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Tag: Fed Govt

  • Fed Govt committed to grassroots’ economic growth, says DMO

    Fed Govt committed to grassroots’ economic growth, says DMO

    • N2.067b Savings Bond listed on NSE

    The Debt Management Office (DMO) yesterday reiterated Federal Government’s commitment to ensuring that people at the grassroots benefit from investment and growth potentials in the economy.

    Its Director-General, Dr. Abraham Nwankwo, who spoke during the listing of N2.067 billion Federal Government of Nigeria (FGN) Savings Bond on the floor of the Nigeria Stock Exchange (NSE) said the bond created opportunity for low cadre investors to build sustainable wealth.

    Also speaking, NSE Chief Executive Officer, Oscar Onyema who approved the listing of the bond, commended the DMO for its commitment for growing the savings bond market.

    Nwankwo, who sounded the closing gong at the NSE said the approval of the bonds listings which comes with 13.01 per cent coupon, said: “It’s an exciting day for Nigerian and DMO in particular; we were giving the opportunity to introduce a savings bond with the Central Bank of Nigeria (CBN), Securities and Exchange Commission (SEC) and other relevant agencies for supporting our efforts.”

    He said the Federal Government wanted to ensure that progress being witnessed in the economy, benefits the grassroots.

    The DMO boss said out of the 2,555 people that subscribed for the offer, over 95 per cent were individuals consisting of ordinary Nigerians on the street including barbers, hairdressers, vulcanizers teachers, motor park workers among others.

    “These are the people that subscribed for the offer. We are so excited and happy that Nigeria has broken the jinx to make sure that everybody in the country is part and parcel of activities in the capital market. And that is very consistent with the plan of the Federal Government. I repeat that whatever progress Nigeria is making should be inclusive and ordinary people should be part and parcel of it so we are happy that this aspect of the change agenda has been implemented and this will continue every month,” Nwankwo said.

    He said the funds realised from the offer will be used to fund the budget deficit, and refinance matured existing/domestic bonds.

    He said the bond refinancing makes it possible for the FGN Savings Bond to continue in perpetuity, and on monthly basis. “The April 2017 offer will coming up on April 3, and it will continue every first week of the month. Nigerians will continue to benefit from the FGN Bonds. We congratulate the NSE for their continued initiative and operation for helping to make the listing a success,” he said.

    He said the Savings Bond has helped the ordinary Nigerians to participate in the capital market which creates benefits that will accrue to their investments.

    “What the Federal Government has done through the FGN Savings Bond is to make this opportunity not only for the big investors from pension firms or banks to be part of it, but also for the ordinary man on the street to participate.

  • Abuja airport runway ‘not extended by 18 weeks’

    Abuja airport runway ‘not extended by 18 weeks’

    ‘Airport repairs 40 per cent completed’

    •Mohammed, Sirika meet aviation experts in Lagos

    The Federal Airport Authority of Nigeria (FAAN) and Julius Berger, the contractor handling the repair of Nnamdi Azikiwe International Airport, Abuja runway, said yesterday that the work is 40 per cent completed.
    They spoke in Abuja yesterday when members of the House of Representatives Committee on Aviation, led by its chairman, Mrs. Nkeiruka Onyejeocha, inspected the project.
    Resident Engineer, FAAN Mr. Yemi Ayelesan, told the committee that the hardest part of the work, which is mailing of the 3.6 kilometres runway, had been completed.
    He explained that the laying of fibre glide rubber’’, which prevents water from going deep underground and also prevent runway from cracking has also been completed.
    Ayelesan told the committee that the contractors are working to specifications and would deliver on schedule, expressing confidence that the six weeks period for reopening of the airport was feasible.
    According to him, the contractors are working round the clock to ensure that they meet the deadline.
    He said the repair work was a total reconstruction and not partial rehabilitation, explaining that the entire runway had been excavated for laying of asphalt.
    He said there were isolated areas that were so bad that required digging deeper beyond mailing and laying of asphalt, stating that the entire surface were mailed to a certain depth.
    According to him, there is nothing like partial rehabilitation, even the taxi way is being repaired.
    “Laying asphalt does not take time; it is the easiest part of the work.
    “The lighting system is the next step, and the cable can be fixed within two days. As things are now, we will start fixing the light cable on March 29,’’ he said.
    Project Manager, Julius Berger Dr. Lai’s Richter said the work was being done in line with the programme of work.
    Richter said the fixing of the lighting cable would commence on Wednesday, restating that the runway repairs would be completed before April 19 deadlines.
    The Chairman of the House Committee said their visit was to seek explanation on the level of work done so far in line with the project agreement.

    Minister of Information and Culture Lai Mohammed and his Aviation counterpart, Hadi Sirika, yesterday clarified that the Federal Government has not extended the deadline for the completion of the Abuja Airport runway by 18 weeks.

    The ministers said the first phase of the runway repairs will be completed on April 19 as promised by the government.

    They spoke yesterday at a stakeholders’ conference in Lagos, where they met members of the Aviation Roundtable Safety Initiative (ART).

    Sirika said he would tender his resignation, if the contractors fail to meet the deadline.

    He stressed that the airport runway was scheduled to be completed within a six-month period and that the airport must be opened for flights to land safely after six weeks of closure.

    He said: “We chose Julius Berger because they have been in the site already. We have tested them before. Nigeria will not forgive us, if we fail to meet up the six weeks period. I will resign, if I don’t meet the deadline of six weeks.”

    According to the minister, the ongoing work has incurred extra N150 million, which was used by the contractors to charter planes that was used to ferry some of the equipment used in the repair works.

    Sirika said when completed, the Abuja runway will be used in excess of 10 Years.

    He said President Muhammadu Buhari has a soft spot for aviation.

    “PMB has a soft spot for Aviation. He takes it very seriously. During the transition period, he always asks of aviation. Even during his political campaigns, he was interested in aviation.

    “The president believed I will not be that stupid to take such huge commitment that concerns over 180 million people. Many people, including the National Council of Engineers, believed we can do it and they gave us all the necessary supports,” Sirika said.

     

    He noted that the Federal Government has done everything possible to ensure the comfort and safety of passengers.

    “Transport to and from Abuja and Kaduna is free. The expressway has been rehabilitated. Life is paramount and guaranteed,” he said.

     

    On maintenance plans for the runway, the minister added: “There will be periodic maintenance. We have directed NCAA and FAAN for a manual for the periodic maintenance. We will come out with programmes because the ones they had before is not satisfactory. All other runways will also be taken care of. Each and every airport or landing strip is very important and that is why they need to be done so that it can be safe.”

    Speaking at the event, Mohammed said: “We are here today in continuation of our interaction with major stakeholders in the aviation sector, designed primarily to keep them, and by extension all Nigerians, informed on all issues surrounding the closure of the Nnamdi Azikiwe International Airport in Abuja and the temporary diversion of all Abuja flights to Kaduna International Airport.

    “What we are doing here today is in continuation of the efforts to carry Nigerians along and to keep them adequately informed about this whole issue of Abuja airport closure and the operations in Kaduna. We are here because we believe that members of the Aviation Round Table are major stakeholders; knowledgeable stakeholders, whose opinions are based on empirical evidence rather than sheer emotions.”

    Mohammed said  the Federal Government has done everything possible to ensure the comfort, safety and security of the travelling public during the six-week closure of the Abuja airport.

    “Transportation from Abuja to Kaduna and vice versa is free for air passengers, security along the Abuja-Kaduna expressway is such that there is a presence of security agents at short intervals. The expressway itself has been rehabilitated to ensure a smooth ride and, I can tell you, having travelled on that road at least twice since the relocation, that the ride is smooth. The safety and security of passengers at the Kaduna airport are paramount and guaranteed, as attested to by many,” he said.

    The Information and Culture Minister said reconstruction of the Abuja airport runway is nearing its halfway mark and indications are that we are on course to re-open the Abuja airport for flight operations on schedule.

    “Kaduna airport is not the same as Abuja Airport. During this relocation, there is no way that the travelling public will not experience minimal discomfort. But, as a caring and responsible government, we have taken all the necessary measures to ease such discomfort. Thankfully, the efforts have paid off because operational disruptions have been minimal, despite the massive logistics involved in the relocation.

    “We lay no claims to perfection. That’s why we are here to meet with experts. We are ready to listen to them on what other measures they think we can put in place to make the operations in Kaduna smoother and, in the long run, to avoid this kind of total airport shutdown in the future.

    “Finally, finally, let me use this opportunity to debunk the erroneous report making the rounds that the closure of the Abuja airport has been extended by 18 weeks. This is not true. The six weeks’ time line for the closure remains. After six weeks, the Abuja airport will be reopened. The remaining work on the runway will not necessitate the closure of the airport.”

     

  • Labour cautions Fed Govt on N500b Paris Club refund to states

    Trade Union Congress of Nigeria (TUC) has urged the Federal Government to compel states to invest the N500 billion London-Paris Club refund on projects.

    It said the measure would prevent a repeat of what happened last year when the first tranche of N388 billion  released in December was allegedly diverted into other uses, or embezzled.

    In a statement, TUC National President Comrade Bobboi Kaigama said: “We are afraid the governors might come cap-in-hand for another round in no distant time if the necessary things are not put in place.

    ”One could infer from the foregoings that the President to some extent profoundly means well but some people are determined to frustrate his effort. One would have expected that when the first tranche of money was released, salaries and pensioners would have been paid. We had expected that some meaningful projects would have been embarked upon; instead (they) the governors rolled out their drums to receive the billions for personal aggrandizement. This is not the way to go in an era of change.”

    Kaigama drew the attention of the government to what he described as the numerous cases of suicides and suicide attempts so far recorded this year, adding that workers were unable to feed their families, pay rents and school fees, let alone provide clothings.

    He said the President assured workers that his government has the welfare of Nigerians at heart but it appears not to be so. He said if governors made judicious use of the monies at their disposal, the recession would soon be a thing of the past.

    “It is, therefore, expedient the President recognises the absolute fact that the citizens of this country voted for him because of his pedigree. They voted because they trusted and believed that his administration would be just,prudent, accountable and lead with the fear of God. The cooperation we anticipated is not there as the centre appears to be going one way, while the lawmakers and the judiciary are also going separate ways. As it stands, our fate appears to be hanging in a balance.

    “We are not against government disbursing any money; what we are rather saying, is that the Federal Government should attach the money to projects. Salaries and pensions must be paid till date and in full. We will be disappointed again if we do otherwise. This time we must get our acts right,” he said.

     

  • Fed Govt raises N2.07b from retail savings bond

    Fed Govt raises N2.07b from retail savings bond

    • Mulls selling $100m forward

    The Debt Managment Office (DMO) yesterday said it raised N2.07 billion  ($6.6 million) from a new two-year savings bond intended for retail investors.

    Nigeria forecasts a budget deficit of N2.36 trillion  this year, half of which it aims to fund through domestic borrowing.

    The DMO has said it offered the bond to help broaden the country’s funding base. It will be available for purchase on a monthly basis and have a maximum subscription of N50 million. It carries a coupon of 13.01 per cent.

    Meanwhile,  traders say the Central Bank of Nigeria (CBN)  plans to sell $100 million in currency forwards yesterday to be delivered within the next 60 days.

    The bank has been injecting more dollars into the system to meet the needs of importers since February. It’s trying to boost supply in the market and narrow the margin between official and black market rate.

    The local currency closed at 410 to the dollar on the black market on Wednesday, stronger than the previous 430 to the dollar. It weakened to 307.75 to the dollar on the interbank market, compared with 307.50 a dollar previously.

    The March auction attracted subscription from over 2,500 applicants during the five-day sale period, the DMO said, adding that the next sale will be on April 3.

    The government plans to increase public spending by almost 20 per cent this year and has obtained parliament’s approval for a $500 million Eurobond, after raising $1 billion from international debt market last month.

    Outstanding total debt rose to N17.4 trillion last year from N12.6 trillion in 2015 and is set to increase further, as Africa’s biggest economy grapples with its first recession in a quarter of century, caused by low oil prices.

  • Fed Govt sanctions 313 mining firms

    No fewer than 313 mining companies have been sanctioned by the Federal Government over non fulfilment of environmental obligations.

    The Director, Mines Environmental Compliance Department, Ministry of Mines and Steel Development, Mr. Salim Salaam, stated this in Abuja.

    Salaam said the operators were issued sanction letters on March 20 for failing to conduct Environmental Impact Assessment (EIA), Environmental Protection and Rehabilitation Programme (EPRP) and the Community Development Agreement (CDA).

    He said four of the companies affected were given “stop work” order, adding that the ministry had warned them severally but they refused to comply with the environmental obligations.

    Salaam said five companies’ licences were revoked over failure to comply with the environmental obligations despite several notices issued by the ministry.

    “One out of the five companies is a foreign one in Bauchi, three in Cross River and nne in Oyo State; all their licences have been revoked completely,” he said.

    He said, however, that 20 mining companies were issued warning letters to comply with the Mining Act to avoid revocation.

    He said the ministry had decided not to renew licences of the remaining 284 mining companies, except the Minister, Dr Kayode Fayemi give them another chance to fulfil all environmental requirements.

    He said that some of the defaulters did not conduct Environmental Impact Assessment (EIA) before commencing operations, adding that this could be dangerous to the host communities’ health and cause environmental degradations.

    EIA is a study being conducted by mining operators to ascertain in advance the impact of the project on the environment and on the lives of the host communities.

    He also explained that some conducted EIA but refused to fulfill the CDA of the host communities and the EPRP.

    “Mining operators are mandated to conduct EPRP, according to Section 119 of the Nigerian Mining Act. The CDA is also mandatory under Section 116 of the Act for mining operators to sign an agreement with host communities on what to do to improve their livelihoods. The idea of conducting EIA is to proffer mitigation measures against mining impacts before commencing operation,’’ he said.

    He said the problems in the Niger Delta were as a result of CDA as the communities were complaining that oil companies were conducting exploration and extraction but refused to meet their needs.

    He added that the CDA was provided as a measure in the Mining Act for mining operators to fulfill their obligations socially and economically to their host communities to avoid problems.

    Salam said the ministry sanctioned no fewer than 20 mining companies over non-compliance with its laws and regulations.

     

  • Fed Govt to halt export of unprocessed minerals

    Fed Govt to halt export of unprocessed minerals

    The Federal Governm is taking measures to check the export of unprocessed solid minerals,  the Minister of Mines and Steel Development, Dr Kayode Fayemi, has said.

    Fayemi said the government is currently working with the Nigerian Customs Service (NCS) and other relevant agencies to achieve this goal as part of efforts to santise the industry.

    The minister said the rate at which foreigners are moving into the nation’s mining sector is alarming and needs to be checked. He said the issue of influx of foreigners into the sector is disturbing, adding that the government would ensure such expatriates are legal players and if otherwise, would be sanctioned.

    He said the number of expatriates that are mining solid minerals is shocking, adding that the local players and traditional rulers have petitioned the ministry in order to know who and what is required to engage in mining  in their areas of jurisdiction.

    Speaking on  the sideline of a town hall meeting with players in the industry in Lagos, which was organised by the ministry,  Fayemi said the influx of foreigners into the mining sector has its advantage and disadvantage.

    He said: “Mining is an international business. One of the things we have done is not to discourage foreigners. We cannot on the one hand be asking for foreign direct investment and encouraging ease of doing business because we want others who have expertise to be part of our economy, and on the other hand becoming xenophobic about the importance of those who have the resources or the technical expertise to be involved.

    “However, we cannot afford to have foreigners’ involvement to the detriment of our local engagement, so for jobs that our people have the capacity to do, we don’t allow in our ministry and we have a responsibility for anything happening in the mining industry. The Ministry of Interior sends us the citizenship of the expatriate application in order to comment on. And if you send us application in which you want to bring in drivers, machinists and operators from China or India, obviously we should not support or allow that.

    “If it is for a rare technical responsibility that we have no local expertise in, we do not have a choice than to allow such people to come in and do the work but we have a caveat that they must train other people in the sector who are the local in order to deliver on that.”

    He said henceforth, government would make it difficult for people to export unprocessed minerals out of the country. ‘’We would not ban such operators. But we would make it difficult for them to operate because export of unprocessed minerals is export of jobs, value and skills development.

    “In the roadmap for the industry growth, the ministry made clear the methods or processes of operating in the sector clear.  The roadmap aims at improving the operation of the industry to contribute to the economy. For this to happen, things must be done in the right way,” he added.

    He said there would be a comprehensive list of names and data of miners with a view to ascertaining their credibility. He said through the list, the government would be able to monitor and sort out the genuine ones from the fake ones in the country.

    According to him, the process of certifying miners starts from obtaining the Cadastral from the Ministry of Mines and Steel Development, adding that and any firm approved by the ministry has the right to operate in the industry.

    He said the government would not sanction or shut down any firm that is able to present its approval document to the mining officers at the ministry, adding that strengthening partnership between the communities where minerals are located, the miners and the ministry are  vital to the growth of the industry. Without fostering a strong partnership among the stakeholders, achieving development in the mining value chain would not easier.

  • Fed Govt urged to maximise natural plants, boost traditional medicine

    The Managing Director/ Chief Executive Officer, Ruzu Natural Health Products and Services, Dr Robert Uzu, has urged the Federal Government to appreciate the country’s natural endowment in plants, saying it is needed to boost traditional medicine in the country.

    He said a boost in traditional medicine would enable the country  have an edge, generate revenue, and set a pace for local production and for export, which could replace oil.

    Uzu, a herbal medicine practitioner, spoke during  a courtesy visit by the National Association of Nigerian Students, to his office in Igando, Lagos. The event was also part of activities to mark his 40th birthday.

    Uzu said the firm, which focuses on handling life threatening issues, such as diabetes, high blood pressure, stroke, cancer and infertility cases, aims to solve the challenges which orthodox medicine cannot solve.

    He said: “All travel routes in the country are filled with plants which are rich in diverse nutrients. All these plants are not utilised; they are laying waste on the roads.”

    Government, he said, can utilise these wasted lands by having botanical gardens in states. “This will enable medicinal plants, which we have everywhere in the country to be useful.

    “Nigeria needs to bring out a programme that will facilitate the interest of Nigerians to use natural plants to treat sicknesses. Government needs to make a body that can monitor the usage of medicinal plants and give the herbal medicine practitioners an enabling environment to operate so that there will be no competition between the herbal doctors and the medical doctors.

    “Government should integrate herbal medicine in the hospitals such that patients can decide to either go for herbal or orthodox medicine. Herbal medicine and orthodox medicine should not be competitors; rather, we should be able to complement each other.”

    He called for standardisation and consistency; knowledge combined with talent on traditional medicine in the country..

    “It is time to redirect our focus and come back to nature in Nigeria. We must go back to the natural life that enabled our fore fathers to live up to 100 years with ease. We must bring an end to life expectancy of below 60 years in Nigeria.” he said.

  • Fed. Govt. praises Lafarge’s industrial power generation

    Fed. Govt. praises Lafarge’s industrial power generation

    •Firm offers to support in solving energy problem 

    The Minister of Mines and Steel Development, Kayode Fayemi, has called on Lafarge Africa, a construction solutions provider in Nigeria, to support the federal government’s drive towards ensuring adequate power generation and distribution, particularly in industrial hubs.

    Fayemi, who made the request during a recent working visit to Lafarge Africa’s Ewekoro Cement plant, commended the company for its efforts at generating sufficient power for its operations across the country, especially through the use of biomass. He also praised the cement manufacturer for its initiative of recycling palm kernel shells, which are waste material, as biomass to generate power for the kilns used in making cement.

    According to the Minister, the use of biomass in any production process saves money that would have been used to buy fuel and foreign exchange. He assured that although presently, the power generated from Lafarge’s biomass plant generates half of the energy used in firing its kilns, but they will ultimately get to 100 per cent.

    “An environment-friendly production site is something to take away from Lafarge Africa here in Ogun state and I hope there are lessons to take on board. That is not to say that coal should not be used because we have coal in Nigeria that will also save us foreign exchange,” Fayemi said.

    Reiterating the importance of power generation for existing and new factories as being critical, Fayemi also noted that power is an essential need for Nigerians, that is why government is desperately in need of adding more to its generation in order to fuel plants and factories that are springing up.

    “Every day, you have a new company springing up and you want to ensure that there is enough power for those companies, whether it’s biomass, coal or natural gas or renewable energy, you what to ensure that you have enough power to use. So, for us, we are impressed with what we have seen and we want to support Lafarge Africa to expand its operations,” the Minister said.

    In his response, the Country CEO, Lafarge Africa Plc, Michel Puchercos, noted that the effects of the slowdown in the economy prompted the company to seek an alternative means to generate energy for its Ewekoro and other plants.

    “We realised last year that dollars was scarce and energy was scarce in Nigeria. So, the company reacted very strongly to the situation. We said to ourselves, how can we do both? We wanted to do both – keep on producing and saving energy and also getting US dollars. This is how the idea of using biomass came,” Puchercos explained.

    He further said that “Ogun state being an agriculture hub as well, made it possible for us to produce 50 per cent power from biomass in 2016, which we can grow to 70 – 80 per cent. We aim to roll out the scheme in other plants- Ashaka, in Cross River state, Gombe state and just across the road in Ewekoro II.”

    According to Puchercos, the production of biomass fuel from palm kernels isn’t restricted to recycling palm kernels. “Burning and recycling wastes like silica and aluminium which are dangerous to man can generate electricity and improve the standard of living. If Nigeria is ready, we are ready to support,” he assured.

    It will be recalled that Lafarge Africa a member of LafargeHolcim, in partnership with Ogun state commissioned a biomass alternative fuel feeding system last September.  Using palm kernel shells the plant generates about half of the energy requirements at Lafarge’s cement factory in Ewekoro. There are plans to replicate the technology in all its plants across the country.

  • Fed Govt hails Aregbesola for infrastructure in Osun

    Fed Govt hails Aregbesola for infrastructure in Osun

    The Federal Government yesterday praised Osun State Governor Rauf Aregbesola for improving learning atmosphere in schools.
    Minister of Education Adamu Adamu, who was represented by Prof. Kamoru Olayiwola Usman, at the opening of new high schools, said the Federal Ministry of Education is proud of the governor’s efforts.
    Thousands of pupils officially began learning at the Ataoja Government High School in Osogbo; Wole Soyinka Government High School, Ejigbo; Osogbo Government High School and Adventist Government High School in Ede with an opening ceremony that happened simultaneously at the four venues.
    The minister also lauded Osun for realising that education can only thrive in an environment that is conducive, saying education should not be limited to a situation when a person can only read and write, but how such person can impact positively on the larger society.
    He held that Osun would enjoy the seed being sowed by the present administration with the building of the state-of-the-art schools across the state.
    “If we want to forestall what happened in Ife, we must continue to educate our people by making sure that we build more schools with an atmosphere that is conducive to learning,” the minister stated.
    The governor, in his opening address, noted his administration has redefined the architecture and environment of quality education.
    According to him, each school has four principals with three superintending over 1,000 pupils each, and an overall senior principal.
    It is standard that each school has 72 classrooms of 49 square-meters, each capable of sitting 49 pupils”.
    “It has six offices for study groups. It is also equipped with six laboratories, 48 toilets for pupils and another eight for the teachers, one science library, one arts library, facility manager’s office, a bookshop and a sickbay.
    “Other facilities are the senior principal’s office, three principals’ offices, a bursar’s office, three general staff offices, a record store and security shed/reception. They are all fully furnished. The schools have borehole and power transformer.?”