Business Hilights
Tracking Nigeria's Headline Business News Online

Nigeria missing as OPEC-FID unveils loan scheme for low-income economies

Inability of the President Muhammadu Buhari-led Federal Government to appoint minister and inaugurate cabinet, barely two months after inauguration has continued to hit the country bad by way of causing serial losses in economic development.

Apart from hanging a lot of memos that can only be acted upon by a substantive minister, Nigeria is now taking a back seat on a lot of international bodies where representations are only by officials in the rank of a minister.

The latest in the row of misses include the recent Ministerial Council Meeting of the OPEC Fund for International Development (OFID), which comprises of the finance ministers and other high-level representatives of OFID Member Countries. The worst part of the miss is the fact that the Council meets once a year.

Otherwise, the highest policy-making body of the OPEC, the Ministerial Council, held its 40th Annual Session in Vienna, Austria, and approved the general principles of OFID’s new Strategic Framework.

The new strategy affirms OFID’s commitment to providing support to developing countries – especially low-income countries – in an increasingly complex and challenging development landscape.

Business Hilights recalls that the OFID aims to continue to support the global efforts to overcome development challenges, as it has done since 1976, by: extending concessionary financial assistance; participating in the financing of private sector activities in developing countries; and contributing to the resources of other development institutions. Since it was established, the organization has improved its capabilities and operational reach to support South-South development and socioeconomic growth in partner countries around the world. Public Sector lending, including to low-income countries, will continue to represent the largest portion of OFID’s loan portfolio, going forward.

During it latest meeting which Nigeria missed, the OPEC Fund for International Development (OFID) launched new strategy, new sights on sustainable growth and maximum development impact as part of drive to raise the quality of life of member states.

At the Ministerial Council meeting, OFID Director-General Dr Abdulhamid Alkhalifa said: “OFID’s vision is to be a relevant, agile and efficient development finance institution that can deliver maximum development impact to its partner countries, while becoming self-sustainable in financing its operations.”

Buhari in office
President Muhammadu Buhari currently working alone in Office without Ministers

Over the coming months, OFID will embark on a journey to diversify its financial resources and to implement a coherent and consistent set of actions aimed at creating greater efficiency throughout the institution and equipping it with more innovative and responsive operational and financial instruments.

As part of its new strategy, OFID will renew its focus on partnerships. OFID works closely with organizations such as the World Bank, regional development banks and the bilateral and multilateral agencies of OFID member countries, as well as specialized agencies of the United Nations. In addition to strengthening existing partnerships, OFID aims to form new relationships to revitalize the global partnership in support of sustainable development.

The Ministerial Council also considered and approved OFID’s financial statements and 2018 Annual Report, which shows cumulative commitments to global development exceeding US$23.4 billion.