BusinessDay 13 Mar 2020

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Biggest Gainer Stanbic

Foreign Exchange

Biggest Loser MTNN

2.29 pc N103.5 22,739.68

N28.35

FMDQ Close

Everdon Bureau De Change

Bitcoin

NSE Foreign Reserve - $36.2bn Cross Rates GBP-$:1.29 YUANY - 51.99

Commodities -9.95 pc Cocoa US$2,502.00

Gold $1,577.07

news you can trust I ** friDAY 13 march 2020 I vol. 19, no 519

₦2,704,432.60

N300

Sell

$-N 363.00 369.50 £-N 473.00 483.00 €-N 406.00 415.00

-8.22

Crude Oil $ 33.62

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Buy

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Market

Spot ($/N)

I&E FX Window CBN Official Rate

374.00 306.95

Currency Futures

($/N)

6M

5Y

0.00 3.95

0.41

10 Y 0.00

30 Y -0.02

11.75

10.81

13.28

NGUS feb 22 2023 375.00

LOLADE AKINMURELE & OLUFIKAYO OWOEYE

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NGUS feb 26 2025 380.00

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Market fundamentals don’t support devaluation – CBN Stocks down 13% this week Naira falls to N374/$ on I&E

Continues on page 38

3M 0.00 2.87

NGUS feb 24 2021 367.00

Investors urge bold reforms as status quo seen unsustainable nvestors are rushing to sell their holdings of Nigerian assets from the naira to equities and bonds, a vote of no confidence and a signal to enact broad-based reforms, as the government stalls in unveiling its economic response to the coronavirus pandemic and falling oil prices.

President Muhammadu Buhari’s team set up to provide an adequate response to the coronavirus and oil price war threat to the economy has only hinted at a possible budget revision.

One fund manager, who followed the team’s roundtable in Abuja on Wednesday, said it was a “waste of time” and “failed to make a stab at the heart of the

fgn bonds

Treasury bills

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Sanusi sues DSS, AGF, 2 others, challenges his banishment Felix Omohomhion, Abuja

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he former Emir of Kano, Sanusi Lamido Sanusi, has filed a suit before the Federal High Court in Abuja seeking an order for the nullification of his banishment and his release from detention and confinement.

Respondents to the application are Attorney-General of Kano State, Attorney-General of the Federation, the InspectorGeneral of Police and the director-general of the Department of State Service (DSS).

Sanusi was arrested and taken first to Loko village in Nasarawa State, from where he was later moved to Awe town, by the Kano State government after he was Continues on page 38

Inside President Muhammadu Buhari (l) inspecting an exhibition during the Agric Fair, being part of the activities to mark the 2020 Argungu International Fishing and Cultural Festival in Kebbi State, yesterday. With him are: Lai Muhammed (r), minister of information and culture; Atiku Bagudu (m), governor, Kebbi State; Abubakar Badaru (2nd l), governor, Jigawa State, and other dignitaries. NAN

Dollar hits N410 on black market as demand surges P. 2

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news Dollar hits N410 on black market as demand surges HOPE MOSES-ASHIKE

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he pressure on the local currency intensified on Thursday as one dollar ($1) traded for N410 at the black market.

Foreign exchange users are buying up the dollar to hedge following fears of devaluation of the naira as the price of oil has slumped below $34 per barrel.

BusinessDay checks show that dollar was quoted at N410/$ at Apapa, Lagos, while in Festac Town area of the state, it closed at N400/$.

At the Investors and Exporters (I&E) forex window, dollar was quoted at the rate of N374.00k/$.

This is about 1.54 percent depreciation compared to N368.33k/$ traded on the previous day, according to data from FMDQ. The daily foreign exchange turnover at the I&E window stood at $106.04 million on Thursday.

Dollar remained stable at the official window at N306.95kobo.

Razia Khan, managing director, chief economist, Africa and Middle East Global Research, Standard

Chartered Bank, said the CBN’s approach to date, allowing for a very gradual move higher in USD-NGN rate in the I&E window, is the right approach to take, given the fall in the oil price.

Near-term, she said a certain amount of rushed USD-buying on the parallel market is to be expected.

The CBN should not necessarily react to this – with growth still sub-trend in Nigeria, demand will likely remain subdued.

“The focus may well be how to attract other sources of non-oil related inflows into Nigeria,” Khan said in an emailed response to BusinessDay. Nigeria’s Gross Domestic Product (GDP) grew by 2.55 percent (year-on-year) in real terms in the fourth quarter of 2019, compared to the fourth quarter of 2018 which recorded a growth rate of 2.38 percent.

In the long term, the naira depreciates against the US dollar in line with the difference in inflation between the two currencies. Trying to stop the naira from depreciating has proven a forlorn activity, according to Coronation Merchant Bank Limited.

Senate moves to end president, governors’ immunity in criminal matters

… agrees HND as qualification for office of president, governor SOLOMON AYADO, Abuja

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h e S e nat e i s seeking amendment of the constitution to disallow immunity in criminal matters currently being enjoyed by the president, vice president, governors and their deputies.

This is sequel to “a Bill for an Act to alter the provisions of the Constitution of the Federal Republic of Nigeria, 1999, to qualify criminal liability for certain public officers under Section 308”.

The bill, sponsored by Deputy Senate President Ovie Omo-Agege, seeks to exclude the public officers from criminal liability

“where the offence involves misappropriation of funds belonging to the federal, state or local government and also the use of thugs to foment violence”.

According to the bill, “President, vice president, governors and deputy governors shall lose their immunity if they are investigated by security and antigraft agencies, including the courts.”

The Senate has also resolved that academic qualification for elective positions of president and governor should be Higher National Diploma (HND), as against school certificate or its equivalent that is currently obtainable.

Section 308 of the 1999 Constitution (as amend-

ed) reads: “(1) Notwithstanding anything to the contrary in this Constitution, but subject to subsection (2) of this section – (a) no civil or criminal proceedings shall be instituted or continued against a person to whom this section applies during his period of office; (b) a person to whom this section applies shall not be arrested or imprisoned during that period either in pursuance of the process of any court or otherwise; and (c) no process of any court requiring or compelling the appearance of a person to whom this section applies, shall be applied for or issued: “(1) Provided that in ascertaining whether any

period of limitation has expired for the purposes of any proceedings against a person to whom this section applies, no account shall be taken of his period of office. “(2) The provisions of subsection (1) of this section shall not apply to civil proceedings against a person to whom this section applies in his official capacity or to civil or criminal proceedings in which such a person is only a nominal party. “(3) This section applies to a person holding the office of President or VicePresident, Governor or Deputy Governor; and the reference in this section to ‘period of office’ is a referContinues on page 38

FG relaxes policy on e-yellow card requirement for inbound passengers IFEOMA OKEKE

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igerian Civil Aviation Authority (NCAA) has issued a new directive to all airlines operating regional and international flights into Nigeria to allow passengers without International Certificate of Vaccination or Prophylaxis (ICVP), known as Yellow Card, to board henceforth.

This directive, according to Sam Adurogboye, spokesperson for NCAA, supersedes the earlier one issued on compulsory possession of Yellow Card.

However, passengers are advised that they will be vaccinated accordingly at points of entry and the process for obtaining the e-yellow card will be initiated.

This policy shift followed a letter received from the Federal Ministry of Health dated March 11, 2020, reviewing the implementation of the operationalisation of Nigeria points of entry policy on the prevention and control of cross-border transmission of Yellow fever.

“The review of the policy arose from the competing priority of the on-going entry

screening of our Points of Entry by the Port Health Services for COVID-19. Hence, entry screening of passengers due to the COVID-19 outbreak will be prioritised by the Port Health Services until the outbreak has been effectively contained,” NCAA said.

The NCAA stated that all airlines operating these flights from March 11, 2020 are required to implement the reviewed policy of the Federal Ministry of Health.

It explains that passengers coming to Nigeria without documented proof of vaccination against Yellow Fever (valid yellow card) are allowed to board but be advised that they will be vaccinated accordingly at Points of Entry and the process for obtaining the e-yellow card will be initiated.

The letter also urges passengers departing Nigeria, that a valid Yellow card will be required for boarding. It appeals to the affected airlines to communicate this policy to their passengers accordingly.

“This policy review is with effect from 11th March, 2020,” the letter said.

The NCAA, therefore, emphasised that strict and immediate compliance is required. www.businessday.ng

L-R: Gerald Ikem, divisional head, treasury, and international banking, First City Monument Bank (FCMB); Yemisi Edun, executive director, finance; Jean Guyonnet-Duperat, country director, PROPARCO in Nigeria, and Rachid Orounla, projects manager, during the signing of a partnership agreement on risk sharing between FCMB and PROPARCO (A France-based Development Financial Institution) in Lagos, yesterday.

Eko Bridge crack foretells danger that awaits Apapa … experts say it’s wake-up call on government CHUKA UROKO

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he Federal Government and the Lagos State government on Tuesday night hurriedly closed a section of the ever-busy and economically strategic Eko Bridge in Lagos to traffic, causing what was clearly a nightmarish traffic situation for all Apapa and Lagos Island-bound motorists Wednesday morning. The dust is yet to settle.

The reason for the unannounced closure of the bridge was a yawning crack on the bridge which the government authorities

reasoned had rendered it unsafe for use by motorists and other users.

Repair work is yet to commence on the crack because, according to Adedamola Kuti, the federal controller of works in Lagos, comprehensive investigations have to be carried out to determine the extent of damage on the bridge bearings discovered to have gone bad.

Though nobody knows yet the cause of the crack, until perhaps when the investigations are concluded, experts are of the view that what has happened on Eko Bridge simply foretells the

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looming danger that awaits Apapa Bridge which has become a loading bay for thousands of trucks enroute the ports.

“Government should see the crack on Eko Bridge, which also serves as loading bay for some Apapa-bound trucks, as a wake-up call,” said Johnson Chukwuma, a structural engineer.

Chukwuma, in a telephone interview, recalled the tragedy in Italy, the largest city in Rome, where, a couple of years ago, a highway bridge, the Morandi Bridge, collapsed over Genoa, causing peo@Businessdayng

ple, cars and huge slabs of concrete to fall hundreds of feet onto the city below.

“That unfortunate incident in Italy holds a grave lesson for Nigeria as it calls to mind quickly the disaster probably waiting to happen in Apapa where thousands of trailers and tankers, surging towards the ports, are parked almost permanently on the Ijora-Apapa Bridge; they are exerting enormous pressure on the bridge and weakening its structural stability,” he said.

For the wrong reasons, Apapa, Nigeria’s premier Continues on page 38

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Coronavirus: 51% of companies lack business continuity plan to combat outbreak KELECHI EWUZIE

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mid global concerns about the growing impact of coronavirus on world economy, 51 percent of companies around the world have no plans or protocols in place to combat COVID-19, according to Mercer study.

The Mercer’s Business Responses to the COVID-19 Outbreak Survey features insights from over 300 companies from 37 countries. The spot survey was conducted between February 6 and February 19, 2020.

The novel coronavirus (COVID-19) continues to spread across the globe. It has symptoms similar to a cold or flufever, cough and shortness of breath. But its complications, including pneumonia, respiratory distress and kidney failure, can prove fatal.

Experts are still gathering data to determine the full characteristics of the disease.

The virus appears to be more contagious and more severe than seasonal flu.

According to the survey, 27.2 percent of companies do not have a business continuity plan (BCP) in place, while nearly 24 percent are currently in the midst of drafting one.

The survey also finds that working from home or working remotely will remain a crucial factor for companies, with nearly half (42%) currently encouraging employees to work remotely, particularly in

highly affected areas.

An overwhelming 92.2 percent of companies have said that working from home remains their option of choice during an office closure.

The study further suggests that having a solid business continuity plan (BCP) in place that focuses equally on operations and employees will help organisations navigate effectively during these challenging times.

Many employees rely on their employers to monitor and assess the situation and share key findings with them, meaning that organisations have the opportunity to support their colleagues.

Didintle Kwape, associate consultant, Mercer, while commenting on the survey, states, “As of today, there have been only a few cases of coronavirus reported in Africa.

However, we have seen the negative impact on businesses that the coronavirus outbreak has caused in other parts of the world.

“It is important for organisations in Africa to also be prepared in case an outbreak like this occurs”.

Implementing a BCP enables ongoing operations while ensuring that the organisation is least affected when facing a disaster, whether it is a cyberattack, earthquake or a medical epidemic, such as coronavirus, that is impacting businesses globally.

Stakeholders raise red flag on bill seeking to outlaw generators JOSHUA BASSEY

…highlight implications for fragile Nigerian economy

he Nigerian economy will collapse should the National Assembly pushes through the idea of outlawing importation and use of generators in Nigeria without first fixing the ailing power sector, stakeholders say.

According to the stakeholders, which include members of the Organised Private Sector (OPS), labour and players in the power sector, the proposed ban would be tantamount to shutting down the economy, which depends almost entirely on generators - from factories to warehouses.

The stakeholders, who spoke with BusinessDay on Thursday in reaction to a bill seeking to criminalise importation of generators, which passed first reading in the Senate on Wednesday, described it as misguided.

Sponsored by Bima Enagi (Niger South), the bill proposes a ban on use of all types of generators, except those providing essential services - hospitals and other health facilities. It prescribes 10 years prison terms for violators (importers).

Muda Yusuf, director-gen-

eral, Lagos Chamber of Commerce and Industry (LCCI), said the bill if transited to legislation would cripple the economy.

“The heavy dependence on generators is a direct consequence of the failure of the power sector. Even with the power sector reform, the failure has persisted. What we expect from the legislators is a proposal on how to urgently fix the power problem in the country,” Yusuf said.

Yusuf noted that power issue was the biggest challenge facing us as a nation, as it takes a huge toll on businesses as well as on the welfare of the people.

“The only way to provide a sustainable solution is to locate the cause of the problem, not to be grappling with symptoms of the problem. It is strange that the bill passed the first reading,” he said.

Timothy Olawale, director-general, Nigeria Employers’ Consultative Association (NECA), also knocked the bill for lack of merit, noting t h e b a n w ou l d b e i n i m i cal to the quality of lives of Nigerians and national de-

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velopment.

He explained that small and medium size businesses would be killed as almost all of them use generators in the operation of their businesses.

“It is no gainsaying that the nation is faced with serious energy challenges, which predates the privatisation of the power sector. While we agree with the imperative to protect Nigerians from environmental pollution and associated risk, we affirm that criminalising the importation and usage of generators is a crude and noningenious way to deal with a serious national issue,” he said.

He further argued that a knee-jack ban on the sale and use of generators without resolving the challenges in the power sector would further compound the challenges faced by businesses.

“Currently the power sector lacks enough infrastructural facilities to guarantee power generation and efficient distribution by the DisCos. Legislation should focus on ensuring improved infrastructural development that will facilitate efficient distribution of power to the offices and homes of

Nigerians.

Nigerians should not be punished for the ineffectiveness and policy inconsistencies of successive governments,” the DG posited.

Oyinkan Olasanoye, president, Senior Staff Association of Banks, Insurance and Financial Institutions (ASSBIFI), argued that a ban on generators cannot be the priority of Nigerians at this time. She observed that barbers, tailors among other small business holders relied on generators given the unreliable electricity supply from the national grid.

“Government cannot be encouraging production and at the same seeking to ban generators except there is no coordination among the various arms of government. That would be policy inconsistency, and we simply don’t know what this is all about,” said Olasanoye.

Nigeria, according to claims

by Saleh Maman, minister of power, currently generates 13,000mw of electricity, transmits 7,000mw to DisCos, which distributes mere 3,000mw to millions of end users across the country.

FG, Edo disburse over N202m grants to 2,250 agric start-ups

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he Edo State government has commenced the disbursement of over N202 million to 2,250 start-ups spread across five local government areas (LGAs) of the state.

The focal person, Project Support Unit, Edo Sustainable Development Goals (PSUSDG), Ifueko Alufohai, said this at the training and disbursement of the grants to beneficiaries in Ovia South West Local Government Area (LGA) of the state.

She said five LGAs in the state were selected to benefit from the programme in 2012 and 2013 based on their lowincome status, noting that the implementation of the programme failed until Governor Godwin Obaseki assumed office in 2016.

Alufohai noted that 450 agripreneurs had been given start-up grants to improve their farming businesses in Ovia South West LGA of Edo State, adding, “This grant basically is for training and empowerment as the beneficiaries are expected to invest the grants on their farming businesses to improve their livelihood.”

According to Alufohai, 90 beneficiaries were selected from five communities across the five LGAs, which include Ovia South-West, Orhionmwon, Akoko-Edo, Etsako West and Esan South-

East LGAs. In Ovia South-West LGA, she noted that 450 beneficiaries from five communities, including Iguobazuwa East, Umaza, Siluko, Udo and Ugbogu benefited from the startup grants of N90,000.

In his address, chairman, Ovia South West LGA, Destiny Enabulele, expressed appreciation to the Federal Government and Edo State Sustainable Development Goals (SDGs), for the grants.

Enabulele urged the beneficiaries to guard against wastage and properly utilize the seed grants to grow their farming businesses so as to stimulate government to extend more support to farmers.

Special adviser to the governor on agriculture and food security programme, Joe Okojie, commended P re s i d e nt Mu ha m ma d u Buhari, Governor Godwin Obaseki, and the SDG Project Support Unit for ensuring the grants were disbursed to agripreneurs.

Speaking on behalf of other beneficiaries, Arise Joseph, who is into plantain farming, thanked the governments for making their dreams of over six years come to pass with the training and disbursement of the start-up grants, promising to utilise the fund to improve their businesses and contribute their quota to the development of the society. www.businessday.ng

Temitope Jemerigbe (m), MD/CEO, DKK Nigeria; Jenkins Alumona (4th r), MD/CEO, SOL Group, flanked by participants at the ongoing SOL PR Academy holding in Lagos.

Minister urges Swedish government to invest in Nigeria’s broadband infrastructure Jumoke Akiyode-Lawanson

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inister of communications and digital economy, Isa Ali Ibrahim Pantami, has urged the Swedish government to support Nigeria’s quest to deploy more robust broadband infrastructure in the country, for economic growth and prosperity.

Speaking on Wednesday night in Abuja, at a dinner hosted by Carl-Michael Grans, the Swedish ambassador to Nigeria, Pantami, who was represented by Umar Garba Danbatta, the executive vice chairman of the Nigerian Communications Commission (NCC), said Nigeria had embarked on a digital transformation

journey and efforts were ongoing to ensure evacuation of the massive data capacity at landing points to hinterland.

“We have a plan to move the massive capacity from landing point to hinterland.

To do that, we know we have to put in place the necessary infrastructure that will facilitate it. We would therefore like the Swedish Government to buy into this great idea of deploying this massive broadband infrastructure which is fibre-driven,” he said.

According to Pantami, the project will see a quantum access of 10gbps in each of the 774 local governments of the country.

“We appreciate the im-

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portant intervention that you are giving to this country, especially to this sector of the economy we are managing on behalf of the Federal Government. The statistics are there for all to see.

The broadband penetration, for instance is about 40 percent but this is 40 percent of close to 200 million people, which translates to about 80 million Nigerians having access to high speed internet together with the volume associated with broadband networks,” he explained.

The minister, however, noted that as the country’s population was close to 200 million the government would not rest on its laurels until everyone had access to high speed internet as well as @Businessdayng

the volume associated with the network.

On internet penetration, he observed that figures recently released by the NCC indicate that almost 125 million Nigerians had access, but lamented that close to 31 million Nigerians were still within unserved and underserved areas.

Nigeria achieved its fiveyear National Broadband target of 30 percent in December 2018 and since then the level of penetration has remained steady.

It could be recalled that the broadband penetration was less than 6 percent when President Muhammadu Buhari appointed Danbatta as the chief executive officer of the NCC.

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CISLAC reveals NNPC’s crude oil theft revenue losses records James Kwen, Abuja

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he Civil Society Legislative Advocac y Centre (CISL AC) Wednesday revealed that the Nigeria National Petroleum Corporation (NNPC) data put revenue losses from crude theft at $1.56 billion and refined product losses at $1.85 billion, while companies operating in the sector put the figure of crude losses at N38.54 billion.

This was just as the management of NNPC had told the House Ad-hoc Committee on Crude Oil theft in Nigeria on Tuesday at a public hearing that they have no records of crude oil theft as against the data supplied to the Committee by CISLAC. The executive-director of the CISLAC Auwal Rafsanjani who led about 25 other civil society groups to the public hearing gave statistics of crude oil losses obtained from NNPC and some International Oil Companies.

Rafsanjani said there has been an upsurge in the ac-

tivities of oil theft in Nigeria which became obvious in August 2019 when the National Economic Council (NEC) headed by Vice President Yemi Osinbajo alleged that 22.6 million barrels of oil estimated at $1.35 billion were stolen between January and July 2019.

According to him, the National Economic Council Committee on Pipeline Vandalism headed by Governor Godwin Obaseki of Edo State drew attention to Nigeria’s potential risk of losing $2.7 billion worth of oil in two years.

He said :”two profound studies by the Nigeria Natural Resource Charter (NNRC) and the Nigeria Extractive Industries Transparency Initiative (NEITI) have also put the country’s loss to oil theft at N4.57 trillion between 2015 and 2018 and $41.9 billion between 2009 and 2018 respectively.

“While there is clarity on what is covered in the figures above, there are a whole lot of other dimensions and trends that were not taken into account when

counting the loss to oil theft in Nigeria”.

He said the Nigeria Extractive Industries Transparency Initiative giving what it described as conservative estimates of oil looses from some IOCs (SHELL, Chevron & Agip) self-reporting indicates that Nigeria lost between 150,000b/ day – 400,000b/day (7.5%20% of total production of 2mbd) amounting to $10.9billion to oil theft from 2009-2011.

The CISLAC boss quoted the same NEITI 2019 report as saying Nigeria lost $41.9 billion between 2009–2018 averaging $11.47 million/ day, $349 million/month and $4.19 billion annually.

“While the above figures largely represent figures collected from official sources (presumable obliged by oil companies), they do not necessary capture other different sources of leakages already identified in this memorandum. Those sources include industrial scale over-lifting and other pilfering that happens through official channels,” he said.

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‘ECOWAS may not achieve AU Agenda of ‘Silencing of the Gun in 2020’ Innocent Odoh

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resident Mahamadou Issoufou of Niger Republic has expressed worry that member countries of the Economic Community of West African States (ECOWAS) may not meet the African Union’s (AU) agenda of silencing the gun by 2020.

One of the aspects of the 2063 agenda of the African Union is ‘Silencing the Gun by 2020’. It is a campaign that aims to rid the continent of wars, violent conflicts, human rights violations and humanitarian disasters.

Speaking in Niamey on the occasion of the swearing in of the on-going Fifth Legislature of the ECOWAS Parliament, President Issoufou said the ECOWAS region was still ravaged by threats of terrorism, criminal activities and inter-community conflicts.

He said the Sahel re-

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gion and Lake Chad were seriously affected by conflicts aggravated by the Libyan crises. He therefore called on member states to strengthen their solidarity to combat the threats by facing the situation squarely.

The President said it was for this reason that the five member states of the Sahel region, G5, requested for the creation of combined force.

“It is also in this regard that member states of G5 Sahel and France appealed on the occasion of the summit held on January 13th 2020 for the creation of a Sahel coalition to combat terrorism,” he said.

He pointed out that the coalition is expected to focus on four areas which include; intensifying the fight against terrorism, reinforcing military capacity of the G5 countries, reinforcing state presence and administration in the conflict areas as well as social economic development.

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The composition of the coalition force, according to him, would comprise units from the European Special Force while ECOWAS member states are supposed to be part of the coalition either collectively through the standby force or individually.

P re s i d e nt Is s o u f o u , who is also the Chairman of the Authority of ECOWAS Heads of State and G overnment, said member countries of the regional body were also invited to the next summit which will be held in Brussels to provide content to the security and stabilisation plan for the Sahel region.

Another security threat noted by President Issoufou was the spread of Coronavirus in the region.

To this end, he called for a regional response to tackle the disease while expressing optimism that the region would be able to live up to expectation in the same way it tackled the outbreak of Ebola.

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Poetry and the Wealth of Nations: Odia Ofeimun @ 70 THE NEW WEALTH OF NATIONS

Obadiah Mailafia

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he poet Odia Ofeimun’s seventieth birthday comes up on Monday 16th March.

When I was a first-year undergraduate at Ahmadu Bello University, Zaria, in the late seventies, the name Odia Ofeimun was quietly making waves on campus. He was a youth corper teaching in one of the secondary schools outside the old city. But his fame was already spreading. He had won the poetry prize at Ibadan and was being celebrated as a budding star.

In 1979 Odia made headlines as the new aide to UPN presidential candidate Chief Obafemi Awolowo.

His star waned somewhat when some important party secrets were spilled to the press and Odia became the fall guy.

It took quite a while before it became clear that he was innocent.

Over the decades, he has established himself as a national icon, celebrated journalist, irreverent social critic and poet. We only met in the late eighties, at Oxford, where I was a graduate student and he was appointed as Rhodes Fellow at St. Antony’s College.

We struck it off immediately. Our bond became stronger when he discovered that one of the brightest young poets that was emerging, Idzia Ahmad, happened to be my cousin. Idzia died tragically young, in his twenties.

Odia was the sun around which the rabble of Nigerian and African students constantly gravitated. He had a way of challenging you and making you rise up to your highest potentials. When he was finalising the manuscript on “Under African Skies”, I was privileged to read and critic it.

German poet Johann Wolfgang von Goethe counselled that an educated person ought, every day at least, “to hear a little song, read a good poem, see

a fine picture, and, if it were possible, to speak a few reasonable words.”

Poetry has always been a part of my life for as long as I can remember. I was introduced to the romantic poets by my literature teacher in secondary school, a young English woman from Liverpool by the name of Linda Hutchinson. As a prelim student in Zaria, my teacher Mrs. Maude Aliyu made poetry come alive for me. When she recited Keats’s Ode to a Nightingale in class, I could swear I saw one flying through the window!

For most of my teens, you would never catch me without a slim volume of either Byron or Wordsworth or Keats or Shelley. I later added Christopher Okigbo to my quiver, and, later, Leopold Sedar Senghor, Kofi Awoonor, Dennis Brutus and Tchicaya U Tams’i. Not to forget T. S. Eliot, Stephen Spender, Anna Akhmatova, Rilke, Osip Mandelstam and the immortal Pablo Neruda.

I have dabbled in poetry, but I do not call myself a poet. The accumulated wisdom of time and experience has taught me that one is born to certain vocations. You are either born a poet or you are not. Same is true of artists, musical composers, great inventors and mathematicians. We are all differently wired. In the inimitable language of our Igbo people, one has to know what one’s Chi is made of and then pursue it with all of one’s heart, strength and might.

Odia was definitely born to be a poet. Poetry discovered him, as it were.

He apparently did not follow a normal scholastic trajectory like your typical middle-class Nigerian. He worked as a labourer and factory hand; educating himself entirely at home before gaining entry to our premier university of Ibadan. He majored in political science. It turned out to be wise choice.

The cognoscenti advise that budding writers should not major in literature and languages, as these are capable of unconsciously forcing obedience to literary rules and conventions that can easily stifle creativity.

In my intellectual and personal interactions with Odia Ofeimun, I have come to revere him as one of the greatest literary oracles our country has ever produced. When his dear mother passed on about a decade ago, he

confided to me that her only regret is that she was not privileged to hold her grandchildren. Odia has never been married. I suppose he is already married to poetry, which is a very jealous mistress. One of the hopefuls, a very beautiful damsel, legend has it, visited Odia’s house and discovered that there was no place to sit down. Books lined the walls from floor to ceiling. Even the settees were taken over by dog-eared tomes. She wisely understood that she had no future in such bohemian settings.

Odia is an epitome of self-discipline. Perhaps he got some of that from our political master Obafemi Awolowo.

He does not touch alcohol. Wherever we go, he will only drink water. He does not smoke. He is also a vegetarian. It was from him I learned that even your diet can affect your intellectual output and your level of spiritual vibration.

But I cannot lie to you, women worship Odia Ofeimun. As a poet, I suppose he cannot afford the luxury of not reciprocating the kindness.

I am currently reading one of the classic Bildungsroman of German literature, Eckermann’s Conversations with Goethe. It is evident that great poets have a deeply romantic streak. Great poets must always have a muse -- that one woman to whom they can pour out their very soul. In the case of Odia, I do not have the privilege of knowing who his muse is.

There is something that happened long ago that I have never revealed.

During his last days at Oxford, Odia was invited to read some of his poetry in Italy. I have forgotten which city it was – perhaps Rome or Torino or Trieste or Milano. On his way back, something went wrong. British immigration rules prevent anyone from entering Britain with a passport that has not less than 2 weeks to expire. Absent-minded poet that he was, Odia forgot that his passport had barely 10 days to expire. He was turned back at Heathrow Airport.

He had to go back to Nigeria, leaving his flat in Oxford, with all his books and personal effects.

The part of the story we never told him was that the late Tajudeen Abdurrahim and myself had to break into the flat and pack up all his books and personal perfects for safekeeping.

‘

The wealth of a nation can never be measured

by GDP or by other economic and financial indices alone. It must also take account of the quality of the people; and their largeness of heart and mind

Because we were indigent students, we could not hire a taxi to help us convey the personal effects. We had to get some sacks, with Taju holding one end and me the other, dragging the things through Corn Market Street, into a storage at St. Antony’s College. Taju is now late, but the memory of him and me dragging Odia’s things through the streets of Oxford like miserable tramps still fills me with laughter!

Odia will forever be the vagrant poet. He once turned up at Abuja airport from Lagos, only to realise that he had forgotten his purse at home and had no money even to get himself into town. Odia’s wealth cannot be quantified in bricks and mortar or in terms of investments in blue chip companies.

His wealth is in the immortal songs that have sprung from his pen and the many he has inspired to achieve great things in life. I am one of his mentees.

The Greek philosopher Socrates believed that poets are inspired by “a kind of instinct or inspiration, such as you find in seers and prophets who deliver all their sublime messages without knowing in the least what they mean”.

Perhaps it was for this reason that Plato advocated the outright banning of all poets from his ideal republic. Plato was, of course, a fascist. In our age of violent extremes, poetry civilises and humanises. Poetry lifts us above the banal and the commonplace towards the sublime and transcendent; towards truth, goodness and beauty – towards the eternal.

The wealth of a nation can never be measured by GDP or by other economic and financial indices alone. It must also take account of the quality of the people; and their largeness of heart and mind.

In our age of crass philistinism, the barbarians currently ruling us are incapable of appreciating poetry or valorising the greatness of a writer. Great nations like France or Brazil would have used the likes of Soyinka or Odia as cultural ambassadors for their country.

But they sadly will never.

Happy birthday, Odia di Great!

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)

Succession planning 2

W

e started discussing succession planning in the last article. Before I delve into today’s discussion, I must comment on the craziness that is Corona virus. In almost a twinkling of an eye many international conferences and trainings around the world have been cancelled, airlines are cancelling their flights, countries are on lock down, schools are working only on the internet.

Nobody is sure as to whether or not the situation is as bad as to warrant all this or if it is purely for prevention purposes or if it is a fall out of the social media hype? I am hoping we will know for sure soon and everything will go back to normal. This clearly shows how everything is dynamic and if you remain static you will be very quickly run over.

As though that is not enough, oil prices have dropped, which means what and what, I will not be discussing that here. How have all these things affected businesses or at least your business and most especially your employees. I am sure you have seen the handwriting on the wall and are prepared.

We discussed succession planning last time at length. This week is just a short piece about a few steps to take to ensure your succession

planning is well done. Succession planning is actually quite simple to do and we must all in our organisations ensure we have this in place.

There are many ways to go about it and these are just some pillars.

Just a recap, succession planning is the process of identifying influential positions within an organisation, then training existing employees or new candidates to ensure those roles do not go unfilled. A succession plan typically focuses on high-level and strategic positions that, if left open, would adversely affect the company’s profitability and success.

Taking into consideration the number of choices, opportunities and even misfortunes that can affect anyone’s career, it becomes essential to prepare for a leader’s or strategic position holder’s sudden or unexpected departure with a proper succession plan.

Often the importance or urgency to craft this plan may not be obvious because everything seems quiet and there are more pressing things to be done. However, failure to do so could severely jeopardize a company’s future should a strategic position suddenly fall vacant.

A successful succession plan often is not just a simplistic cross-training of employees on multiple roles. Neither is it just HR paperwork. The first

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step is to identify the roles that are fundamental to a business’ success. These are roles that if left unfilled, could negatively impact the company’s growth. Typically, a succession plan will mirror a company’s hierarchy, higher-ranking and strategic positions being more vital to an organisation’s success than those who command less responsibility. Once management prioritises the most critical roles, they can form their succession plan accordingly.

Learning from the incumbent directly requires his or her buy-in to the planning process.

Many leaders don’t want to think about a time when they will no longer be needed at the company, much less help identify or train their replacements. A leader’s successor must be aware of the company’s or department’s shortand long-term performance goals and be able to pick up where the previous leader left off. Also possessing all the requisite skills and personality traits. Learning these details after the leader’s departure defeats the purpose of a succession plan.

There are many advantages to naming an existing employee as a successor (saving on recruiting and onboarding costs, hitting the ground running, employee loyalty and team bonding to mention a few). However, there are times when there are no qualified employees, a replacement

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Olamide Balogun has to be found externally.

This will change the direction of the succession plan, as instead of training a current employee to transition into a leader’s role, the focus will shift to developing a process by which a new hire can become a functioning leader as quickly and smoothly as possible. Usually even before the vacancy exists, if the company practises pipeline recruitment, there is somebody that has already been identified. (Pipeline recruitment is when you already identify a possible replacement of a strategic position.)

Note: The rest of this article continues in the online edition of Business Day @https:// businessday.ng Balogun is the founder of Box & Cedar Ltd a boutique Recruitment and HR Consulting firm Www.boxandcedar.com

@Businessdayng

Ekwegh is a private legal practitioner with over 15 years

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That NTA may ‘rival’ CNN HumanAngle

Femi olugbile

R

ecently it was put about that a request had been made for a loan of $500 million from a foreign power to put the Nigerian Television Authority (NTA), on a par with Cable News Network (CNN).

To those who knew something about these matters, it was a joke, worthy of a hearty laugh.

The history of television broadcasting in Nigeria is fraught with highs and lows, culminating in the behemoth and emblem of “federal might” known as NTA. The first television station in subSaharan Africa - Western Nigerian Television (WNTV), opened in 1959. In 1962, Radio Kaduna Television (RKTV) was established. Midwest TV was established in 1972, and Benue-Plateau Television (BPTV) followed in 1974.

NTA was founded in 1977. By May of that year all the State television stations had been merged under it and rebranded Nigerian Television (NTV).

Apart from News, in which it essentially acted as the voice of the government and party in power, in an era when the audience had no alternative, it spawned the production of local content and gave a wide reach to “network” programmes such as “Village Headmaster”, “Tales By Moonlight”, Cockcrow At Dawn” and

“Mirror in the Sun”.

Incidentally Olopade Obisesan was the inaugural Chairman of WNTV – the outlier, and Vincent Maduka was the General Manager. Perhaps in recognition of their pioneering status, they continued in those roles when NTA was formed.

NTA has served as a factory for the grooming of talents in the areas of News, as well as Creative Arts.

Newscasters such as Ronke Ayuba, John Momoh, Sienne Allwell-Brown, Cyril Stober, Bimbo Oloyede, Ruth Benamesia-Opia and Sola Omole cut their teeth there, becoming household names across the nation.

Over the years, NTA has grown ever larger, and ever more entrenched as a parastatal of the Ministry of Information. From glib smart “faction” disseminated under the rubric of such programmes as “Verdict 79” in the era of Walter Ofonagoro and NPN, to frank falsehoods and disinformation under the brutal dictatorship of Abacha, the great possibilities, and serious dangers embodied in an all-powerful NTA have been demonstrated to the Nigerian public.

Deregulation came. Channels Incorporated, founded by John Momoh, an alumnus – yes, of NTA, began broadcasting in 1995. Africa Independent Television (AIT) came on board in 1996.

Over the years, the need to “tell the African story” has become more and more compelling.

In 1996, Al Jazeera started to broadcast from Qatar. It gave the people of the Arab world the feeling, for the first time, that there was a station with the reach and content to tell their story.

Al Jazeera is now a smooth, sleek organization competing for viewing audience, not just in the Arab world, but everywhere.

It is logical that that the “voice” of Africa should come from Nigeria – the “giant” of Africa. It was at least part of the reason why John Momoh set up Channels, and why Dokpesi set up AIT. It has also provided part of the justification for the huge additional investment of government in NTA, year on year.

Nobody has yet achieved the status of “Voice of Africa”.

As we speak, the “local” channel that is most avidly watched by Nigerians in the diaspora is Channels Television.

Cable News Network (CNN) was founded by Ted Turner in 1980 as the first 24-hour news operation in the world. It is the international gold standard in independent broadcasting.

CNN has state of the art digital facilities, top of the range human resources, with a private sector organisational structure, and a rugged, independent credibility acquired over the years.

A verbal exchange at a recent event to mark the golden jubilee of “Village Headmaster”, brought out in bold relief the need for new thinking in, and about, NTA. After the nice speeches from Christopher Kolade and the incumbent DG of NTA at the event, the talk shifted to a panel discussion and audience interaction on the topic “Drama as a tool for national development”. It quickly became obvious that there was a sense among the younger generation of actors and producers making waves in Nollywood and on Netflix that the “old breed”, represented by government and the NTA establishment, were dismissive of their talents and accomplishments, and not willing to acknowledge them. Kemi Lala Akindoju (actress/producer “The CEO”, “Fifty”) complained they were

‘

If there is going to be a Nigerian “voice of Africa”, it will not be NTA, no matter how many hundreds of millions of dollars government borrows to plough into it.

Some things simply cannot be bought, and in its organisational flaws and limitations, NTA resembles the Nigerian nation itself

thumbing their noses at them, despite their massive home-viewership and international recognition. There was no talk of mentoring or collaboration.

NTA facilities, she said, were lying fallow all over the country, and yet they would not allow private producers to use them. She mentioned Funke Akindele, the creator of “Jenifa” and its spinoffs, and how she had singlehandedly built her own studio. Such “private” efforts should be celebrated and embraced, instead of being scoffed at for their character’s rotten English.

In any case these were the Drama the Nigerian people preferred to watch, instead of expensive government sponsored NTA productions. NTA, she concluded, belonged to the people of Nigeria, so why the “us and them” mentality?

If there is going to be a Nigerian “voice of Africa”, it will not be NTA, no matter how many hundreds of millions of dollars government borrows to plough into it. Some things simply cannot be bought, and in its organisational flaws and limitations, NTA resembles the Nigerian nation itself.

That “voice” would have to be independent – a Channels, or TVC, or Arise, massively raising its game, or a conglomerate arising from them, or a totally new cable network that has learned from the errors of its forebears.

NTA needs to do a wholesale strategic rethink and reset its objectives to return value for the resources the Nigerian nation has plowed into it since 1977. Listening to artistes and productions being celebrated by the majority of Nigerians in 2020 and helping them instead of putting them down may be a good beginning to that journey.

Olugbile is a writer and psychiatrist. synthesiz@gmail.com

What really is the difference between a bottle of water and Eva by Coca-Cola?

W

hat is the difference between a car and a Mercedes Benz, or a watch and a Rolex, an artist and Davido?

The answer is brand.

If then, then what really is a brand? What’s yours?

If you take out all the buzzwords and jargons of business school, you’d see that your brand is what people say about you when you’re not in the room.

Every interaction is like an entry into a room.

Once you walk into that room with a product or just yourself (whether it’s a business boardroom or someone’s life), you would be greeted with 3 moments of truth: 1.What people feel when they first see you.

2.What you portray (as they interact with you/ your business or proposition) 3.What you will be remembered for (after you leave).

Brands, Branding and Brand Strategy is about how to influence those 3 Moments of Truth. Whatever you decide to build as a brand, ensure that it is unique, easy to identify and consistent. The truth is anything can be a brand, be it people, places, object or businesses. An even more tangible truth is that anybody can build a brand. It starts from finding you or an ideology around your product and being the best at it. As you build it, your value will increase, way beyond your competition; way beyond logic.

The outcomes of branding are not logical.

People will pay more for less when you’re a brand.

From the Rolex to the Rolls Royce to a night in Burj Khalifa in Dubai or to listen to Jay-Z perform life in concert.

Jay-Z and Kanye West once charged $6 million (over N2 billion) in 2011 to perform for a few minutes in Dubai. It was for Sheikh Monsour (The owner of Manchester City. It was sister’s 16th year old birthday party). That how much

people can pay for brand. Brands enhance value. When Procter and Gamble acquired Gillette in 2005, Gillette was sold for 57 billon dollars.

But in reality, only $6 billion of the $57 billion purchase price was for its tangible (touchable) assets, the vast majority of the value being in its brand equity and perception in the eyes of the customers.

In branding, we say “the only thing more important than what you are selling is what the buyer believe he is buying”. It’s perception and trust. Every brand is a product, but not every product is a brand. I suggest that you package whatever you sell so well that it feels world class.

It shows that you understand excellence, which creates trust. Blow the mind of your customers, especially when you have substance. You have a good product already; don’t serve it wrongly.

Just like I love to say, “don’t put your champagne in a Zobo nylon”. They’d under price it. Don’t put a good product in a bad container.

A brand is trust. And brand strategy is how you present and deliver that trust. The deeper the better. Brand audaciously and intimately.

Let your product, you or whatever you sell give a promise that feels real and intimate and must be kept as a covenant. A brand even in a deeper definition is an illustration of a covenant; things like logo and other aesthetic assets should be the graphical representation of the purpose of that product. Like a cross is a graphical representation of Christianity and the half moon and star suggests Islam. In line with this, let your product be the covenant with the creator to be identifiable, unique, the best, and consistent.

Brands are meant to be audacious. It’s supposed to pose questions and start conversations.

For example, I once saw a billboard that said, “who says “there’s no virgin in Port Harcourt”. Yes, this was a slogan that Richard Branson’s company had

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on billboards around Nigeria when it launched in Port Harcourt. After a while of processing that thought provocation, you’d realize that oh, maybe he means Virgins as in Virgin Atlantic?

Another brand came by introducing us to a game that these sexy ladies likes through wordplay. They can’t get their hands off it. The tagline for that particular brand was “The more you play with it, the harder it gets.”…oops. No, it’s not what you think. “The more you play with it, the harder it gets.” Was the slogan for the TV game console, Sega Genesis.

The audacity of brands goes beyond aesthetics and messages; it also includes a voyage into experiences and thoughts. This can be delivered via corporate communications on things like slogans. It should provoke thoughts and actions through the story telling of its products. Brands should tell stories. Entrepreneurs should be storytellers through their products. And if so, then let’s borrow the words of Chinua Achebe.

Writers don’t give prescriptions. They give headaches! A great brand isn’t see-through; it’s encoded to the close-minded with your product as the antidote. This is because the mind is like a parachute; it’s activated and works best when it is opened.

The deeper the brand, the better the value and equity.

You can sell anything, even things below value once you can create a high Brand Equity, from Coca-Cola’s products (mere Sugar water) to D’banj (where has he been and what has he been singing lately?), to Wrigley for making billions from Orbit and PK chewing gums, or Tonto Dikeh and Bobrisky, with a good career from controversy. On the other hand, Kanye West is more popular for his arrogant Brand Attitude, Redbullan energetic brand attitude, GTbank- a corporate yet creative Brand Attitude, - Mercedes- a classy

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EIZU UWAOMA brand Attitude, Lady Gaga- a weird and cult like Brand Attitude. They were all created on purpose with identity, uniqueness and more importantly, consistency. And how about yours?

Whether life or business, have a brand that send people curious. It sends them on a psychological errand to know more. So out of curiosity, they engage further the brand. And as they do, more sales, more talks, more experiences and engagement it creates. As a matter of fact, in brand strategy, mystery always sells.

Just like Lady Gaga’s weirdness, or the ground breaking horror video of Michael Jackson’s Thriller, like Ben Enwonwu fine art crafts in our museums or even Picasso or Da Vinci’s decoded artworks at the gallery you do not understand yet you pay so much for, that weirdness is how brands are built. In creating a brand, first create a deep feel not totally understandable.

It draws value and attention. We see this even more in folklores, myths and even modern-day religious stories. Have you noticed that in the bible, there was no recording of Jesus, between ages 13 to 30yrs (at 13, just after he went missing and was found in the temple)? Think about it.

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. contacteizu@gmail.com

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Friday 13 March 2020

BUSINESS DAY

Editorial Frank Aigbogun

Why investors spot gold in gas, data and insurance

editor Patrick Atuanya

Policy clarity and regulatory certainty critical

Publisher/Editor-in-chief

DEPUTY EDITOR John Osadolor, Abuja NEWS EDITOR Chuks Oluigbo MANAGING DIRECTOR Dr. Ogho Okiti EXECUTIVE DIRECTOR, OPERATIONS Fabian Akagha EXECUTIVE DIRECTOR, STRATEGY, INNOVATION & PARTNERSHIPS Oghenevwoke Ighure ADVERT MANAGER Ijeoma Ude FINANCE MANAGER Emeka Ifeanyi MANAGER, CONFERENCES & EVENTS Obiora Onyeaso BUSINESS DEVELOPMENT MANAGER (South East, South South) Patrick Ijegbai COPY SALES MANAGER Florence Kadiri DIGITAL SALES MANAGER Linda Ochugbua GM, BUSINESS DEVELOPMENT (North)

Bashir Ibrahim Hassan

T

he economy is undoubtedly in a fragile state. The spiralling effect of coronavirus (COVID-19) on the global economy has complicated matters for Nigeria. Crude oil prices have declined by 47 percent this year and at $36 per barrel will strain the performance of the 2020 federal budget which is benchmarked at $57 per barrel.

For example, it will affect the foreign reserves and increase the cost of borrowing planned to bridge the budget deficit. Despite the gloomy situation there are bright spots of opportunities.

Earlier this month, Actis, a London-based private equity firm, acquired Rack Centre, a leading company in the cloud computing business serving the market in West Africa. This investment is commensurate with its plan to inject $250 million into Africa data centres over the next three years given a boom in the African cloud computing market. The prolif-

eration of smartphones and mass adoption of business software on the continent has led to a soaring demand for data centres to power the technology.

Investors also see opportunities in the insurance industry of Nigeria. About seven private equity firms have begun taking position in the underwriting business of insurance companies following the latest recapitalisation exercise in the industry. The opportunity here is obvious. Insurance penetration in Nigeria, with a population of approximately 200 million, is less than 1 percent compared to South Africa’s 17 percent. Hence, there is an existing market and room for growth. Verod Capital Management Limited and LeapFrog Nigeria Insurance Holdings Limited are among the firms stepping up to seize this opportunity.

Also, in a move that will increase the amount of gas available in Nigeria to 4 billion standard cubic feet per day from 1 billion, Aliko Dangote plans to invest over $2 billion dollars in

two sub-sea 550-kilometer (341mile) pipelines running from Nigeria’s oil and gas hubs in the Niger Delta region to the commercial centre, Lagos. This move is likely going to be backed by global giants like Carlyle Group LP and Blackstone Group LP, the world’s two biggest privateequity firms. According to Dangote, “boosting domestic supply will help increase electricity generation in a country where power cuts are common and about 70 percent of electricity plants are fuelled by gas.”

These investments are being made on the premise of clarity and certainty about policies and regulations. Clarity about the future prospects of cloud computing, insurance and gas in Nigeria, and the certainty that regulators won’t move the goalpost overnight. These investors realise that data is the new oil; that gas can power the economy and that demand for insurance is huge. They all see gold in Nigeria, the largest economy and market in Africa.

The Nigerian reality, however,

is the extra arduous heavy lifting investors must do. Opportunities abound but to extract them investors must contend with obstacles such as inconsistent policies and uncertain regulations. Policy and regulatory obstacles make investors in Nigeria look like artisanal gold miners digging for gold with crude, out-dated and inefficient instruments.

If the business environment is investment-friendly it will attract private capital. Data on foreign direct investment compiled by the Nigerian Bureau of Statistics shows that $922 million was invested in private equity last year (an annual rate of minus 16 percent). For an economy that desperately needs to grow this is nowhere enough to jumpstart economic growth.

President Buhari and his advisers must take note. Government has no business doing business. Its responsibility is to provide policy clarity and regulatory certainty. It must get out of the way. It will make it easier and less risky for investors.

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

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comment Before you say yes – the feminine edition

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Tales from the main road

Eugenia Abu

S

o, what do you hate the most about this guy? Is it the way he eats or the way he brushes his teeth? Do you tolerate these shortcomings because he has a good sense of humour? How often do you see him now? Thrice a week, perhaps. Think carefully. By the time you are married to him, you are going to live with this guy whose chow manners are a little better than an animal who is hungry. In public, you are going to want to run away.

In private, you are going to begin to detest him and you will see him every day.

So, what am I trying to say? I mean, how he eats and how he brushes may not be major mannerisms but they will look larger and more intense when you are closer.

Even then, these are still small babies compared to the many grandfather stuff that you know, that are overwhelming, and you still went ahead. It can be complicated.

Why do women fall in love with men? You need to be checking those out. Is it because he is rich? Great but soon the cars will be your only companion and he won’t be there for your emotional roller coaster. I mean money is not bad. He should be able to provide. That is so essential. However, do not get starry eyed over the money and put money over matter. Is he fun to be with? Does he dismiss everything you say in front of his friends? That’s the start of emotional abuse. He will always belittle you. He gets his kick from telling you to shut up in front of his

friends. He is controlling and will flip if you say Hello to an old friend.

He is jealous even of your dog. This guy has insecurities. You are dealing with a man who is the centre of his own world and who thinks no one else matters. He is not about to change if you married him a thousand times.

Another group of persons you should run away from are the fine boys who over groom. The one you literally have to wrestle your mirror from or share the bathroom mirror with, his head and hair brush occupying three quarters of the mirror space. These ones have been told they are fine by a large number of women, so now he thinks he is doing you a favour. He can’t compliment you but expects you to tell him how fine he is every day. Move on, he is just a fine piece of furniture with no emotions and no empathy. He is the one going to ask you if he is fine on your way to visit your sick mum and then quarrel if you seem sour.

After Mr Fine boy, the one you should be concerned about is the one who walks past a child unable to cross a road because of irresponsible traffic behaviour or the one who does not flinch when your sister’s six-year-old bleeding from a toe stub says Uncle, See my toe. He acts deaf and breezes past. Bad father loading.

Watch out, you will be the only one taking the kids to the hospital and worrying about a runny nose when you are married.

Keep your eyes open for the tool man. He will be solid about all the taps handles, all the door knobs and all the carpentry D.I.Y as well as the resident mechanic in the home. Nothing structural can go wrong in your home. He is the man.

But when he goes shopping in the evening, he will never buy you ice cream, or biscuits or even fruits on his way home. His hands would be full of cleaning fluids, door knobs and toilet cleaners. lol. These ones

don’t understand that a woman needs some chocolate late at night when her man returns from an outing. Can you deal with this practical guy who cannot see the need for a holiday outside Nigeria even if you both can afford one?

So, let’s get down to the brass tacks.

Does he yell at you in public and is sizzling to hit you just because you misplaced the wine opener?

Does he think you are the cook and cleaner and baby manufacturer?

Does he respect you or calls you names in front of the maid and the cook?

Has he attempted to cook for you when you are ill even if the Egusi is runny and the Eba is hard as stone?

Does he listen to your opinion on certain matters and takes some of them on board?

Does he have eyes for everything in skirt including the maid?

Does he respect your family or calls everyone a gold digger or funny people?

Is he spiritual, does he have the fear of God? Does he have faith; does he love God? Is he encouraging of your career or takes a swipe at what you do each time?

Does he root for you in whatever project you are involved in and gives advisory?

Is he gentle when you are hurting or just acts like nothing is going on in the face of your pain?

What of Finance?

Is he going Dutch every time you go out and pretends that he forgot his wallet each time you go out making you pay for everything?

Is he always saying Babe now, you know you have more change than I do? We will sort out.

What about communication?

Men are very hard to deal with here. Does he murmur when you speak? Is he quiet throughout a

‘

After Mr Fine boy, the one you should be concerned about is the one who walks past a child unable to cross a road because of irresponsible traffic behaviour or the one who does not flinch when your sister’s six-year-old bleeding from a toe stub says Uncle, See my toe. He acts deaf and breezes past

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

The nature of luxury

O

ver the years, there have been many attempts to define the term luxury.

As with every discourse, critics have attempted to give concise meaning to the word, luxury. Has anyone been able to put it into proper perspective? That is the one-million-dollar question.

In this maiden edition of this column, I will make an attempt based on my experience spanning a decade and half of interacting with practitioners in the luxury sector and my research on the subject matter, to bring to fore different perspectives on what luxury is.

As with every discourse, there are divergent views on what is luxury. Some school of thought think that luxury is a lifestyle; you live it. You don’t necessarily have to be rich to live it. It is your essence. It is who you are. They argue that many wealthy people don’t live a life of luxury. They have the money, yet they don’t spend it on luxury. Some rich people know what luxury is, and they spend their money on it.

There are not so rich who know what luxury is, yet they live that life even if they have to save money for a long time to attain that kind of lifestyle. They would save some money to obtain that object of desire they have always wanted.

There is another school of thought which

Luxe thoughts

argue that luxury is for the old money bags.

They believe this age group consume luxury because of their experience and taste for classic brands or heritage brands. These are generational brands that have been around for more than 50 years. In this category are Rolex, Chopard, Backes and Strauss, Rolls-Royce Motor Cars, among others.

Another dimension to the definition of luxury is to know or understand the distinction between a premium brand and a luxury brand. What is a premium brand? Loosely defined, a premium brand produces a quality product. This product may not be necessarily expensive, but it is premium or top-notch, and it is of good quality.

A luxury brand, on the other hand, is also of good quality, but it is exclusive. It is targeted at a particular group of people who have a taste for exclusivity. They don’t do “gbogbo ero” to use our local Nigerian parlance.

I will use two auto brands as an example here. Let’s look at BMW and Rolls-Royce.

BMW is a premium brand. The quality of their cars attests to this. The engineering of BMW cars is premium. Although recently, BMW is now beginning to play in the luxury segment with the unveiling of BMW X7.

Rolls-Royce, on the other, is a bespoke quality brand. It is tailored made to suit the www.businessday.ng

conversation and answers some of the things you raised in the morning when you are going to bed? Do you hear that he is travelling from his sister or from a friend?

Fairness. Can he honestly accept it when his sister is wrong and lay blame appropriately or he shoves the blame and act like his family is never wrong but you are sensitive, too sensitive?

Love expression. Is he able to tell you he loves you and mean it or does he act like he does not understand how to be emotional with you while expecting you to say mushy things to him all the time?

Does he want it when you are tired and is tired when you want it or pretends, he does not understand? Lol Does he understand affection, gifts, kindness and how to say thank you and more importantly how to say sorry?

Take a look at your father in law and mother in law. Are there physical and subtle characters you do not want in your children? Is one of your sister in law short fused, quarrelsome and foul mouthed? Hmmm... Do you want to have one of your children exactly like that? Is your husbands Uncle disrespectful and misogynistic? Okay Oh! The ball is in your court. What can you live the rest of your life with?

Which can you affect and trust me its minimal and what can you not live with for the rest of your life?

Think hard on all of these before you say yes. Understand guys, their emotions and shortcomings. Understand his family. Try! It’s a life time, its forever. Look before you leap.

Good luck.

NB Next week we look at the masculine edition. Stay tuned.

taste of anyone who can afford it. Rolls-Royce gives you that rare opportunity to build a car to your taste, the way you like and desire.

Often, no two Rolls-Royce cars are the same because each one is custom-built. Hence, you don’t see anyone driving your kind of Rolls-Royce. Therefore, it is exclusive to you. It is this exclusivity that distinguishes a luxury brand from a premium brand. It is this exclusivity that makes those who are not in this class want to belong. However, this exclusivity comes with a price. That is why you can’t compare the price of a Rolls-Royce Car to that of a BMW. Therefore, when you buy a Rolls-Royce what you pay for is the craftsmanship, the time spent in the design and engineering and the rarity.

Besides, luxury is also defined along the lines of celebrity consumption. Critics believe that the fact that celebrities consume or use a particular product does not qualify it as a luxury brand. Although some brands have used a celebrity in their campaigns, however, that does not mean those brands are luxury.

With these broad definitions, let’s now look at the concept of African luxury.

So many things influence the definition of luxury in Africa. Our diversity is one. How do you want to define luxury in a country like Nigeria with large numbers of ethnic groups?

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FUNKE OSAE-BROWN

By extension, the entire African continent?

When you talk about luxury on the continent, it is usually not about price, but instead, as Nisha Kanabar, co-founder of Industrie Africa, a platform showcasing the work of African designers puts it: “It is about the strength and depth of “the story that a brand seeks to tell through its craft – be it a new take on indigenous textiles, a reinterpretation of artisanal techniques, or a genuine understanding of their identity and influences.

“Where luxury once used to be synonymous with exclusivity, and aspiration, today it resonates with a much younger consumer through pillars of authenticity, emotional connection, uniqueness, and environmental consciousness.”

To be continued

@Businessdayng

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Friday 13 March 2020

BUSINESS DAY

cityfile Police arrest 338 suspects in Kano

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pokesperson of the police, Abdullahi Haruna, who paraded the suspects, in Kano, said they were arrested from January till date by the operatives of “Operation Puff Adder”.

He said 36 suspected armed robbers, 12 kidnap suspects and 205 thugs were arrested. Others include five house breaking suspects, three others for giving false information to the police and six for drug related offences.

According to Haruna, on February 15, one Mubarak Abdulkadir,20,

and Anas Abdulkadir, 24, all of Rijiyar Lemo Quarters, Kano, were arrested for alleged armed robbery and confessed to have attacked a security guards and carted away solar batteries and panels.

Haruna added that on February 29, men of Operation Puff Adder while on intelligence-led patrol at Farawa Quarters, Kano, arrested three suspects and intercepted a truck with registration number KBK 798 XB allegedly offloading some suspected cannabis into a Golf 3 vehicle and a tricycle.

Why we’re engaging 120,000 youths at Ore industrial park – Ondo KORETIMI AKINTUNDE, Akure

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ndo State government says it is engaging 120,000 youth population at its Ore industrial park to drive development. The industrial hub was recently inaugurated by President Muhammadu Buhari.

The park is a publicprivate partnership (PPP) initiative between Ondo State government and Hessmac Industry. It is built on a 1000 hectares of eco-friendly, economic and industrial zoned with a 30mw trio-fuel Independent Power Plant (IPP).

Managing director of the park, Femi Akinkuebi, while speaking with journalists in Akure, Wednesday, said, “apart from giv-

ing employment, the park will empower our people because there is one we are building now call production hub whereby you just need to bring your equipment. We have space for production in order to encourage our local people”.

According to Akinkuebi, the park would create employment and eradicate poverty, improve the standard of living, boost wealth creation, unleash the nation’s industrial potential and build a reputation for Nigeria.

He, therefore, encouraged the people, particularly youths to take advantage of the happening around them from federal, state and local levels, saying that banks were willing to advance loans to serious entrepreneurs.

Police arrest 71 kidnap, robbery suspects in Adamawa

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he police in Adamawa have confirmed the arrest o f 7 1 k i d n a p, armed robbery and rape suspects across the state.

Audu Madaki, the Commissioner of Police (CP) in the state announced the arrest during a news conference on in Yola.

Madaki said the arrests were part of the command’s efforts aimed at bringing to the barest minimum criminal activities in the state.

“Eleven suspects, however, surrendered voluntarily following a hot chase from men of the command and members of the Vigilante group,’’ Madaki said.

He listed the exhibits recovered from the suspects to include 13 AK 47 assault rifles, 761 rounds of life ammunition, 18

magazines and five locally made pistols.

Others include two cartridges, 12 cutlasses, eight knives and a large quantity of hard drugs.

Madaki explained that all the 11 suspects that surrendered were kidnappers who turned themselves in, to the state chairman of Miyetti Allah, who handed them over to the police.

He said that out of those arrested, four were rape, defilement and sexual harassment suspects, while 51 were nabbed in connection with robbery, Shila boys (area boys) activities and drug abuse.

The CP urged members of the public to give maximum cooperation to the police by furnishing the command with useful information. www.businessday.ng

The failed portion of Eko Bridge on Wednesday.

Lagos assures level playing field as taxi/cab operators launch mobile app JOSHUA BASSEY

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agos government says it will ensure that all operators in the public transportation space enjoy same opportunity and feel equal sense of belonging in the state.

The assurance comes, as the Lagos State Yellow Taxi/ Cab Drivers Association has launched a digital mobile app to enhance their operational efficiency.

The state commissioner for transportation, Frederic Oladeinde, speaking at the launch of the mobile app, Tuesday, however, warned the taxi/cab drivers to operate in line with the extant laws and

regulations guiding public transportation in the state.

He believed that compliance with the state traffic laws would reduce gridlock, crashes and bring about safer and saner roads within the metropolis.

Represented by Oluseyi Whenu, the permanent secretary in the ministry of transportation, Oladeinde told the drivers to sustain the new initiative.

“The state government is not out to punish anyone.

But as you have gone digital, I want you to know that it places more responsibility on you, you are expected to be civil with your customers and operate within the law.”

Pledging support and

equal opportunity for all investors in the sector, the commissioner stated the commitment of the state to creating the enabling environment for all businesses.

“The administration will continue to implement g programmes and policies that will be of great benefit to public transport operators in the state while also creating the environment that will attract more investors into public transportation.”

The sector commander of the Federal Road Safety Corp (Lagos Command), Hyginus Omeje represented

by Olaosebikan, advised the taxi drivers against misusing the opportunity.

President of the Lagos

State Yellow Taxi/EkoCab Drivers Association, Taiwo Omolekan thanked the government for its support towards the realisation of the EkoCab App and its take off scheduled for March 17, 2020.

He said that the application has been designed to enable the ministry of transportation monitor commuting pattern which will aid the government in proffering solutions and effectively regulate both branded and unbranded cabs that are members of association.

Omolekan added that the launch would also enable the association to bridge the gap created by the motorcycle and tricycle restriction in certain parts of the state.

Reps raise concern over menace of baby factories James Kwen, Abuja

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he House of Representatives has resolved to call on the National Agency for the Prohibition of Trafficking in Persons (NAPTIP) to work in synergy with other law enforcement agencies in order to forestall the activities of baby factories through effective intelligence gathering and dissemination of information.

The house also urged the Federal Ministry of Health to ensure that all maternity homes and orphanages are registered and issued licences to operate within their scope.

The representatives told NAPTIP to closely monitor

orphanages and maternity homes to prevent them from being used for nefarious activities.

They further called on state governments to initiate the process of domesticating the Child’s Rights Act to ensure adequate protection of children.

The house equally mandated its committees on human rights and healthcare services to ensure implementation.

All the resolutions followed the adoption of a motion on the need to address the menace of baby factories in Nigeria moved by Ossy Prestige, from Abia State.

Prestige noted that in 2006, the United Nations report on Nigeria drew attention to the existence of baby factories in

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the country and this nefarious practice has continued unabated in different parts of the country, especially in the southern part, with babies being sold as ordinary wares.

He explained that the term “baby factories” also referred to as “baby farms or baby harvesting”, is a new form of human trafficking with the factories located in secret places where young girls and ladies are lured into and encouraged or coerced to get pregnant and deliver babies for sale with or without their consent.

The lawmaker further recalled that the 2011 report of the United Nations Educational, Scientific and Cultural Organisation (UNESCO) stated that @Businessdayng

human trafficking was the third most common heinous crime ravaging Nigeria after financial fraud and drug trafficking and like most other organised crimes, baby factories operate as a powerful cartel involving prominent people backing the nefarious trade.

The house observed that extremely poor and vulnerable teen girls and ladies see such homes as veritable opportunities for redressing their economic misfortunes by selling their babies for peanuts and according to a report by the United Nations, at least ten (10) babies are illegally sold every day in Nigeria, a development that is worrisome and poses a great threat to national security.

Friday 13 March 2020

BUSINESS DAY

MoneyInsight Why cryptocurrency market is unmoved by volatility in global economy FRANK ELEANYA

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he global economy has been badly shaken by the outbreak of Coronavirus and the consequent trade war between two of the world’s largest producers of crude oil, Saudi Arabia and Russia. On Tuesday, the UN’s trade and development agency said the outbreak could cost the global economy up to $2 trillion in 2020 and warned that shock from the epidemic will cause a recession in some countries and depress global annual growth to below 2.5 percent.

In Nigeria, stocks sold off and risk premium hit new peaks as investors demanded higher to hold Nigerian assets from local bonds to Eurobonds.

The cryptocurrency market, uncharacteristically, has failed to capitalise on the negative news.

Usually, investors would expect the market to react positively to the disturbances in the global economy with prices of digital currencies like bitcoin hitting record levels. The prevailing notion is in times of economic uncertainties, demand for digital assets and gold has often peaked as investors seek alternative investment vehicles.

Instead, the market has taken a downward slide whereas the gold market is heading northward.

Market capitalisation for cryp-

tocurrencies declined by $26.43 billion on Saturday as bitcoin the largest digital currency, dropped as much as 16.4 percent from Friday’s close after extending a selloff begun over the weekend. On Monday it was trading at around $7,726 making it the biggest oneday slump since February 2018, according to consolidated pricing compiled by Bloomberg.

On the Luno exchange, Ethereum also slipped down slightly, unable to hold above $200, and Ripple (XRP) has also struggled to break back above $0.21. Bitcoin Cash also dropped back to $267.

Marcus Swanepoel, CEO of

Luno told BusinessDay that the dramatic events of the last 48 hours were down to a combination of the increasing spread of the coronavirus and the drop in the oil price.

“Logically, the only one of these which could have a quick solution is oil, but that seems unlikely. So we hope that investors will look at cryptocurrencies and decide a lack of correlation to the main markets is a very good thing,” Swanepoel said.

In a weekly analysis Luno sends out to its more than 3.5 million, Luno suggested that institutional traders are taking a break from digital assets like bitcoin, given the

uncertainties that have gripped the global market as a result of the coronavirus.

“While de-risking is a potential motivation, it’s likely that the sudden drop in the stock market had an effect through margin calls leading to a short-term liquidity squeeze,” the company noted in the research it did in collaboration with Arcane Research.

The market entered 2020 with loads of positive expectations.

First, prices started a very positive note as demand for digital assets gained traction. There is also the much talked about Bitcoin Halving expected to take place in May. By

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far the most important news for the market in 2020 was the removal of legal hurdles on the trading of cryptocurrencies in India and South Korea. In the case of South Korea, the representatives passed an amendment to the country’s financial services laws that would authorize Korea’s financial regulators to effectively oversee the nascent industry and develop rules around anti-money laundering among other processes.

While the two cases which came in March were widely celebrated, they have had little or no effect on the prices of cryptocurrencies much to many investors dismay.

“Legalization is not that widespread and if anything it is supposed to make Bitcoin behave more like gold and not less like it because people would have more faith in the asset. Instead what we have seen is Bitcoin dropping from a correlation with gold of 0.82 over the prior year to a low of -0.22 over the past month” Buchi Okoro, CEO of Quidax told BusinessDay. “There are some speculations as to the cause of this puzzling move but nothing is set in stone, for now, we are watching the charts and markets to make sense of it.”

Jacob Canfield, a market analyst describes the southward movement of the cryptocurrency market as the first true test for Bitcoin as a store of value.

This personal finance rule of thumb creates buffers for rainy day STEPHEN ONYEKWELU

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n average Nigerian family comprises seven persons – two parents and five children, each competing for the perceived scarce family resources.

In addition, an average Nigerian family spends more than half of its earnings on food, leaving little or no room for saving and investing. This applies as well to individuals.

Budgeting is a way families can figure out how to escape from the rat race and move towards financial independence.

Budgeting means balancing among needs, luxuries and investing.

Needs vary from one family to another but they generally are the basic elements, without which a family will be unable to sustain a certain standard of living, such as house rents or mortgage, school fees, grocery, medical insurance premiums and repayment on car loans.

Luxury expenses may consist of optional costs associated with eating out at a newly opened quick-service restaurant and buying the latest gadgets. It surely recommended treating the family to these good things in life. A critical revolves around what www.businessday.ng

portion of the family’s income should be spent on each of these categories.

This is the point where the three rules of thumb come in handy. Under the excitement of a salary increase or some windfall, these three rules of thumb help in keeping the

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emotions under control. They are reliable principles. This serves as a starting point.

The thumb rule recommends that 50 percent of the earnings after tax go towards necessities. Then, 30 percent can be earmarked for luxuries or wants. Finally, 20 percent of the earnings ought to be saved and invested in your financial goals.

Overall, the 50/30/20 rule can be a sound budgeting method for some people. But whether the system is right for you depends on your specific circumstances.

Having just three categories to track might help you focus on fine-tuning your finances instead of getting bogged down in the process of categorising each individual expense. For others, the lack of structure could make it harder to find ways to improve their spending habits. Ultimately, you need to decide whether a budgeting system that is less detailed or more highly de@Businessdayng

tailed will be best for you.

Another potential issue with the 50/30/20 rule budget is the breakdown of money allocated to needs, wants, and savings or debt. Depending on your income and where you live, 50 percent may not be a large enough percentage to cover your needs.

For instance, people who live in areas with a high cost of living may have to put a large part of their income toward housing, making it almost impossible for them to keep their needs under 50 percent of after-tax pay.

Finally, some critics of the plan say the 50/30/20 rule budget does not work well for higher-income earners, because it calls for too much spending on wants versus needs or savings and debt.

The ‘50/20/30 budget rule’ was popularised by Senator Elizabeth Warren in her book, All Your Worth: The Ultimate Lifetime Money Plan (originally published in 2005).

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Friday 13 March 2020

BUSINESS DAY

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Friday 13 March 2020

BUSINESS DAY

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Friday 13 March 2020

BUSINESS DAY

COMPANIES & MARKETS

COMPANY NEWS ANALYSIS INSIGHT

BANKING

Nigerian banks are exposed to these 10 risks outlined by EY ENDURANCE OKAFOR

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hile banks globally are much better positioned in terms of capital and liquidity, Ernst & Young Global Limited (EY), a multinational services firm has warned that financial institutions may have a tough decade as the financial downturn of some kind seems likely in the next few months or years.

EY, in conjunction with the Institute of International Finance (IIF), said in its tenth report on global bank risk management survey that it sees a tougher economic environment on all fronts. “Banks are relatively sanguine about their ability to weather an economic downturn,” the report said.

“Regulatory stress-testing models suggest that banks can withstand severe economic shocks, but when asked, some banks are less confident about the quality of their playbooks during a severe downturn,” Ben Afudego, Advisory Leader, West Africa, EY said.

According to the report with the title: surviving and thriving through 10 major risks over

the next decade, the ability for banks to manage risk over the next decade could prove to be much more challenging if mishandled.

While acknowledging that Nigerian banks, as well as its global counterparts, are relatively well-prepared to manage risk thresholds and limits, the report by the London-based company said there is no off-

the-shelf playbook for managing many of the risks faced by the banks.

Given the importance of anticipating risks and managing them pre-emptively, and to mark the 10th anniversary of the global bank risk management survey, EY and the IIF identified the following 10 risks that will greatly test bank risk management over the next

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to customers, clients and markets without disruption, adapting to the effects of fast-shifting geopolitics on banks and their customers, addressing the impact of climate change on banks and society and meeting emerging customer demands for customized, aggregated lifetime offerings.

On how banks can best manage the aforementioned risks, EY advised that the banks should be much more “creative and innovative in how those risks are measured and managed, including being more predictive.”

In conducting the tenth survey by EY and IIF, banks in each region globally (including a small number of material subsidiaries that are top-five banks in their home countries) were surveyed from June 2019 through September 2019.

In total, 94 firms across 43 countries participated (up from 74 banks in 2018). Regionally, those banks were headquartered in Asia-Pacific (21), Europe (26), Middle East and Africa. According to the report, participating banks’ chief risk officers (CROs) or other senior risk executives were engaged to complete the survey.

SERVICES

Nigeria, Ghana performance lifts MTN’s group earnings in 2019 ith a 9.8 percent increase in service revenue to R141.8 billion and a 13.6 percent surge in earnings before interest, taxes, depreciation and amortisation (Ebitda) to R64.1billion for the year under review, MTN on Wednesday reported an increase in earnings for the year ended December 31, 2019, on the back of strong performance in Nigeria and Ghana.

The telecommunications giant posted a 9.8 percent increase in service revenue to R141.8-billion and Ebitda’s margin improved to 42.3 percent, while reported headline earnings a share increased to 468c from 337c in the preceding year.

Basic earnings a share during the year under review increased to 499c, from 485c in 2018.

According to MTN Group president and CEO Rob Shuter, “The group’s results were supported by double-digit growth in service revenue by both MTN Nigeria and MTN Ghana, while economic pressure, new data use rules

“All of these risks can create significant reputational risk for banks. It will call for endurance and agility for banks to survive and thrive,” Benson Uwheru Partner, Risk Advisory at EY said.

The other five risks stated in the report include industrializing data analytics across the business in a controlled manner, delivering services

L-R: Casimir Omuemu, chairman, Medical Admission Committee, University of Benin Teaching Hospital (UBTH); Darlington Obaseki, chief medical director, University of Benin Teaching Hospital (UBTH); Sade Morgan, corporate affairs director, Nigerian Breweries Plc, and Ediale Kenneth, regional business manager (Benin), Nigerian Breweries Plc, during the signing of the Memorandum of Understanding between Heineken Africa Foundation(HAF) and University of Benin Teaching Hospital in Benin.

TELECOMMUNICATION

MIKE OCHONMA

decade with Nigerian bank inclusive.

Weathering the likely financial downturn, operating in an ever-expanding ecosystem, protecting privacy to maintain trust, fighting a cyber-war in banks and across the system, and navigating the inevitable industry were the top five major risk cited by the report by EY/IIF.

and a re-assessment of the recognition criteria for roaming revenue from Cell C, owing to delayed payments under the networking roaming agreement, impacted our performance in South Africa”.

The outgoing CEO, due to step down in March 2021, said commercial momentum was achieved despite challenging macro-economic conditions, particularly in South Africa, with muted economic activity and the rand weakening against the US dollar.

In Nigeria, service revenue was up 12.6 percent to R46.6-billion, while MTN Ghana achieved a 22.9% increase in service revenue to R13.7-billion.

Service revenue in South Africa edged up 0.4 percent to R36.4-billion, with revenue amounting to R283-million for network roaming services provided to Cell C during the period not recognised.

In total, MTN recognised R1.8-billion of revenue from Cell C, and received cash of R2.5 billion during the year.

At a group level, voice revenue increased 4.2 percent on the back of the addition of 18-million customers to www.businessday.ng

reach a total of 251-million, and data revenue jumped 22.4 percent as data users increased by 17 million to 95 million. Fintech revenue climbed 27 percent, as customers grew by seven-million to 35-million active Mobile Money users generating monthly annual revenue per user of $1.15.

“We have maintained our service revenue, Ebitda margin, capital expenditure (capex) intensity and return on equity (ROE) targets and increased our asset disposal target by a further R25-billion over the medium term. We also now target a holding company leverage ratio at below 2x,” he continued.

The holding company leverage ratio improved to 2.2x, which is within the group’s guidance range of 2x to 2.5x.

The group reduced its capex intensity from 19.3 percent to 17.5 percent, indicating greater efficiency in deploying assets.

Driven by the strong earnings performance, operating cash-flow increased by 18 percent and the ROE increased from 11.5 percent in 2018 to 14.3 percent in 2019 on an IAS17 basis.

DSMI targets 2 million digital marketing jobs by 2030 FRANK ELEANYA

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igerian-based D i g i t a l M a rketing Skill Institute (DMSI) said it plans to reach one million people and create two million jobs by training people in digital marketing.

After training, most of the talents are retained by the institute while the maj o r i t y a re l i n ke d to corporate organisations for employment, according to a statement.

DMSI is a global ins t i t u t e t hat e mp ow e r s people on digital marketing to gain employment or become self-reliant to curb unemployment in the society.

“This is the only way we can help our youths g a i n e m p l oy m e n t a n d also impact in the Nigerian economy and globa l l y b e c a u s e w e a re a global company registered in the US and also

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in Nigeria. Today, most of our students have started companies employing people and some are working for companies earning reasonable salaries around the world,” s a i d To b i A s e h i n d e , founder of the institute.

Asehinde says one of the viable ways of fighting insecurity in the country i s by c re at i ng j o b s f o r you t h s a n d c o n s t a nt l y providing training. “ This is what we expect the Niger ian government to do in order to harness the potentials embedded in our youths,” he said.

He s ay s t h at d i g i t a l marketing creates a lot of job opportunities. While s ome business ow ners prefer to hire digital marketers to address their marketing gaps, there are those which would rather outsource their online advertising, website deve l o p m e nt, a n d s o c i a l media to people with digital marketing skills. @Businessdayng

This is partly driven by the high cost of billboard adver tis ements.

Some digital marketing campaigns cost as low as N1,000. This has led to an increase in demand for digital advertisements.

“Digital marketing provides you the opportunity to earn a living without being in a working environment and also hire other people. As a digital marketer, you can work with a company on a fulltime basis, you can work as a freelancer and also become an agency where you begin to hire additional hands thereby creating jobs,” Asehinde said.

Asehinde said that those that completed their training with the institute can easily work with 10 customers that pay N100,000, he or she stands to make N1 million a month and N12 million a year, and by hiring one or two people, that basically takes two people out of unemployment.

Friday 13 March 2020

BUSINESS DAY

COMPANIES&MARKETS

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Business Event

REAL ESTATE

Knight Frank plans academy to deepen professionalism in real estate CHUKA UROKO

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night Frank Nigeria says it is planning to create what it calls Real Estate Academy that is aimed to deepen professionalism in real estate, chiefly in the surveying and valuation profession.

The company, which is the world’s largest independent residential and commercial property consultancy with about 19,000 staff and 512 offices across 60 cities globally, explains that the academy will coming as a a programme that will train and retrain young surveyors and valuers.

“This is to ensure these young professional imbibe the professionalism culture which the Estate Surveying and Valuation practice is known for,” said Frank Okosun, the company’s Senior Partner/CEO, who spoke with BusinessDay in an interview.

“My focus and that of my partners is beyond Knight Frank. We are looking at a global thing to take the profession to greater heights.

Our focus will include programmes to strengthen the real estate practice,” Okosun assured.

Following the growing sophistication in the world

in general and Nigeria in particular, estate surveying and valuation as a profession has evolved. Okosun noted that the dynamism of the profession is more than what students are currently learning in school, hence the need to bring fresh graduates, retrain them and imbibe in them the culture of the profession.

He believes that by bridging this gap noticed in the industry, they are not doing it for Knight Frank alone, but also for the benefit of other real estate firms and the Nigerian economy at large.

The estate surveying and valuation profession as well as estate agency practice which are the turf of professional and qualified estate surveyors and valuers have been infiltrated by pseudo practitioners, thereby reducing public perception and regard for the profession.

Many unsuspecting renters and home buyers have had their fingers burnt by these quacks who collect their money for non-existent property and disappear into thin air.

In the same vein, many of the graduates who trained as estate surveyors and valuers by reason of studying estate management in the universities come out deficient in technical know-how.

This is why Okosun says,

the Academy will also teach the fresh graduates what valuation, property management and facility management really mean, in practical terms.

“Conventional schools only teach students basic topics like the principles of estate surveying and management, but when such students get out of school, they need to learn the practical aspects of this profession “Knight Frank is a school of estate surveying and valuations and has all the departments of estate management such as valuation department; the property management and facility management ; feasibility studies, research and advisory, brokerage, capital market, the agency.”

According to the CEO, Knight Frank will train the young graduates and give them stipends and allowances as it is done in Knight Frank United Kingdom.

He hopes that most of the real estate firms and the economy will enjoy that programme.

“This will also ensure we have quality chartered real estate surveyors and valuers and not just estate agents.

Knight Frank taught most of the big boys you have in the real estate business in Nigeria. We are still the leaders,” he enthused.

L-R: May El-Khalil, founder/president, Beirut Marathon; Dakore Egbusun-Akande, nollywood actress; Ziad Maolouf, managing director, Seven Up Bottling Company Limited, and Yinka Olufade, head human resources, Seven Up Bottling Company, during the maiden Edition of SBC Women Empowerment/Networking Programme in Lagos

Steve Omanufeme (l), managing director and editor in chief, Daily Independent Newspaper presenting the Telecommunications Company of the Year Award to Airtel Nigeria’s Head of Public Relations, Erhumu Bayagbon, at the Daily Independent Awards, held yesterday (7/3/2020) at the Eko Hotel and Suites – Airtel won the category for Telecommunications Company of the Year.

CSR

Vivacity PR restates commitment to support girl child cause in Nigeria IFEOMA OKEKE

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global Public Relations firm, Vivacity PR has restated commitment to supporting and promoting the girl-child cause in Nigeria.

Kemi Areola, chief executive officer, Vivacity PR, made this commitment at the Vivacious Ball 4.0 event held in Lagos on Sunday to commemorate the international women’s day as well as lend a voice to the plight of the girl child in Nigeria.

Areola said the he event is designed to foster sustainable support and empowerment for the girl child and related causes.

“One major issue affecting the girl child today is lack of education. When it comes female genital mutilation, equal opportunities, domestic violence and sexual rights, it all boils down to lack of education.

Hence, my team and I are identifying a girl child from each school in different communities who is under privileged to ensure she gets an education

to university level and this we hope to sustain”, she added.

Ibijoke Sanwo-Olu, the first lady of Lagos State who was represented by Olabisi onigbajo commended Vivacity PR for projecting the plight of a girl child, making her live a normal live and ensuriing she competes favourable with her male counterpart.

She admonished attendees at the event to be part of the movement in creating a gender equal world, adding that it is the responsibility of everyone to tackle gender balance and discrimination.

“The existence of human live is impossible without equal participation of both men and women. It also determines development. The girl child should be respected and loved. This is why I align with this event to grow the needed support for our girls.

“The present administration of Babajide Olusola Sanwo-Olu is looking at partnering with organisations like Vivacity PR to help in the education of the girl child and www.businessday.ng

play up their interests,”the first lady said.

She however encouraged girls across Nigeria to remain focused, believe in themselves, and live their comfort zones so that their true potential can manifest.

Hajiya Zakiyaya Masari, the wife of Kastina State governor, represented by Nasir Mohammed said the first lady of Katsina State is looking at working closely with Vivacity PR on promoting the course of the girl child.

“Our next plan of action is to partner with Vivacity PR. We are looking at how to learn from them and take their advice,” Masari said.

She said education of the girl child in Kastina is changing now for the better She noted that for years now Kastina State has had a department focused on the girl child development, which is headed by the special adviser to the governor and they are doing very well in collaboration with international partners in the country.

L-R: Victor Barahart, project lead research and strategy, Monkey Post Initiative; Captain, Victory FC, 3rd Place Winner, Monkey Post Initiative; Seyi Oyekunle, Project Lead, Technical, Monkey Post Initiative; Captain, Madrid FC, Winner, Monkey Post Initiative; Uwalaka ifeayin Abiodun, Project Manager, Monkey Post Initiative; Captain, Godly FC, 2nd Place Winner, Monkey Post Initiative and Hopewell Epese, Project Lead, Sponsorship, Monkey Post Initiative; at the inaugural football competition to officially launch Monkey Post a grassroot football Initiative by Connect Marketing Services.

L-R: Adedoyin Samo, group head, HR and admin., Zedcrest Capital Limited; Ms Stella Duru, non-executive director, Zedcrest Capital Limited; Enife Atobiloye, managing consultant, Human Leadership Resources, and Chioma Agu, IT auditor, Zedcrest Capital Limited during the Zedcrest Group 2020 International Women’s Day celebration in Lagos.

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Friday 13 March 2020

BUSINESS DAY

IMPACT INVESTING How Nigeria can remain competitive for impact investments In Association With

TELIAT SULE

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go to either of the West African neighbours.

From 2005 to 2019, according to a report recently published by Dalberg on the impact investing landscape in Nigeria and Ghana, impact investors invested $9.69 billion in the two West African neighbours.

On the average, 69 percent of the total impact investments or $6.73 billion went into the Nigerian economy while 31 percent or $2.96 billion went into the Ghanaian economy between 2005 and 2019.

However, on a year on year basis, the distribution of impact investments among the West African countries varied significantly.

In 2005, impact investors mobilised $197.5 million into both Nigeria

and Ghana. 61.2 percent of $120.80 million went into Nigeria while 38.8 percent or $76.7 million went into Nigeria. In 2006, the total impact investments in Nigeria and Ghana was $234.80 million. Out of this, 81.4 percent of $191.10 million went into the Nigerian economy while $43.70 million or 18.6 million was mobilised into the Ghanaian economy.

In 2007, the impact investing community invested $257.10 million in both Nigeria and Ghana.

From this, 64.7 percent or $166.40 million went into the Nigerian economy while 35.3 percent or $90.70 million went into Ghana.

But the trend changed in subsequent years.

For the next four years, that is,

‘

In 2009, 55.3 percent of the impact investments, or $228 million, went into Ghana while $184.10 million or 44.7 percent ended up in Nigeria.

The ratio increased to 86.5 percent or $474.30 million in 2010 in favour of Ghana while 13.5 percent of the total $548.40 million invested in impact investing came to Nigeria

‘

igeria and Ghana are two economies in the West African sub region that have consistently attracted the interest of local and foreign impact investors. The two countries share some similarities and differences which include colonial history, similar climate, economic structures but differ in terms of the size of the market. Our analysis of the distributions of impact investments in the two countries between 2005 and 2019 showed that, based on the nature of the business landscape, the two countries appeared like a trade off to impact investors.

As Africa’s largest economymeasured in terms of the GDP, there are so many advantages and privileges that Nigeria enjoys which Ghana does not. Nigeria is the most populous country in the entire black world, biggest market, and very rich in natural endowments. Little wonder why the nation prides itself as the giant of Africa.

But when it comes to impact investing, the attention of impact investors may not be mainly focused on the size of the market, as there are some other salient factors which may rank pari passu as the size of the market.

And this is evident in the trend in the amount of funds invested in both Nigeria and Ghana from 2005 to 2019, that, apart from the size of the market, there are other factors of importance to impact investors when determining how much of their investments should

from 2008 to 2011, the Ghanaian economy was paramount to the impact investing community. In 2008, the total funds that went into impact investing amounted to $275.20 million. But in sharp reversal to the trend in previous years, the Ghanaian economy attracted $187.50 million or 68.1 percent of the total fund. On the other hand, the Nigerian economy got $87.70 million or 31.9 percent.

In 2009, 55.3 percent of the impact investments, or $228 million, went into Ghana while $184.10 million or 44.7 percent ended up www.businessday.ng

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in Nigeria. The ratio increased to 86.5 percent or $474.30 million in 2010 in favour of Ghana while 13.5 percent of the total $548.40 million invested in impact investing came to Nigeria. The Ghanaian economy also attracted 77.9 percent of the total impact investments worth $391 million in 2011 whereas the Nigerian economy received $86.50 million or 22.1 percent.

Again, after 2011, Nigeria became the dominant country to impact investors. From 2012 to 2018, impact investments into the Ghanaian economy averaged 18.9 percent while Nigeria’s averaged 81.1 percent. For Nigeria, the highest and lowest ratios of impact investing are 93.9 percent in 2018 and 74.9 percent in 2012.

For Ghana, the highest and lowest ratios of impact investments are 35.3 percent in 2017 and 6.1 percent in 2018.

In 2019, another era where the Ghanaian economy is seen as being more attractive to impact investors than the Nigerian economy started. In that year, total impact investments amounted to $870.80 million. Ghana attracted 60.2 percent or $524.30 million while Nigeria got $346.50 million or 39.8 percent.

Why the pincers curve above signifies is that impact investors are not going to bend their rules to please anyone, especially, rules that have been empirically tested and proved. As Nigeria carves for more investments, there is need for those in the corridors of power to work on improving Nigeria’s business landscape.

“And that is why, if you look at investment, the amount of investment relative to population, we may say that Ghana is doing better.

Nigeria is almost 200 million people while Ghana is about 29 million people. In recent times, Ghana has about $1 billion in impact investment while Nigeria has about $4 billion. If you use populations ratio, you can see they are doing better than Nigeria.

“If you also look at the diversification of the market in terms of where the DFIs are investing-they are investing in ICT, energy, and others; growth sectors that will address the need of other sectors.

My major takeaway is that Nigeria should not be sleeping believing that investors will come. We are not the only populous country in the world. Smaller countries are finding ways to get around the number game by coming together to form a bigger market”, Innocent Chukwuma, regional director, West Africa at the Ford Foundation, said.

Friday 13 March 2020

BUSINESS DAY

FINTECH News

Products Review

21

In association with

Technology Review

Personality Review

Company Review

Four Nigerian mobile apps for investing money in foreign assets 40 countries across the world.

Like Trove, stock purchases on Chaka are facilitated through DriveWealth and Citi Investment Capital and regulated by the US Financial Industry Regulatory Authority (FINRA) and the US Securities and Exchange Commission.

Investors can get started with as little as 1,000 Naira, or $10, to create a local and global wallet to trade. Chaka’s fee structure is 100 Naira (or 3%) for local trades and $4.00 for global trades.

Stories by FRANK ELEANYA

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s oil prices head downhill driven by a trade war b et w e en Saudi Arabia and Russia, saving and investing your money in a different currency other than the naira is one major way to hedge - protect - your investment against a possible devaluation.

The OPEC+ meeting broke last Friday without a deal. This sent oil prices into a freefall.

During the mid-day trading on Friday, Brent was down about 9 percent and rapidly headed to the low of $40s.

Following the free fall, the Nigerian Stock Exchange All-Share Index opened on a choppy note on Monday. The naira as of Tuesday is also exchanging the dollar at N367 from N360 in early signs of depreciation.

In February, BusinessDay published a story on three mobile platforms that help users invest their money in foreign assets. This is a followup from the story which has received a lot of interest. We have repeated two of the start-ups with additional information.

Trove Founded in 2018, Trove is a

mobile app designed to help users invest in stock markets, bonds, exchange-traded funds (ETFs) and other securities directly from their smartphone.

There are various stock market options available for users including Nigerian, US, and Chinese equities.

After downloading the app either on the Play Store or iOS and providing all the necessary information, a user requires a minimum of $10 (N3,670 on

the current exchange rate) to start investing.

The platform works by partnering with financial services providers such as Verve, Paystack, 213 Capital, Mastercard and Visa to make access to the market seamless.

Users’ personal information is secured with the use of 256-bit encryption. DriveWealth LLC, a self-clearing broker in the US is a regulated member of FINRA/SIPC and

holds all the US trading accounts on Trove. It also protects securities holdings of its members of up to $500,000 (including $250,000 for claims for cash).

Chaka Founded in 2019 by Tosin Osibodu, Chaka is a seed-stage company that allows its users to invest in stocks listed on the US stock exchange as well as blue-chip companies in over

Risevest Until November 2019, the mobile investment platform was known as CashEstate. Following its rebrand, Risevest, founded by Eleanya Eke and Bosun Olanrewaju, became a holistic wealth management app with a community that offers financial guidance and long term investing.

On the new Rise, users could become owners of global businesses with as little as N3,670 being the exchange for a $10, within a few minutes of being verified.

Investment options on the Rise mobile app include US real estate, US Stocks, US Venture Capital, and Fixed income.

Users can also earn between 13 and 15 percent interest on

Cable Company, Equity Assurance, IHS and Mainstreet Brokers.

Idowu is coming at a time when the payment company is planning to deepen its presence in the financial technology space. Last year, the firm which was incorporated in 2016, disclosed that it has over 11,426 clients nationwide with more than N411.4 billion in the value of collection and funds

disbursed and N1.3 trillion in the value of transaction via its switch and payment gateway.

Xpress Payments has excelled in serving its customers over the course of its existence with the deployment of cutting-edge products and services. Its innovative collection platform, e-Cashier has become the collection platform of choice for state governments and private busi-

nesses alike,” the company noted.

As an electronic payment solutions provider, the company has acquired several operating licences including Transaction Switching, PSSP (Payment Solution Service Provider); PTSP (Payment Terminal Service Provider); Third Party Process (TPP); and Super Agent.

Since its commencement

their annual investments and half of that if they chose the 6 months tenure.

Bamboo Bamboo investment platform is specifically for buying and selling top stocks, exchangetraded funds (ETFs) and American depository receipts (ADRs) in the United States.

Like Trove and Chaka, foreign investing on Bamboo is facilitated by DriveWealth while local stocks trading is made possible by Lambert Capital, a licensed Nigerian stockbroking firm.

The company is backed by Chrysalis Capital, an investment management firm in Nigeria that focuses on seed and series stage technology startups.

While these platforms could make your dream of trading in foreign assets possible, experts have also advised caution. With the outbreak of coronavirus and subsequent lockdown of most advanced financial markets, the risk of a global recession is heightened. Markets are experiencing shocks, hence stable currencies such as the dollar are not immune to wild shocks.

So do your due diligence before making your investment decisions.

of operations, it has gone on to establish a strong presence in the business environment and has won several awards including the Payment Terminal Service Provider of the year at the recently concluded Nigerian Information Technology (NIT) Awards and also the Fastest Growing Fintech Driving Financial Inclusion Award at the IFINC Awards held November 2019.

Xpress Payments gets new CEO

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press Payments has confirmed the appointment of Markie Idowu as the new chief executive officer and managing director. She will be taking over from Oluwadare Owolabi according to a statement the company released.

Until her appointment, Idowu was a former executive director, Technology and Service Delivery Channels of

Polaris Bank PLC. Her 31 years experience in the financial and IT sectors includes 28 years in banking including spanning retail; commercial and corporate banking; treasury management ; international business finance; operations; electronic banking; and information technology.

She has also served on the board of several companies including Skye Bank, MainOne

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Friday 13 March 2020

BUSINESS DAY

Health Business&Life Experts advocate improved well-being for employees in driving performance ANTHONIA OBOKOH

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xperts have expressed concerns on how workplace settings impact employees’ health in both positive and nega-

tive ways.

They say for employers, fostering a culture that contributes to the success of employees is as important as creating an environment that makes employees feel valued and heard.

These experts who spoke at BusinessDay’s annual workplace health and well-being conference themed “establishing linkages among health, productivity, and the bottom-line”, said fostering employee well-being has to done by establishing a holistic approach to well-being and their total health – providing support across mental, physical, financial and social well-being – has been proven to boost productivity, engagement and employee satisfaction, while subsequently resulting in an overall improvement on organizations’ bottom lines.

“When we talk about wellness at workplace it has to do with physical, emotional wellness and mental health. In every organization wellness and health is underrated, employees spend significant of their time at workplace. It is now a silent breeder of depression unknown to the employer said Peter Ogunnubi, Employee Assistance Programme (EAP) and Mental Health Specialist, Medbury Medical Services.

According to Ogunubi, an average adult spends one quarter of their life at work. Employer

should not be deceived by numbers; there is a lot of absenteeism at work place.

“Poor concentration jeopardise performance productivity, lack of presenteeism, Financial problem, this issues in the work environment has impact on wellness,” He said.

According to the World Health Organization, more than half of the global population (58 per cent) spends one-third of their adult life at work – a number that is often staggering when compared to how much time individuals spend with family and friends.

This is compelling information that demonstrates there is an evident need for organizations to begin looking at the impact of their well-being offering on employees’ view of the company.

To create a place that employees are excited about, employers need to communicate with their workers to see what would be most beneficial to them.

Highlighting the strategic approaches to improving health and wellbeing at work and aligning the corporate culture with the business objectives of an organisation, “Wellness cannot be an afterthought in any organization, it is not something to be trivialized.

As a manufacturing company, we have structured our work environment in a way that it promotes wellness at the workplace,” Sola Akinyosoye, Head, Human Resource, Nestlé Nigeria.

Also speaking Esther Akinnukwe, chief human resource officer, MTN said that the pillars of wellness are five, which includes physical, emotional, financial,

social and environmental initiatives.

“The performance is clear since we have strategic efforts on wellness. We have put all these in flagship. Wellness is deliberateness and conscious management effort, organisations can start with awareness and education on like nutrition,” She said.

While it’s always encouraging to see the outstanding initiatives implemented by these organizations to create a healthy environment that supports employee well-being, these believe that there is still significant room for improvement.

These experts however continue to encourage Nigerian organisation to increase their benefits and well- being program like the Employee Assistance Programme (EAP), Nigeria Health Insurance Scheme (NHIS) while also reviewing physical, mental, work and life health policies more holistically to ensure employees are receiving the support they need to continue growing their individual careers.

“Deliberate about wellness needs to be practical. Employees need to be motivated to be aligned with the wellness practices and programme, Incentivize, Flexibility at work place,” Funke Amobi, Country Head, Human Capital, Stanbic IBTC Plc. Amobi added that the emotional part needs to be looked into saying that Employees assistance programme is a big win for our people. “there is a strong correlation in employee engagement and productivity because employee feels committed to the organisation which increases good returns on investment.”

Expert authenticates medicinal properties of black seeds SIKIRAT SHEHU, Ilorin

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brahim Oreagba, Professor of Pharmacology, Department of Therapeutics, and Toxicology College of Medicine, University of Lagos has authenticated the health benefits and medicinal potentials of black seeds.

Oreagba stated this in his paper presented at the 10th Obafemi Awolowo University Muslim Graduates’ Association (UNIFEMGA), honour’s day in Ilorin, the Kwara State capital.

He speaks on “Prophetic medicines and the medicinal potentials of black seeds”.

According to him, the research by the Holy Prophet has actually opened the floodgates of scientific research into the health benefits and medicinal potentials of the black seeds leading to array of discoveries.

The expert in drugs, however, described prophetic medicines in Islam as to actions, words and prescriptions specifically of the Project Muhammad (SAW) with regards to sickness, treatment and hygiene.

Quoting the Prophet Mu-

hammad on black seeds, he says: “utilise the black seeds, for without a doubt, it is a cure for all sickness aside from death”.

“It includes both physical for body ailments and spiritual prescription known as ruqya for demonic exorcism.”

Oreagba explained that some of these prophetic medicines includes honey, dates, olive, cinnamon, siwak and black seeds among others.

He notes that research on black seeds also known as Nigella Sativa had been carried out worldwide with promising result.

The don mentioned are three natural phytochemicals compounds in black seed oil including thymoquinone (TQ), thymohydroquinone (THQ), and thymol (THY).

“There have been well over 600 peer reviewed scientific articles relates to the benefits of black seeds oil ranging from its potentials as a cancer treatment to its ability reduce blood pressure and the symptoms of rheumatism,” he said. www.businessday.ng

Oreagba posits that black seeds have a wide spectrum of pharmacological actions that have been supported by science, listing some of the actions to include anticancer, immunomodulator, analgesic, antimicrobial, anti-inflammatory and spasmolytic.

Others included bronchodilator, hepato-protective, renal protective, gastroprotective and anti-oxidant among others.

The expert noted that treatment of rats with the seeds extract for up to 12 weeks has been reported to induce changes in the haemogram that include increase in both the packed cells volume, hemoglobin and decrease in plasma concentrations of cholesterol, triglycerides and glucose.

He therefore urged government to establish a separate database for the safety monitoring of herbs to documents their adverse effects profile, also called for establishing of “home grown” clinical trial consortium for Nigerian herbals with verified claims and subsequent standardization of dosages.

How not to die in your sleep A

s Nigeria joins the world to commemorate World Sleep Day on March 13, which aims to raise awareness of the importance of sleep and while Nigerians recognise it is a priority, many don’t get the benefit of a good night’s sleep.

The annual event is a call to action on establishing healthy sleep habits. World Sleep Day are reminders to invest in personal health and well-being, as we continue to work towards better sleep for all.

As part of our work at Sleep Inc Limited, providing testing and treatment for sleep disorders like insomnia and obstructive sleep apnea, we make it a point to dispel a common myth that is held by many Nigerians, which is that snoring is a sign of good sleep. It is NOT. In fact, it could point to an underlying fatal condition.

One key feature of sleep is muscle relaxation that occurs between stage 2 and 3 of sleep. As your muscles relax, your breathing becomes shallow because you breathe with your muscles and now, they are relaxed.

Typically, you should be fine, since your body is in a state of rest.

However, people that snore may experience some problem, because their airway narrows a lot more than they can cope with and so air has to be forced in and out of their lungs as they breath, causing vibrations along the now narrow walls of their throat which you snore as snoring.

In severe cases they experience a total collapse of their airway and you will notice that some loud snorers suddenly become quiet.

People think they have stopped snoring, when in fact, they have stopped breathing. This condition is referred to as Obstructive Sleep Apnea (OSA).

Obstructive sleep Apnea is

a sleep disorder in which a person repeatedly stops and starts their breathing process during sleep. It is by far the most common type of sleep apnea, and as it turns out, it is also probably the most likely reason that a person may die in their sleep.

It is caused by an obstruction that blocks the airway as a result of relaxation of throat muscles, the muscles; sagging of the tongue, uvula, tonsils, and soft palate can all play a part. Some people may have OSA without snoring.

People with OSA tend to wake up feeling tired, with a headache, feel sleepy during the day and may start to put on weight, become more forgetful and experience decrease in libido. This affects their performance at home and at work.

Over time, people with OSA are more likely to develop, hypertension, stroke, heart failure, diabetes, obesity, cognitive impairment, Alzheimer’s dementia and cancer.

Many cases go undiagnosed— making it a true “silent killer” that many people remain unaware of.

How does it kill? People with OSA experience sudden drops in blood oxygen levels when they stop breathing and if they are already at risk for a heart attack, stroke, or heart failure, then OSA can trigger a sudden cardiac event and death may occur before they wake up.

What you should do Talk to your Doctor to assess your risk for diabetes, hypertension, stroke, heart failure.

Have a blood pressure check done regularly.

Talk to your Doctor about conducting a sleep test.

Get proper treatment for Obstructive Sleep Apnea.

Observe proper sleep hygiene.

Chike Opara, Lead medical officer at Sleep Inc Limited.

World Glaucoma: MWAN counsels Nigerians on regular eye screening SIKIRAT SHEHU, Ilorin

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he Medical Women Association of Nigeria (MWAN) has called on Nigerians to go for regular eye screening, warning that glaucoma causes irreversible blindness.

Mosunmola Folorunsho, Medical Doctor and President of MWAN, Kwara State Chapter made the call Wednesday at the ongoing free eye screening organised by the association in conjunction with Department of Ophthalmology of the University of Ilorin Teaching Hospital (UITH).

According to her, glaucoma is “one of the common causes of blindness in Nigeria that silently takes away the vision”, adding that people who are 40 years above should ensure regular eye screening at least twice a year.

She notes that the free eye screening is part of the activities for the World Glaucoma Week, adding that glaucoma is prevalent and symptomatic, as people don’t know about it until it gets to advanced stage.

World Glaucoma Week she says is a unique initia-

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Patients receiving care from experts

tive to help those with an interest in improved eye health to understand the devastating effects of a condition that could affect many people.

The MWAN President explained that with routine eye examination at least twice a year, people can avert glaucoma and prevent irreversible blindness.

Over 250 people according to her have so far taken the advantage of the free eye screening at UITH to get their eyes checked.

Also speaking at the sidelines of the free eye screening, Tokunbo Obajolowo, a Consultant Ophthalmologist of the UlTH, noted that though glaucoma can cause irreversible blindness, however, it can be pre@Businessdayng

vented with early detection.

“The disease itself may not be preventable but the emphasis is to detect early and arrest the situation.

People should get the eyes checked early enough for our intervention make a difference,” she said.

Obajolowo, explained that there is no known cause of glaucoma even though some type runs in some families, advising people who are diabetic, hypertensive and people above 40 to routinely check their eyes.

The Ophthalmologist quoted that according to the National Survey of blindness 2006, out of people above ages 40 in Nigeria, 16.9 percent of those that are blind is from glaucoma.

Friday 13 March 2020

BUSINESS DAY

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Health Business&Life Building capacity of midwives will curb maternal mortality rate by 83% - Expert Godsgift Onyedinefu, Abuja

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igeria can reduce the burden of maternal mortality, stillbirths and newborn deaths by 83 percent through the training of midwives on essential skills that are in line with global standards are required to tackle the scourge, an expert says.

Alero Roberts, Vice president well-being Foundation (WBF) and public health expert has said that Nigeria suffers some of the worst maternal mortality cases globally, adding that a 25 percent increase in trainings could reduce maternal mortality by 50 percent.

Roberts also noted that Nigeria accounts for 14 percent of global maternal mortality, stressing that of the 6.2 million women in Nigeria, 476,923 die due to pregnancy or childbirth-related causes, the majority of which are preventable.

This means that 1 in 13 women will die as a result of maternal complications, she said.

“It is not acceptable that in societies like Nigeria, only the wealthy, metropolitan women are educated enough to understand the necessity of respectful

maternity care. The experience of bringing life into the world need not be traumatic. It need not be dangerous. It should be dignified and accessible,” Roberts said.

In a statement issued on Wednesday, Roberts further called for collaboration between community NGOs and policy makers to promote midwives as the heart of health solutions.

As part of events marking the 2020 International women’s day celebration, she informed that the Foundation joined advocates, colleagues and change makers in their respective fields and groups mentoring women at a special event held at the British Deputy High Commissioner’s residence in Lagos.

The Vice President of the foundation, lamented that despite the fact that July 2020 makes it 25 years since the Beijing Declaration and Platform for Action, real change has been agonizingly slow for the majority of women and girls in the world.

“Today, not a single country can claim to have achieved gender equality. Multiple obstacles remain unchanged in law and in culture. As a result, women remain undervalued, they continue to

work more, earn less, have fewer choices and experience multiple forms of violence at home and in public spaces”.

Roberts said that the foundation, which is a global partner to the UN Secretary General’s ‘Every Women, Every Child’ initiative, focuses on SDG 3 (wellbeing for all) and 5 (gender equality), putting women and children at the core of everything they do and driving positive change in the realms of maternal health, women’s rights and girls’ education through a multi-layered strategy of research, advocacy, policy development, and educational programming.

Roberts said that although there are also an array of economic, gender and social factors which prevent the necessary education to unite mothers and midwives as the first line of defence against maternal mortality, the foundation is still committed to educating women on their health and training midwives and community health workers in emergency obstetrics and newborn care.

She also informed that WBF is increasing the skills training for midwives and advocating for the increased coverage of midwives across the world.

Formal sector retirees to retain NHIS benefit till age 70 - FG IDRIS UMAR MOMOH & CHURCHILL OKORO, Benin

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f the promise of the Federal Government is anything to go by, formal sector retirees will soon have the benefit of retaining their National Health Insurance Scheme (NHIS) up till the age of 70 years before switching-over to the National Non-Contributory Health Insurance Scheme.

Osagie Ehanire, minister of health made the disclosure at the first International Training of Trainers in Geriatric and the launch of the Elderly Friendly Hospitals Initiative (ELDFRHI), at the University of Benin Teaching Hospital (UBTH).

Ehanire said the Federal Government is working with the National Pension Commission, Pension Transitional Arrangement Directorate (PTAD) and National Health Insurance Scheme (NHIS) in achieving the promise.

He also revealed that plans are underway to review the user guide of the Basic Healthcare Provision Fund (BHCPF) to aid provision of affordable healthcare through the National Health Insurance Scheme gateway for elderly persons across the country.

He explained that the Basic Health Care Provision Fund (BHCPF) is targeted at reducing out of pocket expenses and providing affordable and quality healthcare for Nigerians.

The minister who spoke on the theme, “Achieving Quality Healthcare for elderly in Africa”, noted

HBL Team

that (BHCPF) was timely because it places emphasis on the problems connected with the health of elderly persons in Africa, and the need to focus on reducing their health challenges.

“As part of the programme, I shall today be launching the Elder Friendly Hospital Initiative, that addresses the personal care and the environmental needs of the elderly, ensuring that amenities in facilities are tailored to their peculiar needs.

“This is significant because a key challenge to ensuring healthy ageing is the lack of trained personnel to meet the specific needs of senior citizens, which this programme addresses.

“As part of efforts to ensure implementation of the President’s health sector agenda, we are currently reviewing the Operational manual of the Basic Healthcare Provision Fund (BHCPF), to accommodate provision of affordable health insurance through the National Health Insurance Scheme gateway, whereby all senior citizens

seventy years of age and beyond, are covered in the scheme for the rest of their lives,” he said.

Earlier, in his address, Darlington Obaseki chief medical director, University of Benin Teaching Hospital, said the training and retraining of healthcare providers was proactive steps to solve manpower future needs that may arise.

According to him, UBTH is taking the lead in providing relevant and affordable training of international standard to multi-disciplinary professionals drawn from the three levels of the health sector (primary, secondary, tertiary), private sectors and related disciplines.

Obaseki said, “Geriatrics services in UBTH have impacted greatly on the health of older persons, such that the 15-bedded ward has increased to 20, yet utilization demand by older persons and their relatives keeps increasing, thereby creating a strong need for a comprehensive geriatric centre with expanded space and improved equipment.

Tips on yellow fever and travel Executive Travel Health

Adeniyi Bukola

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Q-life Family Clinic

ellow fever (YF) is an acute viral haemorrhagic disease that is caused by the YF virus. It is transmitted by Aedes aegypti Mosquito. It is called ‘yellow’ because of the jaundice that affects some people infected with it. It transmitted when infected mosquito bites you. It cannot be transmitted from person to person contact though can be spread through blood via infected needles. Mosquito becomes infected with the virus when they bite an infected person or monkey.

Symptoms include fever, headache, jaundice, muscle pain, nausea, vomiting and fatigue. A small proportion of patients who contract the virus develop severe symptoms and about half of these die within 7 to 10 days.

The virus is endemic in tropical Africa, South and Central America. Yellow fever can be effectively prevented by the yellow fever vaccine. A single dose of YF vaccine confers a lifelong immunity. The vaccine gives effective immunity within 10 days for 80-100% of people vaccinated and within 30 days for more than 99% of people vaccinated. Which countries require YF vaccine for travel? Some countries in Africa and South America require you to provide the proof that you have been vaccinated against YF by presenting an International Certificate of Vaccination.

However, there are destinations where the threat of infection with YF is real and there is no requirement for you to be vaccinated before you enter the country. If you only get YF vaccine before going to countries that require it, you could be putting your health at risk. Since YF disease

can be fatal, it is recommended that that individuals be vaccinated when travelling to areas with risk of the disease. List of these countries can be found at https://www.cdc.gov/ yellowfever/maps/africa.html.

Even if you get the YF vaccine, you can still get other diseases from mosquito bites like malaria, dengue and Zika. The best ways to protect yourself from mosquito-borne diseases are to use insect repellent while outdoors, wear long dresses and sleeves and choose accommodation with mosquito nets and air conditioner. Your insect repellent should contain active ingredients like DEET, Picaridin, Oil of lemon eucalyptus, IR3535. If you are using sunscreen, apply sunscreen first on the skin before the mosquito repellent. Follow package instruction when applying it on children.

Avoid applying it on the hands, face and mouth. It is advised you take YF vaccine at least 10 days before your trip. The proof of vaccination does not become valid until 10 days after the vaccine is given. YF vaccine is not advised in infants younger than 6 months of age, people with bad history of reaction to the vaccine, thymus disorder, cancers. If you have organ transplant and you take medications to prevent rejection of that transplant you will not able to take the YF vaccine.

Other conditions and drugs that affect immune system could be a reason not to receive YF vaccine.

If you are older than 60 years old, pregnant, breastfeeding, infected with HIV talk to your doctor before you get the vaccine. Visit your Travel Clinic to know which other vaccines is recommended for your travel anywhere around the world. Before you travel, do your homework about the destination health risks, visit yellow fever vaccination clinic and carry your proof of vaccination on your trip. If you feel sick and think you may have yellow fever, talk to you doctor and tell them about your recent travel.

Travel healthy, Stay healthy and Return healthy!

Consultant Family Physician and Travel Medicine Physician Q –Life Family Clinic. qlifeadvisory@outlook.com.

Kwara to shield health from politics in fight against polio SIKIRAT SHEHU, Ilorin

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he Kwara State deputy governor, Kayode Alabi has said the state government will shield the health sector from politics in the fight against polio.

Alabi, who stated this while receiving the team of African Regional Certification Commission led by Edward Naddumba in Ilorin recently, restated the government’s commitment to a functional primary health system to expand access to all citizens.

The Deputy Governor had while commending the team for a job well done, noted that the government health sector reforms would begin to yield results soon.

Earlier, Edward Naddumba, the

ANTHONIA OBOKOH / Reporters. Email: obokoh.anthonia@businessdayonline.com

team leader lauded the level of political commitment, collaboration and teamwork in the fight against polio in the state, saying the team was in the state on verification exercise to certify Nigeria polio-free.

He says Kwara State was chosen because it is one of the best performing states in the fight against polio in the country.

He commends the excellent work done so far in the state and made some recommendations for improvement.

However, Abimbola Folohunsho, executive secretary of state Primary Healthcare Development Agency, appreciated the present administration on the revolutionary change being experienced in the agency.

I David Ogar, Graphics

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Friday 13 March 2020

BUSINESS DAY

LEADINGWOMAN Titilope Ejimagwa, evidence that if you believe you can, you will tell you. Then their toothpaste is N2, 000, when people can buy for N100 or N200 in the market. So, it was not very easy to break into the market. We have very good products, noble products, and products that take care of needs.

In fact, my going into Longrich was because of a cure. I was married for over 10 years without a child. My father also had kidney issues, and so he wouldn’t know when he wants to urinate. When Longrich came in 2010 at first, they came looking for me and gave me the sanitary pad as a gift. I told them I wasn’t interested. They said “Just take it as a gift”. I said okay, let me go and try it. I used the liner and the pad, and I got pregnant. I was like what? Can this actually be real?

After taking so much oestrogen, so much progesterone, and others just to have a child, and now, I used liner and sanitary pad and the second/third month I’m pregnant?

I never associated my pregnancy to Longrich at the beginning, it never occurred to me.

I remember reaching out to my dad to ask if he was still using the diaper and he told me he wasn’t. I became worried, I asked him why and he said ‘you gave me something that I’m using, pant liner.

Now I know when I want to urinate.’

It took time for that to resonate with me. I didn’t understand how a product I didn’t pay much attention to but just sent to him worked for him so I sat him down and asked him to tell me more.

That was how I had to go and look for Longrich. I called them and they said they are in Nigeria but they did not have an office.

That certainly wasn’t an issue for me, I was all about bringing them to Nigeria. I had experienced their products first hand so I wasn’t going to let office be an issue. I gave them an office, a car, and a driver.

And that was it. They came looking for me for three years and I didn’t answer them. But now, I had to go and look for them. If this could help my family, and can help me, then it can help the whole world. I now sat down and watched the video on the liner, and did a demo on the liner and saw that we’ve been using rubbish and sold so much lies. I became very angry and made up my mind to liberate many people.

Kemi Ajumobi Titilope Ejimagwa is a seasoned multi-level network marketer with well over 22 years of relentlessness and vast range of experience. She starts any network she joins from the grassroot and then grows it to unimaginable heights. She had worked with six different multi-level network marketing companies and became the world Number 2 in the sixth one.

She joined Longrich (her fifth Multi-level Network company) in Nigeria from scratch and as she is known for her unstoppable, optimistic approach to life, she is now the Number 1 in Africa and 4th in the world. Presently, she is a 5 Star Director, which is the highest level of network marketing in Longrich.

Titilope obtained a Bachelor’s degree in Physical and Health Education from Lagos State University, LASU, and later proceeded to obtain a Masters in Business Administration from Regis University, Denver, California. She is happily married to Emmanuel Ejimagwa, a 3 Star Director who has been very supportive through the years and they are blessed with two lovely children.

Being number 1 in Africa with almost 3 million partners in her team, her passion for humanity and her excellent team spirit has paved the way for her huge success. She is always committed to assisting and ensuring that her partners move to the top along with her even if they are not in her team. She says “if I can succeed as a stammerer in a business that requires talking, then what excuse do you have?”

She is the author of the book Work What Works, and has succeeded in ensuring LONGRICH establishes a research institute in Lagos

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eing first black 5 star director I feel humbled, grateful and excited. The feeling is all-encompassing. I am not sure I have the right adjective to describe my feelings. It makes me feel yes, indeed, we can, yes, we all can, yes, it is possible. Never ever underestimate yourself. In short, behind every fear is nothing.

Why did you decide to go into multilevel marketing?

I come from a background of civil servants. My mother is a banker, my father, an Engineer. I come from a family of bankers. I also worked in the bank. When I left university, I went to WEMA bank and I got a job, but I didn’t do the job for one month. I’m not just cut out to work. Also, I never liked the fact that at different places in the society, women were being sexually abused. Some women are not employed because of their intellectual abilities but on how good they are on bed. That put me off! I made up my mind that I was never going to be their victim. Because I refused to compromise, I had an extra year in the university. One of my lecturers then, who was the HOD told me blatantly, “Do you want to graduate? If you want to graduate, meet me in a hotel” and I objected. Today

my story is different and I am glad I did not bow to his pressure. All of these inspired me to earn a living.

Despite being a stammerer, I was determined to succeed; I just like to break barriers. All the obstacles I encountered only pushed me into my line of business and I am living my best life. Multilevel marketing is it for me.

Entering the terrain Back then, I hadn’t gotten married, I had a friend who lives in America, she married a Nigerian. She was a teacher at the American International School in Victoria Island.

She introduced me to my first one which was in 1997. That was my first stint into network marketing.

She now introduced me into another one but later, her husband went into politics and she stopped www.businessday.ng

bringing the products. I wanted to go and bring it myself, but they said they were not going to give me the franchise because they had already given it to someone in Nigeria. So, I needed to go and get from Ghana, but bringing it from Ghana became expensive so I stopped, went into Forever Living Products and later Tainshi and more, now I am with Longrich.

Passion for the campaign It is indeed a campaign. I wanted to go and tell the whole world there is a deception in the business world, imagine what I went through. My mother was staying with me in the same house, I did not have a child for 10 years, she saw it all. Imagine how women are going through the same problem, a lot of abuse, a lot of frustration and depression you must have gone through because you don’t have a child, just because of low-quality sanitary pads.

Being married for 10 years without a child When Longrich first came to Nigeria, to Africa, it wasn’t welcomed at all because it’s a very expensive product. The people were not used to buying expensive things especially when it’s not a typical need.

Who wants to buy supplements when they have vegetables and oranges at home? That’s what people

Your husband’s reaction to finding out you were pregnant?

My husband loves children. My husband was much more concerned about having children than I was. He will be crying at night, ‘God please answer us. You know I love children, God give me children’ he would cry and pray while I was deep asleep. I was go-

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ing through pain, but I am not that kind of person that is extremely emotional. He is a very emotional person. When he got to know I was pregnant, I became the queen of England in his eyes. The rest they say is history; I had another child even after that.

How were you able to penetrate into the market?

Anger! I told you it was anger. I was very angry. I had to go and tell the whole world. I had to go and save Nigerians, Africans. I just got angry.

For me, what actually motivated me was anger. I was angry with the system that allows people to eat on people’s future, eat on people’s lives, grow fat on the populace. I went through hell not having a child. But because I am a happy type, people didn’t know that I didn’t have a child. So, when I became pregnant, I disappeared and came back to Lagos when I was seven months gone. I did not want other women to experience my experience and since I found a solution, I was determined to share. …And the profits came I didn’t see money at the beginning.

There was no up line to tell me that I was making money, so, I did not even ask for a bonus. I was angry at the situation and was determined to share the solution. Then Alas, they called me and said: “Madam, give us your account number, you have a bonus”, I honestly didn’t understand how that happened because it was not my focus. So I told them I didn’t do anything, I only bought what I needed and kept on telling people and doing a demo. I was giving sanitary pads and doing demo everywhere. So, I didn’t buy so much, there was no repeated purchase from me and they were telling me I had money. How come? I asked how much the money was and they said it was a bit over a million. I was shocked. I gave them my account number and the money came in.

The rest again, they say is history.

You are not just using the products; you’re also making money from it.

How important is it for women to be empowered?

When you empower a woman, you empower a whole nation. Not just the community alone. It’s the most important thing. Women need to be empowered. It is time for the women to wake up. When they say ‘weaker vessel’ it doesn’t mean you are weak or docile or a slave. I, who was given an extra year because I refused to compromise, whose admission letter was torn, is the same person today who earns a salary without working for anybody. It’s the same one who is telling you that you can be anything you want to be if you are determined. And you need to stand up and talk. Turn your negativity to positive energy, think of helping others because when you help others, God will surely have your back. That’s what I saw in Longrich.

Read the concluding inspiring story about Titilope Ejimagwa on our website www.businessday. ng as she graces our Women’s Hub magazine cover for this week. You are just a click away!

Friday 13 March 2020

Harvard Business Review

BUSINESS DAY

25

ManagementDigest

How to get people to actually participate in virtual meetings ustin Hale and Joseph Grenny

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CONNECTING hese days it’s hard to get people to pay attention in any meeting, but when people aren’t in the same room, it can be especially difficult.

There are four broad reasons to hold a meeting: to influence others, to make decisions, to solve problems or to strengthen relationships. Since these are active processes, passive passengers in a meeting rarely do quality work. The precondition for effective meetings — virtual or otherwise — is voluntary engagement.

We’ve spent several years studying virtual training sessions to understand why most virtual gatherings bore groups into a coma. As we’ve done so, we’ve discovered and tested five rules that lead to predictably better meeting outcomes. Here’s what works: 1. THE 60-SECOND RULE: Never engage a group in solving a problem until they have felt the problem. Do something in the first 60 seconds to help them experience it. You might share shocking or provocative statistics, anecdotes or analogies that dra-

matize the problem.

2. THE RESPONSIBILITY RULE: When people enter any social setting, they tacitly work to determine their role. The biggest engagement threat in virtual meetings is allowing team members to unconsciously take the role of observer. Create an experience of shared responsibility early on in your presentation.

Don’t do it by saying, “OK, I want this to be a conversation, not a presentation. I need all of you to

be involved.” That rarely works.

Instead, create an opportunity for them to take meaningful responsibility. This is best done using the next rule.

3. THE ‘NOWHERE TO HIDE’ RULE: Give people tasks they can actively engage in. Define a problem that can be solved quickly, then assign people to groups of two or three. Give them a medium with which to communicate with one another

(video conference, Slack channel, messaging platform, audio breakouts). If you’re on a virtual meeting platform that allows for breakout groups, use them liberally. Give your employees a very limited time frame to take on a highly structured and brief task.

4. THE MVP RULE: Nothing disengages a group more reliably than assaulting its members with slide after slide of mind-numbing data organized in endless bullet points. If your goal is engage-

ment, determine the Minimum Viable PowerPoint, or MVP, deck you need and stick to it. In other words, select the least amount of data required to inform and engage the group. Don’t add a single slide more. If you have too many slides, you feel enslaved to “getting through them.” You should be able to make your case with one or two slides, then use any additional slides to accomplish the tasks in rules 1-3.

5. THE FIVE-MINUTE RULE: Never go longer than five minutes without giving the group another problem to solve. If you don’t sustain a continual expectation of meaningful involvement, participants will retreat into that alluring observer role, and you’ll have to work hard to bring them back. In a 15-minute presentation, try to create 2-3 brief, well-defined engagement opportunities for those joining the meeting.

When team members are out of sight, their minds are free to wander. Following these five rules will dramatically and immediately change the productivity of any virtual gathering.

Justin Hale is a master trainer at VitalSmarts. Joseph Grenny is a co-founder of VitalSmarts.

Don’t let your obsession with productivity kill your creativity Bruce Daisley HAPPINESS ur current work world is obsessed with productivity. But our relentless quest to be productive is undermining one of the most important abilities in today’s workplace: creativity. How do we create the right conditions for creativity, especially when our routines are so geared toward barreling through a to-do list?

In 1939, James Webb Young, a Madison Avenue advertising executive, wrote “A Technique for Producing Ideas,” a definitive guide to the process of creativity. In his short book, Young argues “that an idea is nothing more nor less than a new combination of old elements.”

Young also lays out a remarkably simple technique for creative thought. First, he argues, you should gather raw materials as stimulus. Draw together provocations and thought starters related to your area of interest. Young cautions that this is often systematic, laborious and rather unrewarding. At this stage, I like revisiting Chrome tabs that I’ve left open, reading articles that I’ve

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set aside for a rainy day, and generally immersing myself in other people’s musings.

Next, mentally digest the raw material. Young proposes filling in small index cards with notes and seeking to draw connections between the elements, as if you’re trying to solve a puzzle. Again, Young believes this process will frustrate your mind. He then suggests shuffling between the cards, looking for connections.

For this step, I’ve used Postit notes and also tried linking doodles on huge sheets of paper, almost like a vast mind map.

The final stage of his methodology is anathema to our productivity-obsessed world. It is simply to do nothing. Young urges us to find a way to disengage the mind to allow unconscious processing: “You drop the whole subject and put the problem out of your mind as completely as you can,” and then “turn to whatever stimulates your imagination and emotions.” Young says that having done the (often frustrating) preparation work, “out of nowhere the idea will appear,” whether that’s on a walk or in the shower.

Most of us can probably identify with this time-tested approach. Our best ideas do seem to approach us in moments of disengagement. Neuroscientists would point out that this unfocused state of mind is when the default mode of the brain is activated. The notion of the brain’s default mode was conceived in the 1970s, when it was observed that even in rest states there seemed to be large amounts of mental neural activity. Most of us find ourselves in this state when we’re drifting off, maybe

most obviously when we’re in a state of boredom. Because society has essentially eradicated boredom by leaving us without any unstimulated moments, we’ve lost opportunities to be in the “daydreamy unfocus” of the default mode.

Wanting to optimize our own productivity is a reasonable response to increasing demands. But our relentless pursuit of efficiency has become an overcorrection. If we value the originality of creative thought, then it’s time to recognize that productivity and cre-

ativity often exist in opposition to each other.

If your work day looks like little more than a series of meetings and emails, put down your to-do list and step away from your desk. Have a moment every day where you’re trying to achieve nothing. Giving your brain a moment to relax might lead to your best idea yet.

Bruce Daisley is the author of “Eat Sleep Work Repeat: 30 Hacks for Bringing Joy to Your Job.”

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Friday 13 March 2020

BUSINESS DAY

entertainment Celebrating top Nigerian women in the entertainment industry ing roles, nominated in over 17 awards and she won over seven of them.

OBINNA EMLEIKE

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n March 8, the world celebrated women across the globe and their achievements, as well as, reflected on their challenges. Bearing in mind the many challenges women face even today, especially violence and need for gender balance, the International Women’s Day 2020 campaign was themed; ‘I am Generation Equality: Realizing Women’s Rights’. The theme is aligned with United Nations Women’s new multi-generational campaign, Generation Equality, which marks the 25th anniversary of the Beijing Declaration and Platform for Action. With the theme and hash tag #EachforEqual, women across the world are insisting that an ‘equal world is an enabled world’.

However, BusinessDay is celebrating the International Women’s Day and March as women’s month by spotlighting top Nigerian women in the entertainment industry.

Below are some of the gifted hands in no particular order: Genevieve Nnaji Genevieve Nnaji is a frontline Nigerian actress, producer, and director. She was introduced into the Nigerian film industry at age 19 with the movie titled Most Wanted.

Since then, she has starred in over 200 Nollywood movies including; Last Party, Mark of the Beast, Ijele, Ijé: The Journey, among others.

In 2004, Nnaji signed a recording contract with EKB Records, a Ghanaian record label, and released her debut album One Logologo Line, a mix of R&B, HipHop, and Urban music.

She contested with other celebrities for the search for the face of Lux in 2004. In 2005, she won the Africa Movie Academy Award (AMAA) for Best Actress in a Leading Role, becoming the first actor to win the award.

As of 2009, Nnaji was one of the best-paid female actors in Nollywood. She was also the first actor to be awarded as Best Actress by the Censors Board of Nigeria in 2003. In 2009, she was referred to as the Julia Roberts of Africa by Oprah Winfrey.

In November 2015, she produced her first movie called Road to Yesterday, later winning Best

Genevieve Nnaji

TY Bello

Mercy Johnson

Omawumi Megbele

Movie Overall-West Africa at the 2016 Africa Magic Viewers Choice Awards.

On September 7, 2018, her directorial debut Lionheart was acquired by online streaming service Netflix, making it the first Netflix original film from Nigeria.

The movie had its world premiere at the 2018 Toronto International Film Festival.

Genevieve Nnaji is Nollywood’s first billionaire since Netflix purchased her movie Lionheart for N1,385,100,000 ($3.8 million).

Genevieve Nnaji is a very strong girls and women activist. She advocates for Nigerian girls to be able to have a say in who they choose to marry, against early marriages for the girl child, and against abuse of women in society.

In 2011, she was honoured as a Member of the Order of the Federal Republic by the Nigerian government for her contribution to Nollywood.

TY Bello Toyin Sokefun-Bello, better known

as TY Bello, is one of Nigeria’s most recognized artists. She came to public attention in the early 2000s as a member of the music group Kush. Beyond music, she has also built a reputation as one of Nigeria’s foremost photographers and is a member of the talented photography collective Depth of Field.

Her evocative portraits never fail to rouse strong emotions and have made her one of the most applauded and keenly sought after portrait photographers in the country. Indeed she has the unique distinction of having photographed three sitting Nigerian presidents.

TY Bello organizes an annual photography exhibition to raise funds for orphans in Nigeria. She is also the director of Link-a-child, an NGO dedicated to proliferating information on orphanages in Nigeria and seeking sponsorship on their behalf. In July 2011, TY Bello was honored by Communication For Change, a non-profit organisation in a five-part documentary film series titled RedHot.

Mercy Johnson Since 2004 when she played the role of Jane in the movie, The Maid, Mercy Johnson has become a household name in the Nigerian movie industry and wining thousands of fans across Africa.

Her performance in that movie paved way for her into getting more roles in movies such as Hustlers, Baby Oku in America, War in the Palace, Dumebi the Dirty Girl, and many more. In 2009, she won an award for Best Supporting Actress at the 2009 African Movie Award ceremony, and then Best Actress award at the 2013 Africa Magic Viewers Choice Awards for her role in the comedy movie Dumebi the Dirty Girl. In December 2011, she was listed as Google’s most searched Nigerian celebrity, a position she also held in 2012. From April 1, 2017 till date, she has been the senior special assistant (SSA) to the Kogi State Governor on Entertainment, Arts and Culture.

She has featured in over 100 movies, most of which are in lead-

Omawumi Born on April 13, 1982 as Omawumi Megbele, the top female music artiste who stages as Omawumi, is a Nigerian singer-songwriter and actress of Itsekiri ethnic group in Delta State.

Omawumi rose to prominence after being a contestant on Idols West Africa. Omawumi, with her strong voice and out-going personality, was voted the 1st runner-up of the competition when it ended in May 2007. Since then, she has had numerous performances on the stage with musicians such as PSquare, 2face Idibia, D’Banj, Banky W, M.I, Sasha, 9ice, Chaka Demus and Pliers, Carl Thomas, Angie Stone and Donell Jones, Angelique Kidjo, among others She gained further attention with her first album, Wonder Woman, a 17-track album, which made huge impact, and The Lasso of Truth, her second album, was a commercial success in Nigeria.

She also played roles in movie in the Nigerian film industry.

Omawumi played a minor role in the 2009 edition of the V-Monolugues, a play that reflects the negative issues affecting women in Nigeria. She also starred in the musical play Olurombi. She had a minor role in the movie Inale, a Hollywood/Nollywood BongosIkwe production, starring Hakeem Kae Kazeem, Dede Mabiaku, and Ini Edo. In 2011, she starred in Funke Akindele’s Return of Jenifa.

Moreover, she starred in Yvonne Nelson’s House of Gold (2013) alongside Majid Michel and Ice Prince.

She’s also part of the campaign called “Rise with the Energy of Africa”. The songstress is also the Lifebuoy Brand Ambassador for Nigeria and leads Lifebuoy’s handwashing campaign in Nigeria.

Of course, there are many women musicians, singers, song writers, actresses, dancers, drummers, movie producers and directors, theatre directors, dramatists, and even writers who have entertained and impacted the society with their talents and crafts in and outside the country.

Happy International Women’s Day and Month!

2Weeks In Lagos, fused with Ghanaian flavor, premieres in cinemas March 27

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n a movie that seems so satisfying, Kathryn Fasegha, award-winning director, fuses Ghanaian flavour in her forthcoming original Lagos love story movie project titled, “2Weeks In Lagos” set to be released in cinemas on March 27, 2020.

The movie, which captures the excitement and vibrancy of everyday life in Lagos and reflects the complexity of life in Lagos, a dynamic city where anything is possible in two Weeks, also fuses in some Ghanaian flavour into as Ghollywood superstar, Mawuli Gavor leads the pack of Nollywood superstars such as Toyin Abraham, Beverly Naya, Joke Silva, Shaffy Bello, Deyemi Okanlawon,

Jide Kosoko, Yaw, Tina Mba, Patrick Nnamani, Efe Irele, Uto Usman and a host of others.

“2 Weeks in Lagos” is a captivating, turbulent and a thrilling journey into the love affair of Ejikeme (Mawuli Gavor) and Lola (Beverly Naya). Their lives collide when Ejikeme an investment banker comes home from the United States to invest in Nigerian businesses. It is love at first sight for them and as they embark on a journey of discovering this new love, they have to contend with the political ambitions of Ejikeme’s mother, who is planning a marriage between him and the only daughter of Otunba Ayodeji, a political jugwww.businessday.ng

gernaut, who is considering Ejikeme’s father as his running mate for the Nigerian Presidency. His mother’s actions create a rift between Ejikeme and Lola that puts their families on a deadly

collision course.

The movie was first screened at the Cannes Festival; the biggest film festival in the world, on May 17, 2019 in Cannes France and will be released in all cinemas in

Scene from 2 weeks in Lagos

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Nigeria on March 27, 2020.

Sp e a k i n g o n t h e m ov i e, Fasegha, the director, expressed joy for the privilege to have her movie showcase at the Cannes Film Festival in France. “I am very excited to be at the Cannes Film Festival. For me, it is not just about directing a movie, it is also exciting to see my movie placed at one of the biggest film platforms in the world”, she said.

“The Cannes Film Festival is one where movies from different parts of the world are showcased to promote film making, and I am grateful to everyone who contributed to bringing this movie to life, from the cast to the crew and everyone indeed”, she added.

Friday 13 March 2020

BUSINESS DAY

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entertainment

Business etiquette

The polished woman #EachforEqual

Janet Adetu

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ongratulations to all our special women around the world. Yes, we celebrate the International Woman’s Day this month, particularly dedicated to women. We recognize and in solidarity, we join with the hashtag #EachforEqual, a time to come together as women to talk, have conversations, learn from each other, advocate for great things, mix, mingle, socialize and grow.

To be that polished woman it takes tenacity, will power, determination, principles, courage and a lot more; to show any form of significance.

How impactful are you in your community? Who are you positively influencing? Are you adding value to those around you daily?

As you remember all women this month; I suggest you take time to reach out to all those who have played or added great significance to your wellbeing today. To be that polished woman is a task, full of challenges, tasks, experiences, moments of despair and moments of jubilation. One thing that is important is that you need to hold the hand of another woman to climb that ladder you cannot do it alone.

It calls for taking advantage of the art of collaboration, mentoring and coaching. Look ahead, identify those women who you admire, ask why they inspire you. Decipher what makes them successful, study

their methodology, understand their way of life and learn from them.

There are several simple things that as a woman you can begin to look at if you aspire to do things differently, move to your next level and be influential.

Polished for success Be direct and clear about your communication The polished woman with presence should communicate with confidence and be clear on choice of words and their meaning. This speaks to how your voice is projected that commands respect, it is also undiluted and void of mixed interpretation. In being direct also reinforce your listening skills, be practical and present in all situations.

Be on point The polished woman is always glaringly on point in stepping out.

It is a matter of coordinating your looks that are first comfortable for you, then create a good first impression from a distance. You will be judged whether you asked to be or you like or not. It does take just less than two minutes to make an impression of someone else. Within thirty seconds many decisions would have been established as to likeability, credibility, respectability, trust, honesty and level of influence. As a leader take this aspect of your presence with extra caution, endeavour to have a positive inspiration and impact on others. Pay attention to detail regarding your grooming, your art of stepping out in style and the

IK Osakioduwa returns as host of 7th AMVCAs with Amina Abdi Rabar, new co-host

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f r i c a Ma g i c h a s a n nounced the hosts for the 7th edition of the Africa Magic Viewers’ Choice

Awards.

IK Osakioduwa, television host and media personality, will return as host of this year’s edition and will grace the stage with Amina Abdi Rabar, a new female co-host.

Amina Abdi Rabar is a top Kenyan TV and radio presenter. She began her radio career with Homeboyz Radio and later moved to Capital FM where she hosts Capital In The Morning, the station’s flagship show. As a TV host, she has worked on various shows on the

Amina Abdi Rabar

DStv platform such as; MNET’s Lifestyle and Entertainment Show Mashariki Mix, Moments on Ebony Life TV, Maisha Superstar on Maisha Magic East and currently The Turn Up on Maisha Magic East.

Abdi Rabar has also worked with various brands as an ambassador, hosted a variety of music concerts, corporate events, award shows, product launches and gala dinners.

“We are excited to present Amina Abdi Rabar as the new female co-host of the 7th edition of the AMVCAs. She is vivacious, full of wit and has a very cheerful personality. We look forward to her and IK bringing some magic on stage as we gather to celebrate the best in film and television”, said Wangi Mba-Uzoukwu, channel director, Africa Channels.

All is now set for the seventh edition of the awards billed to hold in Lagos on Saturday March 14, 2020.

The event will be broadcast live on all Africa Magic channels on DStv and GOtv from 4pm WAT. Follow the conversation on social media using the hashtag #AMVCA7.

The 7th edition of the AMVCAs is sponsored by Amstel Malta. www.businessday.ng

message you communicate as you are what you wear.

Be prepared The polished woman is a knowledge builder, continuously searching for new information that will build her professionally. This is an ongoing assignment to brush up your skills in your field of interest.

This is the digital age ever introducing something different, educative and empowering. It is time to prepare yourself given all opportunities that are ahead of you. Go and be ready for unprepared speeches, represent even when you were not told, share your experiences where they need it the most, excel in all you do.

Be adaptable The polished woman embraces change and can adapt to multiple circumstances. Adapting to change is necessary for growth and advancement, it should be applicable in the way you lead and direct your cause. The millennial age is a good way to understand those around you, adapt to what they represent and nurture them in the way you feel they will learn and benefit.

Adapt to that which is working in a positive way, this will increase your polish and presence.

Be energized The polished woman exerts extra energy to ensure that results are achieved. This feeling of being energized should transpire around you and be contagious. Embarking on any project should reveal your professionalism, you drive and influence to succeed. As you enter a room you should command it with

‘ To be that polished woman is a task, full of challenges, tasks, experiences, moments of despair and moments of jubilation.

One thing that is important is that you need to hold the hand of another woman to climb that ladder you cannot do it alone

presence in your interactions, your body language your impact.

If others are morally down your energy ideally should pick them up in a motivational manner.

Be business savvy The polished woman is aware and knowledgeable business savvy wise.

The profession or business you have chosen is what will determine your direction in life whether born out of training or passion. Your business as a professional or entrepreneur requires you continuously understand the traditional and new ways of doing things. Logically design a masterplan or road map for your career and business growth. The polished woman is constantly reading and researching to grow the business.

Listen and learn from those that work with you, take to ideas, advice, make decisions run with the results and make it happen.

Be credible The polished woman walks with presence and credibility, this means values are an important to establish and practice. The polished woman develops the qualities of a great leader: character, charisma, commitment, competence, courage discernment, focus, generosity, initiative, passion, positive attitude, problem solving, relationship, responsibility, security, self- discipline, servanthood and teachability. Do you have these traits?

Practice what it takes to be that polished Woman #EachforEqual.

Enjoy your day!.

Please share your career experiences: Janet. adetu@gmail.com, @janetadetu

Why Odio Mimonet’s Haute couture show is Africa’s voice literally

H

aute Couture is a French phrase that translates literally to “high dressmaking.” It is a term reserved for top echelon fashion houses that can create made-toorder pieces in their atelier with many dedicated tailors in their employ.

Each piece is mostly constructed by hand by very capable tailors using only the highest quality fabric and time-consuming, one-of-akind techniques.

While many brands fail to fully grasp the concept of haute couture, one of the few African brands that does is Odio Mimonet.

Set to hold its first official standalone haute couture show on March 29, 2020, the brand is ready to brand itself as Africa’s foremost couture voice.

Since opening its atelier doors, the Odio Mimonet brand’s focus on delivering haute couture made from its uniquely African perspective has not faltered.

The brand has been producing made-to-order clothing for its discerning clientele for almost 20 years. Led by Odio Oseni, its creative director, each design celebrates femininity and the female

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form by adorning it in designs that can best be described as high art.

Ensuring compliance with the couture process, the client undergoes multiple dress fittings to ensure the piece is perfectly fitted each time.

For its first standalone haute couture fashion show dubbed “The African Story”, the Odio Mimonet brand will reflect on the African woman and her style choices by highlighting the many elements and motifs that inspire it. A first of its kind in Nigeria, the haute couture show will feature mod@Businessdayng

els showcasing carefully curated pieces from the brand that piece together the narrative of An African story.

It will showcase the beauty of African culture and heritage through timeless designs that highlight the continuous culture of storytelling, which the designer has mastered over the years.

At this time where the world is looking to Africa, and particularly Lagos, as the next fashion capital, the storied fashion houses and tenured designers in our young industry must begin to set themselves apart as couturiers.

The show is an indication that the Odio Mimonet brand is ready for to stand out as a voice for haute couture made in Africa.

Due to the expensive cost of producing couture, not many brands can. This makes it imperative that the likes of Odio Mimonet, who can distinguish themselves do so to the best of their ability and with the support of the industry.

“The African Story” promises to be a show of formidable fashion and thrilling entertainment for the guests who will include noted artisans, industry giants, key stakeholders, and fashion enthusiasts.

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Friday 13 March 2020

BUSINESS DAY

INTERVIEW

‘Government continued investment in agriculture will spur economic growth’ Cormart Nigeria Limited recently took some select journalists on a factory tour of its facility in Shagamu along the Lagos/Ibadan Expressway, simply called ‘Kilometer 51’. Johannes Flosbach, general manager, Cormart Nigeria Limited, spoke about the company’s growth prospect in Nigeria, challenges and future plan. SEYI JOHN SALAU was there. Excerpt:

W

hat is your projection for Nigeria’s economic potential? Are you optimistic about its growth?

Yes, I believe in Nigeria’s economic growth. However, there is a shift. The shift is tending more towards agriculture which is very good. The government made a very wise decision to stimulate the agriculture sector and pump money into facilities available because if you are importing agro-products such as soya beans, maize and others, the impact on your forex will become bigger and bigger. In 20 years from now, we have to focus more on alternative source of energy, than electricity therefore the need for electricity will still be there and it will have impact on your income. Then you will have more mouths to feed, so investing in agriculture is very important. Moreover, to shift from the oil and gas industry is why there should be increased investment in agriculture. To develop the agro-value chain, the sector has to be better positioned to compete globally.

The yield of maize overseas in a one hectare of land, you can get eight, nine to 10 tonnes per hectare. While here in Nigeria, you get maybe two tonnes in one hectare of land.

What are your expectations for 2020?

Our expectation for 2020 is 40 per cent growth. We have a few projects in the pipeline that are coming up. We are investing N2 billion this year and many of those projects will run till 2021.

We are in discussions about several projects in the pipeline. We have the upper hand because we are experts in not just chemical raw materials, but the application of these raw materials to meet individual client specifications. Also, our sister company, Chi Farms, is a market leader in poultry. We do not only sell commercial broilers but we also have Nigeria’s only Grandparent stock farm. These and many more are great potentials and advantages that we have as a company. We are truly excited about 2020.

Running business in Nigeria could be challenging:

wants to produce something, we make it happen for them. When it comes to industrial development in Nigeria, Cormart is at the centre of development. This is overall what we want to do.

So, everything that is short and mid-term, are basically steps on that way such as having more lands, additional factories and setup more plants. But those are small steps and the overall target is industrial development.

Johannes Flosbach, general manager, Cormart Nigeria Limited

what are some of the challenges faced in running this business?

One of our major challenges is manpower. The second challenge is power supply. In this company, we invest huge amount of money in having our own electricity. We don’t rely on the national grid for power because the quality of the power is poor. In our factory in KM 51 we have pipe gas, instead of diesel which is much cheaper, the private sector invested in that and this makes production and operation cheaper. The third constraint we have is finance.

Surmounting this, the interest on loans (finance cost) is between 11-14 percent depending on the bank. But we went through periods of 25-30 percent. There is no place in the world where a business establishment can survive at high financial cost.

The fourth challenge is the availability of a favorable foreign exchange market. In 2019, we had stability and the economy was better, the interest rate dropped from 20 to12 percent. Despite all the challenges, we grow 30 per cent every year. That means there is a way out of all of these challenges if you do it the right way. Although we have some constraints, we believe in the country Nigeria. Nigeria is the biggest country in Africa so the opportunities are there. www.businessday.ng

What is the worth of your investments in Nigeria?

The cost of the land at KM 51 is $2million. The cost of the entire facility is $25 million.

Looking at the facilities at the factory, what does the company plan to do going forward especially in the area of diversity?

We are continually planning to diversify. The TGI group and Cormart have wide range of products. The latest area of diversification relates to concrete hardeners and tile adhesives. In the second part of our journey, we intend to go further into diversification. We organise all our activities not as Cormart, but the entire TGI Group. The slogan of TGI is diversity. The main goal of Cormart is not profit, but sustainability. The drive is that what we have planted here will still exist in the next 50years time. What we will like to have is sustainability not only because of our legacy, but to ensure that people who work here are sure about their jobs and in 20-30years they are here. Moreover, the goal is to ensure that our operations still continues and go further. It also to contribute to the industrial development of other companies. We are also enablers to other companies. If any organisation or company

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Has border closure impacted your business?

On the negative side, I would say no. But positive impact most probably? Yes. I would not be able to measure the extent of the impact on our businesses. When you grow in any business, there are different areas to focus on such as quality, marketing, and promotion. For us at Cormart, the border closure has not had so much impact. Remember the key focus for us as a group is our business to business, and raw materials. But our ranges of products are those coming from the seaport, which includes industrial raw materials with five percent import duties.

How do you think the recent increase in Value Added Tax (VAT) will affect your business?

Increase in VAT is a recent development. But it will have an impact for sure. Whether it will have a long impact I don’t think so. The impact might be felt at the end of the first quarter, say maybe April/May. VAT is 2.5 per cent more. Basically that comes out of the pocket of any consumer. The VAT is going from producer to distributor to final consumer. It will have an impact and the consumers as we will see a price increase. Within two or three months that impact is gone.

What has kept your company going especially in doing business in the last 40 years?

What has kept us going is our strong believe in the potential of this country. We plough it back and that made us to widen the constraints. We believe it and we shall continue to invest. Of course, there are some issues, but we keep believing.

Cormart will be 40years @Businessdayng

in August, how has the company been able to scale in terms of growth and investments?

If you look at the last 40 years, the development was not even.

Our growth to this scale was gradual. Much of the progress we have made as a company started in the 90s. The biggest jump of growth began when our sales moved to a higher level and we started to have our own depot in Nigeria. From the investments we made, we started seeing increase in growth and volume of businesses, and this made the difference. Cormart initially began reselling Chivita in Nigeria. Later, we diversified and bought equipment to make Chivita locally in Nigeria. It was a gradual process. In terms of business, World Bank believes in trade liberalization which means there is no government involvement. The World Bank said to Nigeria and other Africa countries that they don’t want to give loans and facilities to them, but to take a step backward out of the private industry and sell off some State owned companies.

In that period, we bought some of the State-owned companies and that gave us some increase of turnover. It all has to do with seeing opportunities and having the courage to invest in it. From the beginning, there was no master plan as such. Rather, we saw opportunities and moved forward with them.

What measures will you suggest to position the agro-allied industry?

The industry needs certain level of technology, human resources and development of human capital, access to capital and protection for producers.

What are you doing to increase your market share, especially in the area of adhesives?

We have dedicated an export team and we are already selling to Cameroun, Niger, Mali, Benin and others. Furthermore, we have a product known as Vinko bond with huge sales potential due to its accessibility in the market. If it is in 10,000 outlets today and you can bring the product to 20,000 outlets. Third point is having specialized and premium rates.

Friday 13 March 2020

BUSINESS DAY

29

feature How non-interest finance can bridge Nigeria’s infrastructure deficit

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on-Interest Finance, also known as ethical finance is growing phenomenally as an alternative source of financing across the world.

In an affirmation of this, the World Bank, in a recent report, indicated that global NIFI assets were in the region of $2.2 trillion as at the end of 2018.

The implication is that this as a financing option, which is based on the principles of profit and risk sharing, transparency in pricing, equitability, fairness and a business model that prohibits uncertainty, is here to stay.

To make the most of the inherent opportunities in ethical financing as a vehicle for delivering large ticket deals in the Nigerian economy, key industry stakeholders drawn from non-interest banks, issuing houses, development finance institutions, insurance companies and law firms recently converged in Lagos at the inaugural Non-Interest Finance Executive Forum hosted by Sterling Alternative Finance Group with the theme “Delivering large ticket and sophisticated deals through Non-Interest Finance.”

At the end of deliberations, the forum resolved, among other resolutions, to extend membership of the Non-Interest Financial Institutions Association of Nigeria (NIFIAN) to other financial institutions with Sharia compliant funds and law firms, create a subcommittee of the extended NIFIAN leadership to develop a standard framework for equity investments in select sectors and identify and appraise bankable assets for structuring through syndication, subnational or corporate Sukuk.

The forum also agreed to incorporate other financial institutions into the finalised interbank bilateral agreement, create an investment committee to appraise and approve transactions and enhance investments while reducing risk, factor InfraCredit’s participation into large ticket transactions structured within a special purpose vehicle model and commence the process to deliver standardised noninterest finance contracts via NIFIAN. Managing Director and Chief Executive Officer of Ster-

ling Bank Plc, Mr. Abubakar Suleiman, who delivered a keynote address titled, “Current State of the Non-Interest Banking Industry in Nigeria,” observed that total assets of NIBs rose from N45.8 billion in 2014 to N159.1 billion in 2018 while revenue appreciated from 6.89 billion in 2015 to 10.53 billion in 2018. He added that Return on Average Asset (ROAA) increased from 2% in 2015 to 17% in 2018 while Return on Average Equity (ROAE) rose from 9% in 2015 to 14% in 2018, resulting in a commutative growth rate (CGR) of 30 percent.

On the overview of the NIB Debt Market, Suleiman said there were only three Sukuks valued at a total of N211.4 billion as against the size of quoted debt market of N30.860 trillion, representing a mere 0.69 percent contribution of Sukuk to the Nigerian bond market.

According to him, the Sukuks were raised by the Federal Government and the Osun State Government. These included the Sukuk raised by Osun in 2013 with a maturity date of 2020 and the two Sukuks raised by the Federal Government – first in 2017 with a maturity date of 2024 and another in 2018 with a maturity date of 2025. www.businessday.ng

Making a five-year projection, Suleiman noted that if Sukuk could grow to become 3% of the total debt market share of N30.80 trillion as at January 2020, it would appreciate by 338 percent, a development which would raise the value of Sukuk to N925.88 billion, representing an incremental issuance of fresh N711.48 billion Sukuks by sovereign, sub-nationals and corporates.

Regarding total assets, the Sterling Bank’s CEO projected that out of N37.207 trillion total asset value of all banks in Nigeria as at January 2018, contribution of non-interest banks (NIBs) to the size as at December 2018, was N159.1 billion and to achieve a 3% increase of the total banking industry asset by 2025, NIBs would need to create N957.18 billion worth of assets, representing a growth of 602%.

Also speaking at the forum, Dr. Basheer Oshodi, Group Head, NIB, Sterling Alternative Finance, said the market for alternative finance is still in its infancy in Nigeria. He said there is a need for asset expansion, easy flow of liquidity and risk appetite alignment among players in the industry to help accelerate the market’s maturity.

He listed some of the con-

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tracts that could be used to finance asset classes in the Nigerian economy to include Musharaka and Mudarabah (equity-based), Wakala (service-based) as well as Ijarah and Murabaha (debt-based).

The Group Head also expressed hope in the ability of operators to immediately pull together large amounts of resources that would enable them to finance major assets as soon as the necessary documentation was completed.

He described Musharaka as an agreement between two or more partners to combine assets, services, obligations or liabilities for the purpose of making profit while Mudarabah is a partnership in which one partner provides capital and the other provides labour and business expertise.

According to him, Wakala refers to a contract where a principal authorises or appoints an agent to do a welldefined legal action on his behalf while Ijarah is to give a usufruct - the legal right to use and enjoy the advantages or profits of another person’s property - on lease or provide services for defined rentals.

He explained that Murabaha is a sales contract where the buyer and the seller agree on the mark-up or cost-plus price for the item being sold.

Dr. Oshodi called for the setting up of a committee made up of professionals in different segments of the industry that would be saddled with the responsibility of designing procedures and processes on how to scale the market In his presentation entitled, “Liquidity Management of Non-Interest Financial Institutions (NIFIs), Mr. Alhassan Abdulkarim Regional Manager, Jaiz Bank Plc, noted that NIFIs are mainly limited to investing in long-term assets, adding that although these generate higher returns, the issuers are always after long and medium-term repayment.

Abdulkarim asked: if a NIFI has invested its customer’s deposit in a five-year Sukuk, what happens if the customer withdraws its deposits after one month? In order to avoid such maturity mismatch liquidity concerns, the Central Bank of Nigeria (CBN) needs to work with NIFIs in developing short term liquidity solutions, he averred.

He explained that in order @Businessdayng

to address these concerns and diversify the liquidity -management product range, NIFIs should focus on the development of new solutions. The solutions could include unrestricted Wakala, interbank Mudarabah and Murabaha, shortterm Sukuks and securitisation of assets. A key characteristic of all of these proposed solutions should have is access to a liquid investments market with different returns and different maturities.

Mr. Abdulkarim also suggested the creation of a secondary inter-bank market for NIBs and the development of a single framework for a formal Non-Interest Money Market as other alternatives worth exploring. Remarking that the development of such a market would not only promote secondary and inter-bank market activity, but also allow banks to manage excess liquidity in the short-term.

Mrs. Hajara Adeola, MD/ CEO of Lotus Capital, spoke on the need to address risks, documentation and securisation of assets, adding that Musharakah Sukuk can be used effectively to provide mass housing projects while Ijarah Sukuk can be used to effectively finance infrastructure construction.

She called for the formation of an association of operators of NIB that would see to the development of drafts that can be used to execute deals while stressing the need for standard contracts and a need for operators to work with some major obligors to create sustainable market for alternative finance.

Mrs. Tosin Ajose, Lead Advisor with Deal HQ Partners, who delivered a paper on “Market and Legal Consideration for Syndicated Sukuk,” described Syndicated Sukuk as a form of non-interest financing where two or more banks or financial institutions jointly provide financing to a borrower. The syndicate is principally led by a lead arranger and the issue is structured in line with the principles of Sharia.

There were also presentations on “Contracts in the Replacement of Existing Projects/ Assets” by Banwo & Ighodalo, Metropolitan Law Firm and Udo Udoma & Bello Osagie and “Guaranteed Opportunities for Projects & Sukuk” by Daniel Mueller, Head, Origination & Structuring with InfraCredit.

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Friday 13 March 2020

BUSINESS DAY

Hotels

Success stories that underline African hospitality business OBINNA EMELIKE

I

f you belong to the school of thought that believes that African hospitality has come of age, then you should maintain you stand because some indigenous hotel brands are truly changing the negative narratives of the African hospitality industry today.

Obviously, hospitality business in Africa is becoming more impressive everyday with improvements, exciting innovations, sustained service culture and even corresponding facility offerings, which combine to point to the fact that African hospitality has come of age.

Now, some international brands are finding it difficult to compete with some indigenous brands, which have turned the tables in their areas of specialties like safari and are even expanding outside the country.

There are a few of these innovative indigenous hotel brands with outstanding success stories. One of them is Tsogo Sun, a South African based hotel chain and management company.

With over 100 hotels and 13 casinos across Africa and now in the Middle East, Tsogo Sun is one of the largest indigenous hotel groups in Africa.

The success story is evident with its many brands that appeal to a wide range of guests. From Maia, Beverly Hills, 54 on Bath, Sandton Sun, Suncoast Towers, Palazzo, Southern Sun Hotels and Resorts, SunSquare, Garden Court, StayEasy and SUN1 (formerly Formula1 Hotels), Tsogo Sun has a bouquet of exciting accommodation options.

As well, it also manages InterContinental Johannesburg O.R. Tambo Airport, InterContinental Johannesburg Sandton Towers, among other brands outside its portfolio.

Of course, the group, which is one of the largest listed companies in Johannesburg Stock Exchange in the hotel and tourism sector, with a market capitalisation of R30.8 billion and an operating income of R5.4 billion, is truly as Africa giant in the hotel business.

A visit to Southern Sun Ikoyi in Lagos, where Tsogo Sun has majority shares, tells of commitment to quality assurance. It would be recalled that Southern Sun Ikoyi, took

the Lagos hotel business by storm when it crashed room rates some years ago, forcing major international brands to crash rates within that period as well.

Some of the masterpiece properties of the brand across architecture, quality of service, facility offerings and innovations are; 54 on Bath, Sandton Sun, Southern Sun Elengani and SunSquare, all based in South Africa and Southern Sun Al Manzil Hotel Dubai, UAE. It is of note that Southern Sun Al Manzil Hotel Dubai, UAE, keeps claiming top spot on TripAdvisor’s Popularity Index for hotels in Dubai because of the well-grown African hospitality culture that is exported to the Middle East and the world.

Yet, Sun International is another indigenous brand to be proud of. The success story is good to hear and retell.

With over 20 resorts, luxury hotels and casinos across Africa and in Latin America, Sun International is one of Africa’s largest tourism, leisure and gaming groups.

The group’s approach has been to differentiate its hotels, resorts and casinos in architecture, service, experience, location and the mix of entertainment and activities, while creating lasting memories for its guests and customers is a core part of its DNA. This is evident in some of the world’s most iconic hotels it has created. From Sun City, The Palace of The Lost City at Sun City to The Table Bay Hotel in Cape Town, The Maslow in Sandton, and Federal Place Hotel www.businessday.ng

and Casino Lagos, the creative architecture of these properties and the blending of their designs with their local environment make each property unique.

The intrigue for many is the group’s ability to export African brand to the Americas.

“Our entry into Latin America began in Chile in 2008 and has been a success story for the group, giving us the track record and confidence to look for more opportunities that offer gaming opportunities in the region”, the group said.

Sun International’s Latin American profile include; Monticello Grand Casino in Chile and the Ocean Club Casino in Panama.

Also from Kenya, the Icon Hotel Group (IHG) is kicking across major destinations in Africa, and changing the hospitality narrative as well.

Obviously, the group is a fast-growing end-to-end African-grown hospitality hub that serves as a resource base for diverse core hospitality competencies across Africa and beyond. ICON is also spreading its reach beyond its Kenyan base.

From Mount Meru Hotel or Palace Hotel both in Arusha, Tanzania, Osotua Luxury Resort Naivasha, among other hotels in East Africa, IHG’s presence is now felt in West Africa starting with Nigeria. The turnaround at Best Western Hotel, Victoria Island, Lagos, and quality service at the Royal Spring Palm Hotel in Owerri, the Imo State capital, are strides ICON is committed to replicate across other destinations in Nigeria and West Africa.

However, another group is also rising from Nigeria.

Since opening its doors to the public at Goshen Estate, along Lekki-Epe Expressway, Lagos, the Citilodge Group is committed to a nationwide expansion.

From the Lagos hotel, it opened Citilodge Abuja and recently Citiheight Ikeja, Lagos, targeting high-end travellers with its world-class facilities at the Ikeja hotel, which is close the airport and along the Ikeja hotel corridor, where Sheraton and Radisson Blu brands are located.

At the opening of the Ikeja hotel, Olufemi Talabi, the chairman of the hotel, noted that the group is carving a niche for itself and is not following after any brand. For him, the brand, from its Nigerian base, is committed to establishing impeccable service culture, standard and quality that are at par with global standards.

Surprisingly, Mangalis, a new indigenous African hotel group, has joined the race to close the gap in quality offerings. Yerim Sow, a Senegalese entrepreneur, and founder of Mangalis Group, is investing €315m to build 15 hotels across four new brands in West and Central Africa.

Already, Managlis’ three brands are out there; Noom (upscale), Seen (midscale) and Yaas Hotels (economy).

Noom Hotel Conkary, Noom Hotel Naimey Niger, and Seen Hotel Abidjan Plateau are opened to the public, while Yaas Hotel Dakar, Noom Abidjan, Noom Hotel Cotnou, Seen Ivory Coast and Seen Sierra Leone are either under construction or due to open later this year.

Fahrenheit Hospitality Group seems to be the new entrant in the Nigerian hospitality industry that is pushing strongly for indigenous branding. With two brands in less than five years, Maison Fahrenheit and Fahrenheit Loft, Fahrenheit Hospitality Group is eyeing brand expansion across the country. Going by the quality of the offerings, the premium locations, facilities and target market, Fahrenheit Hospitality is already changing the narrative with some hotel investors desiring to get its franchise.

As expected, more indigenous brands are hoping to join the scramble for market share within the continent, but many will also fall by the wayside if quality and standards are in doubt.

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Top BusinessDay Partner Hotels Four Points by Sheraton Hotel (Oniru Chiefatancy Estate,Lekki) Tel: +234 1 448 9444

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

206 Exclusive Hotel Plot 206 Oladipo Diya Road Opposite Olympia Estate

By Games Village Second Gate Durumi2 Abuja

Novotel Port Harcourt Address: 3 Stadium Road Rumuomasi, Port Harcourt Rivers State, Tel: 0809 713 5734

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

Southern Sun IkoyI Hotel Address: 47 Alfred Rewane Road, Ikoyi, Lagos Tel: +234 1 280 5200 / +234 1 280 0630 Email: ssikoyi.reservations@ tsogosun.com

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

BUSINESS DAY

Friday 13 March 2020

31

MADE in aba

How Aba tailors are providing employment for youths GODFREY OFURU Aba

T

hey were in the past regarded as producers of fake products.

But today, Aba tailors and fashion designers are making products that are in high demand both within and outside Nigeria. Not only that, these tailors and designers are also providing succour to the unemployed youths in the society, writes GODFREY OFURUM Yo u t h r e s t i v e n e s s , armed robbery, swindling and other crimes committed by youths in South-East and SouthSouth regions of Nigeria against the helpless a re m a i n l y c a u s e d b y unemployment.

To stem the tide and make youths responsible a n d p ro d u c t i v e, w h i l e helping the government to reduce unemployment in the country, the A s s o c i a t i o n o f Ta i l o r s and Fashion Designers (ATFAD) Abia State has instituted an apprentice programme aimed at e n ga g i n g f re s h s c h o o l leavers and turning them into s elf-reliant and – confident professionals.

Findings have shown that young secondary school leavers and those seeking admission into tertiary institutions are the ones being used by n e gat i ve m i n d s i n t h e society to cause mayhem.

To change the trend and engage these youths into productive activities, ATFAD instructed their members to accept these youths and train them in tailoring, as part of their social responsibility to the state and the country at large. “ We a re t r y i n g t o arrest unemployment in Abia State by engaging fresh secondary school graduates. Everybody will not work in the banking and oil industries. People should aspire to be self employed,” O nyebuchi Nwaigwe, president ATFAD, said.

Nwaigwe told BusinessDay in Aba that they made a law in the a ss o c iat i o n t hat e ve r y tailor in a single room must at least employ t w o p ers ons annually, while members in bigger

apartments were advised to employ at least three to six persons, annually.

These people, a c c o rd i n g t o h i m, a re n o t p ro f e ssi o na l s, bu t green horns, fresh from s e condar y s chool that would be turned into professionals in few years.

“A t f i r s t , t h e responsibility of these apprentices would be to run errands. The patient ones among them, within two to three years, would become qualified tailors.

“Our plan is to make them tailors and help them become self employed, as well as support the state g overnment to re d uce unemployment and take youths out of the streets,” he said.

AT FA D h a s a l s o made it mandatory that all members must spe cialis e in one area of the profession. The association said the era of one p ers on ma king shirts and at the same time producing suites and other garments is over. For them, this would give rise to professionalism.

Tailors in Aba in the www.businessday.ng

past were into all segments of tailoring. For instance, a one-room tailor would make all sorts of clothes.

This made him a jack of all trades but master of none.

“So, when the association came, we discovered that it is better we specialise and produce quality products,” said Nwaigwe.

According to him, “We

“Our plan is to make them tailors and help them become self employed, as well as support the state government to reduce unemployment and take youths out of the streets”

made a law that stipulates that every one-room tailor must produce one item.

It is either you produce ju s t t ro u s e r s, s u i t s o r shirts, among others. If you are in a flat and want to make everything, you are allowed, but it must be departmentalised and experts engaged to run it.

“And this has worked for us since we instituted the rule three years ago, and as the president of t h e a s s o c i at i o n , I ca n proudly move round the world with our products, because they meet international standards,” he further said.

The ATFAD president, however, decried lack of modern machinery, which according to him, was their greatest challenge.

“We only have manual machines. Despite our challenges, we have used our experience to make our products to compete with foreign made ones.”

He c o m m e n d e d t h e efforts of the United Nations Industrial D e v e l o p m e n t Organisation (UNIDO) for exposing them to modern

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ways of doing business.

“I wouldn’t fail to commend UNID O that has organised series of workshops for us, where we have been enlightened on how to run our businesses.

“For example, in the past, I didn’t know the difference between personal and business finances. I used to combine t h e t w o, u nt i l U N I D O opened my eyes. Some of us that were not fortunate to be literate through these trainings are now being educated and informed adequately. We now know better,” he stated.

Innocent O nwukwe, one of the beneficiaries o f t h e a p p re n t i c e s h i p scheme, said he started as an apprentice.

“I also did what we call ‘job man’ for three different people, before I set up mine in 2007. I used that period of working for people to build capacity.

“I started with two tailors before I opened a showroom at 187 Market Road, Aba. We started mass production and our client base also went up, @Businessdayng

and that was when I knew that I have a future in the business.

“A n d I h a v e n o re g re t s w h a t s o e v e r i n coming into this sector.

If there is anything like reincarnation, I will still like to be a tailor, but in a reasonable country, not Nigeria. I will like to be a tailor in a country, where I will have access to loans and grants to grow my business,” he said.

“I said this, because with the little experience I have garnered in this business over the years, tailoring should not be for the poor. It is a business that requires a lot of capital for you to have a standard factory.

“I like this business, honestly. I don’t think I can do any other business other than tailoring,” he further said.

ATFAD, an association of tailors and fashion designers in Abia State, was for med in June 1 9 9 9 a n d i nau g u rat e d in 2003 by Joe Irukwu, a former commissioner for Commerce and Industry in Abia State.

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INTERVIEW ‘We have bold ambitions to quadruple our value through investing, exploration, M&A’ Effiong Okon is the executive director operations at Seplat. He has over 26 years of experience in upstream and integrated oil and gas operations across Africa, Europe, the Middle East, and Nigeria. In this interview with Olusola Bello, Okon speaks on the challenges, new business growth and the successes recorded by Seplat Petroleum. Excerpts:

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Effiong Okon

business is to maximise total shareholder return, this includes long-term value creation in terms of dividend payments and share appreciation.

Critical success factor for us is to add value to the society and help lift people out of poverty.

Could you talk us through what you are doing in gas production?

We have been doing a lot in gas production. Today, Seplat is proud to be one of the biggest domestic gas producers in the country with 525 million standard cubic feet (MMscf) installed processing capacity in Oben and Sapele, average gas production is 350 MMscf/d, primarily for the domestic market (power generation), 30 per cent of power generation in the country depends on Seplat gas; and we are also working on powering other parts of the Nigerian economy as we grow the gas business. In 2019 we made the final investment decision on Assa North-Ohaji South (ANOH) greenfield gas project. The project will deliver a new gas asset for the NNPC and Seplat partnership in Imo State. The new gas plant will have processing capacity of 300MMscf/d, alongside condensate and Liquefied Petroleum Gas (LPG) products, targeting the domestic gas market. We are also looking at putting some of that gas into the West Africa gas pipelines. But we must first meet the demand in the Nigerian market before we export. The transformation element of our strategy includes becoming a one billion standard cubic per day (1 Bscf/d) gas processing company At Seplat, we have been able to work around challenges through partnership, collaboration, and creating value across the entire value chain. For example, Azura Power is one of the biggest Independent Power www.businessday.ng

Projects (IPPs) based in Edo State, we supply gas to the power plant. We are grateful for the opportunity to support the country economy growth programme and we remain committed to transforming the domestic gas sector in partnership with all the key stakeholders.

What are the new business growth strategies for 2020?

Seplat started operations in 2010.

We bought the first set of assets from Shell and since then have closed additional acquisitions. In 2016, there was a major crisis when the Forcados export line out of the terminal was sabotaged.

Like other companies dependent on the Forcados Oil Terminal (FOT), we were unable to export crude and that led to a phase where we had to slow down for survival. The company relied mostly on the gas business until the export line was restored in 2017. There was very serious liquidity crisis then and a slowdown in terms of activities.

But thank God we have worked our way out of the woods in the last couple of years and we have been back to investing into the assets again since 2019 to grow production.

Last year, we started drilling with 4 rigs contracted to deliver the in-

fill wells across our assets. We also progressed several brown field and capital projects, this way we are back to growing production out of our existing assets portfolio. The second part of our growth strategy is mergers and acquisition (M&A). We acquired Eland late 2019, a UK-listed company with interest in Nigeria by virtue of its investment in the Elcrest JV. Elcrest is a JV between Eland and Starcrest, the acquisition gives us working and economic interests in the Nigerian assets, which is also a JV with NPDC. For oil and gas business, you can only grow through three means. The first is through investing in your existing portfolio by drilling development wells and building new facilities or upgrade the existing ones. The second means is through exploration drilling to test new plays, deeper opportunities and in field appraisal/extension in existing assets. So, for us, this year exploration is key, we have just completed a major portfolio rejuvenation study work across our western and eastern assets, which has delivered some very attractive prospects and we’ll be drilling the prospects in the year. The third path for growth is through M&A so we are constantly scanning the horizon and proactively engaging companies for opportunities. It was in the press recently that quite a number of the IOCs have also expressed their interest to exit part of their portfolio so we are working this space.

As a company we have bold ambitions to grow so keen to quadruple our value through all the means explained above. We have a roadmap to materially transform the company over the next 5 years. There are several transitions happening, namely, oil and gas industry reforms in Nigeria, energy transition to a less carbon world as the advocacy for climate change increases, digital transformation as oil and gas businesses play catch-up, leadership changes in our company as the founding CEO steps down and a new CEO takes over the mantle of leadership.

We are proud of the achievements we have made since inception during which we have established a very strong credibility in the market and the future looks very bright for Seplat.

It is quite difficult to have credibility and integrity in this part of the world.

Attracting finance or any form of in-

“

We are proud of the achievements we have made since inception during which we have established a very strong credibility in the market and the future looks very bright for Seplat

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“

What are your roles as the executive operations director, Seplat? s operations director, I am responsible for driving all the operations across the company geared towards delivering production.

First and foremost, it is about production of oil and gas in a safe and responsible manner, delivering value to all stakeholders. A key part for me is how to lead my organisation in such a way that our folks are inspired and motivated, especially our frontline colleagues who are in the line of fire to deliver on our production promises 24/7. This is a very complex part of our business considering the security, militancy and community challenges in the Niger Delta. We have assets across the Niger Delta, one of the most challenging environments in the world, where the International Oil Companies (IOCs) had challenges operating so had to exit part of the portfolio. We bought the assets from the IOCs and have since then brought in lots of changes in how manage the challenges. We have built strong relationships with the communities in the areas of our operations, they have been empowered through employment, award of contracts, social investments, etc. so they are part of the ecosystem and strategic partners. We have earned their trust and we depend on them and they depend on us too.

My role also includes providing leadership and drive for the company that’s required for delivery of our overall bottom-line financial results.

This is achieved through working collaboratively with the other parts of the organisation. As a company we are purpose driven and have very strong values. We have a lot of stakeholders in this system comprising the communities, government, employees, shareholders, amongst others. We make significant economic impact through payment of our royalties and taxes faithfully. Also, the Nigerian National Petroleum Corporation (NNPC) is a big partner in this business. Most oil and gas businesses in Nigeria are Joint Venture (JV) or Production Sharing Contracts (PSCs), the latter is mostly common for Deepwater. For us here at Seplat, our Western asset is in JV with Nigerian Petroleum Development Company (NPDC), an arm of NNPC. In the East, we also have similar model with the National Petroleum Investment Management services (NAPIMS) also a part of the NNPC. We work with different stakeholders to ensure we deliver on our short, medium and long-term objectives.

We are a publicly quoted company listed on the London and Nigerian stock exchanges with strong corporate governance and we do have shareholders and investors who put their money into our business because they believe in us. A strategic part of our

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vestment into Nigeria from overseas is very difficult, however, we have proved that Seplat is a shining example of a company with strong corporate governance, integrity, credibility, trust with strong focus on its bottom-line, and a company that can attract credible investors and deliver value to all its stakeholders. These attributes are key for our long-term sustainable value delivery and growth.

At the 43rd Society of Petroleum Engineers (SPE) conference and exhibition in 2019 you talked about the adoption of contemporary technology to drive the oil and gas industry.

Can you shed more light on this?

In oil and gas exploration perspectivity, appraisal, development and production activities, we acquire a lot of information with billions of dollars invested (seismic, well logs, cores, process, etc.). Unfortunately, we haven’t been good at maximizing the value of the acquired information, part of the problem has been limitations with processing capacity and complexity with the required algorithms.

If you recall, 20 to 30 years ago, the computing system back then wasn’t well developed like what we have now.

Today, easily we can build algorithms to solve all sorts of problems with varying complexity at very high speed.

Digitisation is not new in oil and gas industry, we have been slow at it compared to the Fintech or e-Commerce industry. For example, way back in 1992 in Petroleum Engineering field studies work, we used neural network to train data acquired from very few wells to predict reservoir properties in areas without wells drilled, and this resulted in huge cost savings. Just imagine, onshore/swamp well then costs over US$ 20m while shallow to deepwater wells were in the US$60 to over US$100m range. So, we had to deploy technology using limited data available to help make our field development projects economically viable to attract investments.

We have also been too inward focused. This has changed a lot now with new technology from huge investments in R&D, advent of high processing capacity, digitisation and learning from other industries, all driving digital transformation. We have been looking at other sectors to learn or adapt technology so not just oil and gas. In the past, oil and gas companies were very much insular, closed, inward looking and arrogant. But now, we are looking at applying military technology for most of our oil and gas operations, a good example is use of drones or aerial unmanned vehicles (AUVs) so we don’t have to send people to dangerous locations to do inspections.

Robotics is also becoming common for activities in very risky environment, nuclear technology for hydrocarbon logging in wells, blockchain for supply chain, etc.

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news

Sanwo-Olu celebrates women in Lagos at Oil price crash: Experts call for immediate, purposeful development of non-oil sectors International Women’s Day

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o celebrate the immense impact of their work on the drive towards a Greater Lagos, Governor Babajide SanwoOlu has taken advantage of this year’s International Women’s Day to celebrate 200 notable women.

The governor shared a video highlighting the exponential growth that Lagos had experienced over the years due to the exemplary work spearheaded by trailblazing women such as Efunroye Tinubu, Funmilayo Ransome-Kuti, Sinatu Ojikutu, and Tosin Oshinowo.

“We must ensure we continue to record growth across all facets of our society. Therefore, celebrating women isn’t just the right

thing to do, recognising their immense contributions and impact is necessary for growth and sustainable development at a time when women make up almost half of our population, and are fast becoming the largest group of enablers of the economy through their enterprise and sheer desire for greatness,” Sanwo-Olu said.

For over six centuries, Lagos has relied on the contributions of its women to attain and retain its status as Nigeria’s Centre of Excellence. The state has historically been proactive about ensuring it builds structures that promote equity and justice regardless of gender, religion, and background.

Lagos Fashion Awards to acknowledge African fashion industry

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he Creative, Fashion Design Collective held a media conference on February 9, 2020, to announce their upcoming event “The Lagos Fashion Awards”, set to be held May 2, 2020, at the Lagos City Hall in Lagos, Nigeria.

The event was attended by celebrated designers, stylists, models and fashion forward individuals.

The Lagos Fashion Awards was formedtoshowcaseandrewardthe cumulative outstanding achievementsofthefashionindustryacross West Africa, presenting an opportunitytoremaketheindustry’sattitude towards individual contributions.

On being asked “Why Lagos Fashion Awards?” creative director, Bolaji Animashaun, said, “There needs to be a general collective confidence in the industry, and making sure that everyone feels they are heard and seen in the fashion industry by also recognising the people behind the scenes such as the models and

makeup artists”.

A highlight that really intrigued attendees was the “Next Gen Prize”, an educational initiative and incubator programme for young emerging trailblazers in the fashion and lifestyle industry, geared towards actualising their full potential through training courses, business mentoring and a talent incubator programme.

Nominees for the award categories will be selected by an esteemed panel, followed by a live nomination announcement on April 9, 2020. Categories for the awards include Emerging Designer of the year, Photographer of the year and Style Icon of the year – a category allowing the public to engage in the process and vote for their style favourites.

The Lagos Fashion Awards is supported by ITC, Fayrouz, MAC Cosmetics and Martini in collaboration with The Assembly, The Plug and Trace TV.

Piggyvest makes Fast Company list of Most Innovative Companies

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iggyvest has made the Fast Company list of the 10 Most Innovative Companies in Africa 2020.

According to the international business media brand, Piggyvest is featured in the list of 434 companies selected from 34 countries across the world for “helping West African millennials invest and save for the future“.

The Most Innovative Company list is an annual ranking of the businesses making the most profound impact on both industry and culture, and is curated by the Fast Company, a monthly American business magazine that focuses on technology, business, and design.

“This is a recognition of our efforts to give everyone the power to better manage

and grow their finances. It validates our commitment to promote a savings culture among Nigerians and by extension grow the nation’s economy,” said Odun Eweniyi, co-founder of Piggyvest.

“We are dedicated to further opening up the financial services space for greater participation and engagement driven by technology, innovation, and creativity,” she said.

The Fast Company selection process includes an assessment of each business on a combination of innovation and impact, with a focus on what they accomplished in the year under review. Other African businesses featured on the list are Twiga Foods, Copia Global, Kobo360, Tizeti, Mpost, among others.

4 children, teacher tested negative - Abayomi Obokoh Anthonia

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agos State commissioner for health, Akin Abayomi, had updated in his Twitter handle @profAkinAbayomi that the a family of four children and their teacher who came in from the United States who had close contact with someone infected with COVID-19 have tested negative.

“We have been testing suspected cases of #COVID19 and so far all have been negative ex-

cept for the 2 confirmed cases,” he said.

The commissioner said the Lagos State Ministry of Health (LSMOH) had started producing its hand sanitizer and would soon make it available in the market, saying, “LSMOH frowns at hand sanitizer profiteering.”

Abayomi advised that as Lagosians, let us continue to demonstrate responsibility, responsiveness, solidarity and support in the fight to break the circle of COVID-19 Lagos infection. www.businessday.ng

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conomic experts have expressed the need for the Federal Government to immediately and purposefully develop the non-oil sectors of the Nigerian economy to mitigate the effect of slump in oil prices in the international market.

The experts gave the advice Thursday while speaking with the News Agency of Nigeria in Ibadan on the implications of falling oil price.

A policy economist, Olumuyiwa Alaba, said government must as a matter of urgency build the sectors that would sustain the value of the naira in the face of oil price crash.

Alaba said the implications of the slump in oil price were that the nation was likely to run a budget deficit close to about N5 trillion, if the current budget was not reviewed.

“We might not be able to do any capital project, because we were only struggling to do capital

projects even when things were going well for us.

“It means we are going to borrow massively to sustain the budget. This, by implication, means that our debt profile will increase.

Government will have borrow more, both domestically and internationally, as it must meet its obligations in terms of being able to pay salaries and so on.

“If the rest of the world trusts us, we can increase our foreign debt profile, as borrowing internally will crowd out the private sector, thus pushing it out of the market,” he said.

According to Alaba, proactive measures were needed to sustain the economy, in terms of strengthening the macroeconomic fundamentals.

He expressed the fears that inflation as well as interest rates might rise, if proper actions were not taken, noting the country might not escape devaluation of naira, if oil prices kept falling.

He said the border closure had not really helped legal trade to thrive but the illegal ones, as the Nigeria Customs Service kept seizing illegally-imported goods at various stores in the country.

The policy economist, however, enjoined the Central Bank of Nigeria (CBN) to focus on its core functions, which, he said, were monetary policy, reserve management and foreign exchange management.

Another financial expert, Tunji Adepeju, said government was taking the right measures by reviewing the 2020 budget to meet the present realities, saying, “The good thing is that we are already looking at other sources of revenue, that is, the non-oil sector.

The reserve from the non-oil sector has risen, particularly taxes, while solid minerals and tourism too are moving up.

“Government should review everything and come to terms with what is going on. The implication

of this is not being able to finance the budget and depletion of our foreign reserves.”

Concerning the proposed N22 billion loan, Adepeju said the Federal Government had no other option than to borrow, especially for infrastructural development.

“Owing to the fact that the revenue source to support or finance such development is not available, borrowing is the only option left,” he said.

He, however, said if the country must borrow, it must be for specific purposes, as “all that is left is for Nigerians to monitor and ensure that such monies are used for the purpose for which they are meant”.

The experts, however, said they expected growth in the economy to translate into good living conditions for Nigerians, with the hope that if managed well, the nation’s economy would not slide into recession for the second time.

L-R: Wole Odetayo, executive director, We Innovation Hub; Aituaz Kola-Oladejo, executive director, Financial Services Innovators; Aisha Isa-Olatinwo, assistant director, payment system management department, Central Bank of Noigeria, and Dipo Alabede, group head, digital banking, Sterling Bank, during the Financial Services Innovators and Google Development Group Hackathon sponsored by Sterling Bank plc in Lagos.

Obaseki reactivates natural water collection points in Benin

FCT Police nab 98 suspects, recover 15 AK47 rifle, 379 ammunitions

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James Kwen, Abuja

do State governor, Godwin Obaseki, says his administration is reviving the natural water collection points and transforming them into green lands as part of measures to check the incidences of flooding in the state.

The governor said this after inspecting ongoing construction work along Ugbor-Amagba Road in Oredo Local Government Area.

He noted that structures built along the natural waterways would be removed, as the natural water path had been built in the UgborAmagba axis of the state to provide a lasting solution to the flood challenges experienced in the area.

He noted, “Going by the experience with flooding in this area last year, we are putting measures in place to practically solve the flood problem. We will not like residents to experience same challenges this year because, according to weather predictions, the

rains will be more this year.”

The governor said his administration had resolved to reopen the natural water collection points rather than opt for the expensive option of constructing long concrete drains, noting, “We are looking at areas that are natural water collection points and making them green areas so that water can be drained to such areas.”

He also inspected ongoing construction work along Etete Road and the remodeling of the National Sports Commission Indoor Complex in Benin City.

In his remarks, Commissioner for Infrastructure, Hon. John Inegbedion said the Amagba Road project has a total stretch of 18km and the construction work on the road would be completed in a few months.

He said a burrow pit in the Amagba area had been converted to a retention point where water would be channelled into.

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ederal Capital Territor y (FCT) Police Command have arrested 98 suspected criminals and recovered assorted weapons and 26 bags of Indian hemp at different operations from January to date.

The Commissioner of Police in FCT, Bala Ciroma, who disclosed this while parading the suspects on Thursday in Abuja, said t h e w e a p o n s re c ov e re d included 15 AK 47 rifles, 21 locally made pistols and 379 rounds of ammuni tions as well as 17 different cars.

Ciroma also disclosed t hat t h e C o m ma n d ha d re c ov e re d f o u r p a i r s o f militar y camouflage, 18 bottles of codeine syrup, three packs of diazepam, four packs of exol and 79 cell phones in the course of anti-crime operations.

He pledged that the Command would not rest on its oars in ensuring that crime was nipped in @Businessdayng

the bud and black spots identified, and hibernating points for criminals were promptly dislodge.

The Police chief declared that, there was no place for criminals or those nursing the nefarious thought to perpetrate crime in the FCT, and assured the public that the Command would continue to review its policing strategy to meet up with the expectations of the FCT residents.

He therefore called on community and religious leaders, residents and other stakeholders to support the Police in fighting crime and make Abuja safe and secured.

“A l l c o m m u n i t i e s i n FCT must rise up against criminals by exposing their activities to the Police,’’ he said.

He commended the FCT minister, Muhammad Bello, for supporting the Command with the desired moral and logistics needed to fight crime and protect lives and properties in the Territory.

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Obaseki preaches entrepreneurship, extends agric opportunities to corps members

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overnorGodwinObaseki of Edo State has urged members of the National Youth Service Corps (NYSC) to focus on skill acquisition and entrepreneurship development during their service year in the state.

The governor said this while declaring open the NYSC Orientation Camp for 2020 Batch A Corp Members at Ovia North East Local Government Council of Edo State.

Governor Obaseki also charged the corps members to key into the government’s agricultural programmes aimed at achieving food sufficiency, job and wealth creation for the state.

According to the governor, corps members must take interest in agriculture because the country can no longer only rely on oil or white-collar jobs to grow its economy.

He said, “We will organise you into clusters and provide you with poultry birds so you will raise them. We will also link you to off-takers who would buy the birds.”

Governor Obaseki noted that the opportunities in skills acquisition were also opened to the corps members to gain and sharpen their entrepreneurial skills, urging those who would be posted to classrooms to take training of students seriously as the state places priority on education and human development.

He said he had instructed

that work should be accelerated at the NYSC Permanent camp, promising to provide an additional 250 KVA generator for the camp.

The governor also charged the corps members to be guided by the ideology of the scheme, which is about service and unity.

Earlier, the Edo State NYSC Coordinator, Adebayo Ojo, said about 1, 801 corps members, compromising 881 males and 920 females were registered for the 2020 Batch A, stream one, orientation programme.

Ojo said the corps members had displayed a high sense of discipline and hard work since the commencement of the Orientation Camp, noting that the camp would close on March 30.

He commended the governor for the ongoing construction work at the NYSC Permanent Site, which had hitherto been abandoned for 16 years.

The coordinator added that measures had been put in place to prevent the spread of coronavirus in the camp through the provision of hand sanitizers, and hand washing facilities within the camp.

Meanwhile, chairman, NYSC State Governing Board and Edo State Commissioner for Youths, Damian Lawani, reassured that the corps members would be exposed to series of lectures on topical issues and trainings during and after the three-week camp.

2020 budget: FG to get N1.2trn budget support from SPV - Emefiele Tony Ailemen, Abuja

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ndications emerged Thursday that government would soon get a budget support fund of N1.2 trillion to be generated through a Special Purpose Vehicle (SPV), to help cushion the disruptive effects of the Coronavirus on the funding of the 2020 budget.

This is as President Muhammadu Buhari has assured that his administration remains steadfast in seeking to promote growth of the Nigerian economy through cooperation with the organised private sector.

He sees diversification of the Nigerian economy and improving Nigeria’s level of self-sufficiency in food production as key measures that would help support faster economic growth and create employment opportunities for our teeming youths, and

reduce imports.

Nigeria’s N10.50 trillion 2020 budget is facing huge deficit funding challenges following poor revenue from crude oil sales on the international market as a result of the Coronavirus.

The fund will be a great relief for the capital component of the budget of N2,465,418,006,955. The 2020 budget is made up of N560,470,827,235 for statutory transfer; N2,725,498,930,000 for debt servicing, and rec u r re nt e x p e n d i t u re o f N4,842,974,600,640.

Godwin Emefiele, governor, Central Bank of Nigeria (CBN), announced this as part of the resolutions from the roundtable meeting held in Abuja on Wednesday.

Speaking at the “Going For Growth 2:0” dinner session, hosted by President Muhammadu Buhari in Abuja, Emefiele said, “Participants at the financial sector agreed

to create a SPV working with the Federal Government, and key development finance agencies.

“The well-structured SPV will be used to mobilise close to N1.2 trillion in funds from banks, pension funds and other financial institutions, to fund road, power, and port infrastructure.

“The money is targeted specifically to support funding for six key road projects and three seaport projects to be identified through a framework currently being worked out under the SPV, and will be ready for implementation by October 2020.

“When implemented the SPV will help to reduce the burden of government financing of infrastructure projects and enable the government focus on funding other priority areas.

“The SPV will also reduce the cost of transporting goods across the country for farm-

ers, SMEs and manufacturers.

More importantly, it will help improve our ability to attain double digit growth rates”.

The annual event had made recommendations last year that were useful in assisting the CBN design policy measures and which enabled the apex bank to generate about N1.9 trillion in credit to the real sector at low interest rates, between May and December 2019.

Other key recommendations at the 2020 event include the need to ensure Nigeria’s self-sufficiency in the production of key goods and services, going forward; how the country can improve broadband penetration considered critical in enabling Nigerians access the benefits that come with greater utilisation of technological applications, as well as the need to improve agriculture and manufacturing productivity.

Ogun royal father commends Julius Berger’s CSR efforts ...as company donates patrol vans, school buildings to communities

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ulius Berger Nigeria plc has received commendations for its corporate social responsibility (CSR) efforts.

The construction company received the commendation when a delegation of its Region West management, led by Alexander Bauer, regional manager, visited the Awujale of Ijebu land, Oba Sikiru Adetona, for the kickstart of the company’s CSR activities in Ijebu land.

The royal father said the company’s quality projects have continued to endear it to Nigerians across the country.

The commendation came just as Julius Berger donated two new Hilux security vans to communities in the Oba’s domain for security patrols by relevant agencies as well as school buildings to enhance and uplift the educational efforts and aspirations of some communities in the area.

“Your projects are sound and that makes Julius Berger to enjoy a lot of goodwill around here. Julius Berger has got a reputable name based on high quality and best international standard and practices that nobody has been able to beat; Julius Berger means integrity and excellence in every aspect of its works,” Oba Adetona said.

The royal father, whose 60th coronation anniversary comes up April 5, 2020, said Julius Berger is constructing the most important road in the country, the LagosShagamu highway.

“You are handling the most important road in Nigeria. Julius Berger have quality jobs that testify to your ability, you have goodwill,” he said.

In letters written by beneficiary schools to the management of Julius Berger Nigeria plc, the communities also expressed appreciation to the company for its CSR efforts.

“On behalf of the staff, students and old students of the school, I would like to use this avenue to register our appreciation for your contributions towards the development of education around this area especially in the school,” J. A. Akinola, principal of St. Brendan’s Grammar School, Ogbere-Ijebu, said in a letter.

“The construction of a block of four classrooms just completed by your Julius Berger for the school came at a time we needed it most. The quality of the work done is excellent. With this project, you have boosted our morale. You are noted for good works. By God’s grace you will continue to excel in all your activities,” he said.

L-R: Samuel Sogunro, rector, Lagos State Polytechnic; Obafemi Hamzat, deputy governor, Lagos State; Adeola Rotinwa; Babatunde Rotinwa, honorary fellowship LASPOTECH (FLSP); Babajide Sanwo-Olu, governor, and Tokunbo Wahab, special adviser to the governor on education, during the 27th Convocation and Award Ceremony of Lagos State Polytechnic at the Convocation Ground, Ikorodu Campus, Lagos, yesterday.

Nigeria’s consumption borrowing not healthy for the economy – Peter Obi MICHAEL ANI

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igeria’s increasing borrowing has been majorly for consumption purposes rather than infrastructural development, little wonder it has not translated into growing its economy, Peter Obi, a one-time governor of Anambra State, says.

Obi, who described the country’s ballooning debt profile as “reckless,” said Nigeria had nothing to show for all the funds it had been borrowing for years.

“All the funds that have been borrowed for long in the country have not impacted positively on the growth of Nigeria’s economy, meaning that they were reckless and intended for consumption,” Obi said on his official Twitter account.

Buoyed by declining rev-

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enues, Nigeria has increased its borrowing appetite to meet up with planned expenditure in its annual budget.

The government has grown public debt by as much as 117 percent to N26.2 trillion as at end September 2019, from N12.1 trillion in March 2015, according to data from Debt Management Office (DMO).

However, the rising debt has failed to show in economic growth as the country has expanded at an average 2 percent below its population.

President Muhammadu Buhari is seeking legislative approval to raise about $22.7 billion in loans from various sources, to fund no fewer than 39 infrastructural projects from power to roads.

While the loan request has got the nod of the Senate, the House of Representative

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on Wednesday suspended indefinitely the consideration for the external loan.

An additional loan of $22.79 billion would push Nigeria’s debt profile to a whooping N33.2 trillion, using an exchange rate of 307/$.

While reacting to Senate’s approval of the $22.7 billion loan, Obi noted he was never against borrowing, but borrowing recklessly for consumption purpose for any country was the issue.

According to Obi, no country borrows a quarter of its GDP without showing tangible investments or projects into which the borrowed funds would be deployed.

“If you must borrow, you must be able to prove the business case of the borrowing convincingly, otherwise, you are mortgaging the future,” he said. @Businessdayng

Obi, who was a Vice Presidential aspirant, under the opposition People’s democratic Party (PDP), compared Nigeria with other African countries like Kenya and Ghana saying “both countries are borrowing like us. But the difference is, in 2010, Ghana’s GDP was 32 billion, with percapita of $1320, in 2019 its GDP had grown to $64.5 billion, with per-capita of $2200”.

Borrowing could be one of an option for Africa’s largest economy to use in shoring up its reserve at the time when oil prices which account for a major source of revenue for the country is trading low at $33 per barrel, below the budget, due to the outbreak of the Coronavirus and worsened by a power tussle between two of the World’s largest producers of oil (Saudi Arabia and Russia).

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news

Trump’s US ban sets off panic buttons in cryptocurrency market FRANK ELEANYA

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he cryptocurrency market is seeing a massive sell-off order following the decision by the Donald Trump administration to impose a travel restriction on Europeans travelling to the United States of America.

Trump in a nationwide address on Wednesday, said the ban would not apply to the UK and would begin on Friday at midnight, March 13 and last for 30 days.

“The European Union failed to take the same precautions and restrict travel from China and other hot spots. As a result, a large number of new clusters in the United States were seeded by travellers from Europe,” he said.

The announcement has since sent ripples across the global economy including the cryptocurrency market.

The price of Bitcoin dropped by as much as N5,790 (about 20%) on Thursday at 12 noon, according to a chart from the Coindesk Index. It is the lowest since May 2019.

It was all red marks across the market, as prices of altcoins like Ethereum, XRP and Bitcoin Cash dropped.

Ether, the second-largest cryptocurrency by market

cap, suffered a record 33 percent or roughly $60. The cryptocurrency dropped from about $200 to $132. Ether volume fell to $253.7 million.

“The announcement that the US is banning all travel from Europe has led to losses across all the main altcoins, as the full impact of the coronavirus becomes clear,” Marcus Swanepoel, CEO of Luno, told BusinessDay via email.

The decline in the market isn’t the first time this year.

Since hitting $10,000 on February 19, the market has gone on a steady downward slide.

As of press time, prices have rebounded to $6,103.51.

Generally, the spread of coronavirus has wreaked havoc on economies across the world. US stocks plunged by 8.2 percent on Thursday while the Nigerian Naira depreciated further trading at N410 against the dollar for the first time in many years.

Gold, another safe-haven asset, was down more than 1% Thursday.

The World Health Organisation (WHO) declared the outbreak a pandemic as the virus claimed more than 4,600 lives on Thursday. Over 126,000 people are infected globally and about 68,000 victims have recovered according to John Hopkins University which is tracking the story.

Shema’s N5.7bn SURE-P fund trial: Witness contradicts self in court

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witness in the ongoing trial of a former governor, Ibrahim Shehu Shema, at a Federal High Court, Nasiru Salisu Ingawa, has made a contradictor y statement in his evidence before the court.

The former governor of Katsina State was charged before the Federal High Court in Katsina by EFCC on allegations of misappropriation of the sum of N5.7bn from SURE-P. He had since pleaded not guilty.

Earlier in his evidence before the court, Ingawa had alleged inflation of contracts sum by the defendant, but during crossexamination, he admitted that there was no evidence or proof to show that any contract was inflated or not executed.

He further said in his statement before the court that he did not at any time take money to the former governor during his tenure as the special adviser to the former governor on SURE-P. Du r i n g t h e c ro s s- e xamination of the witness, defendant counsel, Sebastine Tar Hon (SAN), asked, “From all the documents tendered as exhibits, there is nothing to show that any contract was inflated or not executed or any

money taken by you to the defendant.”

In his response, the witness said, “Yes, my lord, no document or evidence.”

When asked further if due process was followed in awarding of the contracts from the documents tendered to the court, the witness responded, “Yes, my lord, the documents show due process was followed.”

Sebastine Hon also a s k e d , “C o nt ra c t s w e re executed and items delivered to the store of SURE-P based on documents tendered as exhibits.”

Again, Nasiru Ingawa responded, “Yes, my lord!”

The witness, who said he was the chief accounting officer of SURE-P, also admitted that all the memo for the contracts awarded were authored by him and not the defendant.

The prosecution counsel, led by O. I. Uket, however, applied for the adjournment of the trial to allow re-examination of the witness after the defendant closed his cross-examination of the witness.

The trial judge, Justice Hadiza Rabiu Shagari, frowned at the application for adjournment, but eventually adjourned the case to April 23rd and 24th f o r re - e x a m i nat i o n a n d continuation of trial.

Wema Bank to mark IWD with staff, grant for women businesses James Kwen, Abuja

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n a bid to mark the 2020 International Women’s Day (IWD), Wema Bank is set to celebrate female staff and customers of the bank with a bank-wide event.

Tagg e d “G eneration Equality; Realizing A Woman’s Right,” the interactive session will draw from the IWD global theme ‘Each for Equal’ to discuss collective individualism as a notion in the drive for gender equality.

Inspired by the substantial role of women in the growth of its business, deliberations at the bank’s event will also address demands on equal pay, equal sharing of unpaid care and domestic work, an end to sexual harassment, all forms of violence against women and girls, healthcare services that respond to our needs, equal participation in politics and decision-making in all areas of life.

The session is scheduled to hold on Friday, March 13, 2020, at Wema Bank headquarters, 54 Marina Road, Lagos, and across the 146 branches of the bank nationwide. The session is also open to customers, especially members of the bank’s women-support community, SARA by Wema. The

FG, ASUU to reconcile outstanding issues as strike continues Innocent Odoh, Abuja

… meeting adjourned to next week

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to be concluded.

Minister finance, Zainab Ahmed; minister of state for education, Emeka Nwajiuba; minister of state for labour, Festus Keyamo, among others, were in attendance.

Ngige said, “I am pleased to inform you that we held very fulfilling discussions.

On the issues we discussed we used the Memorandum of Action (MOA) which we entered into in February 2019. We used it to look at issues that are outstanding, issues that have not been fully addressed. And both sides were satisfied that we made reasonable progress in addressing the few issues that

he Federal Government and the Academic Staff Union of Universities (ASUU) have had discussions to reconcile outstanding issues concerning the disputed Integrated Personnel Payroll Information System (IPPIS) in order to end the two-week warning strike embarked upon by the union on Monday.

Minister of labour and employment, Chris Ngige, made this known after a closed-door session with the university union on Thursday in Abuja, even as it appeared the strike would continue as outstanding issues were yet

have not been fully treated in that MOA. “Therefore we move to the next round of a new contentious issue, which is the issue bordering on the non-capturing of some ASUU members on the IPPIS platform, which resulted in withholding of salaries and allowances of most ASUU members and those who did not come under the platform and even some other university nonacademic staff members.

“ASUU had developed University Transparency and Accountability Solution (UTAS) and we have had some preliminary agreements on what is to be done

to accommodate the two systems.”

He advised ASUU to get back to consult their executive committee and all their members so that they could agree on the modus operandi of trying to couple the two systems, adding that discussions were continuing in that respect.

“So the meeting is adjourned till Monday or Tuesday next week pending on when ASUU is ready. “For us we have made progress. We thank the legislature for intervening earlier on this morning. Our meeting with them also helped us to smoothen some rough areas,” the minister said.

Enugu Airport to reopen before Easter Gift Wada, Abuja

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ederal G overnment has promised that the Akanu Ibiam International Airport Enugu, which was closed last August for rehabilitation work, will be reopened for use before Easter 2020. Hadi Sirika, minister of aviation, gave the commitment after an inspection visit to the airport on Thursday.

Sirika, in a statement sent

through James Odaudu, director, public affairs of the ministry, said the Federal Government recognised the importance of the airport to the whole of the South East region, and the hardship occasioned by the closure, but insisted that it was done in the interest of safety and comfort of air travellers from the region.

On the reported shortage of some materials needed by

the contractor, the Minister assured that the problem is being addressed, and would therefore not be an impediment to the completion of the project.

While commending the handlers of the project the minister promised that work on the new terminal building at the airport would soon resume in ernest, given the budgetary provision for it in the 2020 budget.

www.businessday.ng

Sirika said that the present administration met the terminal project at about 20% but had taken it to about 60% completion stage.

The minister was joined on the inspection visit by representatives of the Enugu state government and the South East governors forum, officials of the Ministry of Aviation, the Federal Airports Authority of Nigeria (FAAN) and consultants to the project.

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@Businessdayng

event will further promote the SARA by Wema community that has empowered over 10,000 women since its launch in March 2019, through financial literacy programmes.

According to Funmilayo Falola, head of brand and marketing, Wema Bank, “The event will champion the discourse that we are all responsible for our thoughts and actions. As a bank, we believe that we can actively choose to challenge stereotypes, fight bias, broaden perceptions, improve situations and celebrate women’s achievement.”

Beyond celebrating the IWD, the bank is partnering Afro-soul queen, Aramide to host Songversation with Aramide, a concert-style event that celebrates the achievement of women in Nigeria.

The partnership will also see the bank support three women-owned businesses with N100,000 each.

Last year, catering and food packaging business, Tasty Corridors, fashion and luxury style startups, Exotic Mee and Radiant Couture received a N100,000 grant which helped all three businesses to add up on equipment, while also providing them with global recognition and networking opportunities.

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news Sanusi sues DSS, AGF, 2 others, challenges...

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L-R: Alain Assounga, head, Nephrology unit, Nelson Mandela Medical School, South Africa; Mohamed NasrAllah from Cairo University; Sam Yenyi, state coordinator, WHO; Ibijoke Sowo-Olu, first lady, Lagos State; Gabriel Sowemimo, chairman of the occasion; Ebun Bamgboye, consultant physician/nephrologist, and Sola Aketi, representing director of nursing services, Lagos State Ministry of Health, at the World Kidney Day 2020 themed ‘Chronic kidney disease: stop the epidemic in Africa’ by Kidney Foundation for Africa, in Lagos, yesterday. Pic by Pius Okeosisi

Investors urge bold reforms as status quo seen...

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matter”.

“I was expecting to hear

what the plans are to calm the market and manage the naira sell-off we have seen and if there were plans for an economic stimulus,” the fund manager who did not want to be quoted said.

The roundtable tagged ‘Going for Growth 2.0’ was boycotted by the Doyin Salami-led Economic Advisory Council which was inaugurated by President Buhari in October last year.

Explaining the rationale behind its decision not to participate in the roundtable, the council noted with displeasure that roundtable would discuss virtually the same issues upon which the council had debated and forwarded its views to the government.

“There would be no good served for any of its members to participate,” the council said in a letter.

At the meeting, Godwin Emefiele, Central Bank governor, restated calls for economic diversification to boost Nigeria’s export and unlock opportunity for its teeming population.

“I’ve been hearing diversification of the economy since only God knows when – forever. It seems to be a cliche to the leaders with no concrete plans,” Femi Abolude, a retail investor reacting to the outcome of the roundtable, said.

Gbolahan Ologunro, an analyst at CSL Securities, said the lack of adequate clarity and guidance from both fiscal and monetary authorities would continue to spook investor interest.

“We would continue to see a weak investor sentiment and broad-based selloff in risky assets,” he said.

According to Gbolahan, the apex bank would have used the roundtable to tell investors what its exchange rate management policy would be like going forward.

The continued silence by Nigerian officials has left investors with a double whammy which has increased specula-

tive activity over fears of naira devaluation after global oil prices plunged this week and fundamental factors causing investor shift to dollar assets.

Omotola Abimbola, a macro & fixed income analyst at Lagos-based advisory firm, Chapel Hill Denham, said the roundtable failed to address the short-term pressure that the economy is currently facing while focusing more on the long-term growth.

“Lack of policy response to address the issues has led to overshooting of the exchange rate as currently witnessed in the black market,” he said.

Around the world, central banks and governments have announced stimulus for their economies, be it emergency rate cuts or higher government spending, to protect their economies.

While Nigeria sorts out a response, the financial market is in a tailspin.

There was a sell-off in Nigerian equities, the naira and Eurobonds for the fourth straight day this week, according to data tracked by BusinessDay. Big drops in the stocks of blue-chip companies from MTNN to Nigerian Breweries and tier-1 lenders further dampened the market performance. Consequently, the AllShare Index, the gauge used to measure the performance on the exchange, plummeted by 3.72 percent.

The banking index tanked 8.51 percent, oil and gas index shed 0.82 percent, consumer goods declined 2.74 percent, a clear indication of investors’ lack of confidence in the market. Stocks are now down 13 percent this week, the biggest weekly loss in four years.

The country’s debt market is also not shielded from the market turmoil as Nigeria’s Eurobonds due 2047 were trading at a yield of 10 percent, the most on record.

The currency is not faring any better.

The naira weakened to N374 per dollar at the Investors and Exporters window Thursday, the weakest it has ever traded since inception www.businessday.ng

of the window in April 2017, as foreign investors rush for Nigeria’s exit door.

The naira also weakened at the black market Thursday, trading at N410 per dollar from N380 a day before and is now down 13 percent this week.

Banks are now currently offering offshore investors dollar currency between N410 and N415 with one-year nondeliverable forwards (NDF) trading at N480.

Meanwhile, the CBN in a statement released Thursday night said it noted with displeasure rumours and speculative activities of unscrupulous players in the foreign exchange market, borne out of the impression that the CBN is on the verge of devaluing the naira, and triggering panic in the FX market.

“These rumours are false, unwarranted and calculated to serve their dubious and selfish ends,” the CBN said in a statement signed by Isaac Okorafor, its director of corporate communications, .

“The size of Nigeria’s foreign exchange reserves remains robust and comfortable, given the current realities of Nigeria’s genuine and legitimate FX demand. As such, the CBN remains able and willing to meet all genuine demand for foreign exchange for legitimate transactions.”

The CBN said it had begun a robust and coordinated investigation in collaboration with the Nigerian Financial Intelligence Unit (NFIU) and related agencies to uncover the unscrupulous persons and FX dealers who are creating this panic, and the full weight of rules and regulations will be meted out to them, including, but not limited to, being charged for economic sabotage.

The statement noted that the CBN had for nearly four years, successfully maintained relative stability in all segments of the foreign exchange market, which has enabled investors, households and other economic agents to plan and to conduct their genuine foreign exchange transactions with relative ease.

It also touted the introduction of several foreign

exchange management measures side-by-side with complementary interventions in food production and manufacturing, which the CBN said has drastically reduced food importation, which hitherto constituted a large chunk of the pressure on the foreign exchange market.

The CBN said it was also working with the fiscal authorities to properly and accurately dimension the immediate and expected impacts of the Coronavirus in order to respond comprehensively and at the same time, ensure a sound and stable financial system conducive for job creation and inclusive growth.

“In light of current circumstances and macroeconomic fundamentals, the CBN has not devalued the Naira. Consequently, the CBN will invoke the full weight of applicable sanctions on any persons and authorized dealers found to be involved in such disruptive and speculative market behaviour,” the statement said.

With no clear policy statement from the Nigerian government to calm the nerves of investors in the wake of slumping global oil price and surge in the number of coronavirus cases which has further dashed the hope that the outbreak has been contained, the sell-off may be far from over, analysts say.

While governments in major economies around the world are coming up with a coherent policy statement to douse the tension in the market, the Nigerian government has continued to keep mute, leaving investors in the dark.

The Bank of England announced a slash in interest rates to a record low and launched other emergency measures as part of a coordinated response to limit the double whammy effect of crash in crude oil and coronavirus.

Also, the United States Federal Reserve has lowered interest rates in a bid to support economies. European Central Bank and the Bank of Japan have already rolled out plans to mitigate the impact by cutting rates even into negative territories.

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dethroned on Monday. The government accused him of what it termed “insubordination”, disrespect to authorities of Kano State government, disloyalty and absence from meetings without cogent reasons. He is currently being detained in an apartment in Awe town, where he is expected to spend the rest of his life.

In the suit with no FHC/ ABJ/CS/357/2020, filed by his team of lawyers led by Lateef Fagbemi (SAN), on Thursday, the former Emir of Kano is asking the court to declare his banishment to Nasarawa State as illegal, unlawful, unconstitutional, null and void, arguing that it is a violation of his fundamental human rights.

In the suit brought pursuant to section 34, 35, 40, 41 and 46 of the 1999 Constitution and Order 4, Rule 4 of the Federal High Court, the former Emir, who is not challenging his dethronement, wants the court to restore his right to human dignity, personal liberty, freedom of association and movement in Nigeria.

He prayed for an interim order releasing him “from the detention and or confinement of the respondents and restoring the applicant’s rights to human dignity, personal liberty, freedom of association and movement in Nigeria, (apart from Kano State) pending the hearing and determination of the applicant’s originating summons”.

A date is yet to be fixed for hearing of the case.

Senate moves to end president, governors...

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ence to the period during which the person holding such office is required to perform the functions of the office.”

On the contrary, the Bill proposed by Omo-Agege states, “Section 308 of the Principal Act is altered by (a) Substituting for subsection (2), a new subsection ‘(2)’ – (2) The provisions of subsection (1) of this section shall not apply – (a) to civil proceedings against a person to whom this section applies in his official capacity or to civil or criminal proceedings in which such a person is only a nominal party; and (b) to persons who hold the office of Vice-President, Governor or Deputy Governor, if it is determined either by the Economic Financial Crimes Commission, Independent Corrupt Practices Commission, Nigerian Police and State Security Service through a collaborative investigation that the said person is indicted by a court of competent jurisdiction for: (i) Financial misappropriation of funds belonging to the Federal, State or Local Government; or (ii) Sponsoring of thugs to perpetrate violence that cause injury or death of political opponent, a member of his family, agent or personal representative.”

The Senate on Thursday also voted for a change in academic qualification of those seeking elective positions of president and governor through a constitution amendment bill sponsored by Istifanus Gyang (Plateau North). The bill passed second reading.

The bill seeks to alter Section 131 (d) of the constitution, which deals with minimum requirements for anyone running for the office of the president.

Section 131 (d) of the @Businessdayng

1999 Constitution (as amended) stipulates that a person seeking the office of the president must have “been educated up to at least School Certificate level or its equivalent”, but according to the bill, “Section 131 (d) is now rephrased to read: ‘He has been educated up to at least HND level or its equivalent’.”

It also seeks to alter Section 65 (2) (a) of the constitution which deals with the qualifications for intending members of the National Assembly.

The existing law the bill seeks to amend reads: “A person shall be qualified for election under subsection (1) of this section if he has been educated up to at least School Certificate level or its equivalent.”

The bill, however, notes that Section 65 (2) (a) should now be rephrased to read “if he has been educated to at least National Diploma level or its equivalent”.

For House of Assembly, the bill seeks alteration of Section 106 (c) of the 1999 Constitution (as amended) to read that anyone seeking election into the House of Assembly must have been “educated up to National Diploma level or its equivalent”, rather than “up to at least the School Certificate level or its equivalent” as stipulated in the principal section.

The bill further seeks the alteration of Section 177 (d) of the Constitution.

Currently, Section 177 (d) (as amended) provides that any person seeking the office of governor must have “been educated up to at least School Certificate level or its equivalent”. The bill, however, seeks that Section 177 (d) be rephrased to read, “If he has been educated up to at least Higher National Diploma Level or its equivalent”.

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Sports Football matches now played behind closed doors as coronavirus spreads Anthony Nlebem

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he pace of disruption caused by the coronavirus (Covid-19) has accelerated across the sporting world as more football matches were moved behind closed doors as part of actions taken to slow the spread of the virus.

Nottingham Forest and Olympiakos owner, Evangelos Marinakis, became the first prominent name in English football to test positive for Covid-19 and fresh questions were raised about football games and the current season.

Liverpool manager Jürgen Klopp and Manchester City boss Pep Guardiola spoke of their reluctance to play matches in empty stadiums.

Wednesday’s Premier League game between Manchester City and Arsenal at the Etihad Stadium was postponed “as a precautionary measure”. Arsenal confirmed that an unspecified number of unnamed players met Marinakis after their Europa League tie on 27 February and that those players are now in selfisolation.

In other developments on Tuesday: • Chelsea’s Champions League match with Bayern Munich is to be played behind closed doors.

• The Europa League ties

between Olympiakos and Wolves, LASK Linz v Manchester United and Bayer Leverkusen v Rangers will also take place without fans.

• Ticket sales have been suspended for Northern Ireland’s Euro 2020 play‑off game against Bosnia.

• England’s friendly international with Italy could yet be postponed before the end of this week.

French authorities said upcoming matches in Ligue 1 would be played behind closed doors. In Spain the same decision prompted the players’ union to call for matches to be suspended instead. The German FA took the decision to cancel an international friendly with Italy. In Italy, where a suspension of competition is already in place, officials have been asked to come up

with ways to finish the Serie A season – including deciding the title in a play‑off.

In England, a packed Anfield will host a Champions League tie against Atlético Madrid on Wednesday night and this weekend’s Premier League fixtures are set to go ahead with no alteration.

English football’s approach, directed by government advice and described by some in the game as “keep calm and carry on”, is looking increasingly out of step with that of other countries. There are increasing fears for the viability of matches and, by consequence, the entire league season.

“There are things that are more important than football.

I think we realise that again in this moment,” the Liverpool manager, Klopp, said in his pre‑Atlético press conference.

“What we need is time to find

a solution for that. How can we win that time? By avoiding different situations.

“I don’t know enough about how much it would help with [closing off] football games. The problem with football games is if you are not in the stadiums then you go to watch it closely together in rooms and I’m not sure which is better in this case, to be honest. I mean that.”

Guardiola echoed the sentiments of his rival. “You have to ask whether it is worth playing football without the spectators,” the Manchester City manager said. “It doesn’t make any sense to play professional football without the people, because they are the ones we do it for, but obviously we are going to follow the instructions we are given.”

The announcement by Marinakis that the virus had “visited” him, meanwhile, has sent shockwaves through English football. The Forest owner was in Nottingham to watch Forest’s defeat by Millwall last Friday night. He met the Forest squad in the dressing room and was photographed with supporters outside the ground after the match.

The sheer breadth of contacts made by just one infected individual has raised levels of concern. One executive at a Premier League club told the Guardian: “There is a growing feeling within English football that the season will have to be suspended.”

Nigeria Pitch Awards names nominees for 7th edition Anthony Nlebem

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rganisers of the prestigious Nigeria Pitch Awards are set to name the nominees for the 7th edition of the awards at a press conference scheduled to take place on Tuesday 17th March 2020 at the Ibis Hotel, Ikeja in Lagos.

The President of the Nigeria Pitch Awards, Shina Philips made this known in a statement released to the press in Lagos. He stated that after the votes are collated by SIAO Partners; it was customary to have a gathering of sports editors and journalists where the names of those shortlisted for the awards would be released.

“Voting for the 7th edition of the Nigeria Pitch Awards was done by over 100 Sports Editors spread across the 36 states of Nigeria and the Federal Capital Territory, Abuja. All votes cast were collated and verified by an independent body before the list of nominees is announced

at the press conference, ” Philips said.

Speaking further, he said; “The voting process for the 7th edition began on 2nd January 2020 and continued to the 23rd February 2020. We are grateful to all our voters across Nigeria who voted to ensure that the Nigeria Pitch Awards will continue to honour Nigeria’s best in football and encourage excellence in sports.”

Since its inaugural edition in 2013, the Nigeria Pitch Awards has continued to set a high standard for measuring individual and team achievements in football in Nigeria. The scientific and impeccable voting process adopted by organizers meets the standard practice adopted by the best award systems in the world. This is why the awards have been hailed as credible and transparent.

The pre- and post- award performances of award winners have become benchmarks for judging talents, industry and performance among Nigerian footballers and officials.

Odion Ighalo, Manchester United and Former Super Eagles forward, receiving his 2015 King of the Pitch Awards from Ayiri Emami, while Shehu Dikko, NFF 2nd Vice President watches on.

Nigerian boxers headline GOtv Boxing Night 21 Anthony Nlebem

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wo World Boxing Federation (WBF) bouts featuring Nigeria’s Rilwan “Real One” Oladosu and Rilwan “Baby Face” Babatunde respectively and an international challenge contest featuring Taiwo “Esepo” Agbaje will headline GOtv Boxing Night 21.

The event, billed for 12 April at the Indoor Sports of the National Stadium in Lagos, will stage six fights across weight divisions. The biggest of these is the WBF International title, which will see Oladosu, the West African Boxing Union (WABU) lightweight champion, fight Ghana’s Emmanuel Quartey.

Next to it is the WBF Africa title, which will feature Babatunde, the WABU welterweight champion, and Tanzania’s Mkwalekwa Salehe.

The event will also see the explosive Agbaje, national featherweight champion,

test his mettle against Moses Dodzi of Ghana in an international challenge duel.

Also billed for title action is Sadiq “Happy Boy” Adeleke, who will face Tunde Olojede

L-R: Jenkins Alumina, CEO Flykite Productions; Jennifer Ukoh, public relations manager, GOtv; Dr. Oladipo Rafiu, president NBBofC and Remi Aboderin, secretary NBBofC during the GOtv Boxing Night 21 Press Conference held in Lagos. www.businessday.ng

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in the national bantamweight title clash. The bout line-up is completed by two non-title duels in the light heavyweight lightweight categories. The former will Daniel “Big Shark” Emeka up against Segun “Success” Olanrewaju, while the former pairs GOtv Boxing NextGen Search graduates, Alaba “Elyblow” Omotola with Lateef Akintola.

Speaking at the event, Jenkins Alumona, Managing Director of Flykite Promotions, noted that while the country celebrates international boxers of Nigerian descent, it is equally important to provide Nigerian boxers the opportunity to also become world champions.

He stated he was excited by how the event has over the years positioned Nigerian boxers to have a shot at world titles.

“We at Flykite are particularly excited that someone that just came to the National @Businessdayng

Stadium to join the GOtv Boxing Next Gen Search will, after a few years, be fighting for an African title, and we think that this is a thing of pride for us, our lead sponsors, GOtv, the NBB of C and Nigerian boxing in general,” Alumona said.

Jennifer Ukoh, GOtv Public Relations Manager, stated that the sponsors remain committed to the sport in Nigeria, as evidenced by its expansion through the introduction of GOtv Boxing Mini and GOtv Boxing NextGen Search.

“We at GOtv and MultiChoice are delighted to be part of this event. This is the 21st edition and this is a proud moment for us.

There has been a tremendous progress since the first edition and we have expanded our activities for GOtv Boxing Night to include the GOtv Boxing Night Mini and the GOtv Boxing Night NextGen Search,” Ukoh said.

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BUSINESS DAY

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Friday 13 March 2020

BUSINESS DAY

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Friday 13 March 2020

BUSINESS DAY

POLITICS & POLICY

We are still awaiting ‘Amotekun’ bill from House of Assembly - LASG

Oyo’ll be known for good governance throughout my tenure - Makinde

Iniobong Iwok

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he Lagos State government has said it was still awaiting the ‘Amotekun’ bill passed by the state House of Assembly last week.

The Lagos State Neighbourhood Safety Corps Amendment Bill 2020 was last Tuesday passed into law by the state House of Assembly.

The bill, which scaled through the third reading on the floor of the Assembly, empowered the state government to establish the ‘Amotekun’ security outfit in the state.

Speaker of the House, Mudashiru Obasa after some corrections were made in the bill called for its passage through a voice vote.

Commissioner of Information and Strategy in the state, Gbenga Omotosho stated this in an interview with BusinessDay, Thursday when contacted on the likely date when the state Governor Babajide SanwoOlu would sign the bill into

law.

Omotosho said he did not anticipate any problem or delay in signing of the bill into law by the state, if there are no new clauses that was inserted into the bill.

He said the administration was aware of the expectation of the people of the state on the speedy take-off of the ‘Amotekun’ security outfit and would work to

fulfil their expectation.

“We are still expecting the bill from the state House of Assembly as of Monday when I checked the bill has not been send, but I don’t know now may be I would check again, it has not come.

“But I can assure you there would be no problem on the signing of the bill into law by the Governor when

there is no new insertion. So we understand the expectation of Lagosian and we are fulfilling them,” Omotosho said.

Recall that the bill was passed by all the states House of Assemblies in the region last Tuesday; however, the Oyo and Ondo states governors this week signed the ‘Amotekun’ bill into law.

Coronavirus: Time for prompt, patriotic action to protect Nigerians is now - Atiku

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he Federal Government has been urged to take every reasonable step to protect the citizens of Nigeria, by temporarily suspending flights to and from high-risk coronavirus countries, until Nigeria builds up its ability to contain the plague.

The advice was given by Atiku Abubakar, a former vice president, in a statement he personally signed, a copy of which was sent to BusinessDay. “Two weeks ago, I had cause to urge the Federal Government to restrict flights from nations with a high prevalence of the coronavirus plague. This is in line with global best practices,” Atiku said.

According to him, “This is a patriotic call on the Federal Government of Nigeria to take every reasonable step to protect the citizens of Nigeria, by temporarily suspending flights to and

from such countries, until we build up our ability to contain the coronavirus.

Our borders should, however, be open to Nigerian citizens, regardless of their status.”

Atiku, who was a presidential candidate of People’s Democratic Party (PDP) in the 2019 general election, further said: “Despite the commendable efforts of our patriotic health officials, it

Atiku Abubakar www.businessday.ng

will be recalled that to date, we are yet to identify and or locate multiple passengers who flew in with the index case from Italy. They could be anywhere.

“We must, therefore, err on the side of caution. We cannot afford to broaden the possibility of future infections.”

He noted that the economic impact of a widespread infestation of the

virus in Nigeria “will be catastrophic and will affect our national security and status as Africa’s leading economy.”

According to him, “The ravages of this scourge, which has officially been classified as a global pandemic, must not be allowed to test our already fragile economy.

“I urge that every political and any other difference be put aside. On my part, I am first a Nigerian, and I am willing and ready to work with anybody, at anytime, at whatever cost, to ensure the safety of this country, which is the only country we have to call our home, and her peoples.”

Calling for urgent action, Atiku said: “We must act now. We must put Nigeria and her citizens first. We must ensure that our national policy is deliberately tailored to protect our most excellent national resource, the great Nigerian people.”

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…says private sector-led economy will save state REMI FEYISIPO, Ibadan

overnor Seyi Makinde has declared that the pacesetter state would be known for good governance all through his tenure, stressing that his administration was bent on delivering good governance to the people of the state.

Makinde also maintained that as long as he remained in the saddle as the governor of the state, the state would continue to be renowned across the country and the world for good governance and excellent service delivery to the people.

Addressing members of his party, the People’s Democratic Party (PDP) during a stakeholders’ meeting at its state secretariat, Molete, Ibadan, he stated that those who underrate him on governance would be silenced by the records of good governance during his administration.

The meeting had in attendance the Deputy Governor of the state, Rauf Olaniyan; the Chief of Staff to the Governor, Bisi Ilaka; Deputy Chief of Staff, Abdulmojeed Mogbonjubola; Special Adviser on Strategy and Political Matters, Babatunde Oduyoye; members of the state working committee of the PDP led by the state chairman, Kunmi Mustapha; notable leaders and elders of the party from across the five zones of the state and many others.

The governor, who dispelled criticisms by some opposition elements who claimed that he does not have a good understanding of governance, noted that the opposition had made similar claims that he didn’t understand politics before he went ahead to defeat them at the March 9, 2019 poll.

A statement signed by his Chief Press Secretary, Taiwo Adisa, the governor said: “They may insult me that I don’t know anything about governance. They have also said I don’t know politics, yet we defeated them. I am sure that when we are done with this administration, the people of Oyo State will not want to see them again.

“Don’t be afraid. Our leaders said that expectations are very high in the society and they have asked how we want to meet up with the expectations. It happened to me as private businessman; I started my company without having money and now I am known all over the world. I am sure that by the time we are done, Oyo State would be known all over Nigeria and all over the world for good @Businessdayng

governance.”

Makinde had also used the occasion to restate his commitment to agreements made with PDP members and the different political parties who worked for his victory, stating that there were abounding opportunities for everyone to be benefit from government.

He said: “After we were elected, this is the first time that all of us will come together to witness a day like this and it is quite colorful and meaningful. I appreciate you all for your efforts on the success of today’s meeting.

“I have heard some of the challenges you raised from various zones of the state. As PDP, we are meant to take the lion share of the appointments. I can tell you that the appointments that we have made are not up to half of what we are supposed to make. So, there are still many appointments to make. Let me also make it known to us that it is not only through appointments that one can benefit from government. There are many opportunities on ground that you can leverage on through your closeness to this government.

“Truth is, government cannot employ a lot of people. Those who are not with PDP today can later join us if we deliver good governance to the people. If they are truly from Oyo State, we cannot truncate their careers because of political inclination.

What is not enough now will be more than enough soon.

At least, we have achieved something. We should now be concerned about some steps we need to take to enjoy this government. Don’t let us fight ourselves. At this time, we need to embrace unity of purpose.”

The governor stressed that his administration has a lot of programmes on the ground, particularly in the area of human capacity development and youth empowerment, noting that the government is toeing the path of a private sector-led economy, because it will be beneficial to the state.

“I must confess to you that the government has a lot of programmes on the ground, particularly for women and the youth. Private sector-led economy is what we know would be beneficial to us in Oyo State. I am saying this because we don’t have to wait for those in government to be dishing out money to us. Those who did that yesterday are not living well today. Some of them are now wearing rags about. So, this means that it is not a sustainable approach.

Friday 13 March 2020

BUSINESS DAY

Live @ The Exchanges Market Statistics as at Thursday 12 March 2020

Top Gainers/Losers as at Thursday 12 March 2020 LOSERS

GAINERS Company

Company

Opening

Closing

Change

N103.5

N93.2

-10.3

OKOMUOIL

N61.4

N55.3

-6.1

PRESCO

N44.9

N40.45

-4.45

N33

N29.7

-3.3

N22.4

N20.2

-2.2

Opening

Closing

Change

STANBIC

N28.35

N29.3

0.95

MTNN

SKYAVN

N2.34

N2.57

0.23

N2.1

N2.31

0.21

MOBIL

N146.5

N146.5

0

NB

OMATEK

N0.37

N0.37

0

JBERGER

CAVERTON

43

ASI (Points)

22,695.88

DEALS (Numbers) VOLUME (Numbers)

5,501.00 1,058,914,902.00

VALUE (N billion) MARKET CAP (N Trn)

9.806

Global market indicators FTSE 100 Index 5,285.77GBP -590.75-10.05%

Nikkei 225 18,559.63JPY -856.43-4.41%

S&P 500 Index 2,521.45USD -219.93-8.02%

Deutsche Boerse AG German Stock Index DAX 9,173.45EUR -1,265.23-12.12%

Generic 1st ‘DM’ Future 21,253.00USD -2,188.00-9.33%

Shanghai Stock Exchange Composite Index 2,923.49CNY -45.03-1.52%

11.827

Nigeria’s listed stocks shed N1.87trn in four trading days Stories by Iheanyi Nwachukwu

A

fter Wednesday’s bearish trading session on the Nigerian Stock Exchange (NSE), equities value depleted further by N457billion. The local equities market has been volatile lately in the face of uncertainties around global crude oil prices and the Coronavirus (covid-19).

The stock market had opened this week with equities valued at N13.695 trillion but it decreased to N11.827trillion at the sound of the closing gong 2:30pm.

Also, speculations around the possible devaluation of the local currency continue to make Niger ia stocks

unappealing to investors.

A f t e r a b r i e f re s p i t e following reports of central bank economic stimuli in the United States and the UK, crude oil slumped once again on Wednesday after President Donald Trump instituted a 30-day travel ban on most European countries because of the coronavirus pandemic.

At the time of writing Brent crude was trading down by more than 8 percent at $32.71 a barrel, with West Texas Intermediate at $30.27 a barrel, also down by more than 8 percent.

The Nigerian Stock Exchange (NSE) All Share Index (ASI) decreased by 3.72percent on Wednesday March 12.

The market has decreased by 13.64percent this week; 13.43 percent this month and

Bola Onadele. Koko, chief executive officer, FMDQ Group flanked by Kaodi Ugoji, group chief operating officer, FMDQ Group on the left; Ayodele Onawunmi, Ag. managing director, FMDQ Clear Limited on the far left and Tumi Sekoni, managing director, FMDQ Securities Exchange Limited on the right during the FMDQ “Ring the Bell for Gender Equality” Ceremony.

15.45percent this year. The All Share Index decreased from 23, 572.75points on Tuesday

to 22,695.88 points. The Index had opened this week at a high 26,279.61 points.

Securities dealers allay investors’ fears on Covid-19

A

s investors continue to keep a close eye on the ongoing volatility on the Nigerian stock market following the global effects of coronavirus (Covid-19), Association of Securities Dealing Houses of Nigeria (ASHON) has assured the investing public that the market would soon bounce back.

Although ASHON acknowledged the high level of downswing on the market in the last couple of days, it stated that fundamentals of the quoted companies remained strong.

Responding to media enquiries, ASHON’s Chairman, Oyinyechukwu Ezeagu explained that Nigeria’s stock market remained part of the global exchanges and as such any development in the global market would impact on its operations.

“The effect of the coronavirus is gradually affecting trading all over the world and whatever happens elsewhere reflects in our market. The centre of it all is China and being a major world power both in productive and consumption capacities, any ill

wind affecting China would naturally cause a big sneezing to the rest of world. Investors should not panic. The share prices will bounce back. The companies’ fundamentals remain strong. Many investors are taking advantage of the bearish run to beef up their portfolios”, said Ezeagu.

Commenting on why the market had in the early part of the first quarter enjoyed rally only to be moderated by prolonged bearish trend, Ezeagu said : “There were a lot of positive policy pronouncement which influenced investors’ perception, hence the rally.

These are attributable to the policy of the Central Bank of Nigeria (CBN ) on Open Market Operation (OMO) Bills, the new national budget cycle , the expectations of members on the outcome of the demutualisation of The Nigerian Stock Exchange (NSE) and generally the traditional optimism following a new year which was our own January effect.

“The sector of the economy that has been so resilient has been agriculture which has always been part of our daily lives in which we have www.businessday.ng

a long value chain and levels of participation. These offer a wide range of opportunities for medium to large scale enterprises.”

Ezeagu spoke on the new development on demutualisation project saying the scheme‘s document has a timetable attached to it. According to him. as the Court Ordered Meeting and the Extraordinary General Meeting had been successfully held, there would be handling of other documentations with the Corporate Affairs Commission.

“ASHON has contributed immensely to the discussion and the actualization of the demutualization project in terms of collaborating with the NSE and in protecting the interest of her members.

Specifically, we were involved in the joint public hearing of the National Assembly for a bill for the demutualization of the Nigerian Stock Exchange, the review of members’ data base, identification and categorization of members of the Exchange, determination of closure date of members’ register and agreement of sharing ratio between and

within the members of the NSE. “Furthermore, I, as the Chairman of ASHON was given the singular privilege and honour to propose the motion at the Court -Ordered Meeting to approve the resolution for the demutualization of the Nigerian Stock Exchange on the 3rd of March 2020 at the Civic Centre Ozumba Mbadiwe Road, Victoria Island, Lagos while the motion was seconded by Aliko Mohammed.

“We are currently basking in the euphoria of the benefits of demutualisation but we are not unmindful of the challenges which a demutualised NSE will pose by the expansion in what the Exchange can do and the responsibilities of the change of status from being members to shareholders. Our members need to smell the coffee and brace up to these challenges.

We need to encourage our members to live up to the expectations of a demutualised NSE, they should be abreast with their roles as shareholders and move in tandem with the goals of the Nigerian Exchange Group Plc.”

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On Wednesday, MTNN led the losers table after its share price decreased most

from N103.5 to N93.2, losing N10.3 or 9.95percent, followed

by Okomu Oil Palm which decreased from N61.4 to N55.3, after losing N6.1 or 9.93percent.

Stanbic IBTC shares rallied most from N28.35 to N29.3, adding 95kobo or 3.35percent.

Zenith, UBA, GTBank, FBN Holdings and Wapic were actively traded stocks on the NSE. In 5,501 deals, investors exchanged 1,058,914,902 units valued at N9.806billion.

“Having lost in all of the four trading sessions so far this week, we expect the bearish performance to extend into Friday session with the week-to-date (WtD) performance expected to come in significantly lower,” according to Lagos-based research analysts at Vetiva Securities.

Union Bank celebrates International Women Day, unveils alpher mentorship programme

N

igeria Union Bank recently marked International Women’s Day, reaffirming itscommitment to women empowerment with the launch of the Alpher MentorshipProgramme. The Mentorship Programme aligns firmly with the global IWD 2020 theme – Each forEqual, a call for individuals to join the push for gender parity across the world.

TheMentorship scheme will provide a platform for young women to be mentored for a year bysuccessful career women within Union Bank.

Speaking concerning the IWD celebrations and the launch of the Alpher MentorshipProgramme, the Head of Retail Banking and Digital, Lola Cardoso said: “As we join the world to celebrate International Women’s Day, we are especially proudto unveil the Alpher Mentorship Programme, an initiative which will provide youngwomen with the support they require to thrive. Through our Alpher proposition, we willcontinue to support and enable success for women of all backgrounds.”

A key part of the event line up was the%one-woman show @Businessdayng

Naked, by the award-winningactor, Kemi ‘Lala’ Akindoju.

The play shines the spotlight on the highs, lows, achievementsand failures that women are faced with as they strive to forge ahead in life.

The annual IWD celebrations at Union Bank also coincide with the anniversary of itsWomen Empowerment Hub (Wehub) - the Bank’s initiative established in 2016 as aplatform to motivate, connect and provide support to its women.

At the IWD Celebrations last year, the Bank awarded 40 scholarships to womenentrepreneurs to build their capacity through the Enterprise & Leadership Program (ELP) organised by China Europe International Business School (CEIBS) in partnership withLeading Ladies Africa.

Union Bank remains committed to women empowerment. Last year, the Bank establishedan innovation hub for women from low-income communities in partnership with MamaMoniEmpowerment Foundation. The first set of 60 women recently graduated from the scheme,empowered with life skills to establish and run their own businesses.

44

Friday 13 March 2020

BUSINESS DAY

Markets + Finance

‘Providing proprietary research, commentary, analysis and financial news coverage unmatched in today’s market. Published weekly, Markets & Finance provides all the key intelligence you need.’

Data revenue growth spurs MTN Nigeria to growth as profit surge BALA AUGIE

I

shows active data was up 6.5 million or 34.75 percent to 25.20 million as against 18.40 million the previous year while data revenue was up 42.40 percent in the period under review; data contributed 18.80 percent to service revenue, Total operating expenses increased by 4.41 percent to N408.50 billion as at December 2019, which is lower than the January inflation rate of 12.13 percent.

The reduction in expenses means the company is making progress in its cost progress initiatives and reduction in non-recurring.

A breakdown of cost structure shows direct network operating cost fell by 20.78 percent to N242.01 billion in December 2019 from N305.52 billion the previous year.

MTN Nigeria controls its costs efficiently and run its operations effectively as operating profit spiked by 48.54 percent to N290.29 billion in the period under review from N266.11 billion the previous year.

Profit before tax increased by 31.06 percent to N202.11 billion in December 2019 from N145.68 billion the previous year while net

income was up 38.73 percrnt to N201.11 billion as against N145.68 billion the previous year.

Cost curtailment buoy profit margins The company has generated more operating cash from Naira of revenue earned as earnings before interest, taxation, depreciation and deprecition (EBITDA) margin increased to 44.80 percent in the period under review from 41.80 percent the previous year.

EBIT margins otherwise known as operating profit

MTN Nigeria has turned Naira invested in sales into higher profit as net margins increased to 17.27 percent in the period under review from 14.02 percent the previous year.

Pretax profit margin followed the same growth trajectory as it moved to 24.80 percent in the period under review from 21.30 percent the previous year.

The telecoms giant has

figure that is 32.15 percent of the country’s population of 200 million.

According to statistics released recently by telecoms industry regulator, the Nigerian Communication Commission (NCC), MTN maintained the position of the largest Mobile Network Operator (MNO) with a subscriber number of 70.7 million, followed by Globacom with a subscriber number of 51.8 million, while Airtel maintained its position as the third largest MNOs in the country, with a subscriber number of 49.9 million, followed by 9mobile, which is place the fourth largest MNOs in the country with a subscriber number of 13.2 million. Smile Communications was ranked the fifth

MTN Nigeria has invested as much as N4.55 trillion ($14.67 billion) in fixed assets and facilities across Nigeria till date.

Over the next three years, the telecoms giant plans to invest N600 billion on its network. MTN Nigeria said the investment will enable it to accelerate it 4g network, deepen population coverage and support Federal Government broadband initiatives.

MTN Nigeria’s mobile subscribers moved by 6.10 million to 64.30 million, a

largest telecoms operator, with a subscriber number of 170,726, followed by 21 Century Technologies as the sixth largest telecoms operator with a subscriber number of 96,234, while ntel comes next to 21st Century as seventh largest telecoms operator with a subscriber number of 3,595.

According to the latest data from the commission, mobile voice subscription across networks moved up slightly from 184.7 million in December 2019, to 185.74 million in January 2020.

‘

MTN Nigeria controls its costs efficiently and run its operations effectively as operating profit spiked by 48.54 percent to N290.29 billion in the period

‘

nvestors looking for stocks to buy amid the coronavirus outbreak ravaging economies across the globe are advised to invest in MTN Nigeria.

The largest telecommunication company in Africa’s largest economy has been adding impetus to shareholders value since it listed on the Nigerian Stock Exchange last year to become the second largest company by market value.

While other big companies are capitulating to the vagaries of macroeconomic environment as they are finding it difficult to magnify earnings, MTN Nigeria has been recording double digit growth in service, voice, and data revenue.

The telecommunications giant is taking advantage of the country’s growing young population that crave for data plan as it continues to add millions of subscribers to its network.

MTN Nigeria has an excellent cost control mechanism as operating expenses growth are below the current rate, which also helped spur profit margins.

Double digit growth in revenue validates investment in 4G For the year ended December 2019 MTN Nigeria’s revenue increased by 12.62 percent to N1.16 trillion from N1.04 trillion the previous year.

A breakdown of the sales

effectively converted sales into cash as operating cash flow increased to 51.67 percent in the period under review from 5642.10 percent the previous year.

Maintains position as the largest Mobile Network Operators With an N316.16 billion free cash-flow, the company has the financial strength to embark on future expansion plans, pay dividend to shareholders and settle its obligations.

It has a capital expenditure spending of N208.30 billion as at December 2019, as it continues to invest in projects across the country.

For a period spanning 19 years since the first commercial rollout of its telecoms services in Nigeria in 2001,

margin moved to 33.80 percent in the period under review as against 25.61 percent as at December 2018.

BD MARKETS + FINANCE Analysts: BALA AUGIE www.businessday.ng

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@Businessdayng

45

Friday 13 March 2020

BUSINESS DAY

FT

FINANCIAL TIMES

World Business Newspaper

Donald Trump’s troubling coronavirus address

President’s travel ban will not calm markets or address the threat facing America Edward Luce

O

n Wednesday night the global pandemic met US nationalism.

It will not take long to see which comes off best. As Donald Trump was speaking, the Dow futures market nosedived. His Europe travel ban came just a few hours after the US stock market entered bear territory — a fall of 20 per cent or more — for the first time since the global financial crisis. It also followed the World Health Organization’s declaration of a global pandemic. Mr Trump’s address was meant to calm the waters. By the time he finished they were considerably rougher.

His purpose was to convey that he has a grip on the epidemic.

Having spent weeks playing down the threat, Mr Trump had already tied one of his arms behind his back. The previous day he told Americans to “stay calm. This will go away.” A few weeks ago he described the epidemic as a Democratic “hoax”.

Then on Wednesday night he pivoted. He suspended all travel from Europe for 30 days. For the first time since the second world war, direct US travel to the European continent will be closed off.

He excluded the UK and Ireland from the ban despite the fact that Britain has almost half the number of US infections with less than a fifth of its population.

Moreover, his action contradicted expert guidelines. The

Donald Trump’s travel ban contradicts expert guidelines © Reuters

WHO clearly advises against international travel bans because they stifle the flow of medicines and aid, and “may divert resources from other interventions”. Mr Trump has been badly shaken by the stock market fall that has wiped out most of the gains of his administration. Yet his actions will almost certainly deepen market pessimism. In addition to the chilling effect on transatlantic trade, Mr Trump has elevated the uncertainty risk. To put it bluntly, no one has much clue what he will do next.

The same applies to the confusing manner in which he is addressing the US economic fallout. Two

weeks ago, Mr Trump said that the $8.5bn Democrats had requested to tackle the virus was too high. He only asked for $2.5bn. On Wednesday, he called for a three-month suspension of the payroll tax, which will cost at least $300bn — more than 100 times larger.

At the same press conference two weeks ago, Mr Trump blamed the stock market decline on the previous night’s Democratic presidential debate. On Wednesday he had still not shaken off the idea that the coronavirus was a conspiracy to deny him re-election.

Perhaps the biggest fallout of Mr Trump’s address was what he did not say. His most glaring

omission was any plan to increase America’s capacity to test for infections. Epidemiologists say accurate testing is the single most effective method to counter the disease’s spread. It allows the authorities to isolate clusters, trace the movement of the virus and make critical decisions on where the biggest risks lie. That is what places such as Taiwan, Singapore and South Korea have done so effectively without resorting to the draconian measures taken in China.

The US has tested fewer than 6,000 people out of a population of 327m. By contrast, the Netherlands, with 17m people, is testing

that many every day. South Korea, with 51m people, is testing 10,000 a day. The shortage of US kits stems from federal bureaucratic delays. One simple fix would be to import them from Germany, which are WHO-approved.

Mr Trump said nothing about tests other than that health insurers would waive co-pay charges on those being tested. That moderate incentive is irrelevant until the US has a capacity to screen more people. Mr Trump could have tackled the problem at a stroke by saying the US would import as many kits as necessary. But that would have undercut the spirit of his message: the epidemic comes from a “foreign virus”, he said; America must therefore narrow its access to the world.

It is unclear how Europe and other countries will respond to Mr Trump’s dramatic announcement.

In an ideal situation, America’s president would have acknowledged that the pathogen knows no borders and has no political loyalties. It poses a common threat that requires a co-ordinated global response.

That is not the way Mr Trump thinks. Public health officials say that millions of Americans will probably be infected. The official total now stands at 1,312. Mr Trump has never faced a crisis on anything like this scale — and it is still in its early stages. His remedies so far are cause for deep concern. Who will he blame when they fail?

Strains in US government bond market rattle investors Analysts and fund managers urge swift action from Federal Reserve and Treasury

Adam Samson, Robin Wigglesworth, Colby Smith and Joe Rennison

T

he US government bond market has come under strain during this week’s financial market tumult, prompting calls from analysts and fund managers for decisive action by the Federal Reserve to prevent a bigger calamity.

Banks and investors have said that trading conditions in Treasuries, the world’s biggest and deepest debt market, have deteriorated in the past few days. The market became “overwhelmed by liquidity concerns” during a chaotic day on Wednesday, said Bank of America analysts in a note to clients. “[This] could stop the Treasury market from functioning. If that happens it is a national security issue. It will limit the ability of the US government to respond to the coronavirus,” said Mark Cabana, a BofA strategist who authored Thursday’s report.

Signs of dysfunction on Wednes-

day meant that during an ugly day for stocks, when haven Treasuries would typically be expected to rally, they actually fell. In that environment, it becomes even harder for investors to shield themselves from losses, spreading volatility around the financial system.

“The US Treasury market is the bedrock for all other financial markets; it is the world’s risk-free rate and allows the US government to fund itself,” BofA said in its report.

“If the US Treasury market experiences large-scale illiquidity it will be difficult for other markets to price effectively and could lead to large-scale position liquidations elsewhere.”

The bank warned that asset classes including stocks, corporate debt and mortgage-backed securities were all vulnerable. Global equity markets were under heavy pressure on Thursday, with Europe’s main benchmark down 8 per cent, and S&P 500 futures tumbling 5 per cent — the maximum allowed fall outside normal trading hours.

Several fund managers also raised www.businessday.ng

alarm at the worsening health of the US government debt market and warned that, without decisive action, dysfunction could have a widespread impact on fragile financial markets.

“There’s a fundamental problem in the Treasury market. It’s just not functioning,” said Gregory Peters, a senior portfolio manager at PGIM Fixed Income. “Liquidity is seizing up everywhere, but the [sovereign bond] market is the most messed up . . . It is freaking people out.”

BofA said volatility, which has rivalled levels reached in the depths of the financial crisis in 2008, had begun affecting market participants.

It said dealers in the Treasury market had widened the spread in price at which they were willing to buy and sell US government debt at, a classic sign of diminishing liquidity. The volatility also “limited their ability to transfer risk”.

The Wall Street bank called on the Federal Reserve or Treasury to step in with a “rapid” and “large” response of a greater magnitude than they have deployed. This sentiment

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was echoed by a fund manager who said markets were expecting “meaningful” action from the Fed and Treasury jointly in the coming days.

On Wednesday, the New York arm of the central bank ramped up its intervention in short-term borrowing markets for the second time this week, unveiling larger and longer-term lending facilities to stem any dysfunction in funding markets.

BofA said that the additional measures were probably insufficient to shore up the repo market, where investors swap high-quality collateral such as Treasuries for cash.

“We are concerned that the size of this repo operation may not be large enough to stabilise the cheapening in US Treasury securities and materially improve Treasury market liquidity,” said BofA. “We believe it may take a more forceful action from the US Treasury or Federal Reserve to act as a ‘circuit breaker’ in these illiquid Treasury markets.”

The Fed, which cut rates last week by half a percentage point in the first reduction between meetings since @Businessdayng

2008, is due to meet next week. Markets are currently pricing in a threequarter point reduction in the main policy rate at that meeting, bringing the range down to between 0.25 per cent and 0.5 per cent. Some analysts have called for more, expecting the Fed to cut rates to zero.

“The market is crying out for policy help,” wrote Priya Misra, head of global rates strategy at TD Securities, in a recent note.

JPMorgan analysts say that the Treasury market’s functioning has been impaired in part because of the number of traders that now work from home to limit the spread of coronavirus, which it argued was the “most significant large-scale operation risk” facing Wall Street since the disruption caused by the 9/11 terrorist attacks in New York.

Partly as a result there were “signs of emergent stress already apparent”, such as the depth of the Treasury market, which by some measures is now the weakest since the nadir of the financial crisis. Transaction costs have also surged.

Friday 13 March 2020

BUSINESS DAY

46

FINANCIAL TIMES

COMPANIES & MARKETS

@ FINANCIAL TIMES LIMITED

US stocks plunge 8% as European markets face record fall Trump’s travel ban heaps further pressure on already fragile market Hudson Lockett, Leo Lewis, Adam Samson and Philip Georgiadis

E

uropean shares were on track for their worst ever daily loss and Wall Street stocks tumbled 8 per cent on another chaotic day as investors feared economic dislocation stemming from the outbreak of the coronavirus.

The S&P 500 dropped 8.1 per cent, having triggered a marketwide trading curb designed to smooth extreme market volatility on Wall Street for the second time in a week. The “circuit breaker” halted trading for 15 minutes.

The drop left the S&P 500 on track to enter a bear market, having plummeted more than a fifth from its February record high as global stocks convulse through their heaviest selling since the financial crisis more than a decade ago.

Markets across Europe saw even heavier selling than during the 2008-09 crisis, with the regional Stoxx 600 index down more than 10 per cent and on track for its worst ever day’s trading.

Stocks in the region plumbed new lows after the European Central Bank announced a package of easing measures but kept rates on hold at minus 0.5 per cent. Markets had been pricing in a 0.1 percentage point rate cut, and the reaction suggests investors were hoping for more from the central bank.

This week’s intense sell-off suggested investors were bracing themselves for a worst-case scenario, including a global recession, the

A trader reacts as he works on the floor of the New York Stock Exchange on Tuesday © Reuters

lockdown of major urban centres and a severe credit crunch, Nomura strategist Masanari Takada said.

“The market has been jolted to the point of breaking,” he added.

In a sign of the velocity of this month’s tumble, Europe’s Stoxx 600 index has shed 18 per cent of its value this month, leaving it on track for the heaviest fall since the 1987 Black Monday crash.

Travel and leisure stocks came under acute pressure. The Europewide index tracking the sector was down 11 per cent, leaving it off more than a third for 2020.

“Although we have seen some stimulus measures from policymakers, it is unclear if it will prove comprehensive enough to mitigate the economic damage arising from

coronavirus containment measures,” said Mark Haefele, chief investment officer at UBS Wealth Management.

The sharp moves lower for global stocks followed US president Donald Trump’s announcement of a travel ban in a televised address late on Wednesday after the World Health Organization said the crisis was now a “pandemic”.

“This was the most expensive speech in history,” said Luca Paolini, chief strategist at Pictet Asset Management, pointing to the slide in the value of US stock futures as President Trump spoke.

“Investors are voting with their feet, and I can’t blame them. Markets wanted reassuring, and this was not reassuring.”

The latest wave of selling also came as one of Wall Street’s biggest banks warned trading conditions in US government bonds have worsened meaningfully in this week’s market tumult.

Treasuries, the world’s biggest debt market and an essential benchmark for other assets, became “overwhelmed by liquidity concerns” during a hectic trading day on Wednesday, Bank of America said in a note to clients. The bank called on either the Federal Reserve or Treasury to act quickly to stabilise the market.

The 10-year US Treasury yield was down 17 basis points on Thursday to 0.65 per cent, pointing to a strong rally in price. The yield still remains well above the low struck

on Monday of 0.32 per cent.

The corporate fallout of the viral outbreak deepened on Thursday.

Cineworld, the world’s secondbiggest cinema chain, warned that in a worst-case scenario coronavirus disruption could cause it to be unable to pay its debts and call into question its ability to continue trading.

Oil prices, which crashed at the start of this week on the prospect of a price war between Saudi Arabia and Russia, fell on the expectation the ban would mean more pain for the travel industry. International benchmark Brent crude was down 7 per cent at $33.10 a barrel.

Mr Trump’s comments also caused sharp gains for Japan’s yen, which firmed as much as 1.4 per cent after the president’s announcement and is now trading near ¥104 per dollar. The yen, often viewed as a haven during times of stress, has surged in recent days. Dealers have speculated that Japanese authorities may engage in forms of stealth intervention to soften any move to ¥100 per greenback.

The Topix index, which closed 4.1 per cent lower on Thursday, is down by almost a quarter from its recent peak on February 6, putting the benchmark on track for its worst year since the 2008 global financial crisis.

Equities sold off across the AsiaPacific region with China’s benchmark CSI 300 index of Shanghai- and Shenzhen-listed stocks finishing down 1.9 per cent and Hong Kong’s Hang Seng falling 3.7 per cent. In Sydney the S&P/ASX 200 index closed down 7.4 per cent.

ECB launches stimulus package to combat coronavirus ‘shock’ Lagarde bids to ease blow to eurozone economy but holds off on rate cut Martin Arnold

T

he European Central Bank has launched a package of measures to shield the eurozone from the economic havoc created by coronavirus, further loosening its already ultra-easy monetary policy with a planned €120bn of bond purchases and more cheap loans to banks.

However, in its first monetary stimulus move since Christine Lagarde became its president in November, the bank kept its main deposit rate unchanged at its existing record low level of minus 0.5 per cent.

The ECB announced an increase in its quantitative easing programme of asset purchases to buy €120bn more bonds by the end of this year, on top of its existing commitment to buy €20bn a month. It also said it would launch a new programme of cheap loans to banks to encourage them to keep lending to small businesses.

Economists estimate the scale of the ECB’s quantitative easing

programme will rise to €33bn a month for rest of this year.

Speaking at a press conference after announcing the decision on Thursday, Ms Lagarde said coronavirus was “a major shock” to the eurozone’s growth prospects.

There will be significant disruption to economic activity, particularly a slowdown in production and a reduction in domestic and foreign demand, she said, calling for fiscal action from governments.

“An ambitious and co-ordinated fiscal policy response is required to support businesses and workers at risk,” said Ms Lagarde, adding that the spread of the virus would have a “significant impact” on the eurozone and global economies, even if it was “temporary by nature”.

The ECB’s new measures would help to support the supply of credit to the real economy, she said.

However she emphasised that she did not believe central bankers could address the economic consequences of coronavirus on their own. “We will only deal with www.businessday.ng

this shock if we come together,” she said.

Asked whether she would compare this moment to her predecessor Mario Draghi’s efforts to save the eurozone economy during the bloc’s sovereign debt crisis, she said: “I don’t want to be ‘whatever it takes’ number two.”

Pressure had been rising on the ECB to take action after the Bank of England and the US Federal Reserve both announced emergency rate cuts and other measures in response to the economic impact of coronavirus in recent days.

Carsten Brzeski, economist at ING, said: “Today’s measures are an attempt to tackle market turmoil and support the economy. In a targeted manner and not with a whatever-it-takes attempt.”

The package was met with a mixed reaction from investors, as European stock markets continued to fall while the euro was little changed against the US dollar and German two-year bond yields rose slightly.

Andrew Kenningham, chief Europe economist at Capital

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Economics, said: “While these measures are pretty substantial, we do not think the ECB will be able to change investor sentiment any more than the Fed could last week.”

The ECB said in a statement: “Although the governing council does not see material signs of strains in money markets or liquidity shortages in the banking system, these operations will provide an effective backstop in case of need.”

In response to calls from banks for authorities to ease capital requirements to allow them to absorb the expected hit of the virus, the ECB said it would allow lenders to “fully use capital and liquidity buffers” that were designed to be eroded during times of stress.

The ECB, which supervises the 117 biggest eurozone banks, said it would “consider operational flexibility in the implementation of bank-specific supervisory measures”.

The central bank said it would launch a new programme of cheap @Businessdayng

loans for banks “to provide immediate liquidity support to the euro-area financial system” and to “provide an effective backstop in case of need”. The new longer-term refinancing operations (LTRO) will be a temporary measure until June, when the central bank plans to offer more loans to banks under its existing refinancing programme on sweetened terms.

Its existing targeted longerterm refinancing operations (TLTRO) will be made “considerably more favourable” by offering loans to banks below the ECB’s sub-zero deposit rate and as cheaply as minus 0.75 per cent.

The decision makes the ECB the first major central bank to operate such a “dual rate” system, which in effect subsidises banks by lending to them at a lower rate than they pay to deposit money at the central bank.

The ECB will also increase the amount banks can borrow and ease the definition of collateral that banks can offer to secure the loans.

Friday 13 March 2020

BUSINESS

FT

47

ANALYSIS

BBC fights for its future in an era of populism and Netflix Former leaders of the British broadcaster are urging changes to its licence fee funding model Alex Barker and Mark Di Stefano

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reg Dyke was an outspoken, conventionbreaking television executive. But when he ran the BBC, he stuck to the house script on one defining issue: the model of public funding based on an annual licence fee.

“There really isn’t a viable alternative to the licence fee,” he declared in 2002, defending the levy that has bankrolled Britain’s public service broadcaster since 1927.

“Maybe [it] isn’t so bad after all.”

It has taken almost 20 years, but the former director-general has finally changed his tune. “The thing with the licence fee is no one would come up with it as an idea today, would they?” he told the Financial Times. “The idea that you have a compulsory tax on the TV set sitting in the corner is dumb.”

Mr Dyke is not the only one who increasingly sees the licence as “an anachronism”. The BBC’s old guard are beginning to call time on the corporation’s oldest source of income, which evolved from a 10 shilling levy on wireless radios into a compulsory charge on devices of £154.50 today.

The former leaders of the BBC who are now open to a new, more flexible funding system include Mark Thompson, New York Times chief executive and directorgeneral from 2004-2012; Gavyn Davies, the former Goldman Sachs economist who in 1999 led an independent review of BBC funding before being appointed chair; and Rona Fairhead, chairwoman of the BBC Trust from 2014-2017 and former chief executive of the FT group.

It is the first time the four have spoken publicly about moving beyond the licence fee, which generates £3.7bn a year, three-quarters of the BBC budget. “The BBC is a heck of an asset for us and the world,” says Mr Davies. “We really shouldn’t give that up. Whether the licence fee is the best and only way to provide the resources to achieve that, I don’t know.”

Their intervention reflects a sense that the BBC needs radical change to emerge from an era where it is acutely vulnerable.

The advantages of what John Reith, the BBC’s founder, called the “ruthless force of public service broadcasting monopoly” are long gone. Politics has taken on a more populist edge and Netflix and other streaming services are grabbing the attention of many viewers, especially the young.

Generational change is putting the BBC’s very future in doubt.

On the BBC’s future Greg Dyke The director-general of the BBC from 2000-04 says ‘the idea that you have a compulsory tax on the TV set sitting in the corner is dumb’. Mr Dyke thinks the successor to Tony Hall as DG should be an external candidate who is not ‘bound by the politics of the BBC’.

The BBC remains Britain’s preeminent media voice, and perhaps the world’s most influential public broadcaster. But its challenges are legion, and its morale flagging over disputes such as gender discrimination on pay. From

mainland Europe to North America, broadcasters are watching its fate as a test of whether public service values can withstand the disruption of a digital age, and the trust-shattering blows of partisan politics.

With Boris Johnson’s government attacking what he has called the “Brexit Bashing Corporation”, negotiations to reset the level of the licence fee in 2022, and renew the BBC’s founding charter beyond 2027, are approached within the corporation with dread. Some fear the licence fee could be abolished when its charter is renewed.

Most worrying still may be the bigger structural forces and global competition that are weakening the BBC’s hand. Like many national broadcasters, the corporation is seeing the likes of Netflix snatch its talent and YouTube and social media mesmerise audiences.

“The BBC is the standard bearer and there is a lot at stake,” says Noel Curran, director-general of the European Broadcasting Union.

“The real fear is that any move on the BBC, or even publicity around that, will be used by governments around Europe that are not well inclined to public service media. It will be the excuse to attack.”

Amid all the uncertainty, the BBC is also looking for new leadership — a successor to Tony Hall as director-general will be chosen in the coming months and take over this summer.

On the BBC’s future Gavyn Davies Mr Davies, who was chairman of the BBC from 2001-04, believes the broadcaster ‘is a heck of an asset for us and the world’ which shouldn’t be given up. But he wonders ‘whether the licence fee is the best and only way to provide the resources to achieve that’.

The first challenge for the next director-general will be cuts. The BBC’s budget is heaving under additional responsibilities accepted in licence fee negotiations over the past decade — or imposed, in the words of one former director-

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general, “in the dead of the night, a pistol to its head”. This summer it will even start acting as a social security division: it has to decide whether to pay for — or withdraw — free licences the government used to grant to those aged over 75.

How determined Mr Johnson is to shake up the BBC is unclear.

He has questioned the licence fee, and his government is expected to decriminalise non-payment — potentially costing the BBC hundreds of millions of pounds. Yet when the Sunday Times reported the prime minister wanted to move the BBC to a Netflix-style subscription model, Mr Johnson himself called the paper to play down the idea, according to his aides.

Even in the Conservative party, there are strong defenders of the existing model. For two Conservative peers who served as BBC chairmen, the political dangers are too great to risk meddling with the licence fee system, however outdated it may seem.

“There is such an aggressive assault on anything that appears to be a check and balance on executive authority,” says Chris Patten, former chair of the Conservative party and head of the BBC Trust from 2011-14. “It’s the BBC, the judiciary, it’s civil society, it’s anybody that doesn’t agree with them . . . I cannot see an alternative [to the licence fee] that supports and maintains the position of the BBC as a national asset.”

Michael Grade, BBC chairman from 2004-06, put it more succinctly: “I would die in a ditch for the licence fee.”

The BBC has suffered at the hands of politicians before. It has been leaned on through virtually every election and war Britain has fought in the modern age.

From Margaret Thatcher to Tony Blair, once the government’s hue changed, by and large, so too did the BBC’s leadership.

Financial pressures are not new either. In the late 1970s, the cash-strapped Treasury explored

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giving the BBC part of its licence fee on the 15th of every month or “small fractions weekly”. Mutual suspicion was so great the BBC director-general would sweep his room for bugging devices.

The corporation has even weathered a Tory government bent on scrapping the licence fee. During the late 1980s, the Thatcher administration pushed subscription funding — today known as “the Netflix model” — and explored it through a formal review. Douglas Hurd, then home secretary, said: “This is a direction in which the BBC should move.”

The licence fee survived.

Today’s threat is the combination of these pressures and a new factor: losing touch with a digitally minded, under-30 audience. Competition from global platforms — from Netflix and Disney to Facebook and YouTube — is leaving once mighty national broadcasters outgunned, and overlooked.

Oxford university’s Reuters Institute for the Study of Journalism recently noted that the BBC accounted for 63 per cent of all UK radio listening, and 31 per cent of scheduled television viewing. But the BBC claimed just 1.5 per cent of time spent with digital media.

It represents a potentially devastating trend: the £154-a-year licence fee is compulsory because it assumes the universal UK service is used by all owners of televisions and other media devices.

“The critical goal must be to recapture the audiences which the BBC has lost in recent years,” says Mr Thompson, who ran the BBC for eight years. “If that means prioritising streaming and mobile services and making painful choices about existing linear TV and radio, so be it. The BBC has placed bold bets on the future before. In the interests of the audiences it serves, it needs to take the radical path again.”

On the BBC’s future Rona Fairhead Baroness Fairhead, chair of @Businessdayng

the BBC Trust from 2014-17, says a household tax that funds public broadcasting along the lines of the German Rundfunkbeitrag could work. ‘If you do it by household you have many more options to make it progressive,’ she says.

What could this entail? One of the most talked about but least deliverable reforms is a voluntary, subscription based system. The main practical problem is restricting access to services such as radio or free-to-air terrestrial television.

Even then, Enders Analysis estimated a “huge” cut to BBC revenue from a subscription switch, with the existing budget hit by more than a third in one scenario.

More feasible is an experiment with subscription as an “add on” to the basic licence fee, a hybrid approach of interest to Mr Davies and some other former BBC leaders.

The most obvious candidate for partial restrictions on access is the iPlayer. But it would require an internal BBC revolution to boost the streaming service and justify a premium subscription. Under such a scenario, the iPlayer would flip to become a commissioning hub, replete with power and money and premiers of shows. Channels such as BBC One, meanwhile, would act more like the curated catchup service.

Within the BBC top ranks the fear is this would harm the mission to provide a universal service.

A more favoured reform is moving to “the German model”, a household tax that yields around €8bn in funding for its public broadcasters, almost double the public funding for the BBC. Baroness Fairhead sees it as a possible way to make funding less regressive. Since 2013, the Rundfunkbeitrag has been levied on every household, with some means-based exemptions, and businesses based on size. “If you do it by household you have many more options to make it

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Friday 13 March 2020

BUSINESS DAY

FT

NATIONAL NEWS

Can Russia use Saudi price war to strike a fatal blow on US shale?

Armed with $570bn in reserves Moscow appears ready for a long fight Henry Foy and Derek Brower

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popular post on Russian social media this w eek depicts Karl Bryullov’s apocalyptic painting “The Last Day of Pompeii”, with Igor Sechin, head of Russia’s biggest oil company, added to the picture, amid the carnage and suffering.

Mr Sechin does not look the least bit perturbed.

As the most powerful man in Russia’s oil industry and one of President Vladimir Putin’s closest confidants, Mr Sechin was the architect of Moscow’s decision to withdraw last week from a pact with Saudi Arabia to limit crude production, sparking an oil war that sent prices crashing 30 per cent on Monday, upending global markets.

The shock of a new fight for market share, and its potential to devastate rival producers in the US, terrified investors who dumped American shale company shares in a brutal Mondaymorning sell-off. By contrast the Kremlin has appeared calm and unfazed.

Armed with a $570bn foreign reserves war chest, a floating exchange rate and an economy that relies far less on foreign capital and imports than just a few years ago, Russia believes it can weather the sharpest fall in crude prices since 1991 for longer than rival producers such as Saudi Arabia and — most importantly — the US shale industry.

“With significant financial reserves available, the Russian government is probably right to think that it can sustain a low price environment for some time,” said James Henderson, a director at the Oxford Institute for Energy Stud-

This version of ‘The Last Day of Pompeii’, the 19th-century painting by Karl Bryullov in the State Russian Museum in Saint Petersburg, has gone viral on social media. Front and centre is Igor Sechin, the powerful CEO of Rosneft © Twitter

ies. “It won’t be easy, but three years would probably be achievable.”

We suspect that oil prices would probably have to drop to $25 before Russia changed tack William Jackson, chief emerging markets economist at Capital Economics US shale producers, dependent on high prices and the goodwill of investors to fund a business model that requires constant spending, have been huge beneficiaries of Russia’s co-operation with Opec in the past four years.

Since 2016, when Moscow started negotiating production cuts with Riyadh, American output has soared by more than 4.5m barrels a day, eating into Russia and Saudi Arabia’s global market share. By February this year the US’s slice of world production had leapt by 4 percentage points. The

combined share held by Saudi Arabia and Russia was down by three.

Reversing that shift was the Kremlin’s main objective when it decided to reject Saudi Arabia’s request last week to prolong and deepen the production cuts to support prices. Saudi Arabia’s response has driven prices down further than even Moscow may have predicted, but in contrast to previous oil market crashes Russia appears prepared for a crisis.

By the end of the day on Monday the rouble had fallen more than 10 per cent against the dollar but pared some of those losses by Wednesday, after Russia’s central bank intervened by selling foreign currency.

Since 2015, when the last big oil crash and a swath of western sanctions imposed after Russia’s invasion of Crimea combined to

tip the country into recession, Moscow has restructured the economy to make it more stable and more resilient. Hydrocarbons still accounted for 40 per cent of Russia’s budget income in 2019, and diversification efforts have underwhelmed. But Moscow’s decision to promote stability over growth in the past six years, largely at the expense of its population’s incomes, means Russia is better placed to survive the current shock.

The country’s budget breakeven oil price has fallen to $42 a barrel — down from about $100 a barrel a decade ago — and it has run budget surpluses for the past two years.

Most importantly, in 2017 it began diverting excess oil revenues into a national wealth fund, while prices remained above that breakeven level thanks in large part to

the Saudi pact.

“The deal itself . . . was the right decision,” Russia’s energy minister Alexander Novak said on Tuesday. “It has allowed us to earn additional Rbs10tn (about $137bn) . . . and form the necessary reserves, including by filling the National Wealth Fund.” Today the fund holds more than $150bn.

Using those reserves, Russia could navigate oil prices between $25 and $30 a barrel for six to 10 years, the finance ministry said on Monday, estimating that average prices of $27 a barrel would require $20bn a year of budget support from the fund a year.

“Russia’s strong balance sheet means that low oil prices shouldn’t result in major strains in the economy — certainly nothing like those which occurred in 2015-16,” said William Jackson, chief emerging markets economist at Capital Economics. “We suspect that oil prices would probably have to drop to $25 [a barrel] before Russia changed tack.”

In contrast the US shale sector was struggling even before this week’s oil-price collapse with mounting debts, unhappy investors, rising bankruptcy risks and the prospect of slowing output growth.

It means US shale will start to show the strain even if prices remain depressed for just six to 12 months, analysts said. “There will be a very swift reduction in capex and a significant [production] volume decrease”, said Matt Portillo, a managing director at Tudor, Pickering & Holt & Co, a Houston-based investment bank.

US oil executives have lobbied President Donald Trump to extend financial aid to shale producers.

But their business model depended on Russian and Saudi support for the oil price — and Moscow has just ended that.

BBC fights for its future in an era of populism and Netflix Continued from page 47 progressive,” the former chair of the BBC Trust says.

Even under a household levy system, the BBC would never expect the government to grant Germanstyle largesse. On a per capita basis, the BBC’s £3.7bn public support is only the eighth highest in Europe.

Far from increasing the BBC’s firepower to face media giants, the trends are pointing towards tighter budgets, bigger challenges and some tough choices.

On the BBC’s future Chris Patten Lord Patten, chair of the BBC Trust from 2011-14, defends the broadcaster from the ‘aggressive assaults’ and backs the current funding model, saying: ‘I cannot see an alternative [to the licence fee] that supports and maintains the position of the BBC as a national asset’.

Lord Patten and Lord Grade, both champions of the licence fee and a universal service, want some

hard-headed decisions to cut back on activities. They could include: merging BBC2 and BBC4, or losing other TV channels; paring back radio stations; or amalgamating the BBC’s two rolling news channels, BBC News and BBC World News.

Lord Grade says the measures “should be drastic” to refocus the BBC on its core mission. “It has got to reduce its ambitions,” he says.

Decisive cutbacks are not the BBC’s forte. Suggestions are often met by a public outcry, however small the change. Plans to phase out the red-button service — a sport and news text-led function on televisions — were shelved in January, a day before implementation. The savings were a modest £16m.

“One of the problems of the last few years is ducking big decisions,” says a former BBC executive. “It takes strategic courage to take things away from the super served. But you can’t provide enough for young people without taking something away from older www.businessday.ng

audiences.”

The deadline for applications to succeed Lord Hall as directorgeneral closed this week. The role’s prestige does make up for its obvious downsides, not least relentless public exposure. But for some outsiders, the benefits could never be enough.

“It’s a bloody thankless task,” says one executive approached by headhunters. “You’re going to be hated. You’re going to have to restructure, to cut costs and probably preside over a reduced but reimagined BBC.” One factor worrying candidates is timing. David Clementi, the BBC chair overseeing the process, is expected to depart early next year.

That potentially leaves his chosen director-general — and their plans to change the BBC — beholden to his successor, who would be approved by Mr Johnson and who may have quite different priorities.

“The problem for anybody who takes that job: who am I working for? Well, the chairman,” says the

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executive who decided not to apply. “He’s going. So I’m being recruited and I don’t know who my chairman is? That’s nuts.” A second television executive who considered applying adds: “They would need to be willing to take a big risk.”

Several potential contenders told the FT that, under the circumstances, an interim directorgeneral may make sense. But Mr Clementi is unlikely to be convinced. One senior BBC figure describes the idea as “crackers”.

There are two leading internal candidates. Charlotte Moore, director of content, has formidable creative pedigree but limited political experience. Tim Davie, head of BBC Studios, the corporation’s commercial arm and production hub, has business credentials and management experience. But his business background makes him a polarising figure for some in the BBC. Both may suffer from being insiders. Lord Grade leans towards an outsider but acknowledges @Businessdayng

that candidates would need to be “stark raving mad” to take on this impossible job.

That fact may have hit applications. Many potential contenders have ruled themselves out: Carolyn McCall, chief executive of ITV; David Abraham, ex-chief executive of Channel 4; Carolyn Fairbairn, CBI director-general; and James Harding, a former BBC executive who co-founded Tortoise media. Alex Mahon says she was committed to leading Channel 4, while Jay Hunt, a former BBC executive who is chief creative officer at Apple, declined to comment.

Mr Dyke says he benefited from being an external appointee who was not “bound by the politics of the BBC”.

“The problem with people who have been there all their lives is they don’t think outside the box.

They think the licence fee can go on forever,” he says. “And to be fair to them they’ve won over the years. They are great survivors.”

Friday 13 March 2020

BUSINESS DAY

49

Business SOUTH-SOUTH

COMPLETE COVERAGE OF SOUTH-SOUTH / SOUTH-EAST

Bonny women embrace city chamber of commerce; train on how to trade with US companies as $10bn NLNG Train-7 fast approaches IGNATIUS CHUKWU, Port Harcourt

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s the $10 billion Nigeria Liquefied Natural Gas (NLNG) Train-7 fast approaches, most Bonny women and entrepreneurs in Rivers State headed to the island on Friday last week to heed the call of the Bonny Chamber of Commerce, Industry, Mines and Agriculture (BOCCIMA) for a new push towards global business practices and international trade. This is expected to reposition female entrepreneurs in Bonny to participate effectively in the upcoming $10 billion NNLG Train-7 business fallouts, whereby huge percentage has been reserved for Bonny indigenes.

The women, including professionals, turned out in their numbers to work with the BOCCIMA, and train on how to trade with US companies. They also trained on how to engage with Original Equipment Manufacturers (OEMs), most of who are from the US. Above all, they trained on ease-of-doing business and how to handle international businesses, especially how to break through the negative perceptions that seem to clog Nigeria’s reputation abroad.

The one-day event which was organized by the BOCCIMA in Bonny Island was attended by most women including huge satellite participation by those in Port Harcourt, Lagos and Abuja.

The event was also used to mark the International Women’s Day (IWD) in Bonny with collaboration with NACCIMA Business Women Group (NAWOG).

Constance Nwokejiobi, DG of BOCCIMA (m), by top Bonny women (Dabota Godswill Jumbo (l), and her mother, Anthonette David Bull.

Top leaders who welcomed the participants said Bonny women need support to go global. They appreciated the US embassy for lending a helping hand.

The director-general of BOCCIMA, Constance Nwokejiobi, gave an overview of BOCCIMA plan of action which seemed to excite the business women. She talked about innovation and information technology (IT) as the new drivers of growth; and made it clear that BOCCIMA works along the lines of advocacy, networking, IT, etc.

She said the chambers would help to structure Bonny businesses and work out their financials and capacity development to enable them deal with companies in the US and other parts of the world. She called it connecting with global partners. wokejiobi unveiled Go-Life

as a programme by the BOCCIMA to engage with critical stakeholders including the king, Bonny Chiefs Council, the Local Council, and forge other strategic alliances. All this, she said, is to position business owners in Bonny to participate in NLNG Train-7, estimated at the cost of $10 billion.

The BOCCIMA boss gave account of the journey so far for BOCCIMA which is now registered with NACCIMA and is now welcomed in most cities in America and Europe.

The DG gave appetizers on upcoming schemes such as turning Bonny into a Business Hub and the Bonny 2040 Vision which showed Bonny looking like Dubai; as has been the dream of the Bonny monarch.

An exciting moment came when experts on international

trade from the US Consulate reeled out trade secrets that could make the Bonny business women come tops in dealing with US companies, and how to operate as a global SME. The experts wowed the women by showing how US companies are willing to enter the Nigerian market through local partnerships.

One particular expert explained the new strategies that have been adopted by the US trade centre in Nigeria to overcome Nigeria’s reputation challenges in helping US companies know who to deal with in Nigeria. The expert called it ‘ease-of-doing business with US companies.’ The participants asked numerous questions and showed keen interest in practicing what they learnt.

Another exciting session seemed to be the IWD marker

which was anchored by Dabota Godswill Jombo, a former banker, a business woman and activist. She used a case study called ‘Woman on the Yellow Wallpaper’ to illustrate the oppression and bondage imposed on most women in different Nigerian cultures and how it can only take the spirit of liberation by women to break out.

She shared the women into five groups and they answered over 10 questions which served as review of the situation of women and how to deal with it. The exciting session dragged on as women never wanted to go anywhere.

Some of them who spoke promised to duplicate the message and take it round the state to teach women how to handle situations that look like oppression and suppression. peaking at the end of the event, the DG said she felt fulfilled that Bonny women turned out in their numbers.

She was happy also that the women demonstrated readiness to join in entrepreneurship and embrace the BOCCIMA so as to move ahead collectively as topflight business women.

Most women who spoke to newsmen called for regular programmes such as this to enable the Bonny women take their place in the business world. Irene Pepple, a female lawyer, said the event is critical in understanding the needs of the women in Bonny and how to integrate them into the business community and reposition them to participate with in the NLNG $10 billion Train-7 scheme that is around the corner.

Over-dependence on foreign goods, services has adverse effect on our economy – Ikpeazu UDOKA AGWU, Umuahia

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overnor Okezie Ikpeazu of Abia State has frowned at the persistent quest by Nigerians for foreign made products and services, particularly the highly placed in the society.

Ikpeazu stated this at Aba Sports Club last weekend during a one-day south-east zonal programme and exhibition tagged: “Change Begins with Me, Patronize Made-InNigeria Products and Services” organized by the National Orientation Agency (NOA).

He therefor called for genuine attitudinal change

by Nigerians, stressing that over-dependence on foreign products and services would no doubt affect the nation’s economy adversely, thereby leading to unemployment and closure of Small and Medium Scale enterprises.

The Abia governor was

represented by his deputy, Ude Oko Chukwu; saying that in recent times, the manufacture of made-in-Aba products had been remarkable as they now receive increased patronage, adding that the state has over 250,000 SMEs, and the growth of these SMEs has created more jobs for Abians and Nigerians at large.

He commended the NOA for organizing the programme, and urged Nigerians to shun the act of over-dependence on foreign products and services, but instead to patronize made-in-Nigeria goods and services.

Garba Abari, the directorgeneral of NOA stressed the need to patronize homemade products and services, and called on Nigerians to shun overdependence on foreign products and services. He noted that the country has all it takes to churn out quality products and services that could compete favour-

ably with the foreign ones.

He assured that the NOA would continue to enlighten and mobilize Nigerians to achieve the desired result, by sustaining the campaign in every nook and cranny of the country.

The NOA Director-General expressed delight on the various exhibitions of locally produced goods and services, as well as the Federal government resolve to work with Abia state to implement policies that would enhance the manufacture of products and services in the state.

John C. Udeagbala, the chairman of the occasion and first deputy national president, National Association of Chambers of Commerce, Industries, Mines and Agriculture (NACCIMA), and also the president of SouthEast Chambers of Commerce (SECC), pledged the association’s support to promote the campaign towards patroniz-

ing made-in-Nigeria products and services.

According to him, the campaign when vigorously pursued would endear Nigeria products and services in the hearts of the citizenry, boost Nigeria’s image in the business world, to investors and tourists to the country and in turn boosting the nation’s economy. He called on all stakeholders and policymakers to give deeper considerations to the roles of Chambers of Commerce which include; policy advocacy platform for networking and issuance of certificate of origin on exportable products. He further called on the government to consider partnering with the Chambers of Commerce to mutually sponsor more programmes such as exhibitions, trade fairs, youth empowerments and policy formulations, as this would further deepen the trust and confidence of the

business community towards the government.

Ngozi Okechukwu, the Abia state director of NOA lamented the persistent crave for foreign products and services among Nigerians, especially the higher strata of the society. She pointed out that this has become a source of worry as overdependence on foreign products and services had in no small measure affected the SMEs and to a large extent the nation’s economy. The state NOA director commended the Abia State Governor for his effort in finding market for made-in-Aba products. She called on other stakeholders to follow suit so as to create more job opportunities in the state, and as well boost the economy of the nation.

The event featured exhibition of various products and services produced in Abia State.

MOCTECH out for selfreliance, human capacity building – says Rector UDOKA AGWU, Umuahia

A

mah Maria Akumerekoma, the Rector of Mbara Ozioma College of Technology (MOTECH), Mbaise, Imo State has said the college, instituted to help the youths to be self-sustenance, have human and enterprise formation in order to stand on their own without relying on the government.

She stated this when the Nigerian Society of Engineers (NSE), Umuahia branch, Abia State, led by the chairman, Uzoma Ohia visited the college in Mbaise, Imo State. Akumerekoma, represented by the college registrar, Tobechukwu Igwe (a Reverend Father), said that the college is a recognized innovation enterprise institution established in 2014. She said it was a giant stride to complement government’s effort to drive technical and vocational acquisition among the teeming youths of the society, with the ultimate goal of empowering them, as well as supply the industrial sector with skilled manpower by equipping the youths with high-tech skills leading to national and international certifications.

She said the institution was envisioned to empower students by providing them with a wellequipped Innovation Enterprise Institution specializing in construction, engineering and technology related sector.

The college Rector who eulogized the sterling attributes of Ohia, lauded the NSE Umuahia branch for the visit.

The SIWES director, Onwudiwe Ugochukwu Chinomso said the philosophy of MOCTECH was to inculcate work ethics, and to encourage personal self-worth of all students such that those who successfully pass through the college should be well trained middle level technological manpower, qualified to meet the demands of modern technical know-how, gainful employment in different production sectors or become self-employed and even employers of labour.

He pointe d out that MOCTECH provides education and technical knowhow to students to meet the needs of today’s workplace. “Our lectures and practical training in a well streamlined curriculum will help students to develop their talents and acquire skills needed to undertake key technical and practical roles in industries. Our lecturers take the students to the workshop on Wednesday to gain practical knowledge; and the students do the practicals in the workshop by themselves on Friday,” he said.

Onwudiwe said, “we want to produce marketable graduates that will employ others. We are accredited by NBTE and licensed by the State Ministry of Education.”

Wood workshop, machine room, electrical workshop, fabrication area, oil mill and computer hardware laboratory were among the areas visited by the NSE Umuahia branch during the industrial visit.

50

Friday 13 March 2020

BUSINESS DAY

Culinary Delights Pit Stop Lagos, the bicycle inspired restaurant in Victoria Island

I

magine a restaurant with bicycle memorabilia and decoration in every corner of the space in Lagos? Well, I am happy to let all the bicycle and health lovers in town that I may have just found your new hang out spot! On the preface, restaurants and bicycles seem to have nothing in common, but the creators of Pit Stop Lagos have creatively come up with a way to create a space of bicycle and heath lovers all over Lagos.

Pitstop Lagos is a new restaurant located on 17 Karimu Victoria Island, which was inspired by the need to create a place that promotes wellness culture in Lagos, Nigeria. Whilst also providing a place to refuel, re-energize, recharge, relax as well as a place to eat. It is a dining, fitness and lifestyle place with a sitting capacity of about 70 people and a standing cocktail for about 120 people.

The cafe has both outdoor and indoor sitting areas on the ground floor. I must say I was impressed with the decor, the interior makes you feel as though you have been exported to a bike wonderland in the heart of Victoria Island. The design is tastefully thought through and it was a focal point for the creation of this restaurant.

As I sat down I asked for the menu and a friendly waiter brought over the menu, as the restaurant was new I didn’t expect the waiters to be fully knowledgeable on the menu, so when a lady approached to ask if I needed any help choosing my meal, it was welcome and it turns out she was the owner. It took me a while to decide what I wanted but eventually, I opted for the Chris Froome, which is tender roast chicken, jollof rice, potato herb puree, baby courgette, and carrots. The dish was enjoyable but it wasn’t out of this world. Although the dish was enjoyable overall, I was expecting the chicken to be a little more flavourful

@lehlelalalumiere Lehle Balde works at BusinessandDay notin very mouth-watering the department of Strategybut I mentioned the ownershe and Innovationthis andto Partnerships, is she wasalso kind enoughinclusion to apologize and ofa financial advocate fer and me impact a remake which passed on investing radioI anchor. because we had leaveLehle but I’m Originally from to Senegal has sure would havefor been better.

Pitstoplagos a passion culinary experiences. hasFollow a hundred and one spots for @bdculinarydelights on pictures and being a picture person, this Instagram.

because I believe that healthy food can be mouth-watering too. I must say that the presentation of the dish was impressive. The food came out slightly cold but they were happy to reheat it for me. I also ordered freshly squeezed orange juice but was disappointed when I tasted it only to find out it was boxed juice which tasted more like Chivita than freshly squeezed orange juice.

Again once I let them know about this they apologized and replaced it immediately. While the actual fresh orange juice was delicious, I found the mishap in my drink order a little odd, especially because if one goes out of their way to order freshly squeezed juice it is usually because they dislike artificial drinks. I think these are all part of the new restaurant kinks that I am sure will be ironed out in no time. The owner’s willingness to take constructive feedback was impressive and they absolutely have the right idea.

I was interested to see what kind of menu a restaurant like this would have. One thing I must commend is the creativity of the name of the dishes. You can find dishes named after Casper Semanye, Hulk Hogan, Micheal Phelps (which is a grilled fish named after the nautic olympian).

The decoration is very deliberate with framed photographs of sportsmen and women on the walls and sports miniatures as decoration for every table.

There’s also a bike shop on the top floor, where bicycles and bike gear is sold. I came to Pitstop Lagos with one of my very good friend, Suuad Faruq.

Suaad works in the travel industry and is also an inspiring speaker, writer, and poet. She is also the co-founder of Susultana, a luxurious fashion brand for the exquisite modern woman. This is what Suuad had to say about her experience. “The ambiance was different, everything had a cycling theme to it, which was unique and positive.

For food, I went for pasta and Chapman. The Chapman was good! I mean Chapman is always good but this hit all the right chords. The pasta, well... was not very satisfying, as it was soggy

made me happy”.

An interesting thing about this restaurant is that you can make your own drink or smoothie yourself by stepping on a bike and peddling until your drink is ready. I find this innovation really cool. I look forward to coming back when they officially open in April and have been able to fix some of the new restaurant kinks mentioned above. I would recommend this place for the biking community in Lagos, people who enjoy healthy and wholesome food and also those who are looking to be part of the bicycle community in Lagos.

Guest

Suuad Faruq

Rating 3.5 Out of 5 Total N24,000

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

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Contact Instagram @cafeteria_ng

Friday 13 March 2020

BUSINESS DAY

51

Live @ The STOCK Exchanges Prices for Securities Traded as of Thursday 12 March 2020 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. 207,939.57 5.85 -9.30 325 17,446,720 UNITED BANK FOR AFRICA PLC 191,516.76 5.60 -9.68 513 371,339,102 ZENITH BANK PLC 340,651.96 10.85 -9.96 1,415 433,157,412 2,253 821,943,234 OTHER FINANCIAL INSTITUTIONS FBN HOLDINGS PLC 143,581.17 4.00 -9.09 294 31,947,943 294 31,947,943 2,547 853,891,177 TELECOMMUNICATIONS SERVICES MTN NIGERIA COMMUNICATIONS PLC 1,897,040.62 93.20 -9.95 238 9,164,897 238 9,164,897 238 9,164,897 BUILDING MATERIALS DANGOTE CEMENT PLC 2,607,197.63 153.00 - 48 95,297 LAFARGE AFRICA PLC. 172,353.41 10.70 -9.70 79 3,197,178 127 3,292,475 127 3,292,475 EXPLORATION AND PRODUCTION SEPLAT PETROLEUM DEVELOPMENT COMPANY PLC 356,008.96 605.00 - 2 1,518 2 1,518 2 1,518 2,914 866,350,067 REAL ESTATE INVESTMENT TRUSTS (REITS) SFS REAL ESTATE INVESTMENT TRUST 1,386.00 69.30 - 0 0 UNION HOMES REAL ESTATE INVESTMENT TRUST (REIT) 10,175.81 40.70 - 0 0 UPDC REAL ESTATE INVESTMENT TRUST 8,538.46 3.20 - 9 137,039 9 137,039 9 137,039 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 9 137,039 CROP PRODUCTION FTN COCOA PROCESSORS PLC 440.00 0.20 - 0 0 OKOMU OIL PALM PLC. 52,751.22 55.30 -9.93 57 3,459,216 PRESCO PLC 40,450.00 40.45 -9.91 31 664,309 88 4,123,525 FISHING/HUNTING/TRAPPING ELLAH LAKES PLC. 8,500.00 4.25 - 0 0 0 0 LIVESTOCK/ANIMAL SPECIALTIES LIVESTOCK FEEDS PLC. 1,650.00 0.55 -3.51 8 239,000 8 239,000 96 4,362,525 DIVERSIFIED INDUSTRIES JOHN HOLT PLC. 217.92 0.56 - 0 0 1,903.99 2.93 - 0 0 S C O A NIG. PLC. TRANSNATIONAL CORPORATION OF NIGERIA PLC 28,047.11 0.71 -6.58 54 7,726,483 U A C N PLC. 21,609.72 7.50 - 53 947,954 107 8,674,437 107 8,674,437

BUILDING CONSTRUCTION ARBICO PLC. 469.26 3.16 - 0 0 0 0 INFRASTRUCTURE/HEAVY CONSTRUCTION JULIUS BERGER NIG. PLC. 26,664.00 20.20 -9.82 7 200,829 ROADS NIG PLC. 165.00 6.60 - 0 0 7 200,829 REAL ESTATE DEVELOPMENT UACN PROPERTY DEVELOPMENT COMPANY PLC 2,390.52 0.92 - 12 189,343 12 189,343 19 390,172 AUTOMOBILES/AUTO PARTS DN TYRE & RUBBER PLC 954.53 0.20 - 0 0 0 0 BEVERAGES--BREWERS/DISTILLERS CHAMPION BREW. PLC. 6,107.01 0.78 - 7 79,000 GOLDEN GUINEA BREW. PLC. 220.45 0.81 - 0 0 GUINNESS NIG PLC 55,197.65 25.20 - 17 33,846 INTERNATIONAL BREWERIES PLC. 170,574.14 6.35 - 13 76,004 NIGERIAN BREW. PLC. 237,507.99 29.70 -10.00 52 6,912,591 89 7,101,441 FOOD PRODUCTS DANGOTE SUGAR REFINERY PLC 117,000.00 9.75 - 67 431,284 FLOUR MILLS NIG. PLC. 81,187.52 19.80 -10.00 20 435,424 HONEYWELL FLOUR MILL PLC 6,582.06 0.83 -9.78 25 1,615,596 MULTI-TREX INTEGRATED FOODS PLC 1,340.10 0.36 - 0 0 N NIG. FLOUR MILLS PLC. 766.26 4.30 - 0 0 NASCON ALLIED INDUSTRIES PLC 25,169.66 9.50 -9.95 26 408,760 UNION DICON SALT PLC. 2,993.06 10.95 - 0 0 138 2,891,064 FOOD PRODUCTS--DIVERSIFIED CADBURY NIGERIA PLC. 10,330.11 5.50 -8.33 46 887,164 NESTLE NIGERIA PLC. 725,518.27 915.30 - 75 139,502 121 1,026,666 HOUSEHOLD DURABLES NIGERIAN ENAMELWARE PLC. 1,680.31 22.10 - 0 0 VITAFOAM NIG PLC. 5,015.88 4.01 -9.89 7 123,675 7 123,675 PERSONAL/HOUSEHOLD PRODUCTS P Z CUSSONS NIGERIA PLC. 14,889.29 3.75 -7.41 16 248,934 UNILEVER NIGERIA PLC. 66,929.31 11.65 - 31 160,528 47 409,462 402 11,552,308 BANKING ECOBANK TRANSNATIONAL INCORPORATED 80,738.03 4.40 -9.28 35 1,945,477 FIDELITY BANK PLC 44,331.44 1.53 -10.00 93 6,787,383 GUARANTY TRUST BANK PLC. 532,704.34 18.10 -9.05 795 62,183,618 JAIZ BANK PLC 12,964.27 0.44 -8.33 20 3,009,321 STERLING BANK PLC. 33,108.98 1.15 -9.45 23 1,321,925 UNION BANK NIG.PLC. 174,724.52 6.00 - 27 526,804 UNITY BANK PLC 5,026.42 0.43 -8.51 5 160,582 WEMA BANK PLC. 17,744.25 0.46 -9.80 47 3,795,215 1,045 79,730,325 INSURANCE CARRIERS, BROKERS AND SERVICES AFRICAN ALLIANCE INSURANCE PLC 4,117.00 0.20 - 0 0 AIICO INSURANCE PLC. 7,591.24 0.67 -8.22 32 1,993,881 AXAMANSARD INSURANCE PLC 15,855.00 1.51 -9.58 12 3,266,000 CONSOLIDATED HALLMARK INSURANCE PLC 2,439.00 0.30 - 0 0 7,217.46 0.49 - 2 3,219 CORNERSTONE INSURANCE PLC GOLDLINK INSURANCE PLC 909.99 0.20 - 0 0 GUINEA INSURANCE PLC. 1,228.00 0.20 - 1 100 INTERNATIONAL ENERGY INSURANCE PLC 487.95 0.38 - 0 0 LASACO ASSURANCE PLC. 1,464.69 0.20 10.00 14 1,791,611 4,296.33 1.00 - 13 3,177,103 LAW UNION AND ROCK INS. PLC. LINKAGE ASSURANCE PLC 3,200.00 0.40 - 5 76,634 MUTUAL BENEFITS ASSURANCE PLC. 2,234.55 0.20 - 3 9,245 NEM INSURANCE PLC 8,448.80 1.60 -8.57 46 2,780,962 NIGER INSURANCE PLC 1,547.90 0.20 - 0 0 2,960.40 0.55 - 1 100 PRESTIGE ASSURANCE PLC REGENCY ASSURANCE PLC 1,333.75 0.20 - 1 1,500 SOVEREIGN TRUST INSURANCE PLC 2,272.89 0.20 - 0 0 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 - 0 0 UNIC DIVERSIFIED HOLDINGS PLC. 516.46 0.20 - 0 0 UNIVERSAL INSURANCE PLC 3,200.00 0.20 - 0 0 VERITAS KAPITAL ASSURANCE PLC 2,773.33 0.20 - 1 200 WAPIC INSURANCE PLC 6,477.75 0.27 -10.00 67 20,642,809 198 33,743,364 MICRO-FINANCE BANKS NPF MICROFINANCE BANK PLC 1,943.64 0.85 -8.60 20 1,227,735 20 1,227,735

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MORTGAGE CARRIERS, BROKERS AND SERVICES ABBEY MORTGAGE BANK PLC 6,784.62 1.05 - 0 0 ASO SAVINGS AND LOANS PLC 7,370.87 0.50 - 0 0 INFINITY TRUST MORTGAGE BANK PLC 5,671.82 1.36 - 0 0 2,265.95 0.20 - 0 0 RESORT SAVINGS & LOANS PLC UNION HOMES SAVINGS AND LOANS PLC. 2,949.22 3.02 - 0 0 0 0 OTHER FINANCIAL INSTITUTIONS AFRICA PRUDENTIAL PLC 7,200.00 3.60 -10.00 28 654,090 29,115.23 4.95 -9.17 13 1,259,296 CUSTODIAN INVESTMENT PLC DEAP CAPITAL MANAGEMENT & TRUST PLC 495.00 0.33 - 0 0 29,704.07 1.50 -9.64 73 8,812,173 FCMB GROUP PLC. ROYAL EXCHANGE PLC. 1,131.98 0.22 - 0 0 STANBIC IBTC HOLDINGS PLC 307,795.54 29.30 3.35 44 956,349 11,400.00 1.90 -9.95 80 2,351,816 UNITED CAPITAL PLC 238 14,033,724 1,501 128,735,148 HEALTHCARE PROVIDERS EKOCORP PLC. 2,742.30 5.50 - 0 0 710.63 0.20 - 0 0 UNION DIAGNOSTIC & CLINICAL SERVICES PLC 0 0 MEDICAL SUPPLIES MORISON INDUSTRIES PLC. 494.58 0.50 - 0 0 0 0 PHARMACEUTICALS EVANS MEDICAL PLC. 366.17 0.50 - 0 0 5,111.58 2.45 -3.92 27 3,108,637 FIDSON HEALTHCARE PLC GLAXO SMITHKLINE CONSUMER NIG. PLC. 4,125.77 3.45 - 19 142,960 MAY & BAKER NIGERIA PLC. 3,709.26 2.15 - 2 642 759.66 0.40 -9.09 8 150,150 NEIMETH INTERNATIONAL PHARMACEUTICALS PLC NIGERIA-GERMAN CHEMICALS PLC. 556.71 3.62 - 0 0 325.23 1.50 - 0 0 PHARMA-DEKO PLC. 56 3,402,389 56 3,402,389 COMPUTER BASED SYSTEMS COURTEVILLE BUSINESS SOLUTIONS PLC 710.40 0.20 -9.09 10 4,065,080 10 4,065,080 COMPUTERS AND PERIPHERALS OMATEK VENTURES PLC 1,088.46 0.37 - 0 0 0 0 IT SERVICES CWG PLC 6,413.06 2.54 - 0 0 NCR (NIGERIA) PLC. 237.60 2.20 - 0 0 TRIPPLE GEE AND COMPANY PLC. 287.07 0.58 - 0 0 0 0 PROCESSING SYSTEMS CHAMS PLC 986.17 0.21 -4.55 77 13,104,123 E-TRANZACT INTERNATIONAL PLC 10,962.00 2.61 - 0 0 77 13,104,123 TELECOMMUNICATIONS SERVICES AIRTEL AFRICA PLC 1,123,311.48 298.90 - 2 2 2 2 89 17,169,205 BUILDING MATERIALS BERGER PAINTS PLC 1,767.92 6.10 - 10 17,996 BUA CEMENT PLC 1,195,411.70 35.30 - 3 2,028 CAP PLC 13,965.00 19.95 - 15 87,232 MEYER PLC. 244.37 0.46 - 1 1,000 PORTLAND PAINTS & PRODUCTS NIGERIA PLC 1,769.32 2.23 - 0 0 1,156.20 9.40 - 0 0 PREMIER PAINTS PLC. 29 108,256 ELECTRONIC AND ELECTRICAL PRODUCTS AUSTIN LAZ & COMPANY PLC 2,192.12 2.03 - 0 0 CUTIX PLC. 2,043.13 1.16 -9.37 6 308,877 6 308,877 PACKAGING/CONTAINERS BETA GLASS PLC. 34,998.04 70.00 - 0 0 GREIF NIGERIA PLC 388.02 9.10 - 0 0 0 0 AGRO-ALLIED & CHEMICALS NOTORE CHEMICAL IND PLC 100,754.14 62.50 - 0 0 0 0 35 417,133 CHEMICALS B.O.C. GASES PLC. 1,685.79 4.05 - 0 0 0 0 METALS ALUMINIUM EXTRUSION IND. PLC. 1,781.64 8.10 - 0 0 0 0 MINING SERVICES MULTIVERSE MINING AND EXPLORATION PLC 852.39 0.20 - 0 0 0 0 PAPER/FOREST PRODUCTS THOMAS WYATT NIG. PLC. 77.00 0.35 - 0 0 0 0 0 0 ENERGY EQUIPMENT AND SERVICES JAPAUL OIL & MARITIME SERVICES PLC 1,252.54 0.20 - 1 5,000 1 5,000 INTEGRATED OIL AND GAS SERVICES OANDO PLC 23,495.37 1.89 -10.00 83 13,885,962 83 13,885,962 PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS 11 PLC 52,827.21 146.50 - 24 80,419 ARDOVA PLC 19,927.96 15.30 - 3 3,731 CONOIL PLC 10,131.70 14.60 - 34 68,944 ETERNA PLC. 2,634.37 2.02 - 7 46,464 MRS OIL NIGERIA PLC. 4,206.05 13.80 - 1 50 TOTAL NIGERIA PLC. 36,328.84 107.00 - 10 15,070 79 214,678 163 14,105,640 ADVERTISING AFROMEDIA PLC 1,509.28 0.34 - 0 0 0 0 AIRLINES MEDVIEW AIRLINE PLC 15,796.05 1.62 - 0 0 0 0 AUTOMOBILE/AUTO PART RETAILERS R T BRISCOE PLC. 235.27 0.20 - 0 0 0 0 COURIER/FREIGHT/DELIVERY RED STAR EXPRESS PLC 2,779.06 3.00 - 11 12,892 TRANS-NATIONWIDE EXPRESS PLC. 421.96 0.90 - 0 0 11 12,892 HOSPITALITY TANTALIZERS PLC 642.33 0.20 - 0 0 0 0 HOTELS/LODGING CAPITAL HOTEL PLC 4,259.15 2.75 - 0 0 IKEJA HOTEL PLC 2,265.89 1.09 -9.92 2 150,050 TOURIST COMPANY OF NIGERIA PLC. 7,076.28 3.15 - 0 0 TRANSCORP HOTELS PLC 30,781.64 4.05 - 0 0 2 150,050 MEDIA/ENTERTAINMENT DAAR COMMUNICATIONS PLC 3,960.00 0.33 - 0 0 0 0 PRINTING/PUBLISHING ACADEMY PRESS PLC. 223.78 0.37 - 0 0 LEARN AFRICA PLC 771.45 1.00 -9.91 10 459,414 STUDIO PRESS (NIG) PLC. 1,183.82 1.99 - 0 0 UNIVERSITY PRESS PLC. 388.27 0.90 -10.00 8 733,605 18 1,193,019 ROAD TRANSPORTATION ASSOCIATED BUS COMPANY PLC 497.31 0.30 -6.25 2 496,698 2 496,698 SPECIALTY INTERLINKED TECHNOLOGIES PLC 688.80 2.91 - 0 0 SECURE ELECTRONIC TECHNOLOGY PLC 1,126.31 0.20 - 0 0

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Women in Business

Folake Soetan Acting CEO, Ikeja Electric plc

F

olake Soetan is the Acting Chief Executive Officer of Ikeja Electric Plc, the largest privately run Distribution Company in Sub-Saharan Africa and the foremost in Nigeria by revenue and innovation.

She oversees the ongoing transforma-

T

oyin is an acclaimed strategic leadership and capital markets expert and currently Chief Executive Officer of the Emerging Africa Capital Group which undertakes Advisory, Capital Raising, Trusts & Wealth Management Services, a company she established after retiring from her role as Group Chief Executive Officer of leading African Investment Banking franchise, United Capital (UC) Plc. She retired after over twelve highly successful years during which she led the company to win multiple awards for innovation, governance, dividend yield and as the best overall company on the Nigerian Stock Exchange at the 2017 Pearl Awards, at which Toyin also won the CEO of the Year Award becoming the first female CEO to win in the 22 year history of the Award which ranks all Nigerian Public companies. Toyin was also declared the CNBC AABLA All African Business Woman of the Year in 2017.

In both positions, Toyin’s role covered oversight of the group holding company and the design and implementation of an effective and efficient structure for subsidiaries, governance responsibilities to the group and subsidiary boards, supervision of the CEOs of the subsidiaries, allocation of capital resources and resolution of conflicts. At UC she was responsible for the supervision of three market leading subsidiaries and two divisions providing Investment Banking, Wealth Management, Asset Management, Trusts and Securities Services. In this capacity, she led her teams to play significant roles in raising capital for some of Nigeria’s leading infrastructure projects at Federal and State Government levels and in the private sector (such as advising on USD600m (representing 50% of capital raised by Power generating companies (Gencos), during the Nigerian

tion at Ikeja Electric, which has earned the company the remarkable recognition of the ISO9001 & OHSAS18001 certification - a mark of IE’s commitment to high safety and quality management standards. This is a testament of Ikeja Electric’s continuous improvement - a leading model in the Power Sector reforms). She has served on the boards of several companies and on investment committees of private equity and specialized funds.

Sanni is a past president of the Association of Investment Advisers and Portfolio Managers of Nigeria and currently the President of the Association of Corporate and Individual Investment Advisers, the official trade group recognized by the Securities and Exchange Commission for all registered Investment Advisers in Nigeria.

She is a graduate of the CEO Program of the Lagos Business School, holds a Master’s Degree LLM (Hons), from the University of Lagos and the Professional qualification of the Institute of Chartered Secretaries and Administrators (I.C.S.A.) UK. She is a Fellow of the Chartered Institute of Stockbrokers (C.I.S.) Nigeria and also a Fellow of the Chartered Institute of Secretaries and Administrators. She has participated in executive education programs such as the Harvard Business School Disruptive Innovation program, Global Strategic Leadership at the Wharton Business School and the CEP/AMP Program of the IESE Business School, Barcelona, amongst others.

She retired as Group Chief Executive Officer at United Capital Plc (formerly UBA Capital Plc) a position held from January 2014 to June 2018.

Prior to her appointment as the Group CEO of United Capital, Sanni was CEO, United Capital Trustees Limited (formerly known as UBA Trustees Limited). She has previously set up and run successful Trust, Asset Management and Leasing businesses.

She is currently chairperson of the Financial Literacy Committee as well as of Women in Finance Nigeria and a Past President of the Association of Corporate Trustees.

She sits on multiple boards including

BUSINESS DAY Friday 13 March 2020 www.businessday.ng

By Kemi Ajumobi

sector – in loss reduction, innovation and customer-centricity.

Her journey to the exalted role at Ikeja Electric has been challenging to say the least, yet, inspiring – especially in a sector traditionally dominated by men.

This journey commenced in 2015 when Folake joined Ikeja Electric as Deputy Chief Commercial Officer. She was immediately tasked with creating strategies and initiatives to reduce commercial and collection losses. She also had the crucial responsibility of improving customer service delivery while also building a team of young, agile and committed employees to provide fresh ideas for turning the business around.

Folake joined the company when Ikeja Electric was at a pivotal stage of implementing its transformational plan. The newly privatized business had commissioned an Asset Mapping and Customer Enumeration program to help improve the database of the company in relation to its customer numbers and infrastructure, with the ultimate objective of being able to serve Ikeja Electric’s customers better.

Within a year, Folake was made Chief Commercial Officer of Ikeja Electric, ushering in one of the most amazing turnarounds the industry has witnessed from a commercial point of view. She and her team introduced several initiatives that are currently being implemented in curbing energy theft, addressing issues around estimated billing, improving customer complaints resolution, and reducing commercial and collection losses.

In 2019, Soetan was promoted to the position of Chief Operating Officer with the goal of transforming not just the Commercial Department, but the Technical Department and other key operations in the organization. Folake and her team in-

troduced several initiatives that engendered the improvement of the quality of power supply in the Ikeja franchise areas, from an average availability of 12 hours to about 16 hours supply daily. She was also in charge of the team that delivered the Bilateral Power initiative in August, 2019 – a Willing-BuyerWilling-Seller scheme, which for the first time in Nigeria, witnessed the provision of a minimum of 20 hours of power supplied through the National Grid to customers.

Folake’s experience in change management, business transformation, passion for team building and nurturing talent is valued immensely by the staff and management of Ikeja Electric. Through teamwork, the company has reduced its ATC&C losses from over 41% to as low as 24.9% in 4 years, the best so far in industry standard. The company continues to innovate and rely on technology to deliver quality and stable power supply for customers in its franchise area.

She left Virgin Nigeria and joined SO Aviation, Lagos (a Sahara Group company) in 2009 to manage a turnaround project that led to the sign up of major international airlines; thus moving the company from Number 7 to Number 3 in market share. Then, in Ghana, as the Vice President (Downstream) West Africa, Folake was primarily responsible for three Sahara subsidiary companies.

Soetan has over 20 years of professional experience in the management of start-ups, Sales and Marketing, Change Management, with over 13 years in leadership roles.

Folake is a graduate of Banking and Finance from the University of Lagos. She is also an alumni of Harvard Business School where she acquired certification in Advanced Management. Over the last 20 years of her career, she has garnered several certifications in various professional courses.

Toyin Sanni CEO, Emerging Africa Capital Group Transnational Corporation of Nigeria Plc (Transcorp). Toyin is the author of ‘Yes You Too Can’, ‘Get to the Top’, (inspirational books aimed at empowering the next generation of women leaders) and most recently, Riding The Eagle – A Guide To Investing in Nigeria

(a book which aims to serve as a guide for both local and international investors seeking to exploit the unique opportunities in the Nigerian economy, learn from the success stories of investing in Nigeria, as well as how to navigate the potential pitfalls and risks.

For sponsorship and advert placement contact: kemi@businessdayonline.com Published by BusinessDAY Media Ltd., The Brook, 6 Point Road, GRA, Apapa, Lagos. Advert Hotline: 08033225506. Subscriptions 01-2950687, 07045792677. Newsroom: 08169609331 Editor: Patrick Atuanya. All correspondence to BusinessDAY Media Ltd., Box 1002, Festac Lagos. ISSN 1595 - 8590.