The Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) alongside the Organized Private Sector of Nigeria (OPSN) has raised alarms about Nigeria’s significant public sector deficit, which poses a serious risk to the Federal Government’s objective of transforming the nation into a $1 trillion economy by the year 2030.

In a recent statement, NACCIMA President Dele Kelvin Oye urged the government to adopt a more stringent public financial management strategy. He highlighted the necessity of prioritizing capital investments over recurrent expenditures, broadening the tax base without increasing tax rates, enhancing expenditure efficiency, and addressing financial leakages within all governmental tiers.

“While structural reforms are crucial, we must face a hard reality: ongoing public sector deficits and continual borrowing, largely for recurrent spending, are crowding out private investments and fueling inflation,” Oye remarked. He emphasized the importance of rigorous public financial management practices, focusing on capital investments, expanding the tax base, improving expenditure efficiency, and accelerating the divestment or concessioning of underperforming public assets.

Oye, who also leads the OPSN, pointed out that these measures are essential for not only restoring macroeconomic stability but also for rebuilding investor and business confidence.

He commended the government’s acknowledgment of the daunting macroeconomic and social challenges, as expressed by the Minister of Finance and the Central Bank Governor during the recent IMF/World Bank Spring Meetings. He praised the government’s commitment to job creation and youth empowerment, describing it as timely and commendable.

“We appreciate the government’s dedication to achieving single-digit inflation, generating employment, enhancing digital infrastructure, and striving for a $1 trillion economy by 2030,” Oye stated.

However, he cautioned that the latest Africa Pulse report from the World Bank underscores an urgent threat of escalating poverty in Nigeria, with projections indicating that the national poverty rate could rise to 56% by 2027. “The alarming increase in the number of Nigerians living in poverty, heightened inflation, youth migration, and a widening fiscal deficit all highlight the necessity for swifter, targeted, and pragmatic policy responses,” he added.

Regarding monetary policy, Oye expressed concern that the Central Bank’s current lending rates, which are between 30-40%, may inhibit entrepreneurship, industrial production, and agricultural growth. He argued that while the aim is to control inflation, this monetary environment paradoxically constrains the productive sector and hampers job creation and innovation. He called for targeted funding and special credit provisions for micro, small, and medium enterprises (MSMEs) as well as key sectors at concessionary rates to stimulate growth, employment, and food security.

On the issue of youth migration and insecurity, Oye described the trend of skilled youth leaving the country as alarming, driven by economic disenfranchisement and insecurity. “Immediate, large-scale public works, digital skills training, and investment in security in affected regions are essential,” he said. “Government must allocate funds for youth-oriented entrepreneurship initiatives and stimulate rural enterprises, particularly in agriculture and light manufacturing, to ensure that staying in Nigeria is a viable and appealing option.”

When discussing inflation, he pointed out that while monetary tightening might help to curb price rises, it is crucial to concurrently address underlying issues such as food supply chain disruptions, energy deficits, overregulation, inconsistent policies, currency volatility, and excessive fiscal inflations. NACCIMA advocates for expediting strategic food importation, providing logistical support, ensuring farmers have access to affordable inputs through targeted subsidies, and committing to the continuous provision of Naira crude to local refineries while promoting modular refining projects to decrease dependency on fuel imports.

“We urge for structured dialogue with organized private sector stakeholders in policy design and implementation, ensuring that policy measures are based on evidence and relevant to the context,” Oye said.

In conclusion, he noted, “As global economic and geopolitical dynamics shift, with the U.S. dollar’s dominance waning due to a reduced share in global markets, the overuse of dollar-based sanctions, and advancements in digital settlement systems, Nigeria must recognize these shifts and strategically realign its foreign policy. By building stronger partnerships and trade relationships with emerging economic blocs like China and the BRICS nations, Nigeria can enhance its appeal as a destination for foreign direct investment. This opportunity can help diversify our economy, stimulate industrial growth, create jobs, and ultimately alleviate poverty, positioning Nigeria as a key player in the evolving global landscape.”

Oye acknowledged the government’s proactive reforms but emphasized that the immediate socioeconomic challenges—including rising poverty, unemployment, and insecurity—demand urgent, intentional, and inclusive interventions. “Nigeria cannot rely on the forbearance of its citizens when their livelihoods are diminished and aspirations are crushed by economic hardship,” he concluded.

Operatives of the Economic and Financial Crimes Commission (EFCC) have arrested popular businessman E-Money over allegations of naira abuse and defacement of foreign currencies.

The socialite, born Emeka Okonkwo Daniel, was arrested at his Omole, Lagos residence in the late hours of Monday.

E-Money’s arrest was said to have stemmed from a viral video showing him spraying American dollars at a social event, an act that violates the Foreign Exchange Act.

An EFCC insider revealed that preliminary investigations are ongoing, and he will be charged to court as soon as the probe is concluded.

When contacted, Dele Oyewale, EFCC spokesperson, declined to comment on the matter.

However, sources within the commission disclosed that the socialite is being flown to Abuja to face further interrogation.

The socialite’s arrest comes a few days after Terry Apala, the singer, was remanded at the Ikoyi correctional centre over alleged abuse of naira notes.

In a significant move, the House of Representatives’ Public Accounts Committee (PAC) has successfully retrieved an extra ₦11,488,761,099 from oil and gas companies that have outstanding obligations to the Federal Government. This latest recovery brings the total secured by the Committee to an impressive ₦61.5 billion.

The PAC’s vigorous recovery efforts are backed by insights from the Auditor-General’s reports and data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). These resources have guided ongoing discussions with oil firms, emphasizing the need for accountability regarding unremitted funds and pending liabilities.

Recent recoveries include notable amounts from various companies, such as:
– Platform Petroleum Ltd: $182,057.44 (₦291.29 million)
– Midwestern Oil and Gas: $730,889.37 (₦1.17 billion)
– Seplat Energies: ₦1.58 billion
– Aradel Holdings: $3.9 million (₦6.1 billion)
– Network Exploration & Production: $500,000 (₦775 million)
– Shoreline Resources Ltd: $1 million (₦1.55 billion)

The total recovery in this phase stands at ₦11,488,761,099.

Despite repeated invitations extended via public notices and official letters, several oil and gas companies have neglected to respond to the Committee’s summons. These non-compliant firms collectively owe over $384 million and ₦325.7 million to the Federal Government, with significant debts attributed to companies such as Neconde Energy Ltd ($110.5 million and ₦325.7 million) and Heirs Holdings ($137.7 million).

In a statement released by House Spokesperson Rep. Akin Rotimi, PAC Chairman Rep. Bamidele Salam expressed strong disapproval of the continued non-compliance by certain oil companies and issued a stern warning.

“This Committee will not tolerate any attempts by corporate entities to evade their responsibilities to the Nigerian populace. These companies are withholding billions of naira owed to the federal government, and we will not allow them to disregard the authority of Parliament. If these companies believe they are beyond accountability, they must realize that their licenses are at risk. We are ready to recommend the immediate revocation of licenses for any company that displays contempt towards this Committee and our national laws,” Salam stated.

He underscored the significance of fulfilling legal obligations to foster national development, asserting, “No company is above the law. The funds being withheld are vital for the country’s growth and must not be hoarded while Nigeria suffers. Every company operating in Nigeria must meet its obligations promptly, as mandated by law.”

The House of Representatives, empowered by Section 88 of the 1999 Constitution of the Federal Republic of Nigeria (as amended), retains the authority to summon any individual or entity to provide evidence on matters concerning public funds, thereby ensuring accountability and adherence to national laws.