its domain with its budget estimates of N755,588,041, 220.

According to the budget speech presented by its Governor, Mr Hope Uzodinma to the State House of Assembly, the State intends to raise N42,577,065, 257 billion as internally generated revenue while it expects N293,154,121,949 billion from the Federal Accounts Allocation Committee (FAAC).

It expects  capital receipts around the neigbourhood of over N419, 856,584,014 billion.

A breakdown of the budget indicated that the Ministry of Works and Infrastructural Development will gulp 46 per cent amounting to over N296,461,152,778 billion followed by the Ministry of Transport allocated N101,010,000,000 billion representing 16 per cent.

The budget sectoral allocation has the Ministry of Power and Electrification gulping N74,755,497,042, representing 12 per cent.

The Ministry of Tourism, Hospitality is allocated N30,210,000,000, representing five per cent, whereas the Ministry of Health is allocated N22,933,234,000 billion, which is four per cent of the budget estimate.

Three point three per cent of the budget , amounting to over N21,130,000, 000 billion will cater to the needs of the Ministry of Environment and Sanitation.

The Ministry of Livestock Development as well as the Ministry of Agriculture and Food Security are allocated N20,000,000,000 billion and N12,011,958780 billion respectively, representing three and two per cent.

The Ministries  of Housing and Education are allocated the least with N7,865,000,000 billion and N7,420,000,000 billion representing one point two per cent and one per cent.

Uzodinma said the implementation of the budget will translate to making Imo State a viable economic and industrial entity with proper utilization of resources.

 
 [TheNation]

The Federal Capital Territory has become a battleground for real estate developers and high-profile landowners after the FCT Minister, Nyesom Wike, revoked land allocations in the Maitama II area of Abuja, affecting 568 prominent individuals.

Amid the controversy, developers are scrambling to either pay up or protect their investments.

On January 15, 2025, the deadline to settle outstanding Certificate of Ownership fees for plots in Maitama II passed, and those who failed to comply had their land rights revoked under the Land Use Act of 1978.

Affected figures include the Imo State Governor, Hope Uzodimma; Bayelsa State Governor, Douye Diri; Senate Leader, Opeyemi Bamidele, and Abike Dabiri-Erewa.

 

Also affected are the Speaker of the House of Representatives, Tajudeen Abbas; a former Cross River State Governor, Ben Ayade; the Senate Minority Leader, Mr Abba Moro; and the National Secretary of the Peoples Democratic Party, Mr Samuel Anyanwu, among others.

In response to the revocations, many developers are grappling with the reality of having their plans disrupted.

An Abuja-based real estate developer, Ameh Daniel said property owners and politically exposed persons in the FCT were rushing to develop their property while also voicing growing frustration among developers in the region.

He citied significant challenges arising from recent land revocations and government’s demands for rapid payment of debts.

Speaking to Sunday PUNCH on Friday, Daniel noted that many developers were shifting away from large-scale projects, preferring to invest in smaller plots ranging from two to four hectares instead of massive land tracts.

“Many developers today aim to avoid large-scale projects, typically opting for land sizes of two to four hectares instead of massive plots. This allows them to work within their budgets while still investing in profitable developments,” he stated.

Daniel highlighted a looming crisis in the industry, pointing to the recent property revocations by the minister that had interrupted numerous projects.

“Recent property revocations in Abuja are causing significant concern in the real estate sector. While property owners are now rushing to develop their property; developers are frustrated by these actions, as they disrupt existing plans and investments. Some developers are being relocated to new areas, which often leads to conflicts,” he added.

A major pain point for developers, according to Daniel, is the difficulty in securing the Certificates of Occupancy.

According to him, the process is slow and often clashes with the accelerated timelines set by the government for construction.

“This challenge arises from the time frames involved in property development. Developers are under pressure from the government to accelerate their construction plans, which complicates the timely processing of C-of-Os,” he said.

Daniel also criticised the government’s recent directive requiring developers to settle debts within just two weeks.

He argued that the short time frame did not align with the cash flow dynamics of the real estate business.

“It’s affecting sales, as potential buyers are becoming hesitant. There is growing concern about the stability of their investments. People are asking: ‘What if my property is revoked too?’ This uncertainty is causing a decline in confidence within the market,” he said.

Real-life cases of revocation, particularly in the Idu Train Station area, have further complicated the situation.

Daniel recalled one instance where a developer was forced to refund a client after their property was seized for reallocation.

“There have been reports of massive land revocations, particularly in areas like the Idu Train Station, where property was seized to be reallocated to people of their caucus,” he said.

Daniel added that the current environment had placed developers in a difficult position.

According to him, with strict deadlines and the threat of land revocations hanging over them, many are finding it hard to trust the system.

The challenge is not limited to developers.

 

Sunday PUNCH gathered that individual property owners were also affected.

The Chairman, Council of Registered Builders of Nigeria, Dr Samson Opaluwah, highlighted the broader implications of the government’s actions.

“We’ve received numerous complaints from property owners about the financial strain these short deadlines are imposing,” Opaluwah said.

“Many people have neglected these payments for years, and now, they’re expected to pay large sums in just two weeks. This is placing an impossible burden on them,” he added.

Opaluwah appealed directly to the FCT Authority, urging for more time to settle outstanding payments.

“We understand the government’s position on enforcing land-use regulations, but we believe a more flexible payment schedule would alleviate the pressure many developers and property owners are facing. A grace period for them to spread out payments over time is critical,” he said.

A call for flexibility

The real estate community remains divided over the government’s strategy, with some seeing it as an essential move towards accountability, while others warn that the two-week notice is insufficient.

Opaluwah said the ongoing situation called for a broader dialogue between the authorities and stakeholders in the real estate sector.

“We urge the FCTA to consider an extension and allow for more flexible payment terms. It’s not just about enforcing laws; it’s about ensuring the long-term stability and growth of the real estate sector, which is vital for the nation’s economy,” Opaluwah added.

The Special Assistant on Media to the FCT Minister, Lere Olayinka, highlighted growing public recognition of the government’s ability to fulfill its promises.

 

“People are starting to see that when the government says it will do something, it can actually do it. Before, the general mindset was that the government often doesn’t follow through on its promises, and that once a new administration comes in, things would revert to the old ways. But now, people are noticing that when this government makes a commitment, it delivers almost immediately,” he said.

Olayinka emphasised that this shift in perception reflects the government’s consistent follow-through on its policies and actions.

“It’s clear that the people are now beginning to trust the government’s ability to implement its plans. This is a significant change in how they view governmental actions,” he said.

Additionally, Olayinka pointed out the leadership style of the minister, noting his impartial approach to governance.

“People are also recognising that the minister does not let personal feelings, whether towards friends, allies, or even political opponents, interfere with his decisions. His focus is solely on ensuring that everyone adheres to the rules,” he added.

According to the minister’s aide, this strict adherence to rules is a cornerstone of the Wike’s leadership.

“What matters most is that we all follow the rules, regardless of political affiliation. That’s the key to effective governance.”

Lawmaker pleads for time

Meanwhile, a member of the House of Representatives, Mr Oluwole Oke, has called on Wike to grant time extension to allottees of the 568 plots of land revoked by the FCTA to settle their Certificate of Occupancy.

Oke, who chairs the House of Representatives Committee on Foreign Affairs, made the plea in an interview with Sunday PUNCH in Abuja.

Oke, who represents Oriade/Obokun Federal Constituency, Osun State, urged the minister to extend time of payment for the C-of-O, noting that there was nothing on the ground in terms of amenities where the plots were located.

He said, “It’s an appeal to the honourable minister to please give us an extension of time because there is no infrastructure in these areas. That was why most people didn’t pay and most of these allocations were done in appreciation of service rendered to the nation.

“So, it’s an appeal we need to make to the minister because the law allows him to do what he did.”

[Punch]

Says private sector shrinking
•Lists massive running costs, deficit financing, loans, wobbling Naira as high hurdles
•‘You cannot tax a dead company’

•Narrates how Nigeria lost top GDP ranking in 10 years to adverse domestic policies

 

 

In its New Year message, the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) said the 2024 economic performance was unsatisfactory for the private sector, calling for economic reforms to address imbalances threatening the private sector in the country.

The body explained that all data, metrics and statistics had confirmed that the private sector bore fully the negative burdens of the nation’s current economic reforms, facing very harsh conditions including high inflation, increased borrowing costs, and currency devaluation.

It emphasized the urgent need for reforms to avert further economic strain on the private sector as the New Year begins, noting that Nigeria is a country with huge potential, innovative private sector minds, capital and opportunities, and deserves a listening economic team and team players who must recognize the private sector as stakeholders. ”We should agree that the 2024 economic performance was unsatisfactory for the private sector. All data, metrics and consequent statistics confirm that the Nigerian private sector has borne fully, the negative burdens of the current economic reforms”, NACCIMA stated.

”While in contrast, the public sector continues to thrive and expand, all economic benefits of the recent economic reforms have been translated to the public sector through high capital transfers and revenues. “The private sector faced higher inflation, higher cost of borrowing/repayment for existing loans, the 2.4 billion USD CBN unpaid forwards, currency devaluation and higher costs in all sectors of the economy.

”This continued imbalance caused by increased public sector expenditure has destroyed value in the private sector due to excessive fiscal deficits which are financed through government borrowing at very high unsustainable interest rates. We are therefore making recommendations and suggestions that may be considered in the short to medium term.

”Fiscal deficits arise when public sector expenditure exceeds public sector income. The funding of these fiscal deficits through borrowing results in high interest rates and high inflation. ”The solution to high interest rates and high inflation is for the public sector to spend less and to start becoming an efficient productive unit.

”We also need to debunk the myth of the government earning more revenue under the pretext of improved productivity. For the avoidance of doubt, payment of customs duties and taxation are not due to improved government productivity. ”These revenues are purely private sector revenues which constitute a transfer of wealth and capital from the productive private sector to an ever expanding unproductive public sector.

The public sector does not own factories nor does it produce any goods and services sold to the customers. Rather it extracts value from the citizens through regulatory fiat. Awarding contracts is not the same as enhancing production.

“For 2025, the expenditure framework is skewed towards huge capital transfers to certain sectors which will not add value to the national wealth. The payment of high interest rates to local and overseas creditors regardless of asset class is close to financial “hara-kiri”. Financial assets (loans) should be created and counterbalanced by equivalent investment in productive assets which are expected to repay the loans.

”If these assets are offloaded to the capital markets, it will be possible to transfer many unproductive public sector loans off balance sheet thereby unburdening the government from excessive borrowing. Please note we do not advocate transferring public monopoly to private monopoly or creation of private uncompetitive markets.

”Government should learn from past experience and avoid engaging in new ventures that will create further bad loans, liquidity, lower interest rates and regulation of public sector borrowing by the Central Bank.

”Aggressive repayment of domestic loans using the excess revenues will result in lower interest rate payments which will lead to more cash flow for FAAC and lower borrowing requirements. Early repayment or transfer of government loan assets will improve Liquidity and result in cheaper single digit loans to the Private Sector. ”Generally, public sector loans must be secured with real assets or must be within the tenure of the government. Longer term loans must be investments in real assets and not on the government balance sheet. This shift would promote private sector growth and ensure that capital is allocated efficiently. ”The successful Eurobond offer was received with mixed feelings.

“We congratulate the financial team on a successful outing. However, the nature of over subscription confirms the coupon offered was beyond market offers. “Perhaps we need to consider a hybrid offer which allows a Dutch auction that mops up the best offers at each coupon level. The successful bidders made instant profits overnight on the offer”. It added that government should be looking to reduce financing cost on an aggressive basis where possible”.

While the improved liquidity gives the government access to international financial markets, NACCIMA stressed that they do not guarantee long-term economic stability.

“Relying heavily on foreign borrowing may expose the country to external shocks and currency fluctuations”, the body added. On foreign reserves, support for local industries and the private sector, NACCIMA advised, “Introduction of public sector expenditure guidance at all government levels for purchase of locally produced goods and services will reduce pressure on foreign exchange demand by government agencies and their contractors.

“Investment in public infrastructure should result in utilisation of more locally sourced inputs, higher investment on local infrastructure and improving local productive capacity. Areas like transportation, power, and technology are key for both manufacturing and services.

”Nigeria needs a coordinated approach to delivering the latest technologies and digital infrastructure to facilitate delivery of social services, public health, educational and digital infrastructure.

“Government should introduce reforms and policies to facilitate, attract and retain private sector investment in digital education and modern skills acquisition, technical skills education for our teaming youth.

“Many employers are unable to find adequate skilled workers in many industries. ”The Industrial Park and Skills centre at the Abuja Free Trade Zone at Idu, FCT and many more around the country should be encouraged and supported by all tiers of government in Nigeria and the Organised Private Sector in Nigeria to produce a different positive outcome for Nigeria.

”By public sector philosophy, all government expenditure is necessary. The government should undertake a rigorous review of its current size and expenditure to identify and eliminate wasteful spending. Efficient allocation of existing resources can help reduce excessive borrowing.

”Other countries like Argentina have made political choices to eliminate recurrent budget deficits. The Nigerian budget for elected and unelected politicians can be adjusted. The size and number of government funded agencies can be reduced and taxes should be further reduced which will attract greater private sector investment. ”The government should create an environment where the private sector can take the lead in economic ventures.

“This includes deregulation in most areas, reducing bureaucratic red tape, and enhancing ease of doing business in Nigeria. (Regulatory Agencies like Standards Organisation, NAFDAC etc can be reformed to adopt internationally acceptable standards for Nigeria.)” In this interview first aired on Arise News, NACCIMA President, Mr. Dele Oye, elaborates on the New Year message and stressed the urgent need for the Tinubu government to engage the private sector in the implementation of its reform agenda as, according to him, the private sector has the formula to make Nigeria’s economy the best in Africa again as it did in 2014. Excerpts:

What is your view on the NACCIMA perspective that corporate taxes should be reduced?

The issue is not that we have a bad bill; what is important is that we normally have inflation when government has spent its revenue, and the tendency is for the government to try to borrow or to increase taxes to fill that gap. If you do that, you only make Nigeria poorer. If you look at our current GDP, in 2014, we were at 568, and we are going down every year. So you cannot use the same treatment for a sickness that had never worked before. Look at the real terms of the 2024 Budget, we are declining. Look at this year’s budget, it is far lower.

Also look at our standing in the African GDP; we are at about No. 5 going to 6. All these are due to the domestic policies that had been laid. So what we are saying is that the private sector is shrinking, while the public sector is expanding. So, government must listen more to the business because it is the business that would generate the income that would be used to pay back these loans. The loans are not sustainable, but if we start cutting down costs on the government side, it will be quite difficult to grow from them. So the government must listen more to the private sector.

We are not unaware of the effort the government has made in giving us two Ministers recently in the Ministry of Industry, Trade, and Investment. We are grateful, and we are fully engaging with them. But what is important is that the government must also get its other MDAs, like the Central Bank and Ministry of Finance, to key in and work with the private sector because we are the ones to pay the loans back from our production. The government does not produce any goods or services. Awarding contracts is not an economic activity. What pays this bill is the effort of the private sector. Look at the current budget and show me anything that is different from 2024. The people telling the President that he’s doing very well should show us.

All the indices show there’s a decline. So it is not to tax us more or to reduce tax; in fact, to increase our competitiveness, you must find a way to reduce tax. Anytime we are making laws in Nigeria, look at what our neighbours are offering. We have to be competitive, as we cannot tax ourselves out of this problem; we have to increase the capacity of the private sector. We are not asking for handouts or money from the government. We have a formula that would bring down the interest rate so that people can borrow at a sustainable level. The President himself gave us an 8-point agenda that he would give us single-digit loans.

What are some of the major things NACIMA is looking out for as major reforms?

We highlighted 12 recommendations in our New Year message. In addition, the government must take the issue of the Naira (very seriously). It is the biggest driver of inflation. Nobody will invest in a climate where its currency melts every day. Throughout 2024, we kept shouting; we engaged privately before we went to the public space. The government needs to find a way to cut down its running costs, reduce deficit financing, and pay back the loans they owe. They should stop borrowing. The President should not allow himself to be deceived again.

But if we start the way the budget is structured, we are going to end up smaller next year. So it is better if we work together. Nigeria has one of the best private entrepreneurs that have the capacity to turn around the economy. If the government is truly willing to drive this economy, he must use the capacity of the private sector. If you look at some of the areas where things are working, the government is not yet there. Look at the creative industry; look at the small POS business too. But when the government entered, you can see what has happened.

How can the private sector organise itself for the new reality?

Well, we are not advocating for a reversal of the government reforms. All we are saying is that the way they are currently implemented would not lead us anywhere. This government has been here for almost two years. If it was working, we were not supposed to inherit these reforms. It is supposed to happen during the life span of the four years of this government.

If it is not working, the economy is shrinking; it is time for the government to change the procedure instead of trying to use the imperial way that most of the agencies have used when dealing with us. The government must listen to us and use our ideas for policies.

The reason why the Naira is falling is because the government is running a deficit budget. With a 13 trillion deficit, what do you expect? If you cut the government expenses down, the Naira will start appreciating. Until the government cuts its expenses, we are going to continue to borrow in an unsustainable way.

The government must work with us. In 2014 we became the best in Africa. Those sectors that brought about the rebase in our economy are all suffering today. MTN has lost over N100 billion in currency depreciation, and you and I know it’s an industry that requires continued investment for them to continue to be competitive because of the technology involved. We must find a way to give them their sense of security back by building an environment where they can work and make more money.

You cannot tax a dead company. You must find a way to listen to us. The problem is at home. It is not about traveling abroad, seeking foreign direct investment. They should tell us how much has come in those several trips. It is not the business of the government to be in business. Government should be a facilitator.

Are you accusing the government of hypocrisy, or does the partnership they talked about not exist?
I started first by thanking Mr. President because there’s a tendency to change strategy because for the first time we have two Ministers. We had a four-hour strategy meeting with the Minister of Trade and Investment. There’s likely to be a change. If the government does not domicile it in the private sector, cut its excesses, we are going to have the same result. Anybody telling the President we are moving up is lying to the President. We need better engagement.

The fight between CBN and Bureau de Change must stop because we are the losers. We must find a way to use everyone’s talent and make Nigeria work. I want us to go back to 2014 when we were the best in Africa; this is all I am asking for. We are ready. We have the formula to work with the government on some of these things. If the government succeeds, we make money.

If the government fails, our members lose. So it is in my interest for the government to succeed. So let’s move this issue from the blackboard to a drawing board where all of us can contribute.

[Vanguard]

 

 

Taiwo Oyedele, chairman of the presidential committee on tax policy and fiscal reforms, says the tax reform bills will be passed into law in the first quarter (Q1) of 2025.

Oyedele spoke on Saturday at The Platform, an event organised by The Covenant Nation to facilitate national development.

According to Oyedele, the implementation of the tax reform bills will commence in July.

“I need to talk about the tax reforms. Part of the expectation is we expect the tax reforms to be approved, particularly the tax reform bills in 2025,” Oyedele said.

 

“Our expectation is before the end of Q1 and therefore we can give notice to taxpayers to prepare themselves with capacity and begin to implement around 1st of July.”

On October 13, 2024, President Bola Tinubu asked the national assembly to consider and pass four tax reform bills.

The proposed legislations are the Nigeria tax bill, tax administration bill, and joint revenue board establishment bill.

 

Tinubu is also seeking to repeal the law establishing the Federal Inland Revenue Service (FIRS) and replace it with the Nigeria Revenue Service.

The tax bills have received the backing of the Nigerian Governor’s Forum (NGF).

NGF also proposed a new “equitable” sharing formula for VAT.

The development was an outcome of a meeting between the NGF and the presidential tax reform committee, convened on January 16, to deliberate on critical national issues, including the reform of Nigeria’s fiscal policies and tax system.

[TheCable]

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