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s Godwin Emefiele, governor of the Central Bank of Nigeria (CBN), prepares for the herculean tasks at the helm of the apex bank for a

second five-year term, Nigerians expect him to focus on policies that will drive lasting growth across various sectors of the economy. President Muhammadu Bu-

hari on Thursday asked the Senate to confirm the reappointment of Emefiele as governor of the CBN. In a letter addressed to Senate President Bukola Saraki, which

Emefiele’s 2nd term: A case for consolidation – See pages C1-C4

he 2019 Award Committee will this evening unveil the winners of this year’s Top 25 CEOs on the Nigerian Stock Exchange (NSE) and the Next Bulls Awards. Expected at the event today are Oscar Onyema, CEO, the Nigerian Stock Exchange (NSE); Ahmed Kuru, MD/CEO, Asset Management Corporation of Nigeria (AMCON), the awardees, Continues on page 34

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FX convergence, improved credit, CRR cut, others top list

TELIAT SULE

CULINARY DELIGHTS

Analysts set agenda as Buhari nominates Emefiele for 2nd term A Iheanyi Nwachukwu, Hope-Moses Ashike, & OLUFIKAYO OWOEYE

BusinessDay Top 25 CEOs, Next Bulls awards hold today

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L-R: Abidemi Ademola, general counsel, Ghana-Nigeria/company secretary, Unilever; Nnaemeka Achebe, chairman, board of directors, and Yaw Nsarkoh, managing director, at the Unilever Nigeria plc 94th annual general meeting in Lagos.

he read at Thursday plenary, President Buhari said the appointment is for a second and final term of five years. The Senate is expected to confirm Emefiele’s appointment, National Assembly sources tell BusinessDay. “The second term gives him (Emefiele) an opportunity to achieve the long-expected full convergence of the FX market. Foreign investors would want to see that happen. It will further help to stimulate foreign direct investment (FDI),” an investment analyst with one of Nigeria’s tier-1 lenders told BusinessDay on phone. The source whose major role in the Nigerian bank is to relate with both foreign and local investors simply said, “Having different FX windows sends a wrong signal to investors who are eyeing Nigeria’s market. It was quite essential when it was introduced but the approach has overstayed its purpose. The fragmentation in the FX space needs to go. We expect to see a lot more convergence.” He also expects Emefiele to be a lot more flexible in allowing banks trade Naira to lessen the pressure on FX. This gives Continues on page 34

Friday 10 May 2019

BUSINESS DAY

news Customs squeeze importers with collection of 1% CIS charge 6yrs after termination of DI contract

…Shippers, manufacturers say it’s double taxation AMAKA ANAGOR-EWUZIE

ix years after the expiration of the Destination Inspection (DI) contract formerly handled by private companies, the Federal Government through the Nigeria Customs Service (NCS) has failed to put an end to the collection of 1 percent Comprehensive Inspection Scheme (CIS) introduced at the beginning of the contract to pay for the services rendered by the DI service providers. Businesses are crying out that the continued collection of 1 percent CIS charge alongside import duty on the same cargo means manufacturers bringing critical production inputs and other importers bringing finished products through the nation’s seaports currently pay double taxes to Customs. “It is a deceitful aberration to take 1 percent CIS charge for a job Customs officers were trained to do. In other words, shippers are paying Customs twice,” said Jonathan Nicol, president of Shippers Association of Lagos State, in an interview with BusinessDay. “Shippers are upset with the government policy because all the problems in the system are generated by the Federal Government that puts tags on the neck of all the agencies to bring billions of naira annually,” Nicol said.

The Federal Government, in line with the port reform agenda which started in 2006, had entered into contract with Scanning Service Providers (SSPs) including Cotecna, SGS and Global Scan saddled with the responsibility of approving Form M, issuing Risk Assessment Report (RAR) and scanning goods imported into Nigeria. The contract, which was based on build, operate, own and transfer (BOOT) regime, allowed the DI agents to acquire multi-billion dollar mobile and fixed scanners for electronic examination of imports at the ports and border stations allocated to them. It also allowed for the collection of 1 percent CIS on imports by Customs, which was subsequently remitted to DI service providers as service charge. At termination of the contract, the scanning machines were handed over to Customs, but the machines have not been functional till date as Customs chose manual and 100 percent physical inspection of cargo over putting the facilities into use to fast-track cargo examination at ports as it is done in other countries. Meanwhile, Customs replaced RAR document issued on imports by DI agents with the present-day Pre-Arrival Assessment Report (PAAR), a

Continues on page 34

L-R: Muhammed Adamu, acting Inspector-General of Police; Emmanuel Anebi, chief of policy and plan, Nigeria Air Force; Ibok-Ete Ibas, chief of naval staff; Tukur Buratai, chief of army staff; Abayomi Olonisakin, chief of defence staff, and Mansur Dan Ali, minister of defence, during a meeting with security chiefs by President Muhammadu Buhari at the Presidential Villa in Abuja. NAN

What SBM’s Jollof Index says about inflation in Nigeria’s regions

…Onitsha, Awka overtake Lagos as cheapest place to prepare meal Endurance Okafor

or the first time in four years since SBM Intelligence, an arm of SB Morgen, started tracking prices of key household items across major markets in Nigeria, Onitsha and Awka collected the mantle of the most pocket-friendly cities to cook jollof from Lagos. According to SMB Intelligence, an organisation devoted to the collection and analysis of information, the

two cities in Anambra, a state in south-eastern Nigeria, attained the position in April 2019, overtaking Lagos which occupied the position since 2015 when the research firm started tracking the data. “For the first time since we began tracking the index, Lagos is no longer the most pocket-friendly city to cook jollof. Onitsha and Awka in Anambra State have taken the mantle to become the cheapest region to cook jollof in the markets we tracked,” SBM said.

Onitsha and Awka were able to break the almost fiveyear record due to the high level of farming activities recently reported in Anambra State. According to SBM Intelligence, the people in the region produce more than they consume, which allows them the opportunity to take the excess to the market. “The price of making jollof in the South-East has trended downwards because asides from meat that is not a largescale business for the people

from South-East, many people in the zone farm every other food item,” SBM said. According to the SBM data analysed by BusinessDay, Nigerians currently spend between 56 percent and 60 percent of their income on food on the average. This, according to the report, is among the highest in the world. Thus, reductions or increases in the price of food have an outsized impact on the quality of life of Nigerians, and by extension, on

44% of Nigeria’s modular refining licences expired in last two years MTN Nigeria service revenue up 13.4%, EBITDA margin at 53.3% in Q1 …non-renewal shows difficult business environment …Groups Jumia stake valued at $560m

STEPHEN ONYEKWELU

ffortstodrivethegrowth of refineries through private investment in Nigeria has been underway but Africa’s biggest crudeoilproducerstillhassome hiccups to clear in order to have refineries that are capable of producing at full potential. The Department of Petroleum Resources’ (DPR) refinery update of April 2018, the latest report on the regulator’s website on the matter shows 45 licences have been issued for the establishment of refineries. Thirty-nine licences were issued for the establishment of modular refineries and six for conventional ones. The first modular refinery licence was issued in 2007 to Amakpe International Refinery Inc., but has long expired without renewal. Of 39 licences issued for modular refineries, only two happened earlier than 2015 – the rest were issued as from 2015. Seventeen licenses to establish (LTE) have expired

in the last four years, which represents 44 percent of the total. Fifteen licenses are active and another seven out of the 39 can still break ground. A modular refinery is a prefabricated processing plant that has been constructed on skid mounted surfaces, with each structure containing a portion of the entire refining process plant connected together by interstitial piping to form an easily manageable process. Some experts say due to its manageability it is better suited for the Nigerian environment. “Building a petroleum refinery, whether conventional or modular is capital intensive. So, funding is likely the major challenge preventing companies who got licence to establish but failed to break ground before their licences expired,” Bode Lukan, chief executive officer of Bodeni Energy Ltd. said. “Uncertainty of government policy is another factor.”

•Continues online at www.businessday.ng www.businessday.ng

Jumoke Akiyode-Lawanson

TN Nigeria has released its unaudited results for the first quarter (Q1) of 2019, ended March 31. The company in Q1 delivered improved results, as the telco’sservicerevenueincreased by 13.4 percent on the back of improved voice and data services and its earnings before taxes, depreciation and amortization (EBITDA) margins also grew to 53.3 percent, up 2.4 percentage points year on year, as a result of revenue growth and effective cost management. MTN Nigeria also increased its data revenue by 32.4 percent, Fintech revenue by 22.9 percent, voice revenue by 12.7 percent and service revenue by 13.4 percent. MTN Nigeria recorded significant revenue increase in service – voice and data – as the telco added 2.1 million subscribers to its network in Q1 2019 to get a total of 60.3 million subscribers in Nigeria.

Growth in data revenue was supported by a 10.6 percentage point increase in smartphone penetration, improved network quality and a 9.1 percent increase in active data subscribers to 20.4 million. Total subscribers increased by 3.6 percent quarter on quarter (QoQ) to 60.3 million. Although its digital revenue decreased by 68 percent, analysts say that the telco is likely to see a pickup in digital revenues driven by mobile financial services, once the company is granted its payment service banking (PSB) licence by Central Bank of Nigeria. In 2019, MTN Nigeria adopted the IFRS 16 accounting standards in line with global best practice and adjustments are reflected in the results. “Our first quarter performance was in line with expectations, as service revenue remained resilient with double-digit growth on the back of improvements in voice and data revenues,” said Ferdi Moolman, CEO, MTN Nigeria,

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commenting on the results. “We connected a further 2.1 million people to our network, providing them access toworldwide communication services, while additional 1.7 million people are able to access the possibilities that the internet provides. This growth is built on our focus on customer-centric delivery and in particular on improved customer retention, our continuous focus on valuefor-money propositions and further network roll-out and enhancement,” Moolman said. “Q1 2019 saw a significant increase in our capital expenditure programme, with focus on LTE services, where we rolled out 1,188 sites across our key focus cities. In addition, the successful transfer of our 800MHz spectrumfromVisafonetoMTN Nigeria will further enable improvements to network coverage and service quality,” he said. Moolman said the telco had made significant progress to list on the Nigerian Stock Exchange (NSE) following the conversion of MTN Nigeria @Businessdayng

Continues on page 34

to a public company and the successful registration of its ordinary shares with the Securities and Exchange Commission (SEC), adding that it is now engaging with the NSE to complete the listing process. “The business is on a sustainable growth path with service revenue increasing by 13.4 percent year-on-year (YoY), in line with our medium-term guidanceofdouble-digitgrowth. This was led by a 32.4 percent increase in data revenue and a 12.7 percent increase in voice revenue. A general slowdown ineconomicactivitiesduringthe election period impacted voice revenue growth,” the company said in a statement. Early in the second quarter, MTN’s e-commerce joint venture, Jumia Technologies AG, successfully raised fresh capital andlistedontheNewYorkStock Exchange, resulting in a dilution of MTN’s shareholding from 29.7 percent to 18.9 percent. Thisinvestmentisnowvaluedat approximately$560millionasat May 6, 2019, according to MTN.

Friday 10 May 2019

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Friday 10 May 2019

BUSINESS DAY

NEWS Nigerian bank agent network partners cloudbased banking providers to reduce risk of fraud

FG moves to assert states’ legislature, judiciary autonomy

n April 5, 2019, the Nigerian bank agent network Kudi announced its $5 million investment in their expansion to grow and offermorefinancialservicestounderserved Africans. In the past two years, Kudi has built a network of more than 4,500merchantsthatprocessover$30 million in payments each month. To successfully expand and manage a network of agents throughout rural communities in Nigeria, leaders of financial institutions are recommended to equip their branches and agents with reliable cloud-based technology. Implementing a cloudbased platform to manage a network of agents is a scalable and elastic IT solutionthatrequiresminimalcapital investment–involvingnoon-premise servers, data centres or hardware. Despite regulatory efforts to prevent fraud, between January and June of 2018, Nigerian banks recorded 20,768 cases totalling N19.77 billion. The Central Bank of Nigeria reported fraudulent ATM withdrawals, illegal funds transfer, pilfering of cash and theft as primary causes of fraud. Real-time data about all lending activities and transactions from agent networks enables leaders to prevent fraud within their financial institutions. With cloud-based digital technology, leaders of financial institutions can monitor and nurture a large network of agents efficiently from the head office, with only an internet connection and laptop or

FG, Stanbic, Wema, Jaiz to float single digit vehicle finance scheme

… plans retreat for implementation strategy

MIKE OCHONMA

smartphone. When financial institutions do not have access to real-time data, opportunity for fraud to occur is greater. Since transactions that happen via delivery channels are integrated with the financial institution’s core banking system of choice, the risk of fraud to occur is reduced thanks to increased transparency. Oradian’s cloud-based core banking platform, Instafin, was designed specifically for financial institutions to have access to real-time data about all their operations and agents. Instafin provides automatic and continuous report consolidation from the entire network. This means that all client data is ready and available in real-time and enables constant monitoring of business performance. Using Instafin, financial institutions are not required to interrupt their business operations for Endof-the-Day (EOD) or End-of-theMonth (EOM) processing, which also reduces the risk of human error and fraudulent activities. “Oradian allows us to spend less time in the branches monitoring and we can now view all operations of LARDI from the head office. Oradian’s technical team is always available when called upon, they have been very supportive and have proven to be vast in managing the software efficiently,” Florence Omofonmwan, head of LARDI, a subsidiary of LAPO in Benin City, said.

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Tony Ailemen, Abuja

he Nigerian government has concluded plans to assert the independence of the legislature and judiciary in the thirty-six states of the federation and the Federal Capital Territory (FCT). Senior Special Assistant to the President on National Assembly Matters (Senate) Ita Enang, disclosed this while briefing State House Correspondents after a meeting of the Presidential Implementation Committee on the Autonomy of State Legislature and State Judiciary chaired by the Minister of Justice and Attorney General of the Federation, Abubakar Malami. Enang, who is also the Secretary of the panel, announced that there would be a retreat at the old Banquet Hall of the Presidential Villa to deliberate and articulate an effective national implementation strategy in the matter. The retreat, according to him, would hold between 16th and 17th of this month. The retreat is aimed at ensuring that the Legislature and Judiciary receive the sums of money approved for them by

the Constitution and that the heads of these arms of government disburse and apply the funds in accordance with approved budget, according to the presidential aide. Those at the briefing were Nasiru Ajanah, Chief Judge of Kogi State; Kate Abiri, Chief Judge of Bayelsa State and A.M.A.Saddeeq, Acting President, Customary Court of Appeal, FCT. Others include David Umar u, chair man, S enate Committee on Judiciary; Paul Usoro, President, Nigeria Bar Association (NBA), Bala Hadi representing PASSAN, Barrister Chijioke representing the Director General of the Nigeria Governors Forum (NGF) and Charles Bala of the panel’s secretariat. The move is expected to halt under development at the grassroots as government intends to check the use of State and Local government Joint Account system, which is often used to siphon funds from the local government, amongst others. This will also strengthen legislative oversight of the State House of Assembly in management of funds allocated to the local government

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alks are ongoing between the Nigeria Automotive Design and Development Council (NADDC) and Stanbic IBTC, Jaiz and Wema banks to introduce a single digit auto-financing package that will make it easier for many Nigerians to acquire new vehicles. Aliyu Jelani, director-general, NADDC, made this known on Thursday at the unveiling ceremony of the new Honda HR-V in Lagos. According to the NADDC boss, “our agency is working with Wema, Jaiz and Stanbic IBTC banks to provide since digit interest rate model on auto financing scheme that will enable Nigerians purchase brand new vehicle on a stress-free single digit interest rate and favourable repayment plans.” Nigeria’s vehicle population data, Jelani Aliyu believes, reveal towering opportunities that must be tapped if the country is to make any substantial progress in the sector. Before this development, purchase of brand new vehicles by the middle class and other low income earners have become nearly impossible as result of double digit interest

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rate charged by banks and other stringent conditions that comes with the scheme. There is also the lingering challenge the financing banks charging discriminatory interest rates to beneficiaries of the auto finance scheme based on the spiralling interest rate of the naira against the dollar and other foreign currencies. Ni g e r i a h a s a t o t a l o f 11,547,236 motor vehicles, recording a 0.78% growth from the 11,458,370 vehicle population reported in the first quarter of 2017. About 4,656,725 of these vehicles are privately owned, while 6,749,461 vehicles are registered as commercial vehicles another 135,216 vehicles are registered as government owned vehicles, and 5,834 vehicles are registered for diplomats. Nigeria’s vehicle per person is estimated at 0.06 percent as of the third quarter of 2017. For the country to achieve a vehicle per capita (1000 persons) of at least 150, it requires to have a total of about 29 million vehicles, which is about 18 million new vehicles, thus presenting how huge the current gap is, worsened by the gap for private vehicles is described as even more humongous.

Friday 10 May 2019

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Friday 10 May 2019

BUSINESS DAY

NEWS COMESA partners mPedigree to launch regional seed label online verification system Kemi Ajumobi

he Common Market for Eastern and Southern Africa (COMESA), as defined by its treaty, was established as an organisation of free independent sovereign states that have agreed to co-operate in developing their natural and human resources for the good of all their people and as such, it has a wide-ranging series of objectives which necessarily include in its priorities, the promotion of peace and security in the region. However, due to COMESA’s economic history and background, its main focus is on the formation of a large economic and trading unit that is capable of overcoming some of the barriers that are faced by individual states. Recently, COMESA became the first regional trading bloc to launch an online seed label verification system in Africa and globally. It is believed that the system will assist the constituency remove phony seed concerns and improve business in quality and enhanced authorised seed. However, that is not all, the

region has also led in pioneering the need for COMESA regional certificates to be given by national seed authorities. This feat will certainly heighten seed trade in the 21 countries. In propagation of this feat, mPedigree, a pan-African tech start-up, in line with their deepened commitment of safeguarding consumption on the continent and beyond, has come together with COMESA to launch a partnership that will expand mPedigree’s traceability technology for agro-inputs into COMESA member states. Selorm Branttie, mPedigree’s global strategy director, glad about the partnership has said that it is a great accomplishment as this is the first time verification of seeds is done electronically. In his words, while speaking recently at the COMESA secretariat said “This is the first time that seed certificates and verification of the seeds will be done electronically, and the farmer will be able to trace the source of the seed and authenticity of the seed without difficulty,’’ Branttie said. For him, it is crucial to end the business of fake seeds be-

cause it is a major reason for meagre performance of 80 million smallholder farmers and food insecurity in the COMESA region. “The seed labels and certificates will promote the use of genuine seed and eventual elimination of fake seed from circulation. ACTESA is implementing this programme through the COMESA Seed Harmonisation Implementation Plan (COMSHIP),” Branttie said. This laudable move will be greatly beneficial to the region as it will help synchronise trade in certified seed through securing a collective label and certification system. What this means therefore is that, for every seed package that will have a COMESA sticker, it means the source of that seed has been documented and can be tracked by the receiving end. COMESA covers 19 countries in Africa, across East and Central Africa. Interestingly, it is thus only in COMESA that the system now exists for farmers in one country to trace both source and certification of agro-inputs from their phone screen, even without internet.

FACT-CHECK: How accurate is Akeredolu’s claim on Ondo’s monthly IGR? OLUWASEGUN OLAKOYENIKAN

CLAIMS: •Ondo State’s monthly Internally Generated Revenue (IGR) has increased to over N1.5 billion •Ondo State’s monthly IGR was previously N700 million before Akeredolu’s administration CONCLUSION: For CLAIM 1, it is TRUE; for CLAIM 2, it is PARTLY FALSE EVIDENCE: Ondo State’s monthly IGR has increased to over N1.5 billion with an average monthly IGR of N2.07 billion in 2018, according to the National Bureau of Statistics (NBS). However, NBS data also show that Ondo State’s average monthly IGR from 2012 to 2015 has been more than N700 million, except in 2016 when it fell by 14 percent to N723.7 million. FULL TEXT: Ondo State governor, OluwarotimiAkeredolu, on Tuesday, May 8, while receiving members of the state chapter of the Association of Licensed Private Security Practitioners of Nigeria in his office in Akure said his administration has improved the monthly IGR of the state from N700 million to over N1.5 billion. What this means is that the state under his administration has grown its IGR by more than double to over N1.5 billion monthly compared to N700 million which the state recorded previously as IGR. No date was quoted or referenced in the report. But emphasis was made on his administration. BusinessDay could not reach the governor to clarify the claim, but a statement issued by a press officer in the governor’s office, Bode Akinwumi, confirmed he

made the statement. According to the statement, Akeredolu said his “administration has so far improved its (Ondo state) IGR from N700 million monthly to over N1.5 billion monthly”. CONTEXT Oluwarotimi Akeredolu, SAN, was sworn into office on February 24, 2017, in Akure, succeeding Olusegun Mimiko as Ondo State governor. Since no timeframe was mentioned in the first claim, Gov. Akeredolu may have also been implying that not only was the state’s monthly IGR as low as N700 million before his administration, but that he has also greatly increased the monthly IGR during this administration. As such, we will consider the average monthly IGR from 2008-2018. ONDO MONTHLY IGR MORE THAN N1.5 BILLION According to IGR data at state level for the year 2018 obtained from the NBS, Nigeria’s official repository of data, Ondo State generated N3.61 billion as IGR in the first three months of 2018. The amount rose to N5.81 billion in the second quarter of the year, spanning from April through June. However, the revenue receipt of the state fell slightly to N5.04 billion in the third quarter compared to the previous quarter but rebounded in the last quarter of the year to N10.33 billion, bringing the total IGR of the state for the year to N24.79 billion. This represents a 126.8 percent increase when compared with N10.93 billion generated a year earlier. With the sum of N24.79 billion generated internally by the state in 2018, we decided to diwww.businessday.ng

vide the amount by 12, which indicates the number of months in a year, to obtain the state’s average monthly IGR. This results in N2.07 billion monthly IGR. ONDO GENERATED MORE THAN N700 MILLION BEFORE AKEREDOLU’S ADMINISTRATION BusinessDay gathered the state’s IGR statistics from 2008 to 2018 in order to properly evaluate the accuracy of the governor’s claim on improving the state revenue from N700 million monthly. We discovered that in 2008, the sum of N3.98 billion was generated, translating to N332 million average monthly IGR. That amount shrank to N312.7 million in 2009 but grew to N540 million monthly in 2010. The growth in Ondo State’s average monthly IGR was continuously extended in 2011, 2012, 2013 and 2014 to N668 million, N846 million, N875 million, and N977 million, respectively. In 2015, an average of N842 million was generated in Ondo state every month. It dropped to N724 million in 2016 and rose to N911 million in 2017, implying the state’s average monthly IGR has remained over N700 million since 2012. CONCLUSION Governor Akeredolu’s claim that Ondo State’s monthly IGR has increased to over N1.5 billion was TRUE as the state generated an average monthly IGR of N2.07 billion in 2018. However, his claim that his administration improved the state IGR from N700 million was PARTLY FALSE as the state average monthly IGR from 2012 to 2015 has been more than N700 million, except in 2016 when it fell by 14 percent to N723.7 million. https://www.facebook.com/businessdayng

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BUSINESS DAY

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Friday 10 May 2019

BUSINESS DAY

NEWS

Former Head of State, Abdulsalami Abubakar commends Obaseki’s performance

… as Tom Ikimi urges him to keep working for the people

ormer Head of State, Abdulsalami Abubakar, has commended Edo State governor, Godwin Obaseki, on his sterlingdevelopmentalstrides,andcalled on Edo people to continue to support the governor and his policies. AbubakardisclosedthisThursday while addressing journalists after a closed-door meeting with the governor at the Government House, in Benin City, the state capital. He urged residents of the state to support the state government to sustain the developmental strides, by paying their taxes and protecting

public facilities against vandalism. “I served in Benin City long ago and I cannot believe the level of the developmentmadesofar.Icommend the governor for the successes he has achieved. The development I have seen in Benin City is quite commendable,” he said. He lauded the governor for his vision and doggedness in improving living standards, noting, “The state government is doing what it can provide a good life for the people. It is thedutyofthecitizenstoprotectthese facilities and pay their taxes.” The former Head of State was in

the state to also attend the 20th AnniversaryoftheIgbinedionUniversity, Okada. He expressed satisfaction that the decision taken 20 years ago to grant operational licences to private universities had created opportunities for more graduates to be trained in the country, adding, “When you look down memory lane, you will see a large number of people who have gone through private universities. It is very fulfilling that is why I came to celebratewithIgbinedionUniversity.” He urged the Federal Ministry of Education to improve on supervision

of curriculum, facilities and ensure adequate monitoring of Nigerian universities so they could secure top spots in world universities’ rankings. Governor Obaseki described the visit as an honour and commended the former Head of State for embarking on policies that were still yielding positive results in the country. “I am so glad and grateful to God that in his lifetime, he is beginning to see the fruits of the decisions he made in the education sector 20 years ago. Thatiswhatleadershipisallaboutand thatiswhatwewanttoemulateinEdo state. We want to make sure we drive development that benefits all of our

people and not a few individuals,” the governor said. Also, former minister of external affairs and a chieftain of the People’s Democratic Party (PDP), Tom Ikimi, has urged Governor Obaseki to remain focused and continue to work for the good of the people. Ikimi, who said this when he paid a courtesy visit to the governor in Benin City, noted that the governor had warmed his way into the hearts of Edo people with his impressive performance since he came into office,andurgedhimtoremainfocused and continue with his remarkable passion to develop the state into an

Abdoul Aziz Dia joins UBA Group Board of Directors

nited Bank for Africa (UBA) has announced that Abdoul-Aziz Dia will join the bank’s Board of Directors subject to the approval of the Central Bank of Nigeria. Dia, a Senegalese citizen, has over 25 years of banking experience garnered from several countries across the globe, including the United Kingdom, France, Nigeria, Ghana, Togo, Senegal, Kenya and Cote D’Ivoire. He has worked in senior management positions at international financial institutions such as the African Development Bank, Citigroup, Standard Chartered, Ecobank and UBA. Dia has served in the capacity of Executive Director on various company Boards in Africa and in Europe and now joins the UBA Group as a non-Executive Director of the Board. He holds a Master’s Degree in Statistics and Financial Mathematics from ENSAE in Paris, France. He is fluent in six languages (French, English, Romanian, German, Wolof and Fulani). ‘Abdoul-Aziz Dia is a seasoned banker with a wealth of experience. He joins the UBA Board with a global outlook and I am confident that he has a vital role to play in the future of UBA and will add enormous value to the Group’s growth strategy’ said the UBA group chairman, Tony Elumelu. Dia joins the Board almost a year after UBA appointed four new members to strengthen and further diversify its Group Board including two female board members, Erelu Angela Adebayo and Angela Aneke. The other two Directors are Kayode Fasola and AbdulKadir J. Bello.

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industrial hub. ThevisitfromIkimiswellstherank of opposition party leaders, who are swayed by the governor’s leadership style and have defied party leanings to express admiration and support forthegovernor’sdevelopmentstrides in the state. Ikimi lauded the governor for the ongoing development work across differentsectorsofthestate,whichhad endeared him to Edo people. Commending the governor for the manner he has piloted the affairs of the state, Ikimi urged for support by all and sundry for the governor so he could continue with the good work.

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BUSINESS DAY

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comment is free comment The glitch, the search and the disrupter

Send 800word comments to comment@businessday.ng

Temitayo Fagbule

glitch on Google 12 hours before the 2019 presidential elections led to a surge in searches on AbokiFX, an online platform for live exchange rates. AbokiFX, and not a bureau de change operator, was first place many went to confirm if a dollar was really selling for N184. Details about who owns the website are sketchy. Abokifx Limited is a dormant company registered in the UK with one director, Olusegun Adedotun Oniwinde. Since 2016, after the first economic recession in 25 years arrived unannounced, the five-year-old website has become a reference point for Nigerians. In retrospect, that singular event complemented with search interest in AbokiFX from Google Trends and demographic data on Nigerians living abroad shows the role of technology when events unfold these days. For a history buff, it’s also an opportunity to glance back at the past. Data on the search history of Abok-

iFX for the past one year on Google Trends shows its popularity peaked between February 17 and 23, 2019 in Nigeria, the US and UK. People in Kano, Lafia, London, Maryland and Texas were just as freaked out about the overnight appreciation of the naira against the dollar. In Nigeria, Port Harcourt, Lagos and Abuja are the cities where people are most interested in the website. Though Rivers retained the top spot in terms of states, Kano, Oyo, Ogun and Enugu generated more searches than Lagos. And tellingly in the US, the top 10 cities with the largest Nigerian populations were among the 30 cities where the site generated the most interest. It’s easy to understand why the exchange rate of the naira to the dollar is of interest among Nigerians living in Kano, London and Texas. For some Nigerians the greenback is the default hedge against inflation or currency devaluation. Besides, a large proportion of the money Nigerians living abroad send home is from the US and UK (in 2017, UK-based Nigerians sent £3.7 million home). In the past 90 days, interest from Port Harcourt has dropped overtaken by Imo state. Abuja, Lagos, Maryland, New Jersey and Texas still search for AbokiFX; nothing compared to the February peak. Should the rate at which a naira exchanges for a dollar interest someone living in Oyo or Nasarawa? A slow, uncertain recovery from the recession is enough reason. Experts advise that local businesses and inves-

tors to make conservative business plans; have sufficient cash in reserve; to avoid currency mismatches i.e. dollar-denominated loans paid from naira earnings and to diversify risks by investing elsewhere than Nigeria. If cash reigns supreme among the list of liquid assets, then the dollar is king; for now. And since the often disjointed economic policies of Nigeria tend to shoot without missing, Nigerians have learned to fly to the dollar for safety, a habit developed during the hard knock life of the 1980s. The economic crisis in mid to late 1980s resulted in a recession in 1991. Oil prices had plunged, the dollar was insufficient to meet our disproportionate appetite for imports, and the CBN, jettisoning market forces to determine the exchange rate, resorted to fixed rates and restrictions. Many turned to the black market. Shortly after its coup in April 1984, the Buhari-led military government passed a decree to combat black marketeering (a very Nigerian expression) and currency trafficking. This period gave birth to multiple exchange rates: official, parallel or black market; practices such as round-tripping and arbitrage i.e. taking advantage of differences between the official and black market rates. Similarly, an alphabet soup of acronyms emerged: DAS, BDC, SFEM, AFEM, IFEM, and UFEM. Some of these acronyms died while others evolved. Take UFEM. It stands for Under-

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And since the often disjointed economic policies of Nigeria tend to shoot without missing, Nigerians have learned to fly to the dollar for safety

ground Foreign Exchange Market, and was dominated by mallams. In a study of the black market during the devaluation in the 1990s, Charles Adesina, a professor of history, notes that, “The operators of UFEM moved into the spaces opened up by the incoherent policies, formal sector corruption and the sheer absence of needed financial services to provide a whole portfolio of financial services – at a price – to the public.” Contrary to popular stereotype the mallams were connected, savvy, organised and had a rich tradition of foreign exchange transactions that dates back to pre-colonial trade routes in West Africa. Because they sold at market rates the premium between what they offered and the official rate was an irresistible source of corruption for government officials and financial institutions. To correct this anomaly licences were given to bureau de change (BDC) operators. Yet the black market prevailed and morphed into BDCs. Technology, however, is disrupting the efficient, convenient, safe and expeditious service they once provided. A service the mysterious AbokiFX has disrupted, democratising information that was once their advantage. This month makes it a year since the Association of Bureaux De Change Operators of Nigeria (ABCON) launched naijabdcs, their website. It’s their response to the foreign, “inauthentic” and unrealistic AbokiFX. Fagbule is Chairman, Editorial Board

Status quo – the greatest enemy within that can pull down your organization FRESH INSIGHTS FOR CHALLENGING TIMES ‘Uju Onwuzulike

t took me a very long time to get some young students to accept that their worst enemies in life are themselves. Instructively, I said to them, ten years from today, those that will succeed will be those that have first and foremost conquered themselves (their highest enemy), and will not abandon their future successes to fate. In today’s world, it is not only young students (who perhaps do not understand fully what life is all about) that should be exposed to knowing who their worst enemies are; organizations too, should also be guided to know their worst enemies – especially from within. What do you think robs organizations the most from delivering their desired results? As a leader or manager reading this insight, kindly ask the people in your organization this question. When you do, things like: competitors, unfavourable government policies, economic hardship, un-conducive business environment and a whole bunch of reasons will surface. Over

the years, I have heard countless of reasons as answers to the above question. To the consternation of people I have met professionally, I have made them to know that the reasons given above are common to every organization in the world and therefore could not be the major enemy within – that robs them of their growth. One overlooked enemy robbing organizations of its successes, initiatives and growth comes from within, and that is the “Status Quo”. This Status Quo mentality is manifested on daily basis by organizations and that is why you hear them saying things like: this is the way we have always done it, this is the way our former CEO or manager usually does it, this is the way we have always reviewed our strategy, this is the way we have always attended to the customers, this is what we have done in the last ten years etc. Would you believe that a company lost a major share of business because an inexperienced new hire’s suggestion was rebuffed with “what do you think you know?” answer. Off course the new hire answered with “I am sorry Sir” out of fear. When regulatory bodies come up with new policies, definitely, it is going to affect all the players in that industry. The compensating factor is that no one in that industry will be singled out, so no preferential treatment. But the real challenge does not come from let say an unfavourable regulatory or government policy; it comes from when organizations are still stuck with the status quo regardless of the imminent change or danger knocking at the door. The best of strategies, change and re-engineering efforts can be reduced to a mere “more of the same” if the drivers

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of the change are stuck with the status quo. We are often quick to say that, insanity is when one is doing the same thing the same way for years and expects a different result. Unfortunately, and how sad it is for people to see new ways of doing things (suggested by others) to mean challenging their authority, experience and personality. As a consultant, I am quick to tell such people that, they are not competing against themselves internally but rather they are competing with the outside players in their given industry. Whether we like it or not, no organization can afford to continue doing things in the old way in order to preserve one’s ego, personality or authority unless they are ready to go out of business. I have been asked severally when facilitating strategic thinking retreats, why “status quo” should be tagged as the problem in an organization when the actual problem is “low customer patronage”. I would provide the answer now even for those that have not asked. You will agree with me that sometimes ago, your customer growth strategy or marketing strategy has worked in the time past, and probably delivered the numbers to you. Today, a lot of things have changed, a lot of disruptions, a lot innovations, and uncertainties, but still nothing has happened or changed in the strategy documents that have worked in the time past. Your organization is still stuck with the status quo, and miraculously believing that the customer numbers will grow over night. So the simple solution should be to change (the status quo) that has not worked today, and develop new ways of winning and keeping them – because others too are doing same. Final note:

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Having being involved in various leading change programs for institutions, I have realized that some organizations do not know the root causes of what have been pulling them back from achieving their goals. They focus more on symptoms or signs and then proffer solutions that will not be holistic in addressing the hidden causes of the problems. Then the problems continue or become worst. Great institutions and organizations use a different approach. They try to understand the root causes of issues before proffering solutions. More often than not, the root causes are embodied in the fabrics of the status quo, in trying to probably defend what is not working or justify poor performances or keep one’s ego at the detriment of the organization. A simple way to deal with status quo is for leaders and managers to create a culture where people in the organization will be permitted and free to use their initiatives at work, and at the same time express their concerns. Leaders should get used to asking their subordinates the “what do you think question”? Subordinates should also be encouraged to voice out their own suggestions, that way the best idea rules. As always, I welcome your comments, questions or requests. A very trusted advisor, Uju Onwuzulike is Nigeria’s leading authority on Systems Thinking and Strategic Management. He was a Steve Haines trained strategy and systems thinking expert and a former global partner of Haines Centre for Strategic Management, California, USA. He is the founder and Chief Results Officer of MCL – a strategy and outstanding performance specialist firm. He can be reached on 09091142093 or uju.onwuzulike@mclgroup.net.

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Friday 10 May 2019

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Creating that purpose driven growth

EIZU UWAOMA

Here’s a true story: have a friend who once wrote JAMB about the same time as me. Back then, I asked him what course he wanted to read and he said “my guy, any course!” Well he read “any course”, he applied to “any school”. He graduated with “any grade”. And today’s he’s currently all over the place, looking for “any job”. A few days ago, I was spending time with my nieces and so I got the chance to watch Tom and Jerry after so many years! It hit me: Do dogs really like bones, would they choose bones over meat? *laughs* the cartoon Tom and Jerry makes us believe that dogs love bones. But dogs actually prefer meat, they only take bones because they do not have a choice! In life, choose to have a choice for even indecision is a decision not to decide. The true meaning of life is to find your gift. But the purpose of life is to give it away. There’s a gift within you. Find it, make it work, make a living and make a difference in your life, your world and that of others from it. One of the best feeling is living purpose. I pray anyone reading this gets to have that feeling. Beyond knowing your purpose comes the will power, commitment and grace to follow through! The power of a core identity and ideology is key. Everyday brands, people

and organization leave an identity crises by derailing from their core purpose. In Neuro linguistic Programming, there something called the concentrated power of will. The truth is, if you focus on that thing, “When you give yourself into something, that thing will always give itself back to you”. If you are not focused, if you can’t define where you are going to, then everywhere you get to would look like it. Purpose is the ‘why’ in what you want to do. In an enterprise or team, purpose is also finding out what each members of your team is good at. And then putting them in the positions that makes your work more productive and efficient while bringing out the best in them. Whether life or business, don’t judge a fish by its ability to fly and a bird by its ability to swim, instead use them by their right purpose (strengths). I had an interesting chat with a client who is atheist and he gave me a nonreligious definition of hell. He said “On your last day on earth, the person you became will meet the person you could have become.” There’s nothing more important than finding that person you are meant to be. It will help you find heaven even while on earth. And the best time is now that you can. I found mine early and that purpose is to help people find theirs too, and then help build their whole life and business around it with basic steps. To me, whether as an individual or corporate entity, the 5 steps to building a life, business and brand from a deeper sphere of purpose in what you do is as follows: 1.Purpose Identification 2. Product Specialization 3. Brand Differentiation 4. Market segmentation 5. Community Concentration When you identify your purpose (which comes from a place of passion and competitive advantages); a hybrid

of what you love to do, do effortlessly and can do better than most people), you have to commercialize or productize it. Just the way a good song is meant to be a hit and a star player is supposed to win games, who you are is supposed to aid your living, profitably, from revenue to impact. It’s a thing of joy to see yourself make a living from what you love, charge a fee for what you could naturally do for free. That is product specialization from purpose identification. After this, you have to ensure it become a brand. Not every product is a brand but every brand is a product. The truth is that the only thing more important than what you are selling is what the buyer believe he is buying –be branded. Create a unique and alluring identity that is consistent with how you truly want to be seen as. So many people are consistently inconsistent with where they want to be. A step ahead is Market Segmentation and Community Concentration. You can’t sell and appeal to everyone so choose your market. You can either use demography or psychographics to carve out your niche People say it’s not easy to definitely find purpose. I totally agree. My response usually is, while you’re searching for your purpose, find passion. Do your current work that might not be your purpose with that passion and you’d find purpose. After you do, it has to be built through consistency to attain a place of skill and then mastery from it. Brands need to develop that interest and passion they have till a point where they can’t go wrong as a result of the level of expertise developed in that thing. Amateurs practice till they get it right, but pros practice till they can`t get it wrong. This is through a set of cumulative advantages that can only come over time. In medicine, by Corpus Collosum, it has been proven that the cell arrangement and structure

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There’s nothing more important than finding that person you are meant to be

between your left and right brain is forever altered to perform differently, after about 10 000 hours of practice on the same thing. At that point, our neural pathways of habits are rewritten to align with that purpose, at that point what you do becomes a part of you, effortlessly. It’s called Mastery. You will be called a highflyer. When you look at our heroes, great brands and people, what you can summaries how they got to that status is will to be focused. When Bill Gates first met Warren Buffett, it was at a dinner hosted by Gates’ mum. She asked everyone around the table to identify what they believed was the single most important factor in their success through life. Gates and Buffett gave the same one-word answer: Focus! It`s the Outliers, 10 000 hours concept, the Greek myth of “The fox versus the Hedgehog”. The problem is, we don’t know what the problem. Most people just don’t stay long enough. Consistency is key. And its synonyms include focus, discipline, routine and practice. Develop the good habits that lead to success. Just showing up is 80% of success. Some people just don’t show up. You can beat them pretty easily by just being consistent in showing up. The problem with growth for most people and organization is that they are not focused enough to follow through with work. There’s nothing you dedicate and give your whole self into that it doesn’t give itself back to you. There’s nothing you progressively spend your 10 000 hours on that you won’t become a master and success in.

Note: The rest of this article continues in the online edition of Business Day @https://businessday.ng Uwaoma is a start-up, corporate restructuring and strategy consultant. He writes via contacteizu@gmail.com

The arithmetic of Nigeria’s minimum wage

OSA VICTOR OBAYAGBONA

his week we will like to share a WhatsApp message sent to me recently about the new Minimum Wage that the Nigerian governors are promising to pay, as if they are doing the workers a favour. It read thus: The new minimum wage and the old minimum wage are the same thing? I wondered whether we have a Labour Union in this country. Before this administration, the price of petrol was N87 and minimum wage was N18,000. N18,000 ÷ N87 = 206.8965517 litres (meaning the minimum wage could only buy 207 litres of petrol). And today, minimum wage N30,000 ÷ N145 (for petrol) = 206.8965517 litres (meaning the minimum wage can only buy 207 litres of petrol), exactly the same amount even to the last decimal point (You will say Nigerians can be crazily creative). In essence, the newly approved minimum wage is in real terms lower than the previous N18,000. It can’t buy the same amount of goods today as it could eight years ago when inflation was mild and N160 exchanged for a dollar, but today it is N360+, depending on where you source it. As someone has described this minimum wage adjustment, it is simply this: a motion without movement. On the other hand, it is on record that in 2018 alone, the Federal Government of Nigeria spent N730.9 billion as subsidy on petroleum products. From a conservative point, this amount is far

higher than funds allocated to education, health, infrastructure and other key ministries and parastatals that year, which would have increased the economic growth or standard of living of the about 200 million Nigerians. This amount also can pay the Nigerian public workers at N75,000 per month in six month conveniently, even if there is no addition from elsewhere. This same amount, if projects are not inflated, can build and equip several general hospitals, link Nigeria with a viable rail system, build highways to link states in the six geopolitical zones, and above all, create small businesses that can employ several thousands of Nigerians. Look at it further, this same 2018 subsidy (N730.9bn) outweighed 2018 budgets of Ministry of Education, N651bn; Ministry of Health, N356bn; Ministry of Transportation, N267bn, and Ministry of Agriculture and Rural Development, N203bn. This amount was six times more than the total 2018 combined allocation of Nigeria’s top 10 public universities of N112.6 billion, which include University of Ibadan, N12.9bn; University of Lagos, N11.6bn; University of Nigeria, N16bn; Ahmadu Bello University, N17.4bn; Obafemi Awolowo University, N17.4bn; University of Benin, N13.4bn; University of Jos, N11.7bn; University of Calabar, N14bn; University of Ilorin, N8.8bn, and University of Abuja, N6.8bn. Remember, in 2007, former President Olusegun Obasanjo sold the nation’s obsolete refineries to a consortium in order to deregulate the downstream sector. Those Nigerians profiting from subsidy sponsored Labour Unions to ask for a reversal of the sale. Saharareporters on May 14, 2007, reported, “Whoever buys the Port Harcourt Refinery of Nigeria will be holding it in trust for President Obasanjo who is set to retire in a few days to a private but highly lucrative lifestyle.” According to Saharareporters, “Sources said all the bidders who have been granted the Right

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of First Refusal (ROFR) are working directly with President Obasanjo to hold the refinery in trust for him. “The President is working with Aliko Dangote and Femi Otedola and some other companies said to be in cahoots with the President as he embarks on a last minute sale of more lucrative public enterprises to himself and some members of his “private investment club” that have been buying up Nigeria in the last four years.” This blackmail continued until Obasanjo’s immediate successor, Late Umaru Musa Yar’Adua, reversed the sale of two of the country’s refineries, which had been finalised before he left office due to “pressure.” This was disclosed in Obasanjo’s serialised interview with “Book Club,” aired on Channels TV. According to Obasanjo, Aliko Dangote, leading a consortium of investors, had paid $750 million for the two refineries, as the Federal Government was unable to manage them at the time. Since the Yar’Adua administration failed to consolidate on the sale of the refineries so the investors could revamp them, but Yar’Adua fell to pressure and cancelled the sale. He said: “The refineries are old and Dangote and some investors paid $750 million for two of the refineries. My successor came to office and reversed the sale. He even refunded the money they paid. “So, I went to him and said ‘why did you do this?’ He said it was because of pressure. So, I said ‘so the pressure of some people was more important than the interest of the whole nation?’ “Right now, you will hardly be able to sell the refineries for more than $250 million because they are very old.” Also, in January 2012, former President Goodluck Jonathan advocated removal of subsidy. This sparked off series of demonstrations across the country, as various subsidy interest groups sponsored Labour Unions to sustain the protest and strike that lasted till January 14; then, fuel subsidy was only $8 million in 2011. Today, nobody will be

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willing to buy those refineries, even at $20 million, except to the intent to stripe the assets. This piece is not meant to join issues with anybody but to tell Nigerian workers that they are the eventual losers from the N30,000 minimum wage they are all rejoicing over. The Labour leaders know this but have blindfolded their followers for too long from knowing the truth. Have you ever asked where the Labour leaders got the money and the bulletproof vehicles they use? How much are their salaries and savings that they can drive bulletproof SUVs? Who gave it to them and for what reason(s)? If they cannot answer these questions, then know too they have not been dealing with you truthfully. I don’t want to say the obvious. Dangote today is a happier man to have accepted the refund from the government. Godwin Emefiele, the CBN governor, said recently that the government would source foreign exchange from Dangote when Dangote Refinery starts operations. What a shame! If Yar’Adua had not reversed the sale of the refineries and Jonathan did not bow to pressure from subsidy-infested groups, the N730.9 billion spent on subsidy today would have benefitted more Nigerians than going into the pockets of about 100 pseudo-business people. Nigerian workers, imagine this. Why should the few benefitting from the subsidy allow its removal? Like one of them said, “Subsidy removal will squeeze life out of us.” This is a man that can afford to take friends on a chartered flight to anywhere in the world for just a party. Why? Because they live on free money – subsidy, and therefore any attempt to remove it would always be resisted. Imagine if Dangote and the consortium were allowed to keep the refineries – your guess is as good as mine. The sooner we woke up the better for us, Nigerians. Osa Victor Obayagbona is assistant News Editor, BusinessDay

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BUSINESS DAY

Editorial Publisher/CEO

Maslow and the challenge of engagement in Nigerian democracy

editor Patrick Atuanya

oter inducement is one of the significant challenges of the recently concluded General Elections 2019. Reports by observers noted that vote buying, inducement in various forms as well as intimidation and violence were core issues faced by the electorate. Most disturbing of all was the one of vote buying and inducement. How to reduce the incidence of such aberrations should be a focus of the next four years ahead of the 2023 elections. Vote buying happened in most cases in response to economics. There was the nearmarket equilibrium of demand and supply working together to make the exchange of value for a vote a central feature of the polls. Items exchanged ranged from the cash of lowly one to two thousand Naira to high figures such as N20000 and on to physical objects like rice, beans, toiletries and apparel. Cynicism was rife. The electorate in many cases demanded the exchange for their votes. Many claimed it was the only dividend of democracy they were sure of given the experience of the previous elections. Politicians come, promise them the world in terms of necessary infrastructure and then disappear upon receiving the mandate.

Frank Aigbogun

DEPUTY EDITORS John Osadolor, Abuja Bill Okonedo NEWS EDITOR Chuks Oluigbo EXECUTIVE DIRECTOR, OPERATIONS Fabian Akagha EXECUTIVE DIRECTOR, STRATEGY, INNOVATION & PARTNERSHIPS Oghenevwoke Ighure GENERAL MANAGER, ADVERT Adeola Ajewole ADVERT MANAGER Ijeoma Ude FINANCE MANAGER Emeka Ifeanyi MANAGER, CONFERENCES & EVENTS Obiora Onyeaso BUSINESS DEVELOPMENT MANAGER (South East, South South) Patrick Ijegbai CIRCULATION MANAGER John Okpaire DIGITAL SALES MANAGER Linda Ochugbua ASSIST. SUBSCRIPTIONS MANAGER Florence Kadiri GM, BUSINESS DEVELOPMENT (North)

Bashir Ibrahim Hassan

This attitude is troubling in itself and for what it represents. It speaks to a deficit of trust between citizens and the political class. Five election cycles and 20 years later, the gap has widened. The chasm is a deep distrust of the political class by citizens at every level. It also showed in voter apathy following a massive turnout for voter registration. The people did not trust enough that their vote counted. So they stayed away. For the presidential election, for instance, only 34.75 percent of registered voters turned up at the polls. It translates to 28, 614, 190 people. Registered voters numbered 84m. Further interrogation of the data and comparative analysis confirms a growing and disturbing trend. Nigeria fared worse than other countries in Africa using voter turnout as an index. Our voter turnout is the second lowest of all recent elections in Africa. According to the International Institute for Democracy and Electoral Assistance (I-IDEA), Nigeria’s 34 percent is only slightly better than the 32.3 percent turnout in the 1996 presidential election in Zimbabwe. The turnout figures point to a nexus between citizen satisfaction with democracy and trust in the electoral process with electoral participation. Top 10 countries with the highest voter turnout in their most recent elections are

Rwanda; 98.2 percent, Equatorial Guinea — 92.7 percent, Angola — 90.4 percent, Seychelles — 90.1 percent, Guinea Bissau — 89.3 percent, Zimbabwe — 86.8 percent, Sierra Leone — 84.2 percent, Kenya — 79.5 percent, Liberia — 75.2 percent, and Burundi —73.4 percent. The least 10 are Cote d’Ivoire — 52.9 percent, Algeria — 49.4 percent, Mozambique — 48.6 percent, Sudan — 46.4 percent, Sao Tome and Principe — 46.1 percent, Democratic Republic of Congo — 45.4 percent, Mali — 42.7 percent, Egypt — 41.1 percent, Cape Verde — 35.5 percent and Nigeria — 34.8 percent as the last. More troubling for the country is the worsening of the economic condition of the country and thus of its citizens. It is axiomatic that the economic conditions of man affect his consciousness as well as his perceptions and attitudes to issues. Poverty walks boldly on the streets and byways of Nigeria. Rather than tackle the scourge of poverty, the political class weaponised poverty against the citizenry. That class thus offered measly sums of money as patronage and inducement to get votes. Citizens responded with demands for more and followed with apathy. There is now a deepening gulf in inter-ethnic relations. The institutions that should serve as buffers played negative roles, as even a gathering of 75 political par-

ties recently lambasted the roles played by the Nigerian Army and the Nigeria Police Force in the last elections. The Middle Class are the defenders of democracy everywhere. In Nigeria, the Middle Class has remained indifferent and apathetic. They seem only eager for co-optation into the ranks of those running things so ruinously. The sociology of the Nigerian electorate shows a preponderance of persons lacking the knowledge and intrinsic motivation to understand the imperative of democracy. The electorate struggles with the physiological need for necessities. More citizens are dropping off the Middle Class that are joining, increasing the numbers of those battling with physiological and safety requirements. Even so, the Middle Class in Nigeria has an important duty to show more interest and engagement in the political process. We speak here not only of individuals but also of professional associations and groups aggregating the interests of persons who by training, exposure and outlook fit into the description. Their likes have taken up the challenge historically across countries in ensuring the sustenance of democracy. Policies and programmes of government at all levels must ensure more and more citizens move up the Maslow ladder for the survival of our democracy.

GM, BUSINESS DEVELOPMENT (South) Ignatius Chukwu HEAD, HUMAN RESOURCES Adeola Obisesan

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Friday 10 May 2019

BUSINESS DAY

cityfile Kogi: Police arrest 16 over kidnapping, robbery

peratives of ‘Operation Puff Adder’ have arrested 16 persons suspected to be kidnappers, armed robbers and terrorists in Kogi. Parading the suspects before newsmen in Lokoja, Hakeem Busari, the Commissioner of Police (CP) in charge of Kogi, said that the suspects were arrested at different times in some parts of the state. According to Busari, six of them are suspected kidnappers operating in Nasarawa and Kogi States. Two others, he said were arrested for kidnapping a seven-year boy at Odo Ape community in Kogi State. He said that the suspects kept their victim for nine days and had come out to pick up the ransom of N1 million from the parents when they were rounded up. Busari said that four other suspected kidnappers were arrested following a tipoff, adding that two other suspects were arrested for threatening the chairman of Ankpa local government area of the state. The CP said that a suspected Boko Haram member was also arrested in Okene based on information received from the Edo police command. According to him, three other persons were arrested for armed robbery in Ganaja area of Lokoja on May 3. He said that the gang specialised in robbing motorcycles and killing or grievously injuring their victims. Busari added that two Bahajaj motorcycles have been recovered from the suspects. The police chief also said that two other persons were arrested for entering Ajaokuta Steel Complex allegedly to steal. He said that three rifles, including two pump action guns and a locally made pistol have been recovered from the kidnappers and robbery suspects. “Also recovered were live cartridges, charms and wraps of Indian hemp,” he said.

Container-laden truck upturns on Ijora-Iganmu Link Bridge in Lagos.

Ekiti disburses N200m gratuity to 88 pensioners AKINREMI FEYISIPO, Ibadan

kiti State government has approved N200 million as gratuity to take care of 88 pensioners in the state. Distributing the cheques to the beneficiaries in Ado-Ekiti, Governor Kayode Fayemi, represented by Akinjide Akinleye, the permanent secretary, General Administration Department (GAD), Governor’s Office, said it was the desire of his administration to ensure that pensioners who used the valuable years of their lives to serve Ekiti were not left to suffer when their strengths have started failing them. Akinleye said only about N10 million was being set aside monthly by the previous ad-

Living below poverty line:

68-year grandmother struggles to meet family needs

ebecca Olayiwola is 68-year-old from Ogun State. A mother of three out of whom two are late. Olayiwola currently lives with three grandchildren. Two of the three grandchildren are in school while the other one is out of school, preferring to learn a skill, barbing- of which he is yet to be enrolled due to financial constraints. Often, the other two missed out of exams due to the grandmother’s inability to pay their school fees. The 68-year has been struggling to cater to the needs of the children since their father passed. Olayiwola was living in a one-room apartment but had to move out due to her inability to meet her rent obligation. She says the landlord often disconnected light from her room and pulled her door among other things. She was sweeping people’s compound to eke out a living but stopped due to some health challenge. She needs finan-

NAN

ministration in the state for the payment of gratuity which amounted to N120 million per annum. He lauded the current administration for increasing it to N100 million monthly. While disclosing that the process of payment of gratuity was done as agreed by the stakeholders on the basis of first to retire first to be paid, he added that payment was not made by individual officer but by a team of officers working in collaboration to make the disbursement fast, hitch- free and get the records tidy. According to him, “regular exposure of staff to capacity building trainings organised by PTAD on how to engage in most transparent pension administration has paid off in our operations which are clearly devoid of fraud and other sharp practices in consonance with integrity”. The permanent secretary further disclosed

Accidents: FRSC advocates efficient traffic mgt …as Lagos-Ibadan road records highest crashes in February

Olayiwola

cial support to start a petty business to enable her take care of herself and the three grandchildren. If you are interested in sponsoring any of the persons featured on this page, pls call 08030814083 or e-mail: Bailey.oluwabunmi@businessdayonline.com

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plans by PTAD to organise post-retirement workshops for retiring public servants on how to enjoy quality life after retirement. About 250 retirees would participate in the maiden edition of the workshop which is scheduled to hold soon. Olu Alabi, director of investment, ministry of Commerce, Industry and Investment, who gave a lecture on how retirees can enjoy their post- retirement years, urged them to guard against frivolous spending. Ayo Kumapayi, chairman of the Nigerian Union of Pensioners (NUP), Ekiti State chapter, appreciated Governor Kayode Fayemi for fulfilling his earlier promise to pay retirees at the same time with public servants. He, however, appealed that this kind gesture be extended to retirees at the local government level.

oboye Oyeyemi, Corps Marshal, Federal Road Safety Corps (FRSC) says appropriate management capacity in road traffic is imperative in reducing road crashes in the country. Oyeyemi stated this in the agency’s Road Traffic Crash (RTC) report for February, 2019, made available to the media on Wednesday. He said that deaths and injuries that resulted from road traffic crashes remained serious heart-breaking statistics globally. “Reducing road traffic crashes therefore, requires appropriate management capacity demonstrated through availability of comprehensive and reliable data systems on the burden and risks of crashes,” he said. The corps marshal also said that reducing the scourge also required sustainable funding to measure, target and monitor progress. The report showed that in February, 396 persons died while 2, 354 others sustained various degrees of injury across the country. “In the month under review, a total of 716 crash cases occurred, involving 5, 021 persons. “The statistics indicate 27 per cent de-

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crease in fatality, 25 per cent decrease in crashes and 30 per cent decrease in the number of people injured during the period when compared to the preceding month of January,” he explained. He identified Lagos-Ibadan Expressway as the highest crash-prone route recording 42 crashes. According to him, this was followed by Kaduna-Abuja with 33 crashes, Abuja-Lokoja with 31, Kaduna-Zaria with 12 and LagosAbeokuta with 10 crashes. Oyeyemi said that speed violation accounted for the highest causal factor of road traffic crashes, with 393 cases representing 51.5 per cent within the period. “Commercial vehicles constituted 63.5 per cent of the total vehicles in crashes in February, while private and government vehicles accounted for 3.4 per cent and 1.7 per cent, respectively,” he said. He said that the crash analysis was intended to stimulate actions toward improving road safety in the country through the identification of key gaps and opportunities.

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Friday 10 May 2019

BUSINESS DAY

MONEYINSIGHT

Kolobox, RaRaRe offer millennials opportunity to invest in sustainable communities … 8 – 12% ROI, community building products STEPHEN ONYEKWELU

olobox Capital Ltd., a micro investment platform and RaRaRe a civic platform are both leveraging technology to provide safe investment products in sustainable communities, where each citizen’s voice counts. Both platforms target millennials (people born between the 1980s and 2000s), who care about social issues but often lack financial intelligence to help them ask the right questions regarding how to save and invest money. The two platforms believe access is what is needed to financially plan for the future and build human communities that everyone can be proud of. Access to financial knowledge guarantees financial freedom. Access to elected public officials and private sector leaders brings about safer, healthier environments. “The only difference between successful and not so successful people is access. Access here means access to knowledge, which needs to be applied to solve prevailing problems, in this case, financial problems” Tunde Ogundipe, founder of Kolobox told BusinessDay in an exclusive interview. “We are making saving and investing fun. We want to give every citizen opportunity and access to the best investment products, backed by the Federal Government.” RaRaRe, the civic platform leverages the power of social media to drive positive change in communities. It creates access to relevant authorities in both the public and

L-R: Abdul Isiaq, founder, chief executive officer RaRaRe and Tunde Ogundipe, founder, chief executive officer Kolobox Capital Limited at a recent product launch event, Victoria Island, Lagos.

private sectors. “Once someone steps into a position of political power, they become inaccessible. This disconnect is one of the reasons why thinks are not working. We are creating that connect again. To make things work” Abdul Isiaq, founder and chief executive officer of RaRaRe said in an interview with BusinessDay. RaRaRe is a downloadable application on both Google Play Store and Apple Store. So is Kolobox. Within the comfort of your phone, you can download the applications. With the RaRaRe app, you can take a photo and rant about something going wrong in your community. It has geo-location capability embedded and will immediately pick

up your location. The idea is to generate conversation around those issues, to get the relevant authority to go fix the problem. It is about giving power back to the people. For the private sector, “if I have a bad experience in a bank, I will rant about it on the app. When these private organisations get the rants, they will change their processes” Isiaq said. But it is also about raving. If you have a great experience at a restaurant or you see something working in the public space, you can celebrate that by raving about it. Then for people who take part in surveys organised by RaRaRe, they earn points that are redeemable in the form of freebies from businesses

within a 16km radius to them. The voucher is generated based on the survey participant’s location. One advantage Kolobox raves about, regarding its business model is the ability to give access to safe investment products meant for high net worth individuals to millennials. Rather than let your money sit in a bank account where the maximum you can get is about 2 – 3 percent return. “Why not put the funds in our platform where you get about 8 – 12 percent. Our business model is simple. We pull funds together and give people access to investment products they might not have access to as individuals” Ogundipe said.

The micro investment platform aggregates fund from customers pulls it together and because of the joint might, it is able to negotiate for higher returns on investment. Everyone in the pool gets the same rate of return on their investment, irrespective of the amount invested. “We put our funds in treasury bills, usually products that are backed by the Federal Government. Kolobox, among our competitors is the only one that is regulated by the Securities and Exchange Commission. Your funds are guaranteed and insured. We do not give our funds to micro lenders where the risk of loss of funds is high” he added. The platform has a number of products, where you can lock in your funds. It also has others where your funds are not locked. Locked options give higher returns naturally. Kolobox has partnered with Radix Capital Limited, which has been around for the last 15 years and done almost all the Lagos State bonds. They are one of the key investment banks in Lagos. They are SEC regulated and before any product is brought to the market it has to be approved by the Commission. One new feature on the platform is group investing. This allows an individual to invite family, friends and colleagues, making investing more fun. This can help people set short medium and long term goals, a family may want to save towards their mother’s 80th year birthday or for a marriage. Saving together then serves as a motivation. Kolobox was launched July 2018.

Binance’s $40.7 million bitcoin loss to hackers sends shock across crypto market FRANK ELEANYA

he announcement on Tuesday evening by Binance that it lost 7,000 bitcoins (BTC) worth nearly $41 million in one transaction to hackers who were able to obtain a large number of user API keys, 2FA codes, potentially other information from users, has sent shock waves throughout the cryptocurrency market. The development discovered on Monday, comes after a recent rally in bitcoin in which the price of the cryptocurrency climbed as high as 9 per cent for a whole week. Minutes after the hack was announced, the price of bitcoin dropped by 3.1 per cent and further by 0.5 per cent on Wednesday according to the Bloomberg com-

posite table. Prices of other cryptocurrencies have also been affected. The Binance Coin for instance dropped by 8.05 per cent and is expected www.businessday.ng

to move further down as the company release more updates. Binance chief executive officer, Changpeng ‘CZ’ Zhao in a letter posted on the company’s website,

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the hackers had the patience to wait while employing a variety of techniques, including phishing, viruses and other attacks to execute well-orchestrated actions through multiple seemingly independent accounts at the most opportune time. “It impacted our BTC hot wallet (which contained about 2 per cent of our total BTC holdings),” says Zhao. “All of our other wallets are secure and unharmed.” He also noted that it is possible other accounts which were affected in the hack incident are yet to be discovered. However, the company is not leaving anything to chance as it has frozen withdrawals following the discovery. This is subject to the outcome of a @Businessdayng

review Binance is commencing. The review is estimated to take about a week. While deposits and withdrawals will be suspended, trading will continue to allow investors to adjust their positions. “Please also understand that the hackers may still control certain user accounts and may use those to influence prices in the meantime. We will continue to monitor closely. But we believe that with the withdrawals disabled, there isn’t much incentive for hackers to influence markets,” Zhao said. In the meantime the exchange has promised to cover the loss using its Secure Asset Fund for Users (SAFU). The SAFU will not impact users.

Friday 10 May 2019

BUSINESS DAY

COMPANIES & MARKETS

With eyes on post-election outlook, Rencap set to hold 10th Annual Pan-Africa investor Conference

COMPANY NEWS ANALYSIS INSIGHT

Pg. 16

MARKETS

Stocks near 2-year low as investors wait in vain for economic-stimulating policies OLUWASEGUN OLAKOYENIKAN

he lack of economic stimulating reforms in Nigeria this year is taking a toll on the equities market which is now only a short crawl away from a two-year low. The key performance indicator of the NSE, the All Share Index (ASI), extended its losses after the close of business on We dnes day by 45 basis points to close 28,966.41points, the market’s weakest level since May 26, 2017. Analysts had projected a stock market rally after-poll regardless of the winner in the February 23presidential election, but since the re-election of President Muhammadu Buhari, the stocks are down more than 10 percent, making it the worst post-election performance since the country’s return to civil rule in 1999. “There is need for a catalyst, something to spark the market.

Unfortunately, there is nothing exciting investors,” Yinka Ademowagun, a research analyst at United Capital Ltd. told BusinessDay. “One major thing that would have excited investors is the listing of MTN and it is taking forever.” Ethiopia is implementing reforms to increase the participation of the private sector in the country’s economy, while a study conducted by the Levy Economics Institute, a research organization in the United States, showed that investments in the physical (roads) and social infrastructure has helped Ghana, one of Africa’s fastest-growing economies, generate employment opportunities and drive household income and consumption in the country. In Nigeria, uncertainties abound as industry watchers await Buhari’s next cabinet members after May 29, particularly those who would head key

economic-centric ministries, while who will lead the nation’s monetary policy team going forward still remain at the front burner for stakeholders after the expiration of Governor’s Godwin Emefiele’s tenure in June. Earlier this week, the Federal Government

of Nigeria offered for subscription two-year and three-year Savings Bonds for the month of May with higher interest rates compared with those issued in the previous two months in spite of decelerating inflation rate, a move that could brighten investors’ chances of

making higher returns. Lower yields coupled with mounting concerns in the economy weighed on investor sentiments, triggering persistent sell-off in the nation’s local bourse. The banking sector recorded the biggest fall after Wednesday’s

trading session, shedding 0.8 percent, while insurance sector trailed with 0.4 percent drop. The industrial goods sector dipped 0.2 percent, while the Oil & Gas index fell 2 basis points. However, the consumer goods index was the lone gainer by rising 0.1 percent.

COMPANY

AB InBev Q1 revenue surges 5.9percent, records double-digit volume growth in Nigeria OLUFIKAYO OWOEYE

o r l d ’s l a r g e s t brewer, Anheuser-Busch InBev, AB InBev, is off to an impressive start this year with a strong Q1 2019 performance accelerating its momentum from the full year 2018 performance Figures released shows that the brewer recorded a 5.9percent growth in revenue buoyed by volume growth of 1.3 percent,

with own beer volumes up 1.0percent and non-beer volumes up 4.9percent, revenue per hl growth of 4.6percent, driven by healthy volume growth, global premiumization and revenue management initiatives. The top-line result was driven by healthy performances in several key markets, including Brazil, China, the US, Europe, Colombia and Nigeria. According to the brew-

er, across Africa excluding South Africa, it continued on a volume growth in all markets except Mozambique, due to the devastating effects of a severe cyclone, and Tanzania, due to the later timing of the Easter holiday, while Nigeria continues to lead the way with revenue per hl expansion and continued double-digit volume growth fuelled by the core portfolio as well as Budweiser in the premium

segment. The brewer posted revenue of $12.59 billion in Q1 ended 31st March, with combined revenues of its three global brands, Budweiser, Stella Artois and Corona grew by 8.5percent globally and by 14.0percent outside of their respective home markets. Cost of Sales increased by 6.0percent in Q1 and by 4.6% on a per hl basis. AB InBev made an in-

road into the Nigerian market in 2017 when it acquired 72.17percent of SABMiller’s shares in International Breweries Plc, in a series of transactions which resulted in AB InBev acquiring controlling interests in the company. The launch of its premium brand Budweiser dubbed King of Beer the market has further intensified the competition in the beer war. To further extend its

market presence, a merger arrangement was consummated with International Breweries Plc., and two other local brewers. Intafact Beverages Limited, makers of Hero beer which is popular in the South-Eastern part of Nigeria, located in Onitsha Anambra State, and Pabod Breweries Limited, makers of Grand Lager, located in Port-Harcourt which is now controlled by AB InBev.

Editor: LOLADE AKINMURELE (lolade.akinmurele@businessdayonline.com) Graphics: David Ogar

Friday 10 May 2019

BUSINESS DAY

COMPANIES&MARKETS

Business Event

FINANCIAL SERVICES

With eyes on post-election outlook, Rencap set to hold 10th Annual Pan-Africa investor Conference LOLADE AKINMURELE

enaissance Capital, a leading emerging and frontier markets investment bank, will hold its 10th Annual Pan-Africa 1:1 Investor Conference on 15-16 May 2019 at the Lagos Continental Hotel in Lagos, Nigeria. he conference serves as a platform for closed-door 1:1 meetings between top global and local investors from across the globe and corporate representatives to discuss investment opportunities in Nigeria and other fast-growing economies on the continent. More than 200 scheduled 1:1 meetings will bring together local corporates and international and Africa-based investors with total AUM of ca. US$150 billion. The opening ceremony will include a keynote address by Yewande Sadiku, Executive

Secretary / CEO of the Nigerian Investment Promotion Commission (NIPC). Charles Robertson, Global Chief Economist, Renaissance Capital, will give a talk on Nigeria’s structural reform and diversification from oil dependency as key to industrialisation. “We are delighted to welcome all participating corporates and investors to the 10th edition of our annual conference, particularly those who have travelled from countries outside of Nigeria to be a part of the event,” said Temitope Popoola, CEO, Nigeria, Renaissance Capital. “We expect discussions at this year’s event to be driven by expectations for the new political environment considering the recently concluded elections,” Popoola added. Poopola describes the event’s10-year anniversary

as evidence of Rencap’s focus and commitment to Africa, even as the company grows its deal pipeline in each of its core regions in the continent, particularly Nigeria. In a show of a growing deal pipeline in Nigeria, the company priced a debut US$450 million 9.50% five-year bond offering for Ecobank Transnational Incorporated, a leading Pan-African bank. The company says it is currently involved in “several landmark transactions with key clients.” Nigeria is struggling with abysmal economic growth rate despite exiting a scathing recession in 2016. The economy has grown below 1.5 percent in the two years after the recession, with the IMF forecasting growth of 2.1 percent in 2019, which is quite a disappointing growth forecast for a frontier market with the potentials of Nigeria.

L-R: Ekuma Eze, public affairs and communications director, Nigerian Bottling Company (NBC) Limited; Adrian Ristow, project director, Project Last Mile; Olubunmi Akinlade, immunization program officer, Lagos State Primary Health Care Board; Clem Ugorji, public affairs and communications director, Coca-Cola West Africa business unit, and Rudi Lensley, Nigeria lead, Project Last Mile, during the launch of the ‘Project Last Mile’ Public Sector Vaccine Refrigeration Maintenance Project held in Lagos.

COMPANY RELEASE

KOTEX launches new range of sanitary pads, tampons brand into Nigerian market IFEOMA OKEKE

imberly-Clark, makers of world’s finest hygiene products, officially launched its new range of sanitary pads and tampons brands into the Nigerian market on Friday 3rd of May 2019. The event, which held at Oriental Hotel, Victoria Island Lagos, was attended by various dignitaries and celebrities. Koushik Ananth, KimberlyClark, GBA Director for West Africa, briefly outlined the stages that culminated in the product launch and thanked the various state and federal agencies which helped the company achieve this feat, while recognizing the talent of the Kimberly-Clark team in

Nigeria. Kemi Saliu, marketing manager, WECA, stated that in less than five years of Kotex’s presence in Nigeria, the company established a leading position in providing women with quality, smooth feminine care. She attributed the success of the brand to the high and consistent quality of the product, the support of Kotex trade partners and the loyalty of its consumers. “Introducing the new range to our existing products in Nigeria is part of KimberlyClark’s mission to provide essentials for a better life for our consumers. Kotex pads and tampons have a superior, cotton-like feel that give wom-

en a comfortable experience”, she added. The highlight of the event was the unveiling of the ‘New Kotex Ultra Sanitary Pads and Tampons’. “This exemplifies Kotex innovation in developing highquality cotton-soft, fast-absorbent pads to that allow period experience to be discreet and comfortable. Now, with the launch of these new sanitary pads and tampons, the company has a comprehensive range fully available in stores and outlets for women in Nigeria and we encourage everyone to tell a friend, an aunty, a mother or sister to try Kotex and convert them to becoming a Kotex Woman”, Sailu added.

FINANCIAL SERVICES

FBNQuest’s diversified model sees business weather 2018 storm

L-R: Oluwafemi Aminu, CRO, eTranzact; Nkechi Nnoli, Host, NaijaSecCon2019; Bode Oguntoke, head, internal audit, FBN Holdings, and Rotimi Akinyele, convener, NaijaSecCon2019, at the NaijaSecCon 2019, held in Lagos.

L-R: Dapo Dosunmu, regional operations director, South Region, Airtel Nigeria; Ifeanyi Ugwuanyi, governor, Enugu State; Oluranti Owoborode, zonal business manager, South East Zone, Airtel Nigeria, and Erhumu Bayagbon, head of public relations, Airtel Nigeria, during the launch of Airtel 4G service in Enugu.

…outlines strategy for 2019 SEGUN ADAMS

t the just concluded 4th Annual General Meeting of FBNQuest Merchant Bank, Bello Maccido, the Chairman, FBNQuest Merchant Bank, hinted on the company’s strategic direction to increase shareholders value for the 2019 fiscal year. Maccido underscored the bank’s strategic direction for 2019: “We have taken key learnings from 2018, and in 2019, we will focus on our strategic goals of improving efficiencies as well as deepening innovation and digitisation to enhance the client experience”. He further added “through group collaboration, we will be a one-stop-shop for meet-

ing the varied financial needs of our clients, and leveraging the benefits of a diversified business model to grow and enhance the quality of our income”. At the AGM, Kayode Akinkugbe, Managing Director and Chief Executive Officer, highlighted the challenges and gains in the 2018 financial year. Akinkugbe revealed that in 2018 FBNQuest Merchant Bank faced strong headwinds, characterised by contracting interest spreads, a sluggish investment banking market with fewer financing and advisory transactions, and increased competition. “Despite the challenging business environment we achieved a respectable finan-

cial performance in 2018, and remain committed to adding value to our stakeholders by delivering a superior customer experience and strong returns”. The FBNQuest business group maintained profitability and recorded steady growth in some of its business lines. Total revenue increased by 8.6% y-oy to ₦40.96 billion from N37.72 billion in Dec 2017, while profit before tax grew by 56.2% y-o-y to ₦16.4 billion from ₦10.5 billion in Dec 2017. The main contributors were the Asset Management, Corporate Banking, Trustees and Fixed Income, Currencies and Trading (FICT) businesses. This again demonstrates the resilient and diversified nature of the business portfolio.

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L-R: Edet Sunday Akan, permanent secretary, federal ministry of industry, trade and investment; Aisha Abubakar, minister of state for industry, trade and investment; Temitope Iluyemi, director of government relations Africa at P&G, and Ekenem Isichel, government relations, P&G, at P&G Nigeria MoU Signing Ceremony in Partnership with the Federal Ministry of Industry, Trade and Investment’s SME Academy Program in Abuja.

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Friday 10 May 2019

BUSINESS DAY

FINTECH News

ProductsReview

TechnologyReview

PersonalityReview

Company Review

TECHNOLOGYREVIEW

Bitcoin trading: What to know as a beginner One of the reasons for its constant fluctuations is the media. Bitcoin’s price reacts to a wide range of events including ar ticles about new government regulations or action from banks; statements from prominent figures in the tech and investment worlds; news of hacks or security breaches; and rumours and incorrect information.

Stories by FRANK ELEANYA

itcoin may not be the only cryptocurrency in existence – there are over 2,000 coins listed on the Coinmarketcap – it is however the most-sought after crypto and therefore the most valuable in the market. The total supply of bitcoin available is capped at 21 million, with new ones released every day. As at 2017, the total number of bitcoin already mined were at 16 million according to data from Blockchain. In 2019, the circulating supply has reached more than 17 million (17,662,937.5). The implication is that there are 3,337,067.5 bitcoin left to be mined. Although the finite nature of bitcoin makes access far from ideal, it is partly responsible for the surge in price. Unlike the early days, options for trading in bitcoin have expanded. There is also a proliferation of alternative means of acquiring and trading today. Bitcoin trader, Bashir

Aminu, describes the basic trading process this way: “If you buy bitcoins at one price and then sell them for a higher price, you make a profit of the difference between those two prices, less any commission that you paid. However, if the price goes down, you will be in the uncomfortable position of having to either sell them at a loss or hold and hope the price goes back up while risking higher and higher losses if

the price continues to drop.” The bitcoin market has two major traders – those who hold it for a long term and the short term traders. Apart from buying bitcoin itself in the hope of selling it on at a profit, it is also possible to speculate on its value without ever owning the token. Presently, there is no exchange in Nigeria that provides this service. For beginners, some of the things to note are:

Bitcoin is not fiat money You may have used bitcoin to buy recharge card, but that does not make it fiat money. Fiat money is controlled by the central bank of any country; bitcoin has no central government control. This is largely responsible for its high volatility – going up or down by a high percentage in a short time. The price changes all the time and the more it changes the riskier it is.

Trading cryptocurrencies is a 24/7 market. Whether you are a long term trader or a short term trader, the market does not sleep. Hence, it is possible to make money every day as well as lose money daily. “It is important that you are aware of what the market can give you,” says Olaleye Awe, a bitcoin trader and trainer at a recent meetup organised by Luno in Abuja, Nigeria. Many beginners often make loses for ignoring this piece of advice – get information. Awareness would always put the mind at rest and prepare the trader for any unforeseeable. More traditional investments such as stocks and bonds carry a cer-

tain level of risk, but bitcoin is more speculative in nature. And unlike stocks and bonds, its fundamental indicators are often less concrete. One place to begin learning is the bitcoin whitepaper. Awe also recommends bitcoin exchange’s Luno Learning Portal as a platform for beginners. M ake a plan and follow through While acquiring information about the market is a critical building block, it does not guarantee you will make money trading bitcoin. Create a plan from the first day you decide to trade. Your plan should be able to help you figure out the best time to enter into a trade. For instance, setting a buy option anytime prices go up may not be the best strategy. The profit margins during a bullish run may not as much compared to buying when the market sees a major drop. Prioritize small profits “Anytime profit is showing on your bitcoin, take it,” says Awe. “It doesn’t have to be big profit. Small profits add up over time.”

Voice payments to save us from annoying PoS failures in Nigeria soon

ne day - very soon - you will walk into Shoprite at Victoria Island or Ikeja or the shopping mall across the street without your bank card or cash, pick up groceries from the shelve and when you get to the cashier, you will whip out your phone and say “Hey Siri (for iPhone users) send N200 bill using (payment service the mall uses)”. The bill is transferred instantly. You can do the same when you order goods from online stores. That future is not farfetched, it is here. Many of us on Android phones are already giving different commands to Google voice assistant. In fact, 63 per cent of Android owners have communicated with a voice assistant on their smartphone. A research by Juniper expects 93 million smart speakers to be in use by the end of

2019. Globally, 600 million people use a voice assistant at least once a week. The popularity of voice assistants is rising and the next frontier for it looks to be in payment. Another survey conducted by Transaction Network Services ( TNS) found that 26 per cent of respondents in markets across the United States, United Kingdom and Australia who own a voice assistant have used it to make payments. PayPal is believed to have been the earliest adopter of voice payment when it added integration with Siri to let its users conduct peer-topeer (P2P) transactions with a simple voice command. Barclays, Santander and the Royal Bank of Canada followed suit in 2017. Amazon Pay has also set its sights on the market after seeing 5 per cent of internet searches initiated by a voice prompt. The company bewww.businessday.ng

lieves that making it easier for consumers to pay for goods with their voice works to Amazon’s advantage as it removes any barrier to using its service. Customers with Echo devices are already able to purchase goods from the Amazon marketplace by

speaking to Alexa – Amazon’s voice assistant. Voice assistants in payment may be a very new concept for Nigeria’s enterprising tech companies for obvious reasons. There is still a lot of education to be done on the existing online payment

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models in the country including ATMs, card transactions, Point of Sale (PoS) terminals, electronic transfers, and mobile money wallets. There are also worries about security around the technology. For instance, 74 per cent of respondents in the

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TNS survey said that security concerns would stop them from making a payment via a voice assistant. The security concerns arise from the challenge of keeping information private while going through authentication procedures. Sam Murrant, senior payments analyst at GlobalData a market intelligence firm, said a lot of time is being spent on improving the algorithms that govern voice payments systems. But, 2019 will not be the year everyone begins to buy clothes on Jumia or Jiji.com with voice assistants but there is likely to be a peak in interest driven by continued difficulties experienced with existing electronic payments channelsm like PoS. The growth will be gradual but it is likely to happen sooner than later. Voice payment development is predicted to move in several directions in the next couple of years.

Friday 10 May 2019

BUSINESS DAY

Friday 10 May 2019

BUSINESS DAY

INTERVIEW

Nigeria can become Africa’s biggest gold market – Teriba In December 2018, Nigeria began the journey to having its first ever gold refinery with a groundbreaking in Mowe, Ogun State. NERE TERIBA, Managing Director/Vice Chairman of Kian Smith, the company behind the bold move, in this interview with BusinessDay’s JOSHUA BASSEY says the target is to commence operations in the 2nd quarter of 2019. She also speaks on polices, successes and challenges facing the extractive industry.

hat triggered Kian Smith’s vision to build Nigeria’s first gold refining? If you look at the local extractive industry, you will see that there is a cycle in Africa, that we create raw materials but do not really add value. The value chain overall is lacking and it is not just in gold, as you will also see that flaw in agro-commodities like cocoa, cashew and even crude oil. I looked at it in terms of gold that it is a commodity that cuts across sectors: it is a financial instrument; it is for jewelry,at least for Nigeria. We are a people that benefit strongly from the value-addition chain. Gold jewelry is used culturally here as we have a strong market for gold. When you go to Sabongari market in Kano, we have about 2000 unique visitors for gold in that market from across Africa on a daily basis. So when you look at it, you will understand that we as a country culturally, we appreciate gold jewelry. So we are consuming down the valuechain while also selling our raw materials. We looked at it and saw a great opportunity to get involved in value addition as it will give great opportunity to create jobs for our people, not just jobs, but in revenue for our people at every stage. So those were some of the major reasons why we pushed for the refinery. In December 2018, Kian Smith did the groundbreaking of the refinery. Can you give an insight into the level of work so far? Right now, I will say we are still very much on target. We are under pressure to get this done by June, that is by the end of the 2ndquarter of this year. No doubt, it will be tight but we are working hard towards it. Hence we will keep it that way even if we are late, we will not be far off. Have there been new investors in this sector in the last five months? There are always investors’ interests, especially given the news on what the country is going for. In terms of policies, it’s been very encouraging to investors. We know that a lot of them have shown interest. However, we have concerns recently from the news that could be a turnoff to investors. I will say that some few months ago, investors were very bullish but now, I think they are cautiously observing. On one hand, some investors have been turned off, some other investors that we have been talking to, trying to make them see the more holistic picture, are remaining cautious. What would you say is the reason for them remaining cautious? When you are appearing on the international outlets and sending wrong messages to foreigners, it doesn’t send the right signals. It makes them wonder. In all, it depends on how news is being reported, as this creates perception, which has been the case since the nationlisation of our mining assets in the 70s. We have been a mining country, based on history. We had disruption in oil production due to the civil war, but mining was still there as we had a lot of foreign companies then in the 70s. All mining assets were indigenised , then the foreigners left and it is taking them a while to reconsider Nigeria. So when suddenly some sensational headlines are put forth in the news, it scares them away even more. So, we are trying to make sure that the narrative is well spelt out: that the Nigerian government is not trying to tell foreigners to leave mining, and

When you talk about gold, VAT is an issue on value addition, monetary policies and forex. Remember we are the first refinery hence we are dealing with issues that nobody has dealt with since there is no other gold refinery in the country. So for now in the sector of minerals, we at Kian Smith have to start finding the people even though they might not have the refining license who are interested to get into the value addition to come along and say, look we all need to work together to rebrand the perception of the industry internationally.

that the sector is well regulated. We are at a very sensitive stage as a country that we are trying to develop our mining assets; we are in competition with other countries in the region that have a stronger mining history. What is the potential of the Nigerian mining industry? The potential is great and I can give you like three minerals to think about. For tin, last year, we were among the top five in the world. It is interesting for the record as we don’t have a big tin mining industry in Nigeria, yet we still made top five, so it makes you sit down and think. The reason a place in Lagos is called Tincan Island is because of the tin. All the tin that was being produced in Plateau went down the railway which was being designed around our mineral deposit. Tin is a key material in the oil and gas industry because they use it for the pipeline. We are really on top of tin in Nigeria, not just in production, but also for the oil and gas industry. So often, the price of tin goes in line with the prices of oil and gas. So the potential is huge. For gold, you are already aware of the narrative and the kind of investments going into that space. Just take a look at those two minerals as we don’t need to produce all things. For instance, South Africa has been known for just two minerals which are gold and diamond. They have other things but are known for those two. So, as a mining country, we don’t need to think of the 44 that the government has identified. However, it is great to know that we have a lot more minerals than the two, but with just those two alone, I think the potential is vast. How marketable are Nigerian minerals in the global market? Let me speak on value addition for gold. Now, because there has been such a huge absence in the sector, there have been organisations and institutions that have taken up policies and guidelines for the definition

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What we at Kian Smith are really focused on doing right now is dealing with Nigeria’s reputation internationally as a gold producer and not just as a gold producer but as a legal, clean gold producer

of conflict minerals and scammers. In the absence of Nigeria being a big player, the people who make the rules are those who are buying, who are adding value and who are consuming. So the consumers are the ones adding value and have been the ones making the rules. When you look at it as a Nigerian, we produce tin, but are we really involved in IITRI (IIT Research Institute) and councils that are part of the conflict minerals resolution following the rules and standards? The answer is no. And it is the same thing for gold. For refiners of gold, most of Africans are not involved, so when there are discussions atOECD (Organisation for Economic Cooperation and Development), we are not part of it because Nigeria is not even an OECD country and the OECD is all about trade. Same thing with diamond; it is not us producing it that are making the rules, it is the people who are in the council and we have to be on the table to be part of the people making the rules and being able to follow the rules. Hence, it’s not about them producing the minerals or gold. What we at Kian Smith are really focused on doing right now is dealing with Nigeria’s reputation internationally as a gold producer and not just as a gold producer but as a legal, clean gold producer. So we are working hard, interfacing with the World Gold Council, and the responsible jewelry council and even going to the OECD responsible mineral chain in Paris. Sometimes people wonder why we are doing what we are doing and we say no, there is no business per se in being an ambassador for Nigeria’s reputation for gold. It is more of a long-term investment for us where our product will have international recognition. It is really marketing and branding because if you have a bad brand and we work better on it, before you know it, the

perception will change and people will say yes, in Nigeria they have good gold because they are seeing us around. So presently we are having issues in meeting the international standards but it is really perception on one side and absence on another,which we are working upon. For smaller miners of gold, funding remains a challenge. Will you support the idea of a designated bank for that purpose? I do not think the issue is with a bank. Banks deal with other people’s money and if you want to loan other people’s money out, you will have to think on how you will get the money back as per the guarantee. The issue that I think has been in the mining sector is that they are organised in what we think is their disorganisation. For example, what we have been doing in the last two to three months is to register them with CAC (Corporate Affairs Commission) as business and we are getting them to have bank accounts. Two banks are working closely with us, Stanbic and Zenith Banks. They are going across the miners in making sure that they have bank accounts. We have also been strengthening them on capacity building programmes and formalisation. But the more we look at them, the more we see some of them are really beyond formalising in co-oporatives. So what we are doing is looking at those bigger dealers and saying, forget cooperatives, become bigger business, and we are helping them on that. With this, you are sensitising the banks as they become open to these people, get to know them, and establish a better relationship with them. From there, the banks begin to understand the industry and see how they can lend them money. If the banks are working with Kian Smith and know this small miner is our supplier, and they can see the history of that person, it is easy for the banks to come in after they have understood the business, the industry and the clients. But for now, you can’t ask the banks who haven’t understood the business or known how they are going to hold the suppliers or the clients

to repay that loan to play effectively in that space. However, we are working greatly on that. Do you see government policies driving the industry to gain global recognition? I will say yes on one hand and no on the other hand. For example, Ministry of Mines and Steel Development has done their best in driving growth in the industry. They have policies on mining, formalisation of property and working with the private sector. That has been amazing. However, why I said no on the other hand is that a lot need to be done to propel the sector forward. The sector is a very interdependent sector and what is missing is that interwoven and interlinked agencies and ministries working together. That’s where I think we are lagging. But if you look at the Ministry of Mining and Steel Development, I will say yes, they are doing their best. Again, going by the value chain, we need to look at gold as a financial instrument. Right now, no one is looking at gold from that perspective. Looking at the monetary policies, the forex policies, import duties, VAT (Value Added Tax). All those are issues that are very strong for gold which are not being addressed. And in fairness, all those policies are not under the jurisdictions of the minister of Mining and Steel Development. It’s something that should be an interlinked effort. Honestly, the sector is very complicated and it’s not that nothing has been done but we will love to see more synergies among the various actors. Why have operators in the industry not come together to resolve some of these challenges? There is mining, there is processing and there is the retail. What Kian Smith is doing is that we are in every part of the value chain for gold. So when we say investors are coming into the industry, we should ask ourselves what sector? If we say the mining sector, then that was what I answered you earlier that the Ministry of Mining, Steel and Development is doing excellently. There is no issue there; the only problem is the interdependence among operators.

What should Nigerians be looking forward to when the gold refinery begin full operations? Nigerians should be looking forward to being on the map. Very soon, Nigeria will become a gold market in West Africa, meaning that we will be refining gold, producing gold, and supplying gold to the financial industry like the CBN (Central Bank of Nigeria). For us, this is now another complete sector that will be adding a stronger economic impact to the country and not just oil. So for the diversification of revenue for the country, this is one aspect to it. Furthermore, on the job side, it is really interesting for people to understand we are going to create jobs. The gold dealers, about 314 of them have registered under the CAC, each of these dealers has about 7000 people down the chain. So the first thing we will be doing is to fill up the gaps and work with the individual chain of supply with a lot of the people under them being formalised. The job creation that will arise from production and supplies will be exponential. Also, in revenue, we were just discussing with the minister of Mining and Steel Development that by helping some of these small miners to register, CAC has made money. Nigeria can save a lot with the 314 businesses that were created in about six weeks. Also, revenue will be made to FIRS (Federal Inland Revenue Service) as the 314 businesses have been

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The value chain overall is lacking and it is not just in gold, as you will also see that flaw in agro-commodities like cocoa, cashew brought into the tax net. So you can see all the benefits that will come to us in the country. What is going to be the production capacity of the refinery? The refinery will start with a production capacity of three tonnes per month of 99.99 per cent gold and one ton per month production of 99.99% silver. There are 15 ECOWAS countries of which only three are known not to be producing gold and they are Cape Verde, Benin and Togo and even from those 15, Benin and Togo are huge in trading, that is, they know them for gold trade, hence we could say that the only country that is not known for the gold industry in ECOWAS is Cape Verde. In the whole ECOWAS, we are a strong gold region and if this is compared to what we are doing here in Nigeria, the Nigerian market can take its place coupled with the

fact that ECOWAS already has a strong treaty for trade. With this, it is really going to change the dynamics not just for Nigeria but ECOWAS in general. So what we are doing is ensuring that people have a sense of fairness and not fear on how gold is going to work. By the end of June, part of what we will be doing at Kian Smith is that we are going to be among a group of people hosting the Gold West Africa Conference, which is going to be the first time ever. We are bringing the gold producing countries to Nigeria to meet and have a roundtable. We will be having the ministers from Burkina Faso, Niger, Mali, Senegal etc. If you look at the role that Nigeria is going to play even for gold across the West African region, we are a big brother in ECOWAS in general so we can do the same thing for gold trade. Dubai and India are not known for mining gold but they are known for gold trade all around the world, hence Nigeria needs to look beyond gold mining. It shouldn’t even matter if we mine gold in Nigeria. The fact that, all around us, our neighbors mine or produce gold, is a lot. Nigeria can become the Dubai of Africa because the appetite for gold is there, it is just left for us to harness that. What have been the challenges you faced coming this far? I will say it is the system in Nigeria. All the challenges we are going through in Nigeria are evident in every business and the things that we do. So you find that on one hand, there is a lot of distrust in anything that is new because it is not understood. And on the other hand, we have also seen a lot of acceptance. Honestly, the challenges have been numerous at every level. Another challenge we have faced is that people hear gold and they hear minerals and they resort to rent seeking without really understanding the gestation period. Gold mining is supposed to take about seven years. But people think mining gold is like oil and gas. I think such perception and understanding of the processes should be revisited. There are lots of challenges but we just need to focus on our goals. How has your relationship with the CBN been? It’s been good. Remember, they are a financial institution and don’t deal with things casually. However, they are very open in consultation to understand what is needed and the standard. We find them accessible as they should be and also conscious as they should be also. For the CBN, they have put forward the terms and the conditions for them buying gold which are clear to us thus, when we get started, we will meet their specific interests. How is Kian Smith’s relationship with Mowe, thehost community? It’s has been very good. That actually is a very unique situation for us. But then again, we are not mining. So maybe because our experience has been with the mining communities but this is not a mining community. We are only building a refinery there and people understand clearly that they are not the ones producing the minerals; the minerals are not coming from their land or their region and they also understand that there are other states where we can go to put up the facility. I think that has helped to balance it. We are even looking at some kind of community projects to embark upon in May even before we open. The community has been loving and peaceful and we are hoping that this relationship continues.

Friday 10 May 2019

BUSINESS DAY

HEALTH BUSINESS&LIFE

Nigerian pharmacists explore ways of attracting innovation into sector …as NAIP hosts 22nd national conference

ANTHONIA OBOKOH

igerian pharmacists are searching for disruptive innovations that can deal with the industry’s challenges, saying strategic re-positioning of the industry will make way for more innovations, increase capacity building initiatives and maximise production of competitive products for international markets. However, with respect to the pharmaceutical industry in Nigeria, adequate health care delivery still remains a major setback. Describing the challenges of the Nigerian Pharma Industry, Chimezie Anyakora, head of party, United States Pharmacopeia (USP) in Nigeria said that lack of vision and strategy have undermined the development of Africa’s most populous nation’s pharmaceutical sector. Other limiting factors include limited access to finance, inappropriate incentives and shortage of the requisite workforce. “Nigeria needs to develop strategic plan and funding to advance pharmaceutical access and package of incentives to spur local manufacturing and also make significant investment in industry workforce development,” he said during the 22nd Annual National Confer-

L-R Joe Odumodu, former DG, Standard Organisation of Nigeria (SON); Pharm. Ignatius Anukwu, national chairman, NAIP; Pharm. (Mazi) Ohuabunwa, president, PSN; Joe Akabuike, commissioner for health, Anambra State and Pharm. (Sir) I. K. Onyechi, MD/CEO, Alpha Pharmacy Limited, during the opening ceremony.

ence of the Association of Industrial Pharmacists of Nigeria, (NAIP). According to Ignatius Anukwu, national chairman NAIP, the conference is organised to discuss and come up with a work-plan that will enable the industry begin a strategic re-positioning in order to develop and produce more innovative and competitive products. “If this is achieved, the pharmaceutical industry will be able to contribute more to the Gross Domestic Products (GDP) of Nigeria and provide more medicines for local consumption while adding more value to her clientele,” he said. Also speaking at the opening remarks Mazi Ohuabunwa, president, Pharmaceutical Society of Nigeria (PSN) said that it was high time pragmatic

steps were taken to transform the industry, noting that the PSN is ready to work with NAIP and other stakeholders to change the narrative of the pharmaceutical industry. “Players in the pharmaceutical industry must know that there is no alternative to innovation if they want to save the industry, failure to innovate and change the way things are done in view of the present realities may lead to the death of the sector,” added Ifeanyi Okoye, group chairman/chief executive officer, Juhel Nigeria Limited who was represented by Pharm. (Sir) I. K. Onyechi Onyechi stressed that what may even be needed is revolution and not just innovation, adding that innovation most times are not embraced willingly but as a way to stay afloat and survive. He therefore charged

stakeholders in the pharmaceutical industry to be ready to do what has not been done before if they really desire to get positive change they desire. The four days conference themed, Disruptive Innovations: Unleashing The Nigerian Pharmaceutical Industry, held at the Banquet Hall of Golden Tulip Hotel, Agulu, Anambra State and also included health outreach programme in Omor Community. “I urge the NAIP and other stakeholders that desire transformation in their sectors to always be ready to work with government to get things done, stating, that without such collaboration, not much would be achieved,” said Joe Akabuike, the commissioner for health, Anambra State said while commending the association.

Western lifestyle major cause of diabetes among Nigerians - Expert SIKIRAT SHEHU, Ilorin

orried by the growing number of people suffering from Diabetes, Raji Akinwale, the head of Physiotherapy department, University of Ilorin Teaching Hospital (UITH), has called on Nigerians to imbibe the African way of maintaining healthy living. He attributed the prevalence of diseases among Nigerians to the adoption of Western lifestyle, which include the eating of junk foods noting that diabetes is not a disease that ordinarily should be common among black people. “Diabetes from the epidemiological data is not a disease that is common among black people, it was more rampant among white people but because we (blacks), want to change our culture and lifestyle like foreigners by taking junks and living a casual way of life, that’s how the prevalence keeps increasing, “ he explained. He further explained that most of food consumed in this part of the world is either rich in poly saccharine or mono saccharide, which makes people susceptible to the disease. “Excessive intake of carbohydrate and alcohol are responsible for the high diabetes rate among Nigerians in recent time. I believe if we can go back to our normal way of life that is the African method of doing things, African food and all those things, the prevalence will come down and the quality of life will be better,” he further said. Speaking on the topic “Diabetes, causes and pre-

vention in our society,’ Akinwale said the disease occur when there is an increase in blood sugar level or absence of insulin. “Diabetes is a chronic disease that can lead to diverse of other ailments in the body, which could lead to kidney damage, loss eye, among others. There are two types of diabetes, adding that Type one is congenital diabetes, which is hereditary and common among children and age 18 while the second one is due lifestyle and food intake”. On self-medication and drugs abuse in diabetic patient, he said it is the major challenge in recent time, most especially herbalists who will tell patient they have medication that can solve the problems of diabetes. “There is no cure of diabetics; you can only care for it so, if you believed there is any form of herbal medicine that can cure it is lie. It is a life threatening disease somebody can live with it for life if it is well managed so, we must be very careful.” Akinwale warned that having identified any symptoms of weight loss, excessive drinking of water, tiredness, inability to sleep well, limpness among others, the patient should see professional who specialised in diabetes for proper management. He counseled people to avoid alcohol, smoke, over stress, red meat, eating late and junks, as he even recommended taking fruits and eat food that is rich in fiber. Treatment he said it requires multidisciplinary approach which involves all medical professionals.

Nigerians to be given affordable international health insurance ANTHONIA OBOKOH

ollinson Group, a global loyalty and benefits company has partnered with Royal Exchange Healthcare to close the disparity in healthcare to offer affordable and accessible international health insurance product to the Nigerian market. Smart Health International Plan, which was unveiled in Lagos recently with the support of the Lagos state government, the insurance product, according to both partners that will provide Nigerians the opportunity to seek quality and adequate healthcare services abroad. “There are many critical health conditions that can-

not be managed locally, there was need to address funding of healthcare outside the country to ensure Nigerians get optimal and affordable care,” said Emenike Onwutalu, the Royal Exchange Healthcare Limited speaking at the launch of Smart Health International Plan. Onwutalu said the move to bring the product to Nigeria was driven by the estimated financial burden spent on out-of-pocket by Nigerians on medical tourism, which is at N400 billion yearly. “Today, our health system is facing a lot of problem in the area of finance by the private individuals. This out-of-pocket spending has www.businessday.ng

created huge financial burden on patients and their families and there is an attendant capital flight, which is of immense proportion. Another challenge is that for those who embark on medical tourism, a good number of them do not reality identify centres to get help and even when they do, the cost is so enormous that along the line they are abandoned due to their inability to afford this cost of treatment,” he stressed. Health insurance plan is one-way Nigeria can enhance universal coverage, therefore, efforts are being made to devise a strategy to extend the coverage to other states as well as those em-

ployed in other formal sector outside this federal formal sector, as well as those employed in the informal sector. Onwutalu added: “We believe that this offering we are bringing will impact positively in the lives of our people in terms of getting the right hospitals, affordability, psychology and all the areas that satisfies health. And at the same time reduce the capital flight we are experiencing at the moment.” Speaking on the health insurance packages, Michelle Emore the Head of International Healthcare Development, Collinson Group, said the plan provides solutions that covers services in which 60 per cent

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of Nigerians travel abroad to seek, as they include, treatment of cancer, diabetes, renal and cardiac surgeries, as well as complex bone orthopedic surgery. “Part of the services offered include, ensuring the patients welfare during treatment, locate appropriate hospital that provides quality treatment and interventions for positive outcome,” Simon Worrell added the Global Medical Director, Collinson. Worrell further added that the patients’ choice is paramount and we will arrange the forms for travels to the hospital and the medical teams will guide the whole process and follow gently the progress through to the @Businessdayng

intervention. “While we work with the best hospitals all over the foreign countries to ensure that the best and most appropriate interventions occur and when the patient is well, we will arrange for the repatriation back to Nigeria,” he said. Peju Adenusi, the General Manager, Lagos State Health Management agency, Applauding the initiative, said the product would complement the state’s health insurance scheme, which would enable Lagosians access quality and affordable healthcare, as she called for public, private partnership to drive the health of the nation forward and achieve the universal health coverage.

Friday 10 May 2019

BUSINESS DAY

HEALTH BUSINESS&LIFE Ramadan Travel Tips - your Journey by Air, Sea or Land

Q-LIFE FAMILY CLINIC

ADE ALAKIJA

s the Ramadan is one of the five pillars of Islam, Season and Holiest month in the Islamic calendar begins and holidays approach, abstaining from eating, drinking, smoking and sexual relations from dawn to sunset (Sawm) begins. Apart from leading to a greater “Taqwa”(Consciousness of God). Some experts claim that restricting food intake during the day can help to prevent health problems and improve mental health. If you have certain types of health issues (compromised Health), consult your Imam and Doctor to best advise you, because it can lead to low blood sugar levels causing reduced concentration and increased fatigue. The good news is that sustainable weight loss is only possible with regular fasting and any weight loss during Ramadan could easily be reversed once you return to your routine eating habits. The benefits of fasting outweigh the cons, and in the long run properly planned fasting even after Ramadan period can improve one’s digestive

system and general metabolism. Ramadan breakers will be looking forward to sunny destinations and a/or long week(s) of relaxation after or during the fast. Some may travel to tropical relaxation spots, like Cancum Mexico or South East Asia, while others may opt for bustling cities, like New York or Hong Kong and many may be visiting Saudi Arabia and other Middle Eastern countries many will be going to their towns and villages unaware of the dangers on route and at the destination. General Advice To Travellers: If you are travelling during this period, consult your Imam as to exemptions for travellers amongst other exemptions. Good preparation for family trips lead to less stress is better for your health, and it is also a sign of an organised and alert mind. Your To Do List is Essential. Do not leave the baby at home or in the airport. It has happened and will still happen so don’t be the one. Always do a head count for groups on the move at every stop. Fatigue and tiredness can play tricks with our minds especially whilst fasting. Make sure on the list you have your essential travel documents like Passports and Visa’s, Yellow Fever cards, Medicines and the expiry dates of passports, Visas and Medicines, Mobile phones and contact addresses.

NGO identifies three states involved more in genital mutilations in Nigeria AKINREMI FEYISIPO, Ibadan

Non-Governmental Organisation seeking to end female genital mutilation in the country, Value Re-Orientation for Community Enhancement, has revealed that seven local government areas in Oyo state are topping the list of highest case of female genital mutilation, FGM. According to the report of the investigation carried out, thirteen local government has been identified involved in genital mutilations in Oyo, Ekiti, Osun, the organization report says. Female Genital Mutilation (FGM) also known as female circumcision is the cutting or removal of some or all the external female genitalia. However, efforts by the United Nations Children’s Fund (UNICEF) and other partners to eradicate the prevalence of Female Genital Mutilation (FMG) in Nigeria appears unchanged as statistics indicate that the country ranks third highest among practicing countries in the world. The report further states that the local government areas are Oyo West, Orelope, Kajola, Ibadan North-East, Ibadan North, Akinyele, AFIJIO ,the organisation also disclosed that in Osun; Orolu, Ife East and Oriade local government areas have the highest prevalence while in Ekiti State;

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Ikere, Ekiti West and Ido-Osi local government areas have the highest. Revealing this, Ademola Adebisi, the group’s executive director, called on international agencies and government at all levels to ensure the full implementation of Violence Against Persons Prohibition Act. He condemned the poor implementation of the act which was signed into law in 2015, putting the lives of young girls at risk. Adebisi stressed that the girl child would remain unsafe if the Act was not fully implemented at the grassroots to stop female genital mutilations. “Also in the course of our investigation, we discovered that those who hide their children or even run away with them so as not to undergo the act are compelled to bring the children back home to carry out the rite or risk being excommunicated and ostracised or even called bastards. “A community leader also told us in confidence that some are brought back from wherever they are diabolically, just to carry out genital mutilations on their girl child as that is the custom. “It was discovered that perpetrators were now leaving the major city where they would be found, arrested and prosecuted for the villages to carry out the outlawed practice.” Adebisi said.

I have personally seen people arrive at airports whose passports and visas have expired. It is a frustrating horror, probably the end of the vacation/retreat. Also make sure documents do not expire during your trip. Carry just the bare essentials for the trip. Paper wipes or Antiseptic hand sanitisers, torchlights. Travelling by Air: Many travellers will be departing from the Airport. The start of your fun and ordeal, make sure you arrive on time and all documents are complete. The airport is usually a congested place and spread of disease is more likely. From the check in through security and all, the contamination levels can be high. Dirty shoes on conveyor belts. In the business class lounges and all food to be eaten and water to be drunk, inspect, smell and decline if suspect and not fresh. In the plane, do not let your young kids play in the toilet unsupervised. Head rest with yeast and mold can cause skin problems. Wear a scarf if possible. Viruses and bacteria circulating in the cabin increase your chances catching a cold and other respiratory infection. If someone is sneezing or coughing near you, try to hold your breath and dip your head down or use a handkerchief which may help reduce contaminants into your lungs. You can wipe down your tray table

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If someone is sneezing or coughing near you, try to hold your breath and dip your head down or use a handkerchief which may help reduce contaminants into your lungs

with sanitary wipes and please be careful of seat pockets some may have been contaminated with all sorts of items including soiled baby diapers. Don’t put anything like your cell phone and close use items into those pouches. Use 70 percent alcohol hand sanitizers as frequently as possible. Road Travel- Wilderness Travel the benefits of aerobic exercise in an outdoors environment cannot be overstated. Insulin sensitivity is improved, protective HDLcholesterol levels are increased, the bone mineral density increases, and there may be a reduction in anxiety and depressive symptoms. The journeys by road in Nigeria can be an enjoyable sprint or a nightmarish marathon. When you leave your house road to your village, Town or city you never can tell when you will arrive. Luckily with the advent of Google Maps which has become more reliable, dependable and accurate you can have a good idea of your arrival time. Journeys above 2 hours should come with a break. Treat as if you are travelling by air. Stop in a safe place to walk around, if you are stuck in traffic and cannot get out of your car you can carry disposable plastic bottles to urinate in. Pack food, plenty of water. • To be Continued Next Week

May & Baker provides free malaria test, drugs to Lagos residents KELECHI EWUZIE

ach year, it is estimated that about 300,000 Nigerians die of malaria related illnesses with urgent action required to address its prevalence. Globally, World Malaria Day, which takes place on 25 April each year, is an internationally recognised day, highlighting the global efforts to control malaria and celebrate the gains that have been made. The theme of this year’s celebration is #zeromalariastartswithme. In Nigeria, May & Baker, one of Nigeria’s foremost pharmaceutical companies, has been at the forefront of the campaign to reduce the burden of malaria through the introduction of several life-saving interventions, the latest being Malact, one of Nigeria’s most effective anti-malaria drug. As part of its corporate social responsibility initiatives on World Malaria Day to create awareness on the scourge, the company organized a free Malaria testing and drug distribution outreach for over 250 residents of Moshalashi Alhaja, Agege, a highly populated suburb of Lagos. The initiative also involved staff of May & Baker in partnership with the Lagos State Waste

Management Authority carrying out an environmental sanitation exercise in the community to promote awareness on how proper environmental management can help reduce the transmission of malaria in line with the theme of this year’s celebrations. Commenting on the campaign, Chukutem Chukuka, Executive Director, Pharma Sales and Marketing, May & Baker Nigeria said the medical outreach was designed to sensitize Nigerians about the scourge of malaria and guide them on how best to live a malaria free life. “As a leading pharmaceutical company, May & Baker is committed to the fight against malaria in Nigeria, primarily through several enlightenment campaigns in communities on prevention as well as the provision and distribution of high-quality antimalarial drugs at affordable prices. The 2019 World Malaria Day offers us another opportunity to reiterate the preventable nature of Malaria and introduce Malact, a Dihydroarteminsin-Piperaquine combination based formulation which ensures fast relief from malaria and guarantees better post treatment protection’, Chukuka said. During the medical outreach,

packets of Malact, the effective and fast relief anti-malaria drug was distributed to residents who tested positive for Malaria and in turn, they expressed appreciation to May & Baker for the programme. One of the residents of Moshalashi Alhaja, Agege who could not hide her joy is Yukura Ibrahim, a shop owner in the neighborhood. “I am indeed grateful to May & Baker for this medical intervention and awareness in my neighbourhood. I am a beneficiary of the free malaria testing and immediately received a pack of Malact to treat the disease after it was discovered that I had malaria. May & Baker is a pharmaceutical company that has become a household name and their presence here is responsible for the high turnout”, Ibrahim said. Another resident of the suburb, Taiwo Adekunle, said he didn’t know he had malaria until he was tested and found to be sick of the disease. He was subsequently given Malact to treat the malaria. “I am happy today that God brought May & Baker to this vicinity. I have received a lot of information on malaria and was even tested for free and they discovered I had malaria, unknown to me. We thank them for this initiative on a day like this”.

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

Friday 10 May 2019

BUSINESS DAY

Harvard Business Review

MANAGEMENTDIGEST

The bully in the corner office JOSEPH E. ALDY AND GIANFRANCO GIANFRATE

ilitary and sports opponents commonly consider a rival leader’s personality when mulling a competitive move, such as an attack. In business strategy, however, this element is rarely studied; firms are presumed to make strategic moves on the basis of competitive dynamics or microeconomic factors. New research looked for links between the personal bearing of CEOs and the incidence of competitive attacks against their firms. Drawing on the theory that victims in general tend to be either submissive and unlikely to fight back or so provocative

that rivals strike pre-emptively (think of schoolyard and barroom fights), the researchers coded publicly available videos

of 102 CEOs of Fortune 500 companies from 2010 to 2016, rating each leader on submissive and provocative tendencies. Then,

using news articles, they identified which of the executives’ firms had come under pricing, product, marketing or expansion attacks. They controlled for variables including the CEOs’ media prominence and pay; their firms’ size and financial performance; industry complexity; and whether the CEO was also chairman. The analysis showed that firms with CEOs rated as highly submissive or provocative were indeed more prone to be targeted by their counterparts, with perceived submissiveness making them especially vulnerable (gender did not appear to be a significant differentiator). Subsequent interviews with CEOs supported those findings. For example, one leader described a rival CEO as so lazy

and change-averse that his team focused on “picking off [his] customers one by one.” Just as antibullying initiatives take typical victim characteristics into account, training programs could use this work to help executives avoid drawing fire, the researchers say. “CEOs who are ‘too nice can be counseled to be considerate of this element,” they write, while “those with domineering styles ... can be trained to manage this characteristic.” ABOUT THE RESEARCH: “Second-Order Effects of CEO Characteristics: How Rivals’ Perceptions of CEOs as Submissive and Provocative Precipitate Competitive Attacks,” by Aaron D. Hill, Tessa Recendes and Jason W. Ridge (Strategic Management Journal, forthcoming)

The gender gap in startup success disappears when women fund women SAHIL RAINA MONEY n venture capital-financed, high-growth technology startups, very few entrepreneurs are women. News articles speak of sexism, a boys’ club and a toxic atmosphere for women in Silicon Valley. They suggest that’s why female entrepreneurs have trouble securing financing from venture capitalists. And that when they do get funding, female entrepreneurs cannot work effectively with their backers because of the male-oriented atmosphere. I set out to empirically examine the theories laid out in these news articles. I used data from Crunchbase, a crowdsourced database of high-tech startups’ activities. My research reveals two practical insights: — For female entrepreneurs, it’s important to know that securing financing from an all-male venture capital firm may drastically reduce their probability of a successful exit.

— For venture firms, it’s important to recognize that having female partners improves the chances of success for the female-led startups they finance. If you define success as an exit from venture capital financing via acquisition or an initial public offering, female-led startups perform much worse than male-led startups. About 17% of female-led startups successfully exit VC financing, whereas 27% of male-led startups do. That’s a large relative difference, amounting to over 37% fewer successful female-led startups than maleled ones. This finding is inconsistent with the notion that the financing biases of VCs are solely responsible for the low rate of VC-financed entrepreneurship among women. Interestingly, when you examine startups by the gender of their founders and their backers, you find that a potential driver of worse performance of femaleled startups is the ability by VCs to evaluate and advise them. In

particular, my research compares two groups of startups: those with initial financing from VCs with only male general partners, and those with funding from VCs with female partners. In fact, there’s a huge difference in success rates of female-led and male-led startups financed by these two groups. When startups are financed by all-male VCs, there is a whopping 25 percentage-point difference in the exits of female-led and maleled startups. Yet when startups

are financed by VCs with female partners, that difference disappears. These findings suggest that, somehow, VCs with female partners are better able to evaluate or advise female-led startups, or both, to the point that there’s no performance gap between startups led by women and those led by men. Given the ongoing debate about the role of gender in early-stage financing of firms, particularly in Silicon Valley, my

2017 Harvard Business School Publishing Corp. Distributed by The New York Times Syndicate

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research provides several important empirical insights. First, women’s participation in VCfinanced startups is indeed very low. Second, there is a sizable performance gap in startups led by men versus women. Third, and most interestingly, venture capital financing does indeed impact the performance gap. The performance of femaleled startups is markedly worse than that of male-led startups, unless they’re financed by VCs with female general partners. Then the difference disappears. If the goal is to have more successful technology startups led by women, it may not be enough to simply encourage more women to start companies. A crucial step to helping more female entrepreneurs succeed may be to encourage more women to join venture capital firms.

Sahil Raina is an assistant professor of finance at Alberta School of Business.

Friday 10 May 2019

BUSINESS DAY

AGRIBUSINESSINSIGHT Market Insights

Analysis

Commentaries

Experts/Industry Views

Commodities watch

Policy Reviews

Send in Commentaries to caleb.ojewale@businessdayonline.com

‘GMO foods not allowed in Nigeria without labelling’ The fear, real or imagined of Genetically Modified Organism (GMO) based food in Nigeria, appears to have been heightened in recent time, particularly with the widely reported permit granted for cultivation of GM beans. RUFUS EBEGBA, director general, National Biosafety Management Agency (NBMA), addressed some of these concerns in an exclusive interview with CALEB OJEWALE,

hat has the agency been doing to regulate GMO food in Nigeria? The National Biosafety Management Agency was established in the year 2015. Our purpose is to ensure that the activities of modern biotechnology and the use of its products that are genetically modified do not have any adverse effect on the environment and human health. The agency has the mandate to regulate genetic engineering and its products. In doing this, we look at safety from two angles, one, to the environment, and the other, to human health. In the area of environment, we make sure that any genetically modified organism, before it can be confirmed safe for any purpose, will not cause harm to the environment. We ensure living organisms in the area it will be deployed will not be threatened, and for the genetically modified organisms not to become dominant or invasive that it causes total eradication of other living organisms. Also, if the genetic modification is for specific target, it must not go beyond that target. For instance, if it is for insect or pest resistance, it must not affect other insects but specific to that particular insect posing a threat to it. Also, we ensure genetically modified organisms do not become super organisms that will now make other organisms uncomfortable or even human beings. We also look at the safety to human life, and GM product must not cause toxins or allergic reactions. We also look at the organism itself whether it has substantially deviated from its natural counterpart. It must not be different from the one not genetically modified in a substantial way apart from the gene of insert. We have also developed various regulations in accordance with the 2015 NBMA act, in areas including transport, packaging, and also labelling. We developed various guidelines to ensure that operations of the act itself is made easier, and developing other guidelines not contained in the act, as it ought not to be a bogus document. Our regulations and guidelines have expanded operation of the act. One other thing we pride our self for is the establishment of the genetically modified detection and analysis laboratory. The lab has some of the best facilities one can think of in detecting any small material that cannot be physically examined. The laboratory is used to confirm the status of any genetically modified organism and to train the staff. We have also decided to use it as a means of training critical mass of Nigerians, because we believe that over time, we need to recruit more staff, and as some are retiring, new ones will come in. The essence of the agency is majorly to ensure that GMOs are safe for the environment and to human health. What is the requirement in labelling of GMO products so that consumers can choose if they want to consume it or not? The NBMA act itself prescribes that all Genetically Modified Organisms must be labelled. If this is not done and released commercially, it constitutes an offence. We have also come out with a labelling regime under our regulations, which includes how to label each particular GMO. Labelling is very mandatory. However, I know that some people have said there is no labelling requirement in Nigeria, and that we have not made it mandatory , this is false. Labelling is very

2009. It has been undergoing confined (experimental) field trials since 2009 before it was formally approved in 2018; which is a period of nine years. The initial application was before the ban of beans (around 2016) for excessive chemical residue. The truth is, if genetically modified beans is accepted by farmers, there are advantages, but I am not here to canvass those advantages. My interest is in the safety. We have to be sure it is safe not only for human consumption but also the environment. So far, the beans is safe and will not pose any problem to the environment. How long before the GM beans is available in the market? We cannot really say. We have finished with our own aspect of it, but there are other extant requirements to be met such as the varietal release requirement, and the National Agricultural Seed Council will also examine the viability of the seed in line with

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Rufus Ebegba

mandatory for consumer choice. Which GMO permits have been granted so far? We have granted permits for the use of genetically modified grains notably maize and soybeans, almost 12 of such. The importers of grains have been bringing in genetically modified grains over the years without them even knowing they are genetically modified. Working with the Nigerian customs service, we have been able to determine that some of these grains are genetically modified. We work with the Nigerian Customs Service to ensure that any grain coming from particular countries where GM grains are grown, are especially subjected to testing. The permitted GM grains are basically used to produced feed for poultry and other animals. Also, the soybean is used for production of vegetable oil. We grant those permits after carrying out the risk assessment and find them safe. Products made from such grains are supposed to be clearly labelled that GM crops were used as raw materials. What has been the level of compliance with labelling? This sector is still very new (in Nigeria), so we decided initially to use the policy of selfregulation, and self determination to be able to declare, and we realised it worked in some instances. However, the superstores, some of them have genetically modified foods in different forms. These had been approved

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Importers of grains have been bringing in genetically modified grains over the years without them even knowing they are genetically modified

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by sister agencies, but we needed to know the gene of insert so we carried out a survey and discovered there were quite a number of those products containing genetically modified ingredients. We had meetings with managements of the superstores and we were able to agree they must apply before they bring in those materials. In achieving expected results, we have MOU with NAFDAC to ensure we work in synergy to prevent infringements on each other’s responsibilities. On the issue of total compliance, we were alerted by the Customs service about a year ago, that a shipment of genetically modified maize of about 90,000 metric tonnes came to Nigeria without approval. We requested that the shipment be repatriated, and this was done, even though the defaulting importers later applied and followed due process. One thing we try to do in the area of bio safety, is enlighten people that genetically modified organisms cannot be recognised on their face value unless through testing, or labelled to contain genetically modified ingredients. It is not something to be allowed if it is not safe. The expertise required in differentiating is why we have to do more due diligence in ensuring these materials are safe before they are allowed into the environment. If not we will also find them on our tables. There have been more permits for maize and soybeans, why these two crops? Maize and soybean are major staple foods, internationally, and even within the Nigerian context. So, those are crops usually genetically modified for insect resistance, herbicide tolerance and so on. GM of both crops are very common and large quantities are being produced. They are in high demand for food and feed, and that is why many people go for them. We also have genetically modified cotton, scanola, and some other crops. For now, what people import more in Nigeria is GM soybean and maize. The GM beans recently granted a permit, could it be described as a response to the EU ban? Not necessarily. I was a staff at the federal ministry of environment, and the application for the genetically modified beans was filed in 2008, with the permit granted in

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Genetically modified organisms cannot be recognised on their face value unless through testing or labelled to contain genetically modified ingredients their law. In essence, requirements involving other agencies have to be met before it is allowed to finally get into the market. What is required to enable your agency do more? The issues surrounding bio safety are very dynamic. Currently, genetic engineering is taking a new dimension and there are new aspects of it that are emerging such as gene editing and gene drive, with some people suggesting these do not require regulation. The national assembly has proposed amendments to the agency’s act, with an inclusion of gene editing, gene drive, synthetic biology, and even bio security. Consequently, there is a possibility that the agency may be enlarged with more responsibilities. The agency is about four years old and we need to grow beyond where we are, all of which boils down to additional funding. There is an approval for six zonal offices, and for now two will take off but we are still seeking accommodation from state governments in the other locations. However, I am happy that the current administration has given the agency very good support. Given that, we are a new agency and getting to this level, it shows serious political will on the part of government. This agency actually took off with this administration and it has been able to grow as part of its achievements, to ensure that in the area of food security, the food is not just going to be available but also safe for the people. Another challenge is that of accommodation. We are here (National Parks Services headquarters) on a temporary basis, but I am very happy that the minister of environment has just written to the president to consider the possibility of them giving us a more befitting accommodation, so that we can better discharge our responsibilities.

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Friday 10 May 2019

BUSINESS DAY

Hotels

Radisson Blu remains Africa’s fastest growing hotel brand Stories by Obinna Emelike

adisson Blu has for a second year in a row, secured the leading position as the hotel brand with the most hotels under development and the most hotel deals in its pipeline in Africa, according to the recently published 2019 W Hospitality Pipeline Report. Radisson Blu, part of the Radisson Hotel Group™, took over as the fastest growing hotel brand in Africa last year and has for a second year claimed the title with the recent release of W Hospitality PipelineReport2019, the most authoritative source on the growth of the hotel industry in Africa. The report has ranked Radisson Blu as the leading individual hotel brand with the highest number of hotel deals and within this pipeline, the largest number of rooms and proportion of its pipeline actually under construction, in Africa. The Group’s upper midscale brand, Park Inn by Radisson, has also entered the same top 10 brand list, securing the fifth position. “We are thrilled to see our flagship brand, Radisson Blu, continuing to lead

the way in Africa with the most hotel deals signed and the most hotel rooms under construction, than any of the other 120 hotel brands it was ranked against. This is a true testament of our agility as a hotel group, as we can move quickly from deal signing to hotel opening. As referenced in the report, we had several hotels which were signed and opened within the same year. This is aligned with our development strategy, as we expect our future growth to arise from existing hotel takeovers and new build hotels. With economic headwinds in some African markets, we have identified further opportunities to exploit our vast

knowledge and experience in converting unbranded, underperforming hotels, offices or apartment buildings and reposition them to the right brand and market segment within the Radisson Hotel Group brand portfolio,” says Andrew Mclachlan, senior vice president, Development, Sub-Saharan Africa, Radisson Hotel Group. This growth has spiked Radisson Hotel Group’s portfolio in Africa to 99 hotels (20,500+ rooms) in operation and under development across 32 countries. “We aim to add a further 12 hotels to our African portfolio this year, which will take us well over the 100 hotel mark

by year end and confidently on our way to securing 130 hotels by the end of 2022.Our five-year development strategy focuses on creating scaled hotel growth in key cities and resort locations across Africa. With a focus on scaled growth in key locations across Africa, we can offer guests multiple hotels across different brands and market segments, at various price points and improved local hotel performance with strong local procurement and cluster select services in the same city.” “Cape Town, Johannesburg and Lagos are our three gateway cities in sub-Saharan Africa where we aim to have scaled growth and an ambition of up to 10 hotels within the same city. Dakar, Abidjan, Douala, Luanda, Nairobi, Dar es Salaam and Addis Ababa are cities where we aim to have between three and five hotels due to the size of the economy, market, long-term fundamentals and supply and demand opportunities. In addition, we are not ignoring the smaller cities and larger towns across Africa where we’ve identified potential to penetrate the market with either our midscale Park Inn by Radisson brand or upscale Radisson,” concludes Mclachlan.

Top BusinessDay Partner Hotels Four Point Hotels (Oniru Chiefatancy Estate,Lekki)

Transcorp Hilton Abuja 1 Aguiyi Ironsi Street Maitama, Abuja Tel: +234-708-060-3000

The Wheatbaker #4 Onitolo(Lawrence Road), Ikoyi, Lagos. Tel: 01 277 3560

Hawthorn Suites by Wyndham Abuja 1 Uke St, Garki, Abuja. Tel: +234 9 4603900, +234 805 7522500

Lagos Continental Hotel Plot 52, Kofo Abayomi St, Lagos Tel: 01 236 6666

Radisson Blu Hotel Ikeja #38/40 Isaac John St, Ikeja GRA100271, Ikeja Tel: +234-908-780 5555

Transcorp Hilton Abuja prepares youths for careers in hospitality …hosts career fair to showcase opportunities in hospitality

ranscorp Hilton Abuja has announced the kick-off of Careers@Hilton Live: Youth in Hospitality Month, Hilton Worldwide’s largest global career event. Throughout the month of May, the hotel will be hosting series of events with the purpose of informing those looking for employment, including young people, about the exciting opportunities available to all in the hospitality industry. The initiative is part of Bright Blue Futures, a global program

that encourages Hilton Team Members to donate their time and expertise to help young people pursuing professional development. On May 7, 2019, the hotel hosted a Career Fair dedicated to youth, to enable their interaction with Team Members and familiarize them with Hilton’s organizational culture. Over 300 students drawn from 15 secondary schools in Abuja participated at the Fair. Also in attendance at the Fair were 45 young men and women who will be

Transcorp Hilton Abuja management team with 45 interns www.businessday.ng

taking part in a 4-week hospitality internship program in the hotel. Participants were able to take part in a guided tour of the building, followed by a Departments Fair with professionals from all areas of activity at the hotel. Through career speed networking, Team Members shared advice on the skills and attributes participants need once they embark on their chosen careers. Careers@Hilton Live events are a unique opportu-

nity for Hilton Team Members to inspire and encourage those interested in the hospitality industry. In his remarks, Kevin Brett, general manager Transcorp Hilton Abuja, said: “Young people continue to face challenging employment prospects, so it is more important than ever to make sure they receive information and advice about the options available and the skills and attributes they will need once they embark on their chosen careers. We are passionate about raising awareness of the opportunities the hospitality industry offers and we are delighted to be doing this during the month of May when we are celebrating 100 Years of Hilton.” “The activities we have put in place for this year’s Careers@Hilton are a great way to engage and inspire the youth and we are delighted to be part of such a fantastic initiative,” said Omorinsola Sofola, director of human resources, Transcorp Hilton Abuja.

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Best Western Hotel Hotels 12, Allen Avenue C/O Funmi (Front Office Manager)

Radisson Lagos Ikeja #42-44 Isaac John Street, GRA Ikeja, Lagos

Radisson Blu Anchorage Hotel 1A,Ozumba Mbadiwe,Victoria Island. @Businessdayng

Friday 10 May 2019

BUSINESS DAY

INSIGHT

PenCom’s N7.42bn RSA remittances signpost hope As the National Pension Commission (PenCom) releases the Retirement Savings Accounts (RSA) remittance data for the fourth quarter of 2018, the data show that PenCom remitted N7.42 billion into the RSA within the period. The breakdown reveals the funds were remitted into 966,155 employees’ accounts, out of 2,044 organisations, but the private sector still controls the larger proportion of RSA, writes Osa Victor Obayagbona.

eyond the RSA remittances, PenCom has for years taken major steps towards deepening the pension industry and protect contributors’ investments. The PenCom’s RSA N7.42 billion remittances for the fourth quarter of last year raise lots of hope for pension contributors and the industry. It also shows the private sector is still ahead of public sector in terms of RSA remittances. The PenCom exists for the effective regulation and supervision of the Nigerian pension industry to ensure that retirement benefits are paid as and when due. According to the report, PenCom received a total of 3,046 applications for the issuance of Pension Compliance Certificates, out of which 2,044 were approved and issued. Also, 1,002 applications were rejected for failing to meet appropriate requirements. The report shows that the cumulative number of applications received during the year was 16,536 out, of which 16,100 were approved and issued certificates while 436 were rejected. PenCom reiterated that it continued to apply various strategies to ensure compliance with the provisions of the Pension Reform Act of 2014. The pension industry had achieved a 1.63 per cent growth in the scheme membership during the fourth quarter of 2018, moving from 8.34 million contributors at the end of the preceding quarter to 8.47 million. The report shows that the growth recorded in the industry membership was driven by the RSA Scheme, which had an increase of 138,236 contributors representing 1.64 percent. The RSA registrations also grew by 0.82 percent (29,455) in RSA membership from the public sector to stand at 3.6 million. The figure represents 42.92 percent of the total RSA registrations. Also, the private sector membership rose by 2.32 per cent (108,781) in the quarter under review, which brought total registrations from this sector to 4.8 representing 57.08 per cent of total RSA membership. This growth can be attributed to the increased level of compliance by the private sector. Further analysis of the report showed that the commission received 1,282 applications for transfer of Nigeria Social Insurance Trust Fund (NSITF) applications totalling N56.78 million. PenCom stated that stated that all applications received were processed and transferred to the RSAs of the NSITF members. From inception to December 2018, N19.64 billion had been transferred to the RSAs of 272,463 NSITF contributors. PenCom, under Aisha Dahir-Umar, its director-general, maintained that the services of Recovery Agents (RAs) for the recovery of outstanding pension contributions and penalty from defaulting employers. The RAs were mandated to review the pension records of the employers assigned by the Commission with a view to recovering outstanding pension contributions with the penalty. Therefore, for the period under review, the sum of N365.56 million was recovered by the RAs. This brings the total recoveries made by the Agents from the inception of the exercise in 2012 to date to N15.36 billion, representing the principal contribution of N7.87 billion and penalty of N7.49 billion. As more pensioners join CPS The PenCom says it has enrolled no fewer than 8.5 million people into the Contributory

Aisha Dahir-Umar

Pension Scheme (CPS) since its inception 15 years ago. Peter Aghahowa, PenCom head of communication department, disclosed at the just concluded 30th Enugu International Trade Fair. The scheme introduced in 2004 by the federal government was a process where certain percentage of enrollees’ salaries was saved on monthly basis in a pool with the employers also contributing. The scheme had PenCom as the regulatory body with Pension Fund Administrators (PFA) working in their behest. Aghahowa said the scheme had made the life of retirees much easier, unlike the defined benefits scheme, which it replaced. He, however, said it was sad that in spite of the enormous advantages inherent in the scheme, some state governments had yet to embrace it to make life better for retirees in their respective states. “The federal government went into the contributory scheme as the old scheme became unsustainable due to huge debt deposits. “This new scheme is funded ab initio and it reduces the financial load on government,” he said, saying it had become imperative for every state of the federation to queue into the scheme for easy pension administration. The PenCom spokesperson, however, said in spite of current challenges facing certain pensioners under the old scheme, more funds were being released for pensioners that started under the defined benefits scheme. Protecting enrollees’ investments PenCom has barred pension fund administrators from investing in the bonds of nine states that have yet to amend their state pension laws and join the CPS. Findings also revealed that this restriction might be extended to 15 other states that had joined the CPS, but were not showing full commitment to funding the Retirement Savings Accounts of their workers. The CPS was established under the Pension Reform Act to replace the Defined Benefits Scheme (DBS). This was because the DBS had huge liabilities, which were not being funded, leading to situations where retirees endured long waits

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to get their entitlements, while many of them died without being paid. Unfortunately, the same scenario, which was prevalent in states operating the DBS, is now happening in the states operating the CPS due to poor funding of the scheme. Aghahowa said the commission could not impose the CPS on the states, but could only use moral suasion. He said, “The states have to enact the laws to do the CPS because they are going to operate based on the provisions of the laws. We can only encourage them because of the benefits in the scheme.” According to him, if any state plans to raise funds through pension bonds, it must have met the CPS criteria before it could have access to such. For now, he said, those that had not enacted the laws were being encouraged to do so. “We don’t invest in bonds of states that have not enacted their laws. We have some that are not complying properly, some are complying partially. I believe we will review some of those things again. But for now, if you have not even enacted any law, don’t think we will start investing in your bonds,” he said. PenCom’s other achievements PenCom has deployed the RSA Multi-Fund Structure conceived by the commission to align with contributors’ risk appetite with their investment horizon, at each stage of their life cycle. The RSA Multi-Fund Structure are to achieve optimum returns for contributors by aligning their pension savings with their individual risk/return profiles, provide investment portfolio choices to Contributors, and enhance safety of pension assets through adequate portfolio diversification, through increased investment in equities and alternative assets, such as infrastructure and private equity. We have recorded some successes so far. As of December 31, 2018, the RSA Fund had been successfully split into four funds, while the sensitisation of RSA contributors is still ongoing to create awareness on the features of the RSA Multi-Fund Structure. At present, RSA contributors now have the opportunity to choose a Fund that best suits their risk-return profile. Recovering framework The commission, in line with the provision of the PRA 2014, has developed a Framework

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The appointment of Recovery Agents, RAs, to recover unremitted pension contributions plus penalty has been largely successful. It has boosted the confidence of contributors and encouraged nonparticipating employers to embrace the scheme

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for Recovery of Outstanding Pension Contributions with penalty for defaulting employers. Based on the Framework, the commission has engaged recovery agents for continuous enrolment into the CPS and recovery of unremitted pension contributions plus penalty from defaulting employers. The recovery, which has been largely successful, has boosted the confidence of contributors and by extension encouraged non-participating employees and employers to embrace the Scheme. Through the initiative of recovery agent, N15.31 billion, representing a principal contribution of N7.85 billion and penalty of N7.46 billion has been recovered from defaulting employers. Both the principal contributions and penalty have been credited into the workers’ RSA accounts. The penalty is meant to compensate for the income that would have been earned if the contributions were remitted as and when due. The commission is also prosecuting recalcitrant employers who fail to remit their employees’ pension contributions into their RSAs. As of today, the commission has instituted legal actions against 167 recalcitrant employers. Of that number, 78 have opted to settle out of court, 34 judgments have been obtained and 23 are at different stages in the courts. Besides, the commission has a fully functional Complaints Monitoring and Resolution Team, which attend to complaints on non/ late/under-remittance of pension contributions into employees RSAs. The Framework also outlines the strategies being adopted to drive compliance. The strategies include the appointment of consultants to review the pension records and recover unremitted pension contributions and penalties from defaulting private sector employers. Other strategies are the issuance of Pension Clearance Certificates, Complaints Resolution and Monitoring of Compliance through onsite inspection of employers, Public Awareness, Engagement and Collaboration with social partners and relevant stakeholders. The implementation of these strategies has improved the level of remittances of pension contributions by the private sector employers. The appointment of Recovery Agents, RAs, to recover unremitted pension contributions plus penalty has been largely successful. It has boosted the confidence of contributors and encouraged non-participating employers to embrace the scheme. Also, the enactment of the Pension Reform Act, PRA 2014, which mandated the participation of employees of the public service of the Federal Capital Territory, States and Local Governments as well as the private Sector in the contributory Pension Scheme, the PenCom has consistently been engaging various state governments, trade unions, relevant stakeholders and the general public on the full benefits of the CPS with a view to bringing them to full implementation of the scheme. Furthermore, the Commission drives compliance by private sector employers through public awareness campaigns and engagement. This initiative aims at educating employees/employers and expanding the coverage of the Contributory Pension Scheme. In addition, the Commission monitors compliance through onsite inspections to ensure that employees of private sector organisations open Retirement Savings Accounts, RSAs and pension contributions are remitted as and when due.

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Friday 10 May 2019

BUSINESS DAY

entertainment

Eyes on Nigerian-French movie distribution deal OBINNA EMELIKE

ometime in April the Nigerian movie industry, better known as Nollywood, and Cinema of France, the French movie industry, decided to collaborate to move both industries forward. Of course, despite their differences and strengths, both have some time to learn from each other. Well, the welcome development was furthered with the signing of a mutual agreement that will boost movie distribution between Nigeria and France. The agreement also created French-Nigerian Film Distribution Conference; a platform that offers industry representatives from both countries to showcase movies to audiences across the two film industries. With the distribution conference, Nigerian distributors will be collaborating with big time French distributors such as Pathe, Studiocan and Bacfilms, while French distributors look to the likes of Fil-

Scene from 76 movie

mOne, Silverbird Distributions among other top Nigerian film distributors. The distribution deal is imperative, especially with the pervasive nature of ICT, online distribution/exhibition of movies, which has created regulatory nightmare for the National Film and Video Censors Board (NFVCB). However, taking a closer look at the distribution deal, Nigeria’s Nollywood stands to gain more. Cinema of France is boost of over 5,000 screens, which

h av e e n t e r t a i n e d t h e French cinematic audience for decades and running, whereas, Nollywood has just 200 screens, though an improvement on 39 screens across the country about three years ago. So, with the deal, Nollywood stands a better chance to reach a wider audience, especially in Europe, using Cinema of France’s over 5000 screens. It also offers a veritable platform to showcase cultural heritage, tell the African story, and change

Two years after, Omoni Oboli wins copyright case, sues for damages

wo years after a long legal tussle, Omoni Oboli, popular Nollywood actress, has won a case of copyright filed against her by Jude Idada and Chioma Onyekwe of Raconteur Productions. It will be recalled that Jude Idada and Chioma Onyekwe of Raconteur Productions got an interlocutory injunction from the Federal High Court preventing Filmone and Dioni Visions from showing the movie, Okafor’s Law. The judgment led to the premiere being can-

celled on March 24, 2017. But on May 2, 2019, Justice Buba of the Federal High Court, (Lagos Division) said the plaintiff failed to adduce sufficient and credible evidence to prove ownership and authorship of the screenplay and the script of the feature film, Okafor’s Law, Law thereby the case was dismissed. Reacting to the development, Oboli said, “The recent judgment by the Federal High Court, Lagos Division in the above case demonstrates our court’s

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commitment to do Justice without fear or favour. It is also a testimony that our judiciary comprises of Judges of very high integrity, who possess the ability and intellect to assimilate, digest and patiently apply the facts and the relevant laws. “This judgment has reinstated my implicit confidence in our judicial arm of government and reechoed the truism that the Judiciary remains the last hope of the common man. “I am grateful to the law firm of Alegeh & Co. for their dexterity, professionalism and sound legal representation which culminated in our victory in court. I also wish to thank my colleagues in Nollywood, family, friends and fans who believed in our cause and remained steadfast in the face of the lies and untruths that were spoken against us. This legal victory is dedicated to you all”. Omoni has had earlier counter sue the plaintiff and is determined to pursue the case to a logical conclusion.

the Africa narrative for the European audience. Moreover, the French film industry is acclaimed to be living ‘La vie en rose’ (life in roses), so, the exchange will expose its Nigerian counterpart to such life or ignite ambition to attain it. The stakeholders here will also gain from the symbiotic exchange agreement. It will offer them opportunity to interchange ideas, talents, and stories. Again, the French-Nigerian Film Distribution Conference will foster boom

in cultural exchange and training. Also, film productions, coproduction, upgrade in filming skills and equipment are some of the other benefits. The NFVCB thinks the mutual agreement will draw technical support from France to make the sector strive with piracy effectively nipped, though piracy is not directly within the regulatory purview of the NFVCB. To kick-start the agreement, already both parties have conceived ‘FrenchNigerian Cinema Days’, to screen and showcase the two countries movies, as part of the distribution conference scheduled to hold later in the year. For Adedayo Thomas, executive director, NFVCB, the collaboration presents a platform where investors, producers, distributors and other stakeholders in the motion picture industries of both countries could meet for mutually beneficial deals. Arnand Durnon, director, Institue Francaise, thinks same. Durnon sees the platform as a common ground for both countries to grow

their film industries, contribute to their economies and also strengthen bilateral relations. It will be recalled that the relationship between Nollywood and the Cinema of France has been on for a long time. At the 2018 African International Film Festival (AFRIFF), which held in November, there was a French Embassy Showcase while French film professionals hosted a full day panel discussing financing and distribution opportunities, in the hope that it will help the Nigerian movie industry. Also, top Nigerian filmmakers such as Kunle Afolayan, Tunde Kelani and Femi Odugbemi have had dealings with the Cinema of France in one capacity or the other. Many Nigerian films have screened at Cannes Film Festival, among other top film festivals in France. However, stakeholders are urged to take advantage of the French-Nigerian Film Distribution Conference as global movie business now adopts the coproduction and exchange model.

Game Of Thrones at play as Xqwizit Solution hosts event couture

oremost event and ushering agency, Xqwizit Solutions penultimate weekend hosted stakeholders in event and party industry to an evening of fashion, food, network, laughter and entertainment. Tagged ‘Event Couture 2019’, the event was created to showcase and further propel the emerging fashion trends in the Nigerian event staffing industry. The production provided a platform to the wide array of unique event staffing agencies by giving them a stage to showcase their ushers, models, costume and other unique offerings. The event had in attendance event staffing agencies, event planners, prospective corporate event organisers, wedding clients, and other social event clients and stakeholders in the ushering industry. The fashion show offering of the event featured new and existing collections from top event staffing agencies including Xqwizit Solutions, The

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Oiza Company, BH Ushers, Sally’s Events & Ushers, Polished Stones and Bling Diamonds. One of the highlights of event was the debut and unveiling of Association of Professional Ushers in Nigeria (APUN). The association hosted a seminar titled ‘The quintessential elements of the ushering industry; the past present and future, with seasoned speakers from E xper iential Marketing Association of Nigeria, the CEOs of Oiza, BHUshers and Helen of Troy. Event Couture intends to make community contribution service a top priority, and therefore the fashion @Businessdayng

show gave an opportunity to Diamonds in the Rough, a local charity foundation targeted at young female adults to showcase their brands to target audiences with a sophistication and appeal. With the inclusion of philanthropy to the show, Event Couture strives to be a staple in the world of events fashion; introducing new and undiscovered talent one show at a time, and promoting the idea that everyone deserves a chance. The show closed with a unique showcase of outfits from the Game of Thrones TV show by Xqwizit Solutions to a rousing applause from the audience. Adejoke Adegun, the convener and MD of Xqwizit Solutions, said that, “Event Couture is set to be an annual event and hopes to become a platform to showcase the unique offerings of the growing ushering industry as ushering has largely become a legitimate way for young men and women, especially students to make money’.

Friday 10 May 2019

BUSINESS DAY

entertainment

Raise your confidence Business etiquette

Janet Adetu

ife waits for no one they say, It is simply a case of braise yourself, be bold and take that giant step to where you are aiming to be. Yes, if you remain where you are, nothing will change, everything will stay constant. It is time in the midst of these challenging times to step up your game. Easier said than done I hear you say, nevertheless I would say just do it! Needless to say, there will always be that hurdle that needs to be jumped, crossed or scaled before you can reach the level of starting the journey of stepping up your game. This big hurdle you may find is more intangible than tangible, and it starts with you all in the mind, I mean it is all about having, building or nurturing your Confidence. The readymade recipe that we all need to face if we are to step up our game.; ‘Confidence’ that huge belief in yourself and your ability, the big difference between success and failure. Is it automatic for some and completely absent for others? The answer is both ‘Yes’ and ‘No’, even the most confident go through bouts of fear and anxiety, all depending on the circumstance. Confidence is not a given it must be worked on all the time, once again a state of the mind. If we have to put a little definition in place for the sake of clarity, confidence is the true belief in yourself and your ability.

At times, confidence may be impacted by your upbringing, past experience, bullying, trauma, social media impact and many more. You dampen your confidence when you begin to look down on yourself and your abilities, you make excuses for your weaknesses, preferring another person’s lifestyle, success rate and life’s circumstances. Since we are talking about ‘YOU’ stepping up your game, making the most of all situations, thinking out of the box and moving to the next level I realize that confidence has different meanings and purposes to everybody, It can be real, pretence or unjustified, It is exhibited genuinely when you have no choice but to show that you are on top of what they are doing. You pull yourself together and do your best. It is considered pretending when clearly you are putting up appearances, to simply get the feeling of belonging, at times it may be exaggerated. It is unjustified when you all you want is to be noticed loud and clear, drawing undue attention towards yourself. What does confidence mean to you? Positioning Your Confidence 1. Confidence is free for all who

desire it, built overtime 2. Everyone can develop confidence in themselves. It is built over time.

3. Confidence is exhibited in varying degrees depending on the circumstances. You may talk confidently on the phone but be challenged talking face to face with a group of people. 4. Confidence is not about bragging or boasting, it should be real and justified. 5. Never hide behind confidence, we can see right through you. Feel free to be nervous initially, but once settled confidence will set in. Applying Your Confidence Appearance Stepping out with confidence is first seen in your overall appearance. Many people are still challenged by the image they leave in the mind of those that meet them. Though, beauty is in the eyes of the beholder, it goes beyond just the clothes. You are as attractive as you care to accept you for who you are. Your choice of clothing, colour coordination are important but more so how you carry yourself, posture, presence and polish. How do you look in pictures? Will someone want to meet you if they saw you picture anonymously? Does your appearance put others off? It is time to discover your own style, the one that makes you feel comfortable. You know your image weaknesses begin to work on them now. If you need assistance seek professional advice or hire an image consultant.

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You dampen your confidence when you begin to look down on yourself and your abilities, you make excuses for your weaknesses, preferring another person’s lifestyle, success rate and life’s circumstances

Interpersonal Skills So many people cringe when they meet strangers for the first time. It could be for the fear of the lack of trust that comes to speaking with those you are unfamiliar with. Nevertheless it is in your best interest to leave a good impression behind for when you eventually het to know that person where necessary. It is simple smile more often, greet always, shake hands if the

occasion warrants and if you must kick off small talk. Drop all forms of shyness and up your game by stepping out of your comfort zone. Attend more networking gatherings, build your relationships and begin to grow your net worth. Spoken Voice Your confidence is in what we hear you say, whether the audience is two or twenty people or a crowd, as the saying goes - ‘practice makes perfect’. Your voice is one of your most important power points. You can make or break a relationship or potential acquaintance based on your virtual image, that being your voice. It is time to be familiar with your own voice, listen to it more. Start with a recording or standing in front of a mirror. Assess yourself and get others to assess you too. Discover the fluency of your voice, your current diction, your tone, volume, speed and pace of your voice to understand “you” better. What do you think of you? Your Business Your Career You are the first and only main ambassador of ‘YOU’, your dreams and your visions or what you do. People will dampen your spirit and almost ridicule you, your thoughts and your ideas. Take the experiences as a plus in life. Your confidence level will grow from all your past mistakes. Whether you need to speak to that person you never dreamt you could, go to places that seem impossible, meet those that appear untouchable, you are the only one can take your business or career the next level. Jump right into that next new idea, inspire yourself to be inspired and Step Up Your Game. Goodluck. Janet.adetu@jsketiquetteconsortium.com @janetadetu @jsketiquetteconsortium @peakperformancecoach www.jsketiquetteconsortium.com

Movie Review – LITTLE

Linda Ochugbua

t was so nice to see Regina Hall in this brand new comedy movie titled ‘Little”. If you enjoyed these movies Girls Trip, Ride Along, and the Think Like a Man Series, from Tina Gordon Chism, then you might enjoy this simple yet hilarious and unrealistic story. It was just a comedy story and nothing to really over think, so don’t try to make real explanations to it, just watch it enjoy and have a good laugh. For some people who got angry with it, they were just trying to be very logical and real with it, guess what not all storylines have to be real, and this is one of them. So go in with an open mind and have a good laugh. For me I definitely learnt not to be a terrible boss when I become one, and it’s important to listen to other team members ideas, you never know who has the million dollar idea amongst them. So as much as you can, give everyone a fair hearing and opportunity. Haven enjoyed “Girls Trip” a lot I was kind of excited to see what Little was about. I totally enjoyed the unrealistic acts from each actor, to switch from being an adult to being a teen

again; playing each role so well, you wondered how they did it. For some people we ended up either loving or hating our favorite cast, or will I say the roles they played. In all there was just something funny and nice in the same way about the lead actors. I loved the costumes so much and the makeup; I must commend the production and cinematography. Only a few repeated scenes were used, but they were all so nicely decorated you wouldn’t even mind. The storyline was funny and unrealistic, seeing the trailer, you might not want to watch, but in a funny way I really haven’t stopped laughing since I came out of this beautiful movie. “Little” starts by showing us a young lady who is a “Diva”, she had become so successful and wealthy. She owned her own creative agency and wasn’t nice at all to her staff. She was rude, arrogant and so domineering. To her no one else said anything that made sense, it was either her way or no way at all. She mistreated her staff and even her PA and everyone wondered why she was that cruel. When she comes in, every one runs away before she starts shouting, and this made her have no friends. One faithful day she gets into work with her usual bad attitude and character, bossing everyone around, when a little girl who felt she was so nasty, wished she was little again. Well at this point the movie went into the main hilarious and unrealistic part of it, Jordan as she was called in movie, wakes up looking 13 and everything crumbled, she couldn’t go to work, and then had to confide in her PA, she never

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wanted to promote initially. She was sent back to her High school she dreaded so much, at this point they couldn’t find the Donut truck and the little girl she had insulted the day before she drove away from her company. You will need to watch the entire movie, to see how Jordan Sanders managed her new size and position, how she had to learn to trust her PA April and also the process of learning the lessons of life and being nice to others in the hard way. I did learn a few lessons, one which is making sure you treat others nicely and how you would love to be treated, give them the chance to express themselves and never look down on anyone’s idea.

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Cast: Regina Hall, Issa Rae, Marsai Martins, Tone Bell, Justin Hartley, Luke James, JD McCrary, Caleb Emery, Mikey Day Genre: Comedy Director: Tina Gordon Chism Written by: Tracy Oliver, Tina Gordon Chism Ratings: PG 13 (For some Suggestive content) Studio: Universal Pictures Release Date: April 12th 2019 So far it’s so easy to tell my verdict from my excitement that I enjoyed this movie and so my verdict is a whooping 8/10. Although it had a very funny and weird storyline, which most people will tag as unrealistic, the truth is that I liked it alot. Even though I noticed a few issues with this movie, eg the speed of some scenes changing and some extending for too long, Jordan Sanders carrying the same hair style all through and the change in Jordans Sanders Little Shirt on her way to school, I still enjoyed it. So for those for you, who want to have a good laugh, do feel free to watch and enjoy this comedy and don’t try to over think or bring logic to it, afterall it’s only a movie! Feel free to review any movie of your choice in not more than 200 words, please send us a mail to linda@businessdayonline. com , also please do answer the question of the week on social media and stand a chance to win a free movie ticket. Linda Ochugbua @lindaochugbua

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Friday 10 May 2019

BUSINESS DAY

BUSINESS SOUTH-SOUTH COMPLETE COVERAGE OF SOUTH-SOUTH / SOUTH-EAST

Value chain manufacturers, exporters-importers, traders organisation inaugurates officers …vows to curb corruption in Nigeria EFEGADIRIM MADU, Port Harcourt

alue Chain Traders Organization of Nigeria (VACTION), the umbrella body for manufacturers, importers, exporters, traders and other related organisations in the country has inaugurated its national and state officers. The members said they are set redefine manufacturing, export, import and trading in the country, with a view to rid corrupt practices among operators. Ralph John, the president of the board of trustees (BOT) and chairman of VACTON, while speaking at the inauguration of the body in Port Harcourt, said, VACTON was established in October 2018, and has been duly incorporated by the Corporate Affairs Commission to discharge its statutory

functions. John, with the title of ambassador, Ph.D and archbishop, said the aim of VACTON is trade facilitation and elimination of business malpractices; pointing out that the body, with the assistance of its special taskforce, will reduce corruption, especially among business operators in the country to its barest minimum. “We have established a temporary office in the FCT Abuja; we have designed a comprehensive website with which the world will access us. A constitution is in place for members; appointments are ongoing as you will realize; our uniform and the Special Taskforce are in place. There is the need to get the public to know that VACTON has come to stay. We are reaching out to industries, manufacturers, maritime experts and chieftains of industries,” John said.

The VACTON board of trustees president and chairman said the aims and objectives of the body include: “promoting and educating people in trade policies, agencies and multilateral organizations.” John said the association champions boarder measures for promoting global value-chain in the ECOWAS common industry policy, promotes trade education to international trade compliance; as well as provides information concerning government regulations, with the aim of avoiding unnecessary clash between government and stakeholders. “VACTON shall reduce corruption in areas of operation of value chain traders both on land, sea, air borders. VACTON shall assist Diaspora members of the association. We shall establish contacts with various government agencies concerning the activities of

value-chain traders, promote agricultural revolution and enhance multiple employments,” the chairman said. He informed that the body’s ‘Special Taskforce’ has the mandate to stop illegal business practices that damage the image of Nigeria. The taskforce shall go into anti-smuggling of drugs and fake products which endanger people’s health, with good intelligence and global best practices. This shall be possible, he said. Delivering a lecture on “Value Chain Operation in the Nigerian Economy: Emphasis on Petroleum and Agro (Cassava) Sectors,” the keynote speaker, Elkanah Hanson lamented Nigeria’s apparent failure to take advantage of the opportunities in value-chain available in the oil and gas industry. He said such failure is replicating itself in the agricultural sector, especially cassava production, which is capable

of putting millions of unemployed Nigerians to work. The manager of the Rivers Port, Nigerian Ports Authority (NPA), Umar Abubakar Garba, represented by the head of Traffic Control in NPA, Sylvester Egede described the setting up of VACTON as an innovation that is timely and laudable, and capable of moving the maritime sector and the national economy forward. He noted that the need for a synergy between the public and private sectors cannot be overemphasized. Hanson urged VACTON to see itself as a partner in progress towards enhancing the development of the maritime sector in Nigeria. Earlier the chairman of the occasion, Essien Samuel commended the president of VACTON for taking a bold step in establishing the body; noting that Nigeria will be better for it at the long run.

Host communities resist Okorocha’s move to auction equipment at Imo Tiles Industry

…petition governor-elect SABY ELEMBA, Owerri

H Using export trade to engender economic diversification – the NEPC example REGIS ANUKWUOJI, Enugu

igeria’s total exports in 2018 valued at $52.9 billion reflecte d a 4 6 . 7 p e rc e n t drop since 2014, according to data sourced from World’s Top Exports (W TEx). Of this volume of goods shipped around the world by Nigeria, crude oil accounted for 94.1 percent, and only 5.9 percent from nonoil products, showing a slowpaced growth in the sector. The Nigerian Export Promotion Council (NEPC) said it is optimistic to reverse the slow pace trend in the nonoil sector of the country. To this end, the agency recently trained 100 exporters in Enu-

gu, as part of efforts to equip them to access the global export market. Gertrude Ukoanam, the regional coordinator of NEPC explained to the participants at the training workshop in Enugu that it part of the N E P C ’s e f f o r t s t o d e v e l o p and promote non-oil export among business owners in the south-east geopolitical zone. She noted that the objectives of the workshop were: to educate the participants on the various strategies for accessing international market ; enhance their capacities in market analysis ; application of best market entr y strategies, and to enhance market a c c e s s f o r Ni g e r i a’s e x p o r t www.businessday.ng

products. According to the NEPC regional coordinator, the agency has the mandate to: promote the development and diversification of Nigeria’s export trade; assist in promoting t h e d e v e l o p m e nt o f e x p o r t related industries in Nigeria; spearhead the creation of appropriate export incentives, and to actively articulate and promote the implementation of export policies and programmes of the Nigerian government. Some of the par ticipants who spoke with BusinessDay praised NEPC for the training. They expressed the need for more of such workshops and knowledge share.

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ost communities of the Imo Tiles Industry at Nsu in Ehime Mbano Local Government Area of the state have vowed to resist an alleged attempt by the outgoing government of Governor Rochas Okorocha to auction the remaining equipment of the moribund tiles industry. The communities, like many other groups in the state, have strongly resisted the alleged auctioning of equipment at the tile industry. They have also braced up to stop the sale of the equipment worth millions of naira. The Nsu Development Union (NDU) has drawn the attention of the governor-elect, Emeka Ihedioha about the alleged move by the outgoing government to auction and evacuate the equipment using a firm called Messrs Phigeal Integrated Limited. The group said its attention has been drawn to a letter purportedly issued to Messrs Phigeal Integrated Limited authorizing them as auctioneers subject to payment of N16,866,000 to enter into and auction the remaining equipment at the premises of Imo Tiles Industry at Nsu. NDU also alleged that in 2012, the present administration forcefully evacuated containers of equipment including Rolls Royce high calibre power generators valued at billions of naira at the tile industry. The generators, which have laid idle for over three decades were imported for the factory by the late Sam Mbakwe, former governor of the state. NDU alleged that the containers were taken to unknown destination. Meanwhile a letter to the incoming governor, Ihedioha, signed by paramount rulers and chiefs of some communities that host the tile indus-

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try have alerted the governor-elect to intervene. The paramount rulers of autonomous communities condemned the alleged action by the outgoing Okorocha administration. Those who signed the letter include: Zeek Martins Nnadozie, a high chief; the president-general of Nsu Development Union, HRH Eze Herbert Anyanwu; the Ihe I of Ihitte Nsu autonomous community, HRH Eze Ernest Iwunze; the Ebichi II of Nsu autonomous community; HRH Eze Emma Ibechi, Akagu I of Umukagu Nsu autonomous community and Paschal Egerue, the president of Nsu Economic Council. They said they would resist any further attempts to evacuate any equipment of the tiles industry at Agbaghara Nsu by any person purporting to be acting on behalf of or as an agent or awardee of the outgoing government. The Ezes and chiefs informed the in-coming governor, Ihedioha, for urgency to fast-track the construction and commencement of Imo Tiles Industry at the site, in order to stop what they described as “wanton and illegal mining of clay at the raw material site,” as a result of abandonment of the factory by the outgoing Okorocha government. Several calls by our correspondent put through to the Sam Onwuemeodo, the chief press secretary to Governor Rochas Okorocha were not answered. Also, when our correspondent called the commissioner for Information, Patrick Nzeh at 7:14 pm to react on the development, he said: “I am not aware, but I am rushing to the Government House to see His Excellency. You would call me back at night by that time I must have seen him.” However, he failed to pick up his calls by 10:00 pm and 10.10 pm.

Friday 10 May 2019

BUSINESS DAY

LEADINGWOMAN

Broken but not bruised An event for sexually abused survivors and encouragement from wise counsels RUTH UDEMBA

roken But Not Bruised is a quarterly series and this time, it took place on May 4, 2019 at the Radisson Blu Hotel in Ikeja. The event themed ‘living purposefully beyond sexual abuse’ was organised by Anthonia Ojenagbon, a support group administrator for victims and survivors of incest, rape and sexual molestation. It was a program held with the intention to admonish every woman, young and old, non-survivors and survivors to rise above pain and fear and let their stories be heard so they can help other women fight against those that choose to hurt them and live beyond their monsters. It was an interactive, heart-warming event that left attendees in tears and others riled up. The event featured experts, survivors and women who have made a mark in various sectors like Chairman, First Bank of Nigeria, Ibukun Awosika, Consultant Neuro-Psychiatrist, Maymunah kadiri, Founding director, Temple School, Shirley Okharedia and others. The founder of the support group, Anthonia also shared her own story of the abuse she had suffered over the years, the reason she founded the support group to provide an atmosphere for women who have been abused to unburden their heart. Ojenagbon whose father died at 46, while her mum was 37 and pregnant with their last child, was raped every night by her uncle when she was barely 10 and he threatened to kill her if she ever told anyone. After sometime, Anthonia met a pastor, who told her that her “uncle was sexually molesting her” and advised her to scream when he comes again, and it will stop. This she did and her uncle’s abuse stopped. Ironically, her rescuer began molesting her as well, so much that the shock prevented her from talking. It was an emotional moment for us all as we listened to her but beyond that, it is

good to know Anthonia has healed and is spreading hope to other survivors. “Your life must be deliberate, because you choose to live it in a certain way, you choose to live without allowing the past rule your life, you choose to live without allowing the man that betrayed you to still control you. Although there will be flashbacks and moments of pain, you will say ‘get thee behind me’ and live your life”. Ibukun said. For Okharedia who was molested both physically and mentally by her 25 year old uncle while she was 8years, she refused to allow her past affect her future. “I became fully conscious of the men around me and I decided to have the boldness to make sure that no man will have that control over me no matter the circumstances. We must have the courage to

do well the things we set our mind to do because that is where the victory lies. Reach out for what is ahead of you, the best is yet to come,” she said. Maymunah had words of admonition for the survivors. In her words, “Your pathway to healing is a process not an event; it takes one step at a time gradually, so don’t attack your abuser before an unknown law attacks you”.

Read more on the concluding part including the stories of other survivors in this week’s edition of Women’s Hub Magazine, available online on www. businessday.ng

Ufuoma McDermott presents The magic of a dream KEMI AJUMOBI

he has been in the industry for 15 years with numerous films and awards to her credit. Born in Benin, grew up in Jos, Ufuoma bagged a degree in French language from the University of Lagos. She also has certificates and diplomas from Alliance Française and NIIT. She holds a Master’s degree in Public and International Affairs, also from the University of Lagos. In 2011, she attended New York Film Academy in Los Angeles for an acting course and later on a film making course from Dov Simen’s Hollywood Film Institute. In 2013, she obtained a certificate in Human Resource Management from the London Business School. Not too long, she also did a course in the Business Of Filmmaking at the Lagos Business school among others. Recently, social media was ‘on fire’, Ufuoma released a picture of a show (The USM show) to come in July, a show like we have never seen before in Nigeria. You can only imagine how inquisitive I was that I had to have an interview with her where she said it all. “What I tried to do was to ‘shop around’, ask people what kind of event they would want to attend if they were to attend an event. I got the feeling that people want something fresh for a change. I want to presume that people want to get dressed and show up, all of those event dresses you buy, where do you wear them to? I have a feeling that people want to get dressed, probably have a date, look good, go for an event where you are watching stuff that is just mindwww.businessday.ng

boggling and at the same time hilarious.” She said. “So, I started thinking about putting together a spectacle. I thought: What is that show that I can put together that has a little bit of everything? That has almost all the elements that I like. I like drama, I like romance, I love music, I love spectacle. At some point you also want to play adrenaline, you also want people throwing people up. So I thought ‘what kind of show would we put together to have all of these elements?’ Then I went back to all the shows that I love. I went back to The Greatest Showman, Broadway shows, shows that I’ve seen on the west end in London.” Ufuoma told me. For her, all of these were possible on one stage, in one night. “That was how the show or the idea for the USM show came together. I spoke to a very good friend of mine, Seyi Law, who was very helpful and after sharing my vision with him, he said ‘brilliant! This is how it should go”. From that moment, the ideas wouldn’t stop flowing for Ufuoma, the puzzle began to align, she put together a creative team, created a poster that aligned with her vision and https://www.facebook.com/businessdayng

everything came together. Ufuoma is working extensively on this project with her team who she describes as fantastic. It promises to be 3 hours of back-to-back performances like never before.

She said more, read up on this as it is available online from our website on www.businessday.ng Download the entire edition as Ufuoma graces the Women’s Hub Magazine cover for this week. It is a juicy one and you will be glad you did. @Businessdayng

Friday 10 May 2019

BUSINESS DAY

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Friday 10 May 2019

BUSINESS DAY

Sports Weighing the cost of Man United’s Champions League absence Stories by Anthony Nlebem

issing out on the money spinning UEFA Champions League can be very costly for a football club like Manchester United that has won three Champions League titles to their honors. Manchester United lost their hope of qualifying for next season’s Champions League after Sunday’s 1-1 draw against Huddersfield. Manchester United are beginning to count the cost of Champions league exit. David Moyes, Louis van Gaal and Jose Mourinho have all been given money to spend; more than £600 million between them since Sir Alex Ferguson retired, but for the fourth time in six years since Ferguson departed, Man United have failed to finish the season outside of the

Premier League’s top four. The Manchester outfit may be commercial giants off the field but miss out around £60m in prize money for non-participation in the Champions League, which is why Pogba and other higher earners will be directly impacted as a result. That means a return to the Europa League is imminent and in order to protect themselves from the massive drop in revenue, Man United players will get a wage cut of 25 per cent after missing out on Champions League. The Daily Mail reported in April that the majority of contracts negotiated at Old Trafford include a clause that sees players’ lose 25 per cent of their wages for finishing outside of the top four. Now that’s been confirmed, several players are set to be hit in the pocket. Alexis Sanchez too will be greatly affected. Sanchez’s reported £500,000-week contract will

take a £125,000 hit and be reduced to £375,000 for next season. Paul Pogba’s weekly wage will be reduced from £300,000 to £225,000, while David de Gea will go from earning £200,000-per-week to £150,000-per-week. Like many top sports stars, Pogba’s income is heavily supplemented through commercial deals and endorsements. The World Cup winner’s commercial rights value will drop to £2.87m compared to the £3.125m he earns while playing Champions League football. Pogba returned to United from Juventus in 2016 in what was then a world record deal worth £89million. He signed a 10-year deal with Adidas in 2016 worth a staggering £31m. According to Forbes, Pogba’s net worth is in the region of £23.2m ($29.5m), which put him at No 52 on the list for the world’s highest paid athletes in 2018. As a result, the 26-year-old has been tipped to leave Old Trafford this summer with Real Madrid touted as his most likely destination. According to Football Leaks, Pogba will also miss out on a £1.875 million bonus included in his contract every year that Man United qualify for the Champions League. The Mail’s report adds that Man United are facing as much as £65m in lost TV revenue and prize money. Their kit deal with Adidas is also reduced by 30 per cent for not playing in Europe’s elite club competition for two successive seasons. From a business point of view, missing out in Champions League competition for next season as severe setback that will hurt Man United earnings and their players.

Scope FC battle Fayemi FC in final of Trophy 5-side football tourney … winner to take home N3m cash prize money

agos based Scope FC will battle visiting Fayemi FC from Osun in the final of the maiden edition of the Trophy 5-aside grassroots football tourney tagged ‘Join The Field of Honour’ scheduled to take place on Saturday May 11th at the Campus ministadium, Lagos Island. In the semi-final games played on Sunday at Lagacy pitch, national radium, Surulere saw Scope FC tackle Amsterdam FC for a place in the final. Scope FC came from two goals down to defeat Amsterdam FC in a penalty shoot out, after both sides played 2-2 draw in regulation time. In his post match comment, Mohammed Tijani, team captain of Scope FC team expressed confident that his side will eventually win the final. “We played as a team and I have full confidence that we can reach this stage, even when we were two goals down; we still remain focused and I motivated my team not to lose hope and thank God for the victory,” “ I believe the final will be more easier than the semi-final game, I believe we have the strength and if we coordinate ourselves very well, we will win the trophy and represent Nigeria in Tanzania.” In the second semi-final game played, team Fayemi FC from Osun state outclassed their opponent from Ogbomoso, Rovers FC in a seven goals thriller. The match ended 4-3 in favour of Fayemi FC.

Expressing his joy after his side victory over Rovers FC, Fayemi Nicolass Abayomi, team coach of Fayemi FC attributed the win to passion and handwork. “ I feel excited, we thank God and our fans back home, especially the injured ones who could not make the trip to Lagos. He also thanked Trophy lager beer for organizing the tournament and believes his side will shook their opponent in the final. “ I want to thank Trophy lager beer for this laudable initiative of discovering raw talents on the street. “ We will start preparations for the final in earnest, we know we are playing against a

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Lagos side, Scope FC and we are prepared to win the trophy.” Commenting on the games played, Tolu Adedeji, Marketing Director, International Breweries, makers of Trophy Lager beer expressed satisfaction at the performance of the participating teams. “Am so impressed with the level of their preparations, commitment and passion. I have always known football to be a big passionate for Nigerians, but seeing again live today is such a good experience. “You can see the teams commitment, they really want to win. Beyond the cash prize, the passion of the game is what I really enjoyed.”

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Pinnick says preparations for AFCON 2019 on course

resident of the Nigeria Football Federation (NFF), Amaju Pinnick, says preparations for the 2019 edition of the African Cup of Nations (AFCON) tournament is on course. Pinnick, the first Vice-President of the Confederation of African Football (CAF), said he receives daily reports from the various subcommittees in Egypt preparing for the big event. “Preparations have been going on very well. I have daily reports from the various subcommittees and the administration. “I believe that Egypt will put up a spectacular performance in terms of organisation and running of the events because they have invested so much,” Pinnick said. The NFF boss said that the 24-team format for the 2019 edition will give more teams the opportunity to participate in the tournament. Three countries, Sudan, Ethiopia and Egypt took part in the first CAF tournament held in Sudan in 1957. Egypt won the maiden edition. The format for the tournament changed to eight teams and later 16 teams. “The new format has given so many countries the privilege of being in AFCON. For instance, Madagascar, Burundi and Mauritania couldn’t have been in the tournament if there was no 24-team format. “The new format also has economic advantage because the more games you play, the more television rights and the merrier. It has other advantages for football in the continent,” he said. Egypt will host the tournament in six centres under the new 24-team format from June 21 to July 19.

FIFA upholds Chelsea transfer ban

IFA said that they have upheld Chelsea’s one-year transfer ban but the English Premier League club will be able to register youth players during the period following an appeal. Chelsea were fined 600,000 Swiss francs (453,404.9 pounds) and sanctioned in February in relation to 29 cases where regulations relating to the international transfer and registration of players under the age of 18 were breached. “The FIFA Appeal Committee has decided to partially uphold the appeal lodged by Chelsea FC against the decision of the FIFA Disciplinary Committee to sanction the club with a ban on registering new players at both national and international level for the next two complete and consecutive registration periods,” FIFA said in a statement. “This ban applied to the club as a whole – with the exception of the women’s and futsal teams – and did not prevent the release of players.” The FIFA Appeal Committee however decided the club can still sign players under the age of 16 as they concluded imposing a ban on registering each and every minor “would not be proportionate to the offence committed”. The next step for Chelsea could see them take their case to the Court of Arbitration for Sport to try and freeze or overturn the ban.

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Friday 10 May 2019

BUSINESS DAY

OPINION

How great nations are made THE NEW WEALTH OF NATIONS

Obadiah Mailafia

or several years now, Steven Press, a historian at the elite Stanford University in the United States has been leading a seminar, How to Start Your Own Country: Sovereignty and State Formation in Modern History. It’s a popular and rather oversubscribed course. Last year I wrote him to find out more about the course contents and the key ideas underlying the seminar. Professor Press was ever so gracious to send me some of his course materials. I learnt a lot from him and from my own extensive reading in the history of Western and nonWestern political thought. From Solon the founder of the Athenian constitution in ancient Greece to Thomas Jefferson and the Founding Fathers of the American Republic; it is evident that nations are deliberate acts of creation. It was said that the British Empire was founded in a feat of absentmindedness. It is also true that a lot of our countries in Africa were clobbered together by European imperialists more in furtherance of their own selfish interests than anything else. Charles de Gaulle of France arrogantly dismissed the Caribbean nations and the far-flung islands of the seas as “the dust of empires” that arose from the sea when the world powers were dancing on

the world stage. Be that as it may, real nations that rise to greatness are deliberate creations by statesmen. The Swiss historian, Jacob Burckhardt, in his epic study of the rise of the state in Renaissance Italy, describes the state as a “work of art”. By that he meant that the state is a creation of masterminds who work at it with the passion, imagination, artistry, creativity and courage of the great artists. They are founded with the same passion and high ability as Michelangelo painted the Sistine Chapel. There are great nations and there are mediocre ones. There also run-of-the-mill nations as well as outright failed states. Echoing the inimitable language of the English playwright William Shakespeare, we could say that some nations are born great; some achieve greatness; while yet others have greatness thrust upon them. It might not be that easy defining what constitutes a great nation. But we know it when we see it. I think there is nothing controversial in saying that the United States, China, India, Britain, Japan, Canada, France, Australia and Germany are indeed great nations. Seven elements, in my opinion, are important ingredients in the making of great nations. First, you must establish the foundations long-term economic prosperity. All great nations must possess a high level of economic prosperity as measured by GDP, per capita income and technological prowess. The greatest nations are also those that have resolved the basic economic questions such as provision of public goods (infrastructures, power, energy, public health and education) as well as employment, food security and a minimum level of welfare for all its citizens. There must also be a high

The 3rd Abuja book chat

level of technological capability. It should not be a predominantly extractive economy but an economy rooted in industry, ICT and technological capability. Above all it must be an innovative, knowledge-based society. Secondly, you must ensure a sound monetary system. Russian communist leader V. I. Lenin once declared that whoever controls your currency is your master. A great nation must have control over its national currency and its central bank must relatively autonomous and highly professional. It must promote a strong, stable and internationally convertible currency which is the necessary foundation for financial stability, national competitiveness and long-term prosperity. Thirdly, you must guarantee a stable and highly effective governmental apparatus. An effective state is one that has a stable political system with institutions robust enough to manage conflict, ensure effective civil administration, monopolise control of the instruments of legitimate influence and ensure law and order, with bureaucratic machinery that serves the people with fairness and justice. The armed forces, police and security services must be effective in defending the territorial integrity of the country while protecting the constitution and ensuring the security of the citizenry. An effective state is one that delivers public goods and collective welfare in an effective manner. And it must govern based on the Continues on page 33

Dr. Mailafia is a former Deputy Governor of the Central Bank of Nigeria, a development economist and public finance expert with a DPhil from Oxford obmailafia@gmail.com; 08036590990 (text messages only)

Moremi: A final night, A raging controversy HumanAngle

Femi olugbile

t was a great privilege to attend the last night of the musical drama ‘Queen Moremi the Musical’ at Terra Kulture. Terra Kulture is a theatre located slap in the centre of the business district of Victoria Island. The organization was formed in 2003 by Bolanle Austen Peters, daughter of renowned lawyer and educationist Afe Babalola. The Bolanle Austen-Peters Productions (BAP) took off in 2013 with the production of the well-received SARO the Musical. There have since been five major play productions. In 2015, Austen-Peters was involved in the production of a film - ‘93 Days’, the story of the Ebola outbreak in Lagos and how it was contained. Terra Kulture arena opened in 2017 as the first purpose-built private theatre in Nigeria. It has since gone on to stage many events and become something of a prototype for a venue where cultural activities may be fostered for the public, and for tourism. Austen-Peters has been able to network effectively with the private sector for sponsorship. Moremi Ajasoro was a legendary figure who lived in the 12th century. The story of her life and epic deeds has varied somewhat in the telling, depending on the source.

In the Terra Kulture version, she is initially married to an Ile Ife man, and she has a good life. There is a precious child – Oluorogbo – that she was given several years past by the river goddess Esinmirin after many years of barrenness. He is growing up into a winsome adult and is clearly the apple of his mother’s eyes. Sitting in audience at the theatre and watching the drama unfold, you are reminded of how long ago, you had watched the Duro Ladipo Travelling Theatre enacting the same drama. The encounter took place at Government College Ibadan, a school which every season put up a play –Shakespeare, Yoruba, sometimes both, and which played host from time to time to the travelling theatres of Duro Ladipo, Ogunmola and others.What you remember is that the haunting emotions evoked by Duro Ladipo’s bearded, towering presence, playing King, and his delectable, determined wife, Abiodun - who played Moremi, have lived with you since then. When you close your eyes, you can hear Duro Ladipo as he grapples with the dilemma of how to save his people from the predatory incursions of a forest-dwelling people who are wreaking rape and murder, and carting peopleof Ile Ife off to slavery. They are like giants wrapped in raffia and wearing fearsome masks, and his soldiers are powerless against them. Duro Ladipo’s words, surveying his helpless situation, still resonate in your ears. ‘Awon ugbo. Enia bi eranko ma ni won o.’ It is not a statement of hate, but a description shot through with grudging admiration at the military skills of his people’s tormentors. When his treasured Moremi suddenly volunteers to be captured by the Ugbo in order to mingle with them and learn the www.businessday.ng

secrets of their military invincibility, he is distraught, but he realizes he is left with no alternative. The deal is sealed. Moremi is captured in the next raid. Her noble statusand carriage are recognized immediately.She is taken straight into the presence of the king of the Ugbo. Won over by her beauty, he takes her as his consort. Suppressing her abhorrence and submitting herself to the indignity of her new station, she strives to unearth the source of the oppressor’s power. She succeeds, and escapes back to Ile Ife. Their secrets revealed, the Ugbos are routed in combat. There is a final bitter pill for the heroine to swallow. The sea goddess, who aided her mission, demands the sacrifice of her only beloved son, Oluorogbo. There is a feminist tinge to the struggle of Austen-Peters’ MOREMI. The woman is the redeemer, where the men have failed. More than that, this Moremi is playing in the midst of a raging controversy about who exactly are the ‘Ugbo’ people in the story. There are ramifications that could have implications for the unity and harmony of the Nigerian nation itself. Are the ‘Ugbos’ out and out villains – bloodthirsty killers and plunderers with no redeeming grace? Or are they aggrieved aboriginals, expropriated from their land by the children of Oduduwa, and justifiably thirsty for revenge? Who are the ‘Ugbo’ and where are they now? In Duro Ladipo’s original rendition, the Ugboare people who dwell in the forest and make forays into the civilized community of Continues on page 33

Femi Olugbile is a Writer and Psychiatrist. Comments to synthesiz@gmail.com’

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Tales from the main road

Eugenia Abu

e talked about this and talked about that but we mostly talked about books. In January 2019, the Abuja Bookchat was born. As an incurable reader, I felt led to begin a book discussion that was fun, informal and exciting so I called for the first Abuja Book chat. I felt it would be nice to get another person to co-host it with me so I invited Bola Onauguruwa, a friend and sister and former DG of the Bureau for public enterprise to be special guest. It was a wonderful gathering of readers, writers and adventurers and the topic was “What books impacted you in 2018?” Also in attendance were Professor Raji former ANA President and current ANA President Denja Abdullahi. The bi-monthly Book chat was an instant hit with Abuja residents who need watering holes constantly to let down their hair. The Eugenia Abu Media centre hosted the 2nd Book chat in March and our special guest was Public Policy Analyst and This Day Columnist, the cerebral Dr Okey Ikechukwu. On worker’s day we reconvened for the third Abuja Bookchat and our choice of Special guest was award winning journalist, author and former literary Editor of the Trust newspapers and Head of Media and Communications of the Presidential initiative for the North East, Alkassim Abdulkadir. And Alkassim delivered on all fronts. It was an exciting two hours. Theme was Trends in Nigerian literature. After giving an overview of the literature of our kith and kin and how from post-colonial literature we slid into angry writing throwing up angry poets who were rebelling against military dictatorship, Alkassim took us on an intellectual odyssey of how Nigerian literature has lit up the world donating some of its finest minds to the diaspora. He adds that the Harry Garba’s, the Helon Habilas and the Pius Adesanmi’s left the shores of their nation due mainly to been stultified. In a question and answer session which I anchored, Alkassim requested that the federal government gives import waivers to publishers so that there will be more publishers in Nigeria using less expensive printing presses to make books more available to Nigerians. He also gave tips on how to improve the reading culture and how to become a writer. Interventions from guests included improving the transportation system and the quality of roads to enable people read while they travelled and discourse on how to get books to IDP’s especially as it was clear that education had ceased for nearly nine years for most of the children in the camp. There was also a suggestion that volunteers in and around Maiduguri could volunteer to read to IDP’s and donate books to them. Alkassim’s commentary that the rest of Nigeria was not doing enough in terms of humanitarian activities towards the North East tragedy was profound. He added that it affects us all especially seeing we are all connected and onions for example comes from the North East.“We think it does not concern us,“he said, “what happens in the North East stays there but this is not the case as we are all affected one way or the other”. To questions about why the reading culture is dying, it was agreed that people are just trying to survive and books are farther away from their minds. Improving the reading culture in schools and from homes was discussed robustly. There was even a suggestion by a singer and accountant that we should Continues on page 33

Eugenia Abu is a broadcaster, writer, trainer, band and multimedia strategy expert and media consultant. Contact. abu_eugenia@yahoo.com

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Friday 10 May 2019

BUSINESS DAY

NEWS

FG, Stanbic, Wema, Jaiz to float single digit vehicle finance scheme MIKE OCHONMA

rate and favourable repayment plans.” Nigeria’s vehicle population data, Jelani Aliyu believes, reveal towering opportunities that must be tapped if the country is to make any substantial progress in the sector. Before this development, purchase of brand new vehicles by the middle class and other low income earners have become nearly impossible as result of double digit interest rate charged by banks and other stringent conditions that comes with the scheme. There is also the lingering challenge the financing banks charging discriminatory interest rates to beneficiaries of the auto finance scheme based on the spiralling interest rate of the naira against the dollar and other foreign currencies. Nigeria has a total of

11,547,236 motor vehicles, recording a 0.78% growth from the 11,458,370 vehicle population reported in the first quarter of 2017. About 4,656,725 of these vehicles are privately owned, while 6,749,461 vehicles are registered as commercial vehicles another 135,216 vehicles are registered as government owned vehicles, and 5,834 vehicles are registered for diplomats. Nigeria’s vehicle per person is estimated at 0.06 percent as of the third quarter of 2017. For the country to achieve a vehicle per capita (1000 persons) of at least 150, it requires to have a total of about 29 million vehicles, which is about 18 million new vehicles, thus presenting how huge the current gap is, worsened by the gap for private vehicles is described as even more humongous.

FG moves to assert states’ legislature, judiciary autonomy Tony Ailemen, Abuja

he Nigerian government has concluded plans to assert the independence of the legislature and judiciary in the thirty-six states of the federation and the Federal Capital Territory (FCT).

Senior Special Assistant to the President on National Assembly Matters (Senate) Ita Enang, disclosed this while briefing State House Correspondents after a meeting of the Presidential Implementation Committee on the Autonomy of State Legislature and State Judiciary chaired by the Minister of

Justice and Attorney General of the Federation, Abubakar Malami. Enang, who is also the Secretary of the panel, announced that there would be a retreat at the old Banquet Hall of the Presidential Villa to deliberate and articulate an effective national implementation strategy in the matter.

LaLiga’s revenue jumps 20.6% to €4.479bn as leverage improves BALA AUGIE

he Spanish soccer league, whose clubs reign supreme in Europe’s biggest competitions, has been consistently growing earnings in the last seven seasons, while debt in their capital structure has reduced. According to the latest Financial Report of Spanish professional football, corresponding to the latest complete season (2017/18), LaLiga clubs posted revenue of €4.479 billion, representing growth of 20.60 percent over the previous season. LaLiga’s gross operating profit otherwise known as Earnings before Interest, Tax, Depreciation and Amortisation (EBITDA) was up 20.70 percent to €945 million in (2017/18) from €783 million the previous season. Combined operating profit otherwise known as Earnings Before Interest and Tax (EBIT) increased by 11.41 percent to €325 million in the period under review from €291 million the previous season. Cumulative net income of these clubs followed the same growth trajectory as it increased by 11.40 percent to 189 million in (2018/2017) as against €169 the previous season.

precepts of constitutionalism, the rule of law and good governance. Fourthly, you must nurture a strong historical memory. The greatest nations are marked by a sense of collective memory that undergirds their political and leadership traditions. China, for example, has a long historical memory dating back to millenniums. So is the small nation of Israel. Britain prides herself in being the “the Land of Hope and Glory” -- the inventor of Magna Carta that pioneered the social contract between government and the governed throughout the civilised world. The relatively young American Republic also has a deep sense of history; believing that the Universal Declaration of Independence 1776 remains a landmark on the long march of human liberty. By contrast, countries like those of Africa have been told they have no history and that whatever past they might have had is mired in chaos and darkness. They have, by virtue of that very fact, been robbed of all honour and dignity. Fifth, there must be a broad-based national ideology. Marxism, socialism, nationalism and fascism are all political ideologies. I contrast

these with what I term “inherent national ideologies”. The latter are the original myths that nations live by. For example, American civilisation is defined by the essentialism of “the American Dream” and “American Exceptionalism”. The Americans believe that their country was founded on sacred principles: “We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness. “ France has always defined her place under the sun as the land of “liberty, equality and fraternity”. France sees herself as the guardian of universal civilisation. The Germans, after two catastrophic wars in the span of a generation, have repositioned themselves as the leaders of the new Europe; a voice of civility and moderation in international politics. Crucially important is also that those national myths are shared by all communities within the country as a whole, regardless of religion and ethnicity. Sixth, you must evolve a broad-based national consensus among the ruling elites. All great nations are also those where the leadership elites, regardless of ethnic, religious www.businessday.ng

In short, LaLiga produced a solid, positive and growing set of results across the board, achieving the best figures in the competition’s history. The drivers of earnings are contribution from new revenue stream: commercial revenue and revenue from transfers, which have seized the central role held by broadcasting revenues as drivers of annual growth. In the case of commercial revenue (without including turnover from advertising), the annual increase was 34.1 percent, amounting to turnover of €838m, which is indicative of the fact that Spanish clubs are becoming an increasingly attractive medium for sponsors. Revenue by segment shows the clubs realized €1.01 billion from sale per player, representing a 104.41 percent surge from €498 million recorded in the previous season; which is symptomatic of the significant capacity for creating sporting value held by the Spanish clubs and SADs. LaLiga achieved all of these figures while simultaneously maintaining a downward trend in the degree of leverage. The ratio of financial debt to EBITDA of the competition was 0.9x, the lowest level on record.

The 3rd Abuja book chat Continued from page 32

put books in song form and this might help attract children to read. There were comments about how the internet and social media has eroded reading and how living on the internet especially by youngsters is not going to help them become as knowledgeable as they ought to be. I added that those reading in the younger generation will ultimately become the leaders in their generation. It was an evening we did not want to end. Uvieigbuzor and Ifeoma Nwaoduah provided good music. There was networking, refreshments and book browsing in our bespoke bookshop, Books by Awawu. As always Alkassim was at his brilliant best, deep, cerebral and forthright. I am not surprised in the least. We choose our special guests carefully. Alkassim Abdulkadir, winner of the Future awards for journalism did not disappoint. The next Book chat is in July and our special guest will be Dr Ferdinand Agu, reader, writer, top level consultant and administrator par-excellence. He was former DG, Nigeria Maritime Authority. Topic- The importance of Biographies. Join us!

Moremi: A final night, A raging controversy

How great nations are made Continued from page 32

Continued from page 32

or regional differences, have attained a broad consensus defining their sense of collective national purpose and destiny. There has to be a sense in which, no matter the depth of the divisions, they feel that they are all British, Indians, Canadians and Americans first and foremost. There will always be differences, but the elites would agree on the basic rules of the game. There are also certain a priori no-go areas. These are necessary for the sake of the survival of the system as a whole. For the British, for example, the no-go areas include the person of the monarch, integrity and independence of parliament and national defence and security. Linked to this must be commitment to nation building. The leaders, regardless of party or ideology, must be committed to fostering policies that ensure the integrity and continuity of the country rather than its dismemberment. Finally, there must be a high sense of national pride. The greatest nations have a deep sense of national pride in their past, their present and future. They do not muck about with national symbols such as the flag, national anthem, their currency, parliament, and the honour and dignity of their head of state.

You will never catch a denizen of a great nation singing of his country as a “jaga jaga country” nor would you catch a member of the opposition, however embittered or alienated, describing his fellowcitizens as “inmates of a zoo”. Children are taught from an early age to take pride in the past and present of their country. They are made to feel an obligation to work arduously for its future. Just like no sane young man can forsake his mother, children who grow up in great nations are taught to love their country and to work continually for its good no matter the odds. They learn to stand tall for their country – in fact, most would ultimately be prepared to die to preserve its honour. These ideas have profound implications for nation building and development in Nigeria. Regardless of our differences, we need a group of people who believe deeply in the Nigeria Project. They need to come together and re-start the grand project of rebuilding our country as a light among the nations. We are bound by destiny to be among the leading nations of the twenty-first century. But it will not happen by chance. Do not ask for whom the bells of the century have tolled – they toll for you and me.

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Ile Ife, to cart off by force what is not theirs. In the Terra Kulture version, as you sit and live through it, the ‘Ugbo’ are aborigines that Oduduwa’s children met on the ground as they founded Ile Ife. In their own narrative, they were passed over when it was their turn to produce a king. They have a justifiable axe to grind. It goes farther than that. The Ooni of Ife, revered Yoruba monarch, has been a major encourager for ‘Moremi the Musical’. He has done a lot to promote the image of Moremi as a heroine of Ile Ife and the children of Oduduwa, even erecting a statue of her in his palace. The statue is the tallest in the whole of Nigeria. The Ooni stirred controversy recently by tracing the origins of the Igbo people of Southeastern Nigeria to Ile Ife, implying an antecedence of kinship between the Yoruba and Igbo peoples. It is easy to extrapolate from that standpoint to the story. Are the ‘Ugbo’ in the play the ‘Igbo’ of modern Nigeria? There is yet another twist to the tale. Oba Akinruntan, the Olugbo of Ugbo-land – a monarch in Ondo State, has asserted that his people – @Businessdayng

the ‘Ugbo’ were the original inhabitants of Ile Ife and true owners of Ile Ife, which is regarded as ‘The Source’ of all mankind in Yoruba mythology. On account of this ‘fact’, he is claiming a place of prominence among Yoruba monarchs. His claim, of course is not recognized by anybody else. The Aare Ona Kankanfo has had cause recently to call him to order. The Ooni’s ‘ecumenical’ historiography concerning the Igbo and the Yoruba may be seen as enhancing to national unity and the development of a sense of brotherhood between the two major races of Southern Nigeria. However, his version of history has been challenged by Iku Baba Yeye, the Alaafin of Oyo. It is all, you reflect, a whole lot of reverberations and implications to be attached to a simple musical drama. Just before the curtains fall, the cast are brought on stage. In celebration of the closing of this run of the play, Bolanle Austen-Peters herself comes on stage to thank her sponsors, starting from the revered Ooni, to the Governor of Ogun State, to the corporate titans who underwrote her costs. The evening, you conclude, as you depart, could not have been better spent.

Friday 10 May 2019

BUSINESS DAY

news Analysts set agenda as Buhari ... Continued from page 1

the Naira a lot more liquidity.” He believes that for more credits to private sector to happen, “CBN should look into the current Cash Reserve Ratio (CRR) regime. It is against what is obtainable globally. CBN’s development fund should be adequatelycoordinatedthroughthe banks to achieve the real growth and transparency needed. CBN needs to ensure that payment service banks are adequately providing the needed services to deepen the services for the unbanked customers.” Emefiele was first appointed as Governor of the apex bank on June 3, 2014 by former President Goodluck Jonathan. Ayodele Akinwunmi, head of Research FSDH Merchant Bank said, “Good development for the financial market and economy. It will help the economy to consolidate the gains recorded under the Governor’s administration in the last five years. It will also ensure the continuity of the current monetary policy stance and its attendant benefits on the economy.”

Taiwo Oyedele, head, Tax and Regulatory Services, PWC, said Emefiele is a safe pair of hands and the market knows what to expect from him, so his appointment is good for stability and market confidence. “Hopefully he can leverage on his experience over the past 5 years to ensure more vibrant pro-growth monetary policies,” Oyedele said. Gbolahan Ologunro believes that the reappointment of the CBN Governor brings stability as this will end the uncertainty around macroeconomic policies particularly around the exchange rate and the multiple exchange window. “We foresee a situation where the CBN will continue in its intervention policies to ensure FX stability,” he said. According to Gbolahan, the current equities market needs more than a CBN Governor, noting that this may not really halt the bearish run in the equities market as investors would want to see bold policy statement from the Government on how they

intend to stimulate growth. Abimbola Omotola, Analyst at Chapel Hill said the reappointment implies the continuation of CBN monetary policy objectives and plans over a couple of years noting that the apex bank under his watch has demonstrated a great bias for FX stability and that will continue. “Monetary policy environment will remain largely tight, evident in the volume of outstanding OMO bills that has increased from N3.5trillion to N13.5trillion,” he said. According to Abimbola, the CBN under Emefiele’s watch has been development focused with interventionist policies in various sectors such as Anchor Borrower Scheme in the Agriculture space and also in the power sector which may likely continue. “The CBN under Emefiele has done much more than is required of them,” he added. In his view, Andrew Nevin, Advisory Partner, and Chief Economist, PwC said Nigerians often have unrealistic expectations of what the CBN and Monetary Policy can achieve. According to him, many of

the country’s economic challenges can only be addressed with structural reforms that are outside the mandate of the CBN, and Nigerians should not look to the CBN to solve all economic issues,” he said in an email response to BusinessDay. Titled: ‘Renewal of the appointment of Godwin Emefiele as Governor of the Central Bank of Nigeria,’ President Buhari’s letter reads: “In view of his expiration of the first tenure of the current Governor of the Central Bank of Nigeria (CBN) on June 2, 2019, and in pursuant to the provisions of Section 81 (2) of the Central Bank of Nigeria 2007, I hereby present for confirmation by the Senate, Mr Godwin Emefiele for reappointment as Governor of the Central Bank of Nigeria (CBN) for a final term of five years. “It is my hope that this distinguished Senate will consider and confirm the nominee in the usual expeditious manner”. A stockbroker wants Emefiele to see his second term as another chance to improve on his engagement with capital market stakeholders, adding

that he should avoid policies that have negative rub-off on the capital market. “We have before now argued that his (Emefiele’s) policies are akin to giving preference to the Money Market than the Capital Market”, he added. “Emefiele should ensure that the interest of Capital Market comes to fore in his policies. Currently, when you look at what happens at the equities market, there is a kind of disconnect between Money Market and Capital Market. The current trend shows higher interest in the Fixed Income (FI) market at the expense of the equity market.” Benedict Obhiosa, executive secretary of the Manufacturers Association of Nigeria (MAN), wants Emefiele to ensure that exporters have unfettered access to their proceeds while working on making sure that companies are able to freely access CBN funds domiciled in deposit money banks. “There are encumbrances to accessing funds such as the CBN’s N220 billion. He needs to ensure that banks comply with the directive of ensure easy access to such single-digit

BusinessDay Top 25 CEOs, Next Bulls... Continued from page 1

business associates and

policymakers. While the Top 25 CEOs Awards have held annually since 2012, the Next Bulls Awards made its debut this year. The introduction of this new award category was in response to the suggestions made by notable stakeholders in the nation’s financial services industry on the need to encourage more companies to be listed on the Nigerian Stock Exchange. “A well-functioning stock market, such as that provided by the Nigerian Stock Exchange, plays an important role in fostering economic growth, promoting good governance in business practices, and facilitating investment through the mobilisation of financial resources,” the 2019 Award Committee said. “Central to the NSE’s reputation as a destination and

source of capital is its ability to deepen liquidity: first, by ensuring that buyers and sellers are able to access financial assets through clear price discovery, and second, by enabling companies to raise capital readily. “The decision to create the Next Bulls Awards follows an informal, proprietary survey carried out by BusinessDay analysts on notable stakeholders in the nation’s financial industry. The purpose was to find the 30 most desirable private, indigenous companies that they would like to see listed on the Nigerian Stock Exchange. “The survey was administered on equity analysts, retail and institutional investors, financial journalists, sectoral experts, professionals and Millennials. It had a 97 percent responserate,”thecommitteesaid. BusinessDay Media Group has the mandate to promote the nation’s capital market through comprehensive anal-

What SBM’s Jollof Index says about... Continued from page 2

how much Nigerians have as income to allocate to other essentials such as clothing, housing, transportation, healthcare and schooling, and then discretionary income. “We believe that it must be

a strategic imperative for the government of Nigeria at all levels to make food cheaper for Nigerians,”SBMrecommended. According to the report, the national Jollof Index has followed a similar path as inflation rate, as not only has the price stabilisedbutitstartedtodecline

Customs squeeze importers with... Continued from page 2

cargo clearing tool introduced by Customs in 2013, issued on imports before the arrival of the cargo. BusinessDay checks show that at the arrival of the cargo, importers pay 5 percent VAT computed by taking the Free on Board (FoB) and total Cost Insurance and Freight (CIF) value, together with 7 percent

port development charge, 1 percent ETLs surcharge before getting the VAT. Today, importers are still paying the 1 percent CIS charge when the scanning machines that are supposed to go with it are no longer functional in the ports and border stations, said Tony Anakebe, managing director, Gold Link Investment Ltd, www.businessday.ng

funds,” he said. Vincent Nwani, investment analystand formerdirectoratLagos Chamber of Commerce and Industry, wants the CBN to work on the FX and reduce multiple exchange rates in the economy toencourageforeignremittances. “He needs to ease the monetary policy and ensure that SMEs are able to walk into banks and access funds. This should start by cutting the monetary policy rate further down,” he said. “Let’s ensur that Diaspora remittances are taken at the right rates,” he added. Polaris Bank Managing Director/CEO, Tokunbo Abiru said the re-appointment of the CBN Governor for another term of five years is a positive development for the economy. “The economic outlook remains positive, as this adds fillip to the continuity of current macro - economic policies initiated by the CBN Governor, Godwin Emefiele. The positive interventions in the Agriculture, Real sector and foreign exchange stability gives confidence that the economy will continue to grow,” Abiru told Businessday. L-R: Emmanuel Orororo, sales manager, Inlaks; Emmanuel Okoroji, head, threat intelligent, FirstBank; Adewale Babayemi, general manager, technical operations, Inlaks; Folasade Femi-Lawal, head, card business, FirstBank; Oloruntimilehin George, group head, financial institutions and multilaterals, FirstBank, and Ada Patricia Momah, assistant director, Central Bank of Nigeria, during the Future Banking Tech West Africa Conference at Lagos Continental Hotel, Victoria Island, Lagos.

ysis of news, events and other developments that serve the interest of all the stakeholders within the economy. In this regards, the Group annually recognises chief executive officers whose contributions to the activities in the

capital market have boosted investors’ confidence, while adding values to shareholders’ investment by means of share price appreciation, dividend and scrip payment. The awardees are drawn from the different sub-sectors

of the NSE and the Nigerian economy. To be selected as a nominee, a company’s share price must have outperformed the All Share Index of the Nigerian Stock Exchange supported by good financials. A firm qualifies for the

Next Bulls Awards if it is healthy financially, with good corporate governance considered sufficient for firms that are to be listed on the NSE. Red carpet opens by 6pm while attendance is strictly by invitation.

in the early months of 2019. Figures by the National BureauofStatistics(NBS)asanalysed by BusinessDay revealed that Nigeria’s inflation rate has decelerated for the third consecutive month in March 2019 to reach its lowest level in six months. The CPI, which measures the composite changes in the prices of consumer goods and

services purchased by households over a period, slowed by 11.25 percent on year-on-year (yoy) basis in March 2019, representing a 0.06 percentage points drop from 11.31 percent recorded in February 2019. This was largely driven by the continuous decline in food inflation, which dropped for the fourth straight month to 13.45

percent in March from 13.47 percent in February, even as core inflation, which excludes the prices of volatile agricultural produce, also declined by 9.5 percent from 9.8 percent. “Nigerians continue to manage funds by buying ingredients in smaller bits as opposed to bulk buying and storing which may reduce cost

of the foodstuff,” SBM noted. Of all the jollof-making ingredients tracked by SBM, only one was the same price across all the 11 markets they tracked in six states across the country – tinned tomatoes, at N70 for the small tin.

a Lagos-based clearing and forwarding company. “The 1 percent surcharge comes from FoB. For instance, if an importer’s goods is worth N10 million, he will pay 1 percent, which equals N100,000, multiplied by the volume of cargo that comes to the port per annum. This shows that Nigerian importers are losing a lot to CIS charge,” said Emma Nwabunwanne, a Lagos-based importer.

Anakebe, who questioned the continued collection of the charge, said the management of Customs needs to define the purpose and to whom the money is remitted, adding that importers need to know if the monies are paid to government, retained by Customs or given to unknown DI agent. “Customs needs to scrap PAAR document and involve in 100 percent destination inspection scheme. They

need to scrap the 1 percent CIS charge because shippers cannot consign a contract to Customs for the job they are trained to do. They went through the training school for one year on HS-Code, risk assessment and duty preparation. It is their statutory function to levy cargo. In addition to all these monies that they are making is the 7 percent of Customs annual revenue given to them by the govern-

ment,” said Nicol of Shippers Association of Lagos State. Nicol, who blamed government policies for encouraging corruption in the system, described Nigeria Customs as one of the richest agencies in Nigeria, even richer than Benin, Ghana and Togo. “We want our goods, which are our lifeline, and the more Customs holds our goods, the more problem we have,” he said.

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Friday 10 May 2019

BUSINESS DAY

CULINARY DELIGHTS

Memories of Ethiopia: A

Bringing you a taste of Addis to Lagos

s the holy month of Ramadan begins I would like to start this edition of Culinary delights’ by wishing you all a fruitful Ramadan. In every cosmopolitan city in the world, you are likely to find an Ethiopian restaurant, from Toronto to New York to Johannesburg, Ethiopian cuisine has been one of Africa’s biggest exports. I am excited to tell you about a different kind of African cuisine in this edition of Culinary Delights’. Cuisine

After the fermentation and being mixed with wheat and millet, it is then ready to be baked into large, flat pancakes. Similar to a Fren ch crêpe, the Injera is poured onto the baking surface, rather than rolled out. The bottom surface of the injera, which touches the heating surface, will have a relatively smooth texture, while the top will become porous. This porous structure allows the injera to be a good bread for scooping up sauces and dishes. Injera is

best served with various meat sauces or vegetarian sauces. While Ethiopian food may be different than most Nigerian dishes, I believe food should be an adventure so I invite you to join me at the Memories of Ethiopia pop up this Sunday at La Taverna Restaurant in Victoria Island this Sunday, May 12th to truly get a taste of Ethiopian cuisine. You can find the details in the flyer below. See you there!

and culinary experience from the corners of East Africa. The land of the Amharic language, Ethiopia. Ethiopia is known for many amazing things, the world best long distance runners, Ethiopian airlines, coffee, and food among other things. When I first discovered to Memories of Ethiopia I was pleasantly surprised an authentically Ethiopian restaurant do well in Lagos. Memories of Ethiopia offers a true culinary and cultural experience and as luck may have it, they are having a pop at La Taverna in Victoria Island. Having tasted this culinary experience about 5 times, I wholeheartedly recommend this pop up happening Sunday, May 12th at 1 pm and 7 pm. The main dish is called Injera, which is the most popular dish on the menu is a sourdough-risen flatbread with a slightly spongy texture that almost every household in Ethiopia will have every day. Teff flour is the main ingredient of Injera. Like a sourdough starter, the flour is mixed with water and allowed to ferment for several days which makes it have a mildly sour taste.

@lehlelalumiere Lehle works at BusinessDay in Strategy Innovation and Partnerships, she is also a financial inclusion advocate and radio anchor. Originally from Senegal Lehle has a passion for food and culinary experiences and enjoys discovering new restaurants in Lagos.

Contact: www.instagram.com/memoriesofethiopia

To make recommendations or for collaborations please send an email to lehle.balde@businessday.ng www.businessday.ng

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Friday 10 May 2019

BUSINESS DAY

NEWS Guinness Nigeria’s Q3F19 results reflect continued difficult operating environment – CEO

uinness Nigeria plc, a subsidiary of Diageo plc, recorded a 4 percent decline in revenue in its Quarter 3 period ended March 31, 2019, compared to same period last year, according to the company’s unaudited results for the period released to the Nigerian Stock Exchange (NSE). Growth in spirits, Guinness and non-alcoholic Malta Guinness was offset by continued challenging operating environment in lager, as well as the impact of increased excise duty on value spirits. Performance was also impacted by the disruption caused by the general election. Cost of sales was flat versus last year while operating profit

declined N3.3bn. However, the productivity initiatives around marketing spend and distribution expenses previously introduced mitigated some of the inflationary cost of sales pressure. Profit before tax declined by N1.6bn with operating profit decline partially offset by a reduction of N1.7bn in net finance costs year on year. Net profit after tax decreased by 16 percent to N4.25bn compared to same period last year. Marketing spend declined by 4 percent as the company continued to focus its investment behind the biggest growth opportunities. Distribution expenses declined on the back of lower top-line performance, while administrative expenses

increased by 7 percent. “In the quarter ended 31st March, 2019, Guinness Nigeria delivered results which reflect the continued difficult operating environment. While lager remains a challenged sector, Guinness and spirits recorded considerable growth, and our non-alcoholic malt drinks grew in the face of intense competitive pressure,” said Baker Magunda, managing director/CEO, Guinness Nigeria plc, commenting on the results for the quarter. “These developments reaffirm our Total Beverage Alcohol portfolio strategy as a key driver of sustainable growth in the market and we will continue to focus on our strategy,” Magunda said.

“While we are conscious of the continued tough operating environment with double-digit inflation and pressured consumer spending, we remain optimistic about the execution of our strategy for the remainder of the 2019 financial year,” he said. Babatunde Savage, chairman of the Board of Guinness Nigeria plc, said “the Board is confident that our strategy is sound, and we are making the right investments in the company to ensure long term competitiveness”. “The Board continues to support the management in its efforts to build a business that aims to consistently deliver growth for stakeholders,” Savage said.

Nigeria loses $0.26bn future GDP to DR-TB in 2017

new report by the Economist Intelligence Unit shows that Nigeria incurred 0.26 billion dollars losses of Future GDP (at Purchasing Power Parity – PPP) due to early mortality from DR-TB in 2017. The report “A Call to Action: It’s Time to End Drug-Resistant Tuberculosis,” published on Tuesday (May 7) by The Economist Intelligence Unit (EIU), was made possible with support from Johnson and Johnson. The EIU is the thought leadership, research and analysis division of The Economist Group and the world leader in global business intelligence for executives. Tuberculosis (TB) is the world’s deadliest infectious disease caused by the bacterium Mycobacterium tuberculosis; annually 10 million people are estimated to develop active TB and approximately 1.6 million people die from it. In the past 200 years alone, TB has killed over one billion people, more deaths than from malaria, influenza, smallpox, HIV/AIDS, cholera and plague combined. DR-TB is an airborne infectious disease that does not respond to the most commonly used TB medicines, the Johnson and Johnson said in a follow up statement on Thursday. “DR-TB is a particularly complicated form of the bacterial

infection and is characterised by resistance to at least one of the most powerful drugs in the first-line treatment regimen. “The reports said that based on current incidence and prevalence rates, DR-TB deaths in a single year are estimated to cost the global economy at least $17.8 billion. “This represents a loss of Future Gross Domestic Product in Purchasing Power Parity (PPP), due to deaths from DR-TB globally (230,000 in 2017). “In addition, in a single year, DR-TB causes a loss of at least 3 billion dollars in PPP terms due to work absences in the approximately 100 countries for which data were available,’’ the report said. The statement said the EIU report noted that in 2017 alone, DR-TB infected over 550,000 people, with cases in nearly every country globally and claimed 230,000 lives. This is in comparison to the devastating Ebola outbreak in West Africa, which attracted significant international attention and investment, had a similar mortality rate and took the lives of approximately 11,000 people over a three-year period (2014–2016). The statement observed that the global response, resources and preparedness are not keeping pace with the increasing spread of DR-TB.

House of Tara provides safe landing for 30 Nigerian returnees with vocational skills OLUWASEGUN OLAKOYENIKAN

L-R: Ademola Abass, special adviser to Lagos State governor on overseas affairs and investment; Kweku Adedayo Tandoh, chairman, Lagos State Sports Commission (LSSC); Femi Pedro, chairman, Lagos State Sports Trust Fund (LSSTF), and Olaposi Ogunbiade, executive secretary, LSSTF, during a press conference by LSSTF in Lagos, yesterday. Pic by Olawale Amoo

SSA construction activities to pick up despite risks MIKE OCHONMA

here are strong indications that construction activities in sub-Saharan Africa (SSA) will grow over the next two years despite various risk factors that threaten to limit economic growth, according to Mace International Consultancy and Construction Company. Mace says the overall outlook for construction activities in SSA is reasonably strong, with an average 6 percent a year growth forecast over the next two years, but warns that there is notable variation across the region. This variation, driven in part by complex political and economic challenges in each nation, creates an element of uncertainty that could potentially destabilise markets and restrict growth. This is particularly possible in countries with high levels of foreign denominated debt. Nonetheless, ambitious and large-scale social infrastructure programmes are expected to support further growth, with housing and energy sectors set to attract significant funding across the

entire region. Ethiopia is leading in this regard, with construction activity forecast to achieve doubledigit growth through to 2020. The cautiously optimistic outlook for construction demand across SSA comes at a time when the costs of construction materials are rising and contractor capacity is already stretched. “Together, these factors suggest that upward pressure on construction costs in the region will continue over the medium term, which will create a challenging procurement environment,” says Kenya-based MaceYMR MD, Simon Herd. The firm expects that better economic prospects will hopefully drive a recovery in the construction sector in the second half of the year, following the election-induced hiatus in public sector investment in a number of African countries. Last year, the Nigerian Institute of Building (NIOB) blamed the poor performance the country’s construction industry and its low contribution to the country’s Gross Domestic Product (GDP) in 2018 on corruption. www.businessday.ng

Pointek trains 1,000 technicians to tackle unemployment, skills gap OBINNA EMELIKE

ointek, Nigeria’s retail store for technology products, has made public its plan to train 1,000 gadget technicians in order to bridge the unemployment gap in the country. The technology products retailer unveiled its empowerment plans during a press conference held at Ikeja, Lagos, Tuesday. According to the Nigerian Bureau of Statistics (NBS), unemployment and underemployment rates in Q’3 2018 were 23.1 percent and 20.1 percent, respectively, with global experts explaining that employment generation can be duly facilitated through small and medium scale businesses. “With the youth constituting about 70 percent of Nigeria’s rising population, we need to have an inclusive economy that will spur national socioeconomic growth,” Emeka Oguchi, managing director, Pointek, said. “While it is the role of the government to provide an

enabling environment for business, private institutions and other stakeholders have to consistently create and support activities that will improve the economy,” Oguchi said. According to Oguchi, competent gadget technicians and entrepreneurs will be produced through the trainings while also making sure that the beneficiaries harness hidden opportunities in the technology sector. “We are extremely proud of our brand reputation among customers across Nigeria, and we intend to leverage on this to improve lives by creating jobs and building new businesses. We also believe that this will be effective in curbing social vices as the trainings are focused majorly on students and prison inmates. The first set of training were recently carried out at Technical School, Agidingbi,” he stated. The event featured insightful sessions as speakers highlighted the issues and opportunities in the industry, including the benefits of speedily addressing unemployment in Nigeria.

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s part of measures aimed at providing employability support programme to reduce illegal migration and make stranded Nigerian returnees self-reliant, the House of Tara International has successfully completed a five-week maiden training for 30 Nigerian youths deported from foreign countries. The training, which came to an end with a graduation ceremony in Lagos on Wednesday, was organised in partnership with the Lagos State Employment Trust Fund under its Skills Development for Youth Employment (SKYE) Programme. Within the five weeks training period, House of Tara exposed the participants to the nitty-gritty of natural, everyday, bridal and engagement makeup as well as branding, with 10 outstanding youths who have already commenced a separate training to deepen their skills ahead final absorption into the beauty and makeup firm. House of Tara presented Clementina Egere, the most outstanding student at the training programme, with prizes and makeup items at the graduation ceremony. “With these items, she can start selling Tara products as a professional artist,” Felicia Okpala, the admin manager at House of Tara, said. Reacting to the feat, Egere expressed confidence over the @Businessdayng

skills acquired, noting that she would work hard to ensure the skills were improved upon for optimal productivity. Owing to the successful completion of the training programme, the other 20 participants from House of Tara and 110 students certified by six other training institutes are expected to proceed for an internship programme for three to six months. This would be complemented with job placements as the LSETF in collaboration with the House of Tara International and other training partners engaged for the SKYE programme would ensure a smooth transition into sectors that need skills acquired by the participants, according to Ijeoma Mezu, employability officer at LSETF. Speaking at the ceremony, LSETF Director of Finance and Corporate Services, Rahman Akinwonmi, assured the graduands the fund would continue to work with partners and training institutes to ensure they get job placements. “When we train you, we believe we need to place you,” Akinwonmi said. The beneficiaries were urged to embraced collaboration and study more on the skills acquired for improvement so as to remain competitive in the Nigerian market. At the end of the ceremony, a total of 140 beneficiaries were issued certificates of completion on their respective programmes.

Friday 10 May 2019

BUSINESS DAY

news Curbing quackery in construction needs Dubai receives 4.75m visitors in Q1 2019 records 8.63m occupied hotel room nights, 84% average occupancy rate improved engagement of experts - NIA …OBINNA EMELIKE Temitayo Ayetoto

overnments at all levels will need to intensify the engagement of experts in every construction project if it must curb the incidence of quack practices resulting in incessant building collapse around the country, the Nigerian Institute of Architecture (NIA) urges. The body says huge losses from poor quality of practice and corner-cutting tendencies of many Nigerians reinforce the need for the implementation and enforcement of all existing laws relating to the urban renewal in their respective domains. “Our governments must not be seen to be paying lip service to resolve the issue of building collapse that has taken the lives of hundreds of innocent citizens with the attendant loss of properties,” Fitzgerald Umah, NIA president, Lagos chapter, said while speaking at the 10th Lagos Architects Forum. “Not until we ensure that only qualified professionals are engaged in the construction projects and also, ensure professionals take ownership of projects designed by them, we will be faced with this unabated and

recurring challenge,” Umah said. The challenge of building has been on the increase with the three-storey building at 63, Massey Street, Ita Faji area of Lagos Island, being among the recent incidences, claiming about 20 lives. According to a panel set up by Babatunde Fashola, former governor of Lagos, there were over 140 building collapse incidents in one year with over 150 lives lost in Lagos. However, the outgoing governor, Akinwunmi Ambode, said the state was responding to the issue through an affordable public housing expected to incorporate the regeneration of the urban slum. In his opening address at the forum, Gbolahan Lawal, the commissioners for works who represented him, said the programme was being run alongside other joint ventures initiated in other sectors such as transportation and health to stimulate largely private-sector driven growth in the state economy. He consequently charged architects to work with other professionals in the building environment to find lasting solutions to the menace of incessant

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building collapse. “The aim is not just improving the quality of the environment in which we live but also to ensure that spaces are more efficiently utilised by creating a more compact city that will more run more efficiently for the state,” the governor said. Over the years, the Architects Forum has sought to identify defects in building systems, exposed new technologies to practitioners and has amplified the essence of strong architectural practices and partners in the state. Through a students’ competition last year, it identified different materials that could be used for affordable housing. And from that, it has commenced the process of constructing its first research project where materials will be subjected to tests. Under partnerships with some research institutes and companies, the results are expected within the next six months. Architecture is complex and must be treated with care, the NIA president said, noting that it must be by guided constant training, retraining and redevelopment of the architects to cope with the present demands smart cities.

ith a 4.75 million international overnight visitors, Dubai picked up momentum on tourist traffic in the first quarter of 2019 (Q1 2019). The tourist traffic record represents over 2 percent increase in tourism volumes compared to the same period last year, according to the latest data released by Dubai’s Department of Tourism and Commerce Marketing (Dubai Tourism). Steadily picking up from a stable 2018 performance, Dubai’s tourism sector saw optimistic indicators from its top volume generators and its emerging growth drivers, setting the pace for 2019 both in terms of visitation numbers and GDP contribution. In key highlights, India started strong, holding on to its position as Dubai’s largest source market with 564,836 visitors, while the Kingdom of Saudi Arabia (KSA) and the UK maintained their second and third positions with 411,586 and 326,586 visitors, respectively, as the city continued to refresh its proposition and sustain its dynamic appeal to these traditional bases. Speaking on the soaring

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numbers, Helal Saeed Almarri, director general, Dubai Tourism, said, “Tourism continues to be one of the most interconnected and highly diversified pillars of Dubai’s GDP, making our economic contribution imperative for collective growth. “Our Vision 2022-25, as set out by Sheikh Mohammed Bin Rashid Al Maktoum, vice president, prime minister of the UAE and ruler of Dubai, is backed by several targeted strategic programmes for delivery by 202022, of which over 70 percent are well under-way. “We recognise the need for accelerated delivery to ensure that Dubai becomes the #1 most visited, preferred and revisited global city for both leisure and business travellers.” Growth from China continued at a high 13 percent year-onyear, aided commendably by Dubai’s ‘China Readiness’ strategy, as 291,662 Chinese chose to visit the city, particularly driving their New Year holiday period in February. Rounding off the top ten feeder markets, the USA witnessed a three per cent surge with 185,864 visitors, while Pakistan, in ninth place, welcomed 137,015 travellers followed by France with 121,189 overnight guests, rising

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two ranks with an impressive 17 percent year-on-year increase. Between January and March 2019, further strides were made to expand Dubai’s hospitality offering to match the evolving needs of visitors, with the openings of new hotels including the W Dubai – The Palm and Mandarin Oriental Jumeirah. Average occupancy for the hotel sector stood at 84 percent underscoring the industry’s stability despite the rising inventory supply, with establishments delivering a combined 8.63 million occupied room nights during the first three months of the year. Spread across a total of 717 establishments, Dubai’s hotel room inventory stood at 118,039 at the end of March 2019, up eight per cent compared to the same period last year. Luxury five-star hotels constituted 34 per cent of the emirate’s total inventory, with four-star hotels commanding a 26 per cent share. Properties in the one- to three-star categories represented a share of 19 percent. With increasing demand for diversified accommodation options, hotel apartment establishments made up a combined 21 percent of the total inventory, split into deluxe/superior and standard categories.

Friday 10 May 2019

BUSINESS DAY

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BUSINESS DAY

TOP

25 CEOs & Next Bulls Awards

40 BUSINESS DAY

Friday 10 May 2019

Top 25 CEOs & Next Bulls Awards ACCESS BANK PLC

HERBERT WIGWE, FCA Group Managing Director

AIICO INSURANCE PLC. Herbert Wigwe was appointed as the Group Managing Director/CEO effective January 1; 2014. He left Guaranty Trust as an Executive Director to co-lead the transformation of Access Bank Plc in March 2002 as Deputy Managing Director. Wigwe started his professional career with Coopers and Lybrand Associates, an international firm of Chartered Accountants. He spent over 10 years at Guaranty Trust Bank where he managed several portfolios including financial institutions, corporate and Multinationals. He holds a B.Sc. degree in Accounting from the University of Nigeria, Nsukka; a master’s degree in Banking and International Finance from the University College of North Wales and another master’s degree in Financial Economics from the University of London. Wigwe is an alumnus of Harvard Business School Executive Management Programme and a Fellow of the Institute of Chartered Accountants of Nigeria (ICAN). Share price appreciation: 45.3 per cent

EDWIN IGBITI Managing Director/CEO Edwin Igbiti is currently the Managing Director/CEO at AIIO Insurance Plc. Prior to Joining AIICO Insurance; he had served and gained vast experience in Insurance from Phoenix Insurance Company, where

LAURENT MOUSSARD Managing Director/CEO Laurent Moussard has been Chief Executive Officer at Airline Services & Logistics Plc since November 2 2015. Moussard commenced his career in the Institute as the Institute’s representative for Vietnam.

Share price appreciation 32.8 per cent

BERGER PAINTS PLC. Modupe Oguntade serves as Acting Managing Director and Chief Financial Officer of Berger Paints Nigeria Plc. Modupe served as Chief Financial Officer of Dangote Sugar Refinery Plc. She holds a Masters degree in Business Administration from Obafemi Awolowo University.

MODUPE OGUNTADE Managing Director/CEO

Share price appreciation 1.3 per cent

Share price appreciation: 21.2 per cent

BETA GLASS PLC.

ASL NIGERIA PLC. In 1995, following a joint venture between Servair and Macau Catering Services in France, Moussard was employed as the Assistant Manager for Administration and Finance. He served at Joint Venture Company from 1995 to 1998 as Assistant Manager for Operation Department, Marketing & Method Manager and Customer Services & Operations Manager. He joined Gate Gourmet, Japan, in 1998 as the Sales & Marketing Manager. He served in various capacities within the group such as Assistant General Manager (Gate Gourmet, France), General Manager (Gate Gourmet, Copenhagen, Denmark), Commercial Director (Gate Gourmet, Copenhagen, Denmark) and Managing Director (Gate Gourmet, Hong Kong). He was a Director with Food Solution Consulting Almaty, Kazakhastan. He has been Director at Airline Services & Logistics PLC since January 2016. Mr. Moussard graduated from the Institut Superieur de Gestion, a French business school in 1993.

he worked for several years. He is a seasoned professional with an inestimable depth and wealth of technical experience that is acknowledged across the industry. He has managed relationships between the company and several international partners and affiliates and is a solution proffering, teamspirited leader with excellent inter-personal skills. He holds an MBA from the University of Ado-Ekiti (2005) and an Advanced Diploma in Management from the University of Lagos. He is a Certified Insurance practitioner with the Chartered Insurance Institute of London and a Fellow of the Chartered Insurance Institute of Nigeria. Aside from being professionally affiliated to the Nigerian Institute of Management, Chartered (NIMC), he is also a certified Business Continuity Systems Lead Auditor from the British Institute, UK and an alumnus of the Howard University Business School, U.S.A. He currently seats on the Governing Council of the Chartered Insurance Institute of Nigeria (CIIN).

DARREN BENNETT-VOCI Managing Director/CEO

Darren Bennett-Voci has been Glass Division Director of Frigoglass SAIC since March

2016. Bennett-Voci has been Managing Director of Beta Glass Plc since April 1, 2016. Bennett-Voci has been Director of Beta Glass Plc since March 17, 2016. He is a multilingual senior executive with 19 years of experience in the container glass industry. He has operated in a wide variety of business environments, cultures and countries, both in Europe and the Middle East. Most of his experience was with global container glass industry leader, Owens-Illinois, where he held a variety of positions in Sales and Marketing at a regional level. He joined Frigoglass in June 2012 as Commercial Director of Glass. He holds a Master in Advanced European Studies from the Collège d’Europe in Warsaw Share price appreciation: 33.1 per cent

CHEMICAL AND ALLIED PRODUCTS PLC. (CAP)

OMOLARA ISWAT ELEMIDE Managing Director/CEO Omolara Iswat Elemide has been the Managing Director and Chief Executive Officer of Chemical and Allied Products plc (also known as CAP plc) since May 4, 2009. Mrs. Elemide served as Secretary and Finance Director of Chemical and Allied Products plc from February 2005 to May 4, 2009 and served as its Managing Director. She joined UAC of Nigeria Plc (UACN) as a Trainee Accountant on October 4, 1983 and became a Chartered Accountant in November 1986. She worked in various capacities within the UACN Group as an Internal Check Manager, Management Accountant and Financial Accountant. She had a six-month attachment exposure

with the Unilever International Audit Departments in Germany, United States of America and United Kingdom, after which she became the Senior Group Manager, Unilever International Audit, Lagos in 1992. At the divestment of Unilever from UACN in 1994, she assumed the position of the Audit Manager. Elemide became the Divisional Commercial Director of G B Ollivant/MDS in 1997 and the Finance Director of UACN Property Development Company Plc in 1998. She has been a Director of Chemical and Allied Products plc since February 2005. She has been a Non-Executive Director of Livestock Feeds Plc since February 2013. She has attended various local and international courses amongst which are the BulletProof Manager Training Series by Crestcom International Colorado, USA, International Management Course at the Four Acres, UK, Unilever International Audit Seminar, USA, Strategy & Finance at the Ashridge Business School, UK. She was Executive Director of Corporate Services at UAC of Nigeria PLC, since January 1, 2018 until 2019 and serves as its Director until 2019. Share price appreciation: 2.5 per cent

Friday 10 May 2019

BUSINESS DAY

Top 25 CEOs & Next Bulls Awards CAVERTON OFFSHORE SUPPORT GROUP PLC

OLABODE MAKANJUOLA Managing Director/CEO

Makanjuola is the Chairman of the Board of Caverton Offshore Support Group. He holds a Bachelor’s degree from the University of Leicester and a Masters

degree from Manchester University both in the United Kingdom. He possesses over two decades of progressive Banking and Finance experience. He served as the Executive Vice-Chairman of Devcom Merchant Bank before the formation of the Caverton Offshore Support Group. Makanjuola was appointed Chairman, International Commercial Bank Senegal, S.A on October 29th 2014. International Commercial Bank Senegal, S.A is a part of the ICB Banking Group, which comprises a network of banks established in the three continents of Asia, Europe and Africa. He currently serves as the Chairman of the Lagos State Security Trust as well as Director to other key institutions in the country Share price appreciation: 48.8 per cent

CEMENT COMPANY OF NORTHERN NIG. Abdulsamad Rabiu, CON founded BUA Group in 1988 and serves as its chairman of the Board and Chief Executive Officer. Rabiu serves as the chairman at Cement Company of Northern Nigeria Plc since February 02, 2010. He serves as the Chairman of BUA Sugar Refinery Limited, BUA Flour Mills in Lagos and Kano, Nigeria Oil Mills Limited, Lagos. He had his early education at Federal Government College, Kano after he proceeded to the United States to study Economics in the Capital University Columbus, Ohio, United States of America.

ABDULSAMAD RABIU, CON

ETERNA PLC.

MAHMUD TUKUR Managing Director/CEO

Tukur is a joint honours graduate of Accounting & Management from the Business School of the University of Wales College, Cardiff. He has a solid track record of business success, well-developed organisational skills and has garnered a

CUSTODIAN INVESTMENT PLC.

OLUWOLE B. OSHIN MANAGING DIRECTOR/CEO

Oluwole B. Oshin, also known as Wole, B.Sc (Hons) MBA ACII FCIIN, founded Custodian and Allied Plc in 1994 and has been its Managing Director since 1994 and also serves as its Chief Executive Officer. Oshins’ insurance career began in 1984 when he worked for three (3) years in the Actuarial

Share price appreciation: 45.2 per cent

Share price appreciation: 15.8 per cent

FCMB GROUP PLC.

Share price appreciation: 104.2 per cent

Sciences Department of the National Insurance Corporation (NICON), Nigeria’s largest Insurance Company. In 1987, he became Assistant Manager in the Executive Support Services Division of Femi Johnson & Co., where Oshins was responsible for the entire insurance needs of big conglomerates with assets running into billions of Naira. In 1991, Oshin joined Marketing Department of Crusader Insurance (Nigeria) Plc as Head of Corporate Marketing, responsible for the marketing of it corporate clients. As a result of his performance and versatile background, he was transferred to head Crusader’s Investment Department where he was responsible for the management of its diversified portfolios. In addition, he is the Nigerian Ambassador to the prestigious International Insurance Society, New York and the Deputy Chairman of the Nigerian Insurers Association. He is a Director of Crusader Nigeria Plc. He serves as Director of Custodian and Allied Plc. He is an Associate Member of the Chartered Insurance Institute, U.K, as well as a Fellow of the Chartered Insurance Institute of Nigeria. He is an Alumnus of Lagos Business School (LBS CEP-9). Oshin has a first degree in Actuarial Science from the University of Lagos (1984) and a Masters degree in Business Administration from the University of Ibadan (1990).

wealth of skills and experience over the past 20 years in the Oil & Gas and Maritime sectors. He served as the MD/CEO of Daddo Maritime Services Limited, a foremost indigenous maritime services company. He is the Vice Chairman of Eco-Marine Group, a shipping line and Terminal Operator with operations throughout West Africa and an Executive Director of Independent Energy Limited (IEL), an indigenous Oil Exploration and Production Company. IEL is the operator of the Ofa marginal field. He sits on the Boards of Dragnet Solutions Limited and Micro-Access Limited. He also sits on the Board of Bourbon International as an Independent Director. He is a Fellow of the Chartered Institute of Shipping in Nigeria and a member of the Governing Council of the Nigerian Chamber of Shipping. He is a recipient of the National Honour – Officer of the Order of the Mono, (OOM) of the Republic of Togo.

LADI BALOGUN Managing Director/CEO

Ladipupo O. Balogun, also known as Ladi, is Non-Executive Director at FCMB Bank (UK) Ltd. Balogun has been the Group Chief Executive of FCMB Group Plc since March 14, 2017 and served its Managing Director. Balogun served as the Managing Director of FCMB. He has over 14 years of experience in commercial and investment banking in Europe, United States of America and Africa. He began his banking career in 1993 at Morgan Grenfell and Co. Limited, one of the UK’s most prestigious investment banks, which was later consolidated into the investment banking division of Deutsche Bank. He worked at Citibank in New York in the area of structured trade finance covering the CEEMEA region (Central and Eastern Europe Middle East and Africa) before returning to Nigeria as an Executive Assistant to the

Chairman and Chief Executive in 1996. Balogun has worked in various areas of the FCMB, including Treasury, Corporate Banking and Investment Banking. His restructuring and business development efforts in IBG were largely responsible for the geometric growth in the Bank’s from 1997 to 1999. Mr. Balogun has received extensive training both locally and internationally, including attending a Citibanksponsored Professional Development Programme as well as the Credit Course for Senior Bankers and the Advanced Credit Course for Senior Bankers at the Citibank School of Banking. Along with Managing Director of FCMB, he is also a director of the following companies: City Securities Limited; CSL Stockbrokers Limited, First City Asset Management Limited and Interswitch Nigeria Limited (Nigeria’s first national payment switch). He has been a Director of FCMB Group since July 1, 2013. Plc. He served as an Executive Director in charge of the Institutional Banking Group (IBG) since 1997. He served as a Director of InterSwitch Limited. He sits on the Advisory Committee of one of Nigeria’s leading private equity firms (SME Partnership). He is a volunteer speaker for two NonGovernmental Organisations in Nigeria focused on training and mentoring the youth and entrepreneurs, namely Fate Foundation and Junior Achievement Nigeria. Recently, he was appointed to the Working Committee established to define modalities for setting up the Ogun State Development Trust Fund. Mr. Balogun holds a Bachelors degree in Economics from the University of East Anglia, United Kingdom (1993) and an MBA from Harvard Business School (2000), United States of America. Share price appreciation: 27.7 per cent

42 BUSINESS DAY

Friday 10 May 2019

Top 25 CEOs & Next Bulls Awards FIDSON HEALTHCARE PLC

FIDELIS AYEBAE Managing Director/CEO

Fidelis Ayebae is the Founder and Pioneer Chief Executive Officer at Fidson Healthcare Limited. He started the company in 1995 after working in various capacities in a num-

ber of organizations, including Citibank Limited. He transformation agenda over the years has succeeded in placing Fidson on the global stage. Ayebae graduated from the Mainland Institute of Technology in 1976 with a Diploma in Civil Engineering. He obtained Advanced Diploma in Business Administration from the University of Lagos in 1999. He is an Associate of the Chartered Institute of Administration and also a member of the Nigeria Institute of Management. He is also the Chairman and Director of many other companies. He has attended many courses, both locally and internationally including banking operation, organisation development skills, and selling skills, among others. Share price appreciation: 33.8 per cent

LINKAGE ASSURANCE PLC

DANIEL BRAIE Managing Director/CEO Daniel Braie is the Managing Director/ CEO of Linkage Assurance plc. He started his insurance career with UNIC insurance in 1978, in the Marine and Aviation department where he rose to the position of Marine Underwriter/Adjuster of Marine Claims. He remained with UNIC holding

several managerial positions until 2001 when he left the company to join Trust & Guarantee Insurance Company Limited as its pioneer General Manager and later doubled as Company Secretary. Following the successful merger between Trust & Guarantee Insurance Company Limited and Crusader Nigeria Plc. In 2007, he joined the Crusader Group as a Deputy General Manager/ Group Head Enterprise Marketing and also held various managerial positions. He was also the Vice Chairman/ Chief Executive Officer of Topflight Insurance Brokers Ltd before joining Linkage Assurance Plc. He is a seasoned Insurance professional with a Distinction from the prestigious West African Insurance Institute (WAII). Daniel Braie is an Associate of the Chartered Insurance Institute of London and Nigeria; he holds an MBA and is an alumnus of Enugu State University of Science and Technology (ESUT) Business School.

PRESTIGE ASSURANCE PLC

BALLA SWAMY Managing Director/CEO BallaSwamy serves as the Chief Executive Officer and Managing Director of Prestige Assurance Plc. Balla serves as General Manager at The New India Assurance Co. Ltd., and served as its Deputy General Manager. He has been a Director at Prestige Assurance Plc. since December 24, 2014. He worked in various Offices and attained Administrative and Underwriting skills in

ranks of Assistant Administrative Officer, Assistant Manager for a period of twelve years in handling major catastrophic losses and Rural Mass Insurance Programmes. He is recognized as Specialist for Agriculture and Rural Insurance business in Andhra Pradesh. He assumed the marketing activities from 1997 to 2004 as Divisional Manager and Senior Divisional Manager in Andhra Pradesh and serviced Major Divisional Office at Vishalkaptnam. In the year 2008, he was elevated to Chief Manager and posted as Head of Reinsurance Department of The New India Assurance Co Ltd, at Head Office, Mumbai up to the year 2010. He was deputed to Prestige Assurance Plc as its Managing Director in November 2014 subsequent to his elevation to the exalted position of Deputy General Manager in the same year. He is also an Associate of the Insurance Institute of India and attended various training programmes at national and international levels on Insurance, Reinsurance and Management studies including Corporate Governance.Balla received an undergraduate degree from Acharya N. G. Ranga Agricultural University and an MBA from Dr. B. R. Ambedkar Open University.

NEIMETH INTERNATIONAL PHARMACEUTICALS PLC

MATTHEW O. AZOJI Managing Director/CEO Matthew O. Azoji is Managing Director, CEO and Member of Board at Neimeth International Pharmace since February 2019. Matthew graduated from the Obafemi Awolowo University, Ile-Ife, Osun State, where he obtained his B. Pharm (First Class Honours). He went on to obtain an MBA (Marketing) from the Enugu State

University of Science and Technology, Enugu, and an Advanced Management Programme (AMP) from the Lagos Business School, Pan Atlantic University, Lagos. He obtained certificates in Pharmaceutical Policy &Pharmacoeconomics from Utrecht University in the Netherlands (a WHO Collaborating centre), and went on to get his M.Sc. in Public health from the University of London, International Programmes. He additionally has an M.Phil. (Pharmacy Administration) from ObafemiAwolowo University, Ile-Ife. Matthew is currently a Fellow of Pharmaceutical Society of Nigeria (FPSN) and fellow, West African Postgraduate College of Pharmacists (FPCPharm). Pharm. Matthew Obi Azoji had before now worked with May & Baker at various levels; was the pioneer MD/CEO of CHAN MediPharm Ltd/Gte, and led the executive and management teams of Bio vaccines Nigeria Ltd., a public – private partnership company between the Federal Government of Nigeria and May & Baker Nigeria Ltd., from where he joined Neimeth.

NEM INSURANCE PLC.

TOPE SMART Group Managing Director/CEO Tope Smart, an Insurance graduate and an award winner from the University of Lagos (1987) is also an Associate of the Chartered Insurance Institute, London (ACII) 1990 and the Chartered Insurance Institute of Nigeria (ACIIN) 1991. He holds a Master’s Degree in Business Administration from the University of Nigeria, Nsukka 2000. A seasoned Underwriter and Marketer, he

started his Insurance Career with the firm of Everyman Insurance Brokers, Abuja in 1987. The Management of the Company later discovered the abundance of talent in him and he was recommended to head the Abuja Branch. He later joined NigerianFrench Insurance Company Limited in 1989. While there, he served the company in various capacities and rose to the position of Head of Marine Unit before leaving for Perpetual Assurance Company Limited as one of the pioneer management staff in 1991. With the successful completion of the recapitalization exercise in 2007, he was appointed the Managing Director/Chief Executive Officer of the new NEM Insurance Plc., a position he held until April, 2009 Smart is currently the Group Managing Director/Chief Executive Officer of the Group, following his increased responsibilities and the company’s expansion into the West African Sub-region with the successful registration of NEM Insurance Company (Ghana) Ltd, a subsidiary of the Group in May, 2009.

NPF MICROFINANCE BANK PLC.

AKINWUNMILAWAL Managing Director/CEO Akinwunmi Lawal holds a Higher National Diploma in Business Administration from Yaba College of Technology (1996) and MBA in Financial Management Technology from the Federal University of Technology Owerri. He is a fellow of the Chartered Institute of Bankers of Nigeria and Microfinance Certified Banker. He is also a fellow of the Association of Enterprise Risk Management

Professional and an Associate of Certified Pension Institute of Nigeria. He has over twenty-eight years of quality banking experience having previously worked with FSB International Bank Plc. (1987-1993) and United Commercial Bank (1993 -1994). He joined NPF Microfinance Bank Plc. over twenty (20) years ago and has served the Bank in various capacities such as Head of Accounts, Head Abuja Liaison Office, Head of Treasury, Head Financial Control and Head Enterprise Risk Management. Lawal has attended various local and international banking management and leadership programmes. He is a team player whose experience makes him well suited to play a leading role in repositioning the Bank as a leading Microfinance Bank in the Microfinance sub-sector of the banking industry.

Friday 10 May 2019

BUSINESS DAY

Top 25 CEOs & Next Bulls Awards SEPLAT PETROLEUM DEVELOPMENT COMPANY PLC

AUSTIN OJUNEKWUAVURU

Managing Director/CEO

Augustine Avuru also known as Austin, has been the Chief Executive Officer of Seplat Petroleum Development Company Plc since May 1, 2010 and serves as its Managing Director. Austin is an outstanding Professional with over 30 years of wide-ranging experience in the Oil and Gas Industry. He began his distinguished career with the Nigerian National Petroleum Corporation (NNPC) where he spent twelve years holding various levels of responsibilities as Well site Geologist, Production Seismologist and Reservoir En-

gineer. From NNPC, he joined Allied Energy Resources, a pioneer indigenous deep-water Operator, where he worked for the next ten years as Exploration Manager and Technical Manager. In 2002, Austin assembled an impressive array of industry professionals to found Platform Petroleum Limited and becoming its Pioneer Managing Director until 2010 when he left to become the Pioneer Managing Director of SEPLAT. He was Technical Coordinator for the 1991 review of the industry MOU. Austin serves as an Executive Director of Seplat Petroleum Development Company Plc. He led the extensive campaign for indigenous E & P participation from 1996 to 2000, and as a member of the National Committee on Local Content Development, chaired the technical subcommittee that drafted the policy blueprint that has transformed into the Nigerian Content Act of 2010. He is a Fellow and was President of the Nigerian Association of Petroleum Explorationists (NAPE). He is a co-Author of Nigerian Petroleum Business, a Handbook and author of Politics, Economics & the Nigerian Petroleum Industry. He holds a B.Sc. Geology degree of University of Nigeria, Nsukka; a Post Graduate Diploma in Petroleum Engineering from University of Ibadan.

UNITY BANK PLC.

OLUWATOMI SOMEFUN Managing Director/CEO Tomi Somefun was appointed Executive Director on March 4, 2015 and later became MD/CEO in August, 2015. She is a Member,

VITAFOAM NIGERIA PLC

STANBIC IBTC HOLDINGS PLC

YINKA SANNI Managing Director/CEO Yinka Sanni has been Chief Executive Officer of Stanbic IBTC Holdings PLC since January 19, 2017. Yinka served as the Chief Executive Officer at Stanbic IBTC Bank PLC until January 19, 2017. Yinka served as the Chief Executive Officer at Stanbic IBTC Holdings PLC. Prior to this, Yinka served as Stanbic IBTC Bank PLC’s Deputy Chief Executive Officer. He served as the Chief Executive Officer of IBTC Pension Managers Limited (IBTC Pensions). He has extensive experience in credit and marketing, corporate finance,

asset management and stockbroking and has been involved in a number of landmark capital market transactions. Prior to this appointment, Yinka served as the Managing Director of Stanbic IBTC Asset Management Limited, which he nurtured from inception in 1996 to become a Leading Independent Asset Manager/Stock broking house in Nigeria. He was responsible for the overseeing the operations of both Stanbic IBTC Pension Managers Ltd (SIPML) and Stanbic IBTC Asset Management Ltd (SIAML). Yinka has also recently led to the growth of SIPML from its start up in 2005 to being the largest PFA in Nigeria. He served as Chairman of Stanbic IBTC Asset Management Ltd. He serves as a Director of Stanbic IBTC Bank PLC. He has been Director of Stanbic IBTC Holdings Plc since 2016. He serves as a NonExecutive Director of IBTC Chartered Bank Plc. He serves as Director at Stanbic IBTC Asset Management Ltd. Yinka is a Chartered Stockbroker. He holds a first class honours degree in Agricultural Economics from the University of Nigeria, Nsukka;an MBA from the Obafemi Awolowo University.

STERLING BANK PLC

ABUBAKAR SULEIMAN Managing Director/CEO Abubakar Suleiman, also known as Abu, has been Managing Director and Chief Executive Officer of Sterling Bank Plc. since April 01, 2018. Mr. Suleiman served as Executive Director of Finance & Strategy of Sterling Bank Plc. (“Sterling Bank”) since April 2014

until April 01, 2018. He was named Chief Financial Officer in 2012 and appointed to the Board of Sterling Bank in April 2014. He is also the executive sponsor of the Bank’s Non-Interest Banking business (Sterling Alternative Finance). He began his career as an Experienced Staff Assistant at Arthur Andersen (now KPMG Nigeria), before moving to MBC International Bank (now First Bank) as a Management Associate. He later worked in Citibank Nigeria in roles spanning Treasury and Asset & Liability Management. Suleiman earned a Bachelor’s degree in Economics at the University of Abuja, a Master’s degree in Major Program Management from the University of Oxford, and has attended various executive education programs at INSEAD, Harvard, Wharton, and Said Business Schools.

Board Finance & General Purpose Committee, Board Risk Management Committee, Board Credit Committee, amongst others. She began her career with Arthur Andersen (now KPMG). She worked at different times with Ventures & Trusts Ltd, Credite Bank Ltd, UBA Trustee, UBA Plc, UBA Capital & Trustee Ltd and was the Founding Managing Director/ CEO UBA Pension Custodian Ltd. Tomi was also a Non-Executive Director on the Boards of UBA Foundations, UBA Trustees, UBA Nominees and UBA Registrars. A graduate of University of Ife (now Obafemi Awolowo University,Ile –Ife), Somefun holds a B.Ed in English Language. She has attended several local and foreign trainings including various industry-specific EuroMoney training programmes and INSEAD Fontainebleau, France. She is a Fellow of the Institute of Chartered Accountants, Nigeria and an alumnus of the prestigious Harvard Business School and University of Columbia Business School, New York. She is a member of the Chartered Institute of Bankers, Nigeria.

TAIWO AYODELE ADENIYI Group Managing Director/CEO

Taiwo Ayodele Adeniyi serves as Chief Executive Officer and Group Managing Director of Vitafoam Nigeria Plc. Taiwo served as Group Technical and Development Director at Vitafoam Nigeria Plc. and also served as Technical Director since July 26, 2012. Taiwo has been an Executive Director of Vitafoam Nigeria Plc since July 2012.

WEMA BANK PLC

ADEMOLA ADEBISE MANAGING DIRECTOR/CEO

Ademola Adebise has been Managing Director and Chief Executive Officer at Wema Bank Plc since October 1, 2018 and has been its Executive Director since July 1, 2018. He was interim Managing Director and Chief Executive Officer at Wema Bank Plc since September 2018 until October 1, 2018. He served as Acting Managing Director of Wema Bank until September 2018. He was Deputy Managing Director at Wema Bank Plc

since January 28, 2017 until July 1, 2018. Ademola joined Wema Bank Plc in 2009. He has been part of the Bank’s Executive management team since the transformation program began in 2009 and has played a pivotal role in the execution of the Strategic turnaround programme for the Bank. He has over 28 years’ experience in the banking industry (inclusive of 4 years in management consulting), and has worked in various capacities in Information Technology, Financial Control & Strategic Planning, Treasury, Corporate Banking, Risk Management and Performance Management. Before joining Wema Bank, he was Head, Finance & Performance Management Practice at Accenture (Lagos Office) where he led various projects for banks in Business Process Re-engineering, Information Technology and Risk Management. He is an alumnus of the Advanced Management Program (AMP) of the Harvard Business School and a Bachelor’s degree holder in Computer Science from the University of Lagos. He obtained a Master’s degree in Business Administration (MBA) from the Lagos Business School. He is a Fellow of the Institute of Chartered Accountants of Nigeria (ICAN). He is also an Associate of the Chartered Institute of Taxation and Computer Professionals (Registration Council of Nigeria). He is an honorary Member of the Chartered Institute of Bankers of Nigeria (HCIB) and a member of the Institute of Directors.

44 BUSINESS DAY

Friday 10 May 2019

Top 25 CEOs & Next Bulls Awards ACCESS BANK PLC. Award : Best Investor Communications on the Nigerian Stock Exchange

HERBERT WIGWE, FCA Group Managing Director

Herbert Wigwe started his professional career with Coopers and Lybrand Associates, an international firm of Chartered Accountants. He spent over 10 years at Guar-

AIRTEL NETWORKS LTD. anty Trust Bank where he managed several portfolios including Financial institutions, Corporates and Multinationals. He left Guaranty Trust as an Executive Director to co-lead the transformation of Access Bank Plc. in March 2002 as Deputy Managing Director. He was appointed Group Managing Director/CEO effective January 1, 2014. He is an Alumnus of Harvard Business School Executive Management Programme. He holds a Master’s degree in Banking and International Finance from the University College of North Wales; a Master’s degree in Financial Economics from the University of London and a B.Sc. degree in Accounting from the University of Nigeria, Nsukka. He is also a Fellow of the Institute of Chartered Accountants of Nigeria (ICAN). Herbert is the Chairman of The Access Bank (UK) Ltd and Interim Chairman of Nigerian Mortgage Refinance Company Plc.

ETRANZACT INTERNATIONAL PLC.

SEGUN OGUNSANYA Managing Director/CEO

Olusegun Ogunsanya is the Chief Executive Officer and Managing Director at Bharti Airtel Nigeria Limited since November 26, 2012. Before then he had served as the Managing Director of Nairobi Bottlers Limited, the Managing Director at Coca-Cola—Nigerian Bottling Company Plcand Managing Director and Head of Retail Banking Opera-

DANA AIRLINES LTD.

Award: Best Transformation and Turnaround on the Nigerian Stock Exchange

NIYITOLUWALOPE Chief Executive Officer

Niyi Toluwalope is the new Managing Director of eTranzact International PLC. Prior to his appointment, Toluwalope, since 2011, has been the Chief Financial Officer of the company. He has an extensive experience in Corporate Finance and Financial Strategy. Toluwalope has an MBA from the University of Virginia Darden School of Business where he studied Corporate Finance and Financial Strategy. He was also a Senior Associate at PricewaterhouseCoopers

ALPHA MEAD GROUP

FEMI AKINTUNDE

Group Managing Director / CEO Femi Akintunde is an Industrial Engineering Graduate with a Masters degree in Engineering Management and a graduate certificate in Management, An accomplished engineer and business management professional with strong entrepreneurial drive. Femi is a registered member of many professional organizations such as: COREN, Nigerian Society of Engineers (NSE), Nigerian Institute of Management (NIM), Institute of Personnel Management

tions of Ecobank Transnational, Inc.In 1994, he joined The Coca-Cola Company in Nigeria as Head of Treasury and subsequently spent some time in Atlanta on a short term assignment at the Corporate Office. In 1998, he was seconded to the Coca-Cola Bottling Company of Ghana as the Finance Director. In parallel with his responsibilities as General Manager of Coca-Cola Ghana, Segun was appointed in 2004 as Deputy Region Manager for the Equatorial West Africa Countries, supervising three countries. He has 24 years of experience across multiple geographies, organisations and diverse sectors including fast moving consumer goods and banking. He served as Managing Director of Retail Banking Operations and Head of Retail Banking Operations at Ecobank Transnational INC from 2008 to 2009, covering 28 countries in Africa. Mr. Ogunsanya, is a 1987 graduate of Electrical & Electronics Engineering from the University of Ife and also a Chartered Accountant

JACKY HATHIRAMANI Managing Director/CEO

As the Group Managing Director, Jacky has to his credit many business innovations that have enabled Dana Group to successfully

foray into diversified fields in new product lines. An honours graduate in Business Administration from European Business School of London, he has, since 1997 been responsible for strategically directing the Group in building a formidable niche in Nigeria as a conglomerate dealing within several sectors of the economy. He has steered the Dana Group to its current status as a leading player and his presence has seen the Group increase its turnover manifold. The drive into Automobiles and Steel has assured success, which has been further augmented by the recently established FMCG factory for Milk Powder packaging and Instant Noodles. The upcoming new Rice Mill and Steel Rolling Mill has been added to his portfolio.

ENYO RETAIL & SUPPLY LTD. (IPM), Institute of Industrial Engineers (IIE), International Facility Management Association (IFMA), among others. He started his career in 1988, with Nestle Food Nigeria Plc as an Industrial Engineer (Factory) and rose to the position of Head, Corporate Technical Planning, a position he occupied between 1991 and 1993, before proceeding to Shell Petroleum Development Company (SPDC). His 12 years at Shell saw him occupy senior and management positions in the following key areas: Human Resources, Major oil & Gas projects, Engineering Services, Facilities, and Assets Management. Following his tenure in Shell Petroleum Development Company (SPDC) and Shell Nigeria Exploration and Production Company (SNEPCO), Femi served as Deputy General Manager, Corporate Services, United Bank for Africa (UBA), where he was responsible for delivering corporate services to the entire UBA Group of Companies in Nigeria and overseas, covering Banking, Insurance, Asset Management, Global Markets, and so on.

ABAYOMI AWOBOKUN Director/CEO

Abayomi Awobokun who now has significant IT and project management experience with MCP, CCNA and PRINCE 2 certifications, worked briefly at the Lagos Business School as an administrative staff before pursuing a Masters degree in International Business from the UK where he worked as Area Manager, Halifax Bank of Scotland before his return to Nigeria. In mid-2000s, he returned to Nigeria to take up an appointment with Oando Plc as a contract staff where he handed a career-defining task of implementing software change-over. Later, he became the Executive Assistant to Wale Tinubu, Group Chief Executive of the Oando Group, a role he combined with being the Head of Investors Relation for the Group. Few years later he became the Chief Operating Officer and later the CEO of Oando Marketing Plc. where he was able to stabilize the company and positioned it as a top oil marketer. Now Yomi is the Director/CEO of Enyo Retail & Supply Ltd.

Friday 10 May 2019

BUSINESS DAY

Top 25 CEOs & Next Bulls Awards IHS TOWERS NIGERIA LTD.

MOHAMAD DARWISH Managing Director/CEO

Mohamad is currently the Chief Executive Officer overseeing IHS Towers’ largest market, Nigeria. He has over 15 yearsof experience working in the telecommunica-

tions sector. As a co-founder of IHS Towers, he has worked in various finance and technical functions and served as the IHS Nigeria Business Development Director and Deputy CEO before becoming the Nigeria CEO. Mohamad is responsible for growing IHS Nigeria’s operations and further strengthening its position as the leading tower company in Nigeria. He oversees the development of the IHS Nigeria strategic plan, the roll out of new sales strategies, and manages various key relationships with clients, regulators, ministries and NGOs.As a member of the IHS Finance and Banking, Risk Management, and Ethics and Compliance committees, Mohamad also focuses on defining IHS Towers’ strategic plans on a group level while ensuring the Company is fully compliant with international standards and best practices. Mohamad has a Master of Engineering in Applied Operation Research from Cornell University, a Master of Business Administration with Honours from Rollins College, and a Bachelor of Electrical Engineering from the American University of Beirut.

SYSTEM SPECS LTD

JOHN OBARO Managing Director/CEO

John Obaro is a distinguished alumnus of both Ahmadu Bello University, University of Lagos, and the Chief Executive Program (CEP3) of Lagos Business School. He has served at various times on the Boards of the Ministerial Advisory Council on Information and Communication Technology, Institute of Software Practitioners of Nigeria, Computer Professionals Registration Council of Nigeria

VFD GROUP PLC.

PHASE 3 TELECOMS LTD.

STANLEY JEGEDE Chief Executive Officer

Jegede obtained a B.Sc. (honours) in business information systems from the University of North London in 1995 and M.Sc in business information technology from Middlesex University, in 1996. He worked as a Business Analyst in the United Kingdom between 1997 and 1999 and later joined

Verizon Communications (Formerly Bell Atlantic) USA, in 1999 to 2002 as a Senior Business Analyst. At Verizon, he supervised the implementation of a new billing system—Express Track—across 14 states of the United States.In 2003, Jegede helped found Phase3 Telecom, a firm licensed to offer national long distance transmission services using fibre optic, initially within the territory of Nigeria. Jegede was appointed as a member of the Broadband Committee inaugurated by President Goodluck Jonathan and charged to produce a Broadband roadmap plan to drive broadband penetration across Nigeria. As CEO, Jegede has always shown commitment to quality of service and this in turn has yielded numerous awards including the International Arch of Europe award for Quality as well as best Infrastructure Service Provider award 2012 in the Africa-America International business awards, amongst other notable recognitions conferred on Phase3 Telecom.

RACK CENTER

(CPN), Governing Council of the National ICT Incubation Program (iDea), and many more.e is a fellow of the Center for African Policy Development and Research, Glasgow, Scotland; a Fellow of Nigeria Computer Society (NCS); an ex-member of the Governing Council of Computers Professionals (Registration Council) of Nigeria (CPN) – the highest industry practice regulatory body; and immediate past 1st Vice President of the Institute of Software Practitioners of Nigeria (ISPON). Having enjoyed a successful career with International Merchant Bank (IMB), John Obaro founded SystemSpecs some 25 years ago as a West African Partner to Systems Union, UK, offering the SunSystems suite of solutions. The company soon started developing its own proprietary Payroll and Human Resource Management solution, HumanManager, which has become the preferred choice for many leading public and private sector organisations in Nigeria and West Africa.

AZUBIKE EMODI Managing Director

Azubike Emodi is the Managing Director of VFD Microfinance Bank. He is a resourceful and financial service specialist with experience in retail and commercial banking. He worked with Zenith Bank between before

joining Maxxon Pro Service Inc in Canada where he worked as an Investment Advisor/ Financial Planner. Until this appointment he was a Client Advisor (Personal and Commercial Banking) with the Royal Bank of Canada. Azubike is a member of IFIC (Investment Fund in Canada) and also an Associate member of the Chartered Institute of Bankers of Nigeria. He holds a B.Sc in Banking and Finance, MBA Management and M.Sc Banking and Finance all from the University of Nigeria Nsukka Enugu Campus.

FAMCROWDY

ONYEKA AKUMAH Co-Founder/CEO

Onyeka Akumah is the Founder and Chief Executive Officer (CEO) of Farmcrowdy – a start-up he launched in November 2016 and is currently referred to as Nigeria’s First Digital Agriculture platform.Prior to Farmcrowdy, Onyeka was the Chief Commercial Officer of

Travelbeta – one of Nigeria’s leading online travel agencies. He has also worked with Konga as Vice President; Marketing, Jumia as Director of Marketing & Partnerships, Wakanow as Online Marketing Manager, EMarketing Coordinator for Deloitte for West, East and Central Africa, and Webmaster for British Council in Nigeria.In addition to being the CEO of Farmcrowdy, Onyeka currently sits on the Board of leading tech start-ups in New York and Lagos and constantly seeks ways to impact on Nigerian youths through media and technology.He was named one of Africa’s 30 Innovators 2018 in the recently published Quartz list and one of the Top 20 Young Entrepreneurs to Watch in Africa by the African Youth Forum in Egypt.

HALOGEN SECURITY COMPANY LTD

TUNDE COKER Managing Director/CEO

Tunde Coker holds the position of managing director at Rack Centre. He has a 25-yearinternational experienceand background in the ICT Industry, and has worked for numerous global organizations across Europe, the United States, Asia, and Africa such as GSK, ABN Amro, UBS, JP Morgan, Merrill Lynch, and The Prudential. He previously held the position of global applications director at BP, and prior to returning to Nigeria, was chief technology officer of the UK Criminal Justice System and CIO of the U.K.’s Ministry of Justice. In Nigeria, Mr. Coker was previously group CIO of Access Bank PLC and also served as the managing director/CEO of Emerging Markets Payments, West Africa and Central Africa.

WALE OLAOYE

Group Managing Director/CEO Wale is a high riding Risk Management Professional and business strategist committed to the transformation of private security’s value and impact on business and national security. His professional experience spans twenty five years across four continents with extensive capacity and influence to resource globally. He was formerly the Country/ Group General Manager of TNT International (global leaders in Express, Mail, Logistics &

Aviation)/IAS Express Nigeria where he also had responsibility for the overall business management for Nigeria and West Africa including network and line haul security. He was also a former Chief Operating Officer of Impex Worldwide Limited, Nigeria and United Kingdom. A member of the American Society for Industrial Security (ASIS), Member, Association of Licensed Professional Security Practitioners of Nigeria (ALPSPN), Fellow Nigerian Institute of industrial security; FNIIS; Fellow International Institute of Professional Security, FIIPS; Police Community Relations Committee (PCRC) and Member Institute of Directors, IOD; Alumnus University of Ife, Lagos Business School, LBS; IESE of University of Navarra, Barcelona, Spain.

Friday 10 May 2019

BUSINESS DAY

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BUSINESS DAY

SPECIALREPORT on

A 2nd term for Governor Emefiele A case for consolidation

Friday 10 May 2019

BUSINESS DAY

A 2nd term for Governor Emefiele

resident Muhammadu Buhari has asked the Senate to confirm the reappointment of Godwin Emefiele as Governor of the Central Bank of Nigeria (CBN), breaking the long-standing jinx of a single term for

the office. The president revealed his choice in a letter sent to the country’s Senate, titled: ‘Renewal of the appointment of Godwin Emefiele as Governor of the Central Bank of Nigeria,’ the letter reads: “In view of the expiration of the first tenure of the current Governor of the Central Bank of Nigeria (CBN) on June 2, 2019, and in pursuant to the provisions of Section 81 (2) of the Central Bank of Nigeria 2007, I hereby present for confirmation by the Senate, Mr Godwin Emefiele for reappointment as Governor of the Central Bank of Nigeria (CBN) for a final term of five years. The consideration for reappointment is a testament to the achievements of Emefiele in his first tenure, and doubles as an opportunity for continuity in policies Emefiele put in place to drive the country’s economy and financial system. Emefiele breaks jinx; to be retained as Apex Bank’s chief till 2024 Roy Pentelow Fenton, (24/7/1958-24/7/1963) Alhaji Aliyu Mai-Bornu (25/7/1963-22/6/1967) Dr. Clement Nyong Isong (15/8/1972-24/9/1975) Mallam Adamu Ciroma (24/9/1975-28/6/1977) Mr. O. Ola Vincent (28/6/1977-28/6/1982) Alahji Abdulkadir Ahmed (28/6/1982-30/9/1993) Dr. Paul Agbai Ogwuma (1/10/1993-29/5/1999) Chief (Dr.) Joseph Oladele Sanusi, CON (29/5/199929/5/2004) Prof Chuwkuma C. Soludo, CFR (29/5/200428/5/2009) Mallam Sanusi Lamido Sanusi, CON ( 4/6/20092/6/2014) Mr Godwin Emefile, CON (3/6/2014-Date) A look at CBN’s Policies and Achievements under Emefiele Exchange Rate Reforms and Foreign Reserve Accretion Upon assumption of office, the country was operating an inefficient exchange system which allowed for round-tripping and provided too much room for arbitrage and rent-seeking behaviour. The Retail Dutch Auction System (RDAS) and Wholesale Dutch Auction System (WDAS) encouraged adverse selection as buyers had become more interested in obtaining dollars for arbitrage than engaging in importation of goods, prompting Emefiele to ban the system in 2014 and direct transactions to go through the interbank in a bid to the curtail misuse of forex. Prior to his tenure, reserves had fallen from a peak of US$62 billion in 2008 to only US$37 billion following the sharp drop in crude oil prices, CBN’s monthly foreign exchange earnings basically plummeted from as high as US$3.2 billion to as low as US$700 million monthly. To avoid further depletion in the reserves, the CBN took a number of countervailing actions including the prioritization of the most critical needs for foreign exchange. In this regard, the governor in order of priority decided to provide the available but highly limited foreign exchange to meet the following needs: • Matured Letters of credit from commercial banks • Importation of petroleum products • Importation of critical raw materials, plants and equipment • Payments for school fees, BTA, PTA and related expenses Also, the current upward trend in crude oil prices has contributed immensely to making the objective to boost the country’s external reserves a success. Later in April 2017, the Central Bank of Nigeria (CBN) introduced the Investors & Exporters (I&E) window to: - Boost liquidity in the Foreign Exchange (FX) market - Ensure timely execution and settlement for eligible transactions - Reduce excessive demand for FX - Foster transparency in the market. The window yielded fruits as it brought stability

to the FX market since inception and helped trigger massive foreign portfolio inflows (FPIs). The apex bank realized about US$35 billion in autonomous inflows alone from the window, an indication of improved FX supply. Since the window came on board, the naira now trades against the vehicle currency, US dollar, in a tight band. Moreso, stability in the FX market showed resilience as exchange rate shrugged off pressure during the general election cycle, an uncommon feat in the country’s economic history. Even after the conclusion of the general elections, the rate at which naira exchanges dollar stayed stable around N360/$ on the window. Given the stability of rate on I&E segment of FX market among other factors, Nigeria’s domestic bond market remains one of the most attractive investment destinations in the emerging market space, having received more than US$6 billion inflows post-election. Anchor Borrowers’ Programme (ABP) In a bid to diversify the country’s productive base away from crude oil and provide robust support for local production, the CBN introduced the Anchor Borrowers’ Programme (ABP), which was launched by President Muhammadu Buhari on November 17, 2015. The policy thrust of ABP is to provide farm inputs in kind and cash (for farm labors) to small holding farmers to boost production of those commodities, stabilize inputs supply to agro-processors and address the country’s negative balance of payment on food. The program was also designed to: - Elevate banks’ financing in the agricultural sector. - Minimize the importation of agricultural products and conserve external reserves. - Assuage poverty among smallholder farmers, and help them grow from subsistence to commercial production levels. The program was birthed from the consultations the Apex Bank had with stakeholders comprising Federal Ministry of Agriculture & Rural Development, State Governors, millers of agricultural produce and smallholders farmers to boost agricultural production. The identified agricultural commodities include products with comparative advantage to Nigeria comprising cereals (rice, maize, wheat), cotton, roots & tubers (cassava, yam, potatoes, ginger), sugar cane, tree (oil palm, cocoa, rubber), legumes (soybeans, sesame seed, cowpea), tomato and livestock. ABP helped improve the domestic production of rice in Nigeria, and the country has overtaken Egypt as the largest rice producer in Africa, supplying key markets in neighbouring countries. Since the inception of the program till March 2019,

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the CBN disbursed N171.35 billion to participants across the country. A total 920, 788 farmers have benefited, cultivating about 960, 643 hectares nationwide. More so, the program has generated about 2.5 million employment opportunities for Nigerians. Ban on Foreign Exchange on Staple Commodities At a press conference in Abuja, 2015, Emefiele noted that the high cost of importation to the tune of N1.3 trillion on average for importing just Rice, Fish, Sugar, and Wheat every year was a significant drag on the economy. The reliance on foreign sources for inputs was due to the fact that the local primary industry before Emefiele was starved of credit hence there was no real catalyst to spur local content sourcing and the domestic manufacturing sector suffered. Realizing that even at the height of oil prices and associated revenue to the government, the country mismanaged buffers through excessive dependence on imported items; the Apex Bank placed a restriction on foreign exchange for 41 commodities (now 43) on June 23, 2015. The CBN came up with this policy in order to: - Reduce the country’s outrageous food import bill. - Resuscitate domestic industries. - Improve employment generation. - Conserve foreign exchange reserves. - Diversify the economy towards non-oil sectors. The products include rice, cement, margarine, palm oil products/palm kernel, enamelware, poultry (chicken, eggs & turkey), vegetable oil, tomato, fish and wheat among others. The implementation of this policy so far reduced the country’s vulnerability to external shocks by curtailing importation. It was on the back of this policy among other factors and improved lending to the real sector that made Nigeria exit recession in the second quarter of 2017. The country now has the capacity to cover about eleven months of its import bills, eight months above the global benchmark of three months set by the International Monetary Fund (IMF). Monetary control towards price stability The Central Bank of Nigeria under the headship of Emefiele adopted a tighter policy stance in which the benchmark interest rate was raised by 200 basis points from 12 percent to a record high of 14 percent in July 2016. The apex bank made this decision to curtail inflationary pressure that may be transferred from the exchange rate to domestic prices. The apex bank kept the policy rate at 14 percent for almost three years to keep the inflation rate within its preferred band of 6-9 percent. Consequently, the

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prices of goods and services began to moderate as the annual average inflation rate eased from 16.65 percent in 2017 to 12.15 percent in 2018. In addition, the headline inflation slowed in three straight months from 11.44 percent in December 2018 to 11.25 percent in March 2019. The Emefiele-led CBN was able to maintain price stability on the back of monetary policy tightening and improved foreign exchange inflows following the establishment of the Investors & Exporters window. For the first time in the economic narrative of Nigeria, the inflation rate was stable amid pressures relating to general elections and electioneering spending as headline CPI slowed by 0.06 percentage points from 11.37 percent in January 2019 to 11.31 percent in February 2019. Seeing sizeable improvement in the general price level, the Monetary Policy Committee, which is the highest decision-making organ of the CBN, reduced policy rate by 50 basis points to 13.5 percent on March 26, 2019, to spur economic growth. Thankfully, inflation rate further eased to its lowest level since September 2018 at 11.25 percent in March 2019. Micro, Small and Medium Scale Enterprises Development Fund (MSMEDF)’ In recognition of the significant contributions of Micro, Small and Medium-Sized Enterprises (MSMEs) to the economy and considering the fact that the MSMEs are constrained by huge financing gap, the Central Bank of Nigeria established a N220billion Micro, Small and Medium Scale Enterprises Development Fund in August 2013. The broad objective of the fund is to channel low-interest funds to the MSMEs through Participating Financial Institutions (comprising microfinance banks, finance companies, deposit money banks) to: - Enhance access by MSMEs to financial services. - Increase productivity and output of microfinance institutions. - Increase employment and create wealth. - Facilitate inclusive growth. The MSMEDF was revised in 2014 by Emefiele-led CBN. The fund has two components – commercial and development. The commercial component constitutes 90 percent of the fund which is disbursed in the form of wholesale funding to PFIs in 60:40 ratios between women and others. The wholesale funding is aimed to provide facilities to qualified and eligible PFIs for on-lending to MSMEs. The developmental component makes up the remaining 10 percent of the fund, earmarked to support general development of MSMEs sub-sector. In accordance with the provisions of the Revised Microfinance Policy, Regulatory and Supervisory Framework for Nigeria, enterprises that are funded under the scheme include Micro-enterprises (agricultural value chain activities, cottage industries, artisans, trade & general commerce, services to hotels,

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Friday 10 May 2019

BUSINESS DAY

A 2nd term for Governor Emefiele schools, restaurants & laundry, renewable energy) and Small and Medium Enterprises (manufacturing, educational institutions, agriculture, etc). The scheme set aside a maximum of 10 percent of the commercial component of the fund for trade and commerce. This is to ensure that productive sectors of the economy continue to attract more financing necessary for employment creation and diversification of the country’s economic base. The apex bank so far has disbursed over N100 billion to the sub-sector and under the auspices of the Bankers’ Committee more than N60 billion was earmarked under the Agri-Business Small and Medium Enterprises Investment Scheme (AGSMEIS) to finance MSMEs in the agriculture and manufacturing sectors of the economy.

and eased 18 market sentiments, also boosted the doing business indicator. According to the latest World Bank annual ratings, Nigeria is ranked 146 among 190 economies in the ease of doing business table. Though Nigeria dropped one spot vis-à-vis the 2017 ranking, this was somewhat an improvement over the ranking of 169 earned in 2016. Banking Sector Reforms

Promoting Financial Inclusion Despite the proliferation of banks before Emefiele’s tenure, most bankable adults were outside of the country’s financial system. The financial inclusion rate was low, around 32 percent as of 2012 meaning millions of Nigerians especially those in the lowincome segment could not access financial products and services. To facilitate progress towards achieving the 20 percent exclusion rate target by 2020, the Governor of the Central Bank of Nigeria, Godwin Emefiele, unveiled four policy documents – Revised National Financial Inclusion Strategy (NFIS 2.0), the Financial Literacy Framework, the Consumer Protection Framework and the Consumer Education Framework In the NFIS 2.0, the Bank identified five areas of priorities in improving financial inclusion across the country: 1. Create an enabling environment for the expansion of DFS. 2. Enable the rapid growth of agent networks with nationwide reach. 3. Harmonize KYC requirements for opening and operating accounts/mobile wallets on all financial services platforms. 4. Create an enabling environment to serve the most excluded. 5. Improve the adoption of cashless payment channels, particularly in government-to-person and person-to-government payments. Based on the aggressiveness of the CBN in promoting financial inclusion, the country was able to achieve a 63.3 percent financial inclusion rate in 2018. In October of 2018, the central bank released an exposure draft to all banks, telecommunication companies, mobile money operators, banking agents and the Nigerian Communications Commission (NCC), outlining a proposal for the licensing and regulation of Payment Service Banks (PSBs). The apex bank driven by the desire to narrow the financial inclusion gap was proposing the establishment of Payment Service Banks which would enhance the accessibility of low-income earners to financial products and services, thus deepening the country’s financial system. The initiative which was designed in Emefiele’s time in office sought to adopt a more innovative approach to broaden financial services reach as inclusion remained below the desired level, despite the introduction of microfinance banking, tiered knowyour-customer-requirements and mobile money. One of the notable successes since the unveiling of the PSB plan has been the interest of MTN, one of Africa’s largest telecommunications service provider and the market leader in Nigeria and other Telcos including Airtel in obtaining the PSB license. Intervention in Key Economic Sectors Real Sector The CBN under the leadership of Emefiele as part of its developmental finance interventions formulated a series of policies to foster the growth of the real sector in a bid to expand the productive base of the Nigerian economy. The apex bank established a N300 billion real sector support facility (RSSF) in 2014 to support large enterprises for start-ups and expansion financing needs of N500 million up to a maximum of N10 billion for players in the manufacturing sector and agricultural value chain. Recognizing inadequate financing as one of the major challenges of the real sector, the Monetary Policy Committee at its July 2018 meeting, vowed

to refund 100 percent cash reserves to banks that plan to fund new projects or expand existing ones in the agriculture and manufacturing sectors, with the overarching objective of improving bank lending to high-impact sectors. The CBN took a number of interventions in the agricultural sector comprising Commercial Agriculture Credit Scheme, Agriculture Credit Support Scheme, Anchors Borrowers Program and Nigeria Incentive-Based Risk Sharing System. These interventions were essentially made to support the local production of rice, fish, sugar and wheat, that account for a large chunk in the country’s import bill. As a result of the restrictions placed on foreign exchange on 43 commodities, improved supply of foreign exchange and relative stability of the naira, the domestic production of most of the items picked up, moreover, local manufacturers recorded improvement in their top and bottom lines. - Rice: The Anchor Borrowers’ Programme significantly boosted the local production of rice in Nigeria, thereby making the country the top producer of the commodity in Africa. Also, the apex bank was able to save over $600 million on rice importation. - Tomato: Several policies were taken by the CBN to support local production of tomato. The measures include restriction of foreign exchange on tomato paste and concentrate, inclusion of tomato industry in the Anchor Borrowers’ Programme, foreign exchange concessions for key players – Dangote Farms Limited and Erisco Food, Tropical General Investments and Vegefresh Limited among others. The concession is to enable them to source foreign inputs that are unavailable locally. The CBN intervention in the industry is a little above N10 billion in 8 projects. One of the projects is Dangote Green House manufacturing project that has the capacity to produce 10 million tomato seedlings in a month, which would be sold to about 5, 000 out growers. The project brings benefits to the economy as it is capable of creating 1 million jobs from supporting small farm holder farmers in cultivation to paste and saving more than $250 million per annum. - Textile: Recognizing the fact that the textile industry has lost its glory as it is bedeviled with escalating operating costs and dampened sales on the back of huge energy cost, inadequate funding and smuggling of textile products, the apex bank adopted a number of measures to revive the sector. The measures include (a) provide funds to textile manufacturers at single-digit interest rate to enable them to produce quality textile materials for domestic and export market; (b) reinforcing the ban of forex for textile materials and mapping out measures to curb textile smuggling; (c) supporting the importation of cotton lints for textile factories; (d) ensuring access to power supply and (e) supporting players to source high yield cotton seedlings that meets global benchmarks. - Oil Palm: The Apex bank banned foreign www.businessday.ng

exchange on oil palm with the view of discouraging importation and supporting local production. However, the policy was semi-effective as oil palm import bill fell by about 40 percent. Still not satisfied about this, the Bank at the last meeting with stakeholders vowed to revive the sector through the provision of intervention funds at 9 percent to spur oil palm production and expand the sources of foreign exchange earnings of the country. Entertainment: Nigeria’s creative industry gets a boost as CBN opens access to N533m CIFI fund In a bid to support the creative industry as the Central Bank of Nigeria (CBN) in May 2019 released the Creative Industry Financing Initiative (CIFI), calling on youths into creative business to go to their bank of choice to access funds up to N533 million at 9 percent interest rate. The CIFI, which is part of efforts to boost job creation in Nigeria, particularly among the youths, was developed by the CBN in collaboration with the Bankers’ Committee. The initiative, targeted at providing funds for the creative art industry, according to the apex bank, comes in four pillars – fashion, information technology, movie, and music. Through the notification seen by BusinessDay, the lender is inviting Nigerians who have business in fashion, ICT, movie production, movie distribution, music and software engineering student to apply for loans which at a maximum of 9 percent interest per year. (a) N3 million for software engineering student; (b) N30 million for movie production business; (c) N500 million for movie distribution business; (d) cover your rental/service fees for fashion and information technology business; (e) cover your training fees, equipment fees, and rental/service fees for music business Power: The Emefiele-led Nigerian Apex Bank established a N213 billion Electricity Market Stabilization Facility in September 2014 (CBN-NEMSF) to clear debts that were inherited from the defunct Power Holding Company of Nigeria (PHCN) by privatized utility firms after November 1, 2013. The facility was set-up to ensure the power sector deliver tangible improvement for the benefits of Nigeria, address shortfalls in power sector revenues caused by needed adjustments in electricity tariff basic gas debt and in the process reset the economics of the sector. Ease of Doing Business A number of CBN’s policies and initiatives contributed to improving the ease of doing business in Nigeria. Specifically, the establishment of the Credit Bureau and the National Collateral Registry, which improved access to credit in the domestic economy, contributed significantly. Besides, the introduction of the transparent I&E FX Window, which increased investor’s confidence

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The Nigerian banking industry has undergone several changes in the past, particularly prior to 2004 during the tenure of Professor Charles Soludo as the Governor of the Central Bank of Nigeria. During this period, the regulator announced an upward review of a minimum capital requirement of banks operating in the country from two (2) billion naira to twenty-five (25) billion naira as a result of the failure of banks recorded in the previous decade. Unfortunately, as at the December 2005 deadline given for the consolidation, only a few Nigerian lenders had the minimum capital requirement. As a result, several merger and acquisition transactions took place, causing 89 banks to shrink into 25 banks including some new entities that emerged. Access Bank Plc acquired Marina International Bank and Capital Bank International; Afribank Nigeria Plc emerged from the combination of Afribank and Afribank International (Merchant Bank); Platinum Bank Limited merged with Habib Bank Nigeria Limited to form Bank PHB Plc. Diamond Bank emanated from the merger of Diamond Bank and Lion Bank; Fidelity Bank acquired FSB International Bank and Manny Bank; First Bank of Nigeria Plc took over MBC International Bank Plc and FSB Merchant Bankers Limited; Equitorial Trust Bank Limited merged with Devcom Merchant Bank Limited; First City Monument Bank Plc acquired Cooperative Development Bank, Midas Bank and Nigerian American Bank (former Nigerian a subsidiary of Bank of Boston). Also, First Atlantic Bank, Inland Bank, IMB international Bank Plc and NUB International Bank Ltd merged to form First Inland Bank Plc; Investment Banking and Trust Company (IBTC), Chartered Bank Plc and Regent Bank Plc came together as IBTC Chartered Bank Plc; Gateway Bank, Global Bank, and Equity Bank merged with Intercontinental Bank Plc; while Oceanic Bank acquired International Trust Bank. According to the regulator of Nigeria’s financial industry, “negotiating a merger or an acquisition demands complete attention to detail, mental dexterity and coordination skills.” Access/ Diamond Bank merger Governed by Godwin Emefiele, the central bank of Nigeria gave heavyweight endorsement to the merger between Access Bank Plc and Diamond Plc. Issuance of new banking license Under Emefiele, banking license was issued to Globus, Titan and three other banks. Launch of National Microfinance Bank (NMFB) The Central Bank in collaboration with Bankers’ Committee, Nigeria Incentive-Based Risk Sharing System (NIRSAL) and Nigerian Postal Service (NIPOST) launched the National Microfinance Bank (NFMB) in February 2019. NMFB is in strategic partnership with NIPOST with a view to leveraging its widespread offices, while NIRSAL would bring its expertise and experience in financing low-income entrepreneurs and de-risking of credit originated by existing MFBs by providing guarantees in line with its mandate. The NMFB was launched despite the multiplicity of microfinance institutions in Nigeria to: - Deepen financial inclusion, - Provide cheap credit to Small & Medium-Sized Entrepreneurs (SMEs) especially in rural communities, - Make financing easier by providing credit at 5 percent interest, - Reduce the unemployment rate and address rural-urban migration. The Bankers’ Committee provided the set-up equity capital and has 50 percent stake in the bank, while NIRSAL and NIPOST own 40 percent and 10 percent ownership respectively.

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Friday 10 May 2019

BUSINESS DAY

A 2nd term for Governor Emefiele

Assessing Governor Emefiele’s first 5 years

hat do you think the Presidency must have put into consideration in reappointing Emefiele for a second term as CBN Governor? I wrote a memo to the president. In that memo, I did emphasize the fact that when the economy has gone through very turbulent times as it were, and we achieved some stability, but there is a need for us not to take that stability for granted. There is a need for us to ensure to have continuity of policies. And I did cushion the president that appointing some other person to replace Emefiele that will not be business as usual. Emefiele has to build on the success of his first term. Globally, the performance of any Central Bank Governor is appraised through macroeconomic stability, basically price & currency stability. As a stakeholder in Nigeria’s economic space, how do you think Emefiele has done in both regards? Emefiele has done wonderfully well despite naysayers who only have fault finding mindset. We know that the easiest thing to do is to be an armchair critic particular the variant that is not constructive. What is glaring; what stares us all on the face is that we have turned the corner as regards to instability with the macroeconomic fundamentals. There was a season when it was fire on the mount as those baying for blood chorused crucify him. We have enjoyed stability in the exchange rates that now we can wake up and not worry about what was happening to the rate of exchange for instance. And in this connection, we must emphasize that what has grabbed attention as should be expected has been the rate of foreign exchange mindful of the vulnerability of the economy regarding its dependence on the external sector. The joke has been that we import what we have and export what we don’t have (read) petroleum products. Even the inflation rate which as a result of the recession which the Country got into during the third quarter of 2016 got to a high and damaging rate of 18% has today shown a monthly downward trend which is now at 11.2%. Interest rates in the economy are high and certainly not investor friendly but this an area which there is work in progress as we are all aware that interest rates are responsive to the economic fundamentals. And as things begin to fall in place, we should expect that we would see the interest rates align in the desired direction. But it also important to observe that conscious of this fact that the Central Bank keeping fidelity to its development function imperatives has established funds with single digit interest rates to ensure that the important real sectors of the economy could access funds at affordable rates of interest to sustain production and employment. We have attained the much-desired stability and we must be circumspect not to want to upset such by facilitating unnecessary and deleterious changes. There is work to do such as the attainment of one exchange rate in the economy and certainly,

that too will follow as we build on the roaring success and staring us all on the face. What is your assessment of the Nigerian economy over the last five years? Certainly, the performance of the Nigerian economy in the last five years or there about leaves much to be desired. But we must be grateful for little mercies as the situation could have been much worse than what it is today. We must also foreground the fact that it was during this period that the economy found itself in a recession, the first time in over two decades and which thankfully we were able to exit in a record time of under two years. It is also in order to note upfront that the economy has also the fiscal arm in addition to the monetary policy sector under the purview of the Central Bank. And if we go by the regular indices of measures of Gross Domestic Product we might not, for instance, have the complete picture. For one the Office of Statistics of the Federation during the period was able to perform a widely acclaimed rebasing of the economy which saw our GDP become clearly the highest in Africa. And also the consideration that Nigerian has one of the highest informal sectors whose activities are not mainstreamed and therefore not captured as we attempt to take measures. But what tells the true story is the quality of life of Nigerians which no doubt has deteriorated with ballooning unemployment statistic. The unemployment rate at 23.1% is most certainly not sustainable and could be said to have accounted for the rising incidences of social crimes including the nascent growth sector of kidnapping for ransom. The Gini coefficient which measures income inequality is embarrassingly negative. On the side of infrastructure, the story is discouraging particularly with the power situation so critical for the performance of

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the real sector and had without any doubt been adjudged across the board as abysmal. All the promise of privatization which heralded the injection of private capital as well as expertise into the sector had been realized in the breach because of less than optimal decisions in critical success factors considerations. And the reasons for this development is not far to seek. Take the annual budget and consider its approval and implementation records and you probably find most of the cause of this dilemma. There were certainly challenges as the country responds to its vulnerability to the external sectors of the economy which we were not fully able to come to terms with. We must highlight in this respect the insurrections in parts of the economy which had diverted critical funds and starved particularly the social sectors of the economy worsening the quality of life. This development undermined the economies of the regions particularly the North Eastern Part of the economy as agricultural pursuits were relegated worsening food supply situation and exacerbating food inflation. All hopes must not be lost as there are some bright spots such as the amount of money being realized from taxation and the rising performance of aspects of the non-oil sector of the economy, the boost to agricultural production through the Anchor Borrowers’ program and the anticipated political will to frontally tackle some issues that have affected growth and development such as the worrisome levels of subsidy of petroleum products. We look forward therefore to a more robust performance of the economy during the second term of Mr. President.

& Exporter window. This policy is so innovative and effective that it is correct to ascribe to it the stability we now enjoy with the exchange rate. It automatically liberalized the determination of the rate of the transaction between willing parties with the banks providing only guarantees and the requisite platform. It reduced the pressure on the Reserves and dismantled all controls pandering to the clamour to allow market forces to determine the rates. As the Reserve position is made robust so the attractiveness of the Nigerian economy as an investment destination is positively impacted. It is therefore in the best interest of the country that this Window is made even more effective in the light of experience. In what areas do you see the need for efforts to be intensified by the CBN? What should be Emefiele’s priorities in the next five years? It will be more of the same. We should expect continuity of existing policies.

Which monetary policies implemented in the last five years has been the most strategic? The most strategic monetary policy implemented in last year no doubt is the Investor

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Dr Boniface Chizea, a former banker and seasoned economist, speaks with BusinessDay on Emefiele’s performance so far.

Friday 10 May 2019

BUSINESS DAY

FINANCIAL TIMES

World Business Newspaper

EU leaders on collision course over choosing successor to Juncker Macron reiterates objection to ‘Spitzenkandidat’ or lead candidate procedure JIM BRUNSDEN AND ALEX BARKER

uropean leaders are starkly split over the “lead candidate” process for choosing the next president of the European Commission and face stormy negotiations on top jobs after this month’s EU elections. Emmanuel Macron, French president, reiterated his opposition on Thursday to the so-called Spitzenkandidat idea, whereby the nominee of the largest EU parliamentary group after the elections would succeed JeanClaude Juncker. The favourite is Manfred Weber of the centre-right European People’s party. Arriving at an EU summit in the Romanian city of Sibiu, Mr Macron, a long-term opponent of the idea, insisted he would not yield and said the concept was “not the right approach”. Speaking at the end of the summit, the French president said his priority was to make sure those chosen shared his ambitions for reforming the EU and were “competent.” “We need the best leaders possible,” he said. “We must avoid a compromise to take the least good candidate, which has been the case sometimes before.” Asked whether he could support Mr Weber, Mr Macron said

he had “a lot of respect” for the German but that “I do not see myself as in any way bound by the principle of Spitzenkandidaten.” Earlier Sebastian Kurz, Austria’s prime minister, argued that ignoring the process would damage democracy. “It will be difficult to tell voters that there will be elections and a Spitzenkandidat and then leaders say: let the people vote, we will decide in a small circle among ourselves,” Mr Kurz, a prominent member of the EPP, said. “I do not see this as democratic. If Manfred Weber wins the election, then he can claim the commission presidency.” Mr Weber himself hit back at critics of the Spitzenkandidat system, saying premiers such as Mark Rutte of the Netherlands had to explain “what was wrong” with telling voters who the candidate would be for the commission. The rifts underline the difficulties that leaders are expected to face in reaching agreements on personnel decisions after the elections. As well as a president for the commission, the EU also needs to decide this year on successors to Donald Tusk, EU Council president, and Mario Draghi, European Central Bank president. On Thursday Mr Tusk, who will

US president’s upbeat message comes ahead of pivotal discussions in Washington

onald Trump, the US president, eased investor concerns ahead of pivotal trade talks due to start in Washington, saying he received a “beautiful letter” from Xi Jinping, his Chinese counterpart, urging the two countries to “work together” to resolve their dispute. Speaking at the White House on Thursday, Mr Trump said he expected to have a phone call soon with Mr Xi. Talks between Liu He, the Chinese vice-premier, and top US officials led by Robert Lighthizer, US trade representative, and Steven Mnuchin, Treasury secretary, were due to start at 5pm local time. “I have no idea what’s going to happen,” Mr Trump said. “We’re going to find out about China tonight.” Mr Trump reiterated that US tariffs on $200bn of Chinese goods would rise from 10 per cent to 25 per cent at 12:01am Friday eastern time in the US, and said he was “starting the paperwork” on Thursday to impose 25 per cent levies on Chinese goods worth a further $325bn. The US shifted towards a much more aggressive stance in the trade talks with China last Sunday, threatening new and higher tariffs to punish Beijing for having retreated on some of its commitments in negotiations, which have already lasted more than five months. Mr Trump repeated that accusation on Thursday, saying that Chinese officials had attempted to renegotiate the deal in areas where agreement

appeared to have been sealed, including measures to curb the theft of US intellectual property, which has been at the root of the dispute between the countries. The breakdown in trust in the negotiations has rattled global markets this week. On Thursday, US equity markets were down sharply at the start of trading, but recovered some ground after Mr Trump’s remarks. The S&P 500 was down only 0.5 per cent at mid-afternoon, having dropped as much as 1.5 per cent earlier in the day. Safe haven assets, which have been rallying hard this week amid concerns over escalating tariffs, also trimmed their gains in afternoon trading. The yield on the 10-year benchmark Treasury note was down 3 basis points at 2.45 per cent, having traded as low as 2.42 per cent. Yields move in opposite direction to prices. Gold price gains were halved to 0.3 per cent, trading at $1,284.32 per troy ounce. Despite the bluster, one senior financial services executive said he believed that the Trump administration was still determined to seal an agreement. “If they don’t do a deal now the markets are not going to take that kindly — they will definitely see the ongoing lingering conflict as a reason to have doubt and fuel volatility,” the executive said, adding: “[The Trump administration] doesn’t need this China thing hanging out there, they need this China thing to be a victory, to take it off the table and move on to other things”. www.businessday.ng

co-ordinate the process, said he would aim to reach a unanimous agreement at a summit in late June, but would not “shy away” from using a majority vote. “We need effective institutions so we need swift decisions,” he said. The Spitzenkandidat system enabled Mr Juncker to claim the commission presidency in 2014. Mr Juncker ran as lead candidate for the centre-right European People’s Party, which won the most number of MEPs in that year’s elections. But many leaders have been lukewarm about repeating the experiment. While the EPP and

the Party of European Socialists have picked lead candidates, other pan-EU political parties have embraced the process with varying degrees of enthusiasm and engagement. Mr Macron and a number of other leaders from outside the bloc’s main centre-right and centre-left political families have been openly hostile, partly out of concern that the process restricts leaders’ EU treaty rights, and also because of fears that it squeezes out candidates who are not from the biggest pan-EU parties. Angela Merkel, German chancellor, whose Christian Democrats

are part of the EPP, has publicly endorsed Mr Weber but it is unclear how strongly she is prepared to fight for him. Mr Weber said on Thursday that the EPP would look like “a ridiculous institution” if it ditched him as a candidate for a top job after he was resoundingly elected by delegates. Other leaders underlined opposition to the Spitzenkandidat process. Xavier Bettel, Luxembourg’s prime minister, said it had failed to connect with the electorate. “Ask my voters,” he said. “They have no clue who is the Spitzenkandidaten from any party.”

Chevron bows out of Anadarko bid battle

Trump says China’s Xi wrote him ‘beautiful letter’ over trade JAMES POLITI AND PAN KWAN YUK

French President Emmanuel Macron and German Chancellor Angela Merkel speak during the summit in Sibiu.

Occidental on course to win month-long $55bn battle for Texas oil group over bigger rival ED CROOKS AND JAMES FONTANELLA-KHAN

hevron, the US oil group, has said it will not increase its offer for smaller rival Anadarko Petroleum, leaving the path clear for the higher bid put forward by Occidental Petroleum. Chevron said in a statement on Thursday morning that it would not be increasing its bid inside the four-day deadline after Anadarko’s board said on Monday that Occidental’s $55bn cash and stock offer was superior. It expects Anadarko to terminate the $48bn takeover deal that the two companies agreed last month. Michael Wirth, Chevron’s chief executive, said: “This was an excellent opportunity for us, but it was not a necessity at any price. We simply are not desperate to do a deal. “The deal we negotiated with Anadarko was a good deal with real synergies and a good strategic fit. But we are not going to chase it to a point where it erodes value for shareholders.” He added that in a capitalintensive commodity business such as oil and gas, success or failure could be determined by how efficiently companies invested, and Chevron was “a disciplined steward of capital”. One of Anadarko’s most prized assets is its position in the Permian Basin, the heartland of the US shale oil boom in west Texas, where it has drilling rights on

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about 250,000 acres. Chevron has set out plans for rapid growth in the Permian region, taking its production from 391,000 barrels of oil equivalent a day in the first quarter of this year to 900,000 boe/d by the end of 2023. Mr Wirth said it was still on course to achieve that growth even without Anadarko’s assets. “We don’t need any more rigs or any more land,” he said. Anadarko will have to pay a break fee of $1bn to Chevron for having abandoned their deal. Chevron intends to return the cash to its shareholders, increasing its planned share buyback from $4bn to $5bn. Occidental said in a statement: “We look forward to signing a merger agreement with Anadarko and realising value for our stakeholders as soon as possible.” Chevron’s decision to walk away means Occidental’s proposed offer will be the only deal on the table for Anadarko shareholders. However, Occidental could still face opposition from its own shareholders over its offer. At least three investors have expressed concerns about the valuation of the deal and the debt Occidental will have to take on to finance it. Andrew Brooks of Moody’s, the credit rating agency, said that if the Anadarko deal goes through, Occidental would probably be downgraded to “a weakly positioned investment grade rating”. Occidental shareholders will @Businessdayng

not get a vote to decide on the deal, after the Houston-based company changed the structure of its offer for Anadarko by adding more cash. Nevertheless, some Occidental shareholders plan to express their disappointment by voting against the company’s board at the annual meeting on Friday. Occidental shares were down more than 5 per cent on Thursday. Chevron shares rose nearly 3 per cent, while Anadarko shares were almost 3 per cent lower. T Rowe Price, which owns about 3 per cent of Occidental, making it the seventh-largest shareholder, told the Financial Times that it intended to vote against the board. “We have significant concerns about the proposed deal,” John Linehan, portfolio manager at T Rowe Price, said on Monday. “Occidental’s management has characterised this deal as a ‘transformational deal’ and we feel that any such deal should be put to a shareholder vote.” He added: “Absent that, our only option is to register our displeasure through our proxy vote at the annual meeting. We feel that Occidental’s actions have left us no choice and our current intent is to vote against the board at the meeting.” Chevron had refused in the past to raise its bid for Anadarko, and its board said that market fundamentals had not changed enough to justify a higher price, said people close to the oil company.

52 BUSINESS DAY

Friday 10 May 2019

NATIONAL NEWS

Laptop in Lebanon helped Tokyo prosecutors charge Carlos Ghosn Data allegedly show how Nissan money benefited former chairman personally KANA INAGAKI, LEO LEWIS AND CHLOE CORNISH

apanese prosecutors built their potentially most damaging charge against Carlos Ghosn on evidence acquired from a laptop computer in Lebanon used by an aide to the former Nissan chairman, according to people familiar with the investigation. The laptop, which contained information relating to Mr Ghosn’s financial transactions, enabled prosecutors to pursue the investigation in Beirut, where the former Nissan chairman is protected by his status as a national hero. Without the laptop, said two of the people, neither Nissan nor the Japanese prosecutors would have been able to show how millions of dollars of Nissan company money was allegedly diverted from an Omani car distributor into companies that were partly or fully owned by Mr Ghosn’s wife and his son. Nissan and Tokyo prosecutors declined to comment. Several weeks before Mr Ghosn’s rearrest in early April, the laptop was obtained from a 44-year-old Lebanese assistant who had worked for Fadi Gebran, Mr Ghosn’s longtime lawyer and childhood friend, who died of cancer in 2017. In more recent years, the assistant, whose name is listed as Amal Rachid Rizkallah Abou-Jaoude in company filings, worked directly for Mr Ghosn. Her name appears among the individuals listed in the shareholder registry of Good Faith Investments, a Lebanese company set up by Gebran. Her name is also listed in other companies set up by Gebran that had the same Beirut address as Good Faith, such as Phoinos Investments, the entity that owns a $9.5m house in Beirut that Nissan purchased for Mr Ghosn. Ms Abou-Jaoude could not be reached for comment. Phone numbers for Gebran’s office listed in a Beirut legal directory published before his death did not work. The office building was nowhere to be found on the street named in the address, and several people in the area said they had no knowledge of the building or the office. An internal investigation by Nissan found that about $35m in payments were made from its Dubai-based subsidiary to an Omani distributor with ties to a friend of Mr Ghosn between 2011 and 2018, according to people familiar with the case. The arrest of Carlos Ghosn inspired supportive billboards to be erected in Beirut © AP These people alleged that some of the $35m was diverted via Good Faith and other entities linked to Mr Ghosn to Beauty Yachts, a company owned by Mr Ghosn’s wife from May 2018, to buy a luxury yacht for his family. They also alleged that some money was used to invest in a company partly owned by Mr Ghosn’s son. Mr Ghosn, who was first arrested in November, has denied breach of trust charges and other allegations that he understated his pay at Nissan.

His wife, Carole, said she did not know that she owned the company until prosecutors brought the case, according to representatives for his family. His son, Anthony, declined to comment on whether there was any transfer of money between Good Faith and his company, Shogun Investments. But legal experts say the case surrounding the Oman payments marks the most serious claim made by prosecutors that Mr Ghosn personally gained from malfeasance. People close to Nissan’s investigation said they were concerned that the trail of Mr Ghosn’s financial dealings would go cold in Lebanon, where they could not be confident that the rule of law would apply, or that anyone would be willing to co-operate. Mr Ghosn, born in Brazil to Lebanese parents and educated in Lebanon from the age of six, also has French and Brazilian citizenship. The former boss of Nissan and France’s Renault is so highly regarded in Lebanon that he was even honoured with a postage stamp. Lebanese politicians, especially from the Free Patriotic Movement, the party founded by President Michel Aoun, have leapt to Mr Ghosn’s defence, with foreign minister Gebran Bassil, the president’s son-in-law, taking the lead. During two periods of detention totalling more than 120 days, Lebanon’s ambassador to Japan was one of Mr Ghosn’s most frequent visitors. Advertising hoardings in Beirut splash the slogan: “We are all Carlos Ghosn”. Some Lebanese are angry that the celebrated Mr Ghosn has tarnished the country’s reputation. But privately, some businesspeople say they feel Mr Ghosn deserved to be richly remunerated for rescuing Nissan, and that even if he is guilty, his punishment is draconian. Lebanon ranks 138th out of 180 on the Transparency International corruption perceptions index. The US state department identifies the country’s “institutionalised corruption” as a factor deterring foreign investors. Without proper enforcement of legislation on commercial transparency and taxation, an atmosphere of impunity is pervasive. Lebanon’s diaspora have had plenty of incentives to park their wealth in Beirut — from high interest rates, subsidised by the state, to banking secrecy rules, considered a competitive advantage for Beirut. Corruption is considered to be more pervasive in the public sector than the private one but the two spheres blur as political connections are seen to be crucial for businesses to win public sector contracts. While Lebanon does have laws mandating regular company reporting, these are routinely ignored. “There is no political will to put into force legislation,” said Julien Courson, executive director of the Lebanese Transparency Association. “In some cases there is a lack of capacity . . . but in general it is not always clear to see the political will to enforce laws.” www.businessday.ng

South Africans hand Ramaphosa weakened mandate for reform

ANC projected to win a reduced majority of 58 per cent in national elections JOSEPH COTTERILL

he African National Congress was on course for its smallest ever majority as votes were counted in a South African election that is set to leave President Cyril Ramaphosa with his party’s weakest national mandate in a quarter of century. If projections on Thursday are accurate, Mr Ramaphosa will win his first national election as the ANC’s figurehead, but with a lukewarm endorsement from voters of his promise to usher in a “new dawn” following a decade of rot in the ANC. The ANC was set to win 58 per cent of the parliamentary vote, down from 62 per cent in 2014 elections, according to projections from South Africa’s Council for Scientific and Industrial Research, a think-tank. Official results are due on Saturday. At its electoral zenith in 2004 the ANC secured over 69 per cent of the vote under Thabo Mbeki, when hopes were still high a decade after the advent of multiracial elections and the economy was growing briskly. Those days now seem long gone.

A reduced majority for the ANC, where acolytes of former president Jacob Zuma still have considerable clout, will complicate a battle for his successor to root out corruption and revive stagnant growth. Mr Ramaphosa’s personal approval ratings suggest his party might have done even worse without him. But Khaya Sithole, an independent political analyst, said it would be difficult for Mr Ramaphosa to explain to an ANC audience why the party had lost support even after he unseated Mr Zuma, who was widely seen as synonymous with graft, in 2018. “It’s not going to be an easy conversation for him in the ANC,” he said. “Does he run the country or run the ANC? He’s gone out [to voters] and said let me run the state. But dysfunction in the ANC continues.” One of the party’s intrinsic problems, Mr Sithole added, was that “the further away you get from [the first democratic elections in] 1994, the bigger [is] that part of the electorate that isn’t inextricably tied to the legacy of liberation politics”. The early count also indicates the ANC lost votes to the Economic Free-

dom Fighters, a populist movement headed by Julius Malema, a firebrand former ANC youth leader. As vote counting began in schools and community centres across the country early on Thursday, the ANC sent out a message thanking South Africans for braving biting cold and strong winds to get to the polls. But turnout was in reality projected to be down — 65 per cent versus 74 per cent in the previous national election — a sign of voter despondency that appears to be afflicting one-time ANC voters more than others. As a former liberation movement, the ANC still sees itself as a leading force in society, burnished by a fight against apartheid that gave it the reins of power when democracy dawned in 1994. But years of rising graft and joblessness under Mr Zuma appear to have cost the party many voters’ loyalty even after he was ousted by Mr Ramaphosa, a trade unionist turned rich tycoon. William Gumede, chairperson of the Democracy Works foundation, said the result was not as bad for Mr Ramaphosa as others supposed.

US seizes North Korean freight ship as tensions rise Justice department reveals move after Pyongyang launched two ‘projectiles’ EDWARD WHITE, SONG JUNG-A, KANG BUSEONG AND AIME WILLIAMS

he US has seized a North Korean freight ship carrying coal in violation of US and UN sanctions, the justice department said on Thursday, only hours after South Korean officials reported that Pyongyang had fired two “projectiles”. The 17-ton bulk carrier ship, registered in North Korea as the Wise Honest, was being used to illicitly ship coal from North Korea and deliver heavy machinery back to the country, according to the US justice department. The justice department asked a federal judge on Thursday to allow the US to take ownership of the vessel, which is in US custody. “Our office uncovered North Korea’s scheme to export tons of high-grade coal to foreign buyers by concealing the origin of their ship, the Wise Honest,” said Geoffrey Ber-

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man, the US attorney in Manhattan. “This scheme not only allowed North Korea to evade sanctions, but the Wise Honest was also used to import heavy machinery to North Korea, helping expand North Korea’s capabilities and continuing the cycle of sanctions evasion.” The announcement came after South Korean defence officials said that North Korea had fired two projectiles, just days after Pyongyang launched its most serious weapons tests since 2017. The South Korean Joint Chiefs of Staff said the projectiles were believed to be short-range ballistic missiles, and were fired at about 4.30pm from near the western city of Kusong, North Pyongan province. The projectiles flew 420km and 270km and landed in the East Sea. On Saturday, Kim Jong Un, North Korea’s leader, oversaw a series of weapons launches, including what defence analysts said was the country’s first short-range ballistic missile tested since August 2017. @Businessdayng

The launches cast further uncertainty over negotiations between Mr Kim and Donald Trump, US president, towards denuclearisation after more than a year of detente. Mr Kim is seeking a step-by-step deal where tough economic sanctions are lifted for each phase of denuclearisation. The US has insisted that sanctions should not be lifted unless Pyongyang destroys its entire nuclear programme. But talks have stalled after Mr Trump and Mr Kim failed to reach an agreement at a summit in Hanoi in February. In the wake of Saturday’s tests, Washington appeared to downplay the events. Mr Trump maintained he would reach a deal with Mr Kim on denuclearisation and Mike Pompeo, the US secretary of state, said the US intended to continue negotiations. Moon Jae-in, South Korea president, said Pyongyang appeared to want to continue negotiations, noting that the tests run this week had not threatened the US and South Korea.

Friday 10 May 2019

BUSINESS DAY

FINANCIAL TIMES

COMPANIES & MARKETS

@ FINANCIAL TIMES LIMITED

Binance unsure of extent of breach after revealing $40m hack Cryptocurrency exchange‘s chief asks for ‘forgiveness’ as it halts withdrawals ADAM SAMSON AND DANIEL SHANE

ryptocurrency exchange Binance said it is not sure how extensive its latest security breach is or whether it has cleared intruders from its systems, hours after it revealed a $40m hack and halted withdrawals. Changpeng Zhao, the group’s outspoken chief executive, asked for customers’ forgiveness in a YouTube video on Wednesday, saying that the number of users affected by the hack is “hard for us to guess”. “We need to make sure that we eradicate any trace of the hackers in all of our accounts, in all of our data. That is a very tedious process,” Mr Changpeng said. The group — one of the world’s biggest digital token exchanges — has suspended withdrawals until its investigation is complete, he added in his assessment of a breach that has cast fresh doubt upon this once red-hot and seemingly promising asset class. The exchange revealed in a blog post on Wednesday morning Asia time that 7,000 digital tokens were siphoned off in a single transaction in a “large-scale security breach”. The culprits used a variety of advanced hacking methods including phishing and viruses to access the exchange’s “hot wallet”, which holds about 2 per cent of Binance’s total assets. Asked by the Financial Times whether it was possible more than 7,000 coins had been stolen, a spokesperson said: “There may be additional affected accounts that have not been identified yet, but we are closely reviewing all parts of our systems and have not

identified any further suspicious transactions or accounts.” Mr Changpeng asked Binance users to “forgive us” for suspending withdrawals for “the next week or so” as it investigates the incident. “Please bear with us,” the executive said, adding that “it’s not a great day.” In the blog post, Binance said that the hackers “had the patience to wait, and execute well-orchestrated actions through multiple seemingly independent accounts at the most opportune time.” The exchange said it would compensate victims through an emergency fund. “We will cover all the funds ourselves,” Mr Changpeng vowed. “All the user funds are OK.” Binance said it would now conduct a large-scale review of its security protocols and did not rule out the possibility of unearthing further breaches. The incident highlights the security issues still faced by the cryptocurrency industry. Mr Changpeng has repeatedly used Twitter over the past year to argue that funds held at Binance are “SAFU”, a phrase meant to mean safe. Other major exchanges have also been targeted by cyber thieves in recent years. One of the highestprofile examples was Coincheck, a Japanese exchange that suffered a vast breach but eventually compensated victims some $435m. Interest in cryptocurrencies has tended to ebb and flow with the price of major coins. Bitcoin, the best-known coin, has rallied almost 60 per cent this year to $5,823. However, it remains well off of the highs of nearly $20,000 hit in late 2017.

Wall Street set for further losses as trade fears persist Telecoms group looks to raise cash to bolster its balance sheet

MICHAEL HUNTER AND SIDDARTH SHRIKANTH

all Street stocks were set for further declines on Wednesday, as worries about darkening trade relations between the US and China continued to unnerve investors and leave recent record highs for New York equities looking vulnerable. Investors remained frustrated as they looked for signs of a detente ahead of Chinese vice-premier Liu He’s trip to Washington, while hopes faded that the visit at the end of the week would produce a breakthrough. Mr Liu will arrive in Washington on Thursday for an abbreviated round of trade talks. Futures trade expected Wall Street’s S&P 500 to lose a further 0.6 per cent after it fell 1.7 per cent over the previous session, when President Donald Trump’s threat to increase tariffs set a fraught tone

to trade. European bourses fell, but by narrower margins than the losses seen during Asian trade Frankfurt’s Xetra Dax 30 slipped 0.1 per cent and London’s FTSE 100 shed 0.4 per cent. The Europe-wide Stoxx 600 was also down 0.4 per cent. Mainland China’s CSI 300 lost 1.4 per cent and Hong Kong’s Hang Seng was down 1.2 per cent. Japan’s Topix fell 1.6 per cent, while the S&P/ASX 200 in Australia fell 0.7 per cent. Brent crude also fell, taking knock from fears about the dangers posed to demand by the impact of the trade dispute on global growth. The international oil marker fell 0.5 per cent. Japan’s yen, seen as a haven in times of uncertainty, strengthened 0.2 per cent to ¥110.03 and a fresh five-week high. Gold rose 0.2 per cent to its strongest level in eight sessions. www.businessday.ng

Grains trading group Bunge swings to first-quarter profit US-based company to revamp structure and shake up management EMIKO TERAZONO

unge, a leading international grains and oilseeds trader, reported a first-quarter profit thanks to higher soyabean crushing margins compared with a loss a year before, as it announced a widespread reorganisation and reshuffle of executives. The US-based group said firstquarter income swung to a profit of 26 cents a share compared with a loss of 20 cents the year before. Losses last year reflected a $120m loss on derivative contracts used to lock in margins The group’s agribusiness unit reported earnings before interest and tax of $109m, up from

$42m, while ebit in its edible oils business rose to $48m from $28m. Greg Heckman, who was officially appointed Bunge’s chief executive last month, announced a change in key executive roles and a new global operating model, which would “improve the speed and quality of decision-making”. “We expect this new model to provide additional clarity and accountability of roles and responsibilities and enhance strategic flexibility as we continue to evaluate the portfolio,” he said. Mr Heckman brought in John Neppl, with whom he had worked at Gavilon, as his chief financial officer to succeed Thomas Boehlert,

effective from May 29. Bunge said Raul Padilla would become president of global operations, managing all physical handling and processing assets. He will continue to lead sugar and bioenergy. Christos Dimopoulos will oversee the physical commodity supply chains that support Bunge’s handling and processing assets. He will also be responsible for trade flows, freight and distribution. For the full year, Bunge said its agribusiness unit was likely to see lower results compared with 2018. Soyabean processing margins will depend partly on the US-China trade talks, the company said.

Former GAM fund manager Tim Haywood blocked from annual meeting Executive was fired from the asset management group for alleged gross misconduct LAURENCE FLETCHER AND JENNIFER THOMPSON

im Haywood, the fund manager sacked from GAM for alleged gross misconduct, was blocked from the firm’s annual meeting on Wednesday at which shareholders vented their anger at the crisis that has engulfed the Swiss asset manager. Mr Haywood, who ran some of the firm’s flagship bond funds and was dismissed earlier this year, said he was told by GAM that the shares he had bought in order to attend the meeting had not been registered in time because of an administrative error. The shareholder meeting was the first since GAM suspended Mr Haywood in June in a move that centred on illiquid bonds he had purchased. However, the suspension initially came with little explanation, triggering a plunge in the asset manager’s shares price, the exit of chief executive Alexander Friedman and the scrapping of the dividend. Although GAM’s share price has steadied this year as the asset manager liquidates the funds, the meeting saw investors reject by a slim margin a motion that would have given a waiver to the board of directors and the management board against future legal action. Two shareholder advisers, Glass

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Lewis and Ethos, had recommended that investors deliver a protest vote against senior executives after Mr Haywood’s suspension unleashed months of turmoil. “If we are speaking about so many losses and shareholders not even receiving a dividend, we should not even be speaking about variable compensation,” Ivanka Gellings, a private investor based in Switzerland, said of the board’s remuneration in remarks that drew applause. However, the management board’s fixed compensation for this year and variable compensation for last year were still both approved by just over 90 per cent of votes cast at the meeting. Hugh Scott-Barrett, chairman, pointed to the 60 per cent fall in variable pay in 2018 from the previous year. Ms Gellings told the Financial Times after the meeting that she was not satisfied with management’s answers and that the AGM was “a farce”. GAM’s management board, including the chief executive, were awarded a collective SFr12.62m ($12.39m) in pay and bonuses last year, of which SFr5.03m was variable, around half the amount of the prior year. Another shareholder told management it had done a “bad job” by not intervening earlier in Mr @Businessdayng

Haywood’s situation. “It cannot be that variable compensation is that high and you don’t intervene,” he said. “I cannot accept that.” David Jacob, who has been GAM’s interim chief executive since November, defended management’s actions over the absolute return bond funds. “Changing portfolios [intervening in the management of Mr Haywood’s funds] simply because there’s an investigation wouldn’t have been appropriate,” he told the FT after the AGM. “It’s only when you get to some stage in the investigation does that make sense.” Mr Haywood said his invitation to the AGM had been confirmed in an email at the end of April, in which he was told his invitation would be waiting for him to collect upon arrival. Rupert Heggs, a private investor and friend of Mr Haywood’s who had bought shares in GAM some months ago using the same nominee company as Mr Haywood, said he was similarly prevented from entering the AGM. “Registering shares is a very straightforward process: a shareholder needs to make sure that their shares are registered by the registration deadline. In this case, the person failed to do that,” said GAM. Mr Haywood is appealing against his dismissal, saying he has been made a scapegoat and treated unfairly.

Friday 10 May 2019

BUSINESS DAY

ANALYSIS

Uber chief keeps founder in back seat ahead of IPO How Dara Khosrowshahi managed an uneasy truce with Travis Kalanick SHANNON BOND AND TIM BRADSHAW

n his job interview with Uber’s board in 2017, Dara Khosrowshahi gave a PowerPoint presentation that included the slide: “There can be only one CEO at a time.” Nearly two years later, turning that statement into reality has been a key test of Mr Khosrowshahi’s leadership. He took over the top job in the midst of a crisis that pushed Uber to the brink, after investors ousted the ride-hailing company’s founder, Travis Kalanick. But Mr Kalanick, the 42-yearold avatar of Uber’s aggressive approach to growth, competition and regulation, did not go far after he was ejected: he remains a director and has launched a new business in the food sector, a growing area of interest for Uber. The dynamic of Mr Khosrowshahi in the spotlight and Mr Kalanick on the sidelines has become a familiar, if not entirely comfortable, routine for the two men as Uber steers towards its initial public offering.

nance standards in its IPO pitch to investors. Meanwhile, Mr Khosrowshahi rewrote Uber’s cultural values, called time on a competitive bloodbath in south-east Asia and put money into new businesses such as scooter rentals. ‘Friendly’ Uber yet to persuade But not everyone is convinced by the new, friendly, Uber. The company’s drivers, as well as those of rival Lyft, are planning strikes on Wednesday in cities across the US and the UK, including New York, Los Angeles and London, to demand more money and better working conditions. “There is distrust of Uber that belies any specific feature improvement,” said Alex Rosenblat, who interviewed hundreds of drivers for her book, Uberland: How Algorithms Are Rewriting The Rules Of Work. Within Uber’s corporate ranks, Mr Khosrowshahi continued efforts that had begun before he arrived, such as changes to its performance management style in which the company

Travis Kalanick, left, and Dara Khosrowshahi, right, have largely settled into a detente

In an implicit criticism of his predecessor, Mr Khosrowshahi has apologised for Uber’s previous bad behaviour, overhauled its management team, settled legal cases and tried to rebuild relationships with regulators. In an interview with the Financial Times last year, Mr Khosrowshahi acknowledged that it could take years to complete Uber’s road to redemption. “The internal work on culture remains incomplete — and the fact is that it’s going to take years,” Mr Khosrowshahi said. “I think I’m going to sit here next year and tell you the same thing.” Yet the two men have largely settled into a detente, in service of the greater goal of reaching the New York Stock Exchange. Uber and Mr Kalanick declined to comment in the quiet period ahead of the IPO. Initial signs were not good Such a truce did not seem likely when Mr Khosrowshahi — a protégé of Barry Diller, veteran dealmaker and former chief executive of online travel company Expedia — arrived at Uber in August 2017. Just a month into Mr Khosrowshahi’s tenure, Mr Kalanick, who initially said he wanted to stay involved in strategy and decision making, exercised his right to fill two board seats. While he was not required to consult his fellow directors, the move came as a shock. Mr Khosrowshahi described it in a memo to staff as “disappointing” and “highly unusual”. The board subsequently agreed to strip extra voting rights from Mr Kalanick, other co-founders and early investors after a vital injection of funding from SoftBank. In recent weeks, Uber has touted those gover-

abandoned the controversial “stack ranking” system in favour of an approach that focused on teamwork and collaboration instead of individual achievements. Under Mr Kalanick, employees were encouraged to find their “red line” — pushing themselves to their limits, which some said led to burnout or exhaustion. Now, Uber staffers say that while the hours are still long and work is intense, the emphasis on “hustle” has been replaced with more traditional processes and decision making at the company, which employs more than 22,000 people. But Mr Kalanick remains a figure of inspiration to many current and former Uber employees, who, while acknowledging the flaws of the culture he fostered, still praise his “passion”, “drive” and the autonomy he gave to young managers. Mr Khosrowshahi also inherited a divisive effort that was already under way to centralise control at Uber headquarters, which had encountered significant “political resistance” from local fiefdoms, according to former employees. “The cultural shift was already in the works as well,” said one former city manager, “but can you have that catharsis without someone dying for all our sins?” Kalanick settles into background Post resurrection, Mr Kalanick has by all accounts settled for having no strategic or operational involvement at Uber. Now based in Los Angeles, he and his successor do not talk frequently outside of board meetings, according to two people close to the board. “He doesn’t have any more involvement than any other director,” said one. www.businessday.ng

UK far-right extremism: hate spreads from the fringe The attack on mosques in Christchurch has intensified concern over a tech savvy and global brand of neo-Nazi terror DAVID BOND AND HELEN WARRELL

he day after a far-right extremist murdered 51 worshippers in two mosques in the New Zealand city of Christchurch, Mohammed Kozbar received a chilling telephone call 12,000 miles away in London. “The caller said ‘your congregation will be next’,” says Mr Kozbar, chairman of Finsbury Park Mosque. “Imagine something like that. Maybe he was serious or maybe he wasn’t, but we couldn’t take any risk.” For the hundreds of Muslims who regularly attend the north London mosque, which tightened security after the threat, the Christchurch attack in March brought back memories of their own deadly experience of far-right extremism. Almost two years ago, and with the UK on high alert after a series of Islamist-inspired attacks in London and Manchester, Darren Osborne, a 47-year-old who had been radicalised online, drove a van into a crowd of people — killing one man and injuring others. He was jailed for 43 years in February. The threatening phone call to Mr Kozbar is not the only thing that links the two attacks. The man accused of the Christchurch killings, an Australian neo-Nazi called Brenton Tarrant, cited Osborne and other far-right murderers including Anders Breivik who killed 77 people in Norway in 2011, in a rambling 74page “manifesto” he posted online before the attack. Taken together these attacks represent an alarming long-term shift in the far-right terror threat which is forcing western security officials to reassess the way they treat white supremacists and neo-Nazi groups that are establishing increasingly global networks. “Rather than being isolated hate incidents or attacks,” says Jacob Davey, from the Institute for Strategic Dialogue, a think-tank, “they are part of a transnational struggle.” While it may appear contradictory, security officials and analysts say far-right extremists are taking inspiration from Islamist terror groups such as Isis and al-Qaeda, moulding their own ethno-nationalist ideology and using the reach of social media and other online platforms to spread it across borders. Using gaming chat platforms such as Discord, groups like the proscribed far-right National Action in the UK and Atomwaffen in the US are targeting a younger, more tech savvy audience, who it hopes to mobilise for what it sees as a long-term struggle against radical

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Islam, say counterterror police and security officials. In the UK, Islamist-inspired terrorism remains the single biggest threat to national security. According to Home Office statistics released last year, only four out of 18 attacks stopped by the police and security services between March 2017 and December 2018 were designated as far-right plots. Yet the consensus among British police and security officials is that the threat is growing. “The general feeling is that it is getting worse,” says one senior UK security official. “The world is getting more polarised.” The 2016 Brexit referendum did not cause the divisions in public attitudes — between metropolitan and rural, blue collar and white collar, internationalism and nationalism — but it exposed the depth of the faultlines. In the febrile atmosphere leading up to the vote Thomas Mair, a self-radicalised white supremacist, shot and killed the Labour MP Jo Cox, who had campaigned for Remain and lobbied for a more generous refugee policy. As Mr Mair stood over his victim’s body, he shouted: “Britain first. Keep Britain independent. This is for Britain.” Naz Shah, the opposition Labour MP for Bradford West in northern England, and a former colleague of Cox, argues the political ructions of the past decade are to blame for the rise in extremism of all kinds. “People just do not have confidence in politicians,” she says. “Brexit and the eight or nine years of austerity leading up to it . . . created a vacuum which is filled with anti-establishment and divisive views across the political spectrum.” Incidents of racially and religiously-motivated hate crime increased by 44 per cent in July 2016, immediately after the EU referendum, compared with the same month the previous year, according to the Home Office. Separate research by Tell Mama, an organisation which monitors Islamophobia, found that hate crimes targeting mosques more than doubled between 2016 and 2017 to 110. Threats, harassment or other intimidating behaviour more than tripled during the same period, while cases of violent hate crime against individuals doubled. Facebook has banned a host of far-right UK groups and individuals, including MEP candidate Tommy Robinson, whose real name is Stephen Yaxley-Lennon, for breaching the social media platform’s hate speech rules. @Businessdayng

One UK government official, who spoke on condition of anonymity, suggests that violent incidents are proliferating because rightwing activists feel under-represented and frustrated at having exhausted what they see as official avenues of protest. The British National party — a fringe group prone to racist violence — did have some electoral success at local council and European level in the past decade. But it failed to win a parliamentary seat and eventually went into decline under the strain of its own infighting. The BNP’s support has now splintered towards groups such as National Action and the English Defence League, which are not seeking influence through politics, but through protests and violence. Mark Cotterill, a former leading member of the BNP, says the young people he speaks to now are going down what he sees as a fruitless path for lack of any “constructive” alternative. “They’re annoyed that we are the only country in Europe that doesn’t have a nationalist movement or party. In France, or Belgium or Germany, they could get involved [in a political process],” he says. “There are these street protests, but I’m not sure where they’re actually leading. You go out and protest and then what? Go back to the pub?” The most prominent of the newer militant groups is National Action, the first far-right organisation to be banned in the UK since the British Union of Fascists in 1940. It is on this group that UK counterterror police and security services have focused their attention: a series of court cases in 2018 led to the conviction of 13 members of the faction, in a process described by the anti-fascist campaign group Hope Not Hate as the “most significant prosecution of any far-right group on serious terrorist or violent charges” since the early 1960s. Over the course of the trials a new picture of the far-right threat emerged: more organised, more hateful and displaying a willingness to resort to increasingly violent acts to achieve its aims. One case involved Jack Renshaw, a 23-year-old white supremacist who was accused of being a member of National Action and who admitted plotting to kill the Labour MP for West Lancashire Rosie Cooper and a female police officer. Although a jury could not reach a verdict in April on whether he was a member, something he denied, Renshaw had earlier admitted planning to stab Ms Cooper. Police and campaign groups worry the case shows that far-right extremists are now egging each other on to commit ever more violent attacks.

Friday 10 May 2019

BUSINESS DAY

Live @ The STOCK Exchanges Prices for Securities Traded as of Thursday 09 May 2019 Company

Market cap(nm)

Price (N)

Change

Trades

Volume

Company

Market cap(nm)

Price (N)

Change

Trades

Volume

PRICES FOR MAIN BOARD SECURITIES (Equities) BANKING ACCESS BANK PLC. 248,816.58 7.00 -0.71 316 40,701,675 UNITED BANK FOR AFRICA PLC 225,716.18 6.60 0.76 145 3,933,777 ZENITH BANK PLC 627,929.88 20.00 -2.20 572 28,612,023 1,033 73,247,475 OTHER FINANCIAL INSTITUTIONS FBN HOLDINGS PLC 262,035.64 7.30 -2.67 186 10,511,041 186 10,511,041 1,219 83,758,516 BUILDING MATERIALS DANGOTE CEMENT PLC 3,050,250.83 179.00 0.06 82 213,457 LAFARGE AFRICA PLC. 177,185.75 11.00 - 42 291,905 124 505,362 124 505,362 EXPLORATION AND PRODUCTION SEPLAT PETROLEUM DEVELOPMENT COMPANY PLC 341,239.00 579.90 - 23 13,231 23 13,231 23 13,231 1,366 84,277,109 REAL ESTATE INVESTMENT TRUSTS (REITS) SKYE SHELTER FUND PLC 1,710.00 85.50 - 0 0 UNION HOMES REAL ESTATE INVESTMENT TRUST (REIT) 10,175.81 40.70 - 1 30 UPDC REAL ESTATE INVESTMENT TRUST 14,408.66 5.40 - 0 0 1 30 1 30 OTHER FINANCIAL INSTITUTIONS NIGERIA ENERYGY SECTOR FUND 411.91 552.20 - 0 0 VALUEALLIANCE VALUE FUND 3,312.39 103.20 - 0 0 0 0 0 0 1 30 CROP PRODUCTION FTN COCOA PROCESSORS PLC 440.00 0.20 - 5 167,080 OKOMU OIL PALM PLC. 66,773.70 70.00 - 23 127,003 PRESCO PLC 58,000.00 58.00 - 7 55,990 35 350,073 FISHING/HUNTING/TRAPPING ELLAH LAKES PLC. 511.20 4.26 - 0 0 0 0 LIVESTOCK/ANIMAL SPECIALTIES LIVESTOCK FEEDS PLC. 1,890.00 0.63 - 20 176,730 20 176,730 55 526,803 DIVERSIFIED INDUSTRIES A.G. LEVENTIS NIGERIA PLC. 635.35 0.24 -7.69 5 184,204 JOHN HOLT PLC. 182.90 0.47 - 6 93,711 S C O A NIG. PLC. 1,903.99 2.93 - 0 0 TRANSNATIONAL CORPORATION OF NIGERIA PLC 45,932.23 1.13 -7.38 108 10,246,484 U A C N PLC. 19,448.75 6.75 -3.57 81 1,201,668 200 11,726,067 200 11,726,067 BUILDING CONSTRUCTION ARBICO PLC. 711.32 4.79 - 0 0 0 0 INFRASTRUCTURE/HEAVY CONSTRUCTION JULIUS BERGER NIG. PLC. 30,360.00 23.00 -7.63 26 208,757 ROADS NIG PLC. 165.00 6.60 - 0 0 26 208,757 REAL ESTATE DEVELOPMENT UACN PROPERTY DEVELOPMENT COMPANY PLC 3,897.59 1.50 - 2 5,005 2 5,005 28 213,762 AUTOMOBILES/AUTO PARTS DN TYRE & RUBBER PLC 954.53 0.20 - 0 0 0 0 BEVERAGES--BREWERS/DISTILLERS CHAMPION BREW. PLC. 11,196.18 1.43 - 8 83,615 GOLDEN GUINEA BREW. PLC. 242.22 0.89 - 1 4,000 GUINNESS NIG PLC 109,519.14 50.00 - 27 76,516 INTERNATIONAL BREWERIES PLC. 171,917.24 20.00 - 5 1,248,011 NIGERIAN BREW. PLC. 522,197.70 65.30 -0.31 43 2,281,497 84 3,693,639 FOOD PRODUCTS DANGOTE FLOUR MILLS PLC 85,000.00 17.00 1.19 135 1,869,446 DANGOTE SUGAR REFINERY PLC 168,000.00 14.00 - 42 160,429 FLOUR MILLS NIG. PLC. 65,606.07 16.00 -0.62 64 574,656 HONEYWELL FLOUR MILL PLC 9,119.73 1.15 -1.71 14 644,400 MULTI-TREX INTEGRATED FOODS PLC 1,340.10 0.36 - 0 0 N NIG. FLOUR MILLS PLC. 766.26 4.30 - 1 25 NASCON ALLIED INDUSTRIES PLC 47,557.42 17.95 - 16 32,580 UNION DICON SALT PLC. 3,321.07 12.15 - 0 0 272 3,281,536 FOOD PRODUCTS--DIVERSIFIED CADBURY NIGERIA PLC. 20,660.22 11.00 - 29 543,050 NESTLE NIGERIA PLC. 1,204,837.50 1,520.00 - 50 18,792 79 561,842 HOUSEHOLD DURABLES NIGERIAN ENAMELWARE PLC. 1,680.31 22.10 - 0 0 VITAFOAM NIG PLC. 4,940.83 3.95 - 14 258,679 14 258,679 PERSONAL/HOUSEHOLD PRODUCTS P Z CUSSONS NIGERIA PLC. 35,734.29 9.00 - 10 12,452 UNILEVER NIGERIA PLC. 178,095.17 31.00 - 32 138,329 42 150,781 491 7,946,477 BANKING ECOBANK TRANSNATIONAL INCORPORATED 185,330.47 10.10 - 31 223,342 FIDELITY BANK PLC 53,603.37 1.85 0.54 60 4,842,915 GUARANTY TRUST BANK PLC. 950,627.09 32.30 0.15 165 12,776,061 JAIZ BANK PLC 15,616.05 0.53 - 7 133,866 SKYE BANK PLC 10,687.83 0.77 - 0 0 STERLING BANK PLC. 77,734.13 2.70 -0.37 2,234 23,793,509 UNION BANK NIG.PLC. 203,845.27 7.00 - 38 280,811 UNITY BANK PLC 8,767.00 0.75 - 4 120,500 WEMA BANK PLC. 27,773.62 0.72 -1.37 20 503,459 2,559 42,674,463 INSURANCE CARRIERS, BROKERS AND SERVICES AFRICAN ALLIANCE INSURANCE PLC 4,117.00 0.20 - 0 0 AIICO INSURANCE PLC. 5,197.65 0.75 5.33 25 831,552 AXAMANSARD INSURANCE PLC 20,475.00 1.95 5.41 11 328,850 CONSOLIDATED HALLMARK INSURANCE PLC 2,357.70 0.29 - 6 44,900 CONTINENTAL REINSURANCE PLC 19,811.94 1.91 - 0 0 CORNERSTONE INSURANCE PLC 2,945.90 0.20 - 8 199,230 GOLDLINK INSURANCE PLC 1,137.49 0.25 -7.41 1 2,500,000 GUINEA INSURANCE PLC. 1,228.00 0.20 - 0 0 INTERNATIONAL ENERGY INSURANCE PLC 487.95 0.38 - 0 0 LASACO ASSURANCE PLC. 2,197.03 0.30 - 24 10,732,341 LAW UNION AND ROCK INS. PLC. 1,976.31 0.46 - 0 0 LINKAGE ASSURANCE PLC 3,840.00 0.48 - 1 100 MUTUAL BENEFITS ASSURANCE PLC. 2,569.73 0.23 - 6 154,975 NEM INSURANCE PLC 12,250.77 2.32 -2.93 22 1,349,650 NIGER INSURANCE PLC 1,625.29 0.21 - 1 7,032 PRESTIGE ASSURANCE PLC 2,529.80 0.47 - 3 56,742 REGENCY ASSURANCE PLC 1,733.88 0.26 4.00 18 4,309,380 SOVEREIGN TRUST INSURANCE PLC 1,918.39 0.23 - 22 1,102,251 STACO INSURANCE PLC 4,483.72 0.48 - 0 0 STANDARD ALLIANCE INSURANCE PLC. 2,582.21 0.20 - 0 0 SUNU ASSURANCES NIGERIA PLC. 2,800.00 0.20 - 5 500 UNIC DIVERSIFIED HOLDINGS PLC. 516.46 0.20 - 0 0 UNIVERSAL INSURANCE PLC 3,200.00 0.20 - 0 0 VERITAS KAPITAL ASSURANCE PLC 3,050.67 0.22 10.00 5 946,900 WAPIC INSURANCE PLC 5,219.27 0.39 - 30 611,892 188 23,176,295 MICRO-FINANCE BANKS FORTIS MICROFINANCE BANK PLC 11,799.67 2.58 - 0 0 NPF MICROFINANCE BANK PLC 3,086.96 1.35 -4.26 16 565,532 16 565,532

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MORTGAGE CARRIERS, BROKERS AND SERVICES ABBEY MORTGAGE BANK PLC 3,780.00 0.90 - 0 0 ASO SAVINGS AND LOANS PLC 7,370.87 0.50 - 0 0 INFINITY TRUST MORTGAGE BANK PLC 5,796.93 1.39 - 0 0 RESORT SAVINGS & LOANS PLC 2,265.95 0.20 - 0 0 UNION HOMES SAVINGS AND LOANS PLC. 2,949.22 3.02 - 0 0 0 0 OTHER FINANCIAL INSTITUTIONS AFRICA PRUDENTIAL PLC 7,860.00 3.93 3.15 47 983,307 CUSTODIAN INVESTMENT PLC 38,232.12 6.50 - 5 42,925 DEAP CAPITAL MANAGEMENT & TRUST PLC 660.00 0.44 - 0 0 FCMB GROUP PLC. 37,427.12 1.89 5.00 50 1,423,041 ROYAL EXCHANGE PLC. 1,183.44 0.23 - 4 146,648 STANBIC IBTC HOLDINGS PLC 447,512.16 43.70 0.46 14 3,998,331 UNITED CAPITAL PLC 14,880.00 2.48 -3.12 83 6,162,375 203 12,756,627 2,966 79,172,917 HEALTHCARE PROVIDERS EKOCORP PLC. 1,680.29 3.37 - 1 120 UNION DIAGNOSTIC & CLINICAL SERVICES PLC 852.75 0.24 -4.17 11 3,015,460 12 3,015,580 MEDICAL SUPPLIES MORISON INDUSTRIES PLC. 544.04 0.55 - 1 1,096 1 1,096 PHARMACEUTICALS EVANS MEDICAL PLC. 366.17 0.50 - 0 0 FIDSON HEALTHCARE PLC 6,900.00 4.60 - 8 1,667 GLAXO SMITHKLINE CONSUMER NIG. PLC. 10,762.89 9.00 - 13 48,790 MAY & BAKER NIGERIA PLC. 4,002.54 2.32 2.20 13 451,432 NEIMETH INTERNATIONAL PHARMACEUTICALS PLC 1,044.54 0.55 -9.84 6 500,050 NIGERIA-GERMAN CHEMICALS PLC. 556.71 3.62 - 0 0 PHARMA-DEKO PLC. 325.23 1.50 - 2 55 42 1,001,994 55 4,018,670 COMPUTER BASED SYSTEMS COURTEVILLE BUSINESS SOLUTIONS PLC 923.52 0.26 -3.70 43 9,566,388 43 9,566,388 COMPUTERS AND PERIPHERALS OMATEK VENTURES PLC 1,470.89 0.50 - 0 0 0 0 IT SERVICES CWG PLC 6,413.06 2.54 - 3 250 NCR (NIGERIA) PLC. 648.00 6.00 - 3 930 TRIPPLE GEE AND COMPANY PLC. 346.47 0.70 - 4 9,914 10 11,094 PROCESSING SYSTEMS CHAMS PLC 2,066.27 0.44 -8.33 33 3,419,257 E-TRANZACT INTERNATIONAL PLC 11,088.00 2.64 - 0 0 33 3,419,257 86 12,996,739 BUILDING MATERIALS BERGER PAINTS PLC 2,130.20 7.35 - 6 109,191 CAP PLC 23,800.00 34.00 - 14 19,944 CEMENT CO. OF NORTH.NIG. PLC 201,095.56 15.30 - 8 15,795 FIRST ALUMINIUM NIGERIA PLC 886.35 0.42 -2.33 11 785,016 MEYER PLC. 313.43 0.59 - 3 1,398 PORTLAND PAINTS & PRODUCTS NIGERIA PLC 1,959.74 2.47 - 0 0 PREMIER PAINTS PLC. 1,156.20 9.40 - 0 0 42 931,344 ELECTRONIC AND ELECTRICAL PRODUCTS AUSTIN LAZ & COMPANY PLC 2,256.91 2.09 - 0 0 CUTIX PLC. 3,258.45 1.85 - 33 4,534,483 33 4,534,483 PACKAGING/CONTAINERS BETA GLASS PLC. 34,473.07 68.95 - 13 5,294 GREIF NIGERIA PLC 388.02 9.10 - 0 0 13 5,294 AGRO-ALLIED & CHEMICALS NOTORE CHEMICAL IND PLC 100,754.14 62.50 - 1 10 1 10 89 5,471,131 CHEMICALS B.O.C. GASES PLC. 1,731.58 4.16 - 0 0 0 0 METALS ALUMINIUM EXTRUSION IND. PLC. 1,803.64 8.20 - 5 82 5 82 MINING SERVICES MULTIVERSE MINING AND EXPLORATION PLC 852.39 0.20 - 1 50,000 1 50,000 PAPER/FOREST PRODUCTS THOMAS WYATT NIG. PLC. 55.00 0.25 - 2 19,321 2 19,321 8 69,403 ENERGY EQUIPMENT AND SERVICES JAPAUL OIL & MARITIME SERVICES PLC 1,690.93 0.27 -10.00 25 2,181,284 25 2,181,284 INTEGRATED OIL AND GAS SERVICES OANDO PLC 57,806.07 4.65 4.30 79 2,633,071 79 2,633,071 PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS 11 PLC 62,382.98 173.00 - 9 1,481 CONOIL PLC 13,948.44 20.10 - 19 30,792 ETERNA PLC. 5,346.99 4.10 - 17 50,403 FORTE OIL PLC. 45,521.71 34.95 - 10 2,732 MRS OIL NIGERIA PLC. 6,354.80 20.85 - 1 50 TOTAL NIGERIA PLC. 55,002.54 162.00 - 9 2,197 65 87,655 169 4,902,010 ADVERTISING AFROMEDIA PLC 1,997.57 0.45 - 1 100 1 100 AIRLINES MEDVIEW AIRLINE PLC 17,551.17 1.80 - 0 0 0 0 AUTOMOBILE/AUTO PART RETAILERS R T BRISCOE PLC. 376.43 0.32 - 0 0 0 0 COURIER/FREIGHT/DELIVERY RED STAR EXPRESS PLC 3,242.23 5.50 - 1 10,000 TRANS-NATIONWIDE EXPRESS PLC. 361.01 0.77 - 4 29,934 5 39,934 HOSPITALITY TANTALIZERS PLC 642.33 0.20 - 2 200 2 200 HOTELS/LODGING CAPITAL HOTEL PLC 4,723.78 3.05 - 0 0 IKEJA HOTEL PLC 3,014.25 1.45 - 4 71,311 TOURIST COMPANY OF NIGERIA PLC. 7,862.53 3.50 - 6 570 TRANSCORP HOTELS PLC 41,042.18 5.40 - 0 0 10 71,881 MEDIA/ENTERTAINMENT DAAR COMMUNICATIONS PLC 4,800.00 0.40 - 0 0 0 0 PRINTING/PUBLISHING ACADEMY PRESS PLC. 181.44 0.30 - 8 346,800 LEARN AFRICA PLC 1,033.74 1.34 - 3 101,000 STUDIO PRESS (NIG) PLC. 1,183.82 1.99 - 0 0 UNIVERSITY PRESS PLC. 798.11 1.85 - 9 1,270,914 20 1,718,714 ROAD TRANSPORTATION ASSOCIATED BUS COMPANY PLC 497.31 0.30 - 2 11,666 2 11,666 SPECIALTY INTERLINKED TECHNOLOGIES PLC 764.54 3.23 - 0 0

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Friday 10 May 2019

BUSINESS DAY

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Friday 10 May 2019

BUSINESS DAY

Live @ The Exchanges LOSERS

GAINERS Opening

Closing

Change

STANBIC

Company

N43.5

N43.7

0.2

JBERGER

Company

DANGFLOUR

N16.8

N17

0.2

ZENITHBANK

AFRIPRUD

N3.81

N3.93

0.12

MANSARD

N1.85

N1.95

0.1

N1.8

N1.89

0.09

CAVERTON UACN FBNH

FCMB

Global market indicators

Market Statistics as at Thursday 09 May 2019

Top Gainers/Losers as at Thursday 09 May 2019 Opening

Closing

Change

N24.9

N23

-1.9

N20.45

N20

-0.45

ASI (Points) DEALS (Numbers)

N2.71

N2.44

-0.27

VOLUME (Numbers)

N6.75

-0.25

VALUE (N billion)

N7.5

N7.3

-0.2

28,896.25 5,646.00 215,203,980.00

MARKET CAP (N Trn

2.050 10.860

FTSE 100 Index 7,207.41GBP -63.59-0.87% S&P 500 Index 2,846.33USD -33.09-1.15% Generic 1st ‘DM’ Future 25,578.00USD -436.00-1.68%

Deutsche Boerse AG German Stock Index DAX 11,973.92EUR -206.01-1.69% Nikkei 225 21,402.13JPY -200.46-0.93% Shanghai Stock Exchange Composite Index 2,850.95CNY -42.80-1.48%

FMDQ continues to support infrastructure development ...Admits NSP-SPV PowerCorp Guaranteed Green Infrastructure Bond on its platform Stories by Iheanyi Nwachukwu

nfrastructure development in the nation is taking progressive steps in the right direction, as another corporate, North South Power Company Limited (“NSP” or “Company”) through NSP-SPV PowerCorp Plc, taps the Nigerian debt capital markets (DCM) for funding targeted at green infrastructure development. The listing of the NSPSPV PowerCorp Plc Series 1 N8.50billion 15.60% 15year Fixed Rate Senior Green Infrastructure Bond (the “NSP-SPV Power-

Corp Bond”) under its N50billion Bond Issuance Programme, guaranteed by Infrastructure Credit Guarantee Company Limited (“InfraCredit”), on FMDQ OTC Securities Exchange (“FMDQ” or the “Securities Exchange”) is the latest of these laudable initiatives that are paving the way for the infrastructure development via the Nigerian DCM. NSP, a first-time issuer in the domestic bond market, is an Africa focused electricity generation company with a diverse and emerging portfolio focused on the electricity value chain, with special emphasis on renewable energy sys-

tems such as solar, electric, thermal, wind and hydro power plants. To commemorate this remarkable achievement, FMDQ, in keeping with its tradition, held a prestigious listing Ceremony at its business complex, Exchange Place, on Wednesday, May 8, 2018. Present to celebrate the successful admission of NSP-SPV PowerCorp Bond on FMDQ were the issuer, NSP-SPV PowerCorp Plc, represented by the Chairman, Ibrahim Aliyu, the Executive Vice Chairman/ Chief Executive Officer, Olubunmi Peters, and other representatives

of North South Power Company Limited. Also present at the Ceremony were the sponsor of the issue and the Registration Member (Listings) of FMDQ, United Capital Plc, represented by the Group Chief Executive Officer, Peter Ashade, the guarantor to the bond, Infrastructure Credit Guarantee Company Limited, represented by the Chief Executive Officer, Chinua Azubike and representatives from the Joint Issuing House, Stanbic IBTC Capital Limited, Vetiva Capital Management Limited and Zenith Capital Limited, as well as the solicitor to the listing,

Banwo & Ighodalo and other parties to the issue. Tumi Sekoni, Associate Executive Director, Capital Markets, FMDQ, whilst welcoming the guests, congratulated the issuer, NSP-SPV PowerCorp Plc, and went on to express FMDQ’s pleasure at the listing of a green infrastructure bond on its platform, stating that this is yet another highly exemplary and indeed, positive step towards addressing some of the infrastructural and environmental challenges in the nation. She commented, “FMDQ, being an Exchange with a passion for infrastructure and sustainable development in Nigeria, has again dem-

Champion Breweries raises hope of dividends payment

hampion Breweries Plc has assured its shareholders that its various plans aimed at cutting operational costs will soon return the company to profitability and ultimately dividends pay-out. Assuring the shareholders at the company’s 43rd Annual General Meeting in Lagos on Thursday, Elijah Akpan, Chairman, Champion Breweries Plc said the Akwa Ibom-based brewing company has gained momentum through deliberate steps taken towards achieving its long term growth. According to him, the Board and Management have taken steps towards ensuring that the Company remains profitable. “Asides Management successfully launching the new Champion Beer bottles, it has also undertaken major capital investment with respect to providing alternative energy solution for the Company. This is with a view to reducing significantly the production cost, hence positioning itself favourably to compete in the market”, he said.

This, he said, has further boosted the morale of the management in achieving the growth, development and success of the Company in the incoming financial year. He also informed the shareholders that as part of management’s steps to increase the stock’s value and eventually leading to the payout of dividends, the Company has concluded the capital re-structuring exercise within the year under review. “The effect is that the N8.57billion in the Company’s Accumulated Loss account as at December 31, 2017 was transferred to its share premium account, thereby reducing it by same amount” he said. He acknowledged the confidence, trust and unflinching support of the shareholders to the Board, Management and employees of the Company, saying “with the giant strides being achieved by the Company, we are confident that your patience in your Investment will undoubtedly be positively rewarded in the nearest future”. www.businessday.ng

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onstrated its unflinching commitment in this regard by providing due diligence and availing its credible and efficient platform for the listing and trading of the NSPSPV PowerCorp Bond”. Olubunmi Peters, during the issuer’s special address, stated, “the issuance of the first corporate green infrastructure bond in Nigeria is a significant milestone in the Company’s longterm corporate strategy, demonstrating our market leadership, innovation and commitment to the highest standards of environmental, social and corporate governance.

Women in Business

BUSINESS DAY Friday 10 May 2019 www.businessday.ng

Abiola Adekoya’s account of a venerable trajectory Kemi Ajumobi

biola Adekoya is a financial expert with over 18 years’ experience working with leading financial service firms whose activities span across various continents. She is currently the MD/CEO of RMB Nigeria Stockbrokers, a subsidiary of the First Rand Group, a leading financial services group in Africa with footprints across the globe. RMBNS is focused on providing leading equity brokerage services (trading and research), to domestic and international investors, for the Nigerian equities market. Her trajectory from her early years in financial services, 1999 – 2006 to where she is today has told her story of consistency, hard work and results. After graduating, with a B.Sc Economics from University of Lagos (1994 – 1998), she started her career with the then Chartered Bank Limited (now StanbicIBTC Plc) during her NYSC program. Her strong sales skills proved valuable in her role as a Relationship Manager at Standard Trust Bank (now UBA Plc) where she was a pioneer staff in its most successful branch. As a Relationship Officer for corporate clients in Access Bank Plc, she sharpened her strong analytical, business writing and presentation skills. To further improve her business management skills, she attended the prestigious Lagos Business School (20062007) for her MBA. She is also a fellow of the Chartered Institute of Stockbrokers of Nigeria. Prior to this role, she was the MD of FBN Securities, a subsidiary of First Bank of Nigeria Holdings Plc, where she successfully repositioned the business to a top five stockbroking firm. She has considerable experience in equity capital market transactions and has been involved in several deals including initial public offers, rights issues, special placements and offer for sale which spans across various sectors including banking, construction and consumers. Trailblazer Abiola grew up as the first child of 4 children and was brought up to see herself as a leader, most especially as a trailblazer for her siblings. At a very young age, her parents emphasised the importance of setting good examples for her younger ones in conduct and academically. Her family was her first point of exposure when it came to the development of her

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Abiola

leadership skills. For her, leadership is not about serving herself; it’s more about serving others, so that they can buy into actualising the collective goals. Early years in career Her first banking experience was during NYSC as a bulk teller in a market branch. When she got to the branch, her first reaction was “get me out of here” with tears in her eyes. After she calmed down, walked around and met some amazing people, she decided to stay. It was one of the best decisions of her life. That decision further reinforced her resilience to succeed in the face of challenges. She never backs away from a challenging role or situation, she stays till the end or till she finds a solution that is workable. She also learnt the importance of managing your boss. “Usually, we expect our bosses to manage us but the best way to get a fantastic working relationship is to manage your boss. I call it managing up and when you do it successfully; your boss becomes your biggest cheerleader” she said. Being MD, FBN Securities First Bank is one of the leading and largest financial services firms in Nigeria and it was important to Abiola that it maintained that top position in the equities business. The business already had a strong presence in the equities market as a trading house and also as a broker for ECM transactions. However, it was important to consolidate the business by refocusing the business strategy to align

with the overall vision of the firm and the changes in its operating environment. The most important task for Abiola was to review and assess the existing structure of the business. Engaging with team on ground was also key as she needed their support in this journey. She focused on fostering a better relationship within the team and organised team retreats to motivate and improve communication within the team. Life as MD/CEO, RMB Nigeria Stockbrokers and experience so far In her career in financial services, Abiola has had various roles, which included heading and setting up a high performance team and also restructuring and repositioning a business. Her various roles across board have impacted positively on her growth in the industry. RMB is a member of the First Rand Group, one of the largest financial services groups in Africa and when the chance came to work with them, Abiola saw this as a significant opportunity to build a business on the platform of an international brand that had the expertise of establishing successful financial services business across Africa and internationally. The opportunity to work with RMB Nigeria Stockbrokers was different from any other as it required her to build a business where she would be responsible for crafting the overall business strategy of the firm and also creating structures around People, Processes and Products.

Inspiring the millennials “I love young people, their energy and enthusiasm is so infectious.” Abiola says. Young people for me are the salt of any institution, be it the family, the workplace or the society in general and they need to be carefully mentored and empowered. In her words, “I have a lot of young people in the family, children of family friends, young associates in various organisations and other young people who reach out to me regularly to provide guidance and support for them as they make major life decisions in career, education or even relationships.” What is important for Abiola is to understand the person, especially their skills, upbringing, societal and religious beliefs and finally habits. She encourages and pushes them to chase their goals, provide feedback and admonish where necessary, share her experiences where relevant and offer guidance based on her knowledge of the subject matter. A female boss in a corporate world As a young graduate, when Abiola was looking for a job, she was focused on the sectors and organisations she wanted to work for and looked for employment within those sectors. She also wrote a 5 year plan as a graduate of what she wanted to achieve within this period. She included the salary she wanted to earn, the level she would be at, what role or responsibility, what savings and even what type of company she would work for. For her, planning means a whole lot and it can help you to achieve or avoid mishaps. “My advice to others is, be humble period! Humility will open doors that pride will shut. Never be ashamed to admit that you don’t know it and always ask for help. There’s no leader that knows it all. Read and improve your knowledge about your industry and also take self-help courses.” Abiola advises. Women need to take the lead In the last few years, some organisations have taken active steps to increase female representation on their boards and data shows that women gained more board seats than men in 2017. Also, companies are increasing the number of seats to accommodate more women on their boards. These achievements are significant and are laudable but according to Abiola, there is still a gap in female representation on boards. “Women create a much needed balance and provide a diversified and objective perspective to business strategy that is invaluable to the success of a firm. I’m proud to be a woman in this time in history, as so many barriers were broken by those ahead of me that allowed me to strut in, in my heels with my superwoman cape and walk right through; to those women I remain eternally grateful.” Abiola said. According to her, there have been many glass ceilings broken, some making the headlines and others done by silent SHE-ROES, but unfortunately, new ceilings that continue to affect the advancement of women keep coming up and being created, they need to be broken. In Abiola’s words, “As a woman and for every other woman, whenever you see any glass ceiling or a barrier wherever you are, no matter how little, please don’t walk away or ignore it, please do your best to break that ceiling, so that the other women behind you can follow the path and pave the way just as you and I did”.

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