Headline

Oil-producing States Borrow N1.3tn Amid N6.4tn Windfall

Published

3 years ago

December 2, 2022

PANDEF, others ask N’Delta governors to showcase development projects

Oil-producing states received N1.9tn as derivation fund under Buhari – Minister

The total debts of 10 oil-producing states rose from N2.04tn in December 2015 to N3.35tn as of June 2022, according to sub-national debt reports of the Debt Management Office.

This means that a total of N1.31tn was borrowed within a period of about seven years by the states.

The 10 states are: Rivers, Akwa Ibom, Delta, Edo, Abia, Ondo, Imo, Cross River, Bayelsa and Lagos.

This came as findings by The PUNCH show that the oil-producing states received the sum of N6.4tn in federal allocation and 13 per cent derivation fund.

The Federal Government disbursed a total of N1.98tn as a share of the 13 per cent derivation fund to oil-producing states, the Minister of Finance, Budget, and National budget, Zainab Ahmed, disclosed on Thursday, at the sixth edition of the PMB Administration Scorecard.

She stated that the amount was paid in seven years despite some of the funds preceding the current administration.

She said, “One of the key functions of the Ministry of Finance Budget and National Planning is in support of states. The President understands very clearly that this economy wouldn’t have been growing consecutively or wouldn’t have been able to pull ourselves out of recession twice.

“We wouldn’t have been able to grow consistently without enabling the states to grow because it is a federation.

“Mr. President has been very uniquely generous in his support to states. I can say no president has provided the level of support provided to the states of the Federation.

“He understands that the federating units need to work together as one to achieve the targets that he has set for the country. So, everybody goes to support sub-national governments.

“In seven years, we have disbursed N1.98 trillion in funds to oil-producing states.”

Recall that the 13 per cent derivation fund has been a controversial issue after comments by Rivers State Governor, Nyesom Wike, alleging that the oil-producing states had refused to disclose their own shares paid by the Federal Government from 1999 to all the Niger Delta States.

Ahmed further said that the government had supported states of the federation N5.03tn and an additional $3.4bn since 2015.

She said, “With respect to sub-national governments, the ministry goes over and above its statutory role to provide financial support to States:

“A total of N5.03tn plus an additional $3.4bn has been released to states by the Federal Government over the life of this administration.

“Each of these payments has distinct repayment terms with some given as grants and others as loans with favourable repayment terms, including a long amortisation period.

“The support covers the 13 per cent Derivation refund to oil-producing states, refunds for construction of federal roads, ecological support, support from the Development of Natural Resources Fund, Paris Club refunds, support from the Stabilisation Fund, COVID intervention amongst others.”

Reeling out the details, Ahmed said N445bn was given as salary bailout to states except Akwa Ibom, Anambra, Jigawa, Lagos and Yobe in September 2015, while N340bn was disbursed to states except Lagos and Osun as excess crude loan. Also, N610bn was allocated to all states, except Lagos, as a budget support facility.

Other support included: $2.67tn as an outright Paris Club refund; N750m disbursed in 2021 as an SFTAS reward; and N600bn paid as withdrawal from payment of subsidy in April 2022.

Speaking further, the minister revealed that the non-oil sector had continued to maintain high-level performance in terms of revenue generated, adding that it was currently the mainstay of the nation’s economy.

She said that the sector contributed N1.71trn out of the total revenue of N4.19trn, an outturn of 100.7 per cent compared to the budget projection.

“Today, I call your attention to the very high performance of the non-oil sector of our economy. As of September 2022, the Federal Government’s share of oil revenues to fund the budget was N535.5bn representing 32.6 per cent performance), while non-oil tax revenues totalled N1.71tn an outturn of 100.7 per cent compared to the budget projection.

“The non-oil revenue share of funding the Federal Government has improved. We have been able to move from contributing 35 per cent to the federal budget to contributing 73 per cent to the financing of the federal budget.”

N6.4tn windfall

Oil-producing states got N4.46tn from Federation Account Allocation Committee between 2016 and 2020, according to data from the National Bureau of Statistics collated by The PUNCH. When combined with the N1.98tn allocated to oil-producing states as a share of the 13 per cent derivation, the amount moves to N6.4tn.

Within the period under review, Delta got the highest allocation of N804.27bn while Cross River got the least, N147.86bn.

The allocation of other states were as follows: Akwa Ibom, N769.19bn; Lagos, N523.63bn; Rivers, N675.54bn; Edo, N255.32bn; Abia, N225.47bn; Ondo, N250.86bn; Imo, N234.37bn; and Bayelsa, N575.39bn.

According to the NBS, FAAC gets oil revenues and related taxes, revenues from the Nigerian Customs Service, company income tax, any sale of national assets as well as surplus and dividends from state-owned enterprises.

Meanwhile, the total debts of 10 oil-producing states rose from N2.04tn in December 2015 to N3.35tn as of June 2022, according to sub-national debt reports of the Debt Management Office.

A further breakdown showed that in 2015, a total of N1.22tn was from domestic creditors while $1.84bn (or N817.27bn at the Central Bank of Nigeria’s exchange rate of N444.17 per dollar as of November 1, 2022) was from external sources.

By June 2022, N2.42tn was borrowed from domestic sources while $2.31bn was from foreign sources such as the World Bank and African Development Bank.

For sub-national domestic debts, Lagos leads with the most debt, from N218.54bn domestic debt in 2015 to N797.31bn by June 2022.

It is followed by Delta, whose debt rose from N320.61bn domestic debt in 2015 to N378.88bn by June 2022.

Third on the list is Rivers, from N134.97bn domestic debt in 2015 to N225.51bn by June 2022.

For foreign debt, Lagos leads with the most debt, from $1.21bn in 2015 to $1.27bn by June 2022.

It is followed by Edo, whose external debt increased from $168.19m to $268.31m. Cross River is next, from $136.4m to $215.74m within the period under review.

PANDEF, Kio-Briggs kick

The Pan Niger Delta Forum and popular rights activist, Ann Kio-Briggs, have taken a swipe at the Federal Government over claims that the N1.98tn it disbursed to the Niger Delta region was not commensurate with the level of development in the region.

The National Publicity Secretary of PANDEF, Ken Robinson, said, “As you know, the fact of the matter is that it is the resources of the Niger Delta people that the Federal Government of Nigeria is plundering, wasting over the years. To say that they have given the Niger Delta N1.98tn as reported and all that is unnecessary. What is N1.98tn?

“How much has been taken away from the Niger Delta compared to the devastation that has been done to the Niger Delta environment and the livelihoods of the people that have been decimated?

“And all these complicate or increase the social and economic challenges of the area. There are more people who ordinarily would have been involved in farming or fishing who are now looking for jobs.”

The PANDEF spokesman explained that no amount of funds allotted to the crude oil and gas-rich region was too much, being the goose laying the golden egg.

He, however, said it was not an excuse for the poor governance in the country, which he said was not peculiar to the Niger Delta alone.

“And I think that some of these governors in the Niger Delta should also do more in terms of showcasing what they are doing with the resources that they got. And that we will say that whether the level of development is commensurate to the amount of money received is relative because of the difficult terrain the Niger Delta is faced with in terms of developmental challenges.”

On her part, Kio-Briggs said the Federal Government must be specific and come up with facts as to which agency or governors the amounts they claimed to have disbursed was given for purposes of accountability.

She said, “First of all, I don’t like it when the government says that they have disbursed so much money.

“When you want to give information, you have to give credible, verifiable, truthful information to people, so that people can make up their minds. You can’t make up their minds for them.

“Why do I say this? You can’t just say you have disbursed so much to Niger Delta, no. Say I have disbursed N2.3trillion hypothetically to the Niger Delta Development Commission; I have disbursed N5. 2tn to the Ministry of Niger Delta.”

Continuing, Kio-Briggs stated that the people of the region were not fools to believe hook, line and sinker anything the Federal Government says.

PUNCH

Headline

Four Places In The World Without Traffic Lights

Published

13 hours ago

August 29, 2025

Editor

In a world where traffic lights are an essential part of road management, a few countries and regions stand out for functioning without them. These places rely on alternative systems ranging from police officers and roundabouts to cultural driving habits to manage traffic. Here’s a closer look at the nations and areas where traffic lights are absent.

Bhutan

Bhutan is famously known as the only country in the world that operates entirely without traffic lights. Even in its capital city, Thimphu, which has witnessed growing traffic due to urbanisation, automated signals have never been adopted. Instead, traffic management is handled by police officers who stand at major intersections, directing vehicles with hand signals.

In 1995, when a set of traffic lights was briefly installed in Thimphu, public complaints led to their swift removal, as locals felt the system clashed with the country’s traditions and culture of cooperation. Bhutan’s reliance on human-directed traffic reflects both its small population and strong sense of civic responsibility.

Vatican City

Vatican City, the world’s smallest sovereign nation, also operates without any traffic lights. With an area of just 44 hectares and a population of around 800 people, the city-state does not require traffic signals to regulate movement. Roads inside the Vatican are short and few, and traffic is mostly managed by signage and the Vatican’s own police force. However, just outside the Vatican’s walls, in Rome, traffic lights are abundant, highlighting the contrast between the bustling Italian capital and the tranquil governance of the Holy See.

Niue

In the South Pacific, Niue, one of the world’s smallest island nations, also has no traffic lights. With a population of less than 2,000 people and very limited vehicle traffic, there is little need for automated signals. Roads are quiet, and driving is relaxed, with motorists often waving to one another as they pass.

The absence of traffic lights in Niue is less a necessity than a reflection of the island’s lifestyle, where community trust and minimal congestion make formal traffic control unnecessary.

Tekesi County, China

A unique example of urban planning without traffic lights can be found in Tekesi County, Xinjiang, China. The county town was designed based on the ancient Bagua (Eight Trigrams) symbol from Taoist philosophy. Its distinctive circular and radiating street layout relies on roundabouts to direct vehicles.

In 1996, authorities cancelled the installation of traffic lights in order to preserve the Bagua system, making Tekesi a rare modern settlement that manages traffic without signals. The design has since become both a cultural attraction and a point of pride for residents, who see it as a symbol of harmony and balance.

Headline

Nigerian Student Wins ‘Top In World’ Cambridge IGCSE English Award

Published

13 hours ago

August 29, 2025

Editor

A Nigerian student, Kenechukwu Oluwanifemi Uba, has emerged the “Top in World” candidate in the November 2024 Cambridge IGCSE English as a Second Language (Speaking Endorsement).

Uba, a pupil of Caleb International College, Magodo, Lagos, received the Outstanding Cambridge Learners Award for her performance, which was recognised by Cambridge University Press & Assessment.

This was contained in a statement signed by the Spokesperson to the Proprietor and Founder, Caleb Group of Schools and University, Prof. Elvis Otobo, and made available to The PUNCH on Friday.

The certificate, signed by the Group Managing Director of International Education at Cambridge, Rod Smith, was presented during a ceremony organised by the British Council and Cambridge University Press & Assessment at the Civic Centre, Lagos.

Speaking on the achievement, the Proprietor/CEO of Caleb Group of Schools and University, Dr. Oladega Adebogun, said the recognition reflected the school’s values of integrity, perseverance and innovation.

“We are overjoyed by Kenechukwu’s outstanding performance.

“Her success embodies our core values of integrity, perseverance, and innovation. We invest heavily in cutting-edge teaching methods—from flipped classrooms to AI-driven language labs—so that every student can discover their potential and lead with confidence,” Adebogun said.

Uba expressed gratitude to her teachers, classmates and family, noting that preparing in the school’s language lab helped build her confidence.

“From the moment I joined Caleb, I felt inspired by teachers who challenged me to think deeply and by peers who encouraged me to persevere. Preparing for the speaking endorsement in our state-of-the-art lab sharpened my confidence. This recognition belongs to everyone—my mentors, my classmates, and my family,” she said.

Caleb International College described the award as proof of its commitment to raising globally competitive students through advanced learning facilities and strong character development programmes.

Headline

Iran Has Executed At Least 841 People This Year — UN

Published

14 hours ago

August 29, 2025

Editor

At least 841 people have been executed in Iran since the start of the year, the UN said Friday, decrying “a systematic pattern of using the death penalty as a tool of state intimidation”.

The United Nations’ human rights office said there had been a “major increase in executions” by Tehran during the first half of 2025.

“Iranian authorities have executed at least 841 people since the beginning of the year,” spokeswoman Ravina Shamdasani told reporters in Geneva.

“The real situation might be different,” she added. “It might be worse, given the lack of transparency.”

In July alone, she said, Iran had executed at least 110 individuals — twice the number of people executed in July 2024.

“The high number of executions indicates a systematic pattern of using the death penalty as a tool of state intimidation, with disproportionate targeting of ethnic minorities and migrants,” Shamdasani added.

She cited the executions of Afghan nationals, and of Baluch, Kurdish, and Arab citizens.

In the first six months of the year, at least 289 people were executed for drug-related offences.

Shamdasani said the pattern witnessed across multiple countries showed that when their governments perceive threats to their grip on public order, they become increasingly repressive and less tolerant of dissent.

– Hangings before children –

The spokeswoman in particular criticised the staging of public executions in Iran. The rights office documented seven such cases since the beginning of the year — some reportedly in front of children.

“Public executions add an extra layer of outrage upon human dignity… not only on the dignity of the people concerned — the people who are executed — but also on all those who have to bear witness,” she said.

“The psychological trauma of bearing witness to somebody being hanged in public, particularly for children, is unacceptable.”

The UN human rights office said there were serious concerns over due process in capital punishment cases.

“What we are particularly worried about is that a lot of these death sentences are imposed based on vague laws,” the spokeswoman said, such as charges of enmity against God.

Shamdasani said that 11 individuals were currently facing “imminent execution” in Iran, including six charged with “armed rebellion” due to alleged membership of the exiled opposition People’s Mujahedeen Organization of Iran (MEK).

The other five had been sentenced to death over their participation in large-scale protests in 2022, she said. Iran’s supreme court last week confirmed the death sentence against workers’ rights activist Sharifeh Mohammadi, she added.

The UN rights office was urging Iran’s government “not to implement the death penalty against these and other individuals on death row”, Shamdasani said.

“The death penalty is incompatible with the right to life and irreconcilable with human dignity,” she added.

“It creates an unacceptable risk of executing innocent people. It should never be imposed for conduct that is protected under international human rights law.”

UN human rights chief Volker Turk is calling on Tehran to impose a moratorium on the application of capital punishment, as a step towards abolition.
AFP