Category: Economy

Pressure on 2025 budget as crude oil price drops to $60 per barrel

Nigeria’s 2025 budget came under further pressure yesterday as the price of Bonny Light crude oil grade dropped to an average of $60 per barrel from $65 per barrel in the international market, yesterday.

The execution of the budget was benchmarked on $75 per barrel and more than two million bpd output including condensate.

Nigeria’s budget is funded largely from crude oil revenue.

In its latest Monthly Oil Report, the Nigerian Upstream Petroleum Regulatory Commission, NUPRC, said Nigeria’s March 2025 oil output, including condensate dropped marginally to 1.6 million bpd from 1.7 million bpd in February, showing more than 300,000 bpd below the budget benchmark.

Checks by Vanguard indicated that the international oil market was negatively impacted due to increased production and export from many nations even as the Organisation of Petroleum Exporting Countries, OPEC, and its allies, popularly known as OPEC+ move to phase-out their voluntary oil output cuts by ramping up output in May with additional 411,000 barrels per day output.

In a telephone interview with Vanguard, yesterday, the Chief Executive officer of Petroleum Price NG, Olatide Jeremiah, said: “We are witnessing a major drop in crude oil prices, expected to affect the implementation of the nation’s budget.

“The downstream has also been impacted. After the holiday, oil marketers would likely reduce depot prices of petroleum products if the situation remains unchanged.”

Chief Executive Officer, CEO, Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, Farouk Ahmed, recently said: “As consumers, we are happy that the price is coming down, but as a nation, it’s not good for our economy because our revenue inflow is also impacted.

“Most importantly, what is even destabilising the market is the inconsistencies in the way President Trump sends his policy signals. He moves today. Tomorrow, he reverses. So, it’s been challenging to predict the next level”.

May 2, 2025
Energy transition: Nigeria needs $410bn as REA backs local solar firm

LAGOS—The Managing Director of Rural Electrification Agency, REA, Engr. Abba Aliyu, has said Nigeria needed approximately $410 billion to achieve a complete energy transition and at least $40 billion to bridge its electricity access gap.

He disclosed this during a facility tour of a solar manufacturing and renewable energy services firm, LPV Technologies in Lagos yesterday.

Aliyu, who also pledged to partner with the company to arrest capital flight on renewable energy in the country, described the company as one of the most efficient factories in Nigeria, while emphasising its strategic importance to the national energy transition plan.

He said: “Nigeria needs approximately $410 billion to achieve a complete energy transition and at least $40 billion to bridge its electricity access gap.

“The country with the greatest potential for distributed renewable energy, Nigeria, only created 70,000 jobs in the sector last year, compared to China’s seven million out of a global 14 million. We must turn our electricity access challenge into a job creation opportunity.”

Commending LPV Technologies’ investments, the REA boss said the company had gone beyond manufacturing by also investing in implementation and talent development.

He stated: “This is in line with President Bola Ahmed Tinubu’s new economic strategy to localise production and enhance the GDP. What LPV is doing is turning a national challenge into a national opportunity.”

In his remarks, the Chairman of LPV Technologies, Mr Nzan Ogbe, emphasised the strategic importance of decentralised energy infrastructure to reduce the cost of power across Nigeria.

He reaffirmed LPV’s commitment to supporting government efforts by building clean energy systems that were easy to deploy, resilient to traditional grid limitations, and adaptable to local contexts.

“The biggest challenge in Africa today is not just corruption but energy security and the immunities around power. That’s what we have settled to address,” Ogbe said.

April 30, 2025
FG indicts employers on abuse of expatriate quota

Not long ago, the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, accused a Lagos-based oil company of employing no fewer than 10,000 expatriates, including security personnel and cooks.

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Though the veracity of these claims has not been ascertained—even at the Ministry of Labour and Employment, where issues such as the unprocedural dismissal of some Nigerian workers to create space for foreign employees were brought forward for adjudication.

However, it highlights the level of expatriate quota abuse in Nigeria.

But, it appears the Federal Government is determined to end the menace with the introduction of a new Expatriate Administration system, spearheaded by the Ministry of Interior under Dr. Olubunmi Tunji-Ojo.

The initiative was unveiled at a sensitisation programme organised by the Nigeria Employers’ Consultative Association, NECA, Lagos.

The engagement drew participants from the business community, NECA members, manufacturers’ associations, and small and medium-scale enterprises, among others.

Monitoring immigrants inflow

Kicking off the engagement, the Director-General of NECA, Adewale-Smatt Oyerinde, commended the Minister for the ongoing reforms and expressed expectations that the Ministry would remain committed to improving the ease of doing business.

He cited progress in areas such as the application and approval of business permits and visa processing.

He emphasised the need for Nigeria to closely monitor the flow of people into and out of the country, noting that the objective was to simplify and enhance the processes while aligning with private sector expectations.

Oyerinde observed that while many Nigerians desire to travel abroad, expatriates continue to flock into the country.

He explained that the aim of the Nigeria Immigration Service (NIS) and the Ministry is to streamline processes through various reforms. He recalled a stakeholders’ meeting held about a month ago, which resulted in the formation of a 10-member committee to review key elements of immigration procedures and expatriate certification.

According to him: “One thing we should all be concerned about—and we must not lose sight of—is homeland security. This is the only country we have.

“Even if Customs or Immigration face challenges manning the country’s extensive borders, we must start somewhere. I believe the Ministry has begun, and they are making steady progress. It is our collective responsibility to support them so they can achieve the necessary milestones.”

Employers’ indictment

Unfolding the new expatriate administration framework, the Minister of Interior, Dr. Tunji-Ojo, indicted several employers for abusing the expatriate quota by bringing in all manner of foreigners under the guise of expatriates to take over jobs meant for Nigerians.

He decried the trend of submitting unreasonable expatriate quota requests and warned that the government would no longer tolerate such behaviour.

The Minister stated that the Ministry would no longer approve requests for expatriates where qualified Nigerians are available, citing one of Nigeria’s largest companies that requested expatriate cooks.

He questioned why employers would request expatriate human resource personnel, waiters, cooks, and other roles that are abundantly available in Nigeria.

The Minister clarified that expatriates should only be brought in when there is no local expertise available.

He also highlighted the abuse of the expatriate quota, where foreigners stay on jobs for 10 to 15 years, noting that even if Nigerians were to be trained, 10 years is more than enough for effective understudy.

“This government will not tolerate any request for unreasonable expatriates. We are creating jobs, but a large chunk of those jobs is not going to our people. We will no longer issue unjustified expatriate quota approvals. Employers will be held responsible for defaults. From the records, fewer than 50,000 expatriates are officially registered or recognised—others are illegal. We can no longer accept this. A report on the status of understudy programs will be required to track progress.”

Sanction commences in August

He warned that beginning August 1, 2025, the government would no longer take violations of expatriate quota regulations lightly and announced that the Ministry would begin a clampdown on irregular migrants.

However, he also introduced an immigration amnesty programme, allowing for a three-month window beginning May 1 for companies and individuals to regularise their documentation.

He reassured stakeholders that the goal was to simplify processes without compromising national security.

The Minister stressed that employers would be held accountable for any breaches, including violations of the expatriate quota, and insisted that non-compliance would no longer be tolerated.

“So, by the 1st of August, there will be a strict clampdown on irregular immigrants. We hope people will take advantage of the three-month grace period to regularise their status and comply with established immigration protocols,” he said.

The Minister also warned that the Federal Government would no longer tolerate companies obstructing the Nigeria Immigration Service (NIS) from performing its duties.

He assured that the fees for obtaining the Combined Expatriate Residence Permit and Alien Card, CERPAC, would not be increased. CERPAC is the official document issued by the NIS, allowing foreign nationals to legally reside and work in Nigeria.

Tunji-Ojo further announced that CERPAC would be integrated with Interpol for easier identification of criminals. “We are introducing e-CERPAC; a virtual copy will be sent to your email, and there will be machine-readable cards that cannot be faked.”

Other reforms listed by the Minister include the introduction of the Temporary Expatriate Resident Permit (TERP), improvements in insurance, landing and exit card systems, and a new e-visa solution.

He emphasised the urgent need to overhaul Nigeria’s immigration system and build one that citizens can be proud of.

Consequently, he directed that an Expatriate Support Desk be established at immigration offices across the country.

April 17, 2025
Tax reform bill’ll curb poverty, empower Nigerians – Presidency

The Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, Taiwo Oyedele, says the Tax Reform Bill will curb poverty and empower ordinary Nigerians.

Oyedele made this known at the Spokespersons’ Summit, organised by the Nigerian Institute of Public Relations (NIPR) in Abuja.

He expressed strong optimism about the sweeping changes the bill would bring, especially for the low-income earners and small businesses across the country.

The chairman said that key highlights of the reform included the exemption of low-income earners from paying the Personal Income Tax (PAYE) and the removal of VAT from basic essentials such as food, education, and healthcare.

Oyedele added that it included a zero per cent Corporate Income Tax (CIT) rate for small businesses, adding that the bill had great benefits, especially for the masses, although it was welcomed with misconceptions and attacks.

He said, “This is because the issues of tax and taxation are not the most attractive to the ordinary person because it is hard to part with your money.

“It is even harder when you part with your money, and you cannot tell what exactly the government is using it for that benefits you.”

Oyedele said the approach for the reform was to try and understand what the issues were and where the problems were coming from.

He added, “Then we will use data to engage with the people and design a solution for Nigeria that is made by Nigerians for the Nigerian people.

“That is exactly what we have done with the tax reform bill which is now nearing passage for the President to sign.”

According to Oyedele, the government is positive that as soon as implementation begins, Nigerians will see the real positive impact on their day-to-day living, including low-income earners being exempted from taxes.

“This is because we want Nigerians to be able to create wealth and become successful. When they make it big time, then they will pay taxes, not the other way round.

“So, we believe that this message is resonating with the Nigerian people. It is still a long way to go, but we are happy to continue with the journey,” he said.

Oyedele commended NIPR for putting the summit together and for discussing issues of government policies for the clearer understanding of Nigerians.

The President and Chairman of Council, NIPR, Dr Ike Neliaku, said the communication ecosystem should always be considered when formulating any government policy.

Neliaku said this was because the communicators have the gift of communicating even the most difficult policies to the people.

He added that they would look at such policies and guide strategic communication, adding, “Which is the when, what, how, and where, which answers all those questions.

“So, when you say this is what we want to do, how best should we do it? it is the work of the experts and not quacks – those trained to come up with the strategies to communicate that.

“The tax reform is what this nation needs at this point, but it was essentially misunderstood because of the way it was introduced, and the mischief-makers took advantage of that to do what they want.”

Neliaku said that was why NIPR and its partners in the communication ecosystem had promised to work with the government to develop a tax communication framework.

He said that it was also being done in the areas of climate action, science communication and across many sectors to communicate reforms so that the child is not killed even before it is birthed.

He encouraged spokespersons to acquire knowledge and understand trends and issues in order to be effective and to speak well and informed.

Dr Nkechi Ali-Balogu, a Fellow of NIPR, said that there was a need to view taxation with the gender lens, adding that there was a need to make exemptions for women.

Ali-Balogun said that most women were breadwinners these days and that single mothers should enjoy tax exemption to empower them to provide for their families.

She commended NIPR for organising the summit, adding that it had broadened her horizon on national issues. (NAN)

April 17, 2025
Naira down to N1,620/$ in parallel market

The naira yesterday depreciated to N1, 620 per dollar in the parallel market from N1,618 per dollar on Tuesday. But, the Naira appreciated to N1,599 per dollar in the Nigerian Foreign Exchange Market (NFEM).

Data published by the Central Bank of Nigeria, CBN, showed that the indicative exchange rate for the naira fell to N1,599 per dollar from N1,604 per dollar on Tuesday, indicating N5 appreciation for the naira.

Consequently, the margin between the parallel market and NFEM rate widened to N21 per dollar from N14 Tuesday.

April 17, 2025
Again, Dangote Refinery reduces petrol price by 3.5% to N835 per litre

In a significant development, Dangote Petroleum Refinery has announced a further reduction in the gantry price of Premium Motor Spirit (PMS), commonly known as petrol.

The new price is set at N835 per litre, down from N865 per litre, marking a 3.5 per cent decrease.
This price adjustment follows the recent decline in global crude oil prices, which have dropped to $64 per barrel from over $70 per barrel in recent weeks.

The refinery had previously reduced its gantry price from N880 to N865 per litre; however, oil marketers did not pass on the savings to consumers.

The Dangote Refinery, with a capacity of 650,000 barrels per day, continues to play a crucial role in Nigeria’s energy landscape.

April 16, 2025
$1 trn economy: Anaba charges banks to prioritise real-sector lending

Editor of Vanguard Newspaper, Eze Anaba, has charged Deposit Money Banks (DMBs) to prioritise lending to the real sectors of the economy, especially agriculture, manufacturing, Small and Medium Enterprises (SMEs) and infrastructure, in order to achieve the $1 trillion economy by year 2030, set for the nation by President Bola Tinubu.

He gave the charge at the 36th Central Bank of Nigeria (CBN) Seminar for Finance Correspondents and Business Editors, in Abuja, yesterday.

He expressed disappointment that banks have not been lending to the real sectors of the economy at levels required to significantly grow the economy and that the trend must change to achieve the $1 trillion target by 2030.

Mr. Anaba said, “The President of the Manufacturers Association of Nigeria recently said that manufacturers cannot access loans.

“So, in this quest for a $1 trillion economy—yes, there’s nothing wrong with ambition. They say if you don’t have vision, you will perish. That’s true. But ambition must be matched with sincerity.

“The economy is driven by the informal sector—people who need N10,000 or N20,000 naira to buy items to run their businesses. The big manufacturers don’t even have the political connections to get the funds they need.

“Until the banks start operating professionally, fairly and justly, this quest for a $1 trillion economy will remain a pipe dream.”

The editor also observed that small business owners have been unable to access loans from the banks, thereby hindering their growth and expansion.

According to him, “Small-scale traders and businesses cannot access loans to run their operations. How do you drive an economy where loans are only available to those with political connections—people who will not use the money productively?

“Loans are only available to people who don’t even have the capacity to manage or run businesses. Many Nigerians have an interest in business. Can we access loans to run those businesses? Today, small-scale businesses are suffering due to lack of access to funds.”

He charged the CBN to be more aggressive in the performance of its regulatory functions in the banking sector.

The editor said, “To get the desired impact and to drive the quest for a $1 trillion economy, I urge the CBN to be more aggressive in its regulatory control of the banks. There are no two ways about it—the CBN has to be more aggressive.”

CBN media partnership

Mr. Anaba, who is the President of the Nigerian Guild of Editors (NGE), called for greater collaboration between the CBN and the media to put the banks on their toes by pressuring them to lend to the real sectors that would yield an accelerated growth of the economy.

His words, “Let’s talk to ourselves critically. How can the media and the CBN work together to make our financial institutions more purposeful, fit for purpose, and useful to businesses, so that our economy can grow?”

Mr. Anaba also urged objectivity among media practitioners, whom he said should always bear in mind the overall health of the banking sector and the economy in their reportage.

Earlier in her remarks, the Director of Payments System Supervision Department, Dr. Rakiya Yusuf, described the media as critical stakeholders needed to build trust among members of the public in the recapitalization exercise and the journey towards the $1 trillion economy.

She urged media practitioners to always bear in mind the grave responsibilities society has placed on them and remain constantly objective and patriotic in carrying out their duties.

In his own contributions as a panelist, the Director of Payments System Policy Department, Mr. Musa Jimoh, urged greater transparency by the banks as technology becomes more relevant in their operations.

He also called for greater human capital development, especially in the area of Fintech, noting that the nation had lost a lot of fintech experts to the “Japa” phenomenon and that steps must be taken to replace the lost expertise to man the technology infrastructure.

April 16, 2025
Naira rises to N1,618/$ in parallel market

The naira yesterday appreciated to N1, 618 per dollar in the parallel market from N1,620 per dollar on Monday.

But, the Naira depreciated to N1,604 per dollar in the Nigerian Foreign Exchange Market (NFEM).

Data published by the Central Bank of Nigeria, CBN, showed that the indicative exchange rate for the naira rose to N1,604 per dollar from N1,599 per dollar on Monday, indicating N5 depreciation for the naira.

Consequently, the margin between the parallel market and NFEM rate narrowed to N14 per dollar from N21 Monday.

April 16, 2025
Fitch upgrades Nigeria’s credit outlook, citing policy reforms, economic stabilization

Global credit rating agency Fitch has revised Nigeria’s long-term foreign-currency issuer default rating (IDR) outlook from Negative to Stable, upgrading the country’s rating from ‘B-’ to ‘B’. The IDR reflects an entity’s vulnerability to default on financial obligations, including distressed debt exchanges.

In a statement released on Friday, Fitch said the decision was driven by renewed confidence in Nigeria’s policy direction, following the implementation of significant economic reforms since June 2023.

“The upgrade reflects increased confidence in the government’s broad commitment to policy reforms implemented since its move to orthodox economic policies in June 2023, including exchange rate liberalisation, monetary policy tightening and steps to end deficit monetisation and remove fuel subsidies,” Fitch said.

These reforms, according to Fitch, have improved policy coherence and credibility, helping to reduce economic distortions and short-term risks to macroeconomic stability.

“These have improved policy coherence and credibility and reduced economic distortions and near-term risks to macroeconomic stability, enhancing resilience in the context of persistent domestic challenges and heightened external risks.”

Policy Outlook and Inflation Projections

Fitch expects Nigeria’s current macroeconomic stance to support a gradual decline in inflation and enhance the functionality of the foreign exchange (FX) market, even though inflation rates will likely remain high compared to peer economies.

“The stable outlook reflects Fitch’s expectation that the macroeconomic policy stance will support the move to lower inflation and sustain improvements in the foreign exchange (FX) market’s operation, though it will likely remain much higher than rating peers.”

The agency also pointed to continued reduction in external vulnerabilities and the formalisation of FX activity as positive developments. Recent moves by the Central Bank of Nigeria (CBN), including the launch of an electronic FX matching platform and a new FX code, are seen as steps toward greater transparency and stability.

“Greater formalisation of FX activity including the Central Bank of Nigeria’s (CBN) recent introduction of an electronic FX matching platform and a new FX code to enhance transparency and efficiency, along with monetary policy tightening, has led to a greater rise in FX liquidity and general stability in the FX market after a 40% depreciation in 2024, closing the spread between the official and parallel exchange rates.”

FX inflows through official and autonomous channels surged by 89% in Q4 2024, compared to just 8% in Q4 2023. Fitch anticipates modest depreciation in the short term but expects improved exchange rate stability.

The CBN has also adopted a tighter monetary policy to combat inflation, raising policy rates to 27.5%—an 875 basis point increase since February 2024.

“The CBN has tightened monetary conditions through a combination of policy rate hikes to 27.5% (up 875bp since February 2024) and use of prudential and operational tools such as open market operations (at rates closely aligned to the MPR) to strengthen monetary policy transmission after years of financial repression.”

Fitch forecasts Nigeria’s inflation to average 22% in 2025—significantly higher than the 4.3% median for ‘B’ rated countries—and to decline to 20% in 2026.

“We project inflation, which hit 23.2 percent year-on-year in February under the recently rebased consumer price index (CPI), to average 22% in 2025 (‘B’ median 4.3%) and 20% in 2026.”

However, the agency warned against premature loosening of monetary policy, which could undermine recent gains.

External Reserves and Current Account Performance

The country’s external reserves have improved significantly, rising from a low of $32 billion in mid-2024 to $41 billion by year-end, before falling slightly to $38 billion due to increased debt service obligations.

“Gross official reserves reached $41 billion by the end of 2024, recovering from a low of $32 billion in mid-2024, but later declined to $38 billion due to increased debt service payments.”

Although gross reserves are high, Fitch highlighted a lack of clarity in their composition. The CBN recently estimated net reserves at $23 billion at end-2024, up from $4 billion the previous year.

“There is a lack of detail on the composition of reserves amid recent indications by the central bank that place net reserves at USD23 billion at end-2024, up from about USD4 billion at end-2023.”

FX swaps now make up about 14% of gross reserves, down from 25% in November 2024, as the CBN works to reduce FX liabilities.

Fitch also expects Nigeria’s current account surplus—estimated at 6.6% of GDP in 2024—to average 3.3% of GDP over 2025 and 2026.

Oil Sector Outlook and Trade Risks

Nigeria’s oil sector is poised for growth, with the Dangote refinery expected to increase capacity from 0.55 million barrels per day (mbpd) to 0.65 mbpd by Q2 2025. Crude oil production (excluding condensates) is also projected to rise.

“We expect crude oil production (excluding condensates) to increase in 2025-2026, averaging 1.43 mbpd, from 1.34 mbpd in 2024, helped by improved onshore surveillance and increased investments by local oil companies.”

However, Fitch noted that underinvestment and outages continue to cap production below pre-2019 levels.

On the international trade front, the agency downplayed the impact of U.S. tariffs, citing Nigeria’s oil-related exports—which make up 92% of total U.S.-bound exports—as largely unaffected.

“The impact of US tariffs on Nigeria’s trade position with the US will be limited, amid the exclusion of oil-related exports, which accounted for about 92 percent of total exports (nearly 2 percent of GDP) to the US in 2023.”

Still, Fitch cautioned that falling oil prices pose a more significant risk to Nigeria’s fiscal and external positions.

“Lower oil prices pose a bigger risk as they would weaken external buffers and fiscal metrics and test the new policy framework.”

Despite these risks, Fitch concluded that Nigeria’s greater policy flexibility leaves it better equipped to weather economic shocks.

April 12, 2025
Global Tariff War: FG will review impact on Nigeria — Edun

The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, said that the Federal Government will review the impact of the ongoing global tariff war on Nigeria.

He spoke yesterday at the Ministry of Finance Incorporated (MOFI) Corporate Governance Forum for Government Owned Enterprises (GOEs) in Abuja.

Edun said, “For the economic management team of Mr. President and indeed his whole government, we are going back to the drawing board to look at the scenarios that may play out if the current tariff situation is prolonged.
“For Nigeria, in terms of exports, it’s not too bad because oil minerals are excluded by America from being in any way sanctioned with tariffs. But based on our non-oil exports and based on the formula that the Americans are using, we do have a 14% tariff on our exports. But it’s a lot better than Vietnam, which has 46%.

“So we need to look at these situations and see what the opportunities are. The Nigeria of today, with a relatively stable economy and an attractive investment environment, including attractive exchange rate, is a place where if they can’t produce in Vietnam, they can come and produce in Nigeria. We are here, we are ready, we are waiting, and we have what will be attractive to them in terms of policies, in terms of market, and in terms of export capacity.

NNPC must achieve corporate governance

Speaking further, the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, said that the Nigerian National Petroleum Company Limited (NNPCL) must achieve a high standard of corporate governance before going public.

He said, “I think you will all agree that this is a critical issue at a critical time. You have the likes of NNPC, which is a portfolio company. We have good indication that they are looking to IPO (Initial Public Offerings). NNPC is the crown jewel of the Nigerian corporate sector and the economy. It is a limited liability company, and if you want to go public, corporate governance is at the heart of what you must achieve.”

The Minister also launched the GOEs’ scorecard which seeks to rate the organisations in line with the criteria set out by MOFI, which they must meet.

Crowding in private capital

The minister said that the strategy of the present administration was to crowd in private capital, in recognition of the inadequacy of public funding for the infrastructural sector.

His words, “But more important than that, rather than relying on budgetary funding, the whole aim of Mr. The President’s strategy of stabilizing the economy and the investment environment was to crowd in the private sector.

“Government accounts for 10% of GDP. The private sector, 90%. That’s where the money is. And that’s why the focus has been on, for example, rather than the Ministry of Works looking for funds, using the Highway Development and Management Initiative to hand over major roads which the private sector is interested in constructing, reconstructing and concession basis. There are eight other roads that are ready to go.”

The outgoing Country Director of the World Bank in Nigeria Dr. Ndiame Diop, urged greater transparency in the management of GOEs in the country.

He noted that only about 50 percent of them had their annual accounts published and posted on the MOFI website and that although an improvement over the previous year, more needed to be done.

Dr. Diop, who has just been appointed Vice President, African Region of the World Bank, noted that the deployment of technology to take out federal government revenue from the GOEs, even before the annual accounts were prepared, had enhanced government revenue.

In his presentation, the MOFI MD Dr. Armstrong Takang said that globally, GOEs dominated sectors like infrastructure (e.g., power, rail, water), finance, natural resources, and manufacturing, delivering essential services that drive economic growth and poverty reduction.

He added that among OECD countries, utility SOEs 9State Owned Enterprises) accounted for 50% of total SOE value.
The MD described MOFI as custodian of Public Wealth, managing a diverse SOE portfolio spanning energy, infrastructure, financial services, manufacturing, agriculture, and digital services.

“It holds majority stakes in over half of its over 50 portfolio companies, making it a critical driver of Nigeria’s economic landscape and currently actively engaging with SOE boards to enforce policies that maximize value, contrasting with its prior passive stance that led to value erosion.

Its strategic roles, he said, Extends to leading reform within Nigeria’s SOE ecosystem, influencing stakeholders and setting standards and positioning Nigeria’s SOEs as drivers of innovation and global competitiveness within the SOE ecosystem, while acting as a catalyst to attract private sector collaboration and investment into Nigeria’s SOE ecosystem”.

April 8, 2025