The Federal Govern
ment has given the direction it will take to run the economy in 2016.
According to the federal government, it will fully implement the 2016 budget so as to recover from the slowing GDP growth and to forestall the remote possibility of recession.
A statement from the Ministry of Finance, yesterday, said the Minister of Finance Mrs. Kemi Adeosun made the declaration in an article she wrote.
According to the statement, the finance minister noted that the focus of the current administration is to stimulate the economy and achieve a real GDP growth rate of 4.2 per cent by the implementation of the draft 2016 budget.
Adeosun added that “the administration is also determined to reduce the cost of governance, extract efficiencies in public service and enhance revenue collections. The administration plans to increase government expenditure on infrastructure i.e. Transport, Roads, Housing and Power with a view to achieving a substantial increase in gross capital formation and to fund the budget deficit and the negative trade balance in a cost effective and efficient manner, which will keep the government within the acceptable debt sustainable ratio that is expected of most emerging economies.”
The minister, who acknowledged the impact of the sliding oil prices on Nigeria’s economy said, “our main macroeconomic objective is to use a government expenditure-led growth strategy in 2016, combined with a stimulant approach based on injections of more efficiently collected revenues and blocking of leakages. The combination of these fiscal injections will have a catalytic multiplier effect on the GDP growth rate.”
“The budget deficit is estimated at N2.2trillion or 2.16 per cent of GDP based on an estimated benchmark oil price of $38pb. In view of present realities and the dynamics in the global oil markets, we have braced ourselves for the probability of a further decline in oil prices,” she said.
Though the government believes the average price of oil in 2016 will recover, “we have developed a shadow budgeting process with tactical responses to build in the flexibility in our borrowing needs. This way, we will not undermine the fundamental principle of the economic stimulus model used by countries facing a contraction in economic activities and growth,” the finance minister said.
Adeosun pledged the resolve of the current administration to go ahead with its robust commitments on infrastructure despite the present oil price.
She said, “We are firmly committed to the countercyclical budget expenditure model. Therefore we will not reduce our investment in infrastructure i.e. Transport, Roads, Housing and Power. Our deficit will expand by N0.8trillion to N3trillion, which will be 3per cent of GDP. This is still within the comfort zone for the international rating agencies.”
Dislodge Illegal Oil Refinery Operators, Wike Tasks Monarchs
Rivers State Governor, Chief Nyesom Wike has urged traditional rulers in the state not to allow illegal crude oil refining (Kpo-fire) activities to take place in their domains anymore.
Wike gave the charge at a meeting he held with traditional rulers in the state at the Banquet Hall of Government House, Port Harcourt, last Friday.
The meeting was also attended by heads of security agencies and chairmen of the 23local government areas of the state.
Wike told the traditional rulers that those involved in illegal oil refining activities were sabotaging the economy.
He regretted that the Federal Government, which controls the oil industry and the security agencies, has been indifferent to the soot pandemic and the damage it was inflicting on the health of the residents of Rivers State.
“I should think that the way Federal Government intends to fight insurgency is the way they should fight illegal oil bunkering, because it is sabotage on the national economy. Very big sabotage! It affects our own revenue.
“If we are supposed to produce two million barrels, for example, we are now producing 1.2million. And that 1.2million barrels, it affects Rivers State because we are not producing up to the volume we are supposed to produce, and then, we cannot get the money to do whatever you want us to do.”
The governor also said that illegal oil refining activities constitute environmental hazard capable of causing cancer-related illnesses in the state.
According to him, his primary concern was to ensure that the health of residents of the state was not jeopardised.
“It is the responsibility of the Federal Government to see how this thing can be stopped. As I speak to you, nobody has called me from the Federal Government to say how they can support us. But that is not my business. My business is the health of my people. I will not because the Federal Government is not interested to stop it, therefore, my people should die. If everybody dies, who are you going to govern?”
The governor, therefore, urged the traditional rulers not to be less concerned about the activities of illegal oil refinery operators, but to frantically mobilise members of their Community Development Committees (CDCs) and the leadership of their youth groups to work in synergy to dislodge them from their domains.
Wike berated the Nigerian Police for being complicit in the criminal act of illegal oil bunkering, which is why they were not committed to the fight to stop the illicit business.
He also described as embarrassing how officers of the Nigerian Security and Civil Defence Corps (NSCDC) have continued to be complicit in the act and shamelessly involved in sabotaging the national economy.
“I don’t know how I can be a security officer sent to a place to protect people, to protect whatsoever belongs to the Federal Government, at the same time, I’m involved in sabotaging the national economy. I don’t understand how I can wear uniform and be involved in that. If they do not want to support us, we have no choice but to expose all the atrocities that are going on in this state.”
Wike said he recently received intelligence that an Army Major was providing exit services to illegally refined petroleum products, and had to send security personnel to thwart it.
“In fact, I had to send my special security to go and intercept a major who was trying to escort some of these illegal products.”
The governor declared that his administration would not hesitate to expose any security personnel involved in such illegal oil refining activities.
Wike frowned at the inability of the Nigeria Police to arrest Chief W. J. Wocha; Fubara Ohaka; and other members of the illegal bunkering cartel operating at Ibaa community in Emohua Local Government Area.
He said the names of all indicted persons would be published soon and they would be declared wanted.
Rivers Rating In Ease Of Doing Business Rises -Banigo
Rivers State Deputy Governor, Dr Ipalibo Harry Banigo has said that the sub-National Ease of Doing Business Baseline Survey indicates that Rivers State was doing great in the Ease of Doing Business Index in the country.
Banigo stated this at the Port Harcourt International Airport, Omagwa, last Thursday, shortly after her arrival from Abuja, where she represented the State Chief Executive, Chief Nyesom Wike at the Nigerian Governors’ Forum and the National Economic Council meeting.
Banigo disclosed that the factors, which determine this survey, include infrastructure, security and healthcare.
“With the 10 flyovers the governor was constructing in Rivers State, and of course, with all the other infrastructure in health, education; and the monumental improvement in security as well as the clearing of the hideouts of criminals, obviously gave us a head way in doing very well in this baseline survey”, the deputy governor further stressed.
According to the public health physician, the response of the state to the COVID-19 pandemic, under the watch of the governor as the incident manager, has been tremendous in terms of healthcare delivery.
“I want to encourage the citizens of the state to maintain the non-pharmaceutical measures like the correct wearing of face masks, regular washing of hands with soap and running water for, at least, 20 seconds, social distancing, coughing and sneezing into one’s elbow as well as the improvement of personal and environmental hygiene. I also want to encourage Rivers people that vaccination actually reduces the mortality and morbidity that arises from COVID-19″, Banigo said.
Ex-Agitators Beg Firms To Return To N’Delta
Ex-agitators have pleaded with companies especially oil companies that relocated from the Niger Delta region following spate of insecurity triggered by militancy to return to the region promising uninterrupted peace.
The former warlords also called on interventionist agencies to work together to sustain the peace and ensure development of the region.
They spoke in Yenagoa, the Bayelsa State capital, during a regional peace summit to sensitize people on the need to advance the peace currently enjoyed in the region.
The ex-agitators also condemned proliferation of illegal refineries and lamented its adverse effects on development.
One of the participants at the summit and ex-freedom fighter, Pastor Nature Dumale Kieghe said as ex-agitators, who keyed into the vision of the Interim Administrator, Presidential Amnesty Programme, Col. Milland Dixon Dikio (rtd), they have resolved to work for a new and better Niger Delta.
“It is important to sensitize our people towards a peaceful Niger Delta and create a friendly environment that will attract development, Multinational companies and other foreign investors to the region.
“We, who once carried guns, are now here to preach the message of peace to our people in the region. Peace is the only way we can have the developed environment that we dream of. Peace is the only way to attract the multinationals, investors and also be gainfully employed,” he said.
According to Nature, peace remained a vital tool to attract investors to the region which would in turn create business and job opportunities for the people.
“Companies that have left the Niger Delta because of insecurity need to return, this is the purpose for sensitization. We are blessed with an environment that is supposed to prosper us, we can only enjoy our natural resources if there is a peaceful environment, “ he added.
Nature pointed out that a major setback to the development of the Niger Delta was the absence of proper coordination among key stakeholders.
He said with the right synergy, the Ministry of Niger Delta Affairs, the Niger Delta Development Commission (NDDC), Ministry of Environment, Ministry of Petroleum Resources, the Presidential Amnesty office, could hasten the needed development of the region.
On illegal oil refinery, Nature explained that beyond hampering the development of the region, illegal refining of petroleum products was life threatening and dangerous to the ecosystem.
The sensitization programme commenced in Bayelsa state with 150 Niger Delta youths in attendance and would be held across the nine states of the region to create adequate awareness.
Business4 days ago
CBN Opens N500,000 Grants Portal For Graduates, Undergraduates
Politics4 days ago
Senate Agrees With Buhari On Direct Primaries
Women4 days ago
Looking Trendy In African Prints
Business4 days ago
PenCom Completes Review Of Pension Reform Act 2014
Business4 days ago
Economic Growth, Determining Factor For Policies In 2023 – Stockbrokers
Business4 days ago
Speed Up Resolutions On Tax Disputes, FIRS Urges Tribunals
Niger Delta4 days ago
Police, Civil Defence Clash Over ‘Illegal Oil Bunkering Site’ In Rivers
Politics4 days ago
PDP Has Capacity To Rescue Nigeria – Akawor