business

$10m World Bank Grant at Risk Amid Nigeria’s Audit Failures

Published

2 months ago

June 11, 2025

Nigeria at Risk of Losing $10 Million World Bank Funding Over Project Delays and Audit Failures

Nigeria could lose $10 million from a World Bank credit facility by June 30, 2025, due to missed project milestones, substandard audit reports, and delays in rolling out key digital platforms. The warning was issued in a recent restructuring document sent by the World Bank to the Federal Ministry of Finance.

The funds are part of the $103 million Fiscal Governance and Institutions Project (FGIP)—a World Bank initiative under the International Development Association (IDA) aimed at improving Nigeria’s revenue generation, fiscal transparency, and public financial accountability. However, as the project nears its closing date, several critical components remain unfulfilled.

Audit Failures Lead to Funding Cuts

A major setback stems from the incomplete revenue assurance audits of the Federal Inland Revenue Service (FIRS) and Nigeria Customs Service (NCS) for the years 2018 to 2021. The audit reports submitted failed to meet international standards and were rejected by an independent verification agent. As a result, $4 million allocated for this audit has been cancelled.

Additionally, the Ministry of Finance has requested the cancellation of $10.4 million in project funds—$0.9 million earmarked for unused technical assistance and $9.5 million tied to unmet performance-based conditions, including the flawed audits.

Missed Digital Transformation Targets

The World Bank also flagged the failure to launch the National Budget Portal, a key tool intended to enhance budget transparency for the Federal Government and at least 20 states. Despite receiving $1 million in funding, the portal was never deployed.

Delays have also plagued the Revenue Assurance and Billing System (RABS). Although $4.5 million was allocated to the initiative, only 27 out of 55 Federal Government-Owned Enterprises (FGOEs) have established Treasury Single Account (TSA) sub-accounts for foreign revenue earnings—falling short of the project’s goals. Complications related to contract execution, vendor disputes, and indemnity issues raised by the Central Bank of Nigeria have pushed RABS’s projected completion to August 2025—two months after the FGIP’s scheduled closure.

Mixed Outcomes and Unmet Goals

Despite the challenges, the project has yielded some positive outcomes. Non-oil revenue in 2024 reached 153% of its budgeted target, a significant jump from 64.9% in 2018. This improvement is credited to reforms such as exchange rate unification, the TaxProMax automation system, and stronger revenue performance from federal ministries and agencies.

The FGIP also exceeded its target for fiscal data transparency by publishing 10 reconciled fiscal datasets—surpassing the goal of six. However, other benchmarks remain unmet. Capital expenditure execution is at 50%, below the 65% target, and the World Bank has rated the project’s monitoring and evaluation systems as “moderately unsatisfactory.”

Call for Urgent Reform

The potential loss of $10 million highlights deeper structural challenges in Nigeria’s public finance management, including weak audit standards, poor oversight, and sluggish project delivery. While gains in revenue collection and transparency are commendable, the broader reform agenda risks being undermined unless these systemic issues are urgently addressed.

To fully benefit from international development financing and ensure long-term impact, experts stress the need for Nigeria to strengthen its audit mechanisms, enhance project execution capacity, and invest in resilient institutions capable of delivering reform at scale.

business

NEXIM Bank and SMEDAN Partner to Strengthen SME Export Capacity Nationwide

Published

2 days ago

July 25, 2025

globa_admin

NEXIM Bank and SMEDAN Sign Landmark MoU to Boost SME Export Growth in Nigeria

In a bold move to strengthen Nigeria’s small business ecosystem, the Nigerian Export-Import Bank (NEXIM) and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) have signed a groundbreaking Memorandum of Understanding (MoU) aimed at accelerating the growth and global competitiveness of Small and Medium Enterprises (SMEs) across the country.

A Strategic Partnership for Economic Transformation

This MoU formalizes a strategic alliance between NEXIM and SMEDAN, focusing on:

Export financing and access to global markets
Tailored financial products for SMEs
Capacity-building and training programs
Promotion of Made-in-Nigeria products internationally

The collaboration is expected to streamline trade facilitation and offer Nigerian SMEs the tools and support needed to thrive in international value chains.

Empowering SMEs for Global Competitiveness

Speaking at the signing ceremony, Abba Bello, Managing Director/CEO of NEXIM Bank, emphasized the significance of this partnership in preparing Nigerian SMEs to compete globally, particularly under the African Continental Free Trade Agreement (AfCFTA).

“This collaboration with SMEDAN is a critical step in our mission to empower Nigerian SMEs. By combining our financial instruments with SMEDAN’s development expertise, we are creating a robust support framework that enables small businesses to scale and succeed in export markets,” Bello said.

Removing Barriers and Unlocking Opportunities

On his part, Charles Odii, Director-General of SMEDAN, noted that the agreement will help eliminate major hurdles that have long hindered SMEs from tapping into international markets.

“Our goal is to ensure Nigerian SMEs have not just the skills but also the financial backing to grow. This MoU with NEXIM Bank paves the way for real participation in global trade,” Odii remarked.

He also outlined key focus areas of the collaboration:

Providing export-oriented financing solutions
Offering expert training and advisory services
Simplifying export processes for MSMEs

🇳🇬 Aligning with Nigeria’s Economic Diversification Agenda

This partnership supports the federal government’s broader vision of economic diversification and inclusive growth, particularly through public-private partnerships that empower micro, small, and medium-sized enterprises (MSMEs).

About the Agencies

NEXIM Bank, established under Act 38 of 1991, is Nigeria’s official Export Credit Agency, providing financing, risk management, and advisory services to support the development of non-oil exports.

SMEDAN, created by the SMIDA Act of 2003, is the federal government’s leading institution tasked with fostering the growth, sustainability, and global competitiveness of MSMEs across Nigeria.

business

SEC Director-General to Headline Comercio Partners’ Forum on Global Trade and Innovation Trends

Published

4 days ago

July 23, 2025

globa_admin

SEC DG to Deliver Keynote at Comercio Partners’ 2025 Half-Year Economic Review in Lagos

The Director-General of the Securities and Exchange Commission (SEC), Dr. Emomotimi Agama, is scheduled to deliver the keynote address at the Comercio Partners’ 2025 Half-Year Economic Review and Outlook, taking place on Wednesday, July 23, in Lagos.

This year’s event, themed “Reconfiguration: From Global Trade to Quantum Innovation, a New Economic Era Emerges,” will spotlight the evolving intersections of global trade, technological transformation, and macroeconomic policy. The forum is poised to examine how these dynamics are shaping Nigeria’s investment climate and policy direction.

According to Comercio Partners, the event will feature two high-level panel discussions in addition to the formal presentation of its signature report: Review of the Economy in H1 2025 and Outlook for H2 2025.

Expert-Led Panel Sessions

The first panel, titled “Nigeria’s Economic Frontlines,” will bring together a diverse mix of influential voices from academia, the creative sector, and economic policy circles. Confirmed speakers include:

Professor Philip Alege, President, Nigerian Association of Macroeconomic Modellers
Femi Adebayo, award-winning filmmaker and CEO of J-15 Media Network
Dr. Muda Yusuf, Director, Centre for the Promotion of Private Enterprise (CPPE)

The second panel, focused on the “Global Macroeconomic Environment,” will feature insights from senior economists and industry leaders:

Professor Joseph Nnanna, Chief Economist, Development Bank of Nigeria Plc
Dr. Faith Iyoha, Economist, Nigerian Economic Summit Group
Tosin Osunkoya, CEO, Comercio Partners Asset Management
Zeal Akaraiwe, CEO, Graeme Blaque

A Platform for Strategic Dialogue

The half-year review is expected to offer timely and actionable insights into Nigeria’s economic trajectory amid ongoing domestic reforms and global uncertainty. Attendees will include participants from financial institutions, academia, the private sector, and the creative industry—underscoring the multidisciplinary nature of the economic conversation.

As Nigeria navigates an increasingly complex global environment, the 2025 Comercio Partners forum aims to position stakeholders for informed decision-making and adaptive strategies in a rapidly evolving world.

business

Schneider Electric Unveils Zeigo Hub to Accelerate Supply Chain Decarbonization

Published

5 days ago

July 22, 2025

globa_admin

Schneider Electric Launches Zeigo Hub to Accelerate Supply Chain Decarbonization

Schneider Electric has launched Zeigo Hub, an advanced digital platform designed to help organizations decarbonize their supply chains and achieve Scope 3 emissions targets. This innovative solution marks a significant leap in global sustainability efforts, empowering companies to make meaningful progress toward net-zero goals.

At the launch, Laura Eve, Vice President of SaaS Sustainability Solutions at Schneider Electric, underscored the urgency of supply chain transformation.

“A decarbonised supply chain is no longer a ‘nice to have’—it’s a strategic imperative,” Eve stated. “With Zeigo Hub, we’re giving companies the tools and insights needed to turn their supply chains into engines of sustainable resilience.”

As expectations grow from regulators, customers, and investors for more transparent emissions data, Zeigo Hub provides a modular, action-oriented framework. It enables companies to:

Track emissions in real-time across multi-tier supply networks
Collaborate directly with suppliers
Access tailored learning modules and decarbonization toolkits

Inclusive, Scalable, and Supplier-Centric

A key feature of Zeigo Hub is its inclusive design, which supports suppliers of all sizes, regardless of their digital capabilities or experience with sustainability. The platform offers:

Seamless onboarding
Educational resources
User-friendly tools to calculate and manage emissions

To eliminate cost barriers, sponsoring organizations cover participation fees, allowing for broad supplier engagement.

Data-Driven Transparency and Compliance

Deep insights into emissions patterns
Supplier engagement metrics
Progress tracking aligned with science-based targets

The platform supports compliance with global sustainability frameworks including CDP, CSRD, and TCFD, ensuring companies stay aligned with evolving disclosure standards.

AI-Native Ecosystem for Smarter Decarbonization

Zeigo Hub is the first platform to integrate Schneider Electric’s AI-native ecosystem, leveraging advanced agentic AI to:

Automate data input through web tools
Personalize supplier onboarding
Support sponsors in managing their programs more efficiently

This next-gen AI functionality enhances accuracy, impact, and operational performance across the board.

Building on Proven Experience

Zeigo Hub builds upon Schneider Electric’s established leadership in sustainability through initiatives like:

The Zero Carbon Project
Industry partnerships including Energize, Catalyze, and Materialize

These programs have engaged over 2,700 suppliers across 40+ global brands, setting a strong foundation for the expanded capabilities offered by Zeigo Hub.

“Zeigo Hub represents the next phase of our collective action strategy,” Eve added. “It empowers every supplier and organization to transform sustainability ambition into measurable progress and long-term resilience.”

Zeigo Hub is now available to companies worldwide.
To learn more or begin your supply chain decarbonization journey, visit zeigo.com/zeigo-hub.