Connect with us


BIG STORY

Nigeria Is Broke, Finance Minister Laments, As Public Debt Hits N41.6trn

Published

on

Nigeria’s fiscal position worsened as the cost of debt servicing surpassed the government’s revenue in the first quarter of 2022.

It was earlier reported that the 2022 fiscal performance report for January through April shows that Nigeria’s total revenue stood at N1.63 trillion while debt servicing stood at N1.94 trillion, showing a deficit of over N300 billion.

Nigeria’s Minister of Finance, Budget and National Planning, Zainab Ahmed, on Thursday warned that urgent action is needed to address the nation’s revenue challenge and expenditure efficiency at both the national and sub-national levels.

The report showed that gross oil and gas federation revenue for the first four months of the year was projected at N3.12 trillion but as at April 30, only N1.23 trillion was realised, representing a mere 39% performance.

Despite higher oil prices, the report showed that oil revenue underperformed due to significant oil production shortfalls such as shut-ins resulting from pipeline vandalism and crude oil theft as well as high petrol subsidy cost due to higher landing costs of imported products.

However, non-oil taxes trailed targets marginally, with average performance of 92.6%.

“Revenue performance is expected to improve in the second half of 2022 as a result of concerted efforts to address the oil theft and pipeline vandalism, the report said. It added that there is also seasonality to some of the non-oil taxes, which means that the nation expects to collect significantly more in the second half of the year.

“The improved revenue collection should also moderate the Debt Service to Revenue ratio, which is currently above our target level,” the report said.

The expectation of improved revenue collection should also moderate the debt service to revenue ratio, which is currently above the nation’s target level.

In the first quarter of 2020, Nigeria’s debt service as a percentage of revenue rose to 99%, according to the Medium-Term Expenditure Framework and Fiscal Strategy (MTEF/FSP) report released by the Federal Ministry of Finance, Budget, and National Planning.

The data showed that in Q1 2020, Nigeria incurred a total sum of N943.12 billion in debt service while the Nigerian government retained revenue at N950.56 billion. In effect, Nigeria’s debt service to revenue was estimated to be 99% during the period.

On Thursday, the new report showed that the Nigerian government’s share of oil revenues in Q1 2022 was N285.38 billion (representing 39 percent performance), while non-oil tax revenues totalled N632.56 billion, representing 84 percent. In essence, the government generated N401.8 billion from company income tax (CIT) and value-added tax (VAT) as CIT and VAT collections were N298.83 billion and N102.97 billion, respectively, representing 99 percent and 98 percent of their respective targets.

Customs collections (made up of import duties, excise and fees, as well as federation account special levies) trailed target by N76.77 billion (25.42 percent) while the other revenues amounted to N664.64 billion, of which independent revenue was N394.09 billion.

The report noted that for Nigeria, “fiscal risks are somewhat elevated”, following weaker-than-expected domestic economic performance and structural issues in the domestic economy. It warned that revenue generation remains the major fiscal constraint of the nation and the systemic resource mobilization problem has been compounded by recent economic recessions.

The underlying factors also include the Russia and Ukraine war, which the report said has assumed a new and worrisome dimension with severe implications on food and energy prices. It listed the resurgence of COVID -19 in some major economies, which has led to slowdown in economic activities in those countries; as well as renewed elevated inflation in most economies, prompting monetary tightening in these economies with the inherent negative impact on capital inflow to emerging markets economies.

Also identified as a contributing factor is the challenging domestic macroeconomic and business environment and the negative impact of insecurity on the domestic economy.

“Efforts will however focus on improving tax administration and collection efficiency,” the report said.

“Crude oil production challenges and PMS subsidy deductions by NNPC constitute significant threat to the achievement of our revenue growth targets, as seen in the 2022 Performance up to April.

“Bold, decisive and urgent action is urgently required to address revenue underperformance and expenditure efficiency at national & sub-national levels.”

Nigeria’s public debt hits N41.6trn
Meanwhile, Nigeria’s total public debt stock, comprising the debt obligations of the federal government, states and the Federal Capital Territory (FCT) rose from N39.56 trillion in December 2021 to N41.60 trillion ($100.07 billion) in the first three months of 2022 (January to March), the Debt Management Office (DMO) revealed yesterday.

In addition, the domestic debt service obligations of the federal government stood at N668,685, 710,112.98 in the first three months of 2022.

According to the DMO, with the increase in the country’s debt profile, its total public debt-to-gross domestic product (GDP) now stands at 23.27 per cent, as against 22.43 per cent December 31, 2021.

The DMO, in a statement posted on its website explained: “The amount represented the domestic and external debt stocks of the Federal Government of Nigeria, the 36 state governments and the Federal Capital Territory. The comparative figures for December 31, 2021, were N39.56 trillion or $95.78 billion.”

The total public debt stock, the agency said, included new domestic borrowing by the FGN to partly finance the deficit in the 2022 Appropriation Act, the $1.25 billion Eurobond issued in March 2022 and disbursements by multilateral and bilateral lenders.

According to data posted by the DMO, the federal government’s total domestic debt as at March 31, 2022, stood at N20.144 trillion (N20,144,027,724,703).

In the same vein, the federal government’s domestic debt service of N668,685 billion for the review period was for Nigerian Treasury Bills (NTBs), Federal Government Bonds, FGN Savings Bond, and FGN Sukuk Rentals.

A breakdown of the debt service obligations showed that N188,364,772,069.17 was paid out in January, N103,883,183,876.20 in February and N376,437,754,167.61 in March.

Federal government bonds accounted for the lion share of N630,535,774,886.21 followed by NTBs with N29,642,197,193.31 and FGN Sukuk Rentals N8,167, 315,066.60. Similarly, FGN Savings Bond took the rear with N340,422,964.8 million. Total debt service for NTBs in January was N3,220,890,038.78, while February and March were N7,23, 906,633.90 and N19, 189,400,520.63.

For Federal Government Bonds, a total debt service of N185,026,886,879.94 was paid in

January, N96,527,951,065.07 in February, and N348,980,936,941.20 in March. Also, the DMO data showed that FGN Savings Bond gulped debt service of N116,995,150.45 in January, N123, 326,177.23 in February and N100,101, 637.18.

There was no debt service pay out for FGN Sukuk Rentals in January and February, but in March, a total of N8,167, 315,066.60 was paid.

Meanwhile, Nigeria’s external debt stock as at March 31, 2022 stood at $39,969.19 billion.

This comprised debts for multilateral and bilateral creditors as well as commercial loans.

Nigeria owes the largest chunk of $18,957.22 billion to multilateral creditors, including the World Bank Group, International Monetary Fund (IMF), African Development Bank, European Development Fund Arab Bank for Economic Development in Africa, Islamic Development Bank, and the International Fund for Agricultural Development (IFAD).

Out of the $18,957.22 billion owed multilateral agencies, $12,229.43 billion and $486.10 million respectively to the International Development Association (IDA) and the International Bank for Reconstruction and Development (IBRD)- two members of the World Bank Group.

It is also indebted to the International Monetary Fund (IMF) to the tune of $3,395.08 billion and $4 495.87 billion to bilateral creditors, including China Exim Bank $3,667.65 billion), Agency Francaise Development of France ($567.89 million) and KfW of Germany ($164.04 million), among others.

Nigeria’s second external debt obligation were commercial loans, standing in excess of $15.918 billion. This included Eurobonds and Diaspora Bond.

BIG STORY

Mental Health: Obasa Advocates Collective Responsibility, Collaboration With Lawmakers [PHOTOS]

Published

on

Given the grimness and prevalence of mental health issues across the country, the Speaker of the Lagos State House of Assembly, RT. Hon. Mudashiru Obasa has advocated inter-sectoral collaboration with the assembly and collective responsibility by agencies, individuals, and institutions.

Speaking in his capacity as chairman at the Seventh Public Lecture of the Board of Fellows, Pharmaceutical Society of Nigeria (PSN), held Tuesday, July 2, 2025, at the Festival Hotel, Amuwo-Odofin, Lagos, Obasa described the theme, Mental Health: A Basic Human Right Crucial to Personal, Community, and Socio-Economic Development, as timely and globally relevant.

He opined, “We live in times where the mental health of individuals is increasingly becoming a matter of public concern because globally, there is a rising incidence of mental health disorders, and unfortunately, Nigeria is not exempted.”

The Lagos Speaker reckoned that mental health is crucial to personal and community development because, “It is the bedrock upon which personal growth and achievements are built. For our nation to thrive, we need citizens who are mentally sound and can contribute meaningfully to national development.

“Socio-economic development is intertwined with mental health. A nation with a high burden of mental health disorders will undoubtedly suffer a decline in productivity, a decrease in the quality of life, and a strain on health resources.”

Conversely, he said that a community with a high prevalence of mental health disorders is not only destabilised but also lacks progress. Therefore, he continued, “It is important that we take collective responsibility to ensure that our communities are mentally healthy. As a nation, we must pay keen attention to mental health and integrate it into our public health policies.”

Obasa recalled that the issue of mental health is very dear to him, which encouraged the enactment of the Lagos State Mental Health Service Law of 2018 during his first term as Speaker. The law provides for the protection and care of individuals with mental health conditions and substance abuse, stresses the rights of patients, including the right to treatment close to their domicile, and the same rights as physically ill persons. It also focuses on integrating mental health services into primary healthcare, providing comprehensive coverage, and fostering intersectoral collaboration.

However, Obasa noted that professional bodies like the PSN are not collaborating enough with lawmakers to drive change. “We must advocate for policies that promote mental health care, combat stigma, and support initiatives to enhance mental well-being. Together, we can ensure that mental health is recognized as a basic human right essential to personal, community, and socio-economic development,” he concluded.

Brig. Gen. Buba Marwa (Rtd.), Chairman/CEO of the National Drug Law Enforcement Agency (NDLEA) and special guest of honour, linked the rise in mental health issues to fake drugs and substance abuse. He described mental health as a neglected aspect of public health and called for increased awareness and sensitisation programs by the PSN.

In his address, Pharm. Uche Akpakama, chairman, Board of Fellows, Pharmaceutical Society of Nigeria, said, “It is documented that more than a quarter of the Nigerian population has mental health issues, exacerbated by the current socio-economic situations, including extreme poverty, internal displacement, insecurity, and unemployment.” Akpakama said he hoped that the public lecture would address the current state of mental health in Nigeria, the role of pharmacists, other health professionals, and proffer strategies for promoting mental health awareness.

The keynote speaker, Dr Gbonjubola Abiri, a Consultant Psychiatrist and CEO of Redi-Med Consulting, a medical consultancy firm, said having established the grimness of the situation, “the drive now is to ensure mental health promotion and the prevention of mental health disorders in the general population, while also ensuring that persons with mental disorders are given the best attention to manage their health so that they can live their best lives despite their conditions.”

Pharm. Gbenga Falabi, chairman of the planning committee, declared that the annual lecture serves as a platform for knowledge-sharing and developing strategies to promote mental health awareness. “Today’s insights will enhance our understanding of mental health’s critical role in personal, community, and socio-economic development,” he said.

Continue Reading

BIG STORY

BREAKING: Sanwo-Olu Receives 60th Birthday Special Publication From Lanre Alfred At Lagos House [PHOTOS]

Published

on

It was all praise and admiration as celebrated author and media consultant, Lanre Alfred, formally presented his newly published special publication on the Lagos State Governor, Mr. Babajide Olusola Sanwo-Olu, titled “The Man Who Carried a City”, at a modest but poignant gathering held at the Lagos House, Marina, today.

The gathering, witnessed by a select group of the Governor’s cabinet members and close aides, marked a symbolic celebration of Sanwo-Olu’s 60th birthday on June 25, 2025. Present to honour the occasion was also Wale Olaleye, Deputy Editor of THISDAY Newspaper, who penned the foreword of the book, and Kayode Olashile-Alfred, THISDAY columnist and a media and hospitality entrepreneur.

A visibly delighted Governor Sanwo-Olu received the commemorative volume with joy and deep gratitude, expressing astonishment at the richness of the work and the devotion behind it. “I am genuinely impressed by the quality of this book,” he remarked, commending Alfred’s bold initiative, which was undertaken without any financial or material incentive. “It is rare to see this level of literary commitment that is driven purely by admiration and civic appreciation.”

Alfred, renowned for his lyrical prose and insightful portraits of Nigeria’s high achievers, revealed that he embarked on the book project 18 months ago, moved by a deep admiration for Governor Sanwo-Olu’s revolutionary governance and resilient leadership, particularly during moments of turbulence.

“Governor Sanwo-Olu’s journey is not just a political story, it is a deeply human one,” Alfred said during the presentation. “This is a man who steered Lagos through the chaos of COVID-19, the trauma of #EndSARS, and the daily complexities of managing Africa’s largest subnational economy, without losing the human touch.”

He described the special publication as a literary monument to a governor who has governed with empathy, deliberateness, and vision. “I wanted to ensure that such a legacy is preserved beyond fleeting headlines or public memory. ‘The Man Who Carried a City’ is not a tribute to power, but to purpose. It is an archive of grace under pressure, of governance without theatrics, of leadership defined by listening rather than loudness.”

In his remarks, Wale Olaleye described the book’s narrative as “probing and profound,” noting that Alfred’s portrait of Sanwo-Olu goes beyond celebration. “It is also a mirror,” he said, “a reminder of what true public service can look like in our time.”

Kayode Olashile-Alfred, who has followed Alfred’s literary career closely, lauded the work as “a powerful addition to the canon of modern Nigerian political special publication,” adding that “Dr Alfred has succeeded in blending scholarship, poetry, and reportage into a narrative that preserves not just a man’s record, but his essence.”

“The Man Who Carried a City” is published by Old English Partners and spans over 326 glossy pages richly adorned with evocative photography and meditative prose. From Sanwo-Olu’s formative years and quiet rise through public service, to his tumultuous yet steady-handed tenure as governor, the book distils a lifetime of service into a series of vivid, emotionally intelligent portraits.

The book’s evocative chapters—“The Clockmaker’s Spawn,” “Lagos in His Lungs,” “The Politics of Listening,” “2020… The Year Lagos Trembled,” and “Legacy as a Living Covenant” trace policy achievements and the philosophical, emotional scaffolding of Sanwo-Olu’s public life. A chapter titled “Ibijoke” presents the First Lady’s quiet strength as a stabilising pillar in the governor’s journey.

Alfred noted that in an era where political narratives are often distorted or forgotten, he considers it a duty to document leaders who have served meaningfully. “Nigeria’s problem is not the absence of worthy leaders,” he said, “it is our failure to preserve their stories. Sanwo-Olu’s calm through crisis, his civic fidelity, and his silent sacrifices deserve a place in our national archives.”

The Man Who Carried a City is both a birthday gift and a civic reflection; a reminder that in turbulent times, quiet courage and steadfast service still matter.

Continue Reading

BIG STORY

JUST IN: Atiku, Obi, El-Rufai, Opposition Coalition Leaders Arrive For ADC Unveiling

Published

on

Leaders from different opposition parties are converging at the Yar’Adua Centre in Abuja for a press briefing organised by the African Democratic Congress (ADC).

Those already present include former Vice-President Atiku Abubakar; Peter Obi, the 2023 presidential candidate of the Labour Party (LP); Nasir el-Rufai, former Kaduna governor; and Dino Melaye, a former senator.

Also in attendance are Solomon Dalung, former minister of youth and sports; media figure Dele Momodu; ex-senator Gabriel Suswam; and Ireti Kingibe, a current LP senator.

Others present include Rotimi Amaechi, ex-governor of Rivers; and Emeka Ihedioha, former deputy speaker of the house of representatives.

The event has drawn participation from members of the Peoples Democratic Party (PDP), the Social Democratic Party (SDP), and the LP.

Former Senate President David Mark led other coalition members into the hall as the programme began.

Also in attendance are Rauf Aregbesola, former Osun governor and interim national chairman of the ADC; and Aminu Tambuwal, ex-governor of Sokoto.

Earlier in the day, the ADC coalition unveiling faced a disruption after the original venue cancelled the booking at the last minute.

The event was initially planned for the Wells Carlton Hotel and Apartments in Asokoro, Abuja.

Just hours before the scheduled time, organisers were notified that the hotel would not proceed with hosting the event.

A screenshot of the hotel’s notice, shared by Momodu on Instagram, cited an “internal compliance matter” as the reason for the cancellation.

Following the development, the coalition secured the Yar’Adua Centre as an alternative venue.

Continue Reading



 

Join Us On Facebook

Most Popular