Echotitbits – Nigeria News

Category: Economy

  • Naira Gains in Official Market as CBN Interventions Boost Liquidity

    Naira Gains in Official Market as CBN Interventions Boost Liquidity

    The Nigerian naira opened the final week of January 2026 with modest gains against the US dollar in the official market, following reported Central Bank of Nigeria (CBN) interventions and improved foreign exchange liquidity.

    Market watchers say the spread between official and parallel market rates continues to narrow, a trend linked to recent efforts to attract foreign portfolio inflows and stabilize the currency. For import-reliant businesses, even incremental stability can ease cost planning and reduce pass-through inflation on raw materials.

    The CBN is expected to remain cautious, maintaining a tight monetary stance as inflation risks persist. Separate market reporting also characterized the gains as liquidity-driven, reinforcing the view that policy signaling and FX supply conditions will be decisive through Q1.

    Echotitbits take: Currency stability is the Holy Grail for the current economic team. If the Naira stays within this range, we might see a more significant drop in the cost of imported raw materials by the second quarter.
    Source: BusinessDay – https://businessday.ng/business-economy/article/naira-records-0-8-year-to-date-gain-as-reserves-grow-further/ 2026-01-26

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  • Presidential Incentives Target Multibillion-Dollar Shell Bonga Southwest Project

    Presidential Incentives Target Multibillion-Dollar Shell Bonga Southwest Project

    Presidential Incentives Target Multibillion-Dollar Shell Bonga Southwest Project

    Reporting by The Nation indicates that President Bola Tinubu has approved a suite of targeted fiscal incentives to catalyze investment in major deep offshore oil projects, specifically focusing on Shell’s Bonga Southwest development. The move is intended to unlock thousands of jobs and ensure a steady inflow of foreign exchange. The President emphasized that these are “disciplined and globally competitive” measures rather than blanket tax holidays.

    The incentives are structured to make Nigeria’s energy sector more attractive to international oil companies (IOCs) who have recently pivoted toward other African frontiers. During a meeting with Shell’s Global CEO, Wael Sawan, the Presidency highlighted that Shell and its partners have already committed nearly $7 billion to various Nigerian projects over the past 13 months. This new policy framework is expected to accelerate the Final Investment Decision (FID) for Bonga Southwest.

    Validation from Vanguard shows that industry analysts see this as a turning point for the petroleum sector, with one expert stating that policy stability is critical for restoring long-term upstream confidence. Additionally, Channels TV reported that the government expects the project to generate sustained revenue over the life of the asset. Shell’s CEO remarked that Nigeria’s investment climate has improved, giving the company confidence to evaluate longer-term horizons.

    Echotitbits take: After years of divestment talk, this is a major signal to Nigeria’s upstream sector. The focus on targeted rather than blanket incentives suggests a more sophisticated approach to balancing investor needs with national revenue. The immediate impact will be on FX stability if these projects move from paper to production.

    Source: The Punch — https://punchng.com/shells-5bn-bonga-swest-project-gets-presidential-support/ (2026-01-23)

    Photo Credit: The Punch 2026-01-23

  • Jersey to Repatriate $9.5m Abacha Funds for Abuja–Kano Road Completion

    Jersey to Repatriate $9.5m Abacha Funds for Abuja–Kano Road Completion

    According to The Punch, the Bailiwick of Jersey will return more than $9.5 million in forfeited funds to Nigeria, with the money earmarked for the final stages of the Abuja–Kano Road project.

    The report frames the move as part of Nigeria’s wider asset-recovery push, with officials emphasizing visible infrastructure outcomes from recovered proceeds.

    For road users and contractors, the key question is how quickly the repatriated funds translate into measurable progress on the corridor.

    Daily Post also described it as “fresh $9.5m Abacha loot” being returned from Jersey, while Tribune Online similarly reported “more than $9.5 million” headed back to Nigeria for the Abuja–Kano route.

    Echotitbits take: Watch procurement and project transparency—implementation details, milestone reporting, and independent monitoring will decide whether this becomes a trust-building win.

    Source: PremiumTimes – https://www.premiumtimesng.com/news/headlines/848587-jersey-to-repatriate-over-9-5m-abacha-loot-to-nigeria.html January 10, 2026

    PremiumTimes 2026-01-10

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  • Osun Payroll Audit Flags 8,452 ‘Ghost Workers’ as State Tightens Wage Controls

    Osun Payroll Audit Flags 8,452 ‘Ghost Workers’ as State Tightens Wage Controls

    Reporting by The Punch indicates a payroll audit uncovered 8,452 alleged ghost workers in Osun State, raising fresh questions about payroll controls and wage leakages.

    The report suggests the finding emerged from a verification process aimed at tightening wage administration in a period of fiscal pressure.

    If the clean-up is sustained, it could free funds for public services, though disputes may follow over wrongful deletions and labour politics.

    Premium Times also reported the “8,452 ghost workers” figure, while The Guardian similarly described the discovery within a payroll clean-up narrative for the state.

    Echotitbits take: The real test is enforcement—publishing an audit trail, recovering funds where possible, and sanctioning those who enabled payroll fraud.

    Source: The Punch – https://punchng.com/consultant-uncovers-8452-ghost-workers-in-osun/ January 10, 2026

    The Punch 2026-01-10

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  • State House Travel Vote Sparks Debate as 2026 Estimate Hits N12.2bn

    State House Travel Vote Sparks Debate as 2026 Estimate Hits N12.2bn

    In an update published by Vanguard, the 2026 State House estimates indicate President Tinubu, Vice President Shettima, and aides could spend N12.2bn on foreign and local travel in 2026.

    The report has revived questions about austerity optics amid inflation and cost-of-living pressures, as lawmakers review spending lines.

    Supporters argue official travel can yield diplomatic and investment gains, while critics demand clearer justification and outcome reporting.

    SaharaReporters also highlighted foreign travel plans, noting “plan to spend N7.4 billion on foreign trips,” while GazetteNGR summarized the same theme with “about N9 billion” in its highlight.

    Echotitbits take: Watch for outcome-based accountability—investment commitments and measurable diplomacy gains that justify the travel vote.

    Source: Vanguard – https://www.vanguardngr.com/2026/01/2026-budget-tinubu-shettima-aides-to-spend-n12-2bn-on-trips/ January 10, 2026

    Vanguard 2026-01-10

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  • Cross River Revenue Service Suspends New Assessments as It Tightens Reform Processes

    Cross River Revenue Service Suspends New Assessments as It Tightens Reform Processes

    Reporting by Tribune indicates Cross River’s revenue administration paused new tax assessments while it reviews and tightens processes linked to reform-era enforcement changes.

    The policy logic is consistent with crackdowns aimed at reducing leakages, standardizing assessments, and limiting opaque cash collection practices.

    Short-term disruptions are possible if taxpayers and businesses lack clear guidance on what applies, when, and how disputes will be handled.

    Radio Nigeria also reported the suspension directive as part of process tightening, while GazetteNGR highlighted the state’s push toward reform-aligned, cashless tax practices, noting “end cash tax payments” in its summary.

    Echotitbits take: Watch for published taxpayer guidelines and a credible appeals mechanism—those separate reform from confusion.

    Source: Guardian – https://guardian.ng/news/tax-reform-act-crirs-suspends-tax-assessment-process-for-review/ January 10, 2026

    Guardian 2026-01-10

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  • CBN Projection Puts Petrol Around N950/Litre, Raising Fresh Inflation Concerns

    CBN Projection Puts Petrol Around N950/Litre, Raising Fresh Inflation Concerns

    According to Vanguard, a CBN-linked macro projection suggests petrol could average around N950 per litre, reflecting a model-driven outlook shaped by exchange rates and supply costs. (more…)

  • Tinubu Insists New Tax Laws Stay on Track Despite Discrepancy Dispute, Reuters Reports

    Tinubu Insists New Tax Laws Stay on Track Despite Discrepancy Dispute, Reuters Reports

    Reporting by Reuters indicates President Bola Tinubu said Nigeria would implement new tax laws from January 1 despite calls for delay, describing the reforms as a major reset even as critics raised concerns about discrepancies and administrative powers.

    The dispute centers on trust in the legislative process, enforcement safeguards, and the practical impact on households and businesses facing inflation pressure.

    Government posture suggests implementation will proceed while flagged issues are addressed through engagement and clarifying measures.

    KPMG’s note said certified versions were meant to address discrepancy allegations but still contain “errors, inconsistencies, gaps, and omissions,” while Taiwo Oyedele’s public messaging insisted there is “No Going Back” on implementation.

    Echotitbits take: Watch for clarifying circulars and early enforcement restraint. The first quarter will reveal whether compliance rises—or resistance spreads.

    Source: Reuters — https://www.reuters.com/world/africa/nigeria-implement-new-tax-laws-january-1-despite-calls-delay-tinubu-says-2025-12-30/ January 10, 2026

    Reuters 2026-01-10

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  • KPMG Warns Nigeria’s ‘Certified’ Tax Laws Still Contain Errors and Gaps Needing Fixes

    KPMG Warns Nigeria’s ‘Certified’ Tax Laws Still Contain Errors and Gaps Needing Fixes

    In an update published by KPMG Nigeria, the firm said certified versions of Nigeria’s tax reform laws were intended to address discrepancy allegations, but the legislation still contains “errors, inconsistencies, gaps, and omissions” requiring fixes.

    Tax implementation depends on precision—definitions, dispute processes, and administrative powers must be unambiguous to avoid abuse and litigation.

    For businesses, uncertainty raises compliance costs and can delay investment decisions while firms wait for official guidance.

    Reuters reported the dispute over discrepancies and implementation, while reform advocates have publicly framed the rollout as non-negotiable with “No Going Back” messaging.

    Echotitbits take: Watch for amendment bills and administrative guidance notes—fast clarification reduces disruption for SMEs and the capital market.

    Source: The Punch — https://punchng.com/kpmg-flags-errors-gaps-in-gazetted-tax-laws/ —  January 10, 2026

    The Punch 2026-01-10

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  • NACCIMA Raises Alarm Over 139 Million Nigerians in Poverty

    NACCIMA Raises Alarm Over 139 Million Nigerians in Poverty

    In an update published by ThisDay, the President of the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA), Dele Kelvin Oye, said about 139 million Nigerians are living below the poverty line, citing updated World Bank data for 2025/2026. He argued that GDP growth is being undermined by the scale of economic hardship.

    Oye said Nigeria is facing a “dual-inflation” challenge: demand-pull inflation linked to deficit spending, and cost-push inflation tied to high energy and transport costs. He added that higher interest rates may curb liquidity but also squeeze private-sector investment.

    He called for a shift in fiscal policy, urging the government to prioritize manufacturing and agricultural productivity over heavy borrowing, and warned that weak purchasing power will keep pressure on prices and the naira.

    The Guardian and Vanguard also reported related concerns from analysts about the widening gap between market indicators and household conditions.

    Echotitbits take: The 139 million estimate highlights how macro gains can miss the street-level reality. The tension between tighter monetary policy and private-sector calls for cheaper credit could intensify into a major policy debate in 2026.

    Source: BusinessDay – https://businessday.ng/news/article/2026-budget-could-trap-nigeria-in-fiscal-time-loop-despite-gains-from-reforms/ 2026-01-09

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