FG to Sell, Concession TBS, NIPOST, Power Projects, Others as it Scrambles For Funds to Service Debts
- The Nigerian government is in the process of selling critical assets to raise funds to finance the budget
- The government has listed critical assets such as the Tafawa Balewa Square, power projects across the country, among others
- The Bureau of Public Enterprises stated that there are no investors and bidders yet for the assets already listed for sale
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As the federal government scrambles for funds to finance a huge budget deficit and service the burgeoning debts, it has compiled a list of national assets that could either be sold or concession.
List of assets to be leased or sold
The Punch quoted sources at the Ministry of Finance, Budget and National Planning as saying that the federal government was thinking of selling or concessioning the Tafawa Balewa Square, including all the Nation Integrated Power Projects in Olorunsogo, Calaba II, Benin, Omotosho II and Geregu II plants.
Source: UGC
It also plans to sell or concession all the hydropower plants across Nigeria.
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Twenty-five projects will be turned into active national assets that will make money for the Nigerian government.
According to the Punch, some projects would be given to investors for equity investment, while others would be sold to reduce waste.
The Nigerian government is also expecting revenue from the Calabar and Kano Free Zones, including the Abuja Water Board, the Aluminium Smelter Company of Nigeria, the National Film Corporation, the National Theatre and the Lagos Trade Fair Complex.
It is also planning to give up the ownership of some of the basin authorities and give them to the private sector to manage.
More assets listed for sale or lease
The assets could be sold or leased out to core investors depending on investors' choice.
NIPOST may also be sold or leased to the private sector to allow them to compete effectively with other privately managed logistic firms.
At a recent briefing, the Minister of Finance, Budget and National Planning, Zainab Ahmed, stated that the federal government would offer some national assets for sale via equity investments, saying that the federal government would toll some federal roads to raise funds.
The head of the Bureau of Public Enterprises, Uzoma Chidi Ibeh, said the Nigerian government is compiling a list of national assets to be sold and that there are no bidders for the ones already listed.
Federal Government to sell some national assets to pay off debts, fund 2023 budget
Recall that Legit.ng reported that the Federal Government had made it clear that it would sell or give some national assets to raise funds to finance the 2023 budget deficit of N10.78 trillion.
The Punch reports other ways the federal government is looking to raise revenue for the budget are through borrowing and project-specific loans.
President Muhammdu Buhari revealed the plan on Friday while presenting the Appropriation Bill of N20.51 trillion for 2023 to the Senate and the House of Representatives.
Source: Legit.ng
