Unlocking Nigeria’s potential: Economic revival and current challenges

A timely update - despite the hour As the clock strikes 1:32 am on Monday here in Nigeria, this edition of 234Digest arrives a tad later than intended. Yet, there’s a certain satisfaction in the momentum we’re building, and rest assured, our timing will only improve as we move forward. I’m Samuel Okocha and I curate this twice-weekly briefing on Nigeria’s economy and business environment to bring clarity in complex times.

Up first: Abducted schoolchildren rescued

The Nigerian military has announced the rescue of 137 children from the hands of kidnappers in Zamfara State, after they were abducted from a school in Kaduna State on March 7, 2024.

The rescue mission’s success is shadowed by the kidnappers’ demand for a ransom of 1 billion naira ($620,432), a common tactic in the region that has seen a resurgence of mass kidnappings, the first since 2021. President Bola Tinubu had vowed to rescue the children without paying a ransom.

Despite the illegality of ransom payments, as per Nigerian law, families are often left with little choice but to comply to ensure the safe return of their loved ones. This sentiment was echoed by a hostage negotiator who spoke to the BBC, highlighting the grim reality that, while illegal, ransom payments might be the only assurance for the release of hostages in the face of the terror inflicted by these gangs.

Meanwhile, President Bola Tinubu has praised the military’s efforts and emphasized the government’s commitment to the safety of educational institutions.

The nation now looks to its leaders for a strategy that will end the cycle of abductions without succumbing to the demands of kidnappers.

Long stories short

Elumelu’s power play: Tony Elumelu, a key player in Nigeria’s electricity generation market, has called for a power sector overhaul, critical for economic revival. He spoke in a Bloomberg interview.

Naira’s comeback: The Nigerian naira strengthened to 1,312.51 to the dollar, following the central bank’s clearance of the verified forex backlog. This marks a recovery from the currency’s lows after its devaluation earlier this year.

Fatal cash handout stampede: A cash handout event in Bauchi city turned fatal, with four women killed and one injured in a stampede. This incident casts a stark light on the severe economic hardship faced by many Nigerians.

Border reopens post-coup: The border between Niger and Nigeria has reopened to road traffic after a seven-month closure due to a military coup in Niamey, signaling a step towards regional trade and movement.

Quote of the day: “One way to keep momentum going is to have constantly greater goals.” — Michael Korda

Week ahead

• agrofood Nigeria: An international trade show on agriculture, food technology, and hospitality in Lagos. (March 26-28)

• Tech Unite Africa: A conference and networking platform for the African tech industry, also taking place in Lagos. (March 26-27)

• Executive Leadership Retreat Conference: A program for senior to mid-level managers, supervisors, and business owners in Lagos. (March 29-30)

Join the 234Digest Community Don’t miss out on the crucial updates that shape our economy and business environment. Subscribe to 234Digest to have these insights delivered directly to your inbox and share with those who seek clarity in complex times.