Author: Lucy Nwachukwu

AfDB unveils programme to manage debt crises in Africa

Debt

By Lucy Ogalue

Abuja, June 12, 2024 (NAN): The African Development Bank (AfDB) Group has inaugurated a series of training programmes to support 22 Transitional or fragile African states in managing their debt more effectively.

This is contained in a statement issued by the bank on Wednesday in Abuja.

The bank said the Public Finance Management Academy for Africa (PFMA), organised the maiden edition of the PFMA Spotlight on Public Debt Management in Transition States.

The News Agency of Nigeria (NAN) reports that PFMA, an AfDB’s African Development Institute, organised the two-day policy dialogue on sustainable debt management tailored to the needs of Africa’s 22 most vulnerable countries.

The programme will help countries build their institutional capacity to better manage debt and achieve the financial resilience needed for development.

The series brings together heads of debt management offices, treasurers and accountants general, heads of revenue authorities, and representatives of central banks.

It also brings together supreme audit institutions, anti-corruption agencies, civil society organisations, academia, the private sector, lawmakers, and other relevant stakeholders in transition states.

Ethiopia’s Minister of State for Finance and Economic Cooperation, Semereta Sewasew, said there had been positive strides in debt management on the continent.

Sewasew, however, said debt challenges and vulnerabilities persisted, especially in most transition countries on the continent.

“These countries face various political, economic, security and environmental challenges.

“I am pleased that the AfDB has designed this training programme to help develop and strengthen the capacity of these countries.

“To manage their debt more prudently, to make their debt more productive, and restore resilience, stability, and growth to their economies, “she said.

Sewasew said the Government of Ethiopia had made substantial progress in improving the country’s economy, particularly in addressing debt challenges and commended the AfDB as a steadfast partner in this process.

“Our government will continue to work with the bank and support its programmes not only for Ethiopia but for the entire continent, especially in improving debt management, transparency, and sustainability,” Sewasew said.

Meanwhile, the AfDB’s Deputy Director-General for East Africa and Director-General designate for Nigeria, Abdul Kamara, said the training was part of the implementation of the Bank’s Special Project.

According to Kamara, the theme of the project is “Strengthening the Capacity of Transition States for Effective Management and Mitigation of Debt Distress Risks.’’

“The project is being implemented from April 2023 to March 2026 for 22 African transition countries under the Bank’s Transition Support Facility.

“We believe that we can do even more for our countries.

“We expect that at the end of these two days, participants will have, among other things, an understanding of best-practice solutions tailored to their particular debt management circumstances, “he said.

Similarly, the Director of the African Development Institute, Eric Ogunleye, said: “African transition countries should not be mere loan takers; they are disadvantaged.

“Hence, they need to be empowered to contract, negotiate and use loans to improve the quality of life of their citizens.”(NAN)(www.nannews.ng)

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Edited by Benson Iziama/Sadiya Hamza

Vehicles

By Lucy Ogalue

Abuja, June 12, 2024(NAN): The National Automotive Design and Development Council (NADDC), has urged Nigerian to patronise made-in-Nigeria vehicles, saying they are affordable.

The Director-General of NADDC, Joseph Osanipin, told the News Agency of Nigeria (NAN) that patronising locally manufactured or assembled vehicles would bolster the country’s automotive industry and the economy.

NAN reports that the country has relied heavily on imported vehicles to meet its transportation needs for decades, and this dependence comes at a significant cost, both economically and strategically.

Importing vehicles drains foreign exchange reserves, exacerbates trade imbalances, and leaves Nigeria vulnerable to global market fluctuations.

Moreover, it stifles the growth of the domestic automotive industry, depriving the country of opportunities for job creation, technology transfer, and industrial diversification.

Recognising this challenge, the Federal Government through the NADDC, said it was intensifying its campaign to encourage the use of locally manufactured vehicles in the country.

According to the NADDC boss, vehicles assembled in Nigeria are new vehicles, and in terms of price, they can compete with new vehicles coming from outside the country.

“For instance, for utility vehicles like pickup van, if you look at the price, some pickup vehicles assembled in Nigeria are about 60 per cent of those coming from outside.

“Some are 70 per cent, some are 80 per cent based on the type of the pickup van, so in terms of price, they can compete with new vehicles,’’ he said.

Osanipin said that if given the necessary support, patronising made-in-Nigeria vehicles would boost the auto sector and, thus, significantly contribute to Nigeria’s Gross Domestic Product (GDP).

He said the patronage would stimulate local production, increase demand, encourage investment in the sector, and lead to more factories, improved technologies, and better living standards for many Nigerians.

The director-general acknowledged the challenges currently faced by local manufacturers, such as high production costs and competition from imported vehicles.

Osanipin reiterated the administration’s commitment to addressing and providing a conducive environment to encourage vehicle assembly and manufacturing in the country.

He said the Federal Government had established a Credit Scheme to boost the country’s automotive sector by ensuring the affordability and availability of locally assembled vehicles.

“So the credit scheme will not be for those who want to bring their vehicle from abroad, no, but if it is for locally manufactured.

“I am hopeful that the credit, which would be given at a favourable rate, will bolster growth, ensure the sector thrived, and contribute significantly to the economy,’’ he said.

Meanwhile, some consumers have decried the high cost of made-in-Nigeria vehicles and are appealing to the government to subsidise their cost for the benefit of common Nigerians.

Mr Chinedu Eze, an Abuja-based entrepreneur, said: “I thought buying a made-in-Nigeria vehicle would be more affordable, but the prices are almost as high as imported ones.

“I think a key factor contributing to the high prices is the cost of production. Local manufacturers face numerous challenges.

“This includes high import duties on raw materials and automotive parts, inadequate infrastructure, and fluctuating exchange rates.

“These issues not only drive up production costs but also translate into higher retail prices for consumers, thus, the need to address the issues.”

A civil servant, Amaka Okoro said: “producing vehicles locally is supposed to stimulate the economy and create jobs, but if the vehicles are too expensive for the average Nigerian, then it defeats the purpose.

“We want to support local industries, but it is hard when the cost is beyond our reach.”

A consumer, Mr John Amedu, also urged for government intervention, support and increased investment in infrastructure, such as subsidies for manufacturers and tax incentives.

“I understand the need to support our local manufacturers, but there must be a balance. The government should consider policies to make these vehicles more affordable for the average Nigerian,’’ Amedu said.

“There is hope that with better policies and a more favourable economic environment, the cost of made-in-Nigeria vehicles can eventually be brought down to a level that is accessible for the majority of Nigerians.

“For now, many Nigerianscontinue to look for more affordable alternatives, often turning to the second-hand market or imported used cars,’’ Amedu said. (NAN)(www.nannews.ng)

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Climate
Abuja, June 12. 2024 (NAN) The African Development Bank (AfDB) and other Multilateral Development Banks (MDBs) have agreed to develop a common approach for measuring and reporting climate results.

The AfDB, in a statement on its website, said MDBs had reported climate finance volumes, but this had not fully captured the tangible impacts of these interventions.

It said the new agreement aimed to provide a comprehensive understanding of the outcomes of climate investments, enhance learning, and identify areas needing additional support.

“The common approach adopted by MDBs ensures transparency, consistency and comparability across institutions and contributes to global efforts to establish standardised frameworks for assessing climate progress.

“It represents a significant advancement in how climate finance impacts are measured, reported, and utilised to drive effective climate action worldwide,” it said.

The statement said the new framework was structured according to global and country contexts and results from operations and institutional efforts.

It said: “the global and country context level integrates the latest climate science and sets the context for urgent action, referencing global greenhouse gas emissions and the vulnerability of populations to climate risks.

“Results from operations evaluate MDBs’ contributions to equitable, low-carbon, and climate-resilient development by tracking emissions from financing operations for mitigation and identifying beneficiaries of resilience-enhancing interventions.

“While institutional effort monitors the financial resources and technical assistance MDBs use to implement climate interventions.”

According to the statement, the common approach is not a new reporting mechanism but a tool to enhance harmonised reporting on climate outcomes across MDBs and other stakeholders.

It said while MDBs already reported on climate outcomes, this unified approach offered significant benefits, including improved data aggregation, comparability, and learning opportunities.

“MDBs will continue refining this approach, working together to develop a set of common indicators.

“These indicators will track mitigation efforts by monitoring emissions from financing operations and, where possible, measure the beneficiaries of interventions to enhance climate resilience.

“Progress on these developments will be reported at future climate conferences,” it said.

The statement quoted Prof. Anthony Nyong, the Director of Climate Change and Green Growth at the AfDB, as saying  “the milestones achieved are significant.

“This approach allows us to see what we are achieving in the countries we support and where gaps need addressing.

“It will help inform and refine MDBs interventions, ensuring our efforts are as effective and impactful as possible.”

The director said by adopting this unified approach to measure climate results, MDBs were taking a crucial step towards more transparent, accountable, and impactful climate action.

Nyong said the alignment with global climate goals ensured that their interventions delivered meaningful results on the ground.

” The collaborative efforts of MDBs in developing and refining this approach highlight a commitment to continuous improvement and responsiveness to the evolving challenges posed by climate change.

“As MDBs implement this common approach, they will not only enhance their operations but also contribute to the broader international effort to combat climate change,” he said. (NAN) (www.nannews.ng)
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Remittance

By Lucy Ogalue

Abuja, June 11, 2024 (NAN) The Nigeria Export Processing Zones Authority (NEPZA), said the country’s Free Zones as of October 2023, remitted N11.11 trillion to the Federation Account.

The Managing Director, NEPZA, Olufemi Ogunyemi, said this during an oversight visit of the members of the Senate Committee on Industry, Trade and Investment on Tuesday in Abuja.

According to Ogunyemi, this achievement underscores the importance of special economic zones (SEZs) in Nigeria’s economic landscape.

The News Agency of Nigeria (NAN) reports that the Nigerian SEZ scheme, governed by the NEPZA Act, allows for public, private, or public-private operations in these zones.

The managing director said the zones had facilitated wealth and revenue generation for various states and agencies.

“In 2023 alone, the Nigeria Customs Service (NCS) generated N59.38 billion, Immigration Services received N828.7 million, the Nigerian Ports Authority (NPA) garnered N8.738 billion, and states collected N998 million in PAYEE.

“Foreign Direct Investments (FDIs) and Local Direct Investments (LDIs) from 2019 to 2023 have reached 491.8 million dollars and N1.15 trillion respectively.

“The Free Zones have also significantly contributed to import substitution, with more than N1.62 trillion worth of cargo imported from these zones between 2019 and 2023, saving scarce foreign exchange,” he said.

According to Ogunyemi, the direct employment generated by the zones stands at 38,429 jobs, with an additional 172,930 indirect jobs created by the end of 2023.

He said the scheme had also fostered skills development, with many semi-trained artisans gaining the expertise to start their ventures.

The NEPZA boss said that in spite of these successes, the authority was being faced with challenges such as an obsolete legal framework.

He said they faced regulatory incursions, numerous invitations from the National Assembly, and conflicting legislation, such as the Finance Act and Customs Act.

Ogunyemi, therefore, urged the support of the Senate Committee on Industries, Trade and Investment to address these challenges and enhance the SEZ scheme’s effectiveness.

While reiterating the transformative potential of SEZs, he highlighted the economic successes of nations like China and the UAE, advocating continued and strengthened implementation in Nigeria.

The NEPZA boss also restated the authority’s commitment to boosting the country’s economy.

Responding, the Chairman of the Senate Committee on Trade and Investment, Sen. Sadiq Umar, reiterated the NASS’s commitment to driving the mandate of NEPZA.

On the legal framework, he said,” if it is brought as an executive bill, I will be happy to sponsor it as my bill, but it has to conform with what I believe a bill should be.”

On the numerous invitations, Umar said the national assembly was empowered to invite whomever it desired but urged the authority to ensure it operated according to its set goals.

“What I can help you with is ensuring you are doing the right thing and that your books are clean.

” And if they invite you, you can confidently go there and answer  questions,” he said.

The chairman decried some zones’ inability to meet their set goals and urged NEPZA to ensure this was addressed.

The chairman said much more still needed to be done in the agency.

” The committee is going to take it up to ensure that the agency is well positioned to achieve the real reasons why they are established,” Umar said. (NAN) (www.nannews.ng)

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Edited by Chioma Ugboma/Ese E. Eniola Williams

Investment
By Lucy Ogalue
Abuja, June 10, 2024 (NAN) Stakeholders say collaboration is important in boosting investments and ensuring Nigeria’s growth.

They spoke at a Stakeholders ‘Engagement with Investment Promotion Agencies (SIPAs), organised by the Nigerian Investment Promotion Commission (NIPC) in Abuja.

The Executive Secretary of NIPC, Aisha Rimi, emphasised the Importance of strengthening relationship between the commission and the state investment agencies.

“So the objectives today are to strengthen this relationship between NIPC and the State Investment Promotion Agencies (IPAs).

“To ensure a seamless coordination and alignment of efforts to attract investments across the country.

“We want to strengthen and build the technical and institutional capacity of the IPAs to enable them to achieve set goals and objectives.

“We want to be able to disseminate information about investment opportunities across the states, leveraging local knowledge to attract investors,’’ she said.

Rimi expressed the commission’s desire to address challenges and bottlenecks that hinder investment activities and find practical solutions to enhance the investment climate.

She said the meeting also aimed to foster strong relationships with stakeholders, including Ministries, Departments, and Agencies (MDAs), some of which were represented at the event.

To achieve these goals, Rimi said the commission designed the Nigerian Investment Certification Programme for States (NICPS) to ensure an efficient system in the states.

The executive secretary reiterated the importance of working to ensure we retained the investors already in Nigeria, especially considering the harsh business environment in the country.

Rimi urged the participants to use the opportunity to interact, network, listen to the various speakers, and find ways to drive investment in the country.

Also speaking, the Director, Infrastructure and Public Private Partnership (PPP), Bureau of Public Procurement (BPE), Dr Micheal Magaji, reiterated the importance of collaboration to boost investment.

According to Magaji, reform is also critical to ensuring investment promotion in the country.

He said: “our engagement today underscores our commitment to fostering strong partnerships between the federal and state levels and between the public and private sectors.

“We are here to listen, learn, and share our expertise, with the ultimate goal of driving sustainable development and economic growth across Nigeria.

“Additionally, we use this opportunity to urge all states present at this engagement to take full advantage of this collaboration.”

According to the director, the benefits outlined above represent a glimpse of what can be achieved through our joint efforts.

“We encourage you to engage with the Bureau. Leverage our expertise and unlock the full potential of your state’s assets.

“Our doors are always open, and we are committed to supporting you in every step of this journey.

“I look forward to our discussions and the innovative solutions emerging from this engagement.

“Together, we can continue to transform our states and, by extension, our nation into hubs of prosperity and progress,’’ he said.

Similarly, the Director, Investment Promotion, Ministry of Industry, Trade and Investment, Gertrude Orji, said the ministry was committed to keeping up with the NIPC’s mandate.

Orji, represented by an Assistant Director in the ministry, Amina Mohammed, said the event was critical to investment and pivotal to the country’s development.

Also, a representative of GIZ-SEDIN Programme, Abuja, Mr Akinropo Omaware, commended NIPC’s efforts in attracting and retaining investment in the country.

Omaware said collaboration was key to strengthening the country’s investment climate.

He expressed the commitment of the organisation to support and drive investments in the country.

The News Agency of Nigeria (NAN) reports that key stakeholders, government officials, and experts in the subsector attended the event.
(NAN) (www.nannews.ng)
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Electricity

By Lucy Ogalue

Abuja, June 8, 2024 (NAN) The Economic Commission for Africa (ECA), RES4Africa Foundation and Gestore dei Servizi Energetici (GSE) have concluded a High-Level Policy and Regulatory Training on Electricity Market Design.

The ECA, in a statement released on its website, said the training was a significant step towards advancing Africa’s electricity reform agenda and increasing private sector participation in clean energy infrastructure.

The News Agency of Nigeria (NAN) reports that the initiative is titled “Advancing Africa’s Electricity Reform Agenda: Towards Increased Private Sector Participation in Clean Energy Infrastructure.’’

The project builds on a successful regulatory work conducted by ECA and RES4Africa since 2019 and has assessed the electricity policy and regulatory frameworks in 16 African countries in four years.

It provides evidence-based recommendations to enhance regulatory openness, attractiveness, and readiness for private sector investments.

The statement quoted Robert Lisinge, Acting Director of Technology, Innovation, Connectivity, and Infrastructure at the ECA as reiterating the importance of de-risking investments.

According to Lisinge, de-risking investment, especially in an environment where the continent attracts a fraction of global energy investments, calls for a serious look at the policy and regulatory system.”

He said that addressing pressing regulatory constraints and, in some cases, regulatory absence, provided clarity to investors.

“ECA’s energy regulation and investment programme aims to bridge this barrier by supporting member states in their efforts to advance regulation and de-risk their markets,” he said.

Similarly, Yohannes Hailu, ,ECA’s Energy Policy Expert said, enabling greater private sector investment and participation in Africa’s electricity markets through policy and regulatory enhancements was crucial for sustainable financing.

Hailu said Kenya’s effort to address bulk electricity supply and open access regulation ensured a broader openness of the electricity market to private investment.

According to him, it also serves as a regulatory best practice to inspire similar initiatives across the continent.

“At the heart of this training is the broader initiative to provide technical support to Kenya in adopting and implementing Bulk Power and Open Access Regulation.

“This regulation has profound implications for opening Kenya’s electricity market to further private investment.

“Kenya’s advancing regulatory framework and emerging public-private partnership models in transmission investment positions it among the front-runners in Africa’s energy sector reform,’’ he said.

Meanwhile, Roberto Vigotti, Secretary-General at RES4Africa Foundation, said RES4Africa believed that the future of Africa’s energy lied in the hands of a well-informed and empowered community of policymakers, regulators, and industry leaders.

Vigotti said the training represented a pivotal step towards creating an enabling environment for private sector investments in the clean energy sector.

According to him, the collaboration with ECA, GSE and other partners will drive the energy transition across the continent, ensuring sustainable, reliable, and affordable electricity for all.

Also, Alberto Biancardi, Director of Studies, Monitoring, and International Relations at GSE, said, GSE was pleased to work together with RES4Africa and ECA in furthering the energy transition.

“We are eager to continue supporting the creation of opportunities for building capacities to design the most effective ways of tackling persistent challenges and taking advantage of the wealth of opportunities on the continent.

“ECA maintains ongoing collaboration with member states in advancing regulation and market de-risking measures.

“This collaboration involves developing and implementing supportive regulatory instruments, capacity-building initiatives, and technical assistance to address the investment gap in the sector,’’ he said.

NAN reports that the Italian Ministry of Foreign Affairs and International Cooperation and the Enel Foundation collaborated and supported the organisations to ensure success of the training.

The AFRY Management Consulting and Grupo Mercados Energéticos Consultores (GME) are also valued partners in delivering quality knowledge and skills sharing with participating experts.(NAN)

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Edited by Chijioke Okoronkwo

Infrastructure

By Lucy Ogalue

Abuja, June 6, 2024 (NAN) The Abuja Chamber of Commerce and Industry (ACCI), has commended the infrastructure initiatives and dedication of the FCT Minister, Nyesom Wike, in one year of President Bola Tinubu’s administration.

The ACCI President, Mr Emeka Obegolu, in a statement described the infrastructure development strides by the minister in the city centre as remarkable.

“The ACCI, representing the voice of the business community and the Organised Private Sector within the FCT, appreciates this move.

“We also want to take the opportunity to draw attention to the urgent need for development in the Idu Industrial District.”

According to Obegolu, the Idu district is recognised as a significant business hub in the FCT and the cornerstone of the region’s industrialisation vision.

The ACCI president akso emphasised the crucial role it played in fostering manufacturing, technology, employment, commerce, industry, and sustainable growth within the FCT.

He called for an urgent government attention and intervention to provide essential infrastructure amenities such as good roads, water, public transport, and electricity in the Idu Industrial District.

According to Obegolu, these improvements are vital to facilitating seamless commercial operations for businesses in the area.

“We anticipate a significant transformation of the Idu Industrial Park that aligns with the overarching vision for the FCT, promoting economic growth and prosperity for the city.

” We assure the minister of ACCI’s support and look forward to a continued collaboration in driving sustainable development and economic prosperity within the city centre,” Obegolu said.(NAN) (www.nannews.ng)

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Environment

By Lucy Ogalue

Kuje, June 5, 2024 (NAN) The NNPC Foundation Ltd. is partnering with the Ministry of Environment to promote climate resilient environment for citizens.

Mrs Emmanuella Arukwe, the Managing Director of the foundation said this at an event to mark the 2024 World Environment Day (WED) on Wednesday in Abuja.

The News Agency of Nigeria (NAN) reports that the theme of the 2024 WED is “ Land Restoration, Desertification, and Drought Resilience”.

The WED is celebrated globally every June 5.

Arukwe, represented by the foundation’s Executive Director, Programme Development, Dr Bala David, said the aim of the foundation was to support environmental sustainability.

According to her, one of the ways of doing this is by planting of trees which is the reason for the gathering at the Government Secondary School (GSS) Kuje.

She said: “today being the World Environment Day, we are running this type of programme together with three planting in Bauchi, Enugu, Benin, Lagos and three schools in FCT.

The theme of this year’s event calls for the need to restore our environment and the importance of tree planting was to regulate climate, biodiversity support and soil protection among others.

Representing the Ministry of Environment and the Abuja Environmental Protection Board, Mr Sampraise Itomo, urged Nigerians and the World at large to treat the environment as its neighbour.

“Environment is everything around us inclusive of living and non-living things. As humans, we need to know and interact with our environment.

“And the environment around us is our neighbour and they contribute to our longevity, happiness, and joy so we should have regard for it and try to preserve it,’’ he said.

While reiterating the advantages of tree planting in our environment, Itomo said it was our responsibility to restore the environment for our safety and that of our future generation.

Also speaking, Mr Sani Adamu, the Manager Education of the foundation, restated that the environment was ours and there was the need for us to take care of it.

“There are various ways of taking care of our environment and one of such ways is tree planting and that is the essence of why we are here today.

“As the vice principal has rightly said, when you cut down a tree you should plant two more as a replacement

“We must take our environment very seriously so that the eco climate can be achieved and by so doing, we will live longer,’’ he said.

Similarly, the Vice-Principal Administration, Government Secondary School, Kuje, Muhammad Muhammed expressed the commitment of the school to safe guard the trees planted.

“We have gone ahead to make a protector around the plant to ensure it is protected from being eaten by animals or being destroyed

“We will make sure that morning and evening, we water them so that we can see them grow well and serve its purpose.

“Also, where ever we see encroachment or desertification, we should try as much as possible to grow trees in such areas, deforestation should be afforestation,’’ he said.

Meanwhile, the students of the school commended the foundation for including them in the WED celebration and thanked them for the knowledge impacted on them. (NAN)(www.nannews.ng)

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