Monday 13th March 2017 by THISDAY Newspapers Ltd

Falling Oil Prices Threaten Nigeria’s Earnings, Reserves Accretion CBN to inject more dollars into FX market this week Obinna Chima The steady rise of Nigeria’s foreign exchange earnings and build-up of external reserves, which started about

five months, ago is already under threat from exogenous shock arising from the recent fall in oil prices. Nigeria depends on oil sales for 90 per cent of its

foreign exchange earnings and 70 per cent of total revenue. However, rising shale oil production in the U.S. in recent months has dampened

production cuts carried out by members of the Organisation of Petroleum Exporting Countries (OPEC) and Russia to shore up prices.

According to Reuters, oil prices slid 2 per cent on Thursday, extending the previous session’s dive that brought prices to the lowest levels this year, as

record U.S. crude inventories fed doubts about whether OPEC-led supply cuts would reduce a global glut. Continued on page 10

Tragedy at Air Force Base as Oﬃcer Kills Himself and Lover… Page 54 Monday 13 March, 2017 Vol 22. No 7998. Price: N250

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Presidency: Don’t Expect Buhari to Resume in a Dramatic Way Paul Obi in Abuja In a bid to downplay expectations, the presidency yesterday said Nigerians should not expect President Muhammadu Buhari to resume work in a “dramatic way”, after spending 50 days in London, the British capital, for undisclosed health related reasons. The Senior Special

Assistant to the President, Media, Mr. Garba Shehu, stated this during an interview yesterday in Abuja on THISDAY’s sister broadcast company, Arise News Network. He explained that what the president needs is a careful and slow resumption of duty. Continued on page 10

Vehicle Owners Mull Legal Action, Ask NCS to Reverse Policy on Car Duty Payments NLC condemns directive, says it’s unrealistic Senator Iroegbu and Adedayo Akinwale in Abuja The Vehicles Owners Association of Nigerian (VOAN) and Nigeria Labour Congress (NLC) have expressed their opposition to the Nigerian Customs Service’s (NCS) ultimatum to all vehicle owners in the country to pay the duties on their cars between March 13 and April 12, failing which they would have their cars impounded. Both bodies have described

the policy as unrealistic, with VOAN threatening to drag the Customs Service to court if it fails to withdraw the directive within seven days. VOAN, in a letter to the Comptroller-General of NCS, Col. Hameed Ali (rtd.), through its counsel, Tolu Babaleye, called on the Customs Service to consider the interest of 35 million Nigerians who would be adversely affected by the “ill-timed and ill-conceived” policy if enforced. Continued on page 10

L-R: Former Commonwealth Secretary General, Chief Emeka Anyaoku, and Cross River State Governor, Prof. Ben Ayade, at the annual Vanguard Awards held in Lagos… weekend

T H I S D AY MONDAY MARCH 13, 2017

MONDAY, MARCH 13, 2017 ˾ T H I S D AY

PAGE TEN FALLING OIL PRICES THREATEN NIGERIA’S EARNINGS, RESERVES ACCRETION U.S. crude prices fell through the $50 a barrel support level, with market participants unwinding a massive number of bullish wagers they had amassed after a deal by top global oil producers to limit output. On Wednesday, crude also tumbled more than 5 per cent, its steepest dive in a year, after data showed crude oil stocks in the U.S., the world’s top oil consumer, swelled by 8.2 million barrels last week to a record 528.4 million barrels, well above forecasts of a 2 million barrel build. Although the impact of sliding oil prices are yet to be felt in Nigeria, market analysts have cautioned that the external shocks would eventually hit the country’s foreign earnings and reserves.

Last Thursday, Nigeria’s external reserves rose to $30.039 billion, according to latest data from the Central Bank of Nigeria (CBN). The central bank’s data showed that the reserves, derived primarily from oil sales, recorded a steady increase of between 2.3 and 2.75 per cent since January 2017. Other than oil prices, a drop in militancy in the Niger Delta, has also led to an improvement in the country’s foreign exchanges earnings. However, following the recent changes in the CBN’s foreign exchange (FX) policy and its renewed bid to reduce the gap between the interbank and parallel market rates, there have been increased interventions in the FX market by the central bank.

So far, the CBN has pumped $1.370 billion into the FX market since the measures were announced. Owing to this, Nigeria’s external reserves, which give the CBN its firepower, have come under close scrutiny. The naira closed at N463 to the dollar at some parallel market points on Friday. At $30.039 billion, the country’s reserves have increased by $4.196 billion or 16 per cent, compared with the $25.843 billion at the end of 2016. But concerns continue to heighten over the central bank’s ability to sustain its intervention in the market with the oil prices recording their biggest fall this year last week.

Speaking in a chat with THISDAY yesterday, the Director General of the West African Institute of Financial and Economic Management (WAIFEM), Prof. Akpan Ekpo, pointed out that if oil prices continue to slide, it would definitely have a negative effect on the country's external reserves. “Let’s just hope that it rises again. That is why we have always said that the price of oil is very volatile. That is why you cannot depend on it for long-term development. “Certainly, if this continues, it would affect the amount of dollars the CBN can put in the market. “That is why some people have been asking if what the CBN

has been doing in the past three weeks is sustainable. “Effectively, in the long term, the structure of the Nigerian economy has to change towards earning FX from other sources instead of crude oil. We must also understand that the U.S. has stopped buying our oil because of the shale oil produced in the country,” Ekpo added. The Financial Derivatives Company Limited stated in a recent note that the ability of the CBN to sustain its fight against currency speculation as well as preserve the value of the naira would depend largely on the country’s crude oil earnings. Despite mounting concerns, there were indications at the weekend that the CBN would

inject more FX into market early this week. Information about the central bank’s action became rife over the weekend, sending jitters among currency speculators. When contacted, the acting Director, Corporate Communications of the CBN, Mr. Isaac Okorafor confirmed that the central bank was determined to sustain liquidity in the FX market this week in order to enhance accessibility for genuine end-users. Okorafor also cautioned dealers in FX not to engage in any unwholesome practices detrimental to smooth operations in the market, warning that the CBN would impose heavy sanctions on any organisation or official involved in such acts.

VEHICLE OWNERS MULL LEGAL ACTION, ASK NCS TO REVERSE POLICY ON CAR DUTY PAYMENTS According to him, “As much as we would love to commend the NCS for this laudable step, we would like to state that this policy is ill-timed, ill-conceived and directed at the wrong set of people in the country, and same will unleash untold hardship on car owners in Nigeria and pit government against the general public. “About 35 million Nigerians would be affected by this policy if same is carried out.” He stated, without mincing words, that the failure to pay customs duties on imported vehicles should not be laid on the doorsteps of innocent vehicles owners but the car dealers that

imported those vehicles and who should be held responsible for circumventing customs checks with the connivance of some Customs officers. Babaleye was emphatic that innocent Nigerians should not be made to suffer for the acts of car dealers who imported the cars without paying the necessary import duty with the active connivance of men of the Customs Service. “Towards this end, we give the Customs Service seven days from the date of receipt of this letter to comply with our demands on behalf of our client, failing which we shall not hesitate to approach the court of law to seek redress

on behalf of our client and in the interest of downtrodden and oppressed Nigerians,” Babaleye said. In addition, the NLC yesterday condemned the recent policy directive by the Customs Service on imported vehicles. NLC President, Mr. Ayuba Wabba, in a letter dated March 7, 2017 and addressed to the Comptroller-General of Customs, described the new policy directive as “unrealistic”. Wabba said that though the labour union fully supports the NSC to carry out its statutory functions of collecting taxes on behalf of the government, often times in the form of duties on

vehicles, it however opposes the new policy. “We strongly hold the view that those who break the law or seek to break the law should be sanctioned to serve as a deterrent to others. The need to enforce tax laws in our country is all the more necessary because of social justice and other dwindling revenue sources. “Our support for the Nigerian Customs Service is therefore not in doubt. If anything, the Customs should be encouraged to do their work well,” he stated. Wabba, however, disagreed with Customs on the new policy directive on the basis of it being “logistically callous and will create

unimaginable chaos and suffering for innocent vehicle end-users”. According to him, the policy was self-serving and will in the end enrich unscrupulous Customs personnel who contributed in no small way to the present situation through acts of commission or omission. “It would amount to rewarding their complicity,” Wabba stated. He said it was common knowledge that duties on imported vehicles are payable at the point of entry, and subjecting vehicle end-users to this kind of trauma, in which they had no hand in the importation of their vehicles was unfair and unacceptable.

CELEBRATING SUBOMI BALOGUN AT 83

Founder of First City Monument Bank Group, Chief Michael Olasubomi Balogun (3rd from right), ﬂanked from left by wife of former Head of the Interim National Government, Mrs. Margaret Shonekan; former Head of the Interim National Government, Chief Ernest Shonekan; wife of Balogun, Abimbola; former military Head of State, General Yakubu Gowon (rtd); and his wife, Victoria, during the 83rd birthday celebrations of Chief Balogun, held in Lagos… recently

The NLC president stressed that “there is no information on the vehicles to be excluded from this exercise”. This, he said, presupposes that the owner of a Morris Minor or a Peugeot 404 brought into this country in the 70s is similarly affected. “Beyond this, a state of mental siege is being created by all manner of endless verification and re-certification exercises in the country. “It is thus morally wrong to inflict on the citizenry this kind of discomfort,” he cautioned. Wabba strongly advised the NCS to shelve its plan, arguing that “lessons ought to have been learnt from the violent outcome of the brutal raids of Ota market and the ambush and extortion of money from vehicle-owners on the highway at yuletide seasons”. He stated that the porous borders, as the Customs claims, are no justification for these actions or the proposed policy action. Wabba advised that in place of what he described as an “unpopular policy”, which has received condemnation from all sectors of the economy, the Customs Service should devise a coherent response that will deal with these challenges. He further called for a robust response that should focus on capacity building, modernisation of operations, use of technology, the clampdown on massive corruption in the system, and motivation/incentivisation of officers and men of the Customs Service so that can deliver on their mandates and meet annual targets.

PRESIDENCY: DON’T EXPECT BUHARI TO RESUME IN A DRAMATIC WAY Buhari’s return on Friday and his subsequent directive that the acting president, Prof. Yemi Osinbajo, should continue in an acting capacity while he rested over the weekend led to further speculations and uncertainty among Nigerians over Buhari’s health. Garba, however, dispelled the speculations, stating that the responsibility lies with the president once he notifies the National Assembly of his return. “Let me first of all caution that he (Buhari) is not going to start in a dramatic way. He has been away from the country for nearly two months, so he needs to get into the temperature of the place. “For instance, yesterday (Saturday), he went through the newspapers page by page, and he

read everything that interested him. “So he needs to get back to that place. The thing is that he’s basically human like all of us. He is coming out of an ailment and like he himself had said, he needs to start gradually. “Don’t expect the president to be given neck-breaking schedules or punishing schedules like from 8 a.m. to 10 p.m., or sometimes to 1a.m. to 2 a.m.,” Garba submitted. Asked whether Buhari would be fully in charge once he resumes, the presidential aide said: “The responsibility is his; that is the position of the constitution. “The moment the letter goes to the National Assembly and he says I am back, he is back. “This is not a president, by his style of leadership, whose hands dictate every detail. People make

the observation that perhaps ministers under this government are the most powerful ministers we have had in this Republic. “He doesn’t call each month to say that a contract should go to Mr. A, B or C, or that road should be channeled through this or that,” he said. Garba further elaborated on the role of the vice-president, adding that “even before the president’s departure, the vice-president had a full plate”. “He has again, on record, been one of the busiest vice-presidents in our country; the president has delegated so much to him,” Shehu explained. On when Buhari would return to London for further medical treatment, Garba said though the actual date remained uncertain, the

decision will solely “be determined by him (Buhari) and his own doctors”. “But he has given notice that he will need to go back and that is normal,” he added. On the atmosphere in the Presidential Villa since Buhari’s return, Shehu told Arise News that everyone felt a sense of relief after his return, saying he was “looking good”. “For us here, it’s a vindication of the position that he had not died like some people had said. Our colleagues who were with him there – the pressure on them – everybody wanted to see the president, rulers, traditional rulers, chiefs, ministers, governors, everyone wanted to go to London and see the president and the denial of that access, which was

on the advice of doctors, placed them under considerable pressure.” Speaking on the propaganda and half-truths on the president’s illness, Garba said: “You don’t say what you don’t know, that is one. “Two, matters of medical disclosure are extremely private. In the course of the process, Femi Adesina got a long note from the Minister of Health, Prof. Isaac Adewole describing what disclosure would mean in medical science.” He added that it was up to the patient to disclose what his ailment is, as even the doctor cannot disclose it to anyone. “Let me confirm to you that the president had no knowledge of the ailment even before he left. He just went for a medical check up,” Shehu stated.

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T H I S D AY MONDAY MARCH 13, 2017

MONDAY, MARCH 13, 2017 ˾ T H I S D AY

PAGE TWELVE

Rice Farmers Enjoy Growth amid Economic Downturn Agriculture has been a benefi e ciary of steps to counter effects of dollar shortage

Two-Minute Two Minute Brieﬁng NEWS Adoke: Obasanjo, Yar’Adua,

Jonathan Endorsed Malabu Oil Agreement Mohammed BelloAdokehasagain faultedthedecisionoftheEFCC toprosecutehimandothersfor resolvingtheownershipdisputes oftheOilProspectingLicence245 betweenthefederalgovernment… Page 54

EDITORIAL OsinbajO in The niger DelTa

In thepastfewweeks, theVicePresident, Prof.Yemi Osinbajowasin g and outofthe NigerDelta, engaging with the leadership and the peopleof thezone. Page 15

POLITICS The APC Boiling Points

Thoughthe opposition Peoples Democratic Partyhas been in the newsdue totheleadership crisis threateningtotearitapart, atthe same time, all is notwellwithin the All Progressives Congress. The ruling partyis also having its own fairshare ofcrises atthe national levelandinsomestates. Page 17

FEATU A RES Unveiling the Lagos-Ibadan Rail

Project ActingPresidentYemi Osinbajolastt weekinauguratedtheLagos-Ibadan rail projectatthe Nigeria Railway Corporation complex, Ebute-Meta.. Page 20

Labara Hassan and his family

Young Y g men, ageing g g widows and local chiefs — even civil servants — have taken to the fields to work in rice paddies that stretch for miles around p Tarasa, a village g in Kebbi State. Two y years ago, g the land in one of the West African nation’s poorest p and least developed p regions g lay y fallow. But rice farming g is now enjoying j y ga boom — a rare bright g spot p in a country y enduring g its worst economic crisis in aq quarter of a century. y “Life is g getting g better around here,” says y Labara Hassan, a rice farmer whose income doubled last year, y enabling g him to put p a new roof on his house. This year, y the 30-year-old y plans to cultivate a larger p g area and save towards his dream: a pilgrimage to Mecca. Nigeria’s g economy contracted for the first time in 25 y years in 2016 as Africa’s top p crude producer p reels from the impact p of low oil prices. p But agriculture g is one of the few beneficiaries of the government’s g radical steps p to counter the effects of a crippling pp p g dollar shortage. g In an effort to protect p its dwindling g foreign g reserves, the central bank introduced restrictions in 2015 on the allocation of dollars for imports p that it said Nigeria g should be p producing g locally y — including g rice. The measure forced importers p to source dollars on the black market, driving g up p their costs and creating shortages of some goods. Some factories closed and companies p axed tens of thousands of jobs. j In nflation has soared to nearly 19 per cent as the government attracts mounting g g criticism for its handling g of the economic crisis. But as imports p became more expensive, p demand for locally y produced p rice — a staple p food in Nigeria g — soared, drawing g businessmen from the south to the north to buy y directly from smallholder growers. g Prices for Nigerian rice increased

nationwide last year y by y about 60 per p cent, according g to the National Bureau of Statistics. “They y [the measures] created a market for locally y grown g rice paddy. p y Now demand exists,” says y an adviser to President Muhammadu Buhari, who did not want to be identified. “This is a starting gp point.” He adds that it was helping p g the government’s drive to diversify g y the economy y — agriculture g accounts for about 24 per p cent of gross g domestic product, but Nigeria p g depends p on petrodollars for 90 per p p cent of its export earnings and 70 per cent of state revenues. The country y has vast amounts of arable land but produces p little of what its more than 180 million people p p eat. Rice can be grown g across the country, y yet g y groceries and markets nationwide stock produce p from Thailand and China. Domestic agriculture g is dominated by y smallholders and subsistence farmers. About 46 per p cent of the rice consumed in Nigeria g in 2015 was imported, p according g to the US Agency g y for International Development p (USAID). To boost local p production, the central bank piloted p a scheme last year y in several northern states to supply pp y materials such as fertiliser to help p poorer p farmers. The initial results have been promising. p g The states included in the pilot p reported p an increase in rice production p of 20 per p cent last year compared y p with two y years ago, g according g to the statistics bureau. The government says g y it will expand the programme g this year. y “Agriculture g is our low-hanging g g fruit,” says y Abubakar Bagudu, g governor of Kebbi State. “It can be g a business. It can be a way to migrate from p poverty.” y The challenge g to sustaining g momentum is ensuring g local rice can compete with imports once

dollar restrictions are lifted. Experts p say y inefficient processing p g and high g production costs in Nigeria p g have typically yp y meant wholesalers have been able to sell Asian rice for less than that produced p locally. y “There’s no doubt that both incomes and opportunities pp for farmers have increased,” says y Stefan KachelriessMatthess, director of a programme p g supporting pp g rice farmers that is managed g by y GIZ, a German development p agency. g y “The risk is that this (demand) is artificial and that locally y produced p rice is still very y expensive.” p He says y the challenge g is ensuring g that Nigerian g rice is not only y produced p efficiently y enough g to ensure it is competitive p with imports p and cheap p enough g for consumers, but also commercially y viable for farmers. Another problem p is the lack of capacity to mill on a commercial scale. Several of the country’s y mills are not functioning g and most process p small amounts of rice. “We have an increase in rice p production but it’s not commensurate with milling g capacity,” p y says y Yemi Kale, head of the statistics bureau. Some investors appear pp to be responding. p g Aliko Dangote, g Africa’s richest man, announced last month he too would build a rice mill in the northern state of Sokoto. And about an hour’s drive from Mr. Hassan’s field, workers p put the final touches on what will be the country’s y biggest gg rice mill when it opens p next month. Amit Gupta p says y his company, p y Wacot Rice Ltd, has spent p almost $30 million building g the mill in the hope p it will be ahead of the curve for a shift that he believes is inevitable. “Countries in the developing p g world like India have recently y moved towards consuming g more locally y made products p and Nigeria g will very y soon go through this,” Mr. Gupta p says. y r $VMMFE GSPN UIF 'JOBODJBM 5JNFT

BUSINESS Nigeria May Lose N400bn to

Closure of Abuja Airport Nigerian g mayy lose as much as$1billion (aboutN400 0billion) owing tothe temporaryclosure ofthe Nnamdi Azikiwe Airport, Abuja. Page 23

CITY STRINGS A Bloody Clash in Ile-Ife

Yinka Kolawolewrites onlast Wednesday’s bloodyclash between theHausa community and theYorubas in Ile-Ife, Osun State,where lives were lostand propertyworth millions ofnaira destroyed Page 40

INTERNATIO A NAL L Turkey’s Erdogan Warns Dutch h

will Pay Price for Dispute Turkish PresidentRecepTayyip Erdogan has warned the Netherlands itwill“paytheprice”forr harming ties aftertwoofhis ministers werebarred. Page 44

SPORTS R Ohawuchi on Target as Zamalek k

Demolish Rangers 4-1 in Cairo Itwas a weekend ofcontrasting fortunes forNigerian teams in the CAFChampions League as Rangers lostwoefully44-1to Zamalek ofEgyptin Cairowhile Rivers United… Page 61

T H I S D AY MONDAY MARCH 13, 2017

COMMENT

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

BUILDING A COMPETITIVE ECONOMY FOR THE FUTURE To be competitive globally, there is need to address the way we train and build capacity, writes Udoma Udo Udoma

igeria’s Gross Domestic Product performance improved slightly in the fourth quarter of 2016, and showed us a route to recovery. The current recession has affected all of us. But the root causes of it are deep, and they must be addressed if we are to build a more sustainable and competitive economy. We must understand the causes of our economic malaise in order to implement solutions that are sustainable. Nigeria’s economy has been structurally weak for decades. Our oil wealth has disguised the fundamental structural weaknesses that we have, and while the cash flowed many of those weaknesses were overlooked. We were complacent. We did not do the work that was needed to develop the broader economy and we are suffering the consequences today. This is not because we did not know what needed to be done. The last two decades are full of economic plans and strategies designed to address them. Our challenge has been, principally, in implementation. Nigeria needs to build an economy that is not only resilient, but globally competitive. We have been focused on that since taking office, through our Strategic Implementation Plan (SIP), which has provided a platform. The evolution of the SIP is the Nigeria Economic Recovery and Growth Plan (NERGP), which we have unveiled. The NERGP provides a framework for implementation from 2017-2020, but does not mean we must wait until 2020 to see progress. The plan is focused on generating concrete and visible impact by the end of 2017, and many of the initiatives incorporated within it have been under way since 2016. We are not starting from scratch and the work that we have done so far, is already beginning to show dividends. We are absolutely committed to delivering the implementation of the plan and we have the political will, determination and the leadership to achieve this. We have three core objectives. Restoring growth, investing in our people and building a competitive economy. These are delivered through five execution priorities. The first is to stabilise the macro-economic environment. We must increase revenue and cut costs. We will then focus on the four pillars of future growth; achieving agriculture and food security; ensuring energy sufficiency in power and petroleum products; improving transportation infrastructure, and driving industrialisation through local and small business enterprise. These objectives and priorities are underpinned by a robust delivery and monitoring mechanism to ensure that we are focused on implementation. Our lack of infrastructure is our Achilles heel. It means that the food we eat is more expensive, individuals and businesses have to generate most of the electricity they require, far too few people have access to running water and travelling around the country is a slow and difficult process. But beyond the effect this infrastructure deficit has on people’s daily lives, it has a hugely detrimental impact on our economic performance and the profitability, and often the viability, of our companies, which further impacts the lives of all our citizens. The better our economic performance, the more revenue the government will have to spend and the more it can do to address these deficits. That is why our 2016 and 2017 budgets were

WE WANT TO BUILD AN ECONOMY FIT FOR THE FUTURE, AND THAT CAN ONLY BE DONE USING OUR MOST PRECIOUS, BUT MOST UNDERUTILISED RESOURCE, OUR PEOPLE

structured to deliver investment in transport and energy infrastructure. We will borrow to build the foundations for future growth. Our non-oil revenue has been traditionally unacceptably low. Delivering growth in agriculture, while ensuring that our industrialisation strategy is broad based (focused on SME’s) rather than reliant solely on large scale projects, is critical to reversing this. However, government resources will not be sufficient to address all our infrastructural challenges. The plan also provides for government to partner with private and development capital from both within, and outside the country, to leverage and catalyse additional resources needed to grow the economy, and bring about prosperity. Underlying each of our priorities is a common requirement. We must invest in the skills of our workforce. Unemployment is too high, and the skills gap is too great. To be competitive globally, we must address the way in which we train, and build capacity. That is a core focus of this plan. We want to build an economy fit for the future, and that can only be done using our most precious, but most under-utilised resource, our people. It is why the plan places emphasis on building capacity in education, healthcare, social inclusion, job creation and environmental sustainability. Many of the initiatives this administration has already developed and rolled out have been focused on delivering basic needs for the most vulnerable in our nation. Our social investment programmes are examples of this focus. While the scale of our task is very large, we are already seeing the dividends of some of our work. Our focus on agriculture and solid minerals has resulted in some growth in those two sectors in 2016. However, given the current recession, revenues continue to be challenged. But we believe that with the current outlook of stable oil prices and increasing production, it can only improve. Our tax base in Nigeria is 6% of GDP compared to an average of 16% across the rest of Africa. This is clearly far too low and there is room for significant improvement in expanding the tax base. There is much more work to do, but we are on the right track. The Presidential Enabling Business Environment Council (PEBEC) is also delivering results. Since its launch in the last quarter of 2016, we have seen the processes for obtaining visas streamlined considerably, with visas now available on arrival. There is much more to come and you will be hearing from that team over the coming weeks as they roll out the 60-day action plan to ‘Make Business Work’. While the past 18 months have not been pleasant for Nigerians, they have served to show us a way to a future in which we will work our way out of the current recession and onto a path of sustained, diversified and inclusive growth. We will need to intensify our cooperation and co-ordination with the state governments. We will need to work closely with the private sector, and indeed, all Nigerians. It will not be easy, but this administration has a plan to deliver. We have no doubt that, working together, we shall attain prosperity. Senator Udoma is the Minister of Budget and National Planning

POST-RECESSION ECONOMY AND EXPORT DIVERSIFICATION Bashir Wali argues the need for diversification of foreign exchange earnings

ull quote: Neither government agencies nor private sector businesses can do enough in supporting the agenda for diversifying the sources of foreign exchange earnings for the country. There are indications that the Nigerian economy is on the path of recovery. Oil prices have stabilised around $55 per barrel. Government’s peace overtures in the Niger Delta have helped to raise oil production from the nadir of 2016. In the last quarter of the year, the GDP contracted by 1.3 per cent, an improvement over the 2.24 per cent in Q3 and 2.06 per cent in Q2. Moreover, various forecasts, including that of the World Bank, agree that the country will experience a positive output growth in 2017. But the growth projections are largely underwhelming, ranging from a half per cent to one per cent. This explains why the federal government continues to work hard at the economic recovery plan. From 2017, one anticipates that the economic trend will take a sharp upward turn. The corporates and the generality of Nigerians will savour such lease of positivity, and it will validate the current administration whose good intentions and programmes have been thwarted by a sharp fall in revenue as a result of the plunge in oil prices. The expected recovery will, at best, take the country back to that place of opportunity of the past years before 2015, when we could have built a healthy foreign reserves level and financed non-oil export diversification. In the last two to three years, we have experienced the pains of external shocks to oil revenue. The pains are attributable to lack of significant foreign reserves cover. But, fundamentally, the concentration on oil receipts to provide 70 per cent of government total revenue, or 90 per cent of its foreign exchange earnings, made the oil price crash much harder to bear. It is time for more determined actions on the diversification of the economy, and diversification of foreign exchange earnings through increased non-oil

exports. Raising non-oil exports revenue is a key area government’s interventions are needed. Analysts agree, that the economy is broadly diversified, given that oil accounts for just about 15 per cent of the country’s output. Agriculture, services – including finance, ICT, entertainment, hospitality – and their extensive value chains are major contributors to the GDP. Additional potentialities are locked in the solid minerals sectors. The Nigerian Export – Import Bank is statutorily mandated to facilitate the country’s non-oil export growth. NEXIM Bank has a range of tools, including credit financing in both local and foreign currencies, risk-bearing services in the form of export credit guarantee and export credit insurance facilities, special funds, loans for foreign inputs, export advice, and market information, to support the non-oil export sectors. Since I assumed the leadership of NEXIM Bank a little over a year ago as managing director, in acting capacity, the bank has maintained its unwavering commitment to its mandates. Last month, the Federal House of Representatives’ Committee on Banking and Finance, embarked on an oversight tour of the businesses supported by NEXIM. One of the sites we visited was an agro-processing business. NEXIM Bank funds export producers and businesses with export potential. We do this with the aim of increasing foreign exchange earnings for the country, boost industrial production and create jobs for Nigerians. We visited the Ladgroup, based in Ikenne, Ogun State. NEXIM’s facility of $5 million provided the company with the resources to import equipment for its production line for Shea Butter export, as well as working capital. With its newly installed capacity, the company aims to earn $5 million in the first year of operating the new facility, and $100 million in the next five years. Ladgroup will create at least 300 direct jobs and more than 600 indirect jobs. However, the global demand for Shea Butter

is estimated at $10 billion annually. Demand is expected to reach $30 billion by 2020. Shea Butter is a derivative of Shea nuts, grown primarily in the Sahel region of West and East Africa. Nigeria accounts for 53 per cent of the 680,000 metric tonnes (MT) of Shea nuts produced annually in West Africa, according to reports by Central Bank of Nigeria (CBN), and Oil Seeds Association of Nigeria (OSAN). Interestingly, NEXIM also financed Karite Oil Limited’s 22MT Shea Butter processing plant in Akure, Ondo State – a company formerly known as Fagow Oil & Gas Nigeria Limited. The Shea Butter market serves here as an index case for the many opportunities to fund Nigerian export businesses. These opportunities are unmatched by the funding available. Private financiers usually have low risk appetite for such projects in nascent industries. Access to funds is difficult except for oil & gas services and trade sectors. This puts significant responsibility on the government to provide needed interventions, in this case through NEXIM Bank. Indeed, the scope of the requirement is reflected by the vast opportunities in the focal areas of the bank’s financial intervention, namely agriculture (agro-processing), manufacturing, solid minerals and services sectors. In one of the efforts to reduce the wide gap in the supply of needed resources, the CBN last year created two funds. NEXIM Bank is the managing agency for the N500 billion Export Stimulation Facility (ESF) and the N50 billion Export Rediscounting & Refinancing Facility (RRF). Since the CBN released the guidelines for the funds in June, 2016, we have embarked on various sensitisation sessions in Lagos and Kano as well as capacity-building programmes with banks and key stakeholders. The responses have been swift. We have received applications worth N111.02 billion under the ESF and N3.59 billion under the RRF. Having done our appraisals, applications worth N33 billion under the ESF and N3.59 billion under RRF are under consideration, approval and disbursement by the

CBN. NEXIM Bank has continued in the broader areas of removing non-tariff barriers to Nigeria’s non-oil exports. One of the key projects we are facilitating with partners is the Sealink Project, to provide direct maritime links within West and Central Africa. The Sealink will dramatically cut the time and financial cost of shipping sea cargoes within these regions through trans-shipment through Europe. The board of the Sealink has concluded arrangement with a major operator to commence a pilot scheme by deploying ships along the routes that have been designated. Last October, the Ministers of Transport of the ECOWAS member-countries met in Lome, Togo where far-reaching decisions were taken towards a smooth and efficient operation of the shipping company. During the meeting, the Sealink company was granted a community enterprise status. NEXIM Bank is making additional arrangements to realise the potential of the project by working with Nigeria Shippers’ Council and Nigerian Inland Waterways Authority on the commencement of annual exports of about one million tonnes of coal, iron ore and lead/zinc using self-propelled and/or dry bulk cargo barges in the dredged inland waterways channels from Lokoja / Ajaokuta to Burutu Port. We have also been working to improve the packaging of Nigerian agricultural exports to Europe and other countries, to minimise incidents of rejection. The use of hydrocarbon-free jute bags is very critical in this regard. Currently, jute bags are imported to the country. The high cost has led to the problem of recycling old bags and the use of unsuitable packaging materials. As part of efforts to mitigate this challenge, we have commenced discussions with major investors to resuscitate and commence the production of jute bags in the country for packaging of exports. Wali is Acting Managing Director and CEO, Nigerian Export-Import Bank

T H I S D AY Ëž ÍŻÍąË&#x153; Í°ÍŽÍŻÍľ

EDITORIAL OSINBAJO IN THE NIGER DELTA The Niger Delta needs massive infrastructural development

n the past few weeks, the Vice-President, Prof. Yemi Osinbajo was in and out of the Niger Delta, engaging with the leadership and the people of the zone. The objective was to ďŹ nd a lasting solution to the crisis in the region. â&#x20AC;&#x153;What we now have is an unhappy cycle of discontent sometimes expressed by a resort to violence and vandalism and drawing in response a strengthening of security arrangements and a gamut of palliative measures,â&#x20AC;? said Osinbajo during one of his meetings with the people in Port Harcourt, Rivers State. â&#x20AC;&#x153;This vicious cycle cannot continue as it builds needless tensions and frayed nerves. We just have to take meaningful steps to bring about permanent peace and prosperity to the Niger Delta.â&#x20AC;? Osinbajo is acutely aware of the reasons for the â&#x20AC;&#x153;vicious cycleâ&#x20AC;? of violence in the Niger Delta. He acknowledged this ďŹ rst hand when he said that there was little evidence to justify the huge contribution of the area to the development of Nigeria. â&#x20AC;&#x153;No one can be proud with the state of development in the Niger Delta,â&#x20AC;? he said. â&#x20AC;&#x153;The Niger Delta we see today is an area of poor OSINBAJOâ&#x20AC;&#x2122;S INTERACTIVE infrastructure; a few SESSION WITH THE schools and hospitals. PEOPLE OF THE NIGER There are signboards DELTA IS AN ADMISSION of abandoned projects OF THE FAILURE OF all over the place.â&#x20AC;? GUN-BOAT DIPLOMACY And like Osinbajo rightly observed, the AND THE NEED TO unedifying lack of FORGE A PARTNERSHIP development and WITH THE OIL-BEARING access to basic ameniCOMMUNITIES ties is worsened by a disturbing lack of opportunities for those who can no longer carry out routine occupations like ďŹ shing and farming. Ever since the current administration came to power in May 2015, the country has been experiencing increased resurgence of militancy in the Delta region with attacks on crude oil, products and gas pipelines. The bombings by militant groups targeted

Letters to the Editor

at oil pipelines marked a new level of violence in the latest struggle that almost crippled the economy. Mr. Shina Bankole, vice-chairman of the security subcommittee of the Oil Producers Trade Section of the Lagos Chamber of Commerce and Industry said recently that between January and November last year, the resurgence of militancy cost the nation over 130 million barrels of oil (approximately $4 billion) even at the base price of $30 per barrel. Osinbajo hinted on the enormity of the problem when he blamed the countryâ&#x20AC;&#x2122;s economic challenges partly on the effects of pipeline vandalism. â&#x20AC;&#x153;One of the key reasons why we are in recession is the fact that we lost about 60 per cent of our revenue due to the vandalism of the pipelines on the Niger Delta and we lost almost 40 per cent of the gas,â&#x20AC;? he said.

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TO OUR READERS Letters in response to speciďŹ c 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.

THE BUHARI/OSINBAJO TOWERING EXAMPLE

lot has been said and a lot has happened too to our democracy and the rule of law since President Muhammadu Buhari assumed the mantle of leadership on May 29, 2015. In truth, some of his policies and tactics especially in the fight against corruption have alarmed staunch believers in democracy and the rule of law and this writer has been alarmed on many an occasion. However, in spite of the many shadows that stalked the president during his vacation overseas until his return on March 10, 2017,the vacation provided an unlikely window into the president`s avowed transmogrification from a military man to a democrat at heart. It had to do with the fact that for the second time he was going on vacation, he transmitted his powers to his Vice-President, Professor Yemi Osinbajo to hold forte for him while he was away. President Buhari`s staunchest critics would easily say that he did nothing more than complying with a constitutional prescript which would pale in comparison to the myriad times the rule of law has been shoved aside under his watch. Yet that act of transmitting a letter to the National Assembly shines brilliantly given the unsavoury experiences of many Nigerians . It betrays the fact that the two men enjoy mutual respect for each

larmed at the prospect, the administration, instead of tackling the problem head-on through dialogue and other remedial measures, launched an offensive by moving men and ammunition to occupy the Niger Delta. Osinbajoâ&#x20AC;&#x2122;s interactive session with the people of the Niger Delta is an admission of the failure of gun-boat diplomacy and the need to forge a partnership with the oil-bearing communities and fast-track development in the area. â&#x20AC;&#x153;We must convene an oil communityâ&#x20AC;&#x2122;s intervention to work out what can be done in the short and medium term and in the long,â&#x20AC;? said Osinbajo. â&#x20AC;&#x153;We must focus on how to ensure that the people beneďŹ t from the wealth of the land.â&#x20AC;? Osinbajoâ&#x20AC;&#x2122;s shuttles to the Niger Delta may not have achieved anything for now, but it has demonstrated the fact that the Buhari administration has ďŹ nally realised that force alone cannot resolve the issue. Belated as the measures may seem, it would go a long way in helping to douse the current violence in the area. But a lasting peace to the â&#x20AC;&#x153;unhappy circle of discontentâ&#x20AC;? would come through massive infrastructural development of the area and the people made to feel and beneďŹ t from the enormous wealth beneath their soil. That is the task before the Buhari administration.

other and maintain a healthy working relationship. Now that the president is back, he has allowed the vice-president to continue to act for him citing his need and desire for more rest. Ordinarily, this should pale into insignificance in the face of the multitude of challenges confronting the country and the mostly unbridled zeal of the executive to whip the country into line but in a country where rancour at worst and mutual suspicion at best usually lace the relationship between presidents and their vice and governors and their deputies, Buhari and Osibanjo stand out in this wise. Former President, Goodluck Jonathan undoubtedly enjoyed a good working relationship with his vice-president, Namadi Sambo, a man of profound humility. But between Olusegun Obasanjo and Atiku Abubakar and more subtly between the late Umaru Yarâ&#x20AC;&#x2122;Adua and Gooodluck Jonathan, there was no love lost and ambitions played greatly disconcerting roles. In many states too, governors usually end up falling apart with their deputies. In the service of the people, there should be no struggles over the pettiness of power capable of straining relationships irreparably. The Buhari/ Osibanjo model provides a towering example. Kenechukwu Obiezu, Abuja

WELCOME BACK HOME, MR. PRESIDENT

am neither surprised nor worried by the quantity and complexion of conspiracy against Muhammadu Buhari. It is the fate and faith of good men to face what Buhari has faced and is facing. History has shown that all good men face antagonism. Are there better, saner, purer, holier and more blessed men than Godâ&#x20AC;&#x2122;s Prophets? Yet there were always evil men working with other evil men with evil plans to bring them down. The Prophet Muhammad saw the best of all creations, suffered all forms of subversion and annihilation from evil men and women but was never deterred. He won and did the work of God. Jesus Christ came with the gospel. He was attacked, insulted and abused but he came out stronger and spread the gospel. He even died on the cross gallantly. He was victorious even in death as his death became a turning point in the lives of many who turned to God. We have seen great leaders of the world here at home and abroad who defeated evil hands down. You remember the legendary Usmanu Danfodio? Even he had to contend with antagonists and enemies of the Lord. He defeated them,

established the Sokoto Caliphate and spread Islam. I have not forgotten the history of Hausaland and the exploits of the legendary Bayajida who himself had to kill the evil snake so people could have water. Buhari is a jolly good fellow. How can his case be different? I took a deep look at Buhariâ&#x20AC;&#x2122;s political journey from his days in the APP to his days in the ANPP and his months in the CPC to his year in the APC. I saw good men around him. I saw good women too but like all other good men, I saw evil men and bad women who have hovered around him, who never liked him and did not love our nation. They are masquerades who pretended to share his dreams and ideals only to turn around and work against him. Even now, I can see many of them sitting in the Senate and other places. They are there working, plotting and planning. They have been falling and standing. They will fall and stand no more. Evil has never triumphed over good. Like all good men, Buhari will be protected by God. He will win. Nigeria will rise again. Usman Mohammed, Department of Mass Communication, IBB University, Lapai, Niger State

T H I S D AY MONDAY MARCH 13, 2017

T H I S D AY ˾ MONDAY, MARCH 13, 2017

POLITICS

Group Politics Editor Tobi Soniyi Email tobi.soniyi@thisdaylive.com 08033146139 SMS ONLY

M O N D AY D I S C O U R S E

As APC Nears Boiling Point Though the opposition Peoples Democratic Party has been in the news due to the leadership crisis threatening to tear it apart, at the same time, all is not well within the All Progressives Congress. The ruling party is also having its own fair share of crises at the national level and in some states. Tobi Soniyi writes

APC leaders during a presidential campaign rally...now a party sitting on a keg of gunpowder

o an average Nigerian, the leadership crisis rocking the Peoples Democratic Party (PDP) which continues to make headlines in the media is the party’s greatest setback ahead of February 18, 2019 general election, but little do people know that the ruling All Progressives Congress (APC) itself is a house divided against itself, particularly as members in some state chapters of the party are at loggerheads for diverse reasons. While the people are all fixated with the leadership crisis rocking the PDP, they tend to have overlooked the brewing crisis in the ruling APC. Many state chapters of the party are simply patching up with disagreements some of which are threatening the existence of the party. For politically savvy watchers of the APC, it is clear that at the national level the party is already divided along the President Muhammadu Buhari, Senator Bola Tinubu and Alhaji Atiku Abubakar faultlines and that warring factions are merely allowing the sleeping dog to lie. Whoever thinks that the disagreement over who should be the governorship candidate in Ondo State which escalated to the point that the party leader, Bola Tinubu had to openly call on the National Chairman, Odigie Oyegun to step down, had been resolved must be under an illusion. Analysts expect a rematch. But when, no one knows yet. Dr. Bukola Saraki’s emergence as Senate President irked those who thought it was their prerogative to determine the leadership of the National Assembly. While it appears all is calm

over this issue, the fact that Saraki remains on trial on charges that had been amended four

To an average Nigerian, the leadership crisis rocking the Peoples Democratic Party (PDP) which continues to make headlines in the media is the party’s greatest setback ahead of February 18, 2019 general election, but little do people know that the ruling All Progressives Congress (APC) itself is a house divided against itself, particularly as members in some state chapters of the party are at loggerheads for diverse reasons

times is indicative of the fact that those opposed to his emergence would not let go. Coming down to the states, the battle to take control of the party is even fiercer. Some of the states where members of the APC are at cross purposes are listed below. Sokoto State With almost two years in office, the Sokoto State Governor, Aminu Tambuwal is still in court defending a suit filed against him by Senator Umaru Dahiru, an APC governorship aspirant who lost the party’s governorship ticket to Tambuwal during the primaries in 2015. The Senator is asking the court to set aside the party’s primary that produced Tambuwal on the ground that it was not validly conducted. The case, which started at the Federal High Court in Abuja had gone as far as the Supreme Court but was sent back to the High Court for proper trial. The inability of the party leadership to resolve this dispute has left many party’s loyalists wondering if the antagonist is not enjoying the backing of some party leaders who would be happy to see Tambuwal sent packing. Kogi State The emergence of Governor Yahaya Bello of Kogi State following the sudden death of Abubakar Audu who was favoured to win the race pitched Audu’s running mate, Hon. James Faleke against the party. He even turned down an offer to be deputy governor under Bello. Faleke had also led some stakeholders to the Presidency to express their frustration with the Bello’s administration.

The governor also appeared to have stepped on many toes and has had to endure scathing criticisms from members of his party. His efforts to rein in aggrieved party’s members have not yet yielded positive results He had also been accused of being the unseen hands behind the rancour in the State House of Assembly. Things came to a halt last year when Kogi indigenes who are also members of the governor’s party in the National Assembly, in the state’s House of Assembly, members of the party’s executive in the state and other prominent leaders of the party accused the governor of engaging in anti-party activities. They believed the governor was not carrying the party along in the state. Many in Kogi State are of the opinion that the chance of APC losing the state to PDP is very high. However, if APC put its house in order, it may still prevail. “It will be tough,” a member of the state’s cabinet told THISDAY Politics. Kaduna State Kaduna State Governor, Mallam Nasir elRufai and the senator representing Kaduna Central Senatorial District, Shehu Sani have been at loggerheads since the beginning of the present democratic dispensation on May 29, 2015. While their differences appeared to be issue-based, a flash back to the events leading to the emergence of el-Rufai as the APC candidate for Kaduna State reveals that Sani had wanted to be governor. Somehow, due to CONT’D ON NEXT PAGE

T H I S D AY ˾ MONDAY, MARCH 13, 2017

POLITICS

MONDAY DISCOURSE AS APC NEARS BOILING POINT

APC National Chairman, Chief John Oyegun-Odigie...a daunting task ahead

Kwankwaso...struggling to remain relevant

political manoeuvring, he lost the candidacy to el-Rufai but managed to secure the senatorial ticket. Observers believe that the rivalry over the governorship seat remained the basis for the cold war between the two. Sani did not seem to see anything good in the programme being implemented by the governor and had cried foul, claiming that the Kaduna people were being short-changed. In retaliation there had been attempts to dismiss the senator from the party. The governor had also stated his own side of the story. He said: “Shehu Sani’s first anger was that the list of commissioners came out and none from his list. “In a state where there are 10, 000 PhDs that I have in my data base, I am going to take a diploma holder and make him commissioner just because he is Shehu Sani’s man. I don’t operate like that. “He contested the APC primary and defeated the candidate I supported and after the primaries, I don’t owe Shehu Sani anything.” Except the leadership of the party steps in to resolve their differences, APC may lose some ground in this north central state.

he offered employment to members of the PDP while party members were denied such appointments. Last year, the Speaker of the House of Representatives led a delegation of indigenes of the state to separate meetings with President Muhammadu Buhari and the leadership of the party. That resulted in a clash between supporters of both groups. There is no hope that the crisis in Bauchi will be resolved very soon because the warring factions have continued to stand their grounds. There have also been reports alleging that the governor stopped constituency projects being carried out in the state by federal lawmakers. Some of the lawmakers had already been suspended by the party.

Gombe State Although APC is not in power in Gombe State, there is good reason to believe that it will take a while before the party can take over power in the state. No thanks to the inability of APC members in the state to come together under one exco. Trouble started during the 2015 primary election when the division in the party resulted into two factions with one led by Magaji Doho and the other by Karu Ishaya. Both factions enjoy the backing of some political juggernauts; former governor and now senator, Danjuma Goje, and former Deputy Speaker of the House of Representatives and also a senator, Usman Nafada. However, the good thing about the crisis in Gombe is that efforts are on to resolve it but the bad news is that the warring factions are not cooperating. And that is good for the ruling PDP. Bauchi State The Bauchi State Governor, Mohammed Abubakar and the Speaker of the House of Representatives, Hon. Yakubu Dogara who is also from the state have been at each other’s throat. Among other issues, the governor was accused of not using the bailout fund given to the state by the federal government for the purpose for which it was given. But the governor has consistently denied any wrong doing saying that politics was behind the allegations against him. Among other allegations, the governor was accused of not paying workers’ salaries and involvement in anti-party activity in that

Borno State Things would have been quiet in Borno APC but for the running battle between the governor, Kashim Shettima and Senator Abu Kyari, the senator representing Borno North senatorial district who is said to be interested in succeeding Shetima. While it is not clear what exactly is the issue between the two, there is speculation that the governor does not want Kyari to succeed him. What is however not in doubt is that the division between Shettima and Kyari is tearing the party apart. Interestingly, both men served as commissioners under Ali Modu Sheriff when he was governor.

All hands must be on the deck to resolve the differences between the governor and all other factions, particularly the Faleke faction. The national leadership has been lethargic. They should have taken cogent steps but they have not done that. But it is not too late however. It is even now that it is important so that the APC can be united again

Bello...facing unending opposition

Ondo State The new governor of Ondo State, Oluwarotimi Akeredolu, SAN, will be well advised to appreciate the circumstances under which he became the governor. He inherited a party that is very divided. Unfortunately however, the governor may end up deepening the division within the party. His statement accusing an unnamed senator of the party from his state of working against his gubernatorial ambition and that he no longer considered the senator a member of the APC is likely to aggravate the party crisis in the state. Akeredolu will have to initiate moves to bring back the candidate of the Alliance for Democracy (AD) in the last governorship contest, Dr. Olusola Oke and his followers who left the party before the governorship election. A major concern however is that Akeredolu is temperamental, says things as he sees them and gives no hoot about whose ox is gored. Ogun State The scenario that played out in Ondo State is likely to be replicated in Ogun State. APC leader, Bola Tinubu appears to favour Senator Olamilekan Adeola currently the Senator representing Lagos West Senatorial District to succeed the incumbent Governor Ibikunle Amosun. But Amosun would have none of that. This has brought Tinubu and Amosun on collision course. Those close to Amosun are of the opinion that the governor will tap into his closeness with President Buhari to ward off Tinubu. They feel that if it could be done in Ondo then it is possible in Ogun State. Amosun’s supporters are of the view that the emergence of Akeredolu as Ondo State Governor despite opposition from Tinubu has further de-mystified the party national leader. But, they may be mistaken. Tinubu will not walk away without a fight. Head or tail, the battle for the soul of APC in Ogun State is gradually tearing the party apart. Kano State It is not uncommon for a governor to join issue with his predecessor. Therefore, not many are surprised that the Kano State Governor, Abdullahi Ganduje took on his predecessor in office, Senator Rabiu Kwankwaso. What surprised many, however, was the level to which they were ready to go to settle their scores. Twice, Ganduje had served as deputy to Kwankwaso, and as a deputy who succeeded his boss, everyone expected a smooth relationship when Ganduje became governor. But alas, this is not to be. Perhaps, trying to assert himself, Ganduje dismissed some members of his cabinet considered

Faleke...simply not paciﬁed

loyal to Kwankwaso. The governor had also tried to undo some of the projects put in place by his predecessor. There are now two factions of APC in Kano with Haruna Doguwa leading a faction while Abdullahi Abbas calls the shots in the other faction. Again, the leadership of the party has to step in firmly to unite the party in Kano. Bayelsa State In Bayelsa State, the APC has been fractured almost from the beginning. During the primaries for the state governorship election last year, the party splintered into two groups with former governor Chief Timipre Sylva leading one faction and his former political godson, Chief Tiwei Orunimighe leading another. This was a major problem that made the party lose the last governorship election as one faction was accused of selling out to the PDP in the state. This led to the emergence of two factional chairmen in the state. While the group that is loyal to Sylva insisted that Orunimighe has been suspended from the party for anti-party activities, he however dismissed such claim. Said he: “I am still the authentic chairman of the party and I can suspend anybody no matter the status of that person”. But to Mr. Godwin Sidi, Orunimighe is just daydreaming as he has ceased to be the chairman of the party since last year. Sidi accused the factional chairman of openly hobnobbing with the opposition. This, he said was the reason why the party lost the last election. Today the APC is practically none existing in the state, a situation which has given the PDP the chance to continue to be the only tree in the political forest of the state. Perhaps the words of former House of Representatives member who represented Kabba/Bunu/Ijumu federal constituency of Kogi State, Hon Duro Meseko will succinctly capture the state of affairs across the crisis ridden states. Asked if the division in the party had been resolved, he said: “It has not been sorted out. The situation remains the same. There is no love lost between the party and the state governor. We are only expecting the national leadership to wade in by reconciling the party members. Because the greatest opposition to the APC in Kogi State is within the APC. “All hands must be on the deck to resolve the differences between the governor and all other factions, particularly the Faleke faction. The national leadership has been lethargic. They should have taken cogent steps but they have not done that. But it is not too late however. It is even now that it is important so that the APC can be united again”.

T H I S D AY ˾ MONDAY, MARCH 13, 2017

POLITICS

PERSPECTIVE

Centenary City Project: Setting the Record Straight In this article, Hon. Linus Okorie, a member of the House Committee on the Federal Capital Territory explains why the House of Representatives should reject the report of the Ad hoc Committee on the Centenary City Project

t should be pointed out that the first public hearing on February 3, 2017 began with prayers by the Chairman, Hon. Herman Hembe and a welcome address by the Deputy Minority Leader of the House, Hon. Chukwuka Onyema, who represented Mr. Speaker. Thereafter former Senate President and the immediate past Secretary to the Government of the Federation (SGF), Senator Anyim Pius Anyim, who was accompanied by many senators, sought leave to make an observation before the investigative hearing could proceed. At this point, Hon. Herman Hembe, yielded the floor to the former SGF to make his presentation. Anyim began his presentation by making three observations. First, that his manner of invitation was wrong since as a former Senate President he could only be invited by the Clerk of the National Assembly, not a Committee Clerk. Second, that when the former DG of Security and Exchange Commission (SEC) accused our Chairman of demanding bribe from her, Hon. Hembe pushed for her sack and he as SGF refused to do so. That it was his feeling that Hon. Hembe is organising the investigative hearing as a way to get back at him for refusing to heed his plea for the sack of the former DG. I disagree with the opinion as the hearing is derived from a resolution of the House of Representatives and not the Committee Chairman. And third, that Hembe tried to get the Managing Director of Centenary City Plc. (CCPLC) to come and see him privately. And that it was after all the Chairman’s efforts to get the Managing Director to come and see him privately failed that the public hearing was scheduled. Again, I cannot speak to this allegation as I have no evidence to validate it. Consequently, the former SGF stated that he was convinced that the chairman has a deep-seated personal interest and bias in this matter and so, was not in a position to guarantee fair hearing to himself, the Centenary City management and indeed to the entire subject matter. Accordingly, the former SGF demanded that the chairman disqualify himself and let the vice chairman take over and continue with the hearing. While I do not have any evidence in support of the allegations and demands, one had expected the chairman to revert to a closed session of the committee for members to assess the allegations and take a position. Rather, Mr Chairman unilaterally insisted that he would continue with the public hearing and proceeded accordingly. Nowhere in this committee report was the above objection, accusation of bias and a fear of lack of fair hearing noted, even if unfounded. Yet the report seems, unwittingly to confirm the former SGF’s fears, by some of its conclusions and recomedations. Again, prior to the second hearing on Tuesday, February 7, 2017, CCPLC lawyers had served letters of objection regarding the continuing chairmanship of the public hearing by Hembe on Speaker Dogara, and Hembe himself. At the resumed hearing, Hembe declined to entertain the lawyer’s objection – surprisingly stating that for the record that he will “rule on the objection after the hearing.” On the lawyer’s continued insistence to present his objections before commencement of the day’s full deliberations, the chairman ordered the Sargent-at-Arms to remove the lawyer from the hearing and the MD of CCPLC and all members of his team walked out in protest as well. Again, nowhere in this committee report was the above objections, and turn of events noted or highlighted. Basis for my Dissenting Opinion

Dogara...waiting for report

Abundant evidence was provided by CCPLC management as follows: Numerous fora for potential investors coordinated by the Office of the Secretary to the Government of the Federation (OSGF) were held at the Transcorp Hilton Hotel, Abuja, and a publication in three national dailies (Daily Sun, This Day and Vanguard) on Friday, February 22, 2013: “Centenary City: Request for Expression of Commitment as Promoter Investor” where the public was invited to express interest as “First Movers” to incorporate the Special Purpose Company (SPC) that will promote and drive the investment in the city (ANNEX I). These publications remain public documents and can still be independently verified. The OSGF testified correctly at the hearing that they had no such publication in their records. This is so because all expenses for the Centenary Celebrations were paid for by the private sector including the said publication; the project being wholly private sector driven under the coordination of the sitting SGF. It is not correct that the estimated Project Cost of US$18,376,660,950 was unilaterally arrived at by CCPLC. Evidence shows that this was part of an elaborate Business Plan prepared by the foreign development partners – Eagle Hills International Properties LLC of Abu Dhabi, UAE – and submitted to both CCPLC and the FCTA/FCDA as a guide for useful deliberation.

Swap Agreement signed by Land Swap Investors some of which were adopted as part of the Development Agreement signed between the FCTA and CCPLC. However, please note the following: FCTA acknowledged that when the CCPLC secured the partnership of Eagle Hills of UAE which has worldwide experience and capacity in city building it discovered that the usual land swap terms would not be applicable. It was based on the capacity of the foreign development partners and in order to conform to global best practices that the president directed that the land swap scheme should be varied. We are all aware that the chairman and this committee had in 2016 conducted public hearings on the FCTA Land Swap Scheme with the invitation of the FCTA Land Swap Investors. Why was CCPLC not invited? Furthermore, at the public hearing held on February 3, 2017, Mr. Faruk Sani, the former coordinator of the Abuja Infrastructure Investment Center (AIIC) stated unequivocally that that the Development Agreement between FCTA and CCPLC is a “variant” of the Land Swap Model. Finally, these and other similar terms and conditions were overtaken and rendered of no effect when the president granted Centenary City free zone status. It is important to note that every private city in the world has free zone status; Eco Atlantic City in Lagos is one local example.

Land for Infrastructure Swap Model These are the normal terms of the Land

Development Agreement between CCPLC and FCTA Again, these and other similar terms and conditions were overtaken and rendered of no effect when the President granted Centenary City Free Zone Status on August 29th, 2014. The Minister of the FCT is acting on delegated powers of the president by virtue of Section 18 of the FCT Act. Consequently, under the delegated powers of the president, the Minister of FCT can allocate and administer land within the FCT in line with the provisions of the law. Apart from the minister, no one has the authority to allocate land in the FCT. Accordingly, the Statutory Right of Occupancy (R-of-O) and the Certificate of Occupancy (C-of-O) cannot “automatically be extinguished” by the mere operation of an agreement that was derived from the application of a ministerial guideline, even if gazzeted.

The committee did not make any ﬁnding as to fraud and did not also allege any. So what is the basis for asking the agencies listed in the above recommendation to come in? The committee only alleged that conditions were not met. Does that come within the mandate of these agencies? At best this could be an administrative infraction

The Land Use Act Section 28 (1) of the Land Use Act empowers the Minister of the FCT to revoke an R-of-O on grounds of overriding public interest. The revocation of plots within

the Centenary City site met this condition; the Centenary City being a public interest project of the federal government. Contrary to the report, only Century 21 Real Estate Trust Investment Limited made presentations to the committee. Another lawyer who spoke on the second day of the hearing did not identify “ the aggrieved land owners he purportedly represented.” Highrise Builders and Developers Limited, Santex Ltd, City Land Developers Ltd, and Shelter Roads and Developers Ltd are allegedly unknown allotees on the Centenary City site. Moreover, evidence before the committee shows that CCPLC paid assessed compensation in the sum of N203 million to Century 21 Real Estate Trust Investment Limited and Kingfem Nig. Ltd and N8.65 million in aggregate to Hon. Prestige Ossy (as an investor Danamy Estate) even though the latter was denied compensation by FCTA. It is pertinent to note that to date, the FCTA has curiously refused to allocate new land to those whose plots were revoked in 2013 (as prescribed by law), thus fueling the agitation and blame on Centenary City promoters. Nigeria Export Processing Zone Authority Act Cap N107 LFN 2004 From the evidence before the committee, it is not correct that the approval of free zone was against the advice of the AttorneyGeneral of the Federation (AGF). The letter from the former AGF dated January 1?, 2014 with reference number HAGF/SH/2013/VOL.1 (see enclosed) considered the desire of FCTA to manage the project and advised that the FCTA be carried along through the setting up of a one-stop shop in the Centenary City for all land, customs and immigration matters. After considering all advice presented to him, The president “approved a free economic zone status for Centenary City” with an emphasis that it should “operate in line with extant laws”. This simply means that opinion should not replace the law and so it should be done in line with extant law, that is, the NEPZA Act. Moreover, there are 36 free zones in the country and it is difficult to understand why that of CCPLC will be outside the law. All that the approval is saying is that NEPZA is a government agency like the FCTA and if a responsibility is granted to NEPZA in accordance with its laws, why should that be a cause for concern to FCTA? Federal Capital Territory Act Cap F6 LFN 2004 The letter from the former AGF dated August 5, 2014 and referenced as HAGF/ SH/2014/VOL.1 had clarified the legal opinion in Paragraph four thus: “…I wish to observe, however, that the grant of Free Trade Zone status to the city as proposed will bring its management within the authority of the Nigeria Export Processing Zones Authority (NEPZA) to the exclusion of the FCTA”. Accordingly, the Minister of the FCT should have “uninvited” himself and his staff to the public hearing. Mr. Chairman, it is my considered opinion that all his submissions are null and void and of no effect. Senator Anyim Senator Anyim coordinated the Centenary Celebrations because it was the schedule of his office as SGF to coordinate national ceremonies. Senator Anyim’s involvement and activities were clearly as government’s coordinator of the project in his capacity as the sitting SGF. NOTE: Interested readers should continue in the online edition on www.thisdaylive.com

MONDAY, MARCH ͯͱ˜ Ͱͮͯ͵ ˾ T H I S D AY

FEATURES

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

Unveiling the Lagos-Ibadan Rail Project

L-R: Ajimobi; President Overseas, China Railway Construction Corporation Limited (CRCC), Mr. Zhao Jinhua; Ambode, Osinbajo, Senate Chief Whip, Senator Olusola Adeyeye, Ameachi, Amosun and Minister of Solid Minerals Development, Dr. Kayode Fayemi, at the ground breaking of the Lagos-Ibadan railway project, Ebute-Metta, Lagos… recently

Acting President Yemi Osinbajo last week performed the ground breaking of the Lagos-Ibadan rail project at the Nigeria Railway Corporation complex, Ebute-Meta. Gboyega Akinsanmi who covered the event, reports

he plan to construct Lagos-Ibadan Speed Rail Project did not really start last week. It did not start either under the administration of President Muhammadu Buhari. It actually started under the administration of former President Goodluck Jonathan. Then, however, the latter did not put in much commitment that could have delivered the project long before the former took over the reins of government. But the federal government indeed demonstrated its commitment last week when the acting President, Prof. Yemi Osinbajo re-launched the Lagos-Ibadan section of the Lagos-Kano standard gauge railway project. In spite of hitches the project had suffered under the Jonathan administration, obviously, Osinbajo said the unveiling “is an epochal moment in our national life in many ways.” That truly explains the height of national support the project received even before its take-off. And the support was demonstrated by Lagos State Governor, Mr. Akinwunmi Ambode, his Oyo State counterpart, Senator Abiola Ajimobi and that of Ogun State, Senator Ibinkunle Amosun, all of whom personally attended the take-off ceremony of the rail project, which Osinbajo said, would redefine our national life. For different reasons, therefore, the Minister of Transportation, Mr. Rotimi Amaechi, described the rail project as a step in the right direction “to optimise the federal government’s change agenda in the transportation sector.” Contrary to some critics, Amaechi explained the strategic significance of the transportation sector, which he said, was an economic index for growth and development.

A little background Before the renewed effort, the plan to reconstruct and modernise the Lagos-Kano rail preceded the last three administrations. It was first initiated under the administration of former President Olusegun Obasanjo. Beyond its conception in 2006, the Obasanjo administration then awarded the project to the China Civil Engineering Construction Corporation (CCECC) at a whopping cost of $8.3 billion. On two major grounds, the Obasanjo administration could not execute the project, which transport strategists said, could have transformed the country’s national life. First, Obasanjo could not execute it due a short period he had to the expiration of his second term. Second, even though his tenure expiration was close, Obasanjo could have started executing

Acting President Yemi Osinbajo said the ground breaking of Lagos-Ibadan rail project marked the beginning of the federal government’s plan to move speedily to improve links between Lagos which is the national economic nerve centre and major ports to other state capitals and towns across the federation

it if not for a challenge of funding. Practically, the time was too short for Obasanjo to raise funds for the rail project. But had it been his successor, former President Umaru Musa Yar’Adua really shared this vision, his administration, which started in 2007, could have started where Obasanjo stopped. After he became the substantive president, Jonathan re-awarded the project to the same contractor in 2012 to be executed in six phases. Under the Jonathan administration, it was designed to start with the Lagos-Ibadan corridor. For reasons yet to be known, Jonathan started Segment I, which runs between Abuja and Kaduna, though did not complete it. But the Buhari administration completed the first segment. Now is the time for Segment II, which connects Lagos to Ibadan. According to Amaechi, it extends to Lagos Port Complex, Apapa. Other segments, which will be constructed one after the other, comprise Ibadan-Ilorin, Ilorin-Minna, Minna–Abuja and Kaduna-Kano. Already, Segment I, which runs between Abuja and Kaduna, had been completed. Its construction started under the Jonathan administration, but was not completed. It cost about $876 million, consisting of $500 million in loans from the Exim Bank of China. Covering a distance of 156.65 kilometres, Segment II, which runs from Lagos to Ibadan, was, for the third time, re-awarded to the CCECC at $1.5 billion after Buhari visited China June 2016. Of the project cost, Osinbajo disclosed that the federal government had paid its counterpart funding of N72 billion, which he said, was a condition for granting facilities it obtained also from the Exim Bank of China. By implication, Amaechi said the Lagos-Ibadan rail project “involves the construction of ancillary facilities.” So, the minister cited the construction

of eight railway stations along the corridor at Apapa, Ebute-Metta, with intermediate stations at Agege, Kajola, Papalanto, Abeokuta, Omi-Adio, a passing station at Olodo while the Ibadan Station will be an intermediate station with technical operation. He added that the station at Kajola in Ogun State “will be a locomotive workshop, rolling stock depot and marshalling yard. Traffic volume forecast is that the project will handle over 3.2 million tons of goods/cargoes per annum in its first year of operation, while passenger services can take 16 pairs of passenger trains. It will be extended to Ibadan to Ilorin, Minna, Kaduna and Kano in the future.” The minister said the project captured the acquisition of land for joint estate development partnership as well as private sector logistic park and goods platform “to generate the revenue for the sustenance of the rail line and in the actual repayment of the loan.” He thus said the federal government “will abandon the project as it did in 2006. Work will not only start, but will be completed in record time.” Renewed passion Even though the rail project had run into bumps and hitches under the last three administrations, the acting President said its ground breaking signaled the determination of President Buhari “to modernise the national rail system in keeping with his promise to the Nigerian people. If there is a project so close to Buhari’s heart, it is the rail project which he promised Nigerians when he assumed office about two years ago.” He, therefore, said it was the core reasons President Buhari personally visited Peoples Republic of China in June 2016. During the visit, Osinbajo said the President reopened

T H I S D AY ˾ MONDAY, MARCH 13, 2017

FEATURES

L-R: Obasanjo, Ambode and Osinbajo, during the arrival of the acting President at the Presidential Wing of the Murtala Muhammed International Airport, Ikeja, Lagos… recently

L-R: Osinbajo, Ambode and Oba of Lagos, Oba Rilwan Akiolu I, at the ground breaking of the LagosIbadan railway project, Ebute-Metta, Lagos…recently

Lagos-Ibadan rail track under construction

The Lagos-Ibadan rail track under construction

the negotiations on the Chinese support for the rail project, which he said, was truly the height of political commitment the federal government “has demonstrated to realise, not only Lagos-Ibadan rail project, but also to other strategic projects.” Aside, Osinbajo said the groundbreaking of Lagos-Ibadan rail project marked the beginning of the federal government’s plan “to move speedily to improve links between Lagos which is the national economic nerve centre and major ports to other state capitals and towns across the federation.” In the modern world, he said, that was the way to go if people must transit freely and goods transported without let or hindrance. Similarly, the acting President noted that the ground breaking graphically “reflects the plans of the federal government to build a globally competitive economy with first grade infrastructure.” He, therefore, acknowledged the critical role of infrastructure, which he said, explained the reason railway was strategically integrated into in the Economic Recovery and Growth Plan the federal government unveiled last week. So, he said, rail development is strategic to rescuing Nigeria from economic recession. He added that it was underscored in the last two fiscal regimes. For this reason, Osinbajo said the federal government “has made provisions for matching funds in the 2016 budget to complement the concessionary loans taken from China.” He, thus, said China and Exim Bank of China “have always proved to be our reliable partners.” Undoubtedly, he said, the rail development means a lot for the Buhari administration. For this purpose, the acting President disclosed that negotiation on the Kaduna-Kano of portion of the rail project “has now been completed and this phase is next in line.” Besides the Lagos-Kano rail project, Osinbajo disclosed that the federal government had already appropriated the Lagos-Calabar railway under the 2017 budget.” Osinbajo said it was not just that the LagosCalabar railway project had been incorporated under the current fiscal regime. He added that the federal government “has equally provided its own for funding the coastal railway. We expect that negotiations on the foreign component of

the funding will be finalised in the next three months,” after which he said, the Lagos-Calabar railway project would come on stream. Economic benefits From every indication, Osinbajo said the country’s national railway project “is of great economic value.” Definitely, the acting President explained its centrality to the Economic Recovery and Growth Plan, which he said, had been adopted to rescue Nigeria from economic meltdown. Reasons for prioritising the national railway projects as key to the rescue plan are not far-fetched. As Osinbajo said, the rail development can help create jobs massively and facilitate the movement of goods and people faster than expected. Osinbajo, thus, noted that an active and vibrant railway system “confers many benefits on the country and our ultimate goal is to restore a railway-using culture for both commercial and personal transportation.” Of these benefits, first, Osinbajo said the national rail project could help create up to 500,000 direct and indirect jobs. If completed, it was said, Lagos-Ibadan

The South-west states are excited about this project because it would further open up the economy of the region and facilitate regional integration and growth. The agricultural sector will receive the long awaited boost because the rail line will be a faster and more convenient means of transporting farm produce from the hinterland to the city, thereby increasing the economies

corridor alone could create at least 250,000 jobs. Aside creating 500,000 jobs, the acting President cited its potentials “to facilitate the movement of over 3.2 million tonnes of cargo per annum.” As a result, he said, “it would reduce the burden on national highways; preserve our road networks and increase the lifespan of our roads.” Also, he said, “it will help reduce freight cost, the railway network will support efforts to diversify the economy and enhance our export potential.” In the past, he reflected, several of Nigerians cities were known as railway towns. In the same way, according to him, the federal government expects to boost economic activities along the railway lines that will eventually cut across the entire country. To achieve these objectives, he said the federal government had completed visibility studies for up to 13 routes, which he said, would be developed for this purpose. The acting President noted that the routes “have already been identified for connecting state capitals and major commercials centres to the rail network. We should begin to see significant activities in this regard very shortly.” He emphasise the need to have viable selfsustaining and self-improving railway service, which he said, should not be dependent on government funding that might not always be available. He proposed a model, which he said, could be upgraded and improved over time and not left to decay due to management issues or lack of attention. He said this proposal explained why the federal government supported the replacement of the 1955 Railway Act with a legal framework, which according to him, had opened railway projects in Nigeria for greater private sector participation. For Ambode, a direct consequence of the rail project will be productive time man often wasted on the roads due to gridlock and bad roads due to heavy duty vehicles. When completed, the governor said, the federal government would spend less resource on road and maintenance repair because of the rail presence. For the South-west, he said, the project will tremendously boost regional integration and growth. He, thus, noted that the South-west states “are excited about this project because it would further open up the economy of the region and facilitate regional integration and growth. The

agricultural sector will receive the long awaited boost because the rail line will be a faster and more convenient means of transporting farm produce from the hinterland to the city, thereby increasing the economies.” Encouraging states Even though strategies for ensuring to run efficient modern and reliable train services have been mapped out, Ambode believed the federal government “has a duty to state governments to build light rail or metro line.” Under the administration of Asiwaju Bola Ahmed Tinubu, Lagos State has indentified seven routes, though has been having difficulties with the federal government on their implementation. Ambode cited the on-going construction of Light Rail (Blue Line), which he said, was at advanced stage. He, also, cited the proposed red line, which he said the federal government just approved the right of way after several years. He mentioned the plan to construct a Marina-Ikoyi-Lekki Monorail on which the state had partnered the Japanese International Cooperation Agency (JICA). Obviously, Ambode admitted that the national railway project “marks a new dawn in the transformation of our transport infrastructure.” However, he sought cooperation and understanding of the federal government, especially the Nigeria Railway Corporation when the state rolls out its Red Line Project, which he said, would be constructed parallel to the LagosAbeokuta-Ibadan railway. With federal cooperation, he said the state’s proposed Red Line Project “will breathe a new lease of life into our roads and highways. A direct benefit of this project is that containers and goods from the Apapa Port will now be transported by rail thereby reducing the number of trailers and other heavy duty vehicles on our roads. It will end gridlock; ease burden on roads and reduce deplorable roads.” As the federal government facilitates linking states and cities together, he canvassed the need for monorail and light rail, which he said, would serve public interest in a metropolis like Lagos State. He, therefore, emphasised the need for the federal government and all its ministries, departments and agencies (MDAs) “to be enablers rather than constituting cogs in the wheel of states that want to make progress.”

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L-R: Minister of Mines and Steel Development, Dr Kayode Fayemi; Juju Maestro, King Sunny Ade; and Minister of State for Mines and Steel Development, Hon Abubakar Bawa Bwari; during King Sunny Adeâ&#x20AC;&#x2122;s visit to the Ministerâ&#x20AC;&#x2122;s oďŹ&#x192;ce in Abuja....recently

R-L: President, Nigerian Employees Consultative Association (NECA), Mr. Larry Ettah and Director General, Olusegun Oshinowo, during the brieďŹ ng on the Nigerian Economy and Policy Environment in Lagos...recently Yomi Akinyele YOMI AKINYELE

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L-R Speaker, Ogun State House of Assembly, Rt. Hon. Suraj Adekunbi, husband of the deceased, Dr. Samuel Ayinde Ibikunle and the Ogun State Governor, Senator Ibikunle Amosun at the funeral service in honour of Chief (Mrs.) Julianah Adebisi Ibikunle at the Church of Nigeria, (Anglican Communion) Diocese of Yewa...recently

L-R; Health Reporter, Scroll In, India, Priyanka Vora; Program Assistant, International Centre For Journalists (ICFJ), Washington DC, Devin Chavira; Education Reporter, Nation Television, Kenya, Sharon Barangâ&#x20AC;&#x2122;a; Senior Programme Director, ICFJ, Washington DC, Johanna Carillo; and Health Reporter, THISDAY Newspapers, Martins IďŹ jeh, during the presentation of awards to the winners of the Early Childhood Development Reporting Global Contest (Priyanka, Sharon and Martins) in Washington DC...recently

L-R; Executive Director , CMC Connect Limited, Mr. Raheem Olabode receiving the certiďŹ cate of Fellowship of The Institute of Management Consultants (IMC) from Executive Member Lagos State Chapter of the Institute, Dr. Elijah Ezendu, during the conferment of Fellowship CertiďŹ cate ceremony in Lagos...recently

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Quick Takes Sulaiman Joins Flour Mills Board

MEDIA PARLEY ON THE ECONOMY

L–R: Member, Media and Publicity Subcommittee, Nigerian Economic Summit Group (NESG) and publisher of Businessday, Frank Aigbogun; Chairman, NESG, Kyari Bukar; Chairman, Media and Publicity SubCommittee, NESG, Udeme Ufot and Chief Executive Oﬃcer, NESG, Laoye Jaiyeola at the NESG Media Interactive Session in Lagos …recently

Nigeria May Lose N400bn to Closure of Abuja Airport Chinedu Eze Nigerian may lose as much as $1 billion (about N400 billion) owing to the temporary closure of the Nnamdi Azikiwe Airport, Abuja. A former Minister of Aviation, Babatunde Omotoba, who made the projection said that the economy would lose about N400 billion with the shutdown of the airport as many businesses have also shut down while some foreign airlines have cancelled their flights to Abuja during the period. Sources at the airport also corroborated Omotoba’s statement, pointing out that many businesses are expected to wound down or render skeletal services, while services that depend on daily transit of air passengers

ECONOMY to the Federal Capital would close shop. Omotoba said: “This movement is costing us so much. Some foreign airlines have cancelled their flights to Abuja during the period. Many businesses have also shut down. I have come down to Lagos and I want to stay here for two weeks, at least. When I am going I will go by road. A lot of people have put off their trips this period and that will have huge impacts on the economy” Omotoba said: “An economist will look at what Abuja contributes to the GDP in a year and look at what one and half months will contribute; because many economic activities will be paralysed during this time. Nigerian airlines are going to

count their losses. The number of travellers will reduce. This will have negative impact on our economy. Many who are in Abuja will be there for the six weeks; so the number of travellers will reduce. This will cost the economy hundreds of billions because a section of the economy will be shut down during this period.” About three years ago it was projected that Nigeria’s Gross Domestic Product (GDP) was $543 billion and it was also projected that 60 percent of this funds come from Lagos while the other cities generate 40 percent and Abuja and Port Harcourt generate high percentage of the remaining funds. Omotoba added: “Let us assume that a lot of businesses will not operate fully because

of the loss of production, so Abuja will lose about $1 billion during the period, which is about N400 billion. In six weeks, our economy will suffer because you should also know that some of the businesses done in Lagos are also connected to Abuja, so there will be effect of this in Lagos, in Ibadan and other places. So the closure will slow down everything. This will also shut down the routing of most flights from Abuja to other destinations.” He also noted that there would be additional costs “because people are also worried about kidnapping. It is because of kidnapping that many entrepreneurs said they would shut down their businesses. So it will have major, Continued on page 24

Inflation Projected to Decline in February Obinna Chima Analysts have predicted that the Consumer Price Index (CPI) for February 2017, expected to be released this week, would decline for the first time in about 16 months. Headline inflation spiked to 18.72 per cent in January as a result of an unexpected jump in food inflation and the impact of record high diesel price at N275 per litre. In January, the core and monthly indexes declined contrary to the direction of headline inflation. The National Bureau of Statistics (NBS) is scheduled to release the inflation figure for February 2017 on Wednesday, based on the data release calendar on the

ECONOMY bureau’s website. To this end, the Economic Intelligence Group of Access Bank Plc anticipated that inflation rate (year-on-year) would moderate downwards to 18.1 per cent in February 2017, from the 18.7 per cent posted in January 2017. As usual, the bank’s analysts said in their methodology, they adopted an autoregressive analysis of past prices, while they recognised all the assumptions used by the NBS in its computation of monthly composite consumer price index (CCPI). “We forecast inflation rate (year-on-year) to decline to 18.1 per cent from 18.7 per cent reached in January 2017.

The expected dip in the yearon-year inflation reading will be largely driven by base effects. Base effects refer to the influence of the consumer price changes of the corresponding month of the previous year on the changes in the annual inflation of the current year’s respective month. “From our investigation, there was an increase of 3.8 points in the consumer price index (CPI) to 219.5 points in February 2017 from January, a slower increase compared to the rise in the corresponding period of 2016 when the CPI rose by 4.19 points to 185.89 points in February 2016 from the January 2016 number. “Largely, the slow rate of change forecasted for February 2017 is due to the higher CPI

base witnessed in 2016. Recall, there was an FX depreciation of about 11.7% at the unofficial market in February 2016. The pass-through effect of this depreciation impacted market prices and consequently CPI,” they predicted. Further, a report by the Access Bank team noted that the base effect-led decline in inflation rate was expected to mask the moderate price increases of goods and services during the review period. They noted that the core-sub index which had declined for two consecutive months was also expected to continue on its downward trajectory as prices under groups such as communication, restaurants

The Board of Flour Mills of Nigeria Plc (FMN) has announced the appointment of Mrs. Salamatu Hussaini Suleiman as an Independent non-executivedirectorofthecompanywitheffectfrom8thMarch2017. Suleiman, who is presently an Independent non-executive director of Stanbic IBTC Holdings Plc, is an experienced professional corporate business development and an amazon in the Nigerian political sphere widely known for her advocacy for the education of girl-child and woman development. Suleiman obtained an LLB (Hons) degree from Ahmadu Bello University, Zaria, Kaduna State, Nigeria in 1981 as well as an LLM (with Distinction in “Multinational Enterprise and the Law”) from the London School of Economics & Political Science in 1987. She commenced her professional career as a State Counsel with the Ministry of Justice Sokoto in 1981 and thereafter worked with Continental Merchant Bank from 1988 to 1996 and NAL Merchant Bank from 1996 to 1997. She also worked as Secretary/Legal Adviser with the Aluminum Smelter Company of Nigeria from 1997 to 2001 and later became the Secretary Director of Legal Services at the Securities & Exchange Commission between 2001 and 2008. Also, Suleiman was appointed Minister ofWomen Affairs and Social Development, Federal Republic of Nigeria in December 2008 and went on to become the Minister of State, Foreign Affairs Ministry, in 2010. In February 2012, Mrs. Suleiman was appointed Commissioner, Political Affairs, Peace and Security, ECOWAS Commission and completed her tenure at the end of April 2016.

AMSCO to Hold Conference in Nigeria

The African Management Service Company (AMSCO), a pan African organisation that provides integrated human capital development solutions to private and public businesses is set to hold its annual Business Transforming Africa Conference (#BTAC) this month in Nigeria. Speaking recently on the upcoming event the Head of Operations, Anglophone West Africa, Mrs. Eno Edet said the conference titled: “Skill for Economic Growth,” is aimed at supporting Businesses in Nigeria with skilling solutions that enhance organisational growth. As a result of this, the conference is expected to be attended by senior executives, and managers who are responsible for effective human resources and value chain within their respective organisations. The conference will focus on the following: Homecoming revolution - A look at the Africa Diaspora, Employee Training; Cost or Investment Assessing ROI of Training and the Changing Role of Human Resources in Business from Service Provider to Strategic Partner. She reiterated the commitment of AMSCO to bring on board experts and professionals in the field with wealth of experience who are capable of effectively and efficiently handling the subject matter. The conference is holding in six Countries in the Sub-Saharan region, in the following order; Zambia, Kenya,Tanzania, Nigeria, Ghana, Cameroon and Mozambique. The conference is expected to attract professionals in both private and public sectors.

MoneyGram Promotes Compliance

MoneyGram recently organised a series of regional compliance conferences with the second meeting which took place between March 6th and 7th in Lagos. The initiative was a part of the company’s commitment to develop best-in-class compliance solutions and protect customers using its money transfer services around the globe, it explained in a statement. “MoneyGram continues to advance its leadership in global compliance and consumer fraud protection by implementing market-leading systems, technology and processes, and also by agents’ training around theworld,”MoneyGram’sheadofAnglophoneAfrica,KemiOkusanyasaid. “At MoneyGram we believe that compliance is everyone’s responsibility, and our agents serve as the ﬁrst line of defense. With the support of our agents MoneyGram’s goal of building a world-class compliance and anti-fraud platform is made easier.” MoneyGram regional compliance conference in Lagos was hosted by MoneyGram’s Chief Compliance Oﬃcer, Andres Villareal and Okusanya. Among attendees were representatives of Nigerian Economic Financial Crime Commission, as well as and key agents from West Africa region.

“The economic environment has been challenging for all businesses and we are no exception” Managing Director/Chief Executive Oﬃcer, Guinness Nigeria Plc,

Peter Ndegwa Continued on page 24

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

NEWS

NIGERIA MAY LOSE N400BN TO CLOSURE OF ABUJA AIRPORT

INTELS Acquires Largest Crane in Africa

major impact on our economy.” The airport was shut down in the midnight of Wednesday, March 8, 2017 for the rehabilitation of its runway, which will take about for six weeks. The Kaduna airport was designated as alternative to the Abuja airport. Many international airlines declined to operate from Kaduna airport citing security concerns. They have closed their Abuja offices, cancelling the flights of hundreds of passengers. Travel expert, Ikechi Uko said that the economy would definitely experience contraction due to the closure of the Abuja airport, pointing out that many hotels would lose customers and businesses that deal with air travel while passenger movement would be drastically affected, while it would be a boom for road transporters.

Chika Amanze-Nwachuku

INFLATION PROJECTED TO DECLINE IN FEBRUARY

and hotels are expected to remain muted or ease marginally. Also, analysts at the Financial Derivatives Company Limited predicted that headline inflation for February would decline. Their own forecast was based on a regression model and empirical analysis. “Most anecdotal proxies also seem to suggest that the trend of a slowing pace in inflation is consistent with the outcome of our regression. The fundamental reason for this decline is the impact of significant developments in February 2016 (base year effects). “In February 2016, distortions in the forex market led to a significant jump in CPI, beginning a trend that lasted for several months. February 2017 has been relatively stable compared to last year; hence we expect a moderation in the increase in CPI from 4.18 in 2016 to 2.0 in 2017. “This means that a new trend of declining inflation is on the horizon. This new trend is observed amongst a number of Nigeria’s sub-Saharan African peers like Angola and Malawi. It is noteworthy that the anticipated decline in the February numbers does not mean that prices will decline,” the FDC added.

Group Business Editor

Chika Amanze-Nwachuku AgriBusiness/Industry Editor

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 (Maritime) Ejiofor Alike (Energy) James Emejo (Nation’s Capital) Obinna Chima (Money Mkt) Reporters

Nume Ekeghe (Money Market) Nosa Alekhuogie (AgriBusiness)

INTELS Nigeria Limited has acquired a 600 tonnes Liebherr crane worth USD6 million (N1.83 billion). The acquisition of the crane, the largest at any port facility in Africa was in line with the company’s commitment to making Nigeria the hub of Oil and Gas logistics services in Africa. The crane has since been deployed at the Onne Oil and Gas Free Zone. Conducting journalists round the sprawling Onne Oil and Gas Free Trade Zone on Thursday, Head, Administration and General Services at INTELS Nigeria Limited, Mr. Chibuisi Onyebueke, said the crane, which is sitting on 104 tyres is capable of lifting heavy cargoes of about 208 tonnes with a 17-metre boom outreach. “The crane is characterised by rapid and efficient handling of loads up to 208 tonnes. With its extensive boom outreach, the LHM 600 is the ideal cargo handling solution for the type of very large and ultra large ships operating across the world today,” he said. According to him, the huge crane, fondly called ‘Big Mama’ at the port, was acquired in addition to several other existing cargo handling equipment at the Onne Federal Lighter Terminal and Federal Ocean Terminal. He said the crane is being operated by Nigerians who had been trained abroad on its handling and maintenance. Onyebueke said INTELS, working with relevant agencies of the federal government, has established an Oil and Gas Service Centre at the Onne Oil

and Gas Free Zone to serve as a single loading location for the Oil and Gas industry in sub-Sahara Africa. The Oil and Gas Service Centre, he noted, has improved the efficiency of personnel in the industry while saving downtime on offshore rigs and providing quick response in case of emergency. He explained further: “It also provides the opportunity for better physical monitoring and follow up of equipment in stock, modularisation of areas and better control of supply vessels for the Oil and Gas industry,” even as he said INTELS tailored its services, facilities and operations to support activities in the Oil and Gas industry. “The highly technical facilities

required to support Oil and Gas related operations also require special equipment and highly skilled manpower to manage such operations which therefore led to higher level of investments by INTELS relative to competitors,” he said. Furthermore, he said that INTELS Nigeria Limited remains fully committed to maximising, in a sustainable manner, the use of Nigerian human resources, materials, equipment and services in its operations without compromising the company’s values, quality, health, safety and environment standards. “As a Nigerian company, INTELS is committed to maximising the participation of Nigerian businesses and local contractors in its operations in compliance

with the Nigerian Oil & Gas Industry Content Development Act 2010,” he said. The signing into law of the Nigerian Oil & Gas Industry Content Development Act otherwise referred to as the “Local Content Act” in 2010, he said, was in line with the expectations of INTELS, “as the issue of Nigerian content has been central to the company’s development strategy.” He said the company has actively supported its host communities through supporting sustainable projects and comprehensive corporate social responsibility programmes. INTELS, he added, has committed billions of naira to road construction, provision of street lights, ultra-modern

markets/lock-up shops and ICT centres in various parts of the Niger Delta. Other projects undertaken by INTELS include school renovation; provision of civic centres, youth secretariats, jetty restoration, women empowerment projects and medical outreach. INTELS Nigeria Limited provides comprehensive integrated logistics services to the Oil and Gas Industry. It operates in major government-owned port facilities and Free Zones in Nigeria, among others. At present, INTELS is leading the Nigerian Oil and Gas logistics support industry as a core logistics service provider through its skill, efficiency, integrity and quality of service.

TOUR OF ONNE OGFZ

L-R: Head, Administration and General Services, Mr. Chibuisi Onyebueke; Head Government and Public Aﬀairs, Mr. David Alagoa and General Manager Legal Services, Mr. Mike Epelle, all of Intels Nigeria Limited during a media tour of the Onne Oil and Gas Free Zone in Onne, Rivers State …recently

Shippers Council Tasks Abia Govt, ALTON Cautions against Exemption of Telecoms from Concessionaire on Isiala Ngwa Priority FX Allocation Dry Port Project Eromosele Abiodun The Nigerian Shippers’ Council (NSC) has called on the Abia State Government to give full support for the successful take-off of the Inland Container Depot (ICD) project in the state. Executive Secretary of the NSC, Hassan Bello made the call during a visit to the state governor, Mr. Okezie Ikpeazu in Aba. He said the state government was expected to provide necessary infrastructure to boost operations of the dry port. Explaining that officials of the council were in the state to seek the governor’s formal endorsement of the project, Bello said the state government, apart from contributing its 20 per cent equity, was also expected to construct a dual carriage road, among other infrastructures that will help in the effective functioning of the dry port. He explained that the concept of the ICD project was to ease transportation of goods from far distances by bringing port services closer to the people. He disclosed that when fully operational, the Isiala Ngwa ICD will bring about a lot of economic benefits, including creating about 3,000 jobs in the state. Describing Abia state as an industrial state, Bello said the ICD was necessary for the purpose of export and import business.

He noted that Isiala Ngwa ICD was one of the first of the six dry ports approved by the federal government, but has become the last to start construction at the site. Stating that the council wants the project to succeed, the NSC boss urged the state government to use his good offices to give necessary support so that by December this year, the project would have become ready. He disclosed that once the federal government was satisfied with the level of work at the site, it will accord the ICD the Port of Origin status so that importers and exporters can use the port in all their international transactions. Such status, Bello explained, will enable importers outside the country to use the dry port as the ‘Port of Destination’ instead of using other seaports that are far away from the state. Bello also urged the concessionaire, the East Gate Limited to make serious efforts to move to site without further delay. He warned that if after 18 months the company did not show serious commitment on the development of the project, the council would be forced to impose some sanction on the concessionaire. In his response, Ikpeazu, while commending Bello for the efforts of his council in the ICD project and expertise demonstrated in the deep knowledge of the industry, assured that the state government was ready to give full support for the project to succeed.

Emma Okonji The Association of Licensed Telecoms Operators of Nigeria (ALTON), the umbrella body for all licensed telecoms operators in the country has raised the alarm of an impending danger over the subsisting Foreign Exchange (FX) regime on telecoms. The policy exempts telecoms equipment and services from items to be accorded priority in the allocation of FX by banks. Chairman of ALTON, Gbenga Adebayo, who drew the attention of the Nigerian Communications Commission (NCC) to the exemption, said “the situation is adversely impacting on the telecoms industry in several ways, and could lead to the grounding of its operations if not properly addressed.” In a statement issued at the weekend, Adebayo said the exemption had made it extremely difficult for telecoms operators to purchase foreign exchange from interbank market to fulfill obligations to equipment suppliers and

foreign vendors. Citing the current situation, which Etisalat is facing with its bank creditors that are threatening to take over its operations for defaulting in the refinancing of its N377 billion loan, Adebayo said the exemption of telecommunications equipment and services from items to be accorded priority in the allocation of FX by the banks, has put telecoms operators at a very tight corner in accessing dollars to pay vendors for equipment supply, as well as in servicing loans obtained for network expansion and upgrade. “NCC should therefore fast track the ongoing engagement with the Central Bank of Nigeria to include telecommunications equipment and invisibles among the list of items/sectors to be allocated from the 60 per cent FX availability by the banks regardless of source of inflows, in order to ensure the continued provision of world class telecoms services to the consumers,” Adebayo said

in the statement. According to the statement, in November 2014, the CBN excluded telecommunications equipment and invisibles from the Retail Dutch Auction System (RDAS), where the exchange rate was N155/$, a situation that forced telecoms operators to purchase FX from interbank at the rate of N199/$. The CBN subsequently introduced a floating FX regime at the interbank market and cleared three months backlogs at N280/$ and this technically moved the exchange rate from N199/$ to N280 levels. The statement further said that CBN subsequently issued another circular mandating banks effective 22 August 2016 to sell 60 per cent of all FX availability irrespective of source of inflows to the manufacturing sector and the balance 40 per cent to other sectors. This directive, Adebayo said, tactically closed FX inflows from telecoms operators.

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

MARKET REPORT

Equities Market Rebounds on Renewed Optimism Goddy Egene and Nosa Alekhuogie

bringing the total dividend to 200 kobo per share. The bank has already paid an interim dividend of 25 kobo. Performance across sectors was mixed with indices appreciated while three declined. The NSE Industrial Goods Index advanced the most, growing by 2.4 per cent boosted by Dangote Cement(+5.0 per cent). Similarly, the NSE Insurance Index appreciated 0.2 per cent. Conversely, the NSE Consumer Goods Index led sector decliners, shedding 2.0 per cent on account of profit taking in Nigerian Breweries ( -5.0 per cent). Also, the NSE Banking and Oil & Gas Indices went down by 1.3 per cent and 0.3 per cent respectively. The bulls extended their hold on the market for the second day to close on a positive note. Specifically, the NSE ASI appreciated by 0.27 per cent to close at 25,238.01. Gains by Unilever, Forte Oil, Dangote Cement, Nestle, and Zenith Bank propelled the growth recorded for the last day of the week. The total value of stocks traded on Friday was N2.31 billion, up by 5.81 per cent from N2.19 billion recorded the previous day. The total volume of stocks traded was 245.38 million 3,260 deals. The three actively traded sectors were: Financial Services (229.72 million), Consumer Goods (5.58 million), and Conglomerates (4.26 million), while three most actively traded stocks were: Zenith Bank (87.18mn), Diamond Bank (38.58mn) and FBN Holdings (30.10mn).

It was a positive week at the stock market as the Nigerian Stock Exchange (NSE) All-Share Index (ASI) rose by 0.90 per cent to close at 25,238.10. Similarly, market capitalisation appreciated with the same margin to be at N8.734 trillion. The growth compares with a decline of 0.94 per cent recorded the preceding week. The market had shed value two weeks ago amidst corporate results declared by some companies for the year ended December 31, 2016. Zenith Bank Plc, Transcorp Hotels Plc, Dangote Cement Plc and Nestle Nigeria Plc reported their audited results, announcing various dividends the previous week. Despite the dividends, the market had closed in the bears’ territory. However, the trend changed last week as more companies announced their results, recommending higher dividends. This development, market analyst said raised investors’ optimism for more positive results. Consequently, the NSE ASI closed 0.90 per cent higher. Daily Market Performance The stock market closed last week on a bearish note despite attractive yields declared by some companies in their financial results for the year ended December 31, 2016. Zenith Bank Plc, Transcorp Hotels Plc, and Dangote Cement Plc declared improved results that led to recommendation of dividends by their boards. Although Nestle Nigeria Plc posted a decline in profit for the year, it still recommended a dividend for the shareholders. However, many investors were not moved by the development and maintained their weak appetite towards the equities market. As a result, the market closed weaker. Out of the five days the market declined in three days and appreciated in twAo days. Specifically, the Nigerian Stock Exchange (NSE) All-Share Index pared by 0.94 per cent to close at 25,012.08, while market capitalisation ended at N8.656 trillion. However, all other Indices finished higher during the week with the exception of the NSE Premium and NSE Industrial Goods Indices that depreciated by 4.47 per cent and 2.33 per cent respectively while the ASEM Index closed flat. Daily Market performance The equity market started the week on a negative note with the NSE ASI depreciated by 1.72 per cent to close at 24,581.99, following depreciation recorded in the share prices of Access Bank, Dangote Cement, Unilever, Guinness and FBN Holdings among others. The year-to-date (YTD) decline worsened to 8.5 per cent on Monday. Performance across sectors was mixed as three indices advanced while two declined. The NSE Consumer Goods Idex appreciated the most, rising by 3.7 per cent as Nestle Nigeria and Nigerian Breweries rising by 10 per cent and 0.9 per cent respectively to bolster the index. In the same vein, the NSE Oil & Gas Index gained 3.3 per cent on account of appreciation by Forte Oil Plc(+5.1 per cent) while the NSE Insurance Index grew by 0.4 per cent. On the negative side, the NSE Industrial Goods Index fell by 5.9 per cent as investors off-load Dangote Cement, which shed 7.0 per cent. The stock had depreciated 11.7 since its 2016 financial results were published the previous week. The NSE Banking Index slid 0.3 per cent despite an impressive 2016 full year results submitted on Monday. The equity fell by 3.7 per cent. The bulls surfaced on Tuesday to take over control of the market lifted by Dangote Cement Plc. The NSE ASI rose by 2.28 per cent. In all, the bullish

trend was driven by appreciation in the share price of Transcorp (+7.14 per cent), Guinness (+4.97 per cent) Dangote Cement (+4.92 per cent), Paintcom (+4.84 per cent) and Dangote Flour(+4.11). The value of equities traded increased by 94.59 per cent to N2.595 billion, while volume of trading also rose by 78.7 per cent to 215 million in 3,689 deals. The five stocks that drove activities in volume terms included: Access Bank (43.7 million), Zenith Bank (42.6 million), UBA (18.9 million), FBN Holdings (18.2 million), UCAP (13.4 million) and NEM (10.4 million). After recording a positive performance on Tuesday, the market was depressed on Wednesday by a number of highly capitalised stocks. Consequently, the NSE ASI fell by 0.57 per cent to close at 24,986.02. The decline recorded in the share prices of GTBank, Dangote Cement, Lafarge Africa, FBN Holdings and Zenith Bank were mainly responsible for the loss. In terms of sectoral performance, the NSE Consumer Goods Index was the only gainer, improving by 3.0 per cent following price appreciation in Nigerian Breweries(+5.0 per cent) and Guinness (+3.9 per cent). The NSE Industrial Goods Index was the biggest decliner, falling 3.5 per cent as sell offs in Lafarge Africa Plc (-5.0 per cent) and Dangote Cement Plc (-2.8 per cent) constituted a drag on the index. Similarly, the NSE Oil & Gas Index shed 2.5 per cent following sell pressure on Seplat (-5.0 per cent) and Forte (-5.0 per cent) just as the NSE Banking Index lost 0.1 per cent. Again, the bulls returned on Thursday to take control of the market, making the NSE ASI to close 0.74 per cent higher. There were 16 gainers and nine losers on Thursday. Nestle Nigeria and Dangote Cement Plc led the gainers with 5.0 apeice to close at N725.55 and N159.75. Medview Airlines Plc followed with

4.9 per cent, while NEM Insurance Plc appreciated by (4.82 per cent. Honeywell Flour Mills chalked up 4.3 per cent. On the negative side, Nigerian Breweries Plc led the price losers with 5.00 per cent to close at N130.36. Also, Guaranty Trust Bank, which released its 2016 the previous day, fell by 4.8 per cent. GTBank had on Wednesday reported gross earnings of N414.62 billion for the year ended December 31, 2016, showing an increase of 37 per cent

TOP TEN BROKERS(BY VALUE)

from N301.85 billion in 2015. Profit before tax stood at N165.14billion, representing a growth of 37 per cent over N120.69billion recorded in 2015, while profit after tax rose from N99.436 billion in 2015 to N132 billion. The bank grew its loan book grew by 16 per cent from N1.373trillion in 2015 to N1.590 trillion in 2016, just as total deposits grew by 29 per cent to N2.111trillion from N1.637trillion in 2015. Based on the results, the bank has proposed final dividend of 175 kobo,

AS AT LAST FRIDAY

BROKER

VALUE % VALUE

STANBIC IBTC STOCKBROKERS LIMITED

4,043,408,558.36

16.13

CSL STOCKBROKERS LIMITED

2,633,396,616.16

10.50

RENCAP SECURITIES (NIG) LIMITED A.R.MSECURITIESLIMITED-BRD

2,389,159,747.96 2,321,654,184.53

9.53 9.26

CHAPEL HILL DENHAM SECURITIES LTD - BRD

2,092,120,177.73

8.34

FBN SECURITIES LIMITED

1,156,583,556.37

4.61

743,587,460.64

2.97

PRIMERA AFRICA SECURITIES LTD

545,778,783.54

2.18

INVESTMENTONESTOCKBROKERSINTLLTD-BRD

526,248,578.86

2.10

519,938,953.20 16,971,876,617.35

2.07 67.68

PIVOT CAPITAL LIMITED

CARDINALSTONE SECURITIES LIMITED

TOP TEN BROKERS

(BY VOLUME)

BROKER FBN SECURITIES LIMITED

AS LAST FRIDAY VOLUME

%VOLUME

193,640,997

9.46

A.R.M SECURITIES LIMITED - BRD

159,534,939

7.79

PRIMERA AFRICA SECURITIES LTD

151,393,300

7.40

STANBIC IBTC STOCKBROKERS LIMITED RENCAP SECURITIES (NIG) LIMITED

148,082,025 127,853,645

7.23 6.25

124,911,323

6.10

CSL STOCKBROKERS LIMITED INVESTMENTONESTOCKBROKERSINTLLTD-BRD

63,401,381

3.10

CHAPEL HILL DENHAM SECURITIES LTD - BRD

62,140,681

3.04

CORDROS SECURITIES LIMITED - BRD CENTRE POINT INVESTMENTS LIMITED - BRD

54,187,145

2.65

53,805,009

2.63

1,138,950,445

55.64

Market Turnover In all, investors traded 1.024 billion shares worth N12.464 billion in 16,400 deals last week, compared with 1.387 billion shares valued at N13.726 billion that exchanged hands the previous week in 5,422 deals. As usual, the Financial Services Industry remained the most activity leading with 850.758 million shares valued at N7.083 billion traded in 10,358 deals. The Consumer Goods Industry followed with 78.421 million shares worth N3.9 billion in 2,545 deals, while the third place was occupied by Conglomerates Industry with a turnover of 46.196 million shares worth N70.668 million in 536 deals. Also traded during the week were a total of 1,020 units of Exchange Traded Products (ETPs) valued at N51,316.00 executed in four deals. A total of 6,686 units of Federal Government Bonds valued at N5.583 million were traded this week in 7 deals, compared with a total of 375 units valued at N447,055.02 transacted the previous week in five deals. Price Gainers and Losers Meanwhile, 24 equities appreciated last week, while 31 depreciated. Nestle Nigeria led the price gainers chalking up 16.9 per cent, trailed by Unilever Nigeria Plc with 11.4 per cent. N.E.M Insurance Plc appreciated by 9.6 per cent, just as Honeywell Flour Mills Plc ended 5.0 per cent higher. Other top price gainers included: Continental Reinsurance Plc (4.9 per cent); Paints and Coatings Manufacturers Plc(4.8 per cent); Newrest ASL (4.6 per cent); Transcorp Plc (4.3 per cent); Champion Breweries Plc (4.2 per cent) and Julius Berger Nigeria Plc (4.1 per cent). Conversely, African Prudential Registrars Plc led the price losers with 15.5 per cent. United Capital Plc trailed with 15.1 per cent. Nigerian Aviation Handling Company Plc and Seven-Up Bottling Company Plc shed 12 per cent and 9.4 per cent in that order. Livestock Feeds Plc went down by 9.4 per cent, just as Eterna Plc and Unity Bank Plc depreciated by 9.4 per cent and 8.2 per cent respectively. Other price losers were Transcorp Hotels Plc (8.0 per cent); Ashaka Cement Plc (7.9 per cent) and Lafarge Africa Plc (6.9 per cent).

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

INSIDE BROAD STREET Secretary /Director (Legal) of the NDIC, Mr. Belema Taribo said these in his submission at the public hearing on four critical economic bills, by the House of Representatives Committee on Banking and Currency last week. He however did not disclose the worth of the non-performing insider loans. The committee is chaired by Hon. Jones Chukwudi Onyereri. Taribo was making a submission on the bill “a bill for an Act to Amend the Banks and other Financial Institutions Act, to among other things, establish a Deposit Fund at the CBN, for Standardisation and Management of Dormant Accounts, to conform with international best practice and eliminate the possibility of banks converting dormant accounts balances into income and to strengthen risk management and internal control processes. Taribo also advised that accounts operated by government ministries, departments and agencies should not be exempted from the legislation regarding dormancy of accounts. This, he said was necessary, due to the unscrupulous practice by heads of some of the MDAs, who secretly lodge government funds in commercial banks. Some of such accounts have become dormant for various reasons like the sudden sack of the head of the agency, or demise. MSMEs Funding The acting Managing Director, Bank of Industry (BoI), Mr. Waheed Olagunju has said the bank would sustain annual increment in Micro Small and Medium Enterprises (MSMEs) financing going forward. Already, the bank had increased disbursement to small businesses to N8 billion in 2016, representing 42 per cent increment from N5.6 billion in 2015. The BoI acting MD said the increment would ensure more Nigerians get access to finance to create opportunities for rapid development of the country.

A view of Lagos ﬁnancial district

AKINWUNMI IBRAHIM

CBN to Auction N219bn Treasury Bills Obinna Chima The Central Bank of Nigeria (CBN) is expected to auction treasury bills worth N218.8 billion this week, in line with its mandate to manage the volume of liquidity in the system. Also, this week, it is expected that money market rates would trend northwards as liquidity levels tighten in response to the scheduled treasury bills auction, the Debt Management Office’s (DMO) monthly bonds auction and the commencement of the FGN savings bonds. However, money market rates moved within a tight band at the start of the week but rose significantly by midweek as the central bank held a special foreign exchange (FX) intervention auction of $100 million. Furthermore, a report by Afrinvest West Africa showed that the Open Buy Back (OBB) and overnight rates however dropped towards the end of the week as system liquidity improved on the back of an OMO maturity of N71.6 billion which hit the system. Also, OBB and overnight rates opened the week at 15.3 per cent and 16 per cent respectively and marginally increased on Tuesday. The impact of the special FX sale on system liquidity was observed on Wednesday as OBB and overnight rates jumped to 18 per cent and 18.6 per cent. Both rates however closed flat on Friday; thus falling 2.2 per cent and 2.1 per cent week-on-week respectively. But the report showed that performance of the treasury bills market was largely bullish during the week as average treasury bills yield fell on four of five trading days. The week opened with significant buying interest in the shorter termed instruments and triggered a drop in yield, down 21 basis points to close at 18.9 per cent last Monday, but eventually settled at 18.8 per cent on Friday.

MARKET INDICATOR Forex Market The exchange rate at the interbank was relatively stable during the week as the CBN continued forex sales at that segment of the market. Consequently, the naira/dollar exchange rate closed between N305.50/$1 and N305.80/$1 at the end of the trading sessions during the week despite mild intra-day volatilities. Also, in a bid to further boost dollar liquidity, the CBN carried out Special Wholesale Intervention Forward Sales worth $100 million during the week. At the parallel market, the naira/dollar exchange rate closed at N460/$1 on Monday before depreciating to N465.00/$1 on Wednesday. The exchange rate however appreciated to N462/$1 on Thursday and remained at this level at the close of the week. According to Afrinvest, activities at the FMDQ OTC FX Futures Market remained minimal last week as total value of open contracts increased by $29.2 million week-on-week, from $3.97 billion to $3.99 billion. The April 26 2017 instrument – which commands the highest subscription at $0.87 billon – recorded the highest activity as its total value of open contracts increased $20.7 million (representing 70.9% of the total sale during the week). In the week ahead, analysts anticipated that the CBN would continue intervening with dollar sales at the interbank market while the exchange rate was projected to hover around current levels at that segment of the market. Also, they expected that the CBN’s circular mandating banks to process and meet demands for PTA & BTA within 24 hours and School fees and

Medical bills within 48 hours of application could further drive dollar demands to the official market, thereby relieving some of the pressure on the parallel market. Bond Market Review Activity level in the local bonds market picked up last week with buying interest observed particularly on longer tenored instruments – JULY 2034 and MAR 2036. As a result, yield on benchmark bonds trended southward on all trading sessions. Consequently, average yield across benchmark bonds closed the week at 16 per cent, down 0.2 per cent week-on-week. Afrinvest projected that activity level in the bonds market would further improve this week as the DMO is scheduled to auction N45 billion of the FGN JUL 2021, N35 billion of the FGN MAR 2036 and N50 billion of the FGN MAR 2027 (New issuance) instruments at its primary market auction for March. The FGN savings bonds will also be auctioned this week and they expect coupon rates to hover around similar tenored bond instruments currently trading in the market. Meanwhile, performance across the SubSaharan sovereign Eurobonds was majorly bearish last week as investors sold off across a broad range of instruments. Insider Loans The Nigeria Deposit Insurance Corporation (NDIC) last week said insider loans, which constitute a higher percentage of non- performing loans in the industry was negatively affected the sector. This is as the agency called for the enactment of legislation to prohibit insider loans, such as bank owners or directors taking loans from their own banks, except for housing and car loans, which should first be approved by the Central Bank of Nigeria (CBN). The Board

ERGP The CBN is in the process of improving the implementation of its monetary policies with the aim of achieving a market-determined exchange rate regime to build confidence and encourage foreign exchange inflows. This was contained in the 140-page “Economic Recovery and Growth Plan (ERGP) 2017-2020,” seen on the Federal Ministry of Budget and National Planning’s website. The federal government revealed the primary objective of the ERGP’s monetary policy was to encourage growth without increasing price volatility. It pointed out that price stability reduces uncertainty for households and businesses and enables them to plan. However, it noted that given the slow growth in 2016, the current challenge is how to balance price stability with growth objectives. In addition, in order to further reduce price volatility, the government said it needed to act in order to strengthen the resilience of the banking sector. According to the ERGP, net domestic credit was projected to expand significantly over the Plan period, at an average annual growth rate of 15.8 per cent, with the projected annual growth rate rising from 10.3 per cent in 2017 to 19.9 per cent in 2020. While government domestic credit was projected to fall from 14.2 per cent in 2017 to 10.7 per cent in 2020 that of the private sector will increase from 10.7 per cent in 2017 to 19.0 per cent by 2020. ERGP for Recovery The Minister of Industry, Trade and Investment, Dr. Okechukwu Enelamah last week said implementing realistically the ERGP would help get the economy on track. The minister said this during a brief interview session on CNN’s “Quest Means Business,” last week. He pointed out that the ERGP captures the essence and key priorities of the federal government for the medium term 2017-2020. “We believe if implemented, it will get the economy on track. Even the greatest critiques of Nigeria agree that what we need to do is to diversify our economy from a mono-product economy that depends on oil for most of its foreign exchange and revenue, to other sources. The key is how do you do that? This ERGP captures in essence how you do that. “Some of the highlights of the plan include the focus on agriculture, food processing and agro-businesses, which is a key contributor to our Gross Domestic Product, but one that requires more investments; focus on infrastructure, particularly energy and focus on industrialisation. We think that by implementing the strategies in that plan, we would definitely get the economy to where it ought to be,” he explained.

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

APPOINTMENT / AWARDS

RusselSmith Bags Chevron Environment and Safety Award At the recently concluded Chevron Contractor Line Management HES Forum, RusselSmith Group, a leading Integrated Oilfield Services company, received a recognition certificate in acknowledgment of projects concluded without recordable incidents over a one year period (January 2016 to December 2016) for the Nigeria/ Mid Africa Strategic Business Unit of Chevron Nigeria Limited. At the presentation of the certificate, which took place in Lagos, Chevron Nigeria Limited

lauded RusselSmith for quality and safety-focused service delivery on projects executed within the period. The event also saw other contractors being recognised for excellent service delivery. This commendation comes just after organisation’s recent celebration of the attainment of 3million man-hours with zero LTI in 2016. It reaffi f rms its commitment to excellent service delivery as an ISO 9001:2008 certified Integrated Oilfield Service Solutions provider incorporated to serve

the needs of the global Oil and Gas Exploration and Production Industry. In over a decade of its operations, RusselSmith is believed to have blazed a trail as a leader in innovation and quality in the oilfield services sector, with the introduction of several new technologies and the attainment of important milestones. In addition to Chevron Nigeria Limited, RusselSmith’s customers include other oil and gas giants Shell, ExxonMobil, Nigeria LNG and Total E&P.

According to the Senior Executive Vice President of RusselSmith, Kayode Adeleke, , “We are fully committed to safety and world-class service delivery standards at all times. Our mission is to promote a culture of excellence. That is our cutting-edge approach.” Adeleke also noted that the adoption of high safety standards by more Nigerian companies will ultimately improve the overall quality of service delivery and reliability in the Nigerian oil and gas industry.

CELEBRATING WOMEN OF SUBSTANCE

L-R: Head Customer Experience & Analytics of Heritage Bank Plc, Kikanwa Akpenyi; CEO, Silton African Kitchen, Anthonia Ojenagbon; Group Head, Market Intelligence & Analytics of the bank, Cynthia Erigbuem; SME Consultant, Raliat A. Oyetunde; and CEO Thistle Praxis Consulting, Mrs. Ini Abimbola, during the event organised by Heritage Bank to mark the International Women’s Day tagged: “Be Bold for Change,” in Lagos…recently

Media Perspectives Appoints New COO Within two months of his elevation to the post of the General Manager of Media Perspectives, Jude Odia, regarded as one of Nigeria’s most promising media advertising executives, has been promoted Chief Operating Offi fficer (COO) of the agency. The former General Manager has played key roles in the growth of the frontline media agency. His wealth of experience in communications planning and brand strategy has helped Media Perspectives create noteworthy campaigns for MTN, NB Plc, Samsung, Procter and Gamble, among others. With his new appointment, Odia will be overseeing the administrative activities and general management of the agency. Industry watchers are not surprised over this development; as feelers revealed that he has paid his dues in the industry having been part and parcel of the agency’s origin, growth and development. Besides, he is also believed to the best man for the job based on his reputation as an erudite strategist with core strength in brand strategy, integrated communications, planning and end-to-end accounts management. He has led and coordinated account management teams across West

Africa that implemented many successful media advertising campaigns for leading multinational clients. He has also developed winning media strategies for multinational/ local brands in Nigeria and across the West Africa markets. Odia, an associate member of the Advertising Practitioners Council of Nigeria (APCON), has a solid academic background. He bagged his B.A Honours English/ Literature from the prestigious University of Benin. In 2016, he earned his Masters of Business Administration (MBA) from the University of Bradford, UK. He is also a Lagos Business School alumnus. His professional sojourn began in 2001 as a presenter and producer with Minaj Broadcast International, now defunct. In 2003, he got his fi first agency job as a Media Executive, Research & Data Analyst at Initiative Media (now Sharemind Media). In March 2007, he was appointed as Head, Strategy & Planning at Capital Media. Barely one and half months after he joined the media agency, Odia called it quits and headed off to the banking industry. He was Group Head, Brand Management for FinBank Plc, between September 2008 and December 2010.

Winners Emerge in Lenovo Nationwide Promo As much as 39 Nigerians have emerged as winners of various prizes in the 2016 edition of the Lenovo National Promo. The campaign commenced on December 19, 2016, and culminated in an elaborate raffl f e draw which took place at Lenovo’s Lagos offi f ces on Friday, January 27. Four lucky individuals were announced as winners of star prizes of smart televisions while five more won laptops from Lenovo’s world-class range. 30 other finalists were rewarded with Lenovo Tablets and DVD players. To participate in the promo, customers were expected to purchase their Lenovo smartt phone from the recently opened Lenovo Experience Store in Ikeja, Lagos or any authorised Lenovo smartphone retail stores nationwide towards standing the chance of winning any one of the prizes. Participants in the promo were also rewarded with instant gifts including Recharge cards, Notepads, Gifts bags and much more at each point of sale during the promo. In a statement, Smartphones Business Lead for Lenovo Technologies West Africa, Mr. Manoj Rajasekharan, described the promo as a platform for Lenovo to connect as well as drive significant engagement with its Nigerian consumers.

“The Lenovo National Promo is our way of showing our appreciation to our customers for their loyalty and support; they are the major reason for our successes in the past year. The initiative also demonstrates our commitment to providing Nigerians with additional value for every smartphone purchase. We look forward to rewarding our loyal customers with more initiatives of this kind,” he said. Rajasekharan added that Lenovo would continue to leverage on its expertise in mobile technology to improve the lives of its customers. The 2017 Lenovo National Promo builds on the wide success of the 2016 edition which saw 19-year old university undergraduate, Vivian Onyemaechi emerge as winner of the grand prize of a brand new Kia Rio in the fi final draw. The initiative was designed to make the holiday season more exciting for Nigerians. The January 27 raffl ffle draw marks the conclusion of the 2016 edition of the promo and was executed in partnership with key smartphone dealers in the country. The event was witnessed by representatives of the Lagos Offi f ce of the Consumer Protection Council (CPC) and the Lagos Zonal Offi f ce of the National Lottery Regulatory Commission.

SOAN Members Re-elect Ogbeifun as President Members of the Ship Owners Association of Nigeria (SOAN) have re-elected Chairman/CEO of Starzs Group, Mr. Greg Ogbeifun as president of the association for another term of two years. Also re-elected was Mkgeorge Onyung as Vice President who defeated Alfred Okoigon with nine votes to eight. The election, which was witnessed by some offi f cials of the Nigerian Maritime Administration and Safety Agency (NIMASA) led by the Head, Maritime Safety and Seafarers Standard, Sunday Umuren also saw Eno William elected Financial Secretary/Treasurer. Speaking shortly after the election, which held in Lagos, Ogbeifun promised that the association under his watch, in the next two years will drive the collaboration with the Nigerian National Petroleum Corporation (NNPC) for the actualisation of a Nigerian crude tanker fleet. This, he said, will help create the platform to train cadets in international trade adding that the association will also provide its vessels to train cadets in collaboration with NIMASA and the Maritime Academy of Nigeria (MAN), Oron. Ogbeifun said SOAN will also engage NIMASA on the need to disburse the Cabotage vessel Financing Fund (CVFF) for indigenous shipowners’ to grow their fleet. Specifically, he said: “We are going to drive the actualisation of the crude tanker fleet vigorously for the benefit fi of our nation because that will begin to create the platform the country is looking for to train our cadets in the international trade. “NIMASA on their own cann not act on that fund; they need

people who need it for them to be able to release the fund. Almost all our members have contributed to that fund and we think they deserve to be given an opportunity to grow our fleet fl with that fund. That is going to be our number one assignment for this new executive. “We are going to continue with the cadetship scheme because without the cadets, there will be no ships and there will be no future of our maritime sector. We are going to articulate a strategy of bringing all our vessels to be available for the training of cadets and working with NIMASA and MAN Oron and other maritime institutions.” While calling for a review of the Cabotage act, Ogbeifun reiterated the need for NIMASA to help indigenous ship owners grow capacity in the industry. Ogbeifun identified lack of finance to grow their fleet and dearth of skilled and certificated seafarers as a major challenge. He added: “Most times we compete with foreign vessel owners for tenders and these people have very access to cheap fund for the tenders and when we contest against them with the type of interest rate we pay for our funds, then the playing field is not level at all. “Another challenge is the multiple taxes we are made to pay in foreign currencies. Instead of different people working on board our ships asking for different pays, we think the relevant agency can have a single window that captures all the taxes levies. The aspect of paying for these dues in dollars when we are in Nigeria is a very contentious one and we would like that reverse to make it easy for us to comply.”

OMD Emerges ‘Most Creative Agency Network’ Omnicom Media Group’s Agency OMD has been awarded the most Creative, Innovative and Effective Agency Network of the Year for the 11th consecutive time by the Gunn Report for Media. The Gunn Report for Media is the industry standard for evaluating media creativity, innovation and effectiveness. The report summarizes media agencies’ overall performance from January to December 2016 based on the results of global, regional and national Media creative award contests spanning over 40 markets in the world. Most importantly, it recognizes the vital role media agencies play in today’s highly competitive and fragmented media landscape. The rankings reflect a point system based on awards won in more than 50 annual award competitions worldwide. In addition to OMD leading the list with 632 points, PHD ( another agency within Omnicom Media Group) ranked #3, moving up 1 rank with 476 points. OMD and PHDs top ranking reflects recognition earned in 2016 by agencies in every region across its network.

Commenting on the findings, fi Isabelle Musnik, editor of the Gunn Report for Media, said: “Media agencies have become their clients’ key strategic partner. They are “creative orchestra conductors” at the intersection of technology and traditional media. The Gunn Report for Media shows that, while technology and data are fundamental to achieving results, insight, strategy and innovative ideas are essential to delivering them.” 2016 marked the year of data, mobile-only, apps, programmatic advertising and vertical video, to name a few. OMD is therefore proud to have continued to produce the most creative, innovative and effective work in the world for our clients, not only pushing the boundaries of innovation but delivering strong business results for our clients. “Our global culture cascades to local markets, with many local initiatives. We encourage our teams to produce works that deliver on objectives and help overcome Business Challenges”, says Tolu Ogunkoya, Regional Managing Director, mediaReach OMD

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

INTERVIEW

Ndegwa: Guinness’ Rights Issue will Mitigate Rising Finance Costs The Managing Director/Chief Executive Officer, Guinness Nigeria Plc, Peter Ndegwa is a qualified accountant and alumnus of the London Business School, University of IESE and Strathmore University. Since he became the CEO of the company in July 2015, the business has run into many headwinds. He spoke to Goddy Egene on some of the challenges and efforts being made to return the company to profitability

Ndegwa You assumed office as the Chief Executive Officer of Guinness Nigeria in 2015, what has been your greatest challenge? The economic environment has been challenging for all businesses and we are no exception. In fact every CEO in Nigeria at the moment is confronted by lots of challenges with the economy being the biggest one. Within the context of the economy, there are three things to be mindful of. Firstly, consumers are under pressure given that we are in a recession and for businesses like ours who sell consumer goods, it’s is an important consideration. We have also seen a lot of down-trading by consumers as well as a reduction in the frequency of purchase thus forcing them to prefer lower priced brands. Secondly, the cost side has had the most fundamental impact on many businesses. As evidenced by many of the financial results being announced, one would see clearly that the cost side of the business has posed a very great challenge for many firms. This is primarily caused by the currency, in terms of where the naira is versus the dollar and also inflation. On the Forex issue, we have seen a move from a fixed rate to a kind of managed float which has led to depreciation of our currency of about 50 percent. When you then compare that with the parallel rate, which is the proxy that is being used for pricing goods, the impact on industry becomes very significant directly through

from when you import inputs and also on our local suppliers who also depend on imported inputs.

We are very conﬁdent about our strategy and want to solidify our status and operations as the ﬁrst and only Total Beverage Alcohol business in Nigeria offering the widest range of drinks - from adult premium non-alcoholic drinks (APNADS) to lager, stout, mainstream spirits, premium and super premium spirits which puts us in a great position to continue to offer consumers quality brands and allows us to grow the business

So while we have increased our local sourcing from about 40 per cent to 70 per cent in the past two years, we have had it easier with raw materials like sorghum because they come from farms. But what we have seen when we locally source, especially for packaging materials, where large components are imported is the inability to source for foreign currency from the official market has forced them to go into the parallel market which they in turn now use to price our goods. As such, we have seen producer input costs go up by about 50 per cent. Even with sourcing local raw materials, we have had some challenges partly in terms of crop failure, and partly because of increase in trading around the borders which is driven by currency which means that the price we have had to pay for sorghum for example is twice or two and a half times increased. The third factor which is also very important is related to energy. We have seen less availability of gas during the year. Our energy supply in many of our factories is dependent on gas plants especially in Lagos. As such, when gas is not available, we are forced to use diesel which is less efficient and more costly. So when you translate these big elements into performance, your top-line and costs are under serious pressure. And then in terms of funding, interest rates have gone up, and because you have less cash flow, you have to take a little bit more debt, including foreign

currency debt so that you are able to fund the business given the lack of liquidity. The company for the first time in 30 years recorded a loss last year, how do you plan to reverse the losses incurred on your balance sheet? We are very confident about our strategy and want to solidify our status and operations as the first and only Total Beverage Alcohol business in Nigeria offering the widest range of drinks - from adult premium non-alcoholic drinks (APNADS) to lager, stout, mainstream spirits, premium and super premium spirits which puts us in a great position to continue to offer consumers quality brands and allows us to grow the business. We had announced a 20 per cent growth in the first half of last year, July to December 2016, which means that our business from a top-line perspective is growing. We also announced that we had not only grown local demand but exports as well. The area where we can’t tell what will happen is on the cost side. Like I had touched on, we have had significant inflation on our producer inputs; - whether they are linked to inputs that are imported such as packaging materials or raw materials like sorghum which increased by more than a 100 per cent. Also we cannot tell what will happen to the foreign exchange market, the level of liquidity in the market means that CONTINUED ON NEXT PAGE

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

INTERVIEW

NDEGWA: GUINNESS’ RIGHTS ISSUE WILL MITIGATE RISING FINANCE COSTS we will continue to come under pressure and foreign currency losses would continue to affect our business. We are confident that this business has a lot of growth avenues but the cost side affects all of industry. Because we are here for the long haul, our intention is to navigate through the next few quarters so that we come through as a very strong business. There have been calls for equity injection into your operations, which I believe informed the recent decision for a Rights Issue, which the shareholders have gladly approved. Can you throw more light on Rights Issue? Yes, in January this year, we held an Extra Ordinary General Meeting where shareholders approved for Guinness Nigeria to go out there and raise N40 billion using a Rights Issue. The reasons why we are going for a rights issue are very straight forward. I have earlier provided a context to the harsh realities of the operating business environment so business is under pressure from the currency challenges and that has impacted our performance – reducing earnings. Also because of the liquidity in the market, we have had to get dollar based loans to enable us fund our imports so that we can continue to produce brands for consumers. It is pertinent to say that as a business, we have been committed to Nigeria and we will continue to be in this market for decades to come. This is reflected in the quality of investments we have made over time including the new production line we launched last year. So, it is very important that we go into the capital market to give shareholders an opportunity to participate in the business. Our expectation is that the Rights Issue will help mitigate the impact of increasing finance costs, optimise balance sheet and improve the company’s financial flexibility. We expect that is will eliminate our increasing finance costs and return the company to profitability. The last time we did a rights issue was about 25 years ago. We believe that given the current economic climate it is high time we went back into the market to ensure that the business can navigate through the next few years which are going to be tough, however, we continue to invest to grow our business. So it is about investment, enabling us retire debt that we have on our balance sheet including dollar based debts and therefore remove the foreign currency risk that we are carrying on our balance sheet which is healthy for investors so that in the future, we have less volatility in our Profit and Loss statement. Will the N40 billion be sufficient to help the business find some stability in view of the inflation in the economy as well as the instability in oil prices? I must tell you that the first thing that we are going to be doing is to take out a lot of the debt that we have – we will pay off both local and foreign currency debts which we have held as a lack of our inability to access dollars in the market. We got a facility from our parent company, Diageo to ensure that we could access liquidity. Also, given the business conditions we have increased our borrowing from banks and so at the end of the rights issue, we would be able to pay back which in turn would free our business and enable us invest in the future. We have also carried out an assessment of the funding that we will need over the next five years and we feel that the size of our issue will help address our funding needs over this period even as we navigate the challenges within the dynamic Nigerian economy. But there are insinuations is some quarters that the rights issue is an indirect means for Diageo to acquire a majority stake in Guinness Nigeria Plc, seeing that their prior plan to increase its stake to 70 per cent was stalled? Indeed, I recall that during the EGM a question in this regard was asked. Everyone needs to understand what a rights issue is. It allows every single shareholder to subscribe for rights based on their current shareholding. So if every shareholder in Guinness Nigeria Plc subscribes for their rights, everyone

Ndegwa would keep their current shareholding. So, it is not that we are raising new capital by other means. There is no way if everyone subscribes to the Issue that we can increase the shareholding value of Diageo. However, we have said to shareholders that they are also entitled to apply for more rights than their shares entitle them. So at the end of the process, if there are some rights that are not subscribed to, the board would then allocate the unsubscribed rights remaining to anyone who has applied for additional rights which would be based on their shareholding. The rights issue is meant to support the company to grow, it is about bringing cash into the business therefore shareholders should feel that this is an opportunity to a business that has been very strong and has paid dividends for many years. You sound very confident about the success of the Rights Issue but do you think that the timing is auspicious considering the current economic recession? This is very good question. But I want to

Our expectation is that the Rights Issue will help mitigate the impact of increasing finance costs, optimise balance sheet and improve the company’s financial flexibility. We expect that is will eliminate our increasing finance costs and return the company to profitability. The last time we did a rights issue was about 25 years ago

tell you that the timing of a rights issue is a very tricky subject because you do a rights issue for the most part when you want to retire debt or when you want to fund a business. As management and a board, you must be confident that shareholders are investing in a business that will grow in the future. As such, the intention is for shareholders to determine if they want to subscribe to the rights issue process. We have gone round, had meetings and presentations with shareholders and we believe that shareholders want to support this business because we have a great future and Nigeria would overcome its present challenges that the economy faces because it is still the largest economy in Africa and most attractive from a consumer goods point of view. As a business, we are venturing into new and exciting categories like the spirits business where we haven’t played in before now, our innovation pipeline is fantastic and we are pretty confident about our strategy. But we need to go out into the market and raise money to enable us deal with the debt, and the current cost of doing business that has arisen as a result of factors like the foreign currency issue, inflationary impact and so on. We have received lots of support from the shareholders including the majority shareholder, Diageo to ensure that we can get cash into our business to support our growth and I believe that the shareholders will make their own judgement and decisions on the rights issue. What is your perception in terms of outlook for the brewery and manufacturing industry in 2017? Consumer goods respond to growth or no growth in the economy. Consumers have to continue to spend – they just prioritise their spending in different ways. So what we have seen in our industry is that consumption had reduced but the industry is still in growth and consumers are probably consuming much lower priced brands. Therefore, we would see accessible brands whether they are in beer, spirits or soft-drinks growing faster than the mainstream brands. The premium end of the industry is also still

experiencing growth because those consumers are less immune to what is happening in the economy. But that is a very small segment as our business is mostly a mass market and our brands are consumed by everyone especially the average guy down the road. So on a top-line basis, the industry will continue to experience growth but the biggest issue that the industry is currently bogged down by is on the cost side as everyone is declaring results that show a significant reduction in margins. This is partly because consumers are consuming lower priced brands but largely on account of the cost of doing business, which means that profitability in the near term is going to be affected but on the long term, our expectation is that costs will stabilise and the market would grow in leaps and bounds. What we can’t say is how long it’ll take to get there. How is Guinness responding to the changing needs of multiple stakeholders outside the investment community in terms of social investments? Guinness is a well-loved brand and a house hold name in Nigeria. We have been involved with lots of socially responsible projects. Our flagship initiative, the Water of Life has impacted a significant number of people positively across the nation with over 26 project sites. The other area where our impact is being felt is in the area of local sourcing of raw materials. Five years ago, we were probably sourcing about 25 per cent of our raw materials locally but today our local content input is at about 70 per cent which is very significant for our business. Through these vehicles, our investors see a business that is thinking about the community, the future, and consumers respond in the way that they choose our brands. Has the decision to locally manufacture some of your spirit brands begun to yield any dividends? Yes, we have begun to see to dividends. It is important to recognise that one of the CONTINUED ON PAGE 30

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

INTERVIEW

NDEGWA: GUINNESS’ RIGHTS ISSUE WILL MITIGATE RISING FINANCE COSTS Our business in our industry is considered and referenced as the innovation powerhouse. Innovation continues to be a critical part of our DNA as a business. For example, in the last three years, Orijin has come alive, whether it is the Orijin ready to drink, a very strong brand that has excited customers. From there, we have launched Orijin Bitters, a spirits drink and Orijin Zero, a non-alcoholic version

reasons we decided to locally manufacture our spirits brands is premised on our intentions to increase our local sourcing to about 80 per cent on the input side and to as much as it’s possible localise the production of all our brands other than those that need to be imported such as scotch which has to be imported from Scotland for example. One of the benefits of going this route is that the raw materials are available locally, most of the associated costs are denominated in Naira terms, as such there is less volatility on the cost side and finally it allows you to price right. The brands we produce locally are of great quality and are priced at an accessible price point that allows consumers to enjoy their favourite drinks and this where our confidence about our ability to grow this business stems from going forward. Considering the dynamism in the industry, is Guinness looking to introduce new products that would cater to those at the lower end of the market in view of depressed wallets and changing consumption patterns? Brands that are placed at price points that consumers can afford but are of high quality are defined as accessible brands. Some of our products like the Smirnoff X1 is at a price point that consumers can afford. So we have launched some other products like that on the spirits side. Satzenbrau, one of our beer brands is doing very well as it is one of the fastest growing brands in its category. On the malt side, we have Dubic which is also doing very well. So we have got a number of brands that are doing so well in the market and we have priced them taking into cognisance the pressures faced by many consumers. These are not cheap brands even though they are affordable, there is a distinct difference between those two terms – cheap brand and brands that are affordable. Our brands are international brands that are sold at price points that consumers especially given the economic circumstances can afford and they are from the house of quality, therefore, the consumer confidence is very strong. You will also find that we are putting in a lot of money into advertising to allow for consumer understanding, engagement and bonding. Are there particular kind of innovations you are most proud of? I am proud of all our brands in Guinness Nigeria. Our business in our industry is considered and referenced as the innovation powerhouse. Innovation continues to be a critical part of our DNA as a business. For example, in the last three years, Orijin has come alive, whether it is the Orijin ready to drink, a very strong brand that has excited customers. From there, we have launched Orijin Bitters, a spirits drink and Orijin Zero, a non-alcoholic version. So Orijin is a very strong and innovative brand that we have leveraged to launch exciting extensions across a number of customer categories. So we are very proud of Orijin. It is important to note that we have also launched innovation on the basis of our big brands. So for Guinness, we launched Guinness Africa Special which appeals to more contemporary consumers, slightly smoother and lower alcohol. In the malt segment, we have launched Malta Herb Lite for consumers who still want to enjoy the goodness of the Malta Guinness brand but with less calories. Even though, it is still early days, initial consumer reaction to Malta Guinness Herb Lite has been very great. We have been known primarily for our premium beer brands but with our Satzenbrau brand, we have begun to expand access to enable us participate in the accessible categories. We have also begun to innovate in the area of Spirits, which is a big part of our strategy going forward. In January 2016, Guinness Nigeria acquired the rights to distribute Diageo’s International Premium Sprits (IPS) like Johnnie Walker, Baileys, Smirnoff, among others in Nigeria, making us the only truly total beverage alcohol (TBA) company in Nigeria offering the widest range of drinks - from adult premium non-alcoholic drinks (APNADS) to lager, stout and IPS. We

is imperative to be obsessed with the front line, for us this means getting our brands as close to the consumers as possible. Also keep the strategy very simple and ensure that the internal guys don’t worry about what’s going on in the environment, whether it’s the currency or other external factors. And then, make decisions quickly. The problem when you are facing many challenges is to be very risk averse and not want to make decisions quickly. It is the time to be a lot more agile so that you can navigate through the challenges that you are faced with. How do you relax and unwind? Outside of work, I have some of activities that help me to relax and unwind. I go to the gym three or four times a week. I also love martial arts and so I have a trainer who comes to teach me taekwondo. I love to watch football and enjoying watching the games with my family apart from taking my son to play football. Finally, I also find time to play golf and these activities really help to keep me relaxed. Ndegwa also acquired the rights to distribute brands from India’s largest spirits business, United Spirits Ltd (USL) for brands like McDowell’s Whisky. Also last year we inaugurated a production line for the local manufacturing of spirits at our Benin plant. We have just launched some exciting innovations from there using global brands like Smirnoff, Gordons to locally produce variants such us Smirnoff X1, Smirnoff X1 Chocolate and Gordons Moringa. This is an exciting time for us as a business because I was in trade visiting some of our outlets and saw the brands selling. Innovation is a competitive advantage for us in this market and we have a strong innovation pipeline to drive the

I must tell you that the ﬁrst thing that we are going to be doing is to take out a lot of the debt that we have – we will pay off both local and foreign currency debts which we have held as a lack of our inability to access dollars in the market. We got a facility from our parent company, Diageo to ensure that we could access liquidity

products which would leave our consumers spoilt for choice. The economic environment has been challenging since the time you came as CEO and now but what has been your most difficult moment? At this point, I think that any CEO in this country would say that they have moved from producing and marketing whatever it is that they produce to dealing with the risks arising from the economy. The amount of time that we spend as CEOs determining how to mitigate the risk of currency fluctuations is significant – where do you get dollars for raw materials, at what price among others. So for me, the business has gone through a difficult moment but if there is one that I can call out, it is our ability to keep the business going given the liquidity in the market. How would you describe your leadership style? I have a very simple leadership philosophy – keep it simple. You must be very clear on the two or three things that the organisation is going after. Communicate it to the staff, external stakeholders and investors and just keep repeating the message regardless of what is happening in the environment. It is also important that you focus on the area that you want to influence. For us as a business, we are committed to expanding our portfolios so that we are rich in more consumers across three areas – beer, spirits and soft drinks. We also want to take out costs so that we can become a more agile business and one that can price brands in a more affordable way for the consumers. Also as a leader, it

If you are stranded on an Island and you had just one drink with you, what would it be? It has to be Johnnie Walker. I love water but Johnnie Walker would do in this scenario. What message do you have for your intending and existing shareholders as well as the consumers? Our consumers have been with us for a very long time. As Guinness Nigeria, we offer an array of high quality brands and are an innovation hub. We are able to offer a wider variety of products to our consumers at a more affordable price points with our innovations in the spirits, beer and soft drinks categories. Some of these brands include Smirnoff X1 intense chocolate vodka, Smirnoff Extra Smooth Vodka, Gordon’s Dry Gin, Moringa Citrus Blend, McDowell’s No. 1 Reserved Whisky, McDowell’s VSOP and Royal Challenge Finest Premium Whisky for the spirits segment; Orijin Zero and Malta Herb Lite in the adult premium non-alcoholic drinks and in the beer segment, our brands like Satzenbrau provide touch points at which our consumers can continue to interact with us. We will continue to provide our consumers with brands that are of high quality and choices in spite of the prevailing economic circumstances. To our investors, we have been a stable company for a long time. We have invested in this country and will continue to invest in it for the future. As management and a board, we are confident about our strategy. I can’t tell investors whether or not to buy shares as they have to make their judgement based on the information available. All I can say is that our intention is to continue to invest in the country and make investors happy that they invested in our company.

T H I S D AY ˾ MONDAY, MARCH 13, 2017

BUSINESSWORLD

NEWS

37 Accidents Reports p Pending in AIB, Says Commissioner Chinedu Eze The Commissioner of Accident Investigation Bureau (AIB), Akin Olateru has said that at least 37 accident reports were pending at the Bureau as at January, when he assumed offi f ce the agency. Olateru made this known at the weekend at a forum organised by the Aviation Round Table (ART) in Lagos. He disclosed that the final report of the June 3, 2012 accident of Dana Air crash, which killed about 163 souls on-board and on ground at the Iju-Ishaga area of Lagos and three others, including the crashes of the last two Bristow Helicopters and one AOS Helicopters would be submitted to the Presidency for approval before being released to the public this week. Olateru said in addition to the four reports that would be ready this week, a minimum of 10 accident reports would also be released to the public before the end of the year, as the era of keeping accident reports in the bureau’s wardrobe was over. The first of the two Bristow Helicopters crashes occurred on August 13, 2015 at the Oworonshoki Area of the Third Mainland Bridge with six fatalities while six others sustained serious injuries. The

second, which also landed on the high sea was coming from an offshore platform, but without fatalities. Also, the AOS helicopters crash occurred on July 29, 2011 between Ife and Ogbomosho. “Let me give you an example, I took over AIB on January 13, 2017, there were 37 pending accident investigation and the first question I asked was how many accidents do we have in a year that we have 37 pending accident investigation? Today, I’m proud to tell you, four reports are on their way to the President including Dana, two Britstow and AOS Helicopters reports. And by next week (this week), we will make them offi f cial reports. “Before the end of this year, by the special grace of God, we will release a minimum of 10 reports. There must be a big paradigm shift in the way we do things,” Olateru said. He further lamented that there are only “one and half pilots” while none specialises on helicopter accident investigaa tion despite the frequencies of helicopter crashes in the country. The Commissioner said the AIB does not have any emergency code number that public could contact in case of an accident, promising to change all that soon. He added: “It is one and half

pilots that we have in AIB. I said one and half because we have a fresh one who is just joining us. Is that the kind of manpower that can actually investigate accident reports? We have more helicopter incidents than fixed wing incidents in this industry, yet, you don’t have one single helicopter pilot in AIB. “These are the issues I’m taking up with the Minister and he’s willing to support. We need to strength the system and we can’t just fold our hands,” he said. Olateru also noted that the Bureau does not have an emergency response team. “Who do you call even when you need a crane, we don’t know. Most of our management team does not know the number to call in case of an accident. There is nowhere anyone will remember the 11 digit numbers. Rather, we need a unique three digit number. “We don’t have a control room in AIB. Once it is 4 to 5 pm, the company shuts down and I try to remind them that accidents in most times occur in the evening and on weekends. So, we must have a functional control room, radio, and monitor things that are going on. Reporting accident is another issue. We have to make it seamless.”

NECA Calls for Effective Implementation of FG’s Economic Recovery Plan Goddy Egene Members of the organised private sector under the aegis Nigeria Employers Consultative Association (NECA), have called on the federal government to ensure focused, concerted and effective implementation of the all actions and initiatives contained in the Economic Recovery and Growth Plan(ERGP). The President of NECA, Mr. Larry Ettah, who spoke on behalf members of the association on the state of the Nigerian economy in Lagos, commended the federal government on the release of the ERGP. He said although this step should have come two earlier, the programme should be implemented forthwith. Ettah said: “We appreciate the fact that the ERGP was produced through a process that involved consultations with the private sector and hope such consultative posture would be sustained. We share in the broad principles behind the plan – tackling constraints to growth, particularly fuel, power, unfriendly regulations, and foreign

currency; leveraging the power of the private sector, promoting national cohesion and social inclusion and allowing markets to work…We urge government to ensure a focused, concerted and effective implementation of all the actions and initiatives contained in the ERGP so that the benefits may quickly accrue to the economy, businesses and citizens, and the nation as a whole.” On foreign exchange issue, which has negatively affected many players in the economy, the NECA president, who is also the Managing Director of UAC of Nigeria Plc, recommended a floating exchange rate system to achieve a better deal. According to him, evidence from other economies was clear and compelling to the effect that floating exchange rate systems enable economies respond best to declines in the value of their exports and provide a natural adjustment mechanism to preserve foreign exchange reserves and change incentives and behaviour of economic actors. He said Nigeria’s attempt at a fixed exchange rate system

and administrative controls or rationing of scarce foreign currency had clearly failed and produced FX market arbitrage and “round-tripping,” corruption, multiple exchange rates and acted as a deterrence to investment. “We commend the recent reforms adopted by the CBN based on the recommendation of the Acting President/ National Economic Council and urge the CBN to take these reforms to the logical conclusion-a floating exchange rate system. Comparing the Nigerian economy with those of Ghana, Saudi Arabia, Russia, Egypt, Norway and Indonesia, Ettah explained that the evidence from most of the countries, especially Saudi Arabia, Egypt, Indonesia and even Russia, indicated the most oil dependent economies have anchored their post-oil strategies on private capital and investment in oil and non-oil activities. He said most investors were interested in the Nigerian economy, but that they had been deterred by lack of policy clarity and the confusion over FX.

T H I S D AY MONDAY MARCH 13, 2017

MONDAY, MARCH 13, 2017 Ëž T H I S D AY

BUSINESS/MONEYGUIDE

NESG Focuses on Youth Devt for Nation Building Obinna Chima The Nigerian Economic Summit Group (NESG) has said that through its Youth Integration Initiative (YII), it would harness the potential in Nigeriaâ&#x20AC;&#x2122;s large youth population for national development. The YII seeks to ensure sustainability of the NESG by developing future, highly motivated leaders who are capable of advancing the Groupâ&#x20AC;&#x2122;s ideology, the Chief Executive Officer of the NESG, Mr. Jaiyeola Laoye explained. Speaking during a recent interactive session with journalists, Laoye said the initiative provides the opportunity for the group to engage the youth in active citizenship and also focus on the professional development of future leaders, entrepreneurs, pioneers and innovators who will shape Nigeriaâ&#x20AC;&#x2122;s economic future. According to him, the future

of Nigeria rests in the hands of youth who represent 30 per cent of the countryâ&#x20AC;&#x2122;s growing population. â&#x20AC;&#x153;The NESG intends to leverage the passion, resourcefulness and energy of this critical stakeholder group to contribute to the policy debate and nation building, in a constructive manner by creating a platform that facilitates free expression and effective engagement â&#x20AC;&#x153;To ensure relevance and connection to the Nigerian youth, we seek to attract and retain high potential talent and create a conducive environment for effective youth participation. â&#x20AC;&#x153;Representatives of the future generation will be provided the unique opportunity to shape the public debate and contribute to problem solving and policy formulation on a wide variety of critical issues, thereby influencing public policy and contributing to the sustainable development of a

globally competitive Nigerian economy â&#x20AC;&#x153;To this end, 200 exceptional youth will be engaged within the NESG under the Youth Integration Initiative. This five year initiative will serve as an ideation hub for innovative ways of engagement, deliberation and resolution of issues facing the youth, resulting in improved action and solutions that will shape their future and contribute to national development,â&#x20AC;? he explained. Furthermore, he said prospective participants would undergo a vigorous selection process. Other benefits of the YII include knowledge sharing, the opportunity to engage policy makers, access to high profile individuals and expansion of their network to include highly motivated peers, experts, specialists and the privilege of meaningfully contributing to national discourse and problem solving.

Laoye

SystemSpecs Unveils Remita Mobile App SystemSpecs, one of the leading financial technology companies in Nigeria and owner of Remita has launched Remita Mobile Application. The mobile banking platform is expected to empower individuals to view multiple bank balances on one screen, make payments from and to various bank accounts including microfinance banks, settle various bills to federal and state government agencies as well as other billers. It is also to enable them easily manage their expenses, and other key capabilities that allow users stay in firm control of their finance. Speaking at a media briefing in Lagos at the weekend where a new Remita logo was also unveiled, Managing Director of SystemSpecs, Mr. John

Obaro said: â&#x20AC;&#x153;Remita Mobile App will provide individuals with a much easier way to manage their finance. Now, with Remita App, customers of various banks will experience increased convenience, as they would be able to access their various accounts, seamlessly settle bills, and stay in firm control of their finance, anytime, from anywhere, on a single app.â&#x20AC;? He said with the app, individuals would be able to send and receive money from the comfort of their phones, without needing any other mobile app or visiting any bank branch. Also with the app, payers can respond to payment requests from restaurants, shopping outlets, schools, family, friends or other billers by quickly snapping a QR code from their

smartphone or tapping their device against the billerâ&#x20AC;&#x2122;s to complete transactions. â&#x20AC;&#x153;We are optimistic that this solution will contribute significantly to transforming the financial culture in Nigeria,â&#x20AC;? an Executive Director at SystemSpecs, AdĂŠdĂ¨jĂŹ OlĂłwĂ¨ said. â&#x20AC;&#x153;Not only will users be able to effortlessly settle utility bills using their mobile phones, Remita Appâ&#x20AC;&#x2122;s exciting expense management feature will enable them make more financially intelligent decisions as it provides easy-tounderstand colourful charts which analyse and display expense patterns.â&#x20AC;? OlĂłwĂ¨s also revealed that the volume of transactions on the Remita platform as at the end of 2016 was $30 billion.

British Council Recognises Oluikpe Solomon Elusoji At the British Councilâ&#x20AC;&#x2122;s 2017 Study UK Alumni Award Dinner, held in Lagos recently, the knowledge management specialist at the Central Bank of Nigeria, Paul Oluikpe, was recognised as one of five UKtrained Nigerians who have distinguished themselves through exemplary leadership and achievements in their professional industry. The Study UK Alumni Awards, which was initiated a year ago, aims to recognise

and celebrate the benefits that studying at a UK university has had upon the individual, their community and country. â&#x20AC;&#x153;We are celebrating Nigerians who have come back to Nigeria following a very good education and have achieved so much they could go anywhere, but theyâ&#x20AC;&#x2122;ve chosen to come here and contribute back to Nigeria,â&#x20AC;? the Country Director, British Council Nigeria, Connie Price said. Oluikpe, who designs, develops, and co-ordinates the implementation of strategies at the CBN and studied at Loughborough University

during his time at the UK, was delighted at the recognition. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s symbolic because it encourages us to see that what we are doing with the Central Bank is impacting the economy. So we are encouraged to do more and continue to push the boundaries and innovate and strategise to help the economy.â&#x20AC;? Paulâ&#x20AC;&#x2122;s UK experience studying at Loughborough opened him up to multicultural experiences, solid educational development and career opportunities, giving him a breadth of knowledge and strategic tool.

Economic Associates Organises Conference The Economic Associates (EA) has concluded plan to host a one-day conference on Nigeriaâ&#x20AC;&#x2122;s economic outlook. The event will take place in Lagos this Thursday. The Chief Executive Officer, Economic Associates, Mr. Ayodele Teriba, in a notice on the conference, explained that participants will discuss latest facts on global, national, sectoral, and sub-national drivers of Nigeriaâ&#x20AC;&#x2122;s economic outlook with their peers. He pointed out that the global

environment has continued to present twin-gluts: a commodity glut and a liquidity glut. According to him, the commodity glut depresses commodity prices, dimming export and growth prospects for commodity exporters, while the liquidity glut makes foreign investment easily available for countries who could attract them, opening opportunities to attract foreign investment to make up for lost export incomes and growth.

Teriba also noted that the steep fall in oil price below US$30 at the beginning of 2016, had pushed the Nigerian economy into recession, devaluation and inflation. â&#x20AC;&#x153;Lower oil revenues precluded a counter-cyclical fiscal response, while the central bank opted for a pro-cyclical stance, but global liquidity glut means there are bright prospects of attracting increased foreign investment into other infrastructure, as is already the case with telecoms.

MARKET INDICATORS MONEY AND CREDIT STATISTICS

(MILLION NAIRA)

DECEMBER 2016 Broad Money (M2)

23,840,392.42

-- Narrow Money (M1)

11,520,166.67

---- Currency Outside Banks

1,820,415.90

---- Demand Deposits

9,699,750.76

-- Quasi Money

12,320,225.75

Net Foreign Assets (NFA)

9,353,504.03

Net Domestic Assets(NDA)

14,486,888.39

-- Net Domestic Credit (NDC)

26,970,297.97

---- Credit to Government (Net)

4,595,579.89

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

7,436,917.79

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

-2,841,337.90

---- Credit to Private Sector (CPS)

22,374,718.08

--Other Assets Net

-12,483,409.58

Reserve Money (Base Money)

5,837,322.41

--Currency in Circulation

2,179,174.28

--Banks Reserves

3,318,344.71 Ëž Ă&#x2122;Ă&#x;Ă&#x153;Ă?Ă? Ě&#x2039;

MANAGED FUNDS Month

December 2016

Inter-Bank Call Rate

10.39

Minimum Rediscount Rate (MRR) Monetary Policy Rate (MPR)

14.00

Treasury Bill Rate

13.96

Savings Deposit Rate

4.18

1 Month Deposit Rate

8.53

3 Months Deposit Rate

8.80

6 Months Deposit Rate

10.23

12 Months Deposit Rate

10.76

Prime Lending rate

17.09

Maximum Lending Rate

28.55 Ëž Ă&#x2122;Ă&#x2DC;Ă?Ă&#x17E;Ă&#x2039;Ă&#x153;ĂŁ Ă&#x2122;Ă&#x2013;Ă&#x201C;Ă?ĂŁ Ă&#x2039;Ă&#x17E;Ă? Ě&#x2039; ÍŻÍąĎą

OPEC DAILY BASKET PRICE AS AT 9 MARCH 2017 The price of OPEC basket of thirteen crudes stood at $50.82 a barrel on Thursday, compared with $52.69 the previous day, 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

MONDAY, MARCH 13, 2017 ˾ T H I S D AY

MARKET NEWS

Stockbroker Advisers Retail Investors on FGN Savings Bond Goddy Egene and Nosa Alekhuogie The Managing Director/Chief Executive Officer of Arthur Steven Asset Management Limited, a capital market operator, Mr. Olatunde Amolegbe, has urged retail investors to patronise the Federal Government of Nigeria (FGN) Savings Bond that will open today.

The Debt Management Office (DMO) is commencing the issuance the first FGN Saving Bond to the investing public from today to Friday, March 17. 2017. According to the DMO the savings bond is another government effort to democratise the bond market and open it up as an investment outlet for retail investors and high network

T H E MAIN BOARD Activity Summary on Board DEBT Federal Bond Name 15.54% FGN FEB 2020 16.00% FGN JUN 2019 Federal Totals DEBT Board Totals Bond Activity Totals 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. JOHN HOLT PLC. S C O A NIG. PLC. TRANSNATIONAL CORPORATION OF NIGERIA PLC U A C N PLC. Diversified Industries Totals CONGLOMERATES Totals CONSTRUCTION/REAL ESTATE Building Construction ARBICO PLC. Building Construction Totals 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 Automobiles/Auto Parts DN TYRE & RUBBER PLC Automobiles/Auto Parts Totals 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 FLOUR MILLS PLC DANGOTE SUGAR REFINERY PLC FLOUR MILLS NIG. PLC. HONEYWELL FLOUR MILL PLC NASCON ALLIED INDUSTRIES 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. JAIZ 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 CORNERSTONE INSURANCE COMPANY PLC. AXAMANSARD INSURANCE PLC N.E.M INSURANCE CO (NIG) PLC. NIGER INSURANCE CO. PLC. STANDARD TRUST ASSURANCE PLC STANDARD ALLIANCE INSURANCE PLC. UNITY KAPITAL ASSURANCE PLC UNIVERSAL INSURANCE COMPANY PLC WAPIC INSURANCE PLC Insurance Carriers, Brokers and Services Totals Micro-Finance Banks FORTIS MICROFINANCE BANK PLC NPF MICROFINANCE BANK PLC Micro-Finance Banks Totals Mortgage Carriers, Brokers and Services INFINITY TRUST MORTGAGE BANK PLC Mortgage Carriers, Brokers and Services Totals Other Financial Institutions AFRICA PRUDENTIAL REGISTRARS PLC CUSTODIAN AND ALLIED PLC DEAP CAPITAL MANAGEMENT & TRUST PLC FCMB GROUP PLC. STANBIC IBTC HOLDINGS PLC UNITED CAPITAL PLC Other Financial Institutions Totals

DEALS

individuals alike. The first issuance which aims to raise about N50billion will be available to investors looking to investment between N5,000 and up to N50million. Speaking on the FGN Savings Bond, Amolegbe, who is also the Second Vice President of Chartered Institute of Stockbrokers (CIS), said this is a new and innovative way of economic

N I G E R I A N MARKET PRICE

QUANTITY TRADED

STO C K VALUE TRADED ( N)

No. of Deals 1 1 2 2 2

Current Price 98.7 135

Quantity Traded 105 100 205 205 205

Value Traded 103,815.41 137,197.80 241,013.21 241,013.21 241,013.21

No. of Deals 11 4 15 No. of Deals 5 5 20

Current Price 44.18 46

Quantity Traded 41,208 5,201 46,409 Quantity Traded 153,470 153,470 199,879

Value Traded 1,887,024.20 240,161.40 2,127,185.60 Value Traded 119,266.60 119,266.60 2,246,452.20

No. of Deals 1 1 4 56 48 110 110

Current Price 0.78 0.66 3.77 0.78 15.1

Quantity Traded 100 500 10,000 4,840,952 350,363 5,201,915 5,201,915

Value Traded 78 315 35,900.00 3,807,735.66 5,054,510.34 8,898,539.00 8,898,539.00

No. of Deals 1 1 No. of Deals 5 5 No. of Deals 65 65 71

Current Price 4.79

Quantity Traded 200 200 Quantity Traded 10,272 10,272 Quantity Traded 1,656,711 1,656,711 1,667,183

Value Traded 958 958 Value Traded 375,647.04 375,647.04 Value Traded 3,493,667.49 3,493,667.49 3,870,272.53

Quantity Traded 100,000 100,000 Quantity Traded 5,160 288,915 51,123 1,386,914 1,732,112 Quantity Traded 6,947 6,947 Quantity Traded 616,050 345,909 84,482 1,028,600 117,500 2,192,541 Quantity Traded 136,880 133,592 270,472 Quantity Traded 140,811 140,811 Quantity Traded 203,505 43,451 246,956 4,689,839

Value Traded 50,000.00 50,000.00 Value Traded 11,558.40 17,613,098.61 801,955.76 156,078,414.27 174,505,027.04 Value Traded 675,390.11 675,390.11 Value Traded 2,410,595.00 2,125,832.90 1,491,827.07 1,128,310.00 833,010.00 7,989,574.97 Value Traded 1,172,206.13 79,110,103.35 80,282,309.48 Value Traded 289,850.97 289,850.97 Value Traded 2,596,373.80 1,424,799.57 4,021,173.37 267,813,325.94

Quantity Traded 11,476,994 1,149,393 58,189 8,142,068 20,039,315 1,081,695 25,994,229 5,772,233 251,225 350 800 73,966,491 Quantity Traded 214,682 503,100 200 3,000 44,144 900 5,100 1,000 401,000 1,000 384 1,174,510 Quantity Traded 1,000 25,100 26,100 Quantity Traded 1,000 1,000 Quantity Traded 450,576 325,400 1,000 3,530,043 12,830 8,474,959 12,794,808

Value Traded 76,018,367.81 990,711.98 560,377.50 6,806,919.19 477,105,071.95 1,417,729.20 18,222,090.30 27,705,413.04 1,185,050.41 276.5 408 610,012,415.88 Value Traded 126,611.20 530,295.00 100 4,770.00 36,196.64 450 2,550.00 500 200,500.00 500 192 902,664.84 Value Traded 2,700.00 27,111.00 29,811.00 Value Traded 1,440.00 1,440.00 Value Traded 1,399,304.19 1,084,759.00 500 4,689,332.14 211,696.60 31,174,405.94 38,559,997.87

Current Price 0.78

Current Price 34.83 Current Price 2.12

No. of Deals 1 1 No. of Deals 3 64 7 208 282 No. of Deals 18 18 No. of Deals 33 22 32 15 11 113 No. of Deals 25 98 123 No. of Deals 14 14 No. of Deals 26 17 43 594

Current Price 0.5

No. of Deals 167 26 27 69 219 24 1,530 73 33 1 1 2,170 No. of Deals 9 6 2 2 5 1 2 1 2 1 2 33 No. of Deals 1 2 3 No. of Deals 1 1 No. of Deals 31 16 1 68 6 132 254

Current Price 6.6 0.86 9.8 0.84 23.8 1.31 0.7 4.8 4.9 0.83 0.5

Current Price 2.35 60.92 16.15 117.5 Current Price 106.5 Current Price 4.1 6.1 18 1.1 7.03 Current Price 9 600 Current Price 2.08 Current Price 12.16 34

Current Price 0.59 1.05 0.5 1.59 0.79 0.5 0.5 0.5 0.5 0.5 0.5 Current Price 2.58 1.08 Current Price 1.47 Current Price 3.05 3.32 0.5 1.31 17 3.7

empowerment of the populace by the federal government. He said that for the first time in the history of the country retail investors with as little as N5,000, can now invest in what he described as a gilt hedge instrument that is backed by the full faith and credit of the federal government. He noted that savings bond is one of the safest instruments

E X C H A N G E

in the market as it guarantees return of the sum invested as long as one holds the instruments to maturity. “It also offers very attractive return on investment and is very liquid as it can easily trade on the floor of the Nigerian Stock Exchange at any time that an investor seeks to access cash from the instrument,” he said. The stockbroker, therefore,

urged retail investors to embrace this product as it one of the ways by which the effect of high inflation can be ameliorated. He stressed that the instrument can reduce the negative impact of inflation, explaining that “if one is able to earn double digit return on his/ her investment this will reduce the impact of inflation on the personal wealth considerably.”

1 5 / 0 2 / 2 0 1 7

MAIN BOARD FINANCIAL SERVICES Totals HEALTHCARE Healthcare Providers UNION DIAGNOSTIC & CLINICAL SERVICES PLC Healthcare Providers Totals Pharmaceuticals FIDSON HEALTHCARE PLC GLAXO SMITHKLINE CONSUMER NIG. PLC. MAY & BAKER NIGERIA PLC. NEIMETH INTERNATIONAL PHARMACEUTICALS PLC PHARMA-DEKO PLC. Pharmaceuticals Totals HEALTHCARE Totals ICT IT Services TRIPPLE GEE AND COMPANY PLC. IT Services Totals Processing Systems CHAMS PLC Processing Systems Totals ICT Totals INDUSTRIAL GOODS Building Materials ASHAKA CEM PLC BERGER PAINTS PLC CAP PLC CEMENT CO. OF NORTH.NIG. PLC MEYER PLC. LAFARGE AFRICA PLC. Building Materials Totals Electronic and Electrical Products CUTIX PLC. Electronic and Electrical Products Totals Packaging/Containers BETA GLASS PLC. GREIF NIGERIA PLC Packaging/Containers Totals INDUSTRIAL GOODS Totals NATURAL RESOURCES Metals ALUMINIUM EXTRUSION IND. PLC. Metals Totals NATURAL RESOURCES 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. MRS OIL NIGERIA 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 Advertising AFROMEDIA PLC Advertising Totals Courier/Freight/Delivery RED STAR EXPRESS PLC TRANS-NATIONWIDE EXPRESS PLC. Courier/Freight/Delivery Totals Hotels/Lodging TOURIST COMPANY OF NIGERIA PLC. TRANSCORP HOTELS PLC Hotels/Lodging Totals Printing/Publishing LEARN AFRICA PLC STUDIO PRESS (NIG) PLC. Printing/Publishing Totals Transport-Related Services NEWREST ASL NIGERIA PLC NIGERIAN AVIATION HANDLING COMPANY PLC Transport-Related Services Totals Support and Logistics CAVERTON OFFSHORE SUPPORT GRP PLC C & I LEASING PLC. Support and Logistics Totals SERVICES Totals EQTY Board Totals Daily Summary (Equities) Activity Summary on Board ASeM FINANCIAL SERVICES Mortgage Carriers, Brokers and Services OMOLUABI MORTGAGE BANK PLC Mortgage Carriers, Brokers and Services Totals FINANCIAL SERVICES 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

DEALS

MARKET PRICE

2,461

QUANTITY TRADED

VALUE TRADED ( N)

87,962,909

649,506,329.59

Quantity Traded 738,000 738,000 Quantity Traded 5,177,490 110,135 5,015 11,000 900 5,304,540 6,042,540

Value Traded 369,000.00 369,000.00 Value Traded 5,178,570.00 1,551,318.88 4,770.10 7,063.20 1,836.00 6,743,558.18 7,112,558.18

Quantity Traded 2,438 2,438 Quantity Traded 100,000 100,000 102,438

Value Traded 3,023.12 3,023.12 Value Traded 50,000.00 50,000.00 53,023.12

Quantity Traded 11,405 2,997 1,215,127 141,429 300 23,390 1,394,648 Quantity Traded 792,168 792,168 Quantity Traded 70,030 100 70,130 2,256,946

Value Traded 130,100.00 17,322.66 35,970,022.30 604,431.24 249 987,177.40 37,709,302.60 Value Traded 1,142,840.30 1,142,840.30 Value Traded 2,552,593.50 1,016.00 2,553,609.50 41,405,752.40

No. of Deals 1 1 No. of Deals 13 12 4 6 2 37 38

Current Price 0.5

No. of Deals 1 1 No. of Deals 1 1 2

Current Price 1.3

No. of Deals 7 2 7 11 1 20 48 No. of Deals 15 15 No. of Deals 3 1 4 67

Current Price 11.25 6.08 29.6 4.28 0.87 42

No. of Deals 1 1 1

Current Price 9.75

Quantity Traded 2,000 2,000 2,000

Value Traded 18,540.00 18,540.00 18,540.00

No. of Deals 2 2 No. of Deals 76 76 No. of Deals 16 20 229 20 1 16 302 No. of Deals 2 2 382

Current Price 0.5

Quantity Traded 18,000 18,000 Quantity Traded 1,722,434 1,722,434 Quantity Traded 35,100 284,436 905,220 12,017 100 8,826 1,245,699 Quantity Traded 5,150 5,150 2,991,283

Value Traded 9,000.00 9,000.00 Value Traded 8,234,046.51 8,234,046.51 Value Traded 1,190,988.64 886,497.72 56,399,639.77 3,215,511.70 3,708.00 2,400,901.12 64,097,246.95 Value Traded 2,045,501.50 2,045,501.50 74,385,794.96

Quantity Traded 55,000 55,000 Quantity Traded 575 29,090 29,665 Quantity Traded 1,000 13,000 14,000 Quantity Traded 500 1,000 1,500 Quantity Traded 101,050 46,801 147,851 Quantity Traded 274,973 1,000 275,973 523,989 111,640,921

Value Traded 27,500.00 27,500.00 Value Traded 2,645.75 26,607.80 29,253.55 Value Traded 3,550.00 61,623.60 65,173.60 Value Traded 355 2,190.00 2,545.00 Value Traded 275,866.50 114,662.45 390,528.95 Value Traded 242,233.86 500 242,733.86 757,734.96 1,056,068,322.88

No. of Deals 1 1 No. of Deals 2 3 5 No. of Deals 1 3 4 No. of Deals 1 1 2 No. of Deals 7 6 13 No. of Deals 14 1 15 40 3,786

Current Price 1.01 14.75 1 0.66 1.95

Current Price 0.5

Current Price 1.45 Current Price 36.45 9.69

Current Price 4.71 Current Price 35.49 3.24 62.5 275.99 39.03 270 Current Price 380

Current Price 0.5 Current Price 4.4 0.91 Current Price 3.65 4.98 Current Price 0.68 2.19 Current Price 2.73 2.57 Current Price 0.9 0.5

No. of Deals 1 1 1 1

Current Price 0.9

Quantity Traded 100,000 100,000 100,000 100,000

Value Traded 90,000.00 90,000.00 90,000.00 90,000.00

No. of Deals 279 279 No. of Deals 140 140 419

Current Price 15.01

Quantity Traded 48,467,690 48,467,690 Quantity Traded 1,684,690 1,684,690 50,152,380

Value Traded 727,624,234.12 727,624,234.12 Value Traded 5,345,599.68 5,345,599.68 732,969,833.80

No. of Deals 10 10 10 429 4,216

Current Price 169

Quantity Traded 45,766 45,766 45,766 50,198,146 161,939,067

Value Traded 7,736,239.30 7,736,239.30 7,736,239.30 740,706,073.10 1,796,864,395.98

Current Price 3.2

Ë&#x153; ÍšÍťË&#x153; ÍşÍ¸ÍšÍľ Ëž T H I S D AY

MARKET NEWS

May & Baker Empower Distributors with N100m Incentive Goddy Egene Leading pharmaceutical manufacturing firm, May & Baker Nigeria recently gave out over N100 million incentives and rewards to various distributors of its pharmaceutical brands for 2016 business year. Â The Managing Director of May & Baker, Mr. Â Nnamdi Okafor disclosed this during the companyâ&#x20AC;&#x2122;s annual customersâ&#x20AC;&#x2122; forum held in Lagos, saying that was the companyâ&#x20AC;&#x2122;s way of sharing profit with its loyal customers.

According to Okafor, the company was Â able Â to overcome harsh economic realities of 2016 to make a growth in turnover of more than 18 per cent for her pharmaceutical brands because of the loyalty of the customers. He Â therefore, urged them to key into the targets of the company for 2017 to achieve even better performance, Â the Â expected harsh operating environment Â notwithstanding. Giving details of the package, Executive Director, Pharma Sales & Marketing, of the company,

A Mutual fund (Unit Trust) is an investment vehicle managed by a SEC (Securities and Exchange Commission) registered Fund Manager. Investors with similar objectives buy units of the Fund so that the Fund Manager can buy securities that willl generate their desired return. An ETF (Exchange Traded Fund) is a type of fund which owns the assets (shares of stock, bonds, oil futures, gold bars, foreign currency, etc.) and divides ownership of those assets into shares. Investors can buy these â&#x20AC;&#x2DC;sharesâ&#x20AC;&#x2122; on the

Mr. Chukutem Chukuka said 14 healthcare products distributors of Â got N70 million while distributors of specialist products also got huge sumsÂ of incentives. He said about N20 million was spent on various gift packages such as electronics and other household items as rewards to outstanding regional and national distributors. According to Chukuka, the company plans to achieve 75 growth in its pharmaceutical brands in 2017. This, he said, the

floor of the Nigerian Stock Exchange. A REIT (Real Estate Investment Trust) is an investment vehicle that allows both small and large investors to part-own real estate ventures (eg. Offices, Houses, Hospitals) in proportion to their investments. The assets are divided into shares that are traded on the Nigerian Stock Exchange. GUIDE TO DATA: Date: All fund prices are quoted in Naira as at 9-Mar-2017, unless otherwise stated.

company plan to do by ensuring regular availability of fast moving products, introduction of new products , promotional support for the products and a robust package of incentives to the customers. The ED explained that the Â forum is an annual event organised by May & Baker to reward pharmaceutical distributors of the company who did very well in the previous year. He added that it is also used to interactÂ with the customers so as to get their

inputs for the current business year. Speaking at the forum, Managing Director of Audion Pharmacy Limited, Mrs. Edith Nwachukwu, Â Â appreciated May & Baker for supporting the business of its distributors. She said the companyâ&#x20AC;&#x2122;s Â Â consistency in supplying quality products is a major secret of the success of theÂ distributors. She Â Â therefore, Â called onÂ the company to ensure regular supply of products to enable the distributors retain market share.

The company also used the occasion to launch a newÂ product, Easadol Suspension, a flavoured pain relief for children. Â The company had its nine months to September 30, 2016 with a turnover ofÂ Â N5.94 billion, up from Â N5.28 billion recorded in comparable period of 2015. Profit before tax rose to N66.24 million in 2016 as against N60.63 million in 2015, while profit after tax also grew to N44.4 million in 2016 compared with N41.2 million in 2015.

Offer price: The price at which units of a trust or ETF are bought by investors. Bid Price: The price at which Investors redeem (sell) units of a trust or ETF. Yield/Total Return: Denotes the total return an investor would have earned on his investment. Money Market Funds report Yield while others report Year- to-date Total Return. NAV: Is value per share of the real estate assets held by a REIT on a specific date.

DAILY PRICE LIST FOR MUTUAL FUNDS, REITS and ETFS MUTUAL FUNDS / UNIT TRUSTS AFRINVEST ASSET MANAGEMENT LTD aaml@afrinvest.com Web: www.afrinvest.com; Tel: +234 1 270 1680 Fund Name Bid Price Offer Price Yield / T-Rtn Afrinvest Equity Fund 128.12 128.54 0.85% Nigeria International Debt Fund 220.15 220.77 2.26% ALTERNATIVE CAPITAL PARTNERS LTD info@acapng.com Web: www.acapng.com, Tel: +234 1 291 2406, +234 1 291 2868 Fund Name Bid Price Offer Price Yield / T-Rtn ACAP Canary Growth Fund 0.70 0.71 -0.18% AIICO CAPITAL LTD ammf@aiicocapital.com Web: www.aiicocapital.com, Tel: +234-1-2792974 Fund Name Bid Price Offer Price Yield / T-Rtn AIICO Money Market Fund 100.00 100.00 17.53% ARM INVESTMENT MANAGERS LTD enquiries@arminvestmentcenter.com Web: www.arm.com.ng; Tel: 0700 CALLARM (0700 225 5276) Fund Name Bid Price Offer Price Yield / T-Rtn ARM Aggressive Growth Fund 12.14 12.51 -1.67% ARM Discovery Fund 286.66 295.31 -0.18% ARM Ethical Fund 21.93 22.59 -1.83% ARM Money Market Fund 1.00 1.00 15.76% AXA MANSARD INVESTMENTS LIMITED investmentcare@axamansard.com Web: www.axamansard.com; Tel: +2341-4488482 Fund Name Bid Price Offer Price Yield / T-Rtn AXA Mansard Equity Income Fund 106.23 106.97 1.09% AXA Mansard Money Market Fund 1.00 1.00 17.55% CHAPELHILL DENHAM MANAGEMENT LTD investmentmanagement@chapelhilldenham.com Web: www.chapelhilldenham.com, Tel: +234 461 0691 Fund Name Bid Price Offer Price Yield / T-Rtn Nigeria Global Investment Fund 2.21 2.27 1.82% Paramount Equity Fund 9.35 9.58 -0.16% Women's Investment Fund 86.62 88.84 2.39% CORDROS ASSET MANAGEMENT LIMITED assetmgtteam@cordros.com Web: www.cordros.com, Tel: 019036947 Fund Name Bid Price Offer Price Yield / T-Rtn Cordros Money Market Fund 100.00 100.00 17.52% FBN CAPITAL ASSET MANAGEMENT LTD invest@fbnquest.com Web: www.fbnquest.com; Tel: +234-81 0082 0082 Fund Name Bid Price Offer Price Yield / T-Rtn FBN Fixed Income Fund 1,123.34 1,124.49 3.02% FBN Heritage Fund 110.42 111.15 -1.05% FBN Money Market Fund 100.00 100.00 16.95% FBN Nigeria Eurobond (USD) Fund - Institutional $106.96 $107.63 2.78% FBN Nigeria Eurobond (USD) Fund - Retail $106.66 $107.33 3.20% FBN Nigeria Smart Beta Equity Fund 111.87 113.32 -0.72% FIRST CITY ASSET MANAGEMENT LTD fcamhelpdesk@fcmb.com Web: www.fcamltd.com; Tel: +234 1 462 2596 Fund Name Bid Price Offer Price Yield / T-Rtn Legacy Equity Fund 0.94 0.96 1.06% Legacy Short Maturity (NGN) Fund 2.64 2.64 2.75% FSDH ASSET MANAGEMENT LTD coralfunds@fsdhgroup.com Web: www.fsdhaml.com; Tel: 01-270 4884-5; 01-280 9740-1 Fund Name Bid Price Offer Price Yield / T-Rtn Coral Growth Fund 2,179.52 2,204.65 -1.35% Coral Income Fund 2,179.25 2,179.25 3.56% GREENWICH ASSET MANAGEMENT LIMITED assetmanagement@gtlgroup.com Web: www.gtlgroup.com ; Tel: +234 1 4619261-2 Fund Name Bid Price Offer Price Yield / T-Rtn Greenwich Plus Money Market Fund 100.00 100.00 17.26% INVESTMENT ONE FUNDS MANAGEMENT LTD enquiries@investment-one.com Web: www.investment-one.com; Tel: +234 812 992 1045,+234 1 448 8888 Fund Name Bid Price Offer Price Yield / T-Rtn Abacus Money Market Fund 1.00 1.00 16.86% Vantage Balanced Fund 1.70 1.71 0.78% Vantage Guaranteed Income Fund 1.00 1.00 15.51%

LOTUS CAPITAL LTD ďŹ ncon@lotuscapitallimited.com Web: www.lotuscapitallimited.com; Tel: +234 1-291 4626 / +234 1-291 4624 Fund Name Bid Price Offer Price Yield / T-Rtn Lotus Halal Investment Fund 1.01 1.03 2.06% Lotus Halal Fixed Income Fund 1,022.43 1,022.43 1.95% MERISTEM WEALTH MANAGEMENT LTD info@meristemwealth.com Web: http://www.meristemwealth.com/funds/ ; Tel: +234 1-4488260 Fund Name Bid Price Offer Price Yield / T-Rtn Meristem Equity Market Fund 9.56 9.65 -1.02% Meristem Money Market Fund 10.00 10.00 14.89% PAC ASSET MANAGEMENT LTD info@pacassetmanagement.com Web: www.pacassetmanagement.com/mutualfunds; Tel: +234 1 271 8632 Fund Name Bid Price Offer Price Yield / T-Rtn PACAM Balanced Fund 1.07 1.09 2.17% PACAM Fixed Income Fund 10.42 10.45 0.11% PACAM Money Market Fund 10.00 10.00 12.95% SCM CAPITAL LIMITED info@scmcapitalng.com Web: www.scmcapitalng.com; Tel: +234 1-280 2226,+234 1- 280 2227 Fund Name Bid Price Offer Price Yield / T-Rtn SCM Capital Frontier Fund 110.68 111.58 8.71% SFS CAPITAL NIGERIA LTD investments@sfsnigeria.com Web: www.sfsnigeria.com, Tel: +234 (01) 2801400 Fund Name Bid Price Offer Price Yield / T-Rtn SFS Fixed Income Fund 1.27 1.27 1.89% STANBIC IBTC ASSET MANAGEMENT LTD assetmanagement@stanbicibtc.com Web: www.stanbicibtcassetmanagement.com; Tel: +234 1 280 1266; 0700 MUTUALFUNDS Fund Name Bid Price Offer Price Yield / T-Rtn Stanbic IBTC Balanced Fund 1,829.12 1,838.82 -0.13% Stanbic IBTC Bond Fund 154.41 154.41 0.29% Stanbic IBTC Ethical Fund 0.75 0.76 -1.95% Stanbic IBTC Guaranteed Investment Fund 191.27 191.27 2.34% Stanbic IBTC Iman Fund 127.36 129.04 -1.89% Stanbic IBTC Money Market Fund 100.00 100.00 17.51% Stanbic IBTC Nigerian Equity Fund 7,302.82 7,392.37 -3.67% UNITED CAPITAL ASSET MANAGEMENT LTD unitedcapitalplcgroup.com Web: www.unitedcapitalplcgroup.com; Tel: +234 803 306 2887 Fund Name Bid Price Offer Price Yield / T-Rtn United Capital Balanced Fund 1.13 1.14 8.39% United Capital Bond Fund 1.27 1.27 15.86% United Capital Equity Fund 0.64 0.65 -0.95% United Capital Money Market Fund 1.00 1.00 13.00% ZENITH ASSETS MANAGEMENT LTD info@zenith-funds.com Web: www.zenith-funds.com; Tel: +234 1-2784219 Fund Name Bid Price Offer Price Yield / T-Rtn Zenith Equity Fund 9.74 9.91 1.17% Zenith Ethical Fund 11.05 11.15 1.27% Zenith Income Fund 17.23 17.23 4.29%

REITS NAV Per Share

Yield / T-Rtn

11.41 125.18

1.01% 0.98%

Bid Price

Offer Price

Yield / T-Rtn

7.86 71.09

7.96 72.42

-10.42% -6.19%

Fund Name FSDH UPDC Real Estate Investment Fund SFS Skye Shelter Fund

EXCHANGE TRADED FUNDS Fund Name Lotus Halal Equity Exchange Traded Fund Stanbic IBTC ETF 30 Fund

VETIVA FUND MANAGERS LTD Web: www.vetiva.com; Tel: +234 1 453 0697 Fund Name Vetiva Banking Exchange Traded Fund Vetiva Consumer Goods Exchange Traded Fund Vetiva GrifďŹ n 30 Exchange Traded Fund Vetiva Industrial Goods Exchange Traded Fund Vetiva S&P Nigeria Sovereign Bond Exchange Traded Fund

funds@vetiva.com Bid Price

Offer Price

Yield / T-Rtn

2.42 5.29 11.44 12.57 124.79

2.46 5.37 11.54 12.77 126.79

-11.79% -24.61% -4.59% -21.06% -3.89%

The value of investments and the income from them may fall as well as rise. Past performance is a guide and not an indication of future returns. Fund prices published in this edition are also available on each fund managerâ&#x20AC;&#x2122;s website and FMANâ&#x20AC;&#x2122;s website at www.fman.com.ng. Fund prices are supplied by the operator of the relevant fund and are published for information purposes only.

T H I S D AY MONDAY MARCH 13, 2017

MONDAY, MARCH 13, 2017 ˾ T H I S D AY

CITYSTRINGS

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

A Bloody Clash in Ile-Ife Yinka Kolawole writes on last Wednesday’s bloody clash between the Hausa community and the Yorubas in Ile-Ife, Osun State, where lives were lost and property worth millions of naira destroyed

The Sabo area aﬀected by the bloody clash between the Hausa commuinty and the Yorubas in Ile-Ife...recently

replica of Ife-Modakeke conflict resurfaced last Wednesday, March 8 when the Hausa community and Ife people clash led to the destruction of lives and property. Although the ugly incident was immediately contained by the Osun State security operatives, tension is said to be high in the ancient city. The state government said it deployed heavy security to the scene of the crisis in Ile-Ife in Ife Central West Local Council Development Area of the state to maintain law and order. THISDAY investigation revealed that trouble started when a Hausa man living at Sabo area of the town allegedly slept with the wife of an Ife man who reportedly went berserk when he discovered that his wife slept with the Hausa man. The incident which was said to have been generating controversy between the Yorubas and the Hausas living in the community since Tuesday when the act was perpetrated snowballed into an orgy of violence in the early hours of Wednesday, March 8 when dangerous weapons like daggers, guns, clubs, arrows, cutlasses and swords were freely used in a free for all fierce battle between the two warring tribes. At the battle ground around Sabo area of the town, the Hausas were said to have made used of daggers, arrows and bows to confront the Yorubas said to be armed with dane guns, cutlasses and other traditional magical power. When THISDAY visited the battle ground, the

Ife warriors were seen on the street, threatening not to retreat as they alleged conspiracy saying, some police men dispatched to maintain law and order were on the side of the Hausas as the police team was led by a Hausa man. Also, several shops were reportedly looted by miscreants who took advantage of the violence that engulfed the ancient city to perpetrate inhuman acts while several other havocs reportedly wreaked by thugs. Shop owners locked up their shops while the area was completely deserted by both commercial and private vehicle operators. Residents and inhabitants of the area relocated to another part of the town so as not to be victims of blood bath. Speaking on the development, the Senior Special Assistant to Osun State governor on

As much as we condemn this violent attack, we equally want to place it on record that whoever is found guilty of perpetrating this wouldn't go free. We will bring to justice those who were involved in the violence so as to serve as deterrent to others

Arewa Matter, Imam Muhammed Basir, said “the situation has taken a very dangerous dimension because as I am talking to you now people had been shot dead. “I have notified the state governor and the state Police Commissioner, Mr. Fimihan Adeoye and the State Director of the Department of State Security Services on the development.” Speaking on the matter the acting Police Commissioner in the state, Mr. Mohammed Abubakar Koji who spoke through the Command Police Public Relations Officer, Mrs. Folasade Odoro, said that the police men are in control of the situation. Also, the Ooni of Ife, Oba Adeyeye Ogunwusi, has cautioned the warring factions to give peace a chance saying there is no gain in crisis. Speaking through his media aide, Comrade Moses Olafare, the monarch said that, he had instructed some palace men to see to the rescue of the Hausas who were captured by the Ifes in the mayhem. He stated that, peace would soon be normalised between the two warring factions in the town and assured that, every one of them would tolerate one another and live as one without segregation, sectionalism, de-tribalism and nepotism saying all tribes are one in the country. However a statement from the Office of the Governor, signed by the Director, Bureau of Communication and Strategy, Mr. Semiu Okanlawon, assured of the readiness of the security forces to quell the face off which has

led to the destruction of property in affected area of the ancient city. "This is to assure all and sundry that the breach of the peace in Ile Ife is not beyond the control of our highly mobilised security forces. "To this end, the Governor of the State of Osun, upon receiving reports of the fracas the exact cause of which is still under investigation, has ordered deployment of adequate security forces and is getting minute-by-minute situation reports. "The Government therefore warns those involved in this act of criminal breach of public peace to end it immediately as the full weight of the law would be brought to bear on anyone arrested." Following the bloody clashes between the Hausas and Yorubas in Ile-Ife, Governor of Osun, Rauf Aregbesola, Ooni of Ife, Oba Adeyeye Enitan Ogunwusi and the Leader of the Hausa Community in Ife, Alhaji Mahmud Madagali, have sued for peace. They canvassed for peaceful coexistence between the Hausas and Yoruba communities in Ile-Ife and its environs. The trio described the recent chaos that ensued between Hausa residents in Ile-Ife and Ife indigenes as unfortunate, saying no efforts would be spared to promote the diversity of the Nigerian nation. Aregbesola while addressing residents of Ile-Ife at the Ooni's palace shortly after his inspection tours to the areas where the incident occurred, promised to bring the perpetrators to justice.

MONDAY, MARCH 13, 2017 ˾ T H I S D AY

CITYSTRINGS

Residents of Sabo area during the deadly clash between the Hausa community and the Yorubas in Ile-Ife

The governor expressed sadness over the incident, pointing out that "it is disheartening to experience such wanton destruction in Ile-Ife again, after the end of tragic event of Ife/ Modakeke war of fifteen years ago." Aregbesola explained that the Northerners in Ile-Ife and other parts of Yoruba land are not strangers but part and parcel of their host communities, as many of them were born and bred in those places. Describing the cause of the incident as trivial, the state governor expressed displeasure over the escalation of the incidence that snowballed into killing and maiming of innocent people. He condemned in its entirety the way and manner at which people took law into their hands over the matter, saying his administration was bent on bringing to justice perpetrators of the violence. He noted that whoever was involved in the incident would be apprehended and prosecuted in accordance with the provision of the constitution. The governor attributed the existing love, peace and harmony between the three major tribes in Nigeria as part of legacies built by the nation's founding fathers, stressing that his government was ready to strengthen the virtues of togetherness. Aregbesola said as part of his efforts to guaranteeing peace and security, his administration would not in anyway condone cases of lawlessness. Affirming the existing cordial relationship between Yorubas, Hausas and other tribes in the state, Aregbesola attributed the cause of the recent violence in Ife to what he described as intrusion of miscreants to the midst of Hausas and Yorubas who have been living together in peace and harmony for years. He added that Ile-Ife being the cradle of Yoruba race was known for peace, love and tranquility, saying "This is the cradle of mankind by the belief of the Yorubas, a revered town of this pedigree should not be in the news for bad things. "Osun is the land of peace and love, we have not experienced this in the last six years, and I believe such thing would never happen again. "This incident is unfortunate because the cause of the fracas is not worth it. How could one explain that a common slap could lead to pandemonium and later death as we witnessed in Ife? "There must be a mix-up somewhere because with the picture we deduced from the incident, it shows that some people had taken the advantage of the peaceful cohabitation between our people in Ife most especially the Hausas and Ifes to cause mayhem. "As much as we condemn this violent attack, we equally want to place it on record that whoever is found guilty of perpetrating this wouldn't go free. "We will bring to justice those who were involved in the violence so as to serve as deterrent to others," he stressed. Aregbesola who used the occasion to extend the two days curfew early announced said "ongoing curfew is being extended to next-week Monday in view of the security reports." He also charged the people of Ile-Ife and

Security personnel patroling the aﬀected area

Oﬃcers of the Nigerian Civil Defence Corps maintaining law and order in the troubled area

Osun State in general on the need to imbibe the spirit of decorum whenever there is misunderstanding, saying constitution doesn't permit anyone to take law into his hands. Reiterating his government's commitment to promote communal peace and progress, Aregbesola promised to assist the victims within the limit of the state's resources and capability. He assured the Hausa community of adequate protection as government is already on top of the situation. Speaking also, the Ooni described the incident as unfortunate, promising to do whatever is humanly possible to punish the perpetrators. He contended that the crisis was instigated by the agent of darkness who always derive pleasure from wreaking havoc and unrest. Ooni who described members of the Hausa community in Ile-Ife as his subjects, said the cordiality being entrenched by the two ethnic groups had been the source of relative peace being enjoyed in the town. He said, "We are very grieved with what

I wish to appeal to all residents of Ile-Ife to embrace peace and desist from anything that can further lead to another crisis in Ife township and its environs. People should corporate with the law enforcement agents to unravel the cause(s) of the bloody violence and obey the curfew imposed by the state government in order to have a permanent peace in Ife land

happened because our partners (Hausas) in Ile-Ife whom this violent attack affected are not strange to us. We know ourselves. We have been living together for years. "We understand the pains they are going through in the course of this incident as we equally feel their agonies because we never thought this could happen in this town where we have been together for so many years. "I know all Hausas and they know me. Their leaders used to pay visit to palace and we used to give them warmth reception each time they come but quite unfortunate that this happened. "Though I understand the fact that those that perpetrated this are miscreants who had mixed up with our people to cause unnecessary mishap, but nevertheless, we would ensure that they are all brought to book. "As part of the efforts to prevent this, when the incident occurred, I sent some chiefs to address the situation which was amicably resolved at the initial stage and we all thought it was over until we woke up the following morning (Wednesday) to hear that they had started attacking one another but I swiftly informed the security agencies and they responded promptly.” The monarch, who commended Governor Rauf Aregbesola and members of his administration for their prompt response to the incident, described their quick intervention as reason for the resolution. According to him, "the police and army personnel have been deployed to sustain the normalcy. The Osun State government has extended the curfew in Ile-Ife which will start from 6pm and end by 7am till Monday. We all need to do our part to ensure peace," he assured. In his remarks, the leader of Hausa Community (Sherik Hausa) in Ile-Ife, Alhaji Muhamud Madagali, expressed disappointment over the incident, saying "we have been living peacefully in Yoruba communities for ages but not expecting such attack." He confirmed that the incident was orchestrated by miscreants who according

to him took the advantage of peace being enjoyed in Ile-Ife. Madagali therefore appealed to the state government to provide adequate security for his people and as well support them in recovering their losses to the incident. Similarly, some members of the National Assembly have condemned the clashes between Yorubas and Hausas in Ile-Ife. The Senator representing Osun East (Ife/Ijesa) Senatorial District, Senator Babajide Omoworare, has appealed to indigenes and non-indigenes of Ile-Ife to end the ongoing feud in Sabo area of Ile-Ife. In a statement made available to THISDAY by his Media Aide Comrade Tunde Dairo, Senator Omoworare appealed to all frayed nerves in the community to give peace a chance. According to Omoworare, “there is no alternative to peace, we must collectively live in atmosphere of peace for mutual prosperity this has been the long standing practice and must be sustained in the interest of everyone. This is with a view to finding a lasting solution to the present imbroglio and prevent another one in future." According to the Senator, “I sympathise with everyone affected by the crisis and implore the law enforcement agents to intensify their effort to bring the situation under control and restore peace and harmony to Ile-Ife. A member of the House of Representatives representing Ife Federal Constituency, Hon. Abiodun Adeogun has condemned Wednesday clash between the Hausa/Fulani and Yoruba in Ile-Ife where yet to be counted number of people lost their lives and scores also received injuries urging them to sheath their swords and embrace peace for the development of the ancient city. Adeogun in a statement he personally signed noted that "Hausa and Yoruba people of Ile Ife have been living together peacefully and harmoniously since a century ago. According to him, "They are living together without rancour because they tolerate themselves by overlooking some minors that could spark off violence among themselves. "It is very worrisome and bizarre to notice what happened yesterday (Wednesday) when hell was let loose, many killed and property worth several millions of naira were destroyed." "I extol the virtues of our law enforcement agents for their prompt intervention and Ooni of Ife, Oba Adeyeye Ogunwusi for his fatherly role to douse the tension during and after the crisis." "I wish to appeal to all residents of Ile-Ife to embrace peace and desist from anything that can further lead to another crisis in Ife township and its environs. "People should corporate with the law enforcement agents to unravel the cause(s) of the bloody violence and obey the curfew imposed by the state government in order to have a permanent peace in Ife land," he noted. As part of measures to forestall the reoccurrence of the bloody clash between the Hausas and Yorubas in Ile-Ife, the Inspector General of Police, Ibrahim Idris, has deployed Police Special Intervention Force to Ile-Ife to restore law and order.

MONDAY MARCH 13, 2017 ˾ T H I S D AY

INTERNATIONAL

email:foreigndesk@thisdaylive.com

Turkey’s Erdogan Warns Dutch will Pay Price for Dispute Turkish President Recep Tayyip Erdogan has warned the Netherlands it will“pay the price”for harming ties after two of his

ministers were barred. Mr Erdogan said: “We will teach them international diplomacy.”

Ousted S. Korea Leader Arrives Back Home, Expresses Defiance Ousted South Korean President Park Geun-hye expressed defiance toward the corruption allegations against her as she vacated the presidential palace and returned to her home on Sunday, two days after the Constitutional Court removed her from office. In her first public comments since the court’s ruling, Park said in statement, “Although it will take time, I believe the truth will certainly come out.” Park will likely face a direct investigation soon by prosecutors who already consider her a criminal suspect over suspicions that she colluded with a confidante to extort money and favours from companies and allowed the friend to secretly interfere with state affairs. Upon her return home, Park was greeted by hundreds of supporters who thunderously chanted her name and waved the South Korean flag as her bodyguard-flanked black sedan slowly rolled onto a path near the house. Park, dressed in a dark blue coat and her hair tied in a bun, smiled and waved from inside the car. She then stepped out and shook hands and exchanged brief words with members of her political party before going inside the house. In her statement, which

was read to reporters by Min Kyungwook, a lawmaker from her conservative party and her former spokesman, Park also expressed gratitude to her supporters and apologised for “failing to fulfill my duty as president.” Prior to Sunday, she had apologised for putting trust in her jailed friend, Choi Soon-sil, but strongly denied any legal wrongdoing. Youn Kwansuk, the spokesman for the liberal Democratic Party, the largest in parliament, called Park’s statement“shocking”and “very regrettable” because she did not express remorse. “Former President Park will now be investigated by prosecutors as a civilian and as a criminal suspect,”Youn said in a statement. “So it’s very regrettable that former President Park decided to waste her last opportunity to come before the nation and show responsibility.” Park no longer has immunity from prosecution and may face criminal charges including extortion, bribery and abuse of power. The Constitutional Court formally removed her from office on Friday, upholding an impeachment motion filed by lawmakers in December that followed weeks of massive protests by millions of people calling for her ouster.

The two ministers were blocked from addressing Turkish expatriates in Rotterdam on Saturday, with one of them escorted to the German border. The Dutch government says such events would stoke tensions days before the Netherlands’ general election. The ministers were trying to win support among expatriate voters for a referendum on expanding Turkish presidential powers. Fatma Betul Sayan Kaya, Turkey’s family minister, had arrived by road on Saturday but was denied entry to the consulate in Rotterdam and was taken to the German border by Dutch police. Foreign Minister Mevlut Cavusoglu tried to ﬂy in but was refused entry. Water cannon and riot police

The area has been a dumping ground for Addis Ababa’s rubbish for more than five decades. Local resident Tebeju Asres told the AP news agency that the family’s house had been swallowed by the landslide. “My mother and three of my sisters were there when the landslide happened. Now I don’t know the fate of all of them.” Many people had been

Joni Sledge, the singer bestknown for the disco anthem We Are Family, has died aged 60. Sledge, who formed Sister Sledge with her three siblings in 1971, was found unresponsive by a friend at her home in Phoenix, Arizona, her publicist said. She had not been ill and the cause of death is unknown. Sledge, who is survived by her adult son, last performed with the band in October. Her death was announced on social media on Saturday - a week before the group were due to perform in Los Angeles. “Yesterday, numbness fell upon our family,” a statement released on Facebook read. “We are saddened to inform

scavenging at the site to make a living, and some even resided there permanently. There are fears that the death toll will rise further. The authorities have been building Africa’s first waste-to-energy plant near the landfill. They plan to burn rubbish generated by the capital’s estimated four million people and convert it into electricity.

Jordan Releases Soldier Who Shot Israeli Schoolgirls A Jordanian soldier who killed seven Israeli schoolgirls in 1997 has been released after serving 20 years in prison, Jordanian officials say. They say Ahmed Daqamseh is now at his family home in a village near the northern city of Irbid. Daqamseh opened fire at the Israeli pupils during their trip to an island in

the border area with Jordan. A military court deemed him mentally unstable at the time and sentenced him to life in prison. In Jordan, this usually means 25 years. However, some lawmakers had lobbied for him to be freed early. Israel has so far made no public comment on the soldier’s release. After the shooting, Jor-

the sake of the elections on Wednesday, you will pay a price.” Threatening to travel to rallies abroad himself, he added:“The West has clearly shown its true face in the last couple of days. What we have seen... is a clear manifestations of Islamophobia. “I have said that I had thought that Nazism was over, but that I was wrong. Nazism is alive in the West,” he said. But he thanked France for allowing Mr Cavusoglu to travel to the northern city of Metz to address a rally there on Sunday, saying:“France was not deceived by such games.” A French ofﬁcial has said the rally had been allowed because it did not pose a public order threat, while France’s foreign ministry has called on Turkey to avoid provocations. ‘Unacceptable blackmail’

Speaking in Metz, Mr Cavusoglu described the Netherlands as the “capital of fascism”. He said of the Dutch ambassador, who is on leave: “We are saying that there is no need to come back to Turkey. He can’t come, he can’t enter.” The Dutch government is facing a severe electoral challenge from the anti-Islam party of Geert Wilders in its election on Wednesday. Reports say the owner of a venue in the Swedish capital, Stockholm, has now cancelled a pro-Erdogan rally on Sunday that was to have been attended by Turkey’s agriculture minister. Sweden’s foreign ministry said it was not involved in the decision and that the event can take place elsewhere.

Sister Sledge Singer Joni Dies at 60

Ethiopia’s Rubbish Landslide Kills Many in Addis Ababa Thirty-five people have been killed in a landslide at a vast rubbish dump on the outskirts of Ethiopia’s capital Addis Ababa, officials say. They say dozens of people are still missing since the landslide on Saturday night at the Koshe landfill. A resident said 150 people were there at the time. A number of makeshift houses are now buried under tonnes of waste.

on horseback were deployed to disperse about 1,000 people protesting outside the Turkish consulate in Rotterdam overnight. ‘True face’ Protests were also held on Sunday outside the Dutch consulate in Istanbul, where the Netherlands’ ﬂag was replaced with a Turkish one, which was later removed. The Netherlands’ foreign ministry responded by saying that the Turkish authorities were responsible for the safety of Dutch diplomats in Turkey. Speaking at an awards ceremony in Istanbul on Sunday, Mr Erdogan said of the Netherlands: “They will certainly pay the price, and also learn what diplomacy is.” Accusing the Dutch of acting in an “impudent” way, he said: “Holland! If you are sacriﬁcing Turkish-Dutch relations for

dan’s late King Hussein personally apologised for the incident and visited the families of the dead girls in Israel to offer his condolences. Jordan also paid compensation. Daqamseh is seen as a hero by some opposition activists in Jordan, who oppose the country’s peace treaty with Israel, signed in 1994.

you that our dear sister, mother, aunt, niece and cousin, Joni passed away yesterday.” It added: “We miss her and hurt for her presence, her radiance, and the sincerity with which she loved and embraced life.”

Aside from the Grammynominated We Are Family, the hit which sold more than a million copies after it was released in 1978, the group were also known for He’s the Greatest Dancer, Lost in Music and a cover of the Motown classic My Guy.

They sang We Are Family for Pope Francis in 2015. The Sledge sisters came from a family of performers, including an actress mother, a Broadway star for a father and an opera singer for a grandmother.

T H I S D AY MONDAY MARCH 13, 2017

S/N

CUSTOMER

ITEM OF IMPORT

HAULAT DABIRI

PTA

DATE OF FUND PURCHASE 6-Mar-17

375.00

4,000.00

GMT (CFAO YAHAMA)

ASSEMBLING PARTS FOR YAMAHA MOTORCYCLE

6-Mar-17

306.25

120.00

GMT (CFAO YAHAMA)

ASSEMBLY PARTS FOR YAMAHA MOTORCYCLE

6-Mar-17

306.25

150.00

WACOT LIMITED

NATURAL SESAME CLEANING PLANT

6-Mar-17

306.25

404.00

WACOT LIMITED

NATURAL SESAME CLEANING PLANT

6-Mar-17

305.50

686.67

CORONATION MERCHANT BANK

BANK CHARGE

6-Mar-17

306.25

867.38

PROMASIDOR NIGERIA LIMITED

BULK MULTI-PLY BAGS MIKSI FAT FILLED MILK

6-Mar-17

306.25

20.00

STARSONIC NIGERIA LIMITED

HIGH DENSITY POLYETHYLENE BLOW

6-Mar-17

305.50

108.89

BSV INDUSTRIES LIMITED

LOW DENSITY POLYETHYLENE

7-Mar-17

320.50

190,400.00

CROWN FLOUR MILLS LTD

RUSSIAN MILLING WHEAT

7-Mar-17

320.50

399,924.69

DANA PHARMACEUTICALS LTD

VARIOUS PACKING MATERIALS FOR PHARM PVT. LTD

7-Mar-17

320.50

13,260.00

DANA PHARMACEUTICALS LTD

RAW MATERIALS FOR PHARM INDUSTRY

7-Mar-17

320.50

GMT NIG-(FRIESLAND CAMPINA)

EVAPORATED FULL CREAM MILK PEAK GOLD

7-Mar-17

320.50

81,164.16

HOLLKEM NIGERIA LIMITED

SPARE PART FOR PACKAGING MACHINE, SIEVING MACHINE

7-Mar-17

320.50

217,938.57

KGM IND LTD

PP HOMOPOLYMER (RAFFIA)

7-Mar-17

320.50

78,080.00

MIKANO INT'L LTD

GAS GENERATORS CONSISTING OF PERKINS ENGINE

7-Mar-17

320.50

432,921.60

OLAM SANYO FOODS LTD

CLASSIC CHICKEN (100GM)

7-Mar-17

320.50

86,797.92

PROMASIDOR NIGERIA LTD

BULK MULTI-PLY BAGS MIKSI FAT-FILLED MILK

7-Mar-17

320.50

502,504.00

SACVIN NIGERIA LIMITED

HIGH DENSITY POLYETHYLENE BLOW

7-Mar-17

320.50

288,750.00

TELECOM POWER SOLUTION

INDUSTRIAL VALVE REGULATED RECHARGEABLE BATTERY

7-Mar-17

320.50

115,812.00

TELECOM POWER SOLUTION

INDUSTRIAL VALVE REGULATED RECHARGEABLE BATTERY

7-Mar-17

320.50

173,718.00

VIRAMSUN NIGERIA LIMTED

SPARE PARTS FOR AUTOMOTIVE VEHICLES

7-Mar-17

320.50

219,309.88

VIRAMSUN NIGERIA LIMTED

RAW MATERIAL FOR BOOK PRODUCTION,WOODFREE

7-Mar-17

320.50

200,000.00

VIRAMSUN NIGERIA LIMTED

RAW MATERIAL FOR BOOK PRODUCTION,WOODFREE

7-Mar-17

320.50

88,382.00

VIRAMSUN NIGERIA LIMTED

RAW MATERIAL FOR BOOK PRODUCTION,WOODFREE

7-Mar-17

320.50

81,307.89

OLAM NIGERIA LIMITED

AGRICULTURAL MACHINERY FOR PROCESSING/CLEANING

7-Mar-17

320.50

64,293.90

OLAM NIGERIA LIMITED

AGRICULTURAL MACHINERY FOR PROCESSING/CLEANING

7-Mar-17

320.50

32,368.35

MIKANO INT'L LTD

CKD GENERATORS CONSISTING OF PERKINS ENGINE

7-Mar-17

306.00

6,782.00

MIKANO INT'L LTD

CKD GENERATORS CONSISTING OF PERKINS ENGINE

7-Mar-17

306.00

10,000.00

MIKANO INT'L LTD

HYUNDAI FORKLIFT TRUCKS

7-Mar-17

306.00

83,218.00

VAUGHAN ADEPEJU

PTA

8-Mar-17

375.00

4,000.00

FRIESLAND CAMPINA

BUTTERMILK POWDER HS BAG

8-Mar-17

306.20

45,883.40

FRIESLAND CAMPINA

GUM BASE MP- GROWING UP MILK 1X25KG BAGS

8-Mar-17

306.20

51,360.76

GMT NIG-(FRIESLAND CAMPINA)

EVAPORATED FULL CREAM MILK PEAK GOLD

8-Mar-17

306.20

22,982.40

GMT NIG-(FRIESLAND CAMPINA)

SWEETENED CONDENSED FILLED MILK FRISTI VANILLA

8-Mar-17

306.20

79,773.44

OYINKAN LAWAL

PTA

9-Mar-17

375.00

4,000.00

RAJI OYEBOWALE

PTA

10-Mar-17

375.00

4,000.00

GMT

ASSEMBLY PARTS FOR YAMAHA MOTORCYCLE

10-Mar-17

320.50

220,460.00

GMT (CFAO YAHAMA)

ASSEMBLING PARTS FOR YAMAHA MOTORCYCLE

10-Mar-17

320.50

279,540.00

FAREAST MERCANTILE

INDUSTRIAL TALC POWDER

10-Mar-17

320.50

52,440.00

FAREAST MERCANTILE

TIGER RAZOR BLADES

10-Mar-17

320.50

268,585.80

FAREAST MERCANTILE

TIGER RAZOR BLADES

10-Mar-17

320.50

165,411.80

FAREAST MERCANTILE

VITAMILK BRAND PRODUCTS

10-Mar-17

320.50

13,562.40

VIK INDUSTRIES

RAW MAT FOR THE MANUFAC OF INJECTION - COPOLYMER

10-Mar-17

320.50

178,106.35

VIK INDUSTRIES

RAW MAT FOR THE MANUFAC OF INJECTION - COPOLYMER

10-Mar-17

320.50

238,000.00

VIK INDUSTRIES

RAW MAT FOR THE MANUFAC OF INJECTION - COPOLYMER

10-Mar-17

320.50

238,000.00

VIK INDUSTRIES

RAW MAT FOR THE MANUFAC OF INJECTION - COPOLYMER

10-Mar-17

320.50

306,000.00

VIK INDUSTRIES

MOULDS MADE OF STEEL AND MONOFILAMENTS

10-Mar-17

320.50

39,893.65

FRIESLAND CAMPINA

GUM BASE MP- GROWING UP MILK 1X25KG BAGS

10-Mar-17

320.50

86,726.92

FRIESLAND CAMPINA

BUTTERMILK POWDER HS BAG

10-Mar-17

320.50

157,772.88

FRIESLAND CAMPINA

BUTTERMILK POWDER HS BAG

10-Mar-17

320.50

200,691.80

FRIESLAND CAMPINA

BUTTERMILK POWDER HS BAG

10-Mar-17

320.50

54,808.40

ECOBANK

INTERBANK SALES

10-Mar-17

305.80

200,000.00

SUNTRUST

INTERBANK SALES

10-Mar-17

305.80

200,000.00

UBA

INTERBANK SALES

10-Mar-17

305.80

200,000.00

UNITY

INTERBANK SALES

10-Mar-17

305.80

225,000.00

ACCESS

INTERBANK SALES

10-Mar-17

305.80

25,000.00

FIRST BANK

INTERBANK SALES

10-Mar-17

305.80

25,000.00

GTB

INTERBANK SALES

10-Mar-17

305.80

25,000.00

ECOBANK

INTERBANK SALES

10-Mar-17

305.80

50,000.00

GTB

INTERBANK SALES

10-Mar-17

305.80

25,000.00

FSDH

INTERBANK SALES

10-Mar-17

305.80

25,000.00

GMT (CFAO YAHAMA)

ASSEMBLY PARTS FOR YAMAHA MOTORCYCLE

10-Mar-17

305.80

75,922.00

FRIESLAND CAMPINA

GUM BASE MP- GROWING UP MILK 1X25KG BAGS

10-Mar-17

305.80

73,813.08

SUNRISE

TRANSPARENT, BOPP FILM FOR PACKAGING RAW MAT

10-Mar-17

305.80

66,700.00

FRIESLAND CAMPINA

BUTTERMILK POWDER HS BAG

10-Mar-17

305.80

46,368.00

FRIESLAND CAMPINA

BUTTERMILK POWDER HS BAG

10-Mar-17

305.80

237,196.92

FRIESLAND CAMPINA

BUTTERMILK POWDER HS BAG

10-Mar-17

306.80

200,000.00

S/N

CUSTOMER

DATE OF FUND PURCHASE

EXCHANGE RATE

USD AMOUNT

OTHER SOURCES 1

7-Mar-17

305.00

169.78

OTHER SOURCES 2

7-Mar-17

305.00

6.86

OTHER SOURCES 3

7-Mar-17

305.00

3.46

OTHER SOURCES 4

6-Mar-17

305.50

100,000.00

OTHER SOURCES 5

8-Mar-17

305.70

225,000.00

OTHER SOURCES 6

10-Mar-17

306.30

200,000.00

CBN

10-Mar-17

305.30

1,500,000.00

CBN FORWARDS

7-Mar-17

320.00

3,267,606.96

CBN FORWARDS

10-Mar-17

320.00

2,500,000.00

TOTAL AMOUNT

AVERAGE AMOUNT

7,792,787.06 865,865.23

EXCHANGE RATE

USD AMOUNT

674.00

Ë&#x153; ÍŻÍąË&#x153; Í°ÍŽÍŻÍľ Ëž T H I S D AY

Nigeriaâ&#x20AC;&#x2122;s top 50 stocks based on market fundamentals

10-Mar-17

9-Mar-17

% Change

Capitalisation

EPS

P/E

P/S

Div. Yld

Price/ Book Value

Table 1 Market Statistics Mkt Indicators

Open 9-Mar-17

NSE All Share Index NSE Market Cap (N'Trillion)

25,170.36 8.71

25,238.01 8.73

0.27% 0.27%

104.51 8.14

104.87 8.17

0.34% 0.34%

01 Dangote Cement Plc

161.00

159.75

0.78%

2,743,521,692,205.00

9.20

17.49

4.83

4.97%

3.67

02 Nigerian Breweries Plc

130.00

130.36

-0.28%

1,030,783,115,440.00

4.03

32.22

3.42

2.77%

6.29

24.50

24.61

-0.45%

721,063,890,988.00

4.90

5.00

1.79

7.22%

1.46

734.99

725.55

1.30%

582,594,418,657.48

8.81

83.41

3.37

3.95%

18.46

Thisday BGL 50 Index Thisday BGL 50 Market Cap (N'Trillion)

03 Guaranty Trust Bank Plc 04 Nestle Nigeria Plc 05 Zenith Bank Plc

14.78

14.65

0.89%

464,040,178,157.08

3.91

3.78

0.97

12.18%

0.67

Table 3 Top 5 Gainers

380.00

0.00%

210,257,918,940.00

-44.58

-8.52

2.71

4.19%

0.53

Stock

6.69

6.70

-0.15%

193,528,130,211.39

2.59

2.58

0.55

8.22%

0.44

08 Presco Plc

47.00

0.00%

186,612,421,115.00

0.03

1,607.40

2.62

2.77%

4.46

09 Ecobank Transnational Incorporated

10.03

10.30

-2.62%

184,045,998,686.45

0.68

14.83

0.31

6.18%

0.29

10 Stanbic IBTCÂ Holdings Plc

18.29

0.00%

182,900,000,000.00

2.04

8.98

1.30

0.55%

1.55

11 United Bank for Africa Plc

5.02

5.01

0.20%

182,123,222,136.44

1.75

2.87

0.54

11.95%

0.42

12 Lafarge Africa Plc

36.28

37.05

-2.08%

165,251,837,666.80

-9.39

-3.86

0.77

8.27%

0.81

13 Unilever Nigeria Plc

32.30

29.40

9.86%

122,200,468,875.00

0.69

46.67

1.84

0.15%

13.03

14 FBN Holdings Plc

2.99

2.98

0.34%

107,326,925,448.08

0.21

14.41

0.20

5.02%

0.17

15 Mobil Oil Nig Plc

285.00

0.00%

102,769,649,670.00

19.32

14.75

1.13

2.53%

5.55

06 Seplat Petroleum Dev. Co. Ltd 07 Access Bank Plc

16 Guinness Nig Plc

66.01

68.00

-2.93%

99,403,679,289.88

-3.06

-21.59

0.96

4.85%

2.52

17 Total Nigeria Plc

272.00

284.00

-4.23%

92,349,939,664.00

38.02

7.15

0.34

5.15%

4.05

6.00

0.00%

72,000,000,000.00

1.03

5.85

0.50

8.33%

1.16

51.67

50.50

2.32%

67,299,198,592.01

3.31

15.63

0.44

6.68%

1.56

5.08

5.00

1.60%

61,135,863,981.52

-3.15

-1.61

0.24

14.76%

0.38

21 7-Up Bottling Comp. Plc

86.00

0.00%

55,090,771,218.00

-0.05 -1,882.87

0.59

2.56%

2.48

22 Julius Berger Nig. Plc

40.25

38.66

4.11%

53,130,000,000.00

-2.95

-13.66

0.46

3.73%

2.80

23 International Breweries Plc

15.70

0.00%

51,719,713,696.00

0.02

696.79

1.94

1.59%

4.71

24 Flour Mills Nig. Plc

17.45

0.00%

45,792,938,913.15

-1.19

-14.63

0.11

11.46%

0.46

25 Okomu Oil Palm Plc

48.00

47.00

2.13%

45,787,680,000.00

4.82

9.95

6.96

0.21%

2.84 0.38

18 Dangote Sugar ReďŹ nery Plc 19 Forte Oil Plc. 20 Oando Plc

26 Transnational Corporation Of Nigeria Plc

0.72

0.00%

27,879,118,146.00

-0.47

-1.54

0.53

0.00%

13.20

0.00%

25,355,409,908.40

3.37

3.91

0.33

7.58%

0.34

28 FCMB Group Plc

1.20

0.00%

23,763,252,937.20

0.61

1.96

0.15

8.33%

0.13

29 Fidelity Bank Plc

0.81

0.83

-2.41%

23,459,694,410.52

0.39

2.09

0.16

19.75%

0.13

30 Sterling Bank Plc

0.73

0.74

-1.35%

21,017,005,231.98

0.29

2.54

0.19

12.33%

0.26

28.12

0.00%

19,684,000,000.00

2.28

12.31

2.95

4.09%

11.50

32 Wema Bank Plc

0.50

0.00%

19,287,233,040.50

0.06

8.39

0.38

0.00%

0.41

33 Custodian And Allied Insurance Plc

3.23

0.00%

18,998,421,349.85

0.76

4.23

0.52

4.33%

0.66

34 Diamond Bank Plc

0.81

0.83

-2.41%

18,759,915,064.08

-0.29

-2.76

0.09

0.00%

0.08 2.51

27 U A C NÂ Plc

31 Cap Plc

35 National Salt Co. Nig. Plc 36 Glaxo Smithkline Consumer Nig. Plc 37 Mansard Insurance Plc 38 Cadbury Nigeria Plc

7.00

0.00%

18,546,068,646.00

0.85

8.24

0.99

7.86%

14.50

14.10

2.84%

17,340,209,076.00

-2.98

-4.86

0.62

2.07%

1.97

1.51

1.52

-0.66%

15,855,000,000.00

0.28

5.42

0.79

3.31%

0.75 1.43

7.80

0.00%

14,649,975,912.00

0.50

15.62

0.52

16.67%

13.99

0.00%

13,990,000,000.00

5.69

2.46

0.98

0.71%

0.38

40 Continental Reinsurance Plc

1.06

0.00%

10,995,108,970.72

0.42

2.52

0.50

11.32%

0.59

41 Honeywell Flour Mill Plc

1.05

0.96

9.38%

8,326,707,540.90

-0.40

-2.60

0.17

15.24%

0.25

42 Unity Bank Plc

0.67

0.00%

7,831,856,421.14

-0.10

-6.54

0.12

0.00%

0.09

43 Skye Bank Plc

0.50

0.00%

6,940,150,705.00

-2.93

-0.17

0.04

60.00%

0.07

44 Wapic Insurance Plc

0.50

0.00%

6,691,369,126.00

0.18

2.78

0.85

6.00%

0.41

45 Resort Savings & Loans Plc

0.50

0.00%

5,664,866,202.00

0.03

17.71

3.72

0.00%

1.94

46 Cement Co. Of North.Nig. Plc

4.30

0.00%

5,403,714,393.80

0.22

19.64

0.49

2.33%

0.50

47 AIICO Insurance Plc

0.59

0.60

-1.67%

4,088,820,643.20

0.22

2.65

0.14

8.47%

0.40

48 Nigerian Aviation Handling Company Plc

2.20

2.19

0.46%

3,573,281,250.00

0.15

14.56

0.44

9.09%

0.60

49 UACN Property Development Co. Limited

1.79

0.00%

3,076,562,491.05

0.30

5.98

0.73

39.11%

0.09

50 Fidson Healthcare Plc

0.93

0.00%

1,395,000,000.00

0.24

3.95

0.21

5.38%

0.22

39 PZ Cussons Nigeria Plc

TOTAL

8,165,302,395,017.62

TOTAL MARKET CAP

8,734,397,234,717.20

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

93.48%

Close Change % 10-Mar-17

Open Close Change 9-Mar-17 10-Mar-17 %

Unilever Nigeria Plc Honeywell Flour Mill Plc Julius Berger Nig. Plc Glaxo Smithkline Consumer Nig. Plc Forte Oil Plc.

29.40 0.96 38.66 14.10 50.50

32.30 1.05 40.25 14.50 51.67

9.86% 9.38% 4.11% 2.84% 2.32%

Table 4 Top 5 Losers Stock

Open Close Change 9-Mar-17 10-Mar-17 %

Total Nigeria Plc Guinness Nig Plc Ecobank Transnational Incorporated Diamond Bank Plc Fidelity Bank Plc

284.00 68.00 10.30

272.00 -4.23% 66.01 -2.93% 10.03 -2.62%

0.83 0.83

0.81 -2.41% 0.81 -2.41%

Market ends week with 0.27% gain Market pulse on the Nigerian Stock Exchange (NSE) today â&#x20AC;&#x201C; Friday, March 10th, 2017 ended the week on a positive note as the stock market closed green. This was further highlighted by positive performance from the NSE Subsectors: Insurance and Consumer Goods (Save Banking and Oil & Gas). Also, trading activities increased in volume as 245.39m shares worth of N2.31 billion in 3,260 deals exchanged hands today. This is an increase from as 215.91m shares worth of N2.19 billion in 3,279 deals which exchanged hands on Thursday. Topping in volume terms are: Zenith Bank Plc, Diamond Bank Plc and FBN Holdings Plc, Zenith Bank Plc and Access Bank Plc ended trading as the most active stocks in value terms. Today, Brent crude oil price continues its descent to hold position at US$51.39 per barrel. The All Share Index (NSEASI) closed positive with 0.27% (+67.65) increase to close at 25,238.01 from 25,170.36 the previous trading day. Market capitalization appreciated in tandem to N8.73 trillion from N8.71 trillion of prior trading day. Similarly, the Thisday BGL 50 Index closes with an increase of 0.34% to 104.87 from 104.51 recorded at the end of the previous trading day, while its market capitalization stood at N8.17 trillion from N8.14 trillion of the previous trading day. Market breath closed positive today as 16 stocks gained on the bourse while 16 stocks also declined, leaving 7 stocks unchanged. Topping the Thisday BGL 50 Index gainersâ&#x20AC;&#x2122; list is Unilever Nigeria Plc as it emerged as the dayâ&#x20AC;&#x2122;s toast of investors with a gain of 9.86% to close at N32.30 per share. It was followed by Honeywell Flour Mill Plc with a gain of 9.38% to close at N1.05 per share. Others on the gainers list include: Julius Berger Nig. Plc, GlaxoSmithKline Consumer Nig. Plc and Forte Oil Plc; while on the declinersâ&#x20AC;&#x2122; list, Total Nigeria Plc lead with a loss of 4.23% to close at N272.00 per share. It was followed by Guinness Nig. Plc with a loss of 2.93% to close at N66.01 per share. Others on the decliners list include: Ecobank Transnational Incorporated, Diamond Bank Plc and Fidelity Bank 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 ďŹ rm may have a conďŹ&#x201A;ict 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 MONDAY MARCH 13, 2017

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Address: No. 8A, Saka Tinubu Street, Victoria Island, Lagos. No. 52, Olu Obasanjo Road, Port Harcourt, Rivers State. Tel: t Email: Ijawprofessionals@gmail.com

FEDERAL GOVERNMENT’S DIRECTIVE TO OIL AND GAS COMPANIES TO MOVE HEAD OFFICES TO THEIR OPERATIONAL AREAS

he Ijaw Professionals Association (IPA) commends and congratulates the Federal Government of Nigeria on its historic directive to all oil and gas companies operating in Nigeria to expeditiously relocate their head offices to their operational areas and communities.

This profound directive conveyed by the Acting President, Professor Yemi Osinbajo, on Thursday, 2nd March 2017 in Uyo, Akwa Ibom State, during his equally encouraging stakeholder consultation tours to all states in the long-neglected and distressed Niger Delta region, is the strongest signal in many years that the Federal Government may sincerely begin to address the age-old challenges of the region from the roots rather than the usual cosmetic approach of trying to dust off the symptoms on the surface. The presidential directive answers one of the cardinal demands of petroleum host communities over the last half century. For the oil producing and heavily oil-polluted communities and states in the Niger Delta, this might be the most authentic evidence of the Nigerian-local content policy that was recently enacted into law but is yet to be of much practical value to our peoples’ lives and local economies in the region. Hopefully, it would also mark a departure from the mutually counter-productive tactics of seeking to suppress agitation and its regrettable ramifications by military might. Although the Federal Government’s directive, even upon complete implementation, will not be the full and final solution to the Niger Delta question, it will be of tremendous benefit to Nigeria and to the region by the significant impact it will have on the region in terms of social development and economic empowerment, restoration of the crucial peaceful atmosphere for smooth oil and gas operations and the consequent sustainability of the substantial national revenues flowing from the region and its coastal treasures. The speed and commitment with which the directive will be implemented and facilitated by all stakeholder segments are therefore matters of critical national importance and urgency. The momentum must not only be maintained, but maximized as well. For these reasons, it is highly incumbent on all key stakeholders and drivers to act promptly and pointedly towards immediate implementation of the Federal Government’s directive. In that regard, we look primarily to the Honorable Minister of State for Petroleum Resources, Dr Emmanuel Ibe Kachikwu, to in his usual energetic manner drive an accelerated process for the relocation of all oil and gas companies to their areas of operation. This would expectedly include the Nigerian National Petroleum Corporation, its various subsidiaries (NAPIMS, NETCO, HYSON, IDSL, etc) and the relevant regulatory/monitoring and capacity building agencies such as the Department of Petroleum Resources, the Petroleum Technology Development Fund and the National Oil Spill Detection and Response Agency, which have all curiously remained at a dysfunctional distance far from the geographical centres of their operations and mandates. We trust that the industry operators, especially but not restricted to the multinational oil companies, will cooperate fully and swiftly on this declared thrust of the Government of Nigeria. It is also our minimum expectation from the indigenous operators that they will follow suit, moreover as they are all beneficiaries of the petroleum industry indigenization or Nigerianlocal content policy and in particular recent divestments of oil mining leases and marginal fields. The peoples of the Niger Delta region and the rest of Nigeria look forward to this. Ijaw Professionals Association anticipates that the home governments of the multinational oil and gas companies (The United States of America, The United Kingdom, The Netherlands, France, Italy, Norway, the European Union, etc) will take all measures to actively encourage

their corporate nationals to comply with this directive of the Government of Nigeria and to start thereby to repair some of the grave and intolerable hardships and losses they have inflicted on the peoples and communities in the region for about sixty years continuously. We urge as a matter of urgent responsibility the Governors of the affected states, the Nigerian Content Development and Monitoring Board, the Niger Delta Development Commission and the Minister of Niger Delta Affairs to seize the moment NOW and work together and with the Minister of State for Petroleum Resources and the Minister of Budget and National Planning to facilitate the actualization of the directive. This should include an immediate and mutually coordinated short to medium term infrastructure and amenities plan, with clearly defined stakeholder commitments on funding and other enablers. Such a strategic facilitation plan will be of immense value towards bringing the Federal Government’s visionary directive to quick fruition. Our Governors and other key actors, including leading professional bodies and genuine stakeholder platforms, should commit themselves to this opportunity and challenge, with the target of ensuring that the relocation of all oil and gas companies is consummated within the next six to twelve months, while arrangements for perfecting their settling down continue for such further time as may be expedient. IPA commits to collaborating with these vital governmental and non-governmental institutions and mobilizing its wide membership, expertise and leverages towards the fulfillment of this potentially redefining and transformative presidential directive. Finally, Ijaw Professionals Association is studying with keen interest the Economic Recovery and Growth Plan (ERGP) that has just been released by the Federal Government in its bid to revitalize the Nigerian economy. IPA notes in particular the Federal Government’s proposal in the ERGP to sell down its stakes in the joint venture oil assets. IPA strongly appeals to the Federal Government, in its implementation of this proposal, to see and exploit the opportunity therein to quickly regain the broken trust of oil and gas producing communities and consolidate Government’s current constructive approach towards the Niger Delta region. The broad twin strategy for achieving this objective consists in (i) applying part of the proceeds of the planned divestments to fund and underwrite the critical infrastructure needs of the region as has never been done before, and (ii) immediately integrating oil producing communities into the equity ownership of oil and gas assets through both the Federal Government’s planned divestment and the recent/ongoing divestment of onshore oil and gas assets of the major, mostly multinational, oil producing companies. Again, we congratulate the President and the Federal Government of Nigeria on the bold, progressive and purposeful directive for oil producing companies to relocate to their operational areas, as its sincere fulfillment will be a forward leap towards the entrenchment of equity, lasting peace, national prosperity and sustainable unity.

MAJOR GENERAL PAUL ALAOWEI TOUN (RTD) Chairman, Board of Trustees

INIRUO WILLS

ELAYE OTROFANOWEI

President, Homeland Chapter (Rivers, Bayelsa and Delta States)

President, Lagos Chapter

T H I S D AY MONDAY MARCH 13, 2017

MONDAY, MARCH 13, 2017Ëž T H I S D AY

NEWS

Ă?ĂĄĂ? Ă&#x17D;Ă&#x201C;Ă&#x17E;Ă&#x2122;Ă&#x153; Davidson Iriekpen Ă&#x2014;Ă&#x2039;Ă&#x201C;Ă&#x2013; davidson.iriekpen@thisdaylive.com, 08111813081

Adoke: Obasanjo, Yarâ&#x20AC;&#x2122;Adua, Jonathan Endorsed Malabu Oil Agreement Demands Malami speaks out on the issue Tobi Soniyi Ă&#x201C;Ă&#x2DC; Ă&#x152;Ă&#x;Ă&#x201D;Ă&#x2039; A former Attorney General of the Federation (AGF) and Minister for Justice, Mohammed Bello Adoke (SAN), has again faulted the decision of the Economic and Financial Crimes Commission (EFCC) to prosecute him and others for resolving the ownership disputes of the Oil Prospecting Licence 245 between the federal government, Shell Nigeria Ultra Deep and Malabu Oil and Gas Limited. In a letter he wrote to the incumbent AGF and Minister for Justice, Abubakar Malami (SAN), Adoke said three past presidents namely: Olusegun Obasanjo, Umaru Yarâ&#x20AC;&#x2122;Adua and Goodluck Jonathan, approved the settlement arrangement that culminated in the final settlement of the protracted dispute. The former minister also expressed regret that the EFCC had allowed itself to be used by the late Sani Abachaâ&#x20AC;&#x2122;s family to pursue personal interest instead of national interest for which the commission was established. He wondered why the Abachaâ&#x20AC;&#x2122;s family had refused to go to court if truly the familyâ&#x20AC;&#x2122;s interest was adversely affected by the settlement agreement. The former AGF described as spurious and malicious, the charges filed against him and other individuals and companies, demanding that Malami should speak out on the issue since his office has all the facts. Adoke said: â&#x20AC;&#x153;Recent actions of the EFCC to impugn the settlement which was done in the national interest, particularly their penchant to suppress facts relating to the transaction and the filing of criminal charges against me for conspiracy and aiding the commission of money

laundering offence and the latest allegations of bribe taking, have revealed very clearly that either your office and that of the EFCC are not working in harmony or that something sinister is going on. â&#x20AC;&#x153;Having given you the benefit of the doubt that you would not sponsor deliberate falsehood against me, my suspicion is that there is an orchestrated plot by the EFCC to deliberately impugn a transaction that has been scrutinised and approved by at least three past presidents and three AGFs; drag my name in the mud and paint me with the tar of corruption in order to attract public odium. â&#x20AC;&#x153;As the Chief Law Officer of the Federation, you have a public duty to speak on this matter so that Nigerians would know whether I acted mala fide or abused my office in the entire transaction leading to the final implementation of the settlement. Nigerians need to know whether your predecessors in office from 2006 to May 2015 acted in the national interest when they brokered and implemented the settlement. â&#x20AC;&#x153;It will also be instructive for Nigerians to know whether your predecessors were carrying out their personal agenda or that their respective actions were carried out with the knowledge and approval of their respective principals. â&#x20AC;&#x153;I believe it is your responsibility to explain to the public who are being sold a fiction that the transaction started from President Obasanjo, under whose administration the Terms of Settlement were brokered with Chief Bayo Ojo (SAN), as the then AGF who executed the Terms of Settlement before the tenure of President Jonathan, who approved the

final implementation of the Terms of Settlement and my humble self who executed the resolution agreements. This is more so as the settlement and its implementation were situated in the Federal Ministry of Justice. â&#x20AC;&#x153;Honourable Attorney General of the Federation, your response is crucial because it has become glaring that the actions of the EFCC in respect of the transaction are not in the national interest, but rather in furtherance of a plot to serve the interests of some powerful families and individuals who are aggrieved by my refusal to accede to their requests to compel Malabu to pay them certain amount from the proceeds of its divestment in OPL 245, and the subsequent re-allocation of the oil block to Shell/Eni. You will recall that I had on several occasions asserted this fact. I am therefore surprised that a national institution is being used to further the interest of individuals whose claim or shareholding in Malabu remains shady, and prefer to engage proxies to fight their battles. â&#x20AC;&#x153;The pertinent questions that

must be asked are: Why are these powerful families and individuals reluctant to litigate their dispute in the law courts if they are confident about their legal claims to the Shares of Malabu? Why are they intent on using state actors and institutions for their private benefits? Where were they when Malabu was negotiating with the federal government from 2006 to 2011 when the settlement was finally implemented? Honourable Attorney General, you will be doing Nigerians a great favour by asking the EFCC, the Abachaâ&#x20AC;&#x2122;s family and other powerful individuals involved to answer these important questions.â&#x20AC;? After chronicling how the dispute over OPL 245 started and efforts by successive administration to get it resolved, Adoke said: â&#x20AC;&#x153;It is therefore quite evident from the foregoing that the role played by the federal government, its agencies and officials in relation to block 245 was essentially that of facilitator of the resolution of a long standing dispute between

Malabu and SNUD over the ownership and right to operate block 245. At all times, material to the resolution of the dispute, the federal government was not aware of any subsisting thirdparty interest in Malabuâ&#x20AC;&#x2122;s claim to OPL 245 and neither did any person or company apply to be joined in the negotiations as an interested party.â&#x20AC;? According to him, the resolution of the lingering dispute over block 245 was in furtherance of governmentâ&#x20AC;&#x2122;s demonstrable commitment to attract investment in the oil and gas sector of the economy, and encourage genuine investors (local and foreign) by creating the enabling environment for their business to thrive. He said: â&#x20AC;&#x153;The Office of the Attorney General of the Federation superintended over the process to ensure that the implementation was holistic by ensuring: that the requisite Presidential Approvals were sought and obtained; that all the relevant Ministries, Departments and Agencies (MDAs) such the

Ministry of Petroleum Resources, Ministry of Finance, the Department of Petroleum Resources (DPR) and the Nigerian National Petroleum Corporation (NNPC) were involved in the resolution and final implementation of the settlement; that the relevant agreements such as OPL 245 Resolution and Re-allocation Agreements were duly executed by line Ministries and Departments; that the signature bonus was duly paid to the federal government as required by law, and finally that disbursements from the escrow account were jointly approved by the federal government and SNUD.â&#x20AC;? The former minister of justice demanded to know where he went wrong for EFCC to single him out for prosecution. He also asked the incumbent AGF to consider the effect of section 5 of the Constitution of the Federal Republic of Nigeria, 1999, as amended, with respect to the vesting of all the executive

Contâ&#x20AC;&#x2122;d on Pg 59

Edo, Delta States to Give Ogbemudia State Burial, Obaseki Meets with Family Adibe Emenyonu Ă&#x201C;Ă&#x2DC; Ă?Ă&#x2DC;Ă&#x201C;Ă&#x2DC; Ă&#x201C;Ă&#x17E;ĂŁ Governor Godwin Obaseki of Edo State, weekend met with the family of late Dr. Samuel Ogbemudia on a condolence visit and also to discuss plans for the former governorâ&#x20AC;&#x2122;s state burial. In addition, Edo and Delta States are collaborating to give the two-time governor of Midwest and Bendel State, a state burial. The decision to bury the late former governorÂ was according to his wish that he be buried immediately, said one of the family members. Wife of late the Ogbemudia, Clara Ogbemudia and his eldest son Samuel Ogbemudia (Jnr) received Obaseki at the family residence in Benin City. Meanwhile, the governor advised the family to respect the wishes of the late Ogbemudia and urged them to begin preparations immediately. He also informed the family that their father would be given a state burial, while hinting that

Delta State has already indicated interest to participate. Speaking to reporters after the meeting, Obaseki described Ogbemudia as a hero of Edo State and Delta State. He said: â&#x20AC;&#x153;He is a father of modern Edo. He represents everything we have today. The infrastructures we have today in Edo and Delta are attributed to him. â&#x20AC;&#x153;We grew up to know him as our leader, our hero and our Governor. As a student at Eghosa Grammar School, he would come, wake us up, and lead us in morning exercise. I could not have gotten through the electioneering without his support. He adopted me. In my first meeting with him, he gave me a pack of notebooks and asked me to take notes as I go round. â&#x20AC;&#x153;He was always supportive. My project was his project. He was like my father. Nobody has served this state like him; it is going to be a state burial. We are working with the family and we will work things out.â&#x20AC;?

WEâ&#x20AC;&#x2122;RE COMMITTED TO INDUSTRIAL HARMONY

L-R: Mr. Abdulkareem Mustapha (SAN), Kwara State Governor, Dr. Abdulfatah Ahmed, and President, National Industrial Court, Justice Babatunde Adejumo, during a courtesy visit to the governor at the Government House, Ilorin...recently

Tragedy at Air Force Base as OfďŹ cer Kills Himself and Lover George Okoh Ă&#x2DC; Ă&#x2039;Ă&#x2022;Ă&#x;Ă&#x153;Ă&#x17D;Ă&#x201C; In a bizarre tragedy, an officer of the Nigerian Air Force (NAF) yesterday at the NAF Base in Makurdi, shot and killed a female colleague over alleged infidelity, then later killed himself. According to a source, the incident which occurred early yesterday morning sent shivers down the spines of most airmen at the Tactical Command Air Force barracks. It was alleged by the source that Airman, Kalu B.A, shot dead

his girl friend, Aircraft Woman (ACW), Oladipupo Solape for allegedly sleeping with a civilian boy friend in his quarters. He later turned the pistol on himself and ended his life. The dead air force officer, who happened to have closed from duty, was said to have arrived at his official residence and found his girlfriend on his bed with her civilian lover. It was gathered that as soon as Kalu entered the house and found his girlfriend with the civilian he brought out his service

pistol and shot the girlfriend and also attempted to shoot her lover but the gun failed to fire. This helped the man to escape and raise the alarm which drew the attention of neighbors to the incident. When contacted, the Command Public Relations Officer, Wing Commander Emmanuel Iheoma, said that it was a love gone sour between Kalu and Oladipupo which led to shooting of the air force woman and the subsequent suicide of the assailant. According to him, â&#x20AC;&#x153;An air force

man, Kalu B.A, was at 6.06am this morning (Sunday) arrested and detained at the Air Force provost squadron. â&#x20AC;&#x153;When the incident happened, the Air force Woman was rushed to the NAF Base hospital and later referred to Benue State University Teaching hospital in Makurdi where she died. â&#x20AC;&#x153;Further investigations are on going to ascertain what really happened and the media will be informed.â&#x20AC;? The air force did not explain how Kalu ended his life after

MONDAY, MARCH 13, 2017˾ T H I S D AY

NEWS

Discos: N701bn Power Intervention Funds May Worsen Revenue Shortfalls Ejiofor Alike The 11 electricity distribution companies in the country under the aegis of the Association of Nigerian Electricity Distributors (ANED) have stated that the N701 billion intervention funds approved by the federal government for the power sector have the potential to worsen the revenue shortfall bedeviling the power sector. ANED’s Executive Director in charge of Research and Advocacy, Mr. Sunday Oduntan, said in a statement yesterday that the fund is just a partial solution to the liquidity challenges of the sector. According to him, the fund would only solve N300

billion energy supply liabilities, rehabilitate and replace faulty or old turbines and pay for the supply of gas - for the thermal generating plants. Oduntan argued that the fund “holds the potential for exacerbating the revenue shortfalls that the market is currently suffering from.” “However, as commendable as this intervention is, we believe that it is a partial solution to the liquidity challenges of the sector. More so, as it holds the potential for exacerbating the revenue shortfalls that the market is currently suffering from. While an increase in electricity supply is the desired objective of everyone, such an increase without the

IPOB Vows to Scuttle Obiano’s Re-election Bid Emmanuel Ugwu ÓØ ×ßËÒÓË The faceoff between the governor of Anambra State, Mr. Willie Obiano and the Indigenous People of Biafra (IPOB) has continued to escalate with the Biafra restoration group vowing to ensure that Obiano would not return to government house, Awka after the November 2017 poll. The Anambra governor, who has been engaging in a war of words with IPOB had further infuriated the group by reportedly describing IPOB as “a toothless bulldog which is capable of words but incapable of action and being used by a few to enrich themselves under the guise of fighting for Igbo freedom.” IPOB expectedly expressed anger at the outburst from Obiano and told him that he has crossed the red line and the consequences would be dire for his second term ambition. In a statement issued by its spokespersons, Mr.Emma Nmezu and Dr. Clifford Iroanya,

IPOB reminded Obiano that his success in the 2013 governorship election was made possible because of the position IPOB took in repudiating the All Progressives Congress (APC) and its candidate, Dr. Chris Ngige. “For the records, IPOB though apolitical, was instrumental to Obiano being the governor of Anambra State because we repudiated the northern and Islamic-dominated APC party represented by Dr. Chris Nwabueze Ngige and we still do repudiate them till today,” the IPOB said. “We promise Obiano that even though we abhor and repudiate Nigerian politics, we shall do to him what we did to Dr. Chris Nwabueze Ngige in 2013 Anambra gubernatorial election,” it further warned. Secondly, we brought the entire Biafraland to a standstill on September 23, 2016 with our successful sit-at-home protest. The test of IPOB‘s popularity and efficacy is never in doubt.

Miyetti Allah Condemns Killing of Two Herdsmen in Southern Kaduna Miyetti Allah Cattle Breeders Association of Nigeria, Kaduna State chapter, has condemned a recent killing of two Fulani youths who were grazing their cattle. The association alleged that the herdsmen were killed by youths from Unguwan Yashi, Fantsuwam Chiefdom, Jemaa Local Government Area. The slain youths, Anas Shuaibu, 20 and Yahaya Musa, 14, who were grazing their animals, were said to have been attacked and killed by the youths without any provocation. According to a statement signed by the state chairman of the association, Haruna Usman: “We condemn the cowardly attacks by the blood thirsty youths and call on the security agencies to fish out the culprits and bring them to book. “The association wishes to commend the efforts of the youth

leader of the community who supported the security agencies in fishing out the suspected killers and called on the Fulani to exercise patience and remain law abiding as the relevant authorities are working round the clock to ensure that justice is done,” the association stated. The association called on the media to always report these aggressions rather than reporting only one side. We observed that when Fulani’s are attacked the press will be silent but when there is reprisal or retaliation, it is blown out of proportion thereby portraying the aggrieved as the aggressors. The association also condemned the killing of another Fulani man whose corpse was discovered in Madakiya, Bajju Chiefdom in Zangon Kataf Local Government Area.

requisite full recovery of cost via the appropriate pricing of power, means a resultant worsening of the market revenue gap,” Oduntan explained. He noted that since the approved intervention is not expected to be a subsidy to the market, the assumption is that the proposed funding would eventually be recovered from the customers of Electricity Distribution Companies (DisCos). For such recovery to be effected, he argued that the Transmission Company of Nigeria (TCN) needs to have the required capacity to wheel the additional power being generated. “Funding the transmission network is therefore imperative, for the proposed FGN intervention to work. Increased generation without commensurate wheeling capacity arising from a stable and robust transmission grid

will result in stranded capacity and significant lost revenues,” he added. Oduntan said the intervention fund as announced by the Minister of Power, Works and Housing, Mr. Babatunde Fashola, is a welcome development, hut added that “from the little details made available to us, the historical shortfall doesn’t seem to have been addressed within this initiative”. “This is imperative as DisCos need to be able to make the necessary investments in network upgrades, improved customer service, billing and collections, metering, etc., all of which have been major issues in the industry. Such investments will not happen unless the DisCos make the projected annual revenue requirements, which enables access to finance for the required capital expenditure

(Capex). Access to such financing is predicated on appropriate pricing of the retail tariff. The growing working capital debt on the DisCos’ books, less any amounts to be paid under the intervention, will also continue to impede DisCos’ ability to fund retail distribution Capex requirements,” Oduntan said. Oduntan said it was essential to use this period to appropriately allocate all the risks in the electricity value chain. This he said includes the need to address the issues of access to foreign exchange (as well as the mitigation of the challenges associated with its volatility through regular reviews as contemplated in the MYTO act), security of gas pipelines, and others. “Regulatory certainty and consistency continues to be the foundation for enabling and

promoting the commercial conditions that will ensure a viable and sustainable Nigerian Electricity Supply Industry (NESI) and, ultimately, the evolution of NESI into the Transitional Electricity Market (TEM) phase. “While we applaud the GenCo/Gas Supplier centered intervention by the federal government, we believe that there is an urgent need for a holistic solution that comprehensively addresses the revenue requirements of the entire electricity value chain. We further believe that achievement of the stated objective of providing confidence to investors for increased supply of electricity, with the provision of this intervention, will happen at the expense of limited electricity distribution and significantly more liquidity challenges at the retail distribution end,” he added.

INDUSTRIAL DEVT ON THEIR MINDS

Kebbi State Governor, Atiku Bagudu (middle); acting Managing Director, Bank of Industry (BOI), Waheed Olagunju (left), and the Executive Director, Commercial and Corporate Services, BOI, Jonathan Tobin, during a courtesy visit on the governor in Birin Kebbi …… at weekend

Germany Parliamentary Head Supports Nigeria’s Economic Recovery Effort Head of Bundestag, the upper chamber of the German Parliament, Ms Malu Dreyer, has said Nigeria as the leading country in Africa must be economically strong, and therefore deserved the support of a European giant like her country. Dreyer who spoke at the weekend while receiving a delegation of the Senate led by its President, Dr. Bukola Saraki, in Berlin, said Germany attached great importance to the strong relationship with Nigeria and would support the on-going economic recovery programme in the country. She said the country would look towards extending the special partnership and grassroots co-operation which it presently has with Rwanda to Nigeria and that more exchange programmes between the two countries should be initiated. The Bundestag President who has just one year tenure,

in line with the country’s federal constitution, promised to raise the request made by Saraki for stronger economic co-operation with the German Chancellor, Angela Merkel and Secretary in charge of Economic Co-operation and Development, Mr. Muller. According to her, “The partnership between Nigeria and Germany is very important and should be nurtured. This partnership at a very high level can help the entire population in Nigeria. We have to do all that is necessary to support Africa to prevent internal crisis that would later plague Europe. “We should empower African nations to enable the people and their governments take their fate into their own hands. We have a gain to make from this co-operation. We are faced with refugee situation, and to save ourselves the escalation of this problem, we have to tackle the root cause of migration by helping African countries to

be economically strong and buoyant. That is why we must help Africa.” In the area of renewable energy, Dreyer said Germany would be ready to help Nigeria through exchange of technical information and programmes, as the clean source of power is the future of energy resource in the world, and that her country had made much progress in that area. Saraki, while responding to the message of his German counterpart, reiterated the need for Germany to partner Nigeria in the areas of economic co-operation, security and renewable energy as both are continental leaders whose wellbeing has positive implications for Africa and Europe. He noted that the Senate delegation was in Berlin to strengthen the existing relationship between both countries as represented by the

visit of the German President to Nigeria last year in company of some businessmen. “We appreciate cordial relationship between Germany and Nigeria. We need Germany’s support as our government works hard through progressive policies and legislations aimed at overcoming our current challenges as well as engaging our youths who form about 70 percent of the population. “It maybe true that we have economic challenges but the fundamentals remain good and the prospects are better. That is why we are seriously working to diversify the economy and move away from the dependence on oil. We are moving into agriculture, mining of numerous mineral resources and manufacturing. These areas alongside energy production and funding of key infrastructural projects are areas that German business people can invest in,” he said.

MONDAY, MARCH 13, 2017˾ T H I S D AY

NEWSXTRA

PDP Crisis: Sheriff Reaching out to BoT, Governors, Says Ojougboh Onyebuchi Ezigbo ÓØ ÌßÔË

Ojougboh, said both the governors and other organs As the dispute in the of the party are willing to Peoples Democratic Party discuss the proposal for a (PDP) festers, the embattled national convention as a national chairman of the way out of the crisis. He said that so far only party, Senator Ali Modu Sheriff, has tied to woo two of the governors; Ekiti the governors, National State governor, Ayodele Assembly and Board of Fayose and his Rivers State Trustee members to back counterpart, Nyesom Wike, his plan for a national are opposed to the plan by Sherif to hold the convention convention. The National Caretaker in Abuja. “We are already in Committee of the PDP had rejected the template contact with the chairman for the proposed national of BoT and we are having unity convention of the party discussions with him. The submitted on Tuesday by National Assembly caucus the chairman of the PDP led by the Minority Leader, Standing Committee on Godswill Akpabio, has said Reconciliation, Governor that they are going to meet Seriake Dickson, saying with the governors, after it cannot allow Sheriff to which they will meet with drive the process leading the BoT before they will come and meet us. to the convention. Ojougboh said it was not Speaking with THISDAY on telephone yesterday, the true that the PDP National Deputy chairman of the Assembly caucus shunned a Sheriff-led NWC, Dr. Cairo meeting with Sheriff, adding

that all organs of the party are still very much engaged in the discussion for peace. “We are going to meet with the governors, the chairman of the reconciliation committee is a governor and he is in touch with almost all the governors. Dickson has gotten back to us to give us a very positive situation on what the governors are saying. The governors are very open to the convention. Almost all the governors are open to the convention apart from governors Fayose and Wike, the rest are supportive of a convention.

“The only group left out is the National Caretaker Committee, because they are strange to the party, they are not recognised by the constitution of the party. Senator Makarfi is a member of the BoT so we intend to meet him there. Ojougboh who expressed optimism over the peace overtures, said Sheriff has exchanged letters with all relevant organs of the party who have expressed willingness to engage in consultations ahead of the proposed national convention.

As for some of the influential groups in the PDP who have expressed their opposition to the Sheriff’s leadership, like the Former Ministers’ Forum , Ojougboh said the forum is not an organ of the party but that those of them that are members of the NEC will be recognised and reached out to accordingly. “We are dealing with recognised organs of the party. The National Assembly is a recognised organ of the party. In the National Assembly, there are members of NEC.

Any minister who is a member of NEC and BoT will be so recognised. We are not leaving anybody out in the consultations but we are not going to be unconstitutional in pursuing peace. “Let me tell you, the fact that we are extending the olive branch is not a sign of weakness, we are not weak at all and we know our right. But because our position is no victor, no vanquished, we want to carry everybody along and it does not mean that we are weak,” he said.

Shinkaﬁ, Ex-Zamfara Governor, Dumps PDP for APC A former Zamfara State governor, Mamuda Shinkafi, has defected from the Peoples Democratic Party (PDP) to the All Progressives Congress (APC). He was alleged to have unlawfully received the sum of N15m for the 2015 election from Diezani Alison-Madueke, former minister of petroleum. Shinkafi became the state governor in 2007 on the platform of All Nigeria Peoples Party (ANPP) and defected to the PDP in 2008. He, however, lost to the APC in 2011 and had since then remained in the opposition party. According to online news medium, The Cable, Shinkafi announced his decision to join the APC at a ceremony in Gusau,

the state capital. According to him, it is the outcome of a long negotiation between him and stakeholders who have faith in him and my leadership qualities. He told all his supporters to join him to make the APC stronger. Shinkafi said that after series of meetings with stakeholders, he sincerely made up his mind to join the APC. He also announced that all his former cabinet members, including his former secretary to the state government, Mamman Bawa, had joined him in the APC. Muntari Anka, who served as a deputy governor under Shinkafi, also defected to the APC in Anka local government area a fortnight ago.

Security Operatives Kill Pregnant Suicide Bomber, Other Person in Borno Security operatives and members of Civilian JTF volunteer group have intercepted a pregnant suicide bomber and another woman in Borno State. The two female suicide bombers, it was gathered, were subdued when they refused to surrender and attempted to attack a security post. The incident occurred in Ummarari village, along Mulai axis of MaiduguriDamboa road at the outskirts of Maiduguri. The spokesperson of

the National Emergency Management Agency (NEMA) in North-east, Abdulkadir Ibrahim, said the rescue workers have evacuated the bodies of the suicide bombers. “When we got the alert on the incident, the NEMA emergency workers in collaboration with other stakeholders moved to the scene and evacuated the bodies,” Ibrahim stated. A civilian JTF was injured during the encounter but he is responding to treatment after his evacuation to the hospital.

FOR ENHANCED BILATERAL TRADE

Minister of Industry, Trade and Investment, Dr. Okechukwu Enelamah (left), with U.K. Minister of State for Trade and Development, Lord Mark Price, after a bilateral meeting on the margins of the Commonwealth Trade Ministers’ meeting in London... recently

Makarﬁ Accuses Dickson of Plotting Personal Agenda John Shiklam ÓØ ËÎßØË National Caretaker Committee (NCC) Chairman of the Peoples Democratic Party (PDP), Senator Ahmed Makarfi, has accused the Bayelsa State Governor, Mr. Seriake Dickson, of allegedly plotting a personal agenda against the party. Speaking at the weekend when he paid a sokidarity visit to the secretariat of Correspondent Chapel of the Nigeria, Union of Journalists (NUJ) Kaduna, which was gutted by fire last Monday, Makarfi said Dickson’s decision to pull out of the unanimous proposal drafted at a meeting of the 11 PDP governors with former President, Dr. Goodluck Jonathan, only to submit a personal proposal to Senator Ali Modu Sheriff’s group “is a mischievous act that does not mean well for the party.” According to him, “Just a week before Dickson submitted his report to Sheriff, the 11 PDP governors, met with former President Jonathan and came out with a unanimous proposal on the way out of the crisis in the party.

“Then, out of the 11 PDP governors, he (Dickson) pulled out and made a proposal, which he presented to Modu Sheriff. “Well, for us, the issues in PDP is not just about conducting convention, it is about more fundamental issues.” Makarfi wondered how a convention could be held without addressing the issues destabilising the party and reconciling members. “You have not talked about the problems; you have not sorted them and you are more concerned about a committee to organise convention, that means you will go and do convention while the crisis is still on. “Dickson was at the meeting of the governors and the former president where they came out with a unanimous proposal, so how can he pull himself out a week after and make his own proposal? “If he had anything contrary to what they agreed on, why didn’t he suggest it at that meeting? He didn’t make sense. Out of 11 governors, you pulled yourself out and made a separate proposal and

presented to Sheriff,” he said. He argued that if there was anything to change, they should have gone back to Jonathan and the other governors to discuss and review the responses from the caretaker committee, the Board of Trustee (BOT) and Sheriff, and see if there would be any modification to the proposal and not for a governor who was a party to the unanimous proposal to come up with a personal proposal. Makarfi said however that Dickson spoke with him informally on the issue and promised that he was bringing his proposal, “which I never saw.” He stated further that Dickson “called the former president and they were to meet last Wednesday, then he also called BOT chairman, who gave him appointment for Wednesday, only for him to go and submit his proposal to Sheriff to go ahead and conduct convention. “And that is what Sheriff has been looking for. Now he got somebody asking to go ahead and conduct convention. “So what is Dickson up to? I

don’t know, but it is definitely an agenda not good for PDP. His proposal is even a breach of the Court of Appeal judgment because he is suggesting having the convention in June. The Court of Appeal said you cannot hold convention until August this year based on the tenure it recognised.” Makarfi also accused the Sheriff group for not complying with the Court of Appeal judgment, saying he (Sheriff) is still parading himself with party officials he single handedly appointed after May 21, 2016, when the court ordered that the statusquo before May 21 should be reverted to. He, however, said the way out of the crisis was for all national officials to resign their positions, sign an indemnity not to contest such resignation in court, then form a committee, consisting of members from the caretaker committee and Sheriff’s groups to organise a transparent convention, where there would be a level playing field for all the groups.

MONDAY, MARCH 13, 2017˾ T H I S D AY

NEWSXTRA

SERAP Gives Foreign Affairs Minister Ultimatum to Recall Whistle Blower Socio-Economic Rights and Accountability Project (SERAP) has sent an open letter to the Minister of Foreign Affairs, Mr. Geoffrey Onyeama, requesting that he use his “leadership position to ensure and facilitate the immediate and unconditional reinstatement of whistle-blower Ntia Thompson who was sacked through a post on the Directorate of Technical Cooperation in Africa’s Notice Board for exposing an alleged $229,000 fraud in the Ministry of Foreign Affairs.” The organisation urged Onyeama to “act swiftly to comply with the whistle-blowing policy of the government of President Muhammadu Buhari and international standards, which guarantee full protection and restitution for any whistleblower against harassment, intimidation, victimisation or any form of retaliation.” SERAP in the letter dated March 10, 2017, and signed by its Deputy Director, Timothy Adewale, said: “By sacking Thompson, your ministry would seem to shield information on the alleged fraud that the public has a right to know. “Therefore, should you fail and/or neglect to act as requested within seven days after the receipt and/ or publication of this letter, SERAP will be compelled to pursue appropriate legal action against your ministry to

challenge the unfair treatment and victimisation of Thompson.” The letter which was copied the President of the Africa Development Bank (AfDB), Akinwumi Adesina, stated that “We also urge you to act swiftly to identify those involved in the alleged fraud and hand them over to appropriate anticorruption agencies for further investigation and prosecution, as well as recover any stolen public funds. Impunity for reprisals against Thompson would send a message to all potential whistle-blowers that your ministry lacks the commitment to their protection. “SERAP is seriously concerned that Thompson’s unfair treatment by the leadership of the Ministry of Foreign Affairs simply for disclosing alleged fraud in the ministry is a fundamental violation of his right to freedom of expression, and breach of President Buhari’s whistle-blowing policy, which seeks to protect individuals who make access to such allegations possible. “SERAP also believes that the allegations of fraud disclosed by Thompson should never be suppressed or withheld as a matter of public interest, transparency and respect for the rule of law. Harassing, intimidating and punishing whistle-blowers creates disincentives for public disclosure of allegations of fraud

Buhari Felicitates with Varsity Don, Poet at 70 President Muhammadu Buhari has joined the literary world to felicitate with renowned academic, poet, columnist and dramatist, Prof. Niyi Osundare, on today’s occasion of his 70th birthday. Buhari, in a statement by his Special Adviser, Media, Mr. Feni Adesina, said he felicitated with all the friends, colleagues and family members of the literary icon, “who through courage and power of the pen has contributed immensely to the political history of Nigeria.” The statement further said the president believed that the septuagenarian’s sacrifices over the years could only be rewarded with strong democratic

institutions that guarantee free and fair elections as well as effective governance that provides security, good health, facilities and sound education to its citizenry. “As he turns 70, President Buhari commends the disciplined, forthright and diligent spirit of the erudite scholar, whose written works already span the globe, attracting numerous awards, and whose voice of wisdom will continue to resonate through generations. “The president prays that the Almighty God will grant Prof. Osundare longer life, good health and wisdom to serve humanity,” the statement added.

Group to Organise Cyber Security Summit As part of efforts to address the growing cyber security threats in the country, it has been advocated that there is need for knowledge sharing and synergy between the public and private sector to curb the menace. In line with this, therefore, the Afrocet Montgomery, organisers of the 2017 Securex West Africa, will launch the West African Cyber Security Summit (WACSS) from March 21 to 23 at Landmark Centre,

Victoria Island, Lagos State. The summit will focus on topics which centred on corporate security, training the next generation, financial crime and governance. A statement made available to THISDAY and signed by a member of the group, Emma Hooper, said the day would also witness a live ‘hackathon’ run by upgraded era where visitors across the exhibition, whether novice or trained, can try their hand at hacking.

and corruption and damages an important tool of transparency and accountability.” The further stated that “SERAP believes that protecting whistle-blowers encourages accountability, increases the costs for those who might engage in fraud and corruption, and advances the public’s right to know. The alleged fraud involving officials of the DTCA

should not be kept hidden from public view, especially given the government’s whistleblowing policy and the fact that Nigerians are entitled to a right to information of all kinds. “Thompson’s public interest and whistle-blowing activity has made him vulnerable to attack, hostility, punishment, and other forms of retaliation.

SERAP argues that he, like any other whistle-blowers, is entitled to the right to impart information, and ought to be offered adequate legal protection because Nigerians have the right to receive information such as on the allegations of fraud involving senior officials of your ministry.” “SERAP therefore urges

you to use your leadership position to promote and ensure within your ministry, a culture that values transparency, accountability, and public participation and protection of whistle-blowers by facilitating the immediate and unconditional reinstatement of Thompson back to his position as assistant director with the DTCA.”

CHANGE OF BATON

L-R: Outgoing President of Club Twelve88, Mr. Johnson Obafisoye, and his wife; Editor-in-Chief, The Guardian Newspapers, Debo Adesina, and the new President of the Club, Niyi Kehinde, a retired director from the Federal Capital Territory (FCT) Ministry.

Militants Ask FG to Stop Payment of Derivation Fund through Governors Delayed amnesty stipends slowing peace process, Say ex-agitators Emmanuel Addeh ÓØ ÏØËÑÙË The Reformed Egbesu Fraternity (REF), a Niger Delta militant group, yesterday called on the federal government to immediately halt the disbursement of the 13 per cent derivation fund through governors in the region. In a letter to President Muhammadu Buhari, the group maintained that channelling the fund through politicians since inception, has only helped in enriching a few pockets while impoverishing the majority. It therefore called on the government to set up structures incorporating only oil-producing communities and those impacted by the exploitation of the natural mineral resource as a way of rectifying the wrongs of the past. In the petition signed by Ebi Alagbakouriwei, ‘General Officer Commanding’ of REF, it argued that paying through the governors was not only an aberration but contradicts section 162 (2) of the 1999 constitution and item 39 on the Exclusive List. “We, therefore demand that the federal government stops the allocation of 13 per cent derivation to the state governors of oil and gas producing states and pay the derivation component to oil and gas-producing communities through appropriate structures,” the militants’ group said.

It also called for an investigation into how over N11 trillion derivation fund has been spent since the commencement of the payment of the fund through the state governors. The group noted that attempts by the long-suffering communities in the region to find justice by reporting the alleged sleaze to the Economic and Financial Crimes Commission (EFCC) and a lawsuit in court had been frustrated. REF argued that till date, over N277 billion of the N11 trillion remains unaccounted for, stressing that the anti-graft agency has refused to take necessary action. “The host communities producing oil and gas reported to the EFCC that N277 billion remains unaccounted for till date, but the commission bluntly refused to take action. “They took the matter to the law court in Delta State for the past three years, the case has never been heard till now. “But it has been transferred from one judicial division to the other including Owa Oyibu, Asaba, Udu and back to Warri. The case has been perpetually adjourned at every sitting over the last three years,” the Egbesu group said. The militants called on the federal government to discontinue the current mode of disbursement as it is both illegal and immoral,

noting ignoring the demand could aggravate the fragile peace in the region. “We wish to warn that the continuous indifference to this demand and appeal is an invitation to chaos and violence. Inasmuch as we do not subscribe to violence in the resolution of our demands, we condemn the Niger Delta governors for the diversion of the fund for the last 15 years. “The federal government should partner host communities and not state governors. In this connection, we commend Vice President Yemi Osinbajo and the Minister of Petroleum for their commitment to the peace process and development of the region. “Consequently, we demand two modular refineries in each of the nine states producing oil and gas and the immediate cessation of the allocation of derivation fund to the governors,” it noted. Meanwhile, ex militants have called on President Buhari to prevail on the Ministry of Finance to immediately release the budgetary allocations meant for the Presidential Amnesty Programme (PAP). The ex-agitators, under the auspices of the Leadership, Peace and Cultural Development Initiative (LPCDI), made their position known at a meeting in Yenagoa, the Bayelsa State capital. In a statement issued yesterday,

the National President, LPCDI, Reuben Wilson, aka, ‘General Pastor Reuben’, maintained that the prompt release of the funds would strengthen the current peace process. He noted that the delay in payments of stipends to PAP’s beneficiaries would greatly negate the current efforts of the Federal Government to enthrone peace in the region. “The group is greatly concerned about the current state of lack of funds in the Amnesty Office to carry out its programmes which are designed to permanently eradicate restiveness in the Niger Delta region. “As stakeholders, who truly want the accelerated development of the Niger Delta, the delay could slow the ongoing peace process and we wouldn’t want such to happen. “Anyone, or group of persons that do not consider the importance of the Presidential Amnesty Programme in the peace building process of the region is an enemy of the nation. ‘’Such person, or group of persons does not also mean well for the administration of President Buhari as the economic prosperity and development of the nation still largely depends on the peace in the Niger Delta,” the ex-militant said.

MONDAY, MARCH 13, 2017˾ T H I S D AY

NEWSXTRA

Prison Inmates Exceed 68,000 Persons awaiting trial constitute 68% of population

The Nigerian Prison Service (NPS) has disclosed that 68,250 inmates are accommodated in the prison facilities throughout the country as of March 2017. The Controller General of Nigerian Prison Service, Jaafaru Ahmed, who disclosed this in an interview with the Economic Confidential, said

the agency has reopened prison farm centres towards self-sufficiency in food production. Speaking on the current figure of the inmates, Ahmed said: “As at March 6, 2017, total inmates population stands at 68,259. Out of this number, 46,351 are awaiting

UN Trains Aviation Security Personnel on Counter-terrorism Chinedu Eze As pre-emptive strategy to prevent terror attack in any of the nation’s airports, the United Nations Aviation School Project has commenced training of all Aviation Security (AVSEC) personnel in Nigeria. The objective is to effectively mitigate any threat posed to civil aviation by terrorist organisations and to provide a key element for a robust national aviation security policy to meet global standards in infrastructure, safety and security. General Manager, Public Relations of the Nigerian Civil Aviation Authority (NCAA), Sam Adurognoye, explained that this initiative would enhance the capacity within the UN system to help interested member states to implement the multiple dimension of countering terrorism. The 120-day training tagged: ‘Train the Trainer’, commenced on March 6, 2017, simultaneously in Lagos and Abuja. Adurogboye said the UNinitiated programme comprises 34 Aviation Security personnel from both Nigerian Civil Aviation Authority (NCAA) and the Federal Airport Authority of Nigeria (FAAN), with four officials from NCAA and 30

from FAAN because the agency provides security surveillance in all the airports in the country. He said the training is currently being held at both FAAN Training School in Lagos and at the NCAA Training Hall at Abuja. “A total number of 25 countries were considered, and Nigeria was chosen for the pilot programme. This is in appreciation of its clear and well-documented roadmap on developing the aviation sector, with particular emphasis on safety and security. “The ‘train the trainer’ programme is being anchored by Redline Assured Security Company of United Kingdom on behalf of the UN while the Director General of the NCAA, Captain Muhtar Usman, is coordinating on behalf of the federal government,” Adurogboye explained. The UN Project Coordinator is Mr. Douglas Melvin, and the four Aviation Security trainers for Lagos are Neil Coull, Clare Broolley, Kelly Porter and Ish Rahman. In September 8, 2008, the UN General Assembly adopted the Global CounterTerrorism Strategy and Aviation School Project which is one of the programmes for implementation.

trial while the remaining 21,903 are convicted. In terms of percentage, the convicted is 32 percent, while awaiting trial persons are 68 percent. However, the figures are not static as they go up and down.” He also disclosed that the Prison Service had commenced the rehabilitation of its various farm centres with the purchase of 22 tractors that would aid the service to specialise in food productions enough to feed the inmates and for sale to the public. The prison boss said: “In 2016 budget we purchased so many farm machineries like tractors and other kinds of implements. We have also dug so many boreholes, fishfarming among others. These

would be used to reposition our farm centres. “What we intend to do when the budget for 2017 is passed, is to pick three out of 14 farms. The idea is to make sure that we specialise in different farming processes. Like Kujama, we intend to set it up strictly for the production of maize. We want to see the production of maize all year round, not only during the rainy season but also during the dry season. We have budgeted some amount of money to sink boreholes for irrigation purposes to ensure the success of these programmes. We have picked Lampushi farming centre strictly for rice production and the possibility of producing rice both in rainy and dry season. We have also taken

Ozalla for the production of palm oil. These are three pilot projects we intend to do this year to see the possibility of prison actually feeding itself.” Ahmed further said the Prison Service is looking at mechanisation of farming. “We are looking at mechanisation where the crops to be produced would be in large quantity both for self and sale publicly. The process would reduce the manual labour and subsequently enhance production. The development will no doubt bring on board storage facilities when fully integrated so that all the areas will have comparative advantage,” he noted. Speaking on the synergy existing among the three arms of the criminal justice system, Ahmed said the Prison is

the last bus-stop and only a custodian of all the parties namely, the judiciary cum the prosecution authority, which is the ministry of justice, the police and the prisons. He noted that so long as anybody knocks on the door with valid warrant and appropriate papers, “we have no option but to receive such persons.” The Controller canvassed for a genuine collaboration among the three arms of the criminal justice system to enhance synergy so that the case of anybody brought to prison as awaiting trial will be determined as quickly as possible, stressing that other arms have to do their part so that there would be quick dispensation of justice.

THEIR LORDSHIPS

L-R: Newly Sworn-in Lagos State High Court judges, Justices Serifat Solebo, Emmanuel Ogundare, Chief Judge of Lagos State, Olufunmilayo Atilade, and Elizabeth Alakija, during the official presentation of the newly sworn -in judges to the bar and bench at the High Court foyer, Igbosere, Lagos...recently T

Forest Communities Protest Buhari Extended Perm Sec’s Service for Two against 260km Superhighway Years, Says Education Minister Bassey Inyang ÓØ ËÖËÌËÜ The forest communities of Old Ekuri and New Ekuri in Akamkpa Local Government Area of Cross River State have staged a protest against plans by the state government to go ahead with the construction of the 260 kilometre super highway, despite the latter’s withdrawal of its earlier order revoking 10 kilometres on each side of the length of the proposed road. The state government has stated that when the construction of the road is complete, and put into use, it would facilitate the traffic of cargo from the proposed Bakassi Deep Sea Port in the southern part of the state to the northern part of Nigeria. The protesters comprising youths, women and community leaders from both communities staged the protest at the weekend which took off from the premises of the community health centre in old Ekuri and marched through the only major road in the community, chanting anti-super highway songs with

placards. Some of the placards read: “Save our forest, our life’; ‘Realign your highway off our forest’; ‘Give us road but don’t destroy our forests, construct the existing road from Ochon to our community’.” The protesters who took to the street after attending training by the Home of Mother Earth Foundation (HOMEF) on ways to preserve their forests, instead called for the provision of socio-economic activities by the state government to both forest communities. The spokesman of Old Ekuri, Livinus O. Akparawu, while communicating the stance of his community, said: “The government should work on the existing road, and not the superhighway. In the case of our old road that has been abandoned, the government has deceived us for a long time. They promised they were going to build the road, but did not do anything. They have gone ahead to announce that the road has been completed which is completely false. It is just a blatant lie told to the world.

Adamu presents conflicting excuses for her absence at C’ttee hearing Damilola Oyedele ÓØ ÌßÔË President Muhammadu Buhari has extended the years in service of the current Permanent Secretary of the Ministry of Education, Dr. Jamila Shuara, for the second consecutive time for a duration of one year. The Minister of Education, Mr. Adamu Adamu, made this claim in a letter addressed to the House of Representatives Committee on Basic Education, where he disclosed that the president, ‘in principle’, has extended Shuara’s time from February 17, 2017, for one year. Shuara was supposed to have retired from the federal civil service in February 2016 when she clocked 60 years of age, in line with extant civil service regulations. Now 61 years old, she has remained in service following a said extension by the President. Shuara and Adamu have however been unable to produce the presidential memo for the first extension.

The committee had directed Shuara to produce the memo, but she has however refused to appear since the directive was issued on February 22, 2017. Adamu’s letter to the committee with reference no FME/S/1316/C.5/1 dated March 7, 2017 stated that “ I also wish to inform you that His Excellency Mr. President, has in principle already approved the extension of the tenure of Dr. Jamila Shuara as a Federal Permanent Secretary for a period of one year with effect from February 17, 2017. I have duly informed the Chief of Staff to the President of this development, and even though I have not seen his directive to the Head of Service, he has shown me her response, which is summary to say that the Head of Service is yet to convey approval to the officer concerned. “Consequently, Shuara has in the interim handed off the functions to the office until formal conveyance. In the circumstance, therefore,

your letter requesting her to appear primarily to explain her functioning as a Permanent Secretary without due authorisation has been noted. “However, since she has stopped carrying out the functions of the post, it seems to me that as of now, she is a private citizen who no longer has the title need or indeed, the locus standi, to appear before your committee. “Kindly note that this letter has been copied to the presidency and the HCSF to keep them abreast of developments.” Adamu, had however told the committee last week that Shuara was absent at the meeting as he had sent her on an official assignment. Also, while Adamu claimed that Shuara is currently not functioning as the permanent secretary, another letter to the Committee signed by the Ministry’s Director of Procurement, Dr. Hussaini Adamu, on behalf of the her, said the permanent secretary “is away.” “I would like to inform you

that the Permanent Secretary is away and Dr. Hussaini Adamu, Director of Procurement, is overseeing the affairs of the office of the Permanent Secretary, Federal Ministry of Education,” he stated. At the hearing last week, the Head of the Civil Service of the Federation, Mrs. Winifred Oyo-Ita, who conveyed the approval for the first extension to the permanent secretary was also unable to produce the presidential memo. She had argued that the extension was granted at the prerogative of the president due to the good performance of the “officer in this case.” The committee Chairman, Hon. Mohammed Zakari, had however insisted that the memo must be produced. “I am sure the president would not give you a verbal directive to extend the tenure; something triggered that letter you wrote to her extending her tenure, so it is that letter we are asking for,” he had said.

MONDAY, MARCH 13, 2017˾ T H I S D AY

NEWSXTRA

Gowon, Anyaoku Laud Ayade for Vanguard Governor of the Year Award Former military head of state, General Yakubu Gowon, and former Secretary-General of the Common Wealth, Chief Emeka Anyaoku, weekend commended Cross River State governor, Senator Ben Ayade, for winning the Vanguard Newspaper Governor of the Year Award.

Gowon and Anyaoku made the commendations at the award ceremony which was held at the Convention Centre of the Eko Hotels and Suites, Victoria Island, Lagos. General Gowon who urged other governors to emulate Governor Ayade for what he described as welfarist

Stop Attacking Nigerian Army, Coalition Cautions AI Sunday Okobi Civil society organisations and media executives from across the country have condemned what they described as negative rating and name calling of the Nigerian Army by Amnesty International (AI) and the perception index of the army internationally in regards to the prosecution of the war against Boko Haram and the fight against terrorism. The President of the Coalition of Civil Societies and Media Executives for Good Governance in Nigeria (COCMEGG), Omoba Kenneth Aigbegbele, at a recent stakeholders’ meeting in a statement disagreed totally with the narratives in all its ramifications and the argument against the Nigerian Army in the battle against insurgents. According to him, “Amnesty International report smacks of bias and is capable of undermining the hard fought war by the army against the

insurgents and demoralising the Nigeria army personnel in the performance of their constitutionally assigned roles including the various casualties in human capital, resources and loss of lives of the soldiers in the discharge of their national duty to defend the territorial integrity of the nation.” He stated that COCMEGG is concerned and worried about the manner Amnesty International report has accused the Nigerian military of unethical practices and the laid down procedures of engagement during war including the frequent dabbling and negative narratives given to our proactive military in engaging and safe guarding the nation. “It has been proven over time that some of these reports are inaccurate and over exaggerated as regards extra-judicial killings, arbitrary arrests, detentions and torture of prisoners in the line of duty.

policy, said: “I say welldone to Governor Ayade as I want all other governors to follow his example by taking care of their civil servants because civil servants are the custodians of any good work any governors or even president is doing.” According to the former head of state, “It was because I paid attention to civil servants, and in return, they helped me implement my policies as head of state. For Ayade, I say weldone to him and I want others to follow his example not only by paying attention to the civil servants but the welfare and wellbeing of their people. Let the people be the ones to say thank you Mr. Governor. The gratitude of your people is the greatest thing you have.” Voicing his commendation, Chief Anayaoku said: “Governor Ayade is clearly one of the best performing governors in Nigeria today. He has kept faith by paying salaries regularly to workers.” Anyaoku who also charged other governors to follow in the

footsteps of Ayade, maintained that “Governor Ayade is a perfoming governor and I’m glad to see that he was recognised by vanguard newspapers for the Award. I will want to encourage all the governors to emulate him and pay greater attention to the management of the resources in their states and to set the right priorities by developing infrastructure, welfare of their workforce and development of greater capacity for their internally generated revenues. They should also pay attention to agriculture.” Similarly, former South West Deputy National Chairman of the Peoples Democratic Party, PDP, Chief Bode Geroge, noted that “Ayade is a typical intellectual who works and knows at the back of his mind way back while he was he a senator that the centrepiece o politics is the people and I’m so happy that he has portrayed that.” According to George, “Governor Ayade has brough his intellectual capacity along

with his political sagacity into governance of his state without tearing down anybody in his state. These are the kind of people that this country will need in the nearest future. He has respect for the people and there is no “gra gra”. I will always wish that the good Lord will continue to direct him.This is not the end, he will finish his four years and another four years and will go for much higher positions. He is one of the PDP strong governors and I am personally very proud of him.” In same vein, former National Chairman of PDP, Alhaji Bamanga Tukur, said he is proud of Ayade for making the party proud. He disclosed that ”when Ayade wanted to run as governor, I told him that ‘you know I’m from Cross River, so I’m looking forward to seeing the best in you in the interest of those who elected you and there is no doubt that he is making me proud. I was in Calabar a week ago and from what I saw

regarding the infrastructure and the report I got, I am satisfied. I’m the father of all of them. Ayade should continue the good work he is doing.” Also, Chairman of the occasion and former governor of Cross River State, Mr. Donald Duke said: “Governor Benedict Ayade left know one in doubt that by the time he’s through with Cross River, Cross River will never remain the same. He has defined an agenda that left every Cross Riverian breathless. He is not satisfy with where the state is at the moment and he is determined to take it to greater heights and make it an iconic state in the comity of states in Nigeria.” presenting the award to Ayade, Senator Florence Ita-Giwa said the thunderous cheer and standing ovations by Nigerians from far and wide when the governor was called out to receive his award, was a manifest indication of his acceptability. Expressing gratitude for the award, the Governor Ayade said: “Even though the award was

NTDC Demotes 20 Top Ofﬁcers Omolola Itayemi The Nigerian Tourism Development Corporation (NTDC} has demoted 20 top officers, THISDAY has learnt. Also affected is Mariel Rae-Omoh, the former acting Director General of the parastatal who has been demoted to the position of Deputy Director General. She is the second acting Director-General in the last two months since Sally UwechueMbanefo’s tenure expired. Since Mbanefo left, all the DG’s have been in acting capacity. Sources told THISDAY that the dichotomy between HND and BSC holders was responsible for her demotion. It was gathered that a verification exercise that commenced months ago revealed certain abnormalities which had to be corrected.

It was learnt that Paul Adalikwu, a Director at the Ministry of Water Resources has been seconded to NTDC as acting DG, making it the third appointment to the DG’s office in less than four months. Adalikwu took over the helms following the removal of Mrs. Mariel Rae-Omoh as the acting Director General of NTDC. This development is coming as a shock to both tourism stakeholders and travel as well as tourism experts who demanded the appointment of an industry stakeholder to salvage the collapsing industry. Mr. Boniface Ebuka was first appointed into the position following the expiration of tenure of the former DG, Mrs. Sally Uwechue – Mbanefo, by the federal government; then Rae-Omoh and now Mr. Paul Adalikwu.

‘Imbibe the Fear of God in Leadership’ An elder statesman, Sen. Anthony Adefuye, has urged public officer holders to administer the country with the fear of God in order to address the challenges faced by the masses who voted them into office. Making the call recently in

Lagos, Adefuye also charged Nigerians to believe in the country and actively invest in the economy, by patronising made-in-Nigeria products, instead of yearning for foreign products, which has been the bane of the economy.

FOR LOVE OF THE NATION

L-R: Deputy National Chairman, Inter-party Advisory Council of Nigeria (IPAC), Dr. Onwubuya Breakforth; National Chairman, Hon. Mohammad Lawal, and Secretary General, Chief Sam Eke, during a media briefing on the state of the nation by the council in Abuja… recently ENOCK REUBEN

ADOKE: OBASANJO, YAR’ADUA, JONATHAN ENDORSED MALABU OIL AGREEMENT powers of the federation in the president to exercise by himself and/or through his ministers and appointees. Adoke asked: “What is the effect of section 5 of the Constitution on persons who act pursuant to lawful presidential approvals? This is more so as two out of the three presidents that had the opportunity to scrutinise this settlement (Presidents Obasanjo and Jonathan) are alive. Have they disowned the settlement? Has our predecessor in office, Chief Ojo, distanced himself from the settlement he brokered? Have the Ministers of Petroleum Resources and Finance at the time of implementation of the settlement (Mrs. Diezani Allison-Madueke and Dr. Olusegun Aganga respectively) disowned the settlement or their signatures? “It is my respectful view that Nigerians deserve answers to these questions as it will help them and myself to understand

the actions and the machinations of the EFCC masquerading to be acting in the national interest while surreptitiously deploying state resources and machinery to promote the personal agenda of their cohorts.” He also appealed to the justice minister to be mindful of his “overarching powers over public prosecution and the need to ensure that state institutions do not become persecutors or instruments in the hands of those pursing personal vendetta.” According to him, the constitution and the traditions of the legal profession demand that the AGF oversight over public prosecution. “Consequently, if you find that I had breached my Oath of Office or abused my office, please do not hesitate to bring me to justice. “However, if it is the contrary, as I strongly believe that certain individuals who had vowed to settle scores with

me are now being aided by state institutions such as the EFCC, I deserve protection from these unwarranted attacks and dehumanising treatment that I am being subjected to merely because I chose to serve my fatherland,” he added. The former AGF also explained that the Terms of Settlement encapsulating details of the settlement between the Federal Government of Nigeria and Malabu Oil and Gas Limited (Malabu) was executed on November 30, 2006. He said the Terms of Settlement, which was later reduced into a Consent Judgment of the Federal High Court; Abuja was brokered by a former AGF Ojo, and signed on behalf of the federal government by the then Minister of State for Petroleum Resources, Dr. Edmund Daukoru, during the administration of President Obasanjo. Adoke said when he assumed office on April 10, 2010, he inherited

a Consent Judgment, which had undergone the scrutiny of three presidents and Attorneys General. He said he was therefore restricted to the implementation of the settlement as the issue of ownership of OPL 245 had already been resolved in favour of Malabu by the Terms of Settlement on November 30, 2006, and the Consent Judgment of the federal high court Abuja. Adoke said he also inherited an on-going Investor/ State Arbitration at the International Centre for the Settlement of Investment Dispute (ICSID) in which SNUD had initiated arbitral proceedings against the federal government claiming damages in excess of $2 billion for taking back OPL 245 re-awarded to them when Malabu’s title was initially revoked by the government. SNUD’s claims were also premised on the fact that they had substantially de-risked the block.

MONDAY, MARCH 13, 2017˾ T H I S D AY

CRIME&PUNISHMENT Police Arrest Suspect for Robbing Conference Centres Chiemelie Ezeobi The operatives of Rapid Response Squad (RRS) of the Lagos State Police Command have arrested a man who specialises in stealing laptops and other items belonging to conference and seminar participants in Lagos State. The suspect, Ikemefuna Aje, 47, was arrested by the operatives after he gate-crashed into a seminar organised for internet brand managers at a popular hotel in the GRA, Ikeja, Lagos. The suspect had also stolen the British passports and other valuables of visiting British professor, Paul Collier, who was at Muson Centre to mark the annual birthday series of Prof. Pat Utomi’s Centre for Values in Leadership. Having succeeded in infiltrating the meeting, he made away with five MacBooks, one HP computer and some assorted personal effects of the workshop participants. Ikemefuna, who was captured in the CCTV camera around the venue of the event, drove into the venue, before heading straight into seminar when the participants were having lunch in another room. The suspect, who was corporately dressed wore the tag of seminar participants before making away with the items. He had, after stealing the said items, taken them to computer village, Ikeja and sold the five Mac Books and one HP computer to one Saliu Ibraheem for N1, 110, 000. RRS operatives, while tracking the suspect traced him to 5, Tony Street, Ejigbo, Lagos, where he was hosting about 34 other church members in a house fellowship. Recovered from his house

after the arrest were a 4Runner Toyota, with the registration No. KRD 701 DC, driven into the venue by the suspect, a master key, Zinox laptop, several computer bags, computer and tablet accessories as well as seminar materials and the sum of N700, 000. According to the representative of the seminar organiser who did not want her name in print, “we were shocked to see participants bringing up issues of missing laptops and computer accessories after returning from lunch. “The seminar was not advertised online, neither was it in any national newspaper. How did this suspect get to know of the event and managed to come at the exact time participants were having lunch?” According to sources, Ikemefuna had several scouts who furnished him with information on conferences and seminars, where he went to steal laptops and participants properties. The suspect said the seminar was one of the many others where he had gate-crashed before, stealthily making away with several laptops, mobile phones and computer accessories of participants. The suspect, after initially denying the crime, confessed when he was shown a copy of the CCTV footages before leading the operatives to Computer Village to arrest the buyer. According to the buyer of the stolen items at the Computer Village, Ikeja, Ibraheem, “I have known Ikemefuna for more than seven years. Recently, he brought five Mac Books and one HP to my shop. He said he bought them in South Africa.

‘Driver with Stolen Number Plates Attempts Running over LASTMA GM’ Officers of the Lagos State Traffic Management Authority (LASTMA) have arrested a commercial bus driver, David Agiri, for driving with a stolen vehicle number plate, FKJ 875XC, at Oshodi area of the state. The driver, while attempting to escape arrest, almost ran over the agency’s General Manager, Mr. Olawale Musa, as well as the bus of the monitoring team. According to the agency’s statement signed by Adu Adebankole the Chief Public Affairs Officer, Agiri, who has been on the wanted list of the agency since February 23, 2017 for driving against traffic at Iyana Iba on Lagos- Badagry Express Way in contrast to the relevant sections of the Lagos State Traffic Laws which forbids driving in the direction of oncoming vehicles, had evaded arrest since. “However, in line with the policy of the agency, which forbids officers from pursuing fleeing vehicles, Agiri escaped arrest with the bus. But the long arm of the law later caught up

with him when he was eventually arrested with the same vehicle last Thursday, March 9, 2017, at Oshodi. “Further investigation of vehicle papers by LASTMA officials revealed that the vehicle number plates did not correspond with the vehicle documents as the number plates belong to a Port Harcourt resident with a different name and type of vehicle. “In addition, Agiri who is a native of Badagry and a resident of Agbara town in Ogun State was said to be a well-known serial traffic offender with penchant for driving against traffic. Commenting on the incident, Musa said the agency’s monitoring team on routine patrol of Lagos roads caught the driver of the unpainted commercial bus at Iyana-Iba driving against traffic and efforts to apprehend Agiri proved abortive as he mobilised social miscreants to attack the traffic officials.

“I bought the Mac Books and a HP laptop computer for N1, 110,000 and I resold it immediately for N1, 250,000 The money was transferred into my account immediately.”

As at yesterday, the operatives had recovered all the laptops stolen by the suspect at the seminar. Confirming the incident, the Police PPRO, ASP Olarinde

Famous-Cole, said there would be no hiding place for criminals in Lagos State, adding that officers of the command are at alert to nip crime in the bud.

The suspect has been transferred to the State Criminal and Investigation Department (SCID), Panti, Yaba, for further investigation and prosecution.

RESOLVED TO END TERRORISM A civilian JTF operative injured during an encounter with suicide bombers in Borno State receiving treatment Again, Court Jails Two Vandals of BEDC Transformers in Benin Official electrocuted in Ondo James Sowole ÓØ ÕßÜÏ Barely few months after two family member were jailed in Koko, Delta State, for stealing electricity cables, Benin Electricity Distribution Plc. (BEDC), has again won the war against electricity vandals as two transformer vandals, John Joshua, aged 25 and Yakubu Idris, aged 28, were apprehended by community members while they were vandalising a transformer located at off Oko Central Road, Benin City, Edo State. In another development, a technical staff of the Benin Electricity Distribution Company (BEDC) , simply called Kola, got electrocuted at the weekend at Ondo City, headquarters Ondo

West Local Government Area while attempting to connect cable to a building. According to a statement from BEDC, the two vandals caught in the act by members of the Idahagbon Community in Oko central area of Benin have been sentenced to six months imprisonment after arraignment on a two count charge of “malicious damage and stealing” at Oredo Magistrate Court before Chief Magistrate I.U. Iyoha (Mrs). BEDC reportedly followed up with the Police for proper investigation and necessary action following the arrest of the vandals by the Police with charge No MOR/133C/17. The two pleaded guilty and were sentenced to 6 months

imprisonment or a fine of N70,000 each. It will be recalled that efforts at curtailing the activities of electricity vandals in Benin Electricity Distribution Plc. (BEDC) network also yielded results last December as two persons, Friday Tega and Tega Ajaino were recently sentenced to 3 years 9 months and 2 years imprisonment respectively with hard labour. The accused were convicted by a Magistrate Court, Koko near Sapele area of Delta state for vandalizing a BEDC 33KVA line. The accused who were jailed without any option of fine were arrested and detained on Monday 19th, December, 2016 at Koko Divisional Police

Station for committing the crime after cutting the wire of a tower in Presco Palm oil plantation situated in Koko town. They were reported to have cut the 50mm earthing wire for grounding channel iron on 33kva line, in addition to 12 towers also vandalized by the criminals before they were arrested. These vandals were caught by the customers and community members in the area. Meanwhile, the electrocution tragedy occurred at the Government Reserve Area (GRA) located at Itanla, along the Ondo/Aakure highway in the ancient community. THISDAY gathered that the deceased until his death was the the official of the BEDC in charge of the area.

Lagos Taskforce Arrests 87 Miscreants, 35 Cultists Chiemelie Ezeobi

The Lagos State Taskforce, at the weekend arrested 87 miscreants and 35 cult members during an over-night operation carried out by its operatives around Idi-Oro, Akala and Mushin areas of Lagos. Confirming the arrests, the Chairman of the taskforce, Olayinka Egbeyemi, a Superintendent of Police, said the over-night operations was sequel to public reports that they could no longer sleep with their two eyes closed due to criminal activities around these areas. Egbeyemi said the 35 cult members were arrested along with their gang leader, Sanju Agbabiaka (aka ‘120’ ), at midnight while they were recruiting new members into their group

around Akala area. He said investigation revealed that these 35 arrested notorious cultists belong to a group called ‘Omije Boys’. He also said the 87 miscreants and 35 cultists used to terrorise innocent citizens by dispossessing them of their valuables and raping women. He said 10 females and 15 teenagers were among those arrested, adding that one paramilitary officer attached to the agency was seriously injured with broken bottles during the operations. He commended Governor Akinwunmi Ambode for increasing the number of vocational training centres across the state in order to discourage youths from engaging in criminal activities

and be useful to the society. The chairman urged youths to shun criminal activities that could land them in jail and instead get enrolled into these well-equipped training centres. He said at the centres, they would be trained in different vocational skills such as computer studies, photography, catering and hotel management, fashion design and dress making, shoe and leather works, hair dressing, bead stringing and hat making, as well as welding fabrication. Egbeyemi said he has complied with the directive of the Lagos State Commissioner of Police, Mr. Fatai Owoseni, who directed that all those arrested be charged to court today.

One of the arrested cult member, 17-year-old Godwin Okpeye, confessed that it was his friend who lured him to be a member last September after he dropped out from school. He confessed further that they were involved in different criminal activities and that he was just released from Lagos State Remand Home on February 18, 2017, after he and his friend were caught during a robbery operations. Okpeye said: “My friend and I were sent to Lagos State Remand Home, Oregun by a magistrate after we pleaded guilty to a robbery operations where we broke into a shop and stole a 32 inches Plasma Television and seven Laptops at ‘First Gate’ around Ikorodu.”

T H I S D AY ˾ MONDAY, MARCH 13, 2017

MONDAYSPORTS

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

CAF CHAMPIONS LEAGUE

Ohawuchi on Target as Zamalek Demolish Rangers 4-1 in Cairo Rivers Utd keeps hope alive with 3-0 trouncing of El Merriekh Femi Solaja with agency report It was a weekend of contrasting fortunes for Nigerian teams in the CAF Champions League as Rangers lost woefully 4-1 to Zamalek of Egypt in Cairo while Rivers United restored the country’s hope in the tournament with a resounding 3-0 victory against visiting El Merriekh of Sudan. At the Cairo International Stadium, it was Nigerian export, Stanley Ohawuchi that led the host Zamalek to a resounding victory. The Nigerian was in fine form as the Egyptian side secured a dominant win The 26-year-old Ohawuchi put the White Knights in front in the eighth minute after connect well Osama Ibrahim’s corner kick. The Nigerian league champions who failed to win any of their previous two games leading to the game yesterday, struggled to make the most of some half-chances against a dogged Zamalek defence. Debutant Hossam Paulo scored the host’s second goal in the 22nd minute. Mohammed Ibrahim floated a perfect pass into the feet of Ayman Hefny who took his time before tapping the ball home at the far post for the third goal. The shell-shocked Flying Antelopes soon found themselves out of the game as Mostafa Fathi powered in his penalty kick past goalkeeper Itodo Akor to take the game beyond the reach of Rangers. Bobby Clement’s strike in the 82hd minutes was Enugu Rangers consolatory goal for the trip to Cairo. The second leg holds at the Nnamdi Azikwe Stadium – with Amapakabo’s men needing to score three unreplied goals to reach the group stage of the money-spinning competition.

In Port Harcourt yesterday, Ivoirian striker, Guy Kuemian was the star of the show as Rivers United turned on the style to overpower El-Merrikh 3-0. The Ivoirian netted twice in as many minutes inside the opening 20 minutes to signal the intent of the home side who were cheered on by a healthy crowd at the Yakubu Gowon Stadium, Port Harcourt. His first goal on 16 minutes was a simple but vital as it eased frayed nerves. It came out of impressive work by fellow attacker, Lukman Mohammed, who subsequently laid it on a plate for the marksman. The pint-sized attacker completed his brace in more aesthetic fashion in the 18th minute as his looping header left the El-Merrikh goalkeeper, Jamal Salim with no chance. United almost conceded just before the half hour as Zoumana Doumbia got caught for pace on the left channel. The beneficiary of the subsequent Merrikh opening was Bakry Al Madina who struck firmly enough but watched in agony as his effort came off against the post after the United goalkeeper, Sunday Rotimi got the faintest of touches to the goal-bound strike. The hosts eventually completed the scoring in the 81st minute with a straight forward effort from close range, finished emphatically by the club’s top scorer in the tournament, Esosa Igbinoba. Diego Garzitto, the El-Merrikh head coach cut a forlorn figure shortly after the full time whistle as he struggled to come to terms with what might have been. “We were not used to the conditions in Port Harcourt,” he said at the post match press conference.

Dalung, Gov Dickson Inaugurate Daniel Igali Sports Centre The Daniel Igali Recreation Centre in Bayelsa state has been inaugurated by the Minister of Youth and Sports, Solomon Dalung. On the occasion, Dalung described Daniel Igali as a sportsman, champion, and a source of pride to Nigerians. After the centre was unveiled by Governor Henry Seriake Dickson, the two men accompanied by the President of the Nigeria Wrestling Federation, Daniel Igali, and other dignitaries toured the facility which has a gymnasium, a wrestling hall, a basketball court and space for a hostel. According to Igali, he built the recreation centre for the benefit of Nigerian athletes. “We believe in a sound mind in a sound body. We believe that youths and adults alike should regularly exercise. Youths should be given the opportunities and avenues to achieve their goals

especially in sports and that is why I deemed it fit to build this edifice for our athletes to practice especially for the elite athletes. “We have also allotted a space for the purpose of building a dormitory so that elite athletes can stay on site and train properly. We are also hoping that in the next two or three months we will have this centre duly accredited by the International Wrestling Federation, so that we can have international coaches sent here officially to coach our athletes.

NFPL RESULTS Plateau Utd 2 - 0 Kano Pillars Abia Warriors 2 - 1 Lobi Stars Akwa Utd 3 - 1 Sunshine Nasarawa 2 - 0 IfeanyiUbah Gombe Utd 1 - 1 Shooting El-Kanemi 2 - 0 Tornadoes Remo Stars 3 - 0 ABS FC Enyimba 1 - 1 MFM FC

Rivers United players celebrating their 3-0 defeat of El Merriekh of Sudan in the CAF Champions League clash in Port Harcourt yesterday

Imo Foundation Lifeline for Emeteole Olawale Ajimotokan in Abuja The Imo Foundation will be the last succour for former coach of Rangers International of Enugu and Heartland of Owerri, Kelechi Emeteole, who is urgently in need of $11,000 for throat cancer treatment in an Indian hospital. The ailing former Super Eagles defender has been reported as unable to pay the medical bills as some clubs he once coached, notably Heartland, are owing him to the tune of N3.5million. But Imo State Commissioner for Youth, Sports and Public Safety, Chief Rodney Tony Ajaelu disclosed yesterday that the state government was working on

referring Emetole’s matter to Imo Foundation. Ajaelu said the move would have the support of Imo State Governor Rochas Okorocha. He assured that the exinternational, nicknamed “Caterpillar” would be registered with the Foundation so that he can get the operation performed elsewhere. “We should not abandon him now that he is indisposed and in dire need of help. The governor should be the last call because we must awaken the consciousness of the people given his contributions to football in the state and at national level. As far as Emeteole is concerned,

we are working at moving him into Imo Foundation and his bills covered by the government,” Ajaelu declared. The commissioner who is representing the South-east zone on the board of the Nigerian Cricket Association said though many were unaware of the existence of Imo Foundation, it has benefited many health-wise by paying for their operation, including transplant. Ajaero, who was in Abuja to finalise the registration of Heartland Queens Football of Owerri in the Women Professional League, said the new outfit is founded to give the state a foothold in female football and

employ its talents many of whom ply outside the state. The team to be coached by Moses Aduku is currently rounding up the screening of players ahead of its first official match fixed for March 23. The commissioner who alleged that the demotion of male Heartland FC to the Nationwide National League in August last year to the poor management of the N75 million released to the team to prosecute the last three matches however assured football stakeholders in the state that the Owerri team would bounce back and stake its place in Nigeria Professional Football League next season.

Zenith Bank Revives Delta State Principal’s Cup The Delta State Principal’s Cup competition for Secondary schools which has been grounded over the years is back with a big bang courtesy of Zenith Bank. All the secondary schools in the 25 Local Governments of the state will be involved in the competition in which the preliminaries are expected to start today. Hideaplux limited, Warri are the organisers of the event and the CEO of the outfit, Tony Pemu, said at the weekend that the

Zenith Bank initiative was timely. He said: “It is a big blessing because Delta is noted for talents in all sports especially football but our young ones have not had the opportunity over the years. “The sponsorship of Zenith Bank will take our football back to where it belongs in the next few years.” Group Managing Director of Zenith, Peter Amangbo, noted that the Principal’s Cup project

in Delta State is part of the bank’s way of developing the Nigerian youth. “We always try to assist youths to showcase their talents and this is just one of such events. Delta has a rich sports background and we felt is important that the secondary school football competition is revived,” Amangbo said. There are over 1,200 private secondary schools and 446 public government secondary

schools in the state. Pemu stressed that the schools are excited with the return of the competition and they are already preparing for it. “We expect one winner to emerge from each of the 25 LGs in the state. The qualifiers will be later grouped into eight where the quarterfinalists will emerge. The work load is very huge because all the schools are involved. The time is short but we are working hard on all logistics,” Pemu said.

Mcleod, Osewa Retain SNEPCo Junior Tennis Titles Michael Osewa and Angel Mcleod put up very commanding performances to retain their boys 18 and girls 16 titles respectively as the third edition of the SNEPCo Junior Tennis Championship came to an exciting end at the Lagos Lawn Tennis Club. Osewa defeated Stephen Augustine for the second time in two weeks 8-4 while Mcleod overpowered Toyin Asogba who

had upset Marylove Edwards in the semifinals 8-2. The boys 16 match, which was again the star match, lived up to the billing as Emmanuel Jebutu finally won the long drawn match 9-7. It was an all Kodian Tennis Foundation affair in the girls 14 as Timipre Maxwell again defeated the younger Rebecca Ekpeyong who just graduated from the 12 this year 8-4. Ekpeyong however went

away smiling as she got the most improved player (MOU) award. Two Abuja-based players also dominated the boys 14s where Suleiman Ibrahim defeated Aliu Abubarkar 8-4. The MOU award for the boys went to Philip Abayomi, another player who did not win an event but showed remarkable improvement from the CBN Junior championship held two

weeks ago. Other title winners were Serena Teluwo who won a close match against her friend and team mate Reza Holmes 9-7; Precious Ikueba who beat Seun Ogunsakin 8-6 and Daniel Adeleye who defeated Joshua Maxwell 8-4. A surprise winner emerged in the girls 12 where Lokoja based Mary Udofa beat Esther Marshal from Lagos 8-2.

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MONDAYSPORTS FA C U P

Chelsea, Man Utd in Grudge Qâ&#x20AC;&#x2122; ďŹ nal Clash Tonight The team to join the trio of Manchester City, Arsenal and Tottenham Hotspur in the FA Cup semi finals will be decided tonight at Stamford Bridge as Chelsea host their bitter rivals, Manchester United. This is easily the final before the final and the potentially the most explosive and competitive of the four quarter finals duels. Goals are not expected to flow as in the Saturday Arsenal versus Lincoln City clash or the Sunday one sided affair that saw Tottenham scoring six goals in the encounter with Millwall. It is also grudge-laden. Jose Mourinho, Manchester United manager, again come face to face with his former club and fans that hitherto would have been looking at him as their hero. Both Chelsea and Manchester United still remain giants of English football and rivals in the FA Cup with history almost dating back to 100 years. Most results of 11 past clashes in the FA Cup have gone in favour of Manchester United with eight wins. But the last two clashes were won by Chelsea whose form is buoyed with going into Mondayâ&#x20AC;&#x2122;s clash as table-topper of the Premier League. But the number of past wins of Manchester United and the current form of Chelsea in Premier League may have little bearing on the clash. The FA Cup history is replete with shock results that never aligned with projections. But a look at some past FA Cup clashes of both teams can be of interest. Here are some of them as captured by the FA. Of the previous meetings

Mourinho (left) and Conte between the two teams, two have occurred in the final, the first in 1994. Manchester United arrived at Wembley as favourites, having been crowned Premier League champions ahead of the showpiece. And, following a goalless first half Chelsea were blown away after the interval, as a second-period blitz secured a 4-0 triumph. The Red Devilsâ&#x20AC;&#x2122; pressure saw Eric Cantona score two penalties in quick succession, while Mark Hughes effectively wrapped up the trophy before Brian McClair added a fourth late on. Four years later the two were at it again, this time in a mouthwatering third round clash at Stamford Bridge. Unlike the 1994 showpiece, United had no problem finding the back of the net in the first half with David Beckham scoring twice â&#x20AC;&#x201C; one a trademark free-kick â&#x20AC;&#x201C; and Andy Cole giving the visitors a healthy lead. After the restart Cole grabbed a second before Teddy Sheringham headed home a fifth. A fine

Graeme Le Saux chip did spark Chelsea into life but a double from Gianluca Vialli was all they could muster and Manchester United won 5-3, although they would go on and lose a fifth round replay to Barnsley. The following season Chelsea and Manchester United were paired again at the quarter-final stage. Following a goalless draw at Old Trafford, Dwight Yorke opened the scoring in the early stages of the replay at Stamford Bridge. Chelsea then enjoyed large spells of possession and should have equalised through Dennis Wise, but his shot was blocked inadvertently by team-mate Tore Andre Flo. And that proved to be crucial as Yorke added a second and Manchester United went on to secure an historic treble. The tide finally turned for Chelsea in 2007 and they did it on the biggest stage of all â&#x20AC;&#x201C; the FA Cup Final at Wembley. It was the first showpiece played at the revamped national stadium and both sides toiled to a goalless draw in the opening 90 minutes.

Barca Suffers PSG Hangover in Defeat to Deportivo Barcelona boss Luis Enrique accepted his side had struggled to shrug off the euphoria of a remarkable Champions League comeback against Paris SaintGermain as the Spanish champions slumped to a shock 2-1 defeat at Deportivo la Coruna yesterday. Enrique made five changes from the side that beat PSG 6-1 on Wednesday to produce the biggest comeback in Champions League history from a 4-0 first leg deficit.

â&#x20AC;&#x153;Obviously it was difficult. Only those that have experienced what we have this week knows what it means, but as professionals we know nothing is gifted to you,â&#x20AC;? Said Enrique. Joselu had fired Deportivo into a first-half lead before Luis Suarez levelled in the first minute of the second period. However, Alex Bergantinos rose highest from a corner to seal Deportivoâ&#x20AC;&#x2122;s first victory over Barcelona since 2008.

Barca still lead Real Madrid by one point at the top of La Liga, but the European champions now have two games in hand and can go top with victory over Real Betis later on Sunday. â&#x20AC;&#x153;We knew it wasnâ&#x20AC;&#x2122;t an easy game,â&#x20AC;? added Enrique. â&#x20AC;&#x153;Now we have to think that we still have matches against our rivals for the title to come. â&#x20AC;&#x153;We are going to have to have a very strong end to the season to be able to opt for trophies.â&#x20AC;?

Ghana, Nigeria Battle in Maiden Binatone Skate Soccer Fiesta The first ever International Skate Soccer Fiesta played by physically challenged athletes from Nigeria and Ghana will take place at the Independence Square in Accra, Ghana on Sunday, March 19. The competition, which is organised by the International Federation for Skate Soccer, (IFSS) is being sponsored by Binatone, a household electronic appliances manufacturer as part of its Corporate Social Responsibility. An inaugural event of the IFSS competition had taken place at La Pleasure Beach in Accra on January 15 with a team from

Accra taking on another team from the Ashanti region of Ghana. As a follow-up to the success of that match, IFSS and Binatone is organising a game that will evoke the age-old soccer rivalry between the two West African countries of Nigeria and Ghana. According to organisers of the game, live audience of thousands of cheering fans is expected to be in attendance with pay tv channel SuperSport broadcasting live proceedings from the game. Â â&#x20AC;&#x153;The event has garnered support from several top International businesses that are willing to sponsor it.

â&#x20AC;&#x153;The sport and the non-profit IFSS was created to bring together the physically challenged players with a core focus on Polio sufferers who have no ability to walk and who usually beg for alms. The benefit that IFSS hopes to bring to these individuals is food, shelter and help in finding a steady job,â&#x20AC;? stressed a member of the organizing committee. Binatone Group Managing Director, Mr Sunil Lalvani, said that his company is supporting skate soccer with IFSS because he feels it an excellent way for the company to give back to a part of the world that has treated it so well.

T H I S D AY MONDAY MARCH 13, 2017

Monday March 13, 2017

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MISSILE Melaye to Ali “I asked under which law he got that and educated him by reminding him that while he retired as a Colonel, General Hananniya retired as a General, and when he was appointed Corps Marshal of the Federal Road Safety Commission (FRSC), he wore the uniform of the commission daily. “Then if that position (CGC) is a rank and you are not wearing that rank, it means you are not even proud of the Nigerian Customs Service.” – Senator Dino Melaye insisting that Comptroller General of Nigeria Customs Service, Col Hameed Ali (rtd) must heed the directive of the senate and wear the service’s uniform henceforth.

ALEXOTTI OUTSIDE THE BOX

alex.otti@thisdaylive.com

Teacher, Don’t Teach Me Nonsense – III

“T

his is it, a classic condemnation of the unreasonable first prize of some talent-based competitions: Big Brother Africa, sponsored by Coca Cola, $300,000 (N48m); Maltina Dance, N10m; MTN Project Fame, N7.5m, plus an SUV; Etisalat’s Nigerian Idol, N5m, plus multi million Naira contracts; Glo Naija Sings, N5m, plus an SUV; Gulder Ultimate Search, N10m, plus endorsements and an SUV. But, compare and contrast with academic equivalents: Cowbell Mathematics Competition, N100,000; Lagos State Spelling bee, N50,000; School Scrabble, N25,000; Cool FM Spelling Game, goodie bag filled with Amiladrink; UNN Best Graduating Student, N50,000. And someone wonders why there’s so much failure in WAEC and JAMB? Soon, parents will no longer ask their children to read their books so they get good grades, but to read their lyrics so they could make hit songs”. The above statement culled from an article written by Michael Bush in The Daily Sun Newspaper of Monday, February 20, 2017, cannot be controverted. It explains the psyche of many Nigerians today and sadly so. Before you get us wrong, some further explanations would be in order. I love the creativity and the talent of a lot of our youths in the burgeoning entertainment industry. I have actually supported a number of them in the past and continue to do so even now. But I do not agree that entertainment and education are mutually exclusive. I strongly contend that the talents would be better deployed with good education. In our last two interventions, we had looked at the state of education in Nigeria at the primary, secondary and tertiary levels. What we intend to do as we conclude is to initiate a debate on what we should be doing to place education on the front burner of national discourse. Like a former US Education Secretary, Arne Duncan posited, “Education is the key to eliminating gender inequality, to reducing poverty, to creating a sustainable planet, to preventing needless deaths and illness and to fostering peace. And in a knowledge economy, education is the new currency by which nations maintain economic competitiveness and global prosperity. Education is an investment and one of the most critical investments we can make”. If we agree that education is this important, then something must be wrong somewhere for us not pay sufficient attention to it. Be that as it may, I believe that we need to move to action. We must have a national strategy that defines the vision we intend to pursue, the timelines, the framework and the required resources to achieve our set target. We must also agree implementation time table, triggers and consequences for noncompliance. Like I had stated earlier, what I intend to do here is to initiate and elicit debate as I do not pretend to have the all the answers. First, it is very instructive that as I was putting this piece together, the Federal High Court in Abuja delivered a landmark judgement to the effect that the Federal and State governments would be breaching the constitution if they failed to provide financial and institutional resources for free, compulsory and universal primary and junior secondary education for all Nigerians. This is a very good news as it is at the heart of the failing quality of education in the country. This is because once you miss the basic foundational level of education, you may as well forget good education. I would therefore like to see a vision that reads like, “to attain free and compulsory education for all willing Nigerians in the next 20 years”. I will extend the definition of education to mean up to school certificate level. It will be free and compulsory and would therefore, become an offense for any child of

Minister of Education Mallam Adamu Adamu school age not to be in school. If we want to achieve this, we would roll out a comprehensive but easy-tounderstand plan for it. We must ensure that enough schools exist in the communities just like it is done in other countries. We will make teaching attractive by ensuring competitive compensation packages and insist on rigorous recruitment process for prospective teachers. We must also institute a feedback mechanism that would help in monitoring the performance of teachers and ensure that it is used to decide the career progression of teachers. Continuous updating and retraining of teachers must be institutionalized, as a rule. A World Bank- commissioned research on “Education Quality and Economic Growth” concluded that teacher quality strongly influences student outcomes, warning that just adding resources does not have so much effect on teacher quality. This is understandable given that recruiting the right kind of teachers in the first place is the condition under which improvements can be made. In addition to this, the research made some more critical findings from empirical data as follows: 1. Educational quality- measured by what people know- has powerful effects on individual earnings, on the distribution of income, and on economic growth. 2. The educational quality in developing countries is much worse than that of the developed countries and 3. Just providing more resources to schools is unlikely to be successful as improving the quality of education will take major changes in the institutions themselves, attitude and policy. Having noted these, the degree of underfunding of the education calls for very serious concern. The United Nations set a benchmark for educational funding relative to budget for developing countries at 26%. However, in the 2016 budget year, we allocated a paltry 6.01% of the budget to education. In the yet to be approved 2017 budget, the allocation inched up a little to 7.4%. These numbers are very distant from the benchmark of 26%. I believe this is the big elephant in the room. Education is so terribly underfunded that the likelihood of positive results coming from the sector is very remote and distant. Still on framework, we would eliminate all impediments to enrollment. Recently, someone drew my attention to the recent results of entrance examinations to Federal Unity schools throughout the 36 states of the Federation. While some states required scores of 130 and above to be admitted, at least 2 states had cut off marks of 2, I mean 2 as in t-w-o for the 2017 admission year. This is a terrible disservice to the students so admitted. I had written in the past against quota system and federal character as killing initiatives and competitiveness. It is as clear as daylight that you

cannot administer quota system on any system that is competitive and expect great outcomes. How on earth does anyone expect that a student who scored 2 marks would sit in the same class and compete with those who scored 130 in the same entrance examination and match them? While quota system may bring someone into the school, that candidate, so admitted, would be simply unable to function nor compete as exam marks would not be awarded on the basis of quota system. So the designers of this system failed to think through what they were going to implement. In any case, when there are enough spaces in our schools, it becomes axiomatic that applicants into different schools would be able to find spaces in schools that match their capacity and rationing would be a thing of the past. The next thinking would be in the area of tertiary institutions. A major question to address is ownership. The present model where some schools are owned by the Federal Government and some by states and the rest by private organizations need be looked into thoroughly. What would work better? If we must retain the current model, then we must also set up proper governance and oversight structures to ensure minimum standards are maintained. All institutions must be adequately staffed with standard laboratories, libraries, lecture theaters and other facilities. These are minimum standards beyond which, the school should not remain open. They must know that they are in competition with others and those that maintain proper standards will be rewarded, while those that fail would also be sanctioned. At this level, appropriate fees must be paid. For those who are unable to pay, functional and efficient Student Loan Boards would be set up, from where they can borrow and pay for their education and pay back in due course. I believe

that there are people who know how this works and who would be able to give directions and support. What we teach the students is as important as availability of spaces. A cursory look at the curricular of a lot of institutions will point to the fact that some of the schools have curricula that have no relationship with the current existential realities. The study of pinhole cameras can only be relevant as a history topic in the new world of digital cameras. Teaching should therefore be tailored to equipping students with relevant skills that would help them function in the ever changing global world. Anything short of this would put the graduates in a competitive disadvantage. The country’s planning function will point attention to priority areas and the educational institutions would be useful in helping realise the goals of the plan. If our national plan identifies that we need to pay attention to information technology for instance, our educational system should be in a position to offer itself as a platform to achieve this. This is what happens in countries like India and China and the results are not in dispute. Our tertiary institutions should also be made to provide the country with the required research backbone to support business organisations and government. People do not need to set up their own research centres which is not only inefficient but expensive. Finally, strengthening our educational system will reduce social vices and channel the energy of youths to more productive and enduring ventures. The number of young people available for terrorism, robbery, kidnapping and other vices will drastically reduce. It was a French writer, Victor Hugo (1802-1885) that stated decades ago, “The more school doors you open, the more prison doors you close”. Need we say more?

To Dr. Deji Adeleke at 60

n Saturday, March 6, 2017, my friend and brother Dr. Adedeji Adeleke turned 60. Dr. Adeleke is a very strong Christian and takes his faith very seriously. He is the founder and Chairman of Pacific Holdings Ltd whose interests cut across different sectors of the economy including banking, manufacturing, trading, Energy and education. In 1996, he founded the Springtime Development Foundation, a platform, he uses for his philanthropic activities. Shortly after, Springtime established presence in all the states of the federation. He personally pumps in hundreds of millions of Naira yearly to support the foundation in its purpose of touching lives of the poor and needy across the length and breadth of Nigeria. In 2011, Dr. Adeleke set up the Adeleke University located in his hometown, Ede in Osun State. The University is reputed to be amongst the best in terms of learning and infrastructure. However, it is also one of the most affordable universities in the country today, given that it was not founded as a business venture, but as one of the avenues to give back to society. Many of the students benefit from scholarship schemes set up by the founder. He is blessed with equally successful children amongst whom is David Adeleke, popularly known as Davido, whose music continues to make waves both in Nigeria and beyond. He is a very humble and

Dr. Adeleke decent man who has a heart of gold. I cannot mention Dr. Adeleke without paying tribute to his late wife, Dr. Mrs. Veronica Imade Adeleke who was snatched by the cold hands of death on his birthday (March 6) in 2003. Even though the whole world seemed to be crashing on all of us at that time, I am glad that Deji and the rest of us are able to celebrate, 14 years after. Deji, this is to wish you a happy birthday and pray that you will continue to enjoy good health and peace of mind even as you age gracefully.

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