Wednesday 13th July 2016 by THISDAY Newspapers Ltd

INEC Recognises Makarfi-led PDP Leadership Party submits Ize-Iyamu’s name as Edo guber candidate Onyebuchi Ezigbo in Abuja The Independent National Electoral Commission (INEC) has formally given recognition to the Senator Ahmed Makarfi-led national leadership of the Peoples

Democratic Party (PDP). The decision by the commission became apparent following its acceptance of Mr. Osagie Ize-Iyamu as the duly

elected Edo State governorship candidate of the party, thereby putting paid to the raging controversy over which of the two contending factions

led by Makarfi and Senator Ali Modu Sheriff would field a candidate for election. While confirming receipt of the submission of Ize-Iyamu’s

name from the Makarfi-led faction yesterday evening via a text message, the Deputy Director, Publicity and Voter Education of the commission,

Fitch Reviews Bank Ratings in Line with Nigerian Downgrade… Page 11

Mr. Nick Dazang, said INEC had received names of 19 governorship candidates from 19 political parties, including the candidate of the PDP, Ize-Iyamu. Continued on page 8

Wednesday 13 July, 2016 Vol 21. No 7748. Price: N250

www.thisdaylive.com TR

TODAY'S WEATHER

ABUJA 16°C-33°C

MAIDUGURI 15°C-35°C

UT H

& RE A S O

ENUGU 22°C-34°C

KANO 11°C-33°C

LAGOS 23C-31°C

PORT HARCOURT 20°C-30°C

Senate Threatens to Impeach Buhari as Malami Meets Saraki AGF apologises for not honouring Senate invitation Upper chamber summons SGF over unguarded utterances House divided over extension of immunity clause to principal officers

Omololu Ogunmade and Damilola Oyedele in Abuja As the National Assembly resumed from its Ramadan recess, tension enveloped both chambers of the federal legislature, with the Senate threatening to commence impeachment proceedings

against President Muhammadu Buhari and lawmakers in the House of Representatives sharply divided over the proposal seeking to confer immunity from criminal prosecution on the presiding officers of the National Assembly. Continued on page 8

FG Confirms Hadiza Bala Usman’s Appointment as NPA’s New MD Dele Ogbodo in Abuja The federal government yesterday confirmed THISDAY’s exclusive story on the appointment of Hadiza Bala Usman as the new Managing Director of the Nigerian Ports Authority (NPA), effective Monday, July 11.

A statement by the Director, Public Affairs in the Ministry of Transportation, Mrs. Yetunde Shonaike, also said Mohammed Bello-Koko had been appointed executive director, finance; Prof. Idris Abubakar, executive director, Continued on page 8

Magu Refuses to Answer Questions on Buratai's Dubai Property… Page 12

L-R: Former Chief Justice of Nigeria (CJN), Justice Mohammed Uwais; Vice-President Yemi Osinbajo (SAN); former CJN, Justice Aloma Mukhtar and CJN, Justice Mahmud Mohammed, at the 'Words In Gold' a Celebration of Nigeria's Foremost Jurists Through the Years, an event organised by LawPavilion in Abuja… yesterday julius atoi

WEDNESDAY JULY 13, 2016 T H I S D AY

T H I S D AY WEDNESDAY JULY 13, 2016

WEDNESDAY JULY 13, 2016 T H I S D AY

T H I S D AY WEDNESDAY JULY 13, 2016

WEDNESDAY JULY 13, 2016 T H I S D AY

Fidelity Vintage Account RC 103022

T H I S D AY WEDNESDAY JULY 13, 2016

WEDNESDAY julY 13, 2016 • T H I S D AY

PAGE EIGHT SENATE THREATENS TO IMPEACH BUHARI AS MALAMI MEETS SARAKI This was just as the Attorney General of the Federation (AGF) and Minister of Justice, Mallam Abubakar Malami (SAN), met Senate President Bukola Saraki and tendered an unreserved apology for his failure to honour the invitation of the Senate Committee on Judiciary, Human Rights and Legal Matters twice last month. The AGF also met members of the committee and expressed his regrets for his inability to appear before them. Prior to Malami’s meetings with Saraki and the committee, however, the Senate held a rowdy executive session, during which senators threatened to commence impeachment proceedings against the president over his perceived endorsement of the criminal trial of Saraki and his deputy, Ike Ekweremadu, for alleged forgery of the Senate rules. Sources privy to the closed-door session in the upper chamber informed THISDAY that the atmosphere was so rowdy and almost climaxed into fisticuffs between Senators Dino Melaye and Oluremi Tinubu. The closed-door meeting, THISDAY gathered, was for the senators to agree on the way forward and to resolve the differences among the senators who had been divided into two factions since the elections of the Senate President and the Deputy Senate President. At the meeting, the push by most of the senators was to suspend the socalled erring members of

the Senate Unity Forum who had dragged Saraki, Ekweremadu and others to court over alleged forgery of the Senate rules. According to sources, the intent of a majority of the senators was to move for the suspension of their colleagues and for the upper chamber to stamp its authority as an arm of government independent of the executive. In this respect, the senators resolved that there was no case of the alleged forgery and warned those behind the case to withdraw it from the court. THISDAY also learnt last night that the AGF first met the committee before proceeding to meet Saraki in his office after yesterday’s executive session and plenary. The AGF had been summoned by the Senate on June 21 over allegations that his decision to charge Saraki and Ekweremadu to court was a threat to democracy and therefore mandated the committee to summon him over what the chamber termed frivolous charges. But after the committee summoned the AGF to appear before it on June 24, he stayed away and instead asked the committee to reschedule his appearance. However at the rescheduled meeting on June 30, the AGF still failed to appear and instead sent a presidential aide, Okoi Obono-Obla, to represent him. Obono-Obla, while appearing briefly before the committee, accused it of lacking the jurisdiction to summon the AGF. He

also said the AGF did not have confidence in the committee. The committee thereafter walked him out of the meeting. As a result, the committee chairman, Senator David Umaru, reported to the Senate that the AGF failed to appear twice before it, adding that he only sent Obono-Obla to represent him at the rescheduled meeting. Umaru told the Senate that the committee rejected Obono-Obla because he was not the one invited. He also disclosed how the Buhari’s aide on National Assembly Matters, Senator Ita Enang, had apologised to him over the comment made by ObonoObla that the committee had no jurisdiction to summon the AGF. He also said the AGF had thereafter requested more time to enable him physically appear before the committee. Responding, Saraki said since the AGF had requested more time to appear before the committee, it was only right for the Senate to give him another chance, failing which he said the law would take its course. “We all heard the explanation of the Chairman, Judiciary Committee. And what he is trying to get across to us here is to tell us the status of the situation because what we had been reading in the newspapers was of great concern - where the number one judicial officer of the country was the one flouting the constitution even though Section 89 (c) is very clear.

“But it appears from what you are saying that the Attorney General is requesting for one more chance to be given to him to appear before you. And I think as a Senate, it is always in the progress of development. As such, we will do that and ensure that he does come this time. “Otherwise, we will have no choice than to follow the constitution strictly. So you will report back to us before the end of the week to let us know the status of that situation. “If that does not happen, we will go ahead in line with the constitution very clearly,” Saraki said. However, some hours after the plenary, Malami paid a surprise visit to the Senate, during which he met Saraki and also briefly met the committee to apologise to it for his absence twice. THISDAY learnt that Malami after meeting with the committee also met with Saraki and apologised for his failure to honour the invitation, resulting in his perceived disrespect for the Senate. A source privy to the development told THISDAY that Malami might have had a change of heart owing to the power of the Senate to sanction him in accordance with the constitution.

Senate Summons SGF The Senate also yesterday summoned the Secretary to the Government of the Federation (SGF), Mr. David Babachir Lawal,

FG CONFIRM HADIZA BALA USMAN’S APPOINTMENT AS NPA'S NEW MD engineering; and Sekonte Davies as executive director, marine operations. Born in 1976 in Zaria, Kaduna State, Ms. Bala Usman has a Bachelor of Science degree in Business Administration from Ahmadu Bello University (ABU), Zaria, and a postgraduate degree in Development Studies from the University of Leeds, UK. She was until her appointment the chief of staff to the Kaduna State Governor, Nasir el-Rufai. In another development, the Minister of Transportation, Mr. Chibuike Amaechi, has lamented the absence of a national transportation policy since the country attained independence in the 1960. Speaking yesterday at a workshop organised by the ministry on road transport management and mass transit operations in the country in Abuja, he said the road system was bedevilled by a wide range of problems which required a multifaceted approach to resolve. Amaechi, while commending the

Ministry of Power, Works and Housing and its counterparts in the states for doing great work on road design, however expressed concern that several states do not have urban road designs and those who claim to have them are hampered by obsolete policies. He said the ministry had been complacent about developing a sound regulatory framework for the transportation industry, adding that it was work in progress. He added: “The inability of successive governments to provide a nationally funded efficient mass transit system or a private sector-driven mass transit system, and better still, a PPP arrangement, is responsible for the continuous rise in individual road travel, the proliferation of commercial fleets of buses and the attendant consequences of insecurity and discomfort.” In his remarks, the Emir of Kano, Sanusi Muhammad, said the government should as a matter of urgency put in place a framework that would encompass synergy among ministries

and agencies for effective service delivery. He said: “Very often in this country we do not give as much focus as we should on the organic link between the objectives, our strategies, processes, procedures and the results. “One example I have always given is the power sector in Nigeria. But the truth is, I don't know about now, but at the time I was in government, could anyone legitimately hold the power minister responsible for delivering power? “PHCN was being privatised by the Bureau for Public Enterprises, the Ministry of Petroleum Resources is responsible for gas, regulation and pricing is done by the NERC, which is an independent body.” According to him, there was need to have some framework for coordination, harmonisation, for a clear division of roles and responsibilities, and to ensure that everything is mainstreamed into one strategic objective. “So whoever is responsible for any part of the transportation chain

should have a forum where you come and coordinate,” he said. At the workshop, the minister and emir used the occasion to settle the minor disagreement that reared its head recently when Sanusi disclosed that it was Amaechi who had leaked the letter he had written when he was governor of the Central Bank of Nigeria (CBN) to former President Goodluck Jonathan on the nonremittance of $49 billion by the Nigerian National Petroleum Corporation (NNPC) to the Federation Account. The minister, who was the first to deliver his paper, said the former CBN governor used to be his friend, but the relationship had become strained recently, perhaps due to what he described as the retinue of people around the emir. In an apparent show of camaraderie, Sanusi shook hands with Amaechi warmly and said: “I assure Rotimi Amaechi of my constant and sincere friendship as he continues to drive the Ministry of Transportation to greater heights.”

to appear before its Joint Committees on Ethics, Finance and Appropriation to clarify the statement credited to him that the federal government would not implement constituency projects as contained in the Appropriation Act. The resolution was the fallout of a point of order raised by Senator Mathew Uroghide (Edo South), during which he said his privilege had been breached by Lawal over the latter’s comment that the provision of constituency projects in an Act duly passed by National Assembly and assented to by the president would not be implemented. The Senate, accordingly, asked the committees to grill the SGF and report

their findings to the chamber before the end of the week. According to Uroghide, a declaration that constituency projects will not be implemented would amount to a deliberate violation of the Appropriation Act as well as a deprivation of their constituents from the opportunities to enjoy the benefits of constituency projects. However, the point of order polarised the Senate into two camps as some All Progressives Congress (APC) senators disagreed with Uroghide, a Peoples Democratic Party (PDP) senator, saying that the SGF was neither the Minister Continued on page 9

INEC RECOGNISES MAKARFI-LED PDP LEADERSHIP “As at this evening, we received 19 candidates from 19 political parties for the up coming Edo State governorship election. This includes the candidate of the Makarfi-led faction of the PDP. We received the candidate of the Makarfi-led faction because of the Port Harcourt court judgment plus the fact that we monitored its primary,” he said. A source within the ranks of the Sheriff faction also confirmed to THISDAY yesterday that they had suffered a setback and that INEC had opted to recognise Ize-Iyamu as the PDP governorship candidate. The spokesman of the PDP caretaker committee, Dayo Adeyeye, told journalists yesterday that the party had submitted the name of Ize-Iyamu as the PDP candidate to INEC for the Edo State governorship election. Also, the secretary of the committee, Senator Ben Obi, confirmed to THISDAY that the name of the party’s candidate for the state gubernatorial contest, Ize-Iyamu, was submitted yesterday by the Markarfi-led leadership of the party. Obi said: “Yes, we have submitted Ize-Iyamu’s name to INEC and the commission received it today (Tuesday).” THISDAY also gathered that INEC, which had been watching the legal wranglings over the leadership of the PDP, took a stance yesterday when it was handed the certified true copies of the various court pronouncements in favour of the Makarfi-led caretaker committee. Meanwhile, INEC has said it has begun the training of personnel to handle smart card readers for the upcoming re-run legislative elections in Imo and Kogi States. Dazang told journalists in Abuja that the personnel being trained included those for polls that would also take place in Rivers

and Kano States. The commission had suspended re-run elections in the affected states ordered by the courts due to the violence and massive malpractices when the rerun polls were conducted between February and April 2016. Dazang said INEC was working hard to ensure that the re-run elections in the four states are successful, adding that the commission was still in talks with stakeholders in the affected states as part of preparations for the elections. “Our Information and Communications Technology (ICT) staff are already in those states training people on the use of smart card readers. “In addition, you know we had mobilised for the election before we suspended them, so we have the right complement of staff. “We are also working with the National Youth Service Corps (NYSC) and tertiary institutions on the needed ad hoc staff that will complement our staff,” he said. According to Dazang, Resident Electoral Commissioners (RECs) in the various states had also been engaged, as part of the preparations for the elections.

TOP GAINERS NGN NGN % NAHCO 0.19 4.05 4.9 FIDELITYBANK 0.05 1.19 4.3 AIICO 0.05 1.70 3.03 DIAMONDBANK 0.03 1.92 4.1 ACCESSBANK 0.20 5.60 3.7 TOP LOSERS NGN NGN % GSK 2.01 18.77 9.6 SKYEBANK 0.06 0.73 7.5 TRANSEXPRESS 0.08 1.02 7. OANDO 0.44 7.01 5.9 FORTEOIL 8.59 163.31 5.0 HPE Nestle Nig Plc ₦852.00 Volume: 207.623 million shares Value: N3.640 billion Deals: 4,542 As at 12/07/16 See details on Page 47

T H I S D AY • WEDNESDAY JULY 13, 2016

PAGE NINE

Four Killed, 250 Displaced after Deadly Clash between Fulani Herdsmen and Niger Community No fewer than four persons were killed and 250 others have been displaced due to a clash between Fulani herdsmen and Gbagyi farmers in Niger State. The News Agency of Nigeria (NAN) reported yesterday that the clash led to the death of four persons and destruction of property in Bara-kuta in Bosso Local Government Area on Friday. Ahmed Inga, Director General, Niger State Emergency Management Agency (NSEMA), made this known to NAN in Minna yesterday. He said the displaced people were being resettled in a school in Bosso while reconciliation was ongoing towards returning them to their homes. “The state government

has established links with the herdsmen and the farmers towards restoring lasting peace in the area to enable the Gbagyis go back to their homes and attend to their farms. “We have to do everything possible to make sure that peace returns to the community to ensure the security of lives and property,” he said. Inga said the peace initiative was being brokered by the state’s Commissioner for Sports Development, Mamman Bosso, the Emir of Minna, Umaru Bahago, as well as security agencies. The director general added that 167 houses were burnt while 17 motorcycles and other property were destroyed during the clash. He said the state

government had provided food, medicals and security for the IDPs in the camp. Inga said relief materials were also being provided to the IDPs by NGOs, religious bodies and individuals in the state. Salamatu Bala, one of the IDPs and a mother of three, called on the government to speed up the process of returning them to their homes. “We thank government and others for taking care of us here. But we want to go back home to build back our lives as we have lost a lot from this incident,” she said. Governor Sani Bello had visited the community on Monday where he sued for peace and pledged to bring the perpetrators of the violence to book.

Bello

Nigerian Surgeon Discovers Possible Cure for Malaria The adult human facial sebum (oil) contains potent mosquito repellent properties, says a Nigerian facial surgeon, Dr. Bayo Aluko-Olokun. Aluko-Olokun, a facial surgeon at the Department of Facial Surgery, National Hospital, Abuja, made this known yesterday in Abuja. The expert said he made the discovery after conducting studies at the National Post Graduate Medical College of Nigeria, Lagos, in 2015, by testing the reaction of life mosquitoes to sebum-coated paper, P.M. News reported yesterday. According to him, he

applied the sebum to a piece of paper and placed it beside another with no substance applied in a transparent 70ml glass bottle. “Evidence of mosquito bite is often seen on the face of children in the third world. This is rarely seen in adults as adults produce copious facial skin sebum in contradistinction to children. “Five live mosquitoes were introduced into the bottle and the highest number of mosquitoes standing on each piece of paper at any point in time was noted over 50 minutes.

“The total length of time in seconds, during which there was at least one insect on each piece of paper was also noted and comparison of the results was then done. “Up to three mosquitoes perched on the uncoated paper at the same time while none did on the sebum-coated paper. “The total period of time during which at least one mosquito was found perching on the uncoated paper was 2,851 seconds out of 3,000, while zero seconds was recorded for the sebum-coated paper out of 3,000 seconds. “The results of this

preliminary study appear to indicate that human facial sebum holds promise as a mosquito repellent and this calls for further study of this phenomenon,” AlukoOlokun said. He said that this finding was published in the Volume Two, 2016, issue of the Research Journal of the University of Mauritius. He said presently, the Department of Chemistry and Entomology, University of Ilorin, was carrying out further studies on the properties of the sebum to reveal the active principle. However, he called on stakeholders and the international community

to key into the discovery by undertaking more studies and research on the properties of the sebum as a likely repellent against mosquito bite. He said that this study could help end the scourge of diseases caused by mosquito bites such as malaria, dengue fever, Japanese encephalitis and the microcephaly known as the Zika virus. He said that the dengue fever afflicted up to 580 million individuals yearly while the Japanese encephalitis had a fatality rate of 0.3-60 per cent. According to AlukoOlokun, malaria accounts

for more than a million deaths yearly mostly involving children. “Most of these deaths occur in low-income countries where citizens are unable to afford mosquito repellents,” he said. He said that the search for a cheap, natural, effective and harmless alternative to currently available proprietary products could yield positive results and benefit the people. Aluko-Olokun said that apart from its medical implications, his finding could also have a positive effect on pest control in the pharmaceutical, food and beverage industry.

divided at plenary yesterday during the debate on the proposal seeking to extend the immunity clause in the constitution to presiding officers of the National Assembly. The bill, seeking an alteration of Section 308 of the 1999 Constitution, provides immunity for the Senate President, Deputy Senate President, Speaker, Deputy Speaker and presiding officers of state Houses of Assembly. The bill, sponsored by the Minority Leader, Hon. Leo Ogor, however turned the plenary into a rowdy session with proceedings stalled for about 25 minutes. Ogor, who harped on the need to establish the independence of the legislative arm of government, argued that immunity would protect the presiding officers from unnecessary distractions. “We all see what is happening in the Senate,

with the Senate President and his Deputy,” Ogor said, adding that if both presiding officers have to appear in court, the Senate would not be able to sit. His argument was buttressed by Hon. Ossai Nicholas Ossai who noted that the current constitution was produced by the military government and therefore only takes into consideration, the interest of the executive. “It behoves National Assembly members to protect the institution... when you protect the legislature, you protect the people, and it is the people who mandated the executive to implement laws,” Ossai said. Bur Majority Leader, Hon. Femi Gbajabiamila, had a contrary opinion and opposed the amendment. He hinged his opposition on what he said was the wrong timing, due to the situation in the Senate where Saraki and

Ekweremadu are being tried for criminal offences. Gbajabiamila also argued that there was no country where the head of legislature enjoys immunity while in office. As Speaker Yakubu Dogara made to rule, to refer the bill to the Special Ad hoc Committee on Constitutional Amendment, since it is a matter for constitution alteration, several lawmakers began to voice their opposition without prompting. They insisted that the bill be “killed” and not referred to the committee. Hon. Aliyu Madaki, speaking into the microphone while the rowdiness continued, said it was a matter of integrity for the lawmakers. Proceedings were stalled as lawmakers left their seats to confer with others, while others stood still in clusters and were observed holding intense arguments.

SENATE THREATENS TO IMPEACH BUHARI AS MALAMI MEETS SARAKI of Budget and National Planning nor Minister of Finance and hence should not be taken as speaking for the government. But Saraki, who presided over the session, said the summon of the SGF would provide an avenue for him to make a clarification on the comment. Supporting the motion, Deputy Senate Leader, Bala Ibn Na'Allah, described the SGF as an “improper authority” on budget matters and advised the Senate not to take comments made by him as representative of the executive. But Saraki counselled the senators to leave the SGF to come and defend himself instead of defending him on the floor of the Senate. Earlier, Senate Deputy Minority Whip, Biodun Olujumi, described the SGF's comment as “grossly careless”, just as she urged the Senate to reject a situation where appointees of the president

would disparage the Senate, a body of elected representatives. She also argued that comments from the SGF were reflection of the federal government's policy statement. Also yesterday, Lawal and the Foreign Affairs Minister, Ambassador Geoffrey Onyeama, told the Senate Committee on Foreign Affairs that the list of 47 ambassadorial nominees forwarded to the Senate last month by Buhari could not be altered. The government officials said the nominees were selected based on the prerogative power of the president, adding that Buhari was not obliged to spread the nominations across the 36 states of the federation like the case of ministerial nominees. They had been summoned following allegations of lopsidedness in the nominations as well as petitions alleging the exclusion of nominees from Ondo, Bayelsa, Ebonyi and

Plateau States. But the SGF insisted that the nominations were predicated on certain criteria, adding that selections were made from 32 of the 36 states of the federation which he said showed substantial compliance with the federal Character principles. He listed another criterion used in the selection besides their respective records of service as “change compatibility value of the nominee in line with the change agenda of the present administration”. However, the SGF and the minister assured the committee that the four states left out of the list would be compensated in the non-career list, which they said would soon be forwarded to the Senate by the president.

House Divided over Immunity Meanwhile, members of the House were sharply

WEDNESDAY JULY 13, 2016 • T H I S D AY

NEWS

News Editor Davidson Iriekpen Email davidson.iriekpen@thisdaylive.com, 08111813081

NDA Claims Attack on Qua Iboe Terminal, ExxonMobil Disputes Claim Militants draw battle line with FG over Osinbajo’s comment

Okon Bassey in Uyo and Sylvester Idowu in Warri with agency report The Niger Delta Avengers (NDA), the militant group that has claimed responsibility for the orgy of recent bombings of oil facilities in the Niger Delta region, Monday night claimed that it breached the Qua Iboe 48-inch crude oil export terminal pipeline operated by ExxonMobil in Akwa Ibom State. However, the US oil giant disputed the claim, saying none of its facilities were attack in the state. Qua Iboe is Nigeria’s largest crude oil stream and ExxonMobil exports more than 300,000 barrels per day from its terminal in Eket, Akwa Ibom State. The Avengers had claimed in a statement that the attack was carried out at about 7.30 p.m. for ExxonMobil’s refusal to comply with its directive barring it from effecting repair works on any breached facility. According to a statement signed by its spokesman, Mudoch Agbinibo, the group said it blew up the ExxonMobil Qua Iboe 48” crude oil export pipeline at about 7.30p.m. It said: “At about 7.30p.m. the Niger Delta Avengers blow up ExxonMobile Qua Iboe 48” crude oil export pipeline. When will these international oil companies (IOC) learn to listen? We (Niger Delta Avengers) said no export.” But ExxonMobil dismissed the claim, stating that no attack had taken place at its facilities. “There were no attacks on our facilities,” said Exxon Mobil spokesman Todd Spitler. THISDAY investigations however revealed that the Niger Delta Avengers were fooled by locals engaged for the attack on the Qua Iboe facility. Security sources disclosed that investigations had indicated that the leadership of the Avengers had solicited the assistance of

local militants in the area to breach the oil facility. They said the locals refused to carry out the attack, but claimed to have done so which informed the claim by the Avengers. “Contrary to earlier information at our disposal, the local militants engaged by the NDA, refused to carryout the attack. Instead, they told the leadership that the exercise was executed and even gave the time when it was carried out. “That informed the statement by the NDA, but unknown to them the attack was not executed. Those they approach don’t want to be part of the struggle which is seen as Ijaw matter and is being carried out for selfish reasons,” one of the security sources said. The spokesman of Joint Task Force in the Niger Delta, code named Operation Delta Safe, Colonel Isah Ado, refused to pick calls or respond to text messages for clarification on the alleged attack on the Qua Iboe facility. Meanwhile, a coalition of Niger Delta militant has drawn a battle line with the federal government over Vice President Yemi Osinbajo’s recent outburst on them. The militant groups namely the Niger Delta Volunteers (NDV), Niger Delta Peoples Liberation Movement (NDPLF), and Bakassi Freedom Fighters (BFF) jointly berated the Vice President for saying that the militants were fighting for their pockets and not for the interest of the people of Niger Delta region. The Vice President was said to have blamed the Niger Delta militants for present economic situation in the country at a lecture on “The future: Here earlier than we thought,” delivered at the second Foundation’s Day Lecture of Elizade University, Ilara Mokin in Ondo State. The militants in a joint statement signed by the group

NEMA Delivers Food, Drugs to Borno IDPs Michael Olugbode The National Emergency Management Agency (NEMA) has supplied assorted food items and nutritional supplements to the Borno State Government to tackle the malnutrition problem in some of the Internally Displaced Persons (IDPs) camps in the state. The Zonal Coordinator of the agency in the North-east, Mohammed Kanar, who handed over the items to the state Deputy Governor, Usman Durkwa, in Maiduguri yesterday, said this was in continuation of the Memorandum of Understanding (MoU) signed with the state government. The NEMA boss added that: “Today, as part of our partnership with the Borno State Government, we have released various assorted food items to the state government for a month.

“The items are as follows: rice, 8,000 bags of 25kg; beans, 3,000 bags of 50kg; maize, 1,200 bags and millet 1,200 bags, and all these items cover the IDP camps within Maiduguri, the state capital.” Kanar, while complaining of lack of medical doctors in satellite camps outside Maiduguri, said arrangements had been made with Nigeria Air Force to bring into Maiduguri newly rescued malnutrition persons for immediate medical services. In his remarks, Durkwa, thanked NEMA officials for the released of food items, especially the nutritional supplements, noting that it came at the right time. He said: “We are thankful for the items especially nutritional supplements, they will assist us in solving any case of malnutrition that may arise, I promise you.”

spokesmen, Ekpo Ekpo for NDV; Henry Etete for NDPLF and Asukwo Henshaw for BFF, fumed that instead of being ridiculed, the vice president should have advised President Muhammadu Buhari on how to address the injustice in the Niger Delta region. The militant group equally picked loopholes in the statement credited to President Buhari that Nigeria’s unity was not negotiable. According to the group, the

Niger Delta people are tired of one Nigeria filled with injustice, marginalisation, and oppression of other ethnic groups. They, however, vowed to resume unpleasant activities against oil companies operating in the Niger Delta region. They also urged PENGASSAN and NUPENG to withdraw their members from oil rigs and platforms for their safety during the period. The militant reminded members of the public about

the expiration of two weeks ceasefire announced on June 27 to enable the government and oil companies operating in the Niger Delta to implement their demands. The groups also condemned the newly constituted NNPC Board by the President and call for immediate sack of the Group Managing Director and replace him with an indigene of the Niger Delta. “It is an insult on the Niger Delta region that the Minister

of Petroleum who also doubles as the President of Nigeria is from the North, the Group Managing Director, Dr. Maikanti Baru and four other members of the board are also from the North,” it stressed. The EFCC was equally invited by the group to investigate what happens to the local government funds in Akwa Ibom, as in the past one year no single local government area in the state had carried out people-oriented projects.

SEEKING PARTNERSHIP

President, African Securities Exchanges Association (ASEA) and CEO, Nigerian Stock Exchange (NSE), Oscar N. Onyema (left), and President, African DevelopmentBank(AfDB), Dr.AkinwumiAdesina,atthesigningofMoUbetweenAfDBandASEAinAbidjan...yesterday

MRS Kicks, Says It’s Not Indebted to AMCON Ejiofor Alike Major oil marketing firm, MRS Holdings Limited, has reacted to steps initiated by the Asset Management Corporation of Nigeria (AMCON) to wind up its business over an N81 billion debt, stating that it is not indebted to AMCON. It stated yesterday that it obtained a syndicated loan from a consortium of banks in Nigeria for a viable project, following which AMCON took over the loan and an agreement was reached with the corporation on the restructuring of the loan to N74 billion. MRS maintained that the said debt of N74 billion had been fully repaid and expressed shock that despite having fully settled the debt, AMCON decided to re-litigate on an already concluded matter. A statement by the management of the company said: “Our attention has been drawn to a recent publication by the Asset Management Corporation of Nigeria alleging that MRS Holdings Limited is indebted to it in the sum of N81 billion and that the corporation has instituted Suit No: FHC/L/ CP/923/2016 to wind up the

company over the inability of MRS to pay the alleged debt. “MRS challenges in the strongest possible terms the false claim by AMCON that MRS is indebted to it in the sum of N81 billion or any sum at all. “The correct position is that MRS obtained a syndicated loan from a consortium of banks in Nigeria for a viable project. AMCON took over the loan. However it became clear to AMCON that MRS was paying down on the loan and agreed to restructure the loan on agreed terms of N74 billion. “The said debt has since been fully settled. The terms of settlement was entered as a judgment of court on 29 June 2015, in Suit No FHC/L/ CS/1365/2015. “MRS is shocked that in spite of having fully settled the debt, AMCON has decided to re-litigate an already concluded matter. “MRS Holdings Limited understands AMCON’s statutory function to recover debts but by no stretch can this mean harassment of companies.” MRS accused AMCON of adopting a new aggressive debt

recovery drive, but stated that it had no problem with the drive insofar as it does not give AMCON a licence to embarrass and harass companies. “It is not a crime to obtain loans for viable projects. Execution of viable projects leads to job creation and growth of the economy. However, when companies that obtained loans for legitimate businesses are being harassed and embarrassed in the name of aggressive debt recovery, it signals danger for economy growth,” it stated. The oil marketer said that it had taken notice of AMCON’s “frivolous recovery cases against many companies” on similar issues as MRS, adding: “Not surprisingly all the cases were dismissed by the courts.” MRS disclosed that it was taking legal advice to clear its good name and would bring the necessary action to seek damages for the embarrassment and damage caused the company’s reputation and goodwill by AMCON’s publication and action. The company assured all its customers and business associates that the reports would not affect the company

and its subsidiaries’ high quality services that it had always been known for, adding that it would seek redress for the damage caused by the publication. It also assured the general public that MRS Holdings Limited and its subsidiaries would continue to transact their businesses with the highest ethical standards and in accordance with the extant laws of the country. AMCON in a statement on Monday said it had initiated steps to wind up MRS Holdings over the inability of the oil marketer to pay N81 billion owed the corporation. According to the statement from AMCON, it commenced the winding-up proceeding against MRS Holding Limited owned by top businessman, Alhaji Sayyu Dantata, at a Federal High Court, Lagos, after all entreaties it made to Dantata and MRS to settle the outstanding debt failed. As a result of this, AMCON explained that it had asked the Federal High Court, Lagos Division, to allow it force the insolvent MRS, a major player in the downstream sector of the oil and gas industry in Nigeria, into compulsory liquidation.

WEDNESDAY JULY 13, 2016 • T H I S D AY

NEWS

Fitch Reviews Bank Ratings in Line with Nigerian Downgrade Downgrades FirstBank, UBA, expects banks to remain profitable in 2016 s S&P cuts Skye Bank’s rating ObinnaChima Fitch Ratings has reviewed its ratings on Nigerian banks. This, according to the international agency, was prompted by its recent downgrade of Nigeria’s long-term foreign currency Issuer Default Rating (IDR) to ‘B+’ from ‘BB-’ as well as the country’s long-term local currency IDR to ‘BB-’ from ‘BB’. To this end, the agency with dual head office in London and New York, downgraded First Bank of Nigeria Limited and United Bank for Africa’s (UBA) long-term foreign currency Issuer Default Ratings (IDRs) to ‘B’ from ‘B+’. Nevertheless, the international agency in a statement yesterday, explained that the outlook of the two financial institutions remained stable. The agency has also downgraded the National LongTerm Rating of FBN Holdings Plc (FBNH), the parent holding company of FirstBank, to ‘BBB+(nga)’ from ‘A(nga)’. FBNH’s National Long-Term Rating is downgraded to ‘BBB+(nga)’ from ‘A(nga)’ and National ShortTerm rating to ‘F2’ from ‘F1’ to reflect the negative pressure on the standalone credit profile of the main subsidiary FBN. Stanbic IBTC’s and Stanbic IBTC Holding Company’s National Ratings have been affirmed and are based on the probability of support from their parent, Standard Bank Group Limited (SBG; BBB-/Stable). Also, the senior debt ratings of Zenith Bank, Access Bank, Guaranty Trust Bank (GTBank), Diamond, Fidelity and Wema are affirmed in line with their respective Long-Term IDRs.

Continuing, it stated that the subordinated debt ratings of FBN (issued via FBN Finance BV) and Access are rated one notch below their respective VRs to reflect higher-thanaverage loss severity for subordinated relative to senior debt. “Zenith and GTB would only be downgraded if their VRs are downgraded. FBN’s, UBA’s, Access’s and Wema’s IDRs would only be downgraded if both their VRs and their SRFs are simultaneously downgraded and revised lower (the banks (GTB)’ VRs and SRFs are currently at the same level). The IDRs of Diamond, Fidelity, Union and FCMB are sensitive to a revision of their SRFs reflecting a change in the probability of the sovereign to provide support. It also announced that the outlook on the long-term foreign currency IDR of Guaranty Trust Bank has been revised to stable, from negative due to continuing strong earnings and stronger-than-expected liquidity posted by the Nigerian bank. “The IDRs of UBA, Access Bank, Wema Bank (Wema) are driven by both their standalone strengths, reflected in their VRs, and by the likelihood of sovereign support, reflected in their SRFs. Their VRs and SRFs are at the same level. The IDRs of FBN, Diamond Bank, Fidelity Bank, Union Bank, and First City Monument Bank (FCMB) are driven by their SRFs. “Fitch has revised the SRFs to ‘B’ from ‘B+’ for the systemically important banks, FBN, UBA, Zenith and GTBank following the downgrade of Nigeria’s sovereign ratings. As a result, both FBN’s and

Trial and Error will Debase EFCC’s Credibility, Says Fayose Olakiitan Victor in Ado Ekiti The Ekiti State Governor, Mr. Ayodele Fayose, has said the Economic and Financial Crimes Commission (EFCC) has promoted its vendetta against opponents of the All Progressives Congress (APC) government of President Muhammadu Buhari, especially against him to the level that the anti-corruption agency is now carrying out investigations by ‘trial and error.’ In a statement signed by the Special Assistant to the governor on Public Communications, Lere Olayinka, Fayose said it was only in Nigeria that anti-corruption agency would first arrest suspect before looking for evidence for prosecution. The statement read: “Today, the EFCC demonstrated that it has been lying against Fayose and other Nigerians all along by the failed attempt it made to seal off a property located on Gana Street, Maitama, Abuja, that is being used as Guest House just because the governor used to lodge there. “It was at the point of sealing off the property that the owner of the Guest House told the EFCC officials that he only leased the property for ten years from its owner, a former Chief of Defence Staff, who was also a one-time Minister of Defence. “The EFCC operatives moved

to the next building to the Guest House, which is the residence of the retired army general and were told by the general’s wife that the building being used as Guest House and the one next to it belonged to the General not Fayose. “It is shocking that in its desperate bid to nail Fayose so as to satisfy their paymasters, EFCC is going about claiming that properties owned by other law-abiding Nigerians are owned by the governor and the result of this investigation by trial and error by the EFCC is the embarrassment it faced at Gana Street, Maitama, Abuja when its operatives went there to seal off a property belonging to a retired army general thinking that it belonged to the governor. “That was the same way they told Nigerians that they discovered mansion in Asokoro, Abuja, owned by the governor. Unknown to the EFCC, the mansion being referred to is a property rented by the Ekiti State Government and being used as Governor’s Lodge.” While insisting that whatever properties owned by the governor were acquired thorough legitimate means, the state government said. like every other Nigerians, the governor reserved the rights to own properties and can also receive money from people to fund his election.

UBA’s IDRs have been downgraded to ‘B’ from ‘B+’. The IDRs of both Zenith and GTBank are affirmed at ‘B+’ and are now driven by their respective VRs of ‘b+’,” it stated. However, it disclosed that the systemically important banks’ SRFs remain a notch below the sovereign rating, reflecting the sovereign’s weak foreign currency position. Fitch believes that the willingness of the Nigerian authorities to support domestic banks continues to be high (as demonstrated in the past). Nonetheless, it noted that government’s ability to provide support, particularly in foreign currency, was weaker due to the fall in oil prices that had eroded Nigeria’s foreign exchange reserves and foreign currency revenues. “All other banks’, apart from Wema’s, SRFs have been affirmed

at ‘B’. Wema’s SRF is affirmed at ‘B-’, reflecting Fitch’s view of the bank’s lower systemic importance. Fitch has affirmed the IDRs of all of these banks. All banks apart from Wema have Support Ratings (SR) of ‘4’ indicating a limited probability of external support. Wema’s SR of ‘5’ reflects Fitch’s view that external support is possible but cannot be relied upon. “FBN Holding is the holding company of FBN. Its SR of ‘5’ and SRF of ‘No Floor’ reflect Fitch’s view that while the Nigerian authorities’ propensity to support local banks is high, we would not expect the same level of support to apply to holding companies. FBNH’s IDR of ‘B’ is driven by the holding company’s ‘b’ VR. The latter is aligned with the VR of FBNH’s main operating subsidiary, FBN.

“The Long-Term IDRs of Zenith, UBA, Access, GTB and Wema are on Stable Outlooks as Fitch expects their VRs to remain unchanged (see below). All other banks’ Long-Term IDRs are also on Stable Outlooks, reflecting the Stable Outlook on the sovereign rating as they are driven by the likelihood of state support. The Negative Outlook on FBNH’s Long-Term IDR reflects pressure on its subsidiary FBN’s VR. VRs,” it added. Furthermore, it noted that the challenging and volatile operating environment in Nigeria and other key rating factors, particularly the banks’ financial profiles, constrained FBN’s VRs in the highly speculative ‘b’ range. According to the agency, since its last review in February 2016, the

bank’s asset quality has continued to weaken with average impaired loans (NPL) ratios of about 6.2 per cent at end-March 2016, although this is skewed by FBN’s high NPL ratio of 21.5 per cent. “Impairments in banks are increasing in the commercial, trading and manufacturing segments, mainly due to foreign currency depreciation and scarcity. NPLs in the oil sector are also rising, but most of the larger problem loans are being restructured. FBN’s high NPL ratio is mainly due to the bank’s exposure to the downstream oil sector. “Sustained low oil prices and continuing production disruptions in the Niger Delta could cause industry NPL ratios to rise more dramatically. We also expect loan impairments

Cont’d on page 48

IRONING OUT PRESSING ISSUE

L-R: Vice-Chairman, Senate Committee on Foreign Affairs, Senator Shehu Sani; Secretary to the Government of the Federation (SGF), Babachir David Lawal; and Special Assistant to the Pressident on National Assembly Matters (Senate), Senator Ita Enang, during a meeting between the senate committee, Ministry of Foreign Affairs and SGF on the exclusion of four states from the ambassadorial nominnee list in Abuja... yesterday Julius Atoi

Buhari Credits US, Jega with Making 2015 Elections a Success Outgoing ambassador expresses concern over situation in North-east Tobi Soniyi in Abuja President Muhammadu Buhari yesterday in Abuja expressed appreciation for the important role the United States Government played in the success of the 2015 general election in Nigeria. A statement by the Senior Special Assistant to the President on Media and Publicity, Mr. Garba Shehu, said Buhari spoke while receiving the outgoing Ambassador of the US, Mr. James Entwistle, at the State House. Buhari said the US insistence on free, fair and violence-free elections largely contributed to the deepening of democracy in the country. ``The US support before, during and after the 2015 elections was vital to Nigeria’s

stability and I will never forget the role they played in the stability of Nigeria. ``We were lucky to have had an INEC Chairman who was competent and courageous. ``Mr. Ambassador, you occupied a position at a very strategic time in Nigeria’s history and I hope our historians will record this because it meant so much for our stability. ``I hope you write a book on your experience in Nigeria. The commitment of US in supporting Nigeria has been unprecedented,” Buhari told the outgoing US envoy. Buhari also thanked the Americans for their military, intelligence and humanitarian support to Nigeria on the ongoing Boko Haram insurgency.

He said Nigeria valued US contributions to promoting regional peace and stability through the instrumentality of the G7. The president also received in audience the outgoing High Commissioner of Canada to Nigeria, Ambassador Perry Calderwood. The president commended the Government of Canada’s humanitarian assistance to Nigerians displaced by the insurgency in the North-east, and their commitment to polio eradication in the country. He highlighted the federal government’s effort to facilitate voluntary return of displaced persons in addition to ensuring that conditions in North-eastern Nigeria improve significantly before the next farming season.

In their separate remarks, Ambassadors Entwistle and Calderwood expressed concern on the deteriorating humanitarian situation in the North-east with looming reports of food crisis and malnutrition. Entwistle said the bilateral relationship between both countries had remained very vibrant and cordial. ``I had a marvellous threeand-half years in Nigeria and I am grateful to have been involved in the memorable elections in 2015,’’ he said. On his part, Calderwood conveyed Prime Minister Justin Trudeau’s desire to strengthen ties with Nigeria in Canada’s quest for partnership on international engagements, including its bid for a nonpermanent seat in the UN Security Council, 2021-2022.

WEDNESDAY JULY 13, 2016 • T H I S D AY

NEWS

Magu Refuses to Answer Questions on Buratai’s Dubai Property CJN, AGF, Sagay ask lawyers, judges to stop frustrating fight against corruption Tobi Soniyi in Abuja The acting Chairman of the Economic and Financial Crimes Commission (EFCC), Ibrahim Magu, yesterday in Abuja refused to answer questions relating to the property allegedly acquired by the Chief of Army Staff COAS, Gen. Tukur Buratai, in Dubai. The question about the propriety of Buratai, as a career public servant, acquiring property in foreign country has continued to dominate public discourse in recent time, with the COAS claiming to have procured the asset through savings. Magu had attended a workshop on corruption in Abuja yesterday, but was accosted while exiting the venue by journalists, who sought to know what his agency was doing on the Buratai case. The EFCC boss, who had waited to listen to the journalists, smiled and suddenly jumped into his car when a journalist asked what his agency was doing about the Buratai case. His driver promptly sped off. While speaking at the workshop, Magu expressed discomfort about the attitude of lawyers even as he accused them of constituting major “impediment to what we are doing.” He advocated the de-emphasis of human rights and other technicalities in dealing with corruption case. The EFCC boss warned lawyers against constituting themselves as stumbling block to the success of the on-going effort to tame corruption in the society. Magu, who urged lawyers to support his agency’s efforts against corrupt individuals, argued that

Okowa Proceeds on Two-week Vacation, Otuaro to Act Omon-Julius Onabu in Asaba Delta State Governor, Dr. Ifeanyi Okowa, has proceeded on a twoweek vacation and his deputy, Mr. Kingsley Otuaro, will act as governor during the duration of Okowa’s short vacation. Okowa communicated this in a letter he sent to the Speaker of the state House of Assembly, Hon. Monday Igbuya, yesterday. In the letter, the governor intimated the state lawmakers of his intention to proceed on vacation from July 5 to July 20, 2016. The terse letter said: “I send warm greetings to the Right Honourable Speaker and write to intimate the Honourable House that I would be proceeding on vacation from July 5-20, 2016. “In accordance with Section 190 of the Constitution of the Federal Republic of Nigeria as amended, His Excellency, Barrister Kingsley Otuaro, the Deputy Governor of Delta State, shall perform the duties of my office as Acting Governor during the period of my absence on leave. “I will greatly appreciate if the foregoing is placed before the Honourable House for information.”

what should motivate every Nigerian today should be national interest and the survival of the country. The event was a workshop on ‘anti-corruption, ethics of the legal profession and justice sector’, organised by the Nigerian Bar Association (NBA) and the Presidential Advisory Committee Against Corruption (PACAC). Magu said: “When I learnt about this event, I said let me rush to see these people who have been causing a lot of impediment in the work that we are doing. “And I said let me also come and beg you to please join us so that we can tackle corruption together in a better way. And it is for the

betterment of our country. I want to appeal to you that we should play by the rule. “We should de-emphasise the issue of human rights. Frankly speaking, what is important now is the interest of the nation. We should put the interest of the nation ahead any other interest.” He also expressed dismay at the volume of public funds taken out of the country and cited an instance where somebody took $2.1billion and transferred it out of the country. He however did not give details of the case and the person involved. Magu urged legal practitioners to always play by the rule and avoid

being used by corrupt elements to pervert justice adding that. “What is important is the interest of the nation which should be placed above any other interest.” He decried the attitudes of some lawyers, whom he said compromised their responsibility to the society and aid criminals to escape justice. The agency chairman noted that lawyers have a greater stake in the anti- corruption war more than any other class of professional. Magu, who reiterated his agency’s commitment towards curbing money laundering, said: “We will not stop going after people who are involved in

laundering money. It doesn’t matter who you are, the law is a respecter of nobody especially those who commit crime. “Whether you are EFCC, SAN or whatever, sooner or later we will start going after people who buy properties with stolen funds as well as people who help others to escape justice.” He said the EFCC would not be able to stamp out corruption in the country without the support of all stakeholders. “We consider everybody a stakeholder, as the EFCC does not have monopoly of knowledge to defeat all shades of graft,” Magu said.

Meanwhile, the Chief Justice of Nigeria (CJN), Justice Mahmud Mohammed; Attorney General of the Federation (AGF) and Minister of Justice, Abubakar Malami (SAN), and Chairman, Presidential Advisory Committee Against Corruption (PACAC), Prof. Itse Sagay (SAN), yesterday in Abuja asked lawyers and judges not to frustrate government’s ongoing efforts to curb corruption. They all spoke in Abuja at a workshop on ‘Anti-corruption, ethics of the legal profession and justice sector’ organised by the NBA and the PACAC. They called on judges and lawyers not to compromise their professional ethics.

T H I S D AY WEDNESDAY JULY 13, 2016

T H I S D AY • WEDNESDAY, JULY 13, 2016

COMMENT

Editor, Editorial Page PETER ISHAKA Email peter.ishaka@thisdaylive.com

WHY THE PEOPLE DESERVE APOLOGY Last Thursday’s public holiday was unnecessary, argues Sonnie Ekwowusi

o the best of my knowledge, the federal government hasn’t apologised to the people for the colossal damage suffered by the nation as a result of last week’s Eid-el-Fitri holiday fixing faux pas. This is sad. A government that is responsible to the people will not hesitate for a moment to apologise to the people when its acts or omissions have occasioned harm to the people. In other climes, a government that has bungled a public holiday fixing or announcement resulting in damage to the people will humbly come out and tender an apology. The organised private sector claimed the nation lost about N138 billion or more last week to the three-day public holiday. In addition to the monetary loss, Nigerians who had scheduled to carry out some work last Thursday in this age of recession couldn’t do so owing to the sudden declaration of Thursday as public holiday. Awaiting-trial-inmates who would have been taken to court on Thursday for bail consideration lost the opportunity of being granted bail. Justice was in limbo last week. Court cases fixed for last Thursday have been adjourned either to October or November 2016. Banks shut down their operations. Consequently bank customers who wanted to carry out urgent bank transactions couldn’t do so. Treasury bills auctions and maturities scheduled for execution last Thursday were put off. Foreign investors who had arrived Nigeria to attend a Thursday business meeting could not do so due to the impromptu holiday. School children writing exams were confused about what to do. Hospital appointments were cancelled or extended. The list of incurred damage and losses is endless. Permit me to repeat what has been said by so many people: Government is not instituted among men to inflict pains on the people let alone to blackmail them. The raison d’être of government is to render service to the people. That is why government is not the personal enterprise of anybody. You cannot run a government as if you are running a personal fiefdom. Government is a serious business in the sense that it is entrusted to some to administer in order to promote the common good. By the Greek classical definition, democracy is a government of the people by the people and for the people. By voluntarily entrusting to a few elected people the responsibility of governing their affairs, the people have not relinquished their power. Power truly belongs to the people. To be precise, sovereignty, in presidential democracy, resides with the ordinary people who queued up on the Election Day to vote for the people now in power. Therefore, elected public officials should be responsible and accountable to the people. Elected public servants should govern according to the wishes of the people not according to their own idiosyncrasies. After the Minister of Interior, Abdurrahman Dambazau, declared on behalf of the government that last Tuesday andWednesday

were public holiday in Nigeria to mark the Eid-El-Fitri, most Nigerians accordingly readjusted their activities to accommodate the aforesaid days. Then on Wednesday rumours were rife that the federal government had decided to extend the holiday to Thursday. Initially, we all thought that the rumours were false. But before we knew it, the rumours were confirmed as truth. Thursday became an additional public holiday by their command. No prior consultation with the people of Nigeria before the extension. No apology for the extension. No reason for the extension except the reason given by the Permanent Secretary Bassey Okon Akpanyung that the Sultan of Sokoto and President General of the Nigerian Supreme Council for Islamic Affairs, Alhaji Sa’ad Abubakar 111 wanted the fast to continue “as a result of the non-sighting of the moon”. The logical questions are: Was the Sultan speaking for himself or for the government? Did the government consult the Sultan before earlier declaring Tuesday and Wednesday as public holiday? If the government was grossly negligent in doing so, is it not reasonable for the government to issue a public statement admitting its error and pleading for a holiday extension? It must be stated that Eid-El-Fitri is an important Muslim Feast. With its enduring message of humility and self-sacrifice, the Eid-El-Fitri is one of the Muslim feasts that should be marked with deep reflection and big celebration on a public holiday. But things should be done properly. Nigeria is no longer under a military regime which operated through military commands. The present Buhari government is a civilian government that ought to operate through well-laid down laws and rules. Therefore the federal government should have diligently carried out the necessary consultations before coming out to announce to the public that specific days had been fixed as public holiday. The government cannot after declaring certain days as public holiday turn round to unilaterally and capriciously declare additional holidays. The law establishing public holidays in Nigeria is the Public Holiday Act 1979. The law empowers either the President or the Governor of a state to declare a public holiday but there is no provision in the act for extension of public holidays. Therefore, to the extent that last week’s extension of public holiday to Thursday is in conflict with the Public Holiday Act and to the extent that the extension was harmful to the people of Nigeria, the extension was illegal and against public policy.

ELECTED PUBLIC OFFICIALS SHOULD BE ACCOUNTABLE TO THE PEOPLE

Consequently it is logically and natural that the federal government should apologise to the people for the hardship and damage which they have suffered as a result of the impromptu holiday extension. That is the only way to assuage the pain and anger of the public on the vexed subject matter.

ANAMBRA’S GOVERNORSHIP RACE IS ON!

Chuks Iloegbunam peeps into the premature campaigns and predicts the outcome

uddenly the war of words on the Anambra State gubernatorial election, which is 18 months away, has erupted – like a violent volcano. All over the Internet, and via radio stations, expletives are pouring out in torrents. Analysing the verbal and written effluvium, one conclusion is inevitable. The invectives are the handiwork of hatchet men – bloggers, ghost writers and voiceovers – in the employ of aspiring gubernatorial candidates, the coterie of pedestrian politicians that covet Anambra’s governorship. They are in all shades and sizes, colours and configurations, these pretenders already dreaming of when they would be sauntering the grounds of Government House, Awka. But wishes are not horses. Otherwise, beggars would enjoy jolly rides. The governorship of Anambra State cannot be defined by (and confined to) the phantasmagoria of political Lilliputians. This is because the envisaged size and complexity of a structure determines the sum and the architectural design to be deployed into its construction. Similarly, a political entity of Anambra’s ramifications cannot be left to the devices of fly-by-night businessmen, exponents of unverifiable school certificates, and reluctant respondents to a bundle of lawsuits questioning their credit worthiness. No, that would amount to wilfully letting a bull into the china shop, or wolves into a fowls’ pen. Anambra State has long put behind it the unflattering scenario of its affairs being directed by carriers of verbal diarrhea, characters of the dangerous fringe that mistake diatribe for discourse, and confuse declamation with dialogue.

One of the political hirelings came complete with claims to “expertise” in Anambra’s affairs. He was on the Internet throughout last week, and also shuttling between commercial radio stations, levelling allegations that he cannot substantiate, libelling the innocent because he knows he will never submit himself to the public scrutiny that demands his submission of a scintilla of proof in support of his wild utterances. It is laughable, for instance, to charge that the Anambra State governor now resides at Owerre Nkworji when the world knows that he sits solidly at the seat of power in Awka, expertly directing the affairs of his state. But such is the nature of the outlandish stories currently in circulation. The whole thing is like a man and his son spending an entire day in the farm, tilling the earth, only for a total strange to arrive their home while the father is having a shower and claim fatherhood of the son, on the grounds that the real father had forfeited that role, having spent the entire day inside an ogogoro bar. The son will spit tufia! and chase the intruder from their home, certain that he is the one inebriated. Rejection awaits those wandering through uncharted courses, claiming that the earthbound has crushed the airborne. They will don the cloak of repudiation in the fullness of time. One of them condemned the three flyovers constructed by the Anambra government in Awka, because none of them is five kilometres long! But even the Niger Bridge on the lordly River Niger, which links Onitsha in Anambra State and Asaba in Delta State, is only 1.4 kilometres long! Why should Governor Obiano build a five-kilometre flyover

on a road intersection whose circumference is in metres? Should the sane purchase a 550kva generator to power a one-bedroom apartment? Sometimes, people talk as though they have numskulls for audience. The three flyovers hang over the busy intersections of Amawbia, Aromma and Kwata Junctions – all on the Onitsha-Enugu expressway, which tears through the heart of Awka. When work started on the flyovers, detractors described them as giant mounds of earth waiting to disappear. Now, the earth mounds-turned-flyovers have banished gridlocks that previously made journeys through Awka a nightmare. But, instead of praises, idlers are blathering that none of them spans the distance between Tindikan and Timbuktu. It cannot work, this wave of deception camouflaged as criticism. Those bandying fairy tales should try their luck targeting juveniles. They should engage in scriptwriting for TV series like Tales By Moonlight. Or gang up with Nollywood stars like Osuofia and Ibu for generic films on magic realism. Otherwise, the politically sophisticated people of Anambra State will perpetually hold them in disdain. The feel-good-factor cannot be wished out of politics. It is all that counts when the chips are down for barnstorming and balloting. At that time, there would be little space for those hitting the gongs and chanting that their oga’s vehicle plies the Utonkon route. “No,” the scandalised electorate would counter. “We give no hoot about your oga’s route. Our only interest is the location of your own mammy wagon, and the route it covers!” These fellows that beat the gun and

commenced a race yet to be declared could use Dr. Nnamdi Azikiwe’s counsel against obscene haste, captured in two questions the late statesman asked some Second Republic charlatans: Why are you hopping deliriously about when the music hasn’t started? If you danced yourselves lame, what would you do at the outset of pulsating rhythms? Mark these words: When the music starts, Governor Willie Obiano will perform to the stupefaction of his traducers, by demonstrating that he has acquitted himself creditably in the discharge of his duties. He will recount to Ndi Anambra that, “When virtually all the states of the federation lagged in arrears of salaries, I upped pay packets and pensions across the state, and never defaulted in promptly paying them every month.” He will mention the $3.2 billion worth of investments he attracted to the state, including the following in agriculture: the $220 million EKCEL Tomato Farms in Omasi; the $160 million Joseph Agro Limited Rice Farm in Omor; the $150 million Coscharis Farms in Anaku; the $50 million NOVTEC Farm at Ndikelionwu, and the $50 million Songhai/Delfarms Integrated Organic Farm at Igbariam. Governor Obiano will reel out the roads and bridges constructed. He will boast that he ensured the proper education of Anambra’s children that resulted in their sterling performances in nationwide and international examinations and competitions. He will then sum up, more or less, in this vein: “My people, we achieved all these together, under the ambience of safety and security.” To this the people will respond: “Yes, indeed, Akpokuodike! Continue the continuous!!”

T H I S D AY • WEDNESDAY, JULY 13, 2016

EDITORIAL DEATHS FROM FOOD POISONING

There is need for people to be careful while preparing their meals

ncreasingly, many Nigerians are dying, ironically, from what ought to sustain and indeed, keep them alive. A professor of Food Science and Technology, Alfred Ihenkuronye, said recently that no fewer than 200,000 persons die annually in the country as a result of contaminated foods. “There are many avenues through which foods can be contaminated,” he said. “And when people eat these foods, they will have problems which may result in deaths”. Even if one may query the figure since statistics are often patchy, the fact of the matter is that food poisoning is a major silent killer in Nigeria today. According to the World Health Organisation (WHO), food containing harmful bacteria, viruses, parasites or chemical substances is responsible for more than 200 diseases, ranging from diarrhoea to cancers. The health body also revealed earier that “New threats to food safety are constantly emerging. Changes in food production, distribution and consumption; changes to the environment; new and emerging pathogens; antimicrobial resistance – all pose challenges to national food safety systems”. However, one of the FIVE PRACTICAL GUIDES most common food TO FOOD VENDORS poisoning in Nigeria AND CONSUMERS: KEEP is through cassavaCLEAN, SEPARATE RAW based meals. For AND COOKED FOOD, COOK instance, a common FOOD THOROUGHLY, menu in many homes KEEP FOOD AT SAFE in the South-west TEMPERATURES, AND USE called amala (yam SAFE WATER AND RAW flour meal) has in MATERIALS recent years claimed several lives. Paradoxically, cassava-based dishes are by far the commonest meals, with popular appeal to the poor. However, Cassava has one major drawback: the roots and leaves of poorly processed cassava plants contain a substance named Linamarin which when eaten is converted to cyanide, a poisonous gas which could be fatal when inhaled or ingested. Most experts argue that poor preparation of cassava meals can leave enough of the poisonous substance to cause acute intoxication, goiter and in some cases

Letters to the Editor

death. The processing often employed by the traditional methods and rural women (by crushing, soaking in water to ferment and baking) is said to be good enough to effectively contain the toxic content found in cassava, whether of the sweet or bitter variety. But these days, many of the producers adopt short-cut processing techniques as some batches may have been processed poorly, which turn out to endanger many lives. In some cases, particularly those with high cyanide level, mere exposure to the volatile substances while being processed can cause some health disorders.

T T H I S DAY

EDITOR IJEOMA NWOGWUGWU DEPUTY EDITORS BOLAJI ADEBIYI, JOSEph UShIGIALE MANAGING DIRECTOR ENIOLA BELLO DEPUTY MANAGING DIRECTOR KAYODE KOMOLAfE CHAIRMAN EDITORIAL BOARD OLUSEGUN ADENIYI EDITOR NATION’S CAPITAL IYOBOSA UWUGIAREN

T H I S DAY N E W S PA P E R S L I M I T E D

EDITOR-IN-CHIEF/CHAIRMAN NDUKA OBAIGBENA GROUP EXECUTIVE DIRECTORS ENIOLA BELLO, KAYODE KOMOLAfE, ISRAEL IWEGBU, EMMANUEL EfENI, IJEOMA NWOGWUGWU GROUP FINANCE DIRECTOR OLUfEMI ABOROWA DIVISIONAL DIRECTORS pETER IWEGBU, fIDELIS ELEMA, MBAYILAN ANDOAKA, ANThONY OGEDENGBE DEPUTY DIVISIONAL DIRECTOR OJOGUN VICTOR DANBOYI SNR. ASSOCIATE DIRECTOR ERIC OJEh ASSOCIATE DIRECTORS hENRY NWAChOKOR, SAhEED ADEYEMO CONTROLLERS ABIMBOLA TAIWO, UChENNA DIBIAGWU, NDUKA MOSERI GENERAL MANAGER pATRICK EIMIUhI GROUP HEAD fEMI TOLUfAShE ART DIRECTOR OChI OGBUAKU II DIRECTOR, PRINTING PRODUCTION ChUKS ONWUDINJO TO SEND EMAIL: first name.surname@thisdaylive.com

TO OUR READERS Letters in response to specific publications in THISDAY should be brief (150-200 words) and straight to the point. Interested readers may send such letters along with their contact details to opinion@thisdaylive.com. We also welcome comments and opinions on topical local, national and international issues provided they are well-written and should also not be longer than (9501000 words). They should be sent to opinion@thisdaylive.com along with the email address and phone numbers of the writer.

MODEST ACCOMMODATION FOR ABUJA RESIDENTS

ears back, when the idea of Abuja was mooted as the site for Nigeria new capital city, sceptics thought it was a tall ambition. Today, the dream of yesteryears has become a reality. Abuja is one of the most beautiful and fast growing capital cities in the World. It is the centre of unity. Many Nigerians of different ethnic groups, religious and creed flock to the Federal Capital Territory for jobs. About 20 years ago, you could play football on many streets of Abuja without hazards, most especially at weekend. Now, it is a different story. Abuja is now teeming with people, almost stripping the population that was envisaged for it. The resultant effect of this is stress on the facilities within the city. Of all the problems, accommodation is the major one. The middle class and junior level citizens find it extremely difficult to have good places to live in. Expectedly, there are the concomitant environmental hazards calling on the authorities for solutions which successive administrations have been battling with. It will be recalled that during the regime of President Olusegun Obasanjo between 1999 and 2008, the desire to sanitise Abuja was pursued with zeal and gusto by the then Minister for Capital Territory, Mallam Nasir El-Rufai, now the Governor of Kaduna State. The man who did not mind whose ox was gored vigorously tried to beat back the haphazard development in Abuja to the

he most endangered, according to experts, are people who are already malnourished as they lack the proper mix of amino-acids which are vital ingredients in detoxifying the poison. Sometime ago, three patients were rushed to the Accident and Emergency Ward of the Lagos University Teaching Hospital after eating a meal of “eba”, perhaps the most popular cassava food variety, in a case Dr. Akintonwa Tunwashe described as “fatal cyanide poisoning.” The patients reportedly vomited besides complaining of abdominal pains immediately after the meal. Tunwashe, who is of the department of pharmacology of the University, said the patients later became unconscious and diagnosed of renal failure. They died shortly of cardiac- related diseases. He said that the cassava meal they took must have slowly released cyanide and “this may have been responsible for the death of the patients.” What is not in doubt is that cassava has been a staple food in Nigeria for a long time. To that extent, experts are agreed that the present mode of processing cassava for any of its varieties - gari, amala, fufu, tapioca, etc., are good enough to reduce the harmful cyanide content to below toxic level. On the way forward, WHO offers five practical guides to food vendors and consumers for handling and preparation: Keep clean, separate raw and cooked food, cook food thoroughly, keep food at safe temperatures, and use safe water and raw materials. What the authorities must now do is a campaign to sensitise the public about these measures.

original comprehensive plan for the capital city. Before then, the Federal Capital Territory had almost literarily become a slum, a big village and theatre of the obscene. It was indeed, a replica of the old Oshodi Market where citizens built houses in wrong places and sold wares on the streets. Back with requisite political will, El-Rufai journeyed in the seemingly dark and dangerous forest where the devil itself feared to tread. Today, Abuja is a success story. Kudos to the petite governor who described himself as accidental public servant. After the exit of Mallam Rufai, successive ministers have in one way or the other contributed their quotas while as well erecting blocks on the solid foundation built with more or less common focus that Abuja should not degenerate. This is apparently the determination of the new FCT Minister Mallam Muhammed Musa Bello. His target goal is to provide decent and affordable houses for people of Abuja through the initiative of a new housing scheme. The minister was shocked to find that after decades of existence of Abuja, middle and junior workers could still not afford decent accommodation. Mallam Bello who strongly believes that one of the essences of good living for human being is decent accommodation has set the ball running to ensure that in the nearest future, all the civil servants in Abuja will be accommodated. Jamila Musa, Abuja

FAREWELL, SONNIYUSUF

hese words are painful. But they have to be said. Nobody. Not me. Not you. Not any of our associates and friends could imagine this turn of events. That you could be gone so soon is still a mystery to us. How could that be? When you are so full of life, promise and expectations. We all thought you will now begin to enjoy your retirement from active government service, with friends and family. All this was not to happen. Why? We do not know. But God knows. “Nothing in all creation is hidden from God’s sight. Everything is uncovered and exposed before the eyes of Him to whom we must give account” So we take solace. Not in the fact of your untimely, shocking and excruciatingly traumatic exit.

We will continue to wonder about that. We take solace in the fact that God giveth and God taketh. “Not a sparrow falls without his consent.” So let’s take it that this is your time. The time God willed for you. Painful. Shocking. But not strange. Evil persists in the world. But light will always overcome. You are the light that has overcome darkness. God will console and care for your children, wife, relatives and friends left behind and give us all the fortitude to bear this loss. “In all things give thanks, for this is the will of God in Christ concerning you all” May the Almighty God grant you repose in his bosom and give you peace. My brother, my friend, LADO! RIP. Prince Adetokunbo Kayode, CON, SAN, FCIArb

WEDNESDAY JULY 13, 2016 T H I S D AY

T H I S D AY WEDNESDAY JULY 13, 2016

T H I S D AY • WEDNESDAY,JULY 13, 2016

MIDWEEKPOLITICS

Group Politics Editor Olawale Olaleye Email wale.olaleye@thisdaylive.com 08116759819 SMS ONLY

THE NEWSMAKER

Buhari and the Integrity Question Issues of President Muhammadu Buhari’s educational qualification and alleged sectionalism in his pattern of appointments have combined to cast a cloud of doubt on the president’s supposed integrity, writes Iyobosa Uwugiaren as he examines some of these vexing issues

t is no longer entertaining for the “Hailers” – President Muhammadu Buhari’s fans. They are fast taking over the “wailing business” from the “original wailers” – those who never believed from day one that Buhari had the wherewithal to preside over the affairs of Nigeria. A good narrative of the political activities of Buhari’s fans and supporters before the 2015 presidential election and at the early stage of his government, show that many of them built their campaign on change, hope and optimism with a supposed man of integrity, General Buhari, as a rallying point for the untelevised political revolution, which led to APC dislodging PDP in the 2016 presidential election. Indeed, they were hopeful and optimistic that their country would be free at last from the somewhat shameful administration of the country’s political affairs for 16 years by an allegedly corrupt PDP-led government. But many critical political thinkers believe that what in fact secured victory for Buhari and his party was anger and frustration of the people, against former President Goodluck Jonathan and not the PDP per se. And it appears many of the APC members and the cult-like followers of Buhari have since realised that. It is truly the anger against the inability of then government to stop the deadly activities of the terrorist group, Boko Haram; anger against poor governance by supposed “clueless” Jonathan; anger against the PDP, and for power shift from the south to the north. For many broad-minded political experts, this is what later translated into votes to reject the PDP during the 2015 presidential election, and APC/Buhari won, not on account of their vague change, which was never out forward for debate but change in the person behind the table of the president. However, going by the wailing of Buhari’s fast-depleting followership, it appears they did not actually know the President they voted for during the 2015 presidential election. They might have fallen for the staggering propaganda of the APC, domiciled in Lagos State before the election. But now, the bubble has kaput: Buhari is believed to lack political and moral integrity as unfolding events have shown in the past 365 days. For political science experts, integrity is important for politicians because they are “chosen, appointed, or elected to serve” the society, and in order to be able to serve, they postulate that politicians are given power in their positions to make, execute or control policy. In many of his political essays, Aristotle said because rulers have power, they would be tempted to use it for personal gain, adding: it is important that politicians withstand this temptation and that requires integrity. Those who have closely monitored Buhari in the past one year are of the opinion that the president has disappointingly failed the simple test of integrity – knowledge and compliance with both the letter and the spirit of the written and unwritten rules that govern Nigeria. These political experts said the president has not acted dependably, not only with what is generally accepted as moral – what many Nigerians, especially his followers, think but primarily with what is ethical – what Buhari should do based on even-handed advices. Truly so, nothing has earnestly challenged Buhari’s perceived integrity than the issue of his educational qualification he claimed to possess, his real age, and the rising nepotism in federal appointments under the president’s watch. Many questions abound about Buhari’s integrity, which currently cast doubt not only

Going by the wailing of Buhari’s fast-depleting followership, it appears they did not actually know the president they voted for during the 2015 presidential election. They might have fallen for the staggering propaganda of the APC, domiciled in Lagos State before the election. But now, the bubble has kaput: Buhari is believed to lack political and moral integrity as unfolding events have shown in the past 365 days

Buhari...the president they did not know

on his intentions since he took over the affairs of the country, but also on the source of those intentions – his personal character. Imagine this: when President Buhari was recently asked by a court of law to show proof of his mere secondary school certificate, he elected to hire the services of nearly 23 Senior Advocates of Nigeria (SANs) to appeal the ruling of Justice Adeniyi Ademola-led Federal High Court in Abuja. The court had on May 26, 2016 dismissed Buhari’s preliminary objection in a suit filed by an Abuja-based legal practitioner, Mr. Nnamdi Nwokocha-Ahaaiwe, who had alleged that the President was not qualified to aspire to his present job because he did not sit for the Cambridge West African School Certificate WASC) in 1961 as he claimed. When the suit came up on May 26, Buhari in his preliminary objection challenged the mode of service of the originating summons on him, insisting that he ought to have been served at an address in Kaduna State instead of by substituted means at the national secretariat of the All Progressives Congress (APC), Abuja. But Justice Ademola, in his ruling, held that it was incompetent and upheld the service of the originating court processes on Buhari. The judge held that the service of the court’s processes on the president through the secretariat of the APC was proper. The court was satisfied that if it was served on a senior officer of the APC at the national headquarters, it would be brought to Buhari’s attention. Perhaps, it was a messy issue that Buhari didn’t want to drag on in the court. Dissatisfied with the ruling, Buhari through his legal team, filed a notice of appeal at the Court of Appeal, Abuja Judicial Division on seven grounds. The president’s legal team, which endorsed the notice of appeal, was led by Chief Wole Olanipekun (SAN). Others are Mr. Lateef O. Fagbemi (SAN), Chief Akin Olujinmi (SAN), Oluwarotimi O. Akeredolu (SAN), Kola Awodein (SAN), Prof. Taiwo Osipitan (SAN), Charles Edosomwan (SAN), Emeka Ngige (SAN), Femi Atoyebi (SAN), Femi Falana (SAN), Funke Aboyade (SAN), H.O. Afolabi (SAN), Muiz Banire (SAN), and 10 other counsel. Shocked by Buhari’s action, some Nigerians, who reacted to the president’s disreputable certificate scandal, had questioned the president’s real intention, wondering why he needs nearly 23 legal heavy weights to argue against presenting his mere certificate if it really exists. Others wondered how long it takes to present a mere certificate and the debate over Buhari’s

approach to this is raging on the social media. Mischievously, some other commentators took notice of the fact that no northerner was on the list of the Buhari’s legal team. According to Magnus Mcpeters Abua, the President choses all his legal representatives for the certificate battle from southern Nigeria, saying, “When it’s time for appointments, he will look for northerners to occupy the positions.” For one of the Hailers, Mr. Kayode Oduoye, certificate is useless. According to him, the President might not have a certificate but he has ideas and is brave enough to tackle the challenges facing the country. “If Buhari does not possess a WAEC certificate but can bring to book all the looters of the country, then certificate is useless. It is the idea that rules the world not certificate,” he said. Enter the trending discourse on the president’s age. What exactly is Buhari’s real age? That is another growing, disappointing but trending discuss among Nigerians right now, especially on the social media. The storm started, when Buhari declared his intention to run for president in 2015. Before the presidential election, many people, including members of his party had strongly canvassed that the ageing Buhari would not be able to govern a very complex country, like Nigeria. But not for the ex-Army General, who had declared that his age would not affect the challenge of his office. Many of his followers had doggedly argued that Buhari had “the wisdom, patience, and temperance” that age brings and would bring all these virtues to the presidency to make a difference in the life of the nation. But hard as the President’s spin-doctors try to suppress the questions about Buhari’s real age, it continues to pop up. From his official profile, the President is believed to be 73 years of age, but the recent visit of President Buhari’s 1953 classmates to the Aso Villa, has opened seemingly reprehensible discussion about his real age – another vexed issue many think challenges the integrity of the once revered Army General. The argument is this: this is 2016, and from 1953 to 2016 is 63 years. Many of the wailers, who have consistently made it their duty to calculate the president’s real age recently asked “if Buhari was 10 years when he finished his secondary education? They have also asked if the Daura born President had lied about his real age. For instance, at the eve of the President’s 73rd birthday, former President Olusegun Obasanjo came to felicitate with Buhari. In what many described as “Freudian

slip, the very playful former President was said to have wished Buhari happy 78th birthday. But this, many believed further tuned the conjectures surrounding President Buhari’s real age. The question then was: could it be that Obasanjo knows what the average Nigerian does not know about Buhari, or is it that his memory is failing him? The growing preferential treatment for a section of the country – the north – by the obviously ethnocentric president, is another issue that has also challenged the uprightness of Buhari even though many Nigerians, who know the political trajectory of the president said they were not shocked about his “narrow-mindedness”, when it comes to politics. Accusing his tribesman of nepotism, a political scholar and seasoned northern politician, Dr. Junaid Mohammed, recently hauled up Buhari of surrounding himself with his relatives, those he claimed were dictating policies in Aso Villa for 170 million Nigerians. To prove his point, Mohammed, a radical politician and Second Republic lawmaker, named at least seven relatives of the president, who are holding on to power in the Villa with iron-fist such as the heads of all vital security agencies like the Department of State Security (DSS), Nigeria Police Force, Nigerian Security and Civil Defence Corps (NSCDC), Nigerian Customs Services (NCS), Nigerian Immigration Services (NIS), Chief of Defence Intelligence, Economic and Financial Crimes Commission (EFCC), National Security Adviser (NSA), Chief of Army Staff, Ministry of Interior and others, who are from the northern part of the country. “Both the President (Buhari), particularly, his principal adviser, his nephew, one nonentity called Mamman Daura, then the Chief of Staff (Abba Kyari), who in fact was brought up by Mamman Daura and the scoundrel, who is the Secretary to the Government of Federation (Babachir David), including most of the incompetent ministers are not cut out to work harmoniously in a political environment with the legislature,” Mohammed stated. A virulent critic of former President Goodluck Jonathan, and originally, a supporter of Buhari, Mohammed said nepotism had compromised Buhari’s ability to rule the country well, fight corruption, and deal with rogue lawmakers, who pose a threat to his administration. NOTE: Interested readers should continue in the online edition on www.thisday.com

T H I S D AY • WEDNESDAY,JULY 13, 2016

GLOBALWATCH

MIDWEEKPOLITICS

Obama on the Verge of History

No American president has passionately campaigned for a chosen successor in recent years as President Barack Obama did penultimate Tuesday in North Carolina for his former secretary of state and onetime political arch-rival, Hillary Clinton. Adeola Akinremi, in New York, writes that Obama seeks to protect not just his legacy but also break the succession barrier of many years

houlder-to-shoulder, America’s President Barack Obama and Democratic Party’s anointed presidential candidate, Hillary Rodham Clinton, arrived in North Carolina on a recent Tuesday with cheers and chant. The stump speeches came moment after they both stepped off Air Force One together in a camaraderie atmosphere at a place, where they were once political foes. In 2008, when Clinton faced Obama in a Democratic nomination race, North Carolina was a place of negative speeches, but now it has turned to a place of positive speeches, where Obama is rooting for Mrs. Clinton’s victory during the November election. The star power and political gusto of President Obama once more fascinated political watchers across the United States as he told the world, “I am ready to pass the baton.” For Mrs. Clinton, it was a moment to savour on a day the Federal Bureau of Investigation (FBI) described her judgment in the handling of classified material as secretary of state as “extremely careless.” As she stepped off the Air Force One in company with Obama, Mrs. Clinton beamed with smiles, revealing unusual confidence. Clearly, the frenetic campaign that saw her overcome the shadow of doubts placed in her way through mudslinging and embarrassing barrage of attacks that initially pinned the blame of a broken system in Washington on her and her tie to “big money interests” by her arch-rival in the Democratic primary, Bernie Sanders, may be giving way to a collective journey to victory for the Democrats as the party rallied behind her candidacy. But Mrs. Clinton will still have to overcome the Donald Trump storm in the coming months as the Republicans struggle to unite behind Mr. Trump’s candidacy for the GOP. Interestingly, the odds still favours Clinton to win the November election. For instance, President Obama’s desire to see his legacy protected and the transition of government from Democrat to Democrat is one of many reasons Mrs. Clinton will enjoy unusual support from Obama during this campaign season. Already, President Obama has said: “I am ready to pass the baton and I know Hillary Clinton is going to take it. There has never been any man or woman more qualified for this office than Hillary Clinton.” As part of his plans, Obama hopes to push the words around the country for Clinton to help her cross the finishing line with ease despite the obstacle posed by her Republican challenger, Trump. The barrier that Obama seeks to break is not an easy one. Since 1963, when Lyndon Johnson succeeded John Kennedy as president after the later was assassinated, no Democratic president has ever been fortunate to hand over government to another. The Republicans have enjoyed that many times prior to and after 1969. In 2000, President Bill Clinton was closer to recording the feat that Obama hankers for after his vice, Al Gore, successfully received the nomination of his party as a candidate but the Monica Lewinsky scandal that nearly brought Clinton’s government down made it impossible for him to stump for Mr. Gore. Mr. Gore according to reports avoided making public appearance with Clinton during most part of his campaigns. Gore deliberately distanced himself from Clinton, who became frustrated at Mr. Gore’s inability to relate to an audience effortlessly as he would have during campaigns. But President Clinton’s eagerness to help couldn’t go beyond his acceptance by Gore to do so. Specifically, the same day Mr. Gore officially confirmed his candidacy in June 1999, ABC News put out an interview in which Mr. Gore

For his part, President Obama has been quite keen to campaign against Trump for many reasons. The GOP presumptive nominee had once challenged Obama’s American citizenship and had forced the president to bring out his birth certificate in 2011. Also, Obama has criticised Mr. Trump’s bigotry in several of his speeches without mentioning his name. But with campaigns coming to a full throttle after parties hold their conventions sometime this month, Obama is expected to go all out against Trump using words to define him and emphasising his weaknesses to voters in a stop Trump movement. In June, while reacting to Trump’s speech in the aftermath of shooting in Orlando Florida, Obama said the GOP’s presumptive nominee carries with him a “dangerous” mindset capable of pulling America into the abyss. “We hear language that singles out immigrants and suggests entire religious communities are complicit in violence. Are we going to start treating all Muslim-Americans differently? Are Fired up...Obama and Clinton campaign together for the first time in North Carolina, a critical battleground we going to start subjecting them to special surveillance? Are we going to start discriminating state against them because of their faith? “Do Republican officials actually agree with frequently detached himself from the president, the president’s view, running away from him expressing disappointment over Mr. Clinton’s when he ought to be running on their record.” this? Because that’s not the America we want — it Now, with a legacy to protect and the op- doesn’t reflect our democratic ideals. It won’t conduct with Monica Lewinsky, the White House portunity of a lifetime to have a Democrat make us more safe…It will make us less safe. intern with whom he had an affair. New York Times reported that “after eight president hand over to another as the Republicans We’ve gone through moments in our history years together, here is the state of the relationship continue to suspect the Trump candidacy, Obama before where we acted out of fear, and we between President Clinton and Vice President is starting the journey early with Mrs. Clinton. came to regret it. We’ve seen our government According to Caitlin Huey-Burns, a national mistreat our fellow citizens, and it has been Al Gore: Mr. Gore won’t pick up the phone. He doesn’t call, and Mr. Clinton doesn’t know political reporter for America’s political news a shameful part of our history,” Obama said why. … Mr. Clinton is both hurt by the personal website, RealClearPolitics, “Perhaps no Democrat with fury. All set, Mrs. Clinton will still have to overcome rebuff and bewildered as to why his political has the mobilising potential of Obama, who heir won’t come to him for the advice he is endorsed Clinton after the California primary many huddles of doubts, even as Americans itching to give – advice the president feels the last month and has been eager to return to the pay close attention to her words versus Trump’s candidate needs, according to two friends who campaign trail to protect and promote his legacy. ahead of November. But with Obama running “Unlike two years ago, when vulnerable on a straight line to help Clinton make it to the have discussed this with Mr. Clinton recently. “Mr. Clinton feels frustrated, eager to help Democrats up for re-election in a midterm White House in a race with many other strong but unwilling to insert himself where he’s not year kept their distance from the president, stakeholders on either side of the parties, the wanted, say the friends, who have discussed this Obama is now a vaunted surrogate, with an battlefield will be full of surprises. So far, Mrs. Clinton has survived all knives with him. It’s beyond him why Mr. Gore can’t approval rating hovering around 50 per cent, manage to relate to an audience in the way that according to the RealClearPolitics polling average, from Benghazi probe to private email account, comes so effortlessly to him. And he’s convinced a remarkably high rating for a second term but her frying pan to fire experience is far from being over as her political foes continue to link that Mr. Gore moved too slowly to capitalise incumbent in a general election year.” So, with Clinton campaigning as a successor to her to other family scandals like the Whitewater, a on his successful convention performance, in Obama’s legacy, North Carolina voters welcomed failed family real estate investment that ultimately her with both hands. Clinton is hoping to build led to the impeachment of President Bill Clinton upon the winning diverse coalitions that Obama on December 19, 1998. A divided House of Representatives had cultivated in 2008 and in 2012. The strategy helped her sweep Southern primary states with high impeached President Clinton based on charges President Obama’s desire turnout. Many key members of perjury and obstruction of justice and recomto see his legacy protected African-American of the Obama campaign and administration are mended virtually along party lines that the Senate and the transition remove him from office, though no evidence now working for Clinton’s presidential bid. suggested any act of wrongdoing on the part This year, just like in the past, North Carolina of government from will be a battleground state. Obama challenged of the Clintons. Democrat to Democrat To finish strong, Mrs. Clinton will have to keep the status quo in 2008, when he won the state for Democratic Party after three decades of failed track of the source of the multiple attacks and is one of many reasons efforts. But in 2012, the Republican candidate, that in itself is an arduous task in an election Mrs. Clinton will enjoy Mitt Romney, carried the state, when Democrat year. But Obama is very clear in pointing out unusual support from lost the state again by 2 percentage margin. It that “Hillary’s got her share of critics. That’s is one reason why North Carolina is critical: what happens when you’ve fought for what Obama during this high percentage of African-American voters you believe in. That’s what happens when you campaign season…The and an influx of young people and minorities dedicate yourselves to public service over the course of a lifetime. And what sets Hillary apart to the state. barrier that Obama seeks The huge turnout of this group often helps from so many others is she never stopped caring. to break is not an easy one. Democrats coast home to victory during elec- She never stopped trying.” For Obama, this year’s election is as critical Since 1963, when Lyndon tions, but where they fail to come out on the as the race he ran in 2008 and 2012 and that’s Election Day, the Republicans naturally win Johnson succeeded John his message to every American anywhere he their contests. Kennedy as president after The demography in North Carolina has goes. The line was obvious when he said to a the later was assassinated, become a magnet for the Clinton campaign mammoth crowd in Charlotte that: “I’m here to take the state away from the Republican. today because I believe in Hillary Clinton. I no Democratic president On one hand, the growing Latino population want you to help elect her the next president has ever been fortunate to that has broadened the state’s diversity is an of the United States of America.” It will be clearer where the pendulum swings advantage for Clinton to take and on the other hand over government to hand, the recent controversial “pee where your with Gallup polls after the conventions and as another. The Republicans sex is” bathroom law pushed by the Republican November draws near, but polls sometimes legislature that appeared discriminatory to the don’t reflect voters’ mind. Ultimately, the result have enjoyed that many LGBT community is an incentive for Mrs. Clinton of the election will determine who occupies the times prior to and after to go to North Carolina anticipating a great win White House from January 20, 2017, between Mrs. Clinton and Mr. Trump. in the state during the presidential election. 1969

WEDNESDAY, JULY 13, 2016 • T H I S D AY

FEATURES

Acting Features Editor Charles Ajunwa Email charles.ajunwa@thisdaylive.com

Tackling Institutionalised Cheating Examination malpractices are fast eating deep into the marrow of all levels of examinations conducted in the country, even at primary school level. In this report, Peace Obi highlights specific malpractices that were perpetrated at the just concluded federal common entrance examinations into unity schools in the country

A cross section of pupils writing exams

he recently concluded National Common Entrance Examination being a selective test for primary school pupils transiting into the 104 Federal Government Colleges scattered across the states of the federation has been greeted with criticisms by parents and observers who alleged that the examination was characterised by fraud and all sorts of malpractices. From different centres, some concerned parents and observers have a common observation on the conduct of the exam. Many who decided to speak out noted that greedy invigilators having received gratifications from some parents to assist their wards in the examination actually carried out their bizarre business at various centres without any sense of decorum as they openly aided some pupils to cheat during the examination. A situation which they said will deprive innocent and hard working pupils who wrote the exam based on personal ability of the chance to get admission into the Unity Colleges. It would be recalled that entrance examination in the good old days used to be a mechanism for testing the ability and suitability of students that should be admitted into the first class secondary schools in the country like the unity schools. However, nowadays, the annual common entrance examination conducted by the National Examination Council (NECO) and even those conducted for state model schools are equally becoming mere formality as both parents and teachers have turned it into a survival of the richest. A case in point is what transpired in some of the centres during the first and second phases of the entrance examinations across the country for the 2016/2017 academic session. Sharing her experience with THISDAY, a mother who would not want her name in print whose child had earlier passed the first

phase of the examination, had on June 18 taken the child to the designated centre at Yewa Junior Secondary School, Agege area of Lagos State with the centre number 20011 for the second phase interview, said that she could not believe her eyes as she watched invigilators who for pecuniary reasons freely assisted some students to cheat during the exam. According her, “at this centre, there was glaring cheating as the invigilators were assisting the students dressed in mufti to answer the questions. At a stage, one of the female invigilators told one of the students dressed in mufti ‘Your daddy had better pay me well for this,’" she revealed.

And calling on parents to resist the temptation of examination malpractice, the concerned parent wondered why parents should join hands with some educators who do not care about the future of their children and whose understanding about life do not go beyond immediate gratification to mortgage the future of their children

Lamenting on some of the challenges and hardship the country has come under as a result of unabated corruption and unpunished crimes in different sectors, such as poor quality of education, near-absence of quality manpower, high rate of unemployment among others, she said that appropriate authorities need to act decisively. “I understand these invigilators are teachers. They need to be punished and set as an example to other corrupt teachers." And calling on parents to resist the temptation of examination malpractice, the concerned parent wondered why parents should join hands with some educators who do not care about the future of their children and whose understanding about life do not go beyond immediate gratification to mortgage the future of their children. “Dear parents, if the teachers only care about their stomachs and not your child's future, how about you, the parent?” she asked. In what looks like telling the same storyline by different people, a parent, Mrs. Tosin Okewumi, said, "my son sat for command entrance examination and when he came back, he was so sad. He said he had the plan to be the best in that centre but a teacher in that school went round calling out the answers for her pupils. The first question he asked me was "why are are teachers like this?"He said he had no choice but to also shade what the teacher was calling out because he could not concentrate." The Managing Director, EDUMARK Consult, Mrs. Yinka Ogunde, reflecting on how the country had in the past shown strong disdain for examination malpractices wondered how the country has descended into a state complacency with crime. Ogunde who traced the first incident of exam paper leakage to the WAEC exam of 1977, hinted that it was greeted with shock and ‘mourning’. “Exam malpractices I remember was faintly heard

in the year 1977. We were young students and we heard the tale in hushed tones that WAEC question leaked. How come? It was unheard of. The nation was in pain. A panel of inquiry was set up. We were too young to know the effect of such an occurrence in our educational system. Then our nation had a conscience and the values were different.” For the educator, in what looks like living and watching the seed of corruption sown many years back yield its fruits, Ogunde said, “fast forward by three decades or so, new rules have emerged, new kids on the block, now a generation who believes that cheating in an examination is a way of life. We are now in a world of where some educators now join hands with some parents to institutionalise exam malpractice called by different names.” The story, yet, not being different from other observers. A parent, simply identified as Tina whose child wrote the entrance exam two year ago, shared a similar experience. According to her, being the first and last experience of having any of her children go through a public school entrance exam, the activities of some invigilators who 'helped' candidates to cheat were quite strange and unimaginable. "I witnessed same last two years when my daughter was about to enter and being my first and last time because she is my last born, the whole show at her Oshodi centre looked very strange. Certain invigilators were paid to teach certain pupils from certain private school who occupied a particular class room. Some were given special class rooms,” Tina revealed. The description of corruption as the bane of the Nigerian society and a cancer that has eaten deep into its fabric has become visible in many ways, especially as children over the years are gradually being recruited into this shameful act. In another account, a school administrator, Mrs. Olofinlade Ewuola

WEDNESDAY, JULY 13, 2016 • T H I S D AY

FEATURES

said that her pupils complained about some candidates cheating during the first phase of the exam. Ewuola also hinted that a parent complained of being advised to pay for the services of a special centre. "Pupils in my school complained about this even at the first stage of the exam. I remember a parent who told me last year that she was told to pay some amount for a special centre. What about those who do not make cut offs yet after paying some money get admitted into these school?” Ewuola asked. In all of this, the examination bodies cannot be said to be folding their hands and watching. There has been visible and continuous efforts at different quarters targeted at wrestling the hydra-headed monster of examination malpractices. It will not also be out of place to say that the major reason and aim of the introduction of different technologies into the conduct of exams like JAMB, WAEC, NECO, among others, is part of their efforts to retain the validity of their tests and assessments. Painfully, with a steady recruitment of cheats by some parents and educators at the basic level of education, it is obvious that exam malpractice is gradually being institutionalised in the country by those who should fight it. Observing exam malpractice to be prevalent among private schools, Linda Onwuka noted that school owners and their administrators in their bid to attract more patronage dangle excellent academic performance as their selling point which often times are obtained through cheating. "I have observed that private schools are guiltier. School proprietors encourage this evil to prove that their standard is high and get more patronage from some conniving parents, sorry to say. We interviewed a good number of candidates for admission into subdegree programme some years back and a good number of them came with fantastic results but when questioned, the innocent children led astray by parents and elders admitted that they were assisted." Chatting the way forward, Onwuka advised parents, educators, and every sensible adult that wish Nigerian youth well as well as the country to keep talking about the dangers of paying for marks to students, to parents and to school owners. And calling on parents to go beyond assessing schools based on academic performance alone said, "As a parent I consider a number of factors before choosing schools for my children. For school owners let them learn that unless the Lord builds the house, the labourers labour in vain. Let us learn to build these students, teach them morals and values and of course the beauty of hard work,” she advised. Beyond the immediate effect of the quick fix approach now being adopted by some parents to meet the educational needs of their children which include pushing a child beyond his/her capacity, dwindling reading culture, among others, Olawale Stephen said that the wrong foundation though laid sometime in the past would always rear its head against perpetrators anytime any day. "It's so sad seeing all this at this foundation level, I have always believed the foundation should be right

It's so sad seeing all this at this foundation level, I have always believed the foundation should be right but in a situation where those that ought to build the right foundation are uninterested and cutting corners, I cannot but wonder the type of future the children will grow up to have. I was opportune to visit some centres, you wouldn't believe it, wonders were many. God help this country

Pupils writing exams

Minister of Education, Adamu Adamu...should come hard on cheaters

but in a situation where those that ought to build the right foundation are uninterested and cutting corners, I cannot but wonder the type of future the children will grow up to have. I was opportune to visit some centres, you wouldn't believe it, wonders were many. God help this country,” he prayed. Presenting a three-pack solution with a focus on government, school and parent, Rhoda Odigboh advised government to do

an honest functionality assessment of WAEC, NECO and other examination bodies in the country. In her words, "Search for holes and gaps, be it in form of personal strengths or weaknesses, including those of godfatherism or unnecessary bottlenecks found in layers of lacklustre administrative bureaucracy that continues to leave us at a blind spot from moving forward or achieving greatness." Also, in addition to functionality assess-

ment, Odigboh recommended the adoption of advanced technology in the administration of tests. "Superior technology will wipe these block aids out and kill the corruption at the highest level of WAEC, NECO and others. And tell you, schools will conform." Considering the place of parents in the fight against examination malpractice, Odigboh advised parents to be sincere in their choice of school. According to her, "Let’s be honest schools that partake in this ridiculous act should never have our patronage. They are killing our children and deepening the unfortunate social paradigm of 'I go make am anyhow.' 'Hard work is old fashioned' that has swept our country down the drain over the years." Stressing that the culture of keeping mute over issues of corruption such as examination malpractices will not only embolden perpetrators but will soon become a norm, urged Nigerians to speak out by reporting schools that are involved in shameful act. "But we must do well to report them. Someday, just someday, things will look up, but they sure won't if we keep mute." Stressing that the age-long rape of the nation's educational system by corrupt practices and the seemingly inability of the law to punish offenders should not be seen as the ideal situation, however, warned that it has a grave implication for the individuals and the country at large. “For now, the race is to the swift' they say. But hold up, that child is half baked, half cooked, half done! They will never get the chance to stand in sincere high places. Do yourself a favour, raise an authentic child. Help Nigeria grow. Don't rob your child of greatness,” Odigboh admonished.

IMAGES

T H I S D AY •WEDNESDAY, JULY 13, 2016

Photo Editor Abiodun Ajala Email abiodun.ajala@thisdaylive.com

National Chairman, Independent Democrats, Hon Edozie Madu; Chief Umeh; and former Head of State, Gen. Adulsalami Abubakar, during Madu’s visit to Abubakar in Minna...recently

L-R: Hassan Isiaka, receiving DStv Zapper Decoder from the Marketing Manager, DStv, Chioma Afe, during the DStv Customer Forum at Ajah, Lagos...recently

L-R: Head, Security, Etisalat Nigeria, Sunnie Aleghe; Director, Security, Etisalat Nigeria, Muhammad Abubakar; General Manager, Biporal, Ebiomoere Bankole; and Director, Network Deployment, Etisalat Nigeria, Adekunle Durojaiye, during the presentation of a Hilux van donated by Etisalat Nigeria in Lagos... recently

L-R; Minister of Foreign Affairs, Mr Geoffrey Onyeama; Director, African Union, Mr Ahmed Inusa and Personal Assistant to the Minister, Mr Ahijo Yusuf at a press briefing on the forth coming Head of Government African Union Summit in Rwanda in Abuja...recently enock reuben

R-L: United States show dance champion\ex judge, Maltina Dance All, Mr. Michael Adegoke; Nigerian born American artiste, Ozie Nzeribe also known as Zmny; and his mother, Mrs Ada Nzeribe, during Zmny’s arrival at the Murtala Muhammed International Airport, Ikeja, Lagos...recently kolawole alli

L-R: Director, Digital Business, Etisalat Nigeria, Adia Sowho; Chief Product and Information officer, Etisalat Nigeria, Otuyemi Otule; star prize winner, Etisalat Win Big Promo, Mrs. Callister Ihemegbulam; West Africa, Managing Director, TIMWe, Bruno Cardoso; and the Lagos Head, Consumer Protection Council, Joshua Nggada, during the presentation of the keys of a Hyundai iS35 car to the winner in Lagos...recently

WEDNESDAY, JULY 13 2016, • T H I S D AY

Group Business Editor Chika Amanze-Nwachuku Email chika.amanzenwachukwu@thisdaylive.com 08057161321, 08033294157

BUSINESSWORLD NIBOR OVERNIGHT 1-MONTH

R A T E S

A S

NIBOR

4.4167% 10.8248%

3-MONTH 6-MONTH

113.6206% 15.2903%

NITTY 1-MONTH 2-MONTH 3-MONTH

A T

J U L Y 7.7168% 7.9518% 9.7740

1 ,

6-MONTH 9-MONTH 12-MONTH

2 0 1 6

10.3013% 11.0742% 13.3762%

EXCHANGE RATE N282.25/1US DOLLAR* *AS AT LAST FRIDAY

Quick Takes CIBN to Hold Forum on FX Policy

The Chartered Institute of Bankers of Nigeria Centre for Financial Studies (CIBNCFS), a subsidiary of The Chartered Institute of Bankers of Nigeria (CIBN) has concluded plans to hold a breakfast session on business dynamics under a flexible exchange rate regime. The programme is scheduled to hold in Lagos this Friday. The session, which would feature panelists from regulatory institutions, operators in the banking and finance sub-sector of the economy and other allied sectors, is expected to x-ray the newly introduced flexible exchange rate regime by the Central Bank of Nigeria, the country’s business environment and peculiarities vis-à-vis other successful countries’ examples under a similar regime. This is with a view to leveraging on their experiences for improved business performance and economic growth of the nation. Expected participants at the event, according to a statement from the institute include delegates from regulatory institutions in banking and finance and other allied sectors, bank, development banks, academics, government ministries, departments and agencies and the private sector.

Facebook Sponsors Competition

MEMBERSHIP INDUCTION

L-R: General Manager, SIFAX Haulage and Logistics, Mr. Saheed Lasisi; CEO, SO&U, Udeme Ufot; President, Nigerian-British Chamber of Commerce, Prince Adedapo Adelegan and Executive Director, Human Resources and Administration, SIFAX Group, Dr. Fola Rogers-Saliu at the NBCC networking and members’ induction night held in Lagos...recently

Concern Intensifies over Banks’ Upstream Oil Sector Exposure Obinna Chima Some banking sector analysts have expressed concern over banks’ exposure to the upstream oil and gas sector. It was gathered that of the top five banks’ $4,882 million exposure to the upstream oil and gas sector, at least 15 per cent is exposed to the Trans Forcados pipeline (TFP). The pipeline has been closed for four months due to attacks by the Niger Delta Avengers. The TFP links a number of oil fields and oil mining leases (OML) in the western Niger Delta with the Forcados terminal on the coast. Many of these OMLs were once owned by Shell Nigeria but were sold to indigenous Nigerian upstream companies, in many cases financed by Nigerian banks. To this end, analysts at

BANKING Lagos-based CSL Stockbrokers Limited, noted that since 15 per cent of upstream oil and gas lending equates to 2.2 per cent of total lending, it raises questions over cost of risk guidance which is generally under 1.5 per cent for 2016. It viewed this as a concentration of Nigerian upstream oil and gas bank risk in the basin served by the TFP. It listed the banks involved in the deal as FBN Holdings, Zenith Bank, Access Bank, GTBank and the United Bank for Africa Plc. “For the majority of upstream firms still producing oil, today’s oil price of $48.1/bbl covers operating costs, though not all financing costs. We think there is a strong case for locking in forward prices for 2017,”

it added. Although several upstream oil and gas companies use the TFP, the report was focused on those that publish accounts namely Seplat and Seven Energy. However, THISDAY had reported that other firms that are associated with the TFP are Shell Nigeria; Shoreline Resources; First Hydrocarbon Nigeria; the Nigerian Petroleum Development Company (NPDC); Pillar Oil; Midwestern Oil & Gas; Platform Petroleum; and Energia. However, the CSL Stockbrokers Limited report showed that Seplat owns 45 per cent of three OMLs in the region served by the TFP: OMLs 4, 38 and 41, and it is the operator of these three blocks in its partnership with the NPDC. Seplat also has 22.5 per cent

in OML 55 and 45.0 per cent in OML 53, neither of which are on the TFP. Seplat had US dollar loans of $542.8 million outstanding to three major Nigerian banks at the end of 2015, part of the total $863 million it owed in US dollars to Nigerian and international banks. This $542.8 million, according to the report, represents 11.1 per cent of the upstream oil and gas exposure of the top five Nigerian banks. Furthermore, it revealed that Seven Energy also has interests in the OMLs 4, 38 and 41, even though the ownership of those three producing areas is split between Seplat, with 45 per cent, and the NPDC, with 55 per cent. This is because Seven Energy has a Strategic Continued on page 24

Financial Regulators Mull Review of Holdco Guidelines Goddy Egene Strong indications have emerged that the guidelines for the operations of holding company (Holdco) may soon be reviewed so as to prevent abuses that may affect investors and other stakeholders in the Nigerian financial system. The Holdco structure was introduced by the CBN to replace universal banking in 2010 as part of efforts to reform the banking sector and strengthen the financial industry. Following the introduction of the holdco structure, the CBN released guidelines for banks operating such structure

CAPITAL MARKET

and how to relate with their subsidiaries. Two years after the release of those guidelines, THISDAY checks revealed that regulators in the financial market, especially the CBN and Securities and Exchange Commission (SEC) have started moves to review the guidelines. The moves, it was gathered followed some developments in some of institutions that adopted the structure. Apart from banks, some capital market operators are operating a holdco structure, having subsidiaries that carry out services which cut across various sectors of the financial industry.

Market sources told THISDAY on Monday that CBN and SEC have already conducted a joint inspection on one of the institutions operating a Holdco structure in the country. “The final position to review the guidelines would be taken when the result of the inspection is out. Given the experience so far, there is the need to review some of the guidelines to further strengthen corporate governance and prevent any abuses that may lead to loss of investor confidence in the financial system. Besides, it has been discovered that some institutions operate Holdco structure without adhering to the laid down rules,” the

source said. The source added that the review of the guidelines would therefore ensure that other institutions other than banks that operate Holdco structure are well regulated and guided by rules in the market. According to the guidelines released in 2014, the CBN said a financial holding company is permitted to have only two hierarchies (parent and intermediate financial holding companies). Given the permissible level of hierarchies, a financial holding company may have a subsidiary which is a parent to another subsidiary Continued on page 24

Facebook, one of the biggest social media platforms has, as part of its commitment in discovering talents in cyberspace security, concluded plans to hold its maiden competition tagged “CyberXchange Hackathon Competition” in Lagos State. The competition, which is scheduled to hold between November 2 and 3, 2016, is designed to test the skills of the brightest and best brains within programming, cyber security, information assurance, security engineer, and IT fields for a team of four to six persons. It also hopes to discover and inspire the development of West Africa’s information security professionals of the future. According to a statement signed by the managing agency’s spokesman, Mr. Elvis Subor, interested participants who must be university students and other young professionals in Nigeria with less than two years working experience, are required to register for the competition. “Hackathon provides the opportunity to build a hack against a cyber-security and it is open to teams willing to compete against other university and young professionals with less than two years’ experience throughout Nigeria. “The competition is geared towards finding the bestsellers prototypes by starting from scratch to build a workable idea with the help of collaborating colleagues on their teams. The pre-qualifier registration which is ongoing will close on August 30, notifications will be sent to the shortlisted participants in September, while the final competition holds between November 2 and 3, 2016.

Ingenico to Deepen Financial Inclusion

Ingenico Group, one of the global leaders in seamless payments, has developed a strong partnership with Ghana Interbank Payment and Settlement Systems Limited (GhIPSS) to extend electronic transactions to unbanked and under banked people in Ghana thanks to its biometric point of sale device. As part of its financial inclusion strategy, GhIPSS, a subsidiary of the Bank of Ghana, launched the biometric smart card banking and retail system to promote cashless financial services. “We were looking for a simple and secure solution to make electronic transactions an easy and uncomplicated experience for the unbanked and underbanked population who remain reluctant to use banking services,” CEO of GhIPSS, Archie Hesse said. “Ingenico Group designed a new bio-based POS to bring the bank to remote areas. People don’t have to travel a long distance to have access to their funds”. GhIPSS, jointly with Rural Financial Institutions and Agent Networks, deployed the Ingenico Group biometry smart terminal; one single device to provide banking, retail and value-added services based on a biometric card which requires the holder’s fingerprint for authentication. So far, about 6,000 smart terminals have been deployed in Ghana to enable payment, salary disbursement, cash out, bill payment as well as other financial services by simply using fingerprints for authentication. As a result, this quick and secure user experience helped build trust in the financial ecosystem and created long-lasting financial habits among the program beneficiaries.

“We have a sense that things are bad in terms of poor supply, but they are not necessarily a hopeless situation” Minister of Power, Works and Housing,

Mr. Babatunde Fashola

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD CONCERN INTENSIFIES OVER BANKS’ UPSTREAM OIL SECTOR EXPOSURE Alliance Agreement (SAA) through which it provides the NPDC with technical and financial support, receiving oil in return. “Seven Energy’s principal operation is Accugas, a gas producing and midstream company located on the other (south eastern) side of the Niger Delta, and with no connection to the TFP. We believe that, following recent and renewed attacks that the TFP remains out of operation. As at 31 March 2016, Seven Energy had total borrowings of $842 million,” it stated. “We think it is reasonable to think that the top five Nigerian banks hold $542.8 million of Seplat’s debt, and they likely hold half of $381.2 million of Seven Energy’s senior debt. We arrive at $733.3 million of debt, 15 per cent of the top five banks’ oil & gas upstream exposure, and 2.1 per cent of total gross loans, depending in some way on the Trans Forcados pipeline. FINANCIAL REGULATORS MULL REVIEW OF HOLDCO GUIDELINES (intermediate financial holding company). The CBN had said where such subsidiary is locally based, the relevant regulator shall have responsibility for its supervision. Where the subsidiary is overseas, the relevant regulator shall seek a Memorandum of Understanding (MoU) with the host regulator for its joint supervision. It said a financial holding company may acquire controlling interest in any permissible financial institution, subject to prior approval of the CBN. Where the target company is outside the supervisory purview of CBN, the prior approval of the relevant regulator will also be required. Still, where a subsidiary of the financial holding company outside the purview of the CBN is acquiring another subsidiary similarly outside the purview of the CBN, the Holdco shall notify the CBN before the acquisition is consummated.

Group Business Editor

NEWS

Adeosun Wants Insurance Firms to Raise Capital Base Ebere Nwoji

The is an indication that the insurance industry may embark on another round of recapitalisation as the Minister of Finance, Mrs. Kemi Adeosun, has stated the need for insurance industry operators to increase their capital base and create opportunity for partnership and other strategic alliances within the system. Adeosun, made the remark at the 2016 National Insurance Conference organised by the Insurance Industry Consultative Council (IICC) in Abuja. The minister urged the operators not to see recapitalisation as a punitive measure but an opportunity to reposition for the future. She also advised them to be ready to take risk, pointing out that they are in the business to bear risks of others. The minister, who stressed the need to address the issues responsible for underperformance of the industry, revealed she is currently working with the industry regulator to address the problem of premium discounting. “There is need to immediately address the issues responsible for the under-performance because a 0. 33 per cent increase in insurance penetration can result to a growth of 0.5 per cent in GDP”, she sated. According to her, the increment was capable of creating over 70,000 jobs annually Noting that the industry was under-performing, compared to its pension and banking counterparts. Adeosun identified low awareness as one of the factors responsible for the under-performance

of the sector, pointing out that out of 57 insurance companies in the country, less than 23 advertise their products. “The companies put in less than 20 adverts on television, less than 10 adverts on radio and less than 10 adverts on social media”. She listed other factors responsible abysmal performance of the industry as poor distribution channels and unethical practices among operators. “I’m working vigorously with the National Insurance Commission (NAICOM) to ensure that premium discounting is eliminated among practitioners.

Also speaking, at the event, the Commissioner for Insurance, Alhaji Mohammed Kari, said the commonly used index for measuring the development of insurance in an economy is the market penetration which is the ratio of total insurance premium to the gross domestic product. He said while the challenges of low spending power, culture and low financial inclusiveness did not help insurance penetration, enforcement of the compulsory classes of Insurance would give the needed boost to jump-start penetration in the sector. The Commissioner said having reasonably tackled the

immediate issues wedging the positive moves of the industry, efforts are now being focused on the medium and long term impetuses required to provide the quantum leap the industry desired to be able to contribute to the national economy. To achieve this goal, Kari said the NAICOM has continued to provide regulatory oversight for the industry in relevant areas through the issuance of guidelines, training and the creation of the enabling regulations to introduce new classes of insurance to address the financially disadvantaged in the society. “To address the medium and

long term challenges of penetration, the Commission is on the verge of relaunching the Market Development and Restructuring Initiative (MDRI). The initiative originally launched in 2009 is being reviewed for the immediate impact we believe it will provide. We believe if properly implemented, it will bring the desired result as envisaged. “This effort has further been boosted by the following of recent: The just concluded review of the draft Insurance bill by the ministerial committee setup by the Minister of Finance.

REWARD FOR EXCELLENCE

L-R: Anambra State Governor, Chief Willie Obiano; the Ooni of Ile-Ife, Oba Adeyeye Ogunwusi; the recipient of Zik Prize in Business Leadership, Mr. Eric Umeofia; his wife, Nmachukwu; and Ogun State Governor, Senator Ibikunle Amosun, during the ZIk Awards in Lagos...recently

‘New Forex Policy Averted Economic Catastrophe’ James Emejo An economist and ex-banker, Dr. ChijiokeEkechukwu has commended the Central Bank of Nigeria (CBN) for releasing a new policy framework on the foreign exchange management, pointing out that “if this decision was not taken, we would have been swimming in a hot economic ocean.” He added the new forex policy was “purposeful in saving our ailing economy and dwindling foreign reserves.” Speaking in an interview

with THISDAY in Abuja, he said going forward, the new exchange regime will cause a free flow of foreign currency into the interbank market thereby reducing pressure on apex bank. According to him, “Direct foreign investors can now inflow their funds through the Interbank market and sell at the market driven rate. Non oil exporters can have access to their proceeds in foreign currencies by selling to the forex dealers. This will encourage export businesses

and help in improving our balance of payment.” The Governor of the CBN, Mr. Godwin Emefiele had on June 15, 2106 unveiled a new flexible foreign exchange framework, which allowed the exchange rate of the naira to be determined by the market forces of demand and supply, although the apex bank stated that it would nevertheless intervene in the market whenever appropriate. The release followed the CBN’s weeks of consultations with stakeholders including the

banks on the need for a more flexible forex market to among other things reduce pressure on the local currency and incentivize foreign investors. Meanwhile, Ekechukwu further predicted that rates of foreign exchange are expected to drop as dictated by demand and supply of same as funds hitherto kept outside the country would “begin to find their ways back and create local investments.” He added that local manufacturers will also be encouraged towards growing their

export market among other positive expectations from the policy while more foreign currencies will be available to meet the import bills that have remained threatened before now. However, he said given that banks do not currently have enough technical depth in the derivatives market, Futures and Forward transactions may adversely threaten their financial positions.”Above all, it is a plausible intervention by CBN,” he stressed.

Maritime Editor

Stakeholders Commend FG’s Egg Production Scheme

AgriBusiness/Industry Editor

James Emejo

Chika Amanze-Nwachuku John Iwori

Crusoe Osagie

Comms/e-Business Editor

Emma Okonji

Capital Market Editor

Goddy Egene

Senior Correspondent

Raheem Akingbolu (Advertising) Correspondents

Chinedu Eze (Aviation) Linda Eroke (Labour) Eromosele Abiodun (Cap Mkt) Ejiofor Alike (Energy) James Emejo (Nation’s Capital) Obinna Chima (Money Mkt) Reporters

Nume Ekeghe (Money Market) Nosa Alekhuogie (AgricBusiness)

Stakeholders in the agricultural sector have commended the federal government for instituting the National Egg Production (NEGPRO) scheme aimed at helping the country to achieve self sufficiency in local egg production in order to stop importation. The NEGPRO scheme is an initiative of the Federal Ministry of Agriculture aimed at increasing the output of egg production in the country to 50 million table eggs daily by 2018. It further aims at creating

about 1 million jobs at full capacity, empowering as many farmers as possible, increasing contribution of poultry sector to GDP of Nigeria as well as increasing internally generated revenues to the federal government. However, stakeholdershave applauded the government for appointing an indigenous firmTuns Farms Nigeria Limited as consultant and manager of the scheme. Executive Director, Chi Farms, a leading producer of day old chicks in Nigeria, Mr. Martin Middernacht, expressed support for the federal gov-

ernment for introducing the scheme, adding that NEGPRO is an important initiative that will improve food security and economic diversification. While further commending the appointment of Tuns Farms as consultant, he said as a stakeholder, his company would support the successful implementation of the initiative. In the same vein, former Zonal Vice President, Poultry Association of Nigeria, Mr. Clement Okonjo said the successful implementation of the NEGPRO scheme would boost the economy and build up the poultry sector.

In a letter of commendation to Tuns Farm, he said:“We commend the Federal Government of Nigeria for this laudable project which we believe, will change the face of the poultry industry in Nigeria. “We also congratulate you on the enormous strides you have been making in the effort to build the poultry industry in Nigeria. We have followed your success story with the Osun State Programme for Children Feeding which have enabled you reach an agreement with the Federal Government for same purpose.” The Minister of Agriculture

and Rural Development, Mr. Audu Ogbeh and the Chairman of Tuns Farms Limited Asiwaju Olatunde Badmus had recently signed a N25 billion agreement on NEGPRO scheme to be financed by the Bank of Industry (BOI). As part of its role as manager of the scheme, Tuns farms Limited will recommend eligible entrepreneurs to access the N25billion facility through the Bank of Industry (BOI). The company will also develop customized and standard feed concentrate for the scheme to ensure uniformity.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

EQUITIES WATCH

FTN Cocoa’s Harvest of Losses

FTN Cocoa came into the stock market with such bright prospects, but has kept disappointing investors with a string of losses, writes Goddy Egene

When FTN Cocoa Processors Plc was listed on the Nigerian Stock Exchange (NSE) in 2008, it came with very bright prospects. The enthusiasm with which the company was received by investors was understandable considering the products it produces. Many years back, Nigeria used to be the second largest producer of cocoa until the discovery of oil in the 1950s. This shifted attention and to oil. However, the renewed move for the diversification of the nation’s economy to reduce the dependence on oil and major revenue earner has raised growth prospects for other commodities, cocoa being one of them. That was why the listing of FTN Cocoa Processing was seen as a very good investment opportunity for investors. However, eight years after its listing on the Nigerian bourse, the company has suffered more losses. Corporate profile FTN Cocoa Processors Plc started as Fantastic Abiola Nigeria Limited, a private company limited by shares, which was incorporated on 26 August, 1991. The name Fantastic Abiola Nigeria Limited was changed to Fantastic Traders Nigeria Limited on 26 August, 1998 and further changed to FTN Cocoa Processors Limited on 3 December, 2007. The company got listed on the NSE in February 2008. The principal activities of the company are the processing of cocoa beans and palm kernel into cocoa liquor, cocoa cake,cocoa butter, cocoa powder, palm kernel oil and palm kernel cake. The board of directors of the company is led by Chief Simeon Oguntimehin as the chairman while Mr. Abiola Aderonmu is managing director. Akin Loaye is the executive director. Other directors are: Mr. Wole Abegunde, Mr. Olusoji Balogun, Wale Jubril and Mr. Peter Nwalozie.

Financial performance The company has performed dismally since its listing on the NSE. A year after its listing, which was 2009, the company posted a profit after tax of N260 million. This dipped to N64 million the following year. It slipped into a loss position in 2011, ending that year with a loss of N243million. The loss worsened to N405 million in 2012 but improved to N286million in 2013. However, the loss further worsened to N577million in 2014 and another loss of N201million in 2015. A further analysis of the company’s performance showed that investors’ hope for a profitable year in 2015 did not came to realisation. The company began the year 2015 on a positive note with 155.4per cent growth in revenue for the first quarter (Q1) ended March 31, 2015, to N387.97million, from N151.894million in the comparable period of 2014. The company also returned from loss position during the period to a profit of N3.695million. Expectations that the good numbers, posted during the Q1 would be sustained, was dashed, as FTN Cocoa Processors ended with a loss after tax of N39.065 million for the half year ended June, 2015. FTN Cocoa ended the year 2015 with a loss after tax of N201.195 million, compared with N577.204 million recorded a year earlier. Its revenue grew by 453 per cent to N1.368 billion from N247.418 million recorded in 2014. While the company attributed the growth in revenue in 2015 to its strategic deal with Transmar Group of United States, the deal is yet to impact positively on its performance. FTN Cocoa has begun 2016 on another negative note, recording a loss of N63 million in Q1, as against a profit of N3.695 million in the corresponding period of 2015. An analysis of the figures showed that FTN Cocoa posted a revenue of N341 million in 2016, down 12 per cent from N388 million

recorded in the corresponding of 2015. Cost sale was reduced from N413 million to N311 million. Operating expenses rose from N29.57 million to N35.44million.Net finance cost soared from N42 million to N82million. Apart from huge borrowing during the review period, the company’s finance income shrank from N41 million to N0.325 million. Hence, the company ended the Q1 with a loss of N63 million, compared with a profit of N3.69 million in the corresponding period of 2015. Shares of FTN Cocoa has remained at 50 kobo in the over the last one year. In all, FTN Cocoa has been be faced with many challenges ranging from delays in the disbursement of the export expansion grant. There is also the general problem of poor power supply. Other challenges include imposed duty on processed cocoa in the international market; high interest rates; and the lack of competitiveness of processed cocoa when compared with raw cocoa in the export market, under-utilisation of installed capacities. The Transmar deal The strategic deal with Transmar will no doubt have positive impact on FTN Cocoa in the near future given the status of the company. Founded 30 years ago, privately owned Transmar is an integrated cocoa processor with operations across Europe, Latin America and North America, as well as sales offices and representation globally. The group has been steadily increasing its investment in cocoa cultivation through various partnerships across Ecuador, Sierra Leone and Tanzania among others. In the deal, Transmar signed an uptake agreement with the FTN Cocoa, guaranteeing a market for all the company’s product up to installed capacity for the next five years and renewable. According to the FTN Cocoa MD, Aberonmu, the company said Transmar will also provide technical support, especially in

the areas of machines, spare parts and quality control the Nigerian firm. He explained that the company has obtained a quality assurance to penetrate into the global market without hitches. He added that Transmar would be taking 100 per cent of FTN products, while the company has equally been looped into the global maintenance and quality control scheme of Transmar, which enables them to get spare parts at a lower cost. Aberonmu said: “The Nestle deal that we have that makes us the no 1 supplier to Nestle is because we have looped into their global market. Nestle have a worldwide ways of giving other in cocoa. The benefit is there and we are enjoying the partnership. “Before now, when we have problems, we would order for spare parts and most of these parts are off the shape, they have to be reproduced. “Now, once there is any issue, and the spare part is not available, they can pull it from any of their factories from any country and that is why we hardly have any problem of parts. There is now a regular supply from their pool and spare parts are becoming cheaper. Transmar is very strong and they are backing us up. There is market for our installed capacity. We don’t have problem anymore producing without having market for them. “One of the problems of cocoa industry, not only in Nigeria alone, including Cote d’Ivoire is most time producing the goods and not having up takers. “The way to go in cocoa business is the volatility from currency. Today is when you have strategic partnership with very strong people and this makes us competitive in the industry.” He said the company is working to consolidate existing rules and provide working capital, disclosing that they are currently discussing with couple of some development banks and local banks to boost our working capital.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

ANALYSIS

From Oil Price Shock to Banking System Fragility The prolonged decline in oil prices may have a knock-on effect on the banking industry and requires more vigilance by regulators in the industry, writes Obinna Chima

Recent development at Skye Bank Plc has revived once again, issues around the health of Nigerian banks. This becomes more worrisome following the sustained low crude oil price, which has impacted negatively on the Nigerian economy and has seen a lot of debtors falter on their obligations. Crude oil price has declined by about 50per cent between mid-2014 and mid-2016 to about $45 per barrel presently, thereby leading to significant losses in export earnings for Nigeria and other commodity exporters. Adverse commodity price shocks, according to the International Monetary Fund (IMF) can also contribute to financial fragility through various channels. Firstly, a decline in commodity prices in commodity-dependent countries results in reduced export income, which could adversely impact economic activity and agents’ (including governments) ability to meet their debt obligations, thereby potentially weakening banks’ balance sheets. Secondly, a surge in bank withdrawals following a drop in commodity prices may significantly reduce banks’ liquidity and potentially lead to a liquidity mismatch. Financial fragility can be defined as the increased likelihood of a systemic failure in the financial system, for which the most obvious indicator would be a systemic banking crisis. Last year, the regulator gave three commercial banks until June 2016 to recapitalise after they failed to hit a minimum capital adequacy ratio of 15per cent. Since the Central Bank of Nigeria’s (CBN) intervention at Skye Bank, which led to the removal of the bank’s chairman and chief executive officer as well as some of its directors, has continued to deepen concern over the health of Nigerian banks. The Case of Skye Bank The central bank had explained that it took the decision to intervene in the bank following the persistent failure of Skye Bank to meet

minimum thresholds in critical prudential and adequacy ratios, which culminated in the bank’s permanent presence at the CBN lending window, its huge non-performing loans (NPLs) profile as well as its low liquidity ratio, the central bank in a proactive move effected a change in the board and management of the bank. CBN Governor, Mr. Godwin Emefiele, said the banking sector regulator took what he described as a proactive step in order to save the health of the bank from further deteriorating. To correct the anomalies in the bank, he said, the CBN had several meetings with the management and board of Skye bank as part of its strategy of close engagement whenever a bank’s financial or governance situation poses potential threats to the overall stability

No doubt, as a result of global shocks, there are weakening of certain ratios, but those ratios have not weakened to a point where we would say the banking industry is distressed. We would like to appeal to all depositors to be calm. There is no need to leave an impression that any bank is distressed. No deposit is at risk

of the financial system. However, Emefiele said despite the expectation of relevant regulators, market watchers, financial analysts and interested stakeholders that Skye Bank should be doing much better than it is right now, what they saw was the opposite. Therefore, he pointed out that given the fact that Skye bank is a domestic Systematically Important Bank (SIB) with significant interconnectedness; the CBN would be failing in its duties if it does not take immediate action to nip the steadily declining health of the bank in the bud and correct the situation. Health of Nigerian Banks To Emefiele, the medium-term vision of the CBN, which was unveiled in June 2014, was that the Bank would proactively manage potential threats to financial stability, maintain zero tolerance on practices that undermine the health of financial institutions, and create a strong governance regime that is conducive for financial intermediation, innovative finance and inclusiveness. While reiterating that Skye Bank is not in distress and remains a healthy bank in the system, the CBN governor assured depositors, shareholders and all relevant stakeholders that there is no reason for concern or panic. Emefiele further emphasised that, the three most important issues in every bank are its level of non-performing loans (NPLs), capital adequacy ratio and its liquidity. He further stated that the strategic health of the banking industry remains strong, saying that when there is need to inform the general public about the strategic health of any bank, the central bank would not fail in its responsibility as a regulator. “No doubt, as a result of global shocks, there are weakening of certain ratios, but those ratios have not weakened to a point where we would say the banking industry is distressed. We would like to appeal to all

depositors to be calm. There is no need to leave an impression that any bank is distressed. No deposit is at risk. “The CBN conducts its stress-testing of banks. We do not wait to be called to begin to talk about stress testing a bank. Stress testing is a process that is on-going in CBN,” he added. Also, the Director, Corporate Communications, CBN, Mr. Isaac Okorafor, described as malicious, the news making the rounds that some banks in the country may be distressed. To this end, Okorafor also said: “In the strongest terms that these rumours and speculations are untrue and do not reflect the actual health of the individual banks and, indeed, the entire banking industry. “Therefore, the CBN would like to request the public to ignore speculations or rumours to the contrary as they could only be the handiwork of mischief makers who do not mean well for the Nigerian banking system and its economy. As the regulator of the industry, the CBN hereby reassures the banking and general public that their deposits remain safe in any Nigerian bank. There is therefore no need for panic withdrawals from any bank. “Going by both the CBN’s Examination Reports as well as analysis from market watchers, International Credit Rating Agencies, and Development Finance Institutions, the Nigerian banking industry remains strong in spite of the global economic challenges emanating from the collapse of global commodity prices. We therefore urge the banking public to remain calm and go about their normal businesses without panic. It is important that we do not create problems when none exists,” he explained. Also, the Director, Banking Supervision, CBN, Mrs. Tokunbo Martins, said “one or two” commercial banks had failed liquidity tests but they were not in the same situation as Skye Bank. But Martins said the central

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

bank was working with the banks to restore their ratios and reassured depositors that there was no need to panic. “We have our eyes on one or two other banks right now but they are not in a state of distress. We have our eyes on all banks,” she said. She maintained that the banking industry was healthy. Skye’s problems worsened after it used short-term funding to acquire Mainstreet Bank in 2014 but failed to attract fresh funds, she said. Deputy Governor (Corporate Services), CBN, Mr. Adebayo Adelabu has stressed that financial system stability is crucial to the central bank, saying most of its policies in recent time have been geared towards ensuring the safety and soundness of the banking system. According to him, in order to promote a sound financial system in Nigeria, the central bank has continued to ensure high standards of banking practice and financial stability through its surveillance activities, as well as the promotion of an efficient payment system. However, he noted that in addition to its core monetary functions, the central bank has performed some major developmental functions, by intervening in all the key sectors of the Nigerian economy namely: financial, agricultural and industrial sectors. “On our part at the CBN, we have taken proactive steps to check further depletion of the reserves. Between 2014 and now, we have taken deliberate action and issued policies to check rent-seeking among operators of bureaux de change (BDCs) to check, unauthorised financial transactions and the ‘dollarising’ of the economy. We went a major step further

ANALYSIS

in January 2016, when we stopped the weekly sale of foreign exchange to BDCs. Linkage with Macroeconomic Environment To the Chief Executive Officer of Maxifund Securities Limited, Mr. Okechukwu Unegbu, the development, is a reflection of the challenge in the economy. Also, the Managing Director and Chief Executive of Financial Derivatives Company Limited, Mr. Bismarck Rewane, pointed out that the banking sector can only be as healthy as the economy itself. According to Rewane, if the economy is going through turbulence, the banking sector would also feel the impact of the turbulence. “Some banks have reported some very good numbers. But if you distill those numbers, you will find a lot of extra-ordinary items. So, if you take out the extraordinary items, you will find out that, that industry is becoming less attractive and more cannibalistic. Therefore, in the near future, we expect some further turbulence, weaker performance, head count rationalisation and restructuring to take place. “Again, like I said, you cannot be older than your father. If the economy is in trouble, the banking system would also be in trouble. But the truth is that because the banks are adequately capitalised, they have enough buffers to withstand the shocks. “What is happening is that the level of economic activities in Nigeria has shrunk, GDP has reduced, unemployment has gone up and that is cyclical. We don’t need to sit down and blame anybody, but to continue to seek ways to come out of these,” Rewane

said. Sub-Saharan Africa banking analyst and Head of Nigeria Research at Renaissance Capital, Mr. Adesoji Solanke, also stated recently that the situation the banks have found themselves was largely driven by the weak macroeconomic environment. He listed other sectors in the economy also facing challenges as a result of the drop in economic activities to include the oil and gas, real estate and power. Banks and Fresh Capital Raising According to analysts, the development at Skye Bank is likely going to result in fresh capital raising by commercial banks, as they seek to maintain the stipulated capital ratios in the face of a weakening macroeconomic environment. Rewane, said the solution to the challenges facing Skye Bank was for it to raise additional capital. “There is a difference between liquidity and solvency. The bank was supposedly under-capitalised, so that was a solvency issue. So they would not have enough buffers to withstand shocks in times of stress. “Therefore, the solution to their problem is to raise additional capital. To raise additional capital, the central bank, in its judgment felt that the board of the bank was not credible enough to overcome the crisis of confidence. “So it is believed that the crisis of confidence has been resolved because you now have a credible board, which would allow it to raise the capital that is required,” he said. According to Rewane, Skye Bank’s problem started when it used its shareholders’ funds

to buy Mainstreet Bank, saying that if not for the “ambitious acquisition, I don’t think Skye Bank would have been in the situation it found itself.” “So the purchase of another bank without additional capital meant that you were carrying the assets of two banks, with shareholders’ funds of one. As such, the capital inadequacy became more apparent. “Essentially, that aggressive growth strategy was what brought about this situation,” he explained. He, however, pointed out that during economic downturns, banks’ asset quality suffers the most and central banks the world over do everything to assist them. He expressed optimism that the CBN would continue to support banks so as not to create a crisis of confidence in the system. The Head of Research at SCM Capital Limited (formerly Sterling Capital), Mr. Sewa Wusu, also said banks should consider rights issues to raise additional capital so as to maintain the capital threshold. “One of the ways to address the issues of low capital adequacy is to raise capital. What it means is that the new management has the responsibility of raising fresh capital and they should also ensure that they come up with a strategy to boost their loan recovery drive. “Even though the economy is weak, they just have to fine-tune their strategy around recovery,” he said. “The whole banking sector is under pressure in Nigeria given slowing growth and average loan-book exposure to oil and gas of 30 per cent,” a London-based economist at Bank of America Merrill Lynch, Oyin Anubi said.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

ANALYSIS

Of Pencom and the Challenge of Compliance The Contributory Pension Scheme has been in place for 12 years, however, several employers of labour and their employees are yet to key into the scheme. Ebere Nwoji reports that enforcing compliance presents a major challenge for the National Pension Commission The National Pension Commssion (PenCom), since its inception 12 years ago, has recorded a lot of achievements in its efforts to fulfill the objectives of adopting the Contributory Pension Scheme (CPS) by the federal government which among others are: To ensure that those who worked in either the public service of the federation, Federal Capital Territory or private sector receive their retirement benefits as at when due; To assist improvident individuals by ensuring that they save in order to cater for their livelihood during old age as well as to establish uniform set of rules, regulations and standards for the administration and payments of retirement benefits for the public service of the federation, federal Capital territory and the private sector. The Commission has also gone far in achieving its principal objective of establishment, which is to regulate, supervise and ensure effective administration of pension matters in Nigeria. But having done these, the biggest challenge still staring on the face of the Commission has remained effective enforcement of the CPS among Nigerian employers especially private sector employers. Indeed, the commission, still has a long way to go in this regard as the level of non compliance with the scheme among formal and informal sector employers is still very high. Their non compliance in this regard is of two fold. First, some employers fulfill the aspect of the law on opening of Retirement Savings Accounts for their employers but fail to remit the deducted salaries of the employees to their RSA. The 2014 pension Reform Act, requires that employers should contribute 10 percent to the employees’ Retirement Savings Account (RSA) while deducting 8per cent from their salaries meaning that each month, a total of 18percent of each employee’s salary contibuted by him and his employers should be paid into his retirement savings accounts. Unfortunately, many employers, not only default in paying their own 10 percent to the employees’ RSA, but also deduct their salaries and fail to remit same into the employees’ RSA. The implication of this is that while PenCom is calculating the number of workers that have keyed into the scheme, it does not reflect in the quantum of savings as many employees have nothing in their Retirement Savings Accounts, though they were numbered among the contributors. The second set of employees are those who within these 12 years, have not deemed it necessary to comply with the law as such, their employees have not been registered with any Pension Fund Administrator( PFA) therefore have nothing set aside for their retirement. As earlier stated, this is more prevalent among private sector employers and has raised the question on what PenCom should do to get them comply with the law and secure better future for their employees. The Commission, on its part is not ignorant of this set of employers who break the law as it had a few years ago, taken some steps to call them to order but this has not yielded the desired results. For instance, in 2013, PenCom said it had sanctioned about 1,105 organisations for failing to open RSA for their employees. The Commission, said it also issued caution letters to 487 firms for failing to comply with the provisions of the law, as well as imposed penalties on 618 erring firms during the period for the same offence. Late last year, PenCom’s Director-General Mrs. Chinelo Anohu-Amazu, said she would instruct the law enforcement agents to prosecute employers who deduct the contributory pension from their employees’ salaries but fail to remit the deductions to the designated pension managers. Describing the act as a criminal offence, the PenCom DG said the commission had devoted a department to this effect. “Right now, even in PenCom, we have a whole department devoted to enforcement and compliance. We have also engaged recovery agents

Anohu-Amazu

because the compliance is on many levels. Some people have made deductions from their salaries and have not remitted into their Retirement Savings Account (RSA). We are calling out on those people and we are going to work with the appropriate law enforcement agencies because it is a financial crime to take money out of an employee’s salary and does not remit it into his Retirement Savings Account”, the DG said. She also noted that there were those who had not even complied with the Pension Act at all by opening a pension account adding that the commission would reach out to them. She told State house Correspondents after a recent visit to President Muhammadu Buhari in Abuja that one of the commission’s priority this year was to ensure that every one, whether in a formal employment or not was brought under the scheme adding ensuring compliance with the Pension Act has remained a challenge to the commission. A challenge indeed, but more challenging is the actual steps to take to ensure total compliance by Nigerian employers. Apparently, between the year 2004 to 2016,any employer of labour who has not put in place pension scheme for his workers in accordance with the law does not want to do so and is therefore playing with the future of his workers and law of the nation. This therefore calls for a more decisive step by PenCom against such employers. A critical look at the behaviour of private sector employers towards the future welfare of their workers shows that while only very few comply with the law majority do not. A section of the Pension Reform Act, talks about group life insurance and contributory pension scheme which greater percentage of private sector employers do not comply with. Section 9(3) of the Pension Reform Act (PRA) 2004 ammended in 2014 and Section 5.5 of the guidelines for Life Insurance Policy for employees,

says that employers of labour covered by the PRA are required to submit copies of the Insurance Certificates and schedule of benefits to the National Pension Commission and Pension Fund Administrators (PFA) where the employees maintain their Retirement Savings Accounts. The Act also requires that every employee should open a Retirement Savings Account (RSA) with his or her preferred Pension Fund Administrator (PFA). On monthly basis, the employer should from its purse, pay 10 percentage of the employee’s monthly emolument into that RSA for the benefit of the employee. In addition to what the employer contributes, the employee is also required to “sacrifice” 8per cent of his monthly emolument into that account. The employee’s contribution is deducted from his monthly income by the employer and remitted into the RSA (along with the employer’s contribution) on a monthly basis. This therefore means that the account that has been opened by the employee should always contain both the employee’s contributions and what the employer has also contributed for him; together with the investment income generated on the fund so contributed. The Act, gives a clear definition of what monthly emolument means for the purpose of computing the contributions. It says that“monthly emolument” is “a total sum of basic salary, housing allowance and transport allowance.” An investment expert heading pension unit of one of the banks in Lagos who spoke to THISDAY on anonymous ground said although in the developed world, pension issue is also associated with a lot of controversy. He said Nigerians need some level of force to get people obey the law. But a critical look at the level of violation of the pension act by Nigerian employers and PenCom’s attitude towards disciplining them shows that the commission is yet to be hard on them therefore has given room for continued violation of the law. This is despite the fact that the 2014 Pension

Reform Act had provided tougher penalties that will serve as deterrence against mismanagement or diversion of pension funds assets under any guise. The Act, recommends a 10-year imprisonment or fine of an amount equivalent to three-times the amount so mismanaged or diverted or both. In addition, the Act empowers the Attorney General of the Federation to initiate criminal proceedings against employers for persistent refusal to remit pension contributions, among many other items of reference. In recent times, it is not certain how many of these employers, especially those that deduct employees’ salaries and fail to remit same to their RSA that the commission has dragged to court or taken to the Attorney General of the federation. Industry observers said the commission was more active in taking steps against such employers in the years past than now, a situation which they attributed to the fact that perhaps the huge amount currently accruing as pension asset has made the commission to be mild in its actions against the defaulting employers. Few years back, former president of Pension Operators Association of Nigeria (PenOp) Mr. Dave Uduanu had informed the media that recovery agents appointed by PenCom to go after companies and organisations registered under the Contributory Pension Scheme, which had failed to remit employees’ contributions to their various Pension Fund Administrators, visited 5,584 firms out of 15,750 firms identified as non-compliant with the law, and was able to make recoveries from 105 of the firms. In the past two years, none of such efforts from the commission has been heard of despite the fact that violation of the law has been on the increase. While PenCom is pursuing employers whose employees registered for the contributory pension scheme but who do not remit their contributions and those of their employees the question on people’s lips is what about the employers whose employees have not registered with any PFA? Investigations show that their employees did not register with any PFA not because they don’t like pension but because given the nature of the contributory pension scheme, it is the employer that selects two or three PFAS among the existing ones and invite them to his company for his workers to choose among them whom to open account with. But recent discoveries have shown that such employers do not even talk about pension let alone inviting PFAs for his staff to make their choice. Such workers, having waited for too long without seeing anything have resolved not to put hope on any pension benefit at the end of their service. PenCom should equally fish out such employers and deal decisively with them and compel them to comply with the law. There is also a new trend among workers whose employers do not remit their deductions. The workers have now chosen not to service their RSA account by instructing their employers not to deduct anything from their salary. One of such workers told THISDAY that he has chosen that option because it does not make sense that his employer would deduct 8 percent of his salary every month when he knows that at the end of the day, it will not be remitted to his account. He said he has chosen the option of having his salary in full and know that he spent it by himself instead of leaving it in the pocket of his employer. This goes to show the enormous task still waiting for PenCom in its effort to ensure the smooth running of the contributory pension scheme. On the other hand, PenCom, had advised such employees to report their case to the commission, to enable it fight for their interest. It is left for this category of employees, to alert the commission through any channel that will not jeopardise their work to enable the commission act in their interest.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

NEWS

Lalong: Creation of Ranches Will Boost Livestock Farming Chinedu Eze The Governor of Plateau state, Simon Lalong has said his administration in line with the disposition of the federal government has decided to introduce ranches as a means growing livestock in the state and curb frequent clashes between farmers and herdsmen. Speaking with journalists at the General Aviation Terminal of the Murtala Muhammed International Airport, Lagos on Monday, the governor said his administration would exploit agriculture development in the state by providing incentives and sustaining the existing

peace through efforts aimed at promoting good neighbourliness and tolerance, adding that residents of the state who came from diverse ethnic groups have been encouraged to live together in peace. “What is on in Plateau is the policy on ranches, which is quite different from grazing. Although all of them have been there a long time ago; grazing has been there and ranches have been there, owned by individuals and organisations, but the security problem we have across the nation and the need to diversify into agriculture make it necessary for the production of livestock in large

quantities. So you cannot leave that to only traditional grazing. That is why we introduced this policy of having ranches. The ranches are everybody’s business for growing livestock and not restricted to any ethnic group,” Lalong said. On the efforts he had made to sustain peace in the state, Lalong said that the people of the state who are from diverse ethnic groups had been living together before the crisis that

erupted some years ago, but noted that his administration has put certain measures in place to maintain and sustain peace in the state. He said his administration established Peace and Conflict Resolution Bureau to pre-empt conflict situations and resolve them before they erupt into crisis. “The people of Plateau state have been living together and shared a lot of things in common but unfortunately crisis

stated but we have been able to enthrone peace now. When we came in we gave everybody a sense of belonging and looked at the ways the people could live together in peace, looked at the submissions and ways to sustain peaceful co-existence in the state. We established Peace and Conflict Resolution Bureau, passed the law in the House of Assembly and have the agency on ground for the purpose of checking areas where there

could be conflict and nip it in the bud. “Even when the issue of grazing arose, it was the Peace and Conflict Resolution Bureau that went to sensitize people. That was why the crisis was short-lived and we have made it clear that we are going for ranches. We are now adopting ranches. We have done our consultations with all the critical stakeholders,” the governor said.

Sovereign Trust Insurance Partners NGO onYouth Devt Sovereign Trust Insurance Plc has said it is partnering a Lagos-based non-governmental organisation (NGO), Teenage Life, on youth development in line with its Corporate Social Responsibility (CRS) initiative. Speaking on the company’s contribution to youth development, the Coordinator of Teenage Life, Mrs. Jessica John Braimah commended the commitment of the Underwriting Firm in promoting youth mentorship in the country through the various programmes it has sponsored over the years. She explained that the current initiative, which Sovereign Trust Insurance is supporting, is centered on educating the youths in the areas of governance, economic empowerment and social infrastructure development. According to her, the role of the youths, is very critical to the growth and advancement of any nation which explains why special attention is given to youth mentorship in her organisation. She appealed to other corporate organisations to get more involved in youth administration issues in promoting a better society especially at this time when values are fast becoming eroded in the country for one reason or the other. She described Sovereign Trust Insurance as a worthy brand that sets pace for others to emulate through its Social Responsibility activities. “The intervention of Sovereign Trust Insurance Plc in supporting our ‘Life Encounters’ radio programme on a syndicated basis across the country

testifies to the affirmation of the brand as a very responsive and trusted partner that can be relied upon at any given point in time. I am particularly grateful to the Management of Sovereign Trust Insurance Plc for its unflinching support of our programmes over the years and I hope to see more corporate organisations emulate such novel initiatives in finding a voice for our youths in the country.” Also speaking at the event, Managing Director and Chief Executive Officer of Sovereign Trust Insurance Plc, Mr. Olaotan Soyinka said his company towers high above its peers when it comes to issues of CSR. He said Sovereign Trust Insurance has been involved in numerous initiatives cutting across various platforms like Sports, Education, Entertainment, Health and so on. “ We do not compromise our stance in giving back to the society when the need arises and we hope we can do more in the years ahead” Soyinka stated. Also, the Head Corporate Communications and Brand Management of Sovereign Trust, Mr. Segun Bankole, said the organisation’s support for Teenage Life over the years is in line with the business philosophy of the company in investing in the future of the Nigerian Youth as Leaders of Tomorrow and Change Agents for the Nigerian society. He said this explains why the company has been so much involved in youth development programmes especially in the areas of sports and education.

COURTESY VISIT

R-L: Ag. Executive Secretary, National Sugar Development Company (NSDC), Mr Samuel Kwabe, presenting copies of pre-feasibility studies of some sugar cane growing areas to the Ag. Executive Secretary, Nigerian Investment Promotion Commission (NIPC), Hajia Ladi Katagum, during a courtesy visit to NSDC by NIPC management team...recently.

PenCom DG to Speak at Catholic Brothers’ Forum Ebere Nwoji The Director General of the National Pension Commission (PenCom), Chinelo AnohuAmazu will be the key note speaker at the National Lecture Series of the Catholic Brothers United (CBU) scheduled to hold in Lagos. This year’s edition of the annual lecture has the theme: ’’The Use of Pension Funds As a Catalyst for Economic Diversification”. According to the organisers, the theme is considered apt as the country grapples with the challenges of acute infrastructure deficit needed to propel economic growth. The lecture, which is in its

17th year in the series aims at providing a national discourse on how the country can leverage on funds like the Pension Funds to accelerate economic development and growth. The Spokes man of the group, Mr. Chika Izuora said the PenCom boss has already sent in her acceptance letter to personally deliver the key note address at the forum. According to Izuora, AnohuAmazu in her acceptance letter to speak at the forum which will hold August 7, 2016 at the Mc Govern Hall of St. Agnes Catholic Church, Maryland, commended the CBU for sustaining the practice of community development activities that have been uplifting

the Church and the entire community adding that the annual lecture is one of such programmes that is worthy of commendation. Commenting on the initiative, President of CBU, Emmanuel Uwukhor said financing infrastructure projects using pensions funds has been a major topical issue that has generated much controversies given the experience with the previous pension scheme. Uwukhor stated that it has become imperative to use the CBU platform to further clarify issues around such discussion as huge population of the Catholic community are subscribers to the Contributory Pensions Scheme (CPS) while others in

the informal sector are itching to join the scheme. “What we want to achieve is to sensitise the teeming Catholic faith and also the general public on the need to understand the benefits of the CPS and how the initiative will lead to fruitful retirement. “We know the family value system is collapsing and the average Nigerian is facing challenges and therefore early savings using this channel would provide them some relief at old age, so we owe the society the responsibility as enshrined in our Corporate Social Responsibility (CSR) to educate them on government policies that aims to better their lot.”

China and Bolivia which have said it risked being used for political motives because states are allowed to post about each other’s affairs. ICAO does not open and close airspace in conflict zones, rather, the agency’s 191 member states “have the obligation to promptly communicate any potential risks” to civil aviation operations in their sovereign airspace”, noted

Bernard Aliu, president of the agency’s governing council, in a statement. The ICAO website will now include links to national pages run by member states, which post their own global aviation safety and security risk warnings, the release said. ICAO sets safety standards that typically become regulatory requirements in its 191 member states.

ICAO to Publish Security Threats More Quickly The International Civil Aviation Organisation (ICAO) has promised to publish quickly to improve the possibilities of nipping security and safety breaches in the bud. Reuters reported that an ICAO website launched as part of a global response to the downing of Malaysia Airlines flight MH17 in 2014 will post warnings about potential attacks against aircraft more quickly

but only when they come from the country where the threat originates. The UN’s International Civil Aviation Organisation said that a country’s warnings about threats to commercial aircraft in its airspace can now be posted immediately on the website. Countries were previously allowed to post warnings on the site about threats to aircraft occurring in other regions, but

only after the affected state was given the chance to respond, which could take as long as 72 hours. The changes follow a review of the site. Countries can now only post about risks to their own airspace or to other regions provided they have the agreement of the other states. Airlines have pushed for accessible, up-to-date information on risks to civil aviation

after MH17 was shot down in July 2014 in Ukraine, killing 298 people. Ukraine has defended its decision not to close the airspace in the east of the country where the plane was shot down, saying it was unaware that anti-aircraft weapons were being used in the area and that planes could be under threat. Changes to the site follow criticism from countries such as

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

FirstBank Named ‘Best Retail Bank’ in Nigeria First Bank of Nigeria Limited has disclosed that it recent won “The Best Retail Bank in Nigeria” award for the fifth time, the “Mobile Payment Product of the Year award” and the “Credit Card Product of the Year award” in the 2016 Asian Banker Retail Services West African Awards which took place in Lagos recently. Organised by the Asian Banker magazine, the awards, according to a statement, was to recognise competition and innovation in one of the fastest growing and fierce markets with fierce competition. According to The Asian Banker, FirstBank has continued to dominate the retail space with over 40 per cent of the market share in retail customer deposits. FirstBank’s Naira Credit Card and its mobile wallet payment service – FirstMonie were adjudged as the best in the credit card product of the year and mobile payment product of the year categories respectively. “With the largest footprint in the country in terms of network and product offering, FirstBank provides something for everyone. The bank is focused on revamping credit products for individuals and small businesses as well as using its mobile banking business to offer banking

services to the unbanked population in Nigeria,” the statement added. While receiving the awards on behalf of the Bank, the Deputy Managing Director, First Bank of Nigeria Limited, Mr. Gbenga Shobo stated that the awards were a testament to the effectiveness of the Bank’s various transformation programmes aimed at raising the bar in developing and delivering unique retail financial products to all levels of customers. “FirstBank has in place a robust retail banking strategy that enables us to review our retail products and processes to ensure that the needs and lifestyles of customers are met. We are relentlessly deepening our retail dominance with the launch of innovative products and services, tailored to suit the changing times and ever growing customer base. “Emerging the ‘Best Retail Bank in Nigeria’ for 2016 after a stringent three-month evaluation process is a clear indication of the effectiveness of our retail strategy with regards to sustaining business services and retail financial products which, has helped to position our customers as first at all times,” Shobo added.

NEWS

Union Dicon Salt Embarks on $100m Transformation Strategy Goddy Egene The Management of Union Dicon Salt (UDS) Plc has initiated a 48-month, $100 million strategy that is aimed at transforming the company into an integrated fast moving consumer goods (FCMG) and Agri - business with an initial focus on food and agriculture. The Managing Director of UDS, Mr. Chuka Mordi stated this on Monday during the company’s ‘Facts beyond the restructuring’ to stockbrokers at the Nigerian Stock Exchange (NSE). According to him, the models for the plan are: farming (build production capacity in key food areas); processing (become a national manufacturer and distributor of FMCG in foods);

logistics(build an integrated supply chain and be a processor of agricultural products and food ingredients. He disclosed that core investors have injected a total of N3.3 billion into the company to revitalise it. Mordi said that discussion is on-going with Central Bank of Nigeria (CBN) and other financial institutions to get cheaper loans, adding that the estimated cost for corporate restructuring and business transformation of cassava farming and starch processing for the next to two years is between N5billion and N10billion, while rice farm development and fruit juices is N5billion. Mordi stressed that the indicative costs of the development plan is based on initial discussion

with potential hires, consultants and acquisition counter parties. To revive the business, he said the company will raise 40 per cent equity and 60 per cent debt. He added that cassava and starch production is the immediate focus of the business to achieve near-term profitability and drive the company’s growth and success. “Leveraging on 2015’s success and announcing the return of the UDS, we want to finalise the acquisition of cassava and rice farms, acquire 7,900 hectares in Delta State and finalise agreement for land in Ebonyi State. “We are working with Federal Government, State Governments and private land owners. In the pipeline, we have over 10 transactions, these will establish a long term, land bank pipeline,”

he added. UDS recently replaced the Cargil, a United States based agro-industrial as core investor in the Alape Staple Crop Processing Zone (SCPZ) in Kogi State. Speaking on the development, the Minister of Agriculture and Rural Development, Chief Audu Ogbeh said: “I am glad to see that a Nigerian company is taking over this very important project, and is championing the indigenous development of agribusiness. We are not going to engage in policy somersault. We are carrying on with the great idea of SCPZ and we are adding even greater ideas. We are carrying on as we now produce what we call the green alternative: that alternative being agriculture, since oil and gas are unstable sources of income.”

UPMFB Offers N600.9m Loans to 1,890 Persons In furtherance of its objective to alleviate poverty in the society, the Enugu-based Umuchinemere Pro-credit Micro Finance Bank (UPMFB) made a total disbursement of N600,860,143 to 1,890 active poor people in Enugu State in the first half of 2016. Of this total amount disbursed, a total of 357 rural clients benefitted the sum of N77,639,069. The funds were to help the beneficiaries meet their financial needs, improve their quality of living and lift them out of poverty. Details of the disbursements according to a statement from the acting Head of Credit, Mr. Charles Udeani indicated that out of the N600,860,143, women were the greater number of the beneficiaries, with a total of 742 females out of the 1,890 beneficiaries. Udeani explained that the amount of funds disbursed by the bank in the first half of the year met the bank’s target, with the facilities performing above average. Expressing optimism that there would be economic improvement in the country by the end of the year, the Umuchinemere Pro-credit Micro Finance Bank’s Credit manager assured that the bank was focused and determined to achieve its projected target of fund disbursement for the years, so as to create jobs and lift many more people

out of poverty by the end of 2016. Advising the micro credit facilities’ beneficiaries “to avoid multiple borrowing and use the facilities for their purpose and to repay promptly to sustain their relationship with the bank”, Udeani said the facilities were aimed at creating maximum wealth for the beneficiaries. He expressed optimism that “the remaining half of the year will be better, as the anti graft war of government would have started yielding positive dividends on the economy by then.” He reiterated an earlier charge to the bank’s loans officers to always lend money to people of good character and conscience, the new manager Credit said the bank strove to meets her customers’ financial needs by continually introducing products and services that suit their needs and by also extending its services to the rural areas. Meanwhile, the Umuchinemere Pro-credit Micro Finance Bank has continued the extension of its financial services and products to the rural populace, with the recent opening of an office at the Enugu State Polytechnic, sited at the rural community of Iwollo in the Ezeagu local government area of Enugu State.

FAREWELL CEREMONY

L-R: Immediate Past Executive Secretary, Financial Market Dealers Association of Nigeria (FMDA) and Ex Co-chairman, Electronic Certificate of Capital Importation (ECCI), Mr Wale Abe; FMDA’s staff, Mrs Mary Gbegbaje; representative from the United Bank for Africa Plc, Mrs Taiwo Shekoni; and Assistant Manager, Central Bank of Nigeria, Mrs Olufemi Ojo, during a farewell ceremony organised for Abe in Lagos…recently

NCC Boss to Address Stakeholders on IGR Dele Ogbodo in Abuja The Executive Vice Chairman (EVC) of the Nigerian Communications Commission (NCC), Professor Umar Garba Danbatta, is billed to make presentation at a two-day retreat on enhancing Internally Generated Revenue (IGR) for Ministries Departments and Agencies (MDAs) of government from across the country in Kano (today) Wednesday. The retreat, as contained in a statement signed by Mr. Yakubu Musa, the EVC’s SA on media, is geared towards sensitising stakeholders on the funding and sourcing for revenue for

the implementation of the 2016 budget. The revenue generation brainstorming retreat, which is organised by the federal ministry of finance, is also expected to feature technical presentations from relevant ministries, departments and agencies, with a view to addressing impediments to effective non-oil revenue generation, identifying hidden revenue sources and articulating best practices for non-oil revenue profile. Danbatta, is also expected to share with the participants, the NCC’s experience, as one of the few government’s agencies, which have made significant

progress towards non-oil revenue generation. The NCC, which recently emerged ‘African Regulator of the Year’ at African Information Technology and Telecoms Awards (AITTA) in Ghana, has remitted N70billon to the federation account in the last one year of Danbatta’s stewardship. The statement fadded: “This, is in addition to the N 30billion paid by MTN Nigeria Communications Limited as a part payment of the N330billion fine slammed by the Commission and $ 96 million paid by the company for 5 MHz of 6 slots of 30MHz in the 2.6GHz Band.

“Under his leadership, the NCC is also the winner of the European Award for Best Practices 2016. The award ceremony, which held in Brussels, Belgium, was hosted by the European Society for Quality Research (ESQR), an affiliate of the European Union (EU). “No fewer than 63 countries participated in the award ceremony out of which the NCC won the European Award for Best Practices 2016. The award which is the Gold category is “in recognition of its outstanding commitment, support and results in quality management strategies.”

Burundi Tax Receipts Soar 31% in June Burundi’s tax receipts soared in June, official data showed on Wednesday, rising 31 percent compared to the same month in 2015 when a political crisis and unrest would have hampered tax collection.

The landlocked east African nation’s president, Pierre Nkurunziza, sought and won a third term last year to fierce opposition. More than 450 people have been killed in related violence since then and

260,000 have fled abroad. No explanation was given for the surge in tax revenues, but June 2015 saw tensions mount before a parliamentary election at the end of that month and a presidential poll

in July. Tax receipts rose to 57.1 billion francs ($34.4 million) in June, higher than a target of 53.9 billion francs, the semi-autonomous revenue board (OBR) said in its monthly report.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

NEWS

W’Bank: World’s Youngest Populations Are in Africa Obinna Chima A third of the world’s population is under 20 years old. But some countries are younger than others. The World Bank in its latest population data posted on its website on Monday showed that in 40 African countries, over 50 per cent of the population is under 20. But in contrast, in 30 richer countries, less than 20 per cent of the population is under 20. The Global Monitoring Report 2015/2016 that was jointly published by the World Bank and IMF had shown that the world was undergoing a

major population shift that will reshape economic development for decades and, while posing challenges, offers a path to ending extreme poverty and shared prosperity if the right evidence-based policies are put in place nationally and internationally. The share of global population that was working age had peaked at 66 per cent and was on the decline, the report had stated. World population growth was expected to slow to one per cent from more than two per cent in the 1960s. The share of the elderly was also anticipated to

almost double to 16 per cent by 2050, while the global count of children is stabilising at two billion. The direction and pace of this global demographic transition varies dramatically from country to country, with differing implications depending on where a nation stands on the spectrum of aging and economic development. Regardless of this diversity, countries at all stages of development can harness demographic transition as a tremendous development opportunity, the report says. “With the right set of policies, this era of demographic change

can be an engine of economic growth,” World Bank Group President, Jim Yong Kim had said. “If countries with aging populations can create a path for refugees and migrants to participate in the economy, everyone benefits, Most of the evidence suggests that migrants will work hard and contribute more in taxes than they consume in social services.” More than 90 per cent of global poverty is concentrated in lower-income countries with young, fast-growing populations that can expect to see their working-age populations grow

significantly. At the same time, more than three-quarters of global growth is generated in higher-income countries with much-lower fertility rates, fewer people of working age, and rising numbers of the elderly. “The demographic developments analysed in the report will pose fundamental challenges for policy-makers across the world in the years ahead,” IMF’s Managing Director, Christine Lagarde had said. “Whether it be the implications of steadily aging populations, the actions needed to benefit from a demographic dividend, the handling of migration flows—these

issues will be at the center of national policy debates and of the international dialogue on how best to cooperate in handling these pressures.” At country level, governments with young populations can maximise the benefits of demography by investing in health and education to maximise the skills and future job prospects of their youth. Those countries with aging populations should consolidate their economic gains by boosting productivity and strengthening social safety nets and other welfare systems to protect the elderly.

Fitch: Sustained Pounds Fall May Pressure UK Corporate Ratings The depreciation of sterling since the Brexit vote is unlikely to spur any near-term corporate rating actions, but a further 10 per cent decline for a sustained period would magnify the negative effects and increase pressure on some ratings, Fitch Ratings has said. UK retailers and airlines are particularly exposed. “Our analysis of an initial sample of Fitch-rated UK corporates considered most exposed found that a 10 per cent sterling depreciation from pre-vote levels, broadly what has occurred so far, would lead to an average increase of 0.5x in unhedged leverage (debt/funds from operations). A 20 per cent depreciation to around $1.18 or EUR1.06 that was maintained over the long term would result in an average 2.7x increase in leverage. “Under this stress case, ratings would be affected if companies were unable to rebalance capital structures or limit FX impacts on the cost of imported goods following the expiry of existing hedging arrangements,” Fitch added. Retailers such as New Look and Tesco are the most exposed to weaker sterling on an unhedged basis in our

sample. Tesco, for example, generates three-quarters of its revenue in UK pounds. But nearly half its costs and half its debt are in foreign currency, so cash flow pressures from higher costs of imported goods are compounded by the higher cost of servicing foreign-currency debt, unless there are meaningful compensating actions. “We believe large retailers will be able to source from cheaper locations to help offset the impact. Impacts are mitigated in the short term when FX hedging effects are considered, where companies buy currency forwards to ensure they have access to foreign currency at a fixed rate. Hedging contracts are generally only for the next six to 12 months and after that retailers would have to increase prices, or source from cheaper markets, to protect margins. “New Look hedges between 90% and 100% of foreigncurrency requirements shorter than six months and 50% of requirements up to 15 months. Tesco’s hedges meaningfully reduce the foreign-currency exposure on its debt and it hedges short-term foreign-currency requirements for its cost of imported goods, in line with market practices.

Brexit Impacts European and UK Funds Differently Fitch Ratings has said that funds of European assets (European funds) underperformed funds of UK assets (UK funds) in June, thereby suffering more from Brexit in the short term, in absolute, local-currency terms. UK funds, however, did worse than European funds, relative to benchmark. On average, most funds, both UK and European, underperformed their benchmarks in June. The major European fund categories underperformed UK fund categories in local-currency terms in June 2016. Relative to benchmark however, European funds showed a better performance than their UK counterparts in local currency. For instance, Fitch estimated that 27 per cent of European equity funds

outperformed their benchmarks in June, net of fees compared to only 10 per cent for UK equity funds. Major UK and European fund categories underperformed their benchmarks in June, according to Fitch’s estimates. This suggested that portfolios were constructed around a central scenario that the Remain vote would win, albeit mitigated for some by defensive positioning relative to benchmarks. Fixed-income fund categories showed positive performance while equity funds showed negative performance in local currencies in June. Government bonds and investment-grade bonds benefitted the most from yield compression and a flight to safety.

BRAND PROMOTION

L-R: Managing Director, Guinness Nigeria, Peter Ndegwa; representative of the Obi of Onitsha, Onowu of Onitsha, Chief Okechukwu Ononye; and Corporate Relations Director, Guinness Nigeria, Sesan Sobowale, during a courtesy visit to the Obi of Onitsha by the Guinness management team at the Obi’s palace in Onitsha, Anambra State...recently

Adelabu: Financial Stability Crucial to CBN Obinna Chima The Deputy Governor (Corporate Services), Central Bank of Nigeria (CBN) Mr. Adebayo Adelabu has stressed that financial system stability is crucial to the central bank, adding that most of its policies in recent time have been geared towards ensuring the safety and soundness of the banking system. Adelabu made the remark in a Keynote address he delivered at maiden financial journalists and banks’ image makers’ parley organised by the Centre for Financial Journalism (CFJ Nigeria), held in Lagos recently. He spoke on the topic: ‘Financial System Stability: The Role of Financial Journalists and Banks’ Image Makers.’ According to him, in order to promote a sound financial system in Nigeria, the central bank has continued to ensure high standards of banking practice and financial stability through its surveillance activities, as well as the promotion of an efficient payment system. However, he noted that in addition to its core monetary functions, the central bank has performed some major developmental functions, by intervening in all the key sec-

tors of the Nigerian economy namely: financial, agricultural and industrial sectors. “On our part at the CBN, we have taken proactive steps to check further depletion of the reserves. Between 2014 and now, we have taken deliberate action and issued policies to check rent-seeking among operators of bureaux de change (BDCs) to check, unauthorised financial transactions and the ‘dollarising’ of the economy. We went a major step further in January 2016, when we stopped the weekly sale of foreign exchange to BDCs. “Recently, the CBN, in line with the decisions reached at the last Monetary Policy Committee (MPC) meeting, issued guidelines reintroducing and operationalising Nigeria’s flexible exchange rate market. The main thrust of this policy is that the forex market will now operate a single market structure through the inter-bank/autonomous window. Let me stress here that the workings of the inter-bank trading that commenced most recently are consistent with the CBN’s objectives of ensuring efficiency and facilitating a liquid and transparent foreign exchange market,” he added. According to him, another novel and key feature of the new guidelines is the non-deliverable

over-the-counter (OTC) nairasettled futures, with daily rates on the CBN-approved FMDQ Trading and Reporting System. This, he pointed out would encourage end-users to spread out their demand for Spot FX deals as they are now able to lock down the exchange rates for future FX requirements. This also has the potential to eradicate the constant front-loading of FX requirements and minimise the disequilibrium in the spot FX market. End-users will make better judgment as to the timing of accessing the spot FX market. “The availability of the OTC FX Futures will also improve the business planning practice of end-users and FX sellers, as the future exchange rate is guaranteed through the OTC FX Futures. We note that this would help moderate volatility in the exchange rate by moving non-urgent demand for foreign exchange from the spot to the futures market. “Towards achieving the Bank’s mandate of ensuring the safety and soundness of the financial system, the Bank has continued to conduct riskbased examination of all banks with high and above average composite risk rating. “Consequently, we have carried out series of solvency stress

test, liquidity stress test, foreign exchange examination of all banks as well as the routine and targeted examination of all discount houses and financial holding companies. Our efforts are aimed at promoting financial system stability by ensuring that banks are adequately capitalised and have enhanced risk management systems,” he said. Other critical areas where the central bank had contributed towards ensuring stability in the financial system are in the aspects of development finance, payments system and consumer protection, he said. Earlier, the Publisher of Businessday, Mr. Frank Aigbogun, commended the founder of the CFJ Nigeria, Mr. Ray Echebiri. Aigbogun, also urged financial journalists to develop passion to carry out their jobs. “Perhaps more importantly, you must be open to selfdevelopment. As individuals, we all must do more to earn the recognition of being a financial journalist. Whether you are selling an online publication or you are in the traditional media, there is absolutely no choice –knowledge is everything, you just have to keep learning,” he said.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

NEWS

Nigerian Stock Exchange Releases 2015 Sustainability Report Goddy Egene

The Nigerian Stock Exchange (NSE) on Monday released its 2015 Sustainability Report titled: “Ushering in a new era of sustainability in the Nigerian market place.” The report, the second edition, demonstrates how the exchange showcases the importance of sustainable business practices in delivering value and supporting economic growth. The NSE said the report,

which is in accordance to the Global Reporting Initiative G4 Guidelines aligns with its Corporate Social Responsibility framework and covers the four key impact areas it has devoted attention and resources. The areas are market place, community, workplace and environment. Commenting on the report, the Chief Executive Officer of NSE, Mr. Oscar Onyema, said: “As we strive to create durable wealth for our stakeholders,

the NSE continues to highlight the importance of sustainable business practices in delivering value and supporting economic growth. In 2015, we continued the holistic implementation and integration of the NSE Corporate Sustainability Strategy into our day-to-day operations, in order to effectively manage risks and business development opportunities. While we are pleased to report that we have held ourselves accountable to the highest standards, we are

also intensifying our advocacy efforts to support the integration of the Environmental, Social and Governance (ESG) imperatives in the Nigerian capital market.” On the market place, the NSE said it promotes market-based approach to Environmental, Social and Governance (ESG) imperatives amongst all stakeholders. “Our major achievements include: assessed and rated all companies on the premium board using the Corporate

Governance Rating System, executed advanced capital market awareness programme in over 50 Nigerian tertiary institutions,” the exchange said. Regarding the community, the NSE said it makes positive contributions to the communities where we it live and work. Key progress recorded are: implemented 172 Financial Literacy programmes across the nation, reaching 15,000 people, launched Adopt-ASchool Programme at Oke-Odo

High School, Lagos. Under the pilot scheme, 52 teachers were trained on soft skills, information & communication technology and financial intelligence; 250 students participated in career workshop; and a Learning and Development Centre was donated to the school; 50 Federal and State Universities benefitted from a book donation progamme; Organised the 2nd edition of the NSE Corporate Challenge with over 500 runners and over 27 million impressions on twitter,” the exchange said.

Minister Worries $20m Spent on Jute Bags Importation in 2015 Stories by James Emejo in Abuja The Minister of State for Industry, Trade and Investment, Hajia Aisha Abubakar has expressed worry that over $20 million was expended on the importation of jute bags last year. She said the importation was avoidable given the Nigeria’s capability and potential of becoming a net exporter of jute bags and other derivatives of kenaf. Speaking in Abuja during the inauguration of the Kenaf Producers, Processors and Marketers Association of Nigeria (KEPPMAN), she said: “What is disturbing is the inability of the country to fully harness the potential of this very important commodity? “Countries like India, Bangladesh, China, Malaysia and others which understand the significance of the commodity to the development of their economies are investing massively and reaping returns worth billions of dollars. “The simple fact that kenaf can be grown in commercial quantity in over 20 states of Nigeria including the FCT explains why the Federal Government is keen on developing

the commodity.” According to her, “Kenaf has given us a window of opportunity in our quest for economic diversification. “Investment in kenaf would not only create millions of jobs for our teeming unemployed youth but would also enhance the standard of living for all stakeholders in the commodity value chain.’’ kenaf is an annual or biennial herbaceous plant with a wide range of both food and non-food derivatives and a major source of an edible vegetable oil. Equally, the kenaf seed oil is also used for cosmetics, industrial lubricants and for biofuel production. Abubakar said translating the huge potential of kenaf into economic benefits was a task that all stakeholders must rise up to adding that the right mechanism would be put in place to attract investment both at the upstream and downstream sectors of the commodity. While assuring them of government support, she urged the association to mobilise stakeholders across the kenaf value chain in order to revive the sector.

Sugar Output Slides, Wheat Rises Due to Weather International food commodity prices shot up 4.2 per cent in June, their steepest monthly increase of the past four years. The Food and Agriculture Organisation (FAO) Food Price Index, released last weekend averaged 163.4 points in June and is now one per cent below the level reached a year earlier. The June rise, which affected all commodity categories except vegetable oils, was the fifth consecutive monthly increase. The price movement reflects FAO’s updating of its cereal supply and demand forecasts for the 2016/17 marketing season. FAO’s Food Price Index is a trade-weighted index tracking international market prices for key traded food groups. The FAO Sugar Price Index rose 14.8 percent from May, as Brazil, the world’s largest sugar producer and exporter, endured

heavy rains that hindered harvesting and dented yields. The FAO Cereal Price Index rose 2.9 percent in the month and is now 3.9 percent below its level of June 2015. Maize prices drove that increase, primarily due to tightening spot export supplies from Brazil. Ample wheat supplies and reports of record yields in the United States held down wheat prices. The FAO Dairy Price Index rose 7.8 percent from May, spurred by an uncertain outlook in Oceania and slower production growth in the European Union. Nonetheless, the index remained 14 percent below its level of a year ago. The FAO Meat Price Index rose 2.4 percent from its revised May value, as average quotations for pork, beef and poultry all rose for the third consecutive month.

FOR TECHNOLOGY ADVANCEMENT

L-R: Treasurer, Nigeria Internet Registration Association (NIRA), Biyi Oladipo; Head, Online Media/ Special Publications, Nigerian Communication Commission (NCC), Mr. Okoh Aihe; CEO/Principal Consultant, KITBENJ Ltd, Elizabeth Olofin; Managing Director, Rack Centre, Mr. Tunde Coker; and Vice President, Network Operations, Airtel, Dr. Adedoyin Adeola, at the Nigeria international technology exhibition and conference tagged, ‘Trending Technologies’ in Lagos…recently etop ukutt

FBN Capital, OBG Sign MoU for Report on Nigeria 2016 Goddy Egene FBN Capital has signed a first-time memorandum of understanding (MoU) with the Oxford Business Group (OBG) for the publishing firm’s forthcoming report. Serving as a research partner for the next three editions of ‘The Report: Nigeria 2016’. The report by the global publishing firm, OBG, will examine the Central Bank of Nigeria’s monetary policy, reviewing the country’s recentlyrevised foreign exchange policy alongside broader efforts by the government to stimulate growth. FBN Capital said it would work closely with OBG’s team to support coverage on Nigeria’s key financial, economic and monetary issues. FBN Capital will also be

responsible for compiling and producing the capital markets shares analysis of The Report: Nigeria 2016. The Report: Nigeria 2016 will include analysis of the country’s new floating foreign exchange policy, which was enacted in June by the central bank. The decision to allow the naira to float marks a distinct change from previous policy, which in the face of dwindling reserves had led to a widening gap between official and blackmarket exchange rates for the naira against the US dollar. OBG will also look at the impact of the measures on the domestic supply chain, and assess the ramifications for bond trading and liquidity in the Nigerian market. Other topics that the publication will cover include the Central Bank’s efforts to curb inflation, which

remains above nine per cent. Commenting on the MoU, the Head of Marketing and Corporate Communications at FBN Capital, Lolade Sasore said, “OBG is a recognised and respected source of business intelligence, and we are quite pleased about the collaboration. We are committed to working with strong partners to provide credible information, analyses and perspectives which will support decision-making and encourage investment into the country in the long term.” OBG’s Country Director in Nigeria, Izabela Kruk, said that with 2016 expected to be a significant year for Africa’s largest economy, FBN Capital’s contribution to the Group’s forthcoming publication was particularly welcome. “The Report: Nigeria 2016 comes at a pivotal point in the

country’s development, with efforts to diversify the economy taking on added urgency due to lower global oil prices. FBN Capital is playing an active role in helping Nigeria to broaden its economic base and reduce its reliance on hydrocarbons and their deep knowledge of the local market will help further expand our coverage of Nigeria’s key financial sectors.” According to them, the report will be a vital guide to the many facets of the country, covering a range of sectoral developments in oil, industry, infrastructure, banking and telecoms, among others. It will also o contain interviews with leading representatives from the public and private sector, and is being produced in collaboration with the Nigerian Economic Summit Group and the Nigerian Investment Promotion Commission.

Spectranet 4GLTE Partners Aero Contractors for Free WIFI Spectranet 4G LTE has signed a memorandum of understanding with Aero Contractors to provide free internet service to the passengers of Aero Contractors at the Murtala Muhammed Airport 2 Terminal (MMA2) in Lagos. Speaking during the agreement signing, Chief Executive Officer of Spectranet, David Venn, said the Spectranet

brand is driven by innovation towards creating exciting endless experience for the consumers across all level with the purpose of enabling them to connect to what matters to them most, no matter the location of the consumer. He explained that the choice of Aero was clear and deliberate given the strategic discovery of

the strength of the Aero brand as a leading player in the sector with great heritage. “Our partnership with Aero Contractors is a statement of the aspiration of Spectranet as a leading brand of ISP and we want to continue to scale up our performance, thus the choice of Aero contractors as a partner to give special experience to

the passengers at the Murtala Mohammed Airport,” David said. Expressing satisfaction on the relationship whilst welcoming the Spectranet team, Chief Executive Officer of Aero Contractors, Captain FolaAkinkuotu, stated that it was exciting to partner a brand with huge ambitions in the market, such as Spectranet 4GLTE.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

NEWS

S&P 500 Closes at Record High on Global Risk Appetite The US benchmark S&P 500 stock index set record intraday and closing highs on Monday as last week’s strong monthly US jobs report worked its way into financial markets, and European shares rose as a single candidate emerged to succeed David Cameron as British prime minister. The S&P 500 .SPX ended at a record high of 2,137.16 after touching a record intraday high of 2,143.16. It overtook the previous highs touched in May 2015 as investors harboured greater optimism about the U.S. economy after last Friday’s

stronger-than-expected jobs report. The gains in US shares on Monday were broad based. Industrials .SPLRCI and consumer staples .SPLRCS also hit record highs. The tech-heavy Nasdaq Composite rose above 5,000 for the first time since December during the session. The STOXX Europe 600 closed up 1.6 per cent at 332.72, its highest close since Britain’s vote to exit the European Union on June 23. Theresa May won the race to succeed David Cameron as Prime Minister, reducing political uncertainty

in the UK. “The markets are having a feel-good rally because the jobs report on Friday was betterthan-expected and that was followed up by some good election news in Britain and Japan,” senior investment strategist at RidgeWorth Investments in Atlanta, Alan Gayle told Reuters. “Investors have been looking for a reason to buy stocks and now they have it.” US Treasury yields rose on Japanese Prime Minister Shinzo Abe’s order for a fresh round of fiscal stimulus,

which reduced demand for safe-haven U.S. bonds, and as investors braced for $56 billion in supply this week. Abe’s ruling coalition clinched a victory in Sunday’s election to parliament’s upper house. US 30-year yields US30YT=RR were last at 2.146 percent after hitting a record low of 2.089 percent in overnight trading. Benchmark 10-year yields US10YT=RR were last at 1.432 percent, from a yield of 1.365 percent late Friday. The Dow Jones industrial average .DJI closed up 80.19 points, or 0.44 percent, at 18,226.93. The S&P

500 .SPX ended up 7.26 points, or 0.34 percent, at 2,137.16. The Nasdaq Composite .IXIC closed up 31.88 points, or 0.64 percent, at 4,988.64. Europe’s broad FTSEurofirst 300 index .FTEU3 ended 1.5 percent higher at 1,315.49. Benchmark Brent crude LCOc1 and U.S. crude CLc1 prices hit two-month lows of $45.90 a barrel and $44.53 a barrel, respectively, on extended selling after the market’s break below a key technical support level last week due to oversupply fears. US crude settled down 65

cents at $44.76 per barrel, while Brent crude settled 51 cents lower at $46.25 a barrel. The dollar rose to a 10-day high against the safe-haven yen JPY= of 102.89 yen, climbing more than two per cent, following Abe’s call for more stimulus. “It looked like part of what held the BOJ back several times earlier this year is it just didn’t make sense to expand (quantitative easing) if there’s no coordination with fiscal policy,” said Greg Anderson, global head of foreign exchange strategy at BMO Capital Markets in New York.

Total Files Arbitration against Algeria on Oil Tax Change French oil major Total has filed a request for arbitration against Algeria for changing profit-sharing terms on oil and gas contracts in the mid2000s, Chief Executive Patrick Pouyanne told Reuters. “We tried as always to find a mutual agreement first, it failed, so we decided that we would seek arbitration,” Pouyanne told Reuters on the sidelines of a conference in Aix-en-Provence. “There are talks with states a bit everywhere. There’s nothing particularly because it is Algeria,” he said, adding that it was “business as usual”. Newspaper Le Monde reported on Saturday that Total and its Spanish partner Repsol had initiated litigation at the International Court of Arbitration in May against Algeria and state-run oil company Sonatrach. The dispute was sparked

by Algeria’s decision in 2006 to change an oil tax scheme retroactively. The move has prompted other oil groups to claim compensation. US firm Anadarko Petroleum Corp and Maersk Oil, a unit of Danish conglomerate A.P. Moller-Maersk,, reached settlements in 2012 worth about $4.4 billion and $920 million in oil respectively. Asked if potential compensation was in the hundreds of millions of euros, as suggested by Le Monde, Pouyanne said: “Let’s not exaggerate, it’s less than that, you’ll see,” he said, declining to elaborate further. Sonatrach has a stake of 3.85 percent in Spanish gas company Gas Natural, controlled by Caixa and Repsol as compensation made by Gas Natural for an arbitration ruling in 2010 over a dispute about gas prices.

REWARD FOR LOYALTY

L-R: Director, Consumer Segment, Etisalat Nigeria, Adeolu Dairo; Odimayo Okunjimi John and Agbataekwe Solomon Ifeanyi, both Etisalat GEM customers during an all-expenses paid trip to Milan for GEM customers organised by Etisalat Nigeria recently

Angola Halves Growth Won’t Rule Forecast, Cuts Spending as BlackBerry Out New Phone Running Oil Price Bites on its BB10 System Angola has halved its 2016 frank fiscal disclosure by one economic growth forecast and slashed government spending as lower oil prices hammer state revenues in Africa’s largest crude exporter, the finance ministry said on Monday in a rare public communique. Sub-Saharan Africa’s thirdlargest economy will grow 1.3 percent this year compared with a previous forecast of 3.3 percent - already a virtual recession relative to the breakneck growth enjoyed in the years after the end of a long civil war in 2002. Government spending will be cut to $24 billion from $30 billion projected in the original 2016 budget as revenues were also slashed to $18 billion from $24.4 billion, Reuters quoted the statement. The finance ministry confirmed it had ended emergency financing talks with the International Monetary Fund (IMF) because it had achieved “great fiscal equilibrium”. However, it said it was still committed to a structural overhaul of an economy that remains heavily reliant on oil. The statement, an unusually

of Africa’s most secretive states, may have been an attempt to ease investor concerns about its withdrawal from negotiations with the IMF, analysts said. “We tend to think negative investor reaction to the decision by Luanda not to pursue further talks with the IMF may have persuaded the Finance Ministry to clarify its decision,” said Cobus de Hart, analyst at NKC African Economics in Cape Town. “We believe the medium-term macro-economic outlook would have looked rosier had the Fund been involved.” The finance ministry said Luanda had borrowed $11.46 billion between November 2015 and June 2016, including $5 billion from the China Development Bank and $2 billion from other state-backed Chinese lenders. Total government debt stood at $47.9 billion, including $25.5 billion in external loans, it added, although this figure does not include debt held by state-owned companies such as domestic oil firm Sonangol. The total debt is equivalent to just under 60 percent of GDP, according to IMF figures.

BlackBerry Limited has announced that it would not rule out another handset running its own operating system even as it pushes ahead with new Android-based smartphones and hardware sales keep slipping. Last week, BlackBerry said it was discontinuing its keyboardequipped Classic model, a move which set off a flurry of articles in the technology blogosphere suggesting that the company was abandoning the keyboard and its proprietary operating system, known as BB10. But the Chief Operating Officer, Marty Beard told Bloomberg on Monday that neither of those assertions were true. “We are absolutely not backing away from BB10.The company’s never said that we would not build another BB10 device.” Beard said BlackBerry began making phones running Android’s operating system last year because developers had stopped building applications for BB10. The Chief Executive Officer (CEO), John Chen said at the

time BlackBerry would keep making BB10 for its most security-conscious customers, but eventually BlackBerry’s version of Android software would be secure enough to replace the BB10 operating system if needed. Chen has at least two new phones in the works and aims to make the unit profitable by September. Still, some analysts have said that only cutting phones completely would restore the market’s confidence in the company. The stock was down 28 percent to $6.66 this year at the end of trading in New York on Friday. Chen has said the Android-based Priv phone didn’t sell as well as he had hoped. Investors should realize that BlackBerry’s Android software is just as unique to the company as BB10, Beard said. BlackBerry is pulling all the top features from BB10 and adding it to its Android system, creating a hybrid that has the best of both worlds, he said.

Ghana Cuts Growth Outlook to Lowest in More Than 30 Years Ghana cut its economic growth forecast for 2016 to the lowest rate in more than three decades as the country reduced its targets for oil and gold production. West Africa’s largest economy after Nigeria will likely expand 3.2 per cent this year after growing 3.9 per cent in 2015, Bloomberg quoted Finance Minister Seth Terkper, to have said in a statement on the ministry’s website. That will be the slowest rate since 1983, when the economy contracted 4.6 percent, according to World Bank data. The government previously forecast a 5.4 percent expansion in 2016 while gross domestic product rose 4.9 percent in the first quarter from a year earlier. The change in the growth outlook for the year follows a revision of gold production forecasts for 2016 to 2018 and the shut down of the FPSO Kwame Nkrumah oil production vessel on the Jubilee oil field, Terkper said in the statement that will serve as a guideline for the preparation of the

medium-term budget. The lower growth outlook will “impact on taxes, public debt growth” and the currency, Sampson Akligoh, managing director of InvestCorp Limited on Monday. “Domestically we’re going to see an increase in government borrowing.” Ghana’s debt was 71 per cent of GDP in 2015. The cut in Ghana’s growth outlook comes after the country turned to the International Monetary Fund in April last year for a loan of almost $1 billion to help rein in the deficit and arrest declines in the currency as lower prices for its gold, cocoa and oil exports and 24-hour power cuts weighed on the economy. Ghana revised its fiscal deficit target for 2016 to 5 per cent of gross domestic product from 5.3 percent, Terkper said in the statement. The country wants to narrow the gap by improving revenue collection and cutting expenditures, Terkper said. The fiscal deficit may improve to 3.6 per cent of GDP in 2017, 3 percent in 2018 and 2.3 percent in 2019, he said.

WEDNESDAY, JULY 13 2016, • T H I S D AY

BUSINESSWORLD

NEWS

Facebook Sued for $1bn over Alleged Use of Medium for Terror Lawyers filed a $1 billion lawsuit against Facebook Inc., alleging it allowed the Palestinian militant Hamas group to use the platform to plot attacks that killed four Americans and wounded one in Israel, the West Bank and Jerusalem. “Facebook has knowingly provided material support and resources to Hamas in the form of Facebook’s online social network platform and communication services,” making it liable for the violence against the five Americans, according to the lawsuit sent to Bloomberg by the office of

the Israeli lawyer on the case, Nitsana Darshan-Leitner. “Simply put, Hamas uses Facebook as a tool for engaging in terrorism,” it said. Hamas is considered a terrorist organization by the U.S., European Union and Israel. The suit said the group used Facebook to share operational and tactical information with members and followers, posting notices of upcoming demonstrations, road closures, Israeli military actions and instructions to operatives to carry out the attacks. Mushir al-Masri, a senior Hamas leader, said by phone

that “suing Facebook clearly shows the American policy of fighting freedom of the press and expression” and is evidence of U.S. prejudice against the group and “its just cause.” Facebook wants “people to feel safe when using Facebook. There is no place for content encouraging violence, direct threats, terrorism or hate speech on Facebook,” the company said in a response to a request for comment on the case. “We have a set of Community Standards to help people understand what is allowed on Facebook, and

we urge people to use our reporting tools if they find content that they believe violates our standards so we can investigate and take swift action.” In March Facebook took down a page promoting a new Palestinian uprising against Israel because it made “direct calls for violence,” in violation of company polices. Gabriel Weimann, an expert on terrorism on the internet at Haifa University, said technology would be more effective than litigation in discouraging the use of social media for violent purposes.

The focus should be on developing faster ways to detect problematic messages so they can be blocked immediately before they go viral, he said. “Facebook isn’t the only platform,” he said. “There are plenty of others. What will you do? Sue them all?” The suit was submitted to the U.S. District Court for the Southern District of New York on July 10. Plaintiffs include the families of Yaakov Naftali Fraenkel, a 16-year-old abducted and murdered in June 2014 after hitching a ride in the West Bank, and 3-year-old Chaya Braun, whose stroller was struck

intentionally by a Palestinian driver in October 2014 at a train station in Jerusalem. In February 2015, a jury at the same court concluded that the Palestinian Authority and Palestine Liberation Organization aided in six attacks on Americans in Israel more than a decade ago, and ordered them to pay $218.5 million to the victims and their families. The damages were tripled under a U.S. anti-terrorism law. The Palestinian bodies claimed they weren’t responsible for the unapproved acts of low-level employees who participated in the attacks.

Burundi Signs Deal with Russian Bank on Foreign Investment Burundi’s central bank has signed a deal with Russia’s Gazprombank to facilitate foreign investment in the African nation, which has been embroiled in a political crisis for more than a year and faced Western aid cuts. The Central Bank of Burundi, known by the French acronym BRB, signed the deal with Russia’s Gazprombank “to facilitate foreign direct investment in Burundi”, Burundi’s Second Vice President Joseph Butore tweeted. The agreement “is a guarantee for Russian companies which are interested in the EAC through Burundi,” Reuters quoted Butore to have written, referring to the East African Community (EAC) trade bloc that groups Burundi, Rwanda, Kenya, Tanzania, Uganda and South Sudan. The deal was signed on the sidelines of the St Petersburg International Economic Forum. “Burundi wants to establish trade relations with Russia and for this it needs a correspondent account to pay in local currency,” a Gazprombank source said. But the source added that there were currently no major projects between the two countries. No further details were

immediately available on the deal but other African nations, including Mozambique, have turned to Russian institutions when Western donors or multilateral bodies have been more reluctant to provide funding. Burundi boasts few major foreign investments beyond its mobile phone businesses and main brewery Barudi, owned by Heineken. The crisis has hammered an already struggling economy and caused a shortage of foreign exchange. Burundi has been mired in crisis since President Pierre Nkurunziza pursued and won a third term in office last year. His opponents and Western nations say this violates the constitution and a deal that ended a civil war in 2005. Officials dismiss this and cite a court decision that ruled he could run again. The United States and Europe, the biggest donors to Burundi, have cut back on their support and imposed sanctions on some senior officials and rebels, as violence has flared. More than 450 people have been killed and rebel groups have emerged. Russia has typically taken a more cautious line at the U.N. Security Council when Western states have called for outside intervention to end the violence

Egypt 7-year Yield Jumps at Auction, Other Sales Cancelled Egypt cancelled sales on Monday of 1-1/2 and three-year treasury bonds and saw yields jump on its seven-year bond, data from the central bank website showed. Yields on Egyptian government debt have been rising since the central bank raised its key interest rates by 100 basis points last month to their highest level in years. Seven-year debt was sold on Monday at a yield of 17.291 percent, up from 16.161 percent when the bond was last auctioned on June 13, just three days before the central bank rate hike. Egypt’s Monetary Policy Committee (MPC) last month

raised the overnight deposit rate from 10.75 percent to 11.75 percent and the overnight lending rate from 11.75 percent to 12.75 percent, its highest since 2008. The central bank did not immediately say why Monday’s two bond auctions were cancelled, but one banker told Reuters that the bids submitted were considered very high. Economists say the rate hikes were intended to rein in surging inflation and ease downward pressure on the Egyptian pound, which has weakened to around 11 pounds to the dollar on the black market compared to the official rate of 8.78.

MERITORIOUS AWARD

L-R: Managing Director, DKK and Associates , Tope Jemerigbe; the Registrar, Advertising Practitioners Council of Nigeria (APCON), Alhaji Garba Bello Kankarofi and Head, Public Relations and Reputation Management, DKK and Associates, Henry Omafodezi after DKK was awarded the Outstanding PR Agency of the Year at the Prestigious Marketing Edge Brands and Advertising Excellence Awards held recently at the Civic Centre, Lagos…recently

Oil Hits Two-month Low on Glut fears, Technical Selling Oil prices fell more than one per cent on Monday, hitting two-month lows on extended selling after the market’s break below a key technical support level last week due to oversupply fears. The market last week slumped nearly eight per cent in its biggest weekly losses in six months and already hit a two-month low on Thursday after disappointing drawdowns in U.S. crude and gasoline inventories pointed toward weak demand. The rising U.S. oil drilling rig count and cuts in bullish hedge fund bets on crude to four-month lows also added

to the hard fall in prices. “We have shifted to a bearish trading stance and off a neutral posture that we had maintained for approximately a month following transition from a bullish view in early June,” said Jim Ritterbusch of Chicago-based oil markets consultancy Ritterbusch & Associates. Brent crude futures LCOc1 settled down 51 cents, or 1.1 percent, at $46.25 per barrel. The session low was $45.90, the lowest since May 11. U.S. crude’s West Texas Intermediate (WTI) futures CLc1 slipped 65 cents, or 1.4 percent, to settle at $44.76 a

barrel. Both benchmarks fell further in post-settlement trade, with WTI sliding two per cent to a fresh two-month low of $44.42 on the back of the thinnest trading volume in five sessions. “We have suggested the likelihood of a price downdraft in WTI and Brent to about $37 and $38 areas, respectively,” Ritterbusch said, adding that the move lower could be volatile, however, with occasional rallies of $1 to $2 a barrel. Oil prices were down since trading began in Asia on Monday as refiners in that region cut back on crude orders due to worries of an economic

slowdown. The market shrugged off data from market intelligence firm Genscape, which according to traders reported a drop of 488,625 barrels at the Cushing, Oklahoma delivery hub for U.S. crude futures during the week to July 8. A Reuters poll, meanwhile, forecast total U.S. crude stocks fell 3.3 million barrels during the week to July 8. “Oil prices could drop more,” said Fawad Razaqzada, analyst at forex.com in London. “In the short-term, the bulls will need WTI to climb back above $46 and Brent $47, otherwise prices may head at least towards the support trend.”

India to lend Kenya $45m to Boost Manufacturing Sector India will lend Kenya $45 million to help develop a textile factory and other smaller industries, the leaders of both nations said on Monday. Indian Prime Minister Narendra Modi is on a fournation tour of Africa that is part of a policy push to make his country a more global player,

economically and diplomatically. “India is Kenya’s largest trading partner and the second largest investor here. Even with that, there is a potential to achieve much more,” Modi told a news conference with Kenyan President Uhuru Kenyatta. According to Reuters, Monday’s deal highlighted

Kenya’s desire to link up with countries that can help improve its struggling manufacturing sector. Kenyatta said $30 million of the funds would be used to revive Rift Valley Textiles Factory, which went out of business in 2000 as mismanagement of the cotton sector led to Kenyan production to

collapse. The factory is owned by a local university. Kenya exports raw or semi-processed commodities such as tea and coffee to India, while India exports finished products including pharmaceuticals, steel, cement, paper and paperboard, electronics, machinery, vehicles and motorcycles to Kenya.

T H I S D AY • WEDNESDAY,JULY 13, 2016

EDUCATION JAMB, Varsities Differ on New Admission Guidelines

University administrators have faulted the recently introduced admission guidelines by the Joint Admissions and Matriculation Board, which prohibits any further screening by institutions. They maintained that inadequate pre-admission screening will further erode the quality of graduates from Nigerian Universities. Uchechukwu Nnaike and Funmi Ogundare report

Following the recent scrapping of the post-UTME screening, Nigerians were last week jolted by reports of the introduction of a new point system option for this year’s admission into Nigerian universities by the Joint Admissions and Matriculation Board (JAMB), but the board swiftly refuted the claims, saying that it was an illustration made by the Registrar, Prof. Dibu Ojerinde. The examination body has now introduced new admission guidelines. The Head of Media and Information, Dr. Fabian Benjamin said in a statement that the federal government approved the re-enforcement of admission guideline by law and that all tertiary institutions have consequently been directed to adhere to the guidelines. “Admission would be based on three pillars: merit, catchment and educationally disadvantaged states.” Benjamin said the 2016 admission would not require the conduct of another test either written or oral, as candidates would only present their Senior School Certificate Examination (SSCE)/ Advanced Level results for verification and clearing purposes, adding that WAEC, NECO and NBTE results or their equivalent are acceptable as matriculation requirements. To parents and students, the directive is a welcome development, as students will not be burdened with another round of test before securing admission, while parents will no longer Some UTME candidates be required to pay for post-UTME screening. However, university administrator think it will they wanted.” take the country back to the era of malpractice, Okebukola, who is the current Chairman, where students secured admission with scored Governing Council of Crawford University, they didn’t own. Ogun State, said when the news came that Explaining the reason behind the introduc- universities should stop post-UTME, he was tion of post-UME screening in 2004, the former happy because he felt it would be temporary, Executive Secretary of the National Universities “so that we can get it right again, make new Commission (NUC), Professor Peter Okebukola, ground rules and then move on from there. said it was introduced when it was discovered “Until we are able to assess how candidates that undergraduates used to act as mercenaries speak English, assess their logical expressions for UME candidates, who then parade high and assess their persons, we will be taking one scores they did not work for. step forward and several steps backwards.” He said a vice-chancellor had approached him The Vice-Chancellor of Edwin Clark University, in 2002 and complained that a large percentage Prof. Timothy Olagbemiro, said oral interview of his students impersonated UME candidates of any sort would be a useful tool in assessing that year. When consulted, he said other vice- students for university admission, adding that if chancellors also confirmed it. JAMB had adopted the point system, it would That he said underscored the need to introduce have been superfluous and discriminatory in another layer of screening, not multiple choice status between those who achieve their five test that would assess candidates’ spoken and credits at one sitting and those who do it in written English. two sittings. Okebukola said the vice-chancellors and “The point system would have been jacketory, NUC went to the then president and the not allowing universities to make other viable national assembly and it was agreed that the options such as oral or simple English test, post-UME screening should consist of essay syntax or written statements by applicants, to to test candidates’ written English, interview ensure they really understand and can write to test their oral English and to see how they the English Language.” are, if they are good enough to be admitted He added that academic freedom is totally into the institution. destroyed when JAMB hands down to the entire “It was also agreed then that no university university system how they should admit their should charge more than N1,000. We started it students. “It is just wrong in all ramifications.” in 2004 and I was bold enough to tell President The Vice-Chancellor of Fountain University, Obasanjo that by 2009, we started getting the Oshogbo, Osun State, Prof. Raji Bashir, said dream graduates from our universities. In 2004, no examination can truly capture the inherwe discovered that about 25 per cent of those ent potential of any student; hence factoring with high scores in UME did not show up for previous examinations like WAEC is good. He the post-UME screening because they used said many universities will still conduct their mercenaries, they didn’t earned the results.” own post-UTME screening in whatever name He regretted that when the set of vice- they may give it. chancellors that worked with him left, the new “Some do it for Internally Generated Revenue ones that came changed things; “they started while many private universities do it to screen doing the multiple choice questions again, but out possible miscreants before admission.” that was not the agreement, the agreement was He appealed to JAMB, ministry of education that let JAMB do that. They were not caring at and NUC to allow university senates to decide all about essay type, they only wanted to collect modalities for admission into each institution, money quickly and go so all the things we saying that over-regulation would only limit wanted to tackle; the oral and written English innovation. was no more. They were charging as much as The Vice-Chancellor of Adeleke University,

Ede, Osun State, Prof. Dayo Alao, said there is need for JAMB to set an exam which will be used to evaluate the level of every candidate for every university, while expressing concern that the board has over the years been compromised. “Is it the corruption that President Mohammadu Buhari is fighting? It has extended to the academics where they use fraudulent results to get admission. More recently, we discovered that people always have examination questions in advance. Parents too connive, aid and abet, most people even spend a lot of money to get question papers for their children. Sadly some have become contractors to helping people write exams, so at the end of the day, you are not getting a true evaluation of the performance of the students. “Because of that lacuna and the gap that has been created, then they now decided to do post-UTME so that when you bring a very brilliant result from JAMB, there is a tendency that there may not be a continuity of that result when you write post-UTME. Some people will get 60 or 70 per cent, while some are getting 20 and other horrible marks, then you quickly discover that something has gone wrong.” He said there should be a regulated exam JAMB will set with the standard of various universities, which is not too far away from what the board will give as an exam, adding that it is the reason the council of pro-chancellors and vice-chancellors decided that there should be sanity in the system. “An average student is always an average student, a student who has performed creditably in UTME will also perform creditably in postUTME, but ironically, that is not the case. If you can perform brilliantly in your school certificate exams, and perform brilliantly in JAMB, there is nothing that will stop you from not performing brilliantly in the post-UTME.” Alao said there was a debate as to whether or not to do away with post-UTME. “It was so serious that JAMB and the ministry of education came into it to see what they could do, but at the end of the day, by popular vote, it was agreed that they should scrap post-UTME. “There was a protest that people who cannot

meet up with the university standard not should be brought into the university because it is going to erode the level of academics, but at the end of the day, they agreed on a mid-point which is that interview could be conducted rather than charging between N2,500 and N5,000 depending on the university.” The vice-chancellor expressed delight about tertiary institutions conducting their own tests, saying, “if our children will go to school, we need to be very sure of their background. It is not necessarily someone spends six years in the university where he is supposed to spend only four years doing a course and some have gone to the extent of spending seven years, then something must be wrong.” Alao expressed concern that people who are not interested in sitting for UTME are studying in countries like Ghana, Republic of Benin and Gabon. “That is why you see a lot of our student populating West African coast, because they will be free from JAMB. But that is not the best place to evaluate the standard of the students. I think the agreement is to meet it at the midpoint, the first leg towards sanitising education in this country is the best, instead of totally scrapping it.” He said universities have been given the opportunity to now screen their candidates looking for merits, character, mode of behavior, adding that there have been instances where students just jump from one university to another to commit crime which will limit the institution with people of horrible character. The VC stressed the need for candidates to be properly screened academically, morally and spiritually tested so that when they get a degree, they are not just getting a degree, but would have satisfied the academic aspect of it. “Education should be total; it should be about the mind, physical, intellect not just book. People who are not morally okay hold degrees today and moral is part of education which could be gotten through the fear of God. When the fear of God is lacking in school, what are you coming out with? No matter the educational attainment, when there is no God in it, everything is not useful; the holder is not useful to the family and the society.”

T H I S D AY • WEDNESDAY,JULY 13, 2016

EDUCATION

ASUU Bemoans 51 Lecturers’ Exit from Kogi Varsity Yekini Jimoh in Lokoja The Chairman, Kogi State University (KSU) chapter of the Academic Staff Union of Universities (ASUU), Dr. Daniel Aina, has disclosed that about 51 senior lecturers of the institution have left as a result of irregular payment of salary by the state government. Addressing a press conference in Lokoja recently, Aina said if nothing is done urgently, more qualified staff will join the exodus, adding that due to the union’s intolerance of corruption under any guise, the prompt payment of workers’ emoluments is held sacrosanct. He said when there are delays

in salary payment, the chances of corruptive tendencies are rife. Lecturers of the institution have been on strike for the past two months and have vowed to continue until every money owed them are fully paid. The chairman noted that the resolution of congress is that the action would be sustained till the last kobo owed is paid and that the action would be invoked anytime delay in salary payment goes beyond the seventh day of the succeeding month. He said it is not true that ASUU KSU requested to be exempted from taxation, saying that what it requested for is a waver and rebate due

to heavy taxation. “We are responsible citizens. Sometimes ago, we were over-taxed. Through series of protracted dialogues, consultations and negotiations, the government conceded to the exemption and granted the affected staff, a seven month tax holiday with effect from October 2015 to April 2016 via S/KGS/ADM/307/IV/876. Till date, this exemption has not been consummated. “The other issue is the rebate which we are asking for. In our negotiation with government, we pointed out that KSU staff pay as high as 400 per cent of what their counterparts pay within the state, as well as

neighboring state universities. We cited this as one of the reasons we lose staff in KSU.” Aina said other problems included arrears of Earned Academic Allowances (EAA) from 2009 to 2014, adding that the government received the EAA bill amounting to N1.1 billion and committed itself to offsetting it. “After the initial payment of N125 million, the government reneged on the promised monthly installment payment of N25 million.” According to him, the standard practice in the university is the domiciliation of pension within its borders, saying that currently, there is neither domiciliation nor the

contributory pension scheme in the institution. This he said also contributed to the mass exodus of academic staff from the institution, just as he reiterated that university autonomy is sacrosanct all over the world. “In the letter to the government under reference, it was stated that these issues have been presented to the NEC of ASUU for permission to go on strike to actualise their implementation.” The chairman added that the bureaucratic handling of ASUU matters or the issuance of threats of sack or ‘no work, no pay’ would not solve the problem.

“Any and every repressive moves against ASUU will not solve any problem. It is erroneous to be biased that ASUU means trouble. What will solve the problem is an objective and open minded engagement of ASUU on the issues at stake with definite commitments.” The union however commended the courage of the Alhaji Yahaya Bello administration on efforts to sanitise the civil service in the state. “No doubt, the state is bedeviled by rot and corruption of varying magnitude and dimension. The rot in the civil service appeared to have defied solutions until recently.”

Presidency Halts Announcement of New Offa Poly Rector Hammed Shittu in Ilorin The presidency seems to have put on hold the announcement of a new rector of the Federal Polytechnic, Offa, Kwara State, over alleged petitions against one of the three candidates shortlisted for the position. Already, the Minister of Education, Mallam Adamu Adamu has been directed to commence full investigation into the allegation. The rectorship position of the institution became vacant since last year after the immediate past Rector, Mufutau Olatinwo completed his two terms in office. Since then, stakeholders in the polytechnic have commenced series of consultations with highly placed individuals within Offa community and outside the town on who will take over the position. The three candidates shortlisted for the position are the acting Rector, Dr. Ayo Olaosebikan, Mr. Eghe Igbinehi and Dr. Lateef Olatunji. It was gathered

that the three candidates have since February undergone series of screenings and interviews both at the institution and in Abuja under the Ministry of Education, the National Board for Technical Education (NBTE) and the Department of State Security Services (SSS). According to sources, fresh allegations recently emerged just when the federal government was about to name a substantive rector. It was gathered that the allegations were contained in a petition forwarded to the minister by a group said to be against the candidate. The development it was learnt forced the minister to direct that the announcement of a new rector be put on hold and ordered an investigation into the allegations. He was said to have called for the record of the three candidates, and after verifying them directed the management of the polytechnic to undertake a probe of the allegations and report back to the ministry soon.

Varsity Don Tasks PhD Accounting Students on Focus Funmi Ogundare A Professor of Accounting and Finance at the Department of Accounting, Babcock University, Ilisan-Remo, Ogun State, Prof. Rufus Akintoye, has advised PhD Accounting students of the institution to focus on their dreams and work on getting there. Akintoye, who made this known recently during the institution’s PhD seminar week, also advised them to build on their character. He said there would come a time when they may seem confused as to what they want in life. “There is no doubt that the journey to success and personal development is always lonely and long, where one even doubts self whether he/she is on the right track or not,” he said, while commending their courage and perseverance for being on the programme for the semester. According to him, the programme, approved by the National Universities Commission (NUC) in 2015 was conceived to raise the bar

of academic performance and prowess in accounting research, adding that the institution is keen on piloting high impact research designed on the path of academic integrity and excellence in accounting education. “We are not just one of the private universities who are desperate in the money-making business, thereby reducing standard from globally acceptable basic minimum, but one where excellence is our watchword and global best practices is our benchmark.” Akintoye, who is the head of the department, expressed concern that things have gone bad in some higher institutions in the country making it almost impossible for those who are battling with the challenges in federal and state universities to think that anything good can come out of private universities. The don stated that the institution would continue to leverage on its conviction and the academic scholarship of prominent scholars from federal, state and private universities.

The Minister of Science andTechnology, Dr. Ogbonnaya Onu (second left) interacting with pupils ofThe Regent Primary School, Abuja, during the launch of the ‘TabletTechnology in the Classrooms’ by the school… recently

Minister Launches ‘Tablets Technology’ at Regent School The board, teachers and pupils of The Regent Primary School, Abuja were recently honoured with the presence of the Minister of Science and Technology, Dr. Ogbonnaya Onu, who visited the school to launch the ‘Tablet Technology in the Classrooms’. The minister also inspected the classrooms, where he interacted with the pupils and observed their activities; he also joined the parents to listen to a presentation on ‘The Introduction to Tablets’. In his remarks, Onu stressed the importance of technology in a developing country, saying that the government is passionate and committed to the introduction of technology to move the country

forward. He commended the board of the school for taking the visionary financial step forward to ensure that the young people of today are prepared for the technology of tomorrow. “They will be able to play a leading role in the development of Nigeria as a leading global economy. There is a need to remember that if we teach today as we taught yesterday, we rob our children of tomorrow.” The school said it has maximised the potential of tablet technology to facilitate learning as part of its strategy to incorporate new teaching styles which utilises ICT to enhance learning in a new and dynamic

way. “The Regent Primary School has always aimed at furthering its acknowledged academic excellence by being the leader in the implementation of cutting edge technology for teaching and learning, whilst ensuring that the learning process remains enjoyable and fulfilling for every child. “Research indicates that children who use computing technology have greater gains in structural knowledge, problemsolving and language skills compared with those who do not use technology in their learning. Tablets will allow the pupils to access the school curriculum and educational content designed

by teachers.” The introduction of tablets is the start of the school’s ICT strategic objective of having a 1:1 ratio of pupils to computing devices in the near future. Through the use of approved apps, teachers can provide notes, display steps and processes to problems, initiate the display of media, and allow pupils to participate from their seats in a variety of interactive activities. It will also allow pupils to play video or audio lessons and take notes that are synchronised with the lessons. They can read books, view presentations and check homework off as it is completed.

‘Sokoto Spends N1bn on 353 Overseas Students a Year’ Mohammed Aminu in Sokoto The Sokoto State Government said it has spent over N1 billion to settle tuition fees of 353 indigenes studying various courses at undergraduate and postgraduate levels in universities abroad. The Commissioner for Higher Education, Alhaji Sahabi Isa Gada, who disclosed this at a ministerial press briefing at the NUJ Press Centre, Sokoto, said the money was spent on the payment of tuition fees, living expenses and allowances

of the students in United States of America, United Kingdom, Dubai, Sudan, India, Cyprus, Bangladesh, among others. He stated that the present administration has taken adequate measures to monitor the academic performance of the scholarship beneficiaries, adding that the state government had written to the respective universities to send the semester results of the students to ensure that only those who are doing well would be allowed to continue with their studies. Gada added that it was as a result of the poor performance of some indigenes that the State

Scholarship Board brought back 25 students from United Arab Emirates (Dubai) few months ago. “As you are aware, we brought back 25 students from Dubai because they failed the examination at the end of the year. We did this in view of the economic situation in the country so as to avoid waste of public resources especially now that forex is scarce in Nigeria. Thus, the affected students will now seek for fresh admission into universities within the country.” The commissioner admitted

that the state government is facing challenges in terms of remitting dollars to foreign universities in view of the economic situation of the country, saying that the state would no longer sponsor indigenes to study abroad except for courses that are not available locally. “The state government can no longer afford to send new students abroad to study except if it is absolutely necessary and unless the economy improves.” He added that the government is committed to sponsoring brilliant but indigent students to achieve academic

T H I S D AY • WEDNESDAY,JULY 13, 2016

EDUCATION

Kano to Settle Backlog of Unpaid Scholarships Ibrahim Shuaibu in Kano The Kano State Governor, Dr. Abdullahi Umar Ganduje has promised that the state government will pay the five years outstanding students’ scholarship. It was discovered that from the 2012 academic session, thousands of bona-fide indigenes of the state whose bursaries now run into billions of naira were not paid by the immediate past administration. Ganduje, who disclosed this at the Government House on Monday, said his administration is doing its best to ensure that the students are paid as soon as possible.

He added that his administration inherited huge liability of unpaid bursaries and other fees of indigenes of the state that are studying in institutions abroad, and assured the students that efforts are being made to settle the debt gradually so that their academic pursuit would not be disrupted. The governor said considering the current financial position of the state government, parents whose children are studying abroad should endeavor to assist them within limits of their means. He added that the government would continue to make determined efforts to revive its bursary scheme. In a bid to widen access to education

and ensure a well-informed society, he explained said his administration introduced education promotion committees at state and local government levels, adding that because of the initiative, community participation in reviving education in public schools is so far encouraging. Ganduje, who highlighted the efforts of his administration to transform the state through revolutionising internally generated revenue, as well as making huge investments in infrastructure, agriculture, health, job creation and sanitation, despite financial challenges, solicited the continued support of the people to achieve maximum success.

KEEPING FIT

L-R: The General Secreatary, Nigeria Teakwondo Federation (NTF), Master Gbolahan Ogunmuyiwa; pupils of Liztol International School and His Glory Montessori Model School, Ogijo, Ikorodun, Lagos; and the U-13 Teakwondo children, during the first Resource U-13 Tiathlon in Ikorodu... recently

Etisalat Unveils Educational App to Make Learning Fun In line with its commitment to develop the Nigerian education sector, Etisalat has boosted the e-learning space for students with the launch of Cliqlite Portal, an internet-enabled application that offers unlimited access to a wide range of educational materials. Speaking at the launch of the portal and tablet in Lagos recently, the Chief Executive Officer, Etisalat Nigeria, Matthew Willsher, expressed confidence in the ability of the new educational service to enhance the learning experience of students in primary and secondary schools through an engaging combination of education and fun. “The product is an innovative service that supports learning. It

gives both students and parents access to educational materials not just on the tablet but also on any internet enabled-device.” Willsher said the initiative highlights the importance the company attaches to quality education, as well as its commitment to investing in the education sector through a number of platforms among which are the adopt-a-school programme, Etisalat Telecommunications Engineering Postgraduate Programme (ETEPP), career counselling and merit awards. The Etisalat Cliqlite was introduced two years ago as the first indigenous educational product on a tablet by any telecommunication firm to improve the learning experience

of students. It offers a bouquet of NERDC-approved education materials such as textbooks and instructional lessons on various subjects, past questions from JAMB, SSCE and IGCSE and interactive games that students and parents can use together to make learning fun. Providing more insights on the portal, the Manager, Teen Segment, Ifeoluwa Oyeyipo, explained that it was borne out of the need to expand the scope of the educational product to millions students. “Cliqlite has been a huge break with testimonials of success among students. We wanted to expand the scope to enable millions of students who have other internet-enabled devices access the product and

enrich their learning experience. By this, we are using what they love to give them what they need which is quality education.” The portal is aimed at making learning fun through the availability of unique learning materials, which can be accessed through any internet enabled device by customers and potential customers on the Etisalat network. The Cliqlite Portal is designed with various attractive features and benefits that appeal to different grades of users. Its benefits include free birthday reward and 100 per cent bonus on monthly data purchase from 200MB to 10GB with extra 100 per cent bonus to browse.

AUN Starts Law Studies Next Month The American University of Nigeria (AUN), Yola, Adamawa State, said it has received full approval by the National Universities Commission (NUC) and the Council for Legal Education to commence its innovative Bachelor of Law (LL.B) programme, adding that admission into the programme for the 2016/2017 academic session is ongoing. Nigeria’s certifying authority for law programmes, the Council for Legal Education, had at a full council meeting on June 28, ratified the decision of

its board of studies to approve the School of Law at AUN. The AUN School of Law is the fourth school of the 11-year-old development university, following the Schools of Information Technology and Computing; Business and Entrepreneurship; and Arts and Sciences. Before the board’s approval, the council had conducted a resource verification exercise on AUN’s state-of-the-art facilities on the heels of a similar exercise by the NUC, which regulates university education in Nigeria. The AUN President, Dr.

Margee Ensign, while expressing the sentiments of the AUN community, said: “The university is pleased and proud that the Council for Legal Education has approved the launch of our new School of Law. AUN, Africa’s first development university will bring an innovative and important dimension to legal education in Nigeria.” Modelled on the American liberal arts tradition of a broad education and critical thinking, the university said the law courses reinforce its

development philosophy and will be enriched by its extensive international faculty. “The law curriculum embraces Humanitarian Studies, Gender, Alternative Dispute Resolution, Environmental Law, HIV and the Law, Gender and Development, Energy and Natural Resources Law, and Technology and the Law, among its novel courses that distinguish AUN’s unique approach to legal education.” The Dean, School of Law, Professor Oladejo Justus Olowu, who held top faculty positions

Be Sight-wise! Act Now! Every teacher knows the importance of good vision to learners. Unless you are a specialist teacher for the visually impaired, whatever you are teaching needs the sense of sight for it to be processed and fully assimilated. Very often, teachers are the first people to notice that their learners aren’t seeing well. Promoting good vision is therefore a teacher and parent’s role. Teachers of young children should take a lead role in this. “Had I known” is a phrase we all voice out with exasperation whenever the repercussions of what we could have easily avoided hit us. Eye-problems in childhood, young adulthood, in the late 20s, 30s into mid-life and beyond, is one of life’s challenging conditions that man finds himself battling. Let’s look at some prerequisites for healthy eyes and good sight. Choosing to eat healthily should not only be for your general wellbeing. It should be to preserve your vision, and children’s, as best as you can. Numerous researches show that to maintain healthy eyes and vision, you should include certain foods in your regular diet. Being diabetic is another reason to eat right. Diabetes is a major reason for blindness in adults. Cultivating the habit of eating green leafy vegetables such as kale, Brussels sprouts and spinach provide you and your children with lutein, for protection against developing macular degeneration in later years. Macular degeneration is a leading cause of blindness in people over 60 years of age. Furthermore foods that are rich in Omega-3 fatty acids such oily fish like salmon, tuna, mackerel, nuts, help to reduce the incidences of inflammation in the blood vessels of your eyes. Other foods good for your eyes are eggs and beans; citrus fruits like oranges and mangos; oysters and pork also benefit the workings of your eyes. So, decide today to begin to eat for your eyes if you want them to last you your lifetime. Provide your children with healthy foods at meal times so that they have healthy vision all their lives. It is good to seal up your glamorous or stylish look with your designer sunglasses. It is even smarter to be wearing one that’s protecting your eyes whilst launching a suave and ‘happening’ you. Some folks are so specs-inclined that they have derivations of all the shapes possible. Traditionally, sunglasses styles come in: retro square, aviator, cat-eyes, wayfarer, brow line, sports, shutter shades, oversized, round or tea shade styles. They come made by top designers like Hugo Boss, Giorgio Amani, DKNY, Burberry and Saint Laurent. Top high-street shops like Boots, Tesco, Spec Savers also do their own lovely ranges of fashionable styles. Whatever are your reasons for purchasing sunglasses, make sure that your sunshade promises to block out 99 to 100 per cent of both UVA and UVB radiation. These refer to the sun’s ultraviolet rays which are capable of damaging your eyes and causing you great discomfort. In simple terms, your eyes and eyelids are ‘naked’. They need to be shielded from the glare of the sun and dust particles. To reduce the possibilities of: skin-cancers (to your eyelids); cataracts which is a leading cause of blindness; macular degeneration, another reason of vision loss and blurriness; eye-sunburn and even conjunctivitis, choose sunglasses that provide you with 100 per cent protection from the sun’s ultraviolet rays and other environmental damages. Omoru writes from the UK

Government Technical College Graduates 90 A total of 90 students of Government Technical College, Ikorodu, Lagos are set to graduate in the area of Construction Trades Training, Plumbing, Concreting/ Tiling and Carpentry. The programme, which will hold at NECA House, Ikeja on July 19, is a partnership between the Lagos State government and the Nigeria Employers Consultative Association (NECA). The Executive Secretary, Lagos State Technical and Vocational Education Board (LASTVEB), Mr. Olawumi Gasper, said the college has benefited from the upgrading of facilities, provision of additional equipment and

integration of International Labour Organisation (ILO) Entrepreneurship Development training modules in the existing college curriculum. “All these initiatives have produced technical skilled graduates that will set up building-related enterprises to provide quality services in plumbing, carpentry and concreting/tiling in the Lagos area.” He said the highlight of the initiative is the improvement of the quality of teaching and skills development in the areas of intervention (plumbing, concreting/tiling and carpentry) at the college.

T H I S D AY • WEDNESDAY,JULY 13, 2016

EDUCATION

Accelerating Technical Education in Delta State Omon-Julius Onabu in Warri In light of the increasingly complex challenges in today’s world, including employment challenges, the role of wellgroomed human capital has consistently been stressed globally. One Nigerian leader who has not minced words on the need to review the curricula to make them more functional towards sustainable development in the country is the Governor of Delta State, Dr. Ifeanyi Okowa. He has maintained the desire to build a functional, resultoriented technical education system as a dependable human capital base for middle level manpower needs of the state. The recent inauguration of upgraded facilities at the Ofagbe Technical College, Isoko North Local Government Area of the state has further given credence to the commitment of the administration to restore not only the glorious days of technical education in the state, but to raise the standards to compete globally. The governor had, shortly after his inauguration last year, identified six state-owned technical colleges for infrastructural and academic upgrading. He immediately awarded the contract for the reconstruction of three of the schools, Ofagbe Technical College, Sapele Technical College and Agbor Technical College. The other colleges are Uta-Gbogbe Technical College, Ogor Technical College and Issele-Uku Technical College. Speaking at the ceremony, the Commissioner for Basic and Secondary Education, Mr. Chiedu Ebie, said the completion of the first and second phases of the infrastructure and other resource bases of the college was a promise religiously kept by the governor. According to him, Ofagbe Technical College had been practically abandoned for over 20 years before the inception of the Okowa administration; he recalled what the governor said while inspecting renovation work at the school late last year, saying, “we will

take technical schools in the state to greater heights and it will impact positively, not only on the lives of the students, but also on their host communities. I am satisfied with the progress of work and I assure the people that the project will not be abandoned as we will manage the resources and funds we have to complete the work.” While highlighting developments in the chequered history of the school since its establishment by Pilgrim Baptist Mission- Pilgrim Baptist Trades School on February 15, 1966, exactly one month after the first military coup in Nigeria, Ebie said it was heartwarming that the governor ensured that the first and second sets of projects were duly completed within 10 months “despite the economic downturn in the country.” He said the gesture was a testimony to Okowa’s commitment to technical and vocational education, “which is timely, visionary, legendary, second-to-none and worthy of commendation.” The school, which took off with just 47 students at its inception, currently has an enrollment figure of 188, made up of 137 male and 51 female students. While providing details of the turn-around work done so far at the college, Ebie announced the state’s plans to do more. The projects include the construction of the internal roads by the state’s Direct Labour Agency (DLA), the contracts awarded in two phases for the construction of staff quarters, male. The completed aspects include the reconstruction and upgrading of the staff quarters, male hostel block, library, examination hall, administrative and science blocks, mechanical, auto mechanical and electrical workshops. “This phase also included the procurement contract for the supply of various machines and equipment required for the workshops to enhance teaching and learning as well as the supply of computers and students’ furniture.” After the governor’s visit to

Ofagbe last year, additional contracts under the second phase were awarded, including the construction of a perimeter fence, a gatehouse and an electrical block of four classrooms with an office, all of which have been completed. Ebie urged the students and members of the community to justify the huge investment of the government by ensuring that the infrastructure and amenities are maintained and not vandalised. “Now that Ofagbe Technical College has been repositioned as a worldclass institution, there comes the need for the entire Ofagbe community to reciprocate this kind gesture through community participation to secure and protect the school from vandalism and theft.” Indications that the revamping of technical education in the state will be prioritised by the government came to the fore during the maiden Delta

The reigning Miss Ambassador for Peace, Nigeria, Queen Judith Okwunodu, has awarded scholarship to 20 indigent students at the primary and secondary levels in Delta State, in an effort to make an impact on the lives of the less privileged in the society. The Queen, who was in Delta State recently, under the flagship of Peace Ambassador Agency, embarked on an education campaign tour to various schools to bring smiles on the faces of the less privileged. “Delta State is my starting point as I believe charity always begins at home. My plan is to visit schools around the nation, giving the best pupils from primary one to 6 scholarships while also visiting secondary schools and awarding the best students from JSS one to SS two scholarships. It is also my little way to make the world

a better place for the recipient.” She said with the increasing rate of violence in Nigeria and the world today, preaching peace and its importance is what can make the world a better place, adding, “where else is a perfect place to start but the schools as the youths are not only the leaders of tomorrow but today. “One of the effective methods for the mainstreaming of peace in the society and indeed promoting the process of peace building is through the instrumentality of formal and informal education. After all, it is said that education is a lifelong learning process for the individual and the community.” Okwunodu said the essence of the campaign was not to show off but to catch these young ones, and contributing her quota in peace building in Nigeria and the world at large. “In today’s world, a culture of peace should be seen as the essence of a new humanity, a

Vocational Education Board (TVEB) has been established with a full complement of institutional framework, funding and personnel. Effort is currently being made to review and enrich the technical education curricula to make it responsive to extant challenges.” Aside the traditional cutting of the tape to formally open the school, the highpoint of the event was perhaps the hint by Okowa that his administration is favorably disposed towards the reintroduction of boarding schools at the secondary level. He said the desired quality of technical education in the state would be enhanced by the move, stressing that there would be no compromising his government’s firm policy on technical education. The excitement of the people of not just Ofagbe town but the entire Isoko ethnic nation was palpable as traditional rulers, local, state and national political

representatives of the people, cultural associations, women and youth groups expressed their joy at what they termed the governor’s rescue mission at Ofagbe College. The President-General of Isoko Development Union (IDU), Chief Iduh Amadhe, aptly captured the people’s sense of appreciation at the occasion thus: “Your excellency, we express our appreciation for your magnanimity towards the Isoko nation. “We will remember you for making the best out of a difficult situation by completing the DELSU, Oleh Campus access road, completion and commissioning of the DELSU, Oleh Campus Law Faculty Complex and on-going efforts by your administration at ensuring the accreditation of courses for Law and Engineering Faculties at the campus; upgrading and improvement of physical structures of the Ofagbe Technical College.”

Okowa (left), assisted by the Commissioner for Basic and Secondary Education, Mr. Chiedu Ebie and others, unveiling the plaque to formally open the ‘new’ OfagbeTechnical College in Isoko North Local Government Area… recently

Beauty Queen Awards Scholarship to 20 Indigent Students Kasim Sumaina in Abuja

State Education Summit in January. It is noteworthy that the government is looking beyond the construction of beautiful buildings without the provision of the basic tools and distinct policy framework for serious technical training. According to the commissioner, restructuring of the colleges involves not just a programme for training and retraining of teachers but also partnership with competent organisations for necessary in-depth technical assistance. He disclosed that schools’ curricula are being reviewed to sharpen the functionality and contemporary market relevance. “With the refocusing of technical and vocational education in the state, the upgrade and equipping of this institution, enrollment is expected to significantly increase in the near future. To guarantee focused attention in this sub-sector of education, the Technical and

new global civilisation based on inner oneness and outer diversity. The flourishing of a culture of peace will generate the mind-set in us that is a prerequisite for transition from force to reason, from conflict and violence to dialogue and peace. “We are the future leaders of Nigeria; hence, we should all live an exemplary life. We shouldn’t be used as a medium of terror and violence. We should all be advocates for peace and unity which is the only way we can make our communities and country a better place. “Peace is often considered as the fundamental basis of stability, progress and development in human societies. Peace connotes tranquillity, psychological consonance, physical and environmental stability and the sustenance of enabling circumstances that guarantee freedom from all sources of all individual and societal instability.”

NOUN Partners Kaduna on Skills Acquisition The National Open University of Nigeria (NOUN) said it has entered into an agreement with the Kaduna State Government as part of efforts to enhance skills acquisition and entrepreneurial empowerment for its residents. According to a statement signed by the institution’s Director, Media and Publicity, Mallam Ibrahim Sheme, the pact was signed in collaboration with the Housing Developers Institute (HDI) and the World Bank. It said the initiative would ensure that indigenous youths of the state are trained by the Centre for Educational Technology and Entrepreneurial Development (CETED) of NOUN, adding that graduates of the centre would be absorbed on completion of their studies by the Housing Developers Institute. The statement added that the institute would screen the students for admission at CETED while the World Bank would

provide the workshop materials for the training. “The vision of the state government is to remove idle youths from the streets, get them trained at NOUN and absorbed by the HDI. The HDI has a monumental project to construct 1,000 affordable housing units in the state.” It quoted the Vice-Chancellor of NOUN, Prof. Abdallah Adamu as saying that the mandate of the university is to provide access to affordable and quality education for Nigerians, adding that the signing of the MoU was significant given the thousands of idle young school leavers in the state. He said with the scheme, NOUN would clear thousands of such youths in Kaduna off the streets and get them trained on housing technology skills. “This industry is handling the construction of about 1,000 housing units which Kaduna State government is about to

embark on. This therefore, translates to providing thousands of employment opportunities to the youth of the state.” The statement noted that NOUN’s most subscribed programme at the moment is Entrepreneurial Studies, which has a student population of over 30,000, adding that self-reliance and self-employment is the way to go in the current dispensation. Adamu also appealed to the state government to expand the programme to accommodate women, especially full-time housewives, so that they can also be economically empowered, saying that the institution is passionate about women empowerment. In his remarks, the Secretary to the Kaduna State Government, Alhaji Balarabe Lawal, said the government is passionate about youth empowerment, adding that the government is elated by the development.

T H I S D AY • WEDNESDAY,JULY 13, 2016

EDUCATION

VC Solicits FG’s Assistance for Private Varsities James Sowole in Akure The Vice-Chancellor of Elizade University, Ilara Mokin, Ondo State, Prof. Kunle Oloyede, has called on the federal government to assist private universities in the country, saying that the institutions cannot be funded by their proprietors alone. He made the call during the second foundation day lecture of the institution titled ‘Future: Here Earlier than We Thought’, delivered by the Vice-President, Prof. Yemi Osinbajo, which attracted guests from all walks of life. Oloyede said the university, which was established to produce 21st century generic and professional skills for national and global competitiveness needs alternative funding apart from what the proprietor alone can provide. “This idea of producing quality and employable graduates cannot be realised by a single funding source such as that provided by our founder alone as world-class universities are an expensive undertaking, even for government in more advanced and wealthier countries. “Private universities need a

helping hand; these institutions are busy educating the future of Nigeria in the same manner as their public counterparts. They are not money-making enterprises, but a significant drain on the net worth of their proprietors.” He said there are more than 60 private universities in the country, which constitute a significant sector in educating the future of Nigeria and appealed to the government to look into how to support these citadels of learning and teaching, research and knowledge production and dissemination, community service. The VC said the government can assist through the Tertiary Education Trust Fund (TETFund) Act or by other means possible, adding that the change agenda of the current government would not be complete without adequate facilities and enough institutions to educate all the students that are qualified for university and who would play key roles in the future of the nation. Oloyede announced that the management would soon launch an endowment fund to raise fund for the university founded by Chief Michael Ade Ojo.

NLNG Invests $12m to Boost Research, Engineering in Six Varsities Hammed Shittu in Ilorin The Nigeria Liquefied Natural Gas (NLNG) has invested a total of $12 million in six Nigerian universities as part of efforts to develop research and engineering in the institutions. It said the investment was part of its social responsibility to the universities to build a better country. The benefiting universities are University of Ilorin, University of Port Harcourt, University of Maiduguri, Ahmadu Bello University, University of Ibadan and University of Nigeria, Nsukka. It was gathered that the choice of the universities was based on their high standards; sources close to the NLNG told THISDAY that $2 million was

invested in each institution for the building and equipping of standard engineering research centre for the advancement of technology in the country. Speaking at the inauguration of the ultra-modern NLNG Engineering Research Centre built for the University of Ilorin recently, the Chairman of NLNG, Mr. Babs Omotowa said, “with today’s commissioning of the multi-million naira engineering research centre, NLNG is supporting the university’s mission of providing a world class environment for learning, research and community service. “The UNILORIN support programme is another chapter in our momentous journey to build an even greater company to bequeath to our successors

and to Nigeria.” Omotowa added: “It is another feather in NLNG’s cap as a socially responsible corporate organisation and as part of our commitment to education; we also award scholarship to thousands of deserving young Nigerians at secondary school, university and postgraduate levels. “We also endow the Nigeria Prize for Science and the Nigeria Prize for Literature worth $100,000 each, and built and run the Bonny Vocational Centre, which awards the International Technical Vocation, level 3 certificate of London City and Guilds and the Nigerian Skills Technical Certificate to graduates.” He added that the UNILORIN

engineering research centre is the fourth of its kind by the organisation and charged other corporate organisations in the country to maintain connection to people and society and play a participatory role in helping to evolve a better country. The Vice-Chancellor of UNILORIN, Professor Abdulganiyu Ambali, lauded the giant stride of the NLNG in the quest to develop the universities’ research and engineering support, adding that the gesture would improve the technological growth of the country. Ambali assured the company that the centre donated to the university would be properly used to move the country forward.

Entries Deadline for Maltina Teachers’ Award Extended The deadline for the submission of entries for this year’s Maltina Teacher of the Year Award has been extended to Friday, July 22, 2016. The extension followed the appeals by secondary school teachers across the country for more time to enable them send in their entries for the coveted prize worth over N50 million. The Corporate Affairs Adviser of Nigerian Breweries Plc, Mr. Kufre Ekanem, who announced this in Lagos, said entries have been received from teachers in 34 states and the Federal Capital Territory (FCT). “We have extended the deadline for the submission of entries for Maltina Teacher of the Year because of the overwhelming appeal by teachers across the country who pleaded for the extension. This initiative is for teachers, we believe it is just fair for us to take their interest into consideration. As a company, we always listen and take the views of the people into consideration in our decision making process.” He advised interested teachers to download application forms from the Maltina website, www.maltina-nigeria. com, adding that application forms should be completed and uploaded to the website or sent by email to maltinateacheroftheyear@heineken.com or post to PMB 12632, Marina, Lagos. The company had earlier announced that it expanded the scope of the award to include teachers in private secondary schools in the country. In the maiden edition last year, the competition was limited to teachers in the nation’s public secondary schools. The initiative, sponsored by the Nigerian Breweries- Felix Ohiwerei Education Trust, is

to reward commitment and diligence to duty by exceptional teachers across the country. Ekanem said like last year, all eligible applications would be subjected to an intense selection and judging process. “Our external and independent panel of judges will ensure transparency, credibility and objectivity of the initiative. “The five- step evaluation process of the entries received will result in 37 champions (one per state and the FCT), subject to entries meeting the cut off mark set by the panel of judges. From among these state champions, the Maltina Teacher of the Year 2016 will emerge. All state champions and winners will be celebrated and rewarded in a grand ceremony scheduled for October 2016 in commemoration of World Teachers’ Day.” He said each state champion will get N500,000 and the top 10 teachers will be recognised before the grand winners are announced. The second and first runners-up would receive trophies and an additional N750,000 and N1 million respectively. “The Maltina Teacher of the Year 2016 will get an additional N1 million instantly plus N1 million every year for the next five years; a development training opportunity abroad and a block of classrooms built at the school where he/she teaches. “It is our hope that through the initiative, we can inspire this nation to accord our teachers their deserved credit and bring back respect to the teaching profession in Nigeria. As partners for development, we solicit the support of all education stakeholders towards the success of this initiative.”

FUTURE LEADERS

Pupils ofTLS, Ikoyi, during the 2016 graduation ceremony of the school...recently

School Director Makes Case for Proper Parenting Funmi Ogundare The Director of TLS, Ikoyi, Mrs. Olubunmi Egbeyemi, has expressed concern over the attitude of some parents who send their children abroad at an early age to study, saying that such parents will miss the important aspects of parenting which include proper upbringing, teaching, helping and loving, as well as attending to their school matters. Egbeyemi, who made this known during the school’s 2016 graduation ceremony, wandered how parents are able to sustain such attitude,

saying that going to school is not all about what they teach them, but about parenting and having time to look after their children. “If you want to develop a child, there is a lot to parenting than just sending them abroad; there are times when some children are emotionally distrust and when you are not there, how do you say you are parenting your child? From open days and parents’ forum and other important meetings, you get to know the teachers and vice-versa, and if there is any problem, it is a phone call away. The teachers in Nigeria are

excellent.” She said parents are sending their children abroad because of the decadence in the education system in Nigeria, while recalling her days in school when many parents abroad used to send their children to universities in Nigeria. “I schooled in Nigeria even up to university level, we want to appeal to the federal government to look into education and make the higher institution a lot better. What I frown at is parents that have children between age 10 and 11 and are sending them to schools abroad. “Yes they can afford it, but

there is more to parenting than just the schools. I asked my younger friends what is wrong with the secondary schools in Nigeria and why they are taking them at 10. Do you want to be going to the UK every time for parents’ forum day and sports day? “One parent told me that they don’t have to be there all the time. I asked them why they can’t allow them to turn 16 before they go. Good parenting skills are essential, they are skills that will not only help parents discipline their children, but also help strengthen the bond between parents and children.”

‘Vantage Academy Can Match Any School Abroad’ A Nigerian-American institution, Vantage Point Academy, Gwarinpa, Abuja, has pledged to make Nigerian children great, while raising the next generation of leaders that will influence world affairs positively and be worthy global citizens of the world wherever they end up. According to the Proprietress, Marie David, the school

was set up to level the playing field with its contemporaries from abroad, adding that the academy was born out of a mother’s passion for excellence and a father’s zest for technology “Nigeria is changing fast and has a fresh face. Ten years ago, it could be unthinkable for parents to imagine their wards being globally

developed through the best of the American educational component with the Nigerianbased curriculum. “Vantage Academy is re-defining approach to education with the integration of best practices and the introduction of research proven new cutting edge models in education for the all-round development of students’, she says. “We only promise excellence

in education as we challenge, motivate and equip any child for success in a global economy. We can achieve this since we are positive we can match any school abroad in whatever capacity.” David, who lived all her adult years in America added that Vantage Academy, which was founded in 2014 has a holistic approach to teaching and learning.

WEDNESDAY, JULY 13, 2016 â&#x20AC;˘ T H I S D AY

CITYSTRINGS

Acting Features Editor: Charles Ajunwa Email charles.ajunwa@thisdaylive.com

Bama: When Will the Tears and Blood Stop Flowing Bama, a once thriving commercial town, barely had a single building standing after it was recaptured from the Boko Haram insurgents who annexed it in 2013. Its commerce is now history and the stories from the town are all about malnutrition and starvation which have ravaged a town already down in the doldrums, Michael Olugbode reports

ama, is a town in Borno State, Northeast Nigeria. It has an area of 4,997 square kilometres and according to the 2006 census had a population of 269,986. It is a commercial town, located about 60 kilometres from Maiduguri, the capital of Borno State. It is one of the most prominent towns in the North-east. But the story of the town started changing in 2013 when it suffered series of attacks from the Boko Haram terrorists. The town was subsequently captured by the insurgents on September 2, 2014 and many people were killed and corpses thrown into the rivers or wells. The insurgents hoisted their flag on the town showing their conquest and domination in the once peaceful tow. Many of the residents who survived the attacks fled to safer towns while many who could not flee were either slaughtered or subjected to the inhuman rule of the insurgents until the Nigerian military liberated the town on March 16, 2015. Before the army could liberate the town, the insurgents who had gotten information of the move of the military, totally razed down the town; they left the town in total ruins with many buildings including the magnificent palace of the King (Shehu) torched. The town was deserted without civilian occupiers. But the story changed when military liberated of surrounding villages and parts of the Sambisa Forest. The liberated people who had no other place to seek refuge came to Bama and when they arrived there were no good shelters. They camped at the facilities which once housed the general hospital in the town. The returnees had to build their own shelters; they went into the town to pick from the ruins, burnt zinc, nails and woods. They could only afford to build make-shift shanties worse than the once found in ghettos. In fact, they have little places to defecate and sometimes do it in the open. They had little to eat and it was even a privilege to have a meal a day. Sadly, malnutrition and starvation crept in and started killing them, both old and young. The camp now has two sets of occupants, the living (but dying) and the dead. The dead were buried in shallow graves while the living sleep in huts and shanties which are not fit for animals. They were at the mercy of the harsh weather. No wonder on June 22, 2016, a nongovernmental organisatio known as Medicins Sans Frontiers (MSF) reported a "catastrophic humanitarian emergency" in a camp for refugees fleeing Boko Haram near the town of Bama.

See the graves over there! We have buried over 270 people there mostly children. We have little to eat here. Before the start of Ramadan, we are given a meal per day but during Ramadan we have two meals per day

People at the camp

Refugees in front of make-shift abodes

The NGO claimed that more than 1,200 people have died of starvation and illness at the camp. They also reported that between May 23, 2016 and June 22, 2016, at least 188 people have died at the camp (almost six per day), mainly from malnutrition and diarrhoea. The situation at the camp was pathetic to say the least when THISDAY visited the camp a week ago in company of the aides of the

President. The camp stinks, you have to be very careful not to step on faeces or even get your leg stuck in shallow toilet which is not covered. A large population of the sick and malnourished both young and old were seen and newly dug shallow graves were also visible. The shanties were not fit for human habitation. The general complaints have to do with

inadequate food and they were not aware of the impending epidemic waiting to happen. Some of them who spoke to THISDAY passionately appealed that food should be sent to them. Abba Mohammed who is about 40 years old, said: "See the graves over there! We have buried over 270 people there mostly children. We have little to eat here. Before the start of

WEDNESDAY, JULY 13, 2016 • T H I S D AY

CITYSTRINGS

Refugess deprived of their homes

The deserted town

The destroyed and desolate Bama

As they come out from the bush, no medical official was around to cater to the health need of the victims and the only food is what the camp has for them. The facilities here cannot cater for these IDPs and if the situation continues, we will evacuate them to Maiduguri if this persists

Woman and her baby

Ramadan, we are given a meal per day but during Ramadan we have two meals per day." He lamented that even the meals not nourishing enough “to fill the stomach." Hassanatu Ibrahim, a woman in her thirties looking very frail and was carrying a malnourished baby, said: "I have seen many babies buried and pray that I do not lose my own child. I have no breast milk to feed her on, how do you expect me that has little to eat to have enough breast milk to feed a baby,” she asks, adding “Someone needs to help us please." The Brigade Commander 21 Armoured Brigade Bama, Col. Adama Garba Laka who conducted the Federal government delegation led by the Special Adviser to the President on Social Investment, Mrs. Mariam Uwais, round the Bama IDPs camp said the Bama IDPs camp came into being since March 2015. He however told the delegation that most of the Internally Displaced Persons at the camp were rescued recently from various Boko Haram

enclaves and have suffered malnutrition in the camp of the terrorists. Col. Laka highlighted some of the health challenges in the camp which include poor sanitary situation, lack of adequate shelter for the IDPs who live in zinc houses under the scorching sun, inadequate potable drinking water and lack of toilet systems as most of the IDPs defecate around the premises. He said that there are cases of malnourished children between 0-5 years most of whom came out of bush already malnourished. "As they come out from the bush, no medical official was around to cater to the health need of the victims and the only food is what the camp has for them. The facilities here cannot cater for these IDPs and if the situation continues, we will evacuate them to Maiduguri if this persists." He said that there are pregnant teenagers and malnourished adults in the camp of 25,000 displaced persons. Uwais, in her address to the IDPs, acknowledged

the enormity of the challenges which they faced on a daily basis and assured them that President Muhammadu Buhari was concern and committed towards addressing their plight. She said: "We are here to see for ourselves the situation on the ground here and to report back to the president, the Federal Government would continue to lead the efforts towards helping you as well as other internally displaced persons until you are finally resettled back to your communities." Uwais also commended the military for their gallantry and dedication to securing and caring for the displaced persons, while acknowledging that “this is a crisis situation”, and assured that the Federal Government would work with the state government, international community, local partners and civil society groups to ensure that all the needs of the inhabitants of Bama camp, and the several others are speedily met. The Senior Special Assistant to the President on IDPs, Dr. Mariam Masha, who was also in the entourage assured that alongside the humanitarian work, the federal and state governments are also

focusing on the longer-term work of ensuring that the reconstruction and resettlement are effectively hastened to enable the IDPs return to their homes and communities, and rebuild their lives and livelihoods. She added that as the military continues its task of liberating hitherto isolated communities from the grip of Boko Haram, the scale of the humanitarian crisis is certain to increase, and called for increased support from all partners and stakeholders. The North-east zonal coordinator of National Emergency Management Agency (NEMA), Alhaji Mohammed Kanar, disclosed that the federal government through the Presidential Initiative For North East had commenced the construction of 500 new tents each in some identified camps in Maiduguri as well as all the satellite camps including Bama, Dikwa, Moguno and Konduga. He assured that NEMA would continue to deliver food items to the IDPs and ensure that they are made comfortable at the camps. The Borno State Health Commissioner, Dr. Haruna Mshelia, explained that 1,800 of the most vulnerable persons in the camp had been relocated to Maiduguri for medical attention and specialised feeding, and that the relocation is ongoing. He added that a permanent health team had been working in the camp since May 2016, and that the existing team still required a lot of support. Mshelia who denied the report of acute malnutrition in the camp and deaths, said they were exaggerated as the state government with the supports from the federal government and other development partners had been doing their best to assist IDPs in the Bama camp and throughout state. He revealed that during the visit about 50 additional persons identified with cases of malnutrition in the camp were immediately transported by the assessment team to Maiduguri. He said that three truckload of food items and drugs from NEMA were also delivered to the IDPs during the visit. Although the IDPs have started receiving attention from government, but one question now is when will the tears and blood in Bama stop from flowing?

WEDNESDAY JULY 13, 2016 T H I S D AY

WEDNESDAY JULY 13, 2016 • T H I S D AY

INTERNATIONAL

email:foreigndesk@thisdaylive.com

South Sudanese Emerge from Shelters after Heavy Fighting People emerged from makeshift shelters in South Sudan’s capital yesterday after a ceasefire silenced days of heavy fighting that has destabilized the world’s newest nation. Forces loyal to President Salva Kiir and Vice President Riek Machar had battled each other with anti-aircraft guns, attack helicopters and tanks since Thursday -- almost five years to the day since South Sudan declared independence from Sudan with promises of aid and support from world powers. “We don’t even know what is happening. These things, they just happen again and again, and the people of South Sudan are suffering. We need peace,” Samson Kenyi, a 34-year-old motorcycle taxi rider said in the capital, Juba. The violence has raised fears of a collapse of a nearly one-year-old peace deal that was supposed to end two years of ethnically charged civil war between Kiir and Machar’s supporters. Both leaders deny responsibility for starting the violence and had called for calm while it raged, leading to concerns that they have lost control of their forces or other political actors may be involved. A ceasefire called on Monday night appeared to hold and officials from Machar’s side said

he was ready for talks. But there were no details of a meeting or an accord. Shops were shut and residents said some of the civilians who ventured out were walking down Juba’s dusty streets toward U.N. bases, where thousands have already sought safety during the clashes. “Some of the many displaced from the recent fighting have come out to stretch their legs a little bit. They are in the streets. They are not moving far,” said Jeremiah Young, a policy and peace-building adviser for aid group World Vision. As well as fleeing to U.N. bases, other Juba residents had huddled in churches and schools to escape the fighting. “The humanitarian needs are going to be very great after this,” Young added by telephone.“They are going to need food, they are going to need shelter, they are going to need water.”The United Nations called for protection of those uprooted by fighting and easy movement of humanitarian supplies. The African Union said anyone violating the ceasefire would “be subjected to stern measures, including targeted sanctions”. The European Union and United States previously imposed sanctions on several military leaders on both sides.

But world powers and regional states have struggled in the past to find much leverage over the two men and their forces. The rival leaders, who have long fought in politics and on the battlefield, could meet or hold telephone talks to shore up the ceasefire, Machar’s spokesman, James Gatdek Dak, said. He said it was not clear when such talks might take place, and that a venue had to be agreed.“Machar is committed to implementation of the

peace agreement. If Kiir can reciprocate I believe they can build confidence,” he said. “If one party is not committed to implementation of the peace agreement, I doubt that they will successfully agree to work together.” An international body, the JMEC, was set up to monitor the ceasefire and peace deal implementation, and it is chaired by Festus Mogae, a former president of Botswana. Machar’s spokesman said the JMEC was mediating.

FEDERAL GOVERNMENT OF NIGERIA FEDERAL MINISTRY OF EDUCATION FEDERAL GOVERNMENT GIRLS' COLLEGE ,NEW BUSSA

Invitation for Bid (IFB) EXECUTION OF NEW AND ON- GOING PROJECTS 2016 CAPITAL PROJECT ( INSTITUTION CODE No :0517026071)

1 This Invitation for Bids follows the 2016 FGN capital expenditure details as appropriated by the National Assembly of Nigeria 2 The Government of the Federal Republic of Nigeria intends to apply part of the 2016 budget for the payment of the execution of her new and on-going projects in FGGC New Bussa ,Niger state . 3 The Tenders Board of Federal Government Girls' College New Bussa ,now invites sealed bids from eligible and qualiﬁed bidders for the Procurement of the following : Category A : SDG Projects Lot No 1 2 3

Description of item

Project Code

VIP Toilet and Bathrooms (Hostels & Classroom Area) Modern Kitchen and Renovation/Completion of Dining Halls Boheholes and Water Reticulation

FGGCNB0002 017878

Quality/ lenght Various

Bid security 2.5% of bill price

Validity Delivery Period Period 90 days 30 days

DeliveryLoca tion FGGC New Bussa

FGGCNB0002 017878

Various

2.5% of bill price

90 days 30 days

FGGC New Bussa

FGGCNB0002 017878

Various

2.5% of bill price

90 days 30 days

FGGC New Bussa

Category B :2016 Capital Projects Lot no 4 5

6 7

Desciption of item

Project Code

Construction of Block of 6 Classrooms Construction/Renov ation and Furnishing of Hall

FGGCNB0020 17840

Quality/ lenght Various

Bid Security 2.5% of bid price

Validity Period 90 days

Delivery Period 30 days

FGGCNB0010 17857

Various

2.5% of bid price

90 days

30 days

Construction of VIP Toilets in Hostels and classroom area Construction of Borehole and water reticulation

FGGCNB0010 17872

Various

2.5% of bid price

90 days

30 days

FGGCNB0020 17865

Various

2.5% of bid price

90 days

30 days

4. Bidding will be conducted through the National Competitive bidding(NCB), a procedure specified in the 2007 Public Procurement Act of Federal Republic of Nigeria , and is open to all bidders as defined in the Guideline . 5 Interested eligible bidders may obtain further information from Tenders Board of Federal Government Girls' College , New Bussa, at the address below and inspect/purchase the Bidding Documents from 8.00am to 4.00pm Mondays to Fridays except on public holidays . 6 Qualifications required include : · Evidence of Certificate of Incorporation with Corporate Affairs Commission (CAC). · Evidence of Tax Clearance for the last 3 years st valid up to December 31 2015. · Evidence of VAT certificate. · Verifiable list of similar job successfully executed with Federal or State establishment including letter of award, certificate of completion and payments and relevant contact addresses of clients who may be contacted for reference) · Evidence of compliance with the provision of section 6(1) (3) of the amended Industrial Training Fund (ITF) Act No 19 of 2011 · Audited financial statements for the 3 years to demonstrate the financial capability of the contractor in terms of Profitability and adequate working capital by reputable Chartered Accounting firm. · Evidence of payment of staff pension (Pension Act) · Evidence of registration with Financial Reporting Council (FRC), · Detailed Company profile , including evidence of Technical competence ,

Delivery Location FGGC New Bussa FGGC New Bussa FGGC New Bussa FGGC New Bussa

Curriculum Vitae of Professional staff indicating their Academic and Professional certification . · A sworn Affidavit confirming that all information presented and attached are true and correct of the company and that no officer of the college is a former or present director , staff or a shareholder of the company . Additional details are provided in the Bidding Documents. 7. A complete set of Bidding Documents in English may be purchased by interested bidders upon the payment of a non refundable fee of #10,000.00(Ten thousand Naira) in favor of Tenders Board of Federal Government Girls' College , New Bussa .The Bidding Documents will be collected by the representative of the Bidder or by courier services on request 8. Bids must be delievered to the address below at or before 12.00pm on . Electronic bidding will not be permitted . Late Bids will be rejected. Bids will be opened in the present of the bidders' representative , who choose to attend in person at the address below at 12.00pm on2016 . All bids be accompanied by a Bid security of 2.5% of the Bid Price or an equivalent amount in a freely convertible currency. NOTE : Bidders can win a maximum of one Lot only. 9. The address referred to above is : The Secretary , Tenders Board , Federal Government Girl' College , P.M.B.229, New Bussa , Niger state . Signed Principal

WEDNESDAY JULY 13, 2016 T H I S D AY

T H I S D AY • WEDNESDAY, JULY 13 , 2016

BUSINESS/MONEYGUIDE

Mortgage Financing: NMRC to Issue New Bonds, Signs MoU with NBS Ndubuisi Francis in Abuja About a year after it successfully issued a N8billion bond, the Nigeria Mortgage Refinance Company (NMRC) is set to issue fresh bonds to refinance 5,000 mortgages. The Managing Director, NMRC, Prof Charles Inyangete, who disclosed this in Abuja yesterday during the signing of a Memorandum of Understanding (MoU) between his company and the National Bureau of Statistics, (NBS), said that NMRC has so far injected N6billion to the mortgage market as part of overall efforts to reduce the housing deficit in the country. Giving an insight into what the company has been doing, he said: “As we speak now, we are looking at a five thousand mortgage refinancing transactions which we are evaluating before going to the market at the end of this quarter. “We have big designs and we are looking at substantially more because our programmes

as approved by the Securities and Exchange Commission is about N140 billion and so it’s quite a long way to go,” he said. According to him, NMRC has brought stability to the market through the issuance of longer term finance. “We believe that part of the biggest challenge today is to find an affordable home. So we need to make sure that we help drive the process of bringing to reality the affordable homes. So we are extending our activities to creating an environment that allows affordability to be a reality. “We would not refinance any mortgage that doesn’t meet that standard. We would not also refinance an entity that doesn’t operate to a level that is not satisfactory to us.” He noted that the NMRC has so far not recorded any default in repayment of mortgage refinancing loans, adding that it had put in

place appropriate mechanisms in place, including uniform underwriting standards to guard against default. According to him, the target of NMRC was to be the dominant mortgage partner in the country, adding that bringing stability to the housing subsector was a goal the company is desirous of achieving. He however noted that issues of foreclosure, among others were posing serious challenges. In order to attract more investors into the housing sector, Iyangete said the NMRC has signed a foreclosure agreement with some state government. This, he said, would enable investors in the sectors to have a level playing field and to also understand the environment they operate, pointing out that some states were beginning to address some of the impediments. Signing the MoU, the NMRC boss said the importance of data (information) cannot be over-emphasised, hence the collaboration with NBS.

‘Nigeria Has Recorded Improvement in Market Size’ Nume Ekeghe The Co- author, African Competitiveness Report by World Bank, Mr. Barak Hoffman has said that Nigeria has recorded improvement in its market size and macroeconomic environment over the years. Hoffman made the remark yesterday at a workshop titled: “Economic Competitiveness in Nigeria.” The workshop was jointly hosted by the Nigerian Economic Summit Group and the World Bank as part of a series of regional workshops in Africa that will form input into the “Africa Competitiveness Report.” Hoffman said Nigeria was ranked 124 out of 140 countries between 2014 and 2015, but has strengthened in terms of market size, macro-economic environment, labour market and business sophistication. He, however, said the country has weakness in its education, health, infrastructure, sectors, especially in the area of primary and high education and training. He added that the 2015 African Competitiveness

Report showed low level of performance across the African region. “Competitiveness is a function of productivity. Change in productivity from 1995 to 2004 and over the past decade has been stagnant. What we have seen is that even commodity price declined, it was clear that productivity growth was slowing in the region. “I think that this reflects the broader trend within the index over the past 10 years that really Africa is lagging behind. And up until two years ago, when the commodity prices started falling that there was sense that they did not have to worry,” he added. Furthermore, he said: “It is a blessing now that commodity prices have fallen and that those underline fragility are still there which is manifest in the overall stagnation in the competitiveness Africa.” On his part, the Chief Executive Officer (CEO), National Competitiveness Council of Nigeria (NCCN), Mr. Chika Mordi, said it was necessary to improve the nation’s competitiveness in order to grow

the economy. Mordi said the country had all that it takes to compete at the global market. He said that in spite of its ability to compete at the International scene, the country still faces some challenges. These challenges, Mordi added, included weakened policy management, multiple taxes, hurdles in business registration among others. The NCCN CEO, however, noted that the country was still a large driven economy. He said: “In order for the country to increase competitiveness performance, the government should ensure more jobs for the growing youth population.” The Director-General of DAWN Commission, Mr. Dipo Famakiwa stressed the need for synergy among the region in Nigeria, adding that was the key to its competitiveness. Famakiwa said the country already had essential drivers for competitiveness within its regions in spite of the effort to improve its economic and social development.

Swiss Re Acquires 25% Stake in Leadway Assurance Swiss Re has purchased 25 per cent stake in the Leadway Assurance Company Limited. The acquisition of shares by Swiss Re marks the beginning of an exciting new chapter in the history of Leadway. The Managing Director/ CEO of Leadway, Mr. Oye Hassan-Odukale, said the complementary capabilities and aligned underwriting philosophies of the two organisations will bring great opportunities for Leadway to emerge as a leading African financial institution. The Executive Director, Financial Services at Leadway Assurance, Mr. Tunde Hassan-

Odukale, said in a statement that Swiss Re was selected as an investor because of the existing and well-established relationship between the two organisations. This comes in addition to Swiss Re’s long-standing commitment to the insurance sector, which combines financial strength, risk transfer expertise and its direct investments. According to the statement, the investment allows Swiss Re to deploy capital in-line with its strategy of accessing new risk pools in emerging markets and to support insurance development across the

globe. The investment comes after the exit of the International Finance Corporation (IFC), a member of the World Bank, which was the second largest shareholder of Leadway Assurance. The company said the relationship with Swiss Re started nearly 40 years ago when the then fledgling domestic insurer was in the process of ramping up its direct/personal line insurance operations into commercial/industrial line insurance operations to compete in a market which was dominated by much older foreign linked insurers.

Broad street

MARKET INDICATORS MONEY AND CREDIT STATISTICS

(MILLION NAIRA)

MARCH 2016 Broad Money (M2)

20,470,436.00

-- Narrow Money (M1)

9,040,817.68

---- Currency Outside Banks

1,441,365.03

---- Demand Deposits

7,599,452.65

-- Quasi Money

11,429,618.32

Net Foreign Assets (NFA)

5,551,714.27

Net Domestic Assets(NDA)

14,918,721.73

-- Net Domestic Credit (NDC)

22,664,815.74

---- Credit to Government (Net)

3,782,578.01

---- Memo: Credit to Govt. (Net) less FMA

4,991,246.39

---- Memo: Fed. and Mirror Accounts (FMA)

-1,208,668.38

---- Credit to Private Sector (CPS)

18,882,237.73

--Other Assets Net

-7,746,094.02

Reserve Money (Base Money)

5,758,634.07

--Currency in Circulation

1,811,090.48

--Banks Reserves

3,947,543.59 • Source - CBN

MANAGED FUNDS Initial Price (N) Stanbic Balanced Fund

Buying Price(N)

Selling Price

1,660.29

1,685.29

Stanbic IBTC NEF

1,000.00

11,002.32

11,326.67.11

Stanbic SIBond

120.47

Stanbic IBTC Ethical

1.10

1.13

Stanbic IBTC GIF

142.90

143.38

UBA Balanced Fund

1.2563

1.2493

UBA Bond Fund

1.3443

UBA Equity Fund

0.8205

0.8074

UBA Money Market Fund

1.1510

ARM Aggressive Growth Fund

N13.0544

N13.4480

ARM Discovery Fund

N288.2515

N296.9425

ARM Ethical Fund

N22.5268

N23.2060

ARM Money Market Fund

13.1030 (Yield % ) • Monetary Policy Rate - 13%

OPEC DAILY BASKET PRICE AS AT MONDAY 11, JULY 2016 The price of OPEC basket of fourteen crudes stood at $42.21 a barrel on Monday, compared with $42.59 the previous Friday, according to OPEC Secretariat calculations. The new OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Rabi Light (Gabon), Minas (Indonesia), Iran Heavy (Islamic Republic of Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela). SOURCE: OPEC headquarters, Vienna

WEDNESDAY julY 13, 2016 • T H I S D AY

Nigeria’s top 50 stocks based on market fundamentals

12-July16

11-July-16

% Change

Capitalisation

EPS

P/E

P/S

Div. Yld

Price/ Book Value

01 Dangote Cement Plc

191.00

191.20

-0.10%

3,254,736,914,355.00

10.64

17.95

6.62

4.19%

5.05

02 Nigerian Breweries Plc

133.76

130.05

2.85%

1,060,596,534,778.88

5.37

24.92

3.84

2.69%

6.22

03 Guaranty Trust Bank Plc

24.00

0.00%

706,348,301,376.00

3.38

7.10

3.08

7.38%

1.71

852.00

852.10

-0.01%

675,343,126,704.00

29.95

28.45

4.46

3.40%

17.77

05 Zenith Bank Plc

16.41

15.87

3.40%

515,216,463,028.26

3.37

4.88

1.19

10.97%

0.87

06 Lafarge Africa Plc

61.48

60.45

1.70%

280,035,363,278.80

5.93

10.37

1.05

4.88%

1.59

07 Ecobank Transnational Incorporated

14.33

14.75

-2.85%

262,949,068,910.95

1.39

10.29

0.51

4.33%

0.70

08 Forte Oil Plc.

163.31

171.90

-5.00%

212,708,188,930.93

4.45

36.71

1.71

2.11%

4.60

09 Seplat Petroleum Dev. Co. Ltd

330.00

0.00%

182,592,403,290.00

23.48

14.05

1.62

4.82%

0.65

10 United Bank for Africa Plc

4.69

4.57

2.63%

170,150,978,450.18

1.64

2.85

0.54

12.79%

0.51

11 Access Bank Plc

5.60

5.40

3.70%

161,996,641,133.60

2.28

2.46

0.48

9.82%

0.44

12 Guinness Nig Plc

101.00

0.00%

152,094,706,988.00

0.78

129.77

3.05

0.00%

3.40

13 Stanbic IBTC Holdings Plc

14.99

15.77

-4.95%

149,900,000,000.00

2.04

7.36

1.27

0.67%

1.33

14 Presco Plc

36.00

37.00

-2.70%

142,937,173,620.00

3.28

32.81

1.97

3.61%

3.40

3.70

3.75

-1.33%

132,812,583,330.40

0.42

8.77

0.26

4.05%

0.23

31.80

0.00%

120,308,820,750.00

0.32

100.90

2.03

0.16%

15.03

142.05

0.00%

90,995,861,064.15

11.12

12.77

1.17

1.55%

3.79

18 Oando Plc

7.01

7.45

-5.91%

84,362,678,446.94

0.50

14.02

0.15

10.70%

0.53

19 Dangote Sugar Refinery Plc

6.61

6.60

0.15%

79,320,000,000.00

0.96

6.88

0.78

7.56%

1.36

20 Julius Berger Nig. Plc

50.93

0.00%

67,227,600,000.00

1.85

27.55

0.50

2.95%

2.77

21 International Breweries Plc

19.00

0.00%

62,590,736,320.00

0.64

29.73

3.38

1.32%

5.19

22 Total Nigeria Plc

181.48

0.00%

61,616,422,978.76

11.92

15.23

0.30

7.71%

3.79

23 Mobil Oil Nig Plc

169.00

0.00%

60,940,599,278.00

13.51

12.51

0.95

4.26%

3.97

1.47

1.45

1.38%

56,919,866,214.75

0.05

28.02

1.40

0.00%

0.65

25 Flour Mills Nig. Plc

21.50

0.00%

56,421,099,520.50

1.84

11.68

0.17

9.30%

0.55

26 Diamond Bank Plc

1.92

1.85

3.78%

44,467,946,818.56

0.24

7.86

0.20

0.00%

0.21

27 Sterling Bank Plc

1.35

1.40

-3.57%

38,867,064,470.10

0.36

3.78

0.35

6.67%

0.41

20.23

20.00

1.15%

38,859,086,549.01

2.70

7.49

0.53

4.94%

0.52

1.19

1.14

4.39%

34,465,476,973.48

0.48

2.48

0.23

13.45%

0.19

30 Cadbury Nigeria Plc

16.50

16.70

-1.20%

30,990,333,660.00

3.21

5.15

0.92

7.88%

2.99

31 Okomu Oil Palm Plc

31.50

0.00%

30,048,165,000.00

2.76

11.42

3.09

0.32%

2.49

32 Wema Bank Plc

0.77

0.80

-3.75%

29,702,338,882.37

0.06

12.76

0.65

0.00%

0.64

33 FCMB Group Plc

1.39

1.38

0.72%

27,525,767,985.59

0.24

5.78

0.18

7.19%

0.17

35.00

0.00%

24,500,000,000.00

2.49

14.08

3.47

3.29%

16.12

35 Custodian And Allied Insurance Plc

3.99

4.00

-0.25%

23,468,638,138.05

0.71

5.59

0.79

3.51%

0.90

36 Glaxo Smithkline Consumer Nig. Plc

18.77

20.78

-9.67%

22,446,601,679.76

0.81

23.26

0.73

1.60%

1.70

37 Mansard Insurance Plc

2.06

2.16

-4.63%

21,630,000,000.00

0.16

13.01

1.31

2.43%

1.24

38 PZ Cussons Nigeria Plc

21.57

22.70

-4.98%

21,570,000,000.00

1.10

6.58

1.90

0.46%

0.96

39 National Salt Co. Nig. Plc

7.67

8.04

-4.60%

20,321,192,359.26

0.79

9.65

1.26

7.17%

2.87

40 Unity Bank Plc

1.00

1.02

-1.96%

11,689,337,942.00

0.54

1.84

0.18

0.00%

0.14

41 Continental Reinsurance Plc

1.11

1.13

-1.77%

11,513,746,186.32

0.21

5.37

0.58

10.81%

0.74

42 Honeywell Flour Mill Plc

1.35

0.00%

10,705,766,838.30

0.14

9.56

0.22

11.85%

0.50

43 Skye Bank Plc

0.73

0.79

-7.59%

10,132,620,029.30

0.85

0.07

41.10%

0.07

44 Cement Co. Of North.Nig. Plc

6.99

0.00%

8,784,177,584.34

0.96

7.31

0.67

1.43%

0.87

45 UACN Property Development Co. Limited

4.00

0.00%

6,874,999,980.00

1.81

2.21

0.61

17.50%

0.21

46 Wapic Insurance Plc

0.50

0.00%

6,691,369,126.00

0.10

5.16

0.94

6.00%

0.45

47 Nigerian Aviation Handling Company Plc

4.05

3.86

4.92%

6,578,085,937.50

0.33

12.23

0.77

4.94%

1.08

48 Resort Savings & Loans Plc

0.50

0.00%

5,664,866,202.00

4.68

0.11

0.02

0.00%

1.89

49 AIICO Insurance Plc

0.76

0.73

4.11%

5,266,955,404.80

0.28

2.75

0.16

6.58%

0.54

50 Fidson Healthcare Plc

2.06

0.00%

3,090,000,000.00

0.50

4.15

0.38

2.43%

0.49

04 Nestle Nigeria Plc

15 FBN Holdings Plc 16 Unilever Nigeria Plc 17 7-Up Bottling Comp. Plc

24 Transnational Corporation Of Nigeria Plc

28 U A C N Plc 29 Fidelity Bank Plc

34 Cap Plc

TOTAL

9,296,976,670,494.84

TOTAL MARKET CAP

9,911,035,929,208.60

% OF MARKET CAP Annotation - MA* = Simple Moving Average

93.80%

Table 1 Market Statistics Mkt Indicators NSE All Share Index NSE Market Cap (N'Trillion) Thisday BGL 50 Index Thisday BGL 50 Market Cap (N'Trillion)

Open Close 11-July-16 12-July-16

Change %

28,813.51 9.90

28,857.34 9.91

0.15% 0.15%

118.66 9.24

119.40 9.30

0.62% 0.62%

Table 3 Top 5 Gainers Stock

Open 11-July-16

Nigerian Aviation Handling Company Plc Fidelity Bank Plc AIICO Insurance Plc Diamond Bank Plc Access Bank Plc

Close Change 12-July-16 %

3.86

4.05

4.92%

1.14 0.73 1.85 5.40

1.19 0.76 1.92 5.60

4.39% 4.11% 3.78% 3.70%

Table 4 Top 5 Losers Stock

Open Close Change 11-July-16 12-July-16 %

Glaxo Smithkline Consumer Nig. Plc Skye Bank Plc Oando Plc Forte Oil Plc. P Z Cussons Nigeria Plc

20.78 0.79 7.45 171.90 22.70

18.77 -9.67% 0.73 7.01 163.31 21.57

-7.59% -5.91% -5.00% -4.98%

Market ASI appreciates marginally by 0.15% to end a 5-day losing streak Market pulse on the Nigerian Stock Exchange (NSE) today – Tuesday, July 12, 2016 ended its fiveday bearish descent as the stock market closed green with a marginal 0.15%. This was further highlighted by positive performances from the NSE Sub sectors: Banking and Consumer Goods (Save Insurance and Oil & Gas). However, trading activities decreased in volume as 207.62 million shares worth N3.64 billion in 4,542 deals exchanged hands today. This is a decrease from the 275.36 million shares worth N3.44 billion in 4,865 deals carried out on Monday. Topping in volume terms was Guaranty Trust Bank Plc, Transnational Corporation Of Nigeria Plc and Presco Plc while Nigerian Breweries Plc and Guaranty Trust Bank Plc ended trading as the most active stocks in value terms. The All Share Index (NSEASI) closed positive with a 0.15% (-43.83) increase to close at 28,857.34 from 28,813.51 the previous trading day. Market Capitalization depreciated in tandem to N9.91 trillion from N9.90 trillion of prior trading day. Similarly, the Thisday BGL 50 Index followed suit with an increase of 0.62% to close at 119.40 from 118.66 recorded at the end of the previous trading day, while its market capitalization stood at N9.30 trillion from N9.24 trillion of the previous trading day. A total number of 14 stocks gained on the bourse today while 29 stocks declined, 57 leaving stocks unchanged. Nigerian Aviation Handling Company Plc emerged the day’s toast of investors as it topped the Thisday BGL 50 Index gainers’ list with a gain of 4.92% to close at N4.05 per share. It was followed by Fidelity Bank Plc with a gain of 4.39% to close at N1.19 per share. Others on the gainers list include: AIICO Insurance Plc, Diamond Bank Plc and Access Bank Plc, while on the decliners’ list; GlaxoSmithkline Consumer Nig. Plc led with a loss of 9.67% to close at N18.77 per share. It was followed by Skye Bank Plc with a loss of 7.59% to close at N0.73 per share. Others on the losers list include: Oando Plc, Forte Oil Plc and PZ Cussons Nigeria Plc.

REQUIRED DISCLOSURE This report has been prepared by BGL Plc. BGL Plc does and seeks to do business with companies covered in its research reports. As a result, the firm may have a conflict of interest that could affect the objectivity of this report. Investors should use this report as one of many other factors in making their investment decisions.

For more details go to www.thisdaylive.com

T H I S D AY • WEDNESDAY, JULY 13 , 2016

MARKET NEWS

AfDB, ASEA Sign Pact to Develop Africa’s Capital Markets Goddy Egene and Nosa Alekhuogie The African Development Bank (AfDB) and the African Securities Exchanges Association (ASEA) have signed a five-year Memorandum of Understanding (MoU) to boost their joint efforts aimed at mobilising resources to fund Africa’s economic growth. The MoU seeks to provide a collaborative

framework for harmonising and coordinating the efforts of AfDB, the premier international development financial institution for Africa, and ASEA, the premier body of African stock exchanges, towards deepening and connecting African financial markets. The partnership will facilitate various projects of mutual interest to both the association and the bank targeting areas

T H E MAIN BOARD

DEALS

MARKET PRICE

such as financial markets infrastructure development, introduction of new products in the market, improving market liquidity and market participation, information sharing and capacity building amongst other programs. Speaking on the development, President of AfDB, Dr. Akinwumi Adesina said the strengthening and deepening of Africa’s financial markets

N I G E R I A N QUANTITY TRADED

is a powerful tool to mobilise domestic and international savings at an efficient cost, and channel them towards funding Africa’s private sector, which is critical to accelerate the pace to achieve the bank’s 10-year Strategy 2013-2022 for green and inclusive growth in Africa. “It is therefore integral to the bank’s High 5s Priority Agenda to ‘Light up and Power Africa’, to ‘Feed Africa’, to ‘Integrate

STO C K

VALUE TRADED ( N )

Africa’, to ‘Industrialise Africa’ and to ‘Improve the Quality of Life of Africans’’, all of which embody core elements of the 2030 Agenda for Sustainable Development Goals (SDGs),” he said. According to him, the maiden project to be undertaken under this cooperation initiative will be the African Exchanges Linkage Project (AELP). “Collaboration will extend

to other joint projects or programmes over time. Coinitiated by ASEA and the bank, the AELP is aimed at addressing the lack of liquidity in African capital markets by creating linkages across markets. It is envisaged that the linkage would allow cross border visibility and open-up markets for investors to trade in any of the linked markets,” he said.

E XC H A N G E

MAIN BOARD

DEALS

MARKET PRICE

DAILY STOCK MARKET REPORT

Daily Summary as of 22/02/2016 Printed 22/02/2016 14:36:10.010

Daily Summary (Bonds) No Debt Trading Activity Daily Summary (Equities) Activity Summary on Board EQTY AGRICULTURE Crop Production OKOMU OIL PALM PLC. PRESCO PLC Crop Production Totals Livestock/Animal Specialties LIVESTOCK FEEDS PLC. Livestock/Animal Specialties Totals AGRICULTURE Totals CONGLOMERATES Diversified Industries A.G. LEVENTIS NIGERIA PLC. TRANSNATIONAL CORPORATION OF NIGERIA PLC U A C N PLC. Diversified Industries Totals CONGLOMERATES Totals CONSTRUCTION/REAL ESTATE Infrastructure/Heavy Construction JULIUS BERGER NIG. PLC. Infrastructure/Heavy Construction Totals Real Estate Development UACN PROPERTY DEVELOPMENT CO. LIMITED Real Estate Development Totals CONSTRUCTION/REAL ESTATE Totals CONSUMER GOODS Beverages--Brewers/Distillers CHAMPION BREW. PLC. GUINNESS NIG PLC INTERNATIONAL BREWERIES PLC. NIGERIAN BREW. PLC. Beverages--Brewers/Distillers Totals Beverages--Non-Alcoholic 7-UP BOTTLING COMP. PLC. Beverages--Non-Alcoholic Totals Food Products DANGOTE SUGAR REFINERY PLC FLOUR MILLS NIG. PLC. HONEYWELL FLOUR MILL PLC NASCON ALLIED INDUSTRIES PLC N NIG. FLOUR MILLS PLC. TIGER BRANDED CONSUMER GOODS PLC Food Products Totals Food Products--Diversified CADBURY NIGERIA PLC. NESTLE NIGERIA PLC. Food Products--Diversified Totals Household Durables VITAFOAM NIG PLC. Household Durables Totals Personal/Household Products P Z CUSSONS NIGERIA PLC. UNILEVER NIGERIA PLC. Personal/Household Products Totals CONSUMER GOODS Totals FINANCIAL SERVICES Banking ACCESS BANK PLC. DIAMOND BANK PLC ECOBANK TRANSNATIONAL INCORPORATED FIDELITY BANK PLC GUARANTY TRUST BANK PLC. SKYE BANK PLC STERLING BANK PLC. UNITED BANK FOR AFRICA PLC UNION BANK NIG.PLC. UNITY BANK PLC WEMA BANK PLC. Banking Totals Insurance Carriers, Brokers and Services AIICO INSURANCE PLC. CONTINENTAL REINSURANCE PLC CONSOLIDATED HALLMARK INSURANCE PLC LASACO ASSURANCE PLC. AXAMANSARD INSURANCE PLC N.E.M INSURANCE CO (NIG) PLC. UNITY KAPITAL ASSURANCE PLC WAPIC INSURANCE PLC Insurance Carriers, Brokers and Services Totals Micro-Finance Banks NPF MICROFINANCE BANK PLC Micro-Finance Banks Totals Other Financial Institutions AFRICA PRUDENTIAL REGISTRARS PLC CUSTODIAN AND ALLIED PLC FCMB GROUP PLC. STANBIC IBTC HOLDINGS PLC UNITED CAPITAL PLC Other Financial Institutions Totals FINANCIAL SERVICES Totals HEALTHCARE Pharmaceuticals FIDSON HEALTHCARE PLC

6 6 12

30.00 34.00

12,629 11,640 24,269

374,530.15 421,345.20 795,875.35

19 19 31

1.25

1,078,511 1,078,511 1,102,780

1,358,964.30 1,358,964.30 2,154,839.65

5 68 13 86 86

0.77 1.13 20.47

33,500 6,740,423 65,995 6,839,918 6,839,918

25,070.00 7,635,453.96 1,344,425.15 9,004,949.11 9,004,949.11

13 13

41.50

31,970 31,970

1,409,214.78 1,409,214.78

5 5 18

5.20

28,901 28,901 60,871

154,716.48 154,716.48 1,563,931.26

6 24 7 98 135

2.85 118.85 20.00 99.00

190,900 53,000 15,200 429,541 688,641

528,079.00 6,201,924.95 293,757.00 42,728,789.84 49,752,550.79

9 9

168.50

166,476 166,476

28,285,937.95 28,285,937.95

54 38 6 12 1 29 140

5.61 19.00 1.37 6.86 6.65 1.27

2,120,306 314,421 40,000 119,863 433 3,285,739,119 3,288,334,142

11,610,520.13 5,953,792.96 55,716.00 842,442.48 2,736.56 4,074,348,894.07 4,092,814,102.20

11 54 65

17.86 700.00

18,825 98,360 117,185

329,518.50 68,567,962.00 68,897,480.50

11 11

4.46

99,050 99,050

420,455.00 420,455.00

13 21 34 394

21.90 28.00

36,887 133,117 170,004 3,289,575,498

820,034.75 3,737,067.92 4,557,102.67 4,244,727,629.11

82 51 21 25 200 41 16 147 11 15 67 676

4.10 1.49 15.60 1.21 16.70 1.07 1.76 2.95 5.30 0.63 0.98

3,962,506 2,163,396 278,470 790,900 4,847,312 1,969,858 1,204,932 8,586,418 39,752 501,617 5,920,564 30,265,725

16,210,255.82 3,314,106.88 4,136,459.40 958,864.34 80,963,793.44 2,115,552.11 2,087,767.85 25,302,954.71 205,645.40 316,018.71 5,813,502.17 141,424,920.83

14 8 2 3 7 10 1 1 46

0.80 0.90 0.50 0.50 2.06 0.76 0.50 0.50

200,107 276,500 5,004,000 1,000,000 351,540 327,285 37,708,135 10 44,867,577

160,838.67 251,350.00 2,502,000.00 500,000.00 720,728.80 245,325.31 18,854,067.50 5.00 23,234,315.28

1 1

1.08

4,760 4,760

4,950.40 4,950.40

31 7 105 7 20 170 893

2.46 4.00 0.85 14.15 1.31

1,149,464 27,041 31,257,120 38,035 708,255 33,179,915 108,317,977

2,830,722.84 104,002.06 26,613,309.20 537,985.34 931,556.31 31,017,575.75 195,681,762.26

2.69

614,065

1,572,223.05

GLAXO SMITHKLINE CONSUMER NIG. PLC. MAY & BAKER NIGERIA PLC. NEIMETH INTERNATIONAL PHARMACEUTICALS PLC Pharmaceuticals Totals HEALTHCARE Totals ICT IT Services TRIPPLE GEE AND COMPANY PLC. IT Services Totals ICT Totals INDUSTRIAL GOODS Building Materials ASHAKA CEM PLC BERGER PAINTS PLC CAP PLC CEMENT CO. OF NORTH.NIG. PLC PORTLAND PAINTS & PRODUCTS NIGERIA PLC LAFARGE AFRICA PLC. Building Materials Totals Electronic and Electrical Products CUTIX PLC. Electronic and Electrical Products Totals Packaging/Containers BETA GLASS CO PLC. Packaging/Containers Totals INDUSTRIAL GOODS Totals OIL AND GAS Energy Equipment and Services JAPAUL OIL & MARITIME SERVICES PLC Energy Equipment and Services Totals Integrated Oil and Gas Services OANDO PLC Integrated Oil and Gas Services Totals Petroleum and Petroleum Products Distributors CONOIL PLC ETERNA PLC. FORTE OIL PLC. MOBIL OIL NIG PLC. TOTAL NIGERIA PLC. Petroleum and Petroleum Products Distributors Totals Exploration and Production SEPLAT PETROLEUM DEVELOPMENT COMPANY LTD Exploration and Production Totals OIL AND GAS Totals SERVICES Automobile/Auto Part Retailers R T BRISCOE PLC. Automobile/Auto Part Retailers Totals Courier/Freight/Delivery RED STAR EXPRESS PLC Courier/Freight/Delivery Totals Printing/Publishing LEARN AFRICA PLC Printing/Publishing Totals Transport-Related Services AIRLINE SERVICES AND LOGISTICS PLC NIGERIAN AVIATION HANDLING COMPANY PLC Transport-Related Services Totals Support and Logistics CAVERTON OFFSHORE SUPPORT GRP PLC Support and Logistics Totals SERVICES Totals EQTY Board Totals Daily Summary (Equities) Activity Summary on Board ASeM CONSUMER GOODS Food Products MCNICHOLS PLC Food Products Totals CONSUMER GOODS Totals ASeM Board Totals Daily Summary (Equities) Activity Summary on Board PREMIUM FINANCIAL SERVICES Banking ZENITH INTERNATIONAL BANK PLC Banking Totals Other Financial Institutions FBN HOLDINGS PLC Other Financial Institutions Totals FINANCIAL SERVICES Totals INDUSTRIAL GOODS Building Materials DANGOTE CEMENT PLC Building Materials Totals INDUSTRIAL GOODS Totals PREMIUM Board Totals Equity Activity Totals

QUANTITY TRADED

VALUE TRADED ( N)

32 4 6 69 69

25.33 0.94 0.69

551,998 16,020 597,000 1,779,083 1,779,083

13,903,164.18 15,299.40 412,110.00 15,902,796.63 15,902,796.63

1 1 1

1.69

500 500 500

805.00 805.00 805.00

16 9 4 6 10 31 76

24.00 9.30 35.78 8.62 3.36 80.50

110,727 40,229 26,700 142,300 299,900 14,373,223 14,993,079

2,707,053.97 362,501.29 992,680.00 1,227,076.00 966,480.00 1,157,057,077.16 1,163,312,868.42

6 6

1.51

134,500 134,500

204,240.00 204,240.00

5 5 87

50.00

24,529 24,529 15,152,108

1,165,135.50 1,165,135.50 1,164,682,243.92

2 2

0.50

24,262 24,262

12,131.00 12,131.00

90 90

3.47

3,827,573 3,827,573

13,288,632.05 13,288,632.05

21 7 8 21 7 64

18.34 1.84 342.00 150.00 145.00

81,125 100,300 20,300 16,295 13,699 231,719

1,505,034.50 182,832.00 6,595,470.00 2,396,080.60 1,959,692.96 12,639,110.06

33 33 189

318.00

389,934 389,934 4,473,488

124,037,602.56 124,037,602.56 149,977,475.67

1 1

0.50

941 941

470.50 470.50

5 5

3.80

32,870 32,870

127,756.40 127,756.40

13 13

0.89

624,500 624,500

538,430.00 538,430.00

1 22 23

2.29 4.00

4,588 251,094 255,682

10,001.84 1,001,583.80 1,011,585.64

1 1 43 1,811

1.68

10,000 10,000 923,993 3,428,226,216

16,000.00 16,000.00 1,694,242.54 5,785,390,675.15

2 2 2 2

1.21

270,464 270,464 270,464 270,464

327,261.44 327,261.44 327,261.44 327,261.44

306 306

11.45

13,929,679 13,929,679

159,605,439.23 159,605,439.23

278 278 584

3.74

10,438,552 10,438,552 24,368,231

39,515,087.18 39,515,087.18 199,120,526.41

35 35 35 619 2,432

139.83

38,770 38,770 38,770 24,407,001 3,452,903,681

5,304,666.00 5,304,666.00 5,304,666.00 204,425,192.41 5,990,143,129.00

2 2 2 2 2 10 10 10

2,330.00 2.33 6.02 11.09 18.07

3,000 20 20 20 15 3,075 3,075 3,075

6,986,000.00 46.70 120.20 221.80 270.65 6,986,659.35 6,986,659.35 6,986,659.35

Daily Summary (ETP) Exchange Traded Fund Name NEWGOLD EXCHANGE TRADED FUND (ETF) VETIVA BANKING ETF VETIVA CONSUMER GOODS ETF VETIVA GRIFFIN 30 ETF VETIVA INDUSTRIAL ETF Exchange Traded Fund Totals ETF Board Totals ETP Activity Totals

WEDNESDAY JULY 13, 2016 • T H I S D AY

NEWSEXTRA

$179m Debt, Low Gas Volumes Threaten to Sink W’Africa Gas Pipeline Ghana reportedly the largest debtor Chineme Okafor in Abuja The operations of West Africa’s multibillion dollar regional natural gas transmission company, the West African Gas Pipeline Company (WAPCo) are currently being threatened by huge backlogs of monies owed it by its customers for gas supplied to them, as well as a dip in gas volumes allocated to the company, its officials have said. According to them, unless member countries take urgent steps to salvage the operations of the company, their investments in the venture could go down the drain in a matter of time. The company raised the alarm yesterday in Abuja when the Committee of Ministers of the West African Gas Pipeline Authority (WAGP) met. It explained that it was in a precarious financial state and that its continued commercial survival was now in doubt. It also stated that it was now unable to undertake critical commercial operations because of these developments. Nigeria through the Nigerian National Petroleum Corporation (NNPC) has a 24.9 per cent stake in WAPCo, and is the second largest shareholder after Chevron West African Gas Pipeline Limited with 36.9 per cent. WAPCo’s Managing Director, Mr. Walt Perez, said during the meeting of the ministers that the company was in serious operational mess due largely

to these issues. Perez also said the company’s cash flow was dwindling due to these developments. He called on the ministers to come up with solutions to keep the company up. He said WAGP had for a while remained technically capable of transporting gas volumes up to contractual levels, but that many receipts have within these times remained below contracted levels and have now built up to put the commercial viability of WAGP in significant doubt. He stated that the problem with low gas volumes was exacerbated by a force majeure that was declared in 2013 and which still remains in effect today. He said as long as the direct and indirect effects of low volumes and force majeure persist, WAPCo’s business planning and immediate prospect for growth in the foreseeable future would not materialise, unless these conditions change. Lamenting the huge debts owed the company and which have contributed to its troubling cash flow, Perez said since August 2014, WAPCo had not received full and consistent payments for gas delivered to its biggest customer, Ghana’s Volta River Authority (VRA). He said this development has seen the company’s unpaid invoices shoot up to $104 million that is due to WAPCo’s account, plus an additional $75 million to N-Gas. “It is an occasion, I believe, for

Saraki’s CCT Trial Postponed Till September Tobi Soniyi inAbuja Another reprieve yesterday came the way of Senate President, Dr. Bukola Saraki, as the Code of Conduct Tribunal (CCT) billed to resume his trial for alleged false assets declaration today has put off the trial till after September when the tribunal will resume from recess. The court had fixed today for ruling on Saraki’s application to get the CCT’s Chairman, Danladi Umar, to recuse himself on the grounds that he had descended into the arena and was no longer in a position to hold the balance of justice. Yesterday, the Public Relations Officer of the tribunal, Alhaji Ibrahim Al-hassan, in a statement said the tribunal would not sit until September due to the ongoing yearly vacation of courts and tribunals across the country. The press statement did not however give a specific date the trial and the ruling would resume in September but Al-hassan hinted that the date would be fixed as soon as the tribunal returns from vacation, and that parties would be duly communicated on a new date. Aside Saraki, others who are also to wait till September to know their fates in the charges of false assets declaration brought against them by the federal government, include former Minister of Niger Delta Affairs, Mr. Godsday Orubebe, whose judgment had earlier been

fixed for July 19 and a former Deputy Comptroller General of the Nigerian Customs Service, Mr. Rasheed Taiwo Owolabi, who had also prayed for the disqualification of Umar on the grounds that he demandedN10millionbribefromhim. Owolabi had petitioned the Economic and Financial Crimes Commission (EFCC) on the alleged N10 million bribe demand, prompting the anti-graft agency to summon and interrogate the CCT boss. The statement from CCT read in part: “The Chairman, CCT, Hon. Danladi Yakubu Umar, on Tuesday adjourned all sittings scheduled for this week and those to come within July and August till after the resumption from recess to be embarked by the tribunal’s judges soon. “The decision was taken due to the ongoing roundtable discussion involving CCT and other critical stakeholders within and outside the country, to develop the Code of Ethics and Practice Directions for the CCT to ensure fair and speedy trials, sponsored by European Union (EU) and implemented by United Nations Office on Drugs and Crime (UNODC). “He however assured litigants currently with cases before the court, would have their new dates shortly after the vacation; September, which that they would be communicated to them appropriately. “The tribunal regrets the pains caused by the sudden change.”

us to be accountable for all those interests and assets entrusted to our care. I see this as an occasion to reflect on the demands and problems WAPCo faces. “The company initially appears to be resilient in the face of drastically reduced revenue flows because gas transmission and other operational activities continue. The reality, however, is that WAPCo has been floundering,” said Perez. He added: “In fact, we have been conserving cash in order to prolong our time and operations, and as a result, WAPCo is now operating under extreme austerity

conditions. “Under current condition, WAPCo is unable to service its debt; no more undertaking critical maintenance schedules. With the much reduced capacity to pursue growth of any kind at this time. “Having initially relied on readily available cash to perform routine task under an austerity budget, the continuous contraction of revenue levels is now eroding the company’s capacity to remain above water and threaten the very ability to survive as a business entity.” He told the ministers: “These are extremely stressful times, with

the disturbingly sombre outlook,” adding, “we urgently seek the support of this committee to reverse the declining financial condition of WAPCo. The Minister of State for Petroleum Resources, Dr. Ibe Kachikwu, who buttressed Perez’s claims, said despite the challenges faced by the company especially with low gas volumes, Nigeria was still very committed to the firm. Kachikwu said: “Unless we can begin to cooperate on infrastructure development all across the region like what we see in Europe; unless we can begin

to cooperate even in development of roads, total integration of the effort of the founding fathers of ECOWAS, the whole essence of ECOWAS will continue to be a dream.” He added that: “This project is key, the ideals remains the same; the dreams the same, but I assure you that during my time as Minister of State for Petroleum Resources, I will do everything considerable that I can, through the president, to deepen this relationship, infrastructure, this resolve and indeed deepen the services that this body was meant to provide.”

HOW INSURANCE CAN AID DEVT

Minister of Power, Works and Housing, Mr. Babatunde Fashola (left) and Managing/ CEO, Mortgage Re-Financing Company Limited, Prof. Charles Inyangete, during a session of the National Insurance Conference 2016 with the theme, ‘Expected Role of Insurance in Infrastructural Development,’ in Abuja....yesterday

Dasuki Accuses FG of Gross Abuse of Legal Process, Says He’s Not Afraid of Trial The immediate past National Security Adviser (NSA), Colonel Mohammed Sambo Dasuki (rtd), has alleged before an Abuja High Court that the federal government planned to ambush him with double jeopardy in the three criminal charges against him in three different high courts in Abuja. Dasuki said the federal government in the quest to nail him has engaged in gross abuse of court and legal process by instituting various criminal charges against him on just one issue. In a motion he filed to challenge the alleged abuse of court process by government, Dasuki said it was wrong in law and even against natural justice for the government to arraign him before two different high courts of the Federal Capital Territory (FCT) on the same sections of the law and on the same alleged arms fund. In the motion filed by his lead counsel, Mr. Joseph Daudu (SAN), the ex-NSA insisted that the two charges be consolidated by the authorities of the court in the interest of justice, in order to rescue him from double jeopardy planned for him by government.

“The defendant is not afraid of trial but the due process of the law must be followed in the interest of justice,” the motion said. Meanwhile, the court has adjourned hearing in the motion for consolidation of charges to October 5, 2016. At the resumed trial on Monday, prosecution counsel, Rotimi Jacobs (SAN), informed the court that lawyers had agreed that the motion be adjourned for hearing in October because of the absence of the lead counsel to Dasuki. Justice Hussein Baba-Yusuf after hearing the lawyers, fixed October 5, 2016 for definitive hearing on application for the consolidation of charges against Dasuki. Daudu had at a previous sitting informed the court about a fresh motion seeking to consolidate charges against Dasuki with another case before Justice Peter Affen of the same FCT High Court. The ex-NSA in the motion on notice claimed that the trial in two different courts on the same issues and facts is unconstitutional and prejudicial to his right to fair trial by the court.

FITCH REVIEWS BANK RATINGS IN LINE WITH NIGERIAN DOWNGRADE to rise in the wake of the naira devaluation. Devaluation will primarily affect those Nigerian companies that are not adequately hedged by foreign currency income streams, and which will find it more difficult to service their foreign currency loans at the current exchange rate. The devaluation could also affect customer demand in the domestic economy,” it added. However, Fitch stated that despite slower asset growth and higher loan impairment charges, it expects banks to remain profitable in 2016 due to still strong earnings generation. It stressed that strong regulatory capital ratios have helped offset the one-off impact from the devaluation arising from Nigeria’s new FX regime. “Nevertheless, the buffer between banks’ capital ratios and the regulatory minimumisreducing.Weexpecthigher retained earnings to ease some of this pressure. Further erosion of capital ratios could be credit-negative. Despite the new FX regime, Fitch expects foreign currency liquidity to remain tight in 2016, particularly as supply has not increased dramatically. “Some banks have accumulated sufficient foreign currency liquidity to meet 2016 maturities and we believe that they are managing their liquidity risks commensurately with their VR levels, but refinancing risk on the banks’

foreign currency obligations remains high. Naira liquidity is satisfactory,” it stated. Meanwhile, Skye Bank Plc has been downgraded two levels by Standard & Poor’s (S&P) Global Ratings, which cited increased default risk after regulators stepped in to oust the Nigerian lender’s top managers The CBN recently replaced Skye’s chief executive officer, chairman and 10 other directors, saying the Lagos-based bank’s liquidity and non-performing loanratiosconsistentlybreachedrequired levels.Thestockhasdroppedeachtrading day since, falling to a record low on Tuesday, even after the central bank moved to calm markets after the intervention, saying Skye and the industry remained healthy. According to Bloomberg, S&P lowered its long-term global-scale rating on Skye to CCC- from CCC+, and its Nigeria national-scale ratings to ngCCC-/ngC from ngB+/ngB. It also placed the lender’s global scale short-term rating on credit watch negative, while maintaining the long-term ratings and national-scale short-term rating on credit watch negative, it said. The “downgrade by S&P will worsen the negative perception of the equity,’’ a banking analyst at Afrinvest West Africa Limited, Omotola Abimbola said.

WEDNESDAY JULY 13, 2016 • T H I S D AY

NEWSEXTRA

Senate Laments Non-payment of Teachers’ Salaries, Tasks FG to Negotiate with States Ex-service men shelve planned protest over non-payment of pension arrears Omololu Ogunmade and Senator Iroegbu in Abuja The Senate yesterday expressed grave concern over the persistent failure of state governments to pay teachers’ salaries and urged the federal government to immediately enter into negotiations with such states with a view to presenting an effective comprehensive intervention scheme that will address the trend to the National Assembly. The parliament also tasked the federal, state and local governments to immediately take necessary

steps towards the payment of all outstanding salary arrears they owe teachers. It also urged the states to immediately begin the implementation of a priority expenditure scheme that would equate the payment of teachers’ salaries with public expenditure such as security. The resolutions were the aftermath of a motion by Senator Dino Melaye (Kogi West) in which he observed that basic education is a concurrent issue which he described as the basic

Mo Ibrahim Foundation Announces 2016 Fellows from Nigeria, Rwanda The Mo Ibrahim Foundation yesterday announced the 2016 Ibrahim Leadership Fellows. The Ibrahim Fellows are Mariam Yinusa from Nigeria, who will join the UN Economic Commission for Africa (UNECA), and Diane Sayinzoga of Rwanda, who will join the International Trade Centre (ITC). According to a statement from the organisers, the programme is designed to mentor future African Leaders. The candidates, chosen from among a pool of over 1,000 applicants, will take up posts in these two multinational organisations and benefit from direct mentorship from their current leaders. Commenting on the new Fellows, Mo Ibrahim congratulated them, saying: “Through the programme, the Foundation continues to develop a community of individuals who are pushing boundaries in their fields. The Foundation is particularly proud of our former alumni who now contribute their skills and learning to benefit our continent and our people,” he added. Mariam Yinusa, who will join

UNECA, comes from the African Development Bank in Abidjan where she worked as a Senior Financial Analyst. In this capacity, she has successfully designed, appraised and task-managed development projects in over 15 African countries. She is also a Chartered Stockbroker with several years of experience in stock markets and developing innovative financial products in emerging markets. Diane Sayinzoga, who will join the ITC, comes from the Rwanda Development Board where she worked as Services Development Division Manager. Diane was in charge of promoting investment and trade in health care services, education, transport, logistics, creative industries and BPO sectors. Previously, she was the Trade Division Manager in charge of export development and promotion. This year, the programme will not include a Fellow at the African Development Bank, which will resume in 2017. The application process for the 2017 Ibrahim Fellowships Programme will open on 12 August 2016.

Emulate GoodVirtues of Late Shinkafi, Sultan Advises Politicians Mohammed Aminu in Sokoto The Sultan of Sokoto, Alhaji Muhammad Sa’ad Abubakar III, yesterday called on the political leadership to emulate the sterling qualities of presidential aspirant in the Third Republic late Umaru Shinkafi. The monarch stated this yesterday, when the Kano State Governor, Alhaji Umar Abdullahi Ganduje, paid him a condolence visit over the death of Marafan Sokoto in his palace in Sokoto He noted that Ganduje strived towards fostering unity and mutual coexistence among various communities during his lifetime. The monarch stated that the decease lived an exemplary life worthy of emulation by all and sundry.

“Shinkafi lived a good life and it behooves on politicians to emulate such virtues which will assist in fostering unity and mutual coexistence among various religious and ethnic groups in the country,” the Sultan said. Earlier, the governor condoled with the Sultan, people and government of Sokoto on the demise of Shinkafi. He described the death of Marafa as a great loss not only to the people of Sokoto but the country at large. Ganduje said the deceased contributed immensely to the development of traditional institutions especially during the colonial period. Ganduje paid similar visit to Zamfara and condoled the government and people of the state over the death of Marafa Sokoto.

responsibility of both the states and local governments but currently requires the prompt intervention of the federal government to avert a total collapse of the nation’s educational system. Melaye further argued that a situation where some states owe teachers their salaries for five months and beyond, implies that “what we have in our hands with this situation is a national emergency that requires drastic measures to halt the drift.” Describing teachers’ welfare as the heartbeat of the success of the education system, Melaye said the ongoing suffering of teachers and students in the public schools can be remedied if only leaders at all levels rise to address the situation. He recalled how the federal government presented bail out funds to 23 states with the payment of teachers’ salaries as the main drive of the federal government’s

action adding that the adverse effects of owing teachers would be a nationwide strike which he said would result in mass exodus of experienced teachers from public to private schools. In his contribution to the motion, Deputy Senate President, Senator Ike Ekweremadu, described as a paradox, a situation where the federal government is currently attempting to recruit 500,000 fresh teachers when those in current employment are actually not paid. According to him, it is not right to hire more hands without any plan of action for their payment. Also speaking, Senator Ali Wakili (Bauchi South) lamented that a number of teachers can no longer shoulder their primary responsibilities in their families because they are not paid. Describing the motion as timely, Wakili challenged state governors to prioritise payment of teachers

the same way they prioritise their security. However, he differed from Ekweremadu’s submission that it was wrong of the federal government to hire 500,000 teachers without a roadmap for their payment, saying the new federal government’s policy on teachers’ recruitment was a completely different situation from what was being debated. In his remark, Senate President Bukola Saraki described the trend as a pitiful situation which he said required the appropriate involvement and collaboration of the federal, state and local governments. Noting that the situation must not be allowed to continue, Saraki mandated the committees on education to ensure that the resolutions passed are followed up with a view to ensuring that the right thing is done about payment

of teachers’ arrears. Meanwhile, the Association of Ex-Service Pensioners has disassociated itself and also condemned the plan by a group of military retirees to embark on a protest as a result of nonpayment of pension arrears and refusal to harmonise their allowances. The President of the Association, Col. Ahmed Zubair (rtd), at a press briefing yesterday in Abuja, said that the ex-military pensioners had dialogued with the federal government through the Defence Headquarters (DHQ), and presented their case to them. Zubair who was in the company of the National Coordinator of the Association, Col. Henry Ikoghode (rtd), said that they gave federal government a list of the areas to take adequate action to remedy the pension anomalies pointed out by the military retirees.

FULLY CLEARED TO CONTEST

The All Progressives Congress (APC) governorship candidate in Edo State, Mr. Godwin Obaseki (left), receiving Certificate of Return from National Chairman of theAPC, Chief John Odigie-Oyegun, at the party’s national secretariat in Abuja ....yesterday Enock Reuben

CAN Advises Christians to Defend Themselves after Murder of Female Pastor in Abuja Asks family to put burial of slain female pastor on hold Paul Obi in Abuja Following the brutal murder of the Redeemed Christian Church of God (RCCG) preacher, Mrs. Eunice Elisha, in Kubwa, a suburb of the Abuja metropolis, the Christian Association of Nigeria (CAN), yesterday charged all Christians in the country to henceforth defend themselves against any form religious-motivated attacks or aggression. The association bemoaned the rampant cases of killings of Christians, warning that Christians in the country are being provoke to resort to violence to counter further attacks. Secretary General of CAN, Rev. Musa Asake, in a statement said: “The national leadership and the entire members of CAN

have received with rude shock and disbelief the report of yet another religious hatred-motivated gruesome murder of a dedicated 42 year old Christian mother of seven children, Mrs. Eunice Elisha, who on Saturday, July 9, 2016, was brutally killed while doing Christian evangelism. “Mrs. Eunice Elisha was murdered in Kubwa area of Abuja, FCT, in the early hours of the day. Her neck was slashed and she was also stabbed in the stomach. About a month ago in Kano, Mrs. Bridget Agbaheme, a 74 year old Christian was murdered at Wambai market due to an altercation with a Muslim man who came to the front of her shop to perform ablution. Her offence was that she objected to the Islamic washing rite in front

of her shop. CAN maintained that “the unprovoked attacks on Christians and the authority’s inaction is becoming unbearable and may not be tolerated anymore, inasmuch as we will continue to call on Christians to remain tolerant and law abiding. The Christian Association of Nigeria (CAN) yesterday asked the family of late Mrs. Eunice Elisha to put on hold the funeral pending when the association would clarify certain issues surrounding her gruesome killing. Pastor Alalade Caleb of the Redeemed Christian Church of God (RCCG) Kubwa, Abuja who spoke on behalf of the family, said this had become imperative given the controversy surrounding her death.

Caleb said: “The position of the church, if not for the awaiting reports from the police and the CAN was to have the burial latest Thursday and the wake keeping tomorrow, which is Wednesday but, we are trying to put everything on hold in the process of that planning and I was part of the planning process. Meanwhile, the General Overseer of the Redeemed Christian Church of God (RCCG), Pastor E. A. Adeboye, yesterday morning, visited the family of the late Mrs. Elisha. The wife of the Vice President Mrs. Dolapo Osinbajo, also a pastor of RCCG, had also paid a condolence visit to the deceased’s husband and children last weekend.

WEDNESDAY JULY 13, 2016 • T H I S D AY

NEWSEXTRA

Ikpeazu Writes NJC, CJN, Calls for Investigation of Justice Abang Resumes work after surviving removal scare

Davidson Iriekpen inLagosand Emmanuel Ugwu inUmuahia

Abia State Governor, Dr. Okezie Ikpeazu, has called on the Chief Justice of Nigeria (CJN), Justice Mahmud Mohammed and the National Judicial Council (NJC)

to investigate what he described as “irreparable injustice” meted on him by Justice Okon Abang of the Federal High Court in Abuja. In a letter to the CJN and NJC, Ikpeazu said Justice Abang’s acts of abuse of office and denial of justice had thrown the state into turmoil,

Govs, Ministers, Others to Hold Retreat on Revenue Generation Ndubuisi Francis andKelvin Okofu inAbuja No fewer than eight state governors, ministers, chief executives of various government revenue-generating agencies, directors of accounts and audit as well as revenue officers in Ministries, Departments and Agencies (MDAs) are expected at a three-day retreat in Kano to explore fresh ideas and strategies for boosting revenue generation. This move is to help find ways of financing the 2016 budget and upgrade the country’s infrastructure. According to a statement issued by Salisu Na’inna Dambatta Director (information), Ministry of Finance, the event is scheduled to hold between July13 and 15, 2016. The Minister of Finance, Mrs. Kemi Adeosun, will declare the retreat open while the Governor of Kano State, Dr. Umar Abdullahi

Ganduje, is expected to deliver the keynote address. Experts on revenue generation and administration are to make presentations and contribute in articulating the way forward in revenue generation for Nigeria at the retreat Some of the presentations will focus on expanding Nigeria’s revenue base in which strategies and new sources would be discussed; the non-oil revenue will be addressed and a way forward for success will be proffered, while the extraneous factors that could affect the implementation of the 2016 budget would also be dissected at the retreat. The experts are also speak on continuous audit of independent revenue in the age of change and mechanisms for enhancing IGR by states through non-tax revenue to finance their budgets.

BBOG Campaigner, Ezekwesili, Awarded Honorary Degree by University of Essex Co-founder of the #BringBackOurGirls campaign and former Vice-President of the World Bank, Africa Region, Oby Ezekwesili, yesterday inspired graduating students with an impassioned speech as she was awarded an honorary degree by the University of Essex. The award recognises her outstanding work to achieve reform, combat corruption and promote transparency which mirrors Essex’s commitment to nurture positive change, justice and fairness. The honorary degree was presented during yesterday’s ceremony for finance and accounting students graduating from Essex Business School. Ezekwesili also said she was personally inspired by the same ideals as those celebrated in the University of Essex’s motto: “Thought the harder - heart the keener.” She said her own father had taught her that the quality of a human being depended on the quality of their thought and that “when your mind produces thoughts your heart must put them into action.” She added: “Graduates of Essex Business School I am sure will understand that no longer does anyone care just about the extent of your skills. Ultimately it is now about your character. Good governance depends on the quality of character of the people who lead us – whether that is as leaders of

government, business or society.” The former Minister of Education is a co-founder of the campaign to find the 300 Nigerian schoolgirls abducted by Boko Haram in 2014 and has also held several keys positions within the Nigerian government. She is currently Senior Advisor of the African Economic Development Policy Initiative incubated at the Open Society Foundations. She assists the Mano River governments with international financial relations. She also works on developing a school of public policy in Abuja, Nigeria. Holding a Masters in International Law and Diplomacy from the University of Lagos, and a Master of Public Administration degree from the Kennedy School of Government, Harvard University, she began her career as a qualified chartered accountant with Deloitte and has served as Director of the Harvard-Nigeria Economic Strategy Program in Boston and Abuja. Professor Neil Kellard, Head of the Finance Group at Essex Business School, paid tribute to Ezekwesili during his oration. He said: “Her diligence in reform, and exposing corruption mirrors Essex’s commitment to change, justice and fairness.” He added: “We celebrate today a woman who pushes political and ideological boundaries for education and equality. We celebrate today a woman who challenges corruption and encourages transparency.”

adding that there is grave political uncertainty and total breakdown of law and order in the state. He therefore called on the NJC to investigate and take necessary disciplinary action against the judge. The petition titled: ‘Abuse of Judicial Power and Injustice meted to Dr. Okezie Ikpeazu by Justice Okon Abang of the Abuja Division of the Federal High Court in Suit No. FHC/ABJ/CS/71/2016,’ signed by one of his lawyers, Emeka Eze, read: “I am one of the legal counsel engaged Ikpeazu in the prosecution of the above matter and have his instructions to bring to your attention and that of the esteemed members of the NJC the irreparable injustice meted to him by Justice Abang. “On June 27, 2016, Justice Abang

delivered an oral judgment in the said suit with a pronouncement in court that copies of the judgment will be made available to parties within seven days. “A few hours after delivery of the judgment, we sent formal requests for the written copies of the judgments, filed a notice of appeal and an application for stay of execution of the orders of the court. The filed copies of the notice of appeal and applications for stay of execution were duly served on all parties, including the Independent National Electoral Commission (INEC) on the same day. “On receipt of our notice of appeal and application to stay execution of the orders of the court, Justice Abang surreptitiously and without our knowledge enrolled a seven paged

order signed by him and delivered same to the plaintiff to enable him enforce the orders contained in his enrolled judgment thereby truncating the petitioner’s rights to appeal against the judgment.” Meanwhile, Ikpeazu Monday commenced work after 12 days lull in government activities, saying that he had survived the “coup attempt” against him. The governor stepped out to inspect the progress of work on Revenue House at Ogurube Layout Umuahia after receiving members of the new state executives of the Peoples Democratic Party (PDP), who came on solidarity visit. The two-storey building complex which would house Board of Internal Revenue and Due Process Office, was described by Ikpeazu as

a one stop shop for doing business with Abia government. He expressed satisfaction at the progress of work, saying that the building would be inaugurated in October. While receiving the PDP state and local government executives led by the new sate chairman, Chief Johnson Onuigbo, the embattled governor said that “even in this trying moment” he was never in doubt that the PDP family was intact and solidly behind him. He stated that every authentic PDP member was quite aware that those battling to unseat him were aiming to throw Abia into chaos, noting that “what is under attack is not me as a person but the essence of what holds us together as a people.

RESOLVING MIGRATION ISSUES

L-R: Benue State Governor, Samuel Ortom; Father of the day, Chief Olusegun Obasanjo; and Plateau State Governor, Simon Lalong, during a public presentation on constitutional and migration law in Nigeria in Abuja....yesterday

Ambode: Lagos to Target Zero Per cent Dependence on Federal Allocation by 2019 Gboyega Akinsanmi Lagos State Governor, Mr. Akinwumi Ambode, yesterday reeled out his administration’s strategic plan, which he said, will make the state’s dependence on federal allocation zero per cent in three years. The governor, also, disclosed that the state’s recorded 73 percent performance for the half-year despite the challenging economic environment. He unveiled the strategic plan at a quarterly townhall meeting held in Badagry, noting that the state hoped to fully take advantage of its tourism potentials to boost internally generated revenue (IGR). The townhall was attended by the Deputy Governor, Dr. Oluranti Adebule, Secretary to the State Government, Mr. Olatunji Bello, Senator representing Lagos West senatorial district, Sen. Olamilekan Adeola, traditional rulers and all members of the State Executive Council among others. At the townhall meeting, Ambode

disclosed that the state government under his leadership would reduce the state’s dependence on federal allocation to 10 per cent or even zero level in three years. He, specifically, pointed out the plan of the state government “to develop the state’s tourism potentials to reduce our dependence on federal allocation. The future of Lagos is about service and tourism. “We have a greater plan for Badagry. We are already implementing the plan with construction works going on in different parts of Badagry. Our plan is to make Badagry Nigeria’s hub of tourism,” the governor explained. As part of the strategic plan to reduce the state’s reliance on federal allocation, Ambode disclosed that in partnership with South Africa, the state government would establish a University of Hospitality in Lagos. Also, the governor explained that revenue recorded 73 per cent performance for the half-year 2016 despite the country’s challenging economic environment. He, equally, said the overall

budget performance as indicated in the half-year analysis was 70 per cent, which he said, was an improvement over the corresponding period in 2015 when the performance stood at 63 per cent. He disclosed that the state government spent a total of N115.624bn on capital projects during the half-year 2016, leading to the capital recurrent expenditure ratio of 50:50. The governor disclosed the plan to improve the capital recurrent expenditure ratio to 58:42 provided for in 2016 Appropriation Law in the remaining half of the year. Ambode explained the huge potentials in waste management, thereby describing Lagos as the largest generator of refuse in the world. He acknowledged waste management as a major challenge for the state, noting that the state “is generating 13,000 tonne per day. We are generating largest refuse in the world. We only have 230 compactors.”

He compared the waste management in Lagos with that of New York City, noting that currently, New York “generates 10,000 tons per day. But the city has over 2,000 compactors.” Ambode, therefore, disclosed that the state government would reel out his strategic plan for waste management, which he said, would require private investors and investment. Aside, the governor unveiled the plan to employ at least 1,000 teachers for the state’s schools, noting that the process of recruitment would take off next week. He added that the administration “will establish a technical and vocational school in Badagry. The ground breaking will be done in September this year. “In addition, we will upgrade the infrastructure in all our schools starting from this month of July. All our primary and secondary schools will be upgraded to create conducive learning environment for students and teachers.

WEDNESDAY JULY 13, 2016 • T H I S D AY

CRIME&PUNISHMENT Oshiomhole Raises the Alarm over Increase In Brief Pastor, Accomplice Bag 14 Years for in Child Defilement

Adibe Emenyonu in Benin City

Edo State Governor, Adams Oshiomhole, has raised an alarm over the increasing cases of child defilement in the country, calling on the state Houses of Assembly to pass stringent laws that will check the situation which he described as unacceptable. The governor who stated this when he received the new leadership of the state branch of the International Federation of Women Lawyers (FIDA), led by Mrs Maria Edekor, at his office yesterday, said it takes the level of lunacy to defile children at the age of 6,7 or 10, adding that such persons must be sent to prison to

serve as deterrent to others. “We will not do enough if we continue to lament defilement, rape, all the violent crimes that are targeted at women. The number of rape cases have been on the increase including the number of defilement of children, it is totally unacceptable. I am not sure anybody can really explain why these vices are on the increase, may be the level of lunatics that have not been formally declared lunatics are everywhere because I think it takes a lunatic at 40, 60 or even 70 years old to look at a baby under 10 years and defile her. “These are not normal people and we need to put such people out of circulation by sending them to prison. I think we also decided

to amend the law on defilement to prescribe stiffer penalties. Part of the challenge of the Nigeria condition is that people are happy to tell you to charge us to court, so we need to set up special courts or assign some judges to dedicate their time in prosecuting cases that has to do with defilement or crimes against women and children. “With that, we will ensure that within six months, we will complete prosecution. When we begin to send rapists to prison, others will learn to respect women and not violate the rights of the child,” Oshiomhole stated. Earlier in his address, Mrs. Edekor said they were on the visit to inform the governor of their forthcoming FIDA week, with the

theme: ‘Women Representation a Catalyst for Global Development.’ According to her, “Within that frame work, we decided to discuss the issue of electoral violence as a barrier to effective participation. We are also dealing with persons with disabilities. We are asking that it is made a constitutional right for them to be appointed into positions. “We have a bill Violence Against Persons Prosecution Act before the House of Assembly for domestication. It came into being in 2015; we will ask for accelerated action so that it will come into place. We need a secretariat because we have several children we recovered from molestation but we don’t have a place to keep them.”

Forex Trading Scam

The Economic and Financial Crimes Commission (EFCC) has secured the conviction of Pastor Emmanuel Markus Anga and Atin Victor Generous before Justice Abubakar Jauro of a Gombe State High Court on two-count charge bordering on conspiracy and obtaining money by false pretence. Anga and Generous are alleged to have in November 2013, deceived David Madison, into believing that they were employees of Gora Commanding Resources, a foreign exchange investment concern allegedly owned by Philemon Gora (who is still at large) and tricked their victim into expecting that his investment of N500, 000 would yield 10 percent interest on a monthly basis. He only received the 10 percent interest in the first month of his investment, while all the effort to recover his money proved abortive. They were said to have committed an offence contrary to the provision of Section 1 (1) (a) of the Advance Fee Fraud and Other Fraud Related Offences Act, LFN 2006 and punishable under Section 1 (3) of the same Act. Justice Jauro sentenced the convicts to seven years imprisonment on count one (conspiracy), while Generous bagged another seven years on count two (obtaining by false pretence). The sentences are to run concurrently from July 11, 2016. Justice Jauro, also ordered Generous to restitute to the victim to the tune of N500, 000.

FIRS Shuts AMG Petroleum over N27m Tax Debt

In continuation of its tax enforcement exercise, the Federal Inland Revenue Service (FIRS) has sealed off the office of AMG Petroleum Energy Limited, located at No. 41, Usuma Street, Maitama, Abuja. The FIRS enforcement team led by Assistant Director of Enforcement Unit, Anita Erinne, yesterday ordered the sealing off of the premises after directing and allowing all the staff of the organisation to leave the oil company’s premises. According to the FIRS enforcement warrant the company has a tax debt of N27,350,579.66, which it incurred between 2009 and 2015. Erinne said the company would be re-opened as soon as it pays its tax debt.

Manhunt Launched for Suspect Who Stabbed Friend During Scuffle

MAKING LAGOS SAFE

Illuminated Hospital Road, PWD Bus-stop, Badagry, with street lights courtesy of the Light Up Lagos Project, an initiative of the Governor Akinwunmi Ambode administration.

Police Parade Suspected Kidnappers of Sierra Leonean Diplomat Suspects admit collecting N1.5m ransom Dele Ogbodo in Abuja The Nigeria Police Force (NPF) yesterday paraded 11 suspected kidnappers of the Sierra Leonean, Deputy High Commissioner in Nigeria, Major Gen. Alfred Claude-Nelson, who was abducted along the Kaduna-Abuja highway on June 30. Briefing the journalists on how the suspects were arrested in Kaduna, the Force Public Relations Officer, Deputy Commissioner of Police, Donald Awunah, said the memebers were apprehended through coordinated operation by the Intelligence Response Team (IRT). Meanwhile, the leader of the gang, Alhaji Rabiu Yusuf, has admitted that the gang collected N1.5 million as ransom before he was released. Speaking further, Awunah, said: “Arrangement will soon be concluded to charge them to court. We want to let you know that the Nigeria Police has smashed this eleven man kidnap gang that had for some time now terrorized Kaduna State, the FCT and other North-central states.

“This dare devil criminal gang was responsible for the abduction of the Sierra-Leonean Deputy High Commissioner to Nigeria, Maj. Gen. Alfred Claude-Nelson on June 30, 2016, the Executive Director of Dangote Group and many other high profile kidnap for ransom in recent times.” According to him, the modus operandi of the criminal elements includes mounting road blocks on highways in military uniforms, surprise attack on unsuspecting motorists and relocating from one point to other in the forest with their victims to avoid detection and arrest. He said: “To this end, the IRT of the IG Monitoring Unit, the Nigeria Police on July 2, 2016 carried out tactical surveillance of the Abuja-Kaduna axis and all the adjoining states. “This coordinated operation led to the arrest of eleven members of the notorious gang that has been terrorizing the North-central States of the country with arms and ammunition recovered from them.” The paraded suspects, according to the Force spokesman are: “Alhaji Garba Abubakar, aka Habu 27,

Yusuf Adamu, 20, Hussaini Musa, 25, Shuaibu Idris, 35, Usman Bello, 20, Musa Ali, 45, Muhammadu

Abubakar, 30, Suleiman Abubakar, 25, Gambo Ibrahim, 25, and Balarabe Mohammadu, 32 ”

Kidnapped Lagos Accounts Director, Son Rescued The kidnapped Director of Accounts working with the Lagos State Government, Thomas Otuyemi and his son have been rescued. Otuyemi, the Director of Account in the Chief of Staff, Governor’s Office, Lagos State was kidnapped last Saturday with his son in Epe by unknown gunmen. A government sources confirmed that Otuyemi and his son were released yesterday by the abductors. It was not clear whether any ransoms were paid to secure their release from the kidnapper’s den. Police Public Relations Officer, PPRO, Lagos Police Command, Dolapo Badmus, when contacted confirmed that Otuyemi and his son had been rescued by the police yesterday.

She said they were rescued around Isheri-Oshun area of Berger by the police, but refused to say if any ransom was paid, saying that the police were not concerned about that. Badmus said Otuyemi and his son had been re-united with their family. Otuyemi, 60 holds a Higher National Diploma (HND) from the Lagos State College of Science and Technology, and a Master in Business Administration, MBA from Tafawa Balewa University, Bauchi. Recently, an expatriate contractor working on the expansion of the Epe Township project in Lagos, Southwest Nigeria, was kidnapped while working on site by gunmen in Epe. He is yet to be released.

The Lagos State Police Command has launched a manhunt for one Kehinde Lawal, who allegedly stabbed his friend, Mutiu Edunjobi, to death, at the Isheri area of the state. The suspect, who is currently at large, was said to have engaged the deceased in an argument, which soon degenerated into a scuffle and ended in murder. The incident which happened at Edum compound at Ajegunle Street, Isheri, saw the suspect stabbing the deceased with a knife right on the neck region, which severed his muscles and nerves. Although he was rushed to the hospital for treatment, he was said to have bled to death and his corpse has since been deposited at the Lagos State University Teaching Hospital (LASUTH) morgue in Ikeja. Confirming the incident, the state Police Public Relations Officer, Dolapo Badmos, said efforts are on to arrest the suspect. She said: “One Kehinde Lawal of no 5 Ajegunle Street, Isheri, allegedly stabbed one Mutiu Edunjobi of no 3 Agbedina Street, Isheri, on his neck with a knife during a fight. “The victim was rushed to a nearby hospital for medical treatment, where he later died and his corpse was removed and deposited at the morgue of the Lagos State University Teaching Hospital (LASUTH), Ikeja, for autopsy.” In another development, the command, acting on a distress call, responded and arrested one of the two armed robbery suspects, who were operating at Anthony Bus stop.

Police Recover over N60m Stolen from Bank in Rivers

The police in Rivers State yesterday said they had recovered N60,250,000 two days after it was declared missing. The police said the money which belongs to a new generation banks in the state, was recovered through its intelligence network. THISDAY gathered that a bullion van conveying over N100 million was allegedly declared missing last Friday after the van came into Port Harcourt from Aba in Abia State, to deliver the same money to the banks. It was learnt that formal complain was lodged with the Rivers State Police Command. Two days after, it was gathered that 60,250,000 of money was found by the police at the car park of a popular supermarjet at New GRA, Port Harcourt where it was abandoned in a taxi. Addressing journalists at the state command after the recovery, Deputy Police Commissioner in charge of Administration, Mr. Uche Anozia, disclosed that the bullion van was rented to convey money for two new generation banks in Port Harcourt from Aba. Anozia noted that the van went missing after security escorts attached to it disembarked after it had delivered to one of the banks, Zenith Bank. The DCP said the driver of the bullion van drove off to an unknown destination after the escorts allowed him to go and deliver the N100 million to the other bank. His words: “On the 8th of July, last Friday, we received a report by one Mr. Stanley Ndubuisi of Bankers Warehouse, a company located at 36 Forces Avenue, Old GRA, Port Harcourt. The company engages in bullion van services. These bullion vans are rented by banks to convey their cash to-and-fro, so on this day a bullion van was rented from this company by Zenith Bank and Stanbic Bank, here in Port Harcourt.

WEDNESDAY JULY 13, 2016 • T H I S D AY

NEWSEXTRA

Ekweremadu is Target of Senate Forgery Trial, Says PDP Onyebuchi Ezigbo in Abuja

line of the party would have wished a different result and a The Peoples Democratic Party different scenario. But we all find (PDP) has said the unrelenting it very, very difficult to accept harassment of the Senate the emergence of a PDP person leadership and the recent as his deputy.’ “We however, want to arraignment of its presiding officers on phantom criminal make it clear that the APC has charges of conspiracy and forgery no constitutional or moral is directed at the Deputy Senate grounds to be displeased with Ekweremadu’s emergence or President, Ike Ekwerenmadu. It noteed with serious concern, to go this ridiculous length to the recent comment by the harass, intimidate, embarrass, and National Chairman of the All malign him and the Institution Progressives Congress (APC), of the Senate on account of a Chief John Odigie-Oyegun, that position to which his colleagues, the continued rumpus in the cutting across party lines, elected Senate, including the unrelenting him in a transparent and harassment of its leadership televised election in line with and the recent arraignment of Section 50 of the 1999 Constitution its presiding officers on phantom as amended. “Even the APC as a party and criminal charges of conspiracy and forgery, was all about the through its chieftains, including Muhammadu emergence of Ekweremadu as President the Deputy President of Senate. Buhari (before his Election), The party said although this had variously and robustly has been an open secret, but that defended the constitutionality it got further confirmation when and imperativeness of bi-partisan Oyegun himself said they would legislative leadership during the never accept Ekweremadu as the defection of the former Speaker Deputy President of the Senate. of the House of Representatives, In a statement issued yesterday Hon. Aminu Tambuwal to its by a member of the PDP fold while in opposition without national caretaker committee, relinquishing his position. “For the record, below were Dayo Adeyeye, the opposition party warned that such acts the comments from APC leaders was a “height of duplicity, in support of Hon. Tambuwal’s intolerance, and executive action: The former National excesses unwarranted and Publicity Secretary of the APC, Alhaji Lai Mohammed averred: inexcusable in a democracy.” It said: “In a Freudian slip “I must say that this historic that reveals the underbelly development means that our of the entire shenanigan, the democracy is growing by the National Chairman of the APC day and it is dynamic…We had said they would never accept think that having the head of Ekweremadu as the Deputy the legislature from the opposition Senate President. His words: Party makes for a balanced ‘I think the thing that rankled setting in government and it us most was the election of is good for democracy. According to the PDP, “Those Ekweremadu as Deputy Senate President. Saraki is a member who are saying this has not of the APC, much as the main happened before and that

Buhari Writes House on Budgets of 38 Agencies Damilola Oyedele in Abuja The Speaker of the House of Representatives, Hon. Yakubu Dogara, yesterday read President Muhammadu Buhari’s letter to the House seeking passage of the 2016 budget proposals of 38 agencies and corporations. The letter dated June 30, 2016, requested for expeditious

passage of the budgets. Some of the agencies include the Nigerian National Petroleum Corporation (NNPC), Nigerian Ports Authority (NPA), Bureau of Public Enterprises (BPE), National Agency for Food and Drug Administration and Control (NAFDAC) and Federal Airports Authority of Nigeria (FAAN).

Ekweremadu Tambuwal should step aside as Speaker do not have the backing of history and the constitution.” “Former Minority Leader and current Majority Leader of the House of Representatives, Hon. Femi Gbajabiamila said: “We are proud to acknowledge that the Speaker remains not only a Member of the House

of Representatives, but also its Speaker. This position is consistent with the law and practice in a presidential system of government and Nigeria is no different. For the avoidance of doubt, the Constitution requires only that the Speaker or Deputy Speaker of the House of Representatives shall be elected

by members of that House from among themselves.” “President Muhammadu Buhari hailed: “We will like to thank Alhaji Aminu Tambuwal for what he did yesterday. We were overwhelmed. Taking such a remarkable risk and sending everybody on holidays till December is an achievement.” “Meanwhile, it could be recalled that Hon. Terkimbi Kyange of the Minority APC was elected Speaker of the Benue State House of Assembly on June 5, 2015, four clear days ahead of the inauguration of the 8th Senate. Peter Azi of the Minority APC was likewise elected Speaker of the Plateau State House of Assembly in June 2015. “The Majority PDP made do with the position of Deputy Speaker in both instances, but accepted this as part of our democratic evolution. “We therefore, invite the APC-led federal government to tell the world why bi-partisan leadership in the legislature was good in the instances of Tambuwal as well as the Benue and Plateau assemblies, but an abomination in the case of Ekweremadu. “We consider APC’s stance on

Ekweremadu and his continued persecution on this account as the height of duplicity, intolerance, and executive excesses unwarranted and inexcusable in a democracy. “More so, unlike APC’s rancorous opposition in parliament in the recent past, the PDP lawmakers, including Ekweremadu have provided a very responsible opposition, supporting the government and overlooking its serial fumbles. Ekweremadu is not APC’s stumbling block! “We wish to remind the APC that the National Assembly is a separate arm of government created by constitution, not an arm of the executive or extension of the APC’s party secretariat. “We totally align with the separate resolutions of the Senate and House of Representatives on June 21, 2016 to the effect that our democracy is in grave danger. “We support the call on members of the international community, the media, and civil society to help arrest this scary deterioration of our nascent democracy and democratic values before it is too late,” he said.

I’ll Increase Workers’ Salary Soon, Says Obiano Joseph Ushigiale At a time when some states are still grappling with the problem of how to offset salary arrears of their workers, Governor Willie Obiano of Anambra State has said he will increase salaries of workers in the state if they meet new Internally Generated Revenue (IGR) target set for this year. He challenged workers in his state to increase IGR by N1billion from its current level of N1.2billion to N2.2billion promising them that he would increase their salaries in return for achieving the new revenue target. Obiano who made the promise in Lagos during an interactive session with the media in Lagos during the week said: “I want to put it on record that I was the first governor to increase workers’ salaries last year and I am again set to do the same thing this year. According to him, “When I

came in, I set a new revenue target and challenged our workers to increase our IGR from N500million where it was to N1.2billion and I would increase salaries. They did and I reciprocated that gesture by increasing their salaries across board in 2015. I am set to repeat that feat if they will also redouble their efforts to generate more revenue from the current level to N2.2billion.” Obiano frowned at the trend whereby some states borrow money to pay salaries arguing that “I think it is not something that should be lauded. Let me be clear, as a banker, I am not against borrowing from the bank. If I am, then how do I expect the banks to survive? What I am not comfortable with is borrowing to pay salaries in place of borrowing money to invest in projects that have capacity to lift up people from poverty, create wealth and employment opportunities in society.”

He stated that his investment drive through the Anambra State Investment Promotion and Protection Agency (ANSIPPA), has attracted over $4.8billion Foreign Direct Investment (FDI) to the state from 28 companies; adding that “we deliberately set up the investment agency and staffed it with tested and trusted men and women who have track records working in world class companies and they have brought their wealth of experience to bear on our investment drive. “I want to also state here that of all the investments we have so far attracted, none of them has a kobo’s input from the state. In other words, the state is adopting a Private Public Partnership (PPP) model where it is not contributing any money as equity. This lends credence to the ingenuity of the calibre of persons who man the agency as they have been able to package our land including it as equity in whatever project

we are embarking on with the core investor,” he explained. On the incessant face-off between herdsmen and their host communities in the state, Obiano described himself as ‘the man who saw tomorrow’, stressing that “I was very proactive when this thing first stated brewing. I took the pragmatic step of setting up the Cattle Menace Committee headed by a top security official and through this committee we were able to resolve and in some cases nip some of cases in the bud before they could implode.” Obiano appealed to the federal government to speed up the refund process of over N43.8billion road intervention fund which he invested in rehabilitating three major federal road network in Umuigbo, 33 Road and Nkpor junction, adding that “although we are the second smallest state in the federation, our existence is being threatened by erosion menace.

market by 2020 worldwide. Participants in Abuja will share experiences about what has worked and what hasn’t – to connect women-owned businesses to markets. They will look at how businesses have taken concrete steps to expand sourcing from women-owned business, to improve women’s access to finance, and to help women entrepreneurs overcome supply-side constraints. And they will come up with concrete suggestions for how to do even better. Last September, the United Nations adopted the Global Goals on Sustainable Development. This ambitious agenda aims to eliminate

extreme poverty and achieve gender equality in education and work by 2030. Either goal cannot be attained without the other. And neither can happen without Africa’s biggest economy. ITC and the NEPC look forward to working together to empower women to trade for a better future – for Nigeria, for Africa, and for the world. • González is the Executive Director of the International Trade Centre, a joint agency of the United Nations and the World Trade Organisation • Awolowo is the Executive Director and CEO of the Nigerian Export Promotion Council

BACK PAGE FOR A BRIGHTER ECONOMIC FUTURE, EMPOWER WOMEN TO TRADE women are already playing leading roles in politics and the economy. Women own an estimated 30% of the country’s registered entrepreneurial businesses, and are behind 41% of business start-ups. Yet a mere 6% of parliamentarians are female, and women account for only 24% of non-agricultural employment. The cost of gender discrimination to world economy is staggering. McKinsey Global Institute recently estimated that raising women’s wages and labour force participation to match those of men would boost global output by more than 25 per cent - like adding a new United States and China

to the world economy. This is why the global economic potential of women has been likened to a ‘third billion’ poised to join India and China in transforming the global economy. For businesses, too, greater gender equality translates to better performance. “The Peterson Institute for International Economics surveyed 22,000 companies around the world, and found that having more women on corporate boards and in leadership positions is associated with higher profitability. Some of the biggest consequences of women’s economic empowerment are

felt far away from corporate boardrooms, in the poorest households and communities. When women are paid for their work, and have control over how the money gets spent, they invest much more of their income than men do in their families’ education and health. The positive effects endure for generations. Gender-based discrimination, for countries, companies, and societies alike, it is simply unaffordable: ‘economic malpractice’ on a grand scale. This is why ITC and NEPC place special emphasis on empowering womenled businesses – such as a Shea butter cooperative in Oyo State – connect to

international markets. It’s also why the Ministry of Industry, Trade and Investment, NEPC and ITC are teaming up to host the Women in Export Stakeholders Forum and Exhibition in Abuja on 13 July. The gathering will bring together policymakers, the private sector, and representatives of womenowned businesses to catalyse ongoing efforts to empower women to drive trade-led development in Nigeria. On this occasion Nigeria will unveil national commitment under ITC’s “SheTrades” initiative seeking to connect one million women entrepreneurs to

T H I S D AY WEDNESDAY JULY 13, 2016

WEDNESDAYSPORTS

T H I S D AY •WEDNESDAY JULY 13, 2016

Group Sports Editor Duro Ikhazuagbe Email duro.ikhazuagbe@thisdaylive.com

2 0 1 6 O LY M P I C S

Nigeria Applies to Buhari for N2bn Rio 2016 Participation Funds As IOC boosts NOCs with $103,000 grant

Olawale Ajimotokan in Abuja The Federal Ministry of Youth and Sports yesterday announced that it had applied to President Muhammadu Buhari to release N2 billion fund to enable Nigeria contingent participate at the Olympic Games in Rio, Brazil. The quadrannial Games begin on August 5 with Nigeria intending to participate officially in seven sports. Sports Minister, Solomon Dalung, told reporters after a harmonisation meeting with.the Nigeria Olympic Committee (NOC) that they have had cause to approach the Presidency for additional funds as the N500 million outlay for the Games was insufficient to cover the cost of participation. The minister said that the delay in federal government’s release of funds for the games was due to administrative lapses but reassured the federation presidents and the NOC that President Buhari had promised that attention was being given to the issue. “ The memo we wrote to Mr President did not get his attention on time. You all will agree with me that no attention was given to preparations for the Olympics in the past three years. President Muhammadu Buhari has given us his word that Nigeria will be

in Rio for the Olympics and has restated his commitment to our participation,“ Dalung said. Dalung said no less than N2 billion was needed to cover the cost of sending athletes to Brazil, plus payments and other travelling costs. He said they have tabled a request for more money to Buhari, who on July 19 will be officially handing over the Team Nigeria to the NOC at a Gala night at State House. Dalung, who announced that 95 athletes had met the Olympic qualification benchmark, downplayed the spread of the Zika virus that has caused several high profile international athletes to boycott Rio 2016. He said virus will not deter Nigeria to following same path by pulling out. The minister said Nigeria would send an official delegation to Brazil as the World Health Organisation (WHO) that is responsible for international health safety had not raised a red flag on the health threat posed by the mosquito borne disease to athletes and officials. The minister, who expressed satisfaction with the preparation of Nigerian teams for the games, despite financial hiccups, insisted Nigeria hopes to improve on the embarrassing outing in London of

Dalung berates NFF over U23 team’s unauthorized US trip

four years ago by aiming to win at least five medals in whatever guise. “At worst, we want to come back with not less than five medal. However, our target is to win 12 medals but I am not a soothsayer and you can only ask a magician the specific number of medals we are going to win. No country can say scientifically the number of medals it can haul at the Olympics. It is not.possible,” Dalung said. The President of National Olympic Committee (NOC) Habu Gumel similarly told reporters that the body had received $103,000 as grants from the International Olympic Committee (IOC) to augment the cost of participation

in the Games on Nigeria and support the training of athletes for the Games. Gumel confirmed that the IOC cheque was received on Monday and would cover scholarship for one year for 11 athletes in addition to the Association of National Olympic Committees of Africa (ANOCA) grants for 14 athletes. Meanwhile, Dalung has queried the Nigeria Football Federation (NFF) for defying its order by sending the national Under-23 team on a training tour of USA. Dalung said the team left Nigeria towards the end of last month without official clearance, He said that the Dream Team

VI ignored entreaties from the ministry to shelve the training tour as government had made it clear it was not in a position to fund the trip because of financial constraints. Dalung made the disclosure yesterday after reports from United States said that Dream Team coach Samson Siasia had sent an SOS to NFF following threat by hotel to eject the team as à result of its inability to pay hotel bills. The team had run out of cash in the US after only 10 days in the state forcing the coach to declare a May Day. The team planned to play a

friendly match against US team and travel to Mexico for another match before NOC officially takes over before the start of the Games. Dalung denied that the ministry was aware of the footballers’ plight of the Dream Team in the US, adding it refused to take responsibility for the reported crisis. “We don’t know if they wanted to eject them from the hotel or not. We need to ask if they got a letter from the ministry approving the trip. We can’t take responsibility for their plight in America because we are not aware they travelled to the US,” Dalung said.

Glo Hails F’Eagles’ Khartoum Rally Africa’s greatest corporate supporter of football and data grand masters, Globacom has congratulated the Flying Eagles for recording an important away win against Sudan in the first leg of the final qualifying match for 2017 U-20 African Cup of Nations. Globacom, in a press statement released in Lagos on Monday, gave kudos to the team for the victory in Khartoum which gave the team a brighter chance of qualifying for the next U-20 AFCON scheduled for Zambia in February, 2017. “The Flying Eagles were outstanding in their performance against Sudan; we urge them to sustain the momentum during the return leg in Lagos in a fortnight so as to pick the ticket and fly Nigeria’s flag at the continental championship,” Globacom said. “The match was tough and the

weather was harsh.We commend the team for their hardwork, concentration and never-say-die spirit which earned them the away victory,”the statement added. The Sudanese had taken a lead in the 27th minute of the encounter before Flying Eagles levelled the scores in 67th minute through Samuel Chukwueze whileVictor Osimhen increased the tally in the 86th minute. The 2-1 victory thus placed the team in a vantage position ahead of the second leg in Nigeria. Globacom enjoined Nigerians not to relent in giving the much needed support to the Flying Eagles through prayers as they prepare to cross the hurdle to Zambia 2017. Globacom is the official telecommunications partner of the Nigerian Football Federation and the major sponsor of the Nigerian national teams.

Team Nigeria during the ceremonial match past at the last All-Africa Games in Brazzaville, Republic of the Congo

Fijabi, Skoro Return with GOtv Boxing Night Season 8 The eighth edition of GOtv Boxing Night will hold at the Indoor Sports Hall of the National Stadium in Lagos on July 30. This was disclosed by the organisers on Tuesday at a press conference held at the Old Skool Restaurant within the National Stadium Complex. CEO of Fly kite Sports, promoter of the event, Jenkins Alumona, told journalists that the coming edition will be more explosive than the previous ones.

“We have high-calibre matchups in every fight. This edition will feature a national middleweight boxing title defence by reigning champion, Sunny Hammer, who will take on West African middleweight champion Rasheed Abolaji. We have also brought in other big names and rising stars of boxing in Nigeria,”said Alumona. He added that GOtv Boxing Night 8 is being held in honour of Muhammed Ali, the boxing icon who died recently.

Apart from the title fight, the event will see national light welterweight champion, Olaide Fijabi, slug it out with Joseph Adeniji in a challenge contest. In the welterweight category, Stanley Eribo will fight Dele Adeleke, while Waidi Usman will duel with David Ekpeyong in the featherweight category. There is also a super middleweight challenge contest between Matthew Obinna and Samuel Igbokwe. The sixth fight of the night will be a national light

welterweight challenge between Rilwan Babatunde and Shakiru Lateef. The best boxer of the night will go home with N1million cash prize and the Mojisola Ogunsanya Memorial Trophy. Sponsored by GOtv, which will be broadcast live by SuperSport in 47 African countries, is supported by MultiChoice, Paragonis Multimedia limited, KSquare Security, Complete Sports, Brila FM, Bond FM and Newbreak.ng.

Kaduna in the stand out tie of the round as the two Nigeria Professional Football League (NPFL) clubs go in search of a quarter final ticket. Eguma says he is looking forward to the game and predicts that concentration levels amongst his players will be at a very high level. “It is another big game (for us because) Shooting Stars is another big name in Nigerian football. “We cannot underestimate their strengths. They may not be in a very good position in

the NPFL but the Federation Cup is a different ball game entirely. “That is the reason why we have to be very well prepared and work above our capacity so that victory and nothing else comes our way,” he told Rivers United Media. Eguma also took the time to discuss the choice of Kaduna as venue of the game explaining that his players may have some adapting to do playing up north. “It will not be easy playing in (an unfamiliar terrain-Kaduna). “We have to quickly adapt to

the weather conditions up north but I hope we will be ready for it. “In the Federation Cup, you cannot make a mistake. “We must overcome this latest hurdle if we are to achieve our ambition of winning the trophy this year,” he said. Rivers United defeated Papilo FC 4-3 in Uyo in the round of 64 of the Federation Cup before putting paid to the ambitions of Nigeria National League (NNL) club, Kaduna United in Makurdi in the round of 32 with a 4-0 hiding.

Rangers Out of Federation Cup Nigeria Professional Football League (NPFL) title contenders, Enugu Rangers have been knocked out of the 2016 Federation Cup. Rangers were beaten 2-1 by Nigeria National League (NNL) club, Crown FC in Abuja yesterday. Second half substitute, Bello Owello netted the winner for the Oshogbo club after Peter Michael scored the game’s opener in 28th minute at the Ahmadu Bello Stadium, Kaduna. Godwin Aguda had temporarily equalized for

Rangers but it turned out to be purely academic in the end as the Flying Antelopes bowed out of Nigeria’s oldest football competition with a whimper. “We underrated Crown from the beginning and we opened up ourselves too much in defence. “We also failed to take the chances that came our way at the other end. “It was a strange game and we just did not play to our usual level. We were not organized enough. “It is a disappointing day for

all fans of our great club but right now, we just have to lift up ourselves and concentrate on the league,” he told supersport.com. Enugu Rangers are currently in second place on the NPFL standings. Meanwhile, the Technical Manager of Rivers United, Stanley Eguma insists there will be no margin for error today when the club faces Shooting Stars Sports Club, (3SC) in the round of 16 in Nigeria’s oldest football competition-the Federation Cup. United and S3C go toe to toe at the Ahmadu Bello Stadium,

T H I S D AY •WEDNESDAY JULY 13, 2016

WEDNESDAYSPORTS 18TH

Refs Threaten to Boycott Nigerian League over Assaults Nigeria Referees Association President (NRA) Tade Azeez has hinted that they might pull out of Nigerian leagues owing to unending assaults on match officials. In less than few days after vowing to boycott games in the Nigeria National League due to maltreatment of referees. Angry fans clamped down heavily on referee Daniel Akure and his assistants

after Wikki Tourists clawed back to force hosts Warri Wolves to a 1-1 draw in a Nigeria Professional League encounter on Sunday. Condemning this attack, the NRA boss revealed that the act will no longer be tolerated from club supporters and players . “The attack on referees has surprisingly continued with Sunday’s attack on

the referee who handled the Warri Wolves versus Wikki Tourists game,” Azeez said

in a statement released by the body. “The NRA has considered

it necessary to boycott all matches involving any team where referees are

either harassed or physically assaulted by them and their supporters.”

Fuludu Salutes Okoku over Charity Works Nigeria Referees Association President (NRA) Tade Azeez has hinted that they might pull out of Nigerian leagues owing to unending assaults on match officials. In less than few days after vowing to boycott games in the Nigeria National League due to maltreatment of referees. Angry fans clamped down heavily on referee Daniel Akure and his assistants after Wikki Tourists clawed back to force hosts Warri Wolves to a 1-1 draw in a Nigeria Professional League encounter on Sunday.

Condemning this attack, the NRA boss revealed that the act will no longer be tolerated from club supporters and players . “The attack on referees has surprisingly continued with Sunday’s attack on the referee who handled the Warri Wolves versus Wikki Tourists game,” Azeez said in a statement released by the body. “The NRA has considered it necessary to boycott all matches involving any team where referees are either harassed or physically assaulted by them and their supporters.”

Henry Confirms Arsenal Exit after Wenger’s Ultimatum over Pundit Role Thierry Henry has confirmed that he will continue his career as a pundit in favour of a coaching role at Arsenal. The Gunners’ all-time record goalscorer had been working with Arsenal’s youth sides in order to gain his UEFA A coaching licence, and was then offered a permanent role with the Under-18s. But Henry was issued an ultimatum by Wenger to give up his £4 million-a-year role as a pundit with Sky Sports in order to focus on his full-time position at Arsenal. “I would like to thank

Andries Jonker for offering me the chance to coach the U18’s at Arsenal, which I was honoured to accept,” Henry posted on Twitter. “However I respect Arsene Wenger’s decision and I want to wish their manager Kwame Ampadu, the boys and everyone at the club all the best for the forthcoming season. Former Arsenal captain Tony Adams, who has managed Wycombe Wanderers, Portsmouth and Azerbaijani side Gabala FK, is expected to be officially named as Henry’s replacement.

Some Nigerian referees during a recent cooper test

McIlroy Decidedly Lukewarm on Golf’s Olympic Return Four-time major winner Rory McIlroy may not watch the golf event on television when it returns to the Olympics next month and hinted on Tuesday it was not one of the sports that would matter in Rio de Janiero. Unlike world number three Jordan Spieth, who said earlier in the day that he agonised over his decision to withdraw from the Olympics, McIlroy said he was fully comfortable with his choice to opt out of golf’s Games comeback after a 112-year absence. “I don’t think it was as difficult a decision for me as it was for him,” the Northern Irishman told a news conference ahead of the 145th British Open that starts tomorrow. “I’m very happy with the decision I made and I’ve no

regrets about it. I’ll probably watch the Olympics but I’m not sure golf will be one of the events I watch.” Asked which competitions he would view on television, McIlroy replied: “Probably the events like track and field, swimming, diving, the stuff that matters.” None of the world’s top four golfers will play in Rio after Jason Day and Dustin Johnson also decided to opt out. Fourth-ranked McIlroy said he did not feel as though he was letting his sport down. “I didn’t get into golf to try and grow the game,” explained the 26-year-old. “I got into golf to win championships, and major championships. “All of a sudden you get to this point and there is a responsibity on you to grow the game, and I get

that, but at the same time that’s not the reason I got into golf. “I didn’t get into golf to get other people in the game but I get that...different people have different opinions.” McIlroy also believes golf needs a more rigorous approach to drug-testing to fall in line with other Olympic sports. “I’ve been tested by the IGF (International Golf Federation) once this year ... but it was only a urine test. I haven’t been blood-tested yet. I, on average, probably get tested four to five times a year which is very little compared to the rest of the Olympic sports,” he said. “I’ve got to know a lot of athletes over the years and whether it be coming to their houses and doing blood and urine, I think

drug-testing in golf is still quite far behind some of the other sports,” said McIlroy. “Blood-testing needs to happen in golf just to make sure it is a clean sport going forward. If golf wants to stay in the Olympics and wants to be part of the Olympic movement it has to get in line.” McIlroy, however, does not believe illegal substances can necessarily help a golfer. “I don’t really know of any drug that can give you an advantage all the way across the board,” he said. “There are obviously drugs that can make you stronger ... and drugs that can help your concentration. “But whether there is something out there where it can make you an overall better player, I’m not sure.”

NPFL All Stars: Rabiu Ali, Ezenwa and 11 Others Hit Abuja Camp

Henry

Kano Pillars midfield strong man, Rabiu Ali led the early arrivals as the Nigeria Professional Football League (NPFL) All Stars camp for the first LaLiga Tour opened in Abuja yesterday. In all, 13 of the 37 players invited by Coach Salisu Yusuf arrived Abuja and trained inside the Main Bowl of the National Stadium guided by Yusuf and goalkeeper trainer, Ike Shorunmu.

The NPFL All Stars, a product of the League Management Company (LMC) and Spanish League (LaLiga) techincal and commercial partnership are due to embark on an international friendly match tour during which they will play LaLiga sides, Valencia and also play Malaga in the Carranza LaLiga World Club Tournament on August 10, 12 and 13. Among the early arrivals

are FC IfeanyiUbah’s Ismaila Gata, Kano Pillars’ Jamiu Alimi and Ifeanyi Mathew. The others are Sikiru Olatumbosun, Ifeanyi Ifeanyi, both of MF, FC, Lagos, Lobi Stars goalkeeper,Okemute Odah and the duo of Charles Henlong, Al Hassan Ibrahim from Wikki Tourists. Also in camp were Plateau United’s Kelechi John, Shedrack Oghali of Warri Wolves,

Gabriel Wassa of Niger Tornadoes and goalkeeper Ikechukwu Ezenwa of FC IfeanyiUbah. Wassa and Ezenwa however did not train with the squad following knocks they copped in their last club engagements. The team will resume training this morning, and will later watch the round of 16 FA Cup cracker between Enyimba FC and El Kanemi Warriors in Abuja.

Wednesday July 13, 2016

UT H

& RE A S O

Price: N250

MISSILE

Dogara to FG “However ours is a democracy that is still evolving, it is not as nascent as it used to be, because we still have a lot to learn. If the goal is that they want to strangle the parliament, then definitely, we are going to run into serious problems and that will be an affront, a serious affront on democracy and that will be totally unacceptable. But since the matter is in court, it doesn’t mean that when allegations are made, that they are true.” – Speaker of the House of Representatives Yakubu Dogara accusing the federal government of trying to strangle the National Assembly.

IJEOMANWOGWUGWU The Untold Story of Skye Bank L BEHIND THE FIGURES

ast week, the Central Bank of Nigeria (CBN) confirmed our worst fears when it stepped in and sacked the board of directors of Skye Bank Plc, a Tier 2 bank, but systemically important enough to cause a contagion on the rest of the banking system in the event of failure. The central bank’s action was not unexpected. Several market analysts had suspected since the last quarter of 2015 that the bank was reeling from the burden of non-performing loans, liquidity and capital adequacy ratios that had fallen below regulatory requirements, and a weakening of the macroeconomic environment. The foreboding was further heightened when Skye Bank, among four other banks, issued a profit warning that the market noted. In rationalising the removal of the bank’s chairman, managing director, other non-executive and some of its older executive directors, the CBN governor, Godwin Emefiele, said the intervention had become unavoidable in view of the persistent failure of Skye Bank to meet minimum thresholds for critical prudential and adequacy ratios, which culminated in the bank’s permanent presence at the CBN’s lending window. In particular, he said, Skye Bank’s liquidity and non-performing loan ratios had been below and above the required thresholds respectively for quite a while. He was silent, nonetheless, on what the central bank’s examination report of the bank had unearthed. Emefiele was also unwilling to divulge Skye Bank’s financial results for full year 2015, in order to forestall a further deterioration of the bank. But an introspective review of Skye Bank’s decline has shown that its sorry pass could have been avoided with the right corporate governance, risk management structures, and firm regulatory oversight. Skye Bank’s woeful state could be traced to a number of factors, including insider lending, much of which became bad loans, and its acquisition of Mainstreet Bank Limited (formerly Afribank Plc) between October and November 2014. It is no secret that Skye Bank’s erstwhile chairman and shareholder, Mr. Tunde Ayeni, and another director/shareholder, Dr. Festus Fadeyi, who also sits atop Pan Ocean Corporation, a Nigerian independent oil and gas company, had borrowed heavily from the bank. Indeed, officials of the bank confirmed to this writer that at the time of their ouster, Ayeni was indebted to Skye Bank to the tune of N36 billion, of which an estimated N6 billon had been repaid, while Fadeyi owed N98 billion. Ayeni and his partners were said to have taken loans to fund their acquisitions of Ibadan and Yola Electricity Distribution Companies; NITEL/MTel; and an energy services firm, Ascot Offshore Nigeria Limited, all of which were respectively sold by the Bureau of Public Enterprises (BPE) and the Asset Management Corporation of Nigeria (AMCON). Fadeyi, through Pan Ocean, took loans to fund the firm’s oil and gas upstream projects operated under Joint Operating Agreements and Production Sharing Contracts with and on behalf of the Nigerian National Petroleum Corporation (NNPC). It doesn’t take a clairvoyant to predict that Ayeni and Fadeyi, other than losing their seats on the board and possibly their shares in Skye Bank in the foreseeable future, would come under immense pressure from the reconstituted board and management team to repay what they owe. In particular, Ayeni, a well-known supporter of former President Goodluck Jonathan, would have to extend that pressure to the federal government to refund the money his company paid for the acquisition of Yola Disco, which was returned to the Ministry of Power and the BPE in October 2014.

ijeoma.nwogwugwu@thisdaylive.com

Integrated Energy Distribution and Marketing Company Limited, a firm fronted by Ayeni, his longtime partner, Capt. Osa Okunbor, and former military head of state, Gen. Abudulsalami Abubakar, had acquired the Yola and Ibadan Discos for $228 million in 2013 under the privatisation programme. A year later, Integrated Energy returned Yola Disco to the Nigerian government on the grounds that it was impossible to operate and access the assets of the electricity distribution firm in the North-east due to the Boko Haram insurgency. After a joint evaluation of the electricity asset, as provided under the terms of the share purchase agreement, the BPE, in the twilight of the Jonathan administration, had approved $186 million as the sum to be refunded to Integrated Energy. But as this article is being written, nothing has been refunded to the company and its shareholders, even as the penalties and interest on their Skye Bank loan continue to mount. Of course, Ibadan Disco, which was retained by Integrated Energy, is in no better shape, as almost all the loans extended to investors during the privatisation process have gone bad. Ayeni and his financial misadventures aside, the bigger setback for Skye Bank stemmed from its exorbitant acquisition of Mainstreet Bank. Information provided by officials of AMCON that was responsible for the Mainstreet Bank sale, showed that the valuation of the bank was put at N75 billion, implying that no sensible prospective investor that had undertaken a proper due diligence of Mainstreet Bank should have offered to pay anything in excess of N80 billion to N100 billion for the bank. Yet, Skye Bank, which had embarked on an aggressive growth strategy to catapult itself into a Tier 1 bank, offered N126 billion for Mainstreet Bank. This was to become Skye Bank’s undoing. The snag was that Skye Bank did not have the balance sheet to support the acquisition of a much bigger bank. Not a few market analysts watched with keen interest and wondered where and how its management was going to raise the N126 billion for Mainstreet. It has now come to light that Skye Bank’s management used its deposits to pay for Mainstreet, effectively putting depositors’ funds at great risk.

The bigger worry for the banking sector was that this was an inexcusable gamble that escaped the scrutiny and regulatory oversight of the CBN and the Securities and Exchange Commission (SEC), both of which did not appear to have done any capital verification on the sources of funds brought in by Skye Bank for the Mainstreet acquisition before approving the transaction. Had the CBN, in particular, performed its regulatory role diligently, it is most likely Skye Bank would have remained a safe and sound bank. Skye Bank’s situation became more precarious when it was penalised alongside FirstBank Nigeria Limited and United Bank for Africa Plc for failing to remit federal government funds to the Treasury Single Account (TSA) late last year. While UBA and FirstBank had robust balance sheets to absorb the penalties running into billions of naira imposed by the central bank, the N4 billion Skye Bank was forced to cough up, hurt it to no end. Another cause for concern was that the CBN under Emefiele’s watch failed to take responsibility for the lax and weak regulatory oversight of the bank. Nor did the CBN give a second thought to other measures that could have been explored along with its intervention to shield Skye Bank from a run by its depositors and the ripple effect that this could have on other banks as has been evident in the last one week. Today, it is not just Skye Bank’s shares that have been punished by the market, but also the shares of its peers in the Banking Sector Index of the Nigerian Stock Exchange (NSE). More than anyone else, Emefiele should have known that it would be a tall order for the new board and management of Skye Bank to raise the badly needed capital for Skye Bank in a contracting economy. Nigerian banks today are barely lending and struggling to stay afloat; most are just comfortable with investing in treasury bills and have become risk averse. Add to this their exposure to power and oil and gas sector loans, as well as the devaluation of the naira, all factors certain to depress the performance of Nigerian banks this year. Under the circumstances, the best option for Skye Bank would have been for the CBN to invite AMCON to recapitalise it and given the new

team two to three years to repay the loan at a premium. This was done with Wema and Unity Banks, and turned out to be the right stopgap measure that saved both banks from failure. Wema, for instance, has repaid the N20 billion injected into it by AMCON at a 14 per cent premium. Unity Bank, on the other hand, is a story that will be revisited by this writer at a future date. The point being made is that the CBN needs to sidestep the political pressure that is brought to bear from outside, especially from the Presidential Villa, and take its independence and regulatory role more seriously. Its governor, Emefiele, saw all the warning signs and only acted just before the lights went out at Skye Bank. Although he could argue that Skye Bank had emerged as the highest bidder during the tender for Mainstreet Bank, he still had a fiduciary duty to safeguard the bank and the entire banking system from an over-exuberant transaction that was flawed from the outset. Long and short, he should not have approved the acquisition, period! Curiously, even the new appointments for Skye Bank were laced with political considerations. Its new managing director, Mr. Tokunbo Abiru, was allegedly chosen for the bank by a national leader of the All Progressive Congress (APC), Bola Ahmed Tinubu, who still has some interest in Skye Bank as a carryover from his investment in the defunct Bond Bank (Prudent Bank, Eco Bank, Bond Bank, Co-operative Bank Plc and Reliance Bank merged in 2006 to form Skye Bank). In the same vein, the names of two new directors were allegedly sent from the Villa in Abuja for Emefiele to announce. It is only hoped that the new team can shake off the political baggage and manage the bank as the true professionals that they are with enviable track records in the banking sector. Skye Bank has become a cautionary tale that should serve as a lesson to shareholder/directors of banks and the system regulators. It is beholden on the directors and managers of banks to exercise due care in the management of depositors’ funds. They are not funds to be frittered away, or to be trifled with, as they do not belong to the banks or their shareholders. It is equally beholden on the regulators to be firm, step up to the plate and never allow infractions to fester.

For a Brighter Economic Future, Empower Women to Trade Olusegun Awolowo and Arancha González

hese are challenging times for the Nigerian economy. After a decade of solid growth, output shrank earlier this year, mostly on the back of a steep fall in oil prices. But Nigeria’s most important commodity has never been its oil. The country’s most important asset is its dynamic, entrepreneurial, and innovative people. And one of its most under-utilised assets is the economic potential of Nigerian women. This latest bout of commodity price volatility underscores the need to boost diversification and productivity to generate lasting growth and jobs for

Nigeria’s fast-growing, young population. Beyond generating foreign exchange, trade can play an important role in shifting people and resources out of subsistence agriculture and informal self-employment into more productive activities, in agroindustry, manufacturing, and formal services. For this reason, the Nigerian Export Promotion Council (NEPC) was set up to promote the development of a diversified export sector. Small and medium-sized enterprises (SMEs) account for the vast majority of firms and jobs just about everywhere, and Nigeria is no exception. For growth and trade to lead to poverty reduction, it’s essential for these smaller businesses to

share in the gains. The International Trade Centre, a joint agency of the World Trade Organisation and the United Nations, is working together with Nigerian private sector firms and public sector stakeholders including the NEPC to empower Nigerian SMEs to become more competitive and connect to international trade and investment. As it seeks to diversify its economy, Nigeria must invest in its people and the SMEs that employ most of them. But the returns on these investments would be much higher if accompanied by specific efforts to bring women more fully into the country’s economic mainstream. Nigerian Continued on page 52

Printed and Published in Lagos by THISDAY Newspapers Limited. Lagos: 35 Creek Road, Apapa, Lagos. Abuja: Plot 1, Sector Centre B, Jabi Business District, Solomon Lar Way, Jabi North East, Abuja . All Correspondence to POBox 54749, Ikoyi, Lagos. EMAIL: editor@thisdaylive.com, info@thisdaylive.com. TELEPHONE Lagos: 0802 2924721-2, 08022924485. Abuja: Tel: 08155555292, 08155555929 24/7 ADVERTISING HOT LINES: 0811 181 3086, 0811 181 3087, 0811 181 3088, 0811 181 3089, 0811 181 3090. ENQUIRIES & BOOKING: adsbooking@thisdaylive.com