The Hon. Minister of Finance, Budget & National Planning, Mrs. Zainab Shamsuna Ahmed says that Nigeria plans to enhance the use of gas as a transition energy. She mentioned this on the sidelines of the IsDB Annual Meetings in a meeting with the Islamic Development Bank Chairman, Dr. Muhammad Sulaiman Al Jasser recently held in Sharm El Sheikh, Egypt.
During the meetings, the Minister stated that Nigeria is optimistic even with recent challenges arising from insecurity and crude production. She reported that the Nigerian economy is stable and has had six (6) consecutive quarters of positive growth. Adding that the Nigerian economy has diversified with non-oil revenue exceeding projections. On the issue of gas, the Minister appreciated the IsDB for their approval of the Nigeria Segment of the Front End Engineering Design (FEED) Phase II Study Project for Nigeria – Morocco Gas Pipeline (NMGP) with the intention to enhance the usage of gas.
The Chairman of the IsDB mentioned that he was happy to hear the progress made by Nigeria when he met with President Muhammadu Buhari in Paris recently and appreciated the Minister and Nigeria for the continued collaboration with the Bank towards achieving the success of its goals and objectives.
At the annual meetings, the Minister also met with the Turkish Minister of Treasure & and Finance, Nureddin Nebati. Mr. Nebati stated that Turkey attaches great importance to maintaining a good bilateral relationship with Nigeria which it considers an important partner in Africa and is the largest trading partner in sub Saharan Africa. Mrs Ahmed requested for more Turkish business investments in Nigeria particularly in the health sector.
The minister also participated in a panel discussion on “Leveraging Sukuk Markets for transition to a Green Economy”. She explained that Nigeria has a diversified investor base with sovereign yields for Nigeria of 30 years in the domestic market. She added that there are a range of projects that includes the Federal Government Bonds, Nigeria Treasury Bills, Sukuk, Green & Savings Bonds, as well as Promissory Notes amongst others.
Mrs Ahmed explained that for the Sukuk Bonds in particular, Nigeria has had four (4) cycles of issuance with a minimum of 300% over subscription. “Sukuk has been targeted at building major roads with $1.5bn dedicated and signboards can be seen across the country stating that the roads were funded by Sukuk” she added.
In another meeting with the Chairman of Jaiz Bank, Mr Umar Abdul Mutallab and the Jaiz team, the bank informed the Minister that it is currently working with the private sector arm or the IsDB, the Islamic Corporation for the Development of the Private Sector (ICD), to set up its investment arm towards being able to issue Sukuk.
The IsDB holds its Annual Meetings to discuss development issues and institutional matters with the Boards of Governors and the General Assemblies of the IsDB Group members present. During the Annual Meetings period, various knowledge-sharing and flagship events are held featuring top-level panelists from governments, international and regional organizations, the private sector, academia, and civil society. Knowledge-sharing events provide a dynamic platform to discuss economic, financial, and development issues of current interest to member countries and their partners. The theme of this year’s annual meeting was “Beyond Recovery: Resilience and Sustainability”.
The minister attended the meeting of Governors, additional meetings on the sidelines and reaffirmed the commitment of Nigeria to being open to foreign investments, trade and bilateral relations with an effort to grow a sustainable and diversified economy. Mrs Ahmed returned to Nigeria on the 5th of June 2022.
