Economy
Senate unearths N4.5bn Police Barack project hidden in NDLEA 2022 Budget
Senate has rejected the report of its Committee on Drugs and Narcotics when it uncovered the document that illegally contains N4.5 billion meant for the construction of Police barracks in the 2022 budget for National Drug Law Enforcement Agency, NDLEA. Presenting the report to the Committee on Appropriations, the Chairman of the Senate Committee on Drugs and Narcotic, Senator Hezekiah Dimka, said that his Committee uncovered the anomaly in the course of scrutinising the budget document presented to it by the Ministry of Finance and quickly raised the alarm. Consequently, the Senator Barau Jibrin, led Committee on Appropriation turned down the report on the budget for NDLEA and asked the Committee to go and correct the padded N4.5billion.
The N4.5 billion padding in the budget for NDLEA came after the Senate Committee on Environment chaired by former Deputy President of the Senate, Senator Ike Ekweremadu discovered how a whopping sum of N16 was inserted in the proposed 2022 Appropriation Bill for the repayment of the Nigeria Erosion and Watershed Management Project, NEWMAP. Meanwhile, Ekweremadu has said why the Committee questioned N16B erosion management loan repayment, saying that the Senate Committee on Environment identified and questioned the N16 billion proposed in the 2022 Appropriation Bill for the repayment of the Nigeria Erosion and Watershed Management Project, NEWMAP, as the loan was still covered by a 10-year moratorium expiring in 2023. According to Ekweremadu, the loan ought to be serviced by various state governments, which utilised them, not the Federal Government, just as he said that if for any reason the Federal government wants to repay the loan, such should be provided for in the service-wide vote, not in the budgets of Ministries, Departments, and Agencies, MDAs.
The former Deputy President of the Senate said, “As I said, there was N6 billion in the Environment budget for the servicing of a multilateral loan regarding erosion control, a project called NEWMAP.mIn a statement yesterday by his Media Adviser, Uche Anichukwu, Ekweremadu said, “Regrettably, about N1.5 billion of it was released to Environment and later the Ministry of Finance wrote, saying it was a mistake, that it was supposed to be part of service-wide vote for the serving of loans. That money was taken back to the Ministry of Finance. “Surprisingly, in the 2022 Appropriation Bill, there is a N16 billion allocation for the same reason in the Ministry of Environment. There is a directive from the leadership of the National Assembly that Committees should not tamper with monies provided for multilateral loans. But we in the Committee on Environment decided to find out what this N16 billion is all about, especially with our experience with the N6 billion of last year. So, we invited the Ministry to throw more light on the N16 provision for NEWMAP loan repayment. They now stated that the N16 billion was not in the Ministry’s envelope when they received the envelope. They only saw the N16 billion when the Appropriation Bill was submitted to the National Assembly.
“We also found out that the loan for NEWMAP has a 10-year moratorium, which ends in 2023. So, there was no need for any provision for it at this time. We equally found out that about 21 states are beneficiaries of the NEWMAP project and it is their responsibility to repay the loan, not the Federal Government. And importantly, if there is any reason for the Federal Government to repay, that should be in the service-wide votes, not in the respective budgets of the MDAs. It is wrong and untidy.” On efforts to tackle desertification, erosion, and climate change, Ekweremadu said that the Great Green Wall, and agency under the Ministry of Environment and the Forest Institute, Ibadan, were dealing with the issue through massive tree-planting programmes. He said, “We have the Great Green Wall that carters for the planting of trees in the 11 states of the North where we have issues of desertification. There are also monies from multilateral agencies. But there is also the Forest Institute in Ibadan helping to plant trees as well to deal with the issue of climate change. Remember that we still have gully erosion and coastal erosion in South. So, the Forest Institute is expected to be dealing with those. That means that trees are being planted across the country by these agencies in response to these environmental challenges.
“The bulk of the fight against desertification is coming from the Great Green Wall, which is an agency of the Federal Ministry of Environment. So, they have enough money. But this money is completely outside the budgetary provisions. Some of it comes from the Federal Government directly, that is mainly from the 3 per cent Ecological Fund. Therefore, between the Forest Institute and the Great Green Wall, they are doing well in tree planting. The states that are benefitting from the Great Green Wall activities are all in the North. Those are the states around the desert, namely, Jigawa, Sokoto, Borno, Kano, etc.” On international conventions on climate change, Ekweremadu, who is also a member of the Paris-based Climate Parliament said: “We are now more determined to ensure that we roll back the issues of climate change. We have submitted our nationally determined contribution, which are things we need to do to ensure that we are able to meet up the requirement of the Paris Agreement on carbon emission. Besides, Nigeria has also launched its own energy transition programme, to move from the usual fossil energy to the green energy. Tragically, even though Africa is the continent most affected by emission, we are the one that emits the lowest. However, with the Green Grid Initiative, which was launched at COP26 in Glasgow, Africa will contribute using the enormous sunlight and then we will also benefit more because we are going to have sufficient energy to power the various countries. So, the issue of energy sufficiency would be settled in Africa with this Initiative”.
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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