NIGERIA NEWS
FG’s power sector bonds face backlash as experts’ questions N4 trillion bailout plan
The Federal Government’s plan to issue up to N4 trillion in government-backed bonds to settle longstanding debts owed to electricity generation companies (Gencos) and gas suppliers has drawn sharp criticism from experts.
In separate interviews with Nairametrics, some experts argued that the bond programme could help ease short-term liquidity pressures in the power sector.
However, others warned that it risks entrenching structural weaknesses and creating long-term financial challenges if not properly managed.
The debate comes in the wake of the Federal Government’s announcement that it will raise N1.23 trillion within the next four months as the first phase of the Presidential Power Sector Debt Reduction Programme.
The Special Adviser to the President on Energy, Mrs. Olu Verheijen, disclosed the plan in Abuja on Friday, noting that the initiative is designed to stabilise Nigeria’s power sector and restore investor confidence.
According to her, the first tranche of the bond issuance—expected to be completed by the first quarter of 2026—will be used to settle verified arrears owed to Gencos and gas suppliers.
Verheijen explained that the bonds will be issued with a seven-year tenor at a fixed interest rate and will be fully guaranteed by the Federal Government of Nigeria.
The programme, approved by President Bola Tinubu and endorsed by the Federal Executive Council (FEC) in August 2025, authorises the issuance of up to N4 trillion in bonds to address what government officials describe as a legacy debt overhang in the electricity market.
Nairametrics reports that President Tinubu had earlier, in June, approved the broader N4 trillion bond initiative to tackle persistent liquidity shortfalls that have crippled power generation, discouraged investment, and worsened supply reliability across the value chain.
Experts urge caution
While government officials argue that the intervention is necessary to reset the sector, some experts are urging caution.
Dr. Sam Amadi, former Chairman of the Nigerian Electricity Regulatory Commission (NERC), questioned the logic of using public debt to settle what he described as “market debts.” According to him, the first step should have been a regulatory and structural review of how the debts accumulated in the first place.
“From a financial perspective, a bond is a way of raising funds,” Amadi said. “But the first thing the president should have done is to go back to NERC. These debts are market debts. The question is: how did these debts arise? What caused them? Can the market deal with it?” he asked.
Drawing from his experience as a regulator, Amadi recalled opposing direct government intervention in operational spending during the early years of power sector reforms.
“When I was Chairman of NERC, there was a meeting where the minister at the time was proposing N5 billion to fix the Afam power plant. I said no. Once you have a regulator, every sphere of the market is regulated and should be removed from the market,” he said.
He warned that repeated government bailouts could create a cycle of dependency. “The market is built on debt. It’s not every debt the government pays. If you don’t understand how these debts were incurred, in the next three years, they will come back with another trillion, and the government will borrow again. Why should there be extra market intervention?” he asked.
It’s “using debt to pay debt” – Expert
Similarly, Dr. Biyi Ogunmodede, a power sector expert with Nexton Consulting Ltd, described the bond plan as “using debt to pay debt,” expressing concern about its long-term sustainability.
“I understand that the Federal Government wants to make the energy market more investor-friendly,” Ogunmodede said. “But the best way to go about it is not through the debt route. That said, we will have to see how this plays out in the next few years.”
On the other hand, some analysts see the bond initiative as an opportunity to reset the sector—if accompanied by strong governance and reforms.
In a policy brief shared with Nairametrics, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, stressed the importance of transparency and accountability in implementing the programme.
“There is an urgent need to ensure that all outstanding claims are properly verified, subjected to rigorous audit, and managed transparently and credibly,” Yusuf said.
He warned that Nigeria’s past experience with fuel subsidy regimes showed how intervention programmes could be abused without strong oversight. “Subsidy systems are vulnerable to malpractice. Strong accountability mechanisms are essential to prevent similar outcomes in the power sector,” he added.
Yusuf also called for deeper reforms alongside the bond issuance, including a phased and predictable transition to cost-reflective electricity tariffs, backed by targeted social protection for vulnerable consumers.
In addition, he urged the government to enforce stricter performance benchmarks for electricity distribution companies (Discos), including recapitalisation requirements, technical upgrades, and aggressive loss reduction measures.
What you should know
The Federal Government announced in October that it had concluded implementation frameworks for the N4 trillion bond programme following a high-level meeting with senior executives of Gencos and other sector stakeholders.
The meeting reviewed the modalities for clearing verified arrears and restoring financial stability to the market.
As Nigeria grapples with chronic power shortages, rising energy demand, and investor apathy, analysts agree that the bond programme could provide short-term relief. However, they also caution that without addressing tariff distortions, poor collections, technical losses, and weak enforcement of market rules, the debt problem may resurface—leaving taxpayers to shoulder the burden once again.
The Governor of Kano State, Alhaji Abba Yusuf, called for unity and peace within the New Nigeria Peoples Party (NNPP), emphasizing that the party cannot thrive without cohesion.
He also reiterated that his government in Kano State would remain fully inclusive, leaving no one behind.
Governor Yusuf spoke at the NNPP’s National Convention, an elective gathering in which former National Chairman Dr. Ajuji Ahmed and other National Working Committee (NWC) members were re-elected for a four-year term.
Speaking to delegates, the governor said, “This convention is not just another gathering; it is a defining moment in the life of our party. It is a moment to reflect on our journey, examine our current standing, and boldly chart our future. I sincerely thank every one of you for your dedication, sacrifices, and unwavering commitment to the party, from the grassroots to the national level, from founding members to the newest entrants. This party exists and thrives because of your belief in its vision and ideals.”
He acknowledged the contributions of the party leadership, saying, “I especially appreciate the efforts of our leader, His Excellency RMK, and the NWC members under Alhaji Ahmad Ajuji, who have tirelessly ensured the party’s success.”
On inclusivity, Yusuf stressed, “As we prepare for future political engagements, I call on all leaders at every level to promote fairness and inclusiveness. No ward, state, zone, or group should feel marginalized. Women and youth, who form the backbone of our population, must be fully carried along, not just in words, but in action. We are committed to internal democracy, delivering the dividends of governance in Kano State, and ensuring fairness at all levels.”
Highlighting the importance of unity, the governor said, “No political party can succeed without cohesion. Parties that stand divided fall weakened, but those united by shared values, mutual respect, and collective purpose become unstoppable forces for progress and good governance. Let us carry everyone along, men and women, young and old, professionals and grassroots members alike. When every member feels valued, the party grows stronger and more resilient.”
Concluding his address, Governor Yusuf urged delegates to embrace the spirit of unity and purpose: “Let this convention mark a new chapter. Let it be remembered as the moment we set aside divisions, strengthen our bonds, and reaffirm our collective resolve. United we shall stand, focused we shall advance, and together we shall succeed. May our party continue to grow from strength to strength, guided by unity, sustained by discipline, and crowned with victory.”
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Suspected gunmen have again struck in Niger State, abducting a woman during a midnight raid on Ebbo community in Lapai Local Government Area, heightening security concerns among residents.
Residents said the heavily armed assailants invaded the community late Sunday night, firing sporadically into the air for nearly an hour to instil fear and force people indoors before carrying out the abduction.
A resident, who spoke on condition of anonymity, said the prolonged gunfire caused widespread panic, leaving the usually busy community deserted as no one dared to step outside.
“They came around midnight and kept shooting into the air for about an hour. Nobody could come out. They kidnapped a woman named Precious, the wife of Mr Monday Musa, a well-known Point-of-Sale operator in Ebbo. She gave birth about three months ago, but the baby was left behind. They also took one Mr Anthony, but he managed to escape and returned this morning,” the resident said.
Sources said residents had noticed the presence of unfamiliar faces in the community for about four days before the attack and had remained on alert. However, the local vigilante group, which usually conducts routine patrols, was reportedly not on duty at the time of the incident.
READ ALSO: NDLEA arrests female drug kingpin, intercepts 23.50kg cocaine in Lagos
Confirming the attack, Niger State Police Public Relations Officer Wasiu Abiodun stated that the incident occurred on 20 December at approximately 11:45 p.m.
“Some armed men, about six in number, attacked a compound in Ebbo and abducted a woman to an unknown destination. Police operatives from the Lapai Division promptly moved to the scene, and one Salisu was arrested in connection with the incident,” Mr Abiodun said.
He added that investigations were ongoing, while efforts had been intensified to rescue the abducted woman and apprehend the gunmen.
NIGERIA NEWS
Oma Life Rescue Foundation Supports 1,000 Homes with Food, Clothes Fiesta in Chibiri Community
Oma Life Rescue Foundation on Saturday, December 20, brought relief and festive cheer to no fewer than 1,000 vulnerable homes during its annual Food and Clothes Fiesta held at Chibiri, Kuje Area Council of the Federal Capital Territory (FCT).
The humanitarian outreach saw the distribution of essential food items and clothing materials, including bags of rice, tubers of yam, cartons of Indomie noodles and wrappers, aimed at supporting families to celebrate the Yuletide season with dignity.
Speaking at the event, the Chief Executive Officer of the foundation, Dr. Omanibe Blessing Ameh, said the initiative was not designed for public display but as a deliberate intervention to ease hardship among vulnerable households during the festive period.
“This is our annual event at the foundation, and this year we are in Chibiri. We are not here to show off but to support vulnerable homes and ensure they do not celebrate this season in lack,” she said.
According to Dr. Ameh, the foundation distributed about 300 bags of rice, 1,000 tubers of yam, 200 cartons of Indomie noodles and 300 wrappers, made possible through the support of partners and donors.
She emphasized that the foundation remains committed to humanitarian service, calling on well-meaning Nigerians to embrace charity as a means of bridging the gap between the privileged and the less privileged in society.
Residents of the community expressed gratitude to the foundation for the timely intervention, describing it as a lifeline for many families amid rising economic pressures.
Oma Life Rescue Foundation has consistently organized relief programmes across communities, reinforcing its mission to support vulnerable populations and promote compassion, especially during critical seasons like Christmas and New Year celebrations.
NIGERIA NEWS
Lady Who Saved N50k Daily on Piggyvest Mentions How Much Interest She Got, Sparks Mixed Reactions
A Nigerian lady who saved N50,000 daily on Piggvest mentioned the interest she got.
Many reacted as she shared the amount currently in her account.
She also opened up about the job she does that made her save N50k daily.
Watch the video below:
Source: Legit.ng
The New Nigerian Peoples Party, NNPP, has reelected the members of its National Working Committee, NWC, to see to the affairs of the party, ahead of the 2027 general elections.
The party delegates unanimously voted that the National Chairman of the party, Dr Ajuji Ahmed, remains in the position along with other members of the party executives.
This was the outcome of the party’s National convention held in Abuja on Saturday, attended by the Kano State Governor, Abba Yusuf, national leader of the party, Engr Rabiu Kwankwaso, observers from the Independent National Electoral Commission, INEC, among other party heavyweights.
The decision to reelect Ajuji-led NWC was taken at the National Executive Committee, NEC meeting held yesterday.
In his speech, the National Chairman of the party, Ajuji said the party is leaving no stone unturned in its quest for a strong, virile, united, progressive, equitable, prosperous and decent democratic nation.
“The NNPP’s flag must fly higher and higher at every nook and corner of Nigeria to reassure citizens that a new, better, greater and prosperous Nigeria is possible,” he said.
“NNPP has been repositioned, restructured and strengthened as a major stakeholder in the nation’s democratic process. All eyes are on our great party to point the way forward for sustainable democracy and development in Nigeria.
“Our country deserves a fresh start and citizens deserve a fresh new deal which only NNPP is capable to offer. In view of this, we have concluded Congresses at Ward, Local Government, State and Zonal levels where new leaders emerged.”
He urged leaders that emerged from the party’s state, zonal, local government and ward conventions to justify the confidence and trust party members reposed in them.
“NNPP is big enough to accommodate millions of fellow compatriots who desire and deserve a new Nigeria where peace and prosperity are guaranteed,” he added.
“Citizens look up to NNPP to chart the way forward for our dear nation. We must live up to their expectations.”
Senate President, Senator Godswill Akpabio, has taken his dispute with Senator Natasha Akpoti-Uduaghan to the Supreme Court.
Akpabio is seeking to overturn a ruling of the Court of Appeal, Abuja division, which struck out his brief of argument in an appeal arising from the suspension of Akpoti-Uduaghan.
Sources in Abuja said the Senate President’s legal team approached the apex court after the appeal court held that his brief was fundamentally defective and incompetent.
The appellate court said the brief failed to comply with mandatory provisions of the court of appeal rules.
The court faulted the brief for procedural violations, including unauthorised font size and line spacing, exceeding the 35-page limit, and failure to seek leave to regularise the defects.
The Appeal Court ruled that the infractions were not minor technical lapses but substantive breaches that went to the competence of the appeal.
In his notice of appeal, Akpabio argued that the Court of Appeal breached his constitutional right to fair hearing.
He said the lower court erred by refusing to grant him leave to correct the defective brief or permit him to re-file within or beyond the page limit.
Akpabio also contended that the court failed to treat parties equally, alleging that Akpoti-Uduaghan’s brief was allowed despite non-compliance with formatting rules.
The Senate President said the refusal to grant leave resulted in a miscarriage of justice.
The legal battle has fuelled speculation about political undertones, with some observers describing the dispute as a struggle for authority and control within the Senate.
Meanwhile, Akpoti-Uduaghan’s legal team said it is confident in the judiciary and described the Supreme Court appeal as a last-ditch effort.
The Central Bank of Nigeria has reacted to widespread reports claiming that a fire broke out at its headquarters in Abuja.
The apex bank made it clear that no such incident occurred at its Head Office.
According to the CBN, the claims making the rounds on social media are false and misleading. The bank described the reports as baseless and capable of causing unnecessary panic among the public if left unchecked.
In a clarification, the Central Bank stated that its Abuja headquarters remains safe and fully operational. It stressed that there was no fire outbreak in any part of the building, contrary to the rumours being circulated online.
The bank further warned against the spread of unverified information, noting that false reports about critical national institutions could undermine public confidence and disrupt normal activities.
It advised Nigerians to always confirm sensitive information through official and verified communication channels.
CBN also reminded members of the public and media practitioners of the importance of responsible information sharing, especially in an era where unconfirmed reports can spread rapidly across digital platforms.
The apex bank reaffirmed its commitment to transparency and assured Nigerians that it would promptly communicate any major development concerning its operations through its recognised platforms.
Nigeria’s foreign exchange (FX) reserves have recorded the first decline in 25 weeks, falling by $263.151 million (equivalent of N381.569 billion) to $45.21 billion as of December 17, 2025, according to new data from the Central Bank of Nigeria (CBN).
The drop, which followed three consecutive days of outflows between December 15 and 17, marks a reversal of a long-running accumulation trend that pushed reserves to their highest level in six years.
The contraction ended a sustained build-up that had peaked at $45.472 billion on December 12.
By December 17, reserves had slipped to $45.209 billion, signalling renewed pressures on Nigeria’s external position.
What the data show
The decline comes despite strong growth earlier in the year. CBN data shows that Nigeria’s gross official reserves rose by $1.5 billion month-on-month to $44.7 billion at end-November 2025.
Over the 11 months to November, reserves gained $3.8 billion, and by $7.5 billion since June, when they were at their year-to-date lows. A key driver was the $2.4 billion Eurobond issuance in November, part of which refinanced a $1.2 billion Eurobond maturity.
Nigeria’s reserves remained robust before the December decline, providing 13.9 months of merchandise import cover and 9.4 months when services were included, according to the balance of payments to March 2025.
Drivers: Slowing inflows, high demand, and heavy repayments
FX inflows plunged by 67% month-on-month to $2.0 billion in November, the lowest since July 2024. Foreign portfolio inflows fell sharply to $593 million from $3.5 billion, while FDI collapsed to $10.4 million from $221 million, heightening pressure on the naira. Analysts blamed the reversals on the controversial Capital Gains Tax (CGT).
In addition, the CBN also settled multiple obligations between Dec. 15–18, including primary market repayments of:
- N9.103 billion
- N22.327 billion
- N70.857 billion in; and
- N537.750 billion in matured OMO repayments on Dec. 16, totaling N640.037 billion in debt repayments, possibly drawn from the buffers.
At the same time, the CBN conducted fresh OMO sales of N408 billion and N916.200 billion on December 11, totalling N1.324 trillion, which could have offset the debt repayments.
Seasonal Dollar Demand
As in previous years, holiday travel, import settlements, and retail stockpiling intensified FX demand. Despite stronger reserves in November, the naira still weakened modestly as these pressures built.
Nevertheless, Nigeria’s reserve buffers remain significantly higher than the $40.19 billion recorded at end-2024 and $33.22 billion in 2023. Yet the timing of the decline underscores lingering fragility, especially as FX demand rises and global financial conditions tighten.
The reserves continue to provide strong import cover, but analysts warn that any prolonged period of subdued inflows or heavier repayments could weaken the naira stability profile.
Outlook: Festive pressures, remittance cushion ahead
FBNQuest expects further festive season pressures on the naira, alongside potential upticks in inflation driven by import-led consumer spending. With the naira trading around N1,455/$ in late 2025, analysts say year-end demand could worsen short-term volatility.
However, stronger reserves, diaspora remittances, and recent Eurobond inflows are expected to cushion the currency and help the CBN manage liquidity.
Market sentiment may remain cautious, with possible short-term selloffs across equities and a tighter financial environment as FX demand peaks in early 2026.
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The United States government has expanded its travel restrictions on Nigerians, now suspending legal immigration applications, including green cards, naturalisation, and other permanent residency pathways.
This means that Nigerians are no longer able to submit new applications for these programs, nor will any pending applications be processed for the time being.
According to CBS News, the US Citizenship and Immigration Services (USCIS) is enforcing the suspension under a recent proclamation by President Donald Trump.
The proclamation had earlier imposed partial travel restrictions on several developing countries, including Nigeria, affecting Nigerians applying for B-1, B-2, B-1/B-2, F, M, and J visas.
The new suspension goes further, blocking immigration and citizenship pathways entirely.
Aside from Nigeria, the policy also affects Burkina Faso, Mali, Niger, South Sudan, Syria, Angola, Antigua and Barbuda, Benin, Côte d’Ivoire, Dominica, Gabon, Gambia, Malawi, Mauritania, Senegal, Tanzania, Tonga, Zambia, and Zimbabwe.
Nationals from these countries will no longer be eligible to apply for US citizenship or permanent residency. US authorities cite national security concerns as the reason for the decision.
They highlighted a “general lack of stability and government control” in the affected countries, which limits the ability to properly vet applicants or assess security risks.
USCIS added that it is “conducting a comprehensive review of anyone from anywhere who poses a threat to the U.S., including those identified in the President’s latest proclamation.”
As of now, the Nigerian government has not issued an official response to the expanded restrictions.
However, in previous engagements, Nigeria has expressed willingness to work with US authorities to address concerns around immigration processes and security cooperation.
Grammy-winning Afrobeats superstar Burna Boy sent the crowd into a frenzy on Friday night after making an unannounced appearance during Shallipopi’s headline performance at the Iconiq Fest in Lagos.
The surprise moment unfolded at the Landmark Event Centre, where Burna Boy joined Shallipopi on stage during the closing segment of the rapper’s set.
Dressed casually, the global star instantly lifted the energy at the venue, turning the performance into what has since become the most talked-about moment of the festival’s three-day debut.
The WHOLESOME MOMENT shallipopi surprised the crowd with Burna boy
ODG really fvcks with Pluto presido fr.. from uk to France to Manchester to Lagoshttps://t.co/kvh9ZE9AgP pic.twitter.com/ZLbJ2g77Ff
— My Godfather! (@mygodfather0) December 21, 2025
The duo thrilled fans with a live rendition of “Laho II (Remix)”, after which Burna Boy went on to perform his hit single “Dem Dey.” At one point, Shallipopi hailed Burna Boy as “ODG, the highest,” a remark that drew thunderous cheers from the packed audience.
Burna Boy made a Surprise Appearance at Shallipopis Lagos Headline show
pic.twitter.com/ybrXDENgxx
— HYPETRIBE (@hypetribeng) December 21, 2025
Iconiq Fest ran from December 18 to 20, with Chike, BNXN and Shallipopi headlining across the three days. Other acts on the lineup included Famous Pluto and Zerry DL, as the festival carved out a strong place for itself in Lagos’ ever-growing “Detty December” calendar.
Organisers recorded a strong turnout throughout the event, with no major disruptions reported. Burna Boy’s unexpected appearance, however, stood out as the defining highlight, instantly dominating conversations on social media and among concertgoers.
In a December already filled with high-profile shows and musical comebacks, the unplanned collaboration served as a reminder that the most electric moments in live music are often the ones no one sees coming.
The post Burna Boy surprises Shallipopi at Lagos concert appeared first on Vanguard News.