Nigeria’s Fiscal Responsibility is for all

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It was a weekend of carnage in Israel. See details below. Perhaps like me, you are wondering how this lingering hostility defies all forms of diplomatic “reasonableness”.

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Africa Headlines

• World Bank / IMF Annual Meetings starts in Marakech – Today, the World Bank / IMF annual meeting starts in Marrakech, Morocco, the second time in Africa, 50 years after the first in Nairobi, Kenya in 1973. It is the first annual meeting for the new World Bank President Ajay Banga. For Africa, the challenge remains how to escape the devastating ramifications of the Covid – 19 and the Russia / Ukraine war shocks that has left the continent poorer. For instance, compared to 2022 of 3.6%, the World Bank expectation is for a 2.5% growth rate this year on the continent. The duo of Wale Edun and Yemi Cardoso, Nigeria’s finance minister and central bank governor, respectively, are also attending the annual meeting for the first time. Their focus is to continue the conversations around Nigeria’s macroeconomic stability, the measures they are taking, and the resources and help required.

• Lagdom Dam release again – Nigeria’s National Emergency Management (NEMA) has warned those in nine states about flooding this month, as Cameroon has started another round of release of water from its Lagdom Dam. The States likely to be affected include Adamawa, Taraba, Benue, Nasarawa, Kogi, Anambra, Edo, Delta, and Bayelsa State. This is now a recurring situation and Nigeria appears helpless. Every time Cameroon releases water from the dam, we do not hear of what the Federal government of Nigeria will do to prevent it next time. There is no mention of diplomatic, technical, or financial collaborations with Cameroon to resolve this challenge effectively.

• Nigeria’s Fiscal Responsibility is the responsibility of all – Over the weekend, Nigeria’s fiscal responsibility commission (FRC) had a stakeholder meeting with Nigerian banks. It had representatives from the office of the secretary to the government of the federation, the Governor’s forum, Nigeria Deposit Insurance Commission etc. The focus was on the implementation of Section 45 of the fiscal responsibility Act that requires that a proof of compliance is obtained before lending by commercial banks to different levels of government and their agencies. What was clear at the conference was that fiscal responsibility had been broken from the very top in the last decade, fiscal positions are currently unsustainable, and progress requires that we deal with impunity at the different levels of government in relation to fiscal debts and deficits.

• Kenya’s Kiptum wins Chicago Marathon, sets a new world record – Kelvin Kiptum won the Chicago marathon over the weekend by 2 hours 35 seconds, breaking the world record by 35 seconds set last year in Berlin by Kipchoge. This is the first time a world new record is set in Chicago and he beat the Chicago record by three minutes set ten years ago. This was Kiptum’s third victory in a year over 26.2 miles (42.16 klm), wining in Valencia December 2022 and at the London marathon in April this year. Yesterday’s race was the 45^th of the Chicago marathon, and the fifth of the six world marathon majors for the year. The last of the series for the year will hold in New York November 5^th . The other world marathon majors already held this year are Tokyo, Boston, London, and Berlin.

Global Headlines

• Weekend of Carnage in Israel – It was a weekend of carnage in Israel as Hamas, the military arm of Palestinians invaded the Southern areas near the Gaza strip Saturday morning. As at the time of writing this, it is estimated over 1,000 people have died on both sides. It started with Hamas firing rockets into Israel, but this time, they also managed to break through the heavily fortified barrier in Israel to attack communities near the Gaza strip. The worst hit areas include Sderot, a town 1 klm from the Gaza strip. In addition to an estimated more than 300 people killed on the Israeli side, more than 1500 are wounded and dozens of hostages taken to Gaza. Most analysts reckon this is worst crisis since Hamas took over Gaza in 2007. As expected, Israeli soldiers are not only battling Hamas fighters in the streets and exchanging strikes with Lebanon’s Hezbollah, but they are also entering Gaza, so more civilians are caught in the battle. The Israeli / Palestinian crisis is a lingering one that has defied many diplomatic solutions.