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2016 Budget And Poverty Alleviation: Matters Arising

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By all accounts, the
commitment of President Muhammadu Buhari to redeem his campaign promise of removing millions of Nigerians out of poverty is significant and exceptional.
Analysts observe that although successive administrations initiated various measures and policies aimed at alleviating abject poverty among Nigerians, such efforts have not yielded meaningful results.
A World Bank’s global poverty rating placed Nigeria among the five poorest countries in the world.
The report revealed that most Nigerians lived on less than one dollar per day.
The World Bank President, Jim Yong Kim, while releasing the report at the April 4, 2014 IMF/World Bank Spring Meetings in New York, emphasised that Nigeria had one of the largest concentration of poor people.
According to him, seven per cent of the world poor live in Nigeria in spite of the rebasing of the country’s Gross Domestic Product (GDP) that ranked it as the largest economy in Africa.
Concerned about this development, President Muhammadu Buhari has earmarked N500 billion for social welfare packages to the vulnerable persons.
This is contained in the administration’s Medium Term Expenditure Framework and Fiscal Strategy Paper presented to the National Assembly.
Buhari said that the Federal Government would collaborate with state governments in the implementation of the N500 billion social welfare packages to the vulnerable.
“The Federal Government will collaborate with state government to institute well structured social welfare intervention programmes such as school feeding programme initiatives, conditional cash transfer to the most vulnerable,’’ he said.
According to him, these interventions will start as pilot scheme and work towards securing the support of donor agencies and development partners to minimise potential risks.
He said that the government would create a phased social welfare programme to cater for a larger population of the poorest and most vulnerable Nigerians.
Also, Minister of Information and Culture, Alhaji Lai Mohammed, assured Nigerians of the Federal Government’s commitment to their welfare.
He insisted that provisions made in the 2016 budget would reduce the sufferings of Nigerians, noting that the measures would be targeted at unemployed graduates, market women, artisans and farmers, among others.
“We are aiming to lift millions of Nigerians out of poverty through massive social interventions,’’ Mohammed said.
According to him, the school feeding programme that will provide one meal per day to school children, the conditional transfer of N5,000 monthly to 25 million most vulnerable Nigerians and access to loans by different categories of people, are among the measures for which provisions have been made in the 2016 budget.
“In addition to providing succour, these measures will also stimulate the economy; just imagine the impact on the poultry sector alone if, for example, one egg is given daily to one million school children,’’ he said.
The minister observed that in spite of the global economic downturn, the impact of the current harsh economic environment on Nigerians would have been less severe if the previous administrations had managed the economy well.
“The gains of the boom when oil was selling at more than100 dollars were either stolen or frittered away.
“Yet, those who brought the nation to this sorry state have continued to grandstand, even having the audacity to further insult the victims of their impunity.
“The Buhari administration is not making excuses. That is why it has included in the 2016 budget the measures that will provide relief for Nigerians.
“But it is important for Nigerians to know the kind of deficits that the government ran since 2009 that partly brought us to where we are now.
“In 2009, the Federal Government was spending 228 dollars for every 100 dollars earned, leaving a deficit of 128 dollars.
“In 2010, the spending was 158 dollars for every 100 dollars earned, leaving a deficit of 58 dollars.
“In the next few days, the administration will start firing from all cylinders, starting with the unveiling of the 2016 budget.
“Nigerians will witness measurable and impactful progress in all spheres of governance.
“We shall not abandon our social intervention policies such as one meal a day for school children and the payment of N5, 000 monthly to each vulnerable Nigerian.
“We are committed to lifting millions of Nigerians out of poverty, this government will not give excuses,’’ he emphasised.
Mohammed said that the Federal Government would take advantage of the vast opportunities in the agriculture, solid minerals, and real sectors, among others, to also create more jobs.
The minister said that the administration would invest massively in developing infrastructure because it would be difficult to create jobs without such investments.
“Job creation, which is our major promise, is going to be realised and all we are waiting for is the 2016 Budget to be put in place.
“You cannot create jobs without investing massively in infrastructure and I know that what we are aiming at this year is to ensure that most of our spending will be on infrastructural development.
Mohammed, who spoke during a familiarisation visit to the headquarters of the News Agency of Nigeria (NAN) in Abuja, expressed concern that between 60 million and 80 million Nigerians lived below the poverty line.
“It is not that in the past there had not been attempts at poverty alleviation but it could not be at the scale we are aiming.
“We are embarking on these massive social interventions so that we will talk of millions of Nigerians that will be rescued from abject poverty.
“We have about five groups that we are talking about; we have those that we call vulnerable because they are poor, because they do not have access to basic medical care.
“We have those that are vulnerable because they live with disabilities and this group is different; then there are young Nigerians who are vulnerable because they lack the economic strength.
“We have plans specifically for unemployed graduates and this takes various forms, in the case of market women, we intend to advance them money through their cooperative societies,’’ he said.
The minister also said that graduates who had completed the National Youth Service Scheme and had been enrolled in a skill acquisition programme would be paid a stipend.
He noted that the government was ready to work closely with persons with disabilities and to create a more accessible and enabling environment for them.
“We can make persons with disabilities in our society very productive by giving them the right incentives and we are looking into making public areas accessible to them,’’ he said.
Social analysts, however, insist that although the initiative is laudable, the government must put in place a careful and meticulous strategy to ensure effective implementation of the social security packages.
They insist that government must also carry out a comprehensive census of the beneficiaries to prevent the hijack of the scheme by some unscrupulous persons.
According to them, the government should involve the private sector in the implementation of the programme to ensure its sustainability beyond the tenure of the current administration.
Adamu writes for NAN.

 
Sani Adamu

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Ban On Satchet Alcoholic Drinks: FG To Loss  N2trillion, says FOBTOB

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Ahead the December 31 effective date for enforcement of the ban on alcoholic drinks and beverages in PET or glass bottles below 200ml, the Food, Beverage, and Tobacco Senior Staff Association (FOBTOB) has warned that Nigeria risks losing more than N2 trillion in investments.
The union urged the federal government to reverse the planned ban, cautioning that the Senate’s directive to the National Agency for Food and Drug Administration and Control (NAFDAC) would trigger severe socioeconomic consequences across the industry.
Speaking at a Press Conference, in Lagos, the President of FOBTOB, Jimoh Oyibo, said repealing the directive would prevent massive job losses and protect the country from economic disruption.
“Repealing the order would avert the grave repercussions that would most definitely follow the ban, especially by saving approximately 5.5 million jobs, both direct and indirect,” he said.
Oyibo appealed to the Senate to invite stakeholders to a public hearing, insisting that all parties must be allowed to present their positions before any decision is made.
“For a fair hearing and to demonstrate good faith, the Senate should invite relevant stakeholders to a Public Hearing to ‘hear the other side’ and be adequately informed to make an informed decision,” he said.
The union leader urged the Senate to carefully review and endorse the validated National Alcohol Policy, describing it as a multi-sectoral framework developed after last year’s public hearing, when the initial call for the ban was raised.
He urged the lawmakers to consider the entire value chain in the alcoholic beverage industry, including formal and informal workers and legitimate local manufacturers, before approving any enforcement.
Highlighting the economic implications, Oyibo said close to N2 trillion invested in machinery and raw materials could be wasted, while over 500,000 direct workers and an estimated five million indirect workers, including suppliers, distributors, marketers, and logistics operators, could lose their livelihoods.
He said “Nearly N2 trillion worth of investments in machinery and raw materials could be lost. Indigenous Nigerian manufacturers risk total collapse, discouraging future investments.
“Smuggling and the circulation of unregulated alcoholic products may skyrocket, worsening public health dangers. Government tax revenue could decline sharply as factories shut down or scale back operations.
“With rising unemployment and no safety nets, this ban will plunge families into poverty. The very children the policy claims to protect may be forced out of school if their parents lose their jobs”.
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Estate Developer Harps On Real Estate investment 

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A  Canadian based Nigerian Estate  Developer, Andrew Enofie, has said that diversification of investment into the real  estate sector remains the key to business sustainability.
Enofie said this during the launch of The Golden Gate investments, in Port Harcourt, recently.
He said  real estate sector has always remain stable during period of  inflations, adding that diversification into the sector would ensure that businesses never loose out during such periods.
He also called on Nigerian businessmen to put their money into the Canadian estate industry with the view to reaping maximum benefit.
According to him, Canada  has one of the lowest inflation rate in the world and Nigerian businessmen can reap benefits by putting their monies into the Canadian estate sector.
Enofie said his company, with many years of experience in the real estate sector, can assist Nigerian businessmen with the quest  to acquire property in Canada.
According to him, investors have more opportunities to diversify their funds, saying “it also open doors for investors to invest in the Canadian real estate market.
“With the launch of this fund, we are strategically positioned to navigate current market dynamics,r3 rising demand, shifting rates and evolving economic trends, while focusing on sustainable growth”, he said.
Also speaking, an investor, Mike Ifeanyi, also called on investors to invest in real estate.
He commended the company for its pledged to assist Nigerian businessmen willing to invest in Canada, but added that the whole thing must be transparently done inorder to avoid fraud.
Also speaking, Chukwudi Kelvin, yet another investor, described the event as an eye opener, stressing that time has come for Nigerian investors to go into the Canadian estate sector.
By: John Bibor,/Isaiah Blessing/Umunakwe Ebere/Afini Awajiokikpom
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FG Reaffirms Nigeria-First Policy To Boost Local Industry, Expand Non-oil Exports

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The Federal Government has reaffirmed its continued commitment to driving Nigeria-First policy aimed at encouraging local manufacturers and improving the economy through the non-export sector.
This is as the National Assembly has revealed that a bill for establishing a Weights and Measures Centre is advancing.
Delivering the keynote address at the Opening Ceremony of the 2025 Nigerian International Trade Fair, in  Lagos, Minister of Industry, Trade and Investment, (FMITI), Dr. Jumoke Oduwole, said that government would continue to promote locally made goods.
Oduwole stated that the fair was not only an opportunity to showcase the best of Nigerian products but ensuring that the country continues to accelerate its non-oil exports under the Renewed Hope Agenda.
The minister noted that the government’s reforms are working and demands a lot of support from all stakeholders.
In her words, “Already, our non-oil exports have grown by 14 per cent. Our exports to the rest of Africa was the fastest growing at 24 per cent last year Q1, year-on-year, CBN released the results at the end of Q1.
“Now, this shows us that our goods are in demand across Africa. Earlier this year, the Federal Ministry of Industry, Trade and Investment opened an air cargo corridor in partnership with Uganda Air, and we mapped 13 Southern and Eastern African countries who want Nigerian products. We understood that they want our fashion, they want our light manufacturing, our food, our snacks, plantain chips, chin chin.
“They also want our zobo, our shea butter, beauty products. The things we take for granted here, our slippers, our hair wigs, are things that are in demand across the continent. And so we’re here to support our Nigerian exhibitors and to welcome our friends across Africa and across the world.
“Exhibitors, buyers who are interested in purchasing, we’re interested in growing these businesses. So a business that is a small business this year should be a medium-sized business in the next five years. Each trade fair has its uses, each trade fair has its conveners, and really, to be honest, there cannot be too many.
“This trade fair, traditionally, has been the largest in the country, and we want to bring it back to its former glory. There’s nothing like a competition.
On her part, the Executive Director, Lagos International Trade Fair Complex Management Board, Vera Safiya Ndanusa, said the board would, in the coming months, champion structured and modernised regulatory frameworks for trade fairs and exhibitions.
She stressed that reviving the Tafawa Balewa Complex was part of a broader mission to strengthen confidence in the nation’s trade infrastructure, while stimulating industrial activity and showcasing the enormous potential of the nation’s citizens.
“Most importantly, we remain the only agency in Nigeria expressly mandated by law to organise trade fairs, and we intend to restore that statutory responsibility to the prominence it deserves ensuring coherence, quality, and national alignment in trade events across the country.
“We will be deepening our engagement with NACCIMA, whose partnership has historically anchored the success of organised trade in Nigeria, while also strengthening ties with ECOWAS, continental business groups, and international partners who share our vision for a more integrated African marketplace.
“In the coming months, we will champion a more structured and modernised regulatory framework for trade fairs and exhibitions, one that protects stakeholders, ensures standards, and positions Nigeria as a credible and well organised destination for regional and continental commerce”, she stated.
She noted that as Africa embraces the promise of the African Continental Free Trade Area, a new momentum was building across the continent.
“For Nigeria, AfCFTA is not just an economic framework; it is a pathway to industrialisation, job creation, and intra-African collaboration.
“This complex must play a central role in that journey. We intend to make this fairground a primary entry point for African trade, a marketplace where producers and buyers from across the continent meet, a logistics hub connected to regional value chains, a centre for cross-border SME activity, and a launchpad for Nigerian businesses looking to expand beyond our borders.
“To achieve this, we are intentionally expanding access to markets physically, economically, and digitally. We are working to make participation more affordable for SMEs, women-led enterprises, and young entrepreneurs. We are improving mobility within and around the complex. A truly vibrant trade ecosystem must be inclusive, and inclusivity begins with access,” she stated.
Chairman, House Committee on Commerce, Ahmed Munir, commended Ministry of Industry Trade and Investment, ED LITF and her team, for promoting the platform as a veritable marketplace of ideas, innovation, and partnership.
He said the event was a clear reflection of the economic agenda of the current administration, supported by Speaker Rt. Hon.Abbas Tajudeen.
According to him, “The House of Representatives recognises that the engine of our economy is the private sector, particularly our Micro, Small, and Medium Enterprises (MSMEs), which contribute nearly 50 per cent to our GDP and employ the vast majority of our citizens.
“To create the competitive environment they need, the National Assembly has been working assiduously to pass and amend vital legislation to enhance the Ease of Doing Business by Streamlining regulatory bottlenecks and reinforcing essential infrastructure to make business operations simpler and more predictable.”
He stressed that as policy makers they would continue to promote the “Nigeria First” Policy through robust legislative support, ensuring that government ministries and agencies prioritise locally manufactured goods in all public procurement processes. “This is our clear statement: We must buy Nigerian to build Nigeria.
“Also to ensure quality and standards, the bill for establishing a Weights and Measures Centre is advancing. Quality is not optional; rather, it is the key to consumer trust and international competitiveness,” he said.
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