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N77trn Debt: IMF warns Nigeria against more foreign loans



N77trn Debt: IMF warns Nigeria against more foreign loans



NaijaNews reports that with rates rising globally and investors moving funds out of emerging economies, Nigeria, which plans to fund a large part of its 2023 budget through borrowings, may find it hard to get foreign loans.



This was stated by the deputy divisional chief of the International Monetary Fund (IMF), Wenjie Chen, during a keynote presentation at the IMF Regional Economic Outlook in Lagos.



Nigeria is currently grappling with a huge debt overhang of over N77 trillion and the need to increase revenue generation to meet expenditure requirements.



Nigeria’s total public debt stock hit N46.25 trillion at the end of December 2022, data by the Debt Management Office (DMO) indicates.


With N23.77 trillion in ways and means and other planned borrowings to fund the 2023 budget, the debt overhang continues to rise.



This is even as the governor of the Central Bank of Nigeria (CBN), Godwin Emefiele, affirmed that emerging markets are finding it difficult to access foreign loans.



Chen had noted that borrowing costs, high interest rates, and the increasing value of the dollar have continued to put a strain on Nigeria’s economy and that of its sub-Saharan African counterparts, adding that, due to the uncertainties surrounding the global economic environment, loans from China as well as other advanced economies to Africa have been on the decline.



The IMF deputy divisional chief stated that, “in terms of the funding squeeze, the three main manifestations that many countries are facing are: the rise in borrowing costs. You can see that virtually all the frontier markets have been shut out of the Eurobond markets since the spring of 2022. What that means is that they cannot raise financing on these international markets.



“The eurobond market has been a large component of financing for these countries. What this has meant in terms of the global economy’s reaction to the Russia-Ukraine war in terms of rises in price and the cost-of-living crisis has placed very high interest rates.



“Not only were interest rates rising, but the value of the dollar rose to a 20-year high last year. For many African countries, the cost of servicing these debts has also gone up. Inflation is still a major concern for many African economies. Many countries are still going through recovery after the pandemic.”



To address the many issues confronting the Nigerian economy, Chen said the IMF’s policy advice to Nigeria is based on four key policy priorities: fiscal policy, monetary policy, exchange rate policy, and structural reforms.



She said the new emphasis on addressing the current liquidity squeeze should focus on reducing off-budget commitments (extra-budgetary spending, arrears, guarantees, etc.), enhancing debt management, and mobilizing domestic revenue.



On forex-related challenges, Chen said significant exchange rate pressures in the past year largely reflect global factors such as terms of trade changes and monetary policy normalization. Noting that the scope of forex interventions is limited in many cases by low foreign reserves, she said Nigeria and its counterparts would have to adjust to new fundamentals.



Also, IMF representative for Nigeria, Ari Aisen, said with the funding squeeze, it would be critical for Nigeria to rely on internally-generated funds, adding that for Nigeria’s economy to react positively to this funding squeeze, the private sector needs good macroeconomic policies to thrive.



The IMF, he said, remains confident in its earlier projection that Nigeria’s economy will grow by 3.2 percent this year. “In Nigeria, we always believe that growth has the potential to be much higher, but because of the shocks since the pandemic and the food price shock because of the Russia-Ukraine war, the economy managed to grow by three per cent. We are forecasting 3.2 this year.



“It could be higher. It’s helped by services, which are the main driver of growth on the supply side of the economy. The oil sector has not also contributed as much as it should have, partly because of investments in the sector and partly because of leakages, particularly oil theft. These issues are gradually being addressed, and we are hopeful that it will continue, so we are now projecting 3.2 percent growth,” he said.



Economic analyst Stephen Kanabe said the warning from the IMF is a cautionary call on the federal government to adjust to a shrinking global economy.



Kanabe said at a time of such economic meltdown as is currently being experienced, Nigeria needs to look inward, get more innovative, and expand revenue generation sources to brace for the shortfalls.



“Nigeria has borrowed enough from local and foreign markets. The IMF warning should come to us as a call to look inward and find a way around revenue generation without necessarily causing much stress on Nigerians. We are already overstretched.



“The government can take the issue of expansion of the tax net seriously, deal with the issue of oil theft, and even sell some of the properties that were forfeited to the Economic and Financial Crimes Commission (EFCC),” Kanabe said.



Earlier at the third edition of the RT200 Export Summit on Tuesday, CBN governor Godwin Emefiele said there had not been any significantly successful eurobonds in the past year as investors pulled out over $100 billion from emerging markets.



“Due to the global financial conditions in which we find ourselves today, where rates at the global market rose, we saw almost about $100 billion move from emerging markets back to the United States (US). Rates had gone high, and there had been tremendous difficulty for emerging markets in their ability to source foreign exchange.



“I am not sure that in the whole of 2022 we saw any significantly successful Eurobonds because of the tight financial market, and that is the reason we continue to appeal that a lot of work still needs to be done here in Nigeria,” Emefiele said.



Looking at the implications of accumulating foreign loans, the director of the Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, stated that the implication of Nigeria’s debt profile is the burden of servicing the debt, which has been on the rise, adding that “this means that less resource is available for the development of the economy, investment in infrastructure, and investment in social services.”



He also said it had a crowding out effect in the financial market for the private sector, saying, “The implication of high debt service is that the level of borrowing will be increasing, and most of the borrowing is done domestically.



“Also, it creates a visual circle of indebtedness or a debt trap because, as the debt profile is increasing, the burden of debt service is also increasing also. Already, close to 80 percent of our revenue is used to service debt. If the debt continues to increase, that means more of our resources will be used to service debt.”



According to Yusuf, “this is a challenging situation, and the way out of this is for us to see how we can pursue more rigorous fiscal consolidation. Looking at how we can boost our revenue, the level of revenue coming to the government is extremely low for the size of our economy.



“We need to do a lot more, and one of the things we can do is unlock more revenue by addressing the issue of subsidy. With this, we should be able to unlock about $7 trillion or more.



“Also, by putting an end to foreign exchange subsidies, we should be able to unlock some revenue of about N4 trillion, increase oil output, and address the issue of corruption.”



He explained that “this will enable us to use our money in a transparent and productive manner. We need to check the quality of our spending. This is not only a revenue issue but also an expenditure issue. We need to cut down on the cost of governance.”



Similarly, the national president and chairman of the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA), Ide Udeagbala, said, “It is now obvious that the current levels of debt servicing payments are considerably too high and unsustainable given the dwindling government revenues. We call for urgent structural reforms of our economy towards a transformational production economy and effective and efficient management of our debt profile to enhance the productivity level of the country.”



Udeagbala added that “as the leading member of the organized private sector, NACCIMA strongly advocates once again for less dependence on debt financing and ensures effective implementation of the budget to address the productivity challenges of the economy.”



He stressed the need for fiscal policies and public expenditure controls at various government levels to keep the nation’s debt profile in check and make available resources to fund other government priority projects.


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Full List Of Private Universities In Nigeria Approved By NUC




Full List Of Private Universities In Nigeria Approved By NUC


Naijanewsngr brings you an exclusive report on the latest findings from the National Universities Commission (NUC), the esteemed regulatory authority overseeing universities in Nigeria.


According to the data extracted from the NUC’s website, the nation currently boasts a total of 147 private universities strategically distributed across the 36 states and the Federal Capital Territory.


The surge in the quest for high-quality university education appears to be a direct response to the challenges posed by industrial crises and the persistent issues of inadequate funding within the public tertiary education sector.


This growing demand has paved the way for a notable increase in the establishment of private universities in the country.


In a noteworthy development, spanning from January 1, 2023, to June 27, 2023, the NUC has granted provisional licenses to an impressive count of 37 new private universities.


This trend reflects a dynamic landscape in the Nigerian higher education sector, signaling a shift towards private institutions as key players in meeting the escalating demand for superior educational opportunities.


Highlighted below are the 147 private universities in Nigeria as approved by the NUC.

1. Babcock University, Ogun State

2. Madonna University, Anambra State

3. Igbinedion University, Edo State

4. Bowen University, Osun State

5. Benson Idahosa University, Edo state

6. Covenant University, Ogun state

7. Pan-Atlantic University, Lagos State

8. American University of Nigeria, Adamawa State

9. Ajayi Crowther University, Oyo State

10. Al-Hikmah University, Ilorin, Kwara State

11. AI-Qalam University, Katsina, Katsina State
12. Bells University of Technology, Otta, Ogun State

13. Bingham University, New-Karu, Nasarawa State

14. Caritas University, Enugu, Enugu State

15. Crawford University, Igbesa, Ogun State

16. Crescent University, Abeokuta, Ogun State

17. Lead City University, Ibadan, Oyo State

18. Kwararafa University, Wukari, Taraba State

19. Redeemer’s University, Mowe, Ogun State

20. Renaissance University, Enugu, Enugu State

21. University of Mkar, Mkar, Benue State

22. Novena University, Ogume, Delta State

23. Joseph Ayo Babalola University, Ikeji-Arakeji, Osun State

24. Veritas University, Abuja, FCT

25. Achievers University, Owo, Ondo State

26. African University of Science & Technology, Abuja

27. Caleb University, Imota, Lagos State

28. Fountain University, Oshogbo, Osun State

29. Obong University, Obong Ntak, Akwa Ibom State

30. Tansian University, Umunya, Anambra State

31. Wesley University of Science & Technology, Ondo State

32. Western Delta University, Oghara, Delta State

33. Salem University, Lokoja, Kogi State

34. Afe Babalola University, Ado-Ekiti – Ekiti State

35. Godfrey Okoye University, Ugwuomu-Nike, Enugu State

36. Nigerian-Turkish Nile University, FCT Abuja

37. Oduduwa University, Ipetumodu, Osun State

38. Paul University, Awka, Anambra State

39. Rhema University, Obama-Asa, Rivers State

40 Wellspring University, Evbuobanosa, Edo State

41. Adeleke University, Ede, Osun State

42. Baze University, FCT Abuja

43. Landmark University, Omu-Aran, Kwara State

44. Glorious Vision University (formerly Samuel Adegboyega University), Ogwa, Edo State

45. McPherson University, Seriki Sotayo, Ajebo, Ogun State

46. Elizade University, Ilara-Mokin, Ondo State

47. Southwestern University, Oku Owa, Ogun State

48. Evangel University, Ebonyi State

49. Gregory University, Uturu, Abia State

50. Augustine University, Ilara, Lagos State

51. Chrisland University, Owode, Ogun State

52. Christopher University, Mowe, Ogun State

53. Hallmark University, Ijebu-Itele, Ogun State

54. Kings University Ode-Omu, Osun State

55. Michael & Cecilia Ibru University, Owhode, Delta State

56. Mountain Top University, Makogi/Oba, Ogun State

57. Ritman University, Ikot Ekpene, Akwalbom State

58. Summit University, Offa, Kwara State

59. Edwin Clark University, Kiagbodo, Delta State

60. Hezekiah University, Umudi, Imo State

61. Anchor University, Ayobo, Lagos State

62. Arthur Jarvis University, Akpabuyo, Cross River State

63. Clifford University, Abia State

64. Coal City University, Enugu state

65. Ojaja University, Ilorin, Kwara state

66. Dominican University, Ibadan, Oyo State

67. Kola Daisi University., Ibadan, Oyo State

68. Legacy University, Okija, Anambra State

69. Spiritan University, Neochi, Abia State

70. Precious Cornerstone, Ibadan, Oyo State

71. PAMO University of Medical Sciences, Port-Harcourt, Rivers State

72. Atiba University, Oyo, Oyo State

73. Eko University of Medical Sciences, Ijanikin, Lagos

74. Skyline University, Nigeria, Kano, Kano State

75. Greenfield University, Kasarami-Kaduna, Kaduna State

76. Dominion University, Ibadan, Oyo State

77. Trinity University, Laloko, Ogun State

78. Westland University, Iwo, Osun State

79. Topfaith University, Mkpatak, Akwa-Ibom State

80. Thomas Adewumi University, Oko-Irese, Kwara State

81. Maranatha University, Lekki, Lagos State

82. Ave-Maria University, Piyanko, Nasarawa State

83. AL-Istigama University, Sumaila, Kano State

84. Mudiame University, Irrua, Edo State

85. Havilla University, Nde-Ikom, Cross River State

86. Claretian University of Nigeria, Nekede, Imo State

87. Karl-Kumm University, Vom, Plateau State

88. Nok University, Kachia, Kaduna State

89. James Hope University, Lekki, Lagos state

90. Maryam Abacha American University of Nigeria, Kano, Kano State

91. Capital City University, Kano, Kano State

92. Ahman Pategi University, Patigi, Kwara State

93. University of Offa, Offa, Kwara State

94. Mewar University, Masaka, Nasarawa State

95. Edusoko University, Bida, Niger State

96. Philomath University, Kuje, Abuja

97. Khadija University, Majia, Jigawa State

98. ANAN University, Kwall, Plateau State

99. Pen Resource University, Gombe, Gombe State

100. Al-Ansar University, Maiduguri, Borno

101. Margaret Lawrence University, Galilee, Delta State

102. Khalifa Isiyaku Rabiu University, Kano, Kano State

103. Sports University, Idumuje, Ugboko, Delta State

104. Baba-Ahmed University, Kano, Kano State

105. Saisa University Of Medical Sciences and Technology, Sokoto, Sokoto State

106. Nigerian British University, Asa, Abia State

107. Peter University, Achina-Onneh, Anambra State

108. Newgate University, Minna, Niger State

109. European University of Nigeria, Abuja, FCT

110. Northwest University, Sokoto, Sokoto State

111. Rayhaan University, Kebbi State

112. Muhammad Kamalud-Deen University, Ilorin, Kwara State

113. Sam Maris University, Supare, Ondo State

114. Aletheia University, Ago-Iwoye, Ogun State

115. Lux Mundi University, Umuahia, Abia State

116. Maduka University, Ekwegbe, Enugu State

117. Peaceland University, Enugu, Enugu State

118. Amadeus University, Amizi, Abia State

119. Vision University, Ikogbo, Ogun State

120. Azman University, Kano, Kano State

121. Huda University, Gusau, Zamfara State

122. Franco British International University, Kaduna, Kaduna State

123. Canadian University of Nigeria, Abuja, FCT

124. Miva Open University, Abuja, FCT

125. Gerar University of Medical Sciences, Imope-ljebu, Ogun State

126. British Canadian University, Obudu, Cross River State

127. Hensard University, Toru-Orua, Bayelsa State

128. Phoenix University, Agwada, Nasarawa State

129. Wigwe University, Isiokpo, Rivers State

130. Hillside University of Science and Technology, Okemesi Ekiti, Ekiti State

131. University on the Niger, Umunya, Anambra State

132. Elrazi University of Medical Sciences, Kano Kano State

133. Venite University, Iloro-Ekiti, Ekiti State

134. Shanahan University, Onitsha, Anambra State

135. The Duke Medical University, Calabar, Cross River State

136. Mercy Medical University, Iwara, Iwo, Osun State

137. Cosmopolitan University, Abuja, FCT

138. Iconic Open University, Sokoto, Sokoto State

139. West Midland Open University, Ibadan, Oyo State

140. Amaj University, Abuja, FCT

141. Prime University, Abuja, FCT

142. El-Amin University, Niger State

143. College of Petroleum and Energy Studies, Kaduna, Kaduna State

144. Jewel University, Gombe, Gombe State
145. Nigerian University of Technology and Management, Apapa, Lagos State

146. Al-Muhibbah Open University, Abuja, FCT

147. Al-Bayan University, Kogi state


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Governor Alex Otti Appoints Mayors to 17 LGAs in Abia




Governor Alex Otti Appoints Mayors to 17 LGAs in Abia

Naijanews – Abia state Governor, Dr. Alex Otti, has appointed mayors for the 17 council areas.

Commissioner for Local Government and Chieftaincy Affairs, Prince Uzo Nwachukwu, disclosed that the list of the nominees has been sent to the House of Assembly for screening and confirmation as required by law.

The nominees include;

Isiala Ngwa South LGA

Chairman- Dr. Elelenta Nwabuisi Elele;

Deputy- Mr. Eberechukwu Ahuruonye ;

Ukwa West LGA:

Chairman- Mr. Newman Azu ,

Deputy- Mr. Anele Michael

Arochukwu LGA:

Chairman- Chief Joe Ezearu,

Deputy- Mr. Okezie Azuma

Umuahia South LGA:

Chairman- Mr. Obike Ejike Nnochiri

Deputy- Mr. Olendingwa Nwabueze.


Labour Unions Threaten Nationwide Strike Over Attack On NLC President


Isiala Ngwa North LGA:

Chairman- Mr. C. Y. Nwankwo.

Deputy- Mr. Uchenna Nwanbuko.

Umunneochi LGA:

Chairman- Mr. Ndubuisi Ike

Deputy- Mr. Njoku Augustine C.

Isuikwuato LGA:

Chairman- Air Vice Marshal Chinwendu Onyike (rtd).

Deputy- Hon. Harrison Onuke.

Ikwuano LGA:

Chairman- Mr. Osinachi Hycinth Nwaka

Deputy- Chief Charles Ugbuajah

Bende LGA:

Chairman- Barr. Chijioke Nwankwo

Deputy- Mr. Onyedikachi Iroegbu.

Ohafia LGA:

Chairman- Chief David Ogba

Deputy- Hon. Mkpa Oju Uka.

Obingwa LGA:

Chairman- Dr. Eric Egwuibe

Deputy- Mr. Chiemela Ekpemu

Ugwunagbo LGA:

Chairman- Comrade Nosike Ihesiaba

Deputy- Mr. Nnamdi Kelvin Chijioke.

Ukwa East LGA:

Chairman- Dr. Mrs. Ngozi Nwagbara

Deputy- Chief Onyebuchi Nnah.

Umuahia North LGA:

Chairman- Chief Victor Ikeji

Deputy- Mr. Okechukwu Anthony Amah.

Aba South LGA:

Chairman- MR. Uchechukwu A. C. Wogu

Deputy- Mrs. Nkiru Ugwu.

Aba North LGA:

Chairman- Ide John Udeagbala

Deputy- Prince Nnaemeka Ogbonna

Osisioma Ngwa LGA:

Chairman- ENGR. Israel Nweke

Deputy- Barr. Young Ngwaziem.

“The List of the above mentioned persons has been transmitted to the State House of Assembly by His Excellency, Dr. Alex C. Otti, Executive Governor, Abia State; for Screening and Confirmation as required by law.

“The concerned persons are therefore requested to approach the State House of Assembly for their Screening,” the Commissioner said

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Dangote Boost Nigeria’s FX Earnings by $687.977m.




Dangote Boost Nigeria’s FX Earnings by $687.977m.

The management of Dangote Industries Limited (DIL) has announced that the company has sent back more than USD 576 million to Nigeria through different banks. Additionally, they have made a cash swap agreement worth USD 111 million between Dangote Cement Plc and Ethiopian Airlines. This arrangement has helped DIL save an equal amount of money that would have otherwise been paid to the Central Bank of Nigeria.

The company revealed this in a statement released to the media, where it accused BUA Group of sponsoring fake and misleading news about its foreign exchange transactions, approved by the CBN, which were meant for its pan-African operations.

Dangote re-affirmed its determination and belief in Nigeria, noting that the current government of President Bola Ahmed Tinubu has shown the will and resolve to get the economy moving again.

“We are not body-shop inventors. We believe in Nigeria, and we believe in Africa. We are genuine and authentic about our investments, and we call on all relevant agencies to investigate our FX transactions in the past ten years and make public any infraction noticed or discovered.”

Insisting that all forex purchases with respect to its African Project Expansion were genuine and fully utilized for what they were meant for.

Dangote revealed that the projects for which the forex was utilized are visible for everyone to see.

“It is on record that some of these projects were commissioned by Nigerian top-ranking government officials, and in attendance were chief executives of various banks, captains of industries, and the presidents of the host countries, supported by their senior government officials.

“The commissioning events of these projects were well documented and covered by both local and international media. There are also print and electronic copies of the commissioning ceremonies as further testimony to the judicious utilization of the funds.”

Dangote further explained that its massive investments in pan-Africa will lead to the repatriation of forex in the very near future and boost foreign exchange earnings in Nigeria, as well as stabilize the forex market.

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