President Bola Ahmed Tinubu, Wednesday, said there has been a tremendous improvement in Foreign Direct Investments (FDIs) to the tune of over $30 billion between last year and now.
The president, who spoke in Abuja at the Comptroller-General of Customs Conference 2024, said the feats were some of the results of the ongoing reforms by the administration.
According to him, the tailwinds, clearly demonstrated that the administration’s policies were yielding the right results and making the country increasingly attractive to both local and international investors.
This is coming as Comptroller General Nigeria Customs Service (CGC) Bashir Adeniyi announced that the Service had achieved this year’s revenue target of N5.07 trillion.
However, Blueprint can also report that the nation’s domestic debt stock had increased to N66.957 trillion by the first half of 2024, a figure that represents an increase of 8.74 per cent, as against the N61.578 trillion reported at the end of first quarter of this year.
…Tinubu on FDIs’ gains
In a message to the CGC’s conference in Abuja, President Tinubu, represented by the National Security Adviser, Mallam Nuhu Ribadu, said the gains of the FDIs had made it easy for Nigerian businesses to actively participate in the competitive global trade.
The president said: “I am pleased to note that the Nigeria Customs Service is one of the agencies that have risen to this expectation, demonstrating how government institutions can effectively contribute to our economic transformation agenda while fulfilling their core mandates.
“Building on these foundational reforms, we have expanded our focus to strengthen Nigeria’s position in global trade and investment. Through strategic initiatives, we are enhancing trade facilitation, modernizing our port infrastructure, and streamlining business processes to reduce barriers to trade. Our commitment to creating an enabling business environment has resonated with the international investment community. The confidence in our economy is reflected in the significant surge in foreign direct investments, which has exceeded $30 billion in the past year.”
While commending the NCS on revenue generation, Tinubu said: “The Nigeria Customs Service has shown remarkable progress in revenue generation, enhancing government’s capacity to fund critical national development projects. Through strategic reforms, the Service is strengthening Nigeria’s position as a trade-friendly nation, particularly in the areas of export promotion and port efficiency. This has contributed significantly to our improved global ranking in the ease of doing business.
“The Service has also demonstrated that effective trade facilitation can coexist with strong regulatory compliance, as evidenced by its enhanced border security and anti-smuggling operations. These achievements affirm our administration’s belief that public institutions, when properly aligned with national objectives, can effectively drive transformative change.
“While these results are encouraging, they represent only the beginning of what we can achieve through focused institutional reforms and alignment with national objectives.”
…NCS on revenue
Addressing the conference, CG Customs Adeniyi said the agency had, as of November 12, 2024, raked in N5.07 trillion, saying this is a result of collaborative efforts among all stakeholders.
While underscoring how collaboration among stakeholders had helped in the success story, he said: “These strategic engagements and collaborative approaches have yielded remarkable results across our core statutory responsibilities.
“Distinguished ladies and gentlemen, I am pleased to announce that yesterday, 12 November 2024, at exactly 13:10 Hrs, the Nigeria Customs Service hit its 2024 revenue target of NGN 5.07 trillion, collecting NGN 5,079,455,088,194.38, with more than a month remaining in the fiscal year.
“This exceptional performance—projected to exceed our target by 10 percent—validates our partnership-driven approach to revenue collection and trade facilitation.”
Adeniyi further said: “The achievement is not merely about numbers; it demonstrates how enhanced stakeholder collaboration, improved processes, and modernised systems can deliver tangible results for our nation’s economy.”
TheCustoms boss also told the gathering the magnitude of the intervention the Service was reflected in seizures valued at N28.1billion in just 2024.
Adeniyi said the seizures, which were mainly in critical areas of national concern ranged from wildlife items and arms and ammunition to narcotics as well as pharmaceutical products.
“Our pledge was comprehensive and ambitious: modernizing our processes through a one-stop solution for cargo alerts, revolutionizing our ICT
infrastructure, streamlining examination procedures, and embracing automation for enhanced efficiency.
“We committed to reimagining our free trade zone operations, elevating cargo integrity standards, and expanding our scanning capabilities. Above all, we promised to usher in a new era of customs operation- one built on transparency, efficiency, and genuine collaboration with our partners,” he said.
On the 2025 outlook, he said the Service would be stepping up in the areas of reducing physical inspections through improved risk management and expanding the AEO program.
To realise the set target, the CGC called for stronger partnerships across government and the private sector, stressing the importance of an innovative approaches in today’s complex trade environment.
…Debt profile
And on the flip side, a report by the Debt Management Office (DMO) said the federal government’s domestic debt stock increased to N66.957 trillion by the first half of 2024.
The report showed additional debt of N5.379 trillion locally was recorded during the period under review through financial instruments such as FGN Bonds, Nigerian Treasury Bills (NTB), FGN Savings Bonds, and Promissory Notes.
As at the end of March 2024, the federal government’s total domestic debt stood at N61.578 trillion, indicating a 15.62 per cent increase from N53.258 trillion recorded at the end of December 2023.
An analysis of the nation’s local debt profile showed that FGN Bonds was dominant debt instrument in FG’s domestic debt stock, accounting for N52.315 trillion, and representing 78.13 per cent of the total domestic debt as of June 2024.
The report showed that out of the N13.699 trillion raised in the first half of the year, FGN Bonds contributed N8.055 trillion, representing 58.8 per cent of the additionally incurred debt.
Nigerian Treasury Bills (NTBs) followed with a total debt stock of N11.808 trillion of 17.64 per cent of the domestic debt stock.
The federal government raised N5.286 trillion through NTBs during the period which accounted for 38.59 per cent of the total debt raised in first half of 2024.
For the Promissory Notes, a debt stock of N1.671 trillion was recorded showing a growth of 2.5 per cent of the domestic debt.
FGN Savings Bonds accounted for just N55.2billion of the total debt stock, or 0.08 per cent. Additional debt was raised through this instrument amounted to N16.091 billion, representing a marginal 0.12 per cent of the total debt incurred.
Other instruments like The FGN Sukuk maintained an opening balance of N1.092 trillion as no new Sukuk bonds were issued in H1 2024.
Similarly, Green Bonds, last issued in June 2019, remained on the debt stock, with repayment due in 2026.