Economy
NASS to Pass N16.39trn 2022 Budget Before Year-End
By Adedapo Adesanya
The National Assembly (NASS) has promised to scrutinise and pass the 2022 budget presented by President Muhammadu Buhari at a joint legislative sitting today, Thursday, October 7, before the end of the year.
The Senate President, Mr Ahmed Lawan, gave this assurance while giving his opening speech at the budget laying ceremony by Mr Buhari.
He recalled how the 9th National Assembly promised to return Nigeria to a January-to-December budget cycle with the 2020 budget and made it possible, assuring the President and the lawmakers that the feat will be repeated with the 2021 budget.
He then thanked the President for working with the chambers to present the N16.39 trillion after an increase from N13.
He said the 2022 Appropriation Bill, therefore, is a budget of economic growth and sustainability, adding that it would help push the diversification of the economy, investment of critical infrastructure, strengthen security, reduce poverty, and solve disparities.
The 2022 budget is based on a conservative oil price benchmark of $57 per barrel; a daily oil production estimate of 1.88 million barrels (inclusive of condensates of 300,000 to 400,000 barrels per day); an exchange rate of $410.15; and a projected GDP growth rate of 4.2 per cent and 13 per cent inflation rate.
Based on these fiscal assumptions and parameters, total federally collectable revenue is estimated at N17.70 trillion in 2022.
Total federally distributable revenue is estimated at N12.72 trillion in 2022 while total revenue available to fund the 2022 federal budget is estimated at N10.13 trillion. This includes grants and aid of N63.38 billion as well as the revenues of 63 Government-Owned Enterprises.
Oil revenue is projected at N3.16 trillion, non-oil taxes are estimated at N2.13 trillion and FGN independent revenues are projected to be N1.82 trillion.
The President said that the proposed N16.39 trillion expenditure comprises statutory transfers of N768.28 billion; non-debt recurrent costs of N6.83 trillion; and personnel costs of N4.11 trillion.
Others include pensions, gratuities and retirees’ benefits of N577.0 billion; overheads of N792.39 billion; capital expenditure of N5.35 trillion, including the capital component of statutory transfers; debt service of N3.61 trillion; and sinking fund of N292.71 billion to retire certain maturing bonds.
Speaking on the fiscal balance, President Buhari said, “We expect the total fiscal operations of the federal government to result in a deficit of N6.26 trillion.”
This represents 3.39 per cent of the estimated GDP, which is above the 3 per cent threshold set by the Fiscal Responsibility Act 2007 as countries around the world have to out of necessity over-shoot their fiscal thresholds for the economies to survive and thrive.
President Buhari walked into the chamber at 12:05 pm and the event started immediately, with the national anthem and opening prayers in Christian and Islamic ways.
He had on Tuesday written to both the Senate and the House of Representatives to notify the chambers of his intention to present the federal government budget on Thursday.
By Aduragbemi Omiyale
Nigeria slightly surpassed its quota set by the Organisation of the Petroleum Exporting Countries (OPEC) in July 2026.
In the month under review, the country produced about 1.57 million barrels of crude oil per day.
It was the third consecutive month Africa’s largest oil-producing nation was meeting its monthly quota, set to stabilise the price of the commodity on the global market by the oil cartel.
Data released by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) on Wednesday showed that the 1.5 million barrels per day ceiling for Nigeria was surpassed last month.
The agency disclosed in a statement today that the country produced 1.505mbpd of crude oil and 0.17mbpd of condensate, bringing the combined daily production to 1.67mbpd.
In the month under review, the daily peak production of crude oil and condensate was 1.78mbpd, while the lowest daily production was 1.57mbpd.
Although Nigeria met its OPEC quota in the month of July, the statistics show that on a month-on-month basis, production fell by 4 per cent.
This was attributed to the decline in production due to operational challenges experienced at the Erha and Akpo fields, which impacted crude oil output during the period under review.
These disruptions constrained production volumes and contributed significantly to the overall reduction in national crude oil output.
Despite the challenges, production operations across most other producing assets remained relatively stable, with operators implementing measures aimed at maintaining production efficiency and minimising the impact of operational constraints, NUPRC stated.
By Aduragbemi Omiyale
The over 9 billion shares of Lasaco Assurance Plc issued to shareholders of the company via a rights issue have been listed on the Nigerian Exchange (NGX) Limited.
The equities were brought to Customs Street on Wednesday by the organisation, increasing its total issued and fully paid-up share capital.
Lasaco Assurance, which scaled the recapitalisation hurdle of the National Insurance Commission (NAICOM) in July 2026, raised fresh capital from the capital market to shore up its capital base.
The underwriting firm got about N18.5 billion from the rights issue, which involved the issuance of 9,236,321,546 ordinary shares at a unit price of N2.00.
The exercise was on the basis of five new ordinary shares for every existing six ordinary shares held as of the close of business on Friday, February 20, 2026.
Confirming the listing of the additional stocks of Lasaco Assurance today, the Head of Issuer Regulation Department of NGX RegCo, Mr Godstime Iwenekhai, announced in a circular that, “Trading licence holders are hereby notified that an additional 9,236,321,546 ordinary shares of 50 Kobo each of Lasaco Assurance Plc were today, Wednesday, August 12, 2026, listed on the daily official list of Nigerian Exchange Limited.
“The additional shares arose from the company’s rights issue of 9,236,321,546 ordinary shares of 50 Kobo each at N2.00 per share on the basis of five new ordinary shares for every existing six ordinary shares held as of the close of business on Friday, February 20, 2026.
“With the listing of the additional 9,236,321,546 ordinary shares, the total issued and fully paid-up share capital of Lasaco Assurance Plc has now increased from 11,083,585,855 to 20,319,907,401 ordinary shares of 50 Kobo each.”
By Adedapo Adesanya
The Nigerian Insurers Association (NIA) has said the successful recapitalisation of the insurance industry will strengthen the sector’s ability to support financial stability and economic growth.
NIA Chairman, Mrs Ebelechukwu Nwachukwu, said a well-capitalised insurance industry would be better positioned to meet its obligations promptly, underwrite complex and large-scale risks and serve as a dependable pillar of the Nigerian economy.
She made the remarks while commending the National Insurance Commission (NAICOM) for its structured implementation of the new minimum capital requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
Mrs Nwachukwu said NAICOM’s clear guidelines, systematic verification process, defined timelines and rigorous supervision had provided operators with a credible framework for navigating the recapitalisation exercise.
She described the outcome as a major milestone for the industry and congratulated the 43 insurance and reinsurance companies that have successfully met the prescribed minimum capital requirements.
According to her, the exercise represents “a major win not just for regulators and operators, but for policyholders, investors and the wider Nigerian economy.”
Mrs Nwachukwu said the association would continue to work with NAICOM and other stakeholders to consolidate the gains of the exercise, with emphasis on sustainable industry growth, stronger market conduct and improved consumer confidence.
The official also expressed solidarity with the eight companies still undergoing final verification and regulatory review, urging them to remain confident as NAICOM completes the process within the 14-day review period.
The NIA chairman assured policyholders and the wider business community that the insurance industry would emerge from the recapitalisation exercise stronger, more resilient and better positioned to contribute to Nigeria’s economic development.
