The Nation Newspaper

Tag: German

  • German economy narrowly avoids recession

    Germany’s economy just  avoided falling into recession during the final three months of last year.

    Europe’s largest economy registered zero growth during the fourth quarter of 2018, the country’s Federal Statistics Office said.

    That means it avoided two consecutive quarters of contraction, which is the usual definition of a recession.

    A weak trade performance dragged on the economy, and consumer spending remained subdued.

    The zero growth recorded in the October-to-December period followed a 0.2 per cent contraction in the previous quarter.

    Reasons for slower growth last year include a slowdown in the global economy and a weaker car sector, with German consumers less willing to buy new cars amid confusion over new emission standards.

    In addition, low water levels, particularly in the Rhine, affected growth by holding back movement of some goods.

    Jack Allen, senior Europe economist at Capital Economics, told the BBC: “If you look at Germany across 2018 we’ve seen a pretty broad-based slowdown in growth. We’ve seen household consumption slow, we’ve seen business investment slow and we’ve seen export growth slow.

    He added: “What’s particularly worrying is that the early signs for 2019 suggest that a strong rebound is unlikely.”

    US tariffs on EU car exports, which US President Donald Trump has threatened, could have a major impact on Germany, Mr Allen said, but even if these are avoided the slowdown in the global economy means Germany is still only expected to grow by about 1% this year, compared with about 1.5% in 2018.

    However, Claus Vistesen, chief eurozone economist at Pantheon Macroeconomics, said he was “optimistic” that the first quarter of this year would be better.

    “The January [economic] surveys were poor… but net exports won’t be in free fall forever, and consumers’ spending also ought to pick up.”

  • UNICAL, German firm partner on power

    Vice Chancellor (VC), University of Calabar (UNICAL), Prof Zana Akpagu, has assured the university community of constant electricity power supply following the inauguration of a solar energy project in the institution.

    Speaking at the groundbreaking ceremony, the VC said the project, being carried out in partnership with the Republic of Germany, was the most historic in his administration.

    Akpagu, who identified power as a major impediment to the institution’s growth, said when completed, the project would save the university about N600million yearly, being spent on diesel.

    He assured that his administration will ensure that the project comes to fruition, as power forms the nucleus of its activities, especially in research.

    To this end, he said the university incorporated the UniCal Solar Energy Company as the Special Purpose Vehicle for the project.

    Akpagu, who praised the initiative of the Yar’Adua government that established the Nigerian-German Energy Partnership, described the ceremony as a major milestone in the bilateral agreement between Nigeria and Germany.

    He said the University of Calabar Teaching Hospital and the Cross River University of Technology (CRUTECH) are the initial uptakers of the project.

    The Consul-General of Germany, Herr Inglo Herbert, congratulated the VC on his vision, saying that solar energy would provide an alternative source of power for research.

    “This project is the future of this great institution because everything in the university requires power. It is fundamental to education. Our commitment is to make it happen,” he said.

    Speaking on behalf of the Technical Partners, Cantata Solar Limited, Mr Jeremy Gains, also the coordinator of the project, said UNICAL, though the last university to come on board the solar energy project, moved well ahead of the first nine universities because of the commitment, drive and passion of the VC and his team.

    He explained that though Calabar has high volume of rainfall throughout the year, the city is also blessed with high solar radiation, which makes it suitable for solar energy projects.

    Former Minister of Power, Dr. Lanre Babalola, lauded the VC for the initiative, describing the project as a dream come true.

    CRUTECH Chief Medical Director, Prof. Thomas Agan, expressed delight at the prospect of having constant power supply at the hospital.

    Agan lamented that epileptic power supply had been a major challenge in the teaching hospital, and promised to cooperate with the varsity  in discharging the hospital’s financial obligations as soon as the project came on stream.

  • 2018 FIFA World Cup ticket sales resumes on Thursday

    2018 FIFA World Cup ticket sales resumes on Thursday

    Ticket sales for the world’s biggest football event, the 2018 FIFA World Cup, will resume on Thursday on a first-come first-served basis.

    A total of 622,117 tickets were successfully allocated to subscribers, even though this was subject to payment being made later.

    This was also at the conclusion of the first window of sales phase from Oct. 1 to Oct. 12.

    According to a report by the FIFA Media Office on Tuesday, some 3,496,204 tickets had initially been requested with many ticket products and matches being heavily oversubscribed.

    This requires the allocation of tickets through a random selection draw process carried out in the presence of a public notary.

    During this process FIFA also identified a number of ticket applications which were not eligible to enter into the random selection draw.

    For example, ticket applications for team-specific ticket series — for teams that are no longer able to qualify — as well as ticket applications that violated the household restrictions.

    This is in the category of applying for a maximum of four tickets for up to seven matches.

    From the total number of applications, majority have come from Russia, and based on results of the Random Selection Draw process 57 percent of tickets were allocated to Russian fans.

    Tickets allocated to international fans account for 43 percent of the total number of allocated tickets.

    The US, Chinese, German, Brazilian, Israeli, English, Finnish, Mexican and French fans all rank in the top ten in this category.

    During the upcoming sales period, which starts on Thursday and end on Nov. 28, fans will be able to purchase tickets in real time on FIFA.com/tickets.

    They will get immediate confirmation of successful applications, subject to availability.

    Football fans were advised to place their order as soon as the sales period opens.

    This is because high demand is expected and the remaining inventory following the random selection draw sales period was likely to sell out very quickly.

    Tickets purchased during sales phases 1 and 2 will be delivered free of charge to fans in the weeks leading up to the tournament.

    Deliveries have been planned to start in April or May of 2018, even though this is subject to change.

    Tickets may be purchased using payment cards of Visa, the Official Payment Services Partner of FIFA.

    Purchases can also be made by other accepted payment methods.

    FIFA’s Head of Ticketing, Falk Eller, said the world football body was already overwhelmed by the positive response from both Russian and international fans so far.

    “’With only a few teams still to qualify, we are again expecting high demand once sales resume on Thursday.

    “Considering such remarkable interest in the 2018 FIFA World Cup in Russia from fans all over the world, we will like to once again stress that the only official, legitimate and user-friendly source to purchase tickets is the FIFA.com/tickets website.

    “Fans who purchase tickets from other sources put themselves at significant risk of missing out on the World Cup, and of course we will not want that to happen.

    “Category 4 tickets, which are exclusively reserved for Russian residents, will not be available for purchase during the upcoming first-come, first-served sales period.

    “This is due to the full allocation of the currently available category four tickets during the previous sales period.

    “FIFA will also make a dedicated allocation of tickets available for disabled people, people with limited mobility and fans classified as obese,” Eller said.

    NAN

  • Funding Nigerian, German businesses with $2b trade lines

    Funding Nigerian, German businesses with $2b trade lines

    Access Bank Plc is ready to boost trade relations between Nigeria and Germany. To achieve this, the Tier-1 lender is collaborating with DEG – Deutsche Investitions – und Entwicklungsgesellschaft and the Delegation of German Industry and Commerce in Nigeria (AHK Nigeria) to make over $2 billion trade lines available to small enterprises that will drive trade volumes between both countries. The German Business Desk Nigeria –Financial Support and Solutions, opened in Lagos in October which will operate in partnership with Access Bank will at the centre of the ongoing business integration and partnership. COLLINS NWEZE who covered the event, reports.

    journey by air from Nigeria to Germany will last for over seven hours non-stop. The two countries are determined to bridge this long-distance by building formidable trade relations to stimulate both economies and create wealth for their people.

    At the centre of this partnership is Access Bank Plc, which has collaborated with DEG – Deutsche Investitions – und Entwicklungsgesellschaft and the Delegation of German Industry and Commerce in Nigeria (AHK Nigeria) to deepen trade relations between Nigeria and Germany.

    The initiative is borne out of the partnership between Access Bank and DEG to support German business and Small and Medium Enterprises (SMEs) in Nigeria. It is supported by Executive Management in DEG and Access Bank Plc.

    The German Business Desk Nigeria –Financial Support and Solutions was opened last month in Lagos to drive the new trade relations. The desk was created to facilitate financial advisory and support services make $2 billion correspondent trade line support available to German and Nigerian SMEs.

    Speaking at the event, Access Bank Group Managing Director/CEO, Herbert Wigwe, said that Nigeria remains a big market with enterprising people. He said the bank is at peace with credible partnership and determined to alter the narrative about German-Nigeria trade.

    He said that Access Bank will be providing tailor-made financial solutions for German exporters and Nigerian importers. The lender is expected to translate and balance commercial and financial supply and demand. It will also provide specialised financial packages to facilitate trade.

    Wigwe said that trade financing is just one part of the project, adding that the bank will in partnership with the stakeholders support Nigerian businesses. “The relationship between countries starts with relationship between individuals. It will translate to greater relationship between Nigeria and Germany. Nigeria will benefit especially since we are just coming out of recession. Growth and economic opportunities do not happen by chance, but by strategic partnership,” he said. He said the partnership will help support German firms that want to do business in Nigeria.

    Wigwe said: “At Access Bank, we are constantly searching for innovative ways to provide solutions to meet our customers’ needs. This collaboration with a first rate partner like DEG – Deutsche Investitions – und Entwicklungsgesellschaft leveraging on their global investment footprint and our local industry expertise in setting up a German Desk is the first of such initiatives in the country.

    “This desk which will be bi-lingual will provide customised long term and cost effective financial solutions to our clients available to conduct business with German corporates.”

    Also speaking, the bank’s Group Deputy Managing Director, Roosevelt Ogbonna, said Access Bank Plc, with N480 billion shareholders’ fund is the third largest bank in Nigeria. He said the bank currently has eight million customers and 385 branches, which has remained a critical milestone in getting the lender great rating by Fitch Ratings, Moody’s Investors, S&P and Agusto & Co. He said Access Bank of Nigeria is determined to be number one bank in Nigeria in the next five years.

    Ogbonna disclosed that out of more than $10 billion in German investments on the African continent each year, 90 per cent is with just three countries – South Africa, Nigeria and Algeria.

    “Nigeria is Germany’s second most important trading partner in sub-Saharan Africa (after South Africa). The volume of bilateral trade between Germany was about 5.4 billion Euros in 2014 and 2.9 billion Euros in 2015. This has provided increased benefits to the Nigerian economy in terms of job creation, revenue generation, growth in Gross Domestic Product, technical and management capacity development and cutting-edge technology,” he said.

    He noted the “German Desk – Financial Support and Solutions” will benefit from the support of the German Consulate in Lagos.

    Ogbonna said that the partnership will also help to boost Nigeria’s perception by German companies. “We want to improve image and fast tract trade relations between Nigeria and Germany. There will be market entry-support for German companies,” he stated.

     

    The German Business Desk Nigeria

    Senior Banking Advisor, German Desk, Daniela Grunert said the German Desk will provide financial services, such as setting up accounts, providing short to medium-term credit lines, services for financing trade and transaction banking.

    This also includes financing solutions for local companies wishing to acquire German equipment or services, because German companies often start establishing business ties with local companies via their export business before they invest in emerging markets such as Nigeria. To do so, they need to obtain suitable financing solutions for their local clients.

    Grunert is not only fluent in German and English but is experienced in working with banks and German companies. She is a networker: contact to Nigerian and German business community and fully knows both cultures.

    She said the desk will help facilitate engagement with Nigerian businesses, German owned enterprises on trade opportunities and also create customised solution unique to each business needs.

    “Jointly with our customer Access Bank DEG wishes to support German companies and their trading partners. Within the scope of the “German Desk – Financial Support and Solutions” we offer innovative financing solutions tailored to the needs of German companies and their local partners. They can get information about financial services from a single source and make direct use of the partners’ network on location,” said Bruno Wenn, chairman of DEG’s Management Board.

    According to the representative of AHK Nigeria, Marc Lucassen, the German Desk would help to fill the gap that has been in existence in the Nigerian-German business relations.

    “We are very much in favour of this landmark partnership which provides the required solutions to recent demand for additional financial support mechanism for the Nigerian-German business relations. Our role is to connect the Nigerian-German business partners to the German desk in Access Bank in terms of financial solutions.”

    The German “AHK” and delegation network is the international backbone of Germany‘s economy. DEG has close partnerships with more than 200 financial institutions worldwide: are specialists in their local markets with a strong focus on the SME sector. Access Bank has a close relationship with  local businesses and can provide customised financial solutions.

    Key Focus will be expanding the opportunity for Trade Volume growth and collaboration between German and Nigerian SMEs. German Desk shall facilitate financing of German Companies via long-term cost effective finance for German affiliated business. German Desk shall provide an agency relationship between DEG and German clients.

    The firm offers financial solutions such as structured trade; project and structured finance among others. Global Footprint and extensive presence across all trade centres in Nigeria Sub-Saharan Africa, China, India, UAE and United Kingdom that enable us provide solutions to our clients.

    In-depth Experience, robust balance sheet and full spectrum of financial products in consummating deals promptly. We are the industry’s leading Treasury house, trading the largest volumes across all Treasury product offerings.

    Director German Corporates, The German Desk Initiative, Klaus Helsper, said customers are offered appropriate long-term financing. “We provide individual advice in order to shape investments and businesses more professionally, efficiently and sustainably. With our promotional programmes we co-finance feasibility studies, pilot projects and various Business Support Services,” he said.

    He said the team will develop financing solutions for infrastructure projects that are viable for the long term and can be flexibly structured. “We arrange large volumes and involve additional investors. Project developers benefit from in-depth advisory services based on our extensive sector and industry know-how.  We have an extensive network in emerging and developing countries,” he said.

    Continuing, he said that as an anchor investor, DEG is there right from the start, to strengthen the capital base and mobilise further investors. “We are an experienced and well networked partner. We provide advice based on our funds and structuring expertise and our comprehensive country and regional know-how. We provide long-term support even during challenging phases. Banks receive financing as needed. We have in-depth knowledge on the financial sector. Banks benefit from our advisory programme on sustainable ways of expanding their SME business. By means of our Business Support Services, we provide assistance with risk or liquidity management, or with implementation of environmental and social management systems,” he said.

    He disclosed that for 55 years, DEG has been providing German corporates with reliable support, advice and financing for the entire duration of their involvement abroad. ‘’We offer country and industry know-how, along with market experience and essential contacts on the ground. Our customers benefit from promotional programmes designed for feasibility studies or pilot projects. With our “German Desks” in selected countries, we offer German companies and their trading partners a one-stop service at local banks.

    “Successful private enterprises are key drivers of economic development. Markets, enterprises and the local population benefit from DEG’s work. Many of the co-financed enterprises take on social responsibility by, for instance, paying above-average wages, offering pensions or health insurance and operating health centres, nurseries and schools,” he stated.

     

    Nigeria/German trade relations deepened

    Nigeria is a hub for West Africa and the economic powerhouse in the region. Bilateral Nigerian-German trade volumes exceed $2.9 billion (2015). Main exports from Germany to Nigeria include high quality machinery and automotive parts. Intelligent trade finance solution could strongly foster the bilateral trade.

    The German Desk can rely on three strategic partners with a strong footprint in Nigeria: Access Bank offering a wide range of financial products and services, AHK being the first point of contact for German companies entering the market & DEG in the region since 2008.

    As part of the cooperation, DEG puts its network at the disposal of the respective local partner bank and, where necessary, provides it with additional long-term capital, allowing them to offer financing for local customers of German companies. Neighbouring markets are also to be covered with the partner banks’ networks.

    The desk will help in building up a strong portfolio and provide quality customer service. It will also be spreading the word in Germany with local business associations, political representatives and potential customers.

  • German envoy decries underutilisation of Nigeria’s natural resources

    The Federal Republic of Germany has tasked Nigerian government and other stake holders in commerce and industry to harness huge natural and human resources in the country by giving priority to skills acquisition training.

    Speaking at a public forum in Lagos during the graduation ceremony for a new set of apprentices in Office Administration profession of the ongoing German Dual Vocational Training Partnership with Nigeria (G-DVTPW-N), the German Consul General to Nigeria, Mr. Ingo Herbert impressed on the government the need to give Dual Vocational Training (DVT), special attention.

    Herbert who was represented by the Political, Cultural and Press attache of the Consulate General of the Federal Republic of Germany, Lagos, Sebastian Polzin called on the government to borrow from Germany that brought its economy out of doldrums through DVT.

    According to him, as a result of the introduction of the training Germany today has the lowest unemployment rate in the world and not less than 95% of its youths are gainfully employed.

    Echoing similar sentiments, Martin Hug, Short Term Expert and German DVT trainer in Nigeria, remarked that, “In Germany the employers and the industry demanded the dual vocational training in 1950 because they needed employees with basic skills and with specific knowledge.

    “Dual Vocational training brings a great advantage to the employers and the employees. Through the combination of theoretical and practical elements the trainees receive basic skills and a broad knowledge in their field. After 12 months the employers get highly qualified staff.”

    According to the G-DVTPW-N programme Coordinator, Engr. Kehinde Stephen Awoyele, “German Dual Vocational Training Partnership with Nigeria, is an initiative of Federal Republic of Germany and is geared towards rising the employability bar of Nigerian youths and reducing poverty in the country. It is financed by the German Federal Ministry for Economic Cooperation and Development (BMZ) and conducted by sequagGmbH. It’s steered by the CCI Giessen-Friedberg as the German project partner.”

    Speaking through its Chairman, Board of Business Education, Services and Training Unit, Soboma Ajumogobia, the chamber however expressed confidence that, “Our Nigerian partners will rise to the unique challenge of shouldering the onerous responsibility for this important project and also for sustaining it in the years and decades ahead of 2018 as we collectively strive to build a critical mass of competitive, productive and highly skilled workers.”

  • Heynckes to take over at Bayern Munich

    Heynckes to take over at Bayern Munich

     Treble-winning coach Jupp Heynckes is set to take over at Bundesliga champions Bayern Munich for a fourth time, succeeding sacked Carlo Ancelotti, German media reported on Thursday.

    The 72-year-old Heynckes led Bayern to the domestic league and Cup double and the Champions League title in 2013, but then had to make way for Spaniard Pep Guardiola.

    According to the Bild newspaper, Heynckes, who also led Real Madrid to the Champions League title and coached Benfica, Athletic Bilbao and a string of Bundesliga clubs, will take over until the end of the season.

    The club could not be immediately reached for a comment.

    Italian Ancelotti took over last season, but was fired last week after the German champions slipped to second place in the league after twice squandering a two-goal lead in consecutive games.

    They had also been beaten 3-0 at Paris St Germain in the Champions League.

    Heynckes, who has not worked since 2013, had also coached Bayern from 1987 to 1991 and briefly took over at the end of the 2008/2009 season before becoming head coach from 2011 to 2013.

    NAN

  • Bayelsa, German team develop plan to curb European migration

    The African Tide Union (ATU) is worried about high level of unemployment in Nigeria especially in the Niger Delta region. ATU, a German-based organisation blames desperation among the youths of the Niger Delta to travel abroad on lack of employment opportunities in their states.

    But the union has taken time to develop an actionable plan to create jobs and discourage migration to Europe through illegal routes. The Bayelsa State Government is interested in the plan. The government of Mr. Seriake Dickson, wants the union to use Bayelsa as a launching pad for the project.

    A 10-member team of ATU, led by the union’s President, Roselyn Dressman, recently presented the Niger Delta Master Plan for the job-creation project to the Bayelsa State Deputy Governor, Rear Admiral John Jonah (retd) in Government House, Yenagoa.

    Already, ATU in partnership with the state government has organised an event to profile youths in the state and educate them on the need for them to embrace the programmes contained in the master plan.

    At the heart of the plan is the establishment of a craft centre with the capacity of training 800 youths on various skills every year. The centre is to be constructed with libraries, workshop centres, laboratories and production centres for various occupational skills.

    Dressman said African Tide is a certified educational content provider in Europe. She said the union’s educational centre is at the heart of Dortmund in Germany adding that the centre turns out 200 trained persons every year in Germany. She said the union was qualified to replicate and drive the project in Nigeria.

    She said the Niger Delta master plan entitled, Reduce Migration, Activate Returnees (Red-Mas) was developed to stop desperate migration of youths from the Niger Delta to European countries.

    She said having watched the Niger Delta crisis from a distance, the union worked for five years to package the plan to reduce frustration among youths and create comfort for them at their domains.

    She said the union was worried about the rising number of desperate migrants adding that last year 600,000 persons abandoned Nigeria for Europe out of which 70 per cent came from the Niger Delta.

    Dressman said the master plan when implemented would create series of activities and projects including a Handcraft Centre where youths would be taught vocational skills to enable them become employers of labour.

    She  said: “This migration is not good for us, it is draining our resources. You are a marginalised group and if you don’t wake up from your marginalisation by yourselves, you will never come out if it.

    “I employ everybody to join in this vision to find jobs for our youths, we have to make them comfortable in their own soil. In Germany or anywhere in the shores of Europe, there is nothing to take there. Things are not like the old times.

    “Finding feet in Germany is very difficult especially when the youths are not educated. I can show you disheartening pictures of youths trying to cross the Sahara Desert. People die while crossing the desert and the sea.

    “Apart from that, they ensalve themselves. Just imagine the old story of slavery coming back. We even give ourselves to them as slaves. Many of our children are out there in Mali, Libya wishing to come back home but they can’t come back because there is no means for them to come back.

    “Some of them are used even for sex slavery. That is why we should together look into how we can stop our children from embarking in this dangerous journey. As part of that we develop the Niger Delta Master plan. The problem is not only in Bayelsa, it befalls the whole of Niger Delta.

    “Today we present Red-Mas with different types of activities. African Tide is very successful. We are in different countries. We want to be here too. I am from Bayelsa State. It is my personal interest to see that it works. We have come here to curb the problems of migration from where it originated”.

    Also speaking, the union’s Youth Ambassador, Tarilaya Weber, said most Nigerian youths in Europe were heartbroken adding that African Tide maintains an asylum-seeking home to accommodate the frustrated youths.

    In his remarks, Jonah said the state government was excited at the partnership since its motive was to engage youths in meaningful ventures. He lamented dangers faced by youths, who tried to cross to Europe through illegal routes such as the deserts and the Mediterranean, saying it was time to build confidence among youths in the region.

    He said: “Some of these migrants end in Libya; they couldn’t cross, others venture into the Mediterranean and in most cases they don’t get across. The statistics is very frightening. They are so desperate at times that they don’t know about the risk, they just want to go.

    “There are also agencies that exploit their vulnerability, expose them to these dangers. I am happy with the Red-Mas. This is one of the opportunities you are creating for people to return back”.

    The deputy governor appealed to the youths to embrace the opportunity offered by the partnership adding that people must embrace the attitude of hard work.

    He said part of the problems was the neglect of the vocational skill components of the 6-3-3-4 educational system by the government.

    “The 6-3-3-4 system clearly on paper specified what should be done to overcome the deficiency in the educational system. But for one reason or the other we haven’t been able to follow it through.

    “This could be a very good example for others to follow so that vocational training is given to our youths so that when they finish they will become employers of labour. They have to restore their dignity back”.

  • German economy strengthens

    German economy strengthens

    The German economy showed continued strength at the end of the third quarter, with a gauge of private-sector activity hitting the highest in more than six years.

    The jump in the composite Purchasing Managers’ Index in September coincided with a similar improvement in the measure for France. With the euro area’s two biggest economies maintaining momentum, that’s keeping the region on track for its best year since at least 2010.

    Both national numbers beat economists’ expectations, suggesting that the eurozone gauge, forecast to dip slightly, could also surprise on the upside. That report is due 9 a.m. London time.

    For Germany, IHS Markit said the PMI rose to 57.8 from 55.8 in August, with both services and manufacturing strengthening. As with France, the index is far above the key 50 level that divides expansion from contraction.

    Phil Smith, an economist at Markit, said the German report shows the economy is in “rude health, highlighting strong broad-based growth in both business activity and employment.”

    The numbers come days after Bloomberg’s latest euro-area economic survey, which saw the currency region get another upgrade. Gross domestic product is now forecast to rise 2.1 percent this year, up 0.1 percentage point compared with August.

    The European Central Bank also raised its forecasts this month as its policy makers began a debate on how to slow the monthly asset purchases they’ve used to help support the economy in recent years.

  • Thousands evacuated as German city disposes of World war II bomb

    Thousands evacuated as German city disposes of World war II bomb

    People living within 250 metres of a World War II bomb discovered during construction work in the German city of Dusseldorf are being evacuated while it is being disposed off.

    A police spokesman said officers were checking houses within the exclusion zone on Tuesday to make sure no residents were still at home before work proceeds to dispose off the bomb discovered the day before.

    Police were stationed to watch over the site during the night.

    According to the city council, some 2,300 people were affected, while a spokesman said on Tuesday that a further 4,400 were ordered to stay at home and not go outdoors until the all-clear signal was given.

    Some 80 residents of a care home had to be brought to other facilities as part of the evacuation.

    The WWII aerial bomb was due to be defused at 11 a.m. (0900 GMT).

    Streets were to be cordoned off around the site and public transport restricted during the operation.

  • German petitions Osinbajo over Yari’s failuire to pay contract debt

    German petitions Osinbajo over Yari’s failuire to pay contract debt

    German businessman Richard Klosa has taken on Zamfara State Governor Abdulaziz Yari over failure to pay him N195 million for a contract executed in the state.

    Klosa who was awarded a contract to supply and install some equipment for the state radio station in 2013, executed the project but he is yet to be paid his balance of N195 million, four years after the contract was executed.

    The businessman has called on Acting President Yemi Osinbajo to intervene and compel the governor to pay up.

    Klosa lamented that the governor’s refusal to pay him his balance had resulted in his inability to pay office rent in the last three years, pay his employees in the last two years, adding that it has attracted Federal Inland Revenue (FIRS) to paste a notice on his office entrance, barring people from doing business with him.

    The German Embassy has also intervened by writing a letter to the governor but till date, the letter is yet to be replied, Klosa claimed.

    Speaking to reporters, the German said: “My company was awarded a contract by the Governor of Zamfara State Abdulaziz Yari Abubakar in February 2013 for the supply and installation of Radio studio equipment.

    “It was his Excellency’s desire to commission the place on 29th of May, 2013 being two years in office. We discovered that the building complex to host the digital studio equipment erected by a local contractor lacked air conditioners, earthing system, proper electrification and many other omissions. We made it known to the then Commissioner of Information Ibrahim Mohammed who mandated us to also supply and install these additional equipment.

    “We were asked to source for money and obtain a commitment letter and we were promised payment immediately after commissioning. We had to take loan for that.

    “We had to use the parallel market rate for the purchase of Forex complained to FGPC, Gusau about the exchange rate difference they used and finished all assignments in record time as we got ready in the night of the 28 of May, 2013.

    “I started writing letters and tried to see the governor in Gusau, Sokoto, Kano and Abuja, but he refused to see me. I involved party members, family members, friends and even the EFCC for assistance with no result.

    “Two years after commissioning, our German technical partners MCI Studio Hamburg, lost confidence in us as we were owing them approximately EUR161 plus interest as balance payment from that project and they took us to court.”

    Despite the outstanding debt, Klosa said he was invited for the implement another contract.

    He said: “In August last year, I received a phone call from the new Commissioner for Information, Umar Bukuyum inviting me on behalf of the governor to come to Nigeria and carry out assessment work and raise fresh proposals for their new AM,FM Radio and TV facilities which we did. I reminded the Commissioner of Information of the old outstanding amount and that this old issue would definitely be part of my mission.

    “Seeing the governor with my new proposals and my file concerning the old outstanding amount became a problem although I was in Nigeria on the Governor’s invitation. We finally tracked him down in Kaduna and he approved all proposals and asked the Commissioner to raise his memos to kick-start the projects and also bring my file with evidencing document to his office the following b Monday to call the Commissioner of Finance to release payment instructions for the old balance.

    “I thought that it was the end of my bitter road, my old balance to be paid and new contracts as compensation, not knowing that this was the last time I heard from the two of them. I made a last attempt in December 2016, I spent five days in Gusau but the governor refused to see me.

    “I also involved the German Embassy in Abuja which wrote a letter to the governor on 23rd of February, 2017 and the letter is yet unreplied. As a result of efforts within the past five months, my story is also known to the minister of information, the minister of Defence, the EFCC, the Nigerian Investment Promotion Committee working under the Vice President, and other high ranking APC politicians.”

    Continuing on what the refusal of the balance has caused, he said: “Since the commissioning of the project, I made 17 journeys to Nigeria to request for my balance payment in order to get justice and restore my reputation. It appears I am not only addressing the Governor of Zamfara, but an established system which does not recognize that my case is no longer a local issue but an international scandal.

    “Is it not Germany that accepted the majority of migrants in recent times and provides shelter and social welfare to all including a lot of Nigerians? Can Nigeria afford to overlook the injustice rendered by one governor to a German?

    “The governor’s refusal to pay has led to my inability to pay the office rent at Abuja for the past three years, I have not been able to pay salaries for the past two years, “The FIRS is on our neck to the extent that they have put stickers on the office door warning people not to transact business with us.

    “We had to close our German office in April this year, German friends who also granted loans to sustain our living are now demanding their money back, very forcefully by now and total loss of reputation both in Germany and Nigeria.”

    When asked if he had taken the matter to court since all efforts proved abortive, he said: “I have been in Nigeria for the past 41 years and I know what the judicial system is all about.

    “I don’t want to undergo the stress of adjourning the matter forever. Also, what kind of judgment do you expect from the judicial system considering the fact that the governor represents a government and he has money compared to me who has been made broke?”