No more loans for state governments, FG to banks

• The federal government has barred banks in the country from giving loans to state governments 

• The decision was taken in line with the Fiscal Sustainability Plan (FSP) 

• The federal government’s economic team and state governors agreed to this plan 

The federal government has barred banks in the country from giving loans to state governments. The move is to ensure effective and transparent management of sub-national resources.

President Buhari and his team are using every means
possible to ensure that the Nigerian economy does not collapse

Finance ministry sources said the federal government was disappointed at the manner some past and current governors took loans from banks and didn’t use it for the required purpose thereby plunging their states into perpetual indebtedness.

At the moment, some states are left with very little funds to meet their recurrent obligations, after deductions are made from their monthly federation account allocations. 

Nigerian past and present state governors have
been accused of squandering bank loans

As an alternative, the federal government asked the state government to source for funds from the capital market if they intend to carry out any major infrastructural project. 

According to the government’s directive, funds sourced through bonds must not only be on bankable, measurable projects but must also be released in tranches. 

Vanguard gathered that the release of the proceeds of bond issuing will now be on the basis of satisfactory utilization of earlier released proceeds sourced and used.

READ ALSO: FG vs Banks: 3 things the Nigerian labour law says about redundancy 

The FSP aims to improve accountability and transparency; increase public revenue; rationalise public expenditure; improve public financial management; and sustainable debt management. 

The reform process includes improvement in internally generated revenue, biometric capture of all civil servants; establishment of an efficiency unit in each state, implementation of continuous audit and measures to achieve sustainable debt management. 

Nigeria’s finance minister, Kemi Adeosun is presiding over
an ailing economy and doing all that it’s possible to revive it

States that meet these conditions can access a new N50 billion facility to be guaranteed by the federal government. 

Meanwhile, finance minister, Mrs Kemi Adeosun, yesterday, June 14 told finance commissioners all over the nation at a meeting that the current economic challenges facing the country is reminder to state governments to be prudent and transparent.

Her words: “Nigeria’s economy is a confederation of the economies of her 36 states and the FCT. Thus, we recognise the critical importance of developing a broad-based economy, with productive activities in every region and state. 

“At the federal level, to create headroom for the urgently needed investment in infrastructure, we are pursuing a very disciplined approach to managing public funds, ensuring the maximisation of revenues and the minimisation of the costs of governance. 

“The fiscal sustainability plan replicates this far-reaching public financial management reform programme across all tiers of government and marks a turning point in the management of state finances.” 

READ ALSO: Massive inflation to hit prices of goods in Nigeria, this is why! 

Adeosun charged the commissioners to raise their states’ standard for public financial management in the areas of transparency, accountability and efficiency, which she opined will reposition the states to embark on a path towards fiscal independence. 

“On the cost side, the pressure is to cut costs, starting with the commitment to eliminate, once and for all, the menace of ghost workers by BVN checking of payroll and the requirement that all salary payments are made directly to individual accounts. 

“This will enable states control the size of their wage bill and ensure that it is affordable. The formal commitments being made to improve expense management, greater efficiency in recurrent spending and prudent debt management will combine to ensure that states can move towards improved long term financial health. 

“In the area of revenue, the FSP is based on the fundamental principle that each and every state in Nigeria must be economically viable. 

“Accordingly, it recognises the fact that Internally Generated Revenue, IGR, must be maximised and we have extended the definition of revenue beyond the traditional confines of taxes, licences and fees,” She concluded. 

READ ALSO: Unlocking retail potentials for survival, growth & sustainability of Nigeria’s economy 

In a related development, Nigeria’s inflation rate has hit an 80-month high of 15.6%. 

The last time Nigeria recorded an inflation rate as high as 15.6% was in September 2009 when the rate of inflation was put at 15.86 %.

READ MORE:

BUSINESS AND ECONOMY|TROUBLE! Nigeria's inflation rate hits 15.6%

• Nigeria’s inflation rate has hit an 80-month high of 15.6% 

• The last time Nigeria recorded an inflation rate as high as 15.6% was in September 2009 when the rate of inflation was put at 15.86 %

Yemi Kale, Statistician general of the federation

According to a report released by the National Bureau of Statistics, inflation rose in the country due to the deregulation of the downstream sector of the oil industry which saw an increase in the price of Premium Motor Spirit from N87 to N145 per litre.

The NBS said the increase in inflation rate in May when compared to what was recorded in April is an indication of an overall rise in general price level across the economy as all divisions which contributed to the Headline index growing at a faster pace.

READ ALSO: SHOCKER! See how much EFCC froze from 120 bank accounts 

The report reads in part. “In May, the Consumer Price Index which measures inflation recorded a relatively strong increase for the fourth consecutive month.

“The Headline index increased by 15.6 per cent year-on-year, 1.9 per cent points higher from rates recorded in April 13.7 per cent.

“Year on year, electricity  rates as well as other energy prices continue to manifest as key drivers of the core component of the CPI.

“During the month, the highest increases were seen in the passenger transport by road, liquid fuel (Kerosene), fuel and lubricants for personal transport equipment (premium motor spirit) and vehicle spare parts groups.

“Imported inflation rose by 18.6% in May 2016 from 16.3% in April 2016

READ ALSO: Fuel scarcity hits Nigeria again 

“Core Inflation year on year rose by 15.1% in May 2016 from 13.4% in April 2016 and month on month by 2.7% in May from 1.7% in April

“Food inflation, year on year, rose by 14.9% in May from 13.2% in April and month on month by 2.6% in May from 1.3% in April.”

The last time Nigeria recorded an inflation rate as high as the 15.6 per cent recorded in May this year was in September 2009 when the rate of inflation was put at 15.86 per cent by the NBS.

Meanwhile, Nigerians are in for hard time as the country’s apex bank, Central Bank of Nigeria (CBN) has been told to limit across-the-counter withdrawals to N10,000, following a major drop in customers’ deposit.

The call, made by Bankers Committee was due to with the industry recording a decline of about N1.03tn in total deposit.


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Chinese spy ship shadows U.S., Japanese, Indian naval drill in the Western Pacific

A Chinese observation ship shadowed the powerful U.S. aircraft carrier, John C. Stennis, in the Western Pacific on Wednesday, a Japanese official said, joining warships from Japan and India in drills close to waters Beijing considers its backyard.

The Nimitz-class aircraft carrier USS John C. Stennis 

The show of American naval power comes as Japan and the United States worry Beijing will look to extend its influence into the Western Pacific with submarines and surface vessels as it pushes its territorial claims in the neighbouring South China Sea.

Beijing views access to the Pacific as vital both as a supply line to the rest of the world's oceans and for the projection of its naval power.

The 100,000 ton Stennis, which carries F-18 fighter jets, joined nine other naval ships including a Japanese helicopter carrier and Indian frigates in seas off the Japanese Okinawan island chain. Sub-hunting patrol planes launched from bases in Japan are also participating in the joint annual exercise dubbed Malabar.

The Stennis, which has been followed by the Chinese ship since patrolling in the South China Sea, will sail apart from the other ships, acting as a "decoy" to draw it away from the eight-day naval exercise, a Japanese Maritime Self Defense Force officer said, declining to be identified because he was not authorized to talk to the media.

Blocking China's unfettered access to the Western Pacific are the 200 islands stretching from Japan's main islands through the East China Sea to within 100 kilometres of Taiwan. Japan is fortifying those islands with radar stations and anti-ship missile batteries.

By joining the drill Japan is deepening alliances it hopes will help counter growing Chinese power. Tensions between Beijing and Tokyo recently jumped after a Chinese warship for the first time sailed within 24 miles (38 km) of contested islands in the East China Sea.

The outcrops known as the Senkaku in Japan and the Diaoyu in China lie 220 km (137 miles) northeast of Taiwan.

Wary of China's more assertive maritime role in the region, the U.S. Navy's Third Fleet plans to send more ships to East Asia to work alongside the Japan-based Seventh Fleet, a U.S. official said on Tuesday.

For India, the gathering is an chance to put on a show of force close to China's eastern seaboard and signal its displeasure at increased Chinese naval activity in the Indian Ocean. India sent its naval contingent of four ships on a tour through the South China Sea with stops in the Philippines and Vietnam on their way to the exercise. (Reporting by Nobuhiro Kubo.; Writing by Tim Kelly in TOKYO.; Editing by Lincoln Feast)

READ FULL STORY: Chinese spy ship shadows U.S., Japanese, Indian naval drill in the Western Pacific

• EFCC is set to arraign Waripamowei Dudafa, a former senior special assistant on domestic affairs to ex-President Goodluck Jonathan, for an alleged N1.6bn fraud 

• Dudafa was arrested for his alleged role in the sharing of about N10bn to delegates at the PDP presidential primary in 2014 

• He would be charged alongside one Iwejuo Nna, who is also known at various times as Taiwo Ebenezer and Olugbenga Isaiah

Waripamowei Dudafa, former senior special assistant on
domestic affairs to Ex-President Goodluck Jonathan

Hard fighting antigraft agency, Economic and Financial Crimes Commission (EFCC) is set to arraign Waripamowei Dudafa, a former senior special assistant on domestic affairs to ex-President Goodluck Jonathan, for an alleged N1.6bn fraud. 

Dudafa was arrested by the EFCC at the Lagos airport in April for his alleged role in the sharing of about N10bn to delegates at the PDP presidential primary in 2014, where Jonathan was the sole candidate.

READ ALSO: Exposed: EFCC is the reason why Buhari’s ministers are not telling him the truth 
According to a report by Punch, Dudafa would be charged alongside one Iwejuo Nna, who is also known at various times as Taiwo Ebenezer and Olugbenga Isaiah.

They will be charged before Justice Mohammed Idris at a Federal High Court in Lagos. The first count states that the accused persons on or about June 11, 2013, in Lagos, “allegedly conspired amongst themselves to conceal the sum of N1.667bn said to be the proceeds of crime.”

The offence is said to be contrary to Section 18(a) of the Money Laundering (Prohibition) (Amendment) Act, 2012 and punishable under Section 17(a) of the same Act.

READ ALSO: Is it a crime to own property? Diezani fumes over seized $18m mansion by EFCC

In the other charges, Dudafa also allegedly used six companies – Seagate Property Development and Investment Limited, Avalon Global Property Development Company Limited, Ebiwise Resources, Pluto Property and Investment Company, Rotato Interlink Services and De Jakes Fast Food and Restaurant Nigeria Limited – to conceal varying sums of money between June, 2013, and April, 2016.

EFCC says it has lined up 21 witnesses including representatives of some banks to testify against the defendants.

Meanwhile, after over a month in the detention of Economic and Financial Crimes Commission (EFCC), the commission is set to former Minister of Aviation, Chief Femi Fani-Kayode for an alleged N1.5bn fraud.

To be charged alongside Fani-Kayode is a former Minister of Finance, Senator Nenadi Usman; a firm, Joint Trust Dimensions Limited; and one Jimoh Yusuf.

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Niger Delta Avengers list conditions for peace talk

• Militant group reveals reasons for seeking dialogue with the federal government 

• Informs President Buhari on what will happen if the proposed dialogue is made political 

• Warns that pipeline bombings may not easily cease if there is no change in the forms of negotiation 

Niger Delta Avengers ready for dialogue with the Nigerian government.

The Niger Delta Avengers (NDA) has revealed that it is ready for a dialogue with the federal government in order to stop its pipeline vandalism.
The group which has been bombing pipelines of major oil companies in the Niger Delta region for some months, stated via a press statement made available on their website, informed that all they want is peace with honour and not a peace of “our time”.

The statement signed by Brigadier Gen Mudoch Agbinibo, the group’s spokesperson, reads in part: “The high command of the Niger Delta Avengers (NDA) is using this medium to restate that there are no new items to put on the table for dialogue, we only want a genuine attitude and conducive atmosphere that will make us commit to any proposed dialogue and last peace talk.


“We want the federal government to commit members states of the multi national Oil Corporations to commit independent mediators to this proposed dialogue; we believed that it is only such environment that will engender genuine dialogue that will be aimed at setting up a framework for achieving the short, medium and long term demands of the Niger delta to de-escalating this conflict and bring about a lasting peace.

READ ALSO: MEND forms a team to hold talks with government

“The NDA high command is restating our commitment to attack the interest of oil corporation and international refineries operators that bring in vessels to the Niger delta territory to buy our oil that every successive government have refused to used and reapply the proceeds towards any development in the region since 1958.

“If they refuse be heed to our advice will result to sinking of two their mother vessel as an examples to others They should not undertake any repair of pipeline, oil and gas facilities that is damaged or attacked by our forces during this period of “Operation Red Economy” until and/or after the dialogue.” 

The group also issued warnings to social media agitators who have been used by politicians as a way of promoting the government officials’ criminal ways in the affairs of their region.

“We are using medium to warn and condemn the activities of all brands of social media agitators being peddled around by some politicians to promote their criminal ways in affairs of the Niger Delta.

“This genuine spirit behind our struggle for the Niger Delta cannot be derailed on the basis of connivance by politician, traditional rulers, settled ex- agitators and criminals moving around to fill their pockets.

READ ALSO: Money used to explore oil came from north – Senator Adamu 

“The issues of the Niger delta are as old and as new as the days of Pa. Dappa Biriye, Major Jasper Isaac Adaka Boro, to Ken Saro Wiwa and the government of President Musa Yar’ Adua.

“We are warning this government of President Muhammadu Buhari, not to turn the essence of genuine peace talk and dialogue to political jamboree that is prevailing now where all manner of social media agitators and criminals have being sponsored by the job seeking corrupt political class to safe faces before the government of the day.

“Finally, if need be we may review our earlier stance of not taking lives. We are going to redirect and reactivate all our activities if the government, oil companies and their services firms don’t heed to these modest warnings of not carrying out any repairs works and suspend the buying of crude oil from our region as we await the right atmosphere that will engender genuine dialogue,” the statement read, with the group adding: “We Want a peace with Honour not a Peace of our time.”

 Earlier today, it was reported that the militant group issued warnings to seven governors to release pro-Biafra protesters being held in police and military custodies in their states or face their full wrath.

In a statement signed by Agbinibo the militants gave a 72-hour ultimatum to the governors to release the pro-Biafra supporters under arrest in their states.
The governors threatened include: Okezie Ikpeazu of Abia, Willie Obiano of Anambra, Seriake Dickson of Bayelsa, Ifeanyi Okowa of Delta, Dave Umahi of Ebonyi, Ifeanyi Ugwuanyi of Enugu, and Rochas Okorocha of Imo states.

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Buhari lacks understanding of Nigeria - Akintola

• Chief Adeniyi Akintola (SAN) has said that President Muhammadu Buhari does not understand Nigeria 

• He says that Buhari will not implement the recommendations of the  2014 National Conference 

• Akintola says that there is great need for Nigeria to operate a federal system 

• He said Jonathan was not sincere enough to make some implementation of the confab report 

Chief Akintola says Buhari lacks
 the true understanding of Nigeria.

The senior advocate said he doesn’t see Buhari implementing the 2014 conference report because Buhari “isn’t a politician and he doesn’t understand the political arithmetic of Nigeria and he doesn’t understand the political geography.

Of course, he has been Head of State before, he has been governor, he has been a minister but he still doesn’t understand the complexity of the structure.

He isn’t in the mould of an Obasanjo or a Babangida. Even when you look at his exposure and administrative style, it is a style that is patterned after his military background.

Everything he does, even in speech presentation, even in body language. So, he isn’t a politician in the mould of Obasanjo and Babangida who are military-politicians.

For instance, IBB knows everybody that is somebody in this country; he will address them by their first name; Obasanjo knows everybody that is somebody in every nook and cranny of the country. These are people who understand Nigeria and they know it in and out.”

READ ALSO: Exposed: PDP reveals Sheriff’s ties with Buhari, APC 

Akintola further opined that “Buhari belongs to that old, conservative school; so you cannot cast him in the same mould with Atiku. Atiku is a seasoned politician and he has interacted and he is still interacting with people across the length and breadth of the country and he knows the danger that is ahead of us as a nation; he knows that we are yet to build a nation, that we are still a country of many nationalities and  there is need for us to operate a genuine federal system of government.

There is no different federal system of government; you are either practising it or you aren’t and one of the cardinal principles of federalism is that every component part should be allowed to develop at its own pace. But see what we are having today.

Why are many states having problem? Why should states, like Gombe, Ekiti, Ebonyi, be comparing themselves with Lagos, Akwa-Ibom and Rivers? It is only mad people that will be doing the same thing, using the same method and be expecting different result. What we are practising cannot help this country and it is high time we appreciate that.

For instance, I am from Oyo State; my state doesn’t have crude oil and its likelihood of it having it is remote, but we have the population, which is an asset and we have the capital base. If you practise true federalism, my state will be richer than Bayelsa and Rivers put together.

The state of California doesn’t have crude oil but it is richer than Texas. If you pass your pipeline through my line, you pay for every inch it occupies! We brought that to the fore at the confab that there is no need for any state to be afraid. It is ignorance of the principle of federalism, of the law, of the political arithmetic of the country that is causing the problem.

If people truly appreciate what federalism entails, how it is practiced in civilized world, they will know that a state like Kano should be the first to embrace it because of its huge population,” Akintola stressed.

Drawing an analogy, Akintola said: “Why do you think the South African president rushed to Nigeria because of MTN?  It is because of our population; they have the technological know how in Africa, they own Shoprite, they own MTN but they don’t have the market base.

So, when Nigeria sneezes, South Africa will catch cold.  States like Sokoto, Oyo, Kano, have no reason to fear the oil producing states because they have what it takes to even be richer than them. Bayelsa will not drink its oil, neither will  Lagos drink its oil. They need the market, but people don’t appreciate this.

So, Alhaji Atiku Abubakar was talking sense and it is gratifying that it is coming from him now that we are approaching another election. Before 2019, this country should be restructured, along true federal system of government, so that all of us will not be caught napping.

At the rate at which we are going, we are sitting on a keg of gunpowder. Like I did say, may God pacify our brothers in the Niger- Delta, pacify our brothers of the South Eastern Nigeria and ensure that no group of young men will start similar thing from the South West. But the day it comes, simultaneously, forget it!  If the South West joins the fray, then we should forget about the federation called Nigeria.”

READ ALSO: Unbelievable! Read why seven Buhari’s ministers may leave his cabinet 

Further enunciating his point regarding the resurgence in the agitation for the restructuring of the country with regards to the call from former Vice-President and chieftain of the ruling APC, Akintola told Daily Sun that the call is not unexpected.

He said: “I refuse to buy that argument that the call is from an unexpected quarter.  You see, Alhaji Atiku Abubakar is a Nigerian, well informed, highly exposed and highly cerebral. The mere fact that he isn’t a flippant person, he doesn’t talk much,  mean that you cannot  take away those qualities away from him.

“He understands the political arithmetic and political geography of Nigeria and he knows that the present structure cannot last us for another 25 years, to put it in a generous way. You cannot sustain this structure like this and expect it to stand.

“As a matter of fact, the structure has been standing as it is because there has been no possible unity of purpose among the Southerners. The day they come together, that will be the end of the federation as it is today. As a matter of fact, Jonathan tried to bring the Southern states together under one umbrella and the Yoruba said no, because of the marginalisation of the Yoruba by Jonathan.

“In fact, those of us from Oyo state, we boycotted it at the confab. We felt that there was no reason for any unity between the South East and South West, because they spearheaded the marginalisation of Yoruba under Jonathan. So, we regard those who were attending the meeting then as traitors. Throughout my stay at the confab, nobody from Oyo and Osun states attended Southern solidarity meeting. Those who attended were either PDP members or those who had sympathy for Jonathan. It was that bad.

“So, there has been no basis for that unity and that has been keeping the federation going; now that there is agitation in the Niger Delta region, and there is clamour for Biafra in the South East, imagine if the Yoruba now come out.

“Now, back to Atiku being a seasoned politician, who appreciates the political arithmetic of Nigeria as it is today, he knows that it is better to have small of nothing than to lose everything. He appreciates that much; he is a seasoned politician and don’t forget that even before he came out to speak about restructuring and devolution of powers, Ibrahim Babangida too said that last year.

READ FULL STORY: Buhari lacks understanding of Nigeria - Akintola

Fundamental: adverse to our Nigerians leaders.

 The major issues we have has a nation, which we are having right at hand are resulting from our injustices in the nation. How would one part of the nation is cheating other parts of that the same nations and “the problem has been for decease and Nigerians refused to learn from those mistakes and now it daggering us to the ends of Nigerians unity. And if anything that will make Nigeria stand and united has a nation is fair justices of resources which belonging to the right region of the country.”

Niger Delta Currency 

just think if is the northern that has oil as the Niger Delta do and the Niger Deltans don’t have any oil resources and almost all the oil blocks from the North are owned by Niger Deltans. 

what would be their reaction towards that?  

Imaging; what would have happened?

Even now because of political differences making Northern to do anything to hold down the power which there wants always by the north to rule. And the common Nigerian believes that the power belongs to all regions of the country as well as the north, east, west and south. Yes of course the power is for all Nigerians to rule the nation.

While thinking about the country it was, and now it is. We have no future generation in unity because there are no fair justices when it comes to resources control. This has been a problem since 1914 amalgamation. I don’t want go far but all we need has a nation to be in unity, is that we must be very sincere and say no to unfair injustices and give what belong to who owned it.

Let's be specific;

Niger Delta has all the Natural resource such has fish, Oil $ Gas.etc. And the most valued resource is the OIL and GAS which has been the national resources for Nigeria as a whole. And it happed that this region which has everything do not benefit from what there have.

 “Why the North’s are afraid of Restructuring Nigeria, and they can behead to keep the status Quo.”     

          This is the mean problem of Nigeria and Niger Deltans.

1. 1.      The Amanyanabo of Okrika kingdom has a lot of wells situated in his kingdom. He has no oil well. But the sultan of Sokoto has over 10 oil wells in Niger Delta.

1. 2.      The Amanyanabo of Bonny in Niger Delta has oil wells in his kingdom, but has no oil well in to his name but the Emir of Kano has over 5 oil wells in Niger Delta territories.
2. 
   
3. 3.      The Amanayanabo of kalabari has so many oil wells in his kindom but he has no oil well to his name in his kingdom but the Emir of Gwazo has over 5 oil wells in Niger Delta territories.

1. 4.      In Ogon land there are so many oil wells but none of the kings in ogonlands have any oil wells but General danjuma has over 10 oil wells in ogonlands in Niger delta.

The list can go on but Niger Delta people and their kings don’t have oil wells. In such a situation, will you say it is fair to the Niger Delta people in Nigeria? Let’s restructure and live in Unity. The cheating is very bad and not fair. This is the bane of the corruption in Nigeria.

“If Mr. President Want to fight corruption let him start from his house hole first before going to others. Because his people are the cause of all the problem of Nigeria because of their greediness and he know and now trying to turn it down on Niger Deltans.” If truly he wants to do the right thing that is the right thing.

This will bring Nigeria to unity again if not sorry, Nigeria has No Future Generation Unity, enhance we Divide and live in peace and enjoy our resources.

Has a Niger Deltan I have to say it again and again that we need resources control in our region. So we can develop our oil cities like the developed nations, such as Dubai. Etc. We need our resources control. If not we go our own way. Of cause our republic.

thismostreachAsoRock.

TKP.