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We have enough external reserves to withstand global recession, shocks – FG

Published

4 years ago

January 18, 2023

Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed

The Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed, yesterday admitted that although the projected global economic recession for 2023 appeared inevitable, with about $34 billion in the nation’s foreign reserves, the projected headwinds shouldn’t pose much threat to Nigeria.

The comment by the minister came on same day that the Senate directed her to liaise with the Governor of the Central Bank of Nigeria, Mr. Godwin Emefiele, and submit details of President Muhammadu Buhari’s N23. 7 trillion Ways and Means request, within three days, for scrutiny.

Speaking during an interview with Arise News Channel at the ongoing World Economic Forum (WEF) in Davos, Ahmed, also stated that the government was considering a gradual phasing out of petrol subsidy payments from April, instead of removing it in one fell swoop in June.

Ahmed further posited that she wasn’t feeling ‘betrayed’ by the refusal of President Muhammadu Buhari to remove subsidy payments, having stuck out her neck on the issue for years without much success.

“It is quite likely that there will be a global recession. From the reports we’ve seen from the World Bank and the International Monetary Fund (IMF) and other forecasts, there will be a global recession. How it will affect the globe, of course will be different from sub-region to sub-region. But clearly there’s going to be a decline in growth on a general basis,” she projected.

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She explained that even China was predicted to see a reduction in growth, partly because of the sustained economic impact of the COVID-19 pandemic.

“We have seen the resurgence of COVID-19 in some developed economies, especially China, but also the effect of the Russia Ukraine war that is having a global impact.

“The quantitative easing that is implemented by central banks across the world also contributes to high cost of interest, resulting in high inflation rate, which means people’s spending power is weakened as a result. So there are all indications that there will be a global recession,” she noted.

On the question of how Nigeria intends to weather the coming headwinds and whether Nigeria has enough foreign reserves like it did around 2008, when it had reserves of over $60 billion, Ahmed noted that at $34 billion, it was enough to sustain imports for six months.

“It is true we had higher reserves during the first global recession. Our reserves are now at $34 billion. So that is still a healthy level. It means we’re able to meet at least six months of imports and other expenses into the country.

“It means we can withstand another global shock if we’re able to carry through a coordinated response between the monetary, fiscal as well as trade authorities. We have learned a lot from the experience that we went through during the COVID. And it showed that when we plan as one, we can actually withstand the shocks,” she explained.

According to her, the last recession in Nigeria was short-lived because of the coordinated response, which had not just government, but also private sector contributing to the efforts, including scaling back on some categories of government spending.

She maintained that Buhari has done well in terms of infrastructural growth even as the non-oil sector outperformed the cash cow, crude oil by a wide margin, a testimony to the efforts of the current administration to diversify the economy.

“Well, I will say that if you look at the numbers, the performance of the 2022 budget, you will see that oil and gas sector contribution was about 35 per cent, while the non oil sector had the largest contribution, but not only that, the non-oil sector contribution outperformed the budget by a very large proportion.

“ For example, company income tax outperformed the budget by 158 per cent. So there’s some foundational measures that have been taken that have enabled non-oil sector revenue to grow on a consistent basis and not just by a little bit but quite significantly.

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“And secondly, the oil sector’s contribution that was minimal in 2022 is looking good to pick up in 2023. The measures that the government has taken, a combined effort of security and intelligence agencies work have resulted in improved production from the oil and gas sector.

“And it looks like it will continue as well. Most of the fields that were previously not producing at the levels that they were supposed to produce can now produce at maximum capacity. And also, the oil price of the international market is still at a very reasonably high level.

“And we’re doing a lot to encourage investments in gas so there’ll be new and additional incremental streams that will come also from the gas sector, so we should be able to meet this.

“Then, also we introduced some new excise duties as some taxes, the full effect of which we will see in in 2023,” she said.

But Ahmed admitted that Nigeria must rev up its revenue collection efforts in relation to debt, saying the government had embarked on borrowing to pay petrol subsidy.

“We have to improve on our revenue so that that revenue-to-debt service ratio improves. Again, we have had to borrow to be able to invest in our infrastructure. When this administration started, we had an infrastructure stock of about 22 per cent. We’ve been able to move that to 35 per cent.

“These are investments that are required to grow the economy on a sustainable basis. Also, we’ve been faced with two recessions. And we took expansionary stand to spend our way out of recession, because you cannot just contemplate what will happen,” she posited.

On fuel subsidy removal, the minister said this year, it would be advisable to remove fuel subsidy, rather than waiting for June to withdraw payments which would hurt Nigerians.

“Where there is not enough revenue for government to buy the refined petroleum products, we have had to borrow to buy the petroleum products. So, if we take that out, that’s about N3.25 trillion. That is a significant relief, that we don’t incur any more than that number that we projected for in 2023.

She also pushed back on the question of whether she felt disappointed by the non-removal of subsidy despite all her efforts, stressing that it was a collective decision to retain the payments.

“Betrayed? No, It was a decision that was taken as a collective, recognising the fact that due to the lingering impact of the COVID-19 pandemic, and also heightened inflation, that removal of the first subsidy at that time will have increased more burden on the citizen.

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“The president does not want to contemplate a situation where measures are taken that are further going to burden the citizens. So, the decision was to extend the period from June 2022 to 18 months, beginning from January 2022.

“So in June 2023, we should be able to exit. The good thing is, we hear a consistent message that everybody is saying this thing needs to go. It is not serving the majority of Nigeria’s.

“What will be safer is for the current administration to maybe at the beginning of the second quarter to start removing the fuel subsidy, because it’s more expedient if you remove it gradually, than to wait and move it all in one big swoop.

“So the idea for us in the budget, is that the subsidy costs should not exceed that N3.23 trillion. So whether it’s done completely 100 per cent by June or by July, or whatever, it’s a process,” she said.

Senate Gives Finance Minister, Three Days Ultimatum to Submit N23.7trn Ways and Means Details

Meanwhile, the Senate has directed Ahmed to liaise with Emefiele and submit details of Buhari’s N23. 7 trillion Ways and Means request, within three days, for scrutiny.

Buhari had in December last year’s urged the Senate to approve the Ways and Means restructuring.

The red chamber, upon receiving the Presidential request, had set up an adhoc Committee chaired by the Senate Leader, Ibrahim Gobir, to carry out necessary legislative actions on it.

The panel then sent out invitations to the Finance Minister, the CBN Governor and other heads of federal ministries, departments and agencies that had direct connection with the fiscal document.

However, at the resumption of plenary after the New Year recess on Tuesday, Gobir informed his colleagues that the adhoc panel had not been able to sit because details of the Ways and Means Advances had not been provided by the executive arm of government.

The Chamber therefore ordered the Minister of Finance and the CBN Governor, to within three days, supply required information on the request to the ad hoc panel.

The red chamber warned that in view of presidential and National Assembly elections coming up next month, it would adjourn plenary this week or latest by Tuesday next week for practical participation in campaigns.

Senate’s warning followed request made by Gobir for additional three days .

Gobir who rose through Order 40 of the Senate Standing rules under personal explanation, told the Senate that series of attempts made by the Committee from 28th December, 2022 to Tuesday, 17th January, 2023, to meet the Finance Minister and CBN Governor for the required details proved abortive.

He said: “As a special committee for urgent and thorough assignment, we hit the ground running immediately after composition on 28th of December last year.

“For required details on the N22.7trillion Ways and Means Restructuring, six vital questions were raised, five for the CBN governor and one for the Finance Minister, but their trips abroad, prevented us from asking them the questions.

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“Now that they are around, we request the Senate to give us additional three days for thorough work on the assignment and submission of report,” he said.

Obviously angry with Gobir’s submissions, the President of the Senate Ahmad Lawan, in his response said the Ways and Means request from the president, was a very serious issue that must not be taken with levity by all those concerned .

He said the Senate was ready to approve the request after thorough scrutiny which could only be done if required details were provided by relevant officials from the executive arm of government.

Lawan said, “We must have necessary information for passage of the N22.7 trillion request and time is not on our side in the Senate now in view of coming general elections.

“If there is need for the Senate to sit up to Friday this week for thorough consideration and passage of the request, it will be done.

“However, the affected officials from the executive must also expedite action on provision of required information as regards documents authorising approval and disbursement of the monies totalling N22.7trillion,” he said.

Meanwhile, the Senate has said it would adjourn plenary next week to enable lawmakers to embark on rigorous campaigns in their various constituencies in preparation for the forthcoming National Assembly elections.

The Senate President stated this during plenary in Abuja.

He said the break would enable lawmakers contesting for various offices during the 2023 general election to interact with their constituents and canvass for their votes.

He, however, said the Senate may possibly close this week if it was able to deal with urgent issues requiring its attention so that it would not have to sit next week.

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Related Topics:external reserves Featured FG global recession

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ISWAP Overruns Rival JAS Enclave In Borno Following ₦40m Cash Theft

Published

1 hour ago

August 7, 2026

Trends Admin

ISWAP Overruns Rival JAS Enclave In Borno Following ₦40m Cash Theft

Fighters of the Islamic State West Africa Province (ISWAP) have reportedly overrun a major stronghold belonging to the rival Jama’atu Ahlis Sunna Lidda’awati wal-Jihad (JAS) , commonly known as Boko Haram, in Gazwa, Bama Local Government Area of Borno State . The fierce confrontation, which has intensified the long-standing rivalry between the two extremist groups, was reportedly triggered by the alleged theft of approximately ₦40 million from ISWAP logisticians operating along the Gazwa-Kwaltafarji axis . The details of this latest escalation emerged from the debriefing of recently surrendered JAS fighters, who provided intelligence on the intense competition and hostility between the factions . According to these sources, a JAS commander identified as Munzir orchestrated an ambush on ISWAP operatives transporting cash and supplies, and the attack resulted in the death of one ISWAP operative, while the JAS fighters reportedly seized an AK-pattern rifle along with the substantial sum of money, which they successfully escaped with .

The stolen funds were subsequently handed over to a senior JAS commander based in Gazwa, known as Baafu, and sources indicate that Baafu transferred the money to another high-ranking commander, Ali Ngulde, who is believed to be operating from the Mandara Mountains region . From there, the funds were distributed among the JAS commanders and fighters according to the group’s standard revenue-sharing arrangement, and military intelligence reportedly indicated that ISWAP viewed the incident as more than a robbery, considering it a direct challenge to its authority and a threat to its critical logistics network in the region . Approximately ten days after the initial ambush, ISWAP mobilised a significant force from their strongholds in Yuwe, the Sambisa Forest, and Zangeri, and in a coordinated dawn assault, they launched a fierce attack on JAS positions within the Gazwa enclave . The battle raged for several hours, with JAS fighters putting up initial resistance, but the arrival of ISWAP reinforcements from the Sambisa Forest ultimately overwhelmed the defenders, forcing the JAS fighters to abandon one of their key positions in the Bama axis . The successful overrunning of the camp allowed ISWAP to establish temporary control over the Gazwa camp, though intelligence sources note that ISWAP remains cautious and could withdraw if the displaced JAS faction mounts a major retaliatory offensive .

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This latest confrontation is part of a broader series of intense clashes between ISWAP and JAS, as the rival factions compete fiercely for territorial control, valuable resources, and influence across the North-East region . The internal discord appears to be escalating, as evidenced by an earlier attack days prior, where ISWAP fighters reportedly ambushed a JAS faction around Bula Murge in the Gargash area, also in Bama Local Government Area, and that attack reportedly resulted in the deaths of several senior JAS commanders, including Abu Ubaida, Modu Kori, Alhaji Modu, Mure, Zarkawi, Sheriff, and Modu Maye . The clash also led to the destruction of JAS camps at Bula Murge and Nguro Bafuye, forcing surviving fighters to relocate their families towards Bula Daloye . The rivalry between the two factions dates back to 2016, when ISWAP broke away from the Abubakar Shekau-led Boko Haram movement over ideological and leadership disagreements, and since then, both groups have engaged in repeated battles over territorial control, taxation routes, recruitment of fighters, and strategic hideouts across the Lake Chad Basin and the Sambisa Forest . The rivalry intensified in May 2021 when ISWAP launched a major offensive that cornered Shekau, who reportedly died after detonating an explosive device rather than surrendering .

Military sources cited in the reports suggest that this ongoing rivalry could further expose weaknesses within the ranks of both groups, creating potential opportunities for security forces to disrupt their operations . The renewed infighting comes amid sustained military operations and airstrikes against insurgent groups in the North-East, which have reportedly weakened their logistics, operational capabilities and freedom of movement . Security sources said the rivalry presents an opportunity for the military to intensify coordinated land and air operations aimed at preventing either faction from regrouping or consolidating new positions in the Sambisa Forest and Mandara Mountains . Intelligence gathering is reportedly continuing to track the movements of both factions and prevent either group from regrouping or establishing new operational bases . The situation remains dynamic, with both factions seeking to consolidate their positions and recover from their recent losses as security forces continue to monitor developments across the North-East .

ISWAP Overruns Rival JAS Enclave In Borno Following ₦40m Cash Theft

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Customs Intercepts 140 Pump-Action Rifles, Cannabis-Infused Products Worth ₦373.8 Million at Tin Can Port

Published

11 hours ago

August 7, 2026

Trends Admin

Comptroller General of the Nigeria Customs Service, Mr. Adewale Adeniyi displaying some of seized pump action at the Tin-Can Island Port in Lagos

Customs Intercepts 140 Pump-Action Rifles, Cannabis-Infused Products Worth ₦373.8 Million at Tin Can Port

The Nigeria Customs Service (NCS) has recorded another major breakthrough in its anti-smuggling campaign with the interception of a container carrying concealed parts of pump-action rifles and the seizure of illicit cannabis-infused products valued at ₦373.8 million at the Tincan Island Port Command. Two suspects are currently in custody assisting investigators, while the principal importer of the firearms remains at large and is being actively tracked by security agencies. Addressing journalists during a press briefing on Thursday, the Comptroller-General of Customs, Adewale Adeniyi, described the seizures as a significant victory against transnational criminal networks exploiting Nigeria’s seaports to smuggle prohibited weapons and dangerous narcotics into the country. He warned that the intercepted items pose serious threats to national security and public health, reaffirming the Service’s commitment to preventing Nigeria’s ports from becoming safe havens for illicit trade.

According to Adeniyi, the operation followed intelligence-driven surveillance after Container No. TEMU 184536/9, which arrived aboard MV VELIKA on July 8, 2026, was flagged by the Service’s risk management system for enhanced scrutiny. Acting on credible intelligence, officers of the command placed the container under surveillance and subjected it to a detailed physical examination at the Customs Enforcement Station. A comprehensive physical examination uncovered concealed crates containing knocked-down components preliminarily identified as JoJeff pump-action rifles. As of the time of the briefing, Customs officials had reassembled 140 double-barrel pump-action rifles from the recovered parts, with counting and assembly of remaining components still ongoing. The recovered components are currently undergoing detailed technical examination and inventory to determine their exact quantity and configuration, which will inform the full charges to be filed against the suspects.

Investigations following the interception led to the arrest of a key suspect on July 31, 2026, at the Migfo Bonded Terminal while the individual was allegedly attempting to facilitate the release of the container. Customs disclosed that documentary evidence, financial records, and telecommunications analysis established links between the suspect and the named consignee on the shipping documents. Among the evidence cited was a ₦10,000 payment traced to a company account directly linked to the consignee of the container on the day of the arrest, providing a crucial forensic link between the suspect and the illegal shipment. The Service confirmed that two suspects are currently in custody assisting investigators with their inquiries, while another principal suspect remains at large and is being actively pursued by security agencies across multiple jurisdictions.

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In a separate enforcement operation conducted concurrently, Customs officers intercepted two 40-foot containers loaded with cannabis-infused products cleverly concealed alongside legitimate imports, including two used vehicles, two used pumping generators, rolls of blue polypropylene spunbond fabric, new tubular batteries, and thunder arrester cables. The sophisticated concealment method demonstrated the lengths to which international trafficking syndicates are willing to go to evade detection. The seizures comprised 109 cartons of Delta-8 cannabis-infused pre-roll cookies containing 8,720 pieces (17.44kg) valued at ₦308.7 million, 125 cartons of Delta-8 cannabis-infused gummies comprising 740 packs (515.2kg) valued at ₦40.7 million, and 73 cartons of cannabis-infused cookies containing 442 packs (309.4kg) valued at ₦24.3 million. The total estimated street value of the seized illicit substances stands at ₦373,802,640, representing one of the largest seizures of cannabis-infused products by the Service in recent years.

The Comptroller-General noted that the interceptions highlight the increasing sophistication of international criminal syndicates using legitimate trade channels to traffic prohibited weapons and narcotic substances. He added that the successful operations reaffirm the effectiveness of the Service’s intelligence-driven enforcement strategy, advanced risk profiling mechanisms, and strong collaboration with sister security agencies, particularly the National Drug Law Enforcement Agency (NDLEA). Adeniyi warned that the cannabis-infused products were attractively packaged with flavours such as citrus, vanilla, pine, and peach pie to resemble ordinary snacks, making them particularly appealing to children, students, and other young people. He cautioned that unsuspecting consumers could unknowingly ingest the products because of their deceptive packaging, highlighting a growing public health crisis that extends beyond traditional drug enforcement concerns.

Receiving the seized items, the Commander of Narcotics at the NDLEA TinCan Strategic Command, Augustine Adewunmi, described cannabis-infused cookies, gummies, and smoothies as an emerging threat to public safety. He warned that the products, imported from the United States, were packaged as vegan snacks to deceive unsuspecting consumers and were designed to appeal to children, students, and club users, significantly increasing the risk of accidental drug consumption among vulnerable populations. He reaffirmed the Service’s determination to identify, apprehend, and prosecute all individuals connected to the criminal networks, declaring that “Nigeria’s ports will never be safe havens for the trafficking of illicit weapons, narcotics, or other prohibited goods.”

The Customs boss commended officers and men of the Tincan Island Port Command and the Customs Enforcement Unit for their vigilance, professionalism, and dedication, while also appreciating the support of partner security and law enforcement agencies, including the NDLEA. He assured Nigerians that the Service remains committed to securing the nation’s borders, facilitating legitimate trade, and preventing the importation of prohibited goods, urging members of the public to continue providing credible intelligence to support the fight against smuggling and organised transnational crime. The Nigeria Customs Service stated that investigations are ongoing and pledged to keep the public informed as prosecutions commence. Adeniyi further disclosed that the Service is working closely with international law enforcement partners to track the financial networks behind the illegal shipments, with a view to dismantling the entire criminal enterprise rather than merely intercepting individual consignments.

Customs Intercepts 140 Pump-Action Rifles, Cannabis-Infused Products Worth ₦373.8 Million at Tin Can Port

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Troops Arrest Fulani Youth Leader Over Deadly Kaduna Community Attack

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11 hours ago

August 7, 2026

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Troops Arrest Fulani Youth Leader Over Deadly Kaduna Community Attack

Troops of Sector 7 under Operation Enduring Peace have arrested a Fulani youth leader, Zakari Yahu Adamu, in connection with the recent terrorist attack on Naridon Community in Kauru Local Government Area of Kaduna State that left over 30 people dead. Security analyst Zagazola Makama confirmed on his X (formerly Twitter) account that Adamu was apprehended on Wednesday at Fadan Chanwe following intelligence-led investigations into the incident. The suspect, who serves as a Fulani youth leader in the area, is currently in military custody as investigators work to determine the extent of his involvement and identify other individuals connected to the attack. The arrest comes nearly two weeks after the deadly assault on Naridon Community, which occurred late Sunday, July 26, 2026, when unidentified gunmen invaded the remote village around 11:00 p.m., opening fire on residents and setting houses and shops ablaze.

Local sources confirmed that more than 30 people, including children, women, and the elderly, were killed in the attack. In one heartbreaking case, five siblings from the same family—Deborah Emmanuel, Friday Emmanuel, Yusuf Emmanuel, Yunana Emmanuel, and Irimiya Emmanuel—lost their lives while their parents escaped. Dogon Rana, secretary to the village head, reported that the gunmen surrounded the remote community and attacked indiscriminately, with the assault lasting approximately three hours. A resident, Barnabas Musa, told AFP that at least 30 dead bodies were gathered, including women and children. Community leader Yunusa Babados recounted that attackers broke into family homes, with one household losing six children. The attackers reportedly told the parents: “We will spare you and kill all your children.”

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The Naridon community shares a border with Plateau State, an area that has experienced recurring herder-farmer clashes and communal tensions for years. Former Chairman of Kauru LGA, Musa Waziri, confirmed that the area has faced repeated security challenges, though he cautioned against drawing premature conclusions about the incident’s cause. Residents noted that security forces arrived after the attackers had already departed, highlighting longstanding concerns about response times in rural communities. Naridon reportedly lacks a motorable access road, making it difficult for security personnel and emergency responders to reach the area promptly. The Southern Kaduna Peoples Union (SOKAPU) condemned the attack and called on the Kaduna State Police Command to strengthen security across vulnerable communities. Amnesty International also condemned the killings, describing it as one of the deadliest recent assaults on communities in Southern Kaduna, and urged authorities to ensure accountability and improve civilian protection.

Kaduna State Governor Uba Sani condemned the killings and extended condolences to the affected families. He directed the Kaduna State Emergency Management Agency (KADSEMA) to provide immediate humanitarian assistance to survivors. The Commissioner for Information, Ahmed Maiyaki, stated that the government received news of the attack with “deep sorrow” and has directed security agencies to intensify operations to apprehend the perpetrators and bring them to justice. The government also announced plans to strengthen security cooperation with Plateau State, traditional institutions, and security agencies along the border.

The arrest of Zakari Yahu Adamu is part of sustained intelligence-led operations by Operation Enduring Peace aimed at tracking down those responsible for violent attacks and dismantling criminal networks operating in Kaduna State. Security sources confirmed that Adamu was apprehended at approximately 4:00 p.m. on August 6 at Fadan Chanwe in Kauru LGA. His arrest follows a separate operation by troops of Sector 3 of Operation Enduring Peace, which resulted in the detention of another suspect, Salihu Miakailu, 48, in Bassa LGA of Plateau State on August 3. Investigations are continuing to determine the full scope of involvement and identify other individuals linked to the Naridon attack. Security authorities have indicated that they would sustain offensive and intelligence operations to improve security and prevent further attacks across affected communities in Kaduna State.