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Tag: Wale Edun

  • FG reduces reliance on costly commercial borrowing – Edun

    FG reduces reliance on costly commercial borrowing – Edun

    The federal government said it has improved its resource allocation strategy to enhance efficiency and sustainability

    With this decision, the government has also reduced the nation’s dependence on high-cost commercial borrowing. Instead, the government is exploring alternative funding sources, such as revenue generation, concessional loans, and strategic investments.

    Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, disclosed this during a virtual address on Thursday at the opening of a two-day high-level interactive session in Abuja.

    The event focused on strengthening collaboration for sustainable financial management and national development, bringing together members of the Senate and House Committees on Finance, Heads of Agencies, and Directors from the Ministry.

    Edun stated that the administration has reached a stage where resource optimization takes precedence, leading to a shift away from borrowing from commercial markets. According to him, this shift is part of broader efforts to promote fiscal responsibility and reduce the financial strain caused by expensive loans.

    “We want to enhance public transparency, reduce waste, and foster accountability in public financial management while optimizing our resources. We are at that optimization stage, where there is less focus on borrowing, particularly from the commercial markets, which is quite high. We are focusing more on optimizing assets and attracting private sector investment, whether domestic or foreign. That’s the collaboration I keep referring to, and it emerges at every stage,” Edun stated.

    He expressed confidence in the government’s economic strategy, insisting that by using macroeconomic tools, Nigeria can significantly reduce poverty and promote sustainable development. He stressed the need for mutual respect, cooperation, and collaboration among key stakeholders in serving under the leadership of President Bola Ahmed Tinubu.

    “This event demonstrates the commitment of the Federal Ministry of Finance to partner with critical stakeholders at various levels in driving sustainable economic growth and sound financial management for our dear country,” he added.

    The Lead Speaker at the event, Senator Ita Enang, delivered a presentation on the importance of seamless coordination between the Executive and the Legislature in advancing economic policies. He pointed out that legislative committees must obtain a resolution from their respective chambers before conducting investigative hearings involving government officials.

    “Although you are the overseeing committee, you cannot, without a House resolution, invite a Minister or head of an agency to conduct an investigation over a matter. This is because you are a committee of the House, and before the House can receive such a report, it must reference its resolution authorizing the inquiry,” Enang explained.

    Read Also: Edun to IMF: economic reforms, social investment programmes working

    To enhance the transmission of bills between the Executive and the National Assembly, he recommended the establishment of an Economy Coordination Liaison Mission within the Ministry of Finance. According to him, this mission should work closely with the Ministry of Budget and Economic Development and the Budget Office of the Federation to facilitate smooth interactions with lawmakers.

    Enang noted the presence of liaison officers from institutions such as the Central Bank of Nigeria (CBN), Nigerian Deposit Insurance Corporation (NDIC), Nigerian Maritime Administration and Safety Agency (NIMASA), and the Nigerian Ports Authority (NPA), who monitor and advance bills relevant to their mandates.

    He proposed that these institutions’ liaison personnel should operate under a unified directive from the Coordinating Minister of the Economy to ensure coherence in policymaking and prevent conflicting economic measures.

    “The entirety of this economic sector liaison personnel should, under the directive of the Coordinating Minister of the Economy, work in coordination with finance and related committees of each chamber of the National Assembly. This will prevent institutions from working in silos and producing outcomes that, while strengthening individual agencies, could inadvertently harm the national economy,” he stated.

  • Wanted: Nigerian School of Mines

    Wanted: Nigerian School of Mines

    By Oladele Oladipupo

    At the just concluded National Treasury Workshop in Abuja, the Federal Capital Territory, Minister of Finance and Coordinating Minister of the Economy, Wale Edun stated that the federal government had re-affirmed its commitment to aggressively exploring non-oil revenue sources to reduce reliance on crude oil earnings and stabilize the economy. The minister noted that recent shift in global energy policies, declining crude oil demand and fluctuating prices has made it imperative for the federal government to focus its attention on expanding revenue generation from sectors such as solid minerals, agriculture and tourism. The minister added that while several non-oil sectors had shown strong potential for revenue generation, job creation and economic transformation, they remained largely untapped.

    Over the years, the federal government has been financing the budgets with money realized from the sales of crude oil. But the problem is that most countries are now transitioning from non-renewable energy based economy to renewable energy and because of this, the demand for fossil fuel in the global market will continue to decline in the near future.

    I am happy that the federal government has now taken bold step in exploring the economic potentials in the mining, tourism and agricultural sectors as an alternative to using money from the sales of crude oil in financing the national budget. Recall that early this year, one of the lawmakers in the National Assembly sponsored a bill that will ensure adequate funding for mineral resources exploration and extraction through public-private participation. One of the objectives of the bill is to ensure that the mining sector reaches its full potentials, creating jobs, fostering economic growth and enhancing Nigeria’s self-sufficiency in mineral resources industry. Once the bill is passed into law, it will definitely solve most of the challenges in the mining sector such as illegal mining activities.

    Obviously, the mining sector is currently dominated by illegal miners who are not professionals. These set of miners are mostly foreigners who operate in an unsustainable and unethical practices. From Plateau State to Niger State and from Ebonyi State to Zamfara State, the story is the same.

    Read Also: Natasha/Akpabio feud: External plot to tarnish Nigeria’s image – NASAC

    A couple of years ago, thousands of children in Zamfara State died of lead poisoning due to illegal mining activities. Also in Niger State, 25 persons lost their lives in 2024 as a result of illegal mining. Early  this year, several people in two host communities in Ebonyi State were said  to have been afflicted by lead poisoning ailments leading to renal failure, cardiovascular diseases, respiratory disorder and hypertension as a result of unsustainable mining practices.

    Recently, there have been reports of indiscriminate illegal mining activities that are taking place in Bassa, Barkin Ladi, Riyan, Bokkas, Mangu and Wase Local Government Areas of Plateau State. According to the media reports, the armed militias are the ones carrying out illegal mining activities in these local government areas. However, in a deliberate attempt to curb the challenges, the state governor, Caleb Mutfang recently signed an Executive Order suspending all mining activities across the state. According to the governor, the suspension is to mitigate land degradation, combat child labour and address escalating security threats, including the influx of unregulated foreign miners. Mining is an important sector which should be overseen by individuals who possess both technical expertise and professional qualification required to navigate the complex engineering challenges of the sector. It is therefore imperative that the country build a strong institution in order to effectively manage the mining sector.

    It is on this premise that this writer is proposing the establishment of Nigerian School of Mines. The institution will provide specialized training for young Nigerians to effectively handle the mining operation in the country. The institution will be modeled after the Indian School of Mines. One of the objectives of this proposal is to develop manpower that could manage our mineral resources effectively.

    While in public service, I had the privilege of attending a World Bank  Training Workshop on Sustainable Management of Mineral Resources in Nigeria Mining sector. The training was held in India from August 30 to September 12, 2011. The venue of the workshop was the Indian School of Mines at Danbald, India. The institution was established in 1897 and it has produced a lot of first class mining engineers who are gainfully employed in both the public and private sectors of the economy.

    Participants at the workshop were drawn from the Federal Ministries of Environment and Solid Minerals. A total of 14 directors attended the training workshop. The workshop was in two parts namely: the theoretical and practical aspects. The duration of the workshop was two weeks and it was handled by experienced professors from various faculties and departments. Participants were taken to various land mined out sites and industrial establishments. We also visited TARTA where they manufacture vehicles. Some of the courses that we were taught included but not limited to the following: Legal framework guiding Mining Operations in India, Environmental Impact Assessment, Environmental Auditing, Air Pollution Control, Waste Water Engineering, Bio-remediation, Mining Sites Decommissioning and Geological Survey. The program was quite interesting indeed.

    As for the proposed Nigerian School of Mines, some of the courses to be offered will include Environmental Engineering, Mining Engineering, Chemical Engineering, Software Engineering, Water and Waste Water Engineering and Metallurgical Engineering. The school will award both Bachelors and higher degrees in engineering. Graduates of this institution will be gainfully employed in both the public and private organizations.

    To the best of my knowledge, there is no school of Mines in Africa. If the proposal is approved by the current administration, Nigeria will be the first African country that will establish school of mines. I hope the present administration will take a closer look at this proposal with a view to adopting it.

    •Oladipupo writes from Agbara Estate,Ogun State.

  • Nigeria urges fiscal discipline as ECOWAS pushes for eco-currency

    Nigeria urges fiscal discipline as ECOWAS pushes for eco-currency

    Nigeria has urged West African Ministers of Finance and Central Bank Governors to uphold fiscal and monetary discipline, revealing that security challenges, inflation and global economic disruptions have slowed progress toward monetary convergence in the region.

    Minister of Finance and Coordinating Minister of the Economy, Wale Edun, made this call while chairing the 11th ECOWAS Convergence Council meeting in Abuja on Monday. 

    The high-level session attracted financial leaders from across West Africa to discuss the planned launch of the Eco currency by 2027 and strategies for achieving regional economic stability.

    Edun spoke about Nigeria’s ongoing economic reforms, positioning them as a model for the region. 

    He pointed to key policy measures such as foreign exchange market reforms, improvements in tax policy and the removal of fuel subsidies. 

    These initiatives, he noted, have contributed to Nigeria’s GDP growth, which has reached 3.4 percent in 2024, while also enhancing fiscal sustainability.

    “As we take steps towards economic integration, Nigeria’s experience demonstrates that decisive reforms can yield tangible benefits,” Edun stated.

    Beyond domestic economic policies, the Minister pointed out the need for stronger regional coordination in financial and economic decision-making. 

    Read Also: Nigeria to deepen diplomatic relations with UK – Tuggar

    He also stressed ECOWAS’ role in shaping global financial policies, citing ongoing engagements with South Africa’s G20 presidency as a vital opportunity to align West Africa’s economic priorities with broader African goals.

    “This is our opportunity to shape the future of our region. We must work together to drive economic stability, growth, and prosperity,” Edun remarked, urging regional cooperation to ensure the successful implementation of the Eco currency.

    The ECOWAS Convergence Council meeting reiterated the commitment of member states to launching the Eco currency by 2027. The introduction of a common currency is expected to enhance trade, economic cooperation, and financial stability within the region, positioning West Africa as a significant player in the global economy.

    The Economic Community of West African States (ECOWAS), a regional economic bloc comprising 16 West African nations, continues to push for greater economic integration to drive sustainable growth and development.

  • Fed Govt pledges support for private sector investments

    Fed Govt pledges support for private sector investments

    The Federal Government has reiterated its commitment to fostering an enabling environment for private sector-led investments to drive economic growth, particularly in the agricultural sector.

    The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, gave this assurance during a meeting with the Managing Director of Olam Agri, Mr. Anil Nair, in Abuja. Olam Agri is a subsidiary of the Saudi Agricultural and Livestock Investment Company (SALIC).

    Edun acknowledged the government’s role in supporting broader development initiatives such as constructing rural farm roads and establishing strategic grain reserves. He praised Olam Agri’s contributions, emphasizing that such private sector investments align with President Bola Ahmed Tinubu’s economic diversification agenda.

    “Private sector investments like those of Olam Agri are essential to achieving the government’s goals of economic diversification, increased agricultural productivity, and enhanced food security,” Edun said.

    Read Also: FG pledges support for private sector investments

    In his remarks, Mr. Nair outlined Olam Agri’s plans to capitalize on emerging opportunities in Nigeria’s agricultural sector.

    The company aims to expand investments in fertilizer production, provide increased irrigation support, and develop processing facilities to boost local value addition.

    “These investments will enhance agricultural productivity, reduce food prices through improved supply chains, and stimulate the growth of Nigeria’s agribusiness sector,” Nair stated.

    As a leading player in Nigeria’s agribusiness sector, Olam Agri is strengthening its collaboration with key stakeholders to unlock new growth opportunities. The company’s planned investments are expected to create jobs, improve the livelihoods of farmers, and contribute to Nigeria’s overall economic development.

  • FG focuses on non-oil revenue to meet budget targets

    FG focuses on non-oil revenue to meet budget targets

    The federal government is counting on non-oil revenue-generating agencies to meet its budgetary commitments, urging them to use technology to prevent financial leakages and waste.

    Minister of Finance and Coordinating Minister of the Economy, Wale Edun, made this known in Abuja on Monday at the 5th National Treasury Workshop, organized by the Office of the Accountant General of the Federation.

    The event, themed “Nigeria’s Revenue Challenges and the Way Forward: Exploring Non-Oil Alternatives,” focused on strategies for boosting government revenue outside the oil sector.

    Represented by the Permanent Secretary in the Ministry of Finance, Lydia Jafiya Shehu, Edun emphasized the need for innovative solutions to increase revenue.

    “In this year’s budget, about N14 trillion is for debt servicing. That is not the main issue—the real challenge is generating enough revenue,” he said. “The responsibility falls on non-oil revenue agencies. To achieve this, we must deploy information technology tools to eliminate leakages and waste.”

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    The Minister highlighted several sectors with significant revenue potential, including agriculture and agro-processing, solid minerals and mining, manufacturing, tourism, the digital economy, and improved tax collection. He stressed the importance of aggressively developing these industries to reduce dependence on oil revenues.

    Edun acknowledged the challenges limiting revenue growth in non-oil sectors, such as poor infrastructure, high business costs, bureaucratic hurdles, regulatory inefficiencies, insecurity, low tax compliance, and widespread financial leakages.

    “The government is already taking bold steps to address these issues through public financial management reforms, digitalizing revenue collection, and strengthening tax administration,” he assured.

    The Minister described the workshop theme as timely, noting that the country must rethink its revenue generation strategies. He warned that relying on oil revenue is no longer sustainable due to global shifts in energy policies, declining oil demand, and fluctuating crude prices.

    “We must adopt a diversified economic approach by tapping into non-oil sectors such as agriculture, solid minerals, manufacturing, tourism, the digital economy, and creative industries,” he stated.

    Edun also commended the participation of key experts, including the Chairmen of the Federal Inland Revenue Service (FIRS) and the Presidential Committee on Fiscal Policy and Tax Reforms. Their presentations, he said, would provide valuable insights for shaping future government policies.

    In her welcome address, the Accountant General of the Federation, Dr. Oluwatoyin Sikirat Madein, explained that the National Treasury Workshop serves as a platform for technocrats to discuss critical economic issues and propose solutions to boost national development.

    She recalled that the last edition was held in November 2021 in Uyo, Akwa Ibom State, with the theme “COVID-19 and the Global Economy: Implications on the Nigerian National Treasury.”

    The federal government’s renewed focus on non-oil revenue sources aligns with its broader strategy to create a stable and resilient economy by reducing dependence on oil and strengthening other key sectors.

  • Edun showcases economic growth to investors, Turkish delegation

    Edun showcases economic growth to investors, Turkish delegation

    The Minister of Finance and Coordinating Minister of the Economy Wale Edun showcased the country’s economic transformation over the past 18 months during a meeting with a delegation from First Abu Dhabi Bank and the Turkish embassy.

    The delegation, led by the bank’s Group Head of Investment Banking, Martin Tricaud, met with Edun on Wednesday to discuss investment opportunities and strategic partnerships.

    The Minister outlined key economic reforms, including the adoption of market-driven pricing for foreign exchange and petroleum, increased trade through the African Continental Free Trade Area (AfCFTA) and stronger revenue generation from oil and non-oil sectors. 

    Edun noted that these measures have played a crucial role in stabilising the economy, boosting GDP growth, and strengthening Nigeria’s trade balance.

    Read Also: Nigeria must turn debt into economic asset – Shettima 

    The Minister also assured the delegation of the government’s commitment to enhancing food production and affordability, stressing that these efforts are essential for ensuring long-term economic resilience.

    On the same day, the Turkish Ambassador to Nigeria, His Excellency Hidayet Bayraktar, led a delegation on a courtesy visit to the minister. The ambassador commended Nigeria’s economic progress and acknowledged President Bola Tinubu’s initiatives in fostering a business-friendly environment. The Turkish delegation expressed interest in exploring new trade and investment opportunities to further deepen bilateral economic relations.

    In response, Edun pledged the administration’s commitment to sustainable economic growth under the Renewed Hope Agenda. He assured the Turkish delegation of the Nigerian government’s continued support for foreign businesses and provided strategic insights aimed at strengthening economic ties between both nations.

  • Nigeria will reduce external borrowing, Edun tells World Bank

    Nigeria will reduce external borrowing, Edun tells World Bank

    The Federal Government has informed the World Bank of its desire to reduce Nigeria’s dependence on external debt financing

    This is part of a broader strategy to explore alternative funding sources beyond traditional multilateral loans.

    Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, made this disclosure during a meeting with the World Bank Executive Director, Dr. Zainab Shamsuna Ahmed.

    He reiterated the government’s focus on fostering a business-friendly environment that attracts sustainable investments and drives private sector-led growth.

    Read Also: Nigeria earned $305bn from oil, gas sector in 10 years

    Dr. Ahmed, who is the immediate past Minister of Finance, commended Nigeria’s macroeconomic reforms, noting their role in improving fiscal stability and boosting investor confidence.

    She also pointed out the recent financial reforms at the World Bank that have expanded its lending capacity, making an additional $150 billion available over the next decade.

    One of the key topics discussed was Nigeria’s role in Mission 300, the World Bank’s initiative aimed at providing electricity access to 300 million Africans. Edun insisted on Nigeria’s commitment to the programme, stressing that improved power infrastructure is crucial for economic growth, industrial expansion, and enhancing private sector competitiveness.

    The Minister assured the World Bank that President Bola Tinubu remains focused on strengthening Nigeria’s economic foundation, reducing reliance on external borrowing, and promoting long-term economic growth through private sector investments.

  • Accounting: MDAs risk sanctions

    Accounting: MDAs risk sanctions

    Minister of Finance and Coordinating Minister of the Economy, Wale Edun has warned ministries, departments and agencies (MDAs) that failure to comply with the revised bottom-up cash planning policy may result in restrictions on their access to funds for capital projects.

    Speaking yesterday in Abuja at a Stakeholders’ Review Meeting on the Implementation of the Revised Policy on Cash Management and Bottom-Up Cash Planning, Edun said that the bottom-up cash planning policy, introduced in 2023 and incorporated into the 2024 budget, was designed to enhance transparency, accountability, and efficiency in public financial management.

    The meeting was organized by the Office of the Accountant General of the Federation (OAGF) and focused on strengthening financial oversight and ensuring strict adherence to the new fiscal policies.

    Edun noted that some MDAs had been slow to adopt its operational guidelines, leading to temporary restrictions on their access to the Government Integrated Financial Management Information System (GIFMIS), the central platform for fund disbursement.

    “The implementation of the revised cash management and bottom-up cash-planning policy, as the Accountant-General has informed us, was approved by Mr. President and reinforced through multiple circulars and guidelines. However, there are concerns that some MDAs are still lagging in compliance.

    “This necessitated a temporary block of access to the GIFMIS platform for some entities, which were later restored when they complied. And I think that will carry on. If you do not comply, then you will be withdrawn from accessing the funds that you need to implement your capital projects,” Edun said.

    Beyond cash management, the Minister hinted at upcoming reforms in revenue generation, with increased automation and the adoption of technology to boost internally generated revenue (IGR).

    Read Also: FCT-IRS to companies, MDAs, other employers: file employee annual returns before deadline

    He insisted on the Tinubu administration’s commitment to fiscal discipline, stressing that government spending will be strictly tied to available revenue, without resorting to excessive borrowing or money printing.

    Accountant-General of the Federation, Dr. Oluwatoyin Madein, also reiterated the government’s commitment to strengthening financial oversight and ensuring full compliance with the revised policy. She noted that while significant progress had been made, some challenges remain, which the government is actively addressing.

    “You may recall the issuance of financial documents following Mr. President’s approval for the modification of the Bottom-Up Cash Planning Policy. This initiative was designed to provide a structured framework for the planning and management of limited cash resources, ensuring efficient service delivery.

     “As part of the policy, capital project payments in 2024 are now centralized under the Office of the Accountant-General of the Federation, requiring stakeholders’ engagement for seamless implementation. While we have recorded significant progress, some gaps and infractions have been observed. Some of these challenges have been addressed, while others are at various stages of resolution and will be highlighted in the course of this quarter,” Madein said.

    She added that government’s renewed focus on enforcing compliance with cash management policies points to broader efforts to instill fiscal discipline and optimize resource allocation for national development.

  • FG may block MDAs’ capital funds over cash policy breach

    FG may block MDAs’ capital funds over cash policy breach

    The Federal Government has warned Ministries, Departments, and Agencies (MDAs) that failure to comply with the revised Bottom-Up Cash Planning Policy may result in restrictions on their access to funds for capital projects.

    Minister of Finance and Coordinating Minister of the Economy, Wale Edun, gave the warning on Thursday at the stakeholders’ review meeting on the implementation of the Revised Policy on Cash Management and Bottom-Up Cash Planning in Abuja. 

    The meeting, organised by the Office of the Accountant General of the Federation (OAGF), focused on strengthening financial oversight and ensuring strict adherence to the new fiscal policies.

    Edun explained that the Bottom-Up Cash Planning Policy, introduced in 2023 and incorporated into the 2024 budget, was designed to enhance transparency, accountability, and efficiency in public financial management. 

    However, he noted that some MDAs had been slow to adopt its operational guidelines, leading to temporary restrictions on their access to the Government Integrated Financial Management Information System (GIFMIS), the central platform for fund disbursement.

    “The implementation of the revised cash management and bottom-up cash-planning policy, as the Accountant-General has informed us, was approved by Mr. President and reinforced through multiple circulars and guidelines. However, there are concerns that some MDAs are still lagging in compliance,” Edun stated.

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    “This necessitated a temporary block of access to the GIFMIS platform for some entities, which were later restored when they complied. And I think that will carry on. If you do not comply, then you will be withdrawn from accessing the funds that you need to implement your capital projects,” he warned.

    Beyond cash management, the Minister hinted at upcoming reforms in revenue generation, with increased automation and the adoption of technology to boost internally generated revenue (IGR). 

    He insisted on the Tinubu administration’s commitment to fiscal discipline, stressing that government spending will be strictly tied to available revenue, without resorting to excessive borrowing or money printing.

    The Accountant-General of the Federation, Dr. Oluwatoyin Madein, also reiterated the government’s commitment to strengthening financial oversight and ensuring full compliance with the revised policy. She noted that while significant progress had been made, some challenges remain, which the government is actively addressing.

    “You may recall the issuance of financial documents following Mr. President’s approval for the modification of the Bottom-Up Cash Planning Policy. This initiative was designed to provide a structured framework for the planning and management of limited cash resources, ensuring efficient service delivery,” Madein stated.

    “As part of the policy, capital project payments in 2024 are now centralized under the Office of the Accountant-General of the Federation, requiring stakeholders’ engagement for seamless implementation. 

    “While we have recorded significant progress, some gaps and infractions have been observed. Some of these challenges have been addressed, while others are at various stages of resolution and will be highlighted in the course of this quarter,” she added.

    The government’s renewed focus on enforcing compliance with cash management policies points to its broader efforts to instill fiscal discipline and optimize resource allocation for national development.

  • Edun: Nigeria targeting 2025 Eurobond sale to fund budget deficit

    Edun: Nigeria targeting 2025 Eurobond sale to fund budget deficit

    The Federal Government is in the process of issuing another Eurobond this year to address the nation’s budget deficit, according to the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun.

    The 2025 budget deficit is estimated at N13 trillion, representing 3.89 per cent of the country’s Gross Domestic Product (GDP).

    Edun told Bloomberg at the World Economic Forum in Davos, Switzerland, that government would rather target financial markets for deficit financing as against relying on monetary expansion, particularly the printing of currency.

    Government’s approach, he stressed, involves a diverse mix of financing instruments, including concessional loans, bilateral arrangements and commercial market engagements.

    “If you look at our budget presentation currently under review by the National Assembly, you’ll notice that while there is some deficit spending, we are committed to covering it not by printing money but by accessing financial markets on reasonable terms,” he said.

    This move comes on the heels of Nigeria’s successful Eurobond issuance in 2024, raising $2.2 billion. The bond sale, which drew investor offers exceeding $9 billion, was instrumental in financing the 2024 fiscal deficit and supporting other budgetary requirements.

    When asked about the timing of the 2025 Eurobond issuance, Edun said it was too early to determine the exact schedule.

    His words: “It’s a question of timing and sequencing. Right now, the emphasis in Nigeria is on equity, improving revenue collection from government-owned enterprises, and increasing oil production. These elevated oil revenue levels are making a significant contribution to government finances.”

    He said the budget deficit, which stood at 6.1 per cent of GDP in 2023, had gone down to 4.4 per cent by the third quarter of that year.

    This year, however, government plans to bring the deficit lower than four per cent, aligning with the Fiscal Responsibility Act’s target of three per cent.

     He was optimistic about achieving this goal, citing improvements in non-oil and oil revenues.

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    “The success we are having with revenues points to better fiscal metrics, including improved debt service ratios, a reduced budget deficit, and eventually lowering the debt-to-GDP ratio,” he noted.

    The minister also spoke on the role of multilateral financial institutions like the International Monetary Fund (IMF), urging them to adopt more flexible lending terms.

    “Multilateral institutions are part of the range of financing options. We are always looking for better terms, not just for Nigeria but for other developing countries, particularly in Africa,” he said

    On Nigeria’s exchange rate policy, Edun said the shift to market pricing for foreign exchange has strengthened Nigeria’s foreign reserves by 30 per cent since 2023.

     “Market pricing of foreign exchange has stabilised the economy, eliminated wasteful subsidies and set the stage for the return of foreign direct investment,” he said.

    Edun cited encouraging signs of foreign investor confidence under the Tinubu administration.

    According to him, the elimination of fuel subsidies and the adoption of market-driven pricing mechanisms have attracted major investment commitments.

    “Shell and Total Energies have announced final investment decisions worth $5 billion and $3 billion, respectively.

    “Additionally, several international companies in sectors such as infrastructure, fast-moving consumer goods, and financial payments have indicated plans to expand their investments in Nigeria.

    Edun pointed out that the federal government’s proactive fiscal measures and reforms are creating a solid foundation for economic recovery and growth.