Federal Govt, 36 states agree 71 ways of rescuing Nigeria’s troubled economy
The two-day retreat of the National Economic
Council (NEC) ended Tuesday in Abuja with
federal authorities and the country’s 36 states
agreeing on at least 71 proposals they believe
will reinvigorate Nigeria’s wobbling
economy.
The NEC is chaired by the Vice President,
Yemi Osinbajo, and its membership include
the 36 state governors and some Ministers
and heads of relevant government agencies.
At the end of the meeting, with theme:
‘Nigerian States: Multiple Centres of
Prosperity’, participants took far-reaching
decisions to urgently rescue the economy
from collapse.
Decisions were taken in the areas of
agriculture, solid minerals, revenue
generation and fiscal stability, infrastructure
and services, investment, industrialisation and
enabling monetary policies. Proposal were
also made on survival of the states and on
how to invest in the Nigerian people.
A steering committee to implement the
proposals was formed at the meeting. It is to
be headed by Vice President Osinbajo.
Also constituted is an implementation
monitoring committee headed by Zainab
Ahmed, Minister of State for Budget and
National Planning.
President Muhammadu Buhari had delivered
an address at the opening of the retreat,
saying there is unanimity of opinion in
Nigeria that the nation’s economy is in bad
shape.
The president said four key areas, namely
agriculture, power, manufacturing and
housing, require urgent attention to revive the
economy.
Below are the proposals agreed at the
meeting.
NATIONAL ECONOMIC COUNCIL
RETREAT HIGHLIGHTS
Theme: Nigerian States: Multiple Centres
of Prosperity
The following are highlights of the just
concluded NEC Retreat:
1. Agreement reached for concerted and
consistent efforts to diversify revenue sources
2. Expand compliance on VAT, adopting a gradual plan for
rate increase
3. Increase expenditure through borrowing, which should be
invested in infrastructure
4. Federal and State Governments to focus on fiscal
responsibility as a critical element in macro-economic
balance
5. Increase investment in infrastructure through public
private partnership (PPP)
6.Develop financial inclusion strategies to cater for the poor
and vulnerable population
7. Maintain a minimum level of capital expenditure of 30%
in the budget
Thematic Areas – Agriculture
1. The Federal Government to re-position Bank of
Agriculture to enhance its capacity to finance agriculture.
2. Funding for Agricultural sector is considered critical and
sources of intervention funding from the Central Bank of
Nigeria should be considered
3. A single digit interest rate for agricultural loans should be
considered while duties and taxes for Agricultural products
and equipment should be waived
4. Develop strategic partnerships between Federal and State
government. Each State should make specific commitments
to crops in which it has comparative advantage and request
Federal Government intervention
5. National targets for self-sufficiency should be set for
identified crops, which should be monitored. Tomato paste
– 2016, Rice – 2018, Wheat – 2019
6. The Federal and State Governments should roll out
agricultural extension services nationwide
7. The Commodity Exchanges should be established for
price regulation and avoidance of losses due to lack of
markets. The Abuja Commodity Exchange should be
revitalised
8. The National Agricultural Land Development Authority
(NALDA) should be re-established
9. Federal Government should develop an Agriculture
Implementation plan whereby State Governments are
encouraged to identify at least two crops in which they have
comparative advantage
10. States should open up of rural/feeder roads to facilitate
transportation of agricultural produce to be supported by the
Federal Government
11.The Federal and State Governments should establish
minimum price guarantee for farm produce
12.The Federal Government should provide immediate
funding to upscale efforts of Agricultural Institutes of
Research and Development across Nigeria
13. State Governments should also be encouraged to fund
research and development in agriculture through technical
colleges, universities and research institutions
Thematic Area – Solid Minerals
1. Ministry of Solid Minerals Development to complete and
present the solid minerals development roadmap. This
framework should address issues of illegal miner, licenses,
taxes and royalties by 31st March 2016
2. Federal government to engage with state government on
the roadmap and agree any amendment that may be required
by 30th June 2016
3. Initiate relevant legislative changes that maybe
necessitated by the agreed roadmap by 31stJuly 2016
4. Conclude the revalidation/recertification of all mining
leases by 30th September 2016
5. Agree with states and local government on respective
responsibilities for developing feeder roads and other critical
infrastructure for solid minerals development
6. Federal Government and States to set deadlines to achieve
self-sufficiency in Bitumen/Asphalt and tiles (to discourage/
stop importation)
7. Make and communicate final decisions on
operationalization of Ajaokuta steel plant by 30th June 2016
8. Establishment of joint committee to address issues of data
on quantity and quality of minerals exploited and exported
9. Setting up of mining cadastral zonal offices for proximity
to States for the purpose of issuing licenses and easy
monitoring by States
10. Discourage use of wood for cooking by promoting use
of coal briquettes
11. Guarantee access to finance solid minerals development
via intervention funds and private sector capital
12. Block revenue leakages in the sector through effective
monitoring of activities in the mining sector
13. Organise artisanal/small-scale miners as a mechanism
for reducing illegal mining and Establish Mines Surveillance
Taskforce by September 2016
Thematic Area – Investment, Industrialisation and
Enabling Monetary policies
1.Ministry of Industry, Trade & Investment (MITI) to
develop a matrix of actions to be taken by Federal and State
Governments towards achieving the targeted improvements
in Ease of Doing Business ranking by 30th April 2016
2. Present an incentive scheme for States taking actions
towards improvement of the investment climate in their
States including grants by 30th September 2016
3. Forge strong links between the Nigeria Investment
Promotion Commission (NIPC) and the State Investment
Promotion Agencies
4. States to collaborate more actively on regional basis on
investments and industrialization
5. The Federal Government should work with the States and
other stakeholders to create an enabling environment for
trade and investment through the implementation of the
Nigerian Industrial Revolution Plan (NIRP) to encourage
industrialization
6. Make environment conducive for the Micro, Small &
Medium Enterprises to create jobs for the unemployed and
undertake deliberate policies to create access to funds
7. State and Federal Governments must emphasize the
patronage of “Made in Nigeria” products. “Import
competition” rather than “import substitution” should be
emphasized
8. Governors to set up task forces to monitor implementation
of trade/ investment policies and strengthen planning
institutions by linking federal and sub-national planning; in
this regard, a monthly meeting between the Minister of
Budget & National Planning and State Commissioners for
planning will be institutionalised
9. States to set up one-stop shop for investors where they do
not currently exist to attract investment and improve on IGR
Safeguard competitive market economy
10. Promote regional cooperation on investment and
industrialisation
11. Implement institutional and structural reforms as a way
of improving the efficacy of monetary policy including
greater consultation with the National Economic Council
12. Predictability and consistency of the Central Bank of
Nigeria’s communication to key stakeholders is required to
manage expectations
13. The Central Bank of Nigeria should carry the States
along in some of their reforms in areas of SMEs and
Agricultural funding initiatives
14. Long-term development goals should anchor policy
decisions
15. Effective regulation & supervision to improve
confidence in the soundness and stability of the banking
system
Thematic Area – Infrastructure and Services
1.Develop infrastructure delivery plan considering current
financial capabilities driven principally by the goal of
improvement of the quality of life for the populace
2.Develop financing model for infrastructure projects
3. Integrate training and job creation components in
infrastructure projects
4. Implement empowerment and entrepreneurship policies to
foster inclusive growth
Thematic Area – Investing in our people
1. Federal and State Governments to work collaboratively to
ensure sustainability of the school feeding and other social
protection programmes
2. Cooperation from the States’ Ministries of Education and
State Universal Basic Education Board (SUBEBs) for the
Teacher Corp program
3. Provide logistics support on the proposed upgrade of 75
existing National Directorate of Employment (NDE)
facilities (across the various States) to Empowerment
Centers
4. Cooperation and coordination with the States on their
specific job creation efforts
5. State Government support on identified needs such as
infrastructure and/or space for innovation hubs
6. State Government support for artisan training, scoping
and support for existing artisan cultures, use of existing
training facilities
7. Institutionalize a single register as a platform for targeting
the authentic poorest and vulnerable for safety net programs;
for government, donor agency, organizations or individuals
8. Creating a delivery mechanism that ensures efficient,
consistent timely and direct payments in the remotest parts
of the country
9. Boost productivity and financial inclusion for the poorest
and most vulnerable
Thematic Area – Revenue Generation and Fiscal Stability
1. There is need for deliberate effort to generate relevant
data on the respective economies of the states and the nation
generally in order to drive revenue generation
2. FIRS and SIRS need to invest in relevant technology to
support efforts to improve tax collection
3. There is a need to develop incentive schemes for federal
and state revenue generating agencies
4. FIRS and SIRS need to actively collaborate on initiatives
to improve tax collection, including joint audits of major
corporate tax payers
5. All state governments are encouraged to establish
efficiency units to review/enhance the quality of expenditure
as well as plug revenue leakages
6. Focus on property and consumption taxes will help in
improving revenues in a fair manner
7. Tax-payer education should be intensified to expand the
tax base and avoid political back-lash from intensifying tax
collection
8. State Government are encouraged to rationalise number of
Ministers, Commissioners and Permanent Secretaries
9. Cost control measures should be identified and
implemented on an ongoing basis; in this regard various
examples from Nigeria and other countries are
recommended
Thematic Area – Survival of States and Beyond
1. Strengthen States Peer Review Mechanism under auspices
of the Governors Forum and the National Economic Council
(NEC) to promote sharing of good practices between the
Federal and States Governments
NEC RETREAT – IMPLEMENTATION STEERING
COMMITTEE FORMED:
• To oversee the work of the implementation committee
• To provide appropriate steers to the Implementation
Monitoring Committee to ensure that the resolutions agreed
at the retreat are duly followed up
HE Prof. Yemi Osinbajo
Vice President and Chairman of NEC
Chairman
HE Abdulaziz Y. Abubakar
Chairman, Nigeria Governors Forum and Governor of
Zamfara State
Member
HE Adams Oshiomhole
Governor of Edo State
Member
HE Abdulfatah Ahmed
Governor of Kwara State
Member
HE Rauf Aregbesola
Governor of Osun State
Member
HE David Umahi
Governor of Ebonyi State
Member
HE Badaru Abubakar
Governor of Jigawa State
Member
HE Mohammed Abubakar
Governor of Bauchi State
Member
Sen. Udoma Udo Udoma
Hon. Minister of Budget and National Planning
Member
Mrs. Kemi Adeosun
Hon. Minister of Finance
Member
Dr. Okechukwu Enelama
Hon. Minister of Industry, Trade and Investment
Member
Chief Audu Ogbe
Hon. Minister of Agriculture
Member
Dr. Kayode Fayemi
Hon. Minister of Solid Minerals
Member
Mr. Babatunde Fashola
Hon. Minister of Works, Power and Housing
Member
Mrs. Nana F Mede
Permanent Secretary, Ministry of Budget and National
Planning
Secretary
NEC RETREAT – IMPLEMENTATION MONITORING
COMMITTEE FORMED
• To follow up the implementation of the resolutions of the
retreat
• To receive steers from the Steering Committee regarding
the follow up of the implementation
• To provide progress reports to the Steering Committee on
the implementation
NAME
DESIGNATION
ROLE
Mrs Zainab S. Ahmed
Hon. Minister of State, Budget and National Planning
Chairman
Mrs Yosola Akinbi
Senior Technical Adviser to the Vice President on the
National Economic Council
Member
Mr. L.O.T. Shittu
DG, Nigeria Governors Forum
Member
Mr. David Olofu
Commissioner for Finance and Planning, Benue State
Member
Mr. Mohammed Kauji
Commissioner for Finance and Economic Planning, Borno
State
Member
Dr. E.A. Onwiodokif
Comm. for Economic Planning, Akwa Ibom State
Member
Mrs. Aisha M. Bello
Comm. for Budget and Planning, Kano State
Member
Mrs. Aderenle Adesina
Commissioner for Budget and Planning, Ogun State
Member
Mr. Mark Okoye
Special Adviser, Economic Planning and Budget, Anambra
State
Member
Mr. Tunde Lawal
Director, Macroeconomic Analysis Department, Fed. Min.
BNP
Member
Mr. Kayode Obasa
Director, Economic Growth, FMBNP
Member
Mr. A.B. Saadu
Director, Special Duties
Council (NEC) ended Tuesday in Abuja with
federal authorities and the country’s 36 states
agreeing on at least 71 proposals they believe
will reinvigorate Nigeria’s wobbling
economy.
The NEC is chaired by the Vice President,
Yemi Osinbajo, and its membership include
the 36 state governors and some Ministers
and heads of relevant government agencies.
At the end of the meeting, with theme:
‘Nigerian States: Multiple Centres of
Prosperity’, participants took far-reaching
decisions to urgently rescue the economy
from collapse.
Decisions were taken in the areas of
agriculture, solid minerals, revenue
generation and fiscal stability, infrastructure
and services, investment, industrialisation and
enabling monetary policies. Proposal were
also made on survival of the states and on
how to invest in the Nigerian people.
A steering committee to implement the
proposals was formed at the meeting. It is to
be headed by Vice President Osinbajo.
Also constituted is an implementation
monitoring committee headed by Zainab
Ahmed, Minister of State for Budget and
National Planning.
President Muhammadu Buhari had delivered
an address at the opening of the retreat,
saying there is unanimity of opinion in
Nigeria that the nation’s economy is in bad
shape.
The president said four key areas, namely
agriculture, power, manufacturing and
housing, require urgent attention to revive the
economy.
Below are the proposals agreed at the
meeting.
NATIONAL ECONOMIC COUNCIL
RETREAT HIGHLIGHTS
Theme: Nigerian States: Multiple Centres
of Prosperity
The following are highlights of the just
concluded NEC Retreat:
1. Agreement reached for concerted and
consistent efforts to diversify revenue sources
2. Expand compliance on VAT, adopting a gradual plan for
rate increase
3. Increase expenditure through borrowing, which should be
invested in infrastructure
4. Federal and State Governments to focus on fiscal
responsibility as a critical element in macro-economic
balance
5. Increase investment in infrastructure through public
private partnership (PPP)
6.Develop financial inclusion strategies to cater for the poor
and vulnerable population
7. Maintain a minimum level of capital expenditure of 30%
in the budget
Thematic Areas – Agriculture
1. The Federal Government to re-position Bank of
Agriculture to enhance its capacity to finance agriculture.
2. Funding for Agricultural sector is considered critical and
sources of intervention funding from the Central Bank of
Nigeria should be considered
3. A single digit interest rate for agricultural loans should be
considered while duties and taxes for Agricultural products
and equipment should be waived
4. Develop strategic partnerships between Federal and State
government. Each State should make specific commitments
to crops in which it has comparative advantage and request
Federal Government intervention
5. National targets for self-sufficiency should be set for
identified crops, which should be monitored. Tomato paste
– 2016, Rice – 2018, Wheat – 2019
6. The Federal and State Governments should roll out
agricultural extension services nationwide
7. The Commodity Exchanges should be established for
price regulation and avoidance of losses due to lack of
markets. The Abuja Commodity Exchange should be
revitalised
8. The National Agricultural Land Development Authority
(NALDA) should be re-established
9. Federal Government should develop an Agriculture
Implementation plan whereby State Governments are
encouraged to identify at least two crops in which they have
comparative advantage
10. States should open up of rural/feeder roads to facilitate
transportation of agricultural produce to be supported by the
Federal Government
11.The Federal and State Governments should establish
minimum price guarantee for farm produce
12.The Federal Government should provide immediate
funding to upscale efforts of Agricultural Institutes of
Research and Development across Nigeria
13. State Governments should also be encouraged to fund
research and development in agriculture through technical
colleges, universities and research institutions
Thematic Area – Solid Minerals
1. Ministry of Solid Minerals Development to complete and
present the solid minerals development roadmap. This
framework should address issues of illegal miner, licenses,
taxes and royalties by 31st March 2016
2. Federal government to engage with state government on
the roadmap and agree any amendment that may be required
by 30th June 2016
3. Initiate relevant legislative changes that maybe
necessitated by the agreed roadmap by 31stJuly 2016
4. Conclude the revalidation/recertification of all mining
leases by 30th September 2016
5. Agree with states and local government on respective
responsibilities for developing feeder roads and other critical
infrastructure for solid minerals development
6. Federal Government and States to set deadlines to achieve
self-sufficiency in Bitumen/Asphalt and tiles (to discourage/
stop importation)
7. Make and communicate final decisions on
operationalization of Ajaokuta steel plant by 30th June 2016
8. Establishment of joint committee to address issues of data
on quantity and quality of minerals exploited and exported
9. Setting up of mining cadastral zonal offices for proximity
to States for the purpose of issuing licenses and easy
monitoring by States
10. Discourage use of wood for cooking by promoting use
of coal briquettes
11. Guarantee access to finance solid minerals development
via intervention funds and private sector capital
12. Block revenue leakages in the sector through effective
monitoring of activities in the mining sector
13. Organise artisanal/small-scale miners as a mechanism
for reducing illegal mining and Establish Mines Surveillance
Taskforce by September 2016
Thematic Area – Investment, Industrialisation and
Enabling Monetary policies
1.Ministry of Industry, Trade & Investment (MITI) to
develop a matrix of actions to be taken by Federal and State
Governments towards achieving the targeted improvements
in Ease of Doing Business ranking by 30th April 2016
2. Present an incentive scheme for States taking actions
towards improvement of the investment climate in their
States including grants by 30th September 2016
3. Forge strong links between the Nigeria Investment
Promotion Commission (NIPC) and the State Investment
Promotion Agencies
4. States to collaborate more actively on regional basis on
investments and industrialization
5. The Federal Government should work with the States and
other stakeholders to create an enabling environment for
trade and investment through the implementation of the
Nigerian Industrial Revolution Plan (NIRP) to encourage
industrialization
6. Make environment conducive for the Micro, Small &
Medium Enterprises to create jobs for the unemployed and
undertake deliberate policies to create access to funds
7. State and Federal Governments must emphasize the
patronage of “Made in Nigeria” products. “Import
competition” rather than “import substitution” should be
emphasized
8. Governors to set up task forces to monitor implementation
of trade/ investment policies and strengthen planning
institutions by linking federal and sub-national planning; in
this regard, a monthly meeting between the Minister of
Budget & National Planning and State Commissioners for
planning will be institutionalised
9. States to set up one-stop shop for investors where they do
not currently exist to attract investment and improve on IGR
Safeguard competitive market economy
10. Promote regional cooperation on investment and
industrialisation
11. Implement institutional and structural reforms as a way
of improving the efficacy of monetary policy including
greater consultation with the National Economic Council
12. Predictability and consistency of the Central Bank of
Nigeria’s communication to key stakeholders is required to
manage expectations
13. The Central Bank of Nigeria should carry the States
along in some of their reforms in areas of SMEs and
Agricultural funding initiatives
14. Long-term development goals should anchor policy
decisions
15. Effective regulation & supervision to improve
confidence in the soundness and stability of the banking
system
Thematic Area – Infrastructure and Services
1.Develop infrastructure delivery plan considering current
financial capabilities driven principally by the goal of
improvement of the quality of life for the populace
2.Develop financing model for infrastructure projects
3. Integrate training and job creation components in
infrastructure projects
4. Implement empowerment and entrepreneurship policies to
foster inclusive growth
Thematic Area – Investing in our people
1. Federal and State Governments to work collaboratively to
ensure sustainability of the school feeding and other social
protection programmes
2. Cooperation from the States’ Ministries of Education and
State Universal Basic Education Board (SUBEBs) for the
Teacher Corp program
3. Provide logistics support on the proposed upgrade of 75
existing National Directorate of Employment (NDE)
facilities (across the various States) to Empowerment
Centers
4. Cooperation and coordination with the States on their
specific job creation efforts
5. State Government support on identified needs such as
infrastructure and/or space for innovation hubs
6. State Government support for artisan training, scoping
and support for existing artisan cultures, use of existing
training facilities
7. Institutionalize a single register as a platform for targeting
the authentic poorest and vulnerable for safety net programs;
for government, donor agency, organizations or individuals
8. Creating a delivery mechanism that ensures efficient,
consistent timely and direct payments in the remotest parts
of the country
9. Boost productivity and financial inclusion for the poorest
and most vulnerable
Thematic Area – Revenue Generation and Fiscal Stability
1. There is need for deliberate effort to generate relevant
data on the respective economies of the states and the nation
generally in order to drive revenue generation
2. FIRS and SIRS need to invest in relevant technology to
support efforts to improve tax collection
3. There is a need to develop incentive schemes for federal
and state revenue generating agencies
4. FIRS and SIRS need to actively collaborate on initiatives
to improve tax collection, including joint audits of major
corporate tax payers
5. All state governments are encouraged to establish
efficiency units to review/enhance the quality of expenditure
as well as plug revenue leakages
6. Focus on property and consumption taxes will help in
improving revenues in a fair manner
7. Tax-payer education should be intensified to expand the
tax base and avoid political back-lash from intensifying tax
collection
8. State Government are encouraged to rationalise number of
Ministers, Commissioners and Permanent Secretaries
9. Cost control measures should be identified and
implemented on an ongoing basis; in this regard various
examples from Nigeria and other countries are
recommended
Thematic Area – Survival of States and Beyond
1. Strengthen States Peer Review Mechanism under auspices
of the Governors Forum and the National Economic Council
(NEC) to promote sharing of good practices between the
Federal and States Governments
NEC RETREAT – IMPLEMENTATION STEERING
COMMITTEE FORMED:
• To oversee the work of the implementation committee
• To provide appropriate steers to the Implementation
Monitoring Committee to ensure that the resolutions agreed
at the retreat are duly followed up
HE Prof. Yemi Osinbajo
Vice President and Chairman of NEC
Chairman
HE Abdulaziz Y. Abubakar
Chairman, Nigeria Governors Forum and Governor of
Zamfara State
Member
HE Adams Oshiomhole
Governor of Edo State
Member
HE Abdulfatah Ahmed
Governor of Kwara State
Member
HE Rauf Aregbesola
Governor of Osun State
Member
HE David Umahi
Governor of Ebonyi State
Member
HE Badaru Abubakar
Governor of Jigawa State
Member
HE Mohammed Abubakar
Governor of Bauchi State
Member
Sen. Udoma Udo Udoma
Hon. Minister of Budget and National Planning
Member
Mrs. Kemi Adeosun
Hon. Minister of Finance
Member
Dr. Okechukwu Enelama
Hon. Minister of Industry, Trade and Investment
Member
Chief Audu Ogbe
Hon. Minister of Agriculture
Member
Dr. Kayode Fayemi
Hon. Minister of Solid Minerals
Member
Mr. Babatunde Fashola
Hon. Minister of Works, Power and Housing
Member
Mrs. Nana F Mede
Permanent Secretary, Ministry of Budget and National
Planning
Secretary
NEC RETREAT – IMPLEMENTATION MONITORING
COMMITTEE FORMED
• To follow up the implementation of the resolutions of the
retreat
• To receive steers from the Steering Committee regarding
the follow up of the implementation
• To provide progress reports to the Steering Committee on
the implementation
NAME
DESIGNATION
ROLE
Mrs Zainab S. Ahmed
Hon. Minister of State, Budget and National Planning
Chairman
Mrs Yosola Akinbi
Senior Technical Adviser to the Vice President on the
National Economic Council
Member
Mr. L.O.T. Shittu
DG, Nigeria Governors Forum
Member
Mr. David Olofu
Commissioner for Finance and Planning, Benue State
Member
Mr. Mohammed Kauji
Commissioner for Finance and Economic Planning, Borno
State
Member
Dr. E.A. Onwiodokif
Comm. for Economic Planning, Akwa Ibom State
Member
Mrs. Aisha M. Bello
Comm. for Budget and Planning, Kano State
Member
Mrs. Aderenle Adesina
Commissioner for Budget and Planning, Ogun State
Member
Mr. Mark Okoye
Special Adviser, Economic Planning and Budget, Anambra
State
Member
Mr. Tunde Lawal
Director, Macroeconomic Analysis Department, Fed. Min.
BNP
Member
Mr. Kayode Obasa
Director, Economic Growth, FMBNP
Member
Mr. A.B. Saadu
Director, Special Duties
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