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NECA worried by weakening economic outlook, cautions on ratifying AfCFTA

... asks govt. to open other ports to end Apapa gridlock ... supports political restructuring VINCENT NWANMA

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ecent reversals in the economic outlook for Nigeria, including cuts in growth forecasts for the economy by the two Bretton Woods institutions, are worrisome as they portend grave consequences for the economy, the Nigerian Employers’ Consultative Association (NECA) has said.

These downward trends should spur the government to intensify efforts aimed at diversifying the economy away from dependence on oil revenue, Mohammed Yinusa, president of NECA, said yesterday at a media briefing in Lagos.

Yinusa recalled that the International Monetary Fund (IMF) cut its growth projections for Nigeria to 1.9 percent, from 2.1 percent, pointing out that the country’s economy is not doing well.

Similarly, the World EconomContinues on page 38

Inside ‘INEC, Buhari plot to rig with illegal polling centres in Chad, Niger’ P. 39

L- R: Olusola Adedoyin-Alao, CEO, Nitrend Limited; Elishama Ideh, women empowerment advocate; Ibidunni Ighodalo, CEO of Elizbeth R; Kemi Ajumobi, editor, Women’s Hub, BusinessDay; Dolapo Badmos, Police Public Relations Officer for Zone Two Command, and Maymunnah Yusuf Kadiri, consultant Neuro-psychiatrist, at the BusinessDay Inspiring Woman series 8 in Lagos.

Pic by Pius Okeosisi

Dying in installment: How lead battery recyclers are poisoning Nigerians A ISAAC ANYAOGU three-month investigation uncovers how companies recycling lead acid batteries are poisoning air, soil and water sources in Ogun and Lagos states leaving workers and

BD INVESTIGATIVE SERIES

residents with scary levels of lead in their blood and leading experts to conclude these Nigerians are dying in installments.

After series of letters of complaints and outcry by people

living in Ipetoro and Eworuken communities in Ogijo, Ogun state about how the activities of Everest Metals Nigeria Ltd is polluting the air, soil and water in the community.

BusinessDay’s correspondent collaborated with Petra Sorge, a freelance German journalist in an investigation supported by the European Centre for Journalism, to test the residents’ claims that Everest Metals is Continues on page 38

2 BUSINESS DAY NEWS

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Friday 14 December 2018

Nigerian airlines struggle to replace old fleet BALA AUGIE & IFEOMA OKEKE

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ocal airlines are seeking financing to fund the acquisition of new fleets, however the industry is being squeezed by the weight of debt, corporate governance issues, poor regulation and decrepit infrastructure.

While Nigeria’s more than 10 domestic airlines are bedeviled with myriad of challenges, Ethiopia Airlines, Africa’s largest carrier by revenue, is flourishing.

Tayo Ojuri, chief executive officer, Aglo Limited told BusinessDay that while Ethiopian airline has good track record of being credit worthy and is more experienced, domestic airlines lack these major attributes that could attract big financiers to loan them money at very low interest rates.

Ojuri also mentioned that liquidity rate and interest rates are determined by the Central Bank of Nigeria, (CBN), and airlines may be unable to access loans at a single digit interest rate.

“In the United States and Canada, the interest rates for airlines are as low as two to four percent but in Nigeria, the interest rates are 21percent and above. This rate is influenced by the Central bank. For instance, the commercial banks borrow money from the Central bank at double digits and by the time Commercial banks add their own interest rates, it amounts to 21 to 26 percent.

“Interest rates are determined by inflation, liquidity of the economy, and the Gross Domestic Product, among others,” he added.

Ojikutu recalled that the N300 billion CBN power and airline intervention fund disbursed to airlines in 2012 was mismanaged by most of the airlines that benefited from it.

The country’s leading carrier, Air-peace recently signed an agreement with Boeing for the acquisition of 10 new 737 aircraft, at the cost of $113 million per plane, with a view to reducing cost of operations and magnifying revenue.

The deal will be partly financed by Fidelity Bank Plc, details of the transaction are not public.

Although Ethiopian is fully owed by government, it is run by experts. Also, government never collects dividends; instead it allows the profit to plunge back into the business for future expansion.

It has excellent corporate governance as government does not meddle with day to day operation of the business while frugality such as aggressive cost control is increasingly intensified.

Ethiopia Airline’s dominance can be seen in Addis Ababa overtaking Dubai as the conduit for long haul passengers to Africa, according to Travel Consultancy Forwardkeys (TCF).

TCF added that Addis Ababa airport had increased number of international transfer passengers to Sub Saharan Africa for five years in a row and in 2018 surpassed Dubai one of the world’s busiest airport, as the transfer hub for long haul travel to the region.

Continues on page 38

Ike Onyia (m), managing director, FBNQuest Asset Management; Bunmi Asaolu (r), head, equities, FBNQuest Capital, receiving the award for the Best Local Investment Bank in Nigeria; Best Asset Manager in Africa; Best Asset Manager in Nigeria and Best Broker in Nigeria from Christopher Moore (l), publisher and CEO, EMEAFinance, at the EMEA Finance African Banking Awards Charity Dinner in London, recently.

Plantain business booms on value addition, high demand

... as farm gate prices down 42% ... farmers record bumper harvest he plantain business in Nigeria is thriving and gaining momentum, aided by value addition and high demand for easy and convenient snacks made from the produce.

“The plantain business is booming now in Nigeria because there is a strong demand for the snacks. Lots of youths are processing it into flour and making spicy chips for local and export markets in Europe and America,” said Adjarho Oghenekaro, national president, Banana and Plantain Farmers Association of Nigeria

(BAPFAN) in a telephone response to BusinessDay. “Before now, we lose about 30 percent of what is produced since plantain is highly perishable. But with high demand and value addition of the starchy vegetable, our post-harvest losses have reduced drastically,” Oghenekaro said.

A recent plantain report by the Bill and Melinda Gates Foundation puts Nigeria’s plantain flour production at 25, 200 metric tons (MT) and estimated demand at 125,000MT. This means that currently, there is a 99,800MT demand and supply gap in production, showing a huge potential in the subsector for

investment opportunities.

According to the Food and Agricultural Organisation (FOA), Nigeria is Nigeria fourth largest producer of plantain with 2.8 million metric tons per annum behind Ghana with 3.6 million MT, Cameroun with3.5 million MT and Colombia with 3.3million MT. “I lecture at one of the higher institutions in Ondo state but went into processing plantain when I realised the demand for processed plantain products is becoming huge daily,” said Adekonbi Olufunke, CEO, Providence Plantain Flour.

KEHINDE AKINTOLA, Abuja resident Muhammadu Buhari has formally notified the National Assembly of his intention to lay the 2019 budget proposal on Wednesday, 19th December, 2019 under tight security in order to wade off aggrieved staff of National Assembly who had threatened to stall the exercise.

The N8.73 trillion budget proposal for year 2019 shows that is N400 billion lower than that of the 2018 fiscal year.

Buhari in a letter dated 12th December 2018 and addressed to Speaker Yakubu Dogara, explained that the budget proposal is to be laid during a joint session of the Senate and House of Representatives.

BusinessDay gathered that the ceremony will be conducted under tight security in the bid to curtail the industrial action threatened by National Assembly workers under the aegis of

Parliamentary Staff Association of Nigeria (PASAN).

The workers had penultimate week prevented the Senators and members of the House of Representatives from sitting, to press home the demand for payment of 28 percent salary increase and new condition of service.

The 2019-2021 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) transmitted to the National Assembly is yet to be passed by the two chambers, one week before embarking on Christmas/New Year recess slated for Thursday, 20th December, 2018.

Udo Udoma, Minister of Budget and National Planning who gave the details of the N8.7 trillion budget proposal recently, explained the resolve of the government to cut down the level of borrowing from N1.6 trillion in 2018 to N1.5 trillion in 2019, while the deficit component would be reduced from N1.9 trillion in 2018 to N1.6 trillion.

In spite of the recent oil output drop to about 1.9 million barrels per day, Udoma said government was optimistic the 2.3 million barrels a day target was achievable with production now rising to about 2.15 million barrels a day and new oil productions being put into play.

Although a $50 per barrel oil price benchmark was proposed in the ERGP, the minister had expressed confidence for a significant rise in the price above $80 per barrel, as government has proposed a $60 per barrel oil price for the budget.

He further stated that N305 was proposed as exchange rate to the dollar, with government working to keep inflation down after slight increases in the last two months on the heels of 18 months consecutive decline.

About N6.9 trillion revenue is projected to be available to the budget in 2019 fiscal year, out of which N3.6 trillion is expected from oil sector.

JOSEPHINE OKOJIE

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Senate approves $1bn from ECA for completion of Ajaokuta Steel Company Buhari presents N8.73trn budget proposal to National Assembly next Wednesday

OWEDE AGBAJILEKE, Abuja

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he Senate on Thursday passed a bill to provide for the withdrawal of $1 billion from the Excess Crude Account (ECA) for the completion of the Ajaokuta Steel Company.

The bill titled: An Act to Provide for the Ajaokuta Steel Company Completion Fund for the Speedy Completion of the Project also puts a stop to government’s planned concession of the steel plant.

It, however, provided that government may concession the plant in future on the condition that the project is completed and commenced ‘production at a very significant stage’.

The proposed legislation which originated from the House of Representatives, was passed in the Senate after Senate Majority Leader, Ahmad Lawan, moved that the Bill be concurred by the house.

Apart the ECA withdrawal, the bill prescribes other sources of funding for the completion of the project to include loans,

grants as well as monies from other tiers of government.

The Excess Crude Account was instituted under the administration of President Olusegun Obasanjo as a savings mechanism for the nation. Excess oil incomes above national budget estimates are saved in the account as the nation’s savings for rainy days.

However, after the Obasanjo administration, experts have frowned at the continued depletion of the Excess Crude Account by the Federal Government in controversial circumstances, saying this portends grave danger to the economy.

While the immediate past administration of Goodluck Jonathan withdrew $2 billion from the ECA, President Muhammadu Buhari has so far withdrawn $1.462 billion from the account to fight insecurity.

Also, two bills passed First Reading in the upper legislative chamber. They include the North West Development Commission Bill and the Federal Polytechnic, Anyamelu, Anambra State (Est, etc) Bill.

P

Continues on page 38

Friday 14 December 2018

BUSINESS DAY

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4 BUSINESS DAY News Nigeria seeks $1.1bn in fresh suit against Shell, Eni over Malabu oil deal

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igeria is suing Royal Dutch Shell Plc, the Italian energy giant Eni SpA and other companies for more than $1 billion over a 2011 Malabu oil deal it says was tainted by corruption.

The suit, filed Wednesday in London, alleges that money the companies paid to acquire an oil exploration license in the Gulf of Guinea was diverted to bribes and kickbacks, the Nigerian government said in a press release.

The transaction is already the subject of a separate, ongoing criminal trial in Milan.

Nigeria’s government claims that Shell and Eni are partly responsible for the behaviour of “corrupt Nigerian officials” who used a $1.1 billion payment to acquire the oil block for personal enrichment.

The suit seeks to recoup that money, which it says belongs to the Nigerian people.

Nigeria’s federal government is already a civil party in the case in Milan, and can seek damages from that court.

Additionally, it sued JPMorgan Chase & Co. in London last year, accusing it of failing to prevent the illicit transfer of funds related to the transac-

tion. The bank said the claim was without merit.

Shell and Eni have previously denied any wrongdoing in the criminal case over the block, called OPL 245, that is under way in Italy.

They said they made the payment into a legitimate government account to settle legal claims related to the block.

A spokesperson for Shell reiterated that the company’s payments in Nigeria over OPL 245 were legitimate and said that since the matter is being tried in Milan “it would not be appropriate for us to comment in detail on the new claims.”

A spokesperson for Eni said it confirmed “the correctness and compliance of every aspect of the transaction in respect of OPL 245” and rejected “any allegation of impropriety or irregularity.”

The Nigerian government also included Nigeria-based Malabu Oil & Gas in the lawsuit, and a company called Energy Venture Partners Ltd. Malabu was allegedly controlled by Nigeria’s former Petroleum Minister Dan Etete, who took possession of the $1.1 billion payment and used it for bribes and kickbacks, according to the lawsuit.

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Digitals Jewels celebrates 10 years anniversary Sey John Salau

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igital Jewels Limited, an information technology and project management consulting firm, has celebrated 10 years of offering specialised IT Governance, Risk and Compliance Consulting and Capacity Building services to businesses across a diverse market spectrum in Africa.

The anniversary celebration was marked with a thanksgiving service, the Seventy-First Information Value Chain (IVC) Forum and an anniversary dinner event, held in Lagos.

Speaking on the celebration, Adedoyin Odunfa, the managing director, remarked that it was a special moment to appreciate stakeholders that had made Digital Jewels a formidable reality.

According to Odunfa, “Today, as we celebrate this significant milestone, it is important to say special thanks to God Almighty who has been good to us, our supportive board of directors who stood with us, our faithful clientele who had faith in us, and our most industrious team who had given strength to the vision.”

She listed some signifi-

cant achievements of the firm in the past decade: “So far, we have worked assiduously to support the corporate players in the African economic space with the requisite knowledge and expertise to utilise Information, Internet and Communications Technology to their strategic advantage.

“We have conducted over 65 Projects, delivered over 45 certifications, trained over 4,200 professionals, conducted over 500 training sessions and organised 71 IVC sessions which have been graced by over 100 speakers and 3800 delegates in attendance till date”, she concluded.

Digital Jewels Limited is a specialised Information Value Chain Consulting & Capacity Building Firm. It boasts of a team of professional, experienced and certified consultants. Today, the Firm is the First and Only Professional Services Firm in Africa to be accredited to the ISO27001 Global Standard for Information Security, the ISO9001 Quality Management Standard as well as being a PCI-DSS QSA (Payment Card System Industry Data Security Standard Qualified Security Assessor).

Friday 14 December 2018

ICAN lists robust Corporate Governance Code as strategic to tackle corruption KELECHI EWUZIE

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nstitute of Chartered Accountants of Nigeria (ICAN) has listed robust Corporate Governance Code as a necessary condition for fighting corruption in Nigeria.

Razak Jaiyeola, president of ICAN, observes that the consequences of remaining passive on issues of corruption and other financial misdemeanour can be grave not only for the present generation but also for succeeding ones.

Jaiyeola says concerned stakeholders must continually raise public awareness on the need to articulate the gravity of corruption and the depth of its consequences on growth and development.

Speaking at a press conference in Lagos to present the Institute’s recommendations on how to consolidate on the present stride in the fight against corruption in Lagos, Jaiyeola called on the Federal Government to establish special courts that would deal with cases of corruption in a speedy manner.

According to Jaiyeola, “Delay in adjudicating on corruption cases could serve as an impetus for perpetrators to continue

in the act. The country needs a judicial system that would be strong to serve as deterrent against corrupt tendencies.”

He said ICAN Accountability Index (AI) developed together with the International Federation of Accountants (IFAC), continues to be wellreceived as a veritable tool for restoring the Nigerian polity to the path of integrity, transparency and accountability.

Among the recommendations put forth by the ICAN president is that a law be enacted mandating all political office holders or aspirants to declare their assets before and after tenure of office, adding that the Bureau of Public Enterprises should be independent and equipped with necessary facilities to discharge their mandate adequately.

He further called on the government to collaborate with respective professional bodies in addressing the menace of corruption. “Corruption cuts across different fields, disciplines and sectors and government’s efforts at fighting it would yield better results if all professional bodies enforce the ethics of their professions on all their members and infractions are properly dealt with”.

Friday 14 December 2018

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Oil slides again over doubts OPEC curbs can avert glut James Kwen, Abuja

Oil fell for a second day as the International Energy Agencysaid it’s too early to tell whether output cuts by OPEC and its allies will prevent a surplus, echoing a similar outlook by the producer group itself.

Futures in New York slipped 1.1 percent after sliding 1 percent in the previous session. While the production cutbacks announced last week “may go some way towards restoring balance to the world market,” there’s still potential for “significant

oversupply,” the IEA said in a report.

Analysis from OPEC published Wednesday indicated the curbs may need to be deepened in the second half.

“The market is grappling with different uncertainties,” said Norbert Ruecker, head of macro and commodity research at Julius Baer Group Ltd. in Zurich.

Crude’s still in a bear market after reaching a four-year high in October, as investors remain worried over supply and demand. Record American output, which is expected to boom to more than 12

million barrels a day in 2019, is threatening to overwhelm the market.

The US has also allowed some nations to temporarily buy Iranian oil despite the implementation of sanctions, while the unity of the Organization of Petroleum Exporting Countries is at risk.

West Texas Intermediate for January delivery dropped 57 cents to $50.58 a barrel on the New York Mercantile Exchange at 8:42 a.m. local time. Prices declined 50 cents on Wednesday after U.S. stockpile data, erasing earlier gains. Total volume traded

Thursday was 37 percent above the 100-day average.

Brent for February settlement slid 51 cents to $59.64 a barrel on London’s ICE Futures Europe exchange, after losing 0.1 percent on Wednesday. The global benchmark crude traded at an $8.82-a-barrel premium to WTI for the same month.

U.S. crude inventories fell by 1.21 million barrels last week, Energy Information Administration data showed Wednesday. That’s a much smaller decline than the 10.2 million barrels cited in an industry report on Tuesday.

5 News

BUSINESS DAY

Edo approves payment of 290 ex-workers of Agric College Iguoriakhi, Agric Tech College Agenebode

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he Edo State government has approved the payment of 290 former workers of the College of Agriculture, Iguoriakhi, and College of Agricultural Technology, Agenebode.

In a statement issued by the commissioner for agriculture and natural resources, Monday Osaigbovo, the state government said that the 290 ex-workers of both institutions, entitled to payment and whose cheques are ready include; 228 staff of the College of Agriculture, Iguoriakhi, and 62 former staff of the College of Agri-

cultural Technology, Agenebode.

Osaigbovo explained, “Some former workers of the institutions have collected their cheques, while some are yet to collect theirs.”

Governor Godwin Obaseki during the presentation of the 2019 Budget estimates at the Edo State House of Assembly, highlighted plans to restructure the College of Agriculture with three schools in Iguoriakhi, Irrua and Agenebode, which according to him, will operate as a tri-campus College of Agriculture and Natural Resources.

6 BUSINESS DAY News

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34 states within borrowing limit – DMO IDRIS UMAR MOMOH, Benin

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irector-general, Debt Management Office (DMO), Patience Oniha, says about two states in the federation have exceeded borrowing limit.

Oniha made the disclosure at a day sensitisation workshop on Sub-National Debt Management for top policy makers in the SouthEast, South-South and South-West geopolitical zones on Wednesday in Benin City.

The DMO boss, who did not mention the two states, said the borrowing limit was below or within 40 percent of the net revenue after the computation of the monthly allocation to the states for a period of between six and one year.

“For domestic borrowing

by states and their agencies, their debt service should not exceed 40 percent of actual monthly revenue, while for capital market borrowing, total loans outstanding at any time shall not exceed 50 percent of actual revenue for preceding 12 months.

“So far, from the figures we have, with the exception of about one or two states, others are all below 40 percent. Edo State is not one of the states that have exceeded or above 40 percent. The state still has a window of borrowing,” she said.

While expressing worry of the total debt stock of subnational of N4,776,14 billion by the month of June 2018 as against N2,256,23 billion as of December 2014, representing an increase of about 111 percent, she called for urgent upscale of debt management capacities at the sub-nationals by states and

the Federal Capital Territory (FCT).

According to Oniha, with the growth in the debt profile of state governments and the FCT, there is an urgent need to upscale debt management capacities at the sub-national level.

She said the implementation and operationalisation of the relevant laws in the states would ensure sustainability of state’s debt portfolio and enhance efficient debt management.

The agency is partnering the 36 states including the FCT for the purpose of enhancing debt management policies and practice at the sub-national level, she said.

She listed the objectives of DMO to include building effective debt management institutions and facilitate and the enactment of appropriate legislations on public debt management.

OPS wants alternative funding for ITF JOSHUA BASSEY & JOHN SALAU

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rganised Private Sector (OPS) says there is an urgent need for the Federal Government to back efforts at deepening skills and knowledge transfer by creating alternative sources of funding for the Industrial Training Fund (ITF).

This was the outcome of a day NECA/ITF interactive session with the OPS on the challenges with the interpretation of the ITF amendment Act 2011, held in Lagos on Tuesday.

The ITF among other tasks, in collaboration with the private sector is engaged in training and retraining skill and unskilled labour for industries, self-sufficiency and economic empowerment of people.

Olusegun Oshinowo, director-general of NECA, said there was a need for the government to contribute towards funding the ITF, as the body could no longer survive

on private sector funding alone.

“All it requires is further funding from government; fund coming from the private sector cannot be enough, and the demand on ITF based on what stakeholders know in terms of its capabilities is enormous, and there is no way ITF will be able to respond to them if there are no better sources of fund,” he said.

According to Oshinowo, the ITF has come a long way with the capacity to serve as a training institution to empower Nigerians with skills and competencies. However, the ITF cannot survive only on contributions from private sectors to train Nigerians to acquire skills.

“Government have to put some fund there to broaden their capacity base on expertise acquire over the years and experience to train more Nigerians.

Government cannot just say private sector fund should be utilised for training public sector manpower – it cannot work.

Funding must come with capacity,” Oshinowo said.

Joseph Ari, directorgeneral of ITF in response to the OPS, said, ITF would continue to play its role in building capacity of Nigerian workforce.

“We assist employers of labour to see where we would focus our energy in continuing our role to serve as a compass to employers of labour in areas where they need to feel in the gap,” Ari said.

According to Ari, the interface, midwife by NECA, was necessary to deepen knowledge among the OPS about the workings of the ITF. “NECA understands the two sides of the coin; it understands ITF and the OPS, because it is the umbrella body of the OPS. So, what NECA has done is to bring us together to discuss and harmonise, and you can see that today we have risen from this meeting with a clear understanding of our role play, so it is for better and greater synergy between the two groups,” Ari said.

Edo-HIP, State Health Insurance Scheme designed to deliver universal health coverage – Obaseki

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do State governor, Godwin Obaseki, says healthcare reforms in the state, including the Edo Healthcare Improvement Programme (Edo-HIP) and the Health Insurance Scheme, will ensure that residents in the state are better positioned to for universal health coverage.

The governor said this in commemoration of the International Universal Health Coverage Day, marked every December 12, by the United Nations, and its various health-focused

organs. The day was first marked on December 12, 2012, after the United Nations General Assembly endorsed a resolution calling on countries to accelerate progress toward universal health coverage (UHC).

According to Obaseki, “As we mark the International Health Coverage Day, it is important to state that, as a government, we have made tremendous progress in restoring our primary healthcare system. This is so that it can be responsive to the needs of today, and serve as the first port of call to any-

one with health needs in the rural areas and villages.”

Noting that the Edo-HIP is an elaborate plan to reform the primary healthcare system to meet the needs of Edo residents, he said, “The primary healthcare reform not only ensures access – as a number of them are sited in rural areas, they are also affordable and fitted with relevant supplies. To ensure that there is constant power supply, the renovated healthcare centres are fitted with solar energy, to forestall the incidence of power cut.”

Friday 14 December 2018

Friday 14 December 2018

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BUSINESS DAY

News GDP: Experts link Q3 growth to exchange rate stability, CBN interventions

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inancial experts have attributed the 1.8 percent growth recorded by the Gross Domestic Product (GDP) in the third quarter to the relative stability in the exchange rate and various interventions in the real sector.

The experts made the attributions while speaking with the News Agency of Nigeria in Lagos on the Q3 2018 GDP report released by the National Bureau of Statistics (NBS).

The Q3 figures released by the NBS show the GDP grew by 1.81 percent in the third quarter of 2018. This represents a 0.31 percent increase from the 1.50 percent growth recorded in the second quarter of 2018.

On a year-on-year basis, GDP grew by 0.64 percent from the 1.17 percent recorded in the third quarter of 2017.

The Oil sector GDP continued to retract with a negative growth rate of 2.91 per cent and the non-oil sector grew by 2.32 percent against 2.05 percent in the second quarter of 2018.

Uche Uwaleke, head of Banking and Finance Department, Nasarawa State University, Keffi, linked the growth to stability in the exchange rate and the Central Bank of Nigeria (CBN) interventions in the real sector.

Uwaleke said the implementation of the 2018 budget, which kicked-in at the beginning of the third quarter contributed to the economic growth.

“The Q3 2018 GDP report, which showed the economy grew by 1.8 percent compared with 1.5 percent in Q2, is cheering news because it marked an end to the downward trend in GDP growth noticed since the

first quarter of this year.

“Of note is the performance of the non-oil sector where marginal improvements were recorded in manufacturing, especially cement production, transportation and agriculture,” Uwaleke said.

He noted that the growth was still weak and fragile, particularly with respect to the sectors that had strong linkages to jobs.

According to Uwaleke, the performance of the financial services sector, which is critical to the economy, is disappointing.

Contributing, Sheriffdeen Tella, a professor of Economics at Olabisi Onabanjo University, AgoIwoye, Ogun State, said the GDP figure for non-oil exports was encouraging, saying the magnitude of loss from the oil sector was quite high, and urged the NNPC to

explore new oil customers.

“There is the need for the NNPC to explore new oil customers because part of the problem has to do with inability to sell crude oil.

“The composition of the output from the non-oil sector should be provided even in general release of information so that we can monitor if there is improved diversification of the economy,” he said.

Ambrose Omordion, chief operating officer, InvestData Limited, said growth recorded by the non-oil sectors could only be sustained with consistent economic policies.

Omordion said the Federal Government needed to ensure the implementation of its Economic Recovery and Growth Plan and review of the monetary policy to reduce cost of borrowing for economic expansion.

7

2019: US pledges support for credible polls, calls for issue-based campaign James Kwen, Abuja

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he United States has pledged its support for Nigeria to have credible, peaceful and transparent elections in 2019 so as to consolidate the country’s democracy.

US also called on political parties, candidates and their supporters to embark on issue-based campaigns that project policies and programmes that would enhance the socioeconomic advancement of the country and avoid hated speech.

Public Affairs Section of the US Mission in Nigeria gave this advice in a statement on the signing of Peace Accord for the 2019 general elections by presidential candidates of political parties.

The statement congratulated the presidential candidates and parties who have signed the Peace Accord for the 2019 presidential election and all the advocates for peace and democracy who have worked together to achieve this important result.

It noted that the Peace Accord was a great step towards the goal shared by all Nigerians of national elections that were free, fair, transparent, credible, and peaceful, as achieving the goal was critical to the credibility and effectiveness of the next government, and

was essential to advance Nigeria’s unity, prosperity, justice and security.

US recalled that, “in 2015, an identically worded Peace Accord played a vital role in a democratic electoral process. We expect all parties and leaders to ensure that this new Accord will be honoured just as faithfully and therefore have an equally positive effect on the 2019 election.

“We note that, for elections to be free and fair in 2019, the campaign period already underway must itself go forward on a level playing field and be a fair and transparent process.

“Campaigns enriched by positive ideas and actions will unite Nigerians in a common democratic debate, even as they differ by advocating for competing candidates. We urge all Nigerian candidates, party members, civil society groups and citizens to speak out for policies that advance the good of all Nigerians and speak out against violence, misinformation, and hate speech.

“Finally, we reiterate our strong support for the Independent National Elections Commission (INEC), and for all those Nigerian citizens, public servants, and civil society organisations who will together facilitate peaceful, credible, and transparent elections.”

JVC: Nigeria owes oil companies $5.1bn - NNPC OWEDE AGBAJILEKE, Abuja

L-R: Yemi Ogunbiyi, chairman, governing council, Obafemi Awolowo University; Kayode Fayemi, Ekiti State governor; Aarinola Olaiya, overall best graduating student, and Eyitope Ogunbodede, vice chancellor, Obafemi Awolowo University, during the institution’s convocation ceremony/award in Ile-Ife, Osun State.

EFCC, police, MDAs, others join platform to confront corruption … Joint alert system created as ‘Voices Against Corruption’ begin training in PH Ignatius Chukwu & Innocent Eteng, Port Harcourt

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conomic and Financial Crimes Commission (EFCC), the police and other groups are to team up to confront corruption, henceforth. They have created a platform that would be operated by alert such that the moment a report is submitted, all the group members get alert same time.

This is the aggregate the actions and ‘Voices Against Corruption’ (VAC), which has been born to coordinate the new war against sleaze, which is believed to have continued as blight against Nigeria’s progress. Now, several civil society organi-

sations (CSOs) and representatives from government ministries, departments and agencies (MDAs) have received boosted capacity to fight it.

This came on Wednesday, December 12 in Port Harcourt through a workshop where delegates were shown how to use the “Voices Against Corruption” platform launched by Cleen Foundation - a non-profit working to ensure public safety, security and access to justice.

The platform is a digitally networked one where users can record incidents of corruption and send. The report is then received electronically by anti-corruption agencies like the Economic and Financial Commission

(EFCC), Independent Corrupt Practice and other Offences Commission (ICPC), and the police.

The complaint is also received by Cleen Foundations for follow-up.

The platform allows users the option of reporting acts of corruption anonymously by simply filling only the title of the act, a little description, the time it took place and the category it falls - like bribery, extortion, money laundering, financial crimes or corrupt practices.

According to Cleen Foundation’s programme officer, Ebere Mbaegbu, feedback is an interwoven part of the platform as anti-corruption agencies can get back to the complainant about the progress being made in han-

dling the alleged act of corruption.

“It is well understood because it is just like a form where you fill your details and once you click ‘send’, it automatically goes to the anti-corruption agencies and also to Cleen Foundation for quality assurance, “ he said.

Supported by Trust Africa which is based in Senegal and uses collaboration and partnerships to boost initiatives aimed at tackling Africa’s biggest challenges, at the workshop titled, “Sensitisation and Capacity Building Workshop on Voices Against Corruption for CSOs and Government MDAs”, participants were also taken through an analysis of what corruption has cost Nigeria since independence.

N

igerian National Petroleum Corporation (NNPC) has revealed that Nigeria currently owes International Oil Companies $5.1 billion in the Joint Venture Cash Call (JVC) arrangement.

The development comes as the Corporation has denied mismanagement of $3.2 billion withdrawn from the Nigeria Liquefied Natural Gas (NLNG) Account in the last three years.

Chief financial officer of NNPC, Isiaka Abdulrasaq, made the disclosure on Thursday when he appeared before the Senate Committee on Gas Resources.

According to Abdulrasaq, while Nigeria controls 60 percent of the business venture, the IOCs control 40 percent.

“The problem however is that before this government came on board in 2015, Nigeria which holds 60% of shares in the joint business, for many years did not contribute its own required capital into it but only collecting its equity in form of revenues which

made the country have $6.8bn unpaid capital into the venture.

“But the present government in 2016 succeeded in getting 35% discount from the unpaid capital amounting to $1.9bn from the unpaid capital, reducing the amount being owed IOCs to $5.1bn”, he explained.

On the alleged $3.2bn withdrawn from the NLNG account by NNPC since 2015, Abdulrasaq insisted that this there was no mismanagement in any of the withdrawals made.

He explained that only 13 withdrawals were made from the Account totalling $1.2 billion.

He lamented that not less than seven out of the international oil companies dealing with the NNPC, have been apprehensive on continuity of their business operations as a result of the figures being bandied around on withdrawals from the NLNG account.

In his remarks, chairman of the committee, Albert Bassey Akpan ordered the Corporation to submit approving documents for all the withdrawals by Tuesday next week.

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Highlight of the news reports on our digital platforms this week

Best five stories this week FG finally reopens Ijora-Apapa Bridge to traffic

businessdayonline.com to catch up on full news stories.

Five months after it was closed and barricaded for repair works, the Federal Government on Friday finally reopened the Ijora end of Apapa-Ijora Bridge to traffic.

POLL RESULTS: What do you do when you want to rent a house?

24% of our audience across out digital platform say they go house hunting, 64% say they call an agent, 5% call an agency and the

2019: Atiku reassured of Benue overwhelming support Atiku Abubakar, Presidential Candidate of the main opposition Peoples Democratic Party, PDP has been reassured of the overwhelming support of Benue people to his victory in the 2019 general elections.

Benue Labour party flags-off campaign The Benue state chapter of the Labour Party flagged off its campaign for 2019 general elections at the IBB square in Makurdi the state capital and promised to give the people quality leadership if given the mandate to take over power from the ruling party. access road and mining sites within the Ajaokuta Steel Complex.

2019 Election: APC names Campaign council Thursday The All Progressives Congress, APC would Thursday name a Presidential Campaign Council to anchor the re-election of President Muhammadu Buhari.

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remaining 7% call ‘Mama Amaka’.

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Poll of the week

Reps call for approval of $2bn to complete Ajaokuta Steel Company Tweet of the week

Nigeria’s House of Representatives has called on President Muhammadu Buhari to demonstrate required political will with the approval of $2 billion for the completion of two percent of the external rail system,

Video of the week

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The importance of effective transport and project management systems in Nigeria (2)

Festus Okotie

Okotie, a maritime transport specialist, writes via fokotie.bernardhall@gmail.com, Fokotie@ bernardhallgroup.com

Continued for yesterday…

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atching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Makurdi.

Nasarawa state: border road rehabilitation of 120 poles solar street lights on Katsina-Ala bridge rehabilitation of street lights on Makurdi bridge at Makurdi. Cross River state: dualisation of Odukpani-Itu-Ikot Ekpene road in Cross River 9.7 Km/ Akwa Ibom State with a spur to Ididep 12.2 Km. Gully erosion control project at Eastern Naval Command Headquarters. Rehabilitation of Aleshi-Ugep road, Iyamoyun-Ugep Section in Cross River State. Cassava processing plant.

Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Calabar-Oban-Ekang road. Delta State: completion of the Itakpe-Ajaokuta-Warri (Aladja Jetty) railway line and from Aladja to Warri town Port, refinery and from Itakpe to Abuja. Establishment of pilot briquetting plant construction of 23.6km Asphalt Gbaregolor Ogulagha road with 2 bridges measuring 651m. Construction of TebuGbokoda pavement road network for the Olero Creek indigenes covering

about 6 communities. Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Amukpe-Eku-Abraka-Umutu -Agbo (Edo state border). Ebonyi State: Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Afikpo-Okigwe road.

Edo state: Auchi Poly-EkperiUzea-Ohe with a spur to FugarAfuda-Usugbenun road section 1 and a pedestrian bridge at Auchi poly gate. Construction of EkpomaUhiele 31.1 km road in Esan West.

Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Benin-Auchi-Okene road. Construction of 46.5km Udo Ofunama asphaltic concrete road7.3m wide. Azura 450MW Independent Power Project Provision of street lights at Benin-Sapele interchange along Benin-Sapele road.

Ekiti state: Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Ado-IgedeItawure-Osun state border road.

Enugu state: rehabilitation of Enugu-Onitsha dual carriageway. Obinagu/Akpulu/ Enugueze/ Umunneobagu soil erosion and flood control project soil erosion, flood control and road improvement works at Federal College of Education, Eha-Amufu. Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Nsukka-Adani-Anambra state border road Federal Capital Territory, Abuja, Murtala Muhammad and Umar Musa Yar’Adua express ways. The circle road that envelopes the Central Business District. The NyanyaGbagalape road. The Abuja rail mass transit system. The total length of the rail double track laid is 45.245 kilometres. ICT innovation Hub 2MW solar power plant.

Patching of potholes, pave-

‘

In the past, project failures were normal things in Nigeria. … However, within the short time frame this government took over in 2015, it achieved great results in project monitoring and management

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ment strengthening, repairs of failed sections and general maintenance works along Kaduna road. Provision of street lights at Giri interchange along Abuja-Lokoja expressway.

Provision of street lights at Kakao, old toll gate along Abuja-Kaduna road. Abuja-Kaduna standard gauge railway. Imo state construction and dualization of Port Harcourt/Owerri road junction.

Rehabilitation of washed away internal road and rebuilding of Nwaorie bridge at Alvan Ikoku College of Education. Construction of Isinweke Oriaha, Uboma road: a 16km road awarded in 2012, and picked by the Buhari-led administration. UmuokiUmuowasi erosion control and road improvement works. Cassava processing plant. Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Ihiala-Umuduru road interchange at Ezeudo Amaokpa and Zimuzo roads. Jigawa state: Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Kano state border-Garki-Gukel-M/ Madori-Hadejia road. Kaduna state: 215MW dual-fired plant in Kudenda rehabilitation of Ilorin-Jebba-MokwaBirnin-Gwari-Kaduna road section 1.

Patching of potholes, pavement

strengthening, repairs of failed sections and general maintenance works along Zaria-Pambegua: Katsina state: Daura township erosion control, phase 1. Daura township erosion and flood control project, Phase II. Katsina wind farm which has an installed capacity of 10.175MW. Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Katsina-Batsari-Safana road construction and construction of Daura township roads. Kebbi state: patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Kalgo-Bunza-KambaPeka road. Kogi state patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along OkeneIbillo road. Nigeria Remediation of Lead Contaminated Sites in Shikira, Rafi Local Government area. Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Kontagora-Tegina road rehabilitation of 120 poles solar street lights on Jebba bridge, Jebba.

Lagos State: The construction work on the Lagos-Ibadan railway standard guage rail line with extension to the Lagos Port Complex at Apapa, Lagos. Lagos Shoreline protection/rehabilitation works.

Gully erosion works at Magodo, Lagos State. Oghere Ahmed erosion control works establishment of pilot Lagos state briquetting plant ICT innovation hub rehabilitation, reconstruction and expansion of Lagos-Ibadan dual carriage way, section 1, Lagos-Sagamu. Rehabilitation, reconstruction and expansion of Lagos-Ibadan dual carriage way.

Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along 3rd Mainland Bridge (Oworo toll gate) construction of 60-room hostel block for artisans and craftsmen at Onikan.

Ogun State: Patching of potholes,

pavement strengthening, repairs of failed sections and general maintenance works along Abeokuta-Sango Ota dual carriageway. Plateau state: patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Gimi road: Rivers state: rehabilitation and reconstruction of the moribund rail system in the Port Harcourt port. Construction of KaaAtaba road and bridges, originally awarded in 2012, Kaa-Ataba road connecting to Andoni/Opobo LGA was picked up by President Muhammad Buhari’s administration. Dredging and reclamation of 600 hectares of swampy land with 60 million cubic meters of sand at the Onne Port, Port Harcourt, Rivers state, to enable port expansion at the ocean terminal.

The Ogoni land clean-up and remediation project. Cassava processing plant. Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Ahoada-Okoku-Okwuzi road. Taraba state: the Kashimbilla Hydropower plant 3050MW Mambilla Hydro power plant.

Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Jalingo-Mutum BiyuWukari road. Nasarawa State: completed the inner southern expressway (ISEX), which is the expressway providing rapid East-West movement to the southern flank of the city linking the Abuja-Keffi road. Patching of potholes, pavement strengthening, repairs of failed sections and general maintenance works along Lafia-Makurdi road. Kwara state: rehabilitation of Ilorin-JebbaMokwa-Birnin-Gwari-Kaduna road section 1.

Note: The rest of this article continues in the online edition of Business Day @https://businessdayonline. com/ Send reactions to: comment@businessdayonline.

Nigeria’s ‘ease of doing business’ ranking ONYINYECHUKWU MBIDOM Mbidom is a banker and holds a B.Sc. in Economics

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t is on record that Nigeria ranked 146th out of 190 nations on ‘ease of doing business’ recently published by the World Bank scoring 52.89 out of 100 percentage points. The report basically looked at regulations that enhance business activity in each of the countries and those that constrained it. This score showed an economy’s position to best regulatory practice. The cities studied were Lagos and Kano.

Eleven (11) areas of business regulations were studied in the World Bank report. The areas and the country’s ranking under each area are: Starting a business (120th); Dealing with construction permits (149th); Getting electricity (171st); Registering property (184th); Getting credit (12th); Protect-

ing minority investors (38th); Paying taxes (157th); Trading across borders (182nd); Enforcing contracts (92nd); Resolving insolvency (149th) According to the report, Nigeria made starting a business easier by reducing the time needed to register a company at the corporate affairs commission and introducing an online platform to pay stamp duty. It made getting electricity easier by streamlining its approval process requiring that the distribution companies obtain the right of way on behalf of the customers and by turning on the electricity once the meter is installed. It reduced the time needed to export and import by implementing joint inspections, the Nigerian Integrated Customs Information System Service II (NICIS) electronic system and around the clock operations at Apapa Port. The NICIS II comprises of trade analysis and timely audit of the system and blockage of leakages to enhance revenue collection. The system supports electronic payment of duties and taxes as well as attachment of electronic certificates and other documents. Nigeria also made enforcing contracts easier by issuing new rules

of civil procedures/enforcements rules for small claims courts which limit adjournment to unforeseen and exceptional circumstances. On the other hand, under registering property Kano was reported to constrain business by making property registration less transparent as it no longer published the fee schedule online and the list of documents necessary to register a property.

Nigeria was also among the 46 countries that improved across three or more ‘doing business’ topics. The Presidential Enabling Business Environment Council (PEBEC)’s reforms have helped the nation move up from 170th position in 2015 to 169th position in 2016 and 145th position in 2017. The top three this year were New Zealand, Singapore and Denmark while the only Sub-Saharan African economy country to enter the top twenty was Mauritius. Mauritius was said to have reformed its business environment methodically over the years and has reformed more than once in almost all areas measured by the report.

A lot more needs to be done in order to achieve the Presidential Enabling Business Environment Council (PEBEC)’s goal of Nigeria becoming the top 100 place by

2020 and top 50 by 2025. According to its ‘2018 Making Business Work Report’, it will continue to improve public service delivery and business environment for Micro, Small and Medium Enterprises (MSMEs). MSMEs account for over 90% of firms worldwide and play a critical role in the development of economies around the world creating jobs and making substantial contribution to overall GDP. In Nigeria, MSMEs account for more than 90% of all registered business.

They provide about 84% of jobs and contribute just under 50% of GDP to the economy. These businesses face a lot of challenges that hinder their ability to grow and perform optimally such as poor infrastructure, a challenging regulatory environment and corruption.

PEBEC, among other agendas, intends to focus primarily on regulators and sign the omnibus bill on business facilitation. The regulators should not serve as inhibitors to doing business but to promote the practice of their duties as productive business facilitators. The omnibus bill is a bill that is designed to institutionalize business reforms and remove irritants that serve as bottlenecks for these reforms. The bill will bring about

new provisions that will accelerate bold reforms. They intend to coordinate a collaborative process across Government Ministries, Departments and Agencies (MDAs), National Assembly and the private sector to ensure the enactment of a relevant omnibus bill.

Put all of these alongside good fiscal and monetary policy implementation and a continuous and stable drive towards development as a whole and we will see ourselves achieving the PEBEC goal and even surpassing it. As we prepare for the general elections ahead, the incoming government, whoever it may be, must see to it that this goal is not lost.

Furthermore, let us also not see it as just achieving a ranking but through this deepen economic development and ensure that the dividends of democracy are felt by everyone especially the common business man who may not really care about a ranking but that his business objectives of excellent customer service delivery, profit maximization and cost minimization and growth are met.

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comment CHIEDU UCHE OKOYE

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ince our colonial masters left the shores of Nigeria, after they had entrenched the egregious political culture of imposition of political leaders on the people(s) of Nigeria, as exemplified by their helping Alhaji Tafawa Balewa to become our Prime Minister in 1960, Nigeria has been bedeviled by leadership crisis. And since our country’s attainment of political sovereignty in 1960, and until 1999, rapacious, profligate, corrupt, and rudderless democratic governance interspersed with autocratic military regimes were our collective lot, then.

Even our uninterrupted practice of representative government since 1999, and until now, has not brought much gains and development to us and Nigeria owing to our political leaders’ religious bigotry, ethnic chauvinism, rapacity, lack of leadership qualities and fealty, and corruption.

Little wonder, for all humongous natural and human resources, equable weather conditions, and arable large landmass, Nigeria is still helplessly trapped in the morass of underdevelopment.

S o, Mu h a m m a d u B u h a r i coasted to victory in the 2015 Presidential election on the coat tails of his ascetic nature, perceived zero tolerance for corruption, patriotism, and zeal for political leadership. But it seems that he has been overwhelmed by the enormity of Nigeria’s multifarious and hydra-headed

MARVELLOUS OKECHUKWU Okechukwu is a legal practitioner and lives in Lagos

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018 is almost at a close.

What a lovely year, or not?

So let me ask you. What happened to your goals?

Can you honestly access your performance? If yes, using which parameter?

M and E is an abbreviation for Monitoring and Evaluation, a form of analysis usually carried out by businesses/corporations and even the government to check growth level, impact or + program success rate.

M and E involves a number of steps that track and weigh growth, speed, performance, impact and any other indices you want to base your analyses on. Monitoring and Evaluation are two words with the connector and in-between.

Monitoring is an activity done on a continuous basis; its aim is to provide early detailed information on the progress or delay of the ongoing assessed activities. Evaluation on the other hand involves an examination concerning the rel-

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Atiku\Obi political candidature: What are the benefits to us? national problems. But, was he prepared for national leadership before a coalition of political parties helped to ensconce him in the loft of power? The answer to the question is a categorical no.

Since he became the President of Nigeria, he has not been able to make our economy grow at a quick pace or tackle successfully insurgency in the northeast of Nigeria. And he has failed, abysmally, to fix the infrastructural rot in the country. His fight against corruption, which is the leukemia asphyxiating Nigeria, is lopsided to persecute members of PDP, the chief opposition political party in Nigeria. Worst still, as the Buhari government has failed to revitalize and expand our economy to create job opportunities for people, Nigeria, now, has an army of jobless people, who are angry and hungry. So, are we not sitting on a keg of gun powder, now?

That’s why the emergence of Alhaji Atiku Abubakar as the presidential candidate of PDP has caused joy and happiness to well up in the hearts of millions of Nigerians. Many Nigerians want a better alternative to the ruling APC, which has failed to fulfill its promises to us. Its campaign mantra of change resonated with us during the 2015 presidential election campaign as countless Nigerians were disenchanted with Dr Goodluck Jonathan’s political administration, then. Yet, until now, change has remained elusive in our country. Today, millions of Nigerians, who are trampled underfoot, are groaning under severe economic hardship occasioned by visionless,

rudderless, insensitive, and inept political government of the APC. So, Atiku’s winning of the PDP’s presidential ticket has revived hope in the hearts of millions of Nigerians and made them become ecstatic.

Alhaji Atiku Abubakar, who makes no pretensions to being a saint and our political messiah, is a hard-nosed and pragmatic politician. Before serving Nigeria for eight years as the vice-president in a PDP-led government, he worked at the top echelons of Customs. So, he is familiar with our seemingly intractable national problems.

And he has been proffering solutions to our myriads of national ills via his interactions with journalists. His articulation and formulation of policies, including his treatise on the restructuring of Nigeria, are workable road maps for the re-making of our battered country.

Again, Atiku possesses cosmopolitan disposition and proclivities, which will make his political candidacy acceptable to the generality of Nigerians from diverse ethnic origins. If he wins the presidential election, his victory will bridge the ethnic chasm in Nigeria instead of deepening our ethnic and religious fissures.

And, he will look beyond the north when forming his executive cabinet and appointing personnel into our federal establishments as he is not held hostage to ethnic, religious, and primordial sentiments.

More so, his choice of Mr. Peter Obi, as his presidential running mate, is spot-on. It is a political master-stroke that will galvanize goodwill and support for Atiku Abubakar in the Presidential race.

‘

… as the Buhari government has failed to revitalize and expand our economy to create job opportunities for people, Nigeria, now, has an army of jobless people, who are angry and hungry. So, are we not sitting on a keg of gun powder, now?

’

His choice of Mr. Obi as his presidential running mate will placate millions of indignant Igbo people, who feel that they are being left out in Nigeria’s political scheme of things. And it will dampen their enthusiasm for the creation of the sovereign state of Biafra. We are not unconscious of the stark fact that President Buhari’s high-handedness in treating the Biafra incubus has further polarized the country, and alienated him from the people of the Southeast.

And, the Igbo people’s hope of producing Nigeria’s President of Igbo extraction can be achieved sooner via Atiku/Obi political candidature. If Atiku wins the 2019 Presidential election, which he is poised to win, and serves out his terms of office, Peter Obi will become the next PDP’s Presidential candidate based on

political calculus and permutations. An Igbo man’s ascendance to the highest political office in Nigeria will disabuse the minds of the Igbo people of the notion that they are second-class citizens in Nigeria.

But, more than anything else, Mr. Peter Obi possesses the magic wand with which he can use to turn around our ailing national economy if the Atiku/Obi political candidacy sails through, as we have expected. His revamping of education, reinvigoration of the economy, and fixing of the infrastructural rot in Anambra state during his reign there as the Governor is still fresh and evergreen in our collective psyche.

Obi, it should be recollected, is a pragmatic and astute business man, who did well for himself before he entered Nigeria’s murky political waters. Nigeria and Nigerians need a tight-wad as a Vice-President. He will be a moderating influence there if his colleagues start tending towards wastefulness and vainglory.

And like Atiku, Peter Obi, who is a philanthropist, is a gregarious man, who has a pan-Nigerian dream. He does not pander to divisive ethnic and religious feelings.

The Atiku Abubakar and Peter Obi political union can produce the panacea to our debilitating national ills and challenges. Their political leadership of Nigeria, if they win the presidential election, will be a far departure from this current government’s chimerical postulations on change.

Send reactions to: comment@businessdayonline.com

On (M&E(ing)) monitoring and evaluating your life: Proposing this method of analysis for personal growth measurement evance, effectiveness, efficiency and impact of activities in the light of specified objectives. Therefore, it is feedback from monitoring one uses to evaluate.

Monitoring and Evaluation is a continuous on-going process.

The nature of this form of assessment provides for up-to-date and thorough results on evaluation.

This result is derived because of the rolling basis nature adopted by this method.

1. Monitoring and evaluation as a concept for measuring performance on life goals: Life goals are prioritized as they should be. As is stated in the Alchemist, to realize one’s destiny is a person’s only obligation. If you don’t realize your dream, nobody will. Nobody is going to be you for you. Nobody is going to hit your goals for you. That is why it is important realizing your destiny should be given serious effort.

Monitoring and evaluation has proven to be helpful for accurately measuring the impact of

corporate goals. Why can’t they be helpful for personal life goals too?

2. How monitoring and evaluation can be helpful to you: A.It quantifies growth: At the end of an event, a moderator or a correspondent goes on to interview attendees. He asks each person the question; What did you learn? Some people reply with the answer ‘I learnt a lot’ full stop.

What do you think of that feedback?

(Hold that thought). Some others reply by saying ‘I learnt a lot’ and in addition to saying that, they go on to enumerate what exactly they learnt in detail. One can work better with feedback from the latter yea?

That’s right. Monitoring and evaluation, gives one actuals on their growth rate. Rather than a cursory consideration of your goals, M and E gives one a detailed quantity on their rate of achievement. Rather than checking if you hit the goal or not, M and E, tells you If you hit the goal or not. Habits that helped you hit the goal and those which almost hindered your achievement

of the goal.

B. It enables one to see trends or recurrent patterns that are averse to growth: Because it’s in black and white, identifying recurrent patterns that impede growth are easily identifiable. One is also able to see trends that encourage growth and practice them more.

C. It aids in future planning: Putting into consideration what is derived from analysis one can set more informed goals.

3. So how can you monitor and evaluate your life?

A. You Should have had a plan for your life?

Did you say, but what if I don’t have a plan? Let me answer that briefly. The thing about realizing you don’t have a plan is that you can develop a plan now. Something can be done from there.

From carrying out monitoring and evaluation, you can find out what you got from your plan less(ness).

If you got nothing, that is a result on its own. However, it is expedient to have a plan. A detailed and

expressed (particularly in writing) plan.

B. Use the feedback method: Feedback is very valuable, negative and positive feedback alike. It enables one see things from the observers view point. I mean, what better way to see a stain on the nice white trouser you are putting on than through your buddies eyes?

So how do you get feedback? Ask for it. Ask people who you know would give an honest review. You could even send out Google forms to guide answering symmetry. Yes, Google forms!

C. Listen to the feedback: When you get feedback, listening to what it has to say is a very important part of the whole process. Listen and take corrections where necessary. If this last step is not taken, the whole process is as good as defeated.

Personal development goals should be taken seriously too.

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comment Small Business handbook

Emeka Osuji Dr Emeka Osuji School of Management and Social Sciences Pan Atlantic University Lagos. eosuji@pau.edu.ng @Emyosuji

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igerians are currently upbeat on the subject of entrepreneurship, no doubt. The signs of their determination to innovate and create are everywhere evident. In the very recent past, several events promoting the cause of entrepreneurship have been taking place every now and again. The Central Bank of Nigeria (CBN), this week, announced its intension to strengthen its support to entrepreneurs. It proposes to give further support to those involved in the performing arts as well as MSMEs. We can therefore safely say that the people of Nigeria have woken up to the reality of modern economic life. While the people are increasingly realizing that government cannot do everything for them, government is willing to do even more. Essentially, the people have to do most things for themselves, under the protective shadows of the government, and within the universally acknowledged duties of government. That should be the basis of a forward looking and healthy socio-economic partnership between government and the people.

Indeed, government owes the people a lot of duty, in addition to the provision of increased access to finance for entrepreneurs. For instance, government is to secure the lives and property of the people. It is to provide them with the so-called enabling environment for the operation of their

Zonta Club of Lagos Zonta International is a leading global organization of professionals empowering women worldwide through service and advocacy. Zonta Club of Lagos 1 which was chartered in Lagos in April 1970 is a member of Zonta International founded in Buffalo, New York in 1919.

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ovember 25 marked the United Nations International Day for the Elimination of Violence Against Women. It also marked the beginning of the 16 days of activism against gender-based violence (November 25 - December 10) - a global campaign to challenge violence against women and girls.

Violence against women and girls includes, physical, verbal, sexual, psychological and emotional forms and result in physical, mental, sexual, reproductive health and other health problems, and may increase vulnerability to HIV. Research shows that globally, one in three women will experience intimate partner violence as well as non-partner sexual violence in their lifetime. Worldwide, up to 50 percent of sexual assaults are committed against girls under 16. More than 700 million women alive today were married as children (below 18

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Equipping the new generation of entrepreneurs with skills and funds daily undertakings, including their businesses, big or small, and to facilitate the conduct of business. In this regard, government is to guarantee functional infrastructure, including healthcare facilities, educational curricula and institutions, effective criminal justice system and the rule of law. Although most African governments, not limited to those of Nigeria, have not been famous for their ability to discharge these duties, their failure has not in any way minimized the widely acclaimed principles on which the purpose of government rests – security of life and property and assurance of a conducive environment for legitimate human activity.

It is the responsibility of government to create new opportunities for those interested in taking the entrepreneurial route. And not just making them aware, it should also create incentives for them to appreciate in that way of life. The promotion of technical education and artisanry training is a fundamental function of government. It is to ensure the availability of adequately equipped technical and vocational training institutions, to support the development and growth of the fundamental technical manpower needed to support economic development. Part of the complaint against our current educational system is that it produces unemployable graduates. This notion may have some merit but it is fundamentally flawed because we are heaping the blame on the wrong quarters.

The thinking, which is obviously wrong, is that the universality system is to blame for the seeming incongruence between the output of the educational system and the requirements of commerce and industry. Unfortunately, that is not

‘

…the problem of Nigeria is not lack of finance but the inability of those charged with the responsibility of managing our finances to effectively utilize what we have

’

the case. The output of the universities is a product of the direction given to them by those running the system. Our educational system has lost the stratification that is needed to guarantee the production of the varied skill sets critical to a modern economy. Owing to the very warped reward system we operate, everybody wants a university degree for the name of it, especially in areas of least resistance – particularly in the arts and humanities – with little interest in science, technology, engineering and mathematics (STEM). The fields of STEM have borne the brunt of the corrupt reward system in Nigeria, and no longer command the followership that is critical for national development and even national survival. When colleges of technology begin to specialize in arts and humanities with tangential attention to STEM, we know who to blame – those running the education bureaucracy. The universities and, indeed all educational systems, follow the curricula provided to them by the powers that be. If we set a direction, like focusing on technical skills, we must also be ready to provide the supporting institutions to produce the raw materi-

als (intakes to the courses) for the areas and skills that are relevant to industry.

This also has implications for the calibre of faculty emplaced. At Pan Atlantic University there is adequate emphasis on the needs on industry.

This has been a major index for faculty emplacement. Student internship, which is compulsory for almost all study areas, is a unique way of keeping tab on the needs of industry as feed backs help us to reform and restructure programmes to meet the needs of employers. The mix of faculty, blending high level corporate experience and academic excellence, ensures that faculty is up to speed with the reality outside the school gates.

The concept of enabling environment has been overused in Nigeria to the extent that it has become a mantra for politicians seeking electoral victories. However, it is a complex amalgam of all that is good in the operating environment. It begins with the rule of law, whereby justice is free and available to all. Enabling environment encompasses the removal of bottlenecks on the way of business transaction, such as delays created by corrupt public officials as a means of extorting money from the public. It presupposes timely response to enquiries at public institutions regarding, for example, registration of business, titles and such.

It include the promulgation of living (as against dead-on-arrival law) that facilitate business, such as the Movable Asset or the Collateral Registry Law of 2017.

The challenge we face most of the time is that government deals with disabling challenges in a piecemeal fashion, and not on a continuous basis. The provision of water, for instance, in a location where insecurity is evident and electricity is epileptic may be a good effort on the part of

government, but it does not relieve the entrepreneur of much of the environmental headaches he faces.

Although problems sometimes have to be tackled in units and individually, especially under situations of limited resources, the solution to the next adjoining problem must be sought if the one already addressed is to be of any value. In other words, in our system in which most public facilities are lacking, we cannot successfully lay claim to enabling environment if we face the challenges in isolation.

Providing one and leaving out the rest is sloppy and ineffective. The least we can do to be successful in this regard is to tackle the problems individually but on a continuous unbroken basis.

This may be hindered by finance but as we all know, the problem of Nigeria is not lack of finance but the inability of those charged with the responsibility of managing our finances to effectively utilize what we have. The debate of this topic has long been settled.

However, no amount of enabling environment or provision of social overhead capital will take the place of the peoples’ capacity to think, as they say in business schools, out of the box. The people must accept that it is their duty and not of government to envision and think themselves out of the various challenges they confront.

Therefore, the onus is substantially on the people to think, innovate and exercise their humanly possible capacity to advance the wellbeing of society. Nigerians appear to have woken up to this great challenge.

We must therefore look again at our educational and training institutions, as well as our funding institutions and partners to adequately support this trend of progress.

Send reactions to: comment@businessdayonline.com

What provision do our political candidates have for women’s rights in their mandates? years of age) and more than one in three—or some 250 million—were married before 15.

Despite the global prevalence of violence against women, many cultures still view and treat women as inferior or as second-class citizens and consequently the level of genderbased violence continues to rise. What makes the situation even direr is the taboo and perceived shame attached to it. Survivors of violence are blamed, victimised further and ultimately discouraged from coming forward because there are limited structures and support in place. Recently in Nigeria, women activists came together to mourn and strongly condemn the death of Ochanya Elizabeth Ogbanje, a 13-year old girl who died as a result of prolonged sexual abuse and violence perpetrated by her uncle and his son since the tender age of 8. Her death was painful because she had her whole life ahead of her but sadly it was cut short because the system failed to protect her.

Why is advocating for an end

to violence against women and girls important now? Come 2019, Nigerians will go to the poll to elect leaders at all levels. In the run-up to the political transition aspirants are busy campaigning and highlighting their manifestos if elected. A key feature of all concerned (both aspirants and citizenry alike) should be the prioritization of gender equality at all levels because of the numerous benefits it provides. For instance, prioritizing equitable gender agenda ensures that adequate policies and structures are clearly budgeted for, laws that support the end of child marriages, abuse and violence are promulgated while programmes that economically empower women are headlined. Prioritising gender equality will move Nigeria closer to meeting the UN Sustainable Development Goal 5 which calls for the “ending of all forms of discrimination against women and girls, a basic human right, crucial to accelerating sustainable development.” This is particularly true given the multiplier effect empowering girls and women has on the community,

contributing to economic growth and social development.

Zonta Club of Lagos 1 calls for political candidates to prioritise gender equality in their mandates, and to highlight and discuss the plans they have to promote gender equality if elected. We also call for more civil society organizations to participate in the campaign for gender equality and to advocate for the rights of women.

Cases of violence against women need to be treated with the importance it deserves. In the world of business, women are represented in the informal sector of the economy, naturally because of the flexibility this provides, but if we are serious about including women in leadership, in the formal sector, advancing the cause of women, then we need to prioritise in addition with gender equality, more flexible working arrangements for women, more inclusive society where women are seen as equal contributors, levelling up the workplace environment where women have to leave employment when they become mothers, and

also contributing to easing the return to work for women, after work.

We call for an end to the discrimination against women, the systematic instances of violence and for the situations where this occurs to be met with the most serious application of the rule of law. We also call for more significant representation of women in public offices as this is vital to the development of any nation.

• “Zonta Says NO to Violence Against Women campaign” was launched in 2012, the campaign has raised awareness of the global pandemic of women’s rights violations and has united Zonta clubs worldwide in conducting impactful advocacy actions to fight violence against women and gender inequality.

Join us on @zontalagos from November 25 to December 10. #ZontaSaysNo and share your stories of how you are participating in the campaign.

Send reactions to: comment@businessdayonline.com

Friday 14 December 2018

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Editorial Publisher/CEO

Frank Aigbogun editor Anthony Osae-Brown DEPUTY EDITORS John Osadolor, Abuja Bill Okonedo NEWS EDITOR Patrick Atuanya EXECUTIVE DIRECTOR, OPERATIONS Fabian Akagha EXECUTIVE DIRECTOR, DIGITAL SERVICES Oghenevwoke Ighure GENERAL MANAGER, ADVERT Adeola Ajewole ADVERT MANAGER Ijeoma Ude FINANCE MANAGER Emeka Ifeanyi MANAGER, CONFERENCES & EVENTS Obiora Onyeaso SUBSCRIPTIONS MANAGER Patrick Ijegbai CIRCULATION MANAGER John Okpaire DIGITAL SALES MANAGER Linda Ochugbua

BUSINESS DAY

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On importation of accidented and damaged cars

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igeria’s car sales have been shrinking in the last four years.

For instance, Total number of new vehicles sold in 2016 was only 36, 000, lower than the 48, 000 sold in the previous year of 2015. For 2017, the figure was a little less than 10, 000.

With an estimated population of 200 million, only about 10,000 new cars will be sold in Nigeria to both individuals and corporates.

This ranks Nigeria as one of the worst places on earth to sell new cars, an irony considering that Nigeria is Africa’s largest economy.

Based on the 2016 data, South Africa, which boast of less than one third of Nigeria’s population and is the second largest economy on the continent, records the largest number of “light vehicle” sales in Africa, with about 561, 000 cars sold in the country in 2016, which is about 11.7 percent lower than the 590,000 cars sold in 2015. It ranked 23 in terms of global auto market sales

down from 21 in 2015.

Egypt, Africa’s third largest economy, which has about half the population of Nigeria is estimated to have recorded 217,000 new car sales in 2016, down by 20.8 percent from the about 274,000 sold in 2015.

The drop in car sales in Egypt pushed the country’s global ranking to 40 in 2016 down from 33 in 2015. There were about 164,000 “light vehicles” sold in Morocco in 2016 up from 132,000 in 2015. This improved Morocco’s ranking on the global auto market sales market to 45 in 2016 from 49 in 2015. Morocco has a population of just about 35 million people, which is about one fifth of Nigeria’s population.

Another North African country, Algeria, with a population of just about 40 million, recorded new vehicle sales of 129,000 in 2016 almost 50 percent down from 256,000 in 2015. Among the top 100 auto markets in the World, only Kenya ranked lower than Nigeria with its sales record of 13,000 cars in 2016. Now, based on car dealers’ projection, Nigeria is going to likely

fall behind Kenya and out of the top 100 auto markets in the world in 2017.

Dwindling car sales in Nigeria has been fuelled by rising inflation and weaker naira which has led to a fast rise in car prices across the country.

A recent report by BusinessDay shows that a brand new 1.6 litre Engine Kia Cerato automatic transmission saloon car, which used to sell for N3.6 million in early 2015 is now selling for N9.54 million.

A base model Toyota Corolla, one of the most preferred brands for many Nigerians, which used to sell for N4.45 million three years ago now sells for N18.9 million.

Even corporates that used to be the biggest buyers of cars in the country for staff and business activities have since cut down on their demand, monitising it for their staff and outsourcing car services.

More unfortunately, even Tokunbo or second hand vehicles are now going out of reach of most Nigerians. Due to the automotive policy that increased tariff on imported cars to 70 percent, most

(about 70 percent) vehicles imported into the country (through the seaports) are now very old and accidented vehicles to avoid the punishing tariffs and levies. A visit

by BusinessDay to one of the terminals at the Tin-Can Island Port, Nigeria’s foremost roll-in, roll-out terminals for the importation of vehicles, most vehicles brought in by vessels were mostly low quality and damaged vehicles.

Meanwhile, the reason for the imposition of the punitive tariff has not happened.

The lack of effective demand for new cars has stymied any plans of establishing vehicle assembly plants in Nigeria by car manufacturing companies.

The rational thing for the government to have done was to do away with the tariff but that is yet the happen.

The implication is that the country is being turned into a dumping ground for used, old, accidented and vehicles and scraps. The economic, social, health and human costs of this foolery will be with us for a long while.

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MoneyInsight

Personal Finance: Investing Retirement

Taxes

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Financing

Control Risks predicts ‘new world order emerging in 2019’ …As US-China trade rift lingers CALEB OJEWALE, With Wired Reports

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ontrol Risks, the specialist global risk consultancy says that a US policy of China containment is set to emerge as a pillar of the new world order in 2019.

The forecast comes in Control Risks’ annual RiskMap, a political and security risk forecast for business leaders and policy makers across the world, published this week.

Richard Fenning, CEO of Control Risks, said: “In 2019, what started as a trade war will ultimately harden into a more permanent stance. The confrontation on trade between the United States and China will become the defining geopolitical dynamic.

“This antagonistic relationship will complicate life not only for businesses in China and the US. Companies in a wide orbit around this stand-off will feel the political and economic impact,” added Fenning.

Top Five Risks for 2019The assessment of the US China dynamic tops Control Risks’ list of Top Five Risks for business in 2019. In data governance and post Midterm politics respectively, Chinese and American dynamics inform the top tiers of the 2019 forecast.

The risks posed to business by extreme weather sees climate change push its way on the list for the first time.

The continuing surge of nationalist politics across the globe means that the Top Five Risks are rounded off by the prospect of globalised companies finding themselves increasingly nationless.

US-China trade rift foretells a new global order The confrontation on trade between the United States and China will become the defining geopolitical dynamic of 2019. This antagonistic relationship will complicate life not only for businesses in

China and the US. Companies in a wide orbit around this stand-off will feel the political and economic impact. In 2019, what started as a trade war will ultimately harden into a more permanent stance. A US “contain China” policy could become one of the pillars of a new global order.

The global data switchback ride The stand-off between the three domains of data regulation will present a new level of risk for the international business in 2019.

For China, data is something to be controlled; for the EU, data is something to be protected; the United States sees data as something to be commercialised.

Brace for the challenge of collecting, storing and transferring data within and between these three domains against a backdrop of inconsistent enforcement and

escalating cyber security threats.

American political gridlock The vice of legislative gridlock will close on policy making in Washington and throw the US into a period of pitched political uncertainty. Resurgent Democrats in the House of Representatives will seek to pin the President under an investigative lens. Pushback from a Republican Senate and White House will erase any hopes of consistency for business. Trade policy will remain unchanged; the pace of deregulation will slow.

Foreign policy will remain unsettled and ambivalent in a global environment that requires clarity and resolve.

Extreme weather disruption Some of 2019’s worst business disruptions will not come from terrorist attacks but from extreme weather and its consequences.

From storms to floods to droughts and forest fires, the costs of interrupted production, distribution, sales and travel will skyrocket in 2019. Last year’s record for weather-related insurance claims will likely be surpassed. Extreme weather and all it brings have never been more significant as a business risk.

Multinationals becoming nationless As globalised companies enter 2019, they risk - ironically - becoming nationless as nationalist politics continue to advance across the world. Formal and informal barriers are rising. Frictionless trade is beginning to rub; supply chains are starting to drag.

Business leaders must re-calibrate and adapt to this new reality or global players will end up being played by a world in uncertain transition.

Spacefinish unveils new innovative office space for Renmoney National speaking competition develops oration skills in students

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enmoney recently announced that it had partnered with design firm Spacefinish to design its new Headquarters and flagship sales branch.

The new office space is themed around enabling productivity as well as better collaboration among RenMoney employees.

From a train converted into an alternative workspace to beautiful lights dangling from the ceiling, Spacefinish brought a number of creative displays to life in the new workspace, following its vision described as creating offices that drive innovation, collaboration and productivity.

“It is amazing to see companies pay attention to their office spaces, this makes me very happy. Over the past year we have been able to build some iconic office spaces in Africa, working with innovative companies on executing their vision. Our big challenge each time is making sure we deliver a space that is different and innovative, something that hasn’t been seen before,

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and I think we did that with Renmoney” said Remi Dada, CEO, Spacefinish.

By researching how employees at Renmoney worked and communicated, Spacefinish says it was able to create a space that was tailored to meet both employees and client’s needs.

The life size train converted into a workspace was designed to represent the momentum of a locomotive, which is in line with RenMoney’s dedication to continue to move the financial sector forward.

On the ingenuity of the space, Dada adds “The Renmoney HQ is our most innova-

tive workspace yet, designed to drive heightened levels of productivity for the Renmoney team, and inspire them to be more innovative. My favourite feature is the Renmoney Train.

We’ve made the booth seats in the train so comfortable you’ll want to ride in it!”

Spacefinish, which is carving a niche for itself in creating offices that drive innovation, collaboration and productivity in workplaces, is responsible for innovative offices such as Google, Andela, and Venture Garden Groups’ Vibranium Valley.

alented young orators were in evidence at the first National Youth Speaking and Leadership (NYSL) public speaking final competition held recently in Lagos.

A total of nine schools were represented by their students, giving speeches in front of an audience comprising family, teachers, friends, administrators, and other students.

The participating schools were Oxbridge Tutorial College, Greensprings (Anthony), Temple School, Lead City International School, ST&T Regency College, Queensland Academy, Childville School and CEDEC International School.

Two students; Ajetunmobi Morayo from Greensprings School (Lekki), and Doyinsola Ogunshola, a student of Vivian Fowler Memorial College, were the shining stars, emerging winners in both prepared and impromptu speeches category respectively, with Morayo going home with N50, 000 cash prize.

The competition, which as the endorsement from Association of Private Educators of Nigeria (APEN), according to the organizers Florence Olumodimu and Victor Ajufoh-Obi the Managing partner of Web and Work Systems Limited, was aimed at encouraging students to be bolder and level up with required standards during interviews in the local and international platform.

A social entrepreneur and

founder of Life Developer Network Olumodimu who is also a distinguished Toastmaster added that her passion for communication and leadership is the force behind the competition.

“These are young people and we want to get them thinking about how they can be solution providers, making a difference in their community and country instead of complaining. I look forward to training more students and have them teaching their colleagues. This ripple effect can help us train about 10,000 students in 10 years, so far we have trained over 500” she added.

Winner of the Prepared Speech category, Ajetunmobi Morayo from Greensprings School (Lekki), said she was looking forward to winning and she felt accomplished in spite of having limited time to prepare.

“There were two of us from my school that could likely speak and I was finally decided on two days to the event, even though others had a week to prepare. I took note of relevant information and worked diligently on it. I am grateful to my mum for teaching me confidence,” she added.

Winner of the Impromptu Speech and First runner-up for the Prepared Speech, Doyinsola Ogunshola, a student of Vivian Fowler Memorial College, expressed her excitement for winning in the two categories and also having the privilege of learning from the other contestants.

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Cryptocurrencies bring new fears, opportunities for Nigerian banks A

nother bank in Nigeria distributed an anti-crypto e-mail to its customers. This one was a bit different, though. For the first time, I think, the bank threatened to impose restrictions on accounts discovered to be transacting in cryptocurrencies, including the “closure of such accounts”. The bank rationalised the decision by stating that “the Central Bank of Nigeria (CBN) has advised that cryptocurrency is not a legal tender in Nigeria and has cautioned against transacting in them.”

I found this a bit funny. The USD is not legal tender either. In fact, the Central Bank, in this press release, also advised that foreign currencies are not legal tender in Nigeria and cautioned against transacting in them. Yet, your account is not at risk if you buy or sell foreign currencies, and the banks even hope that they can be the intermediary for your forex transactions. This defeats the “legal tender” argument.

The newsletter went further to state that these account restrictions will be imposed “in order to guarantee the security of our customers’ funds”. That is rich. You can buy literally anything with your money: alcohol, cigarettes, Bet9ja ticket with 13:1 odds against Arsenal, church tithes, foreign currency, treasury bill, anything, but the bank will like to guarantee the security of your funds by making sure you are not able to buy or sell cryptocurrencies because they have special account-depleting attributes.

This makes no sense to me.

Cryptocurrencies, like the USD, or seashells, might not be legal tender in Nigeria, but they are not illegal properties. While banks have the right to terminate its relationship with any category of customers for any reason, they should really evaluate and be honest with their motivations.

The people who understand or hold cryptocurrencies have a clue, but the banks need to do a self-assessment and come up with sincere reasons themselves because it certainly is not coming from their concern for the integrity of their customers’ bank balances. The deposits in the vaults are not even guaranteed beyond the N500, 000 (±$1,400) covered by the deposit insurance scheme.

The Nigerian Naira does not lose value against itself (theoretically), that is why 1 Naira remained 1 Naira even though it lost half its value against the USD during the last election cycle.

Likewise, 1 Bitcoin is 1 Bitcoin, and 1 gold bar is 1 gold bar, regardless of what they convert to in USD at any point in time.

It is possible to record a loss if you purchase the Naira (forex trader), Bitcoin (crypto trader) or Gold (commodity traders) as an investment instrument, and every adult is within their rights to assess their individual risk profile and make investment decisions. Irrespective, my guess is that most Nigerians are not buying or selling cryptocurrencies as investments.

For institutions with such incredible resources, I am always surprised about how little they understand of the emerging industry. The technology encourages extremely convenient peerto-peer transacting. This means that if players are aggressively excluded from the banking system, the peer-to-peer (or shadow/black) market will simply thrive more easily. This is good for

cryptocurrencies as a whole in the long term, but it is unfortunate for both the banks and regulatory authorities.

The banks will lose an opportunity to capture a bit of the value from the growing trading volumes, and the authorities will find it even more difficult to measure and follow the flow of funds. This phenomenon can be observed whenever there’s a major lack of supply of (or embargo on) forex at the banks, which increases trading activity on the streets.

I am sure the regulators also understand how difficult it is to tame an active peer-to-peer market based on recent experiences with Ponzi schemes like MMM in Nigeria. The wise thing to do will be to encourage transactions within the system so

that existing Know Your Customer/ Anti-Money Laundering monitoring systems at the bank account level can simply be extended to crypto transactions. People won’t stop transacting; however, banks and regulators can choose whether or not they want to know who is transacting, what they are moving and possibly where, by encouraging platform-based transactions, versus P2P. Nigeria is one of the most active markets in the world for cryptocurrency transactions for many reasons.

By virtue of nationality alone, Nigerians are excluded from participating in the global economy at any meaningful level. Try sending $5,000 from the US to Ibadan in 12 hours as a Nigerian.

An average person still struggles to pay and be paid internationally and we bear some of the highest costs and scrutiny in the world for whatever transactions we manage to successfully execute. Through the miracle of technology, cryptocurrency wallet addresses are not assigned nationalities, and the implication of that alone is that crypto will continue to thrive in markets like Nigeria.

Banks and authorities need to understand that participants in the cryptocurrency space are not under any illusion that it is “legal tender”. They understand that it is simply acceptable tender to whoever chooses to accept it, like any other piece of property, and its value is determined by how much people want it at any given time.

The only way cryptocurrencies will threaten the legacy financial system is if they remain and thrive outside of it.

Let us play the long game.

Laolu Samuel-Biyi, is a partner at Hacked Capital and director at SureGroup

African Governance Report calls for better management of natural resources CALEB OJEWALE

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he African Governance Report 2018 has called for better management of the continent’s natural resources to match the expected yields generated by the African Continental Free Trade Area (AfCFTA).

The report, titled ‘Natural Resource Governance and Domestic Revenue Mobilisation for Structural Transformation’ was launched at a special plenary session held on Tuesday 4 December during the African Economic Conference, in Kigali, Rwanda.

The African Governance Report is produced by the Economic Commission for Africa (ECA) and examines efforts made to improve the governance of Africa’s natural resources.

If well managed and sustainably exploited, natural resources have the potential to drastically improve domestic revenue mobilization and promote economic

diversification across Africa, the report states. It shows that while Africa is endowed with diverse natural resources, including land and water for agriculture, forests for wood and non-wood forest products, and minerals, oil and gas for mining, many of the gains do not benefit all citizens, but only a few interests, including those of international multinational corporations.

“There is an urgent need to sustainably manage Africa’s diverse natural resources, including land and water for agriculture, forests, minerals, oil and gas,” said Adam Elhiraika, ECA Director of the Macroeconomic Policy Division.

He added, “Direct exploitation of natural resources has dominated economic activity, and the most common strategy of exporting commodities across Africa has been in raw form. We need to find a solution to this by insisting on value addition to our natural resources in order to generate

more income for our people.”

The report also urges governments to strengthen policies, legal frameworks and institutions in respect of the management of natural resources in order to create viable economic and employment opportunities for citizens.

“Natural resources can be a blessing if the institutions

charged with their management are responsible and free of corruption. It has been witnessed across the continent that natural resources such as minerals and oil can become a curse to the population, but this can be resolved by deliberate and organized exploitation,” said Alan Hirsch, Director of the Graduate

School of Development Policy at University of Cape Town.

During the session, Hirsch noted that better management of resources will avert much of the damage to agriculture and natural resources that is caused by climate change and adverse weather effects, thus benefitting farmers and the majority of Africans that depend on natural resources for their livelihoods.

The African Development Bank’s African Natural Resources Centre boosts the capacity of African countries to achieve inclusive and sustained growth from natural resources by providing practical knowledge and expertise, advisory services, technical assistance and advocacy for improved and transparent management of renewable and non-renewable resources. The Centre can also assist African countries to maximise development outcomes derived from managing natural resources.

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BUSINESS DAY

Harvard Business Review

Friday 14 December 2018

ManagementDigest

Brazil’s new president isn’t even in office yet and he’s already damaged our health care Vanessa Barbara

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UR PUBLIC HEALTH SYSTEM IS A JEWEL. CAN IT SURVIVE FOUR YEARS OF RECKLESSNESS? SÃO PAULO, Brazil — A few weeks ago, the Cuban government announced it would withdraw from the Brazilian medical program Mais Médicos, which sends doctors to remote, underserved areas in Brazil. It’s estimated that millions of citizens could be deprived of primary health care after the departure of roughly 8,600 Cuban doctors from the country.

The decision was prompted by demeaning remarks made by Brazil’s right-wing president-elect, Jair Bolsonaro.

Bolsonaro has repeatedly questioned the qualifications of Cuban doctors: “We have no proof that they are really doctors and able to take on these functions,” he said recently. This is false: All foreign doctors working for the program need to present their degrees and their licenses to practice medicine abroad. However, they are exempt from taking a national exam to revalidate their degrees while serving in the program; Bolsonaro intends to remove this dispensation. He has also repeatedly questioned the ethics of Cuba’s doctors-abroad program, saying that the doctors should be able to bring their families to the country and that they should receive their full wages directly from the Brazilian government. (Because all Cuban doctors work for the state, the government keeps around 70% of their salaries, and families are only allowed to visit them.)

Bolsonaro’s objections are both idealistic and ideological: He may well want to see Cuban doctors get paid, although it’s difficult to believe that these humanitarian impulses don’t have something to do with his feelings toward Cuba’s Communist government. Perhaps, to some his requirements will even seem reasonable. But the problem is that the Cuban government, which understandably took Bolsonaro’s comments as “derogatory and threatening,” has already begun bringing health care workers home. As a result, Brazil’s indigenous population will reportedly lose 81% of its doctors. More than

Cuban doctors heading home in Brasilia last month, after criticism by President-elect Jair Bolsonaro of Brazil prompted Cuba’s government to sever a cooperation agreement.CreditCredit

1,500 municipalities could be deprived of all medical assistance.

(As of late last month, the Health Ministry said it had filled many of the vacancies, though it was not clear that new doctors would be prepared to go into rural areas.)

Through his remarks, Bolsonaro, who has not yet taken office, has managed to damage a program that has been praised by two independent bodies and by the United Nations Office for South-South Cooperation for having “contributed to a lower infant mortality rate and a decrease in hospitalizations as a result of the availability of primary health care.” He has no plan to patch things up. Indeed, this may be the first official demonstration of Bolsonaro’s style of government: strong opinions, but no actual solutions. And when it comes to our health care system in particular, this style of governance is dangerous.

In Brazil, health care has been a right for every citizen and a duty of the government since the adoption of the 1988 constitution. Our Unified Health System, better known as SUS, or Sistema Único de Saúde, provides full medical care, free, for everyone. Universality and equity are the system’s two basic principles.

SUS is impressive, though, of course, it’s far from perfect: Hospitals and health centers are usually crowded, and ill-equipped to respond to the ever-increasing

demands. There are often long waiting lines for exams, surgeries and appointments; patients have died in hospital corridors or while waiting to see a doctor. That’s why 24% of Brazilians pay for private medical insurance, according to Brazil’s regulatory agency for private health insurance. Others rely on low-cost clinics or pay extra for appointments and treatments.

But it does matter that health care is considered a right, rather than a privilege. People persistently demand higher standards of care, because that’s their constitutional prerogative. And though the quality of the services provided may be uneven, there have been many examples of great benefits obtained through public expenditure. Thirty years into the creation of SUS, we already have some excellent projects to showcase.

A good example is our national immunization program, one of the best and most complex in the world. It offers 19 vaccines free for children, adolescents, adults and seniors, including pregnant women and people with special health conditions (such as allergies or low immunity). From 2002 to 2012, the program reached an average coverage level of 95% among children for most vaccines. It helped eradicate smallpox in 1971, and polio in 1989. It is also finding its way to a state of self-sufficiency: Most vaccines are produced in national laboratories, thus ensuring

a stable and affordable supply.

Every month I walk half a mile to vaccinate my baby daughter; we are always promptly assisted by a nurse. The service is efficient, reliable and friendly. I myself have a duly filled, lifelong vaccination record to boast about.

Another area of excellence is our organ transplantation system.

Brazil maintains the largest public program in the world, with about 27,000 transplants performed last year — 96% of them carried out

by SUS. In number of transplants, we are second only to the United States.

A friend of mine has familial amyloid polyneuropathy, a rare disease in which the liver produces abnormal proteins that accumulate throughout the body. It leads to serious sensory, motor and autonomic nervous system impairments, and can become fatal 10 years after the onset of symptoms.

She lost her mother, grandmother and one uncle to the disease.

But now it’s different: When she started to feel ill five years ago, she joined the waiting list for a liver transplant. Months later, she underwent surgery in a state-of-theart hospital and received a new organ. Everything was financed by SUS, including post-surgical treatment with immunosuppressants and follow-up appointments.

Brazil’s SUS is also internationally renowned for starting a pioneering HIV program that has

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provided free universal access to antiretroviral therapy for all patients since 1996. The project has drastically reduced AIDS-related mortality and morbidity, including mother-to-child transmission of the virus.

What does Bolsonaro say to all this? He’s been dismissive, not only of the efficiency but the quality of our health care system. His proposals for reforms have been contradictory. He claims there will be no increase in the public health budget, but then proposes costly innovations like implementing a national clinical data registry and creating a federally funded career path for doctors. He has also suggested that clinicians in the private sector could be incorporated into the public health service, a change that would require the use of subsidized reimbursements. This is not necessarily bad, but it would be costly — and most important, Bolsonaro doesn’t seem to have a clue on how to accomplish any of it. But as his remarks about Cuban doctors show, that would hardly stop him from stumbling in and ripping apart what’s currently working.

It is clearly worth working to preserve SUS. We cannot lose what we have accomplished so far.

If our president-elect is fine with losing the services of thousands of Cuban doctors, he needs to find a new way to deploy good medical professionals to the most underserved areas of our country. And if he doesn’t have all the solutions for improving health care, at least he should make the commitment to maintain public spending while seeking to improve efficiency — in other words, to not make things worse.

The foundations for great public health care in Brazil are already in place. It only takes political will to maintain and expand this remarkable system. Let’s hope it can survive the next four years.

Vanessa Barbara, a contributing opinion writer, is the editor of the literary website A Hortaliça and the author of two novels and two nonfiction books in Portuguese.

BUSINESS

Friday 14 December 2018

COMPANIES & MARKETS

DAY

17

SAHCO to diversify revenue through hospitality, logistics

Pg. 18

C o m pa n y n e w s a n a ly s i s a n d i n s i g h t

SERVICES

Investors worry over C&I Leasing share consolidation LOLADE AKINMURELE

S

hares of the C & I Leasing Plc have tumbled 8 percent since the operating and finance leasing company said it secured regulatory approval Nov. 11 for a stock consolidation, wiping out some N200 million from the company’s market value.

C & I Leasing shares fell to N1.78 Wednesday Dec.12 from N1.94 Dec. 10 before the approval was secured. That saw the company’s market value shrink by 5 percent to N3.4 billion from N3.6 billion, according to the Nigerian Stock Exchange (NSE) data, as investors digested news of the share consolidation exercise which will last till Dec 27.

A share consolidation is the same as a reverse stock split, whereby a company reduces the total number of its outstanding shares in the open market.

In C &I Leasing’s case, for every four ordinary shares held by existing investors they get one consolidated share.

That would reduce the firm’s share capital by 75 percent to 404.3 million from 1.6 billion shares.

For investors in the company, it affects the volume of their stock holdings and not the value. It means if they held a million units of shares valued at N2 each for instance, the aggregate value

remains N2 million after the consolidation exercise but the volume is down to 250,000 units.

Generally, a stock consolidation is not perceived positively by the market participants.

It could indicate that the stock price has gone to the bottom, and the company management is attempting to inflate the prices artificially without any real business proposition.

That may not necessarily be the case with C & I, whose share price has rallied against all odds this year.

The company’s share price is up 37.98 percent since the start of the year, outperforming the broad index which is down some 19 percent over the same period. The return ranks C & I as the 7th best performing stock on a year to date basis. Sterling bank tops that list with a 72 percent year to date gain.

The stock sell-off may be ill advised and poorly timed, some analysts say.

A share consolidation often causes the share price to increase proportionally. That means C & I could be priced as high as N7.12 per share at the end of the consolidation, given the current price of N1.78.

Companies do share consolidation for a number of reasons.

One is to have a higher share price so that institutional investors and mutual funds

Source: Bloomberg that have policies against taking positions in a stock whose price is below a minimum value are able to invest in the firm.

By reducing the number of shares, companies at times aim to reduce the number of shareholders which allow them to come under the purview of their preferred regulator or preferred set of laws. Companies that want

to go private may also attempt to reduce the number of shareholders through such measures.

Companies which are planning to create and float an independent company created through the sale or distribution of new shares of an existing business or division of a parent company may also use share consolidations to gain attractive prices.

In C & I Leasing’s case, the exercise is being done to “allow the company to have enough unissued shares to accommodate future plans to raise capital through the equity capital market,” the company said in a filing at the NSE. It added that, “The additional capital will be used to finance the company’s expansion plan, extinguish

some liabilities and enhance the company’s capital mix.”

C&I Leasing, one of the best performing stocks year to date, said Tuesday that it obtained a “No Objection” from the NSE to its proposal to reduce the company’s issued and paid up share capital by consolidating every four (4) ordinary shares currently held into one (1) new share in the company.

The Lagos-based leasing company grew profit after tax by 35 per cent in the first nine months of 2018, according to unaudited results released Tuesday.

Gross earnings jumped 15.6 percent to N19.9 billion from N17.2 billion, while lease rental income rose to N13.9 billion, up by 17.5 per cent from N11.8 billion in 2017.

Personnel outsourcing income increased by 10.4 per cent to N5.0 billion, from N4.5 billion, bringing net operating income to N5.7 billion, up 8.6 per cent from N5.2 billion.

C & I Leasing Plc ended the period with profit before tax (PBT) of N1.3 billion, up 11.4 per cent from N1.2 billion. PAT jumped by 25 per cent to N1.2 billion, compared with N950 million in 2017.

“The result was achieved on the back of increased efficiency from all the business units, as well as improvement in capacity utilisation of both marine and non-marine assets,” Andrew Otike-Odibi, the company CEO said.

INSURANCE

Axa Mansard posts biggest daily loss in 5 yrs after Flejou’s exit OLUWASEGUN OLAKOYENIKAN

T

he shares of Axa Mansard, the biggest insurance company by market capitalisation on the Nigerian Stock Exchange (NSE), Wednesday recorded the biggest daily drop in more than five years to close at N1.80 per share.

The insurer’s share price had been flat for six straight days at N2.00 per share but at the close of trade on Wednesday, December 12, the stock shed 10 percent, its biggest decline in a day since June 25, 2013, to emerge the biggest loser at the local bourse alongside Conoil Plc. The price depreciation, which wiped out N2.1 billion off Axa Mansard’s market value in a day, comes on the heels of the resignation of Frederic Flejou, a Non-Executive Director, from the Board of the insurance firm.

Flejou has been a Non-Executive Director of AXA Mansard

Insurance Plc since January 1, 2015. He served as a Director of AXA Mediterranean & Latin American Region - Madrid, Spain.

The company had on Tues-

Source: Bloomberg

day, December 11 announced that Flejou’s resignation, which took effect from November 30, 2018, was unanimously approved by its Board. But the notice did not impact on the

performance of the stock after the close of trade, indicating the stock neither made profit nor recorded loss for the day.

“The Board and Management of AXA Mansard Insurance

Plc will like to commend Mr. Frederic Flejou for his leadership and overall contributions to the growth of the Company during the period he served on the Board,” the notice stated.

At the current share price, the equity is trading at -38.78 percent below its 52-week high of N2.94 per share and 4.05 percent above its 52-week low of N1.73 per share.

AXA Mansard’s total assets stood at N73.05 billion; placing the company as the secondbiggest insurance company by assets at the local bourse after AIICO Insurance Plc with total assets worth N105.91 billion at the end of the third quarter of 2018.

BusinessDay analysis of the insurance company’s results for the period ended September 30 show that the group grew its gross premium written by 28.09 percent to N28.95 billion in the first nine months in 2018 as against N22.60 billion recorded

Edited by LOLADE AKINMURELE (loladeakinmurele@gmail.com) Graphics: CHINEDUM ONYEMA

in the corresponding period in 2017.

Triggered by a 25.75 percent growth in the firm’s gross premium income to hit N24.71 billion, AXA Mansard recorded 40.64 percent increase in its net premium income to N14.53 billion in the review period.

The profit before tax of the insurance firm also surged between January and September, 2018 to reach N3.36 billion; this is 18.20 percent higher than N2.84 billion achieved in the same period last year. However, the profit was chopped off by a 238.42 percent increase in its income tax expense, causing the company’s post-tax profit to rise paltry by 0.61 percent.

AXA Mansard Insurance Plc offers insurance, financial advisory, portfolio and risk management, and investment consulting services. The company was incorporated on June 23, 1989 while it got listed on the NSE on November 19, 2009.

18

BUSINESS DAY

C002D5556

Friday 14 December 2018

COMPANIES & MARKETS BANKING

Zenith Bank announces Tela’s resignation, emerges most traded stock OLUWASEGUN OLAKOYENIKAN

F

ollowing the expiration of tenure of office of Baba Tela as an Independent No n - E x e c u t i v e D i re c t o r of Zenith Bank, a top tier Nigerian lender, the bank’s Board of Directors has approved his retirement from the Board.

Tela’s retirement, which took effect from October 2, 2018, marked the end of the for mer Dire ctor ’s almost 12-year tenure of office, according to a notice sent to the Nigerian Stock Exchange (NSE) by the bank on Wednesday.

The Zenith Bank’s former Independent NonExecutive Director had joined the ser vice of the G r o u p o n Ju l y 1 7 , 2 0 0 7 after serving as a Senator of the Federal Republic of Nigeria between 2002 and 2007.

“The retirement has been approved by the Board of Directors at its meeting of November 15, 2018,” the tier-1 bank stated.

Bu s i n e s s D ay a na l y s i s revealed that the equity’s share price lost 0.43 perc e n t We d n e s d a y a t t h e close of business on the floor of the NSE to close at N23.05 per share, caus-

ing its year to date loss to worsen to -10.10 percent.

The bank has lost as much as N81.32 billion in market value this year, l a r g e l y d r i v e n by r i s i n g political uncertainties in Niger ian markets ahead of the 2019 general elections and increased fore ig n i nv e s t o r s’ ap p e t i t e to take advantage of investment opportunities in developed nations like the United States of America a s c o u n t r y ’s a p e x b a n k continued to raise its interest rate.

Meanwhile, the recent price depreciation led the equity to trade at -31.21 percent below its 52-week high of N33.51 per share and 17.60 percent above its 52-week low of N19.60 per share.

A l s o , Z e n i t h B a n k ’s turnover fell marginally even as it emerged the most active stock by value and volume after the close o f t ra d e o n We d n e s d ay .

The value and volume of i t s s h a re s t ra d e d w e a kened by -1.86 percent and -5.07 percent to N1.32 billion and 55.34 million units from N1.35 billion and 58.30 million units recorded on Tuesday, respectively.

Similarly, the bank, which is widely adjudged

Toyin Badeji, Business Development Manager, Visa West Africa; Kemi Okusanya, Vice President, Visa West Africa; Ebehijie Momoh, Head of Retail Banking, Standard Chartered Bank Nigeria Ltd (SCBN); Arinola Adeleye, Product Manager - Lending Products, SCBN and Yetunde Obrimah, Head, Client Experience ,Process and Governance, SCBN at the recent Visa, StanChart unveil 360° Rewards Platform for Credit Card holders’ launch event last week in Lagos.

as one of Nigeria’s biggest lender, recorded a decline of 10.66 percent in its gross earnings to N474.61 billion in the first nine months in

AVIATION

2018 from N531.27 billion achieved in the same period in 2017.

However, its profit before tax rose by 9.67 per-

cent to N167.31 billion in the period ended September 30, 2018 as against N152.55 billion recorded in the corresponding peri-

od in 2017, while profit after tax grew from N129.24 billion in 2017 to N144.18 billion in 2018 during the period under review.

MARKETS

SAHCO to diversify revenue through hospitality, logistics Would OPEC’s proposed production cut affect Nigeria’s oil sector? …plans partnership with Marriott Hotel Endurance Okafor

S

kyway Aviation Handling Company Plc. (SAHCOL) plans to go into hospitality, logistics and other sectors in order to diversify its revenue sources.

Olaniyi Adigun, Executive Director, Sales & Marketing disclosed in response to BusinessDay questions during SAHCOLs Facts Behind the Offer, held at the Nigerian Stock Exchange.

Adigun said SAHCOL planned to go into the hospitality business, and was mulling a partnership with Marriott Hotel.

“We are looking at hospitality, logistics and even Forex. In the hospitality space we are coming out with Marriot Hotel which is owned by Sifax core investor, Taiwo Afolabi,” Adigun said.

He added that there was synergy between Marriot and SIFAX. “At least it is the first time an airline

company in Nigeria is having this kind of partnership. Our model will be like that of Dubai- integrated services.”

SAHCOL made an aftertax loss of N25.38 billion in Q1 2018, according to its financial records. The company blamed the poor performance on the drop in cargo carriage transactions resulting from China’s festival period in February.

A BusinessDay survey revealed that the air transport company depends majorly on revenue generated from its cargo division.

SAHCOL is fully owned

by SIFAX Group and was incorporated as an aviation ground handling service provider under the Nigerian Company & Allied Matters Act of 1990.

The Lagos-based company was formerly known as Skypower Aviation Handling Company Limited before it was privatised and handed over to the SIFAX Group on December 23, 2009. It was carved out of the defunct Nigeria Airways

Israel Odubola

as part of the Nigerian government’s Ministry of Aviation reform of 1996.

Part of the share purchase agreement when the company was handed over to the SIFAX group required that after sometime, some shares of the company would be sold to the public, sources familiar with the transaction told BusinessDay. SAHCOL plans to raise N1.8billion through an Initial Public Offer (IPO) of 406,074,000 units of ordinary shares of 50 kobo each at N4.65 per share.

Basil Agboarumi, Managing Director, SAHCOL confirmed that “the Skyway Aviation Handling Company Limited (SAHCOL) is going public. The need to go public was part of the share purchase agreement that we had with Bureau of Public Enterprises, which is the government.”

SAHCOL is involved in all the actions that take place from the time an aircraft touches down on the tarmac to the time it is airborne.

I

n an attempt to stabilize the price of oil, which has been fluctuating rapidly in the past few months, the Organization of Petroleum Exporting Countries (OPEC), after the review of technical reports submitted by the Joint Ministerial Monitoring Committee, Joint Technical Committee, OPEC Secretariat and Economic Commission Board, mandated its members to cut their daily production by 1.2 million barrels per day. This production cut will be effective between January and April, 2019. OPEC member states are expected to contribute 800, 000 barrels per day of the cut, leaving the remaining 400, 000 to nonOPEC members.

Data from the National Bureau of Statistics showed that things have not really augured well for the oil sector. Oil production in the third quarter jumped to 1.94 million per barrel, up from 1.84 million per barrel from the previous quarter, indicating a quarter-on-quarter growth of about 0.5%. For the yearon-year comparison, oil production dropped from 2.02 million per barrel in the third quarter of the previous year (2017) to 1.94 million per barrel in the third quarter of the current year.

Following the declaration of production cut policy by OPEC; Nigeria’s daily production is projected to decline to 1.71 million in January, 2019, by Nigeria’s representative in OPEC, Mele Kyari.

What comes to mind is how the oil sector would fare in the period of production cut. Another thought that comes to mind is whether Nigeria will be given exemption from production cut as the Africa’s largest oil producer was excluded from output cut between January, 2017 and June, 2018. This time around the country will not be exempted from the deal. In the words of Ibe Kachikwu, Minister of State for Petroleum Resources, “We did not ask for exemption, we wanted to make sure everyone share in the pain.

If some happenstance occurred, you are expected to come back to request for exemption”.

There have been a lot of pessimism from Nigerians concerning what would happen to oil sector in Nigeria, considering the fact that the sector’s contributions to the gross domestic product is short of 10% between the first quarter of 2017 and third quarter of 2018.

The major benefits of production cut are to strengthen oil market and to ensure oil price gain stableness. However, the consequential effect of output cut, which majorly would be decline

in revenue, is projected to have mild impact on the economy as Nigeria’s allocation in the cut of 800, 000 barrels is 40, 000 barrels, which is just 5%.

The improved economic diversification policies of the government, reflected in the domination of non-oil output in GDP between the first quarter of 2017 and third quarter of 2018 is expected to cushion the prospective adverse supply cut might have on the economy. Moreso, according to Mele Kyari, the General Manager of Crude Oil Marketing Division of the Nigerian National Petroleum Commission (NNPC), regular oil production, and not condensates, will be affected by the proposed policy.

It has been long that the country’s quarterly average daily oil production has met the benchmark of 2.3 million barrel.

Data from the NBS showed that average daily production of oil was less than the benchmarked 2.3 million daily barrels between the first quarter of 2016 and third quarter of 2018. Considering the fact that Nigeria is expected to reduce daily production by 40, 000 barrels, which is an infinitesimal fraction of the country’s daily output, production cut would most likely have no impact on the oil sector.

BUSINESS

Friday 14 December 2018

COMPANIES & MARKETS

Business Event

DAY

19

OIL & GAS

Folawiyo’s Enyo retail grows market share in fuel distribution

- Opens new Service Stations in Ikorodu, Ikotun Igando & Olodo Ibadan CHINOMSO ONUOHA

T

he buzzing metropolis of Owode-Onirin in the Ikorodu axis of Lagos State is wearing a new look as a result of the just commissioned ENYO Retail ultramodern fuel station which commenced operations in November 2018.

ENYO Retail & Supply (ERS), founded in 2017 by the Folawiyo Energy Group and its partners has continued their rollout of ultra-modern fuel stations across the country, focusing on busy metropolises with the aim of complimenting the efforts of the government, the NNPC and other government agencies to render efficient and competitive fuel distribution services to the public. ERS stations wear a distinctive shade of blue and a yellow strip on their station canopies with smartly dressed and well-trained personnel eager to serve customers and show off the fruits of company’s investment in training and quality fuels dispensing equipment.

Now known in the industry for the quantity integrity of its stations, ERS’ Owode -Onirin station is a 10 double nozzle pump station capable of dispensing PMS, AGO & Kerosene to up to 4,000 customers per day and is poised to be the most competitive service station in the area opening for up to 20 hours a day.

Commenting at the commissioning of the station, Mr Abayomi Awobokun expressed gratitude to God, the board and staff of the company and most especially their customers for their patronage and belief in the company Abayomi stressed that all locations from Sangotedo, Bariga, Epe, Ipaja, all in Lagos to Kaduna, Kano, Enugu and Ibadan to mention a few states are enjoying impressive patronage as customers continue to respond very positively to the efforts of the company.

Chaired by Tunde Folawiyo, ERS has continued to invest in the downstream sector of the Oil and Gas industry in Nigeria despite its current challenges to underscore the interest of its shareholders in deepening the sector and to create meaningful jobs for Nigerians.

ERS currently owns up to 48 stations across 13 states including the FCT and is supported by Folawiyo Terminals; one of the leading product storage terminals in the country and a large fleet of trucks to boost its operations across the country.

In addition, ERS stations have commenced the roll out of their Vehicle Maintenance business called VEHICON which partners with local and international motor spare part manufacturers to boost the efforts of its trained mechan-

ics to deliver a competitive service to all its customers.

Other products available at ERS stations are Castrol lubricants which it markets and distributes under the license of Eterna Oil Plc and its Liquefied Petroleum Gas (LPG) for domestic use called Superior Liquefied Gas (SL-Gas).

ERS was the exclusive sponsor of the Financial Times Summit dinner earlier in the year during which their CEO outlined the company’s business objectives and growth plan. In addition to this, he explained that the rationale behind their ambitious goal to train up to 5000 auto mechanics over a 5 year period was not only to boost their capabilities as mechanics and technicians but to also deepen their earning capacity thereby improving their chances to establish their businesses and pay more taxes to the government. This program christened MECHTECH has graduated its first set of mechanics in 2018 and is expected to complete another batch before the end of the year. Graduating mechanics are also empowered with tools and seed capital to boost their businesses.

ERS is one of the fastest growing fuels distribution businesses in Nigeria today and is poised to continue its expansion and investment in the sector over the next 2-3 years.

L-R: Folashade Onanuga, director general, Lagos State Pension Commission; Folasade Adesoye, head of service, and Samson Ajibade, permanent secretary, Public Service Office, during the retirement benefit documentation seminar for retiring Lagos State employees in Lagos yesterday.

Pic by Pius Okeosisi

L-R: Abimbola Adeseyoju, chairman,partnershi, strategy and communication committee, Compliance Institute, Nigeria (CIN); Garba Abubakar, director, compliance and litigation, Corporate Affairs Commission (CAC), guest speaker; IbrahimMagu, acting chairman, Economic and Financial Crimes Commission (EFCC); Pattison Boleigha, president, CIN, and Abdullahi Sheu, patron, CIN, during the 2nd investiture and induction ceremony of CIN in Lagos.

GLOBAL

SPAR Nigeria unveils special Christmas gift card

I

n order to ease the challenge of buying the right gift for friends, families and business associate during the festive season, SPAR Nigeria has unveiled a Christmas Gift Card alongside other theme based gift cards to suit every occasion. This was made known by John Goldsmith, the marketing head of SPAR Nigeria in Lagos.

While speaking about the new product, Goldsmith made it known that research has shown that many people have challenges in choosing the perfect gift during festive seasons and special occasions like birthday, wedding, anniversary and others. “We have created these Gift Cards as a means of helping people to give valuable and flexible gifts to celebrants

in accordance to their choices,” said Goldsmith stating the SPAR gift cards are available at the cash counters of SPAR stores across the country.

According to him, “SPAR Gift Cards are a Gift of Choice. The choice of over 10,000 products to choose from SPAR Hypermarket stores across the country. Apart from Choice, SPAR Gift Cards has multiple advantages; can be loaded with any amount above N 5,000, can be used to buy any products from the SPAR Stores, can be used for multiple transaction, can be used across all SPAR stores, convenient to carry, can be bought at one location and delivered across the country, No extra change for the Card to name a few.

“Another important feature primarily targeted at large organisation is

SPAR Gift Cards can be Co-Branded with Logo, Brand Name or Organisation Name.” he stated.

SPAR Nigeria is the leading hypermarket chain in Nigeria with outlets across major cities in Nigeria. The brand has always developed innovative products for discerning Nigerians who desire to have quality products, impeccable service and value addition.

SPAR Nigeria is a part of the global retail chain originating from Holland. SPAR international has given the Master Franchise of the SPAR brand to Artee Industries Ltd for its operations in Nigeria. The brand is spread across Lagos; Abuja; Port Harcourt ; Calabar and Enugu. SPAR caters for the various needs and aspirations of Nigerian consumers.

L–R: Boma Ukwunna, executive director, SAHCO Plc; Oscar N. Onyema, OON, chief executive officer, The Nigerian Stock Exchange (NSE) and Olaniyi Adigun, executive director sales & marketing Skyway Aviation Handling Company Plc during presentation of the replica of the closing gong to both ED’s at the Facts Behind the Offer presentation to capital market stakeholders at the Exchange in Lagos.

L-R: Stephen Haykin, mission director, United States Agency International Development(USAID); Ifeanyi Udeagha, Eze of Amiyu Uhu Community, deputy governor, Abia State, Ude Okochukwu; Commissioner for Public Utilities and Water Resources, Barrister Chidebere Nwoke and Public Affairs and Communication Manager, Coca-Cola Nigeria, Nwamaka Onyemelukwe during the commissioning of Water and Sanitation facilities in Amiyi Uhu community in Abia state.

20

BUSINESS DAY

C002D5556

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COMPANIES & MARKETS PRIVATE EQUITY

Stakeholders discuss need for Compliance and Ethics at UUBO ICE academy DIPO OLADEHINDE

I

n a friendly and educative discussion, leading stakeholders gathered at the Udo Udoma & BeloOsagie 2018 Investigations, Compliance and Ethics (ICE) to discuss the need for compliance and ethics which are critical in enabling business organizations to build and entrench goodwill and profitability.

The event which was helmed by a carefully selected cohort of regional and international experts in the field of Investigations, Compliance and Ethics including Alexander Booth, Associate Managing Director, Business Intelligence and Investigations at Kroll; Tim Newbold, Director, Africa Practice; Adesua Dozie, General Counsel, General Electric and several others.

Tim Newbold Regional director for West Africa at Africa Practice said success at mitigating key risks and preventing escalation into crises is dependent on firm’s ethical position, level of compliance with regulations and laws, corporate reputation and strength of relationship with key stakeholders.

While also advising firms on how to prevent crises situation from emerging Tim Newbold advised firms to build corporate communications and brand positioning strategy that delivers their desired corporate reputation.

“Build a stakeholder en-

gagement strategy aligned to your key issues and risks which is also supportive of your desired corporate reputations; build a business continuity management plan,” Newbold explained at the event.

Adeola Sunmola partner at Udo Udoma and Bello-Osagie who gave tips on how to carry out effective internal investigation advised firms to select an investigation team comprising of either internal parties or extended to external parties which might include forensic and technology experts depending on the nature of the misconduct being investigated.

“Let Employees know that retaliation would be punished and could lead to termination of contract,” Sunmola explained at the event.

Sunmola noted that at the conclusion of an investigation a written report should be issued detailing the steps taken, information gathered, decisions that were made and any relevant actions taken.

Alexander Booth, Associate managing director, Business Intelligence and Investigations at Kroll said there is a current awareness of the impact of reputational damage on investors and multinational companies.

“Investors are aware of the need to defend their reputation as corporate are becoming wiser on the need to remain compliance focused,” Adesua Dozie General Counsel at General Electric Africa said firms can never

L-R: Moses Anite, coordinator human resources, Julius Berger Plc; Zubairu Bayi, executive director, administration JB; Tobias Meleskhus, executive director corporate development JB; and Peter Drillingcourt, corporate manager health safety environment,JB during media executive parley by Julius Berger Plc in Abuja.

Pic by Tunde Adeniyi.

ignore reputational risk because firm’s reputation is their calling card and passport to doing business in the country as compliance is now commercial imperative.

“In terms mitigation against risk it depends on what the terms are or the deals in place, there are many deals structure you can put in place to avoid that however what is most important is knowing who your customer is or knowing the partners you deal with,” Dozie said.

Lola Cardoso Chief Digital and Innovation officer at Union Bank said Banks are required to follow the rule of compliance whether it’s in data or local entity not because

they are financial institution but also for customers benefits both local or Diaspora for transparency benefits.

Bola Otunba, Director of Human Resources at Guinness Nigeria said at Guinness they try as much as possible to move away from localizing our ethics and compliance laws because we want to b e sure when we are looking across the whole story the story are the same.

“Across all organization when the tone from the top is right people who lead the organization live by the example it’s very easy to implement the whistle blowing policy which will go a long way in affecting the operations of the firm,”

Commenting on the Event, Richard Harney, the Managing Partner and co-founder of the Kenya office of leading African law firm, Bowmans, had this to say: “Africa has long been viewed as a continent where carrying out business is a challenge, partly due to inefficiency and corruption.

In recent years, governments across Africa have introduced more and stronger governance rules for the public and the private sectors. This event is very relevant as it demonstrates how effective internal investigations enhance the continent’s rule of law and consequently increase its attractiveness as an investment destination.”

UUBO’s Learning and Engagement Series was established in line with the firm’s strategic intention to serve as a thought leader in the Nigerian legal sector, and a forerunner in the provision of support to current and potential investors, corporate entities and institutions in the local and regional business space.

The first Academy in the Series, the Private Equity Summit and Deal Academy, held in January 2018 with Okey Enelamah, Minister of Industry Trade & Investment and Senator Udo Udoma, Minister of Budgeting and National Planning in attendance, alongside several other statesmen and captains of industry.

Power

San Leon Energy anticipates drilling at OML 18 in next few days DIPO OLADEHINDE

L

ondon Stock Exchange (LSE) listed San Leon Energy has said it expects drilling operations at the Oil Mining License (OML) 18 license, located in onshore Nigeria, to start in the next few days.

OML 18 owned

by Eroton Exploration and Production (Eroton E&P) Company Limited, an indigenous energy

company confirmed that a rig has now been fully positioned at the well site, and is expected to commence drilling in the next few days.

San Leon’s Chief Executive Officer Oisin Fanning said drilling the first new well of Eroton’s operatorship marks the start of a new chapter in the development of OML 18.

“Increasing oil production at the wellhead is an important step in

increasing cash flow from the asset, and I look for ward to providing shareholders with an update on the performance of this new well in due course, in addition to providing further information on further development activities,” Fanning said.

San Leon Energy reported that the rig mobilized to OML 18 onshore Nigeria by Eroton, the operator of the license, is now fully positioned on the well site.

The rig will drill a well on the Akaso field, the first on the concession under the operatorship of Eroton.

Incorporated in August 2013, and began full operations in 2015, Eroton E&P won the bid for the 45 percent total interest in OML 18, previously held by the Shell Petroleum Development Company, Total E&P Nigeria Limited, and Nigerian Agip Oil Company Limited which was then pro-

ducing 10,000 barrels per day (bpd) but later improved to 65,000bpd after Eroton took over.

OML 18 is located in Rivers State in the Southern Niger Delta. Comprising part mangrove swamp, the concession covers 1,035 km2 and contains nine existing fields ; Akaso, Alakiri, Asaritoru, Awoba (straddling OML 18 and OML 24 - governed by an interim unitization arrangement dividing production from

this field between the OML owners on an equal basis), Bille, Buguma Creek, Cawthorne Channel, Krakama and Orubiri (figure 1). Cumulatively, they have produced over a 1 billion bbls of oil/condensate and 1.8 TCF of gas.

Eroton also currently currently provide 50 about million Standard Cubic Foot (SCF) of gas per day to fertiliser plant in Onne area of Port Harcourt for Notore.

Friday 14 December 2018

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Friday 14 December 2018

Strengthening Nigeria supply chain system Ogun records 93% coverage through Warehouse Visibility Project on immunisation

… Upbeat on maternal, infant mortality reduction

ANTHONIA OBOKOH

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n effective supply chain reduces the direct cost of providing patient care, reduces counterfeit drugs and waste, including the availability of medicines, family planning choice and vaccines. Whilst the warehousing of medicines is a critical component of the supply chain for the provision of medicines in any system, all the states in the country have Central Medical Stores (CMS) which serve as warehousing units for the storage and distribution of health commodities in the states.

Over the years, warehouses in Nigeria have been laden with several challenges, including inadequate infrastructure, lack of proper storage conditions, staff attrition, product pilferage, loss of commodities due to poor expiry management, and wastages including little or no visibility in Warehouse (WH) operations at the federal and state levels.

To address public health commodity wastages across States in Nigeria, Isaac Adewole, Minister of Health (HMH) requested the support of Africa Resource Centre for Supply Chain (ARC) Nigeria across three key areas: “Support warehouse infrastructural upgrade of 31 states CMSs in Nigeria, set up a visibility platform in the HMH’s office to provide real-time online status and performance of CMSs across Nigeria through a monitoring dashboard and institute a stakeholder engagement forum to foster ownership and advocate for fund allocation to the states warehouse improvement and measure progress,” he outlined.

ARC Nigeria, a partnership of Private Sector Health Alliance of Nigeria and Bill and Melinda Gates Foundation, supported the Project Management Unit (PMU) which was set up to advance the request of the minister who elevated the project to a Special Ministerial Intervention in developing a strategic roadmap for the project.

The roadmap was broken into four phases: capacity development for

YEMISI FASHOLA, Abeokuta

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L-R; Azuka Okeke, Regional Director, ARC engaging Isaac Adewole, Minister of Health, on the Warehouse Visibility and Governance Project assessment criteria and how it developed a dashboard to analyse information derived from the assessment

governance and oversight, warehouse rapid assessment, dashboard development and stakeholders’ engagement for WH infrastructural upgrade.

Presenting a progress report on the Warehouse Visibility and Governance Project (WVGP), Linus Odoemene, National Coordinator, National Product Supply Chain Management Programme (NPSCMP), disclosed that most CMS in the States were below recommended world standards, urging them to show commitment towards improving their medical warehouses.

“Based on the assessment done, there were nine Level-1 non-pharmagrade warehouses, twelve Level-2 warehouses, three Level-3 warehouses and four Level-4 warehouses which were termed as ‘poor systems’ due to its current poor infrastructural state. Ranking the average assessment scores per geopolitically, the South-South region was ranked 1st with an average assessment score of 75%, followed by the North-west (65%); South-West (60%); South-East (58%); North-Central (58%) and lastly the North-East (50%)” Odoemene explained.

Responding, Azuka Okeke, Regional Director, ARC explained out that the output of the assessment

conducted by National Supply Chain Integration Project (NSCIP) and State Ministry of Health served as baseline information to determine the current state of the warehouses in the country.

“The tools used for the assessment were existing tools from the Pharmacists Council of Nigeria (PCN) and NSCIP which assess different aspects of the operations of the warehouses.

In addition, a supplementary tool was developed by ARC Supply Chain team to evaluate specific areas that were excluded in the tools mentioned earlier,” Okeke maintained.

Isaac Adewole noted that when the project unit was established, the idea was to ensure that medical stores are upgraded to International Standards.

“I do not want to be a minister that does not know what’s going on outside. That is the case for the Warehouse Visibility and Governance Project. Our warehouses in Abuja and Lagos have been upgraded to international standards with support from donor organizations. An opportunity has now been provided to States warehouses to be upgraded. I will be willing to facilitate a working relationship between states that are ready and international donors,” the Minister added.

Expert warns medical practitioners to guard against litigation SIKIRAT SHEHU, Ilorin

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aolu Osanyin, an international medical law expert has warned that Nigerian doctors should avoid litigation.

Osanyin gave the warning on Wednesday, while delivering his keynote address at the 2018 Scientific Conference organised by the Association of Resident Doctors, University of Ilorin Teaching Hospital (UITH) Chapter.

The theme of the address was: “ Medicine, Malpractice and Misapprehension Conundrum: The need to protect the doctors from litigation”.

Osanyin, who is currently the first and only African on the board of governors of the World Association of Medical Law, observed that Nigerian doctors are the easiest persons to sue for medical negligence.

He said: “Nigerian doctors are the worst record keepers and in medical law, if it is not written, it did not happen”.

The medical law expert pointed

out that some Nigerian doctors are guilty of medical malpractice without even knowing it, adding that a consultant supervisor is responsible for the mistakes of his subordinate.

“You don’t have to see a patient to be responsible for him or her, medical negligence is the omission to do what a responsible medical practitioner would do or doing what a reasonable medical practitioner would refrain from doing,” said Laolu.

According to him, negligence on the part of doctors is the failure to exercise that care which the circumstances demand.

He also described doctors who evade the annual practising license, as “engaging in negligence that can be used against them in a court of law during litigation”.

He however, gave doctors tips to avoid litigation. These, he said included, record keeping, informing patients of the risks inherent in treatment, speaking to the patients in languages they understand and

writing legibly for easy understanding, among others.

In his goodwill message, Dasilva Yusuf, the chief medical director, (CMD) of UITH said healthcare providers have become an endangered species and the earlier they realise that, the better for the profession.

The CMD represented by Abiodun Adeniran, of the Department of Obstetrics and Gynaecology observed that most of the issues that caused disagreement between patients and healthcare providers are preventable.

He added that one of the aspects to preventing litigation is through proper documentation, which is so fundamental in the medical profession.

Yusuf counselled that when patients have a serious condition, doctors should take time to explain to them in clear terms.

He advised them to know when to call for help most importantly, when they know they cannot perform maximally.

others and caregivers in Ogun State have been charged to embrace the opportunities of immunisation and other healthcare packages provided by the state government through the Maternal, Newborn and Child Health Week (MNCHW).

The wife of the state governor, Olufunso Amosun, gave the charge at the flag-off of the second round of the 2018 MNCHW, held at Alaaga Primary Health Centre in Ipokia Local Government Area of the state.

She urged participants to take the message to others in their various communities and localities, to ensure that more mothers and children enrol for the programme, so they can be immunised and benefit from proper direction on nutrition.

Amosun said the state government, in collaboration with development partners, had made adequate provision for various health interventions such as vitamin A supplementation, deworming tablets, insecticide treated nets, as well as nutritional supplements for malnourished children.

Earlier, the duo of the State Coordinator, National Primary Health Care Development Agency (NPHCDA), Victoria Adebiyi and the United Nations Children

Emergency Fund (UNICEF) Representative, Florence Moloku, revealed that the state had recorded 93% immunisation coverage at the last exercise.

They however advised mothers not to relent in availing themselves of the opportunities offered by the exercise to enable every child benefit, adding that government efforts geared towards reduction of maternal and infant mortality should be complemented by mothers.

The Commissioner for Health, Babatunde Ipaye, noted that consistent routine immunisation programmes, such as the MNCHW, had helped in boosting the immunity of children and made the State Polio free, as it had not recorded any case of the disease and cholera since 2009, despite its outbreak in other states of the federation.

He enjoined women of child bearing age, caregivers and mothers of children from ages nine to 59 months to take advantage of the programme, saying the services were free.

Two of the participants at the programme, Raimot Ogunbiyi and Maria Poveh, commended the State government for providing qualitative and affordable healthcare for all, promising to inform others and their relatives to visit the designated posts with their children for immunization and other checkups.

Ondo trains hundreds of nurses, mid-wives to curb infant mortality YOMI AYELESO, Akure

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owards achieving a drastic reduction in the morbidity and mortality of neonates, the Ondo State Government, through the Saving One Million Lives for Results (SOML), has trained over 100 skilled birth attendants on neonatal resuscitation and intensive newborn care.

Speaking at the closing ceremony of the nine-day training programme for nurses and midwives at Igbara Oke, Ifedore Local Government Area of the state, the Commissioner for Health, Wahab Adegbenro said the training was crucial, as children face the highest risk of dying in the first month of life and this accounts for about 18 out of every 1,000 live births.

According to him; “Global records show that in 2017 alone, about 2.5 million neonates died in the first one month, most of which happened in the first one week, one million on the first day of birth, some of which can be prevented, hence the training on Neonatal Resuscitation and Intensive Newborn Care. “ Adegbenro disclosed that since 2013, Global under five mortality rate has reduced by almost half, which he said was heart-warming but can be improved upon.

The commissioner appreciated health workers in the state and development partners for rising up to the challenge of stemming

infant mortality when Ondo State was regarded as the state with the worst maternal and neonatal death index in southwest Nigeria.

He noted the state government has concluded plans to make maternal and child healthcare free by paying their premium in the contributory health scheme, as well as designating additional five secondary facilities to render mother and child healthcare free.

The Programme Manager Ondo State Saving One Million Lives for Results, Abiola Oguneneka, in her presentation said the programme was put in place in 2012 due to the poor health indices of Maternal and Child Mortality with the strategy of rewarding performance on maternal and child health.

She said the action has assisted greatly in the downward review of this incidence.

“Performance of Ondo State was reviewed in relation to the six strategic pillars of the programme to see areas that can be improved upon to enhance the performance of the state.

“The six pillars on which Saving One Million Lives for Results is assisting the state are; use of insecticide treated nets by children under 5, skilled birth attendants, Penta 3 Vaccination, Vitamin A coverage for children aged 6-59 months, HIV counselling and testing during antenatal care and contraceptive prevalence rate,” she revealed.

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or some women, this holiday season may be one full of anxiety because something could be missing from their list of essential items.

For those of them who have visited their usual pharmacies recently, they would have noticed that Postinor 2, a popular contraceptive pill among women, is currently scarce in Nigeria. The pill, which is usually sold in pharmaceutical stores around the country, is virtually unavailable now.

A BusinessDay survey of wellknown pharmaceutical stores in Lagos indicated that the drug is simply not available and that this has led to a steep rise in its price, where it exists. Among the drug stores visited are: HealthPlus Limited, Nigeria’s first Integrative Pharmacy, Juli Pharmacy Plc, a retail healthcare service centre, and Care Forte Pharmacy, a medical drug store.

Tomisi Akinyemi, a pharmacist at HealthPlus Limited, explained that Postinor 2 has been scarce for a month now. “It is not even in the market currently,” he told BusinessDay. “People are hiking the price because it is scarce and the demand for it is high. I know that a lot of pharmacies do not have it.”

Akinyemi explained that Postinor 2 is the only contractive pill that is scarce at the moment, and that as a result, the price has risen by 80 percent within two week, to N900 from N500.

NPS MEDICINEWISE, an independent peer-reviewed journal providing critical commentary on drugs and therapeutics, says that Postinor-2 is an emergency contraceptive containing levonorgestrel, a hormonal medication which is used in a number of birth control methods. It is not intended as a regular method of contraception. It is used to prevent pregnancies when taken within 72 hours of unprotected sexual intercourse.

It is estimated that the pill prevents 85 percent of expected pregnancies. 95 percent of expected pregnancies will be prevented if taken within the first 24 hours, declining to 58 percent if taken between 48 hours and 72 hours after unprotected intercourse.

A pharmacist who wishes not to be identified said that the pill, being an emergency pill, is not meant to be scarce at the moment, especially in this festive period.

“This pill is quite popular than the other contractive pills and this will give room for a lot of fake drugs to be produced,” he said.

Women react to price increase Tolu Esan, a student of University of Lagos, fears that unwanted pregnancies and abortions will be on the rise.

Medical experts say the scarcity should be rectified urgently.

“A lot of single women prefer it and even the married ones use it as their own form of family planning than the regular ones. It is not a very good situation to have at the moment,” Oluniyi Olatunde, a medical doctor at Isolo General Hospital, said to BusinessDay by phone.

Like Esan, Olatunde believes that there could be a lot of unwanted pregnancies which bring health challenges for the country. “Teenage pregnancies are going to be on the rise in this period,” he warned.

Nigeria will face a challenge controlling its population and that will be a problem meeting our target of the Sustainable Development Goals (SDGs), he added.

Family planning is one aspect of the targets around universal access to sexual and reproductive health found in the SDGs. In 2012, there were reports that the Federal government planned to ban Postinor 2, because of its side effects which are nausea, abdominal pains, fatigue, breast tenderness, dizziness, headaches, and in the most grievous of cases, a temporal imbalance of a woman’s menstrual circle.

StarTimes drums support for people living with HIV/AIDS ODINAKA ANUDU

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s part of activities to mark the 2018 World AIDS Day, pay-TV company, StarTimes, has called for more support for Nigerians living with the virus across the country.

StarTimes made this appeal on the sidelines of the 2018 World AIDS Day event held at the Banquet Hall of the Presidential Villa in Abuja.

The pay-TV company joined other stakeholders in the fight against HIV/AIDS in a bid to eradicate the virus completely from Nigeria and Africa at large.

Justin Zhang, CEO, StarTimes Nigeria, said: “StarTimes is committed to the complete eradication of HIV and AIDS in Nigeria using its media footprint across the country and its ability to reach millions of Nigerians even in villages where aid workers are not able to access.

HBL Team

Zhang added that the company would assist in the area of broadcasting informative content and engaging youths via entertaining mobile engagements that educate.

Also speaking, Abdul Dangirma, national secretary, Network of People Living with HIV/AIDS in Nigeria (NEPWHAN), commended the Federal Government for its effort to treatment and prevention of spread of the virus while calling for more to be done in the area of user-fee charges to beneficiaries of antiretroviral drugs.

In May 2017, UNAIDS and StarTimes signed a memorandum of cooperation in Beijing to consummate a cooperation to reduce the impact of HIV across Africa by disseminating messages to the general public to increase awareness of HIV and UNAIDS’ work and to reduce the stigma and discrimination of people living with HIV.

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Executive Travel Health

Emergency birth control pill, Postinor 2 scarcity hits pharmacies Bunmi Bailey

BUSINESS DAY

Asthma: Is it a storm or fair weather?

Ade Alakija

Alakija, medical director Q-Life Family Clinic, Victoria Island, Lagos.

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ere are some things you should know if you are an Asthma patient and you are about travelling.

Important Tips: Before booking your holidays, discus with your Travel Health Advisor or an Asthma Nurse. Make sure your asthma is well controlled before y9ou travel. Carry important Contact numbers on your person, including your doctor’s and the recommended doctor at your destination. If your asthma is normally well controlled, you should be able to go sightseeing, trekking, swimming and other leisure activities you wish engage in. So enjoy yourself but do not Scuba Dive.

Must Know: Your symptoms may vary greatly, from mild and infrequent to debilitating and severe. This may influence the type of trip and destination you choose.

Know your triggers. (Many people with Asthma have allergies which can trigger asthma symptoms like House dust mites, animal dander, moulds, pollen and cockroach droppings. Tobacco smoke is an irritant that often aggravates asthma. Also air pollution, strong odours and fumes). Please, if you are advised not to travel, do not travel. Some food items may help you stabilise your asthma.

Consult your nutritionist.

Before departure: A detailed history will be required of you, including mode of transport and destination.

Plan your diet: If you have food allergies, be certain that the food you will be eating does not contain substances to which you are allergic. Let whoever is preparing the food — airline, cruise ship, hotel, restaurant, family member, or friend — know what you are allergic to as far in advance as possible.

Keep your allergy shot schedule: If you are taking a long trip, discuss with your allergist how to continue to take or receive your allergy shots. Health Insurance is essential. You will have to declare your asthma status and it should include repatriation. Make sure you have a self-management plan with details of medication and use, what to do in an emergency and contact numbers. Two inhalers must be taken in case of loss or theft (one in your hand luggage, and one with your responsible companion or checked-in luggage). The same goes for stand by emergency suppositories. Wear an information bracelet or neck chains were possible (Get from Medic-Alert or SOS Talisman).

Take a little more medication(all clearly labelled) than you think you need and carry a print out of all regular prescriptions in case you lose your supplies and to prove the medicine is for your personal use. An adequate supply of all your medication should be

in your carry bag. (Hand luggage) The usual immunisations for your destination should be taken along with annual influenza shots and also pneumococcal vaccine.

Any use of hig-dose oral steroids should be mentioned prior to immunisation. All malaria tablets, if recommended for your destination can be used. It is advisable to use a standard metered dose inhaler and a large volume spacer device which is cheap, portable, obtained by prescription and just as effective as a nebuliser, which requires prior permission to use on an aircraft and voltage problems on route and at destination

Air pollution can be severe in cities where there are no controls over petrol and diesel exhausts.

If possible avoid heavy traffic.

Temperature changes, like sudden exposure to cold and dry air can bring on asthma symptoms, also aerosol metered dose inhalers may not function properly under freezing conditions and may need to be warmed in the hands before use. All beds and pillows harbour dust mites-unless they are treated with a microbial compound (for example, UltraFresh) which inhibits their growth. Be wary of hotels that look unclean.

Take all necessary precautions

requiring all sorts of adaptors and regulators. Electricity power may not be available at destination.

If you cannot walk 50 meters at a steady pace without feeling breathless and needing to stop, you may need on board oxygen in-flight and disabled assistance at airports possibly at your cost.

(Early arrangements may be necessary).

Plan for an emergency: Ask your doctor for an asthma action plan that will outline what to do in case of an asthma episode.

Keep your doctor’s name and phone number with you. If you have a nebulizer, take it when you travel for use at the destination.

After Departure: On Route: Do not over-indulge in food and alcohol especially when on the move. Drink plenty of water and non-alcoholic drinks in flight.

Sit well forward in non-smoking areas in aircraft (most flights are non-smoking these days). Avoid smoking areas in the Airport. Do not smoke. Irritability could be an early sign of reduced oxygen intake. Try to move about every hour, to exercise your legs to prevent blood clots. Give the note from your doctor (detailing Condition and Medication) to the ship’s doctor if you are going on a cruise.

At Destination: Your condition may improve or deteriorate during your holiday due to climate change, absence of allergic triggers (fewer allergens at high altitude), stress or exercise/exertion.

Virtually all large cities in the developing world have significantly polluted air and also the developed world in some major cities.

as a regular traveller. You can do virtually all activities, but do not overexpose yourself to the sun and other extreme conditions. Be cautious if you have exercise-induced asthma, especially exertion of mountain climbing. Acclimatise properly. If you must dive, go snorkelling instead and not scuba diving. Increased asthma therapy prior to exercise will achieve better control but intensive exercise should be avoided as much as possible.

Sports: If you are going to exercise a lot, especially activities that you are not used to, such as mountain climbing, hiking, etc., remember that exercise itself can trigger asthma symptoms. Any activity should start with a warm-up, and your quick-relief medication should be taken 15 to 20 minutes before you begin.

All is Clear: If you have a clearly labelled Medication & Spacer (in your carry-on bag), a responsible companion (if necessary). Your Asthma is stable. On return, you may need to inform your doctor of your experiences so he can plan better and safer trips for you and other asthmatics.

Gather more information from the following websites and literature. www.asthmacontrol.com (Gives you an idea of how well your asthma is controlled). https://www.asthma.org. uk/advice/living-with-asthma/ travel/(subscribe to Asthma Magazine), Answer: With due consultation, it is not a storm, but fair weather. Have a Nice Journey.

ANTHONIA OBOKOH and ANI MICHAEL / Reporters. Email: obokoh.anthonia@businessdayonline.com I David Ogar, Graphics

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In association with Luxury

Malls

Companies

Deals

Spending Trends

Why Nigeria’s trade sector exited recession in Q3 2018 Stories by Bunmi Bailey

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he Central Bank of Nigeria (CBN) intervention in the Foreign Exchange (FX) market, improvement in profit margins of businesses, stability in prices and amongst others may be the reason for the positive growth in the trade sector, economic experts said.

Johnson Chukwu, CEO, Cowry Asset Management Limited said, towards the third and fourth quarter of the year the demand for goods improved.

“The bottlenecks in FX that hinder trade activities to a large extent reduced in the third quarter so there was easier access to foreign exchange and a downward movement with some stability in price levels, so these factors contributed to the demand of goods and services in the trade sector which corresponded to a positive growth in the sector

,” Chukwu added.

The trade sector exited recession for the first time in 2018 after recording two negative growth rates.

From the report, it grew by 0.98 percent in Q3 2018 after contracting by -2.14 percent and -2.57 percent in Q2 and Q1 respectively, making it the second positive growth since it existed recession in Q2 2017.

“There was a delayed impact of CBN’s intervention in the FX market. So we are now bringing to see the effect now .Dollar supply has improved for businesses generally. For example, there are some businesses in Nigeria that does not produce, they just buy from abroad and sell,” Ibrahim Tajudeem, Head of Research, Chapel Hill Denham said “So for those ones, a lot of them have been able to have access to FX because of CBN intervention in the market. It has begun to have positive impact in the economy,” Tajudeem further said to BusinessDay in a telephone

interview.

The low purchasing power and consumer spending in the economy had been attributed for the two negative growths in the previous quarters which prompted a reduction in trade activities.

From the CBN’s Consumer Expectation Survey (CES) report for Q3 2018, consumers’ overall confidence in the economy grew by 12.0 basis points to 1.5 index point in Q3 2018 a reversal from the -10.5 index point recorded in the corresponding period in 2017.

“The trade sector which is the second biggest is positive and this is very good meaning that profit margins are improving .I suspect that there is a lot of people are beginning to buy this locally,” Ayo Akinwunmi, Head of Research, FSDH Merchant Bank said Tajudeem is optimistic that there will be a sustained positive growth in the trade sector for q4 due to the trade conditions that are still existing in the sector

Prepaid meter consumers rises marginally by 2.36% in Q3 2018

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he number of consumers that have access to prepaid meters by the Electricity Distribution Companies (Discos) increased slightly (quarter-on-quarter) by 2.36 percent to 1.65 million in the third quarter (Q)3of 2018 from 1.62 million in Q2 2018 in Nigeria, according to the newly released National Bureau of Statistics (NBS) power sector data.

Prepaid meters are meters that enables consumers

to regulate their electronic energy consumption and recharge whenever the energy is used up.

Also from the NBS report, Abuja Disco had the highest number of customers metered, followed by Benin Disco and Ibadan Disco while Yola Disco recorded the least total number of customers metered. In the previous quarter, Benin Disco overtook Abuja, having the highest.

Additionally, the power generated for Q3 of this

year reflected that a total average of 78,917 Megawatt hour (MWh) of energy was generated daily by power stations. Daily energy generation attained a peak of 90,197 MWh on the 16th of August 2018.

Thermal stations generated a peak of 85,948 MWh on July 10, 2018 while the hydro stations attained a peak of 30,164 MWh on August 28, 2018 . However, the lowest daily energy generation of 57,357 MWh was attained on July 8, 2018

NiajaLottery targets consumers with introduction of Blockchain Lottery ...pioneer Quanta as new Investor

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nternational Lottery and Gaming Limited (ILGL), trade-named NaijaLottery is targeting more consumers with its signed contracts to introduce Quanta, the world’s first licensed blockchain lottery, as new investor, concluded the world’s first deal to see an important synergy of traditional and blockchain lottery.

ILGL is one of the largest gaming companies in Nigeria, has been granted a Grade A National License from the National Lottery Regulatory Commission to offer lottery games throughout Nigeria.

Under the agreement, Quanta and ILGL will combine forces to apply blockchain technology to revitalize the traditional lottery, and to act as a platform to further strengthen growth in African market.

The partnership is a major development in the penetration of blockchain technol-

ogy into traditional business models.

NaijaLotteryTM sells National Lottery tickets in every city and state, offering large prizes to winners. The company is committed to implementing the highest international standards of responsible gaming, protecting minors and discouraging addictive playing.

ILGL employs best-in-class technology and related services.

Quanta is the first fully licensed blockchain lottery in the world. Developed on the breakthrough Ethereum blockchain technology, Quanta transforms conventional lotteries for the better, revolutionizing the gaming industry.

Its blockchain-based lottery games are fully certified to ensure utmost trust and transparency for the players and the regulators.

“Now is the time to build

on the momentum of the traditional Nigerian lottery market. Together, we will continue to build a safe and trustful platform that ensures fairness and transparency, while offering amazing functionality to players and helping to boost the local economy, creating an even more compelling experience to optimize lottery playing for the 200-million Nigerian market,” Charbel Saadeh, Managing Director of Naija Lottery said.

Kostas Farris, Chief Technology Officer (CTO) and Director of Quanta, commented on the partnership, “This is a profound opportunity to bolster the rapidly-evolving lottery business. We are confident that we can make blockchain lottery popular and this partnership represents a significant base for Quanta to target other emerging markets centered in Africa.”

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Promasidor unveils SunVita, with 75% local content By our reporters

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romasidor Nigeria Limited, makers of Cowbell Milk, Loya Milk, Miksi Milk, Onga seasoning, Top Tea and other quality food products, have unveiled Nigeria’s first zip-lock packaged ready-to-go cereal. ‘‘75 per cent of the product’s inputs are sourced locally, reflecting the company’s robust backward integration programme,’’ said Anders Einarsson, managing director of Promasidor Nigeria, during the media launch in Lagos recently.

According to Einarsson, the decision to look inward for raw materials is informed by the company’s desire to contribute to the growth of agricultural value chain. ‘‘This would create massive employment opportunities and reduce capital flight. It demonstrates our commitment to backward integration and local capacity utilisation in line with the economic need of the country,’’ the managing director said. ‘‘This will translate to more direct and indirect jobs for the youths as it will increase activities in agricultural value chain.” Einarsson said SunVita would help working mothers and those on tight

L-R: Andrew Enahoro, head, Legal/Corporate Communications, Promasidor Nigeria Limited; Anders Einarsson, managing director, Promasidor Nigeria; Leonard Kange, general manager (Large Enterprise), Bank of Industry; and Mario Russo, head of Commercial, Promasidor Nigeria; at the unveiling of SunVita Cereal recently in Lagos.

schedules to manage their time better and achieve their career goals without compromising their health and nutritional requirements.

“At Promasidor Nigeria, we understand the constraint on time. 24 hours is no longer enough for individuals to complete their daily routines, have fun and rest,’’ he said. ‘‘Since we cannot increase the number of hours we have to work and play, we must continue to explore better ways of managing time. This is one of the ideas behind SunVita.’’

Continuing, the manag-

ing director said, “Consumers need a quick, convenient meal that can be taken as a formal meal at home or as an energy boosting snack during the day when they are away from home. ‘‘And this need can be met without compromising their health. This is what SunVita has done. The cereal does not need cooking, which requires time and energy.’’

Leonard Kange, general manager (Large Enterprise), Bank of Industry, who joined other dignitaries to tour the factory, said he was impressed

with the investment.

According to him, the company’s backward integration agenda was in line with the country’s industrial revolution roadmap.

“The production process is fantastic. I am particular excited because I can see the product of our intervention.

It is good to know that the fund we gave to Promasidor is invested in a project that will address key challenges facing Nigerians,’’Kange said.

“The investment is particularly relevant to the national industrial growth. About 75 per cent of the inputs used to manufacture the product are locally sourced. It means that Promasidor is providing direct and indirect jobs through suppliers of the inputs.’’ ‘‘That will help to grow the economy and reduce unemployment. I am extremely excited at the manner Promasidor has utilised the loan we gave them.”

Bartholomew Brai, president, Nutrition Society of Nigeria, said the nutritional contents of Sunvita would help in the cognitive development of children.

“I am happy that this product is meant for both children and adults. It is not healthy to skip breakfast. With this readyto-go cereal, this challenge is addressed,” Brai, who is also a university lecturer, stated.

BUSINESS DAY

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Hubmart Stores delight customers as winners emerge in 2nd awoof promo

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n the heels of the success of the first raffle draw of the on-going Awoof promotion and prize presentation ceremony, leading indigenous retail chain, Hubmart stores has concluded the second Awoof raffle draw with winners carting away shopping vouchers and freebies valued at N3.5 million.

The raffle draw was conducted by Musician Isaac Geralds and Niyi Adeleke, asst. head, Enforcement Unit, National Lottery Regulatory Commission at Ikeja GRA store of Humbert.

Cheng Fuller, vice president Marketing stated that the retail chain was pleased with the massive participation of her teeming customers in all Hubmart activations and was always happy to share delight.

According to Fuller, “We were pleased with the customer’s participation in our Awoof promotions but even more pleasantly surprised at the massive turnout we experienced during the just concluded Black Friday promotions. For this, we are deeply grateful to you our beloved loyal customers”. He further stated that following the Black Friday sales and in a bid to further spread the spirit of celebration and goodwill among

its customers this Christmas, Hubmart stores would be having her first ever Orange Friday Fiesta, a customerdriven initiative which would eclipse the just concluded and hugely successful Black Friday sales promotion.

The Orange Friday Fiesta, which has been scheduled to commence on the 14th of December 2018 will see Hubmart offer customers bumper flash discounts on electronics, alcoholic beverages, fresh produce, groceries as well as lots of other surprises. “Think of Black Friday, and amplify that a hundred times”, he said. The key thrust of the fiesta as explained by the Vice President, Marketing (Cheng Fuller) was the celebration of 3 years of Hubmart Stores delighting her teeming customers. Furthermore, as part of her new objective of delighting her customers, and in keeping with her key focus on Fresh, Hubmart is poised to roll out her weekly promotion on Fresh produce this weekend tagged, “Fresh weekly” – A bouquet of fantastic offers on fresh produce such as discounts on vegetables, meat, fish and poultry products as well as a weekly happy meals trend (where customers would always get a complete meal combo discounted to less than 500 naira).

Living under poverty line How Nigerians are struggling to survive

If you want to contact the writer of this story call: +234(0) 803 889 1567, +234(0) 8155184838 chinwe.agbeze@businessdayonline.com

Trader in dire need of funds for dialysis, surgery Name: Mrs Ugbede Kehinde Oluwatoyin State of Origin: Ogun Age: 35 Dependents: Mother and three siblings Occupation: Trader I deal in eggs and foodstuffs at App market, Abuja. Before I ventured into this business, I worked in the bank having graduated from University of Abuja where I studied Economics.

In 2008, I was employed at Oceanic Bank (now Ecobank) where I worked as a teller before I was moved to the customer service desk. I served in different branches of the bank before I was relieved my job.

From App market, I moved to Kubuwa where I was trading until I was diagnosed of kidney failure in 2018.

How did it start?

It started in August, 2017

but like malaria and typhoid. I had the same experience every two weeks.

By November, 2017, we were treating ulcer but unknown to us, what I had was bigger than ulcer. I was short of blood and was given two pints of blood.

Before I got married in December, 2017, I was referred to Maitama Hospital for endoscopic but my fiancé did not allow me to go because of the cost. Two months after the wedding, my condition deteriorated and that was why I was diagnosed of kidney failure.

The situation got worse in January, 2018 when I started bleeding through the nose and vomiting two or thrice a week.

Second week in January, I was at Kubwa General Hospital. I asked the doctor the result of the general tests carried out

on me and she said they were all good. But, I wasn’t getting any better. The bleeding and vomiting still persist. I also lost appetite, had sleepless nights and coughed profusely. I was given antibiotic, malaria drugs and cough syrup. With the

medication, it even got worse.

On February 23, 2018, I was diagnosed of Chronic Kidney Disease (CKD) at Kubwa General Hospital. I was referred to Gwagwalada Teaching Hospital for further treatment and dialysis.

Analyst: Chinwe Agbeze, Graphics: Fifen Eyemisanre Famous

I spent six weeks at the hospital before I moved to Zenith Medical and kidney centre in Abuja, where I have been receiving treatment till date.

What is the cost implication?

I was told the best treatment option for my condition is kidney transplantation and it would cost about N13.3m.

This sickness is really capital intensive. My husband and I cannot bear the cost. I do dialysis twice a week and the treatment drugs cost N110,000 per week. On every dialysis, I take injection for blood because I’m anaemic and infusion because I lack vitamins and glucose.

How have you coped so far?

We get assistance from family, friends and good spirited individuals. This sickness is really capital intensive.

A plea for help My husband work is a mathematics teacher at ElisAngel model school. From the time I was diagnosed of this sickness till now, it has not been easy for him.

My husband’s salar y couldn’t take care of the sessions of dialysis in a week.

Since I was diagnosed of this disease, I couldn’t do any work to support my husband and the family.

On monthly basis, I spend N1m dialysis, drugs and admission. The doctor said the lasting solution is the kidney transplant.

N10m is required for the transplant but I sincerely do not know where or how to get that kind of money.

I am calling on Nigerians to come to my aid and help me raise the funds for my kidney transplant.

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Samuel Oniyitan, filmmaker with eyes on blockbusters Stories by OBINNA EMELIKE

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he story of Samuel Oniyitan is one that gives courage to those who follow their passion in life.

Despite the many degrees and professional certifications in marketing that he holds, Samuel was never fulfilled until he decided to get back to acting and filmmaking, the passion he developed at childhood.

His passion for acting started at age five. Then, he entertained his fellow pupils every Monday by mimicking and replaying funny characters he saw on local TV drama series on Sundays.

He went ahead to join drama club during his secondary school days and later led the club.

Like every other child whose parents insisted on getting formal education before engaging in any life endeavour, Samuel furthered his education and also left the movie industry for a while.

With quality in mind, the actor, model and filmmaker is back to the scene FOR about two years now to do things professionally, though driven by his

Samuel Oniyitan

passion.

For the two years in action, he has produced three movies, featured in over 15 movies by other producers and has played lead roles in five movies.

“I have featured in some good movies including; Inbox, by Rotimi Raji, which is scheduled for premiering sometime this December on Africa Magic Showcase.

Recently, I featured in The Snatch, a movie by Dayo Parore, a writer and producer. I acted as Officer Obi and played the lead role

as well. We also have two Yoruba movies: Adura by Ajani, and Ashe, which was produced by me,” he said.

“Apart from movie, I am also a consumer insight person. Presently, I do more of movies. We just finished shooting a movie a month ago. It is a Yoruba movie called Ashe. On Sunday December 2, 2018 we entered location to film another movie called Abeke.”

Samuel, who came to improve on the quality of movie production, storyline, and especially techni-

cal aspect that has always been a challenge in Nollywood, explained that he cannot bear watching some movies today because of the poor quality of the storyline and production.

In view of the difference he wants to bring to the table, he has invested in state-of-the-art movie production equipment, the best script writers, renowned director of photography (DOP), the best of casts, among others.

With the hi-tech production equipment, Sam-

uel is assuring blockbuster movies from now going, starting with Abeke, his current movie. On the reason Abeke will be the talkof-the-town in Nollywood, he explained that it is being shot with Red Dragon camera, the most-improved camera in the industry now.

“As well, I am using the best director, DOP, stellar cast, and some of the best hands Mainframe uses in their production. We have even created a space for the creative director”, he said.

The Lagos State University and Ladoke Akintola University graduate noted that Abeke has been his most enthralling movie so far. “Everything about the movie came from a dream.

I was relaxing on a couch and listening to a Yoruba song, and they were playing something relating to Abeke. I slept and when I woke up, I started writing all that I saw.”

The movie, which is going to be a banger when it premieres, according to him, is a love story set in the late 70s in Abeokuta.

“It is a love triangle around the Abeke and two guys in her life. One is wealthy, educated and arrogant, while the other is educated, humble, responsible but

not wealthy and is from the Ifa linage.”

“At the long run, Abeke, daughter of a wealthy cocoa merchant, fell in love with the well-mannered one. The intrigues ensue along the line. It is interesting to watch, so, wait until it premieres,” he assured.

For him, the movie’s behind the scene is perfect.

The rich cast include; Wale Ojo, Kehinde Bankole, Toyin Abraham, Akin Louis, Peter for the Ifa, among others.

“The movie is directed

by Rotimi Raji. The storyline is top notch because we did a script conference, the cast is thick, and we are using Red Dragon camera for the shooting, it is trendy and among the highest quality. As well, Lukmon Abdulrahman, the DOP, is the number one DOP in Nigeria,” he said in explanation of why the movie is a must-watch.

Though the movie is going to cinema, Samuel noted that it is far different and the standard is higher than cinema. “We are shooting for Netflix. Apart from being demanding, the standard is different; they are conscious of how the movie is going to be, how it must be shot, the costume among others.

Heart In Motion sets for God Calling, movie premieres December 21st

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he official poster of the Christmas Blockbuster “God Calling” has been released by Heart In Motion (HIM) studios.

The teaser, which was released in November, garnered over 10 million views from several countries, as well as, a feature on CNN African Voices as one of the movies to look forward to during the yuletide celebrations.

God Calling chronicles the life of Sade who suffers a personal tragedy and is taken on a journey of self-discovery and faith, which transforms the lives all those around her. The movie also spotlights on modern day spirituality by imaginatively exploring what it might look like for Abraham or Prophet Elijah to be Nigerian in 2018 and must contend with disbelief, as well as, modern-day realities such as smartphones, and social media.

The poster gives a vivid idea, of what it would look like should your caller ID say, ‘God Calling’ and sets you on an roller coaster of what to expect from the movie.

Written and directed by BB Sasore, creator of Before 30 and Banana Island Ghost, God Calling will be released

nationwide on December 21, 2018 and features a stellar cast made up of Zainab Balogun, Karibi Fubara, Richard Mofe-Damijo, Onyeka Onwenu, Nkem Owoh, Tina Mba, Patrick Diabuah, Chidinma Okebalama (Chee), Eku Edewor, and a host of others.

According to the filmmaker, the Nigerian film industry has so much potential but lacks the infrastructure and resources to compete globally. “For this project to come into fruition, I had to collaborate with like minds who believe the Nigerian film industry remains a dominant player within the arts and entertainment sector and needs to be increasingly supported as one of the country’s largest non-oil exports”.

“This production was backed by executive producers such as Ibukun Awosika, Derin Adeyokunnu, Yomi Jemibewon, Patricia Jemibewon, Uzo Nwagwu, Chijioke Uwaegbute, Karibi Fubara, ZeeZee Ihe-Okuneye, Olalekan Olude, Opeyemi Awoyemi, Dolapo Awosika, Enyi Omeruah and Chioma ‘Chigul’ Omeruah”. he said.

God Calling will be released across all cinemas nationwide on Friday December 21, 2018.

Blockbuster movies to watch on StarTimes during festive season

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n a bid to deliver unmatched entertainment to its subscribers during the Christmas season, StarTimes is rolling out blockbuster movies from Nollywood and in local languages all through December and January 2019.

According to the pay-tv company, more than 100 blockbuster movies from some of the best productions in Nollywood, Yoruba, Igbo and Hausa language will be aired to entertain subscribers this season.

Some of the movies include Last Date, Enigma,

Blind Spot, Friendship Betrayal and Criminals in love all showing on ST Nollywood Plus while AMC Movies would show Fall Guy, Rage, The Keeper, Crazy People among others showing on AMC Series.

Others include; Ajo Obi, Ife Chukwu Dere, Oku Nso, Osu and Munachi showing on Isimbido while Mama Swaga, Ekundayo, Somolu Babes and Mr. Ambode on ST Yoruba.

Hausa speaking subscribers are not left out with Haske: Matan Arewa, Gariya Waye showing on Arewa 24.

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Business Etiquette

The trends of the movie industry till date Linda Ochugbua

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he Nigerian movie industry has witnessed tremendous growth so far; decades ago we could only watch our movies on Cd’s and DVD’s but presently we have our movies in the cinema which is a huge improvement compared to where it all started.

Over the years we have seen the Nollywood industry grow to becoming a global brand, one which our counterparts reckon with.

However, the Nigerian industry can be divided into four main eras: the colonial era, the golden Age, the video film era and the upcoming new Nigerian cinema era - which is where we are till date.

We have witnessed even the local movies do so well in the cinema, breaking grounds and setting new records. It would almost be impossible to talk about the Nollywood trend and not mention these fantastic movies that have brought the country to the limelight.

Let’s begin with “The Wedding Party”(2016) which was directed by Kemi Adetiba and raked in a whooping sum of about N450m naira, then we saw “AY’s” movie “A trip to Jamaica” that was directed by Robert Peters raked in N179m in (2016).

We also had another “AY’ s” movie “30 Days in Atlanta” (2014) they made about N137m from the box office, the movie was also directed by Robert Peters. As for ground breaking movies, we saw the likes of “Fifty” (2015) which was directed by Biyi Bundle which also raked in N94m naira. We then had the movie “76” (2016) a movie that was based on a true life struggle of what went down during the war, it was directed by Izu Ojukwu made about N72m naira. “Wives on strike” (2016) was next with about N71m made from the box office, and was directed by Omoni Oboli.

“Half Of a Yellow Sun” (2013) also did well by raking in N60m naira and was directed by Biyi Bandele. “October 1” was another fantastic movie released in (2014) raked in N60m naira and was produced by the famous Kunle Afolayan, who is known for producing world class, wellscripted movies, made about N60m naira. The “CEO” movie (2016) also produced by Kunle Afolayan, did so well too by raking in N60m naira, finally we had “IJE” (2010) which was directed

by Chineze Anyae, it made about N60m naira from the box office.

Truth be told, the Nigerian movie industry has grown; in 2016 alone the industry raised about N3.5b naira (equivalent $11.5m) from both Nollywood’s combined box office sales and foreign movies. Nigerian movies alone generated 30% of the tickets sold in the cinema. Although most financial experts view this growth as sequential considering comparison to our foreign counterparts regardless, the Nigerian industry have found a way to sustain their level of greatness despite the huge obstacles it faces from pirates, slow economic growth, the poor con-

sumer purchasing power and high rate of production and inflation. In my opinion, we have definitely taken quantum leaps from where we started.

It’s true that we have moved from the bottom to being the 2nd largest movie industry in the world and the sector is now the 2nd largest employer of labour in Nigeria. It also plays a big role in foreign income and investment generation through the export of its works (movies).

The need to diversify the economy has made us more innovative and creative and this has forced the government to invest more in the sector. We have also witnessed over the years, the continuous improvement in our movie production and global relevance. But still, most foreign investors still view our industry as upcoming, which means a lot still has to be done in the aspect of production, scripting, location etc. These issues result in the low income for our producers, actors, crew and directors, making them seem like they are not as creative and as innovative as they should be.

We witnessed a lot of investment into the industry by the past government as he referred to this sector as the next gold mine, second to oil. The former President of Nigeria Dr. Ebele Goodluck Jonathan believed a lot in this sector. It was revealed that the sector employs as much as a million young people yearly. The industry has produced millionaires like Mo Abudu and Jason Njoku, who in his 30”s has recorded over $8m dollars in revenue over the last decade. In terms of distribution, the Iroko group has changed the game and brought about innovation and creativity in this massive growing sector, they brought these movies to the mobile phones of millions of users through a website and mobile application. It wasn’t a case of looking for Video Cd’s any more, but having them on your devices, with access to thousands of movies to for a very little monthly subscription fee. When this kicked off, it started initially by providing contents for the foreign markets that wanted to connect badly to Nigeria through our movies. IROKO provided the U.K. and U.S. market with access to even the latest Nigerian movies. Our success story won’t be complete in any way with mentioning megaminds behind the innovative platform IROKO TV – Jason Njoku.

The Nigerian movie industry constantly seeks to increase the number of young people it takes in, despite the sporadic population growth. The industry currently employs over a million people with the capacity to double in a few years’ time; its sector is second to Agriculture and despite the fact that the country grows by about 8% yearly, the unemployment gap among the young still sterns as a major point of concern for all, including the government.

Here are some facts about the Nigeria industry you might want to take note of; 1. The Nigerian movie industry produces about 50 movies weekly second to Bollywood and more than Hollywood.

2. The industry makes about N500m naira yearly, but if managed better can generate an extra 1m jobs, hence the input by the World Bank to help grow the sector yearly.

3. The Nigerian movie industry is the most popular industry in the continent; it’s also a money maker.

4. The Nigerian movie industry helps to showcase our values, culture and heritage to the world.

5. Most movie production cost average about $25,000 to $70,000 as compared to the foreign movies that cost a minimum of about $250,000 dollars on the average for a typical lowbudget movie.

6. The Nigerian movie industry can produce a movie within a month and be released in Cd’s with 2 to 4 weeks max, compared to the foreign movies that could take years for just a single movie.

7. DVDs sell units ranging from 20,000 – 200,000 units per movie if successful.

8. The Nollywood actors are not the best paid despite popularity and relevance, most of them are paid between $1,000 to $3,000 dollars for the very good ones per annum, while the exceptional ones like Omotola Jalande Kehinde who is the list of the top paid gets away with about N5m naira which is about $15,000 dollars now.

9. The total estimated revenue of the Nollywood industry is presently at about $600m dollars yearly and the industry is priced at about $5b dollars so far. The estimated loan fund pledged by Goodluck Jonathan to help boost the sector was about $20m, which can lead to the production of a Nigerian movie capable of debuting in the American movie theaters.

Although the Nigerian movie industry suffers huge challenges (listed above) which have immensely affected their revenue, it is still believed that the movie industry is the hope of this nation’s diversification plan from oil.

It is true that if we invest and develop this sector properly, it will grow in all ramifications thereby increasing our revenues both internally and externally. The recent sign up

by Netflix, the world’s biggest movie and content distributor, to take on Genevieve Nnaji’s recent movie “Lion’s heart” is a sign of the greater achievements we have been foreseeing.

More of these partnerships and agreement will yield us better foreign exchange, reduce our dependency on oil, create more jobs, foster creativity and innovation, showcase our beautiful nation to the world and finally increase our GDP which will finally have massive impact on the lives of many Nigerians.

For us to grow as a nation we must develop other sectors of our economy and the movie industry is one gold mine that still has numerous untapped resources for us to yield better incomes. @lindaochugbua Linda Ochugbua Manager Digital Sales BusinessDay Media

with Janet Adetu

Beat the festive stress

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t’s the season once again where life becomes extra bubbly, activities left and right, events clashing, Christmas shopping rush, food stock up for extra mouths over the holidays, anxiety heightening over Christmas wear and tension in the workplace to deliver final key performance indices and yes much more.

I guess as the year runs to a close there is that clear need to succeed for some or relax for others. The problem is the environment does not allow for the desired relaxation. Things are moving so fast around you that at times you just cannot figure out whether you are going or coming. Research has proven that as the year does come to a close anxiety, fear, stress and for some unfortunately depression begins to set in. The dimensions vary from person to person or situation to situation. This is the season when there are recordings of high levels of stress brought about by societal pressure, which somehow is hard to avoid.

As the consequences and ramifications are getting higher there is cause for concern, the medical professionals see cycles repeating themselves year after year.

There are many cases of heightened stress during the festive season both locally and globally. I simply term this the business of Christmas, it is deemed that sales will automatically increase during the festive season.

It is deemed also that shopping is intensified beginning around the month of November especially in the month of December. Families are buying festive season clothing. Fashion designers and tailors are overworked, food sellers are clamming for sales and last minutes deals are fast sort after.

Interestingly I also realized that my nail technicians business is not left out, business booms during Christmas; at least so say the technicians that work there; including the hair salon, the makeup artists, the vendors at the yearend events, not to mention the fabric sellers as this is the season of parties.

If sales did not do so well during the year everybody is struggling to make the difference in the space of the last couple of months. This is a recipe for high blood pressure, exhaustion, anxiety, stress and diagnosed

chronic depression.

How do you manage such stress levels at a time where everything is so fast, people have no patience the environment becomes more unruly than ever. This does call for a deliberate and intentional way of ensuring you stay healthy in the midst of the heat.

Festive Season Stress Relief Strategies Plan Ahead The period is fixed given for us all, ideally by the last quarter of the year plans for the New Year should be in motion. Essentially, certain goals should be conceptualized so that deliberations can begin, budget can be crafted and the plan for execution is agreed upon.

It is easier to plan ahead whether you are in business within corporate Nigeria, an Entrepreneur, an Individual, or a sector.

Shop Early Christmas hampers are a trend during the festive

sion and pressure to deliver.

At this point there is the need to delegate some assignments to be able to meet up with time. Delegation is the strategy needed to produce faster results, but delegation must come with supervision for it to be efficient. Look for results, feedback and outcomes.

Rest of Holiday This is also a period when the holiday is not a holiday again; you may choose to spend with family, friends away from home. It needs to be intentional when you decide to rest. Rest with the objective in mind that you intend to recuperate, rejuvenate, relax your mind.

You may need to take drastic measures like cutting off from phone calls, social media, and enclosing yourself in a serene environment.

Financial Discipline Stress during the festive season also has been attributed to the need to want to spend more. This is the time

season, prices begin to escalate as the year draws to a close. Identify who you plan to give corporate or personal hampers to and begin placing orders. Your hamper can be built by a professional or done by yourself. Shopping for hamper items can be crazy if you leave it to the last minute. Begin your shopping for hampers, clothing items, gift, cards and much more well ahead of the rush period.

Delegate Work Place Obligations Somehow so many things begin to happen during the festive season in the workplace. There is a cumulative rush for annual general meetings; last board meeting for the year; wrap committee meetings, executive meetings, departmental meetings and so much more. Your calendar will fill up fast with workplace obligations most especially as office closures occur slightly earlier in the month, creating further ten-

to exercise some level of financial discipline. No doubt you may likely spend more than the usual but plan for that spend, leave room for miscellaneous. Treat yourself you deserve it but add extra caution so that you are not bankrupt so early into the year. Some expenses may come unexpected but leave contingencies for eventualities.

Manage your Time Finally it’s all about time management (i) Set your daily goals (ii) Assign a time frame (iii) Execute that which is realistic (iv) Monitor & evaluate your daily program (v) L eave room for flexibility (vi) Close your day with gratitude Kindly share your experience janet.adetu@jsketiquette.com.

Follow me on social media @ janetadetu

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Celebrating You 2018: Music stars light up TD’s year-end party Jumoke Akiyode-Lawanson

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host of dignitaries including government functionaries, corporate bigwigs and a star-studded line-up of guests and artistes were in attendance as Technology Distributions Ltd. (TD), Sub-Saharan Africa’s foremost ICT distribution giants successfully hosted another memorable annual dinner/awards party at Eko Hotel & Suites on Sunday, December 9, 2018.

A night of glitz and glamour, Celebrating You 2018 certainly lived up to its billing as arguably the biggest and most anticipated celebratory event in Corporate Nigeria, going by the huge turn-out and profile of guests and entertainers which the event attracted.

Led by the Ghanaian Minister of State in Charge of National Security, Bryan Acheampong; doyen of Corporate Nigeria and founder, Diamond Bank Plc., Pascal Dozie; Chairman, Zinox Group, Leo Stan Ekeh; Chairman, Board of Directors, TD, Anya O. Anya; Group Deputy Managing Director, Access Bank Plc., Roosevelt Ogbonna; Founder and Entrepreneurin-Residence at the Ausso Leadership Academy, Austin Okere, among many others; the well-attended event also witnessed a star-

studded cast of entertainers including A-list artistes Yemi Alade, Duncan Mighty and Wande Coal with ace comedian, Bovi as the event host.

Also thrilling guests at the after-party was two-time AMVCA winner and gifted artiste, Falz and celebrity DJ Big N. In addition to a starstudded guest list including captains of industries, bank CEOs, dignitaries and other prominent representatives of the biggest brand names in Corporate Nigeria, the event specially recognized and celebrated TD’s partner eco-system, namely a

host of globally-renowned Original Equipment Manufacturers (OEMs) in the technology space and other channel partners.

Biggest winners on the night include Microsoft (OEM of the Year), Konga (Mainstream Partner of the Year), Blueprint Technologies Ltd. (Partner of the Year), SPAR (TD Lifestyle Partner of the Year), TDelight Phones & Communications Ltd. (Mobile Partner of the Year), The Shops (Vendor of the Year) and the duo of Tobest Computers Ltd. and Edgebase Line Solutions Ltd who claimed the TD 2018 Legacy Award –

a non-voting category.

Other winners include Fine Brothers Ltd. (Partner of the Year – Enugu), 24-7 Technologies Ltd. (Partner of the Year – Owerri), Rewjido Nigeria Ltd. (Partner of the Year – Port Harcourt), Foretec Investment Ltd. (Partner of the Year – Abuja), Grocery Bazaar Ltd. (TDiLife Partner of the Year) and Alliance Marketing (Partner of the Year – Ghana). In addition, 29 organizations were rewarded with the TD 2018 Good Payment Behaviour Award.

Also recognised was Foluso Olulade, a staff of TD’s Marketing depart-

Burst of flavours as JJW journeys through Nigerian cities in 2018 IFEOMA OKEKEA

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018 appears a flavourful one for lovers of live performances and great whisky as the Johnnie Walker sponsored, Johnnie, Jazz & Whisky made soulful stops at key Nigerian cities, spreading entertainment and fun along.

It had started at the first quarter of the year (March 31) at Cubana Lounge in Victoria Island, Lagos when Adekunle Gold delivered pulsating hits from his repertoire amidst cocktails of the various flavours of Johnnie Walker as delivered by renowned mixologist, Kevin Oduntan; ultimately presenting the night as one where truly ‘flavour

was the king and afrojazz, the beat’.

The Lagos edition of JJW also had something for enthusiasts of poetry as Temmie Ovwasa took the stage for a blend of poetry rendition that held the audience spellbound, making the show one of the most talked about in the first quarter of the year.

This obviously whetted the appetite of Abuja fans, prompting the award-winning Johnnie Walker Black Label to take the JJW show to Abuja, with no less music geniuses.

There, it was the turn of afro jazz maestro, Lagbaja and multiple award-winning singer, Simi. The event held on Saturday 28th July at the

Central Park Arena, Abuja, and the legendary Lagbaja and the soulful Simi took centre-stage for a unique blend of music and flavours.

At the end of the show, the audience spared no words in expressing their delight over Simi’s creamy tunes and Lagbaja’s smoky vibes as Johnnie Walker Black Label delivered on a uniquely unforgettable show in the city, when an amazing array of finger foods were on hand to toast guests.

In the spirit of sustaining the ‘keep walking’ character of the brand, the show journeyed to the Garden City, Port Harcourt in Rivers State, where it hosted Femi Kuti and Simi in an evening of total entertainment. The event which took place at the Pleasure Park on October 13, 2018, availed the PH audience the rare opportunity of exciting their palates with the exotic fusions that come with the various flavours of the world’s number one whisky brand.

More of these flavours and fun, interestingly seem ready for fans of live performance

in Lagos, as the stage is set for what enthusiasts have described as JJW’s ‘royal finale’, as the show returns with legendary Afrobeat artiste, Femi Kuti, but this time with sensational singer, Asa, who will be doing her first show for the JJW platform.

Asa, one of the leading female singers from Nigeria, also shares the award-winning character of the Johnnie Walker Black Label having been nominated for honours such as: Prix Constantin and French Music Awards.

The JJW event, which comes up on Saturday, December 8, is slated to hold at GET Arena, Oniru, Victoria Island, Lagos, and will also feature Yimeka, Chike and Efezino.

As usual, the event promises to deliver great performances from all the artistes on parade as the guests taste the joy infused in the assorted cocktails that will arise from the renowned brand, Johnnie Walker Black Label, notable for staying true to its character over the decades.

ment who carted home the highly-coveted Staff of the Year award.

In her speech at the event, Chioma Ekeh, chief executive officer, TD, expressed deep appreciation to the partners, customers, suppliers and other stakeholders whose patronage, support and loyalty were indispensable to the company’s sterling performance in 2018.

“We remain ever grateful and recognise indeed that it is you we are here to celebrate. Your presence here symbolises a cherished relationship either directly with TD, our principals and associates.

We made a promise to you to remain the key driver of trade revolution across Africa. At the start of this year, we made a promise to serve you. This promise, we are constantly reviewing annually and often times more frequently just to allow for measurability and accountability.

“In 2019, I urge you to look forward to a year of nimbleness and more agility in every area of the business life-cycle. The world is going cloud and you can be rest assured that, TD is not left out. We have made significant investments in ERP solutions platform to ensure that the overwhelming majority of our processes are cloud-based and ensure that the business is driven largely by technology,” she

stated.

After a sensational performance by the talented opera and crossover singer Ranti which saw her hit all the right high notes, the stage was set for Yemi Alade to thrill the audience and the Johnny crooner did not disappoint with an energetic performance that set the tone for what was to come.

Up next was Duncan Mighty who got the expansive hall rocking with some of his best hit songs before exiting the stage for Wande Coal who got the guests dancing to hit jams from his early Mo’Hits record days and some of his latest bangers.

The after-party was the icing on the cake as Falz the Bahd Guy delivered an eye-catching performance which got the guests and other attendees in the party mood, paving theway for DJ Big N to dish out a flowing series of hit tracks which kept the hall rocking till the wee hours.

The well-attended event served as an avenue to unwind after the rigours of the current year and re-energize for the challenges of the coming year. Celebrating You 2018 is also an effective medium of showing appreciation and encouragement to outstanding individuals and corporate entities that have positively impacted TD’s performance during the year under review.

Burna Boy, Wande Coal, Teni, Daddy Showkey for GOtv Boxing Night 17

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he Tafawa Balewa Square (TBS), Lagos, will on December 28, 2018 host the heavyweight clash between music and boxing.

The occasion is GOtv Boxing Night 17, which is tagged “Boxing Jams Music”. Performing live at the show are Burna Boy, Wande Coal, Teni da Entertainer and Daddy Showkey.

With its combination of boxing and music, the event, according to Flykite Productions, the organisers, is the ultimate entertainment package for the festive season.

“Music and boxing are major sources of entertainment. It is why we have contracted four of the country’s top musical acts to add plenty of spice to the show, which will feature eight bouts, including the World Boxing Federation Intercontinental super featherweight title bout. Our aim is to provide a well-rounded, year-end entertainment package for

Nigerians,” said Jenkins Alumona, managing director, Flykite Productions.

He added that adequate security arrangements have been made to ensure fans feel safe in and around the event venue.

“Security is very important. One of our partners, KSquare Security, is a leader in the sub-sector. The firm is vastly experienced in handling events of this magnitude. In addition, we will also have government security personnel. There is nothing to fear. Since the event began in 2014, there has not been a single untoward incident in and around the venues we have used.

This event is conceived with the family in mind,” he explained.

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Dying in instalments: How lead battery recyclers are poisoning Nigerians (Part I) A three-month investigation uncovers how companies recycling lead acid batteries are poisoning air, soil and water sources in Ogun and Lagos states leaving workers and residents with scary levels of lead in their blood and leading experts to conclude these Nigerians are dying in instalments, writes ISAAC ANYAOGU

Pollution in Ipetoro

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he air around Ipetoro and Ewurokun communities in Ogijo, Sagamu Local government of Ogun state, has the acrid taste of alkaline; the sky is soggy dripping with smoke rising from powerful kilns inside Everest Metals Nigeria Ltd and Monarch Steel Ltd, Indian-owned companies recycling lead acid batteries and pulverising metals in the community.

Every house within a thousand meters of these factories has something in common: darkened ceilings, windows that are shut both at day and night, black soot settling on furniture, inside the kitchens, in their water and inside their lungs.

“We hardly sleep, both day and night we are faced with smoke, noise and soil pollution,” said 41-year old, Rufus Noel, a local pastor, who lives three hundred and fifty meters away from Everest Metals. “My children constantly suffer runny nose, fevers from time to time, their health is at risk,” Rufus, a widower, has taken his youngest child who is seven, to the hospital, three times in October, 2018 when we visited.

The doctors say the same thing; the child is at risk of complicated respiratory problems.

Rufus blames both companies for the smoke, but holds

LeadCare ll device

Noel Rufus

Everest Metals accountable for ruining soil and water sources in the community through its hazardous waste materials.

But Rufus’ family, like over 500 households live in their own house, many still without paint or plaster and others still at deck levels, as they carry a valiant struggle to hold off penury.

The community also constitute the bulk of the labour force of these companies. Jobs are few and opportunities fewer. The companies are a blessing and a curse.

With labourers earning between N42,000 and N50,000 monthly, it’s the best paying gig in the sleepy community. The other options are subsistence farming, teaching at a local school or joining the transport

business which offers a quarter of what these companies pay.

But it comes at a high cost.

Half a dozen children have died in the community within the last five years suspected of respiratory complications, said Samson Onasanya, another religious cleric whose church ceiling has holes in them, for which he blames the company.

Blood tests Following an outcry by residents, BusinessDay’s correspondent collaborated with Petra Sorge, a freelance German journalist in an investigation supported by the European Centre for Journalism, to test the residents’ claims that Everest Metals is responsible for respiratory diseases and deaths of children and livestock in Ipetoro as well as hold accountable international

companies who buy lead from these factories.

Tobias Eisenhut, a German paediatrician with experience on the subject was flown into Nigeria to conduct blood tests using Lead Care II, a medical testing device manufactured by the United States biotech manufacturer Magellan Diagnostics, capable of immediate measurement of results without sending the blood samples to a laboratory. The Ogun state ministry of health and the Lagos State Environmental Protection Agency (LASEPA) provided approvals and were duly carried along.

On October 26, at Likosi Primary Health Centre, in Ogijo, Eisenhut assisted by the Oluwaseun Akinsanya, the matron, took blood samples from 40 volunteers from the affected communities, including residents and factory workers. Six samples were taken from volunteers in Metalworld Recycling facility in Lagos and six were used as controls including an official of the ministry of environment who monitored the tests. Everyone agreed to share the results with the press but the workers pleaded for anonymity.

At above 5 micrograms per deciliter, the US Centre for Disease Control (CDC) regards it as a reference level at which it recommends initiating public health actions. The World Health Organisation (WHO) says blood

Average blood lead levels of volunteers tested

lead above 10 micrograms per deciliter, is a high level of concern and classifies it as lead poisoning.

Forty-six samples exceeded the WHO threshold of 10 micrograms per deciliter of blood.

Everyone tested who lived close to Everest Metals factory or worked in Metalworld recycling had high values.

“They are killing us gradually,” said Rufus upon discovery that he has 27 micrograms of lead in his blood.

The WHO says that in adults, blood lead levels as little as 5 micrograms per deciliter can cause cardiovascular problems and reduces the immune system.

In children and embryos, lead attacks brain and nerves and can lead to learning difficulties and even mental retardation.

Each microgram costs a quarter to half IQ point.

“Statistically lead blood lead levels of 10 micrograms and above in about half of the children can lead to developmental delays,” said Eisenhut.

The children come to an average of 19.8 micrograms while adults recorded an average of 21.1 micrograms. For instance, seven year old, Azizat Adokoya, had 21.6 micrograms and tenyear old Faruk Balogun, who often plays football near the factory had blood lead levels of 27 micrograms. Even toddlers are not spared with Kehinde and Taiwo, twins of one-year and ten months recording 19.2, and 24.4 micrograms respectively.

Eisenhut explains the level of exposure and capacity of the immune system could account for differences.

Everest Metals is located less than 500 meters away from Christheirs Nursery and Primary school, which had over 200 students, who are between 2 and 14 years. The head teacher who didn’t want to be named said she sometimes considers sending the children home when the smoke becomes intense.

“But then their homes are also in the community,” she said.

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INVESTIGATION Eisenhut said the results from children who attend the school indicating high levels of lead in their blood were not surprising.

There’s only so much the children can learn with the haze of smoke and the rotten smell from the factories, Blessing Olaiya, a class teacher said.

Akinsanya, the matron at Likosi primary healthcare centre said complaints from residents in the community includes coughing, persistent headaches, anaemia, irritability, fatigue, and general weakness.

As control for the test, Tobias Eisenhut, Leslie Adogame, the founder of non-profit, SRADEV who had conducted soil tests in the community, his staff and the journalists were tested and reported average blood lead levels of 3.7 micrograms.

Lead pollution in Lagos A blinding haze of smoke from a factory will surely not go unnoticed by the Lagos State Environmental Protection Agency (LASEPA), but lead poisoning, more insidious even if subtle, happens in Oshodi, only 18 kilometres away from their office at Alausa.

Metalworld Recycling Limited in Oshodi, along with smaller recyclers in Ojota, Agege, Ijora, Festac and Apapa engage in activities to separate lead inglots from car batteries but their operations violate safety standards.

We observed at Metalworld Recycling that workers were not wearing adequate protective gear, lead dust easily drifts into the atmosphere, and the facility is sited close to residential and business areas.

“We buy from the local surrounding areas,” Vinod Jindal, the managing director of the company told us. “We simply ask the buyer to bring without the acid. They bring it after removing the acid.”

But our investigation showed that the company’s suppliers who are mostly Nigerian firms discharge the battery acid unfiltered into the environment.

Individuals also are in the trade like Oluchi Olehi, who buys used lead acid batteries from solar energy companies and sells to Metalworld and Everest Metals.

Soiled soil Last year, Adogame, took soil samples around the Ipetoro as well in the premises of Metalworld Recycling and the result showed three of the four test tubes taken exceeded the permissible lead limits.

Children had average lead levels of 19.8%

Unsafe working environment

The US Environmental Protection Agency (EPA) allows no more than 400 milligrams per kilo near the settlement. In Ipetoro the values were 1900, 2700 and 130,000 milligrams. In Metalworld Recycling the values range between 12,000 to 140,000 mg/kg.

“The soil is totally destroyed and is unsafe for agricultural purpose,” says Adogame who accompanied us to Ipetoro community. Adogame said that what needs to be done is move the people away and carry out remediation activities on the land.

Dangerous work Everest Metals refused to grant us access to the facility to speak to them or inspect the claims of residents of Ipetoro while Metalworld Recycling provided access. We decided an undercover operation as a last resort to get into Everest Metals.

To get a job at Everest Metal Nigeria Ltd, you only need to show up. Work hours are between 7am and 6pm with a thirty minutes break by 10 am and an hour break by 1pm.

You are then sent into a ware-

Working without the right protection, Everest Metals

house filled with all sorts of metals, zinc, aluminium or lead and told to sort like materials.

If you’re not adept even at that, you are then told to help someone who is sorting. No one is turned away on account of their intellectual inadequacy; this is not a job where high intellect is highly priced, you only need to have a pulse.

“When you enter here, you will look at others, the way they are doing, you copy them,” an experienced worker said. This we soon learn is the only orientation you get until you graduate working the furnace.

Everest Metal Nigeria Ltd, incorporated on May 12, 2009, has as key sections: battery demolition, lead furnace, raw material storage area, crucible, bailing machine section, administrative blocks and staff residential quarters.

We counted a dozen staff in the most critical sections – battery demolition, lead furnace, crucible and storage sections with scant personal, protective equipment. In the yard, half the size of football field, car batteries

Working in a dangerous environment, Everest Metals

are stacked on unpaved surface.

In the workshop, workers chop and saw without a breathing mask. At the rotary kiln, in which the battery plates are melted to lead, a man pierces the liquid metal as blue gas escapes at several points.

“This is absolutely negligent,” says Andreas Manhart, environmental scientist, at the Öko-Institut when he reviewed our pictures.

Manhart has visited several lead factories in developing countries and knows that the liquid, glowing lead that escapes uncontrollably during this step is hazardous.

“The worker should actually be fully equipped with special protective clothing and visor in front of the face,” says Manhart.

The environment is “probably highly contaminated,” he said.

Metal sheets covering the furnace at Everest have been eaten away by corrosive sulphuric acid. A test on 16-year old Omisore Abiodun, who breaks battery to discharge the acid content showed the highest blood level of 65 micrograms.

Everest Metals staff working in the furnace section refused to be tested. But five others in related sections who agreed to the test but wished to remain anonymous, and who frequently complain of headaches, persistent cough, dizziness and even anaemia, have the following values: 21.8, 32, 38.1, 41.4, and 42.3 micrograms.

Thriving industry According to research by Recycling and Economic Initiative Development of Nigeria (REDIN), an environmental nonprofit, supported by the Heinrich Boll Stiftung (HBS) Nigeria, over 500,000 tons of used lead acid

Unsafe working environment, Metalworld Recycling Ltd/Photos: Adetona Omokanye

batteries (ULABs) are generated in Nigeria annually from the automobile and renewable energy sectors.

The retail cost of used lead acid batteries ranges between N4,000 and N10,000 per unit.

Each ton is sold at N340,000 translating to a market value of N170bn. The cost of transporting each ton is put at N11,000 and at the rate of 500,000 tones, the estimated cost is put at N5.5billion.

This puts the estimated value of the sector in Nigeria to over N175billion.

The real money comes in hard currency when it is shipped abroad. Depending on their size and lead content, agents for the vehicle battery in Nigeria pay between 12 and 24 euros. The kilo price is around 82 cents, the ton at 820 euros. At the London Metal Exchange, raw lead is traded for about 1.70 euros per kilo - 1700 euros per ton.

Everest Metals buys lead batteries repurposed from vehicles and solar energy components from local suppliers within Lagos, Onitisha and Abuja who may or may not have drained the battery of acid. Three residents of the community including Rufus say the company disposes of the acid water into the community whenever it rains.

Everest Metals pays good price to its suppliers, and Oladimeji Ojewale-Azeez, an artisanal recycler confirms this. He has a workshop - Metal Made Recycling - in Agege. The car batteries are stacked in one corner and the sacks of uncovered scrap in the other. Metal Made consists of him and his three brothers.

Azeez, who wears rubber muffs and plastic boots, puts on a surgical mask, grabs a long knife, a rusty metal bar, and attacks the car battery. Local collectors, like Azeez break open car batteries and empty the acid water into gutters, canals and rivers and supply to exporters like Everest Metal Nigeria Ltd. But it is also another very dangerous part of the work. Azeez had a blood lead level of 50.6 micrograms.

Everest Metals along with other exporters in Nigeria are making a fortune from the export of lead from an unregulated Nigerian environment to markets in Europe, India, and China but are unwilling to make the investments to carry out their operations in an environmentally sound and safe way.

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INTERVIEW Nigeria to gain joining ATI with $50m contribution Nigeria signing to join Africa’s only multilateral credit and investment insurer, African Trade Insurance Agency (ATI) with $50 million, will assist in providing insurance cover for infrastructure and debt refinancing support, according to George Otieno, CEO of the Agency, in this interview with Harrison Edeh. He also talked about de-risking trade and investments in a recent conference in Abuja. Excerpt: What does Nigeria stands to gain from being a member? he government of Nigeria and private sector investors will soon receive important support that will help boost key industries such as the banking sector as well as providing access to competitively priced credit and loan facilities for institutions in Nigeria. Relief is expected once Nigeria finalises its membership into ATI, which is nearing completion.

ATI is Africa’s only multilateral credit and investment insurer, similar to the World Bank’s MIGA but with a focus purely on Africa. In order for a country to access ATI’s full slate of investment solutions, it must be a full member and shareholder. We are here to inform the private and public sectors about the benefits that await Nigerian companies, the government and its institutions once membership in ATI is finalised.

Specifically, ATI will help improve Nigeria’s economic outlook in the following ways. For the overall economy, ATI’s presence will help to reassure investors, particularly in the current election cycle - an environment that often leads to investors delaying their planned projects in any African country undergoing elections.

This risk may already be reflected in Nigeria’s foreign direct investment flows, which totalled $1.2 billion in the first half of the year down from $1.7 billion a year earlier. ATI provides investors with political risk and investment insurance to protect their investments against any unilateral government-related action (including non-payment) that might negatively impact their investments or projects.

ATI will also help the government in its plans to diversify the economy through its support to banks and across a broad spectrum of economic sectors. ATI provides credit insurance solutions, which can act as a form of collateral, therefore freeing up banks’ capital allowing them to lend at greater volumes. With local banks now focusing on decreasing their non-performing loan rates, some are hesitant to lend to the manufacturing and agricultural sectors, where development of both is a major government objective.

From a bank’s perspective these are risky sectors with high credit risk.

With ATI’s credit insurance solutions, this risk can be mitigated, thus opening up more loans to these priority sectors. There are numerous benefits to Nigeria becoming a member of ATI. First, investors and international lenders will look favourably on this action and second the time couldn’t be better for our solutions.

We can support the government to diversify the economy, boost banks liquidity, and even help the government to borrow internationally at more competitive rates. This year ATI’s products will stand behind around 5 percent of all new FDI into Africa so joining ATI literally boosts growth.

Lastly, ATI is now paying dividends to shareholder making membership a near budget neutral deci-

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George Otieno

sion for governments.

Tell us about ATI, and why has it taken several years for Nigeria to join the agency?

ATI was founded in 2001 by African countries with headquarters in Nairobi, Kenya, to cover trade and investment risks of companies doing business in Africa, providing broad range of investment risk solutions and in particular mitigating against the risks of sovereign and corporate non-payment and contractual breach.

It currently has 14 member countries including some of Africa’s strongest economic performers including Côte d’Ivoire, Ethiopia, Kenya and Rwanda, and nine institutional members including the African Development Bank (AfDB). The agency continues its push to increase West African membership with Nigeria signing to join and Ghana expected to finalise its membership in early 2019.

As at 2017, ATI has supported African countries and across sectors with $35 billion in trade and investments in agribusiness, energy, exports, housing, infrastructure manufacturing, mining and telecommunications. We are creating awareness for the Nigerian market with financial assistance from the World Bank. Another major reason also for setting the agency up was because Africa was seen as a destination where investments are shy because of perceived political risk and trade and investment not keeping pace because of its slow growth.

For Nigeria, it indeed took a long time signing up due to the drawbacks in parliamentary ratification and the challenges of convincing the government to join. However, thanks to Nigeria’s Commissioner of Insurance, Mohammed Kari, for helping to fast track Nigeria’s signing to become a member with the commitment of $50 million. We are now at the final stage of signing the treaty as Nigeria has already budgeted its own contributing fund with AfDB, supporting with that part contribution under its window coming with $20 million as plans are afoot to pay $50 million as their contribution which will be 20 percent of their share capital at the moment.

This contribution will make Nigeria the highest contributor to ATI fund.

The process of becoming a member involves certain fundamentals, which a country must first of all go through and satisfy. It is not because they did not want join. From the start we made a presentation of business case to the government showing both the public and private sectors what they can benefit from ATI. We started this discussion as far back as when Olusegun Agangan, was the Minister of Finance. He was quite supportive because he knew the product that we were providing because as you are aware Nigeria is member to other affiliate body that we do we provide products for which are in fact World Bank subsidiaries.

But of course with the change of government and most times the challenge that we have which is not just for Nigeria alone but for other countries as well is that when the deal is almost complete the Minister or some of the government officials are changed and consequently, we have to start all over again forcing us to go to the drawing board.

For instance, the case of Ghana: They were to be given a World Bank loan of $20 million around 2008/2009, the process to finalise did not happen on time because of the three months notice that the bank gave and that funding was quite unique compared to the AfDB, because the bank requires that the treaty has to be rectified and signed before 3 months and if you don’t, you are given another 3 months and this time if you are not able to do it the loan is cancelled.

What are ATI’s plans for other African nations?

Our ambition is to cover the whole of the continent. We have been able to support trade and investment from inception to the tune of $45 billion of investment across the continent.

In 2018 we have done $5 billion of investments in member countries.

Our capital base is $250 million and with Nigeria’s entrance, we will hit $300 million.

ATI has been insuring and providing guarantees for various sectors of the African economy, for instance in aviation, we have supported Ethiopian airlines with 2 of the aircraft and also supported the banks credit advance-

ments to countries. We do not however compete with banks and insurance companies; we provide additional capacities to them. In Nigeria we have already done some deals though not big ones through undertaking corporate risk for Dangote Group and NNPC and in some banks where we have done some currency swaps.

What is the relationship between ATI, AfDB and other international agencies?

ATI does a lot of work with these bodies, we just recently supported a $500 million project insurance cover for one East African countries, at this instance we come in to cover some risk. We have cover for the Trade Bank of East Africa, which is one of the biggest risks that we cover in our books. There are also risks in petroleum imports, which is up to about $800 million.

But of course we do also have reinsurance in the market because it is difficult to just take a risk of $800 million based on our capital, as most of those international reinsurance players will ensure that they feel comfortable to work with us because of our knowledge of the African business.

It will be difficult for lenders to just lender funds to African countries because of the increasing perception of political risk and here ATI crowds in with some reinsurance companies like in the case of the $800 million cover a deal in Zambia. All this happened because ATI was there to provide reinsurers risk. For instance, we have covered risk for Dangote Group and NNPC. In these private operation most times, ATI will be approached by domestic banks, international banks or private equity fund wanting to do business in Nigeria with corporate or government sector.

Sometimes these entities will approach ATI on their investment motives and will seek guarantee in the event that something happens whether in insolvency or bankruptcy and so ATI will step meaning essentially that ATI will pay claims in the event that these companies are not able to pay its debts to its financiers or suppliers ATI steps in and that provides that protection.

Regarding NNPC, they could put out tenders and suppliers are invited to provide refined products, which are imported into the country. These are products which are highly insured in the European markets, so the suppliers will go into the market to seek insurance in any event that NNPC delays or unable to pay for any reason and again here they will come to ATI and they will cover their interest.

We also cover domestic and international banks risk and also a lot of international banks will provide lending to other banks or equity within or even in some instances general purpose loans to the to governments all these ATI covers.

What is your position on ATI’s capitalisation benchmark?

Our capital at the moment is $250 million while authorised capital is $1 billion which we hope to hit in the next couple of years because three years we were only about $150 million and with Nigeria joining we have moved up to about $350 million with Nigeria

and Ghana joining and so we believe that we should be in the region of $500 million in the next few years.

However, what is uppermost in insurance is not entirely the capital though important but ability to bring reinsurance on the table like the risk of about $800 million which we cover which is far and above our capital.

Nigeria is coming with $50 million as their contribution but they have paid $20 million and in the next couples of months and years we believe they will be paying the balance of $30 million.

We are making efforts to make them sign, and just last week there was a meeting between AfDB and the Ministry of Finance represented

by Aliyu Mohammed who attended.

It was agreed that they will fast track the process, though the worries is that the election pull a little drawback and so they were not too sure whether that could happen before the election. ATI wants it to be finalised even before the election if that is possible so that they can benefit from the products and services that we offer, however discussion is still ongoing.

We have very good relationship with AfDB, apart from the fact that they are our client, they are also shareholder as their capital is $15 million which was about 10 percent of our capital then and like as said they want to increase it to $25 million. The new countries now coming like Republic of Benin, Ethiopia, South Sudan and Zimbabwe came through AfDB and also with Nigeria coming in through AfDB and also with Ghana coming in their funds from AfDB. The bank is a very strong partner to ATI because of the same interest and that African countries have and common shareholders and destiny.

What are the challenges of ATI? One of our biggest challenges is the lack of adequate understanding by governments in the continent to appreciate the benefits they can get from ATI. Some private sector concerns in Nigeria have been enjoying some the benefits from ATI through their suppliers and banks because we don’t deal directly with these private companies because we deal with banks and financiers who give them money and suppliers who give them equipment to transact business.

Though, these benefits may not necessary be revealed to these outfits that they have this insurance policy because of the confidentiality status of ATI which is our policy. When banks sometimes get facilities from international organisations, ATI in most cases makes it happens and the biggest secret however is that this is never revealed, so a lot of people are not even aware of this, because in international transaction you cannot supply or trade to somebody on open account terms without a credible insurance.

In Africa, we are still getting to grip with this. If as a country in Africa, you are not a member there is no way we can cover and that is why in the past Nigeria as a country has not benefitted Joining ATI is not just simply signing documents, it requires certain issues which has to do with parliamentary approval and recommendation, and these challenges run through a lot of African countries.

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INTERVIEW ‘We are empowering teachers to drive change in Nigeria’s education system’ Hakeem Subair, founder/ CEO, 1 Million Teachers Inc, is confident that challenges facing the Nigerian education system can be best tackled by prepared learners, effective teaching, learning focused inputs, skilled management and governance that pulls them all together. In this interview with KELECHI EWUZIE, he discusses his project which seeks to close the massive gap of qualified and motivated teachers across Africa. Excerpts: Looking at the policy of education in Nigeria, do you think it is working? What is the way forward? bviously, it is not working. In fact, Nigeria has an education crisis, a learning crisis with one of the poorest learning outcomes in the world. We have one of the highest numbers of out of schools’ children in the world.

Estimated at over 13 million, this is a disproportionately higher percentage compared to other countries.

We lack all the four-key schoollevel ingredients for learning: prepared learners, effective teaching, learning focused inputs, and the skilled management and governance that pulls them all together.

The effect is that not only do we lack trained workers; we lack readily trainable workers, leading to low job quality, earnings, and labour mobility. Admittedly, there are pockets of excellence across the country, especially among the high-end private schools who represent less than 0.5% of students, but the majority are falling behind, and no society thrives where the majority are falling behind.

To get out of the crisis, we not only need to increase enrolment and access, but we need to go beyond schooling to prioritise learning because schooling is not the same as learning. Our education system should equip students with the skills they need to lead healthy, productive, and meaningful lives.

Our education system should equip students with foundational cognitive skills as well as higherorder cognitive skills such as reasoning, creativity and problem-solving.

Our education system should equip students with socio-emotional skills, sometimes called soft or non-cognitive skills such as conscientiousness, perseverance and the ability to work on teams that help them acquire and apply the foundational and other skills.

How best do you think the Nigerian education system need to be managed to achieve productivity and competitiveness?

We need to start by giving learning the attention that it deserves - making it the primary goal and evaluating how we measure up to this goal using the right metrics.

This involves using well-designed student assessments to gauge the health of our various education systems at local and national levels and providing actionable information to stakeholders about what is going wrong in their schools and in the broader society, so they can craft context-appropriate responses to improve learning.

We need to align all stakeholders - recognising that all the classroom innovation will have little impact,

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if, because of technical, cultural, political, and other barriers, the system does not support learning. By considering these barriers and mobilising everyone who has a stake in learning, we can support innovative educators on the front lines.

To be aligned, parts of the education system must be coherent with one another. Alignment implies that learning is the goal of the various actors or components in the system. Coherence means that the components reinforce one another in achieving whatever goals we have set. When systems achieve both alignment and coherence, they are much more likely to promote student learning. The need for coherence means we should craft homegrown, context-specific solutions rather than borrowing in whole, solutions from other countries.

Putting it another way, we need to: Make learning the goal and measure it. Building on what works, and scaling back what doesn’t; Build a coalition for learning that fosters innovation and experimentation; Innovate and test approaches that seem the most promising for the given context and focus on areas that promise the biggest improvements over current practice.

One of your targets with the 1Million Teachers project is to support teachers to achieve professional excellence. How successful have you been in this regard, considering the challenges that public education system still grapple with in Nigeria?

Our approach was to start with the lowest hanging fruits and rapidly scale up from there - in this case private schools and their teachers, who are more open to innovative ideas that enhance student learning. It is from this group that a critical mass of change makers (the first set of Black Belts or Master Teachers) who will eventually permeate the system is being built. So far, the signs have been positive there is a can-do spirit in the air, teachers are excited and full of hope, momentum is building.

These are exciting times for education in Nigeria, and we are happy to be able to play a role in driving the needed change.

What are some of the strategies you think manager of Nigeria’s education system need to put in place to boost opportunities for teachers, students to achieve their full potential?

I would say that everything should be centred around teaching and learning. School inputs, management, and governance must be geared towards enhancing the learner-teacher relationship if they are to improve learning. Now lets discuss the components, which I will place in three broad areas - students,

Hakeem Subair

teachers, and school management: To prepare students for learning, we need to address learner preparation by: Setting children on highdevelopment trajectories through early childhood nutrition, stimulation, and care targeting mothers and their babies with health and nutrition interventions during the first 3 years to reduce malnutrition and foster physiological development.

Lowering the cost of schooling to get children into school, but then use other tools such as school feeding programmes and targeted cash transfers to boost motivation and effort; Providing remediation, in school, before further education and training and after school by way of bridging courses in real-life settings, which allows learners with very low foundational skills to build these in the workplace.

We need to make teaching more effective. Effective teaching depends on teachers’ skills and motivation.

Therefore, we need to: Attract strong candidates into teaching and to provide a solid foundation of subject or pedagogical knowledge before they start teaching so that they come into the classrooms with mastery of the content they are to teach. Further, in service professional development they receive needs to be consistent and practical rather than theoretical.

Put effective mechanisms in place to mentor, support, and motivate teachers this is because teachers’ skills do nothing for learning unless teachers choose to apply them in the classroom. For teacher training to be effective, it must be individually targeted and repeated, with follow-up coaching often around a

specific pedagogical technique. In Nigeria, currently, teacher training is often too short to be effective and too low in quality to make a difference. Long-term coaching is best for achieving sizable learning gains.

Also, financial and non-financial incentives can be used to improve the motivation of teachers. Those who are performing well should be rewarded, and the poor performers should be penalized. For these incentives to improve outcomes, however, there must be clear actions that teachers can take to improve learning. For example, increasing attendance when absenteeism is the constraint.

Target teaching to the level of the student in order to keep learners from falling behind to the point where they cannot catch up. Strategies to target teaching to the level of the student include using community teachers (such as N-Power Teach) to provide remedial lessons to the lowest performers, reorganizing classes by ability, or using technology to adapt lessons to individual student needs.

Improve management and governance as these often undermine schooling quality. Although effective school leadership does not raise student learning directly, it does so indirectly by improving teaching quality and ensuring effective use of resources. Ineffective school leadership means school management is not actively involved in helping teachers solve problems, does not provide instructional advice, and does not set goals that prioritise learning. School governance particularly the decision-making au-

tonomy of schools, along with the oversight provided by parents and communities serves as the framework for seeking local solutions and being accountable for them.

What is the 1 Million Teachers’ triple challenge concept all about?

Given the massive shortage of qualified and motivated teachers, how do we close the gap? Our triple challenge is how do we attract new teachers, train the untrained or unqualified (with focus on lifelonglearning), and motivate them to improve performance thereby enhancing learning outcomes for students.

Presently, the 1 Million Teachers foot-print has been registered in 15 African countries. What are the plans for future expansion?

Beyond the pilots that we have in several countries currently, in the next 5 years, we are looking to expand to all the English and French speaking countries in Africa. Within the period, as well, we are looking at expanding to Asia.

What are some of the achievements you have recorded especially in your interactions with teachers who want to progress to the next level?

We have made significant progress since we started - expanding our footprints to several African countries, securing key partnerships including with the Faculty of Education at Queen’s University in Canada. But out of all these, it is the high-quality and fun learning modules that are changing the hearts and minds of our trainees and the knowledge of their potential impact on the lives of the many kids that they teach that gives us the most joy.

We are eagerly waiting for the day when we will present to the public, our first set of Black Belts.

It must be very tough traversing Nigeria and Canada selling this project. What are the major challenges you have encountered doing this task?

Its par for the course. Getting such a massive initiative off the ground is a herculean undertaking dealing with tight schedules during trips, fretting about money to keep things going, and of course safety.

Personally, being away from family so many times is tough to deal with, but there are lots of joys in making new connections as well as having amazing team mates who make the load lighter and the teachers and students who make it all worthwhile.

What are the key drivers of the successes you have attained in this project you are involved in currently?

- Passionate and talented team members and volunteers who see the challenge as an existential crisis and that must be defeated at all costs.

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Policy

The generators go quiet at Sura shopping complex after IPP installation ISAAC ANYAOGU

T

wo months after the installation of the solar hybrid independent Power plant in Sura market, the sound of over-laboured generators looks set to be a thing of the past as daily huge trucks are moving the redundant generators away from the shopping complex.

The tranquil environment at Sura did come by chance, the traders easily tell you.

“We had to fight the DisCos to get this, we demonstrated,” recalls Bunmi Anne

Ajayi, managing director/ CEO of Lusanna Apparels who specialises in making the school uniforms for children and also the chairman of the Market Association when journalists were conducted around the facility.

Ajayi said the project at first sounded too good to be true, but since it was installed for the past two months, they are faring better.

“In the past when you come into Sura, you are confronted with air and noise pollution because we switch on our individual generators, in my company we have two generators, now we are looking for people to buy our generators.

“If you add the cost of fuelling and generator maintenance, securing diesel, you will be looking at tariff of over N120 per kilowatt hour but now our productivity has grown, we hire more people.

We used to have 32 staff members at the beginning of this year, now we are 50, now the constraint is space,” Sura Shopping Complex

is a gas-sourced off-grid project developed as part of the Federal Government’s Energising Economies Initiative (EEI). The EEI is a Federal Government of Nigeria programme implemented by the Rural Electrification Agency (REA). The project aims to support the rapid deployment of off-grid electricity solutions to MSME’s within economic clusters (such as markets, shopping

complexes and agricultural/ industrial clusters) through private sector developers.

According to the REA, the project will create over 2,500 jobs, empower and transform over 200,000 MSMEs, improve access to stable electricity for over 80,000 shops this year in Sura Shopping Complex in Lagos, Sabon Gari market in Kano and Ariaria market, Abia state and reduce car-

bon emissions annually by 25,000 metric tonnes.

The impact is already being felt with traders reporting more income, better working environment and improved staff morale.

Omotunde Hassan, head of operations at Solad Power Holdings who built the project told journalists that it had a 1 MW backup so that even if the Island IPP goes off, the complex will still be powered.

“The intention is to build our power plant here but there is no gas supply in this area so we built a transmission line from the Island IPP which has 12 MW,” Hassan said.

Sura shopping Complex comprises eleven different businesses ranging from printing and branding to financial services, equipment maintenance, catering and tailoring services.

According to the REA, the EEI has another 13 markets in Phase 1 at various stages of development and construction across the country leveraging solar home solutions and gas-to-power.

COMMENTARY

What do Nigerian electricity consumers want?

Mark Amaza and Yeside Dipo-Salami

I

t goes without saying that one of the biggest, if not the biggest, infrastructural challenge in Nigeria is the lack of reliable electricity supply. With about 90 million people on a 5,000MW grid (only about 50% of Nigerians are connected to it and have electricity access), power is insufficient for most consumers in the country, leaving them to self-generate their energy needs. Today, the amount of power generated privately by manufacturers alone is about 13,000MW – more than twice the capacity of the National power grid. This does not include the large proportion of homes and commercial enterprises that depend on expensive, polluting generators.

Electricity consumers in Nigeria unanimously agree that their most primary concern from power distribution companies (DISCOs) is reliable, dependable supply of electricity. Not only will

this significantly reduce how much they spend on alternative power supply using generators, it will also enable them to be more efficient in their activities. The absence of this has subjected consumers to regular blackouts, brownouts and irregular power supply which could stretch from few hours to a few years, forcing them to rely on generators.

Wicked Problems Persist At a recent NEXTIER event in August of 2018, the question was posed on what consumers want. Several commentators at the forum including the panelists highlighted the issue of estimated billing by DISCOs, particularly the wide disparity between power they consume and bills they pay at the end of the month. After the unbundling of the defunct National Electric Power Authority (NEPA) into the Power Holding Company of Nigeria (PHCN) and the subsequent privatization of the constituent units, it was expected that all electricity consumers will be on prepaid meters to give greater

transparency and insight on electricity consumption and spending by consumers. The goal was also to increase the collections – and ultimately the customer base of the DISCOs. Unfortunately, numerous metering schemes such as the Credited Advanced Payment for Metering Initiative (CAPMI) & the licensing of Meter Asset Providers (MAP) have failed to achieve the desired impact, leaving the percentage of consumers that are metered at 48%; therefore leaving 52% of consumers at the mercy of estimated billing.

As though these were not enough, electricity consumers routinely complain of poor customer service from DISCOs who do not respond promptly to service problems. This ranged from inaccurate billing to faulty equipment and connections to customers who despite being on the grid, go for long periods without any power supply. Despite its best efforts, the Nigerian Electricity Regulatory Commission (NERC) through the creation

of Consumer Forums for resolution of complaints, the problems persist.

A New Category of Electricity Consumers However, there are electricity consumers in Nigeria that do not experience these problems: this group of consumers enjoys constant electricity, pay for exactly what they consume and receive prompt resolution of their complaints. They are able to enjoy these because they are served by decentralized renewable energy solutions which range from pico-solar solutions to solar home systems and mini-grids.

These solutions provide the consumers with the constant power that they need, enabling them to live better lives, enjoy higher productivity and cut down on their spending on fossil-fuel generators. Although some DRE solutions such as solar home systems have a high initial cost compared to generators, they end up being cheaper in the long-run.

Also, consumers of DRE solutions enjoy the benefit

Analyst: Isaac Anyaogu, Email: isaac.anyaogu@businessdayonline.com, 07037817378,

of only paying exactly for the power they consume – whether it is through a one-off purchase, a lease or as metered customers on a mini-grid. Where consumers buy their products outright, they are assured of the fact that there are no added bills from the installers.

Solutions abound with Decentralized Renewable Energy (DRE) With the evolution of business models such as lease-toown or permanent leases which allow more people to enjoy constant power supply from DRE solutions, it is very important to ensure that consumers enjoy the power they paid for through the prepayment for the services or pay for the power they enjoy through their periodic lease payments.

Not only that, many consumers of DRE solutions such as solar home systems are able to visualize their power consumption and even control their systems remotely through energy management software and mobile applications, allowing them

to be more efficient in their energy usage.

Furthermore, consumers enjoy excellent customer service from DRE solution providers who offer prompt resolution of complaints through various channels. Even in the absence of consumer forums and complaint resolution mechanisms through NERC, consumers of DRE solutions have not had recourse to complain to the Consumer Protection Council (CPC) which is empowered by law to provide speedy redress to consumer complaints through negotiations, mediation and conciliation.

DRE solutions have made it possible for those in need of constant power supply where they pay exactly for what they consume together with excellent customer service to have their expectations met. *Mark Amaza is the Nigeria Lead Strategic Communications at Power for All. *Yeside Dipo-Salami is the Nigeria Lead - Human Capital Development at Power for All

Graphics: Joel Samson

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Influencers

GE says smart grids can solve Nigeria, others electricity crises Stories by ISAAC ANYAOGU

G

eneral Electric Power has said that smart technology can play a key role i n t ra n s f o r m i ng power grids and the way energy is generated, distributed, traded, managed and stored.

The US-based Corporation recently released the result of an in-depth study into Sub Saharan Africa electricity challenges and found that smart energy in SubSaharan countries, its challenges and opportunities Co-authored by the Strategic Marketing unit of GE Power in Sub-Saharan Africa and Energy & Environment Research Analysts of Frost & Sullivan, the white paper presents several challenges that affect energy access and power supply stability in Africa.

“Transmission and distribution networks are seen to be the weakest links in Africa’s power systems and hence represent a huge opportunity area for improvement,” Lazarus Angbazo, CEO, GE’s Grid Solutions business, Sub Saharan Africa said in a release.

Angbazo further said, “Going forward, there is a need to move beyond simply maintaining and repairing aged infrastructure. To truly advance the power sector, a holistic approach needs to be adopted; one that ensures sustainability, reliability and longevity of power supply.

“By utilizing internet of things (IoT) technology, the smarter grids of tomorrow will deliver allencompassing solutions based on the convergence of operating technology (OT) with information technology (IT) and incorporating emerging concepts such as distributed generation and energy storage,” he said.

Smart grids will play a key role in the region’s transition to a sustainable energy system through facilitating smooth integration of new energy sources; promoting interoperability between all

types of equipment; enabling the growth of distributed generation and its potential incorporation into the main grid; supporting demand-side manag ement ; and providing flexibility and visibility of the entire grid. GE’s grid solutions six-step process highlighted in the whitepaper will help utilities along the digitization journey of their energy infrastructure.

They include inadequate power generation but more significantly, low levels of electrification caused primarily by faulty, aged or wrong

setup of transmission and distribution infrastructure.

According to GE as digital transformation of the energy sector is rapidly gaining traction on a global scale, new opportunities are emerging to help deliver efficient, affordable and reliable electricity to consumers.

The whitepaper argued that smart grids can create the potential to combat SSA’s power sector challenges, and provide the opportunity for the region to develop its energy capabilities and, therefore its energy security as well

as security of supply. The digital transformation of grids allows users to take a holistic approach to achieve efficiency, flexibility, transparency and long-term sustainability.

The paper explores the opportunities and challenges faced in Sub-Saharan Africa as the new future of energy and electrification emerges. The paper also looks at the role of smart technology to transform grids as they continue to reflect the changes in the way energy is generated, distributed, traded, managed and stored.

Scaling renewables is best option to meet Paris Agreement – report

T

he International Renewable Energy Agency (IRENA) has said that renewable energy needs to be scaled up at least six times faster for the world to meet the decarbonisation and climate mitigation goals set out in the Paris Agreement.

In 2015, over 190 countries met in Paris and agreed to a climate accord to limit average global temperature rise to “well below 2°C” in the present century, compared to pre-industrial levels.

IRENA’s Global Energy Transformation: A Roadmap to 2050, says that renewable energy and energy efficiency can, in combination, provide over 90% of the necessary energy-related CO2 emission reductions.

The report further said that this can happen using technologies that are safe, reliable, affordable and widely available.

“While different paths can mitigate climate change, renewables and energy efficiency provide the optimal pathway to deliver most

of the emission cuts needed at the necessary speed.

“Actual carbon dioxide (CO2) emission trends are not yet on track. Under current and planned policies, (including Nationally Determined Contributions under the Paris Agreement), the world would exhaust its energy-related carbon budget in less than 20 years. Even then, fossil fuels such as oil, natural gas and coal would continue to dominate the global energy mix for decades to come,” says IRENA. The agency says a key concern is that the “carbon budget” to keep global warming below 2o C will run out in under 20 years but is optimistic that keeping the global temperature rise below 2 degrees Celsius (°C) is technically feasible.

“It would also be more economically, socially and environmentally beneficial than the path resulting from current plans and policies, known in the report as the Reference Case. However, the global energy system must undergo a profound transformation, replacing the present system that

is largely based on fossil-fuels.

IRENA says the total share of renewable energy must rise from around 18% of total final energy consumption (in 2015) to around two-thirds by 2050. Over the same period, the share of renewables in the power sector would increase from around one-quarter to 85%, mostly through growth in solar

and wind power generation.

“The energy intensity of the global economy will have to fall by about two-thirds, lowering energy demand in 2050 to slightly less than 2015 levels. This is achievable, despite significant population and economic growth, by substantially improving energy efficiency, the report finds, the

agency said.

IRENA says that renewables could make up two-thirds of the energy mix by 2050, with significantly improved energy intensity, the agency said but calls accelerated decarburization effort.

“As low-carbon electricity becomes the main energy carrier, the share of electricity consumed in the end-use sectors (buildings, heat and transport) would need to double, from approximately 20% in 2015 to 40% in 2050,” the organization said in the report.

It however, said that renewables must also expand significantly as a source for direct uses, including transport fuels and direct heat, the report adds.

“The global energy transformation makes economic sense.

Yet it calls for more investment in low-carbon technologies without delay. Understanding its socioeconomic footprint, meanwhile, is essential. The shift to renewables should create more energy jobs than those lost in fossil-fuel industries,” the report said.

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Company Review

UNESCO’s AI forum: Africa’s future on spotlight FRANK ELEANYA, Marrakesh

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he forum on Artificial Intelligence (AI) organised by the United Nations Educational, Scientific and Cultural Organisation (UNESCO) in collaboration with Mohammed VI Polytechnic University opened in Benguerir, Morocco on Tuesday, 12 December with a primary focus on the future of technology in Africa.

Artificial intelligence is seen as the next phase of the digital revolution. It is seen as capable of disrupting nearly all industries. In Africa, that disruption has already begun with financial services witnessing the most adoption of various levels of artificial intelligence. Development of the sector is seen as critical to reducing poverty in many African countries. AI has the potential to make this a reality by changing the way people access financial services, save money, invest, and get insured.

Experts at the forum called for a continental strategy to deliver the potentials of AI. Africans need to be involved, not just as users but in its development as well.

In Nigeria for instance, financial technology companies are leveraging AI to address the huge gap in lending to small businesses and individuals. The major drivers of AI adoption growth on the continent and elsewhere in the world is the increase of digitised data in the global economy

and the unlimited access to computing power and lower costs for data storage now available over the cloud.

A Whitepaper by International Data Corporation (IDC) predicts that global data traffic will grow to 163 zettabytes (a trillion gigabytes) by 2025 and this massive growth will constantly be feeding AI improvements.

In Benguerir, UNESCO is hoping to encourage stakeholders including government authorities, business leaders and the entire technology ecosystem to make artificial intelligence an important ally in the development drive.

The organisation stated that the initiatives on AI are still limited and they raise important ethical questions concerning the use of private data, freedom of expression and responsibility. It also added that the societal impact of AI technologies, which can replace human labour, is an issue yet to be addressed.

The global economic impact of AI revolution is around 16 trillion dollars, generating empowerment opportunities of about 2.3 million. These facts reflect the emergency of taking first steps to involve AI in the future. So it will be necessary

to ensure that people are able to design and develop AI systems and applications, also in direct and deep collaboration with research and major technology operators.

“AI is fundamentally reshaping how work is done, allowing for a more efficient allocation of resources leading to increased productivity and, in the case of government, improving the delivery of services to citizens,” Microsoft noted recently in a report titled ‘Artificial Intelligence for Africa: An Opportunity for Growth, Development, and Democratisation.’

AI, the report also stated,

will also generate new, highvalue jobs requiring technical skills, such as network engineers in the banking sector or web programmers in the retail industry.

Ibrahim Youssry, regional general manager of Microsoft, MEA noted that AI development efforts must be a partnership between government and businesses, with the former providing the enabling environment for the technology to thrive.

“Demand for data scientists, robotics experts, and AI engineers will increase significantly. Further, AI unlocks the value of data,

enhances cognitive process, and improves predictive capabilities. This would allow governments in the region to drive better policy and decision making,” it added.

AI potential will however not be achieved without the active participation of government.

Betelhem Dessie observed that the concern of most governments is the loss of jobs that AI will bring about. Hence, from the beginning, there is a negative perception of the technology which is limiting.

The best approach could be building AI from a human-centric model, where tomorrow’s challenges and citizens’ aspirations are taken into account.

The 4th industrial revolution could be a major opportunity for the African continent to create an artificial intelligence model where human is put at the center. Therefore, African could work on building an approach that focuses on strengthening soft skills, fighting disparities and promoting equality in terms of opportunities and gender.

Not only will it be essential to support private investments in Africa, it will also foster civil society initiatives.

“AI is emerging as a critical enabler of digital inclusion and innovation and is expected to improve our society and human rights,” Takashi Egawa, a researcher noted during the forum, since it is a very powerful tool, we also have to be careful that it is used for good.

For example, human, not AI must control the system and be accountable.”

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Hotels

Treat yourself to a Hilton holiday OBINNA EMELIKE

O

nce again, it is the most wonderful time of the year, and the stage is set at Transcorp Hilton Abuja for a memorable outing this festive season.

Hilton is promising to be a good host with exclusive hospitality packages, fine dining and quality entertainment that will please guests.

Already, the season’s festivities have kicked off with the lighting of Christmas Tree at the hotel’s lobby on December 5, 2018.

Guests can further share the joy of the festive season at Bukka Restaurant on Christmas Eve and Christmas Day with buffet of wide selection of Nigerian and continental specialties including live cooking station, barbecue station and meat carving station.Also, part of the Christmas Treats is mulled wine as the choir treats guests to Christmas Carols.

Aside the Bukka Restaurant and the Zuma Grills, the hotel furthers the magic

of Christmas with a wellcrafted a la carte Christmas menu. Guests can also usher in the New Year with a fine dining experience at the Zuma Grill with exquisite five-course signature menu and countdown with a live jazz band.

There are also refreshing cocktails and daily musical entertainment in the comfort of the hotel’s Capital Bar and Piano Lounge.

Children are not left out as Hilton plans a yummy holiday for them. The hotel is set to spoil children with loads of activities, adventures, party games, package of dining, entertainment and especially

party gifts from Santa Claus.

They will also enjoy other activities such as handicraft classes, ginger bread, santa’s grotto, bouncy castle among others.

As well, there is complimentary access to fitness centre, Piano Lounge, all-day dinning at the poolside, daily live band entertainment at the Capital Bar, Jazz Band at the Lobby Bar, gaming at Domo Casino, Mongolian Favourites at Oriental Restaurant, dance the night away at Play Hilton, Christmas in the City Comedy Show among others.

For the health conscious, the hotel keeps you alert with fitness activities including;

daily aerobics classes, tennis and squash tournaments, volleyball and basketball challenge, complimentary access to the swimming pool among others.

Of course, the main offerings are the festive dinner at the Zuma Grill and special Christmas Eve and Christmas day buffet at the Bukka restaurant.

Beyond the food, you can enjoy an invigorating sauna and a relaxing massage at the Health Club or the comfort of your room. Share a special moment with your loved one and a couple’s massage costs only N20,000 for 45 minutes massage.

However, the offer comes with festive season rates, which starts from N70, 555 for the Twin Hilton Guest Room. It lasts from December 20, 2018 to January 3, 2019.

Etienne Gailliez, general manager of the hotel awaits your visit this festive season as he assures that “We proudly invite you to make the most of all our special festive offers and the allure of our hotel. Our Team is all set to create extraordinary moments for you”.

Top BusinessDay Partner Hotels Novotel Port Harcourt Address: 3 Stadium Road Rumuomasi, Port Harcourt Rivers State, Tel: 0809 713 5734

Transcorp Hilton Abuja 1 Aguiyi Ironsi Street Maitama, Abuja Tel: +234-708-060-3000

Protea Hotel Apo Apartments Address: Ahmadu Bello Way, Apo, Abuja Tel: 09 480 1818

Hawthorn Suites by Wyndham Abuja 1 Uke St, Garki, Abuja.

Tel: +234 9 4603900, +234 805 7522500

Chida Hotel International Address: Plot 224, Solomon Lar Way, Utako, Abuja Tel: 0810 871 8882

Southern Sun Ikoyi unveils festive offerings at Corporate VIP cocktail

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t was a night of glitz and networking opportunities as Southern Sun Ikoyi brought the year to an end, treating customers, friends and esteemed individuals of Lagos thriving business community to its exclusive end-of-year Corporate VIP Cocktail event at the hotel.

An annual celebration celebrates with Southern Sun Ikoyi’s ever loyal customers, friends and corporate institutions and appreciates them for their consistent support to hotel during the course of the year and in anticipation of their continuous support in the coming year.

Speaking at the event, Mark Loxley, general manager, Southern Sun Ikoyi, expressed

his gratitude to guests for honoring the hotels invitation with their presence and their continued business support and patronage of the hotel, especially through the course of the year.

Loxley, continued with a brief business review of the year in which he highlighted the success of the hotel, including achieving new levels in the patronage of its refurbished and expanded meeting room facilities and the improved occupancy level of the hotel within the last quarter in 2018 on an average of 72 percent and further highlights the improvement in the nation’s economy compared to the previous year.

Intimating guests on the hotel’s plan for next year, Lox-

ley said: “We are excited to announce that the hotel would be engaging in a comprehensive refurbishment with the upgrade of the hotel’s facilities within the first quarter of 2019 in preparation for Southern Sun Ikoyi’s 10th year anniversary, which comes up in June 2019. The planned upgrade presents an opportunity for our long-term partners and new guests to experience our dedication in delivering the Southern Sun Ikoyi signature in comfort, hospitality and brand values.” He wished all guests, friends and partners of the hotel a peaceful and restful Christmas season and a fantastic 2019.

Also thanking guests for their patronage, Ubong Nseobot, sales and marketing

L-R: Cliff Shiridzinodya, deputy general manager, Southern Sun Ikoyi; Abiola Bakare, sales manager Lagos, Kenya Airways; Ibiyemi Odusi, country manager Nigeria, RwandAir; Mark Loxley, general manager, Southern Sun Ikoyi, and Bunmi Afolabi, director general, Nigeria British Chambers of Commerce, at the cocktail in Lagos.

manager, Southern Sun, announced a number of enticing Christmas and New Year offers designed to give each guest a magical treat in the Yuletide season. The offers, such as the Special Christmas Package involving great discounts per standard room each night, complimentary with breakfast for two and two shirts for ironing upon arrival is billed at N40,000 per night. The offer runs from December 17, 2018 to January 11, 2019, while the Exotic Christmas brunch and New Year Brunch on December 25, 2018 and January 1, 2019 respectively are billed at N19,000 per person with a subsidized fee of N10,000 for children between the age of 4-12 years.

Guests at the yearend corporate VIP cocktail event were also treated to a delicious array of sweet and savoury bites, including fresh prawns, juicy steak burgers, fine wine and champagne alongside assorted cheeses and much more, as they relaxed and networked over glasses filled with finely blended wine and juices.

The evening continued with a special session of lucky prize draw, wherein guests had the opportunity to win scintillating experiences courtesy of Southern Sun Ikoyi ranging from scrumptious dinner for two, Sunday brunch for four and a luxurious weekend stay at the hotel after which guests were entertained with delicate tunes by a saxophonist as they hit the dance floor in celebration of a successful 2018.

Radisson Blu Hotel Ikeja #38/40 Isaac John St, Ikeja GRA100271, Ikeja Tel: +234-908-780 5555

206 Hotel Plot 206 Cadastral Zone B02 Opposite Kenuj 02 Mall, Oladipo Diya Road, Durumi District, Abuja Tel: 08119707993 Email: 206abuja@gmail.com

Radisson Lagos Ikeja #42-44 Isaac John Street, GRA Ikeja, Lagos

Protea Hotel (V/Island) Off Ajose Adeogun Street, V/ Island

Gombe Jewel Hotel, 22, Njamena Street, off Aminu Kano crescent Wuse 2, Abuja.

Radisson Blu Anchorage Hotel 1A,Ozumba Mbadiwe,Victoria Island.

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Dying in installment: How lead battery recyclers...

Continued from page 1

responsible for respiratory diseases and deaths of children and livestock in Ipetoro as well as hold accountable international companies who buy lead from these factories.

To establish the veracity of these claims blood tests were conducted on over 40 residents

in the community as well around Metalworld Recycling Ltd in Lagos where similar used lead acid battery recycling activity is carried out. The tests confirmed the fears of the people as it showed high levels of lead in the blood those tested.

A 3 – PART SERIES (PART 1 continues on PAGE 20 – 21)

Plantain business booms on value addition...

Continued from page 2

L-R: Paul Farer, group managing director, NASCON Allied Industries plc; Hadiza Gabon, Dangote season’s brand ambassador; Fatima Aliko-Dangote, executive director, commercial, NASCON Allied Industries plc; Halima Aliko-Dangote, executive director, Dangote Industries Limited, at the unveiling of the New Dangote Seasoning Classic Cube, in Kano, Kano State.

NECA worried by weakening economic...

Continued from page 1

ic Outlook report released in July had projected growth rates of 2.1 percent and 2.3 percent for 2018 and next year, respectively, while the World Bank recently cut its growth projections for the country by 0.2 percent to 1.9 percent.

The Bank cited as its reasons for the reduction in crude production levels, contraction in the agricultural sector on the back of the herdsmen-farmers crisis that has affected economic recovery.

A continued slide in the price of oil, Yinusa warned, could derail the implementation of Nigeria’s 2018 budget, which was premised on oil price of $51 per barrel. It could also snowball into challenges in the supply of foreign exchange, as this is sourced primarily from oil receipts, he pointed out, saying this would hurt local businesses.

While admitting that the reversals of growth projections are “worrisome,” he admitted that they portray “a true reflection of the economic reality on ground.” He warned that Nigeria could face challenges in the areas of deficit financing, cash call payment, microeconomic performance, project financing, and political uncertainty.

NECA, “as the voice of business,” Yinusa said, “is also worried about the looming foreign exchange shortfall to support economic activities, especially as it affects the importation of required raw materials for the sustenance of production in the real sector of the economy.’’

Yinusa also lent NECA’s voice on the contentions surrounding the African Continental Free Trade Agreement (AfCFTA), which plans to create a continent-wide free-trade area, saying Nigeria must exercise caution in acceding to the agreement.

He described AfCFTA as “a neo-liberal policy initiative, aimed at opening our seaports, airports and other businesses to unbridled foreign interference.”

President Muhammadu Buhari refused the sign the AfCFTA document in March this year in Kigali, Rwanda, citing its potential impact on the local industries. Yinusa

echoed the views yesterday, noting that while the agreement is a good idea on paper, it has potential for negative and damaging consequences for local businesses and the local economy.

“We reject the ratification of the AfCTA, until issues of market access and enforcement of rules of origin, among other concerns are addressed,” he said. “Nigeria, with its huge population, cannot allow itself to be used to create import-duty havens for the regional and global businesses.

This will spell doom for our local businesses” he noted.

On the inconclusive discussions on a minimum wage for the country, the NECA boss advised governments to accept the proposed 30,000 per month.

“We believe that the N30,000 recommended is a fair wage that could lift workers’ purchasing power, increase total demand and ultimately stimulate economic activities,” he said.

Yinusa argued that in discussions on minimum wage, “It is not uncommon to hear outcry of inability to pay from one quarter or the other.”

While the claim of inability to pay could be real, he noted that employers, including the government, should undertake “wholesale restructuring and financial re-engineering that will enable it comply with the laws of the land.”

Discussions between the organised labour and government broke down last month, after many state governments claimed they are unable to pay the N30,000 minimum wage, up from the current one of N18,000.

Yinusa linked this with the current debate over restructuring of Nigeria’s structure, saying that restructuring should made to improve the viability of states.

He likened Nigeria’s current structure to the existence of “one large National Distribution Centre with only one major supply point and seemingly endless collections outlets that are either not enhancing inflow into the NDC or making negligible input.”

He argued that states that cannot sustain themselves should be encouraged to “merge and

remerge as a healthy productive centre rather than the existing over-reliance on the centre.”

In the run-up to next year’s general elections, restructuring has become a major campaign issue. While the main opposition party, the People’s Democratic Party (PDP) supports it, president Buhari says that those calling for restructuring plan to destabilise the country. Atiku Abubakar, PDP’s presidential candidate, has pledged to restructure Nigerian within six months, if elected.

“We should aim for a political structure where the federating units will contribute to the centre, thereby assuming the status of multiple centres of productive economic activities and development, as it was in pre-1966 military coup,” Yinusa said.

Yunusa drew the attention of the authorities to the traffic gridlock that has paralysed activities in Apapa for months, saying that the solution lay in implementing prescribed interventions such as opening up other ports outside Lagos, especially Warri and Calabar ports, relocation of the petroleum products’ tank farms from the Apapa axis, fixing bad roads, and adoption of an e-control method to the gridlock as suggested by researchers from the University of Lagos.

Yinusa decried Nigeria’s steep decline into poverty, noting that while in 2014 India was rated as having 33 percent of the world’s poor, four years later, “it came as a rude shock as Nigeria overtook India as the country with the largest number of people living in extreme poverty.”

According to him, data has shown that for every minute, six Nigerians slip into poverty, while six out of 10 Nigerians live in poverty.

He noted that Nigeria’s Human Development Index value for 2017 was 0.532 (highest is 1), which placed the country as 157 out of 189 countries that were assessed. According to him, the country should give adequate attention to such critical indices as health, education, and income/ standard of living, which will ultimately lift the citizens out of the poverty scourge.

“The business is lucrative and demand is growing daily both locally and internationally. I am currently registering my business to commence exporting my products next year,” Olufunke said.

She called for the support of processors of the produce with cheap agro finance to enable them purchase processing machines and dryers as well as advocacy on health benefits in plantain consumption, noting that some Nigerians still have wrong perception that its consumption is meant for only diabetes patients.

Besides cocoa, cashew and sesame, plantain is another crop in Nigeria that has huge export potentials.

Plantain can be eaten raw when ripe, processed into flour to make ‘elubo’ local recipe consumed in Nigeria with soup and also serves as industrial raw materials in firms producing sanitary pads, fabrics and also for the food and beverage industry for making baby foods, biscuits, bread and cakes.

Its nutritional benefits includes low-fat which is good for blood pressure, a key source of vitamins and minerals, high in fibre and rich in protein. This makes the consumption of plantain a great option for diabetic patients.

“We had a bumper harvest this year. Prices have dropped to as low as N4, 000 per dozen (12 plantain bunches) for big sizes at the farm gate compared to N7,000 sold last year,” said Lawrence Afere a plantain farmer in Ondo state who spoke to BusinessDay from his farm in Ilado village.

“I currently supply my plan-

tains to some processors who are processing it into flour and making chips from it. Now you would see a lot of youths are creating employment for themselves through the potential in the industry,” Afere explained.

“The fruit is an all year crop but gets cheaper during August through December and expensive during March through May,” he added.

Currently, one of the major challenges for plantain farmers and processors is the unavailability of cheap agricultural finance for the subsector and the informal nature of activities in the industry.

“The country is yet to realise the full potential in the production of plantain because activities in the subsector are still largely informal and unregulated. Also, most farmers and processors cannot easily access cheap credits,” Oghenekaro who is also a processor and was earlier quoted said.

He called for the proper organisation and coordination of activities in the subsector to explore opportunities in plantain production to create jobs and generate income while adding that the industry has the potential of generating $2.5 billion annually from export.

The plantain fruit is an all year crop but its main seasons are August through December.

Plantain can be grown in 17 states across the country with major production occurring in the humid forest agro-ecological zones which aligns with the South-South and South-West. Oyo, Bayelsa, Edo, Ondo, Taraba, Ekiti, Osun, Cross River and Akwa Ibom accounts for over 60 percent of Nigeria’s total annual production.

Nigerian airlines struggle to replace old...

Continued from page 2

According to IATA, African carriers are expected to report a $300 million net loss in 2019 (slightly improved from $400 million net loss in 2018).

The expected net loss per passenger is $3.51 (-2.1% net margin), but the Association said the exception to the story is Ethiopia Airlines whose net income in the 2017/2018 financial year rose almost 2 percent to $233 million.

Domestic airlines operating in Nigeria have continued to struggle to get funding to replace old, depleting fleet as a result of high interest rate emanating from weak working capital position, currency volatility, and airline’s poor track records.

Aero Contractors had 10 aircraft on its fleet, but the number has reduced to two aircraft.

Medview airlines which had about four aircraft, currently has about two.

Also AirPeace, the largest do-

mestic airline in Nigeria recently reviewed its flight schedule downward on account of five of its aircraft it pulled out of service and sent abroad for C-checks.

Medview Airline Plc, the only airline on the floor of the Nigerian Stock Exchange (NSE) is grappling with deteriorating financial performance as evidence in its third quarter financial results.

The company’s revenue dropped by 75.77 percent to N7.84 billion in September 2018 from N28.77 billion the previous year; it recorded a loss after tax of N1.53 billion in the period under review.

Medview has more debt that will become due in the next 12 months than it has in liquid assets as its current assets of N4.30 billion in the period under review are less than current liabilities of N16.84 billion; also, its accounts payable- that is money owed to suppliers- of N16.24 billion are 3.3 times total equity.

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Nigeria’s first gold refinery to begin operation with 3 tons of 99.99% gold p/m Thanksgiving, memorial service for lauding the effort of Kian monitoring and regulation portunities such as creation Late Chief J.K. Randle holds Monday JOSHUA BASSEY & RAZAQ AYINLA Smith for taking the bold of artisanal gold production of new jobs and other forms

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igeria’s first gold refinery is to start operation with a production capacity of 3 tons of 99.99 percent gold and 1 ton of 99.99 percent silver per month by middle of 2019.

Already, Kian Smith Trade and Company, the promoter of the refinery, has secured foreign trade pact with the World Gold Council towards the full development of the Nigerian gold ecosystem as well as other related minerals in terms of mining, refining and trading.

This is happening as Abubakar Bwari, minister of state for mines and steel development, has assured of the Federal Government’s holistic support for the development of solid minerals, especially gold and related mineral resources while also

step.

Bwari, who spoke at the groundbreaking of the refinery in Mowe, Ogun State, recalled: “During the focus labs of the Economic Recovery and Growth Plan (ERGP) of this administration, we discovered that a well organised gold value chain can trigger an economic revolution like it did in India, South Africa, Switzerland and other countries.

“Consequently, the ministry proposed a Gold Purchase Scheme with the primary purpose of developing the gold value chain through well articulated supply chain strategies, thereby leading to the production of gold products through value addition.

“The implication is that gold supply will be sourced from registered artisanal miners to allow for effective

and ensure that correct gold production data are available. This is in addition to facilitating value addition by producing refined gold bars for the CBN under the Federal Gold Reserve Scheme, as well as the local jewelry industry.

“It is based on this premise, that the ministry approved the first Gold Refinery Licence to Messrs Kian Smith Nigeria Limited earlier this year. I must admit my admiration for the company’s swift response to this opportunity and today we are here to officially mark the commencement of construction activities for the gold refinery plant.

“There is no doubt that this project will eventually improve the economic fortunes of this nation by increasing socio-economic op-

of wealth creation along the value chain.”

Nere Teriba, chief executive of Kian Smith Trade and Company, stated that the firm currently works with various local and international partners to stimulate growth and development in the gold ecosystem of Nigeria as well as other related mineral resources as part of effort to spur speedy economic growth.

On what to expect from the refinery, she said in a shortest possible time, the plant would refine three tons of gold and one ton of silver respectively per month with regular supplies from hundreds of artisanal gold miners spread across Sokoto, Kaduna, Kano, Koji, Nassarawa, Ekiti, Osun among other places in the country when the gold refinery is completed next year.

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he annual thanksgiving and memorial service for late Chief J.K. Randle MBE; M.V.O. Lisa of Lagos will hold on Monday, December 17, at the Cathedral Church of Christ, Marina, Lagos, at 2pm.

According to a statement from the head of the family, Bashorun J.K. Randle, the late Chief Randle MBE died on December 17, 1956, at the age of 47 years, shortly after his return from Melbourne, Australia.

He was the Chief-de-Mission of the Nigerian Olympic Team to Melbourne, while the captain of the team was Alhaji K.A.B. Olowu. The 10 athletes on the trip were captain and 100m and long jump athlete, K.A.B. Olowu, R.A. Oluwo, a pole vault athlete; J.O. Chigbolu, V.O. Gabriel, the late E.A. Ajado, 100m and 4x100m relay; T.A. Erinle, T. Obi, A.K. Amu, P. Esiri (deceased) and former Attorney-General, P.B. Enigo, who participated in the triple and long jump events of the 1956 Games.

The accompanying officials, all deceased, were J.K. Randle, (Chef-De-Mission), A.A. Ordia (coach), J.A. Enyeazu (assistant coach) and Arthur Cooper, Nigerian Attache, Melbourne.

Before his demise, Chief Randle belonged to a number of clubs and associations. He was the chairman of Lagos Island Club and the Lagos Racing (Horse Racing) Club as well as a member of Lagos Town Council and member of the Lagos Executive Develop-

ment Board.

He was a businessman, politician, philanthropist and outstanding all round sportsman (cricket, football, boxing, athletics, draughts etc).

While still a student at King’s College, he played cricket at the international level as a member of the Nigerian team against Ghana (then known as Gold Coast) in 1929 and scored a century. Incredible!

Among the activities lined up for the memorial service are special prayers for the abducted Chibok girls who would have been in captivity for over four years on that day.

The sacrifices of the soldiers/ security forces and the tragedy of victims of insurgency will also merit prayers.

Chief J.K. Randle belonged to a generation of Nigerians whose influence cut across ethnicity, religion, race or whatever. Patriotism and selfless service were the hallmark of their commitment to building a great nation that would command the respect of the international community.

To the memory of the man who has bequeathed a huge legacy of goodwill and sportsmanship, several streets are named after Chief J.K. Randle in Lagos, Apapa and Surulere.

Also, some institutions are named after him. The Chief J.K. Randle Memorial Hall at Onikan, Lagos was built in his memory. Furthermore, Randle Secondary School, Apapa and Randle General Hospital, Surulere, Lagos, are named after him.

OPIC targets N10bn from N6bn housing projects across Ogun RAZAQ AYINLA, Abeokuta L-R: Marilyn Deborah, former minister of agriculture of Sierra-Leone; Singh, chairman of the Asian-African Chamber of Commerce and Industry; Roland Oroh, founder and director, Nigeria Agribusiness Register; Ope Bankole, CEO, Premiere Global Services, at the induction of advisory council members of the Asian-African Chamber.

‘INEC, Buhari plot to rig with illegal polling centres in Chad, Niger’ OWEDE AGBAJILEKE, Abuja

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eople’s Democratic Party Presidential Campaign Organisation (PPCO) has condemned the alleged plot by the Independent National Electoral Commission (INEC) and the Presidency to rig the 2019 general elections by creating illegal polling centres in Chad and Niger Republic.

The PPCO described the plot by the electoral body to secretly create polling centres outside the shores of the nation, in total violation of the 1999 Constitution (as amended), as criminal and exposed part of the plot to corrupt the electoral system and massively rig for President Buhari.

PPCO, in a statement by

its director, media and publicity, Kola Ologbondiyan, on Thursday, said: “President Buhari, INEC and all Nigerians know that there are no provisions for Diaspora voting under our system. By the extant laws guiding elections in Nigeria, it is very clear who is eligible to vote, as well as the centres statutorily designated for elections. There is no provision for any special arrangement whatsoever.

“It is therefore reprehensible that President Buhari, in his desperation to rig the elections, is now trying to hide under the guise of making special provision for Internally Displaced Persons (IDPs) outside the country, to illegally create rigging centres outside our country and import contrived figures into the election results.

“This clandestine ar-

rangement further validates the alarm earlier raised by the PDP, in April this year, of INEC’s plot to secretly create 30,000 illegal polling centres in some remote areas, through which they plan to allocate millions of votes to President Buhari and the APC. “Nigerians can now see that the APC and its candidate are not committed to peaceful, credible, free and fair election. Having realised that there is no way he can win in a peaceful and credible election, Mr. President is now seeking means to enmesh the 2019 elections in constitutional crisis, public confusion and trigger an imminent violence that is capable of derailing our entire democratic process.

“Moreover, by seeking to open polling units outside the country, the Buhari ad-

ministration has now agreed that it does not have full control of Nigerian territory and cannot provide security for Nigerians to freely participate in the elections.

“If President Buhari is in any way inclined towards diaspora voting, he should send an appropriate Bill to the National Assembly for approval to accommodate not only Nigerians in Chad and Niger Republic, but also those in other sub-Sahara countries as well as Europe, America and other parts of the world, who have been agitating for Diaspora voting.”

The Campaign Council, however, cautioned the Presidency and INEC chairman, Mahmood Yakubu, not to set the country on fire by engaging in provocative actions in desperation to rig the forthcoming election.

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s part of mission to further close perceived housing deficit and boost access to affordable housing facilities across the state, Ogun State Investment and Property Corporation (OPIC) has set N10 billion revenue target from the sales of housing units being constructed across the state.

The investment and property agency of the state government plans to spend N6 billion as capital expenditure to construct 200 units of various houses in Magboro New Town Estate in Ogun Central and completes three-kilometre road in Agbara Estate, among other housing projects, which will complement other affordable housing units in New Makun City, Ogun East, and Agbara Estate in Ogun West.

Consequently, OPIC has proposed N6.635 billion as total expenditure for 2019 fiscal year, divided into N6 billion capital expenditure and N635 million recur-

rent expenditure, just as the agency targets N10 billion as total revenue for the year 2019.

Speaking during a 2019 budget defence session at the Ogun State House of Assembly Complex on Thursday, Babajide Odusolu, OPIC managing director, said the agency planned to build a 200-unit of various houses in Magboro New Town Estate.

Odusolu, who added that OPIC planned to complete the three -kilometres road in Agbara Estate next year in addition to the construction of second phase of the MTR Garden with 120 units of two-bedroom apartment as well as continued provision of critical infrastructure across the frontier towns of the state.

According to Odusolu, the Magboro project would complement existing affordable housing projects in Agbara and new Makun City.

“We have affordable houses in Agbara, the 1000 housing units in New Makun City is nearing completion and we will be doing more in Magboro by next year.’’

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Odunayo Oyasiji

Writing a will is not a death sentence- It aids continuity in business

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his is an aspect of law that people don’t like to talk about. Writing of a Will is often considered in our society as a death sentence. That is, it is meant for people who are about to die. That is the more reason why a lot of people will rather wait till they are old (Septuagenarians and Octogenarians) before writing a Will.

Unfortunately, life expectancy in Nigeria is under fifty years. Therefore, many people end up not writing a Will. It is more regrettable in a situation where notable business people die without leaving a Will (die intestate). In most cases, the businesses die due to disputes over who should be at the helms of affairs. Examples of such abound in our society.

What is a Will? A Will is simply a document that speaks after the death of its maker (it is a testamentary disposition of the assets of a person- liabilities also sometimes included). It is a document that a person writes while he is alive stating how is estate/ properties are to be distributed after his death.

It is essential that Wills are written in a way that the courts will

easily give effect to them after the demise of the maker. This is one of the reasons why most people approach a lawyer to guide and prepare their Will. An important legal requirement for the validity of a Will is that it must be signed by the testator in the presence of two witnesses who must be there at the

Friday 14 December 2018

same time. If previously signed by the testator, the testator’s signature must be acknowledged by both witnesses in the presence of each other. Where the witnesses were not present at the same time, the Will may be invalid.

Every person with a sound mind can make a Will. Section 3 of the

Wills Act of 1837 provides that ““It shall be lawful for every person to devise, bequeath, all properties or dispose of, by his Will executed in manner hereinafter required, all real estate and all personal estate which he shall be entitled to, either at law or in equity, at the time of his death, and which, if not so devised, bequeathed or disposed of, would devolve upon the heir at law...”.

Therefore, regardless of tribe and religion a person that has attained the required statutory age and who is of a sound mind can make a Will.

With regards to the right of a muslim to make a Will, it depends on the state where the person is domiciled (his residential home).

If the person is domiciled in a state that applies the Wills Act, then the person has unrestrained right to make a Will –an example is Lagos State. The Supreme Court of Nigeria confirmed the foregoing in the case of Adesubokan & Ors. v.

Yunusa (1971) All NLR 227. However, if the person lives in states where they have their own Wills Law and places restriction of muslim testators then such a person can only make Wills in line with

LOCUS CLASSICUS Addis v Gramophone [1909] AC 488 House of Lords

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he defendant employed the plaintiff as a manager.

However, the defendant terminated his employment contract and recruited another person to take over his position. This was done in a way that breached the contract between the defendant and the plaintiff. The plaintiff then instituted this action claiming for breach of contract and that the damages to be awarded should reflect the way he was dismissed as it has affected his prospect of getting other jobs.

The court held that the aim of contract law is to put parties in the position they would have been in if the contract had been performed as agreed between the parties. Therefore, the claim of the plaintiff can only be limited to his wages and loss of commission.

Contract claims does not give room for exemplary damages or damage to reputation. This can only be claimed under law of tort.

Payment Mechanisms in E-commerce Adetola Adeleke,

Lead Partner Crown Court Attorneys

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lthough e-commerce is considerably different from e-banking, ecommerce rides on the back of e-banking, since the aim of ecommerce is to transcend geographic barriers and exchange goods/services and payment on the internet. Now, the origin of e-banking in Nigeria may be traced to 1996 when the Central Bank of Nigeria approved the introduction of ‘a closed system electronic purse called Electronic Smart Card Account (ESCA)’ by the defunct Allstates Trust Bank PLC. This was followed by ‘Paycard’ in 1997 by Diamond Bank PLC and then Valucard in 1997 by a ‘consortium of leading Nigerian banks’ as an ‘e-payment service provider.’

Nigerians have since been

enabled to make payments via e-channels including mobile

banking. Like in every other jurisdiction, continued growth in technology has since set new trends in the Nigerian banking sector. Presently, all Nigerian banks operate at least one form of e-payment or the other.

Goods and services bought or supplied through the internet can be paid for through the internet in the same way that the internet can be used to make and accept offers.

Popular methods of effecting payments for goods bought through the internet include

the use of credit cards, smart cards, digital or electronic cheques or cash, and debit cards. The use of credit cards is still not very popular in Nigeria. The practice is therefore for the sellers to obtain bank guarantees or often insist on receiving and validating payments before providing services or releasing goods to customers.

If the goods are supplied and payment is not forthcoming through the bank guarantee, the seller has a right of action against the issuing bank that

has guaranteed payments.

There are many problems associated with obtaining bank guarantees in Nigeria for payments in respect of goods bought internationally or through the internet. This has greatly hampered the development of e-commerce.

However, with the increasing level of sophistication in information technology and the development of the telecommunication sector, the use of credit card and other payment facilities in e-commerce is becoming increasingly popular, and in the process, some of the problems associated with payment for goods and services in e-commerce will be reduced.

The various e-payment methods have been both a blessing and a curse, with some of the e-payment methods failing to stand the test of the mildest security challenges and/or network glitches. Cyber-attacks, e.g cyber-squatting, hacking, data diddling, copyright infringement, web jacking, salami attack, worm, trojan horse, cyber warfare and virus manufacturing, remain on the rise in spite of the Cybercrimes Act, 2015. ATM frauds, PIN/ Password hacking, spoofing also pose a significant threat e-payments. It is desirable for the Government to do more to make e-banking safe.

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Odunayo Oyasiji

LOCUS CLASSICUS

Nicholl and Knight v Ashton, Eldridge & Co [1901] 2 KB 126

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rinciple- Frustration in contract Fact: It was agreed between the parties that a cargo of cotton seed was to be shipped from Egypt to England. A specific ship was named in the

Do you know?

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FCC (Economic and Financial Crimes Commission) is not a body established for the purpose of recovery of debt or loan. The same thing applies to the police. The commission is established under the Act to tackle issues that has to do with financial crimes. Section 6 of the EFCC Act 2004 states the powers of the commission as “(1) The Commission has power to (a) cause investigations to be conducted as to whether

any person has committed an offence under this Act; and(b) with a view to ascertaining whether any person has been in offences under this Act or in the proceeds of any such offences, cause investigations to be conducted into the properties of any person if it appears to the Commission that the person’s life style and extent of the properties are not justified by his source of income.

(2) The Commission is charged with the responsibility

of enforcing the provisions of (a) the Money Laundering Act 1995 ;(b) the Advance Fee Fraud and Other Fraud Related Offences Act 1995 ;(c) the Failed Banks (Recovery of Debts) and Financial Malpractices in Banks Act 1994, as amended; (d) the Banks and other Financial Institutions Act 1991, as amended; and (e) Miscellaneous Offences Act; and (f) any other law or regulations relating to economic and financial crimes.

Recovery of possession under tenancy law of Lagos State 2011

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ervice of Statutory Notices by the Solicitor or Agent Before a solicitor or an agent can issue a valid statutory notice on a tenant, such solicitor or agent must first obtain the authority of the landlord in writing. Where it can be established that the solicitor was not authorized in writing by the landlord to issue and serve on the tenant the notices, the judicial attitude is to hold that no valid notice has been issued.

Grounds for Seeking Possession There are two categories of grounds under which the court could make an order for possession: 1. Grounds for possession, subject to the tenancy agreement; and 2. Grounds for possession, regardless of the terms of tenancy agreement Grounds for Possession, Subject to the Tenancy Agreement a) Arrears of rent: Since the Lagos State Tenancy Law does not indicate the period for which the rent may be in arrears, it suggests that even rent in arrears for only one day month may suffice to seek recovery. b) Breach of any covenant or agreement in the Tenancy Agreement. c) Where the premises is required by the landlord for personal use. d) Where the premises requires substantial repair.

Grounds for Possession, Regardless of the Terms of Tenancy Agreement Upon proof of any of the fol-

lowing, the court may grant an order for possession: a) Premises being used for immoral or illegal purposes. b) Premises has been abandoned. c) Premises being unsafe and unsound as to constitute a danger to human life or property. d) The tenant or sub-tenant or any person residing with him constitutes, by conduct, a source of intolerable nuisance or induces a breach of tenancy agreement.

What the Landlord may Claim in an Action for Recovery of Possession The landlord may claim the following: a) Possession of the premises b) Arrears of rent c) Mesne profit or a sum for the use and occupation of the premises

Distinction between Rent and Mesne Profits Rent differs from mesne profits in the following ways: a. While rent is liquidated, mesne profits are not. b.

While rent is operative during the subsistence of the tenancy, mesne profits start to run when the tenant holds over after the expiration of the tenancy. c.

While the entitlement to rent by the landlord is a right flowing from the landlord and tenant relationship, mesne profit is a penalty for tort committed by the tenant. d.

Mesne profits are generally calculated on the yearly value of the premises and so the landlord is not bound to use the rent payable during tenancy as an index of determining the rate or value of mesne profits while rent is generally predetermined by the agreement of the parties.

Arrears of Rent and Mesne Profit Mesne profit has been defined as another term for damages for trespass. The term is used to describe the sum payable by the tenant from the time his tenancy lapses until he gives up possession. It refers to an intermediate profit between two points in time – between the date the tenant ceases to hold the premises as a tenant and the date he gives up possession. The concept covers the rent or profits, which the tenant might have received or made during his occupation and use of the premises after tenantlandlord relationship has ceased, which have to be paid over to the true owner of the property, as compensation for the tort committed by the tenant.

Self-Help in Recovery of Possession Where the landlord seeks to recover possession from the tenant, he cannot resort to self-help.

Any person entitled to possession must regain it by following due process of the law. This is because only the court of law can declare a person a trespasser. The landlord has no unbridled right to invade a premises in the lawful occupation of a tenant. Where the landlord fails to obtain an order of court before entering and taking possession of the premises, he has invaded and committed an infraction of the rights of the tenant and renders himself liable in trespass. Possession must only be obtained by the help of a court order obtained after hearing the parties.

contract agreement as the ship that will carry the cargo (The Orlando). As at the time the contract was due to be performed, the specified ship was damaged and undergoing repairs. Therefore, it could not

carry the cargo to the agreed destination.

The court held that the contract was frustrated as the specified ship could not undergo the trip when it was time for the performance of the contract.

The United Nations Commission on International Trade Law (UNCITRAL) Model on E-Commerce (1996) and The UNCITRAL Model E-Signature Law (2001) he UNCITRAL Model on Ecommerce applies to any kind of information in the form of a data message used in the context of commercial activities. The purpose for which the Model Law was adopted by the United Nations is to enable and facilitate commerce conducted using electronic means by providing national legislators with a set of internationally acceptable rules aimed at removing legal obstacles and increasing legal predictability for electronic commerce. Particularly, it is intended to overcome obstacles arising from statutory provisions that may not be varied contractually by providing equal treatment to paperbased and electronic information.

Such equal treatment is essential for enabling the use of paperless communication, thus fostering efficiency in international trade.

nature of a person, that requirement is met in relation to a data message if: (a) a method is used to identify that person and to indicate that person’s approval of the information contained in the data message; and (b) that method is as reliable as was appropriate for the purpose for which the data message was generated or communicated, in the light of all the circumstances, including any relevant agreement.

(2) Paragraph (1) applies whether the requirement therein is in the form of an obligation or whether the law simply provides consequences for the absence of a signature.”

The UNCITRAL Model E-Signature Law (2001) built upon the principles of the Model Law on ECommerce of 1996 by extending the provisions of Article 7 of the Model Law on E- Commerce in order to promote reliance on electronic signatures. The UNCITRAL Model ESignature Law goes beyond the basic

The Model Law covers areas of e-commerce like application of legal requirements to data messages, communication of data messages, formation and validity of contracts, recognition by parties of data messages, attribution of data messages, acknowledgement of receipt, time and place of dispatch of receipt of data messages, as well as carriage of goods.

One of the essential elements of contract identified in this paper is acceptance. In a largely paper-based contractual set-up, the major way by which acceptance of an offer is conveyed is by appending signatures to documents. In adapting commerce to the paperless/electronic dispensation, the UNCITRAL Model Law on Electronic Commerce gave recognition to electronic signature. Article 7 of the UNCITRAL Model Law on Commerce provides: “(1) Where the law requires a sig-

principle that signatures should not be denied effect simply because they are electronic. Rather, it prescribes the legal requirements for electronic signature in commercial transactions.

An interpretation of the foregoing is that acceptance can now be conveyed through identification marks, usernames, passwords, certifications, box ticking, scanned iris of the eye, fingerprints and other forms of indications.

Several jurisdictions have adopted this feature of e-commerce in their domestic laws. The European Union Directive on E-commerce and ESignatures is essentially to the same effect. This model was also adopted and used in the drafting of cyber legislation in the Singapore Electronic Transactions Act 1998, the South Africa Communication Act 2002 and the Tunisia Electronic Commerce Law (2000), among others.

Adetola Adeleke,

Lead Partner, Crowncourt Attorneys

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Send in Commentaries to caleb.ojewale@businessdayonline.com

FAO Food Price Index declines How Smiley’z plans to curb post harvest losses in tomato to lowest since 2016

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Stories by CALEB OJEWALE Twiiter: @calebtinolu

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he prices of globally traded food commodity have declined in November, marking a two year low led by marked drops for palm oil and other vegetable oils, according to the Food and Agriculture Organization of the United Nations (FAO).

The FAO Food Price Index averaged 160.8 points for the month of November, down 1.3 percent from October and 8.5 percent from a year earlier. The index, an indicator of the monthly change in international prices of a basket of food commodities, is now at its lowest level since May 2016.

The FAO Vegetable Oil Price Index hit a 12-year low, declining 5.7 percent from October. Large palm oil inventories and abundant supplies of soy and sunflower oils fueled the decline.

The FAO Cereal Price Index, covering wheat, coarse grains and rice, dropped 1.1 percent during the month, reflecting large export supplies of wheat, intensified export competition for maize and new crop arrivals of rice.

The FAO Dairy Price Index declined for the sixth consecutive month, falling 3.3 percent from October, as large stocks and increased availability of export supplies - especially from New Zealand - led to lower price quotations for butter, cheese and whole milk powder.

The FAO Sugar Price Index defied the downward trend, rising 4.4 percent in the month. The increase was mostly due to a significant

production decrease expected in Brazil, which has also lowered the share of sugarcane used to produce sugar to 35.8 percent from almost half a year ago.

The FAO Meat Price Index came in marginally lower, with only bovine meat prices rising during the month.

Updated forecasts for cereals output and trade FAO also released a new Cereal Supply and Demand Brief, marking down its forecast for world cereal production in 2018 to 2 595 million tonnes, some 2.4 percent below the record high reached last year.

The new forecast figures do not incorporate recent and significant historical revisions made by China to its grain production estimates, for maize in particular, which are under review by FAO with an eye to updated assessments early next year.

World rice production this year remains on course to reach a new high of 513 million tonnes, representing a 1.3 percent increase from 2017. By contrast, FAO lowered its forecast for global wheat output to 725.1 million tonnes due to smaller-than-earlier expected harvests in Turkey and the Russian Federation. The projection for world pro-

duction of coarse grains was also lowered, to 1 357 million tonnes, due to downward revisions to barley and sorghum outputs.

FAO expects greater planting of winter wheat crops in the northern hemisphere as well as higher maize production in much of the southern hemisphere, although the prospects of a possible El Nino event impair the outlook in South Africa and neighbouring countries.

World cereal utilization during the 2018/19 season is expected to rise by 1.3 percent to 2 649 million tonnes, led by stronger feed and industrial uses of maize.

World cereal stocks are forecast to stand at 762 million tonnes by the close of seasons in 2019, some 6.5 percent below their all-time high opening levels. Maize inventories are anticipated to contract by 14 percent, while wheat stocks should decline by at least 12 percent. World rice stocks, by contrast, are expected to increase by 2.7 percent to hit an historical high of 177 million tonnes.

International trade in cereals is still forecast to contract in 2018/19, though the decline, estimated at 1.1 percent, is smaller than it was anticipated in November.

he Food Connection Challenge held at the Dutch embassy last week, and with 20,000 Euros up for grabs, its major objective was to reward innovative ideas by entrepreneurs who could contribute towards solving Nigeria’s boggling post harvest losses.

Two of the four finalists pitched ideas on tomato value addition in innovative (local) ways, and both were named winners, which was a surprise considering only one winner had been anticipated all along.

The second winner, Smiley’z mobile kitchen, developed a way of pasteurising tomato in glass jars to on one hand, curb post harvest losses, and on the other, ensure year-round availability during scarcity.

The emphasis on tomato is perhaps not an overstated one. In Nigeria, demand for tomato is put at 2.2 million metric tons per annum, while annual actual production is 1.5 million metric tonnes but 700,000 metric tonnes is lost to post harvest wastage, leaving only 800,000 metric tonnes supplied to the market, according to data from the agric ministry.

The 40 percent loss, valued at N72 billion annually, between farm and market, is huge, and even capturing one percent of this value could be a good deal for most small businesses.

Ogola Lois Kange, CEO, Smiley’z Mobile Kitchen, shared some insights into how the pasteurisation approach by the business holds significant prospects in curbing tomato post harvest losses.

The company tries to process tomatoes when it is cheap and in abundance, for use when it is scarce and expensive. According to Kange, the output is “100 percent Fresh tomato paste, containing no preservatives, has a 12month shelve life and costs the same price all year round.” Other excerpts

impact can be more as we get more resources to increase our capacity.

Our business is also impacting on our immediate society by first of all providing jobs for the people we employ, 80 percent of which are women.

below: Why the interest in Tomatoes One of the Seasonal Products we have in abundance in Kaduna is Tomatoes. At Smiley’z we discovered that at the beginning of the year the product is in abundance, but by midyear prices skyrocket because of scarcity and this is because of the huge postharvest losses encountered.

Because our company uses a considerable amount of tomatoes daily, we had the problem of having to buy the product so expensive by mid to end of the year. 40 percent of tomatoes never make it to the market in Nigeria, and most of the loss (60 percent) occurs due to poor processing and storage. Being able to tackle processing and storage means that we can reduce scarcity of the product, bring down the prices at midyear and ensure people have good quality tomatoes all year round.

At Smiley’z Mobile Kitchen, we decided to research and find ways we can process the product when it is cheap and in abundance, for use when it is scarce and expensive. In order to test this business case we decided to enter into the FCC. The potentials for impact Considering the quantity of tomatoes being lost in Kaduna yearly, our business will be processing 45tonnes of tomatoes and reducing Post harvest losses in Kaduna by just 0.01 percent and this

How the FCC grant will impact the business The Food Connection challenge €20,000 grant will help us to semi automate our processes and increase our capacity by 200 percent and thereby reducing Post harvest losses in Kaduna State by 0.01 percent.

Quality issues in tomatoes available in the markets Most of the issues bother on the quality of tomatoes produced by the farmers and this boils down to the kind of seeds they get and plant.

This is why at Smiley’z Mobile kitchen we collaborate with consultants to train and sensitize the smallholder farmers we work with on best practices and where to get the right seeds for best quality tomatoes at affordable prices. We also teach them new farming techniques to ensure efficient use of water and renewable energy power for irrigation.

Other major challenges in operating as a business One of the major challenges is the lack of proper infrastructure and a business climate that is not conducive. Poor power supply and multiple taxations are among some of the challenges we have encountered since 2014.

We have tried to find ways to combat these challenges by inculcating renewable energy systems in our process, as well as familiarising ourselves with the law so we know exactly what our obligations are or aren’t.

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New report raises hopes for Mediterranean and Black Sea fisheries

Increased soil contamination puts food safety, security at risk - FAO

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lthough the main commercial fish species in the Mediterranean and Black Sea are still over-fished, pressure has reduced over the past years, raising hopes - for the first time - for the recovery of fish stocks, according to new FAO-GFCM report recently launched.

The report noted that the percentage of overexploited fish stocks decreased by 10 percent - from 88 percent in 2014 to 78 percent in 2016.

More efforts are needed, however, to ensure long-term fish stock sustainability, warns The State of Mediterranean and Black Sea Fisheries.

This means more support for the small-scale fishing sector, which employs most fishers and causes least environmental damage; reducing bycatch and discards; and introducing more drastic measures such as significantly reducing fishing or establishing fisheries restricted areas (areas where fishing activities are regulated).

The latter is particularly needed to safeguard the most heavily fished species, such as European hake, which is fished nearly six times beyond its sustainable level.

“Fisheries provide the region with an important socioeconomic balance and are essential to ending hunger and poverty,” said Abdellah Srour, GFCM Executive Secretary.

“Sustainability may be expensive in the short term, but there is nothing more expensive than running out of fish,” said Miguel Bernal, FAO Fishery Officer and one of the report’s coordinators.

Mediterranean and Black Sea fisheries are under threat in the long run because of the effects of increased pollution from human activities, habitat degradation, the introduction of non-indigenous species, overfishing and the impacts of climate-driven changes.

Most over-fished species The European hake remains the species subject to the highest fishing pressure

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in the whole Mediterranean, followed by turbot in the Black Sea and horse mackerel in the Mediterranean.

Sto cks f i she d w i t h in biologically sustainable limits mostly include small pelagic species (sardine or anchovy), and some stocks of red mullet and deep-water rose shrimp.

Catch levels - latest trends Overall, fish catch levels have been stable for the last few years, but are significantly down from the record years of the 1980s - 1.2 million tonnes in 2016 versus 2 million tonnes in 1982.

The 1.2 million of tonnes comprise of 830 000 tonnes of fish caught in the Mediterranean and 390 000 tonnes of fish from the Black Sea. The bulk of catches consists of small pelagics (sardines, anchovies accounting for a third of all catches) although the catch is composed of a high number of species compared to other areas of the world.

Across, the region, the ranking of capture fisheries production in 2014-2016 continues to be dominated

by Turkey (321 800 tonnes and 26 percent of total landings compared to 31 percent in

2013), followed by Italy (185 300 tonnes and 16 percent, similar to the 2013 percentage). Algeria (96 300 tonnes and 8 percent) and Greece (65 700 tonnes and 5 percent) also maintain the same (2013) percentages in landing contribution. Both Tunisia (185 300 tonnes) and Croatia (74 400 tonnes) show an increase compared to 2013 (from 7 to 9 percent for Tunisia and from 3 to 6 percent for Croatia). Total landings for Spain (78 200 tonnes) decreased from 8.5 percent to 7 percent of the total).

Among subregions, the Black Sea continues to provide the largest contribution to capture fisheries production, with a 32 percent of the total, followed by the western Mediterranean (22 percent of total), the Adriatic Sea (16 percent), and the central and eastern Mediterranean (15 percent each).

Discards and incidental catches of vulnerable species still of concern - 275 000 tonnes of fish discarded every year Some 230 000 tonnes of Mediterranean fish is discarded every year - about 18 percent of total catches.

In the Black Sea, discards are estimated at around 45 000 tonnes or around 10-15

percent of total catches.

Some sectors generate more discards than others - trawling, for example, accounts for over 40 percent in some areas, whilst small-scale fisheries tend to be below 10 percent.

According to the report, incidental catches of vulnerable species are relatively rare events but a re i m p o r t a n t b e c a u s e the species caught are of conservation concern. Among the vulnerable species most affected by incidental catches, are sea turtles (which appear in 8 out 10 of reports on incidental catches) followed by sharks, rays, and skates (appearing in 2 out of 10 reports on incidental catches each). Seabirds and marine mammals represent the lowest number of incidental catches, and are only occasionally included on incidental catches reports.

The report was launched on the occasion of the first GFCM Forum on Fisheries Science (Fish Forum 2018) organized at the FAO headquarters from 10th to 14th December 2018, as a recognition of the instrumental role of science in improving knowledge towards sustainable fisheries management.

n marking this year’s world soil day, the FAO has stated that urgent action is needed to address soil pollution and contain the multiple threats it poses to global food safety and food security.

According to FAO, thousands of chemicals, which are commercially produced on a large scale, plastic and electronic waste, non-treated wastewater can all become a source of soil pollution, paving the way for the pollutants to enter the food chain with serious consequences for the health and wellbeing of people and planet.

“About 33 percent of all soils are degraded - and soils continue to deteriorate at an alarming rate,” said Maria Helena Semedo, FAO’s Deputy Director-General at the World Soil Day Ceremony in Rome. “Soil acts as a filter for contaminants. But when its buffering capacity is exceeded, contaminants can enter the environment and the food chain. This undermines food security by making crops risky and unsafe for consumption”.

“Human activities are the main source of soil pollution.

It is in our hands to adopt sustainable soil management practices,” she added.

She called “for greater political support and significantly increased investment towards healthy soils”. Maintaining healthy soils helps ensure safe and nutritious foods and is essential for achieving the Sustainable Development Goals and Zero Hunger.

Reuse, recycle and reduce This year the World Soil Day theme is “Be the solution to

soil pollution”, and FAO offers a number of recommendations on how to reduce the soil contamination at the state, industrial and consumer level.

For example, growing cities are producing mounds of garbage that end up in landfills and enter the soil, up to 80 percent of which could be recycled.

As technological progress accelerates, electronic waste is considered as a new emerging threat to soils. Fifty million tons of e-waste are generated every year, making it one of the world’s fastest growing pollution problems affecting our soils. FAO encourages people to donate or recycle old devices rather than throwing them away.

While agrochemicals can help meet the world’s growing demand for food, they leave a legacy of soil pollution and degraded agroecosystems. Nearly 60 percent of the top agricultural soils in 11 European countries contain residues of multiple persistent pesticides. FAO urges governments to promote the responsible and sustainable management of agrochemicals.

One third of the plastic produced globally ends up in our soils with plastic particles then entering the food chain and the environment. Stronger environmental policies and regulations are needed to prevent the use of excessive packaging and chemicals by industry. However, each and every person can also contribute to solving the problem by simply carrying a reusable bottle and grocery bag, and buying products with reduced or recycled packaging.

AfDB, Big Win Philanthropy, Dangote Foundation launch plan to improve child nutrition, fight stunting

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orking with Big Win Philanthropy and Aliko Dangote Foundation, the African D e ve lo p m e nt Ba n k ha s unveiled a new Multi-Sectoral Nutrition Action Plan that aims at raising investments towards reducing stunting by 40 percent in African children under the age of five by 2025.

AfDB in statement, stated Africa loses $25 billion per year in costs attributed to child morbidity and mortality, impaired cognitive, physical, and economic development caused by malnutrition. Yet these losses are almost entirely preventable.

The ambitious Action Plan is looking for additional

support and commitments from governments for nutrition.

Jennifer Blanke, VicePresident, Agriculture, Human and Social Development at the African Development Bank, stressed the importance of engaging energetically and substantially with the private sector, “if we want to achieve long-lasting results.”

Through the Multi-Sectoral Nutrition Action Plan, the Bank commits to scale up the proportion of investments that are ‘nutrition-smart’ in agriculture, water, sanitation and hygiene, social and health sectors. “ In t e r m s o f hu ma n development, nutrition is as important as investments

in infrastructure and power in stimulating economic growth. Big Win Philanthropy is thrilled with President Adesina’s leadership in giving greater priority to nutrition and the wider human capital investment agenda,” said Jamie Cooper, Chair and President, Big Win Philanthropy.

“By leveraging investments across five sectors, and encouraging its member countries to do the same, the African Development Bank is achieving ‘double wins’ for every dollar spent: improving lives and generating economic growth.”

Nutrition is inextricably linked to the Bank’s High 5 priorities: nutrition-smart

investments could be catalytic for realizing equitable growth agenda.

Speaking at the launch, Zouera Youssoufou, CEO, Dangote Foundation, said, “We know we cannot do this by ourselves, so it made sense to put money at the African Development Bank to develop this nutrition strategy. We are really happy to see the strategy come together following a twoyear journey.”

In 2017, more than a third of the world’s stunted children under the age of five lived in Africa with stunting rates ranging from 35.6% in East Africa to 32.1%, 29.9%, 29.1%, and 17.3% in Central Africa, West Africa, Southern

Africa and Northern Africa respectively, according to the Plan, which also revealed that Africa is the only region in the world where the number of stunted children has risen in the past few years.

The Plan will focus on integrating nutrition smart interventions into projects in the Bank’s extensive agriculture pipeline. The Bank’s Feed Africa Strategy executes the Comprehensive Africa Agriculture Development Programme (CAADP) goals of contributing to elimination of extreme hunger, malnutrition, and poverty. In addition to improved productivity, the Action Plan looks into the potential to nourish Africa, by

including commodity value chains that offer broad-based nutrition value, instead of just calories.

This will include leveraging flagship initiatives including Technologies for African Agricultural Transformation (TAAT),theStapleCropProcessing ZonesProgramme,andIntegrated Agro-Industrial Parks.

To realise its human and economic potential, Africa must invest in nutrition - particularly during the 1,000 days between conception and the age of two - as a crucial foundation for productivity later in life, said Oley Dibba-Wadda, the Bank’s Director Human Capital, Youth and Skills Development Department.

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ECB to halt expansion of €2.6tn QE programme End of extra bond purchases shifts investor focus to timing of interest rate rises Claire Jones

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he European Central Bank has called time on its contentious four-year experiment in stimulating the eurozone economy, confirming on Thursday it will halt the expansion of its €2.6tn bond-buying programme this month.

Mario Draghi, ECB president, hailed the impact of socalled quantitative easing in helping to restore the eurozone to economic health, saying that at times it had been “the only driver of this recovery”.

In a widely expected decision on its QE policy, the governing council said net purchases under the programme would end this month, almost four years after it started buying bonds as a means of trying to reinvigorate the eurozone’s economy after a long financial crisis.

But Mr Draghi acknowledged fears over the economic environment, saying risks were “moving to the downside” because of protectionist fears, geopolitical turbulence, emerging market vulnerability and volatility in financial markets.

The euro dipped to $1.1345 half an hour after Mr Draghi started a press conference on Thursday, from $1.1380 immediately beforehand.

Addressing investor concerns over an abrupt end to QE, the bank said it would continue to reinvest the proceeds of bonds that are now maturing.

For the first time the bank linked that intention to its own interest rate decisions, saying reinvestments would continue well beyond the point where it starts to raise its rates.

Interest rates have been on hold since March 2016 and are not expected to rise until past the summer of next year.

The bank’s main interest rate remains at zero.

The council unanimously supported the message on reinvestments, the ECB president said. With Mr Draghi set to step down next October, any sign of splits within the council could have provoked market jitters on just how committed the ECB is to keeping other aspects of its crisis-era stimulus in place.

The ECB started its bond purchases much later than its counterparts in the US and the UK — in large part because of tensions between fiscally prudent northern member states and their more indebted southern counterparts.

Its decision to rein in QE comes as doubts grow over the vigour of the economy. After an exceptionally strong 2017, when the eurozone grew at its fastest rate since the financial crisis, growth fell to a four-year low of

Vincent Peng, president of Huawei in western Europe, said the company wanted to reassure governments about its role in the supply chain

0.2 per cent in the third quarter.

Mr Draghi acknowledged economic data had been “weaker than expected” but said the domestic economy would continue to “underpin the economic expansion”.

He said the governing council’s mood was one of “continuing confidence” in the eurozone’s economy but “with increasing caution” on the outlook.

The bank is relying on the strength of the labour market to boost spending and compensate for the drop in export sales. It also said risks to the outlook were “broadly balanced” — an assessment out of sync with that

of most economists.

“If the ECB was to do an objective assessment of what’s changed in the economy since June, they would extend asset purchases. There is clearly a deterioration in the performance of the economy,” said Ken Wattret, economist at IHS Markit, a data group. “The Japanese experience of deflation was a big issue for the euro area during the crisis.

Underlying inflation is still not really picking up, there is a genuine concern that the lack of ammunition in the eurozone could be an issue in the future.”

The ECB targets inflation of slightly less than 2 per cent.

The ECB’s decision to stop expanding QE had been widely flagged and monthly bond purchases had already fallen from €30bn to €15bn in September.

The bank has sought to assuage investor concern about the drop in growth and the lack of a pick-up in underlying price pressures.

The bank has said it expects to keep interest rates on hold “at least through the summer of 2019, and in any case for as long as necessary to ensure the continued sustained convergence of inflation to levels that are below, but close to, 2 per cent over the medium term”.

Finally, Congo has a chance to move on from Kabila

Huawei vows to do ‘anything’ to soothe security concerns

If vote rigging is too blatant, the urban youth that demanded elections will erupt again

Nic Fildes and James Kynge

David Pilling

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wo days before Christmas, voters in sub-Saharan Africa’s largest country by area will attempt the impossible. They will try to put the “democratic” in the Democratic Republic of Congo.

After two years of obfuscation, the government of Joseph Kabila will finally hold elections to replace him as president. These will mark the first transition via the ballot box in the central African nation’s troubled and tragic history.

Of all of Africa’s 54 countries, the Congo most fires the imagination.

Immortalised by Joseph Conrad and VS Naipaul and captured in electrifying Congolese music and boisterous, defiant fashion, the country leaves few visitors unmoved. It is hard not to be struck by the gulf between the nation’s prodigious mineral wealth and the grinding poverty and insecurity of most of its more than 80m people.

Mr Kabila came to power in 2001 within weeks of the assassination of his father, Laurent, the rebel fighter who, backed by neighbouring Rwanda, had overthrown the western-sponsored kleptocrat Mobutu Sese Seko four years earlier.

Kabila Sr had presided over two ruinous wars that had killed and displaced millions. By contrast his son, 29 when he took power, started reasonably well. He struck a peace accord, invited in investors, and liberalised the economy. He held elections in 2006 and again in 2011.

Mr Kabila has wilfully allowed the country to slip into fragmentary chaos.

Violence has flared in provinces such as Kasai, an opposition stronghold, and the Kivus, where as many as 140 rebel groups roam hills dotted with mines.

Katanga, the other big mining region, has flourished. Congo has become the world’s biggest producer of cobalt, a vital component of smartphones and electric car batteries, and Africa’s biggest copper exporter.

Though the economy more than quintupled to $38bn between 2001 and 2015, the lot of the ordinary Congolese remains dire.

Congo is a textbook example of a predatory state in which the government extracts resources to enrich itself and pay off people who might otherwise vie for power. Mr Kabila has played the game brilliantly, though he Continues on page 46

Chinese group prepared to make wholesale changes, says western Europe chief

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uawei has promised it would do “anything” necessary to convince the world that it can be trusted to build 5G networks after the US urged its allies to drop the Chinese supplier on security grounds.

The Chinese telecoms equipment company agreed to spend $2bn last week to overhaul its systems in the UK after British officials expressed their concerns over using Huawei for 5G, the next generation of mobile communications.

But in an interview with the Financial Times, Vincent Peng, the president of Huawei in western Europe, said the company is prepared to do more across the world to reassure governments about its role in the supply chain.

“Anything needed to do this transformation we are committed to do this. Restructure the organisation, rebuild the processes, rebuild the products,” he said. “Process, personal skills, engineering capability, anything,” he added.

Mr Peng, who previously managed Huawei’s relationship with Vodafone in Europe, framed the growing concern about the Chinese company’s now dominant role in

telecoms infrastructure as part of a wider increase in scrutiny of the sector.

“We thought in the past the challenge was the backdoor issues, the security issues, so we try everything, try all the best efforts, to try to prove we are a good company,” he said, referring to historic fears that the Chinese government would be able to eavesdrop on communications made through Huawei equipment.

“But now the challenge is even bigger. It is for the whole industry, for the whole value chain, the whole system. As a leading supplier, we have to take our own responsibility going forward,” said Mr Peng.

In the UK, Huawei’s equipment and software code is tested at a facility in Banbury by UK intelligence officials, an arrangement that has comforted politicians. But as the world begins to roll out 5G, there are concerns that countries will become too dependent on Huawei, and that more sensitive data will run through the Chinese company’s equipment.

Europe represents Huawei’s largest market outside mainland China. It will spend close to $16bn on research and development this year, about 15 per cent of its rev-

enue, according to Mr Peng.

Mr Peng warned that an escalation of the US-China trade war would be highly damaging. For example, 33 of Huawei’s 92 core suppliers are based in the US but its American rival Qualcomm also supplies much of its kit from Asian companies.

“This is a global industry and a global supply chain. How can you survive by yourself?” he said.

“We are doing business in 170 countries. Honestly we don’t know why we can’t do business in that specific country,” he said of the US, where the largest networks are barred from using its equipment.

He argued that tying a country’s infrastructure to a specific technology or provider would be a “disaster” because it would add cost and risk a fragmentation of the global telecoms industry.

Mr Peng declined to comment on the arrest of Huawei’s chief financial officer, Meng Wanzhou, in Canada pending extradition to the US, but he said he was personally relieved that Ms Meng has been released on bailed. “As a friend of Madam Meng for almost 30 years, I am very happy she could be sitting at home, taking a little rest and relax a bit,” he said.

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Finally, Congo has a chance to move...

Congo voting machines destroyed in fire 10 days before elections

Continued from page 45

denies being corrupt.

Yet he has not had everything his own way. His reluctant acceptance of constitutional term limits is evidence of that. He has been pressed by protesters who have taken to the streets in their tens of thousands and by a Catholic Church that, unique among Congolese institutions, enjoys legitimacy.

Taking their cue from this popular discontent, the US, Europe and even regional powers such as Angola have urged Mr Kabila to go.

What happens next? Mr Kabila has nominated Emmanuel Shadary to keep his seat warm until he can run again in 2023. His courts have neutralised two of his most potent rivals by preventing them from running.

Voting rolls have been massaged and electronic voting machines — with limited battery life — installed.

Election day will be held against the backdrop of chaos in which Mr Kabila thrives. In North Kivu, voting will take place amid the second-worst Ebola outbreak in recorded history.

Few international observers have been invited.

Yet Mr Kabila does not hold all the cards. The opposition is split, but reasonably effective. In a fair vote, either Felix Tshisekedi or Martin Fayulu might well beat Mr Kabila’s placeman.

If rigging is too blatant, the urban youth that poured on to the streets demanding elections will erupt again.

Alleged Russian spy pleads guilty in US conspiracy case Maria Butina tried to open ‘unofficial lines of communication’ with political figures

Kadhim Shubber

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aria Butina, the Russian spy arrested in Washington this summer, admitted attempting to “establish unofficial lines of communications” with US political figures in federal court on Thursday morning.

The 30-year-old Russian national appeared in court to plead guilty to conspiracy against the US as part of a deal that includes an agreement to co-operate with US prosecutors.

Ms Butina was charged in July and accused of operating as an unregistered agent of Russia during and after the 2016 presidential election cycle.

The US attorney’s office for the District of Columbia said the gun rights activist had attempted to infiltrate the Republican Party by building links with organisations like the National Rifle Association.

“Butina sought to establish unofficial lines of communication with Americans having power and influence over US politics,” said a prosecutor for the US attorney’s office in court, according to CNN. On Thursday, Ms Butina changed her previous not guilty plea and admitted operating under the direction of a Russian official, widely identified as Alexander Torshin, the former deputy governor of the Russian central bank. She had previously served as his assistant.

Ahead of the hearing, the Russian government had denounced the arrest of Ms Butina and called for her release.

Friday 14 December 2018

Blaze at warehouse in Kinshasa heightens tensions before long-delayed presidential vote Tom Wilson

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Theresa May speaks to the press ahead of the EU summit © AFP

Theresa May warns no ‘immediate breakthrough’ expected on Brexit

EU leaders caution it will be hard to give legal assurances the UK seeks on backstop Jim Brunsden and Mehreen Khan

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heresa May has said she does not expect “an immediate breakthrough” in talks with other EU leaders on her Brexit deal as she tries to strengthen EU language suggesting that the most controversial measure in the package would only apply for a short period, if at all.

Arriving for a summit in Brussels, the bloc’s leaders insisted that, while they are ready to try to help the UK prime minister, that would not involve reopening the Brexit withdrawal treaty. Several added that it would be difficult to meet British demands for legally binding assurances.

“I don’t expect an immediate breakthrough but what I do hope is that we can start to work as quickly as possible on the assurances that are necessary,” Mrs May told reporters on her way to the summit.

After aborting a House of Commons debate on her deal this week, Mrs May has promised that the vote will take place by January 21, by which time she hopes to have obtained the additional reassurances from the EU. But President Emmanuel Macron of France issued a note of caution about how significant such assurances could be. “We can have a political discussion this evening, but the legal framework has been negotiated and cannot be changed,” he said in Brussels.

“We cannot reopen a legal agreement, we cannot renegotiate what was negotiated over months,” Mr Macron added. “We can have a political discussion but not a legal discussion.”

The focus of the discussions is “backstop” provisions in the exit treaty that are vehemently opposed by many in Mrs May’s governing Conservatives and her allies in Northern Ireland’s Democratic Unionist party, which provides her with a narrow parliamentary majority.

“What I will be talking to European leaders about here today is about what I think we need to get this deal over the line,” Mrs May said. “I will be showing the legal and political assurances I think we need to assuage the concerns.”

She also confirmed that she would not lead the Conservatives into the next UK general election, scheduled for 2022. “I said that, in my heart, I would love to be able to lead the Conservative party into the next general election, but I think it is right that the party feels that it would prefer to go into that election with a new leader,” she added.

Mrs May yesterday survived a Conservative party vote on her leadership, but said that she had “heard loud and clear the concerns of those who didn’t feel able to support me”.

Draft EU summit conclusions suggest the bloc is ready to reassure the UK formally that the backstop, which is intended to prevent a hard border in the island, is an insurance policy that “does not represent a desirable outcome” and would only last for “as long as is strictly necessary”.

Angela Merkel, German chancellor, said she was “pleased” Mrs May overcame the vote, adding that the bloc was ready to talk about “additional assurances”.

According to the draft summit

text, the remaining 27 members of the EU are considering offering the UK a declaration that they are ready to “embark on preparations immediately” about a future trade agreement as soon as the withdrawal agreement is ratified by the UK parliament and the rest of the EU. If a future trade agreement takes effect and prevents a hard Irish border, there would be no need for the backstop, which would keep the entire UK in a customs union with the EU and is loathed

by Conservative Eurosceptics and the DUP alike.

Mark Rutte, the Netherlands prime minister, said the EU was ready to offer these “clarifications” at the summit. “I can assure you one thing, there is nobody in their right mind who wants to trigger the backstop,” said Mr Rutte.

But EU officials have resisted UK requests to give assurances on the issue full legal force, and have insisted the bloc cannot in any way “contradict” or change the meaning of Britain’s withdrawal treaty.

Juha Sipila, Finland’s prime minister, said a legally binding declaration would be “a little bit difficult”.

“I think that we all want to help first of all. Our goal is that the new relationship will be before the backstop,” he said. “Let’s see if we can find something from the legal side also — but it’s open still.”

Xavier Bettel, Luxembourg’s prime minister, cautioned that the EU would “not be able to do genuine changes” and that “renegotiating will be very, very hard”. But he added that he “really” wanted to help Mrs May.

Acacia shares rise on hopes of Tanzania dispute breakthrough Henry Sanderson

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hares in gold miner Acacia Mining rose by 6 per cent on Wednesday on hopes of a resolution to its longstanding dispute with the Tanzanian government, which has hampered its operations in the country.

The miner’s largest shareholder Barrick Gold held talks in Tanzania last week that could pave the way for a $300m payment to resolve the deadlock, which has left Acacia unable to export gold since March 2017, according to a person familiar with the matter.

If an agreement is reached it would be a victory for Mark Bristow, the new chief executive of Barrick, following its agreement to merge with London-listed Randgold Resources in September. One of Mr Bristow’s key lieutenants Willem Jacobs, who will head up Barrick’s Africa and Middle East division, was present at the talks, according to another person familiar with the matter.

It could also put a line under Tanzania’s previous demand that Acacia pays $190bn in unpaid taxes and interest.

Mr Bristow has a wealth of experience in Africa, and has long

coveted Acacia’s North Mara mine in Tanzania, according to people familiar with his thinking.

In October 2017 Barrick said it had agreed with Tanzania to pay $300m as a “gesture of good faith” and give a 16 per cent stake in Acacia’s mines to the country as well as share the economic benefits. But Acacia said it could not afford to pay the money and continued talks between Barrick and Tanzania failed to yield a solution.

Bloomberg reported earlier that Barrick had reached an agreement with the Tanzanian government to pay the $300m in instalments.

fire at a warehouse in Kinshasa, capital of the Democratic Republic of Congo, has destroyed thousands of voting machines intended for use in the country’s long-delayed presidential election.

The suspected arson attack, which started in the early hours of Thursday, has heightened tensions surrounding the poll and the government’s controversial decision to introduce an electronic voting system.

With less than 10 days to find replacement equipment, it also casts doubt on the electoral commission’s ability to hold the vote in Kinshasa, Congo’s biggest city.

The election that marks country’s first transition via the ballot box, has been delayed for two years, stoking suspicion that President Joseph Kabila, who has agreed to step down after 17 years in office, may still want to influence the outcome of the vote.

The opposition has questioned the independence of the electoral commission and the integrity of the untested electronic voting system, in some cases calling on voters to break the machines. This week, as tensions mounted on the campaign trail, security forces attacked opposition rallies in the south-east of the country.

About 7,000 voting machines were lost in the fire, as well as ballot boxes and other materials, said Barnabe Kikaya Bin Karubi, chief diplomatic adviser of Mr Kabila.

“It is incredibly serious,” Mr Kikaya said by phone from Kinshasa.

An investigation is under way but the government suspects it was a criminal attack and the facility’s security guards were being interviewed, he said.

The fire has already provoked a series of claims and counter-claims from Congo’s divided political class, said Stephanie Wolters, a Congo expert at the Institute for Security Studies in Pretoria, South Africa.

“Civil society and the opposition are accusing the government of committing arson in order to justify a further election delay, in an indication of just how high levels of distrust and suspicion are,” she said.

The electoral commission, also known as CENI, said the fire would not derail the vote, which is scheduled for December 23.

But the loss of so many voting machines so close to election day is a major challenge. Presidential, parliamentary and provincial elections will take place on the same day, and the devices are programmed for deployment in specific constituencies. It means the electoral commission must not only find replacement machines, but also programme each device for use in Kinshasa, said Mr Kikaya.

The CENI has approximately 30,000 spare voting machines, out of a total of about 105,000, which were to be used around the country as extra devices, but the deployment of equipment was running behind schedule in some areas and overdue training of more than 500,000 election staff was expected to continue right up until voting day.

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@ FINANCIAL TIMES LIMITED

Man Group to exclude controversial stocks from some funds Tobacco and coal groups face exclusion as hedge fund steps up responsible investment Jennifer Thompson and Attracta Mooney

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an Group has become the latest hedge fund group to embrace responsible investing with the $114bn manager planning to ban controversial stocks including tobacco groups and coal producers from a number of its funds.

The world’s largest listed hedge fund group said it planned to organise all its funds into one of three categories according to the importance they place on responsible investment.

Those classed in the two strictest categories will ban companies producing tobacco and groups that derive at least 30 per cent of their revenues from coal or thermal coal.

However, exposure to the contentious sectors will still be permitted in some funds.

Man has not yet begun organising its products according to the three categories, so it is unclear if the move will require any divestments following their classification.

“We see clear demand from institutional investors for managers to demonstrate their commitment in this area and put action into words,” said Sandy Rattray, chief investment officer.

Man said organising this way would “provide credibility, clarity and consistency” across its fund range.

It added that funds in the two most stringent categories would also be subject to enhanced stewardship and engagement requirements.

Man already bans investment across all its products in companies that produce controversial arms and

munitions such as anti-personnel mines or chemical weapons.

Hedge funds are committing more of their assets to strategies that follow responsible investment principles as investors push for products with stronger environmental, social and governance credentials.

A survey published by the Alternative Investment Management Association in May looking at 80 hedge funds with a combined $550bn under management found they had committed more than 10 per cent, or $59bn, of this to responsible investment strategies.

Although AIMA said the sample may be “positively biased” towards firms that already have an interest in responsible investment it said the findings still demonstrated increasing interest in responsible investment in the industry.

Other asset managers are looking at ditching fossil fuel holdings amid growing concerns about the impact of climate change on investment returns.

Aviva Investors recently sold out of several carbon-intensive companies across the portfolios it runs for its insurance parent. It dumped Coal India, China Coal Energy, China Resources Power, Alliance Resources Power and Alpha Natural Resources.

Steve Waygood, chief responsible investment officer at Aviva Investors, said the fund house had divested from 17 companies, after deciding the businesses were ill-prepared for a low-carbon future.

“We don’t wear those as a badge of honour, but the case is that we’ve parted from those businesses. There are companies that we don’t think are part of the transition and can’t transition or at least won’t.”

Man Group to exclude controversial stocks from some funds

GE soars after Wall Street bear gives stock an upgrade JPMorgan analyst rated the industrial giant ‘underweight’ for 2 years Matthew Rocco

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eneral Electric shares rose sharply on Thursday after a Wall Street analyst who had predicted their downfall gave the beleaguered stock an upgrade.

JPMorgan analyst Stephen Tusa lifted his rating on GE to neutral from underweight, saying there is “more balance” between risk and reward for investors now that negative outcomes in GE’s turnround are at least partially discounted in the share price.

“Key to the story, in our view, is the outcome of the ‘known unknowns’ in near term, which are better understood and around which the debate is more balanced, as opposed to being overlooked by most Bulls in the past,” Mr Tusa, who had the equivalent of a sell rating on GE shares for two and a half years, wrote in a note to clients.

He added: “It’s possible that the company can execute its way through an elongated workout that limits near-term downside.”

JPMorgan’s rare upgrade breathed new life into GE’s stock, which had lost 62 per cent of its value year-to-date as of Wednesday’s close. Shares jumped as much as 12 per cent, which would mark the largest one-day gain since April 2015. The stock was recently trading about 9 per cent higher at $7.32.

GE has sold off $20bn in assets, slashed its dividend and laid out plans for a potential healthcare spin-off in a broad restructuring effort that began under former chief executive John Flannery last year. The Boston-based company replaced Mr Flannery with Larry Culp in October.

The industrial giant, which makes everything from jet engines to lightbulbs and appliances, an-

nounced its latest move on Thursday with the sale of a majority stake in software provider ServiceMax to Silver Lake. GE also said it will turn its industrial software unit into a standalone subsidiary.

GE has said it does not plan on launching an equity raise, though Mr Tusa said he is “increasingly assuming a material equity raise could be necessary.”

“In this instance, while we think there would be near-term downside, we also think there could be support at a lower level, and likely a benefit of the doubt for new management with a higher multiple on lower earnings and [free cash flow],” Mr Tusa added.

JPMorgan maintained its price target for GE shares at $6, below an average price target of $12.51, according to Refinitiv. Mr Tusa said the stock has an upside risk of $8 and downside risk of $5.

Environmental consultancy RPS held takeover talks with Charterhouse Investors signal concerns with leveraged loans had stepped back from the sector Bryce Elder and Javier Espinoza

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PS Group, the global environmental consultancy, has held talks with buyout firm Charterhouse Capital Partners about a potential takeover offer.

Charterhouse approached RPS in the wake of an October profit warning with a view to taking the £300mvalued company private, according to two people with knowledge of the situation. Discussions between the companies were preliminary and no talks are currently taking place, one of the people said.

The interest in RPS follows a wave of consolidation among consultancies that has left the Oxfordshirebased group as one of the few large publicly-quoted players. UK sector peers WS Atkins, Hyder Consulting and Mouchel have all been acquired in recent years.

“Given the ongoing consolidation in the consultancy market, we see RPS’s market positions, profit improvement potential and valuation as potentially attractive to other players,” said RBC analysts in a note published this week.

In April, Charterhouse said it had bought a majority stake in SLR Consulting, one of RPS’s key local competitors. The private equity group

three years earlier with the $1.7bn sale of Environmental Resources Management to a consortium of Canadian pension funds.

RPS shares have halved in the year-to-date on disappointing earnings and concerns about high staff turnover. The company was hit by a downturn in the energy and resources end markets, which had accounted for about a fifth of its fee income, and warned in October that weak trading had been compounded by the cost of a global rebrand.

John Douglas took over as RPS chief executive in last September following the retirement of Alan Hearne, who had been CEO since 1981. The company first listed on the London Stock Exchange in 1987 and employs around 5,000 staff globally.

“RPS was a business too focused on acquisitions (which it generally overpaid for and integrated poorly) and also failed to re-invest the gains from the boom years in the energy markets,” said RBC analysts. “However, we believe new management has outlined a sensible strategy to transform the business from an unfocused conglomerate into an internationally recognised environmental consultancy.”

Risk premiums rise for securities backed by lower-rated corporate credits Joe Rennison and Colby Smith

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nvestors are pulling back from bonds backed by riskier corporate loans, raising pressure on highly indebted companies that have enjoyed easy access to the $1.3tn leveraged loan market in recent years.

Leveraged loan investments have grown popular because they pay a floating interest rate, positioning buyers to receive higher returns as the Federal Reserve tightens policy. But with investors ratcheting back expectations of US central bank rates rises, the leveraged loan market has been losing appeal.

The impact can be seen in the pricing of investment vehicles backed by leveraged loans, known as collateralised loan obligations, or CLOs, which pool expected payments and divvy up slices, known as tranches, based on their riskiness.

The difference between the interest rates on the highest-rated CLO tranches and three-month Libor has hit 121 basis points — the biggest risk premium since February 2017, according to Citigroup.

As recently as November 2017, the spread was 90bp.

Lower-rated CLO tranches have also come under pressure. The spread between double-B tranches and

three-month Libor rose 70bp in November to 675bp, the biggest monthly increase since early 2016, Citigroup said.

“The market is turning for loans and CLOs,” said Maggie Wang, an analyst at Citi. “Both markets have struggled as people think the upside is now less because the Fed is getting close to the end of its rate hiking cycle.”

Concerns about leveraged lending were highlighted this week when Janet Yellen, the former Fed chair, reiterated warnings that declining underwriting standards for corporate loans could lead to more bankruptcies and prolong the next economic downturn.

But the current tremors in the CLO market seem more related to diminishing investor appetite than a deterioration of underlying credits. CLO issuance this year has hit a record $125bn, according to LCD, a division of S&P Global.

Investors pulled $1bn from the asset class for the week ending December 5, bringing outflows since mid-November to $4bn, according to the loan pricing unit at Refinitiv. The last time the leveraged loan market saw such large outflows was three years ago.

“The appeal of floating rate instru-

ments has become less attractive,” said Tracy Chen, head of structured credit at Brandywine Global Investment Management. “The late-cycle credit concern, as well as the Fed’s more dovish tone, may weigh on both leveraged loans and CLOs going into 2019.”

Leveraged loans prices are down this year, but have fared better than those for more highly rated loans.

The S&P/LSTA Leveraged Loan Price index has lost roughly 2 per cent this year and now sits at its lowest level since 2016. The price of Invesco’s Senior Loan ETF, by contrast, has declined 3.5 per cent.

But some CLO investors remain upbeat, blaming the price deterioration on skittish retail investors and fund managers dialling back risk as the year comes to an end.

They argue that a strong US economy is supportive of the market. Rating agencies forecast that company defaults will remain low next year.

“There doesn’t seem to be a theme of sophisticated institutional investors being worried about nearterm credit risk at this point,” said Tom Majewski, chief executive at Eagle Point Credit. “If anything, the cheaper prices have started to bring more investors into the market.”

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ANALYSIS US resists efforts to boost IMF’s permanent reserves Move deals a blow to Christine Lagarde’s efforts to shore up fund’s financial footing he US has come out against an increase to the International Monetary Fund’s permanent reserves, dealing a blow to efforts by Christine Lagarde, its managing director, to put the institution on a more stable financial footing.

David Malpass, the US Treasury’s undersecretary for international affairs, told a congressional committee on Wednesday that the US is “opposed to changes in quotas”. He argued that the IMF has ample firepower and countries have developed alternative resources to draw on in a crisis.

Ms Lagarde had embarked on a drive to persuade the IMF’s largest shareholders to back an increase in the organisation’s permanent firepower around the time of its annual meetings in Bali, Indonesia, in October. Had

backed this year’s IMF bailout of Argentina, the largest in its history, but has been more sceptical of IMF interventions in countries that are big recipients of Chinese investment, such as Pakistan.

Speaking to the House Financial Services Committee, Mr Malpass said: “We will be seeking a constructive size for IMF resources that contributes fully to the stability of the international financial system, but recognises that the IMF is just one part of the global financial system and its various support mechanisms.

“We are opposed to changes in quotas given that the IMF has ample resources to achieve its mission, countries have considerable alternative resources to draw upon in the event of a crisis, and the post-crisis financial reforms have helped strengthen the overall resiliency of the international monetary system.”

the US supported the idea of an increase in IMF quotas, it would have probably triggered a positive response from other leading countries as well.

While the US appears to have shut the door on an increase in the IMF’s permanent reserves, it appears to have left it open when it comes to US backing for alternative funding mechanisms, for example a renewal of the NAB — the borrowing facility that pools temporary contributions to the IMF from its members.

While the IMF has plenty of available cash, the expiration of borrowing arrangements in the coming years is expected to sharply shrink its resources, potentially constraining its capacity to rescue financially troubled economies.

The Trump administration’s decision to shy away from a permanent boost to IMF resources reflects its aversion to multilateral institutions. While an increase for the IMF would have strengthened an institution that has for decades been synonymous with the US-led international economic order, it would have inevitably allowed emerging markets, including China, to wield greater influence within the organisation, at a time of high tension between Washington and Beijing.

The US enthusiastically

Mr Malpass said in his testimony that he met Ms Lagarde last week to discuss funding needs, and that the administration would notify Congress within a few weeks of the formal start of negotiations with the IMF. Gerry Rice, the IMF’s chief spokesperson, said it had taken note of Mr Malpass’s comments.

“The fund currently has the financial means to fulfil its role in the global financial system, and we will continue to provide advice and program support to our membership in line with our policies,” said Mr Rice.

“We are actively engaged in discussions with our membership to complete the 15th review of quotas by the time of the annual meetings [in] 2019 at the latest. These discussions will continue, guided by our members’ common interest in ensuring that the IMF remains strong and well-resourced into the future.”

Mark Sobel, US chairman of think-tank Omfif, who represented the US on the IMF’s board until April, said: “Even if fund resources are ample at this moment, that is no guarantee of the future. Turning our backs on a fund quota increase will be seen across the globe as another US snub of multilateralism, global institutions, and a rules-based order.”

James Politi and Sam Fleming

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Universities challenged: scrutiny over Gulf money Recent scandals have put Middle East funding of US and UK institutions in the spotlight Andrew England and Simeon Kerr

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hen Matthew Hedges, a Durham University PhD student, set off on a twoweek trip to the United Arab Emirates, he was following a tradition of British academics conducting research in the Arabian peninsula. But as he tried to leave Dubai in May he was detained, held in solitary confinement in Abu Dhabi for six months and sentenced to life in prison for spying.

His sentencing triggered a rare public spat between the UK and one of its closest Middle East allies. Both sides now appear keen to move on after the UAE pardoned Mr Hedges in November. But British academia may find it more difficult to return to “business as usual”. The Hedges case revived western scrutiny of the Gulf — which has periodically been criticised over labour conditions and human rights abuses — and the rewarding relationship UK universities have long enjoyed with the oil-rich states.

Some US institutions are also reassessing their ties with Gulf entities in the wake of the October murder of Jamal Khashoggi by a Saudi hit squad. A preliminary report by MIT into its links with Saudi donors and sponsors found no reason to end the relationships. But Harvard has chosen not to renew a five-year fellowship programme with the MiSK Foundation, Saudi Crown Prince Mohammed bin Salman’s charity.

In the wake of the journalist’s killing, US senators said they believed Prince Mohammed, the kingdom’s de facto leader, ordered the operation against Khashoggi. Prince Mohammed has denied any involvement in the killing and Riyadh has blamed it on a rogue operation.

The debate about university links to the Gulf underscores how the repercussions of the Hedges and Khashoggi cases are being felt far beyond the political and corporate worlds. For western governments, the dilemma is to appear robust in their responses to the incidents while maintaining relations with key allies. But for academics it is particularly sensitive as they seek to balance their traditional positions as defenders of human rights and freedom of expression with longstanding financial, educational and research relationships.

“It’s going to make us all a lot more conscious of, and careful about, how we look for money, how we accept money,” says William E Granara, director of Harvard’s Center for Middle Eastern Studies. “The latest incident is going to keep us all on our toes.”

Confident, assertive and keen to

exert soft power, Gulf countries have been pouring hundreds of millions of dollars into top academic institutions in the UK and US for years.

Between them the six Gulf states — Saudi Arabia, the UAE, Qatar, Kuwait, Bahrain and Oman — have provided $2.2bn to US universities since the beginning of 2012 to June this year, according to a Financial Times analysis of the US education department’s Foreign Gifts and Contracts Report.

The Gulf total represents just under a quarter of all foreign gifts and contracts over that period. Qatar, the world’s richest state in per capita terms, led with $1.3bn, followed by Saudi Arabia with $580.5m and the UAE with $213m.

The figures include funding from state oil companies, such as Saudi Aramco and Qatar Petroleum, Gulf universities and cultural missions. Much of the money also goes to student fees — Riyadh funded about 110,000 US scholarships for Saudis between 2005 and 2015.

There is less transparency over foreign funding to UK institutions. But Gulf entities have donated tens of millions of pounds to the country’s leading institutions, primarily to their Middle East centres. Research by academics Jonas Bergan Draege and Martin Lestra, published in the Middle East Law and Governance journal in 2015, estimated that Gulf entities provided at least £70m to UK institutions between 1997 and 2007.

Oxford university says it has received £17.7m from Gulf states since 2000, excluding donations to individual colleges, with more than £6m each from Saudi Arabia and Qatar.

About 1 per cent of its total donations came from the Middle East. That also excludes funding for the Oxford Centre for Islamic Studies, which is described as a “recognised independent centre” of the university, built with a £20m donation from King Fahd, the late Saudi monarch.

Confident, assertive and keen to exert soft power, Gulf countries have been pouring hundreds of millions of dollars into top academic institutions in the UK and US for years.

Between them the six Gulf states — Saudi Arabia, the UAE, Qatar, Kuwait, Bahrain and Oman — have provided $2.2bn to US universities since the beginning of 2012 to June this year, according to a Financial Times analysis of the US education department’s Foreign Gifts and Contracts Report.

The Gulf total represents just under a quarter of all foreign gifts and contracts over that period. Qatar, the world’s richest state in per capita terms, led with $1.3bn, followed by Saudi Arabia with $580.5m and the UAE with $213m.

The figures include funding from

state oil companies, such as Saudi Aramco and Qatar Petroleum, Gulf universities and cultural missions. Much of the money also goes to student fees — Riyadh funded about 110,000 US scholarships for Saudis between 2005 and 2015.

There is less transparency over foreign funding to UK institutions. But Gulf entities have donated tens of millions of pounds to the country’s leading institutions, primarily to their Middle East centres. Research by academics Jonas Bergan Draege and Martin Lestra, published in the Middle East Law and Governance journal in 2015, estimated that Gulf entities provided at least £70m to UK institutions between 1997 and 2007.

Oxford university says it has received £17.7m from Gulf states since 2000, excluding donations to individual colleges, with more than £6m each from Saudi Arabia and Qatar.

About 1 per cent of its total donations came from the Middle East. That also excludes funding for the Oxford Centre for Islamic Studies, which is described as a “recognised independent centre” of the university, built with a £20m donation from King Fahd, the late Saudi monarch.

Gulf State funding to US universities Cambridge university received £8m from Saudi billionaire Prince Alwaleed bin Talal in 2008 to establish a centre for Islamic studies, and gifts totalling about £7m from Sultan Qaboos bin Said al-Said, Oman’s ruler, for the establishment of two professorships.

Richard K Lester, MIT’s associate provost, told the university’s newsletter that his recommendation not to terminate its ties to Saudi donors was a “tough call, because none of us wants to lend legitimacy to grotesque actions like the assassination of Khashoggi”.

“But the judgment I have made [in the preliminary report] is that, on balance, the benefits provided by the work we’re doing outweigh the impact of any kind of reputational support our activities may provide to those in Saudi Arabia responsible for these malevolent actions.”

Other academics are more sceptical. “I doubt it will be business as usual,” says one close to the Hedges case, “and nor should it be.”

There is also a deeper question that some academics say needs to be asked — the extent to which Gulf funding may influence research on the Middle East, a region where some topics are taboo and critics and dissidents are jailed.

Mr Hedges was researching the sensitive subject of military development in the Gulf after the 2011 Arab uprisings.

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Electoral Act: Buhari has hidden agenda - Afenifere …Group accuses APC of institutionalising vote-buying Nigerians and political stakeholders across the country, the president, however, said the passage of a new electoral bill at this period could create uncertainty and confusion in the nation’s electoral process ahead.

But speaking in an interview with Business day Thursday, National Publicity Secretary of the group, Yinka Odumakin, described the President’s decision as a setback to democracy in the country, stressing that there has not been any move by the President since he assumed office to safeguard the electoral process in the country.

Odumakin said it was obvious that the president decision was taken to safe guard millions of votes he allegedly illegally acquired in the north, adding that the APC was planning to rig next year’s election.

Iniobong Iwok

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an-Yoruba socio-cultural group, Afenifere, has faulted the refusal of President, Muhammadu Buhari, to withhold his assent to the amended electoral bill, saying that the president and his party the ruling All Progressives Congress (APC) had a hidden agenda ahead of next year’s general elections.

There have been wide spread public outcry across the country over President Buhari’s refusal to sign the amended electoral bill, the president had also withdrawn his assent to the bill in September asking for some text in the bill to be revised by the National Assembly.

But his refusal to sign an amended version have been criticised by

Buhari

President Buhari assures of noninterference in 2019 elections Innocent Odoh, Abuja

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resident Muhammadu Buhari has assured Nigerians and the International community that his government will uphold the principle of noninterference in the process of elections by the Independent National Electoral Commission (INEC) even as he assured of adequate security for Nigerian voters during the 2019 elections.

President Buhari gave this assurance while giving his address during the opening ceremony of “Election Security Management Workshop” organised by the office of the National Security Adviser in collaboration with Solar Security Consult Company and Partners West Africa, with the theme “Pathway to a Credible Electoral Process in Nigeria,” held in Abuja on Thursday.

Represented by the Secretary to the Government of the Federation, Boss Mustapha, President Buhari reaffirmed his commitment to “promoting free, fair credible elections that are devoid of any form of interference in the activities of INEC and to ensure a violence-free election and abide by the extant laws governing the political landscape.”

The president noted that no nation can advance its democratic culture under a security orientation that does not assure the voters of their personal safety and the safety of their votes in the electoral process.

He added that the task of ensuring this rests squarely on the shoulders of the Nigeria police as the lead security agency under the Electoral Act and other complementary security agencies including the armed forces.

“The initiative of the National Security Adviser to organise this workshop is therefore a right and well- informed action that would undoubtedly advance our vision in this regard. I therefore commend the office of the National Security Adviser for this innovative workshop,” he said.

He said that lots of positive changes have been implemented in Nigeria’s electoral law and processes in a bid to strengthen electoral culture and ensure that voters are not disenfranchised either by actions or inactions of actors or institutions that are constitutional charged with the responsibility of driving the process.

“As we draw closer to the 2019 elections, I want to reaffirm my commitment toward further entrenching these democratic values.

I am committed to upholding the independence of INEC as this is a sacred pathway towards our democracy,” he said.

He also assured the nation of his determination to sustain the standards set in the nation’s electoral process, adding that he would continually extend all requisite support to INEC in order to ensure the attainment of their mandate without any executive interference.

“The will of the people must always drive the democratic process of our nation therefore the sanctity of the process must be upheld by all political parties and other stakeholders across the political divide if the country is to attain its full potentials.

“It is recognised that the success of the electoral process depends largely on the professionalism demonstrated by the security agencies.

I am committed to ensuring that all security agencies perform their constitutional obligations in a strictly professional and impartial manner.

So I will guarantee the security of all citizens particularly during electoral engagement,” he said.

President Buhari noted that despite some challenges, the INEC Chairman, Mahmood Yakubu and his commissioners have demonstrated competence and strength of character even as he expressed confidence in the ability of INEC to surmount these challenges and guide the nation to a successful election. “I assure the international community that Nigeria shall continue to advance the democratic credential within the global space” the President said.

In his remarks, the National Security Adviser, (NSA) Babagana Muguno, said that the workshop was organised to create new security orientation that is focused on creating a conducive atmosphere for citizens to exercise their voting rights, adding that the security agencies will exercise neutrality during the elections.

The workshop attracted top officials of the police, army, Nigerian Security and Defence Corps, the Nigerian Customs, Fire Service, among others.

“It is unfortunate that a president, who contested election in the country more than three times before he win even up to the Supreme Court, has not done anything to improve the electoral process in the country since he assumed office.

“We are not surprised it is part of the plan to rig in 2015 presidential election, he got several votes, about 75 percent of his total votes in the north illegally.

Speaking further, he condemned the current Trader moni entrepreneur empowerment scheme of the current administration, describing it as an advance vote buying.

“His refusal to sign is a continuation of the rigging plan of the election. The trader-moni is advance vote-buying you can see the way it is been done,” Odumakin said.

Alleged fraud: EFCC releases Okupe on ‘Administrative Bail’ Innocent Odoh, Abuja

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he Economic and Financial Crimes Commission (EFCC) has said that former Senior Special Assistant to former President Goodluck Jonathan, Doyin Okupe, who was arrested on Tuesday, over an alleged fraud bordering on breach of public trust and money laundering, has been released on ‘Administrative Bail’ but will be given a week to be reporting to the anti-graft body.

Acting Spokesman of the Commission, Tony Orilade, disclosed this on Thursday, adding that the context of the charges would not be discussed until they are filed in court and the matter assigned to a judge.

Okupe, a member of the People’s Democratic Party (PDP), was picked up on Tuesday in Abuja for questioning. He had confirmed his release via a tweet on Thursday, adding that the operators of the commission treated him with dignity. “I was treated with utmost courtesy. I feel proud and grateful,” he tweeted.

Akwa Ibom elders raise alarm over oil theft in Niger Delta ANIEFIOK UDONQUAK, Uyo

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kwa Ibom elders have raised the alarm over the ‘enormous volume’ of oil being stolen from the Niger Delta region saying it has deprived the states the needed revenue to finance development projects.

The elders coming under the aegis of Akwa Ibom leaders’ vanguard said the total volume of oil and gas produced in the region have never been made public noting that it was time to demand accountability and transparency from the federal government to check the “massive oil theft.’’

They alleged the Niger Delta states were being cheated from receiving in full the statutory and legitimate funds meant for them.

Anietie Okon, Effiong Bob and Emmanuel Ibokessien, all former members of the Senate who spoke at a conference in Uyo, the Akwa Ibom State capital also criticised the federal government for not “delivering meaningful reforms that are required to drive economic activities,’’ while seemingly expanding its poverty agenda particularly in Akwa Ibom State.

The elders who also recent deployment of Idorenyin Akpabio to head the state anti robbery squad describing him as a direct relation of a serving senator from the state called on the federal government to take pre-emptive steps to avoid a return to the evil days when extra judicial killings, kidnappings and other heinous crimes were perpetrated in the state.

“Let us reiterate that we can never return to the dark days as they are long gone forever,’’ they said.

“Our peaceful deportment as a people should not be taken for granted, it is germane to note that contrary to the much advertised war on corruption by the present federal government, the gross malfeasance that has permeated the polity stinks to high heavens,” they said.

On the alleged persecution of Paul Usoro, the president of the Nigerian Bar Association by the Economic and Financial Crimes Commission, they noted that the federal government was meddling in matters that affect the inviolability of the federating units adding that it was unheard of for the private transaction of between two parties to be investigated when none of the parties have raised any eyebrow.

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Osinbajo is the problem with Trader Moni Anthony Osae-Brown

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hat could have become Nigeria’s biggest attempt to support micro businesses, which dominate the country’s informal trade sector, help them scale and bring them gradually into the formal sector, is turning out to become the biggest credit disaster, thanks vice president Yemi Osinbajo. On paper, Trader Moni is a good scheme. You give traders initial loans of N10, 000 without collateral. Their incentive for repayment is that if they repay on time, they will get a bigger loan, rising up to N50, 000, a significant amount for a petty trader.

Mohammed Yunus, the founder of Grameen Bank in Bangladesh, is known to have perfected the art of micro credit or lending money to the poor. As of 2017, Grameen Bank reportedly had 2,600 branches in Bangladesh, about nine million borrowers and a repayment rate of 99.6 percent. Most significantly, 97 percent of the borrowers were women. But it must be noted that Grameen bank is a purely private sector initiative. Grameen Bank gets a good chunk of its funding from donor agencies which uses the bank as a platform to support

Osinbajo

the poor based on the concept that loans are better than grants.

Herein lies the challenge with the government’s Trader Moni Scheme.

It is a federal government-led scheme implemented by the wholly government owned Bank of Industry (BOI).

The Trader Moni scheme is run in partnership with the National Social Investment Office (NSIO) which is

attached to the Office of the Vice President. This is the main reason why Vice President Osinbajo has become the face of Trader Moni across the country. And this is also why he has also become the biggest problem with the Trader Moni scheme.

With Osinbajo’s direct involvement in the Trader Moni scheme, political considerations have over-

shadowed what should be a purely credit decision. The beneficiaries of the Trader Moni scheme are no longer seeing the initial N10, 000 as a step-up into the credit ladder but as their share of the proverbial ‘national cake.’ Feelers from the street clearly show that many of the petty traders getting the initial N10,000 credit do not think that they need to pay back and do not have plans to pay back.

This means that a good chunk of the loans being given out on the Trader Moni scheme will eventually go bad.

And this will create a new challenge for the very poor that Trader Moni is trying to help. Once they are unable to repay these loans, they create for themselves a bad credit history, destroying their capacity to borrow money in future. Most of the petty traders collecting Trader Moni are not even aware that their inability to repay these loans could destroy their chances of taking new loans in future. They are unknowingly being led into a debt trap by a scheme claiming to help them improve their wellbeing.

Nigeria has gone this way before when former military president Ibrahim Babagida established the Peoples Bank of Nigeria (PBN) in 1989. The bank, despite its noble objective of giving loans to the poor, eventually failed amidst allegations of massive

fraud and corruption. Trader Moni has the tendency to go a similar way because it is taking a path that has been taken before and failed.

It is not impossible to lend to the poor. Grameen Bank succeeded in Bangladesh and even in Nigeria.

There are many existing highly successful stories of miccro finance banks’ lending successfully to the poor. These private institutions are not only lending to poor, but the poor are paying back and the micro finance banks are making enough money to stay in business and keep lending.

They are largely successful because they are not seen as government- owned institutions. Trader Moni could have been structured as special social intervention scheme for petty traders through selected microfinance banks, taking advantage of their already tested systems to make the scheme sustainable and more economically impactful.

Trader Moni could have been successful without Osinbajo. His association with the scheme has shown that gaining political mileage from Trader Moni has been prioritised over the economic impact and its long-term sustainability. And that is why it will fail like other schemes before it and it will be mainly because Osinbajo has politicised a scheme that did not need politics to be successful.

not be seen to working against its pay master”, Olufemi Kadri, a public affairs commentator, explained on phone.

Continuing, he said, it is not difficult to understand why voter education is not happening in Nigeria’s electoral system. It is deliberate. The political class is not only predative, but also self-serving. As much as possible, they don’t want hold the electorate down and keep them in the dark so that they can continue to exploit the political system”.

Unarguably, politicians know that voter education is very essential in any democratic system as a proper orientation of the electorate on the essence of casting vote and getting involved in the democratic system of the country. More im-

portantly, they also know that voter education brings about high level of motivation and encouragement in the electorate just as it makes them have confidence in government.

Yet they don’t want this education to happen because that will work against their ill-conceived and ulterior motives.

The implication of this, however, is that the political system is put under intense pressure and the electoral process remains warped, leading to high level voter apathy and the birth of an ‘arrangee’ government that cannot be said to be truly democratic.

Lack of voter education is reason for the non-participation of a large army of youths of voting age in the country’s elections. This explains why on an election day, these youths take to playing football or drinking at beer parlour instead of going to voting centres to vote and elect their leaders.

The wider implication of this is the emergence of charlatans, selfseekers, rent-takers and, in some cases, fraudsters who run governments that are inept, insensitive, visionless, clueless and impervious to criticism. Executive arrogance and impunity run through the entire administrative structures and the electorate are generally helpless because they did not elect those in government.

Nigerian voters need education CHUKA UROKO

E

ducation, it is said, breaks ignorance and also liberates the mind. Education is a very important component of an individual’s and even organisation’s development. In every field of human activity and in all processes, including elections, leading to man’s development and progress, education is important.

In Africa, democracy is still tottering because elections and electoral processes, which are the hallmark of democracy, are largely tainted, not credible, free and fair, and in some cases, fraught with violence. In Nigeria, the continent’s big brother, the story is not different and the reason is not far-fetched.

The voter is not educated which is a missing link in the country’s electoral process.

Voter education means providing citizens of a democracy with basic information about participating in elections. In an electoral system, it is important that citizens know how their votes will contribute to the final result of an election. An appropriate voter education should provide citizens with sound knowledge of elections and, unlike what obtains in Nigeria, the focus should be on how to vote rather than who to vote for.

By February 2019, which is about

60 days away, Nigeria will be holding general elections and apparently, nobody is talking to anybody.

Voter education which ought to have started, at least two months ago, is not happening anywhere in the country. If any, it must be on how to vote for a particular individual, rig elections by whatever means possible, or cause trouble if the result goes against a preferred candidate.

Writing on ‘INEC and Voter Education’ in the recent edition of The Pointer magazine, Efe Adams notes, “voters’ education ensures that voters are ready, willing, and able to participate fully in the election process. Voters’ education is essential in ensuring that voters are well-informed and can effectively exercise their voting rights and express their political will on election day”.

In mature democracies, there are always government departments and agencies that focus on voter education. This calls to mind an agency like MAMSER— an acronym for Mass Mobilization for Self Reliance, Social Justice, and Economic Recovery. This was an exercise in political orientation in Nigeria undertaken by President Ibrahim Babangida as one of the recommendations of the Political Bureau headed by Samuel Joseph Cookey.

In the present political season,

Nigerians need this kind of agency which did so well in educating and re-orienting Nigerians on democratic norms, especially on electoral process, during the period of transition from military to democratic government. Though MAMSER has since metamorphosed into National Orientation Agency (NOA), nothing is coming from that axis as a result of the name change.

The Independent National Electoral Commission (INEC), which has the statutory responsibility of educating the electorate on the forthcoming elections, is failing in this duty. But it is understandable why INEC is not educating Nigerian on the electoral process.

“The commission is a stooge of the government in power and it should

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BUSINESS DAY

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Why economy should dominate vice - presidential debate today ODINAKA ANUDU

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oday is the D-day. At 7pm, vice presidents of five political parties will tell Nigerians what they and their principals have in store for them.

The debate is organised by the Nigerian Elections Debate Group (NEDG) and the Broadcasting Organisations of Nigeria (BON).

Five parties have been selected for the debate. They include: Allied Congress Party of Nigeria (ACPN), Alliance for New Nigeria (ANN), All Progressives Congress (APC), Peoples Democratic Party (PDP) and Young Progressives Party (YPP).

However, all eyes are on candidates from two major political parties. One is Yemi Osinbajo, current vice-president and VP of APC and the other is Peter Gregory Obi, former Anambra State governor and PDP vice presidential candidate.

Given the current mood of the nation, the debate is expected to explore issues around the economy.

This has become essential because vice-presidents often head economic teams.

Nigerians will be happy to hear from these vice presidents how they intend to reduce the number of poor people from 87 million to, say, 60 million in four years.

According to the Brookings Institution, Nigeria is now the poverty capital of the world with a record 87 million people living in extreme poverty and 8,000 people sliding into extreme poverty on a daily basis.

“We want to hear the specifics.

Tell us the specific programmes and timelines you have to reduce the poverty rate. This works hand in hand with unemployment. We want to hear how they intend to provide jobs,” Samuel Job, a businessman in Lagos, said in an interview.

“If I meet Osinbajo face to face, I would ask him why he is supervising multiple exchange rates in the country. Suffice it to say that this is the reason for extreme poverty today because poor management of the exchange rate market shut down many firms, sent many out of the country and raised prices. This is the cause of high unemployment rate today,” he explained.

Nigeria’s unemployment rate is 18.8 percent. Apart from jobs, Nigeria’s debt profile should be discussed. The National Bureau of Sta-

Obi

Osinbajo

tistics (NBS) said that the country’s foreign debt at the end of the first half of 2018 (H1’18) stood at $22.08 billion, representing a 17 percent rise over the $18.9 billion recorded at the end of 2017.The country’s fortunes are also stymied by high domestic debt and extremely highcost debt servicing.

Also, the debate cannot be complete without the issue of Apapa.

This is where the country lifts its fuel and containers from and makes N3 billion to N7 billion every day. Yet, it has become a hell for anyone that has a business there.

About 5,000 trucks seek access to Apapa and Tin Can ports in Lagos every day, according to a latest maritime report released on Tuesday by the Lagos Chamber of Commerce and Industry (LCCI).

These trucks have continued to plunder Apapa and Tin Can despite that access roads and the two ports were originally meant to accommodate only 1,500 trucks.

Consequently, Nigeria loses N600 billion in customs revenue, $10 billion (N3.6trn) in non-oil export sector and N2.5 trillion in corporate earnings across various

sectors on annual basis due to the poor state of Nigerian ports.

The LCCI report notes that 25 percent of cashew nuts exported from Lagos to Vietnam in 2017 went bad or were downgraded owing to delays at Lagos ports. Similarly, only 10 percent of cargoes are cleared within the set timeline of 48 hours now while the majority of cargoes take between five and 14 days to clear. The report even notes that some cargoes take as many as 20 days to be cleared at the ports.

“This is why we should talk about finalising concessioning of Onitsha seaport, while government should improve the security situation along and within the Warri port in order to ward off militants and touts.

Stakeholders request that government should approve and publicise a bouquet of incentives to importers and exports that patronise ports outside Lagos,” Babatunde Ruwase, president of LCCI, said.

Moreover, investors are interested in a more organised tax regime, security in the North-East, privatisation of moribund public firms like Ajaokuta Steel and Alumimium Smelter, among others. Issues such

as health and education funding are also critical.

Nigeria has allocated only 2.9 percent of its total budget on health in the last three years, as against South Africa’s 13 to 15 percent over the same period, according to BusinessDay calculations.

“The World Health Organisation has a standard benchmark that should be followed by developing countries with high rates of diseases.

Compare that ratio with what we have in Nigeria and you will see why we still struggle with health issues,” Okey Akpa, chairman of Pharmaceutical Manufacturers Group of the Manufacturers Association of Nigeria (MAN), told BusinessDay on the phone.

“This is a global benchmark that is a product of research,” Akpa added.

The WHO puts standard health budget allocations at 26 percent, especially for developing countries.

Many African countries do not reach this mark, with Ethiopia allotting 4.9 percent and Angola setting aside only 3.3 percent in 2016.

Nigeria has demography of 198 million, which presents a market op-

portunity but also a health burden on the government. The 2017 was marred by outbreaks of diseases such Lassa fever, which occurred in 718 cases wherein 68 persons died. Between January and July 2018, there have been 115 deaths in confirmed cases and 10 in probable cases. Cerebrospinal meningitis was suspected in 14,518 cases, across 181 local government councils, with 1,166 people reported death. Other outbreaks of include monkey pox and cholera. Cancer is responsible for the deaths of 72,000 Nigerians yearly, according to Wellbeing Foundation Africa (WBFA)’s 2019 research.

Doyin Odubanjo, chairman, Association of Public Health Physicians of Nigeria, Lagos Chapter, said disease outbreaks cannot be predicted but get worse when a country fails to address prevention issues squarely.

President Muhammadu Buhari, on coming to power, barred civil servants from seeking medical treatment abroad. He promised to visit local hospitals. Ironically, he became the first to visit a London hospital when he fell sick.

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Friday 14 December 2018

Live @ The Exchanges Top Gainers/Losers as at Thursday 13 December 2018 GAINERS

Market Statistics as at Thursday 13 December 2018

LOSERS Opening

Closing

Change

Opening

Closing

Change

MOBIL

Company

N151.2

N156.6

5.4

SEPLAT

N598.9

N540

-58.9

CAP

N34.65

N37.25

2.6

NESTLE

N1485

N1480

-5

FO

N21.95

N24.1

2.15

NASCON

N17.9

N17

-0.9

AIRSERVICE INTBREW

N6.3

N6.9

0.6

N29.45

N30

0.55

Company

STANBIC FLOURMILL

N46

N45.55

-0.45

N21.4

N21

-0.4

ASI (Points)

30,568.05

DEALS (Numbers)

2,950.00

VOLUME (Numbers)

193,253,773.00

VALUE (N billion)

3.696

MARKET CAP (N Trn

11.165

Stock investors book N28bn loss as market fails to sustain gain …on continuing tussle between bulls, bears Stories by Iheanyi Nwachukwu

I

nvestors in the Nigerian equities market recorded loss of about N28billion at the sound of trading gong on Wednesday December 12 as the market failed to sustain preceding day’s gains.

In what seems like a tussle between the bulls and the bears, the market closed in the red despite that 24 stocks advanced in price as against 20 losers.

The Nigerian Stock Exchange (NSE) All Share Index (ASI) declined by 0.25percent to 30,642.35 points from preceding trading day’s high of 30,718.72 points. The stock market year-to-date (ytd) returns stood further negative at -19.88 percent.

The value of listed stocks on the NSE decreased to N11.192trillion, from preceding day high of

N11.220trillion, representing N28billion decline.

“As the domestic bourse hovers in an oversold region, we reiterate our expectations of a Santa Claus rally this month as yearend portfolio repositioning

and bargain hunting provide support. Yet, the possibility of an unprecedented rally could be capped by the overhang of jitters in the polity”, said Lagosbased research analysts at United Capital Plc in their

A

Board of the Company with effect from November 30, 2018.

The resignation has also

been unanimously approved by the Board. The Board and Management of AXA Mansard Insurance Plc commended Frederic Flejou for his leadership and overall contributions to the growth of the Company during the period he served on the Board.

Zenith Bank announces retirement of Baba Tela from its board

Z

enith Bank Plc has announced the retirement of Baba Tela (Inde-

lowed after rising from N20 to N21.95, up N1.95 or 9.75percent.

GTBank Plc stock price increased from N34.4 to N35, adding 60kobo or 1.74percent. Dangote Cement Plc stock price in-

L–R: Olutoyi Ariyo, Skyway Aviation Handling Company Plc; Oscar N. Onyema, chief executive officer, The Nigerian Stock Exchange (NSE); Olaniyi Adigun, executive director sales & marketing Skyway Aviation Handling Company Plc; Boma Ukwunna, executive director, SAHCO Plc; Mariam Afolabi, executive director, Sifax and Barrister Kayode Filani, NED, SAHCO Plc during the Facts Behind the Offer presentation to capital market stakeholders at the Exchange in Lagos.

AXA Mansard announces board changes XA Mansard Insurance Plc has notified the Nigerian Stock Exchange (NSE), esteemed shareholders, stakeholders and the general public of the resignation of Frederic Flejou, a Non-Executive from the

December 10 note.

At the Nigerian Bourse on Wednesday, the share price of Chemical and Allied Products Plc advanced most from by N3.15 or 10percent, from N31.5 to N34.65. Forte Oil Plc fol-

pendent Non-Executive Director) from the board of the bank with effect

from October 2, 2018. This follows the expiration of his tenure of office, having served the Group for almost twelve (12) years.

The retirement has been approved by the Board of Directors at its meeting of November 15, 2018, according to Zenith Bank in a notice released at the Nigerian Stock Exchange (NSE)

creased from N185.5 to N186, adding 50kobo or 0.27percent. Flour Mills Nigeria Plc stock price rallied from N21 to N21.4, up by 40 or 1.90percent.

Mobil Oil Nigeria Plc stock price declined from N160 to N151.2, losing N8.8 or 5.50percent. Nigerian Breweries Plc declined by N2.5 or 3.18percent, from N78.5 to N76.

Conoil Plc lost N2.25, from N22.5 to N20.25, down by 10percent.

Dangote Sugar Refinery Plc stock price lost 75kobo or 5.38percent, from N13.95 to N13.2; while ETI declined from N15.5 to N15, down 50kobo or 3.23percent.

In 3,141 deals, stock dealers exchanged 246,134,051 units valued at N3.694billion.

Zenith Bank Plc, FBN Holdings Plc, Access Bank Plc, Diamond Bank Plc, and GTBank Plc were actively traded stocks on the NSE.

Standard Chartered helps to preserve the environment

A

s part of Standard Chartered Bank Nigeria Limited’s yearly Employee Volunteering (EV) activities in the community, the bank held a beach cleanup activity recently.

Coordinated by Standard Chartered Bank property team, the activity was done in collaboration with the Lekki Urban Forest and Animal Sanctuary Initiative (LUFASI) an environment advocacy organization led by Nigeria’s renowned environmentalist, Desmond Majekodunmi.

The event held at the Kids Beach Club in Lekki with 20 children in the community supporting the team. Speaking at the event, Anne Rinu, Head of Property, Standard Chartered Bank Nigeria Limited said.

“If we are to make the world a healthier and

safer place to live in, we must remember that we all have a role to play; whether through advocacy, actively driving behavioural change towards preserving the environment or leading by example through public-private partnerships or collaborations with industry experts as done today in. By reducing our own impact on the environment, we continue to protect our planet for the benefit of our communities. My colleagues and I are thankful for the opportunity to give back to the community through our employee volunteering

initiative.’’

Employee volunteering (EV) is a core component of Standard Chartered Bank’s community investment strategy. The Bank encourages employees to utilise their skills, knowledge and expertise to deliver development programmes around education, health, environment protection and financial literacy. Employees are given 3 fully paid leave days to volunteer to support causes that reiterate the Bank’s commitment to supporting communities where it operates around the globe.

BUSINESS DAY

Friday 14 December 2018

53

Live @ the Stock exchange Prices for Securities Traded as of Thursday 13 December 2018 Company

Market cap(nm)

PRICES FOR MAIN BOARD SECURITIES (Equities)

Price (N)

Change

Trades

Volume

Company

Market cap(nm)

Price (N)

Change

Trades

Volume

54

BUSINESS DAY

Friday 14 December 2018

BUSINESS DAY

Friday 14 December 2018

55

CITYFile

SEMA to return IDPs to their communities in Kaduna

K

aduna State Emergency Management Agency (SEMA) said it would move Internally Displaced Persons (IDPs) taking refuge at Karshen Kwalta Primary School Rigasa, in Kaduna, to their communities.

Yau Mohammed, director, Relief and Disaster Management of the agency, said this during his visit to the camp. According to him, Governor Nasiru El-Rufai has directed the agency to assess the camp’s present conditions.

He said that the agency had on two occasions provided some relief materials to the victims, but needed to do more in view of the people’s demands.

“We have seen the condition of the IDPs which has improved and we are going to recommend to the governor for them to be relocated back to their community with adequate security in place.”

The community leader, Iliya Yahaya, who lauded the agency, said that the IDPs were ready to go back to their communities The IDPs are camped following gunmen attacks on the communities in Mai Giginya. The agency had on December 5 donated relief materials to the camp to provide succor for the IDPs.

Welder bags jail term for stealing

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n Upper Area Court 1 in Kasuwan Nama in Jos, Plateau State, has sentenced a 19-year-old welder, Salihu Idris to six months imprisonment for stealing N200,000 cash and property worth N261,740.

The judge, Lawal Suleiman, who sentenced the accused did not give him an option of fine.

He said the sentence would serve as a deterrent to others who would want to indulge in such act.

Nanzing Nanfa, the prosecutor had told the court that the case was reported at the Angwan Rogo Police Station by one Umar Oda on March 30.

According to Nanfa, the accused broke into the complainant’s house through the ceiling and stole property valued N261, 740 and N200, 000 cash.

The accused person, however, pleaded guilty to the two-count charge of housebreaking and theft but begged the court for leniency.

The prosecutor said the offence contravened Sections 346 and 287 of the Penal Code. (NAN)

Wife of the Ondo State governor, Betty Anyanwu Akeredolu (2nd r), visited Oka in Akoko South/ West Local Government area of the state to distribute Christmas gifts to the children, on Wednesday.

Attack LASTMA officers, go to jail, warns LASG JOSHUA BASSEY

M

otorists and other persons who launch violent attacks on officers of the Lagos State Traffic Management Authority, (LASTMA) on line of duty, would no longer be allowed to walk away free, the state government has alerted.

The warning comes against the background of incessant accidents and attacks on LASTMA by members of the public, leading to the death of 18 officers of the traffic management agency, in one year.

Ladi Lawanson, the state commissioner for transportation, who briefed StateHouse correspondents, in Ikeja, Wednesday, reminded the public that LASTMA is a creation of the law, empowered to ‘control and manage vehicular traffic in Lagos’ and therefore becomes a crime to attack or dehumanise its officers.

“One is at a loss as to why our officers and men, employed to safeguard members of the public are always attacked by the

same members of the public whose interest they are promoting and protecting. For instance, we have, this year alone, lost 18 officers in various accidents while 24 are permanently incapacitated due to hit and run accidents and violent attacks.

“Members of the public should realise that these officers are parents, uncles, sisters, brothers, nieces and indeed children of other people. The officer cadre of LASTMA is peopled by highly educated and dedicated men and women who should not be seen as never-do-wells because they control traffic and are in uniform.

They are not only well trained but are prepared as leaders who can rise to the very top of the agency and head same with time.

“In the extant case of Rotimi Adeyemo, who was born in Masifa, Ejigbo in Osun State, on May 11, 1977, he holds both the National Certificate in Education, (NCE) and the Bachelor of Science, (B. Sc.) degree in economics. He left behind a 105-year old father, an 88-year old mother, a wife, Eniola and three children, including a set of twins,” Lawanson lamented.

Obaseki signs first set of electronic C-of-O ... as new land mgt system kicks off in Edo

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new land management system in Edo State managed by the Edo Geographic Information Service agency (EDOGIS), has kicked off in the state, as the government has commenced issuance of the first set of electronic Certificates of Occupancy (C-of-O) and title deeds to landed property owners.

Speaking after signing the first batch of the new electronic C-of-O, at the weekly executive council meeting, Governor Godwin Obaseki said that the recertifica-

tion process would ensure ease of doing business in the state.

Obaseki said the electronic recertification process was another promise fulfilled by his administration. He described it as a gift to the citizens of the state, who before now had no legal ownership claim to their landed property to be used as collateral to access credit facilities.

The governor implored members of his cabinet and the public to commence recertification of their property to avoid dispute.

‘’Every piece of property in the state is now captured through our geographic information system and title deeds are now available for every property in the state.

“We believe the electronic C-of-O is one of the tools we can use to assist our people to raise capital because many people have property and do not have a title on them to be used as collateral when they want credit facilities from financial institutions.”

He said the recertification and certification process cost as low as N50,000 and

Recall that Adeyemo was shot and killed by a police inspector, who contravened traffic rule and was stopped by the deceased at Iyana Ipaja area of the state, last month.

According to Lawanson, “for the avoidance doubts therefore, we would like to reiterate that going forward, we will not tolerate the slightest attack on any of our officers and men. We shall henceforth apply the full weight of the relevant extant law on culprits in this regard.

“While the government will, in the face of these unfortunate incidents approve compensations and death/insurance benefits for our officials slain in the course of performing their responsibilities, we hasten to add that it is not the kind of incentives that we crave. We would rather that our officers thrive on their jobs, enjoy enhanced benefit and welfare packages through the institution of enhanced salaries, special insurance packages and the introduction of free and compulsory regular medical checkups alive rather than posthumously.”

would take a maximum of 40 to 45 days from the day of application to the date of collection.

The governor commended the GIS transport, the technical partner for fasttracking the process, which was done within a two-year period, as compared to the three to five years period it would take in other places.

Presenting a file of prepared electronic certificates of occupancy to the governor, the managing director of EDOGIS, Frank Evbuomwan, said the new method of certification was adopted because of its unique security features. He said with the computerised C-of-O, it would be difficult for anybody to forge and make claims to any property not belonging to him or her.

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Attorney-General says to accept deal by CBN in MTN matter

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he coast has now been cleared for the long promised out of court resolution of the $8.2 billion claim made against telecoms giant MTN Nigeria by the Central Bank and MTN Nigeria after the Attorney General who is a party in the suit, offered for the first time to accept any settlement reached by the apex bank.

The central bank had on August 29, 2018 ordered MTN and its four banks to repatriate a hefty $8.1bn it claimed had been illegally exported out of Nigeria as dividend on grounds of defective certificates of capital importation, CCIs. The claim was immediately challenged in court

by MTN and when the case came up for mention Wednesday in Lagos, lawyers to the parties requested for more time to

conclude on going out of court settlement negotiations has dragged on inexplicably despite several assurances by the central bank that a settlement was not far off.

At Wednesday’s court session, the lawyers representing the Justice ministry offered for the first time the assurances of the attorney general that he will not contest any agreement which the CBN may reach with MTN which has over 64 million subscribers in Africa’s largest economy.

Lawyers called this assurance by the attorney general an “ice-breaker” capable of smoothing the path for early resolution of the claim which has cast a pall over Nigeria’s investment credentials with Finance Minister Zainab Ahmed saying the matter has created difficulties for Nigeria among the global investor community.

Details of any possible deal have yet to surface and could yet fall through, said the person, but the attorney general’s willingness to accept a deal may have removed the biggest obstacle on the way of those negotiating an out of court settlement Businessday learnt.

“MTN Nigeria continues to engage with the relevant Nigerian authorities to ensure a mutually acceptable resolution of the matter,” a spokesman for Africa’s largest wireless carrier by sales said in an emailed statement to Bloomberg November 14.

MTN shares have rallied recently after it emerged that an out of court settlement of the claim was progressing.

The stock has declined more than 25% on the Johannesburg bourse since the allegations were first made in late August.

Friday 14 December 2018

NEXIM boosts export activities in South West with N15bn HOPE MOSES-ASHIKE

The order to refund $8.134bn would come just two years after MTN paid about $1 billion to Nigerian authorities as a penalty for missing a deadline to disconnect unregistered subscribers. That levy, which was also substantially reduced from the original sum, led to MTN’s first-ever loss in 2016.

In a separate case, the company is accused by the office of Nigeria’s attorney general of non-payment of $2 billion in taxes. “It’s very important the parties reach a quick resolution because the problem gives the wrong signal to willing investors,” Gbenga Adebayo, chairman of the Association of Licensed Telecommunications Operators of Nigeria, said by phone from Lagos.

There are many African countries that are investor friendly and are also craving for foreign investment.”

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s part of efforts to grow the non-oil sector of the economy, the Nigerian Export Import Bank (NEXIM) has extended support to the tune of over N15 billion disbursements to exporters in the South-West region to boost export activities.

Stella Okotete, executive director, business development, NEXIM, made this known at a facility tour of some of the recipients of the funds in Lagos.

According to Okotete, the disbursement is to let everyone see that non-oil export is growing and NEXIM is meeting its mandate of increasing the contributions of non-oil to the Gross Domestic Product of Nigeria.

Nigeria was said to lag behind a number of countries in non-oil export earnings as Africa’s biggest economy faces poor infrastructure slump that continues to hurt local manufacturers.

She was concerned about the state of Apapa roads, saying, “The Apapa road is limitating against the pro-

gress in the non-oil export.

The number of trucks on the road is increasing the turnaround time from 90 days to 180 days, thereby reducing revenue contribution from that sector.

“We have an office in Calabar and we expect that we should reduce the traffic of everything coming to Lagos ports.”

On the need to increase the bank’s intervention from the average of N1.5 billion disbursed, she said, “Because they are new on our books, we wanted to see capacity and coming here today, we have seen that they have the capacity and they will get more.

“One of them told us that he has done $38 million transactions in 2018, and that is enough reason Tom increased what he gets by reducing his interest burden and increase his export.”

Madhukar Khetan, chief operating officer of Dufil Premier Foods, who spoke at the presentation of the N1.5 billion to the company, said: “The fund will help to stimulate our production and export performance.

“We are currently doing

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Oil marketers say delayed liberalisation of downstream sector slows economic growth STEPHEN ONYEKWELU, with wired services

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il marketers’ recent industrial action demanding from the Federal Government N800 billion in arrears of subsidy payments has re-triggered conversations around full deregulation of the downstream sector to spur economic prosperity.

A Nigerian National Petroleum Corporation’s (NNPC) document presented to the Senate during the January 2018 subsidy probe exclusively obtained by BusinessDay shows that between 2006 – 2015, the NNPC claimed N170.60 billion as under recoveries in ten years while it claimed N632.20 billion in two years (2017 and 2018) representing 217 percentage difference.

Subsidies have tended to

discourage the much needed investment inflows into Nigeria’s downstream oil and gas sector because it distorts the market by impairing the mechanisms of demand and supply needed to drive price movements. A cap on fuel prices at N145 per litre when the landing cost per litre is N171 means the NNPC loses money on every litre of petrol it sells.

To correct this situation, oil marketers have urged the Federal Government to fully deregulate the downstream subsector of the oil and gas industry to preserve the country’s dwindling foreign reserves and enhance economic growth.

“NNPC imports petrol at a landing cost of N171 per litre and sells at N145 per litre at filling stations. Importation of diesel was deregulated and this has created avenues for marketers to import and

sell at competitive prices,” Olufemi Adewole, the executive secretary, Depot and Petroleum Products Marketers Association (DAPPMA) told the News Agency of Nigeria in a recent interview.

The marketers said the immediate removal of the fuel subsidy remained the best option to grow the oil sector, saying that over N1.3 trillion was paid on subsidy with little or no benefits to the most vulnerable members of society.

Adewole full liberalisation of the downstream sector would address inflation, better the economy and ameliorate the economic uncertainty that characterised the polity.

He urged the government to make consultations on the subject and decide on the ideal approach to achieve deregulation.

“If we embark on deregulation today, petrol prices will be different across the coun-

try; the price may be significantly high at the early stages, but it will reduce gradually as we move on,” Adewole said.

“Petrol prices will fluctuate throughout the year, for example, in December and January prices tend to be a lot higher. This is the case in most countries around the world.”

Between November 2017 and May 2018, subsidy claims rose by 662 percent when compared to June and October 2017, according to BusinessDay analysis of NNPC under recovery claims presented in its monthly operations and financial reports published August 2015.

Deregulating the downstream sector will also enhance development of Nigeria’s refining capacity which is at an all-time low of below 30 percent four all four refineries combined. The refineries are not working because government tends to regulate prices.

L-R: Kolawole Oyeyemi, general manager, Customer Experience, MTN Nigeria; Onyinye Ikenna-Emeka, general manager, Enterprise Marketing, MTN Nigeria; Lanre Fasakin, managing director, CMRG Limited, and Elo Umeh, CEO, Terragon Group, at the launch of MTN Smart Survey, an effective tool for customer insight.

OPEC, geopolitics, Sino-US trade truce moderate oil market STEPHEN ONYEKWELU Qatar’s exit from OPEC to focus on gas development targeting the United States of America and the easing trade relations between China and the US are some of the factors set to drive oil demand and market in 2019.

Even before taking over Qatar’s energy policy in a government reshuffle last month, Saad al-Kaabi, Qatar Petroleum (QP) CEO, had long wanted the Gulf state to leave the OPEC. Kaabi was concerned OPEC membership could be a stumbling block for QP’s ambitions in the United States, where it has one of the world’s biggest LNG terminals, and a distraction as Doha doubles down on gas production, three industry sources said.

Proposed US legislation known as NOPEC (No Oil Producing and Exporting Cartels Act) could expose members of the oil exporters club to antitrust lawsuits, a risk for QP at a time it is planning to invest billions more in the United States.

The sources said Qatar’s exit had been in the works for months, driven by Kaabi’s desire to focus on Qatar’s strength in liquefied national gas (LNG) rather than OPEC, where Doha has little say anyway because it doesn’t produce much oil.

“It takes Qatar out of the whole debate within the U.S. Congress on whether or not OPEC is a cartel,” said James Dorsey, a senior fellow at the S. Rajaratnam School of International Studies. “If anything it puts Qatar in America’s good books.”

The decision to leave af-

ter 57 years just two days ahead of a crucial OPEC output policy meeting in Vienna last week also struck many as a shot at Saudi Arabia, which along with the Bahrain, Egypt and the United Arab Emirates has imposed a boycott on Qatar since June 2017.

The absence of Qatar’s emir from an annual Gulf Arab summit in Saudi Arabia on Sunday was then seen as a sign there is no end in sight to the dispute and that Qatar is set to go it alone – outside a six-nation Gulf Arab bloc fractured by the rift.

Qatar would nevertheless still welcome the lifting of the trade and transport boycott which has hit national carrier Qatar Airways, companies with interests in boycotting states and demand from regional investors and banks.

But the risk of possible

legal action under NOPEC has become a concern for Doha as it aims to cement its rank as the world’s biggest LNG producer, the industry sources told Reuters.

State-owned QP is the majority owner of the huge Golden Pass LNG terminal in Texas, with U.S. oil companies Exxon Mobil Corp and ConocoPhillips holding smaller stakes.

“We don’t have enough weight in OPEC to have an effect,” he told reporters on the eve of his first and last meeting as the head of Qatar’s OPEC delegation.

Oil prices steadied in the week ending 14 December, under pressure from high inventories but buoyed by a drawdown in U.S. crude stockpiles and indications that the trade war between the United States and China may be easing.

57 News

BUSINESS DAY

Telecoms contribution to GDP to hit $4trn by 2025 - NCC Oyin Aminu & Cynthia Egboboh, Abuja

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he Nigeria Communications Commission (NCC) estimates that the telecoms industry’s contribution to the economy could hit $4 trillion by 2025 on the back of efforts to increase broadband penetration in Nigeria.

Already, the telecoms regulator had raised the broadband penetration to over 28 percent as at end of October and is well on track to exceed its 30 percent target for the year.

At the media parley on Thursday in Abuja, Umar Danbatta, executive vice chairman of the commission, noted that from over 500,000 connected lines in 2001, Nigeria now has about 165 million active lines, saying this increase has had a great impact on the GDP of the economy as statistics has shown that for every 10% increase in broadband penetration there is a corresponding 1.3 increase in the Gross domestic Product (GDP) of a nation.

He said, “Nigeria telecommunication has already contributed 10.43% to the GDP in the second quarter of 2018 and this is estimated to reach $4 trillion by 2025.”

He explained further that the NCC has put in place incentives for Infrastructure Companies (lnfracos) to encourage speedy deployment of infrastructure that would deepen broadband penetration as quickly as possible.

According to him, the list of lnfracos Licensed by the commission include: Raeanna Nigeria Limited, for the South-South Zone; O’odua Infraco Resources Limited for the South West

Zone (Excluding Lagos); Fleek Networks Limited for the North-West Zone; Brinks Integrated Solutions for the North East Zone; Main One Limited for Lagos Zone; and Zinox Technologies Limited for the South East Zone.

“In line with our initiatives to encourage investors for Infracos to roll out, the Commission created provisions in its 2017 and 2018 budgets for subsidies to the Infracos. The government through the NCC has launched the open Access Model Broadband deployment. As a prelude to the above, 2.3GHz was issued to Bitflux Consortium, Six of the 14 slots available on 2.6GHz t0 MTN Nigeria and two dots to Openskys. Six slots are still available for assignment”, he said.

As part of efforts to empower consumer protection, Umar said that the commission has introduced mobile number portability to cushion subscribers’ anxiety of changing networks by purchasing SIMs indiscriminately adding that the commission has engaged the customers through various outreaches programs and town hall meeting to ensure customer satisfaction.

“We declared 2017 the year for network providers to underscore the importance it attaches to the consumers, we dedicated a short code 2442, “do not disturb,” to enable the consumers opt out of unsolicited SMS, and we also have a toll free line for secondary consumer complaints,” he said.

Speaking on the resolution of Resolution of the fine against MTN, Danbatta disclosed that MTN has so far paid N165billion, and assured that the rest payment to be made according to agreement.

Conditions of service: NUATE embarks on nationwide protest over delay of release IFEOMA OKEKE

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he National Union of Air Transport Employees Unions (NUATE) says it will embark on a nationwide protest over the delay in the release of the conditions of service in all aviation agencies by the National Salaries, Income and Wages Commission.

According to a circular to all aviation workers, the decision to embark on the protest was reached after an emergency meeting of all presidents and General secretaries including key officers of the union in Lagos.

The circular signed by Phillip Nkiru for the General Secretary read; “it was resolved that a nationwide

congress of all workers in the aviation industry be converged” to express their dismay over the delay in their conditions of service by the National Salaries, Income and Wages Commission.

“By this notice all workers in the aviation industry are enjoined to come out en mass on Friday 14th December 2018, in all their various stations to mobilize, sensitize and protest on the delay of the release of conditions of service in all aviation agencies, namely Nigerian Airspace Management Agency (NAMA), Nigeria Civil Aviation Authority (NCAA),Nigerian College of Aviation Technology (NCAT), Federal Airports Authority of Nigeria (FAAN), among others.

58 BUSINESS DAY News BusinessDay hosts Inspiring Woman series BUNMI BAILEY

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articipants at the 2018 BusinessDay Inspiring Woman series 8 have charged Nigerian women to project themselves in the society, improve their capacity in productivity, leadership and never lower their expectations. The event which took place on 13 November 2018 at the Civic centre Lagos state, is an annual series that brings together different women who share their experiences, levels of impact, challenges and success stories.

This year’s event, which was themed “Can she have it all?” was well attended by different women from different walks of life. Speakers at the event were Maymunnah Kadiri, a neuro-psychiatrist consultant, Olusola Adedoyin, CEO, Nitrend Limited, Dolapo Badmos, Police Public Relations Officer (PPRO), Zone Two Command, Ibidunni Ighodalo, CEO, Elizabeth R, and Elishama Ideh, a

business mogul.

“When trying to have it all, do the most important thing and what makes you happy,” said Maymunnah Kadiri, advised the women.

According to Kadiri, happiness is a call; you just have to find your happy place.

“Having it all is all about you, there may be so many factors working against you. Do not let society pressure get to you,” she said.

She added that some Nigerian women are making mistakes in the goal of trying to have it all by not focusing on what is happiness to us. “You must focus on what you want. Never lower your expectations, adjust them,” Kadiri said.

Olusola Adedoyin, CEO, Nitrend Limited, shared her story on how she survived cancer through prayers and by living healthy.

“Health is important when trying to have it all. Women are multi-taskers and for us to have it all, we must pay attention to our bodies, don’t over indulge yourself and always

OXFAM, ECOWAS deepen commitment to gender parity, agriculture Innocent Odoh, Abuja

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XFAM, the Economic Community of West African States (ECOWAS) and other stakeholders have deepened their commitments to gender parity to enhance the status of women in the acquisition facilities for agriculture in the sub region.

This was the crux of a seminar to address gender parity in the agriculture sector through the establishment of an interparliamentary network held at the ongoing Second Ordinary Session of the ECOWAS Parliament in Abuja.

Constant Tchona, country director, OXFAM, who commended the ECOWAS Parliament for its commitment to gender equality, said ECOWAS quest to ensure that agricultural investments were of benefit to women and men in the region had been encouraging.

The seminar was jointly organised by the International Institute for Sustainable Development (IISD), OXFAM International, the United Nations Food and Agriculture Organisation (FAO) and Women in Law and Development in Africa.

Sekou Sangare, ECOWAS commissioner for agriculture, environment and water resources, said women and youth could not be left out in any agricultural transformation process.

“As an institution and together with our partners, our commitment to you and this network is to consistently engage and extend our technical expertise and experience and any other support within

our ability to make sure the network lives up to its objectives,” he said.

The network has mapped out strategies to address impediments to achieving sustainable agriculture in the ECOWAS sub-region and also exploits the efforts of ECOWAS Parliament to focus on addressing gender and social inequality in agricultural investments and promote best practices to ensure inclusive local development.

Sangare, who was represented by Ernest Aubee, principal programme officer and ECOWAS head of agriculture division, said the network was critical to realising objectives of the ECOWAS Agricultural Policy 2025.

He added the commission had put mechanisms in place to achieve food and nutrition security in the region.

“One of such frameworks is the Regional Agricultural Investment Plan 2025 and the National Agricultural Investment plans for food and nutrition security, which all the ECOWAS member states are working on.

“And we are very hopeful that by the end of this year we will be able to complete this process,” he said.

Suffyan Koroma, FAO representative to Nigeria, described gender inequality as a driver of poverty, hunger and malnutrition, adding that both men and women were key partners to addressing the challenges.

“FAO will support this initial phase of the operationalisation of the network for an amount of $99,000 through a technical cooperation project facility with the ECOWAS Parliament,” he said.

Friday 14 December 2018

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do proper medical checkups,” Adedoyin said Ibidunni Ighodalo, CEO, Elizabeth R, advised that in trying to have it all, women should be content. “Don’t wish to be in other people shoes because you don’t know what they are going through.”

She gave a background of how she began the Ibidunni Ighodalo foundation to help others deal with fertility issues, and how she overcame the challenges that come from not having children. She also talked about adopting two children and living a fulfilled life helping others.

Dolapo Badmos, PPRO, Zone Two Command said that in trying to have it all, you must know who you are as a woman and identify who you look up too. “It does not necessarily mean you have to achieve what the person has achieved.” She advised women to watch out for advisers because not everybody will follow one’s vision. “Fight for your track and never look for excuses when it relates to work,” she said.

SystemSpecs’ MoU to create $93.7m value with deployment of e-payment system in South Sudan OSA VICTOR OBAYAGBONA

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s part of its focus on deepening intra-African trade, Afreximbank has facilitated the signing of a memorandum of understanding (MoU) between SystemSpecs and Trinity Technologies of South Sudan at the ongoing Intra African Trade Fair (IATF 2018) in Cairo, Egypt.

According to ‘DeRemi Atanda, executive director of SystemSpecs, who signed the MoU on behalf of the company, the MoU provides an opportunity for the collaboration to create value of about $93.7 million through the deployment of SystemSpecs’ Remita financial technology solution and services in partnership with Trinity Technologies for the processing of payroll for organisation, payments and revenues collection.

The MoU also covers the provision of national switching and settlement infrastructure and a multi-channel payment gateway for the entire financial

industry in South Sudan.

“The collaboration will be extended to cover the provision of biometric-driven payroll technology for public and private sector salary processing and the development of data verification and referencing system,” Atanda, said.

Kanayo Awani, managing director of Afreximbank Intra African Trade, who facilitated the signing, said, “We are glad to be the facilitator of this landmark deal between two financial technology organisations in Africa.”

Trinity Technologies is a South-Sudan Fintech firm specialising in the design and development of innovative financial services, online transactions, mobile payment systems and innovative solutions for commercial banks in the country.

SystemSpecs, Africa’s leading Fintech firm, is showcasing its solutions at the first ever Inter-African Trade Fair in Cairo, Egypt, at the Al Manara International Conference Centre, from December 11-17,

2018, as John Obaro, the company’s managing director will address the global audience on the “Blockchain solutions for Africa” at the seven-day event.

Analysis by the African Export-Import Bank (Afreximbank) shows that one of the main reasons why intra-African trade is low at around 15% compared to Europe (59%), Asia (51%), and North America (37%), is because of lack of access to trade and market information.

To address this challenge, Afreximbank has decided to, among other initiatives, convene the Intra-African Trade Fair every two years to provide trade and market information and connect buyers and sellers from across the continent.

The Intra-African Trade Fair is the first of its kind in Africa, and it comprises a 7-day trade show that provides a platform for sharing trade, investment and market information and enabling buyers and sellers, investors and countries to meet, discuss and conclude business deals.

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NSF will help inspire young talents - Toriola Stories by Anthony Nlebem

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even times Olympian Segun Toriola said the National Sports Festival (NSF) should remain open for all categories of athletes to take part in.

Toriola, while reacting to comments against veteran athletes’ participation at the festival, told the News Agency of Nigeria (NAN) the young athletes need the inspiration the old athletes can provide.

Some stakeholders had expressed mixed feelings on the status of the 19th NSF, which is open allows for elite athletes’ participation.

Toriola said the festival, which is expected to discover talents, should also involve veterans with the aim of inspiring the young ones.

“For me, it is better for the NSF to be open. It is only in Nigeria that we ask if the NSF is open or close.

“I live in France and the national championship there is obligatory for all players, because the young

ones need to play with the older players.

“The young ones cannot keep playing their equals. It is not a good test for them to know if they have improved or not.

“Playing against the older ones is also an inspiration to the youths.

They see their stars playing and want to be like them. That is how most of us started,’’ he said.

Toriola, representing Akwa Ibom, has won the table tennis men’s singles event by beating Ganiyu Hashimyu of Bayelsa on Tuesday.

Serena says it’s difficult to make friends in tennis

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erena Williams has admitted that making friendships in tennis is not easy.

“It’s very difficult, I think for anyone to be best buddies when you are so competitive. But I don’t have a problem with anyone. I get along with everyone. I have respect for people not only on the court but as well as off the court.

“I don’t have any problem when

it comes to anything like that. I don’t take jabs or anything. I am who I am and I don’t hide anything.

I think you guys have been able to see that. So, yeah, I’m totally fine”, said Serena.

Commenting on how she spends her free time, Serena said she prefers going to the beach rather than skiing.

“Oh, I don’t ski. My insurance doesn’t cover skiing accidents.

World Cup tops Google searches for 2018

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he 2018 FIFA World Cup Russia topped Google searches in Russia and worldwide in 2018, the world’s largest search engine said on its official blog on Wednesday.

The FIFA World Cup, held this summer in eleven Russian cities, was the most searched item in the category News in Russia and worldwide. Former goalkeeper of the Russian team Igor Akinfeev, striker Artem Dzyuba and midfielder Aleksander Golovin were among top three popular searches in the category 2018 World Cup Names. The Russians also showed interest in Croatia’s Luka Modric and French striker Kylian Mbappe.

Among top five events of the year in searches across Russia were the Olympic Games, the Kemerovo shopping mall fire, the fight between Khabib Nurmagomedov and Conor McGregor and the Russian presiden-

tial election.

The top searched item in the category People was Russia’s UFC Champion Khabib Nurmagomedov, wife of British Prince Harry Meghan Markle and a national of Belarus Anastasiya Vashukevich, known as Nastya Rybka, who made international headlines after claiming she

could reveal details about Russia’s alleged meddling in the US election.

The Loss of the Year category included the deaths of English theoretical physicist Stephen Hawking, Russian singer Joseph Kobzon, US rapper XXX Tentacion, Russian actor Oleg Tabakov and US comic book writer Stan Lee.

BUSINESS DAY

59

Sports

National Institute for Sports rolls out plans to celebrate silver jubilee

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he National Institute of Sports (NIS), a leading sports training institution in Nigeria has rolled out plans to celebrate its Silver Jubilee anniversary even as it planned to organize the convocation for no fewer than one thousand five hundred graduates who had completed their training programme some years ago.

Some of the plans on the card to mark the Silver Jubilee celebration of the institute are: Anniversary Lecture/ Gala & Dinner, NIS Awards of Sporting Excellence, Convocation/ Lecture and Investiture of Honorary Fellows of the Institute as well as Recognition Awards for Sports Journalism.

A statement by the Director General of NIS, Dr. Kingdom Chukwudi Eke revealed that the Silver Jubilee celebration is being organized in line with NIS vision “to be a first class institute transforming Nigeria and sustaining it as a world leader in sports”, adding that this initiative will no doubt make a clearer and loud statement about NIS resolve before all its stakeholders.

The Director General further disclosed that the institute has in the past

years of existent being consistent and committed to delivering on its statutory mandate as it has produced over 15,000 manpower in sports who have continued to place Nigeria on the global sports arena winning medals, laurels and awards.

“NIS graduates are prominently engaged in services at National, State and local government levels as well as clubs” noting that a sizeable number are in ECOWAS sub-regions and other parts of Africa coaching and managing talents who are breaking barriers in global sports events. ” “We have produced graduates who have attained their career peak and hauled laurels, awards and medals for their distinguished and outstanding sporting feats”, the Director General hinted.

Chelsea’s Alvaro Morata in shock move to Barcelona

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eports in Spain say former Real Madrid and Chelsea striker Alvaro Morata has offered himself to Barcelona.

The striker has struggled for form in Maurizio Sarri’s new-look Chelsea team and he has been linked with a move away from the club for some months. He wants more first-team football and could be ready to move next month.

Juventus and a number of Serie A teams had been looking at Morata but talk died down after he impressed in the early weeks of the season.

As a former Real Madrid man, the idea of joining Barcelona may seem a little strange but RAC1 seem to be convinced about the story’s credibility.

Barcelona boss Ernesto Valverde has been given the green light to make signings in January though Morata has never been mentioned as a potential target. Barca’s priorities lie elsewhere and they want more options in midfield. which is why

Ajax star Frenkie De Jong has been regularly linked with a move even if PSG look to have nosed ahead in the race to sign the player.

Morata was a key player for Sarri’s predecessor Antonio Conte last season but his £60million price tag often weighed heavy round his neck.

He has never looked truly happy at Stamford Bridge and this season has seven goals in 24 appearances. He has only scored more than one goal once this season - in the 3-1 win over Crystal Palace on November 4.

Last season he scored 16 goals in 49 appearances, including a hat-trick in a 4-0 win at Stoke.

NFF applauds Simba’s support for Nigerian football

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he President of the Nigerian Football Federation, Amaju Pinnick has thanked, Simba Group, distributors of TVS motorcycles and tricycles, for their close ties and support for Nigerian Football.

The NFF President upon a recent visit to the Group’s office in Oregun, Lagos, presented a customized Super Eagles jersey to the Business Head of Simba Group, Mr. Manish Rohtagi.

To celebrate the association, several okada and keke riders, as they popularly referred to, branded their vehicles in the Nations’ official colours.

Speaking at the event, the Business Head of Simba Group, Manish Rohtagi explained that the company, which is one of the country’s most respected business groups, has been operating in Nigeria for over 30 years.

Within that time, the group has contributed greatly to the nation’s economy while its portfolio of widely

recognized brands, continue to dominate industries in which they operate.

Rohtagi said Simba has supported national football at many levels, but officially became sponsors of the Super Eagles through their TVS brand of motorcycles and tricycles, earlier this year.

This recent ceremonial visit, followed an event held in November, where Simba thanked Mr, Gernot Rohr, coach of the Super Eagles, for his teams’ efforts at the recently concluded FIFA World Cup. Speaking at the event, Chief Vinay Grover, Managing Director of Simba Group, said “we celebrate the success that the Super Eagles have had this year, and are also so proud of all the other national football teams, especially the Super Falcons and the junior teams representing our country. Our association with the NFF is very special, and we are honoured to be contributing to the development of the sport locally”.

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news you can trust I FRIDAY 14 december 2018

Opinion Jupiter and the baptism of fire

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arly this year Emmanuel Macron astonished the world by announcing that he intended to govern France in the manner of a “Jupiterian” President -- “a remote, dignified figure, like the Roman god of gods, who weighs his rare pronouncements carefully”.

This bizarre remark followed a decision to suspend his normal Bastille Day Q & A session with the French media in preference for a more ex-cathedra pronunciamento in the ambience of the gilded pavilions of Versailles. His courtiers said the decision was taken ostensibly because the President’s “complex thought process lends itself badly to the game of question-and-answer with journalists. Those whom the gods wish to destroy, they first intoxicate with hubris!

Strikes, demonstrations, uprisings and the trenches are a part of the French way of life.

During the nineteenth century, when Napoleon Bonaparte founded the corps d’inginieurs publiques, he ordered them to design very wide boulevards so that it would be easier to control the mobs during social upheavals.

Between 17 November and 8 December, an estimated 1 million people were involved in the so-called Yellow Vest protests in France. Given the scale of the mayhem, looting and violent destruction, it is a surprise that there were only 2 casualties.

Some 874 people were wounded and 2,203 taken into police cus-

tody. White middle class people suddenly discovered they had difficulty paying their children’s school fees or supporting elderly parents whose retirement pensions are currently worth nothing. Teachers, doctors and civil servants are finding it difficult to make ends meet and to live the sort of lives that they and their parents had been used to.

The French, as my gentle readers would recall, overthrew their feudal aristocracy through a violent revolution in 1789 under the banner of “liberté, égalité et fraternité”. When former American Secretary of State Henry Kissinger asked Chinese Premier Zhou En-Lai what he thought were the consequences of the French Revolution, Zhou famously replied, “It is too early to tell”. I spent some of my most formative years as a student in France. I had mistakenly believed that the revolution had created an egalitarian society. I was surprised to find that France is almost as class-ridden as Britain. They got rid of the feudal monarchy only to replace them with monarchical presidents.

President François Mitterrand, for example, used to behave with the hauteur of an Egyptian Pharaoh. Our reincarnated Jupiter belongs to that spirit.

France’s oligarchs in government and the private sector have been drawn predominantly from the aristocracy of talent –graduates of the “great schools” such as École National d’Administration (ENA), École Polytechnique and École and

Normale Superièure. Competition for entry is fierce. The new aristocracy are under-stated in their lifestyles. They consider it bad form to flaunt personal wealth. They drive mostly old Renaults and leave glistening new Daimler-Benzes to the nouveaux riches Arabs. They wear laid-back, navy-blue overalls. The only tell-tale signs are their home addresses: Neuilly, Avenue Montaigne, Trocadero, Saint-German-des Près. There, you will find that the door-knobs are plated in gold and walls are lined with art works worth millions of Euros.

The recent uprisings were triggered by a new government

‘

“Unemployment, discrimination and poverty are at the root of the daily humiliation French people feel which has now transformed into a general despondency.

The French political elites will find it hard to pacify this public anger unless they commit to introducing radical changes to the way this country is governed.

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HumanAngle Femi olugbile

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Physician, psycho-profiler and essayist

he journey this morning startedatAbbeywoodand proceeded overland on theSouth-Easternrail.You were on your way to Akram.

The visit to Akram was a ritual that had developed over the past few years whenever you visited this city. Like all rituals, there was a story to it.

Akram was a dentist of IndoPakistani origin. You could call him your friend, though he was not a particularly friendly man.

He wore a faint perpetual scowl, and you had never seen him really smile. However, you somehow got the sense that hidden somewhere behind that scowl was a heart that cared about people. He was also very good at his job.

The story started with an enforcedinteractionafewyearsback.

You had just arrived in town for a holiday. You were looking forward toafewweeksawayfromthestress of Lagos. And then your tooth began to ache.

The toothache that day was like no other pain you had ever experiencedbefore,orsoitseemed to you at the time. It was a Sunday evening, not exactly the right time for a medical emergency – or any kind of emergency. After an hour you decided you could not bear it any longer. Frantically you searched the internet for a dental surgery that took emergencies. Dr

policy to increase taxes on petrol by 2.9% and on diesel by 6.5 percent. The aim is not only to balance public finances but also address the challenge of gas emissions and climate change.

Earlier in the year, the price of diesel had been hiked by 20 percent. With the announcement of the tax hike on petrol and gas, Macron maintained this is necessary so as to “protect the environment” and “combat climate change”.

The protesters were of a totally different view. They saw it as the last straw in the attitude of a government that has lost touch with the real-struggles of ordinary citizens. They describe the president as a “privileged” and “arrogant” statesman who has lost the common touch (if he ever had it). They see him essentially as representing a neoliberal global elite that protects One of your classmates in medical school had had root canal work done on a tooth in Ibadan. For several days afterwards, he went about class with a swollen face and the attitude of a man stoically enduring unbearable agony.

‘You’ll feel a little nick’ he said, already injecting anaesthetic into your gum.

That was another matter. You hated even the thought of anaes-

A ride on the London underground [Travelogue] Akram’splaceinEdgewarepopped up on the screen.

When you dialed the emergency number, the man picked up the phone himself. You had an acheinyourtooththatstartedsuddenly,youtoldhim,anditwasliked ahammerpoundinginyourhead.

President Buhari

His voice was unflappable. It was as if it was a perfectly natural experience that strange people would phone up at ungodly hours to tell him about their toothache. ‘jump in a taxi and come and see me.’ He was not friendly, not overtlysympathetic.‘Butit’scheaper if you wait till the morning.’

Youfeltlikegivinghimapunch in the face.

You were coming right away, you said.

‘You know it will cost you’ he said with the same dour, deadpan expression.

When you met up within the hour at his surgery, he looked just as he sounded. He was very brisk, and very professional. He did everything by himself – receptionist, nurse, radiographer – the works.

Within a few minutes he had done his examination and taken x-rays, all the while keeping up a conversation that was not friendly but interested.

He had once wanted to visit a friend from his London University days in Lagos, but the friend moved to South Africa. He was disappointed.

Having been strangely put at ease by the man’s deadpan manner and sense of being in control, yourpainseemedtohavelessened, even before any intervention, and youwereabletogetintothespiritof the banter. You sympathized with him over his missed opportunity.

‘I need to do your root canal’ he informed you, already getting to work. You did not have enough time to feel the panic that such information would normally evoke.

thetic in your gum, and anytime your own dentist in Lagos – Nike, pretty lady, vastly experienced, wanted to do a procedure, she wouldassureyou,withgreatdeference, that you would feel no pain, but the mere sight of the needle was worse than pain itself.

In a few minutes, still keeping uphiscommentaryaboutnothing in particular, Akram was done. He announced you would need to come back over the next two days.

You showed your surprise at how uneventful it all was.

‘

Riding on the Jubilee Line, you reflected on the logic and utility value of underground travel. As usual, that line of reasoning brought you back to Lagos, and the missed opportunity of the Lagos Metro… But… an army General named Buhari had pulled the plug on Baba Kekere’s big idea and aborted the Metro.

,

the interests of the 1 percent who control 50 percent of the world’s wealth. The demonstrations went beyond those immediate grievances to issues of inequality, wealth redistribution, salary and pension increases, minimum wage, social security, social justice and breakdown of the social contract between government and citizens.

The administration was rather taken aback by the ferocity of the protests. Art galleries were broken into and venerable art works smashed to smithereens.

A marble horse, most probably by Auguste Rodin, was destroyed at the Louvre. Cars and buildings were set ablaze.

Police were stoned. Many removed their helmets as a mark of solidarity with the protesters.

Shops were looted. Finance Minister Bruno Le Maire called the situation “a crisis” for both society and democracy. The French retail federation estimated that they lost some 1 billion. François Asselin, leader of the confederation of small and medium –sized businesses estimates that they lost as much as 10 billion from the protests. The tourist industry would no doubt have lost even more. In 2017 alone, Paris recorded as much as 40 million foreign tourists.

In what was clearly a volteface, Macron announced that the tax hike would be “permanently shelved”. He conceded that the protests were “deep and in many ways legitimate”.

In a rather penitent mood, he declared: “I assume my share of the situation - I may have He had demystified the dental chair to you, for all time.

Andso,fromtimetotimesince, you went to spend a few minutes withAkram,ostensiblyfora‘checkup’, but perhaps more for another briefexchangewithabrutallyfrank man who felt no need to try to impress anyone. It did not make a lot of sense, but there it was.

The Abbeywood station was a scene of large-scale construction work. From a shabby little place of a few years back, it was now in the process of becoming the connection point with Crossrail – the new rail system that was coming on board shortly. At London Bridge, youleftthesurfacetrainandjoined the Underground to travel northwards to your destination. On the corridor, some student types flaunted stickers that said, ‘Wrap Up London’. They were collecting donationsofusedovercoatstogive tothehomeless.Itstruckyouasyou passed that even in the ultimate welfarestate,therewasstillpoverty, and some people still managed to fall through the cracks.

Riding on the Jubilee Line, you reflectedonthelogicandutilityvalueofundergroundtravel.Asusual, that line of reasoning brought you back to Lagos, and the missed opportunity of the Lagos Metro.

The Lagos Metro was the big idea of Lateef Jakande – ‘Baba Kekere’.It was an idea so big and so ‘disruptive’ – in a country generally lacking in ideas of any kind, that it could be placed on the same pedestalwith the other big ideas of a previous leader – Obafemi Awolowo. The first television station in Africa (including South Africa)! Free education! It was an idea so big and so disruptive it would have changed the city of

THE NEW WEALTH OF NATIONS

Obadiah Mailafia Dr. Mailafia is a former Deputy Governor of the Central Bank of Nigeria, a development economist and public finance expert with a DPhil from Oxford obmailafia@gmail.com; 08036590990 (text messages only) given you the feeling I have other concerns and priorities. I know some of you have been hurt by my words”. He also announced that the minimum wage will increase by 7 percent as from 2019. He shelved the tax on low-income pensioners and also announced that overtime will no longer by taxed while firms will be encouraged to give tax-free end of year bonuses to workers.

He however refused to reinstate the tax on the wealthy which he claimed would only “weaken” the capacity of the private sector to generate future jobs.

Continues online at www. businessdayonline.com Lagos – not only in logistics but technology–forever.AsinLondon, oncethespinewaslaid,extensions could be added on as populations evolved for several generations to come, to Epe, to Badagry, to Ikorodu – wherever, as had been done with the Jubilee Line, and as was in process with Crossrail.

In those days, you had rejoiced at the sight of the stockpiles of paraphernalia for the Lagos Metro at Yaba, which was going to be the hub of the system. In the same period, you had visited Cairo, and seen similar preparatory work for the Cairo metro. A few years later you would visit Cairo again. The Cairo metro was up and running andhadbecometheindispensable spine of public transportation in that sprawling city. But back home in Lagos, an army General named Buhari had pulled the plug on BabaKekere’sbigideaandaborted the Metro.

In all the time since, there has been no acknowledgement that it was a big mistake. There has been not one word of apology – to Baba Kekere, or to the good people of Lagos. Instead, there has been a massive, deafening silence, and a general sense that people should just move on. The problem is that only third rate, ‘Third World’ nationsthinktheycan‘moveon’from lostopportunitiesandaborted‘big ideas’, without acknowledging the errors of their past, and living them down, and learning from them.

Youcameoutofyourreflection as the train approached Canon Park, the nearest stop to Akram’s surgery. You smiled as you looked forward to some brusque, brutal conversation with the British Indo-Pakistani dentist, and made a mental note that you would remember to tell your Lagos dentist Nike about him.

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