President Buhari Is Rewarding Incompetent Security Chiefs, Says Ezekwesili

Oby Ezekwesili, Ex-World Bank Vice President and a presidential candidate in the February general election has attributed the growing insecurity in the country to the extension of the tenure of incompetent security chiefs by President Muhammadu Buhari.

The Presidential Candidate for the Allied Congress Party of Nigeria (ACPN) accused the President of rewarding incompetent security chiefs to the detriment of the national security.

Ezekwesili, who spoke with reporters in Calabar on Friday, said the security infrastructure of the country is broken and that it needs to be urgently fixed.
“We can say that there is a broken state of affairs with our security establishments. The reason that is so is because President Buhari has shown himself as that leader who rewards incompetency and failure. 

"You cannot have a security establishment where the citizens of your country and your military are killed and those who lead those establishments are rewarded instead of being made to account for that kind of failure, and it is not just one failure. It is serial failures that we have seen. So the president rewards incompetence and I am not surprised because the president himself is incompetent but does not realize it," The co-convener of the #bringbackourgirls movement said.
“So he looks at those who fail and what he does is extend their stay in an office in which they have failed. We have seen it with the military; we have now seen it with the police. How can the president even be thinking of retaining the IG of police after the expiration of his term in office? Is it for stellar performance? This is the IG of Police that the president told the entire country did not go to where he had assigned him to go in Benue State. 

"What the president is essentially telling us is that Nigerian life does not matter that much to him otherwise, he should be very aghast at the level of killings that happen.
“My greatest shock and one of the triggers for my deciding to run for election, not being politician as you all know, is that the debasement of the Nigerian life is the final straw that can turn us into a society of anarchy; for it to be that children should grow up in this society and just come to the understanding that killing a person is a normal thing, that you can just do it, there is no consequence. My goodness, what kind of impunity is that?"

According to her, she would want to be the president of this country and be an effective Commander in Chief of the Armed Forces on the basis of competence, capacity and character.
“I would so do that work well that the life of the Nigerian would be the epicenter of our development process. It means that in terms of security, we would run the most effective and efficient security system; we would reform the security infrastructure of the country. We would find those brilliant ones in our military establishments and our police that have been hidden away in an era of incompetence and low productivity. We would also reform the systems within the military because when you look at the military anywhere, they are basis of what they call management by objective."

She said the idea is that when resources are made available, resources should lead to performance, accountability and reward and results, and when you are not getting it, you are immediately supposed to know why you are not getting it and to fix it. 

"The president is not known to fix anything that has gone wrong."

“There are Nigerians who are comfortable with the suffering in the country. Comfortable with the mediocrity we have seen in governance. Those kinds of Nigerians would be interested in APC and PDP, but if you are a Nigerian and you believe that this is not our lot, that we cannot afford to be a country that is persistently failing. We cannot be a country that locks in 87 million of our people in poverty and think that it is okay for the number of the poor to continue to grow. If you are in that class then you would be the people who would be joining my campaign and saying that we need a new set of mindset to solve our problem,” Ezekwesili said.

She said she was in Calabar to participate in the Carnival and to use the season of the celebration to interact with citizens on a one of one kind of campaign.

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Dangote, Otedola Members Of APC’s Campaign Council

Africa's richest man Aliko Dangote and business mogul, Femi Otedola have been named as members of the special advisory committee of President Muhammadu Buhari’s Presidential Campaign Council, 2019.
A long list of members of the Council was released by Mr. Femi Adesina, Special Adviser to the President (Media and Publicity) in Abuja on Friday.
Other members of the advisory committee are Vice President Yemi Osinbajo,. Asiwaju Bola Ahmed Tinubu, Senator Ahmed Lawan (Senate Leader), Hon. Femi Gbajabiamila ( Leader of the House ) and APC Party National Chairman Comrade Adams Oshiomole.
Adesina said that the All Progressives Congress, APC, released the names of members of its Presidential Campaign Council for the 2019 elections with President Muhammadu Buhari as the Chairman of the Council while Tinubu would be the co-Chairman.
The full list is as follows:
President Muhammadu Buhari – Chairman
CO-CHAIRMAN
Asiwaju Bola Ahmed Tinubu
DEPUTY CHAIRMEN
1. The Vice President, Prof Yemi Osinbajo.
2. The APC National Chairman Comrade Adams Oshiomole
VICE CHAIRMAN NORTH
Senator George Akume
VICE CHAIRMAN SOUTH
Senator Ken Nnamani
DIRECTOR GENERAL
His Excellency, Rt. Hon. Rotimi Amaechi
DEPUTY DIRECTOR GENERAL (OPERATIONS)
Senator A.O. Mamora
DEPUTY DIRECTOR GENERAL (COORDINATION)
Arch. Waziri Bulama
SECRETARY
1. Adamu Adamu
2. Dele Alake
ZONAL DIRECTORS
a. North West: Senator Aliyu M. Wamakko
b. North East: Senator Muh’d Ali Ndume
c. North Central: Senator Abdullahi Adamu
d. South West: Sola Oke, SAN
e. South East: Sharon Ikeazor
f. South South: Senator Godswill Akpabio
DIRECTORATES
a. Director, Buhari Support Groups – Dr. Mahmoud Mohammed
b. Director, Strategic Communications – Festus Keyamo, SAN
a. Deputy Director- Abike Dabiri- Erewa
c. Director, Contact & Mobilization – Hadiza Bala Usman
a. Deputy Director South -Victor Eboigre
b. Deputy Director North- Senator Bashir Nalado
d. Director, Election Planning & Monitoring – Babatunde Raji Fashola, SAN
a. Deputy Director I- Baba Kura Abba Jato
b. Deputy Director II-Chief Emani Ayiri
e. Director, Logistics – Dr. Pius Odubu
a. Deputy Director- Senator Umanah Umanah
b. Deputy Director II- Nasiru Danu
f. Director, Policy Research & Strategy- Prof Abdulrahman Oba
a. Deputy Director- Prof. A.K. Usman
g. Director, Youth Mobilization- Hon. Tony Nwoye assisted by the APC Youth Leader sadiq
a. Deputy Director North- Barrister Ismaeel Ahmed
b. Deputy Director South – Jasper Azuatalam
h. Director, Admin- Onari Brown
a. Deputy Director I- Chris Hassan
b. Deputy Director II- Abubakar Magaji Gasau
i. Director, Women Mobilization- Woman Leader Salamatu Baiwa
a. Deputy Director North – Binta Mu’azu
b. Deputy Director South – Adejoke Orelope Adefulire
j. Director Security – Gen. A. . Dambazzau
a. Deputy Directors – Brigadier General Gambo and Mr. U. Ukoma
k. Director Legal – Emeka Ngige, SAN
a. Deputy Director- Prof. Maman Lawan Yusufari
l. Director Field Opertaions- Mallam Nuhu Ribadu
M. Director Finance- Wale Edun
Deputy Director ….Alhaji Adamu Fadan
SPECIAL ADVISORY COMMITTEE TO MR. PRESIDENT
1. Vice President, Prof. Yemi Osinbajo.
2. Asiwaju Bola Ahmed Tinubu
3. Senator Ahmed Lawan (Senate Leader)
4. Hon. Femi Gbajabiamila( Leader of the House )
5. APC Party National Chairman Comrade Adams Oshiomole
6. Alhaji Aliko Dangote.
7. Mr. Femi Otedola
COUNCIL MEMBERS
1. Chief Bisi Akande
2. Chief John Oyegun
3. Senator Ita Enang
4. All APC serving Senators
5. All APC serving and former Governors
6. All APC Members of the House of Representatives
7. All members of the National Working Committee of the APC
8. All Zonal Women Leaders
STATE COORDINATORS
1. Governors are to serve as State Coordinators in their respective states
2. Gubernatorial Candidates in non- APC States will serve as State Coordinators in their respective states

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Atiku says President Buhari’s Family Owns Keystone Bank, 9mobile

Atiku Abubakar, Nigeria's main opposition Presidential candidate has alleged that the family of President Muhammadu Buhari was behind the recent acquisition of 9Mobile telecoms firm and Keystones Bank and seeking immediate probe of the deal.

The candidate of the Peoples Democratic Party (PDP) said the appropriate agency of government should swing into action by urgently institute a probe to unravel those he said may be hidden faces behind the new ownership structure of multi-billion naira companies.

A spokesman for the former vice president, Phrank Shaibu said such a probe was necessary in view of reports that members of President Buhari’s family now own substantial shares in Etisalat (9mobile) Nigeria which has an estimated $2b (about 727 billion at 360 per dollar) of its estimated $20 billion global net worth.
Abubakar said unimpeachable sources have revealed that the first family now plays big in the nation’s financial sector after acquiring mouthwatering shares in Keystone Bank with total assets of $1.916 billion (equivalent to 307.5 billion) as well as purchasing about 3 billion naira worth of shares in the new Pakistani Islamic Bank.
“I know that last week was turbulent for President Buhari and I apologise for adding to his woes, but as he is insistent on the myth that he is spotless and anti-corrupt, if this is found to be true, this scandal would break every rule of corporate and public governance, since this will be the first time members of the first family will be openly involved in a once-in-a-lifetime deal that would make them all richer beyond their wildest dreams.”
He said the allegation was coming amidst reported allegations in the media that the All Progressives Congress (APC) led government plans to use billions of naira from the Anchor Borrowers Programme allocated by the Central Bank of Nigeria (CBN) for farmers, using imaginary donations from 12 million farmers as a façade.
The presidential candidate of the PDP advised President Buhari to shun the use of state resources and machinery for the upcoming 2019 presidential poll.
In his reaction, APC National Publicity Secretary, Mallam Lanre Issa-Onilu, said Atiku had started exhibiting early signs of depression, resulting from obvious frustration.
Issa-Onilu challenged Atiku to tell Nigerians why a discredited person like him should be elected as President instead of raising puerile allegations on a daily basis.
“President Buhari and APC, not his programmes for the country, appear to be his main campaign issues. Nigerians are desirous of campaign that focuses on issues that matter to them. For Atiku and his PDP co-travellers, the only interest is to grab power and continue where they stopped in their avarice.

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Nigeria To Impose New Taxes on Luxury Goods

Nigeria plans introduce taxes on luxury goods next year in a bid to boost non-oil revenue and improve budgetary performance going forward, its finance minister has said.
Zainab Ahmed, said the government is planning to raise some form of taxes on luxury goods and reduce taxes for small and medium scale enterprises as a part of major tax reform in the coming year.
“We are exploring the way to increase taxes as well as reduce taxes in some sectors. For Small and Medium Enterprises, what will happen is to reduce taxes. But there are some special taxes that we will be looking at imposing,” she said.
According to her, luxury taxes will be imposed on private jets, yacht owners, but failed to provide details on how the government intends to carry out such exercise.
“For example, luxury taxes. If you have a private jet, we will be taxing you specially for that. If you have a yacht, we will be charging you for that and also in terms of excise duties; there are also some new areas where excise duties will be introduced.
“We haven’t got all the approvals but one of the major areas might be that of carbonated drinks produced in the country.”
Analysts, however, noted that such plan was not new as the previous minister of finance Kemi Adeosun had suggested such plans in the time past but was shut down by many highly placed Nigerians in government.
Nigeria currently spent about 70 percent of its revenue on debt service and in its 2019 budget proposal intends to cut back on borrowing and raise income from non-oil sector.
Global oil price has fallen to around $45/barrel against the $60/barrel proposed by the government in its 2019 budget submitted to the National Assembly last week.

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Access, Diamond Bank yet to seek regulatory approval for merger

The Security and Exchange Commission (SEC) said it is yet to receive official request from both Access Bank and Diamond Bank to merge into an entity, one week after the two lenders broke the news to the public.
Mary Uduk, acting director general of the commission said though the two commercial lenders had sent informal notification of their intention to merge, they are yet to formally make the request for regulatory approval for their intention.
Uduk spokes with Boason Omofaye on Channels TV Business Morning on Wednesday also on many issues impacting the capital market.
“We have received a formal notification informing us of their intention to merge, but we have not received any request for the merger,” she said.
The SEC chief also blamed the rise in the amount of unclaimed dividend on the incidence of multiple share purchase with fictitious names by many shareholders during the banking consolidation in 2005.
She, however, says the commission is doing all it could to reconcile those accounts to enable the affected shareholder to benefits from the purchased and ensure transparency in the capital market.
She also attributed the huge capital outflow from frontier markets, including Nigeria to the recent increase in interest rate in advance economies.
“Increase in interest rate in advance economies has significantly impacted on the rate of capital outflows, not only from Nigeria but many frontiers economies as well,” Uduk said.
Access and Diamond Banks announced plans to merge into an entity last week through a notification letter to the Nigerian Stock Exchange (NSE).
Access Bank plans to pay around 27 billion naira and 6.6 billion shares in exchange for the acquisition of the Diamond Bank and absorbed it into its operations.

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Nigerian billionaire, Otedola to Exit Forte Oil next year

Femi Otedola, one of Africa's leading billionaires has agreed to sell off his entire holding of 75 per cent direct and indirect in Forte Oil, Nigeria's leading gasoline marketer.
In a letter sent to the Nigerian Stock Exchange (NSE) signed by Akinleye Olagbende, the general counsel of Forte Oil, Otedola divestment from the oil marketing company will take effect from the end of first quarter of 2019 said barring any regulatory and shareholders' objections to the deal.

Prudent Energy, operating under the Ignite Investments and Commodities Limited would effectively take over Otedola's shares in the company, the statement said.

According to Olagbende, the billionaire was divesting from the company in order to “explore and maximise business opportunities in refining and petrochemicals”.

“Forte Oil Plc hereby notifies the Nigerian Stock Exchange, Securities and Exchange Commission, Shareholders and the investing community that its Majority Shareholder, Femi Otedola, has reached an agreement with the Prudent Energy team, investing through Ignite Investments and Commodities Limited, to divest of his full 75 percent direct and indirect shareholding in the Company’s downstream business,” the statement said.
The billionaire has been the majority shareholder in the company since 2007, when the Incorporated Trustees of NNPC’s Pension Fund divested its stake to the Otedola-owned Zenon Petroleum & Gas Limited.
The sale of his shareholdings is expected to be completed in the first quarter of 2019 “subject to the satisfaction of various conditions and receipt of applicable regulatory approvals”.
The press release clarified that an offer, solicitation or sale of ordinary shares or any other securities is not permitted.

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Appeal Court Asks United Bank for Africa To Pay 2.7 mln Damages To Firm

A Court of Appeal in Ibadan has ordered United Bank for Africa (UBA) Plc to pay 2.7 million as general damages to Siegner Sabithos Nigeria Limited over negligence and breach of banker and customer relationship.

In a ruling upholding the judgment of an Oyo State High Court, the court of appeal dismissed the appeal filed UBA against the judgment of the Oyo High Court.

In a unanimous judgment delivered by Justice Haruna Simon Tsammani, the appeal court averred the lower court had the right to award both special and general damages to the appellant for breach of contract.

The High Court had earlier in its judgment ordered the appellant United Bank for Africa (UBA) to pay Siegner Sabithos Nigeria Limited a sum of 216, 555. 17 naira difference between exchange rate within the transaction period, the time the money was deducted and remitted.
The Court also ordered UBA to pay Siegner Sabithos a sum of 2.72 million naira as general damages suffered by the respondents’ foreign business and goodwill.
The appellant Court directed the appellant, UBA to pay to the respondent the sum of 2.72 million naira being general damages suffered by the respondent as a result of the negligence handling of the respondent’s foreign business and bank account resulting into loss of business, contract and goodwill with foreign and local business partners and beneficiaries.
Siegener Sabithos Nigeria Limited had dragged Dugbe, Ibadan branch of the commercial lender before the court on the account of negligence and a breach of the banker and customer relationship.
The company claimed that UBA failed to remit £10, 673 to the City of London College, London for the payment of school fees of seven of the plaintiff’s students until 17 days after the amount had been deducted from the Siegner Sabithos Nigeria Limited’s account.
In a writ of summon, the claimant had sought:
“Declaration that the delay by the defendant in remitting the sum of £10, 673 to the City of London College for the payment of school fees of seven of its students until 17 clear days after the said amount was deducted from the plaintiff’s account.”
UBA in its arguments explained that transaction between it and the respondent was to be executed as quickly as possible, however, said that the delay in remitting the money to the beneficiary was a result of procedural and administrative constraints which must be observed as required by the Money Laundering (Prohibition) Act.
It also explained that the delay in transferring the funds was further caused by the change of name of the Chief Executive Officer of the Siegener Sabithos Nigeria Limited.
However, the Court of Appeal dismissed UBA appeal for lack of merit and ordered the bank to pay the damages.
The court also over-ruled the preliminary objection of the appellant and awarded 216, 555. 17 naira as the exchange rate between the transaction period when the money deducted from Siegener’s account and remitted to the City of London College and 2.72 million naira as general damages against the bank.

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President Trump Brands Federal Reserve U.S. Economy's ‘Only Problem’

President Donald Trump renewed his attacks on the Federal Reserve, commenting publicly on the central bank for the first time following last week’s interest-rate hike and reports he has discussed firing Chairman Jerome Powell.
“The only problem our economy has is the Fed. They don’t have a feel for the Market, they don’t understand necessary Trade Wars or Strong Dollars or even Democrat Shutdowns over Borders,” Trump said in a tweet Monday. “The Fed is like a powerful golfer who can’t score because he has no touch - he can’t putt!”
Trump’s latest broadside added to the sense of alarm among investors already rattled by turmoil in Washington that includes his private musings about sacking Powell and the government shutdown that followed his about-face on a stopgap spending bill. U.S. stocks fell back toward their session lows after Trump’s outburst, with the S&P 500 Index falling to its lowest level since April 2017.
The president’s Twitter post didn’t mention Powell, a Trump nominee who has overseen four rate hikes this year to prevent the economy from overheating.
“It’s Christmas Eve and President Trump is plunging the country into chaos,” Democratic leaders Nancy Pelosi and Senator Chuck Schumer said in a joint statement. “The stock market is tanking and the president is waging a personal war on the Federal Reserve -- after he just fired the Secretary of Defense.”
Schumer and Pelosi, who takes over as House speaker next month, are facing off against Trump over the government shutdown.
Treasury Secretary Steven Mnuchin sought to reassure investors over the weekend that Powell’s job is safe. He held a conference call Monday with regulators that oversee banks and markets to try, without success, to restore calm.
“The market is lacking full confidence in the Fed right now, but part of it is Trump’s undermining of it,” said Stephen Myrow, managing partner at Beacon Policy Advisors LLC in Washington and former Treasury official under President George W. Bush.
Economy’s State
While Fed rate hikes have contributed to equity declines and a softer housing market, the American economy is being buffeted by a few factors owing to the Trump administration and Congress.
Trump’s trade war with China is creating uncertainty for businesses. U.S. government debt is approaching $22 trillion. A federal shutdown this week is raising concerns about Washington’s ability to find bipartisan solutions to pressing problems.
Recent data show economic growth is holding up fairly well but may moderate heading into next year. The labor market is solid and unemployment at 3.7 percent is the lowest since 1969. One measure of U.S. consumer sentiment unexpectedly rose in December as views on economic conditions improved, helping bolster the outlook for American spending.
Gross domestic product is seen expanding 2.9 percent this year, buoyed by tax cuts and higher federal spending signed by Trump, but the pace is expected to slow in 2019 as fiscal stimulus fades. The White House argues lower corporate taxes will boost productivity and help the economy grow faster without causing inflation, and therefore the Fed doesn’t need to tighten policy.
The turmoil engulfing Washington -- and the financial market rout that’s happening in response -- widened after Bloomberg News, late Friday, reported Trump’s discussion about firing Powell. Mnuchin said in a pair of tweets Saturday evening that he’d spoken with the president about the matter, and he quoted Trump saying he didn’t believe he had the authority to remove the central bank chief.
Mick Mulvaney, Trump’s pick for the next White House chief of staff, said Sunday he’d spoken to Mnuchin and that Trump “now realizes he does not have the ability” to fire a Fed chairman.
Trump has yet to publicly affirm that belief himself.

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Finally, MTN Pays $53 mln To Settle $8.1 bln Dispute With Nigeria's Central Bank

South African telecoms firm, MTN Group has agreed to make a $53 million payment to resolve its dispute with the Central Bank of Nigeria (CBN), the firm said on Monday.

The agreement between the telecoms firm and the central bank was meant to end a four-month multi-billion dollar dividend repatriation row that has hurt its share price.
The CBN had ordered MTN and four local banks to return a total of $8.1 billion alleged illegally repatriated by the telecoms firm using improperly issued paperwork between 2007 and 2008.
Nigeria is MTN’s biggest market, accounting for a third of the African telecoms heavyweight’s annual core profit, but it has proven problematic for the company in recent years.
“The CBN upon review of the additional documentation concluded that MTN Nigeria is no longer required to reverse the historical dividend payments made to MTN Nigeria shareholders,” MTN said in a statement.
However, the central bank has found that a 2008 private placement remittance worth around $1 billion was based on certificates that did not have final approval.
As such, MTN said it had been instructed by CBN to implement “a notional” reversal of that transaction by making a $52.6 million payment.
“MTN Nigeria and the CBN have agreed that they will resolve the matter on the basis that MTN Nigeria will pay the notional reversal amount without admission of liability,” MTN said in a statement.
The CBN confirmed the outline of the agreement with MTN, without mentioning the $53 million payment. 

The agreement would lead to “amicable disposal of the pending legal suit between the parties and final resolution of the matter,” it said in a statement.
MTN and the CBN had filed a claim and counter-claim in a Nigerian court over the dispute. The legal case has been adjourned several times as lawyers said talks were under way on a settlement.
TAX BILL
The settlement comes around two years after MTN agreed to pay a more than $1 billion fine for missing the deadline to cut off unregistered SIM cards.
Shares in MTN have fallen by around 20 percent since the end of August when the CBN asked the company to return the money.
The stock, which closed 2 percent higher on Monday, is also under pressure from a separate dispute with the attorney general of Nigeria (AGF), who has slapped the company with a $2 billion tax bill.
MTN has gone to court seeking to block the attorney general from taking further action regarding the order for back taxes. The matter was adjourned last month until next February.
“MTN Nigeria continues to maintain that its tax matters are up to date and no additional payment, as claimed by the AGF, is due, and consequently no provisions or contingent liabilities are being raised in the accounts of MTN Nigeria for the AGF back taxes claim,” the company said.

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New Minimum Wage Poses Risk To Job Growth ~ United Capital

Nigeria’s Q3-18 Job Report: Unemployment rate worsens, are Nigerians more Miserable?
This week, the National Bureau of Statistics (NBS) published its long-awaited quarterly unemployment and underemployment report for Q4-17 to Q3-18.
According to the report, the unemployment rate in Nigeria jumped from 18.8 percent in Q3-17 to 23.1 percent in Q3-18.
This is as the total number of people classified as unemployed in Q3-18 spiked by 30.8 percent y/y, faster than growth in the size of the total labour force which was up 6.3 percent y/y to 90.5 million.
Notably, despite the worsening state of unemployment, Misery Index (inflation rate + unemployment rate) improved 0.5 percent from 34.8 percent in Q3-17 to 34.3 percent in Q3-18, thanks to the inflation rate which moderated from 16.0 percent in Q1-17 to 11.2 percent in Q3-18.
If underemployment is factored in, the misery index would be 54.4 percent as at Q3-18 from 56.0 percent in Q3-17.
We reiterate the need to prioritize job creation beyond aggregate GDP growth as a measure of economic welfare and overall improvement in the economy.
In terms of outlook, we believe a potential implementation of the 30,000 naira national minimum wage poses further risk to job growth in Nigeria, especially if structural issues are left unfixed.

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Ezekwesili Says Buhari May Not Ensure Peaceful Elections

Obiageli Ezekwesili, ex-Vice-President World Bank Group and presidential candidate of the Allied Congress Party of Nigeria (ACPN), has said she was not sure President Muhammadu Buhari would ensure peace at the 2019 elections.

The presidential candidate told delegates of International Republican Institute (IRI) and National Democratic Institute (NDI) that using security agents to compromise the election might lead to dangerous reactions.

IRI and NDI are the bodies fielding Joint International Elections Observers Mission. The delegates are in the country to meet with key stakeholders in the electoral process and assess the pre-election environment.

She said Buhari must avert the danger of the menace that the military and the police have become to the country’s democracy “as was evident in the Osun and Ekiti elections.”
“The security forces must be pulled out of the coopted involvement in our elections, which in Ekiti and Osun disenfranchised many voters,” she said, noting that any action of the President that aims at giving him undue advantage in the February elections would amount to political corruption.
Ezekwesili who assured the delegates of promoting peace, before, during and the elections, asked them to caution President Buhari against compromising the standard of the election.
“My entry into the presidential race is to win and provide the long elusive good governance to Nigerians so that our country and people will prosper, become stable and live in harmony.
“I have raised the bar in making 2019 an issue/value-based campaign and forced the dominant parties to start focusing on the same. My candidacy is mobilising the citizens into a movement of enlightened voters who can make informed choices in the elections. My candidacy is creating a political disruption of the old extant order of a political class who have always seen politics as a means to personal wealth instead of service to the country and people.
“With my foray in politics, a new order of politicians and politically conscious citizens are emerging on the scene. Young people and women are the segment of the voting population that are most excited about my candidacy and are volunteering and donating to our campaign,” the former education minister said.
At another event in Abuja yesterday where the IRI and NDI delegates presented a statement on their third joint pre-election assessment mission, they urged security agencies in the country to shun bias and partisanship.
They said that given the nation’s persistent insecurity, perceptions about lack of neutrality on the part of the security forces could undermine the credibility of the entire process.
They noted that Nigeria would be conducting the 2019 polls against the backdrop of insecurity in the North East and middle belt and threats from non-state actors that could negatively affect the process.

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Access Bank Plans To raise $250 mln Tier 11 capital, 75 bln Naira Via Rights Issue

Herbert Wigwe, chief executive officer of Access Bank Plc on Wednesday said the commercial lender had finalised plans to issue $250 million Tier 11 capital in January 2019, in its bid to create the largest bank in the continent.
At a media briefing in Lagos, Wigwe said Access Bank had already finalised terms and obtained regulatory approvals for a Tier II capital issuance to raise 250 million dollars in January 2019.

Access Bank this week announced its acquisition of Diamond Bank, a major step toward becoming the biggest commercial lender by customers in the continent.

Tier 11 Capital is designed as supplementary capital, composed of items such as revaluation reserves, undisclosed reserves, hybrid instruments and subordinated term debt.
Wigwe said the bank had also obtained “No Objection” from the Central Bank of Nigeria to undertake a Rights Issue to raise up to 75 billion in the first half of 2019.
Wigwe said shareholder approvals and other regulatory approvals to that effect would be obtained before the commencement of the offer.
He noted that the fundraising exercise would accelerate the capital management plan to support retail growth, previously set out in the bank’s five-year strategy.

On its recent scheme to merge with Diamond Bank, Wigwe said the bigger entity was ready to absorb the staff of Diamond Bank at the completion of the deal by end of June 2019 without any disengagement.
According to him, the decision will enable Access Bank to leverage the best talents of both institutions to create a leading banking franchise in Nigeria.
He said the combined bank would be led by Access Bank’s current CEO, Herbert Wigwe and retain the Access Bank name.
“The merger will form a leading Tier 1 Nigerian bank and the largest bank in Africa by the number of customers, spanning three continents, 12 countries and 29 million clients.
“It brings together treasury, risk management and corporate banking expertise with strong retail and digital banking capabilities to create a financial institution operating across the full suite of products for all customer segments.
“The transaction is to be concluded via Scheme of Merger following Access Bank and Diamond Bank Court Ordered Meetings expected in March 2019 to approve terms,” he said.
He added that the merger, subject to shareholder approvals, the Securities and Exchange Commission (SEC), CBN, and Pension Commission regulatory approvals and as well as Federal High Court sanction, would be concluded before end of first quarter of 2019.
He said Diamond Bank would benefit from Access Bank’s strong culture of risk and capital management expertise and a clear strategy for sustainable growth.
Wigwe stated that Access Bank would take advantage of Diamond Bank’s unparalleled retail banking expertise and strong digital offering.

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Nigeria’s Unemployment Rate Rises To 23.1 Percent- NBS

Nigeria’s unemployment rate now stands at 23.1 per cent, up from the previous rate of 18.8 per cent released in the third quarter of 2017, the country’s National Bureau of Statistics said on Wednesday.
Partime employment/underemployment slowed to 20.1 per cent in the third quarter of 2018 from 21.2 per cent in the third quarter of 2017.
Although there was a marginal increase in the number of people employed from 69.09 million in Q3 2017 to 69.54 million in Q3 2018, the total number of people unemployed upped from 17.6 million in the fourth quarter of 2017 to 20.9 million in the third quarter of 2018.
The latest figures are grimmer than what the government has been touting.
A presidential spokesman told Channels Television that the chief executive of the statistics office told a meeting of cabinet members last week that analyses of job rates were largely focused on white-collar jobs.
“They had concentrated analysis overtime on white-collar jobs,” Garba Shehu said.
“They had not taken cognisance of job creation in Agriculture.”
Shehu argued that the figures collected by NBS in recent part had been unfair to president Muhammadu Buhari strides in job creation in Agriculture.
“We have created at least 12 million jobs in the area of agriculture,” Shehu added.
The latest figures were the latest to be released by the statistics office in almost a year. Kale said the NBS was too cash-strapped to provide regular updates until now.
“The work can’t be completed due to budgetary releases,” Yemi Kale, who heads NBS, tweeted on November 14.
“It’s not hard to confirm when last we got data funding and how much.”
The statistics office is also unable to publish trade, GDP and inflation figures, Kale said

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President Buhari Presents 8.8 trln naira 2019 budget to parliament

President Muhammadu Buhari presented a 8.83 trillion naira budget for 2019 before the joint sitting of the National Assembly on Wednesday, amid boos and cheers from the lawmakers.
The fiscal plan for next year was smaller in size compared to this year's 9.12 trillion naira budget as the president on the last lap of his second term laid out a plan to drive growth few months to the critical election where he is seeking a second term.
The proposed budget shows that about a quarter of the sum, 2.14 trillion naira will be spent on debt servicing while capital expenditure is expected to gulp 2.031 trillion naira.
In the budget proposal, the government also intends to spend 4.04 trillion naira on recurrent expenditure and 492.36 billion naira on statutory transfer in the course of 2019 fiscal year.The fiscal policy is predicated on crude production of 2.3 million barrels a day, an oil price of $60 per barrel and an exchange rate of 305 naira to the dollar.
The budget is the fourth Buhari has present to parliament since taking office in 2015 but, unlike the others, did not set record high levels of spending as the government seeks to lower debt.
Nigeria’s economy grew by 1.81 percent in the third quarter of this year, the statistics office said last week. And, in a separate data release days later, it said the inflation rate rose slightly in November to 11.28 percent compared with a year ago.
President Buhari’s handling of the economy - which emerged from its first recession in 25 years this year but remains sluggish - has become a campaign issue.
His closest rival and candidate of the main opposition People's Democratic party (PDP) former vice president Atiku Abubakar, has criticised Buhari’s economic policies and has promised to double the size of the economy to $900 billion by 2025 if elected.

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Access, Diamond Banks Merger Now Official As NSE Gets Letters From two lenders

The planned merger between Access Bank and Diamond Bank has now been officially unveiled by the management of the two lenders with letters sent to the Nigerian Stock Exchange (NSE) on Monday.
A statement by Uzoma Uja, Diamond Bank's Secretary/Legal Adviser, said the transaction will be completed by the first half of 2019.
“The proposed merger would involve Access Bank acquiring the entire issued share capital of Diamond Bank in exchange for a combination of cash and shares in Access Bank via a Scheme of Merger,”  Uja said in a letter to the Exchange.
"The Board of Diamond Bank believes that the merger is in the best interest of all stakeholders including, employees, customers, depositors and shareholders and has agreed to recommend the offer to Diamond Bank’s shareholders. Completion of the merger is subject to certain shareholder and regulatory approvals."

Also, Access Bank in a separate letter to the NSE said it has signed a Memorandum of Agreement g (MOA) with Diamond Bank regarding a potential merger of the two banks that will create Nigeria and Africa'slagest retail bank by customers.

Access Bank intends to pay 26.6 billion naira cash and issue 6.6 billion worth of its shares to shareholders of Diamond Bank as the end of the consolidation of the two lenders.

"Immediately following completion of the merger, Diamond Bank would be absorbed into Access Bank and it will cease to exist under Nigerian law. 

"The current listing of Diamond Bank’s shares on the NSE and the listing of Diamond Bank’s global depositary receipts on the London Stock Exchange will be cancelled, upon the merger becoming effective," The Diamond Bank's statement said.  

According to Diamond Bank, founded by Pascal Dozie chairman board of directors of MTN Nigeria,
the merger is in the best interest of all stakeholders including, employees, customers, depositors and shareholders and has agreed to recommend the offer to Diamond Bank’s shareholders. 

The two lenders would have to obtain the consent of their shareholders and industry regulators before they could go ahead with the MoA.

According to the scheme of merger agreement sent by Access to the NSE, Access Bank will acquire the entire issued share capital of Diamond Bank in exchange for a combination of cash and shares in Access Bank.

Based on the agreement reached by the Boards of the two financial institutions, Diamond Bank shareholders will receive a consideration of 3.13 naira per share, comprising of one naira per share in cash and the allotment of two (2) new Access Bank ordinary shares for every seven (7) Diamond Bank ordinary shares held as at the
The offer represents a premium of 260 percent to the closing market price of 0.87 naira per share of Diamond Bank on the Exchange as of December 13, 2018, the date of the final binding offer.
Diamond Bank expects the transaction to be completed in the first half of 2019.

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Nigeria's farmer-herder clashes have left over 3,600 people dead, Amnesty says

Clashes in Nigeria between farmers and semi-nomadic herders have killed more than 3,600 people since 2016, most of them this year, Amnesty International said on Monday, in a report documenting an upsurge in violence that could sway the results of February 2019 elections.
President Muhammadu Buhari is seeking a second term in office at next year's ele
ctions, but his campaign has taken a hit from accusations he has soft-pedaled justice for one of the sides responsible for the clashes, the herders, many of whom come from the same Fulani ethnic group as the leader.
The presidency has repeatedly denied those allegations.
The violence is often painted as ethno-religious: chiefly Muslim Fulani herders clashing with mainly Christian farmers. 

But many experts and politicians say climate change and expanding agriculture are creating competition for land that is pushing the farmers and herders into conflict, regardless of faith or ethnicity.
“The Nigerian authorities’ failure to investigate communal clashes and bring perpetrators to justice has fuelled a bloody escalation in the conflict between farmers and herders across the country, resulting in at least 3,641 deaths in the past three years and the displacement of thousands more,” Amnesty said in a statement.
Nigeria’s military and police did not respond to request for comment.
Of the 310 attacks recorded between January 2016 and October 2018, 57 percent were in 2018, the rights group said.
After a quieter wet season in the summer, experts now fear clashes could surge again as the dry season begins, forcing herders to move south towards greener land and water supplies, often across farmland. Any increase in violence would coincide with the February 2019 vote.
“These attacks were well planned and coordinated, with the use of weapons like machine guns and AK-47 rifles,” said Osai Ojigho, Amnesty’s Nigeria director.
“Yet, little has been done by the authorities in terms of prevention, arrests and prosecutions, even when information about the suspected perpetrators was available,” she said.
The farmer-herder conflict killed six times more people than the war with the Boko Haram insurgency in the first half of 2018, the International Crisis Group said in July.
“In some places, because of the failures of the security forces, competition over resources is used as a pretext to kill and maim along ethnic or religious lines,” Ojigho said.
“The conflict has also been dangerously politicised by some state government officials who have inflamed tensions by embarking on a blame game along political party lines,” said Osai Ojigho.

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To Defeat BOKO Haram: Tackles Poverty, Youth Unemployment and Boost Soldiers Morale

The terrorist group waging war against the country in the northeast launched a terrible attack on a military based few weeks ago and ended up killing over 100 soldiers with the figure of those still missing in battle yet to be revealed.
The attack by the West African wing of the Islamic State came as a surprise against the backdrop of claims by the government that it has technically defeated the insurgent group and rendered it incapable of major attack against the civil population or the military.
The insurgents who were said to have overwhelmed and overran the military based in Metele, a border town between Nigeria and Chad, was not without a prior warning to the military, without a major effort to stave off the attack.
From available information, the insurgent actually drove in from a neighbouring country to carry out the attack on the military base. This confirms the claim by the West Africa unit of Islamic State as being the brain behind the attack.
However, the precision with which the attack was carried out without a major resistance by the military is raising dust among the high command of the military.
A senior officer with the rank of a Lt Col who happened to be the commander of the unit was said to be one of the victims, an indication that a tactical error must have been committed in the military response to the initial warning that the insurgents were approaching the base to attack it.
The commander of the unit was said to have raised issue about the poor state of equipments and weaponry available to the troop under his command with the high command few weeks before the deadly attack by the Boko Haram insurgents.
In recent time, the insurgents have focused on carrying out attack on military base, a major tactic in the battle of supremacy between the military and the insurgents. Insiders said the decision of the terrorists to target military base for their attack was a tactical approach to weaken the troop in the battle front and take advantage of the perceived low morale among the soldiers.
Information filtering from the soldiers has showed that many of them are not pleased with the manner they are being treated by the military high command in term of welfare and provision of war equipment.
On three different occasions, the military had claimed that it has degraded the terrorists group and rendered it incapable of carrying out major attack against the country. On December 22, 2016, the President Muhammadu Buhari announced to the whole world that the military has technically defeated the insurgent group. A year after, the former theatre commander of the operation in the northeast, General Roger Nicholas also claimed the military has dislodged and occupied the insurgents’ tactical ground ‘camp zero.’
Even though, from all indications, considerable efforts has been made by the military to reduce the capacity of the insurgents, definitely, a lot is still needed to be done to subdue them and ensure that they no longer pose threat to lives and property in the region.
The impact of the war against terror in the region has continued to affect social and economic activities, while hope to resettle those displaced from their homes are daily dimming.
There are over 1.7 million people in various Internally Displaced People (IDP) camps across Borno State, many of whom cannot carry out any economic activities but solely depend on humanitarian aides from donor agencies and development partners. According to data from the country’s population commission, the number of displaced persons increases by 4.5 percent between end of 2017 and early this year.
Apart from the drain on human resources, the war is putting continued pressure on the country’s economy. Early in the year, the president has to approve the disbursement of $1 billion from the country’s excess crude savings account to procure modern weapon and gunship in a bid to improve the capacity of the military.
The country was able to secure the approval of the United States to purchase high powered fighter jet to enhance the capacity of the military. Though the fighter jets are yet to be delivered to the country, the country was able to take delivery of four gunships from Russian, which has helped the country in combating the menace of bandits in Zamfara and Taraba States.
The upsurge in the attack by the insurgents coming few months to a critical election bears the resemblance of occurrence in the time past.
The main opposition party, the People’s Democratic Party (PDP) is already taking advantage of the misfortune to throw dart at the ruling party. According to the opposition, the present administration is insensitive to the plight of the soldiers battling the insurgent at the theater of war. The main opposition is also insinuating that the ruling party has diverted funds meant to prosecute the terror war to fund its political campaign.
Many military officers have been tried in the time past on allegations of leaking information to the insurgent group and sabotaging the war against terror. Apart from that, some politicians have also been accused of being the brain behind the increasing attack by the Boko Haram. Apart from the religion angle to the terror attack, politics and other motives have been ascribed to the surge in the activities of the terrorists group.
This has further complicated the fight against the insurgents by the military as government has not been able to track down those invisible hands propelling the insurgents.
The success of the operations of the Boko Haram group till date in spite of the huge resources deployed by the government to counter the group’s activities has continued to raise more concerns on the failure of intelligence, corruption in the military high rank and the growing poverty as a result of lack of employment among the youth.
The insurgents have continued to successfully recruit its foot soldiers from the army of unemployed youth in the region while the government seems not able to tackle unemployment as part of measure to address the problem of terrorism.
Already, with the huge figure of displaced people living in the IDPs spread across the state, food security is being threatened with prediction that there will soon be food shortage in the region.
The government should re-strategise and make sure that the war against the terrorists is won decisively to ensure that peace returns to the northeast. Problems of youth unemployment should be frontally tackled by the government in conjunction with the development partners. Once the majority of the youth are gainfully engaged, the insurgents will be starved of source of recruitment for its foot soldiers.
The issue of welfare of the troop fighting at the war front should be adequately tackled as well, to boost the morale of the soldiers while more modern equipment should be procured and deployed to the battle field to enhance the capacity of the military.

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President Buhari says Nigerian economy in "bad shape"

Nigeria’s President Muhammadu Buhari said the country’s economy was in “bad shape”, the governor of a northwestern state told reporters on Friday after a meeting with governors from across the country.
Buhari will seek a second term in an election to be held in February in which the economy is likely to be a campaign issue. Africa’s top oil producer last year emerged from its first recession in 25 years, caused by low crude prices, but growth remains sluggish.
“Mr President, as usual, responded by telling us that the economy is in a bad shape and we have to come together and think and rethink on way forward,” Abdulaziz Yari, who chairs the Nigeria Governors’ Forum, told reporters when asked how Buhari answered requests for a bailout to some states.
“Mr President talked to us in the manner that we have a task ahead of us. So, we should tighten our belts and see how we can put the Nigerian economy in the right direction,” said Yari, who is Zamfara state governor. He spoke to journalists in the capital, Abuja.
The main opposition candidate, businessman and former vice president Atiku Abubakar has criticised Buhari’s handling of the economy and said that, if elected, he would aim to double the size of the economy to $900 billion by 2025.
Nigeria’s economy grew by 1.81 percent in the third quarter of this year, the statistics office said on Monday. And on Friday it said the inflation rate rose slightly in November to 11.28 percent compared with a year ago.

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World Debts Hit Record $184 Trillion

The International Monetary Fund (IMF) has said that the world debt has hit an all-time record of $184 trillion, an upward review from the $182 trillion it reported last week.

The figure represents an average of $86,000 debt owed per person, according to a statement by Ting Yan, Press Officer at IMF, on ‘Global Debt Database (GDD) Update’.

“Today, the International Monetary Fund updated its publicly available Global Debt Database (GDD) – a comprehensive dataset covering public and private debt for virtually the entire world (190 countries) dating back to the 1950s.

“Today’s update of the GDD offers for the first time a glimpse of global debt developments up to 2017.

”By including both the sovereign and private sides of borrowing for the entire world, the GDD offers an unprecedented picture of global debt in the post-World War II era”.

According to the update, global debt has reached an all-time high of $184 trillion in nominal terms or the equivalent of 225 per cent of Gross Domestic Product in 2017.

The $184 trillion debt is $2 trillion higher than the estimated figure released during Fiscal Monitor press conference in October 2018, because it includes end-2017 data and the debts of several countries who had not previously reported their updated data.

“On average, the world’s debt now exceeds $86,000 per person – more than two and half times the average income per-capita.

”The top three borrowers in the world (United States, China, and Japan) account for more than half of global debt, exceeding their share of global output,” the IMF stated.
The Fund had put the global debt at $182 trillion on December 1, warning highly indebted emerging-markets and low-income countries against what it termed pro-cyclical fiscal policies.

IMF Managing Director, Christine Lagarde, disclosed the figure in a statement issued at the conclusion of the Group of 20 (G-20) Summit in Buenos Aires.

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Is ‘Doing Business in Nigeria’ getting Easier?

In Oct-2018, the World Bank published it's ‘Doing Business Report’ for 2019. According to the report, Nigeria’s overall Doing Business Ranking fell from prior 145 to 146, despite the recent effort by Nigerian Authorities aimed at easing the business environment. 

Save for an appreciable improvement recorded in Paying Taxes (up 14points) and Starting a Business (up 10 points), Nigeria continues to rank outrageously low in critical indices such as Registering Property (184), Trading Across Border (182) and Getting Electricity (171), compared to 190 countries surveyed.
The feedback from the report in our view is that structural challenges confronting the economy such as huge infrastructure deficit, the difficulty of getting electricity and regulatory bottlenecks, which are key concerns for investors, remains largely unresolved despite the obvious economic exigencies.
To match Nigeria rising population size, projected at 400 million by 2050, the country must address sustained infrastructural deficit to drive a sustainable and inclusive growth. 

Clearly, this is reflected in the low ranking of the country in Trading Across Border (182) and Getting Electricity (171). 

The Apapa Port gridlock in Lagos is currently the best symbol of gapping infrastructure in the country, a reflection of the poor state of road networks, port congestion and regulatory lapses. 

Going by the above, except radical reforms are instituted, investments in Nigeria may remain sub-optimal in the short to medium term.

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Nigeria inflation rate rose slightly in November

Nigeria’s inflation rate rose slightly in November over the previous year, with price increases across a broad range of products, the statistics office said on Friday,
November consumer inflation was up 11.28 percent from a year ago, versus 11.26 percent in October, the National Bureau of Statistics (NBS) said.
Food inflation was at 13.30 percent over the previous year, another slight bump from the 13.28 percent yearly increase recorded in October, according to the NBS.

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Nigeria’s First Gold Refinery On Stream

Nigeria’s first gold refinery being built by Kian Smith Trade & Co Limited is billed to be completed by the end of June next year.
There was already a significant monthly supply of gold from Zamfara, Kebbi, Kwara, Niger, Kaduna, Ibadan, Ile-Ife, and Ilesha and about 100kg per month from other parts of Africa,” said the Vice Chairman, Kian Smith, Nere Teriba.
The firm was finalising supply agreements and terms from suppliers in Kano, and supply from Kogi State.
According to a report in the Punch, the refinery would start with a production capacity of three tonnes per month of 99.99 per cent gold and one ton per month production of 99.99 per cent silver.
The Minister of State for Mines and Steel Development, Abubakar Bwari, was at the ground-breaking ceremony.
He said: “The present administration is determined to develop the mining sector to act as a catalyst for sustainable economic growth of the country.
“Part of our marching orders in the mines and steal development ministry is that we are expected to develop the sector to increase its contribution to the nation’s Gross Domestic Product, improve its capacity to create jobs and engender sustainable mining.”
He noted that it was in keeping with his ministry’s mandate that a roadmap was developed for the growth and development of the mining sector.
“During the focus labs of the Economic Recovery and Growth Plan of this administration, we discovered that a well-organised gold value chain can trigger an economic revolution as it did in India, South Africa, Switzerland and others,” Bwari said.
He added that the ministry had continued to work in this light to develop a gold value chain for the country.
“We will be supplying the Central Bank of Nigeria (CBN), the jewellery and the electronics industry.”
According to Vice Chairman, Kian Smith, Nere Teriba, the refinery, when completed, will provide more than 500,000 jobs in two years as it continues to support its suppliers in their bid to become registered business entities in the mining sector.
“There are at present at least one million unregistered business participants in the Nigerian market (considering gold miners, sponsors, dealers, processors, aggregators and gold-workers).
The formalisation, organisation and development we bring to the value chain will provide quick wins to the Nigerian economy,” she added.

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Nigeria files $1.1 bln London lawsuit against Shell, Eni over oil deal

The Nigerian government said it had filed a $1.1 billion lawsuit against Royal Dutch Shell and Eni in a commercial court in London on Thursday in relation to a 2011 oilfield deal.
The OPL 245 oilfield is also at the heart of an ongoing corruption trial in Milan in which former and current Shell and Eni officials are on the bench.
Milan prosecutors allege bribes totalling around $1.1 billion were paid to win the licence to explore the field which, because of disputes, has never entered into production.
The new London case also relates to payments made by the companies to get the OPL 245 oilfield licence in 2011.

“It is alleged that purchase monies purportedly paid to the Federal Republic of Nigeria were in fact immediately paid through to a company controlled by Dan Etete, formerly the Nigerian minister of petroleum, and used for, amongst other things, bribes and kickbacks,” Nigeria said on Thursday.
“Accordingly, it is alleged that Shell and Eni engaged in bribery and unlawful conspiracy to harm the Federal Republic of Nigeria and that they dishonestly assisted corrupt Nigerian government officials.”
The Nigerian attorney general’s office did not respond to phone calls and messages seeking comment. Shell said “the 2011 settlement of long-standing legal disputes related to OPL 245 was a fully legal transaction with Eni and the Federal Government of Nigeria, represented by the most senior officials of the relevant ministries.”
Eni said in an emailed statement it rejected “any allegation of impropriety or irregularity in connection with this transaction.”
“Eni (...) signed a commercial agreement in 2011 for a new licence for OPL 245 with the Federal Government of Nigeria and the Nigerian National Petroleum Company and the consideration for the license was paid directly to the Nigerian government,” it said.
Nigeria has already filed a London case against U.S. bank JPMorgan for its role in transferring over $800 million of government funds to Etete, who has been convicted of money laundering.
In another separate trial, a Milan court in September found a middleman guilty of corruption after prosecutors alleged he had received a mandate from Etete, who has denied any wrongdoing, to find a buyer for OPL 245, collecting $114 million for his services.

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President Buhari To Present 2019 Budget To National Assembly On Dec 19

President Muhammadu Buhari may present the 2019 fiscal policy to the National Assembly On December 19, barring any unforeseen circumstance.

In a letter to the parliament, President Buhari is seeking the lawmaker's consent to lay the budget document at a joint sitting of both the senate and house of representatives on the said date.

Last week, the federal executive council (FEC) approved the 2019 budget document ready for presentation for the legislative final approval.

The government is proposing a 8.73 trillion naira spending plan for 2019.

That process can take more than half a year of wrangling, hobbling the release of funds that could boost Nigeria’s economy.

Last year, the president presented the 2018 budget estimate to the parliament on November 3, but the legislative approval for the budget did not come until six months later.

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Nigerian Interbank Rate Falls After CBN Injects Cash Into Market, Naira Firms Slghtly

Nigerian interbank lending rate closed at an average of 16.87 percent on Thursday, down from 59.58 percent average on Wednesday due to repayment of huge matured treasury bill to investors by the regulatory bank, traders said.

The Open Buy Back (OBB) closed at 16.5 percent while the overnight rate deep to 17.25 percent at the close of business on Thursday.

The market had closed with the OBB and O/N rates at 56.67 percent and 62.50 percent respectively, on Wednesday.

Interbank rate represents the cost of borrowing among Nigerian commercial lenders and reflects the states of liquidity in the banking system.

The Central Bank of Nigeria (CBN) has sustained liquidity mop-up since last week to curb pressure on the local currency and support the naira after the country's currency slipped at the parallel market last week. The naira had depreciated to 370 to the dollar on the parallel market last week from 360 a dollar it has stabilised for more than a year.

The CBN sold around 296 billion naira worth of Open Market Operations (OMO billion on Thursday to further reduce liquidity in the system.

However, about 551 billion naira repayment made on matured treasure bills countered the effect of the liquidity mop-up on the market rate.

Traders said barring any sales of OMO by the CBN on Friday, rates could close flat as there is no significant funding activity expected in the market.

The CBN regularly issue short-dated treasury bills to mop-up percieved excess liquidity from the banking system when it becomes obvious the country's currency is facing pressure from speculations.

The naira closed firmer at 364 to the dollar on the parallel market compared with 365 per dollar it closed the previous day.

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Nigeria Targets 2.2mbpd Crude Oil Production By Jan

Ibe kachikwu, Nigeria's junior petroleum minister said the government is targeting to increase the crude oil production to 2.2 million barrel per day by the end of January 2019.
Kachikwu said in Abuja on Thursday that by the end of 2019, crude oil output would have hit 2.5 million, based on the coming on stream of the Egina field and the recently approved 30 field works which have the capability of increasing Nigeria’s output by 500,000 barrels per day.
“Crude oil production had been sustained at a fairly large level. We started at 800,000 barrels, we have grown it to about two million barrels.
“We should be doing more, but for the cyclical difficulties in terms of occasional pipeline disruptions, occasional closure for purpose of maintenance.
“We are averaging about two million barrels, and about 300,000 of that are roughly condensates.
“Really, by the end of January, we should have grown production to about 2.2 million barrels which have been our signpost.
“In addition to that, there are 30 other field works that have been approved by the DPR, which have the capacity of adding about 500,000 barrels per day production,’’ he said
According to him , by the end of 2019, the country will be averaging 2.5 million barrels production, which will be the first time it will be done in the country.
The minister said that the oil reserves had been grown by over 600 million barrels, rising from 36.18 million barrels to 37.2 million barrels.
He noted that government has been able to grow the gas reserves by five trillion cubic feet, from 192 trillion cubic feet to 199.09 trillion cubic feet of gas in two years.
On the oil rigs, he said “ We have been to discover so many new fields, like Owowo. We have been able to grow rigs activity in the country.
“ When we joined, the rig activity in the country was about two to three rigs that were operating in Nigeria at the time.
“As at 2017, we had about 21 rigs in operation, up from about 16 rigs in operation in 2016. And hopefully, with the big FPSOs , it is beginning to look as if there are possibilities in Nigeria, we expect to see lot more real activity in Nigeria,’’ he said

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President Buhari Promises To Reward Loyal Party Men Who Work For His Victory

President Muhammadu Buhari on Wednesday night assured loyal All Progressives Congress members, who would work for his victory in 2019 of a handsome reward.
Buhari admitted that he had not been able to fully reward those who worked for him to emerge as President in 2015.
However, he stressed that in 2019, it would be a different ballgame as his loyal supporters would be rewarded.
Buhari spoke at the old Banquet Hall, Presidential Villa, Abuja, during the launch of one of his support groups, “Together Nigeria.”
The President said, ” At this point, I would like to acknowledge the overwhelming support I enjoyed from individuals and organizations across the country over the years.
“I say thank you to all those who contributed to our success in one way or the other.
“Some of you, individuals and organisations, may be feeling disappointed because we have not been able to please everyone.
“I would like to assure you that this time hard work and loyalty will be rewarded adequately.
“Finally, I wish to thank the Together Nigeria Group for educating the world about our good work and achievements. I will like to also thank our celebrities for projecting the image of Nigeria globally and for your contributions to the development of our entertainment industries.”
The President’s wife, Aisha Buhari; wife of the Vice-President, Mrs Dolapo Osinbajo; Nasarawa State Governor, Tanko Al-Makura; and his colleague from Ogun State, Ibikunle Amosun, attended the event.
Also, a former Secretary to the Government of the Federation, Babachir Lawal, and several Nollywood stars witnessed the launch.
Speaking at the event, a member of the House of Representatives, Mr Mohammed Kazaure, told the audience that he had yet to see anyone who would defeat Buhari.
Describing the President as the “old man”, Kazaure said, “I have not seen anybody that will defeat that old man Buhari.”
He also praised Aisha for being frank with her comments on the President’s administration.
However, he claimed that if given another four years, Buhari “will be better.”

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Nigeria's Anti-graft Agency, EFCC May Declare Fidelity Bank CEO wanted

Is the managing director of Fidelity Bank Plc, Nnamdi Okonkwo on the run from the anti-graft agency, the Economic and Financial Crimes Commission (EFCC)?

This was the question on the lips of many in the business circle on Wednesday as news filtered in that operatives of the anti-graft commission has taken into custody Chris Ezem, who stood as surety for the Fidelity Bank boss.
YOU CAN ALSO READ: http://globalfinancialdigest.com/2018/12/12/nigerias-anti-graft-agency-efcc-may-declare-fidelity-bank-ceo-wanted/

A report by an online news portal, Premium Times claimed that the chief executive of Fidelity Bank, Okonkwo has jumped the administrative bail granted him by the commission.

Ezem was arrested by EFCC operatives on Wednesday after Okonkwo failed to report to the commission’s office, the report disclosed.

“The [Fidelity Bank] CEO failed to report to be served his charges,” Premium Times quoted a source at the EFCC who declined to be named because he was not authorised to speak on the matter.

Okonkwo is facing a 14-count charge of conspiracy and money laundering alongside a former director at First Bank, Dauda Lawal, before a federal judge.
According to the EFCC, the suspects alongside Lanre Adesanya and Stanley Lawson, conspired with former petroleum minister, Diezani Alison-Madueke, to conceal $153 million in 2015.
The anti-graft agency often grants administrative bail to suspects who are being investigated and requires them to physically report periodically to the commission’s office.
A suspect is deemed to have jumped administrative bail if the person fails to physically present himself/herself on any of the agreed times.
“The implication is that the surety will be charged to court,” the source continued.
“And at the next adjourned date, if he (Okonkwo) still has not reported to the commission, they can get a bench warrant and declare him wanted.”
When contacted, Tony Orilade, the EFCC acting spokesperson, confirmed the development saying the surety would be charged to court if Okonkwo fails to produce himself.

“The person he (Mr Ezem) stood bail for has disappeared and all efforts to invite him… he has refused to honour the invitation extended to him,” Orilade told PREMIUM TIMES Wednesday night.
“It is important for Nigerians to know the implication of standing as surety for anybody.”
On Monday, when the matter came up at the Lagos Division of the Federal High Court, Mr Okonkwo was absent in court.
He was also not represented by a lawyer.
The matter was thereafter adjourned till December 14 to enable the to EFCC serve the charge sheet to all the defendants.
“It is important for Nigerians to know the implication of standing as surety for anybody.”
On Monday, when the matter came up at the Lagos Division of the Federal High Court, Okonkwo was absent in court.
He was also not represented by a lawyer.
The matter was thereafter adjourned till December 14 to enable the to EFCC serve the charge sheet to all the defendants.

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Nigerian Senate Confirms Keyamo As NDIC Director

Nigerian Senate on Wednesday confirmed the appointment of Ronke Sokefun as Chairman of the Board of the Nigerian Deposit Insurance Corporation.
Other members of the board include President Buhari campaign organisation spokesman Festus Keyamo, Garba Bello, Josef O. J. Okoloagu, Mustapha Adewale Mudashiru, Adewale W. Adeleke.
The appointments of other members of the board were also confirmed after the presentation of the report of the Committee on Banking, Insurance and other Financial Institutions by Senator Rafiu Ibrahim.
The Deputy Senate President, Ike Ekweremadu, charged the newly confirmed board of the NDIC to live up to expectations.
He said, “This is a very serious agency and as such, I congratulate the chairman and members on their confirmation and I do hope that these very responsible Nigerians will live up to the expectations of this Senate and serve their Fatherland responsibly.”

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How Nigerians Spend 1 Trn Naira Yearly On Foreign Education

Professor Oye Ibidapo-Obe, the Pro Chancellor, Crawford University has said that Nigerians were spending a whopping one trillion naira yearly to pursue university education abroad.
Ibidapo-Obe, a former Vice-Chancellor, University of Lagos (UNILAG), made the revelation in his address at the 10th Convocation of the faith-based Crawford University, Igbesa, Ogun.
Crawford is a private Christian university established in 2005 by the Apostolic Faith Mission.
Ibidapo-Obe said that it was pertinent for the country to look into how education policymakers would encourage private universities to bring out their best.
“The advent of private universities in our nation some 20 years ago opens to us great possibility of providing greater and even more qualitative access to higher education.
“With the recent, very encouraging development from these new entrants, we can see that we are entering into a new era of quite exciting competition between the private higher education providers and the public institutions.
“With this scenario, the most discerning of the education policy-makers should reason that private varsities need to be encouraged to bring out their best in this regards.
“In addition, this move by government will make these private universities more efficient and attractive to Nigerians that are annually sending their wards to foreign universities at the cost of N1 trillion every year,” he said.
Ibidapo-Obe, suggested that government could establish an Education Bank to provide a single digit interest for the private and public universities to draw funds.
“Many of us have suggested the establishment of an Education Bank that will help to provide credit at a single digit interest and support through the Federal Government’s special grants to encourage excellence.
“While setting up the infrastructure for this may take a little time, the government can utilise the Tertiary Education Trust Fund (TETFUND).
“Many have argued that using some competitive criteria that will test their degree of compliance to certain standards, winners can be singled out and given supervised grants to carry out particular projects.
“The news of such development will help to bring the particular institution to public view and the entire private providers to the limelight.
“The implementation of this kind of policy will help to bring greater competition and efficiency across the two camps of public and private-funded universities,” he said.

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Ivory Coast Farmers Say Dry Winds Could Impact Cocoa Quality

Below-average rainfall in most of Ivory Coast’s cocoa growing regions last week could reduce the quality of beans harvested at the end of the October-to-March main crop, farmers said on Monday.
Ivory Coast, the world’s top cocoa producer, is in its dry season, which runs from November to late February. Dry, dusty Harmattan winds sweep in sand from the Sahara, which can ravage cocoa pods and sap soil moisture, leading to smaller beans.
But farmers said they feared the Harmattan - which is currently in northern Ivory Coast - would hit their cocoa fields sooner than expected.
Although plenty of beans were currently leaving the plantations, harvests would start slowing by the end of this year, the farmers said.
In the centre-western region of Daloa, which produces a quarter of national output, farmers said they needed more rain to boost their crops.
“One shower per week until the end of the month, that would be ideal. But if we get two big showers (per week), small pods will be ripe by February and March,” said Raphael Kouame, who farms in the outskirts of Daloa.
Data collected by Reuters showed that rainfall in the region of Daloa, which includes the town of Bouafle, was 2.3 millimetres (mm) last week, half the five-year average.
In the western region of Soubre, at the heart of the cocoa belt, farmers said they hoped for some rain and a mild Harmattan to ensure the size of beans in February and March.
“The trees already have pods for January. We need the dry season to be less intense to yield high-quality beans at the end of the main crop,” said Salame Kone, who farms near Soubre.
Rainfall in Soubre, which includes the towns of Sassandra and San Pedro, was 5.6 mm last week, 7.2 mm below the five-year average.
Farmers in other cocoa growing regions gave a similar outlook.
Rains were below average in the southern region of Divo, in the central regions of Bongouanou and Yamoussoukro, in the eastern region of Abengourou and in the western region of Man.
Only the southern region of Agboville saw 14.4 mm of rainfall, 3.1 mm above average,
Average temperatures in the cocoa growing regions ranged from 26.35 to 29.12 degrees Celsius.

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KPMG South Africa Apologizes For Scandals, Seeks Second Chance

KPMG LLP, the auditor that shed clients and staff after scandals in South Africa, apologizes for its “misdeeds” and wants a second chance to reestablish its business in the country, Chairman Wiseman Nkuhlu said.
The firm, one of the so-called big four global auditing companies, confessed to publishing a misleading report on the South African Revenue Service that led to a police probe of a former finance minister, did work for the Gupta family who have been implicated in corruption scandals linked to former president Jacob Zuma, and acted as an auditor for a bank that collapsed due to alleged fraud. Its eight top staff resigned in September 2017, some of the biggest companies in South Africa have replaced it as their auditors and in June it said its workforce had shrunk to 2,200 from 3,400.
“KPMG had made a lot of serious mistakes and lost the trust of the public and clients,” Nkuhlu said in an advertisement placed in South Africa’s Sunday Times newspaper. “We had lost sight of our responsibility to serve the broader public interest.”

The company is one of a number of international firms that have apologized for their conduct during the nine-year rule of Zuma, which ended in February, during which time corruption at state companies became endemic. Bain & Co. has started an independent probe into its own work for South Africa’s tax service, while McKinsey & Co. and SAP SE have accepted responsibility for improper work done for state-owned companies.

“We know we made mistakes and we will accept responsibility, as appropriate, for our misdeeds,” Nkuhlu said. “In return, I would like to make an appeal to South Africa business, government and the public. An appeal for your recognition that KPMG South Africa is today a very different business to what it was 18 months ago.”
The company, which has lost clients including Barclays Africa Group Ltd.and Dimension Data Plc, is seeking to win back trust, he said.
We “appeal for your permission, for KPMG South Africa and the thousands of South Africans who work for it, to continue to play a positive role in the business community and the life of the nation,” he said.

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Nigeria's GDP Grew 1.81 Pct In Q3, Driven By Non-Oil Sector

Nigeria’s economy grew 1.81 percent in the third quarter of 2018 from a year earlier, pushed higher by the non-oil sector, the National Bureau of Statistics (NBS) said on Monday.
The figures are a slight improvement from the previous quarter, when a slowdown in growth sparked fears that Africa’s biggest oil producer might enter recession for the second time in three years.
The NBS said in the second quarter of 2018, the GDP grew by 1.50 per cent in real terms to 16.58 trillion naira.
But a sluggish recovery since 2017 could bode poorly for President Muhammadu Buhari, who is seeking a second term in February 2019 elections and for whom economic rejuvenation has been a key pillar of policy.
The non-oil sector grew 2.32 percent in the third quarter, the NBS said, adding that information and communication services were the main driver of the expansion.
Oil production rose slightly to 1.94 million barrels per day (mbpd) in the period, from 1.84 mbpd in the previous quarter, yet the sector’s growth contracted 2.91 percent from the previous year when production was at 2.02 mbpd, the statistics office said.

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Nigeria's Central Bank To Create Window For Young Entrepreneurs To Access Loans

Nigeria's central bank in conjunction with the Bankers’ Committee has set up a committee to create a strategy that will stimulate lending in the domestic economy.
Godwin Emefiele, Central Bank of Nigeria (CBN) governor broke the news yesterday at the end of the 10th Annual Bankers’ Committee retreat in Lagos.
The committee is to ensure that lenders deploy key intervention funds, including the 210 billion naira Small and Medium Enterprises (SMEs) fund, 60 billion naira SMEs fund from five per cent annual contribution from banks’ profits, 500 billion naira Export Stimulation Fund, among others, to promote credit access.
Emefiele said the move was to find ways to improve access to credit by Nigerians, especially the youths.
The CBN boss also said that where the need arises, the youths may be asked to deposit their National Youth Service Corps (NYSC) discharge certificates, degree certificates with the banks as collateral to enable them have access to the loans.
“We need to create a strategy that makes it easy for businesses to access credit. That will also make it easy for the nation to earn foreign exchange and that is why we will be setting up the committee headed by bank CEOs.”
According to him, the CBN and the Bankers’ Committee have been working closely to ensure that youths, who are doing well in the entertainment industry, information technology and software development, get access to credit.
He said the planned take-off of the National Microfinance Bank is meant to help in the disbursement of the intervention funds to borrowers.
“The National Microfinance Bank is expected to make it easier for borrowers to access loans. We want to create independent challenges from where the funds will go out from. The Microfinance banks are doing their best but they are not lending at single-digit interest rate,” he said.
According to him, the borrowers under the new arrangement will pay back to enable others benefit.
“We will make it easy for the youths to access the loans. They will work under the co-operative/ cluster arrangement to ensure they payback.
“Improving access to finance and addressing infrastructural impediments faced by companies geared towards the export market will confer strong benefits on the economy.
“First, it will enable firms to expand their capacity, as they seek to serve a larger external market. It will also help foster inclusive growth in the economy. As you may know, the oil and gas sector currently accounts for one per cent of total employment in the country.”
He said the drop in Nigeria’s export earnings arose from reliance on crude oil, which exposed the fragility of the country’s domestic economy in 2016.
He said the development reinforced the view within the CBN and Bankers’ committee on the need to revise the country’s growth strategy as a nation.
“At certain points in our nation’s history, non-oil export represented over 90 per cent of our foreign exchange earnings. In the 60’s Nigeria was a major exporter of cocoa, palm oil, cotton, groundnut, rubber, hides and skins.
“With the discovery of crude oil, Nigeria began to rely more on oil exports as a major source of its foreign exchange, and its share of non-oil export witnessed a precipitous decline.”
The CBN boss said that the banks needed to support the economy by lending to promote economic growth.
“We need to move money to the real sector and make credit available to those at the grassroots to foster sustainable economic growth,” he said.

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