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  • Agriculture grappling with challenges despite government’s commitment

    Agriculture grappling with challenges despite government’s commitment

    For millions of Nigerians, farming has long been a struggle for survival rather than a path to prosperity. But President Bola Tinubu is changing that narrative—placing agriculture at the heart of his agenda to empower citizens, create jobs and secure the nation’s future. From youth-focused interventions to private sector partnerships, his market-driven approach signals a new dawn—one where agriculture becomes a powerful engine driving both domestic food security and export opportunities, reports DANIEL ESSIET

    President Bola Ahmed Tinubu has reiterated his administration’s commitment to transforming agriculture into a powerful engine for economic growth and national development. Speaking through the Minister of State for Agriculture and Food Security, Senator Aliyu Sabi Abdullahi, at the 6th Africa-Wide Agricultural Extension Week (AAEW) in Abuja in 2023, the President emphasised the central role of agriculture in tackling unemployment, hunger and poverty.

    At the heart of this drive is Tinubu’s bold 8-point agenda, which places food security as a top priority—alongside poverty eradication, job creation, and economic revitalisation. According to him, Nigeria must shift from subsistence farming to a modern, market-oriented agricultural system. To make this vision a reality, the federal government launched the National Agriculture Growth Scheme-Agro-Pocket, a strategic initiative aimed at equipping millions of farmers with the knowledge and resources they need to thrive. The scheme offers training in Good Agricultural Practices (GAP) and provides access to certified seeds, fertilizers (both organic and inorganic), and irrigation equipment—all at subsidised rates. The overarching goal is to boost productivity and improve farmers’ incomes.

    Understanding that extension services are key to agricultural advancement, the government also introduced two landmark tools: the Harmonised Extension Manual and the National Agricultural Extension Policy. While the manual serves as a unified guide for disseminating agricultural innovations, the policy sets the stage for a responsive, ICT-driven, and inclusive extension system—one that actively engages youth, women, and people with special needs. President Tinubu reaffirmed his dedication to achieving food self-sufficiency and rural development, aligning the administration’s efforts with global benchmarks such as the Sustainable Development Goals (SDGs). “Our resolve is to develop the agricultural sector towards achieving the objectives of the Sustainable Development Goals, especially zero hunger, and to enhance agriculture and rural productivity,” he said.

    Despite bold policy declarations and emergency interventions, Nigeria’s journey toward agricultural prosperity remains fraught with obstacles. In July 2023, the federal government declared a state of emergency on food security, acknowledging the urgent need to stem rising food prices and worsening shortages. However, food inflation has continued its relentless climb—rising from 24.61% in April 2023 to a staggering 37.77% by September of the same year. The numbers reflect a grim reality: the interventions, while significant, are yet to yield tangible relief for ordinary Nigerians.

    Following the emergency declaration, the National Security Council was directed to oversee efforts to ensure the availability and affordability of food and water. The government also proposed redirecting savings from fuel subsidy removal toward revitalising the agricultural sector, although concrete disbursement mechanisms remain vague. Immediate response measures included the release of 200,000 metric tonnes of grains from strategic reserves and the distribution of 225,000 metric tonnes of fertilizer, improved seedlings and other inputs. Financial commitments were made, including N50 billion each for cultivating 150,000 hectares of rice and maize, and 100,000 hectares of wheat and cassava. Additionally, the Central Bank of Nigeria (CBN) provided 2.15 million bags of fertilizer valued at N100 billion, while 4,200 metric tonnes of grains were released in February 2024.

    Beyond emergency relief, the government has unveiled a series of ambitious, long-term initiatives. The Dry Season Farming Initiative, supported by the African Development Bank (AfDB), aims to bring 500,000 hectares under cultivation, leveraging irrigation and storage to promote all-year-round farming. Mechanisation is also a priority: a strategic agreement with John Deere will deliver 2,000 tractors annually over the next five years. Moreover, Nigeria has secured a $1 billion partnership with Brazil to acquire modern agricultural machinery, equipment, and technical training. A Japanese development agency is also expected to contribute N141 billion for agricultural projects, signalling growing international support for Nigeria’s agricultural transformation.

    Agricultural growth gains momentum, but deep-rooted challenges persist

    Minister of Budget and Economic Planning, Senator Abubakar Bagudu, has spotlighted recent growth in Nigeria’s agricultural sector, reporting a 1.76% increase in the fourth quarter of 2024. Speaking at an event hosted by the University of Ibadan last year, Bagudu attributed this growth to a combination of increased budgetary allocations, improved access to finance, technological innovations, mechanisation, climate resilience, and strategic public-private partnerships. He noted that federal budgetary support for agriculture has grown substantially—from N228.4 billion in 2023 to N826.5 billion in the 2025 budget. He also highlighted other pivotal interventions, including the N100 billion National Agricultural Development Fund and the Central Bank of Nigeria’s fertiliser donation, both of which have supported productivity and input accessibility.

    “Let me emphasise that the agricultural milestones of the last 23 months of the Tinubu administration are far from where we want to be. However, they reflect our firm commitment to transforming the sector. The recent creation of a dedicated Ministry of Livestock Development is a testament to our forward-looking approach. It will be a game-changer in diversifying the economy and expanding the sector’s frontiers,” Bagudu said.

    The minister also stressed the role of state-level technical committees in driving policy implementation, promoting public-private partnerships, and mobilising resources. He pointed to active collaborations with agribusinesses and international organisations such as the Food and Agriculture Organisation (FAO) and the World Food Programme (WFP) as central to achieving national food security and positioning Nigeria as a competitive global agricultural player. Yet, beneath the momentum, significant hurdles remain. Inadequate public investment, a rising food import bill, and a persistent underfunding of agricultural infrastructure, research and development, and extension services continue to slow progress. Nigerian farmers still contend with low yields, outdated farming methods, post-harvest losses, and limited access to credit and modern inputs.

    Nonetheless, there are green shoots of progress. The adoption of improved seed varieties, better agronomic practices, and the gradual spread of mechanised farming are starting to boost productivity in select states and for key crops. Simultaneously, efforts to strengthen value chains and connect farmers to markets, both locally and internationally, are beginning to deliver tangible benefits—signalling a slow but hopeful transformation in Nigeria’s agricultural landscape.

    The Federal Government’s renewed emphasis on commercialisation and export orientation signals a strategic shift in how agriculture is perceived—not merely as a means of survival, but as a viable business sector capable of driving economic growth. This reorientation holds the potential to generate significant foreign exchange, diversify the economy, and create sustainable employment opportunities for millions. However, realising these ambitions hinges on one critical factor: substantial and sustained public funding. While policy pronouncements and programmes offer hope, only consistent investment and delivery will turn these promises into measurable progress.

    This year, Nigeria took a bold step toward transforming its food and agriculture sector with the launch of the $510 million Special Agro-Industrial Processing Zones (SAPZ). Funded by the African Development Bank (AfDB) and development partners, this flagship initiative aims to industrialise agriculture by turning rural areas into hubs of agribusiness activity. The ground-breaking ceremony for the first of eight SAPZ projects was led by Vice President Kashim Shettima, AfDB President Dr. Akinwumi Adesina, and Governor Uba Sani in Kaduna State. The remaining states in Phase One include Cross River, Kano, Kwara, Imo, Ogun, Oyo, and the Federal Capital Territory, with preparations already underway for Phase Two, which will cover the remaining 28 states.

    Read Also: Minister urges Nigerian farmers to embrace tech-driven agriculture for food security

    The SAPZ initiative is designed to reduce Nigeria’s dependence on food imports, strengthen national food security, increase agricultural exports, and generate millions of jobs, particularly for youth. By building critical infrastructure—such as processing centres, roads, power, and irrigation—the zones are expected to link farmers to markets, boost value addition, and encourage private sector investment in agribusiness. Speaking at the launch, Vice President Shettima described the SAPZ programme as a national imperative under President Tinubu. He declared: “We are not merely breaking ground. We are building the infrastructure to feed our people, empower our youth, and fulfil the boundless promise of our nation. This is about the resilience of our farmers, the brilliance of our entrepreneurs, and our resolve to craft a future that thrives—guided by the African Development Bank’s leadership. Dr. Adesina has pursued this vision for fifteen years. Persistent dreams eventually become reality. He is one of Nigeria’s finest—brimming with transformative ideas—and he is someone I would gladly pay just to spend time with.”

    The AfDB’s commitment to this transformation extends across Africa. The Bank has pledged over $934 million to develop SAPZs and has mobilised an additional $938 million in co-financing from partners including the Islamic Development Bank (IsDB) and the International Fund for Agricultural Development (IFAD).

    For SAPZs to achieve their full potential across Nigeria, Adesina outlined five critical enablers. At the forefront is sustained political will and commitment at the highest levels of government. Complementing this are cross-ministerial collaboration, policy continuity, and the urgent need to codify the SAPZ programme into law. Adesina also advocated for the establishment of an independent SAPZ Authority, backed by an Act of Parliament, to institutionalise the initiative and ensure its long-term sustainability.

    Financially, the project is receiving a major boost. The AfDB is investing $200 million in Phase One, with the Islamic Development Bank (IDB) contributing $150 million, the International Fund for Agricultural Development (IFAD) providing $100 million, and the Green Climate Fund committing $60 million. These investments will catalyse infrastructure, agro-industrial hubs, and value-chain linkages needed to revitalise rural economies and improve food systems. Meanwhile, Nigeria’s push for food security and farmer empowerment gained further traction with a major breakthrough from the National Horticultural Research Institute (NIHORT). The institute recently unveiled four high-yielding, disease-resistant varieties of tomatoes and peppers, offering a potential game-changer for vegetable production in the country.

    Approved by the National Committee on Naming, Registration and Release of Crop Varieties, Livestock/Fisheries, the new cultivars include two tomato strains—HORTITOM4 and HORTITOM5—and two aromatic yellow pepper varieties—HORTIPEP1 and HORTIPEP2. Speaking on the development, NIHORT Executive Director, Prof. Mohammed Atanda, emphasised its transformative impact: “The introduction of these new seeds represents a significant step forward in our efforts to enhance food security for all Nigerians and improve the livelihoods of our dedicated farmers.” He noted that the achievement also aligns with efforts to reduce Nigeria’s dependency on imported vegetable seeds, thereby promoting greater agricultural self-reliance.

    The HORTITOM tomato varieties are adapted for multiple growing systems—open-field cultivation, screenhouses, and irrigated farms—and are highly tolerant to bacterial wilt, a widespread issue among tomato growers. With a relatively short maturity cycle of 80 to 90 days, the varieties can yield an impressive 21.7 to 27.2 tonnes per hectare, surpassing many existing strains in productivity and nutritional value. Similarly, the HORTIPEP yellow pepper varieties, which are open-pollinated, display strong resistance to destructive diseases such as Cucumber Mosaic Virus and bacterial wilt. Maturing within 100 to 125 days, they can deliver yields ranging from 18.6 to 20.11 tonnes per hectare, offering a substantial improvement in output for pepper farmers.

    The recent release of four high-yielding, disease-resistant vegetable varieties by NIHORT is poised to deliver lasting impact across Nigeria’s agricultural landscape. Coming on the heels of severe price volatility in tomato and pepper markets between 2023 and 2024—driven by poor yields and erratic supply—the new cultivars are expected to play a pivotal role in stabilising prices and ensuring consistent year-round availability. The newly developed HORTITOM4 and HORTITOM5 tomato strains, alongside the aromatic yellow pepper varieties HORTIPEP1 and HORTIPEP2, were carefully bred for resilience, early maturity, and impressive yields. Their introduction offers farmers not only a path to increased productivity but also the promise of market stability—mitigating the seasonal gluts and shortages that frequently disrupt household budgets and business operations alike.

    According to Prof Atanda, these innovations are about more than just improved seeds—they represent a strategic move toward national food security and economic empowerment: “We anticipate that these enhanced varieties will help stabilise prices and stimulate local processing industries, which can create thousands of jobs along the agricultural value chain—from cultivation to packaging and distribution.” To ensure widespread adoption, NIHORT is collaborating with reputable seed companies under the oversight of the Federal Ministry of Agriculture and Rural Development. This public-private synergy aims to ensure the broad and timely distribution of the improved seed varieties, especially to smallholder farmers who need them the most. Indeed, the rollout of these seeds signifies more than a scientific milestone—it marks a renewed commitment to self-reliance, farmer empowerment, and long-term resilience in Nigeria’s food system.

    Livestock sector reform awakening a sleeping giant

    As Nigeria makes strides in crop agriculture, the government is also turning its attention to one of its most underleveraged assets—the livestock sector. Long hampered by climate change, disease outbreaks, inefficient production practices, and underinvestment, the sector is now the target of sweeping reforms aimed at modernisation and expansion. With a current estimated value of N30 trillion, the livestock industry contributes approximately 9 percent to Nigeria’s GDP—about $32 billion as of 2023. While this represents a modest year-on-year growth of 2.3 percent in Q2 2023, analysts believe the sector is punching far below its weight.

    Recognising its untapped potential, the Federal Government has set an ambitious goal: to transform the industry into a $74 billion powerhouse by 2035 through targeted reforms that include: Expanding the national herd, investing in modern infrastructure and processing facilities, upgrading animal healthcare systems, and promoting climate-smart livestock production.  This transformation is not just economic—it is existential. Over 19.3 million Nigerian households, especially in rural areas, depend on livestock for their livelihoods. For many of the one million rural families, livestock contributes 35–40 percent of household income, often making the difference between poverty and survival.

    Despite the impressive headcount—258.5 million chickens, 88.2 million goats, 49.1 million sheep, 20.9 million cattle, and 9.2 million pigs (Statista, 2022)—Nigeria continues to import significant quantities of livestock products, especially milk and beef. According to the Food and Agriculture Organisation (FAO), the country spends an estimated $1.5 billion annually on milk imports alone, with meat imports also placing strain on foreign exchange reserves. This heavy import dependence underscores a critical production gap—a paradox in a nation with abundant livestock yet insufficient capacity to meet domestic demand.

    The ongoing reforms, including the creation of a separate Federal Ministry for Livestock Development, are aimed at closing this gap. With the right investments, policies, and partnerships, Nigeria is positioning itself to become a net exporter of animal products, enhance food self-sufficiency, and generate millions of jobs for its burgeoning youth population. Together, the strides in horticulture and the overhaul of the livestock sector suggest that Nigerian agriculture is entering a decisive phase of innovation and ambition—where science, policy and economic pragmatism intersect to build a future of shared prosperity.

    The majority of livestock farming in Nigeria, particularly cattle herding, remains small-scale and rooted in traditional, often nomadic or semi-nomadic systems. While these practices are culturally significant, they often lack the scale, scientific breeding techniques, and controlled feeding regimes required for high productivity seen in more developed livestock economies. For example, the average milk yield per indigenous cow remains stubbornly low—often less than 2 liters per day—compared to global averages exceeding 10-15 liters in intensive farming systems.

    Considering these challenges, a growing number of experts are advocating for targeted interventions and systemic reforms. Agribusiness consultant Ezekiel Bulus emphasized the urgent need to address grazing management, warning that uncontrolled grazing leads to overgrazing and the depletion of pastures, a practice that severely impacts animal health and feed availability. He proposes a multi-pronged solution, starting with the development of well-managed grazing reserves and a more controlled grazing system. “Through pasture improvement techniques such as reseeding with high-quality grasses and legumes, we can transform Nigeria’s grazing reserves into sustainable, productive areas,” Bulus explained.

    Access to veterinary care is another critical area of focus. Bulus advocates for mobile veterinary units equipped with diagnostic tools and vaccines that can reach rural farmers directly. These units would enable regular health checks, early disease detection, and timely treatment. He also calls for increased efforts in fodder production and conservation, particularly for silage and hay during the dry season, as well as the implementation of small-scale irrigation and water harvesting technologies.

    Seye Oyeleye, Director-General of DAWN Commission, sees immense growth potential in the sector, contingent on modernization. “Unlocking this potential will require a combination of strategic investments, technological integration, and innovative financial support,” he noted. Oyeleye stressed the importance of adding value at various stages of the supply chain, such as modernizing slaughterhouses and establishing milk collection centers with cooling facilities. These improvements would not only raise the quality of livestock products but also open up new domestic and export markets, especially in the Southwest region.

    Experts agree that isolated interventions are insufficient; a holistic approach is needed. This includes integrating improved genetics, better feed and nutrition, robust animal health systems, supportive infrastructure, farmer education, access to finance, and coherent government policy to achieve sustainable transformation. The most significant development to date has been the Federal Government’s renewed commitment to revitalizing the sector, demonstrated by the establishment of the Federal Ministry of Livestock Development, led by Minister Alhaji Idi Mukhtar. This marks a departure from past neglect. “For the first time in our nation’s history, there has been a concerted effort at the federal level to focus on the livestock sector,” Mukhtar said in a recent interview. “This focus has not been seen since our independence, despite the sector’s consistent contribution to economic development.”

    The government’s vision is ambitious: to transform Nigeria into a global leader in the livestock industry, targeting a market value of $74 billion by 2035. This strategy rests on two main pillars: significantly increasing the national herd size, which currently includes an estimated 400 million animals across all major species, and dramatically improving productivity per animal. To achieve this, the Federal Government is committed to enhancing access to quality feed, with a projected $23 billion investment in the feed sub-sector alone by 2035. Additionally, plans to improve access to clean water sources and scale up vaccination coverage and veterinary services are core components of the government’s strategy to ensure the sector’s long-term sustainability and growth.

    Experts predict that proposed interventions in Nigeria’s livestock sector could significantly boost yields, potentially doubling or tripling milk output per cow and reducing the time to market for beef cattle and small ruminants. The government plans to introduce breeding programs, including cross-breeding with exotic breeds like Holstein-Friesian for dairy and Brahman for beef, to overcome the limitations of indigenous breeds for commercial-scale production. These initiatives will also provide capacity-building for breeders and financial support for farmers adopting improved genetics.

    Aiming to position Nigeria as a competitive player in the regional and global red meat market, the government is focused on meeting the growing domestic demand driven by a population projected to exceed 300 million by 2035 and an expanding middle class with evolving dietary preferences. The Minister of Livestock Development has outlined a plan to establish a knowledge-sharing framework for farmers, promoting modern livestock management practices through extension services and research partnerships. Key to the strategy is revitalising national assets like the Obudu Cattle Ranch in Cross River State. The Minister pledged to restore the ranch as a hub for livestock breeding, dairy production, and potentially tourism, despite the challenges it has faced since its establishment in the 1950s.

    Lagos State to the rescue

    At the state level, Lagos is driving transformation through private sector involvement. Commissioner Ruth Abisola Olusanya emphasised the need for collaboration between industry and government to modernise breeding methods. Under Governor Babajide Sanwo-Olu’s leadership, Lagos has invested in human capital, training over 100,500 farmers. The state is also expanding food access through agro-produce hubs, cattle ranches, and infrastructural developments, including a farmer subsidy program and the Lagos Agripreneurship Programme, which engages thousands of youths in modern agricultural practices.

    To address the challenges posed by a rapidly growing urban population, Lagos State is working to expand market access through several initiatives. The transformation of agro-produce hubs and the establishment of Fresh Food Hubs, such as the 25% food subsidy program in Mushin, aim to make food more affordable and accessible. Additionally, the Red Meat Last Mile shops, equipped with modern facilities and operated by trained youths, are improving meat hygiene, creating jobs, and ensuring wider access to quality red meat.

    The state is also engaging companies to attract investment into corporate farming models, including intensive production systems, feedlots, and large-scale poultry operations. Olusanya highlighted recent efforts, saying, “In the last couple of months, we’ve been going around different cluster formations, particularly for livestock, to understand the needs of our farmers… and where we can step in with interventions.”

    Lagos is committed to increasing its livestock self-sufficiency rate, particularly for red meat and dairy, areas where it currently faces significant gaps. Looking ahead, Nigeria stands on the brink of a transformative era for its livestock sector. With an ambitious target of generating $74 billion by 2035, the sector promises millions of new jobs, reduced import bills, improved food security, and enhanced nutrition through greater access to vital animal protein. A thriving livestock sector could also help mitigate resource-based conflicts that have long affected communities.

    However, achieving this vision requires careful implementation, sustained funding and strong political will. Cooperation between federal and state governments will be essential in aligning policies and fostering growth. Empowering smallholder farmers through infrastructure, technology, and private sector partnerships will be central to the success of the sector, offering hope for a prosperous, food-secure future.

  • How quarrying in FCT endangers lives

    How quarrying in FCT endangers lives

    With Abuja’s rapid urban expansion, the booming demand for granite, sand and gravel, vital materials, has turned the Federal Capital Territory into a magnet for quarry investors. NICHOLAS KALU and JULIANA AGBO write that while this industry flourishes, local communities are left to bear its brunt, with little oversight and fewer protections.

    As Nigeria’s capital city rapidly expands, so too does the demand for construction materials such as granite, sand and gravel.

    However, in the shadows of Abuja’s gleaming skyscrapers and sprawling estates, another story unfolds, one of communities choking on dust, homes shaken by daily explosions and lives imperiled by unchecked quarry operations.

    For residents of Mpape, Kubwa, Bwari and other satellite towns, the boom of dynamite and the haze of quarry dust are an unwelcome part of daily life.

    These suburbs of the Federal Capital Territory (FCT) have become a great concern in terms of environmental degradation and public health hazards. This is because of the unchecked activities of quarry operators in the area.

    Quarrying in Abuja has become a lucrative business, driven by the capital’s high-paced infrastructural development. The FCT is rich in granite and other solid minerals, making it a hotspot for investors in the quarry business. Dozens of quarry sites, legal and illegal, dot the outskirts of the city.

    But, as these operations expand, so do their risks. Frequent blasting of rock formations creates tremors that damage nearby homes, while clouds of silica-rich dust pose long-term health hazards.

    The Nation learnt that before the last tremor that occurred from September 13 to 17 2024, Abuja has experienced earth tremors in the years 2018, 2020 and 2021. Notably, significant tremors occurred in the Mpape area from September 5 to 7, 2018 and in 2021.

    However, environmental activists and health experts warn that prolonged exposure can cause silicosis, chronic bronchitis and even lung cancer. Residents are raising the alarm over the devastating impact of incessant blasting, dust pollution, bad roads and structural damage to homes, which they say are making life unbearable.

    Health and environmental concerns

     One of the major issues plaguing Mpape, Kubwa and Bwari residents is air pollution. The constant explosions at nearby quarries release immense dust clouds that settle over homes, schools and businesses.

    Medical experts warn that prolonged exposure to this dust, which contains silica particles, can lead to respiratory diseases such as asthma, bronchitis and even lung cancer.

    A pulmonologist at a private hospital in Abuja, Dr. Obot Anthony stated that they see many cases of respiratory issues in communities close to these sites, especially among children and the elderly.

    According to him, many of the quarries do not adhere to safety or environmental regulations.

    Residents of the Arab Road axis of Kubwa, particularly areas such as Mango Tree, Catholic Church, NNPC and the entire stretch of the road, complained about the constant dust in the air as a result of the bad and dusty road caused by the quarry activities.

    A local business owner, Musa Ibrahim, said many of their children are developing breathing problems and no one seems to do anything about it.

    He said: “Every day, we wake up to layers of dust covering our furniture, floors and even food.”

    The explosions, which happen so close to residential houses, release smoke and toxic fumes into the air, further exacerbating respiratory issues. At Arab Road, Kubwa, by Catholic Annunciation Church, which serves as a major junction for the trucks conveying the material, activities are intensified; making it a nightmare for shop owners and residents.

    Most of them wish that the firms, at least, pay attention to the quality of the road since they are doing business on it.

    “This is to avoid our continuous breathe in of fumes and dust all day,” Ebuka, a shop owner at the junction, said.

    Another resident who is based at Mpape, Rose Agada, complained that the air quality has significantly worsened, making it difficult for residents to breathe, especially for those with pre-existing conditions.

    Beyond air pollution, structural damage to homes and businesses is another pressing concern. Quarry explosions, especially those caused by the use of dynamites, cause tremors that have resulted in cracked walls, weakened foundations and, in some cases, the partial collapse of buildings. Many residents fear that continued blasting could lead to more severe disasters.

    The impact of quarrying is not only airborne. Studies have shown that water bodies near quarry sites are often contaminated with heavy metals, affecting both human health and agricultural productivity.

    A resident of Bwari, Adam Bello said quarry activities have been affecting their borehole.

    “Water from our borehole used to be clear and clean, but now, it’s often muddy and has a strange taste. We suspect it’s from the quarry up the hill.

    “Soil erosion and deforestation further compound the problem. Vegetation stripped for access roads and blasting zones leaves the earth bare and prone to washouts, destroying farmland and increasing the risk of landslides,” he said.

    A landlord at Mpape, Aisha Sule, whose house has suffered extensive damage, said they have reported the issues to the authorities multiple times, but they are slow to respond.

    “We live in fear, unsure of when the next explosion will occur and probably cause greater harm.”

    Another major consequence of quarry activities is the destruction of roads in these suburbs. The heavy-duty trucks transporting quarry materials have degraded road conditions significantly; creating large potholes and making commuting more and more difficult. Residents complain that these bad roads have led to frequent vehicle breakdowns and accidents.

    “The roads in our community have been completely destroyed by these quarry trucks,” says Samuel Ade, a taxi driver in Kubwa.

    “We spend more money repairing our vehicles than earning a living. The government needs to fix these roads before more lives are lost,” he said.

    A resident of Olaofe Crescent of Arab Road decried the deteriorating state of the road due to the activities of the quarry and the heavy-duty trucks they operate.

    Read Also: FCT requests federal funds for development projects

    A resident of Olaofe Crescent, Arab Road, Chukwudi Obasi said: “The state of the road is becoming unbearable. These quarry trucks pass through daily, and the road has completely broken down in many spots. Potholes have turned into craters, and during the rainy season, it becomes a nightmare. Our vehicles are constantly damaged, and pedestrians, especially children and the elderly, are at risk. The government must take responsibility and either fix the road or stop these trucks from destroying our community. We also urge that something be done to fix the road in the short-term”

    Another problem associated with the quarry business is the incessant noise from quarry activities that has left residents frustrated. The loud explosions from dynamites disrupt sleep patterns and cause undue stress, particularly for children and elderly residents. Many complain of headaches, anxiety and general discomfort due to the relentless noise pollution.

    Despite the Federal Government’s guidelines on environmental impact assessments (EIAs), enforcement remains weak.

    On the weak regulatory enforcement, a senior level officer at the Ministry of Environment who didn’t want his name in print noted that many quarries operate with expired licenses or flout conditions designed to protect surrounding communities.

    According to the official, the Nigerian Mining and Geosciences Society has called for stricter monitoring and sanctions, but progress is slow.

    “The agencies that oversee these activities are underfunded and understaffed,” the official noted.

    Despite these mounting concerns, residents believe that regulatory agencies have failed in their responsibility to ensure that quarry operators adhere to environmental and safety standards.

    An environmental lawyer, Ikechukwu Michael, noted that there are existing laws meant to regulate mining activities and protect the well-being of communities, but enforcement has been weak as this has allowed quarry operators to carry on their businesses with little regard for public health and safety.

    Call for government intervention

    In the circumstances, residents have called on the government to take urgent action. They demand stricter enforcement of environmental laws, relocation of quarries far from residential areas and compensation for those whose properties have been damaged.

    Environmental activists have also urged the government to conduct thorough assessments of the health impacts of quarry operations in the affected areas of the FCT.

    “We need policies that will prioritise human lives over profits,” says environmental advocate, James Oke.

    “Quarry operations should not be allowed to destroy the environment and endanger communities,” he said.

    Recently, the House of Representatives launched an investigation into the excessive use of explosives by ZEBERCED Quarry, located along Arab Road in Kubwa, Abuja, following mounting complaints of environmental degradation, health hazards and infrastructure damage caused by its operations.

    The motion covered other areas where similar activities were going on in the FCT. The resolution followed a motion sponsored by Ismail Kayode Tijjani (Ifelodun/Offa/Oyun, Kwara State), who raised concerns over the quarry’s negative impact on local communities.

    He noted that the persistent detonation of explosives has led to serious noise pollution, causing auditory impairments, respiratory issues and psychological distress, particularly among children and the elderly.

    He also warned that the continuous ground vibrations from these explosions have significantly weakened buildings and infrastructure in the area, creating the risk of structural collapse and severe property damage.

    Beyond health and safety concerns, the lawmaker highlighted how heavy-duty trucks transporting materials from the quarry have worsened road conditions, leading to frequent vehicular accidents, economic losses, and mobility challenges for residents.

    He further argued that these activities violate key environmental and mining regulations, particularly the Nigerian Minerals and Mining Act (2007), which prohibits mining activities that endanger human life, property and the environment, as well as the Environmental Impact Assessment Act (1992), which mandates proper assessment and mitigation planning for industrial activities likely to affect public health.

    Despite these clear violations, Tijjani expressed alarm that no substantial regulatory action has been taken to protect affected residents.

    The House directed its Committee on Solid Minerals to assess the situation and, if necessary, recommend the immediate revocation of ZEBERCED Quarry’s operating license.

    The lawmakers also summoned the management of the quarry, along with officials from the Federal Ministry of Mines and Steel Development, for an investigative hearing to determine the extent of the damage caused by the company’s operations.

    To ensure regulatory compliance, the House mandated its Committee on Legislative Compliance to oversee the enforcement of necessary measures.

    Additionally, lawmakers ordered ZEBERCED Quarry to begin immediate rehabilitation of roads that have been degraded by its activities to restore safe mobility for residents.

    Emphasising the urgency of the matter, the House stressed that immediate intervention is crucial to prevent further environmental degradation, public health risks and potential loss of lives in the affected communities.

    Way forward

     If left unchecked, the continued operations of quarries in these suburbs could have long-term consequences for both the health and safety of residents.

    Without immediate government intervention, the quality of life in the area will continue to deteriorate, leaving many at risk of serious health complications and potential structural disasters.

    Grace Nwosu, a resident of Arab Road, Kubwa, said: “We’ve been crying out for years concerning the hazards that we experience as a result of the activities of the quarry businesses, but nothing has been done about it. Every time there’s blasting at the quarry, my windows rattle like there’s an earthquake.

    “My children can’t even sleep peacefully at night because of the noise and fear. The government needs to stop these quarry operations close to residential areas before we start counting casualties. Our health and peace of mind are at stake.”

    Mohammed Garba, a business owner in Mpape said: “As someone running a business here, I see the dust levels daily, it settles on my shelves, on the medicine packs. It’s dangerous for people’s health.

    “Customers complain about the air quality, especially those with asthma. The government must relocate these quarries farther and enforce environmental regulations. People shouldn’t have to choose between earning a living and breathing clean air.”

    A teacher and Bwari Resident, Mrs Benedicta Adamu, also said: “We are not against development or business, but not at the expense of human lives. Our schools are affected, and the children can’t concentrate when there’s a blast. The walls of some buildings around here crack. The authorities must listen and act now. If they don’t, we fear things could collapse, literally and figuratively.”

    The voices of Mpape, Kubwa and Bwari residents and other such areas in the FCT, must not go unheard and urgent measures must be taken to safeguard their well-being.

    While reacting to the development, the Department of Mineral Resources of the Federal Capital Territory (FCT) claimed that the Federal Government is in charge and should be approached for reaction.

  • A mixed bag of progress amid persistent threats

    A mixed bag of progress amid persistent threats

    Over the past two years, the Bola Tinubu administration has made notable strides in the nation’s battle against insurgency, reclaiming territory, neutralising terrorist leaders and rescuing thousands of hostages. Yet, the security terrain remains fraught with evolving threats—from ISWAP attacks in the Northeast to emerging terror cells in the Northwest. As the government touts key victories, the path to enduring peace demands deeper reforms, strategic coordination and trust-building across volatile regions, reports MUSA UMAR BOLOGI.

    President Bola Tinubu’s administration has grappled with persistent security challenges across Nigeria, recording varying degrees of success in different regions. While hurdles remain, notable progress has been made—particularly in the fight against Boko Haram. The Nigerian Armed Forces have reclaimed most territories once held by the insurgent group, marking a significant turnaround in the counterterrorism campaign.

    According to the Minister of Defence, Mohammed Badaru, more than 124,408 insurgents have surrendered to troops over the past two years. During the same period, 13,543 terrorists and bandits, including several high-ranking commanders, were neutralised by joint security forces. Many of the surrendered fighters have since been reintegrated into society through the government’s Operation Safe Corridor initiative. Among the prominent terrorist leaders eliminated are Abu Bilal Minuki, Haruna Isiya Boderi, Kachallah Alhaji Dayi, Kachallah Idi, Kachallah Kabiru, Kachallah Azailaru, and Alhaji Baldu. In total, over 17,469 suspected criminals were arrested within the two-year span, while 9,821 kidnap victims, including women and children, were rescued nationwide.

    In 2024 alone, data from the Defence Headquarters (DHQ) reveal that troops under Operation HADIN KAI—a coordinated military effort targeting Boko Haram and other extremist groups in the North East—killed 3,151 terrorists, arrested 2,503 suspects, and rescued 1,605 kidnapped hostages. Furthermore, 16,171 Boko Haram/ISWAP fighters and their family members surrendered to authorities.

    The Director of Defence Media Operations, Maj.-Gen. Markus Kangye, revealed that Nigerian troops seized a substantial cache of arms and ammunition during recent operations targeting non-state actors. Specifically, 3,002 firearms and 71,532 rounds of ammunition were recovered during coordinated offensives in Sambisa Forest, the Timbuktu Triangle, and the Tunbums along the Lake Chad Basin. The military also neutralised several high-ranking terrorist leaders and field commanders, including Amir Garin Manzo, Hussaini Ardo, Abu Mohammed, Buba Kachalla Bukar, Abu Rijab, Ali Modu, Munzur Ya Audu, Abdullahi Maishayi, Abba Tukur, Abu Sule, Ari Gana, Mallam Mohamadu, Jibrila Ahmadu, and Saidu Hassan Yellow. These eliminations mark a significant blow to insurgent command structures in the region.

    However, despite these gains, the Islamic State West Africa Province (ISWAP)—a splinter faction of Boko Haram—remains a formidable threat. ISWAP has continued to launch deadly attacks on military installations across the Northeast, resulting in the loss of personnel, destruction of infrastructure, and the displacement of civilians. Two recent attacks underscore this threat. On January 4, six Nigerian soldiers were killed in an ISWAP ambush. The military, however, mounted a swift counterassault, killing 34 terrorists and recovering 23 AK-47 rifles along with other weapons. In another major attack on November 20, 2024, Boko Haram fighters launched a coordinated assault on a military base in Kareto, Mobbar Local Government Area of Borno State. Armed with improvised explosive devices (IEDs), the insurgents attacked from multiple directions, leading to heavy casualties, with reports indicating that at least a dozen soldiers lost their lives. The incident came on the heels of another deadly raid by Boko Haram that claimed the lives of several troops.

    Progress amid emerging threats in Northwest

    Towards the end of 2023, a new terrorist group known as Lakurawa emerged in the North West, capitalising on the region’s longstanding banditry crisis. The group engaged in kidnapping for ransom, cattle rustling, and attacks on rural communities, further deepening insecurity. However, security forces have recorded significant breakthroughs in combating banditry and curbing the group’s influence. In 2024 alone, the military killed over 2,900 terrorists and rescued more than 2,600 kidnapped victims, significantly reducing the scale and intensity of bandit attacks. The Lakurawa group is now reported to be gradually nearing extinction, thanks to sustained military pressure.

    This progress is evident in the reopening of previously impassable roads, which were once hotspots for ambushes and abductions. According to Defence Minister Mohammed Badaru, commuters can now travel freely along routes such as Abuja to Kaduna, Birnin Gwari to Kaduna, and Abuja to Lokoja, which were considered high-risk just two years ago. In the Southeast, while there has been a notable decline in violent activities linked to “unknown gunmen,” sporadic attacks continue to threaten peace and stability in the region. These armed elements, often associated with the outlawed Indigenous People of Biafra (IPOB), have targeted security personnel, government institutions, and civilians.

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    Despite the deployment of joint military task forces, the persistence of these attacks has prompted the military to complement force with non-kinetic interventions—a strategy known as military diplomacy. This approach, now being implemented across various operational theaters—including Hadin Kai, Fansan Yamma, Delta Safe, Whirl Stroke, Safe Haven, and UDO Ka—emphasizes community engagement. Through dialogue with traditional rulers, youth leaders, women’s groups, and cultural stakeholders, the military aims to understand local grievances, win public trust, and enhance intelligence gathering. Troops are also receiving training to adopt a more people-centered approach, delivering humanitarian aid, supporting local development efforts, and providing security assistance tailored to community needs.

    Kidnapping and banditry persist in Northcentral, but gains recorded

    The Northcentral region continues to battle kidnapping and banditry, especially in states like Niger, Plateau, Benue, and Kogi. Highways and rural communities have become hotspots for criminal activity, with commuters, farmers, and residents often targeted for ransom. The proliferation of small arms, combined with weak policing in remote areas, has worsened the region’s vulnerability. Despite these challenges, the Nigerian military and intelligence community have made significant progress in degrading criminal networks. A key driver of this success is the Office of the National Security Adviser (ONSA), which has played a coordinating role in enhancing synergy among the country’s security and intelligence agencies. This collaborative approach has yielded tangible improvements in national security, particularly under the leadership of National Security Adviser Nuhu Ribadu.

    One notable impact of ONSA’s efforts has been in rescuing kidnap victims. According to Ribadu, over 1,000 victims were freed from captivity without ransom payments over the last two years, thanks to improved operational coordination. Additionally, the National Counter-Terrorism Centre (NCTC), operating under ONSA, has become a vital hub for directing counter-terrorism responses. These efforts have helped restore peace to many affected areas and contain the spread of extremist threats.

    Legal efforts have also been bolstered. The speedy trial of terrorism suspects held at the Wawa military cantonment in Kainji, Niger State, marks a critical step forward in justice delivery. According to the Director of Public Prosecution of the Federation, Mohammed Babadoko, the current administration disposed of 490 cases in 2024 alone, making it the most productive year since the trials began in 2017. During the fifth phase of the trial in July 2024, 253 cases were concluded: 125 convictions secured; 85 cases related to terrorism financing; 22 involved international crimes under ICC statutes. These developments represent a multifaceted approach—combining security operations, legal accountability and institutional coordination—that is beginning to push back against the wave of violence and lawlessness in the Northcentral region.

    Over the past two years, the Armed Forces of Nigeria have significantly improved inter-service synergy, a development that has strengthened the country’s military operations against insurgents and other criminal elements. Speaking during a lecture to participants of Course 9/2025 at the Army War College Nigeria in Abuja, the Chief of the Air Staff, Air Marshal Hasan Abubakar, revealed that joint operations between the Nigerian Air Force and the Nigerian Army have led to the neutralization of over 1,150 terrorists and the destruction of 669 enemy structures in the Northwest alone over a 17-month period.

    He said: “In the past year alone, the Air Component of the Northeast Operation conducted 1,026 sorties, encompassing intensive Intelligence, Surveillance and Reconnaissance (ISR), Air Interdiction, and Armed Reconnaissance missions. These operations amassed over 2,236 flight hours and have played a vital role in restoring peace across several troubled Local Government Areas within the theatre.

    “Additionally, under the Northwest, since June 2023, air-ground synergy has led to the neutralisation of multiple insurgent and bandit leaders and the destruction of over 265 terrorist hideouts in Sector 1 alone. In Sector 2, joint efforts have neutralised more than 1,150 terrorists and destroyed 404 criminal structures.”

    Air Marshal Hasan Abubakar attributed these operational successes to the Nigerian Air Force’s enhanced Concept of Operations (CONOPS), which is strategically designed to deliver decisive, synchronized effects during joint military campaigns. Additionally, the Defence Headquarters reported that sustained synergy between security and intelligence agencies has led to the neutralisation of several high-profile terrorist kingpins, including Sabubu, Isiya Boderi, Alhaji Mubale, Baban Yara, Alhaji Kabiru, Lawali Gudau (aka Damina), Buhari Alhaji Halidu (aka Buharin Yadi), Nagala Jabbi, Audu Kalwa, Muhammad Sani (aka Peter), Dan Hajiya, Ga’aye, Akwanga, Bala Gurgu, Yellow, Kucheri, and Babban Mutum.

    Massive equipment procurement and army aviation take-off

     To strengthen air power in the fight against terrorism and banditry, the Federal Government, within the last year, handed over 15 aircraft to the Nigerian Air Force (NAF). In a significant build-up of Nigeria’s aerial defence capability, no fewer than 61 additional aircraft are expected to be delivered in 2025. These acquisitions bring the total number of brand-new aircraft procured by the NAF in the last three years to 64. In December 2024, Air Marshal Abubakar announced that the NAF had taken delivery of two KA-360i aircraft, four DA-62 surveillance planes, six T-129 ATAK helicopters, two AW-109 Trekker helicopters, and an additional KA-360i aircraft, all aimed at boosting counterterrorism and counterinsurgency operations.

    He said in 2025 the NAF will receive 10 AW-109 Trekker helicopters, 24 M-346FA aircraft, three CASA-295 aircraft and 12 AH-1Z attack helicopters. “That is not all. In addition to these new acquisitions, we have also procured 12 pre-owned A-Jet aircraft from the French Air Force through SOFEMA. While all 12 aircraft are ready for shipping, it is anticipated that six will be restored to operable status with the remaining six used as spares to support the Alpha Jet fleet. It is, therefore, no exaggeration to state that the Nigerian Air Force is experiencing a golden era under the current administration.

    In a significant milestone, the Nigerian Army (NA) officially operationalized its long-anticipated aviation wing with the delivery of two new helicopters. This marks the first time the NA is independently expanding into aerial operations, a move designed to bolster the ongoing fight against terrorism, banditry, and other internal security threats. The Army Aviation Wing is expected to provide rapid deployment capabilities, enhance battlefield intelligence, and support ground operations, particularly in hard-to-reach conflict zones.

    Despite notable progress, the Nigerian military continues to grapple with serious operational challenges. Among the most tragic was the Okuama massacre in Delta State, where 17 soldiers, including their commanding officer, Lt. Col. A.H. Ali, were brutally killed by irate civilians during a long-standing land dispute between Okuama and Okoloba communities. The attack shocked the nation and military high command, prompting calls for justice and deeper scrutiny of civil-military relations in restive regions.

    Operational constraints also persist in the form of logistical difficulties and equipment breakdowns. In Zamfara State, military units were forced to demobilize Mine Resistant Ambush Protected (MRAP) vehicles that had become stuck in difficult terrain — a necessary move to prevent the heavily armoured assets from falling into terrorist hands. These logistical challenges highlight the need for improved mobility, terrain intelligence, and maintenance frameworks, especially in the Northwest where rough topography impedes military effectiveness.

    The continued activities of new and splinter terror groups, such as Lakurawa in the Northwest, and the persistent instability in the South East and North Central, have added layers of complexity to Nigeria’s security landscape. These threats demand not only military muscle but also sustained strategic foresight, coordination, and investment in intelligence gathering and civil engagement. While the administration has recorded measurable gains in the war against insurgency and criminality — including improved inter-agency synergy, high-profile neutralisations, and the acquisition of advanced equipment — the road ahead remains challenging. The persistence of both old and emerging threats underscores the urgent need for holistic security reforms, long-term planning, and community-level trust-building to achieve lasting peace.

  • Tinubu’s security scorecard: Key gains, emerging challenges

    Tinubu’s security scorecard: Key gains, emerging challenges

    Inheriting a nation besieged by terrorism, banditry and violent crime, President Bola Tinubu assumed office two years ago with a firm commitment to overhaul Nigeria’s security framework, prioritising the fight against terrorism and escalating criminal activity. Two years in, notable strides have been made, including disruptions of major terror cells and improved coordination in conflict zones. However, the road ahead remains fraught with challenges. Violence persists in pockets, and deeper issues like poverty and porous borders continue to undermine progress. While the shift from reactive to proactive security measures signals a positive change, the future will depend on sustained funding, political will and policy clarity, reports Assistant News Editor PRECIOUS IGBONWELUNDU.

    When President Bola Ahmed Tinubu took the oath of office on May 29, 2023, Nigeria was staggering under the weight of a full-blown security crisis. Across the country, violence had become tragically routine. From rural communities in Zamfara to urban centres in Imo, bloodshed was no longer breaking news—it was daily life. Terrorists, kidnappers, bandits and armed militias moved with terrifying audacity, often outgunning security forces and crippling local economies in the process.

    Insecurity had metastasised. Nigeria, by mid-2023, was not just dealing with isolated violence—it was navigating a national emergency. Data from independent monitoring groups showed that between June 2020 and April 2023, at least 12,576 Nigerians were killed and another 7,226 abducted in over 3,300 violent incidents. No geopolitical zone was spared. While the North reeled from terrorism, banditry, and cattle rustling, the South grappled with separatist violence, oil theft and cult-related killings. Women and children became frequent victims, communities were displaced, and trust in the state was badly eroded.

    President Tinubu, inheriting this fractured security landscape, wasted little time. In his inaugural address, he was unequivocal: “Security shall be the top priority of our administration because neither prosperity nor justice can reign in the face of chaos.” In less than a month, he replaced the nation’s entire security leadership, appointing men seen as competent, modern-minded and mission-ready. The new security helmsmen—led by National Security Adviser Nuhu Ribadu and Chief of Defence Staff General Christopher Musa—were handed a clear brief: restore public confidence, rebuild coordination among agencies, and take the fight to the enemies of the state. This shift was not merely cosmetic. Operational strategies were recalibrated. Joint task forces were reinforced. Technology began playing a larger role in intelligence gathering. A renewed emphasis was placed on inter-agency cooperation—an area where previous administrations had failed spectacularly. New efforts emerged to tackle kidnapping along expressways, flush terrorists from forest enclaves, and engage local vigilantes more constructively.

    What the numbers say about Nigeria’s security situation

    Nigeria’s security landscape remains fraught with danger—but not without signs of course correction. Fresh data from multiple credible sources paints a nuanced picture: a country still grappling with widespread violence, yet gradually stepping away from the abyss it teetered on before May 2023. According to Beacon Consulting, 13,346 people lost their lives and 9,207 were abducted in violent incidents across Nigeria between May 2023 and September 2024. However, figures obtained from NEXTIER Nigeria’s Violent Conflict Database offer a more conservative, albeit troubling, count: 6,751 people killed and 4,068 kidnapped in 1,938 incidents spanning from May 29, 2023, to May 7, 2025.

    Broken down further, the NEXTIER data suggests that violence peaked in 2024, with 3,134 fatalities and 2,562 kidnappings across 916 incidents. In contrast, 2023 witnessed 2,362 deaths and 674 incidents, while the first four months of 2025 recorded a notable decline—1,255 fatalities and 495 kidnappings from 348 incidents. This drop suggests early returns from new strategies deployed under Tinubu’s administration, including leadership overhauls, tactical reorganisation, and renewed inter-agency collaboration. Regionally, the North Central emerged as the epicentre of violence with 2,628 deaths and 1,026 kidnappings from 608 reported incidents. The Northwest trailed closely, reporting 2,071 casualties and 2,326 abductions from 478 incidents. In contrast, the relatively calmer Southwest recorded 255 deaths and 209 kidnappings from 188 incidents. The Northeast, long a theatre of insurgency, logged 868 deaths and 177 kidnappings.

    A breakdown by the nature of violence shows that banditry remains Nigeria’s deadliest scourge—2,662 casualties and 2,773 kidnappings across 534 incidents. Gunmen attacks came next, with 1,255 deaths and 1,042 kidnappings from 657 attacks. Farmer-herder clashes, cult-related violence, secessionist agitations, and terrorism continued to inflict damage across multiple fronts, albeit with reduced intensity compared to the pre-2023 period.

    Strategic interventions and gains recorded

    With the clarity of purpose and political will exhibited by the Tinubu administration, Nigeria’s security landscape began to shift under more strategic, better-coordinated interventions. From day one, the President made it clear that insecurity would be confronted with fresh resolve. In response, new security chiefs hit the ground running—committed to reversing years of degradation in military capacity and restoring public confidence.

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    One of the administration’s earliest moves was addressing long-standing systemic challenges within the nation’s security architecture. These included chronic underfunding, outdated equipment, low troop morale, intelligence gaps and poor inter-agency coordination. The Tinubu government significantly raised the national defence allocation from N1.25 trillion in 2023 to N3.25 trillion—a 160% increase—making up roughly 12% of the N27.5 trillion national budget. In 2025, the defence budget soared again to N4.91 trillion, reflecting Tinubu’s commitment to a robust and responsive security system.

    Beyond funding, the administration also approved harmonised salary increases for security personnel and authorised annual recruitment drives to expand the nation’s under-resourced forces. The Nigeria Police, for instance, saw its annual recruitment quota jump from 10,000 to 30,000—an essential step in combating urban crime and improving community policing. Recognising that force alone cannot solve deep-rooted insecurity, the administration also pursued broader, systemic reforms. These included initiating discussions around constitutional amendments to enable the creation of state police, establishing a regulatory body to tackle the proliferation of small arms and light weapons, and launching economic buffers such as conditional cash transfers aimed at reducing the socio-economic vulnerabilities that feed into crime.

    The results have been tangible. Security forces executed more frequent and successful clearance operations across all major conflict theatres. In the northeast, over 3,496 insurgents were neutralised and more than 121,000 terrorists and their family members surrendered to the military—a record figure in Nigeria’s counterinsurgency efforts. Nationwide, over 30,000 suspects were arrested across operations targeting bandit camps, kidnappers’ dens, and terror cells. Perhaps the most telling indicator of progress is the return of displaced persons to over 100 previously terrorised communities. In these areas, farming activities have resumed, and normal life is gradually being restored—an encouraging sign that under Tinubu, Nigeria is not only fighting back but starting to reclaim its lost spaces.

    Modernising security infrastructure for a smarter, stronger defence system

    A cornerstone of President Tinubu’s security policy has been the modernisation of Nigeria’s defence and internal security apparatus. Over the past two years, the administration has made unprecedented investments in advanced weaponry, cutting-edge surveillance systems, and force multipliers to elevate operational efficiency across the armed forces and law enforcement agencies.

    The renewed emphasis on hardware acquisition has significantly altered the tactical landscape. Security agencies—particularly the military, police, and Department of State Services—have been equipped with high-grade arms and assault platforms. These include Mine-Resistant Ambush Protected Vehicles (MRAPs), drones, attack helicopters, surveillance towers, and next-generation rifles. The Nigerian Air Force alone has received nine new aircraft and anticipates the delivery of an additional 49, reinforcing its air power in counterinsurgency and reconnaissance missions. This expanded arsenal has proven vital in neutralising threats and extending state presence into previously ungoverned territories.

    Complementing the hardware boost is a bold embrace of technology. The Tinubu administration has pushed for intelligence-led operations powered by digital tools. Real-time surveillance systems now allow security agencies to monitor activities across strategic zones. The Office of the National Security Adviser (ONSA) is equipped with a national security grid that provides an integrated view of threats across the federation, enhancing both inter-agency coordination and preventive responses. Further strides have been made in adopting Artificial Intelligence (AI) for predictive threat analysis, battlefield logistics, and incident mapping. This digital upgrade, while still in its early stages, positions Nigeria to transition from reactive to proactive security enforcement. The administration has also demonstrated innovation by creating the Mines Marshal Corps—tasked with securing mining sites and disrupting illicit mineral trade often linked to armed groups.

    In tandem with kinetic and technological solutions, the government has deployed targeted community engagement initiatives. One example is the Pulako Initiative, launched with a N50 billion commitment. The programme targets seven northern states with the aim of resolving long-standing conflicts between herders and farmers. It combines security with social investment—focusing on conflict mediation, rebuilding affected communities and restoring economic livelihoods. These multi-layered interventions signal a shift from a fragmented security approach to a more integrated and intelligence-driven framework. While challenges remain, the Tinubu administration has laid a robust foundation for a smarter, better-equipped and more agile security system capable of evolving with Nigeria’s complex threats.

    Renewed wave of violence threatens security gains

    Just as Nigerians began to breathe a collective sigh of relief following improved security measures, a resurgence of deadly violence has shaken several regions, reigniting fears and casting shadows over earlier progress. Terrorist groups, emboldened and re-strategised, have launched a new wave of attacks—targeting military installations, killing civilians and security personnel, and looting weapons from vulnerable outposts.

    Security analysts point to an influx of militants from neighbouring Cameroon and the Lake Chad Basin who are exploiting Nigeria’s porous borders and ungoverned spaces. These infiltrators, familiar with the rugged terrains, have wreaked havoc on sleeping communities across Borno, Yobe, Benue, and Plateau states. Observers have offered varied explanations for the renewed violence. Some suggest it may be politically motivated—an orchestrated campaign by desperate actors aiming to destabilise the country ahead of the next general elections. Others cite systemic security challenges, including lapses in leadership, poor interagency coordination, and overstretched personnel suffering from battle fatigue. Climate change, illegal mining, resource competition, and an ineffective recruitment system are also believed to be fuelling the crisis.

    Particularly concerning is the redeployment of military assets from the Northeast to the Northwest in the fight against banditry. This shift, analysts argue, created a security vacuum in parts of Borno and Yobe, allowing insurgents to regroup and reclaim lost territories. Reports suggest that Guzamala, Kukawa, and Abadam LGAs in Borno are now under near-total control of terrorists, while Marte, Monguno, and Kala Balge LGAs face growing militant presence. Recent bombings in Damboa and Gwoza point to the resurgence of Boko Haram. The scale of brutality has intensified. In one incident, 26 civilians were killed in a Boko Haram bomb attack on a bridge between Rann and Gamboru Ngala. That same day, the group attacked mourners at a funeral in Chibok’s Koful village, killing seven and razing homes and churches. In Benue, criminal herders have taken over border communities in Kwande LGA, displacing farmers despite military presence. Similar scenes have unfolded in Logo LGA, where entire villages have been sacked.

    Disturbingly, insurgents are now deploying more advanced tactics, including the use of drones and landmines, and have resumed hoisting flags in captured communities—an ominous symbol of renewed control. Meanwhile, communal clashes in the Middle Belt have surged. In April alone, hundreds were killed in Plateau and Benue states, evoking painful memories of the December 2023 attacks that claimed nearly 200 lives in Plateau. These developments underscore a mounting humanitarian crisis and signal the urgent need to reinforce Nigeria’s fragile security architecture.

    Security analysts prescribe urgent reforms to sustain gains and avert reversal

    Security experts have offered insights into how the Tinubu administration can consolidate recent gains and overcome persistent threats. Among them is retired Major-General Chris Olukolade, former Defence Spokesman, who believes that President Bola Tinubu has demonstrated a more compelling political will than his predecessor—a factor critical to inspiring improved performance from the nation’s security architecture. Olukolade noted that under the Buhari administration, a lack of clear direction and an over-reliance on ambiguous “body language” stifled decisive security actions. This inaction, he argued, allowed terrorism to metastasize across the country, eroding public trust and fueling sentiments like those expressed by General T.Y. Danjuma, who once accused security forces of collusion and urged citizens to defend themselves.

    “The Tinubu government still has a lot to do to convince Nigerians that its approach will be markedly different from Buhari’s apparent deliberate inaction. The widely acknowledged stronger political will must translate into tangible action—one that adequately motivates and equips security forces to produce lasting, measurable results,” Oluk]olade warned.

    Echoing this view, Dennis Amachree, a former Director at the Department of State Services (DSS), acknowledged the increase in defence budgets and noted visible military engagements across theatres, including counter-banditry operations and the Navy’s fight against oil theft. However, he also highlighted lingering issues related to operational effectiveness and civilian protection. Amachree called for a multi-pronged approach, beginning with enhanced training, better equipment, and improved intelligence capabilities for all security services. He stressed the importance of better coordination, particularly under the Office of the National Security Adviser (ONSA), which should function as the central node for inter-agency collaboration. “The restructuring and reorientation of security agencies towards a people-centric approach is essential,” he said, advocating for greater accountability, transparency, and zero tolerance for corruption or human rights abuses.

    Amachree also underscored the urgency of addressing border vulnerabilities—especially in the North—through modern surveillance technologies and comprehensive monitoring systems. He reiterated the need for police decentralisation, including the establishment of State Police, and the strengthening of community policing structures to build public trust and improve intelligence gathering at the grassroots. “In conclusion,” Amachree noted, “the Tinubu administration must urgently prioritise technological border surveillance and commit to the creation of state police forces. Only then can Nigeria begin to tackle its complex and evolving security challenges with the depth and resolve they require.”

    Counter-insurgency expert Bulama Bukarti has strongly condemned the increasing attacks on military bases, describing them as a troubling escalation in the terrorists’ operational boldness and a direct challenge to the authority of the state. In a post on his verified X account, Bukarti warned that these assaults not only undermine the readiness and morale of security forces but also send a dangerous message of vulnerability to both the public and potential insurgents. “Such attacks are a serious blow to national security, destabilize efforts to restore peace, and diminish public confidence in the government’s ability to protect its citizens and preserve territorial integrity,” Bukarti explained.

    He called for an urgent overhaul of the country’s counterinsurgency strategy to address this mounting threat. According to Bukarti, this should involve a focus on intelligence-driven operations, fortifying military outposts, boosting troop welfare and logistics, and enhancing coordination among security agencies. Above all, he emphasised the importance of sustained political will and adequate resourcing to combat and ultimately defeat the growing insurgent threat. “The frequency of these attacks, which have become almost daily, is alarming,” Bukarti noted. “When violence escalated in Borno in 2011 and 2012, it rapidly spread across northern Nigeria, causing massive destruction and immense harm. The recent uptick in violence spilling over into Adamawa State is deeply concerning.”

    Reports indicate that Boko Haram militants are regrouping in the Tumbus area of Lake Chad and the Mandara Hills within the Sambisa Forest, signaling an alarming resurgence. Bukarti warned that allowing terrorists to operate freely in these areas only strengthens their capacity to plan and execute attacks. “The security forces must stop waiting to defend and instead take the battle directly to Boko Haram’s strongholds. This requires the swift deployment of additional troops to the Lake Chad Basin and Sambisa Forest, supported by air surveillance and enhanced waterborne capabilities. Intelligence networks at the local level need to be revived and strengthened to detect early signs of insurgent recruitment and planned attacks,” Bukarti said. He concluded with a stark reminder: “If decisive action is not taken now, Boko Haram’s threat will continue to grow. As the saying goes, a stitch in time saves nine.”

    In an exclusive interview with Security Watch Africa, security expert Dr. Kabir Adamu identified a critical flaw in Nigeria’s national security approach: the lack of engagement with the public. He pointed out that the masses have not been sufficiently informed or involved in the country’s national security strategy, leaving them unsure of how to report suspicious activities, such as the presence of wanted terror suspects. “We have not adequately involved the people in our national security strategy. The primary responsibility of the coordinator of our national security strategy should be to engage the public, starting with governors,” Dr. Adamu explained. “They should ensure that governors understand the strategy, appreciate its goals, and then work together to spread this knowledge to other stakeholders until it reaches the grassroots level.”

    Dr. Adamu emphasised that understanding the content of the key national security instruments is crucial. He highlighted three core documents that guide Nigeria’s counterterrorism efforts: the National Counterterrorism Strategy, housed within the Office of the National Security Adviser (ONSA); the Policy Framework on Countering Violent Extremism, also under ONSA; and the Terrorism Prohibition and Prevention Law, for which the Attorney General of the Federation holds primary responsibility. Other government officials, including those in defence, police affairs, and interior ministries, also have roles in implementing these policies. “The goal of these three documents is clear: to block terrorist funding, curb recruitment efforts, and prevent the generation of weapons by non-state actors,” Dr. Adamu explained. “To make this work, the security strategy needs to be clearly communicated to governors, who can then ensure its broader dissemination to the public and other stakeholders.”

    On the potential use of Private Military Contractors (PMCs), Dr. Adamu suggested that Nigeria should focus on harnessing the expertise of its own private security sector, rather than relying on international contractors. “The idea of engaging international Private Military Contractors is often what comes to mind, but we must not overlook the vast potential within Nigeria’s private security sector. The last time we conducted a survey, we found that Nigeria’s private security sector employs around three million people directly, and including indirect employment, that number could be as high as ten million. This sector is massive and holds capabilities that could support public security efforts, particularly in intelligence gathering.”

    He continued, “While it’s true that private security companies in Nigeria cannot bear weapons, there are still opportunities for them to support operations, particularly through intelligence work. There are retired military personnel within the sector who have already contributed to security operations, especially in the Northeast.” Dr. Adamu proposed that the government assess the gaps in current security strategies and consider integrating resources from the private security sector. He also suggested that discussions around weapon licensing for private security companies should be revisited to allow them to play a more significant role in supporting the national security apparatus. “Perhaps it is time we considered licensing weapons and other necessary capabilities for the private security sector, so they can adequately support public security efforts,” he concluded.

  • CBN rolls out measures to sustain FX inflows amid falling oil prices

    CBN rolls out measures to sustain FX inflows amid falling oil prices

    The Central Bank of Nigeria (CBN) has continued to establish strong measures to attract more dollars into the economy and reduce the negative impact of ongoing crude oil prices drop on domestic economy. Despite the impact of oil prices on macroeconomic stability, the current CBN leadership is supporting export of local products to earn more FX revenue, championing backward integration principles to reduce import of items that can be produced locally and simplifying dollar remittances for Nigerians in diaspora. These measures have continued to act as buffers for Nigeria’s FX position, support naira rally and keep inflation under check, writes Assistant Editor COLLINS NWEZE

    Global oil prices have dropped significantly, now hovering just above $60 per barrel. For an oil-dependent economy like Nigeria, this continued decline in crude prices presents a serious concern rather than a relief. The Wall Street Journal’s grim forecast that Brent crude could fall below $50 per barrel by the end of 2025 only deepens the urgency for strategic policy responses.

    At a benchmark of $50 per barrel and a production capacity of 1.5 million barrels per day (mbpd), Nigeria’s oil revenues would fall approximately 10 percent short of its fiscal breakeven point. Such a shortfall could push the fiscal deficit to between six and seven percent of GDP, potentially fuelling inflationary pressures and weakening macroeconomic stability.

    However, the Central Bank of Nigeria (CBN), under the leadership of Governor Olayemi Cardoso, has proactively initiated measures aimed at cushioning the domestic economy against the looming oil price shock. Among these are policies to boost Nigeria’s non-oil export potential, strengthen backward integration to reduce dependence on imported goods, and streamline diaspora dollar remittances to enhance foreign exchange inflows.

    Drawing from China’s economic strategy, the apex bank said Nigeria’s competitive exchange rate can drive export-led growth. To harness this potential, businesses are expected to adopt export-oriented strategies by targeting sectors with strong export potential such as agriculture, manufacturing and creative industries; implement import-substitution models by strengthening domestic production capabilities and reducing reliance on costly imports; and focus on value addition by shifting from exporting raw materials to processed goods, thereby boosting foreign exchange earnings.

    Cardoso said Nigeria’s creative sector has potential to attract $25 billion annually to the economy, highlighting the untapped opportunities in Nigeria’s expanding creative sector, including music, film, crafts and digital exports. He urged businesses to explore international markets, digital platforms, and global tours to increase dollar revenue inflows. The CBN boss also recently advised telecom companies to reduce their dependence on foreign imports by producing key components of their inputs locally. The backward integration proposal for the telecom industry comes at a time the real sector is in dire need of sustainable growth. The CBN boss gave insights on what the economy stands to gain from backward integration in the telecoms sector.

    Speaking in Abuja during a visit by the Airtel Africa management team led by Group CEO Sunil Taldar, the CBN Governor underscored the importance of boosting local production to ease pressure on the dollar, generate employment and strengthen the national economy. He emphasised the urgent need to domestically manufacture key telecom inputs—such as SIM cards, cables, and towers—that are currently being imported in large volumes.

    Cardoso highlighted that over the past 16 months, the CBN has taken deliberate steps to stabilize the foreign exchange market, strengthen the naira, and attract investor confidence. With these foundations now in place, he urged telecommunications companies to embrace backward integration as a strategic imperative. In response, Airtel Africa CEO Sunil Taldar commended the CBN’s reform efforts and voiced strong support for local production, noting that such a shift would ultimately yield long-term benefits for the telecommunications industry. He also reaffirmed Airtel’s commitment to expanding financial inclusion across Nigeria through innovative technology solutions.

    Meanwhile, market analysts observed that the renewed interest of Foreign Portfolio Investors (FPIs) in Nigeria’s FX market—fuelled by improved investor confidence, a more transparent foreign exchange framework, and strengthening macroeconomic indicators—alongside the CBN’s continued market interventions, is expected to sustain the stability of the naira in the months ahead.

    Understanding telecoms sector

    According to the Nigerian Communications Commission (NCC), the total active telephony subscribers increased by 3.2 per cent month/month to 164.93 million in December 2024. The increase reflects the gradual recovery in the subscriber base following the conclusion of the NIN-SIM linkage program by mobile service providers in September. 

    Analysing the market share by operators, MTN Nigeria led by 51.4 per cent (with 84.61 million subscribers), Airtel Nigeria followed with 34.4 per cent (56.62 million subscribers), Globacom with 12.2 per cent (20.14 million subscribers) and 9mobile with 2.0 per cent (3.28 million subscribers). At the same time, the total number of internet subscribers rose by two per cent month/month to 139.28 million in December.

    Looking ahead, analysts at Cordros Securities said they expect subscriber base recovery through SIM reactivation initiatives, especially from market leaders – MTN Nigeria and Airtel Nigeria. According to the National Bureau of Statistics (NBS) third quarter 2024 Gross Domestic Product (GDP) report, the Information and Communication sector, is made up of Telecommunications (telecoms) and Information Services; Publishing; Motion Picture, Sound Recording and Music Production; and Broadcasting.

    Views from stakeholders

    The Executive Secretary of the Association of Licensed Telecommunication Operators of Nigeria (ALTON), Gbolahan Awonuga, noted that beyond telecom operators, other entrepreneurs and business leaders also have a vital role to play by investing in the local manufacturing of essential components used in telecommunications operations. He said: “We have to look inwards and get Nigerian companies to produce these key components in telecom operations locally. Government also has a role to play, by ensuring that key infrastructure especially power is available. We do not want a situation where locally produced inputs, will become more expensive than imported versions.” Awonuga added that telecom sector plays key roles in banking services, including enabling digital payments and ensuring security of transactions. He said banking and telecom sectors have more to gain if backward integration thrives in the country, adding that government has significant role to play to make the move a success. 

    Research Head, Cowry Asset Management Limited, Charles Abuede, said the CBN governor’s call was to discourage the importation of foreign services into Nigeria, especially when efforts can be made to develop such services locally. “The high demand for foreign exchange by telecom operators has further pressured the naira due to increased demand for the dollar. However, with adequate infrastructure development and a conducive operating environment facilitated by regulators, these challenges can be mitigated,” he said. 

    According to Abuede, “given Nigeria’s FX policies, illiquidity in the foreign exchange market and infrastructure deficits, I think increased investment in the telecom sector would enable operators to embrace backward integration. This would allow them to manufacture key components, such as SIM cards, locally. As a result, production costs could decline—provided the operating environment remains stable. This will improve profit margins and enhance both top-line and bottom-line growth in the long run.”

    The CBN under Cardoso has carried out several efforts to improve the functioning of the FX market. This has led to good results with average daily turnover in the Nigerian Autonomous Foreign Exchange Market increased by 226 per cent in the first half of last year when compared to the same period in 2023. Foreign portfolio inflows have increased by over 72% during this period, while foreign exchange reserves have risen from $32bn in May 2023 to over $40bn. This represents the equivalent of eight months’ import cover and marks the highest reserve level in nearly three years.

    The market has also supported over $9bn in capital outflows over the past year as investors were able to freely repatriate capital and dividends without the need to wait for several months as experienced in the past. These results, Cardoso said, reflect improved confidence in the reforms he embarked on. “In addition, we witnessed a $6 billion current account surplus in the first half of 2024 as a result of the impact of these reforms. Reduction in petroleum product imports supported by improved domestic refining capacity, a growing focus on non-oil exports and higher remittance inflows helped to support the positive current account balance,” he said.

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    Also, an enabling policy environment has led to a doubling of monthly remittances from an average of $300mn in 2023 to nearly $600 million in August 2024. “We are committed to further integrating the Nigerian diaspora into our financial system, exemplified by the introduction of the non-resident Bank Verification Number registration. We expect our financial institutions to develop products that not only enable the diaspora to support their families but also provide opportunities for savings and investment in Nigeria,” he said.

    Diaspora remittances inflows to rise

    As part of its efforts to boost diaspora remittances and support naira stability, the CBN recently announced the introduction of two new financial products designed to serve Nigerians living abroad. The Non-Resident Nigerian Ordinary Account and the Non-Resident Nigerian Investment Account was created to streamline remittances, encourage investments, and foster financial inclusion among Nigerians in the diaspora. It said, “The Central Bank of Nigeria is pleased to inform the general public of the introduction of the Non-Resident Nigerian Ordinary Account and Non-Resident Nigerian Investment Account targeted at Nigerians in diaspora.”

    The initiative is also expected to provide a secure and efficient platform for managing funds and investing in Nigeria’s financial markets. President, Association of Bureaux De Change Operators of Nigeria, Dr. Aminu Gwadabe, explained that diaspora remittances are a crucial source of foreign exchange for Nigeria, supplementing both foreign direct investment and portfolio investments. He CBN’s initiatives have supported continued growth in these inflows, aligning with the institution’s objective of doubling formal remittance receipts within a year. Gwadabe said remittances in the economy are expected to increase based on CBN’s ongoing efforts to bolster public confidence in the foreign exchange market, strengthen a robust and inclusive banking system, and promote price stability, which is essential for sustained economic growth.

    In a report: “Diaspora remittances: The power behind Africa’s sustainable growth”, Regional Vice President of Africa at Western Union, Mohamed Touhami el Ouazzani, said remittances may be measured through the movement of money, but their real impact is measured in lives changed. He disclosed that in 2023 alone, $90 billion flowed into Africa from its global diaspora, an amount that rivals the Gross Domestic Product of entire nations.

    He said that remittances symbolise deep ties that keep communities connected across borders. “Families with a breadwinner working abroad depend on these funds to provide vital support for day-to-day needs. They also build the foundation for broader financial stability.

    “Beyond their immediate impact, remittances are powerful drivers of economic change. They fuel infrastructure development, spur entrepreneurship, and promote financial inclusion – all essential for long-term economic development. Ghana’s National Financial Inclusion and Development Strategy (NFIDS) is simplifying access to remittances, while countries like Kenya, Ethiopia and Nigeria are tapping into diaspora bonds to fund infrastructure and other national projects,” he added.

    For remittances to be truly transformational, it begins with understanding and meeting people’s aspirations. Ensuring individuals who strive for more can send and receive funds, regardless of their financial status, is crucial. We must cater to diverse needs.

  • Road infrastructure takes pragmatic paradigm shift in two years of intensity

    Road infrastructure takes pragmatic paradigm shift in two years of intensity

    Upon assuming office, President Bola Tinubu inherited a staggering 2,000+ federal road projects valued at over N13 trillion. Today, that figure has surged beyond N20 trillion, driven by inflation, naira devaluation and the removal of petrol subsidies. In response, the Federal Ministry of Works, under Engr. David Umahi, has drawn a firm line—placing a moratorium on new projects for 2024 and 2025 to focus squarely on completing ongoing ones. With a renewed emphasis on discipline, performance and alternative financing, the administration is rewriting the narrative of Nigeria’s road infrastructure—turning long-standing challenges into a story of strategic progress, reports DELE ANOFI.

    When President Bola Tinubu assumed office, he inherited a staggering 2,064 road projects valued at N13 trillion. That figure has now surged past N20 trillion, inflated by macroeconomic shocks including currency depreciation and the removal of fuel subsidies. In response, the Federal Ministry of Works has drawn a clear line: no new road contracts will be awarded in 2024 or 2025. Instead, the focus is firmly on completing the roads already in progress—particularly the four flagship highways and the thousands of inherited projects.

    Unlike past administrations that tackled road construction sequentially, the Tinubu administration is taking a multi-pronged approach. Simultaneous works are now active on key corridors such as the Lagos-Calabar Coastal Highway and the Sokoto-Badagry Superhighway, reflecting a shift from piecemeal progress to a more aggressive and strategic national rollout. At the helm of this effort is Works Minister David Umahi, whose on-site inspections, insistence on engineering integrity, and contract reforms have injected new urgency into Nigeria’s infrastructure delivery. His message is clear: only contractors who perform will continue. Those who don’t are being swiftly shown the door.

    In a sharp break from business-as-usual, the Ministry has already revoked several high-profile contracts due to underperformance. The much-criticised Abuja-Kaduna-Zaria-Kano Expressway, originally handled by Julius Berger Nigeria Plc, was terminated on November 4, 2024. The termination followed the contractor’s refusal to accept revised terms, return to site, or update outdated pricing models. Even more damaging, Julius Berger failed to attend a reconciliation meeting and proposed an unacceptable three-year extension. The Ministry said the project’s slow progress risked public interest and could no longer be tolerated.

    Similarly, Section I of the Kano-Maiduguri Road, awarded in 2007 to Dantata & Sawoe Ltd, was terminated due to persistent delays and a missed delivery window. In Edo and Kogi States, three longstanding contracts on the Obajana-Benin Highway, awarded in 2012 to Mothercat Ltd, Dantata & Sawoe Ltd, and Reynolds Construction Company (RCC) Ltd, were also revoked for project abandonment. The Ministry is now conducting technical audits for a possible re-award of these crucial arteries. Beyond major highways, the Ministry is also reviewing 260 emergency road interventions across 13 states. Of these, 37 contractors, who received funding from the 2023 Supplementary Budget but failed to mobilize to site, have been given a three-month ultimatum: deliver or be terminated.

    The Federal Ministry of Works has issued stern warnings to two high-profile contractors over lagging performance on major southern road projects. Julius Berger was cautioned over delays on the Bodo–Bonny Road in Rivers State—a 39-kilometre artery now valued at N280 billion. Similarly, Reynolds Construction Company (RCC) is under scrutiny for the East-West Road between Eleme Junction and Onne Port, where more than N40 billion has been spent with little to show for it. Reaffirming the Ministry’s zero-tolerance stance, Minister David Umahi declared: “No more excuses. We will terminate any contract where performance fails to meet expectations. Nigerians deserve results.” His remarks, made during a series of site inspections, reinforce the administration’s strategic shift from tolerance to accountability.

    According to Umahi, the era of inefficiency, project manipulation, and open-ended delays is over. “Any contractor that is mobilized and fails to perform will have their contract terminated. We are determined to deliver these projects on time and on budget,” he said. The Ministry’s new mantra appears clear: no contractor is bigger than Nigeria.

    Alternative funding models take centre stage

    Alongside enforcement, the Tinubu administration is revamping road financing by leveraging private sector capital through two key initiatives: the Highway Development and Management Initiative (HDMI) and the Infrastructure Development and Refurbishment Investment (Tax Credit) Scheme. Faced with dwindling public funds, the Ministry is now leaning heavily on these alternative models to close funding gaps and maintain momentum on critical infrastructure. The Tax Credit Scheme, enabled by Executive Order 007 of 2019, allows corporations to undertake road projects in lieu of paying taxes—a strategy aimed at boosting both project completion and private sector buy-in.

    Yet, despite billions already invested, no project under these frameworks had been completed by the end of 2023. That poor track record prompted a sweeping reassessment of all contracts under both schemes, with renewed timelines, cost reviews, and delivery benchmarks introduced. A case in point is MTN Nigeria Communications Plc, which is funding the rehabilitation of the Enugu–Onitsha Expressway, a 107-kilometre dual carriageway pegged at over N200 billion. Structured in two phases over 36 months, the project has suffered delays due to inconsistent funding.

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    In a bold corrective move, the Ministry is now demanding that MTN commit N15 billion monthly to keep the project on track. Lawmakers in Enugu and Anambra States, alarmed by potential cost overruns of up to 200% beyond the original budget, have also piled pressure. The Ministry has since issued a 10-month ultimatum to MTN: meet funding obligations or risk contract termination. Through these assertive reforms and funding shifts, the Ministry of Works is rewriting the rules for infrastructure delivery in Nigeria—prioritising results, enforcing discipline, and forging new partnerships to ensure that road projects finally meet the expectations of Nigerians.

    To fast-track delivery on major  highway projects, the Ministry of Works is adopting a bold new approach—dividing projects among multiple contractors and opening the remaining sections for competitive bidding. This strategy, aimed at accelerating execution, enhancing safety, and enforcing fiscal discipline, marks a significant shift from the traditional all-in-one contractor model that often led to delays. Under the Infrastructure Tax Credit Scheme, Dangote Industries Limited, BUA Group, and Nigeria LNG (NLNG) are currently executing a total of 21 road projects across the country, collectively valued at N1.338 trillion. These projects are separate from those funded by the Nigerian National Petroleum Company Limited (NNPC), highlighting growing private sector involvement in public infrastructure.

    The NNPC, through Tax Credit Scheme Phase I, is financing 21 roads covering 1,804.6 km at an approved cost of N621.24 billion, of which N247.7 billion has already been drawn. Under Phase II, it is undertaking 44 roads totalling 4,554.19 km, with an estimated cost of N3.969 trillion. However, the Federal Executive Council (FEC) has approved only N1.97 trillion, creating a funding gap of over N2 trillion. Combined, inflation-related adjustments have pushed the overall funding shortfall across both phases to an estimated N3.56 trillion.

    Beyond NNPC and the major conglomerates, other corporate participants include Mainstream Energy Solutions, Transcorp Group, GZI Industries, and Access Bank, all contributing to road development under unspecified contract scopes within the N1.338 trillion umbrella.

    In parallel, the government is reinvigorating the Highway Development and Management Initiative (HDMI)—a long-term framework designed to hand over road development and tolling to the private sector through build-operate-transfer concessions. Reactivated under President Tinubu, the HDMI is aimed at making roads bankable, attracting bond market funding, and ensuring sustainability by allowing concessionaires to collect tolls for up to 25 years. The idea is simple: fix it, toll it, and maintain it.

    Despite being approved in 2021, the first major HDMI concession was stalled by bureaucratic red tape—each year of delay inflating costs by roughly 20%. It has only recently been relaunched under a new, result-driven framework. Key projects under HDMI now set for upgrade include Benin–Asaba, Lagos–Abeokuta, Enugu–Port Harcourt, and Sagamu–Benin. Once completed, travel time on these routes is expected to drop by over 50%, boosting trade, slashing logistics costs, and improving overall connectivity.

    Renowned economist Bismarck Rewane has hailed HDMI as a “game-changer”, noting that the initiative will reduce government spending, enhance road quality, cut travel time, and improve security through technology-enabled patrol systems. With only 31% of Nigeria’s 195,000 km road network paved, the urgent need for innovative financing and efficient execution has never been more apparent. And with the current reforms, Nigeria may finally be laying the asphalt for lasting infrastructure transformation.

    In a bid to unlock greater value and efficiency, the Central Workshop in Ijora, Lagos, is being considered for rehabilitation and concession under a Public-Private Partnership (PPP). The existing contract with BETA Transport Nigeria Ltd is under review to ensure optimal returns for the Federal Government, though no cost or timeline has been disclosed. To bridge persistent funding gaps in infrastructure, the government has secured support from the African Development Bank (AfDB) for key sections of the Coastal and Trans-Saharan highways, with firm backing from Mike Salawou, AfDB’s Director of Infrastructure and Urban Development. A separate €25 million grant from Dutch investors is also being pursued for the construction of priority bridges. These moves reflect a broader recognition that fixing Nigeria’s road deficit and managing its infrastructure debt overhang requires innovative financing models. It aligns with President Tinubu’s Renewed Hope agenda, which emphasizes public-private collaboration to fund critical development.

    Despite tight economic conditions, the Federal Government remains committed to sustaining momentum on major road projects. However, inflation has driven the need for contract reviews, with a N2.7 trillion funding gap from revised tax credit projects now awaiting National Assembly approval.

    Pragmatic Embrace of Concrete Technology

    In a marked shift from convention, the Federal Ministry of Works has, over the past two years, embraced Continuously Reinforced Concrete Pavement (CRCP)—not as a policy ideology, but as a practical response to the persistent failure of asphalt roads in flood-prone and high-traffic regions. Minister David Umahi cited States like Delta and Kogi, where asphalt roads repeatedly deteriorate, as examples now benefiting from the more durable and cost-predictable concrete solution.

    Concrete is now central to several high-priority projects. Sixty kilometres of the Abuja–Lokoja highway have been approved for concrete paving, while one carriageway of the massive 744-kilometre Kaduna–Sokoto dualisation project will also adopt concrete. Following the termination of Julius Berger’s contract on the Abuja–Kaduna Expressway, the new contractor, Infiouest International Limited, has already commenced work using concrete. This transition has been supported by improved production capacity and stabilised pricing from local cement manufacturers, particularly BUA Group. The Ministry is confident that concrete roads can be scaled sustainably without compromising quality or budget discipline.

    Despite resistance—largely from entrenched interests—Minister Umahi stressed that asphalt has not been banned. Contractors are free to choose between concrete or asphalt, provided any redesign does not impose additional costs on the government and adheres to prescribed engineering standards. To enforce quality, new standards mandate a 70% stone base, replacing dust-laden mixtures. Non-compliant contractors risk contract termination. When unexpected hikes in cement prices threatened to derail implementation, Umahi swiftly engaged manufacturers, securing a price drop that helped sustain the rollout of concrete roads. He emphasised that these prices had initially been guaranteed during stakeholder consultations, which had encouraged the Ministry’s bold adoption of the concrete model.

    Strict enforcement of contract obligations

    In a decisive departure from business-as-usual, the Federal Ministry of Works has launched a sweeping review of major infrastructure contracts—aimed at eliminating underperformance, curbing inflated costs, and enforcing modern project standards. Flagship corridors such as the Abuja–Kano highway, the Lagos–Calabar Coastal Highway, and the Sokoto–Badagry corridor are now being redesigned to include innovations like service lanes, CCTV surveillance, and security lay-bys.

    Under the Ministry’s new regime, mobilization fees are now strictly tied to performance. Contractors must show 30 days of verifiable progress before they qualify for a 30% advance payment. This performance-based disbursement model is being applied across all federally funded road projects, replacing the old system where funds were disbursed without guarantees of delivery. Contractors are also facing tighter controls on price variations. Gone are the days of arbitrary cost escalations under Variation of Price (VOP) clauses. From now on, any request for price adjustment must be justified through a comprehensive engineering assessment. This measure is a direct response to past abuses, where legacy contractors, including Julius Berger on the Abuja–Kano highway, inflated project costs without economic justification—leading to contract termination. Though Julius Berger continues to handle other Federal projects, the message is clear: non-performance will no longer be tolerated.

    The Ministry’s reforms are also rooted in transparency and compliance. For instance, the ambitious Lagos–Calabar Coastal Highway has undergone extensive regulatory scrutiny. It secured a Certificate of No Objection from the Bureau of Public Procurement (BPP), received Federal Executive Council (FEC) approval, and passed an Environmental and Social Impact Assessment (ESIA). Operating under an Engineering, Procurement, Construction plus Financing (EPC+F) model, the project shields the government from direct financial exposure while ensuring accountability.

    Compensation for displaced property owners, long a contentious issue, is now being addressed more proactively. On Section One of the Lagos–Calabar Coastal Highway, the Ministry has disbursed an initial N2.75 billion in compensation and raised the total offer to N18 billion. Although some affected residents have rejected the offer as inadequate, Minister Umahi expressed confidence in the Ministry’s legal footing, citing the thoroughness of due process. Furthermore, all compensations are now limited to verified property owners, with any exceptions requiring Presidential waivers. Oversight by National Assembly Committees has also intensified, bolstering public confidence and supporting timely appropriations.

    Umahi’s hands-on site inspections, emphasis on professional standards, and no-nonsense enforcement approach have heralded a new era of performance-driven infrastructure development. Himself an engineer, Umahi’s deep technical insight makes him difficult to sway with bureaucratic jargon. The policy direction is unmistakable: only those who deliver will remain engaged.

    Addressing allegations of project favouritism

    In response to mounting political commentary and scrutiny over the perceived regional imbalance in federal infrastructure distribution, the Ministry of Works has issued a data-backed rebuttal, firmly rejecting claims of favouritism. The figures speak for themselves: of the 2,735 kilometres covered under the Renewed Hope Legacy Projects, 1,414 km (52%) are in the North, while 1,321 km (48%) are in the South—a near-equal distribution reflective of the Ministry’s stated commitment to national equity.

    This pattern is echoed across other funding platforms. Of the 82 Sukuk-funded projects currently ongoing, 45 are in the North, while 37 are in the South. Similarly, out of 260 emergency repair interventions, 162 are situated in the North, compared to 98 in the South. Even the Road Infrastructure Tax Credit Scheme, largely driven by private sector participation, has 23 out of 44 projects in the North. In a further move to dispel regional bias allegations, the Ministry pointed to the September 2024 Federal Executive Council approvals, which included projects across all six geopolitical zones. These ranged from the 258-kilometre reinforced concrete highway in Kebbi and Sokoto, to the Gamboru Bridge repairs in Borno, the Bodo-Bonny Bridge in Rivers State, and the Afikpo-Uturu-Okigwe Road dualisation cutting across Ebonyi, Abia, and Imo States.

    With flagship road corridors like Abuja–Lokoja, Zaria–Gusau–Sokoto, and Kano–Maiduguri under active construction, the Ministry challenged critics such as Jadda Garko, who claimed northern exclusion. “Project selection is based on engineering necessity, economic impact, and national cohesion, not political geography,” the Ministry reiterated, noting that the current distribution marks a notable shift from the lopsided patterns of the past.

    As more than 80% of the N260 billion emergency works near completion, preparations are underway for President Bola Tinubu to begin commissioning a wave of infrastructure projects nationwide. But this progress is tempered by fiscal realities: of the over 2,000 projects inherited by the administration—collectively valued at N15 trillion—only N2 trillion in funding is currently available. In response, the Ministry has prioritized a set of economic corridor-defining roads under the Renewed Hope Legacy Projects. These include the Lagos–Calabar Coastal Highway, the Sokoto–Badagry Superhighway, the Abakaliki–Abuja Highway, the Akwanga–Jos–Bauchi–Gombe Highway, and the Abuja–Kano Expressway. The Ministry emphasises that unlocking the economic value chains embedded in these corridors is critical to national development and the drive to diversify Nigeria’s oil-reliant economy.

    Looking ahead, the Ministry pledged to deliver 150 kilometres of motorable roads per state in 2024, depending on contractor performance. While some contractors have been overwhelmed—holding as many as 17 concurrent projects—the government is exploring practical ways to streamline delivery without compromising standards. However, there is no conclusive evidence yet that the 150 km per state goal has been achieved. A more pragmatic approach to project execution is also taking shape. All dual carriageway projects will now retain one functional lane while the second is built incrementally, aligned with available funding. The once-automatic mobilisation fees have been replaced by performance-linked disbursements: contractors must now commence work immediately upon signing, and earn funding in phases based on verified progress.

  • Edo communities where herders, money lenders feast on farmers’ ‘blood’

    Edo communities where herders, money lenders feast on farmers’ ‘blood’

    • Shylock money lenders charge 100 per cent interest on loans, harass farmers over inability to repay

    • Pastoralists take over farms, feed animals with produce 

    • Hard times hit farmers as children drop out of school

    Farmers in many suburbs of Edo State have become pawns in the hands of shylock money lenders and ruinous herders.The money lenders  give loans to the farmers at throat-cutting rate of 100 per cent while herders vandalise their farms with impunity and feed the crops to their cows at harvest time. To worsen matters, the savage herders rape farmers’ wives, leaving them with lifetime trauma. The embattled people want  Governor Monday Okpebholo to apply the same energy he used in addressing the Uromi killings to their situation, INNOCENT DURU reports.

    Cynthia Buoh, a single mother of four is in serious distress.

    For the past 12 years, she has happily farmed in Okuesan, an agrarian community in Esan South East Local Government Area of Edo State, using the proceeds to cater for her young children.

    However, recent developments in the area have turned her from a breadwinner into a hopeless dependant.

    “Herdsmen have brought unimaginable loss to my investments and made life unbearable for me  and my children,” Cynthia said as she began narrating her ordeal.

    “I have farmed around Okuesan for about 12 years. The herders’ menace began about three years ago but it has taken a worrisome dimension in recent times.

    “They vandalised my farm just last week. I was not on the ffarm on that very day, but there was a day they met me on the farm.  When I challenged them, they started threatening me.

    “As a female, I had to run away because I didn’t have the power to confront them.

    “When we  put makeshift fence around our farms, the herders pulled down everything and invaded our farms with their cows.

    “They fed their cows with all our cassava. We are afraid of going to the farm this time around to avoid being attacked byherdsmen.”

    Cynthia’s predicament is compounded by the fact that the money she invested on the vandalised farm was a loan which she took at a throat cutting 100 per cent interest. “I took a loan of N500,000  which I invested in my farm. Unfortunately, herders came and vandalised the  farm.

    “I am to pay an interest of N500,000 on the N500,000  loan that I took,” she said in an emotion laden voice.

    She said she had been battling with depression for some time as “my creditor is really on my neck to pay back the loan with the interest.

    “I had only paid back about N200,000 before the herders invaded my farm and vandalised everything.”

    As a mother of  four children, Cythia said  taking care of them has been challenging, especially now that her means of livelihood has been destroyed and a huge debt is hanging on her neck. 

    Her survival and that of her four children now “depends on whatever help I get from relations and the little money I make from making and selling pap.”

    Following the unfortunate situation she has found herself in, Cythia’s children’s academic dreams now hang in the balance.

    “We are not talking about the children going to school at the moment.

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    “My concern is about how they can first of all eat and  survive and not about education,” Cythia said with palpable hopelessness.

    It was also a tale of woes when our correspondent encountered Ijeoma, another single mother farming in Okuesan.

    The mother of five said she had been farming in the area for 15 years before herdsmen came and threw spanner in her thriving business.

    “They still invaded my farm a few days ago. They pulled out everything and made a mess of my efforts and investment,”Ijeoma said amid tears.

    “Farming has been my only source of earning a living to cater for my family.

    “To make the yield boom, I always take out loans with huge interest. Now I can’t recoup the capital let alone make profits that I can use to pay back the loans and the interest.

    “Life has never been this terrible for me and my children.”

    Recalling her near death experience with the herders, she said: “There was a day they met me on the farm and started feeding my produce to their cows.

    “When I protested, one of them started brandishing a dagger to my face.  Sensing danger, I ran as fast as my legs could carry me with the baby I carried on my back.

    “I ran into our community to inform them about my experience, but there was nothing they could do because we are all going through the same problem.”

    Asked how she has been surviving, Ijeoma said: “I depend on what I get from kind hearted people. I also go out to do odd jobs in order to get money to take care of my children.”

    Like Cynthia, Ijeoma said her children have also dropped out of school. “I don’t know what they will be able to learn without food in their stomach.

    “It is an anomaly to ask children to start going to school in the morning when there is nothing for them to eat.

    “I really don’t  know what they will end up learning with empty stomachs.

    “I believe they will find their levels later in life.”

    A male farmer in the community, Godwin Chiwunba, is also bedevilled by the same problem the women face.  “I took a loan of N500,000 to pay back N1million, that is the loan was taken at 100 per cent interest rate.

    “We often take the loan from individuals because that is the only hope we have to get money to farm,” he said.

    After happily injecting the money into his farm, Godwin can longer go to the farm because of herders’ menace.

    He said: “My farm is on 15 acres of land. I planted yam, maize and cassava, among others.

    “The herders have consistently done massive damage to my farm.

    “They attacked my farm last month, and just last week, they invaded the farm twice.”

    Reliving his encounter with the herders, Godwin said: “I once met them on my farm, and once you challenge them, they will be angry and start threatening you. They will even chase you out of your own farm.

    “If care is not taken, they will cut you with their machete. 

    “They uprooted my cassava and gave it to their cows. I couldn’t do anything because they were armed.

    “It has even been very difficult for me to feed my family.

    “To make matters worse, my creditors are disturbing me to pay back the loan.”

    With the loss of his investment on the farm, Godwin says he does not know how he will get money to repay the loan and the interest.

    “I am stranded,” he said despondently, adding, “I had paid back just a small part of the loan. I am not doing anything now.”

    Like Cynthia and Ijeoma, Godwin said “my children are not going to school anymore. I have five children and they are all at home.”

    More farmers in Esanland relive ordeal

    The silence of relevant authorities in the face of brazen oppression by herders in Esanland is believed to be emboldening them.

    Mpeke, a farmer in the area, described the herders as lords of the farms. “They control the farms and determine our fate. Some of them are armed with guns, so if you dare challenge them, you will be a dead man.

    “It is worrisome that they rape women on the farm. I heard that there was such an ugly development in one of the farms recently.

    “If males cannot resist the herders, is it women that will?

    Also corroborating the claims that money lenders charge 100 per cent interest rate on loans, Mpeke said: “It is true. I collected N700,000 to pay back N1.4 million.

    “Paying back wouldn’t have been a problem but for the wickedness of the herders.”

    Asked how he has been coping, Mpeke said: “They have rendered many of us idle and incapable of taking care of our children.

    “I have seven children. I have sent five of them to my mother because of the hardship caused by herdsmen.

    “They are not going to school again because I don’t have the money to feed them, not to talk of paying their bills in school.

    “How can someone battling with how to repay loans with the interest have money send children to school?”

    Also reliving his ordeal, Anierobi Sunday, who farms in Ubiaja area, said: “The herders destroyed my farm last year and also this year.

    “They destroyed more than two acres of cassava farm. I am looking for where to borrow money to inject into my farm. 

    “The little money I had had been used to clear my farm. Even the money I used to clear the ground was borrowed.

    “Here, if you borrow N500,000, you will pay N1 million back. The interest rate is 100 per cent.”

    In spite of the losses that he has suffered, Anierobi said he would not give up. “I am still prepared to continue farming. It is not that I am not afraid of the herders. I am, but farming is all I do. It is my only means of earning a living.”

    Etsako farmers also plagued by herders’ attacks

    Aside from Esanland, findings showed that farmers in many areas of Etsako are also living at the mercy of ruinous herdsmen.

    Narrating his ordeal, Musa Auwal, a  farmer in Weppa area of Etsako East Local Government Area, said: “The herders have shown us hell.

    “One of my farms has been vandalised by herders. They attacked the farm two weeks ago.  The farm is over two hectares. I am afraid of going to the other one I have.

    “If you meet them on your farm and ask them to leave, they will start pursuing you.

    “They used to uproot the cassava from the ground to feed their cows.”

    Musa agonisingly noted  his investment on the farm was through a loan. Unlike the farmers in Okuesan who took loans at 100 percent interest rate, Musa said the loan he took was at 25 percent interest.

    “I took a loan of N500,000 and invested it on my farm. I am to pay back the loan with 25 per cent interest. 

    “I always hire and pay for a tractor to work on the farm. I  don’t know how I will pay back the loan.

    “I am very confused as I am talking to you now. Agriculture is my only source of livelihood. It is my only means of earning a living to cater for my family.”

    Another farmer in the community, Balogun George, told our correspondent about how herders led their cows into his mother’s farm and ate up the produce. “The herders fed all the cassava on my mother’s farm which is about five hectares to their cows.

    “The farm is one and a half kilomteres from Leventis Yard.

    “The farm was vandalised last Wednesday. Nobody was on the farm when they  did the devilish work.”

     Apart from his mother’s farm, George said the herders also destroyed the farms of one Ayegbeni and Ozema.

    “When we  approached Idris, one of the herders in our community after the incident happened, said we should meet the other group of herders  because his own workers don’t go towards my mother’s farm.

    “When we met the other group, they still referred us back to Idris. Subsequently, they asked us to go and meet another herder. Unfortunately, that herder is in Okene. It is his family members that are staying here.  

    “We don’t know who to hold responsible following the way they are tossing us around.”

     Consequent upon the brutish activities of the pastoralists, George said, “we are afraid of going to the farm. If they could kidnap our chiefs, who are we that they cannot kidnap us? 

    “The menace of the herders is really affecting our production here. 

    “We have all it takes to farm, but we are afraid to go to the farm.”

    Recalling a recent  attack on a member of the community, he said: “Our youth leader was attacked in November last year. He was cut with a machete.

    “When we mobilised and went to the herders, they said they didn’t know those that did it.  They said it could be herders that were passing by that attacked him.

    “The youth leader said he saw those herders using their cows to destroy crops, and when he protested against their action, they attacked him and ran away. ”

    Berating the  state government for its indifference to their plight George said: “The government isn’t doing anything about it. It is when the problems affect them that they rise. 

    “They don’t know what we the villagers are going through.”

    A farm tractor driver who identified himself as Pastor Blessing described the menace of herders in the community as alarming.

    “They have created serious fears in us such that we can no longer go to farm freely. 

    “When you get to the farm with the current situation and meet them there,  confronting them could lead to your death.

    ‘When people see them on their farms, they rather run back home than confront them and risk being killed.”

    Speaking on recent attacks by the herders, he said: “My brother had his farm vandalised last week by the herders. Unfortunately, the cassava they destroyed was already mature for harvest. The herders led their cows into the farm and destroyed everything.”

    Apart from vandalising farms, Pastor Blessing said, “there was a time the herders were raping our women on the farm.

    “Once they met a woman on the farm, they would forcibly have intercourse with her.

    “There are places where people can longer go to farm in this Weppa area. The only place where people can manage to farm now is Leventis Farmland. 

    “Places that are close to the railway line are no-go area for our people to farm. Once the herders attack anyone around that area, they will escape through the rail line.

    “There were people who had cultivated their farmlands there, but when the herders started their troubles again, the farmers abandoned their farms.”

    Protest in Agbede over herders’ oppression

    The menace of herdsmen in Agbede community, a suburb of Etsako West Local Government Area of the state, came to a head last month when the people staged a protest to draw public attention to their predicament. The people lamented that kidnapping and killing in the community had been unabated and that the surrounding villages and forests had been take over by herdsmen they accused of killing and maiming those who could not pay ransom, raping women and dislodging farmers from their farmlands.

    According to them, Agbede and the surrounding villages, including Odighie, Egono and Awain, have been under siege in the last two months, and efforts to get the assistance of the police in the area have been futile as they accused the police of complicity.

    They alleged that a senior police officer from the northern part of the country was covering up the criminals.

    “Farm destruction, killings, rape and kidnapping for ransom have become disturbingly common, and the police, instead of protecting the communities, seem to be aiding and abetting the Fulani herders against the aborigines.

    “The DPO at the Agbede Police Station, the Police Area Command in Auchi and the Zone 5 office in Benin are not helping matters as we are suspecting them to be backing the herders with lining orders, which is now creating fear among the people regarding their genuine protection and safety.

    “Mamudu Momoh was attacked on his farm after he met some herdsmen taking over the farms, uprooting his cassava to feed their cows, and, in the process, he was attacked and injured.

    “He went to the Agbede Police Division to report the case, but the case was later turned against him.

    “He was arrested and taken to Zone 5, where he was detained.

    “The community spent a lot of money to secure his release.

    “There is another farmer in the community, Idris, who has been kidnapped by the herdsmen for over a month now and ransom has been paid, but the man is yet to be released till today.

    “We are asking the Inspector General of Police to withdraw the DPO of Agbede Police Division who is a Northerner, without which the Agbede community will never know peace in the hands of the herdsmen who are everywhere in our bush claiming to be hunters.”

    The Police Public Relations Officer of the Edo State Command, CSP Moses Yamu, however, debunked the allegations, saying that the officers and men of Agbede Police division were working round the clock to deal with the herdsmen menace in the area.

    He said the police in Agbede, with a backup from Auchi Area command, had arrested more than 10 suspected kidnappers from that axis,  and they were being investigated.

    CSP Yamu also said the Agbede community was not fair to the police in their protest, especially to the Zone 5 Command, saying that the AIG of the zone had assumed duty less than two weeks. So, the community to accuse the police of aiding and abetting herdsmen in their areas is unfair.

    The PPRO said the Edo State Police Command would continue to make efforts to repel the menace of kidnapping and other criminal activities in the state.

    Farmers appeal to Okpebholo for assistance

    The embattled farmers have appealed to Edo State governor, Monday Okpebholo, to come to their aid and save them, particularly from the threats of herders to their lives and farms.

    “The governor should use his good offices to deliver us from these oppressive herders. Our children are out of school and starving because we have lost our farms to herdsmen.

    “In addition to that, our creditors are not giving us any breathing space.

    We saw the energy he put into addressing the Uromi killings, but he has not applied such to the terror being unleashed on us, his own people, by the herdsmen.

    “Does it mean he prefers to please and appease the herders while closing his eyes to the sufferings of his own people?,” a farmer who gave his name simply Emma said.

    Also appealing to the governor, Cythia said: “Governor, please come and save us. I am a single mother who relied solely on farming to take care of my children.

    “Now that they have destroyed the farm and the produce and even chased us away, how do I cater for my children?

    “There are many single mothers like me in this condition. Please help us.”

    Concerns over high interest rate on loans

    The high rate of interest paid by the poor rural farmers raises concerns about the country’s preparedness to surmount the challenge of food insecurity.

    The Bank of Agriculture (BoA) pegs its interest rate  at 14% for agricultural production, but many rural farmers lack access to it.

    This explains why poor farmers resort to taking loans from shylock lenders. Incidentally, online search revealed that rural farming makes significant contributions to food production by providing a substantial portion of the world’s food supply, especially for developing countries.

    “Smallholder farmers, often in rural areas, produce a large share of the food consumed globally, and their work is essential for food security, nutrition, and economic development.”

    Edo government yet to respond

    Edo State government was yet to give a concrete response to our inquiry as at the time of filing this report.

    While the Commissioner for Information and Communications Paul Ohonbamu did provide any answer to our text message, the Chief Press Secretary to the governor, Fred Itua,  asked via a text message: “Good afternoon. What happened to the reporter in Edo, Please?”

    The CPS gave no further response after our correspondent informed him that nothing happened to the reporter in Edo State.

  • Our lives in ruins, mothers of five children found dead in abandoned vehicle lament

    Our lives in ruins, mothers of five children found dead in abandoned vehicle lament

    May 4, 2025 was a black Sunday for residents of Agyaragu community of Obi Local Government Area, Nasarawa State. It was the fateful day that five children aged between four and seven years and belonging to three different parents got missing in mysterious circumstances only to be found dead in a vehicle that had been abandoned for more than 10 years.

    The affected families were those of Mrs Bridget Iormagh, Mrs Ifeoma Mnaji and Mrs Ukeria Onah, staying in different compounds in the same neighbourhood. While 49 years old Iormagh lost her only daughter, five-year-old Eunice, Mnaji, whose husband died only recently lost her only two daughters seven-year-old Mesoma and four-year-old Chidinma, and Onah also lost her two daughters Kamsi (5) and Soma (3).

    Looking frail and fatigued, Mrs Mnaji betrayed emotions as she spoke with our correspondent who visited the community to get first hand information about the circumstances surrounding the death of the five children.

    Flanked by three women on whose shoulders she leaned, she barely trudged from the living room to the parlour, having just returned from the hospital where she was resuscitated from the shock of her daughters’ death. She sank into a cushion chair, obviously meditating on the death of her husband seven months ago and now those of her only two children.

    On hand to comfort her were relations and friends when our correspondent, accompanied by some elders of the community, got to the house.

    In a brief chat with our correspondent, the distraught widow explained that she was yet to recover from her husband’s death seven months earlier only for her two children to join and leave her lonely.

    She said: “I cannot tell what could have happened. I went to the church with the children and we came back together.

    “I had planned to go to Lafia and greet my husband’s people who had assisted me in taking his corpse to the village for burial, because I had not gone to see them since then.

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    “So, when I was about to go, the children came and said they wanted to eat, and I gave them rice.

    “In fact, the five of them were together and they ate together.

    “When they finished eating, they said Mum, give us water, and I gave them water.

    “I then told them that I would rush to Lafia and return immediately.

    “I asked them to go to the house of Mummy Kamsi (an Igbo woman in the next compound who also lost her two daughters).

    “My daughters said they wanted to play here in the compound but I insisted that if they wanted to play, they should go to Mummy Kamsi’s house and paly.

    “But my daughter said when they were done playing here, they would go there. They then bid me goodbye and said buy ‘awala’ for us when coming back. I said okay and left.

    “When I was coming back around 3pm, I saw people standing in my compound, saying the mother of the children is back, and I was wondering what could have happened.

    “I was thinking they probably committed an offence, so I asked what happened, and they said they had been searching for my children.

    “I said my children? But l left them here. So, we started looking for them.

    “We hired an ‘okada’ (motorcycle), searching everywhere in Agyaragu community, including the market, but nobody claimed to have seen them.

    “I came back, rushed to the church and told God that wherever my children were, He should please release them to me.

    “So I came back home as my husband’s people quickly came down from Lafia, because I had called to tell them what happened.

    “The Tiv woman (Iormagh, who stays in the next compound) also came looking for her daughter, insisting that I should open my door so they could check.

    “She said since they were playing together, they might be sleeping inside. But I said no, because I had locked my door before going out. But she insisted and I opened, but the children were not there.

    “As we were coming out of the room, a neighbour, who stays in same compound with us and runs a medicine store by the roadside went straight to the car and shouted, ‘Jesus, see them here in the car!’

    “They rushed to open the car and started bringing them out. All the five children were dead.”

    The distraught mother said she did not want to see her children’s bodies, so she headed straight to the church to cry her heart out.

    Mnaji said: “I didn’t want to see them. I went straight to the church and started crying.

    “I don’t normally leave my children at home, because wherever I went, I used to go with them.

    “I hardly left them behind, but because I was in a hurry that day to go and greet my husband people, I wanted to go and come back as fast as possible to prepare them for school resumption the following day.

    “My children didn’t normally play around the car. It has been parked there for so many years.

    “My question is how did they open the car? The rust alone should make the car doors too strong for the small children to open.

    “I know that the heat in the car can affect them because it is parked in the sun. But how can the small children open a long abandoned car with rust? That is what is killing me.

    “The doors must have become very strong for them to open, and all the five of them packed themselves inside.  How?”

    Bursting into tears, the distraught widow said: “They are the only children I have. I lost my husband about seven months ago. They are the only two children I have.

    “As you are seeing me now, no husband, no children, it is only me and my God. I asked God, why can’t you take me so that I will rest?

    “My husband that died is better off, because he didn’t experience this.

    “I know what I am passing through. My husband died, they buried him. Just seven months after, I will carry my only daughters to the village to bury them.”

    Mnaji said before setting out on her trip to Lafia to greet her in-laws, her daughters had bid her goidbye and asked her to buy ‘awala’ for them when coming back, not knowing she would never see them again.

    “God, you should have taken my life so that I can meet my husband. You should leave the children. Why taking them away leaving me lonely?” she queried.

    In the next compound, Mrs Onah, who also lost two of her daughters, wept bitterly as she narrated her experience.

    She said: “We went to the church in the morning and came back. After eating, I left the children at home to attend a women’s meeting and left them with my sister.

    “Mrs Ifeoma Mnaji had earlier before going to Lafia to greet her husband’s people told me that she would want her children to stay in my house together with my children

    “When she was going to Lafia, she came to my house to inform me.

    “I asked her where were the children, and she said they were playing in the compound but she had asked them to come over. I said okay.

    “When I came back from the meeting, I didn’t see them, so I started looking for them.

    “We went round Agyaragu community but did not see them. It was in the process of looking for them that one man, we call him Doctor, he runs a Chemist, he came and opened the door of the abandoned vehicle and we discovered the children.”

    Mrs Onah said she had three children all together, one boy and two girls, but the two girls died.

    “My life is ruined and there is no hope for me again to bear children. I’m not young again. My life will never be the same again,” she said, bursting into tears.

    In the next compound where Mrs Bridget Iormagh also lost her only granddaughter, five-year-old Eunice Shapera, having previously lost all her biological children and decided to bring Eunice to stay with her, she narrated her experience as follows: “What happen is that, on Sunday 4th May, 2025, I went to the church with my daughter. When we came back, I went out briefly to buy something by the roadside.

    “When I came back, I did not see my daughter again. Her popular name is Bose, but her name is Eunice Shapera. She was five years old.

    “So, when I could not find her, we decided to go round Agyaragu community area on a motorbike, looking for her alongside the other two women staying very close to my compound, whose children too were missing.

    “We could not find them, so I personally came back to one of the Igbo women Mrs Ifeoma Mnaji’s compound and asked her to open her room so that we could check inside.

    “Since they were playing together with her children, may be they fell asleep inside her room, because it was in the afternoon and they had finished eating after church service. But she insisted that she locked her door and went out with the key, so the children could not be in her room.

    “We insisted, and in the process of opening her door, one Igbo man who stays in the same compound with Mrs Ifeoma Mnaji, we popularly call him Doctor, he owns a chemist outside the compound, he was the one who went straight to the abandoned vehicle in the compound and forcibly opened the door and said see the children here.

    “Then I saw my Bose and the other four children dead inside the car.

    “The doctor, who owns a Chemist and stays in the same compound, had earlier assisted the three women in going round the community looking for the children before he later discovered them in the car.

    “My daughter didn’t normally go into the compound where the abandoned vehicle is parked, because there are dogs there and she is always afraid.

    “I don’t know how God designed it that day that she joined the children in playing in the compound. She was always at my doorstep and hardly went out to join other children in playing

    “Eunice Shapera was actually not my biological daughter; she was my granddaughter. I lost all my biological children in the past and decided to bring Eunice to stay with me so that life would not be lonely for me. Again, God has taken her away from me.”

    The police have since commenced investigation into the circumstances surrounding the death of the five children, and a lot of arrests have been made.

    Among those arrested were the owner of the house and the owner of the car. They were being detained by the police. The deceased children were yet to be buried at press time.

  • CBN’s financial results signal renewed stability, economic confidence

    CBN’s financial results signal renewed stability, economic confidence

    The Central Bank of Nigeria (CBN) has posted a remarkable financial turnaround, moving from a deficit of N1.3 trillion in 2023 to a surplus of N165 billion in 2024, according to its Consolidated and Separate Financial Statement for the year ended December 31, 2024. During the same period, Nigeria’s external reserves rose from $36.6 billion to $38.8 billion. These gains underscore the impact of the CBN’s deliberate and strategic policy measures aimed at revitalising the economy, reinforcing financial stability, and rebuilding public trust, reports Assistant Editor COLLINS NWEZE.

    Achieving significant gains across key performance indicators is no small feat for any large institution—especially when that institution serves as a financial sector regulator. That is why the release of the Central Bank of Nigeria’s (CBN) 2024 financial statements has been met with widespread interest. The report showcases the CBN’s renewed commitment to economic stability, strategic financial stewardship, and disciplined policy implementation. Notably, the bank recorded improvements in external reserves, asset quality, cost management and overall profitability—hallmarks of a regulator determined to restore confidence in the economy.

    In the statement of directors’ responsibility, CBN Governor Olayemi Cardoso affirmed that the consolidated and separate financial statements were prepared in all material respects in accordance with the International Financial Reporting Standards (IFRS). This adherence to global best practices underscores the bank’s pursuit of transparency and accountability. One of the headline achievements is the growth in Nigeria’s external reserves—from $36.6 billion in 2023 to $38.8 billion in 2024. This increase reflects stronger portfolio inflows, higher diaspora remittances, and improved receipts by the Federal Government, supported by growing investor confidence in Nigeria’s economic outlook.

    The reserve accretion was further enabled by enhanced coordination with the Nigerian National Petroleum Company (NNPC) and the bank’s proactive diaspora engagement strategies. Additionally, prudent investment decisions and portfolio management played a central role in boosting the bank’s foreign reserves position. There was also improvement in revenue trajectory, with the bottom-line rising from a deficit position of N1.3 trillion in 2023 to a surplus of N165 billion in 2024. The apex bank explained that this turnaround is a direct consequence of effective containment of expenditure, gains on investments made by the Bank and increased income from foreign exchange transactions.

    The financial statements also show a notable reduction in loans and receivables from N16.1 trillion to N11.9 trillion. This is primarily attributed to significant recoveries from earlier intervention lending programmes, a deliberate policy shift away from intervention lending and monetary financing through ways and means in line with the Bank’s new stance on allowing market mechanisms to drive credit allocation and financial sector development.

    Operating expenses in 2024 were well-managed and optimised, reflecting a cost-conscious culture. This was achieved through strategic cost rationalization initiatives, including reduction in non-essential spending and streamlined operations across regional branches and departments.

    Also, one of the notable upticks in the Bank’s expenses in 2024 was related to liquidity management operations. These costs rose to N4.5 trillion from N1.5 trillion in 2023. This increase was in tandem with the tightening monetary policy stance adopted to combat inflationary pressures throughout the year. In pursuit of that, the Bank conducted more frequent and higher-value Open Market Operations (OMO) to mop up excess liquidity arising from fiscal injections at a significant cost. This is a responsibility the CBN carries out on behalf of the Federation—a role that, in some jurisdictions, is directly funded by the government.

    The financial statements also indicate a significant rise in losses on settled derivative contracts, increasing from N6.3 trillion in 2023 to N13.9 trillion in 2024. This spike is directly linked to the high volume of derivative contracts settled by the Bank during the year. These were largely legacy transactions inherited by the current management upon assuming office. The proactive settlement of these contracts forms a critical part of the Bank’s broader strategy to reduce outstanding foreign exchange liabilities. By doing so, the Central Bank aims to lower its FX exposure, strengthen net foreign reserves, and improve Nigeria’s external buffer. This approach also seeks to restore investor confidence, enhance credibility in Nigeria’s forward markets, and resolve long-standing obligations in a transparent and responsible manner.

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    These reforms have collectively repositioned the CBN as a credible monetary authority, with its 2024 financial results serving as proof of its unwavering resolve to support economic recovery, safeguard financial stability, and build public trust. The financial statements also show a notable reduction in loans and receivables from N16.1trn to N11.9 trillion.

    This is primarily attributed to significant recoveries from earlier intervention lending programs, a deliberate policy shift away from intervention lending and monetary financing through ways and means in line with the Bank’s new stance on allowing market mechanisms to drive credit allocation and financial sector development. “In line with the provisions of the Fiscal Responsibility Act (the Act) 2011, 20 percent of the profit of the Bank will be credited to retained earnings while the balance will be paid to the Federal Government of Nigeria,” the bank said.

    Statement of directors’ responsibility signed by CBN Governor Cardoso said the summary consolidated and separate financial statements are prepared in all material respects, in accordance with International Financial Reporting Standards (IFRS) Accounting Standards. It is the recommended practice in the guideline as it affects CBN operations, the relevant provisions of the CBN Act No. 7, 2007 and the Financial Reporting Council (FRC) of Nigeria (Amendment) Act, 2023. According the report, the performance reflects the state of the financial affairs of the CBN together with its subsidiaries, its financial performance and cash flows for the year ended December 31, 2024.

    “The Board of Directors further accept responsibility for the maintenance of accounting records that may be relied upon in the preparation of the summary consolidated and separate financial statements, as well as adequate systems of internal financial control,” the report said.

    According to the apex bank, the group maintains a reserve of external assets consisting of Gold, Convertible currencies, Other foreign securities and International Monetary Fund (IMF) reserve tranche. It disclosed that gold reserves include monetary gold in the Statement of Financial Position at the prevailing closing spot market price as at reporting date. “Changes in the fair value of gold reserves arising from price changes as well as related foreign exchange gains and losses are recognized in profit or loss and applied prospectively in line with the revised 2024 FRC Guidelines. In the previous year, Gold was measured at fair value through other comprehensive income.

    “These are time deposits and balances with foreign banks and other foreign securities where the currency is freely convertible and, in such currency, notes, coins and money at call. These are securities of any country outside Nigeria whose currency is freely convertible, and the securities shall mature in a period not exceeding five years from the date of acquisition,” it added.

    The apex bank explained that the securities are further analysed into internally managed fund and externally managed fund. Internally managed fund is classified as amortised cost while the externally managed fund is classified as fair value through profit or loss. “All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole,” the report said.

    Assets re-classification

    The CBN also reclassified its investments in Africa Finance Corporation (AFC), Nigeria Deposit Insurance Corporation (NDIC) and Afreximbank. The investment reclassification from fair value through other comprehensive income (FVOCI) to fair value through profit or loss (FVTPL) was announced in the CBN’s Consolidated and Separate Financial Statement for the year ended December 31, 2024, released at the weekend.

    The report indicated specifically that only financial assets can be reclassified, and not liabilities, stating that: “The Group reclassified investment in associate (AFC) and its unquoted equity investments in International Islamic Liquidity Management Corporation (IILMC), NDIC and Afrexim from FVOCI to FVTPL in 2024. “The Group determined that its investments in Nigeria Deposit Insurance Corporation (NDIC) are ordinary investments of the Group although the Group owns 60 per cent. The Group cannot exert control or significant influence on the relevant activities as it has no power to appoint the board members. The financial results showed that the CBN Group’s investment in AMCON of 50 per cent is held on behalf of the Federal Government of Nigeria in capacity as Banker to Federal Government of Nigeria,” it said.

    Continuing, the report said: “The Group also determined that its investments in Nigeria Interbank Settlement System (NIBSS), FMDQ-OTC Plc, Bank of Industry (BOI), Bank of Agriculture (BOA), National Economic Reconstruction Fund (NERFUND), Nigeria Commodity Exchange (NCX), Nigerian export Import Bank, Agricultural credit guarantee scheme fund and NIRSAL Microfinance bank are associates of the Group, although the Group owns a 3.6 per cent, 15.4 per cent, 40 per cent, 14 per cent, 3.6 per cent, 59.7 per cent, 50 per cent, 40 per cent, and 15 per cent respectively in the investees.”

    The Group has significant influence over NIBSS, FMDO-OTC, BOI, BOA, NERFUND and NCX through its representation on the board of directors. Financial analysts said reclassification of assets or shares is a process that allows a company to modify the structure of its shares, including their rights, preferences, and number of shares outstanding. This can be an important tool for adjusting the capital structure, improving governance, or addressing changes in the business environment. The CBN explained that the reclassification was done in line with Financial Reporting Council Guideline for 2024. This application is prospective and the cumulative gains in fail value reserves were not recycled through profit or loss in line with the FRC Guideline

    Key elements of reforms/policy measures

    The CBN has not only unified the exchange rates but recently took strategic step to enhance transparency and boost market confidence with the inauguration of the Nigeria Foreign Exchange Code (FX Code) in Abuja. The FX Code has so far ignited naira stability at both official and parallel markets. Cardoso, recently launched the FX Code, emphasising integrity, fairness, transparency, and efficiency as critical pillars for driving Nigeria’s economic growth and stability.

    He emphasised that the FX Code was built on six core principles: ethics, governance, execution, information sharing, risk management and compliance, as well as confirmation and settlement processes. These principles, he explained, aligned with international standards while addressing the unique challenges within Nigeria’s foreign exchange market. According to Cardoso, “The FX Code represents a decisive step forward, setting clear and enforceable standards for ethical conduct, transparency, and good governance in our foreign exchange market. The era of opaque practices is over. The FX Code marks a new era of compliance and accountability. Under the CBN Act 2007 and BOFIA Act 2020, violations will be met with penalties and administrative actions.”

    Cardoso also noted that the journey towards market reform is already yielding results. He stated, “The year 2024 was marked by structural reforms that sought to return the naira to a freely determined market price and ease volatility as several distortions were removed from the market.”

    Beyond the foreign exchange market, the FX Code forms part of the CBN’s renewed focus on compliance across the financial sector. Its six guiding principles, alongside 52 sub-principles, were designed to become the benchmark for conduct across all participating institutions.

  • CBN’s FX reforms narrow rate gaps, boost investor confidence

    CBN’s FX reforms narrow rate gaps, boost investor confidence

    In recent months, the gap between official and parallel market exchange rates has narrowed considerably, thanks to the Central Bank of Nigeria’s (CBN) commitment to market-driven pricing of the naira. This strategic move is not only enhancing transparency but also rebuilding investor confidence. With a blend of disciplined reforms and clear policy direction, the naira has stabilised at a more sustainable level against the dollar. Analysts agree that, with FX speculation no longer a viable option, the CBN must maintain its current policies to ensure long-term stability for the naira against global currencies, reports Assistant Editor COLLINS NWEZE.

    For decades, efforts to bridge the gap between official and parallel market exchange rates in Nigeria yielded little success. Foreign exchange speculation thrived, with round-tripping becoming rampant and speculators raking in billions of dollars through illicit transactions. That narrative began to change with the introduction of forex reforms led by the Central Bank of Nigeria (CBN), which significantly narrowed the disparity between the two markets. For example, while the naira currently trades at N1,599 to the dollar in the official window, it exchanges at N1,600 in the parallel market—reflecting a negligible difference of just N1.

    Commenting on the development, Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, noted that the renewed stability in the exchange rate has restored investor confidence and encouraged autonomous forex inflows through formal channels. He explained that Nigeria’s foreign exchange sources are now diversifying beyond oil, with significant contributions from diaspora remittances and export earnings.

    The improved exchange rate stability has drawn praise from market observers, including the widely respected Fitch Ratings, which recently upgraded Nigeria’s credit outlook. The agency cited several key reforms—such as the unification of exchange rates to curb arbitrage, the launch of an electronic FX matching platform, the adoption of a new FX code to enhance market transparency and efficiency, and the tightening of monetary policy to rein in inflation—as reasons for its positive assessment.

    Cradoso said: “The numbers speak for themselves. The difficult reforms that were undertaken have begun to bear fruits. The orthodox monetary policy is a route we can’t compromise on. For adopting orthodox monetary policy, we have been able to stabilise the macroeconomic credentials of the economy.”

    Cardoso said that the apex bank has strengthened its monetary buffers and positioned Nigeria to better withstand external shocks. “Indeed, the macroeconomic stability we are beginning to see today would not have been possible without these decisive actions. Nigeria’s external buffers have also strengthened considerably. Our foreign reserves now exceed $38 billion, providing nearly ten months of import cover. This robust buffer enables us to better withstand external shocks – whether from declining oil prices or global financial turbulence – thereby safeguarding our economy,” he said.

    Cardoso further revealed that in 2024, Nigeria posted a balance of payments surplus of $6.83 billion—its strongest in years—fuelled by growing exports and a resurgence of capital inflows. “At the same time, we are enhancing the strength of our financial sector. The banking sector recapitalization is well underway, with strong momentum and stakeholder alignment, and will ensure that Nigerian banks are fully equipped to support the real economy with greater scale, stability, and capacity.

    “At these Spring Meetings, our development partners expressed their confidence in Nigeria’s trajectory. Feedback from global investors and the Nigerian diaspora has likewise been overwhelmingly positive, reflecting growing alignment with our economic direction.

    “Nigeria is increasingly recognised as a rising economic force, admired for the resolve shown in implementing difficult but necessary reforms. These achievements, while encouraging, only strengthen our resolve to press forward. We will not be complacent. Instead, we will redouble our efforts to ensure these positive trends are sustained,” he stated.

    Continuing, he said: “To all Nigerians, these reforms are not easy, but they are delivering results. We have moved from a position of vulnerability toward one of growing strength, and our economic trajectory is beginning to turn positive. We return home mindful of global challenges yet filled with renewed commitment to stay the course and build on our gains in stability and resilience.”

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    Global investors go for Nigeria assets

    Speaking at the just-concluded Spring Meetings of the IMF/World Bank Group in Washington, D.C., during the Nigeria Investor Forum organized by JP Morgan, Cardoso reaffirmed that the adoption of orthodox monetary policies would be sustained. According to him, these measures have helped the Nigerian economy navigate a challenging path toward greater stability. He noted that foreign investors have taken notice of these reforms and have increased both their investments and commitments in the domestic economy. Cardoso also emphasised ongoing efforts to remove bottlenecks hindering investment flows and to close gaps in the foreign exchange market. He revealed that the Central Bank has been actively engaging with diaspora communities, who are now showing stronger interest in investing back home.

    Cardoso acknowledged that the global economy is currently navigating a period of heightened uncertainty, but noted that the Central Bank of Nigeria has, over the past 18 months, implemented bold reforms to strengthen the country’s economic fundamentals—even in the face of crises. “We have taken tough but necessary decisions, and as a result, we are building a more resilient economy,” he said. He pointed out that Nigeria now has a more competitive naira, describing it as a game changer that is expected to attract increased foreign direct investment (FDI) into the country.

    According to him, the prospects for FDI inflows have improved significantly, thanks to the more market-reflective exchange rate. He added that ongoing efforts to improve the ease of doing business will further boost investor confidence and support sustained capital inflows. JP Morgan has also announced plans to apply for a merchant banking licence from the Central Bank of Nigeria (CBN) in the coming months, as part of its broader strategy to deepen its footprint in Africa. In a report outlining its expansion plans on the continent, the American banking giant revealed intentions to upgrade its representative office in Lagos into a fully-fledged business branch. This move aligns with the bank’s ongoing efforts under the leadership of its CEO to strengthen its presence across key African markets.

    JP Morgan, which has maintained a representative office in Lagos since the 1980s, said the planned transformation reflects its long-term commitment to Nigeria and the wider region. “The New York based financial institution, managed in Nigeria by Dapo Olagunju will apply to the Central Bank of Nigeria for a merchant banking licence in the coming months,” the report said.

    If successful, the new U.S.-Nigeria entity will be able to offer dollar-denominated loans to large corporations, in addition to providing advisory and asset management services. This move aligns with JP Morgan’s broader strategy, championed by CEO Jamie Dimon, to expand the bank’s presence across Africa.

    As part of that strategy, Dimon visited Nigeria in mid-October, where he met with Central Bank Governor Olayemi Cardoso. He also travelled to South Africa—where JP Morgan already operates a subsidiary—and to Kenya. Prior to the trip, Dimon had emphasized his intention to gradually expand the bank’s African footprint, aiming to add one or two countries every few years. Since then, JP Morgan has opened offices in Abidjan, Côte d’Ivoire, and Nairobi, Kenya, as part of its deepening engagement on the continent. A core aspect of the bank’s African strategy is to support countries in issuing Eurobonds—a role it played in Nigeria’s 2024 fundraising on the international market.

    Preparing Nigeria for JP Morgan Index return

    The Director-General of the Debt Management Office (DMO) has disclosed that Nigeria is in advanced discussions with JP Morgan to re-enter the Government Bond Index (GBI)—a move expected to boost investor confidence and enhance the country’s visibility in global debt markets. She noted that Nigeria has recently enjoyed more favourable credit assessments from international rating agencies, largely due to the far-reaching economic and monetary reforms introduced by the Central Bank of Nigeria.

    In line with this trend, Fitch Ratings recently upgraded the Long-Term Issuer Default Ratings (IDRs) of seven Nigerian banks and two bank holding companies from ‘B-’ to ‘B’, assigning a Stable Outlook. According to Fitch, the upgrades reflect the improved sovereign credit profile of Nigeria, which now poses less of a constraint on the creditworthiness of individual banks.

    Fitch also upgraded Nigeria’s Long-Term Issuer Default Ratings (IDRs) to ‘B’ from ‘B-’ on April 11, citing growing confidence in the government’s commitment to broad-based policy reforms. The decision reflects approval of Nigeria’s shift to orthodox economic policies since June 2023, including the liberalisation of the exchange rate, tightening of monetary policy, efforts to curb deficit monetisation, and the removal of fuel subsidies. “These have improved policy coherence and credibility and reduced economic distortions and near-term risks to macroeconomic stability, enhancing resilience in the context of persistent domestic challenges and heightened external risks,” Fitch said.

    Nigeria was removed from the JP Morgan Government Bond Index in 2015, largely due to its departure from orthodox monetary policies and the imposition of capital controls in its foreign exchange management. Faced with falling oil revenues, the country introduced currency restrictions in an attempt to defend the naira, after efforts to stabilize the currency through the depletion of dollar reserves failed to stop its steep decline.

    Prior to the removal, JP Morgan had cautioned Nigeria to restore liquidity to its currency market and ensure that foreign investors tracking the index could transact freely and efficiently. The inability to meet these expectations ultimately led to the country’s exclusion from the index.  “Foreign investors who track the GBI-EM series continue to face challenges and uncertainty while transacting in the naira due to the lack of a fully functional two-way FX market and limited transparency,” the bank said in a 2015 note.

    Economic prospects remain positive

    Nigeria’s economy and businesses have much to look forward to in 2025, as the impact of economic reforms—particularly in the foreign exchange market, exchange rates, and substantial budget outlays—begin to yield positive results. Bismarck Rewane, Non-Executive Director of Parthian Partners, predicts that Nigeria’s economy will have exited the most challenging phase of its reform adjustments by 2025. He emphasised that the key to this recovery will lie in the strategic implementation of policies and the continued strengthening of institutional reforms. He underlined the critical role of investment in driving economic growth. “Revenue alone is not enough,” Rewane stated. “Investment is key, but it will be influenced by confidence, transparency, and the right policies.”

    Rewane also highlighted ongoing challenges such as inefficiencies in power supply and a lack of transparency in the oil and gas sector, noting that these issues require urgent attention through structural reforms. He projected that 2025 would be a year of recovery, describing it as “less hard, less painful, and less difficult” compared to 2024. According to Rewane, while 2024 was marked by significant difficulties, these challenges do not necessarily indicate that they will persist into this year.

    Meanwhile, Olufemi Shobanjo, CEO of NGX Regulation Limited, emphasized the critical role of liquidity in capital markets. He stressed the importance of initiatives aimed at enhancing investor confidence and ensuring the stability of the market.

    Macroeconomic indicators uptick

    Additionally, the Central Bank of Nigeria has taken strategic steps to address inflation. Recently, the CBN hosted the Monetary Policy Forum 2025, bringing together fiscal authorities, legislators, the private sector, development partners, subject-matter experts, and scholars. The forum, themed “Managing the Disinflation Process,” focused on key strategies for controlling inflation.

    Cardoso highlighted that the CBN’s primary objective is to maintain price stability. He also discussed the bank’s planned transition to an inflation-targeting framework, alongside initiatives aimed at restoring purchasing power and alleviating economic hardship. The CBN is continuing its disciplined approach to monetary policy, aimed at curbing inflation and stabilising the economy. “These actions have yielded measurable progress: relative stability in the FX market, narrowing exchange rate disparities, and a rise in external reserves to over $40 billion as of December 2024. The CBN also focused on strengthening the banking sector, introducing new minimum capital requirements for banks (effective March 2026) to ensure resilience and position Nigeria’s banking industry for a $1 trillion economy,” he said.

    To further improve the functionality of the foreign exchange market, the Central Bank of Nigeria introduced the Electronic Foreign Exchange Matching System (EFEMS), a tool that has proven effective in other global markets. The programme was designed to address forex market distortions, eliminate speculative activities, and promote transparency. EFEMS, which is commonly used in both developed and developing markets, provides real-time data on currency rates, trading volumes, and overall market activity. For many stakeholders, these initiatives under Cardoso’s leadership have not only revitalised the forex market and ensured long-term stability but have also laid a strong foundation for the broader economy and businesses to flourish.

    Battle against inflation intensifies

    The Central Bank of Nigeria’s policies, including the unification of the exchange rate, have spurred significant foreign capital inflows while reducing the bank’s intervention in the forex market. The floatation of the naira and the clearance of over $7 billion in FX backlogs have positively reshaped the country’s outlook among foreign investors. Multilateral organizations, including the World Bank, have hailed these as bold interventions that will enhance the economy’s long-term sustainability.

    Upon assuming office, Cardoso revealed that his leadership immediately prioritized rebuilding Nigeria’s economic buffers and strengthening resilience. Before his tenure, inflation, which had surged to 27%, was one of the most pressing challenges. This was largely driven by excessive money supply growth. While GDP growth had stagnated at just 1.8% over the previous eight years, money supply was expanding rapidly, averaging about 13% growth annually. This imbalance not only fuelled inflation but also led to a sharp depreciation of the naira. Cardoso emphasized that inflation creates significant uncertainty for both households and businesses, acting as a silent tax by eroding purchasing power and driving up living costs.

    Against all odds, the Federal Government has acknowledged the threat inflation poses to the welfare of Nigerians and is implementing strategic measures to bring the rate down to single digits while expanding investment opportunities for the economy. According to data from the National Bureau of Statistics (NBS), Nigeria’s inflation rate increased to 24.23% in March, up from 23.18% in February 2025. Cardoso said: “We recognize that inflation remains the most disruptive force to the economic welfare of Nigerians. Our policy stance is firmly focused on bringing inflation down to single digits in a sustainable manner over the medium term. Our goal is to restore price stability, protect household purchasing power, and lay the foundation for long-term investment.”

    The CBN Governor stated that the recent upgrade by Fitch Ratings, which praised the unification of the exchange rate to reduce market arbitrage, the introduction of the electronic FX matching platform, and the implementation of a new FX code to enhance transparency and market efficiency, is a clear indication that the reforms are succeeding. Additionally, Cardoso highlighted that another key pillar of the reforms is the establishment of a market-determined foreign exchange regime.

    “We have embraced market-driven pricing for the naira, significantly enhancing transparency and restoring investor confidence. Again, thanks to disciplined reforms and policy clarity, the naira has stabilized at a more sustainable level against the U.S. dollar. The once-wide gap between the official and parallel market rates has all but disappeared, a first in Nigeria’s recent history, and speculative arbitrage has all but vanished.

    “This renewed stability has restored confidence and spurred autonomous inflows through formal channels. These inflows are diversifying our foreign exchange sources beyond oil,” he stated.

    Cardoso said that the apex bank has strengthened its monetary buffers and positioned Nigeria to better withstand external shocks. “Indeed, the macroeconomic stability we are beginning to see today would not have been possible without these decisive actions. Nigeria’s external buffers have also strengthened considerably. Our foreign reserves now exceed $38 billion, providing nearly ten months of import cover. This robust buffer enables us to better withstand external shocks – whether from declining oil prices or global financial turbulence – thereby safeguarding our economy,” he said.

    Speaking further, Cardoso said that in 2024, Nigeria recorded a balance of payments surplus of $6.83 billion, the strongest in many years, driven by rising exports and renewed capital inflows. “At the same time, we are enhancing the strength of our financial sector. The banking sector recapitalization is well underway, with strong momentum and stakeholder alignment, and will ensure that Nigerian banks are fully equipped to support the real economy with greater scale, stability and capacity.”

    The path forward

    The Central Bank of Nigeria’s bold embrace of market-driven foreign exchange reforms marks a pivotal shift in Nigeria’s economic direction. By narrowing the gap between the official and parallel market rates, the apex bank has not only tackled long-standing distortions in the currency market but also reignited investor confidence in the Nigerian economy. The adoption of a transparent pricing mechanism, coupled with strategic interventions such as the introduction of the Electronic FX Matching System and monetary policy tightening, has brought relative stability to the naira and reduced opportunities for arbitrage and speculation.

    These measures are already yielding tangible results. Foreign portfolio inflows are rising, diaspora remittances are increasing through formal channels, and Nigeria’s balance of payments has recorded a significant surplus. International institutions and rating agencies have taken note. Fitch Ratings, for instance, upgraded Nigeria’s outlook, highlighting the effectiveness of the reforms in promoting macroeconomic stability.

    While challenges such as inflation, power sector inefficiencies, and structural bottlenecks persist, there is growing optimism that Nigeria is emerging from the most painful phase of its reform journey. As 2025 unfolds, experts forecast a more stable economic landscape, provided the reform momentum is sustained and complemented by further improvements in ease of doing business, institutional transparency, and policy coordination.

    Ultimately, the path to a fully resilient economy is gradual, requiring discipline, consistency, and collaboration among fiscal and monetary authorities. However, the foundation laid by the CBN’s current forex strategy offers a strong platform for long-term growth, renewed investor trust, and a more stable naira. If sustained, these reforms could mark a turning point in Nigeria’s economic narrative—one defined not by volatility and speculation, but by confidence, transparency and growth.