Category: Special Report

The resurgence of yellow fever, which has claimed more than 100 lives, may worsen the situation of things in a country still reeling from the burden of Coronavirus infections, writes Associate Editor ADEKUNLE YUSUF

Despite feelings of respite among the general populace, Coronavirus is still wreaking havoc in Nigeria. Daily, updates from the Nigeria Center for Disease Control (NCDC) show that hundreds of Covid-19 infections take place in the country – with low fatalities as well. At a time Nigeria is still sweating to win the fight against the spread of the virus, sudden re-emergence of yellow fever, which has caused a spike in fatalities in some states, has sneaked into the fray like a thief in the night.

It all started in September as mystery disease, hitting Delta, Bauchi, Benue and Enugu states and leaving many dead. By the time it was confirmed in November, over 100 souls have been lost to the resurgence of yellow fever in Nigeria. Yellow fever is transmitted through mosquito bites, with victims presenting symptoms such as convulsion, diarrhoea and vomiting of blood.

Bauchi, Enugu, Delta and Benue states move to tackle yellow fever after ‘mystery deaths’

In Benue State, there was an outbreak of what was initially called “strange disease” in Epeilo, Otukpa and Ankpa-Owukpa communities in the state’s south senatorial district. One week after about 20 persons had reportedly died of the strange disease, Benue State Ministry of Health officials disclosed that samples sent to Abuja returned that the strange disease is yellow fever. The Nation visited the affected communities in Ogbadigbo Local Government area where there was an outbreak of yellow fever. It has since spread to neighbouring Local Government areas like Ado and Okpokwu.

Mrs. Ene Obeta, 40, mother of three children who lost her husband to yellow fever told The Nation her husband woke up hale and healthy, but later at noon developed fever, headache, jaundice and vomiting with pains. Before help could come, he was dead. Same for Mattew Onah, a 50-year old farmer in Epeilo, who said he lost his two children to yellow fever outbreak said, his two sons developed fever, muscle pains, nausea and headache. Within one hour, they all died at a nearby health centre in the community. The Nation investigated likely factors behind the resurgence of yellow fever in the state and found out that there is no good source of water in the affected communities. Most of the inhabitants depend on harvest rainwater, which they stored in water tanks for days. And in the process of storing water in tanks for days, the water is contaminated by mosquitoes and transmitted into the body when taken. It was further gathered that there is acute water scarcity in the communities as bole holes did not work and the people depend mostly on streams and ponds for drinking water.

The Commissioner for Energy, Science and Technology and the Supervisory Commissioner, Ministry of Health and Human Services, Benue State, Dr. Godwin Emmanuel Oyiwona, said 20 persons have so far died of the disease. Regarding what the government is doing, a team led by a renowned epidemiologist and consultant, Prof Stephen Abah, has so far embarked on massive vaccination for both children and adults in the affected areas. The vaccination covers not only the affected areas but the entire 23 local government areas.

Also in Bauchi State, following the resurgence of yellow fever, which has led to the death of 10 persons, the government has begun vaccination of residents to avert further spread. About 800 persons have been vaccinated so far at the affected area, Ganjuwa Local Government Area, where there have been fatalities. It would be recalled that two more persons in the state died of suspected yellow fever at the Ganjuwa LGA, raising the number of deaths recorded at 10 since the disease outbreak last month. The new deaths recorded were disclosed by the Executive Chairman of the State Primary Healthcare Agency, Dr. Rilwanu Mohammed.

According to him, over 800 persons were vaccinated for yellow fever in Ganjuwa as a response to halt the spread of yellow fever in the area. Rilwan, who spoke at a media briefing held in the state, said the government would soon embark on massive vaccination in 19 of 20 LGAs in the state. He stated further that it had also conducted a series of meetings to underscore the magnitude of the emerging new cases. Corroborating Rilwan, the Commissioner of Health, Dr. Aliyu Maigoro said there are presently 10,000 vaccines on the ground, adding that initial plans are to start vaccination February of next year.

He, however, said since the disease breaks out earlier than expected, vaccination of other LGAs will commence this month. He solicited for the support of NCDC. “We are hoping to get support from the NCDC; we’ve notified them accordingly and they tested the results so they are aware of the positive cases in Bauchi. Once we get this support, we’re going to commence full yellow fever vaccination to all the 19 LGAs. Currently, we have only 10,000 vaccines that are currently on the ground, which we had kept in case of this kind of emergency. We’ll start the vaccination with the population around the places where these cases were recorded.”

Maigoro added that aside from the new eight cases that have been confirmed and under intensive care, the samples of 41 people have been taken and sent to the NCDC for testing to ascertain if they are yellow fever cases. He appealed to parents to allow their children to be immunised against the killer disease. “Currently, we have taken samples of 41 members of that community and we are taking it to Abuja for testing to see if it is yellow fever. After this active search, we are developing our mitigation plans whereby we will liaise with the local government officials for massive vaccination. All the communities involved and those not also involved that are around those communities will be vaccinated for yellow fever. Yellow fever has no cure but it has a vaccination. What we are doing currently is active search; we have to isolate people that are having the symptoms. Once a member of a community is desolating the symptoms, we take their samples and we have sent them to Abuja for testing.”

In Delta State, the situation was not different, with mystery deaths having pitted the youths against a traditional ruler. The mysterious deaths ravaging Ute-Ukpu community have set residents of the community against their traditional ruler, resulting in arson and breach of public peace following the deaths of over 38 youths.

To douse the rising tension, Chairman, Ika North East Local Government Council, Victor Ebonka, has imposed a dusk to dawn curfew in Ute kingdom. Ebonka, in a press briefing at Owa-Oyibu, said the curfew, which was with the approval of the state government, would affect Ute-Ukpu kingdom following the unruly behaviour of the youths. He accused the youths of maliciously damaging properties and also threatening the life of their king, chiefs and traditional institution. He said the strange deaths attributable to yellow fever are being misconstrued as spiritual attacks by the youths due to their fetish beliefs.

He enjoined all citizens to comply with the government directive, as the law enforcement agents will not hesitate to arrest defaulters of the order. But, Delta Health Commissioner Dr. Mordi Ononye, who spoke recently in Asaba, had earlier blamed substance abuse but has lately attributed the cause of the mysterious deaths to yellow fever disease. Ononye said the laboratory result of the samples collected indicated yellow fever. He added that the result would further be authenticated at the Reference Region Laboratory in Dakar, Senegal, where the samples have also been sent to. “Samples were collected from patients and sent to the laboratory. We have received results and the results point to yellow fever as the cause of deaths we heard of in those areas. The result we have received is helping to move us to a more definitive action, while we still wait for a final authentication from the Reference Regional Laboratory in Dakar.”

Ononye said 38 deaths have been recorded as a result of the disease, with seven additional cases being managed at the Federal Medical Centre (FMC), Asaba. The Commissioner assured residents that the state government was collaborating with health-related agencies to step up measures to contain the spread of the disease. “We have begun immediate outbreak response activities. As we speak, we have informed NCDC, National Primary Healthcare Development Agency, which usually collaborates with us, and that is why they have sent teams to support us. We are taking definite lines of action to have an effective response. We assure residents that everything is being done to ensure that it does not escalate.

Before now, there was a planned yellow fever preventive campaign to begin November 20, we are moving it closer to enable us to tackle what is before us,” he added. Dr. Ononye said yellow fever manifest much more bizarre symptoms than malaria. “Some patients are with fever, body pains, headache, vomiting with or without blood. Some begin to bleed from the nose or mouth. Some of those we have just convulse and some recover very well even without coming to the hospital.”

But a resident, Roland Chuks Agbontai, a former councillor, who lost his 22-year-old son, is convinced that the strange deaths have not abated because the communal deity, Agba-Egbo and Akpu, has not been properly appeased. He said following divination the youths were told to appease two ancestral deities in the community, adding that while Agba-Egbo was appeased the shrine of Akpu was left desolate after a church uprooted the deity, thus desecrating it. Agbontai said residents were levied to buy the items prescribed by the oracle including a white cow, goats, pigeons etc, stressing that after the rites were performed the strange deaths moved to neighbouring Ute-Ukpu community.

Another parent, Felix Mgbakor, 73, said he lost his 30-year-old son within twenty-four hours. Narrating his ordeal, Mgbakor said, “My son came in complaining of ill health. I bought drugs and afterwards, he started vomiting so I took him to a private clinic. But the next morning, the doctor said my son was anaemic and blood was transfused. My son died shortly afterwards.”

In an interview with Chief S.S Abiamuwe, Ayuwe of Ute-Erumu community, the district head expressed concern over the strange deaths. He urged bereaved parents to find out the causes of death of their children, instead of blaming communal deity for the tragedy in the community. “Suddenly, children are dying. We know death is a final destination. But nowadays, children are the architect of their deaths. With the many deaths in our community, let people go and find out what is happening. We should look at what our youths drink and eat. The deceased’s family should find out what is happening instead of blaming communal deities.”

Despite the best efforts of the State government at vaccinating residents, many residents have shunned the vaccination exercise insisting that communal deities must be appeased. Residents blame the Obi of Ute-Ukpu, Solomon Chukwuka 1, for the tragic deaths. They stressed that his refusal to participate in prescribed rituals is fueling the deaths. But the state government has forged ahead with the vaccination efforts in the two neighbouring local government areas of Ika North East and Ika South, with plans for a statewide vaccination.

An official of the Delta State Primary Health Commission, who spoke on condition of anonymity, said the 10-day exercise was fraught with difficulties as residents refused to be vaccinated. “The ten-day vaccination was difficult as on day seven of the exercise, a death occurred and the youths threatened to burn down the health centre. We, however, succeeded in completing the vaccination and the mop-up exercise.”

Like in other states, yellow fever was first tagged as a “strange disease” in Enugu State. But before it was established, it had claimed 57 lives in two Enugu Ezike communities of Ette Uno and Umuokpu in Igbo Eze North local government areas.

The latest report put the number of deaths at 156. This is despite the fumigation of the affected communities. The first community to notice it before it was established and confirmed to be yellow fever was the Ette Uno community in early September this year. By then the community had lost 37 lives.

It spread to neighbouring Umuokpu community where it left 20 victims dead before the intervention of the Enugu state ministry of health and the NCDC.

Just as it was about to be brought under control in Ette Uno and Umuokpu communities, the disease reared its head up in three other local government areas, with reports of strange deaths within their communities. The local government areas include Nsukka, Isi-Uzo and Igbo Etiti LGAs. Ten casualties were recorded. According to disease surveillance and notification officer of Igbo Eze North council, Vincent Oshomi, the Enugu State Ministry of Health was immediately informed of the scourge and it promptly took over investigations to unravelling the source of the strange disease as well as stationing an ambulance in the area for use in conveying suspected cases to hospital for proper diagnosis and treatment. The Enugu State Ministry of Health Rapid Response Team, LGA Rapid Response Teams, International and National Partners visited the affected LGAs to investigate the reports and took samples for testing.

According to the Enugu State Commissioner for Health, Dr. Ikechukwu Obi, samples from these LGAs were sent to the National Reference Laboratory at the Federal Capital Territory Abuja for a thorough and complete examination to determine conclusively the reasons for the strange disease as well as the new set of reports and the results turned out to be yellow fever. With the total casualties put at 186, the commissioner expressed the government’s heartfelt condolences to all those who have lost loved ones and confirmed that yellow fever is transmitted through mosquito bites, admonishing residents to remove mosquito breeding sites around their environment. The Enugu state government currently embarked on massive vaccination of residents of the affected areas where no fewer than 1.2 million residents will be vaccinated.

Dr. George Ugwu, Executive Secretary of the Enugu State Primary Health Care Development Agency (ENS-PHCDA), gave a breakdown of the council areas as Igboeze North (333,551 residents); Nsukka(398,094 residents), Isi-Uzo (190,818 residents) and Igbo Etiti (269,0300). The numbers mentioned in each council area represented 85 per cent of the entire population. According to him, the state government procured enough stock of the yellow fever vaccines for the vaccination campaign as well as fully trained and mobilised vaccinators to fixed primary health centres (PHCs), special outreach centres and house-to-house approach. The massive vaccination was meant for people between the ages nine months and 44 years and that everyone within this mentioned age range is expected to receive the vaccination in the three council areas. After the massive vaccination in the affected council areas; there would be an escalation of mass vaccination to about 10 neighbouring council areas before the entire state yellow fever vaccination would come.

Ugwu, however, appreciated Governor Ifeanyi Ugwuanyi for his concern and timely intervention, which had led to the control of tackle the outbreak. “We also thank the deputy governor, Mrs. Cecilia Ezeilo, for support and supervisory guidance to issues that concern the health of the rural people and residents of Enugu state in general. The wife of the governor, Mrs. Monica Ugwuanyi, has assisted in no small measure through her Ugo Touch of Life Foundation (U-TOLF) in providing medical consumables, drugs as well as health awareness and education programmes to our rural people.”

• With reports from Chris Oji, Enugu; Okungbowa Aiwerie, Asaba; David Adenuga, Bauchi and Uja Emmanuel, Makurdi

Against the backdrop of a research conducted on paraquat,  a widely used herbicide in Nigeria, which revealed that its toxicity is injurious to human and environmental health, JULIANA AGBO writes on the need to de-register and prohibit the use of the herbicide in Nigeria’s farming system.

Paraquat, an acute toxic chemical widely used as an herbicide (plant killer) primarily for weed control, has been in use by farmers for several decades.

Unfortunately, after several decades of its use in Nigeria, studies have confirmed from empirical evidence that this chemical substance is highly poisonous and responsible for numerous health damages to end users.

Currently, there are more than 30 trade brands of paraquat product and derivatives registered and marketed in Nigeria today by several companies.

The Nation learnt that Paraquat is traded in Nigeria under  major trade names such as gramoxone super, weed-off, dragon, paraforce, dizmazone-20%, weed crusher, paraquat liquid. Other trade names are bret P-20 liquid, miazone, premium paraquat, ravage, uniquat, maxiquat, paracot, para-one, paratex, slasher, scud, weedex 200 SI, baraquat liquid, chemquat, glopara-liquid, grass cutter 20%, philozone, paracom eraser liquid, philozone  reliquat, uniquat liquid and others.

The Coalition Against Paraquat (CAP), comprising professionals from diverse disciplines in collaboration with the International Institute of Tropical Agriculture (IITA), have called on the Federal Government to de-register and prohibit the use of paraquat use in the country and come up with alternatives to prevent an adverse effect on farmers.

Although, the National Agency for Food and Drug Administration and Control (NAFDAC) had in 2019 announced plans to ban the use of paraquat by farmers amid mounting evidence that the product is harmful to the environment and it has been associated with liver, lungs, kidneys, cancer and the nervous system diseases.

The coalition whose target in the short-term is to protect the rural farmers who are not properly informed on the hidden danger, and are unaware of the menace in their domain, said most of the rural farmers are not able to separate the symptoms of paraquat intoxication from the symptoms of daily work stress.

The European and African countries that have banned or de-registered paraquat  include  Austria, Belgium, Denmark, Finland, France, Norway, Slovenia, Sweden, Switzerland, Zambia and Côte d’ Ivoire. The coalition said China, which is responsible for 80 per cent of the total exports to the world, is now prohibiting the use and sales of the herbicide.

The coalition listed the arable crops paraquat is commonly used to include cassava, yam, maize, okra, tomato, soybean and rice. The common plantation crops listed are plantain, banana, oil palm and cashew.

Evidence of paraquat use on-farm and off-farm in studied states  Evidence has shown that there is  70 percent on-farm crop use in Abia State, 69.2 percent in Benue State, 75 percent in Enugu State, 83.3 percent in Ogun State, 75 percent in Oyo State, 66.7 percent in Rivers State and 73.2 percent across states in Nigeria. While there is 30 percent off-farm (non-crop use) in Abia State, 30.8  percent in Benue State, 25 percent in Enugu State, 16.7 percent in Ogun State, 25 percent in Oyo State, 33.3 percent in Rivers State and 26.8 percent across states.

Long-term health effects

A professor with the department of crops production, Federal University Technology (FUT) Minna, Prof Musa Kolo, said 56 percent of the farmers and other end users were been exposed to paraquat during it application, adding that such exposure are due to absence of the use of personal protective equipment or personal protective cloth.

While explaining that that paraquat is used predominantly by small scale farmers on food and tree crops, he added that most farmers when exposed to paraquat  fail  to consult medical practitioners for treatment. He said scientific studies had shown it has both chronic and acute effects that can lead to several health problems.

Explaining that there is an increased risk of developing Parkinson’s disease later in life, the crop production expert said people with large ingestions of paraquat are not likely to survive.

“If a person survives the toxic effects of paraquat poisoning, long-term damage to vital human organs may result such as lung (scarring), kidney failure, heart failure, and esophageal strictures (scarring of the swallowing tube that makes it difficult for a person to swallow).

Immediate signs and symptoms of exposure to paraquat

The IITA, in a book titled ‘Save the Nigerian Farmer and Environment from Paraquat Toxicity’, explained that severe gastrointestinal symptoms may result in dehydration, electrolyte abnormalities and low body pressure.

It said: “After anyone has ingested a large amount, the person is immediately likely to have pain and swelling of the mouth and throat.

“In general, ingestion may lead to the development  of the following adverse health effects or symptoms from within a few hours to several weeks later such as; acute kidney failure, confusion, coma, fast heart rate, injury to the heart, heart failure, liver failure, lung scarring, muscle weakness, seizures, pulmonary edema and respiratory failure which possibly lead to death.”

Alternative to paraquat use

The coalition give the alternatives to include glyphosate, glufosinate-ammonium, diphenyl ether, aryloxyphenoxy-propionate and cyclohexanedione.

The coalition further said these alternatives would save the farmer, consumer and the environment from its toxicity.

Speaking further on the alternatives, stakeholders in the agricultural sector expressed readiness to adopt the IITA digital tools which is the Six Steps to Cassava Weed Management and Best Planting Practices.

The stakeholders called for the support of IITA on the use of videos on Cassava Weed Management and Best Planting practices, adding that it would help to empower extension workers and farmers.

The need to prohibit paraquat use in Nigeria

Speaking on behalf of the Coalition during a dinner with concerned citizens in Abuja, the National President, National Association of Yam Farmers, Processors and Marketers, Prof. Simon Irtwange, said while there are short and long-term negative effects of paraquat toxicity on human health, restricting the use of paraquat in the country has been a major challenge.

He said about 167 literatures from leading scientists from across the world have confirmed that the herbicide is injurious to human life, hazardous to aquatic life, exacerbates environmental degradation, causes pollution, and endangers the sustainability of the ecosystem.

Explaining that the precautions listed in the United States Centre for Disease Control (USCDC) document concerning exposure and actions are more difficult to follow, he noted that there is a lack of trained applicators certified by regulating agencies in Nigeria.

He said farmers make repeated applications often with the same clothing not washed, and thereby increase their exposure.

The Chairman Board of Trustees, All Farmers Association of Nigeria, AFAN,  Murtala Nyako, strongly recommended that the federal government through the appropriate agency should de-register the importation and prohibit the distribution, sale, and use of Paraquat in Nigeria.

“Our aim is to protect the environment, maintain its integrity and sustainability for production by the next generation of farmers in the farming communities.

“Readily available medical attention or adequate washing facilities to remove paraquat from the skin are lacking,” he said.

Also speaking, the President, Croplife Nigeria, Mahmood Tauhid, said they have since initiated and proposed to NAFDAC to ban paraquat and initiate a gradual withdrawal of the product through a 4-5 year moratorium which will achieve two objectives.

“NAFDAC have accepted our proposal and already issued a statement on that effect confirming a moratorium of to December 31, 2024 after which paraquat will be out of the Nigerian market. The draft bill is already with the committee on agriculture of the Federal House of Representatives chaired by Hon Muntari Dandutse,” he said.

Policymakers and central bankers in the West African Monetary Zone (WAMZ) are tackling COVID-19-induced difficulties in the maintenance of price, financial system stability and sustainable growth in their economies. The central bank governors in WAMZ member-states met in Lagos to discuss diverse and tailored measures deployed by them to meet the peculiar shocks the pandemic had exposed their individual economies. The central banks have also implemented various forms of liquidity measures to support the government’s short-term budgetary needs as well as other liquidity assistance frameworks to support small businesses, writes COLLINS NWEZE.

The West African Monetary Zone (WAMZ) member states and their central bankers have for years maintained a common drive to achieving regional economic integration and monetary union. That vision is continually being nurtured even in the face of COVID-19 pandemic which spared no economy, across the globe.

But the central bakers in WAMZ region decided to take the bull by the horn by instituting several monetary policy measures to keep their economies up and running.

During a WAMZ symposium hosted by CBN in Lagos, the six-member countries of Gambia, Ghana, Guinea, Sierra Leone, Nigeria and Liberia made presentations on steps they are taking to keep their economies going.

The symposium was attended by Central Bank Governors/representatives of member states, Director Generals of West African Monetary Institute (WAMI), West African Monetary Agency (WAMA), West African Institute for Economic and Financial Management, (WAIFEM), Nigeria’s Minister of Finance and Director, Country Department, International Monetary Fund, (IMF).

Globally, central banks carry out a nation’s monetary policy and control its money supply, often mandated with maintaining low inflation and steady Gross Domestic Product growth. On a macro basis, central banks influence interest rates and participate in open market operations to control the cost of borrowing and lending throughout an economy.

Speaking at the symposium with the theme: “Monetary Policy Responses of the Member States of the West African Monetary Zone (WAMZ): Emerging Lessons From Covid-19 Pandemic”, CBN Governor Godwin Emefiele said the gathering provides the much-needed forum for stakeholders to discuss their countries’ respective responses to the COVID-19 Pandemic and draw lessons from experiences for better intra-regional collaboration and coordination.

He said that the COVID-19 pandemic precipitated an economic emergency of unparalleled magnitude to national and global economies.

As it were, Central Banks across the advanced, emerging and developing economies had assumed a leading role in fashioning sets of policy responses to both the demand and supply-side shocks that the pandemic had exerted on their economies.

In most cases, the responses stretched monetary policy beyond its conventional boundaries, in order to prop up the many activities affected by lockdowns and the associated curtailment measures.

Emefiele said responses of central banks across the WAMZ had been timely, proactive and very commendable, with a focus at ensuring price and financial system stability, while also mitigating financial fallout on both corporates and households.

Broadly, responses of monetary policy across the zone were diverse and tailored to meet the peculiar shocks the pandemic had exposed their individual economies.

The monetary policy responses within the zone can be characterized, amongst others, to include reductions in policy rates, ostensibly aimed at reinvigorating growth in response to the sudden economic contraction caused by COVID-19.

Central banks have also implemented various forms of liquidity measures to support the government’s short-term budgetary needs as well as other liquidity assistance frameworks to ensure market liquidity.

He said there were in addition measures aimed at stabilising the foreign exchange market in the face of supply shocks precipitated by the pandemic. Also, spates of interventions to support and strengthen health institutions and medical support services to mitigate the impact of the pandemic were undertaken.

Emefiele said the measures had been very helpful in navigating the respective economies through this difficult time. “The need, however, remains imperative for monetary policy responses to the pandemic in the WAMZ to be synergised and coordinated in order to preserve the gains already achieved towards regional integration, particularly given evidence of interdependencies and likely spillover of the respective macroeconomic responses across the economies of the zone,” he said.

“To achieve this, it becomes imperative to create a forum like this to facilitate the sharing of country experiences on monetary policy responses in the management of the adverse socio and macroeconomic effects of the pandemic. This will go a long way to improve respective country performance in meeting the WAMZ convergence criteria”.

Emefiele has described the responses of member states of West African Monetary Zone, (WAMZ), on the global pandemic as timely, proactive and commendable. These responses according to him were aimed at ensuring price and financial system stability, while also mitigating financial fallout on both corporates and households.

While noting that the pandemic had precipitated an economic emergency of unparalleled magnitude to national and global economies, Emefiele, however, stated that the dialogue will provide the much-needed forum to discuss regional responses to the pandemic for better and intra-regional collaboration and coordination. He added that “the Pandemic posed difficult challenges to policymakers and central bankers in the maintenance of price and financial system stability while keeping an eye on the growth performance”.

Continuing, the governor further stated that the ”Pandemic posed difficult challenges to policymakers and central bankers in the maintenance of price and financial stability while keeping an eye on growth performance”. It was in view of this, according to him, that “Central Banks across the advanced, emerging and developing economies had assumed a leading role in fashioning out policy responses to both the demand and supply-side shocks that the pandemic had exerted on the economies, recalling that no economy, including those of WAMZ, was spared from the fall-out of the COVID-19 outbreak”.

On his part, Commissioner, Microeconomic Policy and Economic Research of the ECOWAS Commission, Kofi Konadu Apraku, who represented President of ECOWAS Commission, Jean Brou, said the organisation of the symposium is a clear testimony of the determination and commitment of WAMZ in overcoming the economic and social challenges presented by the COVID-19 pandemic.

Apraku said that global concerns about the pandemic have revolved around its overall impact on the economy, health and humanitarian impacts, with particular emphasis on the sectors of the economies that are most vulnerable.

He said the outbreak has generated demand and supply shocks across the global economy with an economic slowdown and significant negative impacts on financial markets.

The devastating economic and financial impacts are still ongoing. The extent of the damage would ultimately depend on how quickly the virus is contained and how governments respond in terms of the steps taken to contain it, as well as economic support governments, are able to deploy to mitigate the epidemic’s impacts.

ECOWAS, like all regional economic communities, is very concerned about the unprecedented negative health, economic and humanitarian impacts of the COVID-19.

“To activate a regional response to the pandemic, and based on the assessment of its effects, the ECOWAS Head of States and Government at its Extraordinary Summit helming in April expressed deep concern about the spread of COVID-19 and its negative social, economic, financial and human security impact on all ECOWAS Member States,” he added.

He said the summit further acknowledged the immense efforts of Member States in terms of the various response measures put in place to mitigate the negative impacts of the pandemic to regenerate economic growth and reduce negative social, humanitarian and public health impacts of the pandemic.

The summit presented opportunity to set up three Ministerial Coordinating Committees, namely a Ministerial Coordinating Committee on Health, Ministerial Coordinating Committee on Finance (including ECOWAS Central Bank Governors) and the Coordinating Committee of Ministers of Transport, logistics, free movement and trade with the broad responsibility to establish conference between the national and regional strategies and ensure that all the economic and financial impacts linked to COVID-19 are addressed effectively.

The summit also appointed President Muhammadu Buhari as the “Champion” for this cause and took some far-reaching decisions, including deploying, through the Central Banks, tools, means and significant liquidity to support SMEs and Microfinance Institutions in all member states.

He said the Central Banks of the WAMZ have taken the bull by the horn and with this programme to examine and share country experiences on monetary policy responses in managing the COVID-19 pandemic.

“As the pandemic and the related containment measures undertaken by member states of WAMZ have significant and widespread impact on economic activities, the WAMZ Central Banks have the responsibility and essential foundation for sustainable economic growth and job creation,” he stated.

He said the ECOWAS Commission will continue to strengthen its cooperation with Central Banks, Regional Institutions and the Member States in the diligent implementation of the conclusions emanating from the symposium.

He advised that Governors work more with stakeholders in their respective counties to galvanise renewed interest and commitment in ensuring rapid economic recovery in their various countries.

Key interventions by govt

Significantly, the Nigerian economy has taken a big knock because of Covid-19. In line with established best practices, it is the responsibility of government (like most western countries) to reboot the economy by supporting businesses with various incentives which can also include a business support fund.

The government has so far done through the various Covid-19 committees injected funds to support the economy. Some of the notable initiatives being implemented are the Nigeria Economic Sustainability Plan (NESP), and its injection of N2.3 trillion into the economy over a period of 12 months.

There is also the Ministry of Trade and Industry, Micro, Small and Medium Enterprises Survival Fund, which incorporates a Guaranteed Off take Stimulus Scheme and the Credit Support to Micro Small Medium Enterprises.

The N100 billion CBN facility for pharmaceutical and healthcare-related industries, under the COVID-19 intervention scheme.

The Special Public Works programme expected to engage 774, 000 Nigerians to cushion the effect of COVID-19 pandemic, among others.

Monetary policy actions against COVID-19

Many African central banks, within and outside WAMZ took certain regulatory and monetary policy actions to support their economies and businesses against COVID-19 impacts.

The Central Bank of Algeria took regulatory and monetary policy measures including amending the minimum reserve system, the key interest rate for bank refinancing and the terms and conditions of open market operations.

The Central Bank of Algeria also fixed the minimum reserve ratio at six per cent of the reserve base; set the key interest rate for the main refinancing operations at three per cent instead of 3.25 per cent.

The bank further lowered the minimum threshold of the liquidity ratio to 60 per cent. In Nigeria, the CBN injected liquidity into the banking sector in order to protect jobs, stimulate local economic production and the process of import substitution.

The Central Bank of Nigeria also provided a one-year extension of a moratorium on principal repayments for the central bank’s intervention facilities; reduced interest rate on intervention loans from nine per cent to five per cent and regulatory flexibility for banks to restructure facilities in the affected sectors.

Bank of Ghana provided a range of monetary policies to support the economy reduction of the key interest rate to an 8-year low of 16 per cent to 14.5 per cent; lowering reserve requirements for lenders from 10 per cent to eight per cent to provide liquidity support to critical sectors.

The Bank of Ghana also lowered the reserve requirement for lenders from 10 per cent to eight per cent to provide liquidity support to critical sectors; decreased in bank retention margin from three per cent to 1.5 per cent, reducing the capital adequacy ratio from 13 per cent to 11.5 per cent.

The Central Bank of Sierra Leone lowered the monetary policy rate by 150 basis points, from 16.5 per cent to 15 per cent; the Central Bank of the Republic of Guinea (BCRG) reduced BCRG’s key interest rate by one percentage point; the Central Bank of Liberia decided to reduce the monetary policy rate from 30 per cent to 25 per cent while the Central Bank of The Gambia lowered its policy rate by 50 basis points to 12.0 per cent.

Also, the South Africa Reserve Bank (SARB) reduced its main lending rate by 50 basis points to 3.75 per cent and purchased government bonds to the value of Rand (R) 11.4 billion (USD 684 million).

The Bank of Tanzania (the BoT) took some steps to introduce policy measures to safeguard the stability of the financial sector.

The Federal council lowered the Statutory minimum reserves (SMR) requirement from seven per cent to six per cent. Also, in anticipation that banks may require additional funding from the BoT in light of COVID-19, the BoT has reduced the discount rate from seven per cent to five per cent.

The bank also reduced haircut on government securities from 10 per cent to five per cent for treasury bills and from 40 per cent to 20 per cent for treasury bonds.

It also provided regulatory flexibility to banks and other financial institutions that will carry out loan restructuring in a transparent and impartial manner and recommend to mobile money operators to increase daily transaction limit to customers, among others.

World Bank’s responses in African countries

According to the World Bank, the pandemic continues to take a toll on African lives and economies, pushing the region into its first recession in 25 years.

Many countries have seized the opportunity within the crisis to move faster on necessary reforms and investments that will be crucial for long-term development. However, concerns of a second wave are fueling further uncertainty.

Recent estimates show that COVID-19 could push up to 40 million people in Sub-Saharan Africa into extreme poverty.

The road to the recovery will be long and vary significantly across economies and sub-regions. As part of the global response, the World Bank Group will be deploying up to $160 billion in financial support over 15 months to help more than 100 countries protect poor and vulnerable people, support businesses, and bolster economic recovery. This includes up to $50 billion for African countries.

Communities in Edo State lack good hospitals and are as such at the mercy of ill-health. Many of the health care centres are in a bad dilapidated shape with many abandoned, writes FRANK IKPEFAN.

For residents of Ojavun, and Uzebba communities in Edo State, a good hospital exists only in the dream.

Apart from the lack of other basic amenities, the absence of an equipped hospital means there is virtually no obvious dividend of democracy in the areas.

The Uzebba health centre is now a habitation for rodents and reptiles; residents say the scare of these wild animals is the beginning of wisdom.

In Edo North, the primary health care centres built with millions remain in ruin, an investigation has revealed.

Many of the health care centres are in a bad dilapidated shape with many abandoned.

Three primary health care centres which ought to alleviate the health crisis in the three communities by providing a basic, affordable and accessible health care are in a state of disrepair.

The development has led to anguish for members of the communities, who often have to go as far as Sabongidda – Ora and Afuze, both in Owan East and West Local Government Areas to access medical care.

The trip is a burden to the less privileged and pregnant women in the communities. Many people have died from travelling long distances for medical care, a member of Ojavun community told our reporter.

Community’s health centre converted to church in Edo

In Uzebba community, a primary healthcare centre (PHC) abandoned by the government has been converted to a church.

The PHC, conceived as a place for diagnosis and treatment of disease has been converted to a worship centre for Christians in the area.

The project, which has been abandoned for ten years, according to residents of the community, now plays host to a fast-growing protestant church despite the absence of a public medical facility in the community.

“This project has been abandoned for the last ten years. Our people don’t have access to any health care facility to use. We go to Sabo before we can have access to medical care.

“Please we need help. If the government can help us complete this facility we will be very happy. At least that will help us and our children, especially our pregnant women during pregnancy. We will not have to go as far as Sabo before we can have access to treatment,” a member of the community, Justice Osagie, said.

Uzebba: Constituency project abandoned, overgrown by weeds

As it is with state government health projects so it is for federal government projects in the same community.

A PHC project in the same community that was captured in 2015 under the Federal Government’s intervention programme (constituency project) has been overgrown by weeds.

The project, allegedly nominated by a former member of the House of Representatives, Pally Iriase, has faded into an unpleasant sight of taxpayers’ money put to waste.

But the former Deputy Chief Whip of the House of Representatives denied nominating the projects.

Iriase, in a text message to The Nation, said: “I didn’t nominate any health centre for Uzebba throughout my tenure in the House of Representatives. So I am not connected with the abandoned project you referred to in your text.”

However, according to Tracka, a citizen advocacy group, the project, which was conceived as a health centre under the zonal intervention project with a borehole, was awarded in 2015 for N30 million.

Tracka, in its 2016 Federal Constituency Projects Report, said the lawmaker approached the community in 2015 and requested for a plot of land to execute the health centre, promising to build a grade B facility for the community.

The Community Head, Chief Dogo Samuel, according to the report, told Tracka team that despite the provision of the plot of land by the community as requested, the health centre is yet to be completed despite several efforts.

Also, in a letter by a former Special Assistant to the lawmaker, F. O Agge, in 2016 confirmed that Iriase nominated the project as part of his effort to ensure that “Uzebba benefits from federal projects.”

The former lawmaker thereafter directed the community to the implementing agencies – the Benin Owena River Basin and the National Primary Health Care Development Agency for “performance status, implementation plans and duration.”

The abandoned Uzebba health centre in its present state has been turned into a habitation for rodents and reptiles.

Ojavun: Completed but not functional

In Ojavun, a community in Owan East LGA, another health centre project constructed by the local council is about to go down the drain.

The project, a primary health centre completed in 2019, has not been open to access by residents of the community. Residents of the community said the facility has not been equipped since its completion last year.

The modest size building stands solitary in an expanse of land surrounded by weeds and bushes. Giant grasses have overgrown the site so much that one would need to stand on a pedestal to peep into the shattered state of the bungalow.

As at the time of going to press, the structure has not been functional, thereby depriving members of the community access to a needed lifeline.

A member of the community, Esther Esemuze said: “We don’t have a health centre in this community. If someone is sick and is in need of emergency care, if we don’t go to Sabo or Afuze we can’t access health care. If a woman is in labour we will look for transport for hours before we will get. These are the challenges we face. That’s why this health centre was established so that we can receive help.

“This health centre was built so that it can help children and women, especially when they want to give birth. The health centre has been established and abandoned halfway. We are still where we are with no health centre. We have not moved forward; we don’t know where we are going, we don’t know where we are coming from.”

In 2018, President Muhammadu Buhari flagged off the revitalisation of 10, 000 Primary Health Care (PHC) Centres nationwide.

Under the first phase, the federal government which is collaborating with the lower levels of government and development partners in the scheme said it will work on a PHC in each of the country’s 109 senatorial districts in Nigeria. This means, three in each state and one in the Federal Capital Territory.

The president emphasised that the programme would focus on the poor, especially women and children under 5 years in the rural areas of the country. For children and women in Ojavun and Uzebba, a revitalised health care system in their communities is a miracle waiting to happen. It will no doubt be of great relief to their aching hearts and empty pockets.

 

 Edo  didn’t return calls

 

Efforts to get the Special Adviser to Godwin Obaseki, Crusoe Osagie to speak on the matter were not successful. Calls made to his mobile number were not returned. He was yet to respond to text messages sent to him as at press time.

But the governor, during the presentation of the 2021 budget to the state House of Assembly, stated that his administration has earmarked N11.3bn to strengthen the state’s healthcare system and provide quality healthcare services to Edo people next year.

While N1bn will be expended on contribution to the state Health Insurance Scheme, the other N10.3 billion will be used to strengthen institutions and systems required to provide affordable and quality healthcare service to the people.

Obaseki said: “The new design is that, with the pilot building of 20 primary health care centres for each local government to test it and the expansion to about 60, we hope to get about 250 PHCs in the next one and half years.

 

“In supporting a robust response to the COVID-19 pandemic, we would be reinforcing structures to support the provision of effective and efficient Medicare at the local government area level.”

 

• Reporting was done as part of Civic Hive Media Fellowship 2020.

The naira is facing one of its darkest days in its over five decades’ history, hitting a new low of N500/$ at the parallel market. The depreciation of the local currency at both official and parallel markets paints a gloomy picture of an uncertain future that needs drastic action to fix. The Central Bank of Nigeria (CBN) has instituted policies to reduce currency pressure fueled by forex speculators and other illegal dealers. COLLINS NWEZE writes that winning the naira and exchange rate stability war would require more than policy implementations to include sanctions against confirmed cases of abuse

Mohammed Abudulkadir, a currency speculator, was preparing for the Suri prayer when he got a WhatsApp message that made him richer. His business partner, Abubakar Idris, had on November 27, informed him that the naira was exchanging for N496 against the dollar in the parallel market.

Abudulkadir hurriedly said his prayer, moved to the vault where he kept $100,000 to confirm it was intact. He then called five of his most trusted aides and gave them $20,000 each to exchange to naira. “I made N117 extra on every dollar sold because I bought at N379/$,” he disclosed.

The transactions concluded within three hours because of the number of manufacturers, importers and other end-users of foreign exchange (forex) waiting to buy the greenback, fetched him N11.7 million profit.

Abudulkadir is one of the thousands of currency speculators capitalising on the heightened forex supply shortage, demand pressure and rationing by the Central Bank of Nigeria (CBN) to create fear, panic and volatility in the market.

These speculators have also made it difficult for the local currency rates to converge as they kept manipulating the parallel market exchange rates against official rates.

The naira has been exchanging at N379 to a dollar in the official market, but in the parallel market where a large part of the demand are settled, the local currency is facing the highest level of volatility in its over 50 years’ history where it has met series of devaluations and adjustments based on market realities.

It was not only devalued by 45 per cent in the last 16 years but in 2001 alone, its value was slashed 27 per cent. If one thinks that the 2001 debacle was worrisome, the naira has exceeded that loss, as it has depreciated by nearly 30 per cent this year alone.

The local currency first hit double digits in 1991, moving from N9.9 to N17.2/$ the following year. That constituted a significant 73.7 per cent change. Thereafter, a continuous slide ensued, attaining triple digits in 2000.

Although it was considerably stable between 2000 and 2003 (below N120/$), the recent adverse global capital flows especially to developing economies and drop in oil prices, among other factors, have culminated in the current low of N500/$ at the parallel market.

An economist, Bismark Rewane, explains why the naira is on the downside. “As oil prices dipped, the CBN has prioritised stability of exchange rate in the official market. It has drawn an exclusion list of avoidable imports from being funded in the official market. With the foreign exchange demand for the items transferred to the parallel market, rates in that market have soared,” he said.

Besides, other factors like terms of trade, inflation differential, public debt, current-account deficits, interest rates, political stability and the overall economic health determine the exchange rate of a currency.

Hence, the fall in crude oil prices has reduced Nigeria’s dollar earnings, making it difficult for the apex bank to fund imports. Record oil prices had helped Nigeria to build the largest currency reserves in sub-Saharan Africa. The reserves peaked at $63 billion in September 2008. But, after attaining a record-high of $147 in July of that year, Nigeria’s crude oil prices – bonny light, have plummeted.

As at yesterday, crude oil was trading at $46.39 per barrel and the foreign reserves level has declined to $35.6 billion.

A large chunk of the reserves went to defending the naira through weekly dollar interventions, raw materials imports for manufacturers, weekly dollar sales of $10,000 for each of the 4,500 CBN-registered Bureaux De Change (BDCs) and meeting other dollar obligations for the government, businesses and populace.

Today, oil sits at $46.39 a barrel. Goldman Sachs recently agreed it could tumble as low as $30 a barrel, a level that would decimate the already heavily damaged economies of Nigeria, Saudi Arabia and Russia. The Organisation of Petroleum Exporting Countries (OPEC) predicts the price won’t go back above $100 until 2040.

These weak economic indicators and forecasts have continued to put the local currency under severe pressure from internal and external factors. Still, the CBN is not giving up, except that its measures seem overboard, with varied implications for inflation and purchasing power of Nigerians.

Other stakeholders have explained what is playing out in the Nigerian forex market. They said the continued diversion of export proceeds and Diaspora remittances inflows to the parallel market are weakening the naira.

Trading Desk Manager, AZA, a global forex trading firm, Murega Mungai, said the depreciation of the naira will continue until there are regulatory sanctions against illegal forex dealers, especially exporters who fail to remit export proceeds to government coffers as spelt out in the CBN’s Foreign Exchange Manual.

The manual provided that all exporters should repatriate export proceeds back to the country to support the local currency and boost the economy, but compliance with the guidelines has become a major challenge.

The CBN has been monitoring non-oil exporters, especially airlines and shipping firms, and assessing their compliance with the export proceeds repatriation policy.

In a circular to authorised dealers, Nigerian Customs Service, (NCS), Nigerian Shippers Council (NSC) and other stakeholders, CBN Director, Trade & Exchange Department, O.S Nnaji, said the bank had observed with dismay, the non-compliance by shipping and airline companies to its directive on export proceeds remittance.

The CBN also directed all banks to submit the names, addresses and Bank Verification Numbers (BVN) of exporters that have defaulted in repatriating their exports proceeds, for further action.

Nigeria also receives over $25 billion annually from Diaspora remittances, mainly from its citizens living or working in Europe, America and Asia. The Diaspora remittances also being diverted to parallel market have for years remained the backbone of the naira by deepening market liquidity.

In a report titled: “Christmas Stocking Is No Gift for Naira,” Mungai said many companies and individuals are diverting export proceeds and remittances away from approved channels while directing unmet dollar demand to the parallel market.

He disclosed that as dollar scarcity continues to linger, the naira will come under more pressure that will weaken its value against other global currencies.

“The naira traded as low as N500 to the dollar as Nigeria recorded its worst recession in three decades, with the economy shrinking 3.62 per cent in the third quarter as a result of lockdowns, border closures, currency restrictions and protests. The dollar demand pressure continues to weigh in from importers stocking up for Christmas sales,” Mungai added in an emailed note to investors.

Also, dollar demand pressure has continued to weigh in from importers stocking up for Christmas sales and finding it difficult to source from the official market, are directing their demand to the parallel market. Shipping and airline companies have also been accused of depriving Nigeria of the much-needed dollar earnings by not remitting export proceeds.

Regulatory, banks’ controls to keep naira stable

The CBN never stood idly watching the naira slide into oblivion. The regulator has taken certain stringent measures, including imposing some currency control measures to save the naira.

Firstly, it curbed access to the interbank currency market for importers bringing in a variety of goods. To conserve its dollar reserves, the bank said importers could no longer get hard currency to buy 43 items, ranging from toothpicks and rice to steel products and private jets.

The banks are also turning down payment requests from customers paying business partners abroad with naira debit cards.

They are now asking customers paying clients abroad to do so in the currency of the beneficiary’s country, not in naira. The new practice differs from the previous one where lenders debited the naira accounts of customers at the prevailing exchange rate and remitted dollar equivalent to the offshore beneficiary’s account.

The old practice was depleting foreign reserves and putting pressure on naira exchange rate against the dollar at a time Nigeria’s dollar earnings are on the decline due to low oil prices caused by Coronavirus pandemic.

Many banks not only insisting that customers pay in the currency of the recipient’s country but through inflows from abroad in line with CBN’s domiciliary account policy which directed that only electronic fund transfers into domiciliary accounts can be transferred from such accounts to third parties while cash deposits into such accounts can only be withdrawn in cash.

In an emailed explanation to a customer on why her transaction request was declined, GTBank said it was based on a temporary restriction is placed on Dynamic Currency Conversion (DCC) on all banks’ cards.

“Dear Valued Customer, Declined Card Transaction: DCC Restriction. Thank you for using your GTBank Naira MasterCard. Please be informed that your transaction with the details below could not be completed because you have selected the DCC payment option (Dynamic Currency Conversion) that allows you to pay in Naira, which has been temporarily restricted on all our cards. Please reattempt the transaction and select the currency of the country you are transacting in,” GTBank Card Services Team emailed one of its customers, Ndidi Obinna, who was paying for online advert placement on Facebook with her naira debit card”.

Likewise, Martins Obi was in Dubai shopping when he got news of CBN’s restriction on the use of naira debit cards abroad on Twitter. He quickly called his account officer in the bank to confirm the authenticity of the information, and his fears were confirmed.

“It was a very bad experience. I had to borrow from a friend to be able to make the payment,” he said.

Thousands of bank customers share Obi’s experience outside the country. Also affected were web-based businesses that require to regularly pay for server space and web hosting in Europe or America using their debit cards.

The Chief Executive Officer (CEO) of InvestAdvocate, Peter Obiora, said the policy shift has made it difficult for him to pay for server space for his online web business. He said unlike previously when he could use his debit card to pay for such transactions to be approved, now, the card must be linked to a dollar-denominated domiciliary account that must be funded locally.

Former Executive Director, Keystone Bank, Richard Obire, said that just like a coin, the debit card restriction has two sides because Nigeria is integrated into the global economy, and her citizens should get intangible services that promote businesses. The use of naira-denominated debit cards abroad, he said, is one of such benefits.

He said that instead of making a blanket restriction on card use abroad, the CBN and other commercial banks should look at the countries where the biggest volume of forex is spent, and what it is being used for. Obire said Nigeria still gets over $25 billion annually from Diaspora remittances and other forex inflows from other sources.

The Managing Director, Afrinvest West Africa Plc, Ike Chioke, believes the incorporation of a long-term diversified strategy in fiscal policy is required to cushion shocks in various segments of the economy.

For him, the persistent pressure on the naira could have been minimised if a counter fiscal policy had been developed, as the CBN cannot continue to defend the naira with foreign reserves.

“To reduce this pressure, an inward-looking policy (tax incentives, infrastructure development and production subsidy) should be emphasised to reduce the dependence on imported goods”, he said.

He explained that asides from oil receipts, the development of the Agricultural sector will in the short term reduce the forex burden of food imports and on the long run, enhance foreign receipts if its comparative advantage in the sector is efficiently deployed.

President, Association of Bureaux De Change Operators of Nigeria, Aminu Gwadabe said regulatory sanctions against authorized dealers- banks, BDCs or other financial institutions will help to check forex abuse. He said that aside from financial fines, operating licenses of forex violators should be withdrawn by the apex bank as a deterrent to others.

CBN’s position

CBN Governor Godwin Emefiele explained the dilemma faced by his team in keeping the naira stable and factors making the teams’ work challenging.

He said the COVID-19 pandemic played a negative role in getting the naira to the sorry state it is today. The pandemic pushed foreign investors to withdraw over $100 billion from emerging markets including Nigeria, between February and April this year.

It was the impact of the pandemic and the resulting slowdown in economic activity that led to a significant outflow of funds from developing economies.

Emefiele said the funds were subsequently invested in safe-haven assets such as US treasury bills and the Japanese Yen. The increase in outflows from emerging markets also led to a corresponding depreciation in the currencies of several emerging market countries such as Brazil (- 27.3 per cent), Turkey (-35.1 per cent), Argentina(-35 per cent), Russia(-20 per cent), Angola(-27 per cent) and South Africa (-9 per cent) year to date.

Like other developing economies, and countries reliant on oil exports, the decline in crude oil earnings as well as the retreat by foreign portfolio investors significantly affected the supply of foreign exchange into Nigeria.

To adjust for the decrease in the supply of foreign exchange, the naira depreciated from N305/$ to N360/$ and subsequently to N379/$.

With the decline in Nigeria’s foreign exchange earnings and successive exchange rate adjustments, the CBN continued to implement a demand management framework, which is designed to bolster the production of items that can be produced in Nigeria, and aid conservation of our external reserves.

Also, due to the unprecedented nature of the shock, we continued to favour a gradual liberalization of the foreign exchange market to smoothen exchange rate volatility and mitigate the impact which, rapid changes in the exchange rate could have on key macro-economic variables. This we believe is in line with international best practices in countries where managed float arrangements are in operation.

Measures equally being taken by the authorities to improve our non-oil exports and other sources of foreign exchange. These measures have helped to prevent a significant decline in our reserves. Nigeria’s external reserves currently stand at $35.6 billion and are sufficient to cover seven months of import of goods and services.

Besides the dwindling crude oil prices and reduced forex earnings, the decision by the CBN to peg the naira in the official market, resist further devaluation, lower interest rates and increase credit to the real sector, has heightened the exchange rate crisis.

Although pundits’ debate whether the naira is overvalued or undervalued, the real issue is that the CBN’s control of the local currency prevents it from being responsive to economic fundamentals.

While every economy is controlled in some way, the CBN’s refusal to allow the exchange rate and other relative prices adjust to terms of trade shocks seems to be disrupting the country’s fundamental economic structure.

Conclusively, Nigeria’s current managed floating exchange rate regime combines features of both the fixed and flexible exchange rate. A lightly managed floating exchange rate regime is advocated given that the exchange rate becomes determined essentially by demand and supply forces. This would allow the CBN to intervene occasionally to moderate excessive fluctuations, which are prone in developing countries, including Nigeria.

The COVID-19 pandemic has made life more difficult for women and girls living with HIV, writes MOSES EMORINKEN

While the world continues to grapple with the attendant devastating health crisis caused by the ravaging covid-19 pandemic, the World Health Organization (WHO) continues to re-echo that persons with co-morbidities like HIV, tuberculosis, diabetes etc., are at a higher risk of coming down with the disease and dying.

Therefore, such vulnerable groups are advised to pay closer attention and adhere to safety measures and protocols.

However, another more destructive accomplice is the hunger ‘pandemic’; the inability of a person to get the right nutrition, thereby, terribly lowering their immune system’s effectiveness and rendering less effective any medicine they take. This is the result of poverty.

According to a report by the United Nations Children’s Fund (UNICEF), “HIV/AIDS negatively impacts on a person’s nutritional status in different ways: insufficient dietary intake, malabsorption and diarrhea, and impaired storage and altered metabolism.

“HIV/AIDS results in reduced food intake and utilisation by the body of the nutrients, while simultaneously the nutritional needs of people living with HIV/AIDS are increased because the body has to fight the virus and opportunistic infections. As little as 3-5 percent weight loss has been associated with mortality. Low body mass index (BMI) at ART initiation is also associated with increased mortality in HIV-infected adults.”

Also, in 2019, UNAIDS reported that women aged 15–49 years are more than twice as likely to be living with HIV than men (1.9 percent versus 0.9 percent). The difference in HIV prevalence between women and men is greatest among younger adults, with young women aged 20–24 years more than three times as likely to be living with HIV as young men in the same age group.

The report further stated that at the national level, viral suppression among people living with HIV aged 15–49 years stands at 42.3 percent (45.3 percent among women and 34.5 percent among men).

Mrs. Udoh used to work with a private firm as a Secretary in Lagos. After she was diagnosed positive for HIV a few years ago, due to discrimination, she lost her averagely paying job and sought financial salvation in trading fairly used clothes. She had to grapple with thick discrimination and stigma from those aware of her medical history. However, as a widow, so far, she was able to provide for herself and her family.

Life seemed to echo tales of better days. She had no problems accessing treatment from designated health facilities, courtesy the Federal Government through the National Agency for the Control of AIDS (NACA), and donations from relevant local and international partners.

However, her health and economic realities started to deteriorate in the wake of the pandemic. The lockdowns made it difficult for her to access the much needed medicines, and most importantly, her finances shrunk terribly as she could not trade her scant wears to earn a living.

“Even now, it is still difficult for me to survive because the market is no longer moving well. To make a living is now very difficult. I don’t want to resort to other less honourable means,” Udoh said as she narrated her harrowing experience of survival during the pandemic. She explained that although after the curfews and lockdowns were lifted, she was able to re-access treatment. However, she is still adversely affected economically as a result of covid-19.

Speaking with the Nation, Udoh added: “I can tell you that people living with HIV do not and can hardly afford to take good nutrition which is a support to the toxic ARV drugs we take.

“We can only plead with the government to quickly intervene as most women especially those who are living with HIV are artisans and petty traders and unfortunately have ‘eaten’ their capitals for business as a result of the covid-19.”

Having access to treatment may not be an issue, however, being able to afford the right nutrition needed to make the drugs work well and strengthen the body to absorb and utilize the medicines is critically important.

The 2018 Nigeria HIV/AIDS Indicator and Impact Survey (NAIIS) reveals that the HIV prevalence rate in Nigeria is currently 1.3 percent, which is a huge improvement from what it used to be some year ago – above 5 percent.

In December 2013, UNAIDS Programme Coordinating Board called on UNAIDS to support country- and region-led efforts to establish new targets for HIV treatment scale-up beyond 2015.

The target was to ensure that by 2020, 90 percent of all people living with HIV will know their HIV status; 90 percent of all people with diagnosed HIV infection will receive sustained antiretroviral therapy; and 90 percent of all people receiving antiretroviral therapy will have viral suppression.

With regards to the target of ensuring that people living with HIV know their HIV status, Nigeria has recorded a good achievement of 73 percent. This, the UNAIDS has commended, but says more still needs to be done to get more people tested.

In 2014, the UNAIDS announced another ambitious 95-95-95 strategy, aiming to end the AIDS epidemic by 2030 by achieving 95 percent diagnosis among all people living with HIV (PLHIV), 95percent on antiretroviral therapy (ART) among diagnosed, and 95 percent virally suppressed (VS) among treated.

Stakeholders are unanimous in the fact that for Nigeria to achieve the UNAIDS 90-90-90 and 95-95-95 targets, there is the urgent need for the most vulnerable population – women and girls to be protected and empowered.

Covid-19 globally wrecked a lot of damages to not only countries’ economies, but also to the social, political and the health space. To curb the biting scourge of the pandemic, countries resorted to employing preservative tactics just to survive the onslaught of the ravaging disease. Lockdown was the new norm and buzzword.

This affected a lot of healthcare services, especially HIV services, as people living with HIV could not access routine care, HIV testing and diagnostics dropped, and the procurement of some life-saving medications and commodities was difficult because of the global shutdown of entry ports across countries.

School age children  stayed home for months. A United Nations Children’s Fund (UNICEF) report revealed that the rate of domestic violence and sexual abuses against women and the girl-child skyrocketed during the lockdown. Many girls were sexually abused, even in their own homes.

Aminat is only 13 years old, and is among the few girls in her village in Kano state that have been fortunate enough to complete her primary school education without being sent or ‘sold’ off to potential suitors because of the deeply rooted poverty situation in her family.

Few weeks before the lockdown, she was sent to stay with a distant relative to work as a maid while schooling at the same time. Little did she know that her life was about to change for the worse.

She became a victim of the pitiable and vexing statistics of sexual abuses during this period. Her guardian violated her for months to satisfy his inordinate cravings. She did not know whom to call for help or where to seek it.

Rescued by a good neighbour who heard her cries in one of those dark times, Aminat was taken to a health facility to be properly checked. Tests result revealed that she was HIV positive, and was immediately placed on counseling, therapy and treatment.

This is just one story of how covid-19 and its attendant consequences fueled an increase in the number of new HIV infections across the country.

In its message during the 2020 World AIDS Day, the United Nations Joint Team on HIV/AIDS, said, “In 2020, the world’s attention has been dominated by the covid-19 pandemic and how pandemics affect lives and livelihoods. Covid-19 is showing once again how health is interlinked with other critical issues such as reducing inequality, human rights, gender equality, social protection and economic growth. No one is safe until everyone is safe. It is with this in mind that we consider the global theme of this year’s World AIDS Day ‘global solidarity, shared responsibility’, most appropriate.

“As Nigeria continues to battle the covid-19 pandemic, the UN Joint Team on AIDS along with partners, including communities are working to ensure steps needed to combat covid-19 while also delivering essential HIV testing, prevention and treatment services in both traditional and novel ways.

“In Nigeria, progress towards the 90-90-90 target shows that for the first 90, 73 percent of people living with HIV know their status. This is a great achievement for the country, but we need to do more. Identifying persons who are positive is urgent and becomes more challenging as we approach the last mile.”

The Director-General of NACA, Dr. Gambo Aliyu, in his remarks on World AIDS Day, stressed that the agency will pay special attention to prevent, protect, and empower (PPE) persons living with HIV, especially indigent women across the country.

He said, “We have heard and seen the impact of covid-19 on HIV programmes. Even though we are scrutinising our data to find out the real impact of covid-19 on people living with HIV and AIDS, one thing that we know without looking at our data, is that we know that in terms of very economic realities, covid-19 has had an adverse impact compared to other outbreaks.

“Because of that, recently we launched a project in conjunction with the Federal Ministry of Women Affairs, and supported by UNAIDS. This project is basically PPE – prevent, protect and empower. People living with HIV and AIDS find it difficult to go to facilities, collect medications and earn a living.

“We are focusing on women simply because in terms of equality, when it comes to businesses and empowerment, women are disadvantaged. I want to make sure that first of all we take care of women living with HIV and AIDS before we focus our attention to men. In the next couple of months, you will see us out in the community as early as this week flagging off this project at various communities to empower women living with HIV and AIDS who are indigent; to teach them how to do small business at community level and give them seed money to initiate those businesses.

“NACA is determined to continue until the end of the year and in 2021, to make sure that we look at the most disadvantaged people living with HIV and AIDS in communities across the country and empower them. Together we’ll be out in the community to fight stigma and discrimination to make sure that people have the courage and confidence to get tested for HIV.

“It is only when people agree to get tested that our dream of getting to 90-90-90 and 95-95-95 will be realised.”

The National Coordinator of the Network of People Living with HIV and AIDS in Nigeria (NEPWHAN), Abdulkadir Ibrahim, stated that, “Actually COVID-19 has impacted generally everybody, but when it comes to HIV-specifically, majority of people who bear the burden of HIV and AIDS are women – about 70 to 80 percent. Also the initial lockdown really affected access to treatment because during this period some do not even have money to go for treatment, even with approvals to essential services.

“We want the government to allocate money using government budget to also identify and empower people, and to not always rely on donor funds. You cannot eliminate HIV when people are hungry and are not empowered.”

 

 

President Muhammadu Buhari recently set up a delegation to consult with leaders and peoples of the six geo-political zones, following the violence that broke out during the EndSARS protests across 21 states. In separate meetings, the North, East, West and Southsouth regions stated their complaints to the Prof Ibrahim Gambari-led committee and offered ways to mend national fractures, writes ROBERT EGBE.

 

WHAT GEO-POLITICAL ZONES DEMAND

 

North

• Support for Nigeria’s unity
• Strict watch on FCT
• Police reform
• Role for traditional rulers
• End to ASUU industrial action
• Action on Almajiri, illiteracy

Southeast

• Flush out criminals and killer herdsmen
• Pay attention to and solve region’s groups’ demands

Southwest

• Strengthening of security
• Intelligence-driven policing
• Review of the report of the 2014 national conference
• Reopening of the country’s international borders
• Repairing the damage to physical infrastructure and economic assets
• Comprehensive programme to address youth employment reopening of universities
• Southwest Development Commission
• True federalism and power devolution

Southsouth

• Restructuring,
• True federalism
• Revitalisation of region’s ports
• Privatise all refineries to make them functional
• Relocation of all NNPC subsidiaries to the region
• Implementation of consent judgment in Suit No: SC/964/2016

 

 

What do Nigerians really want?

The Federal Government and many of the states thought they had it more or less figured out: Job opportunities for the 27.1 per cent unemployed as at August (according to the National Bureau of Statistics); resolution of the Academic Staff Union of Universities (ASUU) strike that has kept students at home since March; provision of roads, healthcare and other critical economic infrastructure; stepping up of efforts to diversify the economy; intensifying the battle against terrorism in the Northeast and insecurity in other parts of the country; and provision of palliatives to stem the effects of the Coronavirus pandemic, among others.

Efforts to tackle these problems have been underway for a while. For instance, the Federal Government’s N-Power programme had enrolled 500,000 in two batches between 2016 and 2020 receiving 30,000 monthly, with enrolment of third batch of 400,000 in progress. It increased the National Youth Service Corp (NYSC) monthly allowance from N19,600 to N33,000 with more than 300,000 benefitting. It set aside a N75 billion Naira Nigeria Youth Investment Fund (NYIF) for businesses owned by youths between 18 and 35 years. It was buying better weaponry, including aircraft for the anti-terrorism war. In 2018, President Muhammadu Buhari announced plans for an upward review of police remunerations. By global standards, Nigeria, despite its contracting economy, had handled the pandemic relatively well.

But whatever silver lining optimists saw on the horizon came at risk of fading away when the #EndSARS protests spilled out onto the streets of 21 states.

For nearly two weeks angry young people took to the streets, blocking major roads across cities.

The sustained protests across Nigeria and other parts of the world forced the federal government to disband the Special Anti-Robbery Squad (SARS). But animosity towards the police continued with protesters demanding an end to police brutality and harassment of youth.

The government also responded quickly and accepted a five-point demand by the #EndSARS movement.

While those who backed and came out in support of the #EndSARS movement were peaceful, another segment of the youth saw the protests as an opportunity and went on a looting and vandalism spree.

In hindsight, it was not unexpected.

A report published in July had predicted how Nigeria and other nations would experience civil unrest as a result of the pandemic that has ravaged the globe since December 2019.

The piece published by the UK Guardian, was a report of global risk firm, Verisk Maplecroft, warning third world countries of the post-COVID-19 economic realities.

It said the economic shock of the pandemic “coupled with existing grievances would cause widespread public uprisings globally”.

It added that the “highest risk countries facing a perfect storm, where protests driven by the pandemic’s economic fallout are likely to inflame existing grievances, include Nigeria, Iran, Bangladesh, Algeria and Ethiopia.

Government response

Jolted by the scale of the violence and seeking to forestall another occurrence, President Buhari directed his Chief of Staff Ibrahim Gambari to lead a Federal Government delegation that will consult with leaders and peoples of the six geopolitical zones.

Gambari said Buhari was aware of the level of destruction, following the hijack of the protest by criminals.

“The purpose of this engagement is to find out what the federal and state governments have done and can do. The Buhari administration is set to address what brought us to this level,” he said.

He acknowledged that the youths have been ignored for so long, adding that “we can no longer afford to do so”. The government would make effort to ensure inclusion of youths in governance and maximize their participation.

The North

The first leg in the series of engagements began on November 2, when the North’s governors and traditional rulers, top federal government functionaries met with Gambari in Kaduna.

It was the first major coordinated reaction to the #EndSARS protest and its aftermath from the region whose youths largely declined to join the push for the scrapping of the police Special Anti-Robbery Squad (SARS).

In one voice, the North wrote off the #EndSARS protest as a “subversive action” intended to divide Nigeria.

Participants at the parley included Governors Malam Nasir El-Rufa’I (Kaduna), Simon Lalong (Plateau), Aminu Tambuwal (Sokoto), Bello Matawale (Zamfara), Atiku Bagudu (Kebbi), Abdulrahman Abdulrazak (Kwara), Governor Sani-Bello (Niger), Governor Yahaya (Gombe), Deputy Governor of Kano State, Alhaji Nasiru Gawuna and Deputy Governor of Katsina state, Alhaji Mannir Yakubu, among other leaders of the region.

In a communiqué of the meeting read by Chairman of Northern Governors’ Forum, Plateau State Governor Simon Lalong, the region said hijackers of the protest who vandalised, looted and burnt public and private properties, were seeking to change the Muhammadu Buhari government outside the ballot box.

The meeting canvassed the censorship of social media use given “the devastating effect of the uncontrolled social media in spreading fake news.”

It cautioned protesters against further action in Abuja and said all efforts should be made by the government to secure the Federal Capital Territory (FCT) and the national assets there.

It called for roles to be given to traditional rulers and reiterated the indissolubility of the country. It condemned the attack on persons and protesters and the burning of places of worship.

The communiqué said the meeting “endorsed the indivisibility, indissolubility and oneness of the nation. The meeting took note of the devastating effect of the uncontrolled social media in spreading fake news. Therefore, calls for major control mechanism and censorship of the social media practice in Nigeria.”

The North’s other demands included the need to further push for amicable resolutions of ASUU strikes to enable students resume their studies as well as for collective effort in addressing the lingering challenges of the North e.g. Almajiri system, insecurity, illiteracy, poverty, etc

Besides appreciating the major reforms going on in the Police, the Meeting called for the strengthening of trust between the people and the Police.

Southeast seeks love, fairness, equity, justice

Interestingly, the Southeast seemed to have the fewest demands of the Nigerian state.

Its governors and leaders rose from a meeting in Enugu on November 7 pledging an indivisible and united Nigeria “built on love, fairness, equity and justice”.

They in turn requested President Muhammad Buhari “the father of our nation, to look into the demands of the various groups of our people, review same with a view to solving them”.

In a communiqué read at the end of the meeting by Governor David Umahi of Ebonyi State, who is the Chairman of the Southeast Governors Forum, the leaders affirmed belief “in one Nigeria and this is the reason we are in every part of this country erecting infrastructures, living peacefully with our host communities and doing our businesses”.

The Southeast leaders further requested a joint operation into “our forest to flush out criminals and killer herdsmen with Ak47, while pledging our commitment to continuous coexistence with the herdsmen who have been living peacefully with us for years”.

They thanked the President for the “speed and the restraint with which he handled the demand of peaceful EndSars protesters, especially his commitment to drive police reform and mainstream youth empowerment and also for his courage to deal with hoodlums, criminals and those who hijacked the initial protests to hide under the peaceful protest and kill, maim innocent citizens, security agents and public and private properties.”

“We pledge to continue to protect all the various groups living in the Southeast. We enjoin them to go about their businesses peacefully.”

Participants included Federal Ministers from the Southeast with Southeast governors, Southeast National Assembly members, Clergy men and women, traditional rulers, representatives of all the youth organisations in the South East, and student leadership.

Southwest’s eyes on security

It was the Southwest’s turn on November 9. Not surprisingly, considering that the region bore the brunt of the #EndSARS protests, its focus was more on security, youth restiveness and unemployment.

The Southwest leaders called for the strengthening of security in the geo-political zone and in the country.

“The security architecture of the country requires adjustment to adequately address the threat and realities of insecurity in the country. There should be more police presence in communities in Southwest states”, they said in a communiqué.

The Presidential delegation which included Inspector-General of Police Mohammed Adamu and Minister of Information Lai Mohammed met with the region’s leaders in Ibadan.

Participants included Governors Rotimi Akeredolu (Ondo), Adegboyega Oyetola (Osun), Dapo Abiodun (Ogun), Seyi Makinde (Oyo), Kayode Fayemi (Ekiti) and host Babajide Sanwo-Olu (Lagos).

Ministers from the zone at the meeting were Babatunde Fashola (Works and Housing), Sunday Dare (Youth and Sports), Adeniyi Adebayo (Trade and Investment), Rauf Aregbesola (Interior), Tayo Alasoadura (Niger Delta, State), Olalekan Adegbite (Mines and Steel), and Olorunimbe Mamora (Health, State).

Traditional rulers at the session included Ooni of Ife, Oba Enitan Ogunwusi, Alaafin of Oyo Oba Lamidi Adeyemi, Oba of Lagos Rilwan Akiolu, Alawe of Ilawe Oba Adebanji Alabi, Olowo of Owo, Oba Ajibade Ogunye, Orangun of Oke-Ila Oba Adedokun Abolarin, Ayangbunre of Ikorodu Oba Kabiru Shotobi, Olu of Ilaro Oba Kehinde Olugbenle and Owa-Ooye of Okemesi Ekiti Oba Adedeji Gbadebo.

The meeting demanded that the police, currently grossly underfunded, should get more attention for their needs so that they can do more to protect lives, properties and enhance security all over the country.It called for more intelligence-driven policing to prevent “the repeat of what happened in the country, following the #EndSARS demonstrations.”

The communiqué also called for the review of the report of the 2014 national conference with a view to implementing “some of the recommendations especially with reference to security, economy and equal treatment for citizens.”

The leaders called for the reopening of the country’s international borders.

“We believe that the prolonged closure of the borders has caused economic difficulties and should be re-examined to alleviate problems of the people in the border communities and prices of some essential commodities. There is need to review the closure and permit resumption of economic and trading activities”

They also called for specific measures and proposal to repair the damage done to the physical infrastructure and economic assets of the Southwest and praised the Federal Government for responding quickly to the initial demands of the #EndSARS protesters.

The regional leaders called for a comprehensive programme to address youth employment and empowerment and the reopening of universities by concluding negotiations with the Academic Staff Union of Universities (ASUU).

Like the North, the region gave its backing to the plan to regulate social media.

Before the meeting went into a closed session, some of the monarchs called for a Southwest Development Commission that will undertake socio-economic intervention programme in the region.

Southsouth

The Southsouth geo-political zone got its turn for its demands within the Nigerian federation on November 24.

Among its top demands to Gambari-led federal delegation were restructuring, true federalism and revitalisation of the region’s ports, among others.

Apart from the Southsouth governors, the critical stakeholders were traditional rulers and opinion leaders in the region, which produces Nigeria’s oil.

Delta State Governor Ifeanyi Okowa, Chairman of the Southsouth Governors’ Forum, who spoke on behalf of the region, said the zone was demanding restructuring in line with the principles of true federalism to guarantee peace, security and stability of the country.

The stakeholders also called for the revitalisation of all the ports in the region such as the Calabar, Port Harcourt and Warri ports.

They also asked the Federal Government to immediately privatise all the refineries to make them functional and boost the economy of the region. There are three refineries in the zone – one in Warri and two in Port Harcourt. They are currently comatose.

The stakeholders further demanded the relocation of all the subsidiaries of the Nigeria National Petroleum Corporation (NNPC) to the region.

They observed that the country was not at peace with itself and not working efficiently for the people of the Southsouth region.

Okowa said Southsouth people were committed to restructuring the country to guarantee true federalism and devolution of powers to the states to create and manage their own police and security architecture under a federal structure.

He said the Southsouth geopolitical zone desired federating units constitutionally empowered to create their own structures like Local Government Areas, manage their elections and control their judiciary.

He said: “We are all aware of the huge endowment of this country. As such, it is imperative to stress that with a little bit of efforts, imagination, hard work, sacrifice and leadership, every state of the federation as of today, has the ability and capability to contribute to the national purse.

“This should be encouraged rather than the whole country depending substantially on a region of the country.

The governors called for the relocation of the headquarters of major oil companies, NNPC subsidiaries from Lagos and Abuja to the Southsouth region.

Okowa requested immediate implementation of the consent judgment entered in the Supreme Court Suit No: SC/964/2016 to enable the Southsouth region to get its share of $55bn shortfall of collection on deep offshore and inland basin production sharing contracts.

Those, who attended the meeting were Wike; Governor Ben Ayade (Cross River); Governor Udom Emmanuel (Akwa Ibom); Governor Douye Diri (Bayelsa State); and Godwin Obaseki (Edo State).

Others were Godswill Akpabio, Minister of Niger Delta; Timipre Sylva,  Minister of State for Petroleum; Goddy Jedy Agba ,Minister of State, Power;  Festus Keyamo, Minister of State, for Niger Delta; Osagie Ehanire,  Minister of Health and Minister of Information Lai Mohammad.

Minister of Transportation Rotimi Amaechi was absent.

Other eminent persons present were the National Chairman of the Pan Niger Delta Forum, Air Commodore Idongesit Nkanga, rtd; former President, Nigerian Bar Association, Onueze Okocha (SAN); President, Ijaw Youths Council (IYC), Worldwide, among others.

The Nigerian economy has once again fallen into recession. The authorities expected it and the World Bank and others predicted it. Assistant Editor NDUKA CHIEJINA looks at the options open to government, one of them is withdrawing from the Excess Crude Account (ECA).

 

IN 2016 the Nigerian economy went into recession. The government spent its way out of the experience and by 2017 against many odds the economy picked up.

While still recovering from the experience the coronavirus pandemic struck in early 2020 forcing many governments around the world to shut down entire countries for months. Nigeria was not an exception.

Lagos State, the commercial capital of Nigeria, went into lockdown weeks ahead of other states in the country. This lockdown led to many businesses going under for good.

For two consecutive quarters because of the corona virus-induced lockdown, the nation’s Gross Domestic Product (GDP) suffered negative growths culminating in another recession last Saturday.

A nation’s GDP is the value of the goods and services produced in the country and measured in dollars. In Nigeria’s current case, in the last two-quarters of May to November, many businesses closed shop pending when conditions improve by placing their staff on furlough, others sacked their workers outright.

The nationwide lockdown of March and April, led to inflation, supply chain disruptions, halt in the sale of crude oil and severe pressure on the foreign exchange. All made it clear that Nigeria would experience another round of recession by year’s end.

The fiscal and monetary authorities sounded the alarm ahead of time. The Federal Inland Revenue Service (FIRS) rolled out several “tax palliatives” to cushion the effects of the COVID-19 pandemic to keep businesses afloat.

The Central Bank of Nigeria (CBN) pumped trillions of Naira as stimulus packages for different sectors of the economy to mitigate the impending recession.

These efforts are now under threat from the twin disasters of inflation and currency devaluation. If the CBN fails to check these two on time the trillions it has pumped into the system would have been a waste. The apex bank may have to review interest rates downwards again from the current 11.5 per cent to encourage businesses to access cheaper credit to stay open.

Economists hold different views about the current recession. Mr. Odilim Enwegbara a Development Economist, Chairman Pan Africa Development Corporate Company believes the country is walkin

g a tight rope and risks plunging into depression.

According to him, “if care is not taken the country could during the second recession go into bankruptcy because of the kind of unproductive economic system we have been running, unfortunately, the frequency of these recessions will begin to become shorter and shorter over time”.

This he said is possible because “ours is a dictatorial economic system, where the centre dictators what happens in the economy. In this central government system where it’s all about access to the instrument of government, no one wants to take the kind of entrepreneurial risk taken elsewhere especially when easy money could be made from the centre”.

Insecurity he added “has further worsened the fragile economy, where herdsmen have literally and with impunity terrorised farmers and businesses across the country”.

Enwegbara noted that “what has delayed this recession and that has made it not a depression is the creative interventionist financial actions of the present leadership of the country’s apex bank, where for the first time in the history of central banking in Nigeria, startups, small businesses, blockbuster big businesses now get loans directly from the central bank itself, especially in agriculture and import substitution manufacturing”.

However, Professor Ken Ife of the Centre for the Study of Leadership and Complex Military Operations, Nigeria Defence Academy (NDA) described the current recession as stagflation with galloping inflation, high-interest rates and fiscal and monetary challenge.

He was more optimistic with regards to the country getting a recession on time. According to

him, “at a contraction of -3.62%, there is a likelihood we might jump out of recession in the 4th Qtr of 2020, but certainly, in the 1st Qtr of 2021, all things being equal”.

“Whilst the oil GDP growth rate went deeper into the red at -13.89% and with a reduced contribution to GDP, non-oil sector outperformed by returning a marginal decline in the non-oil GDP growth rate of -2.51%,” he said.

The non-oil sector performance he noted “was boosted by the positive growth of 18 sectors compared to 13 sectors in Qtr2”.

Professor Uche Uwaleke of the Nasarawa State University sees “a quick V-shaped recovery as the effect of COVID’19 recedes and the impact of the interventions by the government and CBN begin to manifest including the implementation of the Economic Sustainability Plan”.

He noted that “the ease in lockdowns and movement restrictions, the reduction in the cases of COVID’19 and the gradual return of investors confidence in the economy have boosted the Purchasing Managers Index (PMI) readings and stock market performances”.

The possibility of an early exit from recession he said “is although still in the negative territory, sectors like Manufacturing, Trade, Transportation and Education recorded improvements over the Q2 numbers” if sustained will help move the economy into positive territory.

The last Monetary Policy Committee (MPC) meeting for the year will likely hold this week. Observers will pay rapt attention to every word the CBN governor will say particularly the committee’s stance on the interest rate and measures to check inflation.

The CBN may also extend the moratorium for its intervention beneficiaries to pay back in addition to the five per cent interest rate on the loans. Other options before the CBN include buying or selling government bonds, a tighter rein on foreign exchange rates, and then adjust the cash reserve ratio that is the number of money banks should maintain as reserves.

The Development Bank of Nigeria (DBN) is quietly supporting Small and Medium Enterprises (SMEs). The CBN might urge DBN and other development finance institutions to support more MSMEs.

On the fiscal side, the Federal Ministry of finance will be confronted with another number of options. The government can relax the tax regimes to encourage economic activities

The government may also consider economic expansion through increased spending like it did the last time by either borrowing more or dipping into the Excess Crude Account (ECA) and the Sovereign Wealth Fund (SWF). The balance in the Excess Crude Account as at 18th November 2020 is $72.409 million while the SWF has over $200 million which the government can draw from.

This is not the first time government has been forced to withdraw from these accounts, but it may convince those against keeping these accounts of the need to take seriously, the wisdom of saving for the rainy day.

Nigeria has learnt a lesson from the first recession and had forewarning of this one. It is only a matter of time before the government will reveal its agenda to address the recession.

According to Odilim Enwegbara, “by pumping new money and lending directly to the real sector, Mr Godwin Emefiele has saved this government not only from devastating depression but the inevitable bankruptcy that ought to have been witnessed in the country since 2016”.

ON November 12, the people of Eka-Awoke, Ikwo Local Government Area of Ebonyi State rolled out the drums and danced out their hearts for the inauguration of the REA100KW Solar Hybrid project. It is the baby of the Rural Electrification Agency (REA) headed by Ahmad Salihijo Ahmad.

According to the Minister of State for Power, Goddy Jedy-Agba, the Managing Director Cloud Energy Photoelectric Limited, Theophilus Nweke had already promised to establish a rice milling plant in the area in the next year due to the availability of reliable power supply.  It was his firm that implemented the project in partnership with the agency.

Jedy-Agba said:  “It will attract industry. The MD Cloud Energy has promised to establish a rice milling plant here. While we were coming, the MD said this time next year, he will establish it.”

Ebonyi State Governor, David Umahi, who inaugurated the project, said the solar power plant would trigger industrialisation in the community. According to him, the impact of the project was already changing lives positively. His Deputy, Kelechi Igwe, who represented him, said: “This project has also provided jobs for those indigenous to this community and will create more jobs during its expansion. We look forward to witnessing and inaugurating more of these projects that will improve the quality of life for the people of Ebonyi and revolutionise the face of our economy.”

REA Managing Director Ahmad explained that the project was designed to provide jobs for the community. He urged the people to put it to productive use because the Federal Government was looking forward to assessing its positive impact on the economy of the rural community.

According to him, the project was designed with some economic impact assessment measures. The REA boss said the project would power the health care facilities in the community. He revealed that the project was implemented from the first set of the grant to the Rural Electrification Fund for off-grid electrification across the country. Salihijo said the essence of the project was to promote economic activities in rural communities.

The traditional ruler of the community, His Royal Highness (HRH), Ezeh Omereoha I of Eka -Awoke Unweueka Ikwo, expressed his joy over the project. He told The Nation that there was no electricity in the community until the REA project illuminated it. From the time of test-running the solar project, the monarch said there had since been a 24-hour power supply in his domain.

The next day, the stakeholders of the Joint Hospital in Ozubulu, Ekwusigo Local Government Area, Anambra State, welcomed the REA team to the hospital, where the agency’s harvest of completed projects continued.

There, Governor Willie Obiano said the 7.5KWP Solar Mini-Grid Project was for powering of the hospital. It was expected to improve its quality of service to patients.

The REA implemented the project in partnership with a private-sector contractor; Eauxwell Nigeria Limited, for a duration of eight weeks. But, according to the governor, the solar project would ensure clean, safe and reliable electricity in the hospital.

His Senior Special Adviser on Power, Energy and Water Resources, Victor Meju, represented the Commissioner for Public Utilities and Water Resources, Emeka Ezenwanne who represented the governor.

The governor urged the agency to extend the solar projects to other communities in order to address their health challenges.

The Executive Director, Rural Electrification Fund, Sanusi Ohiare revealed that plans were already underway to replicate the project in another community around the area. He noted that the plan was already accommodated in the 2021 Appropriation Bill.

The proprietor of the hospital, Rev. Fr. Chukwujekwu Akabugu, said owing to the provision of electricity from the solar project, the hospital had started operating a 24-hour service daily. He said the power supply had given the hospital an edge over its competitors in the area.

Salihijo, who was represented by Alozie Solomon, said as a mandate by the Federal Government, the agency would continue to implement sustainable and reliable energy infrastructure deployment, using off-grid technologies.

The Deputy Chairman, House Committee on Appropriation, Chris Emeka Azubogu said no economy could develop without electricity supply. He said the hospital had hitherto been powered from a generator, noting that he was grateful to the agency for providing the facility for the hospital to expand.

Similarly, the agency’s inauguration team arrived at Unguwar Dutse in Malumfashi Local Government Area of Katsina State on November 19, 2020. The Governor, Aminu Masari urged the residents of Unguwar Dutse to take advantage of the 300KVA transformer that REA installed and inaugurated for them to boost their economic activities.

His Senior Special Adviser on Power, Mansur Musa represented him and inaugurated the project and the grid extension electrification (33/0.415kv) transformer project in the community. He told the villagers that the project would be used to power schools, hospitals and businesses across the community.

He said: “I will, therefore, urge the people of Unguwar Dutse to take care of the project. This is what you have been praying for. It is now up to you to take advantage of this opportunity to better your lives in the community.”

Masari also explained to the residents that the inauguration of the grid extension project under the capital projects of the Rural Electrification Agency would provide reliable electricity for them which would, in turn, lead to more productivity for the people as well as the neighbouring communities.

He enjoined the people to protect the transformer from being vandalised and work with stakeholders in the industry to ensure the sustainability of the project.

Salihijo said the agency was tackling the nation’s power challenge of one community at a time. He expressed joy that the Anguwar Dutse community would utilise the access to electricity for socio-economic growth.

The Unguwar Dutsen Village Head, Gambo Wada said as a rural area, the community would now experience what electricity could provide in terms of prosperity, stressing that with the inauguration, business opportunities in farming, processing, storage and external trades would become a reality for the industrious people.

Continuing, the village head said: “I must appreciate the people of Unguwar Dutse and the government, for this project. It is my prayer that it will help increase our commerce and trade, especially as our local economy is dependent on trade.”

The team left Malumfashi for Bambami Village in Batagarawa Local Government Area, where Masari also inaugurated a 30kw mini-grid.

In Bambami Village in Batagarawa Local Government Area, Masari said the project was going to ensure clean, safe and reliable electricity for the community. Still represented by Musa, he said the “benefits of clean and constant nature of solar will increase the income of the people in this community through improved business activities as well as improved productive life of the people while ensuring a good education for school children.”

The project was executed through public and private partnership with IBK Services Limited.

Salihijo said the agency designed off-grid intervention to automatically enhance the socio-economic status of the village, boost productivity and provide jobs in the community. He tasked the people to leverage on the reliable nature of the solar hybrid mini-grid to improve their well-being.