Home BUSINESS OIL: FG To Raise N1Trillion From Sale of Assets

OIL: FG To Raise N1Trillion From Sale of Assets


The Federal Government is considering selling some of its stakes in oil joint ventures to raise about 3 billion dollars, about 1 trillion naira in order to reduce the deficit for 2018 budget.

The proposed 2018 budget of 8.6 trillion naira has about 3.3 trillion naira deficit, according to the details of the 2018-2020 Medium Term Expenditure Framework (MTEF) and the Fiscal Strategy Paper (FSP).

The asset sales proposal is contained in the Federal Government Economic Recovery and Growth Plan, released by the Ministry of Budget and National Planning.

It said that the government’s stakes in other oil and non-oil assets would be significantly reduced.

The debate on the sale of oil assets to fund the budget started in 2016 when eminent Nigerians such as the former governor of Central Bank of Nigeria, CBN and now Emir of Kano, Muhammadu Sanusi, the President of Dangote Group Aliko Dangote, and the present governor of the CBN, Godwin Emefiele urged the government to consider disposing some stakes in the joint venture agreement or the oil refineries to raise fund for development.