Category: Money

By Collins Nweze

Unity Bank Plc has partnered the launch of Ekiti Rice Pyramid Project in the Southwest.

The launch was a follow-up to the unveiling of the Rice Pyramid earlier in the year in Kebbi State, for the Northwest and Gombe State in the Northeast.

The bank has also sponsored no fewer than 900,000 smallholder farmers in rice production across the federation to benefit from the Central Bank of Nigeria’s (CBN’s) intervention fund under the Anchor Borrowers’ Programme (ABP).

Over 278 metric tonnes of rice paddy were on display at the event attended by several stakeholders in the rice production value chain including the Ekiti State Governor Kayode Fayemi and CBN Governor Godwin Emefiele.

Unity Bank said it provided more funding to 500,000 rice farmers across Nigeria in the wet and dry season farming last year.

Reflecting on the impact of the funding interventions for the rice farmers since the launch of the Anchor Borrowers Programme, the Managing Director of Unity Bank Plc, Mrs. Tomi Somefun, recalled that through the strategic partnership with them, the bank financed about 273,000 smallholder farmers at the onset of the programme, which was then the largest single-ticket transaction in any CBN intervention programme in the agricultural sector.

In 2019, she said, the bank followed up with the financing of another 146,810 smallholder rice farmers for the wet and dry season farming, cutting across 35 states of the Federation and the Federal Capital Territory (FCT).

The bank sustained the momentum in 2020 by extending additional funding to over 500,000 smallholder farmers in 2020 wet and dry season farming activities, in furtherance of the Bank’s commitment towards supporting rice farmers.”

Represented by the Regional Manager, Southwest, Adenike Abimbola,

Somefun commended the Central Bank for sustaining the Anchor Borrowers’ Programme initiative, adding that it is imperative to boost food production and attain self-sufficiency in food production in the country.

She enjoined the rice farmers to utilise their input judiciously and continue to show commitment to the government’s agenda of driving food security through rice production.

She said, “We urge the beneficiaries of the Intervention Programme to utilize the inputs judiciously and ensure the sustainability of the Programme by repaying their loans.”

“They should appreciate the efforts of the Government in attaining food sufficiency, diversification of the economy from oil, job creation for the teeming youth and poverty reduction. We also advise our farmers to imbibe good agricultural practice as it has been established that doing so would enhance yield and greatly increase farmers’ incomes.”

She added, “We remain optimistic that RIFAN under the able leadership of the National President, Alhaji Aminu Goronyo, will continue to educate its members on their roles and responsibilities under the ABP.

“Unity Bank is fully committed to its partnership with RIFAN to support the programme. This commitment will ensure the attainment of FGN/CBN’s target of meeting self-sufficiency in food production and through it, national security.”

Recall that Unity Bank announced recently that it would support an additional 120,000 smallholder maize farmers in the 2021 wet season farming under the Anchor Borrowers’ Programme.

The Bank has gained a reputation for its agric financing in the country, especial for its role in facilitating the Nigerian government’s intervention in the agric sector through the Anchor Borrowers’ Programme.

By Collins Nweze

 

The Managing Director/Chief Executive Officer (CEO), Financial Institutions Training Centre (FITC), Chizor Malize, has said the financial services sector has come under intense pressure from FinancialTechnology (FinTech) firms leveraging  technology to meet customers’ needs.

She spoke ahead of the virtual  TechNovate Conference 2021, an innovative conference themed, ”Repositioning the financial services sector, The rise of Fintechs, new Technologies, and innovative solutions” would hold on June 23 and 24.

The event will be attended  key players in the financial services sector, technology and financial technology firms scheduled to be in attendance for a robust industry engagement.

Malize noted that the use of smartphones, internet penetration, large unbanked and underbanked population, among other factors, have also led to rising acceptance of FinTech services by bank customers.

Still, the Fintech sector remains unregulated, with stakeholders yet to develop an acceptable regulatory framework for the sector.

She further noted that the  conference would attract thebrightest minds in the financial system, within and outside Africa.

”The landscape of financial services is undergoing a paradigm shift, giving rise to new technology innovations, process disruptions and a landscape redefined by FinTech disruptors. To take advantage of the opportunities ahead, financial institutions must implement novel strategies that will give them a competitive edge in today’s business environment.

“The two-day virtual conference will provide opportunity for participants and speakers to discuss topical issues in the FinTech and financial services ecosystem. It will also provide an opportunity to have quality conversations with the most experienced digital transformation decision-makers in finance,” Malize said.

The FITC TechNovate Conference speakers are made up of local and international C-suite Executives, Subject Matter Experts, Thought Leaders, regulatory agencies, Digital Transformation specialists, insurance, investment companies, tech units of banks, financial inclusion specialists, and payment systems leaders from the financial services and Fintech industry, who will be sharing their wealth of knowledge and experiences on the highly competitive financial technology and innovation environment, and how their operations are constantly evolving and being impacted*

The distinguished host for the programme is Aishah Ahmad, the Central Bank of Nigeria (CBN) Deputy Governor Financial System Stability while the keynote speaker is Adebisi Shonubi, CBN Deputy Governor, Operations.

The TechNovate Conference 2021 speakers include Konstantinos Tsanis, Digital Transformation & Fintech Specialist, International Finance Corporation (IFC), Ganiyu Musa, Managing Director/CEO Cornerstone Insurance, Niyi Ajao, Deputy Managing Director, Nigeria Interbank Settlement System (NBSS), Mitchell Elegbe, Founder & Group Managing Director, Interswitch, Ashely Immanuel, Managing Director/CEO Enhancing Financial Innovation and Access (EFInA).

Also on the list of speakers are Fara Jituboh, Co-Founder & Chief Executive Officer/Chief Technology Officer, Okra Inc., Ade Bajomo, Executive Director, Operations & IT, Access Bank, Tokunboh Ishmael, Co-Founder & Managing Director, Alitheia Capital Limited, Musa I. Jimoh, Director Payment System Central Bank of Nigeria (CBN), and Femi Adeoti, Managing Director/CEO Inlak Computers, amongst others.

It would be recalled that FITC hosted the largest Cybersecurity and Employee Engagement and Experience Conference recently.

By Collins Nweze

 

Grand Treasurers Limited (GTL) has disbursed over N734 million as loans to its growing clientele in six months.

This was part of its efforts to support individuals and Small and Medium Scale Enterprises (SMEs).

GTL offers loans at a very competitive interest rate with minimal documentation to individuals in the private and public sector in the agricultural, manufacturing, trade, and general commerce with loans and lease to boost their business.

Its Managing Director, Adetunji Tolani said the firm has always been about delivering value to its customers irrespective of the size of business.

He said: “Despite the important role SMEs play in stimulating growth in the economy and job creation, access to finance has over the years bewildered them – well-meaning businesses with great ideas and plan that would have thrived have died prematurely due to poor access to finance. Hence why we are in the business to provide such businesses will a flexible and easy access to funds as well as investment opportunities to bridge the gap.”

GTL also offers lease to corporate, retails organisations and to hospitals for the purchase of medical equipment.

Other services offered by GTL include Treasury Services to individuals and corporate firms, Payroll Loans to Civil Servants, Personal Loans to workers, Project loans, and local purchase loans.

GTL is licensed and being regulated by the Central Bank of Nigeria (CBN). The company is a member of the Finance Houses Association and Equipment Leasing Association of Nigeria (ELAN).

Grand Treasurers Limited, a subsidiary of Consolidated Hallmark Insurance Plc started operations in 1991 and renders top notch services in Fleet Management, Leasing, Financial Advisory Services and the provision of individual and corporate loans.

By Collins Nweze

 

FirstBank of Nigeria Limited has been ranked the second ‘most admired financial services brand’ in Africa – for the second year.

The recognition was given to the bank at the Brand Africa 100: Africa’s Best Brands Event on Africa Day on May 25.

Brand Africa is an intergenerational movement to inspire a great Africa through promoting a positive image of Africa, celebrating its diversity and driving its competitiveness.

It is a brand-led movement, which recognises that in the 21st Century, brands are an asset and a vector of image, reputation and competitiveness of nations.

The bank’s Chief Executive Officer (CEO), Adesola Adeduntan, said: “We are grateful to Brand Africa for the back-to-back recognition as the ‘Second Most Admired Financial Services Brand in Africa’.

This is a testament to the impactful role we are playing in promoting socio-economic development in Africa, which includes being at the forefront of bridging the financial inclusion gap as well as our commitment to supporting Small and Medium Enterprises because of the critical role they play in economic growth and development.”

He further noted that FirstBank has created a functional ecosystem for Small and Medium Enterprises (SMEs) to thrive through various value adding solutions and value propositions.

With over 127 years of being woven into the fabric of society, FirstBank has been at the forefront of promoting growth and development in the country, extending its financial services footprints – through its subsidiaries – to over half a dozen countries across three continents.

By Collins Nweze

 

The Lagos State Chapter of the Nigerian Institute of Public Relations (NIPR) has unveiled programmes to mark its Week themed: ‘Managing public communication, building trust’.

The event is scheduled to hold from June 25 to July 1, 2021.

The Lagos Public Relations Week is the flagship event for communications practitioners setting agenda and deepening the relationship with key stakeholders in exciting ways.

More than 3,000 participants, volunteers and audiences are expected to take part in the week-long programme, which is supported by reputable corporate bodies, public relations consultancies and the media.

The Lagos PR Week will start with a special Cocktails and Networking Mixer designed to fraternise and strengthen relationships between Public Relations practitioners and the most influential stakeholders and sponsors on June 25, 2021.

On June 29, 2021, there would be the Acts of Kindness Roadshow and Tours. The Members of the Chapter and stakeholders would embark on a special visit to an autistic home, including touring select government establishment, media organisation and corporate bodies who have supported the institute over the years.

There would be a Special Workshop for the Public Affairs Managers in Local Government Development Authorities in Lagos State, tagged: Public Affairs Manager of the Future, in partnership with the Ministry of Information and Strategy and Local Government Service Commission, Lagos State on  June 30, 2021.

The programmes marking the Week would climax with the Strategic Discourse featuring Prof Pat Utomi, delivering the keynote paper entitled: ‘Managing Public Communication, Building Trust’ at the Nigerian Institute of International Affairs, on July 1.

The discourse has featured technocrats and change agents and it is recognised as a relevant forum due to its focus on pertinent socioeconomic and political issues such as governance, leadership, resource management and national reputation.

The Annual General Meeting and Election of new executives who will lead the affairs of the Chapter is also billed to hold at the same venue after the Discourse.

Union Bank has announced the release of its 2020 Citizenship, Sustainability, and Innovation (CSI) report, outlining its initiatives across three pivotal areas- Citizenship, Sustainability, and Innovation.

The report gave a detailed account of the lender’s continued efforts towards creating a more sustainable future by further embedding responsible business practices, positively impacting people, and communities, and driving innovation. The bank’s initiatives are in alignment with the Nigerian Sustainable Banking Principles (NSBPs) and the Sustainable Development Goals (SDGs),

The CSI Report is compliant with the Global Reporting Initiative (GRI) Standards, underscoring the Bank’s focus on transparent, accountable reporting of its initiatives.

Speaking on the 2020 CSI report, the Chief Executive Officer of Union Bank, Emeka Okonkwo said: “Our 2020 CSI report lends further credence to our commitment to a more sustainable world.”

Notwithstanding the turbulent events brought on by the COVID-19 pandemic in 2020, we remained firm in our resolve to positively impact the communities within which we operate. As the world battled unprecedented challenges brought on by the pandemic, we pivoted our citizenship initiatives to address urgent needs and embarked on a journey to meaningfully impact our employees and the communities we serve.”

During the year in view, the number of Union Bank branches and Automated Teller Machines (ATMs) on the solar grid increased to 111 and 407 respectively, thereby reducing the Bank’s environmental footprint and demonstrating a firm commitment to environmental responsibility.

Other key highlights of the Report include the bank’s multi-pronged approach to support the fight against COVID-19, donating a total of N350 million to the Coalition against COVID-19 (CACOVID), the Lagos State COVID-19 Emergency Food Response programme and 54 Gene, an African genomics research, services and development company.

Through the 2020 Employee Volunteer Day initiative – The Gift of Water, Union Bank and its employees also provided potable water to over 15,000 Nigerians. In addition, on the platform of Edu360, Union Bank provided much-needed support to education sector stakeholders, through knowledge-sharing sessions and other key projects and partnerships.  The release of the fifth CSI report underscores Union Bank’s commitment to maintaining its leading position as a sustainability champion and a socially driven and responsible corporate organisation.

 

By Collins Nweze

Association of Bureaux De Change Operators of Nigeria (ABCON) has urged Bureaux De Change (BDC) to carry out their operations in line with sound corporate governance practices for  sustainable  growth of the industry.

Its President, Aminu Gwadabe spoke  in Lagos at the opening session of 2021 Annual ABCON Nationwide Training on BDC Operations.

He said the training was been organised  in partnership with the Central Bank of Nigeria (CBN), the Nigeria Financial Intelligence Unit (NFIU), adding that it  was meant to improve   professionalism and higher compliance level in the BDC sub-sector  as well as  enhanced service delivery to forex end users.

BDCs, he noted, occupy a very important position and play critical roles in the nation’s foreign exchange market which are germain to achieving stable exchange rate and easy access to foreign exchange for members of the public in a conducive environment.

To effectively play this role, Gwadabe explained that, “BDC operators must be adequately informed and effectively equipped with the right professional skills and mindset to discharge their duties as required by the laws of land and the industry.

“Thus the need for BDC directors and staff to be continuously exposed to quality capacity building programmes carefully designed to enhance their ability to professionally discharge their duties to forex end users and to the regulators”.

The above, according to Gwadabe, informed the decision of ABCON to partner with the CBN, NFIU and other security agencies to organise the annual nationwide training on BDC operations.

Explaining further, he said, “The training will be executed by a team of highly experienced professionals from the CBN, NFIU and other organisations.

‘The training, which will hold from May 24th to June 30th in four locations across the country,   involves a careful designed course content which includes: Daily and Monthly Report Rendition; Monthly Balance Sheet Report and Annual Audited Account;  Corporate Governance; Fit and Proper Check in Directors Appointment; Anti Money Laundering/Counter Financing Terrorism Policy; Obligations of Compliance Officer; Reporting on GOAML and NIL-Report Platform; ABCON Compliance Requirements by Members.”

Putting mortgage finance on the front burner is one way to promote Nigeria’s development. To make mortgage loans more accessible to the people, the Nigeria Mortgage Refinance Company (NMRC) is providing secondary mortgage market services to mortgage lenders, introducing various stimulus packages, including N500 billion for the Federal Mortgage Bank (FMBN).The agency is also supporting the Family Homes Fund (FHF) scheme (an initiative of the Federal Ministry of Finance) as well as the commencement of operations of the Mortgage Warehouse Fund Limited, among other initiatives, that promote affordable housing, writes COLLINS NWEZE.

The estimated Nigeria’s population of over 206.1 million  based on the United Nation’s data has a projected deficit of between 17 and 22 million housing units. This presents an opportunity for the private sector  and government partnership in bridging the country’s housing gaps.

As the private sector innovates to see improved mortgage financing, the government creates a conducive environment by formulating policies that ensure easy realisation of the plan.

The establishment of the Nigeria Mortgage Refinance Company (NMRC) also showed the Federal Government’s commitment to growth in the housing sector.

The NMRC is providing secondary mortgage market services to mortgage lenders and introducing various stimulus packages. These include the  N500 billion Federal Mortgage Bank (FMBN) cash, the Family Homes Fund (FHF), Mortgage Warehouse Fund Limited and the take-off of the Nigeria Mortgage Guarantee Company (NMGC) aimed at providing more insurance and promoting the ease of doing mortgage business adversely affected by the Land Use Act.

Besides, the outbreak of the COVID-19, which  led to lockdowns in various parts of the world gave rise to renewed housing opportunities. As individuals and businesses  began to adapt to the new reality of the environment, professionals began to demand  larger apartments that could accommodate a home office. This was accompanied by a gradual shift towards garden-style communities that offer environments fit for social distancing with open spaces, lower density, and greater air circulation.

Also, to reduce the severity of the effect of the COVID-19 pandemic on various sectors of the economy, the Central Bank of Nigeria (CBN) led by Godwin Emefiele had in April, last year,  said the apex bank would focus on bridging the housing deficit by facilitating government intervention in three critical areas, namely housing development, mortgage finance, and institutional capacity to boost job creation, household incomes and  growth.

To achieve this, the regulator said it would pursue the creation of a fund that would target housing construction for developers that provide evidence of profiled off-takers with financial capacity to repay.

The identification framework in the banking sector called for the need to use the bank verification number (BVN) to verify the information provided by the off-takers before the developer can access the funds.

It will also consider ways to assist the mortgage finance sub-sector while building capacity at the state levels for their land administration agencies to process and issue land titles promptly, implement investment friendly foreclosure laws and reduce the cost of land documentation, as these have remained major inhibiting factors in the provision of affordable housing.

Group Chief Executive Cititrust Holdings Plc, Yemi Adefisan, explained that among the mortgage banks championing reduced housing deficit is LivingTrust Mortgage Bank Plc, a member of Cititrust Group.

The bank is accredited by the Federal Mortgage Bank of Nigeria (FMBN) for the National Housing Fund (NHF) scheme and a subscriber to the Nigerian Mortgage Refinance Company Plc (NMRC).

So far, the bank has funded or executed projects worth more than N130 billion in mortgage loans (NHF, residential mortgages and estate development loans) from inception  and prides itself as being supportive of numerous clients. Also, the bank has  established a pipeline to partnership strategic relations with FMBN approved estate developers and other reputable estate developers in the funding of exquisite residential properties all over Nigeria.

Cititrust Financial Services Plc invested in the bank – LivingTrust Mortgage Bank Plc – in 2019 and became the majority shareholder, setting the stage for it to be more competitive with a wider coverage in its service delivery.

This move led to a name change from Omoluabi Mortgage Bank Plc to LivingTrust Mortgage Bank Plc, a member of Cititrust Group, thus positioning the over 27-year-old bank from a regional powerhouse to an emerging leading national player in the mortgage finance sub-sector of the economy.

Meanwhile, to strengthen the operations of NMRC, the FMDQ Securities Exchange Limited, following the due diligence of its Board Listings and Markets Committee has approved the listing of the NMRC Plc Series 3 N10 billion Fixed Rate Bond under its N440 billion Bond Issuance Programme on its platform.

The listing joins other corporate securities issued on the FMDQ Exchange Platform to kick off the year in addition to Total Nigeria PLC, Valency Agro Nigeria Limited, Mixta Real Estate PLC and Flour Mills of Nigeria Plc.

In view of the sustained disruptions occasioned by the impact of the pandemic to businesses and economies alike, the capital market has continued to provide the much-needed succour for corporate entities looking to raise funds to meet shortfalls in their working capital needs as well as capital expenditures.

The real estate sector has evidently been one of the worst-hit sectors with financing remaining a core challenge for property developers and prospective homeowners.

The NMRC is a private sector-driven mortgage refinancing company. It promotes home ownership for Nigerians and deepens the primary and secondary mortgage markets by raising long-term funds from the capital market, to enhance access to affordable housing finance in the country.

The bank was also among the four listed firms to be migrated to the growth board of the Nigerian Stock Exchange (NSE) last year to leveraging the exchange listings to raise long-term capital, facilitate liquidity in the trading of its shares and provide a cost-effective platform to raise the capital needed to scale, attract investors, enhance its corporate visibility and regulatory structure that fosters growth.

The bank also witnessed the unveiling of a new website (www. livingtrustng.com) with enhanced capabilities for account opening, loan application and online repayment simulations which has increased the bank’s loan application and customer acquisition processes and aims at delivering superior quality products and services to all customers, regardless of their status and locations in line with the increasing cultural diversity of her fast-growing customer base.

As part of the bank’s digital transformation efforts, it has launched a new mobile banking smartphone application, Trustmobile Plus with features that enable easy banking such as funds transfer, utility bill payments, airtime recharge, account statement and balance inquiry, amongst others; while it commenced the use of USSD *723# and on-boarded numerous Automated teller machines (ATM) across her branches and other business units to enable customers gain unrestrictive access to their funds 24/7.

LivingTrust Mortgage Bank is also supporting the drive towards improving access to finance for MSMEs. As part of efforts to proffer solutions to the funding challenges faced by small businesses, the bank last November  joined the league of other participating financial institutions appointed by the Development Bank of Nigeria (DBN) to access funds for on-lending to qualifying Micro, Small and Medium Enterprises (MSMEs) in the country.

The benefits of MSMEs funding include, but are not limited to, increased contribution to the economy in terms of output of goods and services; the creation of jobs at relatively low capital cost, especially in the fast-growing service sector; provision of a vehicle for reducing income disparities; development of a pool of skilled and semi-skilled workers as a basis for future industrial expansion; improvement in forward and backward linkages between economically, socially and geographically diverse sectors of the economy; provision of opportunities for developing and adapting appropriate technological approaches; and offer an excellent breeding ground for entrepreneurial and managerial talent.

In months ahead, LivingTrust Mortgage Bank will be focused on consolidating on the gains of previous years. It will be building a stronger balance sheet by deepening its core mortgage business, maintaining strategic investments and partnership with businesses complementary to its core services, strengthening customer relationships, digital transformation and driving  strategy of being a market facing adhocratic organisation.

By Collins Nweze

The United Bank for Africa (UBA), yesterday  appointed  Mrs. Caroline Anyanwu as a Director.

The appointment took effect from  May 19, 2021. 

Anyanwu, who holds a First-Class degree in Statistics from the University of Ilorin, has over 40 years experience  in accounting, taxation, credit risk and banking.

She worked at UBA from 1996-2006, where she held she was the Head, Credit Risk Management.

She also served as the Deputy Managing Director of Diamond Bank with supervisory responsibility for risk management, until her retirement in 2019.

 UBA Group Chairman, Tony O. Elumelu said: “We welcome Caroline back to the UBA Group after 15 years.  She helped develop our credit and risk management, and her track record leaves me in no doubt that she will be able to harness her considerable experience across the African continent to bring valuable contributions to the Group Board of UBA.  Corporate governance and risk management are central to what we do at UBA and Caroline Anyanwu aligns perfectly with our vision.”

 

By Collins Nweze

The Central Bank of Nigeria has continued to fund bureaux de change (BDCs) segment of the foreign exchange market  weekly to keep the naira stable.

President, Association of Bureaux De Change Operators of Nigeria (ABCON), Aminu Gwadabe, said dollar sales to BDCs still at N393 to dollar.

He said the CBN is committed to improving  funding for over 5,000 BDCs nationwide in new move to deepen market liquidity and protect the naira against speculators.

The ABCON boss linked the continued fall of the naira at the parallel market and Investors’ and Exporters’ (I&E) Forex window to currency speculators  hoarding dollars to profit from the currency crisis.

He said the perpetrators were creating artificial scarcity of the greenback  within market to cause more woes for the local currency.

The naira was yesterday, exchanging at N486/$1  at the parallel market and N411.25/ $1 at the I&E Forex window.

Gwadabe said the ABCON Management and the CBN-licensed BDCs will fight alongside the regulator to ensure that speculators lose their capital should they persist in the illegal activity.

“The ABCON and CBN have observed with disdain the speculative behaviour currently beclouding the market with the misinformation  that the CBN has adopted I&E window as its official rate. The above information is not true because as operators we still funded our  accounts at our normal rates of N393/$  and not the I&E window rates  for our operation this  Friday,” he said.

The ABCON management, therefore, advised its members not to join on that behaviour as CBN remained resolute with its partnership with the group and is looking at various options to induce liquidity in the sector.

He advised BDCs not to join the rumour mongers creating confusion and fragility in the market.

“ABCON will continue to keep you posted and guide you accordingly. We urge all members to continue to  give the CBN the utmost support as a strategic partner and in the interest of the economy,” he said.

He said CBN-licenced BDCs are fighting back by supporting the apex bank in tackling forex spectators and reiterating commitment to operate within set rules.