businessday market monitor NSE Bitcoin E verdon Bureau De Change FMDQ Close FOREIGN EXCHANGE TREASURY BILLS FGN BONDS - $42.46bn Foreign Reserve Market Spot ($/N) 3M 6M 5 Y 10 Y 20 Y Biggest Gainer Biggest Loser BUY SELL Cross Rates - GBP-$:1.29 YUANY-N52.28 ₦2,284,871.90 +0.08 pc 0.06 -0.01 Guinness Nestle $-N 359.00 362.00 I&E FX Window 364.01 0.32 0.32 -0.04 Commodities 15.17 N80.5 1.26 pc N1370 -2.14 pc Powered by £-N 468.00 476.00 CBN Official Rate 306.55 13.21 13.36 15.10 15.39 Cocoa Gold Crude Oil 32,403.60 €-N 407.50 415.50 Currency Futures NGUS DEC 26 2018 NGUS MAR 27 2019 NGUS SEP 18 2019 US $2,139.00 $1,230.40 $77.17 ($/N) 364.27 364.72 365.62 NEWS YOU CAN TRUST I **THURSDAY 25 OCTOBER 2018 I VOL. 15, NO 169 I N300 @ g ‘Nigeria’s private sector has no FG to spend N8.73trn in 2019, capacity to fund infrastructure’ ONYINYE NWACHUKWU, Abuja igeria’s private sector targets 3.01% economic growth has no capacity to fund Nbig ticket infrastructure TONY AILEMEN, Abuja projects in the country, Baba- Leaves exchange rate unchanged at N305/$ tunde Fashola Minister of Power, he Federal Execu- Works and Housing, said at a tive Council (FEC), session on infrastructure at the Wednesday ap- Raises crude oil price benchmark to $60/b Nigeria Economic Summit. proved a total of This is despite the belief by N8.73 trillion budget Term Expenditure Framework Correspondents after the weekly sembly for approval. experts that government needs Tfor 2019, about N400 billion (MTEF) and Fiscal Strategy Pa- Federal Executive Council (FEC) Udoma however disclosed to create mechanisms that allow lower than the N9.2 trillion ap- per (FSP). meeting presided over by Presi- that the Federal Government private investment inflows to proved for 2018. Minister of Budget and Na- dent Muhammadu Buhari, said would borrow at a reduced rate close the over N3 trillion per year This is just as FEC also ap- tional Planning, Udoma Udo the projection would soon be Continues on page 33 infrastructure gap in the country. proved the 2019 to 2021 Medium Udoma, briefing State House submitted to the National As- Fashola was speaking on ‘Ac- celerating Infrastructure Invest- ments’ during one of the break- out sessions at the 24th session of the Nigeria Economic Summit ((NES#24) held in Abuja. “There is this argument or be- lief that the kind of infrastructure we want to build will be funded by the private sector. I think what we need to do is just to put the numbers of the needed infra- structure funding side by side with what the private sector is able to put in and the terms and conditions upon which they will L-R Kingsley Ezen- do so,” the minister stated. wa, communications Continues on page 33 manager, Dana Air; Udoma Udo Udoma, minister of budget Inside and national plan- ning; Vice President Aliko Dangote Yemi Osinbajo, and Olu Tikolo, at the named 6th Dana Air stand, dur- Most Charitable ing the 24th Nigerian Economic Summit in Person in the Abuja. world P. 2 MTN, CBN near truce on $8.1bn refund ... Finance minister says regulatory action against telco was “damaging” LOLADE AKINMURELE repatriated dividends. said to have received new docu- amicably, the decision by MTN told BusinessDay. An October Sources close to both the CBN ments in relation to the case and to go to court was a ‘mistake.’ He 30 hearing date has already been TN Nigeria and and MTN have told BusinessDay is looking at resolving it with all said the issue cannot be resolved fixed for the case but sources say the Central Bank of that results of a meeting held parties amicably. unless MTN withdraws the case it will not be surprising if MTN Nigeria (CBN) are October 9 between both parties Another source close to the from the court. withdraws the case on that date, close to reaching an were positive, despite the fact CBN, however, told BusinessDay “The CBN has very wide pow- when it comes up for hearing, amicableM settlement over the re- that the outcome of the meeting that even though the apex bank ers that you must be careful to to make room for the ongoing fund of US$8.1 billion in illegally was not made public. The CBN is is looking at resolving the issue challenge legally,” the source Continues on page 33 2 BUSINESS DAY C002D5556 Thursday 25 October 2018 NEWS Ex-Afren executives found guilty in $300m oil business deal DIPO OLADEHINDE to justice.” Afren, once a publicly traded London jury at Southwark company with a market cap of $2.6 Crown Court on Wednes- billion, collapsed in 2015 claiming day found two former ex- lower crude oil prices, cooperate ecutives of collapsed oil governance abuses and huge debts. Aand gas firm, Afren plc, guilty of The company appointed adminis- fraud and money laundering, after trators after failing to restructure an a three-year investigation by the outstanding $863 million of bonds. United Kingdom Serious Fraud The criminal investigation into Office. the former CEO and COO of the Ex-Chief Executive Officer, -Os collapsed oil and gas exploration man Shahenshah and former head company began in June 2015 fol- of operations, Shahid Ullah, were lowing a self-report by the company, found guilty of fraud and money with the defendants charged with laundering offences from which four offences in September last year. they personally received more The case centers around $300 than $17million and laundered million, which was transferred from $45million by deceiving the Afren Afren Energy to Oriental Energy Board into agreeing a $300million Resources. Oriental and Afren were Godwin Obaseki, Edo State governor (m); his chief of staff, Taiwo Akerele (2nd r); commissioner for environment and jointly developing the Ebok oilfield business deal. sustainability, Omoua Alonge Oni-Okpaku (r); President of Association Bernadette Strebel World Peace (ABSWP) The prosecuting team led by off the coast of Nigeria and the Nigerian partner wanted to receive in Switzerland, Bermadette Strebel (2nd l), and project manager for the Association, Festus Onogholo, during a John McGuinness of the UK’s Seri- courtesy visit at the Government House in Benin City, yesterday. ous Fraud Office (SFO) alleged that some of the profit share in advance between 2012 and 2014, the two of cost recovery. ex-Afren Energy’s managers abused According to this agreement, their positions to secretly divert once Afren had recovered its invest- some of the millions of dollars the ment, the partners would split the company paid to two Nigerian part- profits 50-50. However, the owner of Aliko Dangote named 6th Most ners for their personal gain, which oriental wanted some of Oriental’s led to the collapse of Afren Energy. profit share before cost recovery was Prosecutors said following a complete and in 2011 struck a deal shareholder revolt, which objected to be paid $100m in advance. Charitable Person in the world to their £6.6million and £3.8million Although there was nothing ille- salary packages, the two men en- gal about this deal, the prosecution he philanthropist attitude later, the Foundation has become million as assistance to victims of the tered a pair of side deals with Afren said, it was just “the first instalment of Aliko Dangote, Presi- the largest private Foundation in sub fire outbreak that occurred recently partners, pocketing more than $17 of what was to be a much larger dent of Dangote group Saharan Africa, with the largest en- in five major markets in Kano. million after the transaction was sum”. A second advance payment was recognized and high- dowment by a single African donor. The Foundation has also been completed. of $300m followed in 2012, paid by lighted by Richtopia, a The primary focus of Aliko Dangote at the forefront of alleviating the The two former bosses of Afren Afren to Oriental in two tranches. Tdigital periodical that covers busi- Foundation is health and nutrition, conditions of people in IDPs. The recommended a transaction to the The prosecution said Sha- ness, economics, and financial news, supported by wrap-around interven- Foundation in 2011, gave the sum Afren Board, who then approved henshah and Ullah did not tell based in the United Kingdom, on tions in education, empowerment, of N364 million to IDPs across Ka- payments of hundreds of millions the board members he was also Wednesday as the richest man in and humanitarian relief. duna, Bauchi and Gombe states after of dollars without knowing that to pay additional 15 per cent of Africa was named as the sixth most Among many others, it would the post-election violence which Shahenshah and Ullah stood to its net cash flow annually to an charitable man in the World. Dan- be recalled that the foundation gave rendered many homeless while the personally benefit, as the transac- offshore vehicle called Ntiti for gote recently endowed his founda- out a whopping N2.5 billion, the sums of N100 million and N60 mil- tion was claimed to be necessary to non-existent consultancy services tion to the tune of $1.25 billion same amount the Federal Govern- lion were respectively donated to maintain the business partnership, which was 49 per cent owned by Warren Buffett, Bill Gates and J.K ment also donated for the purpose victims of flood disaster in Lagos and but the fact that Shahenshah and Ullah and 51 per cent owned by Rowlings occupied the first three of ameliorating the sufferings of Oyo States the same year.