Author: The Nation

• Palm oil and beans as metaphors for all that is wrong with our farm produce

It is sadly the case that two foremost agricultural commodities – palm oil and beans – potential huge foreign exchange earners – have come to represent the scandalous faces of our agricultural/trade policies. One evinces how we have come to rely on importation for what we have the capacity to produce in abundance and even for export; the other, the story of our simple inability to measure up to global best practices.

First – palm oil.  According to the Malaysian Palm Oil Council, whereas Nigeria imported 20,513 MT of palm oil from Malaysia in the first quarter of 2022, the corresponding figure for the current year is a quantum jump to 92,961 metric tons (MT) – a surge by a whopping 353 per cent. Given that we are barely in the middle of the year and with the total import for the preceding year as 227,035 MT, it seems fairly easy to project that the outlook for the current year would reflect the same factor.

The irony is that this is one commodity which the country has long been acknowledged as having an unparalleled comparative advantage over many countries, including Malaysia – which some accounts claim actually obtained its first set of seedlings from Nigeria. Part of this is why it enjoyed prominent position among the 40 items excluded from forex access. Obviously, if Nigerians expected this measure and the other measure of border closure to have impacted the domestic supply situation while these lasted, the results, going by the data, must have been extremely disappointing.

Currently, the industry estimates domestic consumption to be an average of 2.4 million tons in a year (of which major producers are barely able to produce up to 800,000 tons). Interestingly, the data from the United States Department of Agriculture (USDA), puts Nigeria’s output for 2022 at 1.4 million metric tonnes (MT) – (a modest improvement of 1.28 million MT in 2021) – the implication being a shortfall of one million metric tonnes.

All of these despite all the noise about targeted investments designed to turn things around.

As for the other commodity – beans – the story is no less embarrassing. From what began as a temporary suspension of the importation of dried beans by the European Union from the country in January 2013, the situation has since assumed permanence with the ban currently going into its eighth year, the last extension being in 2022. While the situation subsists, the losses to the country have continued to mount to the extent that some $2.9 billion is said to have been lost during the period. And all of this because the authorities in charge have failed to address the concerns of the EU on the excessive uses of chemicals by farmers to control Maruca virata, a pest which damages the crops on the field.

Interestingly, whereas the EU concerns are premised on issues of public health, the Nigerian authorities would not only feign indifference but have neglected to put in place measures to address the problem at the home front.

Both cases in some ways exemplify the familiar penchant by our officials to bungle big opportunities. Of course, while they render Nigeria’s song of export diversification and claims of substantial progress in backward integration hollow, they also reveal what has become the benumbing lack of capacity by our institutions to get basic things right despite pretensions to the contrary.

The least that could be said of the situations at this point is that they have become intolerable. Time for fresh initiatives – by the Federal Government working in collaboration with states and other stakeholders – to close the production gap, not just for palm oil but all such other commodities that the country enjoys comparative advantage. Part of that might require the Federal Government taking another look at the current structure of incentives to major producers and small farmers to see whether or not they are adequate. The other part would obviously require an overhaul of the exports administration process in its entirety, given the glaring failures of the past.

As far as we can see, none of the two issues require rocket science to solve; what they require are simple but effective administrative policies and measures – all of which have been lacking.

• By Tunde Oladunjoye 

The above title and quote will probably be the most appropriate to describe the less than a month old administration of President Bola Ahmed Tinubu.

After surviving the internal schisms of the scheming camps within his party, the All Progressives  Congress (APC), to emerge as its flag bearer in the last presidential election, then going through a most turbulent electioneering  that attacked his personality more than his manifesto; and finally surviving all legal and illegal hurdles placed on his path to being sworn-in as the 16th President of the Federal Republic of Nigeria; President Tinubu has shown within weeks of assumption of office that he, from actions and pronouncements, actually came prepared.

Never in the  annals of Nigeria has any president  come into office and within a week or two, embarked on policy pronouncements, initiatives and directives that impacted the lives of  all the citizenry positively or otherwise. Some have said Tinubu promised to hit the ground running, but he actually seems to be speeding. And the speed with which Tinubu has taken off inspired the caption of a report on the new government, by the popular global news medium, Reuters, entitled “Baba Go Fast”! 

From his maiden address during inauguration at Eagles Square, Mr. President told Nigerians what they did not like or want to hear: “Fuel subsidy is gone”! That’s unusual! What is common of such addresses are rosy promises and high vaulting words reminiscent of failed vainglorious platitudes of the past. However, this business-minded helmsman means business. Subsidy is gone, unified exchange rate of the dollars against the value-battered naira is here!  Of course, President Tinubu compassionately promised not to take the people for granted. Their sacrifices, he assured, will not be in vain.

But government in this part of the world suffers serious trust deficit from the governed. Surprisingly, the Nigerian youths, workers, students, peasants and other segments of the populace who needed no mobilization to spill into the streets protesting, creating barricades and burning used tyres and even vehicles after successive increments in prices of petrol and related products as we have witnessed in the past; this time, in a rare demonstration of support, decided to give the new regime a benefit of the doubt. Or was it that the populace was shocked or taken unawares? So new a regime, so soon a policy! 

Labour leaders,  for save of face, announced mobilization for strike over the removal of fuel subsidy that instantly led to price increment, but the government did not  wait for the mobilisation to commence or for the ultimatum to expire, nor claim to be “unaware”; the labour was immediately engaged and made to see reasons. Labour shelved the planned mobilisation and negotiations are ongoing; more about cushioning the effects of the subsidy elimination rather than restoration of drain-pipe subsidy. 

There is a new president in town! A politician, businessman, economist, accountant and philanthropist combined! Tinubu struts where Angels dread to thread! His deliberate, calculated actions have so far underlined his previous remark that the presidency of the most populous nation in Africa has been his “life-long ambition”.

Like a hand long-itching to be active, long overdue bills were signed into law within two weeks. Students Loan Bill, signed!  Electricity Bill signed!  Judges Retirement Age Bill, signed! 

Even the usually conservative international media, as represented by Reuters in the “Baba Go Fast” article observed thus: “Nigeria’s new president, in office for less than a month, is pushing to put Africa’s largest economy on a reform track that investors have eyed for decades, fuelling excitement that money could flow to a nation that many had deemed uninvestible. Obviously, the task before the new administration was daunting but President Bola Tinubu’s bold actions, including removing restrictions on the naira currency that allowed it to hit a record 790 to the dollar and subsidy removals that tripled petrol prices, could take stress off the battered finances of Africa’s largest economy.”

The new president assured he will practice “open door policy”, and almost instantaneously, he demystified the seat of government.  The hitherto impregnable Aso Rock Presidential Villa had its gates literarily flung open. From the labour unions, traditional rulers, students, politicians, local and international businessmen, it is now like anyone could just wake up at home and say “I am going to the villa to see Mr. President!”

Furthermore, “sacred cow” called Godwin Emefiele, Central Bank Governor, who introduced a warped currency colour-change called currency swap that mindlessly led to collapses of businesses and death of many Nigerians, was suspended from office and arrested by the operatives of the Department of State Security (DSS). Tongues were still waggling on Emefiele fall from grace to grass when the head of the  government’s anti-corruption agency, Economic and Financial Crime Commission (EFCC), Abdulrasheed Bawa, was also suspended and “invited” by the DSS! These are the hitherto ‘untouchables’ who bestrode the landscape like a colossus.

What audacity! What courage! Not a few wondered where Tinubu got the balls from, especially when the helmsmen being suspended and arrested got a good cover from the immediate past administration produced by the same ruling party, the All Progressives Congress (APC) of President Tinubu. 

And as this article was being rounded up,  a tsunami came! In one fell swoop, the Service Chiefs, National Security Adviser, Inspector-General of Police, Comptroller-General of Customs, were gone! To avoid any vacuum, men and officers were appointed in acting capacities by the president, pending confirmation by the Senate.

Before the dust of sweeping removal and replacement of service chiefs could settle down, news came that all federal boards, parastatals, institutions and what have you, have been dissolved, save few. 

Nigerians and non-Nigerians are indeed awed by the actions of the new president. Vocal public commentators have commended his start; some political opponents have hummed his praise. The question now is: if the president will be able to sustain the commendable and commended pro-activeness? Only time will tell. But, if the morning tells the day, then, he has started well. We can only wish Mr. President Godspeed in the days, weeks, months and years ahead.

• Oladunjoye, a UNICEF trained social policy advocate, sent this from Mecca, Saudi Arabia.

• By Braeyi Ekiye

Though a Muslim, and unrepentant Izon son, Asari Dokubo is a notable freedom fighter and political figure in Nigeria’s Niger Delta region. He is a controversial, populist and forceful defender of the rights and privileges of the minorities of the Nigerian state, especially those of the Niger Delta stock and their environment.

Asari recently came under klieg lights while addressing Abuja State House correspondents after a meeting with President Bola Tinubu. He spoke far too much and wide during the conference, of the intended purpose of the meeting with his long standing friend of over 30 years, and its outcome, for which there has been very disparaging reactions from the military bracket.

An eager press waiting in baited breath as the unrepentant freedom fighter set to spill the vital torrents of his close-door meeting with President Tinubu. They were not disappointed. Asari, as a trained marksman, shot with precision at the heart of the Armed Forces of Nigeria for the woes crude oil theft has inflicted on the nation’s economy and the colossal despoliation of the Niger Delta environment by reason of this evil act of illegal bunkering. Of course, there has been very disparaging reactions from the Armed Forces since Asari’s outburst.

That notwithstanding, Asari’s shot at the military has not in any way diluted the import of his allegations against the military.

In his words: “The Army and the Navy were behind oil theft. They intimidate the Civil Defence, who are by law expected to protect oil installations. They tap directly from the oil head”, he said.

“What has been happening”, he continued, “in the last eight years is unprecedented anywhere in the world”, Asari lamented.

Dokubo categorically alleged that officers and men of the Army and Navy deployed to protect oil installations, instead, “set up facilities they call local refineries”, referring to the popular kpo-fire fuel. This, he said, is a crime against humanity.

He declared: “The livelihood of the people is being destroyed. The main culprits are the Army and Navy. There are notorious army commanders who are known to be the ones behind oil bunkering”.

Sounding optimistic, however, Asari Dokubo said that with the election of Tinubu and the support he enjoys from people like him and many others in the region, “there will be zero oil theft in the Niger Delta henceforth”, he assured.

He regretted that there were powerful persons based in Abuja that are behind this financial and economic crime against the Nigerian state, but was hopeful that with President Tinubu on seat, “they have met their match, and that many people will find their way to Kuje prison”, Asari promised.

To acute observers of oil theft cases which had gone unchecked for so long in Nigeria, Asari Dokubo is not saying anything new. Like a broken record, it has played out the umpteenth time. It is in fact, boring to have a repeat of the same story as told us by reputable institutions like the Nigeria Extractive Industries Transparency Initiative (NEITI), the Pan Niger Delta Forum (PANDEF) and other critical stakeholders in the Nigerian project as it relates to oil politics and its economic benefit to the cabal carefully chosen and sustained by governments over the years to assault the nation’s oil installations and deplete our foreign exchange earnings.

We recall that in September 2022, enraged by the continued oil theft in the Niger Delta, Tompolo blew the sealed lid open, by stating that government was the major perpetrator of oil theft. He not only exposed the complicity of international oil companies (IOCs) and Nigerian security officials, but that, his company Tantita Security Services Limited (TSSL), which is currently running a surveillance contract on oil pipelines and installations in the troubled region, as at then, intercepted 16 pipeline breaches.

The Saturday Vanguard of October 8, 2022, reported that Tompolo discovered the breaches after investigating those responsible for the act.

According to reports, the revelation provided top-secret information for the Chief of Defence Staff (CDS), General Lucky Irabor, and then Group Managing Director, NNPC, Mele Kyari, who hurriedly flew in from Abuja to Delta State to inspect the various violations. The delegation and security officials counted 16 breaches on the pipeline operated by SHELL Petroleum Development Company (SPDC), at Yokri Community and environs in Delta State on Friday, October 7, 2022, in their fact-finding mission. It has since been confirmed that the pipeline runs from Utumara to Forcados Terminal, where oil thieves, oil companies, and security officials in complicity, have been siphoning crude oil from the line for many years.

A visibly distraught General Irabor, who spoke to reporters on the spot, stated that the Ministry of Defence would not leave any stone unturned in its pursuit of the perpetrators. According to him, “the ministry would carry out an investigation on the entire stretch to find out those involved, and how long it has been, among other issues”. The nation is yet to know the outcome of such investigations, if at all any. The CDS statement is also yet to be matched with action. Only God knows how many of such oil pipeline breaches have been discovered ever since and what has happened to the perpetrators.

Perhaps, this was the reason why an 11-member Special Panel headed by the Interim Administrator of Presidential Amnesty Programme (PAP), Major General Barry Ndiomu (rtd) was inaugurated in early December, 2022. A member of the panel, Major General Babangana Monguno, the then National Security Adviser had stated the obvious at the inauguration that Nigeria was facing monumental loss of revenue that ought to have accrued from the sale of crude oil, “being the main source of its foreign exchange earnings”.

Monguno regretted that: “with the scale of the oil theft and losses and alleged complicity of regulatory agencies/officials and security personnel as well as the involvement of international collaborators, the enterprise is deeply entrenched and would be extremely difficult to exterminate without very stern and decisive action by government”.

The import of the NSA’s statement underscores federal government’s timid inaction over the many reported cases of massive oil theft over the years. Till date, no offender has been brought to book, nor is the Nigerian public apprised of the outcome of General Ndiomu’s high-powered investigative panel, whose report was expected to be submitted to the federal government on or before February 21. Four months after, nothing is heard about the findings and its implementation by government.

From the look of things, a Tinubu administration has a lot of house cleaning to do. There would also be the need for painstaking reflections of, and actions on institutional memories left to decay and gathering dust in various government ministries/agencies and institutions over the years on illegal oil bunkering and its associated environmental and economic crimes committed in the oil producing areas by IOCs and low and high profile criminals.

To start with, President Tinubu is graciously requested to look into the terms of reference of the General Ndiomu’s special panel of investigation on oil theft, whose mandate amongst others, is to investigate oil theft/losses in all its ramifications and propose wide ranging array of implementable recommendations to enable government take decisive actions to end the criminal act.

Here, Asari-Dokubo’s recent allegation that officers and men of the Nigerian Army and Nigerian Navy deployed to protect oil installations, instead of doing their assigned critical “national duty”, have set up facilities other than their critical assignment, to advance their selfish and inordinate ambition at the expense of national security, should not be taken lightly. Asari-Dokubo’s fact-of-the-matter pronouncements should be selflessly interrogated and its veracity or otherwise ascertained to address this reoccurring oil theft cases.

President Tinubu should act now, and decisively too, to be taken seriously. The Nigerian nation cannot afford to continue to be taken for a ride, not the least, the Niger Delta and her people, by a closely knit ‘Cabal’ of oil thieves and their local government, state, national and international collaborators who have held the nation hostage by their dastardly acts. This, no doubt, has had an adverse effect on the quality of leadership choices at the various strata of elective offices leading to the poor and unacceptable governance system in the country over the years. The reason being that, he who pays the piper dictates the tune; no matter the corrupt, inept and visionless leadership qualities of such contesters to elective offices.

Even though Navy Commodore Adedotun Ayo-Vaughan, Director of Naval Information has debunked Asari’s claims, dubbing it as one, only trying to court the favour of President Tinubu, a Tinubu administration should seek deeper into Asari-Dokubo’s allegations which are a common place, unless the nation and her leadership still want to continue, like the Ostrich, known to bury its head in sand, while the oil sector burns profusely and seriously deplete our earnings for the purposeful holistic development of the country.

• Ekiye, a publisher, , writes from Yenagoa, Bayelsa State.

• By Elvis Eromosele

Payment is an important driver of commerce and socio-economic development. The evolution of payment is today revolutionizing society. Across the African continent, technology intertwines with tradition forging a path toward financial inclusion. As digital payment infrastructure expands, businesses flourish and communities thrive. The once-insurmountable challenges of accessing financial services are being overcome, opening doors of opportunity for individuals and enterprises alike.

From the bustling streets of Nairobi to the vibrant cities of Johannesburg, and the ancient wonders of Egypt to the thriving markets of Nigeria, a transformative wave is sweeping across Africa. In this digital age, the continent is witnessing a revolution in the realm of financial connectivity, propelled by the remarkable rise of digital payment systems.

Indeed, digital payment adoption is rapidly gaining momentum, reshaping the way transactions take place. Today, digital payment solutions are weaving their way into the fabric of everyday life, revolutionizing the economic landscape. With a growing population embracing the convenience of mobile wallets and contactless transactions, Africa is charting a course toward a cashless future.

The continent has moved quickly from cards to the latest emerging digital solutions. Now that Contactless is on the board, how prepared is Africa to engage, mingle and progress?

Is Africa ready to step into a realm where innovation intertwines with progress, and where the potential for a more inclusive and prosperous future takes centre stage? The Digital PayExpo 2023, where visionaries, regulators, and industry experts converged to chart Africa’s transformative journey into the contactless revolution provided a scintillating insight into the future.

Adeyinka Adeyemi, Managing Director/CEO, INTERMARC Consulting, organiser of the forum in his welcome address revealed that the theme of this year’s event The Future is Contactless was chosen in recognition of the trajectory of digital payment.

According to him, “We are here to further our understanding of the impact, implications and direction of financial technologies, particularly to glean into the future of contactless payments.”

Right off the bat, the speakers conceded that financial inclusion has improved across the country with digital payment as the catalyst driving it. They argued that the regulators continue to play a crucial role in fostering confidence in the financial industry, particularly the Nigeria Deposit Insurance Corporation (NDIC) through the insurance of deposits and the Central Bank of Nigeria (CBN) proactive and forward-looking policy.

Bello Hassan, Managing Director and Chief Executive Officer, NDIC, delivering his keynote address emphasized the importance of financial inclusion and highlighted the significant progress made in recent years. He urged regulators to leverage innovation and digitalization to further enhance the function of the emerging digital economy. He pointed out that the introduction of eNaira and insurance for deposits in the financial sector were among the strategies discussed to foster confidence in digital payments and improve financial inclusion.

Musa Jimoh, Director, Payment Systems, CBN, highlighted the fact that regulators face a dilemma of keeping up with the speed of technological advancements. He stressed that risk mitigation and consumer protection should be top priorities to build trust in the digital payment ecosystem. He noted that it is important that issues around restitution and chargeback mechanisms are addressed effectively to allay consumer concerns.

Elias Igbinakenzua, MD, Globus Bank, provided insights into the future of banking, which is rapidly evolving towards a digital-first approach. He revealed that the transition from cards to digital payments was driven by smartphone adoption, increased internet penetration, and technological advancements. According to Igbinakenzua, “Efficiency, enhanced personalization, mobile banking dominance, open banking, and collaboration with fintech companies are crucial factors for future success.”

Experts, during the panel sessions, discussed the transformative potential of blockchain technology in the financial sector. They emphasized the need for banks to collaborate with fintech companies, leveraging big data analytics to offer personalized services and seamless customer experiences across various touchpoints. The consensus was that collaboration rather than competition between banks and fintechs was the key to success.

Education and awareness campaigns were deemed essential to address the lack of awareness and device limitations that hinder the adoption of contactless payments. The need for greater collaboration between tech entrepreneurs and the government, as well as the establishment of common regulatory frameworks for AI, was equally highlighted.

Experts equally emphasized the need for robust security measures, employee education, strong customer authentication, and the creation of alternative credit scores to minimize risks. Collaboration among industry players and the implementation of safety nets such as SIM PINs were identified as crucial steps in ensuring the integrity of digital transactions.

The Digital PayExpo 2023 highlighted the transformative power of contactless payments and the importance of collaboration, education, and innovation to achieve financial inclusion in Nigeria.

As the digital banking landscape continues to evolve, industry players must embrace technology, strengthen security measures, and provide seamless customer experiences. With concerted efforts from regulators, banks, fintech companies, and consumers, Nigeria’s digital payment ecosystem is poised for significant growth, shaping the future of the nation’s and indeed Africa’s economy.

Contactless payment refers to a method of making secure and convenient transactions without the need for physical contact between a payment card or mobile device and a payment terminal. It enables users to make payments by simply tapping their contactless-enabled cards or devices, such as smartphones or smartwatches, near a contactless payment terminal.

With the popularity of mobile payments, contactless credit cards and other payment systems taking off in recent years, it is clear that this trend will not be slowing down anytime soon.

The consensus is that contactless payment will spurn a tale of innovation and progress in Africa’s transformative journey. As more and more people tap into the potential of this technology, unlocking new possibilities and paving the way for a more inclusive and prosperous future. The stage is set, the momentum is building, and Africa is ready to embrace the contactless revolution.

The transformative payment journey for the entire African continent has begun!

• Eromosele, a corporate communication professional and public affairs analyst lives in Lagos.