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‘World Bank Projects Worsening Inflation Rate In Nigeria’

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With increasing prices of things in the country, which is diminishing the welfare of Nigerian households, the World Bank has said that Nigeria may have one of the highest inflation rates in the world, this year.
The bank in its latest edition of its Nigeria’s Development Update, noted that the country is expected to have one of the highest inflation rates in the world, and seventh in the sub- Sahara Africa in 2022.
According to the global financial institution, high inflation hampers the country’s attempt to achieve economic recovery and erodes the purchasing power of most vulnerable households.
“High inflation is frustrating Nigeria’s economic recovery and eroding the purchasing power of the most vulnerable households. In the absence of measures to contain inflation, rising prices will continue to diminish the welfare of Nigerian households”, it stated.
The bank further highlighted the adverse effects of inflation on Nigeria, which include pushing eight million Nigerians into poverty, and the possible disruption of consumption, investment and saving decisions, among other consequences.
“If inflation had been closer to the CBN’s goal of nine per cent in 2021, the average Nigeria’s consumption would have been 15 per cent higher, and eight million Nigerians would have not fallen into poverty.
“If double-digit inflation persists during 2022-2023, rising prices will distort consumption, investment, and saving decisions of the government, households, and firms, with adverse ramifications for long-term borrowing and lending.
“Over time, the disproportionate impact of inflation on lower-income households and those working in sectors with low savings (e.g, agriculture) will exacerbate inequality. Ultimately, inflation will not only negatively affect incomes, but also economic productivity and job creation, further constraining the recovery”, the bank said.
The Washington, United States-based institution, also disclosed that over two years, an increase in food prices accounted for about 70 per cent of the annual increase in the rate of inflation.
It also said that inflationary pressures were triggered by multiple demand and supply shocks.
“Inflationary pressures are being generated by multiple demand and supply shocks. Supply shocks arising from disruption of supply chains linked to Covid-19 and associated containment measures have eased, but security issues, border closures, and limited access to markets continue to fuel inflation.
“The current mix of monetary, fiscal, foreign exchange, and trade policies also plays a prominent role as a driver of inflation. Trade and FX restrictions, including the closure of land borders starting in August 2019, have increased prices for food and consumer goods, and imports of over 40 goods, including many staple foods, are currently ineligible for FX through formal windows.

By: Corlins Walter

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Fubara Reads Riot Act To New SSG, CoS …Warns Against Unauthorized Meetings

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Rivers State Governor, Sir Siminalayi Fubara, has charged the newly appointed Secretary to the State Government (SSG)  and Chief of Staff (CoS) to carry out their duties with discipline, loyalty and a firm commitment to the success of the  administration and the wellbeing of the people of Rivers State.

The governor warned that any involvement in unauthorised nocturnal meetings or any  conduct capable of embarrassing the government will attract immediate dismissal.

Fubara gave the warning yesterday shortly after the newly appointed  Secretary to the State Government (SSG), Dr  Dagogo S.A. Wokoma and the new  Chief of Staff (CoS), Barrister Sunny Ewule, were  sworn in at the Executive Council  Chambers of Government House, Port Harcourt.

As part of the ceremony, the  Chief Registrar of the State High Court, David Ihua-Maduenyi   administered the Oath of Allegiance and Oath of Office on the duo before the governor gave his charge.

Addressing the appointees, Fubara reminded them that their elevation to the new positions was a call to service and not a platform for political grandstanding or the  pursuit of  personal ambition.

He stressed that their foremost responsibility should be to themselves and to the people of Rivers State, stressing that their conduct must always  reflect integrity, restraint and dedication to public good.

Speaking directly to Dr. Wokoma, whom he described as an accomplished academic and mathematician, the governor   expressed confidence in his intellectual depth and capacity to deliver on the new assignment.

The office of the Secretary to the State Government, Fubara stressed, demands thoroughness, discipline and a deep sense of responsibility. He charged the SSG  to  represent the State with honour at all times.

“Your duty includes representing the state government. You need to represent us in a way and manner that will bring honour to us.

“What is important to this administration is to see that the good works that we started  and the ones that we met, are concluded in a way that will bring progress and development to our dear state,” he stated.

Turning to the new Chief of Staff, the governor explained that  he  is expected to ensure smooth administrative coordination, managing  official engagements effectively and safeguarding the image of the Government House.

He underscored the sensitive and personal nature of the role and emphasised  that the position operates strictly under the  authority of the governor.

Fubara stressed   that  the role   does not permit independent political engagements or private strategy meetings  without his knowledge and consent.

“Let me sound it here very clearly. Your duty  is to make sure that you handle the administrative duties  and image making roles perfectly well,  liaising with whoever is coming for any official assignment here.

“If you involve yourself in nocturnal meetings and all those things, I will sack you. I’m very serious. What is important to me today is peace, progress and prosperity of this state. I’m not going to compromise anything for it,” he said.

The governor cautioned that involvement of the new appointees in  any action capable of bringing  the government or his office to disrepute would attract appropriate sanctions.

While congratulating the new appointees, Fubara expressed optimism that they would justify the confidence reposed in them.

He called on all public officials to work together in unity, observing that collective success is stronger and more enduring than individual achievement.

The governor who also addressed the Permanent Secretaries present at the ceremony, directed those of them who have reached retirement age to start   preparing their handover notes without delay.

The notice, he said, was not intended to scare anybody but to prepare their minds towards the inevitability of exiting the service  one day and to pave way for an orderly transition.

He warned against any attempt to engage in financial misconduct or last-minute irregularities, stressing that he was closely monitoring  the system to ensure strict enforcement of accountability rules.

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Fubara Dissolves Rivers Executive Council

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Rivers State Governor, Sir Siminialayi Fubara, has dissolved the State Executive Council.

The governor announced the cabinet dissolution yesterday in a statement titled ‘Government Special Announcement’, signed by his new Chief Press Secretary, Onwuka Nzeshi.

Governor Fubara directed all Commissioners and Special Advisers to hand over to the Permanent Secretaries or the most Senior officers in their Ministries with immediate effect.

He thanked the outgoing members of the State Executive Council for their service and wished them the best in their future endeavours.

The three-paragraph special announcement read, “His Excellency, Sir Siminalayi Fubara, GSSRS, Governor of Rivers State, has dissolved the State Executive Council.

“His Excellency, the Governor, has therefore directed all Commissioners and Special Advisers to hand over to the Permanent Secretaries or  the most Senior officers in their Ministries with immediate effect.

“His Excellency further expresses his deepest appreciation to the outgoing members of the Executive Council wishing them the best in their future endeavours.”

 

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INEC Proposes N873.78bn For 2027 Elections, N171bn For 2026 Operations

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The Independent National Electoral Commission (INEC) yesterday told the National Assembly that it requires N873.78bn to conduct the 2027 general elections, even as it seeks N171bn to fund its operations in the 2026 fiscal year.

INEC Chairman, Prof Joash Amupitan, made the disclosure while presenting the commission’s 2026 budget proposal and the projected cost for the 2027 general elections before the National Assembly Joint Committee on Electoral Matters in Abuja.

According to Amupitan, the N873.78bn election budget covers the full conduct of national polls in 2027.

An additional N171bn is needed to support INEC’s routine activities in 2026, including bye-elections and off-season elections, the commission stated.

The INEC boss said the proposed election budget does not include a fresh request from the National Youth Service Corps seeking increased allowances for corps members engaged as ad-hoc staff during elections.

He explained that, although the details of specific line items were not exhaustively presented, the almost N1tn election budget is structured across five major components.

“N379.75bn is for operational costs, N92.32bn for administrative costs, N209.21bn for technological costs, N154.91bn for election capital costs and N42.61bn for miscellaneous expenses,” Amupitan said.

The INEC chief noted that the budget was prepared “in line with Section 3(3) of the Electoral Act 2022, which mandates the Commission to prepare its election budget at least one year before the general election.”

On the 2026 fiscal year, Amupitan disclosed that the Ministry of Finance provided an envelope of N140bn, stressing, however, that “INEC is proposing a total expenditure of N171bn.”

The breakdown includes N109bn for personnel costs, N18.7bn for overheads, N42.63bn for election-related activities and N1.4bn for capital expenditure.

He argued that the envelope budgeting system is not suitable for the Commission’s operations, noting that INEC’s activities often require urgent and flexible funding.

Amupitan also identified the lack of a dedicated communications network as a major operational challenge, adding that if the commission develops its own network infrastructure, Nigerians would be in a better position to hold it accountable for any technical glitches.

Speaking at the session, Senator Adams Oshiomhole (APC, Edo North) said external agencies should not dictate the budgeting framework for INEC, given the unique and sensitive nature of its mandate.

He advocated that the envelope budgeting model should be set aside.

He urged the National Assembly to work with INEC’s financial proposal to avoid future instances of possible underfunding.

In the same vein, a member of the House of Representatives from Edo State, Billy Osawaru, called for INEC’s budget to be placed on first-line charge as provided in the Constitution, with funds released in full and on time to enable the Commission to plan early enough for the 2027 general election.

The Joint Committee approved a motion recommending the one-time release of the Commission’s annual budget.

The committee also said it would consider the NYSC’s request for about N32bn to increase allowances for corps members to N125,000 each when engaged for election duties.

The Chairman of the Senate Committee on INEC, Senator Simon Along, assured that the National Assembly would work closely with the Commission to ensure it receives the necessary support for the successful conduct of the 2027 general elections.

Similarly, the Chairman of the House Committee on Electoral Matters, Bayo Balogun, also pledged legislative support, warning INEC to be careful about promises it might be unable to keep.

He recalled that during the 2023 general election, INEC made strong assurances about uploading results to the INEC Result Viewing portal, creating the impression that results could be monitored in real time.

“iREV was not even in the Electoral Act; it was only in INEC regulations. So, be careful how you make promises,” Balogun warned.

The N873.78bn proposed by INEC for next year’s general election is a significant increase from the N313.4bn released to the Commission by the Federal Government for the conduct of the 2023 general election.

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