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Buhari Govt Moves To Pay N2.7 Trillion Accumulated Debts To Contractors, Civil Servants Since 1994

Kemi Adeosun
Kemi Adeosun

The government of Muhammadu Buhari has resolved to pay a total of N2.7 trillion Federal Government contractor and employee liabilities inherited from 1994
The liabilities are made up of N740 billion of outstanding pensions and promotional salary arrears (not discounted) and N1.93 trillion (discounted) of other obligations, including dues to Federal Government contractors and suppliers.
These facts emerged at the Federal Executive Council (FEC) meeting today, Wednesday, where the nation’s finance minister, Kemi Adeosun gave details of the accumulated debts and liabilities.
The Economic Management Team, under the leadership of Acting President Yemi Osinbajo, had mandated the Minister of Finance to Chair a Committee that would establish a process to confirm the validity of inherited Federal Government obligations, and propose a mechanism to resolve them.
Giving the report of the committee to FEC, Adeosun said that the supplier and contractor obligations will be resolved through a strict process of final validation, following which those confirmed will be settled through the issuance of liquid promissory notes (ten-year tenure) phased over a three-year period to minimise impact on liquidity and with preference given to those willing to offer the largest discounts.
She said that obligations owed to individuals, including pensions and employee benefits, would be resolved through the issuance of specific bond instruments, to be phased over the next 3 years.
“These obligations will then be incorporated into the Medium- Term Expenditure Framework by the Ministry of Budget and National Planning.”
“Obligations accumulated over the last two decades to be paid through bond and promissory note issuance to resolve long outstanding dues and stimulate economic activity
“The proposed validation process, promissory note and debt issuance programme to resolve a number of inherited and long outstanding Federal Government obligations to contractors, State governments and employees. will be followed by a request to the National Assembly to approve the programme ahead of implementation.
“These obligations largely consist of dues owed to State governments, oil marketers, power generation and distribution companies, suppliers and contractors by FG parastatals and agencies, payments due under the Export Expansion Grant (EEG), outstanding judgement balances as well as pension and other benefits to Federal Government employees.
Some of the obligations date back as far as 1994. The resolution of this will significantly enhance liquidity in critical sectors of the economy.”
Speaking to news men shortly after the the FEC meeting, Adeosun said: “we cannot get our economy moving at the pace we need to if we do not address the legacy issues we have inherited, which act as a significant drag on economic activity.”
She said that the government would want to be a driver of growth to enable private sector to be active, adding that it is should not be the most significant obligor to many value creating businesses.
“At the same time, we have an obligation to our Federal Government employees to address these long-outstanding pension and employment benefit issues. We are doing this systematically, and we want to do so once and for all. We are enhancing the Government’s controls and processes to ensure we do find ourselves in this situation again.
“Over the last two decades the Federal Government has built up over N2.7 trillion of obligations which were not cash backed, and remain outstanding to this day. We have developed a solution that will simultaneously resolve these issues, and deliver a boost to economic performance. Our solution will remove the drag on economic performance these obligations cause, improve liquidity in key sectors, especially the power sector where we will resolve FG dues to the distribution and generation companies, and so boost investor confidence.
“It will also help to improve non-performing loan ratio’s in the banking sector, where an unacceptable number of NPL’s are linked to Government contracts.” [myad]

Buhari Will Return Sooner Than Expected, Osinbajo Swears

Buhari 4

Acting President Yemi Osinbajo, fresh from his visit to President Muhammadu Buhari in London, has given hope that the President will return to resume his official duties sooner than anyone would think.

“He is recuperating very fast and we expect him very shortly more sooner perhaps than you expect.”

Osinbajo, who dashed to London yeterday, Tuesday to see Buhari and returned late the same day, told news men today, Wednesday, went to see the President to check up on him and find out how he was doing. . He said that although he had been speaking to him on phone but thought it woul be a good thing for him to go and see him and also brief him on developments back at home.

“So we had a very good time , we had a good conversation on wide ranging issues. He is in a very good spirit; he is recuperating very quickly and he is doing very well.

Professor Osinbajo, who has been acting President since May 7 when Buhari went on medical vacation in London said that President Buhari is expected back in the country “very very soon. I think we should expect him back very shortly because he is recuperating very fast and very very well.”

The acting President hinted that he and Buhari discussed wide ranging issues which he said: “I can’t go into specifics.” [myad]

My Disagreement With National Assembly Is Not Destructive One – Babatunde Fashola

Fashola of Lagos

Minister of Power, Works and Housing, Babatunde Fashola has made it clear that the misunderstanding between him and National Assembly is not a bitter one but a sign of healthy democracy in action.

The minister, who fielded questions from reporters at the Presidential Villa, Abuja, said that there is no problem between him as an individual and the National Assembly.

“And let me make that very clear: many of the senators and honourable members are my personal friends, and so you don’t fight your friends.

“But, we have a disagreement. And the context of that disagreement: you will remember when President Muhammadu Buhari launched the economic recovery and growth plan, he had enormous support from the leadership of the National Assembly. So it means that we all agree there is a problem. There is also disagreement which I don’t think should make us disagreeable about the best way to implement that plan and I think that is all there is to it.

“It is perhaps possible that in the heat of the moment while trying to canvass different positions we are misconstrued as fighting but I am not fighting anybody. We have a disagreement it shouldn’t make us disagreeable.

“So, my responsibility is to continue to engage. Also even if I wasn’t a minister, I am a citizen also so the parliamentarians are also representing me. So these are the issues and if I have been misunderstood, my intention was not to quarrel with anybody but to see a better Nigerian which I believe they also want to see.”

Fashola, who described the disagreement as being very healthy, said that such disagreement is not on who should head what, but on who should take what share of the National came, but that they are disagreeing only on how to develop Nigeria.

“And for me that is a very healthy development of our democracy.

“I’m sure with the leadership of the National Assembly- Senate President, speaker of the House of Representatives, the principal officers and the Acting President, we will resolve this in the ultimate interest of the Nigerian people.”

On how much will the private sector deliver given the myriad of challenges, the minister said that the private sector has always been in any economy with a capital disposition, the driver of growth, adding that the driver of development and ultimately government must interface with the private sector.

He said that the present presidential quarterly business forum has been established to hear from the private sector where the shoes pinches most and where the government can make it easier and better.

“And it is only by understanding problems that we can then offer quality solutions which will include executive actions, sometimes legislative actions, sometimes judicial interventions as I have announced today  as a mixture of government’s policy options to help private sector do its best. Our focus has been on ease of doing business.” [myad]

How Makarfi Finally Defeats Sheriff To Claim Chairmanship Of PDP

Ahmed Makarfi of PDP

The decision of the National Convention of the party held on May 21, 2016 in Port Harcourt was right to have removed Senator Ali Modu Sheriff as the Chairman of the party being the highest decision-making organ of the party.

This was the verdict of the Supreme Court today in Abuja that sacked fighting Senator Ali Modu Sheriff and confirmed Senator Ahmed Makarfi as national chairman of the Peoples Democratic Party (PDP).

Delivering the judgment today, Wednesday, Justice Bode Rhodes-Vivour on behalf of the five-man panel of judges, set aside the ruling of the Court of Appeal in Port Harcourt that affirmed Senator Ali Modu Sheriff as the Chairman of the party.
The court ruled that Senator Sheriff was wrong to have called for the suspension of the convention having submitted himself as an aspirant to contest for the National Chairman of the party.
The court held further that Sheriff decision to suspend the National Convention was predicated on his disqualification by the screening committee set up to screen all the aspirants seeking the chairmanship of the party.
The judgment has put to rest the protracted leadership tussle rocking the party since the former chairman  Adamu Muazu left the party in an abrupt manner when pressure was mounted on him by the stakeholders of the party after losing the 2015 Presidential election.
Meanwhile, there was wild jubilation at the court by PDP leaders and supporters of the Makarfi led faction who were present in court.
PDP faithful present in court includes governors Nyesome Wike of Rivers and Ayo Fayose of Ekiti as well as former governor of Kano State, Ibrahim Shekarau.
Other PDP bigwigs include Ahmed Markafi, Senator Ben Obi, Bode George, Dayo Adeyeye, Jerry Gana, and a  former deputy speaker House of Representatives.
Sheriff was absent during the judgment. [myad]

House Of Reps Ask Osinbajo To Swear-In 2 New Ministers Within 7 Days

2 new ministers

The House of Representatives has asked Acting President Yemi Osinbajo to, within seven days from today, Tuesday, swear-in the two ministerial nominees who have been confirmed by the Senate since May.

The ministers are Stephen Ocheni, from Kogi State and Suleiman Hassan, from Gombe State. While Ocheni is to replace the late James Ocholi, Hassan, is to replace Amina Mohammed, who joined the United Nations last year. They were screened by the Senate in May.

The motion asking Osinbajo to swear-in the ministers was moved by a member from Kogi State, Karimi Sunday, who complained that Kogi had been without a minister for nearly two years now.

“These two states are not represented at the Federal Executive Council. This is a breach of the 1999 Constitution.

“The prayer of this motion is that the Acting President should swear in them in and allocate portfolios to them within one week.”

The resolution was endorsed in a unanimous voice vote. [myad]

We’ve Shelved $1.5 billion Loan From International Debt Markets – Finance Minister

KEMI ADEOSUN FINANCE M

Minister of Finance, Kemi Adeosun has said that the federal government has shelved the earlier plan to seek for an additional $1.5 billion from international debt markets.

“We cannot borrow anymore. We just have to generate funds domestically enough to fund our budget. Mobilize revenue to fund the necessary budget increase.”

Adeosun, who spoke today, Tuesday, at a business forum in Abuja, insisted that Nigeria must not borrow more to fund its budget but would raise money through other means.

Nigeria is in the middle if its first recession in 25 years, and had planned to borrow extensively from overseas, to fund a record budget aimed at helping the country get its way out of its economic doldrums. [myad]

Osinbajo Meets Buhari In London

buhari and osinbajo

Acting President Yemi Osinbajo was in London earlier today, Thursday, to meet ailing President Muhammadu Buhari.

Osinbajo’s sudden trip to London was announced by his spokesman, Laolu Akande in a Twitter with no reason given.

He wrote: “AgP Osinbajo meeting with President Buhari in London today, and returning to Abuja immediately afterwards.”

The Acting President jetted out of Abuja soon after presiding over the Quarterly Presidential Business Forum today, Tuesday, morning at the Presidential Villa, Abuja.

Akande said that Osinbajo would return to Abuja the same day and expected to preside over the meeting of the Federal Executive Council (FEC) meeting tomorrow, Wednesday. [myad]

Abdulsalami, Kukah Blame Current Agitation For New Nation On Bad Governance

abdulsalam kukah

The National Peace Committee headed by former Military Head of State, retired General Abdulsalami Abubakar, and Bishop Matthew Kukah, have blamed the current agitation by various groups across the country for new nation on bad governance.

The two, who are co-chairmen of Peace Committee, made it clear too, in a statement which was jointly signed by the co-chairmwn, that politicians who failed to deliver dividends of democracy to their people are behind the clamour for secession, which they condemned.

The two leaders stressed that the manifestation of rising discontent among the populace was an indication that there was bad governance in Nigeria.

“In this regard, the National Peace Committee acknowledges that the drums of rising division also reflect the perceptions by our citizens that there is poor governance in Nigeria today.

“Politicians who have failed in delivering on the mandate of the electorate for better livelihoods and neighbourhoods have, instead, found common cause with advocates of division and hate.

“In many parts of the country, young people who have been left without means of livelihood or hope in their future have become converts to radicalisation preached by demagogues in various guises including ethnicity and religion.” [myad]

Of Aisha Buhari’s Metaphor, Satires And Pettiness Of Opposition, By Maiwada Dammallam

Aisha Buhari and Shehu Sani

Nigeria is so ‘serious’ a nation that satire is as bad a ‘crime’ as treason. Counting the torrents of condemnation against Mrs. Aisha Buhari’s harmless satirical comment to the satirical post of Senator Shehu Sani, one could see why there’s always little energy left to deal with serious issues.

The Senator wrote about a satirical Animal Kingdom where the King; traditionally the lion, was away and the Hyenas and Jackals of the kingdom were having a ball hoping the King will be away forever. Mrs. Buhari picked it from there and commented that, though the ‘king’ – the lion – is away, he’s soon to be back and the party is going to be short lived. That’s all of it and all hell was let loose.

Nothing could be cheaper than Nigeria’s negative emotions which could be provoked to boiling point by mere satire expressed in a clear metaphorical background. One is left mesmerised that, with all the different kinds of prefixes attached to names of our leaders, big men, practicing and dormant wannabes who are constantly and consistently trying to outdo themselves in the art of pretentious claim to intellectual sophistication, the literature value of the combined metaphorical and satirical expressions as contained in Mrs. Buhari’s comment was either mischievously ignored or entirely lost.

Whereas ‘metaphor’ is a figure of speech containing an implied comparison, in which a word or phrase ordinarily and primarily used for one thing are applied to another while ‘satire’ is a way of using humour to depicts a situation or describe a person using words. So, what’s Mrs. Buhari’s crime for using literature to respond to literature? Are people in position of authority exempted from such privileges?

In case it’s a crime, why is Mrs. Buhari, a non-statutory factor in Nigeria’s power equation, isolated for punishment even it’s obvious she only participated in solving the equation while the Senator Shehu Sani, a statutory factor and author of the satire was left off the hook? Was it because the name ‘Buhari’ was part of the equation? I think that’s the most sensible explanation. President Buhari was himself a victim of antsy opposition. His metaphorical expression of “dogs and baboon” is still being held, even by the smartest dudes on the other side, with the seriousness of hanging to a life raft in a raging sea on moonless night.

So, let’s do it the elementary way. Is Nigeria an ‘Animal kingdom’? To you, may be, but certainly Mrs. Buhari is the last person to assume so for the simple reason that she went round the country with her husband and interfaced with Nigerians to know it’s a nation of good albeit, shortchanged people who she feels for to the point of supporting her retiree husband to jump back into the ring to slug it out for them.

Is President Buhari a ‘lion’? Yes, he is a metaphorical lion that kept metaphorical jackals and hyenas away from the waterholes of a metaphorical Animal Kingdom called Nigeria for the survival of the weak metaphorical animals of the kingdom.

The irony of it, all the debate on Mrs. Buhari’s metaphorical expression went on while few people care to partake in the debate to save a critical sector of the Nigerian economy, the National Health Insurance Scheme (NHIS). While some people where debating the ‘Animal Kingdom’, some good minded Nigerians were debating why Professor Usman Yusuf, the Executive Secretary of the scheme was suspended on trumped up allegations just after he exposed a Ponzi scheme in the NHIS through which over N300bn meant for the healthcare of the weaker ‘animals’ of the kingdom was stolen from the scheme without questions asked.  Give your brain a sense of value and join the NHIS debate rather than burn brain fat debating literature.

Maiwada Dammallam, writes from Abuja.

Huawei, WorldRemit Partner For Low Cost Mobile-To-Mobile Money Transfers In Africa

Huawei Charles Ding

One of the leading digital money transfer service, WorldRemit and Huawei have announced a partnership, making WorldRemit’s international money transfer service available to all partners of Huawei’s mobile money service platform across Africa.
a statement by Huawei said that the partnership, which was announced at the GSMA’s Mobile 360 conference in Dar es Salaam, would enable it to add a ready-made solution for remittances to its existing suite of services.

The statement added that by enabling WorldRemit to connect to over 100 million mobile accounts currently using Huawei’s platform, the deal will improve access to mobile money remittance for millions of people.
It said that WorldRemit is the first international remittance company to partner directly with Huawei, adding that the deal is expected to accelerate WorldRemit’s technical integrations with new mobile money operators.

It stressed that Technical integration is frequently a barrier to offering international remittances for mobile network operators (MNO’s), to the GSMA. Together, WorldRemit and Huawei are lowering that barrier, enabling all Huawei partners to swiftly switch on this service.
according to the Vice President of Huawei in South Africa, David Chen: “international remittance is a very important mobile money service in Africa, and our partnership with WorldRemit will bring international remittances directly to Huawei’s customers across the continent..

“Huawei is committed to providing advanced mobile money platforms and technologies to global mobile money operators.”

Also, Founder and Chief Executive Officer (CEO) of WorldRemit, Ismail Ahmed said:: “we are delighted to add our remittance offering to Huawei’s extensive range of services for mobile money providers. By making it easier to connect to our service, our partnership will accelerate our ability to introduce our safe, fast and low-cost remittance service to millions of people.”
The statement said that Huawei built its mobile money services platform to help deliver basic banking transactions in developing countries.

It said that the technology is not restricted, and that because it works on both smartphones and basic handsets, it has been particularly successful in developing markets.
It added that WorldRemit is the leading global provider of remittances, processing 74% of all international transfers to mobile money accounts coming from money transfer operators.

WorldRemit makes sending money as easy as sending an instant message. [myad]

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