Monday 30th January 2017

CBN Queries Banks over Inaccurate FX Utilisation Publication

Obinna Chima

The Central Bank of Nigeria (CBN) yesterday disclosed that it recently queried some commercial banks that forwarded inaccurate data on their returns on foreign exchange (FX) utilisation which it had erroneously published.

Although the CBN did

not reveal the names of the affected banks, it pointed out that some of the financial institutions had returned a response indicating that some of the figures were related to formatting errors which did not affect the actual rates of the reported transactions.

The acting Director, Corporate Communications, CBN, Mr. Isaac Okoroafor, in a statement said the clarification became necessary following media reports alleging irregularities in the rates at which FX was obtained by some individuals and

companies from different banks under the new FX policy by the central bank which prioritises FX sales to manufacturers, agriculture, plant and machinery, critical raw materials, among others.

The statement explained that the central bank neither

allocates FX nor does it deal directly with banks' customers.

In addition, it stated that the CBN did not fix FX rates for transactions by individuals or companies; and that in line with its principle of transparency, it directed banks to forward to it, evidence of

North-west House Caucus in Disarray over Buhari… Page 10

FX sale to end users and to advertise same in national dailies.

The CBN said: "Since the introduction of the new FX Policy in 2016, we have published, monthly, the evidence of sale from deposit money banks (DMBs), as received from the banks and Continued on page 10

Monday 30 January, 2017 Vol 22. No 7956. Price: N250

www.thisdaylive.com TR

UT H

& RE A S O

N

SERAP Tells Buhari to Refer SGF to EFCC, ICPC for Investigation Tobi Soniyi in Abuja Socio-Economic Rights and Accountability Project (SERAP) has requested President Muhammadu Buhari to refer allegation of corruption made by the Senate against the Secretary to the Government of the Federation (SGF), Mr. David Babachir Lawal, to the Economic and Financial Crimes Commission (EFCC) and the Independent Corrupt Practices and Other Related Offences Commission (ICPC) for further investigation.

Continued on page 10

CELEBRATING A WORTHY COMRADE…

R-L: Chairman and CEO of Channels TV, Mr. John Momoh; former Governor of Edo State, Comrade Adams Oshiomhole; his wife, Iara; Chairman, THISDAY Newspapers, Prince Nduka Obaigbena; and Governor of Edo State, Mr. Godwin Obaseki, during a farewell dinner in honour of Oshiomhole, held in Victoria Island, Lagos… yesterday kunle ogunfuyi

Petrol Scarcity Looms as Product Sells for N142 per Litre in Depots South-west IPMAN threatens to stop lifting products Ejiofor Alike Despite the pledge by oil marketers to support the federal government’s efforts in ensuring sustained and stable supply of petrol at the

official pump price of N145 per litre, there are indications of imminent scarcity as some depot owners have jerked the

ex-depot price to N142 per litre, against government’s approved N123.28 –N133.28 per litre ex-depot price band.

Rising from a two-day consultative forum of the downstream petroleum sector, which was recently

convened by the Chief of Staff to the President, Mallam Abba Kyari, the marketers had restated

Presidency Justifies DSS' Invitation of Apostle Suleman… Page 12

their commitment to the N145 pump price and also pledged to ensure significant reduction in the price of diesel.

Continued on page 10

2

T H I S D AY MONDAY JANUARY 30, 2017

GTBank ATM

T H I S D AY MONDAY JANUARY 30, 2017

3

4

T H I S D AY MONDAY JANUARY 30, 2017

T H I S D AY MONDAY JANUARY 30, 2017

5

6

T H I S D AY MONDAY JANUARY 30, 2017

The Upgraded Fidelity Online

Banking That Lifestyle Suits Your Fidelity Online comes with so much convenience.

The smile on your face, knowing everyday with Fidelity Online is fun.

Together, we make banking a lifestyle.

Visit: online.

Download your Fidelity Online Banking app on

RC 103022

7

T H I S D AY MONDAY JANUARY 30, 2017

You can inspire a generation

a

or

8

T H I S D AY MONDAY JANUARY 30, 2017

H II SS D D AY AY MONDAY MONDAY JANUARY JANUARY 30, 23, 2017 TT H 2017

99

10

MONDAY, JANUARY 30, 2017 • T H I S D AY

PAGE TEN

North-west House Caucus in Disarray over Buhari Damilola Oyedele in Abuja There is anger in the Northwest caucus of the House of Representatives following its alleged endorsement of President Muhammadu Buhari’s presumed interest for the presidency in 2019.

Although the president still has over two years to serve his term and has not indicated any intention to re-contest the position in 2019, the leader of the 94-member caucus, Hon. Alhassan Ado Doguwa, had after a meeting last Wednesday told newsmen that the caucus had unanimously endorsed Buhari, who is from the zone, to bid again for the presidency in 2019.

Doguwa said: "2019 will come and we are also going

to be there; we will be able to engage it as it comes. I want to tell you that Nigerians can't afford to miss Mr. President in 2019 as it comes."

THISDAY however gathered that members of the opposition Peoples Democratic Party were not happy with the impression that the caucus had endorsed the president.

The five-member PDP caucus, all of them from Kaduna state, Hon. Yakubu Barde, Hon. Gideon Gwani, Hon. Simon Arabor, Hon. Shehu Garba and Hon. Sunday Marshall Kaltung, were up in arms at the weekend.

The Minority Whip, Barde, confirmed that the caucus did not endorse Buhari for the 2019 presidential polls.

"I am of the PDP, so that is not possible. PDP has its own candidate for the polls and we would soon present the candidate," he told THISDAY in a telephone interview yesterday.

Also speaking, Kaltung corroborated Barde by saying the issue of endorsement of Buhari never happened.

"I can tell you categorically that it never featured in our discussions at the meeting, so if anyone says we endorsed anyone, it is a big lie," he told THISDAY. A PDP member who spoke off the record said the main issue discussed at the caucus meeting was the under-representation of the zone in the 2017 budget.

The source said: "Many of our roads are becoming death

traps, and we want to see how we can strategise to attract more infrastructure to the region. We also want more attention for security."

He said it would be funny for anyone to endorse the President at this time, explaining that lawmakers needed to be sensitive to the mood of Nigerians.

According to him: “The President is being bashed in the public space for the hardships Nigerians are dealing with, so to support him for 2019 would be like insulting the citizens."

Another PDP member said no member of his party could be seen as endorsing Buhari for 2019.

Also some members of the ruling All Progressives Congress (APC) insisted that

PETROL SCARCITY LOOMS AS PRODUCT SELLS FOR N142 PER LITRE IN DEPOTS On May 11, 2016 when the current retail price band of N135 - N145 per litre took effect, the Petroleum Products Pricing Regulatory Agency (PPPRA) had fixed the indicative exdepot price at N123.28 –N133.28 per litre for product that is in the depots, via circular No. A.4/9/017/C.2/IV/690.

However, for petrol that is still in the mother vessel at the high sea, the ex-depot price was fixed at N116.63 –N126.63 per litre as the marketer will incur additional expenses to hire daughter vessels to lift the product to the depots.

But investigation revealed that only six members of the Major Oil Marketers Association of Nigeria (MOMAN) – Forte Oil, Total, Mobil, Conoil, MRS and Oando- are loading petrol at government’s approved ex-depot price.

It was, however, gathered that the MOMAN members do not sell the product to other marketers but only to their own dealers and retail outlets.

According to THISDAY’s investigation, majority of the independent marketers and depot owners sell above the official ex-depot price range, thus making it impossible for the retail outlets to sell at N145 per litre and break even.

Investigation further revealed that the ex-depot price in most of the depots ranges between N136, 139, 140 and N142 per litre.

It was further learnt that virtually all the product in the private depots is sourced from the Nigerian National Petroleum Corporation (NNPC) as Total Nigeria Plc is the only private marketer known to have imported petrol in the past two weeks, according to marketers who spoke to THISDAY. THISDAY learnt that NIPCO Plc, which also sells product to all marketers at government’s approved price, does not have petrol in its depot.

When THISDAY visited the company at the weekend, there was a notice to marketers by

the company that it could not guarantee when product would be available.

Some of the marketers, who spoke on condition of anonymity, told THISDAY that N145 per litre pump price was no longer sustainable as a result of the hike in ex-depot price.

“By the time you pay the union fees, which amount to over 50 kobo per litre; you pay the driver, cost of diesel for fuel, plus the extortion by security agents, you will end up at a huge loss,” said one of the marketers.

Following the hike in exdepot price, the South West Zone of the Independent Petroleum Marketers Association of Nigeria (IPMAN) at the weekend threatened to stop lifting petrol from the depots.

The meeting of the downstream players convened at the instance of the Presidency, reviewed the state of the downstream sector and addressed issues that may impede the uninterrupted

supplies of petroleum product leading to price distortions.

In attendance at the forum were Kyari; Minister of Finance, Mrs. Kemi Adeosun; Minister of State (Aviation), Senator Hadi Sirika; the Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele; Group Managing Director of NNPC, Dr. Maikanti Baru; DirectorGeneral, State Security Service (SSS), Mr. Lawal Daura; as well as the chief executive officers of major marketers, depot owners and independent marketers.

“Discussions focused on designing proactive measures that will balance supplies and maintain the fixed pump price of N145 per litre for petrol.

Furthermore, deliberations also extended to creating an affordable and stable price regime for deregulated products such as diesel and aviation fuel, which in recent times have been volatile,” MOMAN said in a statement at the end of the meeting.

the endorsement of the President, was not discussed at the meeting which had lasted for about three hours.

An APC member told THISDAY that to publicly endorse Buhari in the face of the hardships being experienced

by Nigerians, would amount to "absolute bad timing."

The member from Kaduna State, who asked not to be named accused the Chief Whip of misrepresenting the caucus.

"He just misrepresented our position and misinformed Nigerians. Yes, we commended Mr. President for improving the security situation generally, but that was it. In fact we also discussed that while the security situation is improving in the North-east, it is getting worse

in our zone. This is because the North-east has been getting all the attention," the lawmaker said.

Another lawmaker said Doguwa simply used the statement to slight Senator Rabiu Kwankwaso, the former Governor of Kano state, who is also believed to be interested in the nation’s top post.

"Doguwa is bringing Kano politics into our general caucus position. Kwankwaso's interest in running for president in 2019 is visible, even if he has not publicly said so. And we all know the serious infighting in Kano APC. Doguwa just used that statement to throw a jab at his erstwhile mentor.

We did not send him to make any endorsement," the lawmaker said.

SERAP TELLS BUHARI TO REFER SGF TO EFCC, ICPC FOR INVESTIGATION In a letter to the president dated 27 January, 2017 and signed by SERAP Executive Director, Mr. Adetokunbo Mumuni, the group said Lawal should be prosecuted if the anti-graft agencies find sufficient admissible evidence against him.

SERAP also urged Buhari to publish the outcome of the investigation conducted on the matter by the Attorney General of the Federation and Minister of Justice, Mr. Abubakar Malami (SAN), and hand over the file to both the EFCC and the ICPC. SERAP said: “We are concerned that the failure to suspend Mr. Lawal from his position as Secretary to the Government of the Federation pending the investigation by Mr. Malami, and the perceived lack of transparency in the outcome of that investigation may have created the impression that your government is treating

Mr. Lawal as a sacred cow.”

The letter copied to the Acting President, Professor Yemi Osinbajo, reads in part: “SERAP believes that Mr. Lawal’s case presents your administration with a real opportunity to reassure a lot of Nigerians who may be worried about the direction of travel of your anti-corruption agenda. Rather than assuming a defensive posture to the matter, we advise you to use this case to show to Nigerians that there will be no two standards of justice in your administration’s fight against corruption.

“SERAP also believes the recommended approach would help to address the growing public suspicion and pessimism about your government’s ability to fight high-level official corruption to a standstill, and to avoid any collateral consequences.

in dollars, while the remaining 40 per cent are paid in naira.

With the naira devaluation, converting these revenues to naira, have partly," it added.

In its review of the manufacturing sector, the report noted that as a result of the significant depreciation in the nation's currency, manufacturers also had to face rising input costs amid an economic crunch resulting in declining demand.

Consequently, loans to that sector are now considered high risk by banks in their view. The report did not envisage an improvement in the manufacturing sector in 2017, at least not in the first half of the year.

"Indeed we believe things may even get worse in the coming months without some intervention from the federal government.

The measures taken so far have not been effective in keeping the sector’s output from declining hence we have little confidence that things will change in the near term. With the current scarcity of foreign exchange at the interbank, except this is addressed by the CBN, we believe manufacturers will still

largely depend on the parallel market for their FX needs.

"We believe the naira in the parallel market is unlikely to settle below N450 in 2017, hence we view the likelihood of a decline in input costs unlikely. While we believe the manufacturing sector will continue to take priority with the Nigerian government, a crisis in the sector is nevertheless a possibility that requires assessment," it added.

Continued on page 12

CBN QUERIES BANKS OVER INACCURATE FX UTILISATION PUBLICATION without any alteration by us in the spirit of transparency.

We have recently observed, however, that some DMBs forwarded inaccurate data, which were erroneously published and gave a wrong impression of disparate rates; "The DMBs involved in providing inaccurate data have since been issued queries accordingly. Some have returned a response indicating that some of the figures were related to formatting errors which do not affect the true rates of the affected transactions. As the constitutionally authorised industry regulator mandated to manage the foreign exchange market, maintain external reserves and to safeguard the international value of the legal tender currency, we wish to state unequivocally that the CBN has a duty to perform and would not indulge in acts capable of discrediting the foreign exchange market.

"We therefore wish to reiterate that the sale of foreign exchange under the new policy is most transparent and is not intended to benefit any individual or corporate body in anyway.

While we appreciate the concerns of stakeholders, we urge all concerned to verify information on matters relating to the Bank and use our available channels to lodge their complaints."

30% of oil sector loans may default in 2017 Meanwhile, a report by CSL Stockbrokers Limited has estimated that 30 per cent of lending to the oil sector may default in 2017 if production remains low on account of pipeline vandalism and if the use of alternative evacuation methods is not successful.

This, however, is in spite of the fact that a significant portion of banking sector loans to the oil and gas sector had been restructured.

The report also stressed that beyond the grace periods for the restructured loans, problems might well recur unless production level improved after the repair of damaged infrastructure and the ability of the federal government to reach a truce with the Niger Delta militants.

Consequently, the 2017 banking sector report by the Lagos-based firm titled: "Asset quality: overall picture still bearish," estimated that the

banks covered in the report would see an average cost of risk (CoR) estimated at 11.23 per cent in the oil and gas sector, by the end of 2017, as opposed to its base case 2017 forecast of 2.54 per cent.

The banks covered in the report included FBN Holdings, Zenith Bank Plc, United Bank for Africa Plc (UBA), Guaranty Trust Bank, Access Bank, Diamond Bank, Fidelity Bank, and Sterling Bank.

Several banks had made loans to the oil and gas sector. These loans included significant sums lent to indigenous oil and gas companies to purchase marginal oil fields from the international oil companies (IOCs).

Indigenous oil producers operate onshore fields that require infrastructure in the Niger Delta for exports but the militancy in the Niger Delta has damaged major pipelines and other infrastructure. The consequent drop in sales has negatively impacted the finances of domestic companies.

According to the report, the current oil price of about $55.39/bbl, which in most cases covers operating costs

but not all finance costs, and the return of violence to the Niger Delta implied a significant strain on the cash flow of indigenous oil and gas companies going into 2017 and consequently inability to service their bank loans.

"Some of these companies are also significantly leveraged and in such cases even resumption of oil exports and an increase in oil prices to $70/bbl will not significantly improve their cash flows.

Currently, the highest risk lies with the upstream oil and gas segment particularly loans to the indigenous oil and gas companies. We however see potential risk in the downstream sector and the oil and gas servicing segments.

"A strain on the finances of the upstream oil and gas sector companies implies a strain on oil and gas servicing companies as contracts awarded and rates on jobs drop in accordance with the drop in revenues of major IOCs. The oil servicing companies however have been staying afloat due to the fact that for most contracts awarded to them, 60 per cent of their earnings come

TOP GAINERS NGN NGN FORTEOIL 6.68 71.88 NASCON 0.39 8.23 CADBURY 0.44 9.44 OANDO 0.23 4.94 NEIMETH 0.03 0.70 TOP LOSERS NGN NGN MRSOIL 4.21 39.03 GUINNESS 3.50 66.55 CONOIL 1.86 35.49 MOBIL 13.78 265.22 UACN 0.72 16.41 HPE Nestle Nig Plc ₦740.00 Volume: 237.789 million shares Value: N2.193 billion Deals: 2,725 As at 27/1/16 See details on Page 37

% 10.2 4.9 4.8 4.8 4.4 % 9.7 5.0 4.9 4.9 4.2

T H I S D AY MONDAY JANUARY 30, 2017

11

12

MONDAY, JANUARY 30, 2017 • T H I S D AY

PAGE TWELVE

Presidency Justifies DSS’ Invitation of Apostle Suleman Tobi Soniyi in Abuja The presidency has exonerated itself from the invitation of Apostle Johnson Suleman of Omega Fire Ministries by the Department of State Services (DSS) over his alleged directive to members of his church to kill any suspected Fulani herdsmen in retaliation for the killing of Christians in Southern Kaduna.

A senior official in the presidency who issued the denial on behalf of the presidency however, justified the pastor's invitation by the DSS saying that it was within the agency's powers to do so.

The official who pleaded not to be quoted on record, said: "The decision of the DSS to invite the said preacher for talks this week over the statements he is reported to have made is in clear demonstration of the agency's duty that does not require any kind of presidential directive as is being speculated on the

social media.

"Anyone, especially leaders, who engage in such questionable conduct, ought to at least be asked a few questions. We just hope religious leaders will also at least call on the said pastor to behave in a Christ-like manner."

He then reiterated the efforts being made by the federal government to stop the massacre in Southern Kaduna.

According to him, government has been sending reinforcements to Southern Kaduna and would enforce the law against perpetrators of violence but is seeking the cooperation of religious leaders not to support hate speeches that call for even more violence.

President Muhammadu Buhari came under heavy criticisms when he chose to keep quiet while hundreds of people were massacred in Southern Kaduna.

His Special Adviser on Media and Publicity, Femi Adesina, angered many Nigerians when he said

the president did not have to comment about the killings.

While condemning the statement reportedly made

by Apostle Suleman, the Senior presidency official said that all religious leaders be it Christian, Islamic or traditional should condemn the call and bring the pastor back to order.

"Yes, we understand the emotional reactions arising from a breakout of violence and day-in day-out the government is dealing with the situation.

Perpetrators of violence are being arrested, and we don't need a religious leader calling for more violence," the official added.

Apostle Suleman was quoted as saying "any Fulani herdsman you see around you, kill him.

I have told them in the church here, that any Fulani herdsman that just entered by mistake, kill him, kill him. Cut his head.

If they are busy killing christians over there and

nothing is happening, we will kill them and nothing will happen.”

According to the official, who asked for anonymity, "Is CAN, aware of this kind of statement. Is it in line with Christian conduct? Why haven't there been a condemnation of this kind of criminal conduct. There is some understandable outrage about cases of violence in Southern Kaduna, yet this, coming from a religious leader is certainly even more outrageous."

He noted that the Buhari administration fought Boko Haram which was advocating violence and calling for the scraping of Nigeria's secularity.

He said the administration would eventually get to the root cause of Southern Kaduna violence as well.

"But we need patience and little time to get to the bottom of the issue, knowing that the Southern Kaduna crisis has been a recurring crisis over several years now," he added.

Suleman

Seized Helicopters: Wike Accuses Amaechi of Politicising Rivers’ Security Ejiofor Alike Rivers State Governor, Mr. Nyesom Wike, has accused the Minister of Transportation, Mr. Rotimi Amaechi, of being unpatriotic and politicising the security of Rivers State.

Governor Wike, who responded to Amaechi’s allegation through his Special Assistant on Electronic Media, Simeon Nwakaudu in TheCable, an online website described as false, baseless and unfounded, the allegation

by Amaechi that the governor was responsible for his inability to clear the two Bell 412 helicopters, Amaechi’s administration paid for.

The governor noted that the documents regarding the communication between the Rivers State Government and the relevant federal agencies on the said helicopters are in the public domain, adding that from Amaechi’s statement , the Jonathan administration through the office of the

the National Security Adviser (NSA) paid $15 million, which was half the cost of the two armoured helicopters.

“At no point in the entire transaction did Governor Nyesom Ezenwo Wike then a Minister interfere with the process of the acquisition of the helicopters. He had no reason to stop a process for which the then Jonathan administration committed $15m as admitted by Amaechi, a politician who is notorious for his obsession for falsehood. Furthermore, contrary to Amaechi’s claim that his administration improved security in the state, his administration was compelled to procure armoured helicopters because of the porous security nature of the state at the time,” Wike said.

Wike added that despite Amaechi’s refusal to formally hand over, he embarked on due diligence, and discovered the transaction and followed

up the interest of Rivers State and the security of the people.

“For the avoidance of doubt, the Rivers State Government under the leadership of Governor Nyesom Ezenwo Wike took proactive steps to clear the helicopters for security purposes, but the concerned Federal agencies deliberately blocked the state government. As a result of the commitment of the Rivers State Governor to the security of lives and property devoid of partisan politics, he applied to the President for the two Bell 412 helicopters to be handed over to the Nigerian Air Force for custody and management. This patriotic request of Governor Wike was approved by the National Security Adviser (NSA) vide a letter dated November 3, 2016 and signed on behalf of the NSA by Brigadier General A.T. Famadewa,” Wike explained.

Wike argued that despite

the documentary approval by the NSA for the transfer of the two Bell 412 helicopters to the Nigerian Airforce, it was shocking that the Nigerian Custom Service had to stage a drama that the helicopters were imported by unknown persons and that the service had resolved to transfer same to the Nigerian Air Force.

The governor alleged that for Amaechi’s statement to be filled with bitterness, lies and political blackmail is a proof that he was behind this crime against the people of Rivers State.

Wike said it was sad that the former governor would take his hatred for the people of Rivers State to the level of masterminding the diversion of security helicopters paid for with Rivers funds, which he now wants to be used in other states.

“That the security helicopters were hijacked by the Nigerian Customs

Service as a facility under the control of the failed former governor shows the level he is ready to go as regards the politicisation of security with a view to attaining unpatriotic goals. Since Mr. Amaechi left office in 2015, he has been sponsoring crime and criminality in Rivers State with a view to creating an unstable environment for the declaration of State of Emergency on Rivers State.

However, he has continued to fail because the Rivers State Governor, Nyesom Ezenwo Wike is always ahead of him through the initiation and sustenance of a sound security architecture,” Wike alleged.

Wike however noted that the fact that the two Bell 412 Helicopters belong to the Rivers State Government has been established, adding that the drama staged by the Nigerian Custom Service and the Nigerian Air Force was therefore unnecessary

and unpatriotic .

The governor also described as politically motivated, the refusal to grant the Rivers State Government waiver to clear the said helicopters.

"Amaechi could not provide the people of Rivers State with good governance that was why he had to recourse to the purchase of Armoured Helicopters.

"I have no need for armoured helicopters because I have provided the good people of Rivers State with good governance and they are happy with him. In any case, Rivers State is not at war with any country, hence there is no need for armoured helicopters.

"I will continue to deliver good governance to the Rivers' people. This has led to the improvement of security, despite the evil political machinations of Amaechi and his cohorts," the statement said.

on 14 December, 2016, the committee indicted Lawal, accusing him of awarding N237million contract to Rholavision, a company he had substantial interest in. It recommended that Lawal resigned his office or be booted out by Buhari.

Following this recommendation, the president asked the AGF to investigate

the Senate's allegation.

Based on the outcome of the AGF’s investigation, the president wrote the Senate on 17 January, 2017 declining to sack Lawal on the ground that neither the company he allegedly awarded the contract to nor he was invited by the Senate committee to defend themselves before they were indicted.

SERAP TELLS BUHARI TO REFER SGF TO EFCC, ICPC FOR INVESTIGATION It is absolutely important that the public should have complete confidence and trust in your administration’s oftrepeated commitment to fight corruption and the impunity of perpetrators.

“It is true that Mr. Lawal enjoys a constitutionally and internationally guaranteed right to a fair trial, which includes the right to be presumed

innocent unless and until proved guilty by a court of competent jurisdiction. But we believe that the right to presumption of innocence is one that should have personally be raised by Mr. Lawal and not your government, especially given his position as Secretary to the Government of the Federation.

SERAP believes that the guilt

or innocence of Mr. Lawal is for the court to decide, following a due process of law. " The organization said if the president wants to achieve public confidence and trust, it should refer the allegations against Lawal to both the EFCC and ICPC for further investigations.

It also said pending the

referral to the EFCC and ICPC, the federal government should suspend Lawal from office till the outcome of the agencies’ investigation.

The Senate had last year set up an ad-hoc committee led by Senator Shehu Sani to investigate the mounting humanitarian crisis in the North-east. In its interim report adopted by the Senate

13

T H I S D AY MONDAY JANUARY 30, 2017

JAMES HOPE COLLEGE Knowledge

Character

Truth

ADMISSION & ENTRANCE EXAMINATION into Year 7 (JSS 1) comes up on

11th and 18th of FEBRUARY 2017 at the following locations LAGOS: Civic Centre, Victoria Island Ozumba Mbadiwe Avenue, Victoria Island, Lagos ABUJA: 71 Usuma Street, Opp. Transcorp Hilton Hotel, Maitama, Abuja PORT HARCOURT: 15 Nnamdi Azikwe Road, Port Harcourt, Rivers State ENUGU: 20a, Presidential Road, Independence Layout, Enugu, Enugu State AGBOR: James Hope College, Agbor Obi Ikechukwu Road, Agbor, Delta State WARRI: 142 PTI Road, Effurun, Warri TIME: 10.00 AM

Scholarship will be available for exceptionally brilliant students

OPEN DAY: For all prospective parents and students VENUE: James Hope College, Agbor, Delta State DATE & TIME: Saturday 25th February 2017 from 10am - 1pm Application forms can be downloaded at www.jameshopecollege.edu.ng under the “admission” tab or can be collected from the addresses below : JAMES HOPE COLLEGE Obi Ikechukwu Road Agbor Obi, Agbor Delta State.

Telephone: +234 7083662229, +234 708 5644062 Mobile: +234 7015349257

JAMES HOPE COLLEGE Lagos Liaison Office 7 Ilabere Avenue, Ikoyi, Lagos.

Telephone: +234 7085369376

Email: admission@jameshopecollege.edu.ng Website: www.jameshopecollege.edu.ng

Important: Please note that submissions for applications with all required documents will close on Wednesday 1st February, 2017.

14

T H I S D AY • MONDAY, JANUARY 30, 2016

COMMENT

Editor, Editorial Page PETER ISHAKA Email peter.ishaka@thisdaylive.com

GAUGING THE DRIVER OF TRANSPARENCY NEITI is doing well, but could do more, writes Bob MajiriOghene Etemiku

T

he Nigeria Extractive Industries Transparency Initiative (NEITI) has done great work since inception. In its 2014 Report, it highlighted a wide range of activities and achievements. The feather in its cap is its endorsement by Extractive Industries Transparency Initiative (EITI) as the best EITI implementing country in 2013. That came from assiduous work put into the implementation of a four-year strategic plan (SP) for 2012-2016 to be achieved under three distinct goals: the achievement of an operational excellence in regulation and enforcement across the extractive industries. Under this goal, NEITI seeks to develop an effective framework for the delivery of effective audit, continuous monitoring and evaluation, stronger regulation, enforcement and compliance management. NEITI also seeks to attain optimum stakeholder development in extractive industries transparency and accountability. To its credit, NEITI has developed a healthy multi-stakeholder communication and mobilisation framework for effective stakeholder relationship management, collaboration and cooperation, and has connected this with its third goal of developing organisational and funding capacity to drive its mandate, vision and strategy.

If you look at the 2014 Report a little closer, what you find is a sequence of activities and advocacy visits. This is good.

Activities and advocacy visits targeted at state and non-state actors is usually the lifeblood of responsible organisations like the NEITI. The body organised meetings with key civil society and the media, the legislature, government executives, opinion and community leaders. It has organised workshops and capacity building programmes geared towards the achievement of its core objectives like the support for the on-going anti-corruption war and the report on extractive sector audits in line with the NEITI Act and the EITI standard. NEITI has also been up to date with the production of its reports and has met some standards set by the EITI parent body. Around AugustSeptember of 2015, major reforms initiated by the Buhari administration were based on recommendations from NEITI reports. It can also be argued that issues of beneficial ownership, improvement in the conduct of the extractive industry in Nigeria and the expose on the weaknesses in the sector are products of the work of NEITI. But how much further NEITI can push beyond these activities, meetings and capacity building seminars and advocacy visits is the real question. These meetings have taken place, the seminars and workshops have been used to bring stakeholders together, and beautiful reports have been released.

I have just highlighted the fact that Mr. President initiated the reforms in the oil and gas sector from reports garnered from the meticulous work done by the NEITI. But should it stop there? What if there is a president who is unwilling to initiate reforms from NEITI reports and audits talk less of implementing them? There was a meeting between the NEITI national stakeholders working group with former President Goodluck

NEITI IS UP TO DATE WITH THE PRODUCTION OF ITS REPORTS AND HAS MET SOME STANDARDS SET BY THE EITI PARENT BODY

Jonathan. At that meeting in 2013, the NEITI 2014 Report quoted the Secretary to the Government of the Federation to the Jonathan administration as saying that Mr. President fully supports and endorses regular NEITI audits and prompt implementation of remedial issues.

But just three years after that meeting, NEITI has accused the Nigerian National Petroleum Corporation (NNPC) of not remitting $3.8 billion and N358 billion in 2013. There was another $12.9 billion said to be funds received from the Nigerian Liquefied Natural Gas, NLNG, from 2005 to 2013. After the NNPC fired back and said that it received permission from Mr. President to spend some of the funds it received (Vanguard, June 15 2016) from accruals from the NGLG, another report was carried by THISDAY, December 31, 2016, that unremitted NGLG earnings with the NNPC was about $15.8 billion.

Nigeria has satisfactorily met the EITI board validation in several sectors. An EITI board validation decision on Nigeria on January 11, 2017 highlighted government engagement, data exploration distribution of extractive revenues including follow up recommendations as some of the ways that NEITI has fairly good record of performance. But the board cited 19 core areas – civil society engagement, MSG governance, state participation, direct subnational payments, mandatory social expenditures – as among the areas wherein Nigeria is lagging. Next year July 11, 2018, the EITI will conduct a second validation to review whether Nigeria has taken to heart the ‘corrective actions’ it proposed to Nigeria. If Nigeria has not by then, we stand the risk of an outright suspension ‘in accordance with the EITI standard’. Azerbaijan has already been yanked from ‘compliant’ to ‘candidate’ status because they did not abide by the EITI ‘corrective actions’.

Most countries complying with the EITI standards follow three key components: disclosure of revenues is always done by commodity and revenue type and these disclosures cannot be challenged. This is because they operate a very comprehensive web-based data portal of this disclosure of commodity and revenue type. Lastly, they mainstream all of this into the national action plan which their governments presented through the open government partnership (OGP).

One of those countries which had carried out their extractive roles in this manner reported a record of accruals reconciled to the tune of $8.5billion. Of the 45 which that country dealt with, 12 of them reported $190 million in corporate taxes. That country in 2013 reported revenue of $12.64 billion. It that year also, it reported a remittance of $11.8 billion in income tax receipts from mining and petroleum and coal products manufacturing companies. Following this example may help NEITI position as a veritable driver for open governance and transparency in Nigeria.

Etemiku, manager communications, ANEEJ, Abuja. @ bobaneej

BOKO HARAM AND THE PRIVATE SECTOR

I

Chizitera Njoku urges the private sector to help the North-east to get back on its feet

t is undeniable that the private sector has an important and urgent role to play in the Boko Haram conflict. Its capacity to provide employment opportunities, develop skills, improve local infrastructure and help revitalise the North East should be harnessed with urgency. In 2014 alone the private sector created approximately 91% of jobs in the country. It has often been repeated that the lack of employment opportunities and high rate of poverty were amongst the main reasons for the rise of the Boko Haram group. This highlights the fact that the private sector is best placed to prevent more people from joining Boko Haram. The crucial role that the private sector can play in this deadly conflict has astonishingly been taken for granted for far too long.

Across the world, businesses have played a huge role in places like Kosovo and Sierra Leone in helping the country to get back on its feet. The North-east is undoubtedly a place marred by conflict but more importantly it is a place of great potential. Companies based in Nigeria should wait no longer to play their part; they should quickly decide how they want history to judge them.

Irrespective of what companies can offer the region, it is not expected that the private sector will want to invest in a conflict area for solely noble reasons. There must understandably, be some financial incentive for them.

Those eager to invest in the North-east will be able to gain from first mover advantage.

They will be able to establish a presence

and build a loyal consumer base before the coming of other companies at the end of the conflict, which will undoubtedly come to an end. They will also be able to profit from the resources that states such as Borno can offer.

These include natural resources such as clay, potash, salt, iron ore and uranium, to name a few. More importantly, however is that companies that invest in the North-east now are very likely to receive a substantial amount of support from the federal government.

This is for a number of reasons. Firstly, the government will support any effort that can reduce the number of those joining Boko Haram and as a result reduces the number of lives lost. Secondly, an increase in private sector involvement will indicate to the world that the country is now more stable. This will help to increase foreign direct investment in the country and will help bolster the failing economy. Moreover, the private sector involvement in the North-east will help the government achieve some of its main priorities such as ending the Boko Haram conflict and reducing youth unemployment.

However, as corporations get involved in the North-east they must take care to be sensitive and attentive to the needs of the local population. There is much to be gained by partnering with and consulting those who have been affected by the conflict. This is because they have an understanding of what is most likely to succeed, businesswise in that area. Consequently, listening and understanding what their needs are, is

key to flourishing in such an environment.

Nevertheless, to ensure that the local population is not exploited and marginalised by the actions of the private sector, there needs to be investment in the capacity of the local people.

Organisations such as Unilever, Zenith Bank and British American Tobacco understand this. They have made efforts to improve the capacity of the local populations in certain parts of Nigeria. However, similar efforts must now be made in the North-east. There should be a focus on providing vocational training, life skills, internships, essential accounting and bookkeeping courses, and so forth. Companies may find that providing these courses and training schemes to the local population may be costly in the short run. Nonetheless, it makes for a win-win situation. This is because the local populations gain necessary skills and companies in the long run gain returns on their investments as they would have developed a capable and skilful local labour market which they can easily tap into.

While embracing the local population the private sector should make efforts to integrate previously marginalised groups. Women for example have been marginalised in many aspects of life in the North. This includes but not limited to the educational sector where just under 20% and land ownership where only five to 15% of women own land. This marginalisation has a devastating blow on the economy and is demonstrated by the fact that every year, $12 trillion is lost globally as

a result of women’s relegation and exclusion from the workforce. In spite of this situation, women play numerous, varied and fundamental roles as peacemakers, facilitators and even perpetuators in the Boko Haram conflict.

As a result, it is important that attention is also given to them and that their abilities are put to the best profitable use. The involvement of these marginalised groups in the work of companies shows the private sector off as being agents of change and peace. To be able to involve these marginalised and local populations the private sector, which traditionally has been more flexible and innovative than government partners, must be open-minded and bold. Only then will they be able to make the best out of the present situation.

The government on their part, beyond prioritising kinetic military force, should ensure that they are providing incentives for companies to invest in the North-east. This could be in the form of tax breaks, subsidies or whatever measure the government deems fit and within its ability. It is crucial that they do this as it will help reduce the number of operational challenges and uncertainty that businesses will face. It should for the most part assist in creating an enabling environment for companies.

The private sector must acknowledge its importance and role in our society as it stands to gain both financially and morally.

Njoku is a Masters student and works in the Conflict and Development Sector

15

T H I S D AY • MONDAY, JANUARY 30, 2017

EDITORIAL AN ECONOMY IN TROUBLE Government needs to focus on the fragile economy

T

he Nigerian Economic Summit Group (NESG) last week released its latest report titled “Looking Inwards: Will Nigeria tread the path of Economic Recovery and Growth in 2017?” The prognosis did not look good. Aside highlighting the fact that the real Gross Domestic Product (GDP) contracted by about 1.6% last year, the report also stated that our national trade balance turned negative to N823.7 billion with deficit balance of payments to the tune of N1.8 trillion. According to Dr. Doyin Salami, chairman of NESG board on research and publication, “if we don’t come out of recession properly, we may go back into it.”

While it is good for the NESG to worry about the future, the current challenge is that the economy is on a tailspin. The dollar exchange rate has touched N500 on the parallel market while the Central Bank of Nigeria (CBN) makes allocation to some selected people at N305, with all the dire implications. Meanwhile, commercial banks have virtually stopped lending because of high interest rates; inflation is chasing 20 per cent while documented unemployment is growing every day. Foreign inflows have continued to dwindle THE ECONOMIC and the stock market CHALLENGES WE FACE is on a downward IN THE COUNTRY TODAY spiral. Yet those who CANNOT BE TACKLED WITH dare to speak out are attacked by governTHE AD-HOC APPROACH ment officials.

BEING ADOPTED To compound

BY THE CURRENT the problems, at a ADMINISTRATION period energy alone accounts for about 30 per cent of the operating cost of businesses and running individual households, the sector is in near comatose. Chairman of Transcorp Group and United Bank for Africa (UBA), Mr. Tony Elumelu last week painted a rather gloomy picture of the power sector that should worry the authorities.

“Transcorp Power Holdings is owed almost N50 billion,” he said. “When we put in the invoice for this

Letters to the Editor

T H I S DAY

EDITOR IJEOMA NWOGWUGWU DEPUTY EDITORS BOlAJI ADEBIYI, JOsEph UshIGIAlE MANAGING DIRECTOR ENIOlA BEllO DEPUTY MANAGING DIRECTOR KAYODE KOMOlAfE CHAIRMAN EDITORIAL BOARD OlUsEGUN ADENIYI EDITOR NATION’S CAPITAL IYOBOsA UWUGIAREN

T H I S DAY N E W S PA P E R S L I M I T E D

EDITOR-IN-CHIEF/CHAIRMAN NDUKA OBAIGBENA GROUP EXECUTIVE DIRECTORS ENIOlA BEllO, KAYODE KOMOlAfE, IsRAEl IWEGBU, EMMANUEl EfENI, IJEOMA NWOGWUGWU GROUP FINANCE DIRECTOR OlUfEMI ABOROWA DIVISIONAL DIRECTORS pETER IWEGBU, fIDElIs ElEMA, MBAYIlAN ANDOAKA, ANThONY OGEDENGBE DEPUTY DIVISIONAL DIRECTOR OJOGUN VICTOR DANBOYI SNR. ASSOCIATE DIRECTOR ERIC OJEh ASSOCIATE DIRECTORS hENRY NWAChOKOR, sAhEED ADEYEMO CONTROLLERS ABIMBOlA TAIWO, UChENNA DIBIAGWU, NDUKA MOsERI GENERAL MANAGER pATRICK EIMIUhI GROUP HEAD fEMI TOlUfAshE ART DIRECTOR OChI OGBUAKU II DIRECTOR, PRINTING PRODUCTION ChUKs ONWUDINJO TO SEND EMAIL: first name.surname@thisdaylive.com

TO OUR READERS Letters in response to specific publications in THISDAY should be brief (150-200 words) and straight to the point. Interested readers may send such letters along with their contact details to opinion@thisdaylive.com. We also welcome comments and opinions on topical local, national and international issues provided they are well-written and should also not be longer than (9501000 words). They should be sent to opinion@thisdaylive.com along with the email address and phone numbers of the writer.

THE GAMBIA TO JAMMEH: GOOD RIDDANCE

T

he nauseating image of electorallydeposed erstwhile Gambian leader, Yahya Jammeh boarding a private jet on his way to exile in Equatorial Guinea was watched with a mixture of glee and gall by many. It was finally good riddance to bad rubbish. There was glee and indeed tremendous relief because for the first time in over two decades, the long-suffering people of The Gambia were able to finally shake off a monkey that had distastefully and disquietingly made its home on their aching backs, piling their woes.

When the monkey was given what fatefully proved a terminal jolt on December 1, 2016 in an electoral defeat that came out of nowhere, a new found civility seemed to take root and Jammeh graciously conceded the stunning defeat. He had further pledged to hand over power to his opponent and vanquisher, Mr. Adama Barrow. However, it was all before he conferred with his conscience and decidedly, with the few strong men he listened to. After over a week of introspection, Jammeh decided to bait the water and see what could fall into his defeated laps. The whole subterfuge began on December 9, 2016 where Jammeh swallowed his concession and denounced as flawed, the process which landed him the now fatal blow after 22 years during which he had infamously boasted he could `rule for a billion years’.

This shattering reversal and its many portents

month, we should be owed almost N54 or N55 billion. How do you survive in business like this? Other GenCos I know are actually dying. The truth is that Transcorp Power, as a key operator in the sector, is struggling. And if we are struggling, you can imagine what others are going through”.

Unfortunately, there is no coherent response from the federal government to any of these challenges.

Even the All Progressives Congress (APC) national leader and former Governor of Lagos State, Senator Bola Tinubu has had to come out publicly to criticise the monetary policy of the President Muhammadu Buhari administration. “To move closer to the overarching vision, we now have to shift primary focus to the economic front,” said Tinubu who added: “The desired economic restructuring will require a change in economic mindset and strategy. We must avoid the nostrums of mainstream orthodoxy that say government deficits are always bad.”

What the foregoing suggests is that except there is a quick intervention with measures put in place to address the current drift in the economy, the GDP will tank. The consequences of such realities will definitely spread to other areas of national life.

Insecurity could worsen as unemployment and job losses lead many idle young hands into crimes of desperation. Labour agitations and strikes will increase as more states get into trouble with payment of salaries. Recourse to separatist tendencies, blackmail, militancy and transactional kidnapping could also heighten.

For sure, the reversal of the looming recessional avalanche would require a combination of fiscal and monetary creativity. Yet the economic challenges we face in the country today cannot be tackled with the ad-hoc approach being adopted by the current administration. At the risk of sounding repetitive, we reiterate the need for the Buhari administration to institute a team of economic experts that will come up with policy prescriptions to lead the nation out of the current challenges.

of destabilisation and chaos sent regional and international bodies which had sometimes shown a painful indecision in rising to similar challenges scampering for solutions. Yahya Jammeh knew his game well and played it really close to his chest.

He rebuffed various diplomatic contingents and seemed poised to defy ECOWAS forces as they closed ominously on him. It all seemed he was determined to continue his iron-fisted oppression of the Gambian people.

But watching him gleefully mount a private jet and depart for Equatorial Guinea in exile amidst a clutch of other agreements, it becomes glaringly clear that the whole jamboree was a ploy by Jammeh to force the hands of the Gambian people and the international community to sign off some of his atrocities and give him a seemingly soft landing.

Now, he has flown away to Equatorial Guinea as a guest of a man whose own governance has always been stalked by shadows of autocracy.

While the hapless people of Gambia would have to stanch their justifiable thirst for justice until the boot slips to the other leg, the helpless people of Equatorial Guinea must squirm with discomfort that their own country which has increasingly seen economic and civil spaces closed by an authoritarian regime is playing host to someone whose atrocities preclude him from returning to his home country for now.

Kenechukwu Obiezu, AbujaThis whole

RIVERS GOLDEN JUBILEE CELEBRATION

H

undreds of thousands of indigenes and residents of Rivers State thronged to prestigious Obi Wali International Conference Centre in Port Harcourt to honour the indefatigable and pragmatic governor of the state, Mr. Nyesom Ezenwo Wike for the official unveiling of the Golden Jubilee (1967-2017) anniversary logo of the creation of Rivers State.

The mammoth crowd made up of men, women, youths, clergy, artisans, non-indigenes, clubs and associations arrived the venue of the ceremony in various colours and signatures to express their love and solidarity with a man they severally described as a “rare gift of God “.

The Executive Secretary of Rivers Elders Consultative Council, Chief Granville George could not hold back his emotions when he said: “What you are seeing here today is a tip of the iceberg. It is no longer debatable that our people love and support Governor Wike. Rivers people are united that in Governor Wike they have found a leader they can call their own, one who is detribalised and has brought the diverse ethnic groups together within the very short but impressive period of less than two years in office.”

All those who spoke were unanimous that any person who is not in Governor Wike’s “Victory

Train” is a left over. Mrs. Janet William-Sokari, a United Nations Environmental Consultant, who was visiting Rivers State after 18 years described the unveiling ceremony as “world class and the atmosphere very peaceful and fantastic”, further noting that Governor Wike’s administration “is not only electrifying but inviting”, and urged the people to encourage the governor whom he described as “pragmatic and proactive manager of men and materials”.

The Rivers State Governor, Ezenwo Nyesom Wike, who was dressed in a custom made “men at Lord John” designer blue suit with tie and turquoise maladino sueze lace shoe to match, was overwhelmed with the surging crowd that stretched to cover the expansive foyer of the state of the art hall decorated on the supervision of the former Deputy Speaker of the Federal House of Representatives, Rt. Hon. Austin Opara.

In his address at the occasion, the governor told the enthusiastic crowd that he would continue to serve them with renewed vigour, commitment and dedication, promising to stand with the people at all times.

He also used the opportunity to invite Rivers people to the ceremony of the conferment on him as the best governor of the Year 2016 by The Daily Independent newspapers on February 11, 2017 and The Sun Group of newspapers.

Iheanyi Ezinwo, Port Harcourt

16

T H I S D AY MONDAY JANUARY 30, 2017

17

T H I S D AY • MONDAY, JANUARY 30, 2017

POLITICS

Group Politics Editor Olawale Olaleye Email wale.olaleye@thisdaylive.com 08116759819 SMS ONLY

M O N D AY D I S C O U R S E

Buhari’s Naked Weapon Judging from the standoff between the executive and legislature over corruption allegations against the Secretary to the Federal Government, Babachir David Lawal and the acting Chairman, Economic and Financial Crimes Commission, Ibrahim Magu, the anti-corruption crusade of the Muhammadu Buhari-led government is fast becoming a tool for settling political scores, Shola Oyeyipo writes

Buhari…winning or losing the corruption war?

T

hat corruption is the major problem confronting Nigeria and drawing the country backward is no news.

It was why President Muhammadu Buhari said “If we do not kill corruption, corruption will kill us”.

It is also a fact that unlike at any time in the history of Nigeria, the current administration is doing so much in fighting the endemic scourge of corruption.

However, the observation is that politicians from across the political parties have cleverly hijacked the anti-corruption campaign, turning it into a tool for political antagonism since the current Nigerian leader made fighting corruption a major campaign issue and is expected to do away with corrupt persons.

Within the ruling party, first casualty of the trend was former Lagos State governor and National Leader of the All Progressives Congress (APC) , Senator Bola Tinubu, who some painted as corrupt and wanting too much, just to severe his relationship with President Buhari.

The Senate President Bukola Saraki became the second pawn on the chess board of politics of the anti-corruption crusade. Immediately after he assumed the number three citizen position against the wish of his party, he became a subject of national corruption debate.

The Senate President has since been a regular visitor at the Code of Conduct Tribunal (CCT) over allegations bothering on false asset declaration, but not only did Saraki maintain that his trial was politically motivated, he got a very solid backing of his colleagues in the upper chamber of the National Assembly.

In what would further point to the political

undertone to the Saraki trial the resolve of the lawmakers to get back at the presidency, the Senate last year, took over the powers to appoint staff of Code of Conduct Bureau (CCB) and the tribunal from the presidency by amending the CCT amendment bill 2016.

So, as the tussle continues, it must be expected that the Senate will not only look deeply into the activities of the executive, it is not likely to overlook any error connected to corruption and that will be with the view to expose it.

To further prove that issues pertaining to corruption perception are of serious importance

The Senate President Bukola Saraki became the second pawn on the chess board of politics of the anti-corruption crusade. Immediately after he assumed the number three citizen position against the wish of his party, he became a subject of national corruption debate

in character assassination in the APC, in the recent vituperative verbal exchange between the Kaduna State Governor, Mallam Nasir el-Rufai and former Vice President Atiku Abubakar, both men referred to themselves as corrupt.

Some analysts have variously advised the PDP to rebrand the party to be able to win future elections because several opposition figures have be victim of the fight against corruption – many arrested and detained. The party now wears the toga of corruption with its consequences.

The likes of former PDP spokesperson, Chief Olisa Metuh who was implicated in the $2.1 billion arms contract as the EFCC traced N1.4 billion to the account of a company allegedly linked to him; former Director-General, Nigerian Broadcasting Commission (NBC), Emeka Mba who was arrested by the anti-graft agency over an alleged N15 billion fraud and an ally of former president, Goodluck Jonathan and chairman of Atlantic Energy Drilling Concepts Nigeria Limited, Chief Jide Omokore whose company was said to be one of those that got multibillion dollar worth of public assets without due process by the Jonathan government in 2011, was arrested and released the next day after giving his statement are some of the opposition members that were linked to corruption and grilled.

Former Minister of Aviation, Femi Fani-Kayode; former presidential spokesperson, Reuben Abati; the former Minister of State for Defence, Musiliu Obanikor and, former Minister of Interior, Abba Moro; former Minister of the Federal Capital Territory, Bala Mohammed all have tales to tell about their experiences in the hand of the operatives of the Economic and Financial Crimes

Commission (EFCC) when they were arrested.

The Babachir\Magu Saga To the Senate, the forces using corruption allegation to intimidate Saraki are within the executive. So, to them, it is not just a judicial matter. There is politics to it as far as they are concerned.

Therefore, if the anti-corruption weapon becomes a tool available to some people in the body polity, all that it is required is that all players must master how to apply it. And the guiding principle is the equitable maxim that he who comes into equity must come with clean hands, it is obvious that the Senate is prepared to show the presidency that there are bad eggs within them too.

Either guilty or not, the latest pawns are the duo of the acting chairman, Economic and Financial Crimes Commission (EFCC), Mr. Ibrahim Magu and the Secretary to the Government of the Federation (SGF), Mr. Babachir David Lawal, who are being accused of corruption by the Senate in what could be called payback time.

The issues of the duo have remained burning national debate, not just because the two men are high profile appointees of the federal government but also because of the attitude of the executive in dealing with allegations against them - vis-a-vis how government handled opposition figures involved in corruption related issues.

In Lawal’s case, he was alleged to have breached the law in the handling contracts awarded by Presidential Initiative for the North East (PINE), particularly by awarding contract to CONT’D ON NEXT PAGE

18

T H I S D AY • MONDAY, JANUARY 30, 2017

POLITICS

MONDAY DISCOURSE BUHARI’S NAKED WEAPON

Saraki…doing a thorough job?

Babachir…guilty or not guilty?

Magu…any way out?

a company, Rholavision Engineering Ltd., which the SGF is believed to have connections with.

The Senate called for lawal’s immediate suspension and prosecution following an interim report of Senator Sanni Shehu-led ad-hoc committee set up to look into the humanitarian crisis in the North-east The committee stated in the report among other things that it discovered that all contracts from PINE were awarded under the principle of emergency situation as stipulated in Section 43 (i) and (ii) but with absolute disregard to Sub-section (iii) and (iv) of the same Section 43 of the Public Procurement Act, 2007 which states that: “(iii) All procurements made under emergencies shall be handled with explanation but along principles of accountability, due consideration being given to the gravity of each emergency.

Other issues raised were that the contracts awarded by PINE have no direct bearing/ impact to the lives of the displaced persons.

For instance, they alleged that in the payment of over N223m for the removal of invasive plant species, Komadugu in Yobe water channels that PINE took undue advantage of the provision of emergency situation contract award in the Public Procurement Act 2007 to over inflate contracts and that contracts were awarded to companies belonging to top government officials’ cronies.

The report also indicated that a bag of beans of 50kg and a four liter of palm oil were given to 30 people for 15 days. The IDPs that interacted with the committee said it was grossly inadequate.

In Magu’s case, his albatross is a damning report of the Department of State Services (DSS), in a memorandum signed by Folashade Bello and addressed to the Clerk to the Senate, where he purportedly failed their integrity test.

Some of the allegations against Magu were that he is occupying a rented apartment of N40 million at N20 million per annum and that the apartment was not paid for by the EFCC but by one Umar Mohammed, a retired Air Commodore, who the service considers as a questionable businessman.

“For the furnishing of the residence, Mohammed enlisted the Federal Capital Development Authority (FCDA) to award a contract to Africa Energy, a company owned by him, to lavishly furnish the residence at the cost of N43 million,” it stated.

Other allegations against him were that he lives expensively at direct contradiction of the directive of President Buhari. One instance cited was on June 24, 2016, when he flew Emirate Airlines first class to Saudi Arabia to perform lesser hajj at the cost of N2.9m. It was also stated that Magu goes on private trips in a private carrier, Easyjet, owned by Mohammed and that in one of such trips, the EFCC boss visited Maiduguri with Mohammed and the Managing Director of a bank, who was being investigated by the anti-graft body in connection with funds purportedly stolen by former Petroleum Minister, Diezani Alison-Madueke.

According to the DSS, in 2008, Magu was redeployed to the police after days of detention and was later suspended from the force because a search at his residence during the Farida Waziri era revealed that he had some sensitive EFCC documents at home.

It was during the Ibrahim Lamorde tenure as EFCC chairman in 2011 that he returned

Magu to the EFCC before he later took over from him. It is on these notes that the Senate has refused to confirm Magu as the substantive chairman of EFCC.

covering up for members of its cabinet.

Recall that the federal government cleared the Chief of Army Staff, General Tukur Buratai and the president’s Chief of Staff, Abba Kyari over allegations of corruption. While government is prosecuting Dasuki with interim report, it has said it could not rely on interim report in the case of the SGF. These and other instances are clear indications that something is amiss in the much talked about anti-corruption crusade or at least the government all the allegations as politically motivated.

FG’s Stand Despite the hues generated by the matter, President Buhari’s immediate reaction as contained in a letter to the Senate was that the lawmakers were not fair to the SGF by seeking for his sack, that Babachir was not invited by the committee chaired by Senator Sani and that only three persons out of the nine members of the committee signed the interim report that indicted him.

Not only did Sani maintain that seven persons signed the report and not three, he also insisted that the SGF was duly invited and that he sent a representative. The Kaduna APC lawmaker took a swipe at the APC-led federal government anti-corruption crusade when he said: “When it comes to fighting corruption in the National Assembly, the Judiciary and in the larger Nigerian sectors, the president uses insecticide, but when it comes to fighting corruption within the presidency, they use deodorants”.

In the case of Magu, the federal government is not bought over by the allegations against him. The two arms of government are at dagger drawn on the matter. Magu has continued to act as EFCC chairman while government is resolved to re-present the name of the anti-corruption czar to the Senate.

Now there is growing perception among members of the opposition PDP, National Assembly members and the larger society that this administration has made a habit of

Therefore, if the anticorruption weapon becomes a tool available to some people in the body polity, all that it is required is that all players must master how to apply it. And the guiding principle is the equitable maxim that he who comes into equity must come with clean hands, it is obvious that the Senate is prepared to show the presidency that there are bad eggs within them too

The PDP Kicks Members of the opposition PDP also feel very strongly about some of these issues. The party’s spokesperson, Mr. Dayo Adeyeye, when reacting to President Buhari’s letter to the Senate absolving Lawal and Magu of any wrongdoings, said the government as assumed the position of judicial clearing house where no member of the ruling APC or friend of the party is ever found guilty of corruption.

According to the PDP, it is now clear that the president’s anti-corruption war has ended and that the war was merely targeted at the opposition alone.

“It is quite disturbing that the president cleared his SGF of wrongdoing despite the weighty evidence of the ‘grass-cutting abilities’ uncovered by the Senate of the Federal Republic of Nigeria, implicating Babachir of complicity in the award of contract relating to the IDPs camp in Borno State amounting to over N200million”, the party noted.

The party lamented that Buratai, accused of owning properties in Dubai beyond his income; Minister of Interior, General Abdulrahaman Dambazzau (rtd) allegedly owning properties worth over N1.5billion in the United States; Jafaru Isa, who PDP said allegedly received millions of naira from the purported arms deal, but was allowed to go about freely because he is a friend to the president and the president’s Chief of Staff, Abba Kyari, who according to PDP has several allegations of corruption hanging around his neck.

Some Pertinent Questions As the debates over these issues are sustained in the public domain, some questions are also being asked government.

First is, since the best form of evidence is documented evidence, are there no documented facts to show the true situation of things in the SGF’s case? There registration document at the Corporate Affairs Commission (CAC) could be used to establish Babachir’s involvement in Rholavision Engineering Ltd. Also, the processes followed for the award of the contract can be established at the procurement office. So, why should the president wait for the senate ? The presidency can therefore conduct its investigation and put the matter to rest by informing Nigerians on the true position of things.

Saying that the allegations against the SGF are contained in an interim report, are we sacrificing the weighty allegations already made on the altar of technicalities?

What should be the focus of any sincere discussion on the matter should be: Was contract awarded? Was due process followed? If the SGF resigned from the benefiting company, where did he transfer his share? He is he still a signatory in the company? Is it true that the

Mohammed, Abati, Obanikoro, Fani-Kayode and Bashir in detention over corruption allegations

company was registered as and ICT company, and is Senator Sani is a frivolous character to fabricate lies against the SGF? These are some of the many questions begging for answers.

What the People Say The general reaction of Nigerians to the discussion reflects a people dissatisfied with the anti-corruption war vis-à-vis the issues of Babachir, Magu and others perceived to have been covered by the government.

A supporter of President Buhari during the election, Associate Professor of Journalism and Emerging Media at Kennesaw State University, Prof. Farooq Kperogi, reacting to what he tagged as “the president’s astonishingly bald-faced lies in defense of SGF”, said: “In his letter to the Senate ‘clearing’ Babachir David Lawal of multi-million naira ‘grass cutting’ corruption scandal, the president said the senate didn’t invite Lawal to defend himself. Lie. He was invited via a letter, which the permanent secretary attached to his office acknowledged, and via at least three newspaper adverts. But he spurned the invitation and sent a representative.

“For me, a man who knowingly and intentionally lies has no integrity. What is worse, a man who defends the blatant corruption of his close aides while pretending to be fighting corruption involving his political opponents has no integrity.

“In Buhari’s Nigeria, there are two judicial standards: the president’s opponents are always guilty until proven innocent while the president’s corrupt associates are always, always innocent until ‘cleared’ by the president who now doubles as the Clearer-in-Chief of “Executhief” corruption.

Some way to fight corruption!”

A scholar and international affairs analyst, Mr. Femi Aribisala, jocularly referring to President Buhari’s defence of his men, said: “Sani Abacha is not a thief. Ibrahim Magu is not a thief. Babachir Lawal is not a thief.

Muhammadu Buhari! The founder, Mind of Christ Christian Center, Pastor Reno Omokri, in his reaction, stated that: “A fool is anyone who believes that President Buhari who cleared Babachir and Amaechi is anti-corrupt while Goodluck Jonathan who sacked Oduah and Nnaji is corrupt!

Kano based advocate of good governance, Mrs. Aisha Yesufu is of the opinion that it is “Either Babachir looted on behalf of PMB or President Buhari has looted more and Babachir has evidence or PMB is going senile”. While to a Biochemist and anti-corruption crusader, Mr. Ogundana Michael, “How Buhari handled the case of Babachir and Magu just signaled the end to his vague anti-corruption noise. He should just stop the pretence! The same way we’ve been asking for proper evidence-based prosecution and following due process for Dasuki, let us not relent on Babachir too!”

Master-Certified Leadership Coach and international speaker, Juliet Kego stated that “Those who claimed Jonathan was sponsoring terrorism didn’t say anything about allegations against Babachir. Truth has no allegiance. It illuminates!

We live in a world of zero responsibilities and consequences; if not Babachir Lawal would have resigned or asked to resign while being investigated. We await the report of attorney general on Babachir Lawal and all fingered in IDP funds diversion. It is a huge litmus test for corruption fight”.

19

T H I S D AY • MONDAY, JANUARY 30, 2017

POLITICS

PERSPECTIVE

Ending Gerontocracy in Yorubaland To save the South-west and indeed Nigeria from an unending spiral, it is time to give the youth the pride of place in politics and leadership, Olukayode Ajulo writes

I

f Africa’s growth is retarded, Nigeria’s must be stagnated. And if indeed stagnated, the nation’s ascendancy to the sorry pass must mean a culmination of plural particulars.

No doubt, plethora alibis explain the retardation or stagnation as qualifications for the continued and her parts are but apt and warranted as punctuation that portray it.

There are factors that are factual than fiction. The content of corruption that seems imminent with this clime and its branches, ubiquitous yet pervasive ignorance, iniquitous political culture, penchant and proclivity for cheats and the won’t for easy way out as ruinous alternative to hard work.

Mention is made of political culture.

It’s called iniquitous evidently. To begin a narration of the sweeping occurrences to this effect on the African soil is to bore readers with familiar tales. The unrighteous behaviour in Africa is something to afflict the thoughts of thorough minds, something to award sleepless nights to pure patriots.

As the world educates and initiates young ones as modern species more aggressively attuned to the flexibility of modernity as working antidote to rigid political antiquity which is largely Africa’s bane, Africa, yes, Nigeria, has ingloriously glued itself to gerontocracy.

The growing interest abound around the world; it becomes palpable, the theme of giving a pride of place to youth participation in politics. Some political groups are changing to respond to the growing number of young people who want to affect the political system. Political ideologies appealing to youth that were once considered wrong beliefs are becoming main-streamed, and more young people are associating themselves with nonpopular political parties. More young people than ever before are actually becoming engaged in local community campaigns and other political activities. This trend is agreeing with the notion that youths can change the world through politics by becoming actively, meaningfully and substantially involved through political parties and beyond.

It is necessary to note that it wasn’t particularly bad for Nigeria at the get-go.

Early nationalists who fought for, sought and got independence for the nation Nigeria did same in their youths. Remember Herbert Macaulay, Alhaji Aminu Kano, Sir Abubakar Tafawa Balewa, Professor Eyo Ita, Sir Ahmadu Bello, Alvan Ikoku, Dennis Osadebay, Dr. Nnamdi Azikiwe, Sir Egbert Udo Udoma, Chief Obafemi Awolowo, Joseph Tarka, General Murtala Mohammed and the up and doing General Yakubu Gowon, all called the shots as leaders of the country in their youth, an era Nigerians call golden, years that fanned radical changes and revolutionary ideologies that saw the country out of the woods.

It comes to mind that three of these prominent Nigerians; Awolowo, Ahmadu Bello, and Azikiwe, personally participated in negotiations for the independence from Britain, then you can dearly bemoan the political Egypt to which Nigeria has gladly returned. Today, our state and federal parliaments have become virtual permanent homes for septuagenarians and octogenarians.

As the world educates and initiates her young ones as modern species more aggressively attuned to the flexibility of modernity as working antidote to rigid political antiquity which is largely Africa’s bane, Africa, yes, Nigeria, has ingloriously glued itself to gerontocracy

Ogunwusi...young and dynamic

These men, having cornered the conduits -the common wealth, and grown muscles on the altar of the famine of the starving citizens, turned themselves to gods. Retrogressively, holding the country at the jugular, they make aspiration towards finesse, a complete mirage.

In saner climes, these are old citizens who should mentor and model the youths with their mental muscles in leadership and patriotism, alas, they prefer to die in offices even as the country groan under them.

We must hammer the truism that youth mainstreaming can allow young people to change the world by creating new awareness, opportunities, policies, systems and cultures that foster youth engagement. In political parties, youth mainstreaming could allow for children and youth to affect democratic representation even in parties that would

deny them the right to vote or otherwise become engaged. Whatever age they are, young people can run for offices anywhere in the world as an act of protest; to make a stand or to draw attention.

In my sojourn across my country, Nigeria, vis-a-vis the age demography of political leaders among the major ethic groups, I dare say there is no denying that the pre-domination of these gerontocrats in Nigerian political space seems more prevalent among the Yoruba people of the Southwest Nigeria. It would alarm one who is initiated and rich enough of Yoruba culture to the effect that the youth of this tribe has always been its strength and a central part of its rich history. It is alien to us (the Yorubas) for old men and women to be avaricious, especially with political power and office.

It was not so with the people and culture of the Yoruba at the various chapters and sagas in our history. For instance, it wasn’t so when the late Oba Sikiru Kayode Adetona, the Awujale of Ijebuland was enthroned at age 26 in 1960. This exemplary monarch, who has reigned for more than half a century has achieved so much for his domain and the Yoruba land as a constituency.

The other day, a monarch in his youth ascended the throne of his forefathers as the Ooni of Ife and the first Oba on the soil of the Yoruba geographical space.

Oba Adeyeye EnitanbOgunwusi (Ojaja II), the 51 Ooni of Ife, who was enthroned barely over a year ago, has been a toast to great kingship; his reign has been marked by a modern outlook and a number of progressive policies, prince of which is his unification agenda and transformation moves since he ascended the throne. He continues to initiate and coordinate lofty activities to advance the interest of his clan, the country and the black race around the world.

That is what one gets when muscles and mental might is present in leaders or representatives. In order to become engaged in politics in the most effective ways, young people should be encouraged to learn about political ideologies, political actions, political issues and other realities within and around the political system. They should be involved to change the trend of a daily failing country and continent.

Nigerian youths should be positioned across the various constituent ethic identities for leadership.

We need more of Ogunwusis and Adetonas. Yoruba land needs not continue to waste the worth of her youth if it must prosper.

If Yoruba must regain and retain its pride of place, if Nigeria must triumph over its today’s woes and travel beyond the socio-economic boundaries that fetters it, such as those given above, we must begin to prevail on citizens to start to discourage fielding grandparents for political offices. It is anti-clockwise to the emerging new world.

Our youth should be learned in communication, problem-solving, change management and conflict resolution skills and participate in knowledgesharing activities designed to build their capacity. That way, we’ll be better positioned to take on the world.

Dr. Ajulo, is the Principal Partner, Kayode Ajulo and Co. Castle of Law, Nigeria and was National Secretary, Labour Party

20

MONDAY, JANUARY 30, 2017 • T H I S D AY

FEATURES

Acting Features Editor Charles Ajunwa Email charles.ajunwa@thisdaylive.com

A Bleeding Nation With manipulation of religion and ethnicity, among other factors, by some Nigerian elite as a major reason responsible for the violence and wanton killings across the country, the conclusive prosecution of the perpetrators has become absolutely necessary, Peace Obi reports

D

own the drain it flows; the blood of Nigerians who were neither paying the ultimate price for one heinous crime or the other nor was it their choice to end their lives gruesomely, but were unfortunately caught up by some vampires in the land. The marauders who obviously are inspired by hate, mutual suspicion, unforgiveness, tribal and religious intolerance, have little or no regard for human life, hence the orgy of violence in the land. Since 2009 till date, the country has witnessed so much bloodshed arising from Boko Haram terrorists attacks, herdsmen attacks, erroneous bombing of Rann IDP camp , IPOB protests, among others.

Available statistics has it that not less 20,000 people have lost their lives in the war between Nigerian Army and the Boko Haram terrorists since 2009 till date, with 2.3 million displaced from their homes. And according to United Nations International Children’s Emergency Fund (UNICEF), as at last year, up to one million children have been forced out of school by Boko Haram.

The above only gives one a fair idea of what the country and her citizens are losing in terms of human life from one out of the Dracula groups in the country. The physical and psychological pain, human and material losses of these attacks on the nation are unquantifiable.

Warning on the danger of unabated killings in the Southern Kaduna, Ondo State Governor Olusegun Mimiko said that the shedding of innocent blood in the country could further worsen the country’s economic situation. “We cannot be praying for economic progress, if we continue to shed the blood of innocent people,” he said.

Knowingly or unknowingly, the history of the country is being written in the hearts of the today’s youths, who if care is not taken will in due course play out what was handed over to them. With the seed of hate, reprisal attacks, tribal and religious intolerance, mistrust sown through the various wanton killings in the country, it behoves

government at all levels and stakeholders to urgently rise to the challenge of quelling the current disturbing killings with impunity.

The future consequences of today’s injustice, oppression and maiming of a particular ethnic group or religious group can be nipped in the bud by summoning the political will and the moral burden to stop the impunity of killing under any disguise. Indeed, today’s Nigerian children and youths have not only heard tales of pogrom in the country but have seen it with their own eyes. And so much has equally registered in their minds.

What with such attacks and the subsequent massacre in places like Agatu in Benue State, Uzo Uwani in Enugu State, Taraba, Delta, Edo states and several others.

Responding to the killings in Southern Kaduna recently and in a manner that tends to shift away from the seeming culture of silence that has greeted the herdsmen dastardly acts, the Senate President, Bukola Saraki, noted that the upper chamber had resolved to set up a committee to carry out a holistic investigation into the killings.

Condemning the barbaric killings in the various communities of Southern Kaduna

We condemn in totality the depravity being exhibited on the streets of Kafanchan. The Senate will not pay lip service to it, neither will it sit idly by and watch innocent Nigerians being slaughtered on the basis of their religion, ethnic group or political persuasion

A typical destruction left behind after herdsmen attack in Okokolo Village in Agatu, Benue State by suspected Fulani herdsmen, the Senate President said, “We condemn in totality the depravity being exhibited on the streets of Kafanchan. The Senate will not pay lip service to it, neither will it sit idly by and watch innocent Nigerians being slaughtered on the basis of their religion, ethnic group or political persuasion.”

Describing the spate of killings in the country as unbearable, the Speaker of the House of Representatives, Mr. Yakubu Dogara, said that different arms of government must be alive to their duties. According to him, an enduring solution to the wanton waste of lives and property in the country would start with leaders accepting responsibility.

And that with genuine efforts devoid of sectional, religious and tribal sentiments on the part of leaders at different levels, would guarantee communities free of the marauders.

“Many developments in the polity require legislative and executive responses. An enduring solution can only be attained if all of us - Northerners, Southerners, Christians, Muslims, politicians, the apolitical, traditionally rulers and religious leaders - accept the fact that we are responsible and rise to confront and rid our communities of these evils.”

In a motion sponsored by the Senator representing Kaduna South in the National Assembly, Danjuma La’ah noted that “since 2011, various communities in Southern senatorial district of Kaduna State have been consistently attacked by herdsmen, resulting in deaths, injuries, loss of property and displacement of the communities.

“In Kaduna, 808 persons were killed in 53 villages across four councils, while 57 were injured, farm produce estimated at N5.5 billion destroyed and 1,422 houses and 16 churches burnt.

“In the last one year, we have witnessed a harvest of killings by these marauding herdsmen with several cases of massacre in Agatu, Benue State; Uzo Uwani, Enugu State, with several attacks in Taraba, Delta and Edo states, to mention a few.”

With the upper and lower chambers of

the National Assembly rending their voices in decrying the evil pervading the country, the earlier call made by the Primate of All Nigeria Anglican Communion, Most Reverend Nicholas Okoh still begs for government’s attention. The Primate had in November last year called on government to investigate and prosecute those responsible for the barbaric attacks in several Christian communities in Southern part of Kaduna State. The Primate, oblivious of the greater danger and misfortune that would befall the Christian community had called on government’s intervention.

And should government have heeded the voice of the Primate among the numerous voices calling for its intervention, story would have been different.

Speaking during the 27th anniversary of the Abuja Diocese of the Anglican Communion, the Primate, had also urged government to increase security across the country. And describing then the spate of killings in the Southern Kaduna as embarrassing to the nation, the Primate urged government to rise to its responsibility of protecting lives and property, adding that the then renewed killings by some faceless group of murderers were signs of federal government’s failure to rise up to the essence of governance.

“The government is responsible for the protection of the people. That is the essence of governance. So, I call on the leadership of the country to bear in mind that protecting the people from external and internal aggressors is the reason people voted for them. So they should rise to that mandate and protect the people,” Okoh said.

Lamenting on the manipulative use of religion by some northern elites, the Catholic Bishop of Sokoto Diocese, Mathew Hassan Kukah in Abuja recently said, “Unless we get round to defining what constitutes religion and in this particular case, the way and manner in which the northern ruling class continues to use religion as a cover to perpetuate and subjugate the people, the problem will persist.”

The bishop revealed that with the feelings in some quarters that people could kill in

21

T H I S D AY • MONDAY, JANUARY 30, 2017

FEATURES

President Buhari...should step up his game to stop the carnage

Saraki...condemned recent killings in Southern Kaduna the name of religion, the hope of having anybody prosecuted for religious violence may not be in sight. “We may never prosecute anybody for killing in the name of religion, precisely because we have been unable to separate criminality from religion.”

Speaking further, Kukah, noted that “The dangerous crimes that have been associated with religion in any part of the North have never been as a result of theological differences or disputation, it has always been economic.

“In Zango Kataf, it was the siting of a market, while in Bauchi, it was about someone being accused of using pork as suya. None of the conflicts started in the church or mosque. They are largely about economic opportunities. In northern Nigeria, schools that were built by the Catholics in Kaduna have now been given names of Muslim heroes and heroines. Would anybody take over a school built by Muslims in Nigeria and turn it into either St. Thomas or St. Margaret,” he queried.

Expressing his concerns on the inability of the country to record a conclusive prosecution of cases arising from religious violence and other high profile murder cases, the Vice President Yemi Osinbajo, said very few people have been prosecuted for religious violence but none has been brought to conclusion.

Asking rhetorically, Osinbajo said, “why are such cases never concluded? Too many cases of high profile murders that are not concluded in this country,” he said.

Stating that religion has been a veritable tool in the development of the nation’s education, the Vice President however hinted that “the manipulation of religion by the elites has led to the problem that we are facing. Nigerian elites will use religion when it is convenient and at other times they may use ethnicity or some other form of identification.

“It is that frequent use of religion for manipulative tendencies that has led to our predicament. And this is because we always discuss the issues after conflicts where lives are lost and it thus make such discussions emotive.

“Identification leads to advancement and

so the elite resort to religious and ethnic manipulation,” Osinbajo said.

Against the backdrop of the Southern Kaduna killings, the Nobel Laureate, Professor Wole Soyinka condemned government’s delayed reaction to the orgy of violence in the area. Calling on Nigerians to desist from religious bigotry, Soyinka warned that unless Nigeria moderates the growing fanatical approach to issues, the country may not move forward as a nation.

“If we do not tame religion in Nigeria, religion will kill us. Many Nigerians have paid the ultimate price because of religion and religion is now embedded in our society.”

Soyinka who decried the Kaduna State Governor’s admission of paying the perpetrators of the Southern Kaduna’s carnage to possibly prevent the attacks, said, “What astonished me was not the admission by the governor but the astonishment of others at such governmental response to atrocity.

There was nothing new about it. Has appeasement to religious forces not become a Nigerian face of justice and equity? First lethargy and then appeasement. Wasn’t Boko Haram’s Muhammed Yusuf a beneficiary of appeasement in a similar fashion?

“If you ask why General Buhari did not

In Kaduna, 808 persons were killed in 53 villages across four councils, while 57 were injured, farm produce estimated at N5.5 billion destroyed and 1,422 houses and 16 churches burnt

Dogara...condemned the killings across the country act fast enough when these events take place, which degrade us as human beings, well it is perhaps he has been waiting for the governor of that state to send money to the killers first for them to stop the killing.

“What, however, concerns the rest of us no matter the internal wrangling, rivalries or controversies within any religion, is that the innocent are often those who pay the highest price. The non-adherents to one line of belief or another,” he said.

Expressing sadness over the loss of lives and property in the recent Southern Kaduna killings, the Sultan of Sokoto and President-General of the Nigerian Supreme Council for Islamic Affairs (NSCIA), Alhaji Muhammad Sa’ad Abubakar III, described as unjust, heinous and dastard the acts of destructions of lives and property in Southern Kaduna.

The Sultan who in a statement from the Director of Administration, NSCIA Ustaz Christian Isa Okonkwo, said, “the NSCIA denounces these events in entirety particularly

because they run contrary to fundamental Islamic law which ordains human life to be sacred and strongly forbids its unlawful destruction except for a just cause.”

And calling on the Federal Government and the Governor of Kaduna State, Nasir el-Rufai to urgently step into the situation with the view to finding lasting solution to the crisis in the area, the Sultan said, “The NSCIA would like the federal and Kaduna State governments to go a step further by proffering lasting solutions to these recurrent acts of hatefulness and savagery in Southern Kaduna.

“We also wish to call on the federal government to objectively investigate the matter and prosecute whoever that is found guilty irrespective of the person’s tribe, creed and/or social status,” the statement read.

The Sultan equally urged all Nigerians not to allow themselves be used by forces of evil hiding behind tribal, political or even religious disguise to perpetrate evils in the society.

22

IMAGES

L-R: Managing Director, Technology, Accenture Nigeria, Niyi Tayo; Managing Director, Financial Services; Accenture Nigeria, Toluleke Adenmosun and Head, Marketing Communications, Accenture Nigeria, Segun Olalandu,at the launch of Accenture Nigeria Technology Vision 2017, in Lagos...recently

T H I S D AY • MONDAY, JANUARY 30 , 2016

Photo Editor Abiodun Ajala Email abiodun.ajala@thisdaylive.com

R-L: Representative of the Minister of Labour and Employment, Mr. Olawumi Oyeyemi; ATSSSAN President, Comrade Benjamin Okewu; Representative of the Minister of State Aviation; Yamsikit Adamu Mohammed; Representative of the MD of FAAN, Hajia Salamatu Bala, at the opening ceremony of the 2nd Quadrennial National Delegates Conference of Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) in Ijebu-Ode... recently.

KOLAWOLE ALLI

L-R: Director, Regulatory and Corporate Social Responsibility, Etisalat Nigeria, Ikenna Ikeme; Manager, Corporate Social Responsibility, Etisalat Nigeria, Olutola Oduyemi; Managing Director, General Hospital, Gbagada, Dr. Tayo Lawal and Head, Admin and Human Resources, General Hospital,, Mrs. Olufunke Ojo durin the handing over of ICT equipment donated by Etisalat Nigeria to General Hospital, Gbagada in Lagos.......recently

L-R, Minister of Health, Prof. Issac Adewole; Abia State Governor, Dr. Okezie Ikpeazu, and his Deputy Sir Udeh Okochukwu at the 59th National Council on health meeting in Umuahia...recently

Vice President,, Yemi Osinbajo SAN(right) and Executive Director, World Food Programme, Dr Ertharin Cousin during a visit to the Vice President by the WFP executives in Abuja...recently

L- R: National Vice President, JCI Nigeria, Abiola Olorunisola; Chairman, Berger Paint Nigeria Plc. (Guest Trainer).Dr. Oladimeji Alo; President-JCI Atlantic, Kayode Ayedogbon, and Chartered President, JCI Eko, Senator Tunji Adekoya, at the January meeting of JCI Atlantic in Lagos...recently

L-R: Pastor in-Charge, Redeemed Christian Church of God (RCCG), Lagos Province 44, Pastor Amos Emovon; Assistant Pastor, Corporate Social Responsibility (CSR), Lagos Province 44, RCCG, Pastor Arisola Opeoluwa Calebs; Head Teacher, Modupe - Cole Memorial Child care and Treatment home, Lagos, Mrs. Florence Kayode; Deputy Director, Ministry of Education, Lagos State, Mrs. Olaitan Akinola; Chief Education Officer, Ministry of Education, Lagos State, Mr. Segun Ogunbiyi; and Assistant Pastor, Adiministration, Lagos Province 44, RCCG, Pastor Joseph Ekhator, at the unveiling of the renovated dinning hall, kitchen and boys hostel of the home by RCCG Lagos province 44 in Lagos... recently PHOTO : ETOP UKUTT

23

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD NIBOR OVERNIGHT 1-MONTH

R A T E S

A S

3-MONTH 6-MONTH

6.5000 18.0655

A T

19.9078 23.1318

NITTY 1-MONTH 3-MONTH 6-MONTH

Group Business Editor Chika Amanze-Nwachuku

Email chika.amanzenwachukwu@thisdaylive.com 08033294157

J A N U A R Y

2 6 ,

15.6268 15.0170 19.5941

2 0 1 7

EXCHANGE RATE N305.50/ 1 US DOLLAR* *AS AT LAST FRIDAY

Quick Takes FAAN Seeks Collaboration with Airlines

LUCKY BENEFICIARIES

L-R: Governor Akinwunmi Ambode of Lagos State; Chairman, Lagos State Employment Trust Fund (LSETF), Mrs. Ifueko OmoiguiOkauru; Akanbi Motolani of The Freshies House and Executive Secretary, (LSETF), Mr. Akintunde Oyebode, during the LSETF Cheque Presentation ceremony to the beneficiaries of the Loan Scheme at Agidingbi, Ikeja, Lagos … recently KOLAWOLE ALLI

China Emerges Nigeria’s Leading Source of Imports with $1.6bn Eromosele Abiodun It emerged at the weekend that China is now Nigeria’s leading source of imported goods with an import value of $1.6 billion (N478 billion) equivalent to 20 per cent of Nigeria’s total imports.

This is, according to the merchandise trade data released by the Nigerian Bureau of Statistics (NBS) in its latest foreign trade statistics for the third quarter of 2016.

According to the NBS data, Belgium emerged the second largest source of imports in the review period, with an import value of $1.1 billion (N331billion).

The NBS data put the total value of trade at N4.72 trillion, representing an increase of 16 per cent on the preceding quarter.

ECONOMY The data, however, showed a trade deficit of N104 billion, which compared with N482 billion in the second quarter of 2016.

Analysts at FBN Quest noted that the increase in imports in a recession in the first three quarters of last year was due to the weakness of the naira exchange rate.

Analysis of the NBS data showed that total exports stood at N2.31 trillion in Q3 last year while the total value of imports was N2.41trillion. This represented increases of 29 per cent Quarter-on-Quarter (Q/Q) and 6 per cent q/q respectively.

A further analysis of the NBS report showed that the value of imports from other African countries amounted to $290

million (N88 billion) However, Economic Community of West Africa States (ECOWAS) countries accounted for just 10 per cent of Nigeria’s total trade.

In terms of exports, crude oil was the largest contributor with a total value of N1.9 trillion ($6.2 billion). Meanwhile, the total value of agricultural products exported stood at N14.4 billion ($50 million).

Frozen shrimps and prawns accounted for 37 per cent and sesame seeds 34 per cent of total agricultural exports in the third quarter of 2016.

Experts believe the Federal Government of Nigeria (FGN)’s import substitution strategy will have a significant impact on imports in the years ahead.

“Nigeria is heavily dependent on imports. However, given the current foreign exchange illiquid-

ity, we expect the FGN’s import substitution strategy to have a significant impact over time.

Furthermore, consistent growth in agriculture and a significant boost in the manufacturing sector should make the country more export-oriented in the medium term,” said analysts at FBN Quest.

The federal government had recently reduced import duties on more than 89 items in various sectors of the nation’s economy.

The reduction approved by President Muhammadu Buhari, is to promote development in critical sectors of the economy, and is part of its 2016 Fiscal Policy Measures.

A circular issued by the Ministry of Finance said the measures supersede the 2015 Fiscal Policy Measures.

Continued on page 24

‘Reforming Oil, Power, Mining, Aviation Sectors Key to Economic Recovery’ Goddy Egene For the federal government to take the nation’s economy out of its recession and place it on a sustainable growth path, there must policy reforms in oil, power, mining, aviation sectors.

The is the assertion of analysts at Afrinvest (W.A) Limited, a Lagos based investment banking firm in its Economic and Financial Market Outlook 2017 report obtained at the weekend.

According them, the Nigeria’s business cycle would be highly dependent on the ability of policy makers to deliver incremental oil output

ECONOMY in 2017, restore macroeconomic stability by rebuilding confidence in monetary policy and the administrative side of the foreign exchange FX market structure as well as showing commitments to structural reforms. Moreover, given the expectation of tighter monetary policy across the advanced economies, the pace of funds flow to emerging markets may slowdown in 2017.

They said the much needed policy reforms are inevitable as Nigeria stands the risk of being further relegated as already witnessed in 2016.

Afrinvest noted that given that oil revenue contributes a significant chunk to government’s revenue, it is imperative to implement structural reforms that will ensure transparency and efficiency so that the much needed foreign capital flows into the economy can be ultimately attracted.

“These reforms are majorly centred on passing the Petroleum Industry and Governance Bill (PIB) into law as well as revolutionising the gas sector to enhance the gas-to-power network and resolve the security challenges in the Niger-Delta.

We recommend a much more

lasting pragmatic solution that incentivise disgruntled NigerDelta agitators to shield their swords and embrace peace.

To this end, we believe that privatisation, across the oil & gas value-chain, should be a key focus so as to entrench efficiency in operations and actualise the full deregulation of the downstream sector which began in May 2016,” they said.

In the area of power, the analysts said they believe the current challenges facing the power sector need to be decisively tackled head-on.

Continued on page 24

The Managing Director of the Federal Airports Authority of Nigeria (FAAN), Saleh Dunoma has stressed the need for collaboration with airlines and other service providers at the airport to ensure profitable service in the face of dwindling economy and low passenger patronage.

Dunoma, who was represented by Hajia Salamatu Eluwa, Director, Human Resources, FAAN, at the second quadrennial national delegates conference of AirTransport Services Senior Staff Association (ATSSSAN) in Ijebu Ode, acknowledged that the industry was facing multiple challenges such as increase in the price of aviation fuel, the attendant operational costs, personal/labour relations issues and infrastructural/environmental matters.

According to Dunoma, the economic recession has affected the traveling public and the demand for air travel has dropped while the market has also shifted downwards, stressing the need for innovative ideas.

He noted that in spite the daunting economic challenges in the aviation sector, the management of FAAN has been able to keep the welfare of staff on its front burner while maintaining a culture of prompt payment of staff salaries even in the face of dwindling revenues.

Dunoma added that the authority has continued to show commitment to staff career development by releasing the result of the 2016 promotional exercises for junior and senior staff of FAAN while those of Grade Level 14-16 have been forwarded for ministerial approval.

Caritas Communications Wins Awards

Caritas Communications has emerged the best Reputation Management Consulting firm at the 2016 African Corporate Excellence Awards. Caritas’ recognition was announced by the United Kingdom based Corporate Vision (CV) Magazine. Caritas beat other reputation management firms to clinch the award in the consultancy category.

Speaking on the criteria for selecting the winner, Publications Editor for the Magazine, George Millar, said winners are decided by a combination of votes gathered from the publication’s network of respected industry partners followed by a rigorous in-house research, carried out by the magazine’s dedicated network of industry insiders and corporate specialists.

He said: “Each award is carefully scrutinised, from a nominee’s region to their performance over the past 12 months, their commitment to innovation, their methods and even their competition to ensure that only the most deserving firms walk away with one of our prestigious trophies. The awards are based 100% on merit and are a reflection of those in the global consultancy industry currently making a massive impact in firms and industries worldwide”.

Millar added that the award covers industries all over the world from medical to image management and transportation, focusing more on consultants, their approach and individual attributes and skills.

Commenting on the award, the Managing Director and Chief Executive Officer, Caritas Communications, Mr. Adedayo Ojo described the award as a reward for years of focus, diligence and innovation.

Cordros Capital Hosts Economic Roundtable

Cordros Capital Limited will hold its annual economic Roundtable tomorrow, Tuesday January 31, 2017 in Lagos. The event debuts the company’s plan to provide an annual platform that brings together investors and the various economic agents to dialogue with experts on the challenges and opportunities, existing and expected, in Nigeria’s changing economy.

The theme of this year’s event is ‘Nigeria in 2017: Recovery or Status Quo?. Emphasis will be on the recovery prospects for the Nigerian economy, from the perspectives of the annual budget and policies. The economy will also be examined in three scenarios (status quo, recovery and deepening recession), and suggestions would be provided on how businesses can respond through their internal planning processes.

According to the company, speakers at the event are: Ogho Okiti, PhD – Economist and Special Assistant to the Chief Economic Adviser to the President (2012-2015) and Andrew S. Nevin, PhD – Partner and Chief Economist, PwC Nigeria.

“There are so many unfavoruable policies that need to be amended to remove the present hindrances in airline operation in Nigeria” Chairman of Air Peace,

Chief Allen Onyema

24

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD CHINA EMERGES NIGERIA’S LEADING SOURCE OF IMPORTS WITH $1.6BN

According to the circular signed by the Minister, of Finance, Mrs. Kemi Adeosun, the directive was made up of the Supplementary Protection Measures (SPM) for implementation together with the ECOWAS CET 2015 – 2019.

The minister explained that the ECOWAS CET, which will cover the 2017 to 2019 fiscal periods, is composed of three categories made up of an Import Adjustment Tax list of 173 tariff lines, a national list consisting of 91 items and an import prohibition list of 25 items, which is applicable to certain goods originating from non-ECOWAS member states.

‘REFORMING OIL, POWER, MINING, AVIATION SECTORS KEY TO ECONOMIC RECOVERY’

“The whole process from supply of gas to the generating companies (Gencos) down to the transmission of electricity to the final consumers as well as the cash collection process from the consumers through to the gas suppliers, needs to be revamped. Also, there is a need for debt and equity restructuring by players in the sector in order to sufficiently capitalise firms as successful implementation of these reforms would make the sector more attractive for potential investors and as such the current liquidity crunch may be addressed,” they added.

Afrinvest said mining should be removed from the exclusive list so as to give the state governments the impetus to explore and develop their respective natural resources and also possibly foster interstate alliances, just as the company harped on the privatisation of the Airports around the country to aid in the efficient operation of the airports, unleashing tourism and commercial potential of the economy.

“This will also rid the federal government of the burden of maintenance and development of the airports which are currently in a deplorable state.

These airports can be viewed as business hubs given the presence of shopping malls, restaurants, office complexes among others,” they said.

Group Business Editor

Chika Amanze-Nwachuku AgriBusiness/Industry Editor

Crusoe Osagie

Comms/e-Business Editor

Emma Okonji

Capital Market Editor

Goddy Egene

Senior Correspondent

Raheem Akingbolu (Advertising) Correspondents

Chinedu Eze (Aviation) Linda Eroke (Labour) Eromosele Abiodun (Maritime) Ejiofor Alike (Energy) James Emejo (Nation’s Capital) Obinna Chima (Money Mkt) Reporters

Nume Ekeghe (Money Market) Nosa Alekhuogie (AgriBusiness)

NEWS

PCN Celebrates Completion of Egina Pipe Coating at Onne Free Zone Pipe Coaters Nigeria Limited (PCN) on Wednesday celebrated completion of the coating and cut back of the last pipe for the Egina UFR (umbilicals, flowlines and risers) project at the Onne Oil and Gas Free Zone, Rivers State.

The completion represents a major milestone in one of Total’s flagship ultra-deep offshore projects in Nigeria.

Located some 130 km off the coast of Nigeria at water depths of more than 1,500 meters, the Egina project is for the most part being developed locally to accelerate the pace of technology transfer and expand the local industrial fabric.

At a reception to mark the successful completion of the coating at the Onne Oil and Gas Free Zone on Wednesday, PCN Country Manager, Mr. Ricardo Capria, said the Egina pipe coating is the largest in the oil and gas industry.

He said: “The final pipe for the largest pipe-coating project the oil and gas industry has seen to date– consisting of 6,000 tons of material - has been coated. The work was performed by the only plant in Africa capable of applying the sophisticated coating technology on large diameter pipe, Pipe Coaters Nigeria Limited (PCN).

“PCN recently applied a specialised coating on the final pipe for the Egina field, celebrating a major milestone for a project that required extensive training of local employees, plant qualification, and the development and full-scale testing of a specially formulated

material to withstand the harsh conditions of the ultra deepwater application.”

Capria said PCN collaborated with Tenaris, a global supplier of steel pipe products with a strong presence in Nigeria, on developing a proprietary component to the formula for the coating material.

“The specially formulated material, 5 Layer Syntactic Polypropylene (5LsynPP) Thermal Insulation coating, was tested and proven to: improve resistance to corrosion, improve flow assurance and prevent paraffin deposits.

“The amount of coating

used for the Egina project is the largest in the world with 6,000 tons of the proprietary material applied - in five-inch thick layers - on 14” and 18” pipes. PCN employees received specialised training to carry out the production and advanced coating application. Its plant, located in the Onne Oil and Gas Free Zone, underwent a yearlong qualification process in 2014 to ensure the facility was capable of meeting the customers’ strict requirements from safety, quality and production,” he said.

He said about 800,000 manhours were worked, locally, on

the challenging coating project with 90 percent of employees with PCN. Developer of the Onne Oil and Gas Free Zone, Intels Nigeria Limited, which was represented at the event by its Chief Commercial Officer, Mr. Patrick Bird, said it is proud to have provided the enabling environment for successful completion of the coating by PCN. He said: “Completion of the coating and cut back of the last pipe for the Egina umbilicals, flowlines and risers is a major accomplishment and we are happy to have been partners with them in achieving this

great milestone.

Bird said despite present challenges in the economy, Intels is steadfast in its commitment to the delivery of maximum benefits to companies like PCN and other companies in the Onne Oil and Gas Free Zone.

“We strive to create an environment that makes the milestone being celebrated today possible by accelerating the pace of technology transfer and expanding the local industrial fabric in Nigeria. The Onne Oil and Gas Free Zone offers numerous advantages and incentives for companies to invest in Nigeria.”

COURTESY VISIT

L-R: Chief Marketing Officer, Sterling Bank Plc Henry Bassey; Regional Coordinator, (South West) Nigeria Export Promotion Council (NEPC), Babatunde Faleke and Group Head, Agric Finance, Sterling Bank Plc, Bukola Awosanya during a courtesy visit by Sterling Bank to NEPC Regional office in Lagos...recently

LCCI: We Have Trained About 800 Entrepreneurs in Three Years Peter Uzoho The Director, Research, Advocacy and Entrepreneurial Development, Lagos Chamber of Commerce and Industry (LCCI) Dr. Vincent Nwani, has stated that the LCCI had in the last three years, through its entrepreneurship development programme, trained about 800 entrepreneurs, who he said were doing well in their various businesses.

Speaking at the workshop for ‘Practical Writing Business Plan and Feasibility Study’ organised by the LCCI, in Lagos, over the weekend, the Director noted that the focus of the workshop was teaching businesses how to develop and write good business plans that would promote successes in their various businesses.

Nwani noted that one of the activities of LCCI was entrepreneurial development through skill acquisition, skill mentoring programme, vocational programme and any form of skill acquiring activity, adding that it is a platform to give to the society and promote commerce and industry, while strengthening the skill gap in the industrial and corporate environment.

He noted that: “It’s a programme where people who love skill come to acquire it by attending training programmes free of charge. Within the last three years, the German government has been funding this, and it’s

going to terminate by the end of 2017 where LCCI should be able to take up from there. And in the last years, we have trained almost 800 entrepreneur graduates who are doing well in their various businesses.

“Our motive is to breach this issue of lack of finance or capital.

The last aspect of the programme is monitoring, business clinic. They are writing their business to us and we will follow them up and help them to write this business plan-give them suggestion, give them data, and help them do market survey free of charge so that they can be able to put down this business plan, and also be able to defend it.”

Also speaking, one of the trainers, Mrs. Fayo Williams, stressed that one of the challenges faced by young entrepreneurs was lack of proper documentation of data which she attributed to some cultural practices.

She noted that another challenge was lack of good packaging for their business plans in order to access funds from investors, adding most entrepreneurs don’t understand how to craft their business plan such that it will gain the interest of an investor.”

“We have a culture that tells you that everything is in the hands of God which is true. But in the space of entrepreneurship, there is a procedure for finding out information, for conducting market research, and then being able to make a good forecast,” she added.

‘We Need Policy Re-Alignment to Support Our External Reserve’ Ugo Aliogo As part of measure to improve Nigeria’s external reserves, a financial expert has advocated the need for clarity and proper re-alignment of monetary policies of the Central Bank of Nigeria (CBN) and what the federal government plans to do to grow the reserve and improve the pace of economic growth.

The advice was given by the Executive Director of FSDH Merchant Bank, Olufunsho Olusanya, during the sent-off party organised in honour of the out-going Managing Director, Mr. Belo-Osagie.

She stated that the three arms of government need to come together and see what ought to be done in strengthening the growth of the reserves, while striving to harmonise what the federal government is currently doing to move the economy forward.

“There should be clarity of policies as regards what the CBN and the FG wants to do, otherwise everything will be speculations. As Nigerians, we need to talk up ourselves and change that orientation that people can’t

do business in Nigeria and down play negative things,” she mentored.

Olusanya explained that if the country had saved N200 billion in the reserves, the country will not be experiencing recession, adding that the CBN has done what it is expected to do, therefore for the country to get foreigners to invest, there is need to have attractive yields in the money market that they can invest in. “Our Stock Exchange Market (SEC) needs to be working effectively so that they can see value of growth in the stock market.

They also need to see stability in some of our policies, for them to start putting their money back.”

The FSDH Executive Director further noted that although the interests’ rates for treasury bonds are very attractive now, the challenges getting foreign investors come back to the country.

She added: “We have seen a growth of about 2billion in our reserves which is very commendable. If we make a projection that we are able to grow one billion monthly.

Then there will any need for us to borrow, and can we keep up that standard to meet all our requests. The

problem we are seeing in the banking sector is shortage of forex. We have customers we want to do much transaction but we have shortage of FX. “Most banks that were doing trade transactions in billions have significantly dropped to 20 percent. Everything is interconnected.

If I meet your forex requirements, you will be able to generate more revenues and they grow the value chain, which will translate to other things. In 2017, we will notice an improved growth. The International Monetary Fund (IMF) has predicted has a growth of 0.5 and 1 percent which is better than a negative growth.

“If all these should happen we should see better results for the country and for the sector as well. The best way to build reserves is to generate enough revenue and sustain it. We have a situation where the whole country needs so much FX to maintain normal operations, but that is not there.

The foreign investors that brought money into the economy take their money out and each time they do that it puts pressure on our reserves.”

25

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD

MARKET REPORT

Stock Market Rebounds on Dividend Expectations Goddy Egene and Nosa Alekhuogie

for the six months ended December 31, 2016. Commenting on the results, Managing Director/Chief Executive of Guinness Nigeria, Mr. Peter Ndegwa, attributed the poor performance to the challenging economic environment and high finance charges.

Ndegwa said: “We now have both International Premium Spirits (IPS) and locally manufactured mainstream spirits within our portfolio and these contributed to revenue growth for the half year. Our accessible beer brands also continue to grow strongly.”

The equities market sustained the positive tempo on the last trading session for the week as the NSE ASI rising by 0.15 per cent to close at 26,2328,22 compared to an increase of 0.19 per cent recorded the previous day. Similarly, the market capitalisation increased by 0.19 per cent to close at N9.058 trillion. The marginal rise in the index and market cap were prompted by appreciation in the share prices of Total, Nestle, SevenUp Bottling Company Plc, Zenith Bank and Stanbic IBTC. The value of equities traded also increase by 84.71 per cent to N2.194 billion from N1.187 billion transacted previously.

The total volume of equities traded rose by 62.33 per cent to 238 million in 2,725 deals.

The Nigerian equities market returned to positive territory last week as the Nigerian Stock Exchange (NSE) All-Share Index (ASI) rose by 0.40 per cent compared with a decline of 0.39 per cent the previous week.

Despite the release of poor quarterly corporate performance by some companies, investors ignored those results and took position ahead of dividend payment for the year ended December 31, 2016.

Consequently, the NSE ASI and market capitalisation appreciated by 0.40 per cent to close the week at 26,328.22 and N9.059 trillion respectively. Similarly, all other Indices finished higher during the week with the exception of the NSE Premium Index that depreciated by 0.13 per cent. Investors were upbeat last week, with the NSE ASI recording gains in four out of the five sessions.

Daily Market performance Trading resumed for the week last Monday market yesterday resumed the week on a positive note as the NSE ASI appreciated by 0.03 per cent to close at 26,231.37. Market analysts at Meristem Securities Limited, attributed the positive trading to gains by large capitalised stocks.

“We attribute the day’s performance to the positive sentiments in the market, specifically on some large cap stocks. We expect this trend to continue into the week, as we anticipate more bargain hunting activities on counters trading below their intrinsic values,” they said.

A total of 19 stocks appreciated compared with 15 that declined in value. UACN Property Development Company (UPDC) Plc led the price gainers’ chart, advancing by 4.86 per cent to close at N3.02 per share.

UPDC is planning to raise about N5 billion from the capital market through a rights issue of 1.719 billion ordinary shares of 50 kobo each at N3.00 per share on the basis of one new share for every one share already held.

The second day of the week witnessed a bearish trading with the index shedding 0.05 per cent to be at 26,217.54. Similarly, market capitalisation shed N4.8 billion to close at N9.0 trillion.

Shares tanked as the Central Bank of Nigeria’s Monetary Policy Committee (MPC) retained the Monetary Policy Rate (MPR) at 14 per cent. The MPC, which met on Monday and Tuesday voted unanimously to maintain status quo by retaining the: MPR at 14 per cent; Cash Reserve Ratio at 22.5 per cent and Liquidity Ratio at 30 per cent.

However, market operators said retaining the MPR at 14 per cent will make the fixed income securities remain more attractive to investors than the equities market.

Analysts at Meristem Securities Limited, said: “Given that the MPC maintained the status quo on all policy variables, we expect the weak market mood will continue to dictate the direction of activities in the equities market. However, we advise investors to continually assess the market for opportunities to take positions in fundamentally justified stocks ahead of the full year 2016 earnings season.”

Seven-Up-Bottling Company Plc and Custodian and Allied Plc led the price losers, depreciating by 4.9 per cent each to close at N101.40 and N3.63 respectively. NCR Nigeria Plc

and NAHCO also shed 4.9 per cent apiece, just as Sterling Bank Plc and Transcorp Plc went down by 4.8 per cent and 4.7 per cent in that order.

On the positive side, Cement Company of Northern Nigeria Plc led the price gainers with 5.0 per cent to close at N4.62 per share. UAC of Nigeria Plc followed with 4.9 per cent, just as NPF Microfinance Bank Plc appreciated by 4.6 per cent.

In terms of sectoral performance, the NSE Banking Index, which had outperformed other sector indices for the most part of the year, dipped 1.1 per cent as investors booked profit in Zenith Bank Plc (-3.5 per cent) and United Bank for Africa Plc (-1.2 per cent).

The bulls regained control of the market on Wednesday even as investors staked N2.434 billion on 190 million shares in 2,896 deals.

The bulls pushed the NSE ASI to close 0.09 per cent higher at 26, 240.45.

The recovery in the market was attributed to the activities of bargain hunters who swooped on shares, making 21 equities to close higher while 16 declined. NASCON Allied Industries Plc led the price gainers with 4.9 per cent trailed by Neimeth International Pharmaceuticals Plc with 4.6 per cent. Custodian and Allied Plc appreciated by 3.3 per cent, just as Oando Plc chalked up 2.3 per cent.

Conversely, Honeywell Four Mills Plc, Livestock Feeds Plc led the price losers with 4.9 per cent apiece. A.G Leventis Plc and UACN Property Development Company Plc shed 4.6 per cent each.

Sectoral performance indicates that only the NSE Banking Index depreciated by 0.08 per cent. The NSE Oil/Gas Index appreciated by 0.49 per cent, while NSE Industrial Goods Index, NSE Insurance Index

and NSE Consumer Goods Index grew by 0.41 per cent, 0.14 per cent and 0.04 per cent.

The market sustained its positive performance for the second straight day on Thursday with the NSE ASI going up by 0.2 per cent. Interest showed by bargain hunters in Guaranty Trust Bank, Forte Oil Plc, Zenith Bank Plc, Oando Plc and Stanbic IBTC Holdings bolstered the bullish trading. Apart

TOP TEN BROKERS(BY VALUE)

from the NSE ASI that appreciated by 0.2 per cent, market capitalisation of equities added N17 billion to close at N9.0 trillion.

It was mixed blessings for investors in Stanbic IBTC and Guinness Nigeria.

While Stanbic IBTC rose by 1.1 per cent following news of smooth management changes, those in Guinness suffered a depreciation of 5.0 per cent. Guinness reported a N4.6 billion loss after tax

AS AT LAST FRIDAY

BROKER

VALUE % VALUE

CAPITAL ASSETS LIMITED - BRD

5,406,349,933.74

41.82

STANBIC IBTC STOCKBROKERS LIMITED

1,515,829,577.64

11.73

CSLSTOCKBROKERSLIMITED EFCP LIMITED

837,955,853.94 793,890,336.36

6.48 6.14

CHAPELHILLDENHAMSECURITIESLTD-BRD

551,623,554.28

4.27

MORGAN CAPITAL SECURITIES LIMITED

499,060,775.28

3.86

VETIVA CAPITAL MANAGEMENT LTD

436,688,447.34

3.38

330,551,518.09

2.56

A.R.M SECURITIES LIMITED - BRD CARDINALSTONESECURITIESLIMITED READINGS INVESTMENTS LIMITED - BDR

TOP TEN BROKERS

(BY VOLUME)

BROKER CAPITAL ASSETS LIMITED - BRD MORGAN CAPITAL SECURITIES LIMITED

319,778,765.86

2.47

303,518,828.89 10,995,247,591.42

2.35 85.06

AS LAST FRIDAY VOLUME

%VOLUME

7,017,529,112

81.24

512,440,114

5.93

STANBIC IBTC STOCKBROKERS LIMITED

153,036,825

1.77

APEL ASSET LIMITED - BRD VETIVA CAPITAL MANAGEMENT LTD

109,971,646 78,231,008

1.27 0.91

CARDINALSTONESECURITIESLIMITED

67,121,992

0.78

CSL STOCKBROKERS LIMITED

66,821,153

0.77

NEWDEVCO FINANCE SERVICE CO. LIMITED

51,443,843

0.60

MERISTEM STOCKBROKERS LIMITED

30,630,263

0.35

CHAPEL HILL DENHAM SECURITIES LTD - BRD

29,362,320

0.34

8,116,588,276

93.96

Market turnover In all, investors traded 990.584 million shares worth N18.823 billion in 14,917 deals last week by investors on the floor of the exchange, compared with a total of 1.340 billion shares valued at N8.903 billion that were traded the previous week in 15,733 deals.

The Financial Services Industry led the activity chart with 664.647 million shares valued at N3.896 billion traded in 8,056 deals; thus contributing 67.10 per cent and 20.70 per cent to the total equity turnover volume and value respectively. The Consumer Goods Industry followed with 133.641 million shares worth N2.602 billion in 2,653 deals. The third place was occupied

by Conglomerates Industry with a turnover of 63.189 million shares worth N88.834 million in 635 deals.

Price gainers and losers Meanwhile, 29 stocks appreciated last week lower than 30 equities of the previous week. Conversely, 30 equities depreciated in price, higher than 27 equities of the previous week. Unity Bank Plc led the price gainers with 15.6 per cent, trailed by Oando Plc with 12.4 per cent. Stanbic IBTC Holdings Plc and Champion Breweries Plc garnered 8.5 and 8.3 per cent respectively. Other top price gainers included: Forte Oil Plc (8.1 per cent); Wema Bank Plc (7.8 per cent); NPF Microfinance Bank Plc (6.6 per cent); Total Nigeria Plc (6.4 per cent); Neimeth International Pharmaceuticals Plc (4.2 per cent) and Seplat Petroleum Development Company Plc (4.1 per cent).

On the contrary, Honeywell Flour Mills Plc led the bears, shedding 11.3 per cent, trailed by MRS Oil Nigeria Plc with 9.7 per cent. Sterling Bank Plc went down by 8.7 per cent, while Caverton Offshore Support Group Plc declined by 8.0 per cent.

Livestock Feeds Plc and Transnational Corporation of Nigeria Plc went down by 6.9 per cent apiece just as A.G. Leventis Nigeria Plc, Custodian and Allied Plc, Nigerian Aviation Handling Company Plc and Trans Nationwide Express Plc lost 5.7 per cent, 5.2 per cent and 5.0 per cent in that order.

26

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD

INSIDE BROAD STREET

A view of Lagos financial district

AKINWUNMI IBRAHIM

Cost of Funds Ease on Liquidity Injection Obinna Chima The Nigerian Interbank Offered Rate (NIBOR) dropped 6.5 percentage points to five percent on average last Friday as the money market was awash with cash from budgetary disbursal and coupon payment on matured bonds.

The cost of borrowing among commercial lenders had closed at 11.5 per cent the preceding Friday due to drop in liquidity in the market necessitated by bond and treasury bills sales.

According to Reuters, about N400 billion was injected into the banking system last Wednesday from December budget allocations to states and local governments, while N49 billion coupon on matured bonds was released by the central bank on Friday, boosting liquidity and forcing down interbank rate.

On Thursday, the central bank withdrew around N217 billion through the sales of short-dated open market operations (OMO) bills in a bid to reduce the level of excess liquidity in the banking system, but market liquidity remains high.

Balance in commercial lenders’ accounts with the central bank stood at N254.46 billion surplus on Friday, as against N202.58 billion the preceding week.

“We strongly believe that the central bank will conduct more OMO next week to take out the excess cash from the system,” one trader said, adding that expected dollar sales at a special forex auction could also help reduce the liquidity level and seen rate rising again.

The naira was unchanged at N498 to the dollar on the parallel market and N305.25 per dollar on the official interbank window on Friday as the market awaited the result of a special forex auction targeted at selected sector of the economy.

The central bank had on Wednesday asked commercial lenders to submit backlog dollar demand from fuel importers, airlines, raw-materials producers, and makers of agricultural chemicals and machinery for manufacturers.

The stock market main index rose 0.15 percent to 26,328 points, higher level since January 16, driven by gains in energy company Oando, which was up 4.05 percent and local French Total tick up 4.9 percent.

Monetary Policy Committee The Monetary Policy Committee (MPC) at the end of its first meeting in 2017 held last week resolved to retain all its monetary policy instruments. Specifically, the MPC kept the Monetary Policy Rate (MPR) at 14 per cent, the cash reserve requirement (CRR) at 22.5 per cent; also held the liquidity ratio at 30

MARKET INDICATOR per cent; and retain the asymmetric corridor at +200 and -500 basis points around the MPR. While reading the MPC communique, Emefiele said the committee was of the view that the key undercurrent that is scarcity of FX, low fiscal activity, high energy prices and the accumulation of salary arrears - cannot be directly ameliorated by monetary policy actions. He said the committee also anticipated that the recent increase in oil prices would be complemented by production gains to provide the needed tailwinds to sustainable economic activity. In that regard, the committee commended the commitment of the fiscal authorities to step up efforts to fill the aggregate demand gap through a speedy resolution of the domestic indebtedness of the federal government to states and local contractors.

The Committee believes that doing so will aid the effort towards economic recovery.

“Total foreign exchange inflows through the CBN increased significantly by 82.45 per cent in December 2016 owing mainly to the increase in oil prices. Total outflows, however, spiked during the same period. The Committee noted that the average naira exchange rate remained stable at the inter-bank segment of the foreign exchange market in the review period.

Naira Value The Central Bank of Nigeria (CBN) last week said it was working assiduously with the fiscal authorities to preserve the external reserves as well as to safeguard the value of the naira.

The central bank’s acting Director, Corporate Communications,Isaac Okorafor, said it had observed with great concern the continued and unwarranted attack on its policies by a group of Nigerians, whose real interests, findings had shown was anything near altruistic but rather self-serving and unpatriotic.

The banking sector regulator said while it respects the rights of every Nigerian or stakeholder to their respective views, it found it curious that certain interests had remained persistent in their move to misinform the larger public, with the intention of discrediting genuine efforts at managing the economy, thereby creating panic within the financial system.

It said Intelligence reports at its disposal revealed the involvement of some influential interests funding the push to have the CBN and the federal government reverse its forex policy which is aimed at conserving foreign

exchange and also promoting exports.

“As the Bank has explained severally, its decisions on forex management were prompted by the challenge the country’s reserves suffered at the time, arising from issues such as speculative attacks and round tripping. “ It is pertinent to note that pressures on the country’s foreign reserves persisted due to a huge fall in the monthly foreign earnings, which fell from over US $3.2 billion to as low as $400 million at a time when the demand for the US dollar, particularly by importers, continued to rise considerably,” it added.

Inequality and Poverty The Managing Director of the International Monetary Fund (IMF), Christine Lagarde last week bemoaned the high level of inequality in Africa.

The IMF boss while commenting on her Visit to Uganda, stressed that growth was essential for improving the lives of people in low-income countries. This, she said should benefit all parts of society.

She noted that in sub-Saharan Africa, presently, it is more than twice as expensive to move from rural to urban areas than it is in China.

Furthermore, she said only a third of sub-Saharan African households have electricity, compared to 85 per cent in the rest of the world.

“And in low-income countries, only about 20 percent of the adult population has a bank account, compared to more than 80 percent in the rest of the world. Such barriers get in the way of successful and equitable reforms.

Infrastructure development and financial sector reforms are examples.

“More, and more efficient, spending on roads, airports, power grids and education help an economy grow more productive and make it easier for people to relocate from farms to cities.

Fitch on Nigeria’s Outlook Fitch Ratings last week revised the outlook on Nigeria’s long-term foreign and local currency Issuer Default Ratings (IDRs) to negative from stable and affirmed the country’s IDRs at ‘B+’. The issue ratings on Nigeria’s senior unsecured foreign currency bonds was also been affirmed at ‘B+’. Similarly, the country’s ceiling was affirmed at ‘B+’ and its short-term foreign and local currency IDRs was affirmed at ‘B’. The global rating agency attributed its decision to revise the outlook on Nigeria’s long-term IDRs to the country’s tight foreign exchange (FX) liquidity and low oil production. These according to

Fitch contributed to Nigeria’s first recession since 1994. The Nigerian economy contracted through the first three quarters of 2016 and Fitch estimated Gross Domestic Product (GDP) growth of -1.5 per cent in 2016 as a whole.

“We expect a limited economic recovery in 2017, with growth of 1.5 per cent, well below the 2011-15 annual growth average of 4.8 per cent. The non-oil economy will continue to be constrained by tight foreign exchange liquidity.

Inflationary pressures are high with year on year consumer price index (CPI) inflation increased to 18.5 per cent in December.

“Access to foreign exchange will remain severely restricted until the Central Bank of Nigeria (CBN) can establish the credibility of the Interbank Foreign Exchange Market (IFEM) and bring down the spread between the official rate and the parallel market rates. The spot rate for the naira has settled at a range of N305-N315 per dollar in the official market, while the Bureau de Change (BDC) rate depreciated to as low as N490 per dollar in November 2016.

Power Sector Firms in 60% FX Allocation Desirous of revamping the country’s ailing power sector, the MPC last week told commercial banks and other authorised dealers in the foreign exchange (FX) market to include power sector operators in its FX allocation policy which stipulated that 60 per cent of total FX purchases from all sources (interbank inclusive) should be channelled to the manufacturing sector. Therefore, Emefiele, urged operators in the power sector to take advantage of the priority FX allocation given to the sector to enhance their operations.

“The 60 per cent that has been set aside of all FX that is available to all the banks to manufacturers, we did that for a purpose because we felt that there is need to support manufacturing sector. There is need to ensure that FX is made available to those that will provide jobs and get the manufacturing and industrial output to look positive. And I am happy that the recent data released by the Nigerian Bureau of statistics has started to show that the Purchasing Manager’s Index (PMI) is looking upward.

“The 60 per cent that is set aside for the manufacturers, I dare say that those in the power sector also qualify for that because they are importing plants and equipment or components for their transformers and generators for their machines. I don’t mean generators that people will put in their houses and generate electricity for themselves. We will appeal to the banks to look in their directions increasingly,” Emefiele explained.

27

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD

INTERVIEW

Onyema: Operational Challenges May Force Many Airlines out of Business Chairman of Air Peace, Chief Allen Onyema has urged the government and its agencies to create the enabling environment for domestic airline operations, pointing out that the enormous challenges may prompt many of them to close shop. Chinedu Eze brings the excerpts: How did fuel scarcity and the Harmattan haze affect your flight operations during the Christmas holiday and what do you suggest should be the solution to these intractable problems?

Well, last year has come and gone, the truth is that I don’t want to overemphasise the challenges airlines are going through in this country. Everybody has been talking about them over the years. I have added my voice since I came on stream but nothing seems to be happening. However, one can’t fold one’s hands and watch things deteriorate. The problem is not with the present government; these problems have always been there. The Minister of State, Aviation, Senator Hadi Sirika is doing his best. There are so many unfavoruable policies that need to be upturned to remove the present hindrances in airline operation in Nigeria, but some of these policies are backed by law and he alone cannot change them. So he has to go back to the lawmakers to undo what they did before, that is the only way he can get around them. So, some of these challenges are there but we need everybody, we need concerted efforts of both the executive arm of government and the legislative arm of government to do something about them.

The Minister has been trying to listen to everyone and trying to carry the airline operators and the other stakeholders along in his decisions. So the challenges are there and if these challenges are not addressed, and quickly too, so many airlines will go out of operations, so many of us of may go down, I don’t mean accident but I mean closing business.

And when they close business they close the employment of so many Nigerians who are dependent on these airlines for their livelihood.

So, everybody should be bordered about the level of unemployment situation in this country. Airline business provides massive employment opportunities for people, so the government should look at it that way. We contribute so much to the GDP of the country, we contribute so much to the wellbeing of the country and we make the movement of goods and services very, very seamless. So it is a very critical sector that one has to take serious look at to make sure things are done the proper way.

Then coming to your question about last year fuel scarcity, it is only in this country that prices of fuel have gone up astronomically.

The prices of crude oil all over the world have gone down but in Nigeria I keep on saying the cost of acquiring the product has quadrupled, that is, times four. What happened in December, if it continues happening most airlines will go down, they would be out of business. A situation where you buy aviation fuel at N210 this morning in the afternoon the vendors will tell you it is N265; in between your flights. What will you do? A lot of Nigerians say Nigerian airlines waste time, they delay, they cancel flights, that if you go to Atlanta or London, it is not like this. These people are showing their ignorance because they don’t know what we are going through. I have said it times without number that the biggest airlines of this world: Delta Air Lines, British Airways, Ethiopian Airlines, KLM, Air France, Lufthansa and the rest, bring them to Nigerian to operate within this country the way we are operating, they will not last more than 72 hours. I have said these two years ago but nobody took me seriously. When the issue of dollar scarcity started they started running away, just dollar problem alone. The dollar problem alone was just maybe 10 percent of our problems, yet they ran away. So if you

Onyema bring them into this country to operate they will run away. They will close shop within 72 hours. So the challenges are very enormous. All over the world they will tell you that aviation fuel takes about 40 percent of your operational cost but in Nigeria it takes about 85 percent.

So what is left for you? Whatever is left for you is taken by government as taxes. So what is left for the operator? Nothing.

Is there no way to overcome the tax challenge?

When you complain about this the aviation agencies will tell the money you are collecting is not for you it is for the government. The moment the government is putting so much money on your ticket you become a tax collector for the government, it is been passed on to the passenger. It is also affecting our tax load.

In order for us to break even we will now have to put so much money on the ticket and these passengers will not be able to pay. This is because we want to take care of the one going to taxation. It is the same passenger that will pay it, so it becomes too expensive and they won’t buy the ticket. I advise the government to look at the issue of double taxation. All over the world airlines are not taxed this way. The annoying thing is that the agencies don’t even provide the services for which they are being paid. Can you say the airports are okay? Why did the Harmattan haze affect us so badly the way it did?

We lost several billions of Naira last December.

No airline in this country broke even during December. There were crowds of passengers but nobody flew because of Harmattan haze.

When we operated to Uyo during that time we

paid N800, 000 for extension of time because the weather was not good and I had to be delayed. In Enugu every day I had to be paying over N500, 000 to fly into Enugu for our last flights. Is the airline supposed to pay that after you have paid 5 percent charge to the Nigerian Civil Aviation Authority (NCAA)?

That 5 percent charge is supposed to be for all government agencies; yet, we pay other fees to the Nigerian Airspace Management Agency (NAMA), you are paying charges to the Federal Airports Authority of Nigeria (FAAN). They deduct us at source. And after making these payments you go into the airport there is no runway light, you are now limited to fly only between the hours 8:00 am in the morning to 6:00 pm.

Some of these airport workers don’t even come to work on time. Our departure from Lagos to Enugu or any other destination is 7:10 am, you need the destination airport to be awake to give you weather conditions there.

You noticed that as at 7:10 take off, the workers at the destination airport have not come to work. Some airports don’t open on time until 7:30 am. You will be waiting for their workers to arrive to give you weather report. So what kind of country is this? Some of those airports do not go to work on time and by 6: 00 pm they close. Enugu, for example, has runway light but they close on time so why can’t they operate 24 hours like an international airport?

Why can’t that place be opened 24 hours? Why do you make me to pay extra for landing there after 6: 00 pm? everyday, during the Christmas period I was paying about N500, 000. How many passengers was Air Peace carrying? Just to provide service to the people we are being taxed heavily. So you pay for the services for you to be served, you are not even served; even when they now have to provide any service you have to now pay again.

And when you talk some will now try to witch-hunt you.

We lost a lot last December. Those airports were supposed to have good landing equipment. Over there in Europe, my aircraft was going to Estonia it was zero weather visibility but the pilot landed. This was because the facilities were there at the airport and in the aircraft. All they needed to do was to put it on auto and the aircraft would get itself down quietly. They have corresponding facilities at the airport that will aid the aircraft to land.

But here if the weather changes a little bit you do air return. Do you know the number of air returns airlines did in December? Burning fuel to take off and later come back without reaching your destination. How about salaries, maintenance? One spindle in Boeing 737 costs about $217,000. So what are we going to do?

Yet, you don’t see the dollars to buy. Today we are buying at N505 to a dollar.

So the airlines must be supported, the federal government should even declare emergency in the sector by removing every form of tax to make the industry survive or make the charges minimal. You can say, for every passenger that flies, N1000 to FAAN, N2000 to NCAA. These flat rates are better than the percentage they are talking about. It is better for computation and the rest. They should change the taxation; all the Nigerian airlines are losing their pilots to even neighbouring African countries. This is because the Nigerian airlines are wobbling not because they want to be wobbling but because there is no support.

For instance, we are not asking anybody to give us money, I am not asking for money CONTINUED ON NEXT PAGE

28

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD

INTERVIEW

ONYEMA: OPERATIONAL CHALLENGES MAY FORCE MANY AIRLINES OUT OF BUSINESS to create the enabling environment and some business people will even come in, but the way it is now only a foolish man like me that will come and invest, I only did this because I want to create jobs.

but the enabling environment must be created for these airlines to thrive. I can manage what I have gotten, but give me the enabling environment to operate. If I want to land in Calabar by 10 pm let the airport be open for me to land. And this can even energize business environment in the country, when people know they can travel at any time. This is how to make the economy buoyant. The economy can be energised by making these airports vibrant.

I support whatever work they are going to do at the Kaduna airport to make it good.

When you put facilities there it will enable us to fly easily. So, no matter where any airport is located make all of them vibrant, let them have top-notch facilities. Have you ever imagined you are going to Abuja and weather goes below minima and the weather in Lagos is below minima and Port Harcourt is below minimal where will you go to? So you need every airport in the country to be well equipped. Some people are saying they want to develop the Kaduna airport because it is in the north. That is rubbish to me, it is Nigeria, let them develop it. The day any crisis will happen and you want to land in that your southern airport, you can head towards the north, that northern airport might be your saviour. So let us develop everywhere. Let’s make all our airports flyable, top notch, I support that.

In December Airline Operators of Nigeria (AON) demanded that government provide Category 3 landing aids so that airline could land at low visibility at our airports. This is coupled with the debate over the closure of the Abuja airport and the building of second runway. What is your view?

The second runway in Abuja is long overdue.

Abuja should have a second runway. It is a shame that the airport at the nation’s capital, as busy as it, does not have a second runway.

And those people in the legislature annulled it because of the supposed outrageous amount quoted for it before. That annulment is not supposed to be a sealing. I don’t think they put a seal on the importance of having a second runway. So all they should have done was to review it. You can call other airports all over the world and find out how much they used in establishing theirs; anybody can get that kind of information. They should review it and bring it downwards and do it. We need a second runway in Abuja.

About the closure, yes the airlines will lose a lot of revenues. There is no doubt about that but we have to look at the safety aspect too. The Abuja runway, honestly I had once complained to the Minister myself, that because of Abuja airport and Enugu airport I have been changing my nose wheel almost every week. There are potholes all over the place and that is a recipe for accident, it is an accident waiting to happen. But I don’t know if total closure will be the answer or partial closure, I am not an engineer. And because we are relocating to Kaduna it comes with its certain cost too. And some people might have this apathy towards travelling that period but we cannot place pecuniary reasons over safety.

Well, people will talk but I stand for safety.

If the closure will afford us safety in the long run so let it be. If it could be done with partial closure and achieve the same result let the government look at it. So it is something that people should not go into argument about because I have been reading a lot about issue and people were making it political, some are making it ethnic.

How are you looking at 2017 in your operations?

Well, these challenges we have been enumerating every other time, the government should do something about them. Owning an airline is not for money making really, it doesn’t give you money. All over the world, it even brings you down. So what I think government should place premium on is, if this government can build one maintenance hangar that can take on Boeing B777, B737s, up to D-check, that will be a money spinner for this country. I support such project more than I support national carrier. National carrier will only deplete our resources. But the maintenance hangar will bring foreign exchange

Onyema into this country. So many countries will come here to maintain their planes. I have three of my aircraft outside. I took about eight of my planes outside within the last one year because we don’t joke with maintenance. They were coming back in trickles, why? Because all the MROs all over the world during winter in the Western world are fully booked. They push in their planes because they fly less during winter. So they push in all their aircraft into these maintenance hangars for checks. So you don’t have spaces, your plane will be lying there, manpower issues will set in. Even in Ethiopia maintenance facility, you write and they say we don’t have any slot for you until six months’ time.

I have never maintained any of our aircraft with less than $3.7 million. When some people say you could use $700, 000 to do C-check I disagree; it depends on what scope you submitted to the MRO (Maintenance Repair and Overhaul). But the kind of work scope we develop in Air Peace is total. One of our aircraft is down there at the airport because we don’t play with safety, the aircraft came back from C-check from Lufthansa maintenance facility and we discovered a snag and we grounded the aircraft.

I see 2017 is going to be good for us; this year by the special grace of God we will start our international operations this year.

And we are launching into the West Coast massively this year and we need the support of government to give us all these routes into other countries so easily the same way the foreign countries are coming into ours. Let us go and bring foreign exchange for our country and we need the support of government to do that. The problem we have noticed is the multiple entry points given by the Nigerian government to foreign airlines. No country in the whole wide world allows foreign carriers the kind of access they get in Nigeria.

Nowhere under the sun can you imagine that some foreign airlines fly from Port Harcourt to Abuja then Abuja to their country. That is very, very bad. The country should not allow it. They are draining this country to stupor.

This permit to operate multidesignation didn’t start with this government but it should put an end to it.

Air France cannot be flying from Port Harcourt

to Abuja then Abuja to France. Lufthansa will fly from Lagos to Port Harcourt come back to Lagos and go. They even do Abuja to Malabo, so what are your local airlines doing? Nowhere in the world, once you take off from your country you land in the other country, you must take off from that country and go back to your country. And not only that they are not even going to other countries from Nigeria, even within our country they are hopping from one city in Nigeria to the other before going. The federal government should look into this and stop it immediately or some of us might go to court to save the country. It doesn’t matter whether we win or not but let the public see that it is wrong.

Everybody is saying that the local airlines are not doing well how will they do well? We are being over taxed, we are paying so much for fuel, you are buying dollar at $1 at N505.

And again let me tell you, the government gave us right to fly into West Coast, have we bothered to find out how many of those countries have even replied our letters. And this is how it should be. They will tell you they have not stopped you but they have not accepted you either. They don’t respond to your mails, their government protects them. They protect their own airlines. Look at Air Cote d’Ivoire, it is coming into Nigeria everyday more than how many times, but Cote d’Ivoire has not responded to our mails until recently because we now complained, we now decided that we might go to court to stop Cote d’Ivoire from coming into this country.

Other West African countries have not responded to us. They don’t want to give their airlines competition.

Some of these African countries set up their airlines because of Nigeria and they know that if any strong airline comes out of this country they are all finished. But it seems that we are supporting them to demean our own people.

You don’t even need to stop them from coming in, just support your own airline to leverage on the Nigerian market, you will see they will have problem. It is a matter of time all these airlines will start having problems. The moment government allows Nigerian airlines to thrive; you don’t need any national carrier for Nigerian airlines to thrive. All you need is

With these many challenges being faced by airlines, why is it difficult for the real airline operators to get together and mount pressure on government to remove these obstacles affecting your operations?

When I started, in my inaugural speech, which is still being circulated, I said that I have come to bring peace to the industry. A lot of animosities have been going on and I wanted it to be a thing of the past. To be honest with you, I wanted to corporate, but I ended up with most of them fighting me. I know so many of them, one in particular who has been giving press people information and falsehood to publish against me. I wish him well because one day they will do the one that will land all of us in court. So, I wanted to bring everybody together, the sky is too wide for everybody but these men are not seeing it that way.

Some airline owners are behaving like motor park touts. They involve themselves in all manner of intrigue, in all manner of things to demean the other; these are the things you find at motor parks. I thought it was a noble sector considering the amount of investment that they put in there. Some of us involve themselves in devilish animosity, devilish intrigue, under cutting and all sorts of things, trying to demean the other. I have come into the industry and my intension is to create jobs for people. And you can go and interview our staff they can’t understand some of the things I do for them. It is just that I am pro-staff, and pro-people, I just want to do God’s will that’s all. This is my promise to God, to create jobs, to turn around lives and that is exactly what I am doing. And God almighty is with Air Peace, so anybody fighting me or trying to demean us is only chasing shadows and you are going to demean yourself at the end of the day.

Let me give you a classic example. During the peak of Harmattan haze on December 27 we had to cancel all our flights to Owerri, Enugu and other destinations. We were waiting and hoping that the weather would improve so that we could even operate one flight to each destination. During that period we were operating six flights to Owerri. Hundreds of passengers were waiting, then at about 5:00 one of the domestic airlines started selling ticket for Lagos to Owerri. Our passengers were shocked and angry with us because they said we could not go to Owerri because of bad weather but another airline was readying to go there. By 5:30 pm that airline had started boarding. We were wondering because the weather reports we were getting from Owerri indicated that weather was still below minima.

That airline’s flight shut the aircraft door after boarding the passengers by about 6:00 pm.

By that time you cannot go to Owerri but the airport does not have airfield lighting, but that was when that airline’s flight was about to take off from Lagos to Owerri.

After few minutes of closing the aircraft door and without any attempt to take off, the airline announced to the passengers that they could not take off because of bad weather in Owerri. The passengers were very angry. Our passengers who bought their tickets and mocked us when they were boarding their flight came back even more angry, but now angry with all of us. That airline knew even before selling ticket and boarding passengers that it could not go to Owerri, so why did it do that? They wanted the passengers to denigrate us, but in doing that they also denigrated themselves.

That is the bitter rivalry and animosity I am talking about.

So if my colleagues want peace and harmony in the industry I am ready, I have already thrown the olive branch to everybody but they are not taking it instead they are fighting. At times, they will incite the media to publish that my airline is owned by all eastern state governors. But it doesn’t border me. But I know that if we work together we are going to achieve a lot for our benefits. I am willing to work together with the others.

29

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD

NEWS

Report Shows Significant Rise in Fraud, Risk Incidents in 2016 Raheem Akingbolu Eighty-two per cent of executives surveyed worldwide experienced a fraud incident in the past year compared to 75% in 2015, according to the Kroll Annual Global Fraud and Risk Report. Eighty-five per cent of executives reported at least one cyber incident and over two-thirds reported security incidents Current and former employees were the most common perpetrators The report, which was made available to THISDAY by Kroll representatives in Nigeria, indicated that Fraud, cyber, and security incidents are now the “new normal” for companies across the world, According to the executives surveyed for the 2016/17 Kroll Annual Global, the proportion of executives that reported their companies fell victim to fraud in the past year rose significantly to 82%, from 75% in 2015 and 70% in 2013, highlighting the

escalating threat to corporate reputation and regulatory compliance.

It also stated that cyber incidents were even more commonplace; with 85% of executives surveyed saying their company has suffered a cyber incident over the past 12 months. Over two-thirds (68%) reported the occurrence of at least one security incident over the course of the year.

Despite widespread concerns about external attacks, the findings reveal that the most common perpetrators of fraud, cyber, and security incidents over the past 12 months were current and former employees.

Six out of ten respondents (60%) who worked for companies that suffered from fraud identified a combination of perpetrators that included current employees, former employees, and third parties. Almost half (49%) said incidents involved all three groups. Junior staff were cited

as key perpetrators in two-fifths (39%) of fraud cases, followed by senior or middle management (30%) and freelance or temporary employees (27%).

Former employees were also identified as responsible for 27% of incidents reported.

Overall, 44% of respondents reported that insiders were the primary perpetrators of a cyber incident, with former employees the most frequent source of risk (20%), compared to 14% citing freelance or temporary employees and 10% citing permanent employees.

Adding agents or intermediaries to this “insider” group as quasi-employees increases the proportion of executives indicating insiders as the primary perpetrators to a majority, 57%.

Over half of respondents (56%) said insiders were the key perpetrators of security incidents, with former employees again the most common of these (23%).

Co-Chairman, Kroll Investigations & Disputes, Tommy Helsby,

was quoted to have stated that: “this year’s Kroll Global Fraud and Risk Report shows that it’s becoming an increasingly risky world, with the largest ever proportion of companies reporting fraud and similarly high levels of cyber and security breaches. The impact of such incidents is significant, with punitive effects on company revenues, business continuity, corporate reputation, customer satisfaction, and employee morale.

“With fraud, cyber, and security incidents becoming the new normal for companies all over the world, it’s clear that organizations need to have systemic processes in place to prevent, detect, and respond to these risks if they are to avoid reputational and financial damage.” He said.

The vast array of perpetrators and ever-evolving nature of incidents reflect an increasingly complex risk management environment for businesses.

NIMASA Seeks Stakeholders’ Contributions to Port Reforms Eromosele Abiodun The Director General of the Nigerian Maritime Administration and Safety Agency (NIMASA) Dr. Dakuku Peterside has called on stakeholders in the maritime sector to make input in the ongoing port reform agenda of the present administration in other to reposition the maritime industry for greater efficiency.

Peterside made this call in Lagos when he hosted a delegation of the Editorial Board of the Nation Newspaper led by its chairman Mr. Sam Omatseye and the chief strategist of Epsilon Limited Mr. Amechi Chukwujama who came to brief him on preparation for a proposed port reforms conference in conjunction with the Federal Ministry of Transportation.

The NIMASA boss said there is the need to harness a synergy of ideas from all stakeholders towards ensuring a very user friendly port system that will be a model in the sub-region.

He added that the need for seamless transaction at the ports cannot be over emphasised.

He asserted that the proposed conference would help reposition the Maritime Sector for the realisation of the change agenda of the President Muhammadu Buhari led administration.

The Executive Director (Finance and Administration) Mr. Bashir Yusuf Jamoh in his contribution made a case for the inclusion of the railways in the intended ports reform in order to decongest the roads.

On his part, Executive Director, Operations, Mr. Fashakin Rotimi Joseph commended the Nation Newspaper for conceiving and proposing this conference which is expected to create awareness and set acceptable standards for port operations in Nigeria.

The leader of the delegation Omatseye informed the NIMASA management that the port reform conference is intended to bring together all agencies connected with port administration to create a seamless business environment through an acceptable template with defined timelines.

Also speaking, Chukwujama told the NIMASA management that though a number of positive developments have been recorded in the maritime sector since 2006, there was still room for improvement.

He maintained that the forum was geared towards Buhari’s quest for accelerated economic growth through increased revenue and job creation.

The conference is billed to hold on March 30, 2017 in Lagos, with the theme” “Making Nigerian Sea Ports World Class.”

I-Life Enters Market with New Laptop Raheem Akingbolu

UNITY BANK HOSTS COMPLIANCE OFFICERS

L-R: Okibe Attah-EcoBank, Shola Phillips-Citi Bank, Opeyemi Adojutelegan-Stanbic IBTC, Unity Bank Executive Director, North and representative of the MD/CEO, Abubakar A. Bello, Umar Mohammed Adamu-Unity Bank and Franklyn Bennie-UBA after the Chief Compliance Officers’ meeting at Unity Bank Head Office in Lagos…recently

Bristow Introduces Special Schedule Flight Service Chinedu Eze Bristow Helicopters has introduced special fixed wing flight operations between Lagos, Port Harcourt and Abuja for high net-worth customers, using Embraer airplanes.

The high brow service targets oil and gas companies, business executives from other sectors and top government functionaries who may not want to face the uncertainties of flight cancelations and delays associated with commercial flights.

The company has also provided a solution to those who may not want to ply the Kaduna-Abuja highway when the Nnamdi Azikiwe International Airport, Abuja would be closed for the rehabilitation of the runway by providing helicopter shuttle service from the Kaduna airport to the Abuja airport, as the air traffic control and other

services would be in place when the runway is closed for major repairs.

Speaking during the tour of the company’s facilities at the Lagos and Abuja airports, the Base Manager in charge of the operations, Ayo Stilo Oni, said the service is to fill a niche in the air travel market, whereby passengers get business class service in a somewhat all business class flight without uncertainties and stress.

“Usually you have people with private jets which are meant for the owners and business associates. But there is a market for high-end people who may not have private jets but can afford high-class flight service. These are our potential customers. This is a market that is not saturated in the industry.

“When you provide this kind of service, which is made available to certain people, it

will bring people away from the norm to join us,” Oni said.

He disclosed that Bristow already has two operating aircraft for the service, Embraer 135 and is expecting two bigger aircraft, Embraer 145 with more seats to meet the growing demand for this special flight service.

“We are adding two more aircraft, Embraer 145 which are bigger with more seats. We are trying to open the service to people. We have the reservation desk and people who want it would contact us. We do not collect cash. Passengers have to make a reservation with an agent or the company’s agent,” Oni said.

He recalled that Bristow started operating Lagos to Port Harcourt with initially few passengers but that route has blossomed and he hoped that within short space of time, the Lagos, Abuja route would

grow, as more people would yearn for the specialized service.

“We are expecting a growth with this new operation. The service we offer is exceptional and it also comes with a good price and our flight is almost like a business class. We are targeting banks, CEOs, managers and fast moving companies who want to get to Abuja on time and arrive in Lagos on time,” he said.

On the Abuja airport closure, Oni said: “We have gone to Kaduna and other neighbouring airports. We will make a choice of where to go that will be convenient and safe for our passengers and we will transport the passengers for a small fee, using helicopters from the location to Abuja. We will use our helicopter to transfer passengers from Kaduna or any other location,” adding that the chopper service could be extended to other passengers.

A new brand of laptop, described as the world’s slimmest laptop which weighs 1.53kg and 16.2mm thin, ZED Air has been launched in Nigeria. The launch, which was preceded by a weeklong teaser campaign; “What can be described as Thin, Light, and Powerful?’ was held in Lagos.

Speaking during the unveiling, Associate Vice President, I-Life USA, Mr. Eric Bhagwat, said the new brand is from the stables of I-Life Technology Inc., a US-based manufacturer of innovative range of computing devices. He said ZED Air is a class of laptop which combines sleekness, lightness and affordability packed into a single robust and scalable functional unit designed for the smart generation.

“Engineered with a technology that is beyond imagination, ZED AIR is renowned in over 70 countries across North America, Europe, and the Middle East. “We are excited to introduce this laptop which is thinner than a wallet therefore a perfect companion for the upwardly mobile worker, entrepreneur, and student alike.

The laptop comes bundled with the latest Windows 10 OS and internal circuitry and long lasting battery life- up to 8 hours that ensures performance meets endurance.” Bhagwat explained.

He further stated that the

ZED AIR is the flagship model of a range of the ZED brand of laptops. Two other modelsZED AIR Mini and ZED AIR Pro were introduced alongside to serve the growing demands for sleek, light, scalable yet affordable laptops by millions of Nigerians whose work spaces are not limited by a location and are constantly mobile. He added that the ZED AIR laptops will in no time be available Pan Nigeria through a distribution network organized by I-Life Nigeria trading partner, Redington Nigeria Ltd and its sole distributor in Nigeria, Lawnick Computer Concepts Corroborating with his partner, the Country Head, West Africa at Redington, Mr. David Tenali, said that, “the vast majority of active computer users are mostly those whose work lifestyle is characterised with constantly being mobile. Their need for a computing device that is sleek, light, scalable and which supports their ‘Life-on-the Go’ at an affordable cost in view of the current economic recession is what has inspired us to introduce ZED AIR. Although, there are rival brands which may have been in the market offering these qualities for a price beyond the reach of majority of Nigerians, ZED AIR is introduced today as the final word in computing in that sleekness doesn’t have to command a price too high to leave consumers aspirational and unable to afford the product.”

30

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD

PERSPECTIVE

Heritage Bank Deepens MSME Financing A recent reorganisation in the Heritage Bank, leading to the promotion of many staff and right-sizing of others, argues Kareem Adebisi-Ojo, is certain to help reposition the bank in financing micro, small and medium enterprises If the forecasts for the banking sector this year by seasoned financial sector analysts and the series of assessments by the Central Bank of Nigeria (CBN), are to be believed, 2017 is likely to open new, albeit positive, vistas for banks in Nigeria.

Experts insist, however, that even when the indicators are promising, the nation’s banks must opt for serious internal operational reengineering in order to harness the accruable opportunities in the evolving Nigerian economy this year.

For nearly two years, the Federal Government’s strict implementation of the Treasury Single Account (TSA) denied the sector one of its most reliable sources of funds – public sector, estimated at between N2 to N3 trillion or 10-15 percent of banking deposits, leaving virtually all the banks in the country desperately exploring and scouring for alternative sources of deposits to meet their obligations to their customers and shareholders.

It is further estimated that the public sector funds withdrawn from commercial banks in the country between 2015 and first quarter of 2016 represent about 20 per cent of deposits of all the banks that is roughly put at about N17.5 trillion (as at the end of the first quarter of 2015) and 13 per cent of the aggregate assets of the industry which stood at N27.4 trillion during the same period. Worse still, the timing of the withdrawal of the public sector funds from commercial banks coincided with when the economy was reeling from drastic fall in oil prices and attendant foreign exchange crisis.

Beyond exploring alternative sources of deposits, banks in the country have since the first quarter 2016 resorted to series of cost cutting measures, including disengaging percentages of their workforce. The difficulty experienced by customers in withdrawing cash from ATMs and across the counters in all the banks in the country without exception, during the yuletide season, was testimony to the widespread nature of the challenge the banks faced for most of last year. The country’s slide into recession in the second quarter of 2016 also made things difficult for the banking sector.

Interestingly however, in spite of the odds the sector had to contend with last year, the relatively young Heritage Bank remained focused and even resisted the temptation of laying off staff even when the much bigger and older banks were retrenching hundreds of their workforce. Records at the CBN indicate that in 2016, over 3,000 bank workers were disengaged by commercial banks in Nigeria.

A few banks even took the step of reducing the salaries of their staff. Heritage Bank was not part of that rave of downsizing for most of 2016 even when the bank had valid reasons to do so given the sheer number of workers it inherited from Enterprise Bank when it acquired the financial

institution from AMCON in 2014.

For most of last year, Heritage Bank was busy redefining and redirecting its energies to areas of priority to mitigate the challenges engendered by the withdrawal of public sector funds from commercial banks by the Federal Government as well as the dip in the global oil market. “Don’t forget also that just before the withdrawal of the public sector funds and the dip in earnings from oil, Heritage Bank had just acquired another commercial bank, Enterprise Bank. So for most of last year, it was important we properly reengineer our operations and decide the most effective ways to deploy our workforce and of course decide what options for those of them we believe will not fit into the new direction or aspiration of the bank,” confided a management staff of the bank.

In a bold bid to redress current challenges, Heritage Bank has resoundingly diversified into several other areas but significantly, the bank now leads the charge in Agriculture financing in the country. In the last one year alone, the bank has demonstrated its commitment to the development of Nigeria’s agricultural sector with its rich portfolio of allocation to the sector. Among several other things, Heritage Bank currently works with players in the rice value chain to effectively tackle identified bottlenecks with the aim of helping the nation achieve its 2020 production target of

7.7million metric tons of milled rice or 10.8million metric tons of paddy rice at milling recovery ratio of 62 per cent.

Interestingly, the CBN has found in Heritage Bank a reliable partner in the implementation of various interventions designed to boost the productive sectors of the economy. Speaking recently at the third edition of Rice Investment Summit in Abuja, Olugbenga Awe, Group Head, Agriculture Finance at Heritage Bank said the bank will especially focus on directing its stream of support to rice farmers and agribusinesses in the rice value chain using the platform of CBN’s popular Anchor Borrowers’ Programme, ABP. The bank is currently supporting hundreds of smallholder farmers in various communities in Kaduna and Zamfara States engaged in the rice value-chain through the ABP It could also be recalled that in the last quarter of 2016, Heritage Bank granted a N2 billion loan to Triton Aqua Africa Limited, TAAL for setting up of fishery production chain. The facility granted in collaboration with the CBN under the Commercial Agriculture Credit Scheme was expected to, in the short term, help Triton double its current production capacity of 25,000 metric tonnes with projection that the company will scale up its production to 100,000 metric tonnes in five years through a strategy of backward integration of increasing local production to reduce importation of fish.

The partnership between the bank and Triton Farms would help boost local production, conserve scarce foreign exchange and enhance food security, and of course facilitate the creation of hundreds of new jobs, which are the ultimate aims of the present administration’s diversification agenda. The bank had already indicated that it would even deepen such supports for agribusinesses in 2017.

Truly, Heritage Bank has found its niche hence the compelling need for staff realignment and operational fine-tuning. The recent restructuring exercise in the bank led to the promotion of several staff members who were saddled with higher responsibilities in line with the bank’s determination to deepen its core mandate areas. Of course, inevitably, the restructuring led to the disengagement of some members of the workforce from the services of the bank.

The management of Heritage Bank has since explained that the restructuring followed a review of senior staff bench strength and industry standards and realignment of certain roles bank-wide.

The restructuring, the bank said had become inevitable, “being part of the bank’s strategic plan to keep a vibrant workforce that will enable it achieve its vision of being the most innovative bank of choice in service delivery, superior returns to its various stakeholders, and to also contribute to the growth of the Nation’s economy.” Even then, Heritage Bank has been roundly

commended for giving the disengagement process a human face.

The bank adequately compensated those who were affected by the exercise. This much was confirmed by the President, Association of Senior Staff of Banks, Insurance and Financial Institutions (ASSBIFI), Mrs. Oyinkan Olasanoye, who affirmed that the association was, as far back as November 2016, duly notified of Heritage Bank’s intention to carefully disengage some members of staff and that the association had in fact signed an agreement with the management of the bank on how the disengagement exercise should be executed.

This trend set by Heritage Bank, industry sources say, is both novel and commendable.

“The restructuring processes are meant to up-scale this institution’s activities in the strategic sectors of the economy as well as concentrating on deploying our expertise and competences to specific business areas where we enjoy comparative business advantage,” the bank said.

In essence, Heritage Bank has upped the ante in the crucial area of service delivery in the nation’s banking sector. There is excitement in the air in all the branches of the bank as the reinvigorated workforce is now poised to firmly position the bank as the nation’s leading financier of Micro, Small and Medium Enterprises.

Adebisi-Ojo, a financial sector analyst is based in Abuja

31

T H I S D AY • MONDAY, JANUARY 30, 2017

BUSINESSWORLD

PERSPECTIVE

Import Tariffs, Excise Duties and FG’s Revenue Projections In this article, Akeem Ogunlade argues that there should be a balance between import tariffs and excise duties Bombast is regarded as one of the best ways to contribute to debate about national development in Nigeria. It appears people generally need to grandstand and possibly literarily make outlandish claims and assumptions in order to be heard. Or else how do you explain the recent import tariff increase on some goods, which Nigeria has capacity to produce, and some NGOs berating the government’s fiscal policy, calling for an increase in excise duties on same goods produced in Nigeria? If the government accedes to their demand of 150 per cent hike in excise duties on tobacco produced in Nigeria, it will translate to imported tobacco products becoming cheaper than the local alternatives. That will be a recipe for disaster.

Minister of Finance, Kemi Adeosun’s announcement of import tariff hike on selected consumables and luxury products such as rice, salt, sugarcane and SUVs, boats, sports cars and tobacco products was welcomed as a complement to the Central Bank of Nigeria(CBN)’s forex prohibition list. In an economic recession, what better way to quickly halt the downturn and ensure the country’s production base is not damaged? It is to impose higher taxes on lifestyle and luxury goods, while encouraging the local production of staples and other consumables particularly those that the country has comparative advantage in producing. It is a policy thrust that policymakers struggle with all the time. Do we allow cheap imports into the country to halt spiralling prices of goods, thereby destroying local jobs and making the economic difficulties worse? Or hike import tariffs to protect local industries and jobs while ensuring the long term growth and prosperity of the country?

The case of tobacco products is even more complicated.

Cigarette smoking, being a lifestyle choice, is dependent on the consumer’s choice.

As studies have shown, the higher the retail price, the more likely smokers will search for cheaper alternatives. And the alternatives are cheaper because the products were most likely smuggled or are illicit. In both scenarios, purveyors of the illicit or smuggled products must have avoided paying statutory duties altogether, which is a loss to governments and the unregulated nature of the products make them more harmful to the consumer.

Indeed, the World Customs Organisation, whose members manage 98 per cent of global trade, in its study tiled, The linkage between tax burden and illicit trade of excisable products, summarised thus: “Illicit trade in tobacco is now a global phenomenon. Experience across both advanced and developing economies demonstrates that the key economic drivers influencing

Adeosun the illicit tobacco trade are excessive tax levels, usually resulting in a sharp decline in cigarette affordability, compounded by weak or no enforcement of existing laws and organised crime’s willingness to supply given the opportunity to gain large profits from tax avoidance.

“The clear implication is that recommendations for a ‘one size fits all’ global excise tax incidence target of 70 percent, as proposed by the World Health Organization (WHO), would be very destabilising if implemented. Excise incidence is flawed as the basis for setting tax policy, as the WHO has acknowledged in its own country research.

International experience, including that of the European Union (EU) accession countries, clearly shows that countries which have implemented the sort of substantial tax increases that the WHO’s proposals would imply

Colonel Hameed Ali (rtd) have seen a sharp rise in illicit trade in cigarettes, damaging the long-term tax base and undermining public health objectives.”

The World Customs Organisation acknowledged that illicit trade in cigarettes is more rampant in developing countries because of the weak law enforcement environments and in the case of Nigeria, large, porous borders. Nigeria’s West African neighbour, Ghana, is currently experiencing a nightmare combating illicit trade. When the country imposed high taxes on certain categories of products and especially high duties on cigarettes produced in Ghana in order to meet its revenue projection, smuggling reached an all time high last year. The head of the country’s revenue board was left lamenting that the revenue projection was not achieved as a result of smuggling, which

also led to the closure of tobacco factories in Ghana.

Policymakers do not have very many pleasant choices when deciding on how best to regulate the tobacco industry. Since it is generally agreed that smoking is a lifestyle choice which cannot be legislated out of existence, the next step is examining whether to go with the puritanical zeal of the anti-tobacco groups and close local tobacco factories. If that is done, smugglers will fill the vacuum that the closure will create. If we then go with the demand of heavily taxing cigarettes produced in Nigeria, making it costlier than the imported variety, smokers will naturally make the shift to the imported variety, thereby leading to loss of market by local manufacturers, factory closures and consequent job losses.

As the World Customs Organisation pointed out in its

study, the best policy that has the potential to minimise illicit trade is to make importation of cigarettes unattractive as well as collaboration with Customs organizations in neighbouring countries and driving full enforcement of existing laws and prosecution of offenders. A careful balance between import tariff and excise duties is recommended. Beyond this, however, is engaging in impactful, mass communication targeted at young people below the legal age to smoke (in Nigeria, it is 18 years), discouraging them from picking up a cigarette etc. That, truly, is where the NGOs will be most relevant, not haranguing government over its policy choices. * Ogunlade is of the Centre for the Promotion of Enterprise and Business Best Practice, Wuse 2, Abuja.

32

T H I S D AY MONDAY JANUARY 30, 2017

T H I S D AY MONDAY JANUARY 30, 2017

33

34

T H I S D AY MONDAY JANUARY 30, 2017

T H I S D AY MONDAY JANUARY 30, 2017

35

36

MONDAY, JANUARY 30, 2017 • T H I S D AY

BUSINESS/MONEYGUIDE

Expert Urges Business Operators to Be Innovative Obinna Chima The Director General of the West African Institute for Financial and Economic Management (WAIFEM), Prof. Akpan Ekpo has advised operators of businesses in the country to seize the opportunity of the economic recession in Nigeria to be innovative.

He also urged them to explore and exploit government policies regarding agriculture and invest in made-in-Nigeria goods and services.

Ekpo, who said this in a keynote address he delivered at a roundtable conference organised by the Chartered Institute of Bankers in Nigeria (CIBN) on the 2017 Economic Outlook in Lagos recently, pointed out that if the objectives of the 2017 appropriation bill are met, the year would provide opportunities for businesses particularly large and medium-scale firms.

These objectives, according to him, would also allow for new domestic and foreign investors.

The federal government’s economic recovery and growth plan stresses five areas of immense importance to the private sector (businesses): macroeconomic stability, competitiveness, growth and diversification, social inclusion, governance and enablers. According to the federal government, the 2017 proposed budget estimates were designed to partner with the private sector to ensure the growth of the economy.

The objectives of the budget

indicate areas which should interest businesses in Nigeria: emphasis on critical on-going infrastructural projects such as roads, railways, power, ICT; using special economic zones and industrial parks as vehicles to fast track domestic economic activity for innovation and wealth creation; contributing to food security and creating a platform for agro-business; stablishing a Social Housing Fund, among others.

Therefore, the WAIFEM boss held the view that businesses in 2017 would be encouraged to remain afloat under the following conditions: better macroeconomic management, competitiveness, security, good governance, policy implementation, and infrastructural development He explained: “Businesses must design strategies to survive the recession. It is on record that small scale and medium-size businesses which depend on foreign exchange have closed shops; others have reduced costs particularly laying off workers, so as to survive the recession.

“Businesses need to explore and exploit the opportunities created by the government as a result of the recession. The government’s policy on diversification portends advantages in the areas of agriculture and agro-industries.

“The policy of buy made in Nigeria goods and services is another action in the right direction. The Nigerian economy is a large market and can absorb domestic production

of goods and services. Business should show interest in sectors with more local content to avoid the foreign exchange constraint.”

He held the view that the Nigerian economy would recover from the recession by the third quarter of 2017 if 80-85 per cent of the projects in the budget are implemented.

Furthermore, he predicted that there would be a positive but marginal growth in the Gross Domestic Product (GDP) thus ending the recession technically. However, he stressed that the structural problems of the economy would remain.

“In addition, the rising rate of unemployment would remain a challenge. Therefore, it is important that government takes seriously the diversification of the economy particularly the process(es) of industrialisation.

Businesses would expect a friendly environment conditioned by better macroeconomic management reflecting moderate rate of inflation, low lending rates, better infrastructure especially power, good governance, security, among others.

“The challenge would remain access to foreign exchange particularly those firms that depend on foreign exchange to purchase raw materials and equipment. Economic recession is a permanent feature in market driven economies like Nigeria. What is required is robust macroeconomic management to predict recessions and minimise its adverse effects on businesses and other economic agents,” Ekpo stressed.

W’Bank: Industrial Commodities Prices to Surge in 2017 The World Bank has projected strong gains for industrial commodities such as energy and metals in 2017, due to tightening supply and strengthening demand.

In its January 2017 Commodity Markets Outlook, the World Bank h steady its crude oil price forecast for the year at $55 per barrel, a 29 percent jump from 2016. The energy price forecast assumes members of the Organization of the Petroleum Exporting Countries (OPEC) and other oil producers will partially comply with an agreement to limit production after a long

period of unrestrained output.

The Bank raised its metals price forecast to an increase of 11 percent from the four percent rise anticipated in its October outlook on further tightening of supply and strong demand from China and advanced economies.

“Prices for most commodities appear to have bottomed out last year and are on track to climb in 2017,” the Senior Economist and lead author of the Commodity Markets Outlook, John Baffes said.

“However, changes in policies could alter this path.”

Agriculture prices as a whole was expected to rise

by less than one percent in 2017. Small increases were anticipated for oils and oilseeds and raw materials, but grains prices are forecast to drop almost three per cent on an improved supply outlook.

Precious metals prices were seen declining seven per cent as benchmark interest rates rise and safe-haven buying slows.

“Investment weakness – both public and private – hinders a range of activity in commodityexporting emerging market and developing economies,” Director of the World Bank’s Development Prospects Group, Ayhan Kose said.

AMCON CEO Wins Award The Managing Director/ Chief Executive Officer, Asset Management Corporation of Nigeria (AMCON), Mr. Ahmed Kuru has emerged winner of ‘African Best CEO of the Year’ at the second edition of the National Development Forum (NDF)/award ceremony organised by African Development Magazine.

The theme for this year’s lecture, which was delivered by the Vice President Prof.

Yemi Osinbajo SAN, recently, was entitled “The corruption conundrum: How to lead proficiently with integrity in Nigeria.”

Explaining the criteria for the selection of Kuru at the event, the organiser of the award ceremony and Publisher/CEO

of the media outfit, Mr. Mr. Ayo Ilesanmi, stated that the AMCON boss was adjudged winner by the panel of judges after a careful evaluation of the difficult assignment he does at AMCON and the fact that he goes about it in the way that supports the ongoing fight for corruption in the country.

He said looking through the ministries, departments and agencies (MDAs) of government in the country, the assignment of Kuru looked scary and daunting because it entailed chasing dangerous debtors that have borrowed money from tax payers to fund their lavish lifestyle while deliberately refusing to pay back, which he argued has contributed to cripple the

Nigerian economy.

Kuru, in his acceptance speech said he was humbled by the fact that NDF appreciated the challenging job of recovery money for Nigeria.

He said the award came to him as a surprise because the role of AMCON was initially misunderstood by members of the public, especially when the corporation started closing in on a good number of its recalcitrant debtors.

Kuru who was represented at the event by Head of Corporate Communications, AMCON, Mr. Jude Nwauzor, thanked the organisers for the honour and promised that the award would reenergize Kuru and AMCON to pursue the corporation’s mandate without fear or favour.

Broad street

MARKET INDICATORS MONEY AND CREDIT STATISTICS

(MILLION NAIRA)

OCTOBER 2016 Broad Money (M2)

22,275,512.54

-- Narrow Money (M1)

10,023,616.69

---- Currency Outside Banks

1,521,797.77

---- Demand Deposits

8,501,818.92

-- Quasi Money

12,251,895.85

Net Foreign Assets (NFA)

7,612,243.68

Net Domestic Assets(NDA)

14,654,268.86

-- Net Domestic Credit (NDC)

26,774,684.47

---- Credit to Government (Net)

3,705,049.41

---- Memo: Credit to Govt. (Net) less FMA

6,242,932.95

---- Memo: Fed. and Mirror Accounts (FMA)

-2,537,883.55

---- Credit to Private Sector (CPS)

23,069,635.07

--Other Assets Net

-12,120,415.62

Reserve Money (Base Money)

6,580,594.55

--Currency in Circulation

1,825,664.51

--Banks Reserves

4,415,126.62 • Source - CBN

MANAGED FUNDS Month

December 2016

Inter-Bank Call Rate

10.39

Minimum Rediscount Rate (MRR) Monetary Policy Rate (MPR)

14.00

Treasury Bill Rate

13.96

Savings Deposit Rate

4.18

1 Month Deposit Rate

8.53

3 Months Deposit Rate

8.80

6 Months Deposit Rate

10.23

12 Months Deposit Rate

10.76

Prime Lending rate

17.09

Maximum Lending Rate

28.55 • Monetary Policy Rate - 13%

OPEC DAILY BASKET PRICE AS AT 26 JANUARY 2017 The price of OPEC basket of thirteen crudes stood at $52.91 a barrel on Thursday, compared with $52.14 the previous day, according to OPEC Secretariat calculations. The new OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Rabi Light (Gabon), Minas (Indonesia), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).

SOURCE: OPEC headquarters, Vienna

37

MONDAY, JANUARY 30, 2017 • T H I S D AY

MARKET NEWS

CIS President Wants Strict Implementation of 2017 Budget Goddy Egene and Nosa Alekhuogie The President of the Chartered Institute of Stockbrokers (CIS), Mr. Oluwaseyi Abe has called for strict implementation of 2017 federal budget as part of efforts to fast-track the recovery of the economy.

The National Assembly is currently looking at the bud-

get and it is expected that it would be passed early enough for President Muhammadu Buhari to sign it into law for implementation.

While the passage of the budget and its eventual signing

by President Buhari and being awaited, Abe said it should be well implemented in order to get the economy back on the track.

T H E

Speaking to journalists in Lagos, the CIS president also canvassed a renewed policy of investment in infrastructure and abrogation of multiple taxation, taming of inflation and interest rates among others to create an enabling environment for economic activities to thrive in Nigeria.

“The successful implementation of the federal government’s

N I G E R I A N

2017 Budget of Recovery and Growth is critical. We believe that the economic fundamentals of Nigeria are still strong, while we have enjoyed political stability for a while” he stated.

According to him, the first step is a strict execution of the budget in order to get out of recession, adding that there must be reduction in interest rates to boost the real sector

STO C K

and empower the populace with more investible funds.

“It is good that the government has decided to spend more on infrastructure as a necessary measure for long term and sustainable economic development. Besides, the business terrain must be more investor- friendly for micro small and medium scale enterprises (MSME) to

E XC H A N G E

flourish, which means the capital market itself must be developed to assist local entrepreneur,” he said However, Abe who stated that fundamentals of the Nigeria economy remained strong and competitive, regretted that the country had been weak in infrastructural development, thereby limiting the revenue base.

38

mondAY, jAnuArY 30, 2017 • T H I S D AY

MARKET NEWS

CWG Makes More Investment to Addresses Customers’ Demand Goddy Egene Information technology integration company, CWG Plc is currently putting more investment into research & development (R&D), innovation and market survey to address the growing demand from customers for digital technology.

Business Director, Telco at CWG Plc, Mr. Adewale Adeyipo, who disclosed this in an interview in Lagos, said CWG took the decision so

it can further develop ‘more specific technology solutions’ that enable growth.

“What we are doing in CWG today is researching challenging areas in the general environment and the ever evolving global trends, developing many techsolutions that then address specific market demands.

Customers’ demand for digital technology has also helped us because we have often found out that even before you produce anything,

A Mutual fund (Unit Trust) is an investment vehicle managed by a SEC (Securities and Exchange Commission) registered Fund Manager.

Investors with similar objectives buy units of the Fund so that the Fund Manager can buy securities that willl generate their desired return.

An ETF (Exchange Traded Fund) is a type of fund which owns the assets (shares of stock, bonds, oil futures, gold bars, foreign currency, etc.) and divides ownership of those assets into shares. Investors can buy these ‘shares’ on the

your customers are already demanding for it,” he noted.

Adeyipo, who revealed that the current forex challenges has forced many companies, including CWG to develop its in-house internet protocols (IPs) to produce solutions locally but with global consumption in mind.

He added that the company’s aim is to enable businesses to grow, stressing that the more they grow, the more they contribute and impact on the economy; which is a

floor of the Nigerian Stock Exchange.

A REIT (Real Estate Investment Trust) is an investment vehicle that allows both small and large investors to part-own real estate ventures (eg.

Offices, Houses, Hospitals) in proportion to their investments. The assets are divided into shares that are traded on the Nigerian Stock Exchange.

GUIDE TO DATA: Date: All fund prices are quoted in Naira as at 26-Jan-2017, unless otherwise stated.

focal point we should all aim for by and large.

“By projection, we are expecting that with our little contribution across the different verticals of the economy, we would experience significant contribution of the ICT industry to the entire gross domestic product (GDP) in the next five years,” he said.

He however, posited that CWG’s immediate plan in further deploying specific technology solutions was

aimed at the Nigerian market, by extension Africa and onwards to the rest of the globe. Key to achieving this, however, is data aggregation, which he said the company is presently building capacity for to enable CWG make it available for global consumption.

“What we are doing will surely get beyond the shores of Nigeria because we are in a global village and our services are cloud based, which are accessible everywhere.

The only thing we could say is that we would finetune most of it to suit our market. We are in a world of customisation, if we get into a new market today and we find out what the customers need, all we will do is to customize the solutions to suit the customers in whatever capacity they need it. With all of these, I believe in a few years, CWG’s technology solutions would be on the world map, doing great,” Adeyipo said.

Offer price: The price at which units of a trust or ETF are bought by investors.

Bid Price: The price at which Investors redeem (sell) units of a trust or ETF. Yield/Total Return: Denotes the total return an investor would have earned on his investment. Money Market Funds report Yield while others report Year- to-date Total Return.

NAV: Is value per share of the real estate assets held by a REIT on a specific date.

DAILY PRICE LIST FOR MUTUAL FUNDS, REITS and ETFS MUTUAL FUNDS / UNIT TRUSTS AFRINVEST ASSET MANAGEMENT LTD Web: www.afrinvest.com; Tel: +234 1 270 1680 Fund Name Bid Price Afrinvest Equity Fund 131.37 Nigeria International Debt Fund 219.07 ALTERNATIVE CAPITAL PARTNERS LTD Web: www.acapng.com, Tel: +234 1 291 2406, +234 1 291 2868 Fund Name Bid Price ACAP Canary Growth Fund 0.70 AIICO CAPITAL LTD Web: www.aiicocapital.com, Tel: +234-1-2792974 Fund Name Bid Price AIICO Money Market Fund ARM INVESTMENT MANAGERS LTD Web: www.arm.com.ng; Tel: 0700 CALLARM (0700 225 5276) Fund Name ARM Aggressive Growth Fund ARM Discovery Fund ARM Ethical Fund ARM Money Market Fund AXA MANSARD INVESTMENTS LIMITED Web: www.axamansard.com; Tel: +2341-4488482 Fund Name AXA Mansard Equity Income Fund AXA Mansard Money Market Fund CHAPELHILL DENHAM MANAGEMENT LTD Web: www.chapelhilldenham.com, Tel: +234 461 0691 Fund Name Nigeria Global Investment Fund Paramount Equity Fund Women's Investment Fund FBN CAPITAL ASSET MANAGEMENT LTD Web: www.fbnquest.com; Tel: +234-81 0082 0082 Fund Name FBN Fixed Income Fund FBN Heritage Fund FBN Money Market Fund FBN Nigeria Eurobond (USD) Fund - Institutional FBN Nigeria Eurobond (USD) Fund - Retail FBN Nigeria Smart Beta Equity Fund

100.00

aaml@afrinvest.com Offer Price Yield / T-Rtn 131.41 3.25% 219.17 1.64% info@acapng.com Offer Price Yield / T-Rtn 0.70 -0.49% ammf@aiicocapital.com Offer Price

Yield / T-Rtn

100.00

17.67%

enquiries@arminvestmentcenter.com Bid Price 12.52 289.85 22.37

Offer Price 12.90 298.59 23.05

Yield / T-Rtn 1.39% 0.93% 0.14%

1.00

1.00

17.11%

investmentcare@axamansard.com Bid Price 106.25

Offer Price 107.12

Yield / T-Rtn 1.17%

1.00 1.00 16.58% investmentmanagement@chapelhilldenham.com Bid Price 2.15 9.44 84.74

Offer Price Yield / T-Rtn 2.20 -1.14% 9.68 0.84% 86.91 0.17% invest@fbnquest.com

Bid Price 1,096.93 111.21 100.00 $104.29 $103.52

Offer Price 1,098.16 111.98 100.00 $104.52 $103.74

Yield / T-Rtn 0.60% -0.33% 15.18% 0.01% -0.05%

114.81

116.36

1.92%

FIRST CITY ASSET MANAGEMENT LTD Web: www.fcamltd.com; Tel: +234 1 462 2596 Fund Name Bid Price Legacy Equity Fund 0.95 Legacy Short Maturity (NGN) Fund 2.60 FSDH ASSET MANAGEMENT LTD Web: www.fsdhaml.com; Tel: 01-270 4884-5; 01-280 9740-1 Fund Name Bid Price Coral Growth Fund 2,188.74 Coral Income Fund 2,132.36 INVESTMENT ONE FUNDS MANAGEMENT LTD Web: www.investment-one.com; Tel: +234 812 992 1045,+234 1 448 8888 Fund Name Bid Price Abacus Money Market Fund 1.00 Vantage Balanced Fund 1.69 Vantage Guaranteed Income Fund 1.00

fcamhelpdesk@fcmb.com Offer Price Yield / T-Rtn 0.97 2.13% 2.60 1.01% coralfunds@fsdhgroup.com Offer Price Yield / T-Rtn 2,214.17 -0.93% 2,132.36 1.34% enquiries@investment-one.com Offer Price 1.00 1.71 1.00

Yield / T-Rtn 16.72% 0.75% 15.66%

LOTUS CAPITAL LTD fincon@lotuscapitallimited.com Web: www.lotuscapitallimited.com; Tel: +234 1-291 4626 / +234 1-291 4624 Fund Name Bid Price Offer Price Yield / T-Rtn Lotus Halal Investment Fund 1.01 1.02 0.80% Lotus Halal Fixed Income Fund 1,018.02 1,018.02 0.64% MERISTEM WEALTH MANAGEMENT LTD info@meristemwealth.com Web: www.meristemwealth.com ; Tel: +234 1-4488260 Fund Name Bid Price Offer Price Yield / T-Rtn Meristem Equity Market Fund 9.88 9.96 2.27% Meristem Money Market Fund 10.00 10.00 14.65% PAC ASSET MANAGEMENT LTD info@pacassetmanagement.com Web: www.pacassetmanagement.com/mutualfunds; Tel: +234 1 271 8632 Fund Name Bid Price Offer Price Yield / T-Rtn PACAM Balanced Fund 1.06 1.07 0.38% PACAM Fixed Income Fund 10.38 10.55 0.42% PACAM Money Market Fund 10.00 10.00 11.56% SCM CAPITAL LIMITED info@scmcapitalng.com Web: www.scmcapitalng.com; Tel: +234 1-280 2226,+234 1- 280 2227 Fund Name Bid Price Offer Price Yield / T-Rtn SCM Capital Frontier Fund 110.62 111.50 2.21% SFS CAPITAL NIGERIA LTD investments@sfsnigeria.com Web: www.sfsnigeria.com, Tel: +234 (01) 2801400 Fund Name Bid Price Offer Price Yield / T-Rtn SFS Fixed Income Fund 1.25 1.25 0.74% STANBIC IBTC ASSET MANAGEMENT LTD assetmanagement@stanbicibtc.com Web: www.stanbicibtcassetmanagement.com; Tel: +234 1 280 1266; 0700 MUTUALFUNDS Fund Name Bid Price Offer Price Yield / T-Rtn Stanbic IBTC Balanced Fund 1,817.05 1,827.83 -0.76% Stanbic IBTC Bond Fund 151.94 151.94 -1.31% Stanbic IBTC Ethical Fund 0.76 0.77 -0.65% Stanbic IBTC Guaranteed Investment Fund 187.43 187.43 0.29% Stanbic IBTC Iman Fund 130.44 132.20 0.50% Stanbic IBTC Money Market Fund 100.00 100.00 17.53% Stanbic IBTC Nigerian Equity Fund 7,511.48 7,616.22 -0.83% UNITED CAPITAL ASSET MANAGEMENT LTD unitedcapitalplcgroup.com Web: www.unitedcapitalplcgroup.com; Tel: +234 803 306 2887 Fund Name Bid Price Offer Price Yield / T-Rtn United Capital Balanced Fund 1.15 1.16 10.75% United Capital Bond Fund 1.25 1.25 19.49% United Capital Equity Fund 0.63 0.64 -6.18% United Capital Money Market Fund 1.00 1.00 13.00% ZENITH ASSETS MANAGEMENT LTD info@zenith-funds.com Web: www.zenith-funds.com; Tel: +234 1-2784219 Fund Name Bid Price Offer Price Yield / T-Rtn Zenith Equity Fund 9.89 10.06 2.68% Zenith Ethical Fund 11.21 11.35 2.87% Zenith Income Fund 16.89 16.89 2.23%

REITS

NAV Per Share

Yield / T-Rtn

11.41 124.10

1.01% 0.10%

Bid Price

Offer Price

Yield / T-Rtn

8.30 74.64

8.40 76.04

-5.44% -1.50%

Fund Name FSDH UPDC Real Estate Investment Fund SFS Skye Shelter Fund

EXCHANGE TRADED FUNDS

Fund Name Lotus Halal Equity Exchange Traded Fund Stanbic IBTC ETF 30 Fund

VETIVA FUND MANAGERS LTD Web: www.vetiva.com; Tel: +234 1 453 0697

Fund Name Vetiva Banking Exchange Traded Fund Vetiva Consumer Goods Exchange Traded Fund Vetiva Griffin 30 Exchange Traded Fund Vetiva Industrial Goods Exchange Traded Fund Vetiva S&P Nigeria Sovereign Bond Exchange Traded Fund

funds@vetiva.com Bid Price

Offer Price

Yield / T-Rtn

2.44 5.66 11.77 13.83 131.04

2.48 5.74 11.87 14.03 133.04

-11.07% -19.38% -1.89% -13.21% 0.89%

The value of investments and the income from them may fall as well as rise. Past performance is a guide and not an indication of future returns. Fund prices published in this edition are also available on each fund manager’s website and FMAN’s website at www.fman.com.ng. Fund prices are supplied by the operator of the relevant fund and are published for information purposes only.

T H I S D AY MONDAY JANUARY 30, 2017

39

40

MONDAY, JANUARY 30, 2017 • T H I S D AY

CITYSTRINGS

Acting Features Editor: Charles Ajunwa Email charles.ajunwa@thisdaylive.com

A Modern Abattoir for Ondo The over 33-year-old dream of Ondo State to have a modern abattoir became a reality recently with the inauguration of a N528 million semi-mechanised facility in Akure, writes James Sowole

Mimiko (middle) inaugurating the abattoir, flanked by the Afenifere leader, Chief Ayo Adebanjo (left) and Deputy Governor, Alhaji Lasisi Oluboyo (right), and others

I

t is an established fact that meat is a disease conveying agent and consumption of meat processed under unhygienic condition is responsible for certain diseases being suffered by human beings. Apart from the unhygienic conditions under which many meat being consumed were processed, cattle slaughtered and sold to unsuspecting members of the public in many cases, are not healthy.

However, due to lack of necessary control and due to lack of modern processing facilities, unwholesome meat ended up on the table of many Nigerians.

The need to control the traditional method of meat slaughtering and processing, had remain a mirage due to the huge capital that is needed to build modern facilities and many instances government that is expected to provide funds for the building of these facilities failed to do so due to lack of vision and political will.

Therefore, the realisation of the need to reduce the consequences of consumption of unsafe meat and improve the capacity of stakeholders in the business of meat processing may have informed the action of the Ondo State Government under the administration of Dr. Olusegun Mimiko to take the bull by the horns and revisited the over 33 years old dream of the Sunshine State to have a modern abattoir in the state created in 1976.

The over 33-year-old dream finally became a reality on Thursday, January 27 with the inauguration of the ultra-modern semi-mechanised abattoir at Sango in Akure North Local Government at a ceremony witnessed by various stakeholders.

Giving the history of the project, the

Permanent Secretary in the Ministry of Agriculture, Mr. Alex Aragbaye said the project was first conceived in 1983 with the acquisition of the 18 hectares of land for both the abattoir and the cattle market.

According to him, the cattle market took off in 1985 while the abattoir project could not take off due to paucity of fund at the time. Aragbaye said the contract for the project was awarded in 2002 but was terminated in 2004 due to the contractor’s non-performance.

The semi-mechanised abattoir facility is of international standard and will correct the present appalling situation of meat delivery. It will ensure that animals are slaughtered and processed under humane and hygienic conditions thus reducing the incidence of meat contamination at processing stage and consequently reduce incidence of meat-borne diseases in the state

The permanent secretary said due to the termination of the project, the entire land mass was abandoned and overtaken by bush following which there was massive encroachment by land speculators and illegal landlords.

He said Mimiko, who assumed office in February 2009 revisited the abattoir project in 2010 while the main contract was re-awarded in 2011 to SCNC Technologies Nig. Ltd and its other components to other reputable companies to deliver specific jobs.

“The semi-mechanised abattoir facility is of international standard and will correct the present appalling situation of meat delivery.

It will ensure that animals are slaughtered and processed under humane and hygienic conditions thus reducing the incidence of meat contamination at processing stage and consequently reduce incidence of meat-borne diseases in the state,” he said.

The permanent secretary said the facility has the capacity to process 200 heads of cattle in four hours.

The importance of the facility was better appreciated by some guests that were invited to grace the inauguration ceremony that attracted various stakeholders.

The elaborate inauguration ceremony has many dignitaries including Minister of Agriculture, Chief Audu Ogbeh represented by the Director of the Ministry, Mrs. Funke Omogbemi, leader of Afenifere, Pa Reuben Fasonranti, Chief Ayo Adebanjo, members of the State Executive Council and members of the State House of Assembly.

The Akure community and traditional institution was led by the Deji of Akureland, Oba Aladetoyinbo Ogunlade Aladelusi.

The hierarchy of professionals in the veterinary practice, was led by the President

Veterinary Council of Nigeria and Provost, Federal College of Animal Production and Health Vom, Jos Prof. Garuba Sharubutu.

Ogbeh in his goodwill message, declared that the newly inaugurated modern and semi-mechanised abattoir built by the Mimiko administration was in line with the vision of the federal government agriculture development.

Ogbeh who enjoined other states to emulate Ondo State, noted that the facility is of the world standard.

"I want to commend the resolve of the government to build an abattoir of the World Health Organisation’s (WHO) standard and challenge other state governments to consider emulating this great state. This infrastructure will no doubt hold the key in the provision of hygienically processed meat which will enhance good and healthy eating habits, job opportunities for those who will be directly involved as well as other markets which its presence will attract and develop," he said.

The minister described the project as timely particularly now that the nation is diversifying from a mono economy dependent on oil to other critical sectors like agriculture He said the new abattoir would enable the people of the state to process and eat hygienically processed meat as well as open doors for socio economic development of the state.

The minister who described the abattoir as fantastic development that will enable the livestock chain to add value to their basic products, noted that it signifies a departure from the old filthy abattoir that could possibly breed diseases and infections.

He said the project was not only a beacon of hope to the economy's revival but also an assurance to constant production of

41

MONDAY, JANUARY 30, 2017 • T H I S D AY

CITYSTRINGS

The disembarkment section at the abattoir

Inside the abatoir

The disembarkment section at the abattoir

Cattle at the abattoir

wholesome meat in Akure and its environ.

The Guest Speaker and President Veterinary Council of Nigeria Prof. Sharubutu declared that the facility would remove the state from those states with high incidence of predisposition factors for infections.

Sharubutu said Mimiko has set a standard and benchmark for the succeeding governors in the state and called on other governors in Nigeria to emulate him.

Addressing the gathering, Mimiko said the project, which was said to have been jinxed was executed in the resolve of the administration to curb the menace of supply of unwholesome meat processed in unhygienic environments.

According to the governor, an average of about 350 heads of cattle are slaughtered and processed for human consumption from about 70 unhygienic local slaughter slabs scattered around the state.

The governor, who said the project which cost the state about N528 million added that it was done in such a way that the traditional butchers would be involved in its operation

The abattoir building

so that they would not be thrown out of jobs.

Giving insight into the facilities in the abattoir and how the project was executed, Mimiko said it was divided into four lots.

The Lot 1 he said involved Construction of Slaughter Hall, Lairage, Office Complex, Public Toilet, Bone Yard, Manure Dump,

The abattoir facility with capacity to process 200 heads of cattle in four hours will be ceded to a concessionaire under an agreed memorandum of understanding (MOU) to ensure consistent profitability and sustainability

Incinerator, Underground Water Reservoir, Fence, Gate-House, Generator House and supply/installation of Abattoir Equipment and Laboratory Equipment/Reagents.

“LOT II involved supply of effluent waste disposing truck and meat delivery van with chilling equipment. LOT III: Electricity supply to the abattoir facilities with 500KVA dedicated transformer and a 60KVA soundproof generator while Lot IV involved drilling of boreholes and construction of overhead tanks for water supply.

“This abattoir complex was designed and completed with all necessary ancillary facilities to ensure steady and sustainable provision of wholesome meat to Akure and its environs as a first step. This is to be replicated in other major towns and villages of the state in due course.

“The abattoir facility with capacity to process 200 heads of cattle in four hours will be ceded to a concessionaire under an agreed memorandum of understanding (MoU) to ensure consistent profitability and sustainability,” he said.

The governor said the abattoir was built to ensure that the meat from the facility is fit for consumption by all human beings including Muslims.

Confirming that various stakeholders were carried along in the project in order to protect their interests, the President of the Nigeria Butchers Association, Ondo State branch, Mr. Asimiyu Tella, said the government through the project had liberated them from the traditional and laborious way of doing their jobs.

He therefore commended the government assuring that all members of his association would cooperate to ensure smooth running of the abattoir in various ways.

The Deji of Akure in his message appreciated Mimiko administration for turning the state capital to a standard that one can be proud of through various urban renewal and developmental projects.

Oba Aladelusi said the people would not know the value of what the Mimiko’s administration had done for the state until when he leaves office.

42

T H I S D AY MONDAY JANUARY 30, 2017

T H I S D AY MONDAY JANUARY 30, 2017

43

44

T H I S D AY MONDAY JANUARY 30, 2017

45

MONDAY JANUARY 30, 2017 • T H I S D AY

INTERNATIONAL

email:foreigndesk@thisdaylive.com

Trump Executive Order: US Judge Temporarily Halts Deportations A US judge has issued a temporary halt to the deportation of visa holders or refugees stranded at airports after President Donald Trump issued an order barring entry to them for 90 days.

The American Civil Liberties Union (ACLU) filed a case in response to order issued on Friday.

The White House said

109 people were detained, and around two dozen travellers are still being held.

Thousands of people gathered at US airports to protest against the move.

Mr Trump’s executive order halted the entire US refugee programme and also instituted a 90-day travel ban for nationals from Iran, Iraq,

Fear, Uncertainty and Small Acts of Rebellion at Dulles Ali worked for three years as an interpreter for the US Army and gained admittance to the US through a Special Immigrant Visa, reserved for Iraqi and Afghan nationals who face threats of violence for working for Americans during the conflicts there.

He now has a green card, and returned to Iraq for his father’s funeral, only to be delayed for hours for questioning at Dulles.

“We are not terrorists.

We are not bad people,” said Ali. “It’s so hard. I hope they will change their minds on this position.”

The court case was brought early on Saturday on behalf of two Iraqi men detained at JFK Airport in New York.

One worked for the US military in Iraq, while the other is married to a former US military contract employee.

Both have now been released. Another court hearing is set for February.

Lee Gelernt, deputy legal director of the Immigrants Rights Project, who argued the case in court said that some people had been threatened with being “put back on a plane” later on Saturday.

Mr Gelernt also said the judge had ordered the government to provide a list of names of those detained under the order.

Judges elsewhere in the US have also ruled on the issue: In Boston, a judge decided two Iranian nationals, professors at the University of Massachusetts, should be released from detention at Logan International Airport An order issued in Virginia banned, for seven days, the deportation of green card holders held at Dulles Airport and ordered the authorities to allow access to lawyers A Seattle judge issued an emergency stay of removal from the US for two people Criticism of Mr Trump’s decision has been growing louder outside the US. Iran and Iraq are threatening a reciprocal ban on US citizens entering the country.

Chancellor Angela Merkel of Germany said “even the necessary, determined fight against terrorism does not justify placing people of a certain origin or belief under general suspicion”.

Canadian Prime Minister Justin Trudeau tweeted that his government remained committed to welcoming “those fleeing persecution, terror and war”.

A spokesperson for UK PM Theresa May said she “did not agree” with the restrictions, and French independent presidential candidate Emmanuel Macron tweeted: “I stand with the people fleeing war and persecution”.

Libya, Somalia, Sudan, Syria and Yemen.

Those who were already mid-flight were detained on arrival - even if they held valid US visas or other immigration permits.

Defending his move, Mr Trump early on Sunday tweeted: “Our country needs strong borders and extreme

and the time is right to recognise her positive impact in the UK and around the world with a permanent statue.

“Our mother touched so many lives. We hope the statue will help all those who visit Kensington Palace to reflect on her life and her legacy.”

The Queen has said she “supports” her grandchildren commemorating Princess Diana.

Royal historian Kate Williams told the BBC it was an opportunity for the princes to“put their stamp”on their mother’s legacy as “a great charitable patron”.

Saturday, 109 were detained.

“Most of those people were moved out,” he told NBC’s Meet the Press programme. “We’ve got a couple of dozen more than remain and I would suspect that as long as they’re not awful people that they will move through before another half a day today.”

‘Irreparable injury’ The ruling from federal

Judge Ann Donnelly, in New York, prevented the removal from the US of people with approved refugee applications, valid visas, and “other individuals... legally authorised to enter the United States”.

The emergency ruling also said there was a risk of “substantial and irreparable injury” to those a f f e c t e d .

Trump: I’ll Not Allow Killing of Christians to Continue US President, Donald Trump, has said he will not allow the killing of Christians in the Middle East to continue.

Trump tweeted this yesterday.

Last week, he signed an executive order imposing

a ban on citizens from seven predominately Muslim countries – Yemen, Libya, Sudan, Iraq, Iran, Syria and Somalia.

His action has sparked off a protest in the US. Below his Trump’s tweet.

“Minority Christians have been victims of attacks in Syria a n d I r a q b y t h e Islamic State since its insurgency started.

“But Christians in E g y p t a n d Pa k i s t a n have also been re-

portedly targeted by extremists.

Tr u m p ’s t w e e t , a c c o r d i n g to The Cable, was retweeted more that 25,000 times and liked by over 88,000 users in less than four h o u r s .

France Elections: Socialists Choose Candidate in Final Vote France’s governing Socialist party is set to choose its candidate for the presidential election in April.

Manuel Valls, a former prime minister, and left-wing Benoit Hamon are both contesting the run-off vote on Sunday.

But outgoing President Francois Hollande, a fellow Socialist, is deeply unpopular and may affect the party’s chances in the April election.

Conservative Francois Fillon, right-wing Marine Le Pen, and centrist Emmanuel Macron lead the polls.

Sunday’s Socialist primary has seen Mr Hamon, 49, suddenly surge in popularity with a range of liberal proposals, including a proposal for a universal monthly income for all citizens.

Mr Valls, however, contends that his experience as prime minister between 2014 and 2016, as well as his previous ministerial experience, make him a superior candidate.

Both emerged from a sevenway primary last weekend to enter the run-off race.

But polls suggest neither is likely to retain the presidency for his party.

Mr Hollande, facing extremely low popularity rat-

Princess Diana: Princes Commission Statue 20Years after Her Death A statue of Princess Diana has been commissioned by the Duke of Cambridge and Prince Harry, 20 years after her death.

The two princes said that“the time is right to recognise her positive impact”with a permanent statue.

The sculpture will be erected in the public grounds of her former residence, Kensington Palace.

A sculptor has yet to be chosen but a spokesperson said work on the artwork would begin soon.

Princes William and Harry said in statement: “It has been 20 years since our mother’s death

vetting, NOW.” He told reporters on Saturday that the executive order was “working out very nicely. You see it at the airports, you see it all over”.

His Chief of Staff Reince Priebus denied that the introduction of the ban had been chaotic. He said that, of the 325,000 people entering the US on

“The princes have really taken up her mantel of the charity work - particularly of looking at the Cinderella causes, that don’t get that much attention,”she added.

The Princess of Wales died on 31 August 1997 in a car crash in Paris, when the Duke of Cambridge was 15 and his brother was 12.

The princes’ statue will be the fourth London-based monument dedicated to Princess Diana, and will be close to the Princess Diana Memorial Fountain in Hyde Park, and the memorial garden close to Kensington Palace.

ings, announced in December that he would not run for re-election.

The presidential race has taken a turn in recent days, with the favourite for the post, Francois Fillon, becoming embroiled in a controversy over payments to his wife for political work - which a French publication claimed there was no evidence she carried out.

Mr Fillon denies the allegations, and said he would drop out of the race if there was enough evidence to launch an

investigation.

The scandal could potentially be a boost for Marine Le Pen, the anti-immigration hardliner who has pledged to put“native” French people first.

For years, France’s established parties have drifted to the centre ground and voter apathy has grown - which may explain the emergence of Mr Hamon as a contender in Sunday’s Socialist primary.

If he wins, the main left-wing party will once again embrace its traditional

positions on workers’ rights, redistribution, civil liberties and the environment.

That would likely affect the other candidates - potentially diverting centrist votes to liberal former banker Emmanuel Macron, whose growing popularity is starting to worry Marine Le Pen’s party, the National Front.

But while Sunday’s vote will choose a candidate for the Socialists, the true presidential election does not take place until 23 April.

46

monDAY, jAnuArY 30, 2017 • T H I S D AY

Nigeria’s top 50 stocks based on market fundamentals

27-Jan-17

26-Jan-17

% Change

Capitalisation

EPS

P/E

P/S

Div. Yld

Price/ Book Value

Table 1 Market Statistics Mkt Indicators

01 Dangote Cement Plc

167.01

167.01

0.00%

2,845,935,141,709.05

9.20

18.14

5.01

4.79%

3.80

02 Nigerian Breweries Plc

142.03

142.50

-0.33%

1,126,170,199,122.64

4.03

35.20

3.73

2.53%

6.87

03 Guaranty Trust Bank Plc

24.35

24.50

-0.61%

716,649,214,104.40

4.90

4.97

1.78

7.27%

1.46

750.00

740.00

1.35%

594,492,189,000.00

8.81

85.11

3.44

3.87%

18.84

Thisday BGL 50 Index Thisday BGL 50 Market Cap (N'Trillion)

16.00

15.50

3.23%

502,343,900,576.00

3.91

4.10

1.06

11.25%

0.72

Table 3 Top 5 Gainers

380.00

380.00

0.00%

210,257,918,940.00

-44.58

-8.52

2.71

4.19%

0.53

Stock

6.73

6.95

-3.17%

194,685,249,076.63

2.59

2.60

0.55

8.17%

0.44

10.15

10.15

0.00%

186,247,944,832.25

0.68

15.00

0.32

6.11%

0.30

5.12

5.15

-0.58%

185,751,174,768.64

1.75

2.93

0.55

11.72%

0.43

10 Lafarge Africa Plc

40.43

40.43

0.00%

184,154,680,178.30

-9.39

-4.31

0.86

7.42%

0.91

11 Presco Plc

44.20

44.13

0.16%

175,495,085,389.00

0.03

1,511.64

2.46

2.94%

4.20

12 Stanbic IBTC Holdings Plc

17.48

17.00

2.82%

174,800,000,000.00

2.04

8.58

1.25

0.57%

1.48

13 Unilever Nigeria Plc

33.40

33.40

0.00%

126,362,094,750.00

0.69

48.26

1.90

0.15%

13.47

3.44

3.52

-2.27%

123,479,807,204.48

0.21

16.58

0.23

4.36%

0.20

15 Total Nigeria Plc

298.96

285.00

4.90%

101,503,448,389.52

38.02

7.86

0.38

4.68%

4.46

16 Guinness Nig Plc

64.90

66.55

-2.48%

97,732,143,401.20

-3.06

-21.22

0.95

4.93%

2.48

17 Mobil Oil Nig Plc

264.56

265.22

-0.25%

95,399,082,514.72

19.32

13.69

1.05

2.72%

5.15

71.88

71.88

0.00%

93,622,341,683.64

3.31

21.74

0.61

4.80%

2.17

6.35

6.50

-2.31%

76,200,000,000.00

1.03

6.19

0.53

7.87%

1.22

108.00

102.30

5.57%

69,183,759,204.00

-0.05 -2,364.53

0.74

2.04%

3.12

5.14

4.94

4.05%

61,857,941,115.16

-3.15

-1.63

0.24

14.59%

0.39

22 International Breweries Plc

17.42

17.42

0.00%

57,385,822,457.60

0.02

773.12

2.16

1.44%

5.23

23 Flour Mills Nig. Plc

18.50

18.50

0.00%

48,548,387,959.50

-1.19

-15.51

0.12

10.81%

0.49

24 Julius Berger Nig. Plc

34.83

34.83

0.00%

45,975,600,000.00

-2.95

-11.82

0.39

4.31%

2.42

25 Okomu Oil Palm Plc

44.10

44.11

-0.02%

42,067,431,000.00

4.82

9.14

6.40

0.23%

2.61

26 U A C N Plc

16.41

16.41

0.00%

31,521,384,590.67

3.37

4.87

0.42

6.09%

0.42

27 Transnational Corporation Of Nigeria Plc

0.81

0.85

-4.71%

31,364,007,914.25

-0.47

-1.74

0.60

0.00%

0.43

28 FCMB Group Plc

1.35

1.32

2.27%

26,733,659,554.35

0.61

2.20

0.16

7.41%

0.15

29 Fidelity Bank Plc

0.91

0.91

0.00%

26,355,952,979.72

0.39

2.35

0.18

17.58%

0.14

30 Diamond Bank Plc

0.99

1.03

-3.88%

22,928,785,078.32

-0.29

-3.37

0.11

0.00%

0.10

32.00

32.00

0.00%

22,400,000,000.00

2.28

14.01

3.36

3.59%

13.09

32 Wema Bank Plc

0.55

0.55

0.00%

21,215,956,344.55

0.06

9.23

0.41

0.00%

0.45

33 Custodian And Allied Insurance Plc

3.60

3.75

-4.00%

21,174,711,102.00

0.76

4.72

0.58

3.89%

0.74

34 Sterling Bank Plc

0.73

0.75

-2.67%

21,017,005,231.98

0.29

2.54

0.19

12.33%

0.26

35 National Salt Co. Nig. Plc

7.83

8.23

-4.86%

20,745,102,499.74

0.85

9.22

1.10

7.02%

2.81

16.00

16.00

0.00%

19,134,023,808.00

-2.98

-5.36

0.68

1.88%

2.18

37 Cadbury Nigeria Plc

9.44

9.44

0.00%

17,730,227,257.60

0.50

18.91

0.63

13.77%

1.73

38 Mansard Insurance Plc

1.60

1.60

0.00%

16,800,000,000.00

0.28

5.74

0.84

3.13%

0.80

39 PZ Cussons Nigeria Plc

14.25

14.25

0.00%

14,250,000,000.00

5.69

2.51

0.99

0.70%

0.38

40 Continental Reinsurance Plc

1.22

1.22

0.00%

12,654,748,060.64

0.42

2.90

0.57

9.84%

0.68

41 Honeywell Flour Mill Plc

1.10

1.14

-3.51%

8,723,217,423.80

-0.40

-2.72

0.18

14.55%

0.26

42 Unity Bank Plc

0.74

0.71

4.23%

8,650,110,077.08

-0.10

-7.22

0.13

0.00%

0.10

43 Skye Bank Plc

0.50

0.50

0.00%

6,940,150,705.00

-2.93

-0.17

0.04

60.00%

0.07

44 Wapic Insurance Plc

0.51

0.53

-3.77%

6,825,196,508.52

0.18

2.83

0.87

5.88%

0.41

45 Cement Co. Of North.Nig. Plc

4.52

4.52

0.00%

5,680,183,502.32

0.22

20.65

0.51

2.21%

0.53

46 Resort Savings & Loans Plc

0.50

0.50

0.00%

5,664,866,202.00

0.03

17.71

3.72

0.00%

1.94

47 UACN Property Development Co. Limited

2.88

2.88

0.00%

4,949,999,985.60

0.30

9.62

1.17

24.31%

0.14

48 Nigerian Aviation Handling Company Plc

2.71

2.60

4.23%

4,401,632,812.50

0.15

17.93

0.55

7.38%

0.73

49 AIICO Insurance Plc

0.60

0.60

0.00%

4,158,122,688.00

0.22

2.69

0.14

8.33%

0.41

50 Fidson Healthcare Plc

1.14

1.19

-4.20%

1,710,000,000.00

0.24

4.84

0.26

4.39%

0.27

04 Nestle Nigeria Plc 05 Zenith Bank Plc 06 Seplat Petroleum Dev. Co. Ltd 07 Access Bank Plc 08 Ecobank Transnational Incorporated 09 United Bank for Africa Plc

14 FBN Holdings Plc

18 Forte Oil Plc. 19 Dangote Sugar Refinery Plc 20 7-Up Bottling Comp. Plc 21 Oando Plc

31 Cap Plc

36 Glaxo Smithkline Consumer Nig. Plc

TOTAL

8,520,029,601,703.37

TOTAL MARKET CAP

9,058,917,294,439.45

% OF MARKET CAP Annotation - MA* = Simple Moving Average

94.05%

NSE All Share Index NSE Market Cap (N'Trillion)

Open 26-Jan-17

Close 27-Jan-17

Change %

26,289.95 9.05

26,328.22 9.06

0.15% 0.15%

109.27 8.51

109.42 8.52

0.14% 0.14%

Open Close Change 26-Jan-17 27-Jan-17 %

7-Up Bottling Comp. Plc Total Nigeria Plc Nigerian Aviation Handling Company Plc Unity Bank Plc Oando Plc

102.30 285.00 2.60

108.00 298.96 2.71

5.57% 4.90% 4.23%

0.71 4.94

0.74 5.14

4.23% 4.05%

Table 4 Top 5 Losers Stock

Open Close Change 26-Jan-17 27-Jan-17 %

National Salt Co. Nig. Plc Transnational Corporation Of Nigeria Plc Fidson Healthcare Plc Custodian And Allied Insurance Plc Diamond Bank Plc

8.23 0.85

7.83 -4.86% 0.81 -4.71%

1.19 3.75

1.14 -4.20% 3.60 -4.00%

1.03

0.99 -3.88%

NSE All Share Index ends week with 0.14% gain Market pulse on the Nigerian Stock Exchange (NSE) today – Friday, January 27th, 2017 ended the week on a positive note as the stock market closed green due positioning by investors. This was further highlighted by positive performance from the NSE Subsectors: Consumer Goods and Oil & Gas (Save Banking and Insurance). Trading activities increased in volume as 237.75m shares worth of N2.19n billion in 2,725 deals exchanged hands today. This is an increase from the 146.49m shares worth of N1.19 billion in 3,013 deals which exchanged hands on Thursday. Topping in volume terms are: Champion Breweries Plc, Zenith Bank Plc and Diamond Bank Plc, while Zenith Bank Plc and Nigerian Breweries Plc ended trading as the most active stocks in value terms. Brent crude oil price today dips to US$55.55 per barrel compared to yesterday figure.

The All Share Index (NSEASI) closed positive with 0.15% (+38.27) increase to close at 26,328.22 from 26,289.95 the previous trading day. Market capitalization appreciated in tandem to N9.06 trillion from N9.05 trillion of prior trading day. Similarly, the Thisday BGL 50 Index followed suit with an increase of 0.14% to close at 109.42 from 109.27 recorded at the end of the previous trading day, while its market capitalization stood at N8.52 trillion from N8.51 trillion of the previous trading day.

Market breath closed positive as 14 stocks gained on the bourse today while 22 stocks declined, leaving 63 stocks unchanged. 7-Up Bottling Comp.

Plc emerged as the day’s toast of investors as it topped the Thisday BGL 50 Index gainers’ list with a gain of 5.57% to close at N108.00 per share. It was followed by Total Nigeria Plc with a gain of 4.90% to close at N298.96 per share. Others on the gainers list include: Nigerian Aviation Handling Company Plc, Unity Bank Plc and Oando Plc; while on the decliners’ list, National Salt Co. Nig. Plc lead the pack with a loss of 4.86% to close at N7.83 per share. It was followed by Transnational Corporation Of Nigeria Plc with a loss of 4.71% to close at N0.81 per share. Others on the decliners list include: Fidson Healthcare Plc, Custodian And Allied Insurance Plc and Diamond Bank Plc. REQUIRED DISCLOSURE This report has been prepared by BGL Plc. BGL Plc does and seeks to do business with companies covered in its research reports. As a result, the firm may have a conflict of interest that could affect the objectivity of this report. Investors should use this report as one of many other factors in making their investment decisions.

For more details go to www.thisdaylive.com

47

MONDAY, JANUARY 30, 2017• T H I S D AY

NEWS

News Editor Davidson Iriekpen Email davidson.iriekpen@thisdaylive.com, 08111813081

Herdsmen Threaten South-west Food Security, Warns Afenifere Gboyega Akinsanmi

The Afenifere Renewal Group (ARG) at the weekend decried the ruinous activities of Fulani herdsmen in the South-west of the country, warning that except the federal government reined in the nomadic cattle rearers, the food security of the region would be undermined.

While stating that the zone’s farmers were no longer able to work at full capacity because of the ruinous activities of the herdsmen, the ARG said the farmers would now have to defend themselves and their property if the

security agencies failed to check the killer cattle herders.

The group also condemned the proposal

by Northern Governors Forum (NGF) to open a register for immigrant Fulani herdsmen, whom the forum identified as aliens and threats to Nigeria’s internal security.

It said there was no rationale for the proposal, arguing that once the aliens had been found to be injurious to Nigerian citizens, the appropriate thing government should do was to expel them from the country.

The group in a statement

PENGASSAN Rejects House Bid to Amend NLNG Act Ejiofor Alike Senior oil workers under the aegis of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) have opposed the proposed plan by the House of Representatives to amend the Nigeria Liguefied Natural Gas (NLNG) (Fiscal Incentives, Guarantees and Assurances) Act, describing the proposed amendment as unnecessary.

PENGASSAN stated this during its recent National Executive Committee (NEC) meeting in Abuja, stressing that “the amendment can cause imminent losses that will far outweigh any doubtful gains.”

In a statement titled: ‘Proposed Amendment of the NLNG Act: Economic and Security Implications for the Nation,’ and signed

by PENGASSAN President, Francis Johnson, and acting General Secretary, Lumumba Okugbawa, the union said amendment would impact negatively on the image of Nigeria.

PENGASSAN argued that the international community would perceive Nigeria as a country which does not honour its promises as well as one which does not take its call for foreign investments, led by the President Muhammadu Buhari administration, seriously.

The proposed amendment, it said, could directly affect some $25 billion worth of foreign investments as well as another 18,000 Nigerian jobs linked to NLNG’s Train 7 and 8 expansion programmes, adding that this will negate the job creation and job security policy being propagated by the current administration.

The senior staff trade union added that the National Assembly’s proposed action would also not only affect recent gains made in

the area of gas flaring in Nigeria, which has reduced from 65 per cent to less than 20 per cent, but lead to the loss of up to $124 million annually payable as taxes and dividends to the federal government.

According to the union’s statement, ‘NLNG is a Made-in-Nigeria company competing globally and has been a huge success so far. It is currently the fourth largest supplier of LNG in the world. NLNG is a pride to Nigeria and the country’s flagship company, with the model being considered for replication in various sectors of the economy.’

“The proposed amendment of the NLNG Act is not in the interest of Nigeria and it is absolutely necessary that the Act is not amended as the imminent losses will far outweigh any doubtful gains; this is completely against what the country requires at this time and should not be allowed,” said the union.

The union noted that it is essential that Nigeria as a country must be able to generate adequate confidence within the international investor community to sustain critical ongoing and future investment beginning with the stalled Brass and OK LNG projects.

“Our legislators should make laws that will improve existing businesses in the country and also attract new investments, and not laws which will stifle business, employment and/or erode investor confidence. The interest of the Nigerian people must remain paramount,” PENGASSAN added.

PENGASSAN also assured all stakeholders, including the Nigerian populace, that it stands ready to do all within its power to hold those in positions of power accountable to their pledge to uphold good governance and act in the interest of Nigeria at all times.

by its Publicity Secretary, Mr. Kunle Famoriyo, at the weekend lamented that the South-west farmers could not work at their full capacity due to the ruinous activities of Fulani herdsmen.

It therefore called for a ban on open grazing and the arrest and prosecution of arms-bearing herdsmen to stem further loss of lives and property.

It also said the way forward was to establish and promote ranching in order to stop the prevailing conflicts between herdsmen and farmers.

ARG said: “Farmers are paying for land use. So, why should herdsmen not? If herdsmen are justified to bear arms, why should farmers not do same? If herdsmen continue to get higher priority, our farmers would be right to resort to self-defence because where

injustice becomes a law, resistance becomes a duty.”

The group suggested that the only workable solutions were to outlaw open grazing; arrest and prosecute arms-bearing herdsmen and promote ranching systems.

The ARG said the region’s food security was being threatened by the destructive activities of herdsmen as its farmers, who are largely smallholding farmers, could no longer work at their full capacity, but now live at the mercy of cows and conniving policemen.

According to the group: “This has aggravated the sweeping poverty in Nigeria and has displaced many of our people. Nigeria’s socioeconomic indices are clear that farmers, not herdsmen, should get higher priority from government, being a higher employer of labour, higher contributor to tax,

FOREX earning and GDP.” It rejected a proposal by the NGF that a register should be opened for immigrant Fulani herdsmen, whom they described as aliens and threats to the country’s internal security.

It expressed concern that the Northern state governors, who swore to protect Nigeria’s constitution, were the ones promoting alien interest.

ARG said: “What logic is there in opening a register for agents of external aggression?

“It is shameful that the NGF could not even pretend and hide its readiness to sacrifice the rest of Nigeria for Fulani interest in its veiled reference to national integration and cohesion as the solution to herdsmen’s menace.

“For example, Kaduna State Governor, Mallam Nasir el-Rufai, arrogantly

and cold-heartedly declared on Aljazeera recently that killer herdsmen must be accommodated because Nigeria is a signatory to ECOWAS’s treaty on trans-humane pastoralist protocol. We wonder if ECOWAS treaties are only obligatory where it concerns Fulani interest as there are other treaties that Nigeria has ignored.

“Another example is the recent ban on car importation through land borders which Comptroller General Hameed Ali said was done to stop influx of illegal arms. If this policy could be implemented swiftly, at great economic loss to stakeholders and despite a Senate order against i t , w h y h a s nothing been done to disarm herdsmen who freely roam about with sophisticated weapons?”

HE IS WELL

President Muhammadu Buahri and his wife, Aisha, when she visited her husband in London....weekend

Osinbajo Urges Nigerians to Shun Divisive Tendencies Tobi Soniyi in Abuja The Vice President, Professor Yemi Osinbajo, yesterday appealed to Nigerians especially those on authority, to display true leadership virtues and resist all forms of temptations to succumb to divisive tendencies.

An unsigned statement from his office stated that though there were weaknesses in the nation’s criminal justice system which limit his action, he was still working assiduously within government to bring the reforms necessary, including the option of community policing to effectively arrest the situation in Southern Kaduna and other places.

He said he would always work in line with the rule of law.

Osinbajo said he was

committed to the best standards of governance that value the life of every Nigerian, regardless of religion or ethnicity.

The statement appeared to be Osinbajo’s response to allegation by the leadership of the Christian Association of Nigeria (CAN), accusing him of keeping silent in the face of brutal killings of Christians in Southern Kaduna.

The statement read: “The acting president has always acted to defend the rule of law and course of justice. He is firmly committed to the best standards of governance that primes and values the life of every Nigerian, regardless of religion or ethnicity. As far as he is concerned, all Nigerians are equal and loved by God, and does not discriminate on

the basis of religion.

“Alongside the president, Osinbajo is unwavering in ensuring that anyone who violates the law, should and must be made to face the full extent of the law.

“He has spoken out publicly on the inherent weaknesses in the nation’s criminal justice system, and is working assiduously within government to bring the reforms necessary, including the option of community policing.

“The current limitations of the criminal justice system however affects virtually every kind of crime, including the example of high profile murders of the past, many of which remain unsolved.

“This administration will continue to defend and protect

the lives of all Nigerian citizens.

It’s the reason the president gave firms instructions to security agencies-military and police to send reinforcements to Southern Kaduna to enforce the peace.

The Southern Kaduna crisis has become a worrying recurrent decimal over the years.

“We -all of us in government, political, religious leaders, traditional rulers and the entire Nigerian people, especially the elites- must work to find a lasting solution.

“Situations like the crisis in Southern Kaduna while capable of provoking emotive reactions and potent for divisive rhetorics, call for the display of true leadership virtues from everyone of us. We should resist the temptations to succumb to divisive tendencies.”

48

MONDAY, JANUARY 30, 2017• T H I S D AY

NEWSXTRA

As Former EFCC Lawyer, You Can’t Hear My Case, Fani-Kayose Tells Judge Davidson Iriekpen Former Minister of Aviation, Femi Fani-Kayode, has asked Justice Muslim Hassan of the Federal High Court in Lagos to disqualify himself from adjudicating over the charges filed against him by the Economic and Financial Crimes Commission (EFCC).

The EFCC had arraigned Fani-Kayode and a former Minister of Finance, Senator Nenadi Usman, on a 17-count charge of laundering about N4.6billion.

They were charged along with Yusuf Danjuma, a former National Chairman of the Association of Local Government of Nigeria (ALGON) and exChairman of Kagarko Local Government Area of Kaduna State, Also charged is a company, Jointrust Dimentions Nigeria Limited which is said to belong to Danjuma,

They had all pleaded not guilty.

In a fresh application filed to challenge the court’s jurisdiction to hear the case, Fani-Kayode said as a former EFCC lawyer who had filed criminal charges against him in the past for which he was discharged and acquitted, he would not get justice under Justice Hassan.

He said upon conclusion of his tenure as the Minister of Aviation in 2007, the EFCC had investigated him for sundry matters that culminated in criminal charge.

No FHC/L/523C/2008.

Fani-Kayode stated that Justice Hassan, presiding in the present matter, was the commission’s lead counsel that reviewed his case and concluded that he should be charged to court for criminal prosecution.

The former minister said Justice Hassan as the then EFCC senior counsel, who prepared and filed the charge

sheet against him, believed while instituting the criminal process that a prima facie criminal case had been established against him before preparing drafting and filling the criminal charge No FHC/L/523C/2008 against him.

He said he was subsequently arraigned before the Lagos Division of the court on a 47-count criminal charge personally signed by Justice Hassan as a senior prosecuting counsel for the EFCC in 2008.

According to him the charges instituted against him bordered mainly on his activities as minister of aviation.

He contended that Justice Hassan, being at that time an EFCC senior prosecuting counsel in drafting and preparing the charge against him must have believed or formed an opinion about him as EFCC prosecuting counsel that as the minister of aviation, he must have abused his office and corruptly enriched

himself and thereby committed a financial crime against the country.

He added that as a result of the charges, he was prosecuted by the anti-graft agency for about seven years before he was finally discharged and acquitted by the court, resulting in the striking out 45 of the 47 counts and leaving only two counts, which went to trial and from which he was subsequently discharged and acquitted.

Fani-Kayode therefore urged the judge to recuse himself from the pending proceedings before him because of the likehood of bias, having drafted a charge in a financial crime matter as a staff of a prosecutorial agency now having to prosecute yet again a financial crime before him.

In consequence of the aforesaid, he believes that the court as presently constituted does not guarantee fair trial, neither is he guaranteed of the court

neutrality impartiality or fair hearing of his case before the court.

He said the judge might already be prejudiced by the facts and content of the charge counsel of the EFCC now prosecuting him before Justice Hassan which he believes is the likely perception of a reasonable man who might have heard or seen the scenario above.

Fani-Kayode also asked the court to move the case to Abuja, saying from his review of the totality of the present case including the proof of evidence that all the transactions leading to the alleged offence all occurred in Abuja while he was the Director of Media and Publicity of the Goodluck Jonathan presidential campaign organisation (PCO) with its office in Abuja outside the Lagos Division of the court.

He said since he lives in Abjua and transacted all the businesses of the PCO that led to this criminal charge in Abuja as shown by the proof of evidence, it was proper to move the case to Abuja.

The former minister argued that since all his proposed witnesses, including majority of the prosecution witnesses and branches of financial institutions involved in the matter all reside and conduct their businesses in Abuja outside the Lagos Division of the court it would be proper to move the case to Abuja moreso as he is presently standing trial in a sister case in Abuja in charge No FHC/ABJ/CR/140/2016 Fderal Republic of Nigeria V. Chief Femi Fani Kayode at the Federal High Court, Abuja Judicial divisions of the court.

The case will comes up for hearing on February 8, 2017.

Okorocha Reads Riots Act to APC New Comers, Relinquishes Leadership to Nnamani Amby Uneze in Owerri Governor Rochas Okorocha of Imo State has declared that those joining the All Progressives Congress (APC) newly should not cause confusion in the party instead, they should promote the ideals of the party to achieve success.

Addressing stakeholders of the party at the Imo International Conference Centre (IICC) in Owerri yesterday, Okorocha maintained that his major reason of leaving his former party, the All Progressives Grand Alliance (APGA) to APC was to help build the country instead of remaining in a party that was only in Igboland.

While reminding those who came to the party newly to maintain peace and work for the greatness of the party in the Southeast, he announced that he has relinquished leadership of the party in the zone to former Senate President, Ken Nnamani, as the new leader of the party in the zone.

He also urged other party leaders in the zone to support President Muhammadu Buhari to do his second term of eight years.

Those who attended the meeting included Ken Nnamani, Emeka Offor, Ifeanyi Araraume, George Moughalu, Tony Eze, Ebuka Onunkwo, Jombo Offor, Eze Madumere, Osita Izunaso, members of the NWC of APC and other prominent politicians in the zone. The key figures present met behind closed doors before the meeting proper.

Okorocha said: “Now that Igbo leaders are together in APC, Nigerians will hear us. There is a vacuum of leadership in the South-east APC. I am a governor.

My brothers Chris Ngige and Dr. Ogbonnaya Onu are ministers, hence the importance of Nnamani coming to the party at this time. I decline the leadership of Ndi-Igbo in APC. With Ken Nnamani, the question of who is the leader of

APC in the South-east has been answered. Nnamani is the leader of APC in the South-east.”

He continued: “Nnamani should then work with other leaders like Emmanuel Iwuanyanwu, Jim Nwobodo and a host of others to give Ndi-Igbo political direction. Those who have joined the party or who want to join should do so to build the party and not to cause confusion. APC is the right party for the Igbos, and the only party that can guarantee Igbo presidency.”

For him, “we are going to support President Buhari for the eight years he is going to lead the nation. This is the time for Ndi-Igbo to come and work together. We are also going to use the Anambra State election to show that APC has arrived in the South-east zone.

The Igbos played bad politics in 2015. Today, we have lost a lot.

We are not anywhere because of our bad politics.”

Okorocha also disclosed that three serving governors in the Southeast are in touch with him and will soon join APC, adding that being the only APC governor in the zone does not give him joy, and advised that other political leaders in the geo-political zone should take advantage of the moment and come into APC. In his speech, Nnamani said the Igbos need more of their leaders at the national leadership of the APC where decisions are made, and even at the National Assembly and other strategic areas and levels.

The former Senate President said: “Some of us going to APC are not doing so because of hunger, but in the interest of the Igbos. We should play politics of ideas, and avoid abusive words.

Ndi-Igbo do not have the ingredients for opposition politics. We do not have the media or business or money to play opposition politics, but we won’t ask for handouts.

APC CHIEFTAINS

L-R: Minister of Women Affairs, Senator A’isha Alhassan; Deputy Governor of Adamawa State, Mr. Martin Babale; and former Vice President, Alhaji Atiku Abubakar, on arrival at the Jalingo Airport for the inauguration of the Peacock College of Education in Jalingo, Taraba State....weekend.

Kashamu: US Court Ruling on My Possible Extradition for Drug Trafficking, a Mistaken Identity Akinwale Akintunde The senator representing Ogun East senatorial district in the Senate, Buruji Kashamu, has denied any involvement in drug dealing as alleged in a recent ruling of the Appeal Court in the United States of America.

Kashamu insisted that the court’s ruling demanding his extradition to the US to face criminal charges was a case of mistaken identity.

Reacting in Lagos at the weekend to some media reports, which had it that a US court upheld the trafficking case against him and ordered him to be extradited, Kashamu said the reports were the latest in the series of efforts orchestrated by his political opponents to run him down.

He said the media interpretation that the latest ruling, which was based on

a suit he instituted against his attempted abduction is totally unfounded, vexatious and malicious.

“My attention has been drawn to some mischievous media reports being the latest in a series of efforts orchestrated by my political opponents to call a dog a bad name and hang it. Thus, I find the need to set the records straight and put a stop to their devious attempts to make a mountain out of a molehill.

“The undisputable fact is that a judgment of an American court cannot supersede the judgments of the British and Nigerian courts. It should be noted that it’s the British that colonised Nigeria and we adopted their legal system.

Therefore, if the British courts gave two judgments which have not been appealed till date (14 years after) and the same

have been affirmed by several Nigerian courts, how then can anyone say that the recent US court ruling, which arose from a suit I filed against my abduction, is superior or has overriding effect over the previous and subsisting judgments of the British and Nigerian courts,” he stated.

Kashamu explained that he had faced two extradition proceedings in the United Kingdom at the instance of the United States and the British court found that it was a case of mistaken identity after four rigorous years of trial.

According to him, in 1998, while he was on a business trip to the United Kingdom in pursuit of his cotton trading business in Liverpool, he was arrested at City Airport in London and detained pursuant to an arrest warrant issued on the basis of an indictment in the

United States in which the name “Alaji” had been introduced as party to an alleged offences of importation of narcotics into US. “I have never visited or resided in the US and certainly have never been involved in any business not to talk of a criminal activity whatsoever in the US. Although, I declared from the moment of arrest that I was not the person involved in the alleged narcotics business and that it was a case of mistaken identity, the British courts made an order for my committal pending my extradition to the US. “Fortunately, my lawyers came across some exculpatory evidence, which the US government had concealed from the courts in the extradition proceedings. The evidence was the outcome of a photo identification parade for the purpose of identifying the said ‘Alaji,’ that was held in the US attorney’s office..

49

MONDAY, JANUARY 30, 2017• T H I S D AY

NEWSXTRA

Fayose Cautions DSS against Planned Detention of Suleman, Oyedepo Ekiti State Governor and Chairman of the Peoples Democratic Party (PDP) Governors’ Forum, Mr. Ayodele Fayose, has warned the Department of State Services (DSS) against the planned detention and trial of Apostle Johnson Suleiman of the Omega Fire Ministries Worldwide and the General Overseer of Living Faith Church Worldwide International (Winners’ Chapel International), Bishop David Oyedepo, describing it as indirect invitation to religious crisis in the country.

Fayose alleged: “There is plan to charge Suleiman and Oyedepo for incitement and attempt to cause public disorder on Friday, and make sure that they are not granted so to get them remanded in Kuje Prison perpetually.”

He said this plan was to humiliate these men of God as well as silence them and create fear in other people that may want to speak against the heinous crime against humanity being committed

daily while perpetrators are being shielded by the federal government.

In a statement issued yesterday by is Special Assistant on Public Communications and New Media, Lere Olayinka, the governor said the DSS should tell Nigerians how many of the Fulani herdsmen that killed thousands of Nigerians across the country have been arrested before going after Nigerians who merely expressed their frustration over the to failure of the federal government to protect them.

The governor said: “Even though the DSS has allowed commonsense to prevail by properly inviting Suleiman as against the gestapo manner with which the service attempted to abduct him last week Wednesday, it is still questionable that the DSS is more interested in a man who threatened to defend himself against any attack

by Fulani herdsmen rather than those herdsmen that murdered thousands of Nigerians.”

The governor said: “It is sad and worrisome that after muzzling opposition politicians, judiciary and the press, the APC led federal government has taking its desperation to suppress dissenting voices in the country to the House of God.” Fayose maintained: “If the DSS had acted swiftly like it is doing on Suleiman so-called inciting comments when people were being killed by herdsmen across the country, so many lives would have been saved.”

He advised the government and the DSS not to go ahead with these plans as it will heat up the polity and threaten the peaceful coexistence of Nigerians, calling on well meaning Nigerians to prevail on the federal government to desist from acts capable of throwing the country into further crisis.

The governor, who reiterated his call for the release of the head of Nigeria’s Islamic Movement (IMN), Ibrahim

El-Zakzaky, who has been in detention since late 2015 despite that the court ruled that he should be released, affirmed that “he will continue to stand for Nigeria and its people, not for any religion and it is my position that rights of all Nigerians must be respected and protected.”

The governor urged the APC-led federal government to pay attention to the economy it destroyed, with the aim to revamping it and saving Nigerians from the hunger ravaging the land.

“Nigeria is already being ravaged by war of hunger, economic recession, job loss and lack of leadership direction. It will be disastrous for the country to be plunged into religious crisis.

“Apart from during the civil war, Nigerians have not been badly divided as a nation as we are under the President Muhammadu Buhari administration.

Killings under this government in 18 months are more than what was witnessed in the last 20 years,” the governor said.

APC Wins Etsako Federal Constituency By-election Adibe Emenyonu in Benin City The candidate of the All Progressives Congress (APC), Mr. Johson Oghuma, at the weekend emerged the winner of the Etsako Federal Constituency by-election in Edo State.

Oghuma defeated his closest rival, Jude Imagwe of the Peoples Democratic Party (PDP) with a total score of

39,876 votes to 18,193 votes.

The collated result for the by-election as announced stood as follows: Etsako East: APC 12,610, PDP 7,938; Etsako Central: APC 9,820, PDP 5,369; and Etsako West: APC 17,446, PDP 4,886 bringing the total to: APC 39,876, PDP 18,193.

Announcing the result at about 12.45a.m. yesterday, the Returning Officer for the election, Prof. Shola Omotola, declared the APC candidate

winner having scored the highest number of votes in the election “I Prof. Shola Omotola hereby certify I was the Returning Officer for Etsako West Constituency by-election.

“And that the election was contested and that Mr. Johson Oghuma the APC having certified the requirement, is hereby declare winner of the election,” he said.

Omotola said the total valid votes were 58,427,

rejected votes 874, while the total votes cast was 59,301.

Speaking with journalists, the winner of the election, Oghuma assured the people of the constituency effective representation.

According to him, “I want to assure Etsako people that I will not fail them.

“I will represent them well and their voice will be heard and I will not disappoint them.”

50

MONDAY, JANUARY 30, 2017• T H I S D AY

NEWSXTRA

Lawyer Sues Buhari, AGF over Prosecution of Judges Says they lack such powers

Davidson Iriekpen A Lagos-based lawyer, Malcolm Omirhobo, has dragged President Muhammadu Buhari and Attorney General of the Federation (AGF) and Minister of Justice, Abubakar Malami, before the Federal High Court in Abuja over the prosecution of the judges of the court and Supreme Court for alleged corruption.

Omirhobo asked the court to determine whether the AGF has the power to prosecute serving judicial officers for ethical violation or judicial misconduct without having to first refer the allegations or charges against them to the National Judicial Council (NJC).

He also urged the court to determine whether the constitutional power to investigate, discipline and sanction erring justices of superior court of record in Nigeria for ethical violation or judicial misconduct is the exclusive preserve of the NJC. The lawyer also asked the court to determine

whether the AGF presented any petition against the affected two justices for ethical violation or judicial misconduct to the NJC before prosecuting them at the courts of Justices Jude Okeke and John Tsoho.

He asked whether it is proper, legal, lawful, and constitutional for the president and AGF with their servants, agents, or privies to cause to be published to the public and the whole world the investigation and prosecution of serving judicial officers for allegations or charges for ethical violation or judicial misconduct.

He appealed to determine whether it was proper, legal, lawful, and constitutional for them with their servants, agents, or privies to cause to be published to the public and the whole world the investigation of eight serving justices (the two affected justices inclusive) over allegations or charges of ethical violation or judicial misconduct and also to cause to be published to the public the prosecution

of the two affected Justices?

In the affidavit in support of his originating summons, Omirhobo disclosed that Buhari, while on official assignment to Ethiopia on January 30, 2016, informed the Nigerian community there and the international community as well that as far as his anti-graft war was concerned, his main headache was the judiciary.

He also informed his audience that he contested for the presidency three times and was robbed by the judiciary.

The plaintiff noted that it was God and the electronic voting system which made him succeeds in his fourth attempt.

He said Buhari approached the National Assembly to grant him emergency powers but his request was refused.

He said the Senate maintaineds that granting him emergency powers would make him a tyrant and a dictator.

The lawyer contended that having failed to secure emergency power, Buhari turned on the judiciary by

Sick Nollywood Actors Get N3.5m from Okafor Tobi Soniyi in Abuja In response to the frequent health issues being faced

by Nigerian entertainers, the Senior Pastor of the Mountain of Liberation and Miracles Ministry, Ojodu, Lagos, Dr. Chris Okafor, has donated N3.5million to support the treatment of 23 Nigerian artistes with health challenges.

The donation which took place yesterday during the church’s thanksgiving service, was at the behest of the Save Nollywood Actors Foundation being organised by Rita Edochie, Ejiro Okurame, Chioma Okoye and Emeka Torino.

The entertainers suffered from different ailments such as Kidney problems, diabetes, mental problems, accident, stroke, hole in the heart, leukaemia and prostrate cancer.

Among the ill entertainers to benefit from the cash gift are Prince James Uche, Obi Madubogwu, Romeo Casual, Romanus Amuta (Natty), Fregene Nicholas, Tunde Alabi, Emma Ugolee, Victor Olaitor, Jude Oteka, Harry B, Ameachi Monagor, Patience Oseni, Theodore Anyanji, Tony Akposheri and Ernest Azuzu.

Others are Victor Eze, Adedayo Liadi, Victoria C.Ndubuaku, Frank Ibisidor Asiyai, Tommy Oyewole, Promise Nnaji, Sadiq Daba and Gbenga Peters.

“We pray for the entertainment industry that the presence of Jehovah takes control,” Okafor said.

“That they are bought and washed by the blood of Jesus. We stop every satanic harassment, onslaught, attack over their lives, that whatever the enemy has planted that does not glorify God, the enemy advantage over them, God, we plead for mercy.”

The entertainers who had been part of the service, walked up the altar where Okafor also prayed for them as he supported those in need of urgent medical attention with N3.5million cash which was presented to the foundation to be put in a trust they can access.

The artistes also dropped their files containing data about them and the afflictions affecting them on the altar with Pastor Okafor, promising to be their prayer partner.

Grateful for the pastor’s gift, Nollywood actor and producer, Torino, said the move was part of ways to assuage the heath challenges of Nigerian entertainers.

Quite a number of Nigerian entertainers have suffered illnesses and have had to recourse to the public for financial aid.

“We cannot to create a forum where actors, actresses, producers, marketers would be checked monthly because if

you don’t check your health regularly, by the time you are aware, it would be too late,” Torino said.

“We want to make this foundation a place whereby any Nigerian actor that is sick will access fund through this foundation.”

Actor Joseph Okechukwu, who is also a member of the Mountain of Liberation and Miracles Ministry, said the donation was from the Chris Okafor Humanitarian Foundation which among other things also takes care of widows, providing scholarships for orphans and children of widows as well as empowering artisans.

“What we are tapping into now is the financial power of the church because we know that the church has money,” Okechukwu said.

“Look at this church, Liberation City, this is a very little church, just about 10 years old, is giving N3.5m in cash.

Everybody saw the money.

That’s why my colleagues were crying because all the places they’ve been going to, it’s been promises, promises. So, imagine if other churches come together and do something like this.”

The Save Nollywood Actors Foundation has intervened in the medical case of Leo Mezie, Obi Madubogwu and Prince James Uche.

accusing them of being corrupt in the discharge of their statutory duties.

He said the AGF alleged that his office received complaints from the concerned public over the corrupt practices of some serving justices of the superior court of record.

He said consequent upon the above, Malami commissioned the Department of State Service (DSS), an agency of Buhari whose primary duty is for intelligence gathering within the country and for the protection of senior government officials, to monitor the expensive and luxurious lifestyle of the said justices.

The plaintiff said the AGF having received complaints from the public against known judges for their alleged involvement in corruption, bribery and perversion of justice, did not petition the NJC as to the misconduct of the affected justices.

He said instead of petitioning the judges to the NJC, the AGF with the

support of Buhari ordered the operatives of the DSS to raid the residence of 10 justices in Abuja, Rivers, Kano and Gombe States via special sting operations between October 7 and 8, 2016.

He therefore asked the court to hold that it was improper, illegal, unlawful, and unconstitutional for the president and the AGF with their servants, agents, or privies to cause to be published to the public and the whole world the investigation of eight serving justices (the two affected justices inclusive) over allegations or charges of ethical violation or judicial misconduct and also to cause to be published to the public the prosecution of the two affected justices.

The plaintiff also wants the court to declare that that the prosecution of a serving judicial officer for ethical violation or judicial misconduct by the AGF in a court of law is incompetent, illegal, unlawful and unconstitutional where the AGF fails, refuses or

neglects to first present the allegations and/or charges against the affected judicial officer to the defendant pursuant to the provisions of the 1999 Constitution.

Omirhobo further asked the court to declare that the prosecution or purported prosecution for ethical violation or judicial misconduct of the said affected two justices by the AGF at the instance of the president before the judges is incompetent, illegal, unlawful and unconstitutional where the president and AGF have failed, refused or neglected to first present the allegations or charges against the affected justices bordering on their conduct as Judicial officers to the NJC pursuant to the provisions of the 1999 Constitution He also asked the court to hold that it is improper, illegal, unlawful, and unconstitutional for the NJC to suspend a serving judicial officer without following due process of law.

51

MONDAY, JANUARY 30, 2017• T H I S D AY

NEWSXTRA

Leadership Crisis: Police Quiz Aggrieved Ondo Lawmakers James Sowole in Akure Following the leadership crisis that rocked the Ondo

State House of Assembly at the weekend, the state police command has quizzed some lawmakers.

Telecom: NCC Reads Riot Acts to Operators, to Apply Stiffer Sanctions Victor Ogunje in Ado Ekiti As part of efforts to ensure that Nigerians get values for their money, the Nigerian Communications Commission (NCC) has advised telecommunication providers to improve the quality of their services.

The regulatory agency said the body is aware of the challenges being faced by Nigerians in telecom sector, warning that the body would not hesitate to impose stiffer sanctions against operators cheating the system through poor network and arbitrary charges .

The NCC Director in charge of Consumer Affairs Bureau, Alhaji Abdullahi Maikano, made the statements in Oye Ekiti at the weekend, during a Consumer Town Hall meeting, where issues bordering on ‘Information and Education as a Catalyst for Consumer Protection’ were discussed exhaustively.

Those that attended the meeting include NCC top officials, representatives of MTN, GLO, AIRTEL and ETISALAT, Security agencies, as well as consumers, including farmers, civil servants , marketmen and women and others from various sectors of the economy.

Maikano said: “The event was an initiative of NCC to bring telecom consumers in the urban areas together with network operators and regulator to discuss and proffer solutions to consumer related issues .

“We have to protect consumers from market

exploitation and empower them to make rational and informed decision when making their choices of services.

“We hereby directed that service providers must always communicate with our consumers in plain language and such must be relevant, timely and accurate. They should also ensure that access to information is made possible at all times.”

The Ekiti Sector Commander of the Federal Road Safety Commission (FRSC), Mr. Ismail Kugu, said network failure had several times led to the loss of human lives on highways , when they found it difficult to link with the right agency for evacuation of accident victims.

“It is hindering our operation in so many ways. The operators can give us a special line that can make us call our offices and individuals, because the customised one we are presently operating are often blocked when we used it to call families of accident victims, because they are specially made for special operational calls”, he said.

Some consumers, Mrs Beatrice Ige and the Iyaloja of Oye Ekiti, Mrs. O. Adegboyega, charged NCC to always impose sanctions on service providers engaging in act of extortion.

They said the sharp practice is gradually becoming endemic among telecom operators.

Representatives of telecom providers assured Nigerians of quality service delivery in the year , promising to embark on holistic approach to bring information for subscribers to enjoy all benefitsassociated with

NNPC Suleja Depot Gutted by Fire Laleye Dipo in Minna The Nigerian National Petroleum Corporation (NNPC) depot in Suleja, Niger State, was yesterday gutted by fire.

An articulated vehicle, as well as the loading canopy at the depot were mostly affected by the inferno.

It was learnt that but for the timely arrival of men of the fire service in Suleja, the entire depot would have been razed.

The Head of Operations, Minna Office of the corporation, Mr. Slaku Bijimi, who confirmed the incident, said: “The fire started around 5a.m. and by 5:30a.m., it was put out.

Bijimi however, said no life was lost in the incident, adding that “the damage was also not much because the fire

service officials arrived almost immediately after they were called.”

He confirmed that an articulated vehicle was burnt while the loading canopy and some pipes were damaged at the depot.

The officer in charge of the fire service in Suleja, Mr Mohammad Kwale, when contacted, also confirmed the fire incident, saying fire fighters swiftly swung into action when a distress call was made, adding that “there was no serious damage.”

In the meantime the depot had been sealed up by a combined team of the fire service, police, Nigerian Security and Civil Defence Corps (NSCDC) and the Federal Road Safety Corps (FRSC).

Confusion ensued in the assembly last Friday when crisis erupted in the assembly following the purported impeachment of the speaker, deputy speaker and the majority leader of the assembly, Mrs. Jumoke Akindele, Mr. Fatai Olotu and Mr. Ifedayo Akinsoyinu respectively by 14 of the lawmakers over allegation of financial mismanagement.

The lawmakers that were questioned were both members of the Peoples Democratic Party (PDP) and All Progressives Congress APC).

The aggrieved lawmakers said the decision to impeach and other the principal officers was taken for alleged

withdrawal of a sum of N15 million by the assembly paymaster Mr. Majekodumi Adesina without due process but on the instructions of the suspended.

After suspending the principal officers, the rebel lawmakers appointed Mr. Malachi Coker representing Ilaje Constituency 1, Mr. Ayodele Arowele from Owo Constituency 1 and Olamide George, representing Akure North Constituency as the speaker, deputy speaker and majority leader respectively in acting capacity.

Akindele, who denied the allegation and condemned the action of her antagonist

colleagues insisted that she was still the speaker, saying the rebel colleagues had no power to take such action against her.

As at now, the two factions in the assembly were laying claims to the leadership of the assembly.

It was gathered that the police command invited Arowele and other rebel lawmakers over the whereabouts of the mace.

The police was also said to have invited the paymaster and the clerk of the assembly, Mr. Bode Adeyelu, on their roles in the crisis.

However, the Police Public Relations Officer, Mr. Femi Joseph, denied arresting any

lawmaker.

He explained that the police was just making effort to prevent the matter from degenerating to a full-blown crisis.

He said, “ We did not arrest any lawmaker, the matter was an internal crisis in the House of Assembly, it doesn’t concern us but our own is to prevent the crisis from degenerating to serious crisis. “ Joseph, who said the police would not take side with any of the factions added that more policemen would be deployed to the Assembly complex to beef up security ahead of today’s legislative activities.

COURTESY VISIT

L-R: Director, Procurement, Nigeria Maritime Administration and Safety Agency (NIMASA), Mr. Sani Mohammed; Chairman, Nigeria Union of Journalists (NUJ), Lagos Council, Mr. Deji Elumoye; Director General/CEO, NIMASA, Dr. Dakuku Peterside; National President, NUJ, Mr. Abdulwaheed Odusile; and Head of Corporate Communications, NIMASA, Mr. Isichei Osamgbi, during a courtesy call on the DG of NIMASA by the NUJ team in Lagos....recently

FESTAC Police Illegally Detain, Fleece Tailor, Others Chiemelie Ezeobi Some group of policemen under the FESTAC Police Division, yesterday detained a tailor, one Segun Olatunji and eight others at Second Rainbow Bus stop for hours before releasing them, but not after fleecing them.

The tailor was said to have been detailed by his boss at Metal Point Label (MPL), to deliver some clothes at the Coker area of the state when he was intercepted by the policemen.

Speaking with THISDAY, Olatunji said his woes began after he had disembarked from a bus and made to cross the road to go over to Coker.

He said: “Some policemen who were at the triangular checkpoint stopped me. They asked me to identify myself, which I did.

“They asked me to open the parcel I was carrying and I explained to them that my boss had sent me to deliver

the clothes to a client, who was at that point waiting for me at her house in Coker.

“When they saw the quality of the clothes, they said I must be a thief to be carrying such expensive clothes. I tried to explain to them that I am a tailor but they refused to listen.

“They took my phone and went through it. They even saw pictures of samples of clothes I made for our numerous clients.

“When I approached one of them to beg him to release me, they said I must call my boss to further identify me.

I did and they spoke with my boss, who confirmed he sent me.

“At that point, they took the phone from me and told him that they arrested me at Maryland, meanwhile, we were at Second Rainbow, which has no bearing with Maryland area.

“They immediately switched off the phone, thus sending my boss, as I was

made to gather when I got home, into a frenzy.

“Unknown to me, my boss, who was at Ikorodu at that moment, got some people to find my whereabouts at Maryland, only to be told no such station exists there.

“Meanwhile, they asked me for N5,000 to secure my release and I told them that I don’t have any money on me. So they kept me with eight other people, including a female, under the mango tree.

“I was there from 2p.m. to 7p.m. when they wanted to close for the day. Some people that managed to raise the N5,000 were released.

“At about 7p.m, they told us they will search everyone again and that was when they found the remaining N2,000 my boss gave me for transport.

“After slapping me for lying to them, they released me with no transport money to go back to Ikorodu that night. I had to beg money

from people to go home that night. Of course, I didn’t deliver the clothes again.

“I have always heard of police extortion but never really believed it until it happened to me. I wish the state Commissioner of Police will secure justice for me.”

THISDAY checks revealed that those group of policemen at Second Rainbow are particularly notorious for illegally detaining, searching and collecting bribes from innocent passersby.

THISDAY had in time past handled one of such cases where they had arrested a clearing agent and detained him in the station for failing to grease their palms.

Though he had properly identified himself with his identity card, they had insisted on detaining him until T H I S D AY h a d c a l l e d their then divisional police o ff i c e r, who ordered his release with p ro f o u n d a p o l o g i e s .

MONDAY, JANUARY 30, 2017• T H I S D AY

52

NEWSXTRA

FG Approves Right of Way for Lagos Red Line Project Oshodi-Abule-Egba BRT to be completed in 20 months

Gboyega Akinsanmi The Lagos State Government at the weekend disclosed that the federal government had finally approved right of way for the construction of another light rail (red line) project.

The state government also disclosed that it had started the construction of Osho-AbuleEgba Bus Rapid Transit (BRT), noting that the project, second of its kind in Nigeria, would be completed in 20 months.

The Acting Commissioner for Transportation, Mr. Olarenwaju Elegushi, spoke on the two strategic projects at a stakeholders’ meeting he addressed alongside the Managing Director of Lagos Metropolitan Area Transport Authority (LAMATA), Mr. Abiodun Dabiri, at the weekend.

The meeting was convened to enlighten artisans, residents and traders along the corridor on the on-going construction of Osho-Abule-Egba BRT project,

which the administration of Governor Akinwunmi Ambode initiated in 2016.

After the meeting, Elegushi said most challenges on the plan to construct light rail (red line) project had been resolved, disclosing that the federal government had approved right of way for it.

He noted that the state government “is committed to the red line project. We have got the right of way from the federal government. We are just planning on our finance. We are also looking for the right people to do it.

“We are planning on its operation and maintenance.

We have a lot we planning regarding the project. As soon as we finish the planning, we will roll out. We are currently looking at various options.

“We have the option of PPP. We have the option of BOT. We also have the option of JV. We have four options we are working on. By the time we are through, we will come

up with good option that will benefit the people of Lagos.”

Even though the state government has opened bids for the red line project, the commissioner disclosed that a lot proposals “have been submitted to our office. We are also looking at these proposals.

Every investor – domestic and foreign – wants to work with Lagos.”

Considering the exchange rate variation, Elegushi said there was need to re-plan

and review a lot of things, noting that a committee “has already been set up on the red line project. The committee is working day and night. The project is dollar-driven. We pray the strength of dollar wane.”

On the Oshodi-Abule-Egba BRT project, Dabiri pointed out that the corridor “is unquestionably one of the busiest bus routes in West Africa with 5,500 buses moving passengers per day.”

He described the corridor

as a critical link for millions of people, who live in Alimosho, Egbeda, Iyana-Ipaja, AbuleEgba, Ijaiye and up to Toll Gate into Sango-Otta in Ogun State.

He added that the state government “has approved the Oshodi-Abule-Egba BRT corridor with a length of 14 kilometre for construction.

And the work has equally started on the project.”

He added that the project would comprise an

uninterrupted median running BRT service, 11 foot bridges across the corridor, one bus depot and two bus terminal at Iyana-Ipaja and Abule-Egba.

He explained the benefits to include improved mobility with the capacity to move over 350,000 passengers daily, elimination of traffic congestion along the corridor, reduce travel time by at least 40 percent and employment opportunities for Lagos residents among others.

Ishaku Charges Traditional Rulers to Curb Influx of Herdsmen into Taraba Wole Ayodele in Jalingo Governor Darius Ishaku of Taraba State has directed traditional rulers in the state to be vigilant and curb the influx of herdsmen from Cameroun who come into the state to perpetrate criminal activities.

Ishaku, who gave the directive during the coronation and presentation of staff of office to the 3rd Lamdo of Gashaka yesterday charged traditional rulers in the state to be very vigilant and security conscious in a bid to ensure that the influx of people who do not mean well for the state is seriously checked.

The governor, whose directive was loudly applauded by dignitaries present at the occasion particularly the mammoth crowd, noted that if not checked, the activities of the herdsmen that engage largely in criminal activities could sound the death knell of tourism which the state is desirous of improving and expanding.

According to him, “I want to charge traditional rulers in the state to be vigilant to curb and check the influx of people coming into the state who do not mean well for the state particularly herdsmen from Cameroun who largely engage in criminal activities that would discourage tourism which we’re desirous of improving and expanding.”

To achieve the objective, Ishaku tasked all traditional rulers to put machinery in place to check the activities of criminals who hide under the guise of grazing and other farming activities to perpetrate criminal activities

in their communities.

He directed that all ward and village heads must be properly briefed and empowered to screen all strangers who are coming into their domains and report their presence to the paramount rulers.

“I appeal to all traditional rulers to put all machinery in place to check the activities of criminals who hide under the guise of grazing and other farming activities to perpetrate criminal activities in their communities. Wards and village heads must be properly briefed and empowered to screen all strangers who are coming into their domains and report their presence to the paramount rulers.”

Besides, Ishaku further directed the wards and village heads to report all suspicious strangers to security agencies saying they must braze up to their responsibilities as traditional rulers who are closer to the people.

Similarly, Ishaku stated that it has become imperative to revert to the old traditional way of monitoring people who come into the community through the ‘Mai Angwar,’ stressing that the method must be re-invigorated and brought back to the front burner in order to achieve peace that the country seriously desires.

“I would therefore advise that the old traditional way of monitoring people who come into our communities through the Mai Angwas should be re-invigorated and in fact brought back to the front burner so that it can help us to achieve the peace we so much desire,” he stated.

GROOMING FUTURE BANKERS Deputy Managing Director, United Bank for Africa, Mr. Victor Osadolor (middle); Executive Director, Lagos and West,

Mr. Liadi Ayoku (left); Executive Director/ Regional CEO, Anglophone Africa, Mr. Oliver Alawuba (seconnd left); and Executive Director, Risk Management, Mr. Ike Uche (right), flanked by UBA Campus Ambassadors at their inauguration ceremony at the UBA House in Lagos...recently

NDDC MD, PDP Elements in APC After Me, Akpanudoedehe Alleges Ndubuisi Francis in Abuja A one-time Minister of State for the Federal Capital Territory (FCT), Senator John James Akpanudoedehe, has alleged that the Managing Director of the Niger Delta Development Commission (NDDC), Nsima Ekere and some new PDP elements in the All Progressives Congress (APC) are trying to muzzle him out of the party he helped to build in his state, Akwa Ibom State.

In a statement which he issued at the weekend, Akpanudoedehe, a former senator, accused the NDDC chief executive of sponsoring people to push him out of the party in Akwa Ibom State and an alleged move to eliminate him because Ekere perceives him as a threat to his 2019 governorship ambition.

He said: “If you remove the lead actor from a film, that is the end of the film. I have laboured hard with my sweat and blood to build APC. Nobody can push me out. I will not allow anybody to tie my hands for people to deal with me.

“These people wanted me dead in PDP. They charged me for treason and murder. Now,

they crossed over to APC, which we built with our sweat and blood, and they now want to push me out.”

Ekere and his alleged collaborators, the former minister further alleged, induced some people to sign a document suspending him from the party.”

Although efforts by THISDAY to reach Ekere to react to the allegations were futile, a very close friend of the NDDC MD, however, dismissed the allegations as the antics of a drowning man, desperately seeking attention.

He said an allegation bordering on plot to eliminate someone was such a weighty one, and not something that one bandies about without substance.

According to Ekere’s confidant, if someone is alleging that a plot is being hatched against his life, the first thing to do was to report to law enforcement agencies to investigate.

He argued that if Akpanudoedehe has neither reported Ekere to the police for investigations nor the police extending any invitation to the NDDC boss to answer to such allegations, such allegations

were a mere attempt to draw attention to his long gone political relevance.

According to him, anyone who is conversant with Akpanudoedehe’s political trajectory would not find his latest allegations odd, adding that they are in tandem with his antics over the years.

Speaking further on the alleged plot kill him, the NNDC’s ally said it was the funniest thing anyone who knows Ekere well could associate him with, describing him as ‘the most gentle human being I have ever known.”

But the former minister insisted that the NDDC chief wanted to neutralise him: “What they are doing is unconstitutional; anything founded on corruption cannot stand. It was fed by corruption. They are trying to muzzle the old ACN tendency within the APC out of the party.

“They brought in a fake ward chairman to say they had suspended me. They paid people to remove me from the party I built. The people who wanted me dead in PDP are now in APC and are behind this plot.

“Their plan is to stop us from participating in the mini

congress. But they will not succeed,” he alleged.

The former PDP members, PDP defectors, who joined the APC, he lamented, have taken all appointments due to Akwa Ibom State.

“They are federal minister, Special Adviser to President on National Assembly Matter, Commissioner in NPC, Managing Director of Oil & Gas Free Zone, House of Representatives from the state and ambassadorial slot of Akwa Ibom.

“They have taken over the party we built. Ekere removed the state Chairman of ACN, made him Chairman of Eket Local Government just to diminish us in the state and take over the party.

“We want more people in APC, but these people give the impression that everything is closed as if we don’t want more people, which is false. They have the audacity and moral authority to assault the sensibilities of the people,” Akpanudoedehe alleged.

Efforts by THISDAY to reach Ekere to react to the allegations were futile.

However, a very close friend of the NDDC MD dismissed the allegations as the antics of a drowning man, desperately seeking attention.

T H I S D AY MONDAY JANUARY 30, 2017

9

54

monDAY, jAnuArY 30, 2017 • T H I S D AY

MONDAYSPORTS

Group Sports Editor Duro Ikhazuagbe Email duro.ikhazuagbe@thisdaylive.com

AUSTRALIAN OPEN

Federer Beats Nadal to Win 18th Grand Slam Title

Roger Federer won his 18th Grand Slam title and first for five years with a thrilling five-set victory over Rafael Nadal in the Australian Open final yesterday.

The 35-year-old Swiss won 6-4 3-6 6-1 3-6 6-3 to claim his fifth Melbourne title and extend his lead at the top of the all-time men’s major winners’ list.

Nadal, 30, remains tied in second with Pete Sampras on 14 Grand Slams following his first final since 2014.

Federer’s previous major title came at Wimbledon in 2012.

“I’ve been coming here for almost 20 years now,” he said.

“I’ve always enjoyed it and now my family does too.

“Thanks again for everything, to everybody. I hope to see you next year. If not, this was a wonderful run here and I can’t be more happy to win.”

Federer’s achievement in ending his drought is all the more remarkable given this was his first tournament since Wimbledon last July, after which he took the second half of the season off to recover from a knee injury.

He becomes the first man in history to win five or more titles at three different Grand Slam events - five Australian Opens, five US Opens and seven Wimbledons.

Nadal was also on the way back from injuries that curtailed his 2016 season, but the Spaniard could not improve his winning record against Federer - the Swiss has now won 12 of their 35 matches and three of nine major finals.

“I worked very hard to get where I am,” said Nadal. “I fight a lot, probably Roger deserved it a little bit more than me.

“I’m just going to keep trying.

I feel I am back at a very high level.”

The return of one of the great tennis rivalries to the Grand Slam final stage led to huge anticipation, and it lived up to the billing over three hours and 37 minutes.

A match of wild momentum swings ended with a purple patch from Federer that saw him win the last five games, and clinch the title thanks to confirmation from a Hawk-Eye challenge.

Federer leapt in the air in celebration and, after consoling close friend Nadal, broke down in tears as his wife Mirka and his team celebrated in the stands.

“Tennis is a tough sport,” said Federer. “There are no draws. If there were I would have been happy to accept one and share

it with Rafa.

“Everybody says they work very hard - I do the same - but I try not to shout about it. I’d like to thank my team. It’s been a different last six months. I didn’t think I’d make it but here I am.”

The injury lay-offs meant Federer was seeded 17th in Melbourne and Nadal ninth, but the Swiss will now return to the world’s top 10 and Nadal will move up to sixth.

There were moments of genius from both players - a stunning forehand angled winner from Nadal as he dominated the fourth set, a breathtaking 26-stroke rally in the fifth that ended with a crushing Federer forehand - but in the end the attacking instincts of Federer held sway.

He dropped just four points on serve in the first set, breaking serve after a brilliant drive volley in game seven, only for Nadal to race 4-0 clear in the second.

Federer recovered one of the breaks but it was not enough as Nadal served out to love to level the match, and then heaped on the pressure early in the third.

With the momentum slipping away, Federer came up with three aces on break points to nudge ahead in the first game - and it proved to be a decisive moment.

A magical half-volley forehand helped Federer get the break in the next game and he rolled through the set for the loss of just one game.

Neither had been able to produce their very best consistently and it was Federer’s turn to leak forehand errors as he fell behind in the fourth set, and Nadal appeared the stronger as they headed into a decider.

Federer needed an off-court medical time-out, just as he had before the fifth set of his semi-final against Stan Wawrinka, and he had treatment to his thigh on the changeover as he fell 3-1 behind.

Despite his physical issues, Federer continued to press on the Nadal serve, earning break points in each game until he finally converted a sixth to level at 3-3.

The Rod Laver Arena crowd roared as the Swiss swept through a service game and then broke again in a dramatic game, winning a 26-stroke rally that will rank among the best ever.

Closing out a Grand Slam final was never going to be easy after five years, and Federer had to recover from 15-40 before firing a forehand onto the line and waiting for Hawk-Eye to confirm it was a historic winner.

Federer v Nadal in Grand Slam Finals

2006: French Open - Nadal won 1-6 6-1 6-4 7-6 (7-4) 2006: Wimbledon - Federer won 6-0 7-6 (7-5) 6-7 (2-7) 6-3 2007: French Open - Nadal won 6-3 4-6 6-3 6-4 2007: Wimbledon - Federer won 7-6 (9-7) 4-6 7-6 (7-3) 2-6 6-2 2008: French Open - Nadal won 6-1 6-3 6-0 2008: Wimbledon - Nadal won 6-4 6-4 6-7 (5-7) 6-7 (8-10) 9-7 2009: Australian Open - Nadal won 7-5 3-6 7-6 (7-3) 3-6 6-2 2011: French Open - Nadal won 7-5 7-6 (7-3) 5-7 6-1 2017: Australian Open - Federer won 6-4 3-6 6-1 3-6 6-3

MEN’S ALL-TIME GRAND SLAM SINGLES TITLES LEADERS

18 (2003-present) - Roger Federer (Swi) 12 (1961-1967) - Roy Emerson (Aus) 14 (2005-present) - Rafael Nadal (Spa) 1 (1974-1981) - Bjorn Borg (Swe) 14 (1990-2002) - Pete Sampras (US) 11 (1960-1969) - Rod Laver (Aus) 12 (2008-present) - Novak Djokovic (Ser) 10 (1920-1930) - Bill Tilden (US)

Federer with his Australian Open 2017 trophy… yesterday

NPFL…NPFL…NPFL…

MFM FC’s Teenage Striker, Waheed, Puts Pillars to the Sword Ugo Aliogo A sublime header from teenage striker Adebayo Waheed was just enough for Mountain of Fire and Miracles Ministries Football Club to secure their third home win of the season against Kano Pillars in one of yesterday’s fixtures of Match-day 5 of the Nigeria Professional Football League (NPFL) decided at the Agege Township Stadium.

It was indeed a tough encounter for Fidelis Ilechukwu’s men. The visitors dominated possession in the early stage of the exchange but MFM defenders gave good account of themselves with great level of composure.

MFM FC mounted pressure on the visitors’ defence in the 8th

minute with Onuwa Chukwuka, Sikiru Olatunbosun and Stephen Odey troubling the Sai Masu Gida defenders.

The Olukoya Boys had a chance to register the first goal of the game in the 16th minute of the encounter when Adekunle Adegboyega low shot beat Pillars goalkeeper but Chinedu Udoji stopped the forward from scoring his second goal of the season with a timely goalline clearance.

Former Ikorodu United attacker Kabir Balogun tested MFM FC goalkeeper Ospino Egbe in the 36th minute of the game with a ferocious shot but the former Bayelsa United goaltender pulled a lovely save. First half ended goalless for both teams.

St.SavioursWins Zenith Bank Swimming Championship St. Saviours School, Ikoyi, on Saturday won the 2nd Ikoyi Club 1938 swimming section inter-school gala primary school competition.

The competition sponsored by Zenith Bank was attended by nine teams (schools) with several pupils and their parents in attendance.

The winner scored 241 points while Children’s International School, Lekki, finished second with 156 points. Despite winning more gold medals (10) than others, Corona School finished third, polling 131 points.

The president of the Nigeria Swimming Federation, Babatunde Fatai-Williams, applauded Zenith Bank for investing in the children.

He said: “Primary school is the foundation for swimming because swimmers usually start early,” he said.

“If they start learning from age six and above, it will be very good for them because at that stage they tend to learn very well and the basics learned will stick to their brain.

The Chairman, swimming section of Ikoyi Club 1938, Segun Adekoya, said the first edition was solely sponsored by an individual but was happy that Zenith Bank agreed to bankroll this year’s edition which made it more colourful with prizes for the kids.

Adekoya revealed that the target was to see an Olympian from some of the kids competing at the club in the nearest future.

The General Manager, Power and Infrastructure Group; E-Business and Card Services, Zenith Bank, Wunmi Ogunbiyi, was available to give prizes to the winners.

Ilechukwu’s men came out like a house on fire in the second half of the game. Onuwa set Odey up with a beautiful pass the latter dribbled past his markers but his last attempt on the ball went inches wide.

Four minutes after Odey’s attempt at goal, MFM FC boss made his first substitution of the game replacing Adekunle with 18-year-old striker Adebayo Waheed.

The teenager made his impact felt five minutes after his introduction scoring his side’s only goal of the game in his first NPFL appearance with a brilliant header after connecting a cross from Stanley Okorom. The game ended with the Lagos-based team claiming another home victory.

The Olukoya Boys who moved from 3rd position to 2nd on the NPFL log with 10 points from a possible 15 will travel to Akure for a date with Sunshine Stars on Sunday in an encounter tagged ‘South-west Derby.’

STA N D I N G S

Team P Plateau Utd 5 MFM FC 5 ABS F.C. 5 Enyimba 5 Rivers Utd 5 Abia Warriors 5 Gombe Utd 5 Wikki 5 Katsina Utd 5 Lobi Stars 5 Rangers 5 Remo Stars 5 Kano Pillars 5 El-Kanemi 5 Sunshine 5 Nasarawa 5 Tornadoes 5 IfeanyiUbah 5 Shooting 5 Akwa Utd 5

W 4 3 3 3 2 2 2 2 2 2 1 2 2 2 2 1 1 1 1 0

D 1 1 1 1 3 1 1 1 1 1 3 0 0 0 0 2 2 1 1 3

At the Gateway International Stadium in Sagamu, Remo Stars FC shook off the tensions of a newcomer to spank old war horse, El Kanemi Warriors, 2-0 to harvest maximum points in the NPFL match day five clash.

The hosts left no room for guesses as they drew first blood with an early goal that left the visitors from Maiduguri in shock when Onuoha Chukwujekwu blasted in from close range a rebound from goal rush in two minutes of the whistle.

RESULTS

Rangers 1-1 Tornadoes Plateau Utd 2-1 Abia Warriors Enyimba 2-1 Nasarawa Wikki 3-1 IfeanyiUbah Katsina Utd 1-1 Akwa Utd Gombe Utd 2-0 Sunshine MFM FC 1-0 Kano Pillars Remo 2-0 El Kanemi Rivers Utd 0-0 Lobi ABS FC 2-0 Shooting L 0 1 1 1 0 2 2 2 2 2 1 3 3 3 3 2 2 3 3 2

GF 10 9 7 6 4 5 5 5 4 4 4 6 3 4 3 5 4 5 4 3

GA 4 5 5 4 2 4 5 5 5 6 4 7 4 6 6 5 6 5 6 6

GD 6 4 2 2 2 1 0 0 -1 -2 0 -1 -1 -2 -3 0 -2 0 -2 -3

Pts 13 10 10 10 9 7 7 7 7 7 6 6 6 6 6 5 5 4 4 3

55

T H I S D AY • MONDAY, JANUARY 30, 2017

MONDAYSPORTS AFCON 2017...

AFCON 2017...

AFCON 2017...

Ayew Brothers Power Black Stars into S’final Brothers Andre and Jordan Ayew were on target yesterday as Ghana’s Black Stars booked their place in the 2017 Africa Cup of Nations semifinals with a 2-1 win over the Democratic Republic of Congo at the Stade d’Oyem in the Gabonese city Oyem.

The Black Stars came to life in the second half and despite a cracking strike from Paul-José M’Poku, Ghana rallied to book their place in the final four for the sixth Afcon tournament in succession. Ghana joins Burkina Faso and Cameroon in the semifinals.

The Leopards carried on from where they left off in the group stages and should have been a goal up seven minutes in.

A defensive blunder by Harrison Afful opened the door for Dieumerci Mbokani; the Hull City forward duly skipped past Brimah Razak, but could only succeed in directing his resulting shot onto the post with the goal at his mercy.

Ghana struggled to break down a very organised Leopards side, in contrast, Florent Ibenge’s men were almost conjuring chances at will.

And after Mbokani held off three defenders before setting up the in form Junior Kabananga - the Kazakhstan-based attacker could only succeed in seeing his left-footed shot well over the crossbar in the 26th minute of the clash.

Most of the game was concentrated in the middle of the park, but DR Congo were clearly the more confident of the two sides with

goal-minder Ley Matampi a mere spectator in the opening stanza.

DR Congo created one last chance before the break with Chancel Mbemba unable to direct his header on target, having sneaked in at the back post from a free-kick.

Ghana came out a different unit following the break withAndreAyew testing Matampi almost immediately from the kick-off. Mubarak Wakaso was then brilliantly denied by Matampi minutes later as the west Africans came to life.

Ghana would get their goal in the 63rd minute through Aston Villa Jordan Ayew. Wakaso was the provider as he won the ball back before feeding his teammate; Jordan skipped past Merveille Bope before curling the ball into the back of the net for the games opener.

Their joy, though, would be short-lived as DR Congo hit back five minutes later. A quickly taken free-kick played to M’Poku, who hit home a right-footed rocket from range to send the Leopards fans into delirium, 1-1.

Ghana, though, would not be denied a place in the final four and after Joyce Lomalisa was adjudged to have brought down Christian Atsu inside the area, Andre Ayew duly converted from 12 yards in the 78th minute.

Cédric Bakambu squandered two late chances for DR Congo as Ghana just about held their nerve. Victory moves them one step closer to winning a first African crown since 1982.

Black Stars players celebrating the ticket to the semifinal of AFCON 2017 in Gabon after defeating Congo DR 2-1… yesterday

Luck Was on Cameroon Side, Says Hugo Broos Odion Ighalo’s Future at Head Coach, Hugo Broos’ men will now participate of Nations for the first time and me and the entire team. I’m the Watford Hangs in the Balance Cameroon our ambition has always been first person to feel their pain. It is Broos, felt that his charges in the semi-finals.

Odion Ighalo looks increasingly likely to quit Watford before the transfer window closes on Tuesday night after he was left out of yesterday’ 0-1 FA Cup loss at Millwall.

Watford manager Walter Mazzarri confirmed the club has received official bids for the Super Eagles striker with Chinese club in the forefront of the chase.

It was understood Watford is demanding for as much as 25

million pounds for the 27-year-old and Shanghai Shenhua has tabled an offer of 15 million pounds.

Ighalo has also been linked with another Premier League club, West Bromwich Albion, who are shopping for another striker following the move of Saido Berahino to Stoke City.

Nigeria stars John Mikel Obi and Chinedu Obasi are among the players who have moved this month to China.

deserved to beat Senegal in the 2017 Africa Cup of Nations (AFCON) quarter-final clash on Saturday night.

The Indomitable Lions went into the encounter at the Stade de Franceville in the Gabonese city of Franceville as the underdogs against the much-fancied Lions of Teranga.

However, Cameroon emerged 5-4 winners over Senegal on penalties following a goalless draw in regulation time and extra-time.

“It is a great day for my team.

Not many people gave us the chance to reach the semifinals,” Broos told the media.

“We played against a strong Senegal team. We fought very hard and resisted several attacks by the opponent.

“Luck was on our side too.

I congratulate my very young team. They really deserve to be in the semis,” he continued.

“Fourteen (14) of my team are playing in the Africa Cup

to go far.”

In his reaction, Senegal Head Coach, Aliou Cisse, described the exit of the Teranga Lions as not an easy one.

“The elimination is not easy for us. It is hard for us and the country who were expecting so much from us,” Cisse told the media.

“I feel sorry for the players who wanted to write their own piece of history.”

“It is a big disappointment for

very hard for us in the dressing room but we can raise our heads high,” he continued.

“The Cameroonian defence was compact from the start till the end. We created several opportunities but they resisted all our attacks.”

“We were not collective up front and missed a lot of chances.

What we missed today was the fact that some players failed to realise that they cannot do it alone,” he concluded.

Michel Dussuyer yesterday stood down as Côte d’Ivoire head coach following his team’s early elimination at the Africa Cup of Nations.

The Frenchman’s decision to resign after 18 months in the post was announced by the Ivorian football federation.

“The appropriate measures

will be put in place to find his successor,” a federation statement said, praising Dussuyer’s “professionalism, commitment and human quality”.

Under Dussuyer, appointed in 2015, the defending champions failed to win a first round game in Gabon, losing to Morocco after draws with Togo and DR Congo.

StarTimes Brings Chinese Super League to Nigerian Fans Dussuyer Quits as Elephants Coach Fans of Super Eagles Captain, John Mikel Obi, will have the opportunity of watching the player as digital television service provider, StarTimes, has concluded plans to beam live the Chinese Super League.

Mikel teamed up with Chinese side, Tianjin TEDA from Chelsea during the January transfer window to join other top stars like Carlos Tervez and former Chelsea teammate, Oscar.

Tianjin TEDA recently named Mikel as their captain as they continue their preparation for the season scheduled to start in February.

The CSL is now populated with stars and StarTimes officials assured fans at the weekend of the opportunity to see most of these stars from the comfort of their homes.

With the continued interest in Super Eagles Striker, Odion Ighalo, from Shangai Shenhua, who signed former Manchester United striker, Tevez, the numbers of Nigerians in China would

have risen with striker Obafemi Martins already playing for Shangai Shenua.

Other top stars that will be playing for different clubs in the new season are: Paulinho and Jackson Martinez (Guangzhou Evergrande); Ramirez and Alex Teixeira (Jiangsu Suning); Oscar and Hulk (Shanghai SIPG); Martins, Tevez and Demba Ba (Shanghai Shenua).

Also Ezequiel Lavezzi and former Arsenal striker, Gervinho will be filling out in the colour of Hebei China Fortune.

Apart from players, top coaches like immediate past Manchester City coach, Manuel Pellegrini, will be on the touchline for Hebei China Fortune, as he challenge former Chelsea coach, Felipe Scolari, who has won the title in the last two seasons with Guangzhou Evergrande.

Also in the mix are ex-Tottenham manager, Andre Villas-Boas, who is now the coach of Shanghai SIPG, and Italian star, Fabio Cannavaro, the coach of Tianjin Quanjian.

PwC, Diamond Bank, Others Support DOAMF Charity Golf As the February 4, 2017 date for the finals of the seventh edition of the Daniel Ogechi Akujobi Memorial Foundation Charity Golf Tournament draws close, organisers of the event have informed stakeholders that a number of corporate organisations have thrown their weight behind the event.

The event is scheduled for the Golf Section of Ikoyi Club 1938 in Lagos. The final, notable for its unique tournament day experience, will feature about 180 players in the draw. Participants are expected to feature in an 18-hole stroke-play contest,

with winners to be rewarded later in the evening at a prize giving cocktail event.

According the coordinator of the DOAMF Charity Golf Tournament, Pat Bassey, the different levels of support offered by the sponsors and individuals will go a long way in helping the Foundation increase its reach and touch more lives.

“We feel very honoured that these corporate organisations and individuals, see our efforts in bettering lives as a worthy cause to invest in. And, as we have done over the years, we will be accountable and resolute, in

ensuring resources are prudently utilised in changing more lives” he said.

Since DOAMF was founded over seven years ago, about 66,000 lives have been touched of which 12,000 were reached in 2016 alone.

“We get to do all these from the funds raised from the golf event, and that is why we value every measure of support we get from corporate organisations, groups and individuals” Bassey added.

“We intend to use the cocktail event in the evening of the tournament day to also interact with all our partners and donors and to appreciate those that

are keeping the Foundation’s charitable works afloat.”

The sponsors include, PricewaterhouseCoopers, ,Diamond Bank Plc, ARM Pension Managers, Radial Circle Group, Zenith Bank, Arik Air, ExxonMobil, SEPLAT Petroleum, Air France, Channels Television, Silverbird Television, Grand OAK, Cappa & D’Alberto, SPAR (Park N’ Shop), Southern Sun, Debonair Group, Mixta Africa Heritage Bank, Standard Alliance Insurance, Four Points by Sheraton, Seven Up Bottling, Victoria Crown Plaza,, ,Ikoyi Club 1938, and several others.

TR

Monday January 30, 2017

UT H

& RE A S O

N

Price: N250

MISSILE Shehu Sani to President Buhari

This letter is a funeral service for the anti-corruption fight. When it comes to fighting corruption in the National Assembly, the judiciary and in the larger Nigeria society, the president uses insecticide; but when it comes to fighting corruption within the presidency, they use deodorant – Senator Shehu Sani accusing President Muhammadu Buhari of hypocrisy and lies in his letter clearing SGF, Babachir Lawal, of corruption allegations in the management of funds meant for Boko Haram victims.

ALEXOTTI OUTSIDE THE BOX

alex.otti@thisdaylive.com

Of Apple and Crude Oil L

et me start with a confession.

I like apple products, from the iPod, through the iPad to the iPhone and of course the iTunes.

Apple makes beautiful and very user-friendly products and sometimes, they are intoxicating, seductive and addictive. This write up, however, is not about the products as such, as it is about innovation and what happens when the human intellect is combined with a thinking-friendly environment and a clime that supports creativity and industry. The story of apple is a very interesting one. Two friends who, by the way, were school drop outs, Steve Jobs and Steve Wozniak, founded the company from their garage on April fool’s day in 1976. A third friend Ronald Wayne, was invited by Jobs to take a minority stake in the company and act as an arbiter, should the two Steves fight. The company has since grown to become the most valuable company in the world with a market capitalisation of over $630b and revenues of over $216b as at end of last year. Their products are some of the most important products in the technology space. Apple remains one of the most innovative companies of the world. Could Apple have done so well if the founders were from and operated out of Nigeria? I believe opinion would vary on this question, but one thing we should all agree on, is that our country is not wired to support startups, innovation and industry. Of course, the founders had their fair share of challenges when they were starting. Banks were unwilling to touch them when they were trying to commercialise their innovations. In compiling the story of Steve Jobs, Nik Rawlinson wrote that Wozniak was the real “techie” guy while Jobs was the business man.

Both of them sold something, (HP calculator by the former, and Volkswagen microbus by the latter) to finance the production of the first apple, christened “Apple 1”. Jobs, having fixed a commercial price against Wozniak’s position of selling the computer at a price that would just cover the cost of the component parts, got a deal to sell 50 units of the computer to Mr. Paul Terrel, owner of the Byte Shop. Walter Isaacson in his book, “Steve Jobs: The Exclusive Biography” stated that the two youngsters didn’t have resources to fulfill the orders, neither could they get loans from banks at that time. Virtually all the parts stores, including Atari, where Jobs had worked, wanted cash for any components sold. At the end of the day, it was Byte Shop’s order that heralded the Apple Corporation. Jobs had taken the order to a component parts dealer, Cramer Electronics and convinced the manager to put a call through to Mr. Terrel to confirm the order. “Terrel was at a conference when he heard over a loud speaker that he had an emergency call (Jobs had been persistent). The Cramer manager told him that two scruffy kids had just walked in waving an order from the Byte Shop. Was it real? Terrel confirmed that it was, and the store agreed to front Jobs the parts on thirty day credit” The rest, like they say, is history.

Minister of Finance, Kemi Adeosun Nigeria is the 6th largest oil producer in the world. Oil was discovered in Oloibiri in the present day Bayelsa state in 1956. There is no doubt that a lot of innovation has been introduced in the way oil is produced between the time oil was discovered and now. What we have not done is to harness the opportunity such that Nigerians would be technically sound enough to take over most of the production in country. I’m aware of all the efforts that have been made to domesticate oil production. I know about the Nigerian Content Development initiative. I also know about the Cabotage law which is not just about oil, but also about Shipping and vessel ownership. I’m also not unaware of the efforts made by Nigerians to implement some of these laws in breach. I’m aware that some foreigners in connivance with unscrupulous Nigerians go into joint ventures that present Nigerians as owners of companies which in reality are foreign companies. The whole idea is to present those companies as Nigerian companies for the purpose of defeating the law on indigenous ownership and local content. This normally goes with compensation to the shortsighted Nigerian accomplices.

We have unfortunately failed to add significant value to the crude we produce.

While apple has created so many products and continue to improve on existing ones, we have basically been shipping crude oil in its crudest form since it was discovered.

Again, I am aware that we had set up four refineries in the past to process the crude oil into final products like diesel, premium motor spirit, kerosene, aviation fuel etc. It was a great idea to set up those refineries, but at the moment the 455,000 barrels per day refineries are operating at a shameful 5% capacity. Like I had stated elsewhere, per 2015 figures, given that our local consumption stood at 408,000 barrels per day, while we produced an average of 24,000 barrels per day, we had a wide local consumption gap of 384,000 barrels per day which is filled with importation. Meanwhile, other OPEC countries are doing a lot better. Algeria, for instance, has installed refining capacity of 650,000 barrels per day and actually refines 628,000 barrels, while it consumes 418,000

barrels per day and exports 210,000 barrels per day of refined products. Kuwait with a population of 4 million people has installed refining capacity of 936,000 barrels of crude per day. It however, refines over a million barrels per day, the excess being accounted for by Gas to Liquids. Kuwaitis consume just 345,000 barrels per day while they export over 680,000 barrels of refined products per day. The question to ask is who or what has bewitched us? Beyond all the primary products listed above, there is a lot we could have done with our crude to make our life better and diversify our sources of revenue. The most pathetic is that gas associated with crude production which other countries reinject or produce are flared with reckless abandon. Someone described that action as setting money on fire. Of course, little or no attention is paid to the environmental hazard of the continuous flaring of gas to host communities and their neighbourhoods.

We also got so lazy that virtually everyone in the country is now dependent on oil. When prices came tumbling down, we all became prostrate. Meanwhile, we had demonstrated that we were just pretending, when we convinced ourselves that we were an oil economy. From our estimated population of over 180m people and our average production of about 1.7m barrels per day, about 370 people will share 1 barrel of oil per day and at a price of $55 per barrel, each person would be entitled to a little less than 15 cents per day and at the current exchange rate of N305 per dollar, it would amount to less than N46 apiece. I don’t know that it makes sense for us to pay as much attention to oil at the detriment of a lot of other possibilities open to us.

Statistics indicate that Nigeria earned $95b from petroleum exports in 2012, $90b in 2013, $77.5b in 2014 and $42b in 2015. Looking at the revenues for Apple for the same period, the company earned $157b in 2012, $171b in 2013, $183b in 2014 and $234b in 2015. The difference is very clear.

It is almost becoming too late for us to sit down and hold an honest conversation about the structure of our economy. Is this the way we want to continue? Where are we going to be in the next five to ten years?

Can we do things differently? What sectors of the global economy would continue to boom in the foreseeable future. Can we refocus our people to become more productive and creative? I believe that all the ingredients exist to move this country from the joke of potentially great to a truly great country. The most important ingredient, to my mind, is human capital. However, there must be the political will and the honesty of purpose to ensure that we harness the great potentials and the ingenuity of our people. As we go from town to town and from village to village, we are confronted with the reality of very industrious and hardworking people. But all sorts of speed breakers are placed on their way. We must begin to dismantle them for our people’s ingenuity and creativity to blossom.

We must first and foremost remove barriers to entry into business. There is a comparative report compiled annually by the World Bank Group referred to as “ease of doing business report”. This report rates 190 countries on a scale such that higher rankings indicate more conducive business and regulatory environments for starting and running a local firm while low rankings indicate the opposite. As of last year, Nigeria ranked 169 out of the 190 countries rated. In Sub-Saharan Africa, countries that placed better than us include Mauritius 49, Rwanda 56, Botswana 71, South Africa 74, Kenya 92, Ghana 108, Zimbabwe 162, and some other 30 countries before getting to us, unenviably sitting at the 169th position. For ease of understanding, it is important that we highlight some of the issues that the World Bank measures to arrive at the report. These include starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting minority investors, paying taxes, trading across borders, enforcing contracts, and resolving insolvency. I thought this was important to underscore that everyone has a role to play in resolving the problem of road blocks to creative and innovative thinking.

I cannot conclude without drawing attention of the young people to some of the lessons to be learnt from the story of Apple. It is important because many a times, we are very quick to point fingers at the multitude of reasons why things could not be done. In terms of education, the two young Steves were drop outs from school. They refused to allow that deter them. They set up a joint company, complementing each other in terms of skills.

These days, we want to go it alone, sharing no risks and sharing no skills. They brought in a minority shareholder who they believed could be an arbiter in case of fracas. That was forward thinking. That banks rejected them could not stop them. These days, what we hear is “I don’t have capital, banks are not lending money” etc. Those could just be excuses and they are not new. Note that “Steve Jobs was persistent” and I dare add, creative, taking an LPO to a parts supplier to get credit. They had to sell what they had to produce the first apple computer. Sometimes, you may need to part with something of value to create better value. Finally, as they became successful, they worked harder, put on better thinking caps and this led to new and better products. You don’t need to rest on your oars, when you think you have arrived. That is the time to work harder.

By the way, Apple products are so pricey going by the current dollar exchange rates.

The iPhone 7 goes for anywhere between $769 and $969, the iPad sells for between $800 and $1100, the MacBook will set you back some $1000 to $2,400 and the iPod commands a tidy $400, depending on specification. Meanwhile, our crude oil is still struggling at around $55 per barrel. Just like the saying goes, you dare not compare Apples and Oranges, much less a product as crude as crude oil.

Printed and Published in Lagos by Leaders & Company Limited . Lagos: 35 Creek Road, Apapa, Lagos. Abuja: Plot 1, Sector Centre B, Jabi Business District, Solomon Lar Way, Jabi North East, Abuja .

All Correspondence to POBox 54749, Ikoyi, Lagos. EMAIL: editor@thisdaylive.com, info@thisdaylive.com. TELEPHONE Lagos: 0802 2924721-2, 08022924485. Abuja: Tel: 08155555292, 08155555929 24/7 ADVERTISING HOT LINES: 0811 181 3086, 0811 181 3087, 0811 181 3088, 0811 181 3089, 0811 181 3090. ENQUIRIES & BOOKING: adsbooking@thisdaylive.com