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Presidency spends N34bn on forex in two years due to frequent travels

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The Presidency spent at least N34.39bn on foreign exchange purchases for international travel and related obligations over a two-year period, findings by The PUNCH have shown.

The figure is according to data compiled from GovSpend, a government spending tracker managed by BudgIT.

The records, which cover transactions by the State House, Presidential Air Fleet, the Office of the Chief of Staff, and operations linked to the President, Vice President, First Lady, and their aides, show a sharp swing in spending patterns between 2024 and 2025.

An analysis of the data shows that 2024 accounted for the bulk of the expenditure, with total forex purchases of N29.35bn, while 2025 recorded N5.04bn.

This represents a year-on-year decline of 82.8 per cent, aligning with broader trends in the foreign exchange market where the naira stabilised following policy reforms and improved dollar inflows.

The transactions largely relate to the purchase of foreign currencies for official trips, aviation operations, estacodes, training programmes, and logistics for international engagements involving top executive officials.

While the Presidency has maintained that such trips are necessary for diplomacy, investment promotion and bilateral relations, the scale and timing of the spending have continued to draw public scrutiny amid Nigeria’s fiscal constraints and forex shortages.

In 2024, forex purchases were heavily concentrated in the first half of the year, coinciding with a period of heightened exchange rate volatility and sustained pressure on the naira.

One of the most prominent spenders during the year was the Presidential Air Fleet, which alone accounted for several multi-billion-naira transactions described as “presidential air fleet forex transit funds.”

The Presidential Air Fleet, managed by the Nigerian Air Force, is responsible for the air transport needs of the President, Vice President, and senior government officials.

Despite its strategic role, the cost of maintaining the fleet has long been a subject of public scrutiny and criticism, particularly amid Nigeria’s fiscal pressures and rising debt service obligations.

Between March and May 2024, the Presidential Air Fleet Naira Transit Account recorded repeated purchases of about N1.27bn each on March 7, March 9, April 6, May 11 and May 25, alongside larger tranches such as N5.08bn on April 23 and N2.43bn on May 8.

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These aviation-related transactions show the high cost of maintaining and deploying the presidential fleet for overseas travel.

Additional transfers of N205m in July, N34m, N1.25bn, N2.21bn, N160.4m, N1.24bn and N902.9m in August further swelled the air fleet’s forex bill.

Smaller amounts followed later in the year, including payments in September and December, bringing the air fleet’s cumulative forex-linked transactions in 2024 into several billions of naira.

Beyond aviation, the State House Headquarters also recorded extensive forex purchases throughout 2024.

In February alone, the State House spent over N2.5bn on forex linked directly to specific presidential and vice-presidential trips.

These included N426.88m for the Vice President’s trip to Switzerland, N1.04bn for the President’s trip to Ethiopia, N750m for the President’s trip to Dubai, N176.77m for the Vice President’s trip to Côte d’Ivoire, N149.79m for the First Lady’s trip to France, and N86.76m for the Vice President’s trip to Liberia.

March 2024 saw further spending tied to foreign travel by the First Lady and Vice President. Transactions included N202.39m for the First Lady’s trip to Mozambique, N144.57m for her trip to Addis Ababa, and N126.30m for a trip to London.

The Vice President’s engagements also featured, with N201.12m spent on a trip to Côte d’Ivoire and N169.54m for estacodes linked to UK and US training programmes.

From July 2024, forex purchases by the State House intensified, with multiple same-day transactions on July 17 alone.

These included N149.05m, N358.53m, N243.32m, N739.07m, and N73.07m, all tagged as forex purchases.

Additional payments were made on July 23, August 6, October 11, and October 28, with notable amounts of N569.68m, N323.14m, N246.80m, and a significant N1.36bn on October 28.

By the final quarter of 2024, spending remained elevated. In November, the State House Operations – President recorded several purchases, including N22.19m, N18.34m, N169.10m and N185.23m on November 28. December added another N736.20m on December 1, reinforcing the pattern of sustained forex demand by the Presidency throughout the year.

Cumulatively, these transactions pushed total forex purchases linked to the Presidency in 2024 to N29.35bn, making it one of the most expensive years for official foreign travel and related forex spending in recent times.

In contrast, 2025 marked a significant pullback. Total forex purchases for the year stood at N5.04bn, a steep decline from the previous year.

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The reduction was broad-based, cutting across the Presidency, Vice Presidency and supporting offices.

Transactions in 2025 were also generally smaller in size and more sporadic, suggesting a deliberate effort to rein in forex outflows.

Data from April 30, 2025, show multiple forex purchases by State House Operations – President and Vice President, but most were in the tens of millions rather than billions of naira.

Amounts such as N535.82m, N57.94m, N32.51m, N57.81m and N23.67m dominated the April transactions.

Even the larger figures recorded in mid-2025, including N1.29bn, N1.28bn and N626m linked to the Presidential Air Fleet, were fewer and spread over several months.

By the second half of 2025, forex purchases had tapered further. August transactions included N7.67m and N11.14m, while November and December recorded modest payments by the Office of the Chief of Staff and the Presidential Air Fleet.

The overall pattern points to tighter controls and possibly improved planning around official travel as the naira stabilised in 2025.

The PUNCH observed that the naira ended 2025 on a firmer note, closing at N1,429/$1 on December 31.

This was a 7.4 per cent appreciation from the N1,535/$1 recorded on the final trading day of 2024, according to official exchange rate data from the Central Bank of Nigeria.

The local currency concluded 2024 with significant depreciation, recording a 40.9 per cent loss against the dollar in the official market.

The 2025 performance marks the naira’s first annual gain since 2012, when it appreciated slightly to N157.29 from N158.99 in 2011.

The currency had depreciated every year since then, marking a major turnaround after 13 years of consistent declines.

A further breakdown of the GovSpend data also shows that aviation-related expenses remain a major driver of forex demand.

The Presidential Air Fleet consistently accounted for some of the largest transactions across both years, reflecting maintenance, fuel, leasing and operational costs that are typically dollar-denominated.

This has renewed debate over the size and cost structure of the fleet, especially at a time when many countries are reviewing the sustainability of maintaining large official aircraft inventories.

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The State House and Office of the Chief of Staff accounted for smaller but still significant amounts, often linked directly to specific trips by the President, Vice President or First Lady. These include forex purchases for estacodes, accommodation, logistics and protocol obligations.

The Country Director of Accountability Lab Nigeria, Odeh Friday, earlier expressed concern about the impact of such spending on taxpayers and the need for greater transparency and accountability.

“This highlights the urgent need for a shift toward greater equality and accountability in the management of public finances,” Friday said.

He emphasised that it is critical to evaluate the outcomes of these significant expenditures, questioning whether they truly serve the interests of the Nigerian people. “Some of them are clearly wasteful expenditure,” he added.

Former Presidential Candidate of the Labour Party (LP) in the 2023 general elections, Peter Obi, has criticised President Bola Tinubu for spending much of January abroad.

Obi, in a post on his X handle on Sunday morning, noted that while leaders in other countries focus on domestic governance at the start of the year, Nigeria’s president has prioritised foreign engagements over pressing national issues.

Obi also questioned the necessity of Tinubu’s frequent foreign trips, noting that the President spent 23 days abroad in January across two trips, returning only briefly to Nigeria in between.

“While leaders in other nations prioritise domestic governance in January, Nigeria’s president prioritises international engagements over pressing national issues. This month, he spent 23 days abroad across two trips—beginning the year overseas and returning on the 17th, and departing less than 10 days on the 26th to Türkiye, where he remains as of January 31. What urgent matters continuously warrant his absence from the nation? When he does return, it often appears to be merely to welcome defectors into the APC before he jets off again.”

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Step-by-step guide to buying Dangote Refinery shares

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The Dangote Petroleum Refinery and Petrochemicals FZE will open Africa’s largest-ever Initial Public Offering on Monday, September 14, 2026, giving Nigerians a chance to own equity in the refinery.

Dangote Group Chief Executive Officer, Aliko Dangote, signed the offer documents at a ceremony held at Eko Hotels and Suites, Victoria Island, Lagos, on Monday, September 7, 2026, alongside the advisers and issuing houses managing the sale.

The offer comprises 4.1 billion ordinary shares priced at N525 each, with the company targeting about N2.15tn to part-fund an expansion that would nearly double the refinery’s capacity to 1.4 million barrels per day.

Subscription opens at a minimum of 10 shares, costing N5,250.

Dangote said the low entry threshold was a deliberate choice to let ordinary workers — drivers, cooks and domestic staff among them — become shareholders, describing the offer as “the IPO for the people.”

Lagos-based Vetiva Advisory Services Limited is coordinating the capital raise, which follows approval from the Securities and Exchange Commission. The offer opens September 14 and is expected to close October 13, 2026.

For readers wondering how to actually take part, here is a step-by-step breakdown.

STEP 1: SET UP A BROKERAGE ACCOUNT

Ordinary shares on the Nigerian Exchange are bought through licensed stockbroking firms, not directly from the company.

If you do not already have a trading account, you will need to open one with a broker registered by the SEC and the NGX.

Most brokers now let you register online by submitting your Bank Verification Number, a valid ID and passport photograph as part of standard Know-Your-Customer checks.

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Before committing funds, confirm the broker’s registration status on the SEC or NGX website to avoid unauthorised operators.

STEP 2: LINK OR OPEN A CSCS ACCOUNT

Shares are not issued as paper certificates; they are held electronically in the Central Securities Clearing System. When you open a trading account, your broker will typically set up a CSCS account for you at the same time, or link an existing one. Any shares allotted to you in the IPO will be credited to this account once trading begins.

STEP 3: COMPLETE IDENTITY VERIFICATION

Your broker will ask for documentation to verify your identity and activate your account before you can subscribe. Requirements differ slightly from one brokerage to another, so follow whatever checklist your chosen firm provides rather than assuming a uniform process across the industry.

STEP 4: FUND YOUR ACCOUNT AHEAD OF THE OFFER

Once your account is active, deposit the sum you plan to invest. At N525 per share, the minimum commitment of 10 shares costs N5,250. The exact increment for applications above that minimum has not been detailed in public reporting so far, so confirm it against the final prospectus before deciding how many additional shares to apply for. Investors should have their funds ready before the offer opens on September 14 rather than scrambling once subscription begins.

STEP 5: WATCH FOR THE OFFICIAL OPENING

The offer opens September 14 and is billed to run until October 13, 2026. Given the scale of public interest already generated by Dangote’s private placement in July — reportedly oversubscribed by 270 per cent — investors should rely only on the final prospectus and offer documents published by the issuing houses for exact dates, application procedures and any changes, rather than dates circulating informally.

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STEP 6: SUBMIT YOUR APPLICATION THROUGH APPROVED CHANNELS

Applications will run through participating stockbrokers and any other platforms named in the official offer documents, which may include selected fintech and mobile investment apps. Specify how many shares you want, review the application carefully and submit before the deadline. The SEC has previously warned Nigerians against unauthorised parties soliciting money for Dangote Refinery shares outside verified channels, so cross-check any platform against the official list before paying anything.

STEP 7: AWAIT ALLOTMENT

Submitting an application does not guarantee the full number of shares requested. If the offer is oversubscribed — a real possibility given the scale of demand already reported — allotment may be scaled down, and any unallotted portion of your payment should be refunded according to the terms set out in the prospectus. Successful allotments are credited directly to your CSCS account.

STEP 8: TRACK YOUR HOLDINGS AFTER LISTING

Once the shares list on the Nigerian Exchange, you can monitor their value through your broker’s trading platform or app. Prices will move with company performance, investor sentiment and broader market conditions, and shareholders can choose to hold for the long term or sell through their broker whenever they wish, subject to prevailing market prices.

Before applying, investors should read the official prospectus and offer documents once published, and confirm details such as the exact offer price, subscription deadlines and approved application channels directly through the issuing houses, the Nigerian Exchange or the Securities and Exchange Commission.

Source: punchng.com

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Nigeria imports N1tn steel despite N7.2bn Ajaokuta spend

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The Federal Government spent about N7.21bn running Ajaokuta Steel Company Limited between 2020 and 2025, even as the nearly 50-year-old complex in Kogi State remained largely dormant.

The expenditure spanned 501 transactions and covered taxes and other statutory obligations, pension and housing-fund contributions, maintenance, road works, and other infrastructure-related payments, according to spending records obtained from GovSpend and reviewed by The PUNCH on Monday.

GovSpend tracks and analyses Federal Government spending over time.

The spending occurred as Nigeria continued to rely heavily on imported steel, with the country’s iron and steel imports exceeding $1tn in 2025, according to data from the National Bureau of Statistics.

Nigeria’s iron and steel imports averaged about N526bn annually over the past six years, the NBS data showed. The figures represent officially recorded trade and exclude possible unrecorded or under-reported imports.

Ajaokuta was conceived in 1979 and built with Soviet backing as a cornerstone of Nigeria’s industrialisation drive.

The complex was designed to produce up to five million tonnes of steel annually, using the country’s iron-ore reserves to reduce dependence on imports and support industrial development.

Yet the spending records show that the company continued to incur substantial costs during the six years despite the plant’s inability to deliver the large-scale steel production for which it was designed.

In 2020, spending linked to Ajaokuta stood at about N795.4m across 57 transactions. The figure rose to N1.19bn in 2021, when 119 transactions were recorded, before falling to about N1.01bn in 2022.

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Spending increased to N1.36bn in 2023 and peaked at about N1.66bn in 2024 across 107 transactions. It then fell to approximately N1.20bn in 2025. The figures indicate that the expenditure was not a one-off intervention but a recurring cost associated with the state-owned steel company.

Some payments were routine obligations, including taxes, value-added tax, pension contributions, National Housing Fund contributions, and other statutory payments.

Others were linked to maintenance and infrastructure, including road rehabilitation, repairs to access roads, and the installation of solar street lights.

The records also show payments for infrastructure work in Lagos, including projects around Obalende, Okofaji, Olowogbowo and Isale Eko, as well as the rehabilitation of a 250-metre access road at Idoluwo Street on Lagos Island.

The payments raise questions about the scope of Ajaokuta’s responsibilities and why a steel company whose primary industrial asset is in Kogi State was involved in some infrastructure-related expenditure in Lagos.

The purpose of those payments and their relationship with Ajaokuta would need to be established through the relevant authorising agencies, contracts and procurement records.

The continued expenditure comes as the government renews efforts to revive the steel complex and attract investment into the long-delayed project.

The Ajaokuta Presidential Project and Implementation Team, inaugurated in May 2020, was established to accelerate the revival of the plant, coordinate a work plan and help structure the project for possible concession or implementation with private and international partners.

In July 2026, Ajaokuta Steel Company signed a reported 20-year gas supply agreement with the Nigerian National Petroleum Company Limited, with the Gas Aggregation Company of Nigeria and NNPC Exploration and Production Limited also involved.

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The agreement provides for three million standard cubic feet per day of firm gas and up to 47 million standard cubic feet per day of interruptible gas, according to reports. The supply is intended to support power generation and the eventual revival of the steel complex.

Ajaokuta’s Managing Director, Nasir Naeem Abdulsalam, who was appointed in April 2025 to lead the turnaround, said prospective investors had repeatedly identified gas availability as a major concern.

“Without gas, you can’t operate the steel plant,” Abdulsalam said, describing gas supply as critical to steel production and the independent power generation serving the complex.

There are limited signs of production at the site, with engineers operating a modular blast furnace producing manhole covers, utility poles and rail-track components for a small domestic market.

The limited output contrasts sharply with the scale of the complex, which was designed to produce millions of tonnes of steel annually.

The development comes as President Bola Tinubu’s administration seeks to expand domestic manufacturing and has set a target of 10 million tonnes of annual crude-steel production by 2030.

Nigeria continues to spend hundreds of billions of naira importing steel despite having a major steel complex built to support domestic production.

The Minister of Steel Development, Abubakar Audu, has estimated that Nigeria spends about $4bn, or roughly N5.6tn, annually on iron and steel imports.

Source: punchng.com

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Oil marketers withhold N431bn levies— Auditor-General

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The Nigerian Midstream and Downstream Petroleum Regulatory Authority has come under fresh scrutiny after the Office of the Auditor-General for the Federation uncovered over N432bn in unpaid debts, statutory levies and other outstanding obligations involving petroleum marketers.

The bulk of the liabilities, N431.01bn, consisted of legacy National Transport Average and bridging allowance debts owed to the petroleum sector regulator by marketers, according to the recently released Auditor-General’s 2024 Annual Report on Non-Compliance and Internal Control Weaknesses in Ministries, Departments and Agencies.

The report obtained from the OAGF office and analysed by our correspondent on Monday disclosed that Federal Government Ministries, Departments and Agencies were linked to at least N1.39tn in recurring financial irregularities, control failures and breaches of public finance regulations in 2024.

The amount, representing the cumulative value of 30 monetary cross-cutting issues identified by the Office of the Auditor-General for the Federation, underscores the scale of recurring weaknesses in the management of public funds across government institutions.

The largest component of the audit queries was N882.75bn in unrecovered debts involving six MDAs, accounting for about 63 per cent of the total amount implicated in the cross-cutting issues.

The Transmission Company of Nigeria accounted for the largest portion of the unrecovered debts, with N446.70bn, according to the report. The Nigerian College of Aviation Technology, Zaria, recorded the least amount among the affected agencies, with N935.56m.

For the NMDPRA, the report showed that the massive outstanding debt had remained substantially unresolved years after it was incurred, with auditors stating that as of August 2025, there was no evidence that the position had changed.

The N431.01bn debt dwarfed other financial irregularities identified at the authority, including N1.06bn in outstanding statutory levies owed by 14 oil marketers and N217.84m in unremitted Industrial Training Fund contributions.

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An analysis of the audit findings showed that the N431.01bn legacy debt accounted for virtually all the N432.29bn in major outstanding financial issues identified in the sections of the report relating to the NMDPRA.

The Auditor-General said the N431.01bn represented accumulated indebtedness arising from the National Transport Average, bridging allowance and legacy obligations.

A breakdown of the debt showed that the Depot and Petroleum Products Marketers Association of Nigeria accounted for N315.18bn, comprising N132.56bn in bridging allowance debt and N182.62bn in National Transport Average obligations.

The Major Energy Marketers Association of Nigeria accounted for another N106.30bn, while N9.53bn represented an unissued legacy debt in promissory notes by the Federal Ministry of Finance.

The report stated, “Section 47(1) of the Petroleum Industry Act (2021) states, “The Authority shall maintain a Fund (in this Act referred to as “the Authority Fund”) into which money accruing to the Commission shall be paid. Audit observed that: i. The sum of N431,012,935,018.88 was the National Transport Average, legacy debt and bridging allowance indebtedness to NMDPRA as at May 2023.”

It added that, “As at the time of this audit in August, 2025, nothing came to the knowledge of the auditors to have changed the position of the amount of the indebtedness, and There was no justification provided for non-recovery of the third parties’ indebtedness to the Authority.”

The auditors further said, “The above anomalies could be attributed to weaknesses in the internal control system at the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Abuja.

The Office of the Auditor-General attributed the anomaly to weaknesses in the NMDPRA’s internal control system and warned that the situation exposed government funds to possible loss and diversion.

Although the NMDPRA acknowledged the outstanding liabilities, the authority described the N431.01bn as legacy receivables due from marketers.

Management said efforts were underway to reconcile the balances with the affected companies.

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“Management notes that the sum of N431,012,935,018.88 represents a legacy receivable due from marketers. Efforts have been made to engage the affected marketers for reconciliation and sign-off of the outstanding balances,” the NMDPRA said.

However, the Auditor-General rejected the explanation. “The management’s response to the issue has been noted; however, it is deemed unsatisfactory. Consequently, the findings remain valid until the recommendations are implemented,” the report stated.

The auditors recommended that the Authority Chief Executive should explain the non-recovery of the N431.01bn to the Public Accounts Committees of the National Assembly and recover and remit the money to the Treasury.

The report also warned that sanctions could apply for failure to collect and account for government revenue and gross misconduct if the recommendations were not implemented.

In another finding, the Auditor-General said 14 oil marketers owed N1.06bn in unpaid statutory levies on petroleum products. Under the Petroleum Industry Act, the NMDPRA is entitled to collect 0.5 per cent of the wholesale price of petroleum products sold in Nigeria from wholesale customers as part of its funding sources.

The audit found that N1.06bn remained outstanding as of January 24, 2025. “The sum of N1,059,622,848.29 was standing as the amount of indebtedness for the year 2024, by fourteen oil marketers,” the report stated.

The amount included penalties imposed on defaulting marketers, excluding Premium Motor Spirit. The NMDPRA, however, said it had recovered N3.19bn from total outstanding levies of N4.25bn covering January to December 2024.

The authority said, “Following reconciliation exercises, the Authority recovered N3.19bn of the N4.25bn outstanding 0.5 per cent Authority Levy for January-December 2024. The remaining balance of N1.06bn is being pursued through Demand Notices issued to the defaulting marketers.”

The auditors sustained the finding to the extent of the N1.06bn still outstanding and directed the authority to recover and remit the money to the Treasury. The report further found that the NMDPRA failed to remit N217.84m to the Industrial Training Fund in 2024.

See also  Ending fuel subsidy was tough but necessary — Tinubu

According to the audit, the authority’s payroll for the year stood at N21.78bn, making it liable to remit one per cent of its total payroll to the ITF under the Industrial Training Fund Act. “The unremitted 1 per cent statutory Industrial Training Fund from the gross salary in the payroll of the Authority amounted to N217,841,922.18,” the report said.

The NMDPRA said it was in the process of settling the obligation. “The Authority is in the process of settling the outstanding 1 per cent Industrial Training Fund obligation. Evidence of payment will be submitted to the Office of the Auditor-General for the Federation upon completion of the remittance,” management said.

But the Auditor-General again described the response as unsatisfactory and maintained that the finding would remain until the money was remitted.

The findings come amid growing scrutiny of government agencies over revenue collection and remittance, particularly following repeated calls for stricter accountability in the management of public funds.

The NMDPRA was established under the Petroleum Industry Act 2021 to regulate Nigeria’s midstream and downstream petroleum sectors, including petroleum product distribution, transportation, storage and marketing.

The audit report now places renewed pressure on the authority to recover billions of naira tied up in legacy petroleum sector debts while strengthening its internal controls to prevent further revenue leakages.

However, some major oil marketers denied owing the agency when contacted for comments on the development, as they insisted that their obligations to the authority had been cleared.

Source: punchng.com

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