Five things to know to start your Friday

Nearly half of FG’s budget went to debt servicing

According to data from the CBN, nearly half (47%) of the Federal Government’s spending in the first nine months of 2024 went to paying off debts.

The government spent N8.94 trillion on debt payments during this period, which is 56.8 per cent more than the N5.69 trillion spent in the same period of 2023. This debt payment made up 47 per cent of the total N18.97 trillion spent, compared to 42 per cent of N13.57 trillion in 2023.

The situation becomes even more concerning when looking at the government’s income. In 2023, the government only kept N4.32 trillion in revenue, which meant debt payments were 132 per cent of what they earned. This got worse in 2024, with debt payments reaching 147 per cent of the N6.08 trillion revenue.

Donald Trump is setting up a meeting with Putin

Donald Trump has said he’s arranging a meeting with Russian President Vladimir Putin. He shared this news while meeting with Republican governors at his Mar-a-Lago club.

Trump confirmed to reporters that “Putin wants to meet” and said, “We’re gonna — we’re setting it up.” However, he clarified that any meeting would happen after he becomes president on January 20.

Trump has talked about wanting to end Russia’s war in Ukraine before he starts his second term. This has made some people worried that any peace deal might favour Russia. Last month, Putin said he was willing to talk with Trump.

When asked if Putin or Chinese President Xi Jinping might visit Mar-a-Lago, Trump responded: “to be determined, but President Putin wants to meet. He’s said that even publicly, and we have to get that war over with. That’s a bloody mess.”

Kamala Harris cancelled her overseas trips to focus on LA wildfires

Vice President Kamala Harris has cancelled her planned trip to three countries so she can stay in the United States and help respond to the severe wildfires affecting California, her home state.

Her press secretary, Ernesto Apreza, announced on Thursday night: “In response to the historic wildfires in Los Angeles, the vice president has made the decision to cancel her and the second gentleman’s upcoming trip to Singapore, Bahrain, and Germany.”

The five-day trip was meant to start on Monday, during her final week as vice president before Donald Trump takes office. This would have been her last international trip as vice president, coming after her unsuccessful run for president.

Read Also: Thousands homeless as wildfires ravage Los Angeles suburbs

US Supreme Court allowed Trump’s sentencing to proceed

The Supreme Court has decided to allow Donald Trump’s sentencing to go ahead for his conviction in the hush money case involving a porn star. Five justices voted to let the sentencing proceed, including two conservatives who joined the three liberal justices.

Trump had made a last-minute attempt to stop his sentencing, which is set for Friday in Manhattan, just 10 days before he becomes president again. Chief Justice John Roberts and Justice Amy Coney Barrett sided with liberal Justices Sonia Sotomayor, Elena Kagan and Ketanji Brown Jackson to reject Trump’s request.

The court explained its decision in a brief order, stating: “First, the alleged evidentiary violations at president-elect Trump’s state-court trial can be addressed in the ordinary course on appeal. Second, the burden that sentencing will impose on the president-elect’s responsibilities is relatively insubstantial in light of the trial court’s stated intent to impose a sentence of ‘unconditional discharge’ after a brief virtual hearing.”

PBOC suspended bond buying to defend the Yuan

China’s central bank announced it will temporarily stop buying government bonds because the yield has fallen to its lowest level ever this month.

The People’s Bank of China said in a Friday statement that it’s pausing these purchases because there are more people wanting to buy bonds than there are bonds available. The bank said it will start buying again when market conditions are right.

The yields on these bonds had dropped to record lows because investors think China will take strong measures to boost its struggling economy. People have been buying bonds because they see them as a safe investment during China’s ongoing property market crisis, low consumer spending, falling prices, and concerns about the value of China’s currency.

Last year, Chinese officials worried that too many people were buying bonds in a one-sided way. They feared this could create a dangerous situation where bond prices become artificially high, which could harm economic growth. In August, the central bank tried to control this by selling long-term bonds and buying short-term ones, as part of its strategy to manage money in the system and influence bond yields.