The Nation Newspaper

Tag: instability

  • Why there is instability in Labour Party, by group

    A GROUP within the Labour Party has blamed the instability in the party on former Ondo State Governor Olusegun Mimiko.

    The group, Voice-Out Vanguard (VOV), accused Dr. Mimiko of factionalising the Labour Party to pave the way for his return to the party.

    But one of Mimiko’s former aides said defecting from the Peoples Democratic Party (PDP) was not on the card before the former governor.

    The aide said it was untrue that Mimiko was behind the leadership crisis rocking the Labour Party, from which he defected to the then ruling PDP.

    Spokesman of the VOV group, Jimmy Kadiri, said in Abuja that Mimiko has been making frantic efforts to return to the Labour Party in the last few months and that he has been doing all within his powers to factionalise the party.

    He alleged that Mimiko was desperate to hijack the party structures through his own faction within the party.

    According to Kadiri, the former governor has been making frantic moves to effect a leadership change in the Labour party by asking its chairman, Dr. Mike Omotosho, to step aside.

    He warned that party faithful would not allow those who jumped ship since 2014 to destabilise the Labour Party.

    Kadiri urged the Independent National Electoral Commission (INEC) to accord recognition to Omotosho as the party’s authentic chairman, failing which the body would be seen as biased umpire.

  • Edo Assembly: A tale of instability

    Since 1999,  the Speaker of the Edo State House of Assembly has always been zoned to Edo Central Senatorial District, either through political miscalculation or providence. However, no lawmaker from Edo Central has successfully served as Speaker for four years. Edo Central is mainly home to the Esans

    Between 1999 and 2007 when the House was dominated by the Peoples Democratic Party, four persons-Thomas Okosun, Matthew Egbadon, David Iyoha and Friday Itulah served as Speakers. The lawmakers were caught in power play between Chief Tony Anenih and Governor Lucky Igbinedion. In 2007, the PDP zoned the seat to Edo North leading to the emergence of Zakawanu Garuba.

    The 2008 court judgment, which brought in Comrade Adams Oshiomhole as governor, distorted the PDP’s zoning formular. Oshiomhole hails from Edo North and his former deputy, Dr. Pius Odubu hails from Edo South but the defunct Action Congress through which Oshiomhole came to power has only eight lawmakers in the state Assembly and Zakawanu who hails from Edo North continued as Speaker till 2010 when he was impeached.

    After the impeachment of Zakawanu, an Esan lawmaker, Hon Bright Omokhodion from Esan West, defected to the AC to succeed Zakawanu. He stayed as Speaker till the 2011 general elections. The failure of Omokhodion to secure reelection  in 2011 made the Esans tô lose out as the ruling party, the defunct Action Congress of Nigeria, could only win one seat out of five in Edo Central.

    Omokhodion’s loss at the 2011 polls made the lawmakers elected Hon Uyi Igbe from Edo South as Speaker and made the only defunct ACN lawmaker from Edo Central, Festus Ebea, the Deputy Speaker. Between 2011 and 2015, the Esans got the position of a deputy speaker as Hon Igbe served  for four years.

    The current Assembly was inaugurated in 2015 and Hon Victor Edoror, a second time lawmaker from Esan Central, was elected Speaker. Perhaps, Edoror felt his position was secured being the only two- time lawmaker from Edo Central in the Assembly. What also gave him hope was that the lawmakers would abide by the APC zoning formular but he was mistaken.

    Edoror was impeached after 11 months in office over alleged  high-handedness, dictatorial tendencies and  recklessness. His removal altered the power balancing arrangement as a lawmaker from Edo South, Hon Elisabeth Ativie, was made Speaker while Hon. Justin Okonoboh representing Igueben in Edo Central was made Deputy Speaker.

    Ativie did not last long. Ativie spent only 84 days in office. She was pressured to step down for any APC lawmaker from Edo Central to assuage the feelings of electorates in Edo Central because the 2016 governorship election was near.

    In July last year, Ativie stepped down for Okonoboh, a first time lawmaker, to emerge as Speaker. Okonoboh got the speakership seat on a platter of gold. The lawmakers had to amend their rules for Okonoboh to be elected Speaker. However, Okonoboh managed to spend 11 months in office before he was replaced.

    Critics of Okonoboh described him as ‘Justina’ over his alleged inability to be firm and decisive. The move to remove Okonoboh began four months after he was made Speaker. There were complains of his inability to talk about the lawmakers’ welfare package with the new Governor, Mr. Godwin Obaseki.

    It was gathered that the first test case for Okonoboh leadership style and his trust for his colleagues was shortly after Obaseki was sworn-in. The lawmakers were said to have held a meeting where they agreed to push for financial autonomy. A source stated that hardly had the meeting ended when Okonoboh was called by some party leaders that he should jettison the issue of financial autonomy for lawmakers and not cause problems from the new administration.

    A close aide said Okonoboh was surprised that many lawmakers called the next day that they were no longer in support of the need to push for financial autonomy.

    The poor financial situation of the House pitched the lawmakers against Okonoboh as that it was difficult to buy diesel for the power generator. The House was indebted to the Benin Electricity Distribution Company that its power supply was cut-off. Microphones at the hallowed chambers were faulty. Plenary was held at the mercy of BEDC that whenever power supply is interrupted, sitting will end.

    Some lawmakers felt  Okonoboh was not bold enough to present their welfare package before the Governor for money to be released. Besides, during his recent birthday celebration, Okonoboh was alleged to have made some remarks that did not go down well with some political leaders in the state.

    Okonoboh would have been removed on May 22 but the plot to impeached him was leaked.  He quickly made an postponed resumption of plenary citing repair works at the Assembly complex. A lawmaker cited Okonoboh lucky escape this way, ‘the evil day has been postponed’.

    The repair work in the House given as reason for the suspension of plenary resumption became Okonoboh’s albatross as the contracts for the repair of generators and sound systems were allegedly discovered to have been awarded to some lawmakers.

  • Atiku: Instability caused by absence of justice

    Atiku: Instability caused by absence of justice

    Former Vice President and Chieftain of the All Progressives Congress (APC), Atiku Abubakar has said that the absence of the fear of God and Justice in any society lead to mischief and instability in the polity. Speaking at the public presentation of a book, “Gwandu Emirate: The Domain of Abdullahi Fodio, since 1805” in Birnin Kebbi, the former Vice President reminded northerners that the old Sokoto Caliphate was built on the fear of God Justice which explained its progressiveness.
    He said “somewhere between 1810 and 1812, when Sheik Usman divided the Caliphate into two for administrative convenience, he assigned Abdullahi to supervise the Western Emirates while Sheik Muhammadu Bello took charge of the Eastern Emirates.
    “Each of those Emirates was autonomous in the true sense of the word. Thus, Sokoto Caliphate proved to be one of the best ran confederacies that made significant achievements in the history of mankind. For instance, many people are not aware of this, the Caliphate did not have any standing army as a State, but the Emirates did.
    “Each emirate was given sufficient latitude and responsibility to manage its own affairs. This system of administration ensured social justice, accountability and efficiency. It is indeed very surprising to me that some of us have totally forgotten about that part of our history. And when they are reminded, they express utmost suspicion and disbelief.
    “As northerners and Nigerians we need to remember this history, this example, as we debate issues around unity, federalism, revenue sharing, and the devolution of powers to federating units,” he said.
    The former Vice President who was the chief presenter of the book, describe Abdullahi Fodio as a great intellectual, a general in the jihad campaigns, an administrator whose objective was to establish equity and social justice among people, and a reputed statesman of exemplary character who “authored more than one hundred books out of which less than 10% were published.
    “His prescriptions for societal rejuvenation and development are, at least, as relevant today as they were when he made them. For instance, his book, Diya’ al-Sultan, was purposely written to guide rulers on good governance. According to him, the two virtues that constitute the foundation of governance in all circumstances are: taqwa (fear of God) and ‘adl (justice). In other words, it is the absence of either or both of these virtues that lead to mischief and instability in any polity.
    “Sheik Abdullahi was second in command to his brother, Sheik Usman Dan Fodio in the emergence of the jihad movement. As Waziri to the latter, Abdullahi was both a Deputy and Chief Adviser on all issues concerning the Caliphate. However, as early as 1807, Abdullahi became somewhat disillusioned with the turn of events for which he decided to abandon all his privileges and migrate to the Holy Land,” he added.

  • ‘Low oil prices, instability affecting Middle East, North Africa insurance’

    Once viewed as an economic power house among emerging markets, with seeminglyunstoppable growth prospects, the Middle East region has succumbed to a deterioration in medium-term economic forecasts, driven by unrelenting low oil prices and persisting regional instability.

    A. M. Best Associate Director, Market Development & Communications, Dr. Edem Kuenyehia made this known in a report made available to The Nation in Lagos.

    According to him, these two key challenges are likely to dictate the operating landscape of Middle East and North Africa (MENA) economies over the near to medium term,and will have repercussions for the insurance markets across the region.

    He stated that the price per barrel in January, this year stood at approximately a quarter of its market value two years previously, and at the lowest point since 2003.

    He noted that despite the substantial fall inthe price of oil, there are further potential headwinds that can place greater pressure on the sector including reduced levels of demand from emerging economies, such as China, increased shale oil extraction mainly from the United States and the prospect of Iran reenteringthe market as a major supplier following the removal of certain oil-related sanctions.

    He said: “With a clear imbalance between global supply and demand already in existence, there is concern that a further reduction in demand and, or increased supply could drive oil prices as low as $15 per barrel. The Middle East, North Africa economies displayed relatively strong levels of resilience to the 2008 global financial crisis, however, with oil production and refinement the foundation of most economies in the region, the impact and severity of a prolonged period of low hydrocarbon, political instability remains a further and somewhat interlinked challenge for the MENA.

    “Inthe aftermath of the Arab Spring uprising, some of the countries affected have made positive strides from a political standpoint while others have seen a marked deterioration. Whilst the causes for political instability have not to date been directly linked to low hydrocarbon prices. There is a concern that heightened regional instability and political tensions over the longer term may exacerbate economic pressures on many MENA economies.”

    Kuenyehia said A.M. Best believes that the impact of these two key challenges on the insurance markets inthe region is difficult to predict, but will undoubtedly hinge upon where the “new normal” oil price lands and how governments manage potential budgetary cuts and social unrest.

  • Instability in food prices lingers

    What is responsible for the instability in food prices? TONIA ‘DIYAN sought the views of some traders and consumers against the backdrop of rising foodstuffs prices.

    •Traders lament continuous hike in price of food stuff

    Prices determine the demand for every item. The higher the price, the lower the demand. This is also applicable to foodstuffs. There low patronage due to the increasing prices of commodities, The Nation shopping gathered from traders.

    To some traders, the instability in prices of food items is caused by the devaluation of the Naira.

    A seller of frozen fish at Mushin Market, who requested to be identified only as “Iya Abbey”, believes  the devaluation of Naira is the reason for the hike in the price of fish.

    She said: “The prices of my goods have increased due to increment in the value of dollar which I find shocking as I have never heard of a case where dollar’s worth affects the prices of fishes”. The fish we buy at the rate of N9,000 is now purchased for N11,000 and N12,000 while that sold N7,000 now sells for N13,000.”

    She lamented the low patronage of her goods caused by the increase in prices, making the business less profitable. “Business is not moving like before because of the rate at which we sell our fishes now compared to before. We now sell three Titus and Kote fish for N1000, it was formerly N600. In fact, we formerly sold them for N500 but that has changed now.”

    Mrs Muyinat Adeyemo, another trader at Mushin Market selling plantain, had no different tale to tell. She also blamed the devaluation of Naira for the hike in the cost of her goods which were formerly one of the cheapest.

    “The increase in dollar has played a role in the hike of my plantain price. Also, the inadequate distribution of plantain due to the restriction in the movement of trailers is also a contributing factor,” she said.

    She noted that this month’s sales were better than the last two months when she recorded low sales, because of fuel scarcity at that period. She told the Nation Shopping that plantain formerly sold for N100, N200 no goes for N300 and N500. “Plantain is now a food for the rich,” she said, noting that most of her customers complain as they but plantain reluctantly.

    The hike in the price of some other food stuffs is not only caused by the devaluation of the Naira but also because of the ban placed on them.

    A rice and groundnut oil seller, who pleaded anonymity, said the hike in the price of her goods is not only due to the devalued Naira but also because of the ban on importation of rice.

    She said: “Before now, we sold a bag of rice for N7,500; a bag now costs N9,000. However, this depends on the quality as we also have some for N10,500 and N11,000. Also, the price of groundnut oil has gone up as we now buy at N6,160 as against N5,850.”

    Tomato sellers, on the other hand, experienced a reduction in prices compared to last month. A bowl of tomatoes sold for N500 now goes for N200. Mrs. Bisola Olowu, a tomato seller said: “The prices of our good will continue to fluctuate because its availability is seasonal.”

    Generally, a survey of other major markets showed that prices of commodities have been irregular since the beginning of this year. Some items are still sold twice their prices despite that that the festive season, which influenced their prices increment, is over. but the reverse is the case with staple items, particularly in Lagos.

    This development has forced various categories of eateries and canteens to increase the prices of their meals, attributing the high costs to unstable and unfavourable prices of farm produce which, according to them, they still buy for twice their original prices.

    Beans have been the most expensive in recent times and customers have not stopped lamenting due to its unstable price – especially those brought from the northern part of the country. Mrs Romoke Adewale, who sells beans in small and large quantities at Daleko Market, complained that a bag of beans sells for between N16,000  and N18,000, and the price has not come down.

    “Beans price hike has to do with the crisis in the North most of the time because that is where it is comes from. The price has been very unstable; sometimes, we get tired of purchasing because we are not sure of how much we are taking with us,’’ she said.

    Some traders also attributed the unstable prices to flood in some northern states where food items are mainly transported from. Farmlands are sometimes washed away and farmers with a few crops will increase the prices to make up for their investments,” he said.

    A wheelbarrow of yam costs between N8,000 and N15,000. It hasn’t been stable since after Christmas.

    The survey showed that the price of garri, a common staple food among low income earners, has also been irregular, jumping to N280, sometimes, N300 for a brand while another sells for between N200 and N230. Yam flour now costs between N750 and N800 at times, while those mixed with cassava sell for N500 and N600.

    According to traders, the prevailing security challenges in some parts of northern states have also prevented many of them from travelling to places where some commodities are available at affordable prices.

    A yam seller, Mr Bala Usman, said  the country was no longer safe for traders who travel to the North to get foodstuffs cheap, so that they can also sell them cheap to consumers. “The yam you see here are costly; it is not our fault; we also have to sell to make profits. We are afraid to travel to our home towns,” he said

    A retailer, Mr Franklin Idumebor, said: “Foodstuffs are now very expensive. They keep rising and I wonder when the prices will fall; we sell according to how we buy.”

    The price of onions has also gone up tremendiously and it has become scarce. A bag which was sold for N5,000 and N6,500, now goes for N15,000, it cost N6,000 to N7,000 as at last month.

    Consumers said they are at the receiving end. “When the prices are increased, we tend to suffer for it more,” said Mr Uchenna Kalu.

    He suggested a price control board to regulate food prices, saying food is one of the three basic amenities a human being shouldn’t be deprived of.

    For Mr Femi Abass, the problem is with market women who refuse to reduce prices of food items even when they buy at cheap rates.

    “You often hear them say: ‘na so we buy o’! And when you say the price has reduced, they shout at you saying: ‘na old market I get, I never go buy new one.’

    He added, “the problems at the local level are created by us. We are usually the architect of our misfortunes,” he said

  • How to avert financial instability, by CBN chief

    How to avert financial instability, by CBN chief

    Central Bank of Nigeria (CBN) Deputy Governor, Financial System Stability (FSS) Kingsley Moghalu has warned banks against relying “too much” on borrowed funds to avoid creating problems for the economy.

    Banks, he said, could destabilise the financial system by their reliance on such funds instead of equity.

    Moghalu, who spoke  on CNN, while commenting on a book, titled: “Reading for Leading”, said banking rests too much on leverage, or borrowed money or other people’s money.

    This practice, he said, is risky and should be discouraged.

    He said it is a very risky proposition for one to make profits on the basis of borrowed money. There should be more equity in banks, Moghalu said, arguing that shareholders should put more of their money in banks.

    “There are special mystiques that banks and banking are different from all other industries. It is a mistake. We in the developing world are trying to make banking an agent of development and not just using banks as a means of making money for people who are already wealthy,” he said.

    Moghalu said the problems were universal as they are developing countries and emerging markets.

    Part of the agenda of the current CBN management is to act as a financial catalyst by targeting predetermined sectors that can create jobs on a mass scale and significantly reduce Nigeria’s import bills.

    The CBN is also deploying developmental initiatives to create an enabling environment with appropriate incentives to empower innovative entrepreneurs to drive growth and development.

    Some of the Central Bank’s developmental functions include credit allocations and direct interventions in key sectors of the economy such as power, agriculture, Micro Small and Medium Enterprises (MSME), oil and gas, and health.

  • Theme: It is not over!

    Theme: It is not over!

    Text: “…..there is hope of a tree, if it be cut down, that it will sprout again…..”(Job 14:7)

    When we take a cursory look at what is happening around us in the polity at such a time viz turbulence of politics, gross economic instability, unsecured security system across the length and breadth of the nation, unreliable transportation system, pervasive job insecurity, gross unemployment, public sectors taking turn to go on strike and avoidable human losses consequent on ill-equipped health sector, it is logical to harbor the thoughts of fear, dejection and hopelessness. We might actually begin to look at ourselves as failures or consider our nation as a failed state.

    Beloved in Christ, there is no bad case with God. There is no failed life or state before God! He has promised us that if only people called by His name can call on Him with humility and turn from our evil ways, He will hear from heaven, forgive our sins and heal our land (2 Chro. 7:14). Whenever we call on God and forsake our pervasive evil ways, He is able and willing to turn things around for us. He said that with men (family, leaders, security officers etc) some things are impossible, but with Him all things are possible (Matt. 19:26; Mk. 9:23).

    From our passage, God promised that there is no hopeless case with him. In fact, He said even a dead tree that had been cut down has hope of springing back to life. He said that even if the root of a tree has waxed old in the earth and the stock has died but the scent of water will bring it back to life.

    The Almighty God is God of all flesh with whom nothing is impossible (Jer. 32:27). He was the One who created the heaven and earth (John 1:3; Col. 1:16-17). From His glorious antecedents, there is nothing He cannot do. When the Israelites had no food and water to drink in the wilderness, He made ways where there was none – they had quails from heaven and water came from the Rock.

    When the Egyptians continued to harass the Israelites on their way to the Promised land, the Almighty God intervened and fought for them. The Red Sea that opened for them to pass through was the burial ground of their pursuers.

    Beloved, the Almighty God is a man of war (Exodus 15:3). Whenever you call on Him, He would intervene in your case, provide for you, change your story, restore your lost grounds and fight your battles for you (Joel 2:25). He has promised that even when people or institutions saddled with the responsibility of care, provision and security fail, He will never leave nor forsake us (Is. 49:15-16; Hebrews 13:5).

    It does not matter what you may be passing through at this time, God is able! When you call upon Him during this time of lent and pray for your family and our nation, He would hear you, wipe away your tears, make you happy and minister life to your health, marriage, family, business, places of interest and nation in Jesus’ name.

    Prayer: Oh Lord, let the scent of water touch every aspect of my life and restore all my lost grounds in Jesus’ name.

     

  • Why political instability may persist

    SIR: There cannot be stability when the conditions for it are absent. Take the electoral system as a starting point. Popular protest against election rigging made President Umaru Musa Yar’Adua to set up the Electoral Reform Committee, headed by Justice Muhammed Uwais. The most crucial recommendation of that committee, which was that the electoral system should be freed from the whims and caprices of the partisan President, Governor, and the ruling party, as the case might be, was jettisoned by the Peoples Democratic Party (PDP), using its upper hand as the ruling political party.

    There was a palpable and bourgeoning agitation for the implementation of the Uwais’s recommendation in the build-up to the 2011 general elections, but Dr. Goodluck Jonathan also thwarted it by nominating Prof. Attahiru Jega to replace Prof. Maurice Iwu as the chairman of the electoral commission. Too many Nigerian intellectuals swallowed the bait, saying Jega was incorruptible. I was almost a lone opponent, shouting, “But we want a strong institution and not just a strong personality!”

    Obviously, large scale manipulation of election results still trails our nation, as a consequence of our collective lack of focus, and PDP’s desperation to leave as much room as possible for election-rigging.

    Besides election-rigging, most of the major crises that have bedevilled Nigeria have bordered on which ethnic group or region controls Nigeria, from the civil war (1967-1970) to the annulment of the June 12, 1993 presidential election. Hence it was a welcome development when some leaders from all over Nigeria decided on rotational presidency, starting with the South-west whose Moshood Abiola, was denied the presidency by the 1993 annulment. Against rejection by the South-west, the rest of the country voted for Olusegun Obasanjo; he lost even in his own ward in the 1999 presidential election. The South-west leaders who later embraced him regretted their lack of focus.

    At the end of Obasanjo’s two-term tenure, the rotation shifted to the North-west, and Yar’Adua emerged as elected President. Why did Nigerians again lose focus, and voted for Goodluck Jonathan in 2011, just because Yar’Adua died? Note that it was not only the PDP that chose its presidential flag bearer from the South-west in 1999 and 2003; or from the north in 2007; all the major opposition political parties did the same. What is more, even in 2011 when the PDP was arm-twisted to vote for Jonathan, the major opposition political parties still maintained the rotation stance.

    Why then should the All Progressive Congress (APC) shy away from appropriating rotational presidency among the six geo-political zones, for order, equity, peace, progress, and stability? Nigeria’s constitution condones federal character policy for the same reason; how does rotational presidency violate that spirit?

    Isn’t it significant that arguments against rotational presidency heightened after Jonathan truncated it in 2011? Any nation that loses focus on critical issues of election and political order can hardly be stable.

    • Pius Oyeniran Abioje, Ph. D,

    University of Ilorin.