Press Release: School Feeding Programme – Over 8.2M Pupils Now Being Fed in 24 States
*Over 80,000 cooks engaged in 45,394 schools
Following the achievement of its target of 5.5 million pupils being fed free daily under the programme in 2017, the Buhari administration’s National Home-grown School Feeding Programme (NHGSFP) now feeds 8,260,984 pupils in 45,394 public primary schools across 24 states.
The 24 states currently benefitting from the school feeding programme are Anambra, Enugu, Oyo, Osun, Ogun, Ebonyi, Zamfara, Delta, Abia, Benue, Plateau, Bauchi, Taraba, Kaduna, Akwa-Ibom, Cross River, Imo, Jigawa, Niger, Kano, Katsina, Gombe, Ondo and Borno.
Similarly, 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 programme’s educational, economic and health benefits have been praised by many.
Not only has the Buhari administration’s School Feeding Programme created jobs for thousands of Nigerians in these communities where the programme is being implemented, it has also helped to boost local economies by linking the local farmers to the school feeding market.
Similarly, the school feeding programme continues to record significant milestones in the classrooms as the scheme has led to an increase in enrolment.
Another important aspect of the School Feeding Programme is that by providing a meal a day for millions of pupils, it addresses the issues of malnutrition and stunting among children, increasing the chances of the pupils making a significant headway in their learning and in life.
The NHGSFP plans to implement feeding in 28 States in the coming months, and all over the country soon after.
Laolu Akande
Senior Special Assistant on Media & Publicity to the President
Office of the Vice President
23rd May, 2018
VP Osinbajo’s Remarks at the 2018 Direct Investors’ Summit
*Says FG has established an infrastructure fund for development
*Nigeria’s greatest potential is its “incredibly energetic and entrepreneurial people,” VP adds
“We are gathered here at this Summit to talk about investments meeting with opportunity as a compliment to the recent work done in the ERGP Focus Labs. The inspiring news is that we have emerged from the recession determined more than ever to make up for lost time and missed opportunities. Our focus on agriculture has attracted billions of dollars in investments in the last three years: in rice mills, sugar plantations, in fertilizer blending plants, among others.
“We have grown our taxpayer base by 5 million new taxpayers; from 14 million in 2016 to 19 million today, as part of efforts to diversify Nigeria’s revenue base and to bring more people and businesses into the formal sector.
“Our Sovereign Wealth Fund, as I said, has gone way up, especially with the fresh investments, a new investment of about $640 million, and this is devoted to infrastructure. We have put together an infrastructure fund, which we hope will, in the next few weeks, be launched. And we expect that this infrastructure fund will be the beginning of some of the work that we intend to do on road infrastructure in particular. This, of course, will offer fresh opportunities for those who would want to either partner with us in the PPPs that we intend to do in roads and other infrastructure, or those we simply want to contract.
“I think that the question that we should ask is: what does all of this mean for us as investors and potential investors who might be in the room? It means you can rest assured that there is a government in place that is committed to doing right by Nigeria, and to ensuring that everyone with a stake in Nigeria, especially those who would be investing and citizens alike – that all of us can succeed, that it is possible to do things properly, it is possible for us to create the right environment and for our investors to feel confident that government would always have their backs when they are investing here, and that things will be done properly.
SPEECH BY HIS EXCELLENCY, PROF. YEMI OSINBAJO, SAN, GCON, VICE PRESIDENT, FEDERAL REPUBLIC OF NIGERIA, AT THE DIRECT INVESTORS’ SUMMIT 2018, HELD AT TRANSCORP HILTON HOTEL, ABUJA, ON TUESDAY, 22TH MAY, 2018.
PROTOCOL
It is a pleasure to be here with you at the Direct Investors’ Summit 2018, even though I am catching up only at the end of day 1.
As you already know this Summit is the first of its kind held by the Nigerian Investment Promotion Council (NIPC), and it seeks to highlight and showcase Nigeria’s investment opportunities.
Some of these investment opportunities are obvious, others less so. But I am sure that in the last couple of hours and by the time this Summit ends tomorrow, you would have had a much fuller picture of Nigeria’s promise and potential.
Nigeria’s opportunities are premised on a number of strategic factor endowments: our sprawling arable land, rich mineral investments, our gateway position, not just for West Africa but for all of the African continent. But the jewel in that crown is unmistakable: Our People. A population that is Africa’s largest, and half of the entire West Africa. It is also one of the most youthful populations in the world, with 50 per cent under the age of 20 and 75 per cent under the age of 35; an incredibly energetic and entrepreneurial people. It is easy to see why any global company serious about its future just has to have a plan for Nigeria, as many opportunities abound.
Last December, a cereal factory opened in Lagos to manufacture Kellogg’s cornflakes; the result of a partnership between an American company and Tolaram, a Singaporean conglomerate. Although the Kellogg Company is over a hundred years old, that factory was its first investment in Nigeria. Barely half a year later, they are already talking about expansion plans, as the new factory has already hit maximum capacity.
There are also many successful partnerships between the public and private sectors, perhaps the best example is the Nigeria LNG, a Nigerian run company that liquifies Nigeria’s natural gas for export all over the world and helped Nigeria earn her place as the 4th largest LNG exporter in the world. The Company is majority private-sector owned by three multinational oil companies, while Nigerian National Petroleum Corporation (NNPC) holds a minority stake.
In e-commerce, financial services, retail, manufacturing, the stories of success also abound. MTN is one of the better-known of the private sector examples; the story of its investment in Nigeria is frequently cited in investment circles. Today the company operates in more than 20 countries, but earns more than half its revenues from Nigeria. It is now planning to list on The Nigerian Stock Exchange, where it will create billions of naira in new value for many Nigerians and investors from anywhere else in the world.
Ladies and Gentlemen, central to any conversation about investment in Nigeria is the nature of our business environment, the degree to which it is conducive to starting and running a business. One of our biggest priorities and commitments as a government has been the creation of an enabling business environment, one in which property rights and the rule of law are respected, and in which markets take the lead, while government efficiently fulfils its role as a protector and enabler.
Since 2016, we have launched a number of efforts in this regard. The most ambitious is the Ease of Doing Business Reforms, being implemented by the Presidential Enabling Business Environment Council (PEBEC), which I have the honour of chairing. PEBEC has implemented a series of National Action Plans, targeted interventions aimed at dismantling specific bottlenecks around business and property registration, access to finance, payment of taxes, importing and exporting goods, entry into and exit from Nigeria, and so on.
On account of these reforms, the World Bank recognized Nigeria as one of the top 10 most improved economies in the world in 2017, and the International Monetary Fund (IMF) cited our business climate reforms as a major contributor to lifting the economy out of recession last year.
We are also actively collaborating with State Governments, under whose oversight some reform areas like land acquisition and property registration fall. Very recently, Lagos and Kano States – the two largest subnational economies in Nigeria – launched small claims courts to focus on SME litigations that do not exceed a certain threshold. Lagos and Kano had also come together to work out how these two of the largest economies in our country can function together, and especially with respect to certain manufacturing concerns such as leather, rice and several others.
But perhaps the most exciting of our current initiatives is our Focus Labs. The Focus lab is a process which involves our identifying investment projects that are being held back by bureaucratic bottlenecks and other challenges, and bringing the project owners and investors together with the relevant senior government officials and regulatory authorities to resolve those challenges.
The first phase of the Focus Labs identified $22.5 billion worth of investment projects. About $10 billion worth of these projects, with a potential for 500,000 jobs by 2020, have been classified as ‘Most Ready’, which means that we can get them up and running very quickly. Think of the Focus Labs as ‘Ease of Doing Business’ specifically targeted at domestic and foreign direct investors, and you would not be wrong.
Our justice sector reforms have focused also on fighting judicial corruption and building the capacity of judges. The Presidential Advisory Committee Against Corruption (PACAC) has been spearheading efforts in this regard, with notable successes recorded.
If you regard the business environment and rule of law reforms as the soft infrastructure component, then power and transportation would be the harder elements; and they are just as important. We have, in the last three years, invested close to $10 billion – an unprecedented sum – in infrastructure since 2016, focusing on roads, on power and on a new national rail network; all of which will help guarantee increased access to markets and reduced operating costs for businesses.
We are gathered here at this Summit to talk about investments meeting with opportunity as a compliment to the recent work done in the ERGP Focus Labs. The inspiring news is that we have emerged from the recession determined more than ever to make up for lost time and missed opportunities. Our focus on agriculture has attracted billions of dollars in investments in the last three years: in rice mills, sugar plantations, in fertilizer blending plants, among others.
And our Foreign Reserves have risen well beyond $40 billion now, up from $30 billion when we assumed office, and our Sovereign Wealth Fund has, in the last two years, seen its first new inflows since 2011.
We have grown our taxpayer base by 5 million new taxpayers; from 14 million in 2016 to 19 million today, as part of efforts to diversify Nigeria’s revenue base and to bring more people and businesses into the formal sector. And in 2017 we issued two new Eurobonds, our first Sukuk and Diaspora Bonds, as well as Africa’s first sovereign Green Bond – all of them very well received by the markets.
Our Sovereign Wealth Fund, as I said, has gone way up, especially with the fresh investments, a new investment of about $640 million, and this is devoted to infrastructure. We have put together an infrastructure fund, which we hope will, in the next few weeks, be launched. And we expect that this infrastructure fund will be the beginning of some of the work that we intend to do on road infrastructure in particular. This, of course, will offer fresh opportunities for those who would want to either partner with us in the PPPs that we intend to do in roads and other infrastructure, or those we simply want to contract.
In fact, when you look at the story, I think that the question that we should ask is: what does all of this mean for us as investors and potential investors who might be in the room? It means you can rest assured that there is a government in place that is committed to doing right by Nigeria, and to ensuring that everyone with a stake in Nigeria, especially those who would be investing and citizens alike – that all of us can succeed, that it is possible to do things properly, it is possible for us to create the right environment and for our investors to feel confident that government would always have their backs when they are investing here, and that things will be done properly.
For even more proof of seriousness about improving the investment climate in Nigeria, I think we need look no further than the NIPC itself, hosts of this Summit.
In the last 18 months, the Commission has left no doubt whatsoever about its commitment to fulfilling its mandate of encouraging and investments in Nigeria. It 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.
It 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.
Now, NIPC is significantly more engaged and responsive to the needs and requirements of investors, and progressively improving the quality of information available to assist investors in making better investment decisions about Nigeria. In increasing its focus on delivering its mandate, and in its partnership with the FIRS for the Compendium of Investment Incentives and with NBS for this Summit, NIPC, in my view, is a real exemplar of the new culture of governance which we are trying to entrench across Nigeria.
I would like to urge you all to take maximum advantage of your time at this Summit, especially tomorrow when the actual engagements begin. This, in my view, is a great opportunity for us to dive behind the news headlines and the clichéd narratives, and to find out for yourselves why you should or why all of the smart money is coming here to Nigeria.
I thank you very much for listening.
Released by:
Laolu Akande
Senior Special Assistant to the President on Media & Publicity
Office of the Vice President
22nd May, 2018
85th NEC Meeting on February 15, 2018
A. FINAL REPORT ON FORENSIC AUDIT OF REVENUE ACCRUED FROM REVENUE GENERATING AGENCIES
Council received the final report on the Forensic Audit of Revenue Accrued from Revenue Generating Agencies (RGAs) into Federation Account (FA), Excess Crude Account (ECA) and Consolidated Revenue Fund (CRF).
The report was prepared by KPMG, and audited 18 Agencies including NNPC, FIRS, Nigeria Customs Services (NCS), NIMASA, NPA, NCC, CBN, DPR, NPDC and many others.
The report covered period January 2010 – June, 2015
Key Issues and Recommendations:
The report observed several cases of under-remittance and a few over remittance in some cases both by identified agencies. There were also late remittances into the various accounts. It therefore recommended that:
NEC should decide on repayment plans for all concerned as well as stepping up oversight function on the relevant agencies to ensure remittance as and at when due.
Recommended the proper and regular auditing of the accounts of the RGAs and those of the FG.
There is also the need for annual review of the agencies.
Council Resolutions:
Council received the report and resolved that the Ad-hoc NEC Committee on the matter be expanded to include a lawyer and an accountant. The Committee would study the KPMG report and the recommendations and report back to Council at its next sitting for possible adoption.
The Federal Government officials including the CBN Governor, the Ministers of Finance, Budget and National Planning and Minister of State, Petroleum Resources would join the expanding Committee to also take a look at the report for FG’s review.
B. UPDATE ON THE SOCIAL INVESTMENT PROGRAMME BY THE SPECIAL ADVISER TO THE PRESIDENT ON THE SOCIAL INVESTMENT PROGRAMME
The Special Adviser to the President on the Social Investment Programme (SIP), briefed the Council on the impact of the National Social Investment Programme (N-SIP). Highlights of the presentation include:
Total Direct Beneficiaries from all the SIP Programme is 7,812,201
Secondary Beneficiaries – 1,500,000, mainly farmers and cooks
Total actual spending in 2016 and 2017 = 15.58% of the budget
The Council was further briefed on the general challenges facing the smooth delivery of the N-SIP. They include:
Corrupt practices in the States – (short-changing, racketeering and harassment of beneficiaries)
Exploitation of the vulnerable (due to poor levels of literacy);
Monitoring and communication (insufficient awareness/publicity) and logistics for monitoring yet to be secured.
Steps to Overcome Obstacles:
N-SIPs is collaborating with various Organisations within and outside the Government to overcome the challenges in the areas of; Monitoring and Security, Sensitization, Communication.
Support/Intervention from State Governments
The N-SIPs requires State Government support as follows:
Micro-Credit scheme under the Government Enterprise and Empowerment Programme (GEEP)
States to support in fraud detection and prevention by local officials.
States to support the GEEP loan programme mobilization and facilitate the generation of BVN and the opening of accounts.
Loan recovery from beneficiaries.
Home Grown School Feeding Programme
States to fast-track commencement of programme by signing MoU.
Re-train and re-screen cooks.
Strengthen Monitoring and Evaluation.
National Social Safety Net
States need to demonstrate commitment for the programme to kick off.
Ensure a conducive working environment and commitment to an objective and transparent community-Based Targeting Process.
Support in form of security and fraud detection.
Cash Transfer Programme
States to provide furnished accommodation and logistics as agreed.
Provide security, caution politicians and fast-track Community Based Targeting.
Youth Employment and Empowerment Programme
States to support communication efforts where necessary.
Support monitoring efforts to ensure beneficiaries are resuming and working full time at assigned locations.
Show increasing better commitment to the programme.
C. INTERIM BRIEFING ON NEC’S WORKING GROUP ON HERDSMEN/FARMERS CLASHES
The Vice President reported that the Group has met twice and formed a technical Sub-Committee. The Sub-Committee has been given the assignment of consultations with some of the affected communities.
The Sub-Committee is chaired by Ebonyi State Governor and the NEC Working Group will give a fuller report at the end of the work of the Sub-Committee.
The Vice President also reported that the Working Group has noted the need for joint Military-Police Operation to manage violent outbreak where required while also calling for more efficient intelligence gathering.
The Working Group also calls for the use of the Military force to flush out bandits whose activities have been linked to the clashes, and engagement with traditional leaders to foster peace in their communities.
Working Group also noted that an Agro Rangers Corps should be trained to provide security around ranches, livestock production centres and grazing routes.
The Working Group also noted that the land use laws and regulations invest the States with the power over land titles and use while the Vice President added that the FG will not impose on State Governments. FG will only share templates on best practices for the conduct of livestock production and business.
The Vice President also informed that the President has approved the formation of a Committee to look into the issue of rebuilding affected communities and providing welfare and other facilities as may be considered appropriated.
The President has asked that the Vice President head the Committee.
D. PRESENTATION BY GMD, NNPC ON PMS SUPPLY ACROSS THE COUNTRY AND COST OF UNDER-RECOVERIES BORNE BY NNPC
The Group Managing Director, NNPC, briefed the Council on the PMS supply and cost of under-recoveries arising from difference between importation cost and PPPRA cut off market price.
He told Council that the PMS open market price is continuously shaped by crude oil price volatility in the international market with the attendant cost under-recoveries due to differential between actual supply and distribution.
He informed that favourable market conditions encouraged private participation by Independent Marketers in Nigeria between May – September 2016.
There is currently sudden decline in private participation in Nigeria due to decline in favourable market conditions and also the sudden shock in consumption which over stretches daily supply of petroleum products.
E. REPORT ON EXCESS CRUDE ACCOUNT (ECA)
Council was briefed by the Accountant General of the Federation that the balance in ECA as at 14th February, 2018 stands at $2,317,252,449.57.
F. REPORT ON BALANCE OF THE STABILIZATION FUND ACCOUNT
Council was also briefed by the Accountant General of the Federation that the balance in the Stabilization Fund Account as at 14th February, 2018 stands at N11,290,664,060.06.
G. UPDATE ON NATURAL RESOURCES DEVELOPMENT FUND
Council was equally briefed by the Accountant General of the Federation that the balance in the Natural Resources Development Fund as at 14th February, 2018 stands at N123,624,644,411.24
H. UPDATE ON BUDGET SUPPORT LOAN FACILITY
The Accountant General reported to the Council as follows:
23 States have access to the facility
N16.1 billion has been disbursed as at January 2018.
Laolu Akande
Senior Special Assistant to the President (Media & Publicity)
Office of the Vice President
15th February, 2018
Press Release: FG’S Collaboration With Private Sector Will Facilitate Take Off Of Special Economic Zones, Says Osinbajo in Davos Day Two
The Federal Government and Private Sector will collaborate in creating Special Economic Zones, starting first with the Textile and Garment industry in the hope of spurring the nation’s economic development, according to Vice President Osinbajo, SAN.
Speaking today at an interaction with selected investors in Davos, at the ongoing World Economic Forum, the Vice President noted that “having the right mind-set and understanding where we want to go”, will affect the implementation process whilst ensuring things get done in the nation’s business environment.
He stressed that the collaboration between private sector and the government ensures consistency in the implementation of economic policies.
The Vice President added that one of the reasons he is optimistic about the forthcoming SEZ for garment manufacturing is because it is “specific and is something we can measure very quickly; working with investors and allowing them to tell us what they want to achieve. This will help us attain set objectives.”
Furthermore, Prof Osinbajo stated that having labs, where issues around effective implementation plans would be intensely discussed with expert participants drawn from the private sector and public sector, will also help ensure “that we achieve our objectives” as those labs will set up the implementation agenda and see it through to the end.
Both the Minister of Budget and National Planning, Senator Udoma Udo Udoma, and Minister for Industry, Trade & Investment, Dr. Okey Enelamah were also at the interaction.
Speaking earlier, Senator Udoma mentioned that there were many advantages for Nigeria to create the SEZ for Textile manufacturing, citing the use of English as our official language, our political stable environment and the provision of an enabling environment for the private sector.
He further went on to say that confidence is being restored in the hearts of people regarding economic policies.
In his own remarks, the Minister for Industry, Trade and Investment, Okey Enelamah noted that 2018 is a year of implementation regardless of the consequences. Enelamah went on to stress the need for a continuous active implementation of the ERGP based on three legs; investment, trade and industrialisation with an enabling environment as the thrust that runs through all three legs.
Former World Bank Chief Economist, Professor Justin Lin who was also in attendance mentioned that the Garment and Textile industry in Nigeria has huge potential because Nigeria produces cotton, as well as the availability of good locations around the country, including the large markets both domestically and internationally.
Laolu Akande
Senior Special Assistant to the President on Media & Publicity
Office of the Vice President
January 24, 2018
Press Release: We Are Making Steady, Remarkable Progress In Agriculture, Says President Buhari
President Muhammadu Buhari Thursday in Abuja said the agricultural sector had witnessed steady and remarkable progress in the last two years, significantly reducing the food import bill of the country.
At a ceremony to receive Letters of Credence from the Ambassadors of Democratic Republic of Greece, People’s Republic of Bangladesh and Republic of Portugal, President Buhari said the commendable performance in the agricultural sector had further fuelled the government’s effort at repositioning the economy, with more focus on export of commodities.
“We are very busy in the agricultural sector, and more Nigerians are getting involved,’’ the President told the Ambassador of the Republic of Bangladesh, His Excellency, Maj. Gen. Kazi Sharif Kaikoband.
President Buhari said the boom in the agricultural sector had also attracted more people, especially younger Nigerians, to pick interest in farming with long term plans for large scale farming and export of products.
In his remark, the Ambassador of Bangladesh commended the President for the courageous steps he has taken in eliminating terrorism in the country.
“We have had the terrorism problem in Bangladesh for more than 36 years,’’ he said, “Bangladesh denounces terrorism in all forms irrespective of colour or country.’’
Kaikoband said education and sports provide new opportunities for improved relations as more Nigerians in Bangladesh are in schools or into sports, especially football.
The President also received Letters of Credence from Her Excellency, Ms. Maria Saranto, Ambassador of the Democratic Republic of Greece and His Excellency, Mr. Anthonio Pedro Da Vinha Da Silva, Ambassador of the Republic of Portugal.
In separate meetings, the President congratulated the ambassadors on their postings to Nigeria, urging them to use the opportunity to explore the potentials of the country and improve on the good relations that had been built over the years.
Femi Adesina
Special Adviser to the President(Media & Publicity)
January 18, 2018
Press Release: There is now a New Orientation To Grow Business In Nigeria – VP Osinbajo
“I think a new orientation has been birthed which is that as bureaucrats, we are meant to facilitate trade and commerce and business in our environment”, says Vice President Yemi Osinbajo, SAN.
Speaking today at the State House to heads of Federal Government regulatory agencies at a meeting convened to review the implementation of the Micro Small and Medium Enterprises Clinic (MSME Clinic) in the out-going year, the Vice President congratulated the implementing agencies saying “ I think that a tremendous improvement we’ve seen in the quality of service to the people is worthy of commendation and I want to congratulate you all.”
The Vice President told the implementing agencies not to rest on their laurels noting “next year will also be a more intense period where we will be required to double our efforts.”
Vice President Yemi Osinbajo later presented certificate of recognition to agencies who contributed to the success of the MSME Clinics namely; Federal Inland Revenue Service (FIRS), Bank of Industry (BOI), Corporate Affairs Commission (CAC), Small and Medium Enterprises Development Agency (SMEDAN), National Export and Import Bank (NEXIM), National Food and Drugs Administration & Control (NAFDAC), Standard Organisation of Nigeria (SON) and Nigerian Export Promotion Council (NEPC) as well as the project coordinator, Brown Valley Partners Ltd.
Earlier at the review session chaired by Minister of State for Industry, Trade and Investment, Aisha Abubakar, the heads of agencies namely Federal Inland Revenue Service (FIRS), Bank of Industry (BOI), Corporate Affairs Commission (CAC), Small and Medium Enterprises Development Agency (SMEDAN), National Export and Import Bank (NEXIM), National Food and Drugs Administration & Control (NAFDAC), and Nigerian Export Promotion Council (NEPC), during their various presentations lauded the visionary leadership of the Vice President, commending him for ensuring that the clinics were held in 11 (eleven) cities across the six geo-political in the country.
It would be recalled that the MSME Clinics was launched by Vice President Yemi Osinbajo on Januray 24 in Aba, Abia State. It was conceived in view of the Buhari administration’s consideration of MSME space as critical to the growth and diversification of the nation’s economy from oil given its capacity as a potential contributor to the GDP.
The Clinics are driven by the Presidency and the Federal Ministry of Industry, Trade and Investment in conjunction with 14 MDAs which are critical to the operations of MSMEs in Nigeria.
Laolu Akande
Senior Special Assistant to the President (Media & Publicity)
Office of the Vice President
December 19, 2017
Press Release: Working Together Will Boost Economic, Technological Growth, VP Osinbajo Tells Young Innovators
Nigeria’s youths will achieve more if they collaborate more on projects that will benefit them and also boost the nation’s capacity in innovation and technology, according to Vice President Yemi Osinbajo, SAN.
Prof. Osinbajo said this when he received a delegation of young Nigerian innovators and beneficiaries of grants from the Growth and Employment (GEM) Project, an initiative of the Federal Government under the Federal Ministry of Industry, Trade and Investment, which is supported by the World Bank and the DFID.
In furtherance of the Buhari administration’s economic empowerment initiatives, the project empowers young Nigerian innovators and entrepreneurs with sustainable and innovative business models that will create more jobs for Nigerians and contribute to the nation’s economic growth.
“I am happy that everyone is a co-founder; it speaks to what we say about collaboration and working together, and also with international players,” the Vice President said.
At the meeting, the young entrepreneurs showcased their business models during short presentations to Vice President, who commended them for their efforts and engaged them with questions on the sustainability of their laudable projects.
It will be recalled that the innovators were selected following the Aso Villa Demo Day (AVDD), a technological innovation competition organised by the Presidency earlier in the year.
Also, at the meeting was the Minister of Health, Prof. Isaac Adewole.
In his remarks, the Project Coordinator of the GEM Project, Mr. Ugo Ikemba, thanked the Vice President for all the support the Buhari administration has given to the project since its inception. He said the project will continue to find platforms to support Micro, Small and Medium Enterprises (MSMEs) by enabling them get more access to funding.
In the same vein, the Director-General of Nigerian Automotive Design and Development Council (NADDC), Mr. Jelani Aliyu, thanked the Presidency for providing leadership that supports and empowers young Nigerians to dream and innovate.
Laolu Akande
Senior Special Assistant to the President on Media & Publicity
Office of the Vice President
18 December, 2017
Press Release: NEC 83rd Meeting
An update of the ongoing forensic audit of revenue accrued from revenue generating agencies and meant for the Federation Account was given today at the National Economic Council, NEC meeting presided over by Vice President Yemi Osinbajo, SAN.
The Chairman of the Ad Hoc Committee of NEC on the audit, Governor Ibrahim Dankwambo, of Gombe State said the forensic audit is ongoing and assured Council that the full detail of the report would be ready in January, 2018.
He mentioned the Nigerian Customs Service and the National Communication Commission as the two agencies that are now being audited in a review that has included other agencies including NNPC.
The report is expected to detail the extent of revenue meant for the Federation but never made it to the Consolidated Account under the past administration.
This was one of the highlights at the monthly NEC meeting earlier today at the Council Chambers of the Presidential Villa, Abuja.
Also the details of inflows and outflows of special accounts of the Federal Government would be provided beginning from 2015 to date, according to the Minister of Finance, Mrs Kemi Adeosun.
The Minister also disclosed that several States have not been complying with conditions for the Budget Support facility as agreed under the Fiscal Responsibility Plan.
She added that particular states are yet to publish the mode of their financial disbursement, while some others have also not completed the Biometric Data of their staff list as agreed by the Council.
The Fiscal Responsibility Plan endorsed last year by NEC details the conditions State governments are expected to meet to qualify for FG’s Budget Support Facility which ranges from N800m to over N1B per State, per month.
BELOW ARE HIGHLIGHTS OF TODAY’S NATIONAL ECONOMIC COUNCIL MEETING PRESIDED OVER BY VICE PRESIDENT YEMI OSINBAJO, SAN
(10TH IN 2017) 83rd NEC MEETING – THURSDAY, 14th DECEMBER, 2017
UPDATE ON FORENSIC AUDIT OF REVENUE ACCRUED FROM REVENUE GENERATING AGENCIES (RGAS) INTO THE FEDERATION ACCOUNT, EXCESS CRUDE ACCOUNT AND CONSOLIDATED REVENUE FUND BY THE CHAIRMAN OF THE COMMITTEE, GOVERNOR OF GOMBE STATE,
His Excellency the Governor of Gombe State, and Chairman of the Forensic Audit Committee, Dr. Ibrahim Dankwambo, informed Council that the audit firm Messrs. KPMG, is still conducting the forensic audit of some establishment and that a full report will be ready by January 2018.
UPDATE ON THE BALANCE IN THE NATURAL RESOURCES DEVELOPMENT FUND
Council was informed by the Accountant-General of the Federation that the balance in the Natural Resources Development Fund Account as at 13th December, 2017 stands at N106.984 billion.
REPORT ON EXCESS CRUDE ACCOUNT (ECA)
The Accountant-General of the Federation also informed Council that the balance in the ECA as at 13th December, 2017 stands at $2.317 billion.
UPDATE ON THE CURRENT BALANCE OF THE STABILIZATION FUND ACCOUNT
The Accountant-General of the Federation informed Council that the balance in the Stabilization Fund Account as at 13th December, 2017 stands at N7.78 billion.
UPDATE ON BUDGET SUPPORT LOAN FACILITY
Council was informed that payment for the months of June, July and August to States has been effected, and that preparations are underway to do same for the month of September, 2017.
GENERAL COMMENTS ON SPECIAL ACCOUNTS
Council would be furnished with details of inflow and outflow beginning from 2015 to date regarding some of these special accounts: stabilization fund Account and Natural resources development fund
The Honourable Minster of Finance informed Council that the Budget Support facility to States is based upon certain conditions as agreed to under the Fiscal Responsibility Plan. But most of the States are yet to comply, she added. She said most of the States are yet to publish the mode of disbursement and most of them also have not completed the Biometric Data of their staff list as agreed in Council.
A. PRESENTATION ON CURRENT DEVELOPMENTS IN THE WATER RESOURCES SECTOR BY THE HONOURABLE MINISTER OF WATER RESOURCES
The Honourable Minister of Water Resources, Engineer Suleiman Adamu, presented a memo to Council, asking for urgent steps and action in the water sector if the country is to overcome the challenges of water supply, sanitation and water governance issues, as well as achieve the 2030 targets of the Sustainable Development Goals (SDGs) on water supply and sanitation.
He informed Council that Nigeria is lagging behind in terms of water supply, with access to pipe-borne water dropping from 32% in 1990 to less than 7% in 2017, with a corresponding increase of 25% in open defecation and the
prevalence of water-borne diseases.
He told Council that an estimated investment of N1.9 trillion is needed in the next 15 years to meet the SDGs by 2030.
He outlined a three-phase Action Plan to revitalize the water, sanitation and hygiene sector to include the following:
(a) A 12-month emergency plan beginning from the 2nd quarter of 2018 to April 2019.
(b) A five-year recovery programme to last up to 2022
(c) A 13-year revitalization strategy that will last till 2030
These plans, he said, will involve the urgent establishment of an institutional and funding framework for Water Supply, Sanitation and Hygiene (WASH) Services, and the engagement of Urban and Rural (WASH) sectors on an accelerated development path towards 2030.
The plan also calls for tripling the current investment in water supply, establishment of a WASH fund, fast-tracking the development of the National policy on Sanitation and the presidential launch of a National Sanitation Campaign to eliminate open defecation.
Furthermore, the plan is seeking the massive rehabilitation of existing infrastructure in the sector, and sectoral reform towards cost recovery and promotion of private sector participation in the sector, all aimed at taking care of the estimated 182 million population.
The National Water Reserves Bill now before the National Assembly provides for the establishment of Catchment Management Committees, with representatives of States within each hydrological area as permanent members.
In a similar development, the Minister informed Council that Nigeria requires an average annual investment of N59 billion to attain 78,000 hectares of planned irrigation by 2019, and a total of N1.5 trillion to attain 500,000 hectares of irrigation by 2030.
Council was also informed that the River Basin Development Authorities across the country are undergoing structural reforms towards partial to full commercialization.
Council thanked the Minister of Water Resources and urged collaboration between stakeholders in the approach to National Water Supply.
ANY OTHER BUSINESS (AOB)
SECURITY
The Chairman Governor’s Forum, Alhaji Abdullazeez Yari, informed Council that Governors have offered to contribute over $1 billion to support Military Operations in the North East. Governors said money should be taken from the ECA.
SGF/SSG’S RETREAT
The SGF informed Council that there will be a retreat in the coming days, 18th – 19thDecember, between the SGF and all Secretaries to the State Governments for better collaboration on issues of security and governance in all tiers of government.
FUEL SUPPLY
Honourable Minister of State, Petroleum Resources, Dr. Ibe Kachikwu, told Council that fuel queues will disappear nationwide in the next 48 hours. All logistic arrangements to this effect have been concluded. He assured that there is enough fuel in the strategic reserve to last till the end of January.
In his closing remarks at the meeting, His Excellency, the Vice President, wished the Governors and the people of their States Merry Christmas holiday as the meeting is the last in the year.
Laolu Akande
Senior Special Assistant to the President on Media & Publicity
Office of the Vice President
14 December, 2017
Press Release: VP Osinbajo Attends MSME Clinic Launch in Osogbo
Nigeria’s future economic growth will be driven by small and medium-sized businesses, according to Vice President Yemi Osinbajo, SAN.
Prof. Osinbajo said this during the launch of the nationwide MSME clinic in Osogbo, Osun State on Thursday. He added that the Buhari administration will continue to support small businesses nationwide through its economic initiatives.
The Vice President further said that there are enough resources to go round if the country and its people use its resources well, while urging Nigerians to tap into the potential in their communities to create wealth through entrepreneurship and MSMEs.
“It is pleasing to know that over 4,250 participants registered to take part in this MSME clinic and that there are nearly 206 exhibitors across the ago-allied, manufacturing and retail sectors,” Prof. Osinbajo said.
According to the Vice President “The small business is the engine of growth of the nation. We are here today, and I have seen for myself all the progress that small and medium businesses are making.
“I am confident that if we work together on this initiative, the business environment for MSMEs in our country will certainly improve significantly and by extension grow the economy.”
Also present at the event was Osun State Governor, Rauf Aregbesola; the Minister of Health, Prof. Isaac Adewole; Chairman, Federal Inland Revenue Service, Babatunde Fowler; among other government officials.
Laolu Akande
Senior Special Assistant on Media and Publicity
Office of the Vice President
November 30, 2017
Speech: Vice President Osinbajo at NIPSS 2017 Graduation Ceremony
It is a special pleasure to be here at this graduation ceremony, of the Senior Executive Course 39 of 2017 of the National Institute of Policy and Strategic Studies, and I bring you the very warm felicitations of President Muhammadu Buhari, President, Commander-in-Chief of the Armed Forces of the Federal Republic of Nigeria. I congratulate the participants of Senior Executive Course 39, for your excellent performance and your elevation to the privilege of Member of the National Institute, MNI.
Your presentation to Mr. President last week, Friday 17th November, on the theme “Science, Technology and Innovation for the Development of Agriculture & Agro-Allied Industries in Nigeria,” was both scholarly and practical, and will be an important reference in refining and implementing policy in this important area.
I also congratulate family and friends, and especially spouses of participants on this joyful occasion.
NIPSS occupies an important place in our national policy discourse, especially through its policy-relevant training and research outputs. Notably, the NIPSS alumni provide a patriotic repository of knowledge that is very often deployed in support of national development objectives.
Today’s event is significant. It is at once a celebration of success, and in many ways, also symbolic of the opportunities that will arise from completion of a year of rigorous learning and reflection, for you, and the Federal Government. And it also provides me an opportunity to share some thoughts on the trajectory of our national economic development with the Nigerian policy elite, to which distinguished group, you now rightly belong.
I am going to focus on the economy, where we are, and where we are heading in the next 12 months. What are the policy choices we have made? Why have we made those choices? Are those policy choices working?
From the very beginning of our administration when Mr. President asked me to head the economic management team, he made it clear that in his view, the major reason for the slow development of our nation and the poverty of millions of our people, was corruption and mismanagement of public funds & resources. And that fighting corruption and mismanagement of public resources was as much an economic imperative, as it was a law and order issue. I agreed.
We, from that point, put in place structures that would ensure prudent and transparent management of resources. In July 2015, the President ordered that all MDAs funds should be paid into the Treasury Single Account. This ended years of MDAs keeping secret bank accounts, in some cases putting public funds in fixed deposit for interest far below market rates. Banks would then lend money back to government by buying treasury bills at substantially higher interest. Today, government knows exactly how much we have, and we are saving significantly.
Early in 2016, an Efficiency Unit was set up under the Federal Ministry of Finance to reduce wastage, plug leakages and foster greater fiscal transparency. The Efficiency Unit has enforced several deliberate cost-cutting measures including the removal or reduction of sitting allowances for civil servants in many cases, and saved over 1 billion a year, stopping the procurement of souvenirs, and printing for government programmes, we saved another N1billion.
By reviewing travel expenditures, and negotiating procurement discounts, we saved N15billion. We have also removed or reduced meals and refreshments for meetings, and saved another N1billion annually.
We stopped the siphoning of funds through ghost workers by insisting that all MDAs must be on the Integrated Payroll and Personnel Information System (IPPIS) across government, and also mandated the use of BVN. Over 461 Federal MDAs have been captured on the system thus far, with the objective being able to enroll all of them. We are now saving N25billion a month, from cleaning up the payroll in this way. The President has also ordered all Armed Forces personnel to be captured on IPPIS.
It is important to understand, what these measures to block leakages and stealing of public resources mean for economic performance. I will demonstrate that impact.
When we came into office, over 22 States were owing salaries. They were owing despite the fact that between 2011 and 2015, Nigeria earned its highest ever revenues from oil. Oil was selling at between $100 and $115 a barrel. Yet reserves between 2014 and 2015 fell from $35billion to $28billion in April 2015. When we came into office, oil prices fell as low as $28 a barrel, the unrest in the Niger Delta, especially the vandalization of pipelines and oil and gas assets reduced the production at some point by over a million barrels a day. Revenues dropped by as much as 60%.
But with 60% less revenue, we started a series of bailouts for the States, to enable them pay salaries and pensions. With 60% less revenue, we were able to provide about N1.3trillion for capital expenditure, the largest amount for capital in our nation’s history.
For the first time in five years we saved $500million, and invested another $500million in the Sovereign Wealth Fund. Today our external reserves stands at $35billion the highest in the past four years.
We have made the point, that Nigeria is not poor because it has no resources, it is poor because a lot its resources are stolen or mismanaged. We can do a lot more with far less, if we don’t allow stealing.
Now let us for a moment, reflect on where the Nigerian economy is today. The economic focus and direction of the Buhari administration is set out in the Economic Recovery and Growth Plan – the ERGP. The plan is based on a set of principles, broad principles, and certain key action points including eliminating corruption in government procurement and processes, prudent management of resources, social inclusion, overcoming constraints such as power, petrol and skills shortages, promotion of the private sector, and use of the market mechanism where possible.
We have worked hard to keep faith with these crucial principles. In particular we are committed to ensuring that Nigeria does not return to the years of corruption and waste, where people at the highest levels of government simply converted to private use, funds and public resources meant for the building of public infrastructure and the provision of services.
We must pay attention to what we are seeing today, and some of the shameless noises of those who brought our nation to its knees, many of whom still have looted funds in their possession, trying to rewrite history and hoodwink the populace again. We say never again!
Distinguished guests ladies and gentlemen, today, regarding our economy, we can see the light at the end of the tunnel. The darkness is giving way to the light. Let’s begin with the macroeconomic story.
The decline in growth which started in 2014, has been reversed with the third quarter figures released earlier this week, showing that the economy has truly exited recession with the growth of 1.4%.
A further analysis of the Q2 2017 GDP results indicates that the recovery was driven largely by the performance in agriculture, industry, solid minerals and crude oil and gas production. Agriculture, which is a main focus of this administration, as stated in the Economic Recovery and Growth Plan (ERGP), grew strongly throughout 2016 despite the contraction in the overall economy, continued to grow in 2017 recording a 3.06% growth in Q3 2017.
Industry which had contracted for nine consecutive quarters, but recorded its first positive growth of 1.45% in Q2 2017, and it has grown stronger in Q3 2017, growing by 8.83% compared to a contraction of -12.66% a year earlier. This represents the strongest growth in industry since Q2 2014, when industry grew at a similar rate of 8.97%.
The oil sector also grew strongly, partly due to actions of government which has led to stable oil production and an improved situation in the Niger Delta, as well as oil prices remaining steady. Oil production GDP grew very strongly by 25.89% in Q3 2017 compared to 3.53% in Q2 2017, and a contraction of -23.04% in Q3 2016.
Inflation continues to fall from a peak of 18.72% in January, to 15.91% today. Similarly, as noted earlier, our reserves are now at about $35 billion while the exchange rate regime has been stabilized. We are confident that the Naira will continue to appreciate.
One of our biggest priorities as a government was making the lives of the poorest and most vulnerable amongst us better. Right from the presidential campaigns that preceded our coming to serve, we had made it very clear that we would be a government for the poor and vulnerable. We designed an ambitious Social Investment Programme to accomplish this, comprising four initiatives; a jobs’ scheme for unemployed graduates, a micro-credit scheme targeting SMEs, a Home-grown School Feeding Scheme, providing one free meal a day to primary school pupils, and a Conditional Cash Transfer Scheme for the poorest Nigerians across the country.
The Social Investment Programme kicked off a year ago, with the recruitment of 200,000 young Nigerian graduates for the first phase of N- Power. These young people have been deployed across the 774 Local Government Areas of the country, as Teaching Assistants in public primary schools, Public Health Assistants in primary health centres, and as Agricultural Extension Service Assistants in various agricultural programmes.
Today, a year later, we have just pre-selected an additional 300,000 young unemployed graduates, and they will be further engaged in the N-Power programme.
The Home Grown School Feeding Programme now provides a free, nutritious meal, one a day to over 5 million children across 19 States, and our target is 5.5million children before the end of 2017.
In addition to providing nutrition for children in the first three years of primary education, the school feeding programme buys food from local farmers, and employs almost 55,000 cooks in 28,249 schools. Other participants in the food value chain such as processors and transporters also benefit indirectly from this programme.
While we were laying the groundwork of the rollout of the Social Investment Programmes, we began to aggressively invest in plugging Nigeria’s huge infrastructure gap. One of the reasons why we are where we are today, is that over the last three decades, we failed to invest substantially in infrastructure to any appreciable degree, even as our population grew.
Much of the funds that should have been invested in infrastructure simply cannot be explained. We wasted no time addressing this. Even at a time when our resources had dropped dramatically, and with little by way of savings, we invested in roads, railway and power projects.
Work resumed on several projects that had been abandoned or suspended before we took office. We completed and commissioned the railway line connecting Kaduna to Abuja, the first Standard Gauge line in Nigeria. The Abuja Light Rail project, which was only half-completed when we inherited it, is now almost ready to go into operation. When completed it will be the first functioning urban light rail in Nigeria.
Our successful engagement with the Chinese Government has yielded fruit; construction has started on the Lagos -Ibadan segment of a new Standard Gauge railway line between Lagos and Kano, and will soon commence on the coastal railway from Lagos to Calabar, which will open up the Southeast and Niger delta in unprecedented ways. We are now providing in the 2018 budget, the commencement of work on the Mambilla hydro-electric project.
However, even if we invested our entire annual budget on infrastructure, it would not be enough to fill the gap. So as a government it was clear, that the greatest impact would come from the efforts of private capital, while we act as enabler and catalyst, creating an environment conducive for investors and businesses.
This is why we have revised and prioritized the Road Trust Fund, to enable private firms to partner with the Federal Government to build, repair, and maintain roads in return for tax credits. Meanwhile, work continues on the long overdue Second Niger Bridge, the Lagos-Ibadan Expressway, and other major arterial roads like the Ilorin-Jebba-Mokwa-Birnin-Gwari-Kaduna Road, and the Enugu-Port-Harcourt Road to mention a few.
The power sector has always been one of historic concern. This dismal situation was due to factors including inadequate generation, limitations in transmission capacity and financing constraints. The problems associated with the privatization exercise itself has manifested serious constraints in the ability of the DisCos to reinvest in electrical assets.
Despite major investments of time, effort and resources, power supply remained in the region of about 3000MW. We tackled these issues, and although still vastly inadequate, power supply and transmission capacity has moved up to 7000MW. There is good cause to believe, that we will achieve the 10,000MW envisaged in the ERGP, through policies enabling off-grid solutions and eligible customer arrangements.
So the problem today is not with generation, it is with distribution. Many of the DisCos are rejecting power transmitted to them. They claim that they are unable to sell because of the losses from collection, and the poor state of distribution assets such as transformers, last mile transmission lines and metering.
These investments should ideally be made by the DisCos, but many are so highly leveraged that they can’t borrow anymore. We are exploring several options including selling down equity in the DiscCs to attract more capital. We are also completing some transmission and distribution projects that may be game changers in power supply story. But easily the clearest demonstration of our belief that the private sector, including MSMEs, must be enabled as they are the engines of economic growth, will be seen in the Ease of Doing Business Reforms which we embarked upon in 2016.
Our goal has set by Mr. President, was to move Nigeria by 20 spaces upwards in the World Bank’s Ease of Doing Business Rankings. After a year of intensive reforms, including a National Action Plan, an Executive Order, two Acts of Parliament, and other initiatives, we surpassed our 20-place target.
The improvements we brought to Nigeria’s business climate include the simplifying of business registration processes, implementing a Visa on Arrival procedure, enabling better access to credit by the creation of National Collateral Registry, and the Credit Risk Bureau both set up by Law. This earned us a 24-place improvement as well as a designation as one of the ten most improved countries in the world.
The lesson from this is that, consistent and dedicated effort will produce results. This is the underlying theme of all the work we have put into the economy in the last two and half years.
In Agriculture, we were enthused by the remarkable progress so far. Throughout the recession, agriculture maintained a solid growth area, due to policy interventions by the Government. The Anchor Borrowers’ Programme has provided financing to tens of thousands of smallholder farmers, enabling them to maximise harvests, as well as connecting them to off-takers and markets. Up to N5 billion, has been disbursed in support of almost 250,000 smallholder farmers, across 31 states, with coverage of 286,000 hectares.
Although it is still early days, there are appreciable results in nine commodities namely; rice, wheat, maize, cotton, fish, soybean, cassava, groundnut and poultry. The focal point however remains rice, because of our aim for food security and to reduce the huge amount of foreign exchange used in importing food, especially rice. Rice imports have now dropped by 70%, and we are producing over 7million MT of paddy rice today. The question of course is milling, we are not measuring up, and we are still recording very low figures in terms of actual production of rice.
The Presidential Fertilizer Initiative (PFI) which President Buhari launched in December 2016, has directly led to the resuscitation of 15 Moribund Fertilizer Blending Plants, and to the production, this year, of more than 7 million bags of NPK Fertilizer, which is now available to our farmers at prices well below what they paid before the PFI.
Taking the lead from government’s commitment to agriculture, the private sector has also undertaken major investments in agriculture and agro-processing. Up to 300,000 metric tonnes per annum of rice milling capacity has been added in the past 12 months, including the WACOT factory in Kebbi State, and Umza Rice Mill in Kano. Upcoming ones include the investments by the Labana and Dangote Groups amongst others. Dangote alone is investing in milling capacity of 1million MT. The President also recently commissioned OLAM’s N20billion integrated feed mill and hatchery in Kaduna.
In Solid Minerals, we succeeded in tapping into the Natural Resources Development Fund, to create a dedicated fund for supporting investment in solid minerals in Nigeria. This is the first time that this is happening in Nigeria. Moreover, work is ongoing to fully exploit the bitumen resources in Ondo State, to meet national asphalt requirements for roads and other construction projects.
To consolidate on these efforts, we have also established a N30billion Solid Minerals Development Fund to support other minerals exploration activities across the country.
I have spoken about what we set out to do and what has been done so far. Let me now speak to some of the forthcoming actions in the year ahead.
To start with, the Federal Government sees 2018 as a year of consolidation of the economic recovery, and the gains from improved macroeconomic management, and the extensive investments made in agriculture, infrastructure and the business environment. We are diversifying our options in power supply.
Our programme of energizing industrial clusters has started. That project involves providing power in existing small business clusters. For our first batch, we will be providing independent power in certain markets; the Ariaria Market in Abia State, the Somolu Printing Community in Lagos State, the Muhammadu Abubakar Rimi (Sabon Gari) Market in Kano State. This power is independent power which will guarantee constant supply 24/7. We intend to take batch by batch some of this projects to encourage small businesses.
Also we have provided in both the 2017 and 2018 budgets, funds for what we have described as the energizing education project. This involves providing independent power in the following universities in the first batch; the Abubakar Tafawa Balewa University in Bauchi, Bayero University in Kano, Usumanu Danfodiyo University in Sokoto, Federal University of Agriculture in Makurdi, Federal University, Ndufu Alike, and Nnamdi Azikwe University in Anambra, University of Lagos, Obafemi Awolowo University and Teaching Hospital, Federal University of Petroleum in Delta State.
Our emphasis going forward, will be on job creation, through scaling up of the social intervention programmes, to include artisans, but also through a massive construction effort with regard to homes and revitalization of the manufacturing sector.
Jobs are central to our purpose for revitalizing the manufacturing sector. The focused attention we have given to promote agriculture will be replicated in the manufacturing sector. We recognise of course that electricity is critical for this sector and this is being continually addressed.
We already have policies for the automobile and tomato processing sectors, and we will continue to fine-tune other sectoral policies. In addition, we are focused on ensuring the take-off of a Special Economic Zones in six geo-political zones, dedicated to textiles and footwear for exports, and on ensuring adequate, and affordable financing to enhance the operations of manufacturing concerns. We have already provided N80billion in the 2018 budget for this Special Economic Zones.
Jobs are also the reason why we will be fast-tracking the implementation of the Family Homes Fund. It is an important programme for providing housing in the coming year. Our intention is to use this programme to create a large number of jobs in construction, and as well to promote widespread home ownership by providing affordable housing to be paid for through a sustainable mortgage financing system.
The coming year, will see even greater movement to fully utilise the oil and gas value chain. The private investments in refineries, petrochemical plants, fertiliser factories will be complemented by more gas projects, especially critical pipeline infrastructure and greater penetration of LPG in the domestic market. The start-off of modular refineries in the Niger Delta is part and parcel of this work programme. Up to 35 communities and their investor groups, have reached the right to invest stage and three of them are already preparing to ship their facilities for installation.
Our emphasis on supporting micro, small and medium scale enterprises, is largely because the sector is also critical for job creation. We will continue with the MSME clinics which are being followed up with the creation of one-stop shops for Federal Regulatory Agencies across all the States of the Federation. We will by this means reduce some of the costs and the regulatory obstacles that MSMEs face in trying to do their business. The MSME programme now goes hand in hand with the Government Enterprise and Empowerment Programme which provides micro loans to cooperative societies and artisans.
Our recent experience has shown that Government revenues are quite low for the size of our economy and inadequate to fully meet related societal demands. Our total tax collection is just 6% of Gross Domestic Product, as compared to an African average of 17%. We are accordingly taking all necessary steps, to increase Government revenues through the Voluntary Assets and Income Declaration Scheme (VAIDS), excise taxes and improved collection of taxes.
Government will also ensure better management of its resources, through cost efficiencies, automated payroll systems and leveraging of its assets to ensure better returns. The decision to reduce Federal Government holdings in Joint Venture operations, in a case in point. By this means, we will not only be raising revenues to help fund Federal and State budgets, we will in addition also be improving governance in the oil and gas sector.
In a similar context, as the case of JAMB has shown there is substantial under-remittance to the Federal Government by its parastatals and agencies and we will be putting a stop to this using the results of a forensic audit being undertaken as well as greater scrutiny and oversight by the Economic Management Team.
The infrastructure projects that I have mentioned will of course continue to be the focus of attention, until they are completed across power, roads, rail, airports and broadband infrastructure. The 25 road projects in all six geopolitical zones to be financed by the recently issued N100 billion Sukuk Bonds, will be closely monitored to ensure that they are delivered in good quality by the specified date.
Our efforts to improve business conditions will continue apace. We must always bear in mind that the purpose of our efforts on the ease of doing business, is to promote the private sector and provide the right atmosphere for firms to operate profitably in order to grow the economy and provide jobs for the unemployed and those joining the labour market.
Thus while we continue to bask in the improvements in our ranking, and the citation of Nigeria as one of the 10 best reforming economies in the world, we realize that our task is far from being done and will remain focused on the ERGP objective of being in the top 100 countries in terms of ease of doing business by 2020. Until the average Nigerian has food on his table, has a job and is satisfied with the life that he is living, we are far from preparing any kind of celebration.
One of the principles underpinning our economic planning that is often overlooked is the commitment to upholding core values. Our desire for change must translate into strengthening ethics especially patriotism, integrity, ethnic and religious tolerance.
We must strive to build a fair, just and equitable society, that prefers investment to consumption, thrift over waste and which celebrates integrity over corruption. These values are not only morally right, but they are also essential underpinnings for restoring growth, investing in our people and building a globally competitive economy.
May I conclude by extending warm congratulations, to the participants graduating from NIPSS today. I have no doubt that you will all be returning to your respective duty stations full of insight and understanding of our national policy space. I urge you to deploy the knowledge gained here in support of the national development efforts in whatever positions you find yourselves. The proof that you have a role to play in evidenced by the very vibrant, committed and forward looking Alumni Association that you have joined.
In similar vein, we must commend the Acting Director-General and Faculty of NIPSS to whom has been given the critical task of developing the Nigerian policy infrastructure, and for their commitment to maintaining the dynamic spirit of Kuru. The Federal Government is aware of some of the challenges that the Institute continues to face, we are committed to resolving them.
Thank you for your kind attention.