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Debt Servicing Jumps By 14.68%

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Nigeria’s debt servicing bill went up by 14.68per cent to N3.36trillion in 2022, data from the Debt Management Office (DMO), in Abuja, has shown.
According to DMO, N2.93trillion was spent on external and domestic debt servicing payments in 2021.
Recall that the DMO had earlier reported that Nigeria’s total debt stock stood at N46.25trillion as of December 2022.
An analysis of DMO showed that the country spent $2.4billion which was equivalent to N1.07trillion using the current exchange rate of $/N460 to service its external debt last year.
Domestic debt servicing gulped N2.56trillion in 2022, with the highest expenditures of N529.88billion recorded in April.
The debt servicing under President Muhammadu Buhari administration has maintained an upward trend since 2016.
In 2016, a total of N1.23trillion was spent to service the country’s domestic debts.
The figure for domestic debt servicing rose to N1.48trillion in 2017.
In 2018, the country’s domestic debt servicing bill rose to N1.8trillion while the cost of domestic debt servicing came down a bit in 2019 to N1.69trillion.
In 2020, debt servicing rose again to N1.85ttillion.
By 2021, domestic debt servicing rose to N2.05trillion.
On the other hand, external debt servicing gulped $353.09million in 2016.
It went up to $464.05million in 2017 and jumped up to $1.47billion in 2018.
In 2019, the country spent $1.33billion on external debt servicing.
In 2020, external debt servicing gulped $1.56billion.
By 2021, it became N2.93trillion.
The amount spent on external debt servicing was calculated using the CBN’s exchange rate for the year.
For instance, the naira-dollar average exchange rates for 2016 and 2017 were N197 and N305 respectively.
It was N305 in 2018 and N360 in 2019.
It closed at N380 and N420 in 2020 and 2021, respectively.
Reacting, the Lagos Chamber of Commerce and Industry expressed worry over the country’s debt burden, especially in the face of stunted revenue growth, the large presence of decaying infrastructure and the unsustainable burden of oil subsidy overhang.
In a statement on Thursday, the chamber said the ratio of debt service to government revenue at about 90per cent remained alarming and unsustainable.
It said both capital and interest payments on borrowed sums exposed the country’s fiscal vulnerabilities and that the government should, as a matter of urgency, emphasise strategies for revenue growth while blocking leakages.
The chamber further advised the government to shift focus to equity financing, divestment or shedding of its equity holdings in state-owned enterprises, real estate, and infrastructure to reduce its debt commitments and improve its fiscal situation.
Also, the International Monetary Fund warned that debt servicing might gulp 100per cent of the Federal Government’s revenue by 2026 if the government fails to implement adequate measures to improve revenue generation.

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Pharmacy Council Seals 666 Medicine Stores In Kaduna Markets

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The Pharmacy Council of Nigeria (PCN), in an enforcement excercise, shut down 666 medicine stores in open drug markets and other locations in Kaduna state .
Addressing newsmen yesterday in Kaduna, the Director Enforcement of the PCN, Stephen Esumobi, said the PCN also carried out the enforcement excercise in Zaria LGA of the state.
At the end of the enforcement which began early in the week, Esumobi said a total of 895 premises were visited.
“ We visited 75 pharmacies, 514 patent medicine shops, 306 other premises .
“The premises sealed included 47 pharmacies, 313 patent medicine shops and 306 illegal medicine shops,” he said.
He explained that the presmises were sealed for offences ranging from sale of medicines in the open drug market, operating without registration with PCN, poor documentation, poor storage facilities, stocking of ethical products without the supervision of a pharmacist.
Esumobi added that other offences were wholesalers engaging in retail activities, non-pharmacists having access to poison cupboards, patent medicine shops engaging in clinical practice and training apprentices among others.
“One major obstacle militating against the quality, safety and efficacy of medicines in Nigeria is the sale of medicines in open drug markets.
“Many medicine shops in the open drug markets and some other locations across the Kaduna state are not registered by the PCN and are operating illegally.
“The storage conditions for medicines in these premises are poor as medicines are stored at temperature and humidity conditions that are at variance with manufacturers recommnendations.
“The implication of this is that most of the medicines sold in these locations may no longer be fit for human consumption due to degradation of the active ingredients.
“Some of the products of degradation of these medicines are harmful thus posing a threat to public health.
“The premises do not have pharmacists to supervise the sale of ethical medicines and other medicines with narrow margin of safety thus exposing consumers to harmful consequences of the wrong use of the medicines,”he said.
Speaking further, the director said most of the medicine dealers engage in the illegal sale of substances of abuse to members of the public, thereby aggravating the social and security challenges emanating from the illicit use of the medicines.
He said the PCN had communicated on many occasions with the relevant stakeholders in open drug markets in Zaria and Kaduna city on the need to relocate to registrable locations or a coordinated wholesale centre as their activities are in total violation of the National Drug Distribution Guidelines.

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Flood: Food Shortage Hits Maiduguri

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There is growing concern over shortage of foodstuff and other commodities in Maiduguri as thousands of residents struggle for survival, aftermath ravaging flood.
The Tide’s source reports that the flood submerged major markets including grain, fruit and vegetable depots in the town, while many shopping complexes and plazas continue to remain closed.
The development had led to shortage of food items making the prices of the few available ones to be high.
“It is difficult to find foodstuff now as all major markets are submerged.
“I can’t operate my restaurant in-spite of pressure from customers, because the foodstuff I stocked have been exhausted,” Hajara Mohammed said.
Other food vendors who attended to customers the previous day, including, Amina Isa, Rhoda Abdullahi and Jummai Mohammed said their stocks had also been exhausted and there was nowhere to restock.
The Tide source reports that the health sector was also affected as a result of the flood that submerged the University of Maiduguri Teaching Hospital and Maiduguri Specialist Hospital.
Already, some residents have started showing concern over possible public health crisis, including outbreaks of cholera, typhoid and other water borne diseases.
They specifically expressed worry over the flood that washed away corpses at the Maiduguri cemetery.
Meanwhile, Gov. Babagana Zulum had gone round some emergency camps to distribute cash to displaced persons as they awaits the arrival of foodstuff.

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Stop Bullying Nigerians, Seadogs Tells Security Agencies

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The National Association of Seadogs (Pyrates Confraternity) has urged security agencies to stop bullying innocent Nigerians, criticising the infringement on fundamental human rights and the undermining of Nigeria’s democratic values.
In a statement by NAS Cap’n, Dr Joseph Oteri, the association expressed concern that despite the current economic challenges and the escalating insecurity in the country, security agencies are compounding the situation by harassing innocent citizens.
Citing the recent arrest of the President of the Nigeria Labour Congress and the terrorism charges against several anti-high cost of living protesters, the association lamented the alarming trend of security agencies using the pretext of combating terrorism to bully law-abiding citizens.
The statement read, “The National Association of Seadogs (Pyrates Confraternity) is deeply troubled by the economic challenges facing Nigerians and the rising insecurity gripping our nation.
“Nigeria, as Africa’s largest economy, is grappling with issues such as high inflation, foreign exchange rate volatility, low productivity, weak governance, and inadequate infrastructure. These challenges not only threaten our growth prospects but also jeopardise stability.
“In addition to these pressing concerns, insecurity in Nigeria is escalating. A recent report by SBM Intelligence revealing 7,568 kidnappings in 1,130 incidents between July 2023 and June 2024 highlights the growing insecurity affecting our country.
“Amid these alarming circumstances, where Nigerians are
already suffering from economic hardships and living in fear due to rising insecurity, it is disheartening to witness security agencies bullying innocent citizens under the guise of counter-terrorism.”
The NAS Cap’n further stated that such heavy-handed tactics violate fundamental human rights and erode the trust between citizens and the security forces tasked with their protection.
He added, “The National Association of Seadogs (Pyrates Confraternity) unequivocally condemns these actions by security agencies that trample on basic human rights and undermine democratic principles.”
The association called for a thorough investigation into the persecution of innocent Nigerians, stressing that the country’s democracy is founded on fairness, justice, and equality before the law.
“It is incumbent upon all relevant authorities at federal, state, and local levels to ensure that those responsible for violating the rights of Nigerian citizens are held accountable within Nigerian laws and international human rights standards.
“We urge all stakeholders, including government bodies, civil society organisations, religious leaders, and the media, to collaborate in finding lasting solutions to improve the safety and well-being of our fellow citizens.
“We must unite to condemn the bullying of innocent Nigerians and give them a voice. They do not deserve the injustices inflicted upon them, especially in these times when many families are struggling with harsh economic realities and pervasive insecurity across the country. We must stand together to ensure such injustices are not tolerated in our society,” he concluded.

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