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FG ’s Budget Faces Crisis As OPEC Paints Gloomy Outlook For 2021

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Despite the stability of oil prices at $50 per barrel in recent times, the Organisation of Petroleum Exporting Countries (OPEC) has painted a mixed oil market outlook for 2021.
In his opening remarks at the 47th Meeting of the Joint Technical Committee (JTC), yesterday, via videoconference, OPEC Secretary General, Mohammad Barkindo, said, “Amid the hopeful signs, the outlook for the first half of 2021 is very mixed and there are still many downside risks to juggle. We are only beginning to emerge from a year of deep investment cuts, huge job losses and the worst crude oil demand destruction on record.
“Curbs on social and economic activity remain in place in a number of countries, and there is concern about the emergence of a pernicious new strain of the virus. Last night I saw on the news there are now about 30 countries that have reported this new strain.”
According to him, “Though the ongoing restrictions are necessary to combat the pandemic, they have chipped away at business sentiment and consumer confidence in some of the world’s biggest economies. It is too early to tell how quickly key sectors will bounce back to their pre-pandemic growth trajectories even if the vaccines defeat this terrible virus.
“Mr Chairman, sectorally, travel, tourism, leisure and hospitality continue to be affected. Our projections show that there will be rebound in the second half of 2021 with upside potential.
“However, it could be another a couple of years before these sectors bounce back to pre-Covid-19 levels, with corresponding lagging impact on oil demand.
“The Christmas Eve trade agreement between the United Kingdom (UK) and European Union (EU) is a promising development for the recovery process after months of very difficult and rancorous negotiations. Stimulus packages have clearly helped prevent deeper economic contractions and continue to lend crucial recovery support.
“The EU and US have now approved measures which, taken together, provide nearly $2trillion in additional support for those economies. It is worth noting that fiscal and monetary stimulus packages in the G20, including bank guarantees, have reached $25trillion, corresponding to more than 20 per cent of the global economy.”
Barkindo said, “Tomorrow, we begin a new chapter in the Declaration of Cooperation (DoC) with the start of monthly OPEC and non-OPEC Ministerial Meetings to evaluate the market. It was only one year ago that the DoC participating countries began to introduce adjustments of a then-astonishing 1.7million b/d, with additional voluntary contributions pushing that number to 2.1 million b/d.
“These adjustments, as agreed at the 7th OPEC and non-OPEC Ministerial Meeting in December 2019, were a pre-emptory response to support continued stability in 2020, actions that were welcomed widely as the market rang in a new and promising year. Looking back at the projections provided by the JTC, I don’t think anyone could have done a better job.
“In retrospect, those efforts taken at the end of 2019 pale in comparison to the scope and scale of the actions we have carried out since a series of ground-breaking Ministerial Meetings in April, June, and culminating in the visionary decisions taken at the last meeting one month ago today. The outcome of the December 3, Ministerial Meeting paved the way for a gradual return of 2million b/d to the market over the coming months, while the participating countries stand ready to adjust these levels depending on market conditions and developments.”
Barkindo said, “Collectively over the last nine months, we have delivered an unprecedented response to an unparalleled market shock and continue to lead the industry on the road to recovery. We are witnessing the very early stages of Covid-19 vaccinations and the progress so far has injected optimism into the economy. These promising developments, in parallel with the Declaration of Cooperation’s market leadership during the crisis, have contributed to a healthier oil market outlook for 2021.
“Following the last Ministerial Meetings, the price of Brent crude inched above $50 per barrel for the first time since early March, while Brent crude and US West Texas Intermediate experienced their longest stretch of advances since June. After the unprecedented shock experienced last year, the economic forecast calls for brighter days ahead.
“Our analysts expect the global economy to grow by 4.4 per cent in 2021 compared to a sharp contraction of around 4.2 per cent last year. The Covid-19 vaccinations provide upside potential for the economic outlook and may help usher in a strong rebound in the second half of 2021.
“Furthermore, we continue to see upward momentum in Asia, especially China, which remains on course for positive growth in 2020 – a singular achievement among the world’s biggest economies. China’s broad-based recovery forecast stands at about 6.9 per cent for 2021 and provides a beacon of hope for other economies, in the region and beyond. Our analysts in the Secretariat anticipate that crude oil demand will shift from reverse to forward gear and rise to 95.9million b/d this year, a gain of 5.9million b/d from 2020. The non-OECD will be in the driver’s seat with growth of around 3.3million b/d”, Barkindo added.

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MAN Tasks Rivers, Bayelsa On Blue Economy

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The 2025 annual general meeting (AGM) and conference of the Rivers/Bayelsa states chapter of the Manufacturers Association of Nigeria (MAN) has come to a close with a strong call for both states to drive the blue economy.

The communique just issued after the AGM pointed to what it called emerging prospects in fish processing, seaweed cultivation, ship repair, and marine technology.

The communique which also mentioned human capital gaps that must be filled through technical and vocational training that are aligned with modern industrial needs, said the blue economy represents a viable pathway for Nigeria’s industrialisation.

It said MAN and Arican Marine Environment Sustainability Initiative (AFMESI) have the capacity to unlock Nigeria’s blue economy sustainably and inclusively, but said the region required dedicated infrastructure upgrades, including roads, waterways, and power.

The communique was signed by Vincent Okuku (Chairman of Rivers/Bayelsa States Branch); Michael Nosa Agana (Branch Vice Chairman/Chairman AGM planning Committee); and Chibuzor Eze (Executive Secretary, Rivers/Bayelsa States Branch).

The resolutions said the future of the Niger Delta economy lies in diversification rather than dependence on extractive industries. “Technology and innovation, value addition and local processing, strategic infrastructure, and a skilled workforce are essential pillars for the future of manufacturing in the region.

“Governments in the region must intensify support for manufacturing activities. Various forms of collaboration across sectors should be actively encouraged.”

It specifically advised Bayelsa and Rivers States to fully develop and harness the blue economy as strategic gateways for sustainable growth; and called for cross-border partnerships with neighbouring states to enhance trade, security, and environmental management.”

The Rivers/Bayelsa States branch of MAN held its first (41st) AGM outside Port Harcourt for the first time, hosted by Bayelsa State Government at the Chief D.S.P. Alamieyeseigha Memorial Banquet Hall, with the theme: ‘Trade, Technology, and the Future of Manufacturing in the Niger Delta.’

In his welcome address, the chairman of the branch, Okuku, commended the Bayelsa State Government under the leadership of Gov Douye Diri for its efforts in industrial development, investment promotion, and strong partnership with the private sector.

He also acknowledged the Rivers State Government for its commitment to rehabilitating industrial clusters, improving access roads, and delivering key infrastructure.

He, however, expressed concern over persistent challenges such as high energy costs, unreliable electricity supply, weak transport systems, rising logistics expenses, multiple taxes and levies, inconsistent regulatory frameworks, and pressure from host communities, which continue to hinder manufacturing growth in both states.

The President of MAN, Francis Meshioye, noted that the Niger Delta, with its abundant resources and strategic location, holds vast potential for industrial expansion. He called for policy frameworks that promote local manufacturing, enhance trade, and attract investments to the region.

Goodwill messages were delivered by the Minister of the Federal Ministry of Regional Development, Abubakar Momoh, represented by Wasa Festus, Director of Community Development and Education. Another goodwill message was also presented by the Bayelsa State Commissioner for Trade, Industry and Investment, Ebieri Jones.

In his remarks, Gov Diri praised MAN for its contributions to Nigeria’s manufacturing sector, noting its resilience, innovation, and strategic role in national development. He stated that the conference theme aligns with his administration’s mantra of “Assured Prosperity.”

Gov Diri offered 24-hour service to manufacturers wishing to relocate to the state, and highlighted the State’s ongoing transformation through deliberate investment in infrastructure, security, and human capital aimed at positioning Bayelsa State as a hub for industrial growth, particularly in the blue economy, agriculture, and manufacturing.

He further noted that hosting the 41st AGM fulfilled a long-desired aspiration of the State following the successful 2024 MAN event in Port Harcourt, Rivers State. He officially declared the exhibition open.

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NELFUND Warns Students Against Fake Loan Portal

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The Nigerian Education Loan Fund has alerted the public to a fraudulent message circulating online, claiming that the NELFUND Student Loan Registration Portal is open.

The message directs applicants to a third-party link (http://gvly.xyz/Nelfund-Student-Loan, which NELFUND confirms is unauthorised and fraudulent.

In a post obtained from its X handle, yesterday, NELFUND urged students and the general public not to click on the link or provide any personal information, emphasising that the official loan registration portal is only accessible through the Fund’s verified channels.

The agency reminded applicants to exercise caution online and to report any suspicious links or communications claiming to be from NELFUND.

“Applicants are encouraged to always verify official announcements via NELFUND’s official website and social media channels,” NELFUND said.

This advisory comes as part of NELFUND’s ongoing efforts to safeguard students and ensure the integrity of the student loan application process.

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Eastern Port  Police Boss Promises On Crime-Free Operations 

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The new Commissioner of Police Eastern, Ports Command, Mr Tijani Fatai has promised to ensure a crime- free ports operations in the zone.
He said effective policing will be mounted across the ports in the zone in tackling the high rate of community unrest, activities of port rats  and other social vices.
Fatai while speaking to newsmen shortly after taking over as the 17th commissioner said he wants to be remembered as a peace maker during his tenure as Commissioner of Police in the Eastern Ports Command.
According to him,’’the community policing is the sure way of addressing most conflicts and other social vices bedeviling our society today and I will explore it to its fullest” .
The Commissioner also assured officers  of the rank and file of improved welfare whoch he described as a cardinal objective of the present efforts of the Inspector General of Police (IGP).
He said,” the Inspector General of Police has sent me to assure you all of welfare, promotions as and when due,no  officers particular rank and file will be left behind in the coming months.
Fatai before his recent posting was an operational officer,who spent most of his years with the Police Mobile Force (PMF) where he served as Unit Commander (UC) and Commander, PMF.
Before his redeployment as a Commissioner of Police,(CP), he was the Deputy Commissioner of Police, Operations, DCP, Operations, Lagos State Command.

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