President Bola Tinubu has said that the federal government will establish a national credit guarantee company in May to lend to businesses and individuals in a national broadcast. Meanwhile Nigeria will now require applicants for oil licences and permits to show evidence of low carbon emissions and a renewable energy program before approvals are granted, the head of its upstream regulatory agency said. Gbenga Komolafe, chief executive of the Nigerian Upstream Petroleum Regulatory Commission, said the policy was to comply with the country’s goal of net zero carbon emissions by 2060.
It issued a template, called the Upstream Petroleum Decarbonisation Template (UPDT), to guide applicants. Komolafe said enforcement will start from Jan. 1, 2025, and will cover all approvals in the upstream sector including divestments. “By this, the commission is deepening its efforts to align the upstream petroleum industry with national priorities and international climate goals while ensuring sustainable value creation from oil and gas resources for Nigeria’s energy security and economic development,” Komolafe said. The new requirement will also compel operators to implement methane management programs such as leak detection and repairs, optimise operations with energy-efficient technologies and integrate renewable energy sources into projects. Tinubu, who took office in May 2023, campaigned on economic reforms including expanding credit access to boost economic growth. “To achieve this, the federal government will establish the National Credit Guarantee Company to expand risk-sharing instruments for financial institutions and enterprises.
Tinubu said the company would partner with government institutions such as the Bank of Industry, Nigerian Consumer Credit Corporation, the Nigerian Sovereign Investment Agency, and Ministry of Finance Incorporated, as well as the private sector and multilateral institutions. “This initiative will strengthen the confidence of the financial system, expand credit access, and support under-served groups such as women and youth. It will drive growth, re-industrialisation, and better living standards for our people,” Tinubu said. Eight months ago, Tinubu launched the Nigerian Consumer Credit Corporation, to enhance access to credit to employed Nigerians. The implementation of the programme was planned in stages, beginning with Federal civil service employees and now the general public. President Bola Tinubu touted his efforts to redeem Africa’s most populous nation from unprecedented hunger and economic distress.
The Nigerian leader, who promised to continue serving the people diligently and wholeheartedly, listed some of his so-called achievements in 2024 as millions of the country’s citizens grapple with the vice-grip of decrepit infrastructure, corruption, widespread poverty and wanton violence and insecurity. Yet, Mr Tinubu said to “all citizens, your sacrifices have not been in vain over the past 19 months. I assure you they will not be in vain even in the months ahead. Together, let us stay the course of nation-building. The New Year will bring us closer to the bright future we all desire and the Nigeria of our dreams. As we enter 2025, I wish everyone a happy and prosperous New Year. May you be rich in joy, success, and good health. As the new year dawns, it brings many hopes, aspirations, and prospects for better days. By the grace of God, 2025 will be a year of great promise in which we will fulfill our collective desires,” said Mr Tinubu.
While admitting that 2024 “posed numerous challenges to our citizens and households,” he expressed confidence that the New Year “will bring brighter days.” According to him, economic indicators point to a positive and encouraging outlook for our nation. “Fuel prices have gradually decreased, and we recorded foreign trade surpluses in three consecutive quarters. Foreign reserves have risen, and the naira has strengthened against the US dollar, bringing greater stability. The stock market’s record growth has generated trillions of naira in wealth, and the surge in foreign investment reflects renewed confidence in our economy. Nevertheless, the cost of food and essential drugs remained a significant concern for many Nigerian households in 2024,” the president explained.
However, Mr Tinubu said he remains “resolute in our ambition to reduce inflation from its current high of 34.6% to 15%” in 2025. “With diligent work and God’s help, we will achieve this goal and provide relief to all our people. In this new year, my administration will further consolidate and increase access to credit for individuals and critical sectors of the economy to boost national economic output. To achieve this, the federal government will establish the National Credit Guarantee Company to expand risk-sharing instruments for financial institutions and enterprises,” the president explained.
