BusinessDay 23 Aug 2019 by BusinessDay

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news you can trust I **FRIDAY 23 AUGUST 2019 I vol. 19, no 378

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Banks race to boost lending as CBN’s Sep. 30 deadline nears 3 banks fall below 60% LDR threshold in Q2 BALA AUGIE

igerian banks are rushing to boost lending to retail customers barely a month to the September 30 deadline set by the Central Bank of Nigeria (CBN) for banks to increase their loan-todeposit (LDR) ratio to a minimum

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Investors demand higher yields for FG debt HOPE MOSES-ASHIKE & OLUWASEGUN OLAKOYENIKAN

igeria spends so much on borrowing and it’s becoming worrisome for the oil-dependent nation as crude oil prices fell short

...as OMO, bond auctions see low interest of expectation. But attempts to curtail the trend coupled with mounting global risks are putting a sour taste in the mouth of offshore investors seeking higher rates. The FGN through the Debt Man-

agement Office sold only N15.03 billion across three instruments offered at the August 2019 Federal Government of Nigeria (FGN) Bond auction on Wednesday, the

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Inside

Concern as Excess Crude Account balance falls to $274m P. 2 P. 37

CULINARY DELIGHTS

Friday 23 August 2019

BUSINESS DAY

news US justice department indicts over 66 Nigerians for cybercrime, money laundering MICHAEL ANI & SEGUN ADAMS

L-R: Femi Adeoti, MD/CEO, Africa operations, Inlaks; Olufemi Muraino, executive director; Tope Dare, executive director, and Enoh Ugbona, head, business operations, during the BusinessDay visit to Inlaks head office in Lagos, yesterday. Pic by Olawale Amoo

Concern as Excess Crude Account balance falls to $274m ..Down from $2.3bn in Nov. 2018 ...as FG, STATES, LGAs share N769.523b for July allocation Onyinye Nwachukwu, Abuja

igeria’s Excess Crude Account (ECA) balance now stands at $274.407 million, the Office of the Accountant General of the Federation (OAGF) announced on Thursday. The ECA saves the difference between the estimated price and the actual price of crude, and as at last Wednesday had slumped from a previous balance of $497m reported at the beginning of the year. The account which states had particularly contended as being illegal has repeatedly faced series of allegations bothering on

accountability, transparency, mismanagement and gross abuse. There are now concerns that the new low levels strip Nigeria of critical buffers and exposes the struggling economy to dire pressure in case of any serious fiscal crisis. As at December 2018, the ECA had fallen from $2.319 billion the previous month to $631 million, levelling to $144 million as of June 19, 2019. The Permanent Secretary, Ministry of Finance, Mahmoud Isa-Dutse, said last December that the withdrawals were made to settle the last tranche of the Paris Club refund. Meanwhile, the three

federation units on Thursd ay s h a re d a t o t a l o f N769.523 billion for the month of July 2019, comprising revenue from Value Added Tax (VAT), Exchange Gain and Gross Statutory Revenue. The gross statutory revenue for the month of July 2019 was N674.365 billion. It was higher than the N652.949 billion received in the previous month by N21.416 billion. For the month of July, revenue from the Value Added Tax (VAT) was lower than what was received in the preceding month. A g ro s s re v e n u e o f N94.159 billion was available from the VAT as against N108.631 billion distributed

in the preceding month, resulting in a decrease of N14.472 billion. Exchange Gain yielded a total revenue of N0.999 billion. A communique issued by the Federation Account Allocation Committee (FAAC) confirmed that from the total revenue of N769.523 billion, the Federal Government received N299.799 billion, the States received N190.381 billion, and the Local Government Councils received N143.569 billion. The Oil Producing States received N42.917 billion as 13 percent derivation revenue and the Revenue Generating Agencies received N92.857 billion as cost of revenue collection.

Feeding Nigeria’s 200m people impossible without security, electricity, roads CALEB OJEWALE

he first time Best Foods Fresh Farms Limited used rail to bring a consignment of tomatoes to Lagos from Kaduna, the owners found out on arrival that it was put in a wagon that had no window. “In the heat, it took three days to arrive here by which time the tomato had cooked itself. This was 1,400 crates of tomato,” said Emmanuel Ijewere, the company’s CEO. At the next attempt, through Naija Pride Agribusiness Limited, another company Ijewere controls, the company requested the tomatoes be put in a wagon with ventilation, but just outside Lokoja, Kogi State, there was an incident that caused a 48-hour delay. By the time it arrived in Lagos, Ijewere recalled they were able to retrieve not more than 30

percent to sell. If the company returns to road transport, where it would face bad, unpredictable roads, there would be other issues to contend with. “With the worsening se-

ANALYSIS curity situation, it means there are more checkpoints on the road, from 28-30 to now about 40,” Ijewere said, implying more delays and extortions from truck drivers. Without physical security, there can be no food security, and in Nigeria, this concept reverberates with even more emphasis. BusinessDay’s interaction with some stakeholders, experts, and investors in the agric sector has shown security ranks as the top priority, which has to be fixed in order for the country to maxiwww.businessday.ng

mise its agricultural potentials, and invariably achieve food security. Other factors, considered important but not as much as security are electricity and roads. “If there is no security, our people cannot go to their farms,” said Kabiru Ibrahim, national president, All Farmers Association of Nigeria (AFAN), in a phone interview. “I even wrote a letter to the president on it, and that is why I think they are putting more efforts now to make sure they restore security.” Ibrahim did not divulge details of the letter he says was sent to President Buhari in July, but stated, “There is consensus that insecurity is limiting (agricultural) productivity in the country.” “From a business cost perspective, the cost of engaging security to protect business operations in cer-

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tain areas adds to operational costs,” buttressed Mezuo Nwuneli, managing partner, Sahel Capital Agribusiness Managers Ltd. The cost of moving goods across the country is impacted by kidnapping, armed robbery, and limits the ability to operate in some parts of the country. In other climes, one can move at any time of the day, and even late at night, but in Nigeria, it is often already risky even during the day, and the risk goes up exponentially at night. “That in itself reduces economic activities, and ability to operate,” Nwuneli said. “Roads and power may be ranked equally, but security ranks top.” For Ibrahim, any emphasis on electricity (or even roads) is not necessary now.

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o fewer than 66 Nigerians, based home and abroad, have been indicted by the US Department of Justice over internet crime and money laundering. In a 145-page document released yesterday, a total of 80 suspects, many of them Nigerians, were allegedly involved in the scheme with more than a dozen of them arrested during raids on Thursday, Thom Mrozek, a spokesperson for the U.S. Attorney’s Office for the Central District of California, confirmed report. The document noted that the 80 named individuals were charged with conspiracy to commit mail and bank fraud, as well as aggravated identity theft and money laundering. “Today, we have taken a major step to disrupt criminal networks that use business email scam schemes, romance scams and other frauds to fleece victims,” said Nicola Hanna, U.S. Attorney. Hanna noted that the case was part of an on-going effort to protect citizens and businesses from email scams in the country.

“This indictment sends a message that we will identify perpetrators — no matter where they reside — and we will cut off the flow of illgotten gains,” he added. According to the FBI, the impersonation attacks have cost consumers and businesses in the state more than $3 billion since 2015 when investigation into the matter started. Two notable Nigerians, Valentine Iro, 31, and Chukwudi Christogunus Igbokwe, 38, both residing in California, have been accused of running the operation, the prosecutors said. The alleged fraudsters were accused of carrying out several hundred “overt” acts of fraud against more than a dozen victims, generating millions of dollars’ worth of fraud over several months. In some cases, the fraudsters would hack into the email accounts of the person they were trying to impersonate to try to trick a victim into wiring money from a business into the fraudster’s bank account. The FBI said the agency has seen a large increase in the number of business email scams in the past year tar-

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Hotel occupancy rises to 60% in H1 despite poor Q1 outing ...sector looks to better H2 OBINNA EMELIKE

he Nigerian hospitality sector recorded an impressive result at the end of first half of 2019, with average hotel occupancy rate hovering between 60-70 percent, from less than 40 in the first quarter of the year, according to industry experts who spoke to BusinessDay. The low occupancy recorded in the first quarter was worse in the months of February and March due to election uncertainties and especially the postponements that resulted in cancellations of many hotel bookings. In the second quarter, however, the peaceful political transition engendered confidence in investors, travellers, government and corporate clients of hotels. From about 30 percent occupancy in the major part of the first quarter (against about 50 percent in same period in 2018), average occupancy improved to over 60 percent in the second quarter of 2019, with average room rate hovering around N30,000 per night for standard room, against N18,000 in the first quarter, while revenue shot up by 20

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percent. Bashir Bello, deputy general manager, Four Points By Sheraton Lagos, said the months of February and May were bad for hotel business because of the many booking cancellations due to election postponement, but marvelled at the rate business soared in between the two months and after May. “We had a very bad February. It was the worst February we have had in a long time, then May because of the inauguration in Abuja and the states, which made business to move towards Abuja and outside Lagos,” Bello said. “Aside from those two months, year-on-year, we have had improvement in occupancy, rates and general guests experience.” Comparing H1 2018 and H1 2019, Bello said though the first half of 2018 was better, this year would have surpassed last year’s record if not for the huge losses in February, March and May. Going by a sustained occupancy rate of over 50 percent in an election year, he thinks that H1 2019 was impressive.

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Friday 23 August 2019

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Friday 23 August 2019

BUSINESS DAY

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Lagos records over 1.4m unregistered births … NPopC commits to registering 1m children by end 2019 ANTHONIA OBOKOH

bout 31 percent of c h i l d re n u n d e rfive in Lagos State are not registered at birth – accounting for 1,436,896.4 million children, says a report obtained from global data platform, RapidSMS. The data reveal that the worst performing local government areas (LGAs) are Epe (28,817), Lagos Island (28,579), and Ibeju-Lekki (18,346). However, the state is the most populous in Africa and divided into five administrative divisions, which are about 37 local government areas. With about 70 percent of children in Nigeria not having their births registered, the National Population Commission (NPopC) Lagos State has pledged to meet one million birth registration target before the end of 2019. Nwannkwu Ikechukwu, deputy head of director (HOD), Vital Registration Department, NPopC, Lagos, disclosed this at a two-day media workshop on the need to scale up birth registration in Lagos, organised by the National Orientation Agency (NOA) Lagos, in collabora-

tion with the United Nations Children’s Fund (UNICEF), in Oyo State. To scale up birth registration in Lagos, Ikechukwu said, “There are 122 birth registration centres in the state, the commission plans to create additional 26 centres. Another six centres will be created in Alimosho due to its large population.” NPopC Lagos is still confronted with myriad of challenges like lack of suitable offices for comptrollers and registrars; touting of birth and death certificate; unhealthy rivalry between Lagos council staff and NPopC registrars, Ikechukwu said. At intervals, birth registration mop-up, an active form of registration whereby ad hoc registrars are mobilised to go from house to house to canvass birth registration, are embarked upon to register the births that are probably not registered during normal registration, he said. “Mop-up has really helped to capture the children living on water in order to boost registration of birth and get wider coverage. The intervention of UNICEF to scale up Birth Registration in Lagos State cannot be over emphasised,” he said. He added that late regis-

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tration, ignorance, illiteracy, lack of awareness, analogue method of registration, demand for money registrars before issuing birth certificate, attitude of NPopC staff insufficient workforce and resources, few registrars covering very large areas/catchment areas, lack of public awareness on the importance of birth registration and social and cultural beliefs perpetuate non registering of birth and death. “Mop-up has really helped to capture the children living on water in order to boost registration of birth and get wider coverage. The intervention of UNICEF to scale up Birth Registration in Lagos State cannot be over emphasised,” he said. Birth registration is the first step towards recognising a child’s inalienable right as a human being. Sharon Oladiji, UNICEF child protection specialist, said in 2017, the worst performing LGAs in Lagos were Mushin with 16 percent, Apapa with 26 percent, Ajeromi/ Ifelodun with 26 percent, while in 2018, the worst performing LGAs were Ajeromi/ Ifelodun with 34 percent, Lagos Mainland with 36 percent and Mushin with 41 percent birth registration.

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Friday 23 August 2019

BUSINESS DAY

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Jumia’s 2019 Q2 gross profit rises 94% Jumoke Akiyode-Lawanson

… as company focuses on JumiaPay, takes steps to minimise fraud

opular e-commerce company, Jumia, has released its 2019 secondquarter financial results showing 94 percent growth in gross profit, gross merchandise volume (GMV) – a term for sales in online retail -increased by 69 percent compared to Q2 last year. This exceeded its target of 56 to 60 percent, and its adjusted earnings before interest, tax, depreciation, and amortization (EBITDA) loss as a percentage of

GMV decreased by 5.62 percentage points. Jumia’s financial strategy is centred on four key pillars: topline growth, monetization, cost efficiencies, and JumiaPay. “We continue to deliver on our financial strategy of generating strong growth of our top line drivers, while accelerating monetization, driving cost efficiencies and developing JumiaPay. During the second quarter of 2019, our GMV increased by 69

percent year-on-year and our Gross profit grew by 94 percent,” Sacha Poignonnec, co-founder and co-CEO, Jumia, said during the Jumia earnings call. Speaking with the press on Thursday, at the Jumia Nigeria head office in Lagos, Juliet Anammah, CEO, Jumia Nigeria, explained that the company’s operating loss, amounting to €66.7 million, decreased as a percentage of GMV by 148 basis points (1.48 percentage points)

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and its GMV increased this quarter by 69 percent compared to the second quarter of 2018, due to a variety of factors, including strong marketplace growth and robust consumer acquisition andre-engagementmomentum. “These increases are a result of our continued focus on selection, price and convenience, as we strive to be the preferred online shopping destination for consumers in Africa for all their daily needs. During the second

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quarter of 2019, we continued to increase the assortment available on our platform and to engage with consumers through relevant local commercial campaigns such as our “Mobile Week” and “Ramadan” campaigns,” she said. Although Jumia revealed that it delisted some J-force members – its decentralized sales force that were identified as fraudulent after it found cases where “improper orders were placed and subse-

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quently cancelled,” Poignonnec said: “We identify an incident and then we take corrective actions, we take any sanctions and then we improve it. So it’s always about creating better data-driven systems, where the system can flag any potential issue, and when this flag is created, that we are able to investigate or analyse. We are tightening controls to make sure that we identify patterns when we see patterns or concentration in orders.”

Friday 23 August 2019

BUSINESS DAY

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FG moves to recover N614bn budget support to states TONY AILEMEN, Abuja

he Federal Government on Thursday announced movestorecoverthesum of N614 billion advanced to 35 states as a budget support facility. Zainab Ahmed, minister of Finance, Budget and National Planning, made the disclosure while briefing State House correspondents at the end of the National Economic Council (NEC) meeting presided over by Vice President Yemi Osinbajo at the Council Chambers of the Presidential Villa, Abuja. The minister said there was a need “to take a bold decision and urgent action to achieve fiscal sustainability and macro-fiscal objectives to improve revenue collections and expenditure management”. These moves, BusinessDay gathered, followed fears of possible financial challenges that have seen government mop up all sources of revenue to finance

projectsfollowing fiscal pressures. Vice President Osinbajo had earlier said the Muhammadu Buhari administration had in the past three years intervened through loans, bailouts and Paris Club refunds to states to the tune of over N1.1 trillion. He had urged newly elected state governors to think outside the box to boost their states InternallyGeneratedRevenue(IGR)to enablethemmeetthedemandsof theN30,000newminimumwage, among others. “As at today, the budget support facility advanced by the Federal Government to the states is a total sum of N614 billion and this is to 35 states,” Ahmed said. “This means an equivalent is N175 billion per state. Council agreed. Council agreed to constitute a team of the Nigeria Governors Forum (NGF), Ministry of Finance and the Central Bank of Nigeria (CBN), to finalize modalities to commence repayment of these facilities to the Central Bank,” she said.

Ahmed also gave the balancesontwospecialaccounts,the Stabilisation Fund Accounts and Natural Resource Development Fund, which have combined balance of $95,329,245 million as at 20th August. “The Stabilisation Fund Account has a balance of N21,729 billion and Natural Resource Development Fund which has N95,896 billion,” she said. Ahmed said the Adhoc Committee on Excess Crude and other special accounts of the federation requested for an extension to finalise its report and report to NEC meeting. The NEC comprises state governors and relevant ministries of government and the Central Bank of Nigeria. The minister, while also providing detailed reports on the Medium Term Expenditure Framework and the Medium Term Strategy Paper, revealed that Nigeria’s macroeconomic environment has stabilised in recovering gradually.

IMF seeks to remove age limit on managing director’s position

… completes selection process for replacement of Lagarde October 4 HOPE MOSES-ASHIKE

xecutive Board of the International Monetary Fund (IMF) on Thursday recommended that the IMF Board of Governors vote to remove the age limit that currently applies to the position of the Fund’s managing director. Since 1951, the IMF’s By-Laws have prohibited the appointment of a candidate aged 65 or over as managing director, and have also prohibited the managing director from serving past his/her 70th birthday. A statement from the Washington-based Fund stated that eliminating the age limit would bring the managing director’s terms of appointment into line with those of members of the IMF Executive Board, which the managing director chairs, and those of the President of the World Bank Group, who are not subject to an age limit. “The IMF Board of Governors, which represents the 189 member countries according to their voting shares, is requested to vote on the proposal. A simple

majority of the votes cast is required to adopt the proposal, with a minimum participation requirement of a majority of Governors holding two-thirds of the total voting power. Voting is scheduled to run from August 21 to September 4. “The IMF Executive Board is engaged in the selection of a successor to outgoing Managing Director Christine Lagarde, who will step down on September 12. Nominations to the position close on September 6, 2019, and we intend to complete the selection process by October 4.” The Executive Board on July 26announcedthatithadadopted an open, merit-based, and transparent process for the selection of the next Managing Director, similar to the one used in recent rounds.Itunderscoredtheimportance it places on the successful candidate having the requisite global standing to lead the Fund, which stands at the centre of the global financial system. According to the IMF, the successful candidate for the position of Managing Director will have a distinguished record

in economic policymaking at senior levels. He or she will have an outstanding professional background, will have demonstrated the managerial and diplomatic skills needed to lead a global institution, and will be a national of any of the Fund’s members. As chief of the Fund’s staff and as Chair of the Executive Board, (s)he will be capable of providing strategic vision for the work of a high quality, diverse, and dedicated staff; and will be firmly committed to advancing the goals of the Fund by building consensus on key policy and institutional issues, including through close collaboration with the Executive Board, under whose direction (s) he will fulfil his or her responsibilities. (S)he will have a proven understanding of the Fund and the policy challenges facing the Fund’s diverse global membership. (S)he will have a firm commitment to, and an appreciation of, multilateral cooperation and will have a demonstrated capacity to be objective and impartial. (S)he will also be an effective communicator.

NIMASA facilitates signing of Collective Bargaining Agreement for seafarers AMAKA ANAGOR-EWUZIE

i g e r i a n Ma r i t i m e Administration and Safety Agency (NIMASA) has again midwifed the signing of the Collective Bargaining Agreement (CBA) for Nigerian Seafarers’ Conditions of Service. The agreement, signed at the Agency’s headquarters in Lagos with the endorsement of the National Joint Industrial Council (NJIC), is an agreement on minimum standards on conditions of service for Nigerian seafarers in both coastal and offshore sectors. Speaking at the signing ceremony, Dakuku Peterside, director-general of NIMASA , said the proper implementation of the

agreement w ould br ing about significant improvement in seafarers’ working conditions. Pe te rsi d e, w ho c o mmended the seafarers’ employers in the offshore and coastal sectors for their understanding, implored the employers to ensure that the CBA, which is meant to guide ship-owners in their bipartite negotiations and the development of all employment agreements, was implemented as endorsed. Represented by Gambo Ahmed, executive director, Maritime Labour and Cabotage Services, said the conditions of service of the CBA was in line with the extant national and international regulations and must be met by all employers of www.businessday.ng

seafarers. He said the enhancement of welfare of seafarers would in turn enhance productivity and effective job performance. In attendance to witness the event were Maritime Workers Union (MWUN), Association of Manning Agents of Nigeria (AMAN), National Seafarers Welfare Board (NSWB), as well as representatives of the Federal Ministry of Transportation, Federal Ministry of Labour and Employment, and management staff of NIMASA. Recall that the CBA for the fishing sector had earlier been signed, and with the signing of the agreement for the coastal and offshore sectors, Nigerian seafarers now have a complete CBA. https://www.facebook.com/businessdayng

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Friday 23 August 2019

BUSINESS DAY

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Sahara Group restates commitment to developing South Sudan’s energy sector DIPO OLADEHINDE

xecutive director, Sahara Group, Tope Shonubi, says the energy conglomerate remained resolute in its decision to contribute to the growth of South Sudan’s economy through investment in the oil and power sectors of the world’s youngest democracy. Shonubi, who made the assertion during a courtesy call on South Sudan’s President, Salva Kiir Mayardit, at the State House, Thursday in Juba, said Sahara Group was firmly behind the administration’s policy requiring all local and foreign investors to align with the nation’s good governance protocol in all sectors of the economy. “Sahara Group has a track record of good governance that is widely acclaimed across various markets where we operate in Africa, Asia, Europe and the Middle East. We are behind full compliance with all governance requirements in South Sudan. In fact, we are here to join hands with the good people of South Sudan under the leadership

of President Kiir to ensure sustained economic development in the nation,” he said. The meeting, chaired by President Salva Kiir, also had the Presidential advisor on Security Affairs, Tut Gatluak, minister in the Office of the President, Mayiik Ayii Deng, minister of Petroleum, Awuou Daniel, and the minister of energy, Dhieu Mathok, in attendance. The Minister of Petroleum Awuou Daniel commended Sahara Group’s partnership role in South Sudan, noting Sahara Energy had continued to make good its interest in the energy sector and power plant projects through ongoing investments and collaboration with the ministries in charge of the sectors. Sh o nu b i s a i d Sa ha ra Group would also contribute to projects designed to enhance sustainable development in South Sudan through the Sahara Foundation, which had since upgraded the Computer Centre at the University of Juba with modern equipment.

Why artists’ partnership with other disciplines is critical for development Temitayo Ayetoto

or Nigerian visual artistry industry to make a more substantial contribution to economic growth, it is essential for artists to indulge in collaborative efforts outside the art discipline. Creative pieces of artwork will have better and valuable outcomes if collaborations are, for instance, done with engineering, architecture or medicine, Adeleye Makanju, a lecturer of Sculpture and African Art History, Lagos State Polytechnic. Such partnership on multidimensional methods can equip artist to win the growing competition from designs generated from smart technologies, the keynote speaker at a lecture marking 2019 Society of Nigerian Artist (SNA) week,

said. Citing a quote, he said, “The purpose of art is not necessary to create more professional dancers or artist but to create more complete human beings who are critical thinkers, have minds and are completely productive. “For the next economy, we need to re-access our departments and introduce programmes. We need to introduce programmes and work to begin to have an interface with other professions.” Makanju, addressing ‘The importance of Art Education to the Development of an Emerging Economy,’ said, “Art students should be equipped to meet modern-day demand. Taking care of this will provide sustainability that can contribute to the economy of the country. Let’s go into collaboration with others so

that when jobs for the regular painting, graphic artist are no more, outstanding works will sustain us.” On his path, Oliver Ewonwu, national president, SNA, believes art is serious businesses that can help redress the poor perception of Nigeria internationally. With trends of corruption in the management of public resources, previous military incursion and grappling with basic infrastructure, Ewonwu noted that not many would be willing to invest in an economy where the ease of doing business was rated one of the lowest. But he sees art as a soft power to change the perception, advocate positive values and project reasons why doing business with Nigeria is safe, saying, “Let’s just go to the West and see how the likes of Pablo Piccaso, a Spanish painter,

have been able to rebrand their countries with art.” While Nigerian artists can do more by making a difference of being able to stand out in the global pool, there is also a need for government contributions in terms of art education for all students, Idowu Sonaya, SNA chairman, Lagos chapter, said. He recommended that subjects that could teach pupils art appreciation at primary level be introduced to prepare their minds. “Some of the people we have at the tertiary level are art appreciation bereft. Art as an important tool in an emerging economy cannot be overemphasised. In the area of engineering, we need a lot of visual strength to create something outstanding. People who have creative backgrounds are doing well,” Sonaya said.

Synlab, partners take free medical outreach to Ilupeju ANTHONIA OBOKOH

YNLAB Nigeria, healthcare services provider, held its 10th ‘Doctors on Air’ Medical Mission in Ilupeju, Lagos, on August 17, 2019. The medical outreach, organised in partnership with other healthcare providers and foundations, is an annual event designed to give back to society. At the event, SYNLAB and its partners (Bridge Clinic, Chike Okoli Foundation, Euracare Hospital, Lakeshore Cancer Centre, Healthplus, Medicentre, etc) provided a wide range of healthcare services including breast and cervical cancer screening, blood sugar checks,

dental care, hepatitis screening, eye screening, skin care related treatments, blood pressure checks, cardiology services, among other treatments to residents of Ilupeju at the OdiOlowo Ojuwoye Local Council Development Area, LCDA. Fidson Healthcare plc and Emzor Pharmaceutical Industries Limited supported SYNLAB by providing drugs for different forms of ailments. Speaking about the exercise, Pamela Jackson-Ajayi, managing director, SYNLAB Nigeria, said the Mission was informed by the need to provide Nigerians, especially the low-income earners, access to quality medical services at no cost.

L-R: Oyindamola Fakeye, West Africa art director, British Council; Lolo Eremie, head of productions, Biola Alabi Media; Teju Abisoye, acting executive secretary, Lagos State Employment Trust Fund (LSETF), and Ojoma Ochai, director of programme, British Council, at a press conference to announce the Lagos Film Lab Project in Lagos, yesterday. Pic by Olawale Amoo

Tank farm owners invest N1.5bn on roads, others Olusola Bello

wners of petroleum products tank farms in Jegun Egba, Satellite Town, Lagos, say they have spent over N1.5 billion to fix roads infrastructure and do other palliatives in their area of operation, adding that such intervention is to show their commitment as responsive and responsible business people. The businessmen restate their commitment towards ensuring the safety of lives and property of the people of their host community, stating that they want to ensure that the needful is done in the community. They say palliative measures are being taken to address the hardship being experienced by the residents of the community due to the activities of trucks and tankers serving them. Ijegun Egba plays host to over 12 petroleum products tank farms whose activities, especially the influx of tankers and trucks along major access roads to the community, have contributed to infrastructural

and safety challenges to the residents of the area. Speaking in Lagos at a stakeholders’ engagement meeting, Debo Olujimi, chairman of Tank Farm Owners Association and CEO of Emadeb Energy Services, states that the association is partnering the Lagos State government, the Federal Government, the Department of Petroleum Resources (DPR) and other relevant stakeholders to see how to address the safety and infrastructural challenges confronting Ijekun Egba people. Olujimi explains that the meeting was convened to enable stakeholders brainstorm and see that issues of infrastructure and safety of lives and property of the people were taken care of. He says, “Today, an average of between 20 -30 million litres of petroleum products move out of Ijegun. And really, that is a serious economichub.Ontheaverage,everyweek,thatmeansalmostabout 200-250 million litres of petroleum products come out from Ijegun. “Therefore, we are trying to avoid a situation where the host www.businessday.ng

community will be having issues with the business owners and that is why we have been doing everything possible. We are trying to partner with the Lagos State Government, the federal government, the DPR and every other stakeholder to make sure that all infrastructureandthingsthathave to do with safety are addressed.” He adds: “Issue of safety is the number one to us. Roads have to be accessible for us to be able to operate. As responsible business people we want to make sure that what is happening in Apapa does not happen in Ijegun, and that is why we are doing everything possible.” He lists some of the measures being taken by the depot owners to include effective traffic management in order to avert accident; provision of alternative roads to ease traffic on Marwa Road, a major access road to the community; construction of standard fire station in the community; construction of drainages, and sensitisation of the members of the community on safety and fire-fighting, among others.

ACAEBIN trains internal auditors on cyber defence SEGUN ADAMS

ssociation of Chief Audit Executives of Banks in Nigeria (ACAEBIN) has held its first stream of 2019 capacity building for Internal Auditors on Cyber Defence. The three-day training held recently in Lagos in conjunction with Financial Institutions Training Centre (FITC) was hands-on based and focused on review of Networks, Applications, Databases and IT Infrastructure. As part of the Association’s policy of continuous capacity development, ACAEBIN organises at least two trainings every year for internal audit staff at no cost to member banks, and at least one for Chief Audit Executives who by virtue of their position, are direct members representing their various banks. In his opening address at the commencement of the exercise, the chairman of ACAEBIN, who also is the Chief Audit Execu-

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tive of Access Bank plc, Yinka Tiamiyu, urged the participants to make the best use of the opportunity, describing the topic as a very vital and critical area that needed special attention. Noting that content is very enriching and would deliver the desired result if taken seriously by the participants, he said, “The cyber space is continuously evolving, so also the associated threats. As Auditors, it our duty to ensure proactive approach to mitigate these threats and provide assurance to our organisation in order to prevent loss of valuable assets and corporate image.’’ Felix Igbinosa, the second vice chairman and head of the Emerging Issues Committee of the Association, in his speech informed the participants that ‘‘given the ever changing cyber threat landscape and the continuing unending battle in the cyberspace, there is the need for a 24/7 monitoring and response on technological platforms of organisations. As such, organisations need to invest more @Businessdayng

in implementing additional security infrastructure and training of its personnel in cyber security.’’ Igbinosa further informed the participants that another training would be held before the end of the year. He assured the participants that his Committee will evaluate the report of the training to determine the need for another stream, urging them to ensure they derive value for the huge investment the Association is making towards harnessing their skill set for better service delivery in the banking industry. At the end of the training, participants would have developed competencies in managing key aspects of cyber security threat, understand the impact of cyber-attacks on the various IT tools and platforms, analyse threats and risks within the context of the Cyber security architecture, among other things. The high point of the threeday training was the presentation of certificates to the participants.

Friday 23 August 2019

BUSINESS DAY

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Friday 23 August 2019

Harvard Business Review

BUSINESS DAY

MANAGEMENTDIGEST

The Big Idea: ‘sidestepping some of the partisan debate’ AARON CHATTERJI AND MICHAEL W. TOFFEL

ot all company leaders are able to — or want to — take sides in social and political issues. Many, in fact, hold neutrality as a core component of their strategy. But maintaining nonpartisanship in an increasingly polarized world is a difficult task. It means, in some ways, that those leaders have to become activists for neutrality. Perhaps no one has a better understanding of how this works than Max Stier, the CEO of the Partnership for Public Service, a nonprofit nonpartisan organization that works with political administrations to hire and train political appointees. A condensed and edited version of our conversation with Stier follows. Q: Can you tell us how you’ve navigated partisanship while maintaining a nonpartisan position? A: There’s no question that maintaining a nonpartisan stance is more difficult given the increasingly partisan environment. We are, however, an honest broker on management issues, and we’ve been successful in sidestepping some of the partisan debate by coming back to something that everyone should agree on: Whatever size you want our government to be, you want it to be effective and efficient at delivering the best value to the American public. Our core mission is focused on the health of our government. The government is our only tool for collective action to deal with our most pressing problems. The Partnership starts from the proposition that a well-functioning government is vital to our democracy. When you hold onto that as your north star, you can better navigate very tricky politi-

cal waters. Q: I understand that making the government more effective traditionally has been a universal goal. But in today’s polarized world, is that even possible? A: People today are more skeptical about wanting to help government function efficiently. Those who disagree with a current administration’s agenda may worry that improving government may actually result in more outcomes that they don’t like. And our argument comes back to that north star: This is about a collective asset for all of us. You can’t step away, allow things to crater in our government, and then come back and clean up the pieces and think that all will be fine — because it won’t be. We strive to help the public and policymakers understand that there are things that ought to be off-limits to partisanship. When core democratic pillars of our society are pulled onto the political battlefield, we risk losing everything.

We aren’t attempting to fix all problems — such as the weaponization of government procedure to achieve a political aim — but instead are focused on improving the effectiveness of our government. It’s really scary to watch as the career infrastructure of our government becomes a target of partisanship. We have a phenomenally mission-oriented, experienced and nonpartisan career workforce, but it has struggled under political leaders in Congress and the executive branch that don’t consider managing talent and making government work more effectively to be part of their primary job responsibilities. Q: Companies typically try to promote their interests in Washington by working through trade associations, lobbying and contributing to political action committees. Do you see an activist role for companies in promoting your mission of fostering a more efficient government? A: CEOs overlook this point, ironically. Companies engage

with government around their policy preferences, but they rarely pay attention to how policy will be executed to achieve the most effective outcomes. A good example is the healthcare.gov rollout. A giant war raged on the policy side about the responsibilities the government should have in health care, yet no one was engaged in thinking about how to deliver on the promises that were eventually made. No business leader I have encountered would spend 99.9% of their time on the idea and virtually nothing on the execution. In their own spheres, business leaders focus on execution and operational capability — but they typically do not when they engage with government. Q: I imagine your employees have their own political opinions, particularly now given how polarized the world has become. How do you strike that balance between the views of your employees and the mission of the organization?

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

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A: I am proud that our employees have a diverse set of political views and an internal culture that makes it clear that everyone should be respectful of those differences. We try to have representatives of both parties as part of our board, our team and our larger set of partners. No matter what our political views, we all benefit from a healthy government, and we all get hurt by one that is not performing well. The truth is that no matter where you are on the political spectrum, there’s some part of government that you have to believe in. Leadership, for me, is about keeping people focused on that ultimate goal and how we all can contribute to achieving it.

• Aaron Chatterji is an associate professor at Duke’s Fuqua School of Business and Sanford School of Public Policy and a research associate at the National Bureau of Economic Research. Michael W. Toffel is a professor of environmental management at Harvard Business School.

Friday 23 August 2019

BUSINESS DAY

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Food security and all that THE NEW WEALTH OF NATIONS

OBADIAH MAILAFIA

ood security lies at the foundation of national power. Bonaparte famously observed that an army “marches on its stomach”. A viable state is not only one that is able to keep the common peace but also one that secures the lives and properties of citizens while feeding the population and upholding the rule of law. During the first decade of independence, agriculture was the mainstay of our economy. We were relatively self-sufficient in food. According to economic historians, the only time Nigeria experienced real famine was in Sokoto, Katsina and Kano during the 1950s; in the aftermath of the Second World War, when colonial agricultural policy was redirected towards serving the British war effort rather than the needs of our people. The other time was during the Civil War, when an economic blockade by the federal government led to a devastating famine in Biafra. The heartbreaking pictures of kwashiorkorstricken children of Biafra continue to haunt me to this day. The debate on the morality of the blockade raises the same moral dilemmas as the decision by the Truman administration in the US to drop atomic bombs on the Japanese cities of Hiroshima and Nagasaki in1945. The blockade of Biafra was a

humanitarian catastrophe; but the brutal fact is that it also brought the war to a speedy end in January 1970. The discovery of oil changed everything. Oil windfalls provided funding for roads and other infrastructures. More clinics, hospitals, schools and universities were built. But it also led our political elites into behaving like drunken sailors. We were afflicted with what economists term “the Dutch Disease syndrome”, characterised by high exchange rates and a shift of all productive forces into the import sector to the detriment of agriculture and industrialisation. The commanding heights of the economy were geared towards catering for the appetites of the urban elites. Local food production became unattractive. It made more sense to import food from abroad than to cultivate it locally. The import-licensing system became the vehicle for massive corruption and rent-seeking. The cement scandals of the post-war era became the metaphor for our collective folly. Oil has proved to be bad for democracy. A system anchored on collecting rents from international oil companies means that the rulers feel no sense of accountability to the citizenry. Political theory has established some correlation between democratic accountability and the extractive capacity of the state. When the state imposes taxes on citizens and they willingly pay, it serves to reinforce the social contract obligations underpinning popular liberal democracy. From the seventies to our day, all sorts of schemes have been put in place to promote food security; from Operation Feed the Nation (OFN) to the Directorate for Food, Roads and Rural Infrastructures (DFRRI). Most have failed. Last week our presidency gave an order to the CBN to cease provision

of foreign exchange for importation of all food items. The directive was based on the presumption that our country is already self-sufficient in food. During a recent TV interview, I described it as a “primitive” way of making policy, as it was seemingly based on a whim rather than a proper technical-scientific study. Whilst it is true that we have made significant progress in rice production, with the import bill having fallen by more than 70 percent over the last 3 years, it is a logical fallacy to jump to the conclusion that we are now a food self-sufficient country. Truth is, there is hunger in the land. Recently, there was an outbreak of famine in some of the IDP camps in Borno. Famine would have broken out throughout the country today were it not for the extravagantly costly Anchor Borrowers’ Programme launched by the CBN. Unfortunately, government has sabotaged its own policies by conveniently looking away as murderous herdsmen militias ravage the countryside. Many farmers are keeping away from their farms for fear of being attacked by rampaging herdsmen militias. While I applaud government’s drive towards food security, it must be made clear that no country can be said to be totally self-sufficient in every material particular. International trade theory since David Ricardo establishes that global welfare is best enhanced when countries concentrate on producing those goods in which they enjoy the highest comparative advantage. Even if we could produce temperate products such as wheat, grapes and apples, the costs might be prohibitive. There are cases where it is cheaper to import than to produce locally. I also suspect that the new directive aims to take the wind out of the sails of states such as Akwa Ibom and Riv-

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The directive to cease provision of foreign exchange for importation of all food items is based on a whim rather than a proper technicalscientific study

ers that have decided to import cattle in order to revitalise their ranching industries. Some local notables have allegedly been bribed to acquiesce to the iniquitous Ruga policy. Blocking access to foreign exchange for food imports may therefore be in furtherance of more sinister objectives than we imagine. Government also has no business dishing out diktats to the CBN. I know that central bank autonomy is a delegated privilege granted by parliament to ensure it works for the long-term common good rather than short-term electoral-political calculations. Today, I am led to believe that our apex bank has all but lost its autonomy as enshrined in the CBN Act 2007; captured by vested interests in government and the private sector. Multiple exchange rates exist to cater to the selfish avarice of vultures. We hear these days that they are allegedly forced to pander to all sorts of shadowy people; including hiring staff whose principal qualification is that they are children of high notables while children of nobodies with first class honours are wandering the streets. I innately dislike breathing down the necks of my former colleagues who often have to operate under difficult conditions. But I humbly submit that a central bank is not worth the name if it is not manned by the best brains that we have. The CBN that some of us knew was a world-class merit-based national institution. Today, the glory has departed. How are the mighty fallen!

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

The 9Ps you need to discover to excel

ife without a strategy is a tragedy goes a saying. And strategy is an intentional device plan of action I’d coin as an acronym of Ps in the right order for an individual to grow. They are finding the right Passion, Personality, Problems, People, Product, Platform, Package, Profit, and Posterity So, what is my passion? How do I align my personality with my passion (there has to be a consistency)? What is the problem that my passion can solve? Who are the people with that problem; and as a business, how best can I sell it? That is, what is the product you are selling in alignment to the problem? (You’ve got to create product, it’s what you exchange for wealth in the market place). Other salient questions you need to ask are: how do I find a platform? If no one is ready to give you one, which is likely, you have to create one. And please package yourself and the other six aforementioned Ps – ensure it is unique, consistent and easy to identify. Because you are a business, make profit. Don’t stop at profit, go one step into posterity, either built to last or successfully transitioned or transferable. Magic happens when we find and focus on what we can do effortlessly, and excitedly. It’s called passion. The thing you love to do, even if you were not paid to do it. Building a business around your passion is important. But these days, passion and vision and the role they play is becoming too much of a buzzword. The truth is your disposition to life, your background, routines and culture, what you do daily with your time, your personal habits will determine your destiny more than your passion and vision can. Individuals must discover passion first, and then vision – passion is the best fuel for

vision. People are different. A personality may not fit with a certain purpose and vision It’s important to know why you act the way you do. Of the 107 billion people that have died since the existence of humans and the 7 billion people alive, there are only 16 categories of people in the world, according to The Myer Briggs Theory. A few years ago I took the Myer Briggs personality type test, and realised that I am an extrovert, intuitive, thinking and judging type of person. Find yours! Problem is the cause of business. That is essentially what people pay you to solve. Every time you solve a problem you create a chance to grow and succeed. Be a lover of solving problems. In a world filled with problems, the one that succeeds fastest is the one full of solutions. In our world filled with different delusions of intelligence, a successful and intelligent mind is the one who enters with ease and completeness into the spirit of problems and then arrives at an end with a solution through the shortest possible route. Every time you are upset about a problem, remember it’s your passion crying to be let out. People are important; whether customers, employees or partners, people are the channels of blessings. They divide your efforts and multiply your results. Everyone thinks finance is the critical factor in building a business, it’s finding and managing people. For the lack of the right people, most CEOs whose main roles are strategy and networking to increase revenue and expand the business have been reduced to mere supervisors of their staff. In other words most CEO and top level executive now major in what is minor. They sweat the petty things and then pet the sweaty things.

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Leadership is the art of getting things done through people. In managing people in an organization, I have noticed that in every organization, there are four kinds of colleagues: dumb and lazy (loyal, uninspiring, and unambitious) and not ambitious); smart and lazy (creative); dumb and ambitious (cunning) and smart and ambitious (highflying). They are all relevant but need to be involved most appropriately and in a good mix to succeed. Don’t be transactional but relational with people. Identify each of these people and treat a bit differently. You’ve got to have a product. That is the container that you put the value in. I see a lot of people who come into the marketplace with value and yet unprepared because they didn’t come with a container. It’s the container that brings the multiplier effect. What is the product for your market? It may be an app, a service, merchandise, a tangible good. And for creatives is an art delivered in a payable experience through shows. Learn to leverage or own a space. Create a podium that elevates you to the access of your market. Everyone who has ever succeeded did standing on one. For some its media, others it’s a stage, for some it’s their network or sets of influencers. Platform enhances and projects value. Where’s yours? Brand your product. Don’t put your good product in a bad package. The only thing more important than what you are selling is what the buyer believes he is buying. Put simply, a brand is the difference between a bottle of sugared, flavoured carbonated water and a bottle of Coca-Cola. It is the sum of the functional and intangible that a consumer attributes to product or service. It is one of the most powerful things to build

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in life or business. When Procter & Gamble acquired Gillette in early 2005, only $6b of the $57b purchase price was for its tangible assets, the vast majority of the value was the brand. On average, 86 percent of the market value is intangible, which is the real measure of the worth of new ideas, the right market choices and the brands to ensure future success in them. A brand that captures your eyes gains notice. A brand that captures your mind gains attention. A brand that captures your heart gains commitment and only a few do this. Profit refers to the point where you break even. The breakeven point is the point where revenue expense. You can be broke making N1.5million a month or rich making N150,000. In nutshell, when you find your passion, build a personality for solving a problem with it, then you create a product that is sellable through a platform and through and for the right people, don’t forget to package it right. It’s a matter of time for people would reward you for it as profit, beyond that, value prosperity. I look forward to helping you build that brand using these Ps. Uwaoma is a start-up, corporate restructuring and strategy consultant. He writes via contacteizu@gmail.com

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Friday 23 August 2019

BUSINESS DAY

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Harold Smith, the big lie, and Nigeria 2019

arold Smith was an Englishman who was born in Manchester in 1927. He was educated at Oxford. He joined the Colonial Service in 1954. He was deployed to Nigeria in 1955 and lived in Lagos, working in the Ministry of Labour headquarters under the administration of the then GovernorGeneral James Robertson. Sometime in 2013, at the age of 80, he gave an interview on BEN Television, a UK-based network much patronised by Nigerians in the diaspora. The long and short of his interview with BEN Television was that he wanted to get a burden of guilty feeling off his mind in the twilight of his days. He had travelled to Nigeria at the age of 26 with his wife. He had settled into the rhythm of a colonial officer’s life with its genteel perquisites. As time went on, he began to learn that things were not quite what they seemed. The colonial project and the preparations for Independence in the erstwhile colony of Nigeria were not being executed with honesty and transparency, but with a hidden agenda based on the British perception of who were the most pliable among the people on the ground, and what arrangements could best guarantee

British interests in perpetuity. He was, he disclosed, approached by other officers and told, off the record, that if he “cooperated”, he would be rapidly promoted and set up comfortably for the rest of his life. There might even be a knighthood on offer down the line. There were a number of ways he was supposed to “cooperate”. One of them was in falsifying the results of the census to give the northern part of the emerging nation a much larger population than the south. Another was in facilitating the “rigging” of elections against the Action Group in the western region. Mr Smith described his initial shock at the things he was asked to do, and his refusal to “play ball”. In the end, apparently, the actions were “successfully” executed, even without his cooperation. Much has been made of the sensational disclosures of this frail and dour-looking Englishman, who has since died. For those who believe Harold Smith, Nigeria the nation was founded on a big lie. Population figures were deliberately doctored to favour one section over another. The nation was a booby-trapped project, programmed from the start to fail. There is an additional detail to Harold Smith’s story. After his Nigerian experience, and indeed for much of the rest of his life, he was plagued with ill health. He was diagnosed with Tropical Sprue. Tropical Sprue is a chronic disease of the small intestine characterised by ulcers in the mouth, weight loss, tiredness and perpetually poor absorption and digestion of food. It is a miserable existence that often defies cure. As the discussion wore on, Smith

dropped a suggestion that it was possible for such a “disease” to have been inflicted through the sinister work of the British Secret Service, who were past masters in such matters. This, and his failure to get a golden handshake or be rewarded with a knighthood were the price he paid for his refusal to cooperate with the project to distort the Nigeria project, even though the distortion was still accomplished over his objections. The Harold Smith narrative plays pat into the script of many people who see fact that Nigeria is structured to favour one section of the nation over the rest as the root cause of the country’s failure to thrive. Suspicion of manipulation of census figures has affected even the census exercises conducted after Independence. Since political power and financial allocations are substantially based on numbers, it seems guaranteed that whoever “has the numbers” will rule (or misrule) the nation in perpetuity. A ready example of present-day reality that plays into this narrative is that Lagos – recognized internationally as the most populated megacity in sub-Saharan Africa, with an estimated population in the region of 20 million people, the “official” population figure from 2012 is barely 11 million people. This figure and its small number of local governments remain the basis for determining its entitlement from the federal purse. Many people have queried the Harold Smith story in its very essence. Some of the times and details do not add up. The census whose figures he was allegedly tasked to manipulate took place a number of years before

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Nobody needs Harold Smith, or any big lie – if there ever was one, to conclude Nigeria needs a rethink of its structure and operation if it wants to be a great nation and bring out the best in its people

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

Lagos: The megacity hanging on a thread

t is with great disdain that I write the piece this morning to complain again about the inhuman suffering that people who leave on the Mainland are going through every day. Every day we leave our homes in the morning or our offices at night, we commute with so much fear and terror and one would wonder if there is a way out for us. A few years ago I wrote a piece about Lagos becoming a megacity and the terrors that already exist. Then, it took you six hours from the airport to Eko Atlantic, even longer than it takes from London to Lagos. This remains an unraveled mystery. One would have thought that about four years later, we would be talking about something different but we are still discussing the same things, and yet even worse, it takes you two hours to get into Victoria Island and even the Eko Atlantic. How will people visit this area? The reason for this article might be seen as a plea to the government to look into traffic problems and the chaos it causes on the Mainland. The situation is now manic and about to get completely out of hand. It has being one crisis after another and we all have had bad experiences. A few months ago I was robbed. And so have several of my colleagues and friends who work on the Island but live on the Mainland. The road to Badagry is in such a bad shape that it takes six to eight hours to get home; in the rainy season, it’s a disaster. Some people don’t even get

home till dawn. It’s obvious that this crisis is destroying physically and mentally; it’s taking a toll on our health. A lot of people have had to move out of this axis to find costlier alternative houses. Some of them also spend more on transport yet risk being robbed. I have heard passengers come down from their buses and trek for hours in the quest to get home. These are people who endure a lot daily to earn their daily bread. A few days ago, I was speaking to a lady who explained that in the span of three months she had been robbed at gun point on a motor bike, robbed in a bus and ran into armed robbers on that axis on her way home. Once, amid the whole panic and chaos, she and others ran into a nearby house where they had to spend the night. And the stories go on and on. Before inflicting on the citizens more pain with the ambiguous and outrageous bills for faulting traffic rules in Lagos, the roots of the manic problems of this megacity need to be fixed first. It is obvious that the population in the state has increased and will continue to do so as more and more people move from the northern region and even neighboring countries. Although we now have more people, which should translate into more taxes and revenue to help the government raise more funds to build more roads and provide the basic amenities for the state, the reverse has being the case. The Lagos-Badagry

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road has being in the same dilapidating state for over 12 years. Some wish the road was left the way it was before the destruction and abandonment of the project. The number of roads and bridges has not increased and people still ply the same roads daily. Yet the trucks have taken over a lane, leaving the other lane for buses and private car owners, who now fight for the same space. A breakdown on that road means your business for the day is cancelled; you’re stuck till the truck is towed. Before enforcing the new laws, please fix all the roads (make it routine to fill all potholes rather than wait for them to become craters that swallow cars); complete abandoned projects (finish the rail track from Badagry to VI) to reduce the number of cars and buses on the road; build bridges and bypasses; get the trucks off the roads (provide them parks); improve security on the roads, not just static cameras that hardly work and besides are unable to track people as there is no proper identification system in Nigeria. Provide parks for the commercial buses to reduce the numbers that park as they wish on the roads causing traffic. Light up the streets and ensure that that there is tight security everywhere. Repair and unclutter the drains and gutters so they flow better and prevent flooding (the Badagry road, for instance is always flooded due to poor drainage). Put in a place reward system for clearing the dirt rather than punitive a system –in other

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his arrival in Nigeria. Despite his claim that he was summoned to the office of the Governor-General James Robertson to be “ticked-off” for refusing to “play ball”, he was still able to go on his six-month furlough subsequently, and he was reappointed for a further stint of duty, lasting till 1960. Something is fishy, somewhere. Or did he actually “play ball”, and regret it later, leading to his recanting? The real take-away from this story is that, whatever mischief the colonials put in their script for Nigeria sixty years ago, Nigeria and Nigerians have no excuse to still be crowing about it in 2019. By now, Nigeria should have written its own script and be playing with it. The country has had enough experience of lopsided leadership to realise objectively that it doesn’t work. The parts of the country most consistently favoured by political power and population figures have the highest out of school population figures in the whole world, and the lowest rankings on Human Development Index in the country, despite holding “power”. Nobody has truly profited from warehousing political power in any part of Nigeria. In such a situation, nobody needs Harold Smith, or any big lie – if there ever was one, to conclude Nigeria needs a rethink of its structure and operation if it wants to be a great nation and bring out the best in its people – north and south. The nation needs to re-structure and re-strategize. It simply cannot continue to do the same thing over and over, expecting a different result.

DANIELLA IFUNAYA

countries citizens are rewarded for submitting non-recyclable waste like plastics. Clean streets and areas should be rewarded and praised as a model to others. Other better and safer means of transport means of transport, like the waterways should be encouraged. Once these things are in place I can bet that we won’t have tax defaulters. It would be rather unfortunate if government can’t solve basic problems, but wants to punish citizens due to its own negligence. It’s time the government reward those who obey the law and do good so others will learn from them. If they continue on the punishment route, people will always find a way of beating the system. In the past no one in their right mind would take oneway considering the huge risk on their lives, but right now the only reason they do so is because they want to get home alive and in time to be with their loved ones. I sincerely don’t think this is too much to ask from a city where we give so much. I am extremely confident that if the government fixes these basic problems a lot will improve and people will do the right thing. Daniella Ifunaya lives in Lagos

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Friday 23 August 2019

BUSINESS DAY

EDITORIAL PUBLISHER/CEO

Frank Aigbogun EDITOR Patrick Atuanya DEPUTY EDITOR John Osadolor, Abuja NEWS EDITOR Chuks Oluigbo EXECUTIVE DIRECTOR, OPERATIONS Fabian Akagha EXECUTIVE DIRECTOR, STRATEGY, INNOVATION & PARTNERSHIPS Oghenevwoke Ighure GENERAL MANAGER, ADVERT Adeola Ajewole ADVERT MANAGER Ijeoma Ude FINANCE MANAGER Emeka Ifeanyi MANAGER, CONFERENCES & EVENTS Obiora Onyeaso BUSINESS DEVELOPMENT MANAGER (South East, South South) Patrick Ijegbai COPY SALES MANAGER Florence Kadiri DIGITAL SALES MANAGER Linda Ochugbua

To fight corruption the executive must lead by example

espite claims to the contrary it is sad that this administration is particularly notorious for its lack of transparency and accountability. The just released report of the Auditor General Federation (AGF) indicts virtually all Ministries, Departments and Agencies (MDAs), including the presidency, National Assembly and the Economic and Financials Crime Commission (EFCC) of financial impropriety and lack of accountability. According to the AGF most MDAs and the two arms of government (executive and the legislature) have become more reckless with public finance with 323 agencies failing to submit any report – the highest so far in the history of the country. What is more, despite the existential problem of

low revenue and the government’s desperation to generate more revenues through taxes, the presidency, National Assembly, and key agencies such as the EFCC defaulted in remitting various taxes, including the pay as you earn (PAYE), of their staff and value added tax (VAT) on payments to their vendors. The takeaway from the Auditor General’s report is clear and unmistakable: the government is only engaged in a public relations gimmick when it rails against corruption, lack of accountability and the need for citizens to pay their taxes in public. It doesn’t really mean it. How can a government whose cardinal agenda is to clamp down on corruption and institute transparency in government preside over such wanton abuse of public trust and financial impropriety? How could such record MDAs fail to submit any form

of audited financial report under a government that is supposedly fighting corruption? According to the report, 323 agencies failed to submit any report in 2016. In 2015 and 2014, the numbers were 215 and 148 respectively. How is it possible that even the presidency and National Assembly – two critical institutions that should be driving compliance with all tax laws in Nigeria – fail to remit taxes of their staff and VAT on payments to their vendors? Is it surprising therefore that tax compliance in Nigeria is very low (6 percent of GDP) and citizens do not really trust their leaders enough to manage their taxes? Isn’t it true that tax compliance increases with the rate of transparency and accountability in the utilisation of tax resources by the government? Much worse is the refusal of the president to give assent to some bills on fiscal govern-

ance passed by the Eighth National Assembly. Now that the bills have lapsed with the tenure of the Eighth Assembly, the process will have to begin again – at colossal costs to the country. The government needs to realise that war on corruption and instituting transparency in government goes beyond mere propaganda. It is easy to create agencies to fight corruption. It is easy to launch a media campaign against perceived corrupt officials or even make scapegoat of some. But such actions never get a country anywhere. They are just mere tokenisms that fizzle out with time. What helps a society to effectively tackle corruption and built accountability into governance is the deliberate building of institutions and strong institutions of restraints and leadership by example. The sooner Nigeria starts building such institutions, the better for us.

GM, BUSINESS DEVELOPMENT (North)

Bashir Ibrahim Hassan

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

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Friday 23 August 2019

BUSINESS DAY

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The Treasured Writers turns 13 TALES FROM THE MAIN ROAD

EUGENIA ABU

n 2007, I could not find a summer school which spoke to my spirit for my children. We seemed to always be doing tie and dye and run round parks and come home empty. My nest was filling up fast and the kids did not want any more of those. I also found that my children did not want more of what they had learnt in school like more math or more social studies. Children wanted to learn other things that were not offered in school, wanted to play and let out steam and just wanted to be themselves. I understood it but no one seemed to be offering those things my children wanted and those things I dreamt about. So I set up the The Treasured Writers (TTW), Abuja’s longest running and only week-long summer writing workshop. I was as excited as the 17 other parents who came along with me. We have loved the summer workshop and continued to grow every year. From about 24 children we now receive about 40 -50 children every year. We give this opportunity to kids between the ages of 7 and 14 years of age. Our TTW participants when they turn 15 years become

junior facilitators who help us look after the other children while benefitting the same course and becoming responsible. It has been an incredible journey as I look back and see our children graduating from universities. One year, a Chicago-based Nigerian architect who had done some work putting up a movie house and galleria in Abuja joined us as a resource person. The young participant who followed him around is now an architect. Another year we flew in Kate Henshaw to teach acting and a shy participant was so fired up by Kate that she was given the role of angry wife which she did, with so much aplomb. Today she is in Canada about to graduate in the field of Theatre and Media and leads her school’s dance troupe. We have been amazed by the impact this has made and are proud of our over 500 participants; particularly of our repeat parents. Mrs Odah and Mrs Aku brought their children every year and when they turned 15 brought them to learn how to manage other children. We have been blessed over the years with amazing resource persons and excellent volunteer facilitators. The resource persons have included Head of Mccarthur Foundation for Africa Dr Kole Shettima who never refuses whenever we ask him to come and teach our children the seven qualities of a good leader. Ditto, Dr Otive Igbuzor, Chief of Staff to the current Deputy Senate President, and President of the Africa

Centre for Leadership and Strategy who has come in many times to teach the children leadership. We have been blessed by Chinyere Obi Obasi, NLNG-shortlisted children’s writer and Tricia Adaobi Nwaubani, Commonwealth literature prize winner, who have both come to teach the children what it takes to be a writer. Most kids think writers of books are ghosts so we bring real writers to teach, engage and lunch with them. The questions from the children are always thought provoking and in some instances quite hilarious. Denja Abdullahi President of the Association of Nigeria Authors (ANA) has joined us for poetry in the bottle and we have written essays on what my little eyes see to teach a keen sense of observation. We have made our own cocktails (non-alcoholic of course), made our own salad and learnt how to make five different types of sandwiches. We have cried and laughed after the elections for TTW Ambassador and learnt to be gracious winners and gallant losers. We need to start to tell young Nigerians that winning an election is not everything and one should be kind to one’s opponent and losing is not the end of the world. The Independent National Electoral Commission has conducted two of our elections and we have had several artistes, musicians and singers as resource persons and learnt about harmony and choreography. We have had a phenomenal cartoonist from The Guardian news-

‘

It has been an incredible journey as I look back and see our children graduating from universities

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

What JAMB and WAEC did to me

leepless nights, tons of textbooks, extra classes, splitting headaches, these are the experiences of my lifestyle as a student preparing to take my final year examinations. The deafening scold of my teachers and parents became part of my dreams, “you must excel in both your WAEC and JAMB examinations to enable you to move on to the higher institution of your choice, and enroll in your choice course”. This year’s exam came with several pieces of baggage. The general elections were postponed and held much later than originally planned causing major distortions in the education calendar. The elections originally scheduled for February 16, 2019, was moved to February 23, 2019, just a few hours before the time of the proposed election morning. This no doubt disrupted the academic timetable of most schools across the country. My school, St Francis Catholic Secondary School (SFCSS) had to reschedule the remaining part of the school’s mock examinations for SS3 (final year students) due to the postponement. This unexpected development extended my long waiting game for D-Day: the examinations. Eventually, the mock exams held successfully. After this we intensified preparations for the Unified Tertiary Matriculation Examinations (UTME), especially given it was a computer-based examination of four subjects that required your full attention. Shortly after, there seemed to be hope in the horizon as the Unified Tertiary Matriculation Examinations (UTME) mock was announced to hold on April 1, 2019. Like many

of my friends, I waited patiently to confirm that the International Fools Day exam date was not a practical joke, but indeed it was licit. The UTME was rescheduled numerous times to the disadvantage of the candidates and parents who had to bear much social and financial burden – it was changed five times as rumoured on different social media platforms and websites. Each day we betted the likely date of UTME. While some of us wondered aloud, “Are the exams going to hold at all?” Finally, the dates were released. It made my family and friends release a breath we did not know we had. Between May 11 to May 17, 2019, candidates were expected to check their UTME location and examination dates on the JAMB portal, a similar process took place during the period of the mock examinations. Lo and behold, the big shocker! It was discovered that some of the specified dates for UTME clashed with some of the subjects of the WASSCE. According to the timetable, WASSCE candidates who were expected to write the subject, Animal Husbandry on 11 April by 9 am were also expected to sit for the UTME on the same day. This initially seemed comic as many candidates wondered how they would split themselves into two on that day. People came up with different thoughts; skipping WASSCE for UTME? Skipping UTME for WASSCE or rushing through UTME to meet up with WASSCE on a chartered okada since the roads will be jammed with traffic. As the days approached it became clear www.businessday.ng

paper teach facial expressions in art. Last year we had Bilkisu Jungo, of The Upcycle Architect, who taught to turn waste to wealth. We have even had our own wealth management class and we found so many potential entrepreneurs and future millionaires. We are still on this incredible journey which I facilitated every year for the last 13 years, except for the Ebola year. This year, Mrs Kokab Faroukh the award winning Pakistani artist, will to come and teach us how to make amazing decorations and art in our 2019 edition “Art is Life”. Children never cease to amaze. Bright-eyed, we continue to give children joy in Abuja for the last decade and some. Every year is different and fun-filled. I am looking forward to this year’s edition at The Eugenia Abu Media Centre at Maitama amusement park starting on Monday, 26 August 2019, as well as the TTW party which always makes us misty-eyed when we have to all go our separate ways until the following year. Yes, we are considering Easter and yes we are considering other cities in Nigeria. We hold our breath. We are thankful to all parents who trusted us with their children and for every child who came through the door. Let’s do it again this year with glints in our eyes. Selah!

CHIEMERIE EZURIKE to us that the exam bodies had moved on. On April 12 2019, my Photography examination for WASSCE coincided with my UTME. Now I had to make a major decision to either skip the UTME or the WASSCE. The third alternative of combining both as some of my colleagues had planned could not apply to me as my UTME centre was in Eputu, a village in Ibeju-Lekki while my WASSCE venue was at my school in Idimu. Traffic could take nearly four hours between the two distances, on a good day. It was indeed a sad day for me as a whirlwind of thoughts raced through my mind, “neither my parents nor school prepared me for this strange skill” I had muttered to myself. The more shocking experience was that the JAMB officials denied claims that exam dates between JAMB and WASSCE clashed. According to many media reports, Head of Public Relations, JAMB, Dr. Fabian Benjamin said, “We (JAMB) have met with the WAEC management and WAEC has just given us an assurance that there is no clash; that people don’t just understand the modus operandi of the timetable especially as it affects the practicals.” I sought advice from different quarters. My school’s counsellor suggested I skip the UTME and first secure my WASSCE papers. My parents said I should skip the Photography exam as UTME was more important. None of the options initially made sense to me as I had already written the alternative to practical exams for Photography; therefore, skipping the main exam will only fetch me the muchdreaded F9.

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Although Photography did not have a direct bearing on my proposed course of study, my stake was quite high because of my growing interest in fashion. I sat back and began to lament about my unfortunate situation, wondering how I of all candidates became a guinea pig for WAEC and JAMB. Several weeks after this harrowing experience, l look back now with my head and wonder, “Does the government really care about me”? If the activities of JAMB and WAEC were related to conducting national and local government elections, shouldn’t government have stepped in to address the problem or could it just be that the federal government was unaware of the clash? Could it even be that WAEC and JAMB were in a contest for supremacy at the expense of the students? The most annoying experience was that I had about two weeks in between my WASSCE papers within the same period. Couldn’t JAMB and WAEC have shared information to reschedule the examinations of the affected students like me? Is our educational system so flawed that no one knows what tomorrow looks like? In my gradual journey in seeking admission into university, the much talked about infamy of Nigeria’s education system is staring me in the face like a cracked mirror. With what WAEC and JAMB did to me, I daily wonder what other surprises the system holds for my generation. Ezurike writes from Lagos

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Friday 23 August 2019

BUSINESS DAY

cityfile Agency seizes 395 vehicles, 60 motorbikes in Oyo REMI FEYISIPO, Ibadan

Members of the Nigeria Association of Women Journalists (NAWOJ) during a walk to mark the 2019 World Breastfeeding Day in Lagos on Wednesday. NAN

Lagos ‘killer-policemen’ face dismissal, prosecution JOSHUA BASSEY

our trigger-happy police officers w h o a l l e g e d ly snuffed lives out of two suspected armed robbers in Ojo area of Lagos stand the risk of being dismissed from the Nigeria Police Force (NPF) and handed to the State Criminal Investigation Department (SCID), Panti, Yaba, for prosecution. They include Fabiyi Omomayara (Inspector), O laniyi Solomon (Sergeant), Solomon Sunday (Sergeant) and Aliyu Mukaila (Corporal) all attached to Iba division police patrol team at the time of committing the crime. The arrest of the policemen followed a video which went viral on the social, showing how they shot dead the suspected

criminals after arresting them. Spokesperson of the Lagos police command, Bala Elkana, who confirmed the incident, said the policemen would face murder charges for allegedly killing suspected armed robbers in their custody. “Attention of Lagos police command was drawn to a video on social media showing some police officers shooting two unarmed suspects who were arrested and already in their custody against the code of professional conduct and laws guiding how suspects in police custody should be treated.” Elkana explained that the incident happened on August 8 at 3.00pm, when Iba police station received a distress call from one Anugu Valentine that he was attacked by a group of armed men numbering

about four on two motorcycles at Ipayi area, Iba and they dispossessed him of one iPhone max valued at N450, 000. “Acting on the information, the Divisional Police Officer (DPO) of Iba promptly deployed the divisional patrol team to the scene. “Two of the armed robbers w ere ar reste d while two escaped. Two locally made pistols with six life cartridges and five expended cartridges were recovered,” he said. Elkana added that the gang was said to be notorious for series of robberies in Iba and environs. “It was a well celebrated operation by the team as the suspects were gallantly arrested. The team however went to the extreme by killing the suspects who were already in their custody instead of taking them to the

police station and allowing the normal process of investigation and prosecution to be initiated as stipulated under procedural laws. “That act of extra judicial killings falls short of police professional standards and cannot be condoned by the command,” he said. The following the incident, the the Commissioner of Police in charge of Lagos, Zubairu Muazu ordered a thorough investigation into the incident. “The police officers are currently being subjected to internal disciplinary proceedings known as `orderly room’ trial and if found culpable, they will be dismissed and handed over SCID for prosecution in the court. “Members of the public will be updated on the outcome of the investigation and trial,” Elkana said.

yo State Road Traffic Management Authority (OYRTMA) says it seized 395 vehicles and 60 motorcycles since January 2019. T h e d i re c t o r o f a d ministration, OYRTMA, Tunde Aiki in an interview during operations in Ibadan, Wednesday, said the agency was committed to restoring sanity to the roads in Oyo State. OYRTMA is saddle d with the responsibility of maintaining road traffic laws, ensuring orderliness and controlling traffic in Oyo. Aiki noted that the existence of the agency was not to generate revenue for the government through collection of fines from traffic law offenders as some people believe, but to increase the compliance level of road users to traffic laws. “We have discovered that more commercial road users violate basic traffic laws, especially those who do not make use of the designated

bus stops as their pick up or drop off points for passengers and offences committed by private motorists are more grievous which include leaving one’s lane to face an o n c o m i ng ve h i cl e a n d parking inappropriately on the road. “We want to appeal to pedestrians and motorists to always take into consideration the safety o f o th e r roa d u s e rs a s well as acquaint thems e l v e s w i t h t h e t ra f f i c laws of the state.” Meanwhile, some road users who spoke with our correspondent commended the agency for its efforts in ensuring a traffic-fr iendly environment in the state. However, they called on the government to crea t e m o re m o t o r p a r k s for both commercial and private users. A private motorist, Obinna Chukwu said “We know that what OYRTMA is doing is for the good and safety of everyone, but the unavailability of motor parks especially for private motorists is an issue.”

Police ban volunteer security outfits in Kaduna

he police in Kaduna have banned activities of volunteer security outfits in the state, popularly known as “Yan Sa Kai.’’ The state police command announced the ban in a statement by its spokesman, Yakubu Sabo. A c c o r d i n g t o S a b o, o n n o a c c o u nt s h o u l d any person or group of p e r s o n s p a ra d e t h e m selves as Yan Sa Kai/Yan Bu l a a n d p e r f o r m a ny form of voluntary secu-

rity assignment within the state. He warned that anyone who violates the order using the instrumentality of the law would be dealt with decisively. “The command, therefore, solicits the usual support from the members of the public to provide timely and useful information about criminal activities within their immediate environment in order to help the police to serve them better,’’ Sabo said. NAN

Flood: SEMA sets up resettling camps in Kaduna

aduna State Emergency Management Agency (SEMA) says it has set up designated resettling camps to receive residents displaced by flood. Mainunatu Abubakar, the executive secretary of SEMA, stated this during a meeting with stakeholders following the rising

level of rivers in the state. According to her, the agency is taking proactive measures by opening doors at all local education authority primar y schools in Kaduna North, Kaduna South, Igabi and Chikun local government areas of the state. “Residents in floodprone areas should move to primary schools within www.businessday.ng

their community when the water level rises to avoid loss of lives,” Abubakar said. She decried repeatedly destruction of property, displacement of people as well as disruption of economic and social activities in the state by flooding. Abubakar said that the purpose of the meeting

was to ensure preparedness among stakeholders and residents of floodprone communities. “To end flooding in the state, there has to be synergy between all relevant stakeholders in the state because it cannot be done by SEMA alone,” she said. She explained that the flood situation was alarming as water levels kept

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r ising by the day w ith more communities bound to be submerged if the situation subsisted. “The ministry of environment, health, local government chairmen, t ra d i t i o na l r u l e r s, f i re service, Red Cross, civil defence, divers and various stakeholders are on stand-by in case of any emergency.” @Businessdayng

She assured that the agency in collaboration with Christian Aid has relief materials in stock to provide succour when the need arose. Abubakar said that SEMA, NEMA and other partners would continue to sensitise the people on the need to leave the flood-prone communities before it was too late.

Friday 23 August 2019

BUSINESS DAY

MONEYINSIGHT

Here is what your credit score says about your financial health STEPHEN ONYEKWELU

redit score is coming into everyday usage thanks to the proliferation of financial technology (fintech) start-ups such as Carbon (formerly Paylater), Mamamoni and Renmoney that advance micro-credit to customers. This has necessitated the need for quicker assessment of the creditworthiness of potential borrowers. A poor credit score could mean paying higher interest rates on credit facilities or loans if even approved at all. While a high credit score means borrowing money at a much lower rate because you appear more financially responsible. The knowledge that both financial and non-financial institutions are using a number to determine if people living in Nigeria can access loans, credit facilities or post-paid services or not is not common knowledge. It is until they need credit facilities like loans or postpaid products that they are made aware of its existence and how important it is, to their financial lives and access to finance for both personal and business needs. There is still a perception that loan granting is based on ‘Man

know Man’ which for the most part, is no longer the case at least for the average Nigerian. Credit scores are provided by credit bureaus. The CRC Credit Bureau provides this service at N400 (four hundred naira). The CRC score is a three-digit number ranging from 300-850 that summarises a borrower’s history of borrowing and paying back loans or post-paid services by allocating

a 3-digit number that represents how risky it is to do business with such an individual. “It is also a credit grading system, with 300 being the lowest grade like an ‘F’ in a report card and 850 being the highest which would be an ‘A’ or distinction in your report card,” said Tunde Popoola, managing director and chief executive officer of Lagosbased CRC Credit Bureau. “The

CRC Score powered by FICO is easily accessible to everyone and can be bought via the CRC Credit Bureau website.” The Fair Isaac Corporation (FICO) is an American company with over 50 years’ experience in data and analytics. CRC Credit Bureau in partnership with FICO developed a unique credit rating system for the Nigerian market that helps lenders make quick and

informed credit decisions and for individuals the knowledge of what their credit status is. It is also used amongst other criteria to determine the interest rate, a borrower will be charged if a lender decides to approve the credit line or loan. It is a numerical expression based on a level of analysis of an individual’s Credit Report and is used to represent how risky it is for lenders or creditors to do business with said individual. In developed economies, it is normal practice for creditors to consider credit scores and reports before advancing loans, goods or services to another party with the understanding that payments are to be made in the future. This practice is catching up in Nigeria, as there are more credit activities taking place in the financial and non-financial sectors. Knowing your CRC Score, makes you better prepared before applying for a loan and is the first step in taking control of your financial reputation. To request for your CRC score visit the CRC website pagehttps:// www.crccreditbureau.com/product/crc-score-individualto register and pay for Credit Score and have it delivered to your email address in a matter of minutes

Flutterwave’s instant settlement to Future of intra-African trade to be charted raise merchants’ hopes in epayment at Single Window Conference in Cameroon FRANK ELEANYA

lutterwave, a payment technology company said that merchants on its platform can now receive their money as soon as customers check out using the Flutterwave checkout. Nigerian merchants’s adoption of electronic payment system have gained traction going by a recent Fact Sheet released by the Nigerian Inter-Bank Settlement System (NIBSS). The data showed that as at March 2019 the total number of Point of Sales (PoS) registered were 270,111 while then total number connected and deployed was 221,058. Nevertheless, experts have said that Nigeria is only doing less than 10 percent of the market potential in electronic payment. The reason is simple, retailers who are supposed to be the major drivers of growth may be taking more PoS machines but they are not putting them to good use. Top on the list of concerns for retailers is the persistent delay in electronic payment settlement. The existing settlement system requires that retailers get money from transactions with customers the next day, otherwise known as T+ or Transaction Day+1. Some retailers even say that settlement could take up to four or five days, especially during holiday periods. Unified Payment had attempted to solve the problem in July

2018 with the UP Hourly Settlement Service (UP-HSS). The UP product ensures that retailers get their monies on an hourly basis in addition with full settlement report that aids them in reconciling daily sales. However with this announcement, Flutterwave has become the first company to offer instant settlement to merchants. Merchants on Flutterwave receive their funds via Rave. Rave’s digital PoS made its debut at the Jollof Festival in Lagos, Nigeria as the official payment technology partner of the festival. Apart from the convenience of direct bank payment, on the Rave dashboard, merchants can monitor and manage their business. “You don’t have to change any setting right now because you’ll be notified in your dashboard as soon as Instant Settlement is available to you, so you can choose whether or not to enable it. Instant Settlement will be enabled for all new merchants by default, although we still reserve the right to accept or decline Instant Settlement for any merchant,” the company noted in a statement. It will be recalled that Flutterwave had in July partnered with Chinese-based global payment firm Alipay to offer digital payments between Africa and China. The company has also collaborated with Visa to launch GetBarter a consumer payment product for Africa. www.businessday.ng

CALEB OJEWALE

he African Alliance for e-Commerce (AAEC), a framework to promote national and regional single windows in compliance with recommendations of international institutions, is collaborating with Cameroon’s Single Window for Foreign Trade (GUCE) in organising the 7th edition of the Single Window Conference & Exhibition (SWC). The event scheduled for September 17th to 19th at the Yaounde Conference Center, will be the first edition in Cameroon, and is to be hosted under the patronage of Cameroon’s President, Paul Biya. Under the leadership of the AAEC and the GUCE, the event, organizers say will mainly aim at tackling topics like intra-African trade initiatives and challenges, trade facilitation instruments for landlocked countries or disruptive logistics and innovative start-ups. Representatives from more than twenty African countries are expected to participate in the conference, along with development partners and international organizations involved in trade facilitation including the World

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Bank, the African Union Commission, the African Development Bank, the World Bank, the World Trade Organization, the World Customs Organization, UNCTAD, and ECOWAS. According to Isidore Bayiha, AAEC president and chairman of the GUCE, “Integrating innovation into the supply chain must be a priority for us as trade leading stakeholders. We can no longer wait. Digital technologies are top priority to make Single Windows powerful tools at the service of our states, to contribute to the competitiveness of African economies and help intra-African trade take off.” The three-day event will be marked by the participation of prestigious local & international speakers from the UN, the World Bank, the African Union Commission, ECCAS, ECOWAS, Jumia, Alibaba who will discuss the African Continental Free Trade Area (AfCFTA), opportunities for single windows and e-commerce, major challenges of intra-african trade and how to boost it. The Second day of the event will focus on trade facilitation, @Businessdayng

opportunities and challenges of single windows implementation and initiatives to enhance the supply chain, specifically for landlocked countries in CEMAC. The latest member countries’ innovations will also be reviewed, with the participation of numerous African single window CEO’s (Benin, Burkina Faso, Côte d’Ivoire, Congo, Ghana, Kenya, Morocco, Mozambique, Senegal, & Tunisia), as well as the hinterland countries port logistics with the Autonomous Port of Douala and the Autonomous Port of Kribi. On the third and final day of the event, there will be a glimpse into the future of logistics on the continent. During a special event, four of the “Disruptive Logistics Challenge” start-up winners will pitch their projects in front of the audience. Application to join the challenge is open until August 25th on the SWC website. A tech talk about the e-Force (the single form for foreign trade procedures) will follow up, with highlights of how Cameroon is leading the way with different stakeholders of the field like SABC, CNCC, Bollore Africa Logistics and UCAM.

FINTECH News

Friday 23 August 2019

BUSINESS DAY

Products Review

In association with

Technology Review

Personality Review

Company Review

Nigerian Fintech and Vanity Metrics: Devil is in the details, veracity of claims Stories by FRANK ELEANYA

he world of technology business has mostly been built on numbers. The bigger the numbers are the more attractive startups are to investors. Most investors hardly look the way of ones with small or what they see as insignificant metrics, is the prevailing notion. So it has become common for companies all over the world to exaggerate their metrics about their performance. Generally, one of the cardinal rule an entrepreneur learns while creating a startup is the importance of key performance indicators (KPIs) that tells how the business is doing. A business metric is a quantifiable measure that is used to calculate the progress or performance of a goal from a given perspective. Vanity metrics, a type of business metrics employed by many companies - refers to performance numbers or hollow numbers that look nice on the surface but hold little substance in terms of the reality. In the Nigerian tech ecosystem this is employed in many ways like the number of merchants, downloads, raw pageviews, monthly active users or engagements, cost of getting new customers and revenues and profits. In a tweet on Monday, Victor Asemota, Africa Partner

at Alta Global Ventures and a tech columnist for the Guardian alluded to it: “I try hard in my articles not to quote figures about Africa because most of them are not empirical. They are at best estimates based on extrapolation. Extrapolating works when things follow a rule but it hasn’t been my African experience. People laugh when I say Nigeria isn’t 180 million (people).” The opposite of vanity metrics is actionable metrics - stats that tie to specific and repeatable tasks a company can improve and to the goals of the business. It is not just Nigerian tech companies, vanity metrics is largely how the legend of Silicon Valley in the United States was built. In their case, companies fudged numbers from

users, time spent to pictures uploaded among others. These numbers gave early startups a larger-than-life perception in investors estimation and went on to garner them billions of dollars along the way. The Nigerian e-commerce space which has largely underwhelmed many analysts expectations, was at some point awashed with boggus user adoption and transaction numbers. In a world where companies are expected to grow fast at all costs or face the alternative - imminent death - it could lead to the sacrifice of revenue and margins transparency. Nigerian fintech space which has held sway in the area of most of investments to tech companies in the country, are not left out. Many quote numbers to show

their growth. These companies are emboldened by the fact that there are no real requirements on what companies share or which metrics to use. Until Carbon - former Paylater - no fintech startup in Nigeria has had the boldness to make their audited financials public. Early this year, a fintech startup which secured millions of dollars in funding quoted support for 26 banks, 100,000 merchants, and 3 million customers. This is despite receiving a provisional license from the Central Bank to be a switch in April 2019. Interestingly, Paystack which is adjudged the industry leader has only 40,000 merchants. How this startup was able to ramp up 100,000 merchants in a shorter period remains a mystery.

“We do a disservice to entrepreneurs when we celebrate their potential before they’ve accomplished anything real,” tweeted Rebecca Enonchong, founder and CEO of AppsTech. “They start to believe they’ve made it and lose their edge. Vanity metrics vs. Business metrics. Let’s encourage potential but celebrate real business achievements.” Aside from fintech startups, the entire financial services sector have seen a fair share of vanity metrics. Diamond Bank before the merger have claimed to have about 11 million customers on Y’ello account platform with MTN, a number that obviously helped Access Bank to decide to put up $200 million to buy the beleaguered bank. But post-merger, according to a source, it was found out that just less than a million of the Y’ello customers had connected BVN and MTN was automatically registering users as soon as they dial *719# without express consent. “It doesn’t end with fintechs, Glo claims to have the second largest telco customer base of 46,594, 981 and yet industry traffic data consistently put them behind Airtel in airtime purchase and call density,” a top executive in the financial sector who wanted anonymity to speak freely, told BusinessDay. “In the light of the fact that many fintechs use these numbers to raise funds from investors, mostly outside

Nigeria, and as an industry expert and insider we know many of these stories are not true. There is a high chance that it would backfire on the entire industry and cast everyone as fraudulent.” It is almost a rule of thumb that when companies stay private for longer time or start raising funds they do not reveal everything. Often they choose numbers they believe best represents their business. In the process they overstate it, to look good. Twitter for instance admitted it overcounted its user numbers for three years in 2017. In Nigeria such admission would be unthinkable. However, experts say there needs to be an audit mechanism in the industry to support the veracity of vanity metrics by fintech startups in particular and the tech industry at large. In the absence of such mechanism, the ecosystem stands the risk of being labelled as fraudulent when some numbers are exposed. “An alternative may be fixed by CBN for Fintech, let the apex regulator develop a suite of metrics for which fintechs should measure themselves by. For example, what constitutes a merchant or a user? Who could count a transaction as for itself? Then CBN, just like NCC, should publish these numbers monthly; anyone who pushes a different number could be easily seen as fraud,” the executive said.

Luno partners ULES career expo to grow talents in tech space

uno, a global platform that enables users to buy and sell cryptocurrencies such as Bitcoin and Ethereum took its talent development drive to the Engineering faculty of the University of Lagos, Nigeria. The event tagged Engineering Career Expo ECX 4.0 organised by the University of Lagos Engineering Society (ULES) is a platform to em-

power undergraduates in Science, Technology, Engineering and Mathematics (STEM) line. “It is bringing together burning passion, skills and creative enthusiasm yearly,” a statement from the organisers noted. “It is creating smaller creative ingenious world with a solid backbone and a rock type foundation. The initiative of this clinic is to gain extra points by lever-

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aging on acquired skills to build better equipped graduates in a society where not only packaging but content, above all, sells.” Luno operates in over 40 countries across Europe, Southeast Asia and Africa has seen nearly 3 million people registered on its platform. Last year, the company told BusinessDay that it was embarking on a campaign to

grow the knowledge base in the Nigerian cryptocurrency market. Prior to now the company had invested enormous resources in educating its clients on the various aspects of the market. Importantly the company’s learning portal provides valuable informative materials for end-users ensuring they have all the knowledge they need to make informed

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decisions and also protect their investments. Luno has also carried out Webinars, Meetups and cryptocurrency events to bridge the learning gap both in Nigeria and across Africa, Europe and Southeast Asia. “The only way to address the talent scarcity in the tech ecosystem, especially in fintech where we play, is to invest in young people and

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that’s why we are excited with this partnership with ULES,” said Chinedu Obidiegwu, community and marketing lead at Luno Nigeria. “At Luno, we have realised that it takes a special kind of mentality to take on the challenge of upgrading the entire planet to a better financial system. We call this our Moontality values and we put it at the heart of everything we do.”

Friday 23 August 2019

BUSINESS DAY

COMPANIES & MARKETS

COMPANY NEWS ANALYSIS INSIGHT

MINISTERIAL SPECIAL

Investment, Trade & Industry: Building investors’ confidence MICHAEL ANI

fter four months of waiting, the investing public can finally put a face and a name to the person who would be in charge of negotiating investment and trade deals on behalf of the country. That is after Nigeria’s president Muhammadu Buhari, unveiled Otunba Adeniyi Adebayo to head the Minister for Industry, Trade and Investment for a four year, an office previously held by Okechukwu Enelamah. The 76-year old president also assigned 43 others, to head other agencies in the country. However, like other critical agencies such as the Finance Ministry, the ministry for Industry, trade and investment is an agency that is very critical at a time when Africa’s largest economy is in need of foreign investments to create jobs, reduce poverty, close income inequality gaps and achieve inclusive growth in an economy still healing from a recession that occurred in 2016. Investors’ confidence came cold after an acute dollar shortage that happened from the fallout of the recession, intensify capital out flows and made investors fly to other markets for safety. Since that time, foreign investments into the country started to fall, touching its lowest levels in 2018, according to data tracked

by the United Nations Conference for Trade and Development (UNCTAD) dropped. As if that was not enough, a metrics with which foreign investors use as a gauge in making investment decision, known as the World Bank ease of doing business appeared not to be encouraging. In the report, the Washington based lender ranked Nigeria almost below the ladder at the 146th spot out of 189 countries. The lender in the report expressed investors’ worries over several bottlenecks that have been hurting the growth of businesses in the country ranging from registration of property, sticking to contracts, and electricity among others. “If the new ministers can at least show prowess in addressing many of these bottle necks, the country will definitely be at the forefront in attracting investments,” Muda Yusuf, Director General, of Lagos Chamber of Commerce, said on phone. Nigeria is Africa’s largest and most populous nation with a gross domestic product that is almost 10 times as much as Ghana, its West African neighbour. It is expected that with its growing population alongside its vast economic minerals and land mass, investments should be at its beck and call. However, that has failed to be the case. In 2018, Ghana for the first time overtook Nigeria,

Adeniyi Adebayo

to attract the largest investment deals in West Africa, UNCTAD reported. Data from the National Bureau of Statistics show that investment into the country dropped 53.5 percent in 2015 to $9.8 billion from $20.7 billion in 2014. At the thick of the recession in 2016, the figure reached its lowest levels at $5.1 billion not until the country exited recession in 2017, that investors started building up interest into investing in the country. In 2017, foreign investment picked up at $12 billion and went further to $17 billion in 2018. “Nigeria is faced with liquidity challenge and unless the government rolls out far-reaching policies

that would attract investments, the country would remain cash-strapped and not generate the needed revenue to achieve inclusive growth,” Ayo Terriba, CEO of Economic associates said. Adebayo is a 61-year old Nigerian politician and traditional aristocrat. He was a former governor of Ekiti State and a son to the late military governor of the defunct western region, Maj. Gen, Adeyinka Adebayo (retd). He has extensive experience in a wide range of disputes, legal and advisory work. His more notable achievements have been in the areas of project finance, oil and gas, contract procurement and business

facilitation. He is a member of Nigerian Bar Association (NBA) and the International Bar Association (IBA) Industry experts who spoke to BusinessDay outlined sseveral bottlenecks limiting growth of investments and expects that given Niyi’s vast experience in contracts and legal disputes, he would resolve several of such investment constraint. Registering Properties Investors willing to invest in Africa’s most populous country have expressed concerns over the stringent procedures, cost and time it takes to acquire properties in the country. The World Bank raised red flag in its report scoring Nigeria as low as 28.89 percent in registering property. The bank also rated Nigeria low in terms of the cost, quality and the timing of getting ones property registered. Electricity The epileptic electricity supply witnessed in the country was named among some of the bottlenecks that are making investors look to other markets. In 2017 alone, manufacturing companies in Nigeria spent as much as N117.38 billion in fuelling their plants to run daily operations, according to data from the Manufacturers Association of Nigeria (MAN). These have made many of them shut down operations or produce below capacity. Nigeria had a score of 42.6, below the threshold in terms of companies

getting access to constant power. “Nigeria needs to fix the problem of electricity if at all it wants to make head way in attracting investments,” Muda Yusuf, director general, Lagos Chamber of Commerce and Industry, told BusinessDay. Multiple exchange rates Since 2016, Nigeria has held on to a multiple exchange rate system where the investors of get dollars at a weaker rate and the CBN official window where mainly selected importers including marketers of petrol products gets the dollar traded at a stronger values. The move then according to the Central bank was aimed cushioning the effect of a dollar shortage as foreign investors dump the naira to flee to other markets. Even though the situation appears to have eased, the country has taken stance in defending the Naira by keeping multiple windows. The CBN however claims that the country has a single exchange rate which is The International Monetary Fund in its article IV, released earlier this year, urged Nigeria to scrap its multiple exchange rates, remove fuel subsidies and review electricity tariff. According to the IMF, the aforementioned are some of the many hurting investors from the international community from pumping in huge investment into Nigeria.

Oil & Gas: The ijaw man tasked with sailing ailing sector DIPO OLADEHINDE

he appointment of former Bayelsa State Governor Timipre Sylva as Minister of State for Petroleum Resources, replacing Emmanuel Kachikwu, could make or mar the economy. Oil accounts for about 70 per cent of Nigeria’ revenue, but the Organization of Petroleum Exporting Countries (OPEC) member has been hit hard by a prolonged drop in crude prices that have caused the deepest crisis in Africa’s biggest economy for more than a decade. Amid a series of changes, Buhari has himself retained responsibility for the full portfolio, despite the oil sector of the economy shrinking by -2.40 percent in Q1 2019

compared with -1.62 percent recorded in Q4 2018. Adeola Adenikinju, gas policy analyst for the World Bank and Professor of Economics at University of Ibadan said it’s very important the new minister of petroleum strikes a good relationship with the president and enjoy the confidence of president in order to succeed. “It’s one thing to have a technocrat who knows how to move the industry forward it’s another thing to enjoy the confidence of the president.” “He was former governor, so he knows what it means to exercise executive authority. rather than start from scratch, he just needs to have an assessment on what was on ground and prioritize which is important, most especially the Petroleum Industry Bill (PIB)

which would have a huge impact on investments and profitability,” Adenikinju told BusinessDay. Adeola Adenikinju who is also a member of the Monetary Policy Committee of the Central Bank of Nigeria (CBN) said the new petroleum minister needs to look at the oil and gas sector beyond just generating revenue but rather see it as value addition to other sectors of the economy. “He needs to work with the economy team to ensure the sector is more integrated, revive the economy and contributes to the welfare of the economy including the Niger delta where he comes,” Adenikinju said. An oil and gas consultant who chooses to remain anonymous said the new petroleum minister is not going to do anything unique or

spectacular just like his tenure as governor of Bayelsa. “This is a clear sign of increased corruption because once we have a situation where a minister of petroleum has baggages of corruption cases, then there is nothing to cheer.” “We can kiss every reform in the sector goodbye,” oil and gas consultant told BusinessDay. Sylva, who was the governor of Bayelsa State under the platform of the People Democratic Party (PDP), defected to the All Progress Congress in 2014. And in 2017, the Economic Financial Crimes Commission (EFCC) returned the 48 houses earlier seized from him. OPEC’s Secretary-General Mohammad Barkindo said Timipre Sylva will bring his rich experience to bear on his new and heavy responsibilities.

“OPEC looks forward to working with him to advance the implementation of the historic Declaration of Cooperation and Charter of Cooperation,” Barkindo said after president Buhari’s announcement. Under the watch of Ibe Kachikwu, the oil and gas sector recorded relative improvement in the overall business environment, robust relations with international community’s while he also succeeded in getting the Senate to pass the Petroleum Industry Governance Bill (PIGB) after more than 17 years among others, however, there are still more challenges. Also, topical issues such as organizing transparent oil licensing bid rounds, removing fuel subsidy, deregulating the downstream sector and liberalizing gas prices are some of

the most urgent tasks awaiting Timipre Sylva. Experts also said the new petroleum minister must boldly reform the downstream sector and abolish wasteful fuel subsidies. The Federal Government spent N7.9 trillion importing petrol to augment supply from the country’s rickety refineries, data from the National Bureau of Statistics (NBS) show. Born in 1964 to an old trading family in Okpoma, at the exact site of the proposed Brass liquefied natural gas terminal, Sylva entered politics at the age of 27, winning the Brass seat in the local State Assembly. He set up his first marine support company serving the upstream sector in 1994.

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Editor: LOLADE AKINMURELE (lolade.akinmurele@businessdayonline.com) Graphics: Samuel Iduh

Friday 23 August 2019

BUSINESS DAY

COMPANIES&MARKETS

Business Event

Works and Housing: More action, less rhetorics CHUKA UROKO

takeholders in the housing sector of the Nigerian economy have hailed the return of Babatunde Fashola as minister of works and housing following President Muhammadu Buhari’s inauguration of his cabinet Wednesday in Abuja, the federal capital. Fashola who was a superminister in Buhari’s first term in office was in-charge of three major ministries rolled into one as ministry of Power, Works and Housing. But his activities in the four years of Buhari’s first outing did not make any significant impact, especially in the housing sector. “We did not see any traction in his first four years in terms of policies that impacted the housing sector. All we heard were only announcements. I am particularly not optimistic that the next four years will be better, but the element of continuity may help,” said Damola Akindolire, managing director, Alpha Mead Development Company (AMDC) in a telephone interview on Wednesday.

Fashola, he noted, demonstrated capacity judging from his antecedent as Lagos State governor where he proved his understanding of the housing problems with the Lagos Home Ownership Mortgage Scheme (LagosHOMS). “We expect him to replicate that at the federal level. We also expect that with the ministry of power now taken away from him, thus reducing his burden, he should focus more on housing this time around,”Akindolire stated. In both housing and works, the federal government initiated quite a number of projects that could not be completed before Buhari’s first term ended. Adele Adediji, President, International Real Estate Federation (FIABCI), Nigerian Chapter, says Fashola’s second coming should be used for execution and completion of those projects. Adeniji believes that the housing sector under Fashola will do well if the private sector is allowed to provide houses for the Nigerians while the government provides the enabling environment by building infrastructure and

also regulating the housing development process. He also wants the federal government to do something on interest rate on loans so that there would be liquidity in the financial system to enable housing developers to do their job. MKO Abiola, CEO, Global PFI, does not believe that Fashola had issues managing three ministries in his first term, noting that he created structures in each ministry that would have enabled him to succeed if the environment were right. He however shares the view that not much was done in his first term, advising that all the minister’s initiatives like the Federal Integrated Staff Housing (FISH) programme should be continued and seen to logical conclusion. He hailed Buhari’s decision to return the ministers to their former ministries so that those of them that had initiated programmes should complete them while those that did not have at all should start thinking of what to do. “This is not the time for ministers to start learning the ropes,” he posited.

Power: What to expect, as new minister takes over OLUSOLA BELLO

takeholders in the power sector are not sure what to make of the new minister of Power, Sale Mamman. To them, the new minister may take some time learning the ropes and this could slow the workings of the industry. They cautioned that if he comes to the industry with a mindset of wanting to change some of the things that have been put in place by his predecessor, he will discover that he may not achieve anything. Ayodeji Dada, President, Association of Energy Engineers, Nigeria Chapter said we need to wait for his policy statement before we know where he is heading to. If he comes with a mindset of bring-

ing his own team that would work with him and not want to continue with the process he meets on the ground it means that the industry would be in serious trouble. “But like i said essentially, the industry needs to listen to him to know his policy direction before it would be able to say whether he would be able handle the sector well not.” He said if he is a good team player and listener, he may not have issues as industry operators would like to guide him through some knotty issues in the industry. Another industry operator, Kola Olabayo stated that whoever is given the mandate as the minister of power has a lot of work to do. He said there are institutions that are driven by the system on the ground

already and what is required of him is to provide the desired leadership in the industry. He said all the agencies under the ministry already have their mandates and they should be provided with good leadership to function. He needs to make himself available to the dynamics of the industry. “We expect him to hit the ground running, as there institutional, regulatory and legal frameworks to be reviewed for the benefits of the industry and Nigerians”, he said. Over six industry operators contacted by BusinessDay to find out what they know about the new minister said what they only know about him is that he an engineer and has some interest in agriculture.

Markets: What to expect from Malami 2.0 OLUFIKAYO OWOEYE

ollowing the reappointment of Abubakar Malami as the Attorney-General of the Federation (AGF) by President Muhammadu Buhari on Wednesday, experts in the nation’s financial markets have called on big companies operating in the country to brace up. Ifeanyi Onyeka, a Lagosbased stockbroker said the reappointment of Malami does not send a good signal to the business community considering his baggage and reputation for disobeying court orders vis-à-vis threatening blue chip companies with sanctions.

“I do not expect anything different from what he has been doing in the last four years,” he said. “However, I expect him to come out with far-reaching reforms in the judiciary, and prison reforms.” According to Onyeka, he expects Malami to file an appeal in respect of a recent judgment ordering the seizure of Nigerian assets worth $9 billion. “If you continue to send warning letters to some of these companies, you are sending a wrong signal to international investors,” he added. Notable among high profile cases handled by the AGF in the last four years include the $2 billion MTN tax case against which is currently ongoing at a

Federal High Court in Lagos. The telecoms giant said the tax payment demand is without merit, as it does not owe the money and the Attorney General exceeded his powers in making such request. Malami had written letters to some blue-chip companies in which he demanded the repayment of billions of naira, purportedly due to the Federal Government as tax arrears. In the last four years, Malami has disobeyed several court orders prominent among is the failure of the government to release the former, National Security Adviser (NSA), Sambo Dasuki, despite court orders for his release. Continue online @www. businessday.ng

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L-R: Joshua Fitt, research assistant, Asia- Pacific Security; Pattison Boleigha, president, Compliance Institute Nigeria; Peter Harrell, Adjunct senior Fellow Energy, Economics and Security; Abimbola Adeseyoju, chairman, partnership and communications committee, Compliance Institute Nigeria; John Hughes, vice president, Albright Stonebridge Group, and Austin Brush, analyst C4ADS, at the CIN – CNAS One day Workshop on North Korea Sanction and Cowter Proliferation Compliance in Lagos. Pic by Olawale Amoo

L-R: Steve Obiago, group head, information technology, Chicason Group; Mopelola Balogun, senior manager, enterprise value sales, MTN Nigeria, and Alexander Ibehre, senior manager, sales enablement, MTN Nigeria, at the International Data Corporation (IDC) Cloud Roadshow on Tuesday, 20th August 2019, sponsored by MTN Nigeria to encourage cloud service amongst businesses in Nigeria.

L-R: Jibrin Egwa Na’gambo, senior special assistant to the Nasarawa State Government on NGOs; Jacquelyne Yawa, head of Agribusiness, Guinness Nigeria; Samuel Akala, chairman, Karu LGA, Nasarawa State; Chizoma Opara, assistant director/acting coordinator, Clean Nigeria: Use the Toilet Campaign, Federal Ministry of Water Resources, and Udochuckwu Egwim, representative of the South Saharan Social Development Organization, at the commissioning of the DIAGEO Water of Life Facility in Angwan Albarka Community, Nasarawa State.

L-R: Tope Shonubi, executive director, Sahara Group, during a courtesy call on Salva Kiir Mayardit, president of South Sudan, to discuss the energy conglomerate’s contribution to the growth and development of South Sudan’s Oil and Power sectors...in Juba, South Sudan

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Friday 23 August 2019

BUSINESS DAY

AGRIBUSINESSINSIGHT Market Insights

Analysis

Commentaries

Experts/Industry Views

Commodities watch

Policy Reviews

Send in Commentaries to caleb.ojewale@businessdayonline.com

Takeaways from BusinessDay Agribusiness & Food Security Summit:

Edo State is ready to invite investors in agriculture – Obaseki Stories by CALEB OJEWALE Twiiter: @calebtinolu

do state is ready to invite investors who are interested in some of the focus commodities of the state, having mapped out swathes of land, and a data collection and retrieval system that will make entry into the state seamless. In an exclusive interview conductedlastyearattheBusinessDay Agribusiness and Food Security Summit, Godwin Obaseki, Governor of Edo state hinted his administration was developing a master plan for agricultural development, focusing on high value crops like oil palm, rubber, and cocoa to an extent, then Cassava in terms of tubers, for grains; soybeans, then fruits, and legumes. In a follow-up interview this year at the BusinessDay Agribusiness and Food Security where he was again, keynote speaker, Governor Obaseki was asked for an update on how far the state had gone in making the master plan a reality. “We have done a lot of work and completed forest studies so we now

know the expanse of land available for cultivation,” said Obaseki. “We have now surveyed and the next phase is to invite prospective investors to discuss terms under which they will now participate.” According to him, the government did not want to preempt the expectations of investors by going ahead to build infrastructure.

Postharvest losses make food security hard to achieve

ost harvest loss is not a new concept in Nigeria. It is responsible for wiping out as much as half of harvests for some crops, particularly perishable crops such as tomatoes, vegetables, and fruits. Some of these losses occur on the farm, during harvest, gathering, and others occur while the commodities are in transit, during offloading (due to poor handling), and in varying degrees in the entire process from farm to fork. It does not end at just perishables, but even commodities such as grains. Post-harvest losses (in Nigeria) have been estimated to range between 5 and 20 per cent for grains; 20 per cent for fish and as high as between 50 and 60 per cent for tubers, fruits and vegetables. Post harvest loss is not just a crop thing, it affects even dairy where if one milks a cow and it is not properly preserved within three hours, it will go completely bad. “Tomato planted in Kano is coming to Lagos on petrol tankers,” noted Rotimi Fashola, head of Projects at Elephant Group plc, while contributing during a panel discussion on “Optimising Value by Eliminating Post-Harvest Losses”,during this year’s BusinessDay Agribusiness and Food Security Summit. As he explained, improper transportation such as the type adopted for moving tomatoes is part of the little things that contribute to post harvest losses. If crops are not properly handled they will surely perish. As researchers have noted, increased food production is not the final solution to food security.

It has to be complemented by good harvest and post harvest practices to reduce the amount of food loss. A 50 per cent reduction in post harvest food loss in Nigeria will also reduce the need for food importation. Post Harvest losses as noted in a research paper by Bolarin, F.M. and Bosa, S.O cause both qualitative and quantitative losses. Qualitative losses included loss in edibility, nutritional quality calorie value, and consumer acceptability of the products. Quantitative losses are loss in quantity due to insect attack, rodents and microorganisms. Therefore, post-harvest food losses are one of the greatest threats facing food security in Nigeria today, and so all efforts must be geared toward reduction of post harvest food losses from field to the consumers. To achieve this, the experts recommend that farmers, government non-governmental organizations, extension officers, research institutes etc work together in achieving the best from every food produce. Jamie Rixton, chief agronomist, Ellah Lakes Plc, posed a question during the BusinessDay summit, that when everyone goes into primary production, “who provides ancillary services to support the production, and in doing so, help to curb post harvest losses.” Invariably, there is a need for conscious efforts to have potential investors in the agric sector, explore other areas of the value chain, particularly those in which they will be able to help primary producers minimise post harvest losses. www.businessday.ng

Part of the conversations he says the government will be having with them is what they require to set up their facilities and how to extend infrastructure to the different locations they want to set up production facilities, so as to reduce their cost of entry. Data is a big deal in order for potential investors to make informed decisions on where exactly they should be deploying funds, hence, the need for a sort of one stop shop for access to information. Obaseki told BusinessDay that the state’s Ease of Doing Business office has a ‘business bureau’ that

serves as a repository for all issues related to investment in Edo state. For instance, when a potential investor requires data relating to Geographic Information System (GIS), or more specifically aerial maps or finding coordinates of locations, from the business bureau, such a person can be linked to the GIS office where the required data is then provided. “In terms of data required for planning purposes in the communities they want to operate in, we are building all of that,” said Obaseki. “We hope that before we go for any transaction (with investors), we would have what you call a data

warehouse, where people can review information.” The Governor, who is currently seeking a second term, also got to discuss the state of agriculture under his administration in the last four years, and according to him, there has been significant progress. “We have been honest with ourselves in admitting government does not have the internal capacity to implement the required things (solely), and we have been looking for partners, and partnering with companies and firms who have the technical capacity,” he said. Obaseki using fertilizer as an example explained that Edo state had an abandoned fertilizer plant, but realised under the Federal Government’s fertilizer programme that there was no need trying to do it by itself. Consequently, the state collaborated with WACOT and today, the fertiliser blending plant is working at full capacity, according to him. Also, in the area of building farms, the state created the agripreneur programme where it has partnered with NIRSAL and the CBN to provide funding and management support to bring in young farmers and develop farms. “I believe with what we’ve done so far with the more than 5,000 young men and women who are involved in our various projects, so far so good, our initiatives have been quite resounding,” said Obaseki.

Nestlé partners IITA to provide Youth Agripreneurs with access to opportunities

hrough the ‘Nestlé Needs Youth’ initiative, Nestlé Nigeria in partnership with the International Institute of Tropical Agriculture (IITA) is charting a course to support young agripreneurs in identifying viable opportunities in the agriculture value chain. Celebrating with some young Agripreneurs at the 2019 International Youth Day at the IITA Conference Centre in Ibadan recently, the event hosted over 90 National Youth Service Coppers, aspiring Agripreneurs and budding farmers at the IITA Centre. The

program featured knowledge sharing on opportunities that exist within the food and agriculture value chain. Nestlé Needs Youth according to a statement by the company is one of the ways Nestlé mitigates the scourge of youth unemployment in the society. The initiative is focused on several programmes and campaigns to boost entrepreneurship and employability among the youth through career fairs and skills training to equip young people to find decent employment or profitable entrepreneurship. Sola Akinyosoye, country human resources manager at Nestlé Nigeria,

L-R: Tobi Ogunpehin, corporate communications specialist, Nestlé Nigeria; Victoria Ayeni, aftersales aflasafe & nodumax, IITA; Fredrick Schreurs, CEO, Business Incubation Platform, IITA; Adetola Rhodes, senior HR business partner, Nestlé Nigeria; Sola Akinyosoye, country human resources manager Nestlé Nigeria; Adetola Adenmosun, communication officer, IITA.

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stated that celebrating the 2019 International Youth Day is an opportunity to draw the attention of youths to available opportunities in agriculture. Through the ‘Nestlé Needs Youth’ initiative, there is a focus on the creation of job opportunities and empowerment for the youth. “We do this around three pillars; one of them is employment and employability. We ensure that we train, equip and give support for young Nigerians so they can be selfemployed and get employment with us or other companies,” Akinyosoye said. Also speaking at the event Fredrick Schreurs, the chief executive officer, Business Incubation Platform, IITA, said that youth engagement would pave the way for sustainable growth in the agriculture sector. According to him, technology coming from IITA is taken and disseminated to the markets and through this, create jobs for youth Agripreneurs. IITA, he said, is a non-profit institution that generates agricultural innovations to meet Africa’s most pressing challenges of hunger, malnutrition, poverty, and natural resource degradation. Working with various partners across sub-Saharan Africa, they improve livelihoods, enhance food and nutrition security, increase employment, and preserve natural resource integrity.

Friday 23 August 2019

BUSINESS DAY

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Friday 23 August 2019

BUSINESS DAY

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Friday 23 August 2019

BUSINESS DAY

HEALTH BUSINESS&LIFE How poor medical research funding undermines Nigeria’s healthcare systems

ANTHONIA OBOKOH

igeria’s healthcare systems have continued to deteriorate and this is owing to the country’s inability to effectively and efficiently fund medical research. Research in Nigeria is donor driven and the fund is at 0.08 per cent as against the two per cent recommended by the World Health Organisation. Experts say there is need for the Nigerian government to invest more in various medical research institutes across the country to drive development in the healthcare space and most importantly, work towards turning research findings into actual strategies that can improve the sector. They also say Nigeria has a lot to learn from other countries benchmark to resuscitate the staggering Medical Research Institutes that threats the country ambition

in putting its 200 million people to lose out of advanced medical researches, technologies and cost effective healthcare. “Each country needs to fund research for scientist or research-

ers to conduct research using their own population because of peculiarities. Until we realise this, our health sector will not improve,” Babatunde Salako director-general of Nigerian institute of medical

Akwa Ibom partners US to combat HIV/AIDS, others ANIEFIOK UDONQUAK, Uyo

kwa Ibom government has pledged to partner with the United States in the fight against the spread of HIV/AIDS and other diseases in the state. Governor Udom Emmanuel gave the pledge when he received the US ambassador to Nigeria, Stuart Symington in his office in Uyo, the state capital. Akwa Ibom is reported to be ranked among the states with the highest prevalence rate of HIV/ AIDS in the country, tough the ranking is disputed by the state government. Currently, a top official of the state agency on the prevention of the disease is facing charges for alleged corruption and embezzlement of funds meant for HIV/AIDS programme. Over N30 million is believed to have been misappropriated in the campaign against the disease in the state. The governor who also expressed his administration’s readiness to partner the United States in healthcare and other developments efforts aimed at making life meaningful to humanity said his administration has invested so

much to transform the healthcare delivery system in the state adding that no purpose driven government can talk about human capital development without a functional health care system. He thanked the US and its development agencies for their vision to partner the state in the fight against HIV/AIDS and other infectious diseases, promising to ensure that the state, and neigbouring communities who interface with the state in commercial activities, actively participate in the drive. “As a border state in the coastal region, there is an influx of people from other states and countries to transact in various opportunities, like fishing and other ventures, so we will partner with the US Government to meet this target you have set.” He stated the need for accountability, accuracy and transparency in the records and expenditure of funds allotted for the programme, promising to set an effective machinery to ensure a success of the programme. He also urged the United States Agency for International Development (USAID) to collaborate with health personnel in the state and expressed the hope that with the health care facilities on ground, Akwa Ibom best suits the pilot scheme and thanked the United

States for the choice of the state for the program. He expressed dismay at the report that over 30 billion dollars had been spent in the fight against the HIV/AIDS programme in the state recently without any verifiable records, nor input from the relevant agencies in the state. “I would like to be shown the hospital where such facilities where donated, or the equipment that where procured, because no one has shown me any such intervention”, he added. In his remarks, Symington said the visit which is his last as the US ambassador to Nigeria was to intimate the government and people of the state of the United States contributions to stem the HIV/ AIDS pandemic and to provide necessary assistance to those who are infected through the provision of drugs, equipment and personnel to help humanity. “All the amenities, the good roads, the new industries and the schools I have seen, will not be appreciated if the people are not healthy to make use of them.” He sued for collaboration to stem the tide of the HIV/AIDS and other infectious diseases, pledging his government’s readiness to partner the state in Education, Healthcare, Agriculture and Commerce.

JNC International commits to reduce Nigeria’s medical tourism ANTHONIA OBOKOH

NC International Limited, Nigeria’s leading Medical Equipment suppliers and exclusive distributor in Nigeria for Elekta and over fifteen other top global medical equipment manufacturing brands is committed to providing worldclass ultra-modern equipment for healthcare facilities. The company has earned its reputation by delivering equipment like the renowned Elekta Synergy Platform 160 MLC (VMAT) Linear Accelerator for the treatment of cancer, which was recently launched by the Vice president at the National Hospital Abuja, launch

of the third Enoch & Folu Intensive Care Unit at the RCCG Redeemer’s Health Centre among others. “Nigeria is blessed to have one of the best Radiotherapy machines for the treatment of cancer in the world, and that it would greatly reduce medical tourism thereby growing our economy,” Clare Omatseye, the managing director of JNC International Limited stated at the radiotherapy machine launch. For decades Nigerians have sought succour from cancer and other life threatening ailments outside the shores of the country. This trend is a result of inadequate facilities and expertise in the treatment of www.businessday.ng

these prevalent disease conditions. In 2016 it was recorded that Nigerians spend one billion dollars annually on medical tourism and three years on, these numbers have continued to plummet. Patients are seldom able to access adequate and quality healthcare in Nigeria because our hospitals are under equipped or outdated. The old machines require a lot of time to treat patients leading to bottlenecks and congestion in wards. However, in order to reduce the numbers of Nigerians who spend a fortune on medical tourism and increase access to quality healthcare we see some individuals and corporate bodies trying to bridge this gap.

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research said. “If we do not fund research in Nigeria, we cannot expect innovations and significant development, that is what other advanced countries has done, they invest a lot in research and ask questions,” he said. According to Salako, certain factors that have contributed to the decline of research from late 1988 till date include, lack of skills in modern methods, lack of equipment for carrying out state-of-the earth research, poor infrastructure, poor funding, poor network of collaboration and partners and low capacity for craftsmanship for quality and quantity research work. Research plays a major role in all sectors and there is a need for the health sector in Nigeria to tap into it for easier findings or studies of health pathogens, diagnosis, and treatment, and if possible cure to tackle challenges of public health emergencies and to enhance county’s preparedness and response to epidemics through prevention, detection and control among others. Experts say strengthening the capacity of researches in Nigeria, there should be increased funding on the part of government, trainings in new technologies, acquiring new skills, and extensive collaboration. Sunday Omilabu, vice chairman, 54gene Advisory Committee, said research is designed and implemented in ways that generate knowledge, validity and integrity to improve health and well-being. “Nigeria does not have data, this era is data economy and we do not have the facility. If we understand this, we can begin to target solutions and interventions that increase access to accurate and quality healthcare,” Omilabu said. Similarly, Olubunmi Magbag-

beola, Professor of Biochemistry - University of Lagos, Nigeria. College of Medicine said that research is the greatest engine for national development, through which a developing nation and poor nation can attain economic prosperity, social engineering, patent and innovations, drug discovery, job creation, human longevity and health system impact. “The findings and outputs of research, as much as, applicable, should drive the emergence of sustainable and implementable policies and effective utilisation to change the society and life of the people for the better.” she said. Reflecting on what Nigeria can draw on considerable practical lessons from other countries’ reforms in managing the medical research institute with positive equity outcomes, Kenya Medical Research Institute (KEMRI) model is a point way for the Nigerians government on budgetary disbursement. The Kenyan Government recently made it constitutional to appropriate two percent of its national budget to research and the institute helps to disburse funds to research that addresses public health concerns in Kenya. KEMRI has six constitutional mandates, which are: To carry out research in human health; to cooperate with other research organisations and institutions of higher learning on matters of relevant research and training; to liaise with other relevant bodies within and outside Kenya carrying out research and related activities; To disseminate and translate research findings for evidencebased policy formulation and implementation; to cooperate with the Ministry of Health, the National Commission for Science and Technology.

70% drugs in Nigeria imported- PSN SIKIRAT SHEHU, Ilorin

he Pharmaceutical Society of Nigeria (PSN), says that 70 percent of drugs in Nigeria are produced and imported from other countries. Sam Ohuabunwa, the National President of the PSN stated this on Wednesday, during a press briefing organised by the Kwara Chapter of PSN in Ilorin, the Kwara State capital. Ohuabunwa says that it is unacceptable that the country is still dependent in importation of drugs, adding that plans are underway to ensure that Nigeria boosts its locally made drugs in the country. He noted that Nigeria depends significantly on imported drugs to take care of the health needs of its over 190 million people. The PSN National President stated that its workplan will ensures that the pharmaceutical industry in Nigeria is encouraged through policy and political will to produce adequate, quality and affordable drugs locally for the health needs of the Nigeria. He added that local production now is estimated to be around 35 percent which he said, does not @Businessdayng

reflect the skills and capacity of local industries. The President said there is need for government intervention in several areas to boost the capacity of local pharmaceutical companies, adding that so much importation of drugs is not good for the country. He urged the Federal Government to ensure that the Pharmacists as custodian of drugs, are centrally and giving their rightful place in drug administration in Nigeria healthcare facilities. “You cannot have board meetings in health facilities and the pharmacists who controls drugs are absent, “ he observes . According to him, the government must ensure the pharmacists are the fulcrum in the Primary Health Care (PHC), because the PSN has observed that drugs are used at that level without scrutiny from the pharmacists. Ohuabunwa also urged the FG to implement the pharmacy laws, while urging people to always get their drugs from pharmacists to avoid getting fake drugs. He said that even patent medicine vendors who are licensed go beyond selling drugs that are not allowed.

Friday 23 August 2019

BUSINESS DAY

HEALTH BUSINESS&LIFE THE TRAVEL CLINIC

Executive Travel Health: Tips for women traveller

Dr Ade Alakija Medical director, Q-life Family Clinic & Member: Nigerian Society of Travel Medicine (NSTM)

ontrary to popular opinion, world travel and exploration have never been the sole prerogative of men. There have been some well-known intrepid women travellers who have travelled to the far corners of the earth. How they overcame the social, moral and religious objections to their gender is left to the modern woman to imagine but some of these objections still exist today at various levels in different countries. Women travellers have their own peculiarities due to the age-old problem of physiology which includes menstruation, contraception, pregnancy, breastfeeding, traveling with children and ‘personal safety’ are all

too present. Apart from all necessary basic steps a traveller must take before travel, a woman must seek travel advice on, menstruation, personal hygiene, fluid retention, contraception, pregnancy, traveling with children, personal safety and security. If you are going to a country where medical facilities are poor or not easily accessible, it is advisable to have a gynecological check-up at least 6 weeks before departure. If you have had a previous gynecological problem, you should have a clear understanding of the problem and carry a written note of the problem. Pregnant women and breastfeeding women are in an altered state of health that requires practical consideration prior to travel. If possible delay your trip or plan carefully. Emotional upset, exhaustion and travelling through different time zones can all contribute to an upset in the menstrual pattern. Irregular menstruation is a very common problem affecting women travellers. Excessive exercise and the stress of travel may cause infrequent periods. If this is the case, it may lead to confusion over the timing of oral contraception and great anxiety of unplanned pregnancy. Dysmenorrhea (Painful menstruation) may also be aggravated by travel. Ask your doctor about oral contracep-

659,644 children get vitamin A supplement in Edo IDRIS UMAR MOMOH & CHURCHILL OKORO, BENIN

do State ministry of Health on Wednesday, 21st August, said a total of 659, 644 children between the ages of six and 59 months were administered with Vitamin A supplements in 2018. Felicia Omokaro, the State Health Educator who made the disclosure during one-day sensitization training with the media on Maternal Newborn and Child Health (MNCH) in Benin. “The figure represented 81percent of the targeted 797,533 of eligible children in the state.” Omokaro, who expressed the state government commitment towards sustaining awareness, reducing Maternal and Childhood morbidity and mortality in the state, urged mothers to always access healthcare facilities in the state for immunization. She also disclosed that a total of 536,793 children of between 12 and 59 months representing 76 percent of the targeted children of 708,918 received Albendazole tablets while 207,939 children of between 6 and 59months were screened for malnutrition. The state health educator said the Vitamin A supplements were administered to the children in 581 healthcare facilities and outreaches in the period under review. She further explained that 2520 personnel were recruited and trained for Vitamin A Supplements and Deworming in the 18 local government areas (LGAs) in the State. Feliciasaidtheadministrationofthe vitamin A Supplements and deworming with Albendazole was carried out in

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health facility centres, outreach centres at schools, markets, churches, special events, camps among others located in the communities. She noted that the supplement was meant to improve nutrition and health status in under-five contribute and strengthen health immunity in under-five against disease transmission in communities and contribute to maximum sero-conversion of Antigens in under-fives to boost health immunity in the state. According to Felicia the 2019 Maternal, Newborn and Child Health Week scheduled for August 28 and to last for September 1, 2019 was to focus on ante-natal care for pregnant women, growth monitoring and immunization for under five children. “The preparation for the 2019 Maternal, Newborn and Child Health Week scheduled for August 28 to September 1, 2019 exercise focuses on ante-natal care for pregnant women, growth monitoring and immunization for under five children. “The exercise include Vitamin A supplementation and deworming, and family planning counseling for nursing mothers”, she said. She however, enjoined mothers to adopt six months exclusive breastfeeding and ensure that pregnant women and children under five-year-old sleep inside long lasting insecticide treated nets every night. She also, urged guardians and caregivers to utilize the advantage of the services offered during the Maternal, Newborn and Child Health (MNCH) week by visiting any of the public hospital or primary health post nearest to their houses.

tion which may be used to suppress menstruation if the need arises. This is achieved by taking the pill continuously without the usual seven day break. It is advisable to take extra packs and note that Biphasic and triphasic pills do not work. Personal hygiene is important. Though Tampons and Sanitary towels are becoming more common in developing countries, they are still scarce luxuries in some places. Cultural and religious attitudes exist in some countries towards menstruation. Women may be forbidden to enter places of worship and even to touch or walk near food during their periods. To avoid such situations, discreet use of and disposal of sanitary towels and tampons is advisable. During prolonged journeys on buses, trains and planes, the female bladder can be under considerable stress due to lack of or infrequency of ‘comfort stops’. In an inhospitable environment if you must squat over a hole in the floor or behind a bush, squat high to avoid bites. Women are tempted not to drink ‘too much’ which can cause problems of dehydration. Drink small amounts of fluid frequently and avoid alcohol. For remote travel like expeditions where water is rationed, lack of skin cleansing, sweating and inappropriate clothing can encourage chaffing,

open sores and monilial (fungal) infections. Along with sports like water sports (for example water skiing) the female anatomy may be subject to risk of foreign body penetration and inrush of contaminated water resulting in ascending vaginal infections. It may be advisable to take a supply of antibiotics and treatment for fungal infections more so if you have suffered similar ailments in the past. Fluid retention arises mainly during inactivity and prolonged sitting during long journeys. Postural Oedema (swelling of the feet and legs) arises, especially in older women with poor venous circulation. Use of a simple diuretic may help. Exercise where possible. Little walkabouts or exercise while sitting e.g. rotating ankles, flexing muscles in the arms and legs, can reduce the risk of deep vein thrombosis (DVT) by improving circulation. Women using contraceptive patches, contraceptive vaginal rings oral or injectable depot contraceptives have an increased risk of DVT during travel involving long periods of immobility so exercise during the journey. Dress for comfort rather than fashion. Loose fitting skirts and trousers allow for waist expansion, and comfortable shoes will prevent the struggle to replace or force on tight shoes at the end of the journey. For the avoidance of disease

and pregnancy, especially for those women who plan to be sexually active, please consult your Doctor for the best form of contraception for you. Remember HIV/Aids, is more transmissible from men to women than vice versa and other STD’s (Inclusive of the Zika Viruse) can cause increased transmission of the virus. Remember, if not your partner, then abstinence is best. Personal safety and security are very important, especially if travelling alone. Leave an itinerary of your trip with a responsible person contacting the person at pre-arranged times and dates. Be careful in ostentatious display of jewellery, money, luggage and dress, to avoid the wrong type of attention. Be aware of your luggage and hand bags at all times. Do not leave them unattended or hanging on the back of chairs in restaurants, even in the so called safest places. If confronted by a potential physical attack, avoid getting into a dangerous situation and hand over your bag. Don’t try to fight. If you are forced to strike, make sure it is a crippling blow that gives you a chance to escape. You may join a women’s self defence course before travelling if you are worried of your ability to gauge dangerous situations. Continue online @ www. businessday.ng

Meet Ehinare, Mamora, Nigeria’s new health ministers GODSGIFT ONYEDINEFU, Abuja

sagie Emmanuel Ehanire is the new Minister of Health, he was on Wednesday sworn by President Muhammadu Buhari alongside Olorunimbe Mamora as the minister of state for health. Ehanire is a medical doctor who served as the Minister of State for Health in the last Buhari administration after his appointment in November 2015. He was born November 1946. He is from Oredo Local Government Area of Edo State. He graduated from Ludwig Maximilian University of Munich in Germany qualifying as a physician. He went on to the Teaching Hospital of the University of Duisburg and Essen and to the BG Accident Hospital in Duisburg, Germany for his post graduate education. In 1976, he attended the Royal College of Surgeons in Ireland where he obtained postgraduate Diploma in Anaesthetics. He got his Board Certification in both General Surgery and Orthopaedic Trauma Surgery at the Medical Board of North Rhine Westphalia in Duesseldorf, Germany. In 1984, he became a Fellow of West African College of Surgeons. Before his appointments, Ehanire

Ehinare

worked to a great extent in Germany as Resident Anesthesiologist, Resident Vascular Surgeon and Resident General Surgeon in Thoracic Surgery at various hospitals. He also served as Clinical Instructor, Fracture Internal Fixation Course at BG Accident Hospital in Duisburg, Germany. On his return to Nigeria in 1982, he worked at the University of Benin Teaching Hospital as Senior Registrar in the Department of Surgery (Orthopedic Surgery), a position he held until 1984. Between 1985and 1990. He joined the Shell Petroleum Development Company Hospital as a Divisional Consultant Surgeon. He also served at various times on the medical review board of Edo State Hospital Management Board and remains as Trustee of TY Danjuma Foundation.

Ehanire was preceded by Isaac Adewole. Mamora, the new Minister for state health, was born on 16 February 1953. He obtained a B.Sc, Health Sciences, Bachelor of Medicine and Bachelor of Surgery (MBBS) University of Ife, IleIfe and became a Health Practitioner. He was Medical Director of a Medical Centre from 1987 to 1998 nd a Company Medical Advise 1988 to 1992. Mamora was a National Delegate for the National Republican Convention (NRC) in 1990, and Secretary, Lagos East of the United Nigeria Congress Party (UNCP) in 1998. He was elected to the Lagos State House of Assembly in 1999 and was appointed Speaker. He was Chairman of the Conference of Speakers 2000 to 2001. Mamora was elected to the Senate in April 2003 and reelected in 2007. He was also a member of the Economic Community of West African States (ECOWAS) Parliament from 2003 to 2006. In 2003, he was appointed chairman of the Senate Committee on Ethics, Privileges and Public Petitions. After resuming his seat in the Senate in 2007 he was appointed to committees on Upstream Petroleum Resources, Selection Committee, Health and Federal Character & Inter-Government Affairs.

We will expand health coverage says Ehinare, as he assumes duty as health minister GODSGIFT ONYEDINEFU, Abuja

hanire Osagie, has officially resumed office as the minister for health after he was sworn on Wednesday by President Muhammadu Buhari with the pledge to expand Universal Health Coverage to all Nigerians.

The new minister arrived at the ministry at the Federal Secretariat Complex in company of the Permanent Secretary, Federal Ministry of Health, Abdulaziz Mashi Abdullahi soon after the swearing in exercise which took place earlier in the day at the Presidential Villa, to assume duties. Upon assuming duties, Ehinare said he will expand health coverage

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

to achieve health security in the next four years of his tenure. He stated that his main vision for the sector to includes the expansion of health coverage, particularly the Primary Health Sector, Improvement in the quality of Medicare in hospitals, improving the indices in health security in the country amongst others.

I Samuel Iduh, Graphics

Friday 23 August 2019

BUSINESS DAY

IMPACT INVESTING

In Association With

How global impact investing assets grew by over 300% in five years TELIAT SULE

etween 2014 and 2018, the global investing assets grew by 396 percent from $46 billion to $228 billion in just five years, a publication by McKinsey & Company says. The quantum growth in impact investing assets came from significant interest shown by institutions such as banks and diversified financial institutions, pension funds and insurance companies, foundations, retail investors and others. The list also includes family offices and high net-worth individuals and development-finance institutions. What were the sources of the quantum growth in impact investing assets? According to the McKinsey report, capital flows into the global impact investments came from different sources. In 2014 when the global impact investing assets were worth $46 billion, the largest assets flows of $10.12 billion or 22 percent came from pension funds and insurance companies. In 2018, the same set of institutions invested 20 percent or $45.6 billion of the global $228 billion impact investing assets. This implies over the 5-year period, the flows of funds into impact investing from pension funds and insurance companies grew by 350.6 percent. Impact investing assetsâ&#x20AC;&#x2122; flows from banks and diversified financial institutions in 2014 were worth $7.36 billion in 2014 or 16 percent. In 2018, the worth of the total flow of funds was worth $109.44 billion or accounted for 48 percent of the funds invested in the global impact investing assets in that year. Undoubtedly, impact investing assets flows from banks and financial institutions grew by 1,387 percent during the five year period. However, impact investing assets from other sources witnessed a decline in other sources. For instance, in 2014, foundations, as a source of impact investing assets flows accounted for 8 percent or $3.68 billion. Impact investing assets from foundations might worth $11.4 billion in 2018; this source accounted for just 5 percent of sources of the impact investment assets in 2018. Family offices and high networth individuals, which accounted for 17 percent or $7.82 billion in

2014 accounted for just 6 percent or $13.68 billion of the sources of impact investing assets in 2018. Retail impact investing assets flows accounted for 15 percent or $6.9 billion, five years down the line, it was 3 percent or $6.84 billion of the global impact investing assets sources that this source contributed. Development-finance institutions were responsible for 17 percent of the impact investing assets sources; in 2014 perhaps moderation in enthusiasm was reflected as the share of this source of impact investing assets declined to 12 percent. In other words, in 2014, impact investing assets from development-finance institutions was $7.82 billion but was worth $27.36 billion. Scope of impact investments expanding in other sectors In terms of sectors, impact investors are fast changing their investment models, as they are looking outside financial services sector. In 2014, financial services other than microfinance and microfinance sub sectors attracted 42 percent (21 per cent each) of the global impact investing assets under management. In other words, $9.66 billion each www.businessday.ng

was under management in the financial services sub sector and microfinance sub sector. In 2018, the trend is completely different. Nineteen percent of the total impact investing assets under managements was under the financial services sub sector. That was lower compared with 21 percent in 2014. Impact investing assets under the management of microfinance tumbled to 9 percent as against 21 percent in 2014. Healthcare accounted for 6 percent of the global impact investing assets in 2014 but that marginally declined to 5 percent in 2018. Food and agriculture impact investing assets fell from 8 percent in 2014 to 6 percent in 2018. The assets for housing impact investment remained flat at 8 percent during the reference period. This is bound to change as more investments are going into the sector. For instance, Impact & Alpha reported recently that Blokable has secured a $23 million for modular housing that promises affordability in the United States. Investors are seriously looking at impact investing in housing because housing affordability gap amounted to $650 billion yearly, or 1 percent of the global GDP, according to a study

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by McKinsey & Company. In Nigeria alone, over 17 million housing deficits exist, and high interest rates by deposit money banks as well as lack of affordable mortgages is worsening the situation. Which impact investing sectors gained? The proportion of impact investing assets under the management of energy rose from 11 percent in 2014 to 14 percent in 2018. Impact investments into education witnessed a marginal increase from 3 percent to 4 percent. Water, sanitation and hygiene impact investing trended up from 1 percent to 4 percent. On a significant scale is the impact investing in others which rose from 21 percent to 31 percent during the reference period. Others in this sense encompass impact investments in arts and culture, conservation, information and communication technologies, manufacturing and others. Impact investment instruments in use By instruments, impact investors employed private debt and equity; public debt and equity, pay for performance as well as others. According to the McKinsey report, private debt, which accounted for 53 percent of the global impact @Businessdayng

investments in 2014 declined to 41 percent in 2018. Private equity which was responsible for 24 percent of the global impact investing in 2014 fell to 18 percent in 2018. Public debt equally squeezed. It fell to 6 percent from 9 percent in the review period. Equally, pay for performance remained static at 0.3 percent in both periods. On the other hand public equity ballooned from 3 percent to 14 percent between 2014 and 2018. Other assets which include real assets, guarantees and leases doubled from 11 percent to 21 percent. What Nigerian institutions stand to gain from impact investing? According to the 2018 survey conducted by the Global Impact Investing Network (GIIN), 58 percent of the global impact investing assets are based in the United States and Canada. Latin America, Caribbean and Mexico accounted for 4 percent, North Africa, 1 percent ; East Asia, 1 percent; South Asia, 3 percent; Southeast Asia, 2 percent; Oceania, 1 percent ; Western, Northern and Southern Europe, 21 percent; Eastern Europe, Russia and Central Asia, 1 percent while Sub Saharan Africa accounted for 6 percent. By general classification, North America and Europe presently account for 79 percent of the global impact investing assets while Africa accounts for just 7 percent. Meanwhile, Mauritius is spearheading the attraction of impact investments in Africa. According to available reports, one of the impact investing firms was reported to have structured â&#x201A;Ź2 billion impact investing capital in Africa using Mauritius as a base and that has led to the creation of 470,000 jobs. It is also helping in the achievement of the Sustainable Development Goals (SDGs). The Nigerian economy will gain when more investment is made in sectors that lend themselves to social, economic and environmental impact. According to Dalberg , the economic impact areas are industry and light manufacturing. It includes secondary agriculture, access to finance among others. Social impact areas include health, education, housing as well as water and sanitation. The environmental impact includes tourism and transport.

Friday 23 August 2019

BUSINESS DAY

LEADINGWOMAN

Temilade Aduroja, passionate about investment banking, avid contributor in the oil & gas sector KEMI AJUMOBI

emilade Aduroja is the Senior sub-Saharan African Oil & Gas/Infrastructure equity analyst for Standard Bank Group. She has 10 years of finance experience with a demonstrated history of working in the investment banking industry. Temi worked most recently with Renaissance Capital as a Vice President, covering the Oil and Gas and Infrastructure sectors where she was responsible for covering over 10 oil and gas and cement stocks listed in Nigeria, Kenya, Tanzania, Morocco and Egypt. In her previous roles, She worked with PwC as a corporate finance executive focused on oil and gas projects and Standard Chartered bank, as Financial risk analyst. She speaks regularly at Oil & Gas conferences, most recently at the 2018 Africa Oil Week, Cape Town. Temi mentored Covenant University at the 2018 CFA Institute Research Challenge. She was rated 3rd and 2nd in 2018 and 2019 Financial Mail sub-Saharan Africa analyst of the year. She is a CFA level three candidate. How was growing up like for you and how has it helped to influence where you are today? I grew up in a family of successful women in finance; I believed this shaped the start of my career path. Being surrounded by strong women gave me the drive to achieve my goals. I learnt early on that hard work, determination and persistence were the key to success. Being senior sub-Saharan African Oil & Gas/Infrastructure equity analyst for Standard Bank Group I value listed stocks across the sub-Saharan African market and write insightful research reports on the sector as well as on individual stocks. I follow the industry to foresee catalyst and signal which could impact the space. I analyse trends and cycles in the sector to predict future performances. I speak to portfolio managers and advise them on my recommendation per individual stocks. I give sector insight to the corporate finance and corporate banking teams at SBG. 10 years of being an investment banker. Why investment banking? Experience and lessons learnt I majored in Computer Science and Physics. By my second year in school, I realized that I had little interest in IT or Computer Science, but found myself excited when I took an elective course in Finance. I had the opportunity to take part in a few internship programs in financial institutions and that was when I realized I wanted to be part of the stock market and investment banking industry. It was difficult to get an investment banking job given I studied sciences and I had no full time experience. I was determined; I improved on myself by speaking to experts in the industry, watching videos and reading books. This I would say gave me an edge over my

more experienced peers. I started my investment banking career as an analyst in the Corporate Finance department of PwC. This was a good training ground as I was surrounded by young ambitious minds eager to learn. I believe starting your career in a good organisation with a solid training culture is very important. As former Vice President at Renaissance Capital, what was your experience? Was it any difficult because you are female? I wouldn’t say it was difficult as a female, but I would say it had its challenges. I believe as a woman in finance, you have to work twice as hard to be recognized and respected especially at the beginning of your career. It became challenging for me when children came into the picture, as you begin to joggle family responsibilities and work responsibilities. The long work hours and frequent travelling could be challenging when you have young children at home. I believe the key to making this work is having the right support systems in place. I have been lucky enough to work in organisations that are supportive and tolerant. In SBG, having over 10 oil and gas and cement stocks listed in Nigeria, Kenya, Tanzania, and Ghana, how were you able to cover all? I work with a great team and Standard Bank provides very good support systems. With a great team, you cannot go wrong. With the right environment, it becomes even easier. SBG is that right environment and I am blessed to be part of the family. Importance of mentorship I believe mentorship is very important; speaking to the right professionals especially early on in your career could help you avoid mistakes in your career decisions. I have been blessed with good mentors within my family and also externally. For me, I found that women mentors had more of an impact in my progress. Building a good mentee /mentor relationship is ideal, and it is the mentees responsibility to keep the relationship on-going. What do you believe are the challenges of women hindering them from being on boards? For women, I believe that having a family changes your focus and perspective. It is difficult to balance both responsibilities therefore, you find that one or both areas begin to suffer. As a result of experience and support, the number of women on boards are thankfully increasing. There is however room for more women to be on boards and I believe with more accommodating working environments for women, support and guidance, this can be achieved. Personal and professional challenges My professional challenge is remembering to always get out of my comfort zone. Striving for more and not being comfortable with www.businessday.ng

yesterday’s achievements. My personal challenge is managing being a great mother, wife and successful career woman; I believe women can have it all. Through the years, why the area of concentration on Oil & Gas? I found myself in oil & gas not by choice, but was placed there. I also found it to be a male dominated sector which made me work harder. Over the years, I have grown to love oil & gas and I believe its niche skills and technicality has made me stand out. I also enjoy being a woman excelling in a male dominated turf.

definitely have a seat at the table, and should be given equal opportunities as their counterparts. Standard Bank is very strong on women empowerment, and has joined forces with the United Nations Women HeForShe movement. HeForShe invites men and women to stand in solidarity for gender equality. I am proud and fortunate to be part of such an organisation. The rhetoric has changed and the awareness is impressive. However, we all should make conscious decisions so that the next generation is not having this same conversation.

2018/2019 Financial Mail sub-Saharan Africa analyst of the year (3rd and 2nd) share on that experience This was a great achievement for me, I am truly honoured. Being a rated analyst validates the quality of your analysis and reports. The award comes from portfolio managers in South Africa. My mantra in life is ‘Put God first and with hard work and determination the world is yours’.

What day in your life is it that you can never forget and why? I can never forget the day I went on my first international road show. I had to present to portfolio managers in the UK, USA and South Africa. This was very early in my career and was extremely nerve-racking. I look on that day and it reminds me of how far I have come and I draw on that experience to knock down new hurdles. The experience boosted my self-confidence and shaped me into the woman I am today.

How important is woman empowerment? Women empowerment is very important to me. Women should

Greatest lesson of life Never give up, forget the 100 NOs, all you need is one yes. The God factor is very important; I put

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@Businessdayng

God first in everything I do. If you stood in front of a sea of people and they ask you to share what you find most intriguing about the oil and gas sector, especially as regards Nigeria, what will you say? What advise will you give the government? I would say that everyone who ever predicted oil prices has failed. For Nigeria, I would say oil & gas has been a blessing to the country but it is time to diversify the economy. We can’t continue to rely on a commodity where we have no control on pricing. Final words For young women starting in their career, don’t give up. Success comes with its fair share of challenges, but the key is to learn from those hiccups and come out even stronger. Every experience is a learning ground and is preparing you for the next chapter. We also have to remember to continue improving upon ourselves as you never stop learning. Read more about Temilade’s inspiring story on our website www. businessday.ng as she graces our Women’s Hub cover for this week. You are just a click away!

Friday 23 August 2019

BUSINESS DAY

AGENDA FOR MINISTERS

Mortgage, affordable housing top stakeholders’ agenda for Fashola CHUKA UROKO

ousing is ranked second in the hierarchy of man’s needs after food. But in Nigeria, it does appear that owning a house is a luxury rather than necessity because a good percentage the country’s population have zeroed their minds on renting their accommodation and spending their low income on rents. The simple reason for this is the absence of a functional, accessible and affordable mortgage system that will enable home seekers to either buy or build for themselves. This lack, in turn, accounts for the absence of houses that mid-low income earners can go to the housing market and buy. It is for this reason that housing sector stakeholders urge Babatunde Fashola, Housing Minister, to narrow the yawning housing gap and also unlock the enormous potential in the sector Top on these agenda are mortgage and affordable housing. Land Use Act is another strong factor that is working against private sector efforts at providing adequate housing, especially for low income earners. Land is central to all economic activities including housing. Fashola should address that too. “For us in the housing sector, we expect the government to address two basic things. One is the Land Use Act which we want them to

look into and amend, and the other is interest rate on mortgage,” says Edward Akilande, group managing director, Suru Group, a real estate investment company. Land is not only critical, but also an integral factor of production for the growth of the economy. It drives not just housing development, but also agriculture and industrialisation, hence its availability and unencumbered access should be a major pre-occupation of the new minister. Expectation is that the Fashola should first pursue a legislative agenda aimed at expunging the Land Use Act from the constitution to pave the way for its review which must emphasise the removal of the ‘provocative’ Governor’s Consent. Interestingly, the Senate Presi-

dent, Ahmed Lawal, disclosed at a housing event in Abuja recently that the National Assembly would make legislative intervention in the housing sector with special focus on Land Use Act and the National Housing Fund (NHF) which, he said, were in the agenda of the 9th Senate. But Akinlade noted that this might not come easy because no governor in Nigeria would willingly give up his power over land, explaining that some of these states, especially those where land commands high values, see land as an equivalence of oil wells. Obi Ejimofo , former managing director of Lamudi Nigeria (now Jumia Housing), shares the view on mortgage. According to him, Fashola may not achieve much

Players want executive order to curb multiple taxation in telecoms JUMOKE AKIYODE-LAWANSON

nformation and Communication Technology (ICT) industry players want the new minister Ali Isa Pantami to push for an executive order to stop the lingering issue of overtax of telecommunications operators, saying that the multiple taxes are slowly crippling the sector. Analysts say Pantami, former CEO of the National Information Technology Development Agency of Nigeria (NITDA), is expected to use his wealth of experience in the ICT sector to kick-start immediate revolution in the industry. He has been given the major task of sorting out this persistent issue that has continuously burdened Mobile Network Operators (MNOs) and Internet Service Providers (ISPs) in Nigeria, and plagued the industry by affecting quality of service, creating exorbitant charges and tough operating environment. According to Omobola Johnson, former minister of communication, a simple executive order will stop the lingering issue of over taxing telecommunications operators

which is crippling the sector. “I’m so disappointed that I left government in 2015 and in 2019, we are still dealing with issues on multiple taxes in this industry,” she said. “It shows that we really have not understood the importance of getting these numerous taxes out of the way. We cannot build infrastructure for a digital economy until we get rid of these obstacles. An executive order will sort out this issue,” Johnson said, while speaking at the Nigerian Telecom Leadership Summit organised by the Nigerian Communications Commission recently. Umar Garba Danbatta, executive vice chairman of the Nigerian Communications Commission(NCC), acknowledged that although the telecommunications industry has attracted about $70billion investments till date, the industry could do more for the country’s GDP if obstacles such as multiple taxation, multiple regulation and Right of Way (RoW) issues are eliminated. “In a very capital-intensive industry like telecom, investors are looking for both a very friendly investment climate and predictable

outcomes. We have engaged with the Governors Forum, collectively and individually, to address some of our challenges, in the areas of multiple taxation, regulations and right of way. We are eagerly looking forward to the review of the resolution of the National Economic Council on the ‘Right of Way’ issues as it concerns clearing impediments to deployment of telecom infrastructure across the country,” Danbatta said. Today, in virtually all aspects of human life, ICT has become indispensable. Nigeria has in some way experienced its positive impact with the sector contributing 10.1 percent in the first quarter of 2019. Gbenga Adebayo, chairman, Association of Licensed Telecommunications Operators of Nigeria (ALTON), told BusinessDay said that the Nigerian government seems to have forgotten that other industries depend on the infrastructure of telecoms for optimal operation. “Investors need a minimum level of guarantee of policy in the environment. As at today, the total count of taxes and levies on the industry is 39. Some of them are multiple in nature and some of them are applied on us as if we are an extractive industry,”Adebayo said.

in the housing sector if adequate attention is not given to mortgage, suggesting that the Buhari government could as well subsidise mortgage as a way of bringing change in housing. “To actually kick-start the core of the housing sector which is the mortgage market, government needs to do something. I believe that if the government is able to afford subsidy for petroleum products, it can do so for the mortgage industry. So, if the subsidy is removed from the oil sector as it is being clamoured for, the next best place to apply it is the mortgage market,” he said, advising that this should be food for thought for the minister. Mortgage seems to be nonexistent in Nigeria because of high interest rate which can hardly distinguish it from the rate on commercial loans. Interest rate on mortgage, in other economies, is usually in low single digit of between 6 and 4 percent with repayment tenor of not less than 20 years. But in Nigeria, mortgage loans attract between 17 and 20 percent rate and repayment tenor could be as short as 12-24 months which makes it unaffordable and unattractive to many Nigerians who populate the low income group. This, more than anything else, is reason for the wide housing demand-supply gap in the country estimated, officially, at 17 million

units. To close this gap and ensure housing affordability by a greater number of Nigerians, mortgage has to be not only affordable, but also accessible. Evidently, there is an underlying problem with mortgage which Paul Onwuanibe, CEO, Landmark Group, identifies as unemployment. “There is an absence of a system that is dedicated to funding housing for low income families. Ultimately, a mortgage system in a country is only as good as employment rate in the country, “ he notes, arguing, “even if you have a viable mortgage system and the unemployment rate is very high, it does not solve any problem.” Onwuanibe believes in the capacity of a functional mortgage system to unlock the potential of the housing sector by way of increasing activities in the sector and creating jobs for those directly involved in actual construction, and also those indirectly involved like value chain producers and suppliers. He recommends legislation towards creating a working mortgage process. In some countries, he said, what happens is that a body is set up that manages mortgage subsidies. That body delivers the subsidies either through banks or by itself in which case the legislation around mortgage has to be fine-tuned, implemented and advertised so that people can access it.

Poor teacher capacity, out-of-school children confront Adamu KELECHI EWUZIE

layers in the education sector have urged Adamu Adamu, the returning minister of education, to urgently tackle the malaise of poor teacher capacity and growing number of out-of school children. They observe that one reoccurring decimal in the education sector in Nigeria over the past two decades has been consistent decline in the quality and quantity of professional teachers in the country. Nigeria as largest economy by GDP has an estimated 13.2 million out-ofschool children which sadly is the largest in the world. Educationists told BusinessDay that the education sector is faced with a plethora of problems such as underfunding, deteriorating infrastructure/equipment, and dearth of quality teachers. Modupe Adefeso-Olateju, an education expert and managing director of the education partnership centre (TEP), observed that to strengthen teacher performance, decision-makers must take a long view by identifying and attracting potentially high-quality teaching talents into the classroom and creating systemic pathways to ensure that they remain and perform well. “We can identify better teaching talents by raising the entry requirements

into the teaching profession, so that higher performers apply said AdefesoOlateju. Industry experts maintain that until our teachers are better trained and well-motivated, all efforts to improve the quality of the education system will be severely compromised. In the quest to increase teacher quantity, all manner of persons and part-time and sandwich programmes are part of the current menu of teacher training. Educationists are of the opinion that recruited teachers should not go into classrooms without undergoing induction. Osaretin Olurotimi, an education researcher in Lagos, said to strengthen teacher performance, government must implement solutions to improve teacher quality by raising entry requirements and investing in quality preparation programmes. “These will give teachers a voice and recognition and ensure that teaching is no longer viewed as a profession for those without better alternatives,” he said. “A programme to manage teacher performance must include an investment in the capacity of school administrators to handle an evaluation system appropriately, deliver feedback, discover training needs, and design or customise reward or disciplinary incentives for the teachers,” he said.

Friday 23 August 2019

BUSINESS DAY

AGENDA FOR MINISTERS Why Ehanire must arrest Nigeria’s declining healthcare system ANTHONIA OBOKOH & TEMITAYO AYETOTO

edical practitioners want Osagie Ehanire, health minister, to fix infrastructural deficits in the sector and improve public healthcare delivery across the country. They also want him and his minister of state, Adeleke Mamora, to work towards improving practitioners’ welfare to stem the massive migration of Nigerian doctors, and improve annual budgetary allocation to health sector in the country. “We believe that it is time to invest more in improvement of the healthcare service delivery processes in Nigeria,” said a health analyst. Francis Faduyile, President, Nigerian Medical Association (NMA), said the minister should be able to work with commissioners for health in states to strengthen service delivery. “With their collaboration, they can put a lot of pressure on the governors and the

Ehanire

National Council of Health to mobilise resources at the primary and secondary levels of healthcare,” Faduyile said. Ademola Aina, chairman, HCPAN Lagos, said he expects the new minister to improve public healthcare delivery across the country. “Hospitals over all the country are not really hospitals in terms of infrastruc-

tures. We need more facilitates and also strategies to increase speed of the health insurance system in order for Nigerians to have access to care,” said Aina. Doyin Odubanjo, chairman, Association of Public Health Physicians of Nigeria, Lagos Chapter, advised Ehanire to work with practitioners to stem factors

that fuel migration of Nigerian doctors, saying that human resources in the sector should be given adequate attention. Nigeria’s health expenditure as a percentage of the Gross Domestic Product (GDP) averaged 3.4 percent between 2007 and 2016, compared with South Africa (6.5 per cent) and Kenya

(4.5 per cent), according to data sourced from the World Bank. According to the World Health Organisation (WHO), Nigeria has one of the lowest doctors to population ratio in Africa. A poll citing the Medical and Dental Council of Nigeria (MDCN) reported that there are about 72,000 nationally-registered Nigerian doctors, with only 35,000 practising in-country. Factoring this figure with national population estimates, there is a deficit of over 260,000 doctors in Nigeria and a minimum of 10,605 new doctors need to be recruited annually to meet global targets. “Political will is a base for successful healthcare system. The minister is expected to put more effort in terms of increasing budgetary allocation to the health sector in order to stem the tide of increase in mortality and morbidity rate” Larne Yusuf, a medical practitioner, said. Nigeria has worst life expectancy record in West Africa with 54.5 years, ac-

cording to the latest World Health Organisation (WHO) data. The report shows the influenza and pneumonia kill 305, 460 Nigerians each year, while diarrhoeal diseases sending 186,218 annually to their early graves. The country has seven chemotherapy machines for cancer patients, but only two are functioning. According to the World Bank estimates, Nigeria’s Maternal Mortality Rate is still as high as 821 per 100,000 live births as against Kenya’s 540. In the pharmaceutical aspect of healthcare, the cost of drugs also makes it difficult for many people to get treatment. Seventy per cent of drugs used in Nigeria are imported, implying the already financially challenged Nigerians have to a pay premium for most medicines. The new minister has to come up with a healthcare policy for the country. It should not be a one or twoyear policy but a long term vision of where the healthcare needs for the country can be catered for.

Aggressive reforms in power, oil sector Infrastructure upgrade, airport concession, key issues facing Sirika to spur stock market performance IFEOMA OKEKE

ey players want Hadi Sirika, minister of aviation, to address issues around infrastructure upgrade across Nigerian airports, concession and completion of the new terminals. “There is a need to modernise and upgrade infrastructure and equipment such as terminal buildings, control towers, conveyor belts, instrument landing systems, communication equipment, runway lighting, fire tenders, amongst others,” Tayo Ojuri, industry expert and CEO of Aglo Limited, an aviation support service company, told BusinessDay. Airlines have continued to record incessant flight delays and cancellations as they are not able to meet demand. The situation is worsened by infrastructure gaps. In Nigeria, passengers spend unduly long time at security screening points because of insufficient number of X-ray machines. They are forced to queue at security screening points, especially at peak hours. In other climes, it takes between 30 seconds to two

minutes to get screened, but in Nigerian airports, it takes over five to 15 minutes to get screened depending on the number of passengers waiting to be checked. For example, Air Peace and Arik Air face a lot of delay processing passengers at the General Aviation Terminal (GAT) of the Murtala Muhammed International Airport, Lagos, because there is only one functional X-ray machine at any point in time and hundreds of passengers destined to different destinations during the morning rush hours must pass through one functional X-ray machine at each of the terminals at the GAT. John Ojikutu, member of aviation industry think tank group, Aviation Round Table (ART) and chief executive of Centurion Securities, listed some of the infrastructural gaps that cause flight delays at Nigerian airports to include inadequate checking-in-counters; inadequate passengers screening checkpoints and screening machines or unserviceable screening machines resulting to manual screening; inadequate aircraft boarding gates; inadequate aircraft parking areas; inadequate ground www.businessday.ng

handling equipment or facilities; and absence of taxiways or sufficient links from aprons to runways. Ojikutu stressed that inadequate skilled manpower and insufficient numbers to man most of these facilities or system can cause delays, especially the passengers screening checkpoints, where the International Civil Aviation Organisation (ICAO) recommended standard is at least five but Nigerian airports have two or three persons. In a bid to close these infrastructure gaps across our airports, experts have suggested concession of the country’s airport. However, stakeholders have insisted that for airport concession to achieve the setout goal, there is a need for it to be carried out in a fair and transparent manner. Alexandre de Juniac, CEO International Air Transport Association (IATA) said, “Having the infrastructure to grow is vital to our industry’s future. But in many key places, it is not being built fast enough to meet growing demand and there are worrying trends which are increasing costs. One of these is airport privatisations.

DAVID IBIDAPO

oreign and domestic investors show displeasure in the current operating environment of the economy, a situation which is impacting negatively on the Nigerian capital market, particularly the stock market. While sell-offs in 2018 was largely driven by preelection risks, one would have expected the stock market to rebound, hence returning value for investors. However, this has not been the case after the Nigeria all share index (ASI) began nose diving on the back of dissatisfaction in election outcomes and investors’ caution on fiscal policy directions. According to data compiled from Bloomberg, the Nigeria equity market has maintained a bearish trend since 2019 inception, eroding -12.95 percent of investors total market value. To this end, analysts

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have suggested that while the stock market is still undervalued when compared with other markets in sub-Saharan Africa, sparking and sustaining boost will largely depend on aggressive reforms in the power and oil sector. Going forward, analysts remain pessimistic towards the Nigeria equity market on the back of sluggish fiscal stance in determining economy direction and macroeconomic exposure to global shock. “I think the market will remain choppy until we see bold policy statements and reforms from the fiscal authorities,” Gbolahan Ologunro, equity analyst at CSL stockbrokers, noted. Due to power challenges coupled with other factors in the economy, Nigeria is at a cost comparative disadvantage when compared with peers, hence putting a strain on listed company potential earnings. Experts have asked the @Businessdayng

new ministers to imperatively implement a power sector reform, to include the conversion of the N1 trillion power sector debts into equity and adoption of a cost-reflective tariff. In the last 10 years, investors in the nation’s capital market have continued to demonstrate low appetite towards shares of companies in Nigeria’s oil and gas downstream sector, thanks to plethora of challenges, which have virtually wiped out the margins of the oil marketing and trading companies, as well as other importers of petroleum products. “The government needs to create the necessary business environment through price liberalisation and strong independent regulation. In addition, challenges around pipeline infrastructure, technology, supply consistency and capital need to be addressed,” PwC said in its report titled ‘Nigeria: looking beyond oil.’

Friday 23 August 2019

BUSINESS DAY

INTERVIEW ‘I have achieved more than any past represe Hon. LAZARUS NWERU OGBEE, a member of the People’s Democratic Party (PDP), represents Ezza South/Ikwo Federal Constituency in the House of Representatives. The lawmaker spoke to NKECHINYERE OGINYI, BusinessDay correspondent in Abakaliki, against the backdrop of recent media publications alleging betrayal of his former political bosses. Excerpts:

ou have been accused of betraying your political masters, including former Governor Martin Elechi. Is that true? Recently, my attention was drawn to some publications both in the national dailies and our local tabloids. In the said publications, there was this allegation that I, Honorable Lazarus Nweru Ogbee, have in so many areas and some quarters betrayed those that worked with me in politics or people that I worked under in the business of politics. That is why I am here to refute that and to actually put straight some of the allegations made against my personality in the write-up. I came from the political dynasty of late Senator Vincent Obasi Usulor, so there wouldn’t be any way anybody would be alleging that I betrayed Innocent Chima. I have never worked under him as my master or as my colleague in the political community and there is no way I could have acted as a betrayer to him. I have always worked with PDP and I’m in PDP. Without prejudice to the image of Chief Innocent Chima or his integrity, he has been freelancing from APP to ANPP to PDP and back to APC. But I have remained in PDP except for once that I joined my leader, late Senator Usulor, Senator Ngiji Ngele and Ambassador Lawrence Nwuruku very briefly to ANPP and we returned back to PDP. It is never correct to say that I betrayed Innocent Chima; we never worked together in politics not to talk of one betraying the other. On the side of my father, my master, Chief Martin Elechi, we came together in 2007 when I was appointed a coordinator by him, under his administration. If I did betray him, I wouldn’t have been allowed to become the chairman of Ezza South Local Government Council. I was a coordinator for two years and two months and I resigned and contested for chairman in Ezza South LGA and won. After just one year and some months, we had the opportunity of being assessed by the NUJ Ebonyi State chapter, local government administrative council at the state level, beyond the state, beyond South-East and the entire country, even the committee on LGA in the National Assembly. At each quarter, I was adjudged the best chairman. So many other factors culminated to my becoming the first Ezza South person to be successfully reelected to the position of chairman of the council for a second term. A betrayer wouldn’t have landed such a plum position, or wouldn’t have had the nod of the

Lazarus Nweru Ogbee

governor of the state. Thereafter, we had a tumultuous period in Ebonyi polity; that was in 2014. The then Governor Elechi presented three names of people he wanted to succeed him – Prof Onyebuchi Chukwu, the then minister of health; Prof Chigozie Ogbu, former deputy governor, and David Umahi, the present governor. He gave us the opportunity to make a choice and I chose David Nweze Umahi, and without mincing words, I meant every business with the choice and I went all out to campaign for him; that was not a betrayal. Eventually, the then government of the state went out of its way to drop the three earlier possible candidates mentioned, and then went for architect Edward Nkwegu of Ebonyi North. Nobody should have said that anybody betrayed him. I made my choice out of the three and I went for my choice. So many other local government chairmen made their www.businessday.ng

choices and so many joined me in the quest for Engr. Umahi to become the governor of Ebonyi State and I don’t regret my position. When it was time to present at the national secretariat of PDP, I presented myself, and when it was also time to present another person or join another person to the national secretariat, I did not go. That didn’t show betrayal, that didn’t show that I was a coward and that didn’t mean that I can’t stand up to what I choose. I am happy to announce that David Umahi made it as the governor of Ebonyi State and to the glory of God, all of us are enjoying it today; nobody is bringing remunerations to Laz Ogbee; some of us that were the earlier apostles, that saw the star, not only that we followed the star to the place of birth. So, I have never betrayed anybody that is my master. It was gathered that you were restrained from the sponsorship of

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cult groups in the guise of ‘Onyechimereze’ Association which you floated to technically drive home your political ambition. How true is that? ‘Onyechimereze’ as a title was given to me by my community. My community assembled, everyone in my community came together and invited the public for a thanksgiving ceremony when I was the chairman of the council. That was where, how and when the title came in. It did not emanate from me but from my traditional ruler and the entirety of my community called Amaezekwe which is the oldest community in Ezza South LGA. They crowned me ‘Onyechimereze’, which means ‘One crowned by God”. When I had the opportunity to be given a title by the Ebonyi State College of Education, Ikwo, they equally crowned me ‘Onyechimereze’ of Ikelegu Kingdom, which is the kingdom they have in Ikwo. As a traditional titled chief of my community, I had to go by the title, peo-

@Businessdayng

Friday 23 August 2019

BUSINESS DAY

INTERVIEW entative of Ezza South/Ikwo Constituency’ ple call me the name and I so cherish it, because my people thought about it for years before they gave me the title. It has no relationship with any group, whether cult, social group or any other group at all. I am not a member of any cult group, I do not belong to any and I don’t wish to belong to any. And if anybody is annoyed with the name, the person can equally pick ‘Onyekwensumereze’ (One crowned by devil), then we will be calling the person that name along the streets of Ebonyi State. But for me, I cherish what my people gave me as a very good title – One crowned by God. I so much reverence God because without him I wouldn’t have been here today to address you. It was also alleged that all the funds designated for constituency projects, such as renovation of schools, access roads, potable water supply, etc, have been diverted. How do you react to that? To put an end to that allegation, the record is there and I stand to be challenged. Nobody that has represented Ezza South/Ikwo Constituency can come close to my achievements within the four years I have represented my people. I have been able to attract primary school buildings both in Ikwo and Ezza South where l come from. If you go to Central School Oronha in Amagu community, Ikwo LGA today, you will see the building there attracted by Laz Ogbee. The same for Community School Ameka, Ikwo Community School Amezekwe, Community School Ndiagazu, and at Ezza High School Amuzu where I attended secondary school, the longest building there was attracted by me. That is it on education. You go to the health sector, the little time we have here cannot be enough for me to enumerate my achievements in that sector, but I have a catalogue of what I have been able to attract for my people. In the power sector, I have completed electricity projects in NdufuAlike Ikwo, Enyibuchiri, Umunnwagu Idembia and several other places.

in Alex Ekwueme Federal University Alike Ikwo (AE-FUNIA), I have people that got employment there through my request. I attracted employment for some people at the Bureau of Public Procurement Abuja; in the Foreign Affairs Ministry, I have two persons from Ebonyi State, one from Ezza South and one from Ikwo. In the last police recruitment, I have three ASPs and six inspectors. I won’t be counting rank and file; I’m counting from officers’ cadre. And in the army too and every other area of employment. Other federal parastatls and MDAs, you can go there and if you want I can release the names. Anybody saying that I have not attracted employment is a joker and probably the person cannot read and write not to talk of mentioning names of people. Why I don’t stress myself over such issues is that people making such allegations have never contested election, from councillorship to presidency. They have never contested election until recently they thought they can contest and win Laz Ogbee. You cannot come into the field of politics and think you can win a field marshal like me. I am a field marshal in the field of politics. We contest to win because of our pedigree, because of my antecedent. I have positively touched the lives of so many people, and I have not betrayed any of my masters or people that are serving me. I have represented very effectively at every level of representation I found myself and that is why the people have not found any reason not to vote for me. If I have the opportunity of contesting any other election tomorrow or next

tomorrow, I will still win as usual; it has become a normal setting in my own activities. It is out of jealousy, or whatever they may tag it, that those people are talking rubbish both in print and broadcast media.

actively and sincerely, the dividends of democracy to my constituents. No amount of campaign of calumny can force my humble self to capitulate in the face of unfounded allegations by passers-by in politics.

Do you think these are still an offshoot of the election? We are aware the matter is still lying before the court, is the future bright for you? Whatever I have been on earth I have not actually made it for myself, it has been God and God alone and I think laying so much emphasis on my opponent in the last election will be giving him much credence. I have actually called him, as somebody that contested election against me, to come over and let us join hands for further development of our place (Ezza South/Ikwo Federal Constituency). I don’t think I should be giving much attention to him if he has refused, just as he has refused to come over. About the petition he wrote to the tribunal, it is already there, and hopefully by the special grace of God, the will of the people demonstrated on the 23rd of April, 2019 would be upheld.

Since the issue of Abuja group came up, has it by any means affected your relationship with the governor? And is the bond you shared with him when he was a deputy governor still there? I don’t think father or son will go out to the market and reveal what each said to the other in the night or in the morning. If I have any reason to request for anything from the governor of the state, I will go to him, and if there is any reason to call my attention to anything either in my local government, ward or anywhere, he has always done that. And I think the cordiality has been there and it has been doubled. That is why we assessed his performance and called for a second chance for him to serve as the governor of the state. The governor is always happy with me as his son. On the issue of Abuja group, people are using it to draw attention but it will be a waste of time. We know the level of our relationship and no person can come between us in my relationship with the governor. I did not go to take permission from anybody to support my governor, and I will not take permission from anybody to continue to support him – just like he didn’t take permission from anybody to support me to become a House of Reps member and to go for a second term. If by tomorrow he says I should not go again to House of Reps or I should support someone for any position, I’m making myself very clear, I will be readily available to support whatever are his programmes in the state. As you can notice in all the activities of the government, you have always seen me there and I have made myself clear about my position in the programmes of the state and I don’t think the insinuation of the neophytes in politics should attract attention.

Are you bothered by that? I am not bothered. It is not the first time I’ve been taken to tribunal. When I won as the local government chairman of Ezza South for the first time, I was taken to tribunal; the second time I was also taken to tribunal. When I won for the House of Representatives in 2015, I was taken to tribunal and I won. So, I don’t think that should bother me. I am more concerned about how to deliver, very

What if the petitioner realises some of his mistakes and comes begging, will you readily forgive him? I don’t have vested interest in prolonging any issue with anybody. We have forgiven so many people including those that fought us to a standstill in the then Labour Party/PDP in 2015. The petitioner was equally part of it and he is equally part of whatever arrangements that have been going on against the government of the state. Any time he decides to repent and become a very good citizen of the state, we will give him a very rousing welcome. He has served PDP as the youth leader, so any time he decides, we will bring him back and re-baptise him.

How many bills have you sponsored in the House of Representatives? I have sponsored bills in the House, I have supported motions. Anybody talking about Laz Ogbee not moving any motion, supported or seconded any motion is actually talking nonsense and the person cannot actually say he/she knows the workings of the National Assembly. There are also claims that you do not assist your people in getting federal employments. What is your take? I cannot blow my trumpet. You can go to my constituency and even beyond and you can see people that I have helped to get employment both in police, military and so on. Let me start from home, www.businessday.ng

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Friday 23 August 2019

BUSINESS DAY

ENTERTAINMENT

AFRIMA set to spotlight African music industry ...nominees’ list showcases wide range of creativity, talent

OBINNA EMELIKE

nce again, the scramble for the coveted 23.9 carats gold-plated AFRIMA trophy is on and ensuing healthy rivalry among musicians across all genres in Africa. Established in 2014, the All Africa Music Awards (AFRIMA) is designed to promote the distinct rich African music worldwide, engaging millions of fans by propelling African music to glorious pinnacles beyond the borders of Africa. It is also a combined effort to recognise, award, promote and preserve Africa’s rich music culture. The awards, which has become the biggest music event in Africa has been hosted in partnership with the African Union (AU). This year’s edition is expected to be bigger than previous events. Already, the AU and the International Committee of AFRIMA are impressed with the nominees list for the regional category of 6th edition of the awards, which they unveiled at a world media conference on August 14, 2019 in Lagos, Nigeria. They noted that this year’s list showcased a wide range of creativity and talents both from new and known artiste across the regions. The 2019 Nominees’ list for Regional and Continental category emerged from the 8,157 songs/ videos received as entries from its online portal, which closed earlier on August 2, 2019. The regional category was for the Best Female Artistes and Best Male Artistes of the five regions (Western, Southern, Eastern, Northern, and Central Africa) and was thoroughly selected from the entries to reveal artiste who will be competing at the 2019 awards ceremony. Artistes like Shatta Wale, Kizz Daniel, Salif Keita, Burna Boy will be competing for the Best Male category in Western Africa, while

Teniola, Simi, Aya Nakamura, Mzvee, Yemi Alade amongothers will be competing for the Best Female category in Western Africa. Dominating Central Africa include Cameroonian artiste Blanche Baily, Charlotte Dipanda, Daphne alongside their male counterpart Locko, Magasco and Salatiel. For Eastern Africa fields great contenders including Sheebah from Uganda; Vanessa Mdee from Tanzania; Nikita Kering from Kenya with Tanzanian Diamond platinum, Rayvanny, Mboso, and Kenyan Khaligraph Jones and Nyashinski. Moroccan Yann’Sine, Ahmed Soultan, Amiinux, and Algerian Soolking with Cairokee from Egypt, Salma Rachid from Morocco will be battling it out in the Northern region for Best Male and Female category. The list has a huge representation for South African artiste as they hold sway over the Southern African region for both Male and

Female categories. The artistes include, AKA, Nasty C, Cassper Nyovest, Sjava, Black Coffee, Kelly Khumalo, Zonke, Nadia Nakai among others. Amara Brown, Tamy Moyo, Jah Prayzah, and Winky D also lock down few spots for Zimbabwe in the Southern regional category. Drawing from their pool of experience and professionalism, the 13-man AFRIMA international jury, guided by the AFRIMA acronym FACEIT, which stands for; fairness, authenticity, creativity, excellence, integrity, and transparency underwent a week-long process of thoroughly screening, categorizing, assessing, and grading from the thousands of entries in order to arrive at the best reflection of rich and creative talents in African music. The reviewed songs were produced from August 1, 2018, to August 2, 2019. Speaking on behalf of the AFRIMA jury, Chris Syren, representing Southern Africa, gave a report on

their activities including the tireless and assiduous process they had to embark upon during adjudication, the quality of works received, criteria for selection, and the voting process. He commended AFRIMA for its sense of inclusiveness and unity at leading the conversation of using music as a tool for integration and shared prosperity in Africa. As well, Angela Martins, head of culture, Africa Union, via a video conference, expressed her excitement of this year’s AFRIMA, its capacity to promote the African culture positively while calling for more support for the continental initiative. The AFRIMA online voting platform is set to open to the public on Sunday, September 1 and will run till November 22, where both continental and regional nominees in the 36 AFRIMA awarding categories will compete for the coveted 23.9 carats gold-plated AFRIMA trophy. Nominees will depend on their fans and followers spread across

the globe to vote for them in an open voting process via the AFRIMA website, www.afrima.org The 2019 AFRIMA ceremony is scheduled to hold from November 20-23, 2019 during a four-day fiesta of music, glamour, Afrocentricism and entertainment in the official awards host city. The ceremony will commence with the welcome soiree followed by the AFRIMA music village, the host city tour, the Africa music business summit, the exclusive nominees’ party and concludes with the live awards ceremony. However, the remaining 25 continental categories will be released on August 23, 2019 after auditing by the International auditors of AFRIMA. Fans of African music globally can follow and take part in the AFRIMA 2019 events on social media, live stream on the AFRIMA website, the AFRIMA App and by tuning to over 84 television stations, which are AFRIMA partners.

U.S. Consulate inaugurates documentary film festival in Lagos OBINNA EMELIKE

n an expression of its commitment to strengthening the ties that link Nigeria and the United States of America, the U.S. Consulate Lagos has inaugurated a documentary film festival. The film festival, which was hosted with partnership with Ascends International Studios Limited and the Silverbird Group, opened at the Silverbird Galleria, Victoria Island, Lagos on Monday, August 19, 2019. It featured screenings of eight contemporary documentaries from the American Film Showcase from August 19 to 22, at Silverbird Galleria, as well as, panel discussions for filmmakers, industry professional, students and youth audiences. In his remarks at the inauguration, Russell Brooks, United States

Consulate Public Affairs Officer, who highlighted the universal power of storytelling and the potential of film to inspire social change, noted the Consulate is intimately involved with the creative community in Lagos. “We especially support that community’s efforts to use the power of film, music, dance, or literature to expose society’s ills or celebrate the brilliance and artistry that also form the human experience”, he said. Explaining further, Brooks said that the major highlight of the festival was the American Film Showcase, the premier film diplomacy program of the U.S. Department of State, which is produced in partnership with the University of Southern California’s School of Cinematic Arts. “The American Film Showcase brings award-winning contemporary American documentaries, www.businessday.ng

independent fiction films, and documentary know-how to audiences around the world, offering a view of American society and culture as seen by independent filmmakers”, he said. Apart from showcasing eight documentary films, and featuring eight panel sessions, the festival,

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on the second day, witnessed a virtual appearance by Mary Mazzio, the director of the film ‘I Am Jane Doe’. Her film is one of the most discussed documentaries of recent years due to its riveting subject matter-sex trafficking. For the audiences, each of the films sparked thought and dia@Businessdayng

logue, while inspiring some of them to explore the means of telling their own stories. For the period the festival lasted, the documentaries offered the enthusiastic audiences contemporary insights into the American society with loads of inspirational stories that span entrepreneurship, technology, food, music and dance, as well as, some disturbing aspects of the darker sides of human nature. Speaking on the stories, Brooks said, “Whether these stories are uplifting or distressing, these are important stories that must be told. We owe it to the heroes, to the victims, we owe it to ourselves”. While appreciating the partners for the successful inauguration, he hoped that the festival would become a consistent feature of the U.S. cultural engagement with Lagos State and the people of Nigeria.

Friday 23 August 2019

BUSINESS DAY

ENTERTAINMENT Doing Business Internationally Part 1 BUSINESS ETIQUETTE

JANET ADETU

ow do you do business internationally? Business as a new start up, an up and coming new wave in the market, a mature practice or a long standing guru in the corporate space involves a huge amount of dedication, devotion, direction, determination, diligence and decorum. Your behavior commands your business, it will practically deliver good results, mediocre trials or success. Your leadership plays a huge role and the moral of your staff will direct the cause. Even when you have just a handful of staff or none at all your passion will have to be strong and contagious for you to reap benefits. Some think that business is all about luck, having money and surely good deeds. To a large extent yes you can surely hit a breakthrough with some of these however, business is not just for now but for the future also sustainability too. In business not all is about having luck, you want to build a successful business legacy that stands the test of time. Doing business on the local scene will be influenced by cultural and religious practices, it may also be influenced by certain norms that have become common practice, a lot of endurance and tenacity. It is different when doing business internationally, these factors play a very important

success role. A lot cannot be taken for granted, as this is not a common playing field. Multigenerational cultures, religions, and varying behaviors must be considered to succeed business wise. International Etiquette is one skill I would encourage all business professionals doing business internationally to develop, master and practice, it will go a long way towards building trust, credibility, integrity, authority and approachability. When you engage in international business and this entails you needing to travel to that intentional zone, you may want to consider a few of my tips below. These are the things I find are often taken for granted, they can easily make or mar a long business proposal, proposition, contract, deal or partnership. International Etiquette Strategies Dressing Deliberately. Doing business internationally can expand your business potential and enlarge your business prospects in a big way. You will need to make a conscious effort while preparing to have that physical international meeting. It first starts with packing correctly and dressing in a deliberate manner to fit in. Your packing will need to consider the weather, climate, as well as the season of the year you are travelling. When you factor these into your dressing it must be age appropriate, business acceptable and culturally approved. Your dress sense should be decent, have good fit, be comfortable for you, considering the climate, the altitude, the nature of the way people dress there too. Dressing for success speaks volumes as it is the key to creating a good first impression that will set the tempo for a successful business relationship. If you are regularly seen locally in casual attire maybe by virtue of your chosen field and you plan on

setting out for an international meeting in a more structured environment, it is more than important you carry along at least a formal suit for that purpose. Dressing down in a formal gathering may result in a poor impression, it may also affect your business reputation. Strive to manage your impression at all times home and abroad. Gracious Greetings. We have said that the hand shake is a universal greeting generally acceptable in major countries. A few countries may add the hug, a few blown kisses or altogether bow as a sign of respect. Have you ever considered the nature of your handshake? Do you know whether that handshake is appropriate? Has it ever occurred to you that certain important people receive handshake in a different way than others? Are you conversant with giving handshake in your business setting or would you rather do without it? The handshake is a deal maker that convenes trust, sincerity, confidence and honesty when delivered well. Your handshake should have purpose, let it be firm and credible, let is speak for you as a confirmation of your commitment to the discussion on ground. When greeting those you are meeting for the first time be sure to add a sincere smile; direct eye contact and the correct body language. Everything communicates and body language speaks a lot louder than your words will. Greeting graciously says a lot about your personality, your character and the level of charisma you have.

AMBROSE FASHE ENDURANCE

on first impressions or physical features. “We are inspired by the courage of individuals like Alani who are paving their own way despite societal expectations and our hope is that by telling their stories, people will get to know them and realise that there is so much more to them”, Craig van Niekerk, marketing director, Pernod Ricard Nigeria, said.

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‘

Everything communicates and body language speaks a lot louder than your words will. Greeting graciously says a lot about your personality, your character and the level of charisma you have

1. Your business logo. 2. Your corporate colours. 3. Your name. 4. Your position. 5. Your address. 6. Your three word mantra slogan (optional) 7. Your telephone number. 8. Your email. 9. Your social media handles (caution optional) Be wary of not over-crowding your business card with too much small lettering and information. Be specific as to what that business is all about. Considerate Communication. Doing business internationally may be challenged with language barrier or translation issues. How you plan to communicate while in a foreign land may mean you are dealing with that person who has a dealing for your everyday tongue or you may need to request for a translator. A lot of communication may be written by email or verbal by phone. It is important to determine what will work to move your business proposition forward. Understanding of what is comm unicated is a valid key. Always ensure you are on the same page, keep records of your communication too. Watch Out for Part 2 Janet.adetu@gmail.com

Boastful Business Cards Your business card is always your virtual image; it says what you want people to perceive about you and your business. If you are not there does your business card speak for itself? Can

Jameson inspires consumers with More Than Alte short film series ameson Irish Whiskey launches emotive digital campaign titled MORE THAN ALTÈ, where the brand takes a look beyond the misconceptions of the burgeoning altè scene in Nigeria, championing real people and their stories through a powerful and inspirational series of short films that depict courage, foster inclusivity and bring the altè community and everyday Nigerians together. A striking visual language with a strong message of inclusiveness and togetherness, Jameson hopes to inspire people to have the courage to pursue their independent spirits despite the everyday societal pressures. Launched on Friday August 9, 2019, the first MORE THAN ALTÈ film features Alani Adenle, Jameson brand ambassador, whose body is covered with more than 20 tattoos. As a shy and naturally quiet individual, his tattoos have become his voice. “People are often confused by what they do not understand and it is easier for them to pigeon-hole me as alté, than to get to know me, but there is so much more to me, I am more than my tattoos”, said Alani. Through the campaign, Jameson wants to shift the way of thinking around individuals like Alani, who are often being labelled based

others guess behind the name of your business you are into? Have you provided the relevant information to move your business forward? Your business card should take care of the following:-

Please share your experience with me by sending an email to or janet.adetu@jsketiquetteconsortium.com. / jtadetu@gmail.com Follow and like @janetadetu @jsketiquetteconsortium I look forward to hearing from you.

Johnnie Jazz & Whisky returns to Lagos …features Lagbaja, Wande Coal, Adekunle Gold

ohnnie, Jazz & Whisky, the premier platform for live and sensational afro-jazz music, is returning to Lagos tomorrow August 24, 2019 with another innovative experience. The music concert will feature exciting assortment of the finest cocktail serves, and most importantly, unforgettable live performances by melodious Adekunle Gold, jazzy

Lagbaja and soulful Wande Coal. As well, Johnnie Walker, the world’s most iconic Scotch whisky, will present “The Johnnie Walker Highball Cocktail Serve”, a new, vibrant and inspiring way to savour the smooth flavours of Johnnie Walker Black Label at the event. However, there will be Johnnie Walker highball for music lovers at the event; whether they are whisky lovers or novice. The Johnnie, Jazz & Whisky event, which is tagged (JJW), is a first-of-its-kind event in Nigeria featuring a titillating ensemble of jazz fusion performances by

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Nigeria’s finest acts and even finest whisky from Johnnie Walker Black Label. The musical is sponsored by Black Label and will draw participation from across many endeavours. Also, Johnnie Walker, the event sponsor, has been one of the world’s most preferred drinks since 1820. Within a hundred years of its existence, Johnnie Walker whisky was available in 120 countries around the world. The brand has stayed true to ‘Keep Walking’; its mantra that has remained unchanged over the years.

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Friday 23 August 2019

BUSINESS DAY

Sports 5 facts about Nigeria’s new sports minister, Sunday Dare

Stories by Anthony Nlebem

resident Muhammadu Buhari on Wednesday confirmed Sunday Dare, a veteran journalist and a native of Oyo state the new Minister for Youth and Sports. The 53-year-old replaces former sports minister Barrister Solomon Dalung and is currently the executive commissioner in charge of stakeholders management at Nigeria Communications Commission (NCC). Here are five facts about the new sports minister: 1. Dare is currently the executive commissioner in charge of stakeholders management, Nigeria Communi-

Sunday Dare

cations Commission (NCC). 2. A veteran Nigerian journalist who has worked in diverse aspects of the media, which includes: broad-

casting (TV and radio), journalism (electronic and print), and decades of multimedia journalism experience spanning over 25 years. 3. Born in 29 May 1966 (age 53 years) had his secondary school education at Baptist High School in Jos from 1978 to 1983. 4. Had his Advanced Level education at Oyo State College of Arts and Science, Ile-Ife, Nigeria, thereafter gained admission to Ahmadu Bello University where he graduated with a Bachelor of Science (BSc.) honours in International Studies in 1991. 5. His quest for knowledge motivated him to delve further to obtain a Master of Arts (MA) in Law and Diplomacy from the University of Jos, Plateau state Nigeria in 1996. Source: (Wikipedia).

2019 Remita Corporate Champions Cup begins with goal fest

ans of corporate football were treated to boundless excitement at the commencement of the 2019 and fifth installment of the prestigious Remita Corporate Champions Cup (RC3) tournament in Lagos on Sunday, 18th August 2019 as FrieslandCampina, Nestle, FCMB and Unilever booked semi-final spots. Defending Champions, FrieslandCampina, began their title defence at the YabaTech Sports Pavilion with an emphatic 3-0 victory over Telecommunications Games runnerup, MTN in a highly entertaining matchup. Two first-half goals in quick succession set the tone for what would be an end-to-end attacking display by both sides. The second half saw few spurned chances and close calls by both sides until an MTN defender scythed a FrieslandCampina forward in the 18-yard box. Ruth Okafor, the appointed female referee, did not hesitate to point to the spot, with the

attendant penalty kick coolly converted to secure a place for the side in the semi-finals. 2017 RC3 winners and defending Telecoms Games, IHS Towers were surprisingly whitewashed, in the opening game of the tournament, by FMCG Games runner-up, Unilever in a similar 3-0 defeat. The Unilever team assumed control of the tie from kick-off and badgered their opponents with finely tuned attacks and skills. Superstar musician, Ololade Keshinro popularly known as Lil Kesh punctuated the activities of the day with some of his popular tunes. Lil Kesh who was amazed by the dazzling fan reception provided amazing renditions of his top hits such as Able God, Gbese, and Ibile. Upon resumption of action, FMCG Games champions, Nestle trounced new-entrants, Union Bank in another high scoring 3-0 victory. The first-half ended goalless thanks to the heroics of the Union

Bank goalkeeper but he ultimately fell short in the second half as the flamboyant Nestle side found the net thrice with great ease, thereby ending the inaugural experience of the bankers. Bankers’ Games runner-up, FCMB secured the final spot of the semi-final in a hard-fought 1-0 victory over Insurance Games champions, NEM Insurance. FCMB took the lead in the early minutes of the game and defended resolutely in what was adjudged the most technical battle of the day. The fanfare was graced by dignitaries and c-class executives such as Deremi Atanda Executive Director of SystemSpecs; Jimmy Shogbesan, Chief Operating Officer of MediaVision Limited; and Tournament Ambassador, Peter Rufai. FrieslandCampina will go toe-totoe with Nestle while FCMB tackle Unilever on Sunday, 25 August 2019, for spots in the final of the competition.

L-R: Bimpe Ayo-Elias, Human Relations Manager, SystemSpecs, owner of Remita; Seun Badejo, Director, Quest Thorpe; Jimmy Shogbesan, Chief Operating Officer, MediaVision Limited; Deremi Atanda, Executive Director, SystemSpecs and Peter Rufai, Tournament Ambassador, Remita Corporate Champions Cup (RC3), during the opening ceremony of the 2019 RC3 tournament, held in Lagos on Sunday www.businessday.ng

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FIFA ban: NFF hires lawyers to defend Samson Siasia

he Nigeria Football Federation has disclosed that its lawyers have started to review the decision against former Nigeria player and coach Samson Siasia by the FIFA Ethics Committee, which on Friday announced that it had placed a life ban from all football-related activities on Siasia. Acting President of the Nigeria Football Federation, Barrister Seyi Akinwunmi, himself a lawyer of more than three decades at the bar, said on Monday that the Federation

had already reached out to the former U20, U23 and Super Eagles head coach and is aware that he is receiving appropriate legal advice. “The NFF was shocked to learn of the investigation and subsequent decision by the FIFA Ethics Committee (Adjudicatory Chamber) placing a life ban on Samson Siasia. But we have however now received documents, including one known as the Motivated Decision, and we have handed them to our lawyers to study and provide legal advice to the Federation. “It is a massive sanction on one of our legends. Siasia is a football legend but most importantly he is a Nigerian. We must therefore be interested in the matter and be properly advised.” Akinwunmi added: “Siasia gave his all for Nigeria, playing for the U20

team right from his secondary school days and then for the senior team for several years, and also coaching the U20 and U23 teams and the Super Eagles. While we respect the FIFA processes and appreciate that an investigation was conducted prior to the decision, the least we as a Federation can do is empathise with him at this time, make ourselves available to him and hope that in some way he is able to clear his name as he has promised to do.” Siasia was found guilty of having accepted that he would receive bribes in relation to the manipulation of matches. “The adjudicatory chamber of the independent Ethics Committee has found Samson Siasia, a former official of the Nigeria Football Federation, guilty of having accepted that he would receive bribes in relation to the manipulation of matches in violation of the FIFA Code of Ethics”, the statement reads. “The formal ethics proceedings against Siasia were initiated on 11 February 2019 and stem from an extensive investigation into matches that Wilson Raj Perumal attempted to manipulate for betting purposes. This large-scale investigation was conducted by FIFA via its competent departments and in cooperation with the relevant stakeholders and authorities. “In its decision, the adjudicatory chamber found that Siasia had breached art. 11 (Bribery) of the 2009 edition of the FIFA Code of Ethics and banned him for life from all footballrelated activities (administrative, sports or any other) at both national and international level. In addition, a fine in the amount of CHF 50,000 has been imposed on Siasia.”

Lagos set to host Turkish Airlines’ amateur golf tournament

urkish Airlines is set host the largest golf tournament in Lagos on September 5, 2019. The Turkish Airlines World Golf Cup, which is also the world’s largest corporate golf tournament, will be played in Lagos for the fourth time. Turkish Airlines through this tournament, demonstrates that business and golf are a natural fit and no-one combines the two as well as they do with events like this and their backing of the European Tour tournament, Turkish Airlines Open, and the Challenge Tour’s Turkish Airlines Challenge. The Golf Tournament is proof that the world’s finest airline also serves up the very best for its clients on the fairways as well as the runways – all with the genuine Turkish hospitality famous around the world. Golf is entrenched in the Turkish Airlines philosophy that customers’ clubs can even fly for free. Players can look forward to another unforgettable Turkish Airlines World Golf Cup, which is now in its seventh year and is sponsored by National Car Rental & SOCAR. Yunus Ozbek, General Manager of Turkish Airlines Lagos said: “We are thrilled to be back in Lagos with the TAWGC and a new group of golf@Businessdayng

ers as our event has become a highlight on the region’s calendar over the past four years. We are proud that this competition has grown in parallel with the world class Turkish Airlines brand. Good luck to the players, we look forward to inviting the winner to represent Lagos in the Grand Finals in Turkey later this year.” “Flying to more countries than any other airline in the world, Turkish Airlines supports some of the world’s most successful sportspeople and organisations bridging cultures and continents. Alongside TAWGC, Turkish Airlines is title sponsor of Turkish Airlines Euroleague, Europe’s top club level basketball competition and is committed to supporting the best sporting competitions around the world”, Yunus Ozbek added. The 2018 Turkish Airlines World Golf Cup broke records yet again with 100 qualifying events that took place around the world, including past Open Championship venue Royal Birkdale and Ryder Cup destinations Gleneagles and the K Club in Dublin. Winners reached the Grand Finals in Turkey and the champions in the Finals secured places in the Turkish Airlines Open Pro-Am, where previous winners have played alongside Tiger Woods and Rory McIlroy.

Friday 23 August 2019

BUSINESS DAY

Hotels

Top BusinessDay Partner Hotels Four Points by Sheraton Hotel (Oniru Chiefatancy Estate,Lekki) Tel: +234 1 448 9444

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

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

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

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

Book ahead, save more on hotel accommodation OBINNA EMELIKE

otels always seem to account for the largest portion of travel funds. Even when you are not booking a four or fivestar property, a few days stay in a hotel can easily empty your pocket if you are not financially disciplined or planned well ahead of your trip. Of course, most travellers like good hotels, but when you are on a budget, especially now that the exchange rate is very high, it is best to make sure you have enough after airfare and lodging to actually enjoy your trip; have good meals, go sightseeing, and buy some souvenirs for your loved ones. However, there a few tricks and tips on how to book cheaper hotel rates. Use search engines The popularity of hotel metasearch engines is on the rise and for good rea-

son: It is one of the most efficient ways to find affordable accommodations. If you are unfamiliar with this concept, a hotel metasearch engine is a website that searches multiple hotel booking sites at once. For example, instead of running a search on Expedia, Orbitz, Priceline, and the hotel’s website, you can use a metasearch engine to search multiple sites at once to see which provider offers the lowest rates and best value. Kayak, Hipmunk, Room 77, TripAdvisor, and Trivago are just a few of the options available. Call the hotel directly If you have a particular hotel in mind, calling the hotel directly can often result in better rates. Since you are able to speak with someone in real time, the staff will often be privy to rates that are not advertised online or, at the very least, they will be able to give you insight as to what is affecting hotel room pricing. Events like conferences, concerts, and conventions can cause hotel room www.businessday.ng

prices to skyrocket, and of course, certain times of year, such as the holidays, will see more expensive rates. If you are traveling and found out there is an event causing hotel rooms in the city center to be more expensive, then you need to research hotels away from the city center to find lower rates. Book cancelable rates Room rates can fluctuate as quickly as minute to minute because a hotel’s inventory is always changing. It is simple supply and demand: the more people booking rooms at a hotel, the more the hotel can charge. One thing you can do if you are not flexible with your hotel choice is to book a cancelable rate. It should be fairly obvious which rates are actually cancelable; there is usually a call-out that states something like “FREE cancellation – PAY LATER,” as seen on Booking.com. You better book the rate (but cross check it is actually cancelable) and then monitor the price, as well as, prices

of nearby and comparable hotels. It may take a little bit of extra legwork, but this tactic can save you as much as $US100 per night. Book last minute This is a trick best reserved for shorter trips, like romantic weekend getaways or impromptu get-togethers with friends in the city. But it is not good to wait till the last minute to book a hotel room for that expensive international trip you have been saving up for or leaving your lodging needs up to fate when there could be a major conference happening that results in a hotel room shortage. However, if you are flexible and also do a bit of research, booking last minute can result in much cheaper rates. Last-minute booking apps like HotelTonight, which works with hotels to negotiate deep discounts on unsold rooms, are a great starting point, and many of the online booking sites, like Expedia and Priceline, have their own “Tonight” or “Deals Tonight” section.

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

206 Exclusive Hotel Plot 206 Oladipo Diya Road Opposite Olympia Estate By Games Village Second Gate Durumi2 Abuja

Novotel Port Harcourt Address: 3 Stadium Road Rumuomasi, Port Harcourt Rivers State, Tel: 0809 713 5734

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

Southern Sun IkoyI Hotel Address: 47 Alfred Rewane Road, Ikoyi, Lagos Tel: +234 1 280 5200 / +234 1 280 0630 Email: ssikoyi.reservations@ tsogosun.com

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

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Friday 23 August 2019

BUSINESS DAY

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Friday 23 August 2019

BUSINESS DAY

Live @ The Exchanges

FOCUS

NSE collaborates with JP Morgan Chase on Derivative Stories by Iheanyi Nwachukwu

onsistent with its commitment to developing a thriving derivatives market in Nigeria, the Nigerian Stock Exchange is collaborating with JP Morgan Chase to facilitate in-depth capacity building programme on derivatives market. The collaboration with JP

Morgan is expected to promote the development of derivatives in Nigeria by helping to bridge the knowledge gap on derivatives investments and trading strategies, through knowledge transfer. The NSE believes that the introduction of derivatives will deepen the market, enhance liquidity and help mitigates against price, duration and other financial risks that may arise from sophisticated financial transactional activities.

The Exchange kicked off its derivatives project in 2015 following a marketwide feasibility study concluded in 2014 which pointed to prospects for product creation in the equity, debt, currency, energy and commodity markets. The team from JP Morgan Chase led by Leenart Sjoerd, Global Head of Corporate Bank & Head, CEEMEA, visited the Exchange this week. They were honoured with a Closing Gong ceremony.

L-R: Segun Aina, president, Fintech Association of Nigeria; Mary Uduk, acting director General Securities and Exchange Commission, SEC, and Ade Bajomo, executive director Access Bank and chairman Fintech Roadmap Committee, at the Second Quarter Capital Market Committee Meeting in Lagos.

Sahara Group restates commitment to developing South Sudan’s Energy Sector

xecutive Director, Sahara Group, Tope Shonubi has said the energy conglomerate remained resolute in its decision to contribute to the growth and development of South Sudan’s economy through investment in the oil and power sectors of the world’s youngest democracy. Shonubi who made the assertion during a courtesy call on South Sudan’s President, Salva Kiir Mayardit at the State House yesterday in Juba, said Sahara Group was firmly behind the administration’s policy requiring all local and foreign investors to align with the nation’s good governance protocol in all sectors of the economy. “Sahara Group has a track record of good governance that is widely acclaimed across various markets where we operate

in Africa, Asia, Europe and the Middle East. We are behind full compliance with all governance requirements in South Sudan. In fact, we are here to join hands with the good people of South Sudan under the leadership of President Kiir to ensure sustained economic development in the nation,” he said. The meeting which was chaired by President Salva Kiir also had the Presidential advisor on Security Affairs, Tut Gatluak, Minister in the Office of the President, Mayiik Ayii Deng, Minister of Petroleum, Awuou Daniel and the Minister of energy Dhieu Mathok in attendance. The Minister of Petroleum Awuou Daniel commended Sahara Group’s partnership role in South Sudan, noting that Sahara Energy had continued to make good its interest in the energy sector and power

plant projects through ongoing investments and collaboration with the ministries in charge of the sectors. Shonubi said Sahara Group will also contribute to projects designed to enhance sustainable development in South Sudan through the Sahara Foundation which had since upgraded the Computer Centre at the University of Juba with modern equipment. Following the intervention, the center now boasts a better learning ambience, brand new computers, central UPS and server, air conditioners, roof mounted projector and furniture. The Computer Center project has set the foundation for other development interventions that Sahara Group is exploring to drive economic empowerment in South Sudan, Shonubi stated.

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Zainab Shamsuna Ahmed: Will immense passion stir interest for service? Iheanyi Nwachukwu

t is a minister’s job to do good economic policy, but an equally important part of the job would be to sell it. In the light of this, Zainab Shamsuna Ahmed, the Nigerian Minister of Finance, Budget And National Planning is expected to passionately stir the Nigerian economy without undermining its stability. She is to help pursue policies with entrenched interest for service to the people without wrecking the economy. Of course the measure of any finance minister, just like Ahmed, former Executive Secretary and National Coordinator of the Nigeria Extractive Industries Transparency Initiative (NEITI), is whether he or she is capable of divining either a new order for the economy or a decided stepchange in the functioning of the current one. Her measure has been in her ability to comprehend danger and act decisively to get rid of or minimise it. Ahmed, an Accountant who was in 2015 appointed Minister of State for Budget and National Planning by President Muhammadu Buhari, understands budgeting with which she will have to balance government’s spending priorities with the need to maintain public services and hold up the economy even at a time of fragile growth. She, with extensive knowledge and diverse experience in finance, public sector reform and management, would probably be among the first to admit that she who assumed office as finance minister in 2018 has indeed had some luck. But her work now as Minister of Finance Budget And National Planning can be acknowledged much for what she did for Nigeria on her careful eight-month watch – during the economic straits in the face of the recession, which the administration confronted during the first four years of President Buhari. The fiscal rules that she and her economic management team (EMT) put in place to deal with the recession and to stimulate the economy were seemingly proactively ahead of the impecunious. The efforts of Ahmed, a graduate of both Ahmadu Bello University Zaria and Olabisi Onabanjo (formerly Ogun State University) Abeokuta, have become almost retentive in her insistence and imposed discipline to make sure the economy did not experience anything perfunctory and was headed in the right direction. Through the implementation of policies in the Economic Recovery and Growth Plan

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Zainab Shamsuna Ahmed

(ERGP) which the administration of President Buhari developed in 2017, the economy in the real sense exited recession and has since then moved towards a path of growth that is sustainable, inclusive as well as diversified. Notably, Nigeria has achieved seven consecutive quarters of Gross Domestic Product (GDP) growth since the economy exited recession in the Q2, 2017. It was a really important moment for the country as the country rallied her and her colleagues in the EMT; Nigerians worked together through that period and the results are all there, reflecting well on the government and really arguably well on the people. Apart from the fact that there is continued and deliberate effort to deepen the Nigerian non-oil economic performance with non-oil GDP growth of 2.70 percent as at Q4 2018, which represents a 0.38percent increase in growth compared to Q3 2018, every sector is targeted to contribute to the increase in growth. Ahmed, the Chairperson of the Board of Trustees of the African Union (AU) Peace Fund, has underpinned the Nigerian economy by moving fiscal policy rapidly into a higher gear. Nigeria has witnessed strategic investments in critical infrastructure and in human capital to spur further economic growth. The plan, according to her, has been to improve the fiscal space by boosting revenues as well as implementing the ongoing effort through Strategic Revenue Growth Initiatives (SRGI). Considering revenue growth as a strategic priority for the ministry of finance, the SRGI is a key aspect of the government’s strategy to improve non-oil revenue through fiscal buffers, and ultimately improve the revenue to debt service ratio and to improve the ratio of non-oil revenue to non-oil GDP. Obviously a set of initiatives have been itemised in the SRGI to increase the country’s revenues across all revenue types, to ensure that the whole of government is focused on revenue generation. Of course, @Businessdayng

the greater efficiency is meant to help the economy grow, to stimulate the economy and to make life better for all in Nigeria. Similarly, under her watch, year-on-year inflation rates continue to improve from a high rate of 18.7percent in January 2017 to 11.37percent in April 2019. The external reserves on one hand grew from $28.3 billion in 2015 to $44.69 billion as at May 13, 2019, and this represents a significant improvement that has helped to stabilise the economy, including stabilising the exchange rates. If the proof of the pudding is in the eating, Ahmed’s stewardship and that of her colleagues in theEMT has brought Nigeria through the bumps. More so when the ongoing integration of different biometric databases in Nigeria is completed, it is anticipated that the figure on the taxpayer database will grow to 45 million individuals, inclusive of corporate tax payers. The minister has presided over Nigeria’s ambitious tax scheme; So far, the taxpayer database has expanded from 10 million that was inherited by President Buhari in 2015 to 35 million as at the end of 2018. In addition to the mapped out initiatives, the ongoing Value Added tax (VAT) expansion programme is designed to ensure improved collection efficiency while ensuring there is automation of VAT collection at source in some key sectors. The target at improving the VAT collection, which was N148.92 billion as against the budgeted figure of N207.51 billion in 2018, also considers seriously the digitalisation and transformation initiatives, which are an integral part of the whole revenue collection process. By this appointment, Ahmed is certainly being recognised for her efforts in fighting corruption and increasing transparency in government. Worthy of note is the outcome of the Presidential Initiative on Continuous Audit (PICA), which, according to her, has saved the Federation N603.78 billion from its inception in 2016 to date.

Friday 23 August 2019

BUSINESS DAY

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Friday 23 August 2019

BUSINESS DAY

CULINARY DELIGHTS

The Grill Room a flavourful buffet experience at the Wheatbaker

t was the 18th century, and in France, that the modern-day buffet was developed which soon spread across Europe. Serving a meal to oneself has a long and interesting history, but the original term buffet referred to the sideboard where all the various types of food was served, although, eventually this style of eating was converted to modern-day buffets. When I get ready to go to a meal that involves a buffet, I typically try to not eat anything before so I can have enough space to thoroughly enjoy the different food options. I happened to be in Ikoyi for a meeting not too far from the Wheatbaker on 4Oni-

Shackleford introduced new production and marketing methods. The business expanded into other Nigerian towns, and in the 1930s into the then Gold Coast and he became known as the ‘Bread King’ and the bread as ‘Shackleford’. He eventually sold out and retired in 1950. The story of Amos Stanley a Jamaican who opened a bakery in Nigeria might explain why the bread is so fresh and delicious. The Grill Room which is one of 3 restaurants at the Wheatbaker is situated by the pool and offers an array of food options from roast tomato basil soup, beef carpaccio, all the high-end steak, seafood and poultry you can imagine.

would be the meat station which features several types of cuts from around Africa and South America. Every piece of food I ate from the smoked salmon, various cheese from gouda to cheddar, to the basmati rice and Indian flavored chicken, steak, lamb, and fresh vegetables. The Grill Room takes inspiration from Nigerian climate, South African and local cuisine, grills, seafood, pastas and much more. I tend to stay away from buffets because I worry about quality control for large numbers. I worry about how each piece is carefully cooked because let’s face it not everyone knows how to cook large portions while ensuring each portion is equally delicious.

tolo road, so I decided to pop in for a quick lunch. The Wheatbaker is known to be an outstanding hotel in Lagos. It is timeless, luxurious and the story behind what we know as the Wheatbaker is quite an interesting one. The hotel is named after Amos Stanley Wynter Shackleford was born in the Maroon community of Charlestown, near Buff Bay, Portland, Jamaica, he was industrialist and entrepreneur who started his career started in the railway industry and when jobs on the Nigerian Railway were advertised in Jamaica, he took the opportunity offered and left for West Africa in 1913. He went into business on his own, setting up a bakery on a small domestic scale. This business flourished, and

I was very pleased to see the design and the amount of food present and exploding with excitement! They also have nutritious salads as well as vegan and vegetarian options. The Chef’s name at The Grill Room is Jannie Melis. When asked about his inspiration for his food he says “I just like to use good quality ingredients and allow the food to speak for itself is my main philosophy when it comes to cooking.” The buffet food was very flavourful and that is what I like the most about it. The wide selection of food originated from many places around the world. Something to take note of would be the beautiful cheese spread which you can scrape-out to your heart’s desire. Another notable point at the buffet

Whenever I’m at the Wheatbaker out of habit I usually order straight from the menu but I must say that I thoroughly enjoyed my buffet experience at the Whetabker and can say that the food is of top quality and it is fresh. As it was a rainy day, I had tea with my meal. I particularly loved the English breakfast blend, it was delicious and had a hint of cinnamon. A perfect blend for a rainy afternoon. The Wheatbaker is a go-to place for many reasons, comfortable stay, a relaxing spa experience, great dining options, and event spaces too. Its one of my go-to places in Lagos and I highly recommend it. It’s perfect for a business meeting, brunch on Sundays, afternoon tea or a midday lunch.

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

RATING 4.3

Service - 4 Taste - 4 Value - 5 Total

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

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Friday 23 August 2019

BUSINESS DAY

news Investors demand higher yields... Continued from page 1

first undersubscription in two years. Similarly, a N110 billion auction conducted Thursday by the Central Bank of Nigeria (CBN) via Open Market Operation (OMO) was rejected by investors as their demand for higher rates was not met. “The government sold very little because they wanted to keep the interest rate very low,” said Omotola Abimbola, a macro and fixed-income analyst at Lagos-based Chapel Hill Denham. “They are wary of the fact that Nigeria is facing high borrowing cost.” The total inflow available to fund the federal government 2018 budget in the first three quarters of the year stood at N2.81 trillion. Out of this amount, the total debt service within the period was N1.81 trillion, indicating a debt service-to revenue ratio of 64.5 percent, data obtained from the Budget Office of the Federation show. This implies for every N100 Nigeria generated as revenue in the first nine months of 2018, about N64 was used in servicing existing debts. “We expect the ratio to settle at 65 percent at yearend,” said Abimbola. The debt service to revenue was largely driven by local debt settlement of N1.57 trillion, which represents 86 percent, as against N195.36 billion spent for external debt service during the review period. Crude oil accounts for over 90 percent of Nigeria’s foreign exchange earnings and more than 70 percent of its revenue, implying the nation remains susceptible to shocks in the prices of the commodity in the international market. Brent Crude, the international oil benchmark against which Nigerian oil is priced, last week fell below the country’s crude price projection of $60 a barrel in 2019 approved budget on the trade spat between the United States and China. This further blared warning sounds of mounting risks in Nigeria’s economy. As a result, offshore investors sold off Nigeria’s local currency assets, a move that drove yields higher in the secondary market, both in the treasury bills (T-Bills) and bonds. Average discount rates rose by 74bps to 14.53 percent due to increased selloff and tight system liquidity in the T-Bills market on

Thursday, while average bond yield inched higher by 4bps to 14.73 percent. To address the worrisome amount spent to service domestic debt in the country, the DMO is adopting cost-effective approach such as reducing local debt and increasing external borrowing in line with its debt management strategy which was unveiled in 2016. A move in that direction means the government would not be interested in borrowing at expensive rates to meet its financial obligation evident at the August 2019 FGN bond auction where investors, particularly offshore players showed weak demand across all instruments offered. “DMO was not comfortable selling above where it cleared the auction and market players wanted higher yields,” said Nnamdi Olisaeloka, a fixed-income analyst at Zedcrest Capital Ltd. “The expectations are that yields should keep trending higher towards year-end, and when yields get to attractive levels, investors will meet their demands for the bonds at the secondary market.” The government aimed to raise N145 billion across 3 instruments comprising 5-year, 10-year and 30-year re-openings. However, only N95 billion total subscriptions were recorded, implying the DMO undersold at a bid-to-cover ratio of 0.7x as against 2.1x recorded in the previous month. Similarly, an analysis of CBN’s N110 billion auction seen by BusinessDay shows that the short and long term maturities recorded no sale, while the medium-term bills were not bid for at all by investors. Reacting to the development, Ayodeji Ebo, managing director, Afrinvest Securities Limited explained, “The “no sale” was due to demand for higher rate by investors for the short and long term maturities while the “no bid” for the medium term bills was due to more attractive rates in the secondary market. “We expect the CBN to raise OMO rates at the next auction if the trend persists,” Ebo said in response to BusinessDay. The OMO simply means the buying and selling of government security, which enables a central bank to control the supply of money in the banking system. www.businessday.ng

L-R: Yomi Ademefun, board member, National Agricultural Seeds Council (NASC); Feyisayo Ajayi, head, think thank operations, Nigerian Economic Summit Group (NESG); Olusegun Philip Ojo, director general, NASC; Maruf Adebisi, president, Association of Seeds Scientists of Nigeria, and Dolapo Enejeh, programme manager, think thank operations, NESG, at the NESG-NASC stakeholders dialogue on the National Agriculture Seeds Council Act in Lagos, yesterday.

Banks race to boost lending as CBN’s... Continued from page 1

regulatory level. This comes as three banks are currently below that threshold, according to data from their most recent financial statements for the second quarter (Q2) of 2019. In order to spur lending to the real sector and propel economic growth, the CBN had mandated all Deposit Money Banks to maintain a minimum LDR of 60 percent, which will be subject to quarterly review. The LDR compares a bank’s total loans to its total deposits for the same period and is expressed as a percentage. A high loan to deposits ratio means that the bank is issuing out more of its deposits in loans and vice-versa. In computing the LDR, BusinessDay considered the loans and deposits at the bank level for the Nigerian operations, excluding the impact of the 150 percent SME/ retail weighting on the LDR. A cursory examination of the financial statements of lenders that have released Q2 results shows that one tier-1 bank and two mid-tier lenders failed to meet the minimum requirement as they recorded LDR of 57 percent, 52.50 percent, and 56.25 percent, respectively. On the other hand, Zenith Bank, First Bank Holdings, First City Monument Bank, and Sterling Bank scaled the

hurdle as their LDR stood above the threshold at 69.78 percent, 63.0 percent, 65.82 percent, and 75.28 percent, respectively. In order to magnify their customer base, improve asset quality and bolster loans to deposit ratio, Nigerian banks are planning on tapping the retail segment of the market. Guaranty Trust Bank’s management said in a conference call this week that the bank is on track to grow loans by about N40 billionN50 billion to meet CBN’s 60 LDR limit by the September 30, 2019 deadline. “We are ramping up efforts to grow our digital loan book, with related exposures now at N25.0 billion. Targeted sectors for loan growth are manufacturing, retail, consumer lending and telecommunications,” GTB said in the conference call. Zenith Bank said it is creatively deploying new retail loan products to ensure it captures a reasonable share of the retail loan market. Other lenders, from Access Bank to Stanbic IBTC, have rolled out new retail loan products. Nigerian banks are some of the most reluctant lenders in major emerging markets, with an average loan-todeposit ratio below 60 percent. That compares with 78 percent across Africa, according to data compiled by Bloomberg. It’s above 90

percent in South Africa and about 76 percent in Kenya. Lenders have been taking advantage of attractive yields on short-term securities to bolster profit and deliver higher returns to shareholders in form of higher dividend. Analysts say banks are cautious to grant credit to the real sector of the economy as most of them are still recovering from the precipitous drop in crude oil price, which battered asset quality. While the new lending measures could be slightly positive for loans in the subsequent quarters, they may impact negatively on banks’ assets quality as such credit extension may likely go to the low-asset quality sectors compared with the highquality corporate bonds. Kayode Tinuoye, fund manager at United Capital Limited, says he believes the tier-1 lenders will want to take the risk by forfeiting 50 percent of the target shortfall on the LDR to the central bank than create low-quality assets within the short period of time. “I think close to 60-70 percent of the small players are close to that level but the ones without earnings capacity will struggle,” said Tinuoye. However, Ronke Akinsola, head, financial services at Chapel Hill Denham, is of the opinion that it might not be easy for key players in the industry to cut deposits to meet the target.

geting small and large businesses, as well as non-profits. Earlier this week, the FBI named Obinwanne Okeke, CEO of Invictus Group, in one of the recent cases of internet fraud, which has put the nation in bad light. The Nigerian entrepreneur

and young billionaire who was celebrated by Forbes Magazine as one of the American magazine’s “30 under 30” is said to currently be in FBI custody over an alleged $11 million internet scam from which Okeke is said to have got his wealth. According to news reports, Okeke was apprehended

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Continued from page 2

around the 6th of August for conspiracy to commit fraud and wire fraud after the agency carried out a thorough investigation that linked him to the crime. This on-going case have added to the numerous crimes reported that are denting the image of the Nigeria.

“These are salient issues around agriculture. They are worth mentioning,” he said, but emphasising his preference, added, “We can harp on insecurity.” The AFAN president, however, also acknowledged, “If you don’t do well in transport, you are certainly going to do something very bad to agriculture.” Post-harvest losses (in Nigeria) have been estimated to range between 5 and 20 percent for grains; 20 percent for fish and as high as between 50 and 60 percent for tubers, fruits and vegetables, and without electricity not much can be done in storage or even processing for value addition. Good roads also play a role in ensuring agricultural produce would not only be saved from losses, but in fact, get to the market and enable farmers get the best returns. Post-harvest loss is not just a crop thing, it affects even dairy where if one milks a cow and it is not properly preserved within three hours, it will go completely bad. As some researchers have noted, increased food production is not the final solution to food security. It has to be complemented by good harvest and postharvest practices to reduce the amount of food loss. A 50 percent reduction in postharvest food loss in Nigeria will also reduce the need for food importation. Augustine Okoruwa, senior project manager, Postharvest Loss Alliance at the Global Alliance for Improved Nutrition (GAIN), told BusinessDay that all factors (security, electricity, and road) are important and need to be addressed simultaneously.

•Continues online at www.businessday.ng

US justice department indicts over 66 Nigerians for cybercrime... Continued from page 2

Feeding Nigeria’s 200m people...

@Businessdayng

Friday 23 August 2019

BUSINESS DAY

news

Insecurity, malnutrition, others still hamper Nigeria’s fight against wild poliovirus - NPHCDA Cynthia Egboboh, Abuja

L-R: Chinasa Ken-Ugwuh, former senior programmes manager, Africa Initiative for Governance; Omowunmi Martins-Onimole, head, marketing and branding, Andersen Tax Nigeria; Ezeji Ebuka, head, digital communications, Signal Alliance; Ayowande Aduwo, business liaison officer, FCMB (UK) Limited, and Thelma Osadebay, CEO, SPAC Initiative, Africa lead, all speakers at the BusinessDay CEO Apprentice - an entrepreneurship programme for teenagers in Lagos. Pic by Pius Okeosisi

FG says invested N1.3trn in education in 4 years, assures of more investment TONY AILEMEN, Abuja

... as Buhari unveils CBN centres of excellence

resident Muhammadu Buhari on Thursday assured Nigerians that his administration would not rest until it delivered on its commitments on quality education, including investing more resourcesinthesectorandproviding a conducive learning environment in the academia. President Buhari stated this while inaugurating the newly completed Post-Graduate Centre of Excellence at the Ahmadu Bello University (ABU), Zaria, constructed and donated to the school by the Central Bank of Nigeria (CBN). He described the construction as a testimony to his administration’s effort at supporting qualitative learning from the primary through to the tertiary level, adding that his administration invested about N1.3 trillion in the educational sector of the

country, excluding personnel and overhead costs. The current funding gap notwithstanding, the President assured that his administration, in its second term, would continue to accord education priority by ensuring adequate funding for the sector to make it affordable, qualitative and competitive with what was obtainable in more developed countries. He commended the CBN for supporting the Federal Government’s investments in the educational sector as well as other keys areas of the economy tied to overallnationaldevelopment,and urged the bank to sustain such funding support for research and overall economic development. The CBN governor, Godwin Emefiele, in his welcome address, said the bank’s involvement in the funding and infrastructural support in the educational sector

was borne out of the conviction thataneducatedworkforceplayed a critical role in the advancement of the Nigerian economy and the society in general. He disclosed that the three Centres of Excellence, located at Zaria, Enugu and Ibadan would commence operation in October 2019, adding that “the CBN expects the universities to take maximum advantage of the world-class facilities provided by the bank to challenge their counterparts in London, New York,andDubaiintheprovisionof training programmes in banking andfinance-relateddisciplinesfor the global business community.” He said the bank’s analysis of the factors responsible for the growth of successful economies, indicated that investment in education played a prominent role in driving innovation and growth in advanced and emerging econo-

mies, while also contributing to significant reductions in inequality. “Hence, the CBN, being a knowledge-driven organization, had to ensure the sustenance of improvements in institutions of higher learning across the country.” The CBN Centre of Excellence project was is designed to accommodate the Central Bank of Nigeria Collaborative PostgraduateProgramme(CBN-CPP), described as a “child of necessity in the Bank’s intervention programme in the educational sub-sector.” For Emefiele, “the project was conceived to produce a critical mass of skilled professionals that will be able to apply their knowledge towards supporting growth and continued innovation in our nation’s financial sector and the economy in general.

NIRSAL in talks with GAA for agro industrial projects in Nigeria Cynthia Egboboh, Abuja he Nigeria IncentiveBased Risk Sharing System for Agricultural Lending (NIRSAL) has begun engagement with the German Agribusiness Alliance (GAA) towards establishment of agricultural industrial projects in Nigeria. Aliyu Abdulhameed, managing director, NIRSAL, while receiving the German delegates on Thursday in Abuja, said the engagement with the German Agribusiness Alliance aimed at creating a platform for pooling and exchanging economic ideas and interests to boost the success around agriculture and agribusiness in Nigeria. According to Abdulhameed, the partnership with GAA is one of such significant collaborations that will strengthen the bilateral relations between Nigeria and Germany towards promoting sustainable investments in Nigeria.

He said, “The partnership with the German Agribusiness Alliance and by extension, German agribusinesses, has been identified as a potential strategic leverage for obtaining invaluable benefits for NIRSAL and Nigeria towards the establishment of agro-industrial projects.” The partnership will have enormous impact in Nigeria’s rural communities, given that upstream segment of Nigeria’s agricultural smallholders in rural areas dominate value chain, he said, adding that with the pull and push vibrations in the upstream segment, the midstream and downstream will also be impacted. He said it was imperative that the finance, technology and equipment capitals required to completely revive the agric sector were sought at home and abroad to harness the vast arable lands, adequate rainfall and sunshine, and the huge market in Nigeria. www.businessday.ng

“NIRSAL will continue to source, identify and enter into partnerships that improve its relevance to Nigeria and Nigerians,” he said. According to him, NIRSAL will be able to leverage the GAA’s global network in supporting the agriculture/agribusiness sector by attracting investments into Nigeria. Frank Nordmann, president, GAA in his remark, said the collaboration aimed at providing the support needed to improve the Nigeria agricultural value chain as well as promote healthy food for local consumption. “We represent the whole agricultural value chain, we are bringing the technology and knowledge to support the Nigeria farmers to as well as ensure improved agricultural yield to feed the Nigeria population,” Nordmann said. He said the projects also focus on job creation, building the capacity of farmers on best practices as well as use of farm

machinery to aid production of quality foods for exports. “We have visited the vice president and the central bank to present our business, we bring together all the necessary players in the value chain to create a win-win situation for the Nigeria farmers to produce healthy good food that can be consumed locally as well as exported”. “In the first stage we sought partners but when we begin the production of food, we would need factories and workers and this will create jobs for the youths,” he said. Babashani Abdulrahman, CEO, Mubarak Farm, said the collaboration was a step in the right direction as it addressed access to finance and technology, which had remain a challenge to farming in Nigeria. Abdulrahman said the testing viability of land remain a missing angle that needed to be fixed, adding that there was need for lands to be tested before they were used.

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ational Primary Health Care Development Agency (NPHCDA) has lamented that insecurity, malnutrition, and poor sanitation, among others, pose great challenge in Nigeria’s fight against wild poliovirus. Faisal Shuaib, executive director, NPHCDA, on Wednesday, stressed that there was need for an urgent and collective effort in addressing the challenges faced in the fight to maintain a wild poliovirus free status, adding that inadequate funding had often hindered the activities of the primary health care in states and local government levels. “Polio campaigns will continue in current intensity to ensure children and our environment are protected against all types of poliovirus while further strengthening routine immunisation against vaccine preventable disease,” Shuaib said. Shuaib, speaking at the world press conference to mark three years without wild poliovirus case in Nigeria, held in Abuja, said following the achievement, Nigeria had commenced the

process of documentation towards the final certification by the Africa regional certification commission. “It is imperative that all stakeholders continue to support the polio programme through technical, financial and political oversight to prevent the reoccurrence of the poliovirus and stop the spread of all other type of polio virus in all states and local governments in Nigeria,” he said. Peter Clement, officer in charge, World Health Organisation (WHO), said the next six months towards evaluation of Nigeria’s documentation were therefore most critical, adding that the stakeholders should not relent in effort made so far. Clement, commending the effort of the government, said: “Since the last outbreak of wild polio in 2016 in the northeast, Nigeria has strengthened supplementary immunisation activities and routine immunization, implemented innovative strategies to vaccinate hard-too reach children and improved acute flaccid paralysis (AFP) and environmental surveillance. These efforts are all highly commendable.”

‘Lack of technical, managerial skills responsible for ailing businesses’ Solomon Attah, Lafia

overnor Abdullahi Sule of Nasarawa State has expressed concern over the increasing numbers of ailing businesses in the state, saying his administration is going to provide start-ups the opportunities to thrive without stress. The state governor stated this on Thursday at the 2nd Nasarawa Entrepreneurs Summit organised by SKDC Global Links Limited in Lafia. He noted that one of the factors responsible for the increasing ailing businesses was lack of technical and managerial skills to harness the potentials to access funds to grow their business. Governor Sule said, “The summit couldn’t have come at a better time than now, as we have so many ailing businesses to revive and many start-ups in need of direction. “It is a well know fact that

Nasarawa State is endowed with abundant natural resources. What is lacking is the technical and managerial skills, as well as to access funds through credit and grants,” he said. He hopes that the entrepreneurs in the state would grow and strive to do well and to remain in business. “I believe that it is through events as this that the capacity of our people will be built, strengthen and in turn to create wealth and employment for everybody.” He reiterated the commitment of his administration to train a number of youth, after which they would be provided with tools and start-ups capital to grow their businesses. “There are also plans to provide training in agro business and credit facilities for women and youths, and all these we hope to achieve before our 100 days in office,” he said.

World Bank debars seven Chinese construction firms in Nigeria MIKE OCHONMA

he World Bank, for violating its fraud and corruption policy, has debarred seven Chinese construction firms, including a major railway builder. The names of the seven have appeared on the World Bank’s sanction list, meaning that they are ineligible to bid for World Bank-funded projects for a specified period of time. Details of infractions were not given. The seven, all debarred for the relatively short period of 10 months to March 2020, are the China Railway Construction (International) Nigeria Co. Ltd, China Railway 18th Bureau Nigeria Engineering Co. Ltd, China Railway 18th Bureau @Businessdayng

Nigeria Co. Ltd and the CECC Nigeria Lekki (FTA) Co. Ltd. Others are the CCECC Nigeria Railway Co. Ltd, CRCC Petroleum & Gas Co. Ltd and the CCECC Nigeria Co. Ltd. On August 14, 2019, the bank announced the 15-month debarment of Chinese firm Beijing Jingold Construction Co., Ltd in connection with fraud during the procurement process for the $38.6 million Samoa Aviation Investment Project, an airport improvement scheme. The bank found that the company had a history of contract non-performance at the time of bidding, but misrepresented this fact when it bid. The company did not win the contract.

Friday 23 August 2019

BUSINESS DAY

Live @ The STOCK Exchanges Prices for Securities Traded as of Thursday 22 August 2019 Company

Market cap(nm)

Price (N)

Change

Trades

Volume

Company

Market cap(nm)

Price (N)

Change

Trades

Volume

PRICES FOR MAIN BOARD SECURITIES (Equities) BANKING ACCESS BANK PLC. 229,266.71 6.45 4.03 146 10,090,972 UNITED BANK FOR AFRICA PLC 205,196.53 6.00 1.69 223 12,935,022 ZENITH BANK PLC 565,136.89 18.00 2.86 364 54,306,464 733 77,332,458 OTHER FINANCIAL INSTITUTIONS FBN HOLDINGS PLC 179,476.46 5.00 -1.00 204 9,034,640 204 9,034,640 937 86,367,098 TELECOMMUNICATIONS SERVICES MTN NIGERIA COMMUNICATIONS PLC 2,808,922.80 138.00 1.47 74 2,969,075 74 2,969,075 74 2,969,075 BUILDING MATERIALS DANGOTE CEMENT PLC 2,845,764.74 167.00 0.60 34 247,178 LAFARGE AFRICA PLC. 221,482.19 13.75 -0.36 31 10,323,181 65 10,570,359 65 10,570,359 EXPLORATION AND PRODUCTION SEPLAT PETROLEUM DEVELOPMENT COMPANY PLC 288,337.83 490.00 - 9 5,727 9 5,727 9 5,727 1,085 99,912,259 REAL ESTATE INVESTMENT TRUSTS (REITS) SKYE SHELTER FUND PLC 1,710.00 85.50 - 0 0 UNION HOMES REAL ESTATE INVESTMENT TRUST (REIT) 10,175.81 40.70 - 0 0 UPDC REAL ESTATE INVESTMENT TRUST 14,408.66 5.40 - 0 0 0 0 0 0 OTHER FINANCIAL INSTITUTIONS NIGERIA ENERYGY SECTOR FUND 411.91 552.20 - 0 0 VALUEALLIANCE VALUE FUND 3,312.39 103.20 - 0 0 0 0 0 0 0 0 CROP PRODUCTION FTN COCOA PROCESSORS PLC 440.00 0.20 - 0 0 OKOMU OIL PALM PLC. 38,299.49 40.15 -9.78 58 195,560 PRESCO PLC 44,800.00 44.80 - 12 5,729 70 201,289 FISHING/HUNTING/TRAPPING ELLAH LAKES PLC. 8,520.00 4.26 - 0 0 0 0 LIVESTOCK/ANIMAL SPECIALTIES LIVESTOCK FEEDS PLC. 1,230.00 0.41 - 15 302,470 15 302,470 85 503,759 DIVERSIFIED INDUSTRIES A.G. LEVENTIS NIGERIA PLC. 688.30 0.26 - 2 3,111 JOHN HOLT PLC. 179.01 0.46 - 0 0 S C O A NIG. PLC. 1,903.99 2.93 - 0 0 TRANSNATIONAL CORPORATION OF NIGERIA PLC 43,086.87 1.06 -0.94 142 32,101,424 U A C N PLC. 15,559.00 5.40 -0.93 75 6,170,627 219 38,275,162 219 38,275,162 BUILDING CONSTRUCTION ARBICO PLC. 711.32 4.79 - 0 0 0 0 INFRASTRUCTURE/HEAVY CONSTRUCTION JULIUS BERGER NIG. PLC. 27,192.00 20.60 - 4 2,760 ROADS NIG PLC. 165.00 6.60 - 0 0 4 2,760 REAL ESTATE DEVELOPMENT UACN PROPERTY DEVELOPMENT COMPANY PLC 2,780.28 1.07 - 6 17,276 6 17,276 10 20,036 AUTOMOBILES/AUTO PARTS DN TYRE & RUBBER PLC 954.53 0.20 - 0 0 0 0 BEVERAGES--BREWERS/DISTILLERS CHAMPION BREW. PLC. 13,231.85 1.69 - 1 100 GOLDEN GUINEA BREW. PLC. 242.22 0.89 - 0 0 GUINNESS NIG PLC 90,681.85 41.40 - 44 376,627 INTERNATIONAL BREWERIES PLC. 98,852.41 11.50 - 4 240 NIGERIAN BREW. PLC. 405,442.93 50.70 1.20 49 1,356,856 98 1,733,823 FOOD PRODUCTS DANGOTE FLOUR MILLS PLC 104,000.00 20.80 - 130 3,167,546 DANGOTE SUGAR REFINERY PLC 115,200.00 9.60 - 67 491,000 FLOUR MILLS NIG. PLC. 56,585.24 13.80 -0.72 38 20,418,973 HONEYWELL FLOUR MILL PLC 8,485.31 1.07 4.90 33 746,091 MULTI-TREX INTEGRATED FOODS PLC 1,340.10 0.36 - 0 0 N NIG. FLOUR MILLS PLC. 766.26 4.30 - 0 0 NASCON ALLIED INDUSTRIES PLC 33,117.98 12.50 - 9 45,851 UNION DICON SALT PLC. 3,321.07 12.15 - 0 0 277 24,869,461 FOOD PRODUCTS--DIVERSIFIED CADBURY NIGERIA PLC. 17,467.28 9.30 3.33 12 118,466 NESTLE NIGERIA PLC. 967,040.63 1,220.00 1.67 102 744,257 114 862,723 HOUSEHOLD DURABLES NIGERIAN ENAMELWARE PLC. 1,680.31 22.10 - 0 0 VITAFOAM NIG PLC. 5,366.12 4.29 - 11 235,117 11 235,117 PERSONAL/HOUSEHOLD PRODUCTS 23,425.81 5.90 - 33 434,327 P Z CUSSONS NIGERIA PLC. 155,115.15 27.00 -3.23 20 339,894 UNILEVER NIGERIA PLC. 53 774,221 553 28,475,345 BANKING 137,621.63 7.50 9.49 248 18,208,655 ECOBANK TRANSNATIONAL INCORPORATED 48,387.91 1.67 1.21 101 4,335,063 FIDELITY BANK PLC 794,641.84 27.00 1.89 182 38,209,605 GUARANTY TRUST BANK PLC. 11,491.06 0.39 5.41 16 1,231,543 JAIZ BANK PLC 68,809.10 2.39 -0.42 76 5,221,984 STERLING BANK PLC. 199,477.16 6.85 - 21 87,368 UNION BANK NIG.PLC. 8,065.64 0.69 - 3 8,550 22,758.93 0.59 3.51 21 900,642 UNITY BANK PLC WEMA BANK PLC. 668 68,203,410 INSURANCE CARRIERS, BROKERS AND SERVICES 4,117.00 0.20 - 0 0 AFRICAN ALLIANCE INSURANCE PLC 4,573.93 0.66 3.13 15 811,807 AIICO INSURANCE PLC. 19,530.00 1.86 - 2 3,438 AXAMANSARD INSURANCE PLC 2,520.30 0.31 - 1 1,000 CONSOLIDATED HALLMARK INSURANCE PLC 14,521.84 1.40 - 6 185,612 CONTINENTAL REINSURANCE PLC 2,945.90 0.20 - 2 2,900 CORNERSTONE INSURANCE PLC 909.99 0.20 - 0 0 GOLDLINK INSURANCE PLC 1,228.00 0.20 - 0 0 GUINEA INSURANCE PLC. 487.95 0.38 - 0 0 INTERNATIONAL ENERGY INSURANCE PLC 2,123.80 0.29 - 10 213,625 LASACO ASSURANCE PLC. 1,546.68 0.36 - 0 0 LAW UNION AND ROCK INS. PLC. 4,160.00 0.52 - 0 0 LINKAGE ASSURANCE PLC 2,234.55 0.20 -4.76 4 451,915 MUTUAL BENEFITS ASSURANCE PLC. 10,613.81 2.01 - 15 297,702 NEM INSURANCE PLC 1,547.90 0.20 - 0 0 NIGER INSURANCE PLC 2,583.62 0.48 - 3 40,459 PRESTIGE ASSURANCE PLC 1,333.75 0.20 - 0 0 REGENCY ASSURANCE PLC 1,668.16 0.20 - 1 1,000 SOVEREIGN TRUST INSURANCE PLC 4,483.72 0.48 - 0 0 STACO INSURANCE PLC 2,582.21 0.20 - 0 0 STANDARD ALLIANCE INSURANCE PLC. 2,800.00 0.20 - 2 265,000 SUNU ASSURANCES NIGERIA PLC. 516.46 0.20 - 0 0 UNIC DIVERSIFIED HOLDINGS PLC. 3,200.00 0.20 - 0 0 UNIVERSAL INSURANCE PLC 2,773.33 0.20 - 0 0 VERITAS KAPITAL ASSURANCE PLC 4,951.61 0.37 8.82 20 344,028 WAPIC INSURANCE PLC 81 2,618,486

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MICRO-FINANCE BANKS 2,652.50 1.16 - 4 61,050 NPF MICROFINANCE BANK PLC 4 61,050 MORTGAGE CARRIERS, BROKERS AND SERVICES 4,158.00 0.99 - 2 44,033 ABBEY MORTGAGE BANK PLC 7,370.87 0.50 - 0 0 ASO SAVINGS AND LOANS PLC 5,796.93 1.39 - 1 2,597 2,265.95 0.20 - 0 0 INFINITY TRUST MORTGAGE BANK PLC RESORT SAVINGS & LOANS PLC 2,949.22 3.02 - 0 0 UNION HOMES SAVINGS AND LOANS PLC. 3 46,630 OTHER FINANCIAL INSTITUTIONS 7,540.00 3.77 - 29 138,271 35,291.19 6.00 -0.83 33 858,314 AFRICA PRUDENTIAL PLC CUSTODIAN INVESTMENT PLC 660.00 0.44 - 0 0 DEAP CAPITAL MANAGEMENT & TRUST PLC 31,684.34 1.60 -5.88 54 1,645,911 FCMB GROUP PLC. 1,131.98 0.22 - 0 0 ROYAL EXCHANGE PLC. 358,419.35 35.00 2.04 26 1,317,230 12,000.00 2.00 0.50 63 1,440,825 STANBIC IBTC HOLDINGS PLC UNITED CAPITAL PLC 205 5,400,551 961 76,330,127 HEALTHCARE PROVIDERS 1,680.29 3.37 - 0 0 EKOCORP PLC. 852.75 0.24 - 1 5,000,000 1 5,000,000 UNION DIAGNOSTIC & CLINICAL SERVICES PLC MEDICAL SUPPLIES 494.58 0.50 - 0 0 MORISON INDUSTRIES PLC. 0 0 366.17 0.50 - 0 0 9,388.62 4.50 - 0 0 PHARMACEUTICALS EVANS MEDICAL PLC. 9,567.01 8.00 - 18 668,926 FIDSON HEALTHCARE PLC 3,295.20 1.91 - 4 3,000 968.57 0.51 - 19 445,145 GLAXO SMITHKLINE CONSUMER NIG. PLC. MAY & BAKER NIGERIA PLC. 556.71 3.62 - 0 0 325.23 1.50 - 1 120 NEIMETH INTERNATIONAL PHARMACEUTICALS PLC NIGERIA-GERMAN CHEMICALS PLC. 42 1,117,191 PHARMA-DEKO PLC. 43 6,117,191 781.44 0.22 4.76 6 1,448,000 COMPUTER BASED SYSTEMS 6 1,448,000 COURTEVILLE BUSINESS SOLUTIONS PLC 1,470.89 0.50 - 0 0 0 COMPUTERS AND PERIPHERALS 0 OMATEK VENTURES PLC 6,413.06 2.54 - 1 1,417 IT SERVICES 534.60 4.95 -10.00 2 51,998 CWG PLC 346.47 0.70 - 3 3,156 6 56,571 NCR (NIGERIA) PLC. TRIPPLE GEE AND COMPANY PLC. 1,127.05 0.24 -4.00 16 3,040,483 PROCESSING SYSTEMS 9,996.00 2.38 - 2 80 CHAMS PLC 18 3,040,563 E-TRANZACT INTERNATIONAL PLC 1,215,762.01 323.50 - 10 907 907 TELECOMMUNICATIONS SERVICES 10 AIRTEL AFRICA PLC 40 4,546,041 2,173.68 7.50 - 1 2,500 BUILDING MATERIALS 17,325.00 24.75 - 16 51,947 195,838.16 14.90 2.76 25 370,605 BERGER PAINTS PLC CAP PLC 313.43 0.59 - 0 0 CEMENT CO. OF NORTH.NIG. PLC 1,959.74 2.47 - 0 0 1,156.20 9.40 - 0 0 MEYER PLC. PORTLAND PAINTS & PRODUCTS NIGERIA PLC 42 425,052 PREMIER PAINTS PLC. 2,256.91 2.09 - 0 0 ELECTRONIC AND ELECTRICAL PRODUCTS 2,483.46 1.41 - 13 139,000 13 139,000 AUSTIN LAZ & COMPANY PLC CUTIX PLC. 29,873.33 59.75 - 1 5 PACKAGING/CONTAINERS 388.02 9.10 - 0 0 BETA GLASS PLC. 1 5 GREIF NIGERIA PLC 100,754.14 62.50 - 1 10 AGRO-ALLIED & CHEMICALS 1 10 NOTORE CHEMICAL IND PLC 57 564,067 2,547.42 6.12 - 14 611,400 14 611,400 CHEMICALS B.O.C. GASES PLC. 1,781.64 8.10 - 0 0 0 0 METALS ALUMINIUM EXTRUSION IND. PLC. 852.39 0.20 - 0 0 0 0 MINING SERVICES MULTIVERSE MINING AND EXPLORATION PLC 92.40 0.42 - 2 70,000 2 70,000 PAPER/FOREST PRODUCTS 16 681,400 THOMAS WYATT NIG. PLC. 1,252.54 0.20 - 5 578,000 5 578,000 ENERGY EQUIPMENT AND SERVICES JAPAUL OIL & MARITIME SERVICES PLC 46,617.80 3.75 -1.32 86 929,132 86 929,132 INTEGRATED OIL AND GAS SERVICES OANDO PLC 56,974.05 158.00 - 8 6,336 11,658.40 16.80 - 14 32,316 PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS 3,586.40 2.75 10.00 15 11,578,922 11 PLC 19,993.08 15.35 0.33 70 779,116 CONOIL PLC 5,729.98 18.80 -9.83 16 186,641 ETERNA PLC. 35,921.41 105.80 - 30 20,588 FORTE OIL PLC. 153 12,603,919 MRS OIL NIGERIA PLC. 244 14,111,051 TOTAL NIGERIA PLC. 1,820.01 0.41 - 0 0 0 0 ADVERTISING AFROMEDIA PLC 17,551.17 1.80 - 0 0 0 0 AIRLINES MEDVIEW AIRLINE PLC 341.14 0.29 - 0 0 0 0 AUTOMOBILE/AUTO PART RETAILERS R T BRISCOE PLC. 2,499.47 4.24 - 3 1,000 361.01 0.77 - 1 5,000 COURIER/FREIGHT/DELIVERY 4 6,000 RED STAR EXPRESS PLC TRANS-NATIONWIDE EXPRESS PLC. 642.33 0.20 - 0 0 0 0 HOSPITALITY TANTALIZERS PLC 4,723.78 3.05 - 0 0 2,972.68 1.43 - 0 0 HOTELS/LODGING 7,862.53 3.50 - 0 0 CAPITAL HOTEL PLC 41,042.18 5.40 - 1 1,100 1 1,100 IKEJA HOTEL PLC TOURIST COMPANY OF NIGERIA PLC. TRANSCORP HOTELS PLC 4,800.00 0.40 - 0 0 0 0 MEDIA/ENTERTAINMENT DAAR COMMUNICATIONS PLC 211.68 0.35 - 1 5,317 1,072.32 1.39 - 6 28,751 PRINTING/PUBLISHING 1,183.82 1.99 - 0 0 ACADEMY PRESS PLC. 621.23 1.44 -10.00 7 186,530 LEARN AFRICA PLC 14 220,598 STUDIO PRESS (NIG) PLC. UNIVERSITY PRESS PLC. 497.31 0.30 - 0 0 0 0 ROAD TRANSPORTATION ASSOCIATED BUS COMPANY PLC 757.44 3.20 - 0 0 1,126.31 0.20 - 0 0

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Friday 23 August 2019

BUSINESS DAY

FINANCIAL TIMES

World Business Newspaper

VICTOR MALLET IN PARIS AND MEHREEN KHAN IN BRUSSELS

rench president Emmanuel Macron has cast doubt on Boris Johnson’s talk of a Brexit deal before the October 31 deadline, saying any renegotiation of the UK-EU withdrawal agreement would leave it little changed from the original. “Of course I want a deal and think we can get a deal and a good deal,” the UK prime minister said at the Elysée palace in Paris before a working lunch with Mr Macron. Mr Johnson said he was “powerfully encouraged” by his meeting on Wednesday with German chancellor Angela Merkel. She expressed hope that the UK and the EU could “find a solution in the next 30 days” on the key issue in the agreement of the Irish backstop, an insurance policy to prevent a hard border between Northern Ireland and the Irish Republic. Mr Macron was less optimistic, agreeing that the two sides should be able to find “something intelligent in 30 days if there is goodwill on all sides” but only if the changes did not affect the EU’s core demands on Ireland and the single European market. “In the coming month we are not going to find a new withdrawal agreement that is far from the original,” Mr Macron said. “If there are things in the framework of what was negotiated by [EU chief negotiator] Michel Barnier that can be adapted and conform with the two objectives I mentioned — stability in Ireland and integrity of the single market — we should find it in the coming month.

Emmanuel Macron casts doubt on Boris Johnson’s hope for Brexit deal UK prime minister insists agreement can be reached before October 31 deadline

“If not, it means the problem is deeper, it’s political, it’s a British political problem and at that point it’s not a negotiation that can solve it — it’s a political choice that the prime minister [Mr Johnson] will have to make. It’s not up to us.” Mr Johnson reiterated that the UK

would not impose any controls on the frontier between Ireland, an EU member state, and the UK region of Northern Ireland, as well as expressing confidence that technical means could be found to manage trade without border checks. “I think that the technical solutions are readily

available,” he said, without giving details. France and other EU members, in contrast, have said border controls are unavoidable in the absence of a deal because the UK would no longer be part of the EU. In the French government, Mr

Johnson’s hardline stand is seen as a “Trumpian” attempt to present himself to British voters as a decisive nationalist distinct from his unsuccessful predecessor Theresa May, rather than a genuine effort to wrest concessions he knows will not be forthcoming from the EU. “The Europeans see in this absurd pretence of bargaining only a political manoeuvre aiming to make them carry the can for the failure of negotiations,” the rightwing newspaper Le Figaro said in a front-page editorial headlined “The Merchant of the Thames” on Thursday. “But ‘BoJo’ thinks that the fear of the economic consequences of a nodeal Brexit — albeit disastrous for the British themselves and for which he claims to be ‘seriously’ prepared — will make them yield. He is wrong,” it added, using a common nickname for Mr Johnson. A senior EU official said European leaders “expect details” from Mr Johnson about how to replace the backstop arrangements or talks would go nowhere at the G7 summit to be hosted by Mr Macron in Biarritz, south-west France, at the weekend. Donald Tusk, the European Council president who will represent the EU, will meet Mr Johnson at the summit.

HSBC urges peaceful resolution Seoul scraps intelligence to Hong Kong protests pact with Tokyo

Bank breaks silence on political crisis with advert extolling rule of law DON WEINLAND IN BEIJING AND ALICE WOODHOUSE IN HONG KONG

SBC and Standard Chartered have broken their silence on the anti-government protests that have rocked Hong Kong in recent months, calling for a peaceful resolution to the crisis in full-page advertisements in local newspapers on Thursday. HSBC — which takes its name from Hong Kong and Shanghai, where it was founded 154 years ago — has sought to appear neutral as the protests have intensified. But it has been put in a challenging position because of its reliance on Hong Kong, which accounts for about half of its profits, and its aggressive strategy for expansion in China. Beijing has ratcheted up the pressure on international businesses that operate in Hong Kong and mainland China to take a pro-government stance and fire employees that have shown support for the protests. Cathay Pacific, Hong Kong’s flagship airline whose secondbiggest shareholder is Air China, replaced its chief executive last

week under pressure from Beijing. The HSBC advertisements, published in five local-language newspapers on Thursday, said the bank was deeply concerned about the recent events and “condemned violence of any kind”, adding that the rule of law is vital to maintaining Hong Kong’s status as a financial centre. “That is why we fully support the ambition to resolve the present situation peacefully.” An internal memo sent to HSBC staff on Thursday morning and seen by the Financial Times said the bank would not issue an advertisement in English. However, it did not directly answer the question of whether the advertisements were published under pressure from the Chinese government. “We are not changing our apolitical stance,” it said. China has been at the centre of HSBC’s plan for global growth since 2015, particularly in the country’s southern province of Guangdong that borders Hong Kong. The bank is one of the largest in mainland China in terms of branch numbers and its corporate clients include many of the country’s largest stateowned enterprises. www.businessday.ng

South Korea withdrew from agreement after Japan removed it from ‘white list’ SONG JUNG-A IN SEOUL

outh Korea has scrapped a military intelligence-sharing pact with Japan, citing a “grave change” in security conditions after Tokyo placed export restrictions on its neighbour. Seoul’s presidential Blue House defied expectations that it would maintain the agreement, which played a crucial role in a trilateral security alliance that also involved the US. The decision will raise bilateral tensions, which had reached a new low this month after Japan removed South Korea from its “white list” of countries with preferential trade status. The Blue House said on Thursday that it did not meet the “national interest” for South Korea to maintain the General Security of Military Information Agreement. “We have determined that it would not serve our national interest to maintain an agreement we signed with the aim of exchanging military information

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which is sensitive to security,” said Kim You-geun, deputy director of South Korea’s presidential National Security Council. The decision was made after an hours-long debate within the presidential national security council. It will worry US officials, who have stressed the importance of uniting their allies on regional security issues, which includes fending off North Korea’s nuclear threats and guarding against the expanded military activities of China and Russia. A Pentagon spokesman said that the US encouraged the two countries to work together to resolve their differences, and quickly. “We are all stronger — and northeast Asia is safer — when the United States, Japan and Korea work together in solidarity and friendship”, Lieutenant Colonel Dave Eastburn said. The US had pressured its two Asian allies to sign the pact in 2016 despite strong domestic opposition in South Korea against military cooperation with its former colonial ruler. @Businessdayng

Analysts said Seoul’s withdrawal would increase tension with Tokyo and weaken international support for its complaints against Japan on trade disputes. “The Moon government may see this decision as domestically popular and as a symbolic, lowcost way of signalling resolve to Tokyo,” said Leif-Eric Easley, a professor of international studies at Ewha Womans University in Seoul. “However, this move will raise international concerns that Seoul misreads the regional security situation and is presently unwilling to shoulder its responsibility for improving Korea-Japan relations,” he said. Prof Easley also warned that South Korea’s decision might be viewed by Pyongyang, Beijing and Moscow as it being less committed to its alliance with the US, exposing it to greater regional friction. Taro Kono, Japan’s foreign minister, said he was deeply disappointed by Seoul’s decision. He said the move “completely misjudges the current security environment in the region”.

Friday 23 August 2019

BUSINESS DAY

NATIONAL NEWS

Fears grow that softer Volcker rule will stoke Wall Street risk Critics say easing of legislation releases much-needed brake on banks’ trades ROBERT ARMSTRONG IN NEW YORK

he loosening of the Volcker rule announced this week opens the door to a rebound in risky behaviour on Wall Street, proponents of the initial legislation have warned, even as investors and analysts insist there will be little impact on bank profits. Implemented as part of the Dodd-Frank law in the wake of the financial crisis, the original rule banned big lenders from making short-term investments with their own money, a practice known as proprietary trading. Positions held for less than 60 days were assumed to be prop trades, requiring banks to apply for specific exemptions. The amended version, the latest step in President Donald Trump’s push to ease regulations on American business, will make it the banks’ responsibility to determine which short-term positions require an exemption. And positions held for more than 60 days will be presumed compliant — banks are permitted to make long-term investments for their own benefit under Dodd-Frank. While Wall Street has long lobbied against the legislation, which it sees as imposing an unnecessary compliance burden, supporters of the original rule fear the overhaul is a step in the wrong direction. “What is the problem being solved here? Big banks are making record revenues and profits,” said Dennis Kelleher, of the advocacy group Better Markets. The amendment, he said, shifted the burden of proof from banks to regulators and loosened record-keeping requirements, “making it impossible for the supervisors to assess what is a proprietary trade . . . banks can assert [compliance] without documentation”. Tyler Gellasch, who as a Senate aide helped draft both DoddFrank and the Volcker rule, said that “as watered down, the Volcker rule is becoming the worst type of regulation — it appears impactful and imposes compliance burdens, but would provide only limited substantial protections”. One investor who until recently managed a trading desk at a big US bank said the rule had been “quite powerful in lowering proprietary trading in banks and quite frankly the gambling mentality — it definitely made capital markets trading businesses focus more on clients”. He worried that the amendments opened the way for the return of conflicted interests, as banks traded simultaneously

for themselves and their clients. “It looks like a case of regulatory capture to me,” he said. However, lawyers tasked with interpreting the rules played down the role of the original Volcker rule in pushing banks out of proprietary trading, saying other provisions of the Dodd-Frank law had been more significant. “Many people who are interested in good regulation of banks think the Volcker regulations create a lot of compliance burdens without being particularly effective in addressing regulatory concerns about overly risky activities,” said Jai Massari, a financial regulations lawyer at the law firm Davis Polk. “It is hard to know how much of the change in banks’ behaviour after the financial crisis is attributable to the Volcker rule versus other reforms, such as those governing capital and liquidity requirements,” she added. More stringent capital rules have the effect of making many trading activities less profitable. Rodgin Cohen, a lawyer specialising in banks at Sullivan & Cromwell who thinks the Volcker rule had a significant impact, said that while the amended rule did “not really roll back the fundamental restrictions . . . what it does is reflect a new willingness to look at compliance burdens”. Analysts, meanwhile, said banks’ trading operations would gain little economic benefit from the relaxed requirements because the costs associated with Volcker rule compliance had already been sunk into reporting and compliance systems. “We do not expect any material impact on overall capital market revenues,” wrote Goldman Sachs analyst Richard Ramsden in a note to clients, saying the other post-crisis regulations — the stress-testing regime and higher capital requirements — would keep traders’ inventories of securities low. Several other analysts and bank investors echoed the sentiment. “I don’t think [the rule] made a huge difference — every management team I talked to said [it] was another safety net and confidence-builder externally, and that it wasn’t unreasonable,” said Patrick Kaser, a portfolio manager at Brandywine Investment Management. “I don’t think much will materially change.” The market appears to agree with this view. Bank stocks tracked the market on Tuesday, when the amended rule — which was less stringent than some observers had feared it would be — was revealed. www.businessday.ng

US senses breakthrough in Venezuela crisis

Contact with Maduro’s de facto deputy may unlock solution to political stalemate

MICHAEL STOTT, LATIN AMERICA EDITOR

e is variously known as a drug trafficker, a thug, a loyal revolutionary and the power behind the throne in Venezuela. But his friends and enemies agree on one thing: Diosdado Cabello is one of the most important links in the chain holding up President Nicolás Maduro’s government. So when news emerged this week that Mr Cabello had met a US intermediary for secret talks about a possible solution to Venezuela’s long-running political crisis, all sides rushed to put their own spin on the development. Venezuela has slid into one of the world’s worst humanitarian crises, with up to a quarter of its population fleeing abroad as refugees. Years of misrule by the hard-left government have shrunk gross domestic product by more than half and destroyed oil production. Sweeping US sanctions have choked most remaining economic activity. Propped up by Russia, Cuba

and China, Mr Maduro’s government is clinging to power after what was widely seen as a rigged election last year. It has refused opposition demands for fresh elections and an interim government headed by Juan Guaidó, the head of the National Assembly and the man recognised by the US and more than 50 other mainly Western nations as Venezuela’s rightful leader. The stalemate between Mr Maduro and Mr Guaidó has persisted throughout this year, dashing US hopes of an early end to the crisis and forcing Washington to consider other ways of achieving a breakthrough, such as covert talks with the regime. Trump administration officials have talked before about contacts with other high-ranking Maduro government members. But they hailed news of a meeting with Mr Cabello as a breakthrough, saying it signified growing disarray at the heart of the Chavista government. According to Associated Press, which first reported the contact, it took place in Caracas last month, and a second encounter is planned.

“There have been multiple talks with over half a dozen officials in competing centres of power around Maduro,” said one senior US official. “He should wake up to the fact that these conversations are about a transition to end his power grab.” “The constant themes in all conversations were: how to get out of the crisis, how to find an exit for Maduro, and how to save their own skins and those of their families, not necessarily in that order.” Not surprisingly, Mr Maduro did not see it that way. Speaking during the opening of a bus terminal in the Caribbean port of La Guaira on Tuesday, the Venezuelan leader joked about revealing a secret to his audience before confirming that talks between his government and the Trump administration had taken place during the past few months “under my express and direct authorisation”. Looking relaxed and confident, Mr Maduro said that if Mr Trump ever wanted to talk seriously about a plan to solve the Venezuela conflict, he was always open to it.

EU plans sweeping regulation of facial recognition Brussels explores rules to give citizens explicit rights over their data MEHREEN KHAN IN BRUSSELS

russels is exploring ways to impose strict limits on the use of facial recognition technology in an attempt to stamp out creeping public surveillance of European citizens. The European Commission is planning regulation that will give EU citizens explicit rights over the use of their facial recognition data as part of an overhaul in the way Europe regulates artificial intelligence, according to senior officials who spoke to the Financial Times. The aim would be to limit “the indiscriminate use of facial recogni-

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tion technology’’ by companies and public authorities, said an official. Under the plan, European citizens would be given the powers to “know when [facial recognition] data is used”, with any exceptions “tightly circumscribed” to ensure appropriate use, said the source. Brussels’ initiative comes amid revelations about the use of facial recognition for monitoring crowds in areas such as London’s King’s Cross, which last week prompted an investigation from the UK’s data protection watchdog. The move to explicitly legislate facial recognition technology would bolster citizens’ protection above @Businessdayng

existing restrictions laid out under the EU’s general data protection regulation (GDPR). The collection of sensitive “biometric” data that can be used to uniquely identify people is already prohibited under the GDPR unless citizens give their explicit consent. The growing use of surveillance technology in public spaces has put facial recognition under regulatory spotlight. Elizabeth Denham, the UK’s information commissioner, has said she is “deeply concerned about the rollout” of facial recognition technology use among police and security forces in the UK.

Friday 23 August 2019

BUSINESS DAY

FINANCIAL TIMES

COMPANIES & MARKETS

@ FINANCIAL TIMES LIMITED

Italian debt rallies as coalition government falls Investors relaxed about end of alliance and bet on resumption of ECB bond-buying stimulus TOMMY STUBBINGTON

taly’s coalition government may have collapsed, but investors cannot seem to get enough of its bonds.

Italian debt has rallied this week despite the latest political crisis to hit Rome, pushing the 10-year bond yield to a three-year low just above 1.30 per cent on Thursday. The yield had climbed as high as 1.80 per cent two weeks ago when Matteo Salvini, leader of the rightwing League, said he planned to pull the plug on the country’s governing coalition. Twoyear borrowing costs, which are highly sensitive to political instability, were at their lowest since May last year. Investors are relaxed about the end of Mr Salvini’s alliance with the leftwing populist Five Star Movement, which has frequently clashed with the EU over the size of Italy’s budget deficit. But they are also betting heavily on a resumption of bond-buying stimulus by the European Central Bank, possibly as soon as next month. “This is all about the ECB,” said Silvia Dall’Angelo, senior economist at Hermes Investment Management, referring to the recent price rally. “More buying of sovereign debt will

be a big boost to Italian assets, particularly government bonds.” Analysts note that Italy’s yields stand out in a market where all German government debt, the eurozone’s benchmark safe asset, trade at negative yields and even former crisis hotspots such as Spain and Portugal have seen yields shrink towards zero. “You get paid a decent premium to own Italy over Spain, and that’s in an environment where QE [quantitative easing] is coming back,” said John Taylor, co-head of European fixed income at AllianceBernstein. “You only need the political side not to totally unravel.” Despite the turmoil in Rome, investors such as Mr Taylor are betting that will not happen. Five Star is currently in talks with the centre-left Democratic party about forming a new coalition. Should those talks fail, new elections are likely, which could see Mr Salvini forming a government with other rightwing parties. Either outcome would be more market friendly than the current alliance, according to Lorenzo Codogno, a former chief economist at the Italian Treasury and founder of LC Macro Advisors. “The market is betting that with a change of government, things can only get better,” he said.

Why yield-seeking investors keep getting drawn to Nordic noir Aggressive central bank easing forces fund managers into ever- riskier territory ROBERT SMITH IN LONDON

he recent hysteria over negative interest rates has been hard to ignore. As central banks around the world have abandoned plans to tighten monetary policy, bond yields have plunged below zero, meaning that investors are effectively paying for the privilege of lending to both countries and companies. More than a quarter of the global bond market now carries a sub-zero yield. The trend reached a new peak — or nadir, depending on your perspective — on Wednesday, when Germany sold 30-year debt at a negative yield for the first time. It is not just that the idea of a lender paying a borrower seems paradoxical. There is also a creeping anxiety that central banks are doing more to boost asset prices than the underlying economy. The fear from some quarters is that investors will have to back ever-more speculative borrowers, which have no hope of ever the repaying the money, if they want to get hold of a decent yield. Fund managers in London and Frankfurt only need to look north to see what might happen. Negative rates have long been a fact of life in the Nordics. Sweden

was a pioneer of sub-zero rates in 2015, while Danish bank Jyske this week imposed negative rates on high cash balances. Against this backdrop, the regional corporate debt market has developed a reputation as the last refuge of the scoundrel, a place where dubious borrowers that are unable to raise financing elsewhere can find willing buyers for their bonds. The latest casualties are the bondholders of Iceland’s Wow Air, who on Tuesday discovered that they are likely to recover precisely nothing from the airline’s bankruptcy. An investor presentation from Wow last summer described a €50m Swedish-law bond sale as “a bridge to an envisaged IPO”. Instead, it rapidly became a bridge to nowhere. Less than two weeks after the sale of the debt in September, Wow breached the terms of the bonds, as its debt-to-earnings ratio rose above agreed limits. Six months later, the low-cost carrier defaulted. The failed airline was waved with flourescent batons to the Swedish debt markets by Pareto Securities, a Nordic broker that has built a niche in serving international companies. The firm’s head of compliance told the Financial Times that it is “unfortunate” that the bond defaulted so soon after it was issued. www.businessday.ng

Two-year borrowing costs, which are highly sensitive to political instability, were at their lowest since May 2018 © Bloomberg

H2O reveals scale of Windhorst writedowns in new report Clients withdraw €8bn from fund manager after FT stories ROBERT SMITH IN LONDON

2O Asset Management has revealed for the first time just how radically it marked down its holdings of illiquid bonds connected to Lars Windhorst, after the Financial Times drew attention to its heavy exposure to the controversial German financier. The London-based fund manager saw clients withdraw €8bn from its funds after the FT revealed the scale of its holdings of bonds related to the entrepreneur in June. Mr Windhorst has a history of legal troubles and financing from H2O previously helped him settle litigation linked to the former Russian energy minister. After selling a €300m portion of its more than €1bn exposure to Windhorst-linked bonds in the week that the outflows began, H2O told investors that it had revalued the rest of these thinly-traded positions at “a very significant discount” to their previous marks. In a semi-annual report from the asset manager’s flagship Multibonds fund, published on Wednesday, H2O disclosed just

how steep the revaluations were. The asset manager had previously marked its holdings of bonds from lingerie maker La Perla above their face value, for example. By June 28, the debt position was revalued at just a quarter of par value. H2O and its parent company Natixis, the French bank, had previously singled out the investment in La Perla’s bonds to defend its portfolio of investments linked to Mr Windhorst. H2O cited a trip made by a staff member to La Perla’s headquarters in Bologna, as evidence of the due diligence it carried out before making an investment. “Given the severity of the markdowns taken on Windhorst exposures, the veracity of the original and subsequent marks likely remains a key outstanding issue,” said Matthew Clark, an equity analyst at Mediobanca, who has an “underperform” rating on the shares of Natixis. H2O declined to comment. Morningstar, the influential fund rating firm, questioned the “robustness” of H2O’s valuations of its Windhorst-linked bonds in June, in a critical report on what it

saw as the fund’s “loose risk controls”. H2O’s chief executive Bruno Crastes described that report as a “significant vote of confidence”, noting that Morningstar had suspended its coverage a week earlier. H2O’s new filing does not contain an opinion from KPMG, the fund’s auditor, which is required only for its funds’ annual reports. PwC, which previously audited some of H2O’s other funds, raised concerns around the valuations of its Windhorst-linked position in 2016, including an audit qualification relating to its holding in the financier’s Sapinda Invest bonds. Multibonds is one of six H2O funds that the FT flagged as having substantial exposure to bonds linked to Mr Windhorst. The funds report at different times, so it is not yet possible to gain a full picture of how the firm’s overall exposure has shifted. Multibonds had the most concentrated bets on Mr Windhorst’s businesses, with more than 15 per cent of its holdings at the end of 2018 linked to the German financier. This dropped to around 5 per cent after the revaluations in June.

Bolsonaro says Brazil lacks resources to fight Amazon fires President points finger at non-governmental organisations, citing funding cuts

ANDRES SCHIPANI IN SÃO LUÍS

razil’s nationalist president Jair Bolsonaro said on Thursday his government lacked the resources to fight and investigate wildfires in the Amazon after satellite images showed swaths of rainforest burning at an unprecedented pace, prompting anger at his stewardship of the environment. Speaking in front of reporters in Brasília, Mr Bolsonaro said the government was investigating the fires and suggested that nongovernmental organisations may have been behind them. “It could be ranchers. Every-

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one is suspicious, but the biggest suspicion comes from NGOs,” Mr Bolsonaro said. He added that he had “no proof” to back up his claims but pointed out that his government had slashed funding to charities. According to government data, the number of fire outbreaks so far this year has reached more than 74,000, up 84 per cent from the same period last year and the highest since records began in 2013. Mr Bolsonaro, who wants to open up the Amazon for commercial activity, scoffed at environmentalists’ concerns about the destruction. “I used to be called Captain Chainsaw, now I am Nero, setting the Amazon aflame,” the president @Businessdayng

joked. Alberto Setzer at INPE, Brazil’s space agency, which tracks rainforest clearing via satellite imaging, told local media the fires had been caused by humans. “They are all of human origin, some purposeful and some accidental, but always by human action,” he said. In the past, Mr Bolsonaro has attacked INPE, disputing its deforestation data. The smoke from this week’s fires, which are not restricted to the Brazilian Amazon but also Brazil’s Cerrado savannah as well as neighbouring Bolivia and Paraguay, was captured by a Nasa satellite from space and blanketed the skies of some cities.

Friday 23 August 2019

BUSINESS DAY

ANALYSIS

Physical stores fight Amazon with tech makeover Start-ups are helping shops offer customers a better choice and experience PATRICK MCGEE AND SHANNON BOND IN SAN FRANCISCO

t the Credo “clean beauty” store in San Francisco’s upscale Pacific Heights neighbourhood, McKenzie Hunt is racking up sales. She is chatting with a regular client — one of dozens in her “black book” — who wants advice on which shade of foundation best suits their skin tone. “Shade matching is like my superpower — to match anyone,” said Ms Hunt, a make-up artist and store manager. The feat is all the more impressive given that, on this quiet Tuesday morning, no customers are in sight. Ms Hunt is chatting to a client in Boston, and their conversation is taking place on an iPad. Welcome to the future of personal shopping. Ms Hunt’s black book chat app is powered by London-based Hero, a start-up bringing digital engagement tools into physical stores. In just three years, Hero has acquired high-end luxury clients in 16 countries, including Harvey Nichols, LVMH and Nike. The app allows retailers to make better use of employees’ downtime when foot traffic is light, while offering online shoppers a more personalised experience — one that will hopefully bring them back, either online or in person, turning one-off buys into recurring purchases. “At times like this when it’s quiet, [McKenzie] would just be putting away shipment or fixing the shelves, but now she can walk around with the iPad and be chatting at the same time,” said Cathy Arens, Credo’s director of store operations. “She’s getting like three things done at once — and making sales, which is even better.”

Hero is one of the latest generation of technology companies trying to remake retail in the age of Amazon. The ecommerce giant’s hypercharged growth has thrown bricks and mortar stores into upheaval — even though upwards of 90 per cent of all shopping still happens in stores rather than online, according to the US Census Bureau. As Amazon has set new expectations among consumers — from fast and free delivery to endless selection and easy returns — retailers are looking for an edge. Going head to head on price and convenience with a company that brought in $232bn in revenue last year is likely a fool’s errand, but a new breed of tech start-ups aims to help them differentiate in other ways. Hero’s angle is personalisation. Another start-up, San Franciscobased Faire, emphasises its carefully curated selection of products, backed by data showing what is expected to sell well. A third, b8ta, highlights the experiential nature of shopping, letting customers try out tech gadgets from brands that do not typically sell in stores. In each case, these start-ups are based on a single, perhaps liberating insight. “Amazon is great for buying, but it’s terrible for shopping,” said Adam Levene, co-founder of Hero. “It’s too transactional.” The 17 b8ta stores around the country emphasise a touch-andfeel, playground-like experience unavailable on a website. In-store cameras even track shoppers, replicating in the analogue environment how “cookies” learn from online shoppers. Last month, b8ta expanded its reach into children’s toys — inking a deal to revive the Toys R Us brand with two store openings before Christmas.

The next stop on Donald Trump’s end-of-diplomacy tour If the US president makes it through the G7 without hastening the west’s demise, it will be a victory of sorts EDWARD LUCE

he one good thing about Donald Trump’s failed bid to buy Greenland is that it softens up America’s allies for what is to come. This weekend Mr Trump will join his G7 counterparts in Biarritz for what promises to be one of the most bizarre meetings in its history. Summits are supposed to make global problems easier to manage. The G7 — and others of its kind, notably the G20 — are reaching a point where they result in the opposite: a world less manageable than if the leaders had never met. Mr Trump’s lunge for Greenland was the amuse-bouche before the meal. It had all the relevant ingredients. First it showcased Mr Trump’s transactional approach to diplomacy. A country has a piece of real estate that Mr Trump covets, so he offers to buy it. Perhaps it could work both ways.

Russia has long had its eye on Alaska, for example. Second, it underlined that Mr Trump loathes alliances. By cancelling his trip to Denmark over its refusal to consider the sale, Mr Trump left a close ally in no doubt that its friendship meant nothing. Fifty Danish soldiers lost their lives fighting alongside US troops in Afghanistan. This death toll is a considerably higher ratio to population than the US. Third, Mr Trump’s motive for buying Greenland undercuts a crucial aim of the other members of the G7: to fight global warming. The territory’s attraction is that its receding ice sheets will open its land for mineral extraction. Mr Trump does not accept that global warming is taking place, except when it offers a chance to make money. Emmanuel Macron, the French president, would have found it impossible to find a choice of words on global warming to which Mr Trump could have signed up. www.businessday.ng

Nisha Mijar worked as a tailor in Kathmandu while caring for her two children by herself. Her husband Ram Bahadur was working abroad to send money home © Luigi Fieni

Mountain to climb for Nepal as migrants return In the fourth part of this FT Series, we look at why more than a quarter of the Himalayan nation’s workforce lives abroad BENJAMIN PARKIN IN PIPALTAR, NEPAL

ike so many Nepalis, Ram Bahadur Mijar mostly missed his children’s early years.

After five years working on a construction site in Dubai, the 33-year-old returned in 2012 to his wife and young son in the green and humid hills below Nepal’s Kathmandu Valley, a move he hoped would be for good. But with meagre savings and unable to find work he soon had to set off again, this time for Saudi Arabia and three more years as a labourer. In his absence Nisha, his wife, took their son and newborn daughter to the capital Kathmandu to work as a tailor. Now, with a NRs1m ($8,700) bank loan and a further NRs1m in savings, Mr Mijar has started a carpentry operation from a corrugated-iron hut near his home, where he makes furniture to order. His children are 13 and seven, and he hopes his latest stint in the Gulf was his last. “I had to go abroad. There was no choice,” Mr Mijar said. “If I hadn’t, I wouldn’t be in this position. But that doesn’t mean I’m 100 per cent happy [about it].” Decades of political instability and violence turned Nepal, a landlocked Himalayan nation of about 30m people, into one of the world’s most remittance-dependent economies. The money that migrant workers send home has long made up more than a quarter of Nepal’s gross domestic product, as working adults left en masse for the Gulf and Malaysia; about 28 per cent of Nepal’s workforce is abroad, according to the World Bank. But now it appears that trend has peaked. While remittances inflows continue to rise, they have fallen as a share of GDP from 31 per cent in 2015 to 28 per cent in 2018. And the number of new migrants leaving Nepal has fallen from 500,000 a year to around 350,000 over the same period. There are no countries in the world that have achieved their

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economic development and prosperity by sending their workforce outside, Rajan Bhattarai, an adviser to Nepal’s prime minister. The slowdown has been fuelled by factors such as weaker oil prices and Saudi crown prince Mohammed bin Salman’s reform agenda, which has imposed higher fees on foreign workers. Figuring out what to do next has emerged as one of the key challenges for the government of KP Sharma Oli, elected in 2017 after a decade-long bout of instability in which administrations changed almost yearly. The government has launched multiple schemes to try to address the country’s dependence on money from abroad, including offering cheap loans for graduates and returning migrants to encourage them to start businesses in Nepal. “There are no countries in the world that have achieved their economic development and prosperity by sending their workforce outside,” said Rajan Bhattarai, an adviser to the prime minister. “We know that, we want to reverse it and that reversal will gradually happen.” So far the efforts have had limited results. Many returning migrants lack adequate paperwork to qualify for loans, said Laxmi Prapanna Niroula, executive director of Nepal’s central bank, leading to a pitiful uptake: fewer than 100 workers have qualified for one of the schemes since it was launched last year. It is more common for returning migrants to take a loan from a local bank on potentially precarious terms. One such example is Arjun Pyakurel, one of six brothers among his family of 10 siblings from the Nepali town of Pipaltar who emigrated. When he returned from Qatar Mr Pyakurel took out a NRs1m loan to start a catering business. He pays 13 per cent interest on his monthly repayments, instead of the 5 per cent offered under the government-subsidised programme. Meeting the payments is not a problem during the peak @Businessdayng

wedding season from November to February, the 36-year-old said, but it is harder during the rest of the year. Economists say remittances were vital to Nepal during its decade-long civil war and subsequent instability. But the incoming cash created a dependence on imports, undermining the domestic manufacturing industry which has struggled to develop as a result. “Remittances are the thing that kept the country afloat during the years of turmoil,” said Kene Ezemenari, a Nepal economist at the World Bank. But they have had “a dampening effect on growth . . . that has been a drawback”. The flight of working adults also has a profound social cost. In nearby Battar, Kalpana Karki, 40, was left to look after her ageing mother after her brother went to Qatar in search of work. “The family is big, but he’s the only one earning money to look after them,” she said. Eventually she stumbled upon an opportunity which is partbusiness venture, part-welfare: taking in children whose families emigrated. She provides shelter, food and education while their parents wire her money. Her makeshift hostel is now stacked with bunk beds for between five and a dozen children. The government faces an uphill struggle to convince young Nepalis that they are better off at home. Anmol Khadka, a wiry 19-year-old, came to Kathmandu from his eastern village a month ago to search in vain for work. Disillusioned, he has decided to follow his two older brothers and emigrate to Qatar. His goal is to save enough money to one day move again to more lucrative opportunities in South Korea. “There’s nothing in Nepal. There’s no employment, no jobs,” he said. “I’m sad that after all these years it’s certain that I’ll have to leave . . . People don’t have a happy life immediately. First we have to suffer, then things will get better. That’s my hope.” Additional reporting by Savitri Rajali

Friday 23 August 2019

BUSINESS DAY

POLITICS & POLICY Udom assures PDP stakeholders of better days ahead ANIEFIOK UDONQUAK, Uyo

overnor Udom Emmanuel of Akwa Ibom State has thanked members of the Peoples Democratic Party (PDP) for their support during the last general election, promising that better days lie ahead. Governor Udom stated this at a meeting held at the permanent secretariat site of the party at Atan Offot, Uyo. He commended the women, youths and elders for their steadfastness and the support that aided his re-election, assuring that the PDP would continue to garner more strength in the state. “I thank all of you, from unit to wards and the chapters of the party,” he said. Overwhelmed by the success at the polls, Governor Emmanuel assured the party faithful of better days ahead. “Today, I stand here as the man elected through the platform of this great party to re-echo my avowed commitment to the Akwa Ibom Project. “I will channel all my efforts, which will be backed by your support, into the pursuit and actualisation of ‘The Completion Agenda’. “Together, we will make Akwa

Governor Udom Emmanuel

Ibom the state we will be proud to bequeath to our children and the generations that will come after we have gone,” he said. He urged them to continue to be steadfast to the party which according to him is like a religion in Akwa Ibom. Earlier, the State chairman of PDP, Paul Ekpo said that the party was satisfied with the performance of Governor Udom Emmanuel and attributed the success to the com-

mitment of all the stakeholders to the ideals of the party and thanked the people for not letting down the trust as demonstrated in the landslide victory for the PDP. He assured the governor of the unflinching support of the party to his administration. In attendance were national and state Exco members of the party, serving and former national and state lawmakers, and chairmen of councils, among others.

APC chieftain charges new ministers on service delivery ...applauds choice of Lai, Saraki

Mashood Mustapha

geria for good He, however, urged the new ministers not to derail from the set agenda of the party, All Progressives Congress (APC), and should always come up with progressive ideas that are capable of moving the country forward and be of help in overcoming various challenges the country is facing. The former Kwara State governorship aspirant in the last general www.businessday.ng

he Lagos State government has announced four-day retreat for the members of the newly inaugurated cabinet of Governor Babajide Sanwo-Olu. This was contained in a press statement signed by Gboyega Akosile, chief press secretary to the governor. This is coming a day after Sanwo-Olu constituted the State Executive Council. The four-day retreat holding in Lagos was organised for commissioners, special advisers and permanent secretaries to enable them key into the policy thrust of building a greater Lagos in line with the six pillars of development (T.H.E.M.E.S) of the SanwoOlu administration. One of the major reasons for the programme, amongst others, is to foster and build team work and unity of purpose among administrators that will be taking decisions in the ministries, departments and agencies of government. The retreat is also being organised with the aim of equipping some of the cabinet members without public service

Governor Babajide Sanwo-Olu

background, with the rules and knowledge of public office. Some of the facilitators engaged to interface with participants include former Executive Secretary of Lagos State Security Trust Fund, Fola Arthur-Worrey, founder of FATE Foundation, Fola Adeola, and former Lagos Commissioner for Finance, Wale Edun, among others. The retreat is expected to end on Saturday, with a closing remark by Governor Sanwo-Olu.

Okowa hails Keyamo’s appointment as minister FRANCIS SADHERE, Warri

SIKIRAT SHEHU, Ilorin

chieftain of the All Progressives Congress (APC), Mashood Mustapha has called on the newly inaugurated members of Federal Executive Cabinet to be proactive in driving the Next Level agenda of President Muhammed Buhari, which is expected to usher in robust socioeconomic development and fight corruption. The former federal lawmaker stated this on Thursday while congratulating the two new ministers picked from Kwara State, namely, Lai Mohammed, minister of information and culture, as well as Gbemisola Saraki, minister of state (Transportation) after they were assigned portfolios by the president. Mustapha expressed confidence in the choices of President Muhammad Buhari, saying the president has selected competent and experienced individuals in assisting him in driving the next level agenda, that is programmed to turn around the fortunes of Ni-

Lagos holds 4-day retreat for cabinet members, perm secs

election expressed confidence in the choice of Mohammed and Gbemisola Saraki, noting that their experiences in public offices would be value-added to the next level agenda. Mustapha thanked President Buhari for giving the state special recognition, just as he called on all the Kwarans to support the new ministers to be successful in their new offices.

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overnor Ifeanyi Okowa of Delta State has congratulated Festus Keyamo (SAN), on his appointment as minister of state, Niger Delta. In a statement by his Chief Press Secretary, Olisa Ifeajika, on Thursday in Asaba, Okowa said that Keyamo’s appointment was welldeserved, considering his antecedents as lawyer of repute. He urged Keyamo to bring his wealth of experience to bear on his new job in order to address the myriad of challenges be-devilling the Niger Delta. While lauding him for his achievements as an eminent legal practitioner, Okowa expressed confidence that Keyamo would use his office to attract infrastructural development to Delta in particular and the Niger Delta in general. He said: “On behalf of the government and people of Delta, I congratulate our illustrious son, Festus Keyamo (SAN), on his appointment as minister of state, Niger Delta. “Given the antecedents of Olorogun Keyamo as a brilliant and cer@Businessdayng

Governor Ifeanyi Okowa

ebral lawyer, I have no doubt that he will bring his wealth of experience to bear in changing the current narrative of infrastructural deficit, poverty and environmental degradation in Niger Delta.” “I thank President Muhammadu Buhari for finding an illustrious Deltan worthy to serve in his ‘Next Level’ cabinet. We pledge the commitment of our state to partner the Ministry of Niger Delta for effective development in Delta, especially in infrastructure and human capital development of our people,” he said.

BUSINESS DAY

Friday 23 August 2019

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

We need to leverage on Leboku for economic revitalisation of Cross River – Ofem

The Leboku International Festival is a flagship new Yam Festival in Cross River State. It’s a month-long scenic cultural experience that peaks in the last week of August. It attracts revellers all over the world to Ugep, headquarters of Yakurr local government area. Thomas Ofem, a communications specialist who works with the John Hopkins University – Centre for Communication Program (JHU-CCP), one of the eminent sons of Yakurr and coordinator of Yakurr Rebirth, spoke with our correspondent, EFEGADIRIM MADU in Calabar a

hat’s Leboku to you? Leboku to me is the placenta that connects me to the womb from which all Yakö people emerged. So, beyond the connection to my geographical place of birth, it spiritually and culturally connects to Yakurr people wherever they may be on earth. As Christians travel to Jerusalem and Muslims travel to Mecca for religious pilgrimages, I travel to Ugep once every year to experience that immersion in the Kekurr spirituality and collective. It rejuvenates me and I am sure I am not alone in this. What is Leboku’s significance to the Yakurr Kingdom, Cross River State and Nigeria as a whole? Leboku is significant at three levels – spiritual, cultural and economic levels. While it has since transcended its purely religious origins in prayers and thanksgiving for a good harvest, fertility and peace; for a significant proportion of Yakurr people, Leboku still has religious significance. You will see this when parents and grandparents perform the ritual of eten kebowa on their children – praying to the gods to keep the children safe, and make them prosper. At the cultural level, beyond the Loká language that all Yakurr people speak, Leboku is the other external expression of the Kekurr identity. It unifies us as a people, from

Ugep to Ekori, to Idomi, Nko, Assiga, Mkpani, Agoi, Inyima. At an economic level, Leboku has even more significance. In August, most Yakurr people travel back home to participate in Leboku. The travel from places as far away as Alaska, USA; and as close as the next village. Transport companies on routes that lead to Yakurr experience a boom during August because of this annual pilgrimage. If you add tourists to the equation and compute how much these visitors spend during Leboku, you would understand the economic importance of this annual festival to the locals and to related industries. With most cultures in Africa going extinct, how best do we preserve the rich, original cultural content of Leboku? If we try to preserve the original cultural content of Leboku, we will inadvertently kill it. Just like living organisms, cultures that survive are those that adapt to their environment; as Gitti Salami, an American academic who studied the Leboku noted, the Leboku of 1939 (described by Darrel Ford, an English Anthropologist), was mostly religious rites enacted in shrines and observed by very few people. Leboku in 2001 and going forward, has transformed from a mostly religious affair to a mostly symbolic one where traditional priests, com-

Don advocates for entrepreneurship, vocational based education curriculum

nene Emeziogor, the Provost of Federal College of Education (Technical), Asaba, has stressed the need for education curriculum to be tailored along entrepreneurship and skill acquisition, where it would cater for the teeming unemployed youths. This is as the United Nations (UN), philanthropists and wellmeaning Asaba indigenes have offered over 150 youths of Asaba extraction free skills acquisition training and free sponsorship training at the Asaba Vocational Centre. These formed a part of activities marking the 2019 International Youth Day in Asaba, the Delta State capital, an event organized by Asaba Development Union (ADU) worldwide. Emeziogor, who spoke at the event, advocated that government at all levels should collaborate with communities, youths and relevant stakeholders in the education sector in planning its educational curricula, with the focal point being youths’ attitude, ability and capabilities. She charged youths to abhor the get-rich-quick syndrome, lure of the lucre, cultism and acts of criminality. She also encouraged them to embrace entrepreneurship and skill acquisition, as white-collar jobs are now illusory. The representative of the UN, Amos Obi who is also a member of the Global Innovators for Sustainable Development Goals (SDG 4), while announcing that 100 youths would be trained on revolutionized

digital transformative education, said that others would be trained on film production and acting, computer appreciation and engineering; as well as receive free sponsored training at the Asaba Vocational Centre. Obi, who was one of the resource persons of the youth day, with the theme “Transforming Education,” said for education to be accessible, affordable and inclusive even to the handicapped, there should be a paradigm shift from the conventional classroom teaching to digital education where people can learn, work and earn a living simultaneously from the comfort of their homes. He pointed out that government’s education policy should focus more on digital education such as digital entrepreneurship that makes it easy for e-library research, creation of websites and bloggers, e-commerce, e-counselling and social media; adding that the world is looking for innovators in green entrepreneurships that could combat the adverse effect of climate change. The president-general of Asaba Development Union worldwide, Epiphany Azinge (SAN), the member representing Oshimili South Constituency in the Delta State House of Assembly, Shedrack Rapu and former commissioner of Health, Ngozi Azinge, disclosed that they have explored various areas where youths would be engaged in meaningful employment such as banks, the Asaba Textile Mill when revived, and construction companies. www.businessday.ng

munity members and visitors come together in an artistic performance, the stage being the entire community. Leboku will change subtly and gradually to meet the needs of present and future generations of Yakurr people. How can Leboku become a true tourism brand? How can it be on the international tourism calendar and

grand finale of Leboku – the coming together of all the Leboku from each Yakurr community. How practicable is this? A: This might be daunting to many, but I believe in the power of imagination and the necessity of thinking big and starting small. Governor Ben Ayade is doing just that in his approach to the business of managing the economy of Cross River State. Most of his projects are big, but he is starting small; and Cross Riverians will eventually reap the fruits of this forward-thinking strategy. However, one man cannot do it all. The vision of turning Leboku into a money earner for Cross River State should be driven from the local government by a Chairman who understands Ayade’s vision; and has the knowledge, skills and experience to key in. The Yakurr nation must consider this when they eventually elect their next chairman. Please, who is Thomas Ofem? Thomas Ofem is currently on holiday in Nigeria. He works for the Johns Hopkins University Center for Communication Programs (JHU.CCP) in Malawi as the Senior Technical Adviser for HIV prevention. He is also the Coordinator of the Yakurr Rebirth Group – a socio-cultural organization committed to the advancement of the Yakö people of central Cross River State.

Metering solution firm begins roll out Toyota opens auto care centre in Abia of electricity meters in Akwa Ibom UDOKA AGWU, Umuahia

...as UN, others empower 150 Asaba indigenes

MERCY ENOCH, Asaba

Thomas Ofem

help drive the economy of the Yakurr people and Nigeria? If the necessary investments are made, Leboku can drive the Cross River State economy. First, we need to understand that each Yakurr community has its own Leboku; and each of these Leboku is a tourist attraction by itself. Thanks to ex-Governor Donald Duke, the Cross River State government had since declared an annual Yakurr International Leboku, celebrated immediately after the Ugep Leboku. The objective was to bring together all Yakurr communities in one place (Ugep, the traditional headquarters) to showcase their unique cultures. Fortunately, Duke’s successors – Liyel Imoke and Ben Ayade have sustained this tradition. While the state government and MTN Telecoms have invested some resources into Leboku over the years, those resources have been palliatives with no strategic direction and expected outcome. Leboku needs to be given to people who know what they are doing to package it as an easily marketable brand. But first, there should be infrastructure on ground to accommodate the expected tourists. For example, there should be a built-for-purpose Leboku village with accommodation, and shopping facilities for tourists, as well as arenas where tourists can comfortably watch the

ANIEFIOK UDONQUAK, Uyo

etering Solution Manufacturing Services, a limited liability company in Awa, Akwa Ibom State says it has commenced the roll-out of prepaid meters for electricity distribution companies in the country. It stated that prepaid meters are produced for the Port Harcourt Electricity (PHED), Eko Electricity (EKEDC) and Kano Electricity (KEDC) distribution companies. In an interview with BusinessDay, Adebisi Adeniyi, the chief executive officer of Metering Solution Services, said the company has installed capacity of 3 million prepaid meters annually; and that they are capable of meeting the needs of electricity consumers in the country. Adeniyi described his company as the biggest in the entire African continent, in terms of metering solution. “With a capacity of 3 million prepaid meters per annum, on a single shift, it is capable of producing 6 million prepaid meters annually working in two shifts in a year. “Our facility is clearly and arguably the biggest in Africa in terms of metering solution. People always said we are the biggest in sub-Saharan Africa, but I have since come to realize that we are actually the biggest in Africa. That’s the truth. He said the metering company operates three major activities: assembling Semi Knocked-Downs

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(SKDs) for two and three phase prepaid meters; injunction moulding for the manufacture of meter boxes mountable on poles, and assembling the SKDs into manufactured metal boxes – making it a Metering Solution Manufacturing company. “There are two modes of manufacturing SKDs, the first being where components are brought in modular form and assembled together as the Micro Controller Unit (MCU) and Customer Interface Unit (CIU). The MCU goes to the pole while CIU is placed at the customer’s premises, where he/ she recharges his/her meter with electricity credits. Adeniyi explained that Governor Udom Emmanuel created an enabling environment for investors; adding that by some doing, jobs are being created for the youths to keep them away from restiveness and criminal tendencies. He said the governor invited the investors, and provided them with enabling environment in terms of the land, access road and others. For his company, Metering Solution Services, he said the governor provided them with a 33KVA sub-station, which supplies dedicated 24/7 power supply from Ibom Power company, thereby reducing their diesel costs. Meanwhile, Adeniyi informed that his company would soon introduce the manufacture of LED bulbs which are low in energy consumption.

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nique Integrated Auto Centre Limited, an arm of Toyota Auto Centre, has formally opened in Umuahia, the Abia State capital. The centre is located along the Umuahia end of the Enugu-Port Harcourt expressway. Jaja Ihesiaba, one of the directors of Unique Integrated Auto Centre Limited, said the auto care centre would serve as sales of Toyota and Jac vehicles, including sales of spare-parts and training of people to acquire skills on how to repair vehicles using automated and computer system. He said that would vastly improve the Automobile industry in Abia state adding that the immediate benefit would be making motoring easy and elevating automobile performance among others. Ibesiabadisclosedthatthecentrewould also play a leading role in providing skilled employmentopportunitiesforAbianswith awiderangeofactivitiesassociatedwiththe centre for persons with diverse skills and qualifications. He said the benefits would encourage high performance and output; addingthatthecentre’sdoorwouldbeopen to both skilled and unskilled labour. Precious Mbuko, a mechanical engineer and the sales representative of Toyota Automobile Nigeria, South East zone and one of the directors of Unique Integrated Auto Centre, said he had attracted the centre to Umuahia, Abia State for his people to benefit and have knowledge of how to fix vehicles. He said the auto care centre would employ computer to diagnose the cars to ascertain the location of faults in vehicles, before fixing it; adding that he had worked in so many automobile companies in Nigeriaandabroadasamechanicalengineer.

Friday 23 August 2019

BUSINESS DAY

FEATURE Imperatives of driving policies for inclusive business … as AVPA, iBAN hold road show MICHAEL ANI

he domestic and foreign investing public has called on the Nigerian government to undertake policies that have social investment impact and promote inclusive business across the country. That was after they noted that over time, Nigeria had embarked on numerous programmes that were yet to cause the needed impact in moving positively the lives of those who are in the bottom end of the pyramid. The stakeholders, who discussed extensively at the one-day African Road Show event, organised by the African Venture Philanthropy Alliance (AVPA) in partnership with the Inclusive Business Action Network (iBAN), said policies of the government could only be more impactful when there was collaboration between the private and the public sectors, with the latter creating an enabling environment for private investments that promote inclusive business. However, they noted that with such policies, the government would create the right atmosphere to attract more investments, create employment, close the inequality gap and lift the over 45 percent of the people living below the poverty line. “Inclusive Business models allow companies to engage poor and lowincome communities as partners, customers, suppliers, and employees in their supply chains. In our experience, these models result in spreading the benefits of growth to the poor,” said Melanie Moleno, programme director, Inclusive Business Programme-Board of investments, Department of Trade and Industry, Philippines. Meanwhile, Moleno noted that the Inclusive Business models adopted by the Philippine government transformed the base of the pyramid into a new market for goods and services as well as a resource pool of talent, skilled labour and entrepreneurs. This relationship strengthens value chains and ensures the sustainability of businesses and their host communities. According to Moleno, Inclusive Business model is different from mainstream business as the latter is for profit making aimed at maximising returns for the company while the former is more on the social impact. On the other hand, and according to Royston Braganza, CEO, Grameen Capital India Limited, business that drives or promotes inclusive growths tends to be active in the agricultural, educational, health, housing and financial sectors of an economy. Inclusive businesses in most developing economies face several external and internal constraints ranging from strict policy regulations, lack of capacity building, and access to finances/credits and asymmetric flow of information, he

L-R :Oluwatoyin Adegbite-Moore, executive director, West Africa; Yemi Cardoso, former Lagos State commissioner for physical planning; Kayode Fayemi, governor, Ekiti State ; Adeyemi Dipeolu, special adviser to the president on economic matters , and Christian Jahn, executive director, Inclusive Business Action Network (IBAN), at the African Policy Road Show ,themed , building Robust Policies for Increased Social Investment and Inclusive Business in Lagos. Pic by Pius Okeosisi

explained. Braganza, however, noted that if Nigeria can stick to solving six challenges, including access to information, developing a forward looking policy, results-based finances by unlocking capita; impact invest-

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The importance of partnerships between Federal, State, Private entities and the social sector in building and strengthening a robust environment in which social investment and inclusive business can flourish in Nigeria

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ment; capital with a conscience, and lastly ensuring that policies were all included by ensuring that no one was left behind. “Nigeria needs to start looking at the bottom of the pyramid as core business partners and not like a form of corporate social responsibility,” Bala Magaji, director, convention on Business Integrity (CBi) and Business Innovation Facility (BIF2). The 2019 African Policy Road Show event was aimed at understanding and leveraging learnings from the success story of the AVPN (Asian Venture Philanthropy Network, sister organisation to AVPA) whose systems and policy fora have become a successful framework. The event, which is the maiden edition of the organisation, brought together no fewer than 111 leaders from public, private and social sectors providing a platform to unpack the challenges faced and celebrates the successes of building robust policy environment for increased social investment and inclusive business development. The chairman, Board of Directors of the African Venture Philanthropy Alliance (AVPA), Yemi Cardoso, in his welcome address emphasised, “The importance of partnerships between Federal, State, Private entities and the social sector in building and strengthening a robust environment in which social investment and inclusive business can flourish in Nigeria.” Corroborating his point was Christian Jahn, executive director of Inclusive Business Action Network (iBAN), said, “Inclusive business is a triple win for companies,

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the poor population, and the government - iBAN is convinced that supporting strong national inclusive business policies is essential for including all citizens in the benefits of Nigeria’s economic growth.” The Lagos event was largely attended by stakeholders in the public, private and social sectors with keynote address by special guest of honour, the Vice President of the Republic of Nigeria, Professor Yemi Osinbajo, ably represented by Ambassador Adeyemi Dipeolu, who assured the stakeholders in his remarks that “the Federal Government will provide microlending to about 2.5 million small trades and business to the lowest income earners through the Government Enterprise and Empowerment Programme (GEEP).” He talked about the Federal Government’s commitment to work with the private sector on the national social investment programme. Also, in the remarks by His Excellency, the Governor of Ekiti State, Kayode Fayemi, who commended the efforts of the AVPA and iBAN initiative and emphasised deeply the role of private capital to deliver the infrastructure required to grow Nigeria’s economy and provide jobs for millions of young Nigerians. He talked about the importance of bridging the gap between the mindlessly wealthy and the hopelessly poor in the society. He talked about Ekiti State’s readiness to work with private sector to ensure the social and economic programmes improve the conditions and prospects of the people of Ekiti State.

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Women in Business

Executive Director, FATE Foundation

Friday 23 August 2019 www.businessday.ng

By Kemi Ajumobi

Abisoye Ajayi-Akinfolarin

Adenike Adeyemi denike Adeyemi is a development sector professional with over 17 years of experience in non-profit management, enterprise development, education and youth enablement strategies. She currently serves as the Chief Executive Officer FATE Foundation, Nigeria’s foremost non-profit organisation focused on enabling aspiring and emerging Nigerian entrepreneurs to start, grow and scale their businesses. The vision of Fate Foundation is to harness the strong entrepreneurial culture of Nigerians by providing the business incubation, growth and accelerator support required to fully explore their innovative potential. Their goal is to enable aspiring and emerging Nigerian entrepreneurs start, grow and scale their businesses while also facilitating the development of an enabling business environment and thriving ecosystem. Their sustainability model is driven by funding and technical support from local and international partners and enabled by a strong volunteerism strategy. Since joining the FATE in 2015, Adenike has deepened the organisation’s strategic footprint in the Nigerian entrepreneurship ecosystem through business incubation programmes; sector programs for startups; growth and sector focused accelerator programs for high potential businesses; funding and technical linkages; entrepreneurship ecosystem research, policy dialogue and advocacy. Under her leadership, FATE has expanded digital technology to support her entrepreneurs through programmes like the Aspiring Entrepreneurs: Digital for startups across the country; the msmehub.org free resource platform; and Sky’s The Limit which connects aspiring entrepreneurs with mentors and advisors. FATE has also published five (5) major research studies on the Nigerian entrepreneurship ecosystem and the Micro, Small and Medium Enterprise space. She has also led the development of key multi-year funding and partnerships valued at over $1.5million with key local and international organisations including Youth Business International (YBI), Facebook, Citi Foundation, the Ministry for Foreign Affairs, Netherlands, Accenture, Global Alliance for Improved Nutrition, Ford Foundation and Mitsubishi Corporation. FATE

BUSINESS DAY

Founder, Pearls Africa Youth Foundation, CNN Hero of the year 2018

Foundation is now an accredited member of the YBI, a member of the Orange Corners Network and a Program Member of the Global Entrepreneurship Research Network. Not long ago, FATE Foundation collaborated with Facebook and announced the implementation of the second Series of the Aspiring Entrepreneurs Digital Programme (AEP-Digital) in seven cities across Nigeria. The program, through the collaboration, sought to provide entrepreneurial awareness for participants and it ran for four weeks in Lagos, Ilorin, Port Harcourt, Benin, Abeokuta, Kaduna and Aba. On reasons for the collaboration, she says “The advent of social media and its effect on digital marketing, customer service, people management, market and competitor research, as well as other digital solutions for accounting and payment management, have added to the relevance of a digital component to the training which has only resulted in enhancing and deepening the richness and impact of the program which is one of the reasons for the partnership with Facebook.” Adenike’s previous experience includes Manager, Public & Development Sector Services, KPMG Nigeria; pioneer Executive Director, Nigeria Leadership Initiative; and Learning Support Programme Management at the New Jersey Educational Opportunity Program. She started her career in 2001 with the West African NGO Network and has Interned at the New York based Africa America Institute. It was while working at WANGONeT that she got accepted into the Junior Achievement Nigeria, Venture in Management Programme (ViMP) 2002 class. She credits the programme as the main pivot for expanding her horizons and career perspective in the non-profit and development space. Adenike has a Masters of Public Administration and a Masters of Arts in Diplomacy and International Relations from Seton Hall University, New Jersey, USA (2005) and a Bachelor of Arts in Linguistics from the University of Ibadan (2001). In 2018, Adenike served as the Chair on the National MSME Council Committee on Improving the Business Environment. She is currently a Director on the Boards of BudgIT; Afritickets, Oxbridge Tutorial College Foundation, the Nigerian Association of Franchise Business Owners and also serves as the African Member on the YBI INSIST Group.

bisoye Ajayi-Akinfolarin is a Nigerian woman and Girls Advocate/Social Entrepreneur. She is the founder of Pearls Africa Youth Foundation, a Non-Governmental Organisation aimed at educating young girls in under-served areas in Nigeria with technology skills. On November 1, 2018, Ajayi-Akinfolarin was named one of ten CNN Heroes of the year. Later that month she was listed as one of BBC’s 100 Women. Abisoye was born in Akure, the capital city of Ondo state in. She attended the Nigerian Institute of Information Technology (NIIT) and later attended the University of Lagos, where she received a BSc in Business Administration. Ajayi-Akinfolarin began her career working for E. D. P Audit and Security Associates. She worked at the company for seven years, beginning as an intern and being promoted to the level of Associate Consultant. Working in technology, AjayiAkinfolarin discovered a large gender gap. A government survey conducted in Nigeria in 2013, found that less than 8% of professional, management or technological positions are held by Nigerian women. Wanting to help close that gap and encourage more women in her field, Ajayi-Akinfolarin established her own non-profit organisation. In 2012, Ajayi-Akinfolarin founded Pearls Africa Youth Foundation, a NonGovernmental Organization that assists girls in developing technology skills through various programs including; GirlsCoding, G.C Mentors, GirlsInSTEM and Empowered Hands. Since 2012, the organisation has trained over 400 young women to code. Growing up was tough for her, after losing her mother at the age of 4, and being regularly beaten by her father. In her words, “Life was just crazy, I learned to fend for myself.” The first time she came in contact with a computer was when she was 10, on a school break, at a business centre run by her brother’s friend. “Learning to type and modify text in Microsoft Word was

just beautiful. But I really discovered my love for computers when I joined an IT firm as an intern after high school. When I got introduced to the world of computer programming, I was just natural with it. It just flowed. It’s all about solving problems. I never knew that I’d be looking for solutions to problems regarding less privileged girls. That is what GirlsCoding is all about.” She said. The story of Sharon Okpoe is one that always inspires Abisoye. Sharon lived in Makoko for 17 years. Speaking to CNN, she says “When I went to Makoko for the first time, I was surprised to see the living conditions of human beings. Most girls are trapped in a vicious cycle of poverty. Many of them are not thinking education or a plan for the future. Technology is a space that’s dominated by men. Why should we leave that to guys? I believe girls need opportunities.” Abisoye is passionate about a project called Hope Baskets. According to her, the girls wanted to get beggars off the streets, so they created a website to be a bridge between the rich and the poor. “They wanted a way where someone can declutter their house and give them a call. Then they take what they’re getting rid of; food, clothing, educational materials, and give it to those in need.” She stated. That is not all. There is another project called Break The Blade and according to her, the project is about stopping female genital mutilation. In her words, “These girls believe there is a lot of ignorance about this and want to be ambassadors on this issue. Eventually, they want to have a wrist band where you can press a button and it calls local authorities to come if FGM is about to take place.” It is Abisoye’s hope that girls will not only be users of technology but creators of technology. “We want girls to be creators of tech, not mere users. Watching them write code is beautiful. Many of them never touched a computer before they got here. It’s mind-blowing. The joy on their faces, that’s more than money. I can’t buy it.” Abisoye revealed.

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