Data from the National Oil Spill Detection and Response Agency (NOSDRA) reveals that 156 oil spill incidents were reported between September and November 2023, costing the waste of about 2792.51 barrels of crude oil. According to the November report, the spill happened at various oil companies’ facilities, with Total Exploration and Production having reported the most significant spillage at 803.06 barrels of crude oil spilled representing about 72.5% of overall oil spillage, followed by Heritage Energy Operational Service Limited, NNPC Exploration and Production Ltd, Nigerian Agip Oil Company, Midwestern Oil and Gas spilled and Shell Petroleum Development Company (SPDC) with about 233 barrels, 30.5 barrels, 26.43 barrels, 7.26 barrels, and 7 barrels of crude oil respectively. Oil spillage has several devastating impacts on the environment, ecosystems, and the livelihoods of local communities.

The average retail prices per litre of petroleum products such as Premium Motor Spirit (petrol), Automobile Gas Oil (diesel), and Household Kerosene (kerosene) generally increased in October 2023. According to the National Bureau of Statistics (NBS), the average price of petrol in October 2023 stood at N630.63, indicating an increase of about 0.71% compared with September, when the average price of petrol stood at N626.21. Also, the price of kerosene in October stood at N1303.16, indicating an increase of about 0.32% compared with N1,299.03 recorded in September 2023 on a month-on-month basis. The price of diesel in-creased the most among the three products. Within a month, the price of diesel increased by 12.82%, from N890.80 in September 2023 to N1004.98 in October 2023. The differential increase in the price of the three products could be associated with the initial plan by the government to introduce 7.5% VAT on diesel. However, the plan was paused for six months. There is a high likelihood that the increment experienced in October was caused by the planned proposed VAT policy. With erratic power supply and high dependence on diesel to power generators, the price increment would contribute to an increase in the cost of operation, and firms would push it to consumers in the form of higher prices, thereby further contributing to the high inflation. To ease the burden of the high diesel price of an average Nigerian, there is a need for the government to ensure a stable power supply.

Data from the National Bureau of Statistics (NBS) shows that Nigeria’s headline inflation rate increased to 27.33% in October 2023 from 26.72% recorded in August 2023 and 21.09% in October 2022. The headline inflation is three times the upper bound inflation target of 9%. The data further show that food inflation stood at 31.52%. Core inflation, which is all item excluding food and energy, rose to 22.58%. Persistent double digit inflation rate erodes household purchasing power at a fast pace, thereby pushing thousands of Nigerians into poverty. If the high inflation, especially food inflation, persists for the next 3 months, insecurity and social unrest would increase at an alarming rate. Prompt action, including implementing social protection programs for the most disadvantaged households and setting up food bank to increase access to quality and nutritional meals, is required from the government. In July, President Tinubu declared state of emergency on food. Three months afterwards, food prices continue the upward trajectory rising from 25.25% in June to 31.52% in October. There is a need for the government to update the nation on the agriculture programme. This is important in unpacking likely drivers of the high food inflation beyond insecurity, flooding, and rising transportation costs. Additionally, the government can offer companies tax breaks and other financial incentives, particularly those about to go out of business due to high cost of operation.

The October 2023 Cadre Harmonisé analysis on food insecurity conducted by the Food and Agricultural Organization (FAO) in partnership with the Nigerian government revealed that 26.5 million Nigerians will face severe food insecurity in 2024, and 9 million children are at risk of malnutrition. This implies that more than 10% of the population will likely experience food insecurity. Food insecurity is concentrated in a few states including Borno, Adamawa, and Yobe. The high level of food insecurity is driven by several factors including insecurity in food-producing areas, climate change impacts, and the rising prices of food. Food access and availability are hampered by insecurity as farmers relocate from the farmland to city centres, where the level of security is much better. With high food insecurity, the country also faces greater risks of health problems associated to malnutrition, a rise in social instability, and rising inequality. Children who are malnourished may have difficulty in learning in school, which exacerbates the poverty cycle. Immediate remedies that involve improving security, expanding social safety nets, diversifying food sources, and investing in agricultural infrastructure and technology are required to confront this impending problem. Long-term approaches like agricultural innovation, and capacity-building initiatives are also desperately needed to support sustainable food security and increase community resilience.

Data released by the Budget Office of the Federation shows that debt service payments on external and domestic debts in the first quarter of 2023 stood at ₦1,317.08 billion, indicating an increase of ₦39.61 billion (3.10 percent) above the ₦1,227.47 billion projected for the quarter. In the period under review, the sum of ₦874.13 billion was used for domestic debt servicing, while ₦442.95 billion was used for external debt servicing. When interest payment on Ways and Means is included, debt service payments in Q1 2023 rose to ₦2,229 billion. The high debt servicing costs for the Federal Government of Nigeria can be attributed to several factors, including the substantial accumulation of domestic and external debt over the years and the high-interest rate charged on Ways and Means, which is estimated at the Monetary Policy Rate plus 3 percent. The interest payments in the subsequent quarters are likely to be lower due to the securitization of the Ways and Means in May. High debt service expenses divert resources from infrastructure development, healthcare, and education. Low investment in these growth-enhancing sectors limits future growth. High debt payments arise from past debt accumulation, fiscal deficits, low taxation, and inefficiency in government spending. It is, therefore, important for the government to institutionalise policies and programs that would ensure that debts are incurred only on viable projects that would bolster economic growth and increase future government revenue. Also, government at all levels should strive to reduce the cost of governance and increase efficiency in spending with the sole purpose of generating the highest public value from taxpayer funds