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Lagos spending
scandal comes
amid investment
Hoarding, gouging worsen
push
By Frank Eleanya
drug prices after GSK’s exit
By Temitayo Ayetoto-Oladehinde (GSK) from Nigeria. talised on the scarcity of GSK drugs such as Seretide, which
THE Lagos State government While the country’s devalued products, driving up prices and jumped from N7,000 in the first
is contending with a spending A COMBINATION of hoarding currency and high tariffs on raking in bumper profits. quarter of 2023 to as much as
scandal at a time it is pushing and price gouging has sent drug pharmaceutical imports have BusinessDay’s findings show N70,000 in November.
ahead with efforts to lure in prices to record highs following already worsened drug pricing that some middlemen make
more investments. the exit of GlaxoSmithKline woes, middlemen have capi- more than 100 percent profits on Continues on page 30
Perfumes, rechargeable fans
and light, monthly empower-

Continues on page 30

Jollof cost more

than triples in
seven years
>> Turn to page 2

Okomu Oil,
Presco see profit
surge despite
rising costs
>> Turn to page 2

Peter Bamkole
unveils new book
on unlocking
SMEs’ potential L-R: Obi Alfred Nnaemeka Achebe, Obi of Onitsha; Betty Emeka-Obasi, executive secretary of Public Policy Research and Analysis Centre and Zik prize awards; Godwin
>> Turn to page 31 Obaseki, governor, Edo State, his wife, Betsy, during the 2021/2022 Zik Leadership Award ceremony, in Lagos, where Obaseki was honoured with the Prize for Good Governance.

CBN delays MPC meeting again, leaves investors guessing

By Hope Moses-Ashike & Eniola Olatunji in September, leaving investors over 75 percent to 80 percent rate, by 25 basis points to 18.75 coordinating minister of the
guessing as there was no official of outstanding matured FX percent. It was expected to hold economy, had said the govern-
THE Central Bank of Nigeria communication. forwards contracts with banks. its last meeting for the year this ment was expecting $10 billion
(CBN) has postponed a meeting The delay comes as the for- The MPC, which usually week (Monday and Tuesday). to ease dollar liquidity in the
of its Monetary Policy Com- eign exchange backlog worth meets bimonthly, has not met On September 26, Cardoso FX market.
mittee (MPC) for a second time several billions of dollars has since July, when it raised the announced plans to clear about “I presume the CBN has post-
since Governor Olayemi Car- not been fully cleared. The CBN monetary policy rate (MPR), $7 billion in FX backlog. Wale
doso was nominated to the post had early this month cleared also known as the main interest Edun, minister of finance and Continues on page 30
2 www.businessday.ng TUESDAY 21 NOVEMBER 2023

NEWS

L-R: Oge Kasie-Nwachukwu, unit head, strategic communications, events and sponsorships, Access Bank plc; Barbara Ezeife, head, marketing and communications, African Subsidiaries; Tokini Peterside-Schwebig, founder, ART X
Collective; Jumoke Sanwo, curator, 2023 Access ART X Prize; and Toyin Henry-Ajayi, head, group marketing and retail analytics, Access Bank, at the press conference to announce the Access ART X prize winners in Lagos, recently.

Okomu Oil, Presco see profit Jollof cost more than

triples in seven years
surge despite rising costs from N5.28 billion in the some others, continue to listed CPO manufacturers
By Bunmi Bailey
THE average cost of prepar-
onions. While the index has
treaded close to food infla-
tion since collection began in
By Damilola Odifa ing a pot of jollof rice for a 2016, it has provided a simple
same period of 2018. rake in so much money reporting strong volume Nigerian family of five has way of communicating the
OKOMU Oil Palm Compa- Nigeria’s manufac- is because of the grow- growths in Q1 ‘23 despite more than tripled within a realities of inflation to the
ny Plc and Presco Plc, the turing sector has been ing demand for palm oil macro headwinds such as period of seven years, ac- Nigerian public.
biggest palm oil produc- plagued by rising operat- (crude, special, technical, the cash crunch, which cording to a new Jollof Index “The prices of turkey,
ers in Nigeria, have seen ing costs on the back of and their derivatives). tanked output for FMCG report. chicken, tin tomatoes and
their combined profits foreign exchange illiquid- There are so many uses and industrial goods com- The report, titled ‘Moun- various seasonings have
surge by 254.6 percent in ity, high-interest rates, for palm oil that have panies. tain Climbing’, by SBM Intel- also increased, reflecting a
the first nine months of and weak infrastructural been discovered over the “Between 2017 and ligence, an Africa-focused broader inflationary trend.
2023 to N44.39 billion from amenities. years,” he said. 2022, total consumption geopolitical research and This upward trend extends
N12.52 billion recorded With manufacturers He added that the na- grew by a compound an- strategic communications to other staple foods across
in 2018. battling increased costs tional and subnational nual growth rate of 6 per- consulting firm, shows that the country,” authors of the
A BusinessDay analy- of doing business and governments are not do- cent, and we expect this the cost of preparing a pot of report said.
sis of the companies’ nine- declining profitability, ing anything about invest- traction to extend into the popular Nigerian deli- They added that the aver-
month profits over the last Okomu and Presco’s pros- ing in the development 2023.” cacy rose by 220.7 percent to age cost of a bag of rice esca-
six years show that the perity has been described of new palm estates or According to the Unit- N13,106 in September 2023 lated from N50,000 in June
companies recorded their as impressive, causing supporting smallholders ed States Department of from N4,087 in July 2016. to N56,000 in September,
highest profits in 2023 them to maintain their to produce more so that Agriculture, the main This means that a fam- and that price increases are
amid rising production positions as stalwarts in the millers can aggregate drivers of Nigeria’s per- ily of five that earns the primarily attributed to the
costs. Their combined the palm oil production and mill them, whereas sistently strong CPO de- monthly minimum wage of rising fuel costs, which are
earnings grew 30.8 per- value chain. palm oil sells the highest mand are the high ur- N30,000 would have to spend essential for food preserva-
cent to N44.39 billion in Experts say several in Nigeria. banisation rate and the 43.7 percent of the pay to tion and transportation, and
the first nine months of factors are propelling this Analysts at Cardinal- increasing demand for cook a pot of jollof. the currency devaluation,
2023 from N33.93 billion growth for palm oil mak- Stone Securities, in their packaged foods with high A further analysis shows which affects imports.
in the same period of 2022. ers. July 2023 report, said that palm oil content. that the cost increased by “Beyond the Jollof Index,
Okomu posted a profit “We live in a time when although China and India CardinalStone ana- 20.4 percent within a period we surveyed the prices of
of N20.92 billion in the demand for palm oil is are the largest importers lysts said the major CPO of seven months (March- other staples such as bread,
first nine months of 2023, rising astronomically,” of crude palm oil (CPO) manufacturers like Oko- September). beans, tea, beverages and
an increase of 189 percent Alphonsus Inyang, presi- globally, Nigeria’s de- mu and Presco have con- “This spike has strained tubers. These all reflected a
compared to N7.24 billion dent of the National Palm mand for palm oil has also tinued to report surges in Nigerian households, par- widespread price increase,
in the corresponding pe- Produce Association of remained strong. supply volumes due to im- ticularly those earning mini- making it harder for con-
riod of 2018, while Presco Nigeria (NPPAN), said. They said: “Nigeria’s proved milling capacity. mum wage,” the report said. sumers to afford essential
recorded a 345 percent “The reason these two demand for palm oil has It said the transition to a food items.”
increase to N23.47 billion companies, and maybe remained strong, with Continues on page 30 new administration was an- The SBM report high-
ticipated to impact food pric- lighted that across the 13
es positively. “However, two markets, Wuse II in Abu-

What to know about West

the way in eco-friendly maritime immediate policies enacted ja is the most expensive
transport. Its advanced design by the current government
and technology significantly place to make jollof rice at
reduce environmental impact, — the naira devaluation N15,900, while it is the cheap-

Africa’s largest ship

aligning with global efforts to and the removal of petrol est in Onitsha, Anambra at
combat climate change and pro- subsidies — have worsened N10,280.
tect marine ecosystems.” food affordability and acces- A middle-aged woman
He said to receive the sibility.” in the North-West region
transport 4.7 kilometres of roll- a landmark event for Nigeria’s GREAT LAGOS, PTML has in- Using the Jollof Index,
By Amaka Anagor-Ewuzie vested over $20 million to extend surveyed by the SBM said
ing freight, 2,500 car equivalent maritime sector and for PTML, SBM illustrates how food
THE Port Terminal Multipur- units, and 2,000 twenty-foot saying it would showcase the its Berth 11, equipping it with most families cannot afford
pose Limited (PTML), Nigeria’s equivalent units. terminal’s advanced capa- deeper berths, expanded storage prices have changed over eggs, let alone fish or meat.
largest multipurpose roll-on- MV GREAT LAGOS is bilities and its role as a leading areas, and acquired state-of-the- time. The data gathered “They use gbeske (soy-
roll-off (RORO) terminal, said the second of the G5-class of multipurpose logistics hub in art cargo handling equipment. monthly from 13 markets bean cheese) as a substitute
it is perfecting plans to receive ships recently launched by the the region. Russo added: “This trans- spread across the country’s
formation positions PTML in their stew, while others
the largest Container-RORO Grimaldi Group and named He said: “The arrival of six geopolitical zones is
as one of the most advanced simply use cabbage. Nobody
ship ever to visit the sub-region after Nigeria’s commercial ‘GREAT LAGOS’ at PTML is computed using the costs of
next week (Nov. 30). capital, which it has served for not just a routine port call; it is logistics terminals in West does an egg per day for their
The mega ship, named MV many decades. a testament to the terminal’s Africa, capable of handling a the ingredients. It does not children right now; it is as
GREAT LAGOS, owned by the “The vessel sets a new cutting-edge facilities and its diverse range of cargo types include December because available, and even when
Grimaldi Group and launched benchmark in the shipping in- readiness to handle the new including bulk, break-bulk, of seasonal variations that available, it is cut into bits
in April this year, is a marvel dustry,” Ascanio Russo, man- generation of mega-vessels. It’s containerised, and Roll-on/ cause price hikes.
Roll-off cargoes. and pieces,” the report said.
of modern engineering and aging director of PTML, said. also a testament to the port’s The ingredients that
environmental consciousness, He commended the Nige- capability to handle vessels of “PTML’s strategic location at Another trader in the
stretching 250 metres in length the Tin-Can Island Port Complex, make up the index are rice, South-West region noted
rian Ports Authority for the such magnitude, further posi-
with a beam of 38 metres and support it gave towards receiv- tioning Nigeria as a key player Lagos, coupled with its advanced groundnut oil, chicken or that many shop owners are
deadweight of over 45,000 tonnes. ing the vessel. in the global shipping industry. technology and infrastructure, turkey, beef, seasoning, closing down their shops as
The ship has the capacity to Russo described the visit as “The ‘GREAT LAGOS’ leads makes it a pivotal gateway for pepper, tomatoes, salt and
trade in West Africa.” Continues on page 31
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 3
4 www.businessday.ng TUESDAY 21 NOVEMBER 2023
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 5
6 www.businessday.ng TUESDAY 21 NOVEMBER 2023

NEWS
POWER

Edo, Ondo, Delta, Ekiti to buy

back shares, reorganise BEDC
By Joshua Bassey the technicality of electric- ness; any politics that
ity. People think of seeing keeps us in darkness is
GOVERNOR Godwin light, forgetting about the bad politics as everybody
Obaseki has disclosed plans technicality involved and wants light no matter the
by Edo, Delta, Ekiti, and the last man on that chan- political divide. No political
Ondo states to buy back nel that distributes the party wants to stay in dark-
their shares from the Benin light is the distribution ness, as the conversation
Electricity Distribution company. started many months ago
Company (BEDC) and re- “I, Delta, Ekiti and Ondo on purchasing the shares
organise the distribution governors, we have to ap- of BEDC, we can rapidly
company to provide a last- proach Fidelity Bank and progress.
ing solution to the electric- buy back the shares in “The original buyers of
ity crisis in the affected BEDC. We would make an the shares of BEDC know
states. offer to buy that back to what they did. They went
Obaseki said electricity reorganise this company bankrupt as the bank took
was key in driving devel- to enable us to have an Edo, those shares and tried to
opment in any society, not- Delta, Ekiti and Ondo Dis- sell to others but we have
ing that his government tribution Company.” signified our interest to buy
has over the past seven “Without electricity, we to ensure the bank doesn’t
years taken deliberate can’t go anywhere. We have sell to the wrong people that
steps to encourage invest- our own local grid which we will keep us in darkness
ments in the electricity can distribute to various again.”
sector to grow the state’s communities as without He said the affected
economy. electricity we are not go- states were interested in
Obaseki, in a statement ing anywhere. Electric- buying back the shares
made available to Business- ity is needed for economic not because they wanted to
Day on Monday by Crusoe growth and development. run an electricity business
Osagie, his media aide, Those who have cheaper or company, but because
said he was in talks with gas will have cheaper elec- they wanted to be part of
his colleague governors to tricity and it will lead to decision-making and super-
buy back their shares in cheaper cost of manufactur- vise the expert that would
BEDC, to ensure that Edo, ing and production.” run the power distribution
Delta, Ekiti and Ondo are He added: “We don’t company better.
able to distribute their own need to wait for Abuja for Maybe it’s time to take
electricity. money but rather have a charge of our own territory.
“I am discussing with mind shift to activate and Benin electricity should
my brother, the governor of galvanise what we have give Benin light while that
Delta State, Rt. Hon. Sheriff to create the money our of Delta produces that of
Oborevwori, and one of the people need. Delta State, it’s possible,”
things we talked about is “Now we are all in dark- Obaseki said.

HUMAN DEVELOPMENT
Dangote, Elumelu, others named members
of FG’s human capital development c’ttee
By Tony Ailemen, Abuja in addressing the objectives falls depending on the qual-
of the HCD programme. ity of its leadership.
VICE President Kashim At the meeting, Shettima Earlier, Pate under-
Shettima on Monday ap- stressed the need for govern- scored the importance of in-
proved the constitution of ment and partners to invest vesting in human resourc-
a multi-sectoral committee in human capital develop- es. He noted that going
to drive the goals of the Hu- ment to create a workforce forward, stakeholders in-
man Capital Development that is not just globally com- volved in the human capital
(HCD) programme of the petitive but also adaptable development programme of
Federal Government, with to the modern demands of the Tinubu administration
Aliko Dangote and Tony the 21st century. would reinforce and har-
Elumelu among others, He said, “This gathering ness existing data to ensure
named as members. marks our collective recom- accountability and accu-
This was the outcome mitment to redirecting the racy in the implementation
of a meeting with Shub- promise and potential of of programmes and projects
ham Chaudhuri, World our human capital towards under the initiative.
Bank country director for safeguarding the economy. The minister expressed
Nigeria, Aliko Dangote, It’s an honour to host you optimism that the renewed
chairman of the Dangote and I eagerly anticipate efforts at fast-tracking hu-
Foundation, Tony Elumelu, celebrating the success of man capital development
founder of the Tony Elu- the initiatives uniting us. across different levels and
melu Foundation, as well as “Our presence today tiers of government would
Ali Pate, the coordinating signifies a tacit under- attract interest from all
minister of health and so- standing that our future stakeholders, including
cial welfare, among others is intricately linked to the international partners and
at the Presidential Villa, development of our human donor organisations.
Abuja. capital. We have witnessed Dangote, on his part,
The multi-sectoral team the growing shift towards commended the foresight of
is made up of federal and knowledge and service- Shettima in convening the
state governments as well based economies and the meeting, saying it under-
as donors and partners, advantages they offer, par- pinned the commitment of
according to Stanley Nk- ticularly to our youths,” the Tinubu administration
wocha, the senior special said Shettima. to addressing challenges
assistant to the president Acknowledging the sig- around human capital de-
on media and communi- nificant impact the two velopment.
cations, office of the vice Nigerian wealthy business- Also speaking, Elumelu
president. men, Dangote and Elumelu, pledged his support for the
The team is expected to have had on the population, Federal Government’s ini-
convene every two weeks to the vice president noted tiatives towards Nigeria’s
review the progress of work that every society rises and human capital development.
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 7
8 www.businessday.ng TUESDAY 21 NOVEMBER 2023

NEWS
OIL FOREX

Crude oil prices surge as OPEC+ Naira falls to N1,140/$

as FX pressure mounts
mulls deeper production cuts By Hope Moses-Ashike October 24, 2023, before
strengthening to N1.020/$1
By Abubakar Ibrahim icy, with Reuters report- tight oil balance for the rest “However, the extent to THE pressure on the for- on November 3, 2023, ac-
ing from three unnamed of the year have loosened which the broader OPEC+ eign exchange (FX) market cording to data compiled by
CRUDE oil prices soared sources within the cartel ING analysts Warren Pat- group will make further continued on Monday as BusinessDay.
this week on mounting that OPEC+ will explore terson and Ewa Manthey cuts remains uncertain,” the naira fell to N1,140 to At the Autonomous For-
expectations that the Or- further production cuts. observed on Friday. An Patterson added. a dollar on the parallel eign Exchange Market
ganisation of Petroleum Ex- This discussion comes after unexpected surge in supply If other OPEC+ mem- market, popularly called (NAFEM), naira appreci-
porting Countries (OPEC) a four-week skid for oil as has eroded a significant bers join the production ‘black market’, following ated by 5.87 percent as
and its allies will deepen the war premium from the portion of the anticipated cuts, the projected sur- increased demand for the the dollar was quoted at
voluntary production cuts. conflict between Israel and deficit for the fourth quar- plus for the first quarter greenback by the end users. N791.75 on Friday com-
Both Brent crude and Hamas waned. ter of 2023. As a result, the of next year could evapo- This represents 0.44 per- pared to N841.14 quoted on
West Texas Intermediate Goldman Sachs analysts market is still expected to rate, the ING researchers cent weaker than N1,135 per Thursday, data from the
shot up in mid-morning told Reuters “Our statisti- swing into a surplus in the noted. While the likelihood dollar exchanged on Friday FMDQ indicated.
trade in Asia on Monday, cal model of OPEC deci- first quarter of 2024. of broader cuts by other on the same market. Some The market recorded the
with Brent crude spiking sions suggests that deeper However, amid this OPEC+ members remains traders at CMS sold dol- highest spot rate of N1,120
above $81 per barrel, where cuts should not be ruled out shifting landscape, Bloom- unclear for now, the pos- lars at N1,100 during the per dollar and lower rate
it climbed on Friday, and given the fall in speculative berg quoted Patterson as sibility is certainly on the morning trading session. of N701 on Friday at the
WTI breaching the $76 mark. positioning and in time saying in a recent note table, especially given the At Ibadan, one dollar was official market. The daily
OPEC+ members are spreads, and higher-than- that ING anticipates Saudi recent 20 percent slump sold for N1,150 and at the FX market turnover rose
convening next Sunday to expected inventories.” Arabia and Russia to deep- in oil prices since late Sep- Lagos Airport it went for by 23.60 percent to $157.78
hash out production pol- Initial projections of a en their production cuts. tember. N1,145/$1. million on Friday from
Naira free falls peaked $127.65 million recorded on
at N1,310 per dollar on Thursday.

ECONOMY
Transport project to add
11,000 jobs, N47bn to Enugu
economy – Govt
By Damilola Odifa state for maximum economic
impact.
THE Enugu State Govern- The commissioner said
ment has unveiled the first the modern transport inter-
phase of the Transport In- changes and bus terminals
frastructure Project (TIP), would include the Enugu
which includes several bus Central Station (Holy Ghost),
terminals, transport inter- Garki Central Station,
changes, logistics hubs, city Abakpa Central Station,
gates and rail stations across and Nsukka Central Station,
the state. adding that the logistic hubs
The government said would be sited at Obollo Afor,
on Sunday that the infra- 9th Mile Corner and Emene
L-R: Raymond Ihenacho, national treasurer, Nigerian Institute of Management (NIM) (Chartered); Ganiyat Olusesi, registrar/chief executive, to address the shortages in
structures would provide
NIM; Ituah Ighodalo, deputy chairman, SIAO Partners/guest speaker; Christiana Atako, president and chairman of council, NIM; and existing infrastructure.
over 11,000 skilled and semi-
Abimbola Atuba, deputy president, at the 2023 World Management Day lecture of the institute in Lagos, yesterday. According to the state-
skilled jobs for the youths
and also attract at least N47.5 ment, two iconic ‘City Gates’
billion in investment to the would be located at the Naira
HEALTH economy. Triangle, Enugu, and 9th

80% of diabetes cases in Nigeria A statement signed by Mile, Udi, to enhance the
Obi Ozor, commissioner of aesthetic appeal and foster
transport, said the state had a sense of identity and pride

undetected until complications arise taken a series of ambitious

steps in line with Gover-
nor Peter Mbah’s vision to
among residents, while road
markings, junction improve-
ments and bus stop upgrades
By Temitayo Ayetoto-Oladehinde people living with diabe- tion and management of accounts for over 90 percent reposition and remodel the would streamline traffic
tes as more than half (55 complications. of all diabetes, often devel- transport sector and make management and enhance
ABOUT 80 percent of people percent) of respondents in “We know that, with the ops silently, with symptoms it one of the leading modern pedestrian safety.
living with diabetes in Ni- Nigeria say they worry most right information and care, that go unnoticed. transportation systems in It said: “Enugu Central
geria are only diagnosed days about developing dia- people living with diabetes As a result, many people Africa. Station will commence short-
after they develop serious betes-related complications. can greatly reduce their with the condition, more It said: “This ambitious ly opposite the Holy Ghost
complications such as vi- The risk of complica- risk of complications. Also, than 50 percent in some undertaking aligns seam- Cathedral. It promises to
sion loss, nerve damage, tions can be significantly there are steps that people countries, are not diag- lessly with the state’s infra- bring peace, decency, and
or heart disease, accord- reduced through early de- at risk of type 2 diabetes nosed and, as the research structure enhancement plan order to an area that has
ing to new research from tection, timely treatment, can take to delay or prevent suggests, complications are and reflects the Governor’s challenged previous admin-
the International Diabetes and informed self-care, the the onset of the condition already present. vision of leveraging trans- istrations’ attempts at trans-
Federation. researchers stated. altogether. It is key to know The most common com- port and logistics to spur formation.
Almost all, 94 percent, of When asked about pre- your level of risk, know plications experienced economic transportation, “Featuring two terminals
those surveyed in the coun- venting complications, four what you should be look- among survey respondents drawing inspiration from dedicated to interstate and
try, had experienced one out of five respondents (82 ing for, and know how to in Nigeria were depression successful models in Dubai intra-city transport for ease
or more diabetes complica- percent) in Nigeria believe respond,” she said. (55 percent), along with and Singapore. of movement of people to the
tions during the course of they could have done more Several risk factors in- eye (40 percent), foot (40 “This first phase of the most prominent economic
their life with the disease. while more than half (57 crease the chance of de- percent), and oral health (40 project is aimed at optimis- hub in Enugu State, an ul-
The survey was con- percent) think their health- veloping type 2 diabetes. percent) problems. ing transport efficiency, tra-modern train station,
ducted among people with care provider could have These include family his- “For those without ac- preserving road assets, and and a myriad of amenities
diabetes across Africa, Asia, done more. tory, weight, age, ethnicity, cess to the right support, fostering a conducive envi- such as over 1,000 parking
Europe, and South America Osarenkhoe Chima- inactivity, and diabetes diabetes and its complica- ronment for the growth of spaces, hundreds of lettable
to understand the level of Nwogwugwu, who lives during pregnancy, some tions can seriously impact transport-related businesses spaces for businesses, tick-
awareness and impact of di- with Type 2 Diabetes, re- of which can be reduced day-to-day life and even and sustainable logistics eting halls, external bus
abetes-related complications. acting to the findings said through healthy eating hab- become life-threatening,” to alleviate congestion and shelters, CNG/LNG daugh-
Diabetes-related com- it is shocking that many its and physical activity. Chima-Nwogwugwu added. enhance connectivity within ter stations, filling stations,
plications can be serious people in Nigeria only find Improving understand- Sh e al so n o t e d t h at the state in order to meet lounges, electric vehicle
and, in some cases, life- out about their condition ing and awareness of the healthcare professionals the rapidly urbanising and and a solar farm roof, this
threatening. They include after experiencing a com- risk factors is therefore must be equipped with the growing population of the comprehensive approach
damage to the heart, eyes, plication. important to support pre- knowledge and resources state.” ensures convenience, sus-
kidneys, and feet. She called for increased vention, early diagnosis, to diagnose diabetes early He said the project would tainability, and economic
The risk of complications awareness and education and timely treatment. and provide appropriate be strategically distributed opportunities for users and
places significant stress on to support the early detec- Type 2 diabetes, which support. across major hubs in the businesses alike.”
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 9

OPINION
George Weah’s ways
a date with Destiny. He trans- a candidate to score 50 percent ers in the 2023 elections. All eyes ponent’s victory as a victory the narrative to challenge the
posed his success in the football plus one vote before you can be were on President George Weah for Liberia and Liberians. In dominant belief in the dearth
field to the political field when declared a winner. That consti- and ex-VP Joseph Boakai, easily doing this, he has followed in of democracy in Africa. This is
he was elected in 2017 the presi- tutional requirement compelled a rematch of the 2017 elections. the footsteps of great African even more significant for West
dent of Liberia, defeating the candidates to build broad-based Just as in 2017, the election went leaders who accepted defeat Africa, where coups disrupted
then-incumbent Vice President national alliances and secure into a runoff. By the time the and allowed democracy to democracy. Unelected leaders
Joseph Boakai and succeeding deepen - President Goodluck have recently toppled democrat-
Mama Ellen Johnson Sirleaf. Jonathan of Nigeria (2015), ically elected leaders. Political
By Kari Tukur
By Dakuku Peterside
Thus, he became the first Afri- Weah’s humility and patriotism pushed him President John Mahama of leaders clinging on to power. To
can footballer to transition to have a rancour-free democratic
an elected president success- to accept defeat, and he made a national Ghana (2016), President Aden
Abdullah Daar in Somalia transition is a credit.
fully. Weah’s journey to the
Liberian state house was no
broadcast where he described his opponent’s (1967), Kenneth Kaunda of Zam-
bia (1991), Mathieu Kerekou in
Weah’s example of conceding
defeat in many ways promotes
IN his famous drama, Twelfth walk in the park. victory as a victory for Liberia and Liberians Benin Republic (1991), Denis peace, unification, and reconcili-
Night, William Shakespeare Between 2005 and 2017, Sassou-Nguesso of Republic of ation after divisive politics. It is
penned one of the most recognis- George Weah contested for presi- Congo (1992), Kamuzu Banda a worthy example of submission
able descriptions of greatness: dent, vice president, senator, and the support of most of the voting result was announced following of Malawi (1994), Abdou Diouf to constitutional sovereignty and
“Be not afraid of greatness. Some president, again demonstrat- population. the runoff, the opposition candi- of Senegal (2000), Abdoulaye placement of national interest
are born great, some achieve ing a passion for service and Two institutions deserve date, with 50.89 percent of votes Wade of Senegal (2011), Presi- above self and party interest.
greatness, and others have great- resilience. What is even more special mention: the Liberian cast, emerged the winner ahead dent Joyce Banda of Malawi For Liberia, the Weah example
ness thrust upon them.” George intriguing is the background of Judiciary and the National Elec- of Weah with 49.11 percent. (2014) amongst others. is vital in a country that has
Oppong Weah of Liberia is one Weah’s rise to power. He won toral Commission. The Liberian This is the sharp edge where ‘A great man knows when been traumatised by a history
who has achieved greatness in the presidency in 2017 at a time judiciary has been described African democracy has often to set aside the important things of violence and lawlessness. We
all ramifications. His greatness when most Liberians were still as weak in handling criminal fallen – the incumbent accept- to accomplish the vital ones.’ hope other African leaders are
is epitomised in how he handled recovering from a fratricidal matters but has shown unusual ing defeat and handing over George Weah’s statesmanly con- learning from him and will be
his exit from sporting fame and civil war, facing economic hard- firmness, fairness, and sensitiv- power without rancour. What duct leaves us with great takea- willing to emulate him when the
power rather than by his many ship, poverty, and a high rate of ity in political issues. The aver- will President Weah do? He ways that we must all reflect on time comes. On a personal level,
laudable achievements before unemployment under Johnson- age Liberian politician respects seems to understand the great All is not bleak in African Weah has just added political
and during his era of greatness. Sirleaf, who was the first elected and accepts court verdicts on words of Ralph Waldo Emerson: democracy. There is still some statesmanship to his celebrated
This is the excellent story of a president after the Liberian civil electoral matters. Confidence in “A great man is always willing fundamental and essential status as a world-class footballer.
son of Africa that merits our war. Twelve years of Mama El- the judiciary has strengthened to be little.” And he knows that sportsmanship left in African Weah’s graciousness in defeat
consideration, and I have set out len Johnson Sirleaf did not wit- the resolution of many conten- a historic moment has arisen politics. This contrasts with confirms that, in many ways, he
to tell this story and highlight ness infrastructure revolution tious political issues. On the where he must make a decision the singularity of doom and is a man of destiny, and history
some takeaways from Presi- and economic revival at a pace other hand, the electoral body that will shape his life and that despondency in African de- would be kind to him.
dent George Weah’s exemplary Liberians expected and they in the past 20 years enjoyed a of his people. He stood at that mocracy, as seen in many local However, just as the award-
conduct. believed a younger George Weah reasonable degree of public trust crossroad where some African and international media. In her winning George Weah is known
George Weah made history would do a better job. and independence. leaders have taken the almost famous speech on the danger for his mercurial football drib-
in 1995 when he was named Four things worked in favour As the constitution demands, familiar route of unpatriotic of a single story, Chimamanda bling skills, dexterity in scor-
African, European, and FIFA of George Weah in 2017. The first at the end of that democratic stance and despair. But his Adichie posits that if you show ing goals, and sublime football
World Player of the Year, thus is a reasonable level of electoral tenor, a general election for action echoes the sentiments “a people as one thing, only artistry, history will remember
becoming the first and only transparency and public trust the president’s office must be shared by President Goodluck one thing, over and over again, him for scoring this most ‘his-
African footballer to win the in the electoral process. Second, conducted to elect a new presi- Ebele Jonathan, who posits, and that is what they become.” toric goal’ in Liberia of conceding
prestigious FIFA Player of the is Mama Johnson Sirleaf’s per- dent. President Weah was the “No matter your political in- People like Weah have given us defeat in the presidential election
Year award. Before that time, ceived failure to rebuild the coun- incumbent and enjoyed all the terest, you must place your and congratulating the winner.
precisely in 1989, he was named try and deliver on her promises. advantages that gives. Five key country first. You must show Weah’s ability to transcend medi-
African Footballer of the Year. The third is a political class ready issues - handling of post-war rec- some kind of patriotism.” ocrity to greatness in his football
In 1996, he was named African to obey the rules and not jettison onciliation, widespread corrup- Undoubtedly, Weah’s hu- career and politics and quitting
the regulations, with a high cul- tion, high inflation rate, cost of mility and patriotism pushed Peterside is a management at the loudest ovation is remark-
Footballer of the Century in
what seems like crowning ture of patriotism and tolerance. living crisis, increased incidence him to accept defeat, and he turnaround professional, lead- able. So much power lies in doing
glory. But George Weah had The fourth is the constitutional of narcotics abuse and a weak made a national broadcast ership coach and public affairs the simple and right things – this
requirement, which requires economy - were the front burn- where he described his op- analyst is where greatness is born.

The demonisation of Dapo Abiodun and the herd-mentality amongst us

spots like the MKO Stadium Rounder-Ayetoro road, Adatan father’s house is located. Furthermore, the respon- participating in community
By Folorunso Fatai Adisa
and various roads, all of which Gbonagun road, Arepo road At the core of societal pro- sibility of citizens extends be- initiatives, and fostering a
turned out beautifully. Upon (a long-awaited demand by gress lies the fundamental un- yond financial contributions. sense of collective ownership
sharing his work on social me- the press), Somorin Kemta- derstanding that governance It involves active engagement in the developmental journey.
dia, a barrage of condemnation Idi Aba road, Osoba-Toyin and development constitute an in practices that foster envi- Moreover, the narrative
targeted the current Governor Agbado road, Itori junction ongoing, intricate project—one ronmental sustainability and surrounding governance and de-
THE age-old aphorism, “un- of the State. Many individuals road, Olomore Sani road, and that unfolds gradually rather community welfare. Proper velopment should be one of part-
easy lies the head that wears on the thread arrogantly assert- the Akute-Ishasi road, among than instantaneously. It is a waste disposal is a prime ex- nership and collaboration. Gov-
the crown,” aptly encapsulates ed that all the roads, particu- others. A factual examination meticulous process requir- ample. Disposing of waste ernments play a crucial role as
the position of Prince Dapo larly those around the stadium, underscores the Governor’s ing both time and methodical responsibly is not merely an facilitators and implementers of
Abiodun, MFR, the Governor were constructed by the former significant contributions to the execution. It is essential to environmental concern; it is policies, but the success of these
of Ogun State. For him, this governor. Some even took the state’s development in terms of recognize that the absence of a civic duty that directly im- endeavours hinges on a syn-
saying resonates profoundly, extreme step of reporting the infrastructure, surpassing the fully completed projects in a pacts the overall cleanliness ergy between the government,
as he finds himself akin to a innocent photographer’s page, often-referenced achievements specific locality does not equate and health of a community. stakeholders, and the citizenry.
fruitful tree attracting both ad- despite his apolitical stance. of past administrations. to governmental inaction. Gov- By adhering to proper waste Meaningful development neces-
miration and criticism. Recent This incident exemplifies the Frequently, people express ernments, even with their disposal practices, citizens sitates an environment where
times have seen him facing pettiness and negativity that comments and condemnation vast responsibilities, operate play a pivotal role in creating ideas are exchanged, concerns
challenges, with stones and certain individuals can exhibit. driven by their selfish inter- under constrained resources. a conducive environment for are addressed, and feedback is
sticks metaphorically hurled When I confronted one of ests—a prevalent trait among Consequently, achieving sig- development initiatives. This considered constructively. A
by politically motivated de- the most vocal critics on the social media commentators. A nificant strides demands a is a tangible expression of civic thriving partnership between
tractors and those harbouring thread, it dawned on me that, vivid memory comes to mind collaborative effort among the responsibility that goes hand in these entities is akin to a well-
personal grievances. Whether to the best of my knowledge when a senior journalist au- government, stakeholders, and hand with the expectations we orchestrated symphony, where
through cyber-attacks aimed at and as of my last check, a thored a feature article rife with citizens to propel a state to the place on our governing bodies. each instrument contributes to
distracting the Governor or by commendable 80 major roads, vitriolic words, condemning forefront of development. In the pursuit of a progres- the harmonious progression of
stirring up sentiments against including federal ones, have the administration of Prince While it is undeniably cru- sive society, fostering a culture society.
him, he stands in the crossfire been constructed since Dapo Dapo Abiodun. At that time, I cial to hold the government ac- of civic responsibility is para- Taken together, the reali-
of opposition and challenges. Abiodun assumed office in was a corps member with the countable for its promises and mount. It transcends individ- zation that governance and
“Repeat a lie often enough 2019. His administration, in the Ministry of Information. The responsibilities, it is equally ual interests and emphasizes development are continuous,
and it becomes the truth”, is a span of three and a half years, journalist was subsequently imperative for citizens to in- the interconnectedness of the methodical processes is pivotal
law of propaganda often attribut- undertook the construction, invited and taken on a tour trospect and ask themselves community. As responsible cit- for fostering a proactive and
ed to the Nazi Joseph Goebbels. reconstruction, and rehabilita- around Abeokuta and Ijebu. whether they are fulfilling izens, our commitment to the responsible citizenry. While
Among psychologists something tion of these roads, amounting As a witness, I recall his ac- their roles as responsible con- betterment of society should accountability is rightfully
like this is known as the “illu- to an impressive total of 400km. knowledgment that the gover- tributors to the societal frame- manifest not only in compli- demanded from governmental
sion of truth” effect. The notion This achievement surpasses nor had indeed accomplished work. A critical facet of this ance with legal obligations but bodies, citizens must also reflect
that all the roads and other the road infrastructure ac- significant work. He admitted responsibility is the payment of also in a proactive approach to on their roles in shaping the
developmental projects in Ogun complishments of his predeces- fault in forming a negative taxes—a civic duty that forms community well-being. This trajectory of their communities.
State were solely executed by the sors. In Ogun Central, where opinion without delving deeper, the lifeblood of public finances. includes staying informed Beyond financial contributions,
administration of Sen. Ibikunle the commenter dismissively acknowledging that his critique Timely and accurate tax pay- about local issues, actively civic responsibility encompass-
Amosun is a misconception that disapproved of him, the Abio- was spurred by issues with the ments contribute directly to es environmental stewardship,
needs to be dispelled. It is impor- dun government has left an road leading to his own house, the available resources that community engagement, and a
tant to set the record straight indelible mark. The list of oblivious to the fact that it was fuel developmental projects shared commitment to the com-
and acknowledge Prince Dapo roads completed includes the a federal road beyond the state and enhance public services. mon good. As we navigate the
Abiodun’s track record in car- Obantoko road, Ikoritameje government’s jurisdiction. Re- It becomes incumbent upon path toward progress, let us em-
rying out significant initiatives Adenrele/Olose Titun Vespa flecting on my own past, I, too, citizens to ensure that they brace the collective responsibil-
in both his first term and his Adisa, a postgraduate student
road, Idi Aba-Oke Lantoro regrettably wrote caustically are fulfilling this obligation ity of building a society where
ongoing second term. road, Abeokuta-Shagamu ex- against the governor, fueled with diligence and honesty,
of Media and Communication, collaboration, understanding,
Adewunmi Lagos, a young pressway, Channels TV road by ignorance and emotions, recognizing that it is a shared writes via folorunsofatai03@ and active participation propel
and vibrant photographer, ven- in Isheri, Panseke-Adigbe road, particularly regarding the Ag- investment in the collective gmail.com from the United us toward a future we can all
tured to Abeokuta to document flyover bridge at Kuto, Lafenwa bado–Ijoko road where my well-being. Kingdom be proud of.
10 www.businessday.ng TUESDAY 21 NOVEMBER 2023

OPINION
STRATEGY & POLICY

‘Trust but verify’ shifting global maritime security order

Korea’s romance with nukes, China, with a population of Taiwan Strait underscores all sub-Saharan Africa sea- military and commercial
human rights abuses, and the over 1. 4 billion (2021 esti- significant implications of ports - development projects objectives.”
Israel- Hamas conflict are mate), has undergone a naval China’s naval fleet expan- running into billions of US The USA is also in Africa
some of the security threats transformation which, in my sion for existing global mari- dollars. This is guided by the with its trade policy towards
to global peace and stability. view, extends beyond its eco- time security order. Taiwan Belt and Road Initiative’s sub- Saharan Africa known
The impact of these nomic power. Albeit, China’s from Beijing’s perspective, Maritime Component- the as the African Growth Oppor-
threats on shipping in the naval force expansion and is considered an internal 21st Century Maritime Silk tunity Act (AGOA) since 2000.
East Mediterranean, Black global projection have been sovereignty issue, rather Road, which aims to serve It’s on record that through
Sea and the Pacific Ocean very remarkable. than an external flashpoint in China’s core maritime inter- the AGOA, the US Congress
are of great consequences to ests in its quest to become a seeks to increase US trade
global trade. As maritime ex- global superpower. This ini- and investment with the
By M.A. Johnson perts trust, but verify events Industry experts believe that tiative includes the creation region, promote sustainable
in the world’s oceans, there
are concerns about security
Africa may be moving towards of a more than $1.2 trillion
blue economy. This gives
economic growth through
trade and encourage the rule
in the global waters. Why? industrialization when Chinese China the added advantage in of law and market - oriented
Maritime security is of great seeking to reduce disruptive reforms.
WHEN President Biden of the
concern to the global ship- investors move their manufacturing forces as Africa increasingly So, are both the United
US was briefing pressmen af-
ping industry where there is
currently a wide range of se-
plants to Africa exports mineral and agricul-
tural commodities to China.
States of America and China
using Africa and Taiwan to
ter his historic meeting with
curity threats and challenges. Industry experts believe shape a new global maritime
President Xi Jinping of China The expansion of China’s international relations.
Amid the war between that Africa may be mov- order? Your guess is as good
at the Asia Pacific Economic naval capabilities while un- China and other mem-
Israel and Hamas militant ing towards industrializa- as mine. But one thing to
Cooperation (APEC) Summit surprising from a realist bers of the Association of
group in the Gaza Strip, both tion when Chinese investors note is that China’s naval
in San Francisco last week, perspective has raised con- the Southeast Asia Nations
the USA and China are parad- move their manufacturing expansion and power projec-
he said: “Trust, but verify cerns among many naval (ASEAN) have expressed the
ing warships in the region. plants to Africa. Since 2000, it tion is a logical consequence
is where I am with China’s strategists and international will to maintain peace in the
This is an indication of these has been reported that China of its emergence as a global
agreements.” The phrase relations experts. Their con- South China Sea. However,
two global powers in the Mid- has built 100 seaports in Afri- economic powerhouse. This
“Trust but verify” is a rhym- cerns are about China’s true differences in maritime in-
dle East. On Taiwan, the USA ca. A report released recently raises fundamental strategic
ing Russian proverb. The intentions and the resulting terests and security policies
is beating its drums in sup- by the Center for Strategic concerns beyond the South
proverbial phrase became implications for global mari- among these countries still
port of independence of the and International Studies China Sea and the Taiwan
popular globally within the time security. exist. Diplomatic frictions
island nation. While China (CSIS) identified 46 African Strait.
context of nuclear disarma- What are the strategic continue to occur as reflected
is determined to realize a seaports where China had Therefore, it’s impera-
ment negotiations between consequences of China’s en- in the actions and policies of
peaceful unification with financial, construction and tive that the international
the USA and former Soviet hanced naval posture in the the United States of America,
Taiwan. There are global operational support all of community must diligently
Union in the olden days. broader context of Sino-US Japan, Australia and other
challenges that necessitated which “squarely aligned with observe and intelligently as-
At the end of the meeting strategic competition in the countries in the South China
the meeting of the leaders of the Chinese broader political, sess China’s actions, promote
between Presidents Biden global maritime domain? Sea.
the two most powerful coun- peaceful dispute resolution
and Xi, both world leaders A gaze at the global mari- China’s economic rise and
tries which President Biden and collectively work to-
agreed to resume military-to- time security landscape in concurrent naval expansion
regarded as “progressive and wards preserving the stabil-
military communications in 2023, shows that there is positions her as both a for-
constructive.” ity of the global maritime
an attempt to reduce rising relative stability in the South midable land and maritime
From a realist perspec- security order. The stakes are
tensions. China Sea with a reduced global security actor. But de-
tive, nations act in their high, and the world cannot
We are living in a peace- risk of intensified military fense and international rela-
self-interest, and a powerful afford to underestimate the
ful but dangerous world. confrontation and escala- tions analysts are interested Johnson is an author and a
military is considered imper- consequences of misman-
There are tensions on land tion. Notwithstanding the in knowing whether China is retired naval engineer who has
ative for safeguarding those aged tensions between global
and at sea. Long standing relative stability, China’s using Africa to shape a new passion for African develop-
interests. Over the past two powers in vital maritime
issues from Taiwan to South shift in strategic focus from global maritime order. China ment and good governance
decades, China has become regions of the world. Thank
China Sea, Russia’s full scale the South China Sea to the has set its footing in virtually
an economic powerhouse. you.
invasion of Ukraine, North

Addressing Nigeria’s sanitation crisis: Battling open defecation in Lagos

living without safely managed particularly vulnerable, as tation facilities. This approach and financial resources that suring they are reserved for
sanitation. they often wait until dark to fosters a sense of ownership can enhance the development legitimate users. Eco-friendly
According to the UN, “Right relieve themselves, exposing and ensures sustainability. and maintenance of public technologies can be incorpo-
now, we are seriously off track themselves to safety risks. This must be backed with com- conveniences. rated into public conveniences
to meet SDG 6: safe toilets and Moreover, poor sanitation prehensive public awareness PPPs offer a sustainable to reduce water usage and
water for all by 2030. World negatively impacts the econ- campaigns to educate citizens financing model, where pri- energy consumption, aligning
Toilet Day 2023 is about getting omy by reducing productiv- about the importance of proper vate entities invest in build- with sustainability goals.
the world on track by taking ity and increasing healthcare sanitation practices and the ing and maintaining public Conclusion
much faster action. The theme costs. Businesses may also be dangers of open defecation. conveniences in exchange for Open defecation in Lagos,
By Elvis Eromosele of the World Toilet Day 2023 is deterred from investing in ar- The governments would revenue-sharing or concession Nigeria, is a multi-faceted
Accelerating Change. eas with sanitation challenges. equally do well to enact and agreements. problem with severe conse-
World Toilet Day celebrates These are the issues. enforce policies that promote Private sector involvement quences for public health, the
toilets and highlights the global Understanding the chal- proper sanitation, including can lead to more efficient man- environment, and overall qual-
I WAS at Ikeja under bridge sanitation crisis that affects lenges penalties for open defecation agement and maintenance of ity of life. Addressing this crisis
recently and couldn’t find a billions of people around the One major reason for the and incentives for private sec- facilities, ensuring that public requires concerted efforts from
place to ease myself. I looked world who are living without sanitation crisis is the inad- tor involvement. conveniences remain in good the government, communities,
hard. People have had the access to a safely managed equate number of public toilets Furthermore, collaboration condition over the long term. and international partners. By
same experience across major toilet. and sewage systems in Lagos. with international organisa- Also, innovative tech- investing in sanitation infra-
markets in Lagos. Lagos lacks The impact of open defeca- Many times, existing facilities tions and NGOs can provide nologies like IoT (Internet structure, raising awareness,
conveniences. Open defecation tion are often poorly maintained or financial and technical assis- of Things) can be integrated and implementing effective
is rampant in Nigeria. This is precisely why open not easily accessible. tance to tackle the sanitation into public toilets to monitor policies, Lagos can transform
Lagos, often called the na- defecation is a major issue. It The reason for this is not crisis. usage, assess cleanliness, and itself into a cleaner, healthier,
tion’s economic hub, faces a poses a severe risk to public far-fetched, Lagos experiences In my mind, as Lagos State automatically alert mainte- and more prosperous city for
growing crisis that affects both health as it contributes to the rapid urbanization, leading to grapples with the pressing nance teams when issues arise. all its residents.
its residents and its reputation. spread of waterborne diseases overcrowding and strain on need to improve access to pub- Cashless payment options and Public-private partnerships
The lack of public conveni- like cholera, typhoid, and diar- existing sanitation infrastruc- lic conveniences, two powerful mobile apps can be introduced and innovative technology
ences and rampant open def- rhea. These diseases dispropor- ture. The lack of proper plan- tools emerge as potential game- to access public conveniences, solutions have the potential to
ecation have reached alarming tionately affect children, result- ning exacerbates the problem. changers: Public-Private Part- making it convenient for us- revolutionize access to public
levels. (Warning: Don’t look out ing in high mortality rates. Possible solutions nerships (PPPs) and innovative ers and enabling transparent conveniences in Lagos State.
of your window when crossing The truth is that human The good news is that the technology solutions. Open revenue collection. By harnessing the expertise of
any bridge in Lagos). waste left in open areas con- situation can be remedied. defecation is not particular Biometric authentication the private sector and integrat-
I’m happy to admit that it’s taminates soil and water sourc- Governments at all levels must to Lagos State. I’m simply us- can enhance security and limit ing cutting-edge technologies,
not purely a Nigerian issue. es, leading to long-term envi- prioritize investment in sani- ing Lagos as a case because I misuse of public toilets, en- the government can create a
The United Nations acknowl- ronmental degradation. This tation infrastructure, includ- appreciate the determination network of well-maintained,
edges that there is a global sani- pollution affects agriculture, ing public toilets and sewage of successive governments to accessible, and efficient public
tation crisis, one that the world water supply, and the overall systems. Collaborations with improve the quality of lives of conveniences that enhance
is working too slowly to solve. quality of life in affected areas. private sector partners can residents. public health, preserve the
World Toilet Day, celebrated In addition, lack of access help in funding and maintain- Now, PPPs involve collabo- environment, and improve
on 19 November every year, is to sanitation facilities strips ing these facilities. ration between government Eromosele, a corporate com- the overall quality of life for its
about inspiring action to tackle individuals of their dignity Secondly, communities bodies and private sector enti- munication professional and residents. The time to embrace
the global sanitation crisis and and subjects them to social should be involved in the plan- ties. Private companies often these powerful tools for change
public affairs analyst, wrote
reach the 3.5 billion people still stigma. Women and girls are ning and maintenance of sani- bring expertise, efficiency, is now.
via: [email protected]
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 11

OPINION

The exchange rate: Ways and means, CBN

N950/$ may be better and the Nigerian economy
than N650/$
proved external asset manag- that the government adopted.
By Abimbola Agboluaje naira against depreciation mitigates the economic risks ers, went from $3bn per month These monies were spent on
or to support its appreciation and hardship, and potential to nearly zero budgetary support and direct
but to maintain the stability political setbacks associated What happened in the com- intervention program that had
ing years was that in a bid impairments above 50 percent;
of the exchange rate at ap- with continued exchange rate By Kelvin Emmanuel to meet up with its balance for example, the Anchor Bor-
proximately N950/$1 (while instability or repeated rounds of payments for import and rowers’ Program that was
doing everything to keep of depreciation of the naira. exports, the CBN started draw- supposed to raise the output
stimulating forex inflows). Furthermore, it provides a ing down the foreign reserves for food production in Nigeria
This targeted rate could strong impetus for exports and with the Central Bank taking recorded impairments of 74.6
be maintained for a consider- economic growth even within loans structured as security percent on 1.4 trillion naira, in
THE Chairman of the Presi- able period, spanning five to the medium-term horizon. lending from two of its exter- contrast to the 4.8-5.6 percent
dential Committee on Fiscal MANY Nigerians find it diffi- nal asset managers without a non-performing loan ratio book
seven years, effectively en- If the current adminis- formal request to the National that the CBN recommends for
Policy and Tax Reforms, cult to understand the process
suring exchange rate stabil- tration embraces a N950/$ that led to the naira dropping as Assembly, the Central Bank the banks it regulates.
Taiwo Oyedele, told Bloomb- ity. At most, it would require exchange rate, it may well be much as 89 percent in less than doing FX swaps with deposit The issue here is this: Cen-
erg in an interview two weeks only modest, non-disruptive remembered as the govern- money banks on the foreign tral Bank overdrafts bear a
a decade. In this article, I will
ago in South Africa that the depreciation. This approach ment that ushered in a new aim to explain the process that currency deposits held across recurrent theme across econo-
Nigerian Government had would lead to the accumula- economic era for Nigeria, led us here and why a simple banks as a temporary meas- mies that have failed in recent
set its sights on achieving an tion of forex reserves, bol- prioritizing exchange rate provision that was added to ure for liquidity. As revenues times: the Banque de Liban
exchange rate of N650 to the the 2007 CBN Act by the for- shrinked for the government extended $43bn of the $143bn
stering both external and stability, economic growth, on dwindling Oil receipts from in public debt that the Gov-
dollar by December 2023. Is mer Governor of the Central
domestic confidence in the and export expansion over Bank that is now the sitting organized crude oil theft, the ernment of Lebanon owes
this rate achievable and sus- naira while also mitigating political management of the government raised debt financ- that represents 160 percent
Governor of Anambra, as part
tainable? Is it possible that a inflationary pressures. Fur- exchange rate. This shift ing for deficits that constituted of its GDP in comparison to
of his series of reforms post
unified exchange rate of N950 thermore, a stable (unified) would mark a departure recapitalization of the Nigerian 16.8 percent pre-2015, and that the $180bn that represents 36
to the dollar might be a bet- exchange rate at N950/$1 from the historical pattern of Banking system, renegotiation rose to 43.8 percent in 2022, the percent of the GDP of Nigeria,
ter choice than the proposed of Nigeria’s External Debt with implication was that the debt and that is 4 percent below the
would act as a “protection” splurging on consumer goods servicing and finance cost rose 40 percent fiscal responsibility
N650/$1 rate? Even if N650/$1 the Paris & London group of
against imports, encourag- imports when oil prices are Creditors, has turned out to be significantly to 32.5 percent crises level.
is attainable by December
a curse more than a blessing of the budget, external rating Even though the Nigerian
2023 or June 2024, will it be agencies downgraded Nigeria’s Government cannot account
that it was meant to be.
sustainable and thus good for
the Nigerian economy and Nigeria has a historic opportunity to Prior to 2015, Nigeria had
operated a fixed peg in its
Local & Foreign Currency Is-
suer rating from Ba3 to Caa1 on
for how the Ways and Means
was spent, the securitization
people (investment, inflation, initiate an “unorthodox” forex policy exchange rate mechanism rising Country Risk Premium that was not market based, but
and high Credit Default Swap involves the Government secu-
jobs, growth)?
Traditionally, the Cen-
that supports investment, growth, export that restricted movement in
its currency to +/- 3-naira Rates. The bill on the Central ritizing through a 40-Year Govt
tral Bank of Nigeria (CBN) diversification intra-day (within a particular Bank honouring FX forwards
for everything from Form
bond at 9 percent, that is at
least 11 percent below risk free
trading day). Nigeria had an
has intervened in the forex A to Dividend and Capital rate (RFR), with a three-year
abundance of Excess Crude
market to maintain a high Earnings (that the leadership Remittances to Commercial moratorium, the government
exchange rate (i.e. to prevent ing investments not only in high and exchange rate in- Letters of Credit (that nega- continues the indiscriminate
of the Nigerian Governors
depreciation of the naira manufacturing but also in stability. (Diminished oil Forum refused to collapse into tively impacted the ability of violation of the new 15 percent
or to stimulate an artificial the production of essential production has made the the just established sovereign commercial banks to maintain limit without recourse to the
appreciation of the national input materials. Businesses former impossible for now). wealth fund, and preferred their clean line of credit with law. It is also worth mention-
don’t invest in Nigeria be- Conversely, a strategy and to share across the federat- their correspondent banks was ing that the Central Bank of
currency). This intervention impacted) rose to $6.8bn. Nigeria being the entity that
cause the exchange rate is messaging centred around ing units like small children
typically occurs during peri- eager to devour the chocolate The Government switched is owed money cannot act as
ods of plummeting crude oil too high or too low; investors a N650/$ exchange rate is
their daddy got for them on from using revenues generated a guarantor on a facility for
prices, which tends to happen avoid Nigeria because the very clearly a choice that through taxes and government which it’s the creditor and an
his way back from work), the
roughly twice every decade. exchange rate is unstable and will generate economic and state national oil corporation owned enterprises that was interested party.
Nigerians feel entitled to a stokes recurrent cycles of political challenges that will was remitting about $3bn per around 6.9 percent to GDP, In Ghana for example, a vio-
inflation that keep crushing manifest rapidly. Presently, month from oil receipts with to raising quick money from lation of section 20 of 612 of the
high exchange rate and most-
purchasing power. the Central Bank of Nigeria the daily production volumes the Central Bank classified as Act that establishes the Bank
ly view it as a variable com- ‘’Ways and Means’’. A provi- of Ghana, and saw the BoG
Given the current state of (CBN) follows a somewhat at between 2.2-2.5m barrels.
pletely under government NNPC as a holder of Nigeria’s sion contained in sections 38 of lend $3.5bn that represents 523
control rather than driven the naira, achieving a stable “piecemeal” reform strat- the CBN Act of 2007. Challenge percent of the previous year’s
49 percent in the Joint Venture
largely by global economic exchange rate is well within egy. While the N650/$ target though is that this provision government revenues, saw the
it formed to liquefy and export
cycles and geopolitics. A reach through transparent has been announced, uncer- methane gas, propane to Eu- only allows the government to cedis drop by about 70 percent,
falling exchange rate is thus and consistent reforms. This tainties persist within the rope, returned about $3bn per borrow 5 percent equivalent of leading to increases in the
represents an immense eco- market regarding the source annum in dividends and taxes its real revenues of its previous government debt obligations,
politically unacceptable for a accounting year (even though that led to a technical default on
nomic opportunity. While it and depth of funds being to the government.
host of important stakehold- Post 2015, the new President this was hastily amended with- interest payment to Eurobond
ers. Nigeria has consequently might be tempting for Nige- allocated to settle forward
decided that he was going to out proper consultations in Holders and consequent debt
calibrated policy to target ria’s decision-makers to aim contracts. Additionally, con- 2022). The Government went restructuring.
diversify the economy from
a high but unsustainable for a short-term appreciation cerns persist about Nigeria’s Oil & Gas and make non-Oil from a limit of $500m to up The interesting thing is that
and economically disruptive of the national currency, ability to accumulate suf- and Gas exports the fulcrum to $53bn. In order to achieve Nigeria’s current Chairman of
such as N650/$1 or N700/$1, ficient reserves to meet the of FX earnings. He also decided this, the former Central Bank the Senate Committee on Bank-
exchange rate rather than a
it’s a more prudent choice to demand that such a target that he was going to change the Governor raised the non-dis- ing, Insurance & Financial
stable one (which stimulates cretionary cash reserve ratio Services was once the MD of a
aim for N950/$1 or N1,150/$1. rate would likely stimulate mechanism for paying subsidy
investment and growth). on petroleum products that from 15 percent (which is the regulated Tier II Bank before
When oil prices are high, These rates may not imme- by January or March 2024. his foray into politics. It is dif-
was consuming around $3bn globally recommended aver-
the exchange rate allows the diately position the new au- Unfortunately, the prefer- age for Central Banks) to 32.5 ficult to imagine that the 10th
per annum on an estimated
Nigerian middle class to send thorities as financial wizards ence for obfuscation over 33m liters of pms consumed percent, he raised the discre- Senate with him as this Chief
children to British universi- who miraculously restored transparency persists. per day. Rather than continue tionary cash reserve ratio to Oversight Head and the New
the naira’s value, but they In summary, the choice of the system of paying subsidy 41 percent, mopped up public leadership of the Central Bank
ties, including struggling sector CRR that was collapsed has done little to amend the
will certainly prevent undue a (unified) N950/$ exchange to independent marketers, he
backwater institutions, and asked the state national oil from DMBs in 2015 when the 2007 CBN Act with particular
buy Korean cars en masse. stress on the naira and the rate, in contrast to the N650/$
corporation to adopt an oil government adopted the Treas- emphasis on sections 38.
(The current wave of Ni- economy in the near future. option, not only promises ury Single Account (TSA). The If the Central Bank was to
swap program, where about 20
gerians paying for British An exchange rate of N950 to more substantial long-term licensed companies were given balances he could not complete follow the recommendation of
university degrees are in- the dollar carries no political benefits but also mitigates the authority to lift crude oil from Public & Private Sector the IMF to move its accounting
vesting in British residency costs, but it holds the promise economic and political risks, and bring back pms, as system CRR, he relied on Quantita- framework from IPSAS to IFRS
of substantial political and aligning with a strategic vi- that achieved 3 things: tive Easing that enabled him as a tool to ensure that expected
and not British education). A print cash the CBN didn’t have credit losses for 12 months is
economic benefits over the sion for Nigeria’s economic 1. Ensured the esti-
good chunk of what Nigeria mated amount of PMS con- reserves to back, and this led covered in its capital losses that
earned from high oil prices medium to long term. In the stability, growth, and export appears in the valuation col-
sumed was increased without to a sharp drop in the value of
before the 2014 crash was short term, it could allow the competitiveness. The longer the naira, especially consider- umn of its balance sheet until
empirical evidence to back the
spent importing Hyundai and CBN and the Federal Govern- Nigeria delays adopting an demand, from 33m litres to 66m ing the sources for FX was its realized P&L and switches
Kia cars which a lot of profes- ment to claim stabilizing the exchange rate that unmis- litres per day dwindling on the expansion- to the current column, the CBN
exchange rate as a significant takably indicates the naira 2. Ensured that only ary monetary policy strategy will be forced to provision for
sionals could afford to buy its exposure and have its net
economic policy achievement. has reached its lowest point, 43 percent of the derivatives
after 5 years of employment. gotten from refining crude oil reserves in negative.
Nigeria has a historic This approach effectively thus curbing the conversion
was returned back to the coun- One of the reasons the
opportunity to initiate an of naira savings into dollars Central Bank is struggling to
try with little emphasis on the
“unorthodox” forex policy and encouraging forex in- grade of octane and Sulphur, attract fresh capital in USD
that supports investment, flows, the lower the exchange and the that the petrol was in that is desperately needed to
growth, export diversifica- rate that will be required to contravention to international clear outstanding forwards
eventually stabilize the naira. best practices for quality con- and stabilize the FX markets,
tion, etc. A (developing) na- is because Investors are not
While around N950/$ could trol and environmental care
tion’s exchange rate is indeed (carbon control) pleased with the blatant disre-
too important to leave com- be effective today, waiting
3. Ensured that the gard for extant laws, and fear
pletely in the hands of “mar- might necessitate a rate as that it might prove difficult
monthly Oil receipts NNPC
ket forces”. The CBN should low as N1600/$ to establish got as payments for exports to get their monies out than it
Agboluaje is managing direc- credibility and confidence in Emmanuel is a Public Policy will be to bring it in. It is time
“manipulate” the market- to its account managed by the
tor, WNT Capitas March 2024. Central Bank with six (6) ap- Analyst and Economist to amend the CBN Act!
this time not to defend the
12 www.businessday.ng TUESDAY 21 NOVEMBER 2023

EDITORIAL
PUBLISHER/EDITOR-IN-CHIEF
Frank Aigbogun Positioning community pharmacists to achieve universal health coverage
EDITOR THE Universal Health Cov- workers with optimal skills distribution, to quality as- for the introduction of skills
Tayo Fagbule erage (UHC) means that all mix at facility, outreach, and For UHC to be truly surance, dispensing, and that have been previously
individuals and communities community level, who can monitoring. They play an underutilised by this group
receive the health services deliver quality, essential universal, a shift is important role in preventing of health professionals. In-
DEPUTY EDITORS they need without suffering healthcare. needed from health frequent stockouts and loss tegrating pharmacists with
Lolade Akinmurele financial hardship, accord- Unfortunately, the deficit of stock and health technol- the broader primary health-
John Osadolor, Abuja ing to the World Health Or- in skilled professionals and
systems designed ogy assessment. care system, greater strides
ganisation (WHO). the entire health workforce around diseases and They also help in preven- in improving the training
NEWS EDITORS It includes the full range in Africa continues to be institutions to health tion and control of non-com- and early certification for
of essential quality health a massive setback on the municable diseases (NCDs), providing these services
Femi Asu (print) services from health promo- pathway to achieving UHC systems designed for as WHO has predicted that at an undergraduate level
Temiloluwa Bamgbose (online) tion to prevention, treat- in the continent. people with people in by 2030, NCDs will become would be beneficial.
ment, rehabilitation, and Hence, we believe that the leading cause of death Besides, gaps in the
palliative care across the with the ease of access com- mind in Africa, exceeding deaths supply of and demand for
CHIEF MARKETING & SALES life course. For UHC to be munity pharmacists have caused by communicable, health workers are con-
truly universal, a shift is to patients, the profession maternal, perinatal, and centrated in LMICs like
MANAGER and skill set, accessibility,
needed from health systems is well-positioned to play a nutritional diseases com- those in Africa, the WHO
Ijeoma Ude designed around diseases critical role in the provision and extended trade hours bined. These pharmacists estimates that to meet the
and institutions to health of PHC for the attainment further reflect the capacity have critical roles to play in health workforce require-
GM BUSINESS DEVELOPMENT (North) systems designed for people of UHC. of the profession to contrib- preventing and controlling ments of the SDGs and UHC
with people in mind. Therefore, we believe ute toward enhancing and NCDs at three levels. targets, over 18 million ad-
Bashir Ibrahim Hassan complementing access and
To achieve this, a primary that redefining the roles of They are pivotal in ditional health workers are
health care (PHC) approach community pharmacists by primary healthcare cover- health promotion, as they needed by 2030.
ADVERTISEMENT MANAGER that focuses on organising ensuring their active par- age under UHC. are well-positioned to iden- The community pharma-
Queen Nkwocha and strengthening health ticipation in the delivery of Increasing the involve- tify health conditions promi- cists can leverage these gaps
systems so that people can ac- primary healthcare services ment of community phar- nent in the community and in the supply and demand
cess services for their health will serve as a needed link macists at the PHC level initiate health promotion for healthcare workers by
FINANCE MANAGER would consequently benefit
Adedayo Adetoye and wellbeing based on their in the sustained global push campaigns. strengthening their capac-
needs and preferences, at the towards providing increased other public health sector Health promotion inter- ity to provide quality PHC
earliest, and in their every- access to essential medicines establishments by relieving ventions are driven by phar- services. UHC affords phar-
COPY SALES MANAGER day environments is needed. in developing communities the workload and pressure macists, in addition to other macists the opportunity to
Florence Kadiri Primary health care is no and improving health cover- on staff at these facilities, health professionals, to raise evolve in their roles and be-
doubt the fulcrum of a sus- age, especially in a country especially for patients that awareness levels about the come more engaged at com-
tainable health system and such as Nigeria. Commu- have been stabilised for adverse effects of medicines munity and system levels.
DIGITAL ADVERT SALES MANAGER treatment of chronic non-
provides the ‘programmatic nity pharmacists play a cru- and disease outbreaks. A change in attitude
Linda Ochugbua communicable diseases.
engine’ for UHC, the health- cial role as they are mostly In contrast to many high- regarding the pharmacy
related SDGs, and health the first point of call for The community phar- income countries, commu- profession is therefore es-
security. individuals trying to access macists play an essential nity pharmacists are an sential for those practising
EDITORIAL ADVISORY BOARD Nevertheless, achiev- PHC, as the pharmacies are role in the areas of medi- underutilised resource for it, for patients utilising
ing UHC basically depends multi-product, multi-service cines supply chain manage- patient care in low- and the services, and for other
Imo Itsueli ment, as they have critical
Mohammed Hayatudeen strongly on the availability facilities that are essential to middle-income countries health professionals col-
and accessibility of adequate a health care system. roles in medicines supply (LMICs). laborating in the future of
Afolabi Oladele and competent healthcare Pharmacists’ knowledge chain management from There is a critical need shared patient care.
Vincent Maduka selection, procurement and
Opeyemi Agbaje
Amina Oyagbola
Bolanle Onagoruwa
Fola Laoye
Chuka Mordi
Akinsola Johnson
Juliet Anammah
Charles Anudu
Tunji Adegbesan
Eyo Ekpo
Wiebe Boer
Paul Arinze
Ivana Osagie
Boye Olusanya
Ayo Gbeleyi
Haruna Jalo-Waziri
Clement Isong

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TUESDAY 21 NOVEMBER 2023 www.businessday.ng 13
14 www.businessday.ng TUESDAY 21 NOVEMBER 2023

COMMENTARY
Understanding Dangiwa’s bold housing
and urban development action plan
By Mark Chieshe for completion. Another aspect of cost of building materials, conse-
this review involves evaluating the quently elevating the expenses as-
ARCHITECT Ahmed Musa Dangi- technical and financial capabilities sociated with housing delivery. To
wa has taken bold and transforma- of the contractors, intending to illustrate, even with an estimated
tive steps, placing him on a course potentially cancel contracts and rough average of N10 million per
to justify the confidence of His re-award them to more competent unit for the 34,500 homes planned
Excellency, President Bola Ahmed and reputable developers. in phase 1 of the Renewed Hope
Tinubu, GCFR and the optimism The Minister is also cognizant Cities and Estates, it will amount
and expectations of stakeholders of completed projects situated in to approximately N345 billion to de-
in the housing industry since his inaccessible locations. Recognizing liver these units. The various house
appointment as the Honorable the lack of proper diligence, pre- types, each with different pricing,
Minister of Housing and Urban project housing demand mapping, include multi-level flats catering
Development. At various forums and proactive plans for access and to low to medium-income earners,
and events, Dangiwa has been infrastructure to ensure swift up- terrace/detached bungalows and
consistently clear, focused, and take of projects upon completion, duplexes for high-income earners,
visionary in outlining the strategic he is exploring a range of options to and bungalows for low-income
and targeted plans of the Ministry safeguard government investment. earners. This underlines the im-
under his leadership for housing These measures include engaging portance of the Minister’s inclusive
and urban development. relevant States where the projects and integrated approach, which
These plans encompass several are situated to provide access roads, aims to introduce cross subsidies
key initiatives. They involve imple- electricity, and infrastructure, as to enhance affordability for low- and
menting land reforms to streamline well as considering bulk sales to medium-income earners.
land administration, enhancing government entities, among others. Specifically, these options in-
the institutional capacity of federal The overarching goal is to recover clude increased budgetary alloca-
government agencies such as the as much as possible from the multi- tions, fostering Public-Private
Federal Mortgage Bank of Nigeria billion-naira investment into the Partnerships, and optimizing the
(FMBN) and the Federal Housing National Housing Programme, financial capacities of agencies
Authority (FHA). Furthermore, redirecting these funds into other under the Ministry to sponsor a
they include increasing housing more strategic and affordable hous- significant portion of these projects.
supply through a multi-agency de- ing projects. On the budgetary front, Arc.
livery mechanism, initiating new Nationwide urban renewal and Dangiwa has already secured a
city developments via Renewed slum upgrading program major win to kickstart the Renewed
Hope Cities and Estates, and launch- The Honorable Minister of Hous- Hope Cities/Estates and the Na-
ing a nationwide urban renewal and ing and Urban Development, Arc. tional Urban Renewal and Slum
slum upgrading program. Other Ahmed Musa Dangiwa, acknowl- Upgrading Program. Recently the
initiatives are the establishment edges that, like many developing Hon. Minister facilitated the in-
of building materials manufactur- Arc. Ahmed Musa Dangiwa, Hon. Minister of Housing and Urban Development economies, Nigeria faces challenges clusion of N100 billion in the 2023
ing hubs one in each of the six (6) in providing decent and affordable Supplementary budget, recently
regions to reduce imports, gener- housing for its citizens. He recog- passed and signed into law by His
ate employment opportunities, contributing to the Renewed Hope to land in good and viable loca-
nizes the country’s dual challenge of Excellency President Bola Ahmed
enhance affordability in housing Vision of lifting 100 million Nigeri- tions with verifiable demand and
insufficient housing supply to meet Tinubu, GCFR. Preliminary works
delivery, and the creation of a Na- ans out of poverty. adequate infrastructure for the
its burgeoning population growth are underway, and the Honorable
tional Social Housing Fund (NHSF) To ensure the affordability and Renewed Hope & Estates project
and the prevalence of sub-standard Minister intends to commence the
to facilitate access to decent shelter prompt uptake of these houses by sites. He has already written letters
housing, failing to meet the condi- projects before the end of the year.
for low-income, NO Income, and Nigerians, the Ministry of Housing to all State Governments, request-
tions of habitability, safety, secu- Additionally, the Honorable
vulnerable groups. and Urban Development, led by ing a minimum of 50 hectares of
rity, comfort, sanitation, accessibil- Minister aims to maximize existing
In this series, our objective is to Arc. Ahmed Musa Dangiwa, has land either as a contiguous plot or a
ity, infrastructure, social amenities, partnerships with international
provide a detailed analysis of each outlined a diverse mix of ownership split of 25 hectares in two locations
and socio-cultural adequacy as development finance institutions to
of these plans, commencing with options for potential beneficiaries: for establishing the estates, as part
outlined by the United Nations and bolster the pool of resources avail-
an in-depth exploration of the new Firstly, mortgage loans will be of their contribution to affordable
World Health Organization (WHO). able to drive his agenda for housing
city development and the national offered. For low-income earners, housing delivery for their citizens.
According to PwC analysis in and urban development. To this
urban renewal and slum upgrade the Ministry intends to promote The Minister has emphasized
2019, 75.00% (31.60 million) of the end, he has conducted preliminary
program. the adoption of the range of afford- the necessity for land for planned
42.00 million housing units in Ni- meetings with delegations from the
able housing products provided project sites to be in accessible loca-
New city development geria were deemed sub-standard. World Bank Group, the Interna-
Under this plan, the Minister by the Federal Mortgage Bank of tions, and State Governments must
Addressing Nigeria’s housing chal- tional Finance Corporation, the UN
aims to lead partnerships with the Nigeria (FMBN). This will enable commit to providing the requisite
lenge therefore requires a combina- Habitat, and the Shelter Afrique De-
private sector, local and interna- beneficiaries to access single mort- infrastructure to make the estates
tion of urban renewal or housing velopment Bank, where he currently
tional investors, towards redefining gage loans payable over 30 years appealing to potential owners.
upgrade initiatives and the con- holds the position of AGM Bureau
the concept of cities in Nigeria and using the FMBN NHF Mortgage Discussions are also underway
struction of new homes to meet the Chief. Following these meetings, the
decongesting city canters and state loan window. with the Federal Ministry of Works,
growing population’s needs. Honorable Minister has established
capitals. The first phase of the New For high-income earners seek- Transportation, FCT, and Power to
Aligned with this perspective, a Ministerial Technical Taskforce
City Development Plan aims to de- ing homes beyond the scope offered guarantee easy and cost-effective
Arc. Dangiwa has proposed an am- with a mandate to develop action-
liver Renewed Hope Cities ranging by the FMBN, the Ministry plans to infrastructure access and trans-
bitious plan to initiate a Nationwide able frameworks that would lead to
from 1,000 housing units per site in promote the use of alternative home- portation links for the Renewed
Urban Renewal and Slum Upgrad- the signing of strategic financial and
one location in each of the six geo- ownership options provided by the Hope Cities and Estates to the main
ing Program. The goal is to enhance technical partnership agreements
political zones of the country and Primary Mortgage Banks and the city centres through roads or rail
living conditions in Nigeria’s urban with these international develop-
FCT namely: Abuja, Lagos, Kano, mechanisms of the Nigeria Mort- networks, aiming to reduce com-
areas, transforming informal set- ment finance institutions.
Borno, Nasarawa, Rivers, and gage Refinance Company (NMRC). muting time and open the places up
tlements into integrated, vibrant “These international financial
Enugu States, while the remaining This approach will facilitate access to decongest city centres.
neighborhoods equipped with es- institutions are vital sources of
thirty (30) States will have Renewed to home loans at commercial rates A zero-tolerance policy for aban-
sential services, thereby curbing financial and technical assistance
Hope Estates each with a minimum for these beneficiaries. doned housing projects
the proliferation of slums. in our pursuit to realize Mr. Presi-
of 500 housing units. Another option available to po- In addition to the Renewed Hope
In the program’s initial phase, dent’s Renewed Hope Agenda.
The Renewed Hope Cities will tential beneficiaries is Rent-to-Own. Cities and Estates, the Honorable
the Ministry aims to upgrade a total Ensuring their expansion, maxi-
prioritize inclusivity by featuring This FMBN product allows ben- Minister of Housing and Urban De-
of 26 slums across the country’s six mization, and leveraging in ways
Multi-Level Flats catering to low eficiaries to move into the Bank’s velopment has devised a Zero Toler-
regions, including the Federal Capi- not done before to successfully
to medium-income earners, Ter- funded properties without mak- ance Policy for Abandoned Projects.
tal Territory. This initiative intends implement the Ministry’s Action
race and Detached Bungalows, and ing an equity payment. They can Under this policy, Arc. Dangiwa
to provide vital infrastructure and Plan is a TOP PRIORITY of my
Duplexes tailored for high-income then make payments in monthly, aims to ensure the completion of
supplementary services such as administration,” he emphasized.
earners. Conversely, the Renewed quarterly, or annual instalments all housing projects initiated by
access roads, water supply, solar With every action, every meet-
Hope Estates will offer 1, 2, and towards ownership. The payback the Ministry and agencies under its
streetlights, drainage systems, sani- ing and engagement, the Hon. Min-
3-bedroom affordable bungalows. period extends to a maximum of 30 supervision. This encompasses pro-
tation, waste management services, ister of Housing and Urban Develop-
Overall, the Ministry aims to de- years, depending on age or years in jects under the Ministry’s National
and more. These improvements aim ment, Arc Ahmed Musa Dangiwa is
liver a total of 34,500 homes in phase service, at a single-digit interest rate Housing Programme (NHP), the
to enhance the living standards of showing uncommon commitment
1, funded by a mix of sponsors in- of 7 percent. Federal Mortgage Bank of Nigeria
slum residents in the project sites to actualizing the Renewed Hope
cluding the budgetary allocation of With this broad mix of afford- (FMBN), and the Federal Housing
and uplift the urban poor in general. Vision for housing and urban De-
the Federal Ministry of Housing and ability options, individuals within Authority (FHA).
The Dangiwa blended housing velopment. He deserves the support
Urban Development, the Federal the low- and medium-income brack- Given the backdrop of high infla-
and urban development financing of local and international stakehold-
Mortgage Bank of Nigeria (FMBN), ets as well as high-income earners tionary trends and the rising cost of
plan ers who are committed to driving
and through Public-Private Partner- will have a wide array of convenient building materials, the Honorable
Funding these projects will affordable housing delivery and
ships with reputable developers. homeownership choices available Minister has established a Task
undoubtedly require a substantial sustainable urban development.
With an estimated creation of to them. Team within the Ministry to review
financial commitment, involving
25 jobs per unit, the first phase of For sustainability, Arc. Dangiwa contracts for all unfinished NHP
hundreds of billions of naira. This •Chieshe, special assistant to
the project is projected to generate is spearheading engagements with housing projects. The objective is to
necessity is amplified by the cur- the Hon. Minister of Housing and
both direct and indirect employ- State Governments and relevant redefine the scope of these projects
rent high inflationary trends, which Urban Development. mchieshe@
ment, totaling 862,500 jobs, thereby Ministries to ensure speedy access in order to reduce the required costs
have significantly increased the gmail.com
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 15

COMPANIES & MARKETS

VFD Group dividend income surge amid weak macro conditions
By Folake Balogun (NGX) which provides last year. This increase
the company with a can be attributed to div-
VFD Group’s dividend gateway to access more idend income and treas-
income has surged 689 capital and more vis- ury-related income,”
percent amid a chal- ibility to the investing Okpala, GMD/ CEO of
lenging business en- public. VFD Group said.
vironment during the “We seek to raise Depreciation and
nine months of 2023. almost immediately amortisation increased
The firm’s dividend N12.5 billion via to N667.63 million in
income increased to rights,” the firm’s CEO 9M’2023 from N569.14
N1.76 billion in 9M’2023 said at the Facts Behind million in the same
from N222.74 million in the Listing ceremony period of 2022.
the same period of 2022. which held at the Nige- Net cash generated
“Due to the time lag rian Exchange building by operating activities
between investments in Lagos. stood at a positive cash
and recognition of in- The firm’s other in- flow of N21.08 billion
vestment income, our come dropped to N4.39 in 9M’2023 from a nega-
performance did not billion in 9M’2023 from tive cash flow of N6.74
fully reflect the inher- N4.64 billion in the billion in the same pe-
ent strength of the same period of 2022. riod of 2022.
balance sheet and the Investment and simi- Net cash used in
potential of the entire lar income increased investing activities
ecosystem,” Nonso Ok- to N22.21 billion from stood at N5.1 billion in
pala, GMD/ CEO of N18.73 billion while 9M’2023 from N16.47 bil-
VFD Group Plc said in investment and similar lion in the same period
a note. 9M’2023 from N5.36 bil- our forward transac- benefits of which could expense also increased of 2022.
He stated that de- lion in a similar period tions and had a signifi- not be recognised im- to N18.74 billion from The firm’s net cash
spite a challenging eco- in 2022. cant impact on interest mediately, but which N12.8 billion. used in financing ac-
nomic environment “Our profitabil- expense,” the CEO of would manifest with The firm’s revenue tivities stood at N7.4
marked by high inter- ity for the period was VFD Group said. significant upsides in increased to N29.03 bil- billion in 9M’2023 from
est rates, rising infla- impacted by the fol- “Unprecedented in- the coming quarters, lion in 9M’2023 from N23.94 billion in the
tion, and Naira depre- lowing: Naira depre- flation and the rising which is the crux of N23.59 billion in the same period of 2022.
ciation, VFD Group is ciation from N447 to cost of doing business our unique business same period of 2022. VFD Group’s cash
dedicated to adapting N767 (71.85%), which in the country impacted model,” he said. “We recorded total and cash equivalents
and excelling. increased the cost of our operating costs as VFD Group was ad- revenue of N29.0 billion at the end of the period
Profit after tax for the hedge instruments well. During the review mitted to the daily of- during the last quarter, increased to N11.47 bil-
the period dropped we used to address ex- period, we also made ficial list of the Nige- a 23 percent increase lion from N4.61 billion
to N681.97 million in change volatility on new investments, the rian Exchange Limited over the same period during the period.

Nigerian Breweries seeks shareholders’ Seplat fuels Nigeria’s energy future

approval for Distell’s acquisition with $250m Sapele gas plant
By Dipo Oladehinde in a general meeting Distell Nigeria is in- By Dipo Oladehinde for contributing to the nounced that Seplat’s
NIGERIAN Breweries for their considera- volved in the local pro- IN a bold move to energy landscape. Joint Venture gas pro-
(NB) Plc, the country’s tion and approval, duction of wines and strengthen Nigeria’s Analysts say that cessing facility in Imo
largest brewer, has the acquisition of 80 ciders; as well as the energy sector and posi- there is a heightened State is set to be com-
sought the approval per cent economic importation of wines, tion the country as a interest from investors pleted by December,
of its shareholders interest, voting, and spirits and flavoured regional gas hub, Seplat in the energy sector, with plans for com-
to acquire an 80 per other rights held by alcoholic beverages. Energy Plc, a leading anticipating substan- missioning in January
Heineken Beverages The proposed acqui- Nigerian independent tial investments to flow 2024.
cent stake in Distell into Africa’s largest In addressing the
(Holdings) Limited sition is subject to the energy company, has
Wines and Spirits Ni- economy. broader investment cli-
in Distell Wines & regulatory approval announced a $250 mil-
geria Limited (Distell lion investment in the This aligns with the mate, Okon emphasised
Nigeria). Spirits Nigeria Lim- process. construction of a new global market trend, the pivotal role of the
The proposed ac- ited, which interests The company said gas processing plant in which increasingly fo- private sector in driv-
quisition is part of and rights are held that the acquisitions Sapele, Delta State. cuses on energy-related ing investments in the
NB’s strategy to ex- through Distell In- “align with its stra- This significant in- ventures, with Africa oil and gas sector.
pand its product port- ternational Holdings tegic objective of ex- vestment is a testament emerging as a key play- He stressed that the
folio beyond beer and Limited, and 100 per panding its current to Seplat’s commitment er in this landscape. government’s support
into wines, spirits, cent of the import product offerings be- to driving Nigeria’s Nigeria holds the through policies and
business of Heineken yond beer to include, energy transition and largest natural gas re- ensuring a secure envi-
and flavoured alco-
Beverages (Holdings) wines, spirits, and fostering sustainable serves on the continent ronment is crucial for
holic beverages. and exports increased fostering sustainable
Limited in Nigeria flavoured alcoholic economic growth.
According to a The Director of New significantly in the past growth and develop-
notice filed with the (including the license beverages. It also pro- 23 years. ment in the industry.
Energy at Seplat Plc,
Nigerian Exchange to market, distribute vides the Company Effiong Okon, has un- During a panel dis- According to the
Limited, the meeting and sell the imported with growth opportu- veiled the company’s cussion on secured en- Manufacturers Associa-
is scheduled to be held products, as well as nities and long-term plan to construct a new ergy transition towards tion of Nigeria, energy
next month in Lagos. produce any of the profitability.” $250m gas plant in Sa- gas, Okon emphasised costs consist of over 30
Part of the notice imported brands lo- Heineken Beverag- pele, Delta State. Seplat’s commitment, per cent of businesses
read, “Following the cally).” es owns 100 per cent of The announcement stating, “We are also in the country.
conclusion of a de- In May, the Board Distell International took place during the starting a brand-new The increase in pet-
of Nigerian Brewer- Limited, whose sub- Nigeria Oil and Gas plant in Sapele, the Sa- rol prices has further
tailed review of the pele gas plant – another worsened the difficul-
ies Plc said it received sidiary is Distell Ni- Outlook event in Lagos,
Offer, the Board met $250 million investment ties faced by strug-
an offer to acquire geria. themed “Investing in Ni-
at a special meeting on geria’s Energy Future,” that will deliver a lot of gling MSMEs, who are
the 16th of November the majority stake in Distell Nigeria where Effiong Okon, the LPGs to the market.” already burdened by
2023 and resolved as Distell Wines from founded in 2018 has director of new energy Providing insights numerous challenges
follows: a) To recom- Heineken Beverages its headquarters in at Seplat Plc outlined into the company’s related to their operat-
mend to Shareholders (Holdings) Limited. Lagos. the company’s vision timeline, Okon an- ing conditions.
16 www.businessday.ng TUESDAY 21 NOVEMBER 2023

BUSINESS EVENT
COMPANIES & MARKETS
Aradel Holdings’ revenue surge
239% in nine months
has significantly boosted our symptomatic of the general
By Damilola Odifa crude oil and gas production. business environment. These
THE revenue of Aradel Hold- “This, coupled with an have, however, been offset
ings, an integrated energy increase in refined product by our increased operational
company in Nigeria, more output, has led to a year-on- performance and strong rev-
than tripled in the first nine year increase in our overall enue growth. I am delighted
months of 2023. production volumes. Our rev- to report that our profit after
According to the latest enue for the period increased tax increased by 170.1 percent
company’s financial state- by 238.8 percent, reflecting the during the period.
ments, its revenue rose by higher production, the com- “This significant increase
238.8 percent to N123.1 billion bined utilisation of the Trans in profitability, despite the
in the first nine months of this Niger Pipeline and the Al- higher depreciation and ex- L-R: Ijeoma Anadozie, country director, American Institute of Certified Public Accountants and Chartered
year from N36.3 billion in the ternative Crude Evacuation change losses, demonstrates Institute of Management Accountants (AICPA and CIMA); Oluwasanmi Giwa, student, Obafemi Awolowo
same period of 2022. channel, as well as improved the underlying strength of University, Ile Ife (OAU); Oluwafemi Ajogolo; and Faith Omodara, both student, OAU; and Japona Das,
“The first nine months revenues from the refinery,” our operations and the suc- one of the judges, during the presentation of cheque to the students as winners of the Chartered Global
have been a period of signifi- he added. cess of our growth strategy,” Management Accountants, Business Leader Challenge organised by AICPA and CIMA in selected Nigerian
cant progress and growth for According to Falade, the he added. Universities in Lagos.
our company, despite the chal- growth in revenue is a testa- The company’s profit
lenging macro-economic envi- ment to the effectiveness of also rose by 170.1 percent to
ronment,” Adegbite Falade, our strategic initiatives allied N19.2 billion from N7.1 bil-
chief executive officer/MD at with the company’s focus on lion. And total assets grew by
Aradel Holdings, said. execution. 70.1 percent to N805.1 billion,
He said the company com- “We also experienced ex- driven by property/equip-
menced production in two change losses due to foreign ment acquisition, investment
new wells (Well-12 and Well- exchange volatility and a for- in associate assets, as well as
13) during the period, which mal devaluation of the naira, financial assets.

Afriland Properties CEO advocates real

estate diversification for stability
By Modestus Anaesoronye takers would come, but pres- trust among stakeholders,
ently, this is not the case, so attracts ethical investors,
UZO Oshogwe, managing before making a substantial and bolsters lasting value. It
director/CEO of Afriland investment, assess the mar- is not merely about erecting L-R: Trevor Akindele, board chairman, Amazon Energy Group; Folakemi Ani-Mumuney, global head,
Properties Plc, a leading in- ket and target your market. buildings but leaving endur- marketing and corporate communications, First Bank Limited; Kola Oyeneyin, CEO, Opportunik Global
digenous real estate company, A thorough assessment is ing legacies.” She stated. Fund; Topsy Kola-Oyeneyin, partner, McKinsey and Company and author, Unleash; Akin Fanimokun,
has advocated for real estate essential to identify the exact She urged the government non-executive director, First Bank Nigeria plc; Jumoke Oduwole, special adviser to the president on Presi-
investors to prioritize port- need your development aims to create a conducive envi- dential Enabling Business Environment Council and Investment, at the launch of Topsy Kola-Oyeneyin’s
folio diversification as a key to fulfil.” ronment for both developers book, UNLEASH, in Lagos.
risk management strategy. The Afriland Chief Ex- and off-takers, proposing
Oshogwe who made the ecutive also pointed out the policies that enhance market
remark at a Real Estate Sum- importance of sustainable stability and foster growth.
mit held recently in Lagos be- development practices and Oshogwe expressed her belief
lieves this will help operators Environmental, Social, and that implementing support-
spread risk and stabilize in- Governance (ESG) reporting ive policies would increase
vestments amidst economic in the real estate sector, stress- the real estate industry’s
challenges. ing that sustainability is no contribution to the Country’s
Oshogwe also under- longer optional, it is vital. GDP.
scored the need for real estate “ESG reporting signifies Afriland Properties CEO
investors to explore opportu- accountability and forward- assured the company’s cli-
nities that cater to the real thinking. Adopting these ents that it would continue
needs of their customers and practices demonstrates a to deliver world-class real
to adopt a more measured commitment to responsible estate offerings, setting the
approach to developing pro- growth, enhancing project standard in building efficien-
jects. She said, “In the past, value and community im- cy and providing exceptional
you could build, sit back, and pact. It also improves a de- service that yields unparal-
comfortably assume that off- veloper’s reputation, fosters leled results.

Heirs General Insurance offers gift promos

to drive motor insurance
By Modstus Anaesoronye tomers and Nigerians face ance penetration, and get a L-R: Onyinye Oguamah, company secretary, Global Spectrum Energy Services plc; Osahon Idemudia,
daily. The “Heirs General larger percentage of Nigeri- chairman; and Colm Doyle, MD, during the annual general meeting of the company in Lagos.
HEIRS General Insurance, Insurance Subsidy Promo” ans to take advantage of the
the non-life arm of the Heirs is our way of identifying numerous opportunities
Insurance Group has an- with our teaming customers offered by Insurance to
nounced the Motor Insur- by easing the financial bur- individuals and corporate
ance promotion of the year den associated with rising entities”
tagged “Heirs General In- costs of living in Nigeria, With this offer, custom-
surance Subsidy Promo”, especially as it relates to ers who purchase or renew
which set out to reward fuel purchases. As a respon- their Third-party motor
customers who purchase or sible organization, we are insurance plan from Heirs
renew their Comprehensive excited to reward our loyal General Insurance will
or Third-Party motor insur- customers and welcome receive an N1,000 airtime
ance. new ones with valuable voucher and automati-
Customers will have the incentives while ensuring cally qualify for a chance
chance to win a N100,000 their peace of mind on the to win one of the 25 avail-
fuel voucher as well as other road.” able N100,000 fuel vouchers
instant prizes such as; air- She further said “At available during draws.
time and shopping vouchers Heirs Insurance Group, we Similarly, customers
as the s Subsidy Promo will are on a mission to make who purchase or renew
run till Sunday, December insurance simple and make their comprehensive motor
31, 2023. insurance a lifestyle for insurance plans from Heirs
Speaking on the new pro- every Nigerian. This promo General Insurance will re-
motion, Ifesinachi Okpagu, presents an opportunity ceive an N3,000 shopping
chief marketing officer, to support the insurance voucher and become eligible
Heirs Insurance Group, industry stakeholders in to enter the raffle draw for L-R: Ramon Pardo, CEO, Jabones Pardo; Reuben Pardo, export manager, Jabones Pardo/4th Generation
shared her excitement say- their bid to create aware- a chance to win one of the Pardo; Dan Nwaiwu, general manager, Evans Industries Limited; and chairman/CEO, Evans Industries Lim-
ing; “we understand the eco- ness, increase insurance twenty-five (25) N100,000 ited, a member of Ekulo Group of Companies, Emma Bishop Okonkwo, displaying Idole soap made locally
nomic challenges our cus- inclusivity, deepen insur- fuel vouchers. by Evans Industries Limited, at the unveiling of the modern technology production facility, in Lagos, recently.
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 17

Airtel’s Smartcash hits 20m accounts

as telco increase 5G investment
By Frank Eleanya in the market when it not affect any of these,
comes to sorting utility especially because the
bills on our payment deployment is prioritised
AIRTEL Africa’s fintech
service app,” Osiobe said. based on used cases and
unit in Nigeria, Smartcash
Ismail Adeshina, the need,” Adeshina said.
Payment Service Bank
Airtel Nigeria Director The company is also
(PSB) now has 20 million
of Marketing, said the looking to provide data
accounts across the
5G infrastructure and cloud management
country which boosts its
investment would include solutions to both SMEs
position as a major player
towers, base stations, and government agencies.
in the digital banking
and spectrum licences, “Airtel realised that
landscape in Nigeria.
providing widespread 5G the buying behavior of the
The company made
coverage across Nigeria. private sector is different
the disclosure at a Media
“We are actively from the public sector,
Roundtable Artel hosted
collaborating with so this year, we created a
in Lagos. Judith Osiobe,
technology partners, special public sector event
head of B2B Sales,
device manufacturers, to showcase how their
Smartcash PSB who
and local businesses various parastatals can
provided the data does not
to explore and develop be upgraded to become
however say how many of Head, Public Relations, Airtel Nigeria, Sam Adeoye; Head, B2B Sales, Smartcash PSB, Judith Osiobe; innovative 5G use cases. more reliable. It was
those accounts are active Marketing Director, Airtel Nigeria, Ismail Adeshina; Director, Airtel Business, Ogo Ofomata; and Direc- Such as IoT applications important to showcase
wallets. tor, Corporate Communications and CSR, Airtel Nigeria, Femi Adeniran; during Airtel Nigeria Media and smart city solutions,” to the public sector how
The telco’s investment Roundtable at Radisson Hotel, Ikeja, on Thursday, 16th November 2023.
Adeshina said.
in 5G network services their bulky data could be
He noted that Airtel will
has also increased which began operations Remittance Service that downloading the app well managed. We had
consider refarming old
significantly. The number in August 2022, recently offers competitive tariffs to activate an account. about 46 government
licences as it progresses
of 5G sites owned by the launched an international compared to traditional Smartcash is here to stay, agencies represented,
in the 5G market. The
company is over 250 in remittance service with means. Customers can and we are changing lives to show that we were
telco’s investment in 5G
2023 and there are plans the aim of ensuring simply activate this and making financial listening to the needs of
will however not affect
to keep adding more sites financial inclusion on a service by opening an services accessible for the government on the
its 4G services. Adeshina
to include cities outside global scale. account with an existing everyone. We are also digitisation agenda,” said
said every Airtel site is a
Lagos and Abuja. “We recently mobile number by proud to say that we have Ogo Ofomata, director,
2G, 3G, and 4G site.
Osiobe said Smartcash, launched the Smartcash simply dialing *939# or the best and cheapest rate Airtel Business.
“5G deployment will

Ubuntu Tribe eyes African capital markets with tokenised gold assets
By Frank Eleanya digital certificate of gold markets by introducing forging partnerships, Technology Officer (CTO), of GIFT will give many
ownership. According to natural mineral-tokenised and showcasing the said the blockchain- people the opportunity
UBUNTU Tribe is set to the company, the wallet assets. Mined sustainably transformative potential powered solutions provide to keep the value of their
launch the Utribe Wallet will redefine wealth and made secure and of regenerative finance. access to natural assets but wealth without having to
and GIFT Token in management, providing accessible to all, these Ubuntu Tribe is not just also adhere to the highest buy $ which puts negative
partnership with RED secure and transparent assets aim to usher in a new an event; it’s a movement standards of security and pressure on our Naira.
Media and DLM Capital access to GIFT which era of wealth security and “We are thrilled to be
toward shared prosperity, transparency.
Group. The products part of this transformative
is backed by LBMA- increased opportunities financial inclusion, and “Ubuntu Tribe initiative with Ubuntu
will be available to users approved, insured, for individuals and nations a sustainable economic is shaping a future Tribe. RED Media is
in Lagos, Nigeria from audited, and physically alike, according to Ubuntu future. Join us in Lagos where technology committed to sustainable
Saturday, November 18 secured gold in world- Tribe. and Nairobi as we embark aligns seamlessly development, and this
and Nairobi, Kenya from class vaults situated “As we bring our on this empowering with environmental partnership aligns
Monday, November 20, across Europe, the Middle innovative platform to journey together,” said responsibility,” Lienhard perfectly with our vision
2023. East, Switzerland, and these vibrant African Mamadou Toure, CEO of said. for a prosperous and
The Utribe Wallet Southeast Asia. cities, we look forward Ubuntu. Sonnie Babatunde Ayre, inclusive Africa,” Ayodeji
gives users access to The product is expected to engaging with the Oliver Lienhard, CEO of DLM Capital Group Razaq, CEO of RED Africa,
GIFT, a 1.1 gold-backed to strengthen capital local communities, Ubuntu Tribe’s Chief noted that the launch said.
18 www.businessday.ng TUESDAY 21 NOVEMBER 2023

9 DECEMBER 2 023 | 6PM

LAGOS CONTINENTAL HOTEL

OVERVIEW
The BusinessDay Nigerian Business Leadership Awards recognises remarkable business leaders and
outstanding organizations in Nigeria’s real sector for their sustained commitment to excellence in
enterprise.
The Awards honour private sector leaders who have:
• Made significant contributions to the Nigerian economy through jobs creation, national development
and fostering of international trade
• Shaped the Nigerian economy through major strides in home-grown innovation and opening new vistas
of opportunity.
• Demonstrated visionary capacity and nationalism through their inward investments, thereby pushing
Nigeria’s rise in global competitiveness rankings.

Sponsorship and partnership inquiries

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TUESDAY 21 NOVEMBER 2023 www.businessday.ng 19

MARKETING
Brandlife consolidates business
2024: Make or break year for in Nigeria with recognitions

businesses, says Lanre Adisa

ONE of the first-genera- members and for assem-
tion activation agencies bling some of the biggest
in Nigeria, Brandlife Lim- names of the players
ited has won the Experi- in Nigeria’s marketing
ential Marketing Agency profession.
By Daniel Obi is the optimism of business gest economy in Africa, are serious political campaigns
of the Year award at the According to the ju-
community as ”Nobody we deliberate about lever- either due to lack of trust
NEXT year, 2024 will be a 2023 Nigerian Market- rors at the award, Bran-
will wait for Abuja to do aging the opportunities in in communication or lack
make or break year for both ing Awards. The agency dlife won the award be-
things”. He acknowledged African Continental Free of ideas to motivate and
public and private sectors clinched the award barely cause of its empirical
the difficulty this will pose Trade Agreement, ACFTA inspire people.
in Nigeria, Lanre Adisa, two years after winning experiential solutions,
to some businesses. and maximising opportuni- Unlike in other climes
Group CEO of Noah’s Ark, various awards at the which have over the
Advocating for expan- ties in the agreement”. where events such as Sport-
a marketing communica- Experiential Marketing years impacted signifi-
sion of the economy for According to him, other ing event, Olympic or elec-
tion agency has said. Association of Nigeria cantly on local and inter-
benefit of business opera- countries are taking inten- tions pump money into the
Assessing the business (EXMAN) award. The national brands.
tors, Adisa whose agency tional steps with deliberate system, he said marketing
landscape, he said busi- awards, coincides with The Jurors said that
has won many creative actions to take advantage of communication industry
nesses have been fending the agency’s 15 years an- “Brandlife emerged win-
awards, challenged the the ACFTA. did not really benefit from
for themselves which is niversary. ner in the Experiential
Federal Government to Assessing business the last elections. “Market-
really tough for them. The Nigerian Market- of the Year category for
wake up and be deliberate this year, he said that the ing communication just
In a chat with Business- ing Awards, which seeks
with policies that will grow marketing communica- like other sectors have suf- its outstanding contribu-
Day at the 2023 Lagos Ideas to recognize, reward, and
Nigeria’s economy and tion industry expected to fered from the challenges tions to the experiential
Festival, LAif awards last celebrate outstanding
give operators advantage. reap from advertising cam- of the economy”, he said. marketing sub-sector of
weekend in Lagos, Adisa brands and organisations
For instance, he said paigns from the 2023 elec- During the 18th laif the marketing industry.
said what will win in 2024 in Nigeria, is the first and
“When we say we are big- tions, but said there were no In the year under re-
only award institution in
the country that carries view, Brandlife painstak-
the seal of Awards Trust ingly and innovatively
Mark accreditation. set standards and churned
Among other attributes, out outstanding cam-
the NMA is regarded in paigns that positively im-
the market as a global pacted the growth of Nige-
recognition award in- rian brands and contrib-
stitution, recognised uted meaningfully to the
for its prestigious jury growth of the economy.”

Awosika, Akingbade, Adenuga

join Brandcom Hall of Fame
By Daniel Obi and Adenuga were in-
ducted for their enormous
THREE communication contribution to the growth
personalities, Jimi Awo- of advertising, Brand Mar-
sika, Bola Akingbade, and keting, and The Media in
Wale Adenuga have been Nigeria.
inducted into the Brand- Awosika is the Manag-
com Hall of Fame. The ing Director of Troyka,
L-R: Akintunde Oyebode , Commissioner of Finance and Economic Development, Ekiti State; Abiodun Abayomi Oyebanji, Ekiti State Governor;
Hall of Fame Induction is with over four decades of
Bruno Gruwez , CEO of Promasidor Nigeria Limited; and Andrew Enahoro, Promasidor’s Corporate Affairs Director and Chairman of Ikun Dairy part of the yearly Brand- experience in advertising
Farm Limited during a courtesy visit by Promasidor management to Ekiti State governor in Ado-Ekiti, Ekiti State recently. com Awards organized by and marketing communi-
Nigeria’s leading brands cations.
and marketing publication, The former Chief Mar-
Brand Communicator. keting Officer of MTN, Bola

Experts set to explore issues affecting The three legends have

joined the other top-notch
brand warriors such as
Akingbade, is a marketing
guru, corporate leader,
and strategist who has tra-

quality profession next week Steve Omojafor, Chair-

man of STB McCann and
former Chairman of Zenith
versed the sub-Saharan
marketing space with enor-
mous footprints that have
ebrating World Quality Week, conference of AQW will bring Special Guests to grace Bank; Iquo Ukoh, CEO of become reference points in
By Daniel Obi
is organised by The Africa together Leaders and Quality the event includes, accord- Entod Marketing Ltd, Bio- the marketing landscape.
QUALITY management ex-
Quality Academy with the Professionals to explore three ing to the statement include: dun Shobanjo, Chairman, He was represented by his
perts will converge on Lagos
theme: Quality : “Realizing key topics affecting the Qual- Mallam Farouk A. Salim, Troyka Group, Udeme Ufot, brother Wale Akingbade.
Your Competitive Potential ity Profession: Competitive- DG, Standard Organization Group Managing Director
next week during the Africa Wale Adenuga, the
“ which will take place at the ness, People and Innovation”. of SO&U and many others.
Quality Week to discuss is- of Nigeria; Jaques Snyders, founder and Chairman of
Muson Centre, Lagos state According to a statement, Awosika, Akingbade
sues around quality in or- MD, South African Qual- the popular WAP TV.
from 27th-30th, November activities for the week in-
ganisations. The forum will ity Institute; Doris Uzoka-
The organisers said that clude: the conference, walk
also create more awareness Anite, Minister of Industry,
AQW is a campaign that rais- 4 quality road show, confer-
on the role and influence Trade and Investment, Ni-
of Quality Management to
es management profession
and focus on the theme of
ment of honorary fellowship,
geria; Baboucarr Ousmaila
Leadership: Acumen West Africa
Organizations, Nations and Africa quality week exhibi-
Individuals.
realizing operators competi-
tive potentials. “This year’s
tion and Africa quality excel- Joof, Minister of Trade and inducts fellows for equitable society
The forum, as part of cel- lence awards. Investment, Gambia.
By Daniel Obi bia and Sierra Leone
At the event held recent-

ICSAN inaugurates first northern Nigeria chapter TO build and develop moral
and socially conscious lead-
ers working towards equi-
ly in Lagos, Moyin Okubor,
the Manager for Acumen
Academy in West Africa,
CHARTERED Secretaries the country. Lagos, Abuja, Port Hacourt , Service, Kaduna State Gov- table society, Acumen West emphasized the significance
and Administrators of Nige- Nkechi Onyenso, Chair- Uyo , Benin , Enugu among ernment. The Special Guests Africa has inducted its 2023 of the program in the re-
ria, ICSAN has inaugurated man of the Committee on other states. of Honour were Mukhtar Ra- Fellows from across West gion, stating “Acumen is
its first Northern Nigeria Publicity and Advocacy said The occasion also wit- malan Yero former Governor, Africa into the Foundry dedicated to nurturing and
chapter in Kaduna. in the statement that the inau- nessed the investiture of Kaduna State and Auditor equipping leaders with the
Community - Acumen Acad-
This inauguration, accord- guration is the first in many the Pioneer Chairman of General, Kaduna State.
emy’s alumni network. tools, knowledge and mind-
ing to a statement was a fulfil- to come during the presidency the Kaduna State Chapter ICSAN is a professional
ment of Funmi Ekundayo, A statement said the new set needed, as they tackle
of Funmi Ekundayo, the 29th – Alhaji Tijjani Moham- body in Nigeria dedicated
ICSAN President’s promise to and first female president of med, the statement said to enhancing the status and cohorts from Nigeria, Gha- some of the most pressing
make ICSAN a true national the Institute. while the Chairman of the practice of Corporate Govern- na, Liberia, The Gambia socio-economic challenges
association with presence in The event was hybrid with occasion was Hajiya Ha- ance and Public Administra- and Sierra Leone Nigeria, within their respective com-
all the geo political zones in stakeholders joining from biba Shekarau, the Head of tion. Ghana, Liberia, The Gam- munities.
20 www.businessday.ng TUESDAY 21 NOVEMBER 2023

BD TECH In association with

Cybervergent’s technological evolution

to spur Nigeria’s cybersecurity sector
By Anthony Udugba vulnerabilities, and emerging
threats daily, incorporating
IN the heart of Nigeria, the these insights into the solutions
most populous black nation, a and services offered to our cli-
compelling narrative unfolds ents.”
as the country grapples with the Additionally, he said the com-
reputation of holding the second- pany shares industry-specific
highest number of cyberattacks threat intel advisories to keep
in Africa. Amidst this challenge, stakeholders informed about
a beacon of progress emerges current and anticipated cyber-
with Cybervergent, a cyberse- security challenges. This holis-
curity company, spearheading tic approach underscores the
technological evolution to trans- company’s dedication to actively
form the cybersecurity sector. protecting clients and contribut-
Recognizing the critical ing to the broader cybersecurity
juncture where businesses em- resilience in Nigeria.
brace digital transformation, In the rapidly evolving land-
Cybervergent positions itself scape of digital transformation,
as a catalyst, showcasing that businesses are recognising the
cybersecurity not only defends pivotal role of cybersecurity
against threats but serves as a not only as a defensive measure
powerful enabler for innova- but as a strategic asset enabling
tion in the ever-evolving digital innovation. This paradigm shift
landscape. the continent, starting from Ni- the news, people actually leave is evident in the proactive and
Adetokunbo Omotosho, Chief geria, Africa’s largest economy,” there to come and join on train- adaptive solutions offered by
Executive Officer and Co-found- Omotosho said. ing academy so you’ll see people Cybervergent, designed to align
er, Cybervergent hosted press- Cybervergent technology The award, which who have attended the training with the dynamic needs of mod-
men at the headquarters of
Cybervergent situated in Yaba,
ensures seamless integration,
allowing organisations to pro-
is a measurement academy for one year, they will
still come and join our own six
ern enterprises.
By automating the fortifica-
the birthplace of tech hubs in actively protect their networks, of an organisation’s month intensive training acad- tion of cyber defenses, Cyberver-
Lagos. In the round table meet- data, and applications from mali- emy as well.” gent contributes to the overall
ing Omotosho said that in 2022, cious intrusions. Trust Index score, The cybersecurity sector, resilience of their clients, em-
the Nigerian financial sector “We are setting a new stand- underscores our being ahead of current trends is powering them to explore new
business models and maintain
recorded financial losses worth ard in the cybersecurity space paramount, in response to that
more than N2 trillion to cyber- with our advanced automated commitment to our Omotosho said, “To stay ahead in competitiveness in the digital
realm.
security breaches hence, the
urgent need for the Nigerian
platform leveraging artificial
intelligence and machine learn-
employees as they the dynamic cybersecurity land-
scape in Nigeria, Cybervergent Moreover, the significance of
business community to build a ing algorithms. This innovative remain a key driver of employs a dual strategy. Firstly, cybersecurity extends beyond
robust cybersecurity solution approach empowers businesses our commitment to knowledge individual businesses to encom-
and resilience to manage future to fortify their digital assets, our successes enhancement is evident through pass critical national infrastruc-
losses. detect real-time threats, and re- a structured training plan for ture. Cybervergent emphasises
A tour around the worksta- spond swiftly to evolving cyber every team member, ensuring the fundamental role cyberse-
tion of Cybervergent headquar- breaches.” continuous updates on cyberse- curity plays in securing vital
ters saw a vibrant workspace to The rebranding to Cyberver- ing employee experience. “The curity, with performance met- components like power grids,
create a conducive environment gent, according to the company, award, which is a measurement rics as indicators. Notably, our communication networks, and
for young workers, a state-of- signifies a transformative jour- of an organisation’s Trust Index focus extends to cutting-edge financial systems. The potential
the-art Digital forensic lab, ney from advisory services to a score, underscores our commit- technologies like AI and machine consequences of cyber-attacks on
a Security Operation Centre technology powerhouse with a ment to our employees as they learning.” these infrastructures underscore
and so on to meet their clients’ specialised focus on cybersecuri- remain a key driver of our suc- For the second part he said the close connection between
security needs by pioneering ty enhanced to provide tailored, cesses,” Omotosho said. a proactive approach involves cybersecurity and a nation’s
Africa’s cybersecurity through automated solutions addressing In terms of retainment and leveraging a sophisticated threat stability and economic health.
innovation, automation, and all- the unique challenges faced by training Omotosho said the com- intelligence app in their Op- The call for collaboration
encompassing scaled solutions. modern businesses. pany has one of the best training erations Centre. “This tool ag- between the public and private
“For us, Cybervergent rep- The company was certified facilities in the cybersecurity gregates threat feeds from cli- sectors, constant monitoring
resents the convergence of cut- in the Platinum category by the space in Nigeria. “we have one ents across various industries, of threats, and investment in
ting-edge technology, visionary Great Place to Work Institute of the best training academies providing a comprehensive view robust cybersecurity measures
leadership, and our resolute following the completion of a in the cybersecurity space so of global and local cybersecurity emerges as a strategic impera-
commitment to safeguarding full assessment of their work if you see a lot of the training landscapes. By distilling this tive for organisational prosper-
businesses in the digital age on environment and outstand- academies in cybersecurity on information, we identify trends, ity and national well-being.
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 21

TRANSPORT
Here are top 20 fastest-selling used cars in 2023
By Amaka Anagor-Ewuzie days to sell to 50 days over
the past year. Used EVs are
ALL over the world, the selling even slower, shift-
used car market has grown ing from an average of 26.4
big as it has become a neces- days a year ago to 57.8 days
sity that aids the majority now, a 120 percent increase.
of the world population to These EVs are selling slow-
fulfil their mobility needs er despite major price drops
largely due to its affordabil- over the past year.
ity compared to new cars. “The good news for elec-
In Nigeria, for instance, tric vehicle buyers is that
over 90 percent of the cars EVs are both cheaper and
sold and bought are used harder to sell in 2023, put-
cars such that the market ting pressure on automak-
has been divided into for- ers and dealers to move
eign used cars popularly them in a market that ap-
known as tokubo and Nige- pears to have lost interest,”
rian used car market. said Brauer.
Overall used car sales According to Brauer,
are faster by 6.1 percent, “Both new and used EVs
but the average new car is are taking more than 50
selling 25.7 percent slower, days to sell on average,
according to a new study by meaning it takes more than
iSeeCars.com. twice as long for dealers to
The study ranked the find EV buyers compared to
Honda HR-V as the fastest- da Insight ranked sixth Honda Pilot, Chevrolet The growth of the used Now there are plenty of a year ago.”
selling used car with an with an average selling day C o rv e tte, Ac ura M DX, car market is being driven new cars on dealer lots, but “It’s interesting that
average selling day of 34.4 of 38.3. Honda Accord, Cadillac by the fact that consumers consumers aren’t rushing used cars, overall, are sell-
while Acura ILX is rated Honda CR-V and Honda Escalade, ESV and Toyota still need to replace their out to buy them. The new ing 6.1 percent faster than
as the second fastest-selling Civic were ranked seventh 4Runner. ageing vehicles with more car average time-to-sale is a year ago, but the most
used car with an average and eighth fastest-selling With nine Hondas and recent used cars, and many down by more than 25 per- popular models are selling
selling day of 35.3. used cars with an average five Toyotas ranked in the have been waiting for lower cent even as used cars are 26 percent slower,” said
Toyota Highlander Hy- selling day of 38.5 and 38.8 top 20 fastest selling used prices since the pandemic selling 6.1 percent faster. Brauer.
brid ranked as the third respectively. cars, it has become clear drove costs up three years This shows that buyers are Brauer said it suggests
fastest-selling used car Toyota C-HR and Toyota that used car shoppers are ago. continuing to seek value that consumers are con-
with an average selling Sienna hybrid ranked ninth seeking trusted brands with iSeeCars predicted that in the used car market – sidering a wider range of
day of 36.6 while Acura RDX and tenth fastest-selling a reputation for quality and demand should stay strong despite a wide range of used cars and seeking the
ranked the fourth with an used cars with average reliability. for used cars as prices slow- new car options,” said Karl best value wherever they
average of 36.8. selling days of 38.9 and 39.1 The report further re- ly drop over the next six to Braue, executive analyst at can find it.
Hyundai Venue ranked respectively. vealed that lower used car 12 months. iSeeCars. “Essentially, the strong
as the fifth fastest-selling Others include Toyota prices and faster sales indi- “Used car prices were Electric vehicle sales grip previously held by
used car with an average Tundra, GMC Yukon, Kia cate ongoing interest in used initially driven up by a have slowed to a crawl, with popular used models is
selling day of 38 while Hon- Telluride, Acura TLX, cars as prices moderate. lack of new car inventory. new EVs moving from 25.2 loosening,” Brauer added.

5 car engines built by Yamaha Motor Company

By Amaka Anagor-Ewuzie ispherical combustion developed Ford engine, steel connecting rods, re- gree V8 that powered the a high-flow fuel injection
chambers, electronic fuel the larger SHO V8, which designed pistons, and an first-generation XC90 and system and twin turbos,
DESPITE its specialisa- injection, two valves per succeeded the V6 under advanced multi-point fuel second-generation of S80 output was pushed to an
tion in the motorcycling cylinder, twin spark plugs, the hood of the third-gen- injection system (VVTL-i) Volvo models. impressive 650 hp and 604
market, the Yamaha Motor and swirl intake ports eration Taurus SHO. similar to Honda’s VTEC. Officially, it was entire- lb-ft of torque.
Company has also helped for improved efficiency. Toyota 2ZZ-GE Able to race past the ly designed by the Swedish Toyota 1LR-GUE
some auto companies to At the time of its release, Another engine that 7,500 RPM mark, the four- carmaker, which enlisted During the 2000s, Toy-
develop some terrific en- it was one of the most Yamaha helped Toyota de- cylinder powered several Yamaha to help manufac- ota decided to build the
gines. over-engineered, mass- velop is the 2ZZ-GE. In the performance versions of ture it. most spectacular supercar
Known for developing produced four-cylinders, late 1990s when the Japa- Toyota models like the However, since its bore to ever come out of Japan
some of the greatest mo- and it is still revered for nese carmaker wanted Corolla and Celica, the centres, stroke, bearing and market it under its
torcycles ever produced, its bombproof reliability. to design a performance- first-gen Pontiac Vibe, and journal diameters, and premium Lexus brand.
the Japanese company also It was used by perfor- oriented version of its ZZ three Lotus models (Elise, deck height were the same One of the project’s
branched out to the auto- mance versions of the Cel- straight-four, it tasked Exige, and 2-Eleven). as the Ford SHO V8, it’s goals was to give the car
motive industry and helped ica, Carina, and Corona. Yamaha with developing Volvo B8444S safe to assume that Yama- an F1-inspired V10 heart,
to design and manufacture Ford SHO V6 the new motor’s cylinder The B8444S was another ha did more than just build and, of course, the task was
many car engines, some of Another car engine that head, and the 2ZZ-GE was auto engine that was built the engine. handed down to Yamaha.
which include. was built by Yamaha Mo- born. by Yamaha Motor Com- This engine was also Codenamed 1LR-GUE, the
Toyota 3T-GTE tor Company was Ford An all-aluminium with pany. Produced from 2005 used in the Noble M600, engine was fabricated us-
Yamaha and Toyota en- SHO V6. In the 1980s, Ford a displacement of 1.8 litres, to 2010, the B8444S was an exquisite hand built ing aluminium, magne-
joyed a long collaboration was already working on the engine featured forged an all-aluminium, 60-de- British sports car. With sium, and titanium alloys.
that led to the development a V6 codenamed Vulcan, It featured a forged
of many great engines for but its engineers couldn’t crankshaft, titanium con-
the automaker, including make it compact and pow- rods, forged pistons de-
the carmaker’s first pro- erful enough. signed to withstand the
duction V8 known as the Fully engineered and 12:1 compression ratio,
Toyota Hemi and its only assembled in Japan, the and 10 independent throt-
production V10. SHO (Super High Out- tle bodies.
One of the most innova- put) was loosely based on The magnesium valve
tive Toyota straight-fours the Vulcan, but thanks to covers hid titanium rods
produced with Yamaha’s Yamaha, it became a lot and valves, ultra-light
help is the 3T-GTE. more high-tech. solid rockers, and a dual-
Based on the architec- The SHO V6 powered VVTi system.
ture of the regular 3T unit the 1989 -1995 Ford Taurus To this day, it remains
introduced in 1977, the 3T- SHO, one of the era’s most the only production V10
GTE was Japan’s first tur- underrated high-perfor- from Japan and the most
bocharged DOHC engine. mance sedans. spectacular engine ever
First released in 1982, This successful project developed in the land of
the 1.8-litre featured hem- led to another Yamaha- the rising sun.
22 www.businessday.ng TUESDAY 21 NOVEMBER 2023

Harvard
Business MANAGEMENT DIGEST
Review

Narrow the gap between company

and employee purpose
By Isaac H. Smith and Maryam
Kouchak

PURPOSE is fundamental
— not just for corporations
but for individuals. While
many major companies, like
Google and Chevron, promi-
nently feature their mission
to emphasize the impor-
tance of corporate purpose,
the personal purpose of each
employee is often underap-
preciated.
It is important for organi-
zations to narrow the gap be-
tween company and employ-
ee purpose, seeking what we
call purpose congruence.
But that’s not to say you
should impose your corpo-
rate purpose on unassum-
ing employees, like a parent
forcing a child to eat their
vegetables. Doing so can
lead to forced homogeneity,
which can increase group-
think and limit innovation
and diversity. Rather, pur-
pose congruence is about
fostering a work environ-
ment where an employee’s identify and refine their per- FACILITATE PURPOSE connections between daily
personal purpose and the suit of individual employee sonal purpose, encourage INTEGRATION responsibilities and the
company’s purpose can co- purpose at work, as well as them to share their purpose For any employment rela- purpose-driven impact em-
exist, often reinforcing each cultivating a stronger sense with colleagues, leaders and tionship to survive, both em- ployees want to make.
other. of purpose congruence. subordinates. Doing so can ployer and employee must
To achieve purpose con- Here are four recommen- help employees with simi- derive some mutual ben- ESTABLISH PURPOSE
gruence, employees should dations for a more personal- lar goals and motivations efit. Employees need to help REMINDERS
be allowed to make the com- ized approach to purpose in to connect, improving col- their company fulfill its pur- Ultimately, purpose mat-
pany purpose their own — to your organization: laboration. Making purpose- pose, and the company can ters most when it is top of
have a say in how they weave driven preferences known help employees fulfill their mind and reflected upon.
it into their daily tasks and ENABLE PURPOSE DIS- might also lead to opportuni- unique purposes as well. Try to find ways of remind-
integrate it with their in- COVERY ties and work assignments The magic happens when ing employees of their and
dividual purpose. But they During recruitment, that are a good or better fit. employees are able to inte- your company’s purpose
should also feel supported in throughout the selection Purpose sharing can hap- grate the company purpose and give them the space and
pursuing their own personal process, and especially when pen informally, of course, into their own. To facilitate time to reflect. Such remind-
purpose, without the broad onboarding, clearly signal to but you might also consider such purpose congruence, ers can be formally built
company purpose being a your new hires that you are having small-group work- in addition to just hiring the into performance reviews,
hindrance. Purpose con- committed to supporting shops or team-building exer- right people, you can work goal-setting processes, team
gruence thus paradoxically their personal purpose in cises where team members with your employees to co- meetings, mentoring con-
requires both an increased joining your organization. within and across depart- design or co-refine their job versations and after-event
focus on alignment (between In addition to explicit state- ments can engage with col- in a way that both personal- reviews. When setting goals
company and personal pur- ments saying as much, give leagues to understand their izes the company purpose or making important de-
pose) and diversity (empow- them sufficient time and perspectives on the compa- to their specific duties and cisions, for example, help
ering individual employees autonomy to reflect on their ny’s purpose and their per- allows them to pursue their your employees consider
to pursue their own sense of personal purpose, and how it sonal purpose, and discuss individual employee pur- how goals and decisions
purpose). To the extent that may connect to the company how they can all be more pose as well. align with their values and
an individual employee’s purpose. During interviews, purposeful in their everyday Such co-refinement of a purpose. As employees re-
purpose is compatible with you might spend some time jobs. Additionally, you can job might start with a simple member and reflect upon
the company’s purpose, the discussing what they want make discussions about per- conversation about how an their personalized purpose
needs of both parties can be to get out of their job — but sonal purpose at work a rou- employee’s tasks on a given at work, they will be more
met, and both can thrive. dig deeper to get past their tine part of conversations project align with their per- motivated, more productive
We therefore suggest that, rehearsed responses. In ini- between employees and sonal purpose, as well as and more fulfilled.
in addition to clearly articu- tial training exercises, you their mentors, and a formal project objectives. Activities
lating a meaningful com- might give them time to re- topic addressed in regular that have high impact and
pany purpose (something flect on how their particular performance review meet- contribute to an employee’s
many organizations already job can provide a personal ings with managers. Critical personal purpose can be
do), there is a huge oppor- sense of purpose in their to these efforts, however, is identified and prioritized. Isaac H. Smith is an associate
tunity to help employees lives. Help them be thought- an underlying belief that the In short, managers and em- professor of organizational be-
better personalize purpose ful about it. organization is truly com- ployees can work together havior and human resources at
into their daily activities. BYU Marriott School of Busi-
mitted to helping employ- to integrate both personal ness. Maryam Kouchaki is a
Organizations can be more ENCOURAGE PURPOSE ees pursue their individual and company purpose into
thoughtful and deliberate professor of management and
SHARING sense of purpose. everyday aspects of the organizations at the Kellogg
about facilitating the pur- As individual employees job, looking for authentic School of Management.
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 23

PROPERTY&LIFESTYLE
Dangiwa outlines lessons Kaduna
priorities of government
underline the priorities of the
Federal Ministry of Housing
and Urban Development over
the next four years through a

model holds for other Nigerian states

reform of federal housing in-
stitutions such as the Federal
Housing Authority (FHA),
Family Home Funds (FHF)
and the Federal Mortgage
Bank of Nigeria (FMBN) to

… Plans federal housing institutions, land reforms

By Chuka Uroko enhance efficiency and capac-
ity,” the minister said.
THE minister of housing and Continuing, he said, there
urban development, Ahmed Model Mortgage Foreclosure risen tremendously at over was plan to establish a Na-
Dangiwa, has outlined some Law (MMFL), pointing out that N44billion per annum. The tional Social Housing Fund
lessons which Kaduna State the state now has a functional state has been in the top 10 to cater to the housing needs
government’s housing and state mortgage and foreclosure revenue generating states in of people without income,
land administration model authority that coordinates and Nigeria and first among the homeless and vulnerable
holds for other states of the promotes housing invest- northern states,” Dangiwa groups; a review of the Land
federation and the federal ments and mortgage develop- said, adding, “Kaduna has Use Act (1978) to streamline
capital territory (FCT), Abuja. ment activities as stipulated in made all this possible despite access to land and establish-
Dangiwa also revealed the foreclosure law. the lack of amendments to the ment of a robust mortgage
plans by his ministry to im- “On housing supply side, Land Use Act. It is, therefore registry to facilitate property
plement the vision of the Kaduna has implemented no wonder that it has become transactions and increased
federal government on hous- reforms in land administra- a destination for foreign di- home ownership;
ing which includes a compre- tion, titling and registration rect investment.” The minister added that
hensive reform of the federal and offered fiscal incentives, “I am particularly im- there was also plan to in-
housing institutions along among others. The state has pressed by the state’s Qatar crease housing supply; es-
with a review of the obsolete digitized land administration Sanabil Project, which aims to tablishment of private sector-
Land Use Act in order to through the Kaduna Geo- deliver about 500,000 housing led local building materials
streamline access to land. graphic Information Service units. This is a laudable feat manufacturing clusters in
The minister, whose (KADGIS), provided land for and testament to the business- each geopolitical zone of the
thoughts were contained in willing developers to help friendly environment of the country, and development of
his keynote address at the expand the housing stock and state that is worthy of emula- fiscal incentives for private
just ended 12th Meeting of the even began direct construc- tion,” the minister enthused. Investors to manufacture lo-
National Council on Lands, tion of low-medium income Dangiwa emphasised that cal building component.
noted that Kaduna State has housing by their Ministry of housing was one of the criti- He hoped that the achieve-
demonstrated exemplary Housing and Urban Develop- cal sectors set aside for focus ment of these targets would
leadership in housing devel- ment,” the minister noted. by the federal government’s require an “All of Govern-
opment, adding that the state On housing demand side, Ahmed Dangiwa Renewed Hope Agenda, dis- ment” approach and actions
stands as a good example of he said, Kaduna has devel- closing that the sector was that foster continuous en-
how to approach the chal- oped single-digit interest He explained that the whom are civil servants, to tied to four of the eight key gagement between govern-
lenges in the housing sector. rate mortgage arrangements mortgage arrangement with secure mortgage loans to pay presidential priorities namely, ments at all levels along
He recalled that, in June with Sterling Bank, FHA Sterling Bank has enabled for the properties which were economic growth and job crea- with the private sector and
2017, Kaduna became one of Mortgage Bank and the Ni- the buyers of non-essential sold at open market value. tion, access to capital, social relevant international or-
the first states in the country geria Mortgage Refinance government residential as- “As a result, the revenue inclusion and ending poverty. ganizations operating in the
to adopt and pass into law the Company (NMRC). sets, more than 80 percent of generation for the state has “These four presidential housing sector.

Renaissance Estate home owners kick,

demand compensation over eviction
By Chuka Uroko a court judgment cum or- losses they have incurred,
der in a suit No. PHC/2642/ they were demand N4billion
BETWEEN home-owners CS/2021 between Nigerian compensation from First
and the developers of Re- Airforce and Ex-SQN Leader Trust Mortgage.
naissance Estate, there is A. Obiosa, which the home Uzonwanne cited a de-
no love lost at the moment owners did not know about mand letter written by their
as the sale and purchase before buying. The eviction solicitors to First Trust
deal that brought them into also followed a Supreme which reads in part: “Take
a relationship has run into Court judgment that was Notice therefore, that our
troubled waters. delivered in 2003. Client has instructed us
Renaissance Estate is a The homeowners, under to demand and we hereby
moderate estate developed the aegis of Renaissance Igbuan Okaisabor, Founder, Kaiser Foundation for Social Development (centre) with beneficiaries of
demand that you take ur-
by First Trust Mortgage at Homeowners and Residents the foundation’s programmes
gent steps to reinstate our
Plot 96, Bimkol Close, GRA Association, are blaming Clients on the property situ-
Phase 3, Port Harcourt, Riv-
ers State. It consists of 12
First Trust Mortgage for
failing to do the necessary
ate at Plot 96, GRA Phase 3,
Port Harcourt, Rivers State
Young professionals in focus as Kaiser
units of four-bedroom ter-
race houses. Some years ago,
some retirees and Diaspora
due diligence before acquir-
ing the land from Vestor
within 14 days of the receipt
of this notice. Foundation plans soft skills training
Properties and subsequently Or, in the alternative,
Nigerians bought houses in developing the estate on the By Chuka Uroko weekend, announced the programme has evolved to
pay to our Client the sum of
this estate for N50 million encumbered parcel of land. dates for this year’s edition meet current trends, tran-
N4,000,000,000 (Four Billion
per unit. The association at a press ELEVATING young profes- of the training programme sitioning into a virtual for-
Naira) being compensation
These home owners lived conference on Thursday, No- sionals is the main focus which is the 8th in the series. mat. This transformation
for rendering them home-
in the houses they bought vember 16, 2023 in Lagos, la- of the upcoming Soft Skills According to the construc- has significantly broadened
less, making them become
and enjoyed peaceful, un- mented the dire situation the Training programme being tion firm, the programme its reach, attracting par-
‘vagrantsovernight’ due to
disturbed possession until eviction has thrown them planned by Kaiser Founda- which is dedicated to bridg- ticipants from 31 countries
your bank’s extreme negli-
the early hours of March 1, into as well as the heavy tion for Social Development ing the skill gap among young across six continents.
gence and carefree attitude
2022 when Sheriffs of the Riv- losses they have suffered in (KFSD), trustees of the non- graduates and entrepreneurs Past editions of the pro-
towards executing a housing
ers State High Court under terms of personal effects and profit foundation have said. in Africa and beyond, has gramme recorded remark-
scheme.
heavy Air Force security other valuables. KFSD is the corporate been scheduled for November able success, with excep-
Please note that where
and fierce looking young George Uzonwanne, social responsibility (CSR) 23 and 24, assuring that this tional participants securing
you forthwith fail to comply
men invaded the estate and chairman of the association, arm of Construction Kaiser edition will give participants internships and positions
with our Client’s simple de-
forcefully and brutally evict- said that as a result of the Limited—a leading indig- valuable insights. within Construction Kaiser
mand, within 14 days from
ed them. loss of their homes and other enous construction firm These insights and ex- Limited and other esteemed
the service of this demand
The eviction followed in Nigeria. The foundation pertise, the firm explained, organizations.
notice on you, we shall not
which was established in would come from renowned The upcoming edition
hesitate to perfect our Cli-
2016 is aimed to meet the experts across various facets will provide internship op-
ent’s’ further instruction.”
challenges faced by young of soft skills. These include portunities and free mentor-
Though the homeown-
Nigerians and the dearth Soji Apampa, Enai Agodo, ship sessions, courtesy of
ers have in a class action
of skills in the construction Abiodun Mamora, and Ade- Construction Kaiser and its
instituted a suit against First
industry. bulu Mayowa, who will be sister company, M&E Kaiser
Trust Mortgage in Rivers
Part of the overarching sharing insights that will Limited, to the most interac-
State, Uzonwanne insisted
objectives of the foundation contribute to the holistic tive participants.
that the homeowners needed
is to prepare undergradu- development of participants. It is expected that the
to be compensated for the
ates and young graduates in Initially launched as an event will be a pivotal plat-
losses they have incurred by
Nigeria for the workplace, on-campus initiative for form for individuals aspiring
reason of their forceful and
especially in the construc- engineering students at the to elevate their professional
brutal eviction from their
tion industry University of Lagos, the and entrepreneurial capa-
homes.
The foundation, at the KFSD Soft Skills Training bilities.
24 www.businessday.ng TUESDAY 21 NOVEMBER 2023

LIVE @ THE EXCHANGES

Top Gainers/Losers as at Monday 20 November 2023 Market Statistics as at
Monday 20 November 2023
GAINERS LOSERS
Company Opening Closing Change Company Opening Closing Change Company Opening Closing Change ASI (Points) 71,008.7
MECURE 5.73 6.3 0.57 RTBRISCOE 0.61 0.55 -0.06 DEALS (Numbers)
CHAMS 2.04 2.24 0.2 6,551
MULTIVERSE 3.63 3.99 0.36 PRESTIGE [BLS] 0.55 0.5 -0.05
TANTALIZER 0.43 0.46 0.04 VOLUME
ABCTRANS 0.81 0.89 0.08 STANBIC 69.95 65 -4.95 (Numbers) 358,445,972
UPDCREIT 3.7 4.05 0.35
CILEASING 4.98 5.47 0.49 CWG [BLS] 7.95 7.7 -0.25 VALUE (N billion) 4.357
UNITYBNK 1.17 1.28 0.11
NNFM 23.9 26.25 2.35 CAVERTON 1.44 1.4 -0.04
OMATEK [RST] 0.91 0.95 0.08 MARKET CAP
ROYALEX 0.51 0.56 0.05 LIVESTOCK 1.88 1.83 -0.05
(N Trn) 39.050

Equities market opens

Vetiva Research:

Guinness Nigeria: Price increase

sustains revenue growth

week on negative note The Nigerian Exchange the possibility of bargain other asset classes, given
…Target Price (N66.50); rating (sell)
COST of sales outpac-
es revenue growth
In Q1’24, Guin-
Finance expenses
for Q1’24 amounted
to N4.6 billion, repre-
Stories by Iheanyi Nwachukwu ness saw an improved senting an 85percent
Limited (NGX) All-Share hunting activities during the significant returns topline performance, increase y/y. The rise
Index (ASI) and its market the week as investors stra- most of the counters have reporting a revenue in finance expenses is
NIGERIA’S equities mar- capitalisation decreased tegically take positions on posted this year,” Vetiva of N59.5 billion, rep- attributed to the Naira
ket opened this week on a from week-open highs stocks with attractive en- research analysts said in resenting a 13percent devaluation that took
negative note, decreasing of 71,112.99 points and try points. their recent note. increase year-on-year place in the Q4’23 pe-
by 0.15percent or N57bil- N39.107trillion respective- “Overall, we expect the “As we approach the (y/y). This came as riod. Despite this in-
lion at the close of trading ly to 71,008.7 points and market to trade on a mixed end of the year, we will be- a result of sustained crease, the company’s
on Monday November 20 as N39.050trillion. This year’s note with a prevailing gin raising our positions in price increases. This strong EBIT perfor-
investors cashed out some return has decreased to bearish sentiment. Thus, banking names as we look was followed by a high- mance helped mitigate
gains in some stocks that 38.55percent. we expect the NGX-ASI to to re-balance our portfolio er increase in costs of the impact on the bot-
had rallied since the time “For this week, we ex- close in the red zone this in December,” said Cardi-
sales (19.6percent y/y) tom line. That said,
of purchase. to N41.4 billion. This PAT for Q1’24 only
pect a couple of factors to week,” Meristem research nalStone research model
Investors sold for
led to gross profit mar- fell by 6percent y/y to
impact investors’ senti- analysts said in their stock equity portfolio. gin dropping to 30per- print N2.6 billion.
profit, stocks like Stanbic ment. Specifically, we an- recommendation for No- “This week, we will con- cent (Q1’23: 35percent), Target Price (TP)
IBTC Holdings, CWG, and ticipate a downturn in mar- vember 20. tinue to actively monitor our bringing gross profit estimated at N66.50
Caverton Offshore Support ket momentum, driven by In 6,551 deals, in- positions in MTNN, Seplat to N18.1 billion (down Guinness looks
Group. Stanbic IBTC Hold- concerns around the incon- vestors exchanged and BUA Cement and take 10percent y/y). poised to deliver a
ings share price decreased sistency of the Monetary 358,445,972 shares valued at advantage of opportunities Cost containment profit in FY’24, and this
from N69.95 to N65, los- Policy Committee (MPC) N4.357billion. Access Cor- as we deem fit,” they noted. proves effective will be a significant im-
ing N4.95 or 7.08percent. (as it further postponed its poration, AIICO, Univer- CardinalStone said that Operating expenses provement from its bot-
CWG dropped from N7.95 next meeting scheduled to sal Insurance, Japaul Gold given BUACement recent for Q1’24 amounted to tom-line loss in FY’23.
to N7.70, losing 25kobo or hold during the week). and Veritas Kapital Assur- trajectory, they see leg- N11.7 billion, showing For turnover, we pro-
3.14percent, while Caver- “Also, we foresee profit ance were actively traded room for the stock, and “we a 10percent decrease ject a decent 2percent
ton was down from N1.44 taking activities across stocks. will continue to monitor compared to Q1’23. growth to N234 billion,
to N1.40, down by 4kobo or tickers that have real- “We still expect similar the ticker to find attractive The company’s com- but a faster 7percent
2.78percent. ized significant gains. We, tepid trading sessions this entry points to ride the re- mitment to cost con- growth for cost of sales
Lagos-based United Cap- however, do not rule out week, as investors look to covery wave”. tainment contributed to N161.5 billion. Thus,
ital research analyst had to this reduction in we expect a decline in
ahead of trading expected operating expenses, re- gross margin for FY’24
the bullish sentiments in sulting in an OPEX to to 31percent (down
the local equities market sales ratio of 20percent 3ppts).
to continue, hinging their (Q1’24: 25percent). Also, However, we expect
Guinness recorded a OPEX containment to
optimism on movements
114percent y/y increase continue, thus reduc-
in large-cap stocks, “as in-
in other income (to N1.4 ing OPEX by 12per-
vestors remain positively billion). cent to N51.8 billion in
biased to fundamentally Given lower OPEX FY’24. This will bring
sound stocks.” to sales ratio and EBIT up to N21.8 bil-
“The market has shown higher other income, lion (+6percent y/y).
resilience and maintained Guinness reported a Finally, we do not pro-
its upward trajectory de- stronger EBIT perfor- ject FX rates to decline
spite the rising yield in mance y/y, with Q1’24 sharply as they did in
the fixed-income environ- EBIT reaching N7.9 bil- FY’23; so, finance costs
ment. However, a downside lion (up 33percent y/y). are expected to come
risk to our projection is EBIT margin expanded in lower at N9.5 billion
that there may be pockets L – R: Tony Ibeziako, Head, Primary Market, Nigerian Exchange Limited (NGX); Temi Popoola, Chief to 13percent, indicat- (-82percent y/y). All in,
of profit-taking activities Executive Officer, NGX; Karl Toriola, Chief Executive Officer, MTNN Nigeria Plc; Dr. Ernest Ndukwue, ing the company’s abil- bottom-line for FY’24 is
as some investors look to Chairman, MTNN; Uto Ukpanah, Company Secretary, MTNN; Modupe Kadri, Chief Finance Officer, ity to effectively man- to print at N9.4 billion
crystallise gains,” they also MTNN and Olufemi Oyenuga, Chief Digital Officer, NGX during the launch of NGX USSD code *5474# age costs and enhance (FY’23: N18.2 billion in
noted. at the MTN Capital Markets Day 2023 in Abuja recently operational efficiency. losses).

NGX Regulation launches “EquipHER” initiative to empower women in equity market

NGX Regulation Limited the inaugural workshop her thoughts on the ini- all segments of our so- financial inclusion in moting financial inclu-
has launched its ground- for female investors, tiative, stating, “NGX ciety have equal access alignment with Nigeria’s sion for the benefit of the
breaking initiative, themed “EquipHER: RegCo’s EquipHER initi- to opportunities, and National Financial In- National Economy and
“EquipHER,” dedicated Financial Literacy and ative is a dedicated effort EquipHER is our com- clusion Strategy (NFIS), Market Development.
to empowering women Inclusion for Women’s to create pathways for mitment to fostering the Securities and Ex- Awe highlighted that
and driving inclusive Economic Growth.” women in the dynamic such an environment,” change Commission the NGX RegCo remains
growth within Nigeria’s At the event in Lagos landscape of the Nigeri- she said. (SEC) Capital Market resolute in its dedica-
Equity Market. on Friday November an Equity Market. The EquipHER ini- Master Plan, and several tion to driving positive
In collaboration with 17, 2023, Tinuade Awe, “We believe that true tiative is inclusive in its United Nations Sustain- change and market de-
key market stakeholders, Chief Executive Officer economic growth can approach, addressing di- able Development Goals velopment initiatives in
NGX RegCo is set to host of NGX RegCo, expressed only be achieved when verse facets of women’s (SDGs) focused on pro- Nigeria’s Equity Market.
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 25
26 www.businessday.ng TUESDAY 21 NOVEMBER 2023
PUBLIC
#

FMDQ Daily Quotations List 20-Nov-23

The FMDQ Daily Quotations List (DQL) contains data relating to, amongst other things, market and model prices, rates of foreign exchange products, fixed income securities and instruments in the financial market (the “Information”). The Information does not constitute professional, financial or investment advice. We attempt to ensure the Information is accurate; however, the Information is provided “AS
IS” and on an “AS AVAILABLE” basis and may not be accurate or up to date. We do not guarantee the accuracy, timeliness, completeness, performance or fitness for a particular purpose of any of the Information, neither do we accept liability for the results of any action taken on the basis of the information.
Bonds

Rating/Agency Issuer Description Outstanding Value TTM Yield (%)

Issue Date Coupon (%) Maturity Date Closing Price
(₦’bn) (Yrs)
Benchmark Federal Government of Nigeria (FGN) Bonds
^13.53 23-MAR-2025 23-Mar-18 13.53 562.45 23-Mar-25 1.34 15.11 98.09
^12.50 22-JAN-2026 22-Jan-16 12.50 1199.74 22-Jan-26 2.17 15.34 94.86
^16.2884 17-MAR-2027 17-Mar-17 16.29 948.84 17-Mar-27 3.32 15.45 102.05
^13.98 23-FEB-2028 23-Feb-18 13.98 1642.61 23-Feb-28 4.26 15.27 96.00
^14.55 26-APR-2029 26-Apr-19 14.55 988.75 26-Apr-29 5.43 15.33 97.15
^12.50 27-APR-2032 27-Apr-22 12.50 842.54 27-Apr-32 8.43 15.61 85.67
^12.1493 18-JUL-2034 18-Jul-14 12.15 1075.92 18-Jul-34 10.66 15.80 81.40
^12.50 27-MAR-2035 27-Mar-20 12.50 972.04 27-Mar-35 11.35 15.77 82.91
^12.40 18-MAR-2036 18-Mar-16 12.40 926.14 18-Mar-36 12.32 16.30 79.49
^16.2499 18-APR-2037 18-Apr-17 16.25 1796.66 18-Apr-37 13.41 16.41 99.11
^13.00 21-JAN-2042 21-Jan-22 13.00 1393.75 21-Jan-42 18.17 16.89 78.14
^14.80 26-APR-2049 26-Apr-19 14.80 1765.67 26-Apr-49 25.43 17.61 84.21
^12.98 27-MAR-2050 27-Mar-20 12.98 1595.41 27-Mar-50 26.35 17.71 73.56

FGN Sukuk
16.47 FGNSK 26-SEP-2024 26-Sep-17 16.47 100.00 26-Sep-24 0.85 15.45 100.72
FGN Roads Sukuk Company 1 PLC 15.743 FGNSK 28-DEC-2025 28-Dec-18 15.74 100.00 28-Dec-25 2.10 15.31 100.70
11.20 FGNSK 16-JUN-2027 16-Jun-20 11.20 162.56 16-Jun-27 3.57 15.40 88.75

FGN Green Bond

FEDERAL GOVERNMENT OF NIGERIA 14.50 FGNGB 13-JUN-2026 13-Jun-19 14.50 15.00 13-Jun-26 2.56 15.38 98.16

Outstanding Value Avg. Life/

Rating/Agency Issuer Description Issue Date Coupon (%) Maturity Date Risk Premium Valuation Yield (%) Modelled Price
(₦’bn) TTM (Yrs)

Sub-National Bonds
LAGOS STATE GOVERNMENT 17.25 LAGOS IIB 11-AUG-2027 11-Aug-17 17.25 33.35 11-Aug-27 2.19 1.00 16.33 101.43
AA-/GCR; A+/Agusto
LAGOS STATE GOVERNMENT 13.00 LAGOS IV 20-DEC-2031 20-Dec-21 13.00 136.95 20-Dec-31 5.00 1.00 16.31 89.61

Corporate Bonds
A-/GCR FCMB LIMITED 17.25 FCMB III 8-DEC-2023 09-Dec-16 17.25 5.10 08-Dec-23 0.05 1.36 8.51 100.39

AA+/GCR DANGOTE CEMENT PLC 12.50 DANGCEM I 30-APR-2025 24-Apr-20 12.50 100.00 30-Apr-25 1.44 2.84 18.16 93.05

Bbb-/Agusto; BBB+/DataPro PARTHIAN PARTNERS FUNDING SPV PLC 13.50 PAPF SPV I 27-Jul-2025 27-Jul-22 13.50 10.00 27-Jul-25 1.68 2.11 17.32 94.55

BBB+/GCR; A-/Agusto UNION BANK OF NIGERIA PLC 15.75 UNION II 3-SEP-2025 07-Sep-18 15.75 6.31 03-Sep-25 1.79 1.42 16.66 98.57

BBB-/GCR; Bbb/Agusto WEMA FUNDING SPV PLC 16.50 WEMA FUNDING SPV II 12-OCT-2025 12-Oct-18 16.50 17.68 12-Oct-25 1.89 3.78 19.05 96.04

Aa/Agusto ACCESS BANK PLC 15.50 ACCESS BANK 23-JUL-2026 23-Jul-19 15.50 30.00 23-Jul-26 1.92 2.94 18.21 95.77

AA+/GCR; B3/Moody DANGOTE CEMENT PLC 11.85 DANGCEM IIA 30-APR-2027 27-Apr-22 11.85 4.27 30-Apr-27 3.44 1.03 16.45 88.24

AAA/GCR; BBB+/DataPro VIATHAN FUNDING PLC 16.00 VIATHAN (GTD) 14-DEC-2027 15-Dec-17 16.00 7.06 14-Dec-27 2.32 1.00 16.35 99.35

A+/Agusto; AA-/DataPro CERPAC RECEIVABLES FUNDING SPV PLC 14.50 CERPAC-SPV III 15-JUL-2028 10-Sep-21 14.50 1.25 15-Jul-28 3.08 3.29 18.71 90.62

A-/GCR; A/DataPro ARDOVA PLC 13.30 ARDOVA PLC IA 12-NOV-2028 12-Nov-21 13.30 10.40 12-Nov-28 2.73 1.51 16.90 92.75

AA+/GCR; B3/Moody DANGOTE CEMENT PLC 12.35 DANGCEM IIB 30-APR-2029 27-Apr-22 12.35 23.34 30-Apr-29 5.44 1.12 16.45 85.58

BBB+/GCR; A-/Agusto UNION BANK OF NIGERIA PLC 16.20 UNION III 27-JUN-2029 27-Jun-19 16.20 30.00 27-Jun-29 5.60 3.35 18.70 91.50

AAA/GCR; Aa/Agusto *NMRC 14.90 NMRC I 29-JUL-2030 29-Jul-15 14.90 5.71 29-Jul-30 3.95 1.00 16.33 96.15

A-/GCR; A/DataPro ARDOVA PLC 13.65 ARDOVA PLC IB 12-NOV-2031 12-Nov-21 13.65 13.04 12-Nov-31 4.23 1.73 17.03 90.82

AA+/GCR; B3/Moody DANGOTE CEMENT PLC 13.00 DANGCEM IIC 30-APR-2032 27-Apr-22 13.00 88.40 30-Apr-32 8.44 1.52 17.13 81.89

Aa/Agusto; AAA/GCR *NMRC 13.80 NMRC II 15-MAR-2033 21-May-18 13.80 9.26 15-Mar-33 5.82 1.00 16.37 91.13

AA/GCR; A-/Agusto NSP-SPV POWERCORP PLC 15.60 NSP-SPV GB (GTD) 27-FEB-2034 27-Feb-19 15.60 8.50 27-Feb-34 10.27 1.56 17.33 91.76

Outstanding Value Closing Price

Rating/Agency Issuer Description Issue Date Coupon (%) Maturity Date TTM Yield (%)
($’mm)
FGN Eurobonds
B2/Moody's; B/S&P; B+/Fitch 7.625 21-NOV-2025 21-Nov-18 7.625 1118.35 21-Nov-25 2.01 9.38 96.87

B2/Moody's; B/S&P; B+/Fitch 6.50 NOV 28, 2027 28-Nov-17 6.500 1500.00 28-Nov-27 4.02 10.53 87.08

B2/Moody's; B/S&P; B-/Fitch 8.375 MAR 24, 2029 24-Mar-22 8.375 1250.00 24-Mar-29 5.35 10.86 90.09

B2/Moody's; B/S&P; B+/Fitch 8.747 JAN 21, 2031 21-Nov-18 8.747 1000.00 21-Jan-31 7.18 11.20 88.11

B1/Moody's; B/S&P; B+/Fitch 7.875 16-FEB-2032 16-Feb-17 7.875 1500.00 16-Feb-32 8.25 11.17 82.55

B2/Moody's; B/S&P; B+/Fitch 7.625 NOV 28, 2047 28-Nov-17 7.625 1500.00 28-Nov-47 24.04 11.23 70.20

B2/Moody's; B/S&P; B+/Fitch 9.248 JAN 21, 2049 21-Nov-18 9.248 750.00 21-Jan-49 25.19 11.69 80.27

Outstanding Value
Rating/Agency Issuer Description Issue Date Issue Yield (%) Maturity Date Days to Maturity Risk Premium Valuation Yield (%) Discount Rate (%)
(₦’bn)
Commercial Papers
A1Datapro NOSAK DISTILLERIES LIMITED NSDL CP IIA 22-NOV-23 02-Mar-23 20.71 3.73 22-Nov-23 2 16.07 22.69 22.66

A1+GCR; Aa+/Agusto MTN NIGERIA COMMUNICATIONS PLC MTNN CP V 23-NOV-23 01-Mar-23 12.50 72.10 23-Nov-23 3 7.86 14.51 14.50

A1Datapro NOSAK DISTILLERIES LIMITED NSDL CP IIB 23-NOV-23 03-Mar-23 20.71 1.27 23-Nov-23 3 16.07 22.73 22.68

A2GCR; A1/Datapro VALENCY AGRO NIGERIA LIMITED VAAG CP XVII 24-NOV-23 01-Mar-23 18.00 1.42 24-Nov-23 4 13.36 20.05 20.00

A1DataPro ROBUST INTERNATIONAL COMMODITIES LIMITED RICL CP IV 1-DEC-23 06-Mar-23 17.00 4.64 01-Dec-23 11 12.62 19.54 19.43

A3GCR; BBB/Agusto GREENWICH MERCHANT BANK LIMITED GMBL CP II 8-DEC-23 14-Mar-23 14.00 4.81 08-Dec-23 18 9.62 16.78 16.64

A1DataPro FIDSON HEALTHCARE PLC FDHP CP IV 11-DEC-23 17-Mar-23 14.50 5.00 11-Dec-23 21 7.83 15.08 14.95

A2DataPro; A3/GCR STERLING BANK PLC STBP CP IV 12-DEC-23 20-Mar-23 13.50 33.82 12-Dec-23 22 6.83 14.12 14.00

A3GCR CARDINALSTONE PARTNERS LIMITED CSPL CP III 16-JAN-24 17-Jul-23 14.00 4.35 16-Jan-24 57 9.91 18.31 17.81

A-/Agusto; A1/Datapro FLOUR MILLS OF NIGERIA PLC FLOURMILLS CP III 29-FEB-24 05-Jul-23 13.50 55.00 29-Feb-24 101 8.97 18.80 17.87

Days to Maturity Maturity Closing Rate (%) Yield (%) Tenor Rate ($/₦) Tenor Rate ($/₦)
Benchmark Nigerian Treasury Bills Currency Spot Exchange-Traded FX Futures

17 7-Dec-23 6.99 7.01 NAFEM 750.14 3M 871.28

66 25-Jan-24 8.43 8.56 ^^Currency Forwards 6M 898.34
80 8-Feb-24 8.84 9.01 1M 856.30 12M 956.89
108 7-Mar-24 9.66 9.95 2M 865.39
143 11-Apr-24 10.70 11.16 3M 874.76
171 9-May-24 11.52 12.18 6M 903.86
199 6-Jun-24 12.34 13.24 1Y 969.90
234 11-Jul-24 13.84 15.19
262 8-Aug-24 13.98 15.54 Tenor Rate (%) FGN Bond Futures Settlement Price (%)
290 5-Sep-24 14.12 15.91 Money Market Tenor 2Y Bond Futures 10Y Bond Futures
339 24-Oct-24 15.15 17.63 OPR 23.10 3M 96.25 83.43

Benchmark Open Market Operation Bills O/N 23.88 12M 101.64 84.92
260 6-Aug-24 11.00 11.94
344 29-Oct-24 15.00 17.47

Funds

Net Asset Value Bid Price Offer Price Yield No. of Units
Fund Name Fund Manager Valuation Date Units in Issue Net Asset Value Per Unit No. of Units Outstanding
(₦’bn) (₦) (₦) (%) Redeemed
Cordros Money Market Fund Cordros Asset Management Limited 5.66 16-Nov-23 56,577,652.00 100.00 100.00 100.00 9.33 208,480.00 99,791,520.00

First Ally Asset Management Money Market 0.30 1,500,000,000.00 0.20 1.00 1.00 7.54 517,055.00 1,499,482,945.00
First Ally Asset Management Limited 15-Nov-23
Fund
FSDH Treasury Bills Money Market Fund FSDH Asset Management Limited 5.88 3-Aug-22 58,775,699.00 100.00 100.00 1.00 7.61 0.00 500,000,000.00

Greenwich Plus Money Market Fund Greenwich Asset Management Limited 243.11 28-Dec-22 243,106,021,464.00 1.00 1.00 1.00 13.21 2,234,657,513.00 497,765,342,487.00

SFS Fixed Income Fund SFS Capital Nigeria Limited 6.87 17-Nov-23 6,264,894,434.00 1.10 1.10 1.10 10.05 0.00 10,000,000,000.00

Stanbic IBTC Bond Fund Stanbic IBTC Asset Management Limited 38.25 2-Nov-23 14,998,776.00 2,550.25 255.03 255.03 N/A 1,000,543.00 998,999,457.00

Stanbic IBTC Money Market Fund Stanbic IBTC Asset Management Limited 384.10 2-Nov-23 384,102,731,506.00 1.00 1.00 1.00 N/A 1,952,530,804.00 498,047,469,196.00

Emerging Africa Money Market Fund Emerging Africa Asset Management Limited 2.77 16-Nov-23 2,776,683,748.00 1.00 1.00 1.00 12.58 2,776,683,748.00 2,223,316,252.00

Emerging Africa Balanced Diversity Fund Emerging Africa Asset Management Limited 0.50 16-Nov-23 396,008,069.00 1.25 1.25 1.25 25.97 396,008,069.00 603,991,931.00

Emerging Africa Bond Fund Emerging Africa Asset Management Limited 0.74 16-Nov-23 678,642,613.00 1.09 1.09 1.09 9.55 678,642,613.00 321,357,387.00

Net Asset Value Bid Price Offer Price Yield No. of Units
Fund Name Fund Manager Valuation Date Units in Issue Net Asset Value Per Unit No. of Units Outstanding
($’bn) ($) ($) (%) Redeemed

Stanbic IBTC Dollar Fund Stanbic IBTC Asset Management Limited 0.48 2-Nov-23 333,748,917.00 1.45 1.45 1.45 N/A 158,674.00 399,841,326.00

Emerging Africa Eurobond Fund Emerging Africa Asset Management Limited 0.003 16-Nov-23 23,924.00 106.62 106.62 106.62 5.68 23,924.00 26,076.00

Net Asset Value No. of Units

Fund Name Fund Manager Valuation Date Units in Issue Net Asset Value Per Unit Bid Price (₦) Offer Price (₦) Yield (%) No. of Units Outstanding
(₦’bn) Redeemed

Chapel Hill Denham Infrastructure Debt Fund Chapel Hill Denham Management Limited 92.65 30-Sep-23 853,941,882.00 108.50 N/A N/A N/A N/A N/A

Fund Name Issuer Net Asset Value (₦’bn) No. of Units BidPrice (₦) OfferPrice (₦) Yield (%) No. of Units
Valuation Date Net Asset Value Per Unit No. Units of Outstanding
Issued Redeemed

Vetiva Funds Manager Limited Vetiva Funds Manager Limited 0.46 3,520,359.000 129.81 128.81 130.81 N/A 1,550,000.00 3,520,359.00
16-Nov-23
Composition: 5.23% Tbills; 94.77% FGN Bonds

NOTE: NAFEM : Nigerian Autonomous Foreign Exchange Market

FRN: Federal #Risk Premium is a combination
* : Amortising Bond (Average life is calculated & not the FGN: Federal ^^ Indicative FX Forward
^ : Market Prices PT: Permitted Trading GTD: Guaranteed N/A : Not Available Republic of of credit risk and liquidity risk
This is an abridged version of the DQL, that represents the outstanding values and market capitalisation of Term-to-Maturity) Government of Nigeria Rates
Nigeria premiums
the asset classes listed, quoted or have been granted permitted trading status on FMDQ. This version may
be different to what is contained in the full DQL available on FMDQ's website (www.fmdqgroup.com)
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 27

LIVE @ THE EXCHANGES

Prices for Securities Traded as of Monday 20 November 2023

Company Market cap(nm) Price (N) Change Trades Volume Company Market cap(nm) Price (N) Change Trades Volume

PRICES FOR MAIN BOARD SECURITIES (Equities)

28 www.businessday.ng TUESDAY 21 NOVEMBER 2023

NEWS
TELECOM

ALTON wants Kwara

to sustain investment in
youth development
By Sikirat Shehu, Ilorin ogy, entrepreneurship and
drive rapid socioeconomic
GBENGA Adebayo, chair- growth.
man, the Association of “The MOU signing rep-
Licensed Telecoms Opera- resents a dream come true
tors of Nigeria (ALTON) for our administration. In
has urged the Kwara State an age increasingly domi-
government under the nated by digital natives
leadership of Governor whose lives revolve around
Abdulrahman Abdulrazaq technology as well as digital
to sustain its investment naturals who live the reali-
in youth development and ties of technology and the
empowerment. advantages it offers, we saw
Adebayo gave the admo- a need to lead in giving nec-
nition in Ilorin, the state essary skills and support
capital, at the signing of to these important cohorts
L-R: Bayo Alli, commercial director; John Musunga, managing director; Omobola Johnson, board chair, all of Guinness Nigeria; Tafa Zubiri, a partnership agreement and leverage the same to
chairman, Ikoyi Club 1938; Wahab Sarumi, the golf captain; and Viola Graham-Douglas, modern trade director, International Premium Spirits between Ilorin Innovation build a stronger economy.
and Reserve, at the launch of the Singleton Lounge, at the Ikoyi Club, during the Lagos Amateur open golf championship, held in Lagos. Hub and IHS Towers last “Our objectives are to
weekend. He described offer the tools, resources,
Kwara as one of the friend- and environment that inno-
ECONOMY liest states to network pro- vators and startups require
viders. to flourish, especially in

Nigeria, attractive market While advising the state

government not to go the
way of other vibrant but
the realm of digital and
tech skills. By this, we see
a future where Kwara sees

for investors, says Tinubu now moribund projects, job creation, poverty reduc-
he said: “Don’t let the in- tion, and improved well-
novation hub be like one of being of the people.
those gigantic projects that “But having the right
By Tony Ailemen, Abuja represent the greatest incen- modern economy: a well-ed- tion and communications will have a beginning and partnership and technical
tive provided to investors ucated population, a massive technology space. no end for the sake of the support to run this tech
PRESIDENT Bola Tinubu towards the mutually ben- market, and the political will The president assured teeming youths. space is critical to achiev-
on Monday in Berlin, Ger- eficial replication of China’s to bring it all together under potential investors that “We are talking of ‘japa’ ing these objectives, effi-
many, told international economic resurgence. my leadership. Nigeria has moved beyond today owing to the lack of ciency and sustainability.
investors that beyond Nige- “We are dogged in our “Africa has moved be- restrictive policies, and jobs for the younger gen- This is why I am excited
ria’s natural resources, its pursuit of natural gas de- yond the false past notions today, capital can be moved eration. A lot of them are about this strategic part-
skilled and huge population velopment today, in tandem of business disincentivisa- in and out of the country leaving and may not return nership with the global
put it ahead of other nations with hydrogen production tion and poor adherence freely, providing flexibility to the country again. We are tech giant IHS Towers to
as an investment destiny. for tomorrow. The world to the rule of law. We now for investors. training the best talents for drive the project. With
The president stated this knows Nigeria as a leader fully recognise the nexus “Nigeria has consoli- the world. its proven expertise and
when he joined other world in the energy sector. Our between the inflow of inves- dated its democracy with “The innovation hub legacy of innovation, HIS
leaders at a panel discus- vast gas deposits and busi- tor money and the sanctity several consecutive hando- will not only develop lo- fits into our vision for this
sion titled, “Fostering local ness-friendly environment of contracts. We want to vers of power. There is cal talents, it will also be initiative.
value chains and invest- make us an attractive in- partner on the basis of who stability and predictability a source of employment. IHS offers technical and
ments in Africa - The role of vestment destination. But we are and what we do, in the socio-political de- Therefore, I urge you to al- organisational support
the German private sector” we are going a step further rather than on the basis of velopment of our country, low the project to stand the in its operations, mainte-
at the G20 Compact with Af- now. We are creating fis- long-held misconception,” which provides a conducive test of time.” nance, and management of
rica Economic Conference, cal responsibility and tax the president stated. atmosphere for business Speaking after the sign- it in exchange for certain
hosted by Olaf Scholz, the reforms as we reform our President Tinubu in- operations and investment. ing of the agreement, Gover- benefits such as the use
German Chancellor. financial institutions to ex- formed the summit of the Your money is safe. Since nor Abdulrazaq explained and operation of the hub for
The president, accord- peditiously accommodate country’s intentional move I assumed office in May that the core objectives of the delivery of IHS training
ing to a statement by Ajuri foreign investments. towards developing labour- 2023, we have embarked on the innovation hub were and ancillary programmes
Ngelale, his spokesperson, “We are eager and ready intensive sectors of the transformative changes, to make the state a place as well as branding rights,
noted that while promoting to partner with you. We have Nigerian economy for mas- removing all obstacles hin- for innovation, technol- among other things.
the rule of law was cru- the youngest, largest, and sive job creation as well as dering businesses. We are
cial for attracting foreign most vibrant youth popu- a new emphasis on techno- reforming the economy
investments, Nigeria’s en- lation in Africa. Equally, logical progress and new based on the principle and
ergetic youth population we have every ingredient opportunities in Nigeria’s philosophy of good gover- LABOUR
and well-educated populace required in the making of a rapidly expanding informa- nance,” the president said.
NUPENG, tanker drivers deny
INFRASTRUCTURE protest plans, condemn fake news
Motorists call out FG on closure of Third Mainland Bridge By Abubakar Ibrahim wale, the general secretary
of NUPENG, and Augustine
By Chuka Uroko motorists in Lagos. The lives on the Island but has ers.” THE leadership of the Ni- Egbony, national chairman
FG must come up with a his office in Ikeja also la- The Federal Govern- geria Union of Petroleum of PTD, the two parties said
MOTORISTS in Lagos have less painful way to do this mented the suffering the ment had announced that and Natural Gas Workers they were determined to
called out the Federal Gov- work beyond 100 percent closure of the bridge would the 11.8 kilometres bridge (NUPENG) and the Petro- continue their services to
ernment over the closure of closure,” a motorist who subject road users to, won- would be closed to traffic leum Tanker Drivers (PTD) the nation and support the
the Third Mainland Bridge did not want his name men- dering why the government by 7am on Monday. branch of the union have efforts of the government
in Lagos to traffic, starting tioned told BusinessDay. changed its earlier plan of Olukorede Keisha, the dismissed the alleged plan of President Bola Ahmed
from 7am on Monday, No- According to the motor- working between the hours Federal Controller of Works to embark on any protest, Tinubu to put the economy
vember 20, 2023. ist, who welcomed the re- of 12 midnight and 4am in Lagos State, who made describing it as fake news. on the right track for the
The motorists are com- pair work being carried out when the bridge would be this known in a statement According to them, this good of the nation.
plaining about the hard- on the bridge, the closure of free of traffic. on Friday, explained that is the antics of some desper- “We wish to further re-
ship the closure of the four the four ramps at the same The motorist, who iden- the Federal Government ate and mischievous indi- iterate the fact that there
ramps that link the bridge time would pile massive tified himself as Chidi, also was set to undertake exten- viduals to cause unfounded is no division in our union
to Adekunle is causing suffering on Lagosians who pleaded with the govern- sive repairs on the bridge. and dangerous panic in the and the branch of Petro-
them, saying that the gov- commute on the bridge,” ment to find a way to make “The Federal Govern- supply chain of petroleum leum Tanker Drivers,” said
ernment should have come he said, adding, “imagine commuting on the bridge ment, through the Federal products distribution in Augustine Egbony, the na-
up with a less painful way the suffering in terms of during the repair period Ministry of Works, wishes the country through the tional chairman of the PTD.
to do the repair work be- traffic congestion; imagine less stressful to commuters, to inform the motoring pub- spreading of fake and false “Our members are fully
yond 100 percent closure. the robberies in the traffic stressing that carrying out lic that the government has news items. committed and united in
“This is unacceptable gridlock that will ensue; repair work on the bridge perfected plans to carry out In two separate state- our collective struggles
anytime, considering the imagine the loss of man was a good thing to do, but comprehensive repairs of ments made available to as we believe that work-
strategic importance of hours.” “it has to be done without Third Mainland Bridge in BusinessDay, and signed ers united, can never be
Third Mainland Bridge to Another motorist who inflicting pain on road us- Lagos,” Kesha said. separately by Afolabi Ola- defeated.”
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 29

NEWS
POLITICS Driving Nigeria’s economic transformation and
APC’s ‘snatch, grab and run’ agenda diversification: The role of corporate governance
inimical to democracy — Atiku Continued from backpage
in the private sector and the
the strategies employed to
have strong governance
and effective leadership at
Code of Corporate Gover-
nance.
For efficient and effec-
By Anthony Ailemen The PDP presidential “But we are not surprised management and board will the Sovereign Wealth Fund tive corporate governance
candidate also noted that by what is going on. In Lagos remain? No. (Nigeria Sovereign Invest- practices to thrive in the
FORMER Vice President it was curious that all the State where Tinubu holds 3. Ineffective Oversight: ment Authority) and which country, it is critical that
Atiku Abubakar, on Mon- states where the courts have sway as godfather, opposi- Limited checks and bal- regulators like National the CIoD;
day, warned that the All Pro- made controversial decla- tion became an anathema. ances on government agen- Pension Commission (PEN- • Become advocates and
gressive Congress (APC’s) rations were states being Everyone including judges cies and public institutions COM) have used effectively facilitate the adoption of the
notion of ‘snatch, grab and controlled by the opposition was forced to join his party. have led to inefficiencies, to regulate the pension in- NCCG in the public sector.
run’ agenda, being perpe- political parties. The few opposition members misuse of public funds, dustry which is now one of To focus on corporate gov-
trated against opposition “From Nassarawa, Kano, who managed to get elected poor implementation of eco- the best regulated sectors. ernance in the private sec-
parties’ mandates, was in- Zamfara, and now to Pla- were beaten to submission, nomic plans and policies. 4. Economic Institutions tor only will miss the mark
imical to democracy teau State, where we are including at the Lagos State There is no effective over- and Agencies Must be Held and will not work.
Atiku, who was reacting witnessing a situation in House of Assembly where sight because of the poor Accountable: Nations fail • Improve the corporate
to the Appeal Court judg- which what the ruling party the sole PDP member back quality of the board, no because institutions are governance environment
ments against three opposi- missed out on election day in 2018 was suspended and relevant key performance weak or do not exist. Any particularly in the public
tion governors in Zamfara, is being delivered to them arrested for gun running but indicators (KPIs), no re- industrial plan will fail sector. To do this, the CIoD
Kano and Plateau, in a space through the courts. mysteriously had the charg- ward for good performance if the relevant econom- should develop an index for
of one week, noted that the “These are clearly omi- es dropped immediately after and consequences for bad ic institutions are weak. ranking Corporate Gover-
ideal notion of democracy nous signs that threaten he defected to the APC. performance or behaviour. Government agencies are nance in the public sector
did not just reside in a rep- not just our faith in the Atiku cited the case of Some recommenda- economic institutions and particularly the institu-
resentative government but electoral and judicial system withdrawal of lawsuit by tions the implementing arm tions that are responsible
was essentially rooted in the but evincing that our de- Asset Management Corpora- So, distinguished ladies of the Ministries and are for economic diversifica-
plurality of ideas. mocracy is compromised. It tion of Nigeria (AMCON) of and gentlemen, before I therefore critical to any tion and transformation.
In a statement signed by is also crystal clear that the N135bn, instituted against conclude, I would like to economic diversification You will be amazed how
Paul Ibe, his media adviser, ruling party will not desist an opposition senator from leave you with some recom- plan. At a minimum, com- that Index will transform
the former vice president from this inglorious ideol- Anambra State less than 24 mendations: petent technocrats or even our economy and nation.
noted that “for a system to ogy of ‘snatch, grab and run hours after he defected to 1.The NCCG 2018 for the competent politicians who Remember nations fail be-
be seen as truly democratic, away with power.’ the ruling party, describing private sector has been is- have a reputation for deliv- cause Institutions are weak
it must necessarily accom- “It is even more worri- it as “ crude methods that sued and has strengthened ering should be appointed or do not exist.
modate opposition and op- some that what is playing Bola Tinubu has employed corporate governance in to the boards and manage- • Organise training pro-
posing views. out now in the Plateau gov- in order to reduce the ranks the sector. But focusing ment of these agencies. The grams for the boards of
“Sadly and suddenly, we ernorship election petition of the opposition and con- on private sector corpo- dividends of democracy as public institutions. They
have seen a trend whereby is a confirmation of the solidate his hold on power.” rate governance alone to I said earlier should not be need it.
the range of opposition en- threat echoed by an APC Atiku queried: “Is it not drive economic diversifi- about sharing positions to Conclusion
gagement continues to be lawmaker in a viral video mysterious that it was the cation and transformation party loyalists but should In conclusion, distin-
narrowed by the ruling that the ruling party will same panel that sat and is recipe for failure. The be about good governance. guished ladies and gentle-
party in Nigeria; either compromise the judicial heard all the election peti- public sector has a major KPIs should be set, and a men, unassailable corpo-
through the electoral pro- process to ensure its ulti- tion cases from Plateau role to play particularly in comprehensive review of rate governance is not an
cess where opposition par- mate victory in the courts. State before the Court of Ap- developing countries. At their performance regu- option but a necessity for
ties are rigged out with It, therefore, means that the peal? How is it that in elec- the very least, it determines larly undertaken before any Nigeria’s economic trans-
brazen impunity, or during times we are in are indeed tion cases where the PDP how high you can jump and reappointments. formation and diversifica-
the post-election court pro- ominous, and the journey came first and the APC came how fast you can run. That 5. Both the private and tion. It is the lighthouse
cesses where the judiciary ahead in rescuing our de- second, the court ordered is why it is critical for the public sectors need to show that guides us through the
is conspicuously doing the mocracy from these buc- that the APC be declared Financial Reporting Coun- more commitment to envi- complex waters of mod-
biddings of the ruling All caneering power grabbers winner while in elections cil of Nigeria to issue the ronmental, social and gov- ern economics, helping us
Progressives Congress.” is a long one. It also means where the PDP came first National Code of Corporate ernance (ESG) practices. navigate toward sustain-
He said it had become that every man and woman and Labour Party came Governance (NCCG) for Investors are beginning to able growth and shared
increasingly apparent that of good conscience should second, the courts ordered the public sector as soon as demand this to invest in prosperity. Nigeria, with its
democracy in Nigeria was come together for this com- a rerun in order to give the possible, after due consulta- companies and countries. vast potential and human
in a state of ill health mon patriotic purpose. APC a chance of victory? tions. Full implementation 6. Capacity Building. resources, has an incred-
of the Nigerian Code of There is a need for continu- ible opportunity to redefine
Corporate Governance in ous training and capacity its economic landscape
the public sector will have building for corporate lead- through effective corporate
a dramatic and positive ers, regulators, and stake- governance and become the
effect on our economic in- holders to enhance their un- Jewel of Africa again. To-
stitutions. derstanding of governance gether, let us work towards
2. The National Assem- principles, particularly in a future where Nigeria’s
bly should amend the Acts the areas of digitalisation economy is diversified,
which established the Min- and cyber security. robust, and inclusive, built
istries and their agencies Role for the Chartered on the solid foundation of
to make the adoption of Institute of Directors (CIoD) good governance.
the code mandatory for the The CIoD as a very im- Thank you for your at-
public sector. portant institution in the tention, and I look forward
3. In addition, the Acts country has a major role to fruitful discussions on
should specify the skills, to play as well. It was one this critical topic.
competence, and experi- of the reasons I made it
L-R: Ismail Rufai, head, financial advisory, One17 Capital Limited; Omar Shaikh, MD, Islamic Financial ence (number of years in absolutely clear to the FRC Keynote speech by Oluse-
Council UK; Ummahani Ahmad Amin, conference chairperson, African International conference on the profession) required that they must work very gun O Aganga, CON at the
Islamic Finance; Muhammad Kabiru Ahmed, chairman and president, Society for Corporate Governance to chair or sit on the board closely with the Institute Chartered Institute of Direc-
Nigeria; Garba Mohammed, executive director, The Alternative Bank; and Alhassan Abdulkarim, and to be in the executive when I inaugurated the tors 2023 annual directors
executive director, Jaiz Bank plc North, during 6th African International conference on Islamic Finance, management team of an Technical Committee that conference.
held in Abuja, recently. Pic byTundeAdeniyi Agency. That was one of worked on the National

POLITICS
Opposition crucial for democratic success — Doherty
By David Ijaseun effectiveness of democracy ity of the opposition to en- The ADC gubernatorial value to things,” Doherty “From my perspective as
hinged significantly on the gage the government.” candidate further lamented said. He noted that this en- an opposition politician, it
FUNSO Doherty, the guber- quality of opposition and its Reflecting on the essence the common trend in Nige- riches the system, makes it allows people to see what
natorial candidate for the ability to actively engage of a robust opposition with- ria’s politics, where losing more robust, and ultimate- you stand for, who you are,
Action Democratic Con- the government. in the political landscape candidates often lose in- ly leads us to a situation how you think, and what
gress (ADC) in Lagos State, “When you look across of Lagos, Doherty said, “It terest once electoral chal- where all these so-called your values are.”
has emphasised the pivotal Africa, you don’t see a is absolutely critical. De- lenges were exhausted. dividends of democracy He noted that such con-
role of quality opposition in shortage of democracies but mocracy is not synonymous “Opposition parties are come within reach.” sistent engagement ensures
strengthening democracy. a shortage of outcomes,” with good outcomes for the critical because that way, He also stressed the government accountability,
Doherty stated this Doherty said, adding that people. It is how you oper- you hold the government to significance of sustained prevents those in power
during a live interview, “one of the critical levers ate the democracy that will account and whoever is in opposition rooted in ra- from having unrestrained
Tuesday morning, on Arise for good or poor outcomes determine whether you get the seat cannot have a free tional engagement rather control, and enhances the
Television, adding that the from democracy is the abil- good or poor outcomes.” hand, and you are adding than emotional reactions. robustness of the system.
30 www.businessday.ng TUESDAY 21 NOVEMBER 2023

NEWS
Hoarding, gouging worsen drug prices after...
Continued from page 1 2024,” the source said.
The British multinational
Seretide is like the sec- pharmaceutical company has
ond line of action for asthmatic yet to announce the third-party
patients when Ventolin, also a distributor of its consumer
brand of GSK, no longer does healthcare products since it
the job. went public with its plans to
People are also embarking quit in August, after 51 years
on parallel imports to reap of operation in Nigeria.
from the bubble while it lasts. The Haelon Group, one of
This means GSK products the world’s largest consumer
legally manufactured in other healthcare businesses, which
countries are imported into the used to manage distribution
Nigerian market, with some for GSK Consumer Nigeria Plc,
brought in as personal effects. has terminated its agreement,
“What you have is that peo- blocking direct sourcing of
ple who have stocked up this medicines from the company.
product in the past or people What it means for many Ni-
who were lucky enough to buy, gerians who are already used to
probably a week before GSK the efficacy of their products is
stopped bringing in their drugs, that access is limited as essen-
have stock,” Samuel Okwuada, tial medicines turn to luxury.
CEO and co-founder of Reme- It has particularly imposed
dial Health, a digital procure- financial constraints on many,
ment platform for pharmacies, leaving them to scramble for
patent medicine vendors and more funds to afford medicine
hospitals, told BusinessDay in amid widespread poverty and
an exclusive interview. soaring food inflation.
“They (middlemen) know The price of Ampiclox
some of these drugs are no jumped from N1,000 to N13,000,
marking a 1,200 percent in-
L-R: Pat Utomi, founder, Centre for Values in Leadership; Leemon Ikpea, group chairman/CEO, LEE Engineering Group
longer available in the market and Allied Companies Ltd; and Robert Aboumitri, first secretary, deputy high commission of Canada, at a town hall cere-
and not many people have crease; Ventolin inhaler moved
them. They can command from N2,800 to N8,000, a 300 mony to mark the 32nd anniversary of LEE Engineering and Construction Company, in Lagos.
whatever price they want for percent hike; while Augmentin
it. This is why you have prices (625mg) soared from an aver-
skyrocketing with these kinds age of N4,500 to N25,000, a 455.5 Abiola Oduwole, a professor doing business, fuelled by the counts for 80 percent. sit down and ask themselves,
of margins.” percent increase. of Paediatric Endocrinology, cost of energy. APIs are imported from big coupled with the external risk
A source who leads one of “I bought it (Seretide) who looks after children with For instance, the value of pharmaceutical manufactur- of currency devaluation and
Nigeria’s largest retail pharma- N72,000 for my cousin two diabetes at the Lagos University finished imported drugs grew ing hubs such as India, China, depreciation impacting their
ceutical stores also confirmed weeks ago on that Island. De- Teaching Hospital, said a lot of from N6.4 billion in 2018 to Germany, and the UK. internal rate of return, what is
to BusinessDay that there is a livery brought it to N77,000,” patients are declining visits to N12.1 billion in 2021, accord- Kelvin Emmanuel, chief the incentive of spending 6 to
full-blown exploitation going Talata-Obi, a user of X, for- the hospital because they cannot ing to data from the National executive officer of Dairy Hills 12 months to jostle for USD to
on under the guise of GSK’s exit merly known as Twitter, said. afford prescription medicines. Agency for Food and Drug Limited, in an analysis of the fund dividend remittances to
amid a foreign exchange crisis, Frederick Ichekwai, GSK’s “An adult with diabetes Administration and Control. challenge, said that for com- shareholders abroad?
leading to significant hardship secretary, said in a statement must check their blood sugar Given the heavy reliance of panies like GSK and Sanofi to “If the Nigerian govern-
for many patients who rely on that the board concluded that at least twice daily. Children the pharmaceutical sector on manufacture (considering poor ment wants to fight inflation,
these essential medications. there was no alternative but to check four to five times a day. importation, which renders it power supply and logistics), it needs to circle back to the
The source forecasts that cease operations. Now, the reagent strips are so highly susceptible to currency they need to open letters of question: how can we help com-
things will begin to settle down Patients are facing a surge expensive that most of them devaluation shocks, stakeholders credit (LCs) to import 95 per- panies set up different horizon-
by the first quarter of next year in the costs of other medicines cannot afford it. It cost about said the government must take cent of these components. tals or verticals for enterprise
when the availability of GSK and treatments that were previ- N9,000 Insulin now costs about proactive measures to dismantle He noted that banks are manufacturing across key
products will erode the scarcity. ously cheaper. N15,000,” Oduwole said. all obstacles impeding the ease of struggling to open LCs because sectors? Enterprise manufac-
“Hoarding and price goug- As drug prices surge unabat- Analysts say the major doing business locally. the Central Bank of Nigeria turing is your key to ensuring
ing are the norm in Nigeria ed, healthcare providers are also bone of contention remains The most important compo- is not liquid enough to fund the consumer manufacturers
at the moment, unfortunately. lamenting that they have begun the unresolved FX crisis, the nent in the structure for most patient capital. can keep inflation at bay and
But GSK items will come in by to see an increased pattern of exorbitant cost of drug im- drugs is active pharmaceutical Emmanuel said: “So the are shielded from the fangs of a
the end of the first quarter of patients who micro-manage portation, and the high cost of ingredients (APIs), which ac- boards of these companies wobbling exchange rate.”
medicines due to a lack of funds.

a reason should be given. despite the MPC not sit- ment and their desire to sibility of an inverted yield
CBN delays MPC meeting again, leaves... What I am thinking is that ting for its rate meeting, gauge his approach. curve, where short-term
Continued from page 1 of the CBN should be do- perhaps the CBN gover- the reality is that interest Market expectations rates exceed long-term
ing better communication nor and deputies are new, rates in the short end and for the MPC’s subsequent rates. This move aims to
poned its meeting because because there is already maybe they are still strug- long end of the Nigerian meeting, whether it takes curtail inflation by reduc-
it has not yet secured the a calendar for the MPC gling to find their feet and yield curve are rising. place this month or next, ing money supply through
US dollars it hopes to use meeting. look at all the issues prop- “The CBN’s silence are largely hawkish, he attractive returns on
to bring liquidity to the US He said: “The nation erly before they begin to means that market watch- said. short-term instruments.”
dollar market,” Charlie deserves an explanation make pronouncements.” ers are now required to “Based on Cardoso’s According to him, the
Robertson, head of macro because this is almost a Uche Uwaleke, pro- do the extra hard work of public statements, we market’s primary need
strategy at FIM Partners statutory kind of meeting fessor of Capital Market monitoring and interpret- can infer the potential is assurance and insight
UK Ltd, said in an emailed that economic players and at the Nasarawa State ing financial markets data outcomes of the meeting. into the new government’s
response to BusinessDay. even the market look up University Keffi, said the to decipher the direction of His comments regarding plans to boost investor
The “MPC is not hold- to, especially now that we postponement of the MPC monetary policy. Merely excess money supply as a confidence.
ing” a meeting this week, have a new administra- for the second consecutive waiting for the MPC to sit driver of inflation suggest “For this week, we ex-
Isa Abdulmumin, the tion. It has a policy signal- time could be a blessing in and communicate its deci- the possibility of adjust- pect a couple of factors
spokesman for the CBN, ling value for economic disguise “in the sense that sion on MPR (and other ments to monetary policy to impact investors’ sen-
said by text message on players whether domesti- if the MPC had held in Sep- variables) to the market is parameters, though the timent. Specifically, we
Monday, according to cally or externally. tember, it was most likely not sufficient, as happened decision ultimately rests anticipate a downturn in
Bloomberg. He didn’t give “So if there is going to the MPR would have been under the past governors,” with the MPC,” he said. market momentum, driv-
a date for when the next be a postponement, I think jacked up, thereby further he said. He said CBN’s not hold- en by concerns around the
meeting will be held. there should have been increasing the cost of do- Sesan Adeyeye, a port- ing the meeting impacted inconsistency of the MPC
Muda Yusuf, chief ex- proper communication ing business and reducing folio manager at ARM the equities market. “To- (as it further postponed its
ecutive officer of Centre to journalists, business access to credit,” HoldCo, said that inves- day’s trading session was next meeting scheduled to
for the Promotion of Pri- community and investing Kaliba Bilala, founder tors anticipated the MPC relatively quiet, with a 15 hold during the week),”
vate Enterprise, said the public that this meeting of Tanabit, financial data meeting to hold, given the bps decline in ASI as inves- analysts at Lagos-based
corporate communication has been postponed and analytics company, said new governor’s appoint- tors awaited the meeting’s United Capital, said.
outcome. Similarly, when Investors have been
the meeting was postponed looking to the MPC meet-
stuff, washing detergents, rivatives into the coun- by an hour in July, the ing for signals on how the
Okomu Oil, Presco see profit surge... and even cosmetics are try from neighbouring market reacted the follow- central bank will rein in
Continued from page 2 in the price of CPO,” they made from palm oil. countries like Togo, Cote ing day.” inflation that’s acceler-
said. Inyang of NPPAN be- d’Ivoire, Benin Republic, Despite their low level ating at the fastest pace
“In contrast, relative- Henry Olatujoye, man- lieves the industry has and Ghana.” of activity, foreign portfo- in almost two decades.
ly smaller players have aging director of Palm- been suffering neglect by “Huge numbers are lio investors are seeking They’re also anticipating
mostly struggled due to trade and Commodities successive governments. going to come in as long clarity on the MPC’s deci- an update on the overhaul
the lagged impact of the Development Nigeria Ltd, He warned that even as they can afford the sion, Adeyeye added. of the nation’s foreign-ex-
H2 ‘22 flooding, leading said the solution to the the big players will be FX, and this means the He said the market had change controls initiated
to a 353.2 percent jump demand-supply gap “is our greatly impacted in the big players will also be been anticipating a rate by President Bola Tinubu
in palm oil imports from ability to convert our forex next financial year, as importing from Malaysia, hike. “We witnessed OMO in June.
Malaysia in the first four to plantation development, foreign exchange restric- Indonesia, and Thailand. auctions two weeks ago A Bloomberg survey of
months of 2023. These sup- under good agricultural tions have been lifted on All these will impact the and a 364-day T-bills auc- 12 economists had forecast
ply shortages and Naira practices,” as foods like CPO and palm kernel oil. economy of oil palm in the tion with yields as high the central bank will raise
weakness at the parallel noodles, vegetable oil, bis- He said: “It means that next year, except the gov- as 16-17 percent (used as a its benchmark rate by as
market led to a 37.0 per- cuits, chips, margarine, there will be an influx ernment does something liquidity mop-up mecha- much as 325 basis points
cent year-on-year surge shortenings, cereals, baked of palm oil and its de- about it.” nism), suggesting the pos- from 18.75 percent.
TUESDAY 21 NOVEMBER 2023 www.businessday.ng 31

NEWS

Peter Bamkole unveils new book on unlocking SMEs’ potential

By Bunmi Bailey day (tomorrow). studies and visual maps to ers the keys to their success dition to motivating those contributes 50 percent of the
The book is the culmination create this masterpiece which and explores the abundance of who aspire to embark on an GDP and has provided over
PETER Bamkole, chief oper- of a 20-year journey that brings effortlessly awakens the entre- entrepreneurial wisdom. entrepreneurial journey,” the 48 percent of all employment
ating officer at Pan-Atlantic to light the remarkable growth preneurial giant in its read- “The book is not just about statement added. opportunities in the country,
University (PAU), Lagos, will and impact of the Enterprise ers,” it said. EDC; it is a testament to the Fabian Ajogwu, founding according to the United Na-
unveil his latest book titled Development Centre (EDC), It said the book uncovers power of etrepreneurship and partner at Kenna Partners, said tions Industrial Development
‘Built By Enterprise: Unlock- PAU on SMEs in Nigeria and the challenges faced by SMEs collaboration in driving social the book is a horse’s mouth ac- Organization.
ing the Potentials of Small and beyond, according to a state- in Nigeria, the strategies they and economic change. Beyond count of the remarkable execu- However, many of the 39.6
Medium Scale Enterprises ment. deployed and celebrates their capturing the essence of EDC’s tion of a vision to support entre- million businesses have been
(SMEs) in Nigeria’ on Wednes- “The author uses dynamic transformative role in shaping transformative journey, it preneurial ventures and dreams. struggling to survive in recent
storytelling, insightful case their economy and also discov- could serve as a guide, in ad- “The Enterprise Devel- years owing to the fallout of
opment Centre (EDC) story the COVID-19 pandemic, the
speaks to the immense value Russia-Ukraine war, petrol
that is created when the newly subsidy removal and the naira
taught fisherman is hand- devaluation.
held through the value chain Small business operators
of suppliers and customers, have been grappling with a
access to capital, market ac- combination of issues, includ-
cess, and an understanding of ing poor power supply, rising
governance and the business borrowing costs, soaring infla-
environment,” he added. tion, restrictive economic poli-
Reeta Roy, chief executive cies, foreign exchange volatil-
officer at Mastercard Founda- ity and tax multiplicity.
tion, said the book chronicles the According to the Small and
creation of EDC, which in itself, Medium Scale Enterprises De-
is an entrepreneurial journey. velopment Agency of Nigeria,
“Its story is about the sto- 80 percent of SMEs in Nigeria
ries of people, whose ingenuity, fail before their fifth anniver-
passions, and determination sary due to harsh economic
have changed their lives as well environments, lack of access
as those around them.” to capital, and poor business
In Africa’s most populous practices, which have stunted
nation, the micro, small and the growth and transition of
medium enterprises sector micro-businesses.

Jollof cost more than triples in seven...

Continued from page 2 rise to more than 30 percent
by early 2024,” David Omo-
they cannot afford to raise the jomolo, Africa economist
money to restock while some at London-based Capital
others are taking loans from Economics, said.
L-R: Emmanuel Badejo, bishop of Catholic Diocese of Oyo/president of Assembly of the Pan-African Episcopal Committee for Social multiple sources to meet up According to the latest Ni-
Communication (CEPACS); Fridolin Cardinal Ambongo, president, Symposium of Episcopal Conference of Africa Madagascar (SE- with the price shocks. geria Development Update
CAM)/bishops of Kinshasa Archdiocese in the Democratic Republic of Congo (DRC); and Alfred Adewale Martins, archbishop of the “You cannot add a lot, report by the World Bank,
Metropolitan see of Lagos, at the opening Mass of the 50th Golden Jubilee celebration and Assembly of CEPACS and SECAM in Lagos. as price increases might the loss of purchasing power
deter customers, and current from high inflation pushed
prices barely cover market an additional four million
cially so now,” Doherty wrote. WACOT Limited to manage the
Lagos spending scandal comes amid... A look at the public procure- Imota Rice Mill.
fees, shop rent or transport
costs,” she said.
people into poverty in the
ment documents now circulat- Sanwo-Olu had said that first five months of this year.
Continued from page 1 tude the highest for the state She added that many of
and any state in the country. ing around the web showed the state government was de- “The removal of the pet-
that the state allocated N2 bil- sirous of operationalising the her customers who buy fish rol subsidy has caused an
ment for wife of deputy According to the governor, it
was not only “aggressively” lion to supply rechargeable rice mill through the technical from her have started buying increase in prices, adversely
governor, supply of chick- focused on completing ongo- fans, rechargeable lights and services of WACOT Rice Lim- dead chicken.
a fridge for the office of deputy ited, a subsidiary of TGI Group
affecting poor and econom-
en, air freshener, reno- ing capital projects, it would The Tinubu administra-
governor. providing commissioning and ically insecure Nigerian
vation of a church, and also expand intervention pro- tion’s reforms such as the re-
The government paid a kick off operationalisation households,” the report said.
expense on the governor’s grammes and intensify social moval of petrol subsidy and
support to citizens and their company N5.38 billion to up- support service. Not much The World Bank project-
legal team, among others, date the Strategic Transport detail was given as to the naira devaluation, imple-
means of livelihoods. ed that the poor and eco-
were some of the items and Mobility Master Plan for actual funding of the running mented in the second quar-
The state was ranked among nomically insecure house-
that found their way into the 10 cities at the bottom of the Lagos Mega City Area; N30 of the mill. From the public ter of the year, increased the holds will face an equivalent
the public procurement Global Liveability Index 2023 million was allocated for a procurement document, the cost of living in the country.
monthly outreach of indigent state is still allocating billions income loss of N5, 700 per
list approved by the Lagos by the Economist Intelligence The removal of the fuel month, and without com-
Unit (EIU). Lagos was ranked citizens for the wife of the of naira to the mill.
State government in the deputy governor. A yearly The governor also allocated subsidy tripled the petrol pensation, an additional 7.1
2023 budget. 170th out of 173 cities the EIU
calculation of the expense N200 million to the Ministry of price to N617 from N184, million people will be pushed
surveyed. The state also has
Lagos State, known a high child mortality with 35 amounts to N360 million. The Justice to be used to pay the causing public transporta- into poverty.
as Nigeria’s commercial newborns out of 1000 births wife of the deputy governor lawyers that defended his elec- tion providers such as buses,
was also entitled to N30 mil- tion at the tribunal. A recent survey by SBM
capital, is by far the rich- expected to die. This is despite tricycles and motorcycles to Intelligence found that
est state in the country allocating 13 percent of the total lion monthly empowerment “We took Mr. Sanwo-Olu,
programmes, with a total for Mr. Hamzat, APC and INEC raise fares. Nigerians said they were
in terms of revenue gen- budget to provide affordable The floating of the naira
and world-class education, the year at N360 million. to court. We did not take the spending 97 percent of their
eration and capital de- The state also budgeted Lagos State government to increased the official ex- monthly income on food.
healthcare and social services.
ployment. So it wasn’t The state, which recently N152.11 million to restore water court. Why should the state change rate from N463.38/$ Earlier in the month,
a huge surprise when got its first speed train after supply at Idunganran palace, fund his legal fees?” Gbadebo to N791.75/$ on Friday while
and N159.31 million for the Rhodes-Vivour, governor- some fish sellers in Ogun
the Babajide Sanwo-Olu- over a decade of budgeting for the parallel market rate State protested the incessant
the project, is overburdened proposed Adesalu Health Care ship candidate of the Labour
led government signed a Centre at Onasa Community Party in the state, said in a stood at N1,135/$. increase in the prices of fish,
N1.768 trillion budget for by poor road infrastructure, The high cost of dollars
which often gulps much of capi- Ibeju-Lekki. There is also a post on X. “Why should citi- and a video has gone viral of
2023 into law. tal expenditure. For example, N3.1 billion budget to engage zens’ taxes be used to pay for and the implementation of a a fish seller groaning about
It was in the same year the government allocated 27.3 the services of a loan transac- his representation? This is 7.5 percent value added tax surging fish prices and low
that the domestic debt percent (N482.86 billion) of the tion arranger and financial why they are always quick on diesel imports, which was
adviser to the Lagos State to say “Go to court”, because patronage.
profile of the state would N1.768 trillion to provide what it suspended in September, Analysts at SBM recom-
calls “modern infrastructure”. government and the Lagos Met- they are so irresponsible and
surge to its highest, chalk- ropolitan Area Transport Au- cheap, to not even pick-up pushed its pump price to as mend that the cumulative
ing up a total of N996.44 However, a recent letter to
thority on the red line project. their legal bills.” high as N1,200 per litre. effect of these challenges
the Lagos State governor pub-
billion as at June 2023. licly made available by Funsho Other expenses include Data from Budgetpedia Inflation in Africa’s biggest highlights the urgency for
The state’s foreign debt Doherty, who contested in the N440.7 million for purchase of shows that the domestic debt economy rose to an 18-year
a brand new Lexus LX 000 Bul- in the state has steadily grown effective policy responses to
also stood at $1.26 billion 2023 governorship elections high of 27.33 percent in Octo- stabilise the food market and
letproof Sport Utility vehicle since Sanwo-Olu took office as
(N1.05 trillion). under the platform of the Ac-
governor, from N444.2 billion ber from 26.72 percent in the ensure access and affordabil-
tion Democratic Congress, for use in the office of the chief
“It’s actually mind- of staff; N13.4 million for the of- in 2019 to N996.44 billion as of previous month, worsening ity for the average Nigerian.
blowing. Lagos is so badly has revealed the details of the
budget by going through the fice of the chief of staff to supply June 2023. Foreign debt rose the cost-of-living crisis facing “Protests over high food
governed, it’s unreal. And register of public procurement chicken across the wards; N7 from N437.9 billion in 2018 to many households. Food infla- prices and increasing costs
there is money to make awards by the state ministries million for liquid fragrance in N1.05 trillion as of June 2023. tion also increased to 31.52
the office of the governor; N20.8 Within that period, the state have already begun in vari-
a meaningful difference. and departments. percent from 30.64 percent. ous parts of the country,
These guys cannot organise “I just wrote an open let- million for decoration of venue health officials have reported
for political delegates congress. that at least 60 percent out of 325 “The subsidy’s removal including those by labour
waste collection but want to ter to the governor on Public will continue to add to in-
ride bulletproof Lexus,” said Procurement awards reported There are also substantial primary health centres in the unions, frozen food retailers
Feyi Fawehinmi, co-author by LASG for the 2nd and 3rd budgetary allocations to the state are in deplorable condi- flation, partly through sec- in Delta, and poultry farmers
of ‘Formation: The Making of quarters of 2023, highlighting running of Imota Rice Mill. As tions. In other words, about 197 ond-round effects. And the
Doherty noted in a comment, primary health care centres in in Ogun State, among others.
Nigeria from Jihad to Amal- a number of issues for further naira’s fall in value against These protests signal poten-
gamation’. scrutiny and remedial action. the Lagos State government Lagos are in deplorable condi-
tions and may not be getting
the dollar will continue to tial unrest that demands im-
The budget, dubbed ‘Budget Judicious use of public funds is had in October 2022 announced
that it signed an agreement for the needed attention. push up inflation too. As a mediate attention,” they said.
of Continuity’, was in magni- always important, and is espe-
result, we expect inflation to
www.businessday.ng sign up for https://bit.ly/bdnewsletters TUESDAY 21 NOVEMBER 2023

INSIGHT
Driving Nigeria’s economic transformation and
diversification: The role of corporate governance
the NLNG as the bird that lays enterprises (MSMEs) can be
By Olusegun Aganga the golden egg because of its instrumental in diversifying
remarkable success and its abil- the economy. MSMEs are often
EvERY successive government ity to diversify the economy and
in Nigeria has talked about the engines of growth in emerging
attract investments. A lot of the economies. In Nigeria, they ac-
need to transform and diversify success can easily be attributed
our economy for decades but count for 76% of the workforce,
to the strength of the corporate about 50% of the GDP and 7%
none has identified corporate governance practices that were
governance as a major catalyst of exports.
put in place by its owners 51%
for driving that transformation. of whom are multinational oil 4. Effective corporate gover-
And there is no better time companies. The success story nance and its mechanisms will
than now to draw the attention of the privatisation and the foster innovation which can
of the nation and managers of transformation of the telecom drive new industries and create
the economy to this significant industry will also not be com- opportunities for diversifica-
omission. plete without the mention of the tion, improve accountability
As I indicated in my recent strong corporate governance and transparency which will
book, Reclaiming the Jewel at the Nigerian Communica- lead to better quality of imple-
of Africa, the Economy is the tions Commission (NCC), and mentation of plans to diversify
number one priority of any the role of the Board led by the the economy and curb corrup-
government. In some coun- late Alhaji Ahmed Joda, the tion and waste. It will also build
tries, elections are won or lost former Chairman of NCC and trust in citizens and investors.
because of the economy. Our Dr. Ernest Ndukwe, the CEO Some challenges
economy today is relatively at the time and who today, is
small; it is not growing fast 2016 and only grew marginally the structure through which the the chairman of this session Distinguished ladies and
enough and is not inclusive. It by 2.45% in 2022. This is what objectives of the company are of your conference. We need to gentlemen, for Nigeria to truly
has all the features of a weak the lack of continuity does set, and the means of attaining replicate this privatisation in harness the power of corporate
economy: Import-dependent, to an economy. If it had been those objectives and monitoring other sectors. Another example governance in both the private
weak and unstable macroeco- implemented rigorously, Nige- performance”. I gave in my book is the Saudi and public sectors for economic
nomic environment, export ria would have become a top Basic Industries Corporation diversification and transforma-
So, it is about the four “Ps”:
of primary products without competitive global exporter of (SABIC), a Saudi Arabian mul- tion, it must address certain
People, Purpose, Processes
value addition, high and unsus- at least 3 or 4 of the 13 products tinational corporation that was challenges. These include:
and Performance. In Nigeria,
tainable level of debt servicing identified for export by now. where both public and private established in 1976 by Aramco 1. Political Interference:
cost to national revenue, fall in It is all about continuity and sectors play a significant role (Saudi Arabia’s NNPC) with When political considerations
real wages, high dependency discipline. in the economy, we have to take an investment of $1.8 billion. heavily influence the decision-
on foreign earnings without We are long on plans and a holistic view and expand the Today, it is the second-largest making process in public orga-
building productive capacity, policies but short on imple- discussion to cover governance diversified chemical company nizations, it can compromise
high incidence of poverty, high mentation. And why is that so? in the public sector. That was in the world and a market leader the impartiality and objectivity
rate of unemployment, high It is because our institutions why the original National Code in many products. Its mandate needed for good governance. It
rate of emigration of skilled particularly the economic insti- of Corporate Governance devel- was to pioneer and drive gas in- starts with the process and qual-
professionals, weak governance tutions are weak or do not exist. oped by the Financial Reporting dustrialization in Saudi Arabia ity of making appointments.
structure and prevalence of Council in 2013/2014 when I was by adding value to the gas pro- Why must critical appoint-
According to Daron Acemo- duced. The company had total
insecurity. the Minister of Industry, Trade ments such as heads of parastat-
glu and James Robinson in assets of $83.46 billion as at the
So, the recurring question and Investment had three parts: als, board members, etc, go to
the book “Why Nations Fail”, end of December 2022, operates
many keep asking is, why has a codes for the private sector, pub- party members as ‘dividends
Nations fail because Institu- in 50 countries, and generated
country which has about 85mil- lic sector and the not for profit of democracy’? That is not the
tions are weak or do not exist. $46.6 billion in sales revenue.
lion hectares of land where organisations. dividend of democracy. The
Nations fail when they have The interesting thing is that
almost everything can grow, dividends of democracy should
extractive (weak) economic The public sector governance SABIC has in turn created The
has more than 45 solid miner- be good governance. The ap-
institutions, supported by ex- code was meant to cover all Saudi Iron and Steel Company,
als in commercial quantity, a pointment and promotion of in-
tractive political institutions MDAs, state-owned entities, all one of the world’s largest fully
top 10 oil and gas producer, a dividuals based on personal re-
that impede and even block parastatals and all government integrated producers of Iron
young population which is the lationships and political party
economic growth.’ commercial agencies. and Steel. Again, corporate
envy of the rest of the world, affiliations rather than on merit
The third question you may Role of corporate governance governance has been identified weaken the very institutions we
and some of the brightest people as a catalyst for the remarkable
then ask is why are institu- in economic diversification need to diversify and transform
in the world, not been able to success of SABIC.
tions weak? And the answer and transformation the economy. We cannot eat our
transform its economy and di-
is that they are weak mainly 2. Strong corporate gover- cake and have it.
versify its sources of revenue Let me highlight a few key
because of the poor corporate nance will strengthen institu-
for decades? aspects of how corporate gov- 2. There is no effective mech-
governance, and governance in tions that are responsible for
ernance can drive Nigeria’s anism for holding our economic
It is not because we do not public institutions. An area that economic diversification and
economic transformation and institutions that are supposed
have economic plans or policies has been overlooked and rarely transformation: Governance
diversification: to drive the economic transfor-
to diversify and transform our mentioned when talking about in public sector enterprises
economy. The simple answer 1. Attracting Investment: mation the country requires
the economy. That is why I com- ensures that they fulfil their
is the lack of continuity and Nigeria needs substantial in- accountable. That is why we
mend the Institute once again mandates, achieve their in-
extremely poor quality of imple- vestments to develop and di- have had a high level of waste,
for the choice of today’s topic. tended outcomes for citizens
mentation of economic plans versify its economy. In fact, leakages and corruption and
I will be talking about Gover- and service users and operate
and policies. I will give you the attainment of the National poor execution of existing di-
nance in the corporate world effectively, efficiently, transpar-
an example, Nigeria officially Development Plan 2021-2025 versification plans and policies.
and in the government because ently and in an ethical manner.
launched its industrial plan to will require an investment of We have heard about oil theft
the economy is driven by both It significantly improves the
diversify the economy in 2014, about N348.1 Trillion and 85.7% for years, we know about inse-
the private and public sectors. quality of implementation, al-
although it commenced imple- of that is expected to come from curity, high levels of unemploy-
What is corporate gover- lows for continuity and ensures ment, poverty, inflation, low
mentation in 2011. From 2015, the private sector. It is fair to sustainability which have been
nanceThe Organisation for manufacturing value addition,
the plan was put it in the cooler say that Nigeria’s ability to at- our biggest obstacle for decades;
Economic Co-operation and tough macroeconomic environ-
for about 8 years. As a result, tract investments into critical the real reasons we have failed
Development (OECD) defines ment. Who has ever been held
the growth of manufacturing’s areas of the economy has not to diversify our economy.
corporate governance as “a accountable and how many
contribution to GDP which was been more important than now
set of relationships between 3. Corporate governance people have been sacked? Can
in double digits throughout 2011 and the quality of the corporate
a company’s management, its frameworks that encourage you imagine this happening
to 2014 peaking at 24.59% in 2013 governance in both the private
board, its shareholders and entrepreneurship and support
crashed to negative 1.46% in and public sector will be a major
other stakeholders; it provides micro, small and medium-sized Continues on page 29
2015, another negative 4.32% in catalyst. Today we talk about

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