Economy
Drop in Federal Allocation Worries Bayelsa Government
By Modupe Gbadeyanka
The decline in the federal allocation to Bayelsa State has become a source of worry for the state government, which is experiencing a rise in its expenditures.
The Commissioner for Finance in the state, Mr Maxwell Ebibai, said what is coming into the purse of the state government was more than what it spends monthly.
It stated that for instance, last month, Bayelsa State had a gross inflow of N10.2 billion comprising statutory allocation of N1.9 billion, derivation of N3.8 billion, Value Added Tax of N1.2 billion and forex equilisation fund of N1.9 billion.
He said total deductions at source stood at N1.9 billion, which included foreign loans to the state and federal government recovery while commercial agriculture credit scheme and other items gulped N939.8 million, with a net figure of N8.2 billion comprising an internally generated revenue of N839 million, a receipt of N1 billion for COVID-19 and total other receipts of N1.839 billion, adding that the net FAAC receipts in addition to other receipts amounted to N10.50 billion.
However, for the outflows, in October 2020, the Commissioner said the government made total payments of N6.452 billion out of which it made loans repayment of N870.6 million and minimum wage arrears N50 million.
Others were gratuity of N150 million, grants to higher institutions at N846.6 million, civil servants salaries at N3.9 billion, political appointees salaries at N201.7 million and salary arrears of N130.5 million, leaving a net balance of N3.9 billion.
He said further that the total recurrent and capital payments gulped N4.3 billion, leaving a deficit balance of N707 million, noting that the balance brought forward from September was N995 million out of which the state had a closing balance of N288.7 million.
A month earlier, September, Mr Ebibai said the state had a gross inflow of N10.285 billion consisting of statutory allocation of N2.981 billion, derivation of N6.030 billion and VAT of N1.27 billion.
The Commissioner disclosed that N1.952 billion was the total deductions from FAAC, noting that judging from the deductions at source from the month of August, the total deductions for September was significantly higher by N933 million.
He said the state recorded a sharp drop in its revenue from the federation account owing to two major factors, explaining that the state had been receiving federal government grants since 2012 but started making refunds on it in September 2020 coupled with deductions at source on revenues due to the state from the disputed oil well between Bayelsa and Rivers states.
He said after the total deductions of N1.952 billion from FAAC, the state was left with a net balance of N8.333 billion as against that of the month of August which was N11.8 billion.
He explained that the state government recorded total receipts of N1.49 billion in August and had to source for funds of N2 billion due to the shortfall in revenue the previous month, saying the net funds available for the state came up to N11.382 billion while the state’s total expenditure was N7.2 billion.
The Finance Commissioner noted that the expenditure among other components included civil servants salaries of N3.9 billion, a gratuity of N150 million and N173.5 million spent as salaries for political appointees.
According to him, the recurrent and capital expenditure gulped N4.140 billion, leaving a balance of N26.560 million while it recorded a closing balance of N995 million in September.
By Aduragbemi Omiyale
Those interested in buying or selling the shares of Aluminium Extrusion Plc on the Nigerian Exchange (NGX) Limited will not be able to do so for now.
This is because trading activities on the company’s securities on the Nigerian bourse have been suspended by the NGX Regulation Limited.
The reason for this is that the organisation has failed to submit its financial statements as required by the listing rules for the perusal of the investing community.
After being given grace periods to file the results, the board of the firm has not done the needful, necessitating the wielding of the stick on the entity.
A notice from Customs Street disclosed that the suspension became effective last Wednesday. It will be lifted when the financial results are submitted.
“In accordance with the default filing rules, the suspension of trading in the shares of the company shall be lifted upon the submission of the relevant financial statements,” a part of the notice said.
Business Post reports that Aluminium Extrusion has not filed its financial statements for the year ended December 31, 2025, more than three months after it was required to submit its financial performance for the last fiscal year.
“Trading license holders and the investing public are hereby notified that pursuant to Rule 3.1, Rules for Filing of Accounts and Treatment of Default Filing, (Default Filing Rules), which provides that if an issuer fails to file the relevant accounts by the expiration of the cure period1, the exchange will: a) send to the issuer a second filing deficiency notification within two business days after the end of the cure period; b) suspend trading in the issuer’s securities; and c) notify the Securities and Exchange Commission (SEC) and the market within 24 hours of the suspension.
“Trading in the shares of Aluminium Extrusion Plc has been suspended from the facilities of Nigerian Exchange Limited effective Wednesday, July 22, 2026, for not filing its Audited Financial Statements for the year ended December 31, 2025,” the disclosure stated.
Shares of Aluminium Extrusion last traded on the domestic stock exchange at N9.90 per unit.
By Dipo Olowookere
Last week on the floor of the Nigerian Exchange (NGX) Limited, 57 equities appreciated, higher than 44 equities in the previous week, while 38 equities shed weight versus 35 equities in the preceding week, with 51 equities closing flat versus the 67 equities recorded a week earlier.
UPDC REIT chalked up 33.33 per cent to trade at N14.20, First Holdco gained 25.59 per cent to finish at N120.50, Unilever Nigeria rose by 19.31 per cent to N147.95, Cadbury Nigeria improved by 18.42 per cent to N67.50, and AXA Mansard expanded by 17.86 per cent to N13.20.
On the flip side, Mecure lost 26.97 per cent to N62.40, Royal Exchange shrank by 12.84 per cent to N1.29, Tripple Gee slumped by 12.34 per cent to N3.41, SUNU Assurances crumbled by 10.00 per cent to N3.60, and BUA Foods dropped 10.00 per cent to close at N845.10.
In the week, the All-Share Index (ASI) went up 1.60 per cent to 247,357.40 points, and the market capitalisation appreciated by 1.61 per cent to N159.588 trillion.
Similarly, all other indices finished higher with the exception of the consumer goods, Lotus II, growth, sovereign bond and commodity indices, which fell by 3.76 per cent, 1.55 per cent, 20.24 per cent, 0.14 per cent, and 1.25 per cent respectively.
As for the trading data, 4.433 billion shares worth N306.143 billion in 255,589 deals were transacted in five days versus the 2.819 billion shares valued at N182.499 billion traded in 226,729 deals in the previous week.
The financial services segment led the activity chart with 3.422 billion shares valued at N207.206 billion traded in 117,545 deals, contributing 77.18 per cent and 67.68 per cent to the total trading volume and value, respectively.
The consumer goods sector traded 201.978 million shares worth N17.171 billion in 28,666 deals, and the ICT industry posted a turnover of 169.481 million shares worth N21.194 billion in 23,107 deals.
First Holdco, Access Holdings, and GTCO accounted for 2.151 billion shares worth N170.793 billion in 44,768 deals, contributing 48.51 per cent and 55.79 per cent to the total trading volume and value, respectively.
By Adedapo Adesanya
Nigeria’s crude oil exports to the United States rebounded strongly in May as shipments rose by nearly 150 per cent month-on-month as American refiners increased purchases of overseas crude.
Latest data from the US Census Bureau showed that crude imports from Nigeria climbed to 2.36 million barrels in May, compared with 946,000 barrels recorded in April.
This indicated renewed demand for Nigeria’s premium light sweet grades amid shifting global patterns and higher international oil prices as the Middle East disruption weighed on trade.
The value of the imports also rose sharply to $279.8 million, up from $85.2 million in the previous month, reflecting both the higher volume of purchases and stronger crude oil prices during the period.
The rebound coincided with a broader increase in crude oil imports by the US.
According to the latest US International Trade in Goods and Services Report, total US crude imports increased by $1.5 billion in May, making crude oil one of the largest contributors to the $12.3 billion rise in overall goods imports during the month.
The report also showed that imports of industrial supplies and materials increased by $3.1 billion, with crude oil accounting for nearly half of the increase.
The recovery marks a significant turnaround after two consecutive months of declining Nigerian crude shipments to the US market. Export volumes had fallen from 4.64 million barrels in February to 1.54 million barrels in March, before dropping further to 946,000 barrels in April.
Despite the fluctuations, cumulative exports between January and May 2026 reached 11.15 million barrels, valued at approximately $926.6 million, reaffirming Nigeria’s strategic position as a key supplier of premium low-sulphur crude grades to the world’s largest economy.
Concerns surrounding crude shipments through the Strait of Hormuz, one of the world’s busiest oil transit routes, are encouraging refiners to increase purchases from Atlantic Basin producers such as Nigeria, whose crude grades offer lower geopolitical shipping risks than some Middle Eastern supplies.
Nigeria’s flagship crude grades, including Bonny Light, Qua Iboe and Escravos, remain highly sought after by US Gulf Coast refiners because of their low sulphur content and high yields of premium petroleum products such as petrol, diesel and aviation fuel.
Although the US has emerged as one of the world’s largest crude oil producers following the shale revolution, many American refineries continue to import light sweet crude to complement domestic production and optimise refining operations.
The rebound in exports also comes as Nigeria gradually restores crude production following improved security operations in the Niger Delta and intensified efforts by government agencies and operators to curb crude oil theft, pipeline vandalism and illegal refining.
