SEC Bars Oando Boss Tinubu From Being Director Of Public Firm For 5-year

Nigeria’s capital market regulator, the Securities and Exchange Commission (SEC) has barred the chief executive of Oando Plc, Wale Tinubu and his deputy Omamofe Boyo from being directors of public companies for a period of five years,

According to a statement by the regulator, its investigations into the operations of the energy company has found the two principal officers of the company wanting in serious infractions.
“The findings from the report revealed serious infractions such as false disclosures, market abuses, misstatements in financial statements, internal control failures, and corporate governance lapses stemming from poor board oversight, irregular approval of directors’ remuneration, unjustified disbursements to directors and management of the company, related party transactions not conducted at arm’s length, amongst others,” SEC said in the statement.
SEC also directed that the rwo principal officers should quit their position in the company and also resign their board members as well.
Other recommendations released by the regulator include * Resignation of the affected Board members of Oando Plc,
* The convening of an Extra-Ordinary General Meeting on or before July 1, 2019, to appoint new directors,
* Payment of monetary penalties by the company and affected individuals and directors,
* Refund of improperly disbursed remuneration by the affected Board members to the company,
* Bar of the Group Chief Executive Officer (GCEO) and the Deputy Group Chief Executive Officer (DGCEO) of Oando Plc from being directors of public companies for a period of five (5) years.
“The Commission would refer all issues with possible criminality to the appropriate criminal prosecuting authorities. In addition, other aspects of the findings would be referred to the Nigerian Stock Exchange (NSE), Federal Inland Revenue Service (FIRS), and the Corporate Affairs Commission (CAC).
“The Commission is confident that with the implementation of the above directives and introduction of some remedial measures, such unwholesome practices by public companies would be significantly reduced,” the regulator said.
SEC commenced an investigation into the operations of Oando in 2017 following petitions from two shareholders, who alleged infraction of the country’s capital market law by the company and its two principal officers.

Read More

Why Gbajabiamila Is President Buhari's Choice For Speaker ~El-Rufai

Kaduna State Governor, Nasir El Rufai has revealed the reason behind President MohammaduBuhari's support for Femi Gbajabiamila as the next speaker of the House of Representatives.

According to the governor, long before Buhari became president he has been watching Gbajabiamila's dedication and contributions on the floor of the lower chamber and convinced about his choice as the speaker.
He said people might not know but Gbajabiamila was not Asiwaju Ahmed Tinubu’s projects but President Bihari’s.
“It’s a misconception that Gbajabiamila is Asiwaju’s project, no because it was President Buhari himself that has always observed Femi in the House.
“Even before he became President, he read newspapers and watch television and he followed Gbajabiamila, his dedication and contributions on the floor and he said this time around I want Femi.
“I’m sure Asiwaju is happy but this is not his project, he is not the one that zeroed in on him.
“The President told me himself and when I asked him that I heard this story about Gbajabiamila and he told me his reasons.
“At Governor’s Forum, people raised voices but I told them that as governors, we sometimes impose, I am not a hypocrite.
“So I say to them, don’t let us condemn the President for picking people he feels comfortable working with.
“I don’t care who the President wants to work with but in my State, I am very interested
“So, I told the President he has to be involved in this project and I said if he allows, me I’ll talk to people and get involved and I demand to get you involved too”.

El-Rufai spoke while receiving 121 members-elect, who were on consultation tour of Northwest on Friday at the Government House chamber in Kaduna.
He said he would give his last effort to ensure that the project came to fruition with no contest on 11th June by convincing fellow governors, members of the National Assembly as well as Umaru Bago who is also contesting for the same position.
He said having made up his mind to support the President’s wish, he discovered his first barrier to the Idris Wase, who was also contesting for the same position
“The first obstacle I have to face was that Wase is the biggest threat, so I reached out to him and took him to the President.
“The President told him he has already decided on Femi and he gave his reasons.
“Wase replied though he was sure he has a big chance of winning but as his elder and President, the President’s request is done.
“I reached out to my fellow Governors and I’m talking to Bago as well and by the grace of God by 11th there won’t be any contest. We will do our best.
“I have also told my elected colleagues in Kaduna state that this is Buhari’s State, and we will do 100 per cent what he wants.
He, however, urged Gbajabiamila and Wase not to be drawn into ethno-religeous controversy, saying, “Please do not allow people to draw you into religion or ethnic controversy”.
Earlier, Gbajabiamila, who said the appreciation visit was strategic because of the governor has been doing for the project added that the team is rainbow coalition of several parties because of the vision of nation building being a joint task.
He said it might be difficult for some people to understand that he and El Rufai came a long way, which was why some statements credited to him were twisted.
“His Excellency has to fly to Lagos to launch a book for me during my 50th birthday.”
“When governor Fashola was leaving, he also made a case for me to the powers that be for me to be the governor after Fashola.
“It is our intention to take the legislature to the next level.,” he told the governor.

Read More

MTN Nigeria unveils Yello Digital Financial Service As Tts Mobile Money Operators

MTN Nigeria Plc said it has registered a wholly owned entity to carry out mobile financial services across the country.

In its first financial report submitted to the Nigerian Stock Exchange (NSE) as a quoted company, MTN said it has incorporated a company known as Yello Digital Financial Services to play in the fintech industry in the country.
However, the telecoms firm said the new company is yet to commence operations but did not disclose if it has been granted banking licence by the country regulatory bank.
MTN Nigeria, which was listed on the Premium board of the NSE two weeks ago had disclosed last year that it intends to play in the Nigerian financial service industry this year.
"We will be applying for a payment service banking licence in Nigeria in the next month or so, and if all goes according to plan, we will also be launching Mobile Money in Nigeria probably around Q2 of 2019," the company group chief executive Rob Shuter told a conference last year.
MTN is Nigeria’s biggest mobile phone network serving over 56 million people across the country.
The Central Bank of Nigeria (CBN) is yet to announce the licencing of any telecoms firm as a player in the country's fintech industry.
But many Nigerian commercial lenders are already interfacing with some mobile firms to carry out mobile banking across some spectrums.
The company said it earned a total revenue of 1.03 trillion last year, up 17.13 percent against the total revenue generated in the corresponding period of 2017.
it generated a whopping 676.36 billion naira from airtime and subscription up from the restated 556.57 billion naira 2017.

Read More

Court Nulifies Gwarzo, SEC DG's Suspension, Orders His Reinstatement

The National Industrial Court, Abuja has ordered the immediate reinstatement of Mounir Gwarzo, the suspended Director-General of the Securities and Exchange Commission (SEC), back to his position.
Justice Sanusi Kado, in his judgment, held that the Minister of finance, named as second defendant in the suit lacked the power to suspend the claimant.

Kado, who dismissed three issues raised by defence counsel through their preliminary objection, ruled that the the suit was not status barred.
He held that since there was cause of action in the claimant’s suit, hence he (claimant) had the right to commence the suit by way of originating summon.
Kado further held that the issue in dispute was not about the position of the claimant as the DG of the Commission, but that the bone of contention was who had the power to suspend him.
The judge held that the second defendant ( Minister of Finance) did not have the power to suspend the claimant since he was not an employee of the commission.
He said that the Minister, in the absence of the board, only had supervisory power, which does not include disciplinary power to suspend the DG.
Kado held that it was only the Permanent Secretary in the of Ministry of Finance, on the directive of the president, who had the power of suspension.
For emphasis he said, “the minister’s role was that of recommendation.”
Kado in addition said the Administrative Panel of Inquiry that indicted the claimant was not a court of law neither was it a quasi-judicial body, but just a body set up for a fact finding duty.
He therefore declared that the suspension of the claimant was null, void and of no effect.
Kado also declared that the recommendation of the Administrative Panel of Inquiry set up by the second defendant, be set aside.
The judge then ordered the reinstatement of the claimant as the DG of SEC to complete his five year tenure.
He further ordered that the claimant’s salaries, allowances and entitlements accrued be paid to him in full.
In 2017, former finance minister, Mrs Kemi Adeosun had suspended Gwarzo and set up an administrative panel of inquiry to investigate allegations of financial impropriety against him.
Gwazor was accused of collecting severance package worth 104.85 million naira while still in service in violation of the civil service rules.
The minister said Gwarzo was suspended from office to allow for an unhindered investigation.
The ex-SEC DG, however, in June, 2018 approached the court to challenge his suspension.
He sought for various reliefs from the defendant amongst which was an order of the court reinstating him as the DG of the Commission.
He also sought for an order of the court for the payment of all his entitlements, emoluments, allowances and other perquisites of the office of DG of SEC for the entire period he was under suspension.
Also, the Independent Corrupt Practices and Other Related Offences Commission (ICPC) had charged Gwarzo with an Executive Commissioner in the commission, Zakawanu Garuba court on a five-count charge of alleged misappropriation to the tune of about 115 million naira and conferment of corrupt advantage on a public officer.
Justice Hussein Baba Yusuf of FCT High Court, Maitama however, on April,16 discharged Gwarzo of the alleged charge.

Read More

Nigerians Became Poorer Under Buhari Govt – The Economist

More Nigerians slipped below the poverty line in the first term reign of President Muhammadu Buhari, the influential financial magazine The Economist has said in its latest report on the country. 

According to the magazine, Nigerians became poorer during the president's first four years in office.
The magazine wrote that while the Nigerian economy was “stuck like a stranded truck,” average incomes fell during the four-year period covering 2015 to 2019.

“The Nigerian economy is stuck like a stranded truck. Average incomes have been falling for four years; the IMF thinks they will not rise for at least another six (years).
“The latest figures put unemployment at 23 percent, after growing for 15 consecutive quarters.
“Some 94 million people live on less than $1.90 a day, more than in any other country, and the number is swelling.
“By 2030, a quarter of very poor people will be Nigerians, predicts the World Data Lab, which counts such things.”
The report said the naira was overvalued, adding that this was because the government had spent decades neglecting basic public goods such as roads, schools and electricity.
It said, “Where urgency is needed, Mr Buhari offers only caution. Few are holding their breath for any more drive in his second term, which began on May 29th.

“Yet officials are postponing a crisis, not averting one. Consider borrowing. The debt-to-GDP ratio is 28 percent, but Nigeria collects so little in tax that interest payments swallow about 60 percent of federal revenues.”
The Economist said that public finances would be healthier if the government raised the price of fuel, which is imported by the Nigeria National Petroleum Corporation (NNPC) and sold on at a loss.
Last year, subsidy was worth at least 0.5 percent of the GDP, noting that this was almost what the government spent on health care.
“Politicians are scared to end the subsidy. An attempt to do so in 2012 led to massive protests.
“Although the government has expanded the school-feeding programme and is working on a safety net for the poor, most citizens get few benefits from the state,” it added.
For Nigeria to prosper, it said the government should harness the potential of its 200 million citizens.
It said currently, the citizens were ignored except when politicians needed votes.

Read More

World Bank Grants Kenya $750 Mln Facility To Support Agric, Housing

The World Bank has extended a $750 million credit facility to Kenya to help the east African country focused mainly on support for agriculture and housing.

For the first time in years the World Bank is putting cash straight into the Treasury to be used at the discretion of the government, a source with knowledge of the issue said on Tuesday.
The East African nation has multiple development funding programmes, worth billions of dollars, with the Washington-based lender, but for years the funding bypassed the Treasury and is usually channelled straight into the projects.
“Measures supported by this ... are expected to benefit ordinary Kenyans through better targeting of agricultural subsidies to reach low-income farmers, (and)... increasing availability of affordable housing,” Felipe Jaramillo, World Bank Country Director for Kenya, said.
The World Bank said some of the funds will also go toward helping the creation of a digital national identification system.
The loan, which comes under the bank’s Development Policy Operations, is designed to support the government’s policy and institutional reforms and help make economic growth more inclusive.
“We expect that this operation will help to reduce bid rigging in government procurement thereby leading to fiscal savings and more resources for developmental purposes,” the World Bank said.
Kenya raised $2.1 billion in a sovereign bond this month, but some critics have expressed concerns over the country’s growing debt burden.
There has been a rise in government borrowing since President Uhuru Kenyatta came to power in 2013 - a jump that some politicians and economists say is saddling future generations with too much debt.
Kenya’s public debt as a percentage of gross domestic product (GDP) has increased to 55% from 42% when Kenyatta took over. The government has defended the increased borrowing, saying the country must invest in its infrastructure, including roads and railways.
Typically, World Bank concessional loans have zero or very low-interest rates and have repayments periods of 25 to 40 years, with a five- or 10-year grace period.

Read More

Nigeria's Access Bank Plans To Repay $400 Mln Eurobond Ahead Of 2021 Maturity

Nigeria's Access Bank plans an early redemption of the $400 million Eurobond issued in 2014 ahead of the June 2021 maturity date, the lender said in a regulatory filing on Thursday.
The bank had raised the $400 million 7-year debt note at 9.25 percent interest in 2014 to strengthen its operations.
According to the filing posted on the Nigerian Stock Exchange (NSE) website on Thursday, the bank expressed its intention to pay off investors with accrued interest on June 24, this year, a clear two-year ahead of the maturity date of the debt note.

“Access Bank hereby notifies the Nigerian Stock Exchange (NSE) and the public that it intends to exercise its option to redeem the $400 million subordinated unsecured notes at a fixed rate of 9.25 percent, due 2021," the lender said in the regulatory filing.
“The $400 million subordinated bonds, issued in June 2014 by Access Bank Plc, will be redeemed on June 24, 2019, with accrued interest.
“Following such redemption, the bonds will be canceled and there will be no bonds outstanding.
“The issuer intends to complete any formalities relating to the delisting of the bonds from the regulated market of the Irish Stock Exchange as soon as possible.”
The bank had raised the fund in 2014 as part of its larger $1 billion global medium-term note programme.
The lender said then that the proceeds of the debt would be used to enhance its working capital, lending to investment-grade names, especially Nigerian companies seeking to expand their exports”.

Read More

High Expectations As African Continental Free Trade Agreement Takes-Off

As the new continent-wide free trade agreement comes into force today (May 30), many African countries will take a big step towards tackling entrenched economic problems including a dearth of intra-regional trade.

Proponents of the African Continental Free Trade Agreement (AfCFTA) say it has the potential to boost economic growth on a continent of 55 nations with a combined gross domestic product of more than $3 trillion and a young, expanding population.
But huge obstacles remain to implementation, not least that the deal is a basic framework that will lack teeth until many crucial details are worked out. One of the agreement’s architects, Carlos Lopes, says it could take at least three years before the final agreement is implemented.
Members are now starting to iron out specific details around rules of origin, intellectual property and dispute mechanisms.
“[There’s] proof of momentum, proof of ambition and proof of speed,” says Mr Lopes, the former head of the UN Economic Commission for Africa (Uneca). “That said, it’s still a very weak agreement that needs a lot of work.”
AfCFTA is meant to eliminate 90 per cent of tariffs and create a single market with free movement of goods and services. Fifty-two countries have signed up though Nigeria, Africa’s largest economy, is holding out under pressure from its powerful manufacturers’ lobby and labour groups.
Eight active and overlapping regional trading blocs will also need to be harmonised. “What we are telling member states is that if you look at the history of the African economies, they are small and they are fragmented,” said Albert Muchanga, the African Union’s trade commissioner.
This is one of the central barriers to growth that AfCFTA seeks to eliminate. Here are some of the central challenges the agreement seeks to address: Trade between African nations trails nearly all regional blocs With its vast distances, poor road and freight connections, and cumbersome border procedures, trade between African countries lags behind most other regions in the world.
Though trade within the region has grown since the turn of the millennium, Africa beats only South America’s Mercosur when it comes to intraregional trade.
AfCFTA’s backers say it will move Africa closer to Asean’s level so that trade can flourish across the continent. But some in the business community are skeptical of the political will among governments. “Even if it happens, it will never be translated into reality — there will never be such a thing as a free-trade zone,” said Karim Tazi, the owner of Richbond, a Moroccan manufacturing group with investments in Ivory Coast and Kenya.
“For a trade agreement to really work you need governments to want to implement them. They will have to be willing to forgo customs revenue and the logistics will have to be put in place.”

Read More

Ecobank Chief Seeks Framework To Resolve Huge Industry's NPLs

Nigerian banks are facing tremendous financial pressure as the industry Non-Performing Loans (NPLs) mount daily, Ecobank Group Chairman has said.

Emmanuel Ikazoboh who led a delegation of the bank's top management to visit President Mohammadu Buhari in Abuja said the major problems confronting commercial lenders are the issues of recalcitrant debtors who took loans from banks and refused to pay back.
"We have a number of debtors both corporate and individuals, and we need to put in place a framework to ensure that people do not just take loans and not pay back," He said.
He canvassed that a framework to be put in place to ensure that people do not just borrow from the industry with the intention not to pay back.
"Banks are under pressure because if you have a lot of unpaid loans, it means you don't have enough money to also support other borrowings or other small and medium enterprises.”
Nigerian banks are currently reeking under the yoke of huge NPLs, put at over 8 trillion naira by the regulatory bank.
The Assets Management Company of Nigeria (AMCON), which acquired the industry bad assets in the wake of the banking crisis in 2009, has also been burden with huge unpaid debts by recalcitrant debtors that are no longer willing to pay back.
On what the bank was doing to support SMEs in the country, Ikazoboh said, “we've improved the capital of Ecobank in Nigeria. In the last six months, we have brought in about $150 million all to drive borrowings and supporting the small and medium enterprises.”
The bank also wants the government to decongest the road leading to the country's main seaport and rebuilding of the transnational Lagos-Badagry-Seme road.
"We are talking about the Seme road because of West African trade route which we think should be given some priority," the bank chief said.
In his responses, President Buhari urged the bank institute a special fund to develop agriculture, which will cement its legacy as a bank that helped to transform this region's economic fortunes.
On requests by the bank for the decongestion of Apapa ports, and rebuilding of the transnational Lagos-Badagry-Seme road, he responded: "We are aware and are working in all those areas, and by the grace of God, you will start seeing results during my second term in office."

Read More

President Buhari Says Has No New Houses, Shares In Four Years

President Muhammadu Buhari, who took the oath of office for a second term as civilian leader said that he has not acquired any new house nor shares during his first tenure of four years in office.
According to the assets declaration form submitted to the Code of Conduct Bureau on Tuesday, the president said he has not added any new property to the assets he declared in 2015 when he began his first term.
By constitutional provisions, the declaration is mandatorily to precede his oath-taking today.
“The duly completed forms were submitted to the Chairman of the CCB, Prof Mohammed Isa, on behalf of the President by Sarki Abba, Senior Special Assistant, Household and Domestic Affairs”, the Presidency said last night in a statement by Buhari’s Senior Special Assistant on Media and Publicity, Garba Shehu.
“The forms, as signed by the President and sworn to before a Judge of Abuja High Court, showed no significant changes in assets as declared in 2015 by him.
“There are no new houses, no new bank accounts at home and abroad and there are no new shares acquired.
“The chairman of the CCB commended the President for leading by example by declaring his assets in accordance with the law.”
Buhari in 2015, through a statement by Shehu, mentioned the assets he had declared at the CCB before assuming office.
On the list released in September 2015, Buhari stated that he had 30 million naira in his bank account before he assumed office in May of that year.
In addition to owning 270 cows, 25 sheep, five horses, birds and economic trees, there were five houses in Kaduna, Daura, Kano and Abuja. He said the Daura houses were made of “mud.”
He also owned a plot of land each in Port Harcourt and Kano; farms, an orchard and some cars.
The President operated an account with Union Bank, but the statement said he neither owned a foreign account nor any company/factory.
Among the property declared were shares in Berger Paints, Union Bank and Skye Bank.
The Presidency had said further, “The retired general uses a number of cars, two of which he bought from his savings and the others supplied to him by the Federal Government in his capacity as a former Head of State.
“The rest were donated to him by well-wishers after his jeep was damaged in a Boko Haram bomb attack on his convoy in July 2014.”
For Vice-President Yemi Osinbajo, the Presidency stated that he had, “A bank balance of about 94 million naira and $900,000 in his bank accounts.”
The houses owned by Osinbajo back then were listed as “four-bedroomed residence on Victoria Garden City, Lagos, and a three-bedroom flat on 2, Mosley Road, Ikoyi; two-bedroom flat on Redemption Camp along Lagos-Ibadan Expressway and a 2-bedroom mortgaged property in Bedford, England.”
“Apart from his law firm, known as SimmonsCooper, the vice-president also declared shareholding in six private companies based in Lagos, including Octogenerium Limited, Windsor Grant Limited, Tarapolsa, Vistorion Limited, Aviva Limited and MTN Nigeria.”

Read More

Nigeria Sets To Sell 20% of Oil Assets To Fund 2019 Budget

Nigeria plans to sell 20 percent of its stake in petroleum joint venture as part of measures to reduce the burden of sourcing for finance to fund its portion of the joint venture while raising money to fund its 2019 budget.

Africa's biggest oil producer currently maintain a 60 percent stake in joint oil venture with some International Oil companies (IOCs).
In a document released by the government on Tuesday, Nigeria will reduce all shares in joint venture oil assets to 40 percent in the 2019 fiscal year.
Apart from Royal Dutch Shell that has 45/55 percent shares its joint venture with Nigeria, others maintain 40/60 percent ratio stakes in the joint venture partnership.
Other oil majors oil firms in joint venture partnership Nigeria including Chevron and ExxonMobil, while the state-run oil firm Nigerian National Petroleum Corporation (NNPC) hold Nigeria shares on behalf of the country.
As part of measure to fund this year's budget, the government of President Mohammadu Buhari has proposed to reduce all joints venture assets to raise money to fund infrastructure development in the country and offsets budget deficits.
Two years ago, the government had proposed to restructure its equity in the JV oil assets and said the proceeds would be reinvested in other assets.
However, over the years the plans did not materialise due to political pressure from various interest group who are opposed to the move by the government.
Nigeria’s relationship with its energy partners has been fraught for decades, with the government struggling to pay for its share of oil production costs.
The government has maintained, too, that existing contracts are unfair to the state and have called for improved terms.
The state has also pushed regulators to collect back taxes owed by international oil companies. “Nigeria is looking for money but selling assets under pressure isn’t really the best way to get value for money Cheta Nwanze, head of research at Lagos-based consultancy SBM Intelligence said.
He said that selling their oil stakes would be complicated and wondered whether the government would be able to follow through with its pledge.
Gail Anderson at energy consultancy WoodMackenzie said as the state already received 90 percent of the sale of each barrel produced in taxes and royalties, the move to reduce the government share of each venture would only alleviate the burden of initial operating costs.

Read More

Nigeria Committed To Economic Diversification, Says Osinbajo

Nigeria is determined to diversifying the country's economy through the establishment of special economic zones, investment in the agricultural sector and partnership with the Brazilian government under the Green Imperative initiative.

According to Vice President Yemi Osinbajo, the government has set out to ensure the diversifications of the economy away from oil.
“So, our special economic zones in all the six geopolitical zones, starting from the Enyimba economic city; the Lagos economic zone, which is in Lekki; as well as the Funtua cotton zone, industrial zones that we know will bring the type of investments that we expect to see and also bring in a significant number of jobs.”
The Vice President, whos spoke during his visit to Gombe state said the same thing was being done in the agro-allied value chain to ensure that the country was “self-sufficient in several agricultural products”.
“We also have worked out a partnership with the Brazilians in the agro-industrial sector so that we are opening several service centres. In the centres there will be implements and equipment and the technology required. We intend to open up one centre in every Local Government Area in the country,” the Vice President added.
On the projects executed by the Dankwambo-led administration in Gombe State, the Vice President said “several of the projects are critical and important developmental projects” for which the Governor deserves commendations.
The projects commissioned by the Vice President during his one-day visit to the state include the Gombe International Conference Centre, the New City Gate, the Petroleum Tankers Bay, the Tunfure road and the Bauchi Motor Park road, all in Gombe town.

Read More

Nigeria FIRS To Spend 1.24 Bln On Security, Drivers' Uniform, Refreshment

The Federal Inland Revenue Service (FIRS) plans to spend a total of 1.24 billion naira on uniforms for its drivers, security votes and entertainment in the course of 2019 fiscal year, its chairman has disclosed.

A breakdown of the proposed budget for the tax-collecting agency showed that it plans to spend 160 million naira on uniforms for its drivers, and 250 million naira for security vote and 825 million for refreshment in 2019 fiscal year,
Babatunde Fowler said the amount earmarked for uniforms for the service's drivers was part of efforts to make them fit properly into the structure.
He also disclosed that FIRS will be spending 825 million naira for refreshment in the 2019 fiscal year.
He spoke while defending the service budget before the National Assembly joint committee, which quarried the drop in the projected non-oil revenue tax collection for the year.
The committee had raised concern over the 4.75 percent drop in the estimate of non-oil revenue to be collected by the service this year.Fowler said the amount earmarked for security vote was meant to attend to some security issues, particularly those not receipted for.
“The achievement of 2019 budget will be driven by increase oil and non-oil revenue tax collection. “The service in realisation of this responsibility and challenges of doing manual collection will continue to implement automated tax collection for the critical sectors of the economy notably telecommunications, airlines, and financial institutions.
“The deployment of these platforms is at no cost to the service and the consultants will only be rewarded on increased revenue generation.
“There will be increased enforcement activities nationwide to bring more taxpayers into the tax net and increase compliance level,’’ Fowler said.
The joint committee of the National Assembly has raised issues on personnel cost proposed for 2019 by FIRS in its budget.
The committee asked why the service was proposing 14.6 percent increase in number of staff from 7, 854 in 2018 to 9,000 staff in 2019.
Fowler said the proposed increase in staff strength was due to recruitment of staff scheduled in 2019.

Read More

Airtel Considering Listing On Nigeria Bourse, Plans London Share Sale

Nigeria's unit Bharti Airtel Ltd is considering listing on the Nigerian Stock Exchange (NSE) but after its Africa unit concludes a proposed Initial Public Offering (IPO) in London.

The continent second-biggest wireless carrier aimed to raise fund on the London Market to help reduce debt and strengthen its network.
The offer by the wireless carrier on the London Stock Exchange would comprise new shares and the sale would seek a free float of at least 25 percent, the company said Tuesday in a filing.
JP Morgan Securities Plc is sole sponsor for the planned sale, according to the statement. BofA Merrill Lynch, Citigroup and JP Morgan are joint global coordinators and bookrunners.
The business has operations in 14 African markets including Kenya, Tanzania, Nigeria and Ghana, according to Bharti Airtel’s latest annual report.
Bharti Airtel, backed by billionaire Sunil Mittal, has spent heavily to defend its position in India against disruptive upstart Reliance Jio Infocomm Ltd.
The sale of shares to the public could raise about $1 billion, people familiar with the matter said earlier this month. The London listing could be this month and aims to start trading in June, said the people, who asked not to be identified because the matter is private. Airtel Africa Ltd. already raised $1.25 billion last year from investors including Temasek Holdings Pte and SoftBank Group Corp., giving it an equity value of about $4.4 billion.

The local unit of South African telecoms giant MTN Nigeria listed on the NSE last week by introduction with a free float of about 20 billion shares at 90 naira per share.
MTN Nigeria Plc has since obtained a 200 billion syndicated loan from 7 mostly local financial institutions to further boost its operations in the continent biggest economy.
Although details of the planned listing of Airtel is not clear as at the time of this report, the company will become the second telecoms firm to list on the local bourse when the plan materialise.

Read More

Supreme Court Ruling On Zamfara Election, Oshiomhole Says APC 'II Take Case To God

Adams Oshiomhole has condemned the Supreme Court ruling which Upturned the All Progressives Congress (APC) electoral victory in Zamfara on grounds of technicality but said the party has taken its case to God.

The APC chairman, who spoke at the end of the party’s National Working Committee (NWC) meeting noted that the court judgment was an injustice to the people of the state.
“There is something I learnt from Lord Denning, a famous British Supreme Court Justice, that the law has to be interpreted taking into account the intention of the lawmakers and try to deliver justice in its purest form.
“So, there is no justice when on grounds of technicalities, you impose on the people of Zamfara, not just a man or a woman, but a whole party candidates from Governor to Senate and others that they didn’t elect.
“If the court thought we were wrong, justice would have demanded that we repeat, but you can not use technicalities because we are in a democracy.
“There is nothing democratic when the court imposing strangers to govern a people, but we understand that after the Supreme Court, we can only take our case to the Court of God, to that extent we must obey the Court,” he said.
He further maintained that what the APC got in Zamfara was a judgment that didn’t translate to justice, considering the way the people of the state voted for the party and its candidates.
A five-man panel of the Supreme Court justices, in a unanimous judgment on May 25, declared that the APC in Zamfara had no candidates in the 2019 general elections and therefore declared all the candidates of the main opposition as winners of the election.
This, it explained was because the party failed to conduct recognised primaries in accordance with party rules.
In the lead judgment by Justice Paul Galinji, the apex court held that all votes cast for the APC during the general elections in Zamfara were “wasted votes”.
On the votes cast for the APC at the elections which the court said were wasted votes, Oshiomhole recalled that at the time the votes were cast, a High Court had ruled that the party’s candidates were validly nominated.
He, however, declined comments when asked whether the party would sanction its members that took it to Court in Zamfara.

Read More

Government Rekindles Hope On Nigeria Air Take-Off, Allocates 47.4 Bln Naira For Operations

There were glints of hope that the dream of a national carrier, Nigeria Air will soon come to be as the government approved a 47.43 billion naira take-off grant for the airline this year, outgoing minister of aviation has disclosed.

“President Muhammadu Buhari directed that the viability gap funding for the project be provided for in the 2019 Appropriation which the National Assembly had graciously done.” Hadi Sirika said.
The outgoing minister of Transportation, Rotimi Amaechi, was recently misquoted in reports that the Federal Executive Council was divided over the mode of implementation of the national carrier project.
In November last year, Sirika told stakeholders at an aviation forum that a viability gap funding (VGF) of $155 million (47.43 billion naira) at the official exchange rate of N306 to a dollar) was required for the Nigeria Air project.
He said then that the VGF was in line with the outline business case that would enable the airline to start operations before the introduction of private equity funds.
A viability gap fund is a grant that is made available to finance the ongoing operations or future development of a project that is not currently provided by cash, equity or debt.
Projects that mostly enjoy such kind of funds are the ones with longer gestation periods.
Sirika insisted that FEC was not divided over the mode of implementation of the national carrier project.
Amaechi had stated at his valedictory press briefing in Abuja last Thursday that members of the federal cabinet had different beliefs and positions as regards the establishment of a national carrier for the country, but was quick to state that the project had not been abandoned.
“On national carrier, (the) cabinet is divided on the issue of modality. There are those who believe that the Federal Government should invest and then we can sell the equity later.
“There are also those who believe that no, and from day one, they say let us get investors in and give them the franchise of Nigeria Airways or Air Nigeria or whatever is called. That is where we are and that is what held it down. But as for whether it is still in our plan, it is and has not been abandoned,” Ameachi said.
However, in the statement by the aviation minister, the Nigeria Air project had the full support of the council, which deliberated on it and approved it.
Last year, the government announced the suspension of the planned commencement of operations of Nigeria Air.
Although no reason was given for the suspension at the time the project was suspended, it was gathered then that the national carrier initiative had been put on hold in the interim.
The Federal Government, through its Ministry of Transportation, the aviation arm, had announced in July that Nigeria Air would commence operation before the end of 2018.
“I regret to announce that the Federal Executive Council has taken the tough decision to suspend the national carrier project in the interim. All commitments due will be honoured. We thank the public for the support as always,” Sirika had tweeted in September 2018.

Read More

Nigeria Sets To Create 20 Mln Jobs In Next Four Years

Nigeria said it is evolving strategies to create about 20 million job in four sectors of the economy in the next four year in a bid to reduce the negative impact of unemployment in the country.

The outgoing minister of Industry, Trade and Investment Okechukwu Enelamah, the government has instructed the Industrial Training Fund to come up with innovative solutions to create 20 million jobs in four sectors of the economy within the next four years.
The minister said that with the huge level of unemployment in the country, it had become imperative to come up with a pragmatic approach to creating jobs for the people.
Enelamah who was represented at the event by the Permanent Secretary in the ministry, Sunday Akpan said the need to focus on these sectors was borne out of the conviction that they held the key to the diversification efforts of the Federal Government.
The minister said with the huge contributions of these sectors to the Gross Domestic Product (GDP) of the Nigerian economy, it had become imperative to explore their job creation potentials to reduce the level of unemployment in the country.
“In order to sustain and build on the successes recorded in this regard in the first tenure of Mr. President, we are articulating and strategizing with a renewed impetus towards combating the twin evils of unemployment and insecurity.
“It is on this basis that the ministry charged the Industrial Training Fund to come up with revolutionary multi-faceted job and wealth creation strategies that would lead to a lasting solution to this hydra-headed problem.
“From the report, I have received, the ITF has been able to propose pragmatic strategies that within the tenure of the next level, will generate about 20 million jobs from four key sectors of the Nigerian economy.

Read More

Nigeria Plans To Raise 15 Bln Naira in Green Bond To Fund Renewable Energy

Nigeria plans to raise up to 15 billion naira from Green Bond sale to finance environmental projects in the West African country, the Debt Management Office (DMO) said in a statement on Monday.
Africa's biggest economy first issued 10.69 billion naira in Green Bond in 2017 as part of efforts to fund renewable energy projects and align with global best practice in raising finance for projects.
According to the debt office, Nigeria was the first African country to issue a Green Bond.
In its bids to sensitive investors and ensure the success of the fresh issuance, the debt office together with the finance ministry and its environment counterpart will embark on Roadshow to Lagos and Abuja between May 27-28, 2019.
"The Series II Green Bond issuance is a further demonstration of the FGN’s commitment to the reduction of greenhouse gas emissions by 20% (unconditionally) by 2030, as outlined under the Paris Agreement signed on September 21, 2016," the DMO said.
The debt office said through the Offer, the government is seeking to raise 15 billion nairas to finance projects with green credentials, which include renewable energy, afforestation, and transportation.
Moody’s Investors Service, the DMO said has assigned a GB1 (Excellent) Green Bond Assessment to the Offer.
The DMO is working with Chapel Hill Denham Advisory Limited, Capital Assets Limited, Rand Merchant Bank Nigeria Limited, and Stanbic IBTC Capital Limited as Financial Advisers/Issuing Houses to the Offer.

Read More

Court Acquits Ex-President Jonathan’s Cousin Of $40 Mln Fraud Charges

A Federal High Court in Abuja has dismissed money laundering charges involving the sum of $40 million preferred against a cousin of former President Goodluck Jonathan, Robert Azibaola.

Azibaola and his company, One Plus Holdings Nigeria Limited were charged by the Economic and Financial Crimes Commission (EFCC) with money laundering offences for allegedly receiving the sum of $40 million from the Office of the then National Security Adviser, Col. Sambo Dasuki, in September 2014 for the “supply of tactical communication equipment”, a job the prosecution alleged was not done.
But delivering judgment on Monday, Justice Nnamdi Dimgba discharged and acquitted Azibaola and his company, as he held that there were many doubts raised in the prosecution’s case which were not investigated and cleared.
“The doubts are bound to be resolved in favour‎ of the defendants,” the judge held.
Dismissing the remaining two counts after seven of the nine counts originally filed by the prosecution were struck out by the court in March last year, the judge held on Monday that the prosecution failed to prove the case beyond reasonable doubt.
The judge held that the prosecution failed to debunk the explanation offered by the defence.
The court held that the prosecution failed to puncture the defence’s explanation that the description of the payment of the $40 million by the ONSA as “supply of tactical communication equipment” was a disguise for the real purpose of the money as it was the usual practice in security management.
According to the judge, the defence in the course of the trial adduced oral and documentary evidence that the money was actually meant to be paid to Niger Delta militants who were in the business of oil bunkering in other to achieve peace in the region and boost oil revenue in the country.
The judge noted that the defence, not only provided evidence that the defendants actually paid the militants, one of whom testified that he received payment from the defendants, and had since left the oil bunkering business, vouchers were also tendered to show that other groups were paid.
He held that the prosecution failed to call material witness such as Dasuki, who is publicly known to be in “the custody of the state”, or officials of ONSA while Dasuki held sway, to debunk the claim by the defence.
He noted that neither was Dasuki interviewed nor charged alongside the defendants.
Earlier on March 29, 2018, Justice Dimgba had upheld the defendants’ no-case submission, by striking out the name of Azibaola’s wife, Stella, along with seven out of the nine counts originally filed by the prosecution.
The judge, in exonerating Azibaola, and striking out the seven counts, held that there no sufficient evidence to sustain the seven counts.

Read More

MTN Sets To Pay Off 330 Bln Nigeria Fine, As Shares Close At 132 Naira On NSE

MTN Nigeria Plc has paid 275 billion naira into the government coffer as part payment on the 330 billion naira fine imposed on the telecoms giant over its refusal to disconnect unregistered SIM on the order of the industry regulator.
According to the Nigerian Communications Commission (NCC), the telecoms firm, which was listed on the local bourse last Thursday as part of settlement agreement with the government plans to liquidate the balance of 55 billion naira by the end of this month.
The local unit of South African telecoms firm was originally fined 1.04 trillion naira for failing to deactivate more than 5 million unregistered SIM cards, but it negotiated a reduced fine to clear its path to list its subsidiary on the Nigerian Stock Exchange (NSE).
Last week, shares began trading on the Nigerian Stock Exchange in Lagos in a 2 trillion naira flotation that marked the exchange’s second-largest stock by market value.
The telecoms firm continue its rally on the floor of the NSE on Tuesday, gaining the maximum 10 percent to close at 131.70 naira per share. A total of 14.56 billion shares valued at 110,78 billion naira exchanged hands on the floor of the NSE on Tuesday.
The shares of MTN Nigeria has gained 46 percent since it was listed last Thursday as investors piled up demand for stakes in the telecoms firm.

Read More

President Buhari Signs 8.9 Trln '19 Budget, Frowns At Parliament Over Increase

Nigerian President Mohammadu has frowned at the manner the National Assembly increased the 2019 budget to accommodate new projects not initiated by the executive.

President Buhari stated this on Monday while signing into law the 2019 appropriation bill in the presence of the leadership of the parliament.
The president signed the 8.9 trillion naira budget approved by the parliament into law and promised to consult with the leadership of National Assembly which will emerge after his second term inauguration on May 29.
This year's budget is based on estimated oil production of 2.3 million barrels a day, an assumed crude price of $60 per barrel and an exchange rate of 305 naira to the dollar.
Nigeria’s economy, the largest in Africa, grew by 1.93 percent last year, its fastest pace since a recession two years earlier which was caused by the impact of low oil prices.
The continent’s top oil producer relies on crude sales for about 90 percent of its foreign exchange.
The planned deficit of 1.9 trillion naira represents 1.37 percent of GDP.
ty and tackle corruption.
Last month the upper house of parliament increased the budget by 80 billion naira to 8.9 trillion naira, up from the 8.83 trillion naira presented by Buhari to lawmakers last year.

Read More

Aviation Unions Suspend Strike, Reopen NCAA Offices

Aviation workers' unions have suspended their to-day strike and reopened the shut office of the Nigerian Civil Aviation Authority (NCAA). 

The workers began the strike on Wednesday to press for the review of the collapsed organogram which they claimed could lead to redundancy in the agency.
The unions are: Air Transport Services Senior Staff Association of Nigeria (ATSSSAN) and the National Union of Air Transport Employees (NUATE).
Others are the Association of Nigerian Aviation Professionals (ANAP) and the National Association of Aircraft Pilots and Engineers (NAAPE).
It was learnt that the strike was suspended after the Minister of State for Aviation, Sen. Hadi Sirika, assured the workers that their grievances would be urgently looked into.
The President of ANAP, Mr Kabir Gusau, said the unions decided to suspend the strike after the meeting with the minister on Wednesday but had to convince the NCAA workers to toe the path of peace.
“Arising from the meeting with the minister on Wednesday night, the unions decided to only suspend the strike for seven days starting from May 22.
“From the three items we presented, which is the organogram issue, condition of service, and inauguration of parastatals boards, we actually saw sincerity of purpose because of the way he behaved with us.
“As of Thursday, he (Sirika) led our unions delegates to the Salaries and Wages Commission, which has been part of the problem we have been having.
“This is because in the history of our nation, there has been no day the minister personally led unions delegation to the commission concerning condition of service,” he said.
Gusau said on the issue of organogram, the minister had also agreed to set up a committee comprising of NCAA management and the unions to look at the mistakes made in the new organogram.
He said the minister gave the committee seven days to complete their jobs within the stipulated time so it could be approved before the expiration of the administration on May 28.
He said the minister also promised the unions that the incoming administration would inaugurate the boards of aviation agencies.
Gusau said NCAA workers were adamant to continue with the strike on Thursday because there was a communication gap between the unions delegation and the workers.
“By the time we had agreed with the minister to suspend the strike for seven days on Wednesday night, we ought to have returned to Lagos yesterday morning to brief the workers.
“So, it was a mistake because we left the meeting with the minister around 9 p.m. on Wednesday, so the workers were not aware the outcome of our meeting with the minister.
“So, now that we have briefed them, normalcy has been restored and the workers have gone to their offices unlike what happened yesterday.
“The only thing now is that we are now appealing to the Federal Government to abide and go in terms of the agreement within the seven days promised,” he said.

Read More

UK Prime Minister Quit On failed Brexit Deal, Steps Down June 7

British Prime Minister Theresa May has finally offered to quit her job following her failure to obtained a deal on the proposed United Kingdom (UK) move to exit the European Union (EU). She is expected to step down by June 7, this year.

May, who broke down in tears on Friday as she read the last rites on her troubled premiership after bowing to a massive Tory mutiny over her Brexit plans.
The Prime Minister announced her departure in an emotional statement on the steps of Downing Street after meeting Tory backbench chief Sir Graham Brady and giving the news to her staff behind closed doors.
'I've done my best,' she said. 'I have done everything I can to convince MPs to back that deal ... sadly I have not been able to do so.
'It is and will always remain a matter of deep regret to me that I have not been able to deliver Brexit.'
Watched by husband Philip, Mrs May was almost unable to continue as she was overtaken by tears while voicing her pride at having served the country.
She declared she will resign as Conservative leader on June 7, triggering a contest that should be complete by the end of July - admitting it was time for someone else to try and deliver Brexit.
Mrs May said it had been the 'honour of my life' to be PM, and she hoped she would not be the last woman to lead the country. And she urged warring MPs from all parties to remember that 'compromise is not a dirty word'.
The dramatic move comes after Mrs May's last-ditch effort to get her EU deal through the Commons backfired spectacularly. Tories were up in arms and the Cabinet mounted an open revolt after she offered MPs a vote on holding a second referendum and joining a temporary customs union with the EU.
The PM humiliatingly pulled her Withdrawal Agreement Bill - known as WAB - on Thursday after seemingly accepting the inevitable.
Sir Graham had been charged by Tory backbenchers to enforce an exit date if she refused, with MPs threatening to change party rules to allow a no-confidence vote.
But despite the brutal assault on her position, there was an outpouring of sympathy today after she finally fell on her sword.
Andrea Leadsom, whose resignation as Commons Leader put the final nail in Mrs May's political coffin, tweeted: 'A very dignified speech by @theresa_may. An illustration of her total commitment to country and duty. She did her utmost, and I wish her all the very best.'
Prominent Tory Brexiteer Steve Baker, who strongly opposed the PM's Brexit deal, tweeted: 'Very dignified statement from Theresa May, beginning to set out the many things which she has achieved in office. This is a sad but necessary day.'
Environment Secretary Michael Gove tweeted: 'A moving speech from a Prime Minister who deserves our respect and gratitude. Thank you @theresa_may.'

Read More

Supreme Court Annul APC Victory In Zamfara, Transfers Mandates To PDP

The Supreme Court on Friday nullified the elections of all the candidates of the All Progressives Congress (APC) in Zamfara State in the 2019 general elections and transferred their mandates to the main opposition party candidates.

Delivering a unanimous judgment of the five-man panel led by the Acting Chief Justice of Nigeria, Justice Tanko Muhammad, the apex court declared the first runners-up in the 2019 general elections in the state as the winners of all the posts earlier declared to have been won by the APC and their candidates.
Justice Paul Galinje, who read the lead judgment upheld the decision of the Sokoto Division of the Court of Appeal to the effect that the APC did not conduct any valid primary election and as such had no candidate for any of the elections in the state.
He descried the votes polled by the APC candidates in the elections as wasted, adding that the party and the candidates with the second highest votes and the spread in the various elections were the valid winners.
The judgment centres on the governorship, state House of Assembly and the National Assembly elections conducted in Zamfara State on February 23 and March 11, 2019.
APC candidates, including the outgoing governor of the Zamfara State, Abdulaziz Yari, who was elected to the Senate, had won most of the offices contested for in the 2019 elections with the Peoples Democratic Party’s candidates, placing first runners-up in the polls.

Read More

We Usually Target Newly-Wed Women For kidnapping, Says Suspect

A suspected kidnapper who was arrested by the Police in Niger State has confessed that his gang usually targetted newlywed women for kidnapping to extort money from their bridegroom.

The suspect, Mohammed Yakubu, 25, was said to have kidnapped his victim one Halima Ibrahim on May 11 and held her in captivity for over two weeks while demanding N150,000 ransom before her release.
Yakubu stated that members of his gang were interested in kidnapping newly-wed women or those about to wed because their husbands/fiancés would be prepared to pay ransom.
Yakubu confessed to Northern City News on Thursday that he kidnapped Halima with the intent of extorting money from her would-be husband, who also resides in the same area.
“We are from the Katcha Local Government Area of the state. I knew that Aliyu Musa has proposed to Halima and I knew he would do anything to secure her freedom, hence I kidnapped her.
“I called him with her number and told him that she had been kidnapped and ordered him to drop the sum of N150,000 in a location if he wanted her released. He offered to pay N65,000.”
The Police Public Relations Officer in the state, Muhammad Abubakar, confirmed the incident, saying a team of policemen attached to the Kpakungu Police Station apprehended the suspect following a tip-off.
Abubakar said the victim was rescued by the police personnel, adding that the matter had been charged to court.

Read More

Court Convicts Ex-NIMASA Acting Director General Obi Of Money Laundering

An ex-acting Director-General of the Nigerian Maritime Administration and Safety Agency (NIMASA) Calistus Obi was on Thursday convicted for converting the agency’s funds to personal use.

Justice Mojisola Olatoregun of Lagos division of the Federal High Court found Obi guilty of money laundering.
The Economic and Financial Crimes Commission (EFCC) arraigned Obi on April 12, 2016 on eight counts of converting N378, 810, 000 from NIMASA.
Obi, a former NIMASA Executive Director, Maritime Labour and Cabotage Services, took over from Dr Patrick Akpobolokemi, who is also facing multiple money laundering and theft charges.
Obi was charged with Akpobolokemi’s former aide Dismass Alu Adoon, Grand Pact Limited and Global Sea Investment Limited.
Justice Olatoregun held that the EFCC proved the case beyond reasonable doubts.
She found Obi guilty of counts five, six, seven and eight; she found Adoon guilty of counts two and four.
The judge discharged the defendants of counts one and three, which had to do with conspiracy.
Justice Olatoregun adjourned until May 28 for allocutus (a plea made in criminal trials in order to mitigate punishment) and sentencing.
She ordered that the defendants be remanded in prison custody until then.
EFCC closed its case on January 31, 2017.
The defence made a no-case submission, which was dismissed on February 21, 2017.
The prosecution said Obi, Global Seal and Grand Pact allegedly converted N42,755,000.00 on December 24, 2013.
EFCC said Obi, on May 2, 2013, converted N25, 000, 000, as well as N46.3million being “proceeds of stealing” between April 1 and December 11, 2014, among others.
Count one of the charge reads: “That you, Calistus Nwabueze Obi and Dismass Alu Adoon on or about the 5th day of August, 2014, in Lagos, within the jurisdiction of this Honourable Court did conspire amongst yourselves to commit an offence, to wit: Conversion of the sums of N111,000,000, property of NIMASA, knowing that the said sums were proceeds of stealing, and thereby committed an offence contrary to Section 18(a) of the Money Laundering (Prohibition) (Amendment) Act, 2012 and punishable under Section 15(3) of the same Act.”

Read More

Nigerian Parliament Indicts 16 Banks For Non-Remittance Of 1.6 Bln Naira Stamp Duty

Nigeria House of Representatives has indicted 16 banks for under-remitting stamp duty revenue to the tune of 1.6 billion naira and asked the Central Bank of Nigeria (CBN) to sanction them appropriately.

The parliament also asked the CBN to ensure the banks pay the outstanding revenue back to the treasury with interests.
The banks named in the report of the House are defunct Diamond Bank, now Access Bank with 545.87 million naira; Zenith Bank, with 265.63 million naira, and Stanbic IBTC, with 231 million naira.
Others are Guaranty Trust Bank accused of withholding 196.3 million naira; Standard Chartered Bank 3.65 million naira; CitiBank 1.86 million naira; and Providus Bank 646,650 naira.
Also, Fidelity Bank is expected to refund 32.88 million naira, Keystone Bank 24.47 million naira, United Bank of Africa (UBA) 81 million naira, and Ecobank 78.52 million naira
Also indicted are Unity Bank 40 million naira, Jaiz Bank 2.43 million naira, Access Bank 66 million naira, Skye Bank 11 million naira, and Polaris Bank 2.9 million naira.
The House reached the decision after adopting the report of the ad-hoc committee which investigated the non-remittance of the stamp duties on Thursday.
Leaks.ng, a collation of media houses, had reported that the agencies refused to disclose details of the stamp duty revenue whose status has been shrouded in secrecy over the years.
Following the report, the House set up an ad-hoc committee to investigate the matter and report its findings.
CBN officials had told the committee the total stamp duty revenue since January 2016 stands at 35.2 billion naira.
The House, however, called for further investigation into four banks which it said failed to honour their invitations. The banks include First Bank of Nigeria, First City Monument Bank, Wema Bank and Suntrust Bank.
Apart from penalising the 16 banks, the lawmakers also asked CBN to strengthen its supervisory role over the stamp duty revenue to ensure they are collected promptly.
It also called for machinery to allow for the recovery of under -remittances “after further reconciliation is carried out with the banks concerned.”
Other recommendations include:
– That all banks that were found not to have made full disclosure on stamp duties collections and remittances should be further investigated.
– That financial institutions, especially the deposit money banks (DMBs) should remit all collections with respect to government revenues promptly and correctly, and where remittances are not promptly done, the DMBs should be sanctioned.
– That the relevant agencies should give maximum cooperation to the School of Banking Honours (SBH) to enable it realise the goal of the assignment given to it.
– That other forms of stamp duty should be explored “to increase the revenue base of various tiers of government in accordance with the provisions of the Stamp Duty Act, 2004.

Read More

President Buhari Confirms Adamu Mohammed As Police IG

President Muhammadu Buhari has confirmed Adamu Mohammed as the Inspector General of police.
The confirmation was announced at the police council meeting presided over by the president.
Mohammed was appointed in the acting capacity on Jan. 15 when he took over from former IGP, Ibrahim Idris.

“The Police Council chaired by President Muhammadu Buhari today (Thursday) confirmed Mohammed Adamu as the substantive Inspector General of Police (IGP).”
Buhari had, on January 15, appointed Adamu as acting IGP following the statutory retirement of Ibrahim Idris, the former IGP.
Until his appointment by the President, Adamu was an Assistant Inspector-General of Police serving at the National Institute for Policy and Strategic Studies, Kuru, Jos, Plateau State.
The Police Council, which is chaired by the President, has all the state governors, minister of Interior, retired Gen. Abdulrahman Dambazau, chairman of the Police Service Commission, Mr. Musiliu Smith and the Permanent Secretary of the Commission, Mr. Mbaeri Maurice Nnamdi, as members.

Read More

Nigeria To Sign Africa Free Trade Zone Agreement Soon ~ Trade Minister

Nigeria plans to sign the Africa Continental Free Trade Agreement (ACFTA) as soon as President Muhammadu Buhari approves an impact-assessment report he asked for, the country’s trade minister said.

Nigeria is one of 29 countries yet to sign the agreement seeking to boost intra-African trade, stimulate investment and innovation. The trade deal comes into effect May 30 after 22 African countries ratified it.
“I think the president has a sense of urgency about this because when he asked us to conduct an impact assessment study, we were given just three months to finish everything and we have done so,” Okechukwu Enelamah, Nigeria’s minister of industry, trade and investment, said in an interview in Abuja.
“We do need to conclude our processes and make sure that the train doesn’t leave the station and go far before we join.”
Nigeria has adopted a proactive approach to its trade policy, which has been recently reviewed for the first time in many years, Enalamah said.

Read More

Nigeria Records $48 Bln Transactions On I&E Forex Window In 2-Year ~CBN

Nigeria has so far recorded $48 billion transactions on the Investors' and Exporters' Foreign exchange window in two years, Central Bank of Nigeria (CBN) governor has disclosed.

Godwin Emefiele said the effect of the establishment of the forex window has been positive on the country's foreign exchange reserves since it was created in April 2017.
Emefiele, who spoke at a lecture in the University of Benin, said Nigeria's external reserves have rose to $45 billion by April this year from $23 billion in October 2016.
According to him, the current stock of external reserves was able to finance nine months of current import commitments, far above the three months global benchmark.
He said with the improved availability of foreign exchange, the exchange rate at I&E FX Window had remained stable over the past 24 months at an average of N360/$, and the parallel market exchange rate had appreciated from N525/$ in February 2017 to N360/$ today.
Nigeria established the I&E forex window in April 2017 to provide channels for offshore investors to bring in their dollar at the prevailing exchange rate in contrast to what obtained at the other windows. The move was to install confidence in the offshore investors who were discouraged by the uncertainty pervading the forex market and the economy in the wake of recession and an attempt by the government to conserve foreign exchange through the managed float forex regime.
The governor of the apex bank, who was recently confirmed to serve another term of five years, however, wants the West African country's monetary and fiscal authorities to brace up for the impending global economic crisis and prepare measures ahead to tackle its impact on the generality of the people.
“From some of my concluding remarks, you may have observed, whether you like it or not, there is global uncertainty that will, unfortunately, most certainly lead to another crisis.
“The question could be, how are we as Nigerians, particularly our leaders, I am talking of monetary and fiscal policy authorities, how are we preparing our country for the next crisis?
“We have luckily exited recession; we have seen inflation pending downward to about 18.72 percent in 2017 to about 11. 37 percent today.
“We have seen the reserve moving up but unfortunately we still have issues and those issues border on the unemployment rate and those issues border on how we prepare our country,” Emefiele said in his lecture entitled ‘Beyond the Global Financial Crisis: Monetary Policy under Global Uncertainty.’

Read More

Ekiti Governor Fayemi Emerges Chairman Nigerian Governors Forum

The Nigerian Governors Forum, comprising the chief executives of the 36 states in the country has elected Ekiti State Governor, Kayode Fayemi as its chairman.

The forum elected Fayemi to replace the outgoing governor of Zamfara State Abdul’aziz Yari at its meeting in Abuja late Wednesday.
The Governor of Sokoto State, Aminu Tambuwal, of the Peoples Democratic Party (PDP), was elected as the Deputy.
Yari disclosed that Fayemi was nominated by Malam Nasir El-Rufai of Kaduna State, seconded by the Governor of Delta, Ifeanyi Okowa and unanimously elected by the governors to lead the forum till 2021.
Yari added that “Members also elected Gov. Aminu Tambwal of Sokoto State as the vice Chairman of the forum from 2019 to 2021.”
He explained that Tambuwal was nominated by the Gov. Akinwumi Ambode of Lagos State and seconded by his Ondo State counterpart, Gov. Rotimi Akeredolu.
Reading a communiqué at the end of the meeting, Yari said that the forum was concerned with the recent guidelines of the Nigeria Financial Intelligence Unit (NFIU).
The guidelines according to him sought to impose restriction on the powers of states and local governments to operate within constitutionally approved parameters.
“The new guidelines have no legal basis under the NFIU Act and are contrary to constitutional provisions which put the State Joint Local Government Account under the legislation of the State Houses of Assembly.
“The guidelines will also be detrimental to the interest of States and local governments by crippling programmes such as the Universal Basic Education programme, Primary Health Care Under One Roof, as well as the payment of the salaries of teachers, medical doctor and health workers among others which are primarily funded by state governments.”
On the call by the Peoples Democratic Party (PDP) governors to declare state of emergency on issue of insecurity, Yari said that they had all agreed to meet President Muhammadu Buhari for one-on-one discussion.
“The issue of security is under the mandate of Mr president, we are supporting him because he is the Commander-in-Chief and we hope to come up with solutions with him, ” he said.
In his acceptance remark, Fayemi expressed his gratitude for the confidence reposed on him by colleagues.
He pledged to build on the achievements of his predecessors and success stories of the forum.
“We will build on commitment with strong partnership with the Federal Government as federating unit and trash out issues as amicably as possible, in the over all interest of the country.”
He pledged that they would represent the interests of Nigeria irrespective of their political affiliations.
“Whatever we are going to do will be in overall interest of the nation in ensuring that our states are continuously strengthened.
” Our country derives the benefit of strong, dedicated states to our citizens and the partnership with all arms of government, development partners working with us in the over all interest of Nigeria.
He commended the outgoing chairman and the secretariat for their commitment to states and Nigeria at large.

Read More

Air Peace To Begin Flights To Johannesburg, Sharjah In June

Nigerian carrier, Air Peace, says it will begin flight operations to Johannesburg, South Africa and Sharjah, United Arab Emirates next month.

Chairman of Air Peace, Allen Onyema, announced the new routes at the inauguration of the airline’s Board of Directors on Wednesday in Ikeja.
He said Dubai, Johannesburg, London, Houston, Guangzhou and Mumbai would soon join the airline’s international route network while plans were also on to connect more cities within Nigeria.
Onyema said the airline had so far acquired four B777 aircraft for its long-haul operations with three already delivered ahead of the international operations.
He said Air Peace had placed a firm order with Boeing for 10 brand new B737 Max 8 aircraft and that it would continue to monitor the situation based on safety concerns raised about the aircraft.
Onyema added that the airline had also placed a firm order for 10 brand new Embraer 195-E2 jets and purchase right for 20 aircraft of the same model which would be delivered by May 2020.
Onyema said Air Peace was well aware of the hostilities faced by Nigerian carriers outside the country and was bracing up for the challenge through massive investment in equipment.
He urged the Federal Government to protect Nigerian airlines from the outrageous charges being imposed on them while operating outside the country or reciprocate such charges on foreign airlines flying into Nigeria.
According to him, Air Peace has lost over 1. 2 billion naira in the last one year in flying to countries in the West Coast of Africa such as Senegal, Gambia, Ghana, Sierra Leone and Liberia, due to exorbitant charges.
“There is a gang up against Nigerian airlines. The Single Africa Air Transport Market (SAATM) is geared towards fleecing Nigeria and nothing more.
“The government should reciprocate these charges to also discourage them from coming into Nigeria.
“Air Peace may soon go to court to ban some airlines from operating in Nigeria if the government fails to do something about this exploitation and unhealthy competition,” he said.
Onyema maintained that Air Peace was poised to dominate the African airspace and also compete with the legacy airlines following the acquisition of more aircraft for its flight services.
“The reason I started Air Peace was to create employment opportunities for Nigerians and help in national development because I know that all the violence and security challenges we are facing will reduce if our youths are positively engaged.
“I enjoin all Nigerians with means to invest in the country and help to create jobs to complement the efforts of the government,” he said.

Read More

Nigeria Says More Investors Embracing 30-year Bond As DMO Raises 111.3 Bln NairaAt Auction

Nigeria raised a total of 111.31 billion naira worth in domestic bond on Wednesday at an auction where investors' appetite for the longer tenor 30-year bond was apparent.

According to the Debt Management Office (DMO), demand at the auction was stronger on the 10-year tenor debt with investors willing to buy 124.22 billion naira worth of the paper compared with 35 billion naira worth initially offered by the debt office. Investors also demanded a total of 100.91 billion naira worth of the 30-year paper and 27.38 billion naira of the 5-year debt.
The debt office initially offered 35 billion naira apiece in the 5-year and 10-year paper.
The three tenor bonds were sold at 14.11 percent for the 5-year paper, 14.24 percent for the 10-year debt and 14.49 percent for the 30-year bond.
However, the debt office sold 48.93 billion naira worth of the 30-year debt, 35 billion naira of the 10-year paper and 27.38 billion naira of the 5-year paper.
Last month, the debt office first offered the 30-year paper to investors in its bid to attract long term funding for infrastructure in the country.
DMO said the strong demand for the 30-year paper was an indication that the debt office "understands the needs and preferences of investors in terms of tenor, which informed its introduction of the 30-year Bond."
"n addition to the strong demand, interest rates demanded by investors also significantly declined for all the instruments compared to the April 2019 Auction," the debt office said in a statement.
Nigeria, Africa's biggest economy issue domestic debt on a monthly basis to fund budget deficit, help manage liquidity in the financial market and set benchmark for corporate debt issuance in the country.

Read More

Nigeria Central Bank Moves To Help Banks Recover 8.17 Trln Naira NPLs

The Central Bank of Nigeria (CBN) may adopt a stringent administrative, legal and regulatory framework to help banks recover all delinquent debt in their books to save the industry from imminent collapse.

Godwin Emefiele, Governor of the CBN said while the bank welcomes the improvement in the size of Non-Performing Loans (NPLs) of commercial lenders, the present level remains a concern to the regulator.
The banking industry currently reeking under the yoke of about 8.17 trillion naira NPLs as at the end of 2018. The figure was, however, better than 9.54 trillion naira in the previous year.
At current 10 percent, the NPLs of commercial lenders is far above the 5 percent recommended by prudential guidelines of the regulatory bank.
“The MPC welcomed the improvement in financial soundness indicators but noted that although the non-performing loan ratio moderated, it remained above the prudential benchmark.
“Consequently, the committee considered and recommended to the CBN a proposal to develop a comprehensive administrative, legal and regulatory framework to speed up the recovery of delinquent loan facilities of the banking system, which would involve structured engagement with relevant stakeholders and authorities in order to mitigate credit risk and ultimately open up the credit delivery space in the Nigerian economy,” Emefiele said at the end of two-day MPC meeting in Abuja on Tuesday.
“If you recall, the Prudential is that banks must not have more than five percent in NPL.
“But I must say that at this time, it’s about nine to ten percent on the average, which is a significant improvement from where it was a year or two ago.
“About a year or two ago, it was close to 15 percent and moderated to ten percent and we say it’s a substantial and encouraging improvement in the level of NPL.
“And I do think that with the steps that would be taken by the CBN to support the banks through administrative, legal and regulatory framework, certainly, we would see to it that NPLs are brought down so that DMBs are encouraged to go back and begin to lend money more aggressively to those sectors that they considered to be risky.”
Emefiele said the committee also directed the management of the apex bank to provide a mechanism for limiting Deposit Money Banks’ access to government securities.

Read More

Nigeria Central Bank Holds Interest Rate At 13.5 Pct As GDP Slides

The Central Bank of Nigeria (CBN) retained its benchmark interest rate at 13.5 percent for the second consecutive time, the governor of the regulatory bank announced on Tuesday after a two-day meeting of the Monetary Policy Committee (MPC) in Abuja.

Godwin Emefiele said the committee also maintained the asymmetric corridor around the Monetary Policy Rate (MPR) at +200/-500 basis points at the end of the meeting.
Cash Reserves Ratio (CRR) was also retained at 22.5 percent while liquidity ratio held at 30 percent, Emefiele said.
At its meeting in March, the MPC had slashed the MPR by 50 basis point from 14 percent to 13.50 percent in a surprise move seen by analysts as premature cut in interest rate.
However, report of the National Bureau of Statistic (NBS) released last week showed inflation figure on an upward move to 11.37 percent in April from 11.25 percent in March.
Also, the latest data on economic growth showed Gross Domestic Product (GDP) in the first quarter at 2.01 percent compared to with 2.38 percent in the corresponding period of 2018.
Analysts said the retention of benchmark rate was the regulatory bank's response to the poor data on the economy and the need to curb further degeneration in the economy.

Read More