Press spotlights over $2.23bn cost for Nigeria’s poll shift, others

APA – Lagos (Nigeria)
The report that the late postponement of the election when men and materials for the election were being deployed, will lead to huge economic and financial losses to Africa’s biggest economy is one of the trending stories in Nigeria newspapers on Friday.
The Guardian reports that many Nigerians are having a hard time coming to terms with reality; that the 2023 general elections won’t be concluded tomorrow after raised hopes of returning to pre-election fuel and cash crises after this weekend. On Wednesday night, the Independent National Electoral Commission (INEC) announced shift of the governorship and state Houses of Assembly polls by a week.
Indeed, the late postponement when men and materials for the election were being deployed, will lead to huge economic and financial losses to Africa’s biggest economy.
As revealed by socioeconomic research firm, SBM Intelligence, INEC budgeted N355 billion for the 2023 elections and putting off any aspect of the election means a staggering loss arising from the suspension of economic activities and movement restrictions.
The firm recalled that the cost of election postponement in 2019 was $2.23 billion. This is because its primary and secondary effects cost Nigeria two per cent of its $420 billion Gross Domestic Product (GDP).
According to SBM, given the effects of inflation and the variance in the value of the naira in 2019 and 2023, it can safely be said that Wednesday’s announcement, coupled with a possible rerun of the presidential contest on the unlikely chance the Labour Party (LP) and Peoples Democratic Party (PDP) prove their claims of rigging in court, would come at a greater economic and social cost.
“Moreover, the postponement could have the immediate effect of harming voter enthusiasm and turnout rates, as some voters might be too drained by a long drawn out political process and the aftereffects of a flawed presidential exercise to carry on with the process on the newly chosen date,” it added.
Reacting to the postponement, Director-General of Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, said Nigeria has gone through a lot recently and a rescheduled election is the last thing an already volatile polity and distressed economy needs, but it has happened.
Also, 18 registered political parties under the aegis of the Inter-Party Advisory Council (IPAC) have warned that the electorate would no longer accept excuses that suggest that their quest for INEC to deliver credible, inclusive and acceptable polls to Nigerians is not possible.
IPAC’s National Chairman, Yabagi Sani, gave the warning while briefing journalists after an emergency General Assembly meeting held at the Council’s Secretariat in Abuja.
He, nevertheless, disclosed that the political parties were in support of INEC’s rescheduling of the governorship and state Assembly elections from March 11 to 18.
The newspaper says that the government earned a cumulative sum of N4.92 trillion from Value Added Tax (VAT) and Company Income Tax (CIT) last year, data released by the National Bureau of Statistics (NBS) revealed.
The report said revenue from VAT, and CIT, rose by 33 per cent year-on-year (YoY) to N4.92 trillion in 2022. In 2021, N3.68 trillion was realised from the sources.
NBS also reported that manufacturing, financial services and information/communication activities contributed the most to the revenue. Manufacturing and financial services alone contributed 44.16 per cent to the amount grossed.
CIT recorded stronger growth at 45 per cent, while 24.5 per cent growth was recorded in VAT in the period.
The total CIT collections rose to N2.42 trillion, from N1.67 trillion realised in 2021. On the other hand, VAT revenue rose from N2 trillion to N2.49 trillion.
The NBS said: “On the aggregate, CIT for Q4′ 22 was reported at N753.88 billion, indicating a growth rate of -6.95 per cent on a QoQ basis from N810.19 billion in Q3’22.
“Local payments received were N353.9 billion, while Foreign CIT Payment contributed N399.98 billion in Q4’22.
“On the aggregate, VAT for Q4’22 was reported at N697.38 billion, showing a growth rate of 11.5 per cent on a QoQ basis, from N625.39 billion in Q3’22. Local payments recorded were N408.12 billion, while foreign VAT Payments were N159.83 billion. Import VAT contributed N129.43 billion in Q4’22.”
The report further states that on a QoQ basis, water supply, sewerage, waste management and remediation activities recorded the highest growth rate at 57.4 per cent.
“On the other hand, information and communication activities had the lowest growth rate at – 65.75 per cent, followed by arts, entertainment and recreation activities with -64.09 per cent.
“In terms of sectoral contributions, the top three largest shares in Q4 2022 were manufacturing with 31.2 per cent; financial and insurance activities with 12.96 per cent and information and communication activities with 12.77 percent,” it stated.
The Punch reports that Nigeria’s crude oil sales rose by 46.41 per cent to push Nigeria’s total export to N26.79tn in 2022.
This is as total trade rose by 31.79 per cent from N39.75tn in 2021 to N52.39tn in 2022. In 2022, crude oil sales totalled N21.09tn, a 46.41 per cent increase from N14.41tn in 2021. In 2022, crude oil accounted for 78.74 per cent of total export.
According to data from the National Bureau of Statistics, total exports for 2022 rose by 41.72 per cent from N18.91tn in 2021 to N26.79tn as of 2022. Imports rose by 22.77 per cent from N20.84tn in 2021 to N25.59tn in 2022.
In 2022, Nigeria spent N2.63tn importing food and live animal; N10.12tn importing petroleum and other mineral fuel; N1.93tn on manufactured goods; and N5.93tn on machinery and transport equipment.
Commenting on the growth of foreign trade, the NBS said, “In the fourth quarter of 2022, Nigeria’s total trade stood at N11.72tn of which total exports stood at N6.36tn and total imports amounted to N5.36tn.
“On an annual basis, total trade was N52.39tn, total imports amounted to N25.59tn, and total exports were recorded at N26.79tn.”
Explaining the breakdown for Q4, 2022, the national statistics body stated, “The top five export destinations in the fourth quarter of 2022 were Spain, Netherlands, India, France, and Indonesia accounting for 9.70 per cent, 9.03 per cent, 7.71 per cent, 7.70 per cent and 7.44 per cent respectively of total exports.
“Altogether, exports to the top five countries amounted to 41.59 per cent of the total value of exports.”
The newspaper says that the Nigerian Civil Aviation Authority has begun investigation into the alleged maltreatment of over Nigeria-bound passengers by German carrier-Lufthansa Airlines
The General Manager, Public Affairs, NCAA, Mr Sam Adurogboye, who made the disclosure in Lagos, said the agency had got a report of the alleged maltreatment of over 200 Nigeria-bound passengers.
A Frankfurt-Lagos flight, meant to arrive the Murtala Muhammed International Airport at 5:45pm last Friday, later arrived at 2am after diverting to Cotonou in Republic of Benin and Malabo, Equitorial Guinea.
The aircraft had hovered over Lagos airport for one hour before leaving for Cotonou. On arriving Lagos at 2am, the passengers asked the airline to make arrangement for their stay but the carrier reportedly threatened to call police on them. There were also reports that Lagos airport was not closed contrary to the claim by the Lufthansa pilot.
However, Adurogboye said the report had got to the aviation industry regulator and an investigation has been launched into the matter.
He said, ‘”I just got our Consumer Department and I was told that the report came in today and, as such, just beginning to do their investigation into the matter.”
Meanwhile, some industry stakeholders have decried the manner Lufthansa Airlines allegedly maltreated their passengers who arrived the country at 2am.
GIK/APA