Nigerian President Muhammadu Buhari, who took office last month, said his government is facing severe financial strain from a Treasury that’s “virtually empty” and billions of dollars in debts.
The government is under “so much pressure” that it’s unable to even regularly pay some state workers, Buhari told reporters on Monday in the capital, Abuja. “This is the bad management that we find ourselves in.”
Buhari has yet to name a cabinet since being sworn in as president of Africa’s largest economy on May 29 after defeating Goodluck Jonathan in elections. He took over as a plunge in crude prices forced the government to scale back budgeted spending and devalue the naira while foreign-currency reserves fell. The government relies on crude for about 70 percent of its income.
“It’s just saying the obvious,” said Akintola Owolabi, a senior lecturer of accounting and finance at Lagos Business School. “We all know about the reckless abandon with which the last regime carried out its affairs.”
Former military ruler Buhari, 72, swept Jonathan from office in March elections by pledging to end endemic corruption and Boko Haram’s rebellion in the north that has killed thousands in its six-year campaign to impose its version of Shariah law.
The central bank has been using its foreign reserves, which fell to $29 billion as of June 18 from $34.5 billion at the start of 2015, to help defend the local currency. Still, the naira has declined 7.8 percent against the dollar over the same period.
Growth in the economy is forecast by the International Monetary Fund to slow to 4.8 percent this year from 6.3 percent last year.
Bloomberg
Tuesday, June 23, 2015
Suicide bombers kill 30 in North Eastern Nigeria
Two girls blew themselves up on Monday near a crowded mosque in northeast Nigeria's biggest city, killing about 30 people, witnesses said.
It is the fourth suicide bombing this month in Maiduguri, which is the birthplace of the Boko Haram Islamic extremist group.
Fishmonger Idi Idrisa said one teenager exploded as she approached the mosque crowded with people from the nearby Baga Road fish market, performing afternoon prayers during the holy month of Ramadan.
The second teen appeared to run away and blew up further away, killing only herself, he said.
Civilian defense fighter Sama Ila Abu said he counted at least 30 corpses as he helped collect the dead.
Both men said said there were many injured.
Boko Haram has kidnapped hundreds and hundreds of girls and women and the numbers of female suicide bombers has raised fears that it is using the captives in its campaign.
A military bomb disposal expert has told the AP that most bombs carried by girls and women have remote detonation devices, meaning the carrier cannot control the explosion.
Boko Haram has stepped up attacks since Nigeria's new President Muhammadu Buhari announced the military command center is moving from the capital Abuja to Maiduguri in Borno State.
The attacks come as Nigeria and its neighbors are preparing to strengthen a multinational army that this year drove Boko Haram out of towns and villages where it had set up a so-called Islamic caliphate.
But bombings and hit-and-run attacks have continued, along with cross-border raids.
On Thursday, a group of the extremists attacked two towns in neighboring Niger, killing at least 40 people, the government said.
In its first attack on Chad, suicide bombers a week ago attacked two buildings including the national police academy in N'Djamena, killing at least 33 people.
AP
It is the fourth suicide bombing this month in Maiduguri, which is the birthplace of the Boko Haram Islamic extremist group.
Fishmonger Idi Idrisa said one teenager exploded as she approached the mosque crowded with people from the nearby Baga Road fish market, performing afternoon prayers during the holy month of Ramadan.
The second teen appeared to run away and blew up further away, killing only herself, he said.
Civilian defense fighter Sama Ila Abu said he counted at least 30 corpses as he helped collect the dead.
Both men said said there were many injured.
Boko Haram has kidnapped hundreds and hundreds of girls and women and the numbers of female suicide bombers has raised fears that it is using the captives in its campaign.
A military bomb disposal expert has told the AP that most bombs carried by girls and women have remote detonation devices, meaning the carrier cannot control the explosion.
Boko Haram has stepped up attacks since Nigeria's new President Muhammadu Buhari announced the military command center is moving from the capital Abuja to Maiduguri in Borno State.
The attacks come as Nigeria and its neighbors are preparing to strengthen a multinational army that this year drove Boko Haram out of towns and villages where it had set up a so-called Islamic caliphate.
But bombings and hit-and-run attacks have continued, along with cross-border raids.
On Thursday, a group of the extremists attacked two towns in neighboring Niger, killing at least 40 people, the government said.
In its first attack on Chad, suicide bombers a week ago attacked two buildings including the national police academy in N'Djamena, killing at least 33 people.
AP
Friday, June 19, 2015
Video - Lack of funding for women's football in Nigeria
Nigeria's Super Falcons have arrived in Canada for the Women's Football World Cup. They'll play former champions, the United States, on Saturday.The Super Falcons are one of only three African teams that qualified to play, but despite the national team's success the women's game in Nigeria struggles to get funding.
Related stories: Nigeria loses to U.S. 1-0 in 2015 Women's World Cup
Asisat Oshoala wins Women's Footballer of the Year award
Nigeria oil refineries to be operational next month
Nigeria's four refineries will resume production next month, a spokesman for the state-run oil group said Thursday, raising hope of an end to perennial petrol shortages that have plagued Africa's largest crude producer.
"The refineries at Warri, Port Harcourt and Kaduna will resume next month after a successful turn-around-maintenance (overhaul) of their facilities," Ohi Alegbe of the Nigerian National Petroleum Corporation (NNPC) told AFP.
"The turn-around-maintenance has been on for some time. We did not just want to make any noise about it. The refineries will start production as soon as they have delivery of crude oil for refining," he said.
The NNPC has four refineries -- two in Port Harcourt in the south, one in northern Kaduna and another in southern Warri, with a combined installed capacity of 445,000 barrels per day.
A network of pipelines and depots located throughout the country link these refineries.
Nigeria produces a massive two million barrels of crude oil a day, but has to export it due to a lack of working refineries. It then imports fuel back into the country at international market prices -- a situation blamed on corruption and mismanagement.
To cushion the blow on the general population, the government sells fuel on the streets at subsidised prices, and makes up for the higher amounts spent by importers by reimbursing them the difference -- a system seen as rife with false claims and overpayments.
Last month, a crippling fuel shortage almost grounded Nigeria to a halt, as fuel importers and marketers shut their depots to protest some $1 billion (900 million euros) in unpaid reimbursements.
Black market and legitimate petrol vendors did a brisk trade, selling at around 300 naira ($1.5; 1.3 euros) a litre -- well above the officially-set price of 87 naira.
In January 2012, the government tried to end the subsidies, causing petrol prices to more than double. It was ultimately forced to reinstate the payments after tens of thousands of people took to the streets in violent protests that left more than a dozen dead.
Alegbe said the resumption of refinery activity "will significantly improve the supply of petroleum products in the country."
AFP
Related story: Video - Fuel shortage in Nigeria
"The refineries at Warri, Port Harcourt and Kaduna will resume next month after a successful turn-around-maintenance (overhaul) of their facilities," Ohi Alegbe of the Nigerian National Petroleum Corporation (NNPC) told AFP.
"The turn-around-maintenance has been on for some time. We did not just want to make any noise about it. The refineries will start production as soon as they have delivery of crude oil for refining," he said.
The NNPC has four refineries -- two in Port Harcourt in the south, one in northern Kaduna and another in southern Warri, with a combined installed capacity of 445,000 barrels per day.
A network of pipelines and depots located throughout the country link these refineries.
Nigeria produces a massive two million barrels of crude oil a day, but has to export it due to a lack of working refineries. It then imports fuel back into the country at international market prices -- a situation blamed on corruption and mismanagement.
To cushion the blow on the general population, the government sells fuel on the streets at subsidised prices, and makes up for the higher amounts spent by importers by reimbursing them the difference -- a system seen as rife with false claims and overpayments.
Last month, a crippling fuel shortage almost grounded Nigeria to a halt, as fuel importers and marketers shut their depots to protest some $1 billion (900 million euros) in unpaid reimbursements.
Black market and legitimate petrol vendors did a brisk trade, selling at around 300 naira ($1.5; 1.3 euros) a litre -- well above the officially-set price of 87 naira.
In January 2012, the government tried to end the subsidies, causing petrol prices to more than double. It was ultimately forced to reinstate the payments after tens of thousands of people took to the streets in violent protests that left more than a dozen dead.
Alegbe said the resumption of refinery activity "will significantly improve the supply of petroleum products in the country."
AFP
Related story: Video - Fuel shortage in Nigeria
Thursday, June 18, 2015
Video - Nigeria's technology entrepreneurs
A lack of funding and low levels of computer education are underminding the potential for Nigeria's tech industry to create jobs, but an organization called Enspire has plans to improve the sector.
Related stories: Video - Entrepreneur Adeyoin Oshinbanjo talks about her successful venture Mile 12 Marketonline
Bitcoin interest grows in Nigeria
Jumia gets official Apple istore
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