Echotitbits – Nigeria News

Tag: economy

  • Clarivo Refinery Set to Drastically Cut Nigeria’s Fuel Imports

    Clarivo Refinery Set to Drastically Cut Nigeria’s Fuel Imports

    Reporting by Vanguard indicates that the management of Clarivo Refinery has announced a strategic roadmap to significantly reduce Nigeria’s dependence on imported petroleum products by the year 2035. The refinery, which is part of a new wave of private energy investments, aims to scale its production capacity to meet both domestic demand and export requirements. This announcement comes as the federal government continues to encourage private modular and large-scale refineries to stabilize the energy sector.

    The management emphasized that the refinery will focus on high-efficiency output and local value addition, ensuring that crude oil produced in Nigeria is refined within the country. This move is expected to save the nation billions in foreign exchange and create thousands of direct and indirect jobs in the downstream sector. The project is seen as a major win for the “Renewed Hope” economic agenda which prioritizes domestic energy security.

    The development was also validated by The Nation and Leadership. The Nation mentioned that “Clarivo is seeking further partnerships for its petrochemical wing,” while Leadership noted that “the refinery’s first phase is already 60% complete.”

    Echotitbits take:

    With the Dangote Refinery already operational, the addition of Clarivo suggests Nigeria is finally moving toward becoming a net exporter of refined products. Watch for the competition between these private giants to potentially drive down local pump prices through increased supply.

    Source: Vanguard – https://www.vanguardngr.com/2026/01/clarivo-oil-plans-world-class-refinery-in-nigeria-ceo-obidike/, January 31, 2026

    Photo credit: Vanguard

  • Creative Sector Identified as Primary Driver for 2026 GDP Growth

    Creative Sector Identified as Primary Driver for 2026 GDP Growth

    Figures cited by Leadership from the Minister of Interior, Olubunmi Tunji-Ojo, indicate that the creative sector is being prioritized as a primary engine for Nigeria’s economic growth in 2026. Following a strategic meeting with the leadership of the Theatre Arts and Motion Pictures Practitioners Association of Nigeria (TAMPAN), the government pledged to create a more enabling environment for filmmakers, musicians, and digital creators. The sector is expected to play a critical role in the government’s plan to bring 10 million Nigerians into productive economic activity.

    The Minister emphasized that the “orange economy” has the potential to generate massive foreign exchange and create jobs for the youth at a faster rate than traditional manufacturing. Plans are underway to provide better copyright protection and access to low-interest loans for creative projects. This shift reflects a broader policy move to diversify the economy away from oil and leverage Nigeria’s cultural influence globally.

    The story was also reported by The Punch and ThisDay. The Punch noted that “TAMPAN has requested for a dedicated creative industry bank,” while ThisDay highlighted that “creative exports could account for 5% of Nigeria’s GDP by 2027.”

    Echotitbits take:

    The government is finally putting its money where its mouth is regarding Nollywood and the music industry. By involving the Ministry of Interior, they are also likely looking at “visa facilitation” for international crews coming to film in Nigeria. Watch for the rollout of the “Creative Industry Fund” in the Q2 budget.

    Source: The Punch – https://punchng.com/creative-sector-key-to-growth-tunji-ojo/ , January 31, 2026

    Photo credit: The Punch

  • Controversy Swirls Around Federal Government’s New Tax Reform Law

    Controversy Swirls Around Federal Government’s New Tax Reform Law

    Vanguard reports that controversy is growing over the exact version of a tax reform law signed by President Bola Tinubu, with claims that the enacted document contains “differentials” from the version debated and passed by the National Assembly.

    The reforms aim to simplify the tax code and improve collection efficiency, but some lawmakers and critics argue alleged discrepancies could impose undue burdens on small businesses and the middle class.

    The Nation and Daily Trust also reported on the dispute, including claims of administrative discrepancies in the final draft and legislative concerns about possible alterations before presidential assent.

    Echotitbits take: If the alleged differentials are material, implementation will face legal and political headwinds—potentially including injunctions and corporate challenges. The fastest de‑risking move is immediate publication of the clean legislative text trail (passed version vs assented version) and an agreed correction mechanism to preserve reform credibility.

    Source: The Punch – https://punchng.com/tax-laws-that-split-abuja-how-tinubus-reforms-sparked-governance-storm/ 2026-01-30

    Photo Credit: The Punch

  • NUPRC Opens Bidding for 50 New Oil Blocks to Boost Production

    NUPRC Opens Bidding for 50 New Oil Blocks to Boost Production

    Channels TV reports that the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) opened the 2026 bidding round for 50 oil blocks as part of efforts to lift crude oil output and revenues.

    The commission says it has lowered entry barriers to attract local and international independent players and has pledged transparency under the Petroleum Industry Act (PIA).

    The Punch and Vanguard also highlighted the economic implications, including a focus on blocks with proven reserves and the investment rationale behind lowering barriers for capable operators.

    Echotitbits take: After years of output pressure from divestments and operational disruptions, this bid round will be a credibility test. The decisive variable is security—oil theft and pipeline sabotage still distort project economics. Expect strong interest from indigenous operators and smaller international independents if the fiscal and security signals hold.

    Source: The Punch – https://punchng.com/nuprc-opens-50-oil-blocks-for-bidding-bars-weak-firms/ 2026-01-30

    Photo Credit: The Punch

  • Federal Government Proposes New Wealth Tax for Ultra-High-Net-Worth Individuals

    Federal Government Proposes New Wealth Tax for Ultra-High-Net-Worth Individuals

    The Ministry of Finance is reportedly drafting a Wealth Tax bill targeting Nigerians with assets above N5 billion, including luxury real estate and private jets, as part of a drive to increase non-oil revenue.

    The government says the proposal is designed to fund social safety nets and reduce the budget deficit without raising burdens on poorer citizens, with projections of significant annual revenue if implementation is effective.

    Business groups have raised concerns about capital flight and compliance complexity, while experts warn the policy only works if authorities can accurately track luxury holdings and offshore assets.

    Echotitbits take: Bold, controversial, and easy to politicize. The wealthy are skilled at loopholes, so enforcement capacity will determine success. Without credible asset tracking and compliance systems, the tax risks becoming symbolic—or investment-deterring.
    Source: BusinessDay – https://businessday.ng/business-economy/article/fg-proposes-25-tax-rate-on-wealthy-nigerians-earning-n100-million-monthly/ 2026-01-27

    Photo Credit: BusinessDay

  • Diaspora Remittances Hit Record High as Nigeria Simplifies FX Inflows

    Diaspora Remittances Hit Record High as Nigeria Simplifies FX Inflows

    Diaspora remittances into Nigeria reportedly hit a record monthly high in January 2026, driven by FX market reforms that narrowed the gap between official and parallel market rates and encouraged formal channels.

    The CBN’s incentive approach and the licensing of new International Money Transfer Operators (IMTOs) have helped reduce transfer costs, with analysts describing remittances as a key pillar for reserves stability.

    Policy discussions are also shifting toward remittance-backed bonds that would allow diaspora funds to support infrastructure projects, converting consumption inflows into long-term development capital.

    Echotitbits take: For years, billions bypassed the official system. Better FX transparency is restoring diaspora confidence in formal channels. The next step—Diaspora Bonds—could help close Nigeria’s infrastructure funding gap, but only if managed transparently and credibly.
    Source: This Day – https://www.thisdaylive.com/2026/01/17/how-cbn-reforms-are-boosting-nigerias-fx-inflows-balance-of-payments/ 2026-01-27

    Photo Credit: This Day

  • Central Bank Tightens Capital Requirements for Nigerian Merchant Banks

    Central Bank Tightens Capital Requirements for Nigerian Merchant Banks

    The Central Bank of Nigeria (CBN) has issued a new circular raising the minimum capital base for merchant banks, a move aimed at strengthening resilience in a volatile global environment and ensuring specialized banks can back large-scale projects.

    Affected institutions have a 12-month window to meet the revised thresholds, with the CBN framing the directive as part of positioning Nigerian banks for cross-border competitiveness under the AfCFTA framework.

    Analysts expect the policy to trigger consolidation through mergers and acquisitions among smaller merchant banks, as the regulator insists the transition will be managed to avoid service disruptions.

    Echotitbits take: This looks like phase two of the recapitalization agenda that began in 2024. By forcing merchant banks to scale, the CBN is signaling it wants fewer but stronger institutions capable of financing industrial projects rather than just trading. Watch for fresh capital-raise announcements on the NGX.
    Source: The Punch – https://punchng.com/banks-strengthen-capital-base-as-cbn-tightens-controls-2/ 2026-01-27

    Photo Credit: The Punch

  • Nigerian Stock Market Faces N395 Billion Loss Amid Profit-Taking

    Nigerian Stock Market Faces N395 Billion Loss Amid Profit-Taking

    The Nigerian Exchange (NGX) recorded a downturn last week as market capitalization fell by an estimated N395 billion, driven largely by intensified profit-taking following a period of sustained gains.

    The All-Share Index closed lower, reflecting softer sentiment across major sectors including banking, consumer goods, and industrial products. Even with the overall decline, selective counters in insurance and oil and gas reportedly posted modest gains, suggesting pockets of bargain hunting.

    Market analysts describe the move as a normal correction typical of extended rallies, with expectations that sentiment may stabilize as listed companies begin releasing full-year financial results. Separate reporting also cited the week’s closing market capitalization figure and noted that investor positioning remains sensitive to earnings and macro signals.

    Echotitbits take: This is a classic “sell-off” period. Smart investors will be looking for undervalued stocks during this dip, especially in the banking sector, which remains fundamentally strong despite the index drop.
    Source: Ripples – https://www.ripplesnigeria.com/ngx-roundup-investors-lose-n395bn-as-equity-market-continues-to-boom/  2026-01-26

    Photo Credit: Ripples

  • Nigeria Moves to Terminate Rice Importation Windows to Protect Local Farmers

    Nigeria Moves to Terminate Rice Importation Windows to Protect Local Farmers

    Nigeria is moving to shut down rice import windows following a national policy review that reportedly found imports have created surplus supply, depressing prices and worsening losses for domestic farmers.

    Officials linked to the Presidential Food Systems Coordinating Unit reportedly stated that maize and rice farmers recorded negative margins during the 2025 wet season, driven by high production costs and weak sale prices. The government’s new direction is expected to prioritize local production while introducing price protection mechanisms to safeguard farmer livelihoods and preserve national food security.

    Supporters argue the policy reset will stabilize rural incomes and reduce exposure to import shocks. Critics caution that if local output cannot meet demand, consumers—particularly in urban centers—could face renewed price pressures. Separate reporting has also referenced national food balance figures indicating a notable surplus in late 2025.

    Echotitbits take: This is a return to protectionist policies. While it helps farmers, the government must ensure that local supply is actually sufficient to prevent a price spike for consumers in urban areas.
    Source: BusinessDay – https://businessday.ng/news/article/nigeria-to-shut-rice-import-windows-as-data-exposes-farmers-losses/ 2026-01-26

    Photo Credit: BusinessDay