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Nigeria’s Debt Now N33trn —Senate

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The Senate has raised alarm that with its approval of $22.7billion foreign loan request by President Muhammadu Buhari penultimate week, the total debt profile of Nigeria now stands at N33 trillion.

Speaking at the one day public lecture organised by the National Institute for Legislative and Democratic Studies ( NILDS), on Public Debt in Nigeria : Trend, Sustainability and Management in Abuja, the Deputy Chairman of Senate Committee on Local and Foreign Debts, Senator Muhammad Enagi Bima Enagi, All Progressives Congress, APC, Niger South, said borrowing had always served as veritable financial platforms for many countries of the world in running their economies.

According to him, judicious utilization of such loans for intended projects and servicing the debts appropriately have also been problems for some countries, particularly the developing ones as Nigeria.

This is even as the Director -General, Debt Management Office, DMO, Mrs Patience Oniha, expressed fears that economic effects of the coronavirus pandemic might incapacitate and frustrate Nigeria from servicing its debts appropriately.

Speaking further, Senator Bima noted that realities on ground in the country, in terms of required infrastructure and debt accumulations between 2006 and now, were not in anyway connected.

He, however, explained that many Nigerians were worried whenever they heard that their government was seeking one loan or the other.

He said: “From a low ratio of debt to gross domestic product (GDP) of about 3.4 percent at independence, Nigeria’s total public debt as at September 30, 2019, according to the Debt Management Office, DMO, stands at about N26.2 trillion (or $85.4 Billion).

“Of this amount, total domestic debts is about N18 trillion (or $58.4 Billion), which is 68.45percent of the total public debts. With the recent approval of the 2016-2018 External Borrowing Plan, the total debt stock would be about N33 trillion and 21% Debt/GDP ratio.

“The big question in the minds of average Nigerians aware of this fact is What did we do with the money? In other words, where did the money go?

“What do we have to show as a people for these huge debts accumulated over the last four decades or so?”

According to him, in stopping the ugly trend, the Senate and by extension, the National Assembly, is more than desirous to monitor the executive on prompt utilization of new loans being sought, to save the country from going back to the pre-2005 and 2006 debt burden era

Senator Bima said further: “The consequence of these borrowings is that the sheer magnitude of the Nations Annual Debt Servicing put at about N2.47 trillion for 2020 makes the provision of basic but essential amenities and infrastructure in the country almost impossible without further borrowings.

“Clearly, Nigeria needs to get its public finance in order to avoid the potential fiscal and financial crisis ahead of the nation.

“The current debt situation in Nigeria needs to be properly managed and every borrowed Naira or Dollar, carefully deployed, especially in the face of the continued dependence of the nation’s economy on exported crude oil, with its usual price volatility.

“Borrowings must be project-tied and not just to support budget deficit. Furthermore, the projects must be such to grow the economy and bequeath laudable infrastructure and not debt for future generations.’’

In her remarks, DMO Director-General, Patience Oniha, who was quick to say that there was no cause for alarm with regard to the total budget profile of the country which she puts at $85.390bn or N26trillion as at September 2019, said the country’s total debt stock as at 2006 when she exited the Paris and London Club of Creditors was $17.349million.

She, however, noted that annual deficit budgeting and poor revenue generation forced the country into taking loans which has accumulated to N26trillion as at September last year.

She said: “Concerns have been expressed about the growth in Nigeria’s debt stock since the exit from the Paris and London Club of Creditors.

‘’It is true that the public debt swtock has grown from US$17,349.69 million in 2006 to USD85,390.82 million as at September 30, 2019.

“However, it must be recognised that the current debt stock is the result of cumulative borrowings by successive governments to finance budget deficits and various infrastructure projects.”

Oniha explained that in order to ensure that the public debt was sustainable, the Debt-to-GDP Ratio was set at 25%, lower than the 56% advised by the World Bank and IMF, adding that the total public debt-to-GDP had remained within the 25% limit, standing at 18.47% in September 2019.

“This is however, only one measure of debt sustainability, the other equally important measure is the debt service-to-revenue ratio and this is where Nigeria needs significant improvement.

‘’Actual Debt Service to Revenue Ratio has been high at over 50% since 2015, although it dropped to 51% in 2018 from 57% in 2017. The relatively high Debt Service to Revenue Ratio is the result of lower revenues and higher debt service figures.

“Whilst Nigeria’s debt is sustainable, recent developments in the global environment induced by COVID -9, already suggest a less than favourable economic outlook with implications for Nigeria,” Oniha said.

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NAICOM Issues New Licenses To SanlamAllianz After Merger

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The National Insurance Commission (NAICOM) today handed over new licenses to SanlamAllianz Life and General Insurance Nigeria Limited in Abuja.

Commissioner for Insurance, Mr. Olusegun Omosehin, emphasised the ccommission’s commitment to supporting the growth of insurance entities in the country, while ensuring strict compliance with regulatory requirements.
He urged the companies to prioritize good corporate governance, stability, and timely claims settlement processes.

The Commissioner reiterated NAICOM’s dedication to removing unnecessary bottlenecks and improving the insurance industry’s overall performance.
He expressed confidence that the merger would enhance the companies’ capabilities and contribute to the industry’s growth.

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Leadway Health HMO Wins Award Again

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Leadway Health HMO has been honoured with the Health Maintenance Organisation (HMO) of the Year award at the Nigerian Healthcare Excellence Awards (NHEA) for the third consecutive year.
This achievement affirms Leadway Health HMO’s position as a consistent leader in delivering innovative, accessible, and customer-focused healthcare solutions across Nigeria. Leadway Health HMO set a new record, one that has never been achieved in the 15-year history of the NHEAwards.
The award, presented in Lagos recently, 2025, celebrates the organisation’s excellence in service delivery, technology integration, unmatched service delivery, and its expanding provider network.
Speaking on this achievement, Chief Executive Officer, Leadway Health HMO, Dr. Tokunbo Alli, stated, “Receiving the HMO of the Year award for the third consecutive year is a deeply meaningful milestone for us at Leadway Health HMO. It is more than an accolade; it is a resounding validation of our commitment to transforming healthcare delivery in Nigeria, Africa, and the world at large.
“In a country where fewer than one in ten people have access to health insurance, we recognise the immense responsibility we carry. Through our investment in digital innovation, operational efficiency, and inclusive health plans, we are not only improving access to quality care but also setting new benchmarks for service excellence within the industry. This recognition reflects the trust our customers place in us and the unwavering dedication of our team and partners who make our vision a reality every day.”
Alli added, “We will continue to scale our hospital partnerships, enhance claims transparency, and leverage technology to deliver even more accessible, affordable, and customer-centric healthcare solutions. This award strengthens our resolve to be at the forefront of Nigeria’s health transformation journey—driving meaningful change, one life at a time.”
Leadway Health HMO’s triple win comes at a time when trust and performance in the HMO sector are under scrutiny. With a growing population, rising healthcare costs, and a national goal of achieving Universal Health Coverage (UHC) by 2030, the company’s performance positions it as a crucial stakeholder in driving Nigeria’s health transformation agenda.
The Nigerian Healthcare Excellence Awards, founded in 2014 by Global Health Project and Resources in collaboration with Anadach Group USA, is the industry’s most respected recognition platform. This year’s edition was themed “Collaborating for Impact: Strengthening Health Systems through the SWAP Approach”, emphasising unified efforts to drive change.

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NAICOM Wants Nationwide Conversation About Power Of Insurance

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By Sola Alabadan

The National Insurance Commission (NAICOM) has enjoined insurance operators to ensure that they ignite a nationwide conversation about the power of insurance as the inaugural edition of Insurance Week holds across the country.

The Commissioner for Insurance and Chief Executive of NAICOM, Olusegun Omosehin who spoke in Lagos on Monday, affirmed that the Insurance Week is designed to raise national awareness about the vital role of insurance in Nigeria’s growth and development.

To truly secure Nigeria’s future, he pointed out that “we must educate the public on the benefits of insurance, develop products that meet the needs of all Nigerians, wnsure prompt and transparent claims processing, as well as invest in talent and technology to drive innovation and trust.

At NAICOM, he said the regulatory body is committed to building a strong, inclusive, and globally respected insurance industry, and has been driving reforms to strengthen consumer protection, promote digital innovation, ensure capital adequacy and sound governance, while expanding access to underserved communities.

On why insurance matters, he stated that “In today’s fast-changing world, risks are everywhere—economic shocks, natural disasters, health crises, and more” adding that these uncertainties can disrupt lives and derail national progress.

“Insurance is our shield. It helps individuals, businesses, and governments manage these risks, recover from losses, and build resilience.
Without insurance, your economy would be more vulnerable, and our people less secure. That’s why this year’s theme, “Insurance for All: Securing Nigeria’s Future,” is both timely and essential” he emphasised.

Omosehin maintained that “The future of Nigeria depends on how well we manage risk. Every decision—whether by individuals, businesses, or government—carries uncertainty. Insurance provides the tools to navigate these uncertainties and protect our collective future.”

The NAICOM boss further urged the nsurance operators to renew their commitment to building an industry that serves the people and supports national development and use every platform—media, schools, communities, and workplaces—to spread the message that insurance is not a luxury; but a necessity.

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