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Atiku’s Scaremongering on Debt Profile Based On False Premise – FG

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Joel Ajayi 
The Federal Government has said the apocalyptic scenarios on thecountry’s debt profile, as painted by former Vice PresidentAtiku Abubakar in his press statement on Tuesday, is nothing butscaremongering anchored on a false premise.


In a statement issued in Abuja on Wednesday, the Minister ofInformation and Culture, Alhaji Lai Mohammed, said while the FederalGovernment welcomes constructive criticism, such must be based onverifiable facts rather than conjectures and innuendos.


”There is no doubt that former Vice President Atiku Abubakar lovesour country and wishes it well, otherwise he would not have sustained his serial quest for the country’s highest position. One can only hope that his resort to the use of such words as ‘precipice’, ‘foreclosure’ and ‘economic ruin’ does not reflect anything but best wishes for the country at this time,” he said.


Alhaji Mohammed said the figure of Nigeria’s debt to revenue ratio of99% in the first quarter of 2020, quoted by the former Vice President,is not in the Medium-Term Expenditure Framework and Fiscal Strategy Paper, where he claimed he got it from.
”We are also not able to ascertain the source of the first quarterfigures of N943.12 billion for debt servicing and N950.56 billion forretained revenue, which he also quoted,” he said.


The Minister said the debt service provisions in the annual budgetsinclude principal repayments, interest payments and all other applicable charges, adding: ”Therefore, the statement that debt servicing does not equate to debt repayment is not only wrong, but ill-informed.”


On the former Vice President’s assertion that revenue needs to go up, he said this Administration has introduced several measures to shoreup revenues, listing some of the measures as the passage andimplementation of the Finance Act, 2019, various on-going reforms inthe Oil and Gas, Tax Administration and Collections, as well as theStrategic Revenue Growth Initiatives.


Furthermore, Alhaji Mohammed said, since Nigeria’s debt service isexpressly provided in the annual budgets and the debt service payments are made as and when due, the issue of creditors foreclosing onNigeria, as strangely predicted by the former Vice President, does notarise.


He said contrary to the statement credited to Alhaji Abubakar thatNigeria has experienced alarming and unprecedented increase in theratios of debt to GDP and debt service to revenue, indeed, Nigeria’sratio of debt to GDP is one of the lowest in the world at 19.00% as atDecember 31, 2019, while Government is making concerted efforts to increase revenue so as to bring down the ratio of debt service to revenue.


”One of the reasons why debt service to revenue is high is becauserevenue generation in Nigeria has been low, with over-dependence onthe oil sector. This is corroborated by the fact that the ratio ofNigeria’s tax revenue to GDP is one of the lowest in the world atabout 6%,” the Minister said.


He said unlike what obtained in the past, when the nation borrowed toservice the crass indulgence of a few fat cats, the loans being obtained by the current Administration are beingprimarily used to finance infrastructure projects, which includeroads, railways, bridges and power, and the loans are long-term innature, which would benefit present and future generations.


”We have said that in the face of massive infrastructural decay, noresponsible government will sit by and do nothing. ThisAdministration’s borrowing, therefore, is aimed mostly at revampingour infrastructure. The loans for theeducational sector will contribute to the development of our humancapital while the loans for the agricultural sector will help the moveto diversify the economy,” Alhaji Mohammed said.


He said despite the negative impact of the Covid-19 pandemic on thecountry’s economy, the Federal Government has continued to takemeasures to mitigate the effects of the pandemic, and assured that theGovernment will always act in the best interest of Nigerians.

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Turning Africa’s Raw Materials Into Wealth: The ARMS 2026 Industrial Agenda

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By Joel Ajayi

For decades, Africa’s vast natural resources have powered industries and economies far beyond the continent, while many African countries have remained largely exporters of unprocessed commodities and importers of finished products.

That familiar pattern is now coming under renewed scrutiny as policymakers, researchers, investors and industrialists seek to change the direction of Africa’s resource economy.

At the centre of that conversation is the second edition of the Africa Raw Materials Summit (ARMS 2026), scheduled for October 19 and 20 at the Abuja Continental Hotel, Abuja, under the theme: “From African Feedstock to African Factories.”

Organised by the Raw Materials Research and Development Council (RMRDC), the summit is being positioned as more than another gathering of policymakers and industry stakeholders. It is intended to provide a platform for confronting the structural challenges that have kept African raw materials largely disconnected from local manufacturing.

Africa has for years operated largely within a “pit-to-port” economic model, exporting raw materials while importing expensive finished products.

Speaking at a press conference ahead of the summit on Tuesday in Abuja, the Director-General and Chief Executive Officer of RMRDC, Prof. Nnanyelugo Martin Ike-Muonso, said the event would bring together policymakers, investors, researchers, technology providers and industrialists to develop practical strategies for transforming Africa’s abundant natural resources into industrial wealth.

The challenge, therefore, is not simply the abundance of resources, but the continent’s ability to transform those resources into industrial value, employment, technology and wealth within Africa.

Nigeria alone, according to the RMRDC, has more than $582.4 billion in documented non-renewable natural resources, while the wider continent possesses substantial deposits of critical minerals, agricultural raw materials and industrial feedstock.

Yet, the benefits of this resource endowment have often been constrained by inadequate processing capacity, weak infrastructure, limited technology, financing gaps and fragmented regional value chains.

From Dialogue to Industrial Action

ARMS 2026 builds on the maiden edition held in May 2025, which attracted more than 1,000 delegates from across the world.

The inaugural summit also witnessed the unveiling of the Ten-Year Raw Materials Transformation Roadmap (2025–2034) by the Minister of State for Industry, Senator John Owen Enoh.

The roadmap was designed around areas including technological capability, climate-resilient processing and backward integration, establishing a policy framework for greater domestic utilisation of Africa’s raw materials.

The second edition is expected to move the conversation further by bringing policy, capital, technology and industrial stakeholders around practical mechanisms for turning raw materials into locally manufactured products.

One of the major proposals highlighted by the RMRDC is the 30 per cent Mandatory Value Addition Bill, which seeks to establish a statutory minimum level of value addition to Nigerian raw materials before export.

The Council says the proposed framework could support job creation, import substitution, foreign-exchange conservation and increased manufacturing contribution to the economy.

Building the Infrastructure for Value Addition

The industrial transformation envisaged by ARMS 2026 goes beyond legislation.

A major concern is the “missing middle” between where raw materials are produced and where factories are located.

Poor transportation networks, inadequate cold-chain facilities, weak rural roads, limited testing and certification infrastructure and border-related delays can make locally sourced materials more expensive and less competitive.

Consequently, logistics and infrastructure constitute one of the five principal pillars of the summit.

The objective is to develop more reliable corridors connecting farms and mines with processing centres and manufacturing facilities, thereby reducing losses and improving the movement of industrial inputs.

The Digital Dimension

Technology is also becoming an important part of the Council’s strategy.

The RMRDC says it has developed the Nigeria Integrated Information Statistical System for Raw Materials and Products (NISSRAMP), described as a digital repository containing information on feedstock deposits, specifications, production outputs and industrial absorption rates.

The Council has also highlighted its transition towards paperless operations and its certification as a Data Controller/Processor of Major Importance by the Nigeria Data Protection Commission.

Such digital infrastructure could provide investors and manufacturers with better information about the availability and characteristics of raw materials while supporting more informed industrial planning.

Turning Waste Into Industrial Inputs

Another major component of ARMS 2026 is the proposed expansion of the circular economy.

The summit will examine how agricultural by-products, mine tailings, scrap metals and biomass can be recovered and reused as inputs for new production processes rather than being treated simply as waste.

The RMRDC argues that such an approach could lower raw-material costs while supporting more sustainable and climate-resilient manufacturing systems.

For Africa, where industrial expansion must increasingly balance economic development with environmental considerations, waste industrialisation could become an important part of the continent’s manufacturing conversation.

From National Production to African Value Chains

The African Continental Free Trade Area is another important element of the summit’s agenda.

The RMRDC sees AfCFTA as an opportunity to create regional value chains in which raw materials sourced in one African country can be processed and supplied to manufacturers in another.

Under such a model, Africa would move beyond simply exporting commodities to external markets and develop stronger internal networks for supplying chemicals, refined minerals, agricultural inputs and other industrial materials across national borders.

This approach places regional integration at the heart of Africa’s industrialisation strategy.

Bridging Research and Capital

A recurring weakness in many developing economies is the gap between research and commercialisation.

Innovations may emerge from universities, research institutions and laboratories without receiving the financing, equipment or market connections required to become commercially viable.

ARMS 2026 intends to address that gap through technology commercialisation and capital linkages, connecting research outputs with investors, development finance institutions and industrial off-takers.

The RMRDC has also cited partnerships with the Bank of Industry for commercial-scale post-harvest processing and a South-South technology-transfer partnership with the National Innovation Centre par Excellence in Shanghai, China.

A Larger Industrial Conversation

The scale of ARMS 2026 is expected to be significantly larger than the maiden edition.

The organisers project more than 1,800 delegates from all 54 African countries and global industrial partners.

The programme will feature high-level policy dialogues, technical panels, an advanced raw materials and technology exhibition, industrial site visits and the African Raw Materials Industry Awards.

The exhibition, in particular, is expected to showcase locally fabricated processing machinery, advanced domestic materials, green chemicals and engineered commercial inputs.

Beyond the speeches and exhibitions, however, the real significance of ARMS 2026 will ultimately depend on what happens after the summit.

Africa’s challenge has never been a shortage of raw materials. The more difficult question has been how to transform those resources into factories, products, skilled employment, technology and sustainable economic opportunities.

For Nigeria and the rest of the continent, the proposed shift from “pit-to-port” to “feedstock-to-factory” therefore represents a broader debate about the future structure of African economies.

ARMS 2026 seeks to place that debate firmly on the industrial agenda — with value addition, technology, finance, infrastructure, circular production and regional trade at the centre.

If the commitments and partnerships generated by the summit translate into measurable industrial activity, the event could provide another platform for Africa to examine how its enormous resource base can support stronger domestic manufacturing.

The message from the organisers is clear: the continent’s raw materials should not only leave African soil as commodities; they should increasingly become the foundation for African industrial production

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