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$114.28m World Bank Loan: SERAP Demands Public Scrutiny, Transparency In Spending
Following World Bank’s approval of $114.28million credit and grant to fight Covid-19 in Nigeria, the Socio-Economic Rights and Accountability Project (SERAP) has asked the global financial institution to prevail on the federal and 36 state governors to accept voluntary scrutiny by Nigerians and civil society regarding the spending of the funds.
SERAP, in an open letter to the World Bank President, Mr. David Malpass, dated August 8, 2020, and signed by SERAP Deputy Director, Kolawole Oluwadare, said “the Nigerian government must be made to publicly commit to transparency and accountability in the spending of the fund, including by publishing details on a dedicated website.
“Details of how they will spend the money to buy medical equipment, and improve access to clean water, sanitation and hygiene, must also be made public”, SERAP demanded.
The World Bank Board of Directors, had last Friday, approved $114.28million financing “to help Nigeria prevent, detect and respond to the threat posed by Covid-19 with a specific focus on state level responses.”
According to the bank, the $100million credit with Project ID number: P173980, is due to be paid back over 30 years, with additional five years grace period.
But SERAP in its letter said “The World Bank has a responsibility to ensure that federal authorities and state governments are transparent and accountable to Nigerians in how they spend the approved credit and grant.
“The bank should tread carefully in the disbursement of funds or distribution of resources to states if it is to reduce vulnerability to corruption and mismanagement.”
SERAP expressed “serious concerns that the money and resources may be stolen, diverted or mismanaged by state governors without effective transparency and accountability mechanisms, especially given increasing reports of allegations of corruption and mismanagement of Covid-19 funds by agencies of the Federal Government and state governments, and impunity of perpetrators.”
SERAP said: “Insisting on transparency and accountability would ensure repayment of the credit, and protect the project objectives and intended purposes for which the funds and resources are approved, disbursed and distributed.”
According to SERAP, “The Bank’s power to provide credits and grants is coupled with a fiduciary responsibility to ensure that governments spending such funds meet international standards of transparency and accountability, including those entrenched in the UN Convention against Corruption to which Nigeria is a state party.”
The letter copied to the World Bank Country Director for Nigeria, Shubham Chaudhuri, read in part: “Implementing these recommendations would prevent a repeat of alleged diversion and mismanagement of recovered Abacha loot disbursed by the Federal Government to state governments.
“The World Bank should make clear to all the governors that it will cancel the credit and grant should they renege on their transparency and accountability commitments to spend the money and use the resources exclusively for Covid-19 related projects, and not to steal, divert or mismanage them.”
“As the level of Federal Government monitoring of the spending of the credit and grant and use of the resources by state governors may be based on political considerations, the bank’s influence might be the only restraining force state governors will take seriously.
“SERAP encourages you and the World Bank in any future engagements with state governments in Nigeria to insist on accessing information on how governors are spending security votes, and the amounts of public funds states are allocating to pay former governors life pensions, among others, as well as consider the level of corruption within each state before approving any credits and grants.
“SERAP also encourages you and the World Bank not to sacrifice international standards of transparency and accountability in the rush to provide Covid-19 credit and grant to the 36 state governments.
“According to our information, the World Bank Board of Directors on Friday, August 7, 2020 approved $114.28million financing ‘to help Nigeria prevent, detect and respond to the threat posed by Covid-19 with a specific focus on state level responses’.
“This includes $100million credit from the International Development Association (IDA) and $14.28million grant from the Pandemic Emergency Financing Facility.
“SERAP notes that the Government of Nigeria is expected to disburse the money and distribute the resources to the 36 state governments and the Federal Capital Territory (FCT) as ‘immediate support to break the chain of Covid-19 local transmission and limit the spread of Coronavirus through containment and mitigation strategies.’
“The approved money will also ‘help to finance federal procurements of medical equipment, laboratory tests, and medicines to be distributed to the states based on their needs, and to provide support to laboratories for early detection and confirmation; equipping and renovating isolation and treatment centres, including community support centres; and improving in patient transfer systems through financing of ambulances and training’.”
SERAP, therefore, urged Malpass and the World Bank to: “Disclose and widely publish the terms and conditions of the credit and grant, and the exact amount repayable by Nigeria in 30 years’ time, including the details of the interest, if any; and the consequences of Nigeria defaulting.
“To also ask President Muhammadu Buhari to instruct the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) to jointly track and monitor spending of the credit and grant by state governments; ask state governments to allow the media to freely report on their spending of the funds and use of the resources, and not to clampdown on journalists and the media in the exercise of their constitutional responsibilities to expose corruption and hold governments to account.
“To also ask state governments to explicitly commit to encouraging and protecting whistle-blowers as a way of ensuring that the funds and resources are not stolen, diverted or mismanaged; clarify if any, to the Bank’s knowledge and information, the credit and grant have been approved by Nigeria’s National Assembly pursuant to its constitutional duties, including its oversight functions under Section 88 of the 1999 Constitution (as amended).
“Ensure increased transparency of sanctions and terms and conditions of the credit and grant to each state to enable Nigerians to ask questions as to the spending of the money and use of the resources from their state governments.”
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Nigeria Exceeds OPEC Quota As Production Hits 11-month High
Nigeria’s crude oil production has surged to an 11-month high in May, 2026, with the country exceeding its Organisation of the Petroleum Exporting Countries (OPEC) production quota.
The average crude oil production recorded during the month of May represents 102 per cent of Nigeria’s 1.5mbpd of production quota allocated by the OPEC.
The production report released by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), yesterday, disclosed that Nigeria’s oil production averages 1,530,354 barrels of crude oil and 170,446 barrels of condensates per day (bpd).
According to the report, this brings the total combined production to 1, 700, 800 barrels per day and consolidating Nigeria’s position as Africa’s largest oil producer.
The report said the production performance during the review period remained robust, with combined crude oil and condensate output ranging between a low of 1.51 million bpd and a peak of 1.86 million bpd.
It said the May 2026 production figures represented the highest recorded by Nigeria since July 2025, when output surged to 1,712,282.
“In strict crude oil terms (excluding condensates), the 1.53 million barrels recorded in May 2026 represents the highest Nigeria has witnessed since January 2025 when crude oil production hit 1.538mbpd.
“The latest crude oil production statistics thus represents a 15-month high on a month on month basis, production rose by 2.77 per cent in May 2026 as against 1.48mbpd in April,” it said.
The report said the broader production trend over the last five months had also remained positive.
It said combined crude oil and condensate output increased from 1.48 million bpd in February to 1.54 million bpd in March, 1.66 million bpd in April, and then 1.7 million bpd in May, underscoring sustained growth in Nigeria’s hydrocarbon production levels.
According to the report, among production streams, Bonny Terminal led the pack with a total blend of 293,870 bpd, closely followed by Forcados Terminal at 289,900 bpd, Qua Iboe ranked third with 173,360 bpd, while Escravos Oil Terminal contributed 135,470 bpd.
It said the Odudu (Amenam Blend) completed the top five production streams, accounting for 63,250 bpd during the month under review.
The NUPRC attributes the rise in production to a sustained positive momentum as operations remained stable throughout the reporting period with no significant pipeline or facility outages recorded.
Additionally, all previously scheduled turnaround maintenance activities had been successfully completed, contributing to improved operational reliability and production efficiency.
News
Reps Pass State Police Bill
The House of Representatives, yesterday passed a landmark constitutional amendment bill to establish state police nationwide, marking a significant milestone in Nigeria’s decades-long debate over decentralising policing and strengthening internal security.
The bill, titled “A Bill for an Act to Alter the Constitution of the Federal Republic of Nigeria, 1999 to Provide for the Establishment of State Police and for Related Matters (Sixth Alteration) Bill, 2026,” was approved during consideration at the Committee of the Whole, presided over by Speaker of the House, Rt. Hon. Tajudeen Abbas.
Voting commenced after the Deputy Speaker and Chairman of the House Committee on Constitution Review, Hon. Benjamin Kalu, presented the report on the proposal and canvassed support from lawmakers, stressing the need for a more decentralised policing framework to effectively address the country’s growing security challenges.
The exercise was conducted manually, with members raising their hands to indicate their positions. At the end of the voting, 289 lawmakers voted in support of the bill, one member abstained, while none voted against it, reflecting overwhelming bipartisan backing for the far-reaching reform.
The proposed amendment seeks to fundamentally restructure Nigeria’s policing architecture by creating both Federal and State Police formations.
One of the bill’s key provisions amends Section 214 of the 1999 Constitution to formally establish the Federal Police and the State Police. Under the proposal, the National Assembly would be empowered to prescribe the structure, organisation, administration and powers of the Federal Police, while also providing the legal framework and minimum standards for the establishment and operation of state police services.
The bill stipulates that no state police formation shall commence operations unless it is established by a law enacted by the relevant State House of Assembly and certified as complying with national minimum standards prescribed by an Act of the National Assembly.
It further provides that until a state police force becomes operational, the Federal Police shall continue to exercise policing powers and responsibilities within such states.
In a bid to preserve the autonomy of state police formations and prevent undue federal interference, the bill limits federal intervention in states’ internal security affairs. Under the proposal, the Federal Police may intervene only where there is a complete breakdown of law and order, upon the request of a governor or where a state police force becomes unable to function due to administrative, financial or other operational challenges.
The amendment also proposes significant changes to the police’s appointment and command structure.
Under the amended Section 215 of the Constitution, the Inspector-General of Police would be appointed by the President on the advice of the Nigeria Police Council from among serving members of the Federal Police, subject to confirmation by the National Assembly.
Similarly, a State Commissioner of Police would be appointed by a governor on the advice of the Nigeria Police Council from among serving officers of the State Police, subject to confirmation by the respective State House of Assembly.
The bill empowers governors to issue lawful directives to State Commissioners of Police on matters relating to public safety and the maintenance of law and order. However, where a commissioner considers such directives unlawful or inconsistent with accepted policing standards, the matter may be referred to the Nigeria Police Council, whose decision shall be final.
The proposal also amends Section 84 of the Constitution by replacing references to the “National Police Council and the Federal Police Service Commission” with the “Nigeria Police Council and the Police Service Commission.”
The passage of the bill by the House represents one of the most far-reaching security reforms contemplated since the return to democratic rule in 1999 and is expected to rekindle nationwide debate on issues relating to funding, accountability, operational control and safeguards against abuse.
With the House’s approval, the constitutional amendment bill will now proceed to the Senate for concurrence. Thereafter, it must secure the endorsement of at least two-thirds of the State Houses of Assembly and receive presidential assent before becoming part of the Constitution of the Federal Republic of Nigeria.
If eventually enacted, the legislation would usher in a new era of multi-layered policing in Nigeria and could redefine the country’s approach to tackling banditry, terrorism, kidnapping and other forms of violent crimes through a more localised security architecture.
News
FG Declares Today Public Holiday To Mark Democracy Day
The Federal Government has declared today, public holiday to commemorate Nigeria’s 27 years of unbroken democratic rule.
This is contained in a statement in Abuja, by the Permanent Secretary, Ministry of Interior, Magdalene Ajani.
Ajani said that the Minister of Interior, Dr Olubunmi Tunji-Ojo, made the declaration on behalf of the federal government.
Tunji-Ojo reaffirmed the federal government’s commitment to the preservation of democratic ideals, rule of law, transparency, accountability and inclusive governance.
He assured that the ministry in collaboration with relevant security agencies woulsd continue to take appropriate measures in maintaining and strengthening Nigeria’s internal security.
The minister noted that a secured and stable environment was essential to democracy and national development.
He urged Nigerians to see the holiday as an opportunity for civic reflection.
“As we mark this historic day, every Nigerian is encouraged to remain law-abiding, uphold the institutions that sustain our democracy, and remember that the strength of any democracy lies ultimately in the character of its citizens,” he said.
He also said that June 12 every year remained a significant day in Nigeria’s history in honour of the courage, resilience and sacrifices of Nigerians whose efforts made democratic governance possible.
“Their legacies continue to inform the values and responsibilities of the Nigerian state,”Tunji-Ojo added.
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