Presentation on ERGP Focus

Labs at the Inauguration of the

Core Teams
by

Senator Udoma Udo Udoma, CON

Hon. Minister of Budget and National Planning

February 6th, 2018

Table of content

• Background

• Overview of Focus Labs

1
ERGP - Launched by Mr President in April 2017

2
The key execution priorities of the ERGP focused on building a resilient
economy

3
Implementation of ERGP is yielding some
positive results
Real GDP growth rate has turned positive since Q2 of 2017 indicating
the economy’s exit from recession.
• Signs of
Real GDP Year on Year Growth recovery
7
observed since
6 Q3 2016
5
• In Q2, 2017,
Recession over
4 Economic
slowdown
3 begins real GDP grew
2 Bottom out
%

point by 0.72%
1
indicating the
0
-1
economy’s exit
-2 from recession.
-3
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 • Recovery
2014 2015 2016 2017 Consolidated in
Q3 2017 with
GDP doubling
to 1.40%
Source : National Bureau of Statistics, Nigeria

4
Performance of Other Macro Indicators
Encouraging
Foreign Reserves growing
Capital importation ($million) improving

Inflation rate declining Exchange rates gap narrowing

Naira/USD
600.00

400.00

200.00

0.00
Jan-12 Inter-Bank BDC Jan-18

SOURCE: NBS, CBN, MBNP, IMF

Nigeria moves up 24 places in World Bank Ease of Doing Business
ranking (ranked 145 in 2017 as against 169 in 2016)

2017

145
2016

169
Nigeria recognized by the
World Bank as one of the top
2015
10 reforming countries in the
170 world.

Source : World Bank Ease of Doing Business Report 2018 6

Though significant work has been done on ERGP Implementation, and
the direction is right, more work needs to be done to achieve targets

Selected Baseline Progress to date

Indicators value (Q.3 2017) ERGP end Target
(by 2020)

-1.58 %
GDP (%) 1.40 % 7.0 %
(2016)

Power
3.2 GW
generation 4 GW
(Nov. 10GW
(operational (7GW Installed)
2016)
capacity)

Ease of doing
169 (2016) 145 100
business ranking

7
Sustaining the momentum of the ERGP implementation requires USD
245 Billion to implement over the Plan period
The Economic Recovery & Growth Plan
2017 - 2020
USD 245.13Bil
required to implement

4:1
Private Sector investment (USD 195.98 Bil) to
Government Investment (USD 49.15 Bil) Ratio
• Medium-term Plan for 2017-2020, developed
through an extensive consultative process

•
– Builds on previous Plans (e.g. the SIP, NIRP,
NIIMP, etc), including sectoral Plans
Vision: Sustained inclusive diversified growth
3 Pillars

aimed at achieving maximum welfare for the

•
citizens
Places emphasis on implementation, monitoring
6 5 15mil
and evaluation Priority Execution Jobs to be
• Principles of the plan: Sectors Priorities created
– Tackling constraints to Growth
– Leveraging the Power of the Private Sector
– Allowing markets to function
– Promoting national cohesion and social inclusion
60
Strategies across 80+ MDAs & State
– Upholding core values Governments

Source : Nigeria Economic Recovery & Growth Plan 2017-2020; National Bureau of Statistics Nigeria; Nigerian Investment &
Promotion Commission (NIPC) 8
Table of content

• Background

• Overview of Focus Labs

9
Focus Labs are being conducted in 3 selected areas to accelerate
investments and job creation

1 Agriculture and Transportation

2 Manufacturing and Processing

3 Power and Gas Supply

Labs will be executed in three phases:
 Pre-Lab: Jan. 15 – March 4, 2018 PEMANDU
 Main Lab: March 5 – April 15, 2018 Associates
 Post Lab: April 16 – May 13, 2018 retained to
provide
technical
Three main objectives: support for the
Labs
 New investments for critical projects
 Job creation
 Resolution of complex inter-agency problems that inhibit private
sector investment 10
Scope of the Focused Lab Areas

Agriculture and
• Increase private sector investments in
1
Transportation - selected crops and products (agro-business)
- transportation infrastructure

• Boost private sector investments in:

Manufacturing and
2 – selected manufacturing subsectors and products
Processing
– the processing of selected solid minerals in Nigeria

• Enhance private sector investments in:

– the power sector i.e. electricity generation across its value
3 Power and Gas
chain and energy mix
– the gas industries including expansion of domestic market

11
 Projects are overlapping and catalytic in nature

Upstream and
Enabling
downstream Agri-
infrastructure
Agriculture & Power & Gas businesses enabled by
projects
Transport the availability of off
grid and on grid power
solutions

Downstream agri-
processing and Enhanced
derivatives from the Manufacturing manufacturing and
agriculture sector into & Processing processing activities
the manufacturing through the availability
sector of power

12
Charters for each sector are being developed in conjunction with
respective sector Ministers and are almost ready

 Agriculture and Transportation

 Manufacturing and Processing
 Power and Gas

Each charter will set out:

- Target investments required
- Target number of jobs to be created
- Key focus areas per sector
- Type of solutions to be proffered
- Identification of relevant stakeholders
- Key deliverables and success factors

13
ERGP Focus Labs Governing structure

• Central Steering Committee

The President
- HM Budget and National
Planning (As Chair)
H.E, Muhammadu Buhari
President - HM Agriculture
- HM Transport
Economic Management - HM Industry, Trade and
Team Investment
- HM Mines and Steel Dev.
Yemi Osinbajo - HM Power, Works and
Vice President
Housing
Central Steering - HM Finance
- HM Justice/ Attorney-Gen
Committee
- HMS Petroleum Resources
Udoma Udo Udoma - Representative of HE , Mr.
Minister of Budget & National President
Planning
- Representative of HE, the
Vice President
Core Working Group- Core Working Group-
Core Working Group- - Coordinator of ERGP
Agriculture and Manufacturing and
Power and Gas Supply Implementation Unit (as
Transport Processing
Secretary)

• The Central Steering

Committee to present monthly
reports to the EMT and Mr.
President
Okechukwu Emmanuel Ibe
Audu Ogbeh Rotimi Amaechi Kayode Fayemi Babatunde Kachikwu
Enelamah
Minister of Minister of Minister of Mines Fashola Minister of State
Minister of Industry,
Agriculture and Transportation and Steel Minister of Power, for Petroleum
Trade and
Rural Development Development Works and Housing Resources
Investment

14
Composition and Role of the Core Working Groups

• The Core Working

Groups (CWGs) for
• Hon. Ministers as Co-Chair each of the Labs are co-
chaired by the
respective sector
• Coordinators from ERGP Implementation Unit (as Ministers
Secretaries) • The duties of the
CWGs include:
- Provision of necessary
• Sector Permanent Secretaries of the Ministries
data & information
- Rendering technical
• Selected Heads of Agencies within the Core Ministries perspectives and
support
- Driving institutional
• Selected Directors within the Core Ministries, including memory
DPRS - Building of institutional
capacity
- Giving of authority and
• Change Champion within the Core Ministries
making critical
decisions within their
• Senior Staff from the Ministry of Budget and National powers, amongst
Planning others
• The CWGs consist of an
average of 20 persons
per Lab

15
Thank You