Economy
MDAs padded 2021 budget with N300bn, 2022 by N100bn in duplicated projects—ICPC
Independent Corrupt Practices Commission and other related offences, ICPC has told the Senate Committee on Finance that the N13.59trillion 2021 budget was padded by the various Ministries, Departments and Agencies ( MDAs) with duplicated projects worth N300 billion. Speaking in Abuja during an interactive session with the Senator Olamilekan Adeola, led Senate Committee on Finance, the ICPC Chairman, Professor Bolaji Owasanoye said that projects duplication worth N100billion were also inserted into the N17.12 trillion 2022 budget by some MDAs besides N49.9 billion tracked as salary for ghost workers between January and June this year. According to the ICPC boss, the N300 billion duplicated projects in the 2021 budget and N100 billion in the 2022 budget were tracked through thorough scrutinisation carried out on approved projects for the various MDAs.
He said,” N300 billion would have been wasted by the Federal government on duplicated projects inserted into the 2021 budget and N100 billion for same purpose in the current fiscal year if not tracked and intercepted by ICPC. The same preemptive move , saved the country from spending N49.9 billion for salaries of ghost workers put on fictitious pay roll by the fraudulent MDAs between January and June this year. Names of MDAs involved in projects duplications running into intercepted billions of Naira and fictitious pay rolls , are available and will be forwarded to the committee. The good thing about the preemptive moves made by us is that monies for the fraudulent acts were prevented from being released to the affected MDAs and it is gratifying that the Finance Ministry and Accountant General Office cooperated with us.”
Professor Bolaji Owasanoye who advised relevant committees of the National Assembly to be on the look out for such projects duplication in the proposed N19.76 trillion 2023 budget, said, “From our own end , detection of such projects are done by verifying their locations and names , upon which we tell the appropriate authorities not to release wrongly budgeted monies for them.” On his part, the Committee through its Chairman, Adeola however expressed its satisfaction with the presentation of the ICPC boss, just as it said that the operational cost of the agency will be increased from N1.8 billion, adding, “This committee is impressed by proactive ways your commission is adopting in the fight against corruption. “Your submissions clearly show that all hope is not lost for our dear country as far as fighting corruption is concerned. Your operational cost which is N1.8 billion will be increased as required impetus for more proactive measures against corrupt practices across the various MDAs.” Meanwhile, the Senate has begun a holistic investigation into the activities of the National Iron Ore Mining Company, NIOMCO, Itakpe, Kogi State that has been non functional, moribund since 2008 making it fourteen years and no production, yet it has a staff strength of 700 that are being paid monthly.
The probe Committee set up by the Chairman, Senate Committee on Finance, Senator Olamilekan Adeola is headed by Senator Sani Musa, APC, Niger East with a mandate to carry out a proper investigation into the Organisation and submit report in the next two weeks. The probe was sequel to the presentation before the Committee by NIOMCO Sole Administrator, Augustine Nkechika who told the Senators that though the company had been grounded for fourteen years now, yet it has its budget approved every year and the 700 staff are being paid their salaries every month, just as he disclosed that the company occupies 8,000 square metres of land. According to the Senate, the Committee will come up with how the N1.4 billion released to the Company was utilised, on what and how the money was spent despite its zero performance since 2008.
The Arab Africa Trade Bridges (AATB) Program and the Federal Republic of Nigeria formalized a partnership with the signing of the AATB Membership Agreement, officially welcoming Nigeria as the Program’s newest member country. The signing ceremony took place in Abuja on the sidelines of the 5th AATB Board of Governors Meeting, hosted by the Federal Government of Nigeria.
The Membership Agreement was signed by Eng. Adeeb Y. Al Aama, the CEO of the International Islamic Trade Finance Corporation (ITFC) and AATB Program Secretary General, and H.E. Mr. Wale Edun, Minister of Finance and Coordinating Minister of the Economy, Federal Republic of Nigeria. The Agreement will provide a strategic and operational framework to support Nigeria’s efforts in trade competitiveness, promote export diversification, strengthen priority value chains, and advance capacity-building efforts in line with national development priorities. Areas of collaboration will include trade promotion, agribusiness modernization, SME development, businessmen missions, trade facilitation, logistics efficiency, and digital trade readiness.
The Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, called for deeper trade collaboration between African and Arab nations, stressing the importance of value-added Agribusiness and industrial partnerships for regional growth. Speaking in Abuja at the Agribusiness Matchmaking Forum ahead of the AATB Board of Governors Meeting, the Minister said the shifting global economy makes it essential for African and Arab nations to rely more on regional cooperation, investment and shared markets.
He highlighted projections showing Arab-Africa trade could grow by more than US$37 billion in the next three years and urged partners to prioritize value addition rather than raw commodity exports. He noted that Nigeria’s growing industrial base and upcoming National Single Window reforms will support efficiency, investment and private-sector expansion.
“This is a moment to turn opportunity into action”, he said. “By working together, we can build stronger value chains, create jobs and support prosperity across our regions”, Edun emphasized. “As African and Arab nations embark on this journey of deeper trade collaboration, the potential for growth and development is vast. With a shared vision and commitment to value-added partnerships, we can unlock new opportunities, drive economic growth, and create a brighter future for our people.”
Speaking during the event, Eng. Adeeb Y. Al Aama, Chief Executive Officer of ITFC and Secretary General of the AATB Program, stated: “We are pleased to welcome Nigeria to be part of the AATB Program. Nigeria stands as one of Africa’s most dynamic and resilient economies in Africa, with a rapidly expanding private sector and strong potential across agribusiness, energy, manufacturing, and digital industries. Through this Membership Agreement, we look forward to collaborating closely with Nigerian institutions to strengthen value chains, expand regional market access, enhance trade finance and investment opportunities, and support the country’s development priorities.”
The signing of this Agreement underscores AATB’s continued engagement with African countries and its evolving portfolio of programs supporting trade and investment. In recent years, AATB has worked on initiatives across agribusiness, textiles, logistics, digital trade, export readiness under the AfCFTA framework, and other regional initiatives such as the Common African Agro-Parks (CAAPs) Programme.
With Nigeria’s accession, the AATB Program extends it’s presence in the region and adds a key partner working toward advancing trade-led development and fostering inclusive economic growth.
Federal Executive Council (FEC) has approved the 2026–2028 Medium-Term Expenditure Framework (MTEF), a key fiscal document that outlines Nigeria’s revenue expectations, macroeconomic assumptions, and spending priorities for the next three years. The approval followed Wednesday’s FEC meeting presided over by President Bola Tinubu at the State House, Abuja. The Minister of Budget and Economic Planning, Senator Atiku Bagudu made this known after the meeting.
The Minister said the Federal Government is projecting a total revenue inflow of N34.33 trillion in 2026, including N4.98 trillion expected from government-owned enterprises. Bagudu said that the projected revenue is N6.55 trillion lower than earlier estimates, adding that federal allocations are expected to drop by about N9.4 trillion, representing a 16% decline compared to the 2025 budget.
He said that statutory transfers are expected to amount to about N3 trillion within the same fiscal year. On macroeconomic assumptions, FEC adopted an oil production benchmark of 2.6 million barrels per day (mbpd) for 2026, although a more conservative 1.8 mbpd will be used for budgeting purposes. An oil price benchmark of $64 per barrel and an exchange rate of N1,512 per dollar were also approved.
Bagudu said the exchange rate assumption reflects projections tied to economic and political developments ahead of the 2027 general elections. He said the exchange rate assumption took into account the fiscal outlook ahead of the 2027 general elections.
The minister said that all the parameters were based on macroeconomic analysis by the Budget Office and other relevant agencies. Bagudu said FEC also reviewed comments from cabinet members before approving the Medium-Term Fiscal Expenditure Ceiling (MFTEC), which sets expenditure limits. Earlier, the Senate approved the external borrowing plan of $21.5 billion presented by President Tinubu for consideration The loans, according to the Senate, were part of the MTEF and Fiscal Strategy Paper (FSP) for the 2025 budget.
The spot rate on Nigerian Treasury bills has been increased by 146 basis points by the Central Bank of Nigeria (CBN) following tight subscription levels at the main auction on Wednesday. The spot rate on Treasury bills with one-year maturity has now surpassed Nigeria’s 16.05% inflation by 145 basis points following a recent decision to keep the policy rate at 27%.
The Apex Bank came to the primary market with N700 billion Treasury bills offer size across standard tenors, including 91-day, 182-day and 364 day maturities. Details from the auction results showed that demand settled slightly above the total offers as investors began to seek higher returns on naira assets despite disinflation.
Total subscription came in at about N775 billion versus N700 billion offers floated at the main auction. The results showed rising appetite for duration as investors parked about 90% of their bids on Nigerian Treasury bills with 364 days maturity. The CBN opened N100 billion worth of 91 days bills for subscription, but the offer received underwhelming bids totalling N44.17 billion.
The CBN allotted N42.80 billion for the short-term instrument at the spot rate of 15.30%, the same as the previous auction. Total demand for 182 days Nigerian Treasury bills settled at N33.38 billion as against N150 billion that the authority pushed out for subscription. The CBN raised N30.36 billion from 182 days bills allotted to investors at the spot rate of 15.50%, the same as the previous auction.
Investors staked N697.29 billion on N450 billion in 364-day Treasury bills that was offered for subscription. The CBN raised N636.46 billion from the longest tenor at the spot rate of 17.50%, up from 16.04% at the previous auction.
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