ADVERTISEMENT
  • The Membership Club
  • PT Hausa
  • About Us
  • Advert Rates
  • Careers
  • Contact Us
Wednesday, February 24, 2021
Premium Times Nigeria
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Opinion
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Parliament Watch
    • Panama Papers
    • Paradise Papers
    • AGAHRIN
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Opinion
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Parliament Watch
    • Panama Papers
    • Paradise Papers
    • AGAHRIN
Premium Times Nigeria
BUA Group Ad BUA Group Ad BUA Group Ad
ADVERTISEMENT
International Monetary Fund (IMF)

International Monetary Fund (IMF)

IMF clarifies report on Nigeria’s Sovereign Wealth Fund

byBassey Udo
April 13, 2019
2 min read

The International Monetary Fund (IMF) on Friday clarified its categorisation of Nigeria as one of the countries with the worst use of the Sovereign Wealth Fund.

In a report, Fiscal Monitor, released on Wednesday in Washington DC as part of the ongoing World Bank/IMF Spring Meetings, the IMF ranked Nigeria second lowest among 33 countries using the sovereign wealth fund from their natural resources.

Nigeria was ranked only better than Qatar in the report.

Following the report, some Nigerians criticised the categorisation as unfair and flawed, as it appeared that countries that used their sovereign wealth funds for investments abroad were ranked better than those who used similar resources for investments in their domestic economies.

The managing director of the Nigeria Sovereign Investment Authority (NSIA), Uche Orji, said the report was fundamentally flawed, as it appeared to have focused more attention on the sovereign investment agency than its use of the fund for the benefit of the people.

Mr Orji said the NSIA has performed creditably with its use of the country’s small sovereign wealth fund in investments in its three strategic funds, namely Stabilisation Fund, Future Generation Fund and Nigeria Infrastructure Fund.

He said with the initial provision of $1 billion from the previous administration, and an additional $500 million from the present administration, the NSIA has been able to grow the fund to the current $2.53 billion.

Mr Orji said his agency was able to achieve that through its deployment of the funds into strategic investments in roads, healthcare, power and agricultural services that impact directly on the lives of Nigerians.

The IMF’s Senior Resident Representative and Mission Chief for Nigeria, Amine Mati, has provided more explanation on the report.

RelatedNews

Can Nigeria Afford A Bicameral Legislature?, By Eric Teniola

CBN’s concern with cryptocurrency in order — IMF

Round and Round the Economic Garden, By Uddin Ifeanyi

COVID-19: African finance ministers seek extra $500bn

“In view of recent local media reports, I would like to clarify that the reference to the Sovereign Wealth Funds (SWF) included in Figure 2.16 of the IMF’s Fiscal Monitor showing a low ranking for Nigeria does not refer to the Nigerian Sovereign Investment Authority (NSIA),” Mr Mati said in a statement sent to the media on Friday.

“The NSIA is a Sovereign Wealth Fund that has worked extensively with development partners to ensure it is applying transparency practices that are aligned with the Santiago Principles of transparency, good governance, accountability and prudent investment practices,” he added.

He said the figure in the IMF’s Fiscal Monitor reports a score prepared by the Natural Resource Governance Institute (NRGI), which assesses the corporate governance and transparency of SWFs around the world using a methodology outlined in the referenced NRGI publication.

Dangote adbanner 728x90_2 (1)

For Nigeria, he said IMF’s reference to sovereign wealth fund focuses on the excess crude account, which requires greater transparency on the rules governing deposits, withdrawals, and investment.

The excess crude account (ECA) is a special account kept by the Nigerian government where revenues realised from the sale of crude oil above established crude oil benchmark price, set annually in the federal budget, are saved.

Ideally, accruals in the account domiciled at the Central Bank of Nigeria (CBN) are supposed to be transferred to the Sovereign Wealth Fund to be managed by the NSIA which is mandated to deploy such funds in commercially-viable investments at home and abroad for the benefit of all Nigerians.

However, over the years, until the coming of the present administration, such accruals are routinely shared every month during the Federation Accounts Allocation Committee (FAAC) meeting attended by the three tiers of government.

The current administration has also been accused of illegally using part of the funds in the ECA without the approval of the National Assembly.

Critics say over the years the management of the ECA has not followed the basic principles of transparency and accountability as the rules governing deposits, withdrawals and use of the savings have not always been followed.

ADVERTISEMENT
  • WhatsApp
  • Tweet
  • Email
  • Print
  • Telegram
  • More
  • Share on Tumblr
  • Pocket

Support PREMIUM TIMES' journalism of integrity and credibility

Good journalism costs a lot of money. Yet only good journalism can ensure the possibility of a good society, an accountable democracy, and a transparent government.

For continued free access to the best investigative journalism in the country we ask you to consider making a modest support to this noble endeavour.

By contributing to PREMIUM TIMES, you are helping to sustain a journalism of relevance and ensuring it remains free and available to all.

Donate


TEXT AD: To advertise here . Call Willie +2347088095401...


JOIN THE CONVERSATION

  • Disqus (7)
premiumtimes



PT Mag Campaign AD

Previous Post

Operators of non-existing orphanages struggle for FG’s free rice

Next Post

PrEP: HIV ‘prevention’ drug many Nigerians need, don’t know about and can’t afford

Bassey Udo

Bassey Udo

Bassey Udo is PREMIUM TIMES' Business & Economy Editor. He has covered finance, energy, oil, gas & extractive industries for over a decade. He is a winner of the Wole Soyinka Award for Investigative Journalism, and the Thomson Reuters Foundation (Wealth of Nations) Award for Business Reporting. Bassey is an alumnus of the U.S. International Visitors Leadership Programme. Twitter: @ba_udo

More News

Nigerian Army

UPDATED: 10 killed, 60 injured in Boko Haram attack on Maiduguri

February 24, 2021
Godwin Emefiele, Governor of Central Bank of Nigeria (CBN)

ANALYSIS: CBN’s financing of Nigeria’s deficits, the defiance and risks

February 24, 2021
Naira and Dollars

Naira gains on I&E window, stable at parallel market

February 23, 2021
Nigerian stocks Exchange

Nigerian stocks manage weak rebound after week of losses

February 23, 2021
NNPC petrol station used to tell the story.

Adamawa most expensive state to buy petrol, diesel, cooking gas in January – NBS

February 23, 2021
Nigerian Army soldier

Army recovers Borno community days after Boko Haram ambush – Official

February 23, 2021
Next Post
Sex workers used to illustrate the story. {PHOTO CREDIT: Daily Post Nigeria]

PrEP: HIV 'prevention' drug many Nigerians need, don't know about and can't afford

Sudan on map

Sudan's interim leader, rejected by protesters, resigns

Discussion about this post

Search

#EndSARS: Latest Updates




Polaris Bank


JAIZ Ad


NITDA Ad





Glo Ad

Subscribe to News via Email

Enter your email address and receive notifications of news by email.

Join 1,623,145 other subscribers.

Advertisement






netherland biz school Advert

Zenith Advert
ADVERTISEMENT

Our Digital Network

  • PT Hausa
  • Election Centre
  • Human Trafficking Investigation
  • Centre for Investigative Journalism
  • National Conference
  • Press Attack Tracker
  • PT Academy
  • Dubawa
  • LeaksNG
  • Campus Reporter

Resources

  • Oil & Gas Facts
  • List of Universities in Nigeria
  • LIST: Federal Unity Colleges in Nigeria
  • NYSC Orientation Camps in Nigeria
  • Nigeria’s Federal/States’ Budgets since 2005
  • Malabu Scandal Thread
  • World Cup 2018
  • Panama Papers Game
  • Our Digital Network
  • About Us
  • Resources
  • Projects
  • Data & Infographics
  • DONATE

All content is Copyrighted © 2020 The Premium Times, Nigeria

No Result
View All Result
  • Home
  • COVID-19
  • News
    • Headline Stories
    • Top News
    • More News
    • Foreign
  • Investigations
  • Business
    • News Reports
    • Financial Inclusion
    • Analysis and Data
    • Business Specials
    • Opinion
    • Oil/Gas Reports
      • FAAC Reports
      • Revenue
  • Health
    • News Reports
    • Investigations
    • Data and Infographics
    • Health Specials
    • Features
    • Events
    • Primary Health Tracker
  • Agriculture
    • News Report
    • Research & Innovation
    • Data & Infographics
    • Special Reports/Features
    • Investigations
    • Interviews
    • Markets
  • Arts/Life
    • Arts/Books
    • Kannywood
    • Lifestyle
    • Music
    • Nollywood
    • Travel
  • Sports
    • Football
    • More Sports News
    • Sports Features
  • Projects
    • Panama Papers
    • Paradise Papers
    • Parliament Watch
    • AGAHRIN
  • Opinion
  • PT Hausa
  • The Membership Club
  • Dubawa
    • Dubawa NG
  • About Us
  • Advert Rates
  • Careers
  • Contact Us
  • Digital Store
  • DONATE

All content is Copyrighted © 2020 The Premium Times, Nigeria

Our website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
loading Cancel
Post was not sent - check your email addresses!
Email check failed, please try again
Sorry, your blog cannot share posts by email.