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Tinubu and the quest to secure Nigeria’s natural resources

Published

4 months ago

January 31, 2024

By Temitope Ajayi

For many decades, Nigeria’s move towards rapid development and economic growth was impaired by poor revenue despite the country’s abundant natural resources.

The country’s unsavoury economic situation was also compounded by the almost crippling foreign exchange crisis of the last eight years, accentuated by insufficient supply of dollars into the economy. With demand outstripping supply, the fiscal and monetary authorities have been battling to control the declining value of the naira against the US dollars, which has now hit an all-time low of over N1400 to $1 at the parallel market. The local currency, at the official window, oscillates against the dollar between N800 and N950 depending on demand.

While the supply of US dollars has been grossly inadequate, largely because of our import dependency, the increasing demand for the greenback to settle tangible and intangible obligations by businesses; individuals, and the criminal speculation by some Nigerians, continue to exert pressure on the demand side. The volatility of the foreign exchange market has been a source of serious concern for the current managers of the economy who are being assailed by the citizens to rein in the downward spiral.

Amid this unpalatable situation, questions have been asked why a country like Nigeria endowed with vast natural resources in solid minerals, marine economy, forestry, agriculture, and oil among others cannot generate enough foreign exchange. The country is constantly in financial and economic quagmire. In giving answers to the nagging question, many have attributed the decade-long dollar crisis to the monolithic nature of the Nigerian economy that depends, mainly, on oil and gas export to earn foreign exchange. There are those who also posited that the government should put in place deliberate policy actions to diversify the economy. The economic diversification argument may be tenuous because the available datasets show that Nigeria’s economy is highly diversified.

In real terms, the non-oil sector driven by telecommunication, financial services (Banking and Insurance), agriculture, trade, construction, real estate and service industry contributed 94.52 percent to the nation’s Gross Domestic Product in Q3 of year 2023, according to the National Bureau of Statistics (NBS). In comparison, the oil and gas sector contributed the balance of 5.48 percent.

While it is apparent from NBS figures that Nigeria’s economy is well diversified, the source of foreign exchange earnings remains yet undiversified. Over 80 percent of the foreign exchange that comes into the country is from crude oil export, whereas billions of dollars worth of exports in solid minerals, seafood and other forest resources are taken out of the country without record or direct benefit to the Federation account.

To address the problem of natural resources dissipation, illegal exploitation and sabotage of our national economy, President Tinubu at the last meeting of the Federal Executive Council, set up an inter-ministerial committee to draw up plans to maximise the economic potential of the country’s natural resources and secure them from those pillaging them. Members of the committee are Minister of Solid Minerals, Dele Alake, Defence Minister, Abubakar Badaru, and Environment Minister, Balarabe Abass Lawal. Others are Marine and Blue Economy Minister, Adegboyega Oyetola, Interior Minister, Tunji Olubunmi-Ojo, and Minister of State Police Affairs, Imaan Sulaiman-Ibrahim.

At the moment, Nigeria can boast of solid minerals deposits worth $700 billion according to estimates from the Ministry of Solid Minerals, while the Africa Blue Economy Alliance (ABEA), using information from the Nigerian Maritime Administration and Safety Agency (NIMASA), puts the value of the country’s unexplored blue economy at over $300 billion.

Rather than these resources drawing massive foreign exchange earnings into the country, foreigners are carting them away in cahoots with their local enablers through illegal economic activities.

The inter-ministerial committee set up to stem this colossal economic wastage met a fortnight ago to develop a framework that will enable our country to harness the full benefits of its natural resources. The presidential committee which is chaired by Mr. Alake also had an expanded second meeting with Service Chiefs last week Thursday, January 25, 2024.

Giving highlights of the expanded meeting, Mr. Alake emphasised that the committee’s engagement with the Service Chiefs across all security outfits and Office of the National Security Adviser (ONSA) was a follow-up to the maiden meeting of the Ministers to get inputs for developing a workable strategy to effectively secure Nigeria’s natural resources, in line with the Presidential mandate.

On the outcome of the second meeting, which had the Inspector-General of Police Kayode Egbetokun and other security top brass in attendance, Alake said, “We have deliberated exhaustively. We have covered all the issues, all the grounds. Certain decisions have been made, and there is going to be another follow-up meeting because the security agencies are going to give us the framework of execution of our mandate.

“That has been the crux of today’s deliberations. The security agencies, the service chiefs, NSA’s office, the Inspector-General of Police (IGP) are going to form a smaller committee to give us the work plan, execution modalities and we will be meeting in another fortnight.”

Apart from the IGP of Police, Commandant-General of the Nigeria Security and Civil Defence Corps (NSCDC), Dr. Ahmed Audi, Air-Vice Marshall Abdulkadir Abubakar and Rear Admiral I. Abbas represented the Chief Naval Staff and Chief of Air Staff, respectively.

With the renewed drive to protect the country’s natural resources based on new security arrangements, the nation’s economy will soon witness a new era of increased economic outputs and growth through the full utilisation of her natural resources.

Ajayi is Senior Special Assistant to the President on Media and Publicity

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1,681 vulnerable Lagos residents get N1bn financial assistance

Published

3 hours ago

May 21, 2024

NewsDirect

By Sodiq Adelakun

The Lagos State Office of Political, Legislative and Civic Engagement has provided financial assistance worth N1 billion to 1,681 vulnerable residents, aimed at alleviating economic hardship.

According to Dr. Tajudeen Afolabi, Special Adviser to the Governor on Office of Political, Legislative and Civic Engagement, this financial support is a demonstration of the state government’s commitment to the welfare of its citizens.

Speaking on Monday during the ongoing ministerial press briefing to mark the second term in office of Governor Babajide Sanwo-Olu, Dr. Afolabi also announced that the Governor plans to revive the school feeding programme for primary school pupils before the end of the year.

He said the move is expected to benefit thousands of pupils across the state, providing them with a nutritious meal during school hours.

According to him, “Sanwo-Olu Listens’ financial assistance to struggling Lagosians is a social welfare programme designed to provide financial assistance to vulnerable citizens in Lagos State has been sustained for five consecutive years.

“It is a fact that Lagos is not immune from the ever-increasing poverty rate in Nigeria, hence the government of Mr Babajide Sanwo-Olu, cognisance of this unpalatable trend has therefore taken necessary steps in providing support to help reduce poverty.

“During the period under review, 1,681 vulnerable residents of Lagos State were assisted in one way or the other.”

He added that 1,074 individuals are still awaiting this benefit, which will be addressed within the next two weeks.

“So far, we have spent N1 billion on financial assistance since the program began. Once we complete the distribution to the remaining beneficiaries, we will provide the total sum expended.”

Regarding the school feeding program for primary school pupils, the Commissioner stated, “Once we finalise all the details, we will provide an update. There are many steps involved, including determining the number of pupils.”

“By the end of the year, we will disclose the total amount spent on the school feeding program.”

He also mentioned that to ensure proper engagement and feedback, the state government launched the Lagos Citizens Gate App in April 2023.

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1.2 million students to benefit from loan fund in initial phase — Official

Published

3 hours ago

May 21, 2024

NewsDirect

By Sodiq Adelakun

The Nigerian Education Loan Fund (NELFUND) has announced that up to 1.2 million students in federal tertiary institutions will be eligible for student loans in the program’s initial phase.

This was revealed on Monday by the Managing Director of NELFUND, Akintunde Sawyerr, ahead of the formal launch of the application portal on Friday.

According to Sawyerr, students from federal institutions that have completed uploading their data will be able to apply for the loan in this first phase, which begins on May 24.

The application process has been streamlined to ensure ease of access for all qualified students in these institutions.

The NELFUND program is a key part of President Bola Tinubu’s administration’s Renewed Hope Agenda, aimed at providing financial support to needy students. The loan will cover obligatory fees and stipends, enabling students to pursue their academic goals without worrying about the financial burden.

He also added that the Fund will pay 100 percent of institutional fees directly to the institutions of learning account while also providing stipends to the students monthly based on when school is in session.

He stressed the importance of some of the key features of the student loan including, No physical contact between the loan applicant and NELFUND, a user-friendly Loan Application portal, comprehensive support where applicants can access online support to assist and flexible repayment plans.

According to him, “We encourage all students in federal institutions to take advantage of this opportunity to secure the required financial assistance for their education. Applicants must submit their applications as early as possible to ensure timely processing.”

News

Lagos Govt seals over 840 event centres, social facilities over safety violations

Published

5 hours ago

May 21, 2024

NewsDirect

By Sodiq Adelakun

The Lagos State Government has taken unwavering action against event centres and social facilities that violate safety regulations, sealing over 840 of them in the last one year.

This was disclosed by the Commissioner for Special Duties and Intergovernmental Relations, Gbenga Oyerinde during the ongoing Ministerial Press Briefing at the Bagauda Kaltho Press Center on Monday.

According to him, the Lagos State Safety Commission has carried out enforcement actions at various facilities, including event centres, clubs, lounges, hotels, and construction sites, to ensure compliance with safety standards.

Notable examples of sealed facilities include the Lekki Conservation Centre and Quilox.

In addition, the Commission has inspected over 7,819 facilities to ensure safety, issuing fire safety compliance certificates to 5,220 of them.

It was gathered that the Commission has carried out at least 365 advocacy initiatives to promote environmental safety.

In his words, “Our ministry in working in line with the THEMES Plus developmental Agenda of Mr. Babajide Sanwo-Olu, to mitigate risks and protect life and property of government and citizens of Lagos’ State, have sealed eight hundred and forty event centres and social facilities for safety violations and non-compliance of extant laws.”

The Commissioner also stated that fire safety officers from the States Emergency and Fire Rescue body successfully rescued 376 victims, preserving an estimated property worth of N152.22 billion, albeit with a regrettable loss of 82 casualties and N25.37 billion in property.

He also revealed that additional fire stations were added in Ibeju Lekki, Ifako Ijaiye among other locations across the state.

“In line with efforts to bolster infrastructure, three new fire stations are nearing completion in Ijegun-Egba, Satellite Town, and Ijede, while an ultramodern workshop at the Alausa headquarters is nearly finished to cater to the agency’s fleet maintenance needs.

“Additionally, land spaces have been identified for the development of additional fire stations in Ibeju, Lekki and Ifako Ijaiye,” he reiterated.

He added that Lagos State Fire and Rescue Service had prioritised fire mitigation and Emergency Response Strategies

He also said “the Lagos State Fire and Rescue Service is sustaining its focus on enhancing fire mitigation and emergency response strategies, aligning with the administration’s THEMES Plus Agenda. Under the leadership of Governor Babajide Sanwo-Olu, a collective effort was emphasised to address the challenges posed by fire incidents effectively.

“Key statistics from the year’s emergency calls revealed a total of 2,537 incidents, including 1,627 fire calls, 191 rescue calls, 93 salvage calls, and 4 explosions, alongside 607 false alarms.

“This highlighted the critical need for increased awareness of fire safety measures to combat the impact of negligence and non-compliance with safety codes,” he stated.

The Commissioner also highlighted the collaborative efforts with the Ministry of the Environment to improve the NYSC Temporary Orientation Camp (Youth Hostel) at Iyana-Ipaja.

Furthermore, he also revealed that the Lagos State Emergency Management Agency (LASEMA) responded to a total of 1,906 incidents between January 1, 2023, and March 31, 2024, comprising 1,461 incidents in 2023 and 445 incidents in the first quarter of 2024.