The Nation Newspaper

Category: Money

  • Stanbic IBTC boosts agric sector with low interest loans

    Stanbic IBTC boosts agric sector with low interest loans

    By Collins Nweze

    Stanbic IBTC Bank Plc has reaffirmed its commitment to the growth of Nigeria’s agriculture sector by supporting farmers and other players in the agricultural value chain.

    As the demands on agribusinesses change seasonally, the foremost financial institution provides financing solutions for agricultural enterprises to suit their requirements. These needs range from availability of resources, to farming equipment, as well as enhancement of seasonal cashflow, amongst others.

    Stanbic IBTC Bank Plc offers various low-interest credit facilities across the agricultural sector that will help clients to cushion the impacts of the COVID-19 pandemic

    Speaking on this, Head, Agribusiness, Stanbic IBTC Bank Plc, Wole Oshin, said that the agribusiness financial solution is geared towards ensuring that players in the agriculture space are not hindered by lack of finance.

    He said: “The bank’s suite of agribusiness solutions minimises risks, ensures maximum control and optimises profits associated with international trade by making transactions smoother, simpler and safer for all parties involved. Some benefits of the Stanbic IBTC Agribusiness Finance include: availability of gap-funding for unforeseen financial needs, maintenance of cash flow and flexibility of repayment terms based on the type of funding. This facility is also versatile and can be utilised for funding resources, vehicles and farming equipment.”

    Oshin noted that agricultural enterprises can access Overdraft to finance their short-term cash flow and working capital needs. “With quick and flexible processes, funds are available when needed and interest is paid only on funds utilised, not on the full amount on which the limit is set,” he added.

    He further reiterated that the Asset Finance solution can aid in the financing of all farming vehicle and implement needs, with a wide range of packages to suit business’ cash flow and tax requirements. “Vehicles and assets such as tractors, harvesters, irrigation equipment and so on, to enhance production,” he said.

    Other available facilities are Business Revolving Credit Loan, Agricultural Production Loan and Medium-Term Finance. These are suitable for grain farmers, individual farmers, groups and entities in the agricultural sector. Our loans are designed to accommodate the purchase of various agricultural inputs (like seeds, fertilizers etc), livestock, agriculture-related products and asset acquisition.

  • CRC gets recognition

    CRC gets recognition

    By Collins Nweze

    CRC Credit Bureau Limited (CRC) has emerged the Best Credit Bureau, Nigeria 2021 by Capital Finance International (CFI.co) for the vast credit information under its possession.

    The CFI.co is a journal and online resource reporting on business, economics and finance with its Headquarters in London, United Kingdom.

    The CFI.co judging panel stated in their report: “CRC Credit Bureau helps lenders make informed decisions with a nationwide repository of consumer and corporate credit information that covers more than 95 per cent of the domestic credit industry.

    “CRC has weathered COVID-19 with steely resolve, achieving returns on par with expectations and is anticipating continued improvement. The Bureau is grateful for lessons learned in 2020 and for the impetus to propel its digital transformation. It now serves clients more through digital channels, which has created greater market access. CRC has become more data focused with the ability to add value in multiple segments and drive markets with better products and stronger analytics.”

    The report showcased CRC’s mission to make every individual living in Nigeria stay on top of their credit history through their various products/services and digital platforms that make access to credit information easier than ever. CRC has developed a range of membership products to assist credit-granting clients with the screening of prospective customers, investors, and employees.

    Each year, CFI.co seeks out individuals and organisations in their various sectors of the economy who truly add value to stakeholders. Reporting from the frontlines of economic convergence, CFI.co realises that best practice is to be found throughout the world.

  • FITC holds conference March 24

    FITC holds conference March 24

    By Collins Nweze

    The Financial Institutions Training Centre (FITC) is to host employee engagement and experience conference between March 24 and 25.

    Deputy Governor, Financial System Stability, Central Bank of Nigeria (CBN), Mrs. Aishah Ahmad is the guest speaker, while Mrs. Bola, Adesola, Senior Vice Chairman, Standard Chartered Bank, Africa will give the keynote address.

    The conference is designed to help individuals and organisations develop strategies for engaging their employees and retaining talents for optimum performance, as well as remaining competitive in an agile environment.

    The facilitators are over 25, including top executives,  experts from the financial and non-financial services sector, government agencies, oil and gas and manufacturing industries.

    The facilitators will be sharing insights on contemporary issues around employee engagement and experience relevant to the sustained growth, development, and survival of businesses.

  • African Fintech Foundry prepares startups for investors

    African Fintech Foundry prepares startups for investors

    By Collins Nweze

    The African Fintech Foundry, an initiative of Access Bank, will continue to promote Nigerian startups to attract new investors, its Head, Daniel Awe, has said.

    He stated this when the company organised an event where startups presented their business ideas before a panel, which included bankers, tech experts, startups experts and investors.

    Awe said the initiative runs an Accelerator Programme, which helps young and budding business enterprises form and nurture promising startups.

    He listed some companies that have gone through the Accelerator Programme.

    “We have Paystack Payment Limited, which is a company of about $200 million. For some reasons, Paystack started with Access Bank before they got to where they are. We have Flutterwave, which is valued at about $300 million,” he said.

    He continued: “It is an environment where we pick an idea, where we pick startups and put them in an Accelerator Programme of about  17 weeks, depending on what model they want to run and teach them how to run a successful business.

    “We had 306 entries and shortlisted them to 70, and to 30. Unfortunately, we are not going to take all of them because we may only accommodate 10 or 15 for the Accelerator Programme. We are looking at programmes to support the others from the 306 entries. We are not going to drop them. We are giving them ideas and feedback. This programme is going to be continuous. We will be doing it twice a year. We will probably do another one before the end of the year,” he said.

    Head of Retail Products, Access Bank, Robert Giles said what the AFF and Access Bank are doing is different from what other banks are looking at and that the target is seeing great companies springing out of the programme.

    He said, “What we are doing here is different from other banks. Those that have just made their presentations today will surely be successful business people in the future. We are interested in helping startups build successful and sustainable businesses that will employ people and help the economy.

    “We are not only looking at financial companies, some are looking at solving agriculture and medical problems, some are looking at solving housing problems and education problems. So, it is beyond financial problems. We are looking for companies that will solve real problems”.

    Oluwaseun Babatunde of Rentgage, one of the companies that made presentations at the event, said the intention of the company was to create a company that will help people in the country and Africa as a continent to be able to afford ideal housing units.

    “We are coming with a financial solution. Instead of people finding it hard to get ideal housing units, we will help get affordable housing units where they will pay not annually but at piecemeal and at their convenience with a negligible interest”, Babatunde said.

    Love Udoma of Farm Delite, who also made a presentation, said her company, a networking platform for agriculturists, “connects all the players in the agricultural value chain from production to distribution to consumption. So, you can trace what you eat right from the farmer to your table. You can trace the condition it was planted”.

  • Fidelity Bank issues N41.21b Tier II Local Bonds

    Fidelity Bank issues N41.21b Tier II Local Bonds

    By Collins Nweze

    Fidelity Bank Plc has issued 10-year N41.21 billion in fixed rate unsecured subordinated bond at a 8.5 per cent coupon rate due in 2031.

    The bond issuance, which was fully subscribed given that total investor interest and commitments in the bonds were N56.6 billion, adds to the portfolio of landmark transactions structured by the bank, and underscores its capacity to successfully execute debt capital market transactions.

    The transaction is a landmark achievement in the domestic debt market for being the largest corporate bonds ever issued by a bank, including the deposit money banks and merchant banks.

    Last December, the bank had announced plans to issue fixed income securities with 10-year tenor to support the growth and development of Small Medium Enterprises (SMEs), retail business as well as its technology infrastructure.

    The bank conducted the debt issuance under its registered N100 billion bond issuance programme.

    The bonds are unsecured and subordinated, which will qualify as Tier II Capital in line with the Central Bank of Nigeria (CBN) Guidance Notes on Regulatory Capital for commercial banks in Nigeria.

    Fidelity Bank Chairman, Mustapha Chike-Obi said the bond issuance further demonstrates our confidence in Nigeria’s debt market.

    “It also validates the continued investor confidence in our corporate strategy and aspirations, strong corporate governance structure and solid and stable executive management team with robust history of superior financial performance and returns”, Obi explained.

    Fidelity Bank CEO, Mrs. Nneka Onyeali-Ikpe noted that proceeds from the transaction would be utilised to support growth in the issuer’s risk assets in SME and retail business as well as investments in technology & retail infrastructure.

    This, Mrs Onyeali-Ikpe added, was in line with the bank’s Tier I aspirations.  According to her, the bank’s business fundamentals have remained strong despite the challenging economic environment occasioned by the coronavirus pandemic and the attendant recession.

  • FATE Foundation targets 1000 entrepreneurs

    FATE Foundation targets 1000 entrepreneurs

    By Collins Nweze

    FATE has announced an expanded programme to support 1,000 entrepreneurs in the year.

    The support is enabled by grant from the Mitsubishi International Contributions programme, which FATE Foundation has secured for the second year.

    The theme for the programme is: “Realising an inclusive society”. It is aimed at boosting income generation for some young and female entrepreneurs and facilitating their development of agribusiness products/services.

    In light of the pandemic, the  support will be focused on Micro, small and medium enterprises (MSMEs) to help their owners build resilience during the period.

    In 2019, Mitsubishi Corporation supported FATE Foundation to help 40 young agribusiness entrepreneurs.

    One of the graduates of the programme, Ante Joseph,  who owns Lagos-based Maatalous Nasah, said: “My business was able to survive last year due to the knowledge and support we received from FATE Foundation and Mitsubishi Corporation for the Aspiring Entrepreneurs Agribusiness programme. I was able to grow my business by 28 per cent and with all I learnt, I am putting in structures in place for long-term sustainability and impact.”

    The Executive Director of FATE Foundation Adenike Adeyemi, noted: “We are elated about the positive outcomes of our last partnership engagement with Mitsubishi Corporation Nigeria and we remain committed to supporting young  entrepreneurs contribute to the economic recovery of our nation after the COVID-19 pandemic and are excited to continue working with Mitsubishi Corporation to reach more entrepreneurs this year.”

    The programme will enable FATE Foundation will provide a package of support, including business management knowledge for agribusiness entrepreneurs;  targeted support for female-led businesses in building business resilience; access to a free business plan development tool and expanding increased knowledge of the agribusiness ecosystem in target locations in Nigeria.  The expected reach is over 1,000 entrepreneurs across Nigeria.”

    Managing Director, Mitsubishi Corporation Nigeria, Makoto Saito, said: “Mitsubishi Corporation (MC) is very happy to collaborate with FATE Foundation to reach even more entrepreneurs, particularly young and female entrepreneurs who have been more affected by the pandemic. This is in line with MC’s social contribution project of supporting programmes and projects around realisation of a truly inclusive society for indigenous peoples.

    “MC is committed to ensuring continued impact in the areas of job creation and business sustainability and are excited to support FATE Foundation to deepen and scale programmes that enable Nigerian entrepreneurs, particularly vulnerable segments start, grow and scale businesses and generate employment.”

    Starting in February 2021, the main programmes that will be rolled out through this year will be the Aspiring Entrepreneurs Agribusiness for young entrepreneurs; the Business Recovery Programme for female entrepreneurs; a Business Plan Developer tool; and a Digital Entrepreneurship Ecosystem mapping platform for Agribusiness stakeholders.

  • BCG proposes post-COVID recovery plan for Nigeria

    BCG proposes post-COVID recovery plan for Nigeria

    By Collins Nweze

    The Boston Consulting Group (BCG), a global management consultancy firm, has proposed the promotion of financial inclusion, equitable distribution of resources, infrastructural development and formulation of requisite fiscal policies as initiatives that will drive Nigeria’s post-COVID economic recovery.

    The measures were highlighted in a recent BCG report entitled: “How to forge an inclusive post-COVID recovery in Nigeria” written by Tolu Oyekan, a Partner at the firm’s Lagos office.

    The report stated that the initiatives, which form part of Nigeria’s sustainability plan, are critical in staving off the COVID-19 induced economic contraction which could further compound the poverty situation in the country.

    According to 2021 World Bank projections, Sub-Saharan Africa will experience a severe economic slump. It is predicted that the negative impact on Nigeria, being the continent’s largest economy and most populous country, will be grave, especially amongst the poor.

    A steep drop in per capita income could lead to an increase in the number of vulnerable Nigerians. An estimated 83 million Nigerians – about 40 percent of the population – already live below the poverty lines in the country.

    Oyekan, however, posits that a financial inclusion drive through infrastructural intervention projects, will reduce Nigeria’s poverty population and also have a positive multiplier effect on the economy.

    He listed the electrification of rural households through a pay-as-you-go solar service and cashless transactions via telco induced mobile money platforms, as examples of such infrastructural intervention projects.

    The government has a target of installing new home solar power systems and mini-grids for over five million low-income households by the end of 2023. Many of these households either have no source of power, or rely on small, inefficient generators for electricity. These families will need to use PAYGo, an installment financing option offered with mobile money bank accounts, to purchase the installation kits for these systems. Customers who have an existing mobile money account have a higher chance of accessing the facility than others who don’t.

    Speaking on the impact of the project, Oyekan said: “Our analysis shows that a PAYGo loan would make solar kits affordable for about half of the 31 million households that do not have reliable electricity and may also considered to be in a low-income bracket. What’s more, we found that 3.2 million out of 17 million households currently using kerosene and candles as their lighting source could afford the monthly PAYGo payments based on their current spending on lighting, plus about 10 per cent of their nonfood budget.”

    He highlighted a recent USAID research which estimates that between 15 to 30 percent of PAYGo solar customers will create a credit history for the first time when they purchase a solar home system with a PAYGo plan. Stressing the importance of having a credit history and financial footprint, he said: “That credit history could, in turn, lead to other loans for large expenses, such as school fees, which can consume up to 40 percent of a family’s annual income. Credit histories are also a critical driver of growth for small-business enterprises and first-time business entrepreneurs.”

  • Alleged illegal forex trading: Court freezes oil firm’s accounts in Jaiz Bank

    Alleged illegal forex trading: Court freezes oil firm’s accounts in Jaiz Bank

    By Eric Ikhilae, Abuja

    A Federal High Court has ordered the management of Jaiz Bank Plc to freeze four accounts belonging to Aquashield Oil and Marine Services upon claim by the Central Bank of Nigeria (CBN) that the accounts are being used for illegal foreign exchange (forex) trading.

    Justice Inyang Ekwo gave the order while ruling on an ex-parte motion filed by the CBN and argued by its lawyer, Michael Aondoakaa (SAN), a former Attorney- General of the Federation (AGF) and Minister of Justice.

    In the ruling given on February 3, 2021, a copy of which The Nation saw on Monday, Justice Ekwo gave a mandatory order empowering the CBN to direct the head office of Jaiz Bank Plc “to freeze forthwith, all transactions on the under-listed bank accounts of the defendant/respondent (Aquashield Oil and Marine Services) for a period of 180 days.”

    The CBN identified the affected accounts as:  0004763990, 0004755887, 0004763983 and 0004763969.

    In documents it filed in court, the CBN stated that the freezing order was required to halt further debit transactions on the affected on the accounts pending the outcome of its on-going investigation and to preserve the balance on the accounts from being dissipated.

    It added that the freezing Aquashield Oil and Marine’s accounts would also enable the CBN to pursue its investigation into the activities of the oil firm to a logical conclusion.

    The apex bank added that the decision to apply for the order was informed by its on-going investigation of Aquashield Oil and Marine Services in relation to its “role in illegal foreign exchange trading, accessing/procuring of foreign exchange via their bank accounts from the Nigerian Foreign Exchange Market via Bureaux De Change (BDCs), International Money Transfer Operators (IMTOs) and Commodity Exporters contrary to provisions of extant laws and regulations”.

  • Stanbic IBTC Group makes executive appointments

    Stanbic IBTC Group makes executive appointments

    By Collins Nweze

     

    Stanbic IBTC Holdings Plc, a member of Standard Bank Group, has announced several key executive appointments across the Group, to fortify its market leadership position in the financial services sector.

    The new appointments cut across Stanbic IBTC Bank Plc and its subsidiary, Stanbic IBTC Nominees; Stanbic IBTC Pension Managers; Stanbic IBTC Asset Management; Stanbic IBTC Insurance Brokers; and the newly floated Stanbic IBTC Insurance.

    The Chief Executive of Stanbic IBTC Pension Managers Eric Fajemisin, becomes Executive Director, Corporate and Transactional Banking, Stanbic IBTC Bank Plc.

    Fajemisin, who has over 30 years’ experience in the industry, is a Fellow of the Institute of Chartered Accountants of Nigeria (ICAN) and the Chartered Institute of Taxation in Nigeria.

    The Chief Executive of Stanbic IBTC Nominees, is Babatunde Majiyagbe.

    The new Chief Executive of Stanbic IBTC Pension Managers is Olumide Oyetan. With over 20 years’ experience, Oyetan has held various roles in the Group and Standard Bank Group, South Africa.

    Also, Dare Otitoju is the Executive Director, Investment Management, Stanbic IBTC Pension Managers.

    Executive Director, Investments, Stanbic IBTC Asset Management is Busola Jejelowo; while Wunmi Ehis-Uzenabor is Executive Director and Chief Operating Officer, Stanbic IBTC Asset Management.

    The Executive Director, Stanbic IBTC Trustees is Emi Agaba-Oloja and  the Executive Director, Stanbic IBTC Insurance Brokers is Ibiyemi Mezu.

    Chief Executive, Stanbic IBTC Insurance is Akinjide Orimolade; Sakeenat Bakare is Executive Director, Business Development, Stanbic IBTC Insurance; and Dunny Semwayo, the Executive Director, Technical, Stanbic IBTC Insurance.

    Chief Executive, Stanbic IBTC Holdings PLC, Dr. Demola Sogunle, said: “We are delighted to have a pool of highly experienced, diligent and very versatile professionals at Stanbic IBTC to be entrusted with the responsibilities of driving the next phase of our growth.

    “We are certain the Group will benefit immensely from their wealth of knowledge and expertise because they understand our strategic intent and commitment to our stakeholder groups.”

     

  • Ecobank introduces money transfer via SMS, WhatsApp

    Ecobank introduces money transfer via SMS, WhatsApp

    Ecobank Nigeria has unveiled a new app for transfering funds by email, SMS and WhatsApp.

    Head, Consumer Banking Ecobank Olukorede Mrs Demola-Adenyi said this was part of the bank’s innovation in digital banking.

    She said: “This opportunity couldn’t have come at a better time when many people are self-isolating and keeping social distance due to the COVID-19. We have the responsibility as a bank to continue to innovate for the benefits of our teeming customers. We encourage our customers and others to utilise this new addition to our digital self-service solutions.

    “With this feature, a customer can transfer up to N50,000 without the beneficiary’s account number.The transfer can be initiated without the beneficiary providing an account number or deciding on which account to receive the funds. For us, this is super convenient for money transfer.”

    Mrs Demola-Adeniyi further said the process is simple and beneficiary can redeem the money sent in three simple steps: receive the web link sent to his mobile number as SMS or WhatsApp message, click on the link to select bank and enter the account number, then, submit the request and senders account is immediately debited. The beneficiary account irrespective of the bank receives the credit.

    She added: “The Ecobank mobile app allows you to enjoy our banking services instantly and conveniently on your mobile device. The app provides you with an easy channel to manage your account and perform financial transactions in a simple and secured manner.”