Monday 26th September 2016

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FX Scarcity Heightens Concern over Banks’ Eurobond Obligations Obinna Chima The broad effects of low oil prices and production disruptions, which have resulted in a significant reduction of foreign exchange earnings, have

raised concerns about some banks’ ability to honour their Eurobond obligations upon maturity. Some of the offshore funds that were raised by the banks to expand operations and finance foreign currency

infrastructure projects would mature between 2017 and 2021. For instance, Access Bank will have to raise $350 million for its maturing Eurobond due in July 2017; Fidelity Bank’s $300 million

Eurobond would be due by May 2018; Guaranty Trust Bank’s $400 million will be due in May 2018; Zenith Bank has an outstanding debt obligation of $500 million; Diamond Bank also has a $200 million Eurobond; while

First Bank of Nigeria Ltd has two Eurobonds - $300 million and $400 million - maturing in 2020 and 2021. All the Eurobonds issued by the banks with different coupon rates that must be paid annually before

maturity, are also callable before maturity. Afrinvest West Africa Limited highlighted this in its 2016 “Nigerian Banking Sector Report” launched last week. Continued on page 10

Ondo APC Crisis: Tinubu Demands Oyegun’s Dismissal… Page 55 Monday 26 September, 2016 Vol 21. No 7823. Price: N250

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Adeosun: Spending on Capital Projects, Our Strategy to Get Out of Recession Says FG yet to decide on specific assets for sale Economy tops agenda as FG, states, others meet in Ogun AfDB president to meet govt officials today Ndubuisi Francis and Dele Ogbodo in Abuja The Finance Minister, Mrs. Kemi Adeosun, while sidestepping questions on the controversy that arose last

week after her call on the Central Bank of Nigeria (CBN) to reduce the policy rate at its last Monetary Policy Committee (MPC) meeting, stated at the weekend that the federal government was

painstakingly fashioning out appropriate measures to reflate the economy, affirming that it had adopted a potent strategy to stem the economic recession through spending on capital projects.

Adeosun said investing in capital projects, including roads, railway projects, housing and education, among others, would trigger a ripple effect on the economy and impact potentially on

the populace, stressing that infrastructure was not only the fulcrum, but the superstructure on which development revolves. She said the quest to inject massive spending on

capital projects had ignited government’s move for external borrowing because of the cheap interest rate potential inherent in foreign loans. Continued on page 10

AGF Seeks Further Evidence to Prosecute Saraki, Ekweremadu Admits investigation into forgery of Senate Standing Rules inconclusive Police write clerk of N’Assembly for additional information

Tobi Soniyi in Abuja Three months after it charged Senate President Bukola Saraki, his deputy, Ike Ekweremadu, and two others with forging the Senate Standing Rules, the Office of the Attorney General of the Federation

(AGF) and Minister of Justice has declared the investigation into the alleged offence inconclusive, THISDAY has learnt. The AGF, Abubakar Malami, is now desperately seeking fresh investigations Continued on page 11

SMART-COLE… STILL EFFERVESCENT AT 75 MEND, Clark Condemn Bombing SUNMI Renowned photographer and journalist, Mr. Sunmi Smart-Cole (right), conducting the Minister of lnformation and Culture, Lai Mohammed, and other guests round his photo exhibition to mark his 75th birthday and thanksgiving service held of Shell’s Bonny Pipeline… Page 12 Alhaji at the All Saints Church, Yaba, Lagos… yesterday abiodun ajala


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