Financial Vanguard September 17 edition

SEPTEMBER 17, 2012

IST: SEC's prosecution of 260 market operators, a futile exercise — Shareholders … IST toothless bulldog … FG advised to enhance power … Investor apathy persists

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117.28 99.66

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CURRENCY BUYING CENTRAL SELLING DOLLAR 154.78 155.28 155.78 POUNDS 251.0686 251.8797 252.6907 EURO 202.7154 203.3702 204.0251 FRANC 166.6631 167.2015 167.7399 YEN 1.9831 1.9895 1.9959 CFA 0.2856 0.2956 0.3056 WAUA 237.6424 238.4101 239.1778 RENMINBI 24.5078 24.5875 24.6671 RIYAL 41.2714 41.4047 41.538 KRONA 27.1792 27.267 27.3548 SDR 239.8007 240.5753 241.35

CBN Exchange rate as at 14/09/2012

From left Benue state governor Gabriel Suswan, General Manager strategic planning and corporate communication Bank of Industry Mr. Waheed Olagunju (standing) , MD/CEO Bank of Industry Ms. Evelyn Oputu, GM Alhaji Mohammed Alkali and Honourable Agidani at the signing of MOU on N1billion counterpart fund for MSME Development between Bank of Industry and Benue state government at government house, Makurdi

BY PETER EGWUATU hareholders of quoted companies across the country have lamented that the decision by the Securities and Exchange Commission (SEC) to drag 260 market operators to the Investment and Securities Tribunal (IST) for several infractions has not yielded any positive result as retail investors’ apathy in the stock market still persists.

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This is in spite of numerous other measures taken by regulators to restore confidence in the market.

The shareholders attributed the apathy to lack of confidence occasioned by the regulators reluctance to discipline erring operators, coupled with the slow pace in the dispensation of cases before the Tribunal, even as they called on the federal government to either scrap IST and establish a financial crime court or increase the

power of IST to jail and confiscate properties of erring operators.

In his comment to Vanguard, Dr. Faruk Umar, Chairman, Advancement for Rights of Nigerian Shareholders, said, “IST is not the best court to adjudicate cases on capital market activities because they don’t have power to jail and confiscate property of people found guilty. IST is like a toothless bulldog. So, in that case, we call on the federal government to scrap it and set up a financial crimes

court that will have the power to jail and confiscate property.

Alternatively, the government can increase the power of IST to jail and confiscate property of erring operators and its judgment on cases should be final without any appeal because of its specialized nature.”

Continuing, he said, “ In the present situation where people appeal cases already pronounced upon by IST in ordinary court , it makes no sense because such cases will remain there for more than seven or eight years without being resolved, and the market activity is a daily transaction, how will aggrieved investors wait for such a long time when the market itself is dynamic.

So, this is one of the reasons drawing back some investors who had lost money from the market, since their hope of being restituted has not materialized.”

In the same manner, Mr. Boniface Continues on page 18

18 — Vanguard, MONDAY, SEPTEMBER 17, 2012

Cover Story

Entrepreneurial Education Revolution: An Imperative for Sustainable Development in Nigeria: Part 1

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260 market operators dragged to IST has not yielded result —Shareholders Continued from page 17

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Okezie, Chairman, Progressive Shareholders Association of Nigeria (PSAN), said, “Both the Nigerian Stock Exchange (NSE) and IST have not been able to bring the erring operators to book. Some of the retail investors are complaining that some stockbrokers who collected their money to buy shares on their behalf are yet to return the money and for the operators who were dragged to IST, nothing has come out of it.”

To this extent, Okezie, called on SEC to enhance its enforcement unit to ensure that investors are protected by monitoring those cases before IST and seeing to their logical conclusion.

“It is by doing this that confidence will begin to return to the market. What happened is that SEC abandoned those cases mid way, otherwise most of them would have been completed because the law gave IST 90 days to complete cases before it,” Okezie enthused.

Mr. Adebayo Adeleke, National Secretary, Independent Shareholders Association of Nigeria, (ISAN) is of the opinion that IST has been trying its best.

According to him, “There have been low activities in the market not necessarily because of slow pace in the dispensation of cases before IST. "There might be low publicity in terms of cases concluded by IST, but they are working, given their

Both the Nigerian Stock Exchange (NSE) and IST have not been able to bring erring operators to book

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challenges and constraints.

IST is a statutory body set up to address cases involving capital market transactions and has 90 days to complete any case, so I think the Tribunal is doing the much it can. Some of the reasons why retail investors have refused to come to the market is the losses they made in the past.

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ost of them lost their life saving money and you expect them to come to the market soonest, no! The institutional investors are playing the market now because they are using other people's funds to invest. They say once beaten twice shy, so retail investors are taking their time and they will play the market as soon as they are convinced things have normalized. They are in wait

and see attitudes.”

Meanwhile, spokes person for the IST, Mr. Kenneth Ezea, while responding to some of the issues affecting IST, said that those cases that were referred to the Tribunal by the Commission are either concluded or at various stages of conclusion.

According to him, “ If there are any particular case you want to know something about please specify. You are aware that the 3rd Tribunal was sworn in on June 3 and they have since swung into action. One of the cases they have handled in your category of 260 cases is case no: IST/OA/25/2010; SEC vs.

Finbank Plc and 37 others which was recently struck out for lack of diligent prosecution

by SEC.” On the issue of alleged corruption, Ezea said, “ IST is not corrupt. Did you hear of any money given to IST that was found missing or misapplied? Did anybody complain to you that he paid bribe to obtain justice from IST? If you have any such complaints please forward them for us to deal with.”

Continuing, he said, “In fact, we have many problems including lack of our own head office building leading to high rent and poor accommodation for staff and lack of courtrooms. We have only one courtroom in Abuja when we should have up to three. Our annual budget allocation is always very low, so we can’t fund most things especially publicity. We have been crying for government to support us.”

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L-R: Secretary General, Nigerian Telecom Awards, Otunba Biodun Ajiboye; Form e r Governor, Ogun State, Aremo Olusegun Osoba and royal father , Oba Dokun Abolarin, the Orangun of Ila, during the 8th edition of the annual telecoms awards held in Lagos recently

lbert Einstein once defined insanity as doing the same thing over and over and expecting different results, while the French classical author, Francois de la Rochefoucauld said ‘ the only thing constant in life is change’.

This paper stresses the importance of entrepreneurship education towards enhancing sustainable development in Nigeria. The problems facing the country ranging from high rate of poverty, youth and graduate unemployment; overdependence on foreign goods and technology; Low

An entrepreneur is a person who is driven to establish a business to take advantage of the financial opportunities and personal fulfilment offered, by pursuing their own dreams and shaping their own destiny in local, national and global economies

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economic growth and development; among others.

This paper therefore argues that entrepreneurship education will equip the students with the skills with which to be self-reliant. The objectives and strategies for r e - d e s i g n i n g entrepreneurship education are also discussed. The paper also recommended that educational programmes at all levels of education should be made relevant to provide the youth the needed entrepreneurial skills. It is also recommended that the government should give adequate attention to entrepreneurial development in the country through the provision of good economic environment.

So it is on this premise I would like us to see the Nigerian educational system in light st of current realities in the 21 century. A careful look

of the current state of affairs in Nigeria reveals that we are in a 21st century economy with a 19th century education system. A system whereby much emphasis is still placed on the conventional classroom environment with much reverence for certificate for graduates who in most cases are trained to be job seekers as evidenced in present high unemployment rate in the land. However, we must accept the fact that times have changed and we must adjust by transiting from the old styled era of Adam Smith inspired concept of the ‘industrialized specialist’ which has outlived its usefulness to a more dynamic, resourceful and I.C.T based model where skills and creativity takes precedence.

Without deviating from the topic of my speech which is Entrepreneurial Education Revolution in Nigeria, I would like to briefly define some of the concept in the topic.

WHO IS AN ENREPRENEUR? An entrepreneur is a person who is driven to establish a business to take advantage of the financial opportunities and personal fulfilment offered, by pursuing their own dreams and shaping their own destiny in local, national and global economies. I personally define an entrepreneur as anyone who can convert what he loves doing to a moneymaking venture. Entrepreneurship on the other hand is said to be the process of planning, operating and assuming the risk of a business. It has also been seen as a process of creating a unique value. For the purpose of this speech, I would be limiting education to the activity of teaching about a particular subject.

Revolution on the other hand has been defined by The Macmillan English dictionary as a sudden or major change, especially in ideas or methods. A revolution signifies a drastic turn around, a new way of thinking and acting.

So at this juncture, what then is Entrepreneurial Education? Entrepreneurial education is a lifelong learning process, starting as early as elementary school and progressing through all levels of education, including adult education.

Vanguard, MONDAY, SEPTEMBER 17, 2012 — 19

BY TONY NAVAH OKONMAH u r r e n c y denomination may not be the direct cause of inflation but it can provide a perfect platform and unnecessary spook of the economy if not carefully managed. To claim there is no link between inflation and currency denomination is sheer ignorance or outright intentional untruth. The claim

by NEMT in the Vanguard publication of 10 September, 2012 that the introduction of the higher currency denomination (N5, 000) in Nigeria will help shore up the Naira value and that most people who store money in hard currency will now embrace the higher denomination is the worst economic theory foolery I have ever heard. That this argument came from the likes of the Minister of Finance (Dr Ngozi Okonjo-Iweala), the CBN governor (Sanusi Lamido Sanusi), and the Minister of National Planning (Dr Shamsudeen Usman) is more surprising. Dr Usman can save us the burden by explaining how the introduction of the N5, 000 notes would assist in big business transaction and why will it not be in high circulation only to be mostly used by the banks.

I have always wondered why the people in government are arrogant to explain their actions and intents. They assume that the majority of Nigerians are illiterates who do not understand economic principles or financial matters and must gobble every nonsense and idiocy propounded by the government. Dr Usman, your argument for the introduction of the N5, 000 denominations raised serious issues on your profile as an economist, banker and former Deputy

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Dr Usman can save us the burden by explaining how the introduction of the N5, 000 notes would assist in big business transaction and why will it not be in high circulation only to be mostly used by the banks

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Sanusi Lamido Sanusi

The Controversy of the N5,000 denominations: A rejoinder Governor of CBN.

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hat most Nigerians fear about the new N5, 000 denominations and inflation is genuine and can be substantiated. The economist, Dr Usman should know of what is called “demand-pull inflation”. For the benefit of laymen, this is simply a term used in describing a scenario that occurs when price levels rises because of an

“imbalance” in the aggregate supply and demand. Dr. Usman hasn’t explained to Nigeria what plans they have to offset such imbalance which is the fear of the average Nigerian, more so, as he mentioned that the government’s original plan is that the N5,000 notes will not be in high circulation and will only be used mostly by the banks. Of great interest is the fact that Nigeria has no developed trade system and

structure, and most trade exchanges and payment transactions are in volumes of N10 and N20 notes and traders’ prefer less coin cash engagement. This makes the fear of the average Nigerian tenable and genuine because when the N10 and N20 coins are introduced, the preference for less coin cash engagement will lead to a push up in prices of goods in that price range to the next price range

of N50 with no coin cash alternative. In turn, the demand-pull inflation will lead to cost-push inflation which creates substantial increase in the cost of important goods. Therefore, to say that high denomination does not lead to inflation is utter rubbish.

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t is not too difficult seeing where the government is coming from or what is intended by the introduction of the N5, 000 denominations but Dr Usman made a mess and mockery of it in his argument. The discretionary fiscal policy allows the Presidency/its agents and the CBN to create a scenario that causes demand-pull inflation by engaging in expansionary fiscal policy which I must say is not a bad idea at all if honestly pursued and executed, although, it still has it owns problems mostly being that it could lead to budget deficit. I think Dr Usman should have first highlighted to Nigerians the benefits of this expansionary fiscal policy through the printing of N5, 000 note which they hope will spur the economy and drive growth by creating more profitable businesses and more jobs for our idling youths. He needed to put up a convincing argument of how this can drive the economy while not neglecting the impact it will have on demand-pull and cost-push inflation. To dismiss these effects is outright ignorance and fatal arrogance.

*Tony Okonmah, a financial and economic analyst wrote from London.

BUSINESS & ECONOMY TAT admonishes companies, individual to resolve issues with tribunal

BY FAVOUR NNABUGWU n order to avoid chaos associated with disputed accounts, Tax Appeal Tribunal has admonished corporate organization and individuals that have issues with their taxation to trash them out with the tribunal.

TAT Secretary, Mr Saka Aliyu made the appeal in Abuja recently when he led a delegation of TAT on a courtesy visit to the News Agency of Nigeria (NAN).

He explained that the process of going through the

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tribunal was easy, stating that a tax payer do not necessarily need the services of a lawyer to represent him at the tribunal, while adding that the process allows for fairness and flexibility ”I am happy to inform you that since inception, the number of cases going to the Federal High Court has reduced drastically. They attested to this when we visited them.”

Aliyu said the activities of the tribunal had helped the Government to recover huge sums of money from tax dispute resolution.

Though he admitted that there was apathy on the part of Nigerians to tax payment and their ignorance of the available opportunity to seek redress on the areas they were dissatisfied with.

“Generally in Nigeria, we have this apathy to tax payment. But it is a duty of every Nigerian to pay tax because that is what government depends on mostly to service the nation.”

The secretary said the tribunal had eight tribunals across the country which handled 116 tax appeals in the first quarter of

2012 out of which ten were determined and two struck out.

Aliyu explained that the tribunal in Abuja handled 19 cases as at the end of second quarter of 2012 out of which 13 had been determined.

He said the tribunal could adjudicate on Personal Income Tax, Company Income Tax, Petroleum Profit Tax, Stamp Duty and Withholding Tax, among others.

The secretary said the tribunal was not a formal court but an administrative court. “It

is a final step before going to a formal court.”

Aliyu said that government established it to fast- track tax dispute resolution which might not receive timely attention in the formal law court.

Be that as it may, Mr. Jide Adebayo, NAN’s Executive Director (Marketing), who received the delegation on behalf of Mrs. Oluremi Oyo, the agency ’s Managing Director expressed the agency readiness to partner with TAT to create proper awareness of its activities to the public.

20 — Vanguard, MONDAY, SEPTEMBER 17, 2012

Business & Economy BRIEFS NAICOM urges practitioners to embrace new developments

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ommissioner for Insurance, National Insurance Commission (NAICOM) Mr Fola Daniel has advised insurance practitioners to embrace new developments in the industry.

Daniel made the appeal at the 2012 Chartered Insurance Institute of Nigeria (CIIN) Professional Forum in Ibadan.

According to him, what seemed to be standard exclusions to some classes of insurance in the past are now seen as stand-alone cover.

“New developments arise everyday to challenge what we knew and the way we have done things in the past,” he said.

The commissioner said that a professional would not be better than a non-insurance professional if he failed to recognise new developments.

According to him, practitioner should look beyond professionalism and ‘think beyond the box’ in line with global changes. Daniel said that in making a difference, the practitioner must demystify the insurance profession.

Dr Wole Adetimehin, the CIIN President, said that the theme of the forum was a call to practitioners to brace up for the challenges facing the global economy.

West Africa Crude-Stronger as October cargoes find homes

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est African crude oil differentials firmed a little on as remaining supplies of Nigerian and Angolan grades found homes with end-consumers and as another Asian buying tender was announced. Two Indian refiners are in the market for sweet crudes loading in November and both may take West African barrels, especially if differentials remain as depressed as they have been with the absence of many U.S. endconsumers.

Only a handful of the almost 160 cargoes due to load across the region in October are still available, traders said, with more than 30 cargoes of Nigerian, Angolan and other African producers said to have been sold over the last week.

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Nigeria exports $1.35bn worth of non-oil products in 6 months T

he Nigerian Export Promotion Council (NEPC) has said that the country exported non-oil products valued at $1.35 billion for the first half of 2012. Mr David Adulugba, Executive Director, NEPC, made this known in an interview with newsmen.

Adulugba, however, said the figure represented about 10 per cent decline from the $1.50 billion recorded in the same period in 2011.

The NEPC boss attributed the decline to unrecorded exports, the fuel crisis and workers’ strike in January. He put the value of non-oil export for the first and second quarters of the year at $660.1million and $686.2 million respectively as against $818.8 million and $676.2 million recorded for the same period in 2012. The executive director said Nigeria exported goods worth $161.6 million dollars in January compared as against $307.2 million dollars in 2011.

Adulugba said the nation exported non-oil products worth $242.9 million in February 2012 compared to $273.6 million recorded in the same period in 2011. He also said that Nigeria exported non-oil products worth $255.7 million and $220.6 million in March and April this year compared as against $237.9 million and $250.6 million recorded for 2011. He said the country’s non-oil exports in May and June 2012 were $242.6 million and $223.1 million, respectively compared to $703.5 million and $222 million recorded in the same period in 2011.

According to Adulugba, the bulk of the exported products are cocoa and cocoa preparations, oil seeds, sesame seeds, edible fruits, nuts, citrus, tobacco, fish, shrimps and gum Arabic. Others included recharge cards, cosmetics, footwear, textiles, confectioneries, insecticides, plastics, empty bottles, electric cables, food, beverages and noodles. He expressed optimism that the agency would achieve its 40 percent target for non- oil export products before the end of the year in line with the key performance indicators (KPI).

“At the moment, we are working assiduously to translate where we were at $2.8 billion per annum to 40 percent ($3.92 billion). All sorts of strategies will be adopted to

achieve the target within the regional market.” He noted with concern that the high incidence of unrecorded exports had been a major challenge to accurate reporting of the performance of the non-oil sector in the countr y. To address the

challenge, Adulugba said the Federal Ministry of Trade and Investment was making moves to establish border markets at some strategic locations. He pointed out that the country ’s non-oil exports were dominated by

raw commodities and few products with value addition.

“There is the need to step up the value chain, diversify from commodities and empower the small and medium scale enterprises through entrepreneurship development.”

From left: Mr. Jacques Mulder, General Manager, Next International, Mr. Sunny Ukpaka, National Sales Manager, Next International, Lizzy Iroha, Brand/Marketing Manager, Next International, Mr. Alexander Lechat, International Ambassador, Bisquit and Mr. Denis Lahouratate, Cellar Master, Bisquit at the formal launch and media presentation of Bisquit Cognac in Lagos. Photo by Sylva Eleanya.

Nigeria witnessed robust economic growth in 2011 —African Economic Outlook 2012

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he African Economic Outlook 2012, a joint annual publication has described Nigeria’s economic growth in 2011 as “robust.”

The 291-page book was jointly published by the UN Economic Commission for Africa (UNECA), the UNDP, the African Development Bank Group, the Organization of Economic Cooperation and Development.

The book, which was presented in Addis Ababa by Prof. Emmanuel Nnadozie, the Director, Economic Department and NEPAD division, UNECA, said Nigeria’s outlook for the future remained favourable. It said the robust growth recorded was driven mainly by non-oil sector, in particular telecommunications, construction, wholesale and retail trade, hotel and restaurant services, manufacturing and agriculture.

“To mitigate the negative impacts of the global

economic crisis, the government pursued an expansionary fiscal policy to maintain growth and social sector spending that led to pressure on consumer prices.” The book said a major challenge to increasing the absorptive capacity of the Nigerian economy was the dilapidated state of infrastructure, in particular power, road transport and railways, and the overdependence of the economy on the oil and gas industry.

“These are the priorities of the transformation agenda of the current administration and are being addressed through the creation of an enabling environment for private sector participation in infrastructure development, and through the development of non-oil sector.” The book further said that in spite of the dominance of the oil sector, agriculture played a significant role in the national economy, accounting for the largest single share of Gross

Domestic Product (GDP).

“Sustained growth in the agricultural sector is a principal factor in promoting inclusive economic growth, reducing poverty and ensuring the nation’s food security.”

The book, however, said that in spite of the robust growth, the Nigerian economy had failed to generate decent jobs as poverty was widespread. The unemployment rate is currently 23.9 per cent compared with 21.1 per cent in 2010.” The book, which was the 11th edition, said the unemployment rate among the youth was 37.7 per cent, one of the highest in subSaharan Africa .

“Poverty is also very high and persistent. Social indicators in health and education remain week.” The book also said the Macroeconomic indicators on Real GDO Growth was 7.8 per cent in 2012, dropped to 6.7 per cent in 2011 and rose to 6.9 per cent in 2012, while it was projected to drop to 6.6 per cent in 2013.

Vanguard, MONDAY, SEPTEMBER 17, 2012— 21

Business & Economy

The Partnership Signing Ceremony Between Ecobank/ MoneyGram took place at the Ecobank Headquarters in Victoria Island Lagos yesterday Px shows Left Mr Herve Chomel, MoneyGram Vice President for Africa and Mr Kingsley Aigbokhaevbo, Executive Director, Domestic Bank Ecobank Nigeria at the occasion Px Biodun Ogunleye

FG plans transformation of cocoa production T

he Federal Government has announced plans to revolutionize cocoa production as parts of its effort to restore Nigeria’s lost glory in the production of the cash crop.

The Minister of Agriculture and Rural Development, Dr Akinwunmi Adeshina, made this known at Warewa in Ogun during the inauguration of Frangada Natural Cocoa Powder, produced by the Multi-Trex Integrated Foods Plc. Adeshina said the Federal

Government intended to double annual cocoa production from 250,000 metric tonnes to 500,000 tonnes by year 2015. He said that a Cocoa Transformation Team led by Dr Peter Aikpokodion, has been put in place to facilitate the realisation of the objective.

The minister said the development has become necessary to restore Nigeria’s pride of place in global cocoa production.

Adesina, who recalled that

Nigeria was the second largest producer of cocoa globally, expressed regrets that the country had dropped to a distant fourth. “In addition, we have become a dumping ground for imported food. Nigeria today, spends N1.2 trillion in importing wheat, rice, sugar and fish ‘’As we import, we spend our foreign exchange, making farmers of other countries richer,” he said. He said that the ministry would be focusing on maximising yield

per unit land area on the current 650,000 hectares of active plantation through inputs like agrochemicals and fertilisers. To this end, the customised Cocoa-Growth Enhancement Support Programme (Cocoa-GES) is being implemented.” The minister explained that the programme was aimed at supporting the vulnerable cocoa farmers to access critical yield enhancing inputs.

Adesina said there were plans by Federal Government to partner with the private sector to rehabilitate 200,000 hectares of land in the next four years for cocoa production.

“The ministry has already sent an initial team of experts to Indonesia to study the country’s impressive cocoa plantation strategy. We are also in consultation with key State Governments and private sector on the implementation of this strategy.” He added that the Federal Government had concluded plans to professionalise cocoa production by investing incapacity building for producers in agricultural practices. ‘’We have developed a Memorandum of Understanding with the Cocoa Livelihood Programme of the World Cocoa Foundation (WCF) to train the first batch of 70,000 farmers and strengthen 100 farmers’ groups. In addition, work is in progress to develop a Cocoa Marketing and Trade Corporation, which will be private sector-driven and government enabled to coordinate the cocoa value chain in the interest of all actors.”

Vienna 2 Initiative brainstorms on bank supervision, resolution in Europe

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he Steering Committee of the Vienna 2 Initiative organized a high-level workshop on the topic of bank supervision, resolution and banking union with particular regard to emerging Europe in London last week.

The workshop discussed supervisory cooperation between home and host supervisors and resolution procedures during normal times and periods of crisis.

Resolution issues relating to the banking union framework were also discussed. Held on the same day as the European Commission’s release of its C M Y K

proposals for the European single supervisory mechanism—as a first element of the banking union—the workshop had a preliminary discussion on the implications of these proposals for emerging Europe. Since the European Commission proposals are focused on supervisory arrangements, the need for consistent progress to resolution and deposit guarantees was highlighted.

There was also a discussion of the implications for emerging Europe of options for the banking union.

Participants in the meeting included senior policy-makers

from central banks, supervisory authorities and ministries of finance from home and host countries, representatives of major cross-border banks, European institutions, as well as international financial institutions. The Vienna 2 Initiative plans to present reports on bank supervision, bank resolution and banking union as they affect emerging Europe to various European Union policy-making fora in the near future.

The Vienna Initiative was established at the height of the global financial crisis of 2008/ 09 as a private-public sector platform to secure adequate

capital and liquidity support by Western banking groups for their affiliates in CESEE. The initiative was re-launched as “Vienna 2” in January 2012 in response to renewed risks for the region from the eurozone crisis. Its focus is now on fostering home and host authority coordination in support of stable cross-border banking and guarding against disorderly deleveraging.

Western banking groups continue to play an important role in the Initiative, both by supporting the coordination efforts and doing their own part to avoid disorderly deleveraging.

BRIEF MTN, Etisalat back Number Portability forum in Lagos rganisers of the Nigerian ICT agenda series, have at the weekend, said that their event on Mobile Number Portability: opportunities and pitfalls, scheduled for September 26, may become the high point of events in the ICT sector this year.

This, they said, was due to the growing interest of industry players in seeing that the event achieves its aim of educating the subscribers on the gains and expectations of the number portability regime in Nigeria.

The event according to them, have already attracted the blessing of top telecom operators, MTN Nigeria and Etisalat Nigeria, as they have expressed interest in ensuring a successful hosting of the event.

The forum, which is on the auspices of Private Media Mart Limited and Princelink Communications, is also said to be attracting the interest of other notable telecom operators and infrastructure providers who are in various ways involved in the implementation of the MNP forum.

According to the publisher of TechBrandReview and CEO of Private Media Mart limited, Mr Ejiofor Agada, who disclosed this to journalists at the weekend, “We are extremely pleased to see the level of regard these two telecom giants, MTN and Etisalat have on the welfare and education of subscribers concerning the new MNP regime. Their actions have debunked the perception that the operators are here in Nigeria just to make gains out of subscribers” he added.

Agada, reiterated that the forum will highlight so many areas of interest in MNP and invite relevant specialists to advice on how they would be implemented to affect or benefit Nigerian users.

“Some of the areas include: What porting standard will be employed in implementing MNP in Nigeria.

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22 — Vanguard, MONDAY, SEPTEMBER 17, 2012

Banking & Finance BRIEFS

By NKIRUKA NNOROM

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entral Bank of Nigeria, CBN, has approved the adoption of sustainable banking principles by banks, discount houses and Development Finance Institutions (DFI) in the country.

The CBN in a circular with reference number, FPR/DIR/ GEN/01/030 to all banks, discount houses and DFIs, the apex bank said the agreement to adopt the principles was reached at the bankers’ committee retreat held two months ago, while directing all financial institutions to ensure full implementation of the principles and guidelines.

Mr. Chris Chukwu, Director, Financial Policy and Regulation Department, CBN, who signed the document, said that approval to adopt the principles was in furtherance of the bankers committee’s commitment to deliver positive development impacts to the society while protecting the communities and environments in which financial institutions and their clients operate.

In order to enable effective implementation of the principles, Chukwu explained that the apex bank would issue five different documents to the financial institutions.

The five documents, according to CBN, include the Nigeria Sustainable Banking Principles, the Nigeria Sustainable Banking Principles Guideline Notes, Nigeria Sustainable Banking Principle Power Sector Guidelines, Nigeria

Enterprise Bank issues MasterCard Verve to customers

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From left: Chief Joseph Sanusi, former Governor of Central Bank of Nigeria; Arch Thomas Awagu; Chief Mrs Eniola Fadayomi, 1st Vice President and Mrs Oludewa Thorpe, New Fellow of IOD at the 2012 Institute of Directors Nigeria Annual Fellows’ Evening held in Lagos..

Photo by Lamidi Bamidele

CBN approves adoption of sustainable banking principles Sustainable Banking Principle Agriculture Sector Guidelines and the Nigeria Sustainable Banking Principles Oil and Gas Sector Guidelines.

He said, “Successful implementation of these principles and guidelines will require banks, discount houses and development finance institutions to develop a management approach that balances the environmental and social (E&S) risk identified with the opportunities to be exploited

through their business activities.

E&S risk management would ensure stronger overall risk management for the concerned institutions.

“The adoption of the principles will no doubt enhance the adopting institutions’ financial success over the longer term while ensuring that they remain environmentally and socially responsible.”

He noted that incentives would be provided to those institutions that take concrete measures to embed the

provisions of the principles and guidelines into their operational, enterprise risk management and other governance framework.

He, however, stressed that banks, discount houses and DFIs are expected to submit regular report to the CBN in line with reporting requirement that would be made available to the industry.

The report, according to the CBN, would enable it track the progress of the implementation and adherence to the principles and guidelines.

nterprise Bank Limited (EBL) has rolled out the Enterprise MasterCard Verve, an international brand of MasterCard, in partnership with MasterCard and Interswitch. The card is accepted worldwide as a means of payment for goods and services at over 30.9 million MasterCard locations and over 1.9million ATMs in more than 210 countries.

With the Enterprise MasterCard Verve, transactions can also be consummated in the currency of the country as long as the card is linked to the customer’s Naira account. The successful rollout exercise follows a strong bid by the bank to guarantee convenient banking services to its growing clientele.

The Enterprise MasterCard Verve is available at all branches of Enterprise Bank for easy pick-up by customers with active accounts in the bank while those customers reactivating their accounts and the new ones have the card as part of their ‘Welcome Pack’.

Spanish banks’ ECB borrowing hits new high

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Mobile Banking: Etisalat, banks partner to launch easywallet

By LAZARUS IBEABUCHI and ESTHER ONYEGBULA

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tisalat Nigeria, in partnership with banks in Nigeria, has launched easywallet, a SIM application mobile banking platform which allows its subscriber to do banking and other transactions with ease.

The company is partnering with First Bank Nigeria Plc, Guaranty Trust Bank Plc, Stanbic IBTC and Zenith Bank Plc on the new product.

The company said the package affords its subscribers a more convenient and secure platform, with a view to bringing mobile banking closer to the public and drive the central Bank of Nigeria’s cashlite policy.

Speaking at the launch of the application in Lagos, Chief Executive officer of the company, Steven Evans said, “Statistics have shown that 90 per cent of people transferring money in Kenya uses mobile phones. Meanwhile, figures for Nigeria are less than five per cent. Nigeria represents a great potential market in Africa. It is estimated that over 35 million adults use informal way of transferring fund. So, using mobile money gives the unbanked public the flexibility to transfer money.

“Following CBN adoption of cashlite policy in January 2012, we have seen increase in electronic transfer.

Research has shown that mobile-banking and mobilepayment can help lower the transaction costs of money transfer, increase the flow of

money by making it easier to send smaller amounts and introduce those without bank accounts to a means of secure financial management. By enabling people to use their mobile phones as mobile wallets, we hope to deliver lasting benefits not just for our customers, but also for the Nigerian economy.”

Explaining the features of easywallet, Chief commercial Officer of the company, Wael Ammar, said the service works on all Etisalat SIM cards and customers are only required to register with any of the schemes in order to start using easywallet.

“The service works on all Etisalat sim cards and customers are only required to register with any of the schemes in order to start using easywallet. Customers

are not charged from their airtime for any transactions from the mobile money SIM menu.

“Apart from the fact that this service can be accessed using any kind of phone, be it smart phones or low end phones, another key feature of this service is that it offers multiple language options for consumers and customers need not remember and USSD code unlike the other mobile options available nationwide.

“With a developed secure interphase that meets with international standard, subscribers without bank account are not excluded.

They can do their transaction on easywallet without having a bank account. This service also allows ATM transactions with out an ATM card,” he said.

panish banks borrowed a record 412 billion euros ($531.77 billion) from the European Central Bank in August, increasingly obliged to lean on the bank for funds as concerns over the country’s debt problems blocked their access to capital markets.

August’s borrowing levels compared with 402 billion euros in July and just 82 billion euros a year earlier, according to data published by the Bank of Spain on Friday. Spanish banks account for 34 percent of the emergency borrowing euro zone banks as a whole took from the ECB, the data showed. In contrast, banks in Ireland, bailed out two years ago by the EU and IMF, reduced their borrowing by around 2 billion euros to 120 billion euros last month.

Spiraling debt costs and balance sheets ravaged by a burst domestic property bubble have shut most Spanish banks out of debt and money markets and forced the government to apply for up to 100 billion euros in European aid for the lenders.

Vanguard, MONDAY, SEPTEMBER 17, 2012 — 23

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24 — Vanguard, MONDAY, SEPTEMBER 17, 2012

Banking & Finance BRIEFS FBN Capital Appoints new director, COO

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BN Capital Limited, the Investment Banking and Asset Management business of the First Bank of Nigeria Group has announced the appointment of Funke Feyisitan as Director and Chief Operating Officer.

Ms. Feyisitan joins FBN Capital from JP Morgan in London, where she spent 15 years in product control, financial control and business operations management functions across the securities and investment banking business. Latterly she was an Executive Director running the business operations platforms for Global Equity Capital Markets, and the Debt Capital Markets and Acquisitions & Leveraged Finance businesses in EMEA. She started her career as an auditor at BDO Binder Hamlyn UK, and then worked for Banker’s Trust (now Deutsche Bank) and SG Warburg (now part of UBS), before joining JP Morgan.

ICAN to hold symposium on FGN budget

BY PROVIDENCE OBUH

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he Institute of Chartered Accountants of Nigeria (ICAN) has announced plans to hold the 2012 Budget Symposium on the Nigerian Federal Government’s Budget.

In a statement made available to Vanguard, signed by Assistant Director, Corporate Affairs, Mr. Dayo Ajigbotosho stated that the President of the Institute, Mr. Adedoyin Idowu Owolabi would declared the symposium open while reviewing and discussing the FGN’s Budgets from 20092011 with a view to appraising their implementations and recommending strategies for subsequent budgets.

The conference billed for Tuesday, September 18, 2012 at the Nicon Luxury, Tafawa Belewa Way, Garki, Abuja, would feature the following topics: Overview of Budgeting in Nigeria, Nigeria’s Revenue Profile, Cost of Governance and National Development, Impact of Successive Budgets on National Development and Deficit Budgeting, Government Borrowing Costs, Fiscal and Monetary Stability.

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he Federal Government through the Central Bank of Nigeria, CBN, said it has approved a concessionary exchange rate of N145.00 to the US Dollars for 85,000 Hajj pilgrims.

This represents a concession of about 9.35 per cent from the prevailing exchange rate of about N160 to the US dollar.

According to a statement by the CBN, titled, ‘Purchase of Pilgrims Travelling Allowance, PTA, in Saudi Riyal Travelers Cheques (SRTCs),’ signed by Mrs. O.L. Ahuchogu, for the Director, Trade and Exchange Department, the exchange rate is, however, for their Pilgrims Traveling Allowances, PTA, between $750 and $1,000.

According to the her, each pilgrim is entitled to purchase Saudi Riyal Travelers’ Cheque equivalent of a minimum of US$750.00 and a maximum of US$1,500 as PTA, while for pilgrims buying STRC above $1,000 the difference shall be bought at the prevailing naira exchange rate to the US Dollar on the day of the purchase.

She, however, noted that unutilized SRTCs by the pilgrims should be sold to the CBN, not later than two weeks from the return of the pilgrims.

She said, “No commission shall be charged by the banks for the sale of SRTCs to the intending pilgrims. The CBN will commence the issuance of SRTCs to the designated banks from 13th September, 2012 at the CBN Branches in Lagos and Abuja. The accounts of the respective banks shall be debited as soon as the funds are disbursed.

“Each designated bank is

From left: Henry Egbiki, Regional Managing Managing Partner for West Africa, Ernst & Young, Olutoyin Adepate, Registrar/Chief Executive, Institute of Chartered Accountants of Nigeria (ICAN) and Adedoyin Idowu Owolabi, ICAN 48th President, at the event put together by Ernst & Young in honour of the ICAN President in Lagos.

CBN approves N145 dollar exchange rate for Hajj pilgrims

By MICHAEL EBOH & LAZARUS IBEABUCHI

required to sell to CBN the utilized SRTCs not later than two weeks from the date of the last inward flight to Nigeria from Jeddah, Saudi Arabia upon reconciliation of the transactions with the CBN and the accounts of the banks

shall be credited promptly,” she said.

The official CBN exchange rate as at Friday stood at N155.78 to US $1.

Continuing, Ahuchogu said, “The CBN will commence the issuance of SRTCs to the designated banks from September 13, 2012, at the CBN branches in Lagos and Abuja. The accounts of the respective banks shall be

debited as soon as the funds are disbursed.

Each designated bank is required to sell to the CBN the unutilized SRTCs not later than two weeks from the date of the last inward flights to Nigeria from Jeddah, Saudi Arabia upon reconciliation of the transactions with the CBN and the accounts of the banks shall be credited promptly.”

Ecobank partners MoneyGram on fund remittances

BY RITA OBODOECHINA

E

cobank Nigeria has entered into a strategic partnership with MoneyGram International on fund remittances to Nigerian customers, for business associates among others.

According to the bank, the partnership will enable them offer money transfer services through the MoneyGram platform.

The bank also said that it will gives customers and noncustomers of the bank the opportunity to send and receive money through MoneyGram global network in any of the over 600

branches of Ecobank spread across Nigeria.

MoneyGram offers transfer services worldwide through a global network of more than 267,000 agent locations – including retailers, international post offices and financial institutions in over 192 countries and territories around the world.

Commenting on the partnership, the Managing Director of Ecobank Nigeria,Mr.Jibril Aku, who was represented by the Bank’s Executive Director Domestic Bank,Mr. Kingsley Aigbokhaevbo, said, "MoneyGram is a market leader in the money transfer market in Nigeria; the service can be accessed in over 3,500

locations around the federation.

"Ecobank is excited about the partnership as it gives the bank an additional window to service the money transfer needs of its customers.

He noted that it is a right-fit partnership between two quality brands that will deliver world class value to customers.”

According to Aku, Ecobank is better positioned to offer financial services to Africans wherever they might be, adding that the bank is determined to go into partnerships like this, to enable it achieve its cardinal goal of financially empowering the people.He stated further, “We are

present in more African countries than any other bank in the world and by implication reaching out to more Africans, no matter their location”.

“The partnership with MoneyGram, no doubt, will strengthen our resolve to serve the people better”.

The Vice President for Africa, MoneyGram, Mr. Herve Chormel, also noted that MoneyGram is very proud that this partnership is going live today.”

“Once more, we bring onboard a quality partner to our network in Nigeria, and continue with our mission to provide the best value in the funds remittance business to the Nigerian customers.

Vanguard, MONDAY, SEPTEMBER 17, 2012 — 25

Corporate Finance

How SEC intends to track down fraudsters outside Nigeria

By PETER EGWUATU n its determination to restore investors’ confidence and prevent further abuses by market operators, the Securities and Exchange Commission (SEC) has vowed to fish out capital market operators who duped investors and ran out of Nigeria to settle in other foreign countries.

Director General of the SEC, Ms. Arunma Oteh, who revealed this to Vanguard, recently, said, “We will not rest in our determination to restore investor confidence and protection. So, for those registered capital market operators who collected money from innocent investors with the intention of investing the money in the capital market and thereafter absconded to other countries, the Commission will try as much as possible to track down these fraudsters and bring them back to Nigeria for prosecution.”

On how the fraudsters would be tracked down, she said, “The Commission has been signing bilateral agreement/cooperation on securities dealings with member countries of the International Organization of Securities Commissions (IOSCO). Also, we intend to sign bilateral cooperation with security agents across the world. So, there will be no hiding place for any registered capital market operators who must have duped investors and ran away to other countries. We will get them through these security operatives once information about these people is sent to them.

“We will soon be having collaboration with the US Intelligence and Security Agencies as SEC Nigeria is a member of the IOSCO’s Africa/Middle-East Regional Committee. We would be collaborating with countries that are not even members of IOSCO to make sure we get rid of fraudsters in our market.”

It would be recalled that ISOCO was formed in 1983 as the international “standard setter” for securities markets.

While it is without actual authority over its national regulator members, IOSCO has enunciated basic principles that should form the basis for financial market regulation globally. Despite the fact that it is inherently a consensus-seeking

Fed launches new round of bond buying he US Federal Reserve has launched an unlimited new effort to drive the economic recovery forward by buying $40billion of agency mortgage-backed securities a month.

Crucially, the new round of quantitative easing – nicknamed QE3 – does not have a defined limit but will continue until the outlook for the labour market gets better.

The open-ended programme of QE marks one of the most significant shifts by the Fed since the 2008-09 financial crises. For the first time, the Fed has tied its policy to what happens in the economy.

“If the outlook for the labor market does not improve substantially, the Committee will continue its purchases of agency mortgage-backed securities, undertake additional asset purchases, and employ its other policy tools as appropriate until such improvement is achieved in a context of price stability,” said the statement by the ratesetting Federal Open Market Committee.

If unemployment stays high, then that will mean that asset purchases continue automatically, providing a prop to financial markets and the economy.

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BRIEFS

Director General of the SEC, Ms. Arunma Oteh organization, IOSCO is currently contemplating whether implementation of IOSCO principles should be a condition for membership.

IOSCO’s membership regulates more than 90 percent of the world’s securities markets.

On the local scene, the SEC recently collaborated with the

,

practices in the market, the SEC is not resting on its laurels as there are still illegal fund managers, wonder banks, and possible cases of market abuse.

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ccording to her, “It is our earnest hope that this synergy with the police will help to significantly reduce,

We would be collaborating with countries that are not even members of IOSCO to make sure we get rid of fraudsters in our market

Nigeria Police to strengthen its enforcement unit.

At the inauguration ceremony of the 18-man team seconded to the Commission, Oteh said, the deployment of policemen to the Commission will help speedy resolution of cases involving market abuses, fraudulent disposal of investors’ assets, illegal fund management, wonder banks, insider dealings, corporate accounting fraud and share manipulation by capital market operators.

She further declared that despite the great successes recorded by the Commission in tackling fraudulent

,

if not totally eradicate, these nefarious activities to the benefit of investors and the Nigerian capital market.”

She, however, commended Inspector General of Police, Mohammed .J Abubakar for releasing his best officers to complement SEC’s enforcement team.

In her words, “ The presence of the staff of the office of the honourable Attorney General along with your personnel will obviously speed up the process of investigation and prosecution of capital market related offences and thereby boosting investor confidence and

market discipline.”

Meanwhile, in his comment during the inauguration of the 18 man team seconded to the Commission, Abubakar warned criminals to stop such act or be prepared to face the wrath of the law.

He charged the policemen to be good ambassador of the police by ensuring that every culprit found wanting is dealt with in accordance with the Investment and Securities Act and regulation. The 18 man team is headed by Chief Superintendent of Police (CIP), Babakura Mohammed, eight inspectors and others in the rank and file.

The IGP, said, ‘ It is my solemn desire to make Nigeria safer for the growth and economic development of the nation. Life and property which include tangible and intangible assets must be protected.”

Continuing, he said, “ The inter agency collaboration is in the right direction as both Nigeria Police, Economic and Financial Crime Commission (EFCC) and SEC are committed to deliver their mandate of protecting life and property of the people.

There have been several discussions between myself and the DG of SEC on the issue of having a police desk in the commission, so the deployment of these men will help SEC to discharge their responsibilities.

Doubts grow over EADS and BAE tie-up overnments and shareholders have reacted with caution and skepticism to a plan by EADS and BAE Systems to create a $48bn European defence and aerospace group to rival Lockheed Martin and Boeing of the US. EADS shares closed down 10.2 per cent at •25.15 in Paris last week Thursday while shares in BAE, which had risen sharply following confirmation of the talks, fell 7.3 per cent to 337.1p in London.

One top 20 BAE shareholder said: “In theory, this tie-up makes sense as it will give Europe a company that can take on the might of Boeing. But big job losses could cause political problems and uncertainty that could hit share performance and the long-term worth of holding the company’s stock.”

EADS suffered a bruising defeat to Boeing last year when it lost out on an order to build 179 refueling aircraft for the US Air Force.

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26 —Vanguard, MONDAY, SEPTEMBER 17, 2012

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Vanguard, MONDAY, SEPTEMBER 17, 2012 — 27

Micro-Finance Stories by PROVIDENCE OBUH The cashless policy and the proposed currency restructuring are a reflection of the inconsistent policy actions of the Central Bank of Nigeria(CBN),said stakeholder in the financial sector.

The stakeholder, who chose not to be mentioned, told Financial Vanguard that the restructuring exercise was wrong as it would further enhance fraudulent activities, and as well cause more harm than good for the economy.

The stakeholder pointed out that the policies are conflicting given that Nigerians are yet to get acquainted with the cashless initiative and then the planned introduction of the super note.

According to the stakeholder, “the policy is not good for the economy, it is wrong, it is like giving something with the right hand and taking it back with the left hand, the CBN is taking something out of nothing.

“It is an inconsistent policy and it will further worsen inflation in the economy.”

Describing the action as fear on the part of the CBN Governor the stakeholder said, “The politicians are in support of it because it will give them room for fraud and the Governor has to dance to their tone because he is afraid.”

This initiative is criminal, it will increase robbery, N500,000 is just a packet, so when you go to the bank to withdraw such an amount, you can attract attention, the stakeholder pointed out.

Also speaking, a small business operator, Mr. Ayobami Oluwatoyin added that the policy will help reduce the bulk of money they carry around when

BRIEFS Chaplain, FRSC, task motorists on driving culture

BY PROVIDENCE OBUH

A cross section of the Yabatech students during an entrepreneurial programme organized for the student by Academy for Entrepreneurial Studies in Lagos

Introduction of N5,000 note is inconsistent with cashless policy – Stakeholder purchases are to be made, while stating on the contrary, “The problem I have with the CBN is that, when they know they are coming up with N5, 000 note , they shouldn’t have introduced the cashless policy.”

Oluwatoyin who said the coins should not be mentioned in the CBN’s plan said that customers are never willing to collect coins in transactions because of the weight.

He gave an instance saying, “If you want to buy fuel from the fuel station and let say you have coins as change, those petrol sellers will say they don’t have change, and if you have coins to pay for transaction they will reject it, is not only the fuel stations, this is just an example.

The aggrieved trader lamented that the CBN plan revealed that the policy was not for the generality of

Nigerians, saying, “How can they say some people would be using the note, are those people more superior than the other Nigerians, in fact that was what they told us when they introduced the N1, 000 note.

“I want them to devalue the naira like Ghana, so that every thing can go back to normal, Ghana money still have value they devalued and in Ghana today one dollar exchange for one cedi,” he said.

Price of beans soars, food vendors deny sales

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he inordinate rise in the price of beans, a major source of protein in Nigeria, has called for concern as food vendors now withdraw from sales of the food to avert loss.

For decades, Beans have been a mainstay for body building, excellent source of minerals and vitamins, high in fiber and as well has good cancer fighting characteristics and have been specifically linked to lower the risk of colon cancer.

A small business operator, Mr. James Obioma, said that the cause of the rise in price has not been ascertained as some ascribe it to the northern crisis while others

he Chaplain Fellowship of Nigeria in collaboration with the Federal Road Safety Commission (FRSC) and the Nigerian Customs Service have entered into a strategic partnership, urging Motorists, Cyclists, and other road users to imbibe good driving culture in order to avoid the rising auto crash on the road.

Speaking during a one day fasting and prayer programme organized by the fellowship to pray against the sequence of road accident witnessed on the Badagry, Seme motor ways, Chaplain to the Security Agents, Pastor Edward said that distress and anguish are the result of carelessness and recklessness derived from impatience drivers, leading to their families pain and misery.

He said, “ reckless driver have sent innocent passengers and their families to their early grave. I admonish all the leaders of various unions to always checkmate their subject to ensure safety in our road.”

He appealed to those in authority to see to the rehabilitation of the road from Seme to Mile-2, to reduce the suffering of the road users.

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says it is as a result of the drop in the production of the plant.

One 'Derica' cup of brown beans which sells for N220.00 before, now sells for N270.00

while the white beans now sells for N250.00 instead of N200.00.

Obioma told vanguard that a bag of beans formerly purchased at N28, 000 now

sell at N42, 000, the popular 'Oloyin' beans moved up to N300.00 per Derica, against the N250.00 per 'Derica' few months back.

90% small-business owners leverage on social media —Survey rowsing the Facebook for hours is no longer for personal pleasure, as survey revealed that about 90 per cent of small businesses are now dedicating time to networking online.

Meanwhile, LinkedIn released a new data that shows

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small-business professionals around the globe use the social networking site for hiring, networking and even potential funding.

The top five countries with the most small-business professionals on LinkedIn are: the United State, United

Kingdom, India and the Netherlands and Canada.

LinkedIn’s connection Director Mr. Nicole Williams said that Entrepreneurs use LinkedIn to conduct research, hold mini conferences, promote their companies and find mentors.

“

Our security agents are obliged to magnify their offices to ensure safety of life and property, though there is room for improvement with devised strategies, every stakeholder therefore must be willing to make contribution.

“The accident happening on this axis has been on the higher side but from now, I believe God that there will be a reduction.”

He explained that the way forward is for road users to be patient, saying that the road users must also have God in their heart. “They must understand, especially the truck drivers that bigger truck drivers must respect the smaller road users.

“The FRSC are trying, stakeholders should contribute their quotas, they cannot be able to cover from here to Lagos, patient must be involved and they must have love for one another and consider one another,” he said.

1.34

1.19 5.52 0.76 5.81 36.07

28.55 6.94

Livestock/Animal Specialities Livestock Feeds Plc

CONGLOMERATES Diversified Industries A.G. Levents Nigeria Plc SCOA Nigeria Plc Transnational Corporation Chellarams Plc UACN Plc

CONSTRUCTION/REAL ESTATE Non-Building/Heavy Construction Julius Berger Nig Plc Roads Nigeria Plc

40.00

6.51 4.49 61.89 2.00 4.98 0.60

22.00 550.00

10.03 36.19 3.10 2.88

23.90 37.43

8.47 0.64 0.57 2.98 10.99 1.55 0.50 14.31 3.03 19.24 1.07 0.70 1.15 2.94 0.88 7.00 1.12 4.65 6.48 0.50 0.50 15.48

0.50 0.58 0.50 0.50 0.50 1.17 0.50 0.51 0.50 1.55 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50

0.50 0.50

0.50 2.02 0.52

Beverages-Non-Alcoholic 7-UP Bottling Company Plc

Food Products Dangote Flour Mills Plc Dangote Sugar Refinery Plc Flour Mills Nigeria Plc Honeywell Flour Mill Plc National Salt Co. Nig Plc UTC Nigeria Plc

Food Products-- Diversified Cadbury Nigeria Plc Nestle Nigeria Plc

Household Durables Beta Glass Co Plc Nigerian Enamelware Plc Vitafoam Nig. Plc Vono Products Plc

Personal/Household Products PZ Cussons Nigeria Plc Unilever Nigeria Plc

FINANCIAL SERVICES Banking Access Bank Plc Afribank Nigeria Plc Bank PHB Plc Diamond Bank Nigeria Plc Ecobank TRANSNATIONAL INCORPORATION Fidelity Bank Plc FinBank Plc First Bank of Nig. Plc First City Monument Bank Plc Guaranty Trust Bank Plc NPF Micro-Finance Bank Plc Intercontinental Bank Plc Oceanic Bank International Plc Skye Bank Plc Spring Bank Plc Stanbic IBTC Bank Plc Sterling Bank Plc UBA Plc Union Bank Nig. Plc Unity Bank Plc Wema Bank Plc Zenith Bank Plc

Insurance Carriers, Brokers and Sector AIICO Insurance Plc Continental Reinsurance Plc African Alliance Insurance Cornerstone Insurance Company Consolidated Hallmark Insurance Custodian and Allied Insurance Plc Equity Assurance Plc Goldlink Insurance Plc Great (Nig) Insurance Plc Guaranty Trust Assurance Plc Guinea Insurance Plc Intercontinental Wapic Insurance Plc International Energy Insurance Plc Investment and Allied Assurance LASACO Assurance Plc Law Union & Rock Insurance Plc Linkage Assurance Plc Mutual Benefits Assurance Plc NEM Insurance Co. (Nig) Ltd Niger Insurance Co. Plc OASIS Insurance Plc. Prestige Assurance Co. Plc Regency Alliance Insurance Sovereign Trust Insurance Staco Insurance Plc Standard Alliance Insurance UNIC Insurance Plc Universal Insurance Plc

Mortgage Carrier, Broker and Sector Aso Savings and Loans Plc Resort Savings & Loans Plc

Other Financial Institutions Crusader (Nigeria) Plc Deap Capital Management & Trust Plc Royal Exchange Assurance

7.39

3.29 252.00 10.68 127.50 0.89

Beverages-Brewers/Distillers Champion Breweries Plc Guinness Nigeria Plc International Breweries Plc Nigerian Brew Plc Premier Breweries Plc

HEALTHCARE Medical Supplies Morison Industries Plc Healthcare Providers

0.50

100.00

Real Estate Investment Trusts Skye Shelter Funds CONSUMER GOODS Automobile/Auto Parts DN Tyres & Rubber Plc

10.00

0.50 35.00 14.89

1st fTier Securities AGRICULTURE Crop Production FTN Cocoa Processors Plc Okomu Oil Palm Plc Presco Plc

Real Estate Development UACN Property Development

0.50

Oil and Gas and Products Petroleum Products Capital Oil Plc

Company

Opening Price (N)

Capital Market

6.04

0.50 2.02 0.60

0.50 0.50

0.50 0.61 0.50 0.50 0.50 1.17 0.50 0.50 0.50 1.60 0.50 0.61 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.52 0.50 0.50 0.50 0.50 0.50

9.25 0.64 0.55 3.27 11.40 1.79 0.50 14.50 2.90 19.20 1.07 0.70 1.15 3.04 0.88 6.96 1.37 4.67 7.18 0.50 0.50 16.32

24.74 37.50

10.03 36.19 3.00 2.88

21.44 577.50

6.90 4.80 63.20 1.85 5.30 0.57

39.00

3.28 260.00 13.60 137.50 0.93

0.50

100.00

10.50

28.01 9.74

1.35 5.52 0.89 5.81 39.03

1.48

0.50 35.00 15.06

0.50

Closing Price (N)

32,196

60,000 84,748 247,575

2,000 2,000

4,969,851 20,307,578 1,000 100,000 2,500 1,509,200 461,050 172,450 2,000,000 1,698,475 7,100 1,248,465 2,749 1,670,890 208,333 1,551,606 20,050 30,000 228,700 41,670 2,000 230,300 200 1,500 10,100 500 2,000 550,312

26,996,548 646,608 13,287,533 31,107,986 1,395,732 52,116,884 1,000 31,288,044 9,301,836 32,090,013 56,000 73,200 91,000 23,246,571 1,006,032 442,168 36,627,264 24,924,442 3,210,112 50,000 2,155 27,598,304

322,306 286,487

225 60 552,200 11,923

1,188,185 67,352

3,601,872 16,547,637 271,687 544,452 737,768 529,884

2,425

10,000 39,611 1,433,477 1,497,497 500,000

170,882

23

630,312

369,700 50,000

627,253 700 1,430,100 100 464,949

1,215,813

909 99,780 618,239

5,000

Quantity Traded

10.54

0.61 2.02 0.66

0.50 0.50

1.06 1.20 0.50 0.50 0.50 3.51 0.50 0.69 0.50 0.95 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.90 0.50 2.50 0.50 0.50 0.50 0.50 0.50 0.50

11.10 3.39 2.30 9.27 4.30 3.20 9.50 16.12 8.30 20.50 1.78 1.78 13.50 10.17 2.18 11.38 2.91 11.70 5.38 1.92 1.75 16.70

43.50 31.25

15.58 42.66 6.75 3.67

29.20 470.00

19.90 16.20 95.00 6.60 6.70 0.88

51.49

9.52

0.50 2.02 0.50

0.50 0.50

0.50 0.85 0.50 0.50 0.50 2.00 0.50 0.50 0.50 0.95 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 0.50 1.90 0.50 0.50 0.50 0.50 0.50 0.50

4.26 0.64 0.53 2.05 1.65 1.20 0.00 7.95 3.60 11.64 0.00 0.87 0.00 3.90 0.73 6.30 0.95 2.17 1.96 0.50 0.52 11.45

27.00 22.56

12.71 36.19 4.78 2.66

10.17 367.83

4.31 4.02 57.00 2.31 3.80 0.50

,39.00

2.23 186.00 5.23 72.50 0.93

4.63

0.50

97.00

11.59

32.96 3.01

1.45 5.52 0.50 6.43 28.70

0.48

0.50 14.53 6.40

Year Low

255.00 7.10 100.00 1.01

0.50

100.00

20.15

62.26 8.28

2.54 8.28 1.82 7.60 42.50

0.66

0.64 24.58 8.30

Year High

0.00

0.00 0.00 0.03

0.00 0.00

0.09 0.10 0.00 0.00 0.06 0.43 0.00 0.00 0.00 0.08 0.00 0.00 0.00 0.02 0.06 0.10 0.00 0.10 0.36 0.01 0.01 0.14 0.03 0.07 0.00 0.00 0.00 0.00

0.80 0.00 0.00 0.00 0.28 0.22 0.00 1.34 0.69 1.61 0.00 0.18 0.00 0.85 0.50 0.54 0.22 0.13 7.59 0.11 1.34 1.57

1.29 1.32

3.90 1.61 0.70 0.00

0.28 15.94

0.54 0.71 4.50 0.26 0.73 0.06

3.70

12.12 0.35 4.50 0.00

0.00

0.00

11.75

1.66

3.26 3.66

0.28 0.35 0.22 0.31 7.03

0.04

0.01 7.94 1.80

E.P.S.

0.00

0.00 0.00 16.67

0.00 0.00

5.56 10.20 0.00 0.00 8.33 4.88 0.00 0.00 0.00 17.25 0.00 0.00 0.00 25.00 8.33 5.00 0.00 5.00 1.39 50.00 50.00 6.43 16.67 7.14 0.00 0.00 0.00 0.00

5.83 0.00 0.00 0.00 25.91 6.68 0.00 6.96 6.20 8.74 0.00 5.44 0.00 5.07 5.44 14.81 4.68 19.23 0.28 4.82 0.43 7.83

20.93 20.46

3.26 22.48 7.34 0.00

37.57 27.96

16.91 14.38 16.89 16.92 5.75 8.83

13.92

19.98 16.29 22.22 0.00

0.00

0.00

8.51

7.33

10.11 2.26

5.18 15.77 3.64 20.74 4.14

15.00

50.00 2.77 4.37

P.E. Ratio

10.55 0.50

Non-Metalic Mineral Mining Multiverse Plc

0.50

4.90 1.74 6.00

0.50

Road Transportation Associated Bus Company Plc

Transport-Related Services Airline Services and Logistics Plc Nigerian Aviation Handling Company

1.64 2.12 4.20 4.54

Speciality Interlinked Technologies Plc

0.50 Printing & Publishing.

Academy Press Plc Learn Africa Plc Longman Nigeria Plc University Press

6.50 1.15

0.50

2.58

1.97 1.91

Media/Entertainment Daar Communications Plc

Hotels/Lodging Capital Hotel Ikeja Hotel Plc

Courier/Freight/Delivery Red Star Express Plc Employment Solutions C & I LEASING PLC

Automobile/Auto Part Retailers Incar Nig. Plc RT Briscoe Plc

Afromedia Plc

SERVICES

0.50

20.50 0.50 19.75 2.36 11.40 114.50 32.29 128.01

Petroleum and Petroleum Products African Petroleum Plc Beco Petroleum Plc Conoil Eterna Oil and Gas Plc Forte Oil Nig Plc Mobil Oil Nigeria Plc MRS Oil Nigeria Plc Total Nigeria Plc Hospitality Tantalisers Plc

0.60 14.10

Intergrated Oil and Gas Services Oando Plc

3.98 12.71 13.28 4.30 1.05 2.92 0.66

INDUSTRIAL GOODS Packaging/Containers Abplast Products Plc Beta Glass Co. Plc Greif Nigeria Plc Nampak Nigeria Plc Poly Products (Nig) Plc Studio Press (Nig) Plc W.A. Glass Ind. Plc OIL AND GAS Energy Equipment and Services Japaul Oil & Maritime Service

1.44 0.50

1.58 0.50

Electronic and Electrical Products Cutix Plc Nigerian Wire & Cable Plc Mortgage Carriers, Brokers and Se Abbey Building Society Plc Union Homes Savings and Loans

0.50

Processing Sysetms Chams Nigeria Plc

1.38

5.98

Metals Aluminium Extrusion Ind Plc

Paper/Forest Products Thomas Wyatt Nig. Plc

8.26

NATURAL RESOURCES Chemicals BOC Gases Plc

2.42 1.53

11.75 7.63 29.15 4.75 116.98 0.50 0.74 45.55 3.31 1.90 10.93

Tools and Machinery Nigerian Ropes Plc

Packaging/Containers Avon Crowncaps & Container Nigerian Bags Manufacturing Company

INDUSTRIAL GOODS Building Materials Ashaka Cement Plc Berger Paints Plc CAP Plc Cement Co. of Northern Nig. Plc Dangote Cement Plc First Aluminium Nigeria Plc DN Meyer Plc Lafarge WAPCO Plc Portland Paints & Products Nig Plc Paints & Coatings Manufacturers Premier Paints Plc

0.50

0.50

Computers and Peripherals Omatek Ventures Plc 13.12 2.41

0.50

ICT Computer Based Systems108 Courteville Investment Plc

ICT Telecommunications Starcomms Plc

5.05 1.05 0.89 32.20 1.66 0.85 8.59 3.17

Pharmaceuticals Ekocorp Plc Evans Medical Plc Fidson Healthcare Plc Glaxo Smithkline Consumer Nig May & Baker Nigeria Plc Neimeth International Pharm Nigeria-German Chemicals Plc Pharma-Deko Plc

IT Services NCR (Nig) Plc Tripple Gee and Company Plc

0.50

Union Diagnostics & Clinicals Services

Opening Price N

2.08 6.00

4.90

0.50

1.64 2.11 4.20 4.36

0.50

6.60 1.14

0.50

2.66

1.97 1.86

0.50

0.50

20.50 0.50 20.68 2.32 10.66 115.00 32.29 130.00

13.41

0.60

3.98 12.71 13.28 4.30 1.05 2.78 0.66

1.44 0.50

1.38 0.58

0.50

1.38

0.50

10.55

5.98

7.85

2.19 1.89

12.70 8.01 29.15 4.65 115.00 0.50 0.74 50.00 3.18 1.81 10.93

0.50

13.77 2.41

0.50

0.50

5.05 1.01 1.05 35.20 1.65 0.78 8.85 3.02

0.50

Closing Price N

51,157 963,624

20

359,8775

7,200 101,959 4,322 100,000

5,000

800 379,310

70,000

504,500

240 333,498

450

50

82,191 200 167,973 385,100 201,294 78,232 470 31,269

2,262,675

6,005,105

6,888 1,000 100 29,198 200 84,311 2,749,340

2,000 1,000

69,600 15,000

10,000

1,000

5,000

1,167

100

10,000

250 9,687,612

2,827,340 17,042 21,537 776,381 40,132 10,374 49,039 296,143 790,300 15,000 1,000

2,307,692

29,142 100

500

30,000

2,000 121,387 1,220,718 350,912 1,276,059 669,862 1,927 1,000

100

Quantity Traded

Stock Market Report

2.78 11.75

5.15

0.80

8.00 6.82

3.68

0.50

400 2.07

1.64

3.67

4.33 3.65

0.72

50,000

1.57 6.50

4.90

0.50

4.60 3.60

3.17

0.48

3.00 1.33

0.90

2.65

1.97 1.30

0.51

141.00 63.86 195.50

163.50 2,100 240.00

27.99 0.50 0.50 5.71 3.89

1.87

3.98 12.71 13.97 3.60 1.05 2.92 0.63

1.33 0.50

1.62 2.58

0.50

1.38

0.50

10.70

6.80

8.26

5.94 1.47

12.00 8.10 15.16 4.16 95.00 0.50 1.02 36.58 5.11 0.51 10.93

0.50

3.25 3.25

0.50

0.50

5.31 0.70 0.83 2.58 3.61 0.95 0.95 4.28

0.50

Year Low

37.10 0.70 32.60 5.59

78.97

0.97

3.98 15.58 15.03 4.30 1.86 2.92 0.63

1.51 0.99

2.50 2.58

0.50

1.38

0.50

12.39

9.20

8.69

6.91 3.60

30.00 12.57 43.98 15.49 132.51 0.75 3.51 48.05 5.28 3.36 13.40

1.47

9.31 3.59

0.50

0.52

5.31 1.45 3.20 23.11 5.61 1.96 12.91 200

0.50

Year High

0.87

0.51 0.80

0.00

0.00

0.00 0.13

0.26

0.00

0.22 0.69

0.08

0.54

0.00 0.16

0.04

13.32 3.32 11.91

4.93 0.00 6.02 0.67

6.95

0.16

0.00 3.90 0.00 1.22 0.17 0.07 0.00

0.05 0.00

0.13 0.00

0.00

0.00

0.00

0.13

0.93

0.00

0.15 0.19

1.59 1.71 1.76 1.80 8.01 0.00 0.00 1.05 0.36 0.18 0.00

0.00

6.49 0.00

0.04

0.05

0.06 0.00 0.27 8.88 0.21 0.08 0.00 0.00

0.00

E.P.S

4.22 8.75

0.00

0.00

0.00 27.69

12.19

0.00

34.09 2.12

11.25

4.91

0.00 8.19

12.75

11.11 19.23 17.07

6.99

7.40 0.00

4.17

6.06

0.00 3.26 0.00 3.52 6.18 41.71 0.00

28.80 0.00

13.15 0.00

0.00

0.00

0.00

85.77

7.37

0.00

39.60 9.16

7.86 4.97 8.88 2.31 13.17 0.00 0.00 42.86 14.19 2.89 0.00

0.00

1.43 0.00

12.50

10.00

9.05 14.13 0.00 0.00

88.50 0.00 3.07

0.00

P.E Ratio

as at Friday, September 14, 2012

28 — Vanguard, MONDAY, SEPTEMBER 17, 2012