DUE DILIGENCE Maritime operators condemn NPA's revocation of Leases MONEY MARKET FBN Holdings By PEARL NGWAMA the Oshodi-Apapa Expressway from indigenous companies granted them ‘Zenith Bank’s the main facilities of the Tin-Can barely a year ago are all still valid, as boosts oncerned Maritime operators Island Port Complex (TCIPC), they commenced between January N40bn oil and earnings have condemned the Nigerian Apapa, Lagos State. and March 2021. gas loans Ports Authority's (NPA's) revo- Describing the revocation as ille- It pointed out that the efforts of performance cCation of the leases granted a number gal, the association in a statement the affected companies, individually are not of its members' companies to con- signed by its coordinator, Mr. and collectively, alongside those of its in Q2 duct jetty and barging operations Oladapo Oduneye, stated that the other members, have contributed performing’ P.14 along the stretch of waterways across operational licenses of the six affected CONTINUED ON P.2 P.7 www.nationalbusinessextrang.com

...Partnering for development EXTRA VOL .4 NO.183 @nationalbizxtra @nationalbusinessextraplux N200 Monday, September 6–12, 2021 595.5% rise in FG’s debt to CBN confirms Gov Obaseki’s worry P.2 • N15.51trn to apex bank plus N347trn declared by DMO

COMMERCE & INDUSTRY L-R Executive Director Guinness Nigeria (Corporate consolidates its Services) NDIC, Hon. (Mrs.) capacity expansion Omolola Abiola P.17 Edewor; plans Chairman EFCC, Abdulrashid INVESTMENT TIPS Bawa; MD/CEO NDIC, Bello Ecobank Hassan and Executive Transnational Director (Operation) Incorporated, ‘our NDIC, Mustapha stock of the week’ Mohammed P.17 Ibrahim, during a courtesy call to CAPITAL MARKET the NDIC Senior Management in Abuja by the Access Bank Chairman of grows total EFCC assets to N10.05trn P.9

2023 Presidency: Crowd of pretenders, contenders emerge P.21

Top 10 price gainers as at September 3 Top 10 price losers as at Sept 3 Pencom urges FG funded Company Open Close Gain (N) % Change Company Open Close Loss (N) % Change TRANSCORP HOTELS PLC 4 .70 5.17 0.47 10.00 OANDO PLC 4 .80 4 .07 -0.73 -15.21 retires to enrol on-line SKYWAY AVIATION HANDLING COMPANY PLC 3 .70 4.05 0.35 9.46 MUTUAL BENEFITS ASSURANCE PLC. 0 .32 0 .28 -0.04 -12.50 P.18 PRESCO PLC 73.00 79.50 6.50 8.90 COURTEVILLE BUSINESS SOLUTIONS PLC 0 .33 0 .29 -0.04 -12.12 for verification CORNERSTONE INSURANCE PLC 0 .53 0.57 0.04 7.55 UNITY BANK PLC 0 .60 0 .54 -0.06 -10.00 AIICO INSURANCE PLC. 0 .98 1.03 0.05 5.10 LASACO ASSURANCE PLC. 1 .54 1 .39 -0.15 -9.74 PRESTIGE ASSURANCE PLC 0 .46 0.48 0.02 4.35 LINKAGE ASSURANCE PLC 0 .62 0 .56 -0.06 -9.68 Buhari admits failure of his HONEYWELL FLOUR MILL PLC 3 .55 3.70 0.15 4.23 NPF MICROFINANCE BANK PLC 1 .90 1 .75 -0.15 -7.89 SOVEREIGN TRUST INSURANCE PLC 0 .25 0.26 0.01 4.00 CHAMPION BREW. PLC. 2 .20 2 .03 -0.17 -7.73 ‘Agricultural revolution’ P.3 JULIUS BERGER NIG. PLC. 25.00 26.00 1.00 4.00 NIGERIAN BREW. PLC. 52.00 4 8.00 -4.00 -7.69 MORISON INDUSTRIES PLC. 1 .85 1.92 0.07 3.78 FTN COCOA PROCESSORS PLC 0 .48 0 .45 -0.03 -6.25 2 Monday, September 6–12, 2021 NEWS 595.5% rise in FG's debt to CBN confirms Gov Obaseki's worry N15.51trn to apex bank plus N347trn declared by DMO BY ABDULFATAI ISHOLA 595.5% to N15.51trn in five already being established, espe- fall faster than the rate of infla- is dwelling on past glory (as months". years while the fiscal deficit posi- cially if the debts arising from tion. NGX in 2020 achieved best Nevertheless, comparing onths ago, Edo state tion currently stands at the CBN's ways and means is As regards the stock mar- performing stock market glob- the returns in Nigerian equities Governor, Godwin N5.6trn. added to about N34tn debts ket, Rewane noted that Nige- ally). market and S&P 500, it was his Obaseki, warned the The FDC further stated declared by Debt Management rian equities is the best hedge While noting the good conclusion that the nation's nation about negatives in our that Nigeria is still the poverty Office (DMO) which total is against inflation on a year to- returns in the stock market and equities' market beats S&P M above N49tn. naira printing policy, saying capital of the world as 93.9 mil- year basis, maintaining that the negative real rate of return 500, remarking “High risk that if care was not taken, the lion of her population now live This is apparently worri- Nigerian equity investors' on investments in treasury investment either earns you a federal Government's ways & below the poverty line, adding some as the country is just return beats inflation by bills, he noted that investments robust reward or a handsome means advances would hit that rising concerns on debt entering the ninth month of the 37.47%. However, he noted on "Bitcoin delivered the high- loss”. N15tn by year end. Expectedly, sustainability suggests Nigeria year and there may be urgent that current NGX performance est return (335%) in twelve many government officials and is quickly falling into a debt need for the government to bor- state governors attacked him trap. row more funds before year for being vocal but that predic- According to the expert, the end. At present, some debts tion is real today as he is vindi- weak finance management that are already borrowed are Guinness Nigeria delivers outstanding results for its F21 not factored in because they are cated. practices and limited revenue Managing Director/CEO, Exposing this at the Lagos have ensured the worsening yet to be drawn down. ...PAT increases by 110% Guinness Nigeria Plc, Baker Business Schools(LBS) break- debt problems which kept the Thus, it was stated that uinness Nigeria Plc has and imported spirits. This was Magunda said. fast meeting for September, nation's domestic debts on the Inflation at 8.38% is above the announced its audited supported by improved prod- “Going into the new fiscal organised by Financial Deriva- rise. upper limit of the CBN's 9% results for the period uct mix and headline price year, we are conscious of the con- tive Company (FDC) its Chief National Business recalls target and it is known that Gended 30 June, 2021 revealing a increases in key brands. Gross tinued challenging operating Executive officer and respected that it had, in the past, severally Inflation above 12% means 110% increase in profit after tax margins declined by 3% driven environment with double-digit financial analyst, Bismack predicted that the nation's growth retardation more so as (PTA), despite the impact of by inflationary pressure, a shift inflation and pressured con- Rewane, disclosed that FG's debts would climb to N50tn by negative real rate of return is COVID-19 restrictions and towards more expensive can sumer income spending. How- ways &means has climbed by year end and that situation is widening while interest rates ongoing economic challenges. products given at-home con- ever, we will continue to focus The audited results which sumption trends, and forex on our strategy - optimising our were released to the Nigerian devaluation impacting some route to consumer, innovating Exchange Group (NGX) at the materials.” Magunda at scale to satisfy our consumers financial year-end indicated explained. and improving cost control – as that revenue increased 54% to The company, however, we continue to emerge stronger N160bn versus the prior period revealed that its net finance from the current crisis. We of 2020. costs remained on similar level remain confident about the exe- Operating profit increased as last year despite the lower cution and resilience of our by 177% benefitting from lap- debt position; due to the devalu- Total Beverage Alcohol strategy ping significant impairments in ation of Naira impacting the for- as a key driver of sustainable the prior year and reduced eign currency denominated growth in the market”, he administrative expenses arising trading balances. added. from productivity savings. “Tax was impacted by a The Chairman of the Board Speaking on the announce- one-off historic charge. Profit of Guinness Nigeria Plc, Dr. ment, Mr. Baker Magunda, before tax increased to Omobola Johnson, assured Managing Director/Chief Exec- N5.8billion, a 134% growth ver- that “the Board will continue to utive Officer, Guinness Nigeria sus same period last year; and support Management in its Plc said: “The performance of Distribution expenses efforts to sustain global best prac- fiscal 2021 showed that the busi- increased by 22% versus last tices aimed at consistently deliv- ness delivered growth despite year behind volume growth due ering business growth for stake- the challenging external envi- to efficiency improvements holders. ronment characterized by across distribution channels”, COVID-19 restrictions and high inflation.” “Revenues grew double From left: immediate Past Chairman, (NIEEE) Lagos Chapter .Engr. Bayo Olusodo, National digit across all key categories, Chairman ,(NIEEE) Engr. Kings Olusegun Adeyemi , the 7th Chairman of Nigerian institute Electrical particularly our strategic focus VFD Group kicks off graduate and Electronic Engineers (NIEE) Lagos Chapter his Wife Mrs.Yeside, during the Investiture Ceremony brands Guinness, Malta of Engr. Olalekan Olabode ,held at Sheraton Lagos hotel and Tower … recently. PHOTO SUNDAY Guinness as well as our local trainee programme to create ESHIET opportunities for graduates n the fourth quarter (Q4) of opment and contribute signifi- 2020, unemployment rate cantly to the nation's economy Maritime operators condemn NPA's revocation of Leases in Nigeria increased to in terms of output and employ- CONTINUED FROM P 1 ment destination. legitimate businesses and will part: "(a) Determination of 3I3.30 percent from 27.10 per- ment. immeasurably in curbing grid- The Concerned Maritime throw several persons into the TOL: - License is determinable cent in the second quarter (Q2) “Building positive and lock along the ports access Operators x-rayed the lease already congested unemploy- by either party by the issuance of 2020 according to the socially conscious ecosystems roads as they moved huge vol- agreement, noting that the ment market. of seven-day notice to the party Bureau of Statistics. that ensure we are providing umes of cargoes safer, cheaper licensees had not defaulted in “We unequivocally state of his intention to terminate the The rate of unemployment innovative solutions to every- and more conveniently via the any way and asserted that the that, in rendering those ill- license. in Nigeria continues to increase day citizens and entrepreneurs waterways. NPA was not justifiably in need conceived revocations, the "(B) The License shall be at an alarming rate and it are at the core of what we do at The operators lamented of the space allocated to these NPA had taken a dim, callous revoked without giving the requires meaningful and tangi- VFD Group. A feat that we have that the action of the NPA licensees. and selfish stand on the issue. required seven-day notice if the ble actions. only achieved through the col- resulted into the wanton It therefore, called on the It further stated that federal government directs the As a socially conscious orga- laborative efforts of a dedi- destruction of the structures, federal government to reverse “Clearly, in giving effect to the immediate removal of the occu- nization, VFD Group, a propri- cated, hardworking, and tal- equipment and other invest- the NPA's action, stating that it conditions in the License pant. etary investment company, has ented pool of individuals. We ments belonging to the licens- was done without due pro- agreements signed between "(C) The License shall also kicked off application for its believe in the power and ees at the lease sites located cesses, and quite unconstitu- the respective licensees and the be revoked without issuing the 2021 Graduate Trainee Pro- importance of having a great between the TCIPC first and tional. NPA, the Authority's revoca- seven-day notice where the gram. The programme which is team, and we would ensure second gates by Port Novo According to a statement tion orders on our affected Authority requires the space for in its 4th edition, aims to equip they grow, remain fulfilled, and Creek, thereby, rendering not by the concerned maritime members' leases or Temporary use." recent graduates with requisite achieve their growth potential less than 6,000 people redun- operators, “It is baffling that Occupation License (TOL) “Of course, none of our training, development, and with us.” dant under the administration of were not informed by strict members ever invoked that emotional intelligence to be In the end, young gradu- The association further President Muhammadu adherence to the principles of first clause, and, on the second able to function in their chosen ates with curious and innova- said that the NPA was high- Buhari, which has done, and the public interest, but skewed clause, we firmly believe that a professional careers. The appli- tive minds will work alongside handed in its action, costing the continues to do, so much in to favour some land grabbing Buhari administration that has cation opened on Friday, the brightest minds in the affected operators huge losses deploying stimulus packages vested interests set on a course consistently supported indige- August 27, 2021, and would industry and work on projects in terms of revoked contracts to alleviate poverty through of hostile takeover of a hitherto nous entrepreneurs in words end on Friday, September 3, that are changing the world with foreign investors. supportive policies, including dormant location that the and actions will suddenly do a 2021. and thus help them become It added that the Author- boosting local content and smart and hard work of our volte-face in this instance, the According to the Group future leaders. ity's act was skewed to favour financial incentives to entre- members breathed a new lease statement added. Head, Human Resources, VFD Applications opened Fri- some land grabbing vested preneurs, an institution of the of life. National Business effort to Group, Damola Andah indeed, day, August 27, 2021, and interests, painting Nigeria Federal Government, such as “The sections of License extract reactions from the NPA our commitment to this gradu- Interested candidates can before the international com- the NPA, is engaging in antics Agreement the NPA has taken before the time of filing this ate training program is to help apply for the training on our munity as an unstable invest- that are antithetical to gainful undue advantage of state in report was unfruitful. build and sustain talent devel- website. NEWS Monday, September 6–12, 2021 3 L-R: Chairperson, REDTV's web series, Assistant Madams Women Group, Lagos Chamber of Commerce Season 2 Premieres, new cast unveiled and Industry LCCI Mrs ll the stars came out for the Obi Asika; Debola Williams and his Victoria Obadina- Onafowokan; repre- exclusive premiere of wife Kehinde; Chude Jidenonwo; senting Dr (Mrs) Linda REDTV's latest web series, Fresh L, amongst others. Ayade, first Lady of Assistant Madams, Dark Hearts. Atta who is, also, the Group Cross Rivers State; Mrs REDTV, the online network sup- Director for Communications at Stella Hycintho, Presi- ported by the United Bank for Africa UBA, spoke about the passion and dent, LCCI Mrs Toki continues to make impact in the cre- drive behind UBA's continuous sup- Mabogunje; represent- ative industry on the African Conti- port of the creative industry and said ing Dr (Mrs) Ibijoke nent, with a focus on job creation and that the bank is always on the look- Sanwo-Olu, first Lady growth. of Lagos State, Mrs out for innovative ways to enable Abosede Yinka- The second season of the series more youths build upon their talents Ogundimu and Country revealed new cast members from and embrace their creative side. Director, ActionAid Ni- Across Africa including Dilish She said, “UBA remains com- geria, Mrs Ene Obi, Mathews, winner of the 2013 Big mitted to growing the creative indus- during the LCCI Anti- Brother Africa, from Namibia; award try through its lifestyle channel – Money Marriage con- winning actresses Salma Mumim REDTV and we are really thrilled ference themed 'Stop! and Jocelyn Dumass from Ghana as with the journey thus far. At Don't Pawn the Girl well as Mauwuli Gavor a TV pre- REDTV, we are focused on creating a Child' held in Lagos. senter turned actor, also from PHOTO SUNDAY platform where young people can ESHIET Ghana. meet, create and harness their art'. The series has a star studded cast Atta thanked the Chairman of with Singer and song writer, Sheyi UBA, Mr Tony Elumelu and the Shay; Timini Egbuson; Big Brother GMD, Kennedy Uzoka for their sup- star, Cee-C Nwadiora; Osas port of all the REDTV initiatives. She Buhari admits failure of his agricultural revolution Ighodaro who played the infamous also thanked Assistant Madams co- resident Muhammadu Buhari terrorist across the North. ding recently and he wondered were Chioma in the first season of Assis- producers at Urban Vision, Tola last week acknowledged the But as it would be recalled, the Nigerian Customs was as the rice tant Madams; Femi Branch; Odunsi and Akins Akinkugbe. failure of his so-called "Agri- experts of various hues had been served were foreign rice. Ademola Adedoyin, RED Hot Topics On his part, CEO Urban Vision cultural revolution" with the sack of warning for 'donkey years' that the Perhaps, his wonderment owed Star, Temilola Young and Eso Dike. P and Director, Assistant Madams, his Ministers of Agriculture and loans being given to farmers across to the much talked about rice pyra- The excitement over the return Tola Odunsi, commended UBA and Power in a cabinet reshuffle, citing the North almost to the exclusion of mids across the North which critics of REDTV's blockbuster series Assis- indeed REDTV for the continuous the need to improve economic man- the South, especially the South-East, has since been harping as smuggled tant Madams 2 was palpable as the support in ensuring that viewers are agement and the delivery of public will end in jeopardy. foreign rice that were re-bagged to show premiered at Cilantro in Lagos always provided with the best quality services. A new report by the Institute of deceive the gullible -with beautiful on Saturday night. entertainment. Saleh Mamman was replaced as Development Studies, a UK-based pictures decorating multiple news- The Executive Producer of “We have been partnering with Power minister by Abubakar Aliyu, think tank, has placed Nigeria as the papers and magazines. REDTV, Bola Atta, welcomed the UBA and REDTV to create top qual- the Minister of state for works and second poorest country in the world Leading Policy Think-Tank Chairman, United Bank for Africa ity content and jobs for the past 4 housing, while Mohammed Sabo in terms of food affordability. Group, the Nigeria Economic Sum- Plc, Mr. Tony Elumelu, to the pre- years, and we are amazed by the num- Nanono was replaced as Agriculture The report, which was compiled mit Group, (NESG) on September 8, miere as well as the cast and crew and ber of jobs that have been created Minister by Mohammad Abubakar, through a publicly available global 2020 issued a 15-point statement on top celebrities from the entertain- and people who have been employed his counterpart at the Environment cost-of-living database, Numbeo, the state of nation's economy cover- ment industry, including the stars of through our partnerships alone. We Ministry. was used in creating a 'cost of food ing key sectors. In a release signed by The Men's Club, Efa Iwara, Sharon look forward to many more years of Buhari told a cabinet meeting basics' analysis that compares the the Chairman of the Board of NESG, Ooja, Enado Odigie, Nengi Adoki; partnership with REDTV' said that the sackings were a result of a pro- monthly minimum recommended Mr Asue Ighodalo and the Chief Exec- Segilola Ogidan. Also present were Odunsi. cess of "independent and critical self- spend on food per adult and monthly utive Officer Mr Laoye Jaiyeola, it Kunle Oshodi-Glover; Tobi Osoba; review". average wage in 107 countries across assessed several policy steps and According to him," These signifi- the world. reforms carried out by the current cant review steps have helped to iden- If nothing, the sack of Agric Min- administrations and also proffered BudgIT launches GOVSPEND.NG; tify and strengthen weak areas, close ister will put paid to the much hyped solutions to some of the socio- gaps, build cohesion and synergy in rice pyramids in the North and false economic challenges in the country. tasks citizens, CSOs, Media governance, manage the economy claims like the recent assertion by The Nigerian Economic Summit udgIT, a foremost civic-tech Okeowo. and improve the delivery of public President of Rice Farmers Associa- Group (NESG) noted that since the organisation leading the While the Open Treasury portal goods to Nigerians" . tion of Nigeria (RIFAN), Alhaji inception of this Administration, Agri- advocacy for fiscal transpar- provides public access to collated Critics are however shocked that Aminu Goronyo that with 9 million culture and the need to ensure Zero Bency and accountability in Nigeria, data on government spendings at the development came after it was metric tons of annual rice produc- Hunger for Nigerians has received has launched govspend.ng, a visual the federal level and for MDAs, disclosed that The Central bank of tion, Nigeria is now self-sufficient in considerable attention. "However, platform that provides citizens, govspend.ng simplifies and visual- Nigeria recorded a shortfall of rice and almost ready for exportation. despite the budgetary allocations and CSOs, the media and stakeholders ises treasury reports uploaded on the N378.5bn in loan repayment by bene- This was the sought of lies that huge sums of money disbursed by the access to simplified data from the portal for citizens and civil society ficiaries under the Anchor Bor- were used to deceive Nigerians who Central Bank of Nigeria (CBN) Federal Government's Open Trea- organisations to access, monitor and rower's programme in six years, data were not aware that 9milion metric through the Anchor Borrowers' sury Portal. understand Federal Government's obtained from the findings apex bank tons of rice cannot feed 200million Programme, a huge gap remains in National Business recalls that in real-time expenditure. have shown. The excuse given by the population how much more talk of meeting the food requirements, December 2019, the Federal Gov- The portal also highlights anom- farmers were the violence being export. Senator Shehu Sani was in which has resulted in increasing hun- ernment launched the Open Trea- alies that BudgIT discovered on the organised by bandits, herdsmen and Kano during the President's Son Wed- ger among the Nigerian populace. sury Portal to increase transparency open treasury website, including pay- and accountability in government ments made to multiple beneficia- spending. The portal provides a ries, payments without descriptions, Voting commences in CSR-in-Action's 2021 CAHR Awards space for collating data by all Minis- payments made to personal tries, Departments and Agencies accounts and payments with incom- he race to select and celebrate ing action is for citizens within the geo- social justice and inclusion, and pro- (MDAs) on budget implementation plete information. Nigeria's community develop- graphical landscape of the African con- moting human rights in our commu- financial records and transactions ment and human rights heroes tinent to allow for the selection of nities,” said Bekeme Masade- “This platform is useful for has intensified as voting commences deserving recipients for the various Olowola, Chief Executive of CSR-in- above the threshold of N5 million by everyone. Citizens can access infor- T for the nominees of the 2021 Commu- categories. Action and Host of the CAHR Awards. MDAs and N10 million by the Office mation on companies that have been of the Accountant General of the Fed- nity and Human Rights (CAHR) Dedicated to celebrating late his- Masade-Olowola explained that awarded public contracts and Awards, organised by frontline eration. While the platform is inno- amounts paid by MDAs to such com- torically prominent personalities, the the awards have been extended to vative and commendable, much sustainability focussed outfit, CSR-in- award features seven categories from cover the rest of Africa to expand rec- panies. At the same time, CSOs can Action. work is still needed to ensure that the build conversations around govern- which nine individuals and corporate ognition for these icons. portal achieves its purpose of ment spendings based on simplified Members of the public can visit organisations will be honoured. The voting stage follows a process improving fiscal transparency in data uploaded on the website. We www.cahrawards.org/vote to select Available categories include: the of nomination of individuals for suit- Nigeria, especially in navigation and also hope the media would leverage their preferred candidates before 24 Ken Saro-Wiwa Environmental Man- able categories after which there was usability for the public. information on govspend.ng for September 2021. agement Award, MKO Abiola Com- an internal review process of sieving While speaking about the advocacy and investigative journal- CAHR Awards is Nigeria's first munity Engagement Award, Hajiya multiple entries, verification of per- launch, Gabriel Okeowo, BudgIT's ism,” said Damilola Ogundipe, initiative dedicated to celebrating out- Gambo Sawaba Community Impact sons and their qualification for the cat- CEO, reiterated BudgIT's objective BudgIT's Communications Lead. standing individuals and organisa- Award, Funmilayo Ransome-Kuti egory entered, and selection of the for the govspend.ng platform. “The We, therefore, urge citizens, tions that have performed excellently Human Rights Award, Mallam most impressive/suitable profiles Federal Government has done a CSOs and the media to ensure that in engaging their communities credit- Aminu Kano Award for Leadership, based on available resources online. great job in ensuring that the govern- they leverage this portal for demand- ably through inclusion, equity, envi- Josephine Nkemdilim Equal Rights In the final stage of selection, the ment's daily spendings are in the pub- ing transparency and accountability ronmental awareness, poverty allevia- Award, and Apostle Hayford Alile CAHR Awards Jury will scrutinise lic domain. However, data on the from the government on the usage of tion, education and general promo- Humanitarian Award. information provided by the portal are mostly in non-machine public funds. It is also our hope that tion of human dignity. “Through the CAHR Awards, we awardees and judge based on a set of readable formats and not download- faultlines on the open treasury portal Now in its third year, the annual aim to recognize and publicize the criteria. The winners will be presented able. We developed the govspend.ng will be standardised by the govern- awards have been extended to cover good works of those who have con- their awards at a colourful ceremony portal to rectify this issue” Said ment. the entire African continent, and vot- tributed selflessly to engendering later in October 2021. 4 Monday, September 6–12, 2021 PHOTO NEWS NIMASA seeks synergy with FDFA on safety of fishing vessel he Director General of there should be adequate of the Deep Blue assets, the the Nigerian Maritime information sharing between days of criminal elements in Administration and FDFA, which has the mandate Nigeria's maritime domain TSafety Agency (NIMASA), Dr. to license fishing vessels, and were numbered, as the assets Bashir Jamoh, has called for NIMASA that is responsible had been fully deployed. greater synergy between the for registration and survey of In his own remarks, Head Agency and the Federal the vessels to ensure that of Monitoring, Control and Department of Fisheries and unseaworthy vessels are not Surveillance at the FDFA Aquaculture (FDFA) to ensure licensed to operate in Nigerian Lagos Office, Mr. Paul safety of fishing vessels and waters. Opuama, thanked NIMASA their operators in Nigeria. According to him, "It is for hosting the meeting, saying Dr. Jamoh made the call in important that NIMASA and it provides a very useful oppor- Lagos at a strategic meeting the Federal Department of tunity to not only clear some with officials of FDFA to dis- Fisheries agree to continu- grey operational areas but also cuss issues relating to safety of ously collaborate on modali- foster greater collaboration in fishing vessels, Illegal, Unre- ties for registration, survey and order to improve safety of fish- ported and Unregulated (IUU) licensing of fishing vessels to ing vessels. Fishing, and broader crimes ensure that all safety standards The one day strategic meet- that take place during fishing are met before they can be ing, which held under the aus- Governor, Central Bank of Nigeria, Mr. Godwin Emefiele, Lagos State Governor, Mr. Babajide Sanwo-Olu and operations and related mat- allowed to operate. This would pices of NIMASA's External Minister of Youth and Sports Development, Mr. Sunday Dare at a World Cup qualification match between the ters. drastically reduce incidents Relations and Technical Coop- Super Eagles of Nigeria and the Lone Stars of Liberia, at the Teslim Balogun Stadium, Surulere, Lagos, on Represented by the Head, involving fishing vessels in our eration programme, was Friday, September 3, 2021 PHOTO SUNDAY ESHIET Special Duties (External Rela- waters.” aimed at seeking areas of col- tions and Technical Coopera- On maritime security, laboration between the two tion), Mr. Isichei Osamgbi, the Jamoh said with the acquisi- agencies for the benefit of the Director General noted that tion and training of operators fishing industry in Nigeria. Shippers' council boss harps on benefits of AfCFTA he Executive Secretary, first, globally 52; Egypt second tors were implemented, they Nigerian Shippers' and globally 58; Nigeria is 8 would spur economic growth Council (NSC), Mr and globally 75,” he said. and prosperity and eradicate TEmmanuel Jime, last week Jime pointed out that poverty on the African conti- listed key issues to be from the above, Nigeria had nent. addressed to make Nigeria a more work to do in order to He said this would boost maritime hub for the African position itself as the maritime job creation, eliminate barriers Continental Free Trade Area hub for AfCFTA. to trade, facilitate free move- (AfCFTA). He added that in the Nige- ment of goods produced by Jime made the recom- rian port sector, road, rails, African countries and boost mendations at a sensitisation inland infrastructure, coupled inter-regional trade. seminar with the theme, 'Afri- with the perennial and embar- Jime said the scheme can Continental Free Trade rassing gridlock on our port would increase the volume of Area: Implementation Strat- access roads, may not cope economic activities for African L-R: Divisional Head, Health and Education Sectors,Obinna Ukachukwu; Group Head, Health Finance, egy for the Maritime Sector,' with the anticipated increase ports including Nigerian ports, Mrs. Ibironke Akinmade, both of Sterling Bank Plc with Secretary to the Federation, Boss Mustapha organised by the council. in economic activities occa- at the enterprise level. during Sterling Health Finance + Association of Health Commissioners session in Abuja on Friday. Jime, represented by Mr sioned by AfCFTA. He added that it would Cajethan Agu, Director Con- He said for Nigeria to bene- also improve competitiveness sumer Affair of the council, fit fully from AfCFTA, and by exploiting opportunities, noted that there was a need to assume the position of mari- boosting intra-African trade, look at some indicators criti- time hub, there should be con- which would lead to more ship- cally so that Nigeria could bene- scientious efforts by the gov- ping activities for Nigeria. fit adequately from AfCFTA. ernment and the private sector He pointed out that NSC had “The first indicator has to to carry out some quick inter- established a trade support do with the Logistics Perfor- vention measures. project to boost trade such as mance Index. On the table, the “The first is to fix the road promoting inland dry ports, first is South Africa, followed on the major trade corridor vehicle transit areas, border by Egypt and Kenya; Nigeria is connecting Nigeria and West information centre to provide number 14, globally we are 110. African neighbours. Second is trade information, prevent “The second indicator is the port automation of pro- undue harassment and forma- the dwell time of cargo at our cesses and procedure with the lise informal trade in Nigeria. ports; this measures the clear- establishment of a single win- Mr Francis Anatogu, ance time of cargo at the port. dow. National Coordinator, Action The port in Durban, South “There is need to provide Committee on AfCFTA, listed Africa and Lome port is 4- scanner at the port, fast track some goals to help reap the ben- days, Apapa port is hovering the development of Lekki efits of AfCFTA such as: to over 20 to 22 days. Deep Sea Port, improve the grow the productive L-R Managing Director/Chief Executive, Nigeria Deposit Insurance Corporation (NDIC), Bello Hassan “Another is connectivity agricultural value chain,” he workforce, engender a friendly explaining a point to the Chairman, Economic and Financial Crime Commission (EFCC), Abdulrashid rating, our closeness to the said. business environment, grow Bawa, during the latter's courtesy call to the NDIC Senior Management in Abuja recently. global market. South Africa is He noted that if the indica- local demand, among others. Sanwo-Olu commiserates with Lagos CP over mother's death he Governor of Lagos life before her departure. ple who were close to her dur- State, Mr. Babajide He said the elderly and wise ing her lifetime. Sanwo-Olu, has com- counsel of the late octogenarian The Governor urged Mr. mTiserated with the State Com- would be sorely missed, not Hakeem Odumosu and his missioner of Police, Mr. only by her family but the peo- entire family to see the death of Hakeem Odumosu, on the his dearly beloved mother as death of his mother, Alhaja the opening of a new chapter Sikirat Odumosu. and new reality for them. Alhaja Odumosu died at “On behalf of the good peo- the age of 88 at the Babcock Uni- ple of Lagos State and my ador- versity Teaching Hospital, able wife, Ibijoke, I sympathize Ilisan Remo, Ogun State on with the Lagos State Commis- Thursday after a brief illness. sioner of Police, Hakeem Governor Sanwo-Olu, in a Odumosu, on the demise of his statement issued on Friday by beloved mother, Alhaja Sidikat his Chief Press Secretary, Mr. Odumosu. Gboyega Akosile, urged the “I pray that God will grant deceased family, friends, asso- the late Alhaja Odumosu eter- Pictures show the cross section of Staff of Lagos State ministry of Women Affairs and Poverty ciates and the people of Ijebu- nal rest and grant the family the Alleviation’s instructors Skill acquisition centres Protesting on Appeal for Appropriation of Appointment/ Ode to take solace in the fact Lagos State Commissioner of fortitude to bear the irreparable poor condition of service and threat of sacking at Lagos State secretariat Alausa. PHOTO SUNDAY that the deceased lived a good Police, Hakeem Odumosu loss," the governor said. ESHIET. Monday, September 6 - 12, 2021 5 NBE Team VISION MISSION STATEMENT PUBLISHER National Business Extra shall be the voice of the To be a credible business platform committed to sound ethical Odion Ellis Aideloje business community through our viable daily practice in the delivery of useful information and news to our online and hard copy publications target audience. EXECUTIVE EDITOR Kenneth Madueke

NEWS ROOM Pearl Ngwama Abdulfatai Ishola Johnmark Ukoko Obisanya Olusegun Titus Akhigbe (Benin) Nigeria, avert that imminent nationwide strike by NLC he Nigeria Labour Congres (NLC), no bill which the Federal Government approved ADVERT/BUSINESS DEVT. MANAGER Jude C. Ofoegbu doubt, is unhappy about the rumoured since 2019. Their usual reason is that they do plan by the Federal Government to not have enough financial resources with the Tapprove another hike in electricity tariff and is dwindling allocations from the FAAC as well as ADVERTISEMENT already spoiling for a fight. According to a letter the Internally Generated Revenues (IGRs) to Uche Azubuike (Abuja) Aderonke Aniyi (Lagos) signed by the NLC President, Comrade Ayuba take care of their pressing capital expenditures Wabba, the plan is to increase the tariff from and existing recurrent needs let alone incur N36 to N47.09 per kilowatt in Lagos and Abuja new ones. This is despite their refusal to cut GRAPHICS /PRESS areas. down on soaring cost of governance and fiscal Chris Ubani Queen Barrah National Business recalls that the govern- indiscipline. ment through the Nigeria Electricity Regulatory Unfortunately, the last tariff hike came into CIRCULATION Commission (NERC) had approved a similar effect on the heels of the gradual easing of the Elijah Adeyemi increase in tariff in January this year. Of course, Federal Government’s economic lockdown the angst over the move and increase in petrol prompted by the devastating effect of the SECRETARY/ADMIN. pump price from N145 to 160 by the Petroleum global virus that still refuses to abate. Conse- Folake Ijilusi Products Marketing Company (PPMC) late quently, all the so-called economic palliative EDITORIAL ADVISORY BOARD 2020 apparently threatened the nation's grave- measures the government put in place to give Prof. Clinton Aigbavboa yard peace. The accompanying needless disrup- succor to business owners were indirectly Femi Aluko tion in economic activities across the country wiped out by the twin hike in the electricity tar-

LEGAL ADVISERS with its negative impact on the Gross Domestic iff and petrol pump price. Here again, the same J.U. Mbaeri & Co. Product (GDP) makes further hike in the costs government is contemplating another of those essential services a key decision that increase in electricity tariff while the citizenry must be taken with caution. is facing the third wave of deadlier variant of At present, the mood of the nation given the COVID-19. OFFICE unending insecurity challenges, emergence of Unless those in government are truly insen- 3, Delo Dosumu Street, Delta Variant of Covid-19 pandemic and sitive, if not it is difficult to understand their Off Oritshe Street, By Awolowo Rd. Ikeja Lagos. unfriendly fiscal and monetary policies is not rationale for the planned hike especially with Tel: 09035566777 too good to accept such planned electricity tar- the storm of protest brewing in the country. ABUJA OFFICE: iff increase. In the last couple of months this The 50 percent hike in the Valued Added Tax Block G, Flat 10 year, Nigerians have had to contend with differ- (VAT), volatility in the exchange rate with its Sky Memorial complex Wuse zone 5, Abuja ent forms of industrial disharmony by unions unsalutary effect on the value of the Naira under the organized labour. If it is not the Nige- have, inevitably, eaten deep into the pocket of Email: [email protected] [email protected] rian Resident Doctors Association (NARD), it is average Nigerian worker who has to contend www.nationalbusinessextra.com the Joint Health Sector Unions (JOHESU), with concomitant high inflationary trend. This ASUU, Judicial staff and the likes. And in all added to the current food inflation that is caus- Twiter: @NationalBizxtra FB: @Nationalbusinessextraplus this, the national economy suffers unnecessary ing hunger and starvation which do not sup- Instagram: nationalbusiness_extra dislocations with the traumatized workers port additional pains on the citizenry. Any Linkedin: NationalBusiness Extra mostly at the receiving end. It is on record that action to the contrary may trigger off protests till date, many states of the federation have not by the unguarded and idle youths who are been able to implement the new national wage ready to unleash their anger against the state.

PHOTO NEWS

L-R: Chairman, Senate Committee on Industry, Senator Saidu Alikali, , Group Chairman, Nigerian Exchange Group Plc; L-R: National Vice Chairman, Association of Community Pharmaceutical of Nigeria (ACPN) National Chairman, ACPN, Dr. Otunba Abimbola Ogunbanjo, HonourableMinister for Tradeand Investment, Otunba Niyi Adebayo, and CFA, Chief Samuel Adekoka, Production Manager, EMZOR, Olotu Osamudiamen and Head of Sales, Marketing & Strategy Executive Officer, Nigerian Exchange Limited Temi Popoola, during the High-Level Roundtable on Industrialization in (Pharm & Vaccines) Zolon Health Care Limited. (A member of he Emzor Group) Chukwu Ekwe during the visit of the Africa organized by the Manufacturers Association of Nigeria in Lagos at the weekend. Association of Comm unity Pharmaceutical of Nigeria, (ACPN) to Emzor Ultra Modern WHO-Compliant Pharmaceutical PHOT O: SUNDAY ESHIET Factoryin Shagamu, Ogun State. PHOT O: SUNDAY ESHIET 19 ENERGY Monday, September 6–12, 2021 Shell, firm to build largest LNG bunker barge lorida-based marine solutions, extend Crowley's commitment to ager, Global DLNG for Shell. feature four Type C tanks and a cargo that once delivered, it will operate as an transportation and logistics deliver cleaner, innovative solutions “This additional LNG barge will handling system by Finland's articulated tug and barge unit along the company, Crowley Maritime to help the shipping industry con- serve as another demonstration of Wartsila. US East Coast. CForporation has signed a long-term tinue on the path to decarboniza- our commitment to building and ser- World Maritime News report time charter with Shell NA LNG for tion,” said Tucker Gilliam, vice presi- vicing sustainable maritime endeav- the building and operation of a new dent, Crowley Shipping. ors, both in the United States and LNG bunker barge. “Orders for ships fueled by lique- globally,” said Dario Deste, president Under the arrangement, the fied natural gas continue to rise, and and CEO of Fincantieri Marine 126.7-meter-long barge will offer a the vessel will provide Shell an inno- Group. capacity of 12,000 cbm (3.17 million vative and reliable service to meet New vessel is expected to provide gallons) and product supply equip- demands for more sustainable ocean carriers the opportunity for ment to serve ocean carriers. energy sources.” reduced emissions and lower green- The vessel, which will be con- “The shipping sector is making house gases. structed at Fincantieri Bay Ship- progress toward decarbonization, Fincantieri Bay Shipbuilding is building of Sturgeon Bay, Wisconsin, and LNG offers immediate emis- poised to deliver a different LNG is expected to be deployed in 2024. sions reduction with the potential to barge for NorthStar Midstream later Upon completion, the barge will become a net zero emission marine this year. The company started the be the largest Jones Act-compliant fuel given the possible roles of bio- construction of the vessel in July unit of its kind. LNG and synthetic LNG,” com- 2020. “The new bunker barge will mented Tahir Faruqui, general man- The 5,400 cbm bunker barge will How price differentials 20th OPEC and non-OPEC fuels petrol smuggling ministerial meeting concludes –NNPC on far reaching decisions he Nigerian National Petro- he 20th OPEC and non-OPEC Min- leum Corporation (NNPC) isterial Meeting (ONOMM) held has explained that concerted via videoconference, concluded last eTfforts by the Corporation and week and took very important decision. some Federal agencies to combat T the menace of smuggling of petro- The Meeting noted that, while the leum products have been largely effects of the COVID-19 pandemic con- hampered by existing arbitrage tinue to cast some uncertainty, market fun- fueled by the prevailing huge price damentals have strengthened and OECD differentials in pump price of petrol stocks continue to fall as the recovery accel- in Nigeria and neighbouring coun- erates. tries. The Meeting welcomed the positive In a presentation at an interac- performance of Participating Countries in tive session by the Joint Senate the Declaration of Cooperation (DoC). Committee on the 2022-2024 Overall conformity to the production Medium Term Expenditure adjustments was 110% in July including Framework (MTEF) and Fiscal Mexico (109% without Mexico), reinforc- Strategy Paper (FSP), Group Man- ing the trend of high conformity by Partici- aging Director of the NNPC, pating Countries. Mallam Mele Kyari, said with a In view of current oil market funda- price difference of over N100 per mentals and the consensus on its outlook, L – R: GM, Marketing and Corporate Communications, Coscharis Group, Mr. Abiona Babarinde; Governor, Lagos the Meeting resolved to reaffirm the deci- litre between what is sold in Nigeria State, Mr. Babajide Sanwoolu; DGM, Ford Sales, Coscharis Motors Plc, Mr. Justin Ngini at the presentation of and in countries around the nation, sion of the 10th OPEC and non-OPEC Min- ‘Appreciation Plaque’ to Coscharis Group as one of the sponsors for this year’s Lagos State Public Service Week isterial meeting on 12 April 2020 and fur- it was difficult to cage the activities at the award luncheon with the Governor in Lagos. of petrol smugglers. ther endorsed in subsequent meetings, The NNPC GMD said though including the 19th ONOMM on 18 July the Corporation, working in concert 2021 with other agencies, has made It also reconfirms the production noticeable progress in combating NDDC got N6trn in eight years –FG adjustment plan and the monthly produc- the menace, the battle was yet to be he federal government has substantially compromised. The tion adjustment mechanism approved at won. said it allocated the Niger Federal Government is also con- the 19th ONOMM and the decision to “As long as there is arbitrage Delta Development Com- cerned with the multitudes of Niger adjust upward the monthly overall pro- between the price that you sell and mTission (NDDC) received Delta Development Commission's duction by 0.4 mb/d for the month of Octo- what is obtainable elsewhere, you N6trillion in eight years and main- bank accounts amounting to 362 ber 2021. can be sure that it is very difficult to tained 362 bank accounts lacking and lack of proper reconciliation of Also.it extended the compensation contain the situation,” he said. proper reconciliation. accounts.” period until the end of December 2021 as He emphasized that the activi- Attorney General of the Feder- “The essence of the forensic requested by some underperforming coun- ties of smugglers have also made it ation and Minister of Justice audit is to ensure probity and tries and request that underperforming difficult for the country to deter- Abubakar Malami said this while accountability in the use of public countries submit their compensation mine the actual consumption fig- receiving the forensic audit report funds. It is against this background plans by 17 September 2021. Compensa- ures for petrol, noting that the Cor- of the NDDC from the Minister of that the federal government will tion plans should be submitted in accor- poration can only know what was Niger Delta Affairs, Godswill without hesitation strategically dance with the statement of the 15th Akpabio, in Abuja. Minister, Niger Delta Affairs, implement all aspects of the audit ONOMM. trucked out from loading depots Godswill Akpabio across the country but cannot He expressed concerns over exercise that will promote probity The meeting reiterate the critical determine how much of that was 13,777 projects being handled by ticularly concerned with the colos- and greater prosperity for the Niger importance of adhering to full conformity consumed in-country. NDDC, saying their execution was sal loss occasioned by uncompleted Delta Region and Nigeria as and to the compensation mechanism, tak- On the MTEF assumptions, the “substantially compromised.” and unverified development pro- whole." ing advantage of the extension of the com- GMD reiterated a base oil price sce- According to him, the Buhari jects in the Niger Delta region, in He said the recent Petroleum pensation period until the end of Decem- nario of $57 per barrel for 2022, $61 administration was concerned spite of the huge resources made Industry Act was to “to bring about ber 2021 per barrel for 2023 and $62 per bar- about 'the colossal loss' caused by available to uplift the living stan- the prudence and accountability in The meeting decided to hold the 21st rel for 2024 predicated on a base uncompleted and unverified devel- dard of the citizens. the Petroleum Sector and to give a OPEC and non-OPEC Ministerial Meeting national production of 1.883 mil- opment projects in the Niger Delta “We have on record over 13,777 sense of participation and owner- on 4 October 2021 lion barrels per day in 2022, 2.234 region, despite releasing about projects, the execution of which is ship to the host communities.” million barrels per day in 2023 and N6trillion to the commission in 2.218 million barrels per day in eight years. 2024. “It is on record that between Oil in focus ahead Of OPEC+ Meeting Kyari explained that the 2001 and 2019, the federal govern- ugust was a turbulent month may spell trouble for oil as Septem- assumptions were arrived at after ment has approved N3, 375, for oil prices as conflicting ber kicks off while widespread consultations with the Ministry of 735,776,794.93 as budgetary allo- themes caused the com- flooding from Hurricane Ida could Finance and other relevant stake- cation and N2,420,948,894,191.00 mAodity to appreciate and depreci- keep bears in the vicinity. With holders while also undertaking a as Income from Statutory and Non ate on alternate weeks. these negative themes stacked careful appraisal of the three-year Statutory Sources, which brings the Despite bulls dominating the against oil and clouding the historical dated Brent Oil Price aver- total figure to the sum of approxi- scene last week, both Brent and demand outlook, all eyes will be on age of $59.07 per barrel premised mately N6 trillion given to the Niger WTI Crude have posted their first the highly anticipated OPEC+ meet- on Platts Spot Prices among other Delta Development Commission. monthly loss since March. Persis- ing on Wednesday afternoon. OPEC, Secretary-General, considerations. “The federal government is par- tent worries over the Delta variant Mr. Mohammed Sanusi Barkindo Monday, September 6 - 12, 2021 7 Money market | Capital MarketF | Piersnonal Finaance n | Pencsion e& Insurance | Leasing & Asset Finance ‘Zenith Bank’s N40bn Oil and Gas loans are not performing’ BY KENNETH MADUEKE billion. m a r k e t a b l e s e c u r i t i e s . The bank, also, reported that On the other hand, Interest igeria's largest bank by foreign currency loans as of expense declined by 26% YoY net asset, Zenith Bank June 2021 was $2.8 billion, a due to the rebalancing of disclosed in its half year drop from $3.1 billion reported deposit mix and the declining N(H1) investment presentation same period in 2020. Again, oil y i e l d e n v i r o n m e n t . t h a t 2 9 . 9 % o f i t s n o n - and gas-related loans make up Contribution of non-interest performing loans are oil and its largest chunk with about $1.4 income to total revenue gas-related loans. billion, though down from $1.6 increased from 37.3% to 41.0% The bank currently has a billion a year earlier. Zenith YoY. This was driven by the total non-performing loan of Bank has equally restructured growth recorded in fees on N134.8 billion out of which its about 37% of its oil and gas electronic products (91%), oil and gas loans amount to loans. account maintenance fee (51%) about N40 billion (29.9% of the Zenith Bank Plc, one of and agency & collection fees loans). Nigeria's most capitalized (50%). The company has an NPL financial institutions, also ROAE declined from 21.5% ratio of 4.51% as of June 2021 proposed to pay the total sum of to 18.8% YoY due to the 15.6% compared to 4.29% as of June N9.42 billion as interim YoY increase in capital base and 2020 mostly due to an increase dividends to its shareholders for the slow recovery of the in oil and gas NPL. Zenith Bank the half year period ended 30th economy. has a diverse loan portfolio of of June, 2021. The company is C o s t - t o - i n c o m e r a t i o N2.99 trillion out of which expected to pay an interim increased from 54.4% to 56.1% Upstream and Downstream oil dividend of 30 kobo per share on YoY due to inflationary pressure and gas numbers are 18.4% and a l l t h e o u t s t a n d i n g a n d r e g u l a t o r y c o s t s . 4.9% respectively, totaling 31,396,493,786 ordinary shares Capital adequacy and liquidity 23.3% of total loan portfolio. of the company, amounting to ratios during the period stood at •Ebenezer Onyeagwu, Group Managing Director/CEO The bank informed investors it N9.42 billion. 22.0% and 69.9% respectively. diversified its portfolios over Zenith Bank had earlier the last one year to support declared a half year profit of asset quality. N106.12 billion in HY 2021, However, Zenith Bank's oil indicating a slight increase of Tax dispute: PwC faults tribunal’s and gas non-performing loans a b o u t 2 . 2 % Y o Y . O t h e r of about N40 billion means just highlights of Zenith Bank 5.9% of total oil and gas loans results. ruling between Multichoice, FIRS are bad, a slight increase from Interest income declined by BY OLUSEGUN OBISANYA (MCN) and Multichoice Africa paragraph 13 of the Fifth (MCA) over allegations that schedule to the FIRSEA which the same period in 2020. Oil 6% YoY due to the prevailing low provides for persons who are and gas loans as a percentage of yield environment, which the companies had refused to he tax evasion dispute grant FIRS access to its aggrieved by the decisions of non-performing loans was affected yields on some between the satellite servers for audit. the FIRS to appeal such 29.87% in 2020 or N37.3 television in Nigeria, decisions to the Tribunal. Multichoice Nigeria Limited T h e F I R S s a i d i t T determined through a forensic P w C s a i d t h e o n l y and the Federal Inland audit that Multichoice Nigeria condition to appeal such a Revenue Service is attracting decision is to file the appeal stakeholders' interest with one Limited failed to pay to the Advans Nigeria wins most outstanding government of Nigeria taxes within 30 days in the of the Big Four in Nigeria, prescribed form and to pay the PriceWaterhouseCoopers worth N1.8 trillion. The case was brought necessary filing fees. It also (PwC) faulting the ruling of the a r g u e d t h a t i t i s n o t customer-centric Microfinance Bank award tribuna, according to its August before a five-member tax n r e c o g n i t i o n o f i t s deployment of microfinance appeal tribunal (TAT) led by mandatory for the tribunal to 2021 Tax Alert released by the make the order for the c u s t o m e r - c e n t r i c solutions and other offerings firm. its chairman, A.B. Ahmed, credentials in product that resonates with the lifestyles following an application filed statutory deposit. of our clients within the Micro Multichoice is the owner of It said even if the FIRS can development,I service delivery the satellite televisions, DStv by the counsel to FIRS. Small and Medium business prove at least one of the and brand management, and GOtv platforms in Nigeria. F I R S s p o k e s m a n , A d v a n s L a F a y e t t e segment,” said Jean-Luc Abdullahi Ismaila Ahmad said conditions listed in the N z o u b o u , D e p u t y C h i e f FIRS had hired the services provisions, the tribunal may M i c r o f i n a n c e B a n k h a s of some commercial banks as t h e t r i b u n a l o r d e r e d e m e r g e d w i n n e r o f t h e Executive Officer. Multichoice Nigeria Limited still exercise discretion on agents to help recover N1.8 whether to order Multichoice Marketing Edge MostBrands The Marketing Edge Annual trillion from accounts of to deposit 50 percent of the disputed N1.8 trillion tax, Nigeria to make a statutory and Advertising Awards of National Marketing Summit Multichoice Nigeria Limited deposit or not. Excellence held in Lagos on and Awards is a yearly offering about N900 billion, with the Friday, August 27, 2021. of Marketing Edge magazine, agency. The global tax and audit But in its report, PwC firm further said that the The award is a loud one of Nigeria's leading brands tribunal's order for the attestation to the very high and marketing publication. referred to paragraph 15(7) of the Fifth Schedule to the appellant to make “the equity which the company has Advans Nigeria is a member required deposit as provided attained in the Nigerian of the Advans group, which for FIRSEA which provides three conditions for the tribunal to under Schedule 5 paragraph financial sector; and the 15+ years has provided grant an order over the issue of 15(7)…” is vague considering s p l e n d i d r e c o r d o f innovative financial solutions security deposit. that the provision requires the achievements which it has to over 1.1 million clients in 9 payment of the lower of: a) an chalked up, especially in the countries, and offered a PwC said it is curious that amount equal to the tax the tribunal did not refer to charged upon the appellant last one year. complete range of financial any of the three conditions in Speaking at the event, the services that have helped to for the preceding year of reaching its decision. assessment; b) or half of the Managing Director/CEO Mr. build over 5 million small “As a result, the Tribunal Gaetan Debuchy, said, “we are businesses. As an international tax charged by the assessment did not mention which facts under appeal. excited to win this award. It microfinance bank with a were placed in proof of such further validates our innovative national license from the CBN, “A simple confirmation of condition(s), or how it the amount paid by MCN in client-centric approach drawn A d v a n s L a F a y e t t e considered that the FIRS' facts from client feedback, to Microfinance Bank offers great t h e p r e c e d i n g y e a r o f were cogent enough to trigger assessment, if any, would have providing seamless, affordable flexibility, independence and the provision,” the report financial security to help clients enabled the Tribunal to make and transparent financial reads. a definite order that would not services”. stay committed to their short “The Tribunal ignored this be open to misinterpretation “This award is no doubt a and long term financial goals. critical part of the provision by both parties involved in the recognition of our quest to The bank was incorporated in and focused on the order for dispute,” it read. continue to promote financial Nigeria in February 2013. statutory deposit.” T h e c a s e h a s b e e n i n c l u s i o n t h r o u g h t h e •Gaetan Debuchy, Managing Director/CEO T h e f i r m a l s o c i t e d adjourned to September 23. 8 Monday, September 6 - 12, 2021 MONEY MARKET 2022 budget: No allocation for agencies without revenue in a bid to ensure the sustainability of the industry, recently in- trproduojection,ced fashion design saysloans spe ciSenatefically designed to offer financial support to the participants in the textile industry. Thrhoeu ghS eintsa Fteir sJt@oianrtt s Cinoimtiamtiivtet,e eF irostnB atnhke coMnseodliduamte sT aellr mits Expenditure and Fiscal Strategy Paper has threatened to efforts sanctionin the ar tfederals, supp agenciesorting th ewhich entir efail va tolu esubmit chain otheirf the revenue creative aprojectionrts, provid alongsideing muc htheir-nee 2022ded fbudgetinancin proposal.g and advisory support, sThowcasing and facilitating the successes of the industry, and en- ablinTheg cu Chairmanstomers to ofex pthelor eSenate and a cCommitteecess the we aonlth Finance, of oppor twhounit iises coordinating the joint panels, Senator Solomon Adeola, stated ththise cr eonati vFridaye indus tafterry ha sa t othree-day offer. engagement with heads of revenueAchie vgeneratinging these aagenciesnd a ho onst othef m MTEF/FSP.any others have been imple- menAdeolated thro specificallyugh strateg isaidc pa ragenciestnership sthat wit hfail or gtoan articulateisations li ktheire the Brevenueritish Co projectionuncil, Duk ein o ftheir Sho mbudgetsolu Pro wouldductio nnots, L givete anyThe aallocationtre Lagos , Finre theedo 2022m Pa rfederalk, Terr budget.a Kulture, and the Cross Rivers State Govern- menHet (C athereforelabar Fest ivcalledal), am onon gthe oth eMinisterrs. of Finance, Zainab Ahmed,With ttohe consider sponsor sah forensicip of sim auditingilar socio of-c utheltu revenueral initia tprofilesives in tofhe callrea federaltive art agenciess industr iny thelike country. Moremi, Makaliki, Oba Esugbayi stage dramHea, Osaidcto btheer 1Senatest (a m wasovie )determined, the Calaba rto F eraisestiva thel an independentd the recently crevenueoncluded ,targets The V oofice governmentNigeria (Sea soownedn 3) t heenterprises Bank rem atoin s aboutexem- pN2.5trnlary to e inxp theose 2022 the y ofiscaluth t year.o a wide range of opportunities that are integHeral tosaid the retheal isGOEations of had the irso dr efaram s,gene as thrateey cod nN800tributebn to thase cindependentontinued soci orevenues-econom thisic de yearvelop andmen expressedt of their im theme hopediate thatenvi rtheon- L-R: Divisional Head, Health and Education Sectors, Sterling Bank, Obinna Ukachukwu; Group ment and the country at large. Head, Health Finance, both of SterlingBank Plc Sterling Bank, Mrs. Ibironke Akinmade, both of figure would rise to N1.3trn before the end of the year. IAdeolandeed, Fsaid,irstB “Weank rwillema removeins a no banyle b agencyrand clo thatse to fails the h toea submitrt of the Sterling BankPlc with Secretary to the Federation, Boss Mustapha during Sterling Health yitsou tproposedhs and the revenuedelibera tetarget effor tswith mad thee by expenditurethe bank has iinnd theeed b2022een a Finance + Association of Health Commissioners session in Abuja recently. cbudgetatalyst of socio-economic growth of Nigerian youths and the nation as a w“Therehole. is a public outcry that borrowings are on the high side. We are not saying that we are not going to borrow but we must reduce it. The only way to do things is to look inwards and build Ecobank Nigeria canvasses financial institutions, our revenues. “Many of the agencies that generate revenue spend them on private investors synergy to bridge infrastructure gap frivolous expenditure. BY KENNETH MADUEKE velopment regarding improved pany with initial seed capital of “There are three agencies of government: Those that are access to finance, strong telecom $2.4 billion (N1trillion and is ex- partly funded, those that are fully funded and those that are not funded at all. he Managing Director, penetration and moderating pected to grow its capital and as- Ecobank Nigeria, Patrick power production, there is lim- sets to $36 billion (N15 trillion) “By law, revenues generated by fully-funded agencies must be Akinwuntan, has advo- ited productivity in the transport over time to fund public projects paid to the consolidated revenue account because the Tcated a synergy between financial sector when compared to other like roads, rails, and power. The government will give them the recurrent expenditure, personnel cost and capital expenditure. institutions and private investors sectors and regions. He lamented start-up funding will come from to address infrastructure deficit in that private sector involvement in the CBN, the Nigerian Sovereign “Going forward, government has decided that whatever the country. infrastructure development is Investment Authority, and the Af- partly-funded and not funded agencies generate, 50 per cent of Akinwuntan in a presentation constrained by selection of low- rica Finance Corporation. Gover- such revenue will go to the Consolidated Revenue Fund. titled 'Transportation Infrastruc- impact projects; weak feasibility nance, operations, returns and “We are now going to 70-30. That is, only 30 per cent will be ture Development Financing In study and business plan; delays in valuation to be driven by global released to the agency while 70 will go to the CRF. We are going to Nigeria' delivered at the Nigerian obtaining licenses, approvals and best practice. This is definitely a amend the law again. Institute For Transport Technol- permits, and inability to secure right step in the right direction. “Agencies that are generating revenue which are being fully ogy (NITT) 2021 Transport Tech- guarantees. Also, the Nigerian Banking indus- funded must ensure that everything accruing to them must go to nology Conference in Abuja, Mr Akinwuntan submitted try has been showing consistent the CRF. noted that given the bulk of activi- that the attractiveness of the support for the Transport and Con- “Those that are partly funded or not funded at all, the law ties across the infrastructure pro- transport sector must be compel- struction sector, evidenced by con- states that 80 per cent of their operational surplus must be paid to ject lifecycle in Nigeria, there is a ling to attract the required fund- tinuous growth in credit alloca- the CRF. need for a synergy between the ing, noting that there is high in- tion. There are major sources for “We are hereby calling on the Minister of Finance that there is private sector who are major pro- vestors' appetite for Africa as 72 transportation infrastructure a need to carry out forensic audit into the expenditure of all ject sponsors and financial insti- per cent of available funds for Afri- funds such as Green bond pools, agencies of government. This will curb frivolous expenditure and tutions in harnessing the desired can infrastructure investment are Diaspora Naijaworld Infrastruc- boost the country's revenue base. value across the ecosystem. from the private sector. ture Bonds, Technology and “Already we have realised N800bn from the independent revenues generated by the agencies so far this year, it used to be The Ecobank Nigeria Manag- According to him, “The gov- telecoms through right of way. In- ing Director noted that though ternational chains/brands funds about N400m in the past. I am confident that we should be able to ernment in partnership with the get up to N1.3tn by December. Nigeria has made moderate prog- private sector recently launched can also be accessed via private ress in terms of infrastructure de- sector financing.” He stated. “If we could manage to take it to N2.5tn in 2022, we would Infra-co, an infrastructure com- have taken care of one-fifth of the budget and we would not need to borrow.” Stanbic IBTC recommends sustainability models for Nigerian businesses well as long-term environmental pational health and safety as they etermined to see busi- relate to business sustainability, nesses flourish, Stanbic and social value for a wide range CBN warns customers involved of stakeholders, with consider- Oloyede stated that the health and IBTC Holdings PLC, a safety of workers are important to Dmember of Standard Bank Group, ation for the needs of future gen- the current and future success of in sharp forex practices has recommended sustainability erations. It is a holistic approach any organisation. He said: “Effec- he Central Bank of Nigeria (CBN) said it has opened a black models that will aid businesses that reflects ecological, social and tive management of environmen- and enterprises in realising their economic dimensions, all of book for customers obtaining foreign exchange under false tal and social risks is another pillar pretense. operational goals. The recom- which must be well thought out to in building a sustainable business mendations were given during a find lasting prosperity.” TAccording to the apex bank, foreign exchange should be model. Successfully managing strictly meant for banks' customers on genuine trips overseas, recent sustainable procurement According to him, the imple- these risks can be achieved by de- programme for its vendors adding that those using travel documents to obtain foreign mentation of sustainability veloping policies focused on waste exchange and thereafter cancel their purported trips to divert the t h e m e d , ' U n d e r s t a n d i n g programmes by businesses will generation and disposal, develop- forex for other use would be blacklisted. Sustainability And What It Means have lasting positive effects on the ing and implementing health and For Your Business'. economy. “Companies or busi- The Director of Banking Supervision, Haruna Mustafa, gave safety procedures applicable to the notice via a circular yesterday, to all deposit money banks. The The virtual event featured sev- nesses can reuse, recycle and re- business operations, and imple- purpose, though not clearly stated, might be to use the list to bar eral industry experts including duce resources like paper, adopt menting labour policies aligned to some customers from accessing forex in the future. Samuel Agbevem, Partner and energy-efficient appliances and national laws so that people are energy-efficient practices to re- The circular reads thus: “The CBN has received and noted West African Sector Lead, Cli- not overworked.” with concern reports of sharp practices by some unscrupulous mate Change and Sustainability duce energy consumption, and Speaking on the rationale be- customers to circumvent the new CBN policy on the sale of forex Services, Ernst and Young, and implement occupational health hind the event, Omolola Fashesin, for overseas personal and business travel. “Some of these Oludare Oloyede, Manager, and safety procedures in the work- Head of Sustainability at Stanbic unwholesome practices include the use of fake visas and Group Physical Security at place”, Agbevem stated. He also IBTC said: “The webinar was or- cancellation of air tickets after purchase of PTA/BTA. Stanbic IBTC. provided a framework that the ganised for Stanbic IBTC vendors This trend, if not curbed, portends risk to the integrity and Speaking on the principles of vendors can use to incorporate to promote sustainability aware- stability of the forex market. “Consequently, further to the sustainability, Agbevem said, sustainability into their busi- n e s s a n d a d o p t i o n o f various measures already put in place, all banks are hereby “Sustainability is the creation of nesses. sustainability frameworks across directed to publish on their websites the names and BVN of financial and economic value as Addressing the issues of occu- the organisation's supply chain. defaulting customers who present fake travel documents”. CAPITAL MARKET Monday, September 6 - 12, 2021 9 How Access Bank total assets hit N10.05trn .. Shareholders to get N0.30 interim dividend a d d e d 2 , 3 7 1 , 8 3 2 n e w supporting sectors with the STORIES BY KENNETH MADUEKE customers as well as 16,428 new highest impact on the economy, a g e n t s , c r e a t i n g m o r e with good quality assets as ccess Bank Plc has employment and providing reflected by the growth in our announced a total assets convenience to our customers. net loans and advances to to N10.06 trillion for the “These strides in our retail N4.0trillion YTD (Dec 2020: Ahalf year ended June 30, 2021 business resulted in growth in N3.6trillion). Furthermore, we as against N8.68 trillion savings deposits to N1.4trillio, a maintained robust capital and reported in full year ended four per cent growth from liquidity positions well above December 31, 2020 indicating N1.3trillion in December 2020, regulatory levels, with a Capital 16 per cent increase. and a Cost of Funds reduction Adequacy Ratio of 21.3per cent Impressive increase in total to 2.9per cent (H1 2020: 3.7per and a liquidity ratio of 50.7per assets was driven by 11.3 per cent), ”he added. cent, positioning us to support cent growth in Loans and He noted that the bank's our customers and execute our advances to customers to push for digital innovations to growth strategy. N3.99 trillion as at June 30, i m p r o v e e f f i c i e n c y f o r “Over the last few months, 2021 from N3.6trillion c u s t o m e r s r e s u l t e d i n we have successfully completed reported in 2020, while significant increase in our acquisitions in South Africa, Deposits from customers USSD transaction volume Mozambique, and Zambia, appreciated by nearly seven per (+62per cent y/y) and our emphasising our footprint in cent to N5.97trillion as at June Mobile and Internet Banking key markets around the globe. 30, 2021 from N5.58trillion transactions volume (+67per We will continue to grow our reported in 2020. cent y/y). presence in geographies with The financial institution in Speaking further, he noted significant growth potential, its audited H1 2021 showed 1.2 that despite the challenging especially where they support per cent increase in profit economic backdrop, the bank our global customers. As we before tax to N97.5billion as maintained strong asset quality become Africa's Gateway to the against N74.31billion reported with a stable Non-Performing World, we would also seek in prior H1 2020 result and Loan (NPL) ratio of 4.3per cent markets, which supports our accounts. (Dec. 2020 4.3per cent). trade and payments aspirations With the increase in profit, H e a d d e d t h a t : “ W e and the African Free Trade Agreement.” the Board of Directors •Herbert Wigwe, Managing Director/Chief Executive Officer, Access Bank expanded our loan portfolio, proposed interim dividend of 30 Kobo per ordinary share of 50 Kobo each (H1 2020: 2 5 K o b o ) o n t h e 3 5 , 5 4 5 , 2 2 5 , 6 2 2 i s s u e d Popoola lauds technology as strategic lever for exchange of future ordinary shares of 50k each. igerian Exchange He, also, revealed that the Speaking to trading in the The Chief Executive Officer, L i m i t e d ( N G X ) Exchange is looking at strategies market, Popoola noted that the Access Bank, Herbert Wigwe in r e i t e r a t e s i t s as to how to attract more foreign i n c r e a s e i n d o m e s t i c a statement said the pan- Ncommitment to leverage capital. Mr. Popoola noted that, participation on NGX in few African bank recorded a very t e c h n o l o g y t o d i g i t i z e “While attracting foreign capital months is a testament of the strong performance in H1 securities investment and is largely based on the financial power of Nigeria as a 2021, through its unique o t h e r m a r k e t r e l a t e d macroeconomic environment of whole while adding that the business model that supported transactions. the nation, NGX continues to Exchange will look to drive the corporate and retail value The Chief Executive address factors within its local participation and at the Officer, NGX, Temi Popoola, immediate control to provide a same time, position itself to chains throughout the African conducive environment for attract investments. continent and beyond. disclosed this during the t h e s e i n v e s t m e n t s . W e Popoola expressed his According to him: “With Business Morning Show on Channels Television last week. recognise that investors look excitement about the future of improving profitability, into the quality of the companies The Exchange especially with resilient capital position and a Popoola who spoke on the journey of the Exchange in 60 and asset classes available the possibilities advancements robust, diversified balance before making investment in technology provide. “We may sheet, the Group is on track to years, said that even though there has been few challenges, decisions. As such, we place not be able to wrap our minds deliver on its vision to be the significant emphasis on around the potential that World's Most Respected NGX has experienced strong governance, as well as the rules track of growth whether from technology will open up to us, African Bank. guiding the behavior of Issuers but I am confident that the the view of the number of in our market. On the trading “The Group recorded an securities listed now, the types Exchange of the future is one improvement in gross earnings side, we also consider factors that will offer a diversified of securities listed and types of around the ease in settling b y 1 4 p e r c e n t y / y t o business activity. range of capital raising N450.6billion (H1 2020: t r a n s a c t i o n s , r e s o l v i n g opportunities, as well as According to him, The complaints, finding the right sophisticated investment N396.8billion), while the profit Exchange is in sync with the before tax saw a significant infrastructure and engaging the p r o d u c t s t h a t m e e t apex regulator, the Securities right intermediaries” stakeholders' needs.” increase of 31per cent y/y to and Exchange Commission •Temi Popoola, CEO, NGX N97.5billion (H1 2020: (SEC) to digitalize the market N74.3billion). Despite the and make sure that investors inflationary environment and can buy and sell securities Afreximbank records $168.9m net income in H1 2021 increased regulatory costs, our easily. “The Exchange on its Cost-to-Income Ratio stood at frican Export-Import indicative of the significant existing shareholders and part is doing its bit to Bank (Afreximbank), has progress made in its strategic 60.1per cent, a 570-basis point coordinate the activities of s t r o n g i n t e r n a l c a p i t a l a n n o u n c e d a 1 2 % initiatives during the first half generation capacity. reduction from 65.8per cent in players across the entire increase in its net income of of 2021 amid the continuing H1 2020. investment value chain to A According to the Executive $168.9 million in the half year negative impact of COVID-19 “ O u r r e t a i l b a n k i n g create an experience where Vice President, Finance, ended June 2021 (H1 '21), pandemic. in line with Administration and Banking business continued to grow within the space of minutes, a against the $150.75 million expectations. with a 24per cent y/y increase transaction can be initiated Services, Afreximbank, Mr. recorded in the corresponding Other highlights of the Denys Denya, said, “The first i n g r o s s e a r n i n g s t o and completed. This is period of 2020. particularly important given result showed total assets grew six months of the year N118.6billion (H1 2020: This was disclosed in a by 5.5% to $20.37 billion in H1 N95.8billion), driven by a that the next generation of witnessed some positive investors are typically on their statement posted on its website, '21 from $19.31 billion as at momentum as the African 46per cent y/y increase in stating that the Bank attributed December 31 2020, driven economy has rebounded from Interest Income and 37per cent mobile phones, and until we can meet them there the value t h e “ s o l i d f i n a n c i a l predominantly by increases in the challenges faced in the y/y growth in revenue from our we can deliver to them will be performance” largely to the loans and advances and cash previous year. Notwithstanding c h a n n e l s a n d d i g i t a l limited. Over the next few growth in interest income and a and cash equivalents. the continued COVID-19 businesses.” months, we expect to deliver 13% decrease in interest expense The Bank's shareholders' challenges, we are delighted to “During the period, we some positive structural arising from a cost-effective funds increased by 5.1% to have posted year-on-year recorded progress in our changes building on our funding mix. $3.54 billion against the $3.37 growth of 12% in profitability financial inclusion objective to existing activities in this According to Afreximbank, billion achieved by the end of and closed the period in a bank 1 in every 2 Nigerians. We regard”, Mr. Popoola stated. the impressive performance is 2020, reflecting support from strong financial position. 10 Monday, September 6 - 12, 2021 CAPITAL MARKET CSCS advocates collective responsibility towards cyber security STORIES BY digitization and adoption of new gerous fileless and ransomware order to prevent fraudsters from KENNETH MADUEKE ing security architecture of technologies, albeit presenting attack, increased attack on key exploiting systemic gaps by firms, with emphasis on the role new risks to cybersecurity”. cloud assets (crypto platforms, assuming an individual identity, entral Securities of different stakeholders, espe- According to Mr. Jalo- supply chain, blockchain, investors should take ownership C l e a r i n g S y s t e m cially employees and customers Waziri: “As we surf the internet Internet of Things, Open API, of their identity and increase the (CSCS) Plc, Nigeria's in protecting the integrity of and connect to different applica- and interconnected systems), effort level for identity theft by capitalC market infrastruc- information technology net- tions either on our official net- enterprise software and remote carrying out account updates ture, advanced its advocacy works and systems. works or personal devices, we communication platforms will such as contact information, for cybersecurity in a The conference which was need to protect ourselves and be a key target of threat actors.” strengthen access controls and webinar organized by the attended by participants from our ecosystem from the rising While speaking at the confer- periodically reviewing their company, as it drums up sup- various sectors of the economy vulnerabilities of cybercrimes. e n c e , M s . F u n m i l o l a accounts to ensure safety”. port for cyber vigilance was moderated by Mrs. Isioma At CSCS, we believe everyone's Odumuboni said: “the major ten- The Central Securities Clear- across all stakeholders. Lawal, Acting Head, Enterprise awareness and conscious prac- ets of cybersecurity are confiden- ing System (CSCS) is a Public In this year's annual con- Risk Management and Resil- tice of best approaches in tiality, integrity and availability.” Limited Company, with a diver- ference themed: “Cyber Secu- ience Services at CSCS Plc, with cybersecurity should be a key Speaking to these tenets, Ms. sified shareholder base, includ- aspect of how people live and rity: The Challenges We Face six panelists: Mr. Harrison Odumuboni said: “the informa- ing the Nigerian Exchange work in today's environment, Today”, CSCS pooled leading Nnaji, Chief Information Secu- tion meant to be kept secure are Group, some of the largest banks industry professionals in especially as everyone needs to indeed secure and kept out of in Nigeria, private equity firms, rity Officer, First Bank Group; take responsibility for protect- Information Technology and Ms. Funmilola Odumuboni, public domain; the information other corporate and individual Cybersecurity to discuss ing the integrity of networks and at hand is correct and the sys- shareholders. With over two Senior Manager, Cyber Risk Ser- systems, not just for our per- innovative ways of enhanc- vices, Deloitte; Mr. Phil Menny, tems are available to use when decades of operation, serving as sonal interest but also in ensur- one wants to use them.” She the Central Securities Depository Regional Director, West and ing the integrity and safety of East Africa, Alliance Media noted: “A cyber-attack occurs for the Nigerian Capital Market, our ecosystem and broader mar- e v e r y 3 9 s e c o n d s a n d CSCS has been pivotal to the Group; Mr. Tobe Nnadozie, ket. Cybersecurity is not the Divisional Head, Business cybercrimes increased by nearly growth and transformation of the responsibility of the IT officers, 300% following the COVID-19 Technology and Digital Inno- rather it's a collective responsi- capital market, including its auda- vation, CSCS Plc and Mr. outbreak. Also, human error is cious full dematerialization of bility of everyone connected to t h e p r i m a r y c a u s e o f Walid Bou Abssi, Business the system, including custom- share certificates and the short- Development Manager, cybersecurity breaches, account- ening of settlement cycle in the ers, who we must continuously ing for 95% of all data breaches; Shelt Global Limited. educate on best practices to pre- capital market. The Managing Direc- 86% of breaches were financially CSCS serves as the Central vent them from being the weak- motivated and 10% were moti- tor/Chief Executive Officer est link in our systems”. Depository for Equities, Com- of CSCS Plc, Mr. Haruna vated by espionage and 36% of mercial Papers, Corporate Mr. Harrison Nnaji said: “the breaches involved phishing, 11% Jalo-Waziri said: “the con- lingering COVID-19 will lead to Bonds, Sub-National Bonds, cer- ference, the third in the more than last year”. tain Sovereign Bonds (such as increased insider threat, data Also, speaking from the series, is timely given the breaches, and series of home net- FGN Sukuk and FGN Savings financial markets and investor increasing global incidence work or work-from-home attack Bond), Equity-traded Funds, of cyber-attacks, especially this year.” protection perspectives, the Real estate Investment Trusts, Head, Start-Up Operations at as network compromise aris- Mr. Nnaji went further to dis- Mutual funds and Commodities. ing from remote connec- CSCS Plc, Mr. Folagbade CSCS is licensed and regulated by cuss his perspectives regarding Adeyemi said; “the Nigerian mar- tions associated with work- cyber threats that are likely to the Securities and Exchange Com- from-home presents new ket has not been exempted, as happen in the near future and mission (SEC). The activities of forms of cybersecurity expo- fraudsters continue to attempt CSCS are governed by the Invest- sures. The prolonged pan- advocated that everyone should exploitation of probable vulnera- be vigilant to avoid being vic- ment and Securities Act 2007, d e m i c o c c a s i o n e d b y bilities to cause significant inves- the Companies and Allied Mat- COVID-19 has increased tims. According to him, "In- tor loss. According to him “In •Haruna Jalo-Waziri, MD/CEO, CSCS creased system infiltration, dan- ters Act 2004, and the SEC Rules. Shareholders reinforce confidence in Oando Why Senate raises concern over management at 42nd AGM SEC N9bn deficit in three years ando Plc on Tuesday Speaking at the AGM, Pat- out AGM, there will be no talks he Senate has raised the Worried about the develop- August 31, 2021, rekindle rick Ajudua said: “I thank the of dividends. alarm over the reported ment, the Committee Chair- shareholders hope after it management of Oando for One topic that resonated insolvency of Securities man drew the attention of his sOuccessfully concluded the long- remaining resilient during the with all shareholders at the aTnd Exchange Commission colleagues to the personnel cost awaited 42nd Annual General trying period. They worked tire- meeting was the need for divi- (SEC) as the capital market reg- of the Commission which has Meeting (AGM) for the 2018 lessly to see us through these dends in the near future. Speak- ulator declared deficit of N9 bil- remained on the high side in financial year, at the Wings issues. It is in light of this that ing on this, Mr. Sunny Nwosu lion in three years. the last two years. He said:” Office Complex, Victoria Island, we, the shareholders, are an Oando shareholder said: It also expressed concern This budget gives us a wrong Lagos. delighted and supportive of the “The best thing that would hap- over the special salary structure impression about SEC. You are pen to us following the resolu- The company's first-ever management.” being enjoyed by the senior a regulator to businesses that hybrid AGM comes in the wake All resolutions passed at the tion of the SEC dispute is to declare a dividend for share- management staff of SEC. The are making money, but you of an out-of-court settlement AGM were approved including upper legislative chamber's aren't making money. with the Securities and Exchange the re-appointment of Ernst holders. It will be in the interest Commission (SEC) who hitherto, and Young as auditors, the of shareholders if this is Joint Committees on Finance, suspended the company's AGM Directors were authorized to fix brought up at the next AGM.” National Planning, Petroleum in 2019. the auditors remuneration; elec- In his response to share- Upstream, Downstream and In line with COVID restric- tion of Dr. Ainojie Irune to the holders' comments, Adewale Gas chaired by Senator Adeola tions on large gatherings, share- Board of Directors; re-election Tinubu, the GCE, Oando PLC, Olamilekan, made the observa- holders were represented by of HRM M.A. Gbadebo (CFR), said; “Teamwork, Respect, tion yesterday, during an inter- proxies of their various associa- Mr. Olufemi Adeyemo and Mr. Integrity, Passion and Profes- active session with revenue gen- tions at the AGM. Tanimu Yakubu as Directors; sionalism are things (core val- erating agencies where the election of audit committee ues) we take seriously. Our Director General of the SEC, Leaders of the various share- ethos as a corporation has been holders and proxies, including members, and approval of the Lamido Yuguda, made a pre- remuneration of non-Executive driven by these values, and the Engr. Patrick Ajudua, Alhaji company has evolved and suc- sentation. Kabiru Tambari and Boniface Directors. According to the document Elated to be at the AGM, ceeded year after year. The ulti- Okezie, were united in their sup- mate test of our capacity to be submitted to the Committee by port for the company and another shareholder, Alhaji Tambari said: “Today is a his- sustainable is having chal- SEC DG, in 2019, the agency applauded the management lenges. We're ready to face them recorded N2.9 billion deficit team for resolving its dispute torical day for us shareholders. I thank the management and and deal with them when they while in 2020, it recorded defi- with the regulator, thereby come; ready to ensure that we enabling them gain oversight board of the company and I con- cit of N4.3 billion and as at gratulate my fellow sharehold- apply these same principles and June 2021, the agency has into the company's activities. maxims in dispute resolution. They further encouraged man- ers for this achievement. This is already recorded deficit of N1.7 the only way we can benefit We appreciate everyone who billion bringing the total deficit agement to keep up the good played an active role in enabling work and focus on creating value from the company through capi- from 2019 to 2021 to N9 bil- tal appreciation because, with- us to reach a resolution with the for shareholders. SEC.” lion. •Lamido Yuguda, DG, SEC Monday, September 6 – 12, 2021 11 12 Monday, September 6 – 12, 2021 Monday, September 6 – 12, 2021 13 14 Monday, September 6 - 12, 2021 D U E D I L I G E N C E BY MIKE UZOR FBN Holdings boosts earnings performance in Q2 BN Holdings Plc has Interest income remains a non-interest income provided recovered lost ground weak point in the bank's reve- the remedy that raised operating in earnings perfor- nue performance, closing the profit by 9 percent year-on-year Fmance it suffered in the first half year operations with a drop to N45 billion. quarter with a turnaround of over 22 percent to N161 bil- The high points of the bank's in revenue and profit in the lion. The drop in interest operations at the end of half year second quarter. The bank's income was largely compen- are an upbeat in revenue and an earnings records have sated by an increase of 47 per- overall reduction in costs, which changed from a 39 percent cent in non-interest revenue to have propped up profit margin. profit drop in the first quar- N131 billion year-on-year. This The developments have set the ter to a 7 percent improve- pushed up the bank's revenue bank back on the course of ment year-on-year at the performance from a drop in the recovery and growth, which it end of half year operations. previous quarter to a slight has maintained over the past five An outstanding profit decline at half year. years. growth of 96 percent was Interest expenses that FBN Holdings ended the first achieved quarter-on- dropped in the first quarter half of the 2021 financial year quarter for the second quar- recorded a slight increase in the with a balance sheet size of over ter, which produced N22.5 second quarter, bringing the N8 trillion, one of the largest billion after tax profit for the half year figure to over N57 bil- bank balance sheets in the Nige- quarter or 59 percent of the lion. That still represents a con- rian banking industry. The fig- closing profit of N38 billion siderable drop of about 25 per- ure represents an increase of 4 for the half year ended June cent year-on-year. Yet, net percent over the closing total 2021. interest income went down by assets figure of N7.7 trillion in There is also a turn- 21 percent to less than N104 bil- 2020. lion, reflecting the drop in around from a drop of over The assets comprise mainly 14 percent in gross earnings interest earnings. •Uk Eke, Managing Director customer loans and advances of in the first quarter to an Another major drop in cost N2.5 trillion, investment securi- increase of 13 percent quar- is in respect of loan impairment ties of N1.8 trillion and cash and ter-on-quarter in the second charges, which reversed from a push up profit margin. This was followed by other bank balances of N1.6 trillion. quarter. The upturn in reve- strong growth of about 36 per- A strong improvement in operating income, which scurried Lending to other banks stood at nue in the second quarter profit margin was achieved in the from less than N1 million to N14.6 cent in the first quarter to a has changed the half year drop of 46 percent in the sec- N880 billion and assets pledged second quarter, which improved billion over the same period. The as collateral amounted to N584 position to a slight decline of weak points on the earnings front ond. The bank closed the half the year-on-year record from 11 billion at the end of the period. 1.4 percent to close at N292 percent in the first quarter to 13 for the bank in the second quarter year operations with net loan The assets are financed billion. percent at half year. The out- are a drop of over 72 percent in impairment expenses of N24.5 The significant improve- standing profit growth the bank net gains on sale of investment billion, which represents a drop largely by customer deposits of ment in earnings perfor- recorded in the second quarter is securities quarter-on-quarter and of 20 percent year-on-year. N5 trillion, due to other banks of mance for the bank in the therefore a function of the upturn a foreign exchange loss of over N2 The positive development over N1 trillion and other liabili- second quarter reflects posi- in revenue and a gain in profit billion over the same period. has brought the bank back on ties of N592 billion. Others tive changes in two major margin. The results of the bank's half the track of keeping credit include borrowings of N464 bil- operating functions. One is year operations show gross earn- losses declining for the fifth lion and shareholders' funds of N o n - i n t e r e s t i n c o m e N772 billion. the positive growth in reve- accounted for the improvement ings of over N292 billion for FBN year running. nue that helped the bank to in gross earnings in the second Holdings at the end of June 2021. Despite the drop in loan The bank earned N1.05 per absorb a higher level of costs quarter. This was led by net gains Revenue growth rebounded in impairment expenses, net share for the six months of oper- and cost saving from inter- from financial instruments of the second quarter with non- interest income after the ations, which is a slight increase est expenses and loan over N19 billion for the quarter interest earnings accounting charges still dropped by 21 per- from N1 per share in the same impairment charges that against a net loss of N1 billion in exclusively for the 13 percent cent to N79 million at the end of period last year. enabled its management to the same quarter in 2020. increase for the quarter. half year. The strong growth in Proper regulation should engender growing, resilient financial system, says ED BY OLUSEGUN OBISANYA one of the most iconic human pass on to consumers if the regulated resource management solutions, pricing must work. Also sometimes, he Executive Director in charge HumanManager. data is not readily available and when of the payment business at According to Obikile in a state- it is, it does not always come in usable SystemSpecs, Ezinne Obikile, ment, growth in the payment tech- formats. hTas postulated that proper regula- nology sector has been attributed to She therefore called for the big tions should present opportunities the growing demands for digital prod- stick of KYC compliance to be com- for growth and innovation for both ucts and considered a response to plemented by the carrot of data avail- the regulators and regulated and restrictions around cash. However, ability if regulation and innovation should engender a growing and resil- she noted, there are also uncertain- are to be simultaneously successful in ient financial system. ties and ambiguities associated with the financial technology industry as He spoke during a panel session at new regulations that will become data is the oil that lubricates the the recently held BusinessDay Future clear as the players engage more with wheel of innovation in the fintech of Payment workshop in Lagos. the regulators. industry. The event was themed, “Stick and “The Know Your Customer (KYC) The fintech expert, also, urged the Carrot: Walking the tightrope policy and updated guides to charges Central Bank of Nigeria (CBN) to between regulation and innovation”. are some of the most challenging regu- enforce compliance with the open The Fintech expert though called for lations in the fintech sector currently. banking regulation. This will make more interactions and collaborations While the overall intention is to drive the KYC easy and aid the develop- between regulators and players in the financial inclusion and combat ment of data driven, customer- industry, he was of the opinion that money laundering and fraud, obtain- centric products. amidst the fintech boom in the coun- ing and verifying KYC information She further encouraged regula- try, there is need for a balance has become challenging especially for tors to engage and collaborate more between innovation and regulation to those targeting the underbanked.” with the fintech players. ensure a healthy financial technology Obikile, who oversees the devel- “It is in engagement by regulators ecosystem that will benefit all stake- opment of SystemSpecs' payment that they will better understand holders. and data infrastructure, said that industry dynamics, and the feedback SystemSpecs is home to some of calls for customer data acquisition from such interactions will be very the most popular fintech products and verification from data custodians useful in formulating successful poli- such as Remita and Paylink, as well as come at sunk costs that are difficult to cies”, Obikile added. •Ezinne Obikile, Executive Director Monday, September 6 - 12, 2021 15 InICT d| Enerugy | s Entretprenreury High cost of products: Is govt really helpless? The last two years have been harrowing for most Nigerian families. Prices of goods and services have been on a steady rise on a daily bases. Vari- ous assurances by the Federal Government and the apex bank have failed to save the situation, prompting many Nigerians to ask if government and the Central Bank of Nigeria (CBN) have exhausted all the solutions to the problem of high inflation. JOHNMARK UKOKO Writes.

t is no longer news that the adding that they expect the fed- prices of foodstuffs, house- eral government's economic hold items, building materi- team to do everything possible Ials, vehicle spare parts and ser- to address the issues. vices generally in Nigeria go up “All Nigerians are not on a daily bases. happy at the rate of products Many Nigerians are unable both locally produced or to provide the basic foodstuffs to imported are being sold. We feed their families. (OPS) must continue to offer The issues have led to squab- the necessary advice and the bles and matrimonial chal- support to the government for lenges in many homes and lots us to deal with the issue. of social vices in the country. “I am not sure the govern- Prices of basic foodstuffs ment is helpless. The govern- such as bread, garri, beans, ment economic team, the CBN yams, plantain, have all gone to and the OPS have to play their the roof tops. various bits to tackle the issue. Same goes for the prices of The government can't be help- fish, meat, vegetables, eggs and less. All Nigerians must join other basic food items Nigerians hands to tackle the issue, he formerly took for granted. said. It has become very difficult In an interview with the for- for many Nigerians to have a mer Director General of Lagos plate of good meal. Chamber of Commerce and Meals which were formerly Industry (LCCI), Dr. Muda referred to as “poor people food- •Niyi Adebayo, Minister of Commerce Industry •Godwin Emefiele, CBN Governor Yusuf, he noted that though the stuffs” such as garri, bread and result of the National Bureau of beans, fufu, tuochinkaffi, maize, Statistics (NBS) showed that palp and others that the masses Mile 12 International Foodstuffs and long queues at the various “When you pay with your inflation figure in the last three easily bought to feed themselves Market, said that he and most of paying Points. ATM card, the price of the months has reduced, prices of have had their prices gone his colleagues were having low A cashier at Jendol Payless items do not seem to be the most items have remained very beyond their reach. sales daily as a result of very high Supermarket, Kasholori, area of same as when you pay with high. Many Nigerians who for- cost of foodstuffs. Ikorodu, Lagos Elizabeth cash. merly buy iced fish, kpomo, egg Dr. Yusuf opined that it He stated that the prices of Okpara in a chat with our corre- “You don't compare the appears the government and or even cow meat, today are items offered for sale go up spondent said sales are boom- people who go to our local food- CBN are helpless in tackling unable to buy mere vegetables, nearly on a weekly basis, making ing. stuffs markets with the teenag- the challenge, adding that vari- eggs or any other sources of pro- it very difficult for Nigerians ers and the youths who visit She stated that most visitors ous solutions been proffer to tein. whose income are fixed to be to her shopping malls are not these highbrow supermarkets. While many housewives find able to buy much items. Most of these our youths are tackle the high inflation bothered about the prices of appears not to be working. it very challenging to visit the “It is a fact that every item we items offered for sales. rich hence the high prices of He suggested that there is market to buy their families' (traders) offer for sale in the mar- Okpara noted that most of products are not much their the need to merge the various basic needs, guys that daily ket are daily going up. the visitors to her shopping concern”, Okpara stressed. patronize places known in the “The more the prices of these mall, go round the sprawling edi- She added that most of the multiple exchanges, provide local palance as “Mama put items go up, the lower the quan- fies, pick their needs, que up people that visit our local mar- security and provide conducive Joints” or “local bulka “, can't tity of items many Nigerians are and use their Automated Teller kets are old people, adding Ease of Doing Business as the understand what is going on in able to buy. These high prices Machine (ATMs) cards, filled that most of these oil people factors that can go a long way to the country as foods serve them are not in the traders' favor their boots and drive away, add- are not as rich as the teenager tackle high inflation. do not justify the money they either. ing that most of the teenagers and the youths who patronize Respondents appealed to are asked to pay for “a plate of “Many buyers will come to and the youths pick their vari- the various shopping malls. the government's economic food”. our shops, price items and just ous needs, pay for them and go Speaking on the issue of team and the CBN to wear their While the few remaining walk away. Many buyers can't away. high inflation in recent time, thinking caps to tackle the high farmers in crisis-ravaged areas understand what is going on “There's, no doubt, prices of the Director General of inflation that has risen to as are smiling to the banks, same here. all goods we sell go up regularly. National Association of Cham- much as 17 percent. can't be said of many farmers “The constant price adjust- The prices are not affecting our bers of Commerce, Industry, They appeal to the govern- who have been displaced from ment has made sales to be very, sales much as most of the people Mines and Agriculture ment and CBN to consider the their farms by situations beyond very low as most of our custom- who come to our office don't (NACCIMA), Ambassador plight of most Nigerians whose their control. ers are now doing window shop- carry cash. Ayoola Olukanni, noted that incomes have either stopped or Farmers in fairly safe loca- ping or will simply complain the government's efforts to remained static in the face of tions in Nigeria are also smiling when traders tell them the prices tackle inflation seems not to be the prevailing hardship. to the banks as the scarcity of of the goods tell them the prices effective. The respondents noted that foodstuffs, fish and meat com- of the goods to offer for sale has “Though the Olukanni stressed that vari- most government officials and ing from high crisis locations in gone up. result of the ous efforts put in place by the the CBN staff seem not to be the safe locations have “We (traders) too are amazed Central Bank of Nigeria (CBN) feeling the pains of the coun- increased their high pressure. that each time we go to the food National Bureau and the Bankers Committee to try's masses as the party hosted While the country's remain- depot or when trailers, trucks or of Statistics (NBS) tackle inflation appear not to by the President Muhammadu ing farmers are smiling to the vans bring foodstuff from the showed that be yielding the desired results. Buhari's son and the CBN Gov- banks on a daily basis, same hinterland or the farming loca- The NACCIMA boss noted ernor, Godwin Emefiele for can't be said of the sellers of tions”, he lamented. inflation figure in that his chamber and the other 60th birthday party in Jamaica these very expensive foodstuff However, a visit by our corre- the last three Organized Private Sector recently, showed that the coun- who are now lamenting low sale, spondent to some of the coun- (OPS) are bothered about the as a result of the difficult times months has try's political class and the eco- try's highbrow shopping malls rate of inflation in the country, nomic managers of the country most Nigerians are daily grap- reduced, prices adding that NACCIMA will such as ShopRite at Ojodu are living in affluence and may pling with today. Berger and Ogolonto, Ikorodu, of most items continue to offer the needed A foodstuff seller of garri, advice to the government. not be facing the serious hard- in Lagos state showed that the have remained ship the country's masses are rice, beans, groundnut oil, Mr He noted that his chamber shopping malls were filled with grappling with in the last two Nelson Uchendu, in an inter- mostly teenagers, rolling their very high” is concerned of the inflation years. view with National Business at trollies filled with assorted items issue confronting the country, 16 Monday, September 6 - 12, 2021 COMMERCE & INDUSTRY Dangote’s $2bn Petrochemical plant SNTORAIES CBY JIOHMNMAMRK UAKOK O tasks govt on Forex, PIB, others to produce 77 grades he Nigerian Associa- tion Of Chambers of of polypropylene Commerce, Industry, angote's $2 billion Petro- TMines and Agriculture chemical Plant located in (NACCIMA) has called on its Ibeju-Lekki, Lagos State, members across the country Dis designed to produce 77 differ- to pay serious attention to the ent high-performance grades of recently signed Petroleum polypropylene in the country. Industry (PIB) as government With a turnover of $1.2 bil- begins implementation. lion, the 900,000 metric tonnes The President of the body, per annum capacity Dangote Pet- Ide John C. Udeagbala, who rochemical plant, situated made the call in Akure , Ondo alongside the Dangote Refinery, State, during the association's has been strategically positioned public event recently, said his to cater to the demands of the members have to pay serious growing plastic processing down- attention to the recently stream industries; not only in signed PIB by President Africa, but also in other parts of Muhammadu Buhari. the world. U d e a g b a l a s a i d Giving an update on the pet- NACCIMA's focus should be rochemical plant in Lagos, on how the private sector can Group Executive Director, Strat- egy, Capital Projects & Portfolio become the key player in the •Ide John Udeagbala, President, NACCIMA •President Muhammadu Buhari upstream and downstream Development, Dangote Indus- sector of the oil and gas sec- said. component for such interven- NACCIMA members who con- tries Limited, Devakumar Edwin said the Dangote Petrochemical, tor. tion, as the commercial banks ducted feasibility analysis and He added “access to forex is will drive investment in the “The Petroleum Industry who bid fortnightly for forex or applied for CBN's loan interven- a cause for concern for our downstream industries mas- Bill which was signed into law tions to enable them import members some of whom have only allocated small percentage sively, generating huge value by President deserves our machinery to boost production. accessed CBN's interventions of the bidding amounts. addition in the country, generate attention because the to fund importation like “I urge the CBN to provide a But when the exchange rate the arrangement for implemen- employment , increase tax reve- machinery and equipment's special windows for foreign loan are raised up by almost 40 nues , reduce foreign exchange tation has been put in place. are faced with a major chal- exchange when providing these percent, that increased the even- outflow and increase the Gross Our focus should be on lenge of repayment, as there loan intervention for Nigerian tual cost of these machines , mak- Domestic Product (GDP) of the how the private sector can was no window of provision to businesses. ing it almost impossible for busi- country. become the key players in the cover the foreign exchange “There are some of nesses to pay bank these loans”, He added that the Petro- upstream, midstream and he lamented. chemical plant, which is nearing downstream of the oil and gas completion, would also embark sectors”, he stressed. on the production of polyethyl- He called on his members ene products in the nearest to study and take into consid- FX scarcity: Manufacturers groan, unable future. eration the judgment of the Edwin stated that, “The Port Harcourt's High Court to pay for raw materials, machinery Dangote Petrochemical plant is on Federal Inland Revenue his is the best time not to In an interview with the Balogun's view is supported being built alongside the refin- Service (FIRS) as it concerns b e a l oc a l m a n u f ac t u re r , M a n a g in g Director of Silicon by the Managing Director of Lib- ery. Primarily, the Dangote Pet- the Value Added Tax (VAT). as the scarcity of forex Nigeria limited, Mr Duro erty Industries Limited, Mr. rochemical Plant is going to pro- The NACCIMA boss said Texchange (FX) is giving local Balogun, he said his firm Abuh Kamal, who while on a tele- duce polypropylene products. that the suspension of For- manufacturers lots of head- hardly get half of his firm's phone chat with our correspon- We are thinking of adding poly- eign Exchange (FOREX) sale ache. required forex to import the for- dent recently, admitted that local ethylene products at a later to the country's bureau De, Investigation conducted by eign raw materials and manufacturers are finding it very stage. change (BDCs) is worthy of National Business showed machines to enhance produc- difficult to source for forex. “We have 77 types of poly- his members' attention as it that most local manufacturers tion. He added that local banks propylene, which can go for dif- has great effects on the coun- are finding it very hard to He said that his bank always were helpless as their customers' ferent usage that we can produce try's private sector. source enough forex to import informed him that they hardly demands are not being met by the from our petrochemical plant. UDEAGBALA said that their needed imported raw get half of the forex it bided for. apex bank. Currently, the plant is capable of the suspension of forex issu- producing about 900,000 materials and equipment. “The main issue the manu- He noted that he source for ance to BDCs will take serious facturers face today is scarcity tonnes of polypropylene per implication on the business most of his firm's forex needs annum. Our Petrochemical of forex to import raw materi- from the BDCs and other sources sector. als, spare part and machines plant should be the biggest in at a very high rate. Africa.” “On the suspension of for- for production. “Since CBN banned BDCs Edwin said the petrochemi- eign exchange issuance to “My bank keep on telling BDCs, my take is that the out- from getting forex from it, that cal plant would reduce the me and my colleagues (manu- development has negatively demand for foreign exchange come of the CBN's action to facturers) that whenever they suspend the issuance of forex affected us (manufacturers) and from the nation's treasury to bided for forex, Central Bank of to BDCs will depend on the others that get forex from BDCs). import petrochemical by- Nigeria (CBN) hardly supplied efficiency of its alternative, The banks are unable to meet our products. “Right now, raw mate- them half of what they which is the use of commer- forex needs. rials from polypropylene are demanded”, he stated. cial banks to carry out forex We have to go to BDCs and imported into the country. There sales to the general public. The Silicon limited boss black market sources to argu- is no foreign exchange for manu- “As long as the demand for opined that the scarcity of forex ment our needs. facturers to import raw materi- forex outweighs the supply, from the bank has made him The Liberty Industries Lim- als. The Dangote Petrochemical the issues of inaccessibility having to source for an addi- ited boss noted that power supply plant is going to take care of this and rates will remain. tional forex from the local to his firm has improved, but the challenge. This is largely because our Bureau De Change (BDCs) now scarcity of forex is the main chal- “When the raw materials are economy remains import- get their forex from the black lenges local manufacturers now locally available, there will be dependent for raw materials market at over N500 to S1, add- grapple with. many more people who will be and intermediate goods on ing that has increase his firm's He added that since most willing to invest in the economy. So, it not just the savings of for- which our production activi- production cost. of the forex needs are being eign exchange from petrochemi- ties rely on. He pleaded with CBN to sourced from un-official win- cal products' importation, the “The government needs to increase forex allocation to the dows, the cost of production local commercial banks to meet country's downstream sector do more to promote and would increase, adding that defi- will also benefit hugely from the encourage exports from Nige- the local manufacturers' forex nitely affects prices of finished needs. availability of petrochemicals in ria such that more forex is goods too. the country. earned into the country, “he •Engr. Mansur Ahmed, MAN President Monday, September 6 - 12, 2021 INVESTMENT TIPS By IDIKA AJA 17 Ecobank Transnational Incorporated(ETI),‘our stock of the week’ TI emerged as the NSE30 stock of the week ended August 27, 2021. Share price and mar- ket capitalization appreciated by 2.88%; a gain Eof N3.72b W-o-W, closing at market capitalization of N134.78bn. Other gainers in the financial/banking sector were FBNH (1.35%), Access bank (1.1%), Ster- ling Bank (0.65%) and Zenith Bank (0.41%), while los- ers were FCMB (-0.65%), GTCO (-1.96%), UBA (- 0.66%) and UBN (-2.86%). The NSE 30 Index went down by -0.15% (- N25.79b) W-o-W. Total market capitalization as at August 27, 2021 stood at N16.854 Trillion. TABLE 1 – NSE30 COMPONENTS

• Patrick Akinwuntan, Group Managing Director

Bank Industry ratio (3.8x) and the NG market (7.1x). is. Investors tend to look for companies with higher The price earnings ratio shows what investors are will- ratios, because they are less risky, all around, stronger ing to pay today for a stock based on its past or future financially and enjoy a greater long-term position of sol- earnings. Typically a high P/E could mean that a stock vency than companies with lower ratios. price is high relative to earnings and possibly overval- Loan to assets ratio and loan to deposit ratios are ued. Conversely, a low P/E could mean the stock 33% and 42% respectively. The bank's LDR of 42% is price is low relative to earnings. However, a high P/E lower than the CBN's expected LDR of 65%. While total ratio does not necessarily mean a stock is overvalued. deposits have been growing, net loans have been on the To adjudge that, it needs to be considered against the decline. Deposits increased from USD18,453.71 Million backdrop of the P/E for the company's industry. So, in 2019 to USD20,683.70 million in 2020 and to Compared to the industry and the market, ETI could USD20,892.62 Million June 30, 2021. On the other be considered overvalued and of poor value. ETI's hand, net loans decreased from USD9,239.95 Million in P/E ratio of 16x means the bank is trading roughly six- 2020 to USD8,850.22 Million on June 30, 2021, a bit teen times earnings, higher than the industry and the lower than the March 31, 2021 figure of USD8,940.26 market. Million. Banks with a low LTD ratio might have lower For the Q2 2021 ended June 30, 2021, the com- interest income resulting in lower earnings. Ecobank Transnational Inc. is a bank holding com- pany declared a net income of $54.19 Million. For the On dividend payment, it has been irregular. In 2019, pany. The company, through its subsidiaries and Q1 2021 ended March 31, 2021, the company declared the bank paid out a cash dividend of $48.20 million from branches, provides a full range of wholesale, retail, a net income of $52.13 million. For the full year 2020, a net income of $193.96 million. No dividends in 2016, investment and transaction banking services and prod- it declared net income of $4.20 million against 2017, 2018 and 2020, and looking at earnings growth ucts to governments, financial institutions, multina- $193.96 million for the 2019 financial year. This is a and retained earnings balance; the bank is likely not to tionals, international organizations, medium, small drop of 97.93% in net income. This drop was basically pay a dividend in the near future. Accumulated retained and micro businesses and individuals. buoyed by an increase in non-interest expense in earnings deficit (MRQ) is $690.46). The non-payment Its share price has been stable, not significantly 2020 compared to 2019; non-interest expense in of dividend is not surprising, because many companies; more volatile than the rest of NG stock over the past 2020 stood at $1,378.88 Million against $1,147.52 growth and mature companies often reinvest their earn- three months; typically moving +/- 4% a week. Its Million in 2019. So while non-interest expense ings in order to expand or pay debt. Typically companies weekly volatility at 4% has been stable over the past increased, interest income and interest expense that want to raise their profits and stock price will favour year. But it is important to note that a stable stock declined. reinvestment of earnings and this is favoured by growth price may not provide significant profit like a volatile Return on equity is considered low at 5.6% and investors. The aim is to make profit from capital gains stock, but however, less risky and provides a steady return on assets at 0.07% is lower than the industry rather than from dividend income. Also from a tax per- stream of income, especially if the stock is a dividend average of 1.1%. This indicates that ETI is not making spective, investors may prefer the non-payment of divi- paying stock. enough income from the use of its assets. Debt to dend. To some investors, dividends matter so much to In terms of returns, ETI underperformed the NG equity (MRQ) ratio at 115.3% is considered high, but them. It sends a clear and powerful message of financial Bank Industry and the NG market. Its return over the an asset to equity ratio of 13.7% is considered moder- well-being. past year at 25.3% is lower than the industry and the ate. This means that only 13.7% of the bank's total market returns of 24.4% and 49.3% respectively. Look- assets have been funded with equity. The higher the •Idika Aja, ACS, writes from Lagos and can be ing at its price earnings ratio (16x) vis-à-vis the NG asset to equity ratio, the less leveraged the company reached on 08034003768 Guinness Nigeria consolidates its capacity expansion plans uinness Nigeria Plc has announced commitment to Nigeria's growth and devel- especially in strategic capacity expansion pro- plans to expand its operations and opment while enhancing our shareholders jects. About 10 years ago, Diageo invested production capacity in Lagos, over value in the long term. It is also part of our over N52 billion in capacity expansion, the Gthe next few months. strategy to optimize our production assets single largest investment of Diageo in any Following the unanimous approval of its and thereby ensure improved operational single market anywhere in the world. Then Board and in furtherance of the strategic efficiency leading to greater value for our just two years ago, the company invested plan the business has been implementing shareholders”. another N2 billion naira in our 'Grow with over the last few years, Guinness Nigeria Plc, He added; “On completion of this phase Nigeria' programme, supporting over the country's foremost Total Beverage Com- of our expansion, we will be increasing our 27,000 farmers in our supply chain and pany has now completed the acquisition of capacity to meet the growing demand for our enhancing their means of livelihood.” 25 acres of commercial property in the Ogba products while creating more opportunities “We remain committed to the develop- industrial area of Lagos. for Nigerians, in addition to the over ment of communities where we live and oper- The Managing Director Guinness Nige- 180,000 jobs we currently support directly ate. Our investment in capacity expansion at ria Plc., Baker Magunda highlighted this and indirectly in our value chain.” a time when the harsh economic reality is investment in a statement reaffirming the Also commenting on the investment, the forcing many companies to divest or con- company's overarching strategy and expan- Corporate Relations Director and Company sider divesting from Nigeria shows our unwa- sion plans, describing it as a reflection of its Secretary of Guinness Nigeria, Rotimi vering commitment to the long-term viabil- belief in the Nigerian economy and ongoing Odusola, said ity of this country. We will continue to invest commitment to the country's development. “Guinness Nigeria, with the support of in the Nigerian economy and will ensure con- He said: “This bold acquisition comes Diageo PLC, its parent company, has consis- sistent delivery of great quality products and with an ambitious investment plan of tently made investments for the long-term socio-economic benefits to our revered con- sumers, esteemed shareholders, host com- •Baker Magunda, Managing Director, expanding our production capacity and oper- success and growth of its business in Nigeria, Guinness Plc ations in Nigeria. We remain steadfast in our munities and public”, he added. 18 Monday, September 6 - 12, 2021 INSURANCE & PENSION

L-R: Femi Odere, SSA (Diaspora Affairs) to Ekiti state Governor; Dr. Sule Bassi, NiDCOM Executive Secretary, Hon Abike Dabiri-Erewa, NiDCOM Chairman/CEO, Alhaji Lamido Yuguda, DG SEC, Dayo Obisan, SEC Executive Commissioner (Operations); and Reginald Karawusa, SEC Executive Commissioner (Legal and Enforcement) at a strategic meeting between NIDCOM and SEC on working out favor- able modalities by which Nigerians in the Diaspora can actively and effectively engage in the nation's capital market held in Abuja LASPEC dissociates self from unknown individual, association S T O R I E S B Y O L U S E G U N The DG, according to statement, funds to facilitate the welfare of pen- brings”. OBISANYA disclosed that the said individual has sioners in the State. A retiree, Oba Wahab Ogunbiyi since been reported to the police. “The present administration is expressed appreciation to Governor he Director-General (DG), “LASPEC has put in place strict extremely passionate about the wel- Sanwo-Olu for his kind gestures Lagos State Pension Commis- business processes for the seamless fare of retirees and this is evident in towards retirees. He also praised the sion LASPEC, Mr. Babalola payment of entitlements; you do not the provision of funds for the prompt staff and management of LASPEC for OTbilana has dissociated the Agency need a middleman to access your payment of pension entitlements,” he ensuring due diligence in carrying from the activities of a fraudulent indi- fund”, he added. noted. out their duties while maintaining an vidual claiming to have affiliations According to the DG, 245 retirees Obilana urged the retirees to reg- open door policy to retirees. He with the Commission. have been credited with a sum of ister with the Lagos State Residents advised retirees to always heed to the Speaking recently at the 88th N1,007,651,255.34 (One billion, Registration Agency (LASRAA), advice of LASPEC, saying that the Agency remains the only valid source Bond presentation ceremony held at seven million, six hundred and fifty- stressing that it offers them access to of information on pension matters. the NECA House Auditorium, Alausa, one thousand, two hundred and fifty- lots of goodies from the Government. Obilana warned Lagos State pension- five naira, thirty-four kobo) only for He entreated the retirees when he A beneficiary, Joy Rachel thanked LASPEC for their professionalism. ers to be wary of a certain individual the month of August. said, “As elder statesmen, we have She expressed gratitude to the gov- brought LASRAA to you, please make whom he referred to as an impostor, He appreciated Governor ernment for a seamless pension pro- good use of this opportunity to regis- claiming to act on behalf of LASPEC Babajide Sanwo-Olu for his unwaver- cess. “This goes a long way to show ter so you can reap the benefits it and the State Government. ing support and prompt allocation of that Lagos is working,” she added. He said, "We want to urge the retirees to stay away from any indi- vidual or association demanding for money in exchange for fast tracking NAICOM commences online verification, enrolment exercise payment of pension benefits. he National Insurance Com- of federal government treasury- “At LASPEC, we do not have any mission, (NAICOM), says it funded MDAs who missed the enrol- such intermediaries. You must be wary of such fraudsters. Please, has developed and com- ment exercises in previous years.” always contact us directly for all Tmenced an online application which The commission advised, “The enquiries". automates the annual pre-retirement retirees and prospective retirees for verification and enrolment exercise the year 2021 are required to visit for retirees and prospective retirees of PenCom's website to initiate the Federal Government treasury-funded online enrolment process. This is Ministries, Departments and Agen- done by registering and capturing cies (MDAs). their employment details as well as According to statement signed by uploading scanned copies of the the Director, Policy and Regulations, required documents before proceed- PenCom, L.M. Akah, on behalf of ing to their respective Pension Fund Commissioner for Insurance, Sunday Administrator (PFA) for physical veri- Thomas, says the online enrolment fication and enrolment.” application would become opera- It added, “Retirees/prospective tional from 1st September, 2021. retirees who are unable to complete It disclosed those who are eligible the online registration for any reason for the 2021 verification and enrol- could approach the Pension Desk Offi- ment exercise to include “employees cer (PDO) of their respective MDAs or of Federal Government treasury- visit their PFA for assistance.” funded MDAs who retired between The commission said that the veri- January and August 2021; employees fication and enrolment by all con- of federal government treasury- cerned must be completed with their funded MDAs who are due to retire respective PFAs by 29th October from September 2021 and employees 2021. •Babalola Obilana, DG, LASPEC •Sunday Thomas, Commissioner for Insurance EQUITY REVIEW Monday, September 6–12, 2021 19 ARDOVA PLC: Improved margin efficiency propels bottomline ajor downstream player ARDOVA margins grew in H1-2021, driven by improved text, ARDOVA’s Inventory turnover and its credit optimism about the pricing of petrol, despite a ("the company or the firm" from margin efficiency. Cost of Sales (COS) moderated policy, bar TOTAL, remained on par with its provision in the act that allows for the price of henceforth) released its unaudited by 3.1% y/y to N79.1bn in H1-2021, as the com- Major Oil Marketers Association Nigeria petroleum to be fully recoverable. The act high- fMinancial result for H1-2021. It was evident to pany maximised margins, due to earlier supply (MOMAN) peers as ARDOVA’s days of sales lights that any pricing tariff framework with note, that the rebound in economic activities and constraints experienced in the period under outstanding and its receivables turnover was at regards to petroleum pricing shall be cost- improved margin efficiency drove double-digit review. Thus, due to the improved revenue mix 146 days and 2.5x vs MOMAN average of 142 reflective, in the foreign currency or naira equiva- y/y bottomline growth for the major petroleum and cost efficiency, margins expanded as Gross days and 2.6x in H1-2021. However, in its most lent in which the respective initial cost was product marketer. Revenue declined marginally margin improved to 8.5% in H1-2021, from 6.1% recent analyst call, the firm’s Management dis- incurred as applicable under the regulations. by 0.6% y/y to N86.7bn in H1-2021, Cost margin in H1-2020. In addition. closed that increase in receivables was linked to This essentially paves the way for a cost-reflective improved to 91.5%, in H1-2021 from 94.9% in Controlled operating expenses drive positive an advance to suppliers as ARDOVA’s continued pricing regime for petroleum marketers. How- H1-2020, due to increased Lubricants sales and operating performance: Operating profit up its CAPEX expansion drive, with its construction ever, the government reserves the prerogative to improved economies of scale. Furthermore, 188.1% to N2.6bn in H1-2021, vs a 10.3% y/y of its 20.0KMT LPG terminal in Ijora. That said, intervene when it considers prices exploitative. improved margin efficiency boosted Gross profit increase in operating expenses to N4.7bn in H1- the increase in receivables ensured that the com- Planned Enyo acquisition still in progress and Operating profit by 37.8% and 188.3% y/y to 2021. Accordingly, PBT and PAT were up 127.3% pany’s net cash flow position worsened and was Going forward, we expect ARDOVA’s print at N7.4bn and N2.6bn, respectively. Over- and 76.0% to N2.6bn and N1.7bn in the period retained in the negative territory as the firm’s planned acquisition of Enyo to still be in progress all, the company recorded a Profit before and under review. Outlook for ARDOVA is moderate despite subject to Federal Competition and Consumer after tax of N2.6bn and N1.7bn respectively (vs Balance sheet analysis: Increased receivables uncertainty in the downstream oil and gas sector Protection Commission (FCCPC) approval. Profit before and after-tax of N1.1bn and N1.0bn working capital position: In the period under Our outlook for ARDOVA remains moderate ARDOVA reiterated its plan to acquire Enyo respectively in H1-2020). Earnings per share review, ARDOVA’s total asset base grew by and influenced by the broad-based positive retail with management restating the deal would (EPS) increased to N1.36 in H1-2021, from 10.5%, largely due to a 21.4% increase in trade growth in the downstream oil and gas sector, be an acquisition and not a merger meaning N0.78 in H1-2020. Below, we highlight key receivables. We note the increase in trade receiv- following the rebound in economic activities and ARDOVA, and Enyo will run separately under details of the downstream operator’s perfor- ables was not linked to deterioration in cash con- the low base for 2020. However currently two different brands. mance and our expectations for H2-2021 and version or change in credit policy. To put in con- ARDOVA high base in 2021, we expect the The deal would be financed through a Spe- beyond. firm's cost improvement and efficiency manage- cial Purpose Vehicle (SPV) that would be capital- Improved margin efficiency propels ment drive observed in recent quarters to con- ized using equity and debt. ARDOVA’s Manage- bottomline : In H1-2021, ARDOVA’s total Reve- tinue to drive profitability in H2-2021. ment at its most recent earnings call disclosed nue dropped marginally by 0.6% y/y to N86.7bn, However, despite the FG's recent reform ini- that the firm was currently in talks with its finan- due to supply shortages from Pipelines Product tiatives, including the president's assent to the cial advisers to raise a N60.0bn bond issuance, in Marketing Company (PPMC) at the start of H1- Petroleum Industry Bill (PIA), which gives a which part of the proceeds would be used to fund 2021, as volume sold dropped by 28.0% y/y in Our outlook for ARDOVA clearer path toward deregulation in the down- the transaction via the SPV. the period under review. However, a price hike stream oil and gas industry, we note that there is The Enyo acquisition fits nicely into on PMS, as well as increased market share in its remains moderate and influ- still a lot of uncertainty around the adjustment of ARDOVA’s expansion drive and would comple- lubricants business cushioned the reduced sup- petrol prices. It remains to be seen how quickly ment its retail base. ARDOVA currently has a ply of PMS products. enced by the broad-based the government will begin to implement price network of about 450 or more stations. Enyo will Across product segments, Fuel revenue fell recovery following anticipated backlash from add about 90 or more retail outlets in 15 Nige- marginally by 6.0% y/y to N74.7bn in H1-2021. positive growth in the down- organised labour. rian states. While we are unable to factor in the As highlighted earlier, the drop in Fuel sales, was Notably, the NNPC disclosed that it currently potential impact of the acquisition into our a result of shortage in supply of PMS from stream oil and gas sector, fol- incurs a cost of roughly N150.0/ litre to maintain model estimates due to the non-availability of PPMC, as disclosed by the firm’s management. lowing the rebound in eco- the pump price of petrol at N162.0/litre. Enyo’s financial statements, we expect this to In the Lubricants business, sales were up 43.8% Although we applaud the recent passage of the further bolster volumes and improve overall per- y/y to N11.2bn, as the company's market share nomic activities and the low PIB, persistent FX challenges and the continua- formance due to a potential benefit from econo- grew, following a 14.0% y/y growth in volumes in tion of the NNPC Direct Sale, Direct Purchase mies of scale. Going forward, we are also cau- H1-2021. ARDOVA’s drive to increase its market base for 2020. However cur- program (DSDP) indicate that the NNPC, tiously optimistic with regards to the company’s share in the lubricant market by signing an through the PPMC, may remain the sole LPG, and Renewables & Battery-as-a-service seg- agreement with Shell lubricant appears to be rently ARDOVA high base in importer of PMS. Although the Central Bank of ments. yielding support. Profit margin in the PMS seg- 2021, we expect the firm's Nigeria (CBN) in recent weeks has made efforts Valuation: BUY rating retained with higher ment remained low, as the firm does not hold to improve dollar availability, we remain upside any wholesaler privileges. Overall, the company's cost improvement and effi- sceptical about the capacity of the CBN to handle In view of the foregoing, our expectations for lubricant segment remained its most profitable the FX needs of petroleum product importers. the performance of ARDOVA in 2021 remain segment with Gross margins at 20.7% vs 6.7% in ciency management drive Until then, ARDOVA and other downstream broadly moderate, as such, we retain our model its Fuel segment. ARDOVA’s Renewable seg- observed in recent quarters players will continue to earn a retailer’s margin assumption while awaiting details about the pro- ment underwhelmed, as Revenue declined by for PMS sales, dampening our outlook for the posed acquisition. Nevertheless, adjusting our 22.7% y/y to N5.7m. Liquefied Petroleum Gas to continue to drive profit- downstream sector. valuation estimates, we adjust our Target Price (LPG) sales grew by 258.2% y/y to N11.3m in the On PIA: Industry players cautiously optimis- for ARDOVA to N23.4. Compared to the current period under review, solidifying expectations of ability in H2-2021. tic on full cost recovery as the PIA is signed market price of N15.5, this portends an upside of increased LPG demand over the next decade. Despite the recent signing of the PIA into 50.3% thus we retain our BUY rating on the Cost efficiency supports margin expansion: law, ARDOVA’s management expressed cautious ticker. Despite the decline in revenue, profitability and Unilever Nigeria Plc H1-2021: Out of the woods? ecently, Unilever Nigeria Plc of FX pressures as well as surge in commodity with Cash & Cash Equivalents growing by 19.1% industry-wide and thus we do not expect a ("UNILEVER" or "the company") costs continue to weigh on UNILEVER’s cost YTD and improved interest rate environment dramatic fall in UNILEVER’s volumes. That said, published its Unaudited H1-2021 growth. Key raw materials like Linear Alkyl during the period. Overall, Net income printed at we note competition among brands in the FMCG fRinancial result. According to the report, Revenue Benzene (whose price is tied to movement in N0.7bn for the period, a turnaround from the space (particularly among players in Home and grew strongly in H1-2021, up by 43.2% y/y to crude prices), and Palm Oil continue to record a N0.5bn Loss recorded in H1-2020. Personal Care segment) remains tough. Overall, N39.2bn from N27.3bn in H1-2020. Similarly, surge in price. In addition, freight costs ticked Outlook & Valuation: Looking ahead, we we retain our Revenue forecast for the year, with Q2-2021 Revenue performance grew 40.8% y/y higher during the period in the face of prolonged expect the company’s revenue to continue its a growth projection of 24.5% y/y to N77.1bn indicating revenue resilience. However, the pressures at the Apapa port. All in, Cost of Sales upward trajectory. Our expectation is premised (Annualised H1-2021 Revenue - N78.3bn). company continues to face noticeable cost rose 38.2% y/y to N29.3bn in H1-2021, from on the company’s recent price increases on Nevertheless, we anticipate that UNILEVER pressures which exerts sustained pressure on N21.2bn in H1-2020. Nevertheless, Gross several of its products, which we believe would will continue to face cost pressures. Although, FX profitability. Nevertheless, the company turned a margin expanded by 270bps y/y to 25.2% due to support price-driven growth. Our viewpoint is pressures are expected to simmer in the coming corner on profitability after posting a Net income slower growth in Cost of Sales relative to further bolstered by the fact that price months, price of key commodities remain biased of N0.7bn in H1-2021, from a loss of N0.5bn in Revenue. Similarly, Gross profit grew 60.4% y/y increments in the FMCG space have been upwards, consequently expected to keep raw H1-2020. to N9.9bn in H1-2021. The strong Gross profit material costs elevated. Revenue resurgence continues: According to growth and margin expansion reflects stronger However, we note that the company’s price the recently released financials, UNILEVER’s pricing power for the company. increases across its product portfolios has recent Revenue resurgence continued in Q2- Opex surge as company ramps up brand Nevertheless, we anticipate enabled UNILEVER pass through its cost 2021 following the 40.8% y/y growth in Revenue investment: In H1-2021, management pressures adequately to the consumers. Thus, we to N19.7bn, culminating in a 43.2% y/y growth in confirmed it has been investing aggressively that UNILEVER will continue anticipate the company’s margins will remain H1-2021 revenue, printing at N39.2bn. Across behind company’s brands which has resulted in to face cost pressures. strong in H2-2021. Consequently, we model business segments, H1-2021 Revenue growth the sharp increase in Marketing & Distribution higher Gross margin of 25.0% compared to was supported by rapid growth in both Home & expenses (up 36.4% y/y to N7.8bn in H1-2021) Although, FX pressures are 22.0% previously. Overall, we project Net Personal Care (+50.6% y/y) and Food (+37.4% and consequently Operating expenses (up 36.0% expected to simmer in the income to print at N1.5bn (up from our prior y/y) businesses. Examining key drivers of y/y to N9.5bn). Despite the increase in Operating forecast of N0.9bn due to better-than-expected revenue, management announced it expenses, UNILEVER recorded Operating Profit coming months, price of key operating performance) in FY-2021 compared to implemented price increases across some of its of N422.4m in H1-2021 compared to an a Loss of N4.0bn in FY-2020. product portfolios following a similar move by Operating loss of N1.4bn in H1-2020. commodities remain biased Following adjustments made to our forecasts competitors as well as surging costs. In addition, Slow and steady return to profitability: upwards, consequently as well as making favourable adjustments to our volume growth recovered following improved UNILEVER recorded Pre-tax profit of N1.0bn in Cost of equity to reflect moderating yield investment behind the company’s brands as well H1-2021, compared to a Pre-tax loss of N0.6bn expected to keep raw environment as well improved macroeconomic as increased volumes in the tier-4 segment (mass in H1-2020. The return to profitability was material costs elevated. fortunes, we raise our target price to N15.97/s market) of the consumer market following further supported by Finance income of N0.7bn, which implies an 18.3% upside to current price of recovering consumer income. lower than H1-2020’s N0.8bn by 23.4% y/y, N13.50/s. In light of this, we have changed our Cost pressures yet to subside: A combination despite strong Cash generation during the period recommendation from a SELL to a HOLD. 20 Monday, September 6–12, 2021

TrAviaaition n| Marsitimep | Mootoringrt CHINET 21: Expert presents recipe for growing air cargo value chain in Nigeria t the just concluded Aviation Cargo and cure their services mostly for fresh produce Export Conference (CHINET 21) and product distribution across the country. organised by Atqnews, stakeholders This, according to him, could also help in tAook a critical look at how aviation cargo can decision making of the major supermarkets further be developed to boost export. to open shops in other locations other than The CEO, Mainstream Cargo Limited, Mr. Lagos, Abuja, Port Harcourt, and Kano. Seye Adewale, one of the major speakers at the conference x-rayed aviation cargo both in the International Air Cargo domestic and international scenes presenting Adewale noted that international air recipes on how to develop and grow the air cargo operations is a more developed aspect cargo value chain. of the Air Cargo business in Nigeria, however, Adewale in his paper, 'Growing Air Cargo he harped on the need for reduction of carbon Value Chain,' said it was necessary to x-ray air emission as contribution to air cargo value freight both from the domestic and interna- chain. tional perspectives because both are at differ- “What is the carbon emission level of air ent stage(s) of growth and development with cargo aircraft deployed to Nigeria? What is the associated needs also slightly different. the carbon emission level of the various air- Domestic Air Cargo craft handling equipment operating within Starting from the aspect of airport infra- our airports?” he asked, stating that this structure, the cargo expert pointed out that ought to be investigated to enable us to con- since airports are critical for the movement of tribute our quota to the carbon emission air cargo, connecting-the-dots in moving reduction drives globally. mostly agricultural produce is a veritable need. This in his view will indeed assist Nigeria He noted that as at date, many agricultural in benefiting from global incentives to products or farm produce are moved via road nations supporting this objective. particularly from the north / middle-belt Also coming from the health angle, he region of Nigeria to its southern region and vice noted that many of our human resources versa. work within and around these equipment In view of this, he said there was the need to and aircraft and non-consideration to reduce encourage and support the state governments carbon emissions could indirectly impact on to build this infrastructure to grow the affected their wellness in the long run. state economy, generate Internally Generated CEO, Mainstream Cargo Limited, Mr. Seye Adewale The CEO opined that Nigeria ought to Revenue (IGR), and create jobs noting that sup- even contribute its quota in respect of miti- ply creates its own demand. can acquire and operate cargo planes for the “This opportunity could be explored by gating global warming, noting that many of “Does MM2 or GAT have a good/ large stor- purpose of air freight and thus provide this FAAN since they have a training centre in the weather and nature challenges experi- age, sterile, or temperature regulated ware- domestic air cargo service. Lagos. They could choose other strategic air- enced in the country could be linked with this houses to hold perishables, pharmaceutical “This will even largely benefit their quest of ports within the country to do the needed train- global warming challenge. products, etc within?” he asked. enjoying tax, forex and other incentives ing certifications of airport operations staff. Noting that this erodes value, capital to “Secondly, as a guide the imminent Lagos enjoyed by the airlines (especially interna- “This is more instructive because their role the whole polity/ economy in the long run, he Airport around Ibeju Axis/ Free Zone axis of tional) as they could integrate their handling may be limited in a post airport concession therefore called on the government to insti- Lagos State need to plan for the construction of services with this,” he noted. regime that appears to be in the offing. This tute a task force to manage this important a good cargo warehouse with temperature reg- Adewale also identified other support could be one of their major value additions in aspect of our livelihood as a nation and join ulated modular storage assets in order to sup- needs that have to do with proper packing and the post concession era,” he posited. the global conversation regarding a safer and port the investments of businesses/ entrepre- packaging of shipments that are air bound. The Mainstream Cargo CEO further more secured air space. neurs that have invested in excellent storage He stated that having only one up-to- adduced that only licensed freight forwarders He added that incentives could be given centre and warehouses along the Lekki-Epe standard product or produce packaging com- should operate in the air cargo value chain, con- to cargo airlines and handling companies Axis, Free Trade Zone Axis and Lagos-Ibadan pany effectively existing for air cargo within sidering that freight forwarders are critical who have a robust plan to reduce their carbon Expressway Axis,” he advised, noting the good Nigeria and based in Lagos leaves room for facilitators of air cargo. emission, stressing that this is a major value access from Sagamu. unspecialised, untrained artisans who fill in He said: “There must be a robust and effi- contribution to the whole of society and must Continuing, Adewale pointed at the need this space and significantly capitalise on the cient way to ensure only licensed freight for- not be trivialised. for a dedicated cargo airline saying that as at loopholes or gaps within the value chain. warders operate within the value chain. Another air cargo booster according to today, “we do not have dedicated Air Cargo Air- While appreciating their efforts, he said it “Indeed, passenger airlines operating air the CEO is the need to create, build and lines operating within the domestic airports. was not efficient because it lacks the capacity to cargo to support their revenue drive attempt to develop many export processing zones/ cen- “Allied Air appears to be the only cargo air- grow the sector. sign off only with known cargo intermediaries tres (EPZ) across the country and that are line attempting to bridge this gap albeit not as “The time is now to get organised and and agents, but this is not enough. proximate to the respective international air- efficiently as one would like. ensure we have good and effective commodity “The monopolistic approach must be jetti- port. “Even the airlines most preferred route or product packaging companies with accredi- soned to allow a more transparent, open space “This is very important for the interna- (LOS-ABV-LOS) is at the instance of a govern- tation/certification situated around or within for all eligible freight forwarders to participate tional transportation of fresh farm produce ment parastatal that needs its frequent services the airport area. as direct cargo agents. and perishables. The strategy is to process in/out of Lagos-Abuja route and only looks for “This will be a game changer within the air “I believe the drive for one-time huge reve- commodity or farm produce at proximate added opportunities for its return flight back to cargo business and thereby assist cargo airline nue payment is the primary incentive to these areas to the airport area and ship them Lagos.” operators to be more confident to move ship- domestic passenger airlines. directly to the tarmac for effective (air cargo) He regretted that when air freight trans- ments (especially Perishables and Dangerous “The expectation that more cargo airports exportation. port opportunities occur, freight forwarders Goods by air). Air Cargo has its operating will be functional will allow freight forwarders “This also ensures that we are integrated and businesses seek air (cargo) charter with model, and this ought not to be compromised to expand operations across the country and to the global supply chain and also allows for lots of processes that make it inefficient: sour- due to local limitations,” he stated. grow the business since they will now be economic diversification as seen as the major cing cargo aircraft, signing agreement, getting “They are quickly given two to three days of expected to source for air cargo to meet their policy direction of the Buhari administra- the Nigerian Civil Aviation Authority's fast tracked training that in my view are inade- operating cost and profit thereof.” tion,” he explained. (NCAA's) approval, liaising with the Federal quate to ensure a future safe and proper air The CEO noted that with this develop- The cargo expert further said that 'desk Airports Authority of Nigeria (FAAN) or air- cargo operations across the country. ment, expectedly, major supermarkets will pro- clearing' would be vital especially in the air port operator, handling agreement including cargo clearing process. equipment rentals, and the likes. He, therefore, urged the Nigeria Customs The cargo guru posited that if Nigeria has at Service (NCS) in its consistent improvement least two approved and licensed air cargo air- “The time is now to get organised and ensure we to go a step forward to allow desk customs lines operating in the domestic side, they will be clearance especially for known shipper. busy all year round and this could be embed- have good and effective commodity or product pack- He regretted that the Nigerian system ded with West Africa Regional air cargo flight. does not presently allow known shipper, say- “We need to highlight and emphasise these aging companies with accreditation/certification situ- ing it slows down the cargo clearing process needs to aviation investors,” he said. ated around or within the airport area. and advised that this could be worked upon He posited that ground handlers in Nigeria alongside. SPECIAL SECTION Monday, September 6–12, 2021 21 2023 Presidency: Crowd of pretenders, contenders emerge he battleline for the 2023 presidential gen- served as the 14th Speaker of the House of Repre- eral elections has been drawn by the sentatives of Nigeria. release of the Independent National Elec- Dogara is a member of the APC who has tToral Commission, INEC, timetable for the elec- served as the House of Representatives Member tion. for Bogoro/Dass, Nigeria/Tafawa Balewa, Nigeria Though, the umpire is yet to blow the whistle Federal constituency of Bauchi State since 2007. for the contest but the ring for the bout is already He is currently a member of All Progressive Con- filled with crowds of pretenders and contenders gress (APC). Dogara after his tenure as a Speaker for the presidential election. disappeared from political scene and later resur- The crowd including jokers, pretenders and faced. He may have problem of zoning if APC contenders are already nocturnally meeting with decides to zone presidency to South. Though, he the stakeholders and mobilising their supporters has not enough political platform to challenge for the less the two years election. Tinubu and others in APC. It was gathered that the bone of contention Dr. Olubukola Abubakar Saraki, was born in causing squabble with the two strong political par- 19 December 1962, and is a shrewd politician. He ties, All Progressives Congress, APC and People's was the 13th President of the Senate of Nigeria Democratic Party, (PDP), is the issue of zoning from 2015 to 2019 and Chairman of the 8th Nige- presidency formular. ria National Assembly. He was previously the Gov- However, despite the seen and unforseen cri- ernor of Kwara State from 2003 to 2011; and was ses rocking the parties and the insecurity pervad- elected to the Senate in 2011, on the Peoples Demo- ing the country, politicians are not blinking an eye cratic Party (PDP), representing the Kwara Cen- as to what becomes the soul of the country. tral Senatorial District, and then re-elected in the Their interest is to replace President 2015 general elections under the platform of the Muhammadu Buhari in 2023. The list of the All Progressives Congress (APC). He has strong alleged 2023 aspirants before National Business, political block and alot of political friends across are litany and inexhustible. the Nigeria divide. He is challenging his corruption However, the determining factor of who flags charges with the EFCC. He may have only Atiku the party's presidential flag is going to be the zon- and Dogara to challenge. Kwakwanso: was born on 21 October 1956 ing and party primary elections, which are still far Peter Obi Yakubu Dogara off the calendar. and is 64 years old. He has strong political block in Among the aspirants are the former Vice Pres- the north, especially in Kano State. A charismatic ident, Atiku Abubakar, former Speaker House of ocratic Party (PDP). His problem is lack of strong man, and the current Governor of Kogi State. He and shrewd politician with a widespread support Representatives, and Sokoto State governor, political structure. His 5In15 Kaura Mobilisation was born on June 18, 1975, and is 46 years, from in Kano; he was in 2011, re-elected Governor of the Aminu Waziri Tambuwal, former Senate Presi- Project, has started work assiduously. Okene-Eba / Agassa/ Ahache. Bello graduated state and moved to join the APC in 2014. In 2015, dent, Olusola Saraki; former Speaker House of Abdullahi Umar Ganduje, born December from Ahmadu Bello University in 1999. He was when it was obvious that PDP, was not going to Representatives, Yakubu Dogara, former Cross 25, 1949, is a Nigerian politician who is currently the first person to declare his intention for 2023 zone presidency to the north. River State Governor, Donald Duke, Kogi State serving as the Governor of Kano State. He took presidency. His problem is that he has a weak After he lost to Buhari in 2015 APC primaries, Governor, Yaya Bello; former Governor of over office in 2015. political structure and from the minority north. he returned to PDP in I2018, and contested the Anambra State, Peter Obi, Bauchi State governor, Ganduje is of a Fulani family stock and a grad- Zoning and nationaI clout is lacking in his political presidential primaries losing out to Atiku Bala Mohammed, former Minister of Special uate of Qur'anic and Islamiyya School at his vil- curriculum vitae to rule Nigeria. Abubakar. Duties and Inter-Governmental Relations, lage. Ganduje is trained Islamic knowledge Current Minister for transportation, Chibuike Rabi'u Musa Kwankwaso was the Governor Tanimu Turaki, former governor of Imo State, scholar. His weakness is the fact that he has no Rotimi Amaechi, is a Nigerian politician. He previ- of Kano State from 1999 to 2003 and 2011 to 2015. Rochas Okorocha, former governor of Lagos strong political block and seen as not being known ously served in oil-rich Rivers State as Governor of After he lost his re-election in 2003, he was State, and APC national leader, Asiwaju Bola in APC. Rivers State from 2007 to 2015 and Speaker of the appointed the first Minister of Defence of the Ahmed, former INEC boss, Professor Jega; gov- Owelle Rochas Anayo Okorocha is a Nigerian State's House of Assembly from 1999 to 2007. Fourth Republic from 2003 to 2007. He may cap- ernor of Boronu State, Zulum, Transportation philanthropist, politician and business man of Amaechi like Tinubu, also, contributed to the com- ture the PDP presidential ticket because of his Minister, Rotimi Amaechi, Rivers State Governor, Igbo extraction from Imo State. He is the Senator ing to power of President Mohammdu Buhari in Kano State base. With PDP effortlessly working to Wike. Others are, Kano State Governor, Ganduje representing Imo West Senatorial district at the 2015. Amaechi is of South-South zone and APC take power back from APC and realizing that Abdullahi, former Governor of Kano State, 9th Nigerian Senate. He is also the former Gover- may not zone her presidency to the South South. Kano votes make one President, Kwakwanso may kwakwanso, Kaduna State Governor, Mallam El- nor of Imo State. Okorocha is facing serious cor- Jonathan after six years of ruling Nigeria, Amaechi levearage on the popularity to defeat Atiku, Saraki Rufia, Attorney general of the federation, ruption charges with Economic and Financial may find it difficult to flag APC flag, even if the and Tambuwal in the primaries. Abubakar Malami and Pastor Tunde Bakare, the Crimes Commission, EFCC, and Imo State Gov- party decides to zone it to the South. His Achilles Donald Duke was born on September 30, list is much. ernment. His problem is the zoning arrangement tendon will be Tinubu and lack of strong political 1961 in Calabar, Cross River, Nigeria. For Atiku Abubakar, 2023 may likely be his in APC. Well known in entire Nigeria and can platform are going to work against him. Hewas the former Governor of Cross Rivers State last to try his luck after several years' attempt to speak the three major languages fluently, he has Tunde Bakare is a Nigerian Prophetic- and recorded notable achievements. He recently rule Nigeria. Acclaimed successful Nigerian politi- 'missionary' schools in all the federation but has no Apostolic pastor and activist. He was the running relocated to his former political party after leaving cian and businessman, who once called the shot as strong political structure on ground. mate of the Nigerian presidential candidate, People's Democratic Party. the Vice President of Nigeria from 1999 to 2007 Nasir Ahmad el-Rufai is the Governor of Muhammadu Buhari in the 2011 Nigerian presi- Seen as vibrant, dynamic, visionary and stra- during the presidency of Olusegun Obasanjo, he Kaduna State, and has been in office since 2015. dential election under Congress of Progressive tegic political leader, of sort, Duke throughout his was born 25 November, 1946 (age 74 years). He was ex-Minister of the Federal Capital Terri- Change (CPC). He was born on 11 November 1954 era was a development Governor and trans- A graduate of Ahmadu Bello, Atiku has a strong tory from 2003 to 2007; and the Director of the and is 66 years, Abeokuta man. A graduate of formed Cross Rivers State into a tourist site. He is opposition in PDP, to emerge as it's presidential Bureau of Public Enterprises BPE. He is a found- UNILAG Nigeria, Indiana Christian University, currently a member of the Coalition for Nigeria candidate because of a group known as the Peo- ing member of the ruling All Progressives Con- he has no political clout, structure and contacts. He Movement led by former President Olusegun ples Democratic Party (PDP) Action 2023, who gress but has no structure that will deliver him the has not been steady in pursuing his political career. Obasanjo, that seeks to reposition Nigeria's socio- says former Vice-President Atiku Abubakar presidential ticket in APC, He is seen as anti- Chris- His hope to rule Nigeria is in God's hands. political space. should not run for the presidency in 2023. Their tian and his utterances in the killing in Kaduna, Abubakar Malami SAN, is a Nigerian lawyer The hurdles before him is the evil of zoning reason was that Atiku abandoned the party after may hunt him. and politician who since 2015 is serving as Minis- and coming from the South- South, it may be an 2019. Babagana Umara Zulum is a professor and ter for Justice and Attorney-General. He was impossibility unless he is looking for VP, position. Peter Gregory Obi is a Nigerian politician and politician. He is the serving Governor of Borno born: in 17 April 1967 and is 54 years. Malami is Ezenwo Nyesom Wike, was born 13 Decem- acclaimed businessman. He was the vice presi- State in the 2019 Governorship election under the Birnin Kebbi politician and University of ber 1963. A Nigerian politician and lawyer, he is dential candidate in the 2019 Nigerian general platform of the All Progressive Congress. Born on Maiduguri (1994), Usmanu Danfodiyo University the sixth and current Governor of Rivers State. He election under the People's Democratic Party. Obi August 26, 1969, he is 5. Zulum, without structure Sokoto (1991), graduate. He has no locus standi in is an Ikwerre from Rumuepirikom in Obio- was born in Onitsha, Anambra State in 19 July politically but his actions in governance may speak nationaI politics. Lack of strong political platform Akpor, Rivers State. 1961 (age 60 years). He is a University of Nigeria, for him. Very vocal and an activist in power, and nationaI contacts and connection even He is a member of the People's Democratic Nsukka (1980–1984), graduate. Obi's problem Zulum walked his way into the hearts of Nigerians among APC, may deprive him of his ambition Party and a Rivers State University of Science and will be zoning because PDP, is moving up North by the way he is handling the insurgency in Borno Aminu Waziri Tambuwal is a Nigerian politi- Technology, graduate. Wike did his service year in for it's candidate. State. He is a University of Maiduguri and, Uni- cian and serving as the Governor of Sokoto State Takum Local Government Area of Taraba State. Bola Ahmed Adekunle Tinubu is a Nigerian versity of Ibadan graduate. after winning the election during the 2015 general He was appointed Minister of State for Edu- politician and a national leader of the All Progres- Attahiru Muhammadu Jega born January 11, elections and re-elected in the 2019 general elec- cation on 14 July 2011, and later appointed the Act- sives Congress. He was former Lagos State Gover- 1957 is, a core academic and former Vice- tions. He was the former Speaker of the House of ing Minister of Education. Wike is politically nor from 1999 to 2007. Tinubu was the brain Chancellor of Bayero University, Kano. President Representatives of Nigeria. He has the age, the strong in the South South zone and doesn't hid his behind the emergence of Buhari after three Goodluck Jonathan appointed him Chairman of acumen, structure and wealth to execute his ambi- lack of nationaI political clout. He has no strong attempts at becoming President of Nigeria. A the Independent National Electoral Commission tion. He is relatively known in the South. He political platform in the West and North, even the shrewd politician and tactician. Tinubu's problem (INEC), as a replacement to Professor Maurice stands the chance only if he can beat Atiku in PDP little he has in the East has been eroded away by will also be zoning of the presidency by his party, Iwu, who vacated the post on 28 April 2010. He primaries. Wike is strongly behind him and can do his alleged hatred against the Indeginous People health and Muslim- Muslim ticket. conducted the election that removed Jonathan as everything possible to see his emergence. Wike's of Biafra, IPOB, and derobed himself of his Igbo Bala Mohammed born October 5, 1958, is a an incumbent President. Now a member of Peo- aspiration is believed to be his running mate. identity by saying he was not Igbo. Zoning in PDP Nigerian politician who is the Governor of Bauchi ples Redemption Party, (PRP), he may emerge as Tambuwal stands the chance to be PDP is one of his albatrosses, although he was behind State. He was, also, Minister of Federal Capital Ter- the party's candidate. His weakness is that he does- flagbearer. He is just 55, and was born on 10 Janu- the zoning of the presidency to the north. ritory (FCT) from 2010 to 2015; and a Senator n't have wide political block to win the general elec- ary 1966. With the 2023 still crawling, the candidates do from Bauchi State between 2007 and 2010. He is tion. Yakubu Dogara was born on 26 December not want to be been taken by chance as they con- a leading member of the opposition People's Dem- Yahaya Adoza Bello is a politician, business- 1967. He is a Nigerian politician and lawyer who tinue to oil their guns for the battle ahead. 22 CRIME & LAW Monday, September 6–12, 2021 Compliance with extant laws essential for public accountability –Bawa he Executive Chairman of the and financial crimes. “There is a spe- organizing the roundtable. “The idea Economic and Financial cial role for the media to call out any around the roundtable is to… have Crimes Commission, (EFCC), individual or agency of government the media in the first place, under- TAbdulrasheed Bawa last week, advo- that is not keen on enforcement or stands what our legal obligations are cated strict compliance with and that has warped sense of it. It is my in a democracy, and secondly it is also enforcement of extant laws and regu- conviction that when we all join to help we ourselves as a newspaper lations to promote public account- hands together in this way, we would to give consequence and meaning to ability and the fight against corrup- have taken a very significant step that accountability metrics.” tion in Nigeria. towards achieving the Nigeria of our The roundtable tagged “Udeme The EFCC boss who spoke dreams.” Accountability Roundtable: Strategic through the Commission's Director, In his address, the Executive Partnership for Accountability in Public Affairs, Osita Nwajah at a Director, Premium Times Center for Nigeria” had in attendance, partici- roundtable on Accountability orga- Investigative journalism, Dapo pants from various anti-corruption nized by the Premium Times Center Olorunyomi commended the partici- agencies and civil society organiza- for Investigative Journalism, PTCIJ, pants and highlighted the reasons for tions. at the Orisun Art Source, Abuja, noted that “there is no better prevention tool than a vigorous enforcement regime, one that is applied across the board in EFCC arrests 10 for Forex scam in Kano strict adherence with extant laws, underlying such a demand, adamant done more to advance the develop- he Kano Zonal Command of The suspects were arrested fol- rules and regulations”. from the outset that it must be any- ment of the law in the last 18 years the Economic and Financial lowing intelligence which indicated He noted that while Nigerians thing but altruistic! than the EFCC. This is because every Crimes Commission have that a syndicate of fraudsters was per- were adept at comparing their system “The question is, do we need more day, across the length and breadth of aTrrested ten suspected fraudsters for petrating the crime around Fagge with those of other countries, those laws or regulations? I certainly think this country, we are using the instru- alleged involvement in forging travel and Gwammaja areas of Kano State. countries were not doing anything we need better, more responsive laws mentality of extant laws to hold public documents to procure foreign They will be charged to court as extraordinary other than enforcing as veritable guardrails of our march to officials accountable. exchange from commercial banks in soon as the investigation is con- their laws and regulations no matter nationhood. But, whilst we are hard at “We have since inception been Kano. cluded. who it is that has committed the work formulating those, the real ques- seeking accountability from our poli- infraction. tion begging for answer is, how much ticians of all hues and business of all “A law or regulation is only as of the functionality of available laws shades; we have gone after bankers good as its enforcement. A society have we as Nigerians tested to hold and public servants. And across the where enforcement is jaundiced or both public officers and the public sys- country, from the high courts all the non-existent is inevitably sucked tem they run accountable?” way to the supreme courts, the dock- faster into the black hole of a failed soci- Bawa said the EFCC has done ets of courts are filled with EFCC ety. We are plagued by the situation more than any government agency in cases,” he said. where the auto-response to any promoting the development of Law in Bawa called on the media and the demand for accountability is to raise Nigeria. “We make bold to say that no Nigerian citizens to join hands in rid- doubts as to the 'real' intentions agency of government in Nigeria has ding Nigeria of all form of economic Offa Poly student to spend one year in jail over cybercrime ustice Sikiru Oyinloye of the one count by the Ilorin Zonal Com- ing the iphone recovered from him at Kwara State High Court sitting mand of the Economic and Financial the point of arrest were tendered and in Ilorin on Thursday, Septem- Crimes Commission, EFCC. admitted in evidence. Jber 2, 2021 sentenced one Olaleye The charge read: “That you, In his judgment, Justice Oyinloye Court orders interim forfeiture Rosheed, a student of Federal Poly- Olaleye Rosheed (Christiana Lopez) said, “I have carefully considered the technic, Offa, to one year imprison- sometime in January, 2021 at Ilorin, facts and circumstances of this case, of firm's N5.3bn ment over offences bordering on Kwara State, within the jurisdiction of most especially the lone count ustice Tijanni Garba Ringim of N1,635,809,499.31. attempted cheating and internet this Honourable Court pretended to charge, the plea of guilt entered by the the Federal High Court sitting He, therefore, urged the court to fraud. be one Christiana Lopez, a white defendant, his extra-judicial state- in Ikoyi, Lagos, on Wednesday, order the interim forfeiture of the Olaleye, 21, was prosecuted on female with a gmail account, ments and unchallenged testimonies JSeptember 1, 2021, ordered the fund to the Federal Government in [email protected], and of the sole Prosecution Witness'' interim forfeiture of the sum of N5, the interim. thereby committed an offence con- He further said, “this Honour- 318,517,789.48 found in the account Consequently, Justice Ringim trary to Section 95 of the Penal Code able Court holds the view that the of a company, Kaiser Strategic Ser- ordered the interim forfeiture of the and punishable under Section 324 of prosecution has succeeded in prov- vices Limited. money and also directed the publica- the same Penal Code'”. ing its case beyond reasonable doubt. Justice Ringim gave the order, tion of same in any national newspa- The defendant pleaded guilty This court finds the defendant guilty following an ex parte application filed per for any interested party to appear when the charge was read to him. of the allegation levelled against him by the Economic and Financial before the court, within 14 days, to Following his plea, counsel to the and he is hereby convicted.” Crimes Commission, EFCC. show cause, why the final order of EFCC, Sesan Ola, reviewed the facts Justice Oyinloye sentenced the Moving the application on forfeiture of the funds should not be of the case through an operative of the convict to one year imprisonment Wednesday, September 1, 2021, made in favour of the Federal Gov- EFCC. The witness narrated how with an option of fine of N200,000 counsel to the Commission, Rotimi ernment. intelligence report led to the arrest of (Two Hundred Thousand Naira Oyedepo, told the court that the Justice Ringim in a bench ruling the defendant on July 24, 2021. Only) while the iPhone recovered money was deposited in three granted the application as prayed. Several fraudulent messages from him was forfeited to the Federal a c c o u n t s i n t r a n c h e s o f He adjourned till September 29, printed from Olaleye's email includ- Government N 1 , 4 0 7 , 1 8 2 , 7 9 7 . 0 0 , for a report of compliance. N 2 , 2 7 5 , 5 2 5 , 4 9 3 . 1 7 a n d Court jails 10 internet fraudsters in Abuja The Abuja Zonal Command of scam, obtaining by false pretenses and Ida Connor of USA to deliver Economic and Financial Crimes and defrauding foreigners via to you the sum of $5000 (Five Commission (EFCC), EFCC, last internet. Thousand USD) and you thereby week arraigned and secured the They pleaded guilty to their committed the offence of cheat- conviction and sentencing of 10 respective charges. ing contrary to the provisions of internet fraudsters to various One of the charges read: “that Section 320 (b) of the Penal Code prison terms. The convicts: you Ulukpo Victor Obokparo on or Act, Laws of the Federation of Ulukpo Victor Obokparo, Osondu about the 25th day of June, 2021 Nigeria (Abuja), 1990 and pun- Stanley, Habib Iko-Ojo, Precious within the jurisdiction of the High ishable under Section 322 of the Ani, Emmanuel Philip Ikpan, Court of the Federal Capital Terri- same Act”. Umar Farouk Mohammed, Israel tory, Abuja while representing Following their guilty pleas, Kue, Kingsley Mathew, Ibrahim yourself as one Williams Brandon, Justice Mu'azu sentenced them Oyolade and Taiwo Samuel, were an Engineer from New Jersey, to prison terms, ranging between prosecuted before Justice Hamza USA through the means of an 3 to 6 months, with option of fine Mu'azu of the Federal Capital Ter- e m a i l a d d r e s s of N20, 000 to N100,000. ritory High Court, Abuja for [email protected] In addition, the Court offences bordering on cheating, carried out an illegal act to wit: ordered the forfeiture of pro- misrepresentation, romance inducing the duo of Helen Isean ceeds and instrumentalities used CRIME & LAW Monday, September 6–12, 2021 23 Court freezes jailed ex-Bank PHB MD, Atuche's N19.1bn ustice Lateefat Okunnu of ited; Stanbic IBTC Nigeria Lim- stated that the firms, in which Justice Okunnu granted Number (BVN) 22295357230 in his personal name or other- the Lagos State High ited; Standard Chartered Bank; Atuche has either direct or indi- the 12 prayers of the applicant in any of the respondent banks wise or with the Bank Verifica- Court sitting in Ikeja, has Sterling Bank Plc; Wema Bank rect interest are: Aqua Harvest and held that “An order is made to the tune of N19, 178, 253, tion Number: 22295357230 oJrdered the freezing of the Plc; Zenith Bank Plc; Unity Limited, Hubmart Stores Lim- restraining the 1st defendant 050 billion, pursuant to the Res- and the accounts of persons assets and funds to the tune of Bank Plc; Titan Trust Bank Lim- ited, Hubmart Limited, Sap- (Atuche) whether by himself, titution Order made by this and entities listed in the afore N19, 178, 253,050 belonging to ited, Union Bank of Nigeria Plc phire Capital Management or acting through the persons Honourable Court on June 16, mentioned Schedules A and B a convicted former Managing and others. Limited, Homeland Real or entities listed or such other 2021.” maintained with them. Director of the defunct Bank Moving the application, Estate Company Limited, persons including but not lim- Atuche and his privies, “A further order is made PHB Plc, Francis Atuche. counsel to the EFCC, Kemi Malechi Foods Limited, Home- ited to his family members or including his lawyers, were also directing service of the Order The Judge gave the order Pinheiro, SAN, told the court land Meridian Partners Lim- agents, from removing, alienat- barred from presenting to the made herein on persons on Tuesday, August 31, 2021, that 15 persons as well as 22 ited, Promise Investment Lim- ing, disposing of, dealing with above listed banks “any man- affected thereby including, in following an ex parte applica- firms were used by Atuche and ited and Temple Cottage Hotel or diminishing the value of date or instruction for the with- particular, the persons and enti- tion filed by the Economic and his co-respondent, Ugo Limited. assets, proceeds of economic drawal of any money and/or ties listed in Schedules A and B. Financial Crimes Commission, Anyanwu, a former Chief Others are: Wegas Proper- and financial crimes or other- funds standing to the credit of by way of advertisement in EFCC, on August 17, 2021. Financial Officer of the bank, to ties Project Limited, Buckhead wise in the name of the 1st any of their accounts to the tune either The Punch or Thisday or The funds, investigation launder the funds. Construction Limited, defendant.” of N19, 178, 253. 050 billion.” The Guardian newspaper.” showed, were domiciled in 24 Pinheiro listed the individ- Claremount Management Ser- The Judge, also, held that Justice Okunnu, who also Justice Okunnu had, in different banks in Nigeria, uals to include Anthony vices Limited, Afco Associates “the assets or funds included restrained the banks from hon- June this year, sentenced including Citi Bank Limited; Atuche, Emeka Patrick Atuche, Limited, Platinum Capital Lim- those held indirectly by or for ouring any such instruction Atuche to six years imprison- Ecobank Nigeria Limited; First Paul Okobi, Felix Oyiana, ited, Ghazali Yakubu Invest- Atuche's benefit, whether solely from Atuche and his privies, ment and Anyanwu four years Bank of Nigeria Plc; First City Moruf Kazeem Adisa, Olatunji ment Limited, The Financial or jointly held, that are located further held that “ A mandatory for stealing and conspiracy to Monument Bank (FCMB); Glo- Abiodun, Daniel Enebeli, Aina (Services) Company Limited, in Nigeria or worldwide.” order of injunction is made steal to the tune of N25.7bn. bus Bank Limited; Fidelity Olugbenga, Augustine Venture Resources Limited, Justice Okunnu further directing the named respon- The judge, while sentenc- Bank Plc; Keystone Bank Lim- Nwabueze, Omonua Benedict, Elizabeth-A Company Limited, ordered the freezing of any dent banks to file within 48 ing the duo, had ordered them ited; Lotus Bank Limited and Oliver King Nduaaron, Dr. Signature Partners Limited, bank account being run and hours of service of this Order of to make a restitution of the sum Mainstreet Bank Plc. Chris Ike Ogbechie, Mr. Murat Purplepay Technologies Lim- operated by Atuche “personally this Honourable Court on of N25.7bn to the Federal Gov- Others are: Polaris Bank Bektaslar, Attah Omataikpo ited, Oakwood Asset Manage- or jointly, whether in his per- them returns of the Statements ernment to replace the funds Plc; Platinum Mortgage Bank Olukemi and Thomas Etuh. ment Limited and Conesto sonal name or otherwise or of Account of the 1st Defendant stolen from the public to bail Limited; Providus Bank Lim- The EFCC counsel further Nigeria Limited. with the Bank Verification (personally or jointly) whether out the bank. Lekki Now Hotbed of Cyber Crime –EFCC 402 suspects arrested in three months ekki, the fast-developing far been recorded. upper middle class area Of the 159 suspects of Lagos Metropolis, is arrested by the Cyber Crime Lemerging as the new hub of Section, 70 are from Lekki, internet-related fraud. Data comprising communities from the investigation activities such as Ajah, Badore, Victoria of the Lagos Command of the Garden City, Sangotedo and Economic and Financial Oniru. Crimes Commission, EFCC, Ajah accounted for 24 sus- for the second quarter of 2021, pects, while Oniru and indicates that Lekki District is Sangotedo had 14 and 13 sus- the preferred location for all pects respectively. Badore had manner of cyber fraud syndi- 8 suspects. Neighbouring EFCC Arrests 15 suspected internet fraudsters in Port Harcourt cates. Ikoyi and Eko Atlantic had 2 peratives of the Port Harcourt Umuode Osisioma, Aba, Abia State fol- They were arrested alongside three Between April and June, and one suspect each. Ikorodu Zonal Command of the Eco- lowing intelligence on their alleged (3) vehicles: Lexus RX350 Sports Utility 2021, the Advance Fee Fraud and Alagbado on the Lagos nomic and Financial Crimes involvement in internet fraud. Vehicle, GLK Benz SUV and Lexus and Cyber Crime Sections of Mainland make up the the Command recorded a total OCommission, EFCC have arrested 15 sus- The suspects are: Ezekiel Udo; ES33O SUV. Others are: forty three (43) remainder. pected internet fraudsters in a sting oper- phones of different brands and models; of 402 internet-related fraud The suspects are mostly Anyanwu Odinakachi; Emeka Agu; Law- arrests. While the Advance Fee ation. rence Chinaza Michael; Ifeanyi Okorie; seven (7) walkie talkies; two (2) digital millennials, with 82 of them cameras, eight (8) laptops and three (3) Fraud Section was responsible aged between 25-34 years, They were arrested on Tuesday, Nestor Akobunu; Frank Ogu; Ezekiel for 243 arrests, the Cyber August 31, 2021at different locations in Samuel Uche; Inegbu Onyema Uche; iPhone wrist watches. which speaks to the fact that Crime Section executed 18 most of the individuals Aba, Abia State. Specifically, the suspects Azukaogi Ogiegbe; Okoro Uchechukwu; The matter will be charged to court as sting operations which were arrested at No. 214b, Aba-Owerri Victor Ehiudo; John Chiemela, Lucky soon as investigation is concluded arrested are either still in resulted in 159 arrests, from school, recent graduates or Road and Cherubim Owo Osisioma and Nwoko and Ugochukwu Emmanuel which 13 convictions have so Intercontinental by Nwanyi Motors, Okafor. university drop outs. Kwara Poly student, one other convicted of cybercrime he Ilorin Zonal Com- 2021 at Ilorin, within the judi- Ilorin, within the judicial divi- nesses. The witnesses who are printed from their email draft of N309,000 (Three Hun- mand of the Economic cial division of the Kwara State sion of the Kwara State High operatives of the Commission addresses, iPhones and laptop dred and Nine Thousand and Financial Crimes High Court, did cheat by per- Court, did cheat by person- narrated how intelligence led to and the extra-judicial state- Naira Only) which he raised as CTommission, EFCC, on Tues- sonation when you pretended ation when you pretended to the arrest of the defendants. ments made by the defendants restitution were forfeited to the day August 31, 2021 secured to be one Dave Sayer, a white be one Nicky Pearl vide your According to the witnesses, the were tendered and admitted in Federal Government. the conviction one Oyadiji male, vide your WhatsApp facebook account and in that defendants admitted commit- evidence. Similarly, Asimiyu was Temitope Ridwan, a student of application with your number guise communicated with one ting the crime and volunteered Delivering judgment on the sentenced to one year impris- Kwara State Polytechnic, +1915209228 and in that guise Martin Stone whom you statement during investiga- cases, Justice Oyinloye said onment on count one with Ilorin, and one Asimiyu Idris communicated with one induced to part with property tion. “from the totality of the evi- option of fine of N100,000 over offences bordering on per- Danny Coffman whom you to wit: gross sum of $400 Fraudulent messages dence placed before the court, (One Hundred Thousand sonation and internet fraud. induced to part with property (Four Hundred US Dollars) the plea of guilt entered by the Naira Only) and one year Justice Sikiru Oyinloye of to with: $750 vide gift cards, a vide Amazon Gift Cards, a rep- defendants as well as the extra- imprisonment on count two the Kwara State High Court, representation you knew to be resentation you knew to be judicial statements where they with option of fine of Ilorin convicted and sentenced false and thereby committed false and thereby committed confessed to the crime, the N200,000 (Two Hundred the defendants to various jail an offence contrary to Section an offence contrary to Section court believes that prosecution Thousand Naira Only) terms, having found them 321 of the Penal Code and pun- 321 of the Penal Code and pun- has proved its case beyond rea- The court also ordered the guilty of the separate charges ishable under Section 324 of ishable under Section 234 of sonable doubt”. forfeiture of convict's iPhone to levelled against them by the the same Penal Code" the same Penal Code”. The judge after pronounc- the Federal Government. He anti-graft agency. The particulars of count The defendants pleaded ing the two guilty, sentenced was also ordered to restitute The charge against Oyadiji two of the charge against guilty to their charges. Oyadiji to one year imprison- the sum of $470 (Four Hun- reads. Asimiyu read: Following their pleas, Pros- ment with option of fine of dred and Seventy Dollars) “That you, Oyadiji “That you, Asimiyu Idris, ecuting Counsel, Andrew N200,000 (Two Hundred which he benefited from the Temitope Ridwan, (Alias Dave (Alias Nicky Pearl), sometime Akoja, reviewed the facts of the Thousand Naira Only) while crime to his victim through the Sayer) sometime in March, between June and July, 2021 at cases through the EFCC wit- the iPhone, laptop and bank EFCC. www.nationalbusinessextrang.com Printed and Published by Business Extra Printing & Publishing Ltd FACTS & FIGURES 3, Delo Dosumu Street, Off Oritshe Street, By Awolowo Rd.Ikeja Lagos. N2.49trn Tel: 09035566777 A total sum disbursed by the Abuja Office: Block G Flat 10, Sky Federal Account Allocation Memorial Complex, Wuse Zone 5 Committee (FAAC) to the ...Partnering for development Email: [email protected] Federal Government of ATIONAL USINESS ISSN 2659–1014 Nigeria in 2020, according to N B EXTRA data released by the Executive Editor: Kenneth Madueke National Bureau of Statistics VOL .4 NO. 183 Monday, September 6–12, 2021 0 8 059100364 (NBS)

Opinion expressed in this column is not that of National Business Inflation in the country and strategies to contain it Extra but author’s the material point in time, there Nigerians also have an attitude of Economic and Financial Services were hardly any alternatives if we consuming what the country does Commission; Abdulrasheed Bawa must maintain some semblance of not have the capacity to produce seems to have gotten off to a peace in the polity. Demand Pull which piles up demand pressure roaring start as the indications are reminds one of the classic on foreign exchange. The fact that that he had hit the ground running definition of inflation which the country at this point in time going by the humongous amounts describes inflation as a situation of also has to import refined he has reported that the Agency too much money chasing avail- petroleum products which makes has recovered in his short period able quantities of goods and a priority claim on available at the helm. But he must guard services. foreign exchange imposed against the syndrome of early and The other component with considerable demand pressure on premature celebration of success regard to the cause of inflation is available supply of foreign which tends to divert needed By Dr. BONIFACE CHIZEA cost push; this explains a situation exchange. focused attention if results are to whereby there are increases in the There is also currently food be achieved in a sustainable here is no doubt that the cost of factors of production which inflation which is worsened by manner. inflation rate in the country are in turn passed on to the insurrection in parts of the Corruption in any economy has been ravaging to the consumer through general country particularly the food distorts the incentive system as it cThagrin and discomfiture of all. increases in prices. The reality of basket regions of the middle belt encourages a get rich quick Inflation rate of approximately 18 the situation in Nigeria today is as farmers are not able to go to mentality. It also subverts the per cent which kept on rising for a that there is no product or service their farms. value system in the economy as it period of over one year is unfamil- that has not recently witnessed an What are the solutions? There undermines the values of hard iar and alarming to say the least. increase in price and it is tough for are no quick fixes in this connec- work as it fosters a mindset of Until the last two months when a a generality of the population. One tion except if somehow we could instant gratification. And in the modest reversal was witnessed as of the major causative factors in find the political courage to end particular Nigerian situation, the rate of increase was for the first this respect is the falling value of subsidy on the petroleum corruption piles up demand time in a long while below 18% as the exchange rate of the Naira. products which is very difficult as pressure on the exchange rate as it settled at 17.93%, the situation Despite the best efforts of the it remains a veritable hot potato to most ill-gotten monies seek refuge gave much cause for concern. This Central Bank in supporting the grapple with. The one saving grace in dollars. Also while we are at it, situation is most certainly not rate of exchange it has been so is that the Dangote Refinery is we are reminded that election supportive and it is totally difficult because of lack of projected to commence opera- 2023 is round the corner and very injurious to the wellbeing of a productivity in the country which tions in the first quarter of next soon large amounts of monies will generality of our population. got worsened in the pandemic year 2022 and no doubt such a start making the rounds and as it What makes inflation unac- environment as the Central Bank development will ameliorate the is common knowledge dollars are ceptable is that it affects more the remained the only supplier of nightmare in this regard. the preferred means of exchange marginalized poor amongst the foreign exchange in the economy. The new kid on the block at the in this regard. population who are not in a The reduction on the scale of position to pass its effect on but insurrection in the country would bear the full deleterious impact as also help in this respect. It is it undermines their purchasing therefore welcome news the power, increases the misery index victory recorded against the in the land, undermines capacity bandits by our troops as a result of utilization and therefore erodes the reversal of the abduction at the GDP growth rates. But the recent school at Kebbi State albeit at reversal which we hope could considerable loss of lives. If we can signify a turning point, is most make more progress of this nature certainly not Uhuru yet as some that could impact positively as the critical sectors such as food farm population return to their inflation had not witnessed any farms and therefore that could reversal but had maintained a give some respite to rising food rising trend. Therefore the respite prices as supplies improve. which a generality of the popula- There is no doubt that the rate tion are seeking is a dream yet of inflation will be positively deferred. impacted in an overall improved So what are the causes of corporate governance environ- inflation? There are two main ment with improved infrastruc- sources. One is when you have ture availability to enhance excessive demand in the economy productivity. For a long time the due to the injection of massive monetary authorities maintained liquidity as we have witnessed a target of inflation rate which is lately through the extension of single digit in the range of 6 -9 per palliative funding to combat the cent. We must work hard to impact of COVID 19 in the achieve this target for that would economy. This type of inflation is give delayed respite to our referred to as demand pull Nigeria Finance Minister, Zainab Ahmed impoverished population. But inflation. This reminds us of the achieving this target will most argument by the Edo State certainly not be a walk in the park Governor; Godwin Obaseki that Despite the best efforts of the Central Bank in support- and will demand sustained and the Federal Government was ing the rate of exchange it has been so difficult because focused efforts on the part of all printing more which he cautioned stakeholders. could be damaging to the future of lack of productivity in the country which got wors- prospects of the economy. ened in the pandemic environment as the Central Bank Though his caution was remained the only supplier of foreign exchange in the Chizea is a Lagos-based timely, the fact remained that at economy. Economist