Business

Subsidy: NNPC to deduct N114bn from June remittance to FAAC

Published

3 years ago

June 28, 2021

The Nigerian National Petroleum Corporation says it will deduct N114.3bn from its June remittance to the Federation Account and Allocation Committee due in July.

In April, the corporation had written the Accountant-General of the Federation, Ahmed Idris, that it would not make any remittance to the FAAC in May.

The NNPC had also deducted N126.2 billion from remittance to FAAC in June.

A report by THISDAY quoted a document obtained from the Ministry of Finance, Budget and Planning that detailed the NNPC’s presentation to the committee, which took place between June 22 and 23.

The corporation said it had continued to bear the burden of the underpriced sales of premium motor spirit (PMS), better known as petrol.

Signed by Bello Abdullahi, on behalf of Umar Isa Ajiya, chief financial officer, the document showed that N50 billion, which is part of the corporation’s financial obligations to its Joint Venture (JV) partners, meant to have been subtracted from the latest round of deductions remains pending.

“The sum of N126,298,457,944.36 was deducted as value shortfall resulting from the difference between the landing cost and ex-coastal price of PMS (petrol) recorded in April 2021,” the document stated.

“In addition, May value shortfall of N114,337,097,352.49 is to be deducted from June federation proceeds in July 2021 FAAC meeting. Also, the balance of March 2021 value shortfall of N50,000,000,000.00 remains outstanding.”

The NNPC remitted a marginal net sum of N29.647 billion to FAAC in May, which was shared in June, as opposed to its zero contribution in April, its N90.860 billion in January, N64.161 billion in February and N41.184 billion in March.

According to the document, the NNPC has been able to contribute a net sum of N225.852 billion to the federation for the year, out of its yearly projected remittance of N1.473 trillion and monthly value addition of N122.7 billion, leaving a variance of N820.684 billion.

Recently, Mele Kyari, group managing director of NNPC, had said that with the current exchange rate, the pump price of petrol should be N256 per litre.

“I know that so much work is going on, and then we have to manage the volume that we are exposed to between this price of N162 and N256. The difference comes back to as much as N140 billion to N150 billion cost to the country monthly,” he had said.

Business

PH refinery: 200 trucks will load petroleum products daily, says Presidency

Published

6 hours ago

November 26, 2024

Trends Admin

Port Harcourt Refinery

PH refinery: 200 trucks will load petroleum products daily, says Presidency

No fewer than 200 trucks are set to load petroleum products at the government-owned Port Harcourt Refinery, the presidency has said.

A presidential spokesperson, Sunday Dare, made this known in a statement through his official X handle on Tuesday.

Newstrends had reported that the Nigerian National Petroleum Company on Tuesday announced that Port Harcourt Refinery has resumed operations and crude oil processing after years of inactivity.

PH refinery: 200 trucks will load petroleum products daily, says Presidency

Business

Breaking: CBN increases interest rate to 27.50%

Published

6 hours ago

November 26, 2024

Trends Admin

Breaking: CBN increases interest rate to 27.50%

The Central Bank of Nigeria (CBN) has raised the lending interest to 27.50 per cent from 27.25 per cent.

This latest increase in the Monetary Policy Rate came after a meeting of the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) on Monday and concluded Tuesday.

The Monetary Policy Rate measures the benchmark interest rate.

The CBN Governor, Yemi Cardoso, announced this in Abuja on Tuesday after the MPC meeting, last for the year, held at the apex bank’s headquarters.

He said the MPC voted unanimously to raise the MPR by 25 basis points from 27.25% to 27.50%; and retain the Cash Reserve Ratio (CRR) at 50% for Deposit Money Banks and 16% for Merchant Banks.

The CBN governor also said the MPC retained the Liquidity Ratio (LR) at 30% and Asymmetric Corridor at +500/-100 basis points around the MPR.

Business

Nigeria’s unemployment rate dropped to 4.3% in Q2 – NBS

Published

11 hours ago

November 26, 2024

Trends Admin

Nigeria’s unemployment rate dropped to 4.3% in Q2 – NBS

Nigeria’s unemployment rate stood at 4.3 per cent in the second quarter of 2024, the National Bureau of Statistics (NBS) has said in its latest report.

The report released on Monday said the unemployment rate decreased compared to the 5.3 per cent recorded in the Q1 of 2024.

The NBS defined the unemployment rate as the share of the labour force (the combination of unemployed and employed people) who are not employed but actively searching and are available for work.

“The unemployment rate for Q2 2024 was 4.3%, showing an increase of 0.1 percentage point compared to the same period last year,” the report stated.

“The unemployment rate among males was 3.4% and 5.1% among females.

“By place of residence, the unemployment rate was 5.2% in urban areas and 2.8% in rural areas. Youth unemployment rate was 6.5% in Q2 2024, showing a decrease from 8.4% in Q1 2024.”

Report also said the unemployment rate among persons with post-secondary education was 4.8 per cent; 8.5 per cent among those with upper secondary education, 5.8 per cent for those with lower secondary education, and 2.8 per cent among those with primary education in Q2 2024.

Employment rate – 76%

The report showed that the employment-to-population ratio, which measures the number of employed workers against the total working-age population, increased to 76.1 per cent in Q2 2024.

“In Q2 2024, 76.1% of Nigeria’s working-age population was employed, up from 73.1% in Q1 2024,” the report stated.

Self-employment – 85.6%

The report further showed that Nigeria’s labour market saw a notable shift as the proportion of self-employed individuals increased in Q2 2024.

It stated, “The proportion of persons in self-employment in Q2 2024 was 85.6%.”