Business

Nigeria’s oil revenue drops further, as N389.9 bn is shared

Published

11 years ago

October 29, 2015

Nigeria’s earnings from crude oil exports continued to decline in September, as the three tiers of government shared only N389.936 billion for the month.
Apart from May and June, when the country earned revenues higher than preceding months, statutory earnings have been on the decline since July.
In July, the country’s revenue dropped by N52.4 billion; N64.36 billion in August; and N47.14 billion in September.
The Permanent Secretary, Federal Ministry of Finance, Anastasia Daniel-Nwaobia, said at the end of the meeting of the Federation Accounts Allocation, FAAC, that gross statutory revenue for September stood at N328.326 billion.
Of that figure, Mrs. Daniel-Nwaobia said about N7.2 billion was deducted as cost of collection for the various revenue generating agencies, including the Federal Inland Revenue Service, FIRS, and the Nigeria Customs Service, NCS.
She said grand statutory revenue for the month was N321.996 billion, which was lower by N47.144 billion than the N369.14 billion collected in August.
The decline in revenue for the month was attributed to the negative impact of shut down and shut-in of oil production in various terminals in the Niger Delta for maintenance and repairs.
Specifically, the country lost about $32.07 million during the month as a result of the drop in average crude oil price from $56.76 per barrel in July to about $47.32 in August.
The Organisation of Petroleum Exporting Countries, OPEC, price stood at $42.40 per barrel on Tuesday, October 27, 2015, compared to $43.13 recorded the previous day.
The current revenue challenge, Mrs. Daniel-Nwaobia noted, was further worsened with a decline of over N44 billion in non-oil revenue collections.
The value added tax, VAT, for the month was N56.399 billion, while refund to the Federal Government from the Nigerian National petroleum Corporation, NNPC was N6.33 billion and N5.211 billion exchange gain.
The grand total revenue available for distribution among the three tiers of government for the month stood at N389.936 billion as against N442.606 billion in August.
The Permanent Secretary said the balance in the Excess Crude Account, ECA, as at October 28 remained at about $2.256 billion.
“No excess money has been added to the account as the country has not made any excess revenue from the sale of her crude oil,” she explained.
Details of the revenue distribution showed that the Federal Government collected N151.343 billion (about 52.68 percent); state governments N76.763 billion (about 26.72 percent); Local Governments N59.181 billion (about 20.6 percent) and N27.505 billion as 13 percent derivation to oil producing states.
On the dwindling oil prices, Mrs. Daniel-Nwaobia said the Federal Government was seriously worried about the impact on the economy and the ability to carry out development programmes.
“The committee is very worried. Almost all economies of the world are facing difficulties in the form of headwinds,” she said.
“It’s how one manages ones’ situation that matters. The Federal Government is already aware of this challenge the country is facing. Reforms are already being undertaken. The impact of the reforms may not come as quick as one would expect, but with time, they would manifest,” the Permanent Secretary said.
With the country’s dependence on more than 70 percent of her revenue on oil, she said the volatility in the price of crude oil has exacerbated the country’s poor revenue base.
The government, she pointed out, was talking about diversifying the economy away from oil, with its focus now shifting to other sectors of the economy, especially the non-oil sector.
The concentration of government effort, the Permanent Secretary pointed out, was now on domestic resource mobilisation in the area of improvement on the country’s tax administration to widen the tax net to cover the formal sector, to generate more revenue.
Nigeria’s population is very large. There are a lot of small economic activities around that have not been properly captured in the tax net.
Discussions, she stated, are on to review of the VAT rate, adding that a lot of sensitization were ongoing.
“We are beginning to see some improvements in revenues coming in from those sectors. Government is also looking at the mining sector. A lot of discussions are on-going to check illegal mining activities. The Ministry is working with the Ministry of Mines and Steel to improve on the revenue from that sector,” said.
On capital allocations in the budget, Mrs. Daniel-Nwaobia said the government has so far released approved appropriation for two quarters.
Although she could not confirm whether the releases included about N100 billion demanded by the National Assembly for the controversial constituency projects, the Permanent Secretary said most of the ministries, departments and agencies, MDAs, have received their capital votes.
She said those that may not have collected their allocations may be as a result of the requirements under the new Treasury Single Account, TSA policy demands an authority to incur expense, AIE, from the office of Accountant General of the Federation, OAGF before accessing such funds.

Business

BUA Chairman Abdul Samad Rabiu Rises to Become Africa’s Second Richest Man

Published

1 day ago

April 30, 2026

Sahara Weekly

BUA’s Abdul Samad Rabiu Promises $1.5m Windfall, Goal Bonuses as Super Eagles Fly Past Algeria

BUA Chairman Abdul Samad Rabiu Rises to Become Africa’s Second Richest Man

LAGOS – In a notable reshuffle of Africa’s wealth hierarchy, Abdul Samad Rabiu, Chairman of BUA Group, has climbed to the position of the continent’s second richest individual. The development highlights the accelerating growth of his industrial empire and the increasing global relevance of Nigeria’s manufacturing sector.

Recent valuations show the billionaire businessman overtaking long-standing contenders to secure the number two spot, behind only Aliko Dangote. His rise has been driven largely by the strong market performance of his publicly listed firms, BUA Cement Plc and BUA Foods Plc, both of which have recorded significant gains on the Nigerian Exchange (NGX).

Rabiu’s ascent reflects years of strategic expansion and vertical integration. BUA Cement, Nigeria’s second-largest cement producer, has scaled up operations with new production lines to meet rising infrastructure demand. At the same time, BUA Foods has strengthened its leadership in key segments such as sugar, flour, and pasta, reinforcing its role in regional food supply.

Analysts note that his focus on essential goods has provided stability, helping his businesses maintain steady revenues despite broader economic fluctuations. By prioritizing domestic production, BUA Group has also reduced exposure to external shocks.

Philanthropy and Development Impact

Beyond business, Rabiu has earned global recognition for his philanthropic efforts through the ASR Africa Initiative, a $100 million annual intervention fund supporting education, healthcare, and social development across Africa.

His rise in the rankings is widely viewed as evidence of the power of African-driven industrialization—not only in building wealth but also in delivering meaningful social impact. As Africa’s economic landscape evolves, the shifting billionaire rankings underscore the growing influence of Nigeria’s private sector in shaping the continent’s future.

Bank

ZENITH BANK EXPANDS FRONTIERS WITH CÔTE D’IVOIRE SUBSIDIARY, DEEPENS FRANCOPHONE WEST AFRICA PUSH

Published

3 days ago

April 29, 2026

Sahara Weekly

ZENITH BANK EXPANDS FRONTIERS WITH CÔTE D’IVOIRE SUBSIDIARY, DEEPENS FRANCOPHONE WEST AFRICA PUSH

Zenith Bank Plc has taken a major step in its Pan-African growth journey with the official launch of its Côte d’Ivoire subsidiary, reinforcing its strategic ambition to dominate key markets across the continent.

The grand opening ceremony, scheduled for Wednesday, April 29, 2026, is expected to draw top-tier government officials and regulators from Nigeria and Côte d’Ivoire, alongside leading business executives and members of the diplomatic corps—underscoring the growing economic ties and investment flows between Anglophone and Francophone Africa.

Licensed in December 2025 by Côte d’Ivoire’s Ministry of Finance and Budget and regulated by the UMOA Banking Commission, the new subsidiary will operate from its headquarters at SCI Wall Street, Avenue Noguès, Plateau, Abidjan—one of the region’s most important financial hubs.

The move signals a calculated expansion into Francophone West Africa and positions Zenith Bank as a key financial bridge within the West African Economic and Monetary Union. The subsidiary is designed to drive cross-border trade, offering corporate banking, trade finance, offshore banking, and structured financial solutions tailored to businesses operating across Africa and beyond.

Speaking on the milestone, Group Managing Director/CEO Adaora Umeoji said the expansion aligns with the founding vision of Chairman Jim Ovia to build a globally competitive African bank.

“The launch of Zenith Bank Côte d’Ivoire is a bold step in realising that vision. It opens a strategic corridor into Francophone West Africa and reinforces our commitment to facilitating trade, investment, and enterprise growth across the continent,” she stated.

The subsidiary will be led by Managing Director/CEO Cédric Tano, who brings over two decades of industry experience. He noted that the bank is entering the Ivorian market at a time of strong economic momentum and increasing regional integration.

“Our goal is to position Zenith Bank as a customer-centric institution that blends global best practices with deep local expertise, while supporting businesses with innovative financing and enabling seamless cross-border transactions,” Tano said.

Beyond Côte d’Ivoire, Zenith Bank is accelerating its expansion into Central Africa, with plans underway to enter the Central African Economic and Monetary Community, using Cameroon as a strategic gateway.
With an established presence in multiple markets—including Ghana, Sierra Leone, The Gambia, the United Kingdom, France, the UAE, and China—the bank continues to strengthen its role as a conduit linking African economies to global capital and trade networks.

Founded in 1990, Zenith Bank has evolved into one of Africa’s most formidable financial institutions, maintaining the highest Tier-1 capital position in Nigeria’s banking industry for 16 consecutive years. Built on its core pillars of People, Technology, and Service, the bank has consistently delivered strong financial performance and earned widespread local and international recognition.

Business

ADVAN Wins Global Honour at WFA Awards for “Project Freedom” Initiative

Published

7 days ago

April 25, 2026

Sahara Weekly

ADVAN Earns Global Recognition As WFA President’s Award Winner For “Project Freedom”

The Advertisers Association of Nigeria (ADVAN) has been recognised on the global stage as a recipient of the prestigious WFA President’s Award, presented by the World Federation of Advertisers during its Global Marketer Week in Stockholm. The recognition places ADVAN among a select group of leading industry associations worldwide acknowledged for driving meaningful impact in marketing and society.

The WFA President’s Awards, established in 2010, celebrate national industry associations whose initiatives advance the marketer’s agenda and contribute to positive change. This year’s honours were awarded following a rigorous selection process involving 38 submissions from associations across the WFA’s global network, with winners chosen for their measurable impact and potential for replication across markets.

ADVAN’s recognition comes through its advocacy initiative, Project Freedom, a bold and strategic effort focused on addressing the challenges of stifling, non–data-driven regulations affecting businesses in Nigeria and across Africa. The initiative underscores the importance of evidence-based policymaking while championing the constitutional right to freedom of commerce.

Through Project Freedom, ADVAN has taken a proactive leadership role in engaging key stakeholders and shaping conversations around fair, balanced, and transparent regulation. The initiative reflects a shift toward constructive dialogue and collaboration, ensuring that regulatory frameworks support innovation, protect consumer interests, and enable sustainable business growth.

By earning this global recognition, ADVAN reinforces the growing influence of African marketing institutions in shaping international discourse. Its work highlights how local advocacy, when rooted in data and guided by clear principles, can deliver impact not just within national borders but across the global marketing ecosystem.

The award also affirms ADVAN’s commitment to strengthening self-regulation within the industry, fostering accountability, and promoting standards that align with global best practices while remaining relevant to local realities.

As the marketing landscape continues to evolve, ADVAN’s recognition by the World Federation of Advertisers signals a strong endorsement of its leadership and vision. It positions the association as a key voice in advancing responsible marketing, advocating for enabling policies, and ensuring that businesses can operate in an environment that supports both innovation and economic freedom.