BUHARI ADMINISTRATION 3RD YEAR REPORT/FACTSHEET
(MAY 2018)
ECONOMY
Economic growth is back, and consolidating:
• The Economy is back on the path of growth, after the
recession of 2016-17 (1.95 percent growth in Q1 2018)
• The Buhari Administration’s priority Sectors of Agriculture
and Solid Minerals maintained consistent growth throughout
the recession.
• Inflation has fallen for the fifteenth (15th) consecutive month,
from 18.7 percent in January 2017 to 12.5 percent as of April
2018.
• External Reserves of US$47.5 billion are the highest in 5
years, and double the size as of October 2016.
• Total exports in 2017 were 59.47% higher than for 2016
• In 2017, agriculture exports grew 180.7% above the value in
2016
• In 2017, raw material exports grew 154.2% above the value
in 2016
• In 2017, solid minerals exports grew 565% above the value
in 2016
• In 2017, exports of manufactured goods grew 26.8% above
the value in 2016
• The first quarter of 2018 saw the fourth consecutive quarterly
increase in capital importation since Q2 2017. The total
value of capital imported in the quarter stood at US$6.3
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billion, which is a year-on-year increase of 594.03%, and a
17.11% growth over the figure reported in the previous
quarter.
• The new FX Window introduced by the CBN in April 2017
now sees an average of US$1 billion in weekly turnover, and
has attracted about US$25 billion in inflows in its first year
(and a total turnover of $47.14 billion) – signaling rising
investor confidence in Nigeria.
• Nigeria’s Stock Market ended 2017 as one of the bestperforming
in the world, with returns in excess of 40 percent.
• Five (5) million new taxpayers added to the Tax Base since
2016, as part of efforts to diversify Government revenues.
• Tax Revenue increased to N1.17 Trillion in Q1 2018, a 51%
increase on the Q1 2017 figure.
• N2.7 Trillion spent on Infrastructure in 2016 and 2017 fiscal
years, an unprecedented allocation in Nigeria’s recent
history.
• Fourteen (14) moribund Blending Plants revitalized so far
under the Presidential Fertilizer Initiative (PFI); with a total
capacity of 2.3 million MT of NPK fertilizer
• The contribution of Solid Minerals’ to the Federation Account
rose five-fold from N700 million in 2015 to N3.5 billion in
2017.
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RESETTING THE ECONOMY, RESTORING GROWTH
The Economic Recovery and Growth Plan (ERGP), the Federal
Government’s medium-term Economic Plan, was launched by
President Buhari in April 2017. It charts a course for the Nigerian
economy over the next four years (2017–2020). The Vision of the
ERGP is to restore economic growth, invest in Nigerians, and to
build a globally competitive economy, and the Plan aims to
achieve these by focusing on five execution priorities:
• Stabilizing the macroeconomic environment;
• Achieving Agriculture and Food Security;
• Ensuring energy efficiency (especially in power and
petroleum products);
• Improving transportation infrastructure; and
• Driving industrialization, primarily through SMEs.
To fast-track the implementation of the ERGP, the Federal
Government launched the ERGP Focus Labs, as a targeted 6-
week intervention (March to April 2018) bringing together all
stakeholders to identify bureaucratic bottlenecks impacting
medium-scale and large-scale investment projects in Nigeria, and
then generate ideas and resources to resolve them.
The just-concluded Phase 1 of the ERGP Focus Labs identified
private-sector projects worth about US$22.5 billion – and with a
potential for 500,000 jobs (in Agriculture, Transportation,
Manufacturing and Processing, Power and Gas) – for unlocking
by 2020.
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Aligning of Monetary, Fiscal and Trade Policies:
Landmark initiatives here include:
• The creation in April 2017 of a New FX Window for Investors
and Exporters has helped stabilize the market. The new
Window has attracted inflows of more than US$45 billion in
its first year of operation.
• The Buhari Administration has implemented a new Debt
Management Strategy which targets a ratio of 60% to 40%
between Domestic and External Debt. The other objectives
of the strategy are to moderate growth in Debt Service
Costs, free up space in the domestic market so that the
private sector can have increased access to loans, and, to
shore up External Reserves.
• The strategy has been implemented through increased
external capital raising to part finance the deficits in the 2017
and 2018 Budgets and the refinancing of short term high
cost Nigerian Treasury Bills (interest rate of 16-18%) with
lower cost External Debt (of 6.5% to 7.875%.)
• Through the implementation of the strategy the Domestic to
External Debt Ratio which stood at 84% to 16% as at June
30, 2015 improved to 73% to 27% as at December 31, 2017.
Also, interest rates on FGN Bonds and NTBs have dropped
from their previous levels of 16-18% to 13-14% per annum.
• Establishment of the Nigerian Office for Trade Negotiations
by the Economic Management Team (EMT). The NOTN has
produced Nigeria’s first Annual National Trade Report, and
is now compiling, for the first time in Nigeria’s history, a
comprehensive database of Nigerian Trade Deals and
Agreements.
• The Renminbi-Naira Swap Agreement between the Peoples
Bank of China and the Central Bank of Nigeria.
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Bond Issuance in the International Capital Market
• In 2017, the Federal Government successfully issued US$4.5
billion Eurobonds in the International Capital Market (ICM),
US$4 billion was for the part financing of the deficits in the
2017 Budget (US$1.5 billion) and 2018 (US$2.5 billion).
• The Eurobonds were not only highly oversubscribed, but
Nigeria was able, for the first time to issue a tenor of 30 years.
The significance of the US$1.5 billion Eurobond issued in
November 2017 for 30 years is that Nigeria became the
second country in Africa (after South Africa) to issue a tenor
that long. In addition, the 30-year tenor was also ideal for
financing capital projects which are long-term in nature.
• The balance of US$500 million was used to redeem NTBs
which matured in December 2017.
• Also for the first time, Nigeria issued a Diaspora Bond in the
ICM. The Diaspora Bond was US$300 million with a tenor of
5-years. The proceeds were used to part–finance the 2017
Budget.
New Securities issued in the Domestic Market
• Under President Buhari’s administration, the Federal
Government introduced 3 new products in the domestic
market to promote financial inclusion, finance specific capital
projects and offer local investors more products to enable
them diversify their investment portfolio.
• These were N100 billion Sukuk to finance 25 Road Projects
across the country, N10.69 billion debut Green Bond to fund
infrastructure projects that tackle climate change and the FGN
Savings Bond.
• A total of N8.126 billion from 11,366 retail investors has been
raised through the Savings Bond since it was launched in
March 2017.
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Awards from External Institutions
• The Government of Nigeria received multiple awards from
reputable international bodies from its capital raising activities.
Nigeria won three awards from EMEA Finance and one award
from Global Capital.
• These are: Best Sovereign Bond in Africa (Nigeria’s US$3
billion Dual-Tranche 10 and 30 year Eurobonds issued in
November 2017); Most Innovative Bond (Nigeria’s US$300
million Diaspora Bond issued in June 2017); Best Naira Bond
(Nigeria’s N100 billion 7-year Inaugural Sukuk issued in
September 2017); and Global Capital Award (Best African
Borrower).
Payment of Outstanding Pension Arrears & Claims
The Buhari Administration has released the sum of N54 billion to
settle outstanding pension arrears from 2014, 2015 and 2016, as
well as clear pensions claims up to March 2017.
Support to State Governments:
• The Buhari Administration has extended more than N1.9
Trillion to State Governments, to enable them meet their
salary and pension obligations, especially in the face of
dwindling oil revenues over the last two years. The support
has come in the form of the following:
o Budget Support Facility (Total of N606.55 billion
extended to the States as of May 2018; in exchange for
reforms in budgeting, IGR, debt management,
overheads, etc.
o Paris Club Refunds
o Infrastructure Loans
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o Loan Restructuring for Facilities with Commercial Banks:
In 2015, the DMO restructured Commercial Bank loans
with a total value of N575.516 billion for 23 States to
reduce the debt service burden on the states. In
exchange for their loans to State Governments, the
banks were issued 20-year FGN Bonds at a yield of
14.83% per annum. The Restructuring Exercise
benefited the States through:
§ Reduction in the monthly debt service burden of
States from between 55% to 97% for various
States;
§ Interest rate savings for the States ranging from 3%
to 9% per annum;
§ Longer repayment period for the loans now
converted into Bonds; and,
§ Freeing up of needed cash to run the machinery of
Government.
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GROWING WHAT WE EAT
• The Anchor Borrowers Programme (ABP) of the Central
Bank of Nigeria (details below) has made available N82
billion in funding to 350,000 farmers of Rice, Wheat, Maize,
Cotton, Cassava, Poultry, Soy Beans and Groundnut; who
have cultivated about 400,000 hectares of land.
• The ABP has substantially raised local production of rice;
yields have doubled from 2-3 tonnes per hectare in areas;
Nigeria’s paddy production has doubled compared to 2014
levels.
• Between 2016 and 2018, eight new rice mills have come onstream
in Nigeria.
• More than a billion dollars of private sector investments in
the production of Rice, Wheat, Sugar, Poultry, Animal Feed,
Fertilizers, etc, since 2015.
• Nigeria’s milled rice production has increased by about 60
percent, from 2.5 million MT in 2015, to 4 million MT in 2017.
• The Presidential Fertilizer Initiative (which involves a
partnership with the Government of Morocco, for the supply
of phosphate), has resulted in the revitalization of 14
blending plants across the country, with a total installed
capacity in excess of 2 million MT. The benefits include
annual savings of US$200 million in foreign exchange, and
₦60 billion annually in budgetary provisions for Fertilizer
subsidies. The Scheme has also made it possible for
Farmers to purchase Fertilizer at prices up to 30 percent
cheaper than previously available.
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MAKING BUSINESS WORK
Support for Micro, Small and Medium Enterprises: The
Administration has launched a series of funding and capacity
development initiatives designed to support MSMEs:
• The new Development Bank of Nigeria (DBN) has finally
taken off, with initial funding of US$1.3 billion (N396.5
billion); to provide medium and long-term loans to MSMEs.
• Minister of Finance Kemi Adeosun led the Nigerian
delegation that negotiated with the World Bank Group
(WBG), African Development Bank (ADB) and European
Investment Bank (EIB), at the 2016 Annual Meetings of the
World Bank Group and IMF, for the US$1.3 billion take-off
loan.
• The CBN approved the operating license of the Bank in
March 2017, subject to the provision of a minimum capital
requirement of N100 billion and other conditions, which have
since been satisfied.
• As a wholesale bank, the DBN lends wholesale to
microfinance banks, which in turn on-lend medium to longterm
loans to MSMEs. Already, the DBN has a N5 billion line
of credit available to be accessed by MSMEs through its
partner institutions.
• Bank of Industry has disbursed more than N160 billion in
loans since 2016. It has also established a N5 Billion Fund
for Artisanal Miners, as part of the Federal Ministry of Mines
and Solid Minerals Development’s Programme to boost
Mining activities in Nigeria.
• The MSME Clinics, which bring relevant Government
Agencies together with small businesses operating in
various cities across the country, to enable the Agencies
provide direct support to these businesses. The interactions
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allow the Agencies better understand the issues facing small
businesses, and provide a platform for speedy resolution.
Fifteen (15) editions of the MSME Clinic have been held
nationwide since it was launched in 2017.
• The Ease of Doing Business Reform Programme (see
below)
• The Government Enterprise and Empowerment component
(GEEP) of the Social Intervention Programme (SIP)
Ease of Doing Business Reform Successes:
• The work of the Presidential Enabling Business Environment
Council (inaugurated by President Buhari in August 2016)
and the Enabling Business Environment Secretariat (EBES)
resulted in Nigeria moving up 24 places on the World Bank’s
Ease of Doing Business rankings in 2017, and earning a
place on the List of 10 Most Improved Economies.
• The Nigerian Investment Promotion Council (NIPC) has
compiled a comprehensive listing of all investment incentives
in Nigeria, making it easier for existing and potential
investors to have equal access to the information.
• NIPC has also launched an online, multilingual, investors
guide with the kind of basic information about starting a
business, labour laws, taxes, land, etc that investors need to
better understand Nigeria.
• The Buhari Administration has, since 2017, issued three
Executive Orders that positively impact Nigeria’s small
business environment, as follows:
o Executive Order on Improving Efficiency in the
Business Environment
o Executive Order on Promoting Local Procurement by
Government Agencies
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o Executive Order on planning and execution of projects,
promotion of Nigerian content in contracts and science,
engineering and technology
• Some of the specific Ease of Doing Business Reform
achievements are as follows:
o Passage, by the Senate, of the Companies and Allied
Matters (Repeal & Re-enactment) Bill 2018 in May
2018, giving legal backing to some of the reforms
already launched and being implemented by
PEBEC/EBES.
o The new Bill permits the use of electronic signatures for
company registration documents; provides for the
submission of applications for reservation of names
through electronic means; allows for a new form of legal
entity known as Limited Liability Partnerships (LLPs),
and makes it possible for a single person to form a
private company in Nigeria; among other reforms.
o Creation of a National Collateral Registry (NCR). A
NCR or Movable Assets Registry was established by
the Central Bank of Nigeria, in May 2016. In May 2017,
the Senate passed a Bill to give the NCR legal backing.
o A Palletization Policy issued by the Federal Ministry of
Finance, which ensures that goods entering into Nigeria
are properly stacked according to global best practices
for efficient inspection and to discourage the usual rent
seeking that comes with an outdated standard of 100%
physical inspection of goods.
o Automation of business name reservation, submission
of registration documents, payment of registration fees,
generation of Tax Identification Numbers (TIN), and
filing of federal Taxes.
o Implementation of functioning Visa-on-Arrival system
for Business Visitors
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DOING MORE WITH LESS
N1.219 Trillion was released for capital expenditure in the
2016 budget, and N1.476 trillion so far in the 2017 budget,
making a total of N2.7 Trillion (about US$9 billion) in two years.
This investment has enabled the resumption of work on several
stalled projects — road, rail and power projects — across the
country.
Savings:
Even at a time of low oil prices (and by implication low
government revenues):
• Nigeria’s External Reserves have doubled since October
2016, from US$24 billion to US$48 billion.
• The Nigerian Sovereign Investment Authority (NSIA) has
seen inflows of US$1.15 billion under the Buhari
Administration (the first government inflows since the
original US$1 billion which the Fund kicked off with in 2012).
Infrastructure:
• The Buhari Administration has demonstrated a singleminded
commitment to upgrading and developing Nigeria’s
Transport, Power and Health Infrastructure.
• In May 2018, the Federal Government launched the
Presidential Infrastructure Development Fund (PIDF), under
the management of the Nigerian Sovereign Investment
Authority. The PIDF is kicking off with seed funding of
US$1.3 billion.
• Nigeria Sovereign Investment Authority (NSIA) in March
2018 invested US$10m to establish a world-class Cancer
Treatment Center at the Lagos University Teaching Hospital
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(LUTH), and US$5m each in the Aminu Kano University
Teaching Hospital and the Federal Medical Centre,
Umuahia, to establish modern Diagnostic Centres. These
Centers should be completed before the end of 2018.
• In 2014, the Federal Government spent these sums on the
following sectors: Transport (N14 billion), Agriculture &
Water (N34 billion), Power, Works & Housing (N106 billion).
In 2017 those figures jumped to: Transport (N127 billion),
Agriculture & Water (N130 billion), Power, Works & Housing
(N325 billion).
• Road Projects are ongoing across every State of the
country; many of these projects had been abandoned in
recent years because of mounting debts owed by the
Federal Government to contractors.
• The Buhari Administration issued a N100 billion Sukuk Bond
in 2017, Nigeria’s first sovereign Sukuk Bond. Proceeds
from that Bond are funding 25 major road projects across
the six geopolitical zones of Nigeria.
• Upgrade of Nigeria’s 3,500km network narrow-gauge railway
network has commenced, with the signing, in April 2018, of
the interim phase of a concession agreement between the
Government of Nigeria and an International Consortium led
by General Electric (GE). The target of this Interim Phase is
that within the next 12 months, passengers will experience
reduced travel time by rail between Lagos to Kano, and, for
the first time in over a decade, contracted and scheduled
freight rail services will be available.
• Abuja’s Light Rail system has been completed and will go
into operation in 2018. The first line to be launched will
connect the city center with the Airport, with a link to the
Abuja-Kaduna Railway Line.
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• The Buhari Administration successfully completed the
reconstruction of the Abuja Airport runway within the
scheduled six-week period (March – April 2017).
• The following Water Supply Projects and Dam/Irrigation
Projects have been completed by the Buhari Administration:
o Central Ogbia Regional Water Project, in Bayelsa
o Sabke/Dutsi/Mashi Water Supply Project, in Katsina
o Northern Ishan Regional Water Supply Project, serving
Ugboha and Uromi communities of Edo State.
o Kashimbila Dam, Taraba State
o Ogwashi-Uku Dam, Delta State
o Shagari Dam Irrigation Project, Sokoto State
o Rehabilitation of Ojirami Dam Water Supply Project,
Edo State
• More than 70 Ecological Fund projects awarded and
completed by the Buhari Administration, across the six
geopolitical zones of Nigeria (Flood Control, Erosion Control,
Bridges and Dams, Channelization and Desilting, etc)
• In 2017 Nigeria retained her Federal Aviation Administration
(FAA) Category 1 status, after a routine international audit.
• In January 2018, a new Maintenance Repair and Overhaul
facility with the capacity for aircraft C-checks and other
comprehensive levels of maintenance was established in
Lagos. This facility will save Nigeria an estimated $90m
annually.
• The 25 Road Projects being funded by the N100 Billion
Sukuk Bond:
o Construction of Oju/Loko–Oweto bridge over River
Benue to link Loko (Nasarawa state) and Oweto (Benue
state) along route F2384
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o Dualisation of Abuja–Abaji–Lokoja Road section I
(International Airport link road junction–Sheda Village)
o Dualisation of Suleja–Minna Road in Niger State Phase
II (km 40+000-km101+000)
o Dualisation of Abuja–Abaji–Lokoja Road: Section IV
Koton Karfe–Lokoja in Kogi State
o Dualisation of Lokoja-Benin Road: Obajana–Okene in
Kogi State
o Dualisation of Kano–Maiduguri Road linking Kano–
Jigawa–Bauchi–Yobe
o Dualisation of Kano–Maiduguri Road linking Kano–
Jigawa–Bauchi–Yobe–Borno States. Section III (Azare–
Potiskum) in Bauchi
o Dualisation of Kano–Maiduguri Road linking Kano–
Jigawa–Bauchi–Yobe–Borno States. Section IV
(Potiskum–Damaturu road) in Yobe
o Dualisation of Kano–Maiduguri Road linking Kano–
Jigawa–Bauchi–Yobe–Borno States. Section V
(Damaturu–Maiduguri)
o Dualisation of Kano–Maiduguri Road linking Kano–
Jigawa–Bauchi–Yobe–Borno States. Section I (Kano–
Wudil–Shuari) in Kano
o Dualisation of Kano–Katsina Road Phase I, Kano Town
at Dawanau roundabout to Katsina border in Kano
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o Construction of Kano Western Bypass as an extension
of dualisation of Kano–Maiduguri Road Section I
o Construction of Kaduna Eastern Bypass
o Rehabilitation of outstanding section of Onitsha–Enugu
Expressway: Amansea–Enugu border
o Rehabilitation of Enugu–Port Harcourt dual-carriage
Section I: Lokpanta–Umuahia in Abia
o Rehabilitation of Enugu–Port Harcourt dual-carriage
Section II Umuahia tower–Aba Township Rail
o Rehabilitation of Enugu–Port Harcourt Road Section III:
Enugu–Lokpanta
o Rehabilitation of Enugu–Port Harcourt Road Section IV:
Aba–Port Harcourt in Rivers
o Dualisation of Yenegwe Road Junction–Kolo–Otuoke–
Bayelsa Palm in Bayelsa
o Dualisation of Lokoja–Benin Road: Obajana Junction–
Benin Section II Phase I: Okene–Auchi, Kogi/Edo
states
o Dualisation of Lokoja–Benin Road: Obajana Junction–
Benin Section III Phase I: Auchi–Ehor in Edo
o Dualisation of Lokoja-Benin Road: Obajana junction–
Benin Section IV Phase I: Ehor–Benin City, Edo state
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o Reconstruction and asphalt overlay of Benin–Ofosu–
Ore–Ajebandele–Shagamu dual-carriage Phase IV
o Reconstruction of outstanding section of sections of
Benin–Ofusu–Ore–Ajebandele–Shagamu dual-carriage
Phase III
o Dualisation of Ibadan–Ilorin Road. Section II: Oyo–
Ogbomosho Road in Oyo
Power Sector:
• More than 2,000MW of additional power generation capacity
by the end of 2018 – some of it via publicly owned plants
(Afam Fast Power, 240MW); others through private sector
investment supported by the Federal Government.
• Launch of the Energizing Economic Programme which is
bringing reliable and efficient power to economic clusters /
markets around the country. Pilot projects currently being
implemented in Aba (Ariaria Market), Lagos (Shomolu
Printing Community, (Sura Shopping Complex), Kano
(Sabon Gari Market) and Akure (Isinkan Market).
• Launch of the N701 billion Payment Assurance
Programme designed to resolve the liquidity challenges in
the Power Sector by guaranteeing payments to Generating
Companies and Gas Suppliers
• Transmission Expansion and Rehabilitation Programme has
resulted in a 50 percent expansion in Grid Capacity since
2015, from 5,000MW to 7,125MW as at December 2017.
• Distribution Expansion Programme (DEP) was approved by
the Federal Executive Council in February 2018 to increase
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distribution capacity in collaboration with the DisCos.
Implementation of the DEP has commenced, with the
issuance, in May 2018, of a call for tenders for the
procurement of distribution substations and electrical
equipment.
• ‘Beyond the Grid’ Programme, a Public-Private Partnership
scheme championed by the Presidency and the Niger Delta
Power Holding Company (NDPHC), successfully deployed
20,000 units of ‘solar home systems’ to power rural
households across 12 States, between July 2017 and April
2018.
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INVESTING IN PEOPLE
The Federal Government has disbursed N42.2 billion in UBE
Matching Grants to 26 States and the FCT, N851.5 million Special
Education Grant to 23 States and private providers of Special
Education, and N2.2 billion Teachers Professional Development
Fund to 33 States and the FCT.
All 4 components of the Social Investment Programme (SIP)
have now taken off.
• The SIP is the largest and most ambitious social safety net
programme in the history of Nigeria, with 140 billion released
and more than 9 million direct beneficiaries so far —
• 200,000 N-Power beneficiaries currently participating and
receiving N30,000 in monthly stipends (another 300,000
new enrolments being processed, to take the number to
500,000 this year)
• Government Enterprise and Empowerment Programme
(GEEP): N15.183 billion in interest-free loans ranging from
N50,000 to N350,000 disbursed to more than 300,000
market women, traders, artisans, farmers across all 36
States of the country and the FCT, under GEEP. (56 percent
of the loans have gone to women).
• In terms of advancing the financial inclusion goals of the
Buhari Administration, GEEP has led to the opening of
349,000 new bank accounts/wallets for beneficiaries and
intending beneficiaries.
• In November 2017, GEEP was chosen as the pilot
programme for the Bill & Melinda Gates Foundation Policy
Innovation Unit in Nigeria.
• Home Grown School Feeding Programme (HGSFP):
Currently a total of 8.2 million pupils in 45,394 public primary
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schools across 24 states: Abia, Anambra, Enugu, Ebonyi
and Imo (South East); Akwa Ibom, Cross River and Delta
(South South); Osun, Oyo, Ondo and Ogun (South West);
Benue, Niger and Plateau (North Central); Kaduna, Katsina,
Kano, and Zamfara (North West); Bauchi, Taraba, Borno,
Gombe and Jigawa (North East).
• Over 80,000 direct jobs have since been created from the
School Feeding Programme; with 87,261 cooks currently
engaged in the 24 participating states. All 36 states of the
Federation and the FCT will eventually benefit from the
Programme.
• The Health aspect of the programme has seen over 3 million
pupils dewormed in 6 states, the deworming programme is a
bi-annual programme aimed at eradicating and reducing the
burden of worms.
• Conditional Cash Transfer (CCT): 297,973 families
benefiting from the CCT Scheme, which pays N5,000
monthly to the poorest and most vulnerable households in
the country.
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NEW VISION FOR THE NIGER DELTA
The Buhari administration’s ‘New Vision for the Niger Delta’ brings
together a robust set of promises, solutions, targets and initiatives
aimed at ensuring that the people of the Niger Delta benefit
maximally from the region’s oil wealth.
The New Vision offers a detailed response to the 16-point
Demand Agenda submitted to President Buhari by the Pan Niger
Delta Forum (PANDEF) in November 2016.
Tangible results of the New Vision so far include:
• Take-off of the Nigerian Maritime University in Okerenkoko,
Delta State. The University was granted approval in January
2018 by the National Universities Commission (NUC) to
commence undergraduate degree programmes effective
2017/18 session, and commenced academic activities on
April 12, 2018.
• President Buhari had last year approved an increase in the
take-off grant allocated to the Maritime University from the
N2 billion earlier announced, to N5 billion. Similarly, in
November 2017, an additional N1 billion was approved by
the President to support essential infrastructure works and
staff recruitment in the University.
• Setting aside of US$170m seed funding for the Ogoni Clean
Up, in an Escrow Account established for that purpose. The
Escrow Agreement Signing Ceremony took place in April
2018.
• Approval by President Buhari of an additional N35 billion for
the 2016 budget of the Presidential Amnesty Programme
• Approval for the establishment of Modular Refineries across
the nine States of the Niger Delta – the first two Refineries
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are already under construction, and will be completed by the
end of 2018.
• Resumption of construction work on abandoned projects
across the Niger Delta, including the all-important East-West
Road.
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ANTI-CORRUPTION & TRANSPARENCY
FISCAL REFORMS; PLUGGING LEAKAGES
New Whistleblowing Policy:
• The new Whistleblowing Policy introduced by the Federal
Ministry of Finance in December 2016 has since then
yielded the following in recoveries (arising directly from
whistleblower tips):
o N13.8 billion from tax evaders (In May 2018, the
Government paid N439.2 million to about 14
whistleblowers who gave specific tips on tax evasion).
o N7.8 billion, US$378million, £27,800 in recoveries from
public officials targeted by whistleblowers.
• The Ministry of Finance has received a total of 8,373
communications on contract inflation, ghost workers, illegal
recruitment and misappropriation of funds, as a result of the
Whistleblower Policy.
• Of this number of communications, 1,231 are specifically
whistleblowing tips.
• The Ministry has undertaken 791 investigations and
completed 534 of those investigations. Ten are presently
under prosecution and four convictions have been secured.
Increased Oversight of MDAs
The National Economic Council (NEC), under the Chairmanship
of Vice President Yemi Osinbajo, approved the audit of key
federal revenue generating agencies, with revealing results: a
total sum of N526 billion and US$21 billion was underpaid to the
Federation Account between 2010 and 2015. NEC has now
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approved the extension of that audit to cover the period until June
2017.
Also, the Buhari Administration is addressing the issue of poor
levels of remittance of operating surpluses by MDAs. From
remitting only N51 million between 2010 and 2016, JAMB went on
to remit N7.8 billion in 2017, and is on course to remit a similar
amount in 2018.
The Presidential Initiative on Continuous Audit (PICA):
• PICA was set up by President Muhammadu Buhari to
strengthen controls over Government finances through a
continuous internal audit process across all Ministries,
Departments and Agencies (MDAs), particularly in respect of
payroll. Through the activities of PICA, 54,000 fraudulent
payroll entries have been identified, with payroll savings of
N200 billion.
Expansion of TSA Coverage:
• On August 7, 2015, President Buhari issued a directive to all
Ministries, Departments and Agencies (MDAs) to close their
accounts with Deposit Money Banks (DMBs) and transfer
their balances to the Central Bank of Nigeria on or before
15th September 2015.
• The TSA system was launched in 2012, but failed to gain
traction until President Buhari’s executive order in August
2015. As of May 2018, the TSA system has been
implemented in 92 percent of all MDAs.
• The TSA allows the managers of the Government’s finances,
including but not limited to the Ministry of Finance and the
Office of the Accountant-General of the Federation, to have,
at any point in time, a comprehensive overview of cash flows
across the entire Government.
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• This decision to fully operationalize the Treasury Single
Account (TSA) system—a public accounting system that
enables the Government to manage its finances (revenues
and payments) using a single/unified account, or series of
linked accounts domiciled at the Central Bank of Nigeria —
has resulted in the consolidation of more than 17,000 bank
accounts previously spread across DMBs in the country, and
in savings of an average of N4 billion monthly in banking
charges.
• The TSA has brought the following benefits:
o Improves transparency and accountability in the
management of all FGN receipts by providing a
consolidated view of Government’s cash flow.
o Blocks the leakages and abuses which hitherto
characterized Public Finance Management in Nigeria.
o Ensures availability of funds for the execution of
government policies, programmes and projects
o Controls aggregate cash flows within fiscal and
monetary limits
o Improves management of domestic borrowing
programme
o Enables investments of idle funds
• The Ministry of Finance continues to fine-tune the system to
improve its efficiency, and has also commenced an audit to
ensure that all funds due to the TSA are remitted into it.
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Deployment of BVN for Payroll and Social Investment
Programmes:
• Considering that personnel costs are the Federal
Government’s largest expenditure line, the Federal
Government has given priority to the deployment of the BVN
for payroll and pension audits. The use of BVN to verify
payroll entries on the Integrated Personnel Payroll
Information System (IPPIS) platform has so far led to the
detection of 54,000 fraudulent payroll entries.
• The Federal Government has also ensured the deployment
of BVN system to serve as the verification basis for
payments to beneficiaries and vendors in the Anchor
Borrowers Programme (ABP), the N-Power Scheme and the
Homegrown School Feeding Programme (HGSFP)
Creation of Asset Tracking and Management Project
• The Federal Ministry of Finance launched the Asset
Tracking and Management Project (ATM Project) in 2016.
By the ATM Project, the Federal Government is, for the first
time, able to locate, identify, assess and evaluate all its
moveable and immoveable assets on a real time basis.
• Also, a Central Asset Register was created and domiciled
in the Ministry for recording the actual quantity, value,
condition and location of all the capital assets belonging to
the Federal Government. These initiatives are in line with the
requirements of the International Public-Sector Reporting
Standard (IPSAS), which has been implemented by the
Ministry of Finance.
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Replacement of old Cash-Based Accounting System with an
Accruals-Based System:
• Cash accounting makes no reference to the liabilities that
the Federal Government may be required to meet in the
future nor does it recognise the benefits that will be obtained
from assets purchased over a period of time.
• The cash accounting system fails to capture information on
public sector assets and liabilities which may present the
illusion of positive financial results in the short term, at the
expense of longer-term fiscal stability and sustainability.
• Accruals-based accounting, on the other hand, presents the
true financial position of the Federal Governments assets
and liabilities, which would help the Government plan future
funding requirements for asset maintenance and
replacement, and the repayment of existing and contingent
liabilities and, thus, better manage their cash position and
financing requirements.
• It provides comprehensive information on Government’s
current and projected cash flows, leading to better cash
management. For example, the conversion from cash
accounting to accrual accounting led to the discovery of
unrecorded debts owed contractors, oil marketers, exporters,
electricity distribution companies and others.
Enlistment into Open Government Partnership (OGP):
• In May 2016, President Buhari attended and participated in
the International Anti-Corruption Summit organised by the
UK Government. At that Summit he pledged that Nigeria
would join the OGP, an international transparency,
accountability and citizen engagement initiative.
• In July 2016, Nigeria became the 70th country to join the
OGP. Following this, Nigeria constituted an OGP National
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Steering Committee (NSC), which went on to develop a
National Action Plan (2017–2019) that aims to deepen and
mainstream transparency mechanisms and citizens’
engagement in the management of public resources across
all sectors.
• In 2018, Nigeria was elected to lead the OGP, alongside
Argentina, France, and Romania. All four new members of
the OGP Steering Committee will serve for three years
starting on October 1, 2018.
Creation of Efficiency Unit (EU) to spearhead the efficient use
of government resources, and ensure reduction in Recurrent
Expenditure:
• The Efficiency Unit was set up in November 2015, to reduce
wastages, promote efficiency, ensure prudence and add
value for money in all government expenditures.
• The Unit monitors Ministries, Departments and Agencies
(MDAs) of government, identifying and eliminating wasteful
spending, duplication and other inefficiencies, and identifying
best practices in procurement and financial management
• The Efficiency Unit’s efforts have resulted in the following
o The Federal Government has saved N34 billion on
Travel & Transport for 2016 compared to 2015 figures,
and a further N57 billion also on Travel & Transport in
2017 compared to 2016.
o On Office Stationeries & Computer Consumables, the
Government saved N24 billion in 2016 as against the
previous year, and a further N10 billion in 2017
compared to the 2016 Expenditure on the same Line
Item.
o The Efficiency Unit has recommended to the
Accountant General of the Federation the use of Debit
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Cards by government officials for payments instead of
cash, to plug loopholes and improve accountability in
public spending.
Oil and Gas Reforms:
• Since August 2015, NNPC began publishing its performance
monthly (NNPC Monthly Oil & Gas Report) in newspapers
and various new media platforms and most importantly on
the NNPC website to improve transparency and probity.
• The controversial Offshore Processing Arrangement (OPA)
has been cancelled and replaced with a ‘Direct Sales and
Direct Purchase (DSDP)’ scheme with reputable offshore
refineries.
• US$6.8 billion accumulated in Cash Call arrears (as of
December 2015) by the Nigerian National Petroleum
Corporation (NNPC) in its Joint Ventures (JVs) with
International Oil Companies (IOCs) has been negotiated
down to US$5.1 billion, translating into immediate savings of
US$1.7 billion. A long-term repayment plan has been drawn
up for the balance of US$5.1 billion.
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JUSTICE REFORMS
Establishment of Presidential Advisory Committee Against
Corruption (PACAC)
• PACAC was established by President Buhari in August 2015
to, among other things; promote the reform agenda of the
government on the anti-corruption effort, and advise the
present administration in the prosecution of the war against
corruption and the implementation of required reforms in
Nigeria’s criminal justice system. It was the very first
committee the President set up after he was sworn into
office.
• PACAC has empowered Judges and Prosecutors to operate
effectively in carrying out their responsibilities through
Workshops on the new Administration of Criminal Justice
Act, 2015.
• PACAC has:
o Trained both Federal and States Prosecutors on proper
drafting of charges.
o Helped anti-corruption agencies devise clearer
strategies for obtaining forfeiture of assets suspected to
have been acquired fraudulently, mainly from State
Coffers, before prosecuting suspected culprits. Part of
this work has involved painstakingly reviewing existing
Laws (like the Money Laundering Act, 2004, the EFCC
Act, 2004 and the ICPC Act, 2000), to identify and
highlight sections directly conferring powers of forfeiture
on Nigeria’s anticorruption agencies. This advocacy has
led to a significant increase in the use of NonConviction
Based Asset Forfeiture Mechanisms by anticorruption
agencies;
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o Organized workshops for the Management and
Protection of Assets, and recommended the
establishment of a Central Asset Management
Committee – the Presidential Committee on Asset
Recovery (PCAR), headed by Vice President Yemi
Osinbajo, which superintends a dedicated Central Bank
Account that receives all recovered funds, for
coordination and transparency of management and
oversight.
o Produced manuals, protocols and Standard Operating
Procedures to assist ACAs in their work. These include
the Corruption Case Management Manual; the Plea
Bargaining Manual; Sentencing Guidelines in High
Profile Cases; the Framework for the Management of
Recovered Stolen Assets, Asset Recovery Strategy
Document, Corruption Case Management Manual;
Framework for the Management of Recovered Stolen
Assets; etc.
o Drafted a Bill for the establishment of Special Crimes
Court
o Initiated the whistle blower policy of the Federal
Government (see Whistleblower Policy for details)
Domestic Legislation & International Agreements
• The Buhari Government submitted an Executive Bill for the
Mutual Legal Assistance in Criminal Matters between Nigeria
and other foreign countries, to facilitate the identification,
tracing, freezing, restraining, recovery, forfeiture and
confiscation of proceeds, property and other
instrumentalities of crime, in February 2016. In May 2017 the
Senate passed the Bill into Law.
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• Nigeria has signed Agreements and MOUs with various
countries to boost international cooperation for the
investigation, tracking, freezing and return of stolen assets.
New Prison Data Management System:
Pilot Project completed at Kuje Prison, and launched in July 2017
with the installation of a new data management system (the first
of its kind in any prison in Nigeria), as well as Hardware
equipment (computers, server, LAN connectivity, webcams, etc).
National rollout being worked on; deployment will be in 86 Nigeria
Prisons Service (NPS) locations across 16 States.
Sexual and Gender-Based Violence Response Teams
The Presidency has provided technical support to the following
States for the establishment of Sexual and Gender-Based
Violence Response Team (SGBVRT):
FCT: SGBVRT launched February 2017
Kano and Anambra States; February 2018
Delta State; March 2018.
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SECURITY
Northeast
• Revitalization of the Multi-National Joint Task Force
(MNJTF), aimed at combating trans-border crime and the
Boko Haram insurgency.
• El-Kanemi Warriors Football Club returned to their home
base in Maiduguri in April 2016, two years after relocating to
Katsina State because of the insurgency
• Emirs of Askira and Uba returned home in May 2016, two
years after fleeing their Palaces on account of the Boko
Haram insurgency
• Public Secondary Schools resumed in Borno State on
Monday September 26, 2016, after two years of closure
• Maiduguri-Gubio and Maiduguri-Monguno Roads reopened
in December 2016, after being closed for three years.
• Capture of Boko Haram’s operational and spiritual
headquarters, “Camp Zero”, in Sambisa Forest, in December
2016. Following this the Nigerian Army conducted its Small
Arms Championship from 26th to 31st March 2017, a
measure aimed at enabling the Armed forces to dominate
the area, and avoid regrouping by the terrorists.
• Chairman of the Christian Association of Nigeria (CAN)
Borno State Chapter declared the 2017 Easter
Celebrations as the best and safest since 2009.
• Arik Air resumed flights to Maiduguri in May 2017, three
years after suspending operations to the city.
• Nigerian Military reopened Maiduguri-Bama-Banki Road in
March 2018, four years after it was seized by Boko Haram.
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• More than a million displaced persons have returned to their
homes and communities across the Northeast, since 2015.
• More than 16,000 Boko Haram hostages have been freed
from Boko Haram captivity, including 106 of the Chibok Girls
abducted in April 2014, and 105 of the Dapchi Girls
abducted in February 2018.
• Transfer, in 2016, of two AW 101 Helicopters from the
Presidential Air Fleet to the Nigerian Air Force, for
deployment in support of Operation Lafiya Dole in the North
East.
• Also transferred to the Nigerian Air Force: three Airbus
Helicopters H135 and three AS365 Dauphin helicopters,
from the Nigerian National Petroleum Corporation (NNPC)
• Establishment of a Naval Outpost in the Lake Chad Basin.
• Establishment of the 8 Task Force Division in Monguno to
further strengthen military presence in the North East.
North Central
• Deployment of a Joint Military Intervention Force (JMIF),
comprising Regular and Special Forces personnel from the
Army, Air Force and Navy, and working in collaboration with
the Nigeria Police Force, Department of State Security
(DSS), and Nigeria Security and Civil Defense Corps
(NSCDC). The JMIF is commanded by Major General Mutiu
Yekini.
• On Monday 14th May, 2018, Chief of Army Staff, Lt Gen.
Tukur Buratai, flagged-off the Army’s newly-established 2
Battalion Forward Operating Base (FOB) in Kanfanin Doka
Village, Birnin-Gwari, Kaduna State.
• Establishment of a new Area Command and two additional
Divisional Police Headquarters in the Birnin Gwari Local
Government Area of Kaduna State.
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• In May 2018 the JMIF kicked off ‘Operation Whirl Stroke’, to
counter armed herdsmen and militia groups operating in and
around Benue, Nasarawa, Taraba and Zamfara States.
• Establishment by Nigerian Air Force of Quick Response
Wings (QRW) in Benue, Nasarawa and Taraba States, and
deployment of Special Forces to these QRWs.
• The Nigeria Police Force has recently inaugurated a new
Mobile Squadron in Takum, Taraba State.
• At the end of April 2018, the Nigerian Air Force took delivery
of a second batch of 2 brand new Mi-35M helicopter
gunships to boost internal security.
Successful Military Operations across the country:
• Operation Lafiya Dole, and Operation Last Hold, to defeat
Boko Haram, in the Northeast
• Operation Whirl Stroke, operating in Benue, Nasarawa,
Taraba and Zamfara states, to tackle the menace of armed
herdsmen, cattle rustlers, communal militias, kidnappers and
other bandits.
• Exercise Crocodile Smile I (September 2016) and II
(October 2017) to curtail the menace of militant activities in
the Niger Delta:
• Exercise Obangame, a multinational operation aimed at
securing and protecting the Gulf of Guinea.
• Operation Awatse, a joint operation between the Military and
the Police, in South West Nigeria, to flush out militants and
pipeline vandals. Commenced July 2016, and still ongoing.
• Exercise Python Dance I (November 2016) and
II (September 2017) in the South East, to tackle kidnappers
and militant elements.
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MAJOR ARRESTS / CRIME SYNDICATES DISMANTLED
• Arrest in July and August 2015 of 20 Boko Haram terrorists
(including bomb experts) by the DSS in Lagos, Kano,
Plateau, Enugu and Gombe States. Among the arrested
were those responsible for coordinating and executing
suicide attacks in Potiskum, Kano, Zaria and Jos: Usman
Shuaibu (aka Money), Ahmed Mohammed, Adamu
Abdullahi (aka Babpa), Ibrahim Isa, and Muttaqa Yusuf
(aka Mohammed Sani).
• Arrest in April 2016 of Usman Mohammed, aka Khalid AlBarnawi,
leader of the Ansaru terrorist group and one of the
most wanted terrorists in the world, with a US$6m United
States bounty on his head. He’s currently being prosecuted
alongside his accomplices.
• Arrest in March 2017 of Amodu Omale Salifu, leader of an
ISIS affiliate group active in North Central Nigeria, plotting to
bomb foreign embassies.
• Arrest of two suspected Ansaru leaders, Ahmed Momoh
and Al-amin Mohammed Jamin, in April 2017 at Igarra in
Edo State. The two were confirmed associates of Abu
Uwais, a prominent Ansaru kingpin terrorising residents in
Kogi and Edo states.
• In December 2017, the following notorious kidnappers were
killed in Kogi State: Ahmadu Sulaiman (aka Oga), Shumo
Haruna (aka Halilu Aliyu) and Abdullahi Abdulkadir aka
Maijaki. They were responsible for high-profile killings and
kidnappings in/around Ajaokuta.
• Militant, Don Waney, responsible for several murders in
Rivers State, killed by the military in January 2018
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• Badoo ritualists’ gang, dismantled in Lagos State. Kingpin
and herbalist, Fatai Adebayo, was arrested by the Police in
January 2018.
• In January 2018, four suspects notorious for robbing and/or
kidnapping commuters in Kogi State and its environs, were
arrested by the DSS in Otokiti, Adavi LGA of Kogi State:
Mohammed Kabir (aka Master and Nicko), Muhammed
Musa (aka World Best), Audu Emmanuel (aka Sneider)
and Jallo Yunusa.
• On 17th February, 2018, at Irrua, Edo State, DSS operatives
arrested a gang of high profile kidnappers who dominated
the Kogi and Edo corridors: Umar Abubakar (aka Small),
Abubakar Ahmadu (aka Sarkin Yaki), Aliyu Abubakar
(aka Koroko), Aliyu Mohammed (aka Chogo) and
Abubakar Umaru (aka Bokolori).
• Cattle Rustling kingpin, Tsoho Buhari, aka Buharin Daji,
killed in Zamfara State in March 2018. Several members of
his gang have also been killed or arrested by security forces.
(On 14th December, 2017, Umar Abubakar (aka Yellow),
one of his top associates, was shot and killed by DSS in a
gun battle in Adavi LGA, Kogi State.
• Arrest in May 2018 of 56 suspected criminals / kidnappers
/ gunrunners in and around Birnin-Gwari, Kaduna State, by
the Nigeria Police Force
• Major masterminds of the Offa Robbery, in Kwara State,
arrested by the Nigeria Police Force in May 2018.
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DIPLOMACY AND INTERNATIONAL
RELATIONS
Re-establishment of Nigeria’s position and influence in the regional
and global arena. Fragile/broken relations with the United States,
United Kingdom, South Africa, and with neighbouring countries
(Chad, Niger, Cameroon) have been revived and strengthened
since June 2015. The Meeting of the was the first since 2009.
Nigeria’s prominent participation in the London Anti-Corruption
Summit and the Commonwealth Conference on Tackling
Corruption, in May, 2016 in London. Major outcomes of these
events include:
• The signing, in August 2016, of an MoU with the UK
Government on modalities for the return of Nigeria’s stolen
assets in the UK.
• The establishment of a Global Forum for Asset Recovery
(GFAR), hosted by the governments of the US and UK in
December 2017, and focusing on assisting Nigeria and three
other countries to reclaim their stolen assets.
• Nigeria joined the Open Government Partnership (OGP) in
2016 and developed a National Action Plan, which is already
being implemented.
• In 2016 Nigeria signed an Agreement on the identification
and repatriation of Illicit Funds with the United Arab Emirates
during President Buhari’s Visit to that country.
• The Federal Government under President Buhari has
engaged the governments of Switzerland, Jersey Island,
United States, United Arab Emirates, and Liechtenstein
among others, in an effort to ensure the repatriation of
Nigeria’s stolen assets.
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• So far, the Swiss government has repatriated US$322
million in Abacha Loot. The money is currently warehoused
in a Special Account in the CBN, and will be deployed
towards the Federal Government’s Social Investment
Programme.
• The Buhari Administration has mobilized International
Support for the War against Boko Haram, forging strong
partnerships with key countries, including the United States,
the United Kingdom, France and Germany, ECOWAS, the
AU, the UN, and others. After years of stalemate, the United
States has finally agreed to sell weapons to Nigeria, and the
sale of 12 Super Tucano Aircraft by the US Government to
Nigeria has just been finalized.
• Revamp of the Multinational Joint Task Force (MNJTF)
comprising troops from Nigeria and Chad, Niger, Cameroon
and Benin.
• Successful evacuation and repatriation of more than 10,000
Nigerian migrants from Libya, with the support and
partnership of the International Organization for Migration
(IOM).
• Following Nigeria’s successful rallying of OPEC and NonOPEC
members to discuss stabilisation of the global oil
market in Doha and in Algiers, and the successful
negotiation of an exemption from the OPEC production
freeze agreed at the 171st OPEC Ministerial conference in
Vienna in November 2016; oil prices rose to US$55/bbl for
the first time in 16 months. Nigeria has since then continued
to engage fruitfully with OPEC.
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Bilateral Relations:
CHINA:
Billions of dollars in concessional infrastructure funding for critical
road and rail projects. President Buhari’s April 2016 official visit to
China has unlocked billions of dollars in infrastructure funding,
primarily for road and rail projects;
It also yielded a Currency Swap Agreement between the Peoples
Bank of China and the Central Bank of Nigeria.
UNITED STATES (USA)
Renewed cooperation in Security and Anti-Corruption. The US
Government is supplying 12 Super Tucano Aircraft to Nigeria, as
well as repatriating recovered looted monies and assets stashed
in the US.
Nigerian and U.S. militaries collaborated to host, April 2018 in
Abuja, the 2018 African Land Forces Summit, the largest
gathering of African Army chiefs, to discuss cooperation aimed at
improving security on the continent.
UNITED KINGDOM (UK)
Nigeria in 2018 commenced the implementation of Automatic
Exchange of Tax Information (AETI) protocol with the United
Kingdom. This Protocol will provide the Nigerian Government with
data on bank accounts, property and trusts held in the UK by
Nigerian nationals, and will support the Voluntary Assets and
Income Declaration Scheme (VAIDS) by allowing Nigerian tax
authorities to check the accuracy of declarations received
regarding overseas assets and income.
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MOROCCO:
The Presidential Fertilizer Initiative (which involves a
partnership with the Government of Morocco, for the supply of
phosphate, as well as technical assistance), has resulted in the
revitalization of 14 blending plants across Nigeria.
SWITZERLAND:
US$322 million in looted Abacha funds repatriated to Nigeria in
December 2017. The funds are being warehoused in a special
account of the Central Bank of Nigeria, and will be disbursed as
part of the Buhari Administration’s Social Investment Programme
interventions.
UNITED ARAB EMIRATES (UAE):
Nigeria has signed and ratified an Extradition Treaty with the
United Arab Emirates that allows extradition of Nigerians who flee
to the UAE after committing crimes in Nigeria.
eaglepacks 