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FEC approves $2.2bn borrowing plan to boost economic growth

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Federal Executive Council, FEC, meeting presided over by President Bola Tinubu at the Presidential Villa, Abuja on Thursday approved a $2.2 billion external borrowing plan to strengthen the country’s finances and support economic reforms.

Minister of Finance and Coordinating Minister of the Economy, Wale Edun, disclosed this to State House Correspondents at the end of the meeting.

He explained that the financing package would be raised through a combination of Eurobonds and Sukuk bonds, with approximately $1.7 billion expected to come from the Eurobond offer and $500 million from Sukuk financing.

He added that the move aimed at completing the federal government’s borrowing programme and would proceed once the National Assembly reviewed and approved the plan.

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According to Edun, the borrowing would occur within this fiscal year, and the ultimate funding arrangement would be decided by market conditions and transaction adviser advice.

He said, “The first objective is to complete the federal government’s external borrowing program with the approval of the $2.2 billion financing package, which will include access to the international capital market through a combination of Eurobonds and Sukuk bonds—approximately $1.7 billion from the Eurobond offer and $500 million from Sukuk financing.

“The actual composition of the financing will be finalized once the National Assembly has considered and approved the borrowing plan. After the external borrowing approval is granted, the funds will be raised as soon as possible within the year.”

The minister said, “The exact combination of instruments will depend on the advice of transaction advisers and market conditions when we decide to enter the market.

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“Earlier in the year, we demonstrated the resilience of the Nigerian financial markets and their capacity to handle more complex and sophisticated offerings, such as the domestic issuance of dollar bonds that attracted investors from both Nigeria and abroad.”

As an indication of increased trust in Nigeria’s economic recovery under President Tinubu’s administration, Edun emphasised the significance of this approval.

He used recent triumphs in issuing domestic dollar bonds that drew in both domestic and foreign investors to demonstrate the Nigerian financial market’s tenacity.

He said that this most recent overseas borrowing was made possible by the government’s economic agenda, which includes market-based pricing for important economic variables like foreign exchange and petroleum goods.

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Police to compensate Adamawa man N5m for illegal detention

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A court in Adamawa State has ordered the Nigeria Police to pay N5 million as compensation to a man detained illegally for five years without trial.

The Adamawa State High Court which sat in Yola on Wednesday, ordered the immediate and unconditional release of the man, Hammadu Musa.

The court, presided over by Justice Benjamin Manji Lawan, declared that the detention of Hammadu Musa from 2019 till date by the state Police Command is unconstitutional.

The court ordered the command to pay the N5 million as compensation to Hammadu and to free him immediately.

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The court held that the detention of Hammadu for over five years without being arraigned before a court of competent jurisdiction is a gross violation of fundamental human right to fair hearing and liberty guaranteed by the constitution.

Details on the case indicate that Hammadu was arrested in 2019 by the vigilante in Song Local Government Area for alleged kidnapping and later handed over to the police in Song.

The case was moved to the state police headquarters in Yola, and the man was later detained at the Jimeta Correctional Centre where he has been since then without due attempt by the police to investigate and charge him in court if necessary.

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2nd Abuja Airport Runway contract revoked over N532bn variation request – Minister

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The Minister of Aviation and AeroSpace Development, Festus Keyamo, SAN, on Wednesday revealed how he rejected an outrageous contract variation of N532 billion from the original sum of N90 billion, for the 2nd runway of Nnamdi Azikiwe International Airport, Abuja.

Keyamo made the disclosure when he appeared before the Joint Senate and House of Representatives Committee on Aviation, saying the Ministry has since revoked the contract to pave the way for fresh bidding.

He said: “After the N3.4 billion post contract consultancy fee paid to the contractor handling the project in May 2023, N90 billion was later paid in the same year for the whole contract out of which N30 billion was released.

“The contractor, after receiving the N30 billion and joining the Federal Capital Territory Administration to compensate some settlers on the affected land, left the site.

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“All efforts made thereafter to get the contractor back to site proved abortive on the grounds of unacceptable contract variation being demanded.

“The contractor in question is demanding a contract variation of N532 billion from the original sum of N90 billion the contract was awarded for.

“To us in the Ministry, the said variation is nothing but fraud, leaving us with no option than to cancel the contract and call for fresh bids.”

Members of the committee asked the minister why the N36 billion owed workers of the defunct Nigeria Airways was not reflected in the Ministry’s 2025 budget for required payment.

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The minister in his response said payment for the N36 billion has been shifted to the Ministry of Finance since the money is not meant for capital projects.

“The affected pensioners would soon get their dues from the Ministry of Finance and not from the Ministry of Aviation and Aerospace Development. I met with leaders of the joint unions on this in November last year and they agreed to an arrangement put on ground”, he said.

He however disagreed with suggestions made by some members of the committee that establishment of Aerospace University across the six geo-political zones should be discontinued since there is one in Zaira, Kaduna State, already.

According to him, as the Nigeria College of Aviation Technology, NCAT, was established in 1964, so also was the Nigeria Law School established in Lagos.

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“While the Nigeria Law School has been decentralized, the Aviation College in Zaria has not properly followed suit, which the Aerospace Universities are aimed at.”

He thereafter presented the 2025 budgetary proposal of the Ministry to the committee which according to him, is N71.13 billion, out of which N69.2 billion is earmarked for capital projects, N1.147 billion for personnel cost and N745.7 million for overhead.

However the joint committee through its Chairman, Senator Abdulfatai Buhari (APC Oyo North), told the minister the budget proposal would be given the needed approval after submission of full details on the state of 124 projects being executed by the Ministry.

“Historical background and current status of all the ongoing projects being executed by the Ministry are needed as requested for by this committee, latest by next week, for approval of the presented budget proposals,” he said.

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President Tinubu Announces Two Crucial Appointments (FULL LIST)

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President Bola Ahmed Tinubu has approved the appointment of Prince Ntufam Hilliard Eta as Chairman of the National Youth Service Corps (NYSC) National Governing Board.

Eta, a seasoned politician and strategist, once served briefly as the acting national chairman of the All Progressives Congress (APC) under the Muhammadu Buhari administration.

He is a former National Vice Chairman (South-South) of the APC and a Director in the party’s 2023 Presidential Campaign Council.

The NYSC National Governing Board, the scheme’s highest policy-making body, is responsible for setting its strategic direction.

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Eta has been a staunch advocate for progressive policies and grassroots mobilization. His leadership is expected to bring innovation, efficiency, and expanded opportunities to Nigerian youths under the NYSC program.

Also, President Bola Ahmed Tinubu has approved the appointment of Gen. Jibril Abdulmalik as the Secretary of the Civil Defence, Immigration, and Prisons Services Board (CDIPB).

A seasoned security strategist, Gen. Abdulmalik brings a wealth of experience to the role, having served in the Nigerian Army and various security agencies.

He also served as the Director of Security in the Tinubu-Shettima Presidential Campaign Council (PCC) during the last election.

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With an extensive background in military intelligence and security operations, experts say Gen. Abdulmalik is well-equipped to oversee policy formulation and operational strategies for Nigeria’s paramilitary agencies.

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