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Review Direction Of Debts, Experts Tell FG

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Economic experts have called on the Federal Government to review the direction of the country’s debts, in order to spur productivity and economic growth.
The experts expressed their views at a forum on “Nigeria’s Debt Sustainability: Issues and Way forward’’ organised by the Lagos Chamber of Commerce and Industry (LCCI).
Managing Director, Financial Derivatives Company, Mr Bismark Rewane said the country’s debt profile would not be a concern if its Gross Domestic Product (GDP) was growing at about 8 to 10 per cent.
He said existing data showed that the country’s debt was growing at a faster rate than GDP, growing at a time that productivity level had declined resulting to less prosperity for the citizens.
The economist said borrowing to spend and borrowing to invest were two different things, and that funding fiscal debt amounted to the government borrowing to spend.
According to him, Nigeria floated its first Eurobond of 1 billion dollars in 1978, and used it to complete 25 sector specific projects, amongst which was Apapa ports, Inner Marina road and aircraft purchase.
“Tell me what roads would be completed or refinery that would be functional by the time the various bonds floated by government matures; lending should be sector specific and impactful,” he said.
He stressed that government should reset its debt profile, adding that the country was moving from debt problem to debt crisis and if left unchecked, it would result in a debt trap.
He added that elongated debt could translate to intergenerational debt.
“The solution is to increase the injection at the investment level, when you do that, it grows employment and to grow investment means that you increase the level of confidence of domestic and foreign investors.
“Also government’s policies should be well aligned, create equitable distribution of wealth and equal opportunities for citizens, strengthen tax institutions to increase revenue collections and reduce leakages,” he said.
In the same vein, , Chief Economist, Pricewaterhouse Coopers (PwC), Mr Andrew Nevin said the country had declined in per capita GDP since 2015 to 2017.
He said this was likely to decline in 2019 adding that the IMF also predicted a decline in 2020 to 2022.
“This indicates that we are getting poorer each year,” Nevin said.
He said government should eliminate fuel subsidy and dual foreign exchange rate, improve on the country’s ease of doing business, and also tap into the potential of the real estate sector.
Mr Ayo Salami, Partner, KPMG Nigeria, said there had been consistent shortfall in government’s projected revenue in the last few years, and that the country’s debt would surpass its revenue in the next five years, if the trend was left unchecked.
He urged the Federal Government to review some of its abandoned and ongoing projects.
He said the Ajaokuta Steel plant and the refineries were not generating revenue, but that the government kept pumping funds into them annually.
Salami, therefore, called for a review in cost of governance, block leakages in Customs revenues and check inefficiencies at the ports, which were contributing to cost of production and affecting economic growth.
Earlier, , President of LCCI Mr Babatunde Ruwase said the chamber was concerned about the rapidly growing public debt and its implications for the country‘s fiscal sustainability.
“The Debt Management Office (DMO) put the nation’s total debt stock (Federal, FCT and States) at N22.38 trillion (73.21 billion dollars) as at June 30.
“Debt service to revenue ratio which currently stands at over 40 per cent is on the high side, with implications on the country’s capacity to deliver infrastructure investments. Our revenue can barely cover our recurrent expenditure.
“Many state governments are still grappling with huge debt service burden which is impeding deliverables on vital developmental projects. Many other states depend largely on Federal Government grants and allocations to survive,” he said.
Ruwase said it was imperative for government to set a debt management framework that aligns with its economic growth drive, revenue profile and “ability to pay” realities.
Meanwhile, the Director-General, Debt Management Office (DMO), Ms. Patience Oniha, said its current strategy was to reduce the interest expense on government’s debt.
She said DMO hoped to achieve a debt mix of 60 per cent and 40 per cent for domestic and external debt respectively.
Oniha represented by, Director, Policy Strategy and Risk Management, Mr Joe Ugoala said DMO also planned to increase the long-term portion of the domestic debt to 75 per cent.
She said debt to GDP in Nigeria at 20 per cent was one of the lowest figures in the world.
The director general added that it was lower than the limit of 40 per cent and showed that the economy had huge fiscal sustainability space if revenue could grow faster than its current level.

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NPA Assures On Staff Welfare 

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The Managing Director, Nigerian Ports Authority (NPA), Dr. Abubakar Dantsoho, has said the management will continue to accompany its port infrastructure  and equipment  modernization drive  with the development of the welfare of its personnel.
Dantsoho made the disclosure recently while responding to the commendation by the Maritime Workers Union (MWUN) and the senior Staff Association of Statutory Corporations and Government-Owned Companies (SSASGOC) on the  clearing  of the age-long problem of employee stagnation, when the union paid him a courtesy visit at the Authority’s headquarters in Lagos.
A Statement by NPA’s General Manager Corporate & Strategic Communications, Mr. Ikechukwu Onyemekara, quoted Dantsoho as saying,  “our Port infrastructure and equipment modernization drive will go hand-in-hand with continuous staff welfare improvement”.
The NPA MD disclosed that human capital development constitutes the key strategy for creating and sustaining superior performance under his watch, adding that “talent development constitutes a critical success factor for the actualization of the big hairy audacious goals we have set for ourselves especially in the area of Port competitiveness.
“The only way we can meet and indeed exceed stakeholders’ expectations is to deepen the competencies of our human resources assets and boosting their morale.”
Speaking further, Dantsoho commended the Honourable Minister of Marine & Blue Economy, Adegboyega Oyetola, for approving the strategic proposal of the Dantsoho-led Management team that solved the over a decade-long problem of lack of promotion that had fuelled industrial disharmony.
“I must specially appreciate our amiable Minister for graciously approving the multi-pronged stratagem we deployed that cleared all outstanding cases of employee stagnation by conducting examinations in one fell swoop and instituted timelines to forestall a recurrence of such anomaly”, he sad.
Speaking on behalf of the joint maritime labour unions, the President  of Senior Staff Association of Statutory Corporations & Government-Owned Companies (SSASCGOC), Comrade Bodunde stated, “In addition to clearance of the backlog of stagnated promotions, we also wish to express our appreciation for the increase in productivity bonuses, provision of end-of-year welfare packages for staff, and the revision of the Financial Guide to the Condition of Service, which now addresses our members’ concerns about inflationary pressures.”
Nkpemenyie Mcdominic, Lagos
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ANLCA Chieftain Emerges FELCBA’s VP

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National Secretary of the Association of Nigerian Licensed Customs Agents (ANLCA), Elder Olumide Fakanlu, has been elected Vice President of the Federation of ECOWAS Licensed Customs Brokers Association (FELCBA).
The election took place during the FELCBA Congress, held from Tuesday, June 17th to Thursday, June 19th, 2025, in Freetown, Sierra Leone.
Fakanlu’s emergence as Vice President marks a significant achievement for Nigeria within the regional customs brokerage community.
Apart from Fakanlu, Secretary of the Seme Chapter of ANLCA, Austin Nwosu, was also elected, securing the role of Secretary of Relations with Institutions.
The Nigerian delegation played an active role in the congress, with Michael Ebeatu nominated as a member of the electoral officer team, ensuring a fair and transparent election process.
The three-day congress concluded with delegates undertaking a visit to the Sierra Leone Port, offering insights into the host nation’s maritime operations, followed by a recreational trip to the Tokeh Beach.
The newly elected executives are expected to lead FELCBA in its efforts to harmonize customs brokerage practices, promote trade facilitation, and advocate for the interests of licensed customs brokers across the ECOWAS sub-region.
Nkpemenyie Mcdominic, Lagos
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NSC, Police Boost Partnership On Port Enforcement 

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In a bid to enhance more enforcement in the nation’s Port, the Nigerian Shippers’ Council (NSC) has reaffirmed its commitment to stronger inter-agency collaboration with the Nigeria Police Force (NPF).
The Council said the collaboration is aimed at enhancing stronger enforcement, compliance and improve operational efficiency across Nigeria’s ports.
Executive Secretary/Chief Executive Officer of  NSC, Dr. Pius Akutah, made this known during a visit to the  Inspector-General of Police, Dr. Kayode Adeolu Egbetokun, at the Force Headquarters, Abuja.
The visit, which he said, focused on strengthening institutional synergy, comes in the wake of growing responsibilities for the NSC under the newly created Ministry of Marine and Blue Economy.
Akutah emphasized the critical role of security agencies in supporting port operations and ensuring regulatory compliance.
He called for the posting of police officers to assist the Council’s monitoring and enforcement teams at key port locations including Lagos, Warri, Onne, Port Harcourt, and Calabar.
“The posting will complement the activities of our revived task teams and enhance our ability to enforce standards across the maritime logistics chain”, he said.
Earlier, the Inspector-General of Police, Dr. Egbetokun, assured the Council of the Force’s readiness to continue supporting the growth of the maritime sector.
The IGP acknowledged that compliance enforcement is essential to the successful implementation of Nigeria’s Blue Economy objectives.
“The NSC and NPF are expected to deepen collaboration in the months ahead, with a shared focus on building a secure, efficient, and competitive port environment”, to the IGP emphasized.
Chinedu Wosu
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