…As Adeosun, Emefiele assure Nigeria’ll sustain positive growth outlook***

An attempt by the Niger State Governor, Abubakar Bello to take a N21.5 billion Sukuk bond may hit the rock as Sen. David Umaru (APC-Niger East) is gathering strong support to block it, on ground that the initiative would plunge the State into ‘outrageous indebtedness’.

Senator Umaru indicated this Sunday, during a press conference in Minna, noting that that the administration lacked the capacity to make judicious use of the funds from the Sukuk bonds if accessed.

The State Government only last week, announced that it would seek a N21.5 billion Sukuk bond for infrastructural development.

According to him, Bello had failed to account for billions of money accrued from statutory allocation to the state including other financial interventions from the Federal Government.

“It is on record that over N114 billion was accessed by the Bello administration between 2015 and 2017 as net (Federal Account Allocation Committee) FAAC Allocation.

“Nigerlites are still asking as to how the bail out funds from the Federal Government and disbursements from the Paris Club refunds allegedly amounting to about N250 billion were utilized.

“How have these huge resources translated to providing critical development infrastructure necessary for the economic and social development that would reduce poverty in the state,” he added.

Umaru noted that while the people of the state were still groaning under the heavy debts burden incurred by the past administration, the governor had chosen to add to their pains.

“It is disturbing that the waste of resources and lack of accountability that characterised (former governor) Aliyu’s administration seems minute when compared with financial recklessness of this government.

“While past administration left a total sum of N44 billion as external debts and N30 billion as internal debts, the present administration appear ready to break such ugly record with heavier debt burden,” he noted

The senator also decried the lopsided distribution of projects in favour of the governor’s zone, adding that some projects which had been captured severally in previous bonds reappeared in this bond proposal.

“It is equally important to point out that the administration has failed woefully to equitably distribute projects under the bond across the three senatorial zones.

“The lopsided distribution of the projects in favour of the governor’s zone is highly regrettable and unacceptable because he got votes from the three zones to assume office.

“And again, Minna township roads project captured severally in the other bond facilities taken by the past administration, has reappeared again.

“The question now is why is government recycling this same project. Is it because it has become a conduit pipe to siphon public fund,” he asked.

The lawmaker further faulted the timing of the bond, wondering why the government was seeking the facility now, with barely a year to the end of its tenure.

He urged the State House of Assembly to withhold approval on the loan request to save the state from further impoverishment, saying giving him the nod to access the facility will amount to mortgaging the future of the state.

However, in a swift reaction, the Commissioner for Information and Strategy, Alhaji Danjuma Sallau, said the projects executed with the bail out funds from the Federal Government and Paris club refunds were there for every one to see.

The commissioner said that the funds were used to pay salary arrears of workers as well as rehabilitate of schools in the state.

Sallau said that the Sukuk bond would be used for the construction of Minna township roads, trailer park in Suleja, Kontagora water works, Mariga modern market and mining city development among others.

Meanwhile, the Minister of Finance, Mrs Kemi Adeosun and the Governor of Central Bank of Nigeria (CBN), Mr Godwin Emefiele, affirmed on Sunday that the country’s positive growth outlook would be sustained.

The Minister and the CBN Governor gave this assurance at a joint press briefing at the end of the 2018 International Monetary Fund (IMF) and World Bank Spring Meeting in Washington DC, United States.

Adeosun said the present growth outlook contrasted with the outlook in 2015, and that inflation rate was slowing down while the foreign reserves were rising.

The minister, who expressed optimism that the Federal Government would be able to sustain the growth trajectory, however, called for vigilance and focus so that the country would not to fall back into recession.

“We are confident that if we diligently implement our economic plan, we will grow the economy.

“We have room to grow but other countries do not have room to grow.

“By 2019, the growth will be far more robust than the present level in 2018.

“We are therefore very optimistic in sustaining Nigeria’s economic growth.

“We are going to use this opportunity to grow our fiscal buffers, particularly aggressively growing our revenue base.

“The administration has succeeded in building macroeconomic resilience for Nigeria, particularly revising the funding mix, rebuilding fiscal buffers, enhancing foreign exchange reserves and focusing on import substitution strategies,” she said.

Adeosun said that the Federal Government would continue to efficiently and effectively manage the cost of running  state-owned enterprises such as the Nigerian National Petroleum Corporation as well as plug leakages.

“We must make sure that every money that is earned comes in. We will drive the process of improving governance,” she said.

On the nation’s domestic debt, the Minister stated that the Federal Government would not aggressively grow the debt.

“We are refinancing our inherited debt portfolio from short term Treasury Bills to longer tenured debt which has resulted in huge savings and reduction in costs of funds for the government,” she said.

Adeosun disclosed that the Voluntary Assets and Income Declaration Scheme (VAIDS) deadline was extended by three months till June 30, 2018 due to the appeals from tax payers for more time to regularise their tax status.

She revealed that the present administration had raised the tax payers’ base from 13 million in 2015 to 17 million as at 2018.

She confirmed the recovery of 322.51 million dollars of the Sani Abacha loot from the Swiss Government into a special account with the CBN.

The funds, according to her, have been earmarked for the National Social Safety Nets programme of the Federal Government.

“The objective of the National Social Safety Nets Project for Nigeria is to provide access to targeted transfers to poor and vulnerable households under an expanded national social safety nets system,” Adeosun said.

Emefiele also reiterated Nigeria’s positive growth outlook, noting that a growth of 2.5 per cent had been projected by the IMF and World Bank for Nigeria.

He disclosed that the country’s foreign reserves had risen to 47.93 billion dollars.

“There is need to save for the raining day and also continue to grow the foreign reserves. If we had enough reserves, we wouldn’t have suffered the recession shocks,” he said.

Emefiele assured that concerted efforts were being made to realise the 80 per cent target for financial inclusion by the year 2020.