Author: Chike Ozohili

  • Steer clear of NDIC day-to-day management, Finance Minister tells board

    Steer clear of NDIC day-to-day management, Finance Minister tells board

    The Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed has cautioned the board of the Nigeria Deposit Insurance Corporation (NDIC) to steer clear of the day-to-day management issues of the Corporation. 

    The minister, who gave the advice at the official inauguration of the board of the NDIC on Thursday in Abuja, urged the board to focus on its role of giving direction, policy formulation, strategic planning as well as oversight.

    This, she said, will ensure that the Corporation delivers on its mandate.    

    She said: “Let me just add, what the role of the board is not; the role of the board is not day to day management of the corporation. That is the role of the management.

    “So, Mr. Chairman, it is your responsibility to make sure that that delineation is clear that there is no mix in the roles and there is no conflict arising there.”

    Mrs. Ahmed urged them to see themselves as having a key role to play at a crucial time in the nations’ financial system.

    “You are assuming duty at a time when the Nigerian Financial System is still facing some challenges and requires efforts aimed at addressing issues such as corporate governance, high level of non-performing loans and slide in revenue generation. The potential benefits and risks associated with the Financial Technology (Fintech) and block chain technology are also on the front burner. 

    “These and other challenges can cause threats to the stability of our financial system and must be addressed promptly for the sector to play its role in facilitating the implementation of the National Development Plan 2021 to 2025.

    “Therefore, I have no doubt in my mind that with the caliber of personalities appointed on the Board, these challenges would be addressed head-long. 

    “I therefore charge you to design policies and programmes with the Management team to enable the Corporation deliver on its mandate,” she said.

    In his response, the chairman of the NDIC board, Abdulhakeem Mobolaji Abdullateef assured the minister that the board will stick to its mandate and its assigned role.

    According to him, the board will stay in its lane.   

    “We will try our best to work very closely with the management that is performing. One of the most disturbing thing is when people don’t know their role and they want to over reach, and because we have so much to do that we do not need to do anybody’s job.

    Ends  
  • Makinde dissolves Task Force on waste management

    Makinde dissolves Task Force on waste management

    Governor Seyi Makinde of Oyo State, on Thursday ordered the immediate dissolution of the state Task Force on Waste Management.

    The Chairman, Transition and Inauguration Committee, Mr Segun Ogunwuyi, made this known in a statement in Ibadan.

    According to Ogunwunyi, the directive takes effect from May 25, 2023.

    Ogunwuyi: “I have the directive of the Executive Governor of Oyo State, His Excellency, Gov. Seyi Makinde, to inform you of the dissolution of the Oyo State Waste Management Task Force with effect from today, May 25, 2023.

    “The Task Force is by this directive required to officially hand over and submit all government properties to the Transition and Inauguration Committee.”

    He said that the governor appreciated the task force for their tremendous contributions to the development of the state, wishing them successes in their future endeavours.

  • Group tasks Tinubu on fuel subsidy removal

    Group tasks Tinubu on fuel subsidy removal

    The Centre for Transparency Advocacy (CTA) has urged the President-elect, Sen. Bola Tinubu, to ensure the immediate removal of fuel subsidy, once he assumes office on May 29.
    The Executive Director CTA, Ms Faith Nwadishi said this in Abuja on Thursday.

    According to her, subsidy would have to give way if the country’s economy is to grow, but it should be done gradually.


    “Whether we like it or not, the subsidy has to go for us to grow in this country.
    “I support the removal of subsidy but not to remove it immediately. I thought subsidy was the only way that we can benefit from the Commonwealth.
    “We are not benefiting. We have four refineries in this country that are supposed to produce 445, 000 barrels per day. Now when you refine 445, 000 barrels you get over 70 million litres of petrol.
    “So if we refine our own 445, 000 barrel, we will have excess and be looking for where to take the rest to,” Nwadishi said.
    She urged the incoming administration to place a high priority on the repositioning of the extractive industry as well as addressing Nigeria’s high unemployment rate and the country’s indebtedness.
    “Extractives should be a priority because the extractive sector is our golden goose that lays the golden egg.
    “We must ensure that we make it a priority. We must look at building our economy so that we can address the issue of the debts we have.
    “I know that as a government coming in with this kind of financial situation and crisis we find ourselves, there is no way the government will not borrow.
    “But in borrowing, we need to find ways to block the loopholes such as subsidy,” Nwadishi said.
    The executive director urged Tinubu to develop the solid mineral sector and block all the loopholes in the sector, especially the activities of illegal miners.

    “Tinubu should give a better blueprint with the relationship with China and India in the part they play with extracting our solid minerals without anything coming back to Nigeria.

    “We need to also look at community participation in all of these.

    “The Petroleum Industry Act (PIA) is also there. We need to ensure that the PIA is working and very well.

    “We have to also look at the issue of security and see how we can gain the trust of Nigerians.

    “The level of insecurity has skyrocketed. We need to look at that very closely.

    “We have to look at our economy and begin to reverse the inflation rate to go back to a single digit. We need to also look at the issue of multi-dimensional poverty in the country,” she said.

  • Nigeria’s GDP growth slows by 2.31% in Q1 2023- NBS

    Nigeria’s GDP growth slows by 2.31% in Q1 2023- NBS

    Nigeria’s Gross Domestic Product (GDP) growth slowed by 2.31 percent in the first quarter of 2023 on a year-on-year basis, the National Bureau of Statistics (NBS) has said.

    In the Nigerian Gross Domestic Product Report Q1 2023 released in Abuja on Thursday, the NBS said the growth represented a decline from 3.52 percent in the preceding quarter and 3.11 percent recorded in the first quarter of 2022.

    The reduction in GDP performance is attributed to the adverse effects of the cash crunch experienced during the quarter, it noted.

    Growth was largely driven by the services sector, which recorded a growth of 4.35 percent and contributed 57.29 percent to the aggregate GDP.

    The agriculture sector grew by -0.90 percent, lower than the growth of 3.16 percent recorded in the first quarter of 2022.

    According to the NBS, although the growth of the industry sector improved to 0.31 percent relative to – 6.81 percent recorded in the first quarter of 2022, agriculture, and the industry sectors contributed less to the aggregate GDP in the quarter under review compared to the first quarter of 2022.

    “The agriculture sector grew by -0.90 percent, lower than the growth of 3.16 percent recorded in the first quarter of 2022.

    “Although the growth of the industry sector improved to 0.31 percent relative to – 6.81 percent recorded in the first quarter of 2022, agriculture and the industry sectors contributed less to the aggregate GDP in the quarter under review compared to the first quarter of 2022,” a part of the release said.

    The NBS disclosed that the real growth of the oil sector was –4.21 percent on a year-on-year basis in Q1 2023, indicating an increase of 21.83 percent relative to the rate recorded in the corresponding quarter of 2022 at -26.04 percent.

    It said growth increased by 9.18 percent when compared to Q4 2022, which was –13.38 percent, and on a quarter-on-quarter basis, the oil sector recorded a growth rate of 20.68 percent in Q1 2023.

    The sector, according to the stats office, contributed 6.21 per cent to the total real GDP in Q1 2023, down from the figure recorded in the corresponding period of 2022 and up from the preceding quarter, where it contributed 6.63 percent and 4.34 percent, respectively.

    As for the non-oil sector, it grew by 2.77 percent in real terms during the reference quarter, lower by 3.30 percent points compared to the rate recorded in the same quarter of 2022 and 1.67 percent points lower than the fourth quarter of 2022.

    This sector was driven in the first quarter of 2023 mainly by Information and Communication (Telecommunication); Financial and Insurance (Financial Institutions); Trade; Manufacturing (Food, Beverage & Tobacco); Construction; and Transportation & Storage (Road Transport), accounting for positive GDP growth.

    In real terms, the report showed that the non-oil sector contributed 93.79 percent to the nation’s GDP in the first quarter of 2023, higher than the share recorded in the first quarter of 2022, which was 93.37 percent and lower than the fourth quarter of 2022 recorded as 95.66 percent. 

  • Efficient legal system will boost economy- CBN

    Efficient legal system will boost economy- CBN

    *Says it will attract foreign investments

    The Central Bank of Nigeria (CBN) Governor, Mr. Godwin Emefiele has said that an efficient national judicial system will strengthen the confidence in the economy and attract foreign investments.

    Emefiele said this on Wednesday in Abuja at the 2023 Capacity Building Workshop on Banking and Financial Services Sector for Judicial Workers organised by the CBN, in collaboration with the National Judicial Institute (NJI).

    Discussing the theme: “The Law and Modern Banking: Adapting to Issues Regarding Digital Products and Services; Regulation of Payment Services Banks and Other Emerging Digital Payment Services”, Emefiele said investors are more willing to invest in jurisdictions where the rule of law takes prominence in shaping business and investment decisions.

    He said that the judiciary helps to ensure that all parties adhere to legal ethical standards, while individuals and businesses can also seek relief through the law courts on violations of agreements.

    “They can also be sure that disputes will be treated swiftly and fairly in accordance with the prevailing laws.

    “The presence of a fair and just legal system will help in attracting much-needed foreign investments.

    “Such investments will help in updating our distinguished legal community on emerging trends in the financial services industry,” he said.

    According to him, this is with a view to enhancing their knowledge on how to build legal frameworks that will contribute to the growth of the financial services industry.

    He added that it would also help them deal with some emerging risks associated with such innovations.

    “The judiciary, invariably, contributes to the effectiveness of monetary policy, financial system stability, economic growth and development through their interpretation of statutes and sometimes, giving effect to acts of governments and its agencies,”he said.

    Also speaking, the Chief Justice of Nigeria, Justice Olukayode Ariwoola said that the workshop was designed to explore strategies that will aid the legal system in adapting to rapid and significant changes in the banking sector.

    According to Ariwoola, these transformations, when fully harnessed and managed. will further strengthen our financial system in terms of providing new opportunities and thereby bringing stability and growth to the financial sector.

    “The theme of this workshop, no doubt carries tremendous significance in our contemporary society.

    “We are currently witnessing a time of rapid technological advancements, particularly within the financial sector, where conventional practices are swiftly being displaced by digital products and services that offer unparalleled convenience and efficiency.

    “In light of recent developments, I am of the view that it is expedient to have a comprehensive understanding of the regulatory framework put in place by the CBN.

    “We should juxtapose it with other relevant laws and regulations establishing the legal frameworks governing digital products and services,” he said.

    He cited the Cybercrime Act 2015; the Nigeria Data Protection Regulation (NDPR), and the BOFIA Act, 2007 as notablee examples of such regulations.

    ” These frameworks provide comprehensive directives concerning crucial aspects such as data protection, cyber security, and consumer protection in the context of digital activities.

    “They delineate the specific criteria and responsibilities that digital service providers must adhere to” Ariwoola said.

    The Administrator of the NJI, Justice Salisu Abdullahi, said that the workshop was aimed at equipping judicial officers with the indispensable knowledge and skills required to navigate the intricate landscape of modern banking.

    According to Abdullahi, this aligns perfectly with the mandate of the NJI in an era where technology is driving unprecedented transformation in the financial sector.

    “It is of utmost importance that the judiciary remains up-to-date with the latest developments and trends to carry out its duties effectively,” he said.

  • Is Nigeria a Failed State?

    Is Nigeria a Failed State?

    The apparent answer is, ‘No, Nigeria is not a failed state.’ But that response doesn’t capture the full nuances and complexities that the question requires. So, what is a failed state? Development scholars have no unanimity on a single definition of the term or when a nation should be considered failed. 

    However, a broad definition of a failed state should show a country without a functioning government, where its institutions, due to social, political, or economic pressure, are broken, dysfunctional, and exist largely in name only.

    Common features of a failed state include the inability to effectively enforce law and order, tax citizens, loss of control over a large territory, widespread violence and insecurity, economic decline and widespread poverty, displacement and humanitarian crises, lack of basic services, weak or ineffective governance, and limited international recognition. 

    Because this definition and its intrinsic features are so broad, many developing countries would apparently fit into the category of a failed state since they face one or a combination of these challenges. But being poor and underdeveloped should not automatically mean a country has ‘failed.’

    Many developing countries, especially in Africa, struggle with the provision of basic services such as power and water; experience economic decline and widespread poverty, in addition to extensive violence and insecurity. Yet, these countries have functioning (but weak) national governments and somewhat strong institutions such as the police and the army. The government’s sovereignty also extends across the whole country and is recognized globally as the legitimate authority in the land. 

    There are, however, classic examples of failed states where there is little debate about the accuracy of the term. A good example is Haiti, the poorest country in the northern hemisphere, where, according to the World Bank, around 60 percent of its 12 million population live in poverty.

    But poverty is not the reason why Haiti is easily categorized as a failed state. It is because of the failure of its government and the shrinking space it controls, in comparison to non-state actors such as gangs which increasingly control large portions of the land and are the de-facto authority there.  

    The UN estimates that 60 percent of Port-au-Prince, Haiti’s capital, is controlled by armed gangs, and over 150,000 people have been displaced by violence.  Homicide, rape, armed robbery, kidnapping, and lynching are prevalent in the country. With the national police powerless to stem the tide, the people increasingly resort to self-help and vigilante justice which further fuel the cycle of violence. 

    Although, Haiti has always been a weak state, its slide into anarchy began in 2021 with the assassination of its former president Jovenel Moïse by foreign mercenaries, mostly Colombians and a few Haitian Americans. Since that time, it has not conducted any elections to replace the assassinated president or the lawmakers whose tenure has now expired. The current de facto ruler Ariel Henry was an appointee of the late president and so technically Haiti doesn’t have a legitimate government put in place by the people.

    Yemen, Libya, and Somalia are the other countries easily regarded as failed states. These countries are at war, with the central government lacking real authority outside the capital or a few sub-regional areas. State institutions such as the police and the army are nonexistent or weak where they exist, sharing authority with non-state actors such as gangs or rebel groups. Consequently, public services have collapsed, and there is weak or ineffective governance and an inability to enforce law and order.

    Based on these extreme cases, Nigeria is not a failed state.  We have a central government that is universally recognized as the sovereign authority, as well as sub-regional governments with well-defined roles and responsibilities. Our state institutions such as the judiciary, the police, and the army are strong and have authority across the country. 

    Though weak, there is an effort to provide essential public services such as education, electricity, water, and roads, across the country by the federal and state governments. We also have functional and large civil services and a strong sense of a national boundary. 

    But these positives do not tell the whole story.  Nigeria is also a bitterly divided country, facing serious sectarian crises and agitations for the dissolution of the federation. In the North East, especially in Borno State, a large portion of the area is under the control of Islamist groups Boko Haram and its offshoots, ISWAP. These groups seek an Islamist theocracy in Borno and other adjacent states. They do not recognize the authority of the federal and state governments and impose a harsh interpretation of the Sharia in the areas under their control. 

    In the southeast, the ESN, the armed wing of the separatist group IPOB, wages a low insurgency battle against the Nigerian state, through kidnapping, armed robbery, and terrorism. The ESN/IPOB is so effective that it successfully imposes a dawn-to-dusk curfew on the five states of the region on Mondays. Unlike Boko Haram and ISWAP, it does not hold any territory but is fearsome and seeks the dissolution of Nigeria, with the southeast becoming an independent Biafra Republic.

    In the northwest, banditry is rife, especially in Zamfara, Katsina, and Sokoto states. Many areas in those places are in the firm grips of notorious bandits who are the de-facto law and order.  There are even reports of crime kingpins collecting taxes and imposing laws regarding movement, trade, and other activities.

    In the North-Central, there is an appalling level of insecurity with the herder/farmer conflicts claiming thousands of lives. Southern Kaduna, Benue, and Plateau appear to have become killing fields with people being slaughtered daily. This week alone, over 130 people were killed in Mangu and Riyom local governments in Plateau State, and many houses were destroyed. Such killings have become all too common and rarely make the front pages of the newspaper. 

    So while Nigeria may not be officially regarded as a failed state, it is evidently not an example of a stable and mature democracy either. It, in fact, exhibits many features of a fragile state, including economic decline and widespread poverty, extensive violence and insecurity, and notably, the loss of some territory to non-state actors. But these symptoms have not coalesced nor developed into a full-blown disease yet and have therefore not overwhelmed the government. 

    While that may be a cause to cheer, we should be wary because failed states don’t suddenly happen. It often begins with the gradual erosion of national sovereignty and the weakening of state institutions through corruption, nepotism, and politics, a situation Nigerians are currently very familiar with.

    In conclusion, while Nigeria may not be a failed state, it is definitely a frail one.

  • Africa needs $2.7trn to tackle climate change – Adesina

    Africa needs $2.7trn to tackle climate change – Adesina

    African Development Bank (AfDB) Group President, Dr. Akinwumi Adesina said that Africa will need $2.7 trillion by 2030 to finance its climate change needs.

    Adesina, who spoke at the 2023 AfDB Annual Meetings in Sharm El Sheikh, Egypt on Monday, also called out developed nations for not honouring their $100 billion-a-year climate finance pledge they made to developing countries.

    “If Africa had that money, the Sahel would have electricity. If Africa had that money, we would recharge the Chad basin, which has provided livelihoods for millions of people in Chad, Nigeria, Niger and Cameroon. Everything will change in all those countries; we will green the Sahel. We will ensure every single African country against catastrophic weather events.

    “Africa’s measured natural capital alone is estimated to be worth $6.2 trillion, which, if well harnessed, can spur rapid economic growth and wealth generation,” Adesina said.

    Adesina said that a lack of adequate financing for tackling climate change in Africa has become dire and is “choking” the continent.

    “Africa is being short-changed in climate finance. Africa is choking.

    “Your role as the media is very important to help carry the news – the news of efforts being made, challenges being faced, and the fierce urgency of now in getting much-needed climate finance to Africa,” Adesina said.

    Adesina was addressing scores of journalists from Africa and around the world at a media lunch organised to kick off the Bank Group’s 2023 Annual Meetings in the Egyptian resort city of Sharm El Sheikh.

    The Bank Group’s Annual Meetings will allow the Bank’s Board of Governors, African leaders and development partners to explore practical ways of “mobilising private sector financing for climate and green growth in Africa,” in line with the theme of this year’s meetings.

    Adesina said the theme was chosen to draw attention to the urgent need for climate finance.

    “Anywhere you look in Africa today, climate change is causing havoc. In the Sahel, hotter temperatures are drying up limited water, causing water stress for crops and livestock and worsening food insecurity,” he said.

    He said that in vast areas of East and Southern Africa, and the Horn of Africa, a combination of droughts and floods is causing massive losses of people and infrastructure, leading to rising numbers of refugees.

    “There is still much to do, as Africa’s private sector climate financing will need to increase by 36 per cent annually,” he said.

    The AfDB is spearheading climate adaptation efforts across the continent and has devoted 63 per cent of its climate finance, the highest among all multilateral development banks.

    The Bank’s new Climate Action Window will support millions of farmers, enabling them to access climate-resistant seeds.

    The institution has also launched the Desert to Power initiative to develop 10,000 megawatts of solar power to benefit nearly 250 million people across the Sahel.  

    The Bank and the Global Center for Adaptation have launched the African Adaptation Acceleration Program (AAAP) to mobilise $25 billion to support Africa’s adaptation to climate change.

    It has also established Alliance for Green Infrastructure (AGIA), in partnership with other institutions, to mobilise $10 billion in private investment for green infrastructure in Africa.

  • 2022 National Personnel Audit for basic education almost ready –UBEC

    2022 National Personnel Audit for basic education almost ready –UBEC

    The Universal Basic Education Commission (UBEC) would soon release the results of the 2022 National Personnel Audit (NPA) for basic education institutions in the country, as it is almost ready, the Executive Secretary of UBEC, Dr. Hamid Bobboyi has said.

    Bobboyi dropped the hint while fielding questions from newsmen during a one-day colloquium, organized by the Commission, with the theme, ‘The Nigerian Child: Dynamics of Educational Opportunities’ in honour of the former executive secretary of UBEC, late Professor Gidado Tahir, on Monday in Abuja.

    He said that the Commission chose the topic, given the role Gidado played as one of the key promoters of basic education in Nigeria.

    “The whole idea is trying to see how we can address those issues within the context of the legacies that has been left behind by Gidado.

    “UBEC has always involved in this kind of project because we have always believe that you need to engage, discuss and strategise and get involved in research project that can help you understand better those challenges and how best to address to them.

    “So, it is a continuous process. We have always been engaging in this kind of colloquium, we have outstanding research team and as you know, we also processing the results for the 2022 National Personnel Audit for school census as well as assessment of learning in education, which is one of the largest in Africa that will give us an idea of whether our children are learning or not and areas which we are having difficulties,” he added.

    He, however, stressed the need for the National Population Commission to conduct census which will help the UBEC in carrying out their functions.

    “The only disappointment is on one issue that I needed to raise. You cannot get the number of out-of-school children from there for the simple fact that you need the population figures of the various age groups from the National Population Commission (NPC) and the National Population Commission has not provided this.

    “The estimate they have been making is no longer relevant so that is the reason while are very desperate for a national census that can give us an idea of our accurate population,” he added.

  • NMDPRA reaffirms commitment to engaging relevant gas players

    NMDPRA reaffirms commitment to engaging relevant gas players

    The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reaffirmed its commitment towards engaging all relevant players in the gas sub-sector.

    Speaking in Abuja on Monday during the ‘Stakeholders Engagement on Gas Utilisation in Nigeria’, the Executive Director, Health, Safety, Environment and Community, Dr. Mustapha Lamorde, explained that the event aimed to promote gas adoption in accordance with the Federal Government’s Decade of Gas declaration.

    Nigerian Anchor reports that the event, which was for the North-Central region, saw participants from the sector express their gratitude for the efforts made by the regulator.

    Other reasons for the event include: to enlighten end-users on the need to obtain a storage license. And to engender the transition from white products to gas at the last mile.

    They also emphasised the need for ongoing support to facilitate the penetration of gas in the domestic market.

    It would be recalled that Authority had, recently in Kano State, urged stakeholders to embrace gas.

    Speaking at a similar event in Kano, the Chief Executive Officer (CEO) of NMDPRA, Farouk Ahmed, who was represented by the Executive Director, Distribution Systems, Storage, and Retailing Infrastructure, Ogbugo Ukoha, said there was an urgent need for large consumers of diesel to embrace the use of gas as it is Nigeria’s transition fuel.

    “The PIA is poised to enable the growth of the industry. The twelve regulations recently gazetted unlock the golden opportunities and signpost the pathway to energy security,” he said.

    He noted that the federal government has implemented a number of initiatives and policy frameworks in this regard, including the natural gas expansion plan and the decade of gas expansion programme.    

  • Dangote promises constant availability of high-quality fuels

    Dangote promises constant availability of high-quality fuels

    Africa’s richest man, Alhaji Aliko Dangote, has promised to constantly make available high-quality fuels for Nigeria’s transportation sector.

    Speaking at the commissioning of the Dangote Petroleum Refinery & Petrochemicals on Monday, Dangote explained the drive behind the Group’s corporate vision.

    “Beyond today’s ceremony, our first goal is to ramp up production of the various products to ensure that within this year, we are able to fully satisfy the nation’s demand for quality products.

    “There will be constant availability of high-quality fuels for our transportation sector, the refinery will also make available to our industries vital raw materials for wide range of manufacturing.

    “Our Group’s corporate vision is driven by our mission to produce what we consume and to promote self-sufficiency in the basic needs of our people.

    “We decided on a plant designed with state-of-the-art technology and a scale in a capacity that will be a game-changer in Africa and the global market.

    “We have built a refinery with a capacity to process 650k barrels per day in a single train – which is the largest in the world. We have selected the best plants, equipment and the latest technologies from across the world.

    “Overall, we are committed to operating our plant in line with int’l best practice, recognising the importance of protecting the environment, we have adopted stringent environmental, health & safety policies,” he said at the ongoing epoch-making event.

    Nigerian Anchor reports that five presidents, including: President Gnassingbé Eyadéma of Togo; President Nana Akufo-Addo of Ghana, President Macky Sall of Senegal, President Mohamed Bazoum of Nigeria Republic, and President Mahamat Déby of Chad are in Nigeria for the big occasion.

    President Paul Kagame of Rwanda, who will not be physically present, will, however, present his goodwill message virtually.

    The petroleum refinery, with a capacity to process 650,000 barrels per day (bpd), is sitting on 2,635 hectares of land located in Dangote Industries Free Zone in Ibeju-Lekki, Lagos State, and will provide employment to over 100,000 persons.

    The coming on stream of the gigantic project is expected to mark Nigeria’s exit from the league of oil rich nations, but which are heavy importers of the petroleum products.