The Nation Newspaper

Tag: capital

  • Ebonyi builds modern state capital  

    Ebonyi builds modern state capital  

    When Governor Martin Elechi assumed office as the second civilian governor of Ebonyi State, he said that he would prioritise every aspect of his administration because of the need to improve the well-being and status of his people in all sectors.

    His government, he said, will be anchored on three cardinal agenda namely civil service reform, attitudinal change and infrastructural development.

    To actualise these dreams, the government rolled out several strategies toward making the state a place and home for all, including awarding contracts for constructions of over 30 unity bridges, roads and two mega water projects at Oferekpe and Ukawu in Ikwo Local Government Area and Onicha Local Government Area respectively.

    On attitudinal change, the governor promised a reward for good quality and sanctions for bad behaviour, even following up with  public enlightenment.

    In his quest to make Abakaliki, the capital city, look like a modern city that will not only stand the test of time but also compete favourably with other state capitals in the country, Governor Elechi conceived the vision and idea of Ucho Udo City.

    Ochudo City is a modern city that will bring forth the beauty of Ebonyi State which goes by the tag of “the salt of the nation”. To actualise this the governor went to the Ministry of Defence to plead for a portion of their land to be ceded to the state government for him to try out the city of his vision.

    The Ministry of Defence granted his request and gave the state government land measuring about 1, 200 hectares. Since then, the government has been developing the land in which some gigantic buildings are being elected while some federal agencies like Central Bank, State Security Service and Independent National Electoral Commission (INEC) have started erecting structures, some of which have been completed.

    In a chat with our correspondent, the Commissioner for Land, Survey and Housing Friday Nwaoha said the Ochudo City was the brainchild of the governor, who was in the forefront for the creation of the state and seeing that the present structures in the capital city do not qualify Abakaliki a status of a capital city.

    The commissioner stated that the state government, after securing the land from the Army, went into action to develop the land and the design was completed where the proposed Ucho Udo City was divided into 23 zones namely residential area, low and high density, government reservation area (GRA), commercial area, secretariat area, banking area and others.

    According to Nwaoha, some zones are being developed which include the secretariat where government is constructing secretariat buildings for the civil servants.

    He noted that the governor, after appraising the old city where the ministries were scattered and noting that connecting one ministry to the other is taxing, he decided to create an enabling environment for the civil service. So, the governor went to zone 17 which is the secretariat zone and put up about 11 gigantic blocks in place to accommodate all the civil servants.

    In each of the blocks, the commissioner said, two ministries can comfortable be accommodated to grant optimal service delivery to the people of the state and even beyond, adding that nine blocks have two lifts while the rest have three lifts each.

    He said the buildings which have been completed and are waiting inauguration cost the state government over N16 billion, even as he said that apart from the secretariat blocks, the road network of the entire Ucho Udo City, the street lights, the drainage system and the recreational facilities have been completed.

    “As I speak, the Central Bank, State Security Service and the Independent National Electoral Commission (INEC) buildings have been completed while the giant power plant that the state is embarking upon are nearing completion.

    “Apart from these areas, at the residential zone action is on top gear for the allocation of land to those that applied for development, maintaining that Ucho Udo City is a reality and before the tenure of this administration elapses, the place must be a modern city that will give the state capital a face look,” he said.

    Before taking over the land, three communities namely Agbaja Unuhu, Enyimagu Unuhu and Igbeagu communites were occupying the ceded land in which they were asked to move from. This resulted in demonstration by the three communities.

    The commissioner said the communities knew they were occupying the land illegally, adding that the government, in its magnanimity, has carved out a community layout that will accommodate them.

    He added that the Ministry of Defence said the communities were well and dully compensated.

    On when the whole city will be ready, the commissioner said “we don’t have definite date for the completion. The total development of the city may be this year, next year or beyond. It will be a gradual process.

    It is now certain that Ucho Udo City has come to stay and will compete with any other cities in the world when completed. But what is in the mind of the people are when will these dreams materialise?

  • Businesses that require little start-up capital

    Businesses that require little start-up capital

    Nigerians are looking for businesses they can start with little capital. Daniel Essiet presents businesses they can start with N100,000 or more.

    There are businesses that with as little  as N100,000 one can  lift off the ground. A range of these enterprises are suitable for the unemployed who can  source up to N300,000 to begin. Here is a list of them

    Making and selling crafts

    Making and selling crafts is a  business one  can start with little capital. It includes fabric, yarn, and thread crafts. There is a big market for beautiful hand-made sewing, knitting and creative products for people who enjoy the simple pleasure of old fashioned craft.

    The kits are cheap and easy to put together. It involves cutting and hand-sewing tools. These include pins and needles, scissors, glue, stuffing, sequins, ribbon and patterns with step-by-step instructions. All that is required is imagination and creativivity. Products  can be  made and sold on a customised, made-to-order basis.

    To start small, one  needs a sewing machine and materials to make fabulous and exciting projects. There are fabrics and yarns in the market as well as hundreds of digital products and craft books packed with idea to help new entrants.

    An   important ancillary to promoting any arts and crafts business, is setting a reasonable price that the market can absorb. This process starts in the trenches – that is – with controlling one’s raw material costs.

    As in any other service business, one needs skills   to churn out quality products at a price that customers can afford, while still making enough money to cover business and personal expenses.

     

    Food business

    The food business is super-hot.   Growing need for event managers have created a booming interest in the food industry. One  needn’t  own a restaurant, or hot bar to get into the food business. The business can be  started right at home, or at the  kitchen table. The food industry is vast and includes every type of enterprise. It’s also an industry heavy with regulatory burdens. One  must learn inside out before one even takes the first step.

    However, it is an industry in which many entrepreneurs flourish. Unlike most other business opportunities, street food selling offers individuals a chance to start their own business with reasonably little investment. There are very few restrictions, low overheads and little, if any specialist knowledge, skills or experience.

    One advantage of street-food hawker, is that in most cases, one will be in the enviable position of being able to ‘move-on’ should a particular pitch prove to be unsuccessful.

    People will always  need to eat and drink, andtoday’s busy lifestyle often means that many are either unwilling, or unable to cater for themselves, turning rather to fast food or ready-prepared meals.

    On the whole, starting any business is no easy task, and becoming a food entrepreneur is a special challenge.

    One will have to prepare oneself for the hard work and dedication it takes to succeed in  food business.

     

    Rabbit rearing

    Rabbit farming is a lucrative agri-business.The domestic rabbit is a prolific breeder, and  produces large quantities of tasty meat. Rabbits provide meat and other products, and can be quickly sold for cash or turned into nutritious meals when needed.

    One needs a doe (female) and a buck (male) to start. Once the kindling begins, the colony increases rapidly. One doe is capable of yielding about  40 rabbits a year. If one starts the business, having borrowed the initial rabbits, within half a year, one can return live rabbits of the same age. Rabbits produce litters of six to 10 offspring after a gestation of only 30 days.

    The rate of production is faster than that of pigs, goat or sheep.

     

    Fish farming

    Fish farming has  become a good source of additional income for farmers when done in the right way.

    It requires a lot of technical knowledge, which farmers can only acquire through proper training and correct information from the right sources before they can start.

    All one needs is a space in the  backyard, or ready-made tanks. Required fingerlings sell for  between N10 to N20.

    Then  feed them for about  six  months, then sell from between N200 to N1,500 per kilogramme depending on weight and size. The type of fish to be produced depends on the market, climate and whether it is actually possible to grow it in fish farm settings.

     

    Snail farming

    Snail meat is a safe and nutritious delicacy. Anyone can start snail farming and make profit within six months. It is very cheap to rear. The profit in snail farming is encouraging because each snail can produce at least 100 eggs in a year.

    The best period to commence snail farming is the rainy season. One can start with about 50 – 60 snails to have a good knowledge of how snail breeding works.

    Snails are sold in bunches of 20 pieces each and price depends on the size- the bigger ones are sold for between N1, 800 and N3, 000 per bunch. It is better to buy the big ones because they can hatch after about 35 days on location. About N10, 000 should get a new entrant into the business.

     

    Ice block production

    The good thing about this business is that one  can start on a small scale  from the comfort of the  room.  To start, one needs a freezer, or preferably an ice-block making machine; a generator that can effectively power the  freezer or machine; a water source and nylon bags.

    This business thrives well in areas where there is incessant power outages, and also in over-populated places such as motor parks, market places, schools, commercial and business areas. The ice block business is a volume business; the more blocks one sells, the more money one make.

     

    Plantain chips

    Plantain chips production is a money spinner because it  is a well-loved snacks .

    It requires very little capital to set up.

    With a start-up capital of less than N20,000, one  can generate income of at least N10, 000 daily if one is able to produce 1000 packets of plantain chips.

    The equipment one needs include frying pan, plantain cutter or table knife, nylon sealing machine, gas burner or kerosene stove and a weighing scale.

    The raw materials include unripe plantain, vegetable oil, table salt, sugar, packaging nylons and printed labels

    After removing the skin, unripe fruit can be sliced (1 or 2 mm thick) and fried in oil to produce chips. If the chips are made from sweeter fruits, they are called ‘Banana chips.’ They can also be sliced vertically to create a variation known as plantain strips.The market prefers labeled chips.

    The more one produces,the more money one makes.

  • How to start online export without capital

    How to start online export without capital

    The world has become a global community, with the introduction of Information and Communication Technology. Now those without capital can make money as export agents, DANIEL ESSIET reports.

    Information technology has continued to make the global economy vibrant. It has opened windows of opportunities. With one click on the web, one can find and link up foreign buyers to reliable suppliers of export commodities.
    The Chief Executive, Anjorin &Anjorin Investment Limited, Sunday Anjorin, said the internet has created opportunities for brokers to find buyers and sellers of various products. He said there is a great opportunity online for export brokers with several companies itching to expand into foreign markets. The business is very profitable since there is no need for start-up capital. A broker’s role is to link exporters with buyers and draw huge commissions. He only needs to invest in a few basics, such as good training programme, a website, office supplies, a computer, phone and an internet connection. A nroker needs to know the export business well.
    Describing export brokerage as a very lucrative business, Anjorin said one doesn’t have to buy stock or warehouse any merchandise, nor does one need an office space. Many export business are done from the home to keep costs down.
    Anjorin said many Nigerians are into export brokerage, making millions from the comfort of their homes, just by connecting local exporters with foreign buyers of solid minerals and agricultural commodities.
    Once a deal has been struck, and shipment made, Anjorin said the broker is paid a certain amount of money as commission or finder’s fee.
    For instance, with Nigeria having a large deposit of cocoa, cashew, snails, ginger, bitter kola, Arabic gum, charcoal and others, many manufacturing companies abroad look towards the country to source for cheap industrial raw materials for their finished goods.
    Through membership of online business groups, Anjorin noted, one gets potential clients.
    He said export brokerage is one of the easiest and the most rewarding means to raise money for full-time export business.
    According to him, the business is highly competitive and those desiring to enter the business must be adept at with sales and negotiations.
    “As a broker, one would simply be playing the middleman by connecting the manufacturer with consumers and to establish commission fee with the manufacturers,” Anjorin said, stressing the need for brokers to have a signed agreement in place that defines the relationship, commission agreement and payment terms.

  • Banks to raise new capital to boost capacity

    Banks to raise new capital to boost capacity

    Many banks may consider raising new capital to complement their balance sheet to place them in better position to increase lending and further their expansion.

    Investment banking sources said although the average capital adequacy ratio in the Nigerian banking industry remains considerably high and most banks are above regulatory benchmark, banks have indicated they might seek new capital.

    The banks were said to be considering raising new capital mostly through debt and quasi-equity instruments.

    Sources said banks were being proactive to ensure adequate long-term capital plan for their expansion plans.

    Recent analysts report indicated that Nigerian banks were adequately capitalised with several banks.

    According to analysts, most of the banks are adequately capitalised to absorb losses without requiring emergency capital injections in case of any further write-offs.

    Analysts however noted that the rebasing of the Nigerian economy has created lending space that banks will require more capital to fill.

    Group Managing Director, Skye Bank Plc, Mr. Kehinde Durosinmi-Etti, has already confirmed plans by the bank to raise new capital to deepen its market penetration.

    “We are confident about the successful implementation of our Tier 1 and Tier 2 Capital Raising Project within the year as planned, which would enable us deepen our penetration in existing markets, while also providing the avenue for exploring uncharted segments and other opportunities,” Durosinmi-Etti said.

    Nigerian banks, under the auspices of the Bankers Committee, had jointly decided to increase lending to the power sector.

    The strategic funding plan focused on aligning the Nigerian banking system to provide adequate financing to meet the peculiarities of the power sector.

    The development of the industry-wide funding strategy was part of the outcomes of the discussions at a retreat by banks’ chief executives, Governor and top officials of the Central Bank of Nigeria and several experts.

    The funding strategy would enable banks to provide well-structured finances to support investments in gas transmission pipelines, upstream gas developments, Liquified Natural Gas (LNG) and Liquified Petroleum Gas (LPG) plants, gas processing facilities, key infrastructure, port, real estate, pipe milling and fabrication yards and gas supply and gas transportation infrastructure among other.

    Besides, banks are required to reinforce their energy desk to build capacity for power project financing while the Bankers’ Committee would continuously provide supports for advocacy and programmes that centre on the power sector transformation.

  • Wema Bank gets April deadline to restructure capital

    Wema Bank gets April deadline to restructure capital

    The Nigerian Stock Exchange (NSE) has given Wema Bank April 2014 deadline to restructure its capital to comply with the minimum requirement of 20 per cent free float of shares of companies listed on the main board of the NSE.

    Companies listed on the Exchange are required to maintain a minimum free float for the set standards under which they are listed to ensure that there is an orderly and liquid market in their securities. The free float requirement for firms on the main board is 20 per cent while companies on the second board, otherwise known as Alternative Securities Market (ASEM) are required to have 15 per cent free float.

    A report on free float deficiencies on the NSE obtained by The Nation indicated that Wema Bank is slightly under the 20 per cent free float with a free float of 19.64 per cent.

    According to the NSE, Wema Bank is expected to comply adjust its shareholding structure to free 20 per cent of its equities for unrelated shareholders by April 27.

    Free float, otherwise known as public float, refers to the number of shares of a quoted company held by ordinary shareholders other than those directly or indirectly held by its parent, subsidiary or associate companies or any subsidiaries or associates of its parent company; its directors who are holding office as directors of the entity and their close family members and any single individual or institutional shareholder holding a statutorily significant stake, which is five per cent and above in Nigeria.

    Thus, free float’s shares do not include shares held directly or indirectly by any officer, director, controlling shareholder or other concentrated, affiliated or family holdings.

    Stock markets maintain minimum public float to prevent undue concentration of securities in the hands of the core investors and related interests, a situation that can make the stock to be susceptible to price manipulation. Besides, it provides the public with opportunity to reasonably partake in the wealth creation by private enterprises.

    The NSE acceded to the bank’s request for extension, however, Wema Bank is required to provide quarterly disclosure reports to the exchange on the efforts being made to fully comply by the deadline.

    By the expiration of the deadline, Wema Bank is mandatorily required to have completed partial divestments or dilution of the ‘non-public’ shareholdings to free 20 per cent equity stake for public holding, unless the management of the NSE grants fresh waivers and extensions for the companies. In the extreme instance, a company with deficient public float may opt to delist its shares.

    Wema Bank said it is optimistic it will meet the deadline.

    Chief Financial Officer, Wema Bank, Mr. Tunde Mabawonku, said that the bank was expecting some of its existing investors to sell some of their holdings to free up additional float.

    “We expect some of our existing investors to free up some of their holdings as the market valuation improves; we believe we would achieve the minimum requirement for free-floating shares within an agreed timeline with the NSE,” Mabawonku stated in emailed response to The Nation.

    Other two companies with free float deficiencies included Dangote Cement and Union Bank of Nigeria Plc. The Nation had earlier reported that Alhaji Aliko Dangote, the core investor in Dangote Cement Plc and Union Global Partners Limited, the core investor in Union Bank of Nigeria Plc had been given deadlines to sell down their domineering equity stakes in the companies or issue new shares to the investing public to dilute their shareholdings.

    Dangote Cement(Dancem) has up till October, this year while Union Bank of Nigeria has up till June 2017 to comply with the free float. The updated free float record of the NSE indicated that Dancem has a free float of 4.93 per cent, 15.07 percentage points below the minimum required 20 per cent. Union Bank has a free float of 14.94 per cent, 5.06 per cent below the minimum standard.

  • Beggars back in nation’s capital

    Beggars back in nation’s capital

    The effort of the FCT Administration to make Abuja a world-class city has remained futile with the presence of beggars in the city. It is not a new thing to see beggars on major streets in Abuja. What is new, or what runs through the minds of many, is why some of the people beg.

    The battle to get them off major centres of Abuja metropolis is getting tough by the day. In 2011, the Minister of the Federal Capital Territory, Senator Bala Mohammed, read the riot act to all heads of agencies and departments following the poor environmental condition of the city. He gave them one directive: to get beggars off the streets of the capital.

    Consequent to that charge, over 170 beggars were repatriated to states such as Kaduna, Kano, Bauchi, Jigawa, Nasarawa, Kogi, Kwara, and Gombe. Others were taken to Enugu, Akwa Ibom, Cross River, Plateau and Abia states. The exercise was seen as an effort to clean up the capital by the Mohammed administration.

    But two years after the instruction to rid Abuja of beggars, the activities of beggars are becoming visible again in the capital city.

    Beggars, who were dislodged by the Abuja Environmental Protection Board (AEPB) around Wuse, Berger, and Area One, are suddenly returning to the streets in the city centres.

    In satellite towns like Karu, Nyanya, Mararaba, Gwagwalada and Kubwa, beggars have found solace in the pedestrian bridges at night where they beg for arms from residents.

    The beggars are of the excuse that Abuja is not meant for the high class alone, hence the need for them to stay. Besides the suburbs of the city, you can also find them in strategic locations like the entrance of banks, mosques, churches, major bus stops; motor parks and major road junctions where they feel those with good hearts will see them and give them alms.

     

    Beyond gender

    Gender is not a barrier in the business of begging as both male and female are into it. Some live with one form of deformity or the other while some decided to embrace begging as a profession and a way to make ends meet.

    One would expect that only those who have reasons to beg should beg but a second thought on the idea of begging would remind one of the axiom: “there is ability in disability”. This indicates that disability should not be an excuse for one to engage in begging.

    There are different kinds of beggars. We have the habitual beggars, who are always dressed in shabby clothes. They carry umbrellas, plates and bags to keep what they are given by the kind-hearted ones. To attract more pity especially from women, some carry babies who always look mal-nourished with unkempt hair and outfit. Some even hold plastic plates in case a philanthropist gives them any kind of meal.

    There is yet another category of beggars who actually live with one form of disability or the other. The blind, among these categories, are seen with their sticks and sometimes accompanied by a relative who helps in directing them.

    To get the attention of good-hearted people, they sing songs, blessing before and after they receive some gifts.

    The deaf and dumb among the beggars go about with identification cards, envelopes and sometimes a carton around their necks with the inscription; “I am deaf and dumb, please assist me”.

    Also, some people under the guise of running a non-governmental organisation that caters for the disabled go from one organisation to the other seeking fund to assist people living with disabilities.

    At the major junctions at Kubwa, our correspondents encountered some dwarfs moving in company of their likes seeking alms. “Why should dwarfs also beg, what is their excuse for begging?” were the questions in their minds.

    When one of them who simply identified himself as Zakari Tanimu was asked why he was begging, he said: “I did not go to school when I was young and I am too old to go now. I have tried to work in different places but I have been turned down severally. I concluded that if those who have normal heights are still there looking for jobs, when will I get a job?

    “My height is a disadvantage to me. If they are even considering anybody for a job; I know I will be the last. So, instead of just waiting endlessly, I have decided to beg.”

    Kudirat Salisu, mother of three who sits at one corner of the newly constructed pedestrian bridge at NICON Junction said: “If I don’t beg, how will I take care of my children and myself. I used to help people do their domestic chores, like washing clothes and keeping their houses clean but they started complaining that I should not be coming with my children. Where will I keep them while I go to work?

    “That was why I stopped and I don’t have enough money to start up any business. So, that is why I am begging.”

    Isah Djibril is another beggar who said he discovered that one of the means through which one could sustain oneself in the capital city is through begging for alms.

    The 42-year-old Adamawa State-born and father of four kids begs for alms at night at the popular Gwarimpa-Kubwa Express Bridge. He rubs the floor of the bridge with his buttocks as he strives to make ends meet.

    Isah Djibril, who spoke in Hausa through an interpreter, said he had been in the begging business for a long time. He explained that through begging, he has been able to provide for his family.

    According to Hauwa Amina, another beggar along the Wuse Bridge, the economic situation made her go into street begging. Asked if she is not scared of arrest by officials of AEPB, Hauwa, who spoke in Pidgin English, explained that government officials are the ones disturbing them by coming here to drive them away.

     

    A new trend

    The tales of Hauwa Amina or Kudirat Salisu are not different from hundreds of others, including a few literate ‘corporate’ beggars who throng the bus stops and other areas in the FCT at closing hours to seek financial assistance. The differences lie in their appearances.

    This paradigm in begging in the nation’s capital has become treacherous.

    This set of beggars often called corporate beggars is smart and unassuming to passersby. Their mode of dressing reflects confidence from distance; attractive and neat. But on a close contact, they represent treachery and deceit.

    This set of beggars or individuals give the impression of being stranded to get money from people. Abuja residents are now used to these tricks played by this set of beggars. Like a lie told many times, it becomes ineffective.

    Is there any help for them? With the rise of beggars in the nation’s capital, is there a way the government can get them off the streets?

    The Mandate Secretary of the FCT Social Development Secretariat, Mrs. Blessing Onuh in a recent publication said the FCT Administration recently rehabilitated some of these beggars in the capital city.

    “The secretariat recently concluded the training of about 90 women beggars at the Karinmaji Settlement,” she said.

    She further said: “The women were registered in co-operative groups and given monetary assistance by the secretariat.”

    Also, in a recent interview, the Principal, Bwari Rehabilitation Centre, Comrade Bala Tsoho expressed dismay at the unwillingness of most of the beggars to embrace the FCTA’s initiative to rehabilitate them at the centre.

    According to him, those who are into begging have lost their sense of dignity and pride.

  • When capital offence charge cannot stop bail

    When capital offence charge cannot stop bail

    When can bail be granted in criminal offences? This question is at the centre of the discourse on criminal justice administration. In a recent decision by an Oyo State High Court judge, Justice O. O. Olatunji, she gave an insight into when a defendant can enjoy bail, writes a lawyer Michael  Okeke

    JUSTICE O. O. Olatunji of the Oyo State High Court has held that though bail is hardly granted in allegations of capital offence, exceptional circumstances, including lack of proof of evidence in support of information or complaint filed in a court of competent jurisdiction would entitle an accused to bail.

    According to Justice Olatunji, “under Section 35 of the Constitution of the Federal Republic of a, 1999, every accused person is presumed innocent until proven guilty and he can only be proved guilty when tried and convicted by a court of competent jurisdiction”.

    The above holding was contained in the ruling on December 18, last year on a summons for bail application brought by Femi Aborisade, Esq praying the court to grant bail to Samuel Abiodun Odunewu, who had been charged at the Magistrate’s Court, Iseyin, on an allegation of armed robbery.

    Justice Olatunji stated that he was bound by decisions of higher courts in plethora of cases as reiterated in the case of Nweke v. COP (1996) 3 NWLR (Part 436) 320, where it was held on page 32 that where the prosecution merely parades a capital offence to the court, “without tying it with the offence, a court of law is bound to grant bail. And the only way to intimidate the court not to grant bail is to prefer an information and proofs of evidence to show there is prima facie evidence of the commission of the offence”.

    Justice Olatunji noted: “In the instant application, the only evidence before the court are the two affidavits in support of this application as the Respondent did not file a Counter affidavit … I am not unmindful of the fact that the allegation against the applicant is armed robbery which carries the supreme punishment of death; the court must in determining the application for bail consider the evidence for and against the applicant which can be gathered from the information and proof of evidence in support of the information where one has been filed before a decision is made to release or not to release on bail. In the present application, there is no information or complaint preferred against the applicant, neither is there any proof of evidence on which this court could weigh its decision.”

    As the Enrolment of Order puts it, “after hearing Femi Aborisade, Esq. Counsel for the Accused/Applicant and in the presence of Babalola, Principal State Counsel for the Respondents who opposed the application, the court then ordered and ruled as follows: in the circumstances and for all the above reasons, it is my decision to grant this application. Bail is hereby granted to the applicant, Samuel Abiodun Odunewu N1million with two substantial sureties of N500,000…”

    It is perhaps pertinent to stress that where the rationale informing the above judicial order is consistently followed in the administration of criminal justice system, it is capable of bringing about prison decongestion which is caused mainly by the high number of inmates in the awaiting trial cells in the various prisons in Nigeria.

    •Okeke is of ABOPE Chambers

     

  • Ekiti applauds Morgan Capital on N5b bond

    Ekiti applauds Morgan Capital on N5b bond

    The Ekiti State government has commended Morgan Capital Group, an investment banking and securities dealing firm, for the roles it played in ensuring the success of the N5 billion second tranche of the state’s N25 billion bond issuance programme.

    Commissioner for Finance, Ekiti State, Mr. Dapo Kolawole, while acknowledging the immense roles of professional parties and regulators in the N5 billion bond issue, which was fully subscribed, noted that Morgan Capital deserved particular mention because of its commitment to the success of the bond.

    Ekiti State had raised N20 billion in the first tranche in 2012. The second tranche of N5 billion was concluded on December 31, last year.

    Speaking at the completion board meeting in Lagos, Kolawole said Morgan Capital, which is a joint issuing house and book builder to the Offer, and other parties made the offer a success within a very short period.

    Specifically, he commended Morgan Capital for its unique roles in ensuring timely completion of the offer and the level of subscription achieved.

    The net proceeds of the N5 billion bond issue, estimated at N4.80 billion, will be used to complete five major projects which are currently being financed by contractors under a contractor finance agreement. These projects include construction of the multi-purpose 10,000-capacity Ekiti-Kete pavilion, rehabilitation of Ire Burnt Bricks Limited, construction of River Ero bridge, construction of Ilawe-Igbaraodo-Iboji Road and Ikole-Ijesa Isu-Iluomoba Road.

    According to the estimates for the uses of the net proceeds, N1.58 billion would be spent on the multi-purpose pavilion, about N966.9 billion would be spent on the Ire Burnt Bricks Limited while N220.36 million, N894.7 million and N1.14 billion would be spent on the bridge and the two roads.

    Ekiti State Governor, Dr. Kayode Fayemi, said the approval and success of the second tranche of the bond programme reflected the market’s confidence in the state as evidenced in the judicious use of the proceeds of the previous issuance.

    According to him, the state had committed the proceeds of its first tranche to several laudable projects that continue to bear testimonies to efficient use of funds, including the Ikogosi Warm Spring, school of agriculture and roads across the state.

    He pointed out that all the new projects identified under the new bond issue would have immense positive impact on the development of the state adding that all the projects would have been completed within the next one year.

  • Expert harps on human capital development

    EXperts in the petroleum and maritime sector have said investment in human capital is key to the growth of indigenous operators in both sectors.

    They said operators in both sectors were at disadvantage compared with their foreign counterparts.

    Speaking at a joint training workshop organised by the Nigerian Chamber of Shipping and Richardson Oil & Gas Limited, in Lagos, the Director-General, Nigerian Chamber of Shipping, Mrs. Ify Anazonwu-Akerele, said the workshop would improve the operators knowledge of oil and gas and maritime sectors.

    According to her, the recently passed Local Content Law has the potential of ensuring effective indigenous participation by guaranteeing cargo contracts that will stimulate tonnage building, financing and key developmental actions to the Nigerian maritime industry.

    The Managing Director, Richardson Oil & Gas, Mr Akin Osuntoki, noted that both organisations are partnering with the aim of bridging the knowledge gap within the Maritime/Upsream Oil and Gas Sector through the provision of professional human capital development programmes.

    Speaking on the workshop the, Understanding Cabotage and Local Content in the Nigerian Oil and Gas Industry (Upstream), he said it is a training programme that comes up every quarter.

    “It is designed to expose a more practical, thorough and in-depth technical and commercial understanding and approach to vessel operations from the Cabotage and Local Content perspective, which will eventually lead to a good understanding of international best practices as well as improve local participation in the upstream sector,” he said.

    The workshop, which was graced by experts, including the Acting Group General Manager, National Petroleum Investment Management Services (NAPIMS), Mr Fidel Pepple, Planning Manager, NAPIMS, Mrs Oritsemeyiwa Eyesan and Mrs Jean Chiazor Anishere, gave participants an in-depth understanding of the maritime/oil and gas upstream business in Nigeria.

    “Either as an indigenous operator, who wants to finance the acquisition of offshore vessels, have an understanding of vessel/offshore equipment inspections and surveys, understand the litigation and alternative dispute resolution processes in this sector, have a grasp of the fundamental technical and commercial knowledge of the maritime/upstream oil and gas business, appreciate environmental issues in upstream operations, comprehend ship management and deal confidently with the International Oil Companies, participants always find the course very comprehensive and valuable,” Osuntoki added.

  • Unity Bank’s capital raising plan advances

    Unity Bank’s capital raising plan advances

    Unity Bank Plc has said its plan to raise additional capital for its next stage of expansion has reached advanced stage.

    The bank’s Acting Executive Director, South, Mahmud Elems who disclosed this at the weekend during a briefing in Lagos, said investors have already signified interest in acquiring equity stakes in the bank adding that discussions were nearing conclusion.

    He also said existing shareholders have also made commitments to increasing their stake in the bank.

    According to Elems, the bank is perfecting its strategic plans, which would be unveiled to the public in the next few weeks adding that the lender has made a shift in focus, placing greater emphasis on the retail segment which would enable it serve more customers and add value to the economy.

    The bank, he added, would also be using the agency banking model to take banking services to the rural areas across the country.

    Head of Corporate Communications, Mrs. Theodora Amaechi said the bank is aiming to impact more on the economy with services that would reach the unbanked. She explained that the new focus was informed by CBN’s financial inclusion drive which seeks to reduce the percentage of the unbanked population.

    “We are strategising to ensure that Unity Bank becomes the retail bank of choice in Nigeria. To this end, the bank has developed new products that will suit its customers’ needs at a retail level and modified existing products to increase their competitiveness,” he said.

    The bank also plans to use the agency banking model and its branches in rural areas to create cheaper and easier access to financial services as part of the CBN Financial Inclusion Drive. The bank has already concluded plans for application of the model and has selected the agents who will take the service closer to the people.

    Amaechi said:“Unity Bank Plc stands a better chance of increasing its market share as a large number of the unbanked populace reside in the northern region of the country where the bank has a comparative advantage especially in terms of branch network.”