Category Archives: BUSINESS

FG will reduce borrowing cost – DMO

The Federal Government will implement prudent fiscal and debt management in the coming years to reduce the nation’s debt cost, the Debt Management Office (DMO) has said.

Ms Patience Oniha, the DMO Director-General, made this assertion on Thursday in Lagos.

Oniha spoke at the listing of the FGN 30 year 1.5 billion dollars Euro Bond and FGN 10 year 1.5 billion dollars Euro Bond on the Nigerian Stock Exchange (NSE).

Other bond listed was FGN 5 Year 300 million dollars Diaspora Bond.

Oniha said that government would rebalance its debt and international debt portfolio to 60:40 split in the coming years.

She said that government was listing some of the securities issued in the international capital market in 2017 on the NSE because of the role of Nigerian capital market in economic development.

“We have already listed N1.5 billion early in the year, and we are coming toward the end of the year to list 3.3 billion dollars Euro Bond.

Oniha said that government had assessed the international capital markets four times in 2017 and achieved overwhelming success amidst uncertainty about the perception of Nigeria.

She said that funding of the budget deficit and refinancing the government’s inherited debt portfolio had been the key drivers behind the capital raising plans.

According to her, the borrowing will lead to significant benefits, particularly a reduction in cost of funds.

She said that the Diaspora bond provided an opportunity for Nigerians in Diaspora to contribute to the country’s development.

She also said that the Diaspora bond had boosted the country’s profile with Nigeria’s first SEC-Registered debt instrument.

Oniha said that funds raised would be applied toward development and to support government drive toward economic diversification from oil revenue and to sustain momentum in tapping the international markets following prior issuances.

The director-general said that DMO would continue with innovative and diverse fund raising plans to ensure the optimal funding structure.

Earlier, Mr Oscar Onyema, the NSE Chief Executive Officer, said that the Federal Government was the largest issuer of bonds on the exchange,

Onyema said that the exchange had collaborated with DMO and the federal government to introduce other types of bonds in the market.

He assured the investing publics that the exchange would introduce other types of products that would give them good asset class to boost product diversification.



FG recruits 2190 tax officers, says Adeosun

The Federal Government has recruited and trained 2,190 Community Tax Liaison Officers (CTLOs) under the Voluntary Assets and Income Declaration Scheme (VAIDS), says the Minister of Finance, Mrs Kemi Adeosun.

Adeosun, in a statement by her Special Adviser, Media and Communications, Mr Oluyinka Akintunde, said that 1,710 CTLOs had already been deployed to 33 states, out of the number recruited and trained.




NNPC to select core investor for Benue bio-fuel project — Baru

The Nigerian National Petroleum Corporation (NNPC) says it has almost concluded discussion on the choice of a core investor for the proposed bio-fuel plant in Benue.

The Group Managing Director of the corporation, Dr Maikanti Baru, said this in a statement issued by Mr Ndu Ughamadu, NNPC Group General Manager Public Affairs Division in Abuja on Sunday.


Computer villages groan as online shops snatch sales

Business at major computer villages is no longer boisterous as increase in online trade is taking the large cut from N1.5 billion daily devices sale revenue from their grip.

Some officials of the market in Lagos who spoke with Daily Trust said though traders from different parts of the country and from parts of West Africa still visited and transacted business in the Otigba Computer Village in Lagos, the frequency had since reduced due to patronage of online shops.



Coca-Cola to invest $90m in Kenya

Soft drinks maker, Coca-Cola, says it plans to invest up to 90 million dollars in Kenya over three years through 2018 to increase its product range in the region.

In a statement on Tuesday in Nairobi, the company said the wider range of soft drinks in the country would begin in 2018 but did not give details of the range of products

Coca-Cola, which is the leader in the Kenyan soda market with brands like Coke and Fanta, said it had invested a total of 17 billion  dollars in Africa since 2014.

According to the company, the amount doubles what was invested in the continent a decade before.

The group, however, faces growing competition in Kenya from other soft drinks producers like SABmiller and PepsiCo.


$25b contracts: NNPC, Baru tackle Kachikwu

Is the controversy over the $25 billion contracts a storm in a tea cup? So believes the management of the Nigerian National Petroleum Corporation (NNPC).

A source has stated the details of the contracts, following allegations by Minister of State Dr Ibe Kachikwu, who said….. READ MORE AT:

Adeosun: 2017 budget to be rolled over into 2018

The Minister of Finance, Mrs. Kemi Adeosun, has revealed Federal Government’s plan to roll over at least 60 per cent of 2017 capital projects to 2018 budget proposal.

Adeosun made this known when she appeared before the Senate Joint Committees on Finance and Appropriations.

She was accompanied by the Minister for Budget and National Planning, Udoma Udoma, to give explanation on releases so far made for the implementation of the 2017 budget.

The minister noted that there was no stoppage in terms of capital releases and projects.

She explained that the decision to roll over 2017 budget to 2018 was based on the advice of the Senate Committee on Appropriations and Finance to the executive on how to make the budget more implementable.

Adeosun said, “we had a rollover from the 2016 to the 2017 budget. There was no stoppage in terms of capital spent as projects simply continued.

“The way in which we allocated the fund, the priotisation was according to the objectives of the economy and growth plan.

“We were focused on project completion. So we priotised projects that were nearer to completion that were critical in the first releases of capital.

“We need more of your support. We have a number of resolutions that we need to complete international borrowings.”

On his part, Minister of Budget and National Planning, Sen. Udoma Udoma, said the Federal Government has been working and trying to get the 2018 budget to the Senate before the end of October.

“We intend to have discussions with you so that we can finalise that and take it to the Federal Executive Council so that we restore ourselves to the January to December fiscal year.

“This is to make it much easier to report on the performance of budgets,” he said.

Udoma also debunked the rumour that they had not released much funds in terms of capital budget since January.

“That is not the case. Between January and June we still have 2016 Budget in operation and we allowed it to flow unhindered.

He said in implementing the 2017 budget, it would be helpful if there was clarity in terms of the virement because that would help in terms of implementing the 2017 budget.

Earlier, Chairman of the joint committee, Sen. Danjuma Goje, said the two ministers were at the National Assembly to brief the committees as well as Nigerians on the implementation of the 2017 budget.

“It is very important bearing in mind that the budget was passed by the National Assembly in May and signed into law by the then Acting President Yemi Osinbajo on 6th June 2017.

“We are now four months into the implementaion of the budget. Nigerians need to know how far we have gone and what we are going to achieve, the successes.

“We have heard from the Minister of Budget and National Planing that they intend to submit the 2018 budget this month.

“By implication, if they bring it this month, they will expect the budget to be approved before the end of the year,” he said.