BusinessDay 24 May 2019

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MTN Nigeria gains 2.87% to cross N3trn market cap OLUWASEGUN OLAKOYENIKAN

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TN Nigeria Communications plc, the largest telecommunication company in Nigeria by subscriber base, sustained its bullish trend Thursday on the Nigerian Stock Exchange (NSE) to join the country’s most capitalised firm, Dangote Cement plc, as the only two companies trading above N3 trillion market capitalisation.

MTN Nigeria rose 2.87 perContinues on page 34

Download e-copy of Women’s Hub from www.businessday.ng A.B.C. Orjiako (l), chairman, Seplat Petroleum Development Company plc, and Uyi Akpata, PwC regional senior partner, West Market Area, at the PwC’s Family Business Survey Report launch in Lagos, yesterday.

Harsh economy, sluggish growth shut down 18 reality TV shows N DANIEL OBI & MICHAEL ANI

igerian companies are overburdened by the difficult operating environment occasioned by poor infrastructure and unfriendly government policies that have eroded consumer

demand as well as their margins.

This has forced the companies to rejig their marketing strategies by cutting down on social spending and other marketing platforms, including reality TV shows.

No fewer than 18 reality and talent hunt shows have been suspended since 2015 as many

companies, including those who put up these shows, battle with huge operating expenses arising from the high cost of doing business in Africa’s largest economy, BusinessDay checks show.

Some of the TV reality shows, largely sponsored by multinational organisations, that have been laid to rest include MTN

Project Fame, Who Wants to be a Millionaire, Star Trek, Nigerian Idol, Maltina Dance All, Gulder Ultimate Search, Malta Guinness Street Jams, X Factor, Amstel Malta Street Jams, Nigeria Got Talent, Star Quest, The Voice, African Diva, Next Movie Star, Knorr Taste Quest, Nigeria’s Top Continues on page 34

Inside P. 32

CULINARY DELIGHTS

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news Irrigation deficit limits local rice production, signals investment opportunity CALEB OJEWALE

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ncreasing rice production in Nigeria is plagued by limited irrigation, among other challenges. But this problem encountered by tens of thousands of farmers can be solved through deployment of innovative solutions other than the costly petrolpowered water pumps.

Growing rice during the dry season and irrigating to provide water, according to interactions with farmers and stakeholders in the value chain, delivers better yield and is the most profitable way to produce the widelyconsumed staple.

However, this comes at a significant cost, particularly in places where petrol-powered pumpshavetobeusedtoirrigate farms for as much as 12 hours a day, depending on the size of the

farm, for a crop that could take four to six months until harvest.

During the rainy season, farmers do not have to worry about irrigation costs, but it also implies the water supply is completely out of their control.

With this, best farm management practices are difficult to implement, making rain-fed rice production deliver less value compared to the dry season. Indeed, most farmers, particularly in the North where irrigation is usually practiced, prefer the dry-season farming, minus the cost implications.

Rice loves water, just enough circulating regularly throughout the day, but not too much, otherwise the fields get flooded.

As experts note, local rice production in Nigeria would have increased beyond the current level across the country, but the

Continues on page 34

Baru, Barkindo are possible candidates to head Nigeria’s Petroleum Ministry – Sources ISAAC ANYAOGU

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ix days to the end of the first term of the Muhammadu Buhari administration, industry sources say Maikanti Baru, group managing director of the Nigerian National Petroleum Corporation (NNPC), and Mohammed Barkindo, secretary general of the Organisation of Petroleum Exporting Countries (OPEC), topthelistofpossiblecandidates forthejobofPetroleumMinister in Buhari’s second term.

Unlike the first term in government, the sources told BusinessDay some of the candidates under consideration want to be appointed as minister rather than as minister of state. Buhari has been serving as President and Minister of Petroleum Resources since the present cabinet was formed in November 2015.

Our sources say Emmanuel Ibe Kachikwu, current minister of state for petroleum resources, will likely be dropped.

Maikanti Baru Maikanti Baru, who was appointed NNPC GMD in July 2016, appears a clear favourite for the job. Baru enjoys the trust of the president through his management of the petrol subsidy helping to maintain supply despite budgetary constraints.

Baru has kept faith with the president’s deeply-held beliefs that refineries must remain state-owned to be better managed and rather than being sold, refurbished for optimal performance.

This has not happened, as Nigerian refineries continue to produce less than 10 percent of national petrol demand.

Under his watch as the NNPC boss, Baru has tirelessly worked to actualise the president’s desire to drill oil in the

north in commercial quantities.

Baru told some local investors last year that based on preliminary results from the exploration activities in inland basins, especially the Benue Trough, there was a strong indication that commercial quantity oil and gas finds would soon be made.

Baru also said almost 400 square kilometres (400km²) of 3D seismic data had been acquired in the part of the Benue Trough that was earlier explored by SNEPCO and that similar work would be extended to areas previously explored

by Chevron and Total.

Three years later and billions of naira sunk into the project, oil has not been found in commercial quantities.

However, attacks by Boko Haram insurgents have threatened the quest. In 2017, the sect attacked a local team of oil explorersinMagumeriinnorthern BornoState.Theteamwasgatheringsoilsamplesinpreparation tocommencedrilling.48people were killed including soldiers and some NNPC staff members were abducted.

The GMD position in the NNPC is not tenured so Baru, serving at the pleasure of the president, could leave when called upon to do so.

Mohammed Barkindo Barkindo was appointed secretary general of OPEC for a three-year tenure on June 2, 2016 and began his tenure on August 1, 2016. Unless reappointed, his tenure comes to an end in July this year.

If Buhari maintains his legendary slow pace in making appointments, Barkindo could be ready to resume at the Petroleum Ministry before the end of this year.

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

L-R: Segun Ogunsanya, MD/CEO, Airtel Nigeria; Ferdinand Moolman, CEO, MTN Nigeria; Babatunde Fowler, executive chairman, Federal Inland Revenue Service (FIRS); Funke Opeke, CEO, Main One Cable Company; Babafemi Ojudu, representing Vice President Yemi Osinbajo; Umar Garba Danbatta, eceutive vice chairman/CEO, Nigerian Communications Commission (NCC); Olabiyi Durojaiye, board chairman, NCC, and Omobola Johnson, former minister of communication technology, at the Nigerian telecom leadership summit, with the theme ‘Repositioning the Nigerian Telecom Industry for the Future Prospects and Challenges’ in Lagos, yesterday. Pic by Olawale Amoo

Confidence in economy, appropriate pricing pull real estate sector out of 3-year recession CHUKA UROKO

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mproving investor confidence in the Nigerian economy and appropriate pricing by product suppliers were the major drivers of the positive growth that pulled the real estate sector out of a three-year recession in the first quarter of 2019, players in the sector have said.

Nigeria’s real estate sector had been in negative growth territory in the last 12 quarters, long after the wider economy exited the 15-month economic recession in the second quarter of 2017.

The GDP growth for the real estate sector in the first quarter of 2019 was 0.39 percent, according to the National Bureau of Statistics (NBS) in its Q1 2019 report released on Monday. This represents the first positive growth in the sector since the first quarter of 2016 when the economy as a

whole slipped into recession.

A close look at the 0.39 percent growth shows that it is 10.33 percent higher than the growth in the sector as reported in the first quarter of 2018, when the sector recorded the worst contraction at -9.40 percent. The 0.39 growth is also about 4.78 percent higher than the -3.85 percent recorded in Q4 2018.

“Though it is still a challenging environment, we have seen investors’ confidence in the economy improving.

Economic outlook has also improved and product pricing is making more sense to buyers now than before. These are essentially the drivers of the growth recorded in the sector,” Obi Nwogugu, head, real estate unit at African Capital Alliance, told BusinessDay on phone.

Nwogugu added that people have decided to get on with life and are, therefore, making investment decisions

because they don’t have to wait indefinitely for things to get better in the economy.

He disclosed that the company had already achieved 50 percent commitment with more interest coming for its ongoing Blue Water development in Lekki, Lagos. This is the largest modern and best-inclass residential development in Nigeria, sitting on 4 hectares, about 37,000 square metres, of land. The development, which is estimated to cost $165 million, will deliver 600 apartments on completion.

In the build-up to the general elections in Nigeria in February this year, investors and home buyers adopted what was clearly a wait-and-see attitude to the economy generally, withholding investment, especially in real estate where market demand flattened out up to the last quarter of 2018.

But now that elections have come and gone, “people

now see some clarity in governance; they are almost sure of policy direction of the government because things are not going to change overnight”, said Udo Okonjo, CEO, Fine and Country International, in a telephone interview.

Okonjo said there was a sense of confidence in the economy, more so as the market has become a lot more stable than it used to be, leading to the growth so far recorded which, according to her, is stronger in the commercial real estate space.

“The key thing here is that the long drought in the real estate market has made landlords more reasonable with pricing. Office space prices are now between $650 and $850 per square metre, depending on location and quality of finishing,” Okonjo noted.

•Continues online at www.businessday.ng

Apapa: NPA awaits modalities on presidential order as gridlock shifts to neighbourhoods CHUKA UROKO & AMAKA ANAGOR-EWUZIE

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ollowing President Muhammadu Buhari’s directive for the immediate clearing of the Apapa gridlock and the restoration of sanity in the port city and environs, the Nigerian Ports Authority (NPA), the implementing agency, said on Thursday it is awaiting the modalities for implementation of the new directive.

“The president’s directive is an order that was just issued on Wednesday, and the modalities are just being put in place; even the new taskforce is also being constituted,” said Adams Jatto, general manager, corporate and strategic communica-

tions of the NPA, in a telephone interview with BusinessDay. According to Jatto, the modalities for the implementation would be released before the end of this week.

“The Apapa problem is now a national issue and the taskforce is being constituted by the Office of the Vice President because this has gone beyond an issue for the NPA. It now involves all the agencies that operate in the port,” he said.

Jatto, who disclosed that the directive was issued from the Presidency, said the new taskforce being constituted would be in line with the idea which the NPA had before the opening of Lilyond Truck Terminal.

“If you remember, we earlier proposed to disband the

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military and other uniformed personnel from mounting checkpoints on the roads while a new taskforce, which will comprise LASTMA, police, FRSC and the NPA security officials was to be set up by the NPA to enforce the new measures,” he said.

Jatto said the inability of the Federal Ministry of Works, Power and Housing to complete and hand over to the NPA the trailer park being built at the Second Gate of the Tin-Can Island Port would not hinder the implementation.

He confirmed that the second trailer park would be ready in the next two weeks but in the interim, the NPA would use the Lilypond Truck Transit Park to manage trucks going to both @Businessdayng

Apapa and Tin-Can Island, especially for export cargoes.

Jatto hoped that the new directive would enable NPA to consolidate on what it was already doing in managing Apapa traffic in the last two weeks. He recalled that the NPA at the opening of the Lilypond Terminal promised to deploy its towing vans, with the assistance of LASTMA officials, to tow any defaulting truck found parking on the roads and bridges leading to the ports in Lagos.

He assured that the authority would not look back in the implementation of the N20,000 fine proposed to impose on any defaulting truck.

Meanwhile, a day after

Continues on page 34

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NEWS

NSE reverts to positive year-to-date return on Dangote Cement, MTN SEGUN ADAMS

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fter slipping from a positive year to date performance in mid-march, the Nigerian Stock Exchange (NSE) has shown signs of a rebound as it extends daily gaining streak to the sixth consecutive day with year’s return now in the positive region.

The NSE on Thursday returned to a positive YTD territory after gaining 1.07 percent driven by strong performance by the most capitalised stocks, Dangote Cement and MTN Nigeria.

The two stocks have dominated market activities in the week following the listing by introduction of MTN, as demand for the telecomscompany’sstockpushed its price and market cap.

Since MTN began trading on May16,scarcityofthestockandthe highdemandforitpusheditsprice to rise to N149 at Thursday’s close in Lagos, or 65.56 percent increase from a listing price of N90.

Some investors, who were unable to buy MTN shares, moved their orders to Dangote Cement, thereby pushing its price up as well by 16.48 percent, from N176 to N205 in four days.

“Theon-goingcompetitionbetween MTN Nigeria and Dangote Cement to be the most capitalised stock is positive for the market but once the euphoria around MTN starts to settle down, the market might slow,” Yinka Ademuwagun, an equity analyst at United Capital said.

MTN Nigeria gained 2.87 percentThursdayandjoinedDangote Cement as the only stocks with three trillion naira valuation. This is so far the weakest daily gain for MTN Nigeria which has averaged more than 9 percent daily gains although liquidity of the stock improvedassupplyroseintheday.

“Given the strong institutional demand, there is room for an increase in the price MTN Nigeria shares although movement in price going forward would be a bit measured,” Wale Okurinboye, head of research, Sigma Pensions, noted.

For the market, Ademuwagun explained that until there is a broad-based price movement, it cannot be said that the sentiment has improved.

He called for the implementation of policies that would serve as a catalyst for private sector growth.

Senate passes redrafted PIG Bill for Buhari’s assent

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enate, on Thursday, passed the redrafted version of the Petroleum Industry Governance (PIG) Bill 2019.

The passage followed the Senate leader, Ahmed Lawan’s reintroduction of the redrafted bill at a plenary presided over by Senate president, Bukola Saraki, in Abuja.

The News Agency of Nigeria reports that President Muhammadu Buhari had, in exercising his powers in accordance with provisions of 1999 Constitution, declined assent to the bill, raising some observations.

Lawan noted that a technical committee of the Senate had worked on Buhari’s observations and redrafted the affected clauses.

Having rely or order 88(b)(c), the redrafted clauses were committed to the Committee of Whole for legislativeconsiderationandpassage.

The committee, chaired by Saraki, therefore, approved the clause-by-clause consideration of thebill.Thebill,whichhasgeneratedcontroversiesamongNigerians, hasalso been passed by the House of Representatives on Thursday.

The redrafted bill will, again, be transmitted by the National Assembly to Buhari for his assent.

The Senate, in March, adopted the report of Technical Committee on Declined Assent to Bills chaired

by David Umaru, which worked on Mr President’s observations and redraftedtheaffectedclausesinthebill.

Guinness Nigeria announces fully paid 26week parental leave for female employees

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uinnessNigeriaemployees will begin to enjoy some of the best parental leave benefits in the country, with the businessannouncinganewpolicy that offers female employees 26 weeks fully paid parental leave and male employees four weeks paternity leave on full rate of pay.

The ambitious move is part of Guinness Nigeria’s leading work to support a fully inclusive and diverse workforce where barriers to career progression are removed and talent is retained and nurtured.

“We are committed to our focus on inclusion and diversity, andthistakesvariousforms–from supporting and empowering graduates and female leaders withinthebusinesstothisparental leave policy change. We believe it is a trulyforward-looking decision to accelerate our work in equality for employees and their families,” said Baker Magunda, managing director, Guinness Nigeria plc.

The new policy also strengthens the support for parents as they return to work including the option of flexible, adaptable work arrangements and access to free independent counselling.

“I’mdelightedtoseeGuinness Nigeria making this move, and

it is a pleasure to be a part of the team facilitating this change in the business,” Bola Olajomi-Otubu, human resources director, Guinness Nigeria, said.

“Parental leave gives both mothers and fathers the chance to spend quality time with their childintheimportantfirstmonths of life, creating a bond that will last a lifetime. Employers can reap the benefits too – flexibility in work is proven to create happier, more loyal and more productive workforces,” Olajomi-Otubu said.

Guinness Nigeria’s commitment to championing diversity and inclusion across its business is driven at the very highest level.

The company exhibits diversity at most senior levels where women currently make up 30 percent of the Board and 45 percent of the executive leadership team.

These efforts are supported by a range of dedicated employee networks such as the Guinness Nigeria Spirited Women’s network, creating opportunities for women not just within the business, but also in the wider society.

The company is proud to have receivedmany‘GreatPlaceToWork’ Awards,mostrecentonebeingthe 2018 ‘Great Place To Work’ Master Awards Hall of Fame. www.businessday.ng

L-R: Olajumoke Simplice, vice president, Chartered Institute of Taxation of Nigeria (CITN); Cyril Ikemefuna Ede, president, CITN; Thomas Isibor, country head, Association of Certified Chartered Accountants (ACCA); Olateju Somorin, immediate past president, CITN, and Babajide Ibironke, chairman, national advisory committee, ACCA, at the signing ceremony of an MoU between ACCA and CITN in Lagos.

EIRS engages private legal practitioners for tax recovery

… as governor targets opportunities in entertainment industry with Edo Creative Hub

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s part of renewed initiatives to ensure tax compliance, the Edo State government has engaged the services of private legal practitioners to fast-track recovery of all outstanding tax liabilities from defaulters.

In a statement, Igbinidu Inneh, executive chairman/CEO, Edo State Internal Revenue Service (EIRS), said, “This is to inform the general public that in a bid to recover all outstanding tax liabilities from tax defaulters, the Edo State Internal Revenue Service (EIRS), has engaged and collaborated with private Legal Practitioners in Edo State.

He said the private legal practitioners would work in alliance with the Law Officers of the EIRS to embark on vigorous prosecu-

tion of tax defaulters, adding, “The general public is by this press statement put on notice to pay up all outstanding tax liabilities owed Edo State Government, in order to avoid the consequences of prosecution.”

Recall that the EIRS had earlier disclosed plans to step up activities to ensure tax compliance, urging firms to pay up outstanding tax liabilities as part of their civic responsibility.

Meanwhile, the state governor, Godwin Obaseki said his administration was collaborating with the private sector and other relevant stakeholders to attract investment and create jobs in the state through the Edo Creative Hub, its new initiative to rejig the state’s entertainment industry.

The governor, who was rep-

resented by his Deputy, Philip Shaibu, gave the assurance during an interactive session with stakeholders in the entertainment industry at the Government House, Benin City.

According to Obaseki, “Our goal is to create jobs by stimulating an enabling environment for private investment to thrive and drive the various sectors of the state economy. For the entertainment sector, we are establishing the creative hub where players in the entertainment industry will be exposed to world-class training and secure jobs with the opportunity to excel in the industry.”

He noted, “The idea is to make the entertainment industry viable in the state and groom it to a worldclass standard.”

The wife of governor, Betsy

Obaseki, said the entertainment industry was a critical sector due to its huge contribution to the country’s Gross Domestic Product (GDP) as well as its potential for job creation.

She said the state government would partner the Bank of Industry, currently investing in 50 sub-sectors in the creative industry across the country.

She urged participants at the interactive session to key into the Edo Creative Hub initiative to rejig the creative industry in the state and the country at large, noting, “The Federal Government has identified the value chain in the entertainment industry and the BOI is giving loans to people in the entertainment industry to grow the sector. This is where the creative hub will be beneficial to people in the state.”

Ports congestion, multiple taxes impeding business - MAN

Nigeria can earns $20bn from palm oil production annually - CBN governor

… warns trend could lead to more shutdowns

IDRIS UMAR MOMOH, Benin

JOSEPH MAURICE OGU

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anufacturers Association of Nigeria (MAN), the umbrella organisation of the country’s industrial sector, says the continued congestion at the nation’s major ports in Lagos and multiple taxes have raised the cost of doing business.

The group noted that the congestion at the ports as well as the gridlock on Apapa roads had led to delays in accessing imported raw materials, which it said had brought additional costs to businesses.

“Of particular concern and importance to us (MAN) are the challenges we face in moving our raw materials and goods to and from the ports,” Seleem Adegunwa, chairman, MAN, Ogun State chapter.

Adegunwa spoke during the association’s CEO’s Business Luncheon titled “Lagos ports congestion: an end in sight? Analysing the economic cost to industries in Ogun State and exploring viable options,” which held in SangoOtta, Ogun State, Thursday.

Federal Government Wednesday gave a two-week ultimatum for the ports to be decongested and the roads and bridges leading to them cleared of trucks within 72 hours.

Adegunwa also pointed out that one of the greatest challenges facing manufacturers is the multiplication of taxes paid and unnecessary demurrage incurred as a result of delays, due to congestions in accessing Apapa.

According to him, these delays and multiple taxes are caused by the time wasted in accessing Lagos ports.

Apart from traffic gridlocks, Adegunwa said the actual time taken for clearing of raw materials and machineries had tripled, thereby raising costs for companies.

Adegunwa warned that if the trend was not checked by the relevant government agencies, it could result in collapse of more factories and businesses, noting that some factories and businesses had already shutdown their operations and relocated to neighbouring countries.

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overnor of Central Bank of Nigeria (CBN), Godwin Emefiele, on Wednesday, said Nigeria with its vast arable land had the ability to earn over $20 billion from cultivating and processing palm oil.

Emefiele made the remark while delivering the University of Benin (UNIBEN) 3rd Eminent Persons’ Lecture series with the theme, “Beyond the Global Financial Crisis: Monetary Policy under Global Uncertainty,” in Benin City.

The CBN boss, who lamented that Nigeria imports diary products from the Netherlands, noted that improved growth of the agricultural and manufacturing sectors would insulate the nation’s economy from volatility in the global markets, reduce reliance on proceeds from sale of crude oil as well as stimulate domestic production of goods that could be produced in Nigeria.

He explained that the Netherlands, which is half of the size of Niger State, exported close to $100 billion worth of agricultural related items in 2018 and also the @Businessdayng

third largest exporter of palm oil produce in the world.

He also said the country earned close to $10 billion in 2018 from exporting disrupt products, eggs and vegetables.

While calling for prioritisation of agricultural production by state governments based on areas of their comparative advantage, he said the Federal Government was currently battling to stop the importation of palm oil into the country.

He further added that the apex bank introduced a demand management approach in order to conserve its reserves and support domestic production of items that could be produced in the country.

He said four out of the 43 items that the government restricted access to foreign exchange constituted over N1 trillion of the nation’s annual import bill.

He listed palm oil and diary products as among the four restricted items, saying the apex bank through development of finance intervention, sought to improve domestic supply of four commodities that consumed about N1.3 trillion nation’s import bills.

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comment is free comment Poverty, productivity and the National Assembly

Send 800word comments to comment@businessday.ng

Temitayo Fagbule

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igerian senators are worried about a “looming revolution”. And they’ve identified the cause: the poverty tsunami the country is facing. Last week they spent 90 minutes debating how to bridge the gap between the haves and have-nots. They talked about the chicken coming home to roost, the revolt of the downtrodden, the elites under siege and the dictatorship of angry drug-addled beggars. They blame it on, “...long years of neglect of the welfare and future of younger generations and unwillingness by both the government and the elites to plan for the future, or read the signs of upheaval.”

Not a single senator, however, mentioned the disparity between the mammoth salaries and allowances of lawmakers (a tiny elite; 0.002% of Nigeria’s population) and the minimum wage. This is one of the factors that drive extreme inequality in Nigeria.

In Nigeria where political and economic power is intertwined, inequality is worsening. Public office

is not only considered a quick route to riches, politicians have become a self-perpetuating and self-serving clique. Capturing political power gives access to economic benefits, and given the high cost of financing a campaign, officeholders are less interested in policymaking that favour the majority. Nigeria’s legislature has become a career path to quick riches. It is plagued by careerism.

Political careerists see the legislature as a means to opulence rather than minimum comfort required to serve their country.

Based on some calculations a Nigerian lawmaker earns 10,000 times more than national minimum wage and 200 times more than Nigeria’s GDP per capita. Only highly paid CEOs earn so much.

Doug McMillon, CEO of Walmart and one of the highest paid executives in the world earned $23 million in 2017 – over 1,000 times more than the median salary of an average staff at the giant retailer. Those who justify this gaping difference say talented chief executives like McMillon are hard to find, and point to the 1.5 million jobs Walmart provides and the value McMillon creates for shareholders.

The same case can’t be made for Nigerian legislators. In 2015, with less than 10,000 people on its payroll, the National Assembly had staff, resources and a budget far more than 21 states in Nigeria including Kastina, Benue and Jigawa all with populations above four million, according to Quartz, an

online news site.

Disparity between what lawmakers in Nigeria earn and their productivity is a problem. But do senators see the inefficiency of the National Assembly as a cause of poverty?

Perhaps continued delay of bills that will reform the oil and gas industry or the reluctance to push for the sale of refineries or progress on plans to trim down overheads and recurrent expenditure in ministries, departments and agencies (listed in the Economic Recovery and Growth Plan) aren’t examples of the “unwillingness by both the government and the elites to plan for the future.”

It’s also possible that the senators aren’t aware that public administration (as a sector of the economy) contracted in the first three months of 2019 i.e. it’s still in recession, according to data from the National Bureau of Statistics (NBS). Why bother when salaries and benefits are paid without fail?

Legislatures with salaries and benefits commensurate with the time spent making and passing laws, and supported by a sizable staff and resources tend to be more efficient, according to the Squire Index for Legislative Professionalism. An index developed by Peverill Squire in 1992 to measure the performance of legislators and the legislature in the United States.

Salaries and benefits are an incentive to attract the best who will give their time to policymaking assisted

‘

In 2015, with less than 10,000 people on its payroll, the National Assembly had staff, resources and a budget far more than 21 states in Nigeria

by competent staff. Consequently, this leads to long-tenured and experienced lawmakers with considerable policymaking influence relative to the executive.

Typically, rising salaries should be an incentive for greater service but the contrary is the case in Nigeria. It’s common for senators or representatives running for re-election to be asked midway not to campaign because an ex-governor, a party chief’s spouse or child are interested in the seat. Such possibilities divert attention from focusing on legislative activities to juggling for higher salaries and allowances since they are uncertain of re-election. Chances of building experience and learning the intricacies of policymaking are thus slim, even if they are re-elected. If most of the time is spent feathering their nest and fighting to keep their seat, the staff and resources at their disposal will be under-utilised.

Unfortunately, most of the senators who came up with bright ideas for fixing poverty in Nigeria won’t be around; the Eighth National Assembly ends this month. Maybe as a gesture of sacrifice and given the urgency of the matter they could add another bill to the over 2,000 they introduced since 2015. Though almost 20% of the bills introduced were passed (500 are pending), at least they are better than the Seventh Assembly that passed 10% of the 1,063 bills introduced.

Fagbule is Chairman, Editorial Board

There is still dignity in labour

OSA VICTOR OBAYAGBONA

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once asked myself, ‘Does hard work really pay? This was so when I read a headline like ‘Ondo pardons 2,200 workers with falsified records (Vanguard, Monday, December 23, 2013). This is in an era Nigeria’s democracy is being faulted by too many laughable issues.

Why the pardon, you may ask? In order to be accepted as a leader that listens, Governor Olusegun Mimiko of Ondo State pardoned the 2,200 workers indicted for forgery in order for them to have advantage over the qualified for their positions.

Without any form of sanction, these criminals (according to the law of Nigeria, forgery is a crime) were pardoned, showing there is no longer reward for hard work, bringing the saying “not how far but how well” to be true; get it any how one or two governors will pardon you later.

However, this kind of our democracy, pardoning criminals and sentencing qualified people to perpetual unemployment has made Nigeria to become a laughing stock; not even a soft sanction, maybe demotion.

This is a wrong signal to the youth who already do not believe in hard work.

I discuss this because of a WhatsApp message copied and forwarded to me by a friend – Adekunle Adedoyin, a staff of Lagos State University, Ojo (The message read thus).

What is work?

It was actually in 2007, as a manager of a hotel in Owerri, Imo State that I was taught the meaning of work by the hotel’s car wash staff!

This particular staff, Nnamdi, was the only applicant that applied with a First School Leaving Certificate as his highest qualification, and specifically for the job of a car washer!

It was a 65-room hotel including single and double suits. On average, 40 cars park at the car park daily on weekdays and about 60 on weekends.

We weren’t charging fees for car washing.

It was purely complimentary.

In about a month of his resumption, I was getting excellent reports from guests and supervisors on the good conduct, attitude and professionalism being displayed by the car washer in his work.

Within that period, there was an opening for a supervisor in the cleaning department.

The number one candidate for the position that came to my mind was the car washer. I called him into my office and informed him that he would be resuming as a supervisor in the cleaning department with effect from next Monday, and that a new car washer would be resuming with him the next day

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for him to train in our ways of washing cars.

To my surprise and shock he declined the offer, begging me to allow him remain as the car washer, citing his deficiency in education and good communication skills as inhibitions.

I allowed him to remain as the car washer, but it raised my curiosity. I started to study his work as a car washer. What I discovered shocked me to the marrow and changed my orientation and definition of what work is, and who actually is working.

On average, he washed 60 cars a day including those of suppliers, contractors and customers that came to the hotel in the daytime. Since the hotel complimentary only covers washing the exteriors of cars, he collects a personal special fee of not less than N1,000 to wash the interiors of cars for customers that requested for it. He got an average of N500 per car as tips from appreciative customers and guests.

All these translated to the car washer making on average N35,000 per day. If he shares N15,000 to his two assistants, he still made N20,000 per day, which translated to N600,000 per month, whereas my own salary as manager then was a little above N100,000.

Another shocker I discovered was that this young man was actually a graduate but decided to apply with FSLC and specifically for the position of a car washer. What this meant was that he knew exactly what he was doing, what he wanted and what he was going to get from the beginning.

Why this story?

Because we have a wrong idea of what

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work is in this country and that is why so many graduates and young men are roaming the streets jobless with earphones in their ears, rucksacks on their backs and sagged trousers, blaming the government for unemployment when millions of high paying jobs are staring them in the face at every turn.

I know of roadside tailors that charge N20, 000 to make a ‘senator’ caftan and could make five of them a day. I know of roadside seamstresses that charge N100,000 to make a simple wedding gown and could collect up to N300,000 if they are baking the wedding cake as well. Jobs everywhere but we give excuses with lack of power, government grants and loans as if those who are making millions everyday from these skills and trades got preferential treatment from government.

We don’t believe we are working unless we wear tie and suit or customs, immigration, etc, uniforms, and go to offices every morning and swell the ranks of those agitating for N30,000 a month minimum wage, even when the opportunities to do legitimate jobs that will pay us that in a day is staring us in the face at every corner.

These jobs and enterprises produce goods and services that grow the GDP, the economy generally and provide employment.

We need a change in orientation!

We need a new progressive way of thinking!

We need #RENAISSANCENIGERIA!!

Osa Victor Obayagbona is assistant News Editor, BusinessDay

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Friday 24 May 2019

BUSINESS DAY

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The tangled web of NASS rules on media access The Public Sphere

CHIDO NWAKANMA

T

he pithy declaration of Walter Scott is a usually reliable handle for understanding some of the utterly confusing actions of the government. Poet and essayist Scott declared, “O, what a tangled web we weave when first we practise to deceive!”in the poem Marmion. New rules released by the National Assembly Monday, May 20 represent a complex and tangled web that hides its intendment in highfalutin requirements.

To underscore its deceptive nature, the two principal officers of the National Assembly on behalf of whom they issued it, have denied knowledge of them. Both Senate President Bukola Saraki and Speaker of the House of Representatives Yakubu Dogara say they have no hand in drafting them.

They saw them in the public space as with other citizens.

Yusuph Olaniyonu, special adviser on media to the Senate President, stated, “It is perhaps a new policy that will be in force from June 11 when the new National Assembly will be inaugurated.

In any case, I will still try to advise the

relevant people on an issue which I consider as bordering on press freedom and access to information.”

“Show the light, so the people will find the way”, the West African Pilot (1937-1972) declared of its mission.

Shining the light remains the mission of journalism everywhere, more so in a democracy. Darkness detests the light, though, and always seeks to block it from shining on the dark motives and actions of officialdom.

The National Assembly released out of the blues new regulations to correspondents and media houses on coverage of the National Assembly. The rules covered individual and organisational qualification, the number of persons to represent each medium, reach of the print and online media but not broadcast organs, and corporate governance issues such as tax clearance for two years, business registration and compliance with a professional association.

The statement by the Director of Information of the National Assembly Rawlings Emmanuel Agada requires interested media organisations to submit two years tax returns, prove that it circulates a minimum of 40, 000 copies daily and have a certificate of incorporation as well as registration with its professional body. There should also be a code of certification from the National Library. They should also have a functional bureau in Abuja with staff strength of not less than five editorial staff and at least experience of two years covering the National Assembly.

“All online media must have at least 5000 viewership per day. The site must have been in operation for five years

and provide satisfactory evidence to this effect with clippings of the new utilised (especially parliamentary news).

Only television stations with national coverage and specific independent producers with current running programmes on the National Assembly will be allowed access into the chambers on a permanent basis (all the production crew will be accredited as an entity.”

The statement said each medium would be allowed only one reporter and photographer, for both print and electronic.

The guidelines are full of internal contradictions and evidence of failure to think through. Someone loves the figure five, insisting that each medium must have five editorial staff of which it would send two to the National Assembly. Online platforms must have been around for at least five years as well. There is no rationale for these numbers as minima. The National Assembly starts again with new members for both houses but does not like new faces in the media. It requires that they have spent at least five years covering the National Assembly.

There is both mischief and confusion when the guideline dabbles into the matter of reach. It prescribes a minimum circulation of 40, 000 copies daily for the print media but no figures of reach for the broadcast organs. Why not 400, 000 copies? Sunday Times historically did 500, 000 copies in the past. Or 40million, ten million more than the legendary reach of NTA for many years! The notorious fact is that very few newspapers do such figures.

Newspapers are emphasising their on-

‘

Why does the new National Assembly want to exclude the media from covering its activities? Will the National Assembly become like the witches coven in Macbeth cooking up many storms?

line platforms onto where the readers have moved. The industry now speaks of composite reach figures incorporating print run, online reach and social media numbers. What happened to broadcast media reach? Is the National Assembly satisfied with the 30 million viewers on NTA? What about the listeners of the about 500 radio stations and counting or the 160 television stations in Nigeria?

The Nigerian Guild of Editors has reacted appropriately to the vexation.

It urged all media houses to “rise and reject this medieval intrusion into the media space in the 21st century, much more in a democracy which the Nigerian media doggedly fought for and for which some journalists paid the supreme price”.

Why does the new National Assembly want to exclude the media from covering its activities? Will the National Assembly become like the witches coven in Macbeth cooking up many storms?

Remember one of those seeking a principal officer post declared his intention to canvass tenure elongation. What is the agenda of the upcoming Assembly?

Whatever it is and whoever is beating the drums, they should withdraw the obnoxious regulations as unbefitting of Nigeria in the 21st century. Anti-press rules would no longer work and are undesirable in this era.

Nwakanma is a Visiting Member of the BusinessDay Editorial Board and serves on the Adjunct Faculty at the School of Media and Communication, Pan Atlantic University, Lagos. Email chidonwakanma@gmail.com.

Businesses and lifestyles of a declining mind and nation

EIZU UWAOMA

L

et me start by asking you to list just five entertainers you know from China. How about their churches or religious brands?

I bet you couldn’t even list three (remember they have over a billion people) but I bet the list would be endless if I asked for the biggest entertainment brands that shut down stadiums during jamborees. The same goes for the biggest cathedrals and churches we see here. If we run a regressive and correlation analysis by mere statistical hypothesis, you’d see that actual growth of a human being or even a nation is inversely proportional to any lifestyle too dependent on entertainment and religion. These two variables seek to transfer or suspend a present pain or unease to someone else without exactly solving it. The truth is that no serious county grows or rides on the back of movies, jokes, music, religious events and merry without tangible value.

In the table of men, entertainment is on the menu after what they actually came for. It’s profitable business beyond reasonable doubt till you do a balance score card assessment with cause and effect on our value system and actual ability to grow and lead a society right. Maybe it can make more money for the champagne brands, concert organizers, radio stations, strip clubs, lounges and liquor stores. Direct labor will always be slim while the rest of the crumb goes to the artist and their entourage, full stop. If there’s structure, it can do more.

I had an interview for fresh graduates this

week. There were over 20 of them so we put them all in a group to have a lateral group think with a series of questions. One of the questions was for each person to quickly run us through 5 news of happenings within the last one month. And over 70 percent of them told entertainment news. I asked them to name 20 popular Nigerians and once again, over 70 percent was entertainers, and then religious leaders, then politicians in that order.

Considering the age grade and educational qualification of these applicants for a very corporate role, does this tell us anything here?

I felt depressingly sad over the quality of conversations by what was supposed to be our most promising age demography at the wake of Naira Marley’s arrest. It wasn’t about whether he was guilty or not; but mostly about leave “Yahoo boys” alone. It’s great to see someone with social capital and support. But beyond that, the nature and cause of the support is also key. In the wake of Naira Marley’s arrest in relation to fraud by the EFCC, Twitter and the online space was uproar. It felt like being an artist, young and rising was the crime. It definitely isn’t. It’s okay to question the how. Whether it’s a pastor making a fortune from tithes or a politician embezzling public funds or an entertainer who is dry cleaning dirty money from black economy; they are all in a same boat, especially if it’s in limelight for celebration. I believe the ideologies and strategic role models play in forming our opinions and lives can’t be brushed off when a wrong message is sent. Every strategic government should keep a watch on those. But it is failing them they’d say as excuse. So even the spy needs to be spied on too. The role of entertainers and nightlife to the rising trend and acceptance of internet fraud as a ‘hustle’ by an entire generation is actually directly proportional. It sort of remind us the role upon which hip-hop plays on black on black violent crimes on the streets of America. This makes the entire law enforcement agents to keep a steady and more detailed eyes on their cowboys on the hill just for the height they stand on; in this case the entertainers and hip-hop artists, ready to be used as a scapegoat and example of consequences;

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they are mavens, sneezers and connectors which makes them strategic. Being an artist can be great.

There’s nothing wrong with being an artist if there’s real talent and depth away from just following a band wagon with similar rhythm and shallow messaging. Real creativity is colouring out of the box, but ours is boxing us in. But beyond that, let’s look at data. While more people try out that career path, whether as passion or easy yet enjoyable route, the scatter diagram is worrisome. The probability of success of being mainstream out of the hundreds of thousands that sleep in the studio is less than 2 percent. Logically that age grade is the most productive and intelligence phase of any lifetime.

We may never find it back once it is squandered looking for quick fix. Like the saying goes, “when our youth is a blunder, it leads to an adulthood of struggle and an old age of regret”.

The average life span of relevance after the first hit as an artist in Nigeria is 2 years. This is with exceptions to the likes of Tuface, Femi Kuti, Wizkid, King Sunny Ade, MI, Falz et al, looking at them, you can see why. Nigeria needs help and entertainment can’t be the best we can produce in this 4th revolution led by Nano technology, ebusiness, 3D printing and data driven intelligence by the world. Face the facts, China, Dubai, East Europe and America didn’t become powerful by people who wake up to dance their worries away.

A PricewaterhouseCoopers (PwC) report a few years ago perked the Nigeria’s entertainment and media industry to grow from the $4 billion USD high it was in 2014 to $8.1 billion in 2019, at a compound annual growth rate (CAGR) of 15.1%.

While noting that the Nigerian market is heavily driven by consumer spend, the report noted that our population trend and Internet access will be the main contributor to market expansion with revenues accounting for a remarkable 82% of the growth through to 2019. Nigeria is the biggest consumer of Telenovelas and Zee TV. Our women are stuck with it, it’s fast becoming the official station you see in receptions of even corporate institutions. The Nigerian Gaming and betting Industry is the fastest rising in the world. Everywhere you

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turn to is a bet stand. Now, we know there’s trouble when an entire generation begins to place its entire future on luck, so called grace (what I think refers to as luck), games and chance. As this thing grows, it become a metaphor of how we live. We need people to take better ownership of their lives, instead of handing over to someone else, a moment of temporary relief through entertainment or even a deity.

It seems over to us and we can do much better with ours. Rewrite our future before it is submitted as a present of our past. In every generation, their art directs what it will be remembered for. Perception is being created. Once delivered, it’s hard to erase in the neural pathways of our lifestyles. In life, I’m leaning how people may go where excitement comes around, but only stay where there is sense and depth. The artists that have lasted over a decade in this industry show a trend and a proof.

The demand for entertainment for and from Nigeria is high; true. I know we’d say that it’s what the market is demanding that the artists give. It’s a lazy way to think as a manufacturer. The truth is, the customer doesn’t always know what he wants, and you are to create products that help him see the better option, enjoyably. Timelessly, in arts, the curator has the power of influence. We can do much more to alter lifestyles for good. We can be more intentional with what we want out of this potential. I believe that anyone can fall off a ladder by accident, but no one climbs a ladder by accident.

Being intentional is key. Gaining the right skill set and knowing the excellence and professionalism of the craft is another. Detailing the steps and ruthlessly executing your way also has to be taken into cognizance. We need more professionalism in that industry. I wish there could be an ecosystem created by intention.

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

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Friday 24 May 2019

BUSINESS DAY

Editorial Publisher/CEO

The time to end nationwide insecurity is now!

editor Patrick Atuanya

t is no longer a matter of debate that the level of insecurity being witnessed all over Nigeria is simply unacceptable and must be fought with the full weight of the Nigerian state.

Whether it is kidnapping for ransom, herdsmen unleashing fire and brimstone on hapless farmers in one remote village, or brazen armed robbery both in broad daylight and at night, or any other form of banditry, Nigeria is now soaked with terror so much so that no region or segment of the society is spared. This is taking a high and costly toll on the nation.

This orgy of lawlessness has imposed on the citizenry a psychological trauma the impact or cost of which is not yet fully quantifiable. Besides curbing people’s freedom and basic liberties guaranteed them by the Nigerian Constitution, this level of peacetime insecurity is sure to impinge negatively on the overall performance of the economy.

From agriculture to commerce and industry, no sector is spared.

A report issued by the Act-

Frank Aigbogun

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

I

ing Inspector General of Police, Mohammed Adamu, showed that within the first quarter of this year, 1,071 people were killed in crime-related cases, with Zamfara State recording the highest number of 203.

Within the same three months, 685 people were kidnapped nationwide, again, with Zamfara recording the highest number of cases of 281.

Considering that not all kidnap and robb er y cas es are reported officially to the Police, it is possible that the actual numbers were higher than these. Besides, cases of kidnapping and armed robbery have remained high in this second quarter of the year. This is unacceptable.

The time to solve this problem is now. But the governments must show commitment to doing so. When militancy in the Niger Delta region threatened Nigeria’s oil industry – the heart of the economy- the government tackled it with the full weight of its might. It deployed the military to the area to crush the threat. To solve the problem comprehensively, it also introduced the amnesty programme, a significant component of which was the

training and skills acquisition for repentant militants many of whom now live productive lives.

A number of factors account for the current nationwide banditry. Among them are unemployment; climatic change and specifically the drying up of Lake Chad, which had forced a southward movement from the north; herdsmen-farmers clash, and of course criminal elements who take advantage of the conflict. Nigeria also has porous borders that make it possible for arms to freely flow into the country, helping the various terror groups push their agenda into the country.

The government must deal with each element appropriately. It must fight banditry and all forms criminality. If the carrotand –stick formula could work in the case of oil, government must muster similar courage to tackle headlong the current wave of terror pervading all over the nation.

The governments should also take a cue from Lagos state, where cases of kidnapping were nipped in the bud. The state created a security trust fund that has helped equip the state police command. The federal

and state authorities should replicate this, while the federal government should consider improving the remuneration of the police officers.

The daily cases of kidnapping, maiming and killings on the Abuja-Kaduna road, LagosBenin road, or in Osun, Ekiti, and other states, are enough to compel the government at the highest level to deploy its full power to stamp out the current reign of terror in the land.

It is thus imperative for the governments – federal and states- to rise to the occasion by designing programmes to crush this criminality.

It has been said that unemployment is a time bomb. With unemployment rate of 23 percent according to the National Bureau of Statistics, it is clear that there is restiveness in the country, since the unemployed youths can be forced to take to crime.

The government must therefore take seriously the issue of job creation. Statistics showing economic growth or other indicators of good performance come to very little if there are no jobs for the ordinary people. The current level of crime clearly shows this.

Bashir Ibrahim Hassan

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

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Friday 24 May 2019

BUSINESS DAY

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Laments for Ariel THE NEW WEALTH OF NATIONS

Obadiah Mailafia

I

have written before expressing my deep concern about the attitudes and behaviour of our youth. I see myself as a friend of the youth. But I am also concerned about some of social deviances many of our youth are into these days – the nonchalance, the blasé attitudes, the lack of moral standards, the cultism and drugs and lack of patriotism.

But today I want to also express our collective failure as a society to create an enabling environment for our young people to flourish. The Nigerian society is cruel, harsh and heartless. We have robbed the youth of their future. We have denied them opportunities for expression of their abundant talents.

As a consequence, most of them are now scheming how to move to Canada or some other Eldorado. Many engage in the Long Trek across the Sahara in the vain hope of crossing the Mediterranean into Europe. The casualties are in their thousands. If they do not end up as slaves in Libya they perish in rickety boats in the treacherous Mediterranean Sea. It is a horrendous tragedy.

For those who do not plan to move abroad, surviving in Nigeria has become a nightmare. Some have taken the easy road of suicide.

The story that set me on this train of thought has been the tragedy of a recent suicide case involving a young final undergraduate of the University of Nigeria, by the name of Chukwuemeka Akachi. The tragedy was reported in the Guardian newspaper of Wednesday 15 May (p. 12). The tragedy occurred on

Monday 13 May when the young man allegedly went to an abundant building on campus and drank 2 bottles of ‘Sniper’, an insecticide. He went into coma. Some Good Samaritans found him and he was rushed to hospital but was pronounced dead.

Apparently, the young man had for several months been tormented by mental illness. In one of his profile updates on Facebook he had written had put a caption under a photograph, “Demons”. On April 11, he wrote: “The music stopped”. And on Sunday May 12, a day before he took his own life, he wrote: “My mental health has been on life-support for a while now. Thanks to those who call. Text. Visit. Speak to me.

May we always remember. May we never forget. You may have added a few hours, months or days to my time here. But you know life on life-support is expensive, right? Thanks for trying. Amen.”

He was known to have attempted suicide before. Two lecturers, we understand, were closely counselling him. But, alas, he had his way this time around on that tragic day of Monday 15 May. From all we know, Chukwuemeka Akachi, 22, was a rather bright student of English and Literary Studies. He was also a budding poet and rather very sensitive person. He described himself on Facebook as: “Human…Survivor and Finit hic Deo (God ends here).

He apparently left an electronic suicide note at 7.01 am before taking his own life later in the day: “Forgive me. In case you the one who found the body, I am really sorry. It had to be someone, you know. I have chosen Joe Nkeitah’s poem as my suicide note: ‘They said you came looking for me. I didn’t drown; I was the water’. Where do atheists go to when they die? Lol. Amen.”

This tragic case may not be that unique. When I was a student at Oxford University in the United Kingdom I encountered several cases of mental breakdown and even suicide. Oxford is a highly pressurised intellectual environment in which the competition to

excel is fierce. There was the tragic case of an exceedingly bright young AfricanCaribbean girl from one of the inner cities of London who took her life during first term. She felt she was out of place in an environment filled with upper class children of lords and captains of industry. A friend of mine from Kenya, a brilliant biochemist and grandson of a Mau Mau general, lost his mind and was sent back to his parents in Nairobi.

The other case I remember well had to do with intellectual vanity more than anything else. A brilliant student from a billionaire family in Hong Kong went straight from his final paper and plunged to his death over Magdalene Bridge. He felt he had performed poorly and could not face his family. When the results came out he got one of the best first class honours among the entire body of graduates that year!

I have learned from life itself that being a genius can be in itself a path of loneliness and high risk. Consider the case of the Japanese mathematical genius Yutaka Taniyama (1927-1958).

He was one of the brightest young men in the world and had achieved world academic renown in his twenties. He suddenly took his own life without any apparent reason. He said he did not see how he could face the future anymore.

He left a note for his fiancée pleading with her for forgiveness for any “embarrassment” he might have caused her. There is also the tragic case of the American poet Sylvia Plath (1932-1963) who was married to the British poet Ted Hughes. Young, beautiful and a brilliant mind, she succumbed to suicide at the peak of her powers. I cannot forget the case of the South African Afrikaans poet Ingrid Jonker (1933-1965). Before taking her life she wrote a poem for her mother: “My mother, dying, was as sunny as a ladybird, so full of secrets, so surprising, so tender.”

Many cases of suicide are being reported these days not only on our campuses but throughout all walks of life in our country. Many of the victims are middle class professionals – account-

‘

Many cases of suicide are being reported these days not only on our campuses but throughout all walks of life in our country

ants, lawyers, doctors and engineers. It is a national epidemic.

What bothers me about the case of Akachi is that I believe the authorities could have done better. I do not know whether those 2 lecturers that were assigned to look after him were professional counsellors. He should have been prevailed upon to see professional psychotherapists. And his parents or close relations should have been brought into the matter. He should never have been left alone to fend for himself. With our prevailing environment of insecurity, fear, violence, nihilism and anomie, life for most Nigerians has become a Hobbesian nightmare – solitary, nasty, brutish and short. It has been worsened by the fact that the traditional moorings of kinship and family that held us together are being eroded by the day. Young people in particular feel lost. We must offer them hope. We must give them love and succour, otherwise our society will be in mortal danger.

To those who have become dispirited with life, I urge you to be courageous. I find that prayer helps. Living a life of faith helps. Having a goal and a purpose helps. One of the books that has changed my life is that of the German neuropsychiatrist Victor Frankl, Man’s Search for Meaning (Beacon Press, 1959). Frankl lost his parents and entire family during the Nazi holocaust in Germany. He himself was consigned to a concentration camp. He watched his colleagues die every day. He reveals in his book that what can save a man in very dire straits is a vision of the future.

We have to keep in mind what we can do to improve not only our own lot but that of those around us. We live by hope. And we must keep the candle of hope burning bright. Shalom!

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)

Nigerian health: Circa 1948 HumanAngle

Femi olugbile

I

dly trawling through the internet, you happen upon a short black and white film-clip about Nigeria on YouTube.

The clip suddenly fills your mind with visions of what the Nigerian health system was like seventy years ago.

The narrator is an English Medical Officer who introduces himself as ‘Faulkner’.

As the film opens, Faulkner informs his viewers that his first introduction to the Nigerian system is in Lagos where he has a meeting with the Director of Medical Services, Dr Samuel Manuwa. The date is shortly after the Second World War. In the footage, Dr Manuwa is a middle-aged man in long-sleeved shirt and tie. He looks quietly authoritative behind his large desk. He welcomes his visitor and proceeds to instruct him on his assignment. The office of the Director of Medical Services is located in a stately old co-

lonial building somewhere on the Lagos Marina.

Faulkner is reporting for duty with another English doctor, whose name is Langdon.

Dr Manuwa rises from his seat and goes to large map of Nigeria mounted on the wall. He explains to each of the men, pointing at the map, the different locations to which he has posted them.

The Nigeria Medical Service, he explains, is decentralized through Regional Offices to Districts, each of which is supposed to have a District Medical Officer. Dr Langdon is to take over a field unit covering a vast swathe of territory in the north of the country. Faulkner, for his part, is deployed to Calabar as District Medical Officer.

The day after the meeting with Dr Manuwa, the two doctors depart Lagos for their new bases.

Dr Langdon sets off by train, from Iddo Station, to travel six hundred miles to the North. His travel is guaranteed to be in a reasonably good degree of comfort, riding in a first-class cabin with leather upholstery and tea service, as is appropriate to his station.

Pausing, you reflect that the little snippet showing safe, comfortable travel by rail from one end of Nigeria to the other more than seven decades ago makes nonsense of top government officials in 2019 celebrating with fanfare the ‘commissioning’ of a short stretch of the same railway, as though it were a new invention.

Faulkner and his young family – a wife and a little son named Jonathan, travel to Calabar by www.businessday.ng

air from Ikeja airport. He is going to take responsibility for a service area of approximately four thousand eight hundred square miles, bigger than some countries in Europe.

He finds Calabar – the centre of his assignment in the Creeks District, interesting. The focal point of his work is St Margaret’s Hospital – the General Hospital of the day. There are a few ancillary facilities for maternity cases and infectious diseases dotted around the District.

Dr Faulkner has a one hundred and forty beds at St Margaret’s Hospital, Calabar. He is assisted by thirty-six orderlies, ten nurses, and one European-trained State Registered Nurse who serves as Matron.

The doctor who works in Nigeria, says Faulkner, in his commentary, is Physician, Surgeon, Social Worker, all rolled into one. There is, of course, no anaesthetic equipment, and operations are conducted by spinal injection, pentothal or ‘open drop’ method. Hernias are the majority of surgical cases he sees, and he observes that appendicitis and other surgical conditions common in England appear to be rare in Calabar.

Mrs. Langdon, the doctor’s wife, enjoys running the life of colonial gentry in the family’s spacious residence, abundantly supplied with uniformed Calabar servants.

There is drama when there is an outbreak of cerebrospinal meningitis at the village of Big Qua. Dr Langdon dashes there hotfoot, to be met

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by the Medical Officer and the District Commissioner, who are already there. Meningitis, the doctor observes, often occurs in epidemic proportions around December, fueled by the heat and dust. The villagers are made susceptible by hookworm-induced anaemia and malaria.

We see footage of Faulkner meeting once again with Langdon – the Medical Officer posted

by Dr Manuwa to the field unit in the North of the country. Langdon and his field force of indigenous carriers, many of them trekking barefoot, arrive after walking a long distance through the bush to help to contain the meningitis epidemic in Big Qua. Dr Faulkner enjoys the social life of the expatriate Englishman in Calabar. In the evenings he and his wife entertain at home on go to the club, where there are ‘more than one hundred and fifty people’ – meaning expatriates.

For perspective, it is necessary to remember that 1948, the year of the film, is the year University College of Ibadan is started. The commissioning of the first Teaching Hospital in Nigeria – the University College Hospital Ibadan, where indigenous doctors would be trained, is a further ten years down the line.

Note: The rest of this article continues in the online edition of Business Day @https:// businessday.ng Femi Olugbile is a Writer and Psychiatrist.

Comments to synthesiz@gmail.com’

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Friday 24 May 2019

BUSINESS DAY

MONEYINSIGHT

Nigeria’s music industry revenue inches closer to N18b, driven by telecoms - DCEM Report CALEB OJEWALE

T

he revenue from recorded music in Nigeria has been projected to hit $50 million (N18 billion) by 2020, a 34 per cent increase from the $33 million revenue in 2015; N11.8 billion using the current exchange rate of 360.

This growth was captured in the “Nigerian Recorded Music Industry Report (2015 - 2020)”, recently published by the Disruptive Creative Economy Meeting (DCEM) group, which describes it as the first detailed industry report.

According to the report, the Nigerian recorded music industry is poised to spike in growth significantly over the next 3-5 years. As mobile and internet penetration continues to deepen, coupled with a steady growth in the purchasing power of larger proportion of the population, consumption of entertainment products will only increase.

Also, as internet access becomes more pervasive - thereby increasing the proliferation of service providers - competition in service supply, as well as more “bundling”/zerorating of entertainment products, will result in a decrease in the effective cost of data. This would mean subscribers having more money to spend on entertainment products such as music and video.

The report draws a direct nexus between a thriving telecommunication industry where costs of services are cheap, and the possibilities for increased revenue in the music industry. The Caller Ring Back Tone/ Ringtone (CBRT/RT) service and

Olumide Mustapha

Streaming both account for between 66 per cent and 85 per cent of revenue between 2015 and 2018. The contribution of both sources is projected to increase even further in the coming years, with digital sources considered to offer more data and transparency of how much has been earned by content producers.

Olumide Mustapha, lead researcher and founder of Technolawgical Partners, which authored the report, noted “Data, or a lack thereof, is one of the biggest criticisms against the Nigerian music industry. Its traditional sources of investment - being for the most part informal and unstructured - have meant that the industry has, for the most part, not been held to the same standards as other industries.

However, such informal structures can only take the industry so far.”

According to Mustapha, increasing (domestic and foreign) recognition of, and interest in, the potentials for the Nigerian music business has necessitated the requirement for more data about same. This infor-

mation is crucial for the industry to attract and secure the necessary investments to stimulate its next stage of growth.

The report also indicates that Nigeria’s recording music market has been showing steady growth over the last five years primarily driven by a boom in mobile Value-Added Service (VAS), sales of music as Caller Ring Back Tones/Ringtones (CRBT/RT) and downloads. This transformed the market both in terms of music consumption as well as how revenues are accounted for - due to the transparency afforded by such digital channels of distribution. This transparency (or lack thereof) is one of the primary hindrances preventing major growth in the industry as a result of the lack of verifiable means of accounting for collected revenues from sales.

In a market of around 30 million VAS subscribers across all networks spending an average of N300 each per year - which equates to a potential market value of circa N9 billion per year for this sub segment alone - the music VAS market is still a major source of revenues for content owners.

“For the longest time, we have operated as an industry from a place of floating knowledge about the data or statistics in the industry. The average entertainment practitioner gives you an estimate figure. DCEM seeks to change that narrative by ensuring a timely and robust report to service the industry,” said Fawehinmi Oyinkansola, contributory researcher and managing partner of Technolawgical Partners.

Fawehinmi described DCEM as an exciting social entrepreneurship project of Digital Music Commerce

and Exchange Limited, positioned to professionally educate the public on the nitty gritty of the Entertainment business. The Disruptive Creative Economy Meeting group (DCEM), is a collective of specialized professionals in this sector (including lawyers, accountants and business advisors) that has been

undergoing active research for the past 18 months in order to bridge the data gap.

The DCEM Nigerian Recorded Music Industry Report is intended to be an annual publication with data being reviewed and updated on a quarterly basis, according to Mustapha.

Why you need a business partner starting-up STEPHEN ONYEKWELU

W

hen an entrepreneur has a brilliant business idea, the natural instinct, particularly in Nigeria is to want to go the whole hug alone. The myth of a ‘self-made’ successful entrepreneur is alluring.

To increase your chance of survival and success, it’s often a great idea to find a good person to share this journey with you.

Here are some reasons why you need a business partner: Access to more capital resources Inadequate capital is a common threat that faces African entrepreneurs. It is also the single biggest reason why many people will never start a business in their lifetime.

Although access to start-up capital is a challenge for entrepreneurs across the world, it appears to be a much more serious problem in Africa.

Banks make it difficult for small businesses to access loans, and finding investors to support a new busi-

ness idea is often a wild goose chase.

Unlike a bank that would ask for collateral and demand high interest rates, a business partner can contribute capital on far more favourable terms.

Rather than get a bank loan (which would have been difficult, if not impossible), you provide some of the capital while your business partner contributes the rest. In this light you share the risk of the business between you, which is better than one person bearing the full financial risk.

On a continent where access to capital is poor, African entrepreneurs can find the capital they need to make their business ideas come alive by joining capital with other people. Compared to other sources of capital (such as banks, investors etc.), business partnerships are an easy, convenient and low-risk source of start-up capital.

Diversity of ideas, perspectives and opinions “Two (good) heads are always better than one” the timeless expreswww.businessday.ng

sion goes. This reflects the value of cooperating with other people and working together as a team.

“I know this because when I first discussed my idea with my business partner, it was like refining gold. We brainstormed, analysed, debated and argued on different aspects of the business idea and how and why it would work” said John Iwuoha, a serial entrepreneur, who lives in Lagos.

Iwuoha continued “do you know what ‘tunnel vision’ is? It’s a disability that affects entrepreneurs who come up with brilliant business ideas. Tunnel vision is a closeminded way of thinking that makes you see only the favourable things you want to see.

While this may sound good, it’s actually dangerous when you’re working with business ideas. What seems great and profitable may not turn out to be that way. That’s why you need another ‘eye’ who can objectively look at your business idea and bring to your attention those things you missed out or were too excited to think about. This is exactly what a good business partner will

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do for you”.

The benefits of a diversity of ideas, perspectives and opinions shouldn’t stop at the ‘idea stage’ of your business. It will also help your business as it grows and encounters new challenges, problems and opportunities.

Everyone needs some emotional support The journey to success in business is usually full of highs and lows, ups and downs, wins and losses, successes and failures.

If you’re not strong enough to withstand the shocks and disasters that come with business, you may become discouraged and ultimately give up. While some entrepreneurs can withstand these shocks on their own, many need some measure of emotional support.

“Before we found the technician we’re using to build the machines, we tried for several weeks to find one but failed. I remember one Saturday afternoon; we walked for several hours under the rain, looking for a technician who had skills and @Businessdayng

experience in building the machine we wanted” Nwachukwu stated.

“Wet, sad and discouraged, this event made me to gradually lose faith in the business idea. I’m sure if I were in the business alone, my idea would have died a slow but certain death due to that frustrating experience” he added.

Access to a wider network of contacts Starting up a business is about getting things done. Raising capital, finding a good office location, buying the right equipment and hiring employees are just a few of the important things on every entrepreneur’s mind.

If you don’t know where to look or find help, getting these things done can be very challenging and may be the difference between a business that successfully takes off and one that doesn’t.

That’s why it’s always good to interact and work with other people who may have answers to our problems. You never know, you may find a solution to your challenges through someone who knows someone.

Friday 24 May 2019

BUSINESS DAY

COMPANIES & MARKETS

15

Coca-Cola halts refranchising move, maintains majority stake in African bottling unit

COMPANY NEWS ANALYSIS INSIGHT

Pg. 17

MARKET

Dangote Cement, MTN Nigeria, push NSE closer to emerging market peers SEGUN ADAMS & ISRAEL ODUBOLA

I

f the equities market were a game of catching up, the Nigerian Stock Exchange (NSE) is doing a good job on closing gap with emerging market peers after it had appeared to be moving in variance with peers, until recently.

The Lagos bourse has sustained gains for five consecutive trading days for the first time post elections, although the upswing on Wednesday was the biggest for the market all year long.

As a result, the NSE cut year to date loss to less than one percent, and neared emerging market peers.

Lagos bourse has a return of -0.91 percent so far in 2019 to catch up with Ghana which led Nigeria on year to date on Tuesday.

The NSE has pared the gap with Egypt (4.82%), Indonesia (3.75%), South Africa (4.73%) and China (20.46%).

The NSE had a return of some -8 percent while Emerging markets like China was near 25 percent, South Africa, Indonesia and

Egypt had returned around 10 percent to investors as at May 8 which worried the market that Nigeria stocks would likely miss out on the rally enjoyed by emerging market peers since the dovish turn of US-Federal Reserves.

In the day’s trade Dangote gained 9.73 percent to N203 after Wednesday’s trading, while MTN closed at N131.7 per share, 9.98 percent over its opening price to push the All-Share Index pointing to a possible battle for supremacy between the bellwethers.

The equities market has remained bullish since the listing of MTN which revived excitement and sent investors in frenzy for the elusive mobile-phone stock, however it has taken the combined effort of MTN and Dangote in Wednesday’s trading to drive the market above 31,145.15 points.

Despite the recent gains in the market, analysts are sceptical of the real improvements in the market as Investor sentiment which measured by market breadth (advance/decline ratio) weakened to 0.4x

from 0.8x recorded in the previous trading session as 12 stocks advanced against 27 decliners, daily market report from Afrinvest stated.

“MTN’s listing has seen market gain steadily since Thursday last week, but the gains has been concentrated in the telecom’s shareand Dangote Cement which

has supported,” Gbolahan Ologunro, a Lagos-based equity analyst at CSL Stockbrokers Limited. Ologunro pointed out that the listing of MTN has deepened liquidity in the market.

Yinka Ademuwagun, another analyst at United Capitals quipped that the euphoria around MTN’s

listing which has so far sustained the market could dissipate in near term, suggesting that the market might slow eventually.

A sustained performance like Wednesday’s could eventually see the NSE catch up and even overtake Indonesia and Egypt, given the fast pace of daily gains the

two most capitalised stocks on the exchange-Dangote Cement and MTN- showed mid-week.

However “the sentiment in the market is still bearish if you look at investors’ confidence shown by the market breadth,” Ologunro said.

INDUSTRIAL GOODS

Vitafoam hits 3-year high after doubling half-year 2019 net income DAVID IBIDAPO

I

mpressive result and future growth potentials shown by Vitafoam has seen investors compensate shares of the company with higher prices amid wobbling equity market performance.

Although the Nigeria stock exchange (NSE) market has recently witnessed positive streak extending into its 5th consecutive trading session on Wednesday, buoyed by the listing of MTN shares, buy pressure witnessed in the shares of Vitafoam as at the end of trading saw the stock rally.

Vitafoam gained 9.82 percent to hit N4.25, a 3-year high after the company doubled its net income as detailed in its 6 months financial stated for the period ended march 2019.

On the back of impressive result, Vitafoam investors’ saw value for their holdings increase by N725 million year-to-dates (YTD) to N5.316 billion in market

capitalization.

Analysis of the company’s financial show that Vitafoam Nigeria recorded a profit after tax surge by 150 percent to N774.7 million in its 2019 half year result against N309.7 million in the corresponding period of 2018.

During the period, company’s revenue from its local market increased 21 percent to N12.66 billion against N10.50 billion in 2018. Likewise, revenue from market outside Nigeria improved by 29 percent to N272.6 million from N210.9 million in 2018.

This saw an increase by 20.7 percent in overall revenue for the period under review.

Also, a major contributor to the company’s bottom line was the surge in other income recorded by about 129 percent to N151.7 million, with gains from sales of assets, investments, sales of scrap, rentals, unclaimed dividend, and exchange gains all contributing immensely to growth.

Compared to previous performances, this is rather impressive in the view of investors as company shows future growth prospect.

The Group had in the past consistently made losses in the last three years.

Vitafoam made a loss after tax of N71.9 million in 2015, N32 million in 2016 and N127 million in 2017.

However, results for the 9 months ended June 2018 show the group is on the path of profitability once again as its profit after tax stood at N515 million in 2018 compared to N133 million made in the prior year which finally reflected in current result.

As at the start of 2019, Vitafoam Nigeria Plc announced the introduction of eight new products into the market. According to the management of Vitafoam, the new offerings will help it expand its revenue base, enhance customers’ healthy living and boost shareholder value.

The new products in-

clude Vita Pearl, a pillow that regulates temperature and draws moisture from the body, assorted customised beds, Sofas, Trifold mat for leisure, Reading chairs, three specialised mattresses

including orthopedic and classic and various polyurethane sandwich panel steels.

Interestingly, the company, in a bid to win more customers, almost doubled

down on advertising. Advert expenses surged by 86 percent from N64.6 million in half year 2018 to N121.2 million in its 6-month period ended march 2019.

L-R, Ifeoma Okoye, public affairs manager, Lagos/West, Nigerian Bottling Company Limited (NBC); Abdulhakeem Ashimi, director, employment generation, ministry of youth and sports; Ekuma Eze, public affairs and communication director, Nigerian Bottling Company Limited; Olatomiwa Akande, external communications manager, Nigerian Bottling Company Limited, and Sam Obafemi programme facilitator, at the Nigerian Bottling Company Limited Youth Empowered Workshop in Abeokuta, Ogun State.

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

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Friday 24 May 2019

BUSINESS DAY

COMPANIES&MARKETS

Business Event

CONSUMER GOODS

Coca-Cola halts refranchising move, maintains majority stake in African bottling unit ISRAEL ODUBOLA

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lobal soft carbonated drink maker, Coca-Cola Company has disclosed intention to retain majority stake in Coca-Cola Beverages Africa (CCBA), its bottling business in Africa, after initial plans to re-franchise the unit.

With this, Coca-Cola will start to present the financial statements of CCBA as part of its Bottling Investments Group Segment effective second quarter of 2019.

CCBA has been accounted for as a discontinued operation since Coca-Cola emerged the major investor almost two years ago.

“Coca-Cola Beverages Africa is a very important part of the Coca-Cola system, and we see great opportunities and create even more value,” Brian Smith, Chief Operating Officer and President, CocaCola Company said.

Speaking further, “While we remain committed to the refranchising process, we believe it is in the best interests of all involved for Coca-Cola

to hold and operate CCBA.” The Coca-Cola chief disclosed that the drink maker held wide consultations with prospective buyers for its African bottling unit, including Coca-Cola HBC and CocaCola European Partners.

The global drink maker initially planned to refranchise the unit to enable it prioritize on its beverages segment while offloading its manufacturing and distribution assets.

The company’s current goal is to expand sales revenue of its beverages unit, and this became important after its shares dipped following the release of its 2018 full year results.

In reclassifying CCBA’s results in its continuing operations, Coca-Cola expects that depreciation and amortization for CCBA will be reinstated in line with accounting guidelines.

The company forecasts depreciation and amortization expenses for 2018 of roughly $400 million on comparable basis. With the reclassification, Coca-Cola does not expect an impact on its 2019

organic revenue and comparable EPS growth guidance.

The drink forecasts 4 percent growth in sales revenue in 2019, same with rival Pepsi that envisages 400 basis points increase in top-line.

CCBA was formed in 2016 through the mix of the African non-alcoholic ready-to-drink bottling interests of SABMiller Plc, the Coca-Cola Company and the Gutsche Family Investment.

AB InBev later acquired SABMiller and reached an agreement to transfer AB Inbevs 54 percent stake in CCBA to Coca-Cola. This 2017 transaction made Coca-Cola the major investor in CCBA. Coca-Cola Company manufactures, markets and distributes soft drink concentrates and syrups to retailers and wholesalers in the United States and internationally.

The company’s shares g a i n e d 1 . 3 4 p e rc e n t t o US$49.25 at Wednesday midday trading on the New York Exchange, and have returned 4 percent since the start of the year. Its arch-rival Pepsi has advanced 18 percent yearto-date.

COMPANY

Global CEOs forced out of office for ethical lapses surge 39% in 2018-PWC survey ENDURANCE OKAFOR

A

ccording to the 2018 CEO Success study by PwC’s strategy consulting business, there was a rise in the share of CEOs who were forced out of their positions for ethical lapses.

In fact, more CEOs (39 percent) were forced out for ethical lapses rather than financial performance or board struggles, a first in the study’s history. This number rose 13 percentage points as compared to 26 percent in 2017.

The study, which analysed CEO successions at the world’s largest 2,500 public companies over the past 19 years reports that successors to long serving CEOs are not faring as well as they are likely to have shorter tenures, worse performance and more often forced out of office than the CEOs they replaced.

PwC’s Mary Iwelumo, Partner and Strategy leader, PwC Nigeria said, “the survey results reveal that in most cases, while CEO successor appointment, does not follow the “one cap fits all” philosophy; CEO successor success appears to follow a similar trend - it takes more than an appointment to achieve similar success levels than an outgoing long-term CEO.”

According to the report, nearly half of successor CEOs moved down a performance quartile or more as compared to their predecessors. 69 percent of successors who replaced a long serving CEO in the top performance quartile ended up in the bottom two performance quartiles.”

Analysis of the report revealed that CEO turnover hit a record high of 17 percent in turbulent 2018. This is 3 percentage points higher than the 14.5 percent rate in 2017 and above what has been the norm for the last decade.

While the median tenure of a CEO has been five years, 19 percent of all CEOs remained in position for 10 or more years, consistently, over the time period analysed.

Despite disruption, intense competition and eager investors, the median tenure within the group is 14 years with these long serving CEOs who also have better performance, and are less likely to be forced out than not long serving CEOs. By region comparison, North American CEOs hold a significant margin in the probability of becoming a long term CEO at 30 percent, followed by Western Europe at 19 percent, Japan and the BRI countries (Brazil, Russia and India) at nine percent and China at seven percent.

CEO turnover rose notably in every region in 2018 except China, and included a large increase in Western Europe. Turnover was highest in “other mature” economies (such as Australia, Chile, and Poland at 21.9 percent respectively, nearly as high in Brazil, Russia, and India at 21.6 percent respectively. The next-highest turnover numbers were in Western Europe (19.8 percent), and the lowest were in North America (14.7 percent).

Among industries, turnover was highest in communication services companies (24.5 percent), followed by materials (22.3 percent) and energy (19.7 percent).

Healthcare saw the lowest rate of CEO turnover in 2018, at 11.6 percent.

A further analysis of the report revealed that the share of incoming women CEOs was 4.9 percent down slightly from the record high of 6.0 percent in 2017. However, the trend has been upward since the low point of 1.0 percent in 2008.

Unlike in 2017 when the record high was driven by a 9.3 percent spike in incoming CEOs in the US and Canada, the largest percentages in 2018 originated in Brazil, Russia, India and China and other emerging countries.

www.businessday.ng

L-R: Endwell Brown, zonal head, Apapa/Alaba, First City Monument Bank (FCMB); Paul Adebo, head, SME liability products; Shade Dada, Eternal Fabrics Enterprises, one of the winners of the star prize of an all-expense paid trip to China in the first draw of Season 2 of “FCMB SME Race to China Promo”, and Oliver Opara, regional head, Lagos of the Bank, at the South-west regional draw of the promo in Lagos

L-R: Bisi Egbeyemi, deputy governor, Ekiti State; John Kayode Fayemi, governor; Oluwole Adeyegbe, board chairman, Gossy Warm Springs Limited, and Gbemileke Otun, MD, Gossy Warm Springs Limited, at the official commissioning of the Gossy Warm Springs production plant in Ikogosi, Ekiti State.

L-R: Mandah Chijioke, director medical services, Rivers State Ministry of Health, representing the commissioner for Health, Rivers State; Isah Likita Mohamed, deputy state commander administration, NDLEA, Rivers State; StellaMaris, principal staff officer in charge of drug demand reduction unit, NDLEA, Rivers State; Mariah Ilugbuhi, learning facilitator and associate partner, Edumart Nigeria Limited, and Abasi-Ekong Udobang, senior manager, program implementation, MTN Foundation, at the State Roundtable for the MTN led Anti-Substance Abuse Programme (ASAP) in Port-Harcourt, Rivers State.

L-R: Sound Sultan, afro-pop musician; ID Cabasa, music producer; Shina Peters, afro-juju artist; Maria Shadeko, senior brand manager, Life and Goldberg; Tayo Adelaja, regional corporate affairs manager, Nigerian Breweries; Saheed Osupa, fuji artist, and Sikiru Agboola, president Of FUMAN, at the Goldberg Ariya Repete 2019 media unveil and roundtable discussion.

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Friday 24 May 2019

COMPANIES&MARKETS

BUSINESS DAY

17

Business Event

CSR

Why youths must acquire 21st century skills, by KEC, Ford Foundation JOSEPHINE OKOJIE

K

nowledge Exchange Centre (KEC) in collaboration with Ford Foundation and the Lagos State Ministry of Wealth Creation and Employment has called on the Nigerian youths to acquire 21st century skills that will prepare them for future workplace and entrepreneurship.

The event which was conducted to tackle employment issues among fresh university graduates in the country recognised the need for young people to prepare themselves for the world of work in the face of challenges.

The experts say that while growing automation of processes and use of technology in the work place will lead to job losses, youths who have equipped themselves with the skills organisations are looking for, will remain relevant in the future workplace.

Charles Nwodo, founder, KEC, said the impact of technology on the economy is undeniable but only people with the skills and resources to use technology and create value can thrive in the 21st century future work place.

“Artificial intelligence, ro-

botics and other forms of smart automation are major disruptions that impact the employment landscape and youths need to prepare for this future work,” Nwodo said.

He noted that new highskill jobs are emerging, while other jobs may be displaced by automation and new technologies.

These momentous changes, he said, raise huge organisational talent and human resources challenges.

Nwodo expressed fear that youths are not making efforts to improve themselves competitively in the face of the disrupting impact of technology on employment opportunities.

As the types of jobs that constitute a modern economy continue to evolve, he said there is a need to upgrade skills required to do them.

Also speaking at the event, Innocent Chukwuma, regional director, Ford Foundation West Africa, said, “We believe in preparing youths for the life ahead because human capital is the most sustainable resource any nation can have— not oil, gold and diamond—because they are all finite resources that will surely come to an end.”

He urged youths to ensure that they succeed in their ventures despite that the country and society has failed to provide them the needed support to thrive.

“There is a lot to say about how much Nigeria and the society we live in have failed us but we cannot afford to fail ourselves as individuals. We need to better prepare ourselves for that future.”

Maria Glover, executive secretary, KEC, called on the federal government to develop a national strategy to help position youths in the country to take advantage of major disruptions such as globalisation, technology and migration.

Glover advised youths to always have the attitude to learn and unlearn what have been learnt in the past, adding that with this they would not be left behind in the future work place.

In her speech, Uzamat Akinbile Yussuf, commissioner, Ministry of Wealth Creation and Employment, said that unemployed youth and employees can only be ready for the future work when they possess the right skills needed to be relevant at present and future workplace.

L-R: Olusegun Olaniyan, executive director; Adewole Oriade, MD/CEO; Ituah Ighodalo, chairman; Olusegun Oshinowo, director; Maduka Onwukeme, company secretary/legal adviser, and Oza Enwonode, legal counsel at the inaugural meeting of Board of Directors of Dexnova Consulting Limited.

L-R: Ashish Bakhshi, partner/head of markets, EY; Kayode Fayemi, governor, Ekiti State; Henry Egbiki, country leader, EY Nigeria, and John Uwajumogu, partner, Transaction Advisory services, EY, at the official visit of EY Leadership team to Ekiti State.

PRESS RELEASE

Nigeria’s largest construction event is set to debut in Lagos

E

xcitement is growing in Nigeria for the launch of the country’s largest construction event, The Big 5 Construct Nigeria. The Nigerian Institute of Architects, the Nigerian Society of Engineers, the Surveyors Council of Nigeria, the African Association of Interior Designers, the OSHA (Occupational Safety and Health Association), and the African Sustainable Energy Association (AFSEA) are in fact among the many organisations that already announced their support to the event.

“The extremely positive feedback we are receiving from industry stakeholders proves just how important it is for Nigeria to host an international construction event like The Big 5 Construct Nigeria today,” says Muhammed Kazi, portfolio event director at dmg events.

“At a time when the country is pursuing an unprecedented infrastructure development, the event will finally bring together influential decision-makers, innovators and suppliers from around the globe for three days of business and networking opportunities in Lagos.

“The Big 5 Construct Nigeria is going to be a turning point in the advancement of the West African construction sector,” he adds.

Part of The Big 5 portfolio

of events, the largest in the Middle East, Asia and Africa, The Big 5 Construct Nigeria will run from 9 to 11 September 2019 at the Landmark Centre in Lagos.

Over 200 exhibiting companies and more than 5,000 industry professionals are expected to attend the launch edition of the show. Confirmed brands include regional and global leaders like KELM, ABB, Philips, Crane, Eurotray, Tata, Hilti, and Magna Tyres, organisers dmg events reveal.

“We are extremely proud to announce that next to Nigerian exhibitors, renowned companies from France, Germany, Italy, South Africa, Turkey, and the UAE, among other countries, will take part in the event, making it a truly international show,” Kazi says.

Beyond showcasing hundreds of solutions for the built environment, The Big 5 Construct Nigeria will also bring a wealth of free education to the Nigerian construction community.

Across the three days of the show, visitors will receive complimentary CPD (Continuing Professional Development) certifications at 20 workshops to increase their technical expertise and advance their careers. Presented by renowned industry experts, the workshops will explore the www.businessday.ng

latest construction trends and will offer crucial intelligence to advance the Nigerian building and infrastructure sectors.

“From technology and sustainability, affordable housing and architecture, to project management, The Big 5 Construct Nigeria’s education agenda will promote best practices while providing a unique opportunity for professionals to meet, learn and play an active role in the development of Africa’s largest economy,” Kazi explains.

Some of the confirmed speakers include Taiwo Aiyepe, Senior Architect at the Lagos State Ministry of Works and Infrastructure, Erimona Edorodion Oye, Honourable Commissioner at the Ministry of Physical Planning and Urban Development of the Edo State, Debo Adejana, CEO at Realty Point Limited and Vice Chairman at the NigeriaBritish Chamber of Commerce Construction, and Taibat Lawanson, Associate Professor of Urban Planning at the University of Lagos.

Lookman Oshodi, Project Director at Arctic Infrastructure and also a speaker at the event, comments: “The Big 5 brand has successfully created a reputable platform in bringing together construction and infrastructure players in different cities.

Godwin Obaseki, governor, Edo State, and Oladapo Dosunmu, regional operations director, Airtel Nigeria, during a courtesy call to the governor ahead of the launch of Airtel 4G service in Benin.

Pascal Odibo, group country director, Jeff and O’Brien; Tope Smart, MD, NEM Insurance, and chairman, Nigerian Insurers Association, and Abidemi Ibok, business group representative, Jeff and O’Brien Nigeria, during a courtesy call at the NEM headquarters recently on Technical knowledge development for the Insurance Industry.

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18

Friday 24 May 2019

BUSINESS DAY

FINTECH News

Products Review

Technology Review

Personality Review

Company Review

Technology Review

USSD in Nigeria: From the beginning and what has to change channels that existed was the ATM, debit and credit cards, and Point of Sale (PoS).

Stories by FRANK ELEANYA

T

he Unstructured Supplementar y Service Data (USSD) is one of the few payment innovations that have transformed the lifestyle of millions of Nigerians living in urban and rural centres. Its wide adoption rate gives the country a major opportunity to achieve its cashless ambitions.

To be sure, USSD refers to a communications protocol used by GSM cellular telephones to communicate with the mobile network operator’s computers. In simple terms, when you dial a number that starts with * and ends with #, you are using a USSD. It is similar to Short Messaging Service (SMS), but unlike SMS, USSD transactions occur during the session only. With SMS, messages can be sent to a mobile phone and stored for several days if the phone is not activated or within range.

In financial services, a USSD code allows Nigerian bank customers to have access to basic financial services by simply dialling a certain code. The customer does not require internet to make the transaction and they can enjoy several banking services that otherwise may have seen them walking into a bank branch.

Although Guarantee Trust

Bank (GTBank), Nigeria’s third most valuable bank popularised the channel with its *737# code, the pioneers of the USSD technology is eTranzact International Plc. Before USSD In an interview with BusinessDay, Niyi Toluwalope, managing director and CEO of eTranzact traced the creation of the USSD to the first SMS banking product the company made shortly after it was established in 2003.

Then Nigerians were heavily cash-dependent – although electronic payments have gained significant adoption, so many people especially in

the rural communities still prefer cash. It was also the period mobile phone was beginning to threaten the dominance of land phones.

The influx of telecommunication companies and mobile phones created new opportunities. As adoption of mobile phones grew, it was projected that about 20 million people within the next five years would own at least one mobile device.

There was a growing expectation that mobile telephones were going to grow quick and if Nigeria wanted to move transactions to digital, mobile was the best way to achieve it.

“So we started a mobile SMS based transaction,” Toluwalope who joined the company then as a chief financial officer (CFO) recalled.

Not many people bought into the innovation because of the overwhelming preference for cash transactions.

“A lot of it has to do with trust. If you are making a payment to the average person out there, he wants to take that money or give you that money while he is looking at you in the eye so there will be no stories,” Toluwalope said.

However, the company was convinced it was on the right path. Prior to the USSD in 2012, the electronic payment

Era of USSD Toluwalope told BusinessDay that the idea for the USSD began like a conversation, in 2012.

“Steve Jobs, when he created iPod he was just passing by and saw the Discman people were using. He thought, “Why can’t you create a solution that on two to three clicks you can hear the music?” That was the birth of the iPod. That was what we thought about here, why can’t we make payment just ‘*’ this, press ‘Enter’, with fewer clicks,” he said.

That conversation gave birth to USSD which has provided direct access to bring millions of Nigerians that did not have smartphones to be able to have a channel they could build transactions on.

The USSD has evolved over time to the point that nearly every Nigerian bank has a USSD stream and the fastest growing channel today.

“I have clients that started in December 2018, doing 35,000 transactions a day on that channel; today they are doing 78,000 transactions a day. It has more than doubled because everybody is doing it,” Toluwalope said.

With time the Central Bank of Nigeria (CBN) moved to regulate transactions on the channel, reducing it to

N20,000 once and N100,000 a day. Prior to then, people who wanted to transfer N100,000 were able to send it once.

With the CBN new guidelines, people who wanted to do a N100,000 transaction would have to do it five times in a day.

In 2018, people using interbank instant payments on USSD platforms grew by 35 per cent to N261.7 million. The previous year, instant transfer totalling N92.4 million were carried out using USSD codes of various banks.

Beyond USSD New realities that financial exclusion cannot be swept away by only USSD is beginning to dawn on both banks and startups in the fintech space. There is still the acute technology infrastructure deficiency that needs to be fixed. Poor infrastructure is mostly responsible for weak access to other channels that helps reduce the pressure of capacity on USSD. The agent network also suffer from poor access networks to communities they are supposed to serve; hence there are not enough agents on ground. Insecurity and problems around interoperability also means that agents are not found in certain regions of the country.

“We need to have agents every length and breathe of the community to keep activities flowing regularly,” Toluwalope said.

Buy mutual funds on your phone with as low as N100

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rior to now, you had better be a ‘big’ serious investor, to entertain the idea of investing in a mutual fund. It was the rich men’s forte whose precious funds were handled by professional money managers who in turn allocate the fund’s assets and attempt to produce capital gains or income for the fund’s investors.

It should be clear that a mutual fund refers to a financial vehicle made up of a pool of money collected from many investors to invest in securities such as stocks, bonds, money market instruments, and other assets.

Entry to mutual funds market in Nigeria can go as low as N5,000 to N100,000

and N1,000,000 depending on the nature of the fund.

You will also need to go through the investment arm of a bank, stock brokerage firm, investment banks etc.

You will also be subjected to studying the prospectus that comes with every fund. The prospectus is usually shared with prospective investor during the initial public offering of the fund (IPO).

The fund manager would also provide the factsheets on each mutual fund, periodically.

But was mutual funds meant for only some people who have the patience to go through the tedious process?

Cowrywise thinks otherwise and is proving it with a new feature on its mobile application that allows acwww.businessday.ng

cess to investing in mutual funds to everyday Nigerians.

In other words, anyone can now invest in multiple mu-

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tual funds from the comfort of their phones and any-

@Businessdayng

where they are with as low as N100 (Hundred naira).

The best part is you do not have to deal directly with any bank or brokerage firm.

Cowrywise has with partnered some of the leading investment firms like Meristem and Afrinvest and the mutual funds will invest in companies like Dangote Cement, GTBank, Nestle, Total Nigeria and high quality fixed income securities.

“We are also introducing Systematic Investment Plan,” Cowrywise said in a statement, “This plan allows Nigerians automate investment of fixed amounts into mutual funds over a period of time. This has been proven to a good strategy for beating the downsides of investing.”

Friday 24 May 2019

BUSINESS DAY

19

LEADINGWOMAN

Patricia Obozuwa, the effect of diligence, consistency and guts model. In terms of impact... so far, we have graduated 250 people from the program. The GE garage has touched over 80 businesses that are contributing to the Nigerian economy.

Hundreds of prototypes have been developed there at the garage and 14 people - alumni have received prestigious international awards for products that they’ve either developed or started the development at the GE Garage. Recently, we launched an e-learning portal that aims to expand the reach of the program to 1,000 people every year and extend to a much wider geography.

KEMI AJUMOBI

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atricia Obozuwa is the Chief Communications & Public Affairs Officer for GE Africa, a position she has held since April 2012 when she built the communications and public affairs function.

Patricia leads a team of communicators across Sub-Saharan Africa, building and protecting GE’s brand and image on the sub-continent. She established GE Africa’s corporate social responsibility platform, GE Kujenga aimed at empowering people by building valuable skills, equipping communities with new tools and technology and elevating innovative ideas that are solving Africa’s challenges. In 2016, Patricia established the ‘GE Lagos Garage’ a hub for advanced manufacturing skills development that has produced over 250 graduates in Nigeria to date (December 2018). She is the founding cohub leader of the GE Women’s Network for Sub-Saharan Africa.

Prior to joining GE, she was Head, External Relations, Nigeria and Corporate Communication Leader, Sub-Saharan Africa at Procter & Gamble (P&G), where she pioneered the public relations function and built the West Africa communications team from scratch. Before joining P&G in 2005, Patricia was the Arts and Sponsorship Manager for the British Council in Nigeria.

Patricia is a Board Director of The Water Trust (US-Headquartered Non-Profit Organisation). She is also a member of the Lagos State Industry Advisory Board for the Yaba ICT Hub/Cluster project and she is on the jury of the “Africa Excellence Awards” (since 2016). She serves as a teenage Class teacher at her local church.

Family I come from a large family and I’m one of the youngest so beyond having the most amazing parents, I grew up with several role models and a great deal of accountability. The principles of hard work and personal achievement were always deeply entrenched in my family.

I found out recently that my family name ‘Obozuwa’ means ‘you (plural) will thrive as a result of hard work’. In my family, there was always the unwritten rule that even though everyone is extremely supportive of the other, each person must find their own personal abilities and chart their own path to success.

GE Lagos Garage The GE Lagos Garage is a hub for advanced manufacturing based innovation. Let me give

GE Kujenga GE Kujenga is GE’s corporate Social Responsibility platform for Sub-Saharan Africa. Kujenga is a Swahili word that means ‘build’ and we see GE as partners for Africa’s sustainable development.

Our approach is to empower people by building valuable skills, equip communities with new tools and technology, and elevate ideas that are helping to solve Africa’s challenges. To date, GE businesses and the GE Foundation have invested more than $20,000,000 in GE Kujenga programs across Sub Saharan Africa, impacting about 100,000 lives.

In Nigeria... the $1.5 million GE Healthcare Biomedical Equipment Technician training has educated 60 technicians across private and public healthcare institutions as well as established the Lagos University Teaching Hospital (LUTH) Biomedical School in 2017. Our employees have contributed over 3,000 volunteer hours in the last one year into various community projects in schools, orphanages, and hospitals as well as employability skills training in universities. Over 2,000 students received training on presentation skills, communication skills and personal branding.

you a little background. The GE Garage Programme started in the US to invigorate people’s interest in manufacturing by using advanced technologies versus traditional manufacturing. The first time we took that programme outside of the US was to Nigeria in 2014. We had a pop-up show for three weeks where people came in www.businessday.ng

and worked with 3D printers, laser cutters and CNC mills - trying their hands at designing and producing prototypes... many of them, for the first time. From this experience, we identified a big opportunity to build these skills so that Nigerians can get into advanced manufacturing technology at same time as the rest of the world and become

competitive globally.

So we launched the GE Lagos Garage skills programme in December 2016, and we run a series of 4-week classes - building technical advanced manufacturing skills as well as business development and other elements that take participants from having a great idea to creating a viable business

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The Water Trust I joined the Board of Directors of The Water Trust in December 2018. The Water Trust is a US-headquartered non-profit organisation that has been improving water, hygiene and sanitation in rural communities in Africa for the past 10 years - building latrines, teaching hand washing and driving other sanitary habits. Today, our operations are primarily in Uganda. We are helping parents understand why kids need clean water to stay healthy. We’re changing behaviours, to help save lives. Most importantly, we are empowering people to take better care of themselves. The Water Trust has built or refurbished over 330 water points in rural Uganda, benefiting 200,000 @Businessdayng

people. One interesting point I should mention about this organisation is that, four of us out of nine non-executive directors are women. That’s a good example of gender diversity.

Fewer women on boards, what can be done to change that narrative?

Appointing women to corporate boards creates a virtuous circle of gender diversity in leadership positions. But having more women in leadership is no longer just a gender parity issue. It’s a profitability discussion. Numerous studies show that companies with women on their boards perform better and those with more female executives make more money.

With such a compelling case for gender diversity, even though there has been progress, one has to wonder why there are still so few women on boards. There are many barriers that stand in the way and I will name a few.

Just by virtue of there being a significantly higher percentage of men in the workforce at C-suite level from which to fill board positions, it stands to reason that more men will be appointed to boards than women. Another factor would be the traditional stereotyping of gender roles and abilities. These two factors combined with the fact that many board positions are based on recommendation and women are traditionally not very well networked, it is easy to see why representation is low. To fix this problem, I am a firm believer in board quotas.

When gender diversity quotas are imposed, companies and organisations are forced to find qualified women to join their boards. This has worked very well in Western European countries such as Italy, France and Germany. Rwanda is a shining example for Africa.

Personal and professional challenges My biggest challenge in life is to be the best I can be and take all that happens each day... both good and bad as a lesson to get better the next day. This applies to both my personal and my professional life. It’s hard to separate one from the other. Life throws us several difficulties. People expect a lot from us and we expect a lot from ourselves. The challenge for me is to navigate through career, relationships and personal values amidst expectations of myself and others... keeping a clear head and staying grounded.

Read the concluding part of our interview with Patricia by downloading this week’s edition of Women’s Hub Magazine from our website www.businessday.ng, as she graces our cover.

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Friday 24 May 2019

BUSINESS DAY

HEALTH BUSINESS&LIFE

Stress, economic hardship, failing marriages link to rising suicide in Nigeria - Experts ANTHONIA OBOKOH

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reakdown in the ability to deal with life stresses, economic hardship, relationship break-ups and mental health are among the factors speeding up suicidal cases in Nigerians at the moment.

“Nigeria ranks 71 out of 177 countries accounting for 9.9 suicides per 100,000 populations of deaths annually”, according to data from the 2018 global Suicide rate report by World population review.

Nigeria however, has a disturbing picture to offer.

The suicide rates in the country have increased over the last couple of years.

Health experts say that until Nigeria is able to enact the mental health bill, the country might not be able to properly tackle the depression scourge which is one of the reasons for suicide.

Suicide occurs throughout the world, affecting individuals of all nations, cultures, religions, genders and classes. Statistics show that the countries with the highest suicide rates in the world are incredibly diverse.

Owoeye Olugbenga a consultant psychologist and clinical psychologist at Federal Neuro-Psychiatric Hospital Yaba, Lagos, said the criminalisation of suicide was predicated on the Lunacy Law made by colonial leaders.

“Our lawmakers should review the Mental Health Law in line with what obtains in other countries, especially

developed nations. The bill is already with the Senate. They should make provision for the treatment of those who attempt suicide rather than get them arrested.

“As the law is being repealed, the government should also fund the psychiatry hospitals. There are fewer than 500 psychiatrists nationwide to take care of 180 million people.

We even have fewer clinical psychologists and psychiatrist nurses. These are not enough to take care of the psychiatry need of the nation,” Olugbenga says.

Similarly, an industry watcher says in Nigeria, suicide is more of a social and public health objective than a traditional exercise in the mental health sector.

“Mental health professionals, doctors and counsellors can be reached out to manage suicidal tendencies.

The proactive steps taken by several such professionals in the capacity of leaders has

helped and has the potential to help save thousands of lives.”

“Occurrence of suicide tends to be under-reported and misclassified due to both traditional and social pressures, and possibly completely unreported in some areas,” says expert.

Available statistics show that someone in the world commits suicide in every 40 seconds, translating to 800,000 people annually.

Richard Adebayo a consultant psychiatrist and clinical psychologist, at the Federal Neuropsychiatric Hospital Yaba emphasised the need to enlighten the masses on the wrong notion they have, adding that suicide is not the only option to solve problems.

“When people have utility knowledge and are properly aware, it can give power to overcome the suicide attempt because they will have the knowledge of the effect about how it can alter their mind, destiny and reshape

their lives. Even when the thought comes, they will run away from it”.

“We continue to enlighten, that is why we partner with the media to enlighten people, especially at the grassroots level.

We do not want to wait until we keep here information’s of more suicide in the society,” he said.

Most suicide cases have been said to occur in low and middle-income countries with poor health systems and lack of early signs identification.

According to WHO, suicide occurs all over the world and can take place at almost any age. Globally, suicide rates are highest in people aged 70 years and over while in some countries, however, the highest rates are found among the young.

Depression is often linked with feelings of ending one’s life. While depression is more common in women, men are more likely to attempt suicide.

However, WHO defines ‘suicide as the act of killing oneself, deliberately initiated and performed by the person concerned in full knowledge or expectation of its fatal outcome.’

Suicides are preventable and there are a number of measures that can be taken to prevent suicide which includes reducing access to the means of suicide like pesticides, firearms, certain medications, early identification, treatment and care of people with mental and substance use disorders, chronic pain and acute emotional distress.

Ogun partners Lagos to capture border areas for polio eradication ...targets 1.2m children for immunisation RAZAQ AYINLA, ABEOKUTA

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oing by the need to extend polio immunisation coverage to border areas between Ogun and Lagos states, Ogun state government has initiated a collaborative effort with Lagos state government on the effective control of polio, making combined strategies to stem the spread of the infectious viral disease.

The strategic plan which is tripartite in nature, having the Representatives of Ogun and Lagos states, World Health Organisation (WHO) and United Nation Children Emergency Fund (UNICEF), is expected to emphasise the need to make deliberate efforts that accommodate every child in the Outbreak Response Campaign that would take place at the border towns and remote areas.

Speaking at the strategic meeting held in Abeokuta, Ogun state capital, Elijah Ogunsola, Executive

Secretary, Ogun State Primary Healthcare Development Board, stated that the objective of the synchronisation meeting was to improve on polio eradication efforts of the two states, urging parents and guardians to make their children available during the campaign.

Rosemary Onyibe, the WHO Zonal Coordinator, Lagos and Ogun states, said that all stakeholders have roles to play in the war against polio, adding that the onus was on all to plan assiduously to ensure every child was immunised, just as the UNICEF Specialist, Hayon Nam, added that the Outbreak Response Campaign was the first in many years in Southwest Nigeria to fight the infectious viral disease.

Eniola Erinosho, the Director, Medical Service and Disease Control, Lagos state, requested the stakeholders to be accountable in their efforts to eradicate polio, noting that both states shared borders in about 10 Local Government Areas and the two states would put all www.businessday.ng

efforts in motion to ensure that poliomyelitis is jointly fought to stem the spread of the disease.

BusinessDay reports that part of the recommendations made at the end of the meeting, include; to target older settlements for end process monitoring, to ensure border communities are assessed for quality activities, to ensure that coverage under 90 percent should be redone all together, and to ensure that all Activities Plan Template was filled in triplicate for both states before submission.

Meanwhile, Babatunde Ipaye, Commissioner for Health, Ogun state has declared that about 1.2 million children under the ages of five, particularly those at the border communities, are expected to be immunised in the ongoing Outbreak Response (OBR) campaign, saying the areas are more susceptible to outbreak due to migration of people.

Ipaye, who monitored the ongoing Outbreak Response campaign at Imoba Community in Ifo Local Government

Area of the state, said, “Because of the sheer determination of the State and its partners, we have said every child must be reached, no matter what. We have decided to kick Polio out of our dear State and the response from the communities is also encouraging”, he said.

The Commissioner noted that government was more determined to kick the disease out of its communities, especially along the borders and hard to reach areas, adding that the programme was meant for every child, irrespective of their parents’ state of origin, status, religion or political leaning.

Also speaking Richard Banda, the Head Technical Officer, World Health Organisation (WHO), noted that the State was peculiar due to its many border areas, stressing that it was important stakeholders take interborder immunization seriously, as the present outbreak was caused by a virus that originated from the northern part of the country into the State through movement of people along the borderlines.

https://www.facebook.com/businessdayng

How fasting may prevent obesity-related insulin resistance

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ew research adds to the mounting evidence that fasting may be helpful in the fight against obesity and its related conditions.

By increasing certain proteins, the practice may protect against metabolic syndrome, diabetes, and liver disease, but the ‘timing of and duration between meals’ is key.

The health benefits of fasting have been the subject of much hype in recent years. More and more people now fast, not just for religious purposes but also to lose weight and boost metabolism.

Restricting food intake may increase metabolic activity more than researchers used to believe, studies suggest, and the practice may even help fight aging.

Fasting may also improve gut health, according to other research, and strengthen circadian rhythms, thus boosting overall health.

New research adds to this body of evidence by zooming in on a specific type of fasting and its benefits for obesity-related conditions.

Dr. Ayse Leyla Mindikoglu, who is an associate professor of medicine and surgery at Baylor College of Medicine in Houston, TX, and her colleagues, used the Islamic spiritual practice of Ramadan to study the benefits of fasting from dawn to sunset.

The researchers found that practicing this type of fasting for 30 days raised the levels of certain proteins that can improve insulin resistance and stave off the adverse effects of a diet rich in fats and sugar.

Dr. Mindikoglu and team presented their findings at the Digestive Disease Week, a conference that took place recently in San Diego, CA. ‘Timing and duration between meals’ is key Dr. Mindikoglu and colleagues studied 14 people who were healthy at baseline and who fasted for 15 hours each day from dawn to sunset as part of Ramadan.

While fasting, the participants did not consume any food or drink. Before the start of the fast, the researchers took blood samples from the participants. The scientists also @Businessdayng

tested the participants’ blood after 4 weeks of fasting and 1 week after fasting ended.

The blood samples revealed higher levels of proteins called tropomyosin (TPM) 1, 3, and 4. TPM is “best known for its role in the regulation of contraction of skeletal muscle and the heart.”

However, TPM is also key for maintaining the health of cells that are important to insulin resistance and repairing them if they sustain damage.

TPM3, specifically, plays an important role in improving the body’s sensitivity to insulin.

Better insulin sensitivity means better blood sugar control.

T h e c u r re n t s t u d y found that the levels of TPM1, 3, and 4 “gene protein products” increased considerably between the baseline and 1 week after fasting had ended.

The study’s lead author comments on the findings, saying: “Feeding and fasting can significantly impact how the body makes and uses proteins that are critical to decreasing insulin resistance and maintaining a healthy body weight.”

“Therefore, the timing of and duration between meals could be important factors to consider for people struggling with obesity-related conditions.”

“According to World Health Organization data, obesity affects over 650 million people worldwide, placing them at risk for any number of health conditions,” continues Dr. Mindikoglu.

“We are in the process of expanding our research to include individuals with metabolic syndrome and [nonalcoholic fatty liver disease] to determine whether the results are consistent with those of the healthy individuals,” notes the researcher.

“Based on our initial research, we believe that dawn-to-sunset fasting may provide a cost-effective intervention for those struggling with obesityrelated conditions.”Dr. Ayse Leyla Mindikoglu

Culled from Medical News Today

Friday 24 May 2019

BUSINESS DAY

21

HEALTH BUSINESS&LIFE Incorporating heart-friendly habits promotes wellness, productivity - Ogeleyinbo ANTHONIA OBOKOH

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he World Health Organisation (WHO) data show that heart diseases were responsible for over 17.9 million deaths in 2015, a number that is expected to grow to more than 23.6 million by 2030.

“Cardiovascular disease is very common. One in three Nigerian adults are hypertensive according to the WHO,” Clement Ogeleyinbo , a pathologist and managing director of CoA Health Check said while addressing BusinessDay staff at an awareness campaign organised by the Nigeria Heart Foundation on Monday.

Ogeleyinbo said that employers can help employees reduce their risk of heart disease by implementing wellness initiatives that include health screenings, weight control, and stress reduction.

Heart or cardiovascular disease refers to a condition where blood vessels are blocked or narrowed preventing the heart, brain and other parts of the body from receiving enough blood. Over time the compromised blood vessels can result in a heart attack or stroke.

Workplace stress is one of the many contributors to some incurable diseases and heart health has emerged as a key area of concern.

“If you look after your heart, your heart will look after you. Awareness like this will actually enhance the productivity of the organisation

because once you have a healthy workforce, you will have a vibrant environment,” Ogeleyinbo said.

“There is no substitute to have a lively workforce whereby you do not have too many people up-sick.

Your productivity, profitability will improve and will also enhance your image as an organisation, so we need to be aware and it is simply about what we eat, drink and how many hours we should sleep, exercise, maintain healthy life style and going for regular medical check-up,” he advised.

Ogeleyinbo explained that high blood pressure (HBP) is a major risk factor for heart attack, stroke and other cardiovascular problems. He noted that identifying a gap in the awareness of HBP and cardiovascular disease (CVD) is a pressing concern given their high prevalence, especially Nigeria and the developing countries.

Symptoms of cardiovascular disease include chest pain, shortness of breath, and numbness or weakness in legs or arms. Many of these symptoms may also indicate the onset of a heart attack. It is important that individuals experiencing these symptoms seek the advice of a physician. If heart disease is detected early, it may prevent a future heart attack or stroke.

“Nigerians are not managing cardiovascular and endocrine problems properly,” he said. He blamed this on the fact that there are no central regulations, so there is a huge paucity of information in the

L-R: Anthonia Obokoh, health correspondent, BusinessDay; Awe Abiola, coordinator, National Heart Awareness; Chucks Oluigbo, news editor, BusinessDay; Clement Ogeleyinbo, MD/CEO, CoA Health Checks; Njoku Okezie, business development manager, Ritleon Nigeria Limited, and Chizaram Fide-Nwaogu, pharmacist, Ritleon, after Health Talk session with BusinessDay staff in Lagos. Pic by David Apara.

country’s health sector.

Speaking on the campaign Abiola Awe, the Coordinator, National Heart Awareness Programme, said the Nigeria Health Foundation (NFH) rolled out this heart disease awareness campaign to organisations because it is a collective responsibility to help promote and advocate for the health of employees and to help them manage their health risks in the workplace.

“It is important to check and maintain one’s blood pressure and make lifestyle changes to promote a healthy heart. So, as part of this wellness awareness, NHF is also encouraging employees, their

families, and teams to become more physically active,” he said. The initiative provides tips to keep track of activity levels and includes ideas for employees to get their families and local communities involved, Awe explained.

Speaking on engaging in physical exercise Chizaram Fide- Nwaogu, Pharmacist with Ritleon Nigeria Limited said amongst the top 10 killer diseases globally are two cardiovascular diseases Ischemic heart disease taking the top spot, followed by stroke in 2nd and Diabetes mellitus taking the 7the spot.

“A sedentary lifestyle where your job and leisure activities involve

little physical activity increases the risk of coronary heart disease,” she said. According to her, strengthening the heart muscle makes the heart pump more blood, keeps the arteries and other blood vessels flexible to ensure good blood flow and normal blood pressure.

She said that regular exercises strengthen the heart muscles while lowering the blood pressure and cholesterol, but warned that eating trans-fat raises the level of bad cholesterol in the blood and increase the risk of heart diseases. She recommended eating of fruits and vegetables every day, which lowers the risk of heart disease and strokes.

Unilorin releases N43m to Clinic for drugs, consumables Ekiti inaugurates steering committee on SIKIRAT SHEHU, Ilorin

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bdulrasheed Adekeye Odunola, the director of Health Services, University of Ilorin has disclosed that the University management has made available the sum of N43 million to the school clinic for the purchase of drugs and other consumables.

The Director had while describing the intervention as the biggest in its history commended the Vice-Chancellor, Sulyman Age Abdulkareem, a professor of Engineering for his consistent support to the University Clinic.

Odunola, who dropped the hint in an interview with journalists in Ilorin, equally informed that the Unit offers preventive services through which both the students and staff members are advised on health matters.

He added that the extra services have been of great assistance in the prevention and control of the spread

of diseases among members of the University community.

Odunola pointed out that his Unit also engaged staff members and students of the University on the dangers of drug abuse and consumption of alcohol, considering the high negative impact of the dangerous tendencies on the lives and careers of many who would have contributed meaningfully to national development.

He noted that the state of health of members of the University community is very paramount to him because of the impact of such on productivity, saying that the Abdulkareem administration has been up and doing in providing the Health Centre the needed financial support to ensure efficient service delivery.

The Director appealed to members of the University community to make effective use of the well-staffed University Clinic as the facility is not only well-equipped with necessary

drugs and consumables but also operates round the clock.

Commenting on what it takes for an individual to be in a good state of health, Odunola explained that eating well will positively help the body, because hypoglycaemia (low blood glucose) is on the increase.

The medical expert however urged members of the University community and the general public to always ensure that they have at least, six hours of sleep daily in order to live a healthy and productive live.

Odunola, who is also a member of the University Governing Council, advised counselled people to desist from smoking, alcohol and drug addiction because doing otherwise may expose them to serious and life-threatening health challenges.

He advised Muslims who are observing the on-going Ramadan fast, to always ensure that they consume balanced diet during Saur and Iftar.

FG to set up research, innovation development fund OYIN AMINU, Abuja

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he Federal Government has restated her commitment towards the setting up of a research and innovation development fund as a way of promoting scientific findings and research for national development.

Ogbonnaya Onu, the Minister of Science and Technology, stated this at the town hall meeting, and award ceremony for outstanding staff of the ministry and agencies under his supervision.

HBL TEAM

The Minister described the Ministry of Science and Technology as the “brain box” of the present administration, and assured that once President Muhammadu Buhari assents to the National Council and Innovation Development Fund Bill, consolidated funds would be provided for research and innovation in Nigeria.

“It will not be too long from now this Ministry will be one of the best among other ministries in Nigeria.

“This Ministry will have all the money that it needs to help the nation

to have a great future. The National Council and Innovation Development Fund Bill has been passed by the National Assembly,” Ogbonnaya Onu said.

Ogbonnaya Onu explained that Mr. President however has some points but he has not assented to it noting that it has been sent back to the National Assembly to correct.

“Someday, we are going to have research and innovation fund. We have been working very hard in the last three years to set it up.

Basic Health Care Provision Fund

...Assures residents of universal health coverage REMI FEYISIPO

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n furtherance of efforts to ensure universal health coverage for the entire residents of the state, the Ekiti State Government has inaugurated the Steering Committee on Basic Health Care Provision Fund (BHCPF) in AdoEkiti.

Inaugurating members of the committee, Mojisola YayaKolade, the Commissioner for Health and Human Services assured that with the committee on ground, the residents of the state, particularly pregnant women and children who are under five years of age would no longer die of preventable diseases as a result of lack of fund.

Yaya-Kolade noted that the steering committee members would provide cross-functional leadership, strategic operational direction and ensure programme visibility in addition to serving as an advocacy group for BHCPF within the state.

She added that the committee would also review and approve the annual work plans and budget of the state implementing agencies such as the State Health Insurance Scheme (SHIS) and State Primary Health Care Development Agency (PHCDA) amongst

other functions.

Earlier in her opening address, the Permanent Secretary, Ministry of Health and Human Services, Folakemi Olomojobi noted that it was heart-warming that the Nigerian Government, for the very first time is taking bold steps at ensuring universal health coverage saying that regardless of where one lives, such would have access to quality health care.

Olomojobi stated that BHCPF was explicitly focusing on the poor because they often lack access to services and suffer the poorest health condition.

In his remarks, the DirectorGeneral, Bureau of Transformation, Strategy and Delivery, Bolaji Aluko said that the committee would work assiduously to ensure improved service delivery.

Aluko noted that BHCPF would ensure that quality health care services get to all wherever they live within Ekiti State, no matter how remote, especially the poor.

While appreciating the participants, the secretary of the Committee, Olasunkanmi Alabi, who described the assignment as a call to service, promised that the committee members would put in their best to ensure the success of the programme.

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

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Friday 24 May 2019

BUSINESS DAY

Harvard Business Review

MANAGEMENTDIGEST

The ethics of smart devices that analyze how we speak TREVOR COX

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s smart assistants and voice interfaces become more common, we’re giving away a new form of personal data — our speech.

This goes far beyond just the words we say out loud.

Speech lies at the heart of our social interactions, and we unwittingly reveal much about ourselves when we talk. When someone hears a voice, they immediately start picking up on accent and intonation and make assumptions about the speaker’s age, education and personality. Humans do this so we can make a good guess at how best to respond to the person speaking.

But what happens when machines start analyzing how we talk? The big tech firms are coy about exactly what they are planning to detect in our voices and why, but Amazon has a patent that lists a range of traits they might collect, including identity (“gender, age, ethnic origin, etc.”), health (“sore throat, sickness, etc.”), and feelings, (“happy, sad, tired, sleepy, excited, etc.”).

This worries me — and it should worry you, too — because algorithms are imperfect. And voice is particularly difficult to analyze because the signals we give off are inconsistent and ambiguous. What’s more, the inferences that even humans make are distorted by stereotypes. Let’s use the example of trying to identify sexual orientation.

There is a style of speaking with raised pitch and swooping intonations which some people assume signals a gay man. But confusion often arises because some heterosexuals speak this way, and many homosexuals don’t. Science experiments show that human aural “gaydar” is right only about 60% of the time. Studies of machines

attempting to detect sexual orientation from facial images have shown a success rate of about 70%.

Sound impressive? Not to me, because that means those machines are wrong 30% of the time. And I would anticipate success rates to be even lower for voices, because how we speak changes depending on who we’re talking to. Our vocal anatomy is very flexible, which allows us to be oral chameleons, subconsciously changing our voices to fit in better with the person we’re speaking with.

We should also be concerned about companies collecting imperfect information on the other traits mentioned in Amazon’s patent, including gender and ethnic origin. The speech examples used to train machinelearning applications are going to learn societal biases. It has already been seen in other similar technologies. Type the Turkish “O bir hemşire. O bir doktor” into Google Translate and you’ll find “She is a nurse” and “He’s a doctor.” Despite “o” being a gender-neutral third-person pronoun in Turkish, the presumption that a doctor is male and a nurse is female arises be-

cause the data used to train the translation algorithm is skewed by the gender bias in medical jobs. Such problems also extend to race, with one study showing that in typical data used for machine learning, African American names are more often associated with words like “filth” and “ugly” than European American names, which tended to be associated with words like “caress” and “love.”

The big tech firms want voice devices to work better, and this means understanding how things are being said. After all, the meaning of a simple phrase like “I’m fine” changes completely if you switch your voice from neutral to angry. But where will they draw the line?

For example, a smart assistant that detects anger could potentially start to understand a lot about how you get along with your spouse by listening to the tone of your voice. Will Google then start displaying advertisements for marriage counseling when it detects a troubled relationship?

These types of issues typically arise in unanticipated and unintended ways. AI might detect a strong accent and in-

fer that this means the speaker is less educated, because the training data has been skewed by societal stereotypes. This could then lead a smart speaker to dumb down responses to those with strong accents. Tech firms need to get smarter about how to avoid such prejudices in their systems.

What’s more is that many people seem to be careless near these devices. Amazon has noted that many people have real conversations with Alexa, and often tell the device how they’re feeling — even going so far as to tell it: “I love you.” Adding speech to a device suggests agency, making it more likely that we will anthropomorphize the technology and feel safe revealing sensitive information.

It’s probably only a matter of time before there is a major security breach of voice data. For that reason, researchers are just starting to develop algorithms to try to filter sensitive information. For example, you might set the device to mute the microphone on the smart speaker when you mention the name of your bank to stop you from accidentally revealing access details, or if you mention words of

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a sexual nature.

What are consumers’ attitudes about privacy when it comes to smart assistants? A University of Michigan study showed that owners of the tech are not very concerned about giving more data to gatekeepers like Google and Amazon. “I find that really concerning,” said one of the study’s authors, Florian Schaub. “These technologies are slowly chipping away at people’s privacy expectations.

Current privacy controls are just not meeting people’s needs.”

Most people in the study didn’t even realize that data was being analyzed to serve targeted ads at them, and when they found out, they didn’t like their voice commands being used that way.

But consumers can also subvert the technology for their own aims. In the University of Michigan study, one person reviewed the audio logs on their Amazon Echo to check up on what house sitters were doing with the technology. These devices can also open up some new channels of persuasion in the future. If you think your washing machine needs to be replaced, but your partner disagrees, do a voice search for possible models near the smart speaker, and your spouse might be bombarded by endless advertisements for new ones.

In business, we’ve gotten used to being careful about what we write in emails, in case information goes astray. We need to develop a similar wary attitude to having sensitive conversations close to connected devices. The only truly safe device to talk in front of is one that is turned off.

Trevor Cox is a professor of acoustical engineering at the University of Salford and the author of “Now You’re Talking: Human Conversation from the Neanderthals to Artificial Intelligence.”

Friday 24 May 2019

BUSINESS DAY

AGRIBUSINESSINSIGHT Market Insights

Analysis

Commentaries

Experts/Industry Views

Commodities watch

Policy Reviews

Send in Commentaries to caleb.ojewale@businessdayonline.com

Fake export certificates undermine integrity of Nigerian commodities

FG boosts kolanut cultivation with 5,000 seedlings to farmers in Ogun ... Farmers charge NEPC to drive kolanut exports

RAZAQ AYINLA

CALEB OJEWALE Twiiter: @calebtinolu

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h e re p u t a t i o n of Nigeria as a credible exporter of agricultural goods is being put at risk as some exporters continue to circumvent stipulated standards and exporting goods using fake phytosanitary certificates.

In many cases, unscrupulous exporters, without the knowledge of owners of the agricultural goods, ship such consignments out of Nigeria without the appropriate export certificate being procured. In other cases, no export certificate is even procured at all, and this only becomes evident when the shipments get to the destination and encounter challenges. At this point, either of two options become available; return such goods to Nigeria, or destroy them at the destination port.

Vincent Isegbe, director general, Nigeria Agricultural Quarantine Servcie (NAQS) in an exclusive interview, bemoaned this practice that contributes to Nigeria getting a bad reputation in the international community, while also resu lti ng i n m o n e t a r y losses for the owners of agricultural goods.

“Some exporters just print the certificates (on their own) in order to avoid quarantine, and the owners of the consignment

don’t usually know what h a s b e e n d o n e ,” s a i d Isegbe. According to him, National Plant Protection Organizations from several importing countries frequently request f or ver if icat ion of the phytosanitary certificate for consignment sent to their country. “Where those goods did not pass through quarantine, we say we don’t know about it. Once the quarantine says we are not aware, the exporter is left on his own,” he explained.

“By implication either the commodities are sent back to the country or destroyed at the point of import, which does not augur well for Nigeria and the person who has suffered to package these things for export,” Isegbe added.

According to the quarantine boss, when exported agricultural goods are rejected and

owners approach the agency, it is discovered those goods did not pass through quarantine at all.

As he explained, the reason this illicit activity thrives is because the agency is not allowed at the ports, hence, ensuring certificates presented at the point of export are authentic has become impossible.

“People are faking certificates because quarantine is not there and customs will not know which certificate is genuine or not,” said isegbe. “If customs sees any certificate, they will assume it is a genuine certificate from quarantine and they are bound to honour it. So that linkage will have to be corrected.”

According to him, there is some measure of conflict of interest in a d m i n i s t ra t i o n o f t h e ports and performance

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of requisite inspections.

“Customs has a target revenue figure which they will meet,” he said.

By implication, it is less important what is going out or coming into the country, as higher rejection rates will imply lower revenue for the customs service.

Isegbe however expressed the view that there should be synergy and a process where quality becomes important; for the integrity of Nigerian exports, and the safety of what is imported for Nigerians to consume. There has to be complete harmony, such that quarantine will be able to say, “Customs, this one we are sure of it, let it go.” But where that is not existing, unscrupulous exporters will continue to ship out agricultural goods using fake phytosanitary certificates.

s part of the Federal Government’s effort to drive kolanut cultivation across the country, coupled with the mission to create wealth locally by increasing foreign earnings from its exports, the Raw Materials Research and Development Council (RMRDC) has distributed 5,000 improved kolanut seedlings to farmers in Ogun state.

The distribution of 5,000 improved kolanut seedlings to hundreds of farmers in Ogun state was prompted by the friendly vegetation and tropical rainforest nature of the state that could help improved kolanut seedlings germinate fast and yields more fruits, thereby increasing kolanut production and earnings from kolanut sales.

BusinessDay reports that stimulants such as caffeine, alkaloids and chemical components used in the pharmaceutical and chemical industry are derived from the two primary species of kolanut, namely, Cola acuminata and Cola nitida. This is apart from consumption and cultural ceremonial uses of the kolanut, which Nigeria produces 168,000 tonnes out of 280,000 tonnes of the World annual production.

Speaking at the presentation of the improved seedlings to farmers under the aegis of Kolanut/Bitter Kola Producers and Marketers Association of Nigeria, Ogun state chapter in Abeokuta recently, Hussein Ibrahim, director-general of RMRDC, noted that the massive distribution of kolanut seedlings by the Federal Government was strategic and meant to replace existing and

ageing trees that are having low yields.

The Director-General, who was represented by Gabriel Awolehin, Director of Agriculture and Agro-Allied Department, said that “the Council in collaboration with the Cocoa Research Institute of Nigeria (CRIN), Ibadan, produced the improved kolanut seedlings for distribution to the Kolanut/Bitter Kola Producers, Marketers and Exporters Association of Nigeria for further multiplication of kolanut in the country.

“It is my firm belief that this initiative would promote the sustainableproductionofkolanut in the State, as well as stimulate investment opportunities in the entire value chain of kolanut in Nigeria,” he said.

Speaking on behalf of the Ogun state government, Abosede Ogunleye, permanent secretary of the Ministry of Agriculture, stated that distribution of the kolanut seedlings would enable farmers scale up production and increase earnings to them and government.

Segun Soyooye, chairman, Kolanut/Bitter Kola Producers and Marketers Association, Ogun state chapter, lauded the Federal Government and Ministry of Science and Technology through Raw Materials Research and Development Council (RMRDC) for giving them kolanut seedlings that gestate between 3-5 years unlike that of 10 -15 years. He requested that the Nigerian Export Promotion Council (NEPC) help in linking farmers with off takers and exporters of kolanuts for better sales and earnings.

How to benefit from agric investment opportunities in Ondo state CALEB OJEWALE

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ndo state says it is looking for investors and partners who are willing to take advantage of what it describes as “the f av o u ra b l e a g r i c u l t u ra l conditions” and invest in agriculture within the State.

Ondo is predominantly an agrarian state with about 60 per cent of its labour force engaged in agriculture according to an investor brief by the State government, which also states 80 per cent of the land in the State is arable and can be utilized for lucrative and commercial agriculture. The document breaks down areas of potential investment into headings such as Cash crops, Food crops, Forestry, and Fishery.

Cash crops Opportunities in Cocoa Ondo state according to the investor brief first published in August 2017, is the largest cocoa producer in Nigeria responsible for over 40 per cent of all cocoa export. The State is in cocoa production

partnerships with institutions and multilaterals such as International Institute of Tropical Agriculture (IITA), USAID, French Association of International Development of Exchange of Food, Agricultural Products and Techniques among others.

The State has also embarked on a Cocoa Revolution Project that is targeted at rehabilitating moribund cocoa plantations established on a 2,000-hectare land. The project is ultimately aimed at boosting cocoa production and introducing new premium hybrid cocoa seedlings that are disease resistant and harvestable in 18 months as opposed to 5-6 years.

There are vast opportunities for cocoa production and processing for local and foreign consumption.

With the help of the Cocoa Revolution Project and short gestation time of the improved seedlings, investors would be able to turn over profits from cocoa within a shorter period of time.

Opportunities in Oil www.businessday.ng

Palm Ondo State is currently in partnership with Agro Bayu, a Malaysian firm t o re vo l u t i o n i ze a l l o i l plantations located within the State. The targeted annual oil palm produce is 320,000 metric tonnes. There are three major players in the oil palm industry in State: Okitipupa Oil Palm Company Plc., OreIrele Oil Palm Company Limited and Araromi-Ayesan Oil Palm Limited.

The State is looking for opportunities to partner with private or institutional investors to resuscitate moribund companies and invest in large-scale production and processing.

Opportunities in Rubber The State has a targeted annual production volume of 60,000 metric tonnes. This industry has one key player: Rubber Estates Company Nigeria Limited located on a 4,500-hectare plantation in Araromi area of Ilaje Local Government in the State. There are huge investment prospects within the rubber industry and

an avenue for investors to get a quick return on investment through production and processing of rubber.

Food Crops Major food crops produced in Ondo include yam, maize, rice, cassava, cocoyam and sugarcane. According to the Investor Brief, Growing International demand for these crops creates a new opportunity for investors.

Opportunities in Cassava With an output of 3.8 million tonnes in 2016, Ondo State is one of the largest producers of cassava in Nigeria. The State claims to be the most efficient cassava producing state in Nigeria with an average yield of 17.8 ton/Ha (country average is 11 ton/Ha).

Ondo has the potential of becoming a major player in local and international starch, sweeteners, ethanol, HQCF, and dried chips industries.

Forestry The State is a major source of timber for construction and furniture making in Nigeria.

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It is endowed with rich forest reserves that have exotic and varied economic trees such as teak, gmelina, indigenous tree species amongst others. To make industry entry easy, the government gives out licenses to participants in that industry to cut and process timber.

The State has a volume target of 6 million cubic metres per annum. There are existing players in this industry such as Premier Timber industries, Wanwood Nigeria Limited amongst others. There are opportunities for local and foreign investors to set up timber processing plants and furniture factories in the State because of the abundant presence of raw materials used in furniture-making within the state.

Opportunities in Aquaculture The longest coastline in Nigeria, which is 180km, can be found in Ondo State, according to the Investor Brief. In the waters of the State, a variety of exotic fish and seafood such as catfish, croaker, sole snapper, mixed fish, and shrimp can @Businessdayng

be found. There is a major fishing terminal, Igbokoda Fishing Terminal, which is used for fishing in the state.

There are opportunities for large scale production of fish fingerlings, fish production and processing to meet local and foreign demand.

Incentives There are incentives for investors with interests in agro production and processing as compliant with the Nigerian Investment Promotion Commission. The incentives include: Tax credit for five years for all production and processing businesses (as provided under Pioneer Status section). Zero tax on agriculture loans w ith morator ium period of over 18 months and repayment period of over 7 years; Zero import duty on machines and equipment; No capital allowance restrictions; No payment of minimum tax.

Up to 75 per cent guarantee for loans granted by commercial banks for agro processing and production as stipulated under the Agricultural Credit Guarantee Scheme Fund.

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Friday 24 May 2019

BUSINESS DAY

Hotels

‘The next 100 years for Hilton will be another century of innovations, hospitality and leadership’ This month of May, Hilton hotels across the world are celebrating 100 years of Hilton Worldwide Holdings; leading global hospitality company founded on May 31, 1919 by Conrad Hilton. Peter Idoko, general manager, Legend Hotel Lagos Airport Curio Collection by Hilton, who is a witness of the ‘Hilton Effect’ tells Obinna Emelike in this interview, the import of the celebration, activities marking it in Nigeria, projections for another 100 years and outlook for Legend Hotel.

What is the significance of the 100 years milestone for the Hilton brand and staff worldwide? or us, it is the right time and right opportunity to be in the space when Hilton is becoming a 100 years. Hilton is 100 years and we had a chance to be the first Curio Hotel in the whole of Hilton properties in Africa. We are Hilton’s 500th hotel opening across Europe, Middle East and Africa. Again, here we are going to celebrate the 100 years of Hilton, and that underscores how strategic and how wellpositioned we are. So, it is a very good opportunity for us to begin to talk about how much Hilton has contributed to tourism worldwide. Also bringing it to Lagos, we are the first Hilton hotel in Lagos after over 30 years of Hilton being in Nigeria.

So, this hotel is actually a hotel of landmarks and we are happy to be in the space where we are also celebrating the landmarks. It is not so much about the landmarks, but the fact that we are a part of history, a part of such a wonderful company and a leader in the hospitality industry.

Hilton is synonymous with hospitality. We say, ‘stay in Hilton, feel the hospitality’. We actually have a saying now; ‘We are Hilton, we are hospitality’.

The founder of Hilton started this hotel 100 years ago, and his creed is still carrying us through after 100 years when he said it is our job to fill the earth with the light and warmth of hospitality and that is what we have been doing for every guest, every hotel and everywhere in the world.

In this May, all Hilton hotels worldwide are having the opportunity to celebrate the 100 years and we have an opportunity to do it in our own unique way, especially Legend Hotel Lagos Airport Curio Collection

by Hilton, it is such a mouth-full of a name. We are Legend just here in Lagos, but Curio Collection is one of a kind collection of hotels in the sense that there are no two Curios that are the same.

So, this season of 100 years gives us an opportunity to celebrate the uniqueness of what we are.

You have seen what we are here; we are just right here at the airport, within walking distance of the international terminal, we are five minutes away to the local terminal and just 20 steps to the aircraft. So, from every side of it, we are unique; unique to the people who are coming in from the other side of the airport and unique to the

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Peter Idoko

people who are also going to be using the private jets.

We also try to put a lot of local contents into what we do.

You can see how beautiful our lobby is. We are so proud of the artworks we have in the lobby.

We have some collections from indigenous artists because of our commitment to sustain and promote local Nigerian art.

We have the one from Victor Ezechi called Imotan Arising; there is Egungun and some Benin masks here. We really put in a local dimension to what Hilton is. So, Hilton is both international and local where we are. We are operating with international standards, but we are very local and very relevant in what happens in our locality.

What are activities marking the anniversary, especially in Nigeria and your hotel in particular?

We have been doing a few things already since the beginning of the year. We have done some outreaches. On May 16, 2019, a team came back from Wavecrest College of Hospitality, a premier hospitality school in Lagos. It is a non-for-profit one, so, we go there to support them.

We went there to talk to the students about career and how to empower them. We are also went there again to support for their graduation. We are opening up opportunities for apprenticeship and employment eventually. We are also going to orphanages on May 27th Children’s Day. The staff contributed items from their resources; we call it Random www.businessday.ng

Act of Hospitality. So, there is a lot of Random Act of Hospitality that we are going to be doing.

We are going to be taking coffee and cookies to workers on our site here; these are people who would not have tasted Hilton’s cookies and food.

We are going out every once in a while to do lectures in some schools, and within our staff, we are doing local activities including raffles, product knowledge where staff win things and take them back to their families and that is encouraging.

On May 24th, we are doing the actual celebration. We do not want to be in the crowded space of May 29th, 39th and 31st where everybody else would be celebrating. Our colleagues in Abuja will be doing theirs as well. So, for us it is just that one big party to close it out and thank people for being part of the Hilton for the past 100 years, and for us in Nigeria for the past 30 years, and for us in Legend for the past 6-8 months that we have been open. It is time to celebrate it, and celebrate the light and warmth of hospitality.

Our corporate guests will be there, our in-house guests will be there, our partners, suppliers, friends, a selection of team members’ families and everyone that has contributed in one way or the other to who we are and what we will continue to be, will all be at the celebration.

Well, because we are a small space, we are targeting 100 guests for the day or 100 guests for the 100 years celebration.

How do you see Hilton in another 100 years?

Well, the past is a good predictor of what the future will be. One thing I know of Hilton is that it is not short on innovations. In the past 100 years, Hilton has been in the forefront of innovation since 100 years. It is the first hotel to open an airport hotel, first hotel company to do room service, to get international reservation, to put TV in the room, to put air-condition in a room, to put hot water, among others. Those were all the innovations and landmarks that Hilton pioneered. In recent time, Hilton is the pioneer or first hotel to start digital key, which is in the modern technology trend. So, it can only be better. As staff, Hilton has touched us in a way that we can only have hope for the future. It is what we called the Hilton Effect and a lot of our colleagues are talking about what Hilton has done in their lives.

I can only see that more Hilton hotels will open in Nigeria, there will be more opportunities to bring international hospitality standards into Nigeria like Hilton has done over time.

So, more of it will come. There is a big pipeline of Hilton hotels that is going to come up here soon. The next 100 years, is another 100 years of innovations, another 100 years of hospitality and leadership.

How has it been since Legend opened doors to the public some months ago?

Well, it has been so good, and like we say in Nigeria, so far, so good. We are very happy and very proud to be where we are.

We had good landing in October last year and the trajectory has been upwards since.

A lot more people are discovering and telling us how satisfied they have been with our services. If you go to TripAdvisor today, you will see the many reviews about the experience of people in our hotel.

Well, that is a big thanks to staff and the quality of the team that Hilton builds. There have been a lot of positive feedback and we are getting more and more in the space. We are a niche property, we are an oasis in Lagos, and we provided something that is new and uncommon in Lagos. People are discovering us more and more, our spaces are becoming fuller and people are taking advantage of the convenience we provide in this neighborhood, which is convenience of travel, seamless connection, you beat the traffic and you are in convenient and comfortable zone for travel, even for meetings and corporate events.

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

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

The Wheatbaker #4 Onitolo(Lawrence Road), Ikoyi, Lagos.

Tel: 01 277 3560

Hawthorn Suites by Wyndham Abuja 1 Uke St, Garki, Abuja.

Tel: +234 9 4603900, +234 805 7522500

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

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

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

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

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

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

Friday 24 May 2019

BUSINESS DAY

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INTERVIEW ‘Amukpe-Escravos pipeline provides the most secured crude oil export route in Nigeria now’ FELIX AMIEYEOFORI is the executive consultant, operations, Pan Ocean Oil Corporation Nigeria Limited. In this interview with FRANK UZUEGBUNAM, Amieyeofori talks about Pan Ocean’s triple mega energy infrastructure projects slated for unveiling in June, amongst other issues. Excerpts: Can you give us the update on Pan Ocean triple mega infrastructure projects ready for unveiling? s you said, these are mega projects that will change the landscape of the oil, gas and energy space in the country and even at international platforms.

First, the Amukpe-Escravos pipeline, a 160,000 bpd, 67-km 20-inch horizontal directional drilling (HDD) export line, is first of its kind in Nigeria and Africa. With a burial depth of 45 -150ft, this is the most secured export route in the country.

Second, the 200 MMscfd gas processing plant with LPG/Propane modules, is a game changer also in the energy space as we are positioned to provide gas to power Nigerian homes, offices and industries, while also supplying LPG to bridge the short fall in LPG market in Nigeria.

Finally, the production of oil and gas from OML-147 at Owa Aladima is quite significant as it is the first to be on production amongst the 2007 bid rounds.

All the three projects which will be ready for unveiling at the technical start up taking place on June 10, 2019, will contribute significantly to Nigerian industrialisation and economic growth, on the one part and empowerment of the host and impacted communities.

Non-passage of the PIB stalled a lot of investment decisions in the sector. What gave Pan Ocean the impetus to go ahead with these mega projects?

Pan Ocean has been in this business for about 46 years, since 1973, with first oil production in 1976. We are also the first Nigerian company to sign on the Participation Agreement with Government to become a Joint Venture Partner in the Industry.

Given this history, and as the pioneer Indigenous Joint Venture Company with NNPC, we have experienced continuous evolution of the Nigerian oil and gas industry, and so are not discouraged in our resolve to invest in these mega projects for the good of this country as Nigerians because of the delay in passing the PIB or PIGB. This is because we are here to stay, to contribute our quota, and are therefore confident, that in no distant time, given the level we are with the PIBG process, the government will pass this Bill into Law. Was there any point at which Pan Ocean felt like throwing in the towel and abandoning any of these projects?

Yes, as you have noted, these are mega projects running into several billions of US dollars, and as you also know, securing such funding in this country has always been a major challenge. We were really pushed beyond our strength. We were in more than once, nearly threw in the towel, but by sheer luck and grace of God, we held on, and found willing partners and institutional financiers to augment our part of the funding. We are glad that we did not give up, as we would have missed this great opportunity of celebrating these landmark achievements in this country. It pays to hold on.

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Felix Amieyeofori

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As we speak, we are already battling with over capacity allocation of the entire 160,000 bbls injection capacity with prospective customers within the pipeline route What kind of support did you receive from your joint venture partners?

The gas processing plant and the Amukpe-Escravos pipeline are both Joint Venture (JV) Projects with NNPC, and we are bold to testify of their full technical, financial and moral support from conception to this present stage of technical start up and unveiling.

The field development project at OML-147 in Owa Aladinma is a Production Sharing Contract (PSC), and as in all PSCs projects, NNPC-NAPIMS were fully behind us technically and morally, through our various

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engagements with them.

Was there any kind of input from government and National Assembly given that these are game changing infrastructure the industry have been yearning for?

We have a very good working relationship with the various government establishments especially the regulatory authorities, and also from both chambers of the National Assembly, who have visited the project sites several times to see things for themselves.

How sustainable is the pipeline project given the huge cost?

The Amukpe-Escravos pipeline is the first of its kind using the Horizontal Directional Drilling (HDD) technology that spans across 67km with burial depths of 100-150 feet. It thus provides the most secured export route in the country now, and also guarantees a 24/7 crude throughput, which is the needed incentive for potential users. As we speak, we are already battling with over capacity allocation of the entire 160,000 bbls injection capacity with prospective customers within the pipeline route.

Should we expect periods of shutdown and force majeure which has been the bane of existing pipeline projects in the Niger Delta?

Shut down and force majeure are normal in any operation, but we are confident that they will not occur because of pipeline vandalism.

How did Pan Ocean cope with the several communities along Amukpe-Escravos pipeline during the construction stage?

Pan Ocean worked with all major contractors to ensure that the contractors carried

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along the communities in terms of labour, access road clearing and other local contracts. We also ensured regular communication with community representatives. On few occasions when issues arose, we sought the intervention of the state government through the ministry of oil and gas to quickly resolve such impasse.

The gas processing plant is meant to supply lean gas to NIPP power plant. Are you worried about the huge unsustainable debts prevalent in the power sector?

Every investor will worry about long overdue invoices, and we are aware of the prevailing conditions in the market. However, if government must achieve their dreams of diversifying the economy, which will greatly depend on sustainable power generation and distribution, this is one of the areas; the huge debts in the power sector, that must be tackled to encourage investors in this sector. However, Pan Ocean fortunately has been quite lucky with payments from our off-takers, and we are hoping that we will continue to enjoy that working relationship with them.

Looks like it’s a good time for the OML 147 Oma Aladinma to come on stream given that crude oil price is hovering around $70 per barrel?

Of course, we are happy that oil prices are looking good for now, but our sustainable strategy is to always operate the asset efficiently to deliver value to all stakeholders.

This is because crude oil prices have become more uncertain due to the interplay of geopolitical forces than the usual market forces of demand and supply, and as a prudent operator, we must continue to deliver value no matter where the pendulum swings.

We are in the age of automation and artificial intelligence. How much of technology were incorporated into these projects?

The Amukpe-Escravos export line is based on horizontal directional drilling (HDD) technology that helped to position the pipeline at burial depth ranging between 45 – 150 feet deep in the ground. This is the first of its kind as an export line in Nigeria and on the African continent. Our gas plant and LPG/propane plants and the crude oil and gas processing plants at OML-147 are all automated to run with minimal human interface.

Going forward, what are your expectations from government and National Assembly?

We expect the Nigerian government to take credit for such strategic economic projects by an indigenous company, and therefore provide sustainable business environment for the smooth operations of these assets.

What is the next big project from Pan Ocean?

We do recognise that the unveiling of these mega projects has placed Pan Ocean amongst the energy majors in the country.

We are already aware of the expectations and are not relenting in our creativity. We are already on the drawing board and can only ask that you wait for the next unveiling in no distant time.

@Businessdayng

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Friday 24 May 2019

BUSINESS DAY

entertainment

Thrills at Lagos Jazz Festival Stories by OBINNA EMELIKE

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n the past month, the Freedom Park Lagos; the fast rising entertainment, art and culture hub on Lagos Island, was busy with lots of thrills. One of such thrills with lingering memory was this year’s edition of Lagos International Jazz Festival.

Once again, the two-day experiential music fiesta offered lovers of the jazz music genre in Lagos and across the country the opportunity to identify, enjoy and support their preferred choice of music. The extensive lineup of jazz and other music artistes, both local and foreign, at the festival lived up to the expectations of the large and receptive audience.

David Freisen, an accomplished jazz bassist from the United States of America, was exciting with his performances. He played alongside Nigeria’s Bright Gain on the duo’s latest project ‘View Point Of

David Freisen and Bright Gain, performing at the festival

View’ to be released under Origin Records USA in November 2019. As well, Christine Kamau, award-winning Kenyan trumpeter, showed dexterity in her performance switching between trumpeting, singing and playing piano while Sam Ayunke, Johannesburgbased Nigeria international guitarist, was in form as he performed some hit songs from his repertoire and from other popular musicians in

a jazzy fashion.

One of the spices of the music festival was a performance by Aimad Kachna of Morocco, the winner of the individual category of the recently concluded African Drum Festival in Abeokuta.

Kachna truly made a cameo appearance and showed Lagos why he was crowned ‘king’ in Abeokuta.

Aside the collaboration with David Freisen, Bright Gain led SPAN Academy

of Jazz and Contemporary Music in their monthly JAZZ-A-THON show at the festival. The show, which held on the second day, was worth seeing.

The seamless synergy with the Lagos International Jazz Festival was laudable.

The students of the school showcased their creative ingenuity sharpened by their rigorous academic work.

Yet, the thrills were further sustained by the exhila-

Music publishers decry declining distribution, loss of revenue …as Nigeria earns less than .5% of €8bn global music streaming in 2018

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he Music Nigeria Publishers Association (MPAN) has raised an alarm over the huge decline in the distribution of music and the alarming rate of revenue loss to the members, the associations and the Nigerian creative economy.

The stakeholders of the association noted that though figures from the Copyright Society of Nigeria revealed increase in revenue to about 100 percent from 2017 to 2018, from about N200million to about N400million naira, the reality is that revenue does not reflect the increase in distribution.

In a presentation at its first town hall meeting in

Lagos last Friday, the association lamented that instead of having an increase in distribution, there was a 15 percent decrease, which queries the N400 million revenue increase; bulk of which came from digital sales that rose by 900 percent in just one year.

Speaking on the development, Olumide Mustapha, chairman, MPAN/ executive of Greenlight Publishing Company, further highlighted the revenue loss in his presentation of the real problem in the music publishing sector. He disclosed that revenue of about €8 billion was realized from streaming worldwide in 2018, and sadly Nigeria made less than .5 percent

Davido www.businessday.ng

of the earnings.

Proffering solution on how to improve on the earnings, Mustapha said the regulators, especially Copyright Society of Nigeria must wade in, help sanitize and put a proper structure in place to help increase revenue of artistes from the publishing sector.

He also reiterated the fact that music publishing is key to revenue and growth of the music industry, while explaining that ignorance among artistes and people that are supposed to help build the industry is a major challenge that also necessitated the town hall meeting.

In same vein, Isioma Idigbe, an entertainment lawyer who represented Universal Music Group, said that the ability of the players and regulators in living up to their expectations has impacted negatively on distribution issues. She posited that there is the need to create more awareness among the artistes, music users and content providers.

For Olisa Adibua, the association should take more practical steps in engaging the government of the day since the Nigerian Copyright Commission (NCC) stance on dealing with the present COSON predica-

ment is more political. In reaction to Adibua’s opinion, Michael Odiong of Premier Music Publishing Company, said the association is looking into all options open to help soar revenues and end the present internal conflict in COSON. He said the association would engage the incoming national assembly members and educate them on the need to create a better enabling environment for music publishing to thrive.

As well, Chocolate City Group disclosed that the solution to the music publishing revenue crisis lies in the hands of the regulators and the artistes, music composers, writers and producers, insisting that the stakeholders have to take a stand by signing petitions that would challenge the Nigerian Copyright Commission to act on the COSON debacle.

Following Chocolate City’s suggestion, over 50 stakeholders at signed four different petitions all asking the NCC to take actions on the issues raised at the town hall meeting, insisting that the Collective Management Organisations have a lot of work to do in order to get artistes to benefit from music publishing.

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rating performances by artistes such as Waje, Nigerian songstress, Afrojazz Super bassist, Wole Jesutomi, the enigmatic Orliam and fresh revelation, SamDerry and his group. Other lady singers like Bibi and Poshryna held their own and delighted the audience also.

As promised and in line with ‘Music & The Creative Arts As Tools To Address The Dangers And Perils Of Illegal/Irregular Mass Migration’, the festival’s theme, Ayoola Sadare, the festival director, in partnership with Pretty Okafor, president, Performing Musicians Association of Nigeria (PMAN), representing the creative sector, launched the Creative Arts Coalition Against Irregular Migration (CACAIM) project, an initiative to address the growing concerns around illegal migration using different creative art disciplines. The initiative seeks to empower would be migrants and returnees by enlightenment, engagement and empowerment.

Several fringe events preceded this year’s festival during the Jazz Appreciation Month (JAM), such as Loud Beach Festival, Umutu Jazz Immersion show, among others. However, the festival was also the climax of the annual April Jazz Appreciation Month celebrated globally. “The International Jazz Day 2020 celebration is scheduled to hold for the first time in Africa in Cape Town, South Africa on April 30, 2020. There will be a high level delegation from the Lagos International Jazz Festival to represent Nigeria”, said Sadare.

Organised by Inspiro Productions in partnership with Sloweganzi, the 2019 edition of the jazz festival was truly a success going by its many exciting music offerings.

It was supported by Sovereign Trust Insurance Plc, PMAN, Lagos Tourism, Freedom Park, Pentagon, Action, Steady Pace, Latobak, NAIJAZZ and a host of leading online and offline media houses.

MultiChoice partners New York Film Academy on training

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ultiChoice, leading pay television firm, has announced a partnership between its flagship initiative, the MultiChoice Talent Factory (MTF), and the New York Film Academy College of Visual and Performing Arts (NYFA), a world-renowned visual and performing arts school.

The groundbreaking collaboration, explained, Femi Odugbemi, MTF Academy Director (West Africa), is in line with MTF’s mission of igniting Africa’s already established creative industries through training and skills development, as well as, foster new and original programming.

Cheryl Uys-Allie, MTF Director, added that MultiChoice’s commitment to partnering with industry experts such as the NYFA is to promote and protect the growth of Africa’s creative industries. She also pointed out that the endorsement of the MTF by NYFA confirms the film school’s continued efforts to the empowerment and development of filmmakers across the world.

For more than a decade, the NYFA has supported African content creators and performers by hosting workshops across the continent, @Businessdayng

Femi Odugbemi

where the institution’s faculty has met with thousands of students in Nigeria, Ghana, South Africa and Kenya and further bridged its hands-on intensive training in both the visual and performing arts as well as offering information sessions, auditions, and portfolio reviews to attendees.

The NYFA prides itself in developing students through a “learning by doing” approach, blending a mixture of traditional film school instruction with coursework and practical experience, which ensures that students learn to make films by actually making films. Through this partnership, MultiChoice continues its commitment to boosting capacity in the continent’s creative industry.

Jim Miller, NYFA vice president, said the institution is delighted to be part of the process to upgrade skills of African film and television professionals.

Friday 24 May 2019

BUSINESS DAY

entertainment

Mingling with ease Business etiquette

Janet Adetu

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henever you are invited to an event be it formal or informal are you excited?

Many adults have this slight phobia blending in with others because it maybe a case of appearing too forward or seemingly behaving way too reserved. The whole idea of attending a gathering where there are majorly people you do not know is to “mix and mingle”, get to know others, learn from others, create friendships, live, love and laugh. As easy as this may sound it is simpler to hold your horses and play it safe, if only for a moment of truth.

During my trainings, I find in situations where the participants are staff of the same company not necessarily working in the same department, still have initial behaviour habits. They all operate in a reserved manner, before eventually becoming comfortable enough to act freely. It is human nature to feel more familiar with some one before engaging in discussions or spilling out elements about yourself that otherwise may be deemed confidential.

For the purpose of business, it is said that without meeting new people marketing becomes impossible whether physically or virtually. You can never get enough marketing opportunities; they will always be there.

How well you capitalize on theses

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opportunities is what makes the difference. You may be a professional representing your organization or an entrepreneur representing yourself, image really is everything and perception truly is reality. This is not the time to think, act, or be casual about the people you are with. You must put your best foot forward. Cultivate new relationships, build on your network of acquaintances and boost your confidence while conversing with others.

I used to be quite shy at gatherings, I did not recognize the importance of networking, conversing or exchanging the business cards. Being present alone is not good enough, it is the aftermath that counts. Once I had boosted my confidence, I was able to enjoy the company of others, proudly share my thoughts, experiences and services I had to offer. I can say that today I have a network of friends and colleagues that stems from all works of life. If you are around the same faces constantly then you are not growing, it is time for a change.

Mingling Skills in a Nutshell i. Have a positive attitude once you walk in ii. Purpose to appear and be respectful and courteous

iii. Look approachable, wear a smile iv. Know your strengths and watch out for your weaknesses

v. Behave in a commendable manner that is positive vi. Be aware of your body language as it speaks volumes vii. Purposely connect with those around you viii. Start slow and steady, keep your pace ix. Present your genuine interests and create chemistry in an authentic manner x. Be confident with what you say or do xi. Purpose to make an acquaintance, connection, contact or friend.

Mingling Mistakes to Avoid a. Talk Talkative If you find you are the only one talking all the time and you are not taking a break to listen to anyone else, you may have crossed the line. You may even come across as a nuisance without knowing or being told. Avoid being too talkative communication is both ways, if you are not careful you may just get that tendency to brag unconsciously. Great communication requires 20% talking and 80% listening. b. Over Friendliness In a bid to make your mingling experience successful you may also come across and being too friendly, too inquisitive, or trying too much to fit in. Be careful with the questions asked not to get too personal.

Be mindful of how you hug onto one person for too long, the name of the game is to meet as many as you can. From 15 minutes begin to move around where you are comfortable and mix more with others. Getting to friendly may send wrong messages or the wrong signals, know when it is enough to move on. c. Sticking Out Wrong Attire Ignoring what the event is all about without factoring the type of guests that wil be present means you

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I used to be quite shy at gatherings, I did not recognize the importance of networking, conversing or exchanging the business cards

did not prepare for that event. It may be a formal gathering that requires you promoting yourself in a formal way, these must be considered. Your first impression at first sight will go a long way towards determining connections with others. People will trust what they see. Avoid sticking out like a sore thumb by dressing appropriately for events. Dress the way you would like to be addressed. d. Ruder Than Rude Your character is typically on the line at networking gatherings, you may come across again as being rude without knowing it. Empathy and sensitivity to others is a key skill in mingling with ease. Avoid talking down on wait staff, or even being that fashionista latecomer, or talkative woth you mouth full. Everything communicates and creates opportunities for you to be judged. Be aware that you are always being watched both consciously and unconsciously at these events. e. Business Card Spree It is a mistake not to take your business card along with you at such gatherings. It is also a mistake assuming that everyone must get your card.

If a person has not connected with your chances are that your card may not be important. It will be dropped somewhere and may never be seen again unless needed if you are lucky.

Make your mingling experience worthwhile, exchange business cards mutually not one way. Remember the person behind the card and follow up where need be.

Be present, be purposeful, be polite, and positive when you embark on your next mingling opportunity.

Wishing you the best Janet.adetu@jsketiquetteconsortium.com @janetadetu @jsketiquetteconsortium @peakperformancecoach www.jsketiquetteconsortium.com

‘Duty is the death of love’ – Game of Thrones Season 8, Episode 6 review

Linda Ochugbua

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Stv’ s favourite drama opens up to the final episode in dramatic fashion, as only the Game of Thrones franchise can, with some startling imagery as Tyrion Lannister and Jon Snow wander, almost aimlessly, through the ruins of King’s Landing, surrounded by piles of rubble and burnt corpses.

It is at this point that we realise the true devastation of what Daenerys Targaryen has done as if it was not highlighted enough in the previous episode just how mad the ‘Queen of Dragons’ had gone when she burnt innocent children, women and men.

Pain and sadness are evident on both the face of Tyrion and Jon as they try to internally rationalize what has occurred before the two operate. Tyrion off to the Red Keep dungeons where he finds the bodies of his brother and sister, Cersei and Jaime, crushed by the collapsing castle, and much like the building imploding so does Tyrion’s faith in his Queen as he weeps for his siblings.

Jon goes in search of Daenerys and encounters Grey Worm, the leader of the Unsullied, as he looks to execute the surviving Lannister soldiers to which he objects but is met with confrontation.

Grey Worm says he is acting on the orders of his Queen, and it is at this point that we start to think Daenerys is beyond saving.

Any hope of Daenerys changing her ‘mad’ ways was completely destroyed in the next scene in which the Queen addresses her troops in three languages (Valyrian, Dothraki, and English) as she lays out her ultimate goal – conquering the entire world and giving people freedom at the end of a spear.

The Dothraki and Unsullied are clearly enchanted by the idea, and it is this speech that signals the beginning of the end for Daenerys as both Tyrion and Jon watch on in amazement. At this point, the Queen is one of the most dangerous people in the world, an idealist with the power to make her ideas into reality, and King’s Landing is only the first step in her plan to ‘break the wheel’ and kill anyone who gets in the way.

Following the address Tyrion relinquishes his role as the ‘Hand of the Queen’ in dramatic fashion by tossing his badge down a flight of steps, further signalling how far Daenerys has fallen. Tyrion is immediately seized by the unsullied and taken away for treason, for the freeing of his brother in the previous episode which the Queen saw as a betrayal.

Jon then goes to visit Tyrion in his cell which set-ups one of the most important conversations in the Game of Thrones series where the two debate the ethics of what Daenerys is trying to achieve by ‘breaking the wheel’ and freeing the oppressed.

It is this exchange of words that Tyrion convinces Jon that what the Queen is doing is wrong and that he is the only one who has the power to change it. But Jon, being the noblest man in the series and truly in love with Daenerys, battles with

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the decision and highlights his commitment to his Queen by saying ‘Love is the death of duty’, to which Tyrion responded ‘Sometimes duty is the death of love’.

Jon then finds Daenerys in the Red Keep, where she stands in front of the Iron Throne, and it is at this point that he tries to give her one more chance to explain her actions and redeem them.

Jon pleads with the Queen to pardon Tyrion as they try to build a world of mercy and not violence, but she refuses and is adamant she knows what is best, even if it is killing thousands to free a nation.

Daenerys is then betrayed by one of the few honourable people in her circle, the one person who she no doubt felt would never actually betray his Queen, at the cost of his own honour. ‘You are my queen, now and forever’, Jon whispers into her ear as he embraces her and stabs her in the heart.

Like the man who raised him, Ned Stark, Jon sacrifices his personal honour to keep his word, not to Tyrion or Daenerys or the Starks, but to the Realm itself. Even when it’s at great personal cost,

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even when he hates it, Jon does his duty.

The death of the Queen awakens her dragon, Drogon, who flies to her side and mourns by burning the Iron Throne, lashing out at the thing that cost Daenerys her life in the end.

Skip forwards a couple of weeks, revealing that both Tyrion and Jon have been kept prisoner.

Tyrion is led to King’s Landing’s Dragonpit

by Grey Worm where he addresses a gathering of Westeros’ great lords (Bran, Arya and Sansa Stark, Samwell Tarly, Robin Arryn, Yohn Royce of the Vale, Ser Davos Seaworth, Ser Brienne, Ser Edmure Tully and a few more).

It is here where Grey Worm demands justice for the death of his Queen, but end up anointing ‘Brandon the Broken, Lord of the Six Kingdoms and Protector of the Realm’ as the new king.

Bran can have no children, and so his Rule cannot be passed down. Tyrion tells Grey Worm that this is the ‘wheel-breaker’ that their Queen would have wanted.

Bran then makes Tyrion his new Hand and sends Jon once more to The Wall as justice for the death of the Queen where he cannot marry. With the absence of Wildlings and White Walkers, the Night’s Watch is now a home for ‘bastards and broken men’.

In the end, people feel like they’re in the place they’re supposed to be in a way that seems fairly well earned.

Jon returns to The Wall where we see him go beyond to supposedly live with the wildlings where he found his first love. Arya travels the world discovering new lands and Sansa rules the North.

Linda Ochugbua @lindaochugbua

@Businessdayng

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Friday 24 May 2019

BUSINESS DAY

Sports Premier League clubs net £4.2bn from broadcasting deals clubs that make up the Premier League, as the value of domestic rights deals are falling.

In February, Sky and BT secured the majority of the domestic screening rights for games held between 2019 and 2022, paying a combined £4.46bn — significantly less than the £5.4bn achieved in the previous auction.

However, people close to the deals said that after Amazon and other media groups also acquired television and radio rights for the Premier League, the final figure for domestic rights came to £5bn.

Premier League clubs have taken all four finalist spots in European competitions this season, with Tottenham Hotspur facing Liverpool FC in the Champions League final and Arsenal playing Chelsea in the Europa League final.

“The key thing about the Premier League is that you don’t know what’s going to happen.

There is unscripted drama and a title race that goes to the wire: that’s what drives value,” said Masters.

Stories by Anthony Nlebem

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he Premier League’s windfall from international broadcast deals will rise 30 per cent in the next three seasons, increasing the spending power of England’s top football clubs by £1bn.

The top division in English football will net £4.2bn from the sale of international rights for the next three seasons to 2022, compared with £3.2bn for the three preceding years. Richard Masters, the interim chief executive of the Premier League, speaking at the FT Business of Football summit, made the announcement.

The boost from international broadcast revenues “allows the clubs to invest in their squads, and ensures another three years of competitive football,” Masters said.

The increase will come as a relief to the 20

Teams jostle for honors at Access Bank/ UNICEF Charity Shield Polo tournament

Money will be no hindrance in Chukwu’s treatment, says Otedola

…. As Access Bank deepens commitment in education with 60 classroom blocks

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ighteen highly rated polo teams from across the country are gearing up for Africa’s premium polo extravaganza as the annual Access Bank-UNICEF Charity Shield Polo tournament gallops-off at the Fifth Chukker Lawns of Kangimi Resort in Kaduna from Monday June 6 to Sunday to June 15, 2019.

Executive Director, Retail Banking, Access Bank Plc, Victor Etuokwu, disclosed this in Lagos at a press briefing heralding the 2019 edition of the international tournament.

Teams comprising regulars, arch rivals and a handful of ambitious new comers would jostle for honours in three broad cup categories with the high stake Charity Shield leading the pack that include the glittering Access Bank Cup, newly introduced Usman Dantata Cup, and crowded UNICEF Cup respectively.

The first stage of the annual tournament will pitch 14 teams jostling for the UNICEF and the Usman Dantata Cup respectively, while the second stage promises to be a thrilling experience as six fully armed teams loaded with foreign professionals do battle for Access Bank Cup and the event’s biggest prize, Charity Shield.

Etuokwu said the bank will continue to maintain its yearly commitment in supporting UNICEF towards its projects for orphans and vulnerable children.

He pointed out that Access Bank and Fifth Chukker had over the years been supporting UNICEF and empowering people in Maraban

Jos community and its environs in Kaduna in a pivotal commitment that has continually been lauded by the public. ”The partners are delighted that the Access Bank UNICEF Charity Shield is archiving its main objective of reaching out to the less privileged children in the society.”

“This year’s tournament is more than an affirmation of our commitment to socioeconomic wellbeing of mankind and acknowledgement of the impact the initiative has had on the lives of the orphaned and vulnerable children in northern Nigeria especially in Kaduna state,” he emphasized.

Also, Access Bank Plc, and its partners, has taken their commitment to UNICEF Charity polo fund raising platform to a new level, with the construction of fully equipped sixty classroom blocks in Kaduna State.

Etuokwu stated that project that would berth a new education system in Kaduna, was a contribution by the bank alongside the partners, Fifth Chukker Polo & Country Club, and well meaning individuals to the sustenance of the charity platform.

Etuokwu also noted that the project which is currently seventy percent complete, will on completion admits a record 12,600 orphans and less privilege children across rural communities in the state, on a two shift system of morning and evening seasons, who would have the opportunity of studying with the best of international facilities that would be comparable to the bests in the world.

L-R: Amaechi Okobi, Group Head, Corporate Communications, Access Bank Plc; Victor Etuokwu, Executive Director, Retail Banking, Access Bank, and Barbara Zing, General Manager, Academy, Fifth Chukker, at a press conference to announce 2019 Access Bank Fifth Chukker UNICEF Charity Shield Polo Tournament in Lagos recently. www.businessday.ng

usiness mogul, Femi Otedola on Tuesday assured that money will be no impediment in the way of providing former Nigeria captain Christian Chukwu with adequate medical and postmedical care.

The Chairman of Forte Oil, who had earlier made a contribution of $50,000 to the medicare of the 1980 Africa Cup of Nations –winning team captain and former Super Eagles’ coach, made this statement when he paid Chukwu a visit at the Wellington Hospital, Circus Road, St. John’s Woods in London.

“I want to thank you for your effort regarding the medical attention to our beloved ‘Chairman’.

Please continue to do your best. I want to say here and now, and for the avoidance of doubt, that money will not be an impediment to his treatment.”

Also present during the visit were President of the Nigeria Football Federation, Amaju Melvin Pinnick and ‘Chairman’ Chukwu’s wife, Lilian Nkeiruka.

Dr. Leye Ajayi, a renowned urologist who

was also consultant to Otedola’s late father, Sir Michael Otedola, as well as Dr. Katherine Piggott (an uncologist) and Dr. Evadney Keith (a cardiologist) are the medical crew taking care of Christian Chukwu, who also coached the Super Eagles between 2002-2005.

Sports fans in for exciting bonus with launch of Bettabet

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ports’ betting in the country is on an upward drive to redefinition with the launch of Bettabet.ng, an online betting site with exciting offerings for fans.

Bettabet.ng, a sports betting website created and operated by International Lottery and Gaming Limited, owners of Naija Lottery, draws upon best practices from leading European bet markets. Driven by top-notch safety systems, Bettabet.ng ensures reliability and security for sports fans on all betting transactions.

Managing Director International Lottery and Gaming Limited, Manolis Lambrakis said the birth of Bettabet.ng reflects ingenuities from the frontline gaming firm.

“The desire of the company was not just to establish a sports betting platform but also to provide job opportunities for Nigerians. Addressing unemployment among Nigerian youths is the core philosophy behind the establishment of the company. “We are not in the market to receive money from our customers alone, our desire is to provide social, economic and financial upliftment to youths and help the government reduce unemployment across the country”, he noted.

Bettabet.ng is a product of years of research into the yearning of sports betting fans in Nigeria.

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Speaking further on delivering value to betting fans, Lambrakis said: “Aside the popular Champions and Europa Leagues and other football leagues that commands tremendous followership among Nigerians, our research indicated that sports such as baseball, ice hockey, water polo, snooker, cricket, Aussie Rules, Futsal, floorball and darts, that are not traditionally accepted in this part of the world are attracting the attention of sport betting fans, hence our desire to offer fans the chance to make a living from betting on them.|” Lambrakis also disclosed that the firm has acquired all necessary documents from regulatory authorities.

On Bettabet.ng payment system, Marketing Director. Mike Ogor affirmed that the site’s mobile payment structure is reliable and ranks top in the betting industry. He allayed any fear of electronic fraud as he explained that the betting firm has put in place world class equipment.

Ogor added that Bettabet.ng is partnering with leading payment solutions providers in Nigeria for fast digital payment once a player wins.

“Just as International Lottery and Gaming Limited was the first to introduce blockchain lottery into the gaming industry in Nigeria last year, Bettabet.ng is out with another first.

@Businessdayng

Friday 24 May 2019

BUSINESS DAY

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Friday 24 May 2019

BUSINESS DAY

cityfile Police launch ‘Operation Puff Adder’ in Bayelsa Samuel Ese, Yenagoa

T Joint Aviation Unions led by the National Union of Air Transport Employees (NUATE) during the picketing of Nigerian Civil Aviation Authority (NCAA) office at Nnamdi Azikiwe International Airport, Abuja on Wednesday.

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Oil pollution: Stakeholders insist on health audit of N/ Delta communities Samuel Ese, Yenagoa

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takeholders including civil society organisations have called for a health audit across communities in the Niger Delta region, following the continued pollution of the oil rich environment.

The stakeholders made the call, as the Bayelsa State Oil and Environmental Commission (BSOEC) began public sitting, Tuesday, in Yenagoa, to receive input from individuals, communities and concerned organisations.

This latest move is seen

as part of the efforts by the state government to address issues relating to environmental degradation over the decades caused by crude oil exploration and exploitation in the region.

At the roundtable organised by BSOEC, the stakeholders noted that over the years, oil bearing communities have been complaining of water borne diseases like cholera and asthma among others.

They alleged that the health challenges are a direct result of the operations of multinational oil companies operating in Bayelsa and the entire

Niger Delta region.

Elizabeth Egbe, the coordinator of Global Care Rescue Mission, argued that conducting a health audit in the Niger Delta environment would go a long way in detecting and finding a solution to the health challenges faced by communities impacted by oil spillage and air pollution.

Egbe further argued that the effect of the health challenges on the people has impoverished them.

Anie dim Ozow e de, president of Ogbia Women Assembly, on her part, expressed worry over continued environmental pol-

lution in the region and urged the commission to deepen its findings especially in assessing the level of damage in coastal communities.

John Sentamu, chairman of BSOEC, assured the victims of environmental degradation in the state that the commission would not rest until justice was done.

Governor Seriake Dickson had set up a 15-member commission to investigate and draw international attention to the negative impacts of crude oil exploration and exploitation in the state over the years.

Sea pirates threaten large scale fishing in A’ Ibom ANIEFIOK UDONQUAK, Uyo

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arge scale fishing in coastal communities in Akwa Ibom State, including Itu local government area has come under threat following incessant attacks on fishermen by sea pirates.

Many of the fishermen have reportedly lost their fishing nets and boats, with a number of others said to have gone missing.

Itu local government area is known for a thriving catfish industry that attracts traders from within and outside Akwa Ibom.

Traders at Akpan Andem market in Uyo metropolis, who spoke with BusinessDay attributed the high cost of catfish to recurring attacks on the high sea, saying the fishermen had lost their fishing equipment including boats and nets.

It was gathered that the attacks were also fueled by the renewed boundary skirmishes between the people of Oku Iboku in Itu local government area of Akwa Ibom State and the people of Ikot Offiong in Odukpani local government area of Cross River State.

Last year, many houses www.businessday.ng

were burnt in the boundary community following the escalation of the crisis with many people reported missing.

It was further learnt that the attacks were carried out by gunmen using speed boats while many people in the affected communities have fled their homes.

Etetim Onuk, chairman of Itu local government area, who visited Ikot Adakpan, a community in Oku Iboku, Itu local government area expressed shock at the level of destruction by the gunmen.

Daniel Archibong, a

community leader, who also confirmed the development, appealed to both the state and federal government to deploy more security personnel in area to check by the attacks by the sea pirates and the gunmen.

Also confirming the incident, Odiko Macdon, spokesperson of the police command in Akwa Ibom, said preliminary investigation on the incident has started suggesting that “pro-active measures by politicians and security agencies should be found to ensure a lasting peace in the area.”

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he police in Bayelsa State have launched ‘Operation Puff Adder’, an initiative of the Inspector General of Police, Muhammed Adamu, to tackle crimes across the country.

Launching the operation in Yenagoa, the state capital, the Commissioner of Police, Bayelsa command, Uche Anozie told journalists that “we have developed strategies to ensure that by means of these instruments, we’ll be able to deal with high profile crimes such as banditry, armed robbery, and kidnapping among others.”

Anozie assured that the 170 operatives would ensure that Bayelsans went about their lawful businesses unmolested while also warning criminals to either relocate from the state or quit crime.

“I enjoin criminals in Bayelsa to disengage or relocate outside the state.”

He disclosed that the unique features of the “Operation Puff Adder” were inbuilt workable strategies and synergy with neigh-

bouring state commands, as crime has no boundary.

“I will not be here to reveal to you our various strategies because that will mean selling ourselves to the criminals. Giving the fact that crime has no boundary, we are in synergy with all neighbouring commands to ensure that we deal with crime in our commands.”

Anozie revealed that the state command has arrested 25 suspects for various offences such as kidnapping, armed robbery and cultism.

He said arms and ammunition including seven revolver pistols, 28 single barreled pistols and four double barreled guns, all locally made as well as two AK47 fabricated rifles and one Beretta pistol, 23 .9mm live ammunition, 50 live AA cartridges and 48 7.62mm live ammunition were recovered.

Highlight of the launch was the demonstrations by the operatives of ‘Operation Puff Adder’ on handling of explosive devices, use of Armoured Personnel Carrier (APC) and other drills.

Abia to recruit 187 persons to protect schools UDOKA AGWU, Umuahia

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o protect educational facilities in the 17 local government areas of Abia, the state and the local authorities have agreed to recruit 870 able bodied men into Abia State Vigilante Services.

John Okiyi Kalu, commissioner for information and strategy, who stated this while briefing newsmen in Umuahia on the outcome of the last executive council meeting, also revealed that the exco has directed the expedition of procurement process for new Innoson brand security patrol vehicles with all the communication gadgets for security @Businessdayng

agencies, just as he called on the agencies to improve on their patrol and other activities to deal with post-election security challenges.

Kalu hinted that nine of such security vehicles have been procured already while government would take delivery of others, soon.

The commissioner noted that hoodlums have not only converted secondary/ primary schools to abode for consumption of hard drugs but also vandalised equipment in them.

He stated that the government has resolved to protect the facilities hence the decision to recruit 870 persons into the Abia State Vigilante Services.

Friday 24 May 2019

BUSINESS DAY

31

POLITICS & POLICY 2023: Bode George attacks Tinubu, says presidential ambition dead on arrival Iniobong Iwok

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ode George, a former national vicechairman of the main opposition the People’s Democratic Party (PDP), has said that the alleged plan by Bola Ahmed Tinubu to succeed President Muhammadu Buhari in 2023 would fail.

George stated this Thursday during a media session with journalists in his office in Lagos State.

There hasve been recent reports in the media that Tinubu, who is a national leader of the APC, was eyeing the nation’s top job in 2023 when the position is expected to be zoned to the South.

Tinubu has however, denied such reports on several occasions.

But George, who is a leader of the PDP in Lagos State, warned that such move was not in the interest of the nation, even when President Muhammadu Buhari has not been sworn into office for second term and was capable of derailing the country.

According to him, “This is a cheap talk, silly inordinate ambition; this is what is driving our country in the gutter; is it because he got it easy here in Lagos State?

We should pray for such individual, what he has tried in Lagos State let him go to Ogun State and try it.

“He went to Osun and said you people don’t have

Bode George

my money; such talk is ignorantly arrogant”, George said.

The PDP further be-

Atiku demands minister’s arrest over alleged campaign of calumny Innocent Odoh, Abuja

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residential candidate of the People’s Democratic Party (PDP) and former Vice President Atiku Abubakar has demanded the arrest of Minister of Information and Culture, Lai Mohammed over what he claimed is a campaign of falsehood against his personality by the Minister, who allegedly made unscrupulous claims without evidence.

Atiku said that the Minister has liaised with anti-democratic elements to contrive skirmishes in the coming weeks aimed at smearing his personality.

Media Adviser to the former Vice President, Paul Ibe in a press statement on Thursday said that it was becoming revealing the grand plot being orchestrated by some agents of evil to stage-manage pockets of upset targeted at attacking the reputation of Atiku.

According to the state-

ment, “We wish to blow the whistle as an early warning alert of the grandiose scheme being put together by some unscrupulous elements aimed at jeopardising the reputation of His Excellency Atiku Abubakar in the coming days and weeks.

“By the merit of what is beginning to unfold, there are plans to create some upset across the country whereby alleged perpetrators of such crimes will engage in phantom names dropping of Atiku Abubakar and some senior personalities in the Peoples Democratic Party.

“Already, we are abreast of some other plans to plant fictitious stories in some mushroom media outlets aimed at discrediting Atiku and his political party, the PDP. “It therefore becomes preponderant that we alert the public of this demonic plan and to say that it will be imprudent to compromise the peace and security of Nigerians in order to score a cheap

political goal.

“Towards this end, and for the umpteenth time, we call on the federal government to be awake to its responsibilities of providing security and ensuring peace, and to desist from actions and utterances that are capable of exposing our fault lines.

“It is very unsettling that senior administration officials, especially those who are the mouthpiece of government will make reckless but calculated comments to tarnish the image of Atiku Abubakar and government will sit idly on it.

“With the conclusion reached by Premium Times’ investigative reporting that there is no evidentiary prove to back the claim by Lai Mohammed that the opposition was planning to upstage the government, we demand that the information minister should be arrested for raising false alarm and an apology rendered to Atiku Abubakar and the PDP.

moaned the state of the country twenty years after returning to democratic rule,

warning that the current problem bedeviling the nation may worsen without the practice of true federalism.

He canvassed for the diversification of the nation’s economy, stressing that the current practice of depending on crude oil as a source of revenue was becoming unreliable.

“Nigeria is in a precarious situation now, until we go back to true federalism where the management of the country would be from bottom to top, the states will control their resources, we should not expect anything good from Nigeria.

“This nation is without ethical leadership, without honour, without credible vision, lacking in purposeful

articulation.

“The scourge of nepotism, the poisonous bile of tribal triumphalism, the hate-infested curse of provincial fixities are now gaining grounds everywhere, defining the thematic aberrations of our times.”

“Let us be truthful and frank: our nation is embattled, scourged and savaged by the virtual selfishness of our collective elite,” he added.

According to him, “Part of the benefit of restructuring that we are canvassing for is for states to tap into their resources; so that we can move away from oil, they are going to stop the production of crude oil engine by 2040; what are we going to do?”

Oyo joint transition committee lines up 8-day activities REMI FEYISIPO, Ibadan

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he joint-transition committee set up to ensure smooth transition in Oyo State from the incumbent Governor Abiola Ajimobi to the Governor-elect, Seyi Makinde has lined up eightday activities ahead of the May 29 hand over.

The Chairman of the committee, Olalekan Alli, on Thursday in Ibadan announced the activities at a news conference.

He said that the series of activities, which began with the news conference, would end with a church thanksgiving service, on Sunday, June 2.

Alli, who is also the Secretary to the State Government, said that the activities were lined up to make the event memorable; promising that adequate security of lives and property has been made.

He said: “Prayers will be held at all mosques in the

state for a peaceful transition on Friday, May 24 while same would be held in all churches across the state, on Sunday, May 26.

“There will be a state broadcast by the outgoing governor by 6pm on Tuesday, May 28 followed by a send-off dinner at the Government House, Agodi, by 6.30pm same day.

“There will be an interfaith service on Thursday, May 30 at the governor’s office premises. There is going to be special Jumat service and thanksgiving service on Friday, May 31 and June 2 respectively.’’

Alli added that the swearing-in ceremony of Makinde would hold at the Obafemi Awolowo Stadium, Oke Ado, on Wednesday, May 29 by 10am, while a public reception will follow immediately.

He also said that the handing-over ceremony would hold at the Executive Council Chambers of the Governor’s Office on May 29, while a dinner party for the new governor would hold

at the International Conference Centre, University of Ibadan.

Assuring the incoming government of a smooth takeover, he said that all ministries, departments and agencies have responded to an earlier circular issued by committee requesting them to submit up-to-date situation report including assets and liabilities in their custody.

The committee chairman said that the collated reports would serve as annexure to the handing over note to be presented to the incoming governor.

He appealed to the public on behalf of the state government, incoming government and people to observe peace and be law abiding.

Alli added, “In the last eight years, the pride of the outgoing administration is peace, safety and security.

Let me emphasis that nothing will be left undone to ensure that security of lives as well as property is sustained and consolidated.”

Delta North Senatorial tussle: Appeal Court reserves judgment on Nwaoboshi’s appeal Felix Omohomhion, Abuja

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three-man panel of Justices of the appeal court headed by Justice Adamu Jauro, has reserved judgment on two separate appeals filed

by Senator Peter Nwaoboshi and the People’s Democratic Party (PDP) challenging the decision of the Federal High Court, Abuja that nullified

Nwaoboshi’s election.

Justice Jauro, who reserved the judgment, however, said that the appellate court will deliver its judgment not later than June 3, before the expiration of the statutory 60 days for the hearing of the appeal.

Senator Nwaoboshi, representing Delta North Senatorial district, who also won the February 28 senatorial district election, is asking the appellate court to reverse the lower court www.businessday.ng

decision delivered by Justice Ahmed Mohammed and to restate his victory as senatorelect of the senatorial district.

At the hearing of the appeal, Anthony Idigbe (SAN), counsel to the appellant after adopting his brief of argument, urged the appellate court to uphold the appeal and restate senator Nwaoboshi as the senatorelect for Delta North Senatorial district.

He said that two issues are

involved in the appeal. First, is whether the case as filed by Hon. Ned Nwoko at the Federal High Court was a pre- election matter and statute barred at the time it was filed.

The appellant lawyer asked the court to consider the reliefs which were sought by the respondent- seeking a declaration that he won the PDP primary election which was not granted by the lower court.

He further urged the appel-

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late court to look at (exhibit 1) the result sheet of the primary election that was tendered by both the appellant and Nwoko at lower court and would find the date the primary took place. He maintained that the suit being a pre election matter was first filed at Federal Capital Territory High Court after the 14 days allowed by law had elapsed.

On the second issue, Idigbe (SAN) urged the appellate court to hold that respondent @Businessdayng

(Nwoko) had the burden to show that the processes he filed at the lower court were served on the appellant.

He said that till date, the respondent never serve them with the Court processes, that the appellant only became aware of the suit from the media. Besides, he added that the 1st respondent (Nwoko) did not appeal the lower court refusal to declare him winner of the primary election.

Friday 24 May 2019

BUSINESS DAY

32

CULINARY DELIGHTS

L

La Taverna: bringing you a taste of Latin American cuisine to Lagos

a Taverna is a Chilean, Italian and Spanish inspired restaurant located in Victoria Island on a secluded street called Balarabe Musa Crescent.

Chef Cristian Duhalde Diaz, head chef, and owner of the restaurant has 23 years of cooking

eat it. O’tega opted for the seafood pasta. My first time at La Taverna I found that the service was good, the sous chef made recommendations on what to eat, which I appreciated. We came on a Tuesday which was rather quiet, but perfect for a dinner Conversation.

Here is what O’tega has to say about his

don’t taste good and are overly thick. Here is Chinonso’s take “ I love the ambiance, it’s very cozy and homey. I appreciated the Clean creative plating and food presentation. The food tasted as good as it looked. We had continental/ Foreign meals which i enjoyed because it tasted continental yet warmly spiced to satisfy my

@lehlelalumiere Lehle works at BusinessDay in Strategy Innovation and Partnerships, she is also a financial inclusion advocate and radio anchor.

Originally from Senegal Lehle has a passion for food and culinary experiences and enjoys discovering new restaurants in Lagos.

O’TEGA OGRA Group Head Corporate Communications BUA Group

experience across several countries including Italy, Spain, South Africa, and Chile. The restaurant recently celebrated 6 years of operation and in Lagos that is quite a milestone, considering the turnaround of restaurants in the city.

The name La Taverna means Cave in Spanish so I wasn’t quite sure what to expect. Interestingly enough, when I ask my friends what their favorite restaurant in Lagos is, 4 times out of 10 the answer is La Taverna, therefore I was curious to find out why. The first time I went to La Taverna was with my friend O’tega Ogra, who works at BUA group. Ote considers La Taverna as his favorite restaurant in town, so I was excited to check it out.

The outside aesthetic of the restaurant is simple, which intrigued me to see what was on the inside. The interior has a very homely feel to it and as soon as I walked in, I understood why so many people I know say it is their favorite place to eat. I’m learning that most diners seek a wonderful, stress-free culinary experience but also want to feel comfortable and at home and that is exactly what La Taverna provides.

La Taverna has a plethora of menu options ranging from authentic Italian Pizza to all the different kinds of pasta you can imagine: Fettuccine, Alfredo, Penne.. the list goes on.

There is also a good variety of meat, seafood and poultry bases dishes. I had a hard time picking what to eat but opted for the chicken Milanese which was very tasty and equally pleasing on the eye. The decoration of my meal was so beautiful, I almost didn’t want to

Photo credit to Wale Kadiri

experience: “ First time trying the seafood pasta at La Taverna and it didn’t disappoint. The pasta was cooked to perfection. The sauce was light, well balanced and the flavors weren’t overwhelming - just how I like it. Large portion but great service as always.”

Interestingly enough, I came back to La Taverna the following week with my friend Chinonso Arubayi, who is a media personality and the founder of Look Art Me which is a cosmetic brand that women around Nigeria are starting to love. I came back because I enjoyed my first experience so much that I wanted to explore what else was on the menu. The food at a Taverna is carefully and tastefully made.

Each bite excites ones taste buds and the food is very well marinated with the right amount of spices. Chinonso and I opted for a chicken pizza which in my opinion is the best pizza in Lagos because it it is traditionally made. Too many fast food restaurants have ruined my pizza experiences, as they often sell commercial pizzas that

acquired taste for spicy food”.

This time around Chef Diaz was around and he took some time to tell us some heartwarming stories about his move to Nigeria 6 years ago and his passion for food and hospitality.

He now calls Nigeria home and is not going anywhere any time soon. He moved to Nigeria 6 years ago, opened the restaurant and has fallen in love with Nigeria. It was great to see the passion he exuded as he described the various dishes. The recipes at La Taverna each have a special story, some ingredients are from Chile, some from Italy and others are locally sourced. He kept going to each table to ensure everyone was fine and took time to chat with the guests, which is something I don’t see too often. For some restaurant owners, it’s a business but for Chef Diaz, it’s a lifestyle and it is evident.

La Taverna has both indoor and outdoor seating areas, its popular amongst both local and expatriate communities and often organizes weekly themed nights. The restaurant’s popular pizza meal deal is on every Wednesday and Sunday. On Thursdays, it’s ladies night at La Taverna! The ambiance is calm yet exciting.

The service is good, the servers are efficient and friendly and the food came out in no time.

They also have a large variety of drink options for those interested.

I definitely will be making La Taverna a regular on my list of go-to places and I am glad to have discovered this restaurant. If you get the chance check out La Taverna, let us know about your experience.

CHINONSO ARUBAYI Media personality and entrepreneur

RATING 5 Chicken Milanese N5500 Seafood Pasta N5500 Pizza N4500 Penne Pasta N5500 Calamari Ajillo N4000 Total for both visits N 24 000

Contact: Follow us on Instagram @bdculinarydelights

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

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@Businessdayng

Friday 24 May 2019

BUSINESS DAY

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34

Friday 24 May 2019

BUSINESS DAY

news Harsh economy, sluggish growth shut...

Continued from page 1

Model, among others.

“The harsh economic envi-

ronmentcouldbeamajorfactor leading to the discontinuation of these reality TV shows,” said Bolaji Abimbola, CEO of Indigo, a Lagos-based marketing communication consultancy.

Reality TV shows are supposedtodelivervaluetothecompanies sponsoring them, Abimbola said, but this has not been the case for most companies as such programmes contribute to ballooningexpenseswithlittleor no return on every kobo spent.

“The programmes may seem popular but if they are not impacting the organisation’s bottom-line, naturally the companies will cease to sponsor them,” he noted.

Companies in Africa’s biggest oil producer suffered greatly from a recession that occurred in 2016 owing to a global collapse in oil prices.

The fall in the oil prices caused

a huge dollar shortage for the oil-dependent nation which gets 90 percent of its foreign earnings from oil.

The dollar shortage caused the Central Bank of Nigeria (CBN) to devalue the naira, which dealt a deeper blow to most manufacturing companies and sponsors of these reality TV shows since most of their raw materials and machinery are sourced abroad. The situation seems to have worsened for most companies, especially given the high inflation environment that has eaten deep into consumers’ purse.

Data from the National Bureau of Statistics (NBS) on goods and services produced calculated using the Income and Expenditure approach at 2010 purchaser’s values show that consumption expenditure of households has been declining at varying degrees since it rose by 1.5 percent in 2015. This has a far-reaching

implication for these companies since the money needed (money spent on these shows is recouped from sales) to sponsor these shows depends on their sales on products.

Final consumption of households has declined by 8 percent from N43.1 trillion in 2014 to N39.66 trillion in 2018.

Although the figures provided for 2018 by the state-funded data agency were limited to Q2 2018, BusinessDay arrived at a full-year estimated on an annualised basis.

On a year-on-year basis, the household spending rose 1.45 percent to N43.7 trillion in 2015 but as Nigeria entered its first recession in more than two decades, household spending fell 5.74 percent to N41 trillion in 2016. While the rate of decline slowed in 2017 as households spent N40.78 trillion, the estimates for 2018 suggest a plunge up to 2.75 percent.

Prior to 2015, Nigerians enjoyed the thrilling moments emanating from these

shows. Similarly many artistes rose to stardom through the TV shows. Notable artistes like Dare Art Alade, Iyanya, Omawunmi, Uti Nwachukwu, among others, earned their way to fame through such programmes as they leveraged the platforms to launch themselves into the limelight.

But companies have in the last few years become extremely cautious in marketing spend and sponsorships as Nigeria’s economy continues to witness slow growth, resulting in dwindling consumer spend and decreasing companies’ turnover and profit.

Abimbola said marketing strategy is not cast in stone, adding that if organisations don’t realise their objectives in a particular programme, which include engagement with the consumers, they would like to discontinue with such programme instead of being wasteful with funds they could apply somewhere else.

AkonteEkine,CEO,Absolute

PR, while agreeing that the harsh economicenvironmenthasdealt a blow to companies, said from a businessstrategyperspective,itis also a function of market insight on consumer behaviour.

“It is important to note that the audience evolution circle is not static and what shapes behaviour changes and media consumption patterns are also evolving. It will therefore not be strange that such decisions to discontinue reality TV shows are taken within the marketing department for the organisation. In addition, we must also understand that the product life cycle is also a factor that shapes marketing programmes and initiatives,” said Ekine, who consults for top brands in Nigeria.

“We can contend with assumptions that economic challenges affected some activities, but it is also the beauty of market and marketing challenges to dissolve and evolve within the ecosystem in order to win the consumers with

strategies that are apt, functional and impactful,” he said.

He said the stoppage of some reality TV shows is a function of new research findings in the market that throws up better opportunities that deliver value at probably relatively lower cost.

Kelechi Nwosu, former president, Association of Advertising Agencies of Nigeria (AAAN), said most companies’ income dropped due to economic hardship and recession which affected them.

Under this scenario, it will be survival first for these organisations before embarking on such marketing programmes.

Nwosu, who is the CEO of TBWA, an integrated marketing communication agency, said perhaps the organisations were not deriving enough value compared to the sponsorship funds. According to him, another reason that could inform the discontinuation of the shows was change in marketing strategy by company managers.

MTN Nigeria gains 2.87% to cross N3trn...

Continued from page 1

cent to close at N149, the

weakest gain recorded by the telecoms firm since it listed on theLagosboursebyintroduction a week earlier. With 20.35 billion shares outstanding as of May 23, MTN’s market value stood at N3.03 trillion at the close of trade.

That brings the telecommunication company’s value N460 billion less than Dangote Cement’s N3.49 trillion after the cement maker gained 0.99 percent to extend its winning streak into the fourth trading session, the longest bullish run achieved by the firm in three months.

DangoteCementclosedatN205 per share, while its year-to-date return stood at 8.07 percent.

At the current prices, MTN Nigeria remains the secondbiggest company on the NSE by market capitalisation after Dangote Cement, on the back of a 65.56 percent or N59 return (N1.2 trillion) posted by

the stock since it commenced trading on the exchange.

DangoteCementaccountsfor 25.20 percent of the total market capitalisation of listed stocks on theNSE,whileMTNNigeriaholds 21.87 percent of the total market.

While MTN Nigeria had recorded significant price gains in the previous five trading sessions, the sluggish pace of growth in its share price at the domestic bourse on Thursday was largely driven by lower demand for the company’s stock.

“Demand has been declining while volume traded has been increasing,” said Gbolahan Ologunro, an analyst at CSL Stockbrokers Limited. “This implies more investors now have the stock in their portfolios.”

The stock had consistently gained the maximum daily price movement allowed under NSE rules between May 16 and May 22. However, with the 2.87 percent increase, “the stock

Irrigation deficit limits local rice...

Continued from page 2

high cost of irrigation in some places, and the absence of it in others, means farmers remain constrained in how much they can cultivate.

In Ebonyi State, famed for its Abakaliki rice, expanses of land traditionally used for rice cultivation were empty when this reporter visited earlier this month. In some rice farms, tubers such as yam and cassava had been planted, with the expectation they would be harvested before the rain starts.

The plan is such that when the rainy season starts, they can go back to farming rice.

However, for some other

farmers, the lands simply remain fallow, as they cannot affordtoirrigate,invariablywaiting for the rains to start. By doing this, the farmers only get to produce rice once a year, whereas they could be producing at least two times, and possibly thrice a year from the same land.

“We lack the capacity to go into irrigation fully because it is capital-intensive,” said Moses Nomeh, commissioner for agriculture and natural resources, Ebonyi State.

He, however, said there were some areas where perennial water is being used for irrigation, but noted it is “at on a very small level”.

In Kebbi State, where irriga-

Apapa: NPA awaits modalities on...

Continued from page 2

the announcement of the 72-hour presidential order, the Apapa congestion and gridlock are shifting to its

neighbourhoods.

Surulere, Festac Town via Mile 2, Ijora, Costain, and so on were almost impassable on Thursday as the trucks www.businessday.ng

L-R: Asue Ighodalo, chairman, Nigerian Economic Summit Group; JK Randle, chairman, JK Randle and Company; ABC Orjiako, chairman, Seplat Petroleum; Udo Okonji, CEO, Fine and Country; Uyi Akpata, country senior partner, PwC; Oscar Onyema, CEO, Nigerian Stock Exchange (NSE), and Ken Igbokwe, former managing partner, PwC, at the PwC’s Family Business Survey Report launch in Lagos, yesterday.

Pic by Pius Okeosisi

has reverted to normal trading pattern”, Ologunro said.

More than 34 million units of MTN Nigeria’s shares valued at N5.24 billion were traded on Thursday. Although these

represent 63.5 percent and 61.4 percent drops from 93.72 million shares worth N13.58 billion that exchanged hands in previous session, they were more than 5.5 million units val-

ued at N549 million transacted on its first trading day.

Meanwhile, Nigeria’s stock market appreciated for the sixth straight day as the benchmark index of the NSE, the All-Share

Index (ASI), increased by 1.07 percent to close at 31,477.51 points, making the market’s return since the start of this year bounce back to the positive territory of 0.15 percent.

tion is more commonly used during the dry season, farmers literally have to pay through their noses to have water supply on the farms. While this method helps them achieve significantly higher yields, which may be up to 40 percent more than rain-fed production, the added cost also means farmers require more working capital, and generally reflects on the cost of rice to consumers.

“The buying of petrol which we use to water our farms is the highest (production) cost,” said Mohammed Suleiman Ambursa, a judge of the Kebbi State High Court who also cultivates rice, in an interview.

“The cost of petrol is challenging for farmers,” corroborated Mohammed Augie,

chairman, Rice Farmers Association of Nigeria (RIFAN), Kebbi chapter.

While Augie says they have been lucky this year to have stability in petrol prices, it hasn’t always been like that.

Inapreviousinterview,Augie explained that petrol is bought everydayandusedtopowerwaterpumpsfor10-12hourstokeep ricefieldswatered,dependingon the size of the farm.

“If this is substituted, it will go a long way in making the cost of production cheaper,” he said.

Twooptionshavebeenidentified in solving the irrigation problem and they are potential investmentsourcesfortheprivate sector. They include provision of reliable solar-powered pumps and massive development and

deploymentofirrigationthrough well-managed dams.

Garuba Dandiga told BusinessDay when he was Kebbi State’s commissioner for agriculture that the state was looking for a cheap and reliable solar scheme that would be affordable for the farmers. This had not changed when this reporter visited the state again recently, with Muhammed Argungu, acting permanent secretary in the ministry of agriculture, expressing the same view.

FromKebbitoEbonyi,many states across Nigeria require providers of solar irrigation systems that will drive agricultural productivity and year-round farming, not just for rice production but even for other crops.

Experts have also expressed

the view that while irrigation through dams is expensive and usually borne by governments across the world, there is room for Nigeria to develop a model for private sector involvement.

Existing but unused dams can be turned over to willing investorswhowillgetthemfunctional and supply water to farmers undera“user-fee”arrangement.

Emmanuel Ijewere, vice president, Nigeria Agribusiness Group (NABG), said companies with experience on dam and irrigation could have a cluster of farmers around them “to whom they provide water at a fee”.

“This will be tied into the cropping of those people, a practice common in Bangladesh and India,” he said.

fleeing Apapa have made every available space in these areas, including the narrow dilapidated roads, their parking bays, denying other road users access to the roads.

The Lagos-Badagry Ex-

pressway, which has become a nightmare since the Lagos State government abandoned its reconstruction mid-way, was totally shut down such that even commercial motorcycles (Okada) were stuck in-

between interminable stretch of trailers and tankers.

“The government ought to have perfected its acts before making this announcement.

They should have waited for the trailer park which was factored

into this presidential order to be completed before giving the ultimatum,” said Innocent Osigwe, who lives in the Badagry axis and works in Surulere.

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•Continues online at www.businessday.ng

Friday 24 May 2019

BUSINESS DAY

35

news School feeding raises enrolment by 20% in 31 states - FG

… Executive bill underway to sustain its social safety programmes HARRISON EDEH, Abuja

F

ederal Government on Thursday said enrolment in school across the country had spiked by 20 percent on the back of the ‎National Home-grown Feeding Enterpriseandempowermentprogramme.

This is coming on the heels of the concern posed by a huge number of out of school children in the country numbering about 10.5 million, The programme is currently operational in 31 states across the country, while the remaining states and the Federal Capital Territory are gearing up to join other states, for an initiative the government said has created an economic structure for structural demands for small holder farmers.

The government also noted that an executive bill is currently underway to ensure sustainability of its social safety programmes, which is focused in four key areas of N-Power,

Conditional Cash Transfers, National Home-Grown School Feeding and GovernmentEnterpriseandEmpowerment Programmes.

Mariam Uwais, senior special assistant to the President on Social Investment, told newsmen on Thursday that the social safety programmes were structured to be impact-oriented, specifically catering to the needs of the poor, vulnerable, unemployed and those at the bottom of the pyramid without access to finance.

“Today, we have 103,992 cooks on our payroll, feeding 9,714,342 pupils in 53,715 government primary schools around 31 States, while all the remaining states are at various stages of meeting the criteria we have laid for feeding to commence. These children are able to eat a balanced diet, towards improving their learning outcomes,” she said.

She said the National HomeGrown School Feeding Programme has been feeding over 9.7 million

pupils, adding: “It is instructive to note that the Federal Government has achieved this feat within the space of 3 years.”

The aim of the programme, she said, was to provide one nutritious, balanced meal for 200 school days in a year, to pupils in classes 1 to 3 in public primary schools to boost enrolment, increase the cognitive function in children and battle malnutrition.

“In the past four years, the programme has helped increase enrolment in primary schools by over 20%, empowered cooks, small holder farmersandcommunitiesasawhole.”

Speaking on the concerns over the safety and hygiene of the food, she explained: “Selected cooks are screened medically and then trained on financial skills, hygiene and nutrition, then thereafter on-boarded into banks. Thereafter, direct payment commences through the validation of the BVN by NIBSS, to their accounts. “

Orient Petroleum, 2 others to upgrade licences or leave Anambra Emmanuel Ndukuba, Awka

T

he Host Communities of Nigeria Producing Oil and Gas (HOSCON), Anambra State chapter, has given three companies operating in the state two weeks to upgrade their licences from oil exploration to oil prospecting companies.

The group, who named the three companies as: Orient Petroleum Nigeria Limited, Oil Indian and Sterling Oil Company, gave the ultimatum in a media briefing on Thursday in Awka, the state capital.

HRH Igwe Emeka Iluno, chairman, Elders Advisory Council, HOSCON, Anambra, said refusal to upgrade to oil prospecting companies by the firms was responsible for the hiccups in according Anambra the full status as oil-bearing states by the Federal Government.

The Igwe said if the companies cannot do the needful, they should stop further oil prospecting activities in the state and vacate the oil fields.

Iluno, who doubles as the traditional ruler of Ifite-Dunu Community, Dunukofia Local Government

Area, said the companies had been secretly prospecting crude oil illegally from the area for about six years now.

“Three notable oil companies: Orient Petroleum, Oil Indian and Sterling Global are currently prospecting oil at Ogwuaniocha, Ogwuikpelle and Usham, all in Ogbaru Local Government Area of the state.

“Orient Petroleum alone exploits more than 10,000 barrels per day, in addition to what Oil Indian and Sterling Global Oil companies are doing.

“It is rather regrettably that these firms had continued to use the licences given them for exploration to now prospect crude oil thereby short changing both the oil bearing communities and the state,” he said.

Iluno, flanked by Joy Igboka and Harry Okongwu, both members of the group, said the group investigated and uncovered that Oil Indian and Sterling Global laid pipes through which they siphon crude oil to oil facilities in neighbouring Oguta, Imo State.

The royal father noted that it

was imperative for the companies to do the needful to avoid untoward actions from youths from the oil communities.

“Anambra ought to have been benefitting from activities of the Niger Delta Development Commission, Niger Delta Ministry and receiving her share of the 13 percent oil derivation, but these are denied us.

“The state has the largest gas deposit in Nigeria and presently produces more than 10,000 barrels of crude oil daily.

“For Department of Petroleum Resources to have recently stated in the media that Anambra is not due for the benefits due oil bearing state because prospecting activities had yet to commence fully is false.

“We have enough evidences to prove our matter aside what might be the issue in Aguleri oil bloc where the state, Enugu and Kogi states have pending issue,” he said.

He said since the recent report that there were insufficient oil prospecting activities in the state, tension had risen, especially in the oil-bearing communities.

Glo gains 78% of new data subscription in GSM sector in March – NCC report

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igeria’s second largest telecommunications operator, Globacom, garnered 78 percent of new data subscriptions in the month of March 2019. The operator gained nearly one million new subscribers in the month.

This was disclosed in the latest statistics released by the Nigerian Communications Commission (NCC) for the month of March.

According to the statistics, Globacom gained 950,115 new internet users, taking its total internet subscriptions to 28,436,386 from 27,486,271 recorded in February.

Two other operators, MTN and Airtel, also featured on the gainers’ list in March. Airtel added 351,657 new internet users, while MTN added 13,552

subscribers. 9mobile, on its part, lost 166,542 users in the month under review.

Overall internet users in Nigeria increased to 115,938,225 in March from 114,725,357 recorded in February, according to the NCC statistics. This indicates an increase of 1,212,868 new subscribers in one month.

Globacom has been on ascendancy in terms of acquisition of new internet subscribers in the last one year ostensibly due to the consistent improvement in the operator’s data services.

The company has wide 4G LTE coverage, and the technology ensures more reliable and faster internet usage experience. Globacom also has attractive data plans, with packages that appeal to both high and low data users.

L-R: Valeriy Vozdvizhenskiy, executive director, Business Council Russia-Nigeria; Bogdan Skripnik, president, ALLWE Foreign Trade Company; Babatunde Ruwase, president, Lagos Chamber of Commerce and Industry, (LCCI); Steve Ugbah, Nigeria ambassador to Russia; Adetokun Kayode, former defence minister, and Knult ulvmoen, vice president, LCCI, at the Nigerian Russian Business Forum organised by LCCI in Lagos, yesterday.

Pic by David Apara

DPR, NOSDRA conniving with IOCs on oil spills - Bayelsa communities Samuel Ese, Yenagoa

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ome communities that have suffered devastating oil spills inBayelsaStatehaveaccused the Department of Petroleum Resources (DPR) and National Oil Spills Detection and Response Agency (NOSDRA) of conniving with international oil companies (IOCs) in the destruction of their environment.

The communities made the accusation on Wednesday at Oyeregbene community in Southern IjawLocalGovernmentAreaatthe ongoingtownhallmeetingwiththe BayelsaStateOilandEnvironmental Commission (BSOEC).

Oyeregbene as well as Babragbene and Lasukugbene communities also in Southern Ijaw and MbikibainBrasslocalgovernment areas made the accusations when BSOEC led by the chairman and ArchbishopofYork,JohnSentamu, went there on a fact finding tour.

They also demanded a clean up of their land and waterways www.businessday.ng

and payment of compensation by the oil multinationals operating in their areas while stressing that DPR and NOSDRA were biased in favour of the IOCs whenever oil spills occurred.

President of the Ijaw Association of Oil and Gas Producing Communities, Yabrou Tou, who spoke on behalf of the communities,saidtheJointInvestigationand Verification (JIV) reports were not always representative of the actual incidents of oil spills that destroyed their sources of livelihood.

Tou, who shed tears as he narrated his harrowing experiences onhowhewasdraggedtoanAbuja court for reporting Chevron to the NigeriaHumanRightsCommission (NHRC) for refusing to clean up a spill, bemoaned the total neglect of host communities by the oil multinationals despite series of appeals.

Tou stated: “The oil firm refused to pay compensation after initiallyacceptingresponsibilityfor the damage to the environment, saying it occurred on their Right of

https://www.facebook.com/businessdayng

Way (ROW).

“The spills reoccurred in 2018 withthecompanyinitiallyaccepting responsibility but later reneged on its promise to pay compensation because, according to them, members of the communities tampered with their facilities at the spill sites.”

Also speaking on behalf of the four communities, Ofongo Alamene and a fisherwoman, Flora Soridei, called on the multinationals to live up to their corporate responsibility by providing social amenities like potable water, electricity,healthcareandpayment of compensation.

Alamene also accused the IOCs of sponsoring violence, saying“...theysponsorviolence,which is working for them. They also know the level of ignorance of the communities. They get them to sign the wrong documents, which render the communities defencelesswhentheyavoidrepairingtheir pipelines that are long overdue.

Some of the pipelines have stayed up to 40 years whereas their lifes@Businessdayng

pan is 20 years.”

Alamenealsostated:“Nomedical or material supports are given to victims of oil spills while projects promisedintheGMOUsareeither haphazardly done or abandoned midway with flimsy excuses.”

Oyeregbene community leaders alleged that Shell Petroleum Development Company of Nigeria removed the community from the list of beneficiaries of its GMOU on claims of missing equipment while Agip provided a six-classroom block, but abandoned a jetty project and did 50 percent of a one-kilometre concrete road.

CommunityleadershoweverexpressedgratitudetoGovernorHenry Seriake Dickson for setting up the commissiontoaddresstheirplight.

In his remarks, Bayelsa State Commissioner for the Environment,EbipateiApaingolo,saidthe commission was established to examine the impact of oil explorationactivitiesonhostcommunities in the state.

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Friday 24 May 2019

BUSINESS DAY

NEWS

ICSAN, BoI to increase awareness of Corporate Governance in Nigeria ANTHONIA OBOKOH

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nstitute of Chartered Secretaries and Administrators of Nigeria (ICSAN) Lagos State chapter paid a courtesy visit to the CEO, Bank of Industry (BoI).

During the visit, Francis Olawale, chairman of ICSAN Lagos State chapter, said the Chapter in fulfilment of the Institute’s mandate to promote the ethos of good Corporate Governance engaged in some activities for its members and the general public.

Some of these include: Business meetings, annual workshop and conferences, all of which are geared towards increasing efforts among members to develop and grow the study and practice of Corporate Secretary-ship in Nigeria.

Olawale said chartered secretaries and administrators add value to organisations in key roles, where there were requirements for integrity combined with sound knowledge of business to ensure effective operations within the laws, regulations, best practice and codes of ethics.

On key areas for cooperation between the Institute and BoI, Olawale, expressed the desire for BoI to remain engaged with the Institute in order to address issues of concern and to enhance future prospects for cooperation in Corporate Governance and Public

Administration among SMEs and the blue-chips.

“As Governance Practitioners our members serve as the bedrock for instituting proper structures that enhance sustainability in the organisations they serve. The same objective is achieved with client companies for those members who run their private practice firms.

“We believe we are partners in progress as we are aware of the mandate of the bank which is to provide financial assistance for the establishment of large, medium and small projects as well as the expansion, diversification and modernisation of existing enterprises; and rehabilitation of existing ones,” he said.

Olukayode Pitan, BoI CEO, commended the Institute on the initiatives currently being undertaken as well as progress made towards the propagation of ethos of good Corporate Governance in line with international best practice.

“We like to support progressive associations, it is necessary we let the public know about what ICSAN is doing and even what proper Corporate Governance is,” he said.

According to him, the small and medium-sized enterprises (SMEs) need the services of the Company Secretary to take down minutes of decision making proceedings of the board and to help set up good governance structures.

Qatar: FIFA drops plan to expand 2022 World Cup to 48 teams ... says 32 teams will now compete in Qatar Anthony Nlebem

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orld governing football body, FIFA, has abandoned plans to expand the 2022 World Cup to 48 teams, concluding that it could not host the larger tournament in Qatar or come up with a solution to share the event with the gulf emirate’s neighbours.

The expansion proposal by FIFA’s president, Gianni Infantino, may have proved to be a popular one if presented for a vote by FIFA’s member associations at the organisation’s annual congress next month in Paris.

But an ongoing political and economic blockade of Qatar by some of its neighbours, most notably Saudi Arabia and the United Arab Emirates, created intractable practical obstacles that could not be overcome.

The decision ensures that the first 48-team World Cup will be the one awarded to the United States, Mexico and Canada in 2026. It also will come as a relief to Qatar, which has invested billions in infrastructure and seeking national pride in hosting the first World Cup in the Arab world.

“In line with the conclusions of the feasibility study approved by the FIFA Council at its last meeting, FIFA and Qatar have jointly explored all possibilities to increase the number of participant teams from 32 to 48 teams by involving neighbouring countries at the FIFA World Cup Qatar 2022,” FIFA said in a statement.

“Following a thorough and comprehensive consultation process with the involvement of all the relevant stakeholders, it was concluded that under the current circumstances such a proposal could not be made now,” it said.

FIFA said it discussed with Qatar if a 48-team tournament was feasible if certain FIFA requirements were lowered, but that both parties concluded an analysis of the impact of that decision could not be concluded in time for a vote in Paris. An internal analysis by FIFA earlier this year had concluded that Saudi Arabia, the UAE and Bahrain — three of the countries taking part in the blockade of Qatar — could not be considered as potential co-hosts as long as the two-yearold blockade remained in effect.

What hope lies for Nigeria’s mining, quarrying sector MICHAEL ANI

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he Nigerian Mining and Quarrying sector, which ought to be a catalyst in the Federal Government’s push for economic diversification, appears to be one of the country’s worst performing sectors, latest data released by the Nigerian Bureau of Statistics (NBS) show.

For four consecutive quarters since Q2 2018, the sector has posted an abysmal perform, recording negative growth since the country exited its worst recession in 2016 due to a collapse in global oil prices.

This is shocking, especially given the fact that the sector showed a strong positive growth of 14.10 percent in Q1 2018, helping to lift the country out from its precarious state at that time.

Growth in the sector in Q1 2019 again stood in the negative trajectory of -2.3 percent, further dragging down the overall Gross Domestic Growth to 2.01 percent from the 2.38 percent in the previous quarters.

Players in the sector have at-

tributed the poor performance to lack of funding and improper government regulation.

Data from the NBS show that the sector received the least funding from banks in the year 2018, which has corroborated their claims.

“The ministry of mining and state development has done their best in driving growth in the industry as there are policies on artisanal miners, formalising property as well as being helpful to suggest working with the private sector as that has been amazing,” Nere Teriba, managing director of Kian Smith Trade & Co, said.

“However, why I still think a lot needs to be done in propelling the sector forward.

“Because the sector is a very interdependent one, what is missing is the intense collaboration amongst interwoven and interlinked agencies in the industry,” Smith said in an exclusive interview with BusinessDay. Nigeria would be expecting the completion of its first gold mining refinery by the second quarter of 2019, driven by a private sector-led firm, Kian Smith Trade&Co.

Nigeria’s biggest carrier to acquire more aircraft to deepen no-city-left-behind project IFEOMA OKEKE

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L-R: Josephine Aghedo, student, Edgewood College, Lekki; Wale Odeyemi, managing director, Vodacom Business Nigeria; Olamipo Aderigbe, Chika Nwokobia, both from Edgewood College; Solomon Ogufere, commercial director, Vodacom Business Nigeria, and Fiyinfoluwa Afolayan, student, Edgewood College, at the Vodacom Inter-School Robotics training/competition held in Lagos.

‘With 20m users, $15.3bn spent yearly, Nigeria has highest cannabis users worldwide’ CALEB OJEWALE

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espite being an illegal commodity in Nigeria, an estimated 20.8 million people consume cannabis every year, in a market estimated at $15.3 billion in two new reports by New Frontier Data, an organisation that says it is providing transparency into the cannabis industry via unbiased vetted data and analytics reporting.

According to the Global Cannabis Report and the Africa Hemp and Cannabis Report, both giving 2019 Industry Outlooks, exclusively made available to BusinessDay, Nigeria has the highest rate of cannabis use

in the world.

The reports indicate 19.4 percent of Nigeria’s population over the age of 15 consumed cannabis in the past year, and at least 12 percent consume it monthly. This is significant, given the illegal status of the plant across Africa, and the fact that higher reported rates of use are typically associated with progressive cannabis laws.

Current cannabis usage rates (i.e., the reported percentage of adults in the population that consume cannabis) were estimated from various year rates sourced from the United Nations Office on Drugs and Crime (UNODC) and the European Monitoring Centre for Drugs www.businessday.ng

and Drug Addiction (EMCDDA).

For the countries where usage data was unavailable, a regional average rate was applied based on the population-weighted average usage rate for the countries within the region for which usage rates were available.

At number one position, Nigeria with 19.4 percent of its population using Cannabis is followed by Canada with 15.8 percent, and in third position, the United States with 15 percent. Total demand for cannabis in Africa, according to the reports, is estimated at $37 billion. The lion’s share of the regional demand ($15.3bn) is in Nigeria, which is the continent’s most populous country

with the world’s highest cannabis usage rate, followed by Ethiopia ($9.8bn), and Morocco ($3.5bn).

Almost the entirety of the region’s demand is currently met through the illicit market, but according to the report, attitudes are shifting towards legalisation, making Africa a target for early-mover investors.

“Three of the world’s top 10 cannabis-consuming nations are in Africa, highlighting both the importance of cannabis reform and related business opportunities throughout the region,” said Giadha Aguirre de Carcer, CEO/founder, New Frontier Data, in an earlier email to BusinessDay.

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ir Peace, Nigeria’s biggest air carrier, says the airline will be acquiring more narrow-body and wide-body aircraft to deepen its no-city-leftbehind project.

Allen Onyema, the carrier’s chairman, said the airline, which recently placed a firm order for 10 brand new Embraer 195-E2 jets and purchase rights for 20 aircraft of the same model, had ordered seven more 50-seater Embraer 145 jets to strengthen its operations under its subsidiary, Air Peace Hopper. The airline had earlier taken delivery of six Embraer 145 jets.

Onyema disclosed during the inauguration of its board members in Lagos, Wednesday.

Emeka Ngige, a lawyer, Mutiu Sunmonu, former managing director, Shell Petroleum Development Company, Benedict Adeyileka, former acting directorgeneral, Nigerian Civil Aviation Authority, and other new directors of Air Peace have assured of their readiness to work with Allen Onyema and Alice Onyema, vice chairman, to deliver on the airline’s vision to transform air travel and project a positive image for Nigeria in the global aviation community.

Other new directors include Ekaete Bassey Okoro, founder/ CEO of Topnotch Integrated Concepts Limited; Mohammed Danjuma, coordinator, North East Recovery and Stability Programme (NERSP); Oluwatoyin Olajide, the carrier’s chief operating officer, and Ejiro Eghagha, chief of administration and fi@Businessdayng

nance, also pledged their support when they were inaugurated as members of Air Peace Board of Directors.

At the ceremony, Allen Onyema urged Nigerians with means to invest in the country to complement the economic development efforts of the government, saying he set up the airline primarily to create jobs for the people and give the country a place of pride in the global aviation community.

“The reason I started Air Peace was to create employment opportunities for Nigerians and help in national development, because I know that all the violence and security challenges we are facing will reduce if our youths are positively engaged. I enjoin all Nigerians with means to invest in the country and help to create jobs to complement the efforts of the government,” he said.

The airline, he assured, would make the country proud with its soon-to-start flights to Sharjah, Dubai, Johannesburg, London, Houston, Guangzhou and Mumbai, despite the challenges it was facing from unfair competition and politics by some of the countries it planned to operate into with its four Boeing 777 aircraft.

He described the new members of the Board as Nigerians who were passionate about efforts targeted at developing the country and creating employment opportunities for the people.

For their part, the new directors said they agreed to join Air Peace Board because of Onyema’s consistent display of integrity and sincerity.

Friday 24 May 2019

FT

BUSINESS DAY

FINANCIAL TIMES

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World Business Newspaper

Indian election results show Narendra Modi set for landslide victory BJP and coalition partners lead in more than 340 of 543 lower house constituencies AMY KAZMIN

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ndian Prime Minister Narendra Modi has led his Hindu nationalist Bharatiya Janata party to a landslide election victory, confirming his huge popularity with India’s voters, after a bitterly fought campaign framed as a referendum on his leadership.

While vote-counting will continue throughout Thursday, the BJP, and its political partners in the National Democratic Alliance, are leading in more than 340 of the 543 seats in the Lok Sabha, or lower house of parliament.

The BJP itself is ahead in almost 300 parliamentary constituencies, a stunning performance in a country that endured decades of fractious coalition governments until 2014, when the BJP won the first single-party majority of any party since 1984.

In his first public reaction to his historic victory, Mr Modi wrote on Twitter: “Together we grow. Together we prosper. Together we will build a strong and inclusive India.

India wins yet again.”

The results showed that voters kept their faith with Mr Modi, despite his turbulent first five-year tenure, when he struggled to deliver the economic revival he had promised.

Many Indians still see the ascetic, hardworking tea-seller’s son — who renounced family life to dedicate himself to the then marginalised rightwing political movement — as the leader most likely to deliver economic growth,

and millions of new jobs.

Pratap Bhanu Mehta, vicechancellor of Ashoka University, said the BJP win was entirely down to Mr Modi, a tireless political campaigner, who has emerged as the most powerful politician in India’s post-independence history.

“There is no nuance in this one,” Mr Mehta said. “This is him and him alone. It’s an extraordinary political achievement to be able to mobilise this kind of power, and gain this kind of popularity. The question is with this kind of concentration of power that is going to emerge, what kind of risks does it hold?”

The election results are a bitter blow to the 134-year-old Indian National Congress, which led India’s colonial struggle, and dominated Indian politics for decades after independence.

Now led by political princeling Rahul Gandhi, whose father, grandmother and great-grandfather all became prime minister, Congress only marginally improved on its 2014 battering, when it won just 44 seats, the worst result in its history.

As of early afternoon on Thursday, Congress was leading in just over 50 seats.

“It doesn’t matter what I think went wrong,” Mr Gandhi told reporters after the extent of the Congress defeat became clear. “People have spoken clearly. We have to accept that Narendra Modi has won this election and I congratulate him.

“The BJP has replaced the Congress as the pole around which politics revolves in the country,”

FAA raises possibility of long delay to 737 Max approval

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he head of the US Federal Aviation Administration raised the possibility that it could take months longer to certify the grounded Boeing 737 Max as safe to fly, as fractious global regulators gathered to discuss fixes to flight software implicated in two deadly crashes.

Speaking on the eve of a meeting of 30 international air regulators on Thursday, Daniel Elwell, the acting FAA chief, said the agency was still waiting for Boeing to submit a software update aimed at preventing air disasters such as those in Indonesia and Ethiopia which killed 346 people.

He told reporters the FAA has also not yet decided whether pilots will be required to undergo simulator training on the updated Max, a move that could substantially delay a return to service but which some global regulators may insist upon.

“If you said October I wouldn’t even say that, only because we haven’t finished determining exactly what the training requirements will be,” Mr Elwell said. “If it takes a year to find everything we need to give us the confidence to lift the [grounding] order so be it.”

Canada, Europe and Indonesia made clear ahead of the meeting that they would set their own conditions for determining when the plane is safe to fly again, threatening the FAA’s goal of building consensus for a coordinated plan to put the 737 Max back into action.

The aircraft, a variant of the Boeing 737 which has been in service since the 1960s, was grounded after the March 10 crash of Ethiopian Airlines flight 302. The grounding of the plane has precipitated the biggest crisis in the history of Boeing, the world’s largest commercial aircraft manufacturer.

At the same time as regulators are meeting in Texas on Thursday, executives from some of the biggest Max-operating airlines will meet under the auspices of the International Air Transport Association in Canada to discuss how to deal with the challenge of the aircraft’s grounding.

United Airlines chief executive Oscar Munoz said on Wednesday that he planned to be aboard its first flight of the 737 Max when it returns to operation, but also conceded the public may take some time to be assured of its safety. He promised United would rebook passengers who did not want to fly on the Max. www.businessday.ng

said Milan Vaishnav, the author of several books on Indian politics.

Adding to the humiliation, Mr Gandhi is in a tight contest to retain his longtime family constituency of Amethi in Uttar Pradesh, India’s most populous state. The seat has been held by members of his family — including his uncle, father and mother — for more than 50 years.

But former soap opera star and cabinet minister Smriti Irani, who campaigned heavily in the impoverished constituency, is leading the race for the seat.

About 67 per cent of India’s more than 900m eligible voters cast their ballots in the protracted six-week voting process that ended on May

19. Given the number of votes involved and the size of each constituency, the count could stretch into the night.

The Bombay Stock Exchange’s benchmark Sensex index jumped 2.5 per cent in early trading on Thursday, as early trends indicated a Modi victory. But by the afternoon, the Sensex slid into red, and closed down 0.7 per cent.

India’s general election was held against the backdrop of widespread rural distress after years of drought and depressed commodity prices squeezed farmers’ incomes, and hopes of widespread job creation failed to materialise.

But a military showdown in

February with neighbouring Pakistan — and India’s missile strike against an alleged terror training camp — led to a surge of nationalistic feeling, which allowed Mr Modi to turn public attention away from his economic record to the issue of national security.

“It was a very critical turning point,” said Yogendra Yadav, leader of Swaraj India, which advocates for higher standards in political life.

“Towards the end of January, there was a critical point where the BJP could do nothing right. But with the missile strike, the negative spiral is stopped and turns into a positive spiral. The BJP got in control of the narrative.’”

Trade war sparks fears of China weaponising US Treasuries

Fractious global regulators meet to discuss grounded Boeing aircraft SEBASTIAN PAYNE AND NAOMI ROVNICK

Narendra Modi, India’s prime minister, wrote on Twitter: ‘Together we grow. Together we prosper. Together we will build a strong and inclusive India. India wins yet again’ © HarishTyagi/EPA-EFE/REX/Shutterstock

Recent $20bn sale of US debt could not be explained by typical ebb and flow of Beijing’s holdings JOE RENNISON AND COLBY SMITH

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t was an unnerving piece of data for investors last week, buried halfway down an esoteric spreadsheet released by the US government that tracks how many Treasuries foreign investors buy and sell.

China, the largest foreign creditor to the US government with total Treasury holdings in excess of $1.2tn, sold $20bn of securities with a maturity exceeding one year in March, according to US government data.

The sales amounted to China’s largest retreat from the market in more than two years.

The move came shortly before tensions over trade between Beijing and Washington heated up again, with the US slapping additional tariffs on the country’s imports and Chinese officials retaliating with measures of their own. What is more, the sales could not be explained away by the typical ebb and flow of China’s Treasury holdings that result from managing its large reserves to keep the currency stable.

The data reignited fears that Beijing may weaponise its holdings as part of the trade war, wreaking havoc with the biggest bond market in the

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world, pushing interest rates higher and increasing the US government’s cost of borrowing.

“If China starts dumping its Treasuries, it would cause huge financial instability,” said Mark Sobel, a former Treasury department official who spent nearly four decades at the agency, adding that he considered this an unlikely scenario.

China’s holdings of Treasuries are inextricably linked to the country’s trade with the US. China receives dollars in payment for its exports to America, and then needs to invest that money somewhere. The Treasury market has long been China’s destination of choice because the market is not only big enough to host its enormous reserves, but it also offers a better return than other super-safe investments.

Moreover, China avoids currency fluctuations that could come from selling those dollars to buy other assets.

As a result, China’s Treasury holdings typically dip if its reserves fall. It has also sold Treasuries over the past year to support its beaten-down currency, as tariff talk has intensified. On this occasion, though, neither of those forces appears to have been a factor.

To some analysts, it seems as though China simply decided to sell. @Businessdayng

“One should take notice of a month of sales during a period when reserves appear to be stable by most indicators,” said Brad Setser, senior fellow at the Council on Foreign Relations and a former Treasury department official. “It is certainly something that warrants attention.”

While concerns are mounting, investors and analysts are wary of jumping to conclusions. Mr Setser cautioned that the March data are a snapshot and not yet a trend.

Moreover, few see any alternative for China, other than remaining invested in Treasuries. The benchmark 10-year Treasury yield is currently 2.42 per cent, well above the negative yields on equivalent German and Japanese sovereign bonds and still markedly higher than the 1.03 per cent offered on 10-year gilts in the UK. Other markets are also much smaller than the US Treasury market, meaning they would struggle to digest any inflows from China’s massive holdings.

“Even it this were to be a threat, it’s a very non-credible one,” said Sonal Desai, chief investment officer for fixed income at Franklin Templeton in California. “What else [is China] going to buy?”

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Friday 24 May 2019

BUSINESS DAY

FT

NATIONAL NEWS

Deutsche Bank chief prepares shareholders for ‘tough cutbacks’ Christian Sewing plots overhaul of Germany’s largest lender, with promise to focus on profitable parts

OLAF STORBECK

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eutsche Bank’s chief executive Christian Sewing is preparing a radical overhaul of its ailing corporate and investment bank, telling shareholders that the German lender is prepared “to make tough cutbacks”.

Mr Sewing, in charge during a 13-month slide of 40 per cent in the share price of Germany’s largest lender, did not disclose his plans in detail. However, he implied that the lossmaking US equities business would be among the targets.

Investors reacted nervously and shares in Germany’s biggest bank fell 3 per cent to a new record low of €6.42 on Thursday morning.

Speaking to investors at the bank’s annual meeting in Frankfurt’s Messe festival hall, Mr Sewing did not name operations that would be shrunk, or outline a timeframe.

In the past, Deutsche insiders have suggested that cuts in investment banking needed to be implemented swiftly after any announcement, as revenues would otherwise collapse while costs remain high.

“We will accelerate transformation by rigorously focusing our bank on profitable and growing businesses which are particularly relevant for our clients,” said Mr Sewing, adding that “this is my pledge, and you can be sure of that”.

A person briefed on the plans said “this will be the most radical reorganisation since Bankers Trust”, referring to the 1999 acquisition of the US investment bank that marked the start

of Deutsche’s ambition to become a global investment banking rival to Goldman Sachs and JPMorgan.

Mr Sewing announced that the bank was going to merge “parts” of its compliance and anti-financial crime unit, led by Sylvie Matherat, with nonfinancial risk management, which is overseen by Stuart Lewis. While he did not say who would head the enlarged unit, insiders suggested it was unlikely that Ms Matherat would be in charge.

Deutsche is facing several money laundering probes and has paid hundreds of millions of dollars in fines for breaching money laundering and sanction rules.

On Wednesday, it disclosed that a software glitch that was in screening software for almost 10 years may have prevented the flagging of some potentially suspicious transactions to authorities.

Several people familiar with Deutsche Bank’s internal discussions said that the ousting of Ms Matherat, whose contract runs until 2023, is a matter of time.

Last year, Mr Sewing shrank the investment bank’s balance sheet by 13 per cent and reduced its headcount by 7 per cent.

However, the investment bank still ties up two-thirds of Deutsche Bank’s risk-weighted assets and in 2018 generated a return on equity of less than 1 per cent, far below most rivals.

Large investors and regulators have long called for more decisive cutbacks in the investment bank, which has been lossmaking for several years. However, Deutsche Bank chairman Paul Achleitner told the Financial Times last month that he does not see the need for a radical strategic overhaul in the area.

Google to buy New York building for 100 times 1996 price Agent Doug Harmon who helped broker deal has sold the Manhattan property 5 times JOSHUA CHAFFIN

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oogle has agreed to pay $600m to acquire a historic building in Manhattan’s Meatpacking District — a hundred times what it was sold for in 1996 — in a deal that reflects the tech company’s growing footprint in New York City.

For Doug Harmon, one of the agents who brokered the sale, it represents a career milestone: Mr Harmon has sold 450 West 15th Street — also known as the Milk Building — five times in a career that has spanned New York’s latest real-estate boom.

“Longevity is a brutal competitive advantage!” quipped Mr Harmon, the chairman of capital markets at Cushman & Wakefield.

Th e f i r s t t i m e h e s o l d t h e building, in 1996, the cobbledstoned neighbourhood was a gritty outpost with a reliable supply of transgender prostitutes and illicit drugs. It went for $6m to Moishe Mana, an Israeli immigrant who grew wealthy after founding a local moving company, Moishe’s Moving, and his partner, Erez Shternlicht.

Under their ownership, the eight-storey industrial building led the neighbourhood’s turn toward trendy fashion and media companies, including their Milk Studios.

In 2004 Mr Harmon helped them sell the building to brokerage Angelo Gordon for $55m, and then flipped it four years later to Stellar Management for $161m, who then shifted it — with his assistance — to Jamestown, a developer, in 2013 for $284m.

Now comes Google, whose $2.4bn purchase of the nearby Chelsea Market last year reinforced the neighbourhood’s status as New York City’s technology capital. It also helped to cement Mr Harmon’s standing as one of two uber brokers in a real estateobsessed city.

The other is his arch rival Darcy Stacom, the so-called Queen of the Skyscrapers at CBRE, who advised Google on both acquisitions and regularly battles against Mr Harmon in New York’s favourite blood sport.

“They’re rock stars. They’re simply the best at what they do,” said Craig Deitelzweig, chief executive of New York-based Marx Realty.

For Mr Harmon, a born talker with a touch of showbiz panache, the Milk sale is evidence that there is still juice in the city’s real-estate market — even after a prolonged run whose sheer duration has set many executives on edge, with a sharp retreat of Chinese buyers and a fall in prices for luxury condominiums. www.businessday.ng

Cyril Ramaphosa needs to tackle corruption in his own party and in state-owned enterprises © AFP

Cyril Ramaphosa must find a way to make South Africa fairer Spending in infrastructure and education, as well as land reform, would be a start DAVID PILLING

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n this month’s elections, Cyril Ramaphosa’s African National Congress won 58 per cent of the vote. That would be a hefty margin in most democracies. But in South Africa, where the ANC has long carried the hopes of a black majority that makes up four-fifths of the 57m population, it is a halfhearted endorsement.

Still, the vote means Mr Ramaphosa is likely to be president for the next five years. What should he do? There is the obvious. He must urgently tackle deep-seated corruption both in his own party and in state-owned enterprises.

Yet beyond that gargantuan task there is an even bigger one: making South Africa fairer. A quarter of a century after the end of apartheid, the ANC has made almost no headway in reducing wealth or income inequality.

Think about that for a second.

Apartheid was a system that methodically set about the task of impoverishing black people and limiting their economic opportunities. Black people were given an

inferior education, forced to live in inferior housing and limited to mostly menial or back-breaking tasks.

For the past 25 years, the ANC has sought to achieve the reverse, to uplift the black majority. According to the Gini coefficient, a measure of inequality, it has failed.

South Africa remains the most unequal society on earth.

The Gini coefficient does not tell the whole story. A World Bank report last year said: “Improved access to basic services . . . and the expansion of the social wage have considerably improved living standards.”

In addition to fiscal redistribution and provision of a safety net, the ANC’s policy for righting economic wrongs has been twopronged. The first has been black economic empowerment, a form of affirmative action designed to create a thriving middle class. The second has been the creation of a “labour elite” through laws that support a strong, unionised workforce.

Interestingly, Mr Ramaphosa is a representative of both sets of black South Africans who have done well

since 1994. He has his political roots in the union movement. And he became wealthy through his skilful exploitation of black empowerment schemes.

The majority of black South Africans, however, fall outside those two privileged categories. One in three black South Africans has no work.

Despite its efforts to create a thriving black working class, the grim truth is that the ANC is the party of the unemployed.

In 1998, Thabo Mbeki, former president, laid out the problem starkly. He referred to South Africa as two nations: one small, white and rich, the other large, black and poor.

Two decades later that description mostly holds good.

It is not easy to conjure a rich country out of a poor one at the best of times. India has been at it for 30 years. Yet its nominal income per capita, at $2,000, is less than onethird of South Africa’s, at $6,400.

South Africa’s task is harder still because expectations are higher. Few black South Africans are willing to work for Indian-level wages. If South Africa cannot lower its wages it must raise its productivity.

Is UBS losing its edge in investment banking?

Shorn of its hard-driving leader Andrea Orcel, the business has suffered a drop in profits STEPHEN MORRIS AND DAVID CROW

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his time last year Sergio Ermotti was riding high. The UBS chief executive was basking in a double-digit jump in quarterly profit and boasting of the bank’s “excellent” prospects.

His decision six years earlier to refocus on wealth management and slim down the investment bank looked to be paying off — the model he pioneered was copied by Credit Suisse and Morgan Stanley.

A year on and the narrative is very different. Over the rest of 2018 the stock plunged 30 per cent as steep swings in markets caught traders off guard and convinced ultra-rich clients to keep their cash on the sidelines.

The past two quarters have produced dramatic declines in earnings at the investment bank and worldleading $2.4tn wealth management unit. In response, Mr Ermotti has put the bank in what he calls “fuel saving” mode — freezing hiring, slash-

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ing bonuses and delaying spending on technology projects.

On top of this, a gamble to go to court and fight accusations of tax evasion in France backfired in February when a judge slapped UBS with a record €4.5bn fine, which led to a shareholder revolt against executives at its annual meeting this month.

Analysts at Barclays now say “a more significant overhaul of strategy may be warranted” after a “material downgrade” to expectations since the last strategic update in October, when executives stuck to essentially the same course.

“Many investors we speak to believe UBS should be able to achieve higher returns, and have been frustrated for some time in this regard,” said Barclays’ Amit Goel. “It is worth reassessing whether one-third [of assets] is the right resource allocation to the investment bank and if the group should target ultra-high net worth clients as aggressively” considering how expensive they are to acquire and service. @Businessdayng

UBS now trades at a 20 per cent discount to the book value of its assets, compared to a 50 per cent premium at smaller Swiss rival Julius Baer, which does not court multibillionaire clients as aggressively or run a large investment bank. Bigger US rivals such as JPMorgan Chase trade at an even higher multiple.

Some insiders say UBS has lost its edge since the shock departure of Andrea Orcel as head of its investment bank. The notoriously hard-charging Italian dominated the unit for six years until he quit last September to become CEO of Santander, only for this to fall through after disputes over his pay and profile.

“We’ve had two terrible quarters and we could have done with Andrea here,” said one UBS banker.

“He had his hands around 10,000 throats . . . I’m not as ‘on it’ as I was when he was here; I was terrified before. He’s very difficult to replicate.”

But supporters of Mr Orcel’s replacements — M&A banker Piero Novelli and equity trader Robert

Friday 24 May 2019

BUSINESS DAY

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FINANCIAL TIMES

COMPANIES & MARKETS

@ FINANCIAL TIMES LIMITED

US companies step up response to Donald Trump’s China Tariffs force businesses to move production in rapid reshaping of supply chains JAMES POLITI , SUE-LIN WONG AND ANDREW EDGECLIFFE-JOHNSON

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t a rally in central Pennsylvania on Monday, Donald Trump had an easy answer for US businesses fretting over the breakdown in trade talks with China and the escalation in levies on thousands of products coming across the Pacific Ocean.

“Anyone who doesn’t want to pay the tariffs has a simple solution: build your product in America, bring your factories back to Pennsylvania, where you want to be anyway,” the US president said.

Mr Trump has ramped up his calls for American companies to ditch China and bring manufacturing back to the US — or move their sourcing to third countries such as Vietnam — as the prospects of a deal with Xi Jinping, Chinese president, dimmed in recent weeks. But many US businesses know that rapidly unravelling their China ties is not as simple as the White House thinks.

“When we hear the suggestion that we should source our product in the US, or somewhere else overseas, as if you can flip the switch and do that, we all kind of cringe,” said Matt Priest, president of the Footwear Distributors and Retailers of America, a lobbying group for shoe companies.

US companies have gradually reduced their dependence on Chinese imports in recent years as production costs, from labour to transportation, have increased compared with neighbouring Asian countries.

American footwear businesses used to bring in more than 90 per cent of their products from China a decade ago, but that has decreased to 69 per cent.

But they are now being forced to contemplate a much more abrupt change to avoid bearing the brunt of massive tariffs that would force them to raise prices for consumers, or, in the worst case, slash employment.

“There’s a reason we are in China today, that’s because of the vast amount of labour available in China, and the fact that all the raw material suppliers and support functions today are residing in China,” said Mike Jeppesen, president of global President DonaldTrump has ramped up his calls for American companies to ditch China and bring manufacturing back to the US © AP operations at Wolverine Worldwide, a Michigan-based footwear business. Forty per cent of his company’s imports come from China.

In congressional testimony on Wednesday, Steven Mnuchin, the Rising US inventories and China trade spat knock benchmark lower US Treasury secretary, insisted that of the biggest fallers on the FTSE in the US, the world’s largest oil industry fears were overblown and DAVID SHEPPARD AND MYLES MCCORMICK All-Share index. consumer and the heart of the he had just spoken to Wal-Mart The index tracking oil and gas shale boom. rent crude, the international oil about the impact of the tariffs. “A Crude inventories in the US benchmark, was on track for companies on the FTSE 350 was lot of this business will be moved its biggest loss of the year so far down 3 per cent. Premier Oil fell hit the highest level in two years from China to other places in the region so there will not be a cost,” on Thursday, as traders weighed the more than 12 per cent, Genel En- last week, the US Energy InforMr Mnuchin said, adding that risks from a US-China trade war and ergy lost 8.5 per cent, while Tullow mation Administration said on was down 7.5 per cent.

Wednesday. some products would benefit from rising inventories in the US. Oil’s slide comes despite The perceived risk of holding Brent was down 4.6 per cent in exemptions from the levies.

At the American Chamber of mid-afternoon trading in London mounting geopolitical tensions the debt of junk-rated issuers in Commerce in South China, based to $67.75 a barrel, having dropped in the Middle East, with traders the US energy industry picked up in Guangzhou, Harley Seyedin, the through the $70 a barrel mark instead preoccupied with the on Wednesday, according to data organisation’s president, said the earlier in the day. US marker West fallout from the US-China trade from Intercontinental Exchange trade war was convincing executives Texas Intermediate lost 5.2 per war and its potential impact on oil and Bank of America Merrill to hasten decisions that had been in cent to trade at $58.22 a barrel. demand growth.

Lynch. The gap in yield between a the works for some time.

Physical supplies of crude are basket of bonds tracking compaThe sell-off weighed on oil “Now people know they really companies traded in London, with seen as relatively tight due to US nies in the sector and highly rated cannot put all their eggs in one bas- BP and Royal Dutch Shell both sanctions on Iran and Venezuela, government debt climbed to 5.87 ket,” said Mr Seyedin. losing 3 per cent, while midsized and Opec-led production cuts, percentage points, from 5.77 the In recent days several compa- oil and gas explorers were some but stockpiles have been rising previous day. nies — including Ralph Lauren and Xcel Brands, which owns consumer brands including Isaac Mizrahi and Judith Ripka — have said in earnings announcements and annual meetings that they have initiated or stepped up plans to move their UK currency drops below $1.261 having lost more than 3% of its value this month supply chains. vative leader and the Brexit party agement, said a Brexit deal or de-

Oil heads for biggest fall of the year as Brent drops below $70

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Pound approaches 2019 low as pressure on Theresa May intensifies PHILIP GEORGIADIS AND MICHAEL HUNTER

US stocks sink at the open on renewed trade tension Sell-off extends monthly decline that is on track to be worst since December plunge PETER WELLS

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S stocks opened lower on Thursday morning, while Treasuries and the dollar hit multi-year highs, as the deepening trade dispute between Washington and Beijing weighed on investor sentiment and extended a monthly decline for equities that is shaping up as the biggest since the December tumble.

Tech stocks were particularly hard hit after Chinese surveillance equipment maker Hikvision on Thursday looked set to join Huawei on a US export blacklist, marking a further potential complication to trade negotiations between the US and China.

The S&P 500 was down 1.2 per cent in early trade on Thursday, while the Nasdaq Composite shed 1.4 per cent.

The blue-chip Dow Jones Industrial Average fell 1.4 per cent.

Treasuries rallied, driving benchmark yields to their lowest level since December 2017, as investors sought the relative safety of government debt.

The yield on the benchmark 10-year US Treasury was down 6.4 basis points at 2.3291 per cent, according to Refinitiv pricing, breaking through the previous lows of mid-March.

The US dollar strengthened. The dollar index, which tracks the green-

back against a weighted basket of select global currencies, was up 0.3 per cent to a two-year high of 98.333.

With six trading sessions, including today, to go before the end of May, the S&P 500 is down 4.2 per cent monthto-date, which would be its first — and largest — monthly decline since a 9.2 per centdropinDecember,whichinturnhad been the biggest since February 2009 as the financial crisis approached its nadir.

The Nasdaq Composite is down 5.6 per cent so far in May, while the Dow Jones has shed 4.4 per cent.

On May 13, the S&P 500 fell the most in a single session since January and found itself down 4.5 per cent from the end of April, after China said it would raise tariffs on $60bn of American goods in retaliation for Donald Trump raising the levy on $200bn in Chinese imports to 25 per cent just days earlier.

Media outlets in China ramped up their rhetoric against the Trump administration, with the Chinese Communist party’s flagship newspaper, the People’s Daily, branding the US as the biggest “troublemaker” in the international community for triggering trade disputes.

Stocks in Europe were lower, with the broad Stoxx 600 off 1.3 per cent, while markets in Asia also closed lower across the board on Thursday. www.businessday.ng

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terling extended its losses on Thursday as UK prime minister Theresa May faced continuing pressure to resign, with the Conservative party in revolt over her latest Brexit deal and expecting a drubbing in European elections.

On Thursday afternoon Mrs May was rewriting the EU withdrawal bill in an attempt to head off a full-scale cabinet revolt after Downing Street admitted she had abandoned plans to publish the legislation on Friday.

The pound fell as much as 0.5 per cent to trade below $1.261 before recovering slightly, testing this year’s low of $1.258, excluding a brief “flash crash” in January.

With Mrs May’s final attempt to pass her exit deal apparently sunk and her days in Downing Street drawing to a close, investor attention has shifted to the looming Conservative leadership race, and how the next prime minister will handle the Brexit impasse.

Mark Haefele, global chief investment officer at UBS Wealth Management, said that with Leave-supporting Boris Johnson the leading candidate for Conser-

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demonstrating support for a hard exit from the EU, “investors should not be complacent about the threat of a no-deal exit”. The bank expects sterling to fall as low as to $1.15 and to 0.97 against the euro if that happens.

Nigel Farage’s Brexit party has topped several opinion polls in the run-up to the European elections, with some surveys putting the Conservatives in fifth place.

Karen Ward, chief market strategist for Emea at JPMorgan Asset Management, said that price action in UK assets tracked “a higher risk of no deal or a change of government”, amid talk that Mrs May could be replaced by “a more hardline prime minister”.

The pound has lost more than 3 per cent of its value this month, one of its worst stretches since the 2016 referendum on EU membership.

The relative safety of UK government debt continued to appeal to investors, pushing down the yield on benchmark 10-year gilts to eight-week lows, down 2.4 basis points to 0.992 per cent.

Shamik Dhar, chief economist at BNY Mellon Investment Man@Businessdayng

cision to remain in the EU “would probably see UK rate expectations revised up sharply and gilts sell off, whereas ‘no deal’ is likely to be followed by rate cuts”.

With the pound offering a similarly binary outlook, Mr Dhar said “those that can might want to buy some rate and currency volatility protection”.

Yet while the pound has taken a significant leg lower this month, sterling volatility remains relatively subdued.

Koon Chow, a strategist at Swiss bank UBP, said that the lack of a bigger rise in sterling volatility showed that the market was “making the calculus that while we may get a leadership change in the Conservative party, any putative new leader can only bluff the EU with a threat of hard Brexit”.

The pound reversed course to nudge higher against the euro, leaving open the chance of snapping a 13-session losing streak, its longest since the single currency was adopted 20 years ago.

Analysts at ING said: “What comes next is wholly uncertain, but market pricing of a no-deal Brexit will most likely increase this summer.”

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Friday 24 May 2019

BUSINESS DAY

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ANALYSIS

Rihanna launches Fenty Fashion: ‘It’s bold, it’s badass, it’s daring’

The singer has unveiled her first fashion collection. It’s smart on many levels JO ELLISON

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am my own muse,” purrs Robyn Rihanna Fenty of her new luxury fashion label Fenty, created with the LVMH group, unveiled on Wednesday and now on sale online. “It’s badass, it’s daring,” she continues. “It pushes the envelope. It’s confident. It has a strong silhouette. I want everyone to wear it.

But I’ve got to make it right for me.”

We have met in Paris, in a nondescript building, down a narrow street in the Marais. The building has been designated to launch her first “release”, named 5-19, and is clad in a dazzling Fenty-azure blue, but the only clue as to its current occupant is the phalanx of rock-faced heavies who stand around in suits.

This collection, the first under the auspices of LVMH, but actually the fifth if one factors in the four Fenty collections she did when the brand was part of the then Kering-owned Puma, is what she feels like wearing “now”. And it’s unexpectedly smart.

Where her previous collections cited “Marie Antoinette at the gym” or vivid moto-leathers, here are tailored blazers in taupe or pink cotton with bumbag belts attached; a boned shirt has a sculptural, romantic sleeve;

Wearing a Fenty mini shirt-dress in white cotton poplin, she gazes out from under a black bouffant of hair like a Ronette remade for the millennial age. Her scarlet-painted talons trace a Barbados-shaped pendant at her neck, one of many references to her birthplace, and strung among a trove of amulets.

But it’s the eyes — catlike, hazelcoloured, lids smeared with an iridescent glow — that hold you.

She has an unnervingly direct gaze, which, combined with her easy candour, and that crazy Cupid’s bow, has a hypnotic effect.

“I’m a control freak,” she says, lightly squeezing my shoulder for emphasis, as she describes a fitting session in the studio. When asked if LVMH were comfortable with the new flexibility she has brought to the maison, she smoulders: “Mr Arnault isn’t stupid.” She may epitomise the laid-back humour of the Caribbean island on which she grew up, but don’t confuse that with complacency. Rihanna works to no one’s schedule but her own.

Actually, the collection is pretty good. For starters, it’s blessedly absent of logos. It’s grown up and womanly, with a femininity undercut

Rihanna dressed in her own Fenty label © Alex Cretey Systermans

Japanese denim jackets and shirt dresses are either designed to cinch the waist and short short short, or voluminous and oversized; a cotton bodysuit has a bustier neckline and a saucy sensibility. The accessories include stilettos with barely-there straps, chunky gold hoops, and massive metallic visor-style sunglasses.

It’s a wardrobe for someone who wants to be taken seriously, but still wants to feel their vibe. According to Fenty, fashion was only ever a second interest after music. Her passion for clothes was fed by her mother Monica, whose style she has always admired.

But, this segue into fashion is merely another platform from which to sell her “sound”.

Excluding the footwear and jewellery — there are as yet no bags — this first release amounts to about 36 different shapes, and items range from about €200 for a corset T-shirt to €1,100 for a reversible coat, price points that are lower than at many LVMH labels but still highly aspirational for the consumers one would imagine sit in her target demographic. Then again, it is size inclusive: clothes run to a French size 46, but the cuts are so generous that they actually run far bigger. “I’m a curvy girl,” she says of the label’s proportions. “And if I can’t wear it, it’s not going to work.”

Watching Rihanna it’s clear to see how the author of eight albums (a ninth is in the works), with a personal fortune estimated to be about $260m, persuaded Bernard Arnault, the president of LVMH and the fourth-richest man in the world, to do her bidding.

with tougher, more masculine looks (later, British Vogue editor Edward Enninful becomes her first male client when he buys a reversible parka in beige and oily black). But whether or not this Fenty finds commercial favour is less important. This is just the first release.

“I’m designing what I want to wear, for when I want to wear it,” she says of the brand’s roll out, which will see clothes distributed in “drops”, like a cult streetwear brand, and sold direct via the website.

There will be no shows. Not unlike singles on an album, each release will represent completely different attitudes. Today, Riri wants a shirt dress.

But next month, she might want a string vest, such as she might wear on holiday. Or an omelette gown, like the spectacular Guo Pei number she wore to the Met Gala in 2017.

If a brand is built on its DNA, Fenty’s defining characteristic will be its changing aesthetic. It will be as mercurial and unexpected as Rihanna is herself. “I don’t want to go to a show and then wait for six months to buy a look in a shop,” she says of dispensing with the business model on which most brands under LVMH have traditionally been dependent.

“With Fenty, you see it, you wear it.

I’m too greedy to wait.”

Now 31, with more than 71m Instagram followers to her name, Rihanna became one of fashion’s most powerful influencers the day she invited us to stand under her umbrella in 2008.

But while some celebrities know how to work — and sell — a dress, her arrival at LVMH has the potential for real disruption. www.businessday.ng

Trump and the environment: can green lobby’s victories continue?

The US president is confident of winning a new round of legal battles LESLIE HOOK

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he Trump administration has been hit with an environmental lawsuit, on average, once every five days since taking power in January 2017. Almost every time President Donald Trump has tried to implement his environmental agenda — centred on boosting fossil fuels and cutting regulations — lawsuits have followed. In recent months, efforts to open offshore drilling, launch the Keystone XL pipeline or support coal mining have all been thwarted by legal challenges.

“We sued the Obama administration, we sued the Clinton administration, we sued Bush Two, Bush One . . . But not once every 11 days,” says Mitchell Bernard, chief counsel at the Natural Resources Defense Council, a non-profit group whose lawyers have filed more than 80 legal actions against the administration.

He adds that environmental litigation in the Trump era is “different both in degree and kind” from anything he has ever seen.

These legal battles are about to intensify. The government’s new clean car standards, expected to be issued in coming weeks, are poised to trigger a long legal fight between the federal government and at least 18 US states, led by California. Lawyers and state attorneys-general are already drafting complaints, and the car industry is bracing for years of uncertainty.

The pattern was set early in Mr Trump’s presidential campaign when he took aim at the Environmental Protection Agency, vowing to “get rid of it in almost every form” and promising to cut many Obama-era rules. The EPA is now run by Andrew Wheeler, a former coal industry lobbyist, and both staff levels and enforcement actions against polluters have declined.

Mr Trump also plans to withdraw the US from the Paris climate accord, and US carbon dioxide emissions have started rising — reversing a three-year decline.

Yet in court the administration has lost most of the environmental cases it has faced. It has been defeated in more than 90 per cent of the 41 legal actions related to regulatory rollbacks, in which a final outcome was reached, according to a database at the Institute for Policy Integrity at the NYU School of Law. Since Mr Trump took office more than 150 lawsuits relating to climate and environmental protections have been filed against the federal government, according to a database maintained by the Columbia Law School.

“Trump’s deregulatory climate agenda has made a lot of noise . . . but it

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hasn’t actually accomplished much,” says Ted Halstead, head of the Climate Leadership Council, a Washingtonbased non-profit organisation. “Most of these actions are either tied up in courts, or in public comment periods.”

The effects of this battle extend beyond the arcane world of environmental regulation. US industries, from carmakers to chemical companies and oil and gas groups, will have their futures shaped by the cases playing out across the country. Although Mr Trump’s justification for many of the environmental changes is a pro-business agenda, many companies find themselves caught in the crossfire.

One of the biggest setbacks for the administration came in March when a judge in Alaska struck down its plan to open up offshore drilling in the Arctic and the Atlantic. Last month, the Department of the Interior said it was going back to the drawing board to craft a new plan as a result of the Judgment. Another setback came when courts rejected the administration’s efforts to reverse an Obama-era rule that increased the royalties paid by fossil fuel companies on public lands.

The US has a long history of environmental lawsuits. A key part of the enforcement mechanism built into laws, such as the Clean Air Act, is the right of citizens to sue the government if it is not following the law. That right forms the basis for many of the cases filed over the past 28 months.

But lawyers say the current situation is different. “It is actually much worse than we could have imagined” before Trump took office, says Mr Bernard. “[There is an] utter disregard for fact, for science and for the rule of law . . . that is one of the reasons we’ve been so successful in court, because they’ve been reckless and sloppy.”

Some politicians argue that litigation is now a critical part of environmental protection. “It’s really important that the lawyers are blowing these things up one after another,” says Sheldon Whitehouse, a Democratic senator and former attorney-general of Rhode Island.

The federal government does not see it that way. Mr Wheeler, who was confirmed as head of the EPA earlier this year, brushes off its legal losses. He says addressing climate change is no longer a top priority for the agency — which has an annual budget of $8bn — compared with issues such as clean drinking water.

“We haven’t really had a major litigation defeat under our administration as far as our big regulations [are concerned],” he says, adding that many of the early defeats were related to delays in implementing environmental rules. “I try to make @Businessdayng

sure that all of our regulations will be upheld by the courts. We are supposed to put forward regulations that follow the law, and that is what we are doing under my leadership.”

Some campaigners see Mr Wheeler as a tougher opponent than his predecessor, Scott Pruitt, a flamboyant Oklahoman who was entangled in a series of ethics scandals. Under Mr Pruitt, the EPA made a lot of procedural errors — providing some easy, early wins for the environmental groups in court.

“Things are getting more difficult as we get deeper into the Trump administration,” says Kieran Suckling, executive director of the Centre for Biological Diversity. He points to the new leadership at the EPA as well as at the interior department, where David Bernhardt, a former oil lobbyist, has replaced Ryan Zinke.

“As ideologues like Pruitt and Zinke have been pushed out, they have been replaced with industry insiders like Wheeler and Bernhardt, who understand the minutiae of how to move the levers of power in government,” he adds.

The legal battles are about to get tougher. And it is not just because of the new leadership. They revolve around the two centrepieces of Mr Trump’s energy and climate policy: his replacement for the Clean Power Plan, which governs emissions from the power sector, and a redrawing of vehicle emission standards. Neither has entered litigation primetime yet, because final versions of the policies have yet to be published.

“These are far more complex legal cases,” says Vickie Patton, general counsel at the Environmental Defense Fund, a non-profit organisation. “We anticipate that the Trump administration will really try to intensify its unravelling of climate and health protections, between now and the end of the president’s term,” adds Ms Patton, who was previously a lawyer at the EPA. “It [the replacement for the Clean Power Plan] is going to be a complete mockery of the EPA’s responsibilities,” she says. “There will be massive litigation, to protect human health and to carry out the law.”

Although completed in 2015 the Clean Power Plan was never implemented because of legal challenges.

Mr Wheeler says its replacement, the Affordable Clean Energy rule, would boost investment in the technologies needed to make coal fired power plants run with lower emissions.

“I’m accused of rolling back environment protections — I completely disagree with that characterisation,” Mr Wheeler says. “We did not roll back the Clean Power Plan,” he adds, pointing out that it was already stuck in court when Mr Trump ordered the agency to review it.

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Live @ The STOCK Exchanges Prices for Securities Traded as of Thursday 23 May 2019 Company

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Women in Business

BUSINESS DAY Friday 24 May 2019

By Kemi Ajumobi

Foluso Gbadamosi

Stephanie Obi

Director, Business Process & in 2013; she co-founded a non-profit Technology, Prime Atlantic Group organisation, Serving with Love (SWL)

MD/CEO, ST Hub Limited

oluso Gbadamosi is the Director, Business Process & Technology, Prime Atlantic Group, CoFounder at 8191 Solutions and Serving with Love Foundation.

Her career spans over 15 years in the Telecommunications, IT and FMCG industries. The early part of her career was in the United States with Eli Lilly & Company, a global pharmaceutical company, and EMW Inc., a telecommunications company.

In 2006, she moved back to Nigeria and joined Procter & Gamble where she was IT Client & Site Services Manager.

She then served as Director of Operations, Monarch Communications Ltd. where she restructured the organisation and later prepared it for the sale of its 3.5GHz spectrum to Swift Networks Ltd. In 2015, she was Executive Director, HR, Admin and IT at Industrial and General Insurance Company.

Foluso is an IT professional and technology advocate. She views technology as a catalyst for personal and national development and is very supportive of tech start-ups and companies. In 2015, her passion for Information Technology led her to co-found 8191 Solutions, an IT solutions boutique for SMEs. She currently serves on the Board of Directors of several technology companies including Swift Networks, a telecommunications company that offers state-of-the-art broadband services, Cousant Technologies, a provider of payments and financial markets technology solutions, KudiMoney an online lending platform that provides Nigerians with instant access to short term loans and on the Advisory Board of Zest, a concierge service that transforms the lives of street youth into skilled workers and leaders by equipping them with service jobs.

She is highly enthusiastic about improving the welfare of humanity and

tephanie is an online business coach whose mission is to help African women earn a living from monetizing their knowledge online. To date, Stephanie has helped hundreds of women create their own online courses and generate up to tens of millions in revenue.

She is the creator of Course Launched Delivered, an online coaching program that helps everyday women build personal brands, create online courses, earn a living and impact lives through the use of digital resources.

She is an Amazon Bestselling author of the book, Knowledge is the New Gold and is also the founder of an EdTech Startup, Trayny, which is an online education platform that creates and manages online courses by Africa’s most trusted leaders.

She is a First Class graduate of Computer Science from Covenant University and holds an MBA from the prestigious Lagos Business School. She has received many notable awards and recognitions such as being named as one of the 100 Most Inspiring Women in Nigeria in 2017 and winning first prize in the Wimbiz Impact Investment Competition in 2014.

Based on the impact of her work, she has been featured on various platforms including Channels T V, Guardian Newspaper, Arise TV, Punch Newspaper, EbonyLifeTV and others.

In 2010, Stephanie started making Ankara inspired t-shirts and accessories and the name of her business was ST Colours.

One day, she woke up and had a strong desire to share her knowledge of how to make Ankara accessories with others. She wanted to teach people how to make Ankara Accessories, so that they could become empowered. She did not understand

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where she currently serves as a member of the Board of Trustees. She is also Chairman of the Board of Trustees of Godlovers, through which she expresses devotion to her faith and her love for young people.

Foluso holds a Bachelor’s degree in Computer Science from the University of Pittsburgh and a Masters degree in Information Systems Technology from George Washington University. She holds a Certificate from the Yale CEO College, and a Board Ready Certificate from the IE Business School. Foluso lives in Lagos and is married with two children.

Her passion for technology is because, according to her, technology is a huge catalyst for social development.

Ironically, her late father always bought her ‘tech’ toys as a child. She loved fixing electronic items around the house as well. So if the VCR broke, she would take it apart and attempt to fix it. “I also love the fact that technology is a tool for solving almost every problem we experience in the world today. Most of the organisations I am affiliated with use technology as a tool for transformation.” she stated.

Another passion Foluso has is seen in her concern about the importance of succession in African businesses. In every organisation she finds herself, she is constantly thinking about whether enough has been done to ensure that the business stands the test of time. According to her, many African businesses are not structured for succession, there is no sustainability and this has contributed to most business and poverty problems that plague the African continent.

“Many pioneer Africans who started great movements, dreams, and organisations died with all their breakthrough ideas and everything lies 6 feet beneath the ground. Instead of continuing where someone left off, we find that people have to start afresh, struggle afresh and rebuild.” Foluso said.

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where this drive was coming from because it didn’t make sense at the time. She just wanted to teach people, and she went ahead to organise a class.

She held her first workshop in the garage of her parent’s house. All her siblings and even her parents helped to set up the place. They cleaned the place, washed and arranged the chairs and tables, and re-parked the cars.

This marked a defining point in her life, because as she was training her first batch of students, she knew at that moment she was doing what she was born to do.

Stephanie continued marketing her training program online and she started getting calls from cities all over Nigeria. People were locating her on the internet and wanted to attend her class.

She could not physically travel to all the locations, and she got inspired to build an online course where ladies can learn how to make accessories irrespective of where they live. This school is still running, and to date, she has trained people in over 9 countries including Cameroon, Kenya, Australia, Zambia, Canada, United Kingdom, United States of America, South Africa and also Nigeria.

As she was teaching people how to make ankara accessories, the students started asking marketing questions.

“How can I sell my handmade products?” “How can I market my business on Social Media?”. This happened to be a topic she had mastered over the years, as she was building her accessories business and so she started teaching marketing topics too. In other words, she became an Online Business teacher.

Stephanie now works with people who want to create and sell online courses. If you are toying with this idea, she has got you covered. She is often amazed about how far she has come, her story is truly inspiring!

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