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FG to capture N4tn power sector bond in MTEF

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The Federal Government on Thursday announced that the newly launched power sector liquidity bond, designed to settle decade-long N4tn debts owed to electricity generation companies will be fully captured in the country’s Medium-Term Expenditure Framework, a move officials say strengthens its credibility and guarantees repayment.

This will also increase the nation’s public debt by N4tn.

Speaking at a virtual investor forum convened by the Federal Ministries of Finance and Power, top government officials and financial advisors said the debt instrument, backed by a sovereign guarantee, is central to the Presidential Power Sector Debt Reduction Programme and marks the administration’s boldest attempt yet to restore confidence in Nigeria’s troubled electricity supply industry.

CardinalStone Partners’ Group Managing Director, Michael Nzewi, told prospective investors that the bond should not be confused with previous power sector interventions that failed to close liquidity gaps, stressing that the inclusion of the debt in the MTEF elevates it to a statutory government obligation.

“These bonds are backed by the Federal Government. The debt will be included in the medium-term federal framework. This is essentially an insurance by the government.

“We should not be overly worried about shortfalls from GenCos or DisCos. The government has stepped in with a guarantee to cover such gaps,” Nzewi said.

Recall that on Tuesday, PUNCH Online reported that the government had begun the process of repaying the N4tn debt owed to Power Generation Companies with the launch of a N590bn first-tranche bond issuance.

The initial tranche, part of a wider N4tn NBET Finance Company Plc Bond Programme, is guaranteed by the Federal Government. It comprises N300bn in cash bonds to be issued to the market and N290bn in non-cash bonds to be directly allotted to GenCos on identical terms.

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PUNCH Online learnt that details contained in the bond term sheet obtained by our correspondent on Tuesday revealed that the Series 1 bond will be issued between November and December 2025. CardinalStone Partners Limited is serving as the lead issuing house and financial adviser.

According to the term sheet, “Series 1 Tranche A involves N300bn issued to the market for cash, while N290bn under Tranche B is allotted to the GenCos on identical terms. The bond will be issued between November and December, with a seven-year tenor on a fixed-rate coupon, redeemed on an amortising basis and paid semi-annually in arrears.”

Giving further details, the MD explained that unlike regular sovereign issuances that disappear into general financing, this bond has a defined purpose: injecting liquidity into the power sector to make it financially viable. “It will form the foundation for the sector’s next phase of development,” he added.

Providing a breakdown of the instrument, Head of Investment Banking at CardinalStone Onyebuchim Obiyemi, said the issuer is NBET Finance Company Plc, a special-purpose vehicle sponsored by the Nigerian Bulk Electricity Trading Plc.

She noted that the SPV structure was created to ring-fence both historic liabilities and receivables.

Between February 2015 and March 2025, all debts owed to GenCos are being migrated to the SPV, while receivables due from distribution companies over the same period are also being assigned to it.

“This creates a stand-alone entity responsible for the entire transaction,” he said, explaining that the structure removes the burden from NBET and improves transparency for investors.

Minister of Power, Adebayo Adelabu, said the reform will be complemented by improved service delivery by distribution companies, particularly as more customers migrate to Band A.

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He maintained that not all subsidies would be removed, insisting that vulnerable households will continue to receive government support.

“Those who can afford to pay for reliable electricity must do so. But low-income Nigerians will still enjoy targeted subsidies,” he said.

“The key is to redesign the subsidy regime so it reaches only those who truly need it.”

Adelabu added that the Federal Government would monitor DisCos more stringently to ensure they deliver value for money.

In his closing remarks, NBET’s Acting Managing Director, Johnson Akinnawo, described the programme as a “strategic reset” rather than another bailout for the power sector.

He said the sovereign guarantee provides the “sunlight and water” needed for investor confidence, noting that several months of claim validation have culminated in a debt instrument designed to stabilise the electricity ecosystem.

“This bond issuance is our collective tree-planting. It is an investment in Nigeria’s energy security,”* he said, thanking President Bola Tinubu, the finance and power ministers, and investors for supporting the initiative.

PUNCH Online reports that more than 600 institutional investors, including pension funds, asset managers, banks, insurers and trustees, joined Thursday’s call.

The forum officially heralded the launch of the Presidential Power Sector Debt Reduction Programme, which aims to clear long-standing GenCo debts, stabilise market cash flow, and attract fresh investment into generation, transmission and distribution infrastructure.

Attaching the debt to the MTEF places it within Nigeria’s medium-term fiscal planning, improving transparency, repayment certainty, and credit quality, three factors investors have long demanded from the sector.

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Mob sets US-based doctor’s SUV ablaze over false kidnapping in Oyo

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The Oyo State Police Command has rescued a United States-based medical doctor from mob action following a false kidnapping alarm in Ibadan, the state capital.

The command disclosed this in a statement released on Wednesday by the state police public relations officer, DSP Ayanlade Olayinka.

According to the police, the incident occurred on Monday at about 2:30 p.m. around the 2nd Powerline Area, Ologuneru, along the Eleyele-Ido Road in Ibadan.

The statement said officers responded to a distress call alleging that a suspected kidnapper was about to be lynched and set ablaze by an angry mob.

“Upon receipt of the information, a combined team of Patrol and Detective Officers led by the Divisional Crime Officer Eleyele Police Station (DCO) immediately mobilized to the scene where the suspect was successfully rescued from the enraged crowd.

“However, before the arrival of the Police, his Lexus RX 330 SUV had already been set ablaze by the mob, while two young girls identified as Deborah, aged 15 years, and Rebecca, aged 12 years, found inside the vehicle, were equally taken into protective custody alongside the suspect for proper investigation,” the statement read.

Preliminary findings, according to the PPRO, revealed that the victim, identified simply as Dr. Afolabi, is a medical doctor practising in the United States and not a kidnapper as alleged in viral social media reports.

“Further findings established that the two girls found inside the vehicle were legally taken from one Mrs. Idowu Abimbola, aged 56 years, of Eleyele Area, Ibadan, with the intention of delivering them to the victim’s mother for the purpose of assisting with household chores.

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“In the course of investigation, Mrs. Idowu Abimbola was invited to the station where she confirmed the arrangement, while the two girls equally corroborated the account and related freely with the said woman, thereby dispelling the suspicion of abduction,” the statement added.

Olayinka explained that the misunderstanding began when Dr. Afolabi attempted to gain access through the Polytechnic gate and was stopped by a security guard for routine vehicle inspection.

“Upon lowering the vehicle’s window glass, the two girls were allegedly seen half-naked, a situation which immediately aroused suspicion among bystanders and security personnel.

“It was gathered that the victim’s inability to provide satisfactory answers to questions asked at the scene, coupled with his decision to turn away from the checkpoint, further heightened suspicion.

“The situation was compounded by the inability of the two girls to speak the local language or properly express themselves in English, thereby fueling the false alarm of kidnapping.

“The development consequently led to a mob chase and eventual interception of the victim by irate youths who reportedly ignored all explanations offered by him and descended heavily on him, inflicting severe bodily injuries before the timely intervention of the Police.

“The victim was immediately rushed to the Police Medical Services for urgent medical attention and is currently responding to treatment,” the statement said.

Scene of the incident. Credit: Oyo State Police Command

The police said statements had been obtained from eyewitnesses, including an okada rider allegedly hit during the confusion, while efforts were ongoing to identify and arrest those involved in the mob action and destruction of property.

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The Commissioner of Police in the state, CP Abimbola Olugbenga, condemned the mob action and the spread of false information capable of creating tension and undermining security in the state.

He warned against jungle justice, self-help, and the circulation of unverified reports on social media, saying such actions threaten public peace and order.

The commissioner also directed a full investigation into the incident and ordered the arrest of all those involved in the attack for prosecution in accordance with the law.

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Mahama approves evacuation of 300 Ghanaians from South Africa over Xenophobic attacks

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Ghana’s President, John Mahama, has granted approval for the immediate evacuation of 300 Ghanaian nationals from South Africa, following renewed xenophobic attacks in the country.

The Minister for Foreign Affairs, Samuel Okudzeto Ablakwa, disclosed this in a statement issued on Tuesday via his X handle.

According to him, the affected citizens had earlier complied with the Foreign Ministry’s advisory and registered with the Ghana High Commission in Pretoria for evacuation assistance.

He wrote, “His Excellency John Mahama has granted presidential approval for the immediate evacuation of 300 Ghanaians in South Africa.

“These distressed Ghanaians had earlier complied with the Foreign Ministry’s advisory and registered with our High Commission in Pretoria to be rescued following the latest wave of xenophobic attacks.”

Ablakwa added that the government remains committed to protecting its citizens both at home and abroad.

The evacuation comes as reports emerge of harassment and attacks on foreign-owned businesses, particularly in areas such as KwaZulu-Natal and Durban.

Other African nations have taken similar steps.

In response, Nigeria’s government, through Foreign Minister Bianca Odumegwu-Ojukwu, announced a voluntary repatriation program for its citizens.

Over 130 Nigerians have already registered with Nigerian missions in South Africa for assistance to return home, with the number expected to rise.

President Bola Tinubu has directed the establishment of crisis notification centres to support distressed nationals.

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FG deploys mining marshals for intelligence gathering, compliance monitoring

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The Federal Government has deployed Mining Marshals for intelligence gathering, compliance monitoring and operational oversight in the solid minerals sector.

This was disclosed in a statement issued on Tuesday by the Commander of Mining Marshals Operations and Assistant Commandant of Corps, Attah Onoja.

Onoja stated that the deployment is part of efforts to strengthen enforcement against illegal mining activities.

“The Mining Marshals are now participating in investigations, intelligence gathering, compliance monitoring and fact-finding missions conducted by the Federal Ministry of Solid Minerals Development.

“As part of the initiative, the Mining Marshals recently joined ministry officials on operational visits to mining sites in Nasarawa and Plateau states.

“The operations were carried out under the leadership of the Minister of Solid Minerals Development, Dele Alake,” the statement read.

The statement said that the operations were aimed at strengthening monitoring, regulatory compliance and operational oversight within the sector.

It read, “The team was led on different occasions by the Permanent Secretary of the ministry, Engr. Faruk Yusuf Yabo, who represented the minister during the field engagements.

“During one of the operational and fact-finding missions, the Commander of the Mining Marshals, ACC Attah John Onoja, accompanied ministry officials to a mining site allegedly being illegally exploited.

“The visit was part of efforts to verify allegations of unlawful mining activities, assess compliance with extant mining regulations and obtain field-based information necessary for administrative, regulatory and possible enforcement actions.”

“The delegation also included senior ministry officials such as Engr. Frank Odoom, Director of Special Duties; Engr. Imam A. Ganiyu, Director of Mines Inspectorate; Andrew Zubiri, Director of Legal Services; and Ibrahim Abdulmajeed J., representing the Director General of the Mining Cadastre Office.”

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According to the statement, the engagements created an important feedback mechanism between government authorities and mining communities.

It added that the engagements enabled concerns relating to illegal mining, environmental practices, security challenges and regulatory compliance to be communicated directly to authorities.

It further stated that the Mining Marshals have continued to support the ministry’s operations through “intelligence support, operational collaboration and inter-agency coordination across mining communities nationwide.”

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