News
Banks Borrow N2.5Trillion in August to Cushion Liquidity Crisis

Banks, discount houses and other financial institutions in the country have reportedly gone on massive borrowing spree, increasing their borrowing from the Central Bank of Nigeria (CBN) by some 210 per cent in one month in order to manage the liquidity crisis.
The massive borrowings are coming on the heels of the imposition of 50 per cent cash reserve requirement (CRR) on public sector deposits by the CBN.
Leadership newspaper quoted data from the CBN which indicated that deposit money banks (DMBs), merchant banks and discount houses more than tripled the amount borrowed) in August alone to meet their financial obligations.
According to the CBN Economic Report for August 2013, banks increased their borrowing from the CBN Standing Lending Facility (SLF) from N793.08 billion in July to a whopping N2.465 trillion in August alone, representing an increase of 210.8 per cent.
Recall that the CBN commenced implementation of the policy in August following its decision during the Monetary Policy Committee meeting in July. Accordingly, it withdrew N896.43 billion being 50 per cent cash reserve requirement (CRR) on public sector from the banking system earlier that month.
The data also showed that on the average, banks borrowed a whopping N123.29 billion to sustain their operations in August compared with the daily average of N34.48 billion recorded in the preceding month.
Banks opted to borrow from the CBN even though it would disqualify them from accessing foreign exchange from the official foreign exchange market, a pointer to the severity of the liquidity crisis.
In the past, banks have been known to prefer paying the high interbank rate for one day to borrow from other banks rather than borrowing from the CBN at 14.0 per cent and being barred from the official foreign exchange window.
The heavy dependence of the banking sector on monetised oil revenues for its liquidity has been a constant source of worry to the CBN.
Speaking recently on the issue, the CBN governor, Malam Sanusi Lamido Sanusi said the apex bank have been stressing “the need to keep pushing banks into altering their business model to reduce vulnerability.”
The liquidity crisis has forced lending rates to rise. The CBN economic report for August released last week showed that banks’ deposit and lending rates generally trended upwards during the review month. It also revealed that all deposit rates of various maturities, including the average savings rate rose from a range of 2.45 – 7.41 per cent to a range of 2.63 – 7.47 per cent.
“At 6.61 per cent, staff estimate showed that the average term deposit rate rose by 0.45 percentage point above the level at the end of the preceding month. Similarly, the average prime and maximum lending rates rose by 0.41 and 0.84 percentage points to 16.94 and 23.89 per cent in the review month, respectively.
“Similarly, the margin between the average savings deposit and maximum lending rates widened by 0.66 percentage points to 21.26 per cent at the end of August 2013,” the report added.
Also, it showed that at the interbank call segment, the weighted average rate which stood at 10.61 per cent at end-July 2013, increased by 4.52 percentage points to 15.13 per cent at end-August 2013. Similarly, the weighted average rate, at the open-buy-back (OBB) segment, rose by 3.9 percentage points to 14.31 per cent from the level in July 2013.
News
New Horizons Invests N50m to Empower Almajiris with Skills

New Horizons Nigeria has launched a N50 million initiative aimed at transforming 21 Almajiri children into skilled computer technicians within 90 days, to tackle youth unemployment and harness human potential.

The Almajiri-to-Tech programme, officially launched in Abuja on Monday, provides participants with full training, meals, clothing, tools, and logistics support, all fully funded.
Speaking at the launch, the Chief Executive Officer of New Horizons, Tim Akano, said the programme represents a new journey in the history of Nigeria by restoring the original purpose of the Almajiri system, which he described as “children sent out to seek knowledge.”
“The word Almajiri comes from an Arabic term meaning emigrant and seeker of knowledge. Historically, children were sent to learn morals, responsibility, and skills to add value to society,” Akano said.
He added that the disruption of this system during colonial times forced many children onto the streets, a challenge that persists today.
Akano highlighted the urgency of addressing the Almajiri issue, noting that there are an estimated 15 million Almajiris in the country, with a population growth rate of around three per cent annually.
“If we do not solve this problem as a country, we are sitting on a time bomb,” he warned.
According to him, the programme focuses on hands-on technical skills rather than theory. Trainees will learn to repair mobile phones, laptops, televisions, radios, standing fans, and other electronic devices, as well as build inverter batteries using recycled electronic waste.
“We are not teaching theory. We are teaching practical skills you can use to earn a living,” Akano said, stressing that the programme will not interfere with the participants’ Quranic education.
“We are still going to allow you, within the period of learning. Your learning computer here is not stopping your Quranic education.
“You still have time within our space here. Whenever you want to go and pray, you can pray, then come back to class,” the CEO stressed.
He added that participants will also receive daily meals, water, T-shirts identifying them as technicians-in-training, and access to all necessary tools and equipment throughout the 90-day programme.
Akano said the initiative is part of a larger mission by New Horizons Nigeria, which has spent the past 21 years training about 100,000 Nigerians annually in IT and related skills.
He said the new programme aims to “take human genius off the streets and convert it into human capital, enabling these youths to contribute meaningfully to the economy.”
He added that equipping Almajiris with skills could add 15 million people to Nigeria’s workforce and potentially increase the country’s GDP by as much as $20 billion, stressing that productivity depends on practical skills and opportunity.
“Everything that can be taught can be learned. If someone can memorize the Quran cover to cover, there is nothing that cannot be done. What they lack is information, opportunity, and infrastructure, and we are providing all of that,” Akano said.
Akano also stressed that the initiative is designed to inspire other organizations and government agencies to replicate similar programmes across the country.
“This is not just about 21 children; it is about showing Nigeria what is possible when resources meet intention and planning.
“If we succeed in empowering these Almajiris, we demonstrate that the country can turn social challenges into economic opportunities. It’s a blueprint for Nigeria’s future,” he said, noting that the initiative combines social reform, technical education, and economic empowerment.
Also speaking, one of the trainees, Fatima Umar, appreciated the organisers and promised to maximise the opportunity.
“We’ll make you proud of us. We have nothing to say here but to thank and appreciate you. May Almighty Allah continue to guide and protect you,” Umar said.
News
IMF Upgrades Nigeria’s 2026 Growth Projection to 4.4%

International Monetary Fund has upgraded Nigeria’s 2026 economic growth projection to 4.4 per cent, reflecting improved macroeconomic stability and sustained reforms.

IMF
The January 2026 World Economic Outlook Update forecasts Nigeria’s growth trajectory at 4.1 per cent in 2024, 4.2 per cent in 2025, and 4.4 per cent in 2026—a 0.2 percentage point increase from the October 2025 estimate.
This aligns with sub-Saharan Africa’s projected 4.6 per cent expansion in 2026 and 2027, driven by regional stabilisation efforts.
Globally, the IMF anticipates 3.3 per cent growth amid resilient conditions tempered by trade policy shifts and technology investments. For Nigeria, declining energy prices—expected to fall seven per cent due to weak demand—pose risks, though OPEC+ coordination and China’s stockpiling provide support.
Despite the optimism, downside risks persist from Middle East and Ukraine tensions, protectionism, high debt, and fiscal deficits. The Fund recommends rebuilding fiscal buffers, ensuring central bank independence, and limiting temporary fiscal measures to maintain stability.
Nigeria’s success hinges on consistent reforms and resilience against domestic and global shocks, the IMF concluded.
News
Nigeria’s Crude Output Falls to 1.486mbpd in November – OPEC

Organisation of Petroleum Exporting Countries (OPEC) reports that Nigeria’s crude oil production, excluding condensate, dropped by 0.7 per cent to 1.486 million barrels per day (mbpd) in November 2025 from 1.496 mbpd in October.

OPEC
The figure, drawn from secondary sources in OPEC’s December 2025 Monthly Oil Market Report, fell short of Nigeria’s 1.5 mbpd quota. Direct communication data showed output at 1.436 mbpd, up from October’s 1.401 mbpd, but still below target.
Nigeria produces around 196,028 bpd of condensate, excluded from quota calculations per Nigerian Upstream Petroleum Regulatory Commission figures. Year-on-year, November’s output marked a slight gain over 1.417 mbpd in November 2024.
Expert Cites Insecurity, Governance Gaps
Petroleum economics expert Wumi Iledare described the quota miss as unsurprising, blaming persistent insecurity, an ageing oil basin lacking new finds, and unoffered hydrocarbon blocks. Governance shortcomings and policy uncertainty further erode investor confidence, he noted.
Selective implementation of the Petroleum Industry Act worsens the situation, with Nigeria needing a single authoritative leader for the sector rather than multiple proxies, Mr Iledare stressed. The country has struggled to consistently hit OPEC targets for years.
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