By Lucy Ogalue

The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) has awarded start-up kits to some Persons with Disabilities (PWDs) and other entrepreneurs to grow their businesses.

The Director-General of SMEDAN, Mr Charles Odii, announced the gesture on Friday in Abuja.

Odii said that the empowerment was done under the National Business Skills Development Initiative (NBSDI) of the agency.

He restated the Federal Government’s commitment to ensuring an inclusive government that leaves no one behind, especially the youth, women and PWDs.

The News Agency of Nigeria (NAN) reports that no fewer than 55 persons were trained and awarded certificates and start-up kits in the Federal Capital Territory.

Of the number, 35 who trained in fashion designing received industrial machines and 10 participants, who trained in catering, received mixers, gas cylinders and an industrial oven each.

The participants, who trained in leather works, were also equipped with the necessary machines for their business.

The training is expected to run concurrently in 13 states of the federation, with 55 participants in each state, totalling 715 to be empowered by SMEDAN.

The SMEDAN boss also said that the government acknowledged the importance of small businesses to national development and would do all in its power to support them.

He said: “India and China changed their economies because they focused on people like you, the small businesses.

“This administration, we are not paying lip service to SMEs development, and that is why we are doing all of these today and much more that are lined up.

“We understand times are challenging, so what we have done is to reduce the cost of acquiring this knowledge and skill and the cost of acquiring the equipment.”

He further urged them not to sell the kits given to them but utilise them and ensure to empower others around them to create more jobs for Nigerians.

Odii said: “55 people were trained. If each participant employed just five persons each in the next six months, 275 more jobs would be created only from this training.

“When you create jobs, you will reduce the high rate of violence in our society.

“So, play your part, put the knowledge you have acquired to action and we will support you.

“The Minister has also committed, and I will hold him to it, that as many who create jobs and employ people, I will make sure they get more support, that is the only way we will arrest poverty.”

He charged them to be good ambassadors of the agency by preaching the good things the government is doing, creating more jobs to reduce unemployment and insecurity in the country.

He also called for more collaborations both locally and internationally to enable the agency to reach out to more states and more Nigerians.

Meanwhile, the Minister of State for Youth, Mr Ayodele Olawande, who presented the items and certificates to the participants, urged them to ensure that they became employers of labour.

He said: “55 people can turn this country around if we are determined.

“So, let each of you try to train at least 10 other people before the next six months.

“Imagine the multiplier effect it would have, if these persons you have trained train additional five others each?

“And there is going to be a reward for participants who are able to do this,” Olawande said.

He emphasised the importance of every Nigerian youth acquiring at least two skills, rather than waiting or depending on white-collar jobs.

He said: “If a productive youth has two or more skills, we would have advanced more than where we are today.

“Also, it will be a crime for any one local government in this country not to have a product to sell to people. Let each state start producing something.

“If 18 Local Governments in Ondo State, for instance, are producing something and are exchanging that with other Local Governments, before you know it, they will be exchanging with different states.

“So, we are going to ‘no skills, no nature and no products, no nature’, and that is why we are here to partner with SMEDAN to work things out to make a better nation.”

An awardee from the PWD community, Mr Adero Umar, thanked SMEDAN and the government for the opportunity provided for them to be part of the training.

Umar said: “I am happy for this opportunity and the materials in leather works, which I have received today.

“I will not roam the streets begging because I have acquired a skill and will be able not only to start my own shoe business but employ people like me to join me in my business.”

Also, Ashiru abdullahi, another PWD and already a fashion designer, thanked the agency, saying the industrial sewing machine he got would enable him to expand his business.

Miss Okeoghene Akaeva, a caterer, said she was happy for the opportunity to learn a skill and also excited about the kits.

“Even though we were told we would be given the items, it still came as a surprise to me and I am very happy.

“I thank the agency and Federal Government  and pray they have the means to continue the programme so that more people can benefit from it. (NAN)

Edited by Sam Oditah

By Martha Agas

The Presidential Inter-Ministerial Committee on Securing Nigeria’s Natural Resources Security agencies has met with the security chiefs to chart modalities for securing Nigeria’s natural resources.

The Minister of Solid Minerals Development, Dr Dele Alake, said this at a news conference in Abuja.

The News Agency of Nigeria (NAN) recalled that President Bola Tinubu had on Jan. 17, set up the committee to produce a blueprint for securing Nigeria`s natural resources which comprised of mineral sites, marine economy and forests.

Alake explained that the security agencies included in the committee deliberated on strategies for addressing the insecurity due to their expertise in the sector.

He said the meeting also looked into how to prevent a recurrence of the Ibadan explosion and to address insecurity in the solid minerals sector.

“We have deliberated exhaustively and it’s decided that the security agencies that constitute the experts in this particular venture should meet and give us a work plan on execution of that mandate,“ he said.

He said that they would meet in a fortnight for further deliberations on the work plan.

He added that the work plan would include information of the outfits that the committee would propose modalities for execution, funding and other details associated.

According to the minister, it is hoped that that its recommendations will avert any reoccurrence of the Ibadan explosion.

He further explained that government was still awaiting forensic result on the blast which he described as critical in determining its line of actions.

NAN recalls that no fewer than five persons were reported killed, 77 injured and 58 buildings damaged by the explosion.

The minister explained that the final forensic analysis report of the various security and intelligent agencies, along with input from technical experts, was crucial in unravelling the cause of the explosion.

“Fragments, document, a lot of items constituting evidence were taken and obtained from the site and some of these things have to be scientifically analysed before authentic reports are given.

“Government will not be able to give categorical statements until we have seen or received a report, studied, digest and analysed and come up with the informed decision.

“Anything before then will be assumption and we don’t work on assumption,“ he said.

NAN reports that ministers at the meeting include Minister of Defence, Badaru Abubakar; Minister of Environment, Balarabe Lawal; Minister of State for Police Affairs, Imaan Suleima-ibrahim.

Others are the Minister for Marine Blue Economy Adegboyega Oyetola, Minister of Interior, Tunji Olubunmi-Ojo and representatives of the service chiefs.(NAN) (www.nannews.ng)
=============

Edited by Chioma Ugboma

By Kadiri Abdulrahman, News Agency of Nigeria (NAN)

As the Federal Government takes steps to moderate its dependence on borrowing to fund budget deficit, experts say there is the need to maximise taxation potential of the country to boost revenue.

Stakeholders have continued to raise concern that the country’s dependence on debt to fund expenditure is becoming unsustainable.

Nigeria’s total public debt stock, according to the Debt Management Office (DMO) in a recent computation, hit N87.91 trillion, approximately 114.35 billion dollars in September 2023.

The DMO said that the amount represented both domestic and the external debts profile of the Federal Government, the 36 state governments and the Federal Capital Territory (FCT).

The debt stock represents a marginal increase of 0.61 per cent, when compared to the June figure of N87.38 trillion.

The need to boost tax revenue informed a recent Strategic Management Retreat by the Federal Inland Revenue Service (FIRS), geared at “re-imagining tax administration for equity and economic growth”.

During the opening ceremony of the retreat, Executive Chairman, Dr Zacch Adedeji, said the FIRS had a collection target of N19.41 trillion for 2024, after it surpassed its 2023 target of N10.7 trillion by N816 billion, having generated N12.37 trillion.

Adedeji said that the task would be achievable considering the reforms and new structure being put in place to boost voluntary compliance by taxpayers.

He said the new approach was to provide the enabling environment for businesses to survive in order to facilitate the collection of taxes.

“Our duty is to provide an effective tax collection system, we are not a revenue generating agency; we are a revenue collection agency.

“If we go with the plan that President Bola Tinubu has to rejuvenate the economy, it comes mainly from macroeconomic indices

“We are going to tax prosperity, not poverty, we are going to focus on the fruit and not the seed.

“Our duty is to make sure that we have that viable economic environment to lead to economic prosperity and for us here, it is just to put the structure in place to aid effective collection,” he said.

He said that the focus would be to increase tax without increasing tax rate.

“Our focus is actually to improve our effectiveness in collection to drive voluntary compliance.

“Also, expand the base and have a good environment that makes the companies prosper. When the base is big, the same percentage will give you more taxes and that is our target,” he said.

The Minister of Finance, Mr Wale Edun, said the country must focus on domestic revenue mobilisation to fund its budget.

Edun, who is also the Coordinating Minister of the Economy, said that amid the current economic realities, exploring expensive debts was not good for the country.

He said Tinubu administration remained committed to actualising a 77 per cent increase in domestic revenue mobilisation to assist in funding critical infrastructure, especially healthcare and education.

According to Edun, while tax revenue remains crucial, the issues around increase in government revenue deserve attention.

He said that the Federal Government owned enterprises must do more to augment the current fiscal position of government.

He said that the country’s tax revenue as a percentage of GDP, remained extremely low at 10 per cent.

According to the minister, though FIRS met and surpassed its target for 2023, additional efforts are still needed to measure up to the challenge in 2024.

He said the emphasis of the Federal Government was to grow the economy.

“In order to maintain and build confidence and public trust, what the taxpayers want to see is that their money is faithfully collected as it should be and properly spent and accounted for with minimal excess wastes and leakage.

“Given what is going on around the world, even an elevated and sustained increase in interest rates, borrowing is not the way to go.

“The emphasis is on Internally Generated Revenue (IGR), domestic resource mobilisation, and equity as opposed to debt,” he said.

The Accountant-General of the Federation (AGF), Dr Oluwatoyin Madein, said that FIRS now accounts for up to 70 per cent of the country’s total revenues.

Madein, however, said that a lot of tax revenues were still left uncollected, adding that there is the need to expand the current tax base.

She urged the FIRS boss to challenge the status quo in his bid to increase tax revenue.

“We have seen a massive improvement in tax collection with the changes at FIRS over the years. The FIRS now contributes about 70 per cent of the total federation revenues.

“Yet, a lot of tax revenues are left uncollected. The current tax base needs to be expanded while at the same time finding new and improved ways and means, and partnerships that engender tax revenue growth.

“With strategic cooperation within FIRS and strategic partnerships, and by challenging the status quo, I am strongly convinced that FIRS can set a new standard for tax administration in Africa.

“If we continue to do business as usual, we continue to get the same level of results,” she said.

The Coordinating Director of Special Tax Operations Group, FIRS, Amina Ado, said the N19.41 trillion revenue target for 2024 represented an increase of 56.9 per cent from the previous year’s actual revenue.

Ado said that the FIRS engaged with other regulators in 2023 to achieve its success and will continue to engage them, other tax practitioners and intermediaries.

“We engaged with other regulator; we will continue to engage them, tax practitioners, intermediaries, and the withholding concept to expand the tax base as much as possible under the law.

“The law has given us a lot of opportunities to expand the withholding concept so that we can take the taxes, and that way, the leakages downstream can be lowered.

“These are strategies we will deploy to ensure we deliver on this ambitious target”, she said.

Findings have shown that the ability to collect taxes is central to a country’s capacity to finance social services such as health and education, critical infrastructure such as electricity and roads, and other public goods.

A study by the International Monetary Fund (IMF) indicates that developing countries like Nigeria collect.just 15 percent of GDP in taxes, compared with the 40 percent collected by typical advanced economies.

This low level of tax collection is putting economic development at risk in such low-income countries.

Meanwhile, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, said that his committee has proposed the use of USSD and other digital channels for the payment of taxes.

According to him, part of the proposals to the government is to cancel many of the current taxes that have become burdensome to the people, and harmonise the few that are justifiable.

He also advised the government to digitise the collection process with multiple channels including USSD to drive efficiency, reduce leakages and promote accountability.

Also, Attorney General of the Federation (AGF), Lateef Fagbemi, said that the Federal Government would provide all the support required by FIRS to enable it to deliver on its mandate.

According to Fagbemi, an effective tax administrative system is critical for growth and development.

He said that adequate taxes must be collected to fund government infrastructure and social programmes while also supporting the operating environment.

“It is important that tax laws and administrative processes are all-inclusive as well as stakeholder centric and not just tax payers centric,” he said. (NANFeatures)

**If used please credit the writer and News Agency of Nigeria. 

By Okeoghene Akubuike

A prominent Development Economist, Prof. Ken Ife, has identified insecurity as the primary driver behind the escalating costs of food in the country.

“Fewer farmers are growing crops and many can no longer go to the farm out of fear.

“Eighty per cent of rural production, processing and marketing of food is done by women.

“Insecurity has made it also dangerous for these women to go to harvest their crops,’’ he told the News Agency of Nigeria (NAN) on Thursday in Abuja.

The economist explained that there were five components of inflation and foodstuff basket index was the highest of all the components.

“You have the foodstuff basket index and it is the highest inflation.

`It is five points above the headline inflation which is now 28.92 per cent while the food basket inflation is 33.93 per cent.

“Food inflation has remained at very high altitude for more than three years, which means that whatever is happening to Nigeria’s food equation is systemic,’’ he said.

Ife called on the Federal Government to apply more pressure in tackling insecurity.

According to the National Bureau of Statistics (NBS), food inflation rate for December 2023 increased to 33.93 per cent on a year-on-year basis.

It reported that the December 2023 level was 10.18 per cent points higher compared to the rate recorded in December 2022 at 23.75 per cent.

It reported also that the rise in food inflation on a year-on-year basis in December 2023 was caused by increases in prices of bread and cereals, oil and fat, potatoes, yam and other tubers.

The NBS also reported a steady increase in prices of beef, rice, beans, onion, tomato, yam, bread, oil, and other food items in December 2023. (NAN) (www.nannews.ng)

Edited by Dorcas Jonah/Alli Hakeem

Dignitaries at the launch of 2024 Macro-economic Outlook with the theme; ‘’Economic Transformation Roadmap: Medium-Term Policy Priorities’’ by Nigerian Economic Summit Group (NESG)

By Olawunmi  Ashafa

The Governor of Central Bank of Nigeria (CBN), Olayemi Cardoso, has admitted the challenges of the Nigerian economy, noting that the impasse is just a passing phase.

According to him, the transformation agenda of the Bola Tinubu administration is being designed on a progressively dynamic platform for the bailout from the economic depression.

The governor said this at the launch of 2024 Macro-economic Outlook, with the theme; ‘’Economic Transformation Roadmap: Medium-Term Policy Priorities’’, organised by Nigerian Economic Summit Group (NESG) on Wednesday in Lagos.

Advancing the importance of the programme to the economy, Cardoso said that the pivotal role of the NESG could not be overemphasised.

He noted that the crucial role of the group was to facilitate the formulation and implementation of national growth and transformation of the Nigerian economy for sustainable development.

To him, the NESG, without doubt, had become one of the leading platforms for Public-Private Partnership in the country, commending the body for its positive role in national development.

The CBN governor also acknowledged the various economic challenges and proposed solutions by stakeholders, assuring that the country was finding a lasting solution to the hydra-headed menace challenging the growth of the economy.

The Chairman, NESG, Mr Niyi Yusuf, while delivering his opening address, said the year 2023 presented challenges, marked by the rigorous implementation of demonetisation policies, widespread insecurity and a general election.

These, he noted, aggravated pre-existing macro and structural issues.

He said that these challenges significantly impacted Nigeria’s socio-economic landscape and macroeconomic performance.

Yusuf, however, said that with the dawn of a new government, the country is ready with political and economic opportunities to address these challenges, optimise its potential and achieve vital developmental objectives.

The NESG boss further explained that the Russia-Ukraine crisis, global supply chain disruptions and energy and food crises heightened economic vulnerability throughout the year.

According to him, global policy rate rose in 2023 affected Nigeria, worsening inflation rates and impeding economic growth.

He noted that stringent government reforms, including the removal of fuel subsidy and exchange rate alignment, further constrained the real sector, suppressing overall economic outcomes.

“In 2023, Nigeria experienced fragile economic growth characterised by escalating inflationary pressures, exchange rate depreciation and fiscal constraints.

“With our growing population, these challenges impeded prosperity, hindered productivity, curtailed the real sector, and diminished the positive impact of growth outcomes on the quality of life of Nigerians.

“Despite a trade surplus, foreign capital receipts were below expectations on the external front and the official and unofficial naira exchange rates depreciated beyond the planning expectations of most businesses, ” Yusuf said.

The NESG chairman said that Nigeria’s reference crude oil price which declined, posed fiscal challenges as public debt rose, with higher prices in 2023.

According to him, the situation resulted in a decline in the real purchasing power of the minimum wage and an estimated four million Nigerians were pushed into poverty.

While the government has implemented interventions, he stressed that more efforts were needed to reverse the country’s weak and non-inclusive growth narrative.

He said, “Building on the NESG #NES29 theme, “Pathways for Sustainable Economic Transformation and Inclusion”, this year’s macroeconomic outlook underscores “Medium-term Policy Priorities” to expedite the transformation process and enhance the socio-economic well-being of Nigerians.

“The economic transformation roadmap outlines three phases of policy sequencing, focusing on monetary stability, effective fiscal management, local content improvement, domestic productivity enhancement, incentives. This is to motivate private sector investments, and human, social and natural capital development.

“As we delve into these policy priorities, we must emphasise the pivotal role of a robust policy environment in laying the foundation for sustainable macroeconomic stability and economic transformation.

“We recognise the current administration’s efforts in stabilising the economy but given the depth of the problems, more still needs to be done and quickly too. We must not relent to build the Nigeria of our dreams.

“I implore every stakeholder to rise to this occasion and contribute to our quota in rebuilding our economy.”

He noted that the NESG would continue its collaborative efforts with the federal and subnational governments to achieve these transformative goals.

He, however, noted that a concerted and coordinated approach and effective policy implementation would propel Nigeria toward a more resilient, inclusive and prosperous future.

The Chief Executive Officer, NESG, Dr Tayo Aduloju, said that the report was designed with the goal of offering substantive insights into Nigeria’s economic transformation agenda.

“We earnestly desire that esteemed stakeholders within Nigeria’s economic, business and policy landscapes find this report to be an insightful and engaging resource.

“The findings and analyses herein will prove instrumental in informing strategic decisions and fostering a collaborative environment for sustainable economic growth and transformation,” Aduloju said. (NAN)

Edited by Adeleye Ajayi

Photo: Dignitaries at the CIBN 2024 Economic Outlook

By Lydia Ngwakwe

The Chartered Institute of Bankers of Nigeria (CIBN) says the banking sector has overcome past challenges and it is preparing for a future with both difficulties and opportunities.

Its President/Chairman of Council, Dr Ken Opara, said this at the 10th National Economic Outlook, organised by the CIBN Centre for Financial Studies, in collaboration with B. Adedipe Associates Ltd., on Tuesday in Lagos.

The News Agency of Nigeria (NAN) reports that the meeting had the theme, “Implications for Businesses in 2024’’.

The CIBN chairman said that the banking sector faced significant challenges including non-performing loans, inflation, forex scarcity, and cybersecurity threats.

Despite these difficulties, Opara said that the sector demonstrated resilience, meeting regulatory benchmarks and maintaining stability.

He said that the challenges and lessons learned from 2023 would guide the future of the banking industry.

Opara said, “ However, the lessons learned from 2023 will undoubtedly serve as a guidepost for the future.

“Continued economic stability, effective regulatory measures, and proactive risk management will be crucial as our financial institutions navigate the complexities of the year 2024.

“In the face of adversity, we trust that our banking sector will not only weather the storm but emerge stronger, more resilient, and better equipped to contribute to the sustained growth and prosperity of our nation as we share insights on how we can navigate the economic terrain in 2024 and beyond.’’

He noted that the economic landscape presented both challenges and opportunities, urging the government to diversify the economy by supporting the Small and Medium-sized Enterprises (SMEs).

He advised the government to promote exports, and add value in key sectors like agriculture and manufacturing.

Opara also saw the need for banks to prepare for capitalisation, build buffers, embrace digital transformation, and develop innovative solutions for SMEs and vulnerable sectors.

“Nigerian banks, meanwhile, must proactively prepare for capitalisation to service the desired $1trillion economy by 2026 amidst economic uncertainties.

“Building buffers to withstand potential shocks e.g aiming for the optimal capital adequacy ratio would enhance their resilience and ability to support economic growth.

“Additionally, embracing digital transformation and developing innovative financial solutions tailored to SMEs and other vulnerable sectors will be key to navigating the evolving economic landscape successfully,’’ he stressed.

On his part, Mr Muhammad Abdullahi,  Deputy Governor, Economic Policy, Central Bank of Nigeria (CBN), expressed the bank’s commitment to supporting businesses and fostering a sustainable economic environment in Nigeria.

Abdullahi, represented by Dr Mohammed Tumala, Director Monetary Policy Department, CBN, highlighted the government’s efforts to create a more conducive business environment and diversify the economy beyond oil.

He noted that government efforts were aimed to attract investment, generate foreign exchange, and support the growth of various sectors like agriculture,

manufacturing, and technology, ultimately leading to a more stable and prosperous future for Nigerian businesses and the economy as a whole.

Abdullahi said, “furthermore, the commitment to fostering a conducive business environment is paramount.

“The new administration’s push for streamlining regulations, reducing bureaucratic hurdles, and promoting transparency could encourage both local and foreign investments.

“Such measures could provide businesses with the confidence and stability needed for sustained growth.

“The government’s focus on promoting non-oil exports like agriculture, manufacturing, and technology, offers fertile ground for new businesses and the growth of trade.

“Increased non-oil exports can help to improve the trade balance, reducing the deficit and generating the needed foreign exchange reserves. This can stabilise the currency and attract foreign investment.

“Also, promoting manufacturing and processing would add value to raw materials before export, generating higher profits and boosting competitiveness in the global market.

“Similarly, encouraging technology exports fosters innovation and research and development, leading to a more technologically-advanced economy, and potentially driving further economic growth.’’

The Founder/Chief Consultant of B. Adedipe Associates Ltd., Dr ‘Biodun Adedipe, therefore, urged the government to actively implement the reforms it has announced.

He said that successful execution of these reforms was crucial for achieving positive outcomes for the country.

“As policy advocates, what we want to do is to encourage them to execute all these reforms that they have announced because of all the outlooks that people are doing all over the world; there are some very funny and strange projections for Nigeria.

“But, every one points to the reforms that we are doing in Nigeria, which means what is important for us is to execute the reforms,’’ Adedipe said.(NAN)

Edited by Olawunmi Ashafa