These sales may be part of President Bola Tinubu’s plan to reform the country’s economy.
Following the economic crunch facing the Nigerian Government, the country is reportedly considering selling stakes in about 20 state-run companies in a bid to raise funds and improve governance at the entities.
These sales may be part of President Bola Tinubu’s plan to reform the country’s economy.
Meanwhile, among the entities the government is considering selling its stake in is the Nigerian National Petroleum Corporation Limited (NNPCL), according to a Bloomberg report.
The chief executive officer at the Ministry of Finance Incorporated, Armstrong Takang, whom the report quoted to have revealed the plan, explained that the agency was considering options including strategic sale and initial public offerings.
Takang revealed that the government was in the process of appointing consultants including valuers, financial advisers, lawyers, bankers, and others to handle different aspects of the transactions while noting it aims to implement the plan within 18 months.
According to the report, the whole aim of the government is to create value rather than retain control, as some of the entities need the private sector to take controlling shares.
He said, “It is better for us to own 49 percent of a high-performing entity than 90% of an entity that is underperforming.”
Meanwhile, the national assets Tinubu's government is considering selling or concessioning, include Tafawa Balewa Square in Lagos, the National Integrated Power Projects in Olorunsogo, Calabar II, Benin (located at Ihorbor), Omotosho II, Geregu II plants, all the hydropower plants across the country, including Oyan, Lower Usuma, Katsina-Ala, and Giri plants, according to a report by The PUNCH.
More than 25 of such projects, according to a source who spoke to the newspaper, will be turned into active assets that will generate money in some ways for the government.