Business/Finance
Nigeria Moves to Join Palm Oil Producers’ Council, Envoy Says
Nigeria is working towards full membership of the Council of Palm Oil Producing Countries (CPOPC) as part of efforts to strengthen agricultural cooperation, expand trade and deepen economic relations with Indonesia, Nigeria’s Charge d’Affaires ad interim, Eze Nduka Thomas, has said.
Thomas disclosed this while speaking with Nigerian journalists at the Nigerian Embassy in Indonesia on Tuesday, describing the planned membership as a significant achievement in the country’s diplomatic engagement with the Southeast Asian nation.
“Nigeria sooner or later will be joining CPOPC, Council of Producing Countries. It’s a great achievement we have made in this mission,” he said.
In February, the Federal Ministry of Foreign Affairs announced that Nigeria had commenced consultations to transition from observer status to full membership of the council before its current status expires at the end of 2026.
The CPOPC is an intergovernmental organisation established to promote cooperation among palm oil-producing countries, including Indonesia and Malaysia.
It provides a platform for members to coordinate positions on international trade barriers, sustainability regulations and market access.
Nigeria’s proposed membership comes amid efforts to strengthen its domestic palm oil industry and address the gap between local production and consumption.
Figures presented by the Ministry of Foreign Affairs in February indicated that Nigeria produces approximately 1.4 million metric tonnes of crude palm oil annually, compared with domestic demand of about three million tonnes.
The council has also offered Nigeria a two-year waiver of membership fees if the country joins as a full member.
Membership could provide Nigeria with opportunities to strengthen cooperation with major palm oil producers, exchange industry knowledge and improve its engagement with international markets.
Nigeria, Indonesia Seek Stronger Trade Relations
Beyond the palm oil sector, Thomas said Nigeria and Indonesia had maintained cordial diplomatic relations over the years but urged Nigerian investors to explore the business opportunities available in the Indonesian market.
He identified Indonesian-linked businesses operating in Nigeria, including Indorama, Indomie and Primera Food Nigeria Limited, alongside companies operating in the pharmaceutical, healthcare, oil and gas, and chemical industries.
According to the envoy, Indonesia also offers opportunities for Nigerian businesses in pharmaceuticals, textiles, spices, agricultural products and manufactured goods.
He described the Indonesian market as an area Nigerian investors had yet to explore fully, urging them to study local business practices and develop relationships with potential partners.
“Indonesia has really benefited much from Nigeria, more than what we are getting from them. And this is a virgin land. I advise Nigerians to at least put more effort into studying their business style,” he said.
Thomas said Indonesian products were competitive in quality but noted that Nigerian investors needed to understand the country’s business culture and establish trust before expecting successful commercial partnerships.
He observed that Indonesian businesspeople could be cautious about entering unfamiliar markets, making it necessary for prospective partners to demonstrate credibility and reliability.
“They are not like the Chinese that are into risk-taking, you know? Hardly could you convince an Indonesian to just follow you to Nigeria and try business,” he said.
Envoy Urges Nigerian Firms to Build Trust
The diplomat urged Nigerian businesses participating in the ongoing Trade Expo Indonesia to use the event to establish credible partnerships and demonstrate their capacity to meet contractual obligations.
He said previous experiences involving fraudulent transactions had made some Indonesian companies wary of dealing with Nigerian businesses.
Thomas advised Nigerian investors to provide verifiable evidence of their companies’ legitimacy, including proper registration with the Corporate Affairs Commission (CAC), and to demonstrate their readiness to conduct genuine business.
“So I advise our investors to find a way to go in, not just talking to them. Find a way to convince them,” he said.
He added that Nigerian businesses should take advantage of the government-to-government trade platform to build confidence among Indonesian companies and improve the country’s commercial reputation.
“So tell our investors that they should utilise this government-to-government trade expo and prove to them that their company is duly registered with the CAC. Their company could be verified and that they are really willing to do business with them,” Thomas said.
The envoy said Nigeria and Indonesia recorded bilateral trade worth more than $4.78 billion as of September 2025, adding that both countries had agreed to increase the volume of trade.
He expressed optimism that stronger engagement between businesses in both countries could help diversify commercial activities and expand economic cooperation.
Embassy Strengthens Support for Nigerians in Indonesia
Thomas also highlighted measures taken by the Nigerian Embassy to improve consular services and address challenges faced by Nigerians living in Indonesia.
He said the mission had recently secured an office for the Nigerian Immigration Service, with two officers deployed to the country.
According to him, the development would reduce the difficulties previously experienced by Nigerians who had to travel to Malaysia to access certain immigration-related services.
The envoy added that the embassy maintained regular contact with Nigerians in detention, visited inmates and supported burial arrangements for citizens who died in Indonesia.
He said the mission also communicated with the families of deceased Nigerians in the country and, where necessary, assisted with burial or repatriation arrangements.
Thomas disclosed that six Nigerians died in Indonesia between January and August, including two who died in detention.
He said the embassy investigated the circumstances surrounding the deaths, visited relevant facilities and provided assistance in some cases.
The diplomat also spoke about a Nigerian detained following a confrontation with a Cameroonian man who later died.
According to Thomas, available autopsy results indicated that the deceased died of cardiac arrest rather than injuries sustained during the altercation.
He said the embassy was engaging the relevant authorities to ensure that the Nigerian received fair treatment as the matter progressed.
Nigerians Warned Against Risky Travel Plans
The envoy cautioned Nigerians against travelling to Indonesia without a clear purpose, particularly those attracted by unverified promises of employment or lucrative business opportunities.
He urged prospective travellers to establish who they intended to meet, the purpose of their visit, their destination and how they planned to sustain themselves while in the country.
“In terms of Nigerians coming to Indonesia, the only advice I have for them is this, you must employ that four Ws in everything you are going to do or three, you know, who you are coming to meet, what business you are coming to do and where and when and how, you know, you will survive in Indonesia,” he said.
Thomas noted that employment opportunities for foreigners were limited and that setting up a business in the country could require substantial financial resources.
He therefore advised Nigerians to verify employment offers, business proposals and other travel arrangements before leaving the country.
The envoy also warned against drug trafficking and internet fraud, saying Indonesian authorities had strengthened law enforcement and cybersecurity measures.
He said the number of Nigerians involved in drug-related offences had reduced, while the embassy continued to advise citizens to respect Indonesian laws and avoid activities that could expose them to prosecution.
Envoy Calls for Unity Among Nigerian Investors
Thomas expressed concern over what he described as inadequate coordination among some Nigerian business groups attending the trade expo.
He urged participants to put aside divisions and work collectively to advance Nigeria’s commercial interests.
“The purpose of this trade is to see how Nigeria can collaborate with Indonesia in terms of trade, business and economic growth, but this politics I don’t understand,” he said.
He stressed that the primary objective of the trade engagement should be to identify business opportunities, strengthen economic ties and promote mutually beneficial partnerships rather than allow disagreements to undermine the country’s participation.
According to him, improved cooperation among Nigerian investors could help businesses maximise the opportunities available through the trade expo and establish stronger relationships with Indonesian counterparts.
Nigeria Urged to Learn from Indonesia’s Infrastructure Model
Beyond trade and agriculture, the envoy called on Nigerian policymakers to study Indonesia’s approach to infrastructure development, electricity generation and public-private partnerships.
He cited Indonesia’s use of coal in electricity generation, its investments in renewable energy and its application of public-private partnership arrangements to roads and other infrastructure projects.
Thomas said Nigeria could explore similar models to expand electricity supply, improve road infrastructure and attract private investment without relying exclusively on government funding.
He emphasised the need for policies that encourage investment while ensuring that economic reforms and development programmes address the needs of ordinary citizens.
The envoy maintained that Nigeria could strengthen its economic relationship with Indonesia through increased trade, improved coordination among investors and a better understanding of the country’s business environment.
He said closer cooperation between the two countries could create opportunities for businesses, support economic growth and advance their shared commercial interests.
Business/Finance
EFCC Recovers N114m From Cyber Fraud Suspect, Returns Money to Microfinance Bank
The Economic and Financial Crimes Commission (EFCC) has recovered and returned N114 million stolen from a microfinance bank through a cyber fraud scheme.
The commission disclosed this in a post on its official X handle on Friday, stating that the recovered funds were handed over to the financial institution on Thursday.
According to the EFCC, the Acting Zonal Director of its Benin Zonal Directorate, Deputy Commander Sa’ad Hanafi Sa’ad, presented a bank draft worth N114 million to a senior official of the bank, Samuel Ikechukwu.
The recovery followed a petition filed by Ikechukwu in August 2024, after the financial institution discovered that one of its customers’ accounts had been fraudulently hacked and funds withdrawn without authorisation.
The recovery followed a petition filed by Ikechukwu in August 2024, after the financial institution discovered that one of its customers’ accounts had been fraudulently hacked and funds withdrawn without authorisation.
The commission said its investigators traced the stolen money to several suspects, leading to the arrest of one of them, identified as Obumneme Bright.
It added that N114 million was recovered from Bright following his arrest and subsequently returned to the affected financial institution.
The EFCC, however, disclosed that efforts were ongoing to track down and apprehend other suspects allegedly connected to the cyber fraud.
The recovery highlights the commission’s ongoing efforts to investigate financial crimes, recover illicit funds and return stolen assets to their rightful owners.
Business/Finance
Tinubu Seeks Senate Approval for $20.52bn, €1.05bn External Loans
President Bola Tinubu has asked the Senate to approve the Federal Government’s 2026–2027 Supplementary External Borrowing Plan, seeking loans of $20.52bn and €1.05bn to finance infrastructure and development projects across Nigeria.
The request was transmitted to the National Assembly and read by Senate President Godswill Akpabio during Tuesday’s plenary.
In the letter, Tinubu urged lawmakers to consider and approve the borrowing plan promptly, saying the proposed funds would support critical projects and programmes across infrastructure, agriculture, healthcare, education, water supply, security, employment generation and financial management reforms.
The proposed borrowing amounts to $20,517,755,901 and €1,045,083,643, respectively.
The President said the external financing was necessary to address Nigeria’s infrastructure deficit and bridge the funding gap affecting the implementation of development projects.
“I submit the attached Federal Government 2026–2027 Supplementary External Borrowing Plan for consideration and early approval of the National Assembly to ensure prompt implementation of our projects,” he stated.
Tinubu explained that the projects and programmes were selected following technical and economic evaluations, with emphasis on their expected contributions to Nigeria’s socioeconomic development.
According to him, the initiatives are designed to generate employment, promote skills acquisition, encourage entrepreneurship, reduce poverty and strengthen food security.
“These initiatives aim to generate employment, promote skill acquisition, foster entrepreneurship, reduce poverty and enhance food security, all of which improve the livelihood of the Nigerian child,” the President said.
He added that most of the projects would be implemented across Nigeria’s 36 states and the Federal Capital Territory, highlighting the nationwide scope of the proposed investments.
Tinubu Cites Infrastructure Funding Gap
The President maintained that the scale of Nigeria’s infrastructure needs required additional financing, arguing that external borrowing would help bridge the gap between available resources and the funding required to deliver critical projects.
“In light of the need for significant infrastructure investment in the country and the vast financial resources needed to address this gap, it has become essential to pursue prudent external borrowings to close the financing shortfall,” Tinubu stated.
He said the funds would primarily support critical infrastructure, particularly in the power, transportation and healthcare sectors.
Tinubu urged the Senate leadership and the wider National Assembly to approve the proposal without delay, arguing that timely approval would facilitate fund disbursement and accelerate project implementation.
However, the request is expected to undergo scrutiny by the relevant Senate committees, including an examination of its scope and relationship with the Federal Government’s existing borrowing arrangements.
Akpabio Says Borrowing Plan Was Previously Approved
Reacting after the presidential letter was read, Akpabio said the borrowing plan had featured in previous government borrowing and budgetary arrangements, although he expressed uncertainty about the exact period covered by the earlier approval.
“The borrowing plan is attached, but of course, this was even earlier approved in our budget, and also the external borrowing plan was approved as far back as 2025 to 2027, I think to 2028 or thereabout,” the Senate President said.
Akpabio announced that the request would be referred to the Senate Committee on Local and Foreign Debts for consideration, with possible contributions from the Committees on Appropriations and Finance.
“However, this request will be looked at by the Committee on Local and Foreign Debts, probably in collaboration with Appropriations and Finance, but mainly by the Committee on Local and Foreign Debts,” he stated.
The Senate President also referenced Senator Haruna Manu in connection with the committee’s leadership.
The committee’s review is expected to examine the details of the proposed financing and determine how the supplementary borrowing plan relates to previously approved arrangements before the Senate decides on the next legislative steps.
The proposal would add to the Federal Government’s external financing commitments if approved.
Its consideration is also likely to bring attention to the terms of the proposed loans, the projects to be financed, repayment obligations and the expected economic benefits of the investments.
The Senate has yet to make a final decision on the request, which is to undergo committee consideration.
The alternative expresses the approximate combined value in US-dollar terms only if an exchange rate is specified and applied. The original headline is safer and more precise.
Business/Finance
Nigeria’s Revenue Falls N20.74tn Short of 2026 Budget Target Despite Oil Boom
statutory revenue between January and October 2026, despite a sharp rise in international crude oil prices following the United States-Iran conflict.
Figures from the Federation Account income distribution report of the Office of the Accountant-General of the Federation showed that statutory revenue stood at N26.14tn during the 10-month period, against a budget projection of N46.87tn.
The shortfall represented 44.24 per cent of the projected revenue, raising questions about the country’s ability to translate higher global oil prices into increased government earnings.
The figures were analysed by The PUNCH from documents associated with the Federation Account Allocation Committee’s September meeting, held at the Federal Ministry of Finance headquarters in Abuja, to consider the August 2026 accounts.
The technical sub-committee’s report, dated October 14, was obtained by the newspaper on Monday.
Despite improved receipts in some months, the government failed to meet its statutory revenue target throughout the period under review.
Oil Price Surge Fails to Close Revenue Gap
The revenue shortfall occurred amid elevated international crude oil prices following the escalation of hostilities involving the United States, Israel and Iran.
The conflict, which began on February 28, disrupted shipping through the Strait of Hormuz, a major route for global oil and gas supplies, contributing to uncertainty in international energy markets.
Nigeria, as a crude oil-producing country, was expected to benefit from the increase in global oil prices through higher export earnings and government oil receipts.
On October 22, the price of Nigeria’s flagship crude grade was quoted at $123.97 per barrel, representing an increase of $59.12, or 91.16 per cent, above the Federal Government’s 2026 budget benchmark of $64.85 per barrel.
A separate report on October 24 quoted Bonny Light at approximately $115 per barrel, significantly above the budget benchmark.
However, the revenue figures showed that higher crude prices did not translate into sufficient statutory receipts to meet the government’s monthly budget projections.
The figures alone do not establish how much additional revenue Nigeria generated directly from the oil price increase.
Actual government earnings also depend on crude oil production volumes, export performance, exchange rates, collection efficiency and other revenue sources.
Monthly Revenue Performance Remains Below Target
The government’s monthly statutory revenue benchmark remained at N4.687tn throughout the 10-month period, while actual receipts fluctuated considerably.
In January, statutory revenue stood at N1.63tn, leaving a shortfall of N3.06tn, or 65.19 per cent below the target.
Revenue increasedto N1.96tn in February, representing a month-on-month rise of N325.35bn, or 19.94 per cent. However, the figure remained N2.73tn below the budget projection.
The improvement was reversed in March, when receipts fell to N1.56tn, a decline of N395.14bn, or 20.19 per cent, compared with February.
March recorded the weakest performance of the first quarter, with revenue missing the monthly target by N3.13tn, representing a 66.68 per cent shortfall.
In April, receipts recovered to N1.70tn, an increase of N137.91bn, or 8.83 per cent. Nevertheless, the figure remained N2.99tn below the monthly target.
The recovery gathered pace in May, when statutory revenue increased to N2.38tn from N1.70tn in April. The N678.22bn rise represented a 39.90 per cent month-on-month improvement.
Revenue climbed further to N2.65tn in June, an increase of N273.62bn, or 11.51 per cent, although receipts remained N2.04tn below the target.
Revenue Peaks in August Before September Decline
The strongest monthly improvement occurred in July, when statutory revenue, including a N250bn augmentation, reached N3.95tn.
The figure represented an increase of N1.30tn, or 48.99 per cent, compared with June. However, July’s receipts still fell N736.50bn short of the monthly target.
Revenue rose further to N4.36tn in August, the highest monthly figure recorded during the period.
The August receipts represented an increase of N408.09bn, or 10.33 per cent, from July and came closest to the monthly budget projection.
The shortfall narrowed to N328.41bn, equivalent to 7.01 per cent of the target.
However, the improvement was not sustained.
Statutory revenue dropped to N2.85tn in September from N4.36tn in August, representing a decline of N1.51tn, or 34.61 per cent.
September’s receipts were N1.84tn below the monthly target, leaving a shortfall of 39.19 per cent.
Revenue recovered modestly in October to N3.10tn, an increase of N246.38bn, or 8.64 per cent, compared with September.
Despite the recovery, October’s revenue remained N1.59tn below the monthly target, representing a deficit of 33.94 per cent.
The October figure was approximately 89.77 per cent higher than January’s N1.63tn. However, the increase in monthly receipts was insufficient to bridge the gap between actual collections and budget projections.
Second-Half Receipts Exceed First-Half Total
The report also showed a significant difference between revenue collected in the first six months of the year and receipts recorded from July to October.
Between January and June, statutory revenue totalled N11.88tn.
From July to October, receipts rose to N14.26tn, including the N250bn augmentation recorded in July.
The four-month total was therefore N2.38tn higher than the revenue recorded during the first six months of the year, despite covering a shorter period.
The stronger performance from July coincided with elevated international oil prices, suggesting that improved oil receipts may have contributed to the increase.
However, the figures do not establish the precise contribution of higher crude prices to the additional revenue.
The subsequent decline in September and the incomplete recovery in October also demonstrated that the improvement was not sustained consistently.
Revenue Shortfall Raises Budget Implementation Concerns
The persistent revenue gap has implications for the Federal Government, state governments and local government councils that depend on Federation Account allocations to finance public services and development projects.
When actual revenue falls below budget projections, governments may face pressure to adjust spending plans, delay capital projects or seek alternative sources of financing.
The extent of the impact depends on the structure of each government’s budget, expenditure commitments and available financing options.
Although higher crude oil prices can increase government earnings, the benefits depend on Nigeria’s capacity to produce and export crude oil, collect the proceeds due to the Federation and convert additional earnings into distributable revenue.
The report also recorded N39.91bn in shared Electronic Money Transfer Levy proceeds in January, with no further amounts shown under that column from February to October.
The levy was listed separately from the statutory revenue figures used in the monthly budget comparison.
Oyedele Admits Revenue Projections Have Been Unrealistic
The revenue shortfall comes amid concerns over the assumptions underpinning Nigeria’s annual budgets.
The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, recently acknowledged that government budgets had often relied on overly optimistic revenue projections, resulting in actual collections falling below expectations.
Speaking at Chatham House in London, Oyedele said Nigeria needed to improve the way it prepared its budgets by basing revenue estimates on realistic assessments of the country’s earning capacity.
“We haven’t been doing the budget right. We do projections that are sometimes based on faith and hope. You don’t run a country based on faith,” he said.
His comments highlight the importance of aligning government expenditure plans with credible revenue estimates, particularly in an economy where oil prices, production levels and other revenue sources can fluctuate.
Outlook
Nigeria’s N20.74tn statutory revenue shortfall during the first 10 months of 2026 highlights the gap between budget expectations and actual government receipts.
Although revenue improved significantly between May and August, the subsequent decline showed that the gains were not sufficient to put collections on track to meet the period’s target.
The figures do not mean Nigeria received no benefit from higher international crude oil prices. Rather, they show that total statutory revenue remained substantially below the amount projected in the budget.
Closing the gap will require more reliable revenue forecasting, stronger collection performance and sustained efforts to improve the contribution of oil and non-oil revenue sources to government finances.
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