Businessday 25 may 2018 by BusinessDay

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news you can trust I **friDAY 25 may 2018 I vol. 15, no 62 I N300

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2019 Presidency: Why I chose YPP – Kingsley Moghalu ... promises to diversify economy Innocent Odoh, James Kwen, Abuja & Iniobong Iwok, Lagos

fter a long period of keeping Nigerians in suspense, Kingsley Moghalu who had earlier declared to run for the 2019 presidential election without announcing the platform under which he would pursue his ambition, on Thursday declared that he was contesting on the

L-R: Ime Archibong, VP Partnerships, Facebook; Ebele Okobi, head, Public Policy Africa, Facebook, and Emeka Afigbo, head of Developer Programmes, Facebook, at the launch of the NG_Hub in Lagos.

platform of the Young Progressive Party (YPP). Moghalu said he took the decision to join the YPP even Continues on page 37

Nigeria’s military committed war crimes – Amnesty P. 4

CBN delays Basel III to focus on IFRS 9 implementation W

Aided by BVN, mobile phones, FG expands financial inclusion with MarketMoni ... 350,000 beneficiaries get interest free loans ENDURANCE OKAFOR

GTB, UBA top picks as operating environment favours big banks Geometric to get capital injection from DFI by August

HOPE MOSES-ASHIKE

he implementation of Basel III scheduled to take effect by the end of 2018, is likely to be delayed as the Central Bank of Nigeria (CBN) keeps its

focus for now on the implementation of International Financial Reporting Standard 9 (IFRS 9), according to a leading emerging and frontier markets investment bank, Renaissance Capital. Basel III is a global regulatory framework designed to regulate,

supervise and manage risk in banking sector. Implementation of Basel III started globally in January 2013 and is expected to be completed in 2018. “We gather from our meetings that the implementation of Basel 3, scheduled to take effect

by the end of 2018, is likely to be delayed. According to the banks, the CBN’s focus has been on the implementation of IFRS 9, and that will likely take priority this year. For most banks, the Continues on page 4

ith just a bank account and a Bank Verification Number (BVN) and Continues on page 38

Inside

NIKE to rake in N92bn from sales of Super Eagles jerseys

2 BUSINESS DAY NEWS Nigeria’s export drive fails to address logistics weaknesses JOSEPHINE OKOJIE

n spite of the export drive campaign of the Federal Government, the country has failed to address the issue of logistics weaknesses in the export supply value chain of agricultural commodities, which is vital for the successful operations of any export initiative. According to experts, Nigeria can only realise its export potential and diversify its revenue through agriculture when agro commodity that are bulky can be easily transported at cheaper rate to help reduce production cost, thereby making it compete favourably at international market. “Infrastructure impacts export competitiveness. If we do not do anything about our infrastructural gaps we would not get anywhere economically,” Madu Obiora, former chairman, export group, Lagos Chamber of Commerce and Industry (LCCI), told BusinessDay. According to Obiora, the country does not have an effective cold chain infrastructure, and the government export drive can only be successful with adequate infrastructural

facilities such as storage, good road networks, among others. “We need to activate various means of transportation to facilitate trade and competitiveness,” he said. One of the greatest problems confronting rural farmers and communities in Nigeria is the absence of critical infrastructure such as ‘motorable’ roads. This is hindering market access for farmers in such communities who work assiduously to eke out a living from farming. After few days of heavy rainfalls most farming areas and markets become totally impassable, and this has continued to impact negatively on the prices of food items across the country. “The roads are bad; it takes me two to three days to transport my yam produce from Benue (located in middle belt of Nigeria) to Lagos (located in Southwest). I lost more than 300 tubers of yam on my last trip to Mile 12 Market in Lagos, because the trailer got spoilt on the road and my yam produce was stolen since the trailer slept on the road for a night,” Godwin Apak, a yam farmer in Benue State, told BusinessDay. This is the challenge most

farmers in the rural communities face. Before the produce is transported out of the farmlands to places they can access roads to the market, most off their crops are lost in the process, especially the perishable crops. According to the International Fund for Agricultural Development (IFAD), high transport costs arising from the combination of scarce resources and poor road networks in rural Africa make parts of the rural economy only semi-open. Similarly, Nigeria’s rail infrastructures have remained poor despite efforts of past and present administrations to improve the rail infrastructures across the country. “The rail infrastructures in Nigeria are poor. The logistics to facilitate export are lacking in the country and this is what has driven export growth in most economies of the world,” AfricanFarmer Mogaji, CEO, X-Ray Farms Consulting, said. “We need to revive our rail infrastructures for easy movement of bulky agricultural commodities from the farms to the nearest seaports or airport facilities,” Mogaji said.

Friday 25 May 2018

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World Bank backs Edo’s development drive Educationists justify

… urges other states to replicate blueprint

orld Bank has thrown its weight behind the ongoing developmental drive of the Godwin Obaseki-led administration in Edo State, urging other states in the country to replicate the Edo model. Country director of World Bank, Nigeria and co-ordinating director for Regional Integration Programme in West Africa, Rachid Benmessaoud, who led the bank’s delegation on a visit to the governor at the Government House, Edo State, on Thursday, said: “Obaseki has established a flagship effort that has resulted in the Edo Azura Power Plant where he brought the World Bank Group together and we are ready to replicate the model and build more Azura projects in Nigeria and West Africa.” He was accompanied on the visit by the country manager, International Finance Corporation (IFC), Nigeria office, Eme Essien; programme leader, Muna Salih Meky; programme leader, Kofi Nouve; lead procurement specialist, Bayo Awosemusi; senior private sector specialist, Feyi Boroffice; senior agriculture economist, Adetunji A. Oredipe, and senior operations officer, John Paul Ngebeh, among others.

Benmessaoud explained that the strong partnership between Edo State Government and the World Bank is highly cherished by his institution, and commended the insistence of the Obaseki administration on transparency and accountability. “I want to assure the governor that the World Bank will help in addressing the human capital needs by pulling her resources together to support the Edo State government,” he pledged. In his response, Obaseki expressed the gratitude of the Edo State government to the World Bank for finding the state a worthy partner in their commitment to bring development to all Edo people and residents. He showcased the achievements of the government in agriculture to his guests and said that one of his goals is to replace crude oil with oil palm, as aggressive effort is being made to make Edo State the oil palm hub in the country and beyond. He highlighted some of the challenges faced by his government, including illegal migration and human trafficking, explaining that 60 per cent of returnees to Nigeria are from Edo State.

NUC clamp down on illegal universities

KELECHI EWUZIE

ducation professionals have thrown their weight behind the decision of the National Universities Commission (NUC) to clamp down on illegal universities, saying this will help curb unwholesome practices in the education sector. Reacting to the decision of NUC to publish the names of 58 illegal universities Thursday, educationists and university professors who shared their views with BusinessDay say this action is a welcome development and should be done more frequently to deter others. The NUC is a regulatory body and a licensing body too especially for the whole universities in Nigeria says Florence Obi, former Deputy Vice Chancellor, University of Calabar adding that part of the responsibilities of NUC is to monitor the establishment of universities in order to prevent a situation where individuals arbitrarily take a decision to establish a university without due process. Official figures from the NUC shows that Nigeria has 162 approved universities (41 Federal, 47 State and 74 Private) these institutions in total has the capacity to absorb only 500,000 students yearly. See full list of the illegal universities online

Friday 25 May 2018

BUSINESS DAY

4 BUSINESS DAY NEWS

Nigeria’s accelerating growth trajectory under threat by weak bank lending BUNMI BAILEY & OLALEKAN IPELE

s the Nigerian economy continues to accelerate, analysts have cautioned that weak bank lending, especially to the real sector may derail projected growth trajectory. “The main challenges for investors are on the front of liquidity. How can Nigeria increase liquidity in the near future? Nigeria is looking better on most metrics, having accelerated growth, a stable currency and rising FX reserves, but needs to improve on bank lending which remains weak,” Charles Robertson, Global Chief Economist, Renaissance Capital said. According to data from the National Bureau of Statistic (NBS), bank credits to the private sector declined by 2.5 percent (year-on-year) to N15.6 trillion in the first quarter of 2018 from N16 trillion in the first

quarter of 2017. Analysts have said that weak bank lending which is already lowering productivity and output in the real sector may eventually lead to inflation if not checked. First quarter 2018 GDP has declined to 1.95 from 2.11 in Q4 2017; important sectors of the economy that employs the most labour are either contracting or growing slowly. The agricultural sector contribution to GDP notably dropped by 4.48 percentage points to 21.65 percent in Q1 2018 from 26.13 percent in Q4 2017 and trade contribution still remains in the negative territory. “Bank lending is mostly to the government rather than to the private sectors, so if you are relating lending to output, it means output has actually suffered significantly and that could be the cause of inflation. The problem is not really price inflation as a result of excess

demand, the fundamental problem is that of productivity and output,” Bismarck Rewane, CEO, Financial Derivatives Company Limited said. Godwin Emefiele, governor of the Nigerian Central Bank CBN during the Monetary Policy Committee (MPC) meeting held on Tuesday noted that the CBN is creating innovative ways to improve bank lending to the real sector of the economy. Emefiele said, “We will try as much as possible to come up with some credentials that will relate loan deposit ratio with the level of cash reserve that the banks hold. For banks that have done a lot of work in increasing its loan deposit ratio we will be compensating them with cash reserve ratio (CRR) and penalize those who prefer to keep liquidity and trade on government securities or direct them to the FX market rather than grant loans to the real sector.”

Analysts have however expressed divergent opinions. Liquidity will most likely come from three sources, government budget, elections spending, and the expected increase in minimum wage and they have the potential to drive inflation higher. In term of output, should liquidity in the banking sector increase as a result of lower cash reserve ratio(CRR), the only way it can have positive impact on growth is if banks lend more to the private sector,” Ibrahim Tajudeem, Head of Research, Chapel hill Denham said on phone. “The only way we can see and improvement in growth is if banks lend more to the private sector and the CBN seem to be ready to make that happen via regulation even though that should not happen as banks should lend based on their calculated risks factors and that should support economic growth.”

CBN delays Basel III... Continued from page 1

impact of IFRS 9 has been fully accounted for in the 1Q18 results,” Renaissance Capital analysts led by Olamipo Ogunsanya said in a May 23 research note to clients. In his reaction, Ayodele Akinwunmi , head of research, FSDH Merchant Bank Limited, said the implementation of IFRS 9 does not disturb the implementation of Basel rather the two can be done together. He said the provision of Basel 3 and the local regulation are being implemented by the banks already. The CBN in December 10, 2013 issued a circular for the implementation of Basel II/III in, which it specified approaches for quantifying the risk weighted assets for credit risk, market risk and operational risk for the purpose of determining regulatory capital. At the time the circular triggered most banks to action to start considering options and strategies to comply. “From our experience, the cost, time, resources, expertise and the implementation process could be very significant and prone to risks if not done right,” analysts at Deloitte said. However banks attention was diverted to the implementation of the IFRS 9 with effective date of January 1, 2018. Ayodeji Ebo, managing director of Afrinvest Securities limited noted that the Basel 3 provisions focuses more on testing the Capital Adequacy Ratio (CAR) of banks and that the CBN has made some policies on dividend pay-out by banks which would help the banks. Renaissance Capital, an investment banking firm, had in an investment note expressed the opinion that banks, could see Cost of Risk (CoR) come in marginally higher at the end of their 2018 financial year as a result of the adoption of the new standard. However, Renaissance Capital noted that the operating environment still favours the big banks as their top picks are Guaranty Trust

Friday 25 May 2018

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Vice President Yemi Osinbajo (2nd r); Abdullahi Ganduje, governor, Kano State (2nd l); Abdurrahman Dambazau, minister of interior (l), and Toyin Adeniji, executive director, financial inclusion (r),Bank of Industry (BoI), during the GEEP MarketMoni beneficiaries interactive session with the VP in Kano, yesterday

Bank, which they put at buy with a target price of NGN52.6 and United Bank for Africa to buy at target price of NGN15.3. GTB closed trading Thursday at N42.80 per share, while UBA closes at N11.15 per share. RenCap analysts believe the Nigerian banking sector is slowly returning to stability, but asset quality issues and the declining yield environment remain a challenge. Meanwhile Geometric power and by extension Diamond Bank could see some relief in coming months as RenCap said feedback from its recent conference revealed that a development finance institution (DFI) is willing to invest a significant amount of money in Geometric, which should happen by the end of August, 2018.

Benue killings: Soyinka advises FG to solicit international assistance ... insists killings targeted at ethnic cleansing Benjamin Agesan, Makurdi

obel Laureate, Wole Soyinka has advised the federal government (FG) to solicit the assistance of the international community to curb the menace of killings being carried out by Fulani herdsmen in the state and entire country. Soyinka gave the advice on Thursday when he paid a courtesy call visit on Gov. Samuel Ortom at the Benue People’s House in Makurdi. Soyinka attended the 35th anniversary of senator Suemon Chia’s novel, titled, ‘Adam wade Kohol GA’ written in Tiv language. “If the government cannot cope, it should not shy away from asking for international help,” he said. He said that he knew for sure that the international community would come to the aid of Nigeria to enable it tackle its security challenges. “The killings that are taking place in Benue and other states are targeted at ethnic cleansing and there is no any other word to describe it than that,’’ he emphasized. Soyinka lamented that rather than hunting animals for food, the killer herdsmen are hunting human beings, an act which he described as barbaric. He also raised the concerns that some people want to change the narrative that the killer herdsmen were rather Libyans as he queried, “who brought them, who keeps them and who funds them.” He pointed out that they kill and occupy people’s homes which clearly show their actual motive which is to kill and occupy, and he also admonished the FG to give marching orders to the Fulani herdsmen that are occupying communities that are not theirs to vacate them in 48 hours. Soyinka said that hundreds of thousands of people were trapped by Boko haram in the North East. “We have to come together to probe the ugly situation so that the impunity which is going on in the country for long will stop. If Continues on page 38

Nigeria’s military committed war crimes, crimes against humanity –Amnesty MICHEAL ANI

igeria’s military has committed war crimes and crimes against humanity including torture, rape and killing civilians during its fight against Islamist insurgency Boko Haram, human rights group Amnesty International said on Thursday. The crimes were perpetrated for years and have continued despite a presidential inquiry established last August whose findings have not been made public, said the watchdog.

In a statement, the Nigerian military described Amnesty’s findings as “a false report on fictitious rape incidents in IDP (internally displaced person) camps in the North East region of Nigeria.” A presidency statement said Amnesty’s report lacks credibility. The 89-page report is based on hundreds of interviews and is replete with accounts of sexual violence, torched villages and other abuses. “The soldiers, they betrayed us, they said that we should

come out of from our villages,” said a woman whose name was given as Yakura in the report. “They said it would be safer and that they would give us a secure place to stay. But when we came, they betrayed us. They detained our husbands and then they raped us women,” said Yakura, who fled Andara village, Borno state, in December 2016. Nigeria has waged a nine-year war against Boko Haram and its now more powerful offshoot, Islamic State West Africa. The Continues on page 38

Friday 25 May 2018

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5 NEWS

BUSINESS DAY

GSK declares N8.4bn special dividend at 47th AGM ‘Over-centralisation of federal system major MICHEAL ANI

laxoSmithKline plc, a player in the Fast Moving Consumer Goods (FMCG) industr y a n d h e a l t h c a re s p a c e, has taken its shareholders through the bright side, thanks to growth in the GSK reserve level over the past few years, the accumulation of profits and the recent income from the divestment of its drinks business. The drug maker declared a special dividend of N8.4 billion, representing N7.10 and a final dividend of 40k per share, respectively, for its shareholders that sent dividend yield to as high as 30 percent in the year ended December 2017 In the year under review, GSK revenue increased from N14.3 billion in 2016 to N16 billion. Profit before tax also increased from N185 million in 2016 to N1.1billion in 2017. However, profit after tax fell to N486 million from N2.3 billion declared in the same period of 2016 due to higher tax payments and no fresh revenue from the disposal of the drinks business. The firm also continued in a positive momentum, especially in its bottom line going by its 2018 first quarter unaudited financial statement. The firms profit after tax (PAT) increased astronomically by 3026 percent,

despite revenue increasing slightly by 9.5 percent, which was as a result of declining operating, growing sales for the company’s products, and a positive currency effect. PAT surged from N8.26 million in the first quarter of 2017, to N258.3 million in Q1 2018, surpassing analysts and market expectations. The firm’s share price headed north after it announced the payment of special dividend to shareholders. GSK share price has risen 11.06 percent this year, according to data compiled by BusinessDay, outperforming the NSE All Share index at 7.85 percent. It was priced at N21:25 as of the close of trading in Lagos on Thursday, with a market capitalisation standing at N25.412 billion. Speaking at its 47th AGM yesterday in Lagos, Edmund Onuzo, chairman, Board of Directors, said the firm was committed to maximising its investment. “For us as a company, maximising shareholder’s return is high on our agenda. Given our current cash position and with money set aside for local manufacturing investment, returning cash back to investors via dividends is in line with this thinking on returns. “Following the successful divestment of our drinks

business, we have been able to cash-in on the returns from the divestment. We have tightened our portfolios, drove investment behind our power brands and we are now better focused and aligned with our global business. We are glad this has yielded the right dividend particularly for our esteemed shareholders,” Onuzo said. In 2017, the firm upgraded its facilities across its production lines and drove various innovative projects to increase reach in order to deliver longterm growth in Nigeria. On the change in leadership at GSK, he said it was part of the leadership succession plan of the company. In line with the changes, he reassured the shareholders that “GlaxoSmithKline is committed to Nigeria for the long term. We have confidence in the continuing growth prospects of the business and we are focused on restructuring for the benefit of all our stakeholders.” At the meeting, the Board recommended for approval a final dividend of N478 million, representing 40k per 50k share, and a special dividend of N8.491 billion, representing 7.10 per share to be paid to shareholders. The shareholders approved the Board’s recommendation and lauded the Board for its performance.

factor for Nigeria’s poor development’

DANIEL OBI

ig e r i a’s ov e rcentralisation of federal system is a major explanatory factor for poor development performance of the country, former public sector management specialist at World Bank, Ladipo Adamolegun, says. Linking over-centralised Federal System to poor development performance, he says from military era to the present, Nigeria has witnessed economic growth without development, decline in the performance of public services, weak judiciary and institutionalised corruption. According to Adamolegun, “There has also been an increase in poverty level, estimated at about 65% by 1998 and close to 80% today.” Adamolegun, a professor of public administration, spoke on ‘structure and organisational performance’ at Nigerian Institute of Management (NIM) colloquium lecture Wednesday. Giving evidence of poor performance of the economy, he said Nigeria’s ranking in respect of broad-gauged development performance proxies ranged between low and very low. For instance, in 2017 Ibrahim Index of African Governance (IIAG) of the Mo Ibrahim Foundation, Nigeria was 35 of 54 countries

(with 48.1% score); 128 of 149 countries in 2017 Legatum Prosperity Index; 152 of 188 in 2016 HDI, and 148 of 180 countries (with 27% score) in 2017 CPI. “Regarding two proxies focused on peace and security, Nigeria was 127th of 127 countries in the 2016 World Internal Security and Police Index, and it ranked 149th of 163 countries in the 2017 Global Peace Index,” he said. Comparing the over-centralisation of Federal system today with pre-1970- era, he said good development performance recorded between 1954 and January 1966 was due to the conducive environment provided by the features of a devolved federal system. He said there was quality public service and only about 25% of the population lived below poverty level by the mid-1960s. Supporting devolution of powers, he argued for Re-allocation of powers and resources. According to Adamolegun, Nigeria should adopt and implement re-allocation of functions recommended in the recommendations of the 2014 National Political Conference. “They are consistent with the principle of subsidiary. Modify existing percentages applied for sharing the Federation Account to reflect the proposed re-assignment of functions -

35% for the centre and 65% for the federating units.” Also speaking, Nasiru Musa Yauri of Usman Dan Fodio University, Sokoto, noted that restructuring debate is perhaps the most topical issue in Nigeria’s contemporary political discourse. He said the debate is defined and often propelled by the vested interests of contesting elites. “Although the debate on restructuring in Nigeria has spanned decades, it seems to gain momentum recently, almost mounting the podium of violence between 2016 and 2017 under the APC-led government of Muhammadu Buhari.” The management scholar who undertook a historical perspective to restructuring cited comments by various proponents of restructuring and concluded that the subject has eluded a common definition. He argued that restructuring point to the fact that a significant proportion of the agitations for restructuring is explained by the demand for resource control. In charting a way forward for Nigeria, Yauri therefore said instead of restructuring, fight against corruption, and the entrenchment of a development-driven leadership is a better option to solving Nigeria’s contemporary challenges than the clamour for restructuring.

AXA Mansard sponsors children’s finance education fair MODESTUS ANAESORONYE

Mike Dada, president/ executive producer, AFRIMA (l); Angela Martins head of culture, African Union Commission (2nd r), presenting the 23.9 karat gold plated AFRIMA trophy to Nana Addo Dankwa Akufo-Addo, Ghana President (2nd l), and Catherine Afeku, Ghana minister of tourism, arts and culture (r), during the courtesy visit to the President of Ghana as part of the activities of the AFRIMA 2018 World Media Calendar Unveiling at the Presidential Office, Jubilee House, Ghana.

n commemoration of the annual Children’s Day celebration in Nigeria, AXA Mansard Insurance plc, a member of the AXA Group, has partnered Money Matters with Nimi Akinkugbe to host the second edition of the Annual Children’s Finance Fair. The event, strictly for children under the age of 17, their parents, teachers and guardians, is scheduled to hold on Saturday, May 26, at Lagos Prep School, Glover Road, Ikoyi. The Fair will feature discussions on a host of issues related to children and money matters, including the following: Teaching children about money, children’s savings products, identifying and developing children’s talents, investments for children, funding children’s education, educational insurance, life insurance, mutual funds and trust funds. Participants will also have a meet and greet session with representatives of the AXA Mansard who will give them first-hand information on some of the best children’s banking and savings products. There will also be an exciting Monopoly tournament with lots of prizes. Speaking about the fair, Kola Oni, group head, strategy, planning and marketing, AXA Mansard Group, said, “ The brand is de lighted to associate with

children to commemorate the 2018 Children’s Day.” Findings show that many adults make devastating financial decisions they could have avoided, if they had been introduced to the basic concepts of money early in life. “As a socially responsible brand, we celebrate the Nigerian children and we see the collaboration with Nimi Akinkugbe as an opportunity to educate both the children and parents on the various ways they can plan for their finances. Our team will also be on ground to help attend to the various questions that might be bothering the participants,” he said. According to Oni, “Planning the future should not be something to procrastinate because it is never too early to start educating the young ones about investment, savings, pensions and insurance.” In her response, Akinkugbe, convener and wealth management consultant, said, “Financial literacy is not in the school curriculum but it is an important part of human life. Therefore, this event is a means of equipping the next generation about this aspect of living. “Teaching children good money habits can help insulate them from making grievous financial mistakes. She employed other brands to emulate AXA Mansard in raising a generation that understands money matters.”

6 BUSINESS DAY NEWS

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Friday 25 May 2018

Edo rolls out investment windows for agribusiness investors

do State governor, Godwin Obaseki, has unveiled windows for investment in the agricultural sector in the state, noting that a competent team has been set up to address investors’ queries and ensure environment conducive for agribusiness. Obaseki said the state would be focusing on investment in high value crops like oil palm, rubber, cocoa, cassava, soybeans, fruits, and legumes. The governor, who disclosed this in a talk with journalists, said there were three teams in the state working to make investment in the agribusiness sector hassle-free. He said the state had zeroed in on specific crops, where the state has comparative advantage, urging po-

tential investors to request information on how their businesses could benefit from the master-plan being designed. He explained that aside from going through the Special Adviser on Agriculture and the State Ministry of Agriculture, the state has set up a Private Partnership Office and a Business Bureau to attend to challenges confronting private investors as well as other agribusinessrelated inquiries. “In the area of agriculture, we have three teams working from different areas. First there is the special adviser on agriculture, Joe Okojie, who is a former commissioner for agriculture. Then there is the ministry of agriculture, with a commissioner and his team, and there is the Public Private Partnership office.

Austin Okere, founder and Entrepreneur-in-Residence at the Ausso Leadership Academy (l), with Okechukwu Enelamah, minister of industry, trade and investment, at the economist events’ Nigeria Summit Conference in Lagos.

Boom for private hospitals as JOHESU strike persists

FG’s plan to recapitalise DisCos has … report 70% spike in revenue corporate governance concerns ANTHONIA OBOKOH HOPE MOSES-ASHIKE & SEYI JOHN SALAU

ith shortfalls in the electricity market at over N1 trillion, the need to rescue the electricity sector has never been more acute. The challenge however is that the distribution companies (DisCos), who collect on behalf of everyone else in the value chain, are inefficient. This is why the Federal Government has been considering options to recapitalise the DisCos, who are veering dangerously close to bankruptcy. The challenge is ‘no option appears without pitfalls.’ For the past two months, the Federal Government has been considering raising its stakes in the DisCos to 60 percent from the current 40 percent to which it hopes to offer to interested investors, since it cannot own a majority shares in the DisCos after privatisation. But that plan was scuttled after government was unsuccessful in appointing two non-executive directors on the board of the DisCos, who could push the plan. The DisCos argued that the move was illegal as the volume of shares held on behalf of government by the Bureau of Public Enterprise (BPE) and the Ministry of Finance (MOFI) do not empower it to appoint new directors without recourse to shareholders. The shareholders agreement also said that the number of directors in the Disco shall be no more than seven; the investors will nominate six directors, while BPE and MOFI shall nominate one. The DisCos may tolerate incompetent engineers, owe everyone else in the value chain, but they don’t economise on their lawyers! The government soon shelved the plans. However, the Power Sector Recovery Programme (PSRP) recommends recapitalisation of the DisCos as a measure to put the power sector on the path of financial viability. It suggested using the Central Bank of Nigeria to facilitate rene-

gotiation of the shareholder loans outstanding and redenomination of the loans from dollars to naira in line with the DisCos revenue profile. Another option is the potential dilution of both the Federal Government’s and privately held stakes, which will help bring some stability to DisCos balance sheet. The government has not initiated a discussion on diluting its own shares Meanwhile, the troubled balance sheet of the DisCos may stall either option. Abuja Electric, Port Harcourt DisCo and Enugu DisCos are struggling to keep a healthy balance sheet. Yola DisCo has been relinquished to the government by the core investors. BusinessDay’s examination of the financial statements of seven DisCos in February indicates reported losses of over N196.23 billion to end the 2016 financial year. Analysts have urged government to dilute the shares of the core investors in the DisCos using the funding clause in their performance agreement as a way of resolving the current shortfalls in the electricity market. “The Federal Government should rely on the funding clause in the Shareholders Agreement, which allows the BPE as a 40 percent shareholder in the DisCos to inject capital into the DisCos in the event that there is a requirement for further funding, which the core investor is unable to provide. The clause allows the BPE to dilute Core Investors equity in the DisCo by such funding,” Wesley Omonfoman, CEO of New Hampshire Capital Investments Limited, an energy-consulting firm, told BusinessDay last year. “The dilution mechanism leverages on the huge liabilities of the DisCos to the Nigerian Bulk Electricity Trader and the Market Operator. In simple terms, the mechanism for dilution is for the BPE, acting for the Federal Government, to guarantee the DisCos obligations to NBET (under the vesting contracts) and the CBN (under the N213bn NEMSF and the N701bn power sector payment assurance guarantee).

perators of private hospitals in the country have seen a rush in business owing to the persistent industrial action by the Joint Health Sector Unions (JOHESU). JOHESU has refused to call off the 36-day old strike until the government meets the salary adjustment and harmonisation, which are part of the major demands of the striking health workers. BusinessDay gathers that this has created a boom for private hospital operators, as patients continue to flock in droves for treatment. Some private hospital operators say that patients are now receiving treatment from their facilities despite the exorbitant cost. “For the past one month JOHESU has embarked on indefinite strike, we have been very busy. The private facilities see more patients figure

coming in everyday because the government hospitals are unstaffed due to the ongoing strike. So, we see more patients coming for consultations on daily basis,” Lanre Yusuf, a doctor in a Lagos-based private hospital, said. Officials of the accounting department of some private hospitals contacted confirm that revenue has increased by as much as 70 percent in three hospitals contacted around Lagos, within the last month, and doctors are now seeing twice the number of first time patients. The ongoing strike has paralysed activities in government hospitals including general hospitals and medical institutions. Patients who have emergency needs have no recourse than to visit private medical facilities, regardless of the cost. A pregnant woman who abandoned appointment in the government hospital for a private medical facility told

BusinessDay, it was a question of necessity. “I am already due for delivery any moment from now, but the JOHESU strike has changed the story because I was sent back from the general hospital I was using that I cannot be attended to because they are on strike. “I have pleaded with this private hospital to use the previous medical history of mine, but my pleading fell on deaf ears as they will not take any previous medical history not originating from them. I now have to start the ante natal afresh at this private hospital, so that I can deliver at the hospital, not minding the cost,” she said. Another patient, Osas Orabotor, an auto mechanic in Benin City, said: “My daughter was rushed to the University of Benin Teaching Hospital (UBTH) and was diagnosed of appendicitis and an immediate operation was meant to be performed on her, but the hospital refused to carry out

the operation because they are on strike. I had to take her to a nearby private hospital close to our house. “I paid N60,000 and the operation was done by the private hospital. I also met some other parents of some patients at UBTH who also took their wards to private hospitals for treatment,” Orabotor said. Doyin Odubanjo, chairman, Association of Public Health Physicians of Nigeria, Lagos chapter, said hospitals could and would continue to function with doctors alone, however, given that they cannot function maximally, they would attend to fewer people. “If this continues, there will be more deaths as fewer people will access healthcare. “There is a lot of breakdown already; checks in the facilities have shown that essential services and healthcare delivery at the state and local government levels have significantly dropped as a result of the strike,” Odubanjo said.

Food prices up by double-digit CHINWE AGBEZE

rices of fresh tomatoes and key perishables, and most food items have risen significantly in most markets in Lagos metropolis, BusinessDay recent market survey shows. Checks around Mile 12, Oshodi and Boundary markets in Lagos last week reveal that a big basket of fresh tomatoes, which sold for between N16,000 and N17,000 late last month, now goes for between N29,500 and N31,000. As of Saturday, a 50kg bag of rice was sold for between N17,000 and N18,000, as against N12,000 and N17,500 a month ago. Similarly, a 50kg bag of onions increased to N17,500

- N23,000, from N16,000 in April. A 50kg bag of ‘Rodo,’ a brand of pepper, now sells for N15,500, from N11,000 within the same period. But the price of a 25-litre gallon of vegetable oil dropped from N13, 500 to N12,000, while that of palm oil remained flat at the price of N12,000 within the same period. However, the price of a 50kg bag of Oloyin beans ro s e f ro m N 3 3 , 0 0 0 t o N37,500, while 100kg bag of Olotu beans increased from N40,000 to N44,000, but 100kg bag of garri dropped to N20,500 from N23,000 within the same period. A carton of frozen chickens witnessed a slight decline in price from N11,500

to between N10,000 and N10,500, while that of turkey, which previously sold for N13,000, now goes for N11,400. However, the price of kerosene witnessed a significant rise in last month while the price of refilling a cylinder cooking gas remained flat. A litre of kerosene, which sold for N200 at filling stations, is now N220. The 1.5 litres Eva water bottle of kerosene that sold for between N350 and N400 in April rose to between N400 and N500, depending on the location. “Patronage has dropped. I hardly sell up to one gallon of kerosene now unlike before,’’ Josephine Onokpa, a kero-

sene dealer in Lagos, said. To refill a 12.5kg cylinder cooking gas, consumers have to pay between N4,000 and N5,000, depending on the location. Biliya Lawal Adam, secretary of Perishable Goods’ section, Mile 12 Market, Lagos, had earlier attributed the high price of tomatoes to seasonal changes. “We get fresh pepper from three states. Sokoto State is the highest producer of pepper, but they are offseason at the moment. We now rely on pepper from Kaduna State and it is only one local government in the state that we can get pepper from. Sokoto will start harvesting in November/ December,” Lawal said.

BUSINESS DAY

BOOK REVIEW

Title of Book: Author: Year of Publication: Place of Publication: Publisher: Number of Pages: Genre: Reviewer:

Eat to Lose Weight Chinasa Amadi 2018 Nigeria Palace Publishers 64 Instructional Desmond Okon

at To Lose Weight, is a book that takes you through the journey to weight loss; and with an excellent, one-on-one dialogue, the author gets you into a world of revelations and facts. As the opening of the book, chapter one tells of the desire, that crave people have as soon as they begin to notice an increase in weight –oh, ‘I need to lose weight’. Given her line of work, Amadi uses stories of people (mainly clients) she’s come in contact with, to express that desire, and the narratives can well be related to by her target audience. Chapter two highlights how you can achieve weight loss on a very tight schedule. She urges, bearing in mind the busy schedule of professionals. Limiting the amount of salt and oils in the food, dancing vigorously at church services, standing up to walk every forty-five minutes while at the office, are some of the tips of getting rid of calories the author lists using Bisi as a case study, when you have a busy schedule. However, the ultimate and most profound thought expressed by her in this chapter vis-à-vis losing weight amidst a busy a schedule underscores making sacrifices as the only way to defeat over weight. “If I was going to make it work, I had to make sacrifices…. If she (Bisi) must be healthy…she has to make sacrifices!” says the Amadi. Chapter two…admonition! Tagged Naija Food For Life, chapter three gives a succinct analysis of the calorie content in most Nigerian foods, and further encourages her reader to strike a balance, both in his diet, (not taking too much of carbohydrates, but also taking proteins, vegetables, and fruits) and also in

exercising 9burning the calories as you consume). While reiterating the importance of abstaining from fries and promoting the boiling of foods that are naturally prone to frying, she exposes the reader to a rare fact that our Ogbono contains properties that could aid weight loss. As expected, the crux of the book comes next. Chapter four details two methods one can adopt on his journey to weight loss. First is the Basal Metabolic Rate, BMR, which she describes as one of the effective ways to lose weight, and gives a mathematical equation for calculating it for both male and female. Second, the author states, is Portion Control. This method works by using measuring cups to measure out your food after cooking. For women, 1.5 cups of any food is recommended, while men can do two cups. This is to avoid overeating on your path to weight loss, and avoid the starvation and deprivation that most people subject themselves to when trying to lose weight. This chapter also hints on the challenges you can face while on this journey: late night eating, the tendency of your friends and family being oblivious to your ‘new lifestyle’, etc, all packed up here. The meat of this chapter is how you can eat budget friendly foods and still lose weight. Chapter four…knowledge! Amadi well knows that eating healthy, or to escape being overweight could be tough and herculean, ergo, she devotes chapter five to addressing ways you can endure the process or “this new lifestyle you have adopted”, as she puts it. Chapter five…patience! The all-appealing posture of the book, this may be short-lived be-

Friday 25 May 2018 cause she went all gospeller citing a plethora of Scriptures in the last chapter. This religious citing may be a threat to the book at worst, or at least, an area to reconsider. The reason is quite simple: The name ‘Nigeria’ is still all encompassing, and chapter three of this book is tagged Naija Food For Life. Now, ‘Naija’ (a slang for Nigeria) Food for Llife, does not only talk about the diversity of food, but also subtly connotes the multi-religious nature of the country, and we have Christianity and Islam as the two major religions in Nigeria,( I’m sure she knows). Again, though it can be overlooked, a critical look reveals a lack of consistency in the use of parenthesis to explain ‘alien’ words when first used. For example, ‘akamu’ first appeared in page three and explained as (pap). ‘Akara’ explained as (fried bean cake) in page eighteen, ‘ponmo’ explained as (Cow skin), etc. But ‘eba’ first appeared in page eight but unexplained using the same parenthesis. ‘Garri’ and ‘eba’ appeared in page thirty-two, but again, left unexplained. Also, ‘Mbok’ and ‘Biko” suffer the same fate –unexplained. The glossary may be a way of covering for this lapse, but a lot of people don’t read it. And to assume all Nigerians know the meanings of these terms is a wrong move. However, the book, Eat To Lose Weight, is crafted with great finesse, with the thoughts expressed chronologically from the first chapter to the last, you can be sure not to miss a thing, or get confused about the matters addressed. Amadi’s use of real life experiences/stories like Bisi’s who has a busy schedule, yet wants to lose weight; Grace who had to break up her relationship to enable her focus on losing weight; Tony who craves to lose weight because of his poor performance in “the other room”; and Abdul who needs to lose weight because of the fear of dying from a heart attack just like his grandfather and father did; to make the intended message stick also qualifies the book as a lens through which others can see the plight of others, and the litany of reasons people want to lose weight. This, I applaud her for. Though an instructional material, devices employed in creative works are apparently spotted. One remarkable feature of the book is the humour splattered everywhere. You can’t read from chapter one to the last without laughing at some point. That’s impossible! With that the author shows she possesses a well of humour inside of her. For instance “sleeping hungry can cause bad dreams; you definitely….” “Oh yes, I am African”, she adds. Furthermore, the book is written in English and Pidgin. The language (or diction) employed is simple, such that the reader experiences a one-on-one dialogue with the author. The average reader will not struggle to grasp the information because she uses every-day-language to instruct her readers. And did I mention that it contains a free meal plan and graphical illustrations of myriads of exercises to help you kick-start your journey to decreasing your body fat to maintain good health? My bad!

WOMEN’S HUB

Light House Women’s Network to hold 5th edition of development conference KEMI AJUMOBI

omen’s social development group, The light House Women’s Network, organisers of the annual women’s development event program are having their 5th edition, themed ‘Sprints and Marathons’ Building A Sustainable Career tomorrow 26th of May 2018. The event will have 2 generations of working women both entrepreneurs and 9-5vers share their perspectives. Yewande Sadiku, Executive Secretary the Nigerian Promotion council and Muni Shonibare, CEO of IO furniture are the keynote speakers in this year’s edition. The other speakers for this year’s, conference includes Viola Graham-Douglas- Corporate Relations Director for Diageo, Lanre Dasilva Ajayi, Creative Director of LDA, Soromidayo George, Corporate affairs Director at Unilver, Onyinye Ikenna- Emeka, GM Marketing at MTN, Mueller Wilcox of Price Water House, Adara Mbele, Jane Ogu, Bolanle Olukanmi- Ebony TV presenter. The Lighthouse Network has over the years supported women’s development through various initiatives such as workshops,

Just Saying...

Nkiru structured mentorship and equipping undergraduates with job interviewing skills. The event which is holding by 10am at the Radisson Blu Hotel, Victoria Island has had remarkable speakers such as Hadiza Bala Usman (MD of The Nigerian Port Authority(NPA), Mo Abudu (CEO Ebony life ltd.), Osayi Alile(CEO Aspire Coronation Trust Foundation), Adesuwa Oyenokwe (Publisher and Editor-in-Chief of Today’s Woman) and more. Co- Founder, Nkiru OlumideOjo said “I am indeed looking forward to an amazing time tomorrow. It’s always a time of learning, interaction and networking. I am really looking forward to tomorrow and I am sure the participants feel the same way. Nkiru is a female enthusiast and author of the book, The Pressure Cooker- lessons from a woman at work- the group is a social community supporting the 9-5, Entrepreneurial woman and preparing young Girls or the work place.

Friday 25 May 2018

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Friday 25 May 2018

BUSINESS DAY Online

Highlight of the news reports on our digital platforms this week

Best five stories this week Why CBN sacked e-Tranzact directors

The National Chairman of the National Unity Party (NUP), Chief Perry Opara, has declared that former Governor of Kano State, Rabiu Musa Kwankwaso, appears more’ favoured to win the 2019 presidential election if he decides to run under the platform of the NUP.

The Central Bank of Nigeria (CBN) has asked the Chief Executive Officer, Valentine Obi, and two executive directors, Sulivan Akala and Ike Eze of e-Transact an electronic payment platform, to resign, BusinessDay can reveal.

Buhari’s claims on economy, past leaders mostly wrong, BusinessDay fact check shows Nigerian President Muhammadu Buhari Tuesday dished out some numbers to buttress how previous administrations, in his words, “lacked imagination in the management of the economy.”

The Yuan-Naira currency swap: Opportunities and risks consumers In view of the endless complaints by motorists and other consumers of Premium Motor Spirit (PMS), otherwise called fuel, about the sharp practices perpetrated by most filling stations in Nigeria, I visited 12 filling stations to ascertain the veracity of some of these complaints.

‘Kwankwaso will win 2019 Presidency if…’

POLL RESULTS: The Poll question: What is your preferred banking method? The results are out and 68% of Nigerians prefer mobile banking, 22% prefer using USSD codes and 10% prefer physical banking. What is your preference? Write us at digital@businessdayonline. com to let us know what your preference is.

Poll of the week

The finance and banking community in Nigeria welcomed last week’s announcement of the Yuan-Naira currency swap deal between Governor Yi Gang of the People’s Bank of China (PBOB), and Governor Godwin Emefiele

Tweet of the week

of the Central Bank of Nigeria.

Investigation: How filling stations short-change Video of the week

Cartoon of the week

Friday 25 May 2018

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COMMENT

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Friday 25 May 2018

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From nPDP to nAPC and then what? IK MUO Dr Muo is of the Department of Business Administration, OOU, Ago-Iwoye

ycommentariesareusually socio-economic, though they may have political implications. Today, I am venturing fully and directly into political terrain. After all, this is a political era with several primaries and secondries (The APC repeat-primary at Ekiti is a secondary!). However, be assured that it will touch our usual socioeconomic issues -greed, lack of, honour/integrity, politics without principles and wealth without work. Sometimes ago, some PDP members felt they were receiving a short end of the stick from their party. This group rejected the chairmanship of BarmangaTukur and worked out of the special National Convention in August 2013. Led by a former PDP acting national chairman, (a man’s enemy are members of his household! Mt, 10:36, Micah,7:6) Kawu Baraje, they formed the nPDP in November of the same year, and eventually, this group of political jobbers and opportunists joined the APC. Those who joined APC under the nPDP vehicle included Amaechi, Kwankwaso, Nyako, Ahmed, Wamakko, Nasir el Rufai, Masari, Jaja, Sylva, Tambuwal and

KEHINDE AKINFENWA Akinfenwa is of the Lagos State Ministry of Information & Strategy, Alausa, Ikeja

ne of the most consistent campaign promises of Lagos State Governor, Mr. Akinwunmi Ambode, was to ensure that Lagos becomes the arts and culture hub of Africa. The vehicle through which he hopes to achieve this is T.H.E.S.E. which is an acronym for Tourism, Hospitality, Entertainment and Sporting Excellence. With the country’s desire to open up her economy and diversify from a solely oil based economy, the pursuit of T.H.E.S.E. is, indeed, a strategic platform for the much needed economic diversification. Since his assumption in office, Governor Ambode has left no one in doubt about his resolve to grow the Lagos economy and empower the youth through several alternative means which include the tactical promotion of tourism, entertainment, sports, art and culture. Therefore, at the inception of his administration, Governor Akinwunmi Ambode realized that to achieve a monumental breakthrough in societal civilization, the value of the socio-cultural identity of the people must be accorded reference, thereby availing government the abundant of human and natural resources needed for socio- economic progress. To this end, the State government has shown extensive admiration for people oriented programs with series of concert and festivals used to tell the beautiful story of the city and rekindle the affection of nobleness and companionship that the city was founded upon. This desire by the Governor is recreating a connection between the

Saraki. Immediately they joined APC, all their sins were washed away, everything became new (2 Corinthians, 5:17) and they were immediately celebrated as progressive change-masters.That was when APC was a sought-after political virgin, which promised everything and all things, and without telling us the cost. Now, the wind has blown and we have seen the anus of the foul. We have seen some of the hidden and open costs of the failed change in the unprecedented rise in national debts, failure of governance, disconnect between the government and the governed and governance by propaganda and body language. But that is not my concern today. My concern is the emergence of nAPC which, as our people would say, will surely happen, if not in a week, then in a month (certain to happen, now or later). Recently, the disgruntled nPDP-inAPC, through their chairman (Barje) and secretary (Oyinlola), wrote to the embattled national Chairman of APC, John Oyegun, reminding him of their (nPDP) contribution to the ascendancy of APC in 2015 and then complained bitterly about ingratitude (failure to acknowledge their contributions), intimidation, marginalization, alienation, starvation cum financial strangulation (they called it lack of patronage), by the owners of APC! They followed it up with a pres-conference where they spat fire and brimstone and gave the APC a 7-day ultimatum to repent or… I do not sympathise with them. APC like most Nigerian parties have owners and joiners and the owners own everything including the

But one thing bothers me: why can’t politicians obey the law they have willingly given themselves? These political gymnastics would not have been possible if the parties followed their own constitutions yam and the knife with which to cut the yam. They joined and now they are reaping the fruits of political joinery. Of course, APC, like a man who got his wife from a beer parlour, should not be surprised if they saw the wife (or wives this time around) at the beer parlor again. While we await the reaction by the owners of APC, including lord and master from Daura, I have a free advice to Baraje and his co-travelers; just form thenAPC. The environment is favourable and they (nPDP-in-APC) have enviable expertise in shameless political permutation and combination. They just have to mention it and it shall come to become! Any observer of the political scene knows what I am talking about. In Oyo state, the usually taciturn Minister of Communications found his voice and openly assured his governor, Ajimobi, of a flat in prison after the next election. One of them is a sure-candidate for nAPC. In Imo state, the garrulous governor is at a do-or-die battle with his own party, to the extent

of ordering the arrest of party officials. In Ekiti state, some known thugs boldly disrupted the first primary in the full glare of security operatives and global media, which led to the second primaries, which is actually a secondary! Also, Mr Oni, a former governor, has threatened to dump the party. At the senate, some roughnecks boldly went in, despite the maximum-security architecture, seized the mace and quietly walked away. Orton of Benue has been abandoned by his own party and has taken over from late Sam Mbakwe as the modern day weeping governor. In Kaduna state, Shehu Sani has become an endangered specie while Melaye is being served with a menu that is worse than that prepared for terrorists. In Kano, where policemen are now the majority in the House of Assembly, Kwakwanso cannot even visit home without the consent of his former deputy governor who sits on the throne and an attempt to impeach the speaker has just failed. In Anambra, Ngige narrowly escaped lynching while in Bayelsa, Zamfara. Ebonyi and Enugu, there were parallel congresses, and in Rivers, the falcon (Abe) can no longer hear the falconer (Amaechi). At the Ondo primary, an APC stalwart was mercilessly flogged, and openly too, by thugs. Those who have been wrestled to the ground or given technical-knock-outs in the above political extreme-sports are ready-made materials for the nAPC, together with ‘thousands’ of their supporters! One does not have to be a Professor Dudley to know that the fruit is ripe and only requires plucking or even allowed

to fall on its own. Whether Baraje and his co-travelers have the credibility and shamelessness to form the nAPC is the question. I believe that they can because in the Nigerian political space, everything goes. But one thing bothers me: why can’t politicians obey the law they have willingly given themselves? These political gymnastics would not have been possible if the parties followed their own constitutions. Also, when do we enact or implement the law that anybody who leaves his party leaves whatever he obtained through the party? These developments have confirmed what we all know all along; that APC was not and is not a political party but a group of disparate and desperate individuals brought together by the love of filthy lucre. But this development has also shamed the owners of the English language who had said that a rolling stone gathers no moss. In this instance, those who rolled from PDP to nPDP to APC gathered a lot of moss, including senate presidency, powerful ministerial portfolios, state emperorships, amongst others! Even then, an nnPDP has emerged, disowning the ultimatum to APC; thieves are usually caught while sharing the loot! And el Rufai has told them to do their worst,since APC would win without nPDP-in-APC

Note: the rest of this article continues in the online edition of Business Day @https://businessdayonline.com/ Send reactions to: comment@businessdayonline.

Lagos and the promotion of arts and culture people and certain social values, beliefs, religions and customs. Lagos is often painted as a land of long history and culture, where hard work triumph, economic opportunities bountiful and with a great interest in arts and entertainment. The State is a microscopic representation of the country at large, a melting point of diverse culture and tradition where every tribe in Nigeria has a face. The eventful anniversary celebration of the City’s 50 years of creation themed ‘enhanced the heritage, advance the future’ vividly captured the rich cultural diversity that has accompanied the State through its journey. Series of musical concerts were used to usher the people into the one year celebration, Waaka, the Evening Jazz, Jazz meets Fashion, Kakadu, the Musical, Fela Concert among others were used to present the beautiful story of the city using different genres of music. Consequently, several festivals and art performances were staged at different locations of the city to convey the struggle and triumph of the state in the past five decades to the entire world. The Lagos Carnival held during this period symbolized the diversity in Lagos culture where beautiful costumes and various entertainments went on rampage. The Carnival portrays an extensive mixture of Nigerian, Brazilian and Cuban heritage present in the State. The Eyo (Adamu Orisha) festival, which historically has an intrinsic relevance in the prosperity of the people’s endeavors, was also invoked to convey the value of Lagos

culture. On the strength of its international outlook, the State was celebrated at the prestigious Toronto International Film Festival where eight films from the city were shown on the global scene. Lagos is the first African city to command such respect. This affirmed that the international community understands and appreciates the beauty and the prosperity inherent in the State’s creative industry. More so, the One Lagos Fiesta initiative has greatly influenced the entertainment and creative industry of the country, projecting the State as a symbol of class and panacea. Since its inception in 2015, the fiesta has been the most anticipated show in the State because of its scope and contents that have continue to accommodate ingenuity that serves Lagosians. The fiesta has metamorphosed to become the largest musical concert in the SubSaharan African, commanding over 50 renowned Musical Artists. In spite of its economic and political affluence, the government has bestowed keen interest on the culture and relevance of its people by committing to the preservation and extension of its value. The annual Boat Regatta, a festival common to the traditional coastline communities in the State has garnered a significant reputation with its amazing display of cultural vitality on water. The event has continued to highlight the State’s aquatic splendors and promotes the relevance of the custom and tradition of riverine dwellers. Also, the Lagos Street Carnival held along the stretch of Oba Akran Road in Ikeja early December of 2017 typified the premium placed on the identity

and customs of different ethnicity and religion in the State. The event was a parade of colors where diverse people in different attires showcased the uniqueness in their identity to the entire world thereby creating an impression that Lagos remains the theatre of entertainment in Africa. The State government is facilitating people oriented programs through Public Private Partnership that will advance the provision of excellent infrastructure for the hospitality industry, opens the State for economic progress and create a rewarding atmosphere for corporate organizations. In the past three years, the State has supported a broadband of privately driven Concert and Festivals by providing institutional mechanism that meets the purpose; one of such is the maiden edition of the Nigeria Beer Festival, the largest beer gathering in the country. The experience of the one-week entertainment festival created immense opportunities for Lagosians with a large turnout of diplomatic community in the country and Neighboring West African region. More so, the hosting of the 2017 annual Africa Movie Academy Awards (AMAA) by the State government where the best of African movie stars, directors, producers, various foreign media houses and production companies appreciated the irresistible narratives of the history, the people and the positive development across the State. The Lagos City Suya Carnival is another world record event staged to redefine and celebrate the essence of the universal delicacy. The idea

of the edible-oriented carnival was to promote tourism using Suya, a mainstream delicacy to exhibit the good culture, food and opportunities locked in the metropolis. The feast broke the Guinness Book of Record of the longest Suya steak with the production of a single 50ft suya. Similarly, the endorsement of Olamide’s concert by the State government captures the ambience of freedom the state has propelled in advancing creativity and unearths the enormous potentials in the entertainment industry. These and many others enchanting events is what has made the city a global phenomena. The initiative and the vision of the Lagos State government to establish an open door opportunity to prosperity through tourism and entertainment is revolutionizing the economic and socio-cultural structure of the state. However, the impact of this is not farfetched when you consider the upsurge of local and international investors trooping into the State and ready to explore the avalanche of business opportunities identified during their tourism expedition. By providing ample avenue for both small and medium scale enterprises to thrive and creating platforms for multinational companies to find their feet, the government is expanding the economic horizon of the State and the nation at large, thereby moving the State along the path of sustainable prosperity.

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Cora Liam joins the public service SOJI APAMPA Olusoji Apampa is the CEO of The Convention on Business Integrity. Twitter: @sojapa E-mail: aviga@ cbinigeria.com

s. Cora Liam joined a parastatal of a Federal Ministry in Abuja, March 2014. She wrote her application letter in the office of the Director-General in April 2014, which was backdated to March 2014. Her aunt is Chairperson of the board of the parastatal and a close friend of the DG. On her second week as an officer, a colleague, Bolatito, invited her out to lunch and decided It was her responsibility to show Cora “the lay of the land.” At lunch she explained to her who-is-who in the department, how they relate with each other, who is on good terms with whom all the way down to from whom to buy lunch and who is selling what within the department. She also explained to her how the department works and which suppliers she was never to “mess with”. Cora was given her first task a week later; the director had chosen her to retire the department’s float of N50k. No receipts were

MUHAMMAD AJAH Muhammad Ajah is an advocate of humanity, peace and good governance in Abuja. E-mail mobahawwah@yahoo.co.uk.

hen I recently visited a private primary school, I attended a social studies class of children between the ages of five and seven. I was impressed by the high level of intelligence displayed by the children. They were very hopeful that their futures are bright. I could see it in the way they responded to questions. Every question received quite impressive answers. And for every question, all the children raised their hands, an indication that their teachers were up and doing. But I was dumbfounded by the reaction of these young sinless creatures towards governance. I sat and listened as the teacher taught his subject and then threw a question to the floor after the lesson: “Ok, what do you want to be in future?” The children competed to be recognized and heard. “I want to be a pilot”, one said. “I want to be an engineer”, another replied. “I want to be a banker”, the third said. “I want to be a farmer”, the fourth proclaimed. The children went on one by one choosing different professions even as some of them contested for already mentioned ones including being doctor, nurse, teacher, business personality, captain, soldier, footballer and so on. I doubt if I heard anyone say police.

given but she had to retire the sum and Cora was left wondering how. She summoned up the courage and confronted her director about her predicament and Mr. Salihu merely told her to “sort it out!”Bolatito, her self-appointed “guardian” calmed her down and presented her with a “template.” She was told, “simply change the dates and re-arrange the items” and proceeded to “assist her” with a stock of blank receipts from different suppliers. At this point, the initial lunch date with Bolatito started to make sense to Cora. Three months down the line and Cora was yet to receive her first salary or any other payment from the government and she was beginning to fret about her personal finances. She complained to her “guardian” who smiled and reassured her with the words, “leave it to me.” Behind the scenes Bolatito spoke to Mr. Salihu and before long, Cora was placed in a Committee responsible for hosting a major event in Lagos. The Assistant Director (AD), Mrs. Ezenwanyin summoned Cora to a meeting to discuss catering arrangements for the event. She started by asking Cora how well she was “settling down” and whether or not she had managed to make any friends in the department. Cora very enthusiastically described her emerging friendship with Bolatito at which point Mrs. Ezenwanyin appeared “visibly satisfied with her progress.” The AD confidently asked if Bolatito

It was then Cora learned that Mrs. E was herself Ebidomo Boyloaf Agro-Edibles and that the other bosses had an “interest” in the other vendors that were used. Bolatito and Selina supplied receipts to retire the N1m and at the end of the day, N200k came to Cora. She justified keeping this money to herself since everyone was doing it and it seemed the only way to get by had mentioned the Civil Service rules, financial guidelines and “how things are done around here.” She promised that Cora would soon receive copies of these vital documents. The AD concluded the meeting by warning Cora that not all suppliers were reliable; only a few tried and tested ones ever deliver good value. She directed Cora to ensure Ebidomo Boyloaf Agro-Edible Enterprises Ltd. provided the catering for the event as they are a tried and tested supplier. Cora wondered what all that was about. A few minutes later, Cora received an alert from the bank, N5m had just been lodged into her personal account. As though right on cue, the Director

Finance & Admin came by her desk to confirm the payment as “logistics” for the forthcoming event. The DG was off on an overnight trip to Port-Harcourt, and having heard through the grapevine that Cora was complaining about not being paid, as a “favour” he included her in his entourage for the courtesy visit. Notice of the trip and N120k for flight and logistics reached her just as she was packing up to leave the office at 3pm and the trip was the next day. The next morning, Bolatito dragged Cora onto the very first ABC bus leaving for PH and they spent the night at one of Cora’s friends, whom she had served with. On their return, Cora was introduced to Selina in accounts (whom she is told “normally helps” with such things) and for the price of a meal ordered from a nearby Bukka, N120k was retired. As a lawyer in the unit, she had neither received her dressing allowance nor any other entitlement and the government “owed it to her not to bankrupt her just because she took a public service job.” Cora settled some of her mounting debts and bought a nice skirt suit from one of the directors in the other department who trades on the side. She also managed to bring back some smoked fish for Mrs. ‘E’ as she now called Ezenwanyi, Mr. ‘S’ her director and the DG. Cora decided to pay Bolatito a visit at home to thank her for all her help. She was shocked to find a 2017 Land Rover Sports parked outside

her flat in a highbrow end of town. The event came and went. All payments were made in cash by withdrawals made from Cora’s account as directed by her superiors and she was intrigued that all suppliers told her amounts they had been told to fill in the receipts. At the end, the un-receipted funds stood at some N1m. In a pang of conscience Cora tried to refund the balance and her colleagues came down on her like a ton of bricks! It was up to Bolatito again to explain, “how such things are handled” in the service. It was then Cora learned that Mrs. E was herself Ebidomo Boyloaf Agro-Edibles and that the other bosses had an “interest” in the other vendors that were used. Bolatito and Selina supplied receipts to retire the N1m and at the end of the day, N200k came to Cora. She justified keeping this money to herself since everyone was doing it and it seemed the only way to get by. That very day after signing off on the retirements, she received an alert that her N35k/month after tax salary for the last 3 months (officially) since she started work, (N105k in all) had now also been credited to her and thus began the career of Ms. Cora Liam in the Federal Civil Service. This is an obviously fictitious account of the encounters of a non-existent graduate joining an imaginary Federal Parastatal. Are the corruption schemes described in this account also fake? Tell me.

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Building our children for the future I could not understand why. I paid keen attention to the mindboggling revelations from these future leaders almost with hidden tears. The teacher asked them to clap for themselves and there was a thunderous sound as all were satisfied to have made the best choice for their future. Some of the more vibrant children made further explanations before or after making their choice profession. Some of them said it was their father who told them what they would be; some said it was their mothers; some said it was their uncles, aunties. However, few said that they were influenced by what they heard or watched on the television especially movies. It was quite clear that something had influenced a lot of choices. But there was a surprise. A surprise, indeed! I was given the opportunity to address the children. I thanked them for such wonderful careers they have made for their futures. I praised the teacher for being wonderful in his profession, including the techniques he employed. Then, I told them that none made the choice of some critical professions in Nigeria. They were astonished and they looked at one another as if to disprove me. So, I threw the question to the floor: “Who wants to be a politician?” There was complete silence initially. Most of them did not raise their hands apparently because they did not understand the work of a politician. It was clear that

they knew the duties attached to the professions they had chosen. The four children who raised their fingers had different views on why they would be politicians. The first said: “I want to be a politician so that I can be very rich”. The second replied: “I want to be a politician so that I will own plenty houses and cars”. The third said: “I want to be a politician so that I will have power and body guards”. And the fourth, to the surprise of everybody in the class, replied: “Uncle, I don’t want to be a politician because they are thieves.” After some efforts to convince the child against such perception, he said that sometimes when they watched the TV at home, his father would shout: “These politicians have come again! They are thieves! They are liars! I don’t like these people.” The little boy said that some other times, the father would switch off the TV or walk away into his room. Then I asked the second question: “Who wants to be the president of Nigeria?” All the children raised up their fingers except the same boy who abhors to be a politician. When asked why, he said “My parents told me that our presidents do not fulfill promises. They tell lies and steal the money of our country. But my parents and my teachers tell us to fulfill promises, to be truthful and sincere and not to steal. So, I will not disobey my parents”. The class teacher and I were speechless. The teacher smiled softly apparently proud of the child’s courage and

intelligence. Then I threw the third question: “Who wants to be a lawyer?” Though it was already chosen, I wanted to be sure of the number of children interested in the profession. Only very few raised up their fingers. I turned round and asked one of those who refused to raise her finger and she replied: “I heard that a lawyer tells lies because he can free a thief at the court. I also learnt that many of them collect bribe to do cases at the court. It is not a good conduct”. That was the perception of the little girl. I want to relate this experience in a children’s class to the reality in our politics. When a child begins to suspect the misconduct of its parents, it is only a diehard inhuman parent that will resist to change his/ her way. Every responsible parent wants the child to be good. Today, Nigerian children are feeling the heat in their country and therefore are asking their parents, uncles and aunties to retract their steps and march on the path that will guarantee their future. Imagine what a little child perceives of a Nigerian politician! This is in a school of the privileged because I am pretty sure that the smartness I saw in the children could not be of the learners in our public schools. It is possible that some of the parents of those children were politicians. However, I did not ask the professions of their parents in order not to disabuse them before their highly positive-

minded children. Summarily from the retorts of the children, they hated politics because of corruption. It is as if corruption is an indispensable part of Nigerian politics, as if there is no saint amongst Nigerian politicians. By the way, the children may have been influenced. Yet, innocence perceives better than contaminated and overburdened brain. And if truth was to be, there is nothing less than the reality that politicians are the primary cause of Nigeria’s woes. I picked special interest in the reaction of the parent who watched the television with his child. He shouted that the politicians are always bereft of the truth. They tell lies and make promises that are never fulfilled. I am sure that is the position of millions of Nigerian parents. That is the influence of parents over their children. But what positive effects have these influences had on the children who grow to replace their parents. If there had been good impacts of the parents on their children since, at least 1960 when Nigeria got her independence, things would have changed. This bad perception by the modern Nigerian would have not been.

Note: the rest of this article continues in the online edition of Business Day @https://businessdayonline.com/ Send reactions to: comment@businessdayonline.com

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Editorial PUBLISHER/CEO

Frank Aigbogun EDITOR-IN-CHIEF Prof. Onwuchekwa Jemie EDITOR Anthony Osae-Brown DEPUTY EDITORS John Osadolor, Abuja Bill Okonedo NEWS EDITOR Patrick Atuanya EXECUTIVE DIRECTOR, SALES AND MARKETING Kola Garuba EXECUTIVE DIRECTOR, OPERATIONS Fabian Akagha EXECUTIVE DIRECTOR, DIGITAL SERVICES Oghenevwoke Ighure ADVERT MANAGER Adeola Ajewole MANAGER, SYSTEMS & CONTROL Emeka Ifeanyi MANAGER, CONFERENCES & EVENTS Obiora Onyeaso SUBSCRIPTIONS MANAGER Patrick Ijegbai CIRCULATION MANAGER John Okpaire GM, BUSINESS DEVELOPMENT (North)

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Friday 25 May 2018

Lack of conviction in anticorruption war

he corruption and financial crimes cases trial monitoring committee (COTRIMCO) set up by the Chief Justice late last year has submitted its interim report. It blamed the prosecution, courts and prison service for delay in trails. But mainly it blamed prosecutor’s incompetence for the failure of the most of the cases. Giving a briefing of the committee report, Soji Oye, Director of Information of the National Judicial Commission, NJC, “the Corruption and Financial Crimes Cases Trial Monitoring Committee has identified poor prosecution, absence of counsel for parties in court, reliance on irrelevant documentary evidence, multiplicity of charges, non-adherence to court rules/ procedures, retirement/transfer of judges, re-assignment of cases to start de novo, amendment to charges after commencement of trial, and cumbersome record transmission process to Court of Appeal amongst others as some of the factors militating against speedy disposal of corruption cases. This run counter to the frequent claims of president Muhammadu Buhari that the judiciary has been frustrating his administration’s fight against corruption. For instance, in July 2016, at the National Judicial

Institute in Abuja blamed the judiciary – particularly lawyers and judges for the delays in the administration of criminal justice in Nigeria. Hear him: “I am worried that the expectation of the public is yet to be met by the judiciary with regard to the removal of delay and the toleration of delay tactics by lawyers.” “When cases are not concluded the negative impression is given that crime pays. So far, the corruption cases filed by government are not progressing as speedily as they should in spite of the Administration of Criminal Justice Act of 2015 essentially because the courts allow some lawyers to frustrate the reforms introduced by law.” Equally, in 2016 the president, in a town hall meeting with Nigerians in Addis Ababa, Ethiopia, alluded that the judiciary remained his main headache in the fight against corruption. He was quoted as saying then: “On the fight against corruption vis-à-vis the judiciary, Nigerians will be right to say that is my main headache for now. If you reflect on what I went through for 12 years when I wanted to be the President...In my first attempt in 2003, I ended up at the Supreme Court and for 13 months I was in court. The second attempt in 2007, I was in court close to 20 months and in 2011, my third attempt, I was also in court for nine months...All these cases went up to the Supreme Court until the fourth time in 2015, when

God agreed that I will be President of Nigeria.” True, the judiciary, like all institutions in Nigeria, is not immune to corruption and the erosion of values. There are proven cases of corruption in the judiciary and in most cases, the judiciary has often allowed the rich and highly connected law-breakers to easily escape justice while coming down heavily on the petty malfeasance of the poor. However, we condemn the selfrighteous posture of the President and the inability of his administration to record significant convictions on the judiciary. To lay all the blame for the non-conviction of corrupt officials on the judiciary is to be hypocritical at best. Like the COTRIMCO interim report laid bare, the inability of government to successfully see to the conviction of corrupt officials have more to do with the incompetence and lack of grit of the Nigerian state to effectively and diligently prosecute cases against erring officials than a corrupt judiciary. The judiciary is meant to be an arbiter, a referee of sort, and is not expected to take sides in disputes. The universal principle of “he who alleges must prove” applies to the government too. In most cases, shoddy, lazy and incompetent investigation and prosecution combine to scuttle the cases of the government. That cannot be blamed on the judiciary neither can the judiciary lessen the

burden of proof on the government. We must state that the most effective way to secure conviction of corrupt individuals is through diligent and thorough investigation and prosecution, coupled with the presence of an efficient, reliable and a firm court system that is not susceptible to manipulation and not an appeal to lawyers not to represent corrupt people or delay cases in court. In climes like the United Kingdom and the United States, governments uphold the rights of every citizen to the services of a professional lawyer and at the same time vigorously prosecute and secure the conviction of those who go against the law. The key, as usual, is the dexterity, hard work, and diligence put into the investigation and prosecution of offenders and the efficient non-corrupt court system in those countries. However, in Nigeria, shoddy investigation, lazy prosecution and a disorganised and compromised judiciary have combined to make nonsense of the justice system. No wonder then that while someone like James Ibori, the former governor of Delta State, was discharged and acquitted on an almost 160 count of corruption and mismanagement of public funds in Nigeria, he pleaded guilty to avoid trial on similar offences in the United Kingdom. But he also had the best of lawyers in the United Kingdom just as he had in Nigeria.

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Friday 25 May 2018

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BUSINESS DAY

Diamond Bank positions for growth, as retail deepens penetration

Pg. 14

Co m pa n y n e w s a n a ly s i s a n d i n s i g h t

Big investments of US firms in Nigeria deepening trade ties — Flour Mills chairman ODINAKA ANUDU

ohn Coumantaros, co-chair of the United States Nigeria Council (USNC) and chairman of Flour Mills Nigeria, says the investments of United States entrepreneurs in critical sectors of the Nigerian economy have deepened commercial ties between the US and Nigeria. This he said include in the areas of economic development, economic diversification and job creation. Coumantaros, who stated this at the USNC’s annual spring reception and members’ dinner on the margin of the World Bank-IMF meetings in Washington DC, USA, recently, also lauded the council’s support towards ensuring the growth of entrepreneurship in Nigeria, saying that this had further boosted the bilateral trade between the US and Nigeria while strengthening industrial development. Coumantaros noted that the USNC was focused on deepening the US -Nigeria commercial partnerships at a critical time Nigeria’s economy needed more foreign direct investment inflow. He, however, appreciated the presence of senior business executives at the dinner. “At these dinners, we seek to uncover areas of shared interest and pave the way towards joint ventures, partnerships and

diversified investments. USNC has supported entrepreneurs in Nigeria to grow. Tomato Jos, for example, has received additional investment that enabled the company to invest in irrigation, additional land and access the full range of support and expertise from agribusinesses

like Flour Mills of Nigeria, but also other member companies,” Coumantaros added. Also speaking at the event, Terence McCulley, new chairman of USNC and former US Ambassador to Nigeria, said that the USNC was the only group focused solely on facilitating US-Nigerian joint

ventures and partnerships, adding that it had succeeded in meeting its goals, with deals emerging from every reception and dinner it hosted. McCulley added that council was currently working with the Nigerian Ministry of Trade and Investment on industrialisation

L-R: Olukunle Iyanda, president and chairman of council, Nigerian Institute of Management (Chartered); Nasiru Musa Yauri, guest speaker and Hafiz Bakare, MD/CEO, HBO Consulting and former MD/CEO, Keystone Bank Plc; at a Colloquium on Structure and Organisational Performance organised by the Institute in Lagos.

efforts and had been helping one of its members, Zipline, advance its innovative project in Nigeria to deliver blood and essential medication via drones. McCulley noted that in five years, the Council could look back and say that the partnerships and relationships formed between U.S. and Nigerian members significantly and measurably contributed to Nigeria’s development, economic diversification, and job creation. He acknowledged founding members: Dangote Group, Oando, Access Bank, Zenith Bank, Chevron and the Nigerian Sovereign Investment Authority and the young entrepreneurs who attended the reception and dinner. Earlier, in his opening remarks, Eliot Pence, executive director of the Council, had said that the council was founded to act as a convener, clearinghouse and catalyst for business and investment opportunities for US and Nigerian firms. Pence added that the reception and dinner was the 4th of its kind following successful dinners and receptions in Washington DC, New York and Lagos since its inception in 2016. The council reception had over 100 US and Nigerian senior executives in attendance. Nigerian Ambassador Sylvanus Nsofor participated in the reception and pledged embassy support for USNC efforts.

African Finance Corporation, Republic of Zimbabwe Tribunal overrules FCMB in N2.5bn debt against Securities and Exchange the shares nor was his money target greater infrastructure development HARRISON EDEH, Abuja Commission [SEC], Central returned to him as required by

he Republic of Zimbabwe (“Zimbabwe”) has become the nineteenth (19th) member state of the Africa Finance Corporation (“AFC” or “the Corporation”), Africa’s leading infrastructure development finance institution. Referencing infrastructure development as being amongst the top of his agenda, Emmerson Mnangagwa, president of Zimbabwe declared. He said AFC has already begun the process of exploring, alongside the Infrastructure Development Bank of Zimbabwe (“IDBZ”), opportunities for investment. The IDBZ has a national mandate to champion infrastructure development in Zimbabwe in the key sectors of energy, transport, housing, ICT, water and sanitation. Recently, the Bank was designated by Government of Zimbabwe to be the focal and national

implementing entity for Green Climate Finance and is currently undergoing accreditation to GCF; a development which makes the IDBZ an ideal partner for the AFC’s entry into the Zimbabwean market. Zimbabwe’s membership in the AFC will significantly enhance the Bank’s resource mobilisation efforts towards funding the country’s huge infrastructure needs. Against this background, Zimbabwe’s Minister of Finance and Economic Development has signed the Instrument of Adherence to the Member of Africa Finance Corporation on 09 May 2018. In 2018 alone, AFC has already marked some major milestones in the diversification of its membership and shareholding; with the African Reinsurance Corporation and the Republic of Malawi joining the Corporation in February and March, respec-

tively. Zimbabwe’s membership of AFC is a welcome development for both the country and the Corporation. Andrew Alli, President and CEO of AFC, commented on the announcement: “We are pleased to welcome Zimbabwe as a member state of AFC. We view the ongoing political and economic renaissance positively and hope that we can contribute effectiveely to the revitalization of infrastructure within the country”. Patrick Chinamasa, Zimbabwe’s Minister of Finance and Economic Development, commented on the announcement: “AFC’s business model has proven that the African continent can effectively mobilise infrastructure financing by itself. We enjoin other African States to join the Corporation, promulgating home-grown solutions to our infrastructure challenges”.

he Investments and Securities Tribunal (IST) sitting in Abuja has finally resolved a decade-long cyclical dispute between a stock broking firm, Valueline Securities and Investments Ltd and First City Monument Bank Plc (FCMB) over repayment of N2.5 Billion shares Purchase Fund. The Fund ITS confirmed in a statement issued on Tuesday was misappropriated in 2008 by the defunct FinBank Plc with which FCMB Consummated a merger. The matter had been handled by the Securities and Exchange Commission, SEC, the Central Bank of Nigeria, CBN, and Assets Management Company of Nigeria, AMCON and the Federal High Courts over the decade. Giving judgment in the case filed by Valueline Securities and Investments Ltd as Claimant

Bank of Nigeria [CBN] and First City Monument Bank Plc as 1st, 2nd, and 3rd Defendants, the Tribunal found FCMB liable to pay the Claimant an outstanding debt of N988,533,205.86 plus further accrued interest calculated at 18 percnt in the manner earlier directed by SEC pursuant to her statutory powers listed in Section 96 of the Investments and Securities Act [ISA] 2007. The FCMB Plc is also to pay a penalty of N500, 000.00 to the Claimant as cost of the legal action and a further 10 percent interest on the judgment debt from the date of the judgment until final defrayment. The Chairman of the Tribunal, Siaka Isaiah Idoko-Akoh, who delivered the judgment explained that the Claimant’s case was that in 2008, it applied for and deposited N2.5 billion to buy shares in the FINBANK Public Offer but at the end was neither allotted

capital market regulations. According to its pleadings and testimonies, Idoko-Akoh said the Claimant petitioned the SEC after failing to get its refund. The SEC in line with its regulatory functions investigated the complaint, found FINBANK culpable and ordered it to pay back the N2.5 billion with 18 percent interest per annum from September 23, 2008 until full liquidation. However, when the Bank failed to pay, the SEC sought the intervention of the CBN; coincidentally, at the time when the FCMB and FINBANK were planning a merger. An All Parties Meeting [APM] was convened where the FCMB undertook to repay the indebtedness of FINBank and for its account with the CBN to be debited at source by CBN provided the merger of the two banks was approved by SEC to succeed.

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Friday 25 May 2018

COMPANIES & MARKETS

Diamond Bank positions for growth, as retail deepens penetration

iamond Bank Plc is strongly positioning for grow th with a significant progress made in retain expansion in the 2017. Uzoma Dozie, chief executive officer of the bank said Diamond Bank made good progress in executing its technology-led retail banking strategy in 2017. We increased our market share and drove scale through a combination of technology and expansion of our services across additional platforms. For instance, we made additional inroads to the unbanked and underbanked populations with the support of our international partners. In addition, the rapid rollout of products and services for entrepreneurs, and small and medium business owners gained significant traction and is a trend that is set to continue. He said the banks gross earnings rose by 9 percent year to year to N203.3 billion due to increase in interest income for the 2017 financial year. The bank’s net fees and commission were down by 1.3 percent year-on-year although impairment charges also trended downwards 0.3

percent year-on-year to N56.8 billion following continued efforts to improve the quality of the loan book, particularly in the Oil and Gas mid-stream sector. Operating costs of the Bank rose by 6.2 percent due to foreign exchange rate impact following the devaluation of the naira during the year. “At a macro level, the economic environment improved, albeit marginally. Against this backdrop and Nigeria’s broader positive fundamentals, we disposed of some non-core assets to optimise the use of our resources and focus on the significant potential of our domestic market. By taking this action, Diamond Bank is better positioned to accelerate its growth, productivity and profitability in the short to medium term,” continued Uzoma. The Bank recorded a decrease in profit before tax year-on-year because of higher operating expenses, although investments in technology are starting to drive operational efficiencies. Total asset increased by 2 percent, which was mostly driven by marginal improvements recorded in customer deposits. Diamond Bank reviewed ownership of non-core as-

TCN, ECOWAS set to launch regional electricity market expansion HARRISON EDEH, & CYNTHIA EGBOBOH, Abuja

h e T ra n s m i s s i o n Company of Nigeria (TCN) said plans are underway for the launch of the regional electricity market expansion in collaboration with the Economic of West African States (ECOWAS). Usman Gur Mohammed, CEO Transmission Company of Nigeria, TCN said in Abuja that already trade activities is on going with stakeholders in ECOWAS adding that there is need for broader expansion as Nigeria is the biggest exporter of energy in the sub- region. According to the TCN Managing director, “We will be organising a workshop that will host all the distribution companies (Discos) across West Africa to improve their operations to ensure effective operation of the market”. “The west Africa power pool (WAPP) is aimed at creat-

ing and building power structures across west Africa while the Ecowas regional electricity regulations authority (erera) is saddled with the responsibility of regulating energy trade across west Africa”. The TCN Managing director further explained that the problems associated with electricity is not perculiar to Nigeria alone adding that there is a mechanism in place to ensure improve performance of the power sector through power pool as Nigeria is a major driver and the largest financial contributor to the west Africa power pool (WAPP). In his own remarks, Siengin Appollinare, secretary general WAPP said that there is need for the excess electricity to be sold to further build up the electricity economy of a particular society as excess electricity cannot be stored. “While getting electricity to the society, the excess should be sold to help electricity economy”.

L-R: Enitan Denloye, vice president, brands and marketing, Airtel Nigeria; Oluwaseun Adaramola, senior brand manager, Airtel Nigeria; Ahmad Mokhles, chief commercial officer, Airtel Nigeria; Lanre Adisa, chief creative officer, Noah’s Ark Communications Limited, and Abolaji Alausa, executive creative director, during the presentation of awards won at African Cristal Festival in Marakesh, Morocco to Airtel management team in Lagos.

sets to focus on the significant opportunities in Nigeria, particularly in retail banking. This led to the divestment from Diamond Bank business in West Africa, with that in United Kingdom set to follow. To restore its technologyled retail banking strategy, the Bank successfully delivered new initiatives, by building additional ecosystems and

the expansion of customer services across different platforms. These include the DreamVille platform – the first Nigerian gamification portal for banking aimed at improving financial literacy and participation amongst youths. “Although more work is to be done, particularly in relation to our oil and gas

exposure, overall the quality of the loan book has improved. This will remain a key area of focus over the next 12 months. Looking ahead, I am optimistic that due to the actions we have taken as well as an improving economy, Diamond Bank will continue to make good progress and achieve greater profitability, concluded Uzoma’’

Observations on the floor of the Exchange, analysts and industry watchers opined that the Bank has been rightly positioned for accelerated growth in the next business years ahead, noting that with the strong retail strategy, digital infrastructure and focused management, the core fundamentals have continued to look up.

Study offers hope for Africa’s fourth industrial revolution for manufacturing sector MIKE OCHONMA

newly released study into prospects for manufacturing in Africa offers a relatively upbeat assessment of the industrialisation opportunities that could arise should governments move decisively to harness the disruptive trends associated with the unfolding fourth industrial revolution. Titled ‘Made in Africa: Manufacturing and the fourth

industrial revolution’, the report was written by the Institute for Security Studies founder and chairperson Jakkie Cilliers, with support from the Hanns Seidel Foundation and the Swedish International Development Cooperation Agency. It concludes that, while the contribution of manufacturing to gross domestic product has stagnated since the mid-1980s, Africa will not close its income gap with the rest of the world in the absence of greater in-

dustrialisation. The report also warns that the current rapid expansion of retail services is retarding growth. “Rather than improving productivity, Africa’s structural transformation from low-productivity agriculture to lowproductivity urban-based retail services has therefore been ‘growth reducing’. This is because the share of workers employed in highproductivity sectors such as manufacturing is declining,

offsetting positive ‘within sector’ productivity growth.” Speaking at the release of the study, Cilliers stressed that the labour- and capital-intensity of manufacturing was decreasing. Nevertheless, without moving up the productivity value chain “Africa will remain poor”. Reversing the prevailing trend of premature deindustrialisation would require a “huge effort” by governments in support of the expansion of their productive sectors of economy.

AXA Mansard educates on financial planning at NYSC Orientation Camps

n line with her youth engagement strategy, AXA Mansard Insurance Plc, a member of the AXA Group and has stormed various National Youth Service Corps (NYSC) Orientation camps across the country, educating on decisions that impact finances and future. The AXA Mansard team, which comprised of experts from all lines of the business, namely Insurance, Investment, Pensions and Health Insurance, engaged Corp Members

in Lagos, Rivers States and the Federal Capital Territory (FCT) on the various solutions available for them across the AXA Mansard range of products. Speaking on this engagement, Kola Oni, group head, Strategy, Marketing and Business Transformation at AXA Mansard Group noted that, “At AXA Mansard, we are always delighted to empower Corp Members because they are at the verge of making critical life decisions that relate to living a better life and our product of-

ferings in General Insurance, Savings & Investment, Pensions and Health Insurance will help them live life to the fullest.” According to him, AXA Mansard is a genuine and trusted partner that protects people through its tailored offerings. These solutions are available to empower our youths as they plan to protect and secure their future, early in life. It is equally important for them to know that AXA Mansard Pensions would help them in securing their future through retirement

savings. AXA Mansard is at the vanguard of empowering and transforming people’s lives when making financial decisions that would positively impact their wellbeing. Nigerians have been tremendously enriched through the various products across the Group. AXA Mansard also recently unveiled her MyAXA Mobile App and EasyCare Health plan further enriching her offerings to youths specifically and her customers in general.

Friday 25 May 2018

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BUSINESS DAY

COMPANIES & MARKETS UBA paving the way for Chinese investments into Africa

frica is definitely rising on all fronts a n d i nve s t o r s who are looking for new business opportunities are all eyes on the continent. The rewards seem endless especially for savvy investor trying to get in there first. And one does not need a crystal ball to ascertain that Nigeria is one of the fastest growing investment destinations in Africa. According to Voice of America, Chinese president Xi Jinping offered a whopping $60bn loan and aid package to Africa in December 2015. Xi said that China aims to develop infrastructure, improve agriculture and reduce poverty on the continent. China’s investment in Africa is far beyond Xi’s recent offer: its investment there has skyrocketed from $7bn in 2008 to $26bn in 2013. China’s investment and economic influence in the entire African continent is impressive. There is huge evidence of these funds and investment gradually swelling astronomically across Africa and particularly Nigeria as is evidenced in the following: Infrastructural development, trade partnerships, Foreign Direct Investments, and gradual influx of Chinese citizens into Nigeria. China is one of Nigeria and also of Africa’s largest trading partners and Nigeria is the first-largest investment receiver from China based on the number of deals China has made with each African country. Therefore Nigeria is being assessed as a gateway to Africa via the lens of China’s investment in Africa and beyond where Chinese companies businessmen and investors are already playing a leading role. China is becoming more and more interested in Nigerian banks, and Chinese banks are

interested in Nigeria. With the combination of growing interests comes an important element a potential investor looks out for in attaining his/her goals: the financial institution worth its mettle. A reliable financial power house that can meet all their financial needs and easily serve as a gateway to other African countries when the inevitable expansion drive beckons. A resilient bank that is strong and dependable across all frontiers. A recent survey ascertained how China has been able to effectively manage its operations and involvement in various African markets with support of leading banks in Nigeria, chief among which is United Bank for Africa, a bank with strong presence in 19 African countries as well as in France, the U.S. and the United Kingdom Findings also pointed to the fact that one of the key attractions is the fact that the bank has a strong pedigree of supporting business incursions into other African countries where china also has several foot-holds. The reason, according to financial experts might not be far-fetched as the bank prides its self as one with many achievements in Africa, helping the continent develop across all sectors with a plethora of big ticket transactions in various sectors like infrastructure, power, Agriculture, Telecommunication, amongst others. To mention a few, the financing of the construction of Photovoltaic in The 105 Heads - Places District Of Benin Republic as well as strengthening of the country’s Local Energy Production Capacity; financing power infrastructure deal under a syndication arrangement in Tanzania; capital expenditure for various power projects including upgrading and expansion of power distribution infrastructure; part financing of Xaf60billion for

the construction of A 216mw Gas power generating plant near Kribi city, Cameroon; network expansion to the counties outside of Monrovia. The list is endless. This firm support of the various sectors on the continent are without doubt, the reason behind the growing attraction to the bank. Its strong affinity to businesses and investors might not be unconnected to the bank’s strategic move in establishing a China desk that helps Chinese businesses across Africa explore and invest in huge opportunities across the continent. The desk is manned by Africans speaking fluent Chinese. This no doubt easily informed a historic, strategic and vision driven business relationship that earned the bank a recent eye-catching partnership with the world’s largest development finance institution, China Development Bank (CDB), on February 27, 2018 where both parties signed a letter of intent for a $100 million seven-year deal to finance the development of small and medium enterprises (SMEs) in Africa. The $100 million loan will amongst other things, help enhance UBA’s capacity to provide access to finance to small and medium enterprises (SMEs) across the 19 African countries the bank is present in. The partnership between the two financial giants was one which also promised to help cultivate and cement cultural affiliations between both businesses and the countries they represent. A little after the signing of the loan intent, UBA went into partnership with another Chinese organization, Star Times, who offer a directto-home pay-TV service, by putting its weight behind the maiden edition of Chinese Kung Fu Festival which was held recently in Lagos.

FBNQuest Merchant Bank gets global recognition for impactful deals HOPE MOSES-ASHIKE

BNQuest Merchant Bank, the investment banking and asset management subsidiary of FBN Holdings Plc, has received accolades from global financial and capital market awarding institutions in recognition of the impact and size of transactions delivered by the Investment Banking business in 2017. The firm has won five awards in various categories of the EMEAFinance Achievement Awards, including ‘Best Local Currency Bond House’ and ‘Best Social Development Bond’ for its role in Mixta Real Estate’s $4.5 billion Senior

Guaranteed Fixed Rate Bonds; Most Innovative Naira Bond for the US$300 million Inaugural SEC-Registered Diaspora Bond; ‘Best Mergers and Acquisition Deal’ for the Divestment of AMCON’s 100 percent Shareholding in Keystone Bank; and ‘Best Naira Bond’ for its role as one of the financial advisers on the Federal Government of Nigeria’s 100b 7-year Inaugural Sovereign Sukuk. The Bank was also recognized for the FGN’s Sukuk transaction by The Banker’s Deal of the Year Awards, receiving the ‘Deal of the Year – Africa’ award. The innovative transaction, which was a debut Sukuk issuance by the Federal Government, had no precedent

to provide a benchmark and no explicit guidelines within the general regulatory framework. Nevertheless, through diligent structuring and positioning, the offer received a strong market reception and was oversubscribed, with PFAs, Banks and Asset/Fund Managers accounting for over 70 percent. Proceeds from the issue are allocated to the construction and rehabilitation of 25 roads across the country. Commenting on the achievements, Kayode Akinkugbe, managing director, said “We are proud of these accomplishments and how we have been able to deliver impact by working with our partners.

Business Event

R-L: Hadi Sirika, minister of state for aviation; Abiodun Odusanwo, national president, Institute for Tourism Professionals ,and others, signing visitors register at Federal Airports Authority of Nigeria exhibition stand at the national tourism transport summit and expo in Abuja recently .

L-R: Goran Slavic, regional sales director, Nigerian Bottling Company Limited; Sade Morgan, legal, public affairs and communication director, Nigerian Bottling Company Limited; Paul Gillett, representative of 1st Place Winner (Lightning Class); Lynn Obray, representative of 1st Place Winner (Hobie Class), and Dan Fratila, national sales director, Nigerian Bottling Company Limited, during the NBC 2018 Lagos Yacht Club Boat Racing Competition held recently in Lagos.

L-R: Imam Bamgbopa , volunteer ; Dare Asobele, founder/coordinator; Tunji Babajide, therapist; Mercy Ogbleba, assistant director of programs , and Marqu is Adegoke, assistant secretary general, all of Anti Suicide and Depression Squad (ASADS)during the mini conference on mental health awareness organized by ASADS in Lagos. Pic by Pius Okeosisi

L-R: Eddie Efekoha, managing director/CEO, Consolidated Hallmark Insurance Plc; Obinna Ekezie, chairman, and Rukevwe Falana, Company Secretary, during the Company’s 23rd Annual General Meeting in Lagos.

BUSINESS DAY

Friday 25 May 2018

CityFile Victims count losses as hoodlums attack Osun villages BOLADALE BAMIGBOLA, Osogbo

Women carrying their food items distributed to them by wife of Governor of Oyo State, Florence Ajimobi, during the distribution of Ramadan welfare items to LGAs and Wards in Ibadan. NAN

Ban on ‘Okada’ heightens fear of job losses in Anambra Emmanuel Ndukuba

here is growing in Anambra State over possible job losses as the government announced it was banning the operations of commercial motorcycles popularly called ‘Okada’ in Awka and Onitsha from July 1. Over 10,000 youths, some of them university graduates, are said to be engaged in commercial motorcycle operations in the two major cities. While Awka is the political capital of Anambra State, Onitsha remains its commercial centre with burgeoning business interests. The state government recently issued a notice to commercial motorcyclists in the two cities to transit to another trade, as the ban takes effect July 1. James Eze, the chief press secretary to Governor Willie Obiano, in a statement on Tuesday, May 22, said the directive, which was one of the many resolutions of the

meeting of the state executive council, was part of the overall strategy to check crime and restore sanity to Onitsha and Awka. But in a reaction to the development, on Wednesday, April 23, Kingsley Nworah, Awka South Zonal leader of Motorcycle Transport Union of Nigeria, expressed concern, saying they were taken unawares by the planned ban. He said the association had over 10,000 members, in Awka and Onitsha, lamenting that most of them would be thrown out of business if the government implemented the ban. According to him, many of them assumed the position of bread winners in their families and wondered what would become the fate of their wives and children if they were forced out of their jobs. “We are not less than 10,000 members, just in Onitsha and Onitsha alone and our families depend on many of us for their upkeep. Many of us are into monthly

contributions. Some acquired their motorcycles through the contributions, while some are waiting for their turns. What will be their? He queried. Nworah, who admitted that certain criminal activities had been perpetrated with the aid of motorcycles, however, maintained that outright ban of commercial motorcycles was not the solution. “We have always cautioned our members against getting involved in criminal activities, while we penalise the erring ones as a deterrent to others,” he said. Nworah said that the union’s monthly contribution to the Internally Generated Revenue (IGR) of the state was not less than N1million, adding that they had never been indebted to that commitment. He appealed to the governor to reconsider its decision or better still, extend the deadline till December 2018 to allow time for them to work out alternative means of livelihood.

Makoko residents protest killings in Lagos …Assembly promises investigation JOSHUA BASSEY

esidents of Ilaje community in Makoko, a Lagos suburb, have urged the state government to commission an investigation into the recent killings in their community. Hundreds of the residents had on Wednesday, May 23, staged a protest to the state House of Assembly, to condemn what they described as ‘invasion, maiming and killing’ of fellow citizens within the Makoko community. The killing was allegedly carried out by men of Lagos State Task Force, on May 10. Alex Omotehinse, spokesman for the protesters, said that the alleged murder of

innocent persons by the task forced must not be swept under the carpet to prevent break down of law and order. “Our protest is all about unlawful invasion, killing and maiming of our people by policemen under the leadership of Jide Bakare, the chairman, Lagos State Task Force on Land Grabbing. “We are not fighting on our land; Bakare led a team of policemen to Ori Oke and Ilaje community, and invaded the communities, killing four people, while several others were injured. “The injured are in the hospitals with gun injuries. The Commissioner of Police said he was not aware of the operation, describing it as illegal. But surprisingly, those involved are still moving around freely.

“That’s why we want the governor and the House of Assembly to set up an independent panel of enquiry so that those who are culpable would be brought to book. “As a matter of urgency, this matter must be addressed, we want the police to parade the culprits and stop aiding and abetting them,” he said. According to him, if the government failed to act, the Ilaje nation will rise to defend themselves, saying that they were peace-loving people. Omotehinse, the general secretary of Ilaje National Alliance Movement, called for the arrest and prosecution of those who carried out the attack on the community. Omotehinshe, who said that the people had lost confidence in the police to carry out impartial investigation into the case, alleged that the police command was shielding the culprits.

any labourers working in Ife Tuntun, Olomidudu, K.S town, and Ologidan communities located in Ife South local government area of Osun State are still bemoaning their losses following the attack on the communities by suspected hoodlums. Properties worth about N250 million were said to have been destroyed during the attack that left 25,000 displaced and seeking survival. At a press conference in Ile-Ife, the traditional rulers of the affected communities, including Oba Taofeek Adeola Olaposi Osunmakinde, Ayodeji 1, (Obawure of Ife Tuntun); Oba Timothy Adedokun Adeyera, (Ologboru of Ibehun, Ife); Oba Michael Adebayo Babatunde Awoyefa, (Onibueja 1, Ogbogbodirin of Olomidudu, Ife); Abioye Olatunbosun-Oba-elect of K.S town, Ife Tuntun, said palaces and schools were razed by the hoodlums, while the attackers also stole properties and livestock belonging to the villagers. According to them, residents of the communities who were predominantly farmers were chased out of their farmlands and their wives molested on April 6, 2018, when the attackers struck. The monarchs added that after the incident, people living in the communities have been displaced and the once peaceful communities have been desolate while people live in panic and fears for their lives. They appealed to the Federal Government as well as philanthropists to come to the aid of the affected communities in ensuring that the properties destroyed by the hoodlums were replaced and ensure return of the displaced to their farms. They nevertheless commended the efforts of the police authorities, for arresting 6 of the hoodlums that attacked the communities, but appealed to them to intensify investigations on the matter. All attempts to get reactions of Ajilore’s to the allegations against him proved abortive, but a source close to him accused the communities of trespassing into a government reserved forest, called shasha forest.

INEC targets 1m new voters in Abia GODFREY OFURUM, Aba

ndependent National Electoral Commission (INEC) in Abia State, says it has received 87, 068 Permanent Voters’ Cards, out of the 310,000 voters that have registered so far, since the continuous registration exercise began in 2017. Joseph Iloh, resident electoral commissioner for Abia State, who made this known on Abia State Broadcasting Corporation (BCA) radio political programme, “Ka M Kwuo”, monitored by our correspondent, enjoined residents, who registered during this period to collect their PVCs at their Local Government headquarters. He affirmed that the commission in Abia State, has registered 310,000 voters from its target of one-million voters in the State, since the continuous registration exercise began in 2017. He explained that the commission has received 87, 068 Permanent Voters’ Cards, from the exercise and enjoined residents, who registered during this period to collect their PVCs at their LG headquarters. Iloh vowed to sack any INEC staff in the State, who asks for “money for fuel” from anybody, who came to register, stressing that registration under any circumstance is free.

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Nigeria’s off-grid energy policies incoherent Stories by ISAAC ANYAOGU

hile Nigeria’s off grid energy policy looks to be defined especially with forward looking regulations like the mini grid policy, yet the entire policy environment is incoherent, untested and inadequate to meet the country’s expectations for a vibrant renewable energy sector according to summations by experts at the recent Solar Future Nigeria conference held in Abuja. To date, renewable energy – both on-grid and off-grid – has played a small role in electricity sector reforms, initiated in 2001 when the government released the initial reform agenda through the National Electric Power Policy (NEPP) according to a 2017 Dalberg Analysis on improving access to electricity through decentralised renewable energy. The first Renewable Energy Master Plan was drafted in 2005. A revised REMP was developed in 2012, but was never approved by the Federal Executive Council. In 2015, the government approved the Nigerian Renewable Energy and Energy Efficiency Policy, NREEEP, which itemizes a number of plans to increasingly harness alternative energies such as solar, wind and biomas. Some of the current policies on off-grid energy include NREEP NREAP, SE4All Ac-

Roseann Casey, director of USAID Nigeria’s Office of Economic Growth and Environment; Philippe Miquel, CEO - Engie West Africa; Ify Malo, country campaign director for Power For All in Nigeria; Wiebe Boer, CEO, All On and Faruk Yusuf Yabo, deputy director, Federal Ministry of Power, Works and Housing at the Solar Future Nigeria Conference held in Abuja, May 15, 16

tion Agenda and NERC MiniGrid Regulations. They have the overarching ambition of ramping renewable energy adoption by 30% for on grid power by 2030. NREEP commits Nigeria to achieving 20% of its national electricity supplies from renewable energies by 2030. The NREEEP has a power roadmap, a strategic set of actions and lists the reforms needed in the supply (i.e. generation and distribution) and demand (i.e. market) segments of the electricity sector, in order to stimulate the growth of renewables in Nigeria. The NREEEP commits government to take a number of actions, such as establishing Renewable Portfolio Standards (RPS), Power Production Tax Credit (PTC), grants and loans, as

well as feed-in and licensing incentives. This National Renewable Energy Action Plan (NREAP) includes baseline data and information on renewable energy sources and technologies, various activities and programmes in Renewable Energy (RE), in Nigeria, barriers to the development and promotion of RE in the country, and suggested achievable RE targets. It resents the expected development and expansion of renewable energies in Nigeria in order to achieve the national target under ECOWAS Renewable Energy Policy (EREP), and thus Nigeria’s contribution to the overall ECOWAS target of 23 % and 31% renewable energy in 2020 and 2030. It contains existing and cur-

rently planned measures, with which the national target is to be achieved. The Sustainable Energy for All (SE4All) Action Agenda is a strategy-driven and holistic document acting as an umbrella for energy sector development at national level. It defines the national SEforALL objectives and determines how the three goals of SEforALL, which are ensure universal access to modern energy services; double the global rate of improvement in energy efficiency; and double the share of renewable energy in the global energy mix, can be achieved. The Action Agenda provides the long-term vision which ensures the overall sector-wide coherence and synergy of the accumulated

efforts towards the three goals of SEforALL in the country, also including the nexus angles (food security, gender, health, water etc.). The NREAP and SE4All Action Agenda set forward detailed targets for off-grid electricity. In the case of NREAP, it outlines the expected percentage of homes to be connected to off-grid renewable energy supply by 2020 and 2030; 5% of the total population by 2020 and 10% by 2030. SE4All places a larger emphasis on off-grid solutions that other policy instruments, calling for 8 GW of off-grid generation capacity by 2030. NERC Mini-Grid Regulations have been issued, providing more certainty regarding registration and permits, operations, and grid interactivity for mini-grids. The regulations differ for isolated mini-grids (in areas unserved by national grid and Discos) vs. interconnected mini-grids (in areas underserved by Discos) The presentation made by Khan Jamal of Dalberg, however, observed gaps in off-grid legislation and policy challenges. Some stakeholders consider the policy and institutional framework somewhat incoherent given the many policy documents and overlapping mandates of actors in the sector. The efficacy of NERC’s Mini-Grid Regulations (2016) remains uncertain; imple-

mentation and impact relatively untested. Despite being touted as an enabler of offgrid investments especially in rural areas, the regulation has largely done little to attract much needed investments. Political transition and challenging macro-economic conditions have exacerbated historical policy challenges (e.g. declining commodity prices, currency devaluation, administration changes in 2015). To worsen an already bad situation, Nigeria started the implementation of a fiscal policy that requires duty on solar panels, a move that has seen industry operators reeling. To check this trend, experts are calling for a shift from a competition to cooperation paradigm, so that “offgrid” and “on-grid” can be seen as complementary solutions. An integrated approach will see the development of a centralised solar system which is connected to the national grid after relevant PPAs have been signed. This connection will also see mini grids connected to the national grid and from this connections customers are served. To make the operation profitable, the market will need to be stabilised by having customers actively engaged with the market. This can be achieved with smart metering and interconnectedness. Customers should also be motivated to generate and store energy locally.

POLICY

NERC’s on-grid, renewable energy investment windows not stirring enough interest

he Nigerian Electricity Regulatory Commission (NERC) has opened three investments windows in net metering, feed-in tariff and capacities above earlier agreed thresholds to encourage investments in grid connected renewable energy projects in the country but investors are not beating a path to door yet. Operators who spoke to BusinessDay cite policy incoherence as a major factor and governments lack of commitment to the sector. NERC has only inaugurated a chairman three years after the exit of the former chairman. Government agencies pay modicum attention to

renewables in budgeting and fiscal policy does not support the sector. Net metering is a billing mechanism that credits solar energy system owners for the electricity they add to the grid, while a feed–in tariff is a policy mechanism designed to accelerate investment in renewable energy technologies by offering long-term contracts to renewable energy producers based on the cost of generation. According to information obtained from NERC’s website, the first window is the net-metering for very small capacities below 1 megawatt while the second is the feed-in tariff for capacities up to 5 MW of solar,

10 MW of wind, 10 MW of Biomass and 30MW of small hydro. The third window is for capacities above these thresholds. Due to the absence of net metering and feed-in tariff, embedded generation

around the country waste excess capacity produced. The net metering regulation will now allow operators who generate excess capacity feed it back to the grid and be paid according to the Multi Year Tariff Order

MI Abaga, rapper, CEO of Chocolate City giving a speech at the Solar Nigeria Future conference

(MYTO) 2015. NERC said operators who want to take advantage of this regulation would be subjected to competitive tender that would be procured through the Nigerian Bulk Electricity Trading (NBET). NERC recently approved a mini grid regulation which provides that an isolated mini grid with distributed power larger than 100kW and up to 1MW of generation capacity will require a permit, while for isolated mini grids with distributed power of up to 100kW, a permit is optional. It is however, subject to conditions including an understanding with the DisCos operating around the franchise area.

Isaac Anyaogu, Email: isaac.anyaogu@businessdayonline.com, 07037817378, Graphics: Joel Samson

Mini-grids are electricity supply systems with their own power generation capacity, mostly from renewable energy, supplying more than one customer and can operate either in isolation from or connected to an existing distribution network. Until now, Nigeria has only paid lip service to the national renewable energy and energy efficiency policy, approved since 2015, which sets out a framework for action to address the challenges of inclusive access to modern and clean energy resources, improved energy security and climate objectives. This has to change if the sector will see new investments.

Friday 25 May 2018

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How safe is it to invest in cryptocurrencies? FRANK ELEANYA

he popular ity that cryptocurrencies have gained globally in recent times have come with a healthy dose of scepticism. Many people are more conversant with the volatility side of these virtual currencies but are not clear – if not wary of - what the long term investment opportunities are and how safe they are. It is worth distinguishing between investing and speculating. A speculator buys an asset expecting to sell it at a higher price in the future. Their primary concern is the price, not the asset itself. An investor purchases an asset believing it has real, long-term value. Investing in cryptocurrency could be a good investment and it can also be a bad one. But that is true for all investment instruments out there. The first rule to investing in cryptocurrencies is to begin by getting a clear understanding of what they are and how they work. It is not something one goes in blindly. There are platforms that can aid this understanding. For instance in Nigeria there is the Luno platform which tries to simplify the process for first time investors. To understand cryptocurrencies or virtual currencies think about them as digital money designed to work as a medium of exchange. Bitcoin and other cryptocurrencies record every transaction and distribute the records of the transac-

tions equally to all parties involved. Every now and again a “block” of these transactions is verified an essentially sealed up and stacked on top of the last block, creating a chain. The transactions are users buying and selling different cryptocurrencies, in the form of virtual coins or token. By nature, cryptocurrencies like bitcoin are decentralised and permissionless, meaning not a single country, company or person controls it and anyone can build applications. They are internationally accepted, directly or in exchange for local currencies. Being digital means they are quick to send around to anyone anywhere in the world. One argument that often shows

up on the wrong side of cryptocurrencies is their tendency to fluctuate without notice. The prices can go up and down and it is nearly impossible to predict those movements. This is partly due to their being young in the currency market, which is why new investors need to understand it before making their decisions. According to experts at Luno, once the understanding is there and the decision is made to invest, start with a small amount. “Never invest more than you can afford to lose and of course deal with reputable companies that offer an exchange and wallet – to store your digital currencies – like Luno. It is very easy,” they said in a note to BusinessDay.

Price surge can be very tempting, however Luno experts say making purchases when the market looks exciting can come back to bite. Hence, it is important to calculate how much money you have at the end of month after all expenses and savings. Then, take that and consistently invest it in digital currencies. You can start with any amount of money, no matter how small. Besides volatility, investors are cast shades on cryptocurrencies because they are susceptible to scams and fraud practices. Most cyber criminals not only prefer to get paid in virtual coins but also target e-wallets. Hence, it is important that due diligence is carried out into the organisations providing the

services. Companies like Luno will take extra measures to protect the funds of their users. For instance, while it takes 30 seconds to download the Luno app for Android or iOS, there is an identity verification (ID) system, to make sure the investors funds are protected from money laundering, terror financing and so on. The process takes at most two days to complete. After the ID verification, the customer can make a naira deposit to Luno, using their credit card. This is usually done instantly. Once the naira shows in their Luno account, they can just tap ‘Buy Bitcoin/Ethereum using the instant buy option or on the Exchange (for experienced traders). Investments into cryptocurrencies are already gaining traction. In 2017 Nigeria was the second country (China was number one) in the world with the largest number of peer-to-peer transactions in bitcoin. BusinessDay have also found that there is an increasing influx of institutional investment entering the space. For some investors, digital currencies represent a hedge or alternative asset class worth considering in an investment portfolio. “However, it is also important you have your security measures in place like securing your email and all social media logins with strong and unique passwords, enabling two factor authentication (2fa) which is one of the best and free ways to secure your online accounts,” Luno experts said. “

12 Nigerian nonprofits to get $2mn from Google CALEB OJEWALE

onprofits in Nigeria stand to benefit from a $2 million grant which Google is providing to support ideas which have potentials for immense social impact in different parts of the country. The Google Impact Challenge, will according to the technology company, culminate in funding getting awarded to non-profits which are innovating using technology to reach their goals. The contest was launched yesterday in Lagos and is an open call for non-profits in Nigeria to apply to receive their share of $2m in funding. Four non-profits in Nigeria stand to win $250,000 each while 8 runners up will each get $125,000. Applications are open for the next six weeks till July 4, subsequent to which they will be reviewed. By October 15, Finalists would have been selected and notified, to be followed by public voting in November before winners emerges. Nonprofits with potential for social impact and capable of being catalysts for sustainable development, can apply online via- www.https:// impactchallenge.withgoogle.com/ nigeria2018 or simply; g.co/nigeri-

achallenge. Winners will be decided by a panel of local judges and a public vote. The public vote provides a chance for the people to decide which organisation gets an extra portion of funding to help them impact their community. The winning non-profits will get cash as well as

access to guidance, technical assistance and mentorship from Google, which they are free to take up if they want to. The Nigerian judging panel includes John Momoh, CEO Channels media group, Leo Stan Ekeh, chairman/CEO, Zinox Technologies, Parminder Vir, CEO, Tony Elumelu

Foundation, Jude MI Abaga, a rapper and CEO of Chocolate City Music Group. Others are Oluseyi Oyebisi, executive director, Nigeria Network of NGOs, Mo Abudu, a media enterpreneur, Kanu Nwankwo, Ex-footballer and founder of the Kanu Heart Foundation, Eghosa Omoigui, man-

L-R: Oluseyi Oyebisi, executive director, Nigeria Network of NGOs; Ife Adebayo: SA to the Vice President on Innovation and Entrepreneurship; Parminder Vir OBE, CEO, Tony Elumelu Foundation; Affiong Osuchukwu, Google’s Nigeria marketing manager, and Jude Abaga, rapper and CEO of Chocolate City Music Group

aging general partner, EchoVC Partners, and Juliet Ehimuan-Chiazor, Google country director. It will be recalled that at the Google for Nigeria event in July last year, Google CEO Sundar Pichai announced the company’s commitment to provide $20m funding to African non-profits over five years. This new challenge is according to Google, the first initiative aimed at realising that commitment. “This is the first time we are running a Google Impact Challenge in Africa. Many African nonprofits are doing great work with real impact and we’re keen to shine a light on them, and give a financial boost to innovative projects and ideas,” said Affiong Osuchukwu, Google country marketing manager. “We believe technology can help local and national organisations to better reach their goals and solve some of the continent’s most pressing challenges, and we are eager to back people who are using technology in new ways to make a positive difference in their communities. “We also want to highlight the healthy state of social enterprise in Nigeria today, and encourage nonprofits to consider how technology

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Echoes of despair, frustration as Boko Haram holds economy hostage (3) Abba Gambo, a professor at the University of Maiduguri, an adviser to some state governors on agriculture, and also a member of the El Kanemi Royal Family, told CALEB OJEWALE he has lost 32 siblings to the Boko Haram insurgency. Gambo has been unable to visit his farm in the last five years out of fear. When we met in Maiduguri, he provided insights into the insurgency and its impact. Excerpts: You’re quite familiar with both Borno and Yobe states, so, how would you assess the level on insurgency in both places? he insurgency was milder in Yobe state than in Borno state which is the epicentre. In Borno at a time, more than 17 local government areas out of 27 were captured by Boko Haram insurgents. But then in Yobe, the major local governments which one could say were captured are Gujba, with the Buni Yadi axis, then Gulani, and two other local governments in the northern part of the state; Geidam, and Yunusari. Apart from these four local governments, Yobe was relatively safer (compared to Borno).

Plights of Internally Displaced Persons Talking about the IDPs, there will be nothing more depressing than for example a man that has three wives, with about 17 children, then all of a sudden his home is burnt, some of the kids he cannot even account for, maybe one of the wives is abducted. All of a sudden, finds himself in an IDP camp where he has just one room shared with some other people, and maybe with his two wives, all living there together. And remember, he had his own house and everything. Now that he is subjected to this kind of environment, there is what we call the trauma effect; trauma effect for leaving your home, and (also possibly) not knowing where your wives and children are. For the women it is even more traumatic because if the husband is not there as the head of the family, the bond is cut off completely. A situation where you do not even know whether your husband is dead or alive, and these are the kind of situations you see in IDP camps. And then IDP camps are not usually the best places to keep people, and that’s why there is this clarion call (even from the president Muhammadu Buhari) that by the first of May, 2019, there shouldn’t be any IDP camp in the northeast. Yobe state was so proactive even before the statement by Buhari, the governor already made it a point of duty that all these IDPs should go back to their communities. For those not willing to return, he did what is called embedding into the host communities. So you now go and beg the traditional ruler of that new area that these are refugees that have come, who because of fear of reprisal and other things, cannot go back to their original communities, so please can you give them a little space to put up a structure as home, and then can you give them a little piece of land so they can also farm? But, if you come to Borno state, which happens to be the epicentre of the whole Boko Haram madness, I am sorry to say but there are still so many IDP camps in Borno, within the Maiduguri metropolitan council. The truth is; there is no person that will enter any IDP camp in Maiduguri and then come out without having his eyes misty. Once you have interviewed one to three people, your eyes begin to get misty. And then another thing happening is they are now under lock and key in the IDP camps. They are never allowed out, which is against the United Nations Human Rights Convention; you cannot restrict their movement. And another thing the government has now started is they don’t allow people into the camp; whether you come with clothes, food, they feel you are taking the secrets out of the camps. And what are the secrets? The IDPs are not being fed very well; this is something everybody knows. Then virtually every day a child must

die. There are no children food in the camp, the rice given to the mother is the same given to the seven day old baby. So, without necessary food supplements especially milk which the mother’s breast cannot give because of hunger, they have to look for supplements for the babies which are not there. The medical care is also not there, so people are dying daily in the IDP camps and we’ve said they have to be released. Let them return to their farms so they can go and farm but unfortunately the state government has not listened to our advice. The Bama IDPs left to return home but from reports reaching us, they had to come back because the way the construction was done by the government, is not what the people expected. So, all that the state government has done in Bama has not fulfilled the people’s expectations. But then they were so happy to leave the camp and return to their ancestral homes. Unfortunately when they went, the scenario was a disappointment. They said water was not even available, and their homes were not quite what government claimed had been reconstructed. And then, when the IDPs were being released to go back to Bama, my expectation as an agriculturalist, and as a citizen of the state, who has a governor that is also an agriculturalist was that government will give them starter packs to go back to the farms.

When Bama was being sacked, we knew that the economy of Borno state would collapse by about 50 percent, and that is exactly what happened Starter pack means some hybrid seeds, even the simple implements like hoe, cutlass, etc which are not even available in Bama. And don’t forget, for seven years there hasn’t been farming in the whole of Borno state, and we have been depending on the largesse of people like Dangote, and others, but for how long will Dangote feed Borno people with rice? Since the governor has been to Bama severally, and has seen the level of destruction and is trying to rebuild the environment, we expected that as the IDPs were returning, they would be provided the necessary tools to return to productivity. 90 percent of Bama people are farmers, and the area has a very benign climate that is even better than Maiduguri. The rainfall pattern is more than what Maiduguri and the northern parts of the state receive. Bama is actually an excellent agricultural zone. It has been a major producer of carrots, onions, and then plenty of crops like sorghum, millet, maize etcetera. We’ve had the famous Bama cowpea, famous Bama groundnut, (and in fact) Bama has been a very great food basket in Borno state for a very long time. Another thing is that the people of Bama are very industrious, because of the border with the republic of Cameroun through Banki town.

If the Federal Government can talk to Boko Haram for the release of 100 girls, for the release of Chibok girls, Dapchi girls, we are thinking, why won’t the Federal Government talk to them, for the overall end of all this madness? I was talking with a senior military officer and he told me; Professor Gambo you know what, even after the Boko Haram, you have a big crisis on your hands. Then I asked what the big crisis is, and he said, most of your youths are on drugs. In fact, he said 80 percent of youths are on drugs. And this cuts across gender; both male and female. Since there is no trauma centre, there is nobody they can talk to, nobody that will listen to them. You know, sometimes the fact that there is somebody listening to you means so much, but now, you don’t even have a shoulder to fall upon, or to cry your heart out. When something happens, you should have a supportive person and you can just cry your heart out and then feel so much better, but this is currently lacking. There is no one to talk to, console, or provide guidance. It is a very serious situation.

Abba Gambo

You find out that even small children engage in one trade or another. Consequently, the per capita income per person in Bama is even above the average you will find in the whole of Borno state completely. So that is why when Bama was being sacked, we knew that the economy of Borno state would collapse by about 50 percent, and that is exactly what happened. Some improvements in accessibility can be seen In the northern part of the state, I am happy to say that Damasak, Monguno, Gubio, Magumeri, Nganze, all these are Local Governments in northern Borno, and today you can start your car and move as far as Damasak. So, this is also a very good development. Damasak, located in Mobbar LGA is another very fertile agricultural zone because of the Komodugu-Yobe River, and there is also what is called the Yeu irrigation project there. There is plenty of water, and people were doing plenty of rice, wheat, pepper, vegetables etcetera. It is also a border town between Nigeria and republic of Niger, and then there is plenty of cross border trading. The people there are very industrious, and do plenty of farming, with most of their agricultural produce taken into the Republic of Niger. So, I am happy things are actually being done there. Stopping the insurgency; dialogue and whatever needs to be done For the insurgents to stop the suicide bombings and other things, if the Federal Government can talk to Boko Haram for the release of 100 girls, for the release of Chibok girls, Dapchi girls, we

are thinking, why won’t the Federal Government talk to them, for the overall end of all this madness? If you can talk to them and they accept to release certain number of abducted girls, why not as well talk to them; please can we stop this? It is just logical. If I can ask you to give me one shirt out of several in your wardrobe, there is no way I cannot ask you to invite me for lunch. So, if the government can ask them, cajole them in whatever way possible to cajole them to release some girls, then I believe the same government through the same method they are using for release of the girls can also cajole, lobby, beg, whatever means they can use so that the whole insurgency should just stop. Impact on education People are tired; so many lives have been lost. We in the University of Maiduguri that used to be one of the safest

I lost 32 of my siblings. My elder brother, Abba Ibrahim, who was a traditional ruler as district head of Gudumbali was killed right in my presence, in front of our family house

in country now wake up to suicide bombers. We lost so many vibrant professors; a good example is Professor Mashi of the faculty of veterinary medicine. That man came for NYSC at the University of Maiduguri; he was retained and started as a graduate assistant. He rose to the rank of professor and was the one managing our veterinary teaching hospital. He has done so much work as far as livestock is concerned and he is not even from Borno state, the man came from Katina state. Most of our very senior and well respected professors, those that taught me even in the faculty of agriculture, so many of them have left, most especially those from the south. They have all left. So you now have a big vacuum to fill as far as lecturers are concerned in the University of Maduguri. Another thing is that so many students have also left the university. In fact some parents withdrew their children once the bombing started. We now have a situation where the student population has dwindled, likewise that of lecturers, and people are under fear on a daily basis. God saved us last week when the suicide bombers came and wanted to penetrate the female hostel. It would have been a big disaster if something like that happened. The University of Maiduguri has been targeted almost 20 times now, so by the time you look at all these scenarios, why not talk to them so we can stop all this. It is really tiring. Lack of care for trauma victims Most of the people in the northeast are highly traumatised and there is no single trauma centre in the whole of the north east; there is none. So you see women whose husbands were killed in their presence, men whose wives and daughters were raped in their presence, and then there is no one to console them, no trauma centre. I posit a situation whereby even if the Boko Haram thing should stop today, we are now going to rise up with another set of very mad people. Really, it is a big thing.

Personal loss Whenever I am talking about the insurgency in Borno state, I get very emotionally, because personally I lost 32 of my siblings. My elder brother, Abba Ibrahim, who was a traditional ruler as district head of Gudumbali was killed right in my presence, in front of our family house. I know the kind of things I suffered. I stayed at ABU teaching hospital for almost one month where my doctor friends were counselling me, and then the trauma was being taken away from me, but then what of other people who had similar experiences but do not have access to any doctors or trauma centres. I knew the kind of shirt my brother wore at the time he was killed, and for the first one month after his death, whenever I see that same colour I get agitated. Also, once in a while when driving around in for instance Abuja, and then see someone that looks very much like him, I feel agitated. And you now have a feeling like, since they did not kill you that day, he’s coming after you to kill you now. These are things that will live with you all your life. And then the worst one was when my other elder brother, His Royal Highness the Shehu of Borno was attacked by a suicide bomber. I was with him at the mosque for Jumat when the suicide bomber came but for the grace of God one of the security personnel noticed he was trying to penetrate and get very close to the Shehu. The former deputy governor of Borno was also close to the Shehu that day at the mosque. And when the security man noticed the boy was penetrating, he now pushed him with all his force and then the boy on landing, the explosive detonated.

Nobody knows the number of casualties that day, but later as I was taking my car there were pieces of human flesh on it. And as I was trying to drive out of the palace area, I could remember driving upon stumps of human body. Was it a leg, hand, I did not know, but then these are things that will continue to haunt me for the rest of my life. What has happened to your own personal farm? I have not been able to visit my own farm for five years. It is located less than five kilometres from the University of Maiduguri, located within the village called Dalori. We cannot access the farm, and then the military will tell us not to grow sorghum, millet or other crops that will grow high. You have to grow legumes like groundnut and cowpeas. Coincidentally, the major staple food in Borno which is Brabusco, is made from rice (same as Tuwo), wheat, sorghum and so if you’re telling people not to plant grains, it means telling them not to feed at all. And then I have an orchard behind the Chad Basin Development Authority, with about 100 mango trees in it and they were fruiting very well. I was taking very good care of them and used to harvest plentiful, and then during the dry season when the river comes I planted rice on the farm and used to get about 100 bags of paddy rice. But can you believe that for the last five years, I could not step into that farm. I don’t know the people harvesting the mangoes, whether they are planting something there, I do not even know if my mango trees are still there or not. And honestly, I do not have the guts to go there. I just do not have. This fear is not felt only by me, but applies to virtually all the farmers in Borno state. You cannot access your farm, orchard, garden, and even your livestock is not spared. So the whole concept of agriculture in Borno state has died for a very long time. Nigeria’s neighbours reluctantly joined fight against Boko Haram When the Boko Haram thing started, Chad knew they cannot get food from Nigeria and there was a level starvation. That was when the government of Chad now said we have to fight this monster together. You know at the beginning, they were thinking it was a Nigerian problem and our neighbours didn’t want to intervene. But when they noticed that the Gamboru Ngala road was closed and their people started getting hungry, and the more hungry the people are, the

A senior military officer told me; even after Boko Haram, you have a big crisis on your hand. Most of the youths are on drugs. In fact, he said 80 percent of youths are on drugs; both male and female

angrier and violent they will be. That was when the Chadian, Cameroonian and Niger governments decided to come in and assist in all their power. So with the multinational setting now, substantial progress has been made. Economic origins of Boko Haram insurgency The last thing I want to tell you is the cosmopolitan nature of the lake Chad basin. It has been home to about 20 million people across six different African countries. Their livelihood is all on the lake, some are fishermen, some are livestock herders, and then some are farmers. Also, don’t forget that the people are following the water. In 1960, the Lake Chad was about 25,000 square kilometres, today as I’m talking to you; it is less than 2,000 square kilometres. So, the drying of the lake contributed so much to the insurgency we are talking about because, people who are supposed to be on the farms are no longer there, those who are supposed to be

The IDPs are not being fed very well; this is something everybody knows. Then virtually every day a child must die fishermen can no longer enter the water and get fish like before. People that are supposed to be pastoralists, the grasses are no longer there, so they now have to move hinterland. And when you leave the Lake Chad, the next body of big water they can all get their water and grasses is the River Benue. That is why there was a massive influx of Fulani herdsmen into Benue state and we can see the outcome of that influx of people into Benue which is today something else. So, drying of the Lake Chad has a significant effect on the Boko Haram insurgency. People that were getting money on a daily basis became people begging for money on a daily basis. And you know under such a scenario, if someone comes to you saying; please take N50,000 to do something for me, you don’t know what it is, and haven’t seen N50,000 for about 10 years, you will take the money and believe in him. By the time you follow him and realise what is happening, you would have been indoctrinated, and you know it is a kind of ideological thing, not religious. So, these are the kind of things happening. The youths at the shores of the Lake Chad became easy targets for the insurgents, as they can actually co-opt them because they had nothing doing. So, poverty, drying of the Lake Chad, high illiteracy rate in the northeast zone all contributed to what we are having today. You know we have the least educational institutions, highest maternal and child mortality, the least number of industries, processing plants, roads, and very important; we also have the least number of healthcare facilities. So, by the time you look at all these indicators, even under the UN index for economic development, you find out that the Northeast was a fertile ground for something like this to happen, and it had been postulated long ago.

22 BUSINESS DAY

C002D5556

Friday 25 May 2018

INTERVIEW

‘Adulterated seed dealers threaten farm productivity in Nigeria’ Farm yields and productivity in Nigeria remain a challenge for millions of smallholder farmers, and an important component of this is seeds. PHILIP OLUSEGUN OJO, director general, National Agricultural Seed Council (NASC), while responding to BusinessDay’s interview questions by CALEB OJEWALE, addressed some of the issues surrounding farm productivity. seed industry. Their activities are a disservice to the nation, as they rob unsuspecting farmers of their increase in productivity and further make farmers to have a wrong impression of good, quality seeds. We are currently making efforts to curtail these activities through seed market sensitization, surveillance and seed law enforcement.

arm yields in Nigeria for different crops have often been ranked among the lowest in the world. As the person in charge of changing this, how would you describe the current situation in seeds and farm productivity; say over the last five years? Farm yield in Nigeria is dependent on numerous factors chief of which is the genetic ability of the seed as well as agronomic factors. Furthermore, what comes to mind is how much of “seed” farmers are using in Nigeria. The bulk of our crop production is still dependent use of farm saved seeds partly due to the lack of awareness on the need to use quality seeds. Over the years we have done a lot to educate our farmers on the need to drop their own saved seeds and use quality seeds purchased from reputable and approved sources. We have also in collaboration with the National and International Agricultural Research Institutes made effort to inject quality early generation seeds (Breeder and Foundation Seeds) to ensure that certified seeds available to farmers are of the best quality that are superior to their own saved seeds. The changes can be seen in the level of increase in the quantity of seeds produced over the years. There is a Seed Bill yet to be signed into law, but, in what ways will it change the industry in Nigeria? The amended bill has been drafted to accommodate recent developments in the seed industry which is a very dynamic industry. Provisions have been made to further support private sector participation in the industry with the inclusion of very stringent penalties that will help dissuade miscreants from engaging in seed business in the country. How many seed producers are in Nigeria, and of course recognised? Officially we have about 157 companies already licensed with 92 others awaiting Ministerial or Board approval. An additional 63 companies are awaiting the recommendation of the National Committee on Seed Company accreditation. How many of these seed producers are indigenous (local companies) and more importantly, what needs to be done by these indigenous companies to

improve their capacity for high quality seeds development? Of the number mentioned above, only about 10 are not indigenous companies. The indigenous companies need to enhance their human, technical and infrastructural capacities to enable them produce quality seeds which will win the heart of farmers. They also need to step up their financial base so that they will have enough capital to buy back their quality seeds from contract growers who at most time can sell seeds as grains to highest bidders after harvest if companies are not coming to buy on time. Over the years the seed industry processing capacity has increased by 40% with many companies migrating from manual processing or the use of government-ownedfacilities to process their seeds to actually acquiring their own stateof-the-art modern seed processing equipment. This development must continue in other for companies to produce quality seeds. We hear of fake seeds every now and then, so we’d like to know how much success has been recorded in eliminating the proliferation of these kinds of seeds. Some examples will be good. Enforcement of seed law has never been better and the Council is no longer seen as a regulator that cannot bite. We have recently enhanced our enforcement arm with the inauguration and equipping of Thirty-Five (35) additional Seed Inspectors across the country who are saddled with the responsibility of carrying out regular sensitization

of stakeholders and enforcement of relevant seed standards. For the first time in the history of the seed industry, three (3) seed companies were delisted from participation in the GES in 2014. We equally took some offenders of the seed law before the Magistrate court in Kakuri, Kaduna and the case ended in favour of the Council with the culprits charged for conspiracy and forgery and subsequently sentenced to 2 years’ jail term with option of payment of fine in the sum of N50,000 each. Also, in 2017 another action commenced against two other suspects at Chief Magistrate Court Sabon Gari, Kano. They were charged for conspiring and forging Premier Seed’s packaging material and NASC Certification tag and were sentenced to 2 years’ imprisonment with option of payment of fine in the sum of N100,000 each. Series of educational enlightenment and sensitization, including market surveillance are conducted, culminating in market raids for sale of fake and adulterated seeds by unscrupulous seed dealers. This is conducted before and during the (planting) season to rid the markets of fake seeds. How would you describe the ways fake seeds impact on farm productivity in Nigeria? Farmers’ productivity is greatly impacted by the sale and use of fake or adulterated seeds. Spurious seed dealers involved in the sale of adulterated seeds to unsuspecting farmers are a big challenge to the

Can you share with us, some notable innovations in seed technology in recent years? Worth mentioning is our effort to deploy information technology to assist us in our work with the introduction of what we call the cassava seed tracker and finally the Nigerian seed tracker. This will involve the use of mobile technology in carry out our seed certification duties. We are also moving away from our normal visual observation in conducting field inspection to a more reliable diagnostic observation through the use of molecular biology. We are just concluding the installation of the first molecular diagnostic laboratory for seed certification of cassava in our Sheda Complex. I want to narrow down to Soybean, Maize, Rice, Sesame, and Tomatoes. What has either been done or being done to develop improved seed varieties for these crops? A lot has been done for maize, rice and soyabean. We have a welldeveloped seed system for the three crops, with an array of stress tolerant materials already released to help farmers cope with climate change and other challenges. Sesame is following also. For Tomato which is a vegetable crop, most of the seed needs are met by imports from outside the country, and we are doing a lot to ensure that only accredited persons or organizations are permitted to bring seeds into the country. We are also working closely with the mandated research institution(s) and the private sector to ensure that we step up production of tomato seeds and other exotic vegetables in Nigeria. Are there any other specific crops you want to share as examples? I will like to talk about our efforts in developing a seed system for yam. The Nigerian seed sector recently scored a first, this time not only in Africa but in the entire world when we successfully multiplied breeder seed yam into successive

classes in collaboration with some private seed companies. This has introduced into the agricultural system for the first time certified seed yam thus creating a formal seed sector for yam. This feat was achieved in conjunction with the International Institute of Tropical Agriculture’s YIIFSWA Project. Als o, the groundnut s e e d system has been strengthened greatly through an intervention project, “Groundnut Upscaling Project of ICRISAT” where NASC is a lead implementer. The hitherto groundnut seed multiplication chain which had broken down has been resuscitated with a sustained production of early generation seeds for certified seed production. Seed companies have now entered into groundnut seed production and marketing. Apart from seeds, what other factors do you think are responsible for the low farm yields recorded in Nigeria? Apart from sowing quality seed which accounts for 50% of the farm yield, the proper use of other inputs including fertilizer, agrochemicals, water management, good agronomical practices and low adoption of modern technology and its knowledge are also responsible for low farm yield in Nigeria . Any other thoughts or comments? The Council is seriously pursuing the vision of making Nigeria a hub of activities for the seed industry in West Africa. We have a vision to transform our complex to a center of Excellence for Seed Industry in Africa. We also have a dream of establishing model seed markets or depots in the remote centers of the country in partnership with stakeholders who share the same vision with us. We believe that just as you can get a depot for beverages and soft drinks in remote places across the country, the possibility exist to partner with the private sector and others to establish seed depot of model markets across the country that will bring quality seeds to the door step of farmers and not farmers searching all round for where to get seeds. I want to also use this medium to tell farmers and all seed users that the Seed Council is just a phone call away from them any time they have any issues or challenges on seeds they should not hesitate to ask through our Call Centre and Farmers Helpline. The number to call is 07000073337/070000SEEDS.

BUSINESS DAY

Friday 25 May 2018

Hotels A taste of Hilton Garden Inn in Nairobi Stories by OBINNA EMELIKE

he debut of Hilton brands with the opening of Hilton Garden Inn Jomo Kenyatta International Airport has truly redefined the taste of hospitality services enjoyed in Nairobi, Kenya. The magnificent hotel is strategically situated on Mombasa Road, adjacent to the airport which serves as an easy access to both business and leisure visitors to Nairobi. The hotel is about 15km to downtown Nairobi and Kenyatta International Convention Centre, and offers complimentary shuttle service to and from Kenyatta International Airport for all resident guests. Hilton Garden Inn Nairobi is a place for travellers who deserve satisfying hospitality experience peculiar with global Hilton brands in more than 720 locations in 33 countries and territories. The high level of hospitality from the committed team from the first “hello” on guests arrival to the cheery “goodbye” on departure after blissful stay

at a great value will always reflects good memories with desires to return to the hotel for another exciting experience. With 175 rooms that comprise of 114 Kings, 56 Twins and 5 Deluxe Suites, guests enjoy high speed complimentary Wi-Fi, complimentary 24 hour fitness centre, infinity rooftop heated swimming pool at no charges. The well-appointed rooms take guests’ experience a notch higher with world class leisure facilities, easy connection with the complimentary Wi-Fi, a well-lit work area, minirefrigerators and flat-screen

40-inch HDTV with Free view channels. Laying on the comfy bed with crisp white bedding at Hilton Garden Inn while watching favorite shows on the 40-inch HDTV makes you feel at “home away from home” as each room features other amenities such as a functional work space, ergonomic chair and mini-refrigerator, iron & ironing board, laptop safe and tea/coffee making facilities. The Garden Grille Restaurant has a full-service restaurant, which offers cooked-to-order breakfast, lunch and dinner. There is also a full bar to unwind at

the end of a busy day. The state-of-the-art fitness centre for stressbustling workouts is available for guests with 24/7 business centre providing complimentary printing and Wi-Fi for the services rendered. As comfort zone for Me e t i ng s, In c e nt i v e s, Conference & Exhibitions (MICE), Hilton Garden Inn has six meetings rooms all with natural daylight, while the conference room can host up to 220 delegates in theatre setting. For intending tourists to Nairobi, Hilton Garden Inn is the right choice with easy access to major tourist attractions such as Nairobi National Park, David Sheldrick Elephant Orphanage, Giraffe Centre, Karen Blixen Museum (Out of Africa) and National Museum of Kenya. All guests have the opportunity of benefitting from the ‘Hilton Honours’, the guest-loyalty programme for Hilton’s 14 world-class brands comprising nearly 5,000 properties with more than 812,000 rooms in 103 countries and territories. As a stylish and modern hotel, the prestigious Hilton Garden Inn promises guests exciting memorable experience in Nairobi.

Security tips for hotel guests

he sad truth is that criminals target travelers, especially in and around hotels. The abundance of literature on the topic of hotel security does not seem to have deterred criminals from using hotels as a target of their trade. An informal survey of hotel security staff reveals old patterns of crime repeated and new tricks (or new variations of old tricks) continue as before. There are, however, some practices which can reduce your risk of being the target of crime or other hazards in a hotel. The starting point The starting point for ho-

tel security consideration begins well before you have checked into the hotel. If you drive to a hotel and park in their garage or parking lot, auto security, luggage protection, and personal safety will be your starting point. If you arrive by cab, your safety in the taxi and care of your luggage will be your starting point. In fact, unless you have visited a particular hotel fairly recently, your starting point should be a telephone call from home to ask a few questions. If the hotel is in a foreign country, the list of questions to ask in advance will be more extensive. Call to confirm your reservations;

get a confirmation and note the name of the person you spoke to. Questions to ask and where to ask them There are three questions to ask for selecting a secure hotel: Are there electronic door locks? Is there good key control? And is there a fire alarm and water sprinkler system? Generally, the only way to find this out is calling the hotel directly. The number one security issue is controlling who has access to a guest’s hotel room. While we can install electronic locks and keep a closely controlled system of key control, it is the guests themselves who often let down their guard and fail to lock their door when they go out to get ice at the end of the hall, or open their door to an uninvited intruder. It is important to remember that a hotel is a public place and criminals are attracted to places where outsiders are vulnerable. What room to reserve? If possible, avoid staying in a room located on the first floor of a hotel. Since first floor rooms often have sliding doors or windows that are accessible from ground level,

they are a greater security risk than rooms on higher floors. Second floor to fifth floor rooms are usually good choice in the event of a fire, as they are more easily accessible for rescue purposes than rooms on higher levels. But rarely is room selection so simple. If you are attending a convention or visiting during the busy season, your choice of rooms may be limited. And a more expensive room will not guarantee you greater fire security, since the most luxurious suites are usually located on the top floors, and can therefore be more difficult to escape in a fire case. Rooms away from the ice machine or utility area will minimize your exposure to the noise of hallway traffic, and a room near a stairwell will provide an alternative to endless waiting for crowded elevators. However, women traveling alone may wish to choose a room near hall or stairwell surveillance cameras for added security. Before you get settled into your assigned room, verify that there is a reasonably quick access to a fire escape route by window or stairway.

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

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

Protea Hotel Apo Apartments Address: Ahmadu Bello Way, Apo, Abuja Tel: 09 480 1818

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

Chida Hotel International Address: Plot 224, Solomon Lar Way, Utako, Abuja Tel: 0810 871 8882

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

206 Hotel Plot 206 Cadastral Zone B02 Opposite Kenuj 02 Mall, Oladipo Diya Road, Durumi District, Abuja Tel: 08119707993 Email: 206abuja@gmail.com

Protea Hotel (GRA Ikeja) GRA Ikeja

Protea Hotel (V/Island) Off Ajose Adeogun Street, V/ Island

Gombe Jewel Hotel, 22, Njamena Street, off Aminu Kano crescent Wuse 2, Abuja.

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

BUSINESS DAY

Harvard Business Review

Friday 25 May 2018

ManagementDigest

Marketing in the age of Alexa what combination of features, price and performance is most appealing to someone at a given moment. These platforms will lead to more-efficient sorting and matching in the marketplace. Consumers who prefer the Four Seasons, for instance, will be unlikely to be offered reservations at a Trump hotel by their platforms. So brands will want to sharpen their positioning in ways that the platforms will register.

ALISON WOOD BROOKS AI ASSISTANTS WILL TRANSFORM HOW COMPANIES AND CUSTOMERS CONNECT.

rtificial intelligence assistants are rapidly colonizing consumers’ homes. Analysts estimate that Amazon. com, for instance, has sold some 25 million Echo smart speakers, which people use to engage with its AI assistant, Alexa, and that number is expected to more than double by 2020. Google Assistant, accessed chiefly through Google Home cylinders and Pixel phones, is now available on 400 million devices. Earlier this year Apple launched a Siri-enabled HomePod, and Samsung has acquired Viv, an intelligent assistant company founded by Siri’s creators, to bolster its Bixby AI assistant platform. Over the next decade, as these firms and others fight to establish the preferred consumer AI platform, AI assistants will transform how companies connect with their customers. They’ll become the primary channel through which people get information, goods and services, and marketing will turn into a battle for their attention. The effects on the business landscape will be far-reaching. Technologies that revolutionize the way consumers interact with a marketplace also tend to reconfigure its dynamics and reshape the companies that sell into it. MARKETING ON PLATFORMS Once the dust settles, we expect that just a handful of general-purpose AI platforms will be left standing. Most consumers will use only one, whose assistant will be incorporated into their homes, cars and mobile devices. The platform will gather and deliver information, and the assistant will be the consumer’s interface with home systems,

appliances and other machines. The assistant will also be the portal to an infinite shopping mall of goods and services. The more consumers use a platform, the better it will understand their habits and preferences, and the better it will meet their needs. Brands today owe their success to their ability to signal quality and win buyers’ loyalty. But in a world of AI platforms, marketers may find that consumers shift their allegiance from trusted brands to a trusted AI assistant. The activities that help brands cement relationships with buyers over time — understanding and filling people’s needs, assuring quality and consistently putting consumers’ interests at the center — will in many cases be performed better by AI. These changes will have an impact on companies at three critical levels: customer acquisition, satisfaction and retention. ACQUISITION With consumer data now being used to create finely targeted marketing, customer acquisition has become more efficient. Still, marketers’ aim is far from perfect. Ads continue to be directed at consumers who aren’t good prospects — and don’t reach everyone who may be interested in an offering. Even when an ad does find the right audience, its message is often blunted by consumers’ cognitive limitations: People might need to see the ad

many times before it registers. Those problems will matter less in the coming years, when the main target of the billions in annual spending on brand marketing will shift from forgetful, biased consumers to AI platforms that retain every last bit of information. In this universe, influencing the platforms’ algorithms will be the key to winning. It will be crucial for companies to understand the customized purchasing criteria that the AI applies on behalf of each consumer. SATISFACTION Customer satisfaction drives loyalty, word-of-mouth, market share and profitability. No wonder marketers are fixated on monitoring it. Imagine, then, a world where reliable satisfaction data is easier to get from AI platforms than from consumers themselves. A platform serves consumers by constantly anticipating their needs. To do that it must collect data on their purchasing patterns and product use and try to understand their goals. AI platforms will even know whether consumers are likely to adapt their requirements in different contexts — for example, if a person on a diet will make an exception for dessert when celebrating. Because of all this, AI platforms will be able to predict

RETENTION Many customers keep buying a product not because it delights them but because they can’t be bothered to explore alternatives if a brand is performing adequately. Most people have better things to do than evaluate the ingredients of laundry detergents. An AI assistant, however, does not. It can regularly reassess all brands in any category, and recommend a new one that might serve the consumer better. This will force incumbent brands to constantly justify their positions, as well as open opportunities for challengers. THE IMPERATIVES FOR PLATFORMS AI platforms will succeed only if consumers have faith in them. To earn consumers’ confidence, platforms must ensure three things: accuracy, alignment and privacy. ACCURACY By continually learning each individual’s desires and requirements, the platform algorithms will hone their ability to please consumers. If a platform can recommend an alternative to a trusted brand that it thinks the consumer will like better, and the consumer is happier with the alternative, that platform will supplant the brand as the object of her trust. ALIGNMENT There’s a built-in conflict of in-

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

terest that platforms must manage carefully. On one hand, they must single-mindedly focus on meeting consumers’ needs; if they fall short, it will erode trust. On the other hand, they’ll have contractual arrangements to provide preferred placements and consumer data to brands. If people sense that an assistant is pushing a paying brand that isn’t aligned with their needs, that too will undermine trust. PRIVACY Platform owners, as well as marketers, will need to strike a careful balance between the use of personal information and AI performance. The more data gathered, the more accurate the platform — but the more exposed consumers may feel. CONCLUSION All consumer-facing firms can expect AI platforms to radically alter their relationships with customers. Their traditionally crucial assets, such as manufacturing capability and brands, will become less central as consumers’ attention shifts to AI assistants, and the value of consumer data and AI’s predictive ability soar. For a long time, consumer goods companies, have zeroed in on one strategic question: How much more of our product can we sell? AI platforms will present a very different opportunity: to maximize the depth of the relationship with the consumer by offering a wide range of products. Superior marketing strategy will still matter — firms must acquire, satisfy and retain consumers in the AI world — but what it involves is likely to change substantially. (Niraj Dawar is a professor of marketing at the Ivey Business School, Canada. He is the author of “Tilt: Shifting Your Strategy From Products to Customers.”)

Friday 25 May 2018

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FINTECH News

Products Review

Technology Review

Personality Review

BUSINESS DAY

Company Review

TECHNOLOGY REVIEW

Banks vs Fintechs: Who should be afraid (2) have the scale and network effects, they also have loads of cash to play and experiment with. Apple had a cash reserve of $285 billion as at December 2017, (that’s more than half the GDP of Nigeria), Facebook has over $25 billion, Google has about $90 billion, similar amounts for Amazon, Microsoft and co. These companies are the only few companies globally that can outspend the banks if/when the race for offering financial services to customers becomes a battle of cash.

SEGUN ADEYEMI (Guest writer)

eyond scale and customer base, the banking industry is one of the most profitable industries in Nigeria. And Nigerian banks are some of the most profitable (in terms of profit margins) in the world. In 2017, Zenith Bank recorded a profit of N157 billion after tax, GTB was N170 billion, Access Bank did N80 billion, UBA was 78.6 billion. In the same 2017, the whole startup ecosystem in Nigeria was reported to have raised about $114.6 million which is less than the 2017 profit of any of this singular banks. Although this might not be a good comparison, the point here is peradventure the disruption battle becomes a cash battle between banks and tech startups (which usually becomes the case), Nigerian FinTech companies don’t seem ready yet. Data I strongly believe Nigerian banks do not currently do enough with the enormous customer data at their disposal and I had written about it in a previous post. Data is another major goldmine that the banks are seating on and it portends a lot of opportunities for them when they decide to start paying attention to it. The thing about data is that it has to be large enough to make sense. Data also has a network effect, so even if a startup has all the cash in the world, they can’t just easily go and buy the same data and building such a database takes time. Domain Expertise This is something that is un-

usually overlooked and underrated. The business of banking is not as simple as we make it look and just being able to write codes and speak some finance jargons doesn’t mean you really understand how banking works and that you will kill all the banks. Banks have built decades of experience and have unique expertise in areas such as credit underwriting underpinned both by data and judgment, asset allocation, liquidity management, risk assessment and many other areas that most FinTech companies lack competency in. This experience will come to bear when push comes to shove and when it’s time to build a sustainable and profitable financial services business. I am sure any banker reading this by now will probably be feeling pompous and be like “Abegi, wetin all these FinTechs dey do sef? They can’t disrupt jack!” But wait, while I honestly believe these strong advantages means that

banks aren’t most likely to be killed by FinTechs, there are companies that are in a better position to take on the banks and have the potential to make the banks irrelevant much earlier than anyone can imagine because such companies also possess some of the key attributes that make the banks tick. A New Type of Disruptor There are two categories of companies that don’t get enough attention and aren’t the typical disruptors you think about when you’re talking about banks being disrupted. The first sets are the telcos. This is an obvious one that African banks are very wary of as we have seen the example with mobile money majorly popularised with the success and impact of M-Pesa in Kenya and other telco mobile money offerings in other African markets. If you consider the structure of telcos, they have the brand recognition, scale, the dis-

tribution, data, cash, and can also meet the regulatory requirements similar to such that is required of the banks. Perhaps their weak point is lack of expertise/knowledge in the financial services space but this is something they can catch up with within a short time. The second category of companies is even a more likely and bigger threat than anticipated. The companies are the big international technology giants like Apple, Facebook, Alphabet (Google), Amazon, WeChat, and co. These companies do not only have the advantages that the banks have, they even have a stronger inherent advantage. Let’s consider some of these advantages one by one. Larger Customer Base, Scale and Distribution The big tech companies arguably have the largest customer base of any business category in the world. I can’t think of any other company that can

boast of over 2 billion registered users globally apart from Facebook or any other company that has the penetration level of Google. Bringing it home, it can be estimated that Facebook has about 50 million active users in Nigeria across their different platforms. This number is more than the stipulated number of Unique BVNs linked to Bank Accounts of 45 million (BVN is Nigeria’s Bank Verification Number). This is an unbeatable pool of customers to distribute products and services. Network Effects The network effect is a concept whereby a platform becomes more valuable for members as new customers join the platform. With this feature, it becomes pretty easy for these tech companies to not just grow really fast but to build another moat that even the banks cannot compete with. A Large Cash Base The tech companies don’t just

A Strong and Reliable Brand In Nigeria today, one can argue that Facebook is more popular than a lot of the banking brand considering that there are people who know Facebook and Google even when they’ve never used the internet. The strong brand recognition that these companies have built means that they don’t even have to do too much to get customers to trust them with their money. Customer Experience DNA The big tech giants are special when it comes to customer experience. They have been able to scale to an enormous size while maintaining a strong user experience focus that banks can’t even come close to. Where the banks have had to make a trade-off between scale and user experience, the tech companies have been able to brilliantly operate at the intersection of both and a major reason this is possible is that they have been able to properly leverage data. Segun Adeyemi is the CEO of AmplifyPay. The rest of this article can be found www. businessdayonline.com

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Even in death, Achebe pushes frontiers for Nigerian literature …as Things Fall Apart makes BBC’s Top 5 stories list, writers commend feat Stories by OBINNA EMELIKE

arley a month after emerging as one of the 12 novels considered as “the Greatest Book Ever Written”, a compilation by Encyclopaedia Brittanica, Things Fall Apart, the classical novel by Albert Chinualumogu Achebe, has made the BBC’s Top 100 stories that shaped the world list. Beyond making the Top 100 stories list, the novel published in 1958, which celebrated the 60th anniversary of its publication in March 2018, made the enviable Top 5 position in the rank of stories that shaped the world. Achebe’s Things Fall Apart trailed behind; The Odyssey (Homer, 8th Century BC), Uncle Tom’s Cabin (Harriet Beecher Stowe, 1852), Frankenstein (Mary Shelley, 1818), and Nineteen Eighty-Four (George Orwell, 1949), which made the first, second, third and fourth positions respectively on the list. As well, the BBC’s 100 stories list featured other exceptional literary pieces from Africa, which include; Nervous Conditions by Tsitsi Dangarembga, Zimbabwean novelist and Children of Gebelawi by Naguib Mahfouz, Egyptian novelist, which ranked 66 and 76 respectively on the list. Explaining why she voted for Things Fall Apart, Beverley Naidoo, novelist from United Kingdom said, “Published within my life time, it has been possible to see the effect of a single work of fiction in offering a

Chinua Achebe, the late Nigerian cum African literary giant

radically different ‘view of Africa’. The European colonial narrative could never be the same after this first work by Achebe was published in the Heinemann African Writers’ series.” The 100 Stories that Shaped the World list is a platform by BBC Culture that highlights the works of literature that have had the biggest impact on forging the world we live in today. This list reflects the thoughts of more than 100 authors, academics, journalists, and critics located in 35 countries around the world who nominated the stories they considered the most influential. “At BBC Culture, we wanted to start a conversation about the importance of literature in the world; to discover the stories that had the greatest impact globally and that had endured through history. Above all, we aimed to celebrate the importance and power of storytelling”, Rebecca Laurence, BBC Culture Editor, said. As well, the Nigerian literary com-

munity holds Achebe in the highest esteem for keeping the flag flying even after his death. According to Ahmed Yerima, a professor and foremost Nigerian playwright, Things Fall Apart is a masterpiece by Achebe, who he described as a master story teller. What makes the novel thick and relevant even in contemporary literature, according to the professor who also won the Nigerian Prize for Literature in 2006, is the intelligent manner Achebe captured the then organized and thriving African traditional system before colonization. “The book transcended beyond its Igbo cultural setting to become the voice for the whole of Africa because it depicted the typical African system devoid of complexities and intrigues that were introduced by the colonial rule that eventually made things to fall apart in culture, moral, belief system among others across Africa where colonization thrived”, the professor said. For Toni Kan, a Nigerian writer,

Achebe’s novel represented a paradigm shift in storytelling, as far as, African representation is concerned. “It replaced the so called Conradian “absence” with a presence and a robust one at that. It also presented a unique world view, one that was not barbaric at all, but one that showed a civilized, albeit traditional social construct. Achebe, also, in the character of Okonkwo, presented us a character in whom is appropriated all the elements of a classical Greek tragic hero. “All these elements had the very salutary effect of presenting a novel that quickly became a classic, one that was truly representative of a people and an epoch but which was also amazingly universal in the story it told. That is the reason why Achebe remains eternally relevant and why he is deserving of this honour”, Kan said. On the impact the recent feat will have on demand for Achebe’s books, Kan said Achebe’s books have never suffered from poor sales, rather the recent recognition would bring his works to new readers. In the same vein, Yerima noted that Things Fall Apart is always in high demand going by its translation in over 200 languages with over 500,000 students across the globe use it for research work among others. Yerima said the feat would raise curiosity among new readers. Kan thinks that Nigeria writers are hopeful of making the list in the future, saying “Classics are not made daily, so with time, I believe that other Nigerian authors whose works have aspired to such excellence would ultimately be so honoured. Time will tell”.

Boss Of All Bosses opens in cinemas June 15th …features Okon Lagos, Patience Ozokwo, Akpororo, Nedu

oss Of All Bosses, a new comedy movie, is set for cinema release from June 15, 2018. The phenomenal movie starring Akpororo, Nedu (Wazobia FM), Mama G (Patience Ozokwo), Okon Lagos (Bishop Ime), Senator (Bethel Njoku), Emeka Kachikwu, Adunni Ade, Sani Danja, Eniola Badmus and Babatunde Charles has been making the rounds as ‘the mustwatch movie’ on various fronts. It was directed by Ike Nnaebue with Emeka Kachikwu as the executive producer/producer and Tobe Osuno as the associate producer. It unveils the story of Tony, a classy, ego tripping, self-centred, arrogant managing director at Hemcorps Oil & Gas. In the light of an absentee CEO whose identity remains hidden, he abuses his powers and becomes the perfect ladies man. His loyal personal assistant acts as his informant, unveiling sizzling news unfolding in

the company. He is living life to the fullest and is nicknamed the Boss Of All Bosses, until Samuel is brought on-board as a rival managing director at the CEO’s request. Special tasks are assigned to both as they compete for the exalted position deploying every trick in the scheming book to win or be fired. The employees are caught in the

middle and camps are formed, alliances are made amidst the backdrop of comical scheming, romantic escapades and betrayal. Tony is fighting hard to win the affection of the slay Queen he’s dying for while focusing on the tasks, but a bad move he makes threatens his ambition and sets him on course for what he never bargained.

“Boss of All Bosses stands out from the plethora of comical movies that have graced the silver screen. The deployment of the corporate environment interwound with romantic scuffles, conspiracy theories, scheming, backstabbing in a bid to obtain or secure power is rife. I am delighted that we have a good production with high end technical values synonymous with international standard”, Emeka Kachikwu stated. According to Tobe Osuno, “The story though told in a comical way is invariably a true reflection of what obtains in the corporate environment. It is a reminder of the corporate gymnastics, power tussle and the reward handed over to deserving employees for their hard work. It is a good movie and we urge folks to come out in mass to watch same” The movie is powered by Mind Bursters Film Ventures and distributed by Silverbird Film Distribution

Friday 25 May 2018

Singers, dance groups battle for N2m grand prize in Hi-Life Fest

esidents of Onitsha are all set for an exciting evening of beautiful traditional Igbo highlife music and cultural dance as HiLife Fest’s ‘The Complete Experience’ hits the city for the semi final stage of the talent hunt competition. The event takes place on Sunday, May 27, 2018. Yearly, the kingdom of Onitsha celebrates the Ofala Festival, which coincides with the traditional New Yam festival held in many other parts of Igboland. The festival celebrates the Igbo’s culture of progress borne out of sheer resilience and determination. Highlife music and cultural dance are often the hallmark of the festival celebrations, and at Hilife Fest, the future of this definitive part of our rich heritage is handed down to the young minds. At the recently concluded quarter final, fans were treated to a thrilling and engaging delivery of top-notch highlife music in which five dance groups and 10 singers made it to the next level. The semi-final stage will feature Prince Destiny Oluchukwu and Dons Ifeanyi (Anambra state), Chinedu Obiajulu and Emeka Ngwu (Enugu State), Agbom Emmanuel (Delta State), Kalapi Ojuka and Kelvin Emmanuel (Rivers State) Ifeanyi Ogbu (Ebonyi State), Chuks Arthur and Obioha Ikechukwu (Abia State) in the singing category. For the dancers, Kanaowo Dance Group (Rivers State), Noel Africa Cultural Entertainment (Ebonyi State), Umuchiziri Egwu Cultural Dance Group (Enugu State), Asinnodricks Africa (Imo State) and Ofu-Obi (Anambra State) will slug it out for a spot in the grand finale. Expressing joy on reaching the semi-finals, Agbom Emmanuel gave kudos to the organisers for providing a rich platform for young people to showcase their talent to the world. He was particularly thankful for the grooming and mentoring sessions at HiLife Fest Academy, which impacted on his performance in Aba. “It has been a very unpredictable competition. We have had some amazing talents from the various auditions in different cities. It is almost impossible to even tell who will win as everyone is really talented, so I cannot wait to see, which of these contestants will come out tops”, Michael Ndubuisi, a guest judge said. With just one more hurdle between these contestants and the grand finale, the contestants will not afford to give anything other than their very best intent on impressing the intimidating line-up of judges – veteran highlife maestro and creator of Zigma style, Bright Chimezie, music producer and actor, David Jones David, studied instrumentalist, JJ Aguize, versatile dance instructor, Nicholas Akas, and guest judge, Michael Ndubisi. Highlife music has been an integral part of the Igbo culture. It inspires and gives its lovers a sense of direction, belonging and connection with their roots. This initiative by the Life beer brand is aimed at promoting this genre of music whilst also preserving the beautiful heritage of the Igbo people.

Friday 25 May 2018

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BUSINESS DAY

Business Etiquette

Movie Review – Avengers “Infinity War”

with Janet Adetu

“All marvel super heros return to save the world”

lthough the hype and advert for this movie was so good, I really can’t explain how I feel about this movie and I hate to feel that way towards the end of an action movie. It has taken me 2 weeks to coordinate my thoughts and come up with a review, yet I still find it difficult to review. I even had to seek the opinions of friends to be sure that I wasn’t in any way bias and that the feeling of disappointment was mutual, well I wasn’t totally right as most people felt that it was a perfect movie and only a few were disappointed at the end. Even at that most of them wait anxiously to see the next episode of the return of the “Avengers”. Some of us didn’t feel this particular ‘Avengers movie’ and for us that was so sad. When I have to think so hard to come up with a review for a very good and highly rated block buster movie, then something is absolutely wrong. I would absolutely not want to spoil it for the great Avengers fans, who will still earnestly go and see this movie and even the next, I am kind of worried and skeptical about seeing the next part as they didn’t kill this one for me, but after reading and analyzing it with experts, I guess I have a rethink. I was totally devastated at the end, because I absolutely didn’t see that coming and I was of great confidence and courage that it would end well, and I was totally wrong, they crashed all hopes and dashed my expectations. The honest truth is that my feelings didn’t stop them from still surpassing box office initial forecast. Marvel movies have always surpassed expectations year in year out for the past 10years. They started with Iron Man in 2008, this totally stole the hearts of everyone, there by changing the game globally, releasing award movies back to back since then. Every year during summer they dominate the cinema with a brand new movie, thereby turning it into an event and making the lead actors even more famous, in the process also selling franchises of the newly initiated characters, they have being amazing at this. The release of the New Avengers: Infinity Wars was no different from the orders smashing every available record again. The movie crushed domestic and worldwide box office records, and it hasn’t even opened in the world’s biggest market (China). The movie has smashed all records to become the best opening weekend movie of all times. In North America the movie grossed $250m surpassing “Star Wars: The Force Awaker” With $247.9m, totally they

Briefcase Basics!

Cast: Robert Downey Jr., Chris Hemsworth, Mark Ruffalo, Chriss Evans, Scarlett Johansson, Don Cheadle, Benedict Cumberbatch, Tom Holland, Chadwick Boseman, Zoe Saldana, Karen Gillan, Tom Hiddleston, Paul Bettany, Idris Alba, Elizabeth Olsen, Anthony Mackie etc Ratings: PG13 (for intense sequences of Sci-fi violence and action throughout, language and some crude references) Genre: Action, Adventure, Science Fiction & Fantasy) Directed by: Anthony Russo, Joe Russo Written by: Christopher Markus, Stephen Mcfeely Time: 156 mins Studio: Walt Disney Pictures have made $630 if we add up both foreign and global figures, making this movie the biggest opening movie of all times. The $380m made worldwide is next immediately after “Fast and Furious”, the alarming information is that they haven’t even launched in the biggest market, which totally means that they would rake in much more income and it means the whole crew will be smiling to the bank again this time around. Avengers brought together so many super heroes, which included Iron Man, Doctor Strange, Spiderman, Captain America, Black Panther T’challa and many more other marvel heroes. It sounded quiet unbelievable when we first heard that, they were going to produce a movie with almost every Marvel hero in the industry, but they surprised everyone and went on to produce this award winning movie. It was absolutely amazing and mind blowing seeing everyone together in one movie and at the same time. It’s absolutely obvious that they have being cooking this for a very long while, by dishing out amazing and interesting characters individually every year and then, deciding to have a combined movie with all the characters ever created. It was a well thought out and planned movie, with Black Panther still in the cinema even after 11weeks of its first release, even at that they are still creating a lot of impact, buzz and revenue for the company. Marvel was right having a new movie featuring the former lead actor T’Challa from “Black Panther”, that singular act was definitely going to help them surpass their sales expectations for this new movie. So far the Marvel group has

raked in over $15b in revenue worldwide and are still moving on, making them so unbeatable. The Directors Anthony Russo and Joe Russo were splendid, and absolutely did put out a good show, featuring over 36 super heros, including Scarlett Johansson, Tom Holland, Robert Downey Jr. and Chris Pratt. The movie which was mainly shot in Britain was said to have had an estimated budget of about $300m, thereby making it one of the most expensive movie ever shot, even 400 times more expensive than some individual movies. With this movie they surpassed the record of “The Pirates of the Caribbean”, which had a reported budget of $378.5m. Reports also tell us that Robert Downey Jr. (who played the role of Iron Man since 2008) would be paid $200m for his role in the amazing movie. Although they have raked in $630m globally in the 1st week, they would need to match it against the expenses incurred during the production of this movie. To my verdict I would say this movie deserves an 8/10, please don’t judge me. Off course it was a perfectly well produced movie, it was absolutely amazing and also interesting. I didn’t score it more, only because it didn’t end how I envisaged and expected, that for me was really heart breaking. Feel free to review any movie of your choice in not more than 200 words, please send us a mail to linda@ businessdayonline.com and stand a chance to win a free movie ticket. Linda Ochugbua @lindaochugbua

n your way to work is it a matter of convenience you carry an official ? Or is it a burden to you? How prepared are you for work on a daily basis? Are your working tools left behind in the office or do you prefer to have them on you at all times? Of course this depends very much on the nature of your job, your profession and the level or position you have. Some professions are status symbols so require a specified representative look that is appealing, convincing, inspiring and motivating to do business with. A person dressed as a clown clown any day will be deemed unserious. So we have established that your look plays any important role in the way you are perceived. Your extended wardrobe like you tie, jewelry, belt and more can impact this just like your final wardrobe finishes including your bag and shoes respectively. Many times I see professionals on their way to work all suited and booted, but it strikes me how they go to work empty handed. Where is their mobile phone, where is their laptop, iPod, personal items like glasses, if so what about the dairy, notepad cufflinks and all those other items that may or may not be needed now but can surely come in handy later. The office bag called “The Briefcase” is a business tool I see as a necessity in business for both men and women alike. I understand some say that it is extra baggage especially if they are not in their own car. However where do you draw the line on acting professionally. It is important to stress that a good practicing professional should go to work fully equipped for the day’s job. A well-structured professional will have files, folders, confidential documentation that need to be handled carefully in a briefcase or official bag of some sort. If you would like to move to the next level you will surely have to change your perspective and begin to do things differently. A leader has so many essential traits that must be learnt, lived and loaded. The briefcase can come in all forms and sizes from the box like shape, to the wheel carted or convenience right through to the free- hands backpack. Whatever you choose let it suit your fancy and above all be convenient too, don’t forget this ios the beginning of representing you

professional presence. Just in case you did not realize the true essence of your briefcase, this protects your completel professional image especially as you step out to represent your personal and professional brand, your professional and organizational culture. Your appearance can make or break a business proposition or potential client your image is everything. I emphasize this as I have mentione many times in previous articles your presence starts with creating a good first impression. Your outward look catches attention first. People look at your apparel, your total look, your conduct and your communication all this forms your aura; your personality, your character

VII. Writing Pad VIII. Calculator IX. Charger ( mobile phone) X. Toiletries Bag XI. Power Bank XII. Charging Cord for laptop XIII. Glasses plus case XIV. Comb XV. Mini Torch XVI. Keys XVII. Credit Card Holder XVIII. Mobile Phone XIX. Reading Book XX. Memory Card/Flash

that you bring to the table.

IV. Be sure to remove sharp objects when travelling by air. V. Your briefcase should have a long carry strap for when travelling VI. Briefcases with wheels should be a certain size if used regularly on flights. VII. Ensure your briefcase has multiple compartments and use accurately. VIII. A good leather briefcase is the best IX. Always declutter your briefcase regularly to remove unwanted waste and rubbish. X. Identify pockets for business card holder and other important item for everyday use XI. Take care of your briefcase by regularly polishing or dusting of it. XII. Purchase a briefcase that fits your budget as well as your style. XIII. Let your professional presence be seen as you step out each day into your full professional image including your briefcase.

Why should you carry a briefcase? I. To represent your brand professionally. II. To create an image of seriousness, trust and integrity. III. To have confidential information in preparation of an important meeting. IV. To present yourself as a professional or poised leader. V. To hold all essential business tools. VI. To safe keep technological gadgets. VII. For safe keeping of professional documentation. What should you carry in your briefcase? Without appearing to overload yourself with too much load your briefcase can have any few of the following items not all are necessary at the same time depending on size. I. Laptop II. IPod III. Business Card Holder IV. Pen or set of Pens V. Folder VI. Diary/ Fila Fax

Briefcase Etiquette - Tips on Briefcase Usage I. Avoid making your briefcase too heavy. II. Ensure your essentials for the day are packed. III. Remove what is not necessary when travelling.

Good luck as you build your professional image. Janet.adetu@gmail.com

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Friday 25 May 2018

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Hospital records 200 VVF cases annually, offers free surgery …seeks support from public ANIEFIOK UDONQUAK, Uyo

he Maternal Birth Injury hospital in Itu, Akwa Ibom State says it records an average of 200 Visco-Vaginal Fistula (VVF) cases annually. According to experts, VVF is an abnormal communication between the vagina and the bladder. It is mostly caused by prolonged obstructed labour from whatever cause during childbirth resulting in continuous dribbling of urine or faeces. Ngozi Ndubuaku, the matron of the hospital in an interview with BusinessDay in her office lamented the high incidence of the VVF/RVF cases adding the hospital recently received 29 patients on admission for treatment. She explained that out of the number, 22 were new cases while the rest were old patients. Ndubuaku said that due to the high cost of treatment usually done through surgery, the hospital organises a camp quarterly and invites specialists in the treatment of VVF/ RVF from the national hospital Abuja and other hospitals to work with the doctors at Maternal Birth Injury hospital which usually involves the repair of damaged organs. She said the hospital also provides skill acquisition training in dress making as well as hair dressing for those who have successful undergone treatment and have become dry and who might be too poor and had been abandoned by their relations as a means of rehabilitating them. Ndubuaku, blames the increase in the number of VVF/RVF cases on poverty and cultural

beliefs saying that a good number of the patients could hardly afford hospital delivery while many of them are afraid of caesarean section. “The surgery is free, we augment their feeding and we buy foodstuffs to share to the patients, a special care is needed after they are discharged from the hospital because majority of them are very poor,’’ she said. “The patients are poor, VVF/ RVF will still be occurring due to poverty and cultural beliefs, we are not getting much support from the public,’’ she said. She spoke of a 15-year-old patient who was raped and abandoned saying the girl was taken to the hospital where she was operated upon after which she has started primary school. She however lauded Mobil Producing Nigeria (MPN) for the support to the hospital which she said has been in the form of paying the salary of the workers describing the oil company as their backbone in the running of the centre. The matron who also commended the state government for

posting some health workers to the centre and also paying their salaries called for public enlightenment on the need for pregnant women to deliver their babies in hospitals while churches and other faith based organisation should encourage their members to go to hospitals when their female members are in labour. Ndubuaku who appealed to medical doctors to show interest in specialising in the treatment of maternal birth injury though that field of medical practice might not be lucrative said they should do so as part of humanitarian services and commended Ann Ward, the Irish national and medical doctor who founded the Medical Missionary of Mary in 1950s for her pioneering role in the repair of damage caused by prolonged and obstructed labour. There are few hospitals in the Niger Delta region of the country handling the treatment of VVF/ RVF cases. The hospital run by Medical Missionary of Mary, a Non-Governmental Organisation (NGO) belonging the Catholic Church.

An egg a day lowers risk of cardiovascular disease – Study ANTHONIA OBOKOH

or decade, there has been a common understanding that eating eggs is unhealthy due to the high cholesterol content it raises. Experts cautioned against the wide spread popular belief on some websites and magazines that eggs may pose danger to health, its authors claimed that Chinese adults who ate an egg every day had a lower risk of cardiovascular disease (CVD). Studying half-a-million healthy adults aged 30-79 over almost nine years; researchers concluded that “compared with non-consumers, daily egg consumption was associated with lower risk of CVD.” The recent research has increasingly gathered evidence showing that eating eggs daily may reduce the risk of heart disease and strokes. The study further reveals that individuals who usually ate about one egg per day had a 26 per cent lower risk of experiencing hemor-

rhagic stroke, a 28 per cent lower risk of death due to this type of event, and an 18 per cent lower risk of CVD-related mortality, the Chinese-British research team reported in the journal Heart. “The present study finds that there is an association between moderate level of egg consumption (up to 1 egg/day) and a lower cardiac event rate,” the study authors explain. According to the World Health Organization, about 17.7 million people die of CVDs each year, almost a third of all deaths

worldwide. Eighty per cent of CVD deaths are caused by heart attacks and strokes. Smoking, not exercising enough, and eating an unhealthy diet high in salt and low in fresh fruit and vegetables, increase the risk. However, eggs are rich in dietary cholesterol, long linked to a higher CVD risk, but these days most doctors encourage the eating of eggs as part of healthful nutrients, containing high levels of protein, Vitamins A, D, B, B12 and carotenoids.

BUSINESS DAY

Asthma and common asthma triggers CHIWUIKE UBA sthma is a non-communicable chronic inflammatory disease of the airways affecting people of all ages. Asthma could be diagnosed at either younger or older age. Asthma is one of the world’s most common longterm conditions and currently affects over 300 million people worldwide with a projection to increase by another 100 million people by the year 2025. As a non-curable disease, management strategies are geared towards controlling the disease to reduce the associated morbidity and mortality. With a prevalence rate of 5-18 percent in Nigeria, asthma costs United States of America (USA) economy over $80 billion annually. Reducing exposure to environmental factors, such as indoor and outdoor asthma triggers is important for asthma management. This is more important in Nigeria given the inadequate facilities and other resources for asthma management. In a review of 68 tertiary hospitals in Nigeria in 2011, it was found out that only twenty (26) hospitals representing 38.20 percent of the reviewed hospitals had peak expiratory flow rate meter (PEFR) in the emergency rooms, while twenty (20) hospitals representing 29.40 percent had spirometer and ten (10) representing 14.70 percent had skin allergy test facilities. In addition to lack/inadequate facilities and equipment’s, there is inadequate expertise to manage asthma in Nigeria. In a recent study carried out in 2015, only 34 percent of the respondents could perform full spirometry on patients, and none had the capacity for performing a methacholine challenge test. Asthma can be triggered by certain factors or objects and these triggers vary from person to person. While some persons may react to few of these triggers, others may react to many. To effectively manage your asthma, it is important to keep track of the causes or triggers that you know provoke your asthma and avoid them as much as possible. Some of the common asthma triggers include the allergens, irritants in the air, respiratory illness/infections, exercise, weather, medicines, stress, feelings and strong

emotions amongst others. Allergies (Allergic Asthma) Common allergens that cause allergic asthma include dust mites, cockroach, pollens, moulds, pet dander, rodents and others. Irritants in the Air Irritants in the environment can bother inflamed and sensitive airways; hence, lead to asthma exacerbation. Irritants in the air are mainly second hand smoke and include the smoke from cigarettes, wood fires, charcoal grills, strong fumes, vapours, or odours (such as paint, gasoline, perfumes and scented soaps), dusts and particles in the air, chemicals and air pollution such as smog, ozone, and others. Respiratory Illness Respiratory infections are the most common asthma trigger in children and include such infections as colds, flu (influenza), sore throats, sinus infections, pneumonia and others. Exercise Exercise may trigger asthma; especially in cold air. In some cases, the symptoms may not appear until after several minutes of sustained exercise. However, with proper treatment, physical activity may not need to be limited. Weather Changes in weather, dry wind and cold air can bring on asthma episodes. Feeling and Expressing Strong Emotions: Strong emotions such as anger, stress, fear, excitement, laughter, yelling, crying, etc have been identified as one of the triggers of asthma because during such period, breathing changes. Medicines Some medicines can also trigger asthma. This occurs in those who are sensitive to medications such as aspirin, non-steroidal anti-inflammatory drugs (NSAIDs) and other medications known as beta blockers. In addition to medicines, hormonal changes during menstrual cycle, sulphites in food (including milk, eggs, nuts, shellfish) and other medical problems like reflux may be an asthma trigger. Chiwuike Uba, is the founder of Amaka Chiwuike-Uba Foundation (ACUF)

BUSINESS DAY

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Ogun targets 1.3m pupils for 2018 deworming exercise RAZAQ AYINLA, Abeokuta

n a bid to reduce morbidity, disability and mortality caused by Neglected Tropical Diseases (NTD), the Ogun state Government is set to deworm 1.3 million children of school age in the state. Babatunde Ipaye, the State Commissioner for Health, made this known during a One-Day social Mobilization Meeting on Neglected Tropical Diseases Implementation Programme Organised by the Department of Public Health, Ministry of Health in conjunction with Evidence Action held at the NMA house in Abeokuta. Ipaye, who was represented by the Permanent Secretary, State Ministry of Health, Nafiu Aigoro said prior to the commencement of 2018 deworming exercise, there will be continuous mobilisation of critical stakeholders such as religious, community leaders and teachers, adding that this will forestall any hindrance to the success of the programme. The commissioner disclosed further that the deworming exercise would be in three stages. The first of which would be focused on School Based Deworming Exercise in four Local Governments with over 50 percent prevalence of NTD

in the state and it was targeted at children of ages 5-14, the second phase was Community Treatment in 18 LGAs for people between age 5 and above while the third would be second round of 2018 School Based Deworming Exercise in 20 LGAs in the state. “Before we have another round, we will continue to sustain our mobilization and that is why we have organized this social mobilization programme to engage the critical stakeholders. As we can see part of the participants are community leaders, religious leaders and teachers that we’ve called upon to sensitize them that we will be having another exercise”, Ipaye said. He therefore advised parents to embrace the exercise as

it is free and tested to saved and effective, saying that the improvement of the health status of citizens particularly children was of the utmost priority of the Governor Ibikunle Amosun led-administration. “I will use this opportunity to tell our people out there that these initiative is for the benefit of all our children and these are leaders of tomorrow, we must ensure that they are healthy and it will improve their cognitive function so I want to encourage all our mothers out there that they should embrace this, they should not listen to rumor this is free, it is safe. We want to improve the health status of our children so that they can be useful as leaders of tomorrow”, the Commissioner urged.

Boska initiative provides relief at Atan market, Ogun state ANTHONIA OBOKOH

he Pain Free Day Initiative of DexaMeca has conducted another wave of its campaign at Atan market, Ota, Ogun state, May 23, to help consumers stay healthy during the rainy season. It offered consumers opportunity to meet health experts who provided full range of health services including administration of drugs and focal glasses for eye correction, ear and nose defects.

The Pain Free Day initiative was aimed at improving consumers’ health and raising awareness of the risks associated with inadequate care of oneself. Tunde Ojedokun, brand executive Dexa Medica said, “From qualitative findings, we observed that exposure to high temperatures can make existing illnesses seriously worse (for example trigger a heart attack), cause serious permanent injuries (damage to the brain or other vital organs) as a

Dexa Medica team (from the left- Emma Ughonu,Deborah Olarewaju,Esther Chinedu, Aishat Ogunsanya, Mariam Alabi) administering free health services to ATAN residents.

HBL TEAM

result of untreated heat stroke, and in extreme cases result in death, and to know that Boska brand is available to help them stay fit during this harsh economic period.” However, we observed that seventy per cent of consumers often catch the flu during rainy season resulting in body breakdown if not attended to. ‘’I am confident that Dexa Medica will continue to improve the delivery of quality health care for consumers in the months ahead. “Hence the strong reason for an initiative like this in rainy season to help consumers stay fit while saving up to meet up with other areas of needs. “DexaMedica has a strong track record of developing superior quality drugs that have helped consumers measurably improve their health. “This Pain Free Day edition is specially designed to keep consumers fit as they go about their domestic and work activities,” said Ojedokun.

KEMI AJUMOBI, Editor - kemi@businessdayonline.com

Friday 25 May 2018

Practical strategies for combating belly fat in men MICHEAL ANI

eight gain, especially belly fat, has been an issue of much discussion for years. This is because of the rising number of Nigerian men with protruding stomachs. The African traditional school of thought is that “the bigger the pot belly, the richer the person”. A n d t h i s m ay e x p l a i n w hy a huge number of African men are undisciplined when it comes to proper eating habits and fitness. Research has shown that carrying excessive weight in your mid-section is risky especially for men. This is because a larger w a i s t c i rc u m f e re n c e (o r t h e measurement around your midsection) puts you at a higher risk for a variety of chronic diseases including heart diseases, sleep apnea and even certain cancer (like colon or rectal cancer). Medical experts say that having lots of fat in the abdominal area is strongly linked to diseases like type 2 diabetes and heart diseases. A maj or caus e of b elly fat expert say is the frequent consumption of food and beverages high in sugar of fructose without subjecting the body to proportional exercise. It could also be due to imbalance in the body’s hormones caused by stress. This is according to scientist from the University of Uppsala in Sweden. They found that “Non-obese healthy young men exposed to long-term stressed developed abdominal obesity”. Other studies have shown that heavy alcohol consumption can also increase risk of diseases and excess belly fat. However, one of the healthiest ways to combat belly fat is regular and constant exercise. Medical experts are of the

opinion that over time, people have generally become less active, and this has likely played a role in the rising rates of obesity including abdominal obesity. Recent studies have shown that exercise plays an important role in maintaining a lean belly. Some other studies identified aerobic activity as a key factor. Researchers found that men who had higher levels of cardiovascular fitness (also called aerobic fitness) were more likely to have leaner midsections, even if these men were overweight. Another strategy in combating belly fat is appropriate diet, as studies have shown that carbohydrate rich foods can cause a n i n c re a s e i n b e l l y f a t a n d waist circumference. Thus, one needs to limit one’s intake of empty carbohydrate like (white) bread, polished rice, crackers and pasta. However, if one must eat a c a r b o hy d rat e - r i c h f o o d , o n e should choose 100 percent whole grains as it is higher in fibre and some nutrients and considered a healthier choice. Also, studies show a couple of serving of low- fat yogurt, semiskimmed milk of soft cheese will help burn body fat around the body midriff. Sweetened drinks pile up to form calories, studies have shown. Furthermore, eating healthy protein and healthy carbs can help slim one stomach. Also, for those who will not ditch the alcohol, experts recommend not more than two alcohol beverages daily. In conclusion, one’s lifestyle (the amount of sleep one has, h o w s t re s s e f f e c t s y o u r h o rmones that influence gaining or losing fat), your mind-set, changing to a low sugar lifestyle, and simply becoming active are all ways of combating belly fat.

Kwara nursing school alumna introduces prize award for best students SIKIRAT SHEHU, Ilorin

he 1979 set of the Kwara College of Nursing and Midwifery, Ilorin popularly known as ‘Set 6’ has introduced a prize giving award for best students in the school. The association of the alumna made the resolution in a communique issued to journalists in Ilorin, after a meeting in Ilorin on Monday, Kwara state capital. The communique was jointly signed by Lanre Quadri and Mulikatu Jato-Ibrahim. The alumna stated that the prize would be awarded to students at the end of first six months examination. The old students also resolved to equip the school library with modern textbooks to meet up with the contemporary need in the nursing program just as students stated that association was formed to contribute to the development of the Alma mater. The communique equally explained that the alumna would re-

convene in 2019 to celebrate their 40th anniversary of leaving the school. Earlier in his remark, Imam Abubakar, the Provost of the school applauded the old students for the initiative. Abubakar urged the union to assist the school in actualising the mission and vision of the school. He noted that the school was working to ensure that the school is upgraded from a monotechnic to a polytechnic, noting however that the school lacked a need structures to get the approval of the necessary council. Abubakar also decried lack of technology advancement in the school with a plea to the union to assist the school. “We believe in the power of the alumna to elevate the school to an enviable height. “We hereby urged other sets to follow suit and assist in achieving the mission and vision of the school”, he said.

ANTHONIA OBOKOH, ANI MICHAEL, Reporters I David Ogar, Graphics

Friday 25 May 2018

BUSINESS DAY

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Live @ the Stock exchange

Prices for Securities Traded as of Wednesday 23 May 2018 Company

Market cap(nm)

Price (N)

Change

Trades

Volume

Company

Market cap(nm)

Price (N)

Change

Trades

Volume

PRICES FOR MAIN BOARD SECURITIES (Equities) BANKING ACCESS BANK PLC. 313,868.49 10.85 -0.46 171 30,378,902 UNITED BANK FOR AFRICA PLC 386,453.46 11.30 0.89 203 18,142,985 877,532.00 27.95 -0.18 354 20,083,475 ZENITH INTERNATIONAL BANK PLC 728 68,605,362 OTHER FINANCIAL INSTITUTIONS FBN HOLDINGS PLC 384,079.63 10.70 0.94 329 8,846,898 329 8,846,898 1,057 77,452,260 BUILDING MATERIALS DANGOTE CEMENT PLC 4,157,883.81 244.00 - 16 13,603 LAFARGE AFRICA PLC. 351,273.84 40.50 - 32 91,868 48 105,471 48 105,471 EXPLORATION AND PRODUCTION SEPLAT PETROLEUM DEVELOPMENT COMPANY LTD 432,330.22 734.70 - 5 968 5 968 5 968 1,110 77,558,699 CROP PRODUCTION FTN COCOA PROCESSORS PLC 440.00 0.20 - 0 0 78,506.79 82.30 - 13 42,153 OKOMU OIL PALM PLC. PRESCO PLC 75,000.00 75.00 - 10 62,016 23 104,169 FISHING/HUNTING/TRAPPING ELLAH LAKES PLC. 511.20 4.26 - 0 0 0 0 LIVESTOCK/ANIMAL SPECIALTIES LIVESTOCK FEEDS PLC. 2,550.00 0.85 -1.16 7 560,000 7 560,000 30 664,169 DIVERSIFIED INDUSTRIES A.G. LEVENTIS NIGERIA PLC. 1,561.90 0.59 - 4 154,065 210.14 0.54 3.85 11 278,551 JOHN HOLT PLC. S C O A NIG. PLC. 2,111.93 3.25 - 2 125 58,533.11 1.44 -4.64 144 21,327,632 TRANSNATIONAL CORPORATION OF NIGERIA PLC U A C N PLC. 41,778.80 14.50 -8.52 69 1,613,499 230 23,373,872 230 23,373,872 BUILDING CONSTRUCTION ARBICO PLC. 711.32 4.79 - 0 0 0 0 INFRASTRUCTURE/HEAVY CONSTRUCTION JULIUS BERGER NIG. PLC. 38,280.00 29.00 - 17 41,681 165.00 6.60 - 0 0 ROADS NIG PLC. 17 41,681 REAL ESTATE DEVELOPMENT UACN PROPERTY DEVELOPMENT CO. LIMITED 5,560.57 2.14 -4.89 13 314,584 13 314,584 REAL ESTATE INVESTMENT TRUSTS (REITS) SKYE SHELTER FUND PLC 2,000.00 100.00 - 0 0 UNION HOMES REAL ESTATE INVESTMENT TRUST (REIT) 11,300.89 45.20 - 0 0 26,682.70 10.00 - 0 0 UPDC REAL ESTATE INVESTMENT TRUST 0 0 30 356,265 AUTOMOBILES/AUTO PARTS DN TYRE & RUBBER PLC 1,479.53 0.31 - 0 0 0 0 BEVERAGES--BREWERS/DISTILLERS CHAMPION BREW. PLC. 16,050.47 2.05 0.49 25 475,875 GOLDEN GUINEA BREW. PLC. 242.22 0.89 - 1 1,868 GUINNESS NIG PLC 227,799.81 104.00 - 42 329,481 INTERNATIONAL BREWERIES PLC. 445,265.65 51.80 - 1 200 NIGERIAN BREW. PLC. 977,221.43 122.20 -0.65 75 203,070 144 1,010,494 FOOD PRODUCTS DANGOTE FLOUR MILLS PLC 50,250.00 10.05 -4.74 95 2,960,107 DANGOTE SUGAR REFINERY PLC 213,600.00 17.80 -2.47 112 1,877,224 FLOUR MILLS NIG. PLC. 132,852.30 32.40 -2.85 119 2,106,979 HONEYWELL FLOUR MILL PLC 19,825.49 2.50 1.21 48 1,978,508 MULTI-TREX INTEGRATED FOODS PLC 1,489.00 0.40 - 0 0 N NIG. FLOUR MILLS PLC. 1,220.67 6.85 - 1 218 NASCON ALLIED INDUSTRIES PLC 54,313.49 20.50 -0.24 52 922,480 UNION DICON SALT PLC. 3,676.41 13.45 - 2 48,341 429 9,893,857 FOOD PRODUCTS--DIVERSIFIED CADBURY NIGERIA PLC. 24,416.63 13.00 - 37 128,641 NESTLE NIGERIA PLC. 1,268,250.00 1,600.00 - 46 1,351,167 83 1,479,808 HOUSEHOLD DURABLES NIGERIAN ENAMELWARE PLC. 1,680.31 22.10 - 0 0 VITAFOAM NIG PLC. 3,439.82 3.30 - 6 3,955 6 3,955 PERSONAL/HOUSEHOLD PRODUCTS P Z CUSSONS NIGERIA PLC. 86,754.92 21.85 - 11 73,857 UNILEVER NIGERIA PLC. 290,122.77 50.50 - 23 128,085 34 201,942 696 12,590,056 BANKING DIAMOND BANK PLC 36,361.81 1.57 -2.48 36 4,024,695 ECOBANK TRANSNATIONAL INCORPORATED 367,908.50 20.05 -2.20 46 788,114 FIDELITY BANK PLC 63,165.06 2.18 -0.46 59 3,223,922 GUARANTY TRUST BANK PLC. 1,280,256.30 43.50 0.23 184 13,772,343 JAIZ BANK PLC 20,035.69 0.68 - 10 127,615 SKYE BANK PLC 10,549.03 0.76 -1.32 45 4,205,283 STERLING BANK PLC. 38,867.06 1.35 -3.57 45 4,897,656 UNION BANK NIG.PLC. 186,372.82 6.40 - 16 103,192 UNITY BANK PLC 11,338.66 0.97 -4.90 15 441,856 WEMA BANK PLC. 30,473.83 0.79 -3.80 51 5,016,183 507 36,600,859 INSURANCE CARRIERS, BROKERS AND SERVICES AFRICAN ALLIANCE INSURANCE COMPANY PLC 4,117.00 0.20 - 1 15,000 AIICO INSURANCE PLC. 4,296.73 0.62 -4.62 22 417,846 AXAMANSARD INSURANCE PLC 26,250.00 2.50 1.63 14 480,100 CONSOLIDATED HALLMARK INSURANCE PLC 2,100.00 0.30 - 19 105,255 CONTINENTAL REINSURANCE PLC 15,559.12 1.50 - 16 324,260 CORNERSTONE INSURANCE COMPANY PLC. 5,155.33 0.35 - 0 0 EQUITY ASSURANCE PLC. 3,220.00 0.23 -4.17 5 580,530 GOLDLINK INSURANCE PLC 2,411.47 0.53 - 0 0 GREAT NIGERIAN INSURANCE PLC 1,913.74 0.50 - 0 0 GUINEA INSURANCE PLC. 2,456.00 0.40 - 0 0 INTERNATIONAL ENERGY INSURANCE COMPANY PLC 539.32 0.42 - 0 0 LASACO ASSURANCE PLC. 2,856.14 0.39 -2.56 25 1,730,747 LAW UNION AND ROCK INS. PLC. 3,866.70 0.90 1.12 6 1,065,842 LINKAGE ASSURANCE PLC 6,960.00 0.87 -4.40 14 3,333,883 MUTUAL BENEFITS ASSURANCE PLC. 2,800.00 0.35 2.94 9 3,545,337 N.E.M INSURANCE CO (NIG) PLC. 13,729.31 2.60 - 16 411,692 NIGER INSURANCE CO. PLC. 1,857.48 0.24 4.35 8 651,055 PRESTIGE ASSURANCE CO. PLC. 1,832.36 0.48 - 0 0 REGENCY ALLIANCE INSURANCE COMPANY PLC 1,800.56 0.27 - 1 40 SOVEREIGN TRUST INSURANCE PLC 2,085.21 0.25 4.00 20 5,990,806 STANDARD ALLIANCE INSURANCE PLC. 5,422.63 0.42 - 1 20,000 STANDARD TRUST ASSURANCE PLC 4,483.72 0.48 - 0 0 UNIC DIVERSIFIED HOLDINGS PLC. 516.46 0.20 - 1 1,488 UNIVERSAL INSURANCE COMPANY PLC 8,000.00 0.50 - 0 0 VERITAS KAPITAL ASSURANCE PLC 4,853.33 0.35 - 4 12,500 WAPIC INSURANCE PLC 6,959.02 0.52 -3.70 9 1,316,995

191 20,003,376 MICRO-FINANCE BANKS FORTIS MICROFINANCE BANK PLC 11,799.67 2.58 - 0 0 4,436.08 1.94 - 19 485,301 NPF MICROFINANCE BANK PLC 19 485,301 MORTGAGE CARRIERS, BROKERS AND SERVICES ABBEY MORTGAGE BANK PLC 5,460.00 1.30 - 0 0 ASO SAVINGS AND LOANS PLC 7,370.87 0.50 - 0 0 5,922.05 1.42 - 0 0 INFINITY TRUST MORTGAGE BANK PLC RESORT SAVINGS & LOANS PLC 5,664.87 0.50 - 0 0 2,949.22 3.02 - 0 0 UNION HOMES SAVINGS AND LOANS PLC. 0 0 OTHER FINANCIAL INSTITUTIONS AFRICA PRUDENTIAL PLC 8,200.00 4.10 -2.38 63 1,625,532 CUSTODIAN AND ALLIED PLC 28,232.95 4.80 -3.61 29 842,936 720.00 0.48 - 1 100 DEAP CAPITAL MANAGEMENT & TRUST PLC 47,130.45 2.38 -4.80 83 4,597,979 FCMB GROUP PLC. NIGERIA ENERYGY SECTOR FUND 411.91 552.20 - 0 0 1,749.43 0.34 - 4 72,325 ROYAL EXCHANGE PLC. SIM CAPITAL ALLIANCE VALUE FUND 3,312.39 103.20 - 0 0 482,374.36 48.00 - 19 147,661 STANBIC IBTC HOLDINGS PLC UNITED CAPITAL PLC 18,900.00 3.15 0.32 56 1,713,739 255 9,000,272 972 66,089,808 HEALTHCARE PROVIDERS EKOCORP PLC. 1,680.29 3.37 - 0 0 UNION DIAGNOSTIC & CLINICAL SERVICES PLC 1,634.44 0.46 - 0 0 0 0 MEDICAL SUPPLIES MORISON INDUSTRIES PLC. 544.04 0.55 - 1 3,971 1 3,971 PHARMACEUTICALS EVANS MEDICAL PLC. 366.17 0.50 - 0 0 FIDSON HEALTHCARE PLC 8,850.00 5.90 2.79 39 27,195,644 25,412.38 21.25 - 11 10,625 GLAXO SMITHKLINE CONSUMER NIG. PLC. MAY & BAKER NIGERIA PLC. 2,606.80 2.66 -1.12 18 319,280 NEIMETH INTERNATIONAL PHARMACEUTICALS PLC 1,139.49 0.66 - 3 68,100 556.71 3.62 - 0 0 NIGERIA-GERMAN CHEMICALS PLC. PHARMA-DEKO PLC. 477.00 2.20 - 4 1,430 75 27,595,079 76 27,599,050 COMPUTER BASED SYSTEMS COURTEVILLE BUSINESS SOLUTIONS PLC 710.40 0.20 - 2 265,983 2 265,983 COMPUTERS AND PERIPHERALS OMATEK VENTURES PLC 1,470.89 0.50 - 0 0 0 0 IT SERVICES CWG PLC 6,413.06 2.54 - 0 0 NCR (NIGERIA) PLC. 680.40 6.30 - 5 20,850 TRIPPLE GEE AND COMPANY PLC. 435.56 0.88 - 0 0 5 20,850 PROCESSING SYSTEMS CHAMS PLC 1,784.50 0.38 -5.00 2 500,100 E-TRANZACT INTERNATIONAL PLC 19,110.00 4.55 - 2 3,904 4 504,004 11 790,837 BUILDING MATERIALS BERGER PAINTS PLC 2,608.41 9.00 - 0 0 CAP PLC 27,195.00 38.85 -2.87 9 102,173 CEMENT CO. OF NORTH.NIG. PLC 31,668.28 25.20 - 21 29,709 FIRST ALUMINIUM NIGERIA PLC 970.77 0.46 4.55 6 400,856 MEYER PLC. 361.24 0.68 - 5 64,000 PAINTS AND COATINGS MANUFACTURES PLC 467.82 0.59 - 0 0 PORTLAND PAINTS & PRODUCTS NIGERIA PLC 1,626.50 2.05 - 3 20,510 PREMIER PAINTS PLC. 1,279.20 10.40 - 0 0 44 617,248 ELECTRONIC AND ELECTRICAL PRODUCTS AUSTIN LAZ & COMPANY PLC 2,256.91 2.09 - 0 0 CUTIX PLC. 2,774.08 3.15 - 21 506,835 21 506,835 PACKAGING/CONTAINERS BETA GLASS PLC. 43,672.55 87.35 - 5 2,475 GREIF NIGERIA PLC 388.02 9.10 - 0 0 5 2,475 70 1,126,558 CHEMICALS B.O.C. GASES PLC. 1,927.21 4.63 0.65 20 1,009,669 20 1,009,669 METALS ALUMINIUM EXTRUSION IND. PLC. 2,023.60 9.20 - 1 500 1 500 MINING SERVICES MULTIVERSE MINING AND EXPLORATION PLC 852.39 0.20 - 0 0 0 0 PAPER/FOREST PRODUCTS THOMAS WYATT NIG. PLC. 77.00 0.35 - 0 0 0 0 21 1,010,169 ENERGY EQUIPMENT AND SERVICES JAPAUL OIL & MARITIME SERVICES PLC 1,690.93 0.27 -3.57 23 3,227,483 23 3,227,483 INTEGRATED OIL AND GAS SERVICES OANDO PLC 94,478.73 7.60 -3.80 129 2,779,184 129 2,779,184 PETROLEUM AND PETROLEUM PRODUCTS DISTRIBUTORS 11 PLC 62,202.68 172.50 - 54 56,828 CONOIL PLC 22,067.68 31.80 - 24 48,232 ETERNA PLC. 8,085.70 6.20 - 42 781,465 FORTE OIL PLC. 53,010.98 40.70 - 37 58,475 MRS OIL NIGERIA PLC. 7,924.45 31.20 4.87 14 128,759 TOTAL NIGERIA PLC. 71,978.63 212.00 - 25 79,573 196 1,153,332 348 7,159,999 ADVERTISING AFROMEDIA PLC 2,219.52 0.50 - 0 0 0 0 AIRLINES MEDVIEW AIRLINE PLC 20,866.39 2.14 - 2 560 2 560 AUTOMOBILE/AUTO PART RETAILERS R T BRISCOE PLC. 564.65 0.48 - 1 7,592 1 7,592 COURIER/FREIGHT/DELIVERY RED STAR EXPRESS PLC 3,713.83 6.30 - 6 57,500 TRANS-NATIONWIDE EXPRESS PLC. 384.45 0.82 - 0 0 6 57,500 HOSPITALITY TANTALIZERS PLC 1,188.30 0.37 - 1 3,000 1 3,000 HOTELS/LODGING CAPITAL HOTEL PLC 4,878.66 3.15 - 1 500 IKEJA HOTEL PLC 4,656.50 2.24 9.80 31 45,834,353 TOURIST COMPANY OF NIGERIA PLC. 7,862.53 3.50 - 0 0 TRANSCORP HOTELS PLC 56,623.01 7.45 - 3 14,500 35 45,849,353 MEDIA/ENTERTAINMENT DAAR COMMUNICATIONS PLC 5,760.00 0.48 - 0 0

BUSINESS DAY

Friday 25 May 2018

FEATURE

“Pursue your Aspirations”, FCMB Inspires Customers in a New Thematic Campaign In recognition that Nigerians are aspirational and hard-working people, FCMB, positions to support its customers dreams through “Pursue your Aspirations”, Thematic Campaign

irst City Monument Bank (FCMB) recently took another bold step to deepen its history of excellence and consolidate its position as one of the foremost financial institutions in Nigeria. The latest milestone came in the form of a new thematic campaign titled, ‘’Feel Confident, Pursue your Aspirations’’. The campaign, which showcases the warm, friendly, approachable, inspiring and energetic brand identity of FCMB and its values as a simple, reliable and helpful Bank, is being communicated in print, television and radio outlets and also on social media, just as it continues to make raves as one of the most outstanding in recent times in the country. The ‘’Feel Confident, Pursue your Aspirations’’ message tells compelling stories of the lives and business aspirations of diverse Nigerians and how FCMB supports them to bring such dreams and aspirations to reality. It also tells the story of the very diverse base of the customers that FCMB serves, its commitment to creating opportunities, adding more value and enhancing the overall customer experience of its clientele. This is aimed at further connecting with them to sustain their loyalty and patronage. Indeed, the commercials of the new thematic campaign across media platforms clearly demonstrate the commitment of FCMB and its readiness to help existing and potential customers confidently translate their dreams, aspirations, ideas and business plans into real practical, measurable and successful ones. In addition, the thematic campaign sends a clear message of conviction to all segments of people in the society who have any form of credible personal or corporate business idea, intention or plan, but have not been able to turn them into reality, that FCMB is ready to make them live their dreams. Credence is added by the fact the Bank parades a team of experts in financial management, macro and micro financing, business design, development, growth and sustainability, among others. Part of the proposition of the campaign goes thus: “You have got plans, let’s make them happen. At FCMB, we share your aspirations. Let us help you fulfil them with our specialised range of banking products and services. You have got an idea, let’s grow a business. Managing a business does not have to be a burden you bear alone. Get SME advisory support today. We power

Adam Nuru, managing director

over 300,000 registered businesses with our array of business banking solutions. Take advantage of these solutions designed to support your business”. The over 35 years old financial institution, which was recently awarded the prestigious International Organisation for Standardisation (ISO) 9001:2015 certificate for Quality Management System by the Standards Organisation of Nigeria, is making this possible through its all-inclusive bucket of flexible products and services, structured to satisfy all banking needs of all segments of the society. Commenting on the FCMB ‘’Feel Confident, Pursue your Aspirations’’ thematic campaign, the Managing Director of the Bank, Mr. Adam Nuru, said, “it tells the story of the diverse base of the customers that we serve at FCMB. It does not matter where you are, we support you to fulfill your life and business aspirations at FCMB. Our convenient electronic banking platforms and best-in-class relationship management model deliver great experience to our customers as we support them to achieve their great dreams for themselves, their families and their businesses”. He reiterated that, ‘’Nigerians are aspirational and hard-working people. FCMB is the bank for all

Nigerians, walking with them as partners to fulfil their life and business aspirations in the true spirit of its brand pay-off line; “FCMB- My Bank and I”. In the same vein, the Group Head, Corporate Affairs of FCMB, Mr. Diran Olojo, explained that, “it is a tactical reaction to our Bank’s periodic brand health checks. This is aimed at regularly feeling the pulse of our stakeholders in our continuous drive to satisfy them and sustainably achieve excellent customer experience, qualities FCMB has come to be associated with, over the years”. In the same vein, the Managing

Beyond this, FCMB regularly organizes training and other capacity building programmes for SMEs to keep them up to speed with skills that would further grow their businesses, while also providing funding

Director of the Bank said that as one of the few Banks that consistently feature in the top 5 categories, across all segments, in the KPMG annual customer satisfaction survey, analysts are of the opinion the lender is on a stronger pedestal to deliver the very best in products and services. FCMB provides one of the best alternate channels banking services cutting across ATMs, mobile banking, Point-of-Sale (PoS) and internet banking. The Bank is among the first to deliver on-thespot ATM cards, including Visa card and Mastercard, issuance in Nigeria. Last year, the Bank deployed an additional 5,000 PoS machines nationwide to bring the number to 14,000. It also launched a new Small and Medium Scale Enterprises (SMEs) mobile app to enhance alternate channels adoption among customers in the business segment. FCMB’s self-service, stress-free and secured solution, (*329# USSD code), has equally continued to delight the public. Through this platform, customers carry-out various financial transactions, using their mobile phones. These include funds transfer, account opening, micro loans and top-up, account balance enquiry, airtime and data purchase, bills payment, among other value-added services, on the

go and without any hurdles. The Bank explained that the *329# mobile banking solution forms part of its core strategy to expand its service channels by promoting and deepening the Central Bank of Nigeria’s cashless and financial inclusion policies. The development eliminates delays periodically experienced by physically visiting a branch of the Bank or outlet to carry-out transactions. In addition, the initiative will reinforce the lender’s commitment to environmental sustainability, geared towards reducing the quantity of paper and other materials usage in the society of which printing of various banking documents forms a substantial part of the process. A major component of FCMB’s sustainability principle is on agriculture and empowering farmers with a view to increasing their productivity potential as part of its financial intermediation role for national development. This is reflected in the bank’s intervention that has resulted in better access to financial resources by deserving individuals, organisations and companies. It has also led to improved processes, better output and profitability. In the Small and Medium Scale Enterprises space, FCMB has continued to prove its mettle. It has developed number of cutting-edge products and services that have endeared it to Businesses. Some of these offerings include, the e-invoicing platform – a unique solution, designed to help businesses monitor and control their cash management, especially as it affects payments, receivables, reconciliation and other financial transactions, through the internet and other mobile channels among others. In addition, the Bank offers free banking transactions for a period of three months for new-to-FCMB SME customers. In line with the Bank’s drive to partner with value content from the Fintech space, it has collaborated with Paystack to provide an innovative online collection platform for merchants and other businesses focused on enabling them to provide their customers with a seamless payment experience. Beyond this, FCMB regularly organizes training and other capacity building programmes for SMEs to keep them up to speed with skills that would further grow their businesses, while also providing funding. Without doubt, the new thematic campaign of FCMB and other giant strides being recorded by the Bank, show that it is on a journey to greater heights.

Friday 25 May 2018

C002D5556

BUSINESS DAY

BUSINESS SOUTH-SOUTH

COMPLETE COVERAGE OF SOUTH-SOUTH / SOUTH-EAST

Export Institute seeks cooperation with Edo Government over Inland Dry Port, Gelegele Seaport BEN EGUZOZIE, Port Harcourt

oremost export outfit, the Institute of Export Operations and Management (IEOM) is seeking levels of collaboration with the Edo State government to drive export business using the state’s two ports, the Edo Inland Dry Port and Gelegele Seaport. During a visit to Governor Godwin Obaseki at the Government House in Benin City, the IEOM executive secretary and chief executive, Ofon Udofia said, the partnership was aimed at further opening up the state to international business and thereby attract foreign direct investment (FDI) into the state. Already, an IEOM team had visited the Inland Dry Port, and has also signed a memorandum of understanding (MoU) with AMES and the Benin Chamber of Commerce, Industries, Mines and Agriculture (BECCIMA) to drive export business in the state. According to Udofia, IEOM ex-

ecutive secretary and chief executive, the various levels of cooperation, if properly built and sustained, would engender export trade, create job opportunities to engage the teeming youths of the state, and the Niger Delta region at large.

Gabonese presidency mulls Calabar investment …as Ayade opens FM station BEN EGUZOZIE & MIKE ABANG, Calabar

a l ab a r a p p e a r s t o b e a n a t t r a c t i v e i n v e s tment destination to the Gabonese presidency. The Canaan City is about 522 km to Libreville, the Gabonese capital, a distance shorter than the Calabar–Lagos long haul. Me dia app ears to b e the first investment foothold. At t h e re c e nt c o m m i s s i o ning of a brand new FM radio station, Sparkling FM, Lanry Bongo, the younger brother of President Omar Bongo, and his wife, were among the key d ig n i t a r i e s t hat g ra c e d t h e occasion. There were others recognized as ‘array of private investors.’ Sparkling FM is the third privately owned radio station in the state capital. Others are Hit FM, and Fat FM, in addition to the state owned Cross River Broadcasting Corporation and the Federal Government run Canaan City FM. Meanwhile, ahead of the 2019 general elections, Cross R i v e r S t a t e G o v e r n o r, B e n Ayade, has charged the management of the station to be f a i r, f i r m, a n d u n b i a s e d i n their reportage to the people of the state. The Governor said his gove r n m e n t ’s d r i v e f o r i n v e s tors was yielding dividends of democrac y to the people through employment generation. Ay a d e, w h o w a s re p re -

sented by his commissioner for Information and Orientat i o n , R o s e ma r y A rc h i b o n g , said, his government has invested much to attract local and international investors as a way of bolstering the state economy, and by extension, create more employments. He commended the vision of the owners of the FM radio station, saying that the state g ov e r n m e n t w o u l d p a r t n e r with them to enable government give more verve to the its policies, projects and wellbeing of the people. “We will want this station to help drive our industrialization process,” Ayade said. Speaker of the state House of Assembly, John Gaul Lebo, who was represented by chairman of the Assembly committe e on Infor mation, Matthew Olory, said they will cooperate and identify with the station. Managing director of the n e w ra d i o s t at i o n , En i m i n i Innocent Idiongete said, the station was a long held dream, which is to provide a balanced platform to unite Nigerians irrespective of their views, religious or political inclination. “ We w i l l n e v e r u s e o u r radio to assassinate people’s c h a r a c t e r, m i s re p re s e n t o r create an atmosphere of discord in the state and country. Instead we shall accommodate divergent points and unite religions. We want to project the state and country’s cultures and greatness,” he said.

He told Governor Obaseki that “if we begin to think about export rather than import, we would have opportunities for youths to be engaged, because there are so many resources that Nigeria and Edo State in particular, has that we think

they should go beyond just being a provider of raw materials, to having companies that will turn such raw materials into finished products that will meet export quality.” He said, “as an institute of export, we have positioned ourselves in providing trainings that will expose youth and adults alike, and benefit from the various trainings. Our institute will be providing trainings for Edo indigenes around exportoriented business; we will be exposing them to businesses that cover the value chains of the resources/ commodities available in Edo State.” Udofia said they at IEOM were looking at the full implementation of the Inland Dry Port because it is a place where several export activities can be consummated as a direct export hub; adding that they will be providing training in product development, processing and packaging to meet international standards and quality. These trainings will facilitate the setting up of packaging centre. Facilities such as processing/

packaging and bonded warehouse will enhance product development and quality assurance activities in the port, as these would facilitate value addition of raw materials into export-ready goods. The IEOM partnership with Edo Government will aid to bring other partners such Nigeria Export Import Bank (NEXIM), Bank of Industry (BoI), the United Nations (UN), among others, to finance some of the facilities and machinery. Meanwhile, the export institute has therefore, proposed that Edo state should set up a training and export development centre where people can be trained, and exposed to legitimate business opportunities outside Nigeria to get enough income, rather than depending on the already over-burdened resources in the state. It also advised that the state should focus on the three major resources they have, which are agricultural resources, solid minerals and art & craft.

Nigerians tasked to revive reading culture REGIS ANUKWUOJI, Enugu

he pioneer national secretary of defunct Alliance for Democracy (AD), Udenta O. Udenta has called on Nigerians to develop the culture of reading books to widen their knowledge in this global world. He made the call during the presentation of a book, Where the Rain Star ted Beating Us, written by Ugochukwu Agballa, former governorship candidate of the All Progressives Grand Alliance (APGA) in Enugu State. Udenta, who described the book as a very good researched work from the days of slave trade, described it as a must read by all classes of people. He commended the author for opening a

new chapter in book writing, and encouraged Nigerians to cultivate the culture of reading books. The former AD scribe noted that the author has opened a new groun d in t he literar y world by presenting a composite picture of the Igbos during precolonial and colonial days. Other notable Nigerians present at the public presentation of the book, which attracted an unprecedented crowd of people, were the Enugu State Governor, Ifeanyi Ugwuanyi; former minister of Power, Chinedu Nebo; former Vice Chancellor of University of Nigeria, Nsukka (UNN), Bartho Okolo; Anthony Agbo, a senator in the 7th National Assembly; renowned novelist, Dilibe Onyeama and Maria Okwor, who read some sections of the book

to demonstrate the importance of reading. They commended the author for a very good scholarly literary work. Earlier, the book reviewer, Damian Opata from the Department of English and Literary Studies, UNN, described the book as a historical narrative of events during the colonial era, depicting Igbo traditions, cultural conflicts and slave trade, its abolition and the concept of Warrant Chief system. Speaking on his motivation, the author of the book, Ugochukwu Agballah said it took him 26 years of research to make the book possible. He however said this was not his first book, that he wrote an award winning one when he was 13 years old; saying that he was influenced into reading by his parents.

Media chiefs tasked Cross River media correspondents MIKE ABANG, Calabar

edia chief executives in Cross River State have tasked members of the state correspondents’ chapel of the Nigeria Union of Journalists (NUJ) to play their roles by setting agenda for politicians rather than the other way round. The chief executives advised that the agenda must be issue-based, so that the media could hold the politicians accountable. The advice was given during advocacy visits by members of the Correspondents’ Chapel of the NUJ, Cross River council to some media organizations in the state, as part of activities of the media week which began on Monday, May 21. During the visit to Hit FM radio station in Calabar, the chief executive of the station, Patrick Ugbe, commended the media correspondents for organizing the week. He said, it is when journalists set

agenda for politicians that the masses can hold the politicians accountable. Ugbe, a former commissioner for Information and Orientation under former governor Liyel Imoke, said the theme for the media week lecture, “Engendering Issue-based Campaign in an Electioneering Year: The Media Perspectives,” was apt; and promised to assist the correspondents publicize activities lined up for the week. At the Federal Radio Corporation of Nigeria, Canaan City FM, the acting general manager, Okokon Ukpanyang, said the media week involved not just the correspondents, but all journalists, both serving and retired in the state. “Journalists fought for democracy, but when politicians get to power, they forget us the media priofessionals.” He assured that his organization will support the correspondents to ensure that the week was successful. At the Cross River State Broadcasting Corporation (CRBC), the general

manager, Theresa Essien, called on the people of the state “to register and get their permanent voter’s card (PVC), in order to elect leaders of their choice rather than ranting in the social media.” Emmanuel Akpong, general manager of state-owned newspaper corporation, Nigerian Chronicle, who lauded the Correspondents for putting behind them initial acrimonies that almost tore the union apart after the last NUJ elections in the state. Similarly, the general manager of FAD FM, Victor Ekpo Ita, said it was better for media practitioners to interact together in a convivial atmosphere, so as to be able to set agenda for the politicians. Earlier, chairman of the Correspondents’ Chapel, Judex Okoro, informed all the media chief executives that the media week was organized to enable journalists interact and set agenda for the forthcoming 2019 general elections in the country.

BUSINESS DAY

C002D5556

Sports

Friday 25 May 2018

Can Liverpool stop Real Madrid’s Champions league dominance? Stories by Anthony Nlebem

he city of Kiev will on Saturday, May 26th, at the NSC Olimpiyskiy Stadium in Kiev, witness the biggest club football finals as English Premier league side Liverpool seek to end Real Madrid’s supremacy in a battled for the prestigious Uefa Champions League trophy. No doubt, history will be made in a colossal clash of two of football’s most headlined clubs. Dogged and rugged performances have helped Liverpool arrive in the Champions League final to face the most decorated European club in history, Real Madrid. In search of their 13th European title, Real will look to depose Jurgen Klopp’s inform Reds, in what promises be a fascinating tactical duel at the NSC Olimpiyskiy Stadium in Kiev. The Reds are into the final for the first time since 2007 with an attacking formidable force in the likes of Roberto Firmino, Sadio Mane and ‘Red Hot’ Mohamed Salah leading the frontline. But the big question remains as to whether the

Reds defence has what it takes to stop the likes of Cristiano Ronaldo, the highest goal scores in the tournament and also looking to become the first player to lift the trophy five times with the same club. To add to the spectacle on the night, two of the world’s top talents will vie for the headlines in a battle that could decide who is crowned this season’s Ballon d’Or winner. Liverpool’s Mohamed

Salah has enjoyed one of the most mind-bogglingly dominant seasons ever seen and will get the chance to ice it when he comes face-to-face with the Portuguese phenomenon, Cristiano Ronaldo. The outcome of the match will likely be decided by the technical and tactical competence of both managers. It was hard to imagine how Zinedine Zidane could come remotely close to replicating the success of his incredible playing career after being

reborn as a top-tier manager, even after he was handed the keys to football’s most influential, financial and starstudded team. Zidane will the hoping to steer Los Blancos to an unprecedented third straight UCL title, but standing in his way is Reds boss, Jurgen Klopp. The cool German is on the verge of restoring one of football’s sleeping giants to the unstoppable force that yielded five previous European Cup titles.

Liverpool have not been in a Champions League final for 11 years. Klopp will be tasked with masterminding a monumental upset on May 26th, but his record in such occasions won’t fill Reds fans with confidence. The German tactician has failed to achieve victory in any of his last five finals, including a 2013 loss to Bayern Munich in this tournament while in charge of Borussia Dortmund. But, according to Jordan Henderson, the seeds for an astounding cup run were sewn following a Europa League final defeat two years ago in the shape of a rousing Klopp oration. “We were obviously down but when we got back to the hotel the manager had something different to stay,” he said. “He looked at the bigger picture and the future and he felt as though it could be a big moment in our careers to learn from the experience. “He had this sort of vision that made me think in the future we’d get to another final. “He wanted to use the experience of that final to keep us together and use it as a positive. If we got to another final we would be ready.” Klopp insists the finals record is of little importance

in the lead up to this game, one in which he will attempt to utilise his formidable front three to exploit holes in the defensive structure of Real Madrid. An intriguing tactical duel is expected as the lauded attacking power of Salah, Roberto Firmino and Sadio Mane seek to make their mark while exploiting the space behind Brazilian left back Marcelo, who Klopp says “doesn’t defend.” The Reds back four have been questioned despite the steadying influence of January acquisition Virgil van Dijk and will no doubt have their hands full against the likes of Ronaldo, Gareth Bale and Isco look to find the net. In the centre of the park, Luka Modric and Toni Kroos will seek to control the tempo, while James Milner, Jordan Henderson and Gini Wijnaldum press to close down the space and time afforded to the duo. Most cup finals provide a golden platform for players to ascend into legend. One thing is certain; a new chapter will be rewritten in the already incredible history of European landmark as football fraternity set to witness an intriguing, exciting and mouth boggling final in Kiev.

LG Electronics names Iwobi as new ambassador

eading multinational electronics company, LG Electronics, recently unveiled Nigeria international, Alex Iwobi, as its new brand ambassador for duration of three years. The 22-year-old played a key role in the Super Eagles’ qualification for the 2018 FIFA World Cup Russia, and was prominent in Arsenal’s sixthplace finish in the English Premier League. The renewable multi-million naira deal will last for three years with Iwobi becoming the face of the brand in Nigeria and beyond. Speaking at the unveiling in Lagos, Taeick Son, managing director, LG Electronics West Africa Operations said, “The choice of Alex Iwobi went through a thorough process and in the end we chose him, going by his antecedent in the field of play and most importantly how he is generally perceived as a player around the globe. “We have no doubt whatsoever that he is the right face to represent the brand, and at the end he would do us all proud.” “LG is a very big company and I’m very honoured and proud to be their brand am-

bassador to represent them on and off the pitch,” Iwobi said during the unveiling ceremony at LG Electronics showroom in Lekki, Lagos. “Growing up, I had always looked up to LG as a big brand and they are doing very well. So it’s amazing and I’m happy to be a part and I’m looking forward to a very successful journey. Life is really good.” “For me this is a rare

privilege and honour to be the brand ambassador of a renowned electronics giant as LG Electronics. It’s been amazing the way they’ve treated me and I’m honoured to represent them on-and-off the pitch; I’m looking forward to a successful journey that we are definitely going to have. As an ambassador of the brand, I will continue to perform in

ways that connect with the performance of the brand in millions of homes,” he stated. “I know it is everybody’s concern to talk about the value of the contract, but our commitment is not about the money generated but to appreciate and sponsor talents in Nigeria,” said Mohammed Fouani, managing director, Fouani Nigeria Limited.

Nigeria Pitch Awards to hold May 28th in Port Harcourt

L-R: Mohammed Fouani, managing director, Fouani Nigeria Limited; Alex Iwobi, LG Electronics Brand Ambassador and Hari Elluru, head corporate marketing LG Electronics, West Africa Operations, during the unveiling of Alex Iwobi as LG Electronics Brand Ambassador in Lagos recently.

rganizers of the prestigious Nigeria Pitch Awards have announced the date and venue for the 2017/18 award ceremony. Speaking in Lagos recently, Shina Philips, initiator of the awards said the Award Ceremony will hold on Monday 28 May at the Le Meridien Ogeyi Place in the Garden City of Port Harcourt. Philips said after deliberations, the committee agreed that Port Harcourt was the best venue for the 5th award ceremony of the Nigeria Pitch Awards. ‘The committee had a long and serious deliberation and finally decided that Port Harcourt would be the best location for the 5th edi-

tion of the awards,’ Philips said. The Garden City has been a centre of sporting activities for a long time and a home for the Super Eagles,’ he concluded. Philips thanked all the voters and members of the Nigerian media for their support for the Nigeria Pitch Awards. ‘Sports Editors and journalists have been our voters for the last 5 editions and they have done this conscientiously without receiving any form of wages’, Philips said Three Super Eagles players, Victor Moses of Chelsea FC, Wilfred Ndidi of Leicester FCand John Mikel Obi of Tiajin Teda will be battling for the top prize at the award ceremony.

Friday 25 May 2018

BUSINESS DAY

Friday 25 May 2018

Live @ The Stock Exchange Top Gainers/Losers as at Thursday 24 May 2018 GAINERS Company

LOSERS Opening

Closing

Change

MRS

N31.2

N34.35

3.15

OKOMUOIL

N82.3

N85

2.7

N20.05

N20.5

IKEJAHOTEL

N2.24

LAWUNION

N0.9

ETI

Market Statistics as at Thursday 24 May 2018

Company

Opening

Closing

Change

N122.2

N116.1

-6.1

FLOURMILL

N32.4

N31

-1.4

0.45

CCNN

N25.2

N24

-1.2

N2.35

0.11

ZENITHBANK

N27.95

N27

-0.95

N0.94

0.04

DANGSUGAR

N17.8

N16.95

-0.85

ASI (Points) DEALS (Numbers)

he Nigeria Bar Association (NBA) is seeking collaboration with the Securities and Exchange Commission (SEC) in the Commission’s efforts to deepen the capital market. Olumide Akpata, chair NBA Section on Business Law (SBL) made the call when members of the NBA-SBL visited the SEC office in Abuja While assuring the acting Director General of the support of his members, Akpata said the members will work with the SEC to ensure that the capital market is free, fair and transparent for all to operate. He disclosed that on its part, the NBA-SBL has embarked on a number of initiatives like its annual conference and the setting up of various committees to build capacity in business law.

L-R: Brian Dhliwayo, BANKSETA; Bafundi Maronoti, South African Reserve Bank; Bulelwa Soyamba, ABSA; Tinuade Awe, executive director, Regulation Division, The Nigerian Stock Exchange (NSE); Franklin Ngwu; senior Lecturer, Lagos Business School; Uche Olowu, president CIBN; Lilian Uwaeme, Lagos Business School; Jared Bleak, Lagos Business School during the Closing Gong Ceremony of the participants of the International Executive Development Programme (IEDP), Lagos Business School at The Exchange.

Limited (100percent), Amperion Power Distribution Company Limited (57percent) – the vehicle through which the Group’s interest in Geregu Power Plc is held and Forte Upstream Services Limited (100percent). The core of Forte Oil’s operations is in the downstream oil and gas segment, and the Group has established itself as a foremost indigenous petroleum marketing company with a rich history and strong operational platforms.

Nestle pays N21.79bn final dividend

estle Nigeria Plc, one of the largest food companies in Africa on Wednesday May 23, 2018 paid final dividend worth N21.79billion, which represents N27.50kobo per ordinary share against final dividend of N10 the company paid in 2016 financial year. Nestle Nigeria Plc had paid interim dividend of N15 last year. The payment of final dividend on Wednesday follows approval of the shareholders of the company at its 49th annual general meeting held Tuesday in Lagos. Nestle stock price which closed at N1, 600 on Tuesday had reached a 52-week high of N1, 615, from 52-week low of N835. The dividend paid was in line with the company’s policy of making its shareholders

the ultimate beneficiaries of its business growth, said David Ifezulike, chairman, Nestle Nigeria Plc. Listed on the consumer goods sector (food productsdiversified subsector) of the Nigerian Stock Exchange (NSE) main board has Market Capitalisation in excess of N1.268trillion and shares outstanding of 792,656,252 units.The economic outlook is a lot more promising than the corresponding period in the previous year with growth projected at 2.1per-

cent. This outlook is anchored on higher oil production and higher prices –oil prices are projected to average $54 in 2018. There is also high expectation of stronger agricultural performance. In view of these positives, Nestle Nigeria looks towards 2018 with optimism. “We remain well aware of the potential challenges in a year preceding major elections as well as risks associated with the current agitations in the NigerDelta, the herdsmen crisis and Boko Haram activities. As the current recovery trend eases production constraints in manufacturing and agriculture, and key government reforms continue to diversify the economy, an all-round improvement in the economy is expected,” Ifezulike said.

14.389

NOVA Merchant Bank shows strength for future success

NBA seeks collaboration with SEC

2.002

MARKET CAP (N Trn

Stories by Iheanyi Nwachukwu

4,111 deals. The Financial Services sector led the activity chart at the Nigerian bourse on Thursday with 217.20million shares exchanged for N1.50billion; followed by Consumer Goods with 15.96million shares traded for N330million. Listed on the Nigerian Stock Exchange (NSE), Forte Oil Plc is an operating holding company (HoldCo) under which the Group undertakes its downstream business in Nigeria, and also holds interests in AP Oil & Gas Ghana

256,430,235.00

VALUE (N billion)

…stock down 6.4% year-to-date, underperforms NSE ASI …Equity investors lose N155bn

cent. The All Share Index closed at 39,723.85 points as against the preceding day close of 40,150.55 points while stock investors lost about N155billion as the Market Capitaliation closed at N14.389 trillion against preceding day close of N14.544 trillion. The volume of stocks traded decreased by 3.85percent, from 266.7million to 256.4million, while the total value of stocks traded decreased by 57.15percent, from N4.674 billion to N2.003 billion in

4,111.00

VOLUME (Numbers)

Forte gets shareholders nod to divest subsidiaries

he shareholders of Forte Oil Plc have approved the divestment plan of the company. Forte Oil Plc, a leading integrated energy solutions provider in Nigeria is looking to sell some of its subsidiaries to significantly reduced finance cost in the Group and increase distributable earnings for the benefit of shareholders. Forte Oil Plc sought and received the approval of its shareholders at 39th Annual General Meeting (AGM) held Wednesday May 23, 2018 in Lagos to take a strategic step to restructure its business by divesting its interests in its Ghana operations, upstream services and power business, in order to ensure adequate funding is available for the downstream business. This formed part of the special businesses at the company’s annual general meeting. The Nigerian Stock Exchange (NSE) All Share Index (ASI) decreased by 1.06percent on Thursday May 24, 2018 to push the year-to-date (ytd) return lower at 3.87per-

39,723.85

OVA Merchant Bank Limited has been riding on a high level of productivity and cost-effectiveness in its activities, thus laying a strong foundation for its future success. The newly licensed merchant bank with a focus on wholesale banking, investment banking and asset management has reported a profit of N510.58million in its first full year of operations. Its results for its first eight months of operations, which ended December 31, 2017, showed that the bank recorded gross earnings of N1.22billion, driven by prudence and efficiency in its financial activities. Total assets stood at N17.99billion, while the bank also reported shareholders’ funds of N16.51billion. With a marked and strategic approach towards cost-savings and maximization, the bank’s operating expenses stood at N743.39million in the period under review. Phillips Oduoza, Chairman of the Board of Directors of NOVA Merchant Bank Limited who expressed sat-

isfaction at the first full year of performance, also commended the hard-work of the staff which culminated in the modest performance. He said, “We have assembled a team of professionals and our building state of the art technology to drive our innovative products and services in realization of our vision “To be Africa’s preferred financial solutions provider” and our mission to “create superior value in the markets we serve” According to Oduoza, it is expected that the size of the bank’s balance sheet will provide a strong foundation to support the growth of its business and rapidly growing client base. Analysts expect this trend of performance to continue in 2018 as the bank continues to expand its range of services and implements its philosophy of ‘New Thinking, New Opportunities’ to create value for its clients. According to them, the results shows impressive work based on the strong foundation which the company laid at the beginning of its operations which commenced only recently.

Stanbic IBTC Bank leads in cash management, trade finance

tanbic IBTC Bank Plc has emerged winner of the Gold Prize at the 2017 edition of Deutsche Bank Awards for Excellence in Cash Management and Trade Finance in Nigeria. This is the second time the bank is being awarded as the top performer in this category. The category tagged Straight-Through Processing (STP) Excellence Award has been a feature of Nigeria’s financial markets over the last seven years. Stanbic IBTC Bank also won Gold in 2015, Bronze in 2014 and Silver in 2016 editions. The 2017 USD StraightThrough Processing (STP) Excellence Award, according to Deutsche Bank, recognizes institutions delivering outstanding quality in payment efficiency. The nominated banks successfully implemented an STP rate of over

99 percent throughout 2017, serving to greatly reduce the administrative impact of payment processing, increasing efficiency and ensuring strict compliance with globally recognized payment standards. The 2017 award was presented to the bank on May 16 at a gala dinner in Lagos. Speaking at the event, Head of Deutsche Bank’s Representative Office in Nigeria, Andreas Voss, said the Awards for Excellence in Cash Management and Trade Finance in Nigeria was introduced as a demonstration of the institution’s commitment to the development of Nigerian businesses and to support continued development of the West African financial markets. The award, according to Deutsche Bank, is in recognition of Stanbic IBTC Bank’s consistent improvements in the quality of both commercial and treasury payments.

Politics & Policy Friday 25 May 2018

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Fashola, Banire not behind Oki group - Lagos APC faction …Says factional chairman seeking relevance INIOBONG IWOK

faction of the All Progressives Congress (APC) in Lagos State led by Bola Ahmed Tinubu has said that Babatunde Fashola, a former governor of the state and current minister of works, power and housing, and Muiz Banire, national legal adviser of the party, were not behind the formation of the Fouad Okiled faction of the party in the state. Recall that two state executives of the APC emerged in Lagos last Saturday, after two parallel state congresses were held, with the Tinububacked faction holding its congress at the party state secretariat in ACME Road in Ogba in which Tunde Balogun emerged the chairman, while the other faction simultaneously staged its congress at the Airport Hotel in Ikeja, and elected Fouad Oki as the state chairman. But speaking in an interview with BusinessDay, Biodun Salami, deputy publicity secretary of the party in the state, said that Fashola and Banire had publicly denounced the group, adding

Babatunde Fashola

that there was no evidence that the faction had links with the two party leaders. “They are only looking for recognition and he is doing all this for his personal interest. Fashola and Banire are not with him; they spoke and denied knowledge of the faction. Several of the people in his faction have been pulling out; the heat is on them; they cannot survive in Lagos we have a way of doing things,” Salami said.

According to him, the Okiled faction could not complain about any irregularity in the state congress because the faction did not take part in the ward and local government congresses, stressing that forms were sold for interested members of the party by national officers of the party. Salami dismissed allegation that the congresses were held in the 37 seven local council development

areas (LCDA) which were not recognised by the election guidelines and the electoral law, adding that the party acted within the provision of the law. The party chieftain said Oki was only seeking political relevance and working to fulfil his personal agenda which informed his decision to set up a parallel state executive of the party in the state. “They are the one in problem; I am sure very soon they would be looking for a soft landing, but we don’t want that now, let them finish what they have,” Salami said. According to him, “As far as Lagos is concerned, most of the elite politicians are in APC and the people appreciate what the governor is doing. They cannot complain because they did not take part in the ward congress and local government congress as at that time Fouad was the vice chairman why can’t he use his power to change it? “The 57 local governments are recognised by law; there was even a Supreme Court judgment on that. We have been on this since the Fashola administration. How can somebody that benefited from the process just come now and be saying all this?”

Politicians behind Benue killings - Soyinka

…Advises FG to seek international assistance BENJAMI AGESAN, Makurdi

ole Soyinka, a Nobel Laureate and professor, has advised the Federal Government to solicit the assistance of international community to curb the menace of killings being carried out by Fulani herdsmen in the state and entire country. Soyinka, who gave the advice on Thursday in Makurdi when he paid a courtesy visit to Governor Samuel Ortom at the Benue People’s House in Makurdi, also alleged that the killings were sponsored by desperate politicians because of their selfish motives. He attended the 35th anniversary of Senator Suemon Chia’s novel, Adam wade Kohol GA written in Tiv Language. “If the government cannot cope, it should not shy away from asking for international help”, he said. Soyinka further said that he

knew for sure that the international community would come to the aid of Nigeria to enable it tackle its security challenges. “The killings that are taking place in Benue and other states are targeted at ethnic cleansing and there is no any other word to describe it than that,’’ he emphasised. Soyinka lamented that instead of hunting animals for food why are the killer herdsmen hunting human beings? He described the act as barbaric, stressing that some people want to change the narrative that the killer herdsmen were Libyans and he queried who brought them, who keeps them and who funds them. He pointed out that they kill and occupy people’s homes which clearly revealed their actual motive which is to kill and occupy. He also admonished the FG to give marching orders to the Fulani herdsmen that are occupying commu-

nities that are not theirs to vacate them in 48 hours. Soyinka said that hundreds of thousands of people were trapped by Boko Haram in the North East. “We have to come together to probe the ugly situation so that the impunity which is going on in the country for long will stop. If the President had visited any community where lives were lost due to the killings perpetrated by the armed Fulani herdsmen and give warnings, the killings would have stopped since,’’ he said. Soyinka said that the killings were sponsored by desperate politicians because of their selfish motives, adding that the killings were not sporadic but well coordinated and the people behind the killings should be identified for prosecution. He advised that the phenomenon was not new because it happened in Rwanda and other crisis-ridden countries, so Nigerians ought to

have learnt from Rwanda to avoid the situation turning into an epidemic. Responding, Governor Ortom thanked him for the solidarity visit, stating that he had always identified with the state in all situations. The governor said that Soyinka had told the whole world of what the state was going through particularly its security challenges. Ortom said that Soyinka had at several fora demanded justice for Benue people and that the Professor’s voice is a voice of gold for he has not relented in adding his voice to what happens to the state. “What is happening to us is not a hidden agenda because the Fulani herdsmen, through Miyetti Allah Kautal Hore, have said at several fora that they want to take over the Benue valley and the attacks were also the continuation of the jihad which was truncated by the Benue people in 1804,” he emphasised.

BUSINESS DAY

2019 presidency: Why I chose YPP... Continued from page 1

when many other political parties have offered to make him their Presidential ticket because its ideologies provide the affirmative answers to the many questions he has about the leadership debacle in Nigeria. He also said the decision to seek the mandate to be the next Nigerian President on the platform of YPP which is a relatively new party followed “a wide consultation and accumulation of data and information across the country and across a series of hard-nosed operatives, thinkers and doers.” The former Deputy Governor of Central Bank of Nigeria (CBN) disclosed this at a press conference and political party declaration ceremony in Abuja, adding that it has become imperative to build a radically different type of leadership in Nigeria. The 55-year-old public intellectual with international repute, criticised both the ruling All Progressives Congress (APC) and the main opposition People’s Democratic Party (PDP) for bringing Nigeria to its present social, economic and political doldrums, hence he decided to use a new party that is ideological as well as innovative. “So I am here today in response to the other parties of the past; in response to umbrellas that block out the light of hope, and brooms that sweep away truth and replaced them with lies and evil propaganda,” he said. “In response to the parties of tired old tricks and tired old systems and tired old men, I and millions across Nigeria will choose the Young Progressive PartyYPP - the party of today and tomorrow,” the presidential aspirant stated. He promised to restructure Nigeria along the six geopolitical zones with resource control as the basic component, stressing that the Nigerian economy is in crisis because past leaders have not been innovative enough because of the over reliance on crude oil, which the leaders have abysmally failed to add value to. Moghalu called on all Nigerians to join hands with him and warned that the people would not be released from the bondage of poverty and insecurity until they rise against the class holding them down. “We can only be released from it when people from outside that class of old and tired recycled politicians rise against their greed because

they have no vision to offer this country other than the quest for power for the sake of power and access to our national treasury,” he said. He promised that if he becomes president in 2019 he will move Nigeria away from an oil economy to an innovation and knowledgebased economy. “Under my presidency, we will establish a massive venture capital fund of a minimum capital of N500 billion from the government and most likely another N500 billion from the private sector to invest in the mass production of inventions and in new businesses for young men and women who have no jobs. “Government does not create jobs, government creates enabling environment in which the private sector will create jobs. I have the intellectual power and the practical experience to make it happen,” he noted. The Anambra born political economics, graduated with a law degree in 1986 from the University of Nigeria, Nsukka, and at the Nigerian law school in Lagos 1987. He subsequently obtained an M.A. degree at the Fletcher School of Law of Diplomacy at Tufts University, and later obtained a Doctor of Philosophy (Ph.D.) in International Relations at the London School of Economics and Political Science (LSE) at the university of London UK, and the International Certificate in Risk Management from the Institute of Risk Management (IRM) in London. Moghalu joined the United Nations in 1992 his first assignment was in Cambodia as a UN human rights and elections officer with the United Nations Transitional Authority in Cambodia (UNTAC). A year later, he was appointed political affairs officer in the Department of Peacekeeping Operations at the UN Headquarters in New York. From 1996 to 1997, he served in the former Yugoslavia as political advisor to the special representative of the UN SecretaryGeneral in Croatia. He joined the central bank in 2009 and served as the Deputy Governor of the bank for Financial Stability, he led the implementation of far-reaching reforms in Nigeria’s banking sector after a combination of the global financial crisis, corporate governance abuses and weak risk management left one third of Nigerian banks on the edge of collapse while also later serving as Deputy Governor for Operations till 2014 when he left.

38 BUSINESS DAY NEWS Aided by BVN, mobile phones, FG... Continued from page 1

a mobile phone, over 350,000 people have benefited from interest free loans from the Federal Government in a bid to expand financial inclusion across the country. The Federal Government Enterprise and Empowerment Programme (GEEP) MarketMoni scheme has successfully reached over 350,000 micro enterprises in all 36 states of Nigeria, and the Federal Capital City. This was revealed on Thursday, at the Kano State’s edition of Micro Small and Medium-scale Enterprises (MSME) Clinic by the Executive Director of Bank of Industry (BoI), Toyin Adeniji. GEEP MarketMoni is a Federal Government Social Intervention Programme (SIP) that provides interest-free loans of N10,000 to N100,000 to microenterprises, the segments of society with the greatest difficulty accessing credit. The scheme, which is executed by BoI, a parastatal of the Federal Ministry of Industry, Trade and Investment, directly impacts traders, market women, artisans, and farmers nationwide. To assess the impact of the scheme, the Vice President Yemi Osinbajo met with a section of about 12,000 beneficiaries from Kano State during the state’s edition of MSME Clinic on Thursday. The Special Assistant to the Vice President on MSME, Tola Johnson, said “The best thing that has happened to micro businesses in Nigeria is the GEEP MarketMoni programme. It dealt with their collateral challenge because all they need is their data, a bank account and Bank Verification Number (BVN).” Johnson added that out of the 37million small businesses in Nigeria, 36.9 million are microenterprises. “This informed the Federal Government’s attention to this space. Micro enterprises are responsible for almost 50 per cent of the country’s Gross Domestic Product and 80 per cent of the workforce,” he added. Toyin Adeniji, the Executive Director of BOI revealed that under

the GEEP MarketMoni scheme, BOI has given out more than 350, 000 microcredit loans across the country. “GEEP MarketMoni has given people who otherwise have no access to finance, money to finance their businesses. These micro enterprises are expanding their businesses, making more profit and employing more people”. “Most of our beneficiaries are women, some of whom are widows and single mothers. We are improving the quality of their lives, their children’s lives, their health and even education. We are seeing very quantifiable impacts. No government has ever done this,” she added. Speaking with journalists in Kano, the Head of Agent Networks, Sherifat Abdullahi, who interacts directly with agents, association heads and the beneficiaries said, “Apart from the 350,000 direct beneficiaries across the country, it has created employment opportunities for over 5,000 Nigerians who act as MarketMoni agents, some of whom are graduates, previously unemployed.” Sherifat added, “As someone who has direct contact with the beneficiaries, this has been a very emotional journey for me,

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watching how this interest-free loan scheme is changing the lives of people, especially women and the vulnerable. We truly appreciate the Federal Government for doing this.” The National Bureau of Statistics reports that there are at least 37 million MSMEs in Nigeria, 85 per cent of which lack access to funding. It is in a bid to address this challenge head-on that the President Muhammadu Buhariled administration established MarketMoni - the Government Enterprise and Empowerment Programme (GEEP), a social intervention programme aimed at reinvigorating the economy at the base of the pyramid, the hotbed of Nigeria’s financially vulnerable. To benefit from the scheme, applicants just need to apply through their registered Market Associations and Cooperatives, have a Bank Verification Number(BVN), and a mobile phone. The loans range from N10,000 to N100,000, and are expected to be repaid within a 6- month period without interest. Apart from GEEP MarketMoni, the three other Social Investment Programmes embarked on by the Federal Government include the School feeding programme, Conditional Cash Transfer to less privileged and N-Power.

all situations especially calamities. The governor said that Soyinka had told the whole world of what the state was going through particularly its security challenges. Ortom stated that, he demanded for justice for Benue people at several fora and the voice of Soyinka is another addition to several other sincere efforts. “What is happening to us is not a hidden agenda because the Fulani herdsmen through Miyetti Allah Kautal Hore had said at several fora that they want to take over the Benue valley and the attacks were also the continuation of the jihad which was truncated by the Benue people in 1804,” he emphasized. The governor stressed that he had all the evidence to buttress what he was saying that the armed herdsmen were perpetrating the heinous acts with impunity. The governor lamented that three people that attended the mass burial of the two

priests and 17 other parishioners were killed by the Fulani herdsmen while returning home. Earlier, Charles Iornumbe, the state Chairman, Association of Nigerian Authors (ANA) said that they were grateful to Ortom for creating an enabling environment

FEMI ADESINA

ome people have made it a pastime to talk as if there is no silver lining in the sky as far as the Nigerian economy is concerned. They carry on as if it is doom and gloom all the way, a thoroughfare of woes. This they do, to hoodwink the public, and peradventure gain political advantage for themselves, or their principals. But facts are stubborn things. Those arrayed against facts may abhor and deride them, but there they are, staring them starkly in the face. Here are some current facts about the Nigerian economy, which naysayers may not be able to do anything about: According to the National Bureau of Statistics (NBS), the economy has recovered from the slow-down and eventual recession, which started in 2014. There has been improvement with stronger growth for three successive quarters. From contracting by 0.91% in Q1 2017, the economy has grown by 0.72% in Q2 2017, to 1.17% in Q3 2017,

for the association to thrive. Iornumbe appreciated the governor for his supportive role especially financial assistance, stressing that he supported the association to hosts its National delegate meeting which was well attended by writers across the globe.

Nigeria’s military committed war crimes... Continued from page 4

country has fought alongside Cameroon, Chad and Niger and been supported by the United States, Great Britain and France. The conflict has killed more than 30,000 people and spawned one of the world’s worst humanitarian crises. For years, rights groups, aid organisations and journalists have documented military abuses, with little resulting action from the armed forces. According to Amnesty’s report, interviewees “said that when the

Friday 25 May 2018

The economy: Facts are stubborn things – Presidency

L-R: Binta Suleiman, national women leader, Young Progressive Party (YPP); Kingsley Moghalu, former deputy governor, Central Bank of Nigeria/presidential aspirant, and Jide Akintunde, spokesperson of Building Nation, during the formal declaration of Kingsley Moghalu as a member of the YPP in Abuja, yesterday. Pic by Tunde Adeniyi

Benue killings: Soyinka advises FG to solicit... the President had visited any community where lives were lost due to the killings perpetrated by the armed Fulani herdsmen and gave warnings, the killings would have stopped since,’’ he said. Soyinka said that the killings were sponsored by desperate politicians because of their selfish motives, that the killings were not sporadic but well-coordinated and that the people behind the killings should be identified for prosecution. He advised that the phenomenon was not new because it happened in Rwanda and other crisis ridden countries, and that Nigerians ought to have learnt from Rwanda to avoid the situation turning into an epidemic. Responding, Governor Ortom expressed gratitude for the solidarity visit by Soyinka who he said has always identified with the state in

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military conducted operations in their villages, they burnt down homes and opened fire at remaining residents indiscriminately.” Often the military would “forcibly” take people to camps for people displaced by the conflict, the report said. People the military detained without food and water would die, the watchdog said. Many of the women were held for six months to two years without charge, some were tortured and beaten, and some, along with 32 children, died, the report said.

and 2.11% in Q4 2017. The Q1 2018 GDP shows that the economy has recorded a GDP growth of 1.95%, compared to a contraction of 0.91% in Q1 2017. The growth is driven by Agriculture and Industry, which shows that finally, after more than 50 years of lip service, the Nigerian economy is on the road to diversification. The oil sector’s contribution to GDP is 9.61%, while non-oil sector’s share is 90.39%. One of the factors responsible for the positive performance of the economy in Q1 2018 was the spending of about N1.5 trillion on infrastructure projects in 2017. For the past 15 months, inflation has declined consistently from 18.72% to 12.48%. The country is steadily on the road to single digit inflation rate. The first quarter of 2018 saw a continuous growth in total capital importation into the country, the fourth consecutive quarterly increase since Q2 2017. The total value of capital imported is $6,303.63 million, a 17.11% growth over the figure reported in the previous quarter. Foreign reserves stand at $47.79 billion, compared to $29.6 billion inherited in May 2015, after about six years boom in oil prices in the international market. The increase came at a time of modest oil prices, showing transparency and accountability by government. Nigeria’s Stock Market ended 2017 as one of the best-performing in the world, with returns of about 40 percent. Ø Tax revenue increased to N1.17 trillion, in Q1 2018, a 51% increase on the Q1 2017 figure. Milled rice production has increased from 2.5MT to 4MT, and rice imports have dropped from 580,000MT in 2015 to 58,000MT in 2016. Millions of dollars have been saved. These are just little among the good things happening to the Nigerian economy. Only the wilfully blind will not see it, but it does not stop the good work, which continues. On exiting recession last year, President Muhammadu Buhari had said he would not consider the job done, until the ordinary man feels the impact of the rebounding economy on his life and pocket. We are inexorably on that road, no matter what scoffers may say. One woman whose name Amnesty gave as Aiya detailed her experience after arriving at a displacement camp, where she was sent to the prison: “I was pregnant and I went into labour. I found the toilet and I had my baby next to it. No one helped me. At the beginning, I didn’t know if my baby was alive or dead.” Hunger and sickness still kills people in displacement camps, where “sexual violence has been and continues to be perpetrated on a wide scale,” the report said, adding that many women are forced to have sex in exchange for food and supplies.

Friday 25 May 2018

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39 NEWS

BUSINESS DAY

Reps: Nigeria may lose N10bn if contractor demobilise by June KEHINDE AKINTOLA, Abuja

igeria’s House of Representatives on Wednesday frowned at the modalities adopted in the procurement of the 2nd Niger Bridge. Toby Okechukwu, chairman, HouseCommitteeonWorks,who stated this in a talk with Legislative correspondents,saidfurtherdelay intheprocurementprocessmight cost Nigeria N10 billion if the contractor handling the project demobilise on completion of the phase four of the earthwork by next month. Checks reveal that N9.5 billion was appropriated for the construction of the 2nd Niger Bridge including access roads phase 2A & 2B in Anambra and Delta states and other projects in the South East, in the 2018 Appropriation Bill, which has just been passed. Okechukwu, who called for overhaul of the procurement process, lamented that the 2nd Niger Bridge, which would have cost N60 billion about 10 years ago, would gulp over N200 billion presently. He said: “Why are you not procuring the entire contract? And there is no framework for expenditure of money put in the budgetifyoudon’thaveacontract. That the money put in the budget will be a waste if you don’t award the contract. “And why should you award four different contracts going through processes for the past three to four years. So, there must be an end to every litigation. “If this contract is not awarded prior to the end of June, it will be colossal in terms of the economic andfinancialconsequencesinthe contract execution. “If Julius Berger demobilises and has to mobilise again, it will cost you not less than N10 billion. And more importantly, you’ll not

be able to take advantage of the seasonal weather issues. “The consequences is that we will still be talking about this project in the next one year. And they have a process that’s on. We’re not at ease with piecemeal award of contract. “Why don’t you establish a framework for the completion of the project by awarding a contract? That’s why the monies put in 2015, 2016 and 2017 budget for the bridge haven’t been accessed because it’s not awarded. “The bridge would have cost N60 billion about 10 years ago, now it’s going to cost well over N200 billion and if we leave it till next year, it’ll cost well above that,” the Enugu lawmaker said. While stressing the need to review the process, he noted that President Muhammadu Buhari’s administration had not awarded the main contract for the construction of the 2nd Niger Bridge due to the bureaucratic bottlenecks posed by Bureau for Public Procurement (BPP). He explained that the construction work being done by Julius Berger was the early earthwork, which is in four stages, and not the building of the bridge as the public was being made to believe. He explained further that while Federal Ministry of Power, Works and Housing had concluded work on the contract details and forwarded it to the BPP for approval, the inability of the BPP to approve the contract was holding back the Buhari administration from awarding the contract for the bridge. According to Okechukwu, Julius Berger is scheduled to complete the early earthwork by June, warning that unless the BPP approves the contract for procurement, the construction firm may demobilise.

FG partners African Risk Capacity to address extreme weather events MICHEAL ANI

s part of its strategy towards addressing the effect of extreme weather events in the country, the Nigerian government, through the minister of finance, Kemi Adeosun, has entered into a memorandum of understanding (MoU) with the African Risk Capacity (ARC). The signing ceremony, which happened on the margins of the AnnualMeetingsofAfricanDevelopmentBank(AfDB)onThursday, in Busan, South Korea, comes on the heels of the bank president, Akinwunmi Adesina’s pledge to support for works of African Risk Capacity in the region, calling for more stakeholders to join the ARC to ensure the availability of insurance against natural disaster risks. Speaking on the signing of the MoU, the finance minister congratulatedtheAfricanRiskCapacity on its innovative approach towardsclimateriskfinancingand management in Africa. Adeosun assured that Nigeria would work with the agency to address the impact of extreme weather events in the country. The Federal Government had earlier announced the extension of its agreement with the AfDB on the Nigeria Trust Fund (NTF) for additional10yearstoassistthedevelopment efforts of low-income regional member countries. The bank and ARC have had partnership since March 2017, to strengthentechnicalcollaboration towards enhancing the risk man-

agementinfrastructureandpolicy across Africa and in supporting countries in building resilience against climate shocks. The director-general of ARC, Mohamed Beavogui, expressed appreciation to the Nigerian Government for signing the MoU noting that, “the leadership role of Nigeria in the continent and in the establishment of the ARC makes the signing of a formal MoU quite momentous for our work in the region. We want to create systems that can truly protect the livelihoods of the most vulnerable and safeguard the significant development gains made by the country over the years.” The journey towards a mutual technical collaboration with Nigeria began in July 2015 when the ARC team undertook a scoping mission, which established the need for Nigeria to give greater considerationtotheARCinitiative. Nigeria was a founding member of ARC, participating in the establishmentdiscussionsandthe nomination of former Minister, Ngozi Okonjo-Iweala as the Chair of the Agency’s Governing Board. Nigeria subsequently signed the ARC Establishment Agreement on December 4, 2014, thereby formally became a member of the institution. ARC was established as a Specialized Agency of the African Union (AU) to help member states improve their capacities to better plan, prepare and respond to extreme weather events and natural disasters.

L-R: Tunde Lemo, director; Edmund Onuzo, chairman; Uche Uwechia, company secretary, and Kareem Hamdy, finance director, all of GlaxoSmithKline Consumer Nigeria Plc, at the 47th annual general meeting of the company in Lagos, yesterday. Pic by Olawale Amoo

ICAEW, ICAN to strengthen accountancy profession in Nigeria

FG puts CCECC under pressure to deliver Lagos-Ibadan rail project on schedule

MIKE OCHONMA & STELLA ENENCHE

nstitute of Chartered Accountants in England and Wales (ICAEW) and the Institute of Chartered Accountants of Nigeria (ICAN) have signed a memorandum of understanding to strengthen the accountancy profession in Nigeria. Both organisations have committed to work together to promote a sound and sustainable accounting and finance industry by sharing their knowledge, improving professional and intellectual development and advancing the number of members of accountancy bodies. The agreement was signed on May 10 by ICAEW president, Nick Parker, and ICAN president, Isma’ila Muhammadu Zakari, during an official ceremony in Lagos. Zakari said: “A strong financial sector is the backbone of any economy, so we look forward to working closely with ICAEW in future to develop a number of exciting initiatives and to share experiences and expertise for the benefitoftheprofessioninNigeria. It is essential to establish linkages of this nature so that both bodies will be able to leverage upon each other’s strengths.” On his part, Parker said: “We are pleased to sign a mutually beneficial alliance with ICAN and arelookingforwardtoaligningour

visions and sharing our expertise to strengthen and support the development of the accountancy profession in Nigeria. “This partnership marks a milestone in the country’s journey towards strengthening the accounting and finance sector to support the growth of the real economy.” According to the agreement, ICAEW and ICAN will share expertise on the accountancy profession both nationally and internationally and plan to cooperate on issues of corporate governance, professional ethics, technical research, professional development and accountancy training,qualitycontrol,education and examinations. Both organisations will also support each other to develop local talent through identifying professionals to join the ICAEW and/or ICAN as members upon successful completion of the professional qualifications. The two organisations have also committed to work towards recognition of each other’s members. Internationally recognised as the premier financial business qualification in 180 countries around the world, the ACA from ICAEW is held by more than 150,000 professionals who have undertaken the requisite theoretical and practical training.

e d e ra l G ove r n m e nt has mounted pressure on Chinese Civil Engineering Construction Company (CCECC), contractor handling the Lagos-Ibadan standard gauge rail project, to complete and hand over the segment by December 2018 as scheduled. Rotimi Amaechi, minister of transportation, made this known during his monthly inspection tour of the ongoing rail project Thursday at Papalanto, Ogun State. Amaechi disclosed that, what the government and the CCECC had agreed that by the next inspection visit and stakeholders meeting scheduled for June 28, it was expected that the construction of two bridges and putting of the beams and completion of 11 kilometres distance of track laying would had been completed. He however expressed delight on the progress of work done so far by the contractor. Responding on the impact of the rainy season, he noted that though the CCECC was not quite comfortable with the fact that it was delaying work, but was doing everything technically possible.

‘’When they are battling to talk to us about the December 2018 completion date, their worry is not the speed, rather their worry is the natural element that will slow them down,” the minister stated. On the lingering delay of progress of work due to the challenges coming from the Lagos axis, he declared that he is impressed with the cooperation from the Lagos State government. According to him, the issues and all the grey areas like the water and gas pipeline are being resolved. He disclosed that, the Lagos State government will come back to the federal ministry of transport, the CCECC and other critical stakeholders in two weeks’ time to present a permanent solution. In his submission, “We have our solution and think that our own solution can be expanded further to find a permanent solution. We believe that next month, we shall start working from the Lagos axis.” Amaechi said the engineers assured him that they have found solutions to some of the challenges to smooth flow of the rail project along the corridor.

Universal health care in Nigeria: is the future here? Continued from back page

meant. By the provisions of the National Health Act, 50% of the fund should go to the NHIS, for the purpose of providing basic health insurance for Nigerians. The exact mechanism and criteria were not clearly spelt out. Would they be running ‘in parallel’ with the states, thereby wasting resources through duplication, or synchronizing with them? The guidelines in the Act were riddled with problematic loopholes open to subjective, even mischievous interpretation, such as ‘eli-

gible primary and secondary health care facilities’. Who would decide? Where did the states come in? The experience from the past, if it was anything to go by, was of an overweening central bureaucracy trying to control and micro-manage everything out of Abuja. The paradigm shift of beginning to focus on rewarding outputs and outcomes by paying ‘reimbursement’ instead of ‘subvention’ to government health facilities was an attractive notion. However, given the ‘civil service’ nature of recruitment, deployment and organization of human resources in virtually all of these government

facilities, a major factor in the perennial strikes in the sector, it would be a very hard sell indeed, and certain to be vigorously resisted by the professional unions. Still, it was necessary that government, more and more, should see itself as a regulator and enabler, and be less directly involved in the actual provision of services. It needed to encourage the private sector to have a presence everywhere, including currently under-served areas, instead of building ‘white elephant’ hospitals and primary healthcare centres it could not man. It could then regulate the practice of these entities, and ‘buy’ ser-

vices from them as and when needed for the generality of the public, whether this was through health insurance or ‘direct commissioning’. The merit of loosening the stranglehold of professionals over their professions in order to allow the ‘business’ side of healthcare to grow and thrive was clear, whether the reference was to pharmacies, hospitals, or diagnostic centres. All in all, it was clear, from the Senator’s words, that there were promising developments afoot. If they could be followed through, a big ‘if ’, the future, for Nigerian health could indeed be here, sooner than anyone might have dared to hope.

Friday 25 May 2018

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BUSINESS DAY

FINANCIAL TIMES Bonds plunge in Barclay brothers-controlled Shop Direct

Night shift: the dangers of working around the clock

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World Business Newspaper

Comcast and Disney fight it out for 21st Century Fox assets

Media rivals raise stakes in battle to buy range of assets at Rupert Murdoch’s company MATTHEW GARRAHAN

ome old scores are about to be settled in a long-simmering rivalry between the world’s two largest media companies in a battle for Rupert Murdoch’s 21st Century Fox. Walt Disney has agreed an all-share deal worth $52bn — or $66bn including debt — for Fox’s entertainment assets, including its movie studio, cable channels and stake in Sky. But Comcast, the US cable operator that also owns NBCUniversal, is trying to gatecrash the transaction, and confirmed this week that it was working on a “superior all-cash offer” for the Fox assets. This came after it made a formal bid for Sky last month that valued the European broadcaster at £22bn. The fight for Fox is not the first time that Comcast and Disney have crossed swords. In 2004, Comcast made a $54bn unsolicited offer for Disney, with Brian Roberts, the company’s chief executive, saying a purchase would “restore the Disney brand” following a fallow few years. Steve Burke, then Comcast’s chief operating officer and now the chief executive of NBCUniversal, said at the time that the deal would improve the performance of Disney’s ABC television network, describing the channel as “weak”. The comments did not exactly endear Comcast to Disney management, which rejected the group’s offer, preferring to remain independent. Comcast subsequently missed out on a company that rocketed in value, with Disney’s shares rising sharply in the decade that followed under the leadership of chief executive Bob Iger. Disney’s growth was fuelled by winning bets on content, such as the acquisitions of Pixar, Marvel Studios and Lucasfilm, which have given it a market capitalisation today that is close to $100bn above the value of Comcast’s

offer in 2004. Fourteen years on from that bid, relations between the two companies are cordial, if competitive: Comcast is one of Disney’s biggest distributors and a fellow shareholder in Hulu, the online streaming service. If any animus remains from 2004, neither side is showing it. Yet each company is fiercely determined to prevail in a battle that could hinge on which proposal offers the least regulatory resistance. Comcast is eyeing the outcome of the US Department of Justice’s attempts to block AT&T’s acquisition of Time Warner. The trial is under way in Washington and a verdict is expected next month. If AT&T wins, as most analysts expect, that is likely to strengthen Comcast’s resolve that its bid for the Fox assets will also clear regulators. But supporters of the Disney deal say that even if AT&T prevails, there is no guarantee that regulators would not block a Comcast-Fox combination. Comcast is a cable company — Fox has no cable assets — but in NBCUniversal, it has a large content business that is similar in many ways to Fox. “AT&TTime Warner is a vertical merger,” said one person briefed on deal discussions between Disney, Fox and Comcast. “But Comcast-Fox would be a vertical and a horizontal merger. There is much greater regulatory risk.” Comcast’s first all-cash offer for the Fox assets landed in November last year and was pitched at a premium to the Disney all-share offer. But it was rebuffed by Mr Murdoch and the Fox board because Comcast refused to offer a break-up fee. This week Comcast said it was working on a new bid that it suggested would address Fox’s concerns about the structure of its previous offer. “The structure and terms of any offer by Comcast . . . and the regulatory risk provisions and the related termination fee, would be at least as favourable to Fox shareholders as the Disney offer,” the company said.

Deutsche Bank to slash 7,000 jobs in restructuring Shares slide in Germany’s largest lender as chief warns tough times will continue OLAF STORBECK

eutsche Bank shares slid on Thursday after it announced plans to cut more than 7,000 jobs and warned investors of a difficult second quarter. Germany’s largest lender said on Thursday that the workforce would stand at “well below” 90,000 after the restructuring, compared with more than 97,000 now. The brunt of the restructuring will be borne by Deutsche’s corporate and investment bank, whose cost base will be cut by €1bn by the

end of next year. One in four jobs in its equities sales and trading business will be axed. Deutsche shares were down 4.6 per cent to €10.40 in afternoon trading, their lowest since October 2016. Speaking to shareholders at the company’s annual meeting, new chief executive Christian Sewing said the corporate and investment bank’s revenues, which fell 13 per cent in the first quarter, were still under pressure. He also said reContinues on page A2

Comcast’s Brian Roberts, left, and Disney’s Bob Iger, right, are battling to buy Rupert Murdoch’s 21st Century Fox © FT montage / Getty / Bloomberg

Pfizer under pressure to resolve shortage of life-saving EpiPen Mylan growing increasingly frustrated by delays at its manufacturing partner DAVID CROW

ylan, the company behind the EpiPen allergy injector, is pressing its manufacturing partner Pfizer to do more to tackle shortages of the life-saving medicine in a sign of its growing frustration with the Big Pharma company. Although Mylan owns the rights to the EpiPen — which can stave off deadly anaphylactic shock — it subcontracts manufacturing of the auto-injector to Meridian Medical, a division of Pfizer. However, Pfizer has struggled to meet demand for the allergy injector, resulting in some patients having difficulties finding the product in their local pharmacies. The US Food and Drug Administration put the medicine on its official shortages list earlier this month. If not resolved, the shortages could become more severe in the third quarter when demand tends to soar as children with severe allergies

return to school. Mylan has responded to the shortage by sending a team of its own managers to try to fix problems at a Pfizer factory in St Louis, Missouri — which makes all the EpiPens in the US — according to people familiar with the situation. The factory in St Louis has been struggling to maintain production following an inspection that resulted in a scathing warning letter in September from the FDA, which ordered it to fix several quality control issues. Mylan sent its team to the plant in part because its managers sensed a lack of urgency among their counterparts at Pfizer, which is dealing with shortages of hundreds of drugs, one person said. While the EpiPen is but one among the hundreds of products in short supply, it has outsize importance for Mylan because it is the company’s best-known drug. In a joint statement, Pfizer and Mylan said: “Both companies are fully aware of the life-saving impor-

tance of EpiPen and we are working together, as we have throughout our long collaboration, to increase production and expedite shipments as rapidly as possible.” They said their partnership had “always included frequent interactions such as visits to each other’s sites”. The shortage of EpiPens is particularly irksome for Mylan as it tries to move on from controversy over the cost of the medicine. The company had priced a two-pack of EpiPens at roughly $600 until 2016, when a political and public backlash forced it to introduce a cheaper generic version. “Mylan’s management has never been shy to show how they feel about business issues,” said Ronny Gal, analyst at Bernstein, who added that the company had several “fair arguments” against Pfizer. “This is actually a life-saving, mission-critical product and it is Pfizer’s fault — but it is casting Mylan in a bad light when they already have a reputation problem.”

Russia and Saudi to discuss relaxing oil production caps Meeting prepared amid unease over the rally in oil prices HENRY FOY AND KATHRIN HILLE

ussia and Saudi Arabia’s energy ministers will discuss a relaxation of the global oil production cap agreed between Opec and Moscow, amid calls for oil producers to boost output after supply cuts helped drive prices to around $80 a barrel. The historic 2016 agreement between the previous oil market rivals helped arrest a sliding crude price by reducing global output by 1.8m barrels a day. But collapsing production in Venezuela and fears over the impact of renewed US sanctions on Iran output have seen prices jump, sparking calls for a rethink. Russia’s Alexander Novak will meet his Saudi counterpart Khalid al-Falih in St Petersburg on Thursday evening to discuss the reasons behind the rally and the merits of their agreement, and

debate a possible easing of the caps imposed on Moscow and other Opec members. “During the meeting we will discuss the current situation, the outlook and possible further actions to be taken within the framework of our deal. Speaking of relaxing the deal: it is possible but should be based on a thorough analysis of the situation,” Mr Novak told the Financial Times. “Generally speaking, we are quite flexible.” Opec, Russia and other producing countries will meet in Vienna on June 22 to decide the fate of the deal, with rising pressure on ministers to amend the strict curbs from some oil producers. Compliance with the deal is running at more than 150 per cent, with far more barrels removed from the market than originally planned. The price of benchmark Brent crude slipped on Thursday to $78.66 on speculation that the deal could be

amended, after cresting $80 a barrel for the first time since 2014 last week. “$80 per barrel is way higher than expected… it is surprising and unexpected for us,” Mr Novak said in an interview. “We cannot argue that higher prices is always a good thing for producers. When prices are way too high it leads to the market being overheated and it results in destabilisation and excess supply.” Some countries are afraid that such a high price will encourage more investment in the US shale industry, which in turn would drive up global production and create price instability. “We need to thoroughly analyse the reasons behind this price development. We need to understand whether it is a result of basic fundamental balance shift between supply and demand, or a one-time issue that will not last,” he added. “Our ultimate goal was not to set a specific price.”

BUSINESS DAY

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Friday 25 May 2018

NATIONAL

US companies wrestle with new European privacy rules Last-minute scramble to bring businesses into compliance with GDPR HANNAH KUCHLER

S companies are more scared and less prepared than their European counterparts for the EU privacy rules coming into force on Friday, with many rushing to make last-minute changes and some small companies choosing to

pull out of Europe altogether. Tech start-ups, video games makers and ad-tech businesses that specialise in data crunching for marketers are among those pulling products or services or their whole operations out of the EU as a result of the General Data Protection Regulation. The complex rule book often

requires companies to transform software, policies and processes to comply. Rules range from obtaining explicit consent for each use of data and giving more rights to users to see, correct and remove their data, plus informing regulators of a cyber attack within 72 hours. Less than a quarter of US respon-

dents were confident they would meet the GDPR deadline when surveyed last month by the Ponemon Institute. Larry Ponemon, director of the think-tank, said most companies are not going to be compliant by the deadline, with many doing the “bare minimum”. Compared with Europeans, more US respondents said GDPR

Trump car tariff threat prompts global condemnation

Deutsche Bank to slash 7,000 jobs in restructuring... Continued from page A1 structuring costs of €800m would dent the bank’s 2018 results. Deutsche did not give details about which of the bank’s offices would face the biggest cuts. But one person familiar with internal discussions said most of the restructuring would happen in the US and that London-based operations would also be affected. “We must concentrate on what we truly do well,” Mr Sewing said. He added that the lender remained committed to its corporate and investment bank and its international footprint. Mr Sewing has been in charge since last month when John Cryan was ousted after a two-week leadership crisis. Paul Achleitner, Deutsche chairman, told investors the key reason for the change in leadership was that “well-formulated plans and promised measures had not been executed with sufficient discipline or rigour”. He also acknowledged that the change had not been wellmanaged, a key criticism from investors. “It did great harm to our bank and the standing of the people concerned, not least John Cryan and myself,” he said. Mr Achleitner said the bank would seek a criminal investigation into the leaks over the CEO succession. “German corporate law rightly regards the unauthorised disclosure of such information as a criminal dereliction of duty,” he said, adding that Deutsche would file a charge against unknown persons. Mr Achleitner is facing a shareholder motion later on Thursday to remove him from the board. Hermes Investment Management, which has about 0.5 per cent of the voting rights in Deutsche, on Tuesday urged the bank’s management to start to look at “plans for the succession” of the chairman. The results will come on Thursday night but the motion is unlikely to be successful. In a symbolic victory for Mr Achleitner, more than 99 per cent of the share capital represented at the AGM voted down a motion to remove him as chair of the meeting. While large shareholders are unimpressed by Mr Achleitner’s performance, there seems little appetite to oust him immediately. Ingo Speich, a notoriously critical fund manager with Frankfurtbased asset manager Union Investment, said Mr Achleitner and Mr

will significantly change how they handle data. US companies particularly fear the prospects of large fines under GDPR, which can be up to 4 per cent of global revenue. More US than European companies believe they will be a target for regulatory action, with 87 per cent compared with 80 per cent in the EU.

Automakers warn move could disrupt supply chains and endanger trading system

SHAWN DONNAN, GUY CHAZAN AND JIM BRUNSDEN

Vincenzo Boccia, president of Confindustria. ‘We cannot take for granted that this favourable condition, this privileged position in the club of advanced economies will remain unchanged regardless of the choices we make.’ © EPA

Trump calls off summit with North Korea’s Kim Jong Un US president says meeting ‘inappropriate’ after ‘tremendous anger’ displayed by Kim DEMETRI SEVASTOPULOAND MAMTA BADKAR

resident Donald Trump has cancelled a summit with North Korean leader Kim Jong Un because of the “tremendous anger and open hostility” from Pyongyang in recent weeks. In a letter to Mr Kim, the US president wrote that it would be “inappropriate, at this time to have this long-planned meeting.” The White House released the letter hours after North Korea said it had destroyed its nuclear test site in a move that was designed to show its sincerity about pledges to denuclearise. The destruction of the Punggyeri facility, the country’s only known

test site, had divided opinion, with many analysts viewing the move as more of a symbolic gesture by Pyongyang than a genuine step towards abandoning nuclear weapons. Mr Trump had been due to meet Mr Kim in Singapore on June 12 but relations between the two countries had soured in recent weeks. Earlier on Thursday, a top North Korean official ramped up the rhetoric by hitting out at US officials, in particular vice-president Mike Pence, for their “stupid and ignorant” remarks about North Korea. “Whether the US will meet us at a meeting room or encounter us at nuclear-to-nuclear showdown is entirely dependent upon the

decision and behaviour of the US,” said Choe Son Hui, a North Korean vice-foreign minister. Mr Trump used the letter to remind Pyongyang of the size of the US nuclear arsenal. “The Singapore summit, for the good of both parties, but to the detriment of the world, will not take place,” Mr Trump wrote, he continued: “You talk about nuclear capabilities, but ours are so massive and powerful that I pray to God they will never have to be used.” US stocks extended their losses after the announcement with the S&P 500 and Dow falling 0.6 per cent. Yield on the benchmark 10year Treasury note, which moves inversely to the price, was down 3.5 basis points at 2.968 per cent.

Turkish lira skids again despite emergency rate rise Widespread concern that Wednesday’s central bank move may be too modest ADAM SAMSON AND LAURA PITEL

he Turkish lira dropped sharply against the US dollar in New York action on Thursday amid the persistent tug of war between the central bank’s need to tighten policy and President Recep Tayyip Erdogan’s vehement objection to interest rates. In recent trade, the lira was off 4 per cent on the day against the greenback, with a dollar buying 4.765 lira. The fall brought the embattled currency to a new low for the day, breaking below the trough that was hit in the London session. Trading has highly turbulent for the lira this week. It tumbled on Wednesday to a record low of TL4.9221, with concerns swirling over the country’s overheating economy and Mr Erdogan’s insistence on pursuing rapid

growth without regard for the usual role of monetary policy. The lira rallied back dramatically on Wednesday afternoon after the central bank held an emergency meeting and hiked one of its primary interest rates by 3 percentage points. However, numerous analysts questioned whether the move would be large enough to stabilise the lira, which has fallen by a fifth against the dollar since the end of 2017. “To regain its credibility Turkish policymakers may have to seriously consider more hikes, perhaps as soon as on June 7, given that inflation is likely to accelerate in the coming months on the back of significant depreciation of the lira,” said Piotr Matys, strategist at Rabobank. Nafez Zouk at Oxford Economics echoed that sentiment, saying that the central bank will “have to follow up

with further tightening of around [3 percentage points] at its June 7 meeting, while sending stronger signals to restore monetary policy credibility in the meantime.” In a speech in Thursday, Mr Erdogan vowed to “take very serious step in our struggle against inflation right after the election”, which is scheduled for June 24. Without commenting on interest rates, he said he was “determined” to put inflation, which is running at almost 11 per cent, at the “top of the agenda”. Mr Erdogan also said he would take action to reduce Turkey’s reliance on foreign funding sources. The country’s vulnerability to external pressures has been starkly highlighted by the widening current account deficit — something that has caused considerable concern among analysts and investors.

onald Trump’s threat to impose tariffs on automotive imports in the name of national security has drawn condemnation from US trading partners around the world and warnings that it would disrupt global supply chains and put the international trading system at risk. The US said on Wednesday it had launched a probe into the import of cars, trucks and automotive parts using Section 232 of the 1962 trade act, the same statute it used to justify the introduction of tariffs on steel and aluminium this year. The VDA, the main lobby group for the German car industry, on Thursday said it viewed the latest developments “with concern”. “An increase in tariff barriers should be avoided,” said the group’s president, Bernhard Mattes. “The German car industry has always pushed for the mutual dismantling of tariffs worldwide and for free trade treaties.” The European Commission said it was “far-fetched” to invoke a national security consideration for car imports, setting the stage for a possible challenge to any US tariffs at the World Trade Organisation. That concern was echoed by China, which warned that using the WTO’s rarely used national security exception, designed to be used in times of war, would present a blow to global trade rules. “China opposes the abuse of national security clauses, which will seriously damage multilateral trade systems and disrupt normal international trade order,” a spokesman for the commerce ministry in Beijing said. Japan also responded in unusually strong terms. “If they were to go ahead with such wide-ranging trade restrictions, it would throw the global market into confusion,” said Hiroshige Seko, minister of economy, trade and industry. “There could be a negative effect on the WTO multilateral trading system. It’s extremely regrettable.” On Thursday, shares in European, Japanese and South Korean carmakers all fell in response to Mr Trump’s move. In Seoul, the government called an emergency meeting with industry officials to discuss the situation. Carmaker Hyundai declined to comment. Mr Trump has repeatedly made clear his frustration at what he sees as the unfair disparity between the US’s 2.5 per cent tariff on passenger vehicles and higher duties in the EU, China and other global production centres. The global trade in cars and parts is worth some $1.4tn annually. The US imported 8.27m cars and light trucks last year, worth $191.7bn. More than half those vehicles (4.27m) came from Mexico and Canada, which are now in the process of renegotiating the North American Free Trade Agreement with the Trump administration.

Friday 25 May 2018

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BUSINESS DAY

FINANCIAL TIMES

COMPANIES & MARKETS

@ FINANCIAL TIMES LIMITED

Bonds plunge in Barclay brothers-controlled Shop Direct Investors in UK online retailer say they are concerned about cash management ROBERT SMITH

he bonds of Shop Direct, a UK online retailer controlled by the billionaire Barclay brothers, have plummeted in value after investors said they were blindsided when the company’s management disclosed in an earnings call that they do not control how much cash flows to its owners. The retailer, which operates as Very. co.uk and Littlewoods, provides loans to many of its customers to fund their purchases. It raised a £550m high-yield bond in October, but had to slash the size of the deal after investors objected to large dividend payments earmarked to Frederick and David Barclay, who also own the Ritz hotel and Telegraph Media Group. The tumble in the value of Shop Direct’s bonds, which on Thursday fell further to 65p and yielded nearly 20 per cent, added to the recent string of UK retailers and consumer finance companies whose debt has come under pressure. These bonds were already under pressure ahead of the release of quarterly earnings on Wednesday, bid at 85 pence on the pound, primarily on the back of concerns over an upcoming review of the sector’s lending charges from the Financial Conduct Authority. They then fell a further five percentage points after the company released results that showed it had booked £100m of additional provisions related to PPI, while fully drawing one of its revolving credit facilities and sending £25m of cash to its shareholder, which is ultimately owned by the Barclay brothers. But the bonds plunged a further 10 points to 70p during the ensuing earnings call, after Shop Direct management revealed that they do not

control a central treasury that decides how much cash the company sends to its owners. These decisions are instead made by the company’s board of directors, which primarily represent its shareholder and includes members of the Barclay family. “They more or less said: we manage the company but we don’t manage the cash,” said one trader who listened to Wednesday’s call. “And when they said they were funding the treasury through drawing on their revolver, that was the final straw for bondholders.” Three of the company’s bondholders told the Financial Times that they were angry about the flow of £25m to its shareholder because Shop Direct agreed to scale back dividend plans when it first sold the debt last year. The company paid an agreed £50m to its holding company — down from an initially mooted £200m — after listing the bond and investors who bought it had not expected further distributions. While bond investors have objected to the £25m payment, it is allowed under the terms of the debt, the latest example of how easy credit conditions have led to an erosion of covenants, important clauses intended to protect bondholders. “We have been warning investors that bond documents are making it easier for companies to pay their shareholders dividends,” said Sabrina Fox, co-head of European research at Covenant Review. “This proves that management will take advantage of that flexibility if it’s there.” One bondholder described the chanelling of fresh money to the holding company as “appalling behaviour”. The holding company sits outside the ringfenced group bondholders have security over and any money sent to it is typically regarded by debt investors as a dividend.

Pfizer agrees to pay nearly $24m to settle kickback claims KADHIM SHUBBER

rugmaker Pfizer has agreed to pay almost $24m to settle claims it paid kickbacks to Medicare patients who used its medications, the US Department of Justice said on Thursday. The pharmaceutical company allegedly used a third-party foundation to route payments to patients using three Pfizer drugs, according to the DOJ. Patients using the US Medicare system have some of the cost of treatment paid for by the government, but also have to make a partial “co-pay” payment. “Pfizer used a third party to saddle Medicare with extra costs,” said Andrew Lelling, United States attorney for Massachusetts. “According to the allegations in today’s settlement agreement, Pfizer knew that the third-party foundation was using Pfizer’s money to cover the co-pays of patients taking Pfizer drugs, thus generating more revenue for Pfizer and masking the effect of Pfizer’s price increases. “At the same time, we commend Pfizer for stepping forward to resolve

these issues in a responsible manner,” he added. The DOJ said Pfizer sought to generate revenue by covering the co-pay obligations for patients using Sutent, Inlyta and Tikosyn. In the case of Tikosyn, which treats irregular heartbeat, Pfizer co-ordinated the opening of a fund that covered Medicare co-payments with price hikes on the drug, according to the DOJ. Pfizer noted that the settlement was “neither an admission of facts nor liability by the company” and said it took compliance “very seriously”. “Donations to independent charitable organizations can provide significant assistance to patients with their co-payments for prescriptions, and Pfizer continues to believe these programs help patients lead healthier lives,” the company said in a statement. As part of the settlement, Pfizer entered into a five-year corporate integrity agreement with the Department of Health and Human Services Office of Inspector General that requires reviews of its third-party patient assistance programs by an independent third party.

Shop Direct management said they do not control how much cash the company sends to its shareholder, which is ultimately owned by Frederick (left) and David Barclay

Deutsche Bank: short changed

Achleitner is under pressure to account for his role in overseeing the lender’s decline

here is always a bear market somewhere, even in the best of times. Those who seek out the shadows need look no further than Deutsche Bank. Hedge funds have increased their short positions since February — a bold move given that the German bank’s market value is only about a tenth of what it was in 2007. Another round of cost-cutting announced before Thursday’s annual general meeting is unlikely to change their minds. Primarily the axe will fall in Deutsche’s investment bank, responsible for more than half of profits, in a bid to lift the bank’s return on tangible equity (ROTE) to 10 per cent by 2021. Reductions will decrease leverage exposure by €100bn, about a tenth of the total at the end of the first quarter. The logic is clear: returns need to at least match the cost of capi-

tal, which is in the region of 10 per cent. Murkier, however, is the implementation. The bank is crossing its fingers that market conditions will move in its favour over the next three years. Interest rates in Europe need to rise significantly to help reprice loans and provide a steeper yield curve, which benefits any deposit-taking bank. Market volatility — and thereby client activity — must pick up in both equities and fixed income. Both could come as the result of central banks withdrawing quantitative easing. Through all of this, the bank hopes its cost-cutting will enhance profit margins. Pessimists fear that if Deutsche has not got its house in order by now, it will face increasing hardships when a wider bear market does arrive. Analysts who cover the bank only expect it to meet half the ROTE target, already a

decent pick-up from last year’s 3 per cent. Its domestic banking and asset management divisions look stable. But by definition these provide little potential for an upside earnings surprise. Only investment banking can do this. However, more cuts to sales and trading could well lead to a revenue decline there. No client wants to buy a structured product from a bank which may not make a price for the same instrument a couple of years hence. Chairman Paul Achleitner is under pressure to account for his role in overseeing the bank’s decline for the past six years and the revolving door that has resulted in Deutsche having four chief executives over the period. Regardless of Mr Achleitner’s answer, those looking for a doomsday hedge have found it in Deutsche Bank’s shares. A bet on recovery still looks contrarian.

Scotland sets target of cutting greenhouse gases by 90% by 2050 Nicola Sturgeon claims the most ambitious climate change goals in the world of new tidal and wave energy Stop Climate Chaos Scotland MURE DICKIE coalition. technologies. cotland has announced Ms Sturgeon clashed with The legislation was the “most what it said would be the ambitious anywhere in the Patrick Harvie, leader of the Scottoughest climate change world”, Nicola Sturgeon, first tish Green party, over whether legislation in the world, with a minister, told the Scottish par- the targets were really tougher binding target of cutting green- liament. than those of other nations such house gas emissions by 90 per Ms Sturgeon said the tar- as Sweden, which defines net cent from 1990 levels by 2050. get reflected the advice of the emissions differently. The new target will be tougher independent Committee on The Greens support Scottish than the previous legally binding Climate Change, which last year independence and are often goal of reducing greenhouse gas described a 90 per cent cut as a a parliamentary ally of the Ms emissions by 80 per cent by 2050 “stretch target”. Sturgeon’s Scottish National compared with 1990. The UK gov“Setting more ambitious tar- party minority government, but ernment’s current target is also gets now . . . would require ac- Mr Harvie signalled he would to cut emissions by 80 per cent. tions that are currently at the very seek to put pressure on the SNP The Scottish government said limit of feasibility,” the commit- to go further. it would have a new interim tar- tee said then. Campaigners needed to unite But climate campaigners said again“topushaminoritygovernment get for 2020 of a 56 per cent cut compared with the existing goal the targets, set out in draft legisla- beyond its comfort zone”,he said. tion published on Thursday, were of 42 per cent. The tougher targets should Scotland, a major producer of too cautious. help to encourage investment in “It’s hugely disappointing renewable energy in Scotland, oil and gas from the North Sea, has made leading the shift to that the Scottish government although the SNP has often renewable energy a centrepiece has failed to live up to its own complained about what it says of its industrial strategy and has rhetoric on global climate change is insufficient support for new strongly promoted onshore and leadership, by failing to set a technologies from the UK govoffshore wind power and the net zero emissions target,” said ernment, which controls crucial development and deployment Tom Ballantine, who chairs the electricity generation subsidies.

BUSINESS DAY

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Friday 25 May 2018

ANALYSIS The fight to own Antarctica Competition for natural resources, research and tourism is putting pressure on the cold war-era treaty that guarantees order on the continent LESLIE HOOK AND BENEDICT MANDER

Night shift: the dangers of working around the clock A growing number of us work nights or irregular hours — but at what cost? CHLOE CORNISH

obert lives with his girlfriend of 10 years and an attentionseeking black cat in their small flat. The 31-year-old from Nantes, France, likes reading science fiction and discussing world affairs on Reddit, the online chat room. In fact, the internet is where Robert gets most of his conversation these days. Because Robert’s life is back to front. At 4pm, while I’m at my desk daydreaming about dinner or seeing friends that evening, Robert is waking up. He starts his shift as a factory security guard at 7pm and is on duty for 12 hours, alone apart from a few truckers picking up orders. He patrols the dark and deserted site, looking for intruders; twice he’s dealt with fires. After he’s driven home, Robert snacks and then spends a few hours reading. And by the time I’m wide awake and working, Robert is struggling to get to sleep at 10am. “Now I get to see the light a little,” he says. “In the winter, not so much.” Robert (not his real name) belongs to an army of night workers, invisible to those of us who clock in by day. Across Europe, almost one in five workers are employed on night shifts. In 2004 (the most recent data available) approximately 8 per cent of Americans worked nights or evenings, as do a slightly higher proportion of South Koreans. In the UK, night working is significantly higher among black people — one in six black workers undertake night shifts, according to research by the Trades Union Congress, compared with one in nine across the whole population. But working through the night is a fundamental challenge to the human body. It unsettles our finely tuned biology, forcing us to be active when powerful impulses are telling us to lie down and dream. A growing body of research links a lack of sleep to increased morbidity — an average of less than six hours sleep per night in the long term puts you at a 13 per cent higher mortality risk than someone getting seven to nine hours, according to the research organisation Rand Europe. As a cause of profound sleep disruption, shift work has been found to put people at a higher risk of chronic disease and mental illness. As early as 2007, the World Health Organisation identified the effect of night-shift work on the body’s rhythms as a possible carcinogen. As a night worker, “you are in a somewhat precarious situation”, explains Derk-Jan Dijk, professor of sleep and physiology, and director of the University of Surrey’s sleep research centre. “Not only do you have to work at night when the circadian system would sleep, you have to work at night when you are already sleep-

deprived.” It is not yet clear precisely what causes shift workers to end up more at risk of disease, and it is difficult to unpick the socio-economic factors that may contribute (people with lower incomes are far more likely to be doing shift work than wealthier people). However, “disruption [of our temporal programme] could very well be related to some of these adverse health outcomes”, says Dijk. “Being aware of those risks of shift work . . . should probably have an impact on how people do their business.” Yet, if anything, the nocturnal workforce seems to be growing, as consumer businesses meet 24hour demand for their services and manufacturers seek to maximise their investment in factories. In Britain, the number of night-shift workers has risen by more than 250,000 in the past five years, according to the TUC. Stagnating wages and rising living costs in many developed economies are attracting more workers to the higher pay of night shifts, or to consider additional evening jobs. These roles often come with precarious contracts — many night workers who spoke to the FT requested anonymity, fearing repercussions from their employers. As the health risks associated with this work become better defined by scientists, companies may face pressure to do more to protect their workers. “There’s an onus on employers to design shifts that actually promote sleep,” says Michelle Miller, associate professor at Warwick Medical School, who established the school’s “Sleep, Health and Society” research programme in 2005. “From a health economic view, [it] will be problematic if we have a whole cohort of people coming through with cardiovascular disease which could be avoided.” After seven years, night shifts are taking a toll on Robert’s body and mind. Relying on Coca-Cola, junk food and cigarettes to stay awake, he has gained 10kg-15kg and become obese. In a phone call, he explained that he has steatosis or fatty liver, an uncomfortable condition where fat deposits lodge in your liver. “I’m a walking foie gras,” he jokes, grimly. Despite the long night’s work, he struggles to fall asleep in his time off. “Sometimes I have periods where I can barely sleep five hours and I wake up tired but can’t sleep any more,” he tells me. “It leads to heavy sleepiness, even at work: I’ll be awake and, the minute after, I’ll be deeply asleep.” Scientists fear people working nights are paying with their health in the long term. Sleep is not just the mind turning on and off. During the day, your brain shuffles information off to one side to be processed later; during sleep, it sorts and stores it. The

brain also does emotional processing and releases growth hormones for repair work on your tissues. So without enough sleep, your brain has little chance to make memories, organise your feelings or heal the body. Shift work’s disruptive impact on our circadian rhythms — the biological clocks in our cells — has been linked to increased infection and cancer risk and higher risk of heart disease and diabetes. It can also put pressure on relationships and lead to social isolation. Although he can only work a 35-hour week under French law, Robert’s shift pattern, which includes working every other weekend, is antisocial. “I basically lost all my friends. I can’t even see them on weekends, as I work one in two, the other one being spent with my girlfriend. Sure, there are vacations, and sometimes I could make an exception and visit [friends] but, over time, I kept seeing them less and less.” Robert already had depression and he reckons working nights has made it much worse. He also dislikes his job — it’s tedious, lonely and doesn’t pay well. Even with weekends and a 10 per cent night premium he nets just €1,350 a month. But with no savings, endless bills and a diploma that is no longer valid, he can’t see a way out. Shift workers feel the cognitive effect of lacking sleep immediately. Sue Prynn, 56, worked night shifts at a factory near Liverpool for a decade. “I worked on manufacturing and distribution, making doughnuts would you believe,” she says, in a light West Country lilt. After 12 hours of packing baked goods amid clouds of flour, the din of machinery and spitting deep-fat fryers, fatigue would make her feel drunk. Prynn chose to work nights because she was a sole parent who needed to take care of her four children during the day. In a 2004 US labour force survey, 626,000 of the 3.8 million people who worked between 9pm and 8am said they did so because it fitted in better with their childcare or family needs. A further 204,000 said it allowed them to attend school or college. The downside is that many shift workers barely get to bed. Prynn was one of many night workers with young children and no spare cash for nursery. During holidays, or when her children were below school age, she would regularly end her shift, go straight into childcare and then return to work in the evening — adding up to more than 48 hours without rest. “There was always something kicking off,” sighs Prynn. “It can be a bit difficult to control your family . . . If you asked my kids, I’m sure they’d say, ‘Mum [just] used to cook fish fingers.’ ”

ntarctica is a continent with no government. The closest thing it has is a drab, 10-person office, with a small sign on its wooden door in Buenos Aires that reads “Secretariat of the Antarctic Treaty”. This is the group whose job it is to keep things running smoothly among the 53 nations that together govern Antarctica. If that sounds like a quixotic system for a continent twice the size of Australia that contains vast untapped natural resources, it is. But the idealism underpinning it is very clear. “One of the amazing things is that Antarctica is the only continent where people work together for peace and science,” says Jane Francis, head of the British Antarctic Survey, who last week attended the annual Antarctic Treaty Consultative meeting that brings all of the nations together. “You wouldn’t believe that 53 nations after two weeks can agree . . . It can be done in this world.” However, not everyone does agree. And at last week’s meeting in the Argentine capital some of those

Those anxieties are growing in tandem with Antarctica’s importance. The continent is covered in an ice sheet up to a mile thick and represents a window into how the planet is changing. Temperatures in some parts of Antarctica are rising much faster than the global average, and the pace of glacial melting there will help determine how quickly global sea levels rise in future. The Southern Ocean, which surrounds Antarctica, is becoming a significant fishing ground, as resources in other seas are depleted. And it plays a crucial role in absorbing heat and carbon from the atmosphere, in ways that are not yet fully understood. “Things have changed profoundly,” says Damon Stanwell-Smith, a marine biologist who first visited Antarctica more than 25 years ago. “It is visible in a human lifetime — the change in coastal waters, ice, retreat of glaciers, and then the related wildlife movement. Nowhere else has it been so obvious.” A critical factor is the addition of many more visitors. Mr StanwellSmith heads the International Association of Antarctica Tour Operators, the closest thing the region has to a

divisions were on show. There is a growing number of issues that the Antarctic Treaty System, which has kept order on the continent for almost six decades, is struggling to deal with. From climate change to fishing, new geopolitical tests are facing Antarctica that are increasingly difficult for a consensus-based group to address. “One of the things the treaty system needs is almost like a new kind of vision,” says Klaus Dodds, a professor of geopolitics at London’s Royal Holloway University, and an expert on Antarctic governance. “One where parties are explicit about what they are trying to do.” The Buenos Aires meeting was typical: it produced a series of agreements that represented relatively low-hanging fruit, such as new rules for drone use, and guidelines for heritage sites (like the hut built by Ernest Shackleton and his team more than 100 years ago). But the thorniest issues — for example, what happens when countries violate the treaty rules — are almost never addressed. Scientists and diplomats are growing concerned that the existing system will be unable to respond to the new pressures. At stake is the last pristine continent, one that contains the world’s largest store of freshwater, huge potential reserves of oil and gas and the key to understanding how quickly climate change will impact the world through rising sea levels. “What we are seeing at the moment . . . is almost like a lethargy among the treaty parties to take the necessary steps,” says Daniela Liggett,

professor of geography at New Zealand’s University of Canterbury. The last major binding protocol in the treaty system came into force 20 years ago, she adds. Any new protocol must be approved by consensus, so even one dissenting country effectively has veto power. The greatest areas of tension are those that touch on the growing economic and strategic interests in Antarctica, such as tourism and fishing (mining is banned). Signatories to the treaty, which dates back to 1959, agree to set aside their territorial claims, and use the continent only for peaceful purposes. However, the growing number of signatories has made the system unwieldy: In 1980 there were just 13 countries that had “consultative” status to make the key decisions on treaty matters — that number has risen to 29, a diverse group ranging from Finland to Peru, India and Belgium. Meanwhile the number of permanent scientific research stations on the island, a proxy for activity, has grown to more than 75. China has been a particularly enthusiastic builder of new research stations since it joined the treaty in 1983, and the environmental approvals for its latest, a fifth base, have caused division among the treaty members. “Resources have always been the big trigger,” says Prof Dodds. “Once you get more explicit about resource exploitation, then you raise the troubling issue of who owns Antarctica. That’s the issue that haunts the Antarctic Treaty, and the Treaty System more generally.”

BUSINESS DAY

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NEWS YOU CAN TRUST I FRIDAY 25 MAY 2018

Opinion

The rapacious Nigerian middle class

he middle class, that broad group of people in contemporary society who fall socio-economically between the working class and upper class or in classical Marxian speak, located between the bourgeoisie/ capitalist class and the proletariat, is so critical to the sustenance of the capitalist system of production. While capitalist societies see the existence of a sizeable middle class as a characteristic of a strong, virile, and healthy society, Marxists see them as the natural enemies of the proletariat, betrayers of the proletariat revolution and the staunchest defenders of the capitalist systems. Indeed, for Marx, the middle class has “no special class interests” other than the defence of the capitalist system. That is why he describes them as “exploited workers and supervisors of exploitation.” But the middle class do not just defend capitalism. Evidence from Nigeria and other depraved societies suggest that the middle class are the greatest supporters and defenders of the status quo no matter how terrible that status quo is. Being part of the exploited class but with professional knowledge or privileged positions in the civil service, they

often offer their services and knowledge to the exploiters for hire. Consequently, they have become the greatest advocates of the ruling class, the greatest defenders of Nigeria’s politics of plunder, neopatrimonialism and prebandalism. Being part of the exploited class themselves, they often speak the language of the downtrodden until they are noticed and called to the service of the ruling class where they have proved especially useful in fashioning strategies to further the exploitation of the downtrodden. In Nigeria, the moment they had the chance, they wasted no time in cajoling naive military boys in their 20s and early 30s into a full blown civil war that consumed millions of lives when all that was at stake was the egos of the military boys. So comfortable were they with the military boys that after the war, the intellectual wing began to advocate for a diarchy – a form of government where both the military and civilians rule – as the best system for Nigeria. Not done, they recommended the rejection of the more collegiate parliamentary system of government bequeathed to Nigeria at independence and the adoption of a more dictatorial presidential system

because, as they claim, sharing power between a president and a prime minister was not feasible in Africa. But they also forgot that investing so much power in the president in a system with very weak institutions of restraints is tantamount to creating a dictatorship. But how do they care; the “49 wise men”, as they were called, argued that in anyway, they presidential system they recommended was more compatible with African indigenous kingship/ chieftaincy traditions. Of course, they are quick to connive or offer their services to military boys to truncate the nation’s democracy, and immediately after such coups, they rush to legitimise the regimes, offering their services and expertise in entrenching the regimes. Their services do not go unrewarded. They are generously rewarded or they help themselves to the public till generously and quite a number of them have successfully transited from the middle to the upper class. A hallmark of the Nigerian middle class is that they do not accept responsibility for any of their actions. They advise; they help legitimate regimes; they run ministries and agencies but when things begin to go

HumanAngle FEMI OLUGBILE Physician, psycho-profiler and essayist

ecently, there was an important meeting of stakeholders in Lagos. It was tagged the Nigeria Health Summit. The major talking point was a keynote address presented by Senator (Dr) Lanre Tejuosho – Chairman of the Senate Committee on Health. He started off by reeling off some of the depressing statistics on the state of Health of the Nigerian. Nigeria was the greatest contributor to maternal deaths in the world. Stunted growth among children was spiraling upwards. Nigeria could not achieve the economic progress it aspired to without significantly improving the health of its people. It was no rocket science, and did not require the perspicacity of a Bill Gates. To jump-start the required transformation in Nigerian Health, the Senate would do a number of things, he averred. It would activate the implementation of the National

wrong, they take the first exit door and begin to point accusing fingers at the ruling elite. Is it any wonder then that none of the Nigerian academics, technocrats and professionals that helped create the phenomenon known as IBB today accept any responsibility for the legitimisation and institutionalisation of corruption, nepotism and patrimonialism in Nigeria? They simply moved on to the next ruler, offering their services as usual. With the dawn of democratisation, they have learnt to offer their services to political parties or candidates seeking high office. Their remit is simply to legitimise the candidacy of their client and present him/her in the most favourable light regardless of his/ her past and inclinations. The People’s Democratic Party, deluded by its feeling of invincibility, failed to avail itself of the services of these political merchants even though it had many of them in its fold. But the main opposition, the All Progressive Congress, showed its political wizardry by carefully harnessing the services of this group to create a totally new and burnished image of its candidate. At first I was hugely surprised that even our revered Wole Soyinka – who au-

thored the timeless piece “The Crimes of Buhari” in 2007, in which he detailed the atrocities of Buhari’s regime in 1984/85, concluding then that “to invite back into power a man who did so much to destroy a people’s self-esteem, dignity, and faith in law and justice, is a sign of self-abasement, lack of self-esteem, a slave mentality that dooms, not only the present, but succeeding generations” – was now solidly backing the same Buhari. What happened? What could have necessitated such a major shift in position? I was worried that no one seems to be taking notice of the man’s antecedents, which are anything but flattering, but I later got to realise that the middle class was particularly invested in the task of electing a particular candidate and had no business with his past. I also later got to know that Soyinka’s friends were all in the Buhari camp and when it came to his friends, they are always right. Well, Buhari has been elected and true to type, he has taken us back to 1984/85. But as expected, the professionals and academics that helped to create a new image for the president, that helped to convince the poor masses that in Buhari lies

by citizens not voluntary but mandatory going forward. The example of other nations that had achieved success in that area showed that health Insurance only helped to achieve Universal Health Coverage if it was mandatory. The third game-changer was to recommend to govern-

ing for inputs in the form of subvention, it should consider spending a substantial part of the money on paying ‘reimbursement’ for outputs and outcomes rendered by health facilities. Yet another change in the pipeline, according to the Senator, was that the current regulatory law for Pharmacy in Nigeria, which made it impossible for non-pharmacists to invest substantially in retail pharmacy in the country, would be repealed. A new one would make possible the injection of private sector capital to expand the pharmaceutical value chain. To anyone with an interest in the Health of Nigerians, the Senator’s pronouncements gave cautious cause for cheer. However, some of the issues required close examination. The language of the existing legislation on National Health Insurance, and the proposed changes to it, suggested that it was an area of exclusive interest for the ‘federal’ government. This ignored the fact that some states – such as Lagos and Delta, had already passed laws establishing a system of Basic Health Insurance which was intended to cover all their citizens. There were also private sector Health Management Organisations providing

Universal health care in Nigeria: Is the future here? Health Act by ‘padding’ the 2018 Budget with a provision for the Basic Healthcare Provision Fund (BHCPF). The National Health Act, signed in 2014 but not significantly implemented since, mandated that not less than 1% of the nation’s Consolidated Revenue Fund be allocated for the purpose of driving activities geared towards the provision of Universal Health Coverage (UHC) in the country. Secondly, it would move

It was no rocket science, and did not require the perspicacity of a Bill Gates

to change the existing National Health Insurance (NHIS) legislation to make the possession of health insurance

ment that, instead of spending most of its health budget – especially the budget for tertiary healthcare, on pay-

CHRISTOPHER AKOR Chris Akor, a First Class graduate of Political Science, holds an MSc in African Studies from the University of Oxford and is BusinessDay’s Op-Ed Editor christopher.akor@businessdayonline.com

their salvation have started to stealthily distance themselves from the APC. One does not need to be a prophet to know that they have done their job and moved on, hopefully to be back again in 2019 to sell another candidate to hapless Nigerians. It appears to me that the poor have to necessarily rebel against these political merchants, these enemies of the downtrodden who enhances, advocates for and legitimises the rule of the oppressors and who, when given the opportunity, supervise the exploitation of the poor masses. By their conducts, they have forfeited the right to be listened to and to be taken seriously. ·This article was first published on November 17, 2016

Social Health Insurance to indviduals and corporate organisations. In the past, even such exercises as running pilots of Community Based Health Insurance had been politicized, with ‘federal’ agencies spending huge amounts of money running no-impact ‘pilot’ programmes in states without carrying the states along, especially when such states were governed by a different political party. The structure and operations of the National Health Insurance Service itself would need to be substantially changed if it was to serve a useful regulatory role in an expanded mandatory health insurance system. A separate, independent structure would need to be created to manage insurance funds, hitherto a magnet for dishonest administrators and carpetbaggers of various descriptions. The allocation of money for Basic Healthcare Provision Fund (BHCPF) was clearly a welcome development. But it was no panacea, and it was bound to bring its own challenges. Even if the Senate somehow managed to get it signed, the next issue would be how to ‘protect’ the fund, and to ensure it served the purpose for which it was Continues on page 39

Published by BusinessDAY Media Ltd., The Brook, 6 Point Road, GRA, Apapa, Lagos. Ghana Office: Business Day Ghana Ltd; ABC Junction, near Guinness Ghana Limited, Achimota – Accra, Ghana. Tel: +233243226596: email: mail@businessdayonline.com Advert Hotline: 08116759801, 08082496194. Subscriptions 01-2950687, 07045792677. Newsroom: 08169609331 Editor: Anthony Osae-Brown. All correspondence to BusinessDAY Media Ltd., Box 1002, Festac Lagos. ISSN 1595 - 8590.

WOMEN’S HUB Friday 25 May 2018

BUSINESS DAY

The Royals: HARRY & MEGHAN

…and they will live happily ever after

Business deal with his ex? No way! Be Unapologetic about your gift! – Martins

VALENTINA UTOH When creativity meets luxury, excellence is birthed

EDITOR’S NOTE

t’s another edition of WOMEN’S HUB this week. Our cover Personality and LEADING WOMAN is VALENTINA UTOH. Her designes are outstanding and she shares on her love for bespoke creativity for women of style. Enjoy my review of Harry and Meghan’s wedding. Sometimes, the list requested by the bride’s family can be fraustrating for the groom-to-be. Desmond Okon has an advice for the groom. In WORKPLACE PALAVER section, Nifemi and Laolu work in the same company, Laolu’s ex -girlfriend has a business deal for him, shouldn’t Laolu inform Nifemi about this? Find out what happened in this section. More included. Get your glass of chilled lemonade, a box of cookies and have an amazing time reading through this magazine. Enjoy!

KEMI AJUMOBI kemi@businessdayonline.com

Graphics by David Ogar

BUSINESS DAY

Friday 18 May 2018

WOMEN’S HUB

Leading Woman

VALENTINA UTOH When creativity meets luxury, excellence is birthed

KEMI AJUMOBI

er attires speak class, engage the eyes and turn heads wherever and whenever they are spotted on women who are discerning about elegance and have a desire for style. If you call her designs the modern version of outfits worn by the upper class during the Victorian times, then you have spoken correctly. Unusual outfits from her Mi Regalo-The Vintage Collection bear names like Jovana, Zanna, Florentin, Esmeralda, Aurelina, Belita, Zanna, Fonda, Mercedes, Elvera, Hermosa, Nina, Estefani to mention a few, all look outstanding in their own way. Her name is Valentina Utoh and she is the CEO of Onyx by Valentina, a luxury female clothing brand bringing art to life through their handmade beaded pieces. She is known to dress distinguished dignitaries, First Ladies, Nollywood icons, female CEOs, entrepreneurs and others from different works of life. It isn’t hard to spot a woman wearing an Onyx by Valentina outfit even from miles away. Something about the outfit will announce itself and you would have guessed right because the outfit will certainly be made by her. To think the business started only few years ago and she has carved a niche for herself is truly worthy of commendation. According to her, “The business was conceptualised three years ago out of the love for pure art, the love from creating something out of the ordinary solely inspired by the Almighty God. It has been an interesting journey so far and I am grateful to God for the impact the business has had and is having till date.” Sharing further on how each dress is made and why the name of her label, she says “We put this creative art into wearable form through the use of handmade beadwork to tell the story in every piece. We called her Onyx by Valentina as Onyx is a black precious stone, symbolizing the black woman adorned in her bejewelled piece all created by Valentina. It’s been a worthy walk as each outfit is an inspiration by God because by my strength, I can do nothing” Speaking on how growing up was for her and how it has helped to influence her till date, Valentina says “Growing up was beautiful, truly beautiful! There was just too much love. My dad is a chronic art collector and my mum, a very classic fashionable woman. I grew up around so much art and it has reflected in my fashion and lifestyle.” Obviously, we now know where Valentina got her creative juice from. We wonder no more, puzzled solved. Valentina tells me she started the clothing line in Dec 2014 out of love for designing her own pieces and she defines her style as exotic, unique and glamorous. These words truly encapsulate what her brand stands for and tells a lot about her love for the uncommon “I’m a very detailed and meticulous person. I like the unusual. My creativity just pours out uniquely.” She says. Asked about what inspires her and her response says it all. Hear her “Everything inspires me. From art, to nature, to abstracts, to shapes, to everything imaginable at that point and the pieces are premium”. On her clients, she has this to say “My clients are premium clients from all over the world, who are particular about the uniqueness, detailing and artistry in their pieces but bringing it back home, I have amazing Nigerian clients who love quality, style and class. Nigerians in Nigeria and all over the world have responded in an overwhelming way that is very humbling. I cannot complain.”

Giving her view on the typical Nigerian woman, Valentina says “Nigerian women are very fashion conscious and fashion forward. When you are at an event outside the country, a Nigerian woman stands out. We are proud of our culture and heritage and we never cease to let everyone know we love our culture. That is why someone from a tribe can get married, wear their tribe’s traditional outfit and still wear the traditional outfit of another tribe as their second or third outfit. We love diversity, we love style and we appreciate culture.” She says. Looking at each outfit, it is easy to tell it is intricately detailed. I then asked Valentina how long it takes to prepare an outfit and she says “it takes three to four weeks. We do not rush our work, it isn’t even possible to rush it because they are not outfits you rush while making. Each one has a different design and are carried out with concentration and preciseness” With every business comes its peculiar challenges and in Nigeria, most businesses suffer setbacks due to power shortage or lack of it. Valentina echoes the same line of thought. Again she speaks “Power has been a challenge. We use different alternatives to mitigate this challenge. When a client tells you what they want, it is your duty to respond to their request and deliver. It isn’t even unprofessional to be complaining about your inadequacies to your client. Yours is to meet their needs. No one loves to be disappointed by their tailor and at Onyx, it’s not our thing. We try our best hence the need to have other alternatives for power on stand-by. If power can be rectified in this country, half of our problems will be solved, businesses will survive and new ones will spring up.” Valentina advises. We cannot deny the fact that the names of her dresses are unique. Valentina has a more detailed explanation for this. She says “Every collection speaks to me solely through the inspiration of the Holy Spirit. The names come divinely and it all falls into place even as I scrupulously carry out a lot of research while working.” Quite often, you hear various designers who say they wish to dress certain dignitaries both within and outside their country of residence so I asked

Valentina and her response couldn’t have been more apt. She says “I have no one in particular. I am about the confident, elegant woman who understands the artistry and passion that she is adorned with in Onyx by Valentina.” We all have that day in our lives that we cannot forget. For Valentina, “It’s my personal encounter with Our Lord Jesus Christ and that was on the 20th August 2014. I can never forget that experience…ever!”. Valentina is enthusiastic about her new collections and we certainly can’t wait to see them. Here is wishing her the best in her craft as she keeps raising the bar and taking her creativity to a whole new level.

WOMEN’S HUB

BUSINESS DAY

Friday 25 May 2018

The Royals: Harry & Meghan …and they will live happily ever after KEMI AJUMOBI

t George’s Chapel was the venue; Saturday, May 19th was the date. It was the wedding everyone was talking about over the weekend. A shift from the norm in the Monarchy of the United Kingdom, never to be forgotten, written on marble and imprinted in our heart forever, the union of Harry and Meghan. Luckily for me, I had no engagement for that day. If there was, I would have simply apologised ahead for my absence because there was no way I was going to miss watching that wedding. Surely, Power holding wanted to disrupt my joy but for the intervention of inverter and generator, a plan A, B, C was surely in place. You don’t take such risks by completely depending on Power Holding as assurance for power, I sure do know better. It started with a blind date in July 2016 and the rest they say is history. I have heard some people say they do not like blind dates… well, this fairy-tale story tells us clearly, you can find love in mysterious places. After only two dates in, Prince

Harry knew he had to take chances “I managed to persuade her to come and join me in Botswana and we camped out with each other under the stars,” he told BBC. “We were really by ourselves, which was crucial to me to make sure that we had a chance to get to know each other,” Harry said. It’s easy to tell that the journey to Botswana was very significant because the central stone in Meghan’s engagement ring came from Botswana. From both of them seen with identical bracelets to some aligning Meghan’s Instagram information with Harry’s travel calendar, it didn’t take long for people to put 2 and 2 together. Many people who had doubts about their relationship had their doubts erased after Meghan spoke to Vanity Fair in October 2017, though she avoided saying too much. In her words, “We’re a couple. We’re in love. I’m sure there will be a time when we will have to come forward and present ourselves and have stories to tell, but I hope what people will understand is that this is our time.” It sure is their time because as we all love fairy-tale’s end-

ing cliché ‘…and they lived happily ever after’, it certainly is what it is, a happily ever after tale. One of my peak moments was when Meghan came into the church, her simple white dress with an open bateau neckline made by British designer Clare Waight Keller, the first female artistic director for the Givenchy fashion house, made her look graceful. Accompanying the gown was the 16-foot-long veil supported by a diamond bandeau tiara belonging to the Queen. Harry looked like he couldn’t wait to behold his beauty. I observed how he would turn to his brother and best man Prince William, and engage in brief conversations. He looked dapper in his frockcoat uniform of the Blues and Royals. And when his bride reached him, it seemed to us all that he said “You look amazing. I missed you.”… that was an “Uwwww” moment for me. As I type this piece, I actually remember that moment and there is a smile on my face.

I loved the look on Meghan Markle’s mum, Doria Ragland’s face. So graceful and filled with emotion we could read through. Her teary eyes spoke to me, it felt to me she was saying “look at the honour you have brought to me Meghan, this could only have been God.” I haven’t gotten over The Gospel Kingdom Choir and their performance of the 1961 soul classic ‘Stand By Me’ by Ben E King directed by its founder, Karen Gibson. This is going down in history as the first black gospel choir to perform at a British royal wedding…beat that! The Bishop Michael Curry’s message was another peak moment for. It was a message of truth, hope, courage and most significantly, love! As I heard him say with verve, “There is power in love, don’t underestimate it, don’t even over sentimentalise it”, the words have not left me. Indeed there is power in love. Did you notice the smirk on David Beckham’s face when the camera zoomed in on him while

The List Y

DESMOND OKON

ears ago, sunsets had always been the periods I did my home chores, and my preference for them couldn’t be explained. And I never tried. It was during this time I walked in with a bucket of water balanced on my head and my hands firmly on it that I met him sitting and gisting with his kith and kin. “Why is he here?” I wondered. Michael had always been a family friend, and as a church member, we liked him mainly because he tipped me and my sibs, and was jovial. But my cousin, Vera, was fonder of him, and closer to him. Until one day he disappeared for years, only to return on this fateful day. His visits were usually to everyone and always met warm reception, but today, Michael had come to visit my father because of Vera, and his company confirms it. Soon, folks from my side gathered and talks started –I observed keenly as The Introduction, one of the phases to a proper marriage, took place. All went smoothly. The date was fixed for the bride price and the fulfilment of other marital rites –The List! Of course, the joy that precedes a wedding was heavy; percolating through everyone in the house…and the Asoebi was soon distributed. We were happy, until the day for the fulfilment of The List! Now, that day came in the cool of the evening, everyone concerned from both families had assembled under a canopy neatly mounted in front of block 12, Queens Barracks, Nigeria. Soon, talks began amid the aroma of rice wafting through the coolers. Laughter echoed once in a while –things seemed to be well.

Until The List was brought out, placed on the table…that’s when we knew Michael wasn’t gentle at all. He and his company argued that the list was ridiculous and that there was no way he would afford paying for almost half of the things written therein, and demanded that the original copy be produced from the village, since it was in Lagos they showed him the sample, an attempt to make things easy. When told to pay a sum of ten thousand Naira (N10, 000) to enable them make arrangements for the list to be brought as he requested, Michael went vitriolic. Unconcerned about tradition, he argued louder. I could remember him being sarcastic seeing ‘umbrella’ as one of the items to be provided. “Umbrella?! Rain dey fall?” he asked in Pidgin English. In the end, Michael got angry, refused to pay the money, walked

Bishop Michael was preaching? That look was priceless; he certainly was enjoying the message. The dignitaries also added colour to the day, it was nice seeing Oprah Winfrey, Serena Williams and her husband Alexis Ohanian, George and Amal Clooney, Idris Elba, David and Victoria Beckham, Prince Seeiso of Lesotho and his wife, Princess Mabereng, to mention a few. It truly is amazing how life plays its card. Yes she wasn’t an A list Hollywood actress (she is above that now), yes she was a divorcee (Her Ex is past), yes she is three years older than Harry (age is nothing but a number), yes she is black (it’s not about the colour of your skin but the love in your heart)…but where genuine friendship dwells, imperfection becomes alien and only love thrives! Looking for Harry and Meghan? Home just changed, The Duke and Duchess of Sussex reside in Kensington Palace...hello???

out on the elders, Vera, and everyone else, with his entourage trailing behind. Till date, the marriage never took place. That was many years ago. There is also a story of someone who flagrantly refused to buy the parents’ clothes –a requirement that is traditionally correct and fundamental. There are more of these stories, the ones I don’t know of. But you do. In the build of any marriage, tradition and culture must be followed and in the process, things can get out of hand. But should that be a premise to call it off? I understand most of these kinsmen can be very mean (and many of them are). They latch on moments like that to eat everything they’ve not got from the girl; even those not directly connected to the family –the village youths, women, will all gather, craving eagerly for their share. By this time, things can easily go south; therefore, all you need to do is plead with them. Yes, BEG them! That’s not the time to show intelligence, or how smart you are. It’s not the time to reel out all your Ph.ds and slam it in their faces. If sincerely you don’t have enough financial resources to expend, be humble and beg. Being logical, boisterous, and trying to prove a point won’t help, it often doesn’t. If you show them you’re tough, they’ll show you that you’re in their turf, and the girl you intend to marry is theirs…and they will make things difficult for you. So, don’t be smart about it because they are not looking for that, all they want is what’s in the list to reach their hands, hence, take it easy. It doesn’t cost much, rather, it furthers endears you in their hearts. Begging elicits their pity and projects you as humble. Why allow a few tubers of yam, or clothes deprive you of the happiness you seek with the person you love and have dated for as long as you have known each other.

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Imposition Studio 5.1.1

BUSINESS DAY

BOOK REVIEW

Title of Book: Author: Year of Publication: Place of Publication: Publisher: Number of Pages: Genre: Reviewer:

Eat to Lose Weight Chinasa Amadi 2018 Nigeria Palace Publishers 64 Instructional Desmond Okon

WOMEN’S HUB

Light House Women’s Network to hold 5th edition of development conference KEMI AJUMOBI

Just Saying...

Workplace Palaver

BUSINESS DAY

Friday 25 May 2018

WOMEN’S HUB

Business deal with his ex? No way! KEMI AJUMOBI

ifemi and Laolu Babajide are married with two children, John and Serena, 4 and 2 year old respectively. Nifemi is a seasoned legal practitioner and Laolu is an investment banker who left his work and began a joint business called NILA (NIfemi and LAolu) Group with his wife. There was a deal introduced to Laolu by his ex, Bisi who worked with Lamatex Ventures and it was a huge amount of money. Nifemi saw the document in her husband’s drawer at work but kept calm and did not say a word but her mood changed towards him. The next morning, she woke up earlier, had breakfast before he did and was off to work “Ahn! Ahn! babes, no good morning kiss? No hug? Nothing? What is wrong?” he asked as he gently pulled her back but Nifemi wasn’t in the mood for a conversation but managed to respond “I am sure you are aware we have a meeting with Jefferson & Co. by 11am and another by 3pm?” “Babes, I know, it’s just 8am, remember we are going to the same office…why are you acting up? What have I done?” Laolu asked. “I need to be somewhere before heading back to the office for the meeting…bye” she said, completely ignoring Laolu’s question as she took her bag and

left the house. Laolu was at work by 9:30am. By 10:59, all the people involved in the meeting were seated by the round table and just as he was about to apologise for his wife’s absence, she walked in, apologised for coming late, briefly perused through to find another empty seat because the only one available was by her husband and ‘unfortunately’ for her, there was no other one so she went and sat down by her husband. When her husband was done with his opening remarks, he introduced his wife and asked her to preside over the meeting. “Thank you Mr Laolu” she said and continued. She didn’t need anyone to know her husband was upsetting her at this time so she kept everything professional but Laolu wouldn’t let her be. He was deliberately trying to get her attention without others knowing. So while she was speaking, he would use his toe to touch hers under the table and she would move, he tried holding her hand under the table and she removed it, put it on the table and began using them for gestures so Laolu could no longer have access to her hand. Not showing any form of being distracted, she finished her speech and the other people also shared their views and in 15 minutes, the meeting was done. They all exchanged pleasantries

and one after the other, they began to leave the office. The guests were escorted to their cars by Laolu and Nifemi and as they walked back to the office, Laolu asked her “So can we talk now?” Nifemi certainly wasn’t in a mood for talking so she went straight to her own office, she didn’t want anyone to know at work that something was wrong but since Laolu was in front of her office, she managed to respond, communicating with Laolu through her eyes ensuring he got the message that he was being a bother “Yes, when we get home.” So Laolu smiled and responded “See you by 3pm for our next meeting”. By 2:50 Laolu walked into the room where the meeting was to hold and observed that the names of each participant in the meeting was on the table and this time, his name was far apart from where Nifemi was to sit. So he smiled and shook his head and said to himself “Oh my wife! Such a drama Queen!” He had no plans to change the sitting arrangement. So he went to his own seat and in 2 minutes, his wife walked in, sat on her seat and focused on the documents she had with her. She was pretending to be focused. He husband will look at her, nod his head and smile. He had his own documents with him so he focused on the documents. They were both in the room alone and didn’t communicate with each other. Not like

Laolu couldn’t start a conversation but he did not want to upset her so he let her be. Few minutes later, other people meant to be in the meeting walked in one after the other and by 3:05pm, the meeting started. Again, Laolu welcomed everyone to the meeting but this time when he was done, the head of the two delegations that came spoke after Laolu. When he was done, Laolu requested that his wife should give the closing remarks. “We will like to thank you for considering us for this project. We do not take it for granted. There are organisations like Lamatex Ventures and the rest but you have found us worthy so we appreciate you.” When she said “Lamatex Ventures”, she looked sternly at Laolu then continued her speech. Immediately she gave Laolu that look, he put two and two together and concluded that Nifemi had seen the document sent to his office by his ex girlfirend. “Thank you so much and see you soon” Nifemi said as she and Laolu escorted the last person leaving. He did not want to postpone the conversation so as they both made their way back to their offices, he quickly held Nifemi’s hand knowing well she would not want to create a scene for the staff to see, so she easily allowed him hold her hand and he held it until they almost got to her office and

Be Unapologetic about your gift!

believe the gift you’ve been given by God is one you should embrace. It is not an accident that you find athletics easier than others, you solve mathematical equations in your sleep, you can sell water to the well, the list goes on. I enjoyed talking when I was young and I remember very well my parents telling me to shut up at every opportunity they got. I heard all sorts “ladies don’t speak in public,” “ladies don’t talk a lot.” You’re restless, you’re this, you’re that etc. I look at the likes of Oprah Winfrey, Fela Durotoye and many more leaders I consider great motivational speakers and the one common denominator was they were all told they talked too much. What if they stopped? The world would have lost out on the knowledge these leaders have to share. From talking too much, Oprah was once named the richest black woman in the world and one of the most influential women of our time. I was the fastest athlete in my high school and came first in 100m track and field at the FEDCOL games (this was the Olympics for all federal government colleges in the country.) My parents were approached for me to develop at a professional level

OMOWUNMI MARTINS

Head of Marketing and Branding at a multinational firm Motivational speaker and communication expert

as she was about to attempt to let go of his grip, Laolu sarcastically said, “No dear… my office, remember we have that crucial ‘business’ to talk about.” There were about 4 people on their desks, she had vowed never to create a scene at work so as Laolu opened the door of his own office, took a bow and waved his hand as if to mean “you can go in Ma”, she looked at him with that look that could only mean “you better thank your God we are in the office environment” and she went into his office. Laolu quickly locked the door behind him, closed his window blinds stood right in front of his wife who by this time was seated and crossed her legs, looking at him like “so what do you have to say to defend yourself” kind of look. “Babes”, he began while sitting by the side of his table close to her legs, “You obviously have seen Lamatex Ventures document in my drawer so we do not need to go over the reason you are acting like this towards me. I was going to tell you, I just needed the deal to be sealed. If I wanted to hide it from you, I won’t put the document where you saw it. You have access to all my cabinets here so I have nothing to hide. I know that is it because it is Bisi’s company involved in this is why you are acting this way. I apologise, I am truly sorry, I was still going to speak to you about it. If you want it cancelled now, I can call her, put it on speaker and tell her the deal is over. Please, this is a business deal. Bisi is married remember? Come on now Nife” “Epistle not necessary, just apologise…you should have told me Laolu, you should have” she said. So Laolu went on his knees and held her hands, “My Empress, the owner of my heart, my sugar potato, my missing rib, the one who has the only key to my soul, the spare key has not been created, my efficient business partner…I am sorrrrryyyyyyy!!!” he said. “Clown… I have heard you. Need to get to my desk, there is much to do.” She said and he responded “Ahn! Ahn!.. No hug? How do I know we have made up?” he asked “Laolu, you know we are in an office environment, behave yourself” she said “Behave myself? When with my WIFE? In OUR company? Please oo” he teased. “Silly man” she said after hugging him briefly “Ahn Ahn Nifemi, the hug was too brief” he teased. “Bye Laolu, I have deadlines to meet” she said and went to her office. Marriage intact, communication improved upon, everyone is doing fine at NILA Group!

and I remember my dad saying “will that put food on the table?” If only he knew what Usian Bolt will come years later. While conversing with a friend about her son recently, we talked about his passion for tennis. The boy plays well however, his mother stopped him from playing. I was bewildered! How can you stop him? I asked my friend and she said to me “I want him to be like his father, an investment banker.” I asked if she was serious about this, she responded with a straight look in my eyes and said – Yes! Some sports analysts often compare Nadal and Federer. I have heard it said that Federer has a natural gift while Nadal acquired the skills. Meaning if Nadal were to not play for a couple of months or years, it will be hard to bounce back. I am a big Nadal fan but when I watch Federer play, I have to be honest and say you can tell there is a huge difference between talent and acquired skills. As majority of people know, Federer has won 20 grand slams which is the highest of any man in the world. It is also important to know that in the world of tennis, Federer began quite late and Nadal began playing at the age of four. Why kill your talent or dream? Why kill the talent or dream of your child? You can excel in whatever talent God has given you. The talent is in your DNA, this is what you live and breathe; you can do this better than millions of people out there. Sharpen it. Develop it. Be unapologetic about your gift!

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Friday 25, May 2018

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WE HAVE A TEAM FOR THE FUTURE - PINNICK

UEFA TO STOP FIFAâ&#x20AC;&#x2122;S $25 BILLION CLUB WORLD CUP PLAN

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Friday 25, May 2018

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ANALYSIS

NIKE TO RAKE IN N92 BILLION FROM SALES OF SUPER EAGLES JERSEYS .... over 3 million jersey orders confirmed .... NFF to earn N1.3billion from NIKE’s contract Stories by Anthony Nlebem

he Russia 2018 FIFA World Cup spirit is gradually gathering momentum, as soccer fans are busy placing orders for their darling teams. No doubt, Nigerian senior male national team, the Super Eagles, regarded as the biggest football brand in Africa, is drawing attentions from fans across the world with it latest kits for this years’ FIFA World Cup in Russia. American sportswear giant, NIKE is expected to rake about N92 billion from the sale of Super Eagles jerseys for the FIFA World Cup in Russia. NIKE recently disclosed that it had received over 3 million orders for the new jerseys designed for the Senior National Team of Nigeria, the Super Eagles, for the 21st FIFA World Cup finals opening in Russia in three weeks. At a meeting with chieftains of the Nigeria Football Federation (NFF); Amaju Melvin Pinnick, President; 2nd Vice

President/LMC Chairman, Mallam Shehu Dikko, who is also Chairman of the NFF Marketing, Sponsorship and TV Rights Committee. NIKE’s Vice President/General Manager for Europe, Middle East and Africa, Matthus Visch, was in company with Sales Director, Wouter van Olm at its Europe headquarters in Amsterdam, Netherlands. The leading sports merchandising outfit also used the opportunity to announce that the much-anticipated release of the jerseys into the global market would happen on Tuesday, 29th May, at a unit cost of $85. Both organisations used the opportunity to appraise their running partnership agreement, signed in London three years ago, and while both expressed satisfaction with the contract performance, the imperative of penning a new, improved contract was high on the agenda. “The meeting was at the instance of NIKE. The company’s representatives at the meeting expressed delight with the

Editor: Anthony Nlebem Tel: +234 803 836 9508 Email: tony@businessdayonline.com

performances of the various National Teams since they came on board and we both agreed that it was time for a much bigger contract. That would be actualised very soon,” said Dikko. “The new Super Eagles’ jerseys will be released into the global market, including several NIKE shops across Nigeria, on 29th May 2018, just before the Eagles fly out to London for the friendly match against England. The cost would be $85 for one,” Dikko added. The Nigeria Football Federation would earn $3.75m (N1.3billion) during its three-and-half-year partnership with Nike and a $500,000 (N180 million) bonus from Super Eagles qualification for the 2018 World Cup in Russia. The contract is worth $750,000 (N270 million) in its first year and would rise to $1million (N360 million) each year from 2016 till 2018. In the three years of NIKE’s initial sponsorship agreement with the NFF, the U17

BUSINESS DAY

Friday 25, May 2018

National Team (Golden Eaglets) have won a fifth FIFA U17 World Cup; the U23 National Team (Olympic Eagles) have won

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bronze at the Men’s Olympic Football Tournament; the Senior Women National Team (Super Falcons) have won an eighth Women Africa Cup of Nations; the Super Eagles B have reached a record runner-up position at the African Nations Championship and; the Super Eagles have qualified for the Russia 2018 FIFA World Cup (Nigeria’s sixth appearance). NFF president, Amaju Pinnick told the federation’s website: “We are comfortable with the contract, because NIKE came across during the negotiations as being fluid and ready to listen to our demands. That is always the key aspect; you always need a partner with a listening ear. “Nigeria football is happy to associate

with a global leader and I am much convinced this is just the beginning. As we go along, NIKE may also be willing to partner with some of our domestic clubs and even the League Management Company.” “In our discussions, we explored a lot of possibilities going forward. We talked about the forthcoming FIFA World Cup finals in Russia and the preparation of the U-20 girls (Falconets) for this year’s FIFA U20 Women’s World Cup in France, among other issues,” Dikko added. Nike will design performance and training apparel, and equipment, including team kits and footballs, for the Nigerian national football team players at every level of the game.

The simulations are made by the bank with an aim to provide advice for investors seeking growth potential in Russia. They are not the only ones to do so and investment banks often compete with each other to provide accurate predictions but that is not always the case. Italy have been listed as a probable, despite not qualifying for the tournament in the first place. (Source: UBS) For example, according to the Bloomberg

report, UBS had said in 2014 that hosts Brazil would win that year’s tournament. Brazil did reach the semi-final from where they suffered a 7-1 thrashing by Germany to be dumped out. In this year’s predictions, Italy, who failed to qualify for the final tournament, have been included as one of the probables to win it. They are 10th on the rankings with a 1.6 percent chance, below the likes of Switzerland and Mexico but above hosts Russia and Sweden, against whom they lost in their final playoff match. If UBS’s prediction does turn out to be true, Germany will become the first team in 14 editions of the tournament to successfully defend their World Cup title. The last team to do so was Brazil who won the tournament in 1958 and 1962. FIFA World Cup 2018 starts on June 14 with the first match being between hosts Russia and Saudi Arabia. Germany’s first match of the tournament is against Mexico.

ermany will win 2018 FIFA World Cup, predicts investment bank after running 10,000 simulations. The simulation predicted Germany to win the 2018 FIFA World Cup with Brazil and Spain following them at second and third favourites, England were listed as the fourth most likely champions. A computer simulation of the upcoming 2018 FIFA World Cup run 10,000 times has named Germany as favourites to win the trophy once again. According to Bloomberg, Swiss Investment Banking Company UBS deployed a team of 18 analysts and editors and ran a simulation of the tournament 10,000 times and ranked teams based on its findings. While Germany take the top spot with a 24 percent chance to win the tournament, Brazil are second with 19.8 percent and Spain are third with 16.1 percent. Interestingly, notorious underachievers England have been ranked fourth with 8.5 percent, ahead of the likes of Argentina and France.

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Friday 25, May 2018

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NEWS

WE HAVE A TEAM FOR THE FUTURE - PINNICK

he second –string Super Eagles might have been edged by Europa League champions Atletico Madrid in Uyo on Tuesday night, but President of the Nigeria Football Federation, Amaju Melvin Pinnick and indeed many who were there saw triumph all over. “The result is not what mattered today; what mattered was that we have been able to show the world that we have a solid youth team that is capable of taking over from the present squad, from the squad going to the World Cup next month. “I am very happy because our big mission statement on assuming office was to build a sustainable football culture for Nigeria. From what we have seen today, our future at the senior national team level is secured. And given what we are doing at the youth level, with our U13 and U15 programs, it means that the supply chain is strong enough to sustain even the junior teams, from where the senior players will emerge.” Players like the Nwakali brothers (Chidiebere and Kelechi) wowed the near –capacity crowd with delicate touches, and 2013 U17 World Cup –winning captain Musa Muhammed, central defensive pair of Adeleye Olamilekan and Chinedu Ajanah, former U20 star Alhassan Ibrahim and wingbacks Ebube Duru and Ikouwem Utin showed plenty of energy and promise. Pinnick added: “We are confident that from the preparatory plan that we have put together for the Super Eagles leading to the finals in Russia, and having taken care of off-field matters that may cause distraction, the team will do Nigeria proud in Russia. “Looking at the team that just played Atletico Madrid, it gladdens my heart to see that after Russia, we certainly have the players that will also do us proud in 2022 and even 2026.”

resident of the Nigeria Football Federation, Amaju Melvin Pinnick has congratulated Super Eagles’ ace Victor Moses following the utility player’s triumph in the English FA Cup with Chelsea FC at the weekend. A lone strike from the penalty spot by Eden Hazard against Manchester United at Wembley brought joy to the Blue side of London and made Moses the sixth Nigerian to experience glory in the oldest knockout competition in world football. Before him were John Fashanu, Daniel Amokachi, Nwankwo Kanu, John Utaka and Mikel John Obi (Super Eagles Captain at the FIFA World Cup), won also with Chelsea. “I am happy for Victor Moses because this triumph sets him in a great mood and gives immense confidence for the FIFA World Cup in Russia. We have a number of friendly matches before the FIFA World Cup but the big focus is on the finals starting next month. “Victory in the FA Cup is good for Moses as he will come into camp buoyed in spirit, and that good feeling is bound to infect and affect the other players positively,” Pinnick said. Pinnick also applauded the good number of Super Eagles’ players who finished the season on a high, and those who were instrumental to their clubs’ accomplishments during the season, stating that confidence is key to facing up to the kind of opposition available at the FIFA World Cup. Moses, who is the reigning NFF Football Awards Player of the Year, was the Super Eagles’ highest goalscorer in the FIFA World Cup African qualifying series with three goals. He netted a brace against Algeria in November 2016 and got the third in the 4-0 whiplash of African champions Cameroon on 1stSeptember 2017, which set the Eagles on the path to Russia. The Chelsea wingback, who plays as an attacking midfielder for the Eagles, will join up with his international team-mates in Uyo later this week, ahead of Monday’s international friendly against the Simba of the Democratic Republic of Congo in Port Harcourt. The Super Eagles will then take on England in a prestige encounter at Wembley Stadium in London on 2nd June, before trading tackles with the Czech Republic in Austria on 6th June. The team will camp for nine days at the Avita Resort in Bad Tatzmannsdorf, Austria before flying to their team base camp in Yessentuki, Stavropol region of Russia on 11th June.

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NEWS people close to the talks. Also proposed is a new international league competition for national teams, promising a total of $13 billion up until 2033. A further $1 billion has been promised towards the “digital transformation” of FIFA. Discussions have also begun over creating an “over the top” service, through which the organisation could screen matches on the internet, although

IFA is preparing to call a vote on a $25 billion proposal that promises a huge windfall for football clubs and national teams should they agree to reshape the sport with two new global tournaments. The radical plan is being led by Gianni Infantino, the president of world football’s scandal-tainted governing body, who has been in secret talks with investors that include Japan’s SoftBank. The proposal offers the tantalising prospect of the world’s top clubs competing for almost $2 billion every four years — an offer that has in recent days secured the support of sides including Real Madrid and FC Barcelona — as well as a new league for national sides. But the concept faces stiff opposition from certain corners, including from football’s European governing body Uefa, which views the move as a threat to the primacy of its lucrative Champions League club tournament, in which €1.3bn a year is shared among competing sides. Infantino will in coming days notify FIFA’s ruling council of a special meeting at which a decision can be made before the upcoming World Cup in Russia, according to several people involved in the situation. In a private letter distributed in recent weeks to FIFA members and seen by the Financial Times, Infantino spells out the proposal from the consortium, which has promised to inject $25 billion into a FIFA -controlled joint venture that would run a revamped Club World Cup and “Nations League”. Infantino described the investors in the consortium, which would own 49 per cent of the joint venture, as “among the world’s most solid investors”, and said they represented “major interests and multinationals in Asia, Europe and North America”. Citing non-disclosure agreements, the FIFA head has so far refused to reveal the consortium’s participants but their identities will be divulged at the meeting, according to two people with direct knowledge of the plans. The consortium is being assembled by Centricus, a UK-based group whose founders helped SoftBank raise funds

to create its $100bn Vision Fund, people close to the matter previously told the FT. The consortium’s proposal envisages the expansion of the “Club World Cup”, a tournament currently played with seven top teams from across the globe, into a 24-strong tournament to be played in June every four years from 2021. The consortium will guarantee $12 billion in funding for four editions until 2033. At each of the first four tournaments, $1.9 billion will be available as prize money to the clubs, according to two people with knowledge of the situation. They said $450 million would be available for the running costs of the tournament and a further $600m in “solidarity” payments — financial support to football confederations, national organisations and smaller clubs. In recent days FIFA has held discussions about the format and structure of the Club World Cup, with a preference for clubs from Europe, which hosts the world’s best-known leagues, to make up half the 24 entrants in an effort to enhance the tournament’s appeal to global broadcasters. These could include the most recent winners of the Uefa Champions League and Europa League tournaments, or be selected from ranking clubs according to

two people familiar with the talks warned these talks were at the very early stages. On Wednesday, Uefa held a meeting to discuss the proposals with representatives of European clubs, leagues and players. It said all parties “unanimously expressed serious reservations about the process surrounding the FIFA Club World Cup and Global Nations League proposals and in particular the hasty timing and lack of concrete information. Recently, the World Leagues Forum, a body that represents national league competitions such as the English Premier League, said it would “vigorously” oppose any proposal that would add fixtures to a congested calendar. FIFA insists the tournaments would reduce the amount of matches played each year. The Club World Cup would take place during the time allocated for the quadrennial “Confederations Cup” tournament, which would be abolished, while Nations League matches would replace dates allocated for “friendly” matches between national teams. “We believe that this offer is an excellent opportunity for the confederations and the member associations as well as for football in general,” Infantino said in the letter. “FIFA has no particular interest other than having a responsibility and duty to present it to all of you.”

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thought to prefer the combined North American candidacy, largely due to the amount of money a World Cup in the region could generate. United 2026 recently claimed a North American 2026 World Cup would produce profits of “nearly $11 billion (£8 billion/€9 billion)” for FIFA. Infantino has also been accused of trying to undermine Morocco 2026 by asking the Task Force to deliberately find fault with the African bid. Officials from Morocco 2026 have repeatedly clashed with FIFA in recent months, following claims world football’s governing body changed the scoring system just 24 hours before the African nation submitted their bid in an attempt to hamper their efforts. Morocco’s bid was also at the centre of an ethics investigation into FIFA secretary-general Fatma Samoura, over an alleged undeclared family link with former

FIFA TO DECIDE ON 2026 WORLD CUP BIDS MAY 29 F

IFA will reveal whether the Moroccan and joint North American bids for the 2026 World Cup have progressed to the voting stage just over two weeks before it takes place at the Congress in Moscow, it has been announced. Morocco 2026 and United 2026 are set to learn their fate when the Evaluation Task Force, which has assessed both bids for the tournament, delivers its verdict on May 29. The Congress is scheduled for June 13, the day before the opening match of the 2018 World Cup between hosts Russia and Saudi Arabia in Moscow. “The Task Force charged by FIFA to evaluate both the North American and Moroccan 2026 FIFA World Cup bids will make its verdict on the eligibility of both files to progress to FIFA Congress on 29 May,” Morocco 2026 said on Twitter. The Task Force has inspected the two candidacies for the World Cup and has the power to exclude either bid if they do not meet their requirements. A second visit had to be conducted to Morocco as the inspectors “noticed some deviations from the initial planned programme” during the first trip to the African country.

Another inspection of the joint bid from the United States, Canada and Mexico was not deemed necessary and the United 2026 effort remains the favourite at this stage. FIFA President Gianni Infantino is Senegal international El Hadji Diouf. Samoura was quickly cleared of any wrongdoing after the claim she is related to Diouf, a Morocco 2026 ambassador. The latest row saw FIFA turn down a request from Morocco that four countries governed by the US - American Samoa, Guam, Puerto Rico and the US Virgin Islands - be prevented from casting a vote. The main issue for the United 2026 bid so far has been the recent interventions from US President Donald Trump, who ignored a warning from FIFA regarding political interference in the race. Trump called on African countries to support the joint North American bid and had earlier warned nations not to lobby against United 2026.

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Friday 25, May 2018

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EFA has raised strong objections on to what had seemed to be the unstoppable force of FIFA’s $25 billion remodeling of world football. A UEFA Professional Football Strategy Committee meeting in Lyon, France, brought together the representatives of the European football confederation, the European Clubs Association, the European Leagues lobby group and the European division of the world players’ association, FIFPro. The key item on the agenda was FIFA’s proposal for a 24-team Club World Cup every four years and biennial Global Nations League tournament of international teams. Gianni Infantino, the FIFA President, has attempted to acheive his plans through, calling for a swift decision to be reached on the matter. The Financial Times reported that in the coming days he will call an extraordinary meeting of the FIFA Council to make a final decision on the proposal. But the response from UEFA was unequivocal. “The PFSC unanimously expressed serious reservations about the process surrounding the FIFA Club World Cup and Global Nations League proposals,” said UEFA in a statement. “In particular, the hasty timing and lack of concrete information, [The Committee] underlined the need for a clearly defined procedure, which respects existing structures and decision-making bodies and which involves all key stakeholders.” The lack of consultation from FIFA on the issue has been stark. Though the FT reports the Japanese tech investor Soft-

bank has attracted financing from Saudi Arabia, the United Arab Emirates and China, the identity of the investors putting up the cash for the new football plans has not formally been revealed. In a letter to FIFA members, Infantino explained his secrecy by saying he is bound by the terms of a confidentiality agreement. But his decision to eschew the appropriate stakeholder discussions -- when the project would have enormous impact on the international match calendar, at the same time as selling a substantial equity stake in football’s elite competitions to unknown third-party investors -- met with strong resistance. “Such proposals must be considered as part of a global reflection on the overall international match calendar and cannot be decided upon in isolation,” added UEFA in its statement. Instead, FIFA’s strategy has been one of divide and rule. Infantino has wooed individual clubs such as Barcelona, Bayern Munich, Liverpool, Manchester United and Real Madrid rather than to hold comprehensive dialogue through organised club channels.

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His attentions won favour with the board of directors at Camp Nou, which released a statement talking of the prospect of an “exciting, inclusive, dynamic, prestigious” Club World Cup revamp. But Josep Maria Bartomeu, the Barcelona president and a member of the PFSC, was unable to carry his peers in support of the moves at Wednesday’s Lyon meeting. FIFA’s plans and approach have infuriated senior figures in European club football, who privately warned that old tensions between UEFA and FIFA are on the point of exploding. “It will erupt,” one of those senior figures told ESPN FC. The cracks are already appearing. Infantino’s plans first came to light when he unilaterally presented them to the FIFA Council meeting in Bogota on March 15 and 16. ESPN has learned that 10 days later, UEFA president Aleksander Ceferin angrily took his FIFA counterpart to task at the ECA General Assembly meeting they both attended in Rome. “Ceferin is furious,” said a separate source with knowledge of the situation. “There is no alignment between UEFA and FIFA at all. “FIFA’s plans could seriously damage UEFA’s Champions League. I don’t think people realise the enormity of what this all means for world football.” In a May 11 interview with the German football magazine kicker, Ceferin said: “The players are at the limit. FIFA is behaving strangely, discussing it with a handful of European clubs, only inviting the clubs that FIFA thinks are the only ones who matter. “The ECA is the association of clubs in Europe, not just seven clubs, do you think that only one club in Germany, two in Spain and two in England are important? FIFA should respect all clubs. “ A third source also raised the prospect of major impacts for domestic football competitions. For several years FIFA has plotted to interfere with the size of national leagues, something Infantino’s predecessor, Sepp Blatter, flagged in 2011. When he first raised that suggestion, Blatter was met with steadfast opposition from the major European leagues, among which only Germany’s 18-team Bundesliga does not consist of 20 clubs. But with the temptation of a multibillion-dollar Club World Cup to put before the biggest clubs, where the most successful would reportedly be in line to earn $50m to $85m, it may be that the previously united front might not hold. UEFA has managed to corral its various stakeholders on the PFSC, an indication of the strength of feeling within the European confederation on FIFA’s future plans. The matter will now be referred to the UEFA Executive Committee, which meets in Kiev on Thursday May 24.