Westafrica BusinessNews Wednesday, March 20, 2019

NIBSS targets N600Bn POS transaction value in 2019

BY BONNY AMADI

T

he Nigerian Interbank Settlement systems (NIBSS) Plc, has projected target of N600 billion transaction value via point of Sales (POS) payment systems this year, a 100 per cent expected rise form N285billion value posted in

2018.

This was revealed yesterday in Lagos, shortly after the electronic payment stakeholders meeting, by the Acting Managing Director/ CEO, NIBSS, Niyi Ajao, while giving progress report on the stakeholders’ effort at eliminating POS transaction failures in the payment

WEDNESDAY, MARCH 20, 2019

systems, as well as capacity development initiatives by all connected stakeholders.

Ajao, also urged banks customers whose failed POS transaction has not been resolved within the one week regulatory stipulated period, to follow up with report to the NIBSS, or even escalate the matter to the Central Bank

Vol. 06 No. 307

of Nigeria (CBN’s) payment system management channel.

He revealed that transaction failures recorded within the last quarter of 2018, reduced the transacted value during the year which could have exceeded N300billion, which also reflected 100 per cent rise from value transacted in

2017.

The NIBSS Acting CEO, explained that there are about seven connected parties in the execution of every POS payment and whenever there is a hitch in any of the connected parties, it usually affects timely delivery of transaction, and re-versal of failed transactions, but

all the challenges have now been resolved as transaction failures recorded in POS payments have declined.

He also further explained that, one of the major contributor to the failures was the upgrading by the NIBSS, which was aimed at meeting up with the rising transaction

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N200

ISSN: 2408-6703

Debt-Service Costs: FG Considers Concessional Lenders

BY NIYI JACOBS

T

he federal government says it will prioritize borrowing from concessional lenders such as the World Bank and African Development Bank as it looks to rein in interest payments “If you were to ask me if we’re going to issue Eurobonds this year, I’d say we’ll explore all the options,” Patience Oniha, Head of the Debt Management Office, said in an interview Tuesday “Our preferred option is to explore concessional sources. One of our major objectives is to reduce debtservice costs.”

It would be recalled that Nigeria’s 2019 budget presented by President Muhammadu Buhari In December and yet to be approved by lawmakers, envisaged the government issuing about 1.65 trillion naira ($4.6 Billion) of new debt, half of which would be in foreign currency.

Africa’s biggest oil producer has mostly used the eurobond market for its external funding in recent years, rather than concessional lenders. It sold $5.4 billion of bonds last year and $4.8 billion In 2017, making it Africa’s most prolific issuer in that

Page 29

CBN Laments $10bn Revenue loss from Oil Palm Page 12 L-R : Country Director, PharmAccess Foundation, Njide Ndili; Managing Director, Chief Executive Officer, Sterling Bank, Abubakar Suleiman; and Founder/Chief Executive Officer, Premier Medical Systems Nigeria Limited, Niyi Osamiluyi, at a press conference to flag off the Digital Health Summit in Lagos.

FG auctionS N100bn bonds March 27 Page 6

Weak performance force ASI down 14bps as investors fortunes drop

Page 13

Why FG shy away from signing ACFTA 12-month after

BY JULIUS ALAGBE

A

year after the set benchmark for implementation of the African Continental Free Trade Area deal designed by the

African Union, Federal Government is yet to come to term with the need to signing the agreement. It would be noted that 12-months ago, when Africa trade agreement came into

Africa economic space, the Federal Government having cited some issues continues to sidelining the nation from implementing inter-Africa trade relations deals.

Though, some experts

Inspiring the Nigeria Police with Honours

said that the problem of development in both infrastructure and human capital is due to low trade relations among African countries. The issue that experts view

Page 7

Backpage

WEDNESDAY, MARCH 20, 2019

PUBLIC NOTICE

STAKEHOLDERS’ CONSULTATIVE FORUM ON RURAL CONNECTIVITY USING TELEVISION WHITE SPACE (TVWS)

I

III.

n line with its practice of stakeholder consultations in carrying out its regulatory functions, the Nigerian Communications Commission (NCC) is organising a stakeholders' consultative forum on rural connectivity using television white space.

The Commission is desirous of developing a regulatory framework on the use of TVWS to specically address the operational aspects of using TVWS in Nigeria.

THE ISSUES FOR DELIBERATION AT THE FORUM INCLUDE THE FOLLOWING:I. How to ensure harmonious operation with licensed spectrum users.

II. Categorising TVWS operators into tiers to accommodate cognitive radio operators and non-cognitive radio operators.

The possibility of designating the TVWS spectrum as licence exempt, to enable service providers operate competitively i.e. to enable them to provide low cost services to most of the unconnected subscribers in the rural areas.

Papers will be presented on the subject by seasoned and experienced local and international industry professionals.

The forum is scheduled to take place as follows: Date: Venue: Time:

Tuesday, March 26, 2019 Barcelona Hotels, 23, Blantyre Street, Wuse 2, Abuja.

9.00 A. M.

INTERESTED INDUSTRY STAKEHOLDERS ARE HEREBY CORDIALLY INVITED TO ATTEND Signed: PROF. UMAR GARBA DANBATTA, FNSE, FRAES, FAEng EXECUTIVE VICE CHAIRMAN/CEO

KHALEESI

arpa6429

BUSINESSNEWS 6 WESTAFRICA WEDNESDAY, MARCH 20, 2019

NEWS

BMO hails Buhari’s economic policies for declining inflation T

he Buhari Media Organisation (BMO) says a decline in inflation rate to 11.31 per cent in February indicates that the economic policies of President Muhammadu Buhari are succeeding.

The group made this known

in a statement jointly signed by its Chairman, Niyi Akinsiju, and Secretary, Cassidy Madueke on Tuesday in Abuja.

The statement said that latest fall in inflation rates, the third in the last six months, had put more money in the pockets of Nigerians

as they paid less for more consumables in their households.

It noted that continued downward trend of inflation rate in Nigeria from an annual average of 12.46 per cent in 1996 until now at 11.31 was indicative of the impact of the policies of President

President Buhari

Buhari.

“The falling prices of food in particular, affirm that the drive to boost agricultural production in Africa’s biggest democracy is yielding the desired results, especially the attainment of 98 per cent sufficiency in domestic rice production,” the statement said.

BMO also said that the findings by the National Bureau of Statistics that the year-on-year food price level declined by 0.04 per cent to 13.47 per cent in February.

It added that the price level decline testified to the efficacy of the economic diversification drive of the administration in which the boosting of agriculture was a key pillar.

The group said that farmers’ access to high quality seeds and other agricultural inputs with price support from the government through the Anchor Borrowers Programme (ABP) for dry season farming had boosted yields from irrigation farms.

“The promotion and support of aquaculture to bolster domestic food production and

the availability of inputs for fishfood production contributed in the downward trend of fish and other food prices,’’it said.

It also said that Figures released by the NBS indicated that both the annual and monthly core sub-indices declined to 9.8per cent and 0.65 per cent in February from 9.9 per cent and 0.81 per cent in January.

The BMO that the decline was mainly caused by a reduction in the prices of household appliances and materials.

According to the group, the exceptional decline in the various elements of overall inflation, in spite of huge spending in a highly competitive election season, was attributed to the sound economic and fiscal policies of President Buhari.

“The mopping up of excess liquidity in financial sector by CBN in order to reduce the amount of Currency in circulation and control inflation, contributed in achieving the goal of taming the monster of inflation,” it said.

Profit taking persists on NSE, indices down by 0.14%

N

igerian equities market extended negative sentiments for the second trading session in spite of the earnings seasons.

The crucial market indices slipped further by 0.14 per cent to what market watchers attributed to mixed earnings and

unimpressive dividends.

Most blue chips recorded price depreciation with Nestle leading the pack with a loss of N18.20 to close at N1, 526.60 per share.

Presco trailed with a loss of N7 to close at N68, while Nigerian Breweries was down by N5 to close at N70 per share.

GlaxosmithKline dropped N1.05 to close at N10.50, while Dangote Cement declined by 50k to close at N189.40 per share.

Consequently, the market capitalisation which opened at N11.607 trillion lost N16 billion or 0.14 per cent to close at N11.591 trillion.

FG to auction N100bn bonds on March 27

T

he Federal Government will auction by subscription N100 billion worth of bonds on March 27, the Debt Management Office (DMO) says.

The DMO said in a circular on its website on Tuesday in Abuja, that the five-year re-opening bonds of N40 billion to mature in April 2023 was offered at 12.75 per cent.

It said that the seven-year reopening bonds also of N40 billion to mature in March 2025 would be auctioned at 13.53 per cent.

It added that the 10-year bonds, also re-opening, of N20 billion which would be due in Feb. 2028, would be auctioned at 13.98 per cent.

According to the DMO, units of sale is N1,000 per unit, subject to a minimum subscription of N50 million and in multiples of N1,000 thereafter.

The DMO explained that the bonds are backed by the full faith and credit of the Nigerian Government, with interest payable semi-annually to bondholders, while bullet repayment will be made on maturity date.

Nigeria issues sovereign bonds monthly to support the local bond market, create a benchmark for corporate issuance and fund its budget deficit.

Ms Patience Oniha

In the same vein, the All-Share Index shed 43.07 points or 0.14 per cent to close at 31,082.32 compared with 31,125.39 on Monday.

Mobil led other 15 stocks to lead the gainers’ table, appreciating by N4 to N170 per share.

Guaranty Trust Bank followed with a gain of N1.45 to close at N36.85, while Ecobank Transnational Incorporated gained 30k to close at N13.80 per share.

FCMB Group added 12k to close at N1.92, while Access Bank increased by 10k to close at N5.95 per share.

In spite of the drop in market indices, the volume of shares transacted inched by 39.45 per cent, while value of shares traded

rose by 60.10 per cent.

Specifically, investors bought and sold 286.89 million shares valued at N3.09 billion achieved in 3,924 deals.

This was against the 205.73 million shares worth N11.61 billion exchanged in 3,821 deals on Monday.

Access Bank was the most active stock, exchanging 84.67 million shares worth N500.04 million.

United Bank for Africa followed with 40.91 million shares valued at N307.88 million, while Zenith Bank sold 22.15 million shares worth N482.91 million.

Guaranty Trust Bank exchanged 22.06 million shares valued at N796.96 million, while Chams sold 20.05 million shares worth N4.01 million.

ECONOMY

WEDNESDAY, MARCH 20, 2019

FG shy away from signing African Continental Free Trade Area 12-month after

BY JULIUS ALAGBE

A

year after the set benchmark for implementation of the African Continental Free Trade Area deal designed by the African Union, Federal Government is yet to come to term with the need to signing the agreement. It would be noted that 12-months ago, when Africa trade agreement came into Africa economic space, the Federal Government having cited some issues continues to sidelining the nation from implementing inter-Africa trade relations deals.

Though, some experts said that the problem of development in both infrastructure and human capital is due to low trade relations among African countries. The issue that experts view as surmountable on the back of the trade relations agreement of which some countries including Nigeria have refused to sign.

According to data, the share of intra-African exports as a percentage of total African exports increased from about 10 percent in 1995 to around 17 percent in 2017, but it remains low compared to levels in Europe (69 percent), Asia (59 percent), and North America (31 percent).

“The AfCFTA is a trade agreement between 49 African Union member states, with the goal of creating a single market followed by free movement and a single-currency union.

The agreement was brokered by the African Union (AU) and was signed on by 44 of its 55 member states in Kigali, Rwanda, on March 21, 2018.

The agreement initially requires members to remove tariffs from 90 per cent of goods, allowing free access to commodities, goods, and services across the continent”, Ogochukwu Ndubuisi, Consultant with LSintelligence said in a discussion.

In its review, United Capital, one of the leading investment banking firm noted that Africa is full of promise and untapped riches - from oil, minerals and land to vast amounts of people capital - yet, it has struggled to truly realize potential.

According to Article 3, the general objectives of the AfCFTA are to create a single market for goods, services, facilitated by movement of persons in order to deepen the economic integration of the African continent and in accordance

Mrs Zainab Shamsuna Ahmed

with the Pan African Vision of “An integrated, prosperous and peaceful Africa” enshrined in Agenda 2063.

“As of today, 52 out of 55 countries have signed the agreement and 19 have ratified it. Twenty-two countries are required to ratify the agreement for it to come into effect.

Meanwhile, Nigeria government developed cold feet thereby remains on the sideline and I don’t think that is good enough for the nation”, Ogochukwu said.

Analysis of the content of the shows that it seeks to create a liberalised market for goods and services through successive rounds of negotiations. It also intends to contribute to

the movement of capital and natural persons and facilitate investments building on the initiatives and developments in the State Parties and REC. Further to that, the agreement is expected to lay the foundation for the establishment of a Continental Customs Union at a later stage; and promote and attain sustainable and inclusive socio-economic development, gender equality and structural transformation of the State Parties.

More so, enhance the competitiveness of the economies of State Parties within the continent and the global market; promote industrial development through diversification and regional

African countries spent about $63 billion on food imports, largely from outside the continent. ECA’s modeling projects that by 2040, the AfCFTA will increase intraAfrican trade in agricultural products by between 20 and 30 percent, with the highest gains in sugar, vegetables, fruit, nuts, beverages, and dairy products.

value chain development, agricultural development and food security.

The investment banking firm reckoned that the continent tracks far behind the rest of the world across several fundamental metrics and does not seem to be catching up any time soon. Almost a year after the formal launch of the African Continental Free Trade Area (AFCFTA), the plan is inching towards the 22-country threshold needed for its implementation as 19 countries are reported to have ratified the agreement.

However, questions still linger about the effectiveness of an intra-African trade deal, especially as Africa’s giant, Nigeria, continues to stay on the sidelines. In our view, the inability and lack of commitment to transform from a primary/ commodity-based economy to secondary/manufacturing economy is a major reason for the disparity between Africa and the rest of the world.

The region exports raw materials to the developed market and imports mostly manufactured goods, thus creating a consumption economy that depends on the west. To boost cross selling within Africa, the region must build capacities to transform primary resources to secondary, overcome intra-continental

transport barriers to trade and then leverage the AfCFTA to drive trade and regional economic development.

It seeks to resolve the challenges of multiple and overlapping memberships and expedite the regional and continental integration processes.

Recently, the Abuja Chamber of Commerce and Industry (ACCI), said that federal government’s refusal to sign the African Continental Free Trade Agreement (AfCFTA) in view of the prominent position of Nigeria in African trade was not good for the image of the country. President, ACCI, Prince Adetokunbo Kayode, stated this an interview with newsmen after a meeting with the delegation of Federation of West African Chambers of Commerce and Industry (FWACCI), who paid a working visit to the ACCI. Vera Songwe, Executive Secretary Economic Commission on West Africa remarked that What is less known about the AfCFTA is that its scope exceeds that of a traditional free trade area, which generally focus on trade in goods, to include trade in services, investment, intellectual property rights and competition policy, and possibly e-commerce.

According to Vera, the AfCFTA is complemented by other continental initiatives, including the Protocol on Free Movement of Persons, Right to Residence and Right to Establishment, and the Single African Air Transport Market (SAATM). The scale of AfCFTA’s potential impact makes it vital to understand the main drivers of the agreement and the best methods to harness its opportunities and overcome its risks and challenges.

She observed in a note that between 1990 and 2014, as most fast growing countries in the world diversified their economies, most African countries instead relied on rents from extractive industries.

The AfCFTA offers particular potential for agricultural products.

In 2015, African countries spent about $63 billion on food imports, largely from outside the continent. ECA’s modeling projects that by 2040, the AfCFTA will increase intraAfrican trade in agricultural products by between 20 and 30 percent, with the highest gains in sugar, vegetables, fruit, nuts, beverages, and dairy products.

8

ECONOMY

WESTAFRICA BUSINESSNEWS WEDNESDAY, MARCH 20, 2019

NIBSS targets N600Bn POS transaction value in 2019

BY BONNY AMADI

T

he Nigerian Interbank Settlement systems (NIBSS) Plc, has projected target of N600 billion transaction value via point of Sales (POS) payment systems this year, a 100 per cent expected rise form N285billion value posted in 2018.

This was revealed yesterday in Lagos, shortly after the electronic payment stakeholders meeting, by the Acting Managing Director/ CEO, NIBSS, Niyi Ajao, while giving progress report on the stakeholders’ effort at eliminating POS trans-action failures in the payment systems, as well as capacity development initiatives by all connected stakeholders.

Ajao, also urged banks customers whose failed POS transaction has not been resolved within the one week regulatory stipulated period, to follow up with report to the NIBSS, or even escalate the matter to the Central Bank of Nigeria (CBN’s) payment system management channel.

He revealed that transaction failures recorded within the last quarter of 2018, reduced the transacted value during the year which could have exceeded N300billion, which also reflected 100 per cent rise from value transacted in 2017.

The NIBSS Acting CEO, explained that there are about seven connected parties in the execution of every POS payment and whenever there is a hitch in any of the connected parties, it usually affects timely delivery of transaction, and re-versal of failed transactions, but all the challenges have now been resolved as transaction failures recorded in POS payments have declined.

He also further explained that, one of the major contributor to the failures was the upgrading by the NIBSS, which was aimed at meeting up with the rising transaction volume, as well as the earlier transaction time of 15 seconds, a time programmed for POS payment to be executed , or deemed to have failed., “’ we are aware of the difficulties people are going through due to transaction failure sand delay in reversing failed transactions, that is why all the parties have committed to ensuring no more failed transaction, as well as quick and early reversal of failed POS payments” He however urged clients of banks who suffer transaction failure to ensure that they lay report of the failed payment to their banks through the appropriate channel He chronicled some of the challenges that heightened the failed POS transactions as timeout issues, which the was 15 seconds, but as part of the effort to eliminate failues,raised time out to 45 seconds, to ensure depositors no longer suffer transaction failure.

Niyi Ajao

Also, he noted that the issue of reversing failed POS transaction which usually takes longer time to effect, NIBSS has secured the commitment of all stakeholders to effectively effect reversal of failed transaction as soon as it reported.

He further assured that gains so far recorded in the elimination of failed POS payments, would be sustained as the stakeholders have subscribed to consistently sustain capacity building, as well as to meet challenges expected to ema-nate from expected year on year (Y/Y) rise in transaction volume of POS. As duly explained at the meeting,

below are some of the measures taken by the industry to ensure the systems are back to normalcy: The time out of transaction, he said, has been raised to 20 seconds and 45 seconds, on March 14 and 19 respectively. The measure, he explained , was effected to ensure that payments which usually gets terminated following expiration of 15 seconds after commencement, now has the leverage to last longer , more than double the initial time allowed, in order to ensure that effective services is delivered. “”Timeout is the total turnaround-time (TAT) for a POS

In effect, all service providers are expected to scale up on infrastructure because the strength of the ecosystem will always be equal to the weakest one. The CBN has also waded in on the infrastructure matter with active engagements of stakeholders and timelines to achieve same

transaction cycle from the time it is received from a POS to the time a response is sent back to the terminal.

This TAT had been configured at 15 seconds in agreement with banks and processors. However, delayed responses from Issuers after this timeout in recent times could cause authorized debits not to return to the terminal before the set TAT.” Ajao said.

Amongst other remedial measures, the NIBSS boss , said that the stakeholders, which include, the Central Bank of Ni-geria (CBN) all banks, payments systems, Interswitch , amongst others, have signed to “Disable any Issuer with de-layed responses beyond 45 seconds with immediate effect to isolate such a bank. This process is on-going” Explaining while reversal time was delayed in some instances, Ajao said, “Whenever there is a transaction decline the system is supposed to reverse the transaction such that a debited cardholder would receive a reversal credit.

Delays on reversal could be caused by, Platform downtime, Network issues at Processor level, Delayed responses and Issu-er/Switch Inoperative – Processor or that bank is not available to receive the reversal even when it’s transmitted

by NIBSS” Remedies Remedial Steps to execute immediate reversal, he said that the stakeholders have ensured the fixing of platform ap-plication

issues, which was carried out on February 21, 2019, Network remediation carried out with concerned Pro-cessor as well as “the implementation of a secondary process whereby all reversals for any business day are re-transmitted between 10pm and 12 mid-night to return credit back to cardholders through their banks/Processors. Effective date is March 22, 2019” Also, he said that the stakeholders have also, effected implementation of real-time reversal by POS terminals directly.

This would require that banks are available to receive such online real-time. To become effective on or before end of April 2019.

Corroborating the measures to effect immediacy reversal, Executive Director Tech, NIBSS, Mrs Christabel Onyejekwe, said “’ we have received commitment from all stakeholders to effect reversals effectively” adding that there is ongo-ing capacity development programme on effective services delivery.

She said that the capacity enhancement policy of NIBSS, stipulates that “system resources must be enhanced once the 65 per cent threshold is reached and we will continue to implement that” Also, that the supportive infrastructure has been scaled up such that the system utilization is lower than 40 per cent to prepare for expected higher volumes in the next few years The capacity development of the stakeholders, she said, also include, the implementation of an in-memory database system on the NCS platform on March 18, 2019 to ensure super-fast responses at the center. All systems have been loadbalanced for non-stop performance.

According to Onyejekwe, the capacity development initiatives, Processors were advised to ensure redundancy in of their network links for efficient fail-over whenever there is a service failure by any network provider as well as to scale up on infrastructure. “ We have advised Banks the minimum system requirements for their front-end systems in order for them also to cope with higher volumes” Christabel Onyejekwe said “ In effect, all service providers are expected to scale up on infrastructure because the strength of the ecosystem will always be equal to the weakest one. The CBN has also waded in on the infrastructure matter with active engagements of stakeholders and timelines to achieve same” On monitoring, she said that, the NIBSS has provided all stakeholders with a TraF (monitoring solution as-a-service) online for proactive monitoring in addition to the transaction monitoring platform for confirmation of transaction sta-tus.

According to her, monitored parameters include, Transaction Status, Failure Rate, Stakeholder Availability, and Av-erage Processing Time.

INSURANCE

WEDNESDAY, MARCH 20, 2019

Building Nigeria insurance industry for global competitiveness Some financial analysts have charge the federal government on the quality of insurance sectors which depends on the predominant approach to competition and value creation by its players NIYI JACOBS writes

E

conomies thrive and grow based on the quality of collaboration among sectors existing within them. Quality of sectors in turn depends on the predominant approach to competition and value creation by the players.

Entrepreneurs in their pursuit of profit create things of value and in the process foster macroeconomic growth, employment and income for many agents within the system.

Nigerian entrepreneurs just like their counterparts all over the world, typically lives with the every present threat of business failure arising from many possible sources including government policies, and regulations, limited financial resources, high cost of doing business and aggressive competition in the marketplace.

In the face of these regular challenging circumstances as well as other difficulties, the demand to create appropriate balance between collaborative exigencies, economic convenience and other societal potentials arise.

Thus faced with certain dilemmas and conflicting priorities in seeking to resolve these, entrepreneurs must often rely on their own judgment to determine what is right.

The cardinal issue here in the above scenario, according to Professor Martins Ike-Muonso, is value creation which has to do with innovation, proactiveness and if you like it, synergy given the intense competition in the market place.

The world business globally, revolves around partnership of purpose in the sense that each sector complements the other.

This follows the economic concept that no individual or entity is self-sufficient and needs the required synergy with others in order to achieve a course. The obvious of this fact is why sectors in an economy go out of their ways to seek collaboration with another.

Today you find insurance sector embracing the banking, capital market, even the public sector all in a view to seek the much desired synergy to grow their bottomline.

Insurance and hospitality industries have some common features in the sense that both are into business and are accountable to investors and shareholders, both require huge level of patronage to be able to meet the bottomline, both are profit oriented industries, Both have huge wage bills to settle at end of each month, among others.

It is expedient to say here that under normal situation insurance and hospitality industries need to collaborate and forge a business synergy by which both industries can mutually benefit immensely.

The fact that hotels, guest houses, restaurants, recreational centres and related businesses need insurance to protect their assets, staff and even business failure, in one hand, insurance companies in the other hand need hotel facilities to conduct some of their programmes and event, this opines the obvious that both are partners in progress.

Although there is no accurate statistics available to accentuate the level of patronage between the two sectors, it is a common knowledge that with the

L-R: Executive Secretary of the Nigerian Council of Registered Insurance Brokers (NCRIB), Mr. Fatai Adegbenro; Council Member, Nigerian Insurers Association, Mr. Edwin Igbiti; NCRIB Deputy President

During the currency of the period of insurance, any loss that occurs is settled promptly.

The insurance arrangement in place has helped them immensely. The losses have not in any way affects their profit margin at the end of each year compulsory insurances powered by the Insurance Act 2003, and currently enforced by insurance regulatory agency, the National Insurance Commission, NAICOM, in place, the proliferation of high-rise hotel buildings under construction all over the country, the law of Compulsory Insurance of Public Buildings under the Insurance Act 2003, the attestations are that both sectors are partners in progress.

The cars and utility vehicles hotels are using all form of insurance or the other, Compulsory Group Life insurance under

the Pension Reform Act 2014 as amended, fidelity insurance offered by insurance are all there to buttress the obvious.

The Executive Secretary, the Nigerian Council of Registered Insurance Brokers, NCRIB, Fatai Adegbenro, in a telephone conversation with Westafriabusinessnews, reasons that there has always been partnership between the insurance and hospitality industries.

According to him, there wouldn’t be an issue of relationship if both cannot sit together and discuss any form of business.

For MAdegbenro, the law on Compulsory insurances under the Insurance Act 2003 and the Pension Reform Act 2014 as amended which provides for Group Life Insurance of Hotels, recreation centres and the likes are readily a compelling factor to bring the both sectors together for business interest.

Mr. Francis Balogun, General Manager Man Mountain Insurance Brokers Limited, agrees that the both industries are partners in progress given the fact that hotels insure their assets. Buttressing his point he disclosed that his brokerage firm, Man Mountain is an official insurance broker and advisor to one of the biggest hotels in Nigeria, Eko Hotels.

“Both professions are partners in progress. I will take the case of Eko Hotel which we are the Insurance Brokers and at each renewal period, we assess their risks and make recommendations for risk improvement before advising the insurance companies carrying their risks to renew.

“During the currency of the period of insurance, any loss that occurs is settled promptly. The insurance arrangement in place has helped them immensely. The losses have not in any way affects their profit margin at the end of each year”.

In the same vein, the insurance companies/broker create source of income to their employees. It has made the bodies to contribute to the country’s GDP.

ECONOMY

WEDNESDAY, MARCH 20, 2019

Has Bitcoin Turned to Nigeria’s legal tender?

Despite recent global crash of Bitcoin, it’s surprising to see cryptocurrency increasing its investors and players among Nigerians In this analysis NIYI JACOBS therefore, writes on the rationale behind the spontaneous growth of Nigerian Bitcoin investors and the position of Nigerian government with other countries on Al these virtual currencies.

T

he introduction of bitcoin into the world has revolutionized the way money is being transferred around the globe.

With Bitcoin’s introduction, it now gives no worry about the local and international regulations that plague international money transfers to and from Nigeria, since it allows one to send ANY amount, ANY time, to ANY part of the World in almost less than FIVE minutes, at almost no cost.

Bitcoin is no longer the new strange technology it used to be. Many individuals and organizations around the world now see it as the cheapest, the fastest means of sending and receiving funds in our planet today.

Not only that, it also ensures a safer delivery of your fund, without being monitored by any government or any individual, since it makes use of the decentralized technology called blockchain.

What is Bitcoin?

Bitcoin is a cryptocurency. What is a cryptocurrency you may ask? A Cryptocurrency is an online medium of digital exchange that is not regulated by a central system. Unlike the naira that is regulated by the Central Bank of Nigeria, or other currencies with their own central banks, cryptocurrencies are decentralized.

Bitcoin was the first and is the largest cryptocurrency in existence made by Satoshi Nakamoto.

More so, investors and players regard bitcoin as legitimate and a secure currency, as legitimate as the Naira but could this be true?

However, towards the end of last year 2018, this digital currency had a global crash of value but rose 2.28 percent to about $16,124 BTC=BTSP on the Luxembourgbased Bitstamp exchange, putting it about 14 percent up this week, after last week suffering its biggest weekly drop since 2013.

Investors and analysts believe that last week’s decline in its value was a natural correction after a heady run-up in prices; there have been further warnings from market regulators and central banks.

The danger The Central Bank of Nigeria (CBN) has issued a warning to Nigerians that digital currencies are not legal tender in the country.

Digital currencies such as Bitcoin, Ripples, Monero, Litecoin, Dogecoin, OneCoin e.t.c are reiterated as not backed by law in Nigeria.

It noted that any financial institution or business that transacts in such currency does so at its own risk.

Bitcoin and other digital currencies are developed to provide freedom from regulatory control, less cost of maintenance and ease of use for commercial transactions.

But, there are concerns about their degree of safety as they are not backed by any assets.

It would be recalled that in 2017, Nigeria’s financial market regulators - CBN, Securities and Exchange Commission (SEC) and Nigeria Deposit Insurance Corporation (NDIC), were increasingly enlightening people on the risks of cryptocurrencies. The CBN specially raised that virtual currencies are largely used in terrorism financing and

Prof. Isaac Adewole

Virtual currencies are traded in exchange platforms that are unregulated, all over the world.

Consumers may there lose their money without any legal redress in the event these exchangers collapse or close businesses. money laundering.

“Virtual currencies are traded in exchange platforms that are unregulated, all over the world. Consumers may there lose their money without any legal redress in the event these exchangers collapse or close businesses.

The attention of bank and other financial institutions is hereby drawn to the above risks and you are required to take the following actions pending substantive regulation or decision by the CBN,” said the CBN in a statement.

Of all digital currencies, Bitcoin is the best performing and with the highest value.

Between 2010 and 2017, the digital coin appreciated from 4 cents to $19,000 by December 2017.

The ban on cryptocurrency The South Korean government on Thursday said it plans to ban cryptocurrency trading, sending bitcoin prices plummeting and throwing the virtual coin market into turmoil.

This is coming as the nation’s police and tax authorities raided local exchanges on alleged tax evasion.

The clampdown in South Korea, a crucial source of global demand for cryptocurrency, came as policymaker around the world struggled to regulate an asset whose value has skyrocketed over the last year.

Justice minister Park Sang-ki said the government was preparing a bill to ban trading of the virtual currency on domestic exchanges.

“There are great concerns regarding virtual currencies and justice ministry is basically preparing a bill to ban cryptocurrency trading through exchanges,” said Park at a press conference, according to the ministry’s press office.

A press official said the proposed ban on cryptocurrency trading was announced after “enough discussion” with other government agencies including the nation’s finance ministry and financial regulators.

Experts warning The chairman of Swiss banking giant, UBS, Axel Weber, has said that bitcoin is not an effective means of payment, since it is not universally accepted.

He added that the cryptocurrency is not

a good measure of value, since prices are not written in bitcoins, and it is not an effective way to store value, since it is inherently unstable.

Weber said in an interview that he did not consider the soaring cryptocurrency bitcoin as money and called for regulators to intervene.

Reasons Bitcoin may be dangerous Speaking with Nelson Olajide, a banker with Frist Bank limited, he mentioned that life is all about risks but some risks certainly don’t pay off.

According to him; if you decide to invest in bitcoin, swiscoin or onecoin, you should know that you stand the risk of losing your money. Bitcoin exchanges are entirely digital and are at risk from hackers, malware and operational glitches”.

Olajide also stressed that there is no protection available to users or investors in these virtual currencies from financial losses.

Mr Clement Briggs, a Nigeria Stockbroker also said that Bitcoin values can be unpredictable. It can increase or decrease over a short period of time.

In his words” If you decide to invest, you should never invest money that you cannot afford to lose with bitcoin or swiss coin or onecoin. These cryptocurrencies should be seen like a high risk asset.

He also added that Bitcoin and others are all experiments of a new currency that is in active development. With each improvement comes new challenges, so if you decide to invest, be prepared for problems.

Conclusion Westafrica BusinessNews notes that since some governments have expressed concern about the use of digital money, with some already seeking to regulate, restrict or ban the use and sale of Bitcoins investors should avoid or be care in putting their money in it.

FINANCIALS

WESTAFRICA BUSINESSNEWS WEDNESDAY, MARCH 20, 2019

11

FG urged to make Capital Market base for national developmental initiatives

BY BONNY AMADI

C

ross section of experts yesterday in Lagos were of the consensus that Nigerian capital market is right-ly positioned to fast track economic development, and needed to be seen by the government as heart of capital formation and entrepreneurial revolution.

This was part of the resolutions at 3rd Annual Budget Seminar of the Securities and Exchange Commis-sion (SEC) with the theme “Budgets, Elections and Capital Markets: Risks and Opportunities in 2019”.

The government was however urged to make the capital market the fulcrum of its industrialisation agenda and economic development in a bid to urgently lead the country out of poverty.

Acting Director General of the Securities and Exchange Commission, SEC, Ms. Mary Uduk,in her re-marks, said government budget affects the economy and the economy in turn affects the capital Market.

According to her, “Stakeholders both local and foreign are interested in the budget and try to analyse how it affects them. Investors also sit down and analyse the budget and that is why the capital market is looking at the impact of the budget and how the market can aid its implementation.

“The capital market is very important in funding for a lot of projects in the economy. The capital mar-ket is important in raising these money to fund the budget. We want to be in the driver seat and con-tribute to the budget if the Federal Government “We are interested in driving and contributing to this economy and that is why we are having this sem-inar.

We believe there are a lot of opportunities for the capital market in this budget. There is need for us to seat down again as a capital market community and find ways of driving the budget”.

Head Economic Research, SEC, Dr. Afolabi Olowookere, in his Lead presentation, said that opportuni-ties exist for equities and sub- national issuances and urged state governments to explore the

Ms Mary Uduk

capital market for funding of their project.

Olowookere said that Opportunities exist for equities and sub- national issuances as a means to fund the budget while urging a lower FGN domestic borrowing to make room for private issuances.

He said some of the ways the budget can be funded include “Creation of money

market-based in-struments and trading, Commodity trading and derivatives, Investing in eligible companies under Tax Credit Scheme as well as attracting restructured oil assets to list.

Discussants on the panel opined that Infrastructure development is of optimal importance for the achievement of development

The capital market should be looked into, as commercially viable infrastructure projects exist and enabling legal framework should be developed to enable the private sector participate

of sustainable prosperity adding that all sectors are dependent on infra-structure to attract investment and ensure the active participation of the private sector.

“Concerning infrastructure, the housing sector, and issuance of mortgages, the Capital market may participate through the securitization.

There is great potential for Pension Fund Administrators to invest in the real estate sector” they stated.

The seminar suggested that increase in allocation to the health and education sectors is necessary for development.

This is because, people, and not just infrastructure, build and develop a nation. We must equally invest in the people.

“The nation requires that the government should come up with policies that improve access to capital for small and medium scale enterprises (SMEs).

SMEs currently employ a large proportion of the Nige-rian workforce, thus they should be empowered through access to capital.

“The capital market should be looked into, as commercially viable

infrastructure projects exist and en-abling legal framework should be developed to enable the private sector participate” The Seminar also urged the government to enforce executive order No.2, which aims to promote local content in public procurement. This would be beneficial for listed companies.

The moderator at the event was. Mobolaji Balogun of Chapel Hill Denham while Panelists include Hajara Adeola of Lotus Capital Limited, Toyin Sanni of Emerging Africa Capital Group, Prof. Olu Ajakaiye of Africa Centre for Shared Capacity Development Building, Prof.

Uche Uwaleke of Nasarawa State Uni-versity and Johnson Chukwu of Cowry Assets Management Limited The Budget Seminar Series is a forum for evaluating the connection between the Nigerian capital market and the annual Federal Government budget. Its major aim is to identify how the capital market can contribute, and in turn, benefit from the budget and its implementation.

FINANCIALS

WEDNESDAY, MARCH 20, 2019

CBN Laments $10bn Revenue loss from Oil Palm

BY NIYI JACOBS

A

s Central Bank of Nigeria (CBN) formally kick-started the process of revamping the country’s oil palm industry on Monday, its Governor, Godwin Emefiele lamented the loss of an estimated $10 billion annual foreign exchange earnings that would have accrued from the value chain.

At a stakeholders meeting on the palm oil value chain attended

by Abia, Akwa Ibom and Edo states among other industry practitioners, Emefiele said in order to reverse the trend, the Bankers’ Committee has established a special sub-committee to make recommendations on sustainable financing models for oil palm and four other critical agricultural commodities that include cocoa, sesame seed, sheabutter, animal husbandry and cashew especially for smallholder farmers to improve their access to finance.

“This was in addition to a seminar sponsored by the Bank with the theme “Developing a Framework for the Sustainable Financing of Smallholders in the Oil Palm Value Chain in Nigeria” held in Asaba, Delta State on December 6, 2017.

“We expect to develop a funding model that will take into consideration the 3 – 4-year gestation period required in cultivating palm oil.

“As part of our Anchor Borrowers Program (ABP) and our Commercial Agriculture Credit Scheme (CACS), the CBN will work with large corporate stakeholders and small holder farmers to ensure availability of quality seeds for this year’s planting season and agro-chemicals in order to enable improved cultivation of palm oil.

“We will also work to encourage viable off taker agreements between farmers and large-scale palm producing companies.

“Loans will be granted through our ABP and CACS programs at no more than 9% p.a to identified core borrowers. Some of the targeted large scale farmers are in our midst today and we shall use the opportunity of this engagement to achieve con-crete results.

“Indeed with an estimated three million hectares of land under cultivation, abundance of suitable arable land, we need the cooperation of our state Governments in the oil palm producing zone to make land available to investors with proven finan-cial and technical capabilities, who will be able to support developments of large scale palm oil plantations in the country.

“I am happy to announce that all the states in the South-South and South- East regions have agreed to provide at least 100,000 hectares for the initiative.“This program is also expected to accommodate the small holder farmers”, he explained According to Emefiele, “in the late 50’s and 60’s, Nigeria was not only the world’s leading producer of palm oil, it was also the largest

Emefiele

exporter of palm oil, with close to 40% of the global market share.

“Today we are a distant 5th among leading producers of palm oil; we barely produce up to 3% of the global supply of palm oil, with estimated production of 800,000 MT of palm oil, while countries like Malaysia and Indonesia produce 25million and 41 million tonnes of palm oil respectively.

“We have also become a net importer of palm oil, importing between 400,000 – 600,000 MT of palm oil in order to meet local demand for this commodity.

“Despite the availability of over 3m hectares of farmland for palm oil cultivation, production remains low at close to two tonnes per hectare, relative to a global benchmark of 25 tonnes per hectare.

“This is as a result of the maturation of existing palm trees, as some of these trees were planted in the 50’s, as well as low investment in replanting high yielding palm oil seeds. As some of you may know, the usual life cycle for optimum palm pro-duction is 25 years.”

He noted that despite placing oil palm in the forex exclusion list, official figures indicate that importation of palm oil had declined by about 40 per cent from the peak of 506,000 metric tons in 2014 to 302,000 MT in 2017.

“This indicates that Nigeria still expends close to $500 million on oil palm importation annually and we are determined to change this narrative.

“We intend to support improved production of palm oil to meet not only the domestic needs of the market, but to also in-crease our exports in order to improve our forex earnings.”

Recalling the restriction placed on importation of textile materials through officially sourced forex two weeks ago, Emefiele said “efforts are also being made to fast-track the financing of 100,000 cotton farmers for the 2019 farming season, in order to meet the needs of our ginneries.

“These measures have started

bearing fruit with enquiries by various stakeholders and investors on how they can support improved production of textiles locally”, adding “these steps are necessary in order to address the loss of over $4 billion expended on textile importation annually.”

He promised that in due course, CBN intends to also address challenges in the cocoa, cassava, beef/cattle ranching, dairy and fish sectors.“Soon every region of our beloved country will feel the positive impact of our intervention in the agricultural sector”, he declared.

2019 budget passes second reading in Senate

T

he Senate on Tuesday passed the 2019 appropriation bill of N8.82 trillion for second reading.

The budget totalling, N8, 826,636,578,915 has a recurrent expenditure of N4 trillion while N2 trillion goes for capital expenditure with N2.2 trillion and N492 billion for debt servicing and statutory transfers respectively.

Reacting to the details of the budget, Senator Enyinnaya Abaribe said, “With a total debt service of 25.7% and capital budget at 23%, it means we are paying more debt. This is a budget of impossibilities. Out of every 1 Naira, 68kobo is paid out. The Federal Government needs to go back to the drawing board.”

Senator Mao Ohuabunwa said, “We are consolidating poverty. We need to really look at this budget.

Instead of reducing, we should ‘jack up’ the budget by 10 trillion.

What can two trillion do when we have ongoing projects. We need to block leakages and ensure taxes are collected.”

Senator Ben Murray-Bruce from Bayelsa State reacting to the budget said, “The budget is not different from what we have been presented in the last four years.

Recurrent expenditure of 4 trillion is too high. There are government agencies set up that have no value.

These agencies must be scrapped.”

Senator Sabo Mohammed from Jigawa State called for concentration on two areas of

the economy; agriculture and industries. He said, “In developed countries, economies are powered by loans. We are one of the least indebted economies in the world.

My suggestions are centered on two areas; these are agriculture and industries. There is a need to look at agricultural practices especially in the private sector.

Senator Matthew Urhoghide called for a faithful implementation of the budget, as well as revenue plans to meet capital expenditure.

He said, “We need to ensure the common wealth of Nigerians is taken seriously. If we must pass this budget, let us be born again in implementing this budget.”

“So much money can be made if value added tax is decentralized.

Value added tax has the potential to make 1.3 Trillion for Nigeria per annum.”- Senator Jide Omoworare.

Speaking at the end of deliberations, Senate President, Bukola Saraki said, “As stated by all, there is still a lot of work that needs to be done concerning the issue of the actual capital expenditure. “There is a need for us to continue to plug the leakages and independent revenue. The most important issue now is for us to see how we can complete the process.”

The budget has been referred to the Committee on Appropriation and they are expected to report back in two weeks.

Dollar drop against major currencies ahead Fed

T

he U.S. dollar slipped against major currencies on Tuesday, as concerns over the U.S. economy and expectations that the Federal Reserve will prove accommodative at a meeting this week weighed on the greenback.

The dollar index, which measures the greenback against six major currencies, fell 0.21 percent to 96.322, hovering close to a more than two-week low touched overnight. The euro and the yen made modest advances against the U.S. currency.

Traders are focused on the Federal Reserve, which kicked off its two-day policy meeting on Tuesday, for clues about the likely path of U.S. borrowing costs and whether the central bank will affirm its commitment to “patient” monetary policy, analysts said.

Investors will particularly look to see whether policymakers have sufficiently lowered their interest rate forecasts to more closely align their “dot plot”, a diagram showing individual policymakers’ rate views for the next three years, analysts said.

“What we are seeing is the market positioning for potentially a more dovish tone tomorrow,” said Minh Trang, senior currency trader at California’s Silicon Valley Bank.Also expected is more detail on a plan to stop cutting the Fed’s holdings of nearly $3.8 trillion in bonds, analysts said.

“We might get a little bit more detail on that but any kind of “back to normal,” meaning back to the way the Fed used to be in terms of its balance sheet, I think that has more or less been taken off the table,” said Trang.

On Tuesday, data showed new orders for U.S.-made goods rose less than expected in January and shipments fell for a fourth straight month, offering more evidence of a slowdown in manufacturing activity.

The Australian dollar, which has advanced in recent days helped by the U.S. dollar’s weakness, was about flat on the day after minutes of the Reserve Bank of Australia’s (RBA) March policy meeting ex-pressed concern about the housing market.The New Zealand and Canadian dollar edged higher against the greenback.

Volatility in foreign exchange markets is at its lowest in five years and analysts say recent decisions by the Fed and other major central banks is contributing.

“Central banks are like a fleet of planes on the runway and they are all kind of circling around the tar-mac and no one really wants to take off,” said Trang.

Sterling was up 0.17 percent at $1.3276. It reversed earlier gains on Tuesday on concerns that British Prime Minister Theresa May’s request for postponing Brexit was running into complications with the European Union.

NEWS

WEDNESDAY, MARCH 20, 2019

Weak performance force ASI down 14bps as investors fortunes drop

BY JULIUS ALAGBE

W

eak market performance has forced market capitalisation down by N16.1 billion to close at N11.6 trillion. In Tuesday trading session, the domestic equities market continued on a negative path as the All Share Index (ASI) declined by 14 basis points (bps) to settle at

31,082.32 points on the back of price depreciation in NIGERIAN BREWERIES (-6.7%), NESTLE (-1.2%) and DANGCEM(-0.3%).

Consequently, market capitalisation fell by N16.1 billion to settle at N11.6 trillion while year to date (YTD) return weakened to -1.1%. However, activity level improved as volume and value traded rose by 39.5% and 60.7%

to 286.6 million units and N3.1 billion respectively. The most traded stocks by volume were ACCESS (84.7 million units), UBA (40.9 million unit) and ZENITH (22.2 million units) while the most traded stocks by value were GUARANTY (N797.0 million), ACCESS (N500.0million) and ZENITH (N482.9 million).

Across sectors, performance

was mixed as 3 of 5 indices under Afrinvest analysts’ coverage trended southward. The Banking index rose 2.1% following price appreciation in GUARANTY (+4.1%), ETI (+2.2%), FIDELITY (+4.7%) while the Oil & Gas index appreciated 0.3% on the back of gains in MOBIL (+2.4%).

The Consumer Goods index led losers, down 2.0% due to price depreciation in NIGERIAN BREWERIES (-6.7%) and NESTLE (-1.2%). Similarly, the Insurance index fell 0.6% driven largely by declines in NEM (-2.1%), MBENEFIT (-4.2%) and NIGERINS (-4.6%). Finally, marginal loss in DANGCEM (-0.3%) dragged the

Industrial Goods index by 0.1%.

Investor sentiment as measured by market breadth (advance/ decline ratio) strengthened to 0.9x from 0.6x recorded the previous session consequent on 17 stocks advancing against 18 that declined.

The top gainers for the day were MCNICHOLS (+10.0%), FIRSTALUM (+7.1%) and FCMB (+6.7%) while PRESCO (-9.3%), IKEJAHOTEL (-9.1%) and GLAXOSMITH (-9.1%) led laggards.

Afrinvest said that in spite of today’s downward outing, we maintain our cautiously optimistic outlook for the market in the near term.

CBN to auction N49Bn Treasury Bills Today

BY BONNY AMADI

T Oscar-Onyema

Profit taking persists on NSE, indices down by 0.14%

N

igerian equities market extended negative sentiments for the second trading session in spite of the earnings seasons.

The crucial market indices slipped further by 0.14 per cent to what market watchers attributed to mixed earnings and unimpressive dividends.

Most blue chips recorded price depreciation with Nestle leading the pack with a loss of N18.20 to close at N1, 526.60 per share.

Presco trailed with a loss of N7 to close at N68, while Nigerian Breweries was down by N5 to close at N70 per share.

GlaxosmithKline dropped N1.05 to close at N10.50, while Dangote Cement declined by 50k to close at N189.40 per share.

Consequently, the market capitalisation which opened at N11.607 trillion lost N16 billion or 0.14 per cent to close at N11.591 trillion.

In the same vein, the All-Share Index shed 43.07 points or 0.14 per cent to close at 31,082.32 compared with 31,125.39 on Monday.

Mobil led other 15 stocks to lead the gainers’ table, appreciating by N4 to N170 per share.

Guaranty Trust Bank followed with a gain of N1.45 to close at N36.85, while Ecobank

Transnational Incorporated gained 30k to close at N13.80 per share.

FCMB Group added 12k to close at N1.92, while Access Bank increased by 10k to close at N5.95 per share.

In spite of the drop in market indices, the volume of shares transacted inched by 39.45 per cent, while value of shares traded rose by 60.10 per cent.

Specifically, investors bought and sold 286.89 million shares valued at N3.09 billion achieved in 3,924 deals.

This was against the 205.73 million shares worth N11.61 billion

exchanged in 3,821 deals on Monday.

Access Bank was the most active stock, exchanging 84.67 million shares worth N500.04 million.

United Bank for Africa followed with 40.91 million shares valued at N307.88 million, while Zenith Bank sold 22.15 million shares worth N482.91 million.

Guaranty Trust Bank exchanged 22.06 million shares valued at N796.96 million, while Chams sold 20.05 million shares worth N4.01 million.

he Central Bank of Nigeria (CBN) will today, conduct Nigerian Treasury Bill (NTB) auction of N49billion T-bills on offer to investors.

However, given the significantly smaller amount of T-bills on offer today, it is expected that stop rates is expected to rise or above 15 – 30bps lower than their levels in the previous week’s auction.

The T-bills market traded on a relatively quiet note yesterday, with yields trending slightly higher fol-lowing an OMO auction announcement by the CBN. The OMO auction was however oversubscribed by c.105%, leading to a further cut in stop rates by 4bps to 11.80% on the 93-day and by 6bps to 13.14% on the 205-day, with total sale of N15.90bn and N100.41bn respectively Money Market rates yesterday trended higher by 2pct due to the N116billion OMO sale which led to a decline in system liquidity from opening levels of c.N285billion.

The Open Buy Back (OBB) and Over-night Rates (OVN)

consequently ended the session at 12.00 per cent and 12.67 per cent respectively.

However, analysts expects that stop rates are likely to remain relatively stable today, as there are no significant outflows anticipated.

In the bond market, the FGN Bond market traded on a relatively quiet note except for slight sell witnessed on the 2028 bond towards the close of the trading session.

Yields however compressed by 3bps on average, following slight decline in yields on the short end of the curve.

Demand interests in the FGN bonds are likely to be relatively muted today, with yields expected to remain stable in the near term.

At the FX Market yesterday, the Interbank, the Naira/USD rate strengthened by 0.02 per cent to N306.90/$ at the spot market, while the SMIS rate remained unchanged at N356.92/$.

The NAFEX closing rate in the I&E window appreciated by 0.13 per cent to N360.13/$, while the cash and transfer rates at the parallel market remained unchanged at N357.80/$ and N364.00/$ respective-ly.

Nigeria Breweries admits prevailing Court action over copyright violation

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itled “’ Re, Government sues Nigerian breweries over copy right violations” dated March 18 ,2019 and signed by Uaobi G. Agbaku, Company secretary, Legal Director, that company said that it is currently defending legal action against it and its former managing director/ Chief Executive Officer, Johan A . Doyer, by the Nigerian Copyright commission of which the criminal action is pending at the federal High Court Abuja.

The said action, the court explained, “is not new, as it was actually instituted in October 2017, based on complaints by Mr Paul Allen Oche, who is laying acclaim to the copyright supposedly contained in a book he wrote and which book

has a part of its title, the Amstel Malta trademark which is well known as one of the company’s portfolio” According to Nigerian Breweries, “Onche has supposedly filed a personal action with respect to the said issue at the same court claiming damages against the company and others. The company also con-firms that it will be defending the action with a view to protecting its legal rights as well as upholding its reputation” The brewing giant said that as law abiding citizen, “we restate our respect for the laws of the federal republic of Nigeria and our commitment for seeing each court action through to its logical conclusion” Borrut Bel

WEDNESDAY, MARCH 20, 2019

STOCK TABLE

STOCK TABLE

WESTAFRICA BUSINESSNEWS WEDNESDAY, MARCH 20, 2019

15

16

OPINION

WEDNESDAY, MARCH 20, 2019

Alternatives to Project Finance in Africa The challenges of this financing are magnified in sub-Saharan Africa, as there is a paucity of projects that meet the highwater mark required by most investment banks.

These young Chinese kids in Western schools studying robotics and artificial intelligence are the ones to compete with our own kids 20 years from now at a time our educational system and universities are dead and lecturers still going on strike.

I fear for my country and our future, to be candid I fear

F

inancing an infrastructure project in Africa is not for the faint-hearted, but the continent is looking for alternative ways to fill the shortfall of funding available from global banks, writes Musonda Chibwe Kapotwe of Citigroup.

The ‘next frontier market’ for investment and home to some of the fastest growing economies in the world, Africa’s economic renaissance has been so widely referenced in the media that it is now commonplace. However, on the continent itself, attention is focused upon the multi-billiondollar funding gap for infrastructure projects which, if not addressed, could undercut Africa’s remarkable economic recovery.

Completing the financing of an infrastructure project in Africa is not for the faint-hearted. It is a capital-intensive and arduous undertaking that at a minimum takes several months, or at worst, years to conclude. A hallmark of project financing in the continent is that banks rely on the project’s cashflows to repay debt and have limited recourse to the sponsors after construction is completed.

The challenges of this financing are magnified in sub-Saharan Africa, as there is a paucity of projects that meet the high-water mark required by most investment banks. Basic requirements include experienced and credit-worthy sponsors, healthy financial ratios and forecasts, exhaustive technical due diligence, and a stable and cohesive political and legal

framework. Development finance institutions (DFIs) are more flexible than investment banks, but African governments are increasingly less willing to accept the more onerous conditions attached to their funding.

The scarcity of project finance in Africa arises not only from the obstacles detailed above but also from the adverse impact of capital constraints imposed by Basel III, which make big-ticket loan commitments and long tenors of project finance an expensive business. There has also been a change in strategy since the credit crisis for some project finance banks, which has resulted in a quiet but noticeable retreat back to their local markets. Moreover, sponsors’ frustration with the relatively lengthy transaction timetables and high deal costs for project finance has grown. To address these challenges, Africa is seeking alternative funding solutions in other financial markets.

Sovereign bonds The starting point has been to tap the international sovereign bond market. Recent Eurobond issuances by the governments of Senegal, Rwanda and Kenya have all specified infrastructure projects as the proposed use of proceeds. A disadvantage of capital market debt for financing projects is the need for upfront payment of bond proceeds.

Project debt facilities allow for funds to be drawn down in stages to meet scheduled project costs, thereby avoiding any excessive negative carry.

In contrast to project financing, sovereign bondholders are

principally concerned with yield and liquidity and less so with overly prescriptive contractual terms to manage the risks of the underlying project. This grants the sovereign two immediate advantages: more flexibility and less monitoring of how bond proceeds are applied, and a new investor base of institutional investors who would not typically participate as lenders in a project financing. Unlike DFIs, investors’ motives for funding are purely commercial. They are not seeking to correct the perceived lack of transparency of certain African business and political practices or to manage potentially adverse socioenvironmental effects of the project.

The Rwandan sovereign bond is a good example of transparency.

The government chose to set out the specific projects the bond would fund, including $50m to finance the Nyabarongo hydro power project.

By contrast, the Zambian bond referred only to “general budgetary purposes” providing much wider latitude for alternate government spending, although this was later corrected with press statements listing the projects to be funded.

Other approaches Governments that are reluctant to issue a Eurobond (due to timing constraints, the perceived administrative burden or concern with onerous securities law compliance) have used private placements of bespoke securities.

These placements include repackaged loans, loan participation notes or credit-

linked notes. Tanzania completed a $600m private placement in 2013 to finance upgrades in power supply. Similarly, Angola undertook a placement of up to $1bn in 2012.

Both governments successfully raised capital market debt while bypassing the fanfare and scrutiny that a public Eurobond issuance would undoubtedly have attracted in the media.

Domestic capital markets should not be ignored. Local currency bonds enable some projects to match their revenues to their debt and build an alternative asset class for Africa’s latest investors, the pension and sovereign wealth funds. In South Africa, the most mature and liquid market, there was the recent closing of the innovative R1bn ($86.42m) project bond issued by semiconductor company Soitec, which was one of the first publicly listed project bonds to finance an African solar project.

Islamic finance markets are also finally being utilised. Senegal issued a local currency sukuk bond raising approximately $200m to finance domestic infrastructure, and South Africa is also following this trend with its own $500m sukuk. These transactions successfully target regional Islamic investors who invest solely in sharia-compliant debt which leaves them excluded from conventional external debt financings in Africa.

Musonda Chibwe Kapotwe is legal counsel for project finance at Citigroup in London.

On Made in China 2025

BY PRINCEWILL ODIDI

O

n several occasions I run across these Chinese kids here in Georgia Tech, what surprises me is the type of courses they study. Almost all of them under Chinese government scholarship here to study in Americas best universities are studying courses that have to do with the future.

They study artificial intelligence, systems science and engineering, and hard core courses for tommorows World, their social lives are zero and they always hold sophisticated telephones.

Very suprizing, but China is a country that thinks ahead and every Chinese is a potential suspect.

Have you ever heard of the concept, made in China 2025?

It is Chinese Development blueprint that had sent fear around the world. It is meant to transform China from a labor intensive economy that makes toys, cloths, pharmaceu-tical to one that engineers advanced products like robots electric cars, and space explorations.

The Chinese are believed to be the most determined species

of the human race. Once they set their minds to achieve a goal nothing stops them.

Earlier today, I listened to a commentary where the presenter clearly stated that the Chinese state would not mind stealing technology and intellectual property just to meet their goal.

I also read elsewhere, that Chinese kids are sent in droves to study unique courses like artificial intelligence, information systems, system science, robotic engineering, systems engineering in American schools.

Surprisingly this is a deliberate state policy. You never see a Chinese student on scholarship studying arts, social sciences or religion.

What is most troubling is that they study these courses in America and United Kingdom top ivy leagues. They are here on full state sponsored scholarships.

While the economies of the world including the United States are exporting production distribution and exchange in an era of globalization, China is pursuing an agenda of localizing production.

They promote a policy to get almost 70 percent of

their production value chain domiciled locally. This is very dangerous because in the future the entire world will answer to China in terms of production.

My concern with China is how can a country and a people get it so right? Always ahead of the rest. Always scheming at a time our own kids are holidaying and eating barbecue in foreign restaurants.

The more I study the Chinese, the more I fall in love with these guys. They have leaders that think. They have leaders that plan for tommorow.

More interesting, even children as young as five years in China know in every transaction they have to eat up their opponents or be eaten.

The big question: Can we ever have a country built on values? Unfortunately, this is our biggest handicap in Nigeria. Our leaders think only of themselves.

Selfish and greedy, and some of our young people think only of what they can scoop out of these greed.

Vision 2020 we planned, this is 2019, nothing to write home about. Even the government themselves are busy politick-

ing and killing themselves with no regard to attain the goals of vision 2020. Open a discussion with a federal minister on how his ministry plans to meet the vision 2020 goals he has no idea what you are talking about.

Our hospitals are still consulting clinics, women still give birth at home without medical support, our roads in disrepair, our schools abandoned and our politicians clueless.

Is there hope for our country that we can ever plan and execute with precision like the Chinese?

Sometime I wonder, do we embrace the Chinese and be recolonized or do we continue to align with the west?

These young Chinese kids in Western schools studying robotics and artificial intelligence are the ones to compete with our own kids 20 years from now at a time our educational system and universities are dead and lecturers still going on strike.

I fear for my country and our future, to be candid I fear! – .

Princewill Odidi, a Development analyst write from Atlanta.

WEDNESDAY, MARCH 20, 2019

Overstocked Warehouses without Buyers

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he hassles of sustaining local manufacturing of goods continue to grow by the day. For most of 2017 and the preceding year, the worry of manufacturers was how to sustain production in the thick of economic recession.

However, the challenge is changing to overflowing warehouses with goods but no buyers. The recent breakfast meeting hosted by the Nigerian-American Chamber of Commerce turned out to be an event to catalogue the many challenges manufacturers are facing in order to sustain local production and create jobs. Tales were told of debilitating effect of the economic recession on the nation’s production subsector. After that experience which they described as the worst reces-sion in decades, manufacturers are crying out again that their warehouses are over stocked with un-sold goods.

Simply put, they cannot find market for their goods. They put the blame squarely on eroded purchasing power of Nigerians.

A double jeopardy of sort for manufacturers.

Goods produced from foreign exchange sourced at high rates are left unsold in warehouses. President of the Manufacturers Association of Nigeria (MAN), Dr Frank Jacobs although acknowledged some improvement in the manufacturing sector in the first quar-ter of 2018 over last quarter of 2017, but he was definite that the improvement did not cut across the entire manufacturing sub-sector.

The unsold inventory, he blamed on the disposable income of the average Nigerian that is at the lowest ebb.

This is the pathetic story of manufacturers in the country. We believe that the solution lies on reducing inflation in the economy.

Inflation has continued to be in the double digit, presently hovering around 14.33%. At this rate, it is extremely difficult to leave a good disposable income in the pockets of Nigerians that would enable them

buy goods. A single-digit inflation will leave more money in the pockets of Nigerians that a good chunk of their income would be spent on goods. As production picks up without commensurate purchasing power by the public, warehouses will continue to be overstocked. We counsel that Government should work assiduously to improve the economy to enable the inflation rate to naturally drop.

To evacuate the warehouses, Government must also continuously look into the availability of foreign exchange for manufacturers

to bring in raw materials at a competitive rate that will sustain production.

A cost of funds will certainly be passed to the manufactured goods. The implication is that where local-ly produced goods are found to be costlier than imported goods, Nigerians will naturally go for imported goods because of the low disposable income.

The economics of that are not farfetched because with a reduced disposable income, price becomes a major determinant factor in purchasing choices. In tackling these challenges, Government must consider

A cost of funds will certainly be passed to the manufactured goods. The implication is that where local-ly produced goods are found to be costlier than imported goods, Nigerians will naturally go for imported goods because of the low disposable income.

that sustaining local production has a multiplier effect on the economy including jobs creation and conserving the nation’s scarce foreign exchange.

If warehouses must be evacuated, government should look into electricity supply. Virtually all sectors of the economy have harped on the need to improve electricity supply in the country. Even MAN acknowledged that in 2016, their members spent N179 billion on sourcing alternative power supply.

The expenses on alternative power supply would have been ploughed into expansion of the produc-tive base of the country and this would have in turn generated more goods and more jobs and reduce importation.

In addressing these challenges, Government must revisit the ease of doing business in the country. Why would some manufacturers be growing while some still had challenges? There are still some im-pediments and these hitches must be addressed. There is need to put in place an effective monitoring team to check on all sectors of the economy to find out whether palliatives and policies are yielding the desired results.

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WESTAFRICA BUSINESSNEWS WEDNESDAY, MARCH 20, 2019

Kwara’s debt stands at 30.2b, says Commissioner

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he Kwara State Government on Tuesday clarified that the state’s debt currently stands at N30.2 billion with a monthly repayment of N496 million.

The State Commissioner for Finance, Alhaji Demola Banu, told newsmen in Iiorin that this was contrary to some speculations.

According to him, the debt stood at N31.4 billion in 2017 and N30.7 billion at the end of 2018, contrary to social media speculation of N50.2 billion.

Giving a breakdown of the current indebtedness, Banu explained that the loan included N15.3 billion balance of the Federal Government restructured loan,

N4 billion salary bail out, excess crude account loan outstanding of N9.3 billion and vehicle loan balance of N128 million.

Others are the Commercial Agriculture Credit Scheme (CACS) and Anchor Borrowers Programme (ABP) Agriculture Scheme with respective balances of N646 million and N679 million as well as International Aviation College loan balance of N96 million.

Banu said that the repayment of N496 million was being deducted from the state’s monthly federal allocation, adding that the figure included a monthly deduction of N39 million as repayment for foreign loans obtained by the govern-

ment in the 1970s.

Banu said that the Federal Government restructured the state government’s short and long-term bank loans to reduce monthly repayment, while the state also benefitted from a five billion salary bailout loan in 2015.

The commissioner said that the excess crude account loans were Federal Government-backed bank facilities which served as seed money for the Kwara Infrastructure Development Fund (IF-K) and payment for ongoing projects in the state.

He said that the CACS and ABP were state-government guaranteed Central Bank of Nigeria (CBN) loans to farmers in the state.

The commissioner said that Ugwuanyi, by his victory at the poll, was humbled by the show of love and solidarity by residents of the state.

“The governor feels more energised by this show of love and residents of the state will see more projects from him. Every aspect of the state will continue to receive attention,” he said.

The commissioner commended the media for their role before, during and after the polls.

“Many international and national election observer groups had predicted that the state would be one of the flashpoints for violence during the election.

“They did not reckon with the peace initiatives of the governor since the inception of this administration,” he said.

Anikwe said that members of the council were appreciative of the successful outing of the governor and the show of love by residents of the state.

Brace up for more rewarding years, Commissioner tells Enugu residents

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nugu State Commissioner for Information, Ogbuagu Anikwe says the re-election of Gov. Ifeanyi Ugwuanyi has set the stage for the delivery of more infrastructure and human empowerment initiatives in the state.

Anikwe, who disclosed this on Tuesday in Enugu while briefing newsmen after the State Executive Council Meeting, urged residents of the state to brace up for more rewarding years.

Governor Abdulfatah Ahmed

Niger Assembly passes N56.540bn 2019 budget for 25 LGs the committee observed that

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he Niger House of Assembly on Tuesday passed N56.54 billion 2019 budget for the 25 Local Governments in the state.

The house passed the budget following the presentation of the report of the joint Committee on Local Government and Planning and Appropriation.

The budget is made up of N37.58 billion and N18.95 billion recurrent and capital expenditure respectively.

Presenting the report, the Chairman of the joint com-

mittee, Abdulmalik Kabir, said the committee did not increase or reduce the total proposed expenditure presented to it.

“The committee did not increase or reduce the total proposed expenditure presented to it.

“The committee only made some adjustments in both recurrent and capital expenditure of some local governments by moving some allocations from one head to another,” he said.

Kabir said further that

security challenges in some local government areas had resulted in their inability to collect revenue in such areas.

“Therefore, we urge the Niger State Government to as a matter of urgency intervene in such areas with a view to resolving such issues,” he said The Speaker, Alhaji Ahmed Marafa, thanked the committee for the thorough job and directed the Clerk of the house to forward five copies of the bill to the Governor for his assent.

Edo Govt commits N100m to deepen basic healthcare reforms

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Governor Ifeanyi Ugwuanyi

do Government says it has committed N100 million, as counterpart fund, to the Basic Healthcare Provision Fund (BHCPF), for responsive, efficient and accessible healthcare through the Primary Healthcare Centres (PHCs).

Dr David Osifo, the State Commissioner for Health, made the disclosure on Tuesday at a workshop on Health Workforce Registry in Benin.

Osifo said the contribution was to enable the state government to benefit from the Federal Government fund through BHCPF. BHCPF is the funda-

mental funding provision under the National Health Act, signed in 2014.

He said that the state House of Assembly had passed the Health Insurance Bill to pave way for the smooth running of the fund.

The commissioner said the state was expected to benefit from the fund by the time it met the requisite criteria, including the counterpart fund.

He said, “to ensure sustainability and ownership of BHCPF, states are expected to co-fund the BHCPF, beginning with an initial N100 million as part-expression of interest to implement the BHCPF.’’

The commissioner said the state was also required to create State Health Insurance Agency and State Primary Healthcare Development Boards, to serve as channels through which implementation would be monitored.

Gov. Godwin Obaseki of Edo, had recently inaugurated a 17-member State Primary Healthcare Board, to deepen the revamp of the state’s primary healthcare system.

Obaseki urged members of the board to support the vision of his administration in delivering quality and affordable healthcare to the people.

WESTAFRICA BUSINESSNEWS WEDNESDAY, MARCH 20, 2019

Kaduna allocates N321m for nutrition interventions in LGAs T he Kaduna State Ministry for Local Government and Chieftaincy Affairs has earmarked N320.5 million for nutrition interventions at local government levels to complement the state government’s efforts.

The ministry’s Planning and Budget Officer, Saleh Adamu made the disclosure on Tuesday in Zaria at a threeday workshop to domesticate the National Multisectoral Strategic Plan of Action for Nutrition (NMSPAN), 2019 to 2023.

Adamu gave the clarification while responding to a call by Mr Awal Waziri, Director, Planning, Monitoring and Evaluation, Kaduna State Primary Healthcare Development Agency for Local Government Areas (LGAs), to commit part of their resources for nutrition intervention.

The Kaduna State Ministry for Local Government and Chieftaincy Affairs has earmarked N320.5 million for nutrition interventions at local government levels to complement the state government’s efforts.

The ministry’s Planning and Budget Officer, Saleh Adamu made the disclosure on Tuesday in Zaria at a threeday workshop to domesticate the National Multisectoral Strategic Plan of Action for Nutrition (NMSPAN), 2019 to 2023.

Adamu gave the clarification while responding to a call by Mr Awal Waziri, Direc-

tor, Planning, Monitoring and Evaluation, Kaduna State Primary Healthcare Development Agency for Local Government Areas (LGAs), to commit part of their resources for nutrition intervention.

He explained that out of the amount, N131 million was allocated for Infant and Young Child Feeding (IYCF), N110.5 million for Food and Nutrition and N79 million for Community Management of Acute Malnutrition (CMAM).

He called on the directors of primary healthcare in the local government areas to make efforts to access the funds and sustain the fight against malnutrition in the state.

Also, the state’s Nutrition Officer, Hajiya Hauwa Usman also said that an understanding had been concluded with the chairmen of the LGAs to provide N500,000 for IYCF and N250,000 for CMAM intervention monthly.

Usman, however, said that only a few chairmen have been releasing the funds, add-

ing that even the few were not consistent.

Confirming her position, Malam Ashafa Ahmad, Director, Primary Healthcare Services, Kaduna North Local Government Area, said that about 80 per cent of the chairmen had not been accessing the funds.

Ahmad called on the Planning and Budget Commission (PBC) to look into the issue and get the commitment of the chairmen to release the funds as at when due for the

Governor Nasir El-Rufai

nutrition activities to be carried out.

Responding, Malam Salisu Lawal, Director, Development Aid Coordination, assured that step would be taken to ensure that the chairmen released the

G

Governor Aminu Masari

kidnapping and banditry in the state.

Masari disclosed this while fielding questions from State House correspondents after a private

The News Agency of Nigeria reports that the NMSPAN provides the framework for addressing the problems of food and nutrition insecurity at all levels in the country through a multi-sectoral approach.

Anambra Govt completes 80 roads in five years –Commissioner

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he Anambra Government says it has completed construction of 80 roads of the 200 road sites across the three senatorial districts in the five years of Gov Willie Obiano’s administration.

Anambra State Com-

missioner for Works, Marcel Ifejoiofor who disclosed this in Awka. The works Commissioner who reviewed road construction since five years of Gov. Willie Obiano’s Government said the state had more than 200 active road sites across the

Masari meets with Osinbajo, consults security chiefs on kidnapping, banditry On his reelection, Maov. Aminu Masari of Kastina State says he is meeting and strategising with security chiefs over the reoccurring incidents of

fund.

According to him, doing so will greatly improve access to funds needed for nutrition intervention with a view to curbing the scourge of malnutrition.

meeting with Vice President Yemi Osinbajo on Tuesday at the Presidential Villa, Abuja.

He said he was in the presidential villa to congratulate the vice president on his reelection.

“Part of what we are doing about kidnapping and banditry is that I have seen some security chiefs.

“Before I leave Abuja, I will again see the Inspector General of Police (IG-P) and the Director-General, Department of Security Services (DSS).

“This is to further discuss and develop what we are doing with the military and the people that are on ground at present.

“It is not only about deployment; it is about strategy,’’ the governor said.

sari said he had creditably performed hence the people of Kastina reelected him.

He said that he made promises to the people of Kastina in 2015 which he fulfilled and the people voted for him on the basis of his performance.

“We are happy to say that we have done more than 70 per cent of what we promised the people of Kastina.

“When we went round, we promised them that we would continue with our agenda on education, health, agriculture, infrastructure and security.

“Because of what we have done in the last four years, they believed us and massively voted for us,’’ he said.

three senatorial districts. ”Anambra currently have more than 200 active road construction sites and as we are completing and commissioning some, we are doing more. ”’At Central Senatorial District; we are working on Orumba/Achala Road, Adazi Ani road, NTANawgu-Ukwulu Road, and Nimo/Abagana road. ”For the South; Oluoghoha road in Ihiala, Umuabuchi road in Uli, Orsumuohu road, Jerome Udorji road Ozubulu, Ezira/ Umuomaku, Achina road, St. Peter University/Onneh, and Isuofia road etc. ”In the North; we are doing Ogbaru, Ogwuanaocha/Ihiala road with connecting bridge, Ogwuikpere road, Mmiata/Nzam, Aguleri Uno/Aguleri Otu with 280 metre long bridge and rehabilitation of Aguleri Junction/Anakwu road”, among others.

Ifejiofor explained that 280 metres bridge on Aguleri Uno/Aguleri Otu when completed would be the longest in Anambra.

The commissioner said that the state had sunk in enormous amount of its resources on road construc-

tion. ”Due to the waterlog nature of some communities in Ogbaru, Anambra East and West, we spent more than N25 billion in the construction of a road like Aguleri Uno/Aguleri Otu, he said. ”In spite the challenges in the provision of quality roads Gov. Obiano’s administration will complete all the roads in the four Urban towns of Awka, Nnewi, Onitsha and Ekwulobia before the end of his eight years tenure,” he said.

The Commissioner said Anambra presently has the best network of roads in the South-East zone, and hope to sustain the lead through opening of more roads.

Governor Willie Obiano

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WESTAFRICA BUSINESSNEWS

AGRIBUSINESS

WEDNESDAY, MARCH 20, 2019

Expert cautions Enugu farmers against planting of seedlings with early rains

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he Desk Officer of Oil Palm Seedlings, Enugu state Ministry of Agriculture, Chijioke Egbo on Tuesday cautioned farmers against early planting of seedlings, following the early rains in the state.

Egbo who gave the warning in an interview with the News Agency of Nigeria in Enugu, saying that it was risky to cultivate with the early rains.

According to him, it is a risk for any oil palm farmer and other farmers to go into cultivation for the new farming season without having enough rain or water reservoirs in the farm.

He said: “Farmers should not be deceived by the recent rains because planting seedlings with the early rains will be a useless effort.

Farmers on the field

Agency warns against building on flood plains to avoid disasters

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he Nigeria Hydrological Services Agency (NIHSA), says government agencies as well as individuals, should desist from erecting structures on flood plains to avoid tragedies.

Directorr-General of the agency, Clement Nze gave the warning on Tuesday in Abuja.

Nze’s warning was in responds to question on causes of flash floods in some parts of the country at the beginning of rainy seasons.

“Don’t allow people to build within flood plains, it will be catastrophe in the future.

“Governments at all levels should be able to enforce regula-

tions.

“Don’t allow the high and the mighty in the society to go and acquire lands in places we called flood plains or natural passage of floods, don’t go and acquire land there and block it.

“These are places that have very beautiful scenario and people who have money, resources go and buy their ways through and acquire and begin to develop and take over those areas.

“If you recall, when the current Governor of Kaduna State Malam Nasir El-Rufai was the minister of the Federal Capital Territory around 2003, he pulled down so many structures, I saw some.

“In one place it was a two story building he pulled them down that now remains a recreation ground for people to go and play football and picnics.

“So we need people, governments, leader that have such guts in order to serve our environment.’’

The NIHSA official also advised members of the public living in flood prone areas to vacate such places before the onset of the rains.

He also advised residents of Abuja and its environs to clear drainages around them for their own safety.

Coastal regions like Lagos, Rivers, Akwa Ibom States among others, had been witnessing rainfalls since the beginning of the year.

“Since most Enugu farmers depend on natural rain, farmers should wait until April when rainy season would have set in fully.”

Egbo said that without full rain or water reservoir, planted crops might roast in the ground because of too much heat.

He urged farmers to use the period of waiting for the rain to clear their farmland and engaging in other pre-planting activities before the rains set in.

He called on the government at all levels to create irrigation for farmers to enable them to grow their seedlings and farm all-year round.

“With the help of irrigation, many farmers will no longer be waiting for rainy season before they begin planting,” Egbo said.

Farmers identify middlemen as agents of food insecurity

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armers across the country have called on government to curb the activities of middlemen, describing them as agents of food insecurity, exploitative and parasites.

The farmers said in Abuja on Tuesday that there were enough evidences to prove that the middle men exploited them and eroded their profits, which hampers government efforts for agricultural development.

The farmers called for quick intervention of government to get relief from middlemen, describing the middlemen as the menace that continued to deprive the farmers of their dividend in spite of numerous efforts to make ends meet.

They observed that their vulnerability to middleman was due to several factors, which include

distance from market, high cost of transportation and lack of credit.

Others are lack of insurance and storage facilities, which they claimed compelled farmers to respond to the dictates of the middlemen to make immediate sale at below the cost price.

Mallam Alli Kano, a rice farmer in Kura, Kano State, noted that government and other concerned agencies needed to act fast because the activities of middlemen were chasing many farmers away from farms.

He said that the assertion of middlemen on the farmers to dictate and raise prices for consumers usually led to high production costs in their efforts to boost production but hardly got fair pricing of their products from the middlemen.

I have done my best for the transport sector, Amaechi declares

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he Minister of Transportation Rotimi Amaechi, says he has done his best for the transport sector which has recorded a lot of success since he became minister in 2015.

Amaechi said this in an interview with the News Agency of Nigeria on Tuesday, in Abuja.

He listed the achievements of the ministry to include; the improved rail sub-sector, safer Nigeria waterways; as well as the improvement of the Nigerian Maritime Administration and Safety Agency (NIMASA) in the area of regulation.

“I have done my best; there is nothing else I can do, I could not have done better than what I have done, they have been changes in the transport system.

“Now you can go to Kaduna from Abuja regularly and safely by rail; we are almost conclud-

ing the Lagos-Ibadan standard gauge; and we are also renegotiating with a South African firm under a public private partnership to rehabilitate the narrow gauge lines.

“There is a lot of improvement in the waters. We contracted 495 million dollars to the Israelis to secure our waters for two years.

“That way, the cost of transporting goods into Nigeria will reduce and the delay time of cargoes at the seaport has started reducing.

“We are partnering with the Ministry of Works to work on the Lagos road that leads to the seaport; and that will tackle the traffic gridlock experienced on the axis.

“So far, we are satisfied that we have made our contributions,’’ the minister said.

Speaking on a likely cabinet

change, Amaechi said the passion to work had been built into the system and that anyone could perform optimally in any sector.

He, however, said that before May, when the cabinet might be reshuffled, the ministry would push for the completion of the Lagos-Ibadan Rail; and also get approval for the Ibadan-Kano Rail.

“We need to get the government to approve the IbadanKano and see how far the China Exim bank can fight and give us a loan; we also need to establish the University of Transportation in Daura.

“The Ibadan-Kano is currently one track because the China Exim Bank said it does not have money for double track.

“We are funding 15 per cent and they are funding 85 per cent.’’

Rt. Hon. Rotimi Amaechi, Minister of Transport

WESTAFRICA BUSINESSNEWS

COMPANIES/BRANDS

WEDNESDAY, MARCH 20, 2019

22

N1.2bn Tax Assessment: FIRS apologises to Tax Appeal Tribunal for late process filing

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he Federal Inland Revenue Service (FIRS) on Tuesday apologised to the Tax Appeal Tribunal sitting in Abuja for the delay in serving processes on an appellant, Joseph Daudu (SAN), in the case of alleged N1.2 billion error in taxation.

Daudu said he was dissatisfied with the FIRS assessments of his Withholding Tax (WHT), Personal Income Tax and Value Added Tax (VAT) for the period from 2010 to 2017.

Specifically, he expressed dissatisfaction with the decision to assess him with respect to WHT and VAT in the sum of N 1. 2 billion.

He, therefore, prayed the tribunal to restrain FIRS. At the resumed sitting, Abedayo Adedeji, counsel for Dauda, told the Tribunal that FIRS served them a witness statement on oaths only this morning.

He said that on the face of it, it necessitated a response from them, ( the appellant) according to him “we have not been properly served. ” In his response, Prof. Taiwo Osipitan SAN, counsel for FIRS apologised for the delay in serving the appellant as the respondent was trying to get all the processes served which did not work out as planned.

He told the tribunal that they however have other processes to serve on the appellant but had served only one this morning and would serve the remaining before the next adjourned date.

The tribunal, which was presided over by Mrs Alice Iriogbe, adjourned sitting until April 16, for parties to be served and reply before the next adjourned date Daudu, claimed that it was a misnomer for the appellant, who operates a law firm as a legal practitioner and does not deal in primary goods, to be assessed on Withholding Tax (WHT).

“It is unheard of for a legal practitioner to pay Withholding Tax, the respondent acted in error when it assessed the appellant on individual Income Tax from 2010 to 2017,” he said.

Responding, FIRS noted that its assessments were not in error and that it was discovered that the appellant did not deduct and remit WHT on some of the expenses and payment made under the period in review.

FIRS, therefore, prayed the Tribunal to declare that the notices of assessments issued on the appellant for 2010- 2017 assessment was right.

It also urged the tribunal for an order mandating the appellant to pay the total sum of N1.2 billion being the appellant’s liability for WHT, Personal income tax and VAT for 2010 to 2017 years of assessment.

FIRS stated that it rightly assessed the appellant; acting in accordance with the law and by collaborating with the Economic and Financial Crimes (EFCC) on nondeclaration of income as well as tax evasion.

Estate Surveyors move to address challenges of city management

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he Nigeria Institution of Estate Surveyors and Valuers (NIESV) says it would proffer solutions to the challenges hindering effective management and development of cities in the country.

President of NIESV, Rowland Abonta made this known at a news conference heralding the 49th Annual Conference and Annual General Meeting of the Institution in Lagos on Tuesday.

The theme of the conference is: “A City That Works”.

He said the conference would provide platform for deliberations on the major issues hindering development of most cities in Nigeria and proffer solutions to the chal-

Mr. Roland Abonta, NIESV Preisdent

lenges.

He was optimistic that it would give opportunities for the government and people to see what could be done to make the cities a better place to dwell.

According to him, the major focus of the conference is to boost the economic development of cities in the country, particularly Lagos, which was chosen to host the event.

“We chose Lagos for the conference because of its uniqueness.

Lagos stands tall above other cities in the country.

“The vibrancy of Lagos as a city that works is a good example for others to follow and we are here to contribute to the development of Lagos city,” he said.

Members of NIESV also visited Oba Riliwanu Akiolu, Oba of Lagos, in his palace to register their presence in the state.

The Oba assured them of the support of his office in ensuring the success of the conference.

Rogba Orimolade, Chairman, Lagos Chapter of NIESV, said the five-day event would focus on education, networking and improvement in the careers of members.

Orimolade said that the conference would be declared open on Thursday at Eko Hotel, Lagos by the Minister of Power, Works and housing, Babatunde Fashola.

William Babatunde Fowler, Chairman - FIRS

Fowler to Nigerians: Be ready for VAT increase reports that the officials appeared

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he Federal Inland Revenue Service (FIRS), on Tuesday, urged Nigerians to brace for an increase in Value Added Tax (VAT) by between 35 and 50 per cent in 2019.

This will raise the VAT from the current five per cent to between 6.75 and 7.25 per cent.

The Chairman of FIRS, Babatunde Fowler, dropped the

hint when he appeared alongside other top officials in the Federal Ministry of Finance before the Senate Committee on Finance in Abuja.

He said the impending VAT increase was one of the areas being looked at by FIRS to meet its 2019 revenue generation target of N8 trillion.

The News Agency of Nigeria

before the committee to give details of the 2019-2021 Medium Term Expenditure Framework and Fiscal Strategy Paper.

Fowler’s announcement came shortly after the Senate passed the National Minimum Wage Act (Amendment) Bill in which it approved N30, 000 as the new minimum wage for the workers in the country.

Kenya bans manufacture, use of non-woven polypropylene bags

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he Kenya government has banned the importation, manufacturing, supply and use of non-woven polypropylene bags, following increased pollution.

Geoffrey Wahungu, the Director-General of the National Environment Management Authority (NEMA) who made the announcement on Tuesday said that the ban takes effect from March 31.

“Due to the rising need of non-woven bags in the market, it has been noted that manufacturers of these bags are producing ‘low gauge’ poor quality bags which cannot be used multiple times but are disposed after single use,” Wahungu said in a statement.

The single-usage of the bags has led to environmental consequences, due to poor disposal habits currently being witnessed in the country coupled with lack of infrastructure to manage the bags, Wahungu said.

The authority consequently directed all manufacturers, importers, users and suppliers to

stop trading in the non-woven polypropylene bags by end of the month.

Following the ban, NEMA said the Kenya Bureau of Standards would issue new standards on the quality of bags that can be used in the market.

The ban on non eco-friendly shopping bags is the second in about two years after Kenya banned polythene bags in September 2017.

The ban, lauded by environmentalist globally, has been termed as one of the strictest and a boost to environmental conservation efforts.

Kenya is to benefit from 38 million dollars fund by the CocaCola Company to stimulate plastic recycling industries and create awareness on plastic waste pollution in Southern, East and Central Africa over the next three years, officials said.

The Coca-Cola Company is accelerating the collection and recycling of PET plastic bottles across Southern and East Africa to commemorate Global Recycling Day being marked.

“This is part of a focused World without Waste Campaign over three years and beyond,” Ahmed Rady, General Manager of Coca-Cola East and Central Africa Franchise said in a statement.

“We have formulated strategies to ensure that our post-consumer plastic bottles do not pollute the environment as wastes.

“We are creating value from our bottles in a bid to drive and sustain a green economy,” Rady said.

He revealed that in Kenya, Coca-Cola and its bottling partners joined industry partners in 2018 to form PET Recycling Company Limited (PETCO Kenya) to spearhead initiatives to collect and recycle PET bottles and packaging.

Others include create a favourable environment for the investment of additional capital in the PET sector in both production and recycling.

He added that in 2019 the plan is to accelerate collection and recycling in partnership with industry through establishing Voluntary Extended Producer Responsibility schemes.

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WESTAFRICA BUSINESSNEWS

POLITICS

WEDNESDAY, MARCH 20, 2019

Saraki plans to hijack 9th Senate by enthroning its leadership –APC alleges

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hieftain of the All Progressives Congress (APC), Yekini Nabena has alleged that the outgoing President of the Senate, Bukola Saraki, is planning to hijack the 9th Senate by enthroning its leadership.

Nabena, who is also the Deputy National Publicity Secretary of the APC, made this known in a statement on Tuesday in Abuja.

He alleged that Saraki planned to use the minority Peoples Democratic Party (PDP) caucus to achieve his desire, advising that the APC leadership should move fast to prevent him from getting his way.

“Since Saraki lost his bid to return to the Senate and the control of his home state, Kwara, he has devised a plan to ensure that he influences the choice of the incoming National Assembly leadership.

“This is Saraki’s last ditch effort to remain politically relevant,” Nabena said.

He advised that the APC leadership must urgently rollout a zoning arrangement to avoid the repeat of what happened in 2015.

He said that both incumbent President of the Senate, Bukola Saraki and Speaker Yakubu Dogara, emerged Senate President and Speaker against the party’s

wish in the outgoing 8th National Assembly.

Nabena alleged that the outgoing President of the Senate and his party, the PDP had devised plans to ensure that their loyalists took control of the Legislative arm of government.

According to him, the outgoing President of the Senate and the PDP caucus in the Senate had begun surreptitious move to lure some new APC lawmakers with juicy committee positions.

He added that such positions would be in return for their support for the PDP choice for the leadership of the Senate and House of Representatives.

“Already, Saraki’s henchman, Dino Melaye and some other returning PDP Federal Lawmakers have scheduled meetings with some APC lawmakers from Wednesday to Sunday in a yetto-be announced venue,”Nabena said.

He, therefore, called for urgent intervention by the APC leadership, saying that it was important that they met to urgently rollout a fair zoning arrangement.

This,he said, would ensure that the party produced its preferred candidates for all leadership positions in the incoming National Assembly.

Buhari declines assent to Nigerian aeronautic research rescue billls

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resident Muhammadu Buhari has declined assent to the Chartered Institute of Training and Development of Nigeria Bill.

The President also declined assent to the Nigerian Aeronautic Research Rescue Bill.

The communication from the president to the House of Representatives was read on the floor of the House by the Speaker, Yakubu Dogara, at Tuesday’s plenary.

Dogara read: “The Presidential declines assent to the chartered institute of training and development of Nigeria bill.

“This is because there are concerns that the Institute does not possess the capacity of the requirements that might be imposed on it if the bill is Assented to.

“And some aspects of the bill might run fowl of the stipulated guidelines as they should be,” he said.

President Muhammdu Buhari

The speaker further read that the president also declined assent to the Nigerian Aeronautic Research Rescue Bill recently Passed by the National Assembly.

“Presidential decision to decline assent to this bill is because of the numerous discrepancies of the bill which makes it not in tandem with international best practices guiding the aviation industry worldwide.

“Certain sections are just a duplication of the functions of NEMA and other Agencies,” he said.

The President also wrote the House on the burning need to settle local debts for Delta and Taraba, following approval of disbursements received from the NASS. “The National Assembly should also review the reimbursement proposed for Kogi and Bauchi states,” Dogara read.

The Senate

Senate commits 2019 budget to committees for defence

T

he Senate has committed the 2019 Budget of N8.83 trn to the various standing committees for defence by the Ministries, Agencies and Departments (MDAs).

This followed the conclusion of debate on the general principles of the budget at plenary on Tuesday.

The President of the Senate, Dr Bukola Saraki, while announcing this, gave the Committee on Appropriation two weeks to work on reports of the various committees and report to senate for consideration and passage.

Saraki enjoined MDAs to respond promptly to committee invitations for their budget defence to enable the senate expedite action on passage.

He, however, told committees not to bother going after MDAs to appear for budget defence.

“The relevant committees should swing into action and ensure that they conclude work on this budget within two weeks.

“The committee on appropriations should submit its report on April 2, so that we can pass the budget.

“Let me also add that the various committees should not run after or force any head of agency to appear.

“If they do not appear before the given time, adopt what was submitted by the President and submit your report. That is what you should do,” he directed.

President Muhammadu Buhari, had on Dec. 19, presented the 2019 budget proposal to a joint session of the National Assembly.

The 2019 budget proposal was based on an oil production estimate of 2.3 million barrels per day

and an exchange rate of N305 to a dollar.

Other benchmarks were: Gross Domestic Product (GDP) growth rate of 3.01 per cent and inflation rate of 9.98 per cent.

The total projected revenue, according to the president, is N6.97 trillion, which is three per cent lower than the 2018 estimate of N7.17 trillion.

The 2019 total budget estimate is N300 billion lower than the N9.1 billion being implemented for the current fiscal year.

The President said N4.04 trillion or 50.31 per cent was earmarked for recurrent expenditure and N2.03 trillion representing 22.98 per cent, earmarked for capital projects.

“Other estimates were N492.36 billion for statutory transfers; N2.14 trillion for debt servic-

Senate President, Bukola Saraki

ing and provision of N120 billion as sinking fund.

“Other revenues expected in 2019 included various recoveries of N203.38 billion; N710 billion as proceeds from the restructuring of government equity in joint ventures, and other sundry incomes of N104.1 billion,” Buhari said.

The president explained that the total N8.83 trillion proposed expenditure for 2019 included grants and donor funds amounting to N209.92 billion.

Buhari said though the 2019 estimate was lower than the 2018 budget of N9.1 trillion, it was higher than the N8.6 trillion originally proposed by the executive to the National Assembly.

The budget deficit is projected to decrease to N1.86 trillion or 1.3 per cent of the GDP in 2019 from N1.95 trillion projected for 2018.

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WESTAFRICA BUSINESSNEWS

POLITICS

WEDNESDAY, MARCH 20, 2019

Secondus calls for transparent supplementary elections

U

che Secondus, the National Chairman of Peoples Democratic Party (PDP), has enjoined the Independent National Electoral Commission (INEC), security agencies and other stakeholders to ensure that the forthcoming supplementary elections are transparent.

Secondus made the call in Sokoto on Tuesday, while addressing newsmen after consultation with Gov. Aminu Tambuwal and other party chieftains.

He said that the process should not be militarised, in order not to intimidate and terrify people at the polls.

The chairman said that such allegations made across the country made the army hierarchy to investigate its officers and men’s involvement, stressing that election security should be mainly a police responsibility.

“I appeal to security operatives and the electoral body to remain apolitical and respect their laws of engagement, as their neutrality will always accord them dignified respect,” he said.

Secondus urged the electorate and participating parties to play by the rules of the game, and expressed optimism that Tambuwal would win the election in Sokoto.

“PDP has confidence in Nigerian laws, and I have confidence Tambuwal, being in the lead, will be declared winner in the March 23 election,” he said.

Responding, Tambuwal commended Secondus for PDP’s performance in the elections, and urged security agencies to ensure neutrality in election processes.

He said intimidation always denied the people freedom and composure to elect candidates of their choice, and urged those involved in such acts to desist from it.

Uche Secondus, PDP National Chairman

INEC halts collation of results for Tafawa-Balewa

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he Independent National Electoral Commission (INEC) in Bauchi state has halted the collation of results for the governorship election held March 9, 2019 for Tafawa-Balewa local government area of the state.

The state Resident Electoral Commissioner, Ibrahim Abdullahi told newsmen in Bauchi on

Tuesday that the decision was as a result of a court order received by the commission retraining it from collation and subsequent announcement of Tafawa Balewa LG governorship results.

“The Independent National Electoral Commission (INEC) is in receipt of a court order restraining it from proceeding with the colla-

tion and announcement of results in respect of Tafawa Balewa governorship only.

“I must also add that the order which was sought and granted by the court does not include the Tafawa Balewa state constituency.

“For this reason, we are going to make arrangement to continue with the state constituency colla-

tion and subsequently announce the result,” said the commissioner.

Abdullahi said “what is also going to continue is the scheduled 23rd March election that affects the canceled election in other local government areas.”

The REC called on the people to remain calm and law abiding, adding that INEC would do the

right thing by announcing the true winner of the race.

INEC had on March 15 approved the resumption of collation and conclusion of results of Tafawa-Balewa Local Government Area in relation to governorship election using available existing duplicate and original results from Registration Areas.

Lagos sets up panel to investigate Ita-Faji building collapse

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he Lagos State Government on Tuesday set up an investigative and advisory committee on the collapsed building at No. 53, Massey Street,Ita-Faaji, Lagos Island.

The Commissioner for Physical Planning and Urban Devel-

opment, Rotimi Ogunleye, during the inauguration in Alausa, said members were carefully chosen to provide government with informed advice on the steps to take in respect of the collapsed building.

The three-storey building

with a penthouse collapsed on March 13, leaving some 20 persons dead and many others injured. One of the floors of the building housed a Nursery and Primary School.

Ogunleye said both the owner and developer of the col-

Rescurers pulling out a victim at the Collapsed building - Ita-Faaji, Lagos

lapsed building had been invited to the Ministry and advised residents to always seek approval from the relevant agencies before embarking on construction.

He said that 149 buildings were marked for demolition across the state, out of which 40

had been pulled down in the first phase of demolition last year.

The commissioner said 51 had been penned down for demolition in the second phase which was ongoing.

He said that out of the 149 distressed buildings, 48 were located on Lagos Island, and so far, 16 distressed buildings had been demolished on the Lagos Island alone.

Ogunleye, who debunked claims that many persons had been rendered homeless by the spate of demolition, clarified that statutory notices, including quit order were usually issued before any building was demolished.

He noted that provisions were also in place to accommodate anyone rendered homeless in case of emergency at the state resettlement centres.

The commissioner said that the committee, comprising professionals in the built sector, had a two-week term of reference, while the recommendation of the committee would be acted upon, as government was determined to stem the tide of collapsed buildings in the state.

In his remarks, the Chairman of the Committee, Wasiu Olokunola, a certified Civil and Structural engineer, promised that they would carry out the task with utmost professionalism.

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NEWS

WEDNESDAY, MARCH 20, 2019

NNPC to extend AKK project to North Africa

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he Group Managing Director of NNPC, Dr Maikanti Baru, says the corporation is considering the extension of Ajaokuta-Kaduna-Kano (AKK) gas pipeline project to Algeria to ensure African integration.

Baru disclosed this in a statement issued by the corporation in Abuja on Wednesday.

“The AKK gas pipeline to Algeria was in furtherance of its African integration drive, Baru said, adding that it was also in line with plans to extend the West African Gas Pipeline, (WAGP) to Morocco.

Baru spoke when the executive officers of the Petroleum Technology Association of Nigeria (PET-

AN) paid him a visit in Abuja.

He also said that the corporation was achieving satisfactory progress with oil exploration activities at the Kolmani River II Well.

He said that the corporation had drilled 6,700 feet in the well, noting that the target for the Kolmani River well was 14,200 feet.

He added that the depth could

be longer, depending on findings.

He explained that President Muhammadu Buhari should be commended for the progress being made on the drilling of the well, adding that prospecting for oil and gas in Kolmani River-II Well was one of the recent forays of the government into inland exploration in parts of the country.

The GMD also commended PETAN for its contribution to the development of the Nigerian petroleum industry.

“My pride in PETAN is that today, we have the capacity and expertise as Nigerians to carry out any job in the industry that was hitherto done by foreigners.

“As a champion of Nigerian content, we will continue to support you in whatever way we can,” he said.

In his remarks, Chairman of PETAN, Mr. Bank-Anthony Okoroafor, commended Baru for engineering transformation in every aspect of the petroleum industry since his assumption of office.

He cited the resumption of ex-

ploration in the inland basins and the flag-off of Bonga South–west project, which has been in the shelf for more than 10 years, as fruits of Baru’s visionary leadership and doggedness.

The PETAN chairman said that in recognition of Baru’s sterling performance and as a mark of appreciation to him, the association had decided to honour him with its “Visionary Leadership Award”.

He said Baru would also officially open the Nigerian Pavilion at the forthcoming Offshore Technology Conference (OTC) and serve as keynote speaker on the theme: “Nigeria’s Deepwater: The Journey So Far” at the conference.

He said the GMD would also serve as chairman of the technical session.

The PETAN chairman explained that the association was committed to the realization of the nation’s four million barrels per day production and 40 billion barrels reserve targets, adding that with Baru’s commitment, the targets would be achieved.

FERMA commences vegetation control, silt removal on federal roads in Abia

T Dr. Baru Maikanti, GMD - NNPC

Akeredolu to rename varsity after late Agagu

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ov. Oluwarotimi Akeredolu of Ondo State, says Ondo State University of Science and Technology (OSUSTECH), will be renamed after late Olusegun Agagu, former governor of

the state.

Akeredolu disclosed this during a tour of Okitipupa Local Government Area of the state on Tuesday.

He urged the two newly-elect-

ed House of Assembly members representing Okitipupa 1 and 2 constituencies to move the motion for renaming the university.

According to the governor, it is a decision that can only be taken by the House of Assembly and he urged them to move the motion as their first assignment.

“You know we have Adekunle Ajasin University in Akungba and it won’t be bad to have Olusegun Agagu University in Okitipupa.

“When we came on board, we noticed that the institution lacked infrastructure facilities, a good road network and other areas, which we looked into.

“The project would have been added to the museum of abandoned projects, hence the need for major upgrades,” he said.

Oba Babatunde Faduyile, Abodi of Ikaleland, congratulated the governor for the success recorded in the just concluded House of Assembly election across the state.

He also commended the governor for his giant strides in area of infrastructure, especially the restoration of light to the area, and the revival of the Okitipupa Oil Palm Ltd. The monarch further appealed for the construction of Okitipupa township roads, and adequate security guards for the resuscitated oil palm industry, among others.

he Federal Road Maintenance Agency (FERMA) has commenced the execution of vegetation control and silt removal on six federal roads in Abia.

Osita Ezenwaka, the Maintenance Engineer of FERMA in the state,made this known on Tuesday while supervising the evacuation of refuse on the median of Enugu/ Port Harcourt Expressway in Aba. Ezenwaka said that the execution of the exercise was facilitated through its Shareholders Association and Right of Way Maintenance Implementation Program.

He said that the exercise was one of the programmes planned by the agency to improve storm water control and minimise damage to federal roads in the state.

Ezenwaka said that the exercise would be implemented on Enugu/Port Harcourt Expressway, Aba/Azumini Road, Aba/IkotEkpene Road, Umuahia/Ariam Road, Umuahia/Bende Road, and Uturu/Okigwe Road in the state.

He said that the initiative was introduced to provide the dividends of democracy in line with Federal Government’s change agenda and the agency’s resolve to deliver on its mandate.

Ezenwaka said that the commencement of the exercise became pertinent considering the fact that the rainy season had begun in earnest in the Southeast region of the nation.

“If you ply these roads regularly, you will discover that the median, especially within Aba axis is littered with garbage and refuse.

“So you find out that the situation of rhe road is not very good for the road users going through Aba axis.

“The environment is so filthy, and with the programme, we want to handle the removal of refuse as much as we can.

“This is the essence of what we are doing. It is a very serious exercise and as much as we can, we will try to do it to make the residents of Abia happy,” he said.

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WESTAFRICA BUSINESSNEWS

NEWS

WEDNESDAY, MARCH 20, 2019

Africa needs double digit growth rate to meet SDGs, says ECA discussants A panel of discussants, under the auspices of the UN Economic Commission for Africa, says African continent may have to average, at least 10 per cent growth rate, to meet the Sustainable Development Goals (SDGs).

The speakers made the assertion on Tuesday in Marrakech, Morocco, at a press briefing on the 52nd Session of the Conference of African Ministers of Finance, Planning and Economic Development (COM2019).

They said there was need for African countries to expand resource-base to finance developmental goals.

The ministerial conference runs from March 20 to March 26 in Marrakech.

Its theme is: “Fiscal Policy, Trade and Private Sector in the Digital Era: A Strategy for Africa.”

The discussants included Lilia Hachem Naas, Director of ECA sub-Regional Office for North Africa; Adam B. Elhiraika, Director, Macroeconomic Policy Division of ECA; Giovanie Biha, Deputy Executive Secretary of ECA; and Mercy Wambui, Chief of Communication, ECA. In his presentations, Elhiraika said the 2018 average 3.2 per

cent growth was inadequate to drive the continent’s sustainable economic growth.

“We advise that countries must mobilise resources, manage natural resources more effectively, stimulate local productions, expand tax base and fight corruption.

“In tandem with the theme of the 52nd Session, some countries on the continent have increased their tax revenue significantly through digitalisation of tax collection and management.

“Through digitilisation, these countries have been able to significantly reduce cases of corruption and waste, while ensuring that almost what is due as tax to the government gets to it.

“Digitalisation also provides more opportunities for the private sector to grow as well as invest in other sectors, which consequently increase tax base, create more jobs and impact positively on infrastructure development,” Elhiraika said.

He added that Africa has to stop importing manufactured goods.

According to him, one of the best ways to overcome dependent on imported goods is as envisaged under the African Continent Free

Trade Area (AfCTA) Agreement.

“The Agreement is an opportunity to transform our society.

However, a lot depends on financial resources available,” he said.

Biha, in the same vain, said that the development of Africa was all about sufficient revenue to finance the SDGs and other developmental needs.

“Eleven years is just around the corner, but we are not going to achieve the desired goals with the current growth rate,” she said.

Biha said African market was huge, while the opportunities were almost limitless.

She, however, called for greater attention to be paid to tax issues and other sources of revenue mobilisation, saying that tax policies determine level of development.

“There is no way out. You just have to pay your tax.

“Reports already indicate that most firms are either not taxed at all or not adequately taxed,” Biha said.

The speakers, however, agreed that there was need to encourage more intra-African trade, while every country on the continent must adopt the policy of “Africa First” in their engagement with extra-African interests.

” The request has become expedient considering the almost N3 billion drop in federation accounts receipt in January 2019 when compared to December 2018 which had hindered planned disbursement to the contractors. ”Most of the contractors are already on site and have generated payment certificate for works already executed which are yet to be defrayed,” he said.

Okowa said that the funds were required to make progress in the relevant project execution, adding that the state executive council at its meeting of February 5, 2019 considered and approved that the state government should support certain contractors for the state’s critical priority projects.

Okowa said: ”In obtaining the short-term loan facility amounting to N3 billion only from Zenith Bank with the state government

bearing the cost associated with the facility as requested by the contractors.”

The Majority Leader, Mr Tim Owhefere thereafter moved separate motions for the House to receive the governor’s request for further consideration and approval.

The motion, which was adopted through a voice vote by the Assembly, was seconded by Mr Emeka Nwaobi, representing Aniocha North constituency in the state House of Assembly.

Also at plenary on Tuesday, the Assembly approved Gov. Okowa’s request to guarantee credit facility to be obtained by the Delta Line Transport Service Limited.

The request was also contained in a letter read by the speaker during plenary.

Okowa said that the loan was in a bid to revamp the ailing Delta transport service which had over the years relied on continuous assistance from the state government to meet salaries and other recurrent expenditure obligations as well as capital expenditure despite being a business that should generate revenue.

He said that the State government sold 60 per cent equity of the Delta Line to God is Good Motors Transport Development Company by way of a public private partnership arrangement with the state government retaining 40 per cent equity in the company.

The governor said that sequel to the sale which involved defrayment of outstanding commitments including salaries arrears, the new management of Delta line submitted a five year business plan, among other things.

Delta assembly approves state govt.’s N3b loan

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elta House of Assembly on Tuesday approved the request of Gov. Ifeanyi Okowa for N3 billion short-term loan facility for the financing of priority road projects in the state.

The House at plenary presided over by the Speaker, Chief Sheriff Oborevwori in Asaba, also approved Okowa’s request to guarantee a credit facility to be obtained by the Delta Line Transport Services Limited.

The approval of the request, which was contained in a letter read by the speaker during the plenary, followed a resolution passed by the Assembly.

According to Okowa, there is urgent need for the state government to support some of its road’s contractors in accessing financing to aid accelerated execution of critical projects before the onset of the rainy season.

Governor Ifeanyo Okowa

Minister of Budget and National Planning, Sen. Udoma Udo Udoma

FOIA: BPSR calls for review of conflicting laws

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he Bureau of Public Service Reforms (BPSR) has called for review of laws that conflicts with the Freedom of Information Act (FOIA).

Such laws includes the Official Secrets Act, Public Complaints Commission Act and Criminal Code which are perceived to be in conflict with the Act. The Acting Director-General of the Bureau, Dasuki Arabi, made the call on Tuesday in Abuja.

He was speaking at the presentation of the “Policy Brief and Recommendations on Strengthening the Implementation of the Freedom of Information Act in the Nigeria Federal Public Service”.

The 54-page brief summarized the results of the BPSR and ‘Right To Know (R2K)’ study on Administrative Burden in the implementation of the FOIA in selected Ministries, Departments and Agencies (MDAs).

“The FOI Act supersedes the Official Secrets Act, originally enacted in 1911, which forbade the unauthorised transmission, ob-

Dasuki Arabi, Ag. DG - BPSR

taining, reproduction, or retention of any classified matter.

“The Act applies not only to public institutions but also to private organisations providing public service, performing public functions or utilising public funds.

“In particular, the FOI Act is designed to remove the aura of mystery and exclusion with which public servants cloak the ordinary operations of government and public institutions with secrecy,” Arabi said.

According to him, a number of public institutions are still resistant to the full implementation of the FOIA. He added that the level of compliance with FOIA’s regulatory submission requirements by public institutions in Nigeria have increased from 16 in 2011 to 73 in 2017.

He, however, said the overall level of compliance by public institutions was still low at less than 10 per cent of the estimated total number of 900 public institutions.

WESTAFRICA BUSINESSNEWS

NEWS

WEDNESDAY, MARCH 20, 2019

27

Insurgency : NAF unveils Geo Spatial Intelligence Data Center

T

Vice President Yemi Osinbajo

FG to negotiate with senior civil servants on new minimum wage, says Udoma

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he Minister of Budget and National Planning, Sen. Udoma Udoma, says the Federal Government will go into negotiations with senior civil servants soon after the bill on the new National Minimum Wage is assented to by President Muhammadu Buhari.

He said this when he appeared before the Senate Committee on Finance on Tuesday in Abuja to give explanations on the Medium Term Expenditure Framework (MTEF) and Fiscal Paper.

He said the Executive would meet with relevant stakeholders on the matter as soon as it is signed into law.

“Once we announce the minimum wage, we now enter into negotiations with those who are above the minimum wage.

“So, we have to be prepared for that. We will be meeting with the finance committee on how best this minimum wage will be addressed both from the federal and the state governments.

“This is to ensure that the

whole government apparatus is not just to pay salaries. It is important we are able to pay the minimum wage and still have enough resources to do infrastructure, health, agriculture and others,” he said.

The minister stressed that once the minimum wage becomes law, serious emphasis would be laid on productivity.

“As a result of agitation from the unions, the President set up a tripartite committee to look at the minimum wage. It is expected that

every five years a review is done.

“We know that the N18,000 is too low and it will be difficult to manage with 18,000 and the president supported the review.

It is, however, important that as we are reviewing it, we make sure that we can fund it.

“That is why we set up a committee. So, we will be coming to you as there may be some changes to make sure we can fund the minimum wage,” he explained.

Meanwhile, the Senate and House of Representatives have approved N30,000 as the new national minimum wage.

WAEC to review workers’ salaries soon – official

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he West Africa Examinations Council (WAEC), will soon review the salaries of its workers as part of measures to motivate them towards optimal productivity, Head of its office in Nigeria, Olutise Adenipekun has said.

Adenikpekun, who spoke on Tuesday in Lokoja, at a ceremony to mark the outfit’s 67th anniversary, said that management had set up a committee to review staff salary.

“The report of the committee is being considered; we want better packages for our staff in spite of the council’s dwindling resources.”

He said that the council’s achievements over the years would have been impossible without the cooperation and dedication of staff and other stakeholders.

“Management believes that it is important to sustain an effective and efficient workforce

through regular staff training and re-training.

“This will be vigorously pursued during this fiscal year,” Adenipekun said.

He urged WAEC staff to be prudent in resources management, stressing that there was need to adopt strict fiscal discipline to avoid wastage.

“We should embrace transparency and accountability in all our dealings. We must remember that the council has zero tolerance for corruption,” he said In her remarks, Mrs Rosemary Osikoya, the Kogi Commissioner for Education, Science and Technology, said that there was cordial and transparent working relationship between WAEC and the state government.

She reiterated the commitment of Gov. Yahaya Bello to reducing examination malpractice to its barest minimum in the state.

“In 2017, the state government de-recognized 47 second-

ary schools while 108 others were warned. In 2018, it de-recognized 13 schools and 56 were warned,” she said.

She ascribed the improvement recorded in the 2018 WAEC

Mr-Olutise-Adenipekun

examinations to the state government’s strict adherence to examination rules and regulations, and restated government’s commitment to restoring standard in its schools.

he Nigerian Air Force (NAF) on Tuesday inagurated the Geo Spatial Intelligence Data Center to address the security challenges in the country.

The centre would deploy state of the art technology including sophisticated and high value computer software to gather and analyse data to produce intelligence in support of NAF and joint operations around the country.

The Chief of Defence Staff (CDS), Gen. Gabriel Olonisakin, who inagurated the facility congratulated the NAF for establishing the center.

“It is heartwarming to note that the product of the Centre will not only serve the interest of the Nigerian Air Force, but the other arms of the armed forces and security agencies in Nigeria as well.

“I am told that the Centre, for instance, can produce current maps for Nigerian Army operations and can assist the Immigration Service to identify old and new boarder crossing points used by illegal migrants.

“The Centre could not have come into being at a more auspicious time; at a time the country is grappling with various internal security challenges.

“The output of the Centre will, no doubt, go a long way to assist in our fight against insurgency,” he said.

Olonisakin urged the personnel would operate, manage and maintain the equipment in the Centre, to be dedicated in their duties.

“So much is expected from you and a lot of lives could be saved if you carry out your duties diligently and to the best of your ability. I enjoin you to strive for excellence for which the Centre will be known,” he said.

Earlier, Abubakar said the unveiling of the Center was an epochmaking event, adding that “today we are gathered here to witness the commissioning of the Nigerian Air Force Geospatial Intelligence Data Centre.

“Military operations globally are becoming more intelligence-driven; hence militaries all over the world take advantage of satellites and other space borne systems in gathering actionable intelligence.

“It is against this backdrop that the Nigerian Air Force embarked on this worthwhile endeavour by leapfrogging from traditional means of intelligence gathering to the use of space-borne platforms in the production of actionable intelligence for operational effectiveness,” he said.

Abubakar said the centre underscored “our commitment towards aligning with global best practices in addressing our peculiar security challenges.”

He said the Centre would support NAF operations as well as collaborate with other security agencies during joint operations and in the area of crisis and disaster management.

“This is in line with our collective resolve to protect and defend the territorial integrity of Nigeria,” he said.

He expressed gratitude to President Muhammadu Buhari for his continuous support and encouragement to the Nigerian Air Force.

WESTAFRICA BUSINESSNEWS

SPORTS

WEDNESDAY, MARCH 20, 2019

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AFCON Qualifier: Full house as Super Eagles hold first training session in Asaba

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t was a full house on Tuesday as the Super Eagles began their first training session ahead of their 2019 Africa Cup of Nations (AFCON) final qualifying match against Seychelles.

All the 23 invited players have now reported to camp and took part in the team’s first training session at the Stephen Keshi Stadium, Asaba.

According to reports on the official Twitter handle of the Super Eagles, the latest arrivals on Tuesday were Ahmed Musa, Paul Onuachu, Leon Balogun, Troost Ekong, Kenneth Omeruo, Abdullahi Shehu, Wilfred Ndidi, Chidozie Awaziem, Moses Simon and Jamilu Collins.

Others include John Ogu, Etebo Ogenekaro, Victor Osimhen and Henry Onyekuru who arrived later in the day.

NAN also reports that Odion Ighalo, Alex Iwobi and Semi Ajayi were among the first arrivals in the Super Eagles’ camp in Asaba on Monday.

Others in camp were Goalkeepers Francis Uzoho, Ikechukwu Ezenwa and Daniel Akpeyi as well as home –based professionals Ikouwem Utin, Ndifreke Effiong and Valentine

Ozornwafor.

Technical Adviser Gernor Rohr had called up 23 players for the final AFCON qualifier against Seychelles and the international friendly against the Pharaohs of Egypt, with Utin and Effiong leaping on the list as a result of injuries to Samuel Kalu and Ola Aina.

The training, which was an open session for both fans and the media, began at about 4:45 p.m. and ended at about 6:30 p.m.

The three-time African champions, Nigeria, have already booked a place in the AFCON holding in Egypt from June 21 to July 19, with the encounter against Seychelles hardly more than an academic exercise.

But the Eagles have spoken of the need to end the qualification series on a high and maintain their reputation while using the game to kick-start preparations for the continental competition.

They take on the Pirates of Seychelles at the Stephen Keshi Stadium, Asaba, on Friday by 4 p. m and then play an international friendly against the Pharaohs of Egypt on March 26 at the same venue.

S

children went to school here.

“We had many chances to leave the country but each time decided to stay because we are happy here,” Moraes was quoted as saying by Shakhtar Donetsk’s website.

Moraes leads the Ukrainian Premier League scoring charts with 16 goals from 22 games and also has six assists.

He is the third Brazilian player naturalised by the Ukrainian team in their history and can make his debut against Portugal on March 22 in Lisbon or Luxembourg three days later.

Super Eagles’ first training session at the Stephen Keshi Stadium, Asaba. Credit: Super Eagles Twitter Account@NGSuperEagles

Ukraine reinforce squad with Ibrahimovic lambasts Ferguson’s Class of 92 all their life under Ferguson and Brazilian striker before Euro for Pogba criticism they never moved from Ferguson. anchester United’s former for his poor form earlier this season 2020 qualifiers chose to live in seven years ago. Our “They didn’t even talk if Ferguby former players Gary Neville and

hakhtar Donetsk striker Junior Moraes has become the latest Brazilian-born player to join the Ukraine national team after being called up to their camp on Tuesday.

The squad was put together for the European Championship Group B qualifiers against Portugal and Luxembourg.

Coach Andriy Shevchenko called up the 31-year-old the day after he was granted a Ukrainian passport, the Football Federation of Ukraine said.

“Ukraine is the country my family

M

players from the famous Class of 92 are critical of midfielder Paul Pogba because he was not loyal to former manager Alex Ferguson, Zlatan Ibrahimovic has said.

Pogba, who came through Manchester United’s academy, left the club for free in 2012 after Ferguson fell out with the Frenchman’s agent Mino Raiola.

But he returned following a four-year spell at Juventus for a then world record fee in 2016.

The 26-year-old was criticised

Paul Scholes, who work as television pundits.

Ibrahimovic said it all stemmed from Pogba’s decision to leave Manchester United and Ferguson for Juventus.

“With Pogba, he was with Manchester United when he was young, then he went out and he came back,” Ibrahimovic, who played with Pogba at Manchester United for one and a half seasons, said.

“In the circle of Ferguson, they don’t like that because they stayed

Only the best will make D’ Tigers team to World Cup, coach Nwora says

D

’ Tigers’ coach Alex Nwora says only the best hands will be selected for the 2019 FIBA Men’s World Cup in China in August.

The News Agency of Nigeria reports that last Saturday’s draw had pitted Nigeria against Russia, Argentina and South Korea in

Group B. The coach, while reflecting on his team’s prospects, said the World Cup was only deserving of the best players the country could boast of.

Nwora, who led Nigeria to emerge as the first to qualify for the 2019 competition, said it was

time to go back to the drawing board after the euphoria of qualification.

“You have to take your best players to the World Cup. It is not a competition you attend with just any player.

“However, with interest being shown by many Nigerian players

in the NBA, G-League and across Europe, selecting the best will be a priority task for the coaching crew.’’

The coach also said there would be a try-out. “We have to go through our list, see each position and see who is going to be best for each position.

“There are so many young players in the U.S. and the NBA that we want to integrate into the system.”

He promised that every good player would be given a fair chance to fight for a shirt during the camping exercise expected to start soon.

“To be in those camps, we will reassess those players who played in the different windows and that will give us a good chance to see other new players we will be taking to the World Cup and will use in the future.”

NAN reports that the tournament schedule released by the Federation of International Basketball Associations (FIBA), D’Tigers will start their campaign against Russia on Aug. 31.

They will then take on Argentina on Sept. 2 in Wuhan, before their final group game against South Korea on Sept 4.

son didn’t tell them to open their mouth. So, now if they’re talking, I don’t know whether Ferguson gave them permission or not.”

Wales manager Ryan Giggs, who made more than 960 appearances for Manchester United and won 13 league titles under Ferguson, said the former players had a right to voice their views.

“When you play over 2,000 games between us, we are going to have an opinion,” Giggs told reporters ahead of Wales’ friendly against Trinidad and Tobago.

“Sometimes it’s positive, sometimes negative, but it doesn’t have an effect on results. We are supporters. That’s what football is about, having different opinions.

“But he (Ibrahimovic) obviously knows more about the club than us,” Giggs sarcastically added.

In spite of playing a crucial role in winning the 2018 FIFA World Cup with France last year, Pogba struggled for form at Manchester United earlier this season.

That was under former manager Jose Mourinho, who benched the midfielder towards the end of his Old Trafford tenure.

But Pogba then turned his campaign right around with nine goals and seven assists in all competitions after Ole Gunnar Solskjaer was appointed caretaker boss in December.

“I think Pogba has the potential to be the best player in the world in his position,” Ibrahimovic, now with MLS side LA Galaxy, added.

“He’s a good guy, he trains hard, he listens, he wants to become better, he wants to win, he wants to perform in every game.

“Things happening outside do not really bother him because when you are at that level, everyone will speak — positive, negative, in between.”

29

WEDNESDAY, MARCH 20, 2019

I’m not meddling in Kano elections – Tinubu A

ll Progressives Congress National Leader, Sen. Bola Tinubu, on Wednesday refuted rumours going round that he was in Kano and meddling in the state’s rescheduled elections.

Tinubu in a statement said he had not been in Kano at any point during the conduct of the elections.

A copy of the statement was made available to newsmen in Lagos by Tinubu’s Media Adviser, Tunde Rahman.

He said that the picture of himself and Gov. Abdullahi Ganduje of Kano that was circulating in the me-dia was taken in 2018 when the governor

visited Lagos.

According to him, such rumours are harmful to the democracy Nigeria seeks to enshrine and goes against the progressive tradition that describes Kano’s politics.

“These desperate politicians stir resentment of others as a way to get the support of the people.

“They use lies and deception as their crutch, casting me as some type of one-man political invasion in-tending to unduly influence the governorship election.

“For the record, I’m not in Kano and has not been in Kano at any point during the conduct of these elections.

“The picture that these liars are circulating is one that was taken last year when the governor visited Lagos, “he said.

Tinubu said that Kano had historically stood as a bastion of progressive politics.

According to him, Its brand of politics helped inspire the establishment of the APC. “Regarding the people of Kano, I have nothing but the utmost respect and admiration.

“Kano has an enlightened electorate that will vote as they believe. I hope that they will disregard the lies and rumors about me and remain faithful to their progressive tradition.

Tinubu

Debt-Service Costs: FG Considers Concessional Lenders Continued from page 1

period after Egypt. Bank Of America said in a research note this month that Nigeria would probably print another $3 billion of securities In the second half of 2019.

Its Eurobonds have returned 14.4 percent since the end Of 2018, second only to Kenya among sovereigns In emerging markets, According To Bloomberg Indexes.

While Nigeria’s ratio of debtto-gross-domestic product is low relative to other governments at about 25 percent, its small tax base means interest costs as a proportion of revenue are high.

The federal government’s interest payments-to-revenue more than

doubled to 60 percent last year from 27 percent In 2014, According io the International Monetary Fund. the figure is on course to rise to 82 percent by 2022, which the Washington-based lender says is unsustainable.”

Oniha reiterated that while the government is “always speaking” with the World Bank and African Development Bank, it won’t borrow from the IMF.“We’ve made It clear we’re not in the situation where we need IMF support,” She Said.

The DMO Is continuing with a plan to Increase Its proportion of foreign liabilities to 40 percent to reduce funding costs. The ratio Is probably somewhere between 30 Percent And 40 Percent following

the sale Of $2.9 billion of bonds In November, Oniha Said. Yields On Nigerian Eurobonds Average 7.3 Percent, Half That For Naira Bonds, According To Data Compiled By Bloomberg And JPMorgan Chase & Co. “The Debt Service-To-Revenue Ratio Is Rising,” She Said. “We’re Not Sitting And Saying We’re Comfortable. Part Of The Reason For Borrowing Externally Is To Borrow At 8 Percent Rather Than 18 Percent. It’s Cheaper. And We’re Assuming The Naira Will Be Stable.”Nigeria Also Plans To Sell A 15 Billion Naira Green Bond, Oniha Said, Without Giving A Time Frame.

“If the people do so, then they would have voted in their best interests and that is for the APC, the party of President Muhammadu Buhari, “he said.

Tinubu said that he had been at the forefront of the struggle for electoral reforms, justice and equality over the years and would never do anything to desecrate those fine ideals.

“I believe in a free and fair

electoral process, a project to which I have devoted the majority of my adult life to achieve.

“Let this election be decided on the relative merits of the competing candidates.

“I’m a committed democrat and advocate of free and fair electoral processes. I will neither support nor work to promote anything that will undermine or weaken the electoral system, ” Tinubu said.

Fidelity Bank supports financial inclusion with N13m

I

n a bid to boost financial inclusion, Fidelity Bank Plc., on Tuesday splashed 12 of its loyal customers with N13 million at the fifth draw of Get Alerts in Millions (GAIM) season three.

The promotion was designed to enrich customers and encourage savings culture.

Nnamdi Okonkwo, the bank’s Managing Director, said at the fifth draw in Lagos that the reason for the initiative was to drive financial inclusion, thereby reaching out to unbanked Nigerians.

Okonkwo, represented by Mrs Chinwe Iloghalu, Regional Bank Head, Victoria Island, said that the promo was to promote savings culture and to reward customers’ loyalty.

He said that it was one of the ways to encourage flow of money into the banking sector by getting people to bring their money into the bank and also appreciate the bank’s customers.

Okonkwo said that the initiative was in line with the Central Bank of Nigeria’s directives for financial inclusion, noting that about 60 per cent of Nigerians were still unbanked.

“We are also using this medium to appreciate our customers because there is no institution that will thrive without a customer base.

“We love our customers and we are giving back to them to show them that they are special and they mean a lot to us,” he

said.

The managing director said that the bank would continue to attract more customers through various digital transformation channels.

He, however, called on customers to continue to save with the bank for their future endeavours.

“Savings will transform your life and people must learn to keep something for the rainy day,” Okonkwo said.

Also speaking, the Promo Manager, Mrs Janet Nnabuko, said that the promo was for both old and new customers and consists of monthly draws and bimonthly draws.

“To be eligible participate in the monthly draws, you should have an existing savings account and top it up with N10, 000 every month and for the bi-monthly draws, you have to maintain a minimum of N50, 000 every month to participate”.

Eleven customers of the bank won one million naira each, while one customer won the star prize of two million naira.

Some other customers were rewarded with consolidation prizes, comprising generators, refrigerators and television sets.

Some of the cash prize winners were Ms Chinyere Chima, Chukwudi Obi, Roberts Oronne and Ale Samuel who won one million each, while Ifeanyi Chiedozie won the star prize of two million naira.

WEDNESDAY, MARCH 20, 2019

L-R: Roosevelt Ogbonna, Group Deputy Managing Director; Herbert Wigwe, Group Managing Director/CEO; Ajoritsedere Awosika, Acting Chairman and Ade Bajomo, Executive Director, IT and Operations, all of Access Bank Plc during the signing ceremony for the N15 Billion Green Bond Issuance at the Bank’s Head Office in Lagos.

President Mohammadu Buhari (middle) flanked by Lagos State Governor-elect, Mr. Babajide Sanwo-Olu (left) and his Deputy Governor-elect, Dr. Obafemi Hamzat, during a courtesy call on the president by the later, in Aso Rock Villa, Abuja.

Women empowerment can drive national economic growth— Minister

T

he Minister of Finance, Mrs Zainab Ahmed, said on Tuesday that the empowerment of women and girls could drive economic growth and improve development outcomes in countries.

Ahmed made this known in Abuja at the Central Bank of Nigeria’s (CBN’s) 2019 International Women’s Day celebration with the theme: “Investing for Equality’’.

She said that in Nigeria, women comprised more than half of the population.

He said that for sustainable growth to be achieved women should be given the requisite support to succeed.

“In the Nigeria context, the factors inhibiting gender equality mirror what is happening on the global scene.

“Women face challenges when it comes to accessing resources, including financial services, property, and other as-sets.

“It is important that government continues to develop and implement policies, regulatory frameworks, and pro-grammes that are inclusive and gender-sensitive.

“This will help remove the socioeconomic and cultural barriers that prevent women from participating fully in society and from reaping the economic benefits of their participation.

“This is especially important given the evidence that gender-neutral policies are often applied in ways that exclude and disenfranchise women stakeholders and other vulnerable communities.

“Women must have a ‘seat at the table’, and be co-creators of any strategic

interventions aimed at ensuring gender parity in the long run,” the minister said.

Ahmed identified key intervention areas government should focus on to continue to develop and support women in its efforts at investing for equity.

Some of the key areas she identified are access to financing for womenowned businesses, boosting financial inclu-sion, and financial literacy among women and girls.

She stressed the need to improve human capital development outcomes for women and girls through targeted gov-ernment spending in line with the Economic Recovery and Growth Plan.

Also speaking, the Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele, said that women contributed enormously to economic growth whether as business owners, entrepreneurs, farmers, or employees of businesses.

Emefiele added that in spite of the strategic role they played in the country’s economic growth, women entrepre-neurs still faced numerous challenges ranging from financing to owning and growing a business.

“It is in recognition of these overwhelming challenges that the bank has developed various genderresponsive inter-ventions that prioritise investments for women thereby improving access to diverse sources of finance.

“Sixty per cent of the N220 billion MSME fund is earmarked for womenowned businesses.

L-R: Company Secretary/Legal Director, Nigerian Breweries Plc, Uaboi Agbebaku; Head of Business Development, CrossBoundary Energy Nigeria Ltd, Femi Fadugba; Supply Chain Director, Nigerian Breweries Plc, Martin Kochl and Corporate Affairs Director, Nigerian Breweries Plc, Sade Morgan at the signing of an agreement with CrossBoundary for the provision of solar powered energy to Nigerian Breweries Plc. in Lagos, Photo; SUNDAY ADESANYA.

L-R: Olumide Orojimi, Head, Corporate Communications, The Nigerian Stock Exchange (NSE); Bekeme Masade-Olowola, GRI Board Member, CEO, CSR-in-Action; Bola Adeeko, Head, Shared Services Division, NSE and Douglas Kativu, Director, GRI Africa during Sustainability Reporting Workshop and the Unveiling of the NSE Sustainability Disclosure Guidelines at the NSE on 19/3/2019, Photo; SUNDAY ADESANYA.

L-R Vice Chairman, Nigerian Institution of Civil Engineers, (NICE) Lagos State chapter, Engr. Emeka Ibeh; Chairman, Engr. (Mrs.) Lola Adetona; National Deputy Chairman, Engr. Tokunboh Ajanaku; and ex-Officio, Engr. Odumade Adeleke, during a news briefing on state of collapsed building in Lagos

Women’s Ministries (WM) National Director Assemblies of God Nigeria Rev (Mrs.) Stella Chidi Okroafor (right) , Lagos Mainland district co-ordinator (WM) Rev (Mrs.) Bright Okorie (left)and the Officials pose with Missionettes during their Crowning at District (WM) Fellowship theme’ Women of resolution faith’ held at Assemblies of God church 111 clegg street surulere Lagos .SUNDAY ADESANYA.

GLOBAL STOCKS

WESTAFRICA BUSINESSNEWS

WEDNESDAY, MARCH 20, 2019

31

Global stocks and oil touch 2019 highs; sterling wobbles, like Brexit

S

sterling touched $1.3311 after slipping to as low as $1.3241 as traders expected EU officials to give Britain a delay on Brexit negotiations, though the uncertainty kept the market volatile. Sterling was last trading at $1.3264, up 0.07 percent on the day.

“The predominant notion adopted by the market is that as long as the

worst-case scenario of hard Brexit is avoided by delaying Brexit, the pound is a buy on dips,” Rabobank strategists said in a note.

The dollar index fell 0.12 percent, with the euro up 0.11 percent to $1.1349.

“What we are seeing is the market positioning for potentially a more dovish

tone tomorrow,” said Minh Trang, senior currency trader at California’s Silicon Valley Bank, speaking about expectations of what the Fed’s statement will be like on Wednesday.

The Japanese yen was flat versus the greenback at 111.43 per dollar.

Among commodities, oil prices were little changed after hitting 2019

“

highs, maintaining recent strength on the back of expectations for producer club OPEC to continue production cuts. U.S. sanctions against producers Iran and Venezuela have also supported prices, although traders said the market may be capped by rising U.S. output.

U.S. crude fell 0.07 percent to $59.05 per barrel and Brent was last at

OPEC and non-OPEC producers are determined to get the supply and demand dynamics better into balance, recognising that U.S. shale production is going to continue to rise

“

tocks across the globe rose for a seventh straight session on Tuesday despite late selling on Wall Street, while the pound wobbled against the dollar as traders expected European Union officials would allow Britain a delay on Brexit.

Bets that the Federal Reserve will this week reinforce the market view that the U.S. monetary policy tightening cycle is in the rear-view mirror have kept alive the bid on stocks, while the dollar index touched its lowest since March 1.

But trade news weighed on sentiment late in the New York trading session after Bloomberg News reported that some negotiators are worried that China is pushing back against U.S. demands.

“Trade fear has reared its head again with Trump administration concerns (that) China is walking back some of the pledges they’ve made in negotiations so far,” said Chris Zaccarelli, chief investment officer at Alliance in Charlotte.

Investor focus will remain on the Fed on Wednesday, particularly on whether policymakers have sufficiently lowered their interest rate forecasts to align more closely their “dot plot,” which shows individual policymakers’ rate views for the next three years, with market expectations.

The CitiFX U.S. economic surprise index, which measures economic data against expectations, has been negative for over a month and earlier in March touched its lowest since August 2017.

The Dow Jones Industrial Average fell 26.72 points, or 0.1 percent, to 25,887.38, the S&P 500 lost 0.37 points, or 0.01 percent, to 2,832.57 and the Nasdaq Composite added 9.47 points, or 0.12 percent, to 7,723.95.

The pan-European STOXX 600 index rose 0.57 percent and emerging market stocks added 0.16 percent.

MSCI’s gauge of stocks across the globe gained 0.16 percent.

BREXIT OPTIONS In currency markets,

$67.67, up 0.19 percent on the day.

“OPEC and non-OPEC producers are determined to get the supply and demand dynamics better into balance, recognising that U.S. shale production is going to continue to rise,” said Andy Lipow, president of Lipow Oil Associates in Houston.

Precious metal palladium, used in things like car catalytic converters, dipped after it topped the $1,600 an ounce mark for the first time on supply concerns.

Palladium last rose 0.76 percent to $1,595.50 an ounce. Prices have nearly doubled since their mid-August lows and have surged more than 25 percent this year.

Spot gold added 0.2 percent to $1,306.31 an ounce. U.S. gold futures gained 0.37 percent to $1,306.30 an ounce.

Copper rose 0.53 percent to $6,459.00 a tonne.

U.S. Treasury yields zigzagged ahead of the Fed’s Wednesday statement. Benchmark 10-year notes last fell 4/32 in price to yield 2.614 percent, from 2.601 percent late on Monday.

The 30-year bond last fell 9/32 in price to yield 3.0238 percent, from 3.01 percent late on Monday.

WEDNESDAY, MARCH 20, 2019 Vol. 06 No. 307

MARKET WATCH

Inspiring the Nigeria Police with Honours

By Edwin Nwachukwu

T

here is an Igbo dictum which if rendered in English means that “lending support to a fighter encourages him to fight to succeed’’.

It is against this background that Matchmakers Consult International, owners of the Pitch Awards, have continued to support the Nigeria Police Force with various honours from 2016.

It is also in line with its avowed mandate to give honour to whom it is due that recently, the Pitch Awards recognised the accomplishments of the Acting InspectorGeneral of Police (I-G), Mr Mohammed Adamu, while he was the Com-missioner of Police (CP), Enugu Police Command.

Adamu while in Enugu, specifically used sports, especially football to engage the attention of youths and steer them away from criminal activities.

The award, given to him in on March 8, is to encourage him to do more for the country using sports and employing all available knowledge in security to free the nation of crime and criminality.

Explaining the need for the award, the Managing Director of Matchmakers Consult International, Mr Shina Philips, says that the company has honoured policemen who have excelled in different endeavours in the course of their duties.

“The Nigeria Pitch Awards have always supported the Nigeria Police Force because policemen have played pivotal role in Nigerian sports.

“Remember the contributions of the Samuel Peters, “The Nightmare’’, a former world Heavyweight Boxing Champion; Chioma Ajunwa, a 1996 Olympic gold medalist who is still a serving police officer, the late Sunday Bada, Sunday Ade-leye, Sunday Oyarekhua, Kikelomo Ajayi a former captain of the Super Falcons and many other police officers who have brought sports glories to Nigeria.

“So, the Police among security agencies in the country have taken the front role,’’ Philips said.

He recalled that in 2016, in Kaduna, the Pitch Awards honoured the then Chairman of the Police Service Commission, Sir Mike Okiro with an award.

The event had in attendance the Governor of Kaduna State Malam Nasir El-Rufai, the Minister of Youths and Sports, Solomon Dalung, the President of the Nigeria Football Federation (NFF), Mr Amaju Pinnick, top members of the NFF Board and Super Eagles players led by Coach Samson Siasia and John Obi Mikel.

“In 2017, we honoured Mr Solomon Arase who was the Inspector General of Police at that time.

“We also honoured Mr Ebere Amaraizu, a Superintendent of Police and Police Public Relations Officer to the Enugu Police

Shina Philips, President of Nigeria Pitch Awards, presenting award statuette to Ag. I-G Mohammed Adamu at the Force Headquatres on 8 March 2019.

Command for his invaluable contributions in the use of football to engage the attention of youths who would have otherwise availed themselves for criminal activities.

“As a result of Amarizu’s contributions, the Police Machine FC, made great exploits and recorded victories even over established teams like Rangers International. Incidentally, the Enugu

Command football success was inspired by the Ag. IGP when he was CP in Enugu.

Adamu was Acting Inspector General of Police by President Muhammadu Buhari on January 15, 2019 and has continued to elicit commendations from many Nigerians, especially those who know his pedigree as a quintessential and a thoroughly bred Police Officer.

Remember the contributions of the Samuel Peters, “The Nightmare’’, a former world Heavyweight Boxing Champion; Chioma Ajunwa, a 1996 Olympic gold medalist who is still a serving police officer, the late Sunday Bada, Sunday Adeleye, Sunday Oyarekhua, Kikelomo Ajayi a former captain of the Super Falcons and many other police officers who have brought sports glories to Nigeria.

Those who know what the new I-G will be bringing on board are equally delighted at the positive changes the force will witness in the coming months and years.

However, we must realise that policing a country like Nigeria is never an easy job.

Only a Police I-G with the right expo-sure, expertise and discipline and an eagled-eye focus can successfully lead the force.

Nigerians expect the I-G Mohammed Adamu to lead an ambitious force that will absolutely focus on crime prevention.

The acting I-G, it is hoped, will bridge the gap between the Police and the public by getting police officers and men to interact professionally with the public and treat them with tact and respect. Adamu will work assiduously to smoke out criminals and hunt them down.

Nigerians also expect to see a police force that is very disciplined and focused on her traditional responsibility of fighting crime and protecting society.

Through his exposure, the acting I-G will work to reform the force and make her meet international and global police standard.

But above all, supporting the police with laurels can motivate the force to eschew corruption which, the people now believe, is innate in them and work assiduously to protect the citizenry from criminalities.

(NANFeatures)

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