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“Construction Firms Rack Up N21tn Debt in Four Years”

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Real estate and construction companies in Nigeria secured loans amounting to N21.89tn over a four-year period, according to an investigation by The PUNCH. During this same timeframe, the sector contributed N93.14tn to Nigeria’s Gross Domestic Product, as per the GDP report from the National Bureau of Statistics covering 2019 to 2022.

As per the Central Bank of Nigeria’s Sectoral Analysis of Deposit Money Banks’ Credit, the real estate sector acquired N8.22tn in loans, while the construction industry obtained an even larger amount, receiving credit facilities amounting to N13.77tn.

The Central Bank previously increased the benchmark interest rate from 11.5% to 18.5% across seven consecutive hikes to combat inflation and mop up liquidity. From May 2022 to May this year, the interest rate in Nigeria grew by approximately 8%.

Despite this, data from the Central Bank revealed that real estate firms’ borrowing rose from N15.16tn to N21.89tn, marking a 44.4% increase from January 2019 to December 2022. The companies borrowed N18.26tn in 2020 and N20.861tn in 2021.

The Association of Housing Corporation of Nigeria’s Executive Secretary, Toye Eniola, warned that the increased interest rates could hamper housing development. He cited concerns about how increased loan interest rates might deter housing development and lead to an upsurge in the cost of building materials, potentially resulting in many abandoned projects.

The International Monetary Fund also indicated in a report that tightened financial conditions, like interest rate hikes, have negatively impacted commercial property prices by increasing the cost for investors to finance new transactions or refinance existing loans.
The International Monetary Fund (IMF) report, titled ‘Commercial Real Estate Sector Faces Risks as Financial Conditions Tighten’, stated that more stringent financial conditions are decreasing investment in the sector. These conditions also indirectly impact the sector by slowing economic activity and reducing demand for commercial properties such as shops, restaurants, and industrial buildings. The IMF highlighted that financial conditions are crucial drivers of commercial real estate prices.

In the meantime, infrastructure activities in the housing and construction sector have seen significant growth, from N18.13tn in 2019 to N28.94tn in 2022, marking a 59.6% increase. The sector also generated N20.32tn in 2020 and N25.84tn in 2021.

The National Bureau of Statistics (NBS) measures the sector’s contribution by summing up gross outputs such as fees, the value of work done, commissions for services rendered, and other incomes. It also accounts for intermediate consumption, including costs related to transportation, operational expenses, minor repairs, and maintenance.

Further analysis showed that the annual growth rate of the real estate sector was 10.75% in 2022, a notable increase from the -3.45% reported in 2019. Construction services’ contributions were 12.72% in 2022, significantly higher than the 3.72% reported in 2019.

Reacting to these figures, the Chairman of the Real Estate Developer Association of Nigeria, Aliyu Wamakko, commented that these contributions showcase what the private sector can accomplish with adequate support. He emphasized that the private sector, particularly real estate, is a vital driver for job creation and should be given more opportunities to bolster the country’s economy.

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Dangote Refinery Boosts Fuel Exports as Gulf Refineries Shut Down

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By: Fabian Apechihin

The Dangote Petroleum Refinery has ramped up fuel exports to international markets amid widespread refinery shutdowns in the Middle East, industry sources confirmed.

A senior official at the $20bn Lagos-based plant told The PUNCH that the facility exported significant volumes of petrol (PMS), diesel (AGO), and aviation fuel (Jet A1) to foreign buyers in August, following earlier shipments in June and July.

The surge comes as Saudi Aramco and other regional producers face heavy maintenance schedules, tightening fuel supply. Aramco has already shut down two plants and plans further closures, including its 460,000 b/d Satorp refinery in Jubail for a 60-day turnaround in November–December. Kuwait and India are also scaling back capacity for maintenance and seasonal demand.

According to Argus Media, these shutdowns are pushing Gulf nations to import record volumes of gasoline, with Saudi Arabia and the UAE sharply increasing purchases from Europe and other markets in recent months.

While some reports pointed to operational constraints at Dangote’s 650,000 b/d facility, the company dismissed such claims, insisting production is on track to reach 700,000 b/d by December. Earlier this year, Aliko Dangote announced the refinery had sold two cargoes of jet fuel to Saudi Aramco and recently achieved exports of about 1 million tonnes of petrol between June and July.

“With Gulf refiners offline, Nigeria has now emerged as a net exporter of refined products,” Dangote said.

Analysts suggest the extended refinery outages in the Middle East will further strengthen demand for Dangote’s output, positioning the Nigerian plant as a key supplier in regional fuel markets.


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US Oil Exports to Nigeria, Others Fall to 3.3m bpd as Local Output Rises

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By: Fabian Apechihin

The United States’ crude oil exports to Nigeria and other African countries fell for the fifth consecutive month in July 2025, averaging 3.3 million barrels per day (bpd), the lowest level since March 2022.

The Organisation of Petroleum Exporting Countries (OPEC) disclosed this in its August 2025 Monthly Oil Market Report (MOMR), attributing the decline to weaker flows to Europe and Africa, particularly Nigeria, but without giving further details.

Industry analysts link the slowdown to the ramp-up of local refining capacity, especially the 650,000 bpd Dangote Refinery, which has reduced Nigeria’s reliance on imported crude, including from the US. Vanguard checks also show that crude importation has slowed further in recent months due to improved domestic production.

According to OPEC data, Nigeria’s crude oil output—excluding condensates—rose by 11 per cent year-on-year to 1.559 million bpd in July 2025, up from 1.386 million bpd in the same period of 2024. This marks the country’s highest monthly production level so far this year.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) corroborated the figures, stating that overall output, including condensates, exceeded 1.8 million bpd in July.

Gbenga Komolafe, Chief Executive of the NUPRC, said the milestone was achieved through the agency’s “Project 1 MMBOPD Incremental” initiative, supported by a multi-stakeholder collaborative framework.

“We are glad to report that we crossed the 1.8 million bpd mark on peak production last month, with average production hovering at 1.78 million bpd,” Komolafe stated.

He added that the Commission is working to sustain production growth by optimising the Maximum Efficient Rate (MER) framework, improving produced water management, and aligning operational shutdowns and maintenance schedules to minimise disruptions.

“With these measures and continued collaboration, the presidential mandate on production increase is well within reach,” he said.


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NDYPC Hails Otuaro’s Reforms in Presidential Amnesty Programme

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• Lauds transparency, fairness in beneficiary selection and grassroots empowerment

• Says reforms align with Tinubu’s Renewed Hope Agenda, restore trust in Niger Delta

The Niger Delta Youths for Positive Change (NDYPC) has commended the Administrator of the Presidential Amnesty Programme (PAP), Dr. Dennis Otuaro, for what it described as bold, people-focused reforms that are restoring trust and delivering tangible benefits to the Niger Delta.

In a statement signed and issued by Comrade Elliott Yibakeni, after the conclusion of leadership training sessions with ex-agitator leaders in Abuja, the group said the PAP, once in urgent need of renewal, is now undergoing a transformation that reflects transparency, fairness, and accountability.

“At a time when public trust in institutions was waning, Dr. Otuaro has emerged as a symbol of credibility and transformation,” the statement read. “His visionary leadership is restoring integrity, empowering communities, and driving a sustainable development agenda that resonates with the aspirations of the Niger Delta.”

According to NDYPC, under Otuaro’s leadership, beneficiary selection has become fair and merit-based, ending years of favoritism and political interference. The group added that access to education, skills training, and empowerment opportunities, both locally and abroad, is now guided by equity and open competition.

The group highlighted several internal reforms, including improved staff welfare, strengthened professional capacity, and strict adherence to best practices in public procurement. These, it said, have made the PAP more efficient, responsive, and transparent.

NDYPC also praised Otuaro’s inclusive governance style, noting his sustained engagement with traditional rulers, women leaders, civil society organizations, and local communities. This approach, the group said, has strengthened peace-building efforts and deepened trust between the PAP and the people it serves.

In line with President Bola Ahmed Tinubu’s Renewed Hope Agenda, the PAP has maintained consistent payment of stipends to ex-agitators and extended direct support to vulnerable populations. NDYPC also applauded new healthcare interventions for ex-agitators facing health challenges.

The statement further commended the programme’s investments in scholarships, vocational training, and economic empowerment initiatives aimed at preparing Niger Delta youths for leadership, innovation, and sustainable livelihoods.

“Every decision reflects a deep commitment to public trust, responsible stewardship, and long-term development,” NDYPC stated. “Under Dr. Otuaro’s watch, the Niger Delta is rising stronger, united, and filled with renewed hope.”

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