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WTO chief, Okojo-Iweala discusses relief programmes with Nigeria’s Tinubu (video)

Published

1 year ago

August 10, 2023

The Director-General of the World Trade organization, Ngozi Okojo-Iweala, on Tuesday, met Nigeria’s President Bola Tinubu to discuss possible economic support for Nigeria.

Although the meeting was held behind closed doors, Iweala stressed that her visit was not an official WTO engagement. She however revealed while briefing journalists after the session that she discussed the kinds of programmes that could be put in place to address the current economic hardship in the country.

“We had a really good conversation trying to look at on community and grassroots programmes that can be pit in place to create jobs for young people, trying to support women and children, who are bearing the brunt og the suffering in the country.”

In the last three months, President Bola Tinubu has driven economic reforms like the floating of the currency and the removal of fuel subsidy which have spiked the cost of living and put Nigeria’s economy on the edge, although experts have argued that the policies are capable of long-term gains.

Within the period, the Nigerian government has struggled to effect a holistic system of palliative measures for its citizens, although some plans were announced by President Tinubu in a nationwide address last week.

The WTO chief has twice served as Nigeria’s Finance Minister between 2003-2006 and 2011-2015 and briefly acted as Foreign Minister in 2006. It was under her second reign as FM that Nigeria first attempted the removal of fuel subsidy in 2012 but the Nigerian government under President Goodluck Jonathan at the time could not press through on the policy following mass protests and resistance by the public and the then opposition party.

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VenturesNow

IMF, Egypt reach agreement for fourth review of Egypt’s $1.2 billion loan request

Published

1 day ago

December 26, 2024

Ifeoluwa Dada

Egypt and the International Monetary Fund (IMF) have reached a staff-level agreement over the fourth review of the Extended Fund Facility arrangement, which might lead to a $1.2 billion payout under the program.

In March, Egypt, struggling with rising inflation and cash shortages, consented to the $8 billion, 46-month facility. Its economic problems were made worse by a precipitous drop in Suez Canal revenue over the last year due to regional tensions.

Over the next two years, Egypt’s government has committed to raising its tax-to-revenue ratio by 2% of GDP, according to the IMF, emphasising removing exemptions rather than raising taxes.

According to a statement from the IMF, this would allow it to expand social expenditure to support vulnerable populations.

“While the authorities’ plans to streamline and simplify the tax system are commendable, further reforms will be needed to enhance domestic revenue mobilization efforts,” the statement said.

According to the IMF statement, Egypt had also committed to maintaining its commitment to a flexible currency rate and to taking more urgent action to guarantee that the private sector became the primary driver of development.

The IMF’s executive board still has to accept the fourth review’s staff-level agreement.

VenturesNow

Libya’s eastern govt accepts petrol subsidy elimination

Published

1 day ago

December 26, 2024

Ifeoluwa Dada

In a recent statement, the eastern government of Libya claimed it had reached a consensus on a plan to eliminate gasoline subsidies and would draft a mechanism to carry out the accord.

Additional information on the idea was not released by the administration led by Osama Hamad, a challenger to the internationally acknowledged Tripoli-based government.

However, it is uncertain if Hamad’s government would be able to carry out the plan in the divided nation.

According to the Global Petrol Prices online tracker, a litre of gasoline costs just 0.150 Libyan dinars ($0.03) in OPEC member Libya, making it the second-cheapest in the world.

Following an uprising against former ruler Muammar Gaddafi in 2011, smuggling networks have thrived in the ensuing political unrest and armed fighting. In 2014, conflicting eastern and western governments separated the nation.

A World Bank analysis estimates that the annual value of fuel smuggling from Libya is at least $5 billion.

In a meeting with Mari Barrasi, the deputy governor of the Central Bank of Libya (CBL), located in Tripoli, and four members of the bank’s board of directors, Hamad in Benghazi supported the idea of removing subsidies.

The CBL’s Benghazi branch offices served as the venue for the conference.

The eastern parliament appointed Hamad in 2023 to succeed Abdulhamid Dbeibah, who had been put in position in 2021 under a U.N.-backed procedure that the parliament said had lost its legitimacy.

Dbeibah, who is located in Tripoli, stated in January that he will conduct a public poll on the topic of eliminating gasoline subsidies, but he hasn’t done anything about it since.

According to CBL figures, gasoline subsidies cost 12.8 billion Libyan dinars between January and November of this year. 4.8 Libyan dinars to $1 is the official exchange rate.