Economy

FG, Agro Dealers Quarrel over N66b Debt

Published

9 years ago

16/04/2017

There is a misunderstanding between the Federal Government and agro dealers and suppliers that participated in the Growth Enhancement Scheme (GES).

This is because the Ministry of Agriculture claimed it has paid over N20 billion of the N66 billion debt to the agro dealers and suppliers.

However, the Nigeria Renascent Group, representing the agro dealers, disagreed with the government, saying it has refused to pay what is owed the suppliers and agro dealers, resulting in progressive collapse of their businesses and death of some participants of the GES Programme.

Speaking with Sunday Telegraph in a telephone interview, the Director of Agribusiness, Ministry of Agriculture and Rural Development, Engineer Ohiari Badmus Jatto, said that all the documents and information relating to the non-payment of the outstanding debt owed to the agro dealers have been made available to the Federal Ministry of Finance, and they have made part payment to the suppliers. He also added that there are plans to settle the balance soon.

The debt was accumulated through GES programme, as part of the Agricultural Transformation Agenda, which encouraged firms to supply fertilizers and seeds to agro dealers for delivery to farmers.

Coordinator of Nigeria Renascent Group, Mr Abdulrasaq Lawal, some participants in the scheme have lost their lives due to the non-payment of their money by the Federal Government, even as many can no longer pay their children’s school fees.

“Participants are dying by the day. Instances will be given. Musa Baba, the Managing Director/Chief Executive Officer of Diamond Fertilizer based in Kano, died in December 2016 from complications not unrelated to his inability to meet his obligation to creditors,” he claimed.

Preliminary investigation revealed that the federal government is owing his company over N1 billion. “Also the story of Gali Gali in Kaduna is not different from that of Musa Baba. ‘Gali Gali’ as he is fondly referred to by all, was a well-known force in the fertilizer market. His company, Gali Global, was at the forefront in championing the GES cause; he took it personal as a way to get his people to enjoy direct interventions from government.

“He went all out to mobilize farmers to register. His personal input and resources were put in ensuring the GES was a success.

“The result, over N1 billion, the chunk of which is a bank loan, is trapped. He died in the late 2015 of heart and blood related issues,” he said.

He urged the Federal Government to pay the debt to the participants in order to bring an end to the death of participants of the GES programme and ensure that all hands will be on deck in ensuring that there is food for all and eradicate famine in the country, which according to him, is imminent with the present situation of things.

Also speaking recently, a participant who pleaded anonymity, said that he has closed his company because banks were after him, adding that he is hiding in shame because he cannot face the people who had assisted him financially to make supplies to the Ministry of Agriculture.

On the claim by the Ministry that it has made part payment to the suppliers, he urged the Ministry to desist from playing politics with the debt owed agro dealers in the country.

He lamented that the Minister of Agriculture and Rural Development, Mr Audu Ogbeh, has been silent over the debt, saying that this is the worst situation they have ever experienced with any government in the country.

He urged the Minister to make public who got the purported N20 billion part payment from the N66 billion accumulated debt.

He further urged the Presidency, senators and House of Representatives members to intervene in the situation, adding that some of them collected loan from banks when the United States American dollars was lower than what is obtainable now.

“That is another challenge we will face in repaying the loan to the banks whenever the Federal Government decides to settle the debt,” he said.

Director of a Non-governmental organisation, Agricultural Development Watch Initiative, Dr Mark Adebisi, lamented that a situation where people will make financial commitment to support a government project and they are then treated as if they are no longer important is a bad omen.

He lamented that efforts by the group to get the Chairman, Senate Committee on Agriculture, Mr Abdullahi Adamu; Minister of Finance, Mrs Kemi Adeosun and Minister of State for Agriculture and Rural Development, Mr Heineken Lokpobiri, to assist them ensure that the suppliers are paid their money did not bear fruit.

A highly placed official of the Agriculture and Rural Development Ministry, who spoke with Sunday Telegraph on condition of anonymity, said there are a lot about the debts which Nigerians don’t know about.

According to him, the debt was not N66 billion but N47 billion. He added that the agro dealers over inflated the money owed them by the Ministry, thinking that it would be easy for them to get the money from government.

https://newtelegraphonline.com/business/fg-agro-dealers-bicker-n66bn-debt/

Economy

NASD Exchange Extends Bearish Run After 0.56% Drop

Published

2 days ago

03/04/2026

Adedapo Adesanya

By Adedapo Adesanya

The NASD Over-the-Counter (OTC) Securities Exchange extended its stay in the south territory with a decline of 0.56 per cent on Wednesday, April 2.

This brought down the market capitalisation by N13 billion to N2.417 trillion from N2.430 trillion, and downed the NASD Unlisted Security Index (NSI) by 22.57 points to 4,062.87 points from the previous session’s 4,062.87 points.

It was observed that the NASD exchange ended with three price gainers and three price losers during the trading day.

MRS Oil Plc depreciated by N19.00 to close at N171.00 per unit compared with the previous price of N190.00 per unit, NASD Plc lost N4.14 to trade at N37.36 per share compared with Wednesday’s N41.50 per share, and Central Securities Clearing System (CSCS) Plc gave up N2.00 to sell at N78.00 per unit versus N80.00 per unit.

On the flip side, FrieslandCampina Wamco Nigeria Plc appreciated by 19 Kobo to N93.00 per share from N92.81 per share, Food Concepts Plc expanded by 15 Kobo to N2.87 per unit from N2.72 per unit, and Great Nigeria Insurance (GNI) Plc improved by 2 Kobo to 52 Kobo per share from 50 Kobo per share.

Yesterday, the volume of securities dipped by 91.8 per cent to 260.2 million units from 3.2 billion units, the value of securities went down by 98.1 per cent to N154.2 million from N8.3 billion, while the number of deals soared by 53.3 per cent to 46 deals from 30 deals.

GNI Plc was the most active stock by value on a year-to-date basis with 3.4 billion units worth N8.4 billion, followed by CSCS Plc with 56.9 million units valued at N3.9 billion, and Okitipupa Plc with 27.5 million units traded for N1.8 billion.

The most traded stock by volume on a year-to-date basis was also GNI Plc with 3.4 billion units sold for N8.2 billion, trailed by Resourcery Plc with 1.1 billion units exchanged for N415.7 million, and Infrastructure Guarantee Credit Plc with 400 million units transacted for N1.2 billion.

Economy

Naira Slips to N1,380/$1 at Official Market, Remains N1,405/$1 at Black Market

Published

2 days ago

03/04/2026

Adedapo Adesanya

By Adedapo Adesanya

The Naira dropped N2.09 or 0.15 per cent against the United States Dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEX) on Thursday, April 2, to trade at N1,380.79/$1 compared with Wednesday’s rate of N1,378.70/$1.

However, it appreciated against the Pound Sterling in the official market by N2.77 to quote at N1,824.86/£1 versus the N1,836.57/£1 it was traded at midweek, and improved its value against the Euro by N10.54 to N1,591.92/€1 from N1,602.46/€1.

Yesterday was the last trading session of the week for the local currency in the spot market, as the market will be closed on Friday and Monday for the Easter Holiday.

At the black market, the Nigerian Naira maintained stability against the greenback yesterday at N1,405/$1, but gained N8 at the GTBank FX counter to settle at N1,388/$1, in contrast to the previous session’s N1,396/$1.

Pressure eased on the domestic currency as strong policy indicators have helped calm the majority of worries within the financial systems. Particularly in the remittance segment, the apex bank has directed all International Money Transfer Operators (IMTOs) to route remittance transactions through designated Naira settlement accounts in banks, a move aimed at boosting transparency and channelling more foreign exchange into the formal market.

This helps take off pressure from the foreign reserves, which have fallen below the $50 billion mark as they are gradually decreasing rather than falling sharply.

Meanwhile, the cryptocurrency market was bullish on Thursday, as macro sentiment shifted against recent optimism after reports that Iran is drafting a protocol with Oman to manage traffic through the Strait of Hormuz, easing concerns about disruptions to a key global oil route.

The remarks came after U.S. President Trump on Wednesday night vowed to hit Iran “extremely hard” in the coming weeks and that the Strait of Hormuz would “open naturally” once the war ends.

Cardano (ADA) chalked up 1.9 per cent to trade at $0.2435, Dogecoin (DOGE) grew by 1.2 per cent to $0.0912, Ethereum (ETH) appreciated by 0.8 per cent to $2,066.37, Bitcoin (BTC) added 0.5 per cent to sell at $67,080.53, Solana (SOL) increased by 0.5 per cent to $79.91, and Ripple (XRP) jumped 0.2 per cent to $1.31.

Conversely, Binance Coin (BNB) dipped 0.7 per cent to $586.90, and TRON (TRX) depreciated by 0.3 per cent to $0.3147, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) closed flat at $1.00 each.

Economy

Bulls, Bears Share Customs Street’s Spoils Amid Bullish Investor Sentiment

Published

2 days ago

03/04/2026

Dipo Olowookere

By Dipo Olowookere

The local stock market was relatively flat on Friday, as the bears and the bulls shared the spoils of war, though investor sentiment turned bullish compared with the preceding session’s bearish posture.

Data from the Nigerian Exchange (NGX) Limited showed that the All-Share Index (ASI) was marginally down by 4.66 points as it ended at 201,698.89 points versus Wednesday’s 201,703.55 points, and the market capitalisation slightly contracted by N3 billion to N129.806 trillion from N129.809 trillion.

Customs Street was shut on Friday because of the public holidays declared by the federal government today and next Monday.

Business Post reports that John Holt declined by 9.91 per cent to N15.45, Abbey Mortgage Bank shed 9.60 per cent to trade at N8.95, International Energy Insurance slipped by 6.48 per cent to N3.32, Chams shrank by 5.30 per cent to N3.75, and Tantalizers depreciated by 5.18 per cent to N4.03.

On the flip side, Unilever Nigeria improved by 10.00 per cent to N103.40, Fortis Global Insurance gained 9.82 per cent to trade at N1.23, Multiverse appreciated 9.81 per cent to N20.15, Legend Internet advanced by 9.38 per cent to N6.30, and Zichis grew by 9.02 per cent to N14.14.

The market breadth index was positive during the trading session, as there were 35 appreciating stocks and 24 depreciating stocks.

Yesterday, investors traded 560.0 million equities valued at N19.3 billion in 49,676 deals, in contrast to the 815.5 million equities worth N33.3 billion transacted in 52,641 deals in the preceding day, representing a drop in the trading volume, value, and number of deals by 31.33 per cent, 42.04 per cent, and 5.63 per cent, respectively.

Secure Electronic Technology dominated the activity log with 59.7 million shares valued at N61.1 million, Wema Bank exchanged 52.0 million equities worth N1.4 billion, VFD Group transacted 36.0 million stocks for N410.5 million, Access Holdings sold 35.3 million shares valued at N914.8 million, and Chams traded 31.0 million equities worth N115.0 million.