Nigerian Breweries kick-off of the second edition of its
entrepreneurial talent hunt and mentoring radio programme targeted at
innovative businessmen and women in the South-East tagged ‘Progress
BoosterShow’, Life Continental Beer, a brand from Nigerian Breweries
Plc, has rewarded 30 winners with N7.5 million.
The show, which held recently in Enugu had 20 winners who were
selected for their business ideas during the monthly radio programme,
while 10 entrepreneurs who brought their business ideas to the event
went home with N250,000 each during a live interview session by selected
judges.
Speaking about the initiative, the Portfolio Manager, Mainstream
Lager and Stout Brands, NB Plc, Emmanuel Agu said: “We started this
because we know what is in the heart of the Igbo man. Most times, they
have good business ideas but do not have money to fund them. We are
running the Progress Booster Show for Igbos living and doing business in
the East. This is because we want them to benefit from Life Continental
Lager Beer.
“In 2015, we empowered 50 people with N250,000 each; we hope that the
show will inspire more young entrepreneurs to presentcreative business
ideas because Life Beer wants to keep the enterprising culture of the
Igbo man alive”.
He urged aspiring entrepreneurs to submit their entries for the show as more winners will be selected in the coming months.
Past winners, Felicia Emeh and Henry Nwafor, shared their
inspiring experiences of how they utilized their cash
prizes in expanding their businesses.
No doubt, Nigeria’s economy is in a recession. What with
the dwindling global oil prices, the activities of militants in the
Niger Delta, the herdsmen-farmers clashes as well as the activities of
sea pirates? These have continued to exert a lot of negative strain on
the nation’s economy.
It was as a result of this that the Nigerian Export
Promotion Council, NEPC, a federal government agency for the promotion
of non-oil exports and the International Trade Centre, ITC recently
organized what was perhaps Nigeria’s First Women in Export Stakeholders’
Roundtable and Exhibition.
The event was specifically designed to sensitize the Nigerian woman on the need to join trade.
The roundtable which had the wife of the president, Mrs Aisha Buhari
as its special guest had as its theme ‘Achieving Zero Oil Growth through
Women Inclusiveness in Global Export Trade’.
The event was staged in partnership with the International Trade
Centre’s commitment to enable one million women venture into trading and
mobilizing women to market, and incurring services from women.
Mrs Buhari in her keynote address, expressed full support for the
initiative, increasing the Nigerians target from 100, 000 to 200,000 out
of the 1million people targeted by the scheme.
She said, “when a woman gets it right consider everything done”.
Mrs Buhari promised to persuade the federal government to
make favorable public procurement policies for 20 percent of women in
trade.
Business tycoon and philanthropist Dr. Tony Elumelu who
graced the event pledged to ensure gender parity in the disbursement of
the Tony Elumelu Foundation Fund.
“Women put everyone else first, If women succeed, the
entire continent succeeds. On behalf of the Elumelu Foundation, we shall
promote and create sufficient awareness and make sure they change the
statistics of the Elumelu fund to 50-50 ratio male and female”, he
pledged.
Managing Director/CEO Stanbic IBTC Bank, Sola David Borha gave her
support to the scheme assuring of her bank’s commitment to rendering
financial assistance to the scheme. She said: “Stanbic IBTC is committed
to ensuring access to finance as well as financial advisory council for
women to succeed, as a non-interest window banking plan to finance
women in export and trade in collaboration with Google”.
Dr Stella Okoli, a Nigerian pharmacist and entrepreneur, who was also
present at the event, called for immediate action, saying that
1,000,000 people which were initially programmed for the scheme can be
increased to 5,000,000 people with the aide of the digital age.
“Women should know what is happening through digitization.
Women should make Nigeria proud, Nigerian women are very hardworking. In
the pharmaceutical industry, I urge more women to join the chemical and
engineering industry”, she advised.
She later called on women to focus on other areas. “They shouldn’t restrict themselves to one thing”.
Mrs Arancha Gonzalez, Executive Director International Trade Centre,
also applauded NEPC efforts towards launching the ‘SheTrade’ in Nigeria.
She called for gender equality for women in sectors such as Mining and
Engineering.
The wife of the Vice President also voiced her support for the scheme
as she believes with the support of present government it is possible
for women support in business. She called for a speedy implementation of
the she-trades concept.
A letter of intent was later signed for the call to action of
SheTrade by the MD/CEO of NEPC, Mr Olusegun Awolowo and Arancha
Gonzalez. Tony Elumelu also signed a partnership with ITC, which would
create more opportunities for more women in business.
With over 35 million registered Small and Medium Enterprises (SMEs)
in the country, the duo of Diamond Bank and Microsoft are set to
empower the SMEs growth in Nigeria, through the Diamond Mobile Point of
Sales (MPoS).
Speaking during a one-day workshop receently on improving business
productivity among SMEs, both organisations guaraanteed that they would
accelerate SME business via providing the right technology tools that
would empower their businesses in today’s digital world.
According to the. Head, Emerging Business, Diamond Bank, Njideka
Esomeju, Diamond MPoS solution would enhance business productivity among
SMEs in the country.
Said She: “We need to get SMEs to move online, which is the next level
of business, and to learn how to maximise the use of their computers to
improve their business efficiency. At Diamond Bank, our slogan is
‘Beyond Banking’ and we have fully gone beyond the initial ways where
customers had to go into the banking hall to deposit, withdraw or
transact some forms businesses. We have introduced solutions that
empower small businesses to move to the next level, which is about
leveraging technology for business efficiency”.
The Diamond MPoS could be operated offline and online, with and without
connectivity. If there is difficulty in internet connectivity, the MPoS
would record transactions, store and later drop when connectivity is
restored, and there is no limit to the daily amount of financial
transactions that could be carried out by SMEs on the Diamond MPoS.
On reasons for the Microsoft’s collaboration, she explained that its
Office 365 small business solution would further enhance SME business.
“The Microsoft solution will enhance communication among SME staff. We
are also partnering Enterprise Development Centre (EDC) because they
also support SMEs”.
Explaining how the solution could be used, Gideon Akpebu said “the
Diamond MPoS is a smart reader that works with mobile phones. It is
unique because it differs from other PoS in terms of size, as it comes
very handy, and can accept payment for business transactions from any
part of the country and at any time. It takes record of daily
transactions and issues receipt for each transaction. According to him,
all that the SME need do is to download the app from Play Store, pair it
with a mobile phone via Bluetooth and activate it for usage.
Marketing and Communications Lead, Microsoft Nigeria, Edmond Idokoko,
while speaking on the value that Microsoft brings to SMEs, explained
that Microsoft mantra is to enable individuals and organisations achieve
more in the business by leveraging Microsoft technology solutions.
“We are bringing value to SMEs by collaborating with Diamond Bank on SME
growth. For instance we are offering our Office 365 technology solution
free of charge to SMEs for a period of six months, after which the SME
can begin monthly subscription on the solution. We are using Nigeria as a
pilot market, from where we will move to other regions and countries to
also support SMEs. The focus is on Nigeria because Nigeria falls within
the emerging market. Again, Nigeria is a strategic market for
Microsoft, because of its large population size, as well as the
important role it plays in the African market,” Idokoko said.
Speaking on the impact of Microsoft solution on SMEs busyness, Idokoko
said “SMEs are challenged by a number of things, which ranges from
environmental factors to funding and access to funding and technology
solutions. So Microsoft can enable SMEs to overcome most of their
challenges. The technology solution that we are offering SMEs for free
will actually help them grow their business and have enough capital base
to begin business expansion, thereby creating job opportunities for
people.”
According to him, the Office 365 solution for small businesses, would no
doubt enhance business growth among SMEs. It comes with features like
Microsoft word, Power Point, Excel, Communication App, among others.
Through the Communication App, SMEs can make calls to customers and have
good business interaction with their esteem customers, from any
location within the country or from anywhere within the entire globe. It
also comes with share point, which allows customer to upload a file or
document to the cloud. The good thing about share point is that it gives
access to anyone from anywhere to download the document. The solution
also comes with one terabyte of storage, which allows SMEs to operate
without a storage server, thereby reducing the cost of server for doing
business, Idokoko said. The beauty of the solution is that if all
contacts are wiped out from a device or mobile phone, as long as the
data were stored in the cloud, the customer could retrieve all data
without suffering any loss of data.
SMEs needs all these kind of support to grow their business, and that is
what Microsoft is bringing to the table in its collaboration with
Diamond Bank on SME growth, Idokoko added.
The revenue woes facing local oil
companies following the sharp drop in global oil prices have been
worsened by the recent upsurge in militant attacks in the Niger Delta,
industry players have said.
They stated this at the 40th Nigeria
Annual International Conference and Exhibition of the Society of
Petroleum Engineers in Lagos.
The Managing Director, Seplat Petroleum
Development Company Plc, Mr. Austin Avuru, said about 70 per cent of the
nation’s production from the traditional terrain of onshore and shallow
water had been locked in.
“A year ago, we were battling with zero
production and zero revenue for upwards of five, six months. Some of us
no longer check the oil price, it has become irrelevant. Oil price is
only relevant when you produce,” Avuru stated.
He added that the oil and gas industry
was undergoing a major transformation a couple of years ago aimed at
moving it away from just being a primary revenue earner for the Federal
Government to becoming an enabler of economic development.
He said, “We have said that this
industry will move away from domestic consumption of less than 300
million standard cubic feet of gas per day to three billion scfpd, and
in the process, energising companies like Dangote so that we can become a
net exporter of cement and fertiliser; in the process, delivering 15
gigawatts of electricity and all its multiplier effects.
“That is the journey that the industry
started a few years ago. That journey, unfortunately, today is being
interrupted by some forces. The crisis in the Niger Delta has taken a
turn that must worry all of us because when we don’t produce, our
companies are destroyed, jobs are destroyed and the economy is
destroyed.”
Recalling that last week, Seplat
released its financial results, Avuru said, “For the first time ever
since we started this business six years ago, we made a half-year loss
from bountiful profits.”
Oando Plc, which is another major
indigenous player, said on Tuesday that it made a loss after tax of
N27bn in the first half of this year, a drop from the N35bn loss it
recorded a year ago.
The Chairman of SPE Nigeria Council, Mr.
George Kalu, said the conference theme, ‘Transparency in the oil and
gas business: An imperative for energy security and stability’, was
timely given that oil prices were hovering around $43 per barrel in
recent times with significant challenges to the Nigerian oil and gas
business environment.
He said, “These challenges including
funding constraints rising from cash call arrears, exchange rate
differential in a cyclical oil price regime, high operational costs due
to long contracting cycle time, and severely delayed payment to vendors,
as well as high cost of borrowing are affecting the much-anticipated
boom in the industry.
“One would think that with the low oil
price, improved revenue will come for gas sales. However, the lack of
gas gathering and supply infrastructure is hampering the country’s
ability to maximise the benefits of the sale of gas in the domestic
market, which is currently more attractive than the international
market.”
Kalu said the recent challenge of
vandalism and outright destruction of oil and gas facilities had further
curtailed Nigeria’s oil and gas production, power generation ability,
reduced the flow of revenue, escalated the cost of environmental
remediation and provision of secondary health care facilities, as well
as increased security surveillance and facility replacement costs.
He added that the delay in the passage
of the Petroleum Industry Bill had constrained further investment in the
sector to the extent that exploration activities were at their lowest
ebb.
Global Steel Holdings Limited may have
abandoned the arbitration process that it instituted at the Court of
International Arbitration, London to reclaim the Ajaokuta Steel Complex
from which it was sacked by the Federal Government.
The Director-General, Bureau of Public
Enterprises, Dr. Vincent Akpotaire, and some of his directors were in
London last week for the hearing of the case.
Although the BPE has not made public the
outcome of the hearing, our correspondent learnt that the withdrawal of
the case made possible the out-of-court mediation that culminated in
the signing of an agreement between GSHL and the Federal Government at
the Presidential Villa in Abuja on Monday.
By the agreement, Ajaokuta reverts to
the Federal Government without encumbrances, while GSHL regains access
to manage and operate the Nigerian Iron Ore Mining Company, Itakpe.
A statement issued in Abuja on Tuesday
by Special Assistant (Media) to the Minister of Solid Minerals
Development, Mr. Yinka Oyebode, said the new agreement required the GSHL
to submit its business plan for Itakpe for approval within the next 105
days.
Oyebode said, “The submission of the
business plan for approval by the Federal Government is part of the
timeline agreed upon by both parties for the revitalisation of the
entity.
“The submission and approval of the
business plan is to come after the release of claims by the GSHL. Under
the new arrangement, the concessionaire is to implement the business
plan as approved by the government.”
Vice President Yemi Osinbajo had while
presiding over the agreement signing ceremony on Monday, urged both
parties to keep to the various deadlines contained in the agreement in
the spirit of mediation.
According to the timeline released by
the Ministry of Solid Minerals Development, the GSHL will within 48
hours of the signing of the agreement gain access to the NIOMCO plant at
Itakpe, Kogi State for due diligence.
Also, an independent audit of the Joint
Audit Report is to be carried out within the next 65 days. The terms of
reference of the auditors of the audit will be to cross-check and verify
the report and not to re-do the audit all over again.
The ratification of the Joint Audit
Report by the Attorney General of the Federation and the GSHL is to be
carried out shortly after, specifically within 80 days of the agreement
signing.
The Minister of Solid Minerals
Development, Dr. Kayode Fayemi, said getting NIOMCO and Ajaokuta working
would move Nigeria from just being a mineral-rich country to a mining
nation.
He said, “Once the first phase of the
agreement is accomplished, it is the intention of the Federal Government
to quickly move into accomplishing the objectives of the concession of
the Ajaokuta steel plant to the most competent operator.
“Through this, we will be able to process and add value to what we have.”
The Federal Government had given
Ajaokuta and NIOMCO to the GSHL as concessions but years later claimed
that no significant progress had been made by the investor to turn
around the companies, thereby prompting the revocation of the
concessions.
This resulted in a legal battle to reclaim the companies by the GSHL.
Group Chief Executive of Oando PLC, Mr. Wale Tinubu
Oando Plc, Tantalizers Plc, SCOA Nigeria
Plc and International Energy Insurance Plc have reported losses of
various degrees for relevant accounting periods.
Though Oando’s half year turnover for
2016 increased by 18 per cent to N212bn from N180bn recorded in the half
year of 2015, its business loss for the H1 2016 was N27bn, representing
a 23 per cent improvement from last year’s N35bn, according to reports
presented to the Nigerian Stock Exchange by the company.
Tantalizers Plc also recorded a loss
before tax of N264.6m for the half year ended June 30, 2016. It had
recorded a loss before tax of N333.3m a year ago. Its half year revenue
for the period was N976.3m, which is a drop from N1.03bn a year ago
SCOA Nigeria reported a loss before tax
of N469m for the half year ended June 2016 compared to N63.6m profit
posted a year ago. Its 2016 half year revenue closed at N2.88bn from
N1.88bn reported in H2 2015.
The International Energy Insurance, in
the same vein, reported quarter ended March 2016 loss before taxation of
N52.5m. This was a drop from its profit of N789.1m recorded a year ago.
It recorded a quarter ended March 2016 net premium income of N722.7m,
representing a drop from its N1.37bn reported in the first quarter of
2015.
The Nigerian equities market also closed
on a bearish note, with the NSE market capitalisation shedding N4bn to
close at N9.558tn from N9.562tn.
An aggregate of 275.744 million shares valued at N3.149bn were traded in 4,126 deals.
The Nigerian equity market closed lower at the end of the trading session following declines across key sectors.
The consumer goods, industrial goods and
financial services sectors closed lower following respective losses in
Nestle Nigeria Plc (2.54 per cent loss), Lafarge Africa Plc (4.99 per
cent loss) and Guaranty Trust Bank Plc (0.82 per cent loss). The oil and
gas sector also closed lower as some recovery in Oando Plc (0.10 per
cent gain) were outweighed by losses in Forte Oil Plc (4.46 per cent
loss) and Seplat Petroleum Development Company Limited (five per cent
loss).
Market breadth remained negative with 17 advances and 31 declines.
“With sentiment still evidently bearish
across most key sectors, we think the ASI could drop more points in the
session ahead,” the analysts at Vetiva Capital management Limited said
in a report.
The Federal Government through the
Central Bank of Nigeria is set to borrow the sum of N245.18bn ($773.44m)
via the issuance of Treasury bills with maturities ranging between
three months and one year on Wednesday (today).
According to the CBN Treasury bill
issuance calendar, it will issue N45.18bn in 3-month debt, N80bn of
six-month paper and N120bn of one-year bills in a Dutch auction.
Indicative rates for the auction are 16
per cent for three-month, 18 per cent for six-month and 18.5 per cent
for one-year bills.
The auction’s results will be published the day after the sale.
According to a Reuters report, yields on
fixed income securities have been rising in recent months with the
central bank mopping up naira liquidity to try to lure back foreign
investors who sold naira assets following the plunge in the price of
oil.
The CBN’s Monetary Policy Committee had
last Tuesday raised the Monetary Policy Rate by 200 basis points from 12
per cent to 14 per cent to help fight inflation, which hit a 10-year
high of 16.5 per cent in June.
Meanwhile, the naira closed at 310.50
against the dollar at the interbank market on Tuesday, firmer than
previous close of 315.50, Thomson Reuters data showed.
The local currency traded $23m at 280.50 just after the interbank market opened at 316.50.
One trader attributed the N280.50 rate to a dollar resale on the spot market of outright currency forwards sold by the CBN.
At the parallel market, the naira closed flat at 382 per dollar on Tuesday.
The naira had dropped to 382 against the
United States dollar at the parallel market on Monday, down from the
380 it closed on Friday.
The naira has been under persistent
pressure as dollar scarcity continues to weigh on the local currency at
both the parallel and interbank forex markets.
Economic and financial experts said inadequate forex liquidity at the interbank market was taking a toll on the parallel market.
The Lagos State Government says it will
partner the private sector, speficically Japan International Cooperation
Agency, to construct a $1bn urban rail line.
The state Commissioner for
Transportation, Dr. Dayo Mobereola, said this during a seminar by the
Lagos Metropolitan Area Transport Authority in conjunction with the
Japanese firm in Lagos.
According to LAMATA, a survey titled
‘Lagos Urban Railway Development Project in the Federal Republic of
Nigeria’ was conducted by both partnering firms, which was aimed at
introducing the Automated Guide Transit, a type of monorail conceived as
a new transportation system in the state.
The agency added that based on the
study, the monorail project, to link Marina, Victoria Island and Ikoyi,
would curb traffic congestion and improve the environment in Lagos.
Mobereola, who estimated the cost of the
project to be executed as $1bn, said a huge percentage of the sum
“would come from the private sector.”
According to the commissioner, the Gross
Domestic Product in Lagos comes mainly from the Marina-Victoria
Island-Ikoyi axis and that the area constitutes major attraction for
business in the state.
He added that during the project, the
existing structures would not be affected, “since the middle of the
roads would be used for its implementation.”
However, Mobereola said the state would pay compensation where existing structures were affected.
The Acting Managing Director, LAMATA,
Mr. Iyiola Adeboye, explained that the project was aimed at ensuring
smooth transportation and reducing gridlock in Lagos State.
The Public Transport Director, LAMATA,
Mr. Gbenga Dairo, while addressing the current condition of
transportation in Lagos Island, attributed the problem to inappropriate
road layout, poor traffic management, inadequate public transport and
institutional obstacles.
According to the Team Leader, Urban
Railway and Transport Planning, JICA, Mr. Akiyama Yoshihiro, the
preparatory survey was based on terms of reference between JICA and
LAMATA carried out in August 2015.
BlackBerry on Monday said that it was not backing out of BB10, contrary to reports in the media.
The company said that its customers
depended on the BB10 platform, saying, “They (customers) are the ones
that drive our road map.
It said that was why the firm was
committed to not just maintaining BB10 software, but advancing it to be
even more secure and provide even greater productivity.
“You will see that with the next 10.3.3
update coming within the next month, which will be focused on enhancing
our already-stellar privacy and security features.
“Future BB10 software updates for 2017
are already in the works. Meanwhile, BlackBerry 10 devices such as the
BlackBerry Passport and Leap are still available to our loyal
customers,” a statement from BlackBerry read.
It also read in parts, “Our customers
also help us decide what type of keyboard we make for them, and what
they ask for is choice in both a virtual and physical keyboard.
This means we will continue to make our
iconic BlackBerry keyboard. We have four physical keyboard options that
we currently offer: Passport, Passport Silver Edition, Classic and PRIV.
“There is solid demand for physical
keyboards – and as long as that’s the case, we’ll continue to make them.
For virtual keyboard fans, you have Leap and PRIV (just keep that
slider down).”
The statement added, “Now that you know
we are committed with BB10, let me explain why BlackBerry’s device
strategy is truly unique. It is differentiated because it goes beyond
just smartphones.
“Our view is the rapidly growing mobile
environment is quickly being encompassed by an Internet of Things world
that requires both strong security and connectivity.”
It stated that the foundation for this
started with the BB10 software platform, which was built by engineers
with decades of experience in security.
“But we knew there was a need to bridge
the connectivity gap – leveraging Android was the solution. But we
didn’t just want to create another prosaic Android device.
“We wanted to merge the best of
BlackBerry with Android – the notion of a new merged BlackBerry platform
meant we would provide the security and connectivity BlackBerry is
known for with the content available in the Android ecosystem – all in
one environment,” it said.
“BlackBerry is the only one with this
unique flavour of smartphone in the market today. PRIV was the first
iteration…and soon there will be others.
At BlackBerry, we are not looking to fit
into the industry standard mould. That is because mobility has evolved
beyond just smartphones and tablets.
“Besides our burgeoning enterprise
software business, the new Mobility Solutions division has defined a
strategy enabling us to agilely pursue opportunities in this new
security-focused era,” it added.
Spectranet 4G Long-Term Evolution has
assured Ibadan subscribers of faster and affordable Internet service to
redefine the lifestyle of individuals, homes and business owners in the
state.
The Chief Executive Officer, Spectranet
Ltd, David Venn, said that with the introduction of the 4G LTE in
Ibadan, “a standard that defines wireless communication of high-speed
data for mobile phones and data terminals, Spectranet has provided
Ibadan business owners and residents faster, reliable and affordable
Internet service that could lift them above current challenges caused by
infrastructure deficits.”
Speaking during the unveiling of the
service, Venn said, “Today marks another milestone in our service
delivery, as we reinstate our commitment to Ibadan customers through our
reliable and affordable Internet service for a seamless browsing
experience.
“At Spectranet, we don’t just expand for
the sake of expansion, but with the sole purpose of delighting our
customers with unique Internet experience that is second-to- none.”
He said, “Our principle is to connect
our subscribers to what matters most to them by providing a faster and
more reliable broadband experience at unparalleled value for money.
“As market leader, Spectranet is
committed to providing its teeming customers with a world-class Internet
experience that is provided using a network of 4G LTE base stations
(towers) and coverage, which currently include Lagos, Abuja, Ibadan and
Port Harcourt.”
In terms of affordability, Venn said
Spectranet had designed plans and offerings that suit individual pockets
irrespective of their income and status – whether they are students,
professionals, family, or business enterprise owners.
The exponential growth in the Nigerian
Information Technology and telecommunication requires a university to
support the human capacity requirement, the Minister of Communications,
Mr. Adebayo Shittu, has said.
Shittu said it was for this reason that
the Ministry of Communications wanted to transform the Digital Bridge
Institute, established by the Nigerian Communications Commission, into a
fully fledged university.
He spoke when he visited Galaxy Backbone
Plc in Abuja on Friday. During the visit, the Managing Director of the
company, Mr. Yusuf Kazaure, said the ongoing devaluation of the naira
was impacting negatively on its operations.
The minister said, “The issue that is
very dear to my mind is the establishment of an Information and
Communications Technology university, which will be the first of its
kind in Africa. ICT is beyond classroom teaching of computers.
“The aim of this university is in view
of the exponential growth of ICT in Nigeria. There must be an
institution dedicated to the training of high-level manpower for the
industry.
“With the six campuses of Digital Bridge
Institute, currently being hosted by the NCC, we hope that we will take
ICT training and research to very high level.
“We know that in very many advanced countries, there are dedicated universities for the training of manpower for ICT.
“We want to replicate that in Nigeria.
Once we get the nod of the Federal Executive Council, we will commence
the establishment of an implementation committee to guide the process of
transforming DBI into West Africa ICT University.”
Shittu also said the ministry would
support the bid of the company to acquire a befitting headquarters for
its operations, noting that the property would pay for itself in the
end.
Making a presentation, Kazaure noted
that with devaluation of the naira, the cost of acquiring bandwidth,
space segment and support services had gone up because the services are
denominated in dollars.
He also lamented that despite the fact
that the demand for bandwidth service by Ministries, Departments and
Agencies serviced by Galaxy had gone up; the amount reserved for the
services by government had not seen a corresponding increase.
He said, “The MDAs have consequently
experienced service dissatisfaction resulting from insufficient
bandwidth and operational support capacity, inadequate coverage and
frequent service failures.
“The current stalemated situation has
also negatively impacted the perception of Galaxy Backbone and the
concept of sharing of common services.
“This has not helped the much-needed
adoption of ICTs by MDAs and the Federal Ministry of Communications-led
effort to ‘Get Government Online” through automation of work processes
and deployment of public services online.”
The Galaxy Backbone boss said there was
also a lack of proper policy framework for e-Government and the concept
of sharing common services.
The scarcity of aviation fuel, popularly
called Jet-A1, did not only disrupt flight activities at airports
across the country on Monday, but also affected private and government
programmes in the Federal Capital Territory.
It was learnt that several programmes in
Abuja were either postponed or delayed as key personnel who were to
anchor strategic meetings could not arrive on schedule or did not arrive
at all.
Several domestic airlines stated that
the scarcity of the product had resulted in the delay or outright
cancellation of some of their flights.
Hundreds of air travellers were left
stranded at the domestic terminals of the Murtala Muhammed Airport in
Lagos, as the airlines were forced to either cancel or reschedule most
of their flights due to the scarcity of aviation fuel.
As of 5pm, stranded passengers heading
for Abuja from the Lagos airport were unable to book substitute flights
as all flights to the Federal Capital Territory had been fully booked.
At the Federal Ministry of
Transportation in Abuja, a programme that was meant to hold around noon
did not commence until around 2.30pm despite the fact that the Minister
of Transportation, Rotimi Amaechi, was seated for hours waiting for
committee members who were supposed to make presentations at the event.
It was later gathered that the committee
members could not make it to Abuja as a result of the problems caused
by the non-availability of aviation fuel, which affected their flights.
Similarly, some officials of power
distribution companies who were meant to meet in Abuja by 2pm on Monday
to discuss the recent court ruling on tariff reversal could not make it
to the venue.
Arik Air announced that it was grappling
with flight schedule disruptions due to the severity of the situation
across the country.
It stated that since the beginning of
the year, the country had been grappling with inadequate supply of
aviation fuel leading in most cases to severe shortage of the product
and consequently the disruption of flight operations.
According to the carrier, for the past
week, it has had to face another round of aviation fuel scarcity, which
got worse over the weekend, leading to many flight delays and
cancellations.
The airline operates an average of 120 daily flights requiring about 500,000 litres of fuel each day.
Arik stated, “Due to the large number of
domestic and international flights, it is the most impacted by the
inability of oil marketers to meet its daily fuel requirements on a
timely and consistent basis. This has forced the airline to postpone
flights, while waiting for the fuel marketers to source and deliver the
product.
“On many occasions, despite all efforts
in engaging the marketers if fuel cannot be sourced, the flights may
eventually be cancelled, causing not only revenue loss for the airline,
but also inconveniencing or stranding the passengers.”
According to the carrier, at the root of
the fuel supply crisis is low stock due to the inability of marketers
to source for the foreign exchange to import more Jet-A1 fuel into the
country.
It added, “There is also a distribution
challenge as the discharging of vessels bringing Jet-A1 and other
petroleum products are done in the same Jetty, and loading various
trucks for distribution to cities like Kano or Abuja takes considerable
effort and time.”
A savings account is opened in a bank by
a salary earner or a person who has a regular source of income in order
to have interest on his/her money. This facility is also available to
students, senior citizens and so on, to encourage a savings habit.
Saving accounts are opened to encourage people to save.
These are some reasons for opening savings bank account, according to www.itsallaboutmoney.com.
A savings account encourages savings habit among salary earners as well as those who have a fixed income.
The depositor earns income through the savings bank interest.
A bank account allows depositors to make payments by issuing cheques.
It shows and keeps a record of the income earned by the account holder during the year.
The account holder can use the saving account passbook/ statement as an identity and residential proof.
You can use a savings account to make electronic fund transfers to another account.
A savings account also allows internet banking and online purchases and shopping.
A savings account keeps a track of all the online transactions of the account holder.
It allows immediate access to the account holder’s money with the help of an Automated Teller Machine.
Banks also offer a variety of services
to the account holders including ease of getting loans if you already
have an account with the bank.
Your reasons for starting a savings
account might be completely different. But no matter why you decide to
save your money, choosing to open a savings account is a much better,
and safer, option than just putting your money in a shoe box under your
bed or in a safe in your bedroom.
The savings account holder is allowed to withdraw money from the account as and when required.
And you may not realise it, but if you
have a basic savings account, you are doing a little bit of investing.
With a savings account, you are putting money into the bank and
receiving some interest. The interest, which is given on a savings
account, is attractive though often nominal.
For the most part, you won’t earn extra money, but your investment is safe, and you can get your money quickly and easily.
In the past six months, the prices of
essential food items have risen significantly in consonance with the
rising level of inflation in the country, which hit an 11-year high of
16.5 per cent last month.
The National Bureau of Statistics on
Monday released the Consumer Price Index, which measures inflation,
stating that the country’s inflation rate rose from 15.6 per cent in May
to 16.5 per cent in June.
June’s rise in the inflation rate represents one of the highest to be recorded by the country over a decade.
Stakeholders in the food supply chain,
in separate interviews with one of our correspondents, attributed the
hike in food prices to the poor state of the economy occasioned by the
declining supply of commodities, rise in fuel price and the devaluation
of naira.
Wholesale and retail traders in Lagos
complained that every time they decided to stock new supplies of food
items, the prices would have been increased by the suppliers.
Surveys across some markets in Lagos
revealed that the prices of semovita, vegetable oil, palm oil, fish,
spaghetti, macaroni, rice, beans and garri, among others, had soared in
the last six months.
It was observed that the prices of 500g
packs of spaghetti and macaroni had increased from N120 to N180 between
February and July this year.
On the average, semovita has experienced
about 70 per cent rise in price from N200 for the 1kg bag, to N340;
while a 1kg bag of processed wheat has doubled to N280 from N140 at the
beginning of the year; garri has also recorded 100 per cent increase
within the same period.
Sellers, food vendors, housewives, the tomato crisis is troubling many people across the country
Following the same trend, the price of
the 100kg bag of red beans has increased from N20,300 to N23,000; while a
50kg bag of rice recorded about 40 per cent price hike from N10,300 to
N14,000 in the same period.
For imported vegetable oil, the owner of
Okikiola Ventures at the Ipodo Market, Ikeja, Mrs. Aboidun Adefolami,
said that a 25-litre container of the product imported from Malaysia was
being sold for N10,000 instead of N6,200 in January, while 25 litres of
palm attracted N7,000 instead of N6,000.
A wholesale trader of fish at the Agege
Market, Mrs. Abosede Moshood, explained that a carton of Alaska brand of
fish cost N11,300, a 22 per price increase from N9,300 that it sold for
in February.
Within the same period, she added that
Titus mackerel fish, which was selling for N10,400, now cost N13,000,
while the price of Blue whiting had risen from N8,400 to N8,700.
However, the NBS attributed the rise in
inflation to the increase in the prices of electricity, kerosene,
furniture and furnishing materials, passenger transport by road, fuel
and lubricants as well as transport equipment.
The inflation rate had been experiencing
an upward swing in the last seven months, a development that analysts
described as worrisome.
The implication of the resurgence in
inflation, according to analysts, is that consumers will experience
tougher times ahead due to the reduction in their purchasing power.
The NBS stated, “In June, the Consumer
Price Index which measures inflation continued to record relatively
strong increases for the fifth consecutive month. The headline index
increased by 16.5 per cent (year-on-year), 0.9 percentage points higher
from rates recorded in May (15.6 per cent).
“During the month, the highest increases
were seen in the electricity, liquid fuel (kerosene), furniture and
furnishings, fuel and lubricants.”
The report said while imported foods
continued to increase at a faster pace, the food sub index on the
aggregate increased at a slower pace in June relative to May.
The food index, it added, increased by
15.3 per cent (year-on-year) in June up by 0.4 percentage points from
rates recorded in May.
Commenting on the latest inflation
statistics, the Executive Director, Corporate Finance, BGL Capital
Limited, Mr. Femi Ademola, said the country’s inflation was being
induced by lack of infrastructure.
He called on the Ministry of Finance and
the Federal Government’s economic management team to come up with
workable fiscal policies that would help address the infrastructure
challenge facing the country.
He said any attempt by the Central Bank
of Nigeria to fight inflation would mean increasing the Monetary Policy
Rate, which would lead to a rise in the lending rate.
Ademola said, “The rate of inflation
currently is not caused by too much liquidity. It is structurally
induced, because most of the factors that are causing the increase in
inflation are what can be addressed by fiscal policies.
“To check the rate of inflation now
means that the CBN would have to increase the MPR, and doing this at a
time when the government wants to simulate local production will affect
the rate of output.
“So, this is the time for the Ministry
of Finance to come up with fiscal policies that will stimulate the
economy particularly in the area of infrastructure such as road,
electricity and so on.”
The Head, Department of Banking and
Finance, Nasarawa State University, Keffi, Uche Uwaleke, said the rise
in inflation did not come as a surprise as the factors driving
inflationary pressures had yet to be addressed.
Uwaleke, an Associate Professor of
Finance, said, “The CBN should not increase the rate of the MPR, because
it has not worked in the past as the inflation is not demand pull, but
cost induced. The economy is approaching recession and the factors that
are responsible for inflation such as high electricity prices, imported
items and the rest are still there.
“The CBN should scale up its
developmental function rather than increasing the MPR so that more funds
can be channelled to agriculture to scale up production so that the
cost of food items can reduce.”
Uwaleke also called on the Federal
Government to as a matter of urgency increase the rate of spending on
critical projects approved in the 2016 budget, adding that this would
assist in making the business climate less hostile.
Agitation by of workers for salary
increase in view of the rising inflationary trend appears not to be
feasible now, as some states are slashing the salaries of their
employees, while many others are finding it difficult to fulfil their
obligations to the workers for several months, in addition to massive
job losses in the private sector.
The Director-General, Nigeria Employers’
Consultative Association, Mr. Olusegun Oshinowo, explained that salary
increase for workers to cushion the effect of inflation would not be
feasible due to poor sales by manufacturing industries.
He urged workers to rather pray for job security and regular salaries.
Oshinowo said, “This is not a time for
salary increase, because most employers are struggling to keep their
current staff strength on account of low demand for their products. And
beyond the low demand for their products, some of them are finding it
difficult to source for foreign exchange to bring in the inputs for
production in spite of the liberalisation of the forex market.”
The price of kerosene, used by most
Nigerians for cooking, has risen to as much as N300 per litre from N50;
while Automotive Gas Oil (diesel), used largely by businesses to power
their operations, has been selling for between N185 and N200 per litre
from around N120 per litre earlier.
Economic and financial experts said the
recent partial deregulation of the downstream petroleum sector and
devaluation of the naira had pushed the prices of goods and services
higher.
The Chief Executive Officer, Financial
Derivatives Limited, Mr. Bismarck Rewane, noted that the inflation rate
had increased sharply, but said it had almost got to a point where it
would begin to ease up.
Rewane, said, “We are going to to see
the effect and a downward pressure on prices from July. It is the
exchange rate that drove the inflation to this point. I think that it
will start to stabilise as from next month. It will still increase but
it will begin to come down.”
A Professor of Financial Economics at
the University of Uyo, Akwa Ibom State, Leo Ukpong, said, “I am
surprised that the inflation rate rose to 16.5 per cent; I thought it
would probably jump to 18 per cent. I think, in reality, it will be
higher than that.”
The Head of Research and Investment
Advisory at SCM Capital Limited, Mr. Sewa Wusu, said, “The rise in
inflation is not a monetary phenomenon; it is not caused by increased
level of liquidity in the system. It is more or less a structural
defect, which I think the government should look into.”
These days, people complain about some
bank charges and deductions from their accounts. Indeed some banks are
known to charge all manner of fees on services they render; but finance
experts say it is pretty easy to get some of these bank fees waived.
An online report on the issue by
bankingadvice.com notes that some of the fees being charged by banks may
be due to a mistake you have made (such as allowing your account to
become overdrawn). Sometimes, the fees are imposed by the bank simply as
account maintenance fees.
Here are some tips that will make your bank to waive those fees, according to bankingadvice.com.
Ask them to waive the fee: Simply call
your bank and ask them to waive the fee. Or, visit the bank in person
and ask to speak to an account representative. Simply taking this extra
step can sometimes make the difference in being able to get a waiver of
the fee.
Part of this discussion will hinge on
whether you are asking your bank to waive a one-time late fee or single
transaction fee, or whether you are looking not to pay a monthly or
periodic account maintenance fee. Your bank will almost certainly be
more likely to waive a one-time charge.
Ask for your account to be
‘grandfathered’. If you are looking for some relief from ongoing account
fees because of a change in the terms applicable to your account, then
ask whether you can have your account terms ‘grandfathered’ – which
means that the prior terms will continue to apply, even though new
accounts of the same type will be subject to the less favourable terms.
Switch to a new account. If your bank is
not able to waive the account fees at issue, then ask whether they have
a different account type that can provide you with the services and
features you are looking for, but on a better fee schedule.
For example, maybe you opened a free
current account a number of years ago with a relatively low balance
requirement, and your bank is changing the fees applicable to those
accounts. But now, your account balance may be much higher, so you will
be eligible for a higher level of account (with a higher minimum balance
requirement) that gets you the terms you are looking for.
Powergas Africa has advised
manufacturing firms and residential estates seeking access to natural
gas to switch to Compressed Natural Gas following the current disruption
in gas supply owing to the activities of pipeline vandals.
As a result of the recent rise in
pipeline vandalism, power generation and gas supply to industries have
been significantly impacted, escalating manufacturing costs as
industries are forced to switch back to more expensive and polluting
diesel-fired power generation, the company said in a statement on
Friday.
“Unfortunately, the attacks on the
pipelines are coming at a time when the Nigerian power sector was
gaining momentum. But CNG is a good interim solution,” it noted.
According to the firm, CNG still offers
significant cost saving compared to diesel – the fuel price alone is
about half of diesel, adding that natural gas was also a much cleaner
fuel than diesel, reducing maintenance costs and wear and tear on
industrial machinery.
At an energy conference, the Chief
Executive Officer of Powergas, Deepak Khilnani, reiterated the firm’s
commitment to supplying natural gas via ‘virtual pipeline’ to industries
as an alternate and cost-effective source of power generation.
“We understand the difficult market
conditions for industries and national power generation – both the
economic uncertainty coupled with the current gas crisis. Powergas is
fully committed to finding power and gas solutions and is continuing to
invest in new off pipeline compression and liquefaction plants to meet
additional demand,” Khilnani added.
Debit cards are revolutionising the way
people are paying for goods and services. A report by an online group,
gettingaheadassoc.org, explains how to make the most of a debit card’s
convenient features
*A debit card may look like a credit
card, but it works like the electronic equivalent of a cheque. When you
pay with a debit card, you authorise the credit union to take money
directly out of your account and pay it to the merchant. Like a credit
card, you simply sign a receipt for your purchase. Unlike a credit card,
there is no bill at the end of the month and no interest charge. The
debit simply shows up on your checking/current account.
*Debit card deductions are
instantaneous. Debit card purchases are immediately deducted from your
account, which means that your spending is limited by the balance in
your account. Be aware that if you have written cheques that have not
yet cleared, your debit card may allow you to overdraw your account.
*A debit card can help track spending.
Because debit card purchases are listed on your monthly statement, using
your debit card makes it easier for you to track your spending and
eliminate the need to try to remember where you spent the money you
withdrew from the Automated Teller Machine. Also, if you’re banking
online, many personal finance software programmes download debit
transactions to your software, where you can assign them to the proper
spending categories.
*Debit cards do not provide the same
purchase protection as credit cards. In most cases, if you have a
problem with merchandise or services you charged to a credit card and
you have made a good faith attempt to work out the problem with the
seller, the law allows you to withhold payment for the purchase plus any
finance or related charges. Typically, you are out of the money that
has been deducted from your account until the issue is resolved.
*Some financial institutions charge for
debit transactions. While you won’t accrue interest or finance charges
on debit card purchases, some institutions charge a monthly or
per-transaction fee for debit cards. Shop around for the best deal,
particularly if you plan to use your card often.
*Debit cards can make balancing your
chequebook a challenge. It is easy to use your debit card to pay for
groceries and stuff the receipt in the bag without ever deducting the
amount of your purchase from your chequebook balance. To avoid
overdrawing your account, devise a system for recording your debit card
transactions.
The naira fell further to 363 against
the dollar at the parallel market on Thursday, as the scarcity of
foreign exchange continued to weigh on the value of the local currency
at the interbank and parallel markets.
The naira had closed at 360 to the dollar at the parallel market on Wednesday.
The local currency also dropped against
the greenback at the interbank official market to 284 per dollar on
Thursday. The naira has fallen consistently at the interbank market this
week, a development that is reflected in the volatility it has recorded
at the parallel market.
The currency depreciated at the interbank market to 282.5, 283.25, 283.75 against the dollar between Monday and Thursday.
Foreign exchange dealers told our
correspondent on Thursday that a huge volume of demand was moving from
the interbank market to the parallel market due to the forex supply gap
at the interbank market.
“It is a supply and demand market. A lot
of demand is being pushed to the parallel market due to the shortage at
the interbank market; it appears that the interbank market is being
rigged,” the National President, Association of Bureau De Change
Operators, Aminu Gwadabe, said, adding, “There is the need to really
douse the tension.”
Currency analysts said they believed the
spike would continue next week unless the CBN took action to address
the supply gap at the interbank market
A top player at the interbank market,
who spoke under condition of anonymity, said, “The flexible exchange
rate policy that commenced a few weeks ago is a good move by the CBN.
However, the N280/dollar level where it started was not a true
reflection of the value of the naira.
“This is why the foreign portfolio
investors, who can bring forex liquidity to the interbank market, are
not coming into that market. The CBN should have allowed the market to
start around N300/dollar.”
The naira, which closed at 348 against
the greenback at the parallel market last Friday, dropped to 351 on
Monday before plunging further to 354 and 360 on Tuesday and Wednesday,
respectively.
Meanwhile, the naira was reported to
have taken a dive on Thursday at both the parallel and official markets,
becoming the worst performing currency in Africa in 2016, according to Bloomberg data.
The currency, which began trading at
around 283 to the dollar at the interbank market on Thursday,
depreciated to 284 to become the third worst performing currency in the
world for 2016.
The naira, according to Bloomberg data, came ahead of only two currencies in the world – Venezuela’s bolivar and Surinam’s dollar.
Globacom on Friday sacked 54 of its power engineers across the country and gave no official reason for the action.
Saturday PUNCH learnt that the affected workers received official notification from the company that it no longer needed their services.
The notice of disengagement, it was
gathered, also instructed them to submit their staff identification
cards and customised Subscriber Identification Module cards with
immediate effect.
The letter read in part, “This serves to inform you that your services are no longer required by Globacom Limited.
“Consequently, you are advised to report
to the Human Resources Manager, Globacom Manpower Services Limited, the
outsourcing company, with immediate effect.
“You are also expected to hand over all
company property (including SIM card, company ID, etc) issued to you
during the course of your services with us.
“We wish you all the best in your future endeavours.”
One of the affected engineers described the sacking as a “huge shock.”
He said, “I can’t believe it is real…
being told that my services are no longer required without explicit
reason. I am still in shock.
“For someone like me who has been
working at Globacom for seven years and has been managing about 150
power stations for more than two years now, to be sacked in this manner
is unacceptable.”
He dismissed speculations that the
sacking might be connected to professional misconduct, especially
related to theft of equipment or over-costing of generator maintenance
or fuelling fee.
“Using myself as an example, I have been
in charge of over 150 sites, operating them without official vehicle or
basic transport allowance, yet there has been no case of stealing or
anything else under my area of operation,” he said.
He described his ordeal and that of his
colleagues as “part of the oppressive and exploitative system in
Globacom,” adding, “They just decided to drop us to cover up their
mess.”
He said, “Globacom has gained notoriety
in the industry over cases of poor remuneration, slaving working
conditions and arbitrary rewards and punishment systems or procedures.
“Globacom is a place where the bosses
are involved in all kinds of deals to make money and sacrifice the
junior staff to cover up their tracks,” another staff who pleaded not to
be named for fear of being sacked disclosd.”
He added that following the sudden purge
of power engineers, those spared in the affected department had begun
running double shifts to cover up for the loss of workforce.
“As a result of this sacking, most of us
remaining now work day and night to cover up and it has really made
things very difficult,” he said.
When approached, employees at the Public
Relations Department of the telecommunications firm declined reacting
to the development.
The Nigerian Electricity Regulatory
Commission has directed its lawyers to file an appeal against the court
ruling that mandated it to reverse the 45 per cent increase in
electricity tariff across the country.
The NERC had earlier stated that it
would uphold the decision of the court, but the commission changed its
stance after consulting its lawyers, as announced on Friday during a
press briefing that was held at its headquarters in Abuja.
A Federal High Court in Ikoyi, Lagos had
on Wednesday reversed the 45 per cent electricity tariff increase by
the NERC and the Federal Government in a landmark judgment. The court
declared the hike in tariff illegal and directed that it should be
reversed immediately.
The court held that the implementation
of the 45 per cent increase constituted a violation of its interim order
and awarded N50,000 cost against the NERC.
Speaking at the briefing, the Acting
Chief Executive Officer, NERC, Dr. Tony Akah, said the commission was
aware of the judgment which declared the electricity tariff regime that
became operational on February 1, 2016 illegal.
He said, “The commission respects this
decision of the court but we are dissatisfied because it represents the
reversal of the commercial foundation upon which contracts for gas,
hydro, coal and solar feedstock for the production of electricity have
been predicated.
“This judgment, in our view, is a
setback to the progress made so far in the electricity sector.
Therefore, we challenge this decision. We have instructed our lawyer to
appeal. Consequently, the commission has filed for stay of execution and
a notice of appeal of the judgment yesterday.”
Akah stated that private power
production and distribution was relatively new in Nigeria and that
development such as the court ruling must be seen in that context as the
laws begin to face judicial tests of interpretations.
The NERC boss expressed the hope that
ultimately power consumers as well as institutions would come to a
better understanding of the values of the choice made to privatise the
power sector.
Akah said, “Therefore we ask investors,
as well as customers in the electricity market not to panic as we seek a
resolution within the ambit of the established laws.
“The commission remains committed to
continuously provide the right regulatory framework that would promote
private sector investment in the electricity supply industry and also
protect the interests of electricity customers as enshrined in the
Electric Power Sector Reform Act 2005.”
