Akwa Ibom State has been identified as Nigeria’s most creditworthy state. This is attributed to its strong fiscal position, allowing it to sustain its debt obligations and borrow further.

The verdict was delivered by Budgit, a Nigerian civic organisation that examines state and national budgets and applies technology for citizen engagement with a view at institutional improvement, in its State of the States Report 2024 Edition themed “Moving Healthcare Delivery from suboptimal to optimal”

According to Budgit, Akwa Ibom came tops in the States Performance on Index C, scoring 0.227. The report declared that states who score high are determined “by their debt-to-revenue ratio, and personnel cost to revenue ratio”.

“In contrast, states that rank lower on Index C need to check their appetite for the acquisition of more debt as they appear to be either above or very close to solvency for debt-to-revenue ratio, foreign debt to total debt, debt service-to-revenue ratio, and personnel cost to revenue ratio.

“The lower ranking states may need to rapidly adopt Public-Private Partnership (PPP) models in delivering public goods due to their relatively poorer credit worthiness.

“The state (Akwa Ibom) owing to its relatively low foreign debt to total debt ratio, ranked the most debt-sustainable state among the 36 states”

For Governor Umo Eno of Akwa Ibom State who has not borrowed any funds either domestic or foreign since assumption of office, this report further validates the government’s position on prudent management of state resources for the greater good of the people.

In the same report, Budgit indicated that regarding health expenditure, the state allocated funds for purchasing health and medical equipment, construction and provision of hospitals and health centres, purchasing drugs, renovating and building new primary healthcare centres and boosting health training.

It then stated “Overall, Akwa Ibom is working towards enhancing its healthcare system having spent about N1billion on primary healthcare and medical equipment. Still, there may be opportunities to increase investment in the sector to fully meet the population’s healthcare needs”

By Eric Elezuo

A Federal Government of Nigeria petroleum regulatory agency, the Nigerian Midstream and Downstream Petroleum Regulatory Authority, (NMDPRA), has dismissed petroleum products from the Dangote Refinery as inferior, in the guise of those f4om Watersmith and Aradel, making a case for superiority of imported ones.

The revelation was made by the Chief Executive Officer of NMDPRA, Mr. Farouk Ahmed, while responding to questions from a section of the press, a video of which is trending online, adding that the refinery is only 45% completed, and yet to be licenced for operation by the Nigerian government.

Earlier, the Vice President of Dangote Industries Limited, Devakumar Edwin, had alleged that most fuel products imported into Nigeria are substandard, blaming International Oil Companies (IOCs) of frustrating Dangote’s quest for production.

In the short video, which lasted a little over a minute, Mr. Ahmed debunked theories attached to the functionality of the Dangote Refinery, saying it does not have the capacity to ‘feed’ the nation of its petroleum needs, as it stands. He however, refuted arguments that some elements within the oil and gas sector were trying to scuttle the Dangote Refinery.

A transcript of the NMDPRA’s boss short response is as follows:

“It about concerns of supply of petroleum products acros the nationwide, and the claim that we are trying to scuttle Dangote. That is not so. Dangote Refinery is still in the pre-commissioning stage. It has not been licenced yet. We haven’t licenced them yet. I think they are about 45 per cent completed, or completion rather.

“We cannot rely on one refinery to feed the nation, because Dangote is requesting that we suspend or stop imports, especially of AGO and DPK, and direct all marketers to his refinery. That is not good for the nation in terms of energy security, and it is not good for the market because of the monopoly.

“Dangote Refinery, as well as some modular refineries like Watersmith Refinery and Aradel Refinery, are producing between 650 and 1,200 PPM. Therefore, in terms of quality, their products are inferior to imported ones,” he stated.

It will be recalled that only last Sunday, the President, Dangote Industries Limited, Aliko Dangote, while hosting senior journalists from across various media concerns, revealed that the Nigeria National Petroleum Company Limited (NNPCL) owns only 7.2% of stakes in the refinery, and not 20 percent as widely circulated. He also revealed that the refinery is set to begin fuel supply in August 2024.

Many stakeholders and respondents have alleged that there’s no love lost between the government of the day and the Dangote Group, and that explains the hiccup situation surrounding the takeoff the $19 billion refinery.

The Nigerian National Petroleum Company (NNPC) Limited has explained why it holds only a 7.2% equity in the $19 billion Dangote Refinery, instead of the widely speculated 20%. 

A statement released on Sunday by Femi Soneye, the Chief Corporate Communications Officer of NNPCL, addressed the company’s recent decision regarding its investment in the Dangote Refinery.  

Soneye said that the decision to reduce their investment was carefully considered and communicated several months ago to Aliko Dangote. 

Dangote mentioned to newsmen on Sunday that NNPC no longer holds a 20% stake in the refinery.  

He explained that this change occurred because NNPCL failed to pay the balance of their share, which was due in June. 

Reacting, NNPC said:  

“NNPC Limited periodically assesses its investment portfolio to ensure alignment with the company’s strategic goals.

“The decision to cap its equity participation at the paid-up sum was made and communicated to Dangote Refinery several months ago,” NNPC said.

Nairametrics