The Nation Newspaper

Author: The Nation

  • ‘Electronic voting is the answer’

    Mr. Ganiyu Johnson, a member of the House of Representatives, recently interacted with stakeholders from his constituency, to know their needs and how best to represent them. In this interview with reporters, he spoke on the electronic voting, how the federal Government is the socio-economic challenges militating against the country. MUSA ODOSHIMOKHE was there.

     

    What is this meeting expected to achieve?

    During my campaign, I told the people of my constituency that I will make myself accessible to them. In fulfillment of the promise, I decided that henceforth, the last Saturday of every month, there will be a forum where we will meet. This I christened, ‘Meet Your Member of Parliament’.

    It will give us the opportunity of rubbing minds and knowing what the people want. It is also an opportunity to share their pains and problems.

    So, it is a thing of joy for them because they want to see their leaders and the legislator. They will interact with them directly instead of going through somebody else. So, it is a way of getting feedback, whether we are actually doing the job they elected us to do.

    Poverty is growing and there are complains that the APC is not doing enough to address it…

    Not long ago, we gave out some food items to our members. It was titled ‘Food For All’. That is to tell you that we are not relenting in our resolve to bring succour to the people.

    This , of course, will go from council to council within the Oshodi/Isolo Federal Constituency. We are really aware of the poverty level of our people and I can assure you that the party will address it.

    Part of the solution is the borders and now that they are closed, there is no need for imported food. This is because it will not enhance our economic life.

    People are now getting used to looking inward for their needs. They now think outside the box. That is why the government is encouraging people to patronize what we produce at home which is beneficial in the long run. 

    People are groaning as a result of the border closure…

    I must say that the closure of the border is of significant benefit. We produce almost all the food items brought to the country. Is rice that we don’t produce in quantum? Most of the things that we are talking about, we have them in Nigeria, but we preferred imported rice to the locally-produced ones.

    Again, the imported rice in most cases had expired. This is cancerous to our health, whereas our own foods are very nutritious. For instance, I eat LAKE Rice, but how long must we continue to eat expired food? I don’t think this is good for our development.

    The people along the borderlines think they are most affected. It is time they see the wisdom in the decision to close the borders. We should think about the long-time effect of government policy and not the immediate pains that accompany border closure.

    We are looking at Nigeria as a whole and not in isolation. The people along the borders are not the only Nigerians in the country.

    It just unfortunate that Nigerians, who live along the border corridors, see themselves as the only ones affected by the closure, this is not true.

    How long can you sustain the poverty alleviation programme?

    By the grace of God, we will continue to sustain the programme and the noble ideas behind it.

    What we are doing is a commitment and we are prepared to bear the burden in the interest of our people.

    We shall continue with it every month and I think the people are willing to give us the support to serve them better.

    What has been the feedback from the people since you started the programme?

    What I have done in order to fulfill my own pledge and quota, is to appoint coordinators in each ward.

    We have 13 wards in the Oshodi/Isolo Federal Constituency. The coordinators are supposed to meet with the community development association members, landlord association members, party chieftains, stakeholders, and all NGOs, to know their needs.

    To the glory of God, I have been able to generate a template. In each ward, I know their need and plans are underway to address them.

    All I need to do is to give those who need transformers, boreholes what they need. At the end of the day, all the wards will benefit one thing or the other.

    I have the feedback already and that is what I am working on. Besides, I am just five months old in the office.

    You pleaded with Lagosians to be patient over the issue of bad roads. What is the way out?

    Most of our roads degenerated to this bad position due to negligence.

    This happened for too long. I must say that road works are not often done during the rainy season. I am happy that Lagos has commenced work on the roads, but climate change has not been fair to us.

    I am happy that the contractors have moved to the site. I want to assure you that work will not stop because this is the time that we can work that is between now and April.

    Read Also: 5,000 members rejoin APC in Oyo

     

    At the end of April, Lagos will wear a new look, in terms of road infrastructure.

    How about the budget?

    The National Assembly has worked on the budget, but don’t forget that we have so many committees that met on the budget.

    The National Assembly constituted committees; each committee set the budget before to get their own views. And if they are not responding in time, it will make our own job difficult.

    In fairness to them, they have responded and we have round off.

    What is your take on the recent call for the amendment of the law to allow e-voting?

    Think about it, have we not implemented electronic voting? Is the card reader not electronic? Before you vote, you take your PVC and the card reader, this will authenticate whether you are the bearer or not.

    So, what are we trying to say about electronic voting? People are just being mischievous and that is the truth. What is electronic all about?

    The card reader itself is electronic. We should just try to encourage ourselves. What we need to do is just to have lots of campaign on how to make the system work. We need to sensitise our people to come out and vote during elections. Some people don’t have PVC and they are not ready to vote.

    And to put it appropriately,  sensitisation is the key word. You must go out and vote during the election. INEC must let the people know why they must not sell their votes.

    If this is done, I think we are good to go for now. We can begin to build on that, but we have to ensure that people understand their civic rights. Again, don’t forget that we don’t have an election budget for the nation.

    Let me quote Mr. President, he said the money we earn from oil cannot take care of the infrastructural deficit and that is the truth. We are blessed with oil, but the money we earn cannot fill in the gap of infrastructure.

    That is why we must educate, sensitize our people that they should try to be orderly during elections. Again, election is not a do-or-die affair, when you are popular the people will vote for you.

     

  • Omo-Agege calls for unity in Delta APC

    By Raymond Mordi

    THE Deputy Senate President, Ovie Omo-Agege, has urged members of the All Progressives Congress (APC) in Delta State to close ranks to reposition the platform for victory in future elections.

    The senator representing Delta Central gave the advice during an interactive section with chieftains of the party from the Ika.

    A statement from his Deputy Chief of Staff, Alex Onwuadiamu, said.

    It is imperative for members to accommodate one another, irrespective of the differences that had arisen from the last party congresses which polarised the party into two factions.”

    Onwuadiamu who represented Senator Omo-Agege at the event said: “Due to the outcome of the last party congresses, the party was torn into two. Some people took the party to court which lasted up to the Supreme Court.

    At the end of the day, the court made it clear as to who the substantive executives are.

    “It is therefore expected that after the court cases, the party should by now come together, so that we can in unity go to elect new executives in the forthcoming congresses.

    Read Also: Oshiomhole, Obaseki fight over APC rally

     

    I would not want a situation where we had to experience what happened in the past. Therefore, it is imperative that a stronger unity of bond is fostered among party members, so that the coming congress would be rancour free.

    “As things stands now, there is no victor, no vanquished; APC remains one indivisible family in Delta State. Therefore, we should carry all members along and ensure that there is no discrimination; for that is the only way we can win election in Delta State.

    “Do not forget that as a party we have never won an election in the state, but I can assure you that in 2023 APC will take its pride of place in Delta State.

    That is why the Deputy Senate President has also emphasized that henceforth people will be rewarded according to the measure they put to make the party succeed.”

    He called on the party chieftains in Ika to prepare ourselves for the coming party congresses and to support the leadership of the party for the progress of the entire fold.

     

  • Governor-elect urges EFCC, ICPC to monitor last minute transactions in Bayelsa

    By Mike Odiegwu, Yenagoa

     

    Bayelsa State Governor-elect David Lyon, has raised the alarm over alleged last-minute transactions by key figures of the outgoing government to compound the financial woes of the state ahead of the February 14, 2020 handover.

    Lyon in a statement by his Acting Media Adviser, Chief Gift Ebiki,  advised banks and other financial institutions to desist from issuing  loans, overdrafts and other forms of credit facilities to Governor Seriake Dickson and key figures of the administration.

    He said such credit facilities aimed at crippling the financial base of the state to make things difficult for the incoming All Progressives Congress (APC) government and should not be extended to unverified projects being carried out by the Dickson administration.

    Lyon called on the Independent Corrupt Practices Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC) to beam their searchlights on the activities of the outgoing government to forestall corrupt practices and looting of state treasury.

    Read Also:

    The governor-elect urged the managing directors of 22 banks to stop such further transactions in the collective interests of the people of Bayelsa. He urged the financial institutions to exercise caution in the interest of the people.

    Read Also: Lyon to banks: stop giving loans, other facilities to Dickson

     

    The directors of financial institutions  named in the statement are those of Access Bank Plc, Citibank Nigeria Limited, Diamond Bank Plc, Ecobank Nigeria Plc, Fidelity Bank Plc, First Bank Nigeria Plc, First City Monument Bank Plc, GTBank Plc, Keystone Bank and Polaris Bank.

    Others are Providus, Stanbic IBTC Bank Limited, Standard Chartered Bank Nigeria Limited, Sterling Bank Plc, Sun Trust Bank Nigeria Limited, Union Bank of Nigeria Plc, United Bank for Africa Plc, Unity Bank Plc, Wema Bank Plc and Zenith Bank Plc.

    The statement reads: “These institutions are warned that such applications and requests hurriedly made as the curtain drops on this administration should be dishonoured in line with sound internal control and governance principles.

    “This warning comes as the transition arrangements are showing desperate steps being taken by top officers and key figures of the outgoing administration to compound Bayelsa’s already worrisome debt profile.”

     

  • Bello and challenges of second term

    Kogi State Governor Yahaya Bello has been returned for a second term, following his victory at the November 16 election. Dogged by criticisms in his first term, he is now exibiting traits that give hope that he may deliver  dividends of democracy to the people in his second term. JAMES AZANIA reports

    Shortly after he was presented with a certificate of return for a second term, Kogi State Governor Yahaya Bello sent out signals that, in the next four years, he will be positively impact on the people.

    “The governor has assured the people of his administration’s commitment to concentrate on the comparative advantages of the state in order to take Kogi economy to the next level,” said Bello’s Director General of Media and Publicity, Kingsley Fanwo, in a statement.

    The governor expressed confidence in leading the state to prosperity.

    Bello said in the last four years his administration has been “striving to remove the state from social and economic shambles,” assuring that it is time to move the state into sustainable development.

    Many challenges will face the governor in his second term.  Stakeholders expect him to mobilise human and material resources to develop Kogi.

    Bello said: “Kogi has been seen as the capital of mineral resources in the country with the presence of heavy mineral resources in the state. The state is also home to rich human capital. We have water bodies that are massive and historic as well as a good number of tourist traps.

    “But, we believe our prosperity is not only in those minerals and tourist sites. We have a massive advantage in our location. We are at the center of ten big states and many states in about three geo-political zones need our gates to enter the Federal Capital Territory (FCT).

    “Our economic team is looking at harnessing these realizable potentials to boost our economy and create more opportunities for our people. As a government, we will continue to promote agriculture in order to create more jobs, more opportunities and more windows to mitigate poverty in the society. Kogi is already a leader in cashew and cassava production. We want to do more as well as attract investors all over the world to help us convert our potentials to wealth.

    “Our administration was re-elected to do more. We were re-elected to create more infrastructure and give more security to our people. The administration will never let the people down. The momentum will be sustained as leaving a good legacy of development remains the priority of the New Direction Government.

    “On November 16, history was made as we recorded an unprecedented margin in our electoral victory. We thank the people for the massive endorsement of our programs and policies. We will do more.”

    The Independent National Electoral Commission (INEC) presented certificate of return to Bello and his deputy and running mate, Edward Onoja, during a ceremony at the Professor Mahmoud Yakubu Hall, INEC state headquarters, Lokoja.

    Bello (APC) polled 406, 222 votes to defeat his closest rival, Musa Wada of the Peoples Democratic Party (PDP), who polled  189,704 votes.

    The INEC National Commissioner in-charge of the North Central, Mohammed Haruna who presented the certificate to Bello, said, “today marks a new beginning after the election and a call to duty for the governor-elect.”

    The Kogi State Resident Electoral Commissioner (REC), Prof. James Apam said the presentation was in line with the tradition of the commission, which it always look forward to.

    “We know what we went through to get to this stage and its time to settle down for the job ahead,” he said.

    Unlike during his first term when excuses can be marshalled for possible unpreparedness for the office, his reelection showed that the governor is no more a novice.

    He said he will continue to pursue those laudable projects he pledged during the electioneering campaigns.

    Bello called on the people to cooperate with him in order to continue to make Kogi peaceful and free of criminal activities, saying it was the only way investors can have confidence in the state.

    He assured that the next level of his administration will deploy more technology in combating crimes, as his administration remains committed to making all safe.

    “The New Direction Government will continue to drive its efforts in education, which is the bulwark of our progress. We will also continue to improve the quality of personnel and facilities in our healthcare system. To us, youth and women empowerment is non-negotiable.

    “We urge Kogites around the world to partner with us in marketing the unbeatable brand that our state represents. As a government, we will continue to provide the enabling environment for innovation and prosperity.”

    Read Also: I’ve burned ethnicity in Kogi with my victory-Yahaya Bello

     

    Bello said the state Internal Revenue Service has improved the revenue generated internally by the, expressing confidence that the outfit will be a “veritable driver” of the 2020 budget.

    No doubt, the revenue service must have upped the state’s resources in the last two to three years of its repositioning under his administration. Bello needs other sources of revenue to drive the economy of the predominantly civil service state.

    For a state capital that can boast hardly of more than two branches of any large Banking group, one in some cases, the administration will have to put on a very large thinking cap, and maybe bring along a board of resourceful hands that were mainly lacking in the mix of the last four years.

    Going by Bello’s manouver that resulted in the neutralisation of the political landmines that bedeviled his administration, and for which many had predicted will make him only a one-term governor, Bello has exhibited the ability to bring water from stone.

    Beginning from political adversaries, including James Faleke, running mate to Prince Abubukar Audu, in 2015, who on the eve of the governership election posed in pictures with Bello, with the traditional Kogi APC four plus four fingers raise, and the coming on board his campaign train of hitherto strong critics, Bello appears to possess the magic wand to sustain political harmony in the state, which by all measures, and with all hands on deck augur well for the state.

    “No doubt, political wranglings right within the rank of his party (APC), affected the administration badly, to the extend that Bello was forced into being a fighter,” said a party chieftain, who did not want his name in print.

    To shore up his popularity, Bello  went on road rehabilitation that transformed the capital, so much so that a visitor to Lokoja, will remain unconvinced, were he or she to be told of bad roads in the city. To his credit, the road maintenance and sanitation of Lokoja has not stopped after his victory at the poll.

    In the absence of clear-cut economic roadmap for the state, Bello’s New Direction agenda policy, which in the last four years has served as fulcrum of his administration, may have to be energised, if he is to deliver on the words made after his November 16 victory.

     

  • Turkish Airlines launches flight to Rovaniemi

    By Emeka Ugwuanyi

    Turkish Airlines said it has  added Rovaniemi to its extensive flight network.

    According to a statement by the carrier,  Rovaniemi, famous for being one of the most significant locations to witness northern lights, makes the second destination Turkish Airlines flies to in Finland following Helsinki.

    The service which started since December 5, 2019 is operated thrice weekly , increasing the airline’s route to 317 .

    During the ceremony of the inaugural flight Turkish Airlines Board Member Orhan Birdal said : “As the airline that flies to more countries than any other, Turkish Airlines is now happy to add Rovaniemi to its flight network, the second destination of the airline in Finland after starting its flights to country’s capital city of Helsinki back in 1988.

    We will operate three reciprocal flights to Rovaniemi, one of the most popular winter tourism destinations due to being a premier location to witness the northern lights.

    Read  Also: Push for airlines’ ownership of airport

     

    As the first airline outside of European Union to have scheduled flights to this destination and the only airline to offer business class product on the flights to Rovaniemi, we invite our guests from all over the world to experience this special city via our extensive flight connectivity that covers 317 cities in 126 countries.”

    He further said :” Rovaniemi is considered one of the best locations to witness the northern lights.

    The variety of its winter activities and its premier location to experience northern lights makes Rovaniemi one of the most popular winter tourism destinations while it offers different options to its guests from all over the world with eco-friendly glass igloos and ice hotels. “

  • INTELS empowers 84 women in WEPSS initiative

    By Emeka Ugwuanyi

    Nigeria’s oil and gas logistics firm, INTELS Nigeria Limited has graduated a fresh batch of 84 women under its flagship Corporate Social Responsibility (CSR) programme known as the Women Empowerment Programme Scheme Synergy (WEPSS).

    This is the second batch of women to benefit from the programme this year. In June, 80 women benefitted from the empowerment scheme.

    Speaking at the graduation ceremony held at the Federal Lighter Terminal, Onne, Rivers State recently, the General Manager, Legal and Corporate Services of INTELS Nigeria Limited, Mr. Mike Epelle, reiterated the company’s commitment to the empowerment of women.

    He said: “This is a project that is very dear to the heart of our Group Chairman and of course the management of INTELS takes everything about the training going on here very seriously.”

    Epelle commended the beneficiaries for successful completion of their training programme and urged them to make good use of the skills they have acquired during the course of the training.

    “The fashion industry has really grown. In Nigeria, it is a big industry and you can make a living and take care of your needs in life if you apply yourself to what you have learnt and what you are going out to the society with. All you need to do is to be dedicated to your work. You can start small and sustain what you are doing,” he said.

    WEPSS Project Head, Nancy Freeborn, congratulated the beneficiaries for working hard to achieve their dreams.

    She charged the beneficiaries to “make INTELS proud by putting into use the skills that you have acquired”.

    “It gives us a lot of joy when we go on our follow-up exercise and see people who are really putting into use the skills they have acquired,” she said.

    Freeborn said in addition to tailoring skills, the beneficiaries are taught soft skills such as personal hygiene, business management, social ethics and responsibility.

    Read Also: 100 women empowered in Ondo

    “The kind of training our trainees receive here is comparable to international standards,” she added.

    At the graduation ceremony, 29 years old Maltina Thompson, who emerged best performing trainee was provided with a full start-up kit which included an industrial sewing machine, steam iron, chair, scissors, box of tailors’ chalk and measuring tape.

    Thompson expressed appreciation to the management of INTELS for the kind gesture of impacting on women through the empowerment scheme even as she assured that the skills she acquired during the training would be put to good use.

    INTELS is a leading port operator and Nigeria’s largest oil and logistics service company. Established in 2013, WEPSS was set up by INTELS to train Nigerian women in fashion design and tailoring. Since inception six years ago, no fewer than 1,200 women drawn from various communities across the country have graduated from the programme.

  • NASS lauds Oilserv for Nigerian Content commitment

    By Emeka Ugwuanyi

    Oilserv Group has been commended  for its commitment to Nigerian Content development, with the Engineering, Procurement and Construction (EPC) company described as a good reference for local content success story.

    The commendations came from Hon. Ochiglegor Idagbo representing Bekwarra/Obudu/Obanliku Federal Constituency, who was one of the panelists at the just concluded practical Nigerian Content Conference (PNC) organised by the Nigerian Content Development and Monitoring Board (NCDMB)in Yenagoa, Bayelsa State, said Oilserv has all it takes to compete with any oil service firm across the world.

    Speaking on the sub-theme “What must be done to improve critical infrastructure for the oil and gas sector to boost investment and increase industry activity,” the lawmaker said Oilserv has contributed to building very critical infrastructure that has contributed and will continue to contribute to the development of the oil and gas industry and the economy.

    He also stated that Oilserv will execute a portion of the AKK project and still be winning big contracts due to the expertise of the firm and the obvious fact that the company has grown tremendous capacity in the industry while also judiciously utilising funds from the NCDMB through the Bank of Industry (BoI).

    The Chairman of Oilserv Group, Emeka Okwuosa, in an interview with the Bank of Industry, said: “There was little or no indigenous participation in the EPC scope of activities in the oil and gas industry in the past but Oilserv came in as a pioneer and changed the narrative based on my experience while working for schlumberger internationally.”

    Okwuosa reiterated Oilserv’s resolve to be not only a leading indigenous EPC company in the pipelines and facility business but also the company of choice.

    “The journey of Oilserv as the leading indigenous EPC Company in this sector has its roots in a number of many first achievements,” he said.

    Oilserv has earned reputation for quality, safety and on-time delivery of projects, the Nigerian National Petroleum Corporation (NNPC) said during a visit to the Gas Treatment Plant (GTP) site of the OB3 Project, one of the projects being handled by Oilserv.

    The NNPC management led by the Chief Operating Officer (COO), Gas and Power, Usman Yusuf and the Managing Director of the Nigerian Gas Company (NGC), Dr. Jamal, commended Oilserv for outstanding performance.

    Read Also: Reps to investigate NNPC over $396.33 million spent on TAM

     

    Oilserv is set to deliver its portion (Lot 1) of the AKK Gas Pipeline Project. The scope of work includes the engineering, procurement, construction, installation, testing, and commissioning of a 40″ x 614km class pipeline system from Ajaokuta to Kano, with associated valve stations, intermediate and terminal gas facilities.

    It is worthy to note that Oilserv is the only Nigerian EPC Company among contractors.

    The AKK Gas Pipeline Project constitutes Phase 1 of the Trans-Nigeria Gas Pipeline (TNGP) Project. It originates from Ajaokuta traversing Abuja, Kaduna and terminating at a terminal gas station in Kano.

    The proposed pipeline will be supplied with quality gas sourced from various gas gathering projects. The project will be delivered through a Build and Transfer (BT) public private participation (PPP) model with 100 per cent contractor financing. Oilserv is ISO 9001:2015 certified.

    Oilserv is an engineering, procurement, construction, installation and commissioning company, has been a major player in the sector since its inception in 1992.

    The Company has contributed to the development of pipelines infrastructure, having executed various turnkey projects including the Obiafu, Obrikom, Oben Gas transmission Pipeline System which is currently at the commissioning phase.

     

     

     

  • Ecobank CEO advises youths on savings

    COLLINS NWEZE

    The Managing Director, Ecobank Nigeria, Patrick Akinwuntan, has called on students and youths to imbibe the habit of saving, stressing that it would make them financially responsible and stable.

    He spoke at a lecture to mark World Savings Day at Ahmadu Bahago Secondary School, Minna, Niger State.

    Represented by the Zonal Head of Operation, North Central, Mr. Sadiq Adeyemi, Akinwuntan defined saving as money set aside for future use, adding that it is also an income earned that is not spent.

    ”I urge you to give priority to saving a portion of funds that come your way.  This should be deliberate and intentional. Savings will create room for your financial independence, and it will enable you to handle emergency situation, pay for accommodation, education, self development, retirement and vocational lifestyle, while also ensuring a guaranteed future,” he said.

    He pointed out that savings would create room for financial independence and helps in times of emergencies; it also helps address vital needs such as accommodation, education, self-development, retirement and vocational lifestyle.

    Read Also: FCMB promotes savings culture among youths

     

    He urged the students and staff of the school to approach a financial institution to open a savings account, stating that such savings would in turn earn them interest. “To the students, learn to save at least 10 per cent of your pocket money and watch your money grow by way of interest payment by your bank.”

    He said saving in a bank would give them access to loans. He appealed to parents to encourage their wards/children to save their money in a bank at their young age, saying such behaviour would not only make the children financially prudent but will also discourage them from social vices such as stealing.

    He observed that money not saved in bank is prone to theft, misplacement and could get lost in the event of fire outbreak.

    The World Savings Day (WSD) initiative is set up by the Bankers’ Committee through its Financial Literacy and Public Enlightenment Sub Committee (FLSC) for children and youths in secondary schools nationwide, both public and private, with the aim to educating them on the essence of saving.

     

  • $60b I&E forex cash helps naira stability

    The over $60 billion turnover recorded in the Investors’ and Exporters’ (I&E) Forex Window in 2019 has surpassed stakeholders’ expectation and raised new hopes for continuous stability of the Naira. Launched by the Central Bank of Nigeria (CBN) in April 2018, the window is not only a boost to forex liquidity, it has boosted foreign capital inflows into the economy, writes COLLINS NWEZE

     

    Not many investors  local and international gave it any chance to succeed when it was unveiled. But 29 months after, the Investors’ and Exporters’ (I&E) Forex window, launched by the Central Bank of Nigeria (CBN) in April 2017, has attracted over $60 billion to the economy. It has also remained one of the key instruments expected to help stabilise the local currency against other currencies.

    The I&E Forex window, seen as a ‘willing buyer, willing-seller window’, allows foreign investors to bring in dollars into the economy at any price of their choice, provided they could find buyers at such rate. The figure at the window has also impacted positively on the Purchasing Managers’ Index (PMI).

    CBN Governor Godwin Emefiele said the I&E Forex window is one of the policies that sustained the stability of the naira and will continue to raise foreign capital inflows into the economy.

    He said at the 54th Annual Bankers Dinner in Lagos at the weekend, that as part of the bank’s priorities for next year, the regulator is determined to maintain its stable exchange policy stance in the near to medium term given the relatively high level of reserves.

    Emefiele, who spoke on the theme: “Delivering a strong Sustainable Growth for the Nigerian  Economy”, added that the dollar inflows through the window  have supported naira’s stability.

    He said: “With a moderated inflation rate, positive Gross Domestic Product (GDP) growth and improvements in our external reserves position, the naira-dollar exchange rate at the I&E Forex window has remained stable for the past 29 months at N360 – $1 and we have witnessed significant convergence in the exchange rate across the various market windows.

    Local currency has also remained at N306 to dollar at the official market.”

    A report by FSDH Research, said that prior to the I&E Forex window introduction, the market and exchange rates were in turmoil. However, in a dramatic turn of events, the acute shortage of forex which businesses and individuals grappled with, witnessed an unprecedented improvement, with banks and Bureaux de Change (BDCs) now desperately looking for forex buyers.

    The FSDH Research Monthly Economic and Financial Market Outlook, said the positive domestic  and external environment will  further lead to external  reserves accretion  in  the short-term, a development the report predicted, will further stabilise the foreign exchange rate.

    Read Also: $57 budget 2020 oil benchmark unrealistic, says CBN

     

    Defending the Naira

    The CBN injected over $10.97 billion into the foreign exchange market between January and October, last year to defend the naira against other major currencies, including the US dollar. Similar interventions have been injected to the market within same period of this year.

    The $10.97 billion was based on weekly compilation of amount released by the apex bank to boost liquidity in the foreign exchange market.

    The CBN usually intervenes in the foreign exchange market by injecting liquidity about three times a week. The intervention is provided to authorised dealers in the wholesale segment of the market as well as other sectors of the economy such as agriculture, manufacturing and the Small and Medium Enterprise segment.

    Customers that required foreign exchange for invisible things such as tuition fees, medical bills and Basic Travel Allowance are also allocated funds from the intervention.

     

    Before I&E Forex window

    Before the introduction of the forex window, the local equities market and the foreign exchange (forex) market were in shambles.  The All Share Index (ALSI) was continuously shrinking and the naira weakened against other currencies, especially the dollar.

    The I&E window has become the attraction, making many of the business concerns to take another look at their exit from the country.

    The introduction of the window was followed by continuous interventions by the CBN which enabled banks and BDC operators to meet forex demand at the retail end of the market. Thus, the window has become a life-saving pill for the domestic economy as it has attracted about $60 billion into the market, enhanced transparency and made forex available to the end-users.

    The operations of companies, especially manufacturing, has been on the upward swing with an improvement in inflation figures as well as equities market performance.

    Before the stability in the forex market and naira, the economy witnessed a depressed Gross Domestic Product (GDP) growth, which culminated in a recession in 2016.

    “There was also rising inflation, which peaked at almost 19 per cent in January 2017 and a persistently rising unemployment rate to 14.23 per cent in 2016 fourth quarter from 6.41 per cent as at 2014 fourth quarter. There was also a significant depreciation of the exchange rate, reaching N525 to $1 in February 2017 and witnessed a fast depletion of the reserves which was drained down from about $23.6 billion in October 2016 from as high as $40 billion in January 2014.

    A  Lagos-based economist and Managing Director, Financial Derivatives Company Limited, Bismarck Rewane, described the introduction of the I&E forex window as the best policy implemented by the CBN.

    Speaking on the issue, CBN’s Director, Corporate Communications, Isaac Okorafor, reiterated the bank’s commitment to ensure adequate forex supply to genuine customers to achieve the goal of forex rates convergence.

    Managing Director, Afrinvest West Africa Plc, Ike Chioke, said the window has won the confidence of foreign investors. He said the window attracted foreign investors’ appetite for Nigerian assets leading to impressive appreciation in the equities market and stabilising the naira.

    Before the introduction of the window, foreign investors’ appetite for local assets waned significantly on the back of currency crisis which in turn fundamentally weakened macroeconomic performance, dragged corporate earnings and also impacted on equities market viability.

    According to the CBN spokesman, forex supply to the window shall be through portfolio investors, exporters, authorised dealers and other parties with foreign currency to exchange to naira. The apex bank is a market participant at the window to promote liquidity and professional market conduct.

    He said that the apex bank assured that the exchange rates of the transactions would be as agreed between authorised dealers and their counterparties.

    Besides, he said the regulator reserved the right to intervene as a buyer or seller, as it deems fit, in the window, even as information on transactions between authorised dealers is reported to the CBN on a daily basis. Manufacturers and other foreign exchange (forex) end-users also seem to be having a great time over the coming of the window.

    Barely a month after trading at the window commenced operation, international credit rating agency, Fitch Ratings, released a report, stating that the establishment of the I&E Forex window had led to an improvement in banks’ forex liquidity situation.

     

    Currency control measures

    The CBN has imposed some currency control measures to save the naira. In June 2016, it curbed access to the interbank currency market for importers bringing in a variety of goods. In an effort to conserve its dollar reserves, the bank said importers could no longer get hard currency to buy 41 items, ranging from toothpicks and rice to steel products and private jets.

    Other measures it took include the first Naira-Settled Over-the-Counter (OTC) Forex Futures Market (FFM) launched with FMDQ OTC Securities Exchange and the planned resumption of dollar sales to the BDCs.

     

  • Edo 2020: Obaseki and the APC ticket

    By Gideon Obhakhan

    The current tenure of Edo State governor, Godwin Obaseki, will end November 12, 2020. In a recent meeting where he hosted a few elderly men in Benin City, the governor declared that he will run for a second term as governor of Edo State.

    In his words, “Second term for me is non-negotiable… I am demanding it, because I deserve it and I think I have earned it”.

    Although he sounded more like a dictator than a democrat in his demand for a second term under a democratic setting, it is okay to excuse him because he has a fundamental right to freedom of speech as enshrined in the constitution of the Federal Republic of Nigeria.

    However, what Obaseki did not say in that meeting was the political party platform that he intends to use as the vehicle to actualize his dream. This vacuum so created, and which urgently needs to be filled is the fulcrum of this piece.

    Obaseki may have assumed that everyone knows his political party and as such he didn’t need to mention it in his speech.

    His silence on the party he intends to use may also be both strategic and intentional, considering his alleged romance with the main opposition party which led to his suspension by some members of the All Progressives Congress on November 13.

    The reasons given by the APC stakeholders for his suspension include, but not limited to his failure to continue with the laudable projects started by his predecessor, his recent romance with the opposition People’s Democratic Party, PDP and his alleged payment of huge amount of money to some PDP leaders with the intention of lobbying them to give him PDP’s governorship ticket in the forthcoming 2020 gubernatorial election in Edo State.

    Some of these actions may be pointers to the political platform that Obaseki intends to use, but the focus of this piece is not to discuss the platform he will use, but to highlight the major odds in his way to getting the APC’s ticket.

    First is the provision of the constitution of the All Progressives Congress. Under the APC’s constitution, it is expressly stated that a member of the party who takes the party to court without exploiting all relevant conflict resolution mechanisms provided by the party’s constitution, will be expelled from the party.

    The governor is clearly in breach of this provision having taken the party to court for admonishing him to do the right thing by issuing a fresh proclamation letter for Edo State House of Assembly to be properly inaugurated.

    The admonition by the National Working Committee of the APC followed the nocturnal inauguration of nine out of the 24 Edo State members-elect by 9:30pm on June 17.

    Apart from taking the party to court, the improperly constituted house is still in operation and carrying on in clear breach of section 91 of the constitution of the Federal Republic of Nigeria.

    That section states that “a House of Assembly of a State shall consist of not less than 24 and not more than 40 members”. Yet, the governor appears to pride himself as one who has made history as the only governor in Nigeria to run a state House of Assembly with only 10 members.

    This clear constitutional breach by the governor is making all law-abiding leaders of the APC to distance themselves from him and this could obviously cost him the party’s ticket.

    Secondly, Obaseki has been accused of carrying out anti-party activities on several occasions and he has not come out publicly to refute any of such allegations.

    Key amongst these being his alleged unholy relationship with top PDP leaders who have openly endorsed him for a second term. Some of these PDP big wigs have been suspended from their party for endorsing an opposition candidate instead of projecting their own party’s candidate.

    The question APC members are asking is why shouldn’t Obaseki be punished for that same offence as specified in APC’s constitution.

    Read Also: Edo 2020: APC, PDP guber aspirants in early moves

     

    He has also been accused of reaching out to some PDP governors in the South-south and Southeast in an apparent move to procure support for his bid to take the PDP governorship ticket.

    It is also no longer news that Governor Godwin Obaseki lost his electoral ward, local government area, federal constituency, senatorial district and state to the PDP in the 2019 general elections.

    Two things are worthy of note here considering his poor performance in the last general elections. First is the fear that with a candidate who could not deliver his own immediate constituency, the APC will be taking a leap in the dark if he is again featured as the party’s flag bearer in the 2020 governorship election.

    The second angle to this is the issue of morality, fairness and justice as it relates to the guidelines developed by the governor and approved by the state executive committee of the APC in 2016.

    In the guidelines, Obaseki clearly stated that never again shall the party reward failures. He said that for any person to be qualified to contest for any elective position, the person must have won elections in his/her own ward or local government area depending on the position being contested. This was duly followed in subsequent elections and many people were denied party tickets because of these guidelines.

    The big question now is that since Obaseki is not qualified by his own guidelines to contest for the governorship position, what moral justification does he have to demand a second term?

    The most obvious reason why the APC ticket may elude Obaseki is the massive rejection by the party’s leaders. On social media, the cyber activists are doing a great job of drumming support for him.

    The governor alluded to this in a recent interview where he said that for every negative comment against him on social media, he has at least 60 people reacting in his favour.

    I cannot dispute this statement; neither will I join issues with those who may be currently earning a living by attacking anything and everything that appears to highlight the reality of Obaseki’s rejection by the decision makers in APC.

    What I do know is that those who are going to make the decisions are not necessarily losing sleep over what is happening in the virtual internet space. I also know that those who are surrounding the governor today are largely those who are poised to share from the on-going largesse being distributed in a desperate bid to procure a second term ticket.

    My advice, however, is that Governor Godwin Obaseki should throw in the towel as it is now obvious that his hope of getting the 2020 governorship ticket on the platform of the APC can only remain in the realm of ambitious dreams.

     

    • Obhakhan, former Edo State Commissioner for Education, wrote from Benin City.