BusinessDay 22 Oct 2020

businessday market monitor FMDQ Close Benchmark NTB* & CP*

Bitcoin

NSE Biggest Gainer Total N101

Everdon Bureau De Change

Foreign Reserve $35.7bn

Biggest Loser

28,659. 49

GBP-$:1.29 YUANY - 56.89

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Cross Rates

-7.37 pc

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Cocoa US$ 2361.00

$1899.29

news you can trust ** thursday 22 october 2020 I vol. 19, no 677

Crude Oil $42.93

I

N300

Buy

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I&E FX Window CBN Official Rate as at October 19, 2020

ntb

www.

FGN

Dangote Cement plc

Axxela Nsp-spv Funding 1 (Natural Gas) PowerCorp plc plc

385.75

0.00

0.00

-0.96

-0.04

-0.04

-0.15

379.00

0.69

3.50

5.85

5.87

6.67

6.88

$-N 450.00 466.00 1m £-N 600.00 616.00 Currency Futures 28-Oct-20 388.88 €-N 540.00 554.00 ($/N)

g

MTN Nigeria plc CP

Spot ($/N) 29-Apr-21 5-Mar-21 23-Jul-30 30-Apr-25 20-May-27 27-Feb-34

Market

₦5,486,748.49 +1.70

Foreign Exchange

Benchmark Sovereign & Corporate Bonds

3m 2m 25-nov-20 30-Dec-20 391.71 394.55

6m 12m 31-Mar-21 29-Sept-21 403.06

420.09

60m 36m 27-Sept-23 24- Sept-25 497.46

589.09

*NTB - Nigerian Treasury Bills; *CP - Commercial Paper

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#EndSARS: National security and a new national conversation

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fter the senseless killing of unarmed and peacefully protesting Nigerian youths, both President Muhammadu and VicePresident Yemi Osinbajo can no longer claim plausible deniability, because only agents and agencies of the Federal Government have the right to bear arms in Nigeria. The #EndSARS protests driven by Nigeria’s youth are an unprecedented and extraordinary phenomenon that must compel Nigeria’s elite and its political leadership to rethink a number of cherished and longstanding orthodoxies and conventional wisdoms. Two of these include the concepts of “national security” and “administration of justice” respectively.

Front page Editorial The first soundings from the FG on concerns about “national security” portended the arrival of soldiers on the streets – many disinterested and untrained in modern crowd management techniques or in human rights, many with combat experience in the Niger Delta and the Northeast. Followed by news of a break out from the Benin Correctional Centre (formerly Benin Prison), it was obvious that the #EndSARS protests would be painted in official quarters as a plot to cause anarchy and mayhem in the country, even as there was and still is no evidence of such a thing.

Without condoning or promoting

a breakdown of law and order, BusinessDay sounds a note of caution about the haste to jump to conclusions and rush to take heavy handed actions that will only amount to starting the conflagration that no one wants.

We say emphatically that the elite and leaders of Nigeria at all levels must, first, recognise and henceforth take account of the reality that Nigeria’s youths have decided that the aphorism that “youths are the leaders of tomorrow” must become reality today. Second, the #EndSARS protests have demonstrated a serious capacity for planning, fundraising, execution, use of technology and management

by Nigeria’s youths that should not Continues on page 30

#EndSARS: Casualties mount as day of rage envelopes Lagos following army shootings . . FG’s handling of protest worsens Nigeria’s risk perception . . UN condemns army kil ings, calls for reform of Nigerian security forces ISAAC ANYAOGU, STEPHEN ONYEKWELU, ENDURANCE OKAFOR, & Temitayo Ayetoto he count of casualties from violent fallouts of what started as a peaceful protest against

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the Special Anti-Robbery Squad (SARS) is rising as victims soaked in their own blood are rushed to the Accident and Emergency (A&E) Ward of the Lagos University TeachContinues on page 30

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Thursday 22 October 2020

BUSINESS DAY

news EndSARS protests: Buhari appeals for calm, says FG already implementing demands Tony Ailemen, Abuja

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resident Muhammadu Buhari has again appealed to Nigerian youths who are currently protesting against police brutality to stop the protests as Federal and State governments are already addressing their demands.

The protest assumed a new dimension on Tuesday and Wednesday following the killing of some of the protesters in Lagos by men suspected to be members of Nigerian military, a position military authorities in Nigeria have denied.

The president’s appeal came as criminals and hoodlums hijacked the hitherto peaceful protests, looting and burning down houses in Lagos.

The looters have turned

their anger against some defenseless institutions, including looting the palace of the Oba of Lagos, even as they also burnt down the family house of the Lagos State governor, Babajide Sanwo-Olu, on Wednesday.

But the president, in a statement signed by the presidential spokesman, Femi Adesina, again appealed for calm, even as he listed actions so far taken to address police reforms.

These include the signing of a Bill establishing the Police Trust Fund in 2019, to mobilise additional funding for the welfare and equipping of the Nigeria Police Force. Accrual of funding into the Fund, as specified in its enabling Act, has commenced.

Continues on page 30

Nigeria bond yields soar as Biden says Buhari must end killing of protesting youths

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ields on Nigeria’s 2032 dollar bonds climbed 15 basis points to 8.26% by 8:31 a.m.

Wednesday in London, after jumping 21 basis points on Tuesday on the back of the bloody assault on protesting youths in the country.

Former U.S. Vice President Joe Biden, who is expected to win the November 3 election, released a statement Tuesday urging President Muhammadu Buhari and his military forces “to cease the violent crackdown on protesters in Nigeria, which has already resulted in several deaths.”

“The United States must stand with Nigerians who are peacefully demonstrating for police reform and seeking an end to corruption in their democracy. I encourage the government to engage in a good faith dialogue with civil society to address these long standing grievances and work together for a more just and inclusive Nigeria,” Biden said in the statement released by his campaign.

According to Bloomberg, while Nigeria has become accustomed to violent incidents in recent years, most have been confined to the country’s north, where President Muhammadu Buhari’s government is fighting an Islamist insurgency led by Boko Haram extremists.

Large-scale deaths perpetrated by security forces as occurred in the country’s economic hub Tuesday, are almost unheard of.

Before Tuesday, protests that began on Oct. 5 had been largely peaceful, with the government issuing a directive to its security forces not to use violence.

The events in Lagos drew criticism from U.S. political leaders including presidential candidate Joe Biden, who urged Buhari to end the violent

crackdown on protesters. Former Secretary of State Hillary Clinton echoed the same call.

On Wednesday hundreds of youths defied a government lockdown and returned to the streets of Lagos, Africa’s most populous city, a day after violent clashes between the security forces and protesters.

The youths, who carried sticks and metal poles, chased cars that tried to evade barricades they’d erected along one on the Lagos’s main expressways.

Several other streets were also sealed off, and the sound of sporadic gunshots echoed across the city. There was no sign of the police or army.

Spokespeople for the army and the police didn’t immediately answer calls by Bloomberg seeking comment.

Prior to the latest clashes, Amnesty International had estimated that at least 18 people had been killed in the protests, which have spread to about half of the 36 states.

The Lagos lockdown was imposed after two police stations were torched and a major expressway linking the main port city to the northern and southeastern parts of the country was sealed off. Police Inspector-General Mohammed Adamu ordered the deployment of anti-riot police to protect lives and property.

Most previous uprisings in Nigeria have been quashed by the security forces. The scale of the current protests and the fact that they have been organized on social media with no clear leaders have made them difficult to quell.

The demonstrations have cost Nigeria’s economy about 700 billion naira ($1.8 billion), according to the Lagos Chamber of Commerce and Industry. The oil industry -- Africa’s biggest and the mainstay of the economy -- hasn’t been affected so far. www.businessday.ng

Nigerians buy Bitcoin to hedge #EndSars uncertainty as prices surge 10.8% in 2 weeks FRANK ELEANYA

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igerians are buying Bitcoins to help hedge against an uncertain future, following the outbreak of protests against police brutality that began some 2 weeks ago.

In that time period, the naira price of Bitcoins has surged some 10.8 percent to N5.63 million per Bitcoin, compared to N5.08 million per Bitcoin 2 weeks ago, according to data from Quidax a Bitcoin trading exchange.

“In terms of volume of transaction and first-time

buyers we have seen an increase but it is difficult to say for change in price,” said a company representative at Quidax.

Another source at Luno Global Exchange also confirmed an increase in volume but would not say whether the protest had anything to do with the price change.

Nigeria came at top of the list of countries with the highest number of respondents that say they own or are using cryptocurrency, according to a recent report.

According to the study, 32 percent of surveyed Nigerians say they used or owned cryptocurrencies in 2020 while in Japan, which is last on the list, only 4 percent say they owned cryptos in 2020.

The survey, conducted by Statista, shows that countries with emerging economies like Vietnam (21%) and South Africa (17%) have more respondents who say they used or owned cryptos in 2020.

Spain (10%) is the only developed country where the percentage of respondents that own or used cryptocurrencies gets to double-digit figures.

In the United States, the percentage of respondents that confirm owning or using crypto is only 7 percent.

The protests began after a video circulated showing a man being beaten, apparently by police officers of the Special Anti-Robbery Squad, known as SARS, in Delta State.

Young protesters then

marched in cities across Nigeria, under the banner #EndSARS. In response, the government announced it would ban the anti-robbery squad, which for several years human rights groups have blamed for widespread abuses, including torture and killings.

The demonstrators have not been satisfied with the disbandment of the SARS unit and are demanding an end to abuses and respect for human rights in all parts of the police force.

The purchase of Bitcoins is a fitting response as younger people, as some of the earlier adopters of Bitcoins in the West African country, have also used the crypto-currency to evade police corruption and unauthorised searches.

What is left of Sanw-Olu’s mother resident after an attack, yesterday. Pic by Olawale Amoo

Worries as COVID-19 impact on real estate changes co-working growth story

… survey reveals 72% decline in number of users CHUKA UROKO

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ith 72 percent decline in the number of users and 67 percent drop in new membership enquiries, both within the first half of 2020, investors in co-working space market are worried over its changing story.

Co-working has been one of the high growth areas in Nigeria’s real estate market. The growth was driven largely by the emergence of start-ups and the migration away from costly office spaces.

When it started in the US in 2005, it was not much to reckon with but today it has grown to about 30,000 co-working spaces globally with an estimated 1.18 million users.

Africa’s large millennial population, according to a new report by Northcourt on Nigeria’s real estate market, contributed to the growth of

co-working on the continent and recorded more than 600 co-working spaces with Nigeria ranking highest.

Bu t t h i s sto r y ha s changed. “On March 20, this year, one of the country’s pioneer co-working spaces, CCHub, suspended activities until further notice.

LeadSpace also announced that its hubs would be closed due to social distancing restrictions. Globally, it’s been the same story,” Ayo Ibaru, chief operating officer at Northcourt, said.

Tenants are unable to use, and consequently, pay for space, Ibaru said, advising that investors in this space need to significantly adjust their business model and implement measures to continue business as working from the office (WFO) has quickly switched to Work From Home (WFH).

The effect of this is that the use of office space has reduced with some corporate head offices mandating

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that as much of 90 percent of their staff work from home.

This will influence future demand.

“The introduction of hygiene protocols is now mandatory. Co-working has been crippled by social distancing rules adopted to curtail the spread of COVID-19. Lagos, with the largest concentration of co-working spaces in Nigeria (over 60%) and a leading part of Nigeria’s coworking sector, is estimated to have lost N300 million in revenue as of March 2020,” Ibaru noted.

To survive, he said, coworking spaces will need to pivot. More people will want to work from home, mid to long-term. Digital networking events are already taking the place of physical meetings and focus is shifting to providing more support for members over the standard space and physical resources.

As the world conforms to the new conditions for @Businessdayng

doing business, analysts see co-working spaces facing challenging seasons ahead.

Corporate Nigeria has kicked the execution of remote working strategies into high gear with some head office complexes emptied of some of their staff.

It is hoped, however, that as large organisations optimise their operations postCOVID, co-working spaces will serve as a welcome alternative. The adoption of remote working post-pandemic is likely to increase, encouraging work from close-to-home co-working spaces where residences are not conducive enough.

Ibaru advised further that co-working space investors would need to attract and keep larger, more established clients looking to optimise administrative costs, adding that companies will set up a more distributed workforce to better manage employees working from different locations.

Thursday 22 October 2020

BUSINESS DAY

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Thursday 22 October 2020

BUSINESS DAY

NEWS

FX inflows into I&E window improve by 61.7% on CBN’s US$434.6m intervention HOPE MOSES-ASHIKE

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igeria’s foreign exchange (FX) inflows into the Investors and Exporters (I&E) window improved gradually in the third quarter (Q3) 2020, largely driven by the Central Bank of Nigeria (CBN) inter vention, which accounted for 48.2 percent of total inflows in the quarter.

A report by FSDH research showed that total forex inflows into the I&E Window in Q3 2020 stood at $1.94 billion from $1.2 billion in the second quarter (Q2) 2020. This amounted to a 61.7 percent increase quarter on quarter.

The CBN intervention increased in Q3 2020 to $434.6 million ($434.5 million in September alone) from less than a million dollar in Q2 2020.

The effect of Covid-19 on oil prices continues to constrain the CBN’s capacity to intervene in the I&E window.

Forex Inflows from exporters increased in Q3 2 0 2 0 by 2 0 0 p e rc e nt t o $287.2 million from $95.8 million in Q2 2020. Though, inflows from non-bank corporate declined by 5.8 percent to $620.4 million, it accounted for 32 percent

of total inflows in Q3 2020.

Also, turnover in the I&E Window improved in the third quarter of 2020 compared with Q2 2020 the report stated.

There was no FX trading on Wednesday across markets segment following the 24-hour curfew declared by the Lagos State government as a result of the #EndSARS crisis.

However, some BDC operators were able to fund their accounts in expectation of dollar disbursement by the CBN on Thursday. “ Yes BD Cs w ere able to fund their accounts in three of our centres nationwide namely Abuja, Awka and Kano fully. However a good number have also funded their accounts in Lagos before the announcement of curfew in the state”, Aminu Gwadabe, president, Association of Bureau De Change Operators of Nigeria (ABCON) said.

“We expect full market days in the three centres of Abuja, Awka and Kano tomorrow while we will be watching events as they unfold in Lagos,” Gwadabe told BusinessDay on Wednesday.

The pressure on the foreign exchange market persisted in Q3 2020 owing to slow down in the global oil prices and continued pres-

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sure on external reserves.

Consequently, in bid to reduce pressure and unify the foreign exchange market, the CBN for the second time in 2020 devalued the Naira on the official window in Q3 2020 to N380/$ from N361/$.

The naira, though, stabilized on the I&E Window, went as high as N395.84/$ on a mid-day trade. At the end of Q3 2020, the naira stood at N386/$ from the opening value of N386.50/$.

As at October 9, 2020, the naira stood at N385.83/$.

According to FSDH report much of the instability occurred in the parallel market. The naira soared to as high as N486/US$ from the Q3 2020 opening figure of N460/$ (5.65 percent change).

The news of CBN resumption of sales of forex to Bureau De Change caused the naira to appreciate in the Parallel market to N440/ US$. The CBN sold about $400 million on a series of sales, yet the Naira depreciated reversing the appreciation recorded.

At the close of Q3 2020, the naira stood at N465/$ in the parallel market (1.09 percent change) and as at October 9, the naira closed at N457/$. As at October 16, exchange rate was N460/$ in the parallel market.

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Thursday 22 October 2020

BUSINESS DAY

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Thursday 22 October 2020

BUSINESS DAY

NEWS

Waltersmith’s 5000 bpd modular refinery ready for operations - DPR HARRISON EDEH, Abuja

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he Department of Petroleum Resources (DPR) says the 5,000 barrels p/d Waltersmith Modular Refinery project is fully ready for operations.

The director of DPR, Sarki Auwalu, during a pre-commissioning visit to the project site located in Ibigwe, Imo State, said “we can confirm that the refinery is ready to commence operations.

“We have seen all the preparations. To us, the plant is alive.

The commissioning is just symbolic. Everywhere is ready to start off. My overall assessment is excellent,” Auwalu said in a statement issued on Wednesday.

“We have been to other modular refineries but we have not seen anything like this: the space, the way it is arranged and the way

it will work”, Auwalu added.

The DPR director said people should start seeing the agency as an enabler and not a regulator as their focus was on how to create opportunities on how Nigeria’s vast oil and gas resources are managed for the betterment of Nigerians.

“The role we play is to enable businesses and create opportunities. When DPR issues you a license, it enables you to invest and as a result, that opportunity we create, that business is enabled”, Auwalu said.

According to Auwalu, “Waltersmith is one of our success stories. We consider the project as ours. We have been tracking their growth and we are happy to see that our child is growing. It is our plan that they expand and they have the potential”.

The 5,000bpd modular refinery, scheduled for official com-

missioning on October 26, 2020, has a crude oil storage capacity of 60,000 barrels and is projected to deliver over 271 million liters per year of refined petroleum products comprising of diesel, kerosene, Naphtha and Heavy Fuel Oils to the domestic market.

The bulk of the crude supply for this phase will come from Waltersmith’s upstream business with backup from nearby third-party crude.

“What you see here is a proof of the absolute faith we have in our country. We want to demonstrate that it is practically a waste of resources to produce crude oil and just sell it. It is more impactful to add value and make more significant impact on the GDP of our nation”, Abdulrasaq Isah, chairman of Waltersmith Refining and Petrochemical Company said.

“This is the first phase of a

series of refinery development which will culminate in the delivery of up to 50,000bpd refining capacity that will expand the product slate to include PMS, LPG and Aviation fuel”, Isah said adding that the expansion plan consists of 20,000bpd crude oil refinery and a standalone 25,000bpd condensate refinery both of which are at early stages of project development.

On the sustainability of the refinery project, Chikezie Nwosu, managing director/CEO of Waltersmith said domestic consumption is more sustainable that crude export.

“With export, there are things you do not have control over and for every dollar you gain by exporting crude oil as a commodity, you gain multiples of those dollars in terms of GDP growth by consuming the energy within the economy”, Nwosu said.

L-R: Salaudeen Hashim, conflict adviser, Civil Society Legislative Advocacy Centre; Gabriel Jiya, director of research, Institute for Peace and Conflict Resolution (IPCR); Bakut Tswah-Bakut, director general of ICPR, and Chidie Ugwu, representative of the Resident Representative, Friedrich Ebert Stiftung Nigeria, during the symposium on the role of Civil Society in Nigeria’s core conflicts, in Abuja.

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As calls for inquest mount, NBA begins legal action against Nigeria’s military …Peterside wants perpetrators exposed

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he Nigerian Bar Association says it will commence legal proceedings at home and abroad against the military as calls mount for a judicial inquest into the bloody confrontations Tuesday leading to the deaths of several innocent Nigerian youths who have been protesting police brutality.

Nigerians are asking who gave the orders for the assault by the security forces against youths that have engaged in largely peaceful protests against police brutality.

In a tweet Wednesday, Atedo Peterside, banker and chairman of Anap foundation, prayed, “dear Lord, whilst praying for the souls of the departed #EndSARS protesters, I also pray that those

responsible for this dastardly act be exposed and brought to justice, along with those meant to protect their lives, who shirked the responsibility out of cowardice.”

In a statement Olu Akpata, president of the bar association said, “the NBA shall immediately commence legal proceedings at all relevant for a (both locally and internationally) against the Nigerian military and other relevant authorities, on behalf of the families of the victims, for abuse of power, disregard of rules of engagement and the infringement of the fundamental rights (including right to life) of the affected citizens.”

The action by the lawyers www.businessday.ng

union came after Governor BabaJide Sanwo Olu said he “watched in anguish the unacceptable event that occurred last night at the Lekki tollgate” and which he blamed on forces beyond “our direct control.”

Images on social media show a well-orchestrated assault by men in uniform who approached the youths at the tollgate before gun shots began to crackle, disrupting the quietness of the darkness.

Before then, the youths had kept their peace with many sitting on platforms which they created from the many plastic materials used to separate traffic in good times.

The social media is replete

with videos showing how the security forces approached the protesters and pictures are circulating of dozens of spent bullets picked up after the bloody confrontation.

Around the world, people are waking up to the riveting coverage by the global media of Nigeria’s bloody Tuesday.

Leading global outlets like the Financial Times, Wall street journal, the UK Guardian, BBC, CNN have devoted elaborate airtime and space to reporting the violent attack on the youths by security forces.

Former US secretary of state Hillary Clinton has asked President Muhammadu Buhari to stop the killing of the youths

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NASU/SSANU strike: FG sets up committee to harmonise payments GODSGIFT ONYEDINEFU, Abuja

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he Federal Government has set up a five-man committee to resolve the inconsistencies in payment of salaries of the nonacademic staff members of universities.

This was part of the conclusions reached at the meeting between the Federal Government and the leadership of Non-Academic Staff Union of Universities (NASU) and Senior Staff Association of Nigerian Universities (SSANU) on the alleged failure of government to address the unions’ concerns, in Abuja.

The Joint Action Committee (JAC) of SSANU and NASU had embarked on a 14-day warning strike from October 5 to 19 to call the attention of Federal Government to their demands.

Presenting the conclusions at the end of the meeting, the minister for labour and employment, Chris Ngige, said the committee would examine holistically the complaints of the unions on inconsistencies in their payments by the Integrated Payroll and Personnel Information System (IPPIS).

The committee, with two weeks to conclude its assign-

ment, would ensure that IPPIS worked with the unions to identify and pay those who had not been paid; and would also identify, for the purpose of payment, those whose check off dues had been deducted but not remitted.

To facilitate the work of the committee, the unions were requested to forward the necessary data to IPPIS, as well as submit the necessary documents on the issue of welfare, to assist IPPIS make deductions, on or before Friday, October 23, 2020.

The membership of the five-man committee is drawn from National Salaries Income and Wages Commission (NSIWC), Federal Ministry of Labour and Employment, IPPIS, National Universities Commission (NUC) and Office of the Head of Civil Service of the Federation (OHCSF).

On the other issues raised by the unions, the meeting agreed that the Office of the Accountant-General of the Federation (OAGF) would compute the arrears of minimum wage from April 2019 - January 2020 and forward to the federal ministry of education to process for payment through the federal ministry of finance. A timeline of two weeks was given.

#EndSARS: NBA condemns killing of protesters in Lagos INIOBONG IWOK

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he Nigerian Bar Association (NBA) has condemned the shooting and killing of some protesters at Lekki in Lagos on Tuesday.

The NBA president, Olumide Akpata condemned the act in a statement on Wednesday in Abuja. Akpata said the attention of the association was drawn to the “dastardly shooting and killing of #EndSARS protesters at the Lekki Toll Plaza in Lagos State’’ by the Nigerian Army.

“From news reports on the incident, many lives were lost in the attack while several others were injured during the melee that ensued.

“The NBA strongly condemns this act of recklessness and lawlessness by the army, based on reports available to us, it appears to have been a carefully calculated and premeditated attack.

“Even if the protesters at the Lekki Toll Plaza were in breach of the curfew imposed by the Lagos State government, such a misdemeanour or breach did not warrant the use of live ammunition by the Nigerian military to confront otherwise peaceful, unarmed and defenceless protesters.

“To be clear, the events are such that we should never see or consider as normal in any democracy,’’ he stated.

Akpata called on the military high command to immediately identify and name the officers involved in @Businessdayng

the shooting “for immediate prosecution and dismissal in line with extant laws’’.

“The NBA shall immediately commence legal proceedings at all relevant fora (both locally and internationally) against the Nigerian military.

“And other relevant authorities on behalf of the families of the victims, for abuse of power, disregard of rules of engagement and the infringement of the fundamental rights (including right to life) of the affected citizens,’’ he said.

Akpata said following the degenerating nature of the crisis, an emergency meeting of the national executive committee of the association would be convened within 48 hours.

According to him, this is to review the state of the nation and take other appropriate steps to decisively deal with the situation and prevent the nation from further going adrift.

“The NBA believes that the current situation in the country calls for dynamic leadership, and as critical stakeholders in the Nigerian project, invites the President of Nigeria and others in authority to show uncommon leadership in saving the situation.’’

He said showing uncommon leadership now was preferable to “deploying troops against defenseless citizens whom they swore an oath to protect’’.

Thursday 22 October 2020

BUSINESS DAY

NEWS Youth in Lagos suburb defy Sanwo-Olu’s curfew, mount road blocks CHUKA UROKO

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hile the youth in the urban centres of Lagos including Lagos Island, Ikoyi, Lekki, Surulere, etc are afoot destroying private and public assets in revenge for the wanton killing of their colleagues at the Lekki Toll Plaza on Tuesday by suspected agents of government, their counterparts in the suburb have remained on the streets and expressways with anger all over them.

In spite of the 24-hour curfew imposed on the states by Governor Babajide Sanwo-Olu, the youths yesterday continued to march on the streets and blocked the roads.

On Lagos-Bagadry Expressway, BusinessDay counted, while monitoring events in that part of Lagos, six road blocks from the Agbara end of the expressway to Afromedia Junction where the starry-eyed youth were unyielding to any plea for passage.

“There is no movement in Lagos today,” one of them yelled at a motorist who was trying to explain why he was on the road as he was not at work. “We are angry, we are mourning and so, nobody should disturb us.

Please, go back to your house. It is in your own interest,” the youth advised.

Many people, mostly business men and women who have their shops along the expressway were seen trekking long distances. Some of them who could not endure the long trekking exercise took motorcycle (okada)

in-between road blocks as even the cyclists were not allowed to pass through the road blocks.

Yesterday’s incident at the Lekki Toll Plaza has enraged not just the youth alone but also other concerned Nigerians and their friends in other parts of the world. “I have not seen a thing like this before,” said a real estate investor, who did not want to be named.

According to the investor, “we know that Nigerians are generally wicked to each other whether they are in the police, civil service, airport, post office, hospital, school, church, name it. If one understands the psyche of the people one is dealing with, one should not dare such people when they threaten violence.”

He noted that the EndSARS protest was much needed and had been very successful until about three days ago when hoodlums started to compromise it, leading to the gruesome event of October 20 at the Lekki Toll Plaza.

According to governor Sanwo-Olu, “this is the toughest night of our lives as forces beyond our direct control have moved to make dark notes in our history, but we face it and come out stronger.”

The governor in his statewide broadcast, Wednesday morning, appealed to Lagosians to remain calm, but that appeal doesn’t seem to have touched the sensibilities of the youth who have been on revenge mission since morning, leaving destruction of immense proportion on their trail.

#EndSARS: BRT loses N100m in 6 days T he management of Primero Transport Services (PTS) Ltd., operators of the Bus Rapid Transit (BRT), in Lagos, has said it lost over N100 million in six days to the sustained #EndSARS protests.

Mutiu Yekeen, head of corporate communications of transportation firm disclosed

this in Lagos on Wednesday.

Yekeen said that the company has been making losses since October 16, 20202 till date.

According to him, the management has finally suspended operations at all levels because the protest in Ikorodu had been hard on its operations.

The spokesperson said that the BRT had not been operat-

ing since Friday, adding that, the state government had also declared curfew which means no transporter could operate from 4p.m on Tuesday.

“We are hoping something better will come out of the situation because, presently, the situation has impacted negatively on our business in terms of revenue generation.

Berklee partners Afrinolly on MTN’s Y’ello Star

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ver 10,000 contestants will compete to become the next Nigerian music star, with coaching, judging, and recording from members of the Berklee community.

Berklee will take part in the largest mobile-based music reality show in Africa, working together with multinational mobile telecommunications company MTN and multimedia mobile app and creative hub company Afr inolly. The partnership will bring the Y’ello Star reality show to MTN’s mobile platform, broadcasting the contest to nearly 1 million users.

Members of the Berklee community will serve as panelist judges as well as coaches for the contest’s 16 semifinalists. The winners of the reality contest will record their debut single at power station at BerkleeNYC, Berklee’s campus in New York City, which features a one-year graduat e p ro g ra m w i t h t h re e specializations.

M TN Niger ia created Y’ello Star as a mobile musical platform to search for, discover, nurture, and launch music talents in the young Nigerian community. Over 10,000 contestants applied, with 40 semifinalists having been selected for the start of the

reality show.

“It is time for Nigerian music to fully take its rightful place in the global community,” says Chike Maduegbuna, CEO of Afrinolly. “With partners like M TN and Berklee, Afr inolly Creative Hub is discovering emerging music talents, cultivating them, and helping them grow.

I am excited that Berklee College of Music is here to help us develop those artists, and bring them to a global stage.”

“We’re excited to work with MTN, Afrinolly Creative Hub, and the Y’ello St a r re a l i t y s h ow ,” say s Berklee.

The contest will start late October and runs through late November.

The show’s judges include musical icon, singer, rapper, actor, and politician Banky W; singer-songwriter, actor, and social change agent Omawunmi Megbele; and six-time Grammy winner, poet, writer, actor, and producer Malik Yusef.

Commenting on the show, Osaze Ebueku, senior manager of sponsorships and promotions for MTN Nigeria, said, “The kickoff to the premiere season will give hopefuls the chance to showcase their talents from anywhere in Nigeria.”

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“We have lost over N100 million in the last six days but we decided to stop operations to avoid damage to our vehicles and also for the safety of commuters as an organisation.

“We value our customers more importantly; that is why we stopped operation due to volatility of the state especially in Ikorodu.

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Our youth and the protests - Looking beyond End SARS

AUSTIN OKERE

T

he youth are not our enemies; let us remember this before we do anything rash such as using brute force to quell their protests.

They are our children that have come of age. Their flaws are our failings as parents. All over the world, the youth have broken ranks with the earlier generation when they feel that their future is being mortgaged, mostly through excessive greed of the “elders”.

The wind of change has been blowing for quite a while. After the global financial crisis in 2008 there were the Occupy Wall Street protests in America. Occupy Wall Street (OWS) was a protest movement against economic inequality that began in Zuccotti Park, located in New York City’s Wall Street financial district, in September 2011. It gave rise to the wider Occupy movement in the United States and other countries.

Thereafter came the Extinction Rebellion, a global environmental movement with the stated aim of using non-violent civil disobedience to compel government action to avoid tipping points in the climate system, biodiversity loss, and the risk of social and ecological collapse.

Young Greta Thunberg, a Swedish environmental activist gained international recognition as the face of the protests for promoting the view that humanity is facing an existential crisis arising from climate change.

Quite recently, there were the Black Lives Matter protests which started in America and gained momentum, after a white policeman brutally murdered a black man, George Floyd, by kneeling on his neck for 8 minutes and 46 seconds. The #BlackLivesMatter movement is a Global Network that builds power to bring justice, healing, and freedom to Black people across the globe.

The Arab Spring, closer to home is indelibly etched in our minds. It was sparked by

the first protests that occurred in Tunisia on 18 December 2010 in Sidi Bouzid, following Mohamed Bouazizi’s self-immolation in protest of Police Corruption and ill treatment. It escalated into a series of antigovernment protests, uprisings, and armed rebellions that spread across much of the Arab World in the early 2010s.

The past two years have indeed been years of discontent, with protests demanding the removal of corrupt governments, better living standards, greater freedoms and more rights, toppling leaders from Bolivia to Sudan, with the latest being the forced resignation of the President of Kyrgyzstan after weeks of mass protests.

The leaders of Bolivia, Algeria, Lebanon, Iraq and Sudan have been pushed out as a consequence. Youth Protests across the world aiming to take back their future is like a moving train. Stand in front of it and it will crush you. Remain on the platform and it will leave you behind; or you can hop on it for a ride into a future of social Justice and good governance.

Truth be told Nigeria’s case is not very different, even though in fairness, it did not start with this regime. It is an endemic problem that has assumed exponential proportions. SARS (Special Anti-Robbery Squad) and the injustice they perpetuate with characteristic impunity is a microcosm of the Nigerian situation.

In June 2018, CNN announced that Nigeria had overtaken India as the country with the largest number of people living in extreme poverty, with an estimated 87 million Nigerians, or around half of the country’s population, thought to be living on less than $1.90 a day. Data from the National Bureau of Statistics reveals that Nigeria’s unemployment rate as at the second quarter of 2020 was 27.1 percent, indicating that about 21.7 million Nigerians remain unemployed. The data also reveals that the worst-hit are Nigerian Youths (between the ages of 15 and 25 years) with over 13.9 million currently unemployed.

With the largest economy in Africa (GDP of $447 billion in 2019 compared to South Africa $359b and Egypt $303 billion), and despite her abundant natural resources and huge revenue from oil and gas exports of $32.6 billion in 2018 (according to eiti. org) it seems that Nigeria is experiencing growth without shared prosperity. The gap

between the rich and poor is ever increasing, as is the gap between the “in Crowd” and those left behind. Treasury looting and stashing hoards abroad has not helped the deficit in infrastructure and the enabling environment for creating Jobs.

According to TRT World, every year, Africa loses more than $88b due to illicit capital flight, amounting to 3.7 percent of the continent’s GDP of $2.6 trillion. Our youth are forced to take to immigration - legal and illegal, sometimes risking dangerous trails in the Sahara Desert and across the Mediterranean Sea in rickety rafts in pursuit of survival. Nigeria has been a “country of huge potential” since independence 60 years ago. When will this giant wake up from her slumber?

It is good that our youth have found Purpose behind a common goal. The strategy, conduct and prosecution of the peaceful protests has so far been remarkable. Unlike previous ones, this Youth Movement has not been punctured by tribalism, religion nor compromised by “leaders”. The youth have stood as one, behind a vision of a better country with shared prosperity and social justice. The youth have finally proved that they are not lazy, clueless and entitled. To buttress this, PayStack, a Fintech company founded in 2016 by Nigerian Youths Shola Akinlade and Ezra Olubi has been acquired by global fintech giant Stripe, in the biggest M&A deal in Nigerian corporate history.

Just recently, Interswtich, another Youthful Nigerian Company reached unicorn status after Visa acquired a minority equity stake in the firm, making her one of the most valuable African fintech businesses with a valuation of $1 billion,”. CWG Plc’s significant contribution to Financial Inclusion is another example. Diamond bank (now acquired by Access Bank) with 7m customer accounts after 23 years was able to add an additional 6m customers, mostly from the Bottom of the Pyramid in just one year after the launch of the Diamond Yello Account, Powered by CWG and MTN. It is about time that the youth invite themselves to the political table, because it is about their future. It is imperative to get involved in politics right from the grassroots, where the impact is most felt.

It is through such initiatives that we can ensure quality and inclusive education and

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It is good that our youth have found Purpose behind a common goal.

The strategy, conduct and prosecution of the peaceful protests has so far been remarkable.

Unlike previous ones, this Youth Movement has not been punctured by tribalism, religion nor compromised by leaders

healthcare for the masses while creating an enabling environment to attract businesses and create jobs. It is from here that they can ensure that the voice of democracy rings out loud throughout the land (and not one political godfather installing his stooges and milking the state treasury). #EndSARS was just a catalyst, it is imperative to now look #BeyondEndSARS and focus on the broader goals of social justice and equity.

The Youth have drunk deep of this cup of knowledge and empowerment, and there is no turning back. Even though the protests end in the streets, they will be carried deep in their hearts. This movement is by no means to a destination but rather a journey of sustainable nation building. They will begin to ensure that the demand side of governance is deeply entrenched and that the voice of democracy will always be heard loud and clear at every ballot. Gone will be the days when they were used as thugs during elections and dumped soon after, and the days when they disenfranchised themselves from apathy to the political process and the attendant requirement of probity from elected officials. This is just the beginning; the best of the Nigerian Youth is yet to come - Finally there is hope for our dear country.

Okere is the Founder of CWG Plc, the largest security in the technology sector of the Nigerian Stock Exchange, and Entrepreneur-in-Residence at CBS, New York.

Austin also serves on the Advisory Board of the Global Business School Network based in Washington, and on the World Economic Forum Global Agenda Council on Innovation and Intrapreneurship. Austin is a Non-Executive Director at Globus Bank and serves on the Board of Trustees of the Risk Management Association of Nigeria (RIMAN). Austin now runs the Ausso Leadership Academy focused on Business and Entrepreneurial Mentorship.

Austin Okere is the Founder of CWG Plc, the largest ICT Company on the Nigerian Stock Exchange & Entrepreneur in Residence at CBS, New York.

Austin also serves on the Advisory Board of the Global Business School Network, and on the World Economic Forum Global Agenda Council on Innovation and Intrapreneurship. Austin now runs the Ausso Leadership Academy focused on Business and Entrepreneurial Mentorship

Exploring a new model for cooperation between business and society

T

he hand-me-down capitalism models Africa inherited from her colonial masters have failed to yield a prosperous continent despite its vast resources. Therefore, Africa is in desperate need of something different that takes into consideration its unique history, qualities, and context.

Experts have mostly seen the interdependence of businesses and society as transactional, with the society needing business for products and services, for jobs, for government taxes revenues. In turn, business needs the society for the market, sales and profits and public infrastructure, security and the rule of law! According to Amaeshi (2019) businesses, though sympathetic to societal challenges, are reluctant to act positively through their companies as they sometimes see such requests as irrelevant to their objectives.

However, due to the interdependency and interconnectedness of business and society, companies must work collaboratively with the government for a common purpose. That purpose is to build local resources.

There have been calls for western economies to rethink their capitalism model (Jacobs & Mazzucato, 2016). There have also

been calls for Africa to develop its model of capitalism, with theorists and entrepreneurs exploring ideas like Africapitalism (Amaeshi, 2015). Africapitalism, coined by Nigerian entrepreneur Tony Elumelu, focuses on the role of business leaders, investors, and entrepreneurs on the continent’s development to create economic prosperity and social wealth. It rests on the following four pillars: a sense of progress and prosperity; the sense of parity and inclusion; a sense of peace and harmony; and a sense of place and belongingness.

Africa does need its model. However, I would argue that this model should be spearheaded by the state in collaboration with willing stakeholders in the private sector and third sector, unlike Africapitalism. A government-led push is especially relevant now that a few 21st-century economists are reassessing and rethinking capitalism in its present form. One of such critics is UCL’s Mazzucato (2018) The Entrepreneurial State: Debunking Public vs Private Sector Myths who debunks the mainstream neo-classical narrative that the private sector alone drives innovation but takes the position that the state is the driver of innovation.

Mission-Oriented Innovation Approach (MOIA) could help address some of the

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identified gaps to ensure state and business work jointly to solve grand challenges, to cocreate public value and co-shape a robust and sustainable society that it can bequeath to future generations.

There is, therefore, a need for an alternative model of collaboration for business, society and government. A suggested way forward for Nigeria, and indeed Africa, is to embrace a mission-oriented innovation approach. The concept of the missionoriented approach that involves government co-creating and co-shaping the market with the private and third sectors has enormous potential for Africa. The four pillars of ROAR, developed by Mariana Mazzucato (2016), is a useful tool set to anchor MOIA in Africa: Routes and directions- Government and Public institutions and agencies to set missions. Also, private sector leaders can nudge government agencies to agree to work collaboratively on national priority areas.

Organisational Capacity- Building of dynamic Capabilities within the Public sector through advocacy, capacity building, conferences and training.

Assessment and evaluation- Agencies, academia and organisations to determine new dynamic tools to assess public policies

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NONNY UGBOMA to create new models and markets.

Risks and rewards- Government and private organisations need to engage on the best risks and rewards sharing formats from initiatives to ensure smart, inclusive and sustainable growth.

In conclusion, as Western Economies are reviewing and rethinking capitalism and their operating models, Africa must ensure she does the same. The reason is that the future of the development of the continent depends on the economic model that it chooses to adopt, in the future, especially with the growing youthful population.

Ugboma is the Executive Secretary of the MTN Foundation and has recently returned from one-year Sabbatical studying for a master’s degree in Public Administration from the University of London Institute for innovation and Public Purpose. #business #society #societalvalue #publicpurpose #innovation #youth #nonnyugboma The Entrepreneurial State: Debunking Public vs. Private Sector Myths

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How to deal with the Nigerian state

CHRISTOPHER AKOR

S

ince the Nigerian army violently crushed Isaac Adaka Boro’s twelve-day revolt in 1966, the Nigerian state has found it expedient to employ brute force to suppress any legitimate expression of frustration and dissent by the people of the region. Ken Saro Wiwa and his Movement for the Survival of Ogoni People (MOSOP) tried the peaceful means in 1990 to press for “political autonomy to participate in the affairs of the Republic as a distinct and separate unit” and the “right to the control and use of a fair proportion of economic resources for Ogoni development”.

But, as usual, the Nigerian government responded to MOSOP’s demand with a brutal crackdown and, ultimately, decapitated the leadership of the group.

Many towns in the region do not even have as much as a police post, but security forces – the army, police and navy – are constantly deployed to protect oil installations that dot the region. These security forces constantly engage in torture and extra judicial killings of people in the communities and are rightly viewed as henchmen of a distant government concerned primarily with securing the oil and gas facilities and installations scattered across the regions on which the Nigerian economy, and more particular, the Nigerian federation, depends.

Even with the return to democratic governance in 1999 and the attendant freedom of expression it guarantees, the

people of the region still found out that the Nigerian state was unwilling to listen to any legitimate agitation and was determined to employ maximum force to crush any form of dissent and protect oil installations.

Gradually and with time, the people of the region came to understand that the only language the Nigerian government understands is that of force.

Fortuitously, politicians in the region, who were locked in deadly struggles for the capture of state power, found it expedient to recruit and arm youth groups to fight their political battles. Finding themselves well-armed and knowing they would soon be dispensed with after elections are won and lost, the youth groups moved quickly to assert their own relevance by resuming the Niger Delta struggle but this time through arms struggle.

Thus, by 2005, violence became the chief means by which power and resources were negotiated in the region.

Consequently, the loci of power shifted from community elders – a group the government and particularly the multinational oil companies found expedient to negotiate with and settle to quieten agitations – to militant youth groups who have been using violent means to successfully challenge the legitimacy of the Nigerian state.

These disparate militant youth groups used the instrumentality of violence to successfully threaten the economic survival of the Nigerian state and consequently negotiate an amnesty programme, in 2009, with the Nigerian state, worth billions of dollars and set the precedence for violent confrontation as the only viable means of resolving disputes with the state.

The Boko Haram insurgency virtually followed this template. The Nigerian state responded to the group’s growing influence the only way it knew; through

violence. Yusuf, the founder, and many of the sect’s members were brutally and extra-judicially executed. Those who survived the crackdown took refuge in the forest and had no option than to take up arms against the state. So lethal and successful had the group become that the Nigerian state, on several occasions, has offered them amnesty and continues to dangle the amnesty option before them just to get them to agree to come to the negotiation table. The rehabilitation and release of repentant militants, the proposed bill to set up a commission just to take care of ex-Boko Haram members are signs the Nigerian state has almost run out of options in fighting the group militarily and is desperate for some respite.

Shouldn’t that have taught the state some lessons about employing violence in response to largely peaceful and nonviolent agitations? You can’t bet on the Nigerian state to learn any useful lesson.

Upon coming to power in 2015, Buhari, an ex-military General and dictator, began another round of brutal crackdowns on largely peaceful groups. In December 2015, the Nigerian Army massacred close to 500 members of the Shiite sect - the Islamic Movement of Nigeria (IMN) – in Zaria for having the temerity to block the convoy of the Chief of Army Staff. Not done, they proceeded to the group’s headquarters, destroying their shrines, killing people inside and taking the leader of the Sect, his wife and several other members, hostage. Although those held hostage have since been granted bail by the courts, the government has refused to release them.

Many more members of the sect have been killed since then simply for protesting peacefully to demand the release of their leader being held hostage. To add salt to injury, the government has outlawed the group, declaring it a terrorist organisation.

Similarly, in 2016, the army went on an-

‘

It is clearly obvious that the Nigerian state has learnt no lessons and has continued to use crude violence and force to respond to peaceful agitations.

The unspoken message to these groups that are continually being massacred and mowed down by the army is that peaceful demonstration or protest never pays

other killing spree, mowing down dozens of members of the Indigenous people of Biafra (IPOD), supporters and bystanders at three locations in the Onitsha town and environs. Initially, the army lied that they acted in self-defence, that the protesters were armed and actually attacked the army first, but on the ground reports and investigation by Amnesty International put a lie to such concoctions. AI accused the Nigerian military of “Opening fire on peaceful IPOB supporters and bystanders who clearly posed no threat to anyone.”

Such action, according to the watchdog, “is an outrageous use of unnecessary and excessive force and resulted in multiple deaths and injuries.” Indeed, “In one incident one person was shot dead after the authorities burst in on them while they slept.” The watchdog tagged these shootings “extra judicial executions”, calling for urgent and independent investigation and the bringing to justice of anyone suspected of criminal responsibility. Indeed, the watchdog averred that the exact number of deaths is unknown largely because the Nigerian army took away corpses and the injured.

To this day, members of the group are still being hunted and killed across the five eastern states. As you might guess, the government has since declared the group a terrorist organisation.

It is clearly obvious that the Nigerian state has learnt no lessons and has continued to use crude violence and force to respond to peaceful agitations.

The unspoken message to these groups that are continually being massacred and mowed down by the army is that peaceful demonstration or protest never pays. The only chance they have of being taken seriously is by engaging in armed and violent confrontation with the state.

A substantial part of this article was first published February 27, 2020.

The amazing activism and nationalism of Dr. M.T. Akobo and Prof. Kimse Okoko

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n what is obviously one of the greatest moments of cold chills which any human community could have felt, the NigerDeltans and Nigerians are, this season, reminded of man’s pitiable duel with mortality as they set to lay to final rest, Nigeria’s first Minister of Petroleum Resources Dr Mofia Akobo, and leading leftist intellectual Professor Kimse Okoko, back-to-back on 10th and 17th October, 2020 respectively. These two sombre events come against a backdrop of a year of unprecedented losses ran riot by Corona Virus (Covid-19) or varied natural causes, which afflicted both great and small, royalties and simple, political hierarchy and citizens; too numerous to make reasonable counting.

For the Niger Delta, before any could emotionally convalesce from the loss of one of the region’s youngest entrepreneurial big wigs, Keniebi Okoko (son of now late Prof Okoko) a couple of months ago, its own Deputy National Chairman of the omnibous regional Pan Nigeria Niger-Delta Forum (PANDEF), Chief Francis Doukpola fell to the cold hands of death. Closely following, the entire South South, shockingly awoke to the departure of Captain Sam Owonaru, the “only surviving rebel officer” from the first military insurrection in Nigeria led by Major Isaac Boro in February, 1966. Interesting enough, Captain Owonaru and his rebel colleagues of the “Twelve Days Revolution” of that year, ended up fighting to keep “Nigeria One”; an effort that took the lives of all his colleagues save for him. As if these were not enough, of yet more dismay were the catalogue of departures in quick succession of Dr Ombo Isokariari, Chief Ken Etokochay and Chief Bekinbo Soberekon, three leading politicians and businessmen, and Supreme Court Justice Adulphus Karibi-Whyte; all four from Rivers state.

While all deaths are equally painful, dreadful and undesired, the exits of Dr Akobo and Prof. Okoko, both great national figures, more particularly represent a watershed in the retelling of the Niger Delta story. Importantly, chronicling of the Ijaw nationality story as they worked without equal, in both context and scope, for the unity and outlining of the object of what has become known as “the Ijaw struggle” – an appellation for the aspirations of the people of the group in Nigeria’s complex heterogeneous and socio-economic mesh.

Brief story about the medical doctor, turned soldier – politician Dr Mofia Tonjo Akobo’s life voyage plays out as one amongst few Nigerians which touches on almost every facet of the country’s public service and national development. He was trained as a medical doctor and a soldier who served in the Nigerian Civil War (1967-1970) and later became the country’s first Minister of Petroleum Resources. This placed him at the vortex of building the post-war economy, sadly still entirely dependent on oil.

As with many prominent Nigerians of Kalabari sub ethnic stock, he was born in the portside town of Abonnema in 1934, where he also had his primary education. From there, by the simple dint of exceptional academic brilliance, he proceeded to the famous Government College, Umuahia, from 1949 to 1955; becoming the School Captain in his final year. This was a time when Government College, Umuahia, was a citadel of sorts for the most outstanding from then Eastern Region and expectedly, they dominated public service and governance including at national level. His entry into the world of medical practice started from his time at the University College Ibadan in 1956-1960 and later University of Lagos Teaching Hospital 1963-1964. These prepared him for work at several places including the Royal Orthopaedic

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Hospital Igbobi, and Marina General Hospital, both in Lagos.

However, it was more of his practice while in the Nigerian Army that brought him to the forefront. He worked as a military doctor at critical units such as the Federal Airport Medical Unit and the Five Battalion Medical Service, both in Kano, and General Hospitals Yenagoa and Aba during the war years in 1966-1968. Ultimately, he rose to head the Nigerian Army Medical Corps of the 3rd Marine Commando from 1968 to 1970, during the most critical years of the Nigerian Civil War. A thought-provoking aspect of his affectionate instinct and medical practice is that he did not discriminate between combatants of both the Federal and the Biafra’s troops. His main goal at all times was that of saving lives.

With such great service to the country in the direct war front, he was selected for active engagement in the post-military service in governance at the level of his home state in Rivers, and later at the centre. Taking regard of his antecedence as a sportsman of note during his years at Umuahia and as a medical student at Ibadan and Lagos, it was not surprising when his first appointment was to Chair the Rivers State Sports Council and by consequence a member of the National Sports Commission of Nigeria.

He was pivotal to such great sports initiatives as the formation of once famous Sharks Football Club of Port Harcourt, which for several years was prominent in the National Premier League. After that came his separate appointments as the Rivers State Commissioner for Works and later Finance, from 19721974. His performance on these functions again played a pivotal role in ensuring the success of the Military administration of Rivers State, under then youthful Commander Alfred Spiff, who still maintains a record as having attained that high position at the age of 24 years in 1967.

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GODKNOWS IGALI Dr Akobo’s portfolios saw the construction of many of the idyllic landmarks in Port Harcourt.

On this, one writer, puts it thus: Over four decades after it was built by the administration of Navy Commander Alfred Diette-Spiff (rtd), only the Federal Government Secretariat in the new city of Abuja has a comparable presence. No State government in the entire federation, has been able to equal this indelible imprint of the very first administration of Rivers State created in 1967.

The Rivers State Secretariat Complex is a cluster of five high-rise buildings made up of three 7-storey buildings called Block A, B and C; a 10-storey building called the Podium Block and a 17-storey building called the Point Block, which though built before 1975, remains the tallest building in the whole of South-East and South-South of Nigeria.”

It is interesting how a medical doctor could so easily switch roles as his preference to the centre was imminent. So, the hawk-eyed then Head of States, Gen. Murtala Mohammed (1938-1976) discovered and moved him to Lagos as the Minister of the newly created Ministry of Petroleum Resources. This was at a time when there was critical debate in Nigeria as to proper management of the new windfall from its oil revenue and ensuring appropriate spread effect in all facets of the third National Development Plan (1975-1980). His entry into the oil industry came at the hiatus of the massive oil boom, which came at the aftermath of the Arab-Israeli conflict coinciding with Nigeria’s post-war 3-Rs - Rehabilitation, Reconstruction and Reformation Programme.

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The future is retail POSITIVE GROWTH WITH BABS

BABS OLUGBEMI

T

he current #endsars protest would have failed if not for the massive turnout of people. It is the large number of protesters that is giving momentum to the event and putting pressure on the authority.

I recall with great nostalgia the article I wrote in 2008 titled the future of banking is retail. I wrote that article as an industry expert to correct the impression that corporate or big-ticket transactions, though a fast track to achieving the bottom-line (profitability essentially) , are less essential to building a mass of sustainable retail customers. Today, my thought has been vindicated. Banks that pride themselves as corporate banks are now seriously involved in the retail banking drive. I know of two banks that have a minimum opening balance of N250,000 for their savings accounts in the early 2000 but now open accounts (including NYSC accounts) with zero balances.

In every business or segmentation, the retail end is crucial to success. The mass market has been proved to be a consistent source for the generation of sustainable business patronages and performances. Let us take Banking and the Fast-Moving Consumer Goods (FMCGs) as a case study. In banking, the retail segment will give any bank a stable and reliable low-cost deposit for lending and investment activities. As stated in my book, the value chain banking (a practical guide to winning customers’ business and loyalty), building a critical mass of

retail customers guarantees deposits and provides lending avenues to the financial deficit segments of the economy.

The retail loan portfolio if well-built and managed, will produce a consistent return on risk assets, though with a high risk of default if not well monitored. In such a case, the efficacy of underwriting and collection architecture is essential to guarantee the stakeholders’ fund and commensurate returns on investment.

In my consulting sojourn in the FMCGs sector, the focus on retail and consumer strategy is justifiable. The product development, the route to the market, brand activation, advertisement, value chain ecosystem and sales force management are all centred on the retail end where the creation of critical mass and momentum guarantees strong brand awareness and returns on investment.

For instance, an FMCGs company might use the end of the year or period incentives to offload its products into the warehouses of the distributors and record such sales to increase her reported turnover.

But this strategy has failed many companies because the consumers’ patronage from the distributors for the period is not on the trend to the ‘north’.The distributors will end up losing the incentives to high stock holding costs. In essence, the retail end of the spectrum is a crucial bucket for business success and survival.

The ongoing protest is a product of the neglect of the retail element of Nigeria’s population and national life.

Nigeria’s population is with a considerable number of youths that have been hampered by the corruption of our leaders, lack of institutions to curb corruption and dysfunctional political system and structures. We have produced leaders that are wealthier than the state they governed and yet, they still collect pensions equivalent to the salary of a sitting governor. We have enriched the pockets of people for doing nothing except vying for political offices. We have given out the national wealth as security votes and community projects without

strict accountability. Unlike China and Singapore that use their youthful population to their advantages, Nigeria youth have been crippled in enormous opportunities. Thanks to the ‘legislooters’ ‘execustealers’ and impacts of the mistake of 1914.

Our youths’ productive capacity being utilised in the protests could have been channelled to productive ventures.

Not that the protesters do not have work, but they needed a change that could help the future of this country. Our government has abandoned the mass market of the population, which should preferably be an advantage. I am sure the youth’s productivity capacity would have been better harnessed except for Nigeria’s peculiar lousy leadership and governance.

Therefore, we need to put a focus on our retail spectrum, be it in public, or private and the governance sector.

The building and leading of a country to self-sufficiency and realisation of national potential is a business. It is not politics! In the business economy, the wellbeing, patronage, and interest of the retail consumers are paramount to the success of the products or brand. They are a segment of the stakeholders that have the power, interest, and influence on the company; they cannot be ignored forever. One day, they will wake up and cause disruption peacefully, violently and in an extreme case, revolutionarily.

I had a recent experience to show how the critical mass of the population or customer base has been unattended to by a publicly quoted company. I did a transfer of N16,000 to a wrong beneficiary in another bank in October 2019 when I got the shocking news of the demise of Oloto Taiwo Hassan, a man who lived his life for others including me.

I know it was my mistake and waited patiently for the two leading Nigerian banks to resolve this and refund my money.

These banks are in the top 5 if not 3 rankings in this country. I would like to protect their brand now. After several attempts and with the same answer, the

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If one million Nigerians have a similar experience, what would be their trust in the financial system? This is a clarion call for the CBN and other consumer protection agencies to institutionalise a fortified system to protect the retail segment of every market

recipient bank has not to refund the initiating bank. I gave up and no contact was made for several months. I was told that the process of recalling the wrong NIP (a name for the interbank transfer) is openended and without any turn-around time.

Until my wrong beneficiary accents to the refund, nothing can be done. Unfortunately for the initiating bank, I know the fund is on lien and in the beneficiary’s account. He is willing to return my money, but a systemic failure has tied down my fund for 365days within the system.

Imagine that was my one-month salary?

Or do they think the money is another unclaimed dividend? I will give the initiating bank another one year before taking the case to the next level as an action from a responsible advocate for others who are without a voice or a pen.

If one million Nigerians have a similar experience, what would be their trust in the financial system? This is a clarion call for the CBN and other consumer protection agencies to institutionalise a fortified system to protect the retail segment of every market. The cumulative, consistent and stable contributions of the retail segments is more important than the one-off impact of the so-called ‘big tickets’ customers.

For the political leaders, your retail segment performance indicators are in provision quality public school education, improving the healthcare system, providing good road networks and an atmosphere where the children of nobody can become somebody without favouritism, nepotism or ascending to any political office. The future of every business or country is, therefore, in the retail space-a critical mass market where the critical mass of empowerment, national development, revenue and products sales are guaranteed overtime.

Babs Olugbemi FCCA, the Chief Responsibility Officer at Mentoras Leadership Limited and Founder, Positive Growth Africa. He can be reached on babs@babsolugbemi.org or 08025489396.

Coro: I still dee here! … EndSARS; No eye had seen; no ear has heard…

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or the past 10 days, I have been soaking in this unbelievable EndSARS phenomenon. It is the kind of thing we have been seeing offshore and have been wondering: where are our youths? And then, suddenly… suddenly… here we are! As I x-rayed the happenings over the intense EndSARS weekend (16-18/10/20) what came to my mind was, 1 Corinthians, 2:9: ‘No eye has seen, no ear has heard and no mind has imagined’… what is happening in Nigeria in the recent past.

But before we discuss that, let us give a little attention to Coro, the elephant in the room. Last week, I wrote a tale of two wars. However, the War against Coro and War against SARS are the same thing because Coro is a ‘brand’ of SARS, ‘an infectious disease with symptoms including fever and cough and, in some cases, progressing to pneumonia and respiratory failure’!

Sometimes in 1995, when I was squatting with a namesake and secondary school mate, Ik Okoye at Shotoyo-Hughes street, Aguda, Lagos, I had one of those unforgettable experiences. I had just returned from the clinic of another school mate, Damian Mbonu, where I was treated for acute malaria. I lay on the floor, ‘down and almost out’ while my younger brother, Nonso, who took me to the clinic was about leaving when a group of ‘small-boy’ robbers barged in. They dragged me roughly up from the floor and locked both of us in one of the wardrobes while they ransacked the flat.

When we got so uncomfortable and wanted to open our emergency cell, somebody grunted … ‘we still dee here’! It was when it got so unbearable and we shook the door of the cage again and nobody warned us that we came out only to realise that we had continued to stay in the cage long after they had left. Well, Coro is acting like the rascal who kept watch over us.

When we (and indeed the world) started behaving as if Coro had gone or lost its mojo, it is saying ‘I still dee here’! And it does so by baring its vicious fangs.

Unlike my earlier interventions, which usually started from abroad, today’s charity will

begin from home (but it will not end at home).

It is no longer ‘new news’ that 181 students and staff of a private boarding school in Lekki, Lagos have been coronised! Furthermore,17 medical students recalled for examinations at Kaduna State University have caught the mean bug while 57 employees of a firm in Ibadan have also just been coronised. This is happening in a worrisome situation in which 26 states have not met the low testing target of 1 percent of the population with some as low as less of 25 percent of 1 percent!

(That is if they are making any efforts at all!). Indeed, we are far from being there and any ‘denge’ to the contrary is tantamount to self-deception! The PTF, which is opening up everything everywhere, including the NYSC camps, is warning of increased infection due to EndSARS movement and has promised to offer free tests to all camp-corpers (do they have the capacity?) The CBN has directed banks to clamp down on suspicious Coro-related financial crimes. It is also on record that 1031 of our doctors have been coronised, with 16 deaths (a mortality rate of 5 percent, far higher than the national average).

Across the globe, developments in the Coro front are not cheery. The world has recorded above 40m Coro cases and there are renewed restrictions everywhere. Wales goes into a national two-week ‘firebreak’ lockdown on 23/20/20. Russia and Iran recorded the highest daily rises on 18/10/20 and both have added extra precautionary while Ireland has imposed the toughest restrictions in Europe. South Africa had fresh 1662 cases with the health Minister and his wife, Zweli and May Mkhize among the victims. Belgium has re-closed sports and restaurants while UK hospitals are running out of bedspaces. New Jersey is experiencing an unfortunate reversal of fortunes, doubling it’ s figures over the last month to an average of more than900 cases daily However, it is different strokes as Israel is in a relaxation mode while the Chinese Economy is powering on, hitting 4.9 percent growth in the 3rd Quarter- when

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Europe is expecting double depression from the second wave.

Air travels are up in the US where airport screening exceeded 1m on 18/10, the highest since March but 60 percent lower than last year.

The UN is also looking forward and is already stockpiling syringes for the awaited vaccines.

Some Professors have also authored the Great Barrington Declaration, which promotes the “herd immunity” theory, proposing that Coro should be allowed to spread to a point where enough people have been affected and infected to the extent that transmission is stalled. You want my opinion? In statistics, at the end of the day, everything correlates to everything else. In science, despite its famed scientific protocols, people end up living their fantasies. The only thing required is to make the right assumptions and to state it clearly!

Meanwhile, Dmitriy Stuzhuk, a Ukrainian fitness influencer who thought Covid-19 didn’t exist, has died from it at the age of 33. Hear him from his sickbed:” I thought that COVID does not exist…”Until I got sick…. “ COVID-19 IS NOT A SHORT-LIVED DISEASE! And it is heavy.”

As you have seen for yourself; life must go on but Coro is still very much around. Let’s take all possible precautions, even those that appear unnecessary EndSARS; No eye had seen; no ear has heard…

Last week, I feared (without necessarily praying against it) that SARS would become a metaphor and it is obvious to every observer, even surface analysts, that SARS had become an alias for all that is wrong with this our criminally mismanaged country. SARS has been scapegoated! 5-4-5 was SARS specific. The succeeding 7-4-7 included everything and the 23-point agenda went on to break it down so that even a kindergarten kid would understand. The 7-4-7 covered education and economy, constitutional reform, the impending debt peonage, security or insecurity, cost of governance and other antipeople policies.

Within this package are encapsulated issues

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IK MUO

like security votes, cost and size of governance, nepotism, sinful and predatory executive pensions, corruption, medical and educational tourism, incredible opulence of public office holders, and village-head mentality of governors. When you start seeing messages like ‘the monthly salary of a Senator is more than the gratuity of a Professor’, you know that the anti-SARS movement has indeed captured everything and that nowhere to hide for anybody Yes, no eye had seen, no ear had heard and no mind had imagined a mass ‘akshon’ like this in Nigeria. We had Ali-must-go; it was nationwide but limited to university students.

June 12 was political and metamorphosed into a Lagos, South-west W affair. We had other parochial protests. But nothing has ever been like this; total, comprehensive and inclusive. It is happening everywhere, ‘home and abroad’, in the cities and the villages, and even in those places where they are earnestly asking for SARS. Youths in Anambra trekked from Awka to Awkuzu, (about 30 kms if they took shortcuts) a symbolic march against police brutality. Our youths danced and sang in the son and the rain; they raised, managed and accounted for funds, they took care of themselves and everybody, including their traducers, they catered, impromptu, for the unfortunate ones and they did all this with visible joy, believing that joy cometh in the morning.

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Note: The rest of this article continues in the online edition of Business Day @https://businessday.ng Dr Muo is of the Department of Business Administration, OOU, Ago-Iwoye

Thursday 22 October 2020

BUSINESS DAY

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EDITORIAL PUBLISHER/EDITOR-IN-CHIEF

Frank Aigbogun EDITOR Patrick Atuanya

DEPUTY EDITORS John Osadolor, Abuja Lolade Akinmurele NEWS EDITOR Osa Victor Obayagbona NEWS EDITOR (Online) Chuks Oluigbo MANAGING DIRECTOR Dr. Ogho Okiti EXECUTIVE DIRECTOR, OPERATIONS Fabian Akagha ADVERT MANAGER Ijeoma Ude 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

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EndSARS protest: Where is Mr. President?

or the past two weeks, thousands of Nigerian youths have been on the streets demanding an end to police brutality, disbandment of the Special AntiRobbery Squad (SARS) of the Nigerian Police and comprehensive police reforms. The protests have paralysed activities and disrupted traffic on major roads in many cities. In places where vehicular movements are not disrupted, residents battle with gridlock, especially in Lagos, and the Federal Capital Territory, Abuja.

In saner environments, the President of the country would have by now come out openly to address the youths and the nation, since their demands are legitimate and for the good of the country. Alas, that has not been the case. The highest we have seen and heard were Buhari speaking in a recorded social media and narratives from his aides like the one Minister for Youth and Sports Development Sunday Areh gave on Monday.

In a nation experiencing chaos and youth restiveness, what would it cost Mr. President to address the protesting youths directly? All that President Buhari needs to do is to appeal to the conscience of the youths by saying something like this, “My dear children (not Fellow Nigerians), I have heard your complaints and demands. They are genuine and as a father, with children of your age, I know how painful it is

to lose loved ones or to be extorted by the Policemen who ordinarily should protect the citizens.

I have already directed that the SARS be disbanded, which has been done, I will go a step further to ensure that all police officers found guilty of culpable homicide, extortion and other crimes are brought to book. I plead with you to give my government a few months to sort out the issue. Meanwhile, a social media platform would be set up for all the aggrieved persons to lodge their complaint. I assure you that anybody found guilty of human rights abuse would be made to face the wrath of the law”.

Words such as these if uttered by Mr. President himself would certainly calm frayed nerves and return peace to our nation. But why Buhari has refused to tow this path of wisdom remains difficult to explain. Even the Senate in plenary on Tuesday advised him to address the nation on the lingering crisis.

Some of the youths have hinged their continued protest on the basis that Buhari must address their demands. It is common knowledge that the Nigerian Police have a culture of unending brutality. This is not the first time they will be disbanded. The protest is a result of distrust. No police officer has been arrested or brought out for Justice. Where is the sincerity of processes? Governor Sanwo-Olu visited the president to explain the plight of Nigerians to him but he

laughed it off. It shows the unseriousness of the president.

Despite the disbandment of SARS, protesters are still being attacked under the supervision of the police.

Young people want to live and it is important for everyone to speak. The demands are not being met. The culture of brutality has not stopped and the youth are saying they don’t want to be sold out anymore. Although police brutality has been with us for years, the latest outcry was ignited by the shooting of a youth in Delta State by police officers. The police later reacted, saying the victim did not die, and that the protesters also killed a police officer. As a result of the incident, social and political activists together with celebrities called on Buhari and demanded the scrapping of SARS. For the first week, the hashtag #EndSARS garnered the highest tweet across the world. Many Nigerians in diaspora also joined the protest, calling for an end to police brutality and total overhaul of the security outfit. To douse the tension, the Inspector-General of Police, Mohammed Adamu, announced the ban of the anti-robbery squad from operating on the roads. But citizens were not pacified by the announcement, citing instances when such directives have been given in the last four years.

Since this week, the protests have taken an ethnic dimension-North against South, Fulani against the other tribes. Hired thugs (hoodlums) armed with dangerous weapons now parade

the streets of Lagos and Abuja attacking innocent and defenceless youths engaging in peace demonstrations. The police see them and look the other way.

This is very unfortunate and should be condemned in its totality. While some of the demonstrators were dispersed with teargas by the police, a protester identified as Jimoh Isiaka, was shot in Ogbomoso, Oyo State. He later died.

In Apo Abuja on Monday, a car mart was burnt. The following day Tuesday, the Orile Iganmu Lagos police station was also burnt down by the same hoodlums. So far, over 15 persons have been reported killed amidst the protests.

Police brutality, especially by the now defunct Federal Special AntiRobbery Squad, was at a scary level until this strong movement against it. Extra-judicial killings were being treated like the norm in a sane society; and victims’ families were left helpless, most times, in situations where killer officers were shielded by superior accomplices. It is only in order for people to rise and say ‘Enough is Enough.” We urge the youths not to be intimidated by enemies of the nation in their struggle for the realisation of a near ideal society.

We also call on president Buhari to immediately address the youths in a nationwide broadcast as well as set machinery in motion to ensure that their demands are genuinely met. The youths have started a revolution that their parents have shied away from.

We only need to tread cautiously before it becomes another Arab Spring.

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

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Thursday 22 October 2020

BUSINESS DAY

BUSINESS INSIGHT How to bankrupt-proof your business during an economic downturn (part 4 - conclusion) Akin Monehin

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‘

In marriage when parties begin to look for the marriage certificate and start reviewing covenant clauses then there is a problem. As it is in marriage so it is in business

‘

ieter F. Uchtdorf, the renowned German Aviator once said, “It’s your reaction to adversity, not adversity itself that determines how your life’s story will develop.” That is true then and it is true now.

Most businesses are currently going through a sticky patch and survival is, to a great extent, dependent on how business leaders steer their enterprises out of the global slowdown. Will your ship make it to the other side, or be among the statistics of those that didn’t?

This concludes my series on strategies organisations should adopt to outlast the current global contraction in demand and drop in per capita income; the largest drop since 1870.

Accelerate in-flow of cash Blood is to the human body what cash is to businesses. Many business leaders - founders & entrepreneurs particularly - are often focused on their products. Quite expected as most CEOs are from the Sales/Marketing/Commercial side of the business. They often get carried away with pushing out as many products & services as possible, paying less attention to account receivable (AR). An account receivable is an accounting term which means cash due to a business for goods or services delivered or used, but not yet paid for by customers.

We don’t like to listen to them but this is the time to pay full attention to what your CFO advises, as that could be the lifesaver for your business. Profile your customers

and depending on their size and your relationship, there are a few tactics you can deploy to improve the health of your AR, including outright cancelation of credit facility, reduction of the credit period, offering discounts/incentives for immediate or upfront payment and so on. Shaking up your AR guarantees inflow of cash and keeps your business alive for the short to medium term. Airlines do this quite often; tickets bought six months before your trip could easily cost half the full price. That’s a tactic to accelerate the inflow of cash right there.

Activate the Force Majeure Clause This is my fifth (5th) & final advice to businesses struggling because of the impact of COVID-19 on the economy and by extension businesses.

In marriage when parties begin to look for the marriage certificate and start reviewing covenant

PenCom approves PFA agents for data recapture exercise Modestus Anaesoronye

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he National Pension Commission (PenCom) has approved the request of Pension Fund Administrators (PFAs) to engage agents and enter into partnership for shared services to fast-track on going Data Recapturing Exercise(DRE) in the industry.

The exercise is to ensure that all pension contributors and retirees have their data capture to ensure proper identification and also to enable them utilise transfer window when it is eventually open.

In this vein, the agents in partnership with National Identity Management Commission (NIMC) will be going round to organisations across the country to carry out data recapture exercise for contributors

and retirees.

PenCom had introduced the Data Recapture Exercise (DRE) in August 2019 in order to obtain complete, accurate and current data of all RSA holders (both active and retired), so directed PFAs to obtain the relevant information required for the DRE from RSA holders.

The Commission is desirous to ensure that all RSA holders are able to exercise their rights of transferring their RSAs from one PFA to another, in anticipation of the formal launch of the RSA Transfer System during the last quarter of 2020.

According to the Commission, the completion of the DRE is a prerequisite for processing any RSA transfer request by RSA holders who registered before 1 July 2019.

“In order to fast-track the DRE, the Commission approved a proposal of the Pension Operators’ Aswww.businessday.ng

sociation of Nigeria (PenOp) for an industry Shared Service Initiative (SSI). Consequently, PenOp has engaged agents to conduct the DRE on behalf of all PFAs. This arrangement will enhance efficiency in carrying out the exercise as it would allow an agent to recapture all RSA holders in the same organization on behalf of all PFAs.” “In partnership with the National Identity Management Commission (NIMC), the selected agents will have the ability to carry out NIN registrations seamlessly. The Commission hereby appeals to all active RSA holders and retirees to cooperate with the agents that would be visiting their organisations to carry out the DRE. Meanwhile, the Commission remains committed to providing necessary support to the pension industry to ensure the success of the DRE.”

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clauses then there is a problem.

As it is in marriage so it is in business. My advice, therefore, is that this should be the last option after strategies 1-4 fail. The Force Majeure clause is standard in most contracts and depending on how you argue, the COVID-19 pandemic may fall into that category. This may be a way out of your long-term commitment that now appears to be value eroding for your business.

Review the contract, speak to your lawyers, and activate the clause if you need to use it to save your business.

These are some cash conservation levers business owners can pull to improve resilience even as the world waits out this pandemic and its impact on economies.

I would like to draw the curtain on this series with a quote from someone I refer to as ‘Resilience Personified’. She was also known as the Iron Lady of UK politics.

She has the unkind reputation of being the most polarising UK Prime Minister yet the longest continuously serving one since Lord Liverpool (1812–27), winning three successive general elections since Lord Palmerston in 1865. She is the first female UK Prime Minister. She is Margaret Thatcher. She said, “You may have to fight a battle more than once to win it.” – that’s my last word and encouragement to entrepreneurs and decision-makers. Your recent failure and losses should not define you; review the business model and if it still makes sense, push it through, and let’s meet at the other side! Keep moving!!

Look out for my article, “Profiteering during an economic downturn” on the 12th of November 2020.

About the Author:

Akin Monehin is a thought leader, speaker, and business strategist.

A 2015 recipient of Choiseul Institut France’s Award of Top 100 African Business Leaders under 40 Years old, he hosts the thought leadership conversation on YouTube, “Make or Mar Moments with Monehin”. He is privileged to have worked in over 10 countries including French and Arabic speaking ones and leading organisations like British Airways, Virgin Atlantic & Nigeria LNG Ltd. Akin can be reached on akin. monehin@chicagobooth.edu Views expressed in his article are personal and do not represent the views of any institution he is affiliated to.

NDDC IMC escapes suit seeking its sack in Abuja court Ignatius Chukwu

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he embattled Interim Management Committee (IMC) leading the Niger Delta Development Commission (NDDC) since February 2020 has raised a toast, saying the decision of a Federal High Court in Abuja dismiss an suit demanding its sack is sign of big victory for the Commission.

The suit was filed by one Lucky Akharame, Adward Brisibe, Youths Arise for Undiluted Leadership and Development Initiative and Riverrun Development Initiative but the court dismissed on ground of lacking locus standi to seek just action.

The IMC led by Daniel Pondei, a professor, said the suit was part of a plot to destabilize the Niger Delta region.

The IMC said they were relieved that the Justice, Inyang Ekwo, upheld the law and dismissed the case, noting that the plaintiffs did not have the locus standi to file the suit challenging the action of government agencies. @Businessdayng

A statement from the Commission said the same plot in court was part of a bigger plot to destabilse the Commission from going to the National Assembly, to security agencies and the court. The statement said the suit was an invitation to trample on the sacred principle of separation of power, adding that it was only meant to encourage the court to usurp the executive powers of President to appoint an interim management board.

According to the judge, “If there is any breach or infraction of the provisions of the NDDC Act, it is the stakeholders specifically mentioned in Section 2(1) that are clothed with the locus standi to take an action in court on any matter concerning or pertaining to the appointment of Managing Director, Executive Directors and members of the Management Board of the NDDC.” The statement added that; “This particular case exemplifies the distractions we have had to deal with in our efforts to reposition and refocus the NDDC as the foremost interventionist agency in the Niger Delta region.

Thursday 22 October 2020

BUSINESS DAY

ENERGYREPORT Oil & Gas

Power

Money spent on subsidy can provide 27,000 mw, and other benfits OLUSOLA BELLO

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igeria Spends N10 trillion on Petroleum subsidy in ten years, an amount capable enough to build 16 million boreholes, 1 million class rooms, 300,000 fully equipped primary healthcare centres, over 20,000 kilometres of roads, 27,000 megawatts of solar electricity, 600,000 houses.

Tunji Oyebanji chairman, Major Oil Marketers Association of Nigeria (MOMAN) who disclosed this said the cost of fuel subsidy is affecting Nigeria negatively. This include, increasing number of truck accidents / explosions, degradation of industry infrastructures, lack enough margins generated to maintain,

renew and upgrade industry infrastructures.

The MOMAN chairman who spoke during a webinar on the “Challenges and Impact of a Deregulated Downstream Sector on Nigeria’s economy’’. organised by the National Association of Energy Correspondents (NAEC), said the removal will have positive impact such as alignment with the Nigeria National Petroleum Policy, construction and maintenance of refineries, establishing Nigeria as the refining hub for Africa and product availability in the country and for export and increased foreign exchange earnings.

He also reiterated the need for the quality of petroleum products being sold to customers to be regulated

to ensure that they meet the minimum standards.

The organisation also frowned at the lack of safety consideration by some stakeholders which has resulted in some fatality in the industry.

The MOMAN boss also expressed concern on the proliferation of Liquefied Petroleum Gas, LPG (cooking gas) plants across the country as well as usage of unsafe trucks in conveying petroleum products.

“They don’t have tracking devices because their owners don’t have funds to invest on new fleets. We believe that with the deregulation of the downstream sector, more investments will come in across the value chain,’’.

He called for “rigorous’’

regulation of the sale and distribution of Liquefied Petroleum Gas (LPG) following recurring cases of gas explosion in the country.

He said while MOMAN was in full support of the deregulation of the downstream sector – allowing market forces to determine prices -the association believes that there should be regulations in place.

Oyebanji who is also managing director, 11Plc spoke against the backdrop of the imperative of the federal government’s removal of the subsidy paid on imported petroleum products, the eventual deregulation of the downstream sector of the oil and gas industry, and highlighted the benefits derivable from the policy to the citizens.

Waltersmith modular refinery is ready for operations - DPR OLUSOLA BELLO

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he Department of Petroleum Resources (DPR) has said that the 5,000 barrels per day (bpd) Waltersmith Modular Refinery project is fully ready for operations.

The Director of DPR, Sarki Auwalu, during a pre-commissioning visit to the project site located in Ibigwe, Imo State said that the purpose of the visit is to make sure that Waltersmith Refinery is ready to start operations.

“We can confirm that the refinery is very much ready to commence operations. We have seen all the preparations.

To us, the plant is alive. The commissioning is just symbolic. Everywhere is ready to start off. My overall assessment is excellent”, Auwalu said.

“We have been to other modular refineries but we have not seen anything like Olusola Bello, Team lead,

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this: the space, the way it is arranged and the way it will work”, Auwalu added.

The DPR director said that people should start seeing the agency as an enabler and not a regulator as their focus is on how to create opportunities on how Nigeria’s vast oil and gas resources are managed for the betterment of Nigerians.

“The role we play is to enable businesses and create opportunities. When DPR issues you a license, it enables you to invest and as a result, that opportunity we create, that business is enabled”, Auwalu said.

According to Auwalu, “Waltersmith is one of our success stories. We consider the project as ours. We have been tracking their growth and we are happy to see that our child is growing. It is our plan that they expand and they have the potential”.

The 5,000bpd modular

Graphics: Joel Samson.

refinery, scheduled for official commissioning on October 26, 2020, has a crude oil storage capacity of 60,000 barrels and is projected to deliver over 271 million liters per year of refined petroleum products comprising of Diesel, Kerosene, Naphtha and Heavy Fuel Oils to the domestic market. The bulk of the crude supply for this phase will come from Waltersmith’s upstream business with backup from nearby third-party crude.

“What you see here is a proof of the absolute faith we have in our country. We want to demonstrate that it is practically a waste of resources to produce crude oil and just sell it. It is more impactful to add value and make more significant impact on the GDP of our nation”, Abdulrasaq Isah, Chairman of Waltersmith Refining and Petrochemical Company said.

“This is the first phase of a

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series of refinery development which will culminate in the delivery of up to 50,000bpd refining capacity that will expand the product slate to include PMS, LPG and Aviation fuel”, Isah said adding that the expansion plan consists of 20,000bpd crude oil refinery and a standalone 25,000bpd condensate refinery both of which are at early stages of project development.

On the sustainability of the refinery project, Chikezie Nwosu, Managing Director/ Chief Executive of Waltersmith said that domestic consumption is more sustainable that crude export.

“With export, there are things you do not have control over and for every dollar you gain by exporting crude oil as a commodity, you gain multiples of those dollars in terms of GDP growth by consuming the energy within the economy”, Nwosu said.

Renewables

NCDMB, NLNG, oil firms oppose increase of Content Fund to 2 percent, Commission Bill OLUSOLA BELLO

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he Nigerian Content Development and Monitoring Board (NCDMB) and key organisations in the oil and gas industry - the Petroleum Technology Association of Nigeria (PETAN), Petroleum Contractors Trade Section (PCTS), Oil Producers Trade Section (OPTS) and the Nigeria LNG Ltd have advised against increasing the percentage of the Nigerian Content Development Fund (NCDF) from the current one percent to two percent as proposed in the amendment of the Nigerian Oil and Gas Industry Content Development (NOGIDC) Act. The NCDF is deducted from the value of contracts awarded in the oil and gas industry and was pegged at one percent by the NOGICD Act of 2010.

The organisations canvassed this position in separate presentations they made on Monday in Abuja at the twoday public hearing organised by the Joint Senate Committee and House of Representatives Committee on Nigerian Content Development and Monitoring.

The public hearing is focussed on three proposed legislations, namely the Bill for an Act to amend Nigerian Oil and Gas Industry Content Development Act, Cap 2, 2010 and

other maters connected thereto and the Bill for an Act to enact Nigerian Local Content Act for the development, regulation and enforcement of Nigerian Content in all sectors of the Nigerian economy except Oil and Gas Industry Sector and for related matters.

The third legislation seeks to repeal the NOGICD Act and enact Nigerian Local Content Development and Enforcement Commission Act and establish the Nigerian Local Content Development and Enforcement Commission.

In his submission, the Executive Secretary NCDMB, Engr.

Simbi Kesiye Wabote argued that the one percent NCDF deduction should be maintained “given the pressure that the global oil and gas companies are facing with cost escalations and price reductions in the industry. With prudent management of the NCDF and the full cooperation of the operating companies, we believe Local Content shall continue to operate efficiently and grow.”

In their speeches, representatives of the leading oil industry organisations advised against the proposed increment, stressing that an amendment of the NOGICD Act should promote and protect local businesses and encourage entry of foreign capital and technology into the country to further grow the sector.

Firm targets more gas-powered vehicles in Nigeria

A

s the Federal Government is gearing up to encourage use of Autogas and reduce the level of use of petrol as fuel for vehicles, the Nigerian Independent Petroleum Company (NIPCO) has expressed its commitment to ensure that more vehicles run on gas in Nigeria to improve efficiency and guarantee cleaner environment.

Sanjay Teotia, managing director, NIPCO Gas Limited (NGL), said the firm is committed to providing access to motorists to convert their cars to run on gas in furtherance of the Federal Government’s renewed initiative to reduce dependence on fossil fuels.

Speaking on the sidelines of a gas utilization forum organised by Gas Aggregation Company of Nigeria in Imo State, Teotia said NGL, which is a subsidiary of NIPCO Plc is providing plethora of infrastructure to facilitate use of gas as the preferred

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Environment

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energy source to motorist and industrial concerns.

He described the new drive of the Federal Government has been very apt to spur the use of gas in transportation. The company, which has so far fitted about 6,000 vehicles to run on gas since its inauguration by the then Minister of Petroleum Resources, Rilwan Lukman in 2009 in Benin, Edo State, is pioneering gas-powered automobiles as viable alternatives to white products.

He noted that initiative was conceptualized to offer alternative fuel to motorist as a result of the huge sums of money been expended on fuel subsidy, as it provides cheaper fuel and improve efficiency of vehicles.

The NIPCO boss said the company has so far commissioned eight Compressed Natural Gas (CNG) filling stations in strategic locations and also established the biggest gas compression plant in West Africa in the country.

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Thursday 22 October 2020

BUSINESS DAY

LegalBusiness BD Business Law Industry Report Practice Intelligence Partnerships

COVID 19: Would Africa Benefit from Patent Sharing?

Onyinyechi Ukegbu

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redictions by global health experts that future outbreaks of COVID-19 are likely, once suppression measures, like social distancing, are lifted, have made, even more urgent, the push to develop a vaccine, which will curb current transmissions and prevent future occurrences. As of April 2020, 70 COVID-19 vaccines were under development, with 14 in the US alone. The estimated timeline for an effective COVID-19 vaccine, from inception, is 12-18 months, which experts have noted to be unusually optimistic, given that an effective Ebola virus vaccine was approved three years after the initial outbreak.

The global watch for an effective vaccine is perhaps equally matched by the desire for an equitable distribution plan. This concern is based off of past experiences where countries, like Australia, Canada and the US used their wealth advantage to secure large advance orders of medical resources from manufactures, making it difficult for less wealthy countries to receive life-saving resources in quantities needed. And reports, like the Trump administration’s attempt to buy CureVac, a German firm developing a COVID-19 vaccine, have aggravated this concern.

Several initiatives for free patent-sharing have arisen out of the desire to forestall monopolies: the World Health Organization (WHO) endorsed a proposal by the Costa Rican government for a patent pool into which countries, companies and universities can deposit their Intellectual Property and grant reasonable access- the COVID-19 Technology Access Framework to provide “rapidly executable nonexclusive royalty-free licenses … in a bid to facilitate rapid global access”, and the presidents of Italy, France, Germany and Norway, led the charge to raise Euro 7.5Bn. to be donated to global health organizations to ensure that all countries in the world receive what they need to initially fight the pandemic.

African nations have not been

left behind in the unified quest for people’s vaccine. An open letter calling on all governments and necessary stakeholders in pharmaceuticals and research to pledge their intellectual property was signed by over 140 world leaders including the presidents of Senegal, Ghana and South Africa, Macky Sall, Nana Addo Dankwa Akufo-Addo, and Cyril Ramaphosa, respectively.

Ramaphosa, who is also chair of the African Union said, “Billions of people today await a vaccine that is our best hope of ending this pandemic…As the countries of Africa, we are resolute that the COVID-19 vaccine must be patent-free, rapidly made and distributed, and free for all. All the science must be shared between governments. Nobody should be pushed to the back of the vaccine queue because of where they live or what they earn.”

Prior to this new call, international patent-sharing provisions exist. Although, typically the manufacturer of a product has complete authority over the manufacture, distribution, sale and price of its products, Article 31 of TRIPS provides for compulsory licenses which allows persons, including government and third parties authorized by the government, to use the subject matter of the patent without the au-

Previously People Worked to

INSIDE Live but in the Future, they will Live to Work

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thorization of the patent holder. This license among other requirements specifies that the patent holder must be paid adequate remuneration, which takes into account the economic value of the authorization.

A compulsory license granted by a government or court can be issued in a case where a patentee refuses to grant a voluntary license when requested to do so on reasonable commercial terms.

Another scenario in which compulsory licenses can be issued is in the cases of national emergencies, and with relation to public health concerns, it allows the holders of the license to produce generic versions of the medication to satisfy domestic needs. It also requires that the use of the license by any member state must be for the domestic market.

However, this was not beneficial to developing nations without manufacturing capacity in pharmaceuticals. Thus, subsequently, Article 31, which included a provision that the manufacture of drugs must be for the domestic market was amended to favour countries without manufacturing capacity in pharmaceuticals.

The Doha Declaration on TRIPS and Public Health addressed specifically the licensing of drugs for serious diseases for developing

Can Africa’s regional economic communities produce a continental market? Part 1

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countries without manufacturing capacity. This allows countries unable to produce the medicines to obtain cheaper copies produced under compulsory license elsewhere.

In all instances where a compulsory license is issued, the patentee is paid an amount determined by the country issuing the license. In cases of national emergency, including urgent public health need, countries are allowed to issue compulsory licenses. Under the TRIPS agreement, the patentee, does not need to be approached first for a reasonable commercial terms and conditions.

But he must be notified as soon as is reasonably practicable.

All sub-Saharan African countries have national laws permitting compulsory licensing, including Nigeria. For instance, between 2001 and 2005, Cameroon, Eritrea, Ghana, Guinea, Mozambique, South Africa, Rwanda, Swaziland, Zambia and Zimbabwe all issued compulsory licenses for drugs to tackle the HIV/AIDS pandemic, paying between 2% - 5% royalty rate to the patent holders.

The main difference between the current established means of international IP cooperation and what is currently being proposed is that the patents be free, meaning countries who are able to use the patent will not be required to pay for it, unlike under a voluntary or compulsory licensing structure. This would mean that the patent owner would lose the ability to set its price.

Given that a huge part of the argument for this unprecedented move in international IP cooperation is access to required medicines to treat the virus regardless of wealth, this could be a primary reason why African countries are vying for the patents to be made free, as under the compulsory or voluntary licensing African countries will still have to pay a specified amount per the rules of TRIPS, Berne Convention or contract between themselves and the patent owner. CEPI (Coalition for Epidemic Preparedness Innovations) estimates that developing up to three vaccines in the stated 12–18 months would require an investment of at least US$2 billion to cover the cost of the clinical

There is still hope for Nigeria after All: the #EndSARS protests and what it means to me

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trials, excluding the cost of manufacture and delivery. Even severely discounted, this and the estimated price of $10 per dose of a finished vaccine, would pose a challenge for many African nations.

Traditionally, new drugs and vaccines would go to the world’s wealthiest countries, but the exact order of the countries could depend on who produces the vaccine first especially if developed in either the US or China.

Trump’s Operation Warp Speed has a mandate to develop a vaccine for the American people as soon as possible. The Trump Administration has also announced its payment of 1.2 billion$ to AstraZeneca, a drugmaker to work on a vaccine that would be ready by January, 2021.

On the other hand, China, who has at least 4 trials at home, has vowed to spend 2billion to help developing nations in the fight against COVID 19. China has also signed a WHO resolution that advocates that any vaccine discovered be treated as a “global, public good” and distributed fairly and affordably.

In either case, hedging one’s bets seems to be the safest course for African nations. While Nigeria assents to a patent free drug, it is also advisable to keep looking inwards to see what homegrown remedies like those found in Madagascar will be beneficial to suit the needs of the populace. Most nations and multinational vying for a patent free regime are bringing their own expertise to bear in the fight against COVID 19. They are conducting national trials and tests and the desire for a patent free regime is based off of the recognition that the pandemic is not restricted to borders and an outbreak in one country can throw the world off its course again.

Earlier, the Minister had stated that three potential treatments have been identified and are going through the phases, while these are cures and not innoculators, they may serve to ensure that Nigeria is out of the rat race for those requiring an immediate cure, in the event of a second wave. Hopefully this serves a portent for the country’s investment into local research and health institutions.

Threshold Attorneys & Solicitors set to hold webinar on “raising the bar: the changing environment for Nigeria’s legal profession”

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Thursday 22 October 2020

BUSINESS DAY

17

INDUSTRYFILE

Previously People Worked to Live but in the Future, they will Live to Work Uzoamaka Nwaiwu

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n a recent edition of the BD Digital Conversations, themed, “ILO Decent Work Agenda: Fair Treatment and Equal opportunities in the Workplace”, a panel comprised of Ose Okpeku, Chairperson, NBA- SBL ELIR Committee; Nkiru Olumide-Ojo, Regional Head of Marketing & Communication, Stanbic Group SA; Aisha Garba, Head, Corporate Services, Veritas Kapital Assurance Plc; Dr. Adeoye Adefulu, Partner, Odujinrin & Adefulu; Bolanle Ibitola, Director of Resources, United Capital Plc; Esther Akinnukawe, HR Executive, MTN; Chisom Obiokoye, Senior Associate, Perchstone & Graeys, and Chinelo Aroh, PHD, Cybersecurity, University of Hull discussed what the gig economy and the future of work entails, the challenges as well as the opportunities it presents in the labour market.

“The gig economy” - the part of the labour market characterized by the prevalence of alternative work outside the traditional corporate world of work, which includes on-demand work, contractor arrangements, part time jobs, temporary assignments, freelancing, and side hustles- “has always been in existence but did not have the terminology it has today”, Esther Akinnukawe pointed out. She added that the only difference is that it is growing in leaps and bounds, and the thing that is fueling this change is that more high profile “permanent” professional roles- engineers, technological specialists, legal advisers- are moving into the gig economy.

“There was a time when people expected to work for one or two companies until retirement with appropriate benefits including retirement benefits, but this view has shifted over the years and more and more people are entering the world of work no longer expecting job security. A large proportion of the working population today, especially millennials, are in the gig economy”.

Aisha Garba attributed its surging popularity to the increased need for flexibility, freedom, a desire for more control over work-family balance and the ongoing pandemic.

“It’s not just limited to the millennials or the Gen Zs, even the baby boomers and other generations are looking out for flexibility. Buttressed more now that the pandemic has made us realize that there is life after work, even the workaholics have come to realize that they can actually not go to a 9-5, be at home, get things done and still juggle family and work at the same time. Again,

the resurgence has been aided by increased digitization, and the fact that people’s attitude to work has changed. Gig workers want to know that they can shut down at a certain time and not have to be look at their phones or laptops or check out for any emails.”

Dr. Adeoye Adefulu noted that an internal survey in his law firm revealed that 93% of the staff voted in favour of a workfrom-home policy.

“Whilst that may be influenced by the state of the pandemic, I do think that the culture of working out of the office is likely to change irrespective of the pandemic. This new culture added to some of the economic challenges we are currently facing is evolving the flow of the work. You have a core group of staff at the partner or senior associate level and a few junior staff in certain areas, and what may happen is that you will be drawing expertise from a number of people who do not necessarily work within your law firm and that is some kind of gig economy culture. When you look at the RPC (Rules of Professional Conduct) which governs law firms and the practice of law in Nigeria, certainly within the law firm structure, there is nothing that requires one to have all associates as fulltime employees, so some firms are asking themselves questions.”

Nkiru Olumide-Ojo noted that the gig economy has so far been favourable to women as it has helped to increase their earning power as well as work life integration, however, women must be more definitive in their demands from the system. www.businessday.ng

“I think that there is a place for honing further skills for women and by that, I mean the gig economy is dynamic and with it being dynamic is also the big question of how women use technology. I found lots of research that show that the hard skills that are required for a future of work that supports the gig economy, women’s skills are in short supply in that regard. I feel that there should be a deliberate attempt to grow skills for females so that they are able to adapt and use technology in a way that improves their outcomes.”

Bolanle Ibitola admonished that the most critical skill in the gig economy is the ability to deliver timely results.

“As a traditional worker, your employer owns your skills, resources and everything you come up with but as a gig worker it about delivering results. You deliver and you move on. Integrity is key. You need to be able to create a channel that makes people come back to you with new projects. When we mention skills, we are looking at both the hard and soft skills, soft skills such as emotional intelligence, creativity, agility, peoples’ skills, active learning, and critical thinking and so on. Those are the skills you need for the job because you need to be able to deliver results. You need to be able to come up with systems and processes that will add to the bottom line and when we talk about hard skills, we mean technical skills. As a gig worker, it’s important that you always make use of your hard and soft skills, you are seen of someone that has integrity, you are able to deliver as at when due because

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no one wants the stress of following up with you.”

Chisom Obiokoye added that as a millennial and a lawyer, what he would want is a workplace that mirrors a gig economy with a little bit of traditional work structure.

“The gig economy provides a level of independence, flexibility and control but in the long run, you find that there is a lack of protection that the fulltime employment would ordinarily offer.

The ILO Decent Work Agenda is built on forming pillars which are employment creation, equal opportunities for all, fundamental rights, labour standards, right to work, social protection and social dialogue which promotes discussions between workers and employers. In some gig economy work arrangements, the workers are actually in an employment relationship disguised as an independent contractor or freelance relationship that however provides the person engaging them with an opportunity not to provide the usual social protection that you will find in a traditional structure, which has now brought us to the stage where we are now; where you find some freelancers and independent contractors going back to the courts to try to enforce what is ordinarily obtainable from employment relationships.”

Chinelo Aroh agreed that the future of work is changing and highlighted the risk it poses to individuals and organizations with the increases access to information, the vital asset to any economy. Examples includes; fraudulent emails, infrastructural problems, malware, phishing, exposure to unauthorized access @Businessdayng

and so on. She advised individuals and organizations to put in place, necessary systems and policies to ensure protection of information and to reduce the threats to be able to work effectively in the future.

“For this kind of new economy, it may be difficult for freelancers to take the necessary steps to reinforce these risks. Most of the times, it is these organizations with custody of the information that have to take steps to reduce the threats. Most organizations are advised to have an information security team with defined roles and responsibilities so when there are issues, there are reporting lines and people that can be consulted for solutions.

Organisations should also have issue-specific policies for your company to ensure protection of information, and trainings for organizations and policies in the office (e.g. changing of office passwords regularly). Sometimes, the challenges are even threats from within the office, so policies provide cover in such situations must still be in place.”

The panellists agreed that the gig economy is the new normal, and though rrealistically speaking there will be job losses but there are also opportunities for those who are ready. The most important thing, however, is to be flexible, adaptable and take a long-term view in terms of the skills required so that as changes happen, we are ready to adapt.

For the next edition of our DigitalConversations, join us on 29th Oct 2020 at 3pm. Visit legal. businessday.com for more information.

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Thursday 22 October 2020

BUSINESS DAY

BD

LegalBusiness

Can Africa’s regional economic communities produce a continental market? Part 1 AELEX International Trade Practice Group

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t its 18th Ordinary Session of the Assembly of the Heads of State and Government, the African Union (“AU”) took the final decision to establish a single continental market for goods and services. The Extraordinary Summit on the African Continental Free Trade Area (“AfCFTA”) in 2018 in Kigali, Rwanda, saw the signing of an Agreement to establish what is billed to be the biggest Free Trade Area (“FTA”) in the world.

THE AFCTFA The AfCFTA is set to create a single continental market for goods and services for more than one billion, two hundred million people on the African Continent. In addition to the creation of a single African market, will free movement of business, persons and investments across the continent ultimately lead to the emergence of a customs union?

The World Trade Organisation (“WTO”) sanctions and recognises that trade associations formed along regional lines can be instrumental as units of development suitable for both advanced and developing economies.

Comparative studies and statistics emanating from diverse sources show differing score cards on the performance of regional trade arrangements to date. Though Africa embraced the model, it has not made a spectacular success of it. Accepting this verdict, the AU came to the conclusion after long deliberations, that unless Africa trades and does business with itself, it is unlikely to make the kind of progress other regions of the world are enjoying, from regional aggregations. This led to the birth of the AfCFTA. The strides already made by African FTAs, dating as far back as 1975, with the establishment of the Economic Community of West African States (“ECOWAS”) and followed by the institution of seven other regional trade areas, has been heavily factored into the AfCFTA. Firstly, the cohesion forged with already established structures, provides a head start for the continental organisation. Secondly, modelled as they are, along the WTO governance and rule structures, they represent best international practices in trade.

Trade agreements are inherently long and tedious to negotiate. Issues of sovereignty, internal politics and the dynamic global economic factors usually get in the way of business-like outcomes. In this regard, the existence of Regional Economic Communities (“RECs”) which had drawn rules of trade to govern their respective communities was identified as instrumental to the implementation of the AfCFTA, thus, accelerating the recordbreaking signing event of Kigali in 2018.

The Agreement establishing the AfCFTA (“the Agreement”)

specifically preserves RECs and provides that it does not nullify, modify or revoke rights and obligations set under pre-existing trade arrangements.

As a follow up, the AU recognised eight RECs as building blocks of the framework necessary to kick-start its implementation, namely – the Arab Maghreb Union (“AMU”), the Common Market for Eastern and Southern Africa (“COMESA”), the Community of Sahel-Saharan States (“CEN-SAD”), East Afr ican Community (“EAC”), Economic Community of Central African States (“ECCAS”), Economic Community of West African States (“ECOWAS”), Inter-governmental Authority on Development (“IGAD”), and the Southern African Development Community (“SADC”).

THE REGIONAL ECONOMIC COMMUNITIES The antecedence of the formation of RECs, usually lends colour to the peculiarities which they manifest and the paths they embrace in their growth. The clear lines of colonialism and the lopsided pattern of early global trade clearly impacted the ability of Africa to forge unions or operate them. For Africa, awaking from a colonial past - which dictated its trading partners and commodities, what it was able to export or import- clearly discouraged substantial regional trade. Thus, being predominantly a producer of primary products, the produce of Africa found markets in the colonial and industrial power centres of the world and the absence of regional transportation and communication infrastructure, did little to help the trade trajectory and aspirations of most African www.businessday.ng

nations, even after they attained full sovereignty over their own affairs.

What then is the inheritance which existing economic communities of Africa have bestowed on their putative successor, the AfCFTA? The picture is painted on the canvass of selected communities which appear to depict the general state of play and we consider them here briefly.

THE ECONOMIC COMMUNITY OF WEST AFRICAN STATES (ECOWAS) ECOWAS has 15 member states, comprising of English, French, Arabic and Spanish speaking people. The legal and commercial systems of the member states derive from the English Common Law, French Civil Law and Dutch Law. In 2016, its Gross Domestic Product (GDP) amounted to US$716.7 Billion.

The agricultural and extractive industries are the fulcrum of the external trade of ECOWAS, with petroleum, tobacco and vegetables constituting the bulk of its exports estimated to be about US$190 Billion per annum.

As of 2016 only 10% of the volume of its trade was with Africa, with Nigeria, Cote d’ Ivoire, Ghana and Senegal accounting for the bulk of the trade.

Nigeria contributes the lion share of ECOWAS trade in goods, which as of 2015, was valued at US$87.9 billion (0.53 per cent of the world total). Therefore, with Nigeria’s exports earnings declining as a result of falling oil prices, almost half of ECOWAS’ external volumes were lost.

The relationship between ECOWAS and CEN-SAD in which all members hold dual membership constitutes a significant percentage of the traded volumes among member states.

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THE COMMON MARKET OF EASTERN AND SOUTHERN AFRICA (COMESA) COMESA was established in 1994 and comprises of twentyone member states, with a population of over 540 million who speak Arabic, Swahili, French and English.

The legal and commercial systems of its member states manifest features of English Common Law, French Civil Law, German Civil Code and Italian Law. Global trade for COMESA member states has maintained a steady growth, recording an increase from US$44.5 billion in 2000 to US$301.1 billion in 2013.

In 2015, volumes declined and stood at US$259.9 billion. Specifically, exports have dropped from approximately US$131.6 billion by the end of 2013 to US$79.3 billion.

Even though the COMESA export portfolio has shrunk, the establishment of an FTA, has been salutary to its trading position with the rest of Africa. As of 2015, COMESAs intra-African trade was valued at US$19.3 billion. The increase in total intra-COMESA trade can be tied to the economic growth of its key economies namely Egypt, Kenya, DR Congo, Sudan, Zambia and Uganda. In 2016, COMESAs GDP amounted to $657.4 billion.

COMESA mostly exports gold, copper, petroleum oils and tea.

In 2017, COMESA recorded an increase in the export of mineral fuels ($1.6 billion), woven apparel ($789 million), coffee, tea & spice (mostly coffee) ($744 million), knit apparel ($641 million), and precious metal and stone (diamonds) ($142 million).

Virtually all COMESA members hold multiple memberships in other trade areas.

THE COMMUNITY OF SAHEL-SAHARAN STATES (CEN-SAD) Africa’s largest economic community comprising twenty-seven states, was established in 1998.

All member states of CEN-SAD have more than one REC membership. A good number are in at least two economic communities, a few belong to three, while Kenya has the unique status of having four memberships.

For the reason of multiplicity of memberships, its performance vis-à-vis other RECs cannot be easily configured. It suffices to say that the unique composition is bound to be an interesting feature of the ensuing inter-REC negotiations.

THE EUROPEAN UNION (EU) What Africa seeks to achieve in one fell swoop, took many decades for most other regions of the world, including the EU, to achieve and build on as a work –in-progress.

Since the early 1950s, the membership of the EU has increased, but it has also seen a major withdrawal. The EU pursues a phased regional integration model, producing a mix of the growing @Businessdayng

pains and gains in the process. The EU thrives on some paradigms which have proven very valuable, for both its internal governance and external relationships: • Visionary leadership based on the supranational “community method” rather than the traditional balance-of-power model.

• The political will to share sovereignty and construct strong, law-based institutions to oversee the project.

• A concise approach to decision making.

This is the architecture on which its member states now rely, for the negotiation of trade agreements with other countries and regions around the world, creating a variety of relationship types and array of tools and instruments for global trade.

As dictated by specific circumstances of the counter-parties it engages, the EU resorts to any of the following: • Customs Union; • Association Agreements, Stabilization Agreements, Free Trade Agreements and Economic Partnership Agreements; and • Other Partnership and Corporation Agreements.

ASSOCIATION OF SOUTH EAST ASIAN NATIONS (ASEAN) Many authorities recommend the ASEAN model of an economic community to the nascent AfCFTA. The complex composition of the ten member ASEAN presents a cultural, religious and linguistic multiplicity, which ordinarily would have made a union difficult to form or operate.

ASEAN also houses a politically colourful array of government types and leadership.

Notwithstanding, ASEAN has welded together a union which has grown beyond resolving tariffs and other non-tariffs barriers, to setting intellectual property and competition rules, benchmarked against global best practices. Today, ASEAN is a strong pillar of the Trans-Pacific Partnership.

With enhanced convergence, ASEAN regional trade areas, has achieved trade facilitation by: – promoting customs and regulations alignment around regulatory and customs procedures, – regional integration, promotion of trade facilitation, and – enabled market access for less competitive member states yielding a multiplier effect simultaneously with multilateral trade arrangements reducing barriers for more competitive exporters. ǼLEXis a full service Commercial & Dispute Resolution law firm with offices in Nigeria and Ghana. Contact us: www.aelex.com; @ aelexpartners on LinkedIn, Twitter. Instagram and Facebook; info@aelex.com ǼLEX Notes is a dedicated column, managed by ǼLEX Legal Practitioners and Arbitrators, featuring legal developments and insights.

Thursday 22 October 2020

BUSINESS DAY

PERSPECTIVE

BD

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LegalBusiness

There is still hope for Nigeria after All: the #EndSARS protests and what it means to me Orji A. Uka

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n 24 January 2020 while aboard the Emirates Airways Flight EK30 from London Heathrow Airport to Dubai, United Arab Emirates from where I was to take a connecting flight to Lagos, I found myself lost in thought, which was predominantly one of melancholy. What was the source of my pensive mood? The feeling or realisation that I might have failed.

I had just graduated from King’s College London where I bagged a Master’s Degree in International Business Law and I was returning to my home country.

If I had been born five or six decades earlier, and embarked on this same trip, I would have been guaranteed a rousing welcome complete with the Ohafia War Dance or another cultural troupe to welcome me at the airport. Alas, I was returning to Nigeria after all and it certainly did not seem like that there was anything to celebrate.

What made this return flight such a tortuous one for me was the reality of the country that I was returning after about 15 months of the exposure to a developed economy, with a world class transportation system and a functional healthcare delivery system. I was returning to the land of erratic power supply or the marginally more comfortable reality of the sound of a cacophony of generator sets. A country where the law enforcement agencies en-

trusted to protect you were more likely to kill you. Where even as a lawyer, I commute with the constant fear that a Police officer might shoot me before I even get the chance to introduce myself. A country where I had gone to the infamous ‘Human Abattoir’ in Abuja to secure a client’s release and saw human blood on the floor and a SARS official had bragged to me that he was going to kill another suspect that was lying on the floor that day. After that episode I swore never to return to the Police Station.

The preponderance of opinion of the people I had spoken with before my trip and throughout my stay in the United Kingdom (“UK”) was that I had to do EVERYTHING within my powers to stay back in

the UK after my programme, even if it meant entering into a contract marriage. The option of starting my education all over again in the UK (after 7 years of law practice in Nigeria) to enable me qualify to practice law there not very appealing, but I would be dishonest if I say that it was not a proposition I seriously considered. And that alone says a lot.

What was most frustrating to me was the abundant opportunities we were allowing to go to waste in Nigeria. But has it always been like this? The little history that we are exposed to suggests the contrary.

Should it be like this? The socioeconomic indicators disagree.

There is no denying that Nigeria is blessed with abundant natural and human resources, most of which

regrettably remain untapped. In addition to being one of the largest producers of oil in Africa, Nigeria is also blessed with other resources. With an estimated population of 196 million, Nigeria has a large consumer market and therefore what it takes to be one of the biggest economies in the world, with the right leadership. The legal profession in Nigeria ought to be one of the most lucrative. Yet, we are where we are.

Lost in my thoughts on this cold night, I remembered all that I suffered to bag this Degree, especially the huge indebtedness I had racked up. Despite all these, I was returning to Nigeria!

It was therefore a tug of war between one part of my subcon-

Compassion, Empathy, Responsibility, Selflessness and Unity of Purpose. And all of these have been against all odds!

These protesters have been provoked, they have been tested, shot at with live ammunition and water canons. Hoodlums have been sponsored against them, yet they have handled all of these with grace, running at first, then returning to face their assailants, ultimately overpowering the attackers, feeding them and handing them over to the security agencies, while taking the injured ones to the hospital. For possibly the first time in the history of peaceful protests in Nigeria, these protesters have been responsible enough to clean up their trash every morning after. The Nigeria of our dreams (of the past 60 years) has played out before our eyes in the past 6 days!

It is unfortunate that things have had to degenerate to this extent and that dozens of Nigerian souls have had to be sacrificed by the Police for our collective eyes to finally open.

Now that it has, it will be greater sacrilege if Nigeria remains the same after now.

I am the most unqualified to tell this story because others have suffered with their limbs and some others with their lives. I am not even one of those coordinating these transformational protests. I am only a Nigerian who has found my hope in the #EndSARS movement of the Youth!

THEBAR

INDUSTRYFILE

Rebuttal: NBA president has not sent any Threshold Attorneys & Solicitors set to hold webinar on “raising nominee to the National Judicial Council the bar: the changing environment for Nigeria’s legal profession” LB CORRESPONDENT from the truth.

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he traditional working definition of a lawyer has been someone licensed to engage in the practice of law. But that definition is circular; it presupposes that we know what it means to practice law. The practice of law, in turn, has been said to consist of applying the whole body of law to a specific client’s question or problem. That definition might seem broad enough to let the idea of being a lawyer remain constant.

But changes from globalization, to the way clients get information, to the skills needed to perform many legal tasks foreshadow significant changes in what lawyers will actually do over the next years.

There are key fundamentals that the legal sector needs to consider when looking to build an effective bar and the key elements that will ensure that the bar we build today, will be able to stand the challenges of tomorrow Lawyers need to be able to give their clients the very best advice.

And to do this, they rely upon a plethora of information sources from legal developments, legislative changes, and industry-specific news. In addition, lawyers don’t just

need to keep informed about what’s going on, they need to analyse the data in order to understand how it may impact their sector, firms, and clients. Effective current awareness means that law firms are able to harness information in order to keep both themselves and their clients ahead of the curve.

The webinar seeks to explain the need for change in the current regulatory framework underpinning the legal profession, the benefits of technology in law practice, the falling standard of legal education, institutionalizing law firms, emerging trends in the legal services industry, practical skills and tools needed for lawyers and law firms to improve their practice etc.

The Webinar is scheduled to hold via ‘Zoom’ on Thursday, 22nd October 2020 at 3pm and shall comprises of prestigious speakers who have verse knowledge regarding the topic.

The panelist include, Professor Ernest M. Ojukwu, SAN – Partner, Ojukwu, Yusuf & Faotu; Former Deputy-General and Head of Campus, Nigerian Law School, Augustine Nnamani Campus, Agbani Enugu; Jibrin S. Okutepa, SAN – The www.businessday.ng

Managing Solicitor, J.S. Okutepa, SAN & Co; Member, General Council of the Bar; Ebun-Olu Adegboruwa, SAN – The Managing Solicitor, Ebun-Olu Adegboruwa, SAN & Co; Founder, Law and Justice Forum and Oyetola Muyiwa Atoyebi, SAN – The Managing Partner, Omaplex Law Firm; Fellow, Institute of Chartered Mediators and Conciliators.

Others are, Chief Gbola Akinola, C.Arb(UK) – Partner, The Law Union; 1st Vice Chairman, Chartered Institute of Arbitrators(Uk-Nig Branch); Fellow, Chartered Institute of Arbitrators; Obosa Akpata, C.Arb(UK) - The Managing Partner, Patreli Partners; Fellow, Chartered Institute of Arbitrators ; CEDR Accredited Mediator; Ikechukwu Uwanna – The Managing Partner, Tsedaqah Attorneys; Secretary, Nigerian Bar Association, Lagos Branch; and Onyinye ChikwenduIkechebelu – The Practice Manager, Omaplex Law Firm.

The Webinar promises to give valuable insights on “Raising The Bar: The Changing Environment For The Legal Profession In Nigeria.”

Attendance is free upon registration.

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he leadership of the Nigerian Bar Association (“NBA”) has denied allegations made in some quarters the President of the association, Olumide Akpata has nominated himself and his sister to represent the NBA at the National Judicial Council (“NJC”).

In a statement signed by the Publicity Secretary, Nigerian Bar Association, Dr. Rapulu Nduka, dismissed the claim, describing it as a figment of the imagination of its purveyors.

The statement read in part, “The attention of the Nigerian Bar Association (“NBA”) has been drawn to the unfounded allegations published

by Chioma Unini of ‘The Nigerian Lawyer’ Legal Blog to the effect that the NBA President, Mr Olumide Akpata, has nominated himself and/or his sister to represent the NBA at the National Judicial Council (“NJC”).

“In the publication of October 18th, 2020, the said Chioma Unini had reported that a so-called ‘source’ disclosed to TheNigeriaLawyer that the President of the bar has nominated his sister to the NJC. Nothing could be further

@Businessdayng

This report is at best, the figment of the imagination of its purveyors and members of the NBA are accordingly urged to disregard it,” the NBA Spokesperson said.

Thus, to set the record straight, Dr Rapulu clarified that NBA President had not nominated or recommended anyone to represent the NBA at the NJC or any other statutory body for that matter.

“The NJC is a public institution and information regarding its membership is easily verifiable. Any responsible news medium is expected to take the extra step of confirming information passed on to it by its sources before further stoking the flames of fake news spreading across the country,” he said.

He further reiterated the association’s commitment towards a transparent and accountable leadership that carries every member along, as this is the only way the Bar can be made to work for all.

20

Thursday 22 October 2020

BUSINESS DAY

Corporate Social Impact

Onuwa Lucky Joseph Editor, (08023314782)

COVID-19 INTERVENTION IN NIGERIA:

How Players within the Telecommunications Onuwa Lucky Joseph

T

he World Health Organisation (WHO) records December 8, 2019 as the date when the novel human coronavirus disease (COVID-19) began in Wuhan, China. The outbreak was subsequently declared a Public Health Emergency of International Concern (PHEIC) on January 30, 2020.

The first confirmed case of COVID-19 in Nigeria was reported by the Federal Ministry of Health on 27th February, 2020. The patient was an Italian citizen who was returning to Nigeria from his home country.

Italy, at this time, according to its Ministry of Health, already had 650 confirmed cases of COVID -19, out of which 17 people had died and 45 recovered. The virus was running riot in Europe and America, and there was the fear that Africa would not be spared considering the paucity of healthcare facilities on the continent.

The Nigerian government, alarmed by this rapidly spreading global development, and going with recommendations from the World Health Organisation and other countries that had fallen in line, closed the country’s air space to the outside world in this order: Mallam Aminu Kano International Airport and Akanu Ibiam International Airport, Enugu, as well as Port-Harcourt International Airport were all closed on the 21st of March, while Nnamdi Azikiwe Airport was closed on the 23rd of March, 2020, the closure intended to be, in the first instance, for one month, till April 23rd, 2020.

Almost concurrently with this, the Federal Government enforced an initial 2-week lockdown on March 30, 2020, for two states Lagos and Ogun, and the Federal Capital Territory, FCT, Abuja. This was, on April 13, extended for another three weeks. An additional measure put in place by government was the ban on inter-state travel.

Government action as pronounced and executed was clearly the thing to do. It made common sense and it was in line with global best practice. But it was happening in an environment devoid of the shock absorbers that other countries had long put in place for emergencies like this. Now, it helps to not forget that even in the most developed and welfarist societies, there was a kick against the stay at home. And this, adduceable to reasons both economic and selfish. The dissenting just wanted to exercise their right to freedom of movement and association as enshrined in their constitutions, not minding who they might be endangered in the process.

However, for the most part, people believed rightly (if economic arguments are adduced) that a lockdown was also a takedown of their country’s and the individual’s economic competitiveness.

Now, to situate that in a country like Nigeria, rated as the poverty capital of the world; with the ‘capital’ in this case being not a factor of production, but rather, a humongous albatross on the necks of its citizens, it was little wonder that the Nigerian social media space witnessed an insurrection as citizens went all out

The Governor of Lagos State Babajide Sanwolu revealing plaque for the Lagos State Morgue Facility

Receiving UNICEF procured Test Kits & PPES

Ambulance Donation to NCDC.

Medical Equipment (Ventilators)

Funmi Awelewa, CSR Manager, Dimeji Belo, Special Assistant to the Governor of Ogun State distributing Food Palliatives

to post Nigeria’s social deficits which were now being further highlighted by the enforced stay at home.

According to Yomi Kazeem in Quartz Africa, “One in every two Nigerians in the country’s labor force is either unemployed or underemployed”. Grim statistic. But it gets even more alarming by way of amplification: “With a labor force of 80.2 million, that means about 21.7 million Nigerians are unemployed, a figure that exceeds the population of 35 of Africa’s 54 countries. Among young Nigerians aged between 25 and 34, the largest bloc of the labor force, the unemployment rate currently stands even higher, at 30.7%”.

Able bodied men and women were out there at home, unable to fend for themselves and their families despite their willingness to brave the odds in an inclement environment.

And there was hunger on a massive scale, and then there was also the potential of catching the disease that was ravaging the world.

Young men and women, clearly frustrated, determined they would not be kept at home, made several efforts towards going out to earn a www.businessday.ng

wage that would enable them and their families stave off hunger. In view of how society has been acculturated over millennia, a living is earned outside the comfort zone of home, by pushing a cart, sweating as a goods vendor, labouring on the farms, delivering passengers to their destinations, selling raw foodstuff, producing cooked foods, inflating tyres as vulcanisers, fixing cars as mechanics, doing the marketing, teaching in schools, whatever it takes to produce value and earn a living.

Nigerians were ready to keep eking out a living, no matter how small.

THIS WAS NOTHING LIKE THE HIGHLY ANTICIPATED 2020 COVID -19 turned out as a massive downpour on the parade of Nigerians who had invested 2020 with some magical quality capable of turning their lives around. COVID-19 was totally unexpected. Even though it had made its stealthy entrance in 2019, Nigerians, and the vast majority of the world’s population were not aware of its presence when they rang in 2020 with all the hopes that’s reserved for New Year celebrations.

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COULD CSR PLAY A MITIGATING ROLE? How to move forward, away from this debacle, was not for government alone. Corporate organisations, nonprofits, as well as men and women of goodwill needed to step up and be counted as the benefactors and providers that the times required.

The Federal government provided direction, via the Central Bank of Nigeria, (CBN), to help galvanize the private sector towards providing the needed infrastructure to fight the pandemic and also to make more than token contributions to the welfare of Nigerian citizens at a time when the vast majority could not fend for themselves.

CACOVID was set up as a private sector enabler of the mandate per the pandemic. This partnership, aside the Federal Government element, also involved the Nigeria Centre for Disease Control, and the World Health Organisation (WHO).

CORPORATE NIGERIA STEPPED UP TO THE PLATE Different organisations from the different sectors made significant contributions both as members of Cacovid as well as in their respective individual corporate capacities. This, towards provision of the infrastructure for containment: including for Isolation and Quarantine Centres, procurement and sourcing of vital health resources, provision of Personal Protective Equipment, (PPEs), and diagnostic equipment for hospitals, as well as provision of food and water to vulnerable communities.

For operators in the nation’s telecoms sector, aside contributing to all of the above, also were highly involved in awareness creation, donating billions in airtime and data to meeting that vital need. Plus, they also have conducted mass media campaigns for sensitization purposes.

IHS STEPS UP WITH CSR @Businessdayng

LEADERSHIP HIS Nigeria, the largest subsidiary of IHS Towers, was an early joiner in this national endeavour. And the reason the company has emerged a leader in the COVID era is because well before now CSR had always been an integral part of its operations as a business. It had a well laid out structure in place for implementing its CSR strategies and activities.

So even as many companies were recoiling inwards, thinking to hold on to their scarce resources, IHS stood as one of the steadfast companies that reached out and deployed its own resources to care for its customers, employees and communities, in the process eliciting confidence in its status as a solid going concern.

IHS Towers takes its social responsibility very seriously. And one reason it can do this as effectively as it does is because it is a well-run company operating in a growing sector. IHS plays big in the telecoms sector helping to rig up towers and masts for telecom companies in different parts of the country. There are challenges to that business, as would be expected; however, in these times of national emergency IHS chose to shift its gaze to the public, to those it considers its community pan Nigeria.

And as this report attempts to show, that effort has been an all-hands-on-deck matter since the acknowledgment of COVID 19’s presence in Nigeria.

A major reason IHS got involved was its understanding that government alone could not muster all the resources required to prosecute the war.

CRAFTING THE COVID-19 RESPONSE STRATEGY So the company evolved a strategy, a well-honed one that involved IHS top management. It was developed from a wide range of consultations with critical stakeholders in an attempt to deepen efforts to combat the pandemic and increase reach at the shortest possible time.

The stakeholder engagements involved various nonprofits, technology startups and special purpose intervention groups.

These stakeholders highlighted gaps and critical need areas that funding and nonfinancial resources could provide.

How to address these identified gaps helped define IHS strategic interventions.

After a series of engagements and robust conversations, relevant agreements were signed. This took cognizance of respective project goals and objectives and an implementation plan to ensure successful deployment.

DID COVID 19 PRESENT ANY OPPORTUNITY? We sometimes talk about COVID-19 as not being all doom and gloom, but rather as an opportunity to take another look at where we are and what we can do to better prepare for such emergencies or, even when the emergency is past, to be able to live better prepared based on the knowledge gleaned from the experience.

IHS did a good job of this, seeing the pandemic as an opportunity to make positive impact – bolster the healthcare system, support the effort to curb the spread of the virus, develop new relationships, improve stakeholder engagement, and re-think ways of working.

IHS had to revise its Sustainability calendar to reflect industry realities and national regulations. Even whilst keeping its focus squarely on the impact targets for the year, its activities since March 2020 have focused on its corporate contributions to the COVID-19 pandemic in Nigeria, developing a strategy that delivers meaningful assistance in a way that shows

Thursday 22 October 2020

BUSINESS DAY

21

Corporate Social Impact

Sector Expanded the Bandwidth of Care IHS risk communication and social messaging reached about 40million Nigerians.

ENABLING FASTER RESPONSE TIME To support the activities of the Nigerian Centre for Disease Control (NCDC) at the state level, IHS donated four ambulances to FCT, Edo, Kano and Oyo states.

Launch of the Lagos State Morgue Facility

empathy and leaves a lasting impact.

The goal was to secure effective partnerships to identify solutions that enable the business and to sustain its commitments long term and expand efforts over time in supporting the fight against COVID-19.

COLLABORATION, COLLABORATION, COLLABORATION One thing we all need to work better at, both at individual and corporate levels is collaborations. The go-it-alone approach, while it might sound heroic, won’t do. There are wide swathes of knowledge and competencies that the other party or parties bring to the table to enable greater success of the endeavour. That was the IHS approach BUILDING RESILIENCE IN THE NIGERIAN HEALTH SYSTEM One expression of the collaboration principle was how, with the European Union and APM Terminals, IHS cofinanced the acquisition and delivery of 10,000 test kits, 15 oxygen concentrators, personal protective equipment, (PPE), vaccines and other vital health supplies to support the Nigerian government through the Nigerian Centre for Disease Control.

Food Palliatives distribtuion in Lagos State

And in a bid to ramp up testing capacity, a few months later, further collaborated with UNICEF to supply an additional 115,800 test kits, bringing the total number of test kits donated to over 120,000.

PARTNERING WITH CACOVID IHS’ partnership with CACOVID initiatives helped prop up contact tracing, the provision of palliatives, purchasing of test kits and increasing the number of isolation centres.

CACOVID has so far delivered: 12 fully equipped isolation centres Over 2,600 beds 250,000 testing kits 150,000 extraction kits Palliatives to 1.7million households in 774 LGAs 264 trained participants in Kano on sample collection and equipment handling N27.1bn Cacovid Funds raised, of which IHS Donation was N100million PROVIDING SUCCOUR TO NIGERIANS The imposed lockdown led to hunger spike as many households could hardly feed. To alleviate this, IHS mobilized resources to assist the poorest and vulnerable groups

impacted by the COVID-19 lockdown to help lessen their suffering.

The project was worth millions of Naira and reached 4,500 households (approximately 27,000 persons) residing in communities in the FCT – Abuja, Lagos and Ogun States.

RISK COMMUNICATION AND SOCIAL MESSAGING To further prevent the transmission of the COVID-19 virus, especially community spread, IHS implemented an awareness and risk communication messaging project. It mounted 350 banners in Primary Health Centres across 11 states: Abia – 18%, Delta 24%, Edo 32%, FCT 50%, Kaduna 17%, Kano 30%, Katsina 18%, Kogi 20%, Lagos 50%, Ogun 26%, Rivers 22% And as well, in collaboration with a coterie of partners, including UNICEF, The Federal Ministry of Health, The Federal Ministry of Water Resources, the Organised Private Sector in Water, Sanitation and Hygiene (OPS-WASH), and Convention on the Rights of the Child, produced 40,000 leaflets that carried preventive messages and was distributed across Nigeria. It also ran over 4,400 minutes of radio jingles, and did over 90 days of radio placements, with estimates being that

Facebook Co-Founder Mark Zuckerberg gives $100 million to ensure safe voting Maria Di Mento

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ark Zuckerberg and Priscilla Chan pledged $100 million to ensure safe and reliable voting across the country. The money will be given through their Chan Zuckerberg donor-advised fund at Silicon Valley Community Foundation.

The money will be used to help pay for poll-worker recruitment, hazard pay, and training; pollingplace rental fees; temporary staffing support; drive-through voting; equipment to process ballots and applications; personal protective equipment for poll workers; and nonpartisan voter education from cities and counties. This is an additional donation on top of the $250 million the couple pledged to the organization in September.

The Facebook co-founder and his wife, a pediatrician, have given nearly $4 billion in recent years to their foundation and their donor-advised fund, through which they support www.businessday.ng

three main areas: education, criminal justice, and science. They have appeared on the Chronicle’s annual Philanthropy 50 list of the biggest donors six times since 2010.

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IHS DONATION TO NCDC MOLECULAR LABS Six states benefited from the donation of the following PPE: Infra-Red Thermometers, Examination Gloves, Surgical Gloves, Sterile Reinforced Gowns, Disposable Aprons, L180 Isolation Gowns and Goggles Of special mention, IHS provided four ventilators to Kaduna State to meet its needs.

It also donated 5,000 test kits: 3,600 to Kaduna State and 1,400 to University of Ibadan.

PARTNERING WITH THE PRESIDENTIAL TASK FORCE ON COVID 19 The COVID-19 outbreak ushered in an unprecedented time, where community efforts and partnerships are needed to meet immediate needs of frontline healthcare staff as they cared for patients. To help address the critical shortage of medical supplies and equipment, including Personal Protective Equipment, (PPE), IHS Nigeria collaborated with the Presidential Task Force (PTF) to donate essential supplies to five states – Rivers, Abia, Sokoto, Gombe and Kogi.

The supplies donated to the states include: 25,000 Personal Protective Equipment, (PPEs), comprising of face masks, body suits, gloves, safety goggles and disposable overshoe covers.

Medical equipment comprised of ventilators, oxygen masks, nasal catheters, oxygen concentrators, oxygen cylinders and nebulizers.

SAFE INTERMENT IN LAGOS STATE In constructing and equipping a morgue facility in Lagos State, IHS helped ensure proper handling of bodies to prevent a further spread of COVID-19 in this instance, but also of other infectious disease outbreaks such as Lassa fever and others.

STEADY DELIVERY DURING CRISIS Throughout the duration of the pandemic, IHS has acquitted itself creditably thereby ensuring that its role as trusted telecommunication enabler is not compromised. Its effort in this regard has delivered a high rate of operational uptime across industries and homes as well as personal endeavours.

It is also highly commendable that the company has done an excellent job of catering to its critical internal audience with its Employee Wellbeing Program which it launched in 2009. This program, which is built around the 4 pillars of Emotional/ Mental, Physical, Financial and Social wellness, has, through its superior design and application, helped to significantly reduce feelings in the staff, of stress, anxiety, and feelings of isolation triggered by the pandemic situation. @Businessdayng

GREAT IMPACT GARNERING RESOUNDING APPRECIATION It’s only natural that individuals, institutions and governments supported by IHS be appreciative of the length and breadth the company has gone towards ameliorating the tough conditions occasioned by Covid-19. It’s no wonder then that the company has been receiving an effusion of appreciation from many who have benefited from its contributions, especially governments saddled with the responsibility that IHS is helping out with.

The Honourable Minister of the Federal Capital Territory, Mohammed Musa Bello, was highly appreciative of the IHS donation of medical equipment and consumables towards the establishment of Nigeria’s largest isolation centre (506 beds) at Idu, Abuja, FCT. Similarly, letters of commendation have come from different quarter in respect of HIS support in the fight against Covid 19: From the Ogun State Government: “In a bid to fight the Covid-19 pandemic, we appreciate IHS Towers for supporting the State Government by distributing food palliatives to over 9,000 people in 6 communities within the vulnerable homes in Ogun State”.

Edward Kallon, the UN Resident Coordinator in Nigeria said “….We are grateful for the support of the EU and IHS in getting these vital supplies to strengthen the UN’s efforts in helping the Government of Nigeria to address the Covid-19 challenge”.

Babajide Sanwo-Olu, Lagos State Governor, paid IHS what looks like the ultimate compliment: “Here’s a company that, over the last two decades, has created a significant business, investment and philanthropic footprint in Nigeria. You have tirelessly implemented philanthropy in education, thought leadership, environmental conservation, and healthcare. As your corporate slogan declares, you have consistently been ‘Towers of Strength’ in every sector in which you have intervened with your CSR. We look forward to more partnerships and support in the future.”

The Kaduna State Governor, Nasir El-Rufai wrote to: “….extend the gratitude of the Kaduna State Government for your generous donation of 4 intensive care unit ventilators and 3,600 units BGI qPCR (Amplification) Kits of 50 test kits per pack in support of our fight against the covid-19 pandemic.”

Governor Seyi Makinde of Oyo State also expressed his gratitude: “We are grateful to IHS Towers for the donation of an ambulance to the Oyo State Government.”

The commendations go on and on.

Hopefully, these will encourage the company to stay right on track with its CSR and Sustainability initiatives. And the effusive outpouring should ginger other corporates to step into the ring and get their impact felt as well by the populace in the places that matter to ordinary folks, the ones who are powerless generally and who need the empowerment that a corporate buoy brings.

(Kindly send feedback to 08023314782 / csrmomentum@gmail.com)

22

Thursday 22 October 2020

BUSINESS DAY

BUSINESS TRAVEL

How enhanced cleaning on-board airplanes helps reduce infection risk Stories by IFEOMA OKEKE

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isinfecting aircraft cabins is a key part of a multi-layered public health risk-reduction strategy, according to a technical bulletin published last week by faculty at Harvard’s T.H. Chan School of Public Health.

The findings support Delta’s extensive cleaning practices, including our industry-leading commitment to electrostatic spraying of high-touch surfaces using high-grade disinfectant on every flight, every day.

While contaminated surfaces account for less than 10 percent of COVID-19 transmission risk in certain settings, the study found that diligent cleaning protocols, combined with a number of other strategies, offer significant protection for air travellers.

“Current research in infection control recommends enhanced cleaning be combined with other risk reduction strategies by airports, airlines, passengers, and aircraft crew members to minimize the amount of infectious virus in the environment,” according to the Harvard report.

“These include screening and health attestations to help exclude symptomatic people, use of advanced ventilation and filtration systems on aircraft, and personal protections such as wearing face masks and good hand hygiene.”

Harvard’s latest bulletin – part of a set of recommendations to reduce

the health risks of flying during the pandemic – notes that airlines should focus cabin cleaning on high-frequency touch surfaces, with systematic disinfection of surfaces between flights on a daily basis.

Every interior surface on every Delta flight is thoroughly sanitized prior to boarding using electrostatic sprayers – including lavatories.

Delta is distributing customer care kits, available at all Delta ticket counters and gates, that offer a hand sanitizer wipe and a mask. Customers also receive a hand sanitizer wipe upon boarding. Finally, Delta will become the first U.S. airline where customers can find hand sanitizer stations near the boarding door and

bathrooms on every Delta aircraft; those installations began in August.

“We don’t know of any other airline leveraging electrostatic spraying on every flight the way Delta is, and based on the products available in the market today, we’re confident it’s the best way to ensure every surface is disinfected,” Delta’s Chief Customer Experience Officer Bill Lentsch said.

“Our Global Cleanliness division is pushing innovation and driving a standard of cleanliness that is best in class, and research like this shows that we’re focusing on all the right measures.”

The Harvard bulletin also notes that aircraft lavatories are highfrequency touch areas subject to

NAHCO signs new contacts with Qatar, Azman, supports govt export drive

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or its exceptional top of the range handling services, Nigerian Aviation Handling Company Plc, (NAHCO) Plc, has won the keenly contested handling contract of Qatar Airways, for another five years.

Saheed Lasisi, NAHCO’s Group Executive Director, Business Development and Commercial, in announcing the development, expressed excitement on the feat, describing it as a boost for both companies, as NAHCO is primed to continue its excellent service delivery to the airline.

“With the new contract, which runs for five years and coupled with the additional frequencies of Qatar flights to Nigeria and Ghana, we are glad to go even further to provide the top -notched services for which we are known and have offered the airline for the past nine years.

“Also, the recent addition of more Ground Support Equipment, GSE, especially the brand-new dollies, Qatar Airways and our other clients will experience the best available handling service.’’

The newly renewed contract is allencompassing, as it will see NAHCO provide passenger, cargo and ground handling services to Qatar Airways, it also includes the provision of crew

transportation and other ancillary services to the respected airliner.

Also, NAHCO has signed a new contract with AZMAN Air on its international route, in addition to the previously held contracts for Azman’s domestic operations.

Azman has recently been granted approval to commence international operations with its newly acquired A340-600 series. NAHCO is well positioned and excited to help Azman Air succeed as it goes international.

These recent developments are pointers to NAHCO’s leadership position in the nation’s ground handling business.

In another development, Olatokunbo Fagbemi, Group Managing Director of Nigerian Aviation Handling Company Plc, has expressed NAHCO’s readiness to work with the National Trade Facilitation Committee of the Federal Ministry of Industry, Trade and Investment to improve the nation’s capacity for export.

Fagbemi made the statement during a visit of the Committee on an inspection tour of the Company’s facility.

The committee, led by Aliyu Abubakar, its Chairman, who is also a Director at the Federal Ministry of Industry, Trade and Investment, had earlier been briefed by NAHCO’S www.businessday.ng

team on the Company’s activities and processes.

NAHCO’s Cargo Services Manager, Femi Fasuyi had taken the committee members which included representatives of NAFDAC, NITDA, NEPC, NDLEA, FRSC, FAAN and of course the Federal Ministry of Industry, Trade and Investment through a power point presentation on all that needed to be known about the Company, NAHCO. In his remarks, Aliyu Abubakar, the Committee Chairman and leader of the delegation, urged NAHCO to continue on the path to boosting export with the creation of additional cold rooms and storage facility for agricultural- products.

NAHCO Plc is a Nigerian diversified enterprise with interests in aviation cargo, aircraft handling, passenger facilitation, crew transportation and aviation training.

The company currently serves several airlines across the major functional airports within Nigeria, and handles the largest chunk of domestic, foreign and cargo airlines.

In 2005, NAHCO was privatized and listed on the Nigerian Stock Exchange in 2006. The Company is now owned by over 80, 000 shareholders, as well as local and institutional investors.

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special maintenance and cleaning between flights. Delta flight attendants are wiping down high-touch surfaces in lavatories frequently during each flight: While in the air, flight attendants regularly make sure lavatories are clean, tidy, fully stocked with supplies and ready for customers. Using kits that include disinfectant spray, wipes and gloves, flight attendants ensure the thorough sanitization completed prior to boarding stays fresh.

Overall, Delta has instituted more than 100 layers of protection from check-in to baggage claim to deliver a new standard of cleanliness, more space and safer service for customers and employees alike.

Dana Air partners 26thNigerian Economic Summit (NES#26)

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ana Air has disclosed plans to support the 26thNigerian Economic Summit (NES#26) scheduled to hold from the 26th to 27th of October 2020, at Transcorp Hilton Abuja and the Lagos Office of the Nigerian Economic Summit Group.

Themed: ‘’Building Partnerships for Resilience,’’ the 26th Nigerian Economic Summit, which is jointly organised by the Federal Ministry of Finance, Budget and National Planning (FMFBNP) and the Nigerian Economic Summit Group, will convene national and global policy makers, business leaders, development partners and subnational governments, businesses and civil society, to not only chart a path to recovery but also build resilience for our country’s economy, households and businesses in the new world order.

“Airlines are the worst hit by the COVID-19 pandemic, but this has not diminished our commitment towards the growth and positioning of the Nigerian economy, and as partner airline, we are offering complimentary and discounted tickets to delegates and officials among other support towards the success of the summit.

“Dana Air is one Nigeria’s leading airline with a fleet size of 9 aircraft and over 27 daily flights to major cities in Nigeria. The airline is reputed for its innovative online products and services, unrivalled in-flight service and on-time departures,” Dana stated.

Emirates Skywards celebrates 20-year mark and over 27 million member milestone

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mirates Skywards, the loyalty programme of Emirates and flydubai, has marked 20 years of excellence, innovation and unmatched rewards.

It is also celebrating a milestone of 27million members. From a million members in 2005, the loyalty programme has increased to 27 million members worldwide in 2020, of which, more than 32,000 are founding members who joined the programme in 2000 and are still active.

In celebration of its 20th anniversary, Emirates Skywards is offering members double Tier Miles on any flight booked by 10 December, for travel until 31 March 2021, while founding members can earn double Tier Miles and double Skywards Miles on any flight booked by 10 December, for travel until 31 August 2021.

Over the past two decades, the loyalty programme has continued to grow its membership base by offering value and rich, personalized experiences to its members around the world. The programme has continually in@Businessdayng

vested to diversify its brand partnerships, and utilize innovative digital technology, so that it can offer its members across the globe with more ways to earn and enjoy rewards, conveniently and via new touch points.

With continued travel restrictions due to the COVID-19 global pandemic, Emirates Skywards is offering its members reassurance and flexibility during this difficult time.

Emirates Skywards members come from more than 180 countries, including: 3.5 million members in the United Kingdom, 2.7 million in the United States, two million in Australia, 1.9 million in India, and 1.9 million in the United Arab Emirates.

Emirates Skywards has expanded its range of partners over the past 20 years to create new, exciting and exceptional value offerings for its diverse membership base. The loyalty programme currently has nearly 200 partners, including: 16 airline partners; more than 100 hotel partners; 33 financial partners, 22 retail and lifestyle partners, seven car rental partners.

Thursday 22 October 2020

BUSINESS DAY

23

Investor Helping you to build wealth & make wise decisions

Market capitalisation

NSE Premium Index

The NSE-Main Board

N14.852 trillion

2,565.99

N14.980 trillion

2,601.31

NSE All Share Index

Week open (09- 10–20

28,415.31

Week close (16- 10–20)

28,659.45

Percentage change (WoW)

0.86

Percentage change (YTD)

6.77

1.38 22.92

NSE ASeM Index

NSE 30 Index

NSE Banking Index

NSE Insurance Index NSE Consumer Goods Index

1,163.98

728.51

139.12

1,168.18

1,215.54 1,228.52

340.01

728.51

349.83

138.17

2.89

-0.68

1.87

-1.96

9.82

-20.19

0.36 1.42

0.00 -0.88

1.07 4.30

NSE Oil/Gas Index

NSE Lotus II

464.46

199.36

2,018.15

1,231.85

1,130.73

473.13

204.14

2,021.11

1,234.85

1,155.12

2.40 -22.24

0.15 10.16

NSE Ind. Goods Index

0.24 14.81

NSE Pension Index

2.16 9.59

Q3 scorecards, #EndSARS protest to shape stock market direction Storeis by Iheanyi Nwachukwu

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he quality of companies’ third-quarter (Q3) 2020 financials expected by the investing public will determine the direction of Nigeria’s stock market this week.

Improved Q3 scorecards will spur buy decisions while disappointing earnings will trigger equities sell off.

Also, with the #EndSARS agitators still on the table and no one knowing when their protest will stop, it is another risk that is capable of triggering panic selling on the Nigerian bourse.

Currently, both private and public businesses across major cities in Nigeria are suffering the effect of the protest as the agitators continue to push for reform of the police force.

Edo State and Lagos State imposed 24 hours curfew as the protest degenerated into a monster threatening the wellbeing of the society.

Analysts speak “Although we expect to see some profit-taking activities in the early trading sessions of this week, we do not rule out pockets of gains in the later part of the week, especially as third-quarter (Q3) earnings results

are being released for the investing public to digest. Hence, we project a modest gain this trading week”, said Lagos-based GTI Research analysts in their recent note.

“While there was reduced activity in the market last week, evinced by the declines in value and volume traded, we expect the positive sentiment witnessed on Friday to trickle into the new week. Also, we expect to see some bargain hunting activities especially on heavyweight stocks such as Nestle

and Dangote Cement which traded flat last week.

“Although, we do not rule out pockets of profit taking on counters that have seen significant share price appreciation, we hold that general market sentiments are still geared towards the positive. The elevated level of liquidity in the system, unattractive fixed income yield and paucity of investment alternatives inform our opinion. We thus expect the market to close positive this week”,

said Meristem Securities research analysts.

“We expect the market to continue to benefit as domestic investors seek alpha-yielding opportunities in the face of increasingly negative real returns in the fixed income market.

However, we advise investors to trade in only fundamentally justified stocks as the weak macro environment remains a significant headwind for listed companies”, Cordros research analysts said in a recent note.

“For this week, we expect more focus should be on banking stocks as the market expect their nine month (9M) earning”, United Capital research analysts.

“With the fear of the second wave of the Coronavirus pandemic dampening investors’ sentiment across the world, we advise a cautious trading strategy for short term players in the short term, while mid/long term investors can still take advantage of the current attractive price levels.

“Also, as Q3 earnings begin to come into the market from this week, we believe this should shape market direction this week”, according to equity research analysts at Vetiva Capital Management Limited.

Market in review Last week, the Nigerian Stock

Exchange (NSE) All-Share Index (ASI) appreciated by 0.86percent to close last week at 28,659.45 points from week open low of 28,415.31 points, while the value of listed equities increased to N14.980 trillion from N14.852trillion at the beginning of the review week.

Week-on-week (WoW), Eterna Plc recorded the highest gain, from N3.63 to N4.90, adding N1.27 or 34.99percent ; followed by International Breweries Plc which moved up from N4.72 to N5.33, adding 61kobo or 12.92percent; and Cadbury Nigeria Plc which followed from N7.15 to N8.05, adding 90kobo or 12.59percent.

M e a n w h i l e E -T r a n z a c t International Plc recorded the highest price decline after its share price moved from N2.35 to N1.73, losing 62kobo or 26.38percent. Also, Portland Paints & Products Nigeria Plc dipped from N2.23 to N2, losing 23kobo or 10.31percent last week; followed by Consolidated Hallmark Insurance Plc which moved down from 37kobo to 34kobo, losing 3kobo or 8.11percent. All other indices finished higher with the exception of NSE Insurance which depreciated by 0.68percent while the NSE ASeM Index closed flat.

upholds. According to him, “With a reputable outlook, we operate on transparency. It is evident in our operational processes, from the commencement of engagement with a client and throughout the lifetime of the transaction.”

He added: “Our proposals/pitches, clearly outline all the necessary information for a client to make informed decisions. There is full disclosure, and there are no hidden charges as each product/ service offering clearly states the processes involved and applicable fees. We also ensure that reports are provided to our clients regularly with updates where necessary.”

Speaking on the significant milestones in the industry over the organisation’s ten years of existence, Omoera said SITL pioneered the Simple Will service offering. This covers the balance in an individual’s Retirement Savings Account (RSA) and personal bank accounts.

Irrespective of their Pension Fund Administrator (PFA) or bank, individuals are encouraged to write their Wills.

Shedding more light on the company’s pioneer initiatives and innovative solutions, the SITL Chief Executive said: “As corporate Trustees, we pioneered loan agency and escrow agency services as well as employee

share option plans in the Trustee industry. We put efficient structures in place to assist clients in achieving their objectives. We have in our team one of the five Nigerians eligible to use the designation of Trust Estate Practitioner (TEP) by the Society of Trust & Estate Practitioners (STEP),” he said.

Stanbic IBTC Trustees Limited as one of the players in the highly competitive industry creates and administers Trust structures that satisfy clients’ objectives both locally and internationally. As a part of the Standard Bank Group which has served its customers for over 157 years, the organisation is centred on integrity and delivering value to its customers and offers a unique experience.

The firm has also been a part of several groundbreaking transactions that has positively impacted the Nigerian Capital Market as well as the country. Its most outstanding achievement remains the numerous corporate and private clients that it has served satisfactorily and continues to serve.

Stanbic IBTC Trustees Limited has supported organisations to set up incentive schemes for their employees under its Employee Share Option Plan in addition to other bespoke Trust arrangements.

Nigeria’s trustee industry and the changing times

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s a developing and competitive sector, the Trustee industry in Nigeria h a s c l e a r l y re f l e c t e d room for growth as more clients become aware of the need to have Corporate Trustees appointed for their transactions. Individuals are also increasingly taking up the options of setting up Trusts and writing Wills to protect their wishes and secure their Estates.

Firstly, the Trusteeship business plays a relevant role in Nigeria’s investment climate to a very large extent. The Trustee provides a level of comfort and security to transaction parties dealing at arm’s length. It performs its fiduciary duties to act in their best interest whilst holding the parties accountable to the terms and conditions of the operating agreement and relevant regulations.

This is necessary for boosting public confidence in the transaction process while encouraging the overall growth of the economy. Secondly, the intrinsic planning role of the Trustee helps to protect Estates and facilitates inter-generational wealth transfer.

Recently, Charles Omoera, Chief Executive, Stanbic IBTC Trustees Limited (SITL) discussed the role of a Trustee to individuals when it comes to planning their Estates using Trust structures and the long gestation

period in finalising transactions.

Omoera highlighted the involvement of Stanbic IBTC Trustees Limited in combating the low level of awareness in the industry.

He said: “There are several benefits associated with putting Estate plans in place and people need to be aware that they can have a seamless transfer of their wealth to their beneficiaries.

On the challenge of the gestation period, we continue to follow up with parties in this regard and leverage relationships to cut short the delays.”

Omoera recommended measures for the Securities and Exchange Commission (SEC) to implement to make the Trusteeship industry more attractive.

He said: “I believe the Securities and Exchange Commission has been very proactive in ensuring that Trustees continue to function as they should in protecting the interests of their clients while upholding the high ethical standards expected of them. However, scheduled periodic engagements and joint enlightenment sessions on the important role of Trustees would help protect the capital market and enhance the development of the Trustee industry.”

When asked about efforts taken by the organisation to protect clients from the negative impact of the pandemic, Omoera said the company www.businessday.ng

Charles Omoera

has continued to work with both corporate and private clients through this challenging period.

Stanbic IBTC Trustees Limited operated remotely and efficiently to continue to serve clients by utilising virtual engagements and social media interactions. The firm continues to educate on the importance of estate planning and also to provide institutional trust solutions to current and would-be clients.

He highlighted transparency as one of the values that the organisation

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24

Thursday 22 October 2020

BUSINESS DAY

Garden City Business Digest Hotel business in Port Harcourt deserves promotion and commendation

Association chairman urges critics to come to PH and find out the truth Ignatius Chukwu & Gladys Nweke

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otel business in Port Harcourt has taken hits over the years from unsavory situations that create mass panic and fear. The situation scares away tourists and business visitors who seem to dash in and dash out, leaving the hospitality industry reeling.

The most recent was the serial killing of women in hotels, later traced to a killer-robber called Gracious David-West who has just been convicted by a Port Harcourt High Court and sentenced to death by hanging. While the saga lasted, people stayed away from hotels and visitors did more than stay away.

Now, the association of hotel owners has been carrying out campaigns to show that hotels in the Garden City are safe again. They said they are the ones who worked with the security agencies to trap the killer and obtain evidence to convict him.

The earlier fear was from militants, and later kidnappers. Most of this has been communicated in the media,

thus making it look like a media war on Port Harcourt and hotels in the Garden City.

Social media seemed to do worse, churning out messages and seemingly unverified stories about hotels in Port Harcourt. One particular society magazine went to town talking about hotels relocating from Rivers State to another state due to insecurity.

The chairman of Nigeria Hotel Association, Rivers State Chapter, Eugene Nwauzi, thus called on the members of public to disregard the information and also called on journalists from another states to stop de-marketing Rivers State. He said the information is baseless and unfounded. He said such information could only have emanated from persons not from Rivers State. He insisted that some of those other states have more security challenges than Rivers State.

Nwauzi, while speaking with journalists in his office in Port Harcourt, expressed dissatisfaction on how some hoteliers were not following the procedures on check-in and check-out of their customers to conform with international best practices, stressing that a committee was set up including all the security agencies due to security issues that were encountered by the ho-

Eugene Nwuzi

teliers in 2029.

He turned at his members, saying even when the state government introduced manifest system, many of his members did not know what it meant. He said the association took it up to educate them.

Now, he said, compliance level is very high.

Stressing that the association would soon visit and penalise those that refused to follow the instructions given by the association, he regretted that the po-

lice has not been forthcoming in working with the association to enforce this directive.

The chairman also noted that during that time, all the hoteliers were asked to submit the particulars of the check-in and check-out of their guests to the security agents including the taxi drivers and airport taxis for proper profiling to ensure the safety of their guests.

He stated that the Nigeria Hotel Association which is also member of Nigeria Tourism

Development Corporation went further to provide Standard Operating Procedure (S.O.P) for hotels, motels and guest houses in Rivers State.

He mentioned the new SOP that protects hotels in the Garden City as; Need for synergy between hotels and law enforcement agencies in the area of operations; Compulsory installation of functional close circuit cameras (CCTV) in hotels specially to cover reception, corridors and entrance, plus grace of three weeks before the enforcement; Strict compliance to check-in and check-out procedure (guests cards, confirmed phone details, identity cards. and registration of visitors); Training of hotel staff on security and safety in partnership with the police and other security agencies.

Others he mentioned include: Need for armed security personnel in hotels or in alternative to contact area DPO to ensure patrol of the hotel area; All hotels with pool to ensure employment of competent life guards. Pools without lifeguards should be closed because any death from there will be treated as murder; All cabs operating in and out of hotels including airport cabs must be properly profiled to ensure guests

safety; Short time guests system should be minimisized or eradicated as they commit more crime in the hotels; All hotels must belong to the association; and Guest report must be submitted to the police (Special Investigation Branch, SIB) unit weekly.

Nwuzi also warned his members, saying any hotel that fails to comply and fall victim to any of the directives may be closed permanently by the state government.

He commended the Gov Wike for the reduction of taxes and creating enabling environment for businesses and investors. He also called on investors to consider Rivers State for investment especially in Agriculture.

He thanked the Tourism Ministry for their Cooperation with his association. He however frowned at the continuing increase of electricity tariffs in Rivers State saying this is more than most other states especially more than Lagos and Abuja.

He called on those in charge to have a rethink on the tariffs and also appealed to the federal government on hike of petroleum products that would affect all sectors of economy especially in this time of covid19 pandemic that ravaged the whole world.

Victims compensation scheme: A memo Port Harcourt

by Boat

IGNATIUS CHUKWU

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t is important to recast the framework of the Victims Compensation Scheme (VCS) floated by this column in 2014. The then president reacted by taking a fraction of it when he asked the panel he set up to rehabilitate Boko Haram fighters to consider compensation to their victims, too. There is no record of any victim compensated so far. The present administration is not known to have even looked at the suggestion or the need.

Now, some states such as Delta have announced plans to start VCS, which is good, but there is need to recast the framework so that any state that wants to adopt it can get the full picture. This also does not mean that it should be state matter. The FG should preview it, adopt it, and make it a national scheme. Some situations can be ceded to states while some to FG. VCS operates from the legal and sociological framework that a victim needs the state to give him justice, compensate him, and restore him, else, another theory; revenge, would crop up. It would be left to families as in the days of yore to avenge their injured relations. (Look at things Fall Apart and Ikemefuna.)

Now, in the theory of the social contract, the citizen has elected to pledge loyalty, cede power, surrender weapons of violence to the sovereign and pay tax. In return, the sovereign (now government) must protect the citizen with weapons of mass and singular destruction, visit vengeance to the aggressor on behalf of the victim-citizen, provide social amenities with the tax fund, and create enabling environment for the citizens to pursue legitimate economic endeavours. It is from these that the fundamental human rights of right to life, right to work, and freedom of expression were drawn. Its no favour.

Taking the concept of protection and vengeance further, the theory led to the creation of civil suit against criminal injury. This means that victim has provision to file claims in a suit while the government (through the police) would file for punishment (vengeance). The claim or civil suit restores the victim to status quo from the injury caused by a victim, The question is; how many Nigerians get claims from criminal proceedings in one year, if any? This shows that even when the sovereign has exacted vengeance (such as imprisonment) through criminal proceeding, there is no restoration angle yet. Also, the court system has been arranged heavily against the citizen trying to explore this right. It has been made very exorbitant, thus very discouraging. This often leads to self-help amd jungle justice.

Now, the final concept is the gap in prosecution, the unknown assailant, the unknown aggressor. Most times, the person and factor that caused death/injury or damage to a citizen may be a dispersed aggressor or unknown aggressor such as natural disasters, insurgents, terrorists, mobs, assassins, hit-and-run vehicles, etc. It simply means that the victim is left with ‘sorry’

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which is sympathy without empathy. It goes as in ‘is alright’ as our people call it.

So, the Victims Compensation Scheme which should become an Act of Parliament is hereby suggested as rescue to citizens that have over the years suffered in the hands of dispersed aggressors. If Boko Haram or a mob burns down a church or mosque, it ends in ‘sorry’? That is wrong. There should be a compensation system that restores the church, the mosque, the shop, the houses, and gives support to the bereaved.

It should also include helping the victim to get civil claim where the aggressor is known or in the case of incapacitated aggressor (people not anywhere able to raise the compensation). Over the years, governments have used discretionary powers to render compensations like when a

Yemi Osinbajo

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lecturer in Rivers State (Bori) was allegedly killed by policemen during the 2019 elections where he was a party agent. The state government awarded N200m to his family. But many other persons died in the same state in political violence without even a condolence message.

So, an Act will stipulate the conditions and amounts for each category of injury. It will not be a partial calculation.

We had suggested that a committee mostly made up of civil society institutions such as religious leaders, credible NGOs, associations, Labour, plus government bureaucrats, UNaccredited observers, etc, to receive complaints, process them, and arrive at amounts. The fund for this must come from the first charge; the same place judges get salaries from. There could be contributory levies to support it. Also, the FG can deduct 50 per cent of such payments to a victim from the state where such violence occurred. This should make state governors more interested in blocking locally induced killings and burning of religious houses.

Where the aggressors are easy to identify, the system also sues them to recover the funds used to compensate the victims. It should be made optional to a victim, if he wants to sue or wants the VCS to handle it. The difference is that the VCS may pay less amounts because it looks like awards from arbitration panels. It is a choice.

Now, states that want to set up VCS can get the picture properly so they do it properly. The FG can also look at this proposition properly and initiate action because injury to citizens is too much and blood of the innocent and tears of victims are wailing and welling up to heaven.

We cannot continue to drink tea with the blood of our brethren. (This columnist is prepared to submit a full memo on this to any interested state or FG).

@Businessdayng

Thursday 22 October 2020

BUSINESS DAY

Research&INSIGHT A WEEKLY PUBLICATION OF BUSINESSDAY RESEARCH & INTELLIGENCE UNIT(BRIU)

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In association with briu@businessday.ng

08098710024

Nigeria E-payment landscape: The new reality 2019.

Airtel Nigeria’s first-quarter results for the first quarter ended in June 2020 were impressive, as revenue for the period increased by 8.9 per cent. Data revenue posted the highest gain among its revenue sources. It rose by 30 per cent while other revenue increased by just 4.5 per cent.

Revenue in the e-Commerce market is projected to reach US$4,942m in 2020. Revenue is expected to show an annual growth rate (CAGR 2020-2024) of 15.9 per cent, resulting in a projected market volume of US$8,917 million by 2024. The market’s largest segment is fashion with a projected market volume of US$1,823 million in 2020, according to Statista data.

ISAAC ESOWE

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he Nigeria electronic payment landscape continues to pose strong growth across various payment channels despite Nigeria’s economic realities. The population is much poorer today than what it was a decade ago. Current GDP growth rate shows the Nigerian economy slumped by 6.1 per cent in the second quarter of 2020. Inflation, a general rise in the prices of goods and services such as food, clothing, housing, recreation, transport, consumer staples, etc, is also on the rise. Inflation measures the average price change in a basket of commodities and services over time.

For September headline inflation in Nigeria, it rose for the thirteenth consecutive months to a 30-month high of 13.71 per cent in September 2020 compared with 13.22 per cent in August this year. On a month on month basis, the headline inflation index increased by 1.48 per cent by 0.14 percentage point higher than August’s 1.34 per cent. The pressure on headline inflation in July was broad-based as increases were recorded across both the food sub-index and core sub-index, National Bureau of Statistics (NBS) data shows.

Nonetheless, the composition of the electronic payment market remains healthier with various payment channels emerging amid the challenging business environment. It has proven that economic growth cannot take place in the absence of the digital economy.

The new e-payment realities are that consumers are vastly becoming digitally savvy consumers while consumer shopping habit changes to accommodate the new reality.

This new normal is in line with the ‘Theory of reasoned action’ created by Martin Fishbein and Icek Ajzen in the late 1960s which posits that consumers act on behaviour based

on their intentions to create or receive a particular outcome.

In this analysis, consumers are rational actors who choose to act in their best interests. A consumer only takes a specific action when there is an equally specific result expected. From the time the consumer decides to act to the time the action is completed, the consumer retains the ability to change his or her mind and decide on a different course of action.

“The new shift towards digital technologies should not come to anyone as a surprise because economic growth has always been spurred by revolutionary inventions, only that with some digital technologies, their usage is global compared

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to some revolutionary inventions of the past”, past publications posit.

Before this improved feat recorded in the e-payment space, beginning from 2015, resulted in the integration of the payment gateway was expensive and technical. It cost ₦150,000 to integrate payments using QuickTeller in the early 2010s.

Small businesses avoided these concerns by signing up as vendors on the popular e-commerce websites. So far, the thing is taking a new shape since the emergence of the PayStack, Flutterwave among others electronic payment integration platforms.

Over the last four years, the value of online payments using

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mobile apps have jumped from ₦12.1 billion ($31.5 million) in January 2017 to ₦133.2 billion ($347.2 million) in January 2020. More growth is possible as Nigeria’s internet population continues to grow. There are over 120 million internet subscribers in the country, up from 20 million a decade ago.

Mobile subscriptions in Nigeria rose by 5.35 per cent between March and July 2020 with active lines at 198.9 million compared with 188.8 million in March 2020. MTN Nigeria which controls over 40 per cent of Nigeria’s telecommunications sub-sector saw a 13 per cent increase in revenue from N638.1 billion in June 2020 as against N566.9 billion in June

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Market trends and consumers behaviour While e-commerce is starting from a relatively low base, the market looks promising for rapid expansion. Demographics, income and internet uptake all suggest that online retailers are well placed to generate strong revenue in this key African market. However, e-commerce faces several impediments to growth, including poor distribution infrastructure, existing consumer payment preferences and logistical issues.

However, the government has shown a commitment to turn Nigeria into a digital economy that will promote job opportunities and security, according to the Minister of Communications and Digital Economy, Isa Ibrahim Pantami.

And again, recently, the Standard Chartered Bank collaborated with Visa to launch a new ‘Safe is Smart ‘campaign. The initiative is aimed at encouraging the adoption of e-commerce solution. The campaign also seeks to provide convenient and secure cashless payment alternatives through the Standard Chartered’s Visa Debit card, QR payment solutions and the Standard Chartered digital banking mobile app.

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Thursday 22 October 2020

BUSINESS DAY

POLITICS & POLICY

Buhari, as a father, should know better that brute force can’t end crisis - Obasanjo RAZAQ AYINLA, Abeokuta

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iffed by the prevailing situations which have prompted unending protests, brutal killing of youths by security agencies and destruction of public and private property across Nigeria, former President Olusegun Obasanjo has warned President Muhammadu Buhari against further usage of brute force to end the protests against the defunct Special Anti-Robbery Squads (SARS).

The former president, who condemned the killing of innocent youths, especially at the Lekki Toll Plazs, and other places, mainly in Lagos State by security operatives believed to have been ordered by the Presidency, expressed condolences to the families and relatives of the youths killed across the country for #EndSARS protests, calling on youths to eschew violence and embrace peace and dialogue in finding solutions to the challenges being faced by Nigeria.

Speaking via a press statement personally signed and released to the media by his media aide, Kehinde Akinyemi, Obasanjo noted that the killing of youths by security agencies was needless and could only reinforce the anger and frustration of the populace and close the window of dialogue and peaceful resolution, adding that youths should also embrace dialogue and be weary of miscreants infiltrating and hijacking the peaceful #EndSARS protests.

He said,: “It is with a heavy

Olusegun Obasanjo

heart and deep sense of concern about the ongoing violence, chaos and unrest in many parts of Nigeria that I make this appeal to the government and people of our dear country, Nigeria, to eschew violence and embrace peace and dialogue in finding solutions to the challenges we face as a country.

“I particularly appeal to President Muhammadu Buhari, in capacities as President of Nigeria, Commander-InChief of the Armed Forces, and a parent of youth like the ones who have in the last week come out in peaceful protest

against police brutality and for improvement in their lives and their living conditions, to restrain the military and other security agencies from using brute force as a way of ending the crisis. “The shooting and murder of unarmed protesters, no matter the level of provocation, has never been effective in suppressing public anger and frustration. Instead, such actions only reinforce the anger and frustration of the populace and close the window of dialogue and peaceful resolution.”

According to him, “It is clear that Mr. President and

his lieutenants did not exhaust the opportunities for dialogue with the protesters before resorting to use of force. It is worse that there is denial of wrongdoing in spite of overwhelming evidence. Great harm has been done but it can be stopped before it completely spirals out of control.

“We are at a critical moment in this crisis and Mr. President must act before it is too late. This time demands leadership and mature leadership at such.

“Most of the demands of the protesting youths, which Governor Babajide SanwoOlu of Lagos State swiftly took to the President, are not unreasonable and can be met without anyone’s political interest or ambition being threatened. It is imperative that leaders at all levels, starting from Mr. President, must demonstrate meekness, humanity and sincerity in meeting the legitimate demands of the protesters and ensuring that justice is served where it must be served. These are the most potent ways of ending this crisis now.”

Obasanjo further pointed out that “The youth too must give peace a chance while making their legitimate demands.

They must be mindful of miscreants who will infiltrate their ranks and give the protests a bad name only so that triggerhappy forces will kill them.

The destruction and looting of public and private properties will hurt all of us and set us back. The targeting of individuals and groups for attacks and reprisal attacks will only further widen our divisions, escalate the crisis and threaten our fragile unity.

Lekki Tollgate shooting: Gbajabiamila calls for thorough investigation, calm JAMES KWEN, Abuja

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he Speaker of the House of Representatives, Femi Gbajabiamila has described the event of the reported casualties of protesters at the Lekki Tollgate in Lagos on Tuesday night as disturbing and not reflective of the nation’s growing democracy.

Gbajabiamila, who expressed grief over the sad event and the consequent civil disturbances around the state, called for a quick and thorough investigation into the incident that led to the avoidable victims at the Lekki Tollgate.

The Speaker, in a statement by his Special Adviser on Media and Publicity, Lanre Lasisi, said: “Events in my home State, Lagos, last night (Tuesday) and up until

Femi Gbajabiamila

this afternoon (Wednesday), have left my heart heavy and my spirit disturbed.

“After sixty years, our democracy should have grown beyond the point where conflicting visions

of nationhood result in violence on the streets and blood on the ground.

“It is unavoidably and painfully clear that there were a number of casualties as a result of gunfire at

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the Lekki Toll Gate.

“Therefore, there needs to be a quick and thorough investigation to determine the facts of what happened last night in Lagos. Our nation urgently needs and the Nigerian people deserve an accounting of the acts that led to the events of last night”.

While urging Nigerians to remain calm and lawabiding, Gbajabiamila noted that no blood needed to be spilled any more, saying: “I urge for calm whilst we get a truer picture of events.

“In Lagos and everyw h e re e l s e, t o o mu c h blood has already been spilled in our country, let there be no more. May God bless and keep you all. And may God bless and keep our Federal Republic of Nigeria”, he further said.

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NBA condemns killing of protesters, tells military to fish out perpetrators INIOBONG IWOK

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he Nigerian Bar Association (NBA) has condemned Tuesday night killing of protesters at the Lekki tollgate, saying that there was no justification for the use of live ammunition on peaceful protesters by soldiers.

Recall that last night soldiers attacked and opened fire on #EndSars protesters which resulted in the death of several people, while several others were injured during the melee that ensued.

In a statement by NBA President, Olumide Akpata, on Wednesday, he expressed dismay that the attacks and killings appeared coordinated and premeditated by the security forces.

“The NBA strongly condemned act of recklessness and lawlessness by the security apparatus of the Nigerian Government in what, based on reports available to us, appears to have been a carefully calculated and premeditated attack on peaceful protesters”.

The NBA further said that even if the protesters at the Lekki toll plaza were in breach of the curfew imposed by the Lagos State Government, such a misdemeanor or breach did not warrant the use of live ammunition by the Nigerian military to confront peaceful, unarmed and defenseless protesters,” the NBA further said.

The NBA added that the shootings and killings were unjustifiable in a democracy, urging the military to identity and name officers involved in the operation for immediate prosecution.

The NBA announced that it would begin legal proceedings against the Army on behalf of the families of the victims, for abuse of power and infringement of fundamental rights.

The NBA also announced an emergency meeting of the National Executive Committee in 48 hours to review the state of the nation and implement steps to deal with the situation and prevent the nation from further going adrift.

Atiku condemns killing of Lekki protesters, condoles victims’ families

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tiku Abubakar, a former vice president of Nigeria, has condemned the killing Tuesday of #EndSARS protesters in Lekki, Lagos by some military personnel.

In a video broadcast, Atiku, who also was the presidential candidate of the People’s Democratic Party (PDP) in the 2019 general election, said: “I woke up this morning and did the unusual: I called to speak to all my adult children.

“I did so because I wanted to be sure that they are safe.

I also wanted to be assured that the event of yesterday (Tuesday) was a nightmare.”

“But it was real. This is our new normal. As I speak, many parents and homes are in mourning. Their children, mowed down in their prime by a needless show of force by security forces that were supposed to be protecting them.”

Atiku sadly recalled that “For over a week, our young people have been trying to draw our attention to their grievances, by way of the #EndSARS movement. Sadly, it reached a violent crescendo yesterday (Tuesday) with the unprovoked killing of unarmed and peaceful protesters, even while they demonstrated their patriotism by singing the National Anthem.”

The Adamawa-born politician cum businessman, who said he was heartbroken at @Businessdayng

the turn of events and deeply condole with the families of the victims, said “I feel their pains and the pains of the injured and maimed.”

“There are reports of hospitals refusing to treat the injured from this horrendous incident. I urge all hospitals, private and public, to prioritise the Hippocratic oath and treat every and all of the injured. To save their lives is a task that must be prioritised,” he noted.

Calling on all Nigerians to face their common enemies, he said: “I call on our armed forces to show restraint. No more lives must be lost. Absolutely none. We must face our common enemies, not our brothers and sisters. And our foes are the terrorists and insurgents, who seek to end the Nigerian way of life.”

Atiku finally urged President Muhammadu Buhari to “speak to the nation”, and “speedily implement the demands laid out by our young compatriots.”

Thursday 22 October 2020

BUSINESS DAY

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FEATURE Protest EndSARS: Is Nigeria about to be born again?

Temitayo ade-peters

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t is a known fact that for solutions to be sustainable, long term thinking is required and this begins with identifying the root cause of the problem so as to set a right road map in place.

However, when there are issues of urgent concern that require immediate response, the right thing to do is to swing into action as with first aid. No one gets to an emergency scene and begins asking questions with the intent for extended research. The first thing to do is to act based on what you can see: stop the bleeding, stop the suicide attempt, save the baby etc.

The remaining part of the research can be handled thereafter.

This is the case with the #EndSARS movement. Some people have said it’s not just about ending SARS and that is fair enough.

However, that is a great start. We need that first aid, that bandage to nip Police Brutality in Nigeria in the bud.

With a predominantly youth population, Nigeria is one of the youngest countries on earth having a median age of 18.3. In an ideal situation, a nation like ours will enjoy high economic development, considering the availability of its vibrant work force to contribute to economic activities productively.

However, this demographic dividend also portends huge potential for crime in situations where the youths are not productively engaged and the nation is ravaged by poverty. When corruption is the order of the day, and whole systems are broken, there’s bound to be break down of law and order.

Subsequently, Police will need to step up their effort to avoid a state of lawlessness because youths are naturally restless and their energy must be channeled to something - productive or not.

This is the case in Nigeria. The strength of our youth has not been managed effectively and now, we’re deploying police to curb what not, targeting any youth that doesn’t fit into their supposed profile of what clean should look like.

Back to our analogy on first aid.

After the first aid, the urgent action, the patient’s health will require in-depth analysis to understand the underlying issues. Stoping at just the first aid will mean lost opportunity to finally proffer a lasting solution to elongate the patient’s life. Nonetheless, skipping the first aid and focusing straight on analysis and research may mark an urgent disaster.

There have been massive protests in Nigeria calling for the disbandment of the Special AntiRobbery Squad, a section of the Nigerian Police Force charged with curbing armed robbery. While experiences of protesters and their loved ones vary, the reason for this

all important request remains the same: young people, and not just the robbers the SARS was set up to manage, are now targets and victims of brutality in the hands of these men of the force.

Contrary to what most people think, the situation is actually a simple yet sensitive one. Simple in the sense that there is absolutely no justification for police brutality but sensitive because the current state of the nation requires high level of security to protect lives and property. We all know that while a lot of people go into crime because of poverty and lack, the case is not the same with all. At any rate, crime against your fellow human, people working hard and trying their best to put food on their tables and support their families is unjustifiable for any reason.

In consonance with the complexity of the situation, it is important to also proffer a holistic approach to tackling the challenges.

Thus, in analyzing the root cause of the circumstances that have finally culminated into these mass protests that are gradually becoming deadly, with deaths already recorded from the bullets of police men, some fundamental issues need to be addressed.

A lot of people have alluded to the fact that the state of the police, the protests and indeed the hopelessness of our youth is a direct reflection of the nation. Like symptoms, these are only pointers to the true health status of Nigeria.

Nigeria is indeed a paradox of a nation. A country that is now recognized as the poverty capital of the world is also home to the richest black man and indeed some of the richest black people in the world.

A country that attracts the best entrepreneurs in world but also repels its own people due to lack of opportunities. Isn’t it amazing that Nigerians are some of the best groups when it comes to impact in countries like America but seem to be unproductive at home? In Nigeria, you walk from opulence into slums with mere gates as the divide!

To begin with, we cannot tackle any of the issues highlighted without narrowing squarely on poverty and inequality. True, Nigeria has www.businessday.ng

been dubbed the largest economy is Africa but we all know this does not translate to anything substantial for the man on the street.

Addressing the level of poverty in Nigeria requires restructuring of systems, collaborative effort, with the leaders having the political will to champion and support the process without politicizing the issues.

Going by the pressing issue, a great starting point is the absolute reformation of the police force.

Police welfare in Nigeria is beyond despicable. You have grown men earning meager salaries not enough to live by and then you hand them guns! Some years back, a television station in the country did a quasi documentary about the state of the the police college and it was indeed a terrible sight to behold. In the end, nothing changed, instead they got a backlash from the government.

The reformation of the police force must happen from end to end: From the entry point, the police college, to the salary, welfare and training of serving police officers, pensions of retired officers, compensation for families of those who die in active service to provision of standard tools, gadgets and weapons amongst others.

Next is the total overhaul of the education system which is currently in shambles. The government needs to rally private sector partnerships and put the right policies and incentives in place to attract investment into this all important foundation of our nation. The backwardness and stagnation of the country is directly linked to the poor level of our education standard and total lack of it in most quarters.

Closely linked to this is the need to set up youth development and empowerment schemes. We need urgent action in this area to reduce poverty and youth restiveness across the states. Nigeria is blessed with natural resources and our skill acquisition schemes should be focused on providing youths in different areas with the know-how to effectively leverage the resources in their states for export and local consumption where applicable.

Again, without the government providing the enabling environ-

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ment for businesses to thrive, no matter the education or skills acquired, once the ease of doing business is low, there will be no adequate jobs to mop up unemployment. Government policies or lack of them have huge impact on businesses. They have the capacity to advance businesses beyond the level of the owners’ self-survival to truly thriving businesses that can create more job opportunities and contribute good taxes for national development.

Additionally, one of the challenges Nigeria has faced when it comes to export and even local consumption of goods is quality and standard. We need the combined efforts of business councils, NGOs, industry players and the Government working with existing bodies like the SON, the Nigerian Export Promotion Council, NAFDAC and others to put in effective and seamless product standardization polices in place to aid exportation and local acceptance. This is important to help us not only diversify our economy from oil, but to also shore up the Naira from FOREX shocks.

From a political stand point, Nigeria needs to have a more inclusive government where youth representation matters. Even if anyone had doubts, with the coordination and organization of the protests, Nigerian youths have shown that beyond being leaders of tomorrow, they are ready to take the country to the promised land, for the now and for future generations.

Ultimately, Nigeria needs to have improved justice and Judicial systems. To feel safe enough in Nigeria to serve with all our might and recreate a nation we can all be proud of across sectors, we need to push for the tenets of Goal 16 of the UN SDGs, Peace, Justice and Strong Institutions.

Essentially, we need active institutionalization and enforcement of the Rule of Law. All citizens need to trust that justice will be served, no matter who is on either side.

All citizens need to know that no one guilty of crime will slip away because of their privileged position or standing or because of poor structure and systems to bring @Businessdayng

wrongdoers to book.

The focus on justice is particularly important because, as much as we speak in favour of police welfare in Nigeria and rightfully so, many a times, the culture of extended neglect and denied justice can fuel crimes and misconduct. In the United States of America for example, police welfare cannot be said to be poor but American police brutality, especially against the blacks, is one of the highest in the world.

In Nigeria also, many years of injustice, neglect and citizens’ indifference as regards accountability from political leaders have increased the level of complacency and nourished the culture of poor leadership across all spheres of the nation. Youths especially feel betrayed, have deep distrust for the leaders, with many having lost any iota of hope in the systems. This is highly expected considering the many years of unfulfilled promises, government after government.

Nigeria is however at a critical tipping point and history is being re-written by Nigerian youths.

Many have advised that, with the youths finally getting the attention of those in high places and their being voices heard, the #endsars and #endpolicebrutality protests should be explored to push for total reforms across all critical systems of the nation.

2020 has indeed been a year of many learnings and discoveries.

From COVID-19, its safety rules and periods of lockdown, to new levels of digitization in spheres never thought possible, Protest EndSARS will also go down as one of the landmarks of the year and its effects can definitely not be wished off.

One thing is certain: thi s season has marked the beginning of a new Nigeria. The voices of the youths have gone up in protests and in prayers, peacefully demanding a new type of leadership. The response from our leaders will set the tone for how things will proceed going forward.

At any rate, the youths must not lose the opportunity of the season for the rebirth of a new Nigeria; a Nigeria where according to Aisha Yesufu, “the son of a nobody can become somebody without knowing anybody’’.

Temitayo Ade Peters is the CEO o f We F o r G o o d I n t e r n a t i o n a l , a sustainable development firm focused on communications, training and programmes that target the fulfilment of the SDGs.

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Thursday 22 October 2020

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ing Hospital (LUTH), Idi-

Araba, Lagos.

Victims sustaining varying degrees of injuries from gunshots, cutlass duel and stabbing, among other fracas, were rushed in on motorcycles by desperate persons.

In an unusual fashion and positive development, gunshot victims were promptly cared for at the A&E ward of LUTH. In 10 minutes of BusinessDay’s visit at about 11:40am on Wednesday, at least five injured persons, all youthful male were received into the ward without hesitation.

Stephen Okoro, a 45-yearold protester, was, for instance, shot in the stomach around Tejuoso Market during police opening of fire on protesters.

His barber, who does not want his name mentioned, recognised him as he laid helplessly on the floor and rushed him to LUTH. Okoro is just one of about three protesters shot at the Tejuoso scene, the Barber told BusinessDay. Many protesters have equally been shot fatally across various parts of Lagos, including Lekki, Mushin, Egbe-Idimu, among others.

As at the time of writing this report, Okoro has been administered first medical response but yet to get a surgery for the removal of the bullet stuck in his tommy.

Meanwhile, many unhurt protesters have been rallying around the hurt ones donating blood, as social media calls for help.

Socrates Mbamalu, on his Twitter page, confirmed, saying “I am at LUTH and the number of people that have come to donate blood for the #EndSARS movement shows that the government doesn’t know what it’s facing. A lot of young people here are showing their support by giving their blood.”

However, the violence from the protests seems to be taking attention away from other patients just like COVID-19 did in the wake of its outbreak.

At least three families are currently struggling to get attention for their sick relatives.

If the protest continues without the security forces shielding their swords or protesters rethinking their approach, the tertiary hospital might be overwhelmed, leading to more deaths.

Attang, a doctor told BusinessDay that many victims were in dire need of blood donation while others needed to raise urgent funds for their bills.

Whereas, Temi Giwa-Tunbosun, CEO of LifeBank, a health technology company that circulates blood, cried out on Twitter on how moving blood to people in need proved difficult under violent escalations.

“We are trying to desperately move blood to hospitals!

Hoodlums won’t let us pass.

Please Yaba is a mess. People will die if we don’t move quickly! Please help!” she said.

Nigeria’s risk perception The world woke up Wednesday to chilling news that Nigerian soldiers had turned their guns on peaceful protesters, a development now set to worsen risk perception in Africa’s biggest economy.

The Lagos State government declared a curfew on Tuesday and soldiers brought in to enforce it reportedly shot at protesters killing many.

On Wednesday hundreds of youths defied a government lockdown and returned to the streets of Lagos destroying government property including a local television station.

The youths, who carried sticks and metal poles, chased cars that tried to evade barricades they’d erected along on Lagos’s main expressways.

The imposing new bus terminal at Oyingbo in Lagos mainland was burning Wednesday morning.

Prior to the crackdown on protesters, Nigeria’s risk perception was already poor.

In 2019, the Euroasia group published a risk assessment report that described President Muhammadu Buhari as “an elderly, infirm leader who lacks the energy, creativity, or political savvy to move the needle on Nigeria’s most intractable problems.”

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The statement noted that no fewer than 13 states have gone ahead to establish the Judicial Panels of Inquiry as resolved by the National Economic Council to address the question of redress and justice for victims of police brutality across the country.

The states that have set up the panels so far are: Lagos, Kaduna, Delta, Ekiti, Ogun, Anambra, Enugu, Imo, Plateau, Edo, Nasarawa, Ondo and Akwa Ibom.

Under the chairmanship of Vice President Yemi Osinbajo, the National Economic Council (NEC) at its meeting on Thursday, October 15,

2020, resolved to establish state-level Judicial Panels of Inquiry, to investigate allegations of police brutality and ensure that all erring personnel are brought to justice.

President Buhari had also in 2018 approved an increase in police salaries and the police personnel budget has seen a rise from N288 billion in the 2018 budget to N417 billion in the proposed 2021 budget; an increase of 45 percent.

Only on Tuesday, at the commissioning of the Nigerian Police Pension Fund Limited building, the president also reiterated continuous support for both serving and retired police personnel. www.businessday.ng

L-R: Babatunde Fashola, minister of works and housing; Lai Mohammed, minister of information and culture, and Niyi Adebayo, minister of industry, trade and investment, during a virtual meeting of the Federal Executive Council at the Presidential Villa in Abuja, yesterday.

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be taken for granted. We predict that these two considerations cannot be undermined by street thugs seeking to cause mayhem or by attempts to undermine

popular protests through brutality, bribery and planting fifth columnists amongst the organisers of these protests.

Rather, they will henceforth be a feature of the necessary engagement between governments and the citizenry.

The definition of “national security” in Nigeria, conditioned by a modern history of military coups, assassination of national leaders and the Nigerian Civil War, is rooted firmly in considerations of regime security and the personal wellbeing of the elite leadership even as far down as local government level, while paying only lip service to the citizenry for whose benefit the country purports to exist. It was only in the 2019 National Security Strategy document that President Muhammadu Buhari acknowledged the importance of adherence to the rule of law as a pillar of national security. Yet, the #EndSARS protest proves conclusively that upholding the rule of law is still something of an aspiration and not yet a reality for Nigeria’s leaders.

They have yet to appreciate that national security is really about nothing but the wellbeing of the citizenry and not that of the elite and/or the leadership.

As Nigerian-British Professor of Development and Security Studies and Vice-Principal of King’s College, London, Professor Funmi Olonisakin, succinctly put it: “people simply want to live well and live long; and if they cannot live long they certainly want to live well.” Any country that does not enact and execute policies with these simple objectives constantly in focus will, quite simply, fail.

Viewed through this prism, the intimate connection between national security and the rule of law/administration of justice is both inevitable and highly desirable. Nigeria is a country whose system of the administration of justice is stunted, hobbled, malnour-

ished and grossly suboptimal.

Our courts are slow, antiquated, subject to abuse in the appointment of judges and perceived to be compromised by State power. The prison/correctional system is subhuman and in no way capable of serving as conducive to restitution, rehabilitation and the humane treatment of offenders. State and Federal Attorneys-General are prone to forget that they are also Commissioners and Ministers of Justice and thus should be focused on prioritising and vindicating the rights of the citizenry, instead of being primarily legal advisers who justify everything governments do, good and bad.

Above all, the police, even after a new Police Act, 2020, is still unable to change its name even symbolically to “Police Service” rather than “Police Force”. Its recruitment and training practices are antiquated and even inhumane in many ways. It is poorly equipped and armed and is perceived by the overwhelming proportion of the population to be not merely unfriendly but even their enemy. In spite of its new enabling law, it is still arguable that the police is yet to shed the carryover of the colonial mentality of an adversarial relationship between the coloniser and the colonised.

We are not surprised that after 60 years, a generation has arisen in Nigeria. And for Nigeria that not only says “enough is enough” but also follows up with decisive but peaceful action. Nigeria will never be the same again. We were pleased that last Thursday the National Economic Council (NEC), under the chairmanship of the VicePresident, decided that State Governors should immediately launch official inquiries into reports of inhuman treatment and brutalisation by the Police. However, we bear in mind that the key players in the national security establishment are all controlled by the Federal Government. We are therefore saddened by and unequivocally condemn the very recent killings of peaceful protesters in Abuja and Lagos.

Already, before official statements have come from the

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Federal Government in Abuja, interested foreign entities and politicians have called on the Federal Government to take responsibility and stop the official lawlessness and impunity that is now on display.

Therefore, we would advocate that the Federal Government ought to weigh in with decisive actions, including: 1. Direct the immediate investigation of every police officer and soldier of whatever rank suspected in Police/ SARS/military extra-judicial killings before and during the #EndSARS protests. A joint committee of NHRC and human rights NGOs should monitor these investigations.

This Committee must start work no later than Monday, 26th October; 2. All investigations must conclude no later than 26th November 2020 and report findings to the Federal Attorney-General who must in every case decide whether or not to prosecute such a person within 3 working days of receiving the report; 3. Simultaneously, a special judicial commission of inquiry should be constituted with terms of reference centred on an examination of every facet of policing and law enforcement in Nigeria and propose, within 4 months measures to reform/transform law enforcement and the administration of justice in Nigeria through a range of short- and mediumterm measures; 4. The President or VicePresident, and no one lower, should directly oversee the entire process and have full supervision of the Federal Attorney-General, with power to immediately override any decision of the AG or direct decisive action, if needs be; 5. Given the fact that innocent and unarmed protesters have been killed without apparent justification in the course of peaceful #EndSARS protests, the Police Service Commission, the IGP and all DIGs should immediately leave office and successors named simultaneously, whilst current office holders remain in place until successors take over, which takeover must be within 24 hours of the announcement; 6. Given the incendiary and @Businessdayng

provocative statements and actions made by the Chief of Army Staff and the fact that they are perceived by Nigerians to have spent too long in office without real benefits for the security situation in the country, all four (4) Defence Service Chiefs should be retired immediately and successors named, whilst the Senate is requested to screen successors immediately as required by the Armed Forces Act and current holders remain in place until successors are sworn in; and 7. Simultaneously, Nigeria’s economy as currently structured will not and cannot deliver the economic expansion required to create jobs for our youths and lead to output growth across the broad spectrum. So, a national conversation should start around themes of rapid economic expansion, reconciliation as well as righting wrongs at national and State levels with credible technocrats and leaders of CSOs that have been at the forefront of speaking up in support of the #EndSARS protests and the protection of human rights. In this regard, the President should convene a group of credible men and women to foster such a conversation and return within 2 weeks with a number of steps that can be taken immediately to establish that the Government does indeed have the will to do the right things.

This time the killing of unarmed, peaceful Nigerian youths must have serious consequences. This is the only way to defuse tension across Nigeria, rather than threaten to bring down the heavy hand of government, as Minister of Information did recently.

The thread that connects the #EndSARS protests, a conversation around national security that redefines it from the citizens’ viewpoint, a new national ethic and turning around the national economy is obvious to us and, we hope, to the country’s leaders. If it is not obvious, the voices of concern from abroad make it so.

We urge President Muhammadu Buhari to speak personally along the lines proposed above and thus enable the work of genuine reconciliation and national recovery to start.

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Country risk, which refers to the uncertainty associated with investing in a particular country, is worsened by political instability which can roil financial markets. Poor risk perception partly accounts for Nigeria’s declining foreign direct investments.

According to the United Nations Conference on Trade and Development (UNCTAD) 2020 World Investment Report, FDI flows to Nigeria totaled to $3,3 billion in 2019, showing a 48,5 percent decrease compared to the previous year ($6.4bn).

The troubling images and videos shared on social media and on television screens across the world is fueling calls by world leaders, celebrities, and foreign governments to the Nigerian government to halt violent attacks against protesters. This is also worsening Nigeria’s risk perception.

Andrew S. Nevin, Partner West Africa Financial Services Leader and Chief Economist,

Many others including US Congresswoman woman Ilhan Omar, celebrities including Beyonce, and a growing list of international observers have called on the Nigerian government to halt a violent crackdown on peaceful protesters.

These calls happening amidst loud silence from Aso Rock is feeding the perception that the government is unwilling to engage and drumming aghast at home Clement Isong, executive secretary and CEO Major Oil Marketers Association of Nigeria told BusinessDay that his heart was broken over the development as he sympathised with the family of those who lost loved ones in the struggle.

“This is an opportunity for the government to move quickly, and show its human rights credentials at a time we are deregulating the downstream oil and gas sector with the hope of attracting foreign investments. The government needs to be seen as respecting

EndSARs protesters blocking Ijaya Ipaja, Lagos, yesterday. Pic by Olawale Amoo

Nigeria, said that countries that have managed to improve their security situation and good governance reap the benefit of it and that is where Nigeria needs to get to, “but right now the focus needs to be on the safety and security of all Nigerians and the international communities looks to the Nigerian authorities to do the right thing for all Nigerians.

“On the other hand if the movement leads to improved governance, rule of law better security for everyone then ultimately it will lead to better investment climate,” Nevin said, adding that security challenges in Nigeria is one of the reasons investors are conscious of the nation with the largest economy in Africa.

Joe Biden, the democratic party candidate in the November 3 US presidential elections, released a statement Tuesday urging President Buhari and his military forces “to cease the violent crackdown on protesters in Nigeria, which has already resulted in several deaths.”

Hillary Clinton, former US secretary of states, Tuesday night asked Nigerian authorities to “stop killing” persons protesting against police brutality in the country.

the rule of law,” said Isong.

The UK parliament says it will consider a petition asking the country to sanction the Nigerian government for human rights abuses over the #EndSARS movement.

This is following a petition by more than 133,000 signatures, less than 24 hours after it was created, and is more than the 100,000 signatures required by the parliament before it considers a petition.

Gory images of bloodied protesters were a constant feature in newspapers and television stations across the world. The New York Times reported the tragic climax to days of mainly peaceful action by the youths with a headline titled, “Nigerian forces fire on demonstrators protesting police brutality”.

Atlanta US-based Cable News Network, CNN titles its online story, “Eyewitnesses say Nigerian forces opened fire on protesters in Lagos.”

In its account, the newspaper for the world’s business elite, Wall Street Journal said “Nigerian protesters killed as soldiers opened fire in Lagos. In the report, WSJ said, ”several people were killed as Nigerian soldiers opened fire at a key protest site in Lagos, www.businessday.ng

TVC station set on fire

witnesses said.”

The London Guardian newspaper said “Nigerian forces have opened fire on hundreds of protesters in Lagos, as rallies against police brutality continued in defiance of a 24-hour curfew imposed by the government earlier in the day.

The impact of this negative coverage is bad for business, analysts say. “Investors do not like uncertainty. In the short term, it is going to significantly impact foreign investment inflows into Nigeria. How it turns out, in the long run, depends on how government resolves the issues on the table,” Trevor Ward, managing director, London-based W Hospitality Group said.

UN’s condemnation The UN High Commissioner for Human Rights Michelle Bachelet on Wednesday strongly condemned the use of excessive and disproportionate force by Nigerian armed forces in Lagos on Tuesday evening.

She called on the Nigerian authorities to take urgent steps to deal decisively with the underlying problem of persistent violations committed by the security forces, and make a far stronger effort to bring police and army personnel guilty of crimes against civilians to justice.

“While the number of casualties of yesterday’s shooting at the Lekki toll plaza in Lagos is still not clear, there is little doubt that this was a case of excessive use of force, resulting in unlawful killings with live ammunition,

by Nigerian armed forces,” Bachelet said.

“Reports that CCTV cameras and lighting were deliberately disabled prior to the shooting are even more disturbing as, if confirmed, they suggest this deplorable attack on peaceful protestors was premeditated, planned and coordinated.”

“Nigeria was already at

boiling point before this shooting because of the revelations about years of unchecked violence, including alleged killings, rape, extortion and other violations, by the SARS,” the UN Human Rights Chief continued.

“While the authorities have now dissolved SARS and announced a series of inquiries at both Federal and State levels, there have still been few if any charges levelled against its members despite abundant evidence against various members of the squad, as well as members of other security forces and the army.”

Many Nigerians appear not to trust the inquiries and other measures that have been announced by the authorities, and have continued to take to the streets in several cities to protest.

“I appreciate that the Government has taken a number of measures to address the protestors’ demands,” Bachelet said. “However, the immediate creation of another elite police SWAT team to replace the SARS -- without first addressing some of the root causes of police violence and putting in place sufficient safeguards to prevent future violations -- has eroded the public’s trust even further.

This latest terrible event in Lagos is like wantonly adding fuel to a fire that was already starting to rage out of control.”

Bachelet said the way to restore trust and bring back peace to the streets of Nigeria is for the authorities to take immediate concrete steps to show they are genuinely committed to tackling impunity, after years of inaction.

“There need to be immediate, independent, transparent and thorough investigations, not just into last night’s killings, but also into all the previous violations committed by security forces,” Bachelet said.

“Those appointed to carry out such investigations must not only be independent and

FRSC, VIO offices on fire https://www.facebook.com/businessdayng

impartial but must be widely perceived as such. And, where sufficient evidence already exists to warrant charges, immediate suspension of officers – including senior officers -- suspected of committing serious crimes, should take place long before the conclusion of such investigations.”

“After so many years of reported violations that have not been adequately dealt with, there also needs to be a root and branch re-examination of the entire security sector, and of its civilian oversight,” the High Commissioner added.

“This should include a fullscale review of rules of engagement and training systems and methods.”

Bachelet also called for immediate investigations into reports of violent and provocative attacks on peaceful protestors by unidentified groups armed with cudgels, cutlasses, sticks or guns, in some cases apparently with the overt backing of police or other security forces.

“Nigerians, like everyone else, have a fundamental right to peaceful assembly and protest,” Bachelet said. “The Government has a responsibility to take positive measures to ensure the realization of this right, including deterring others who intend to prevent them from protesting peacefully. The world’s attention is now focused sharply on how Nigeria’s Government and security forces react over the coming days and weeks.”

The High Commissioner urged the authorities to grant reparations to the victims and

geria, to “celebrate her freedom and cherish her democracy”.

You said to Nigerians that, “together we cooperate to surprise the world that had come to expect only the worst from Nigeria.” You, saluted Nigerians for waiting long hours in rain and hot sunshine to register and cast their votes and stayed all night if necessary, to protect and ensure their votes count and were counted. You thanked those who tirelessly carried the campaign on social media.

President Buhari, this is an urgent call from those who gave you this mandate: tell the armed forces to stand down and stop shooting at or killing unarmed Nigerians. Undeniably, the lives of young Nigerians are being shed in hopes of a better Nigeria, which you chose to serve.

In the last two weeks, Nigeria has seen an intergenerational call for a better country through better governance.

It was led by the youth and it was peaceful. Given your experience running for office, where there is a crowd there are opportunists that seek to infiltrate and cause havoc. This was not the protesters, they remained peaceful. However, Mr. President, the democracy, which you choose to uphold, necessitates that the people speak. The rot in the system is undeniable. Nigerians at home and abroad were expressing their displeasure. That same groundswell that gave you a mandate was speaking to you, but our cries were met with a bloody flag. In spite of the denials, we are in a new age of social media, some of us

Oyingbo BRT Terminal on fire

to open extensive dialogue with youth leaders, students and other groups who have been prominent among the protestors. “In a population with such a young median age, it is important to listen to the grievances of the younger generation and make an effort to address the multiple problems they face, which include -- but are far from confined to -- police brutality and violations.”

Open letter from Archbishop Tutu to Buhari President Buhari, You appealed to Nigerians to give you a mandate in 2003, 2007 and 2011. In 2015, you walked among the people. Nigerians, young and old, walked with you. On May 29, 2015 we swore you in. You pledged to serve Ni@Businessdayng

were on ground while some watched on social media what transpired. The world watched alongside with us.

Mr. President, the armed forces should never be said to harm or kill its own unarmed people. We appeal to your duty as the Commander-inChief, your decision to be the democratically elected President of Nigeria and your role as a Father: stay the bullets of the armed forces.

As a democratic nation, Mr. President, we will continue to speak, we will continue to call out the rot in the Nigerian system, we have just one country. The same way you fought for it, we will fight for it.

(It was undersigned by 22 Archbishop Desmond Tutu Leadership Fellows of Nigeria).

Thursday 22 October 2020

BUSINESS DAY

NEWS Curfew: Soldiers take over major roads in Benin …as residents witness large scale robbery days after jailbreak IDRIS UMAR MOMOH & CHURCHILL OKORO, Benin

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uspected hoodlums as early as 7:30 am on Wednesday blocked Ekenwan road by Erediawa junction in Oredo local government area of Edo State, stopping vehicles in search of policemen.

The youths who protested under the #EndSARS campaign, painted their faces with black substances to conceal their identity.

At the Upper Sakponba road, in Ikpoba-Okha local government, the suspected hoodlums also stopped vehicles to extort money from motorists.

However, operatives of the Nigerian Army have taken over the ever-busy Oba Ovoranmwen square, Airport road and Sapele road by the Benin Correctional Centre.

The soldiers were sighted patrolling the Oba Ovoranmwen square, its adjoining streets such as Akpakpava, Sakponba, Mission, Airport road as well as Sapele road, and directing residents to comply with the 24-hour cur few imposed by the state government since Monday.

A passenger, who spoke on condition of anonymity said, the military personnel prevented their commercial bus from entering the Oba Ovonramwen Square.

He said officers of the army also followed them to Ramat Park where they

drove away traders at the Oregbeni market to comply with the curfew.

In Agbor Park road at Ikpoba Okha area, policemen shot repeatedly into the air to disperse suspected hoodlums from blocking the road.

Meanwhile, the hoodlums have resorted to wide scale robbing of residents.

O n Tues day night, s everal houses were reportedly robbed in Erediauwa Street and its axis.

Same incident was said to have taken place at New B e n i n Ma r k e t , Mi s s i o n Road and other locations within the Benin metropolis.

It was reported that the suspected robbers in the early hours of Wednesday dispossessed unsuspecting market women, traders and passers-by of their money and other valuables in the areas.

The robbery incidents were alleged to have been a spillover of recent invasion of Correctional Centres in the state. The suspects raided the facilities and made away with some arms and ammunition.

Several inmates yet to be rearrested escaped from the two correctional centres in Edo on Monday in what was said to have been facilitated by the protesting youths.

The state government had on Tuesday held an emergency security meeting to review the imposed curfew which it said subsists till further notice.

Nigerians not mentally ready for presidential system - Attah ANIEFIOK UDONQUAK, Uyo

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ormer governor of Akwa Ibom State and elder statesman, Victor Attah has asserted that Nigerians are not mentality prepared for the presidential system of government being practised in the country.

Speaking on Wednesday in Uyo in response to the #EndSARS protests and the call for good governance, Attah explained that the problem of Nigeria was foundational and not governance.

“The presidential system has become very oppressive.

It seems it is in our nature to feel once you win an election, you are a conqueror, so you behave exactly as you please, nobody can talk to you, you don’t have to see anybody and that’s what is happening and we abuse it.”

He stated that what the country needs was a rebirth, adding that the present presi-

dential system of government the country operates was the cause of her failure, and requested that it be scrapped.

Attah who said Nigeria was better off when it operated a parliamentary system of government as the regions were autonomous, controlled their resources, had their own police and only contributed to the central government, called for a return to parliamentary system, saying it suits the country better.

He explained that the parliamentary system would allow the people choose their representatives based on performance and selection on party basis and not godfatherism, adding that it would also solve the problem of 0tenure entitlement.

He stated that the country operated four constitutions as each of the three regions had their own constitution and one national constitution, adding that the regions did not feel cheated because they

generated their own income and lived on what they were able to generate.

The former governor noted that the South-South/East was known for its oil palm industry, the Ijaws for mining, the West for their cocoa, and the North their groundnut, adding that Nigeria remained one because its leaders chose to keep the then regions as one before the country became independent in 1960.

“It goes beyond governance. If you bring angels, (and I’m not blaspheming) to operate the system we have today, it would fail. The system is one that cannot succeed.

“I call it rebirth. I want Nigeria to be reborn. Let’s give it a new birth, let it become what it was always supposed to be: a federal system and preferably.

“I read a few days ago, ‘The North wants Jonathan to come back and complete his tenure. Nobody had tenure.

M

move on to the next level,’’ Adamu said.

According to him, because it was not much of a priority, states have not been investing much in water supply for the people.

“Maybe because water is too expensive and they don’t realise that water is dynamic. If you want to provide adequate supply of water you have to be steps ahead of the population.

“So, before your population hits 10 million in a given year let’s say by 2025, you should have adequate water infrastructure supply for 12 million people.

“And by the time the population reaches 13 million people, you have already started the process of improving your facility to reach 20 million people.

“So, by the time the population reaches 20 million people, you keep moving and that’s the way to deal with issues of water and health facilities,” Adamu said. www.businessday.ng

The constitution says yes, you can have two terms; it’s only if the people want you back. It does not mean that once elected, you have two tenures, so if you didn’t have the second one, you didn’t complete your tenure, you should come back and complete it.

“That’s why I say we are not mentally prepared for this presidential system.

We are not ready; that’s one of the reasons I say scrap it, go back to the parliamentary system. In the parliamentary system, if you have a good prime minister like Britain had Margaret Thatcher, you can come back four or five times if your people want you back.

“You are a prime minister because you are elected from your small enclave and the whole country sees that you are good, and they insist you become prime minister. That system is what suits us now,” he stated.

L-R: Laurette Annie-Okafor, president Rotary Club Abuja Urban; Omosun John, president.

Rotary Club, Ministers Hill, and Annmarie Adamu, president, Rotary Club, Apo, during an Advocacy on World Mental Health Day celebration in Abuja, yesterday.

Minister urges states to prioritise investment in water supply inister of water resources, Suleiman Adamu, has urged state governments to prioritise investment in the water sector with a view to increasing water supply to Nigerians.

Adamu made the appeal while answering responding to question at a forum in Abuja.

He expressed worry that many states lack the political will to provide water and sanitation which he identified as basic ingredients of life.

“Many states are not prioritising water, some states instead of water, they build airports, instead of water, we are dualising highways and they are building universities.

“Not that they are bad but, you need to reorder your priorities. Water and sanitation are the basic ingredients of life.

“Start with the basics, make sure that those problems are solved before you

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Killing of #EndSARS protesters crime against humanity- ASUU REMI FEYISIPO, Ibadan

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cademic Staff Union of Universities (ASUU) on Wednesday described killings in the ongoing #EndSARS protest as a crime against humanity and called on the United Nations to show serious interest in the descent to totalitarianism by the Muhammadu Buhari-led Federal Government of Nigeria.

While condemning the murder of armless and largely peaceful #ENDSARS protesters at the Lekki Tollgate and other parts of the country, the union stated that the government’s repressive attacks on the advocacy and demands for responsible and responsive governance by Nigerian youth shows that Nigeria is tilting towards repressive military governance.

Chairman of ASUU, University of Ibadan, Ayo Akinwole, said “killing youths demanding for justice against brutality and in the process being murdered in cold blood reveals that the security brutality of Nigerians is an agenda of the federal government.

Akinwole said it was a taboo for parents to bury their children, adding that the president has committed a taboo.

ASUU stated that peaceful protest and demonstration were forms of political participation to bring about positive changes but regretted that the government repressed every voice of reason.

ASUU lamented that the youths have not enjoyed anything good and were being deprived of funding in education, faced unemployment, and worse hit by poverty.

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Instead of learning how to be responsible and take care of people as shown by the organisational capacity of the #ENDSARS youth, Akinwole lamented that government tyrannically snuffed lives out of promising future leaders.

He then called for justice for all victims of the Lekki genocide and those killed in other locations in the country adding that the present crop of Nigerian leaders are low on empathy.

The ASUU boss stated that those who train their children abroad or who rush their children abroad for crashing while riding multi-million naira motorbikes must be wicked to see children of hapless Nigerians murdered in cold blood.

“The Federal Government should immediately stop the shooting, maiming, and brutalisation of our students. We @Businessdayng

affirm their inalienable right to live, be alive, and express their aspirations peacefully as guaranteed in the Nigerian constitution and other international protocols on human rights, including those of the Economic Community of West Africa (ECOWAS), African Union (AU) and the United Nations.

“In light of this, we call on members of the Nigerian political class, and government to rein in the thugs being unleashed on our students and the general public. There is documented evidence that this generation of students and youth in the current anti-police brutality protests is demonstrating extreme maturity as has never been seen in recent times.

We commend them all, and urge that they do not be provoked into taking steps inimical to their peaceful objectives.”

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Thursday 22 October 2020

BUSINESS DAY

Live @ The Exchanges Market Statistics as at Wednesday 21 October 2020

Top Gainers/Losers as at Wednesday 21 October 2020 LOSERS

GAINERS Company UPL

PORTPAINT

Opening

Closing

Change

N1.24

N1.36

0.12

Company

Opening

Closing

Change

MTNN

N140

N138

-2

N2

N2.05

0.05

WAPCO

N18.1

N17

-1.1

N0.4

N0.44

0.04

GUINNESS

N17

N16

-1

UAC-PROP

N0.81

N0.82

0.01

ARDOVA

N12.7

N11.9

-0.8

CAPHOTEL

N2.42

N2.42

0

N17.35

N16.8

-0.55

WAPIC

JBERGER

ASI (Points)

28,418.04

DEALS (Numbers) VOLUME (Numbers)

4,195.00 291,765,179.00

VALUE (N billion) MARKET CAP (N Trn)

3.263 14.853

Stock investors price-in risk of turmoil in Nigeria ...over N100bn lost in a day

to N14.870trillion, from N14.983trllion recorded the preceding trading day.

The share price of leading teleco, MTNN Plc, decreased most on the Nigerian Stock Exchange (NSE) from N140 to N138, dipping by N2 or 1.43 per-

cent.

It was followed by that of Guinness Nigeria Plc which moved from preceding day high of N17 to N16, losing N1 or 5.88 percent; and Lafarge Africa Plc which dropped from N18.1 to N17.3, down by 80kobo or 4.42

United Capital Q3 results show significant growth in key indicators

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nited Capital Plc has announced its unaudited financial statements for the third quarter (Q3) period ended September 30, 2020.

During the period under review, the Group showed significant growth in key indicators despite the challenging global economic climate.

Total revenue in Q3 2020 soared to N7.07billion from N5.32billion in Q3 2019, an increase of 26 percent was recorded in profit before tax (PBT), and profit after tax (PAT) also grew by 26percent year-on-year.

Total Assets grew by 41percent, being well financed by a 46percent

Nikkei 225 23,639.46JPY +72.42+0.31%

S&P 500 Index 3,449.34USD +6.22+0.18%

Deutsche Boerse AG German Stock Index DAX 12,605.72EUR -131.23-1.03%

Generic 1st ‘DM’ Future 28,198.00USD +16.00+0.06%

increase in liabilities and a slight increase in shareholders fund by 2.5percent.

While commenting on the group’s performance, Peter Ashade, Group CEO, United Capital Plc said, “Our operating environment remains tough amid the lingering COVID-19 situation and negative macroeconomic impacts as seen in the continued depreciation of the exchange rate, consistent uptick in headline inflation rate among other macroeconomic indicators. As stated during the release of our H1-2020 results, our business has not been immune to these challenges”.

“Notwithstanding, the Group has remained nimble. We continued to implement our busiwww.businessday.ng

ness growth and continuity plans premised on a solid risk assessment framework to ensure we remained focused on providing best-in-class solutions to all client segments.

These contributed to the impressive growth across our businesses leading to 33percent growth in revenue and 26 percent increase in both PBT and PAT during the ninemonth period”, he added.

“In Q2, the Group successfully issued N10 billion Series 1 Bond under the N30 billion Medium-Term Debt Program – the first to be issued by an investment banking firm in Nigeria which was oversubscribed by about 24percent. We have begun yielding the fruit of that strategic decision.”

percent.

UBA Plc, Zenith Bank Plc, GTBank Plc, Transcorp Plc and FBN Holdings Plc were actively traded stocks on Wednesday. In 4,367 deals, stock investors exchanged 326,577,644 units valued at N4.224billion.

Shanghai Stock Exchange Composite Index 3,325.03CNY -3.08-0.09%

SEC sets January 2021 for implementation of Corporate Governance Guidelines

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A

Iheanyi Nwachukwu

FTSE 100 Index 5,788.15GBP -101.07-1.72%

Iheanyi Nwachukwu

Iheanyi Nwachukwu s violence and shootings trail agitation against Nigeria police brutality, investors on Wednesday began repricing equities risks, leading to a negative close of trading session on the Bourse.

With the turmoil going on and the uncertainties of the direction of the civil unrest, analysts expect a number of investors to stay on the sideline as a more cautious trading strategy is adopted.

The stock market’s benchmark performance indicator - the NSE All Share Index (ASI) - decreased by 0.75percent on Wednesday to 28,449.49 points as against 28,665.82 points recorded the preceding trading day.

The nation’s equities market trading data for Wednesday October 21 showed the equities market’s positive return yearto-date (YtD) stood at +5.99 percent.

Also, the value of listed stocks on the NSE decreased by N113billion

Global market indicators

he Securities and Exchange Commission (SEC), has issued a Corporate Governance Guidelines and a template (revised Form 01) for reporting compliance with the SEC which becomes effective on January 01, 2021.

Some provisions of the document which can be found at the SEC website indicate that Membership of the Board shall not be less than five (5) and to safeguard the independence of the Board, not more than two members of the same family shall sit on the Board of a public company at the same time The guidelines also stipulate that in appointing a person to the Board, Shareholders should be provided with information on any real or potential conflict of interest, including whether a proposed appointee is an interlocking director, adding “The letters of appointment should cover the following: Synopsis of Director’s rights; Director evaluation programme used by the company, and

Any other contractual responsibilities”.

On sustainability, the guideline stated “Companies shall recognise corruption as a major threat to business and to national development and therefore as a sustainability issue for businesses in Nigeria. Companies, Boards and individual directors must commit themselves to transparent dealings and to the establishment of a culture of integrity and zero tolerance to corruption and corrupt practices.

“In order to foster good corporate governance, companies shall engage in increased disclosure beyond the statutory requirements in the CAMA”.

In a bid to minimise risk in the operations of companies, the guidelines states that the annual riskbased internal audit plan shall: address the broad range of risks facing the company, linking this to a risk management framework; ii. identify audit priority areas and areas of greatest threat to the company; indicate how assurance will be provided on the company’s risk management process; and indicate the resources and skills available or required to achieve the plan.

Allianz brand value now at $12.1bn, Interbrand study reveals Modestus Anaesoronye

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llianz, global company with a subsidiary in Nigeria has emerged the number one insurer in the Interbrand ranking of the 100 most valuable brands in the world. The Allianz brand came 43rd in this year’s “Best Global Brands Ranking”, moving up 6 places and increasing the brand value by 12 percent to $12.1 billion for 2019.

Allianz started its rise with a brand value of $4.9 billion in 2010. “We are proud to become the number one insurance brand – a sign of our strategy and transformation in action,” Serge Raffard, group strategy, Marketing, Distribu-

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tion Officer, Allianz SE, said.

Raffard said, “The headline of our strategy is Simplicity Wins. Our increased brand value reflects a more relevant, consistent, global brand, transforming to fewer, intuitive products and services and rebalancing the business to high demand and profitability areas.”

For Raffard, this is just the start. “We continue to strive to outperform not only the industry, but top global brands in enabling our customers to move on and up. This is a key element to create the pull for our products and services. At the same time, we need the highest net promoter score to ensure our customers get the best experience.” @Businessdayng

Christian Deuringer, head of Global Brand Management, Allianz SE, added, “From entering the top 100 table in 2007 to becoming the number one insurance brand globally in 2019 at rank 43, it‘s exciting to reach our first milestone.

But there’s more to come.”

“We will keep building our brand, leveraging unique insights and working together with our customers to provide an even better experience, while investing in sustainable, innovative partnerships like Formula E to increase our presence and relevance in customers’ lives.”

The Allianz Group is one of the world’s leading insurers and asset managers with more than 92 million retail and corporate customers.

Thursday 22 October 2020

BUSINESS DAY

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@Businessdayng

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Thursday 22 October 2020

BUSINESS DAY

TECHTALK Innovation

Apps

Start-up

Gadgets

Ecommerce

IOTs

Broadband Infrastructure

Bank IT Security

Three things tech companies eyeing Nigeria Stock Exchange should consider FRANK ELEANYA

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rivate equity and venture capital may be the biggest sources of investment in the tech ecosystem in Nigeria, but they are yet to sufficiently address the problem of access to funds for many tech companies. Hence, there is always a scramble for the next funding opportunity available.

Over $2.9 billion have gone the way of 177 tech startups in Nigeria so far, according to data from Startuplist Africa. While the investment is spread across the various segments of the ecosystem it is still not enough to sustain the growth and expansion of the many startups that are in the country. This is why the Nigeria Stock Exchange (NSE) represents an option for many companies.

To be sure, the NSE is the physical market of the Nigerian capital market, established in 1960 to provide listing and trading services, as well as electronic clearing, settlement and delivery (CSD) services through Central Securities Clearing System (CSCS) Plc Act. the instruments listed in the exchange include Federal Government development loan stocks, state government bonds, commercial and industrial loan stock, equity stocks, preference shares, etc.

The Nigerian Stock Exchange has welcomed a decent number of technology companies including MTN

Nigeria, Airtel Africa; eTranzact; Computer Warehouse Group (CWG); Triple Gee & Company Plc; Omatek Plc; Chams Plc; and Courtville Business Solutions Plc. Many more businesses are constantly looking in the direction of the stock market to raise funding for expansion.

There are many benefits for companies choosing to list on the stock exchange. For some companies, listing on a stock exchange is a strategy to increase shareholder base and enhance credibility. Going public can also improve a company’s visibility and credibility among institutions and the investing public due to complying with various regulatory norms and ensuring transparency while conducting operations. Listing also allows shareholders to transact in the shares of the company, sharing risks as well as benefiting from any increase in

the organisational value.

Although stock exchanges all over the world share some similarities, there are marked differences which companies need to consider. Niyi Toluwalope, CEO of eTranzact one of the fintech companies on the Nigerian Stock Exchange, shares three points that could help companies looking in this direction.

Appetite for risk The Nigerian Stock Exchange, according to Toluwalope, attracts investors that are interested in steady capital. Tech companies are mainly after growth capital.

“For example, I want to buy shares in companies that are listed because I know it is going to pay me dividends every year. Hence, it is more like a retirement plan rather than an aggressive investment play because I know that if I put money in this company in the next three

years the money is going to grow fivefold,” he explained.

This is mostly responsible for why the stock exchange does not have a strong representation on the GDP of the country. Usually, a strong stock market typically signals a healthy economy. This is not the case for the Nigerian stock market despite the robust growth it has recorded over the years. Today’s economic growth is powered by agriculture and SME growth.

Interestingly, not much of the capital in the exchange goes to these areas. The Nigerian stock market capitalisation to the GDP from 2019 is 9.6 percent whereas the world average in 2019 based on 58 countries is 83.64 percent In the absence of a healthy risk appetite from the stock market, many foreign private equity investors with high risk appetite have dominated investments in technology

companies in Nigeria.

“That is why you have private equity putting money because they expect that in three-four-five years they will make three-four-five times their money. They do not have dividend appetites per se but if they get a dividend in the process of achieving their capital appreciation objective it is well and good,” Toluwalope said.

Maturity to stay listed It is one thing to get listed on the Nigerian Stock Exchange, however, it takes more than filing an application to stay a listed company.

To put it differently, how long a company stays listed often depends on the discipline and maturity of that entity.

“A lot of these younger fintech companies still have very tepid growth, they are still battling with steady and consistent compliance issues which may attract sanctions

and other types of actions while being listed. These need to be addressed for companies seeking to be listed. They have to be ready to demonstrate the maturity in providing the appropriate disclosures and transparencies that be and remain a listed entity,” Toluwalope said.

The leadership of the NSE has over the years delisted companies for different reasons including poor corporate governance, nonperformance, failure to meet required post-quotation standards. For example, in 2018, the NSE said it has delisted 22 companies between 2016 and 2017.

“Companies will delist for different reasons from voluntary to regulatory delisting, mergers and acquisitions and other things that would cause them to delist,” Oscar Onyema, chief executive officer of the NSE had said.

A higher level of compliance Transparency is not a very big word in the Nigerian technology space which is not healthy for those eyeing the stock market. The Nigeria Stock Exchange is a highly regulated environment with strict compliance expectations.

Often times when a company is delisted it is because of non-compliance. The NSE prides itself on having a zero-tolerance policy on regulatory infractions.

9Mobile sustains growth in August with over 200,000 subscribers, loses market share 26.51 percent respectively.

MTN appears to have reaped from the drop in market share as it gained 0.59 percent. The largest telco in Nigeria now has 40.90 percent of the market in August from 40.39 percent it had in July. MTN increased its mobile subscriber base by 2,733,349 in the same period making it the only telco that gained as many subscribers, followed by Airtel which gained 1,061,242 subscribers.

9Mobile also extended its internet subscriber gain in August with 32,621 subscribers to reach 7,170,308 from 7,137,687 it saw in July.

Since it appointed Alan Sinfield as its new chief executive officer, 9Mobile has gone a blitz-

FRANK ELEANYA

N

igeria’s fourth-largest telecommunication company, 9Mobile is not slowing down on its new found growth as it added more than 200,000 mobile subscribers in the month of August, according to the latest data from Nigerian Communications Commission (NCC).

In August, the telco took its subscriber haul to 12,377,612 from 12,163,330 it recorded in July. The growth which began in the month of July did not affect 9Mobile’s market share which dropped to 6.9 percent from 6.11. Airtel and Glo also dropped market shares at 26.96 percent and 26.06 percent respectively from 26.99 percent and

krieg of new appointments, product launches, and promo initiatives. For example, the company launched the Morelife Complete Package, a voice-based prepaid package that allows customers to make calls at 11k/s to all networks in Nigeria and to top international destinations including UK, USA, Canada, China, Norway, Denmark, Puerto Rico and Bangladesh with a daily access fee of only N5 billed along with the first call of the day.

The company is believed to be strengthening its different verticals such as data business by investing in 4G LTE infrastructure.

9Mobile is also among the telcos that the Central Bank of Nigeria (CBN) said it has issued a Payment Service Bank licence to.

Team: Frank Eleanya, frank.eleanya@businessdayonline.com; Caleb Ojewale, caleb.ojewale@businessdayonline.com www.businessday.ng

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@Businessdayng

Insight

BUSINESS DAY Thursday 22 October 2020 www.businessday.ng

Private equity-owned companies in “intensive care” due to pandemic Funding strains increase as coronavirus rages across the US and Europe Chris Flood, FT

O

ne in 10 companies owned by private equity managers is in “intensive care” as a result of the coronavirus pandemic, sparking concerns that alternative funds could suffer performance hits and reputational damage.

Private equity managers reported that half of the companies they owned were moderately or very affected by the economic disruption caused by the global health crisis, according to an analysis by three finance professors.

The academics collected data from 214 private equity managers overseeing combined assets of $1.9tn during July and August to assess how they were responding to the pandemic.

“As a result of the pandemic, the PE [managers] expect the performance of their existing funds to decline,” the professors said.

High-fee private equity funds have performed no better on average than an inexpensive US stock market tracker since 2006, but a handful of the industry’s top barons have accumulated multibillion-dollar fortunes, leading to debate over whether investors are receiving a fair deal.

The academic research found that almost nine out of 10 managers said fund performance, measured by the internal rate of return (IRR), would be reduced by problems among their portfolio companies.

The gross IRR (excluding fees) is expected to be 4.4 percentage points lower on average at 22.6 per cent in 2020, compared with a similar survey conducted in 2013.

The gross multiple of invested capital, another key performance metric, is expected to drop to 2.69 in 2020 from 2.85 in the previous 2013 survey.

“This will make outperfor-

mance of public markets, particularly the S&P 500, more difficult going forward [for PE funds],” said Paul Gompers, one of the authors and a professor at Harvard Business School.

The S&P 500 rose 3.2 per cent in the first nine months of 2020 and touched an all-time high in early September.

Mr Gompers said that increases in deal prices and de-

clines in long-term interest rates had also contributed to the reduction in expected returns for private equity strategies.

Accessing additional sources of liquidity has been a priority for the 10 per cent of portfolio companies classified as in need of intensive care. More than a third of these troubled companies have required an equity injection from their private equity

‘‘

High-fee private equity funds have performed no better on average than an inexpensive US stock market tracker since 2006, but a handful of the industry’s top barons have accumulated multibillion-dollar fortunes, leading to debate over whether investors are receiving a fair deal

owners.

Seven in 10 have used their revolving lines of credit, while almost a third have accessed the $670bn Paycheck Protection Program, the US government loan scheme designed to ensure small businesses keep workers employed during the pandemic.

Private equity-owned companies have also tapped the various stimulus programmes devised by the US government. Grants worth $275m and loans worth $87.5m have been awarded to managers including Blackstone, KKR, Apollo and Thoma Bravo, according to the Good Jobs First, a Washington-based consultancy.

As coronavirus continues to rage across the US and Europe, rating agencies are forecasting that defaults on highly leveraged private equity-owned companies will increase, weighing down on future returns for private equity funds.

“More widespread downgrades of underlying portfolio companies could translate into weaker PE fund performance,” said Nathan Flanders, managing

‘‘

More widespread downgrades of underlying portfolio companies could translate into weaker PE fund performance

director of financial institutions at Fitch.

He added that ratings downgrades for PE-owned companies could also create “lasting reputational risk” for alternative investment managers as well as “increased political and regulatory scrutiny” of their business model.

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.