Business
Gulf Of Mexico Disaster, Lesson For Nigeria – NNPC
The Group General Manager of the Nigeria National Petroleum Corporation, Engr. Austen Oniwon, has stated the preparedness of the corporation, along with its partners, to deal with oil spillage emergencies and reduce their impacts towards ensuring a balanced ecological condition in its areas of operation.
Oniwon made the remark on Friday at the World Environment Day celebration event organised by the Environment and Safety Department in the Engineering and Technology Division of the NNPC, which took place in Abuja.
He also said the current BP oil spillage brouhaha in the Gulf of Mexico putting a lot of pressure on off-shore oil exploration, adding that it was also an opportunity for the industry to learn to forestall such incidents in the future.
He stated that, “The incident that is happening in the Gulf of Mexico is a disaster, and it can happen anywhere in the world, including Nigeria. However, it is putting a lot of pressure on off-shore oil drilling.
“It is also a challenge mankind to find a solution to such failures in future; this is the first time a failure is occurring between the downward emission and the atmosphere. It also presents an opportunity for mankind to learn and improve in its handling of such matters.
“I am sure that lessons that will be learned from the mishap will go a long way to ensure that oil exploration is made much safer and ecologically friendly in the future. Every disaster gives another opportunity for humanity to learn and I can assure you that Nigeria, and more specifically the NNPC, would be learning a lot from this case in order to ensure that
Speaking further on the theme of the event, Biodiversity – Ecosystems Management and the Green Economy, Oniwon noted that the Corporation’s Ethanol development project, which would ensure cleaner energy options for consumers in the country, was still on course.
According to him, “NNPC is taking full advantages of all the opportunities to entrench green fuel and green energy delivery in the country. Primarily, we are a hydro-carbon company, but we believe that if coal can be made clean, then oil can even be made cleaner.
“This is because coal is the worst producer of carbon-dioxide that is ever seen, while hydrocarbon contains both hydrogen and carbon and the amount of carbon-dioxide that can be seen in hydrocarbon is not as harmful as in coal technology.”
The NNPC GMD further stressed that the corporation “is doing everything to ensure that the blending comes up in such a way to ensure that the ethanol mix to oil hydrocarbon becomes a better mix for us to have cleaner oil.
“Our ethanol development project is ongoing because our people in Exploration and Technology division are working extremely hard to make sure that we achieve our objective for cleaner energy in the nearest future.
He explained that the Ethanol initiative would involve further reduction of the amount of carbon-dioxide in the hydrocarbon oil by blending it with ethanol.
The GMD noted, however, that the initiative is not undertaken 100 percent by the Corporation but with the support and partnership of some private companies.
“The reason is because we do not believe in being the sole participants, and we think private companies should be a part of this project. Also, there are a lot of logistic issues that have to be resolved. For instance, ethanol that you mix with hydrocarbon is very hydroscopic; it absorbs a lot of water from the air, so we have to be put in place infrastructure that will convince most private companies to come in invest in the project; most of the blending outfits in the country do not have the infrastructure at all.
“When this is completed, we are going to bring in ethanol and make sure that we are able to use it in such a manner that will maximize the benefit for Nigerians. We are doing a lot in that aspect.”
Also speaking at the event, the General Executive Director, Engineering and Technology of the NNPC, Mr. Billy Agha reaffirmed the commitment of corporation to responsible environmental practices.
“As a recognized leader in the oil and gas industry, we also want to set the pace in promoting environmental awareness and protection. Over the years, we have demonstrated this commitment through our corporate social responsibility practices and day to day business operations.
“The NNPC as a national oil and gas company has embarked on global warming control measures such as striving with its joint venture (JV) partners to achieve gas flare-down in all the operations,” he added.
Agha noted that the corporation is targeting the Clean Development Mechanism (CDM) projects by establishing CDM Working Groups that will project the NNPC into international Carbon Trading to reduce carbon emission.
“NNPC has also eliminated the application of Chlorofluorocarbon (CFC) based materials in its operations in compliance with the requirements of the Montreal Protocol. Furthermore, many gas utilization projects are under construction or planned to recover and utilize associated gas from oil wells that was otherwise flared or vented,” he added.
Business
33 Banks Raise N4.65tn As Recapitalisation Ends
The Central Bank of Nigeria (CBN) yesterday said 33 banks have met new minimum capital requirements under its recapitalisation programme, raising a combined N4.65 trillion to strengthen the financial system.
The apex bank disclosed this in a statement marking the end of the exercise, which commenced in March 2024 and drew participation from domestic and foreign investors.
The statement was jointly signed by the Director of Banking Supervision, Olubukola Akinwunmi, and the Acting Director of Corporate Communications, Hakama Sidi-Ali.
The statement said “Over the 24-month period, Nigerian banks raised a total of N4.65tn in new capital, strengthening the resilience of the financial system and enhancing its capacity to support the economy.”
The regulator said local investors accounted for 72.55 per cent of the funds, while international investors contributed 27.45 per cent, reflecting continued confidence in the sector.
Commenting on the outcome, the CBN Governor, Olayemi Cardoso, said in the statement, “The recapitalisation programme has strengthened the capital base of Nigerian banks, reinforcing the resilience of the financial system and ensuring it is well-positioned to support economic growth and withstand domestic and external shocks.”
It added that while 33 banks have complied with the new thresholds, a few others are still undergoing regulatory and legal processes.
The statement noted, “The CBN confirms that 33 banks have met the revised minimum capital requirements established under the programme.
“A limited number of institutions remain subject to ongoing regulatory and judicial processes, which are being addressed through established supervisory and legal frameworks.
“All banks remain fully operational, ensuring continued access to banking services for customers.”
The apex bank stressed that the exercise was executed without disrupting banking operations, ensuring uninterrupted access to services nationwide.
It further stated that key prudential indicators have improved, particularly capital adequacy ratios, which remain above global Basel benchmarks.
The minimum ratios were set at 10 per cent for regional and national banks and 15 per cent for banks with international licences.
The bank also said the recapitalisation coincided with a gradual exit from regulatory forbearance, a move it said improved asset quality, strengthened balance sheet transparency, and enhanced overall stability.
To preserve these gains, the CBN said it has reinforced its risk-based supervision framework, mandating periodic stress tests and adequate capital buffers for banks.
It added that supervisory and prudential guidelines would be reviewed regularly to strengthen governance, risk management, and resilience across the sector.
“The successful completion of the programme establishes a stronger and more resilient banking system, better positioned to support lending, mobilise savings, and withstand domestic and global shocks,” the statement said.
The Tide learnt that foreign capital inflows into Nigeria’s banking sector rose by 93.25 per cent year-on-year to $13.53bn in 2025, up from $7.00bn recorded in 2024, amid the ongoing recapitalisation drive by the Central Bank of Nigeria.
Data from the National Bureau of Statistics capital importation report showed that the banking sector remained the dominant destination for foreign capital, accounting for $13.53bn of the total $23.22bn recorded in 2025, representing 58.26 per cent of total inflows, up from 56.81 per cent in 2024.
The surge reflects heightened investor interest in Nigerian banks as they raised fresh capital to meet new regulatory thresholds introduced by the apex bank, with industry-wide recapitalisation activities driving large-scale inflows across all quarters of the year.
However, the Centre for the Promotion of Private Enterprise (CPPE) recently raised concerns over weak credit flows to small businesses despite recent banking sector reforms.
The CPPE, led by a renowned economist, Dr Muda Yusuf, acknowledged that the ongoing bank recapitalisation exercise by the CBN has strengthened the financial system, but warned that the benefits have yet to translate into meaningful support for the real economy.
Business
SMEs Dev: Firms Launch N100m Loan Scheme
The facility will be disbursed through participating Microfinance Institutions (MFIs), which will in turn extend the loans to their customers, particularly SMEs, as they directly interface with businesses at the grassroots level.
The Executive Director of COMCIN, Mr. Micheal Ogbaa who represented the Chairman, Dr. Iredele Oyedele (FCA, FCCA), said the initiative is designed to strengthen micro-lending institutions and expand access to finance for grassroots entrepreneurs, particularly women and youths in the informal sector.
Ogbaa explained that COMCIN does not lend directly to individuals but works through its network of microfinance and cooperative institutions, which in turn provide loans to end users.
“We came together to advocate for the microfinance ecosystem. Commercial banks often exclude people at the grassroots, but our members are positioned to reach them. This facility will empower them to do more,” he said.
He noted that the loan scheme offers low interest rates and flexible repayment plans, making it more accessible to small business owners.
According to him, about 90 percent of beneficiaries are expected to be women, who play a key role in sustaining families and driving economic activities at the local level.
“Our focus is on traders, service providers, and players in the informal sector. These are the real movers of the economy. By supporting them, we are strengthening families and contributing to national development,” he added.
Ogbaa disclosed that eligible SMEs with proven integrity and business track records could access up to N5 million each through participating micro-lending institutions. The rollout has commenced in Lagos and will extend to Abuja, Enugu, and other regions, including the South-West, South-East, and North-East.
He said 12 micro-lending institutions have already benefited from the scheme, while 85 applications are currently being processed under the pilot phase.
“Our target is to reach at least 100,000 SMEs nationwide. We are building a platform that connects funding partners with credible micro-lending institutions, creating a reliable channel for financial inclusion,” Ogbaa said.
He added that COMCIN is also working to attract larger funding pools from development finance institutions and private investors, noting that successful implementation of the pilot phase would boost confidence and unlock more capital for SMEs.
“We have seen encouraging testimonies from early beneficiaries. As we demonstrate transparency and efficiency, more institutions will be willing to channel funds through us,” he said.
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