In the four years of President Goodluck Jonathan’s administration, the Federal Government has negotiated N2.4 trillion facilities in its efforts to mobilise funds for its various projects across different sectors of the economy.
Likewise, N160 billion has so far been saved from 60,000 ghost workers detected in the federal civil service, said Ngozi Okonjo-Iweala, coordinating minister of the economy and minister of finance, while presenting the scorecard of the ministry under the current administration.
Okonjo-Iweala also announced that the 66,000 applicants for the refinance mortgage facilities of the Federal Government would soon receive their acceptance letters from the 22 lending institutions that are processing the applications.
A large chunk of the N2.4 trillion was negotiated from multilateral agencies like the World Bank, as well as some private commercial banks, while the bulk came from the China Exim Bank, at between zero and 3 percent for between 25 and 40 years with five to 10 years grace period.
Some of the facilities include the N30 billion to support commercial banks, the $200 million accessed from the World Bank to support the agricultural sector, and another $300 from the World Bank to support the on-going Fadama project.
In the works sector, $200 million was sourced from the China Exim Bank for various road projects under construction.
“We negotiated facilities for several projects covering various sectors like power, to support the Transmission Company of Nigeria (TCN) renewable energy project and others. For the ICT sector, we got $100 million from China Exim Bank to support the Galaxy Backbone project,” Okonjo-Iweala said.
“In the aviation sector, you will see some airport terminals that are under construction in Abuja, Port Harcourt, and Kano. They are being constructed from the $500 million we mobilised from the China Exim Bank at very good rates.
“Here in Abuja, we mobilised $500 million from China Exim for the Light Rail project that is almost completed. So also is the environment sector, for which $570 million was mobilised to support several environmental projects in many states,” the finance minister added.
Despite the growing uncertain global economic environment and Nigeria’s tight revenue, she observed that the economy of the country had been managed prudently, resulting in the declining fiscal deficit from 1.4 percent of 2013 to 1.03 percent this year.
“Borrowing is also declining, especially the domestic borrowing that has gone down from N577 billion to N571.9 billion. External loan is now $9.37b billion, while the total debt is N10.43 trillion,” she noted.
The ministry prided itself on the growing revenue, particularly the non-oil sector which has recorded N44 billion of the additional N75 billion target it gave itself, in addition to the N2.16 trillion budgetary projection.
The prudent management, she said, has resulted in the increase in the GDP from 6.5 percent of 2013 to the current 6.75 percent, making the country one of the 10 fastest growing economies in the world.
“We are happy that the growth recorded was driven by the agric sector, housing, construction, solid minerals and the creative industry.
“We have also noticed increase in Foreign Direct Investments (FDIs) which now contributes 16 percent of the GDP, making Nigeria the third on the continent, behind South Africa and Mozambique,” she said.
Bashir Yuguda, minister of state for finance, explained that the country’s GDP is now $900 billion, while per capita income currently stands at $2,400 and is on its gradual movement to the $4,000 target.
“Our insurance sector is third on the continent, with two million micro insurance policyholders, with premium at N300 billion and assets of operators at N650 billion. The Nigeria Custom Service (NCS) has remitted N713 billion to the treasury out of the expected N1.2 trillion,” Yuguda said.
In the capital market, the country’s stock market has recorded N13 trillion market capitalisation.
BADEJO ADEMUYIWA
