The Nation Newspaper

Tag: interest

  • Rethinking football and national interest

    SIR: As most sport enthusiasts would know, there was a Nigeria – South Africa match on Saturday, June 10 at Uyo, Akwa Ibom State. In order not to miss watching it live, those of us who found ourselves in Atlanta in the United States had to go to the CNN Centre to arrange the facility. Doing that had its own pleasant hassles but it was worth it.

    Tragically, Nigeria lost to South Africa. Again, as most sport enthusiasts would remember, the score was 2- 0. Perhaps, that was a ‘good’ defeat in relation to what followed. One is referring to the ambience of a funeral that descended on all the many Nigerians that were part of the arrangement of watching it live through the CNN facility. There was no tribalism, no ethnicity, no regional or religious differences. It was national grief of inestimable proportions, to recast late Chief Awolowo’s similar usage decades ago. To the extent that many were weeping, it was genuine outpouring of nationalism, even as our friends in psychology might call it banal nationalism.

    Watching the entire spectacle play out was as personally humbling as it was an unpacking of Nigeria in terms of what we might, collectively, have taken for granted. That is that, like the national economy, there is also the national culture in shared values, hopes, aspirations, sentiments and sensibilities. The defeat and the reaction to it that one saw in Atlanta strongly suggests how losing is such a devastating downside of Nigeria’s national culture. And how strategic winning is to that national culture, thereby necessitating the question: if winning has such a powerful unifying import, why is sports in Nigeria not organised in such a way that we keep on winning and winning and winning? This cannot be too much to ask for if we are the giant of Africa and should manifest a winning way unique to that status.

    In other words, is it not possible to isolate the organisation or administration of sports in Nigeria as the country’s model of a merit system? It should be possible to implement a merit system that is, however, not exclusionary. The idea here is that the spirit of excellence in a merit system would keep us winning and winning and winning and coming together to share the benefits of primacy in an arena of joy for all. After all, from what we can see, sports is the only arena where differences disappear, be it class, ethnic, religious and regional differences.

    One might still be under the influence of that emotional moment at Atlanta but this might be one instance where emotion has been more powerful than reality or, in fact, created a reality. In any case, sports has become an all involving social domain with something for everybody – national and international unity, professionals and professionalism, governments, business, security and tourism.

    One is, therefore, associating oneself with the dominant sentiment in Atlanta as to whether the Nigeria Football Federation, (NFF) is fully aware that the only thing which brings people together in a manner unique to it across the above barriers is football. Like the military uniform when Nigeria goes to military or humanitarian engagement outside, the jersey has its own magnetic pull that winning is no longer something to be pursued as a matter of chance but of strategic thinking and actions. This is a process from which other actors and factors cannot be excluded but which, for the start, the Nigerian Football Federation, (NFA) is well placed to lead on behalf of the government. This is not naira and kobo stuff at this level but about strategising on how best to convert main features of this particular domain in relation to national interest. Here also, it is not national interest in terms of old fashioned territorial integrity, but the projection of national identity through the sporting competences of nationals.

    It is amazing how a single experience could have had such a transformative impact on one’s thinking as far as the potentials of sports in national interest is concerned. This is an area that has hitherto been relatively remote even as involving as sports has been in one’s life.

     

    • Chief Steve Lawani,

    Abuja.

  • ‘Manufacturers can’t survive 20 to 30% interest rate’

    ‘Manufacturers can’t survive 20 to 30% interest rate’

    Sona Agro Allied Foods Limited, a biscuit manufacturing company and subsidiary of Sona Group of Industries, has exported its products to Ghana and other West African countries. In this interview with OKWY IROEGBU-CHIKEZIE, its Chairman, Mr. Arjan Mirchandani, says the company achieved this feat because it sources over 90 per cent of its raw materials locally. He also says there is a need to encourage indigeneous industries with cheaper funds and favourable policies, urging the government to engage more with local manufacturers.

    What is the significance of the inauguration of Sona Agro Allied Foods export?

    The significance it supports  the government’s policy on backward integration and local farmers. It is important to help farmers. We believe they are the future of this country. We also believe that aside farmers, Nigerians can decide their future. It is not the business of any foreigner to decide the future for Nigerians. Foreigners could bring investments, technology and all the talents to make sure goods produced here are comparable to those from Europe and the United States, so that at the end of the day, one can take the products to other markets not only within Africa. It is necessary  to look at the opportunities. This is one of the reasons we started this journey using local raw materials.

    We started with just two containers for export, which in our estimation equals 200 containers, because when one has faith and takes a step at a time, one will reach one’s goal. Nigeria has an opportunity to grow, and to replace all imports with locally-manufactured goods and save foreign exchange. We cannot rely only on oil money. When you have too much of oil money, people get spoilt; when you have little, you start looking at what you have at home. Thus, taking one step is better than not starting at all.

    What drives you as a businessman?

    Every step we have taken has been guided by God. It is also our belief that you don’t ask your country what it will do for you, but what you can do for it. We make sure that we do our part for the society.

    Many companies have been affected by the economic downturn, with some either downsizing or producing at less than installed capacity. What has been your solution to this crisis?

    Probably. companies that are downsising were not able to get their acts together. Banks are also not helping the sector as their interest rates are between 20 and 30 per cent, which no manufacturer can survive on. With an interest rate of that nature, no business can survive. In India and other countries, interest rates are two, three or four per cent maximum. In Switzerland, you will get money at one per cent rate. When you have cheap money, you are encouraged to invest more. Nevertheless, we are still expanding, with no reason to downsize and deny workers their livelihood; we are doing everything possible to keep our staff even in the toughest season.

    How do you comply with quality standards, especially getting certification from the regulatory bodies?

    We adhere to quality standards in our production processes and have obtained certification from the International Organisation for Standardisation. We have complied with all the regulations from the Standards Organisation of Nigeria  (SON), National Agency for Food and Drug Administration and Control (NAFDAC) and other government agencies. We are a responsible company and we are encouraged, despite the situation which makes us to be bringing in newer technologies. We are working with the Bank of Industry (BoI) and the International Institute of Tropical Agriculture to achieve this. We are grateful to some of these government agencies because they encourage growth in investments. If the cost of funds is not made cheaper more industries will die in Nigeria. I don’t believe that should mortgage the future of the country. We should encourage local industries that source raw materials locally.  Nigeria got her independence in 1960, but we are not free until we are free by being self-sufficient. We need to start immediately.

    How should the government assist investors?

    We want the Federal Government to make cheaper loans available for the industries. We also believe that government officials should visit industries more often and encourage them, especially during moments of difficulties. It is the duty of every one of us to join hands together to grow Nigeria. That is why we think the Federal Government needs to engage manufacturers and ask them what their problems are. We have written many letters but we don’t get response from the government and this is very unfortunate. At Sona Group of Companies, we are producing with 100 per cent local raw materials, yet the Federal Government allows people to import commodities that can be sourced locally and they are charged only five per cent duties. For instance, some people are importing sorghum when we have enough of it in the country. We need to make policies to support local companies.

    What are your investment plans?

    At Sona Agro Allied Foods, we’ll like to see 100 per cent capacity utilisation. In the next 15 months, we are hoping to grow by 200 per cent. We feel that import reduction and government’s policies are helping to grow the industries and so automatically, employment will grow and the ordinary Nigerians will be proud that he is contributing to the growth of the economy. We have thousands of vibrant Nigerians in our work force and they are doing well.

    What efforts are you making to ensure proper branding of your products to make them more acceptable in the market?

    Great products are made of great quality. If you don’t do quality but you have great packaging, you won’t sell. The customer must get value for his money. Our belief is that people must get value for their money. That is important for us and we have obligation to our customers. We are also not relenting in our efforts to promote the products by building awareness.

    What is unique about your products?

    We are not doing anything extraordinary, but one thing I know is that when you produce quality goods, you don’t have to show off. Consumers themselves will determine what the market of the products should be.

    Which of your subsidiaries is your flagship and what are the different market shares of your firms?

    There is no discrimination in our organisation. Our industry is viable based on availability of local raw materials. I am all for it and I will do whatever it takes to replace imported products. Daily, we put millions of products into the market and we make sure that no problem or complaint comes to us because of our products. And we also pay close attention to our customers because we believe that the customer is always right and we ensure we give them value for money.

  • Our interest in Port Harcourt Refinery, by Oando

    Our interest in Port Harcourt Refinery, by Oando

    Oando Plc Group Chief Executive Officer Mr. Wale Tinubu yesterday clarified the conglomerate’s role in the Port Harcourt refinery.

    The Senate is querying the contract to rehabilitate the  refinery awarded to Eni/Agip in partnership with Oando.

    The lawmakers said the contract did not follow due process. It mandated a panel to probe the deal.

    Mr. Tinubu, who appeared before the Senate Joint Committee on Petroleum Resources chaired by Senator Kabir Marafa yesterday, described Oando’s involvement in the contract as a patriotic act.

    According to him, the firm is supporting the government to make the nation self-sufficient in petroleum products production and to end fuel importation and subsidy.

    He said: “I must explicitly state that no mandate for the concession, sale, equity transfer or privatisation of the Port Harcourt refinery or any of the nation’s refineries has been signed with Oando. As a crude exporter and supplier of refined products to the country, it is intuitive and patriotic for us to be interested in the refurbishment and upgrade of the refineries.

    “Our proposed participation as a local partner in this effort is an opportunity to drive the country forward and accelerate the process to see products security realised in this dispensation. We share the vision of the Nigerian government to become a petroleum products self-sufficient country in the short to medium term, and ultimately be a net exporter.

    “The Port Harcourt refinery remains a national asset, under the full control of the NNPC as far as we are aware.”

    The Senate initiated the hearing following reports which indicated that the Port Harcourt refinery was due to be sold via a privatisation or concession with Oando and Eni as the preferred consortium.

    However, initial findings from the Senate ad hoc committee showed that the NNPC is still at a preliminary stage of information gathering regarding the proposed rehabilitation and highlights from Aniebor Kragha, the NNPC’s Chief Operating Officer, Refineries, restating President Muhammadu Buhari’s directive on non-privatisation of the country’s refineries.

    The refineries have for long been in a state of disrepair. They  suffer from under-utilisation due to lack of funding and maintenance, among others. In addressing the problem, the government sought  strategic investors with refining experience and funding capacity to partner with local players to revamp the refineries. This gave birth to the Eni/Oando partnership after a meeting between Minister of State for Petroleum Resources, Dr Emmanuel Ibe Kachikwu and ENI Chief Executive Officer, Claudio Descalzi.

    The outcome of the meeting led to ENI/Agip decision to partner with Oando to explore technical and funding options to support the government’s refinery rehabilitation efforts.

    With the refinery privatisation scheme proven untrue, the Senate has been widely applauded for its oversight of the NNPC, reinforcing the long-running mandate of the Buhari administration regarding transparency and accountability by all arms of government and within the private sector. The hearing is also a testament to the government’s  effort to develop an  enabling oil and gas landscape within the downstream sector to tackle capital flight.

    “We acknowledge that Oando was quoted out of context and we hope that they understand that this committee was set up as a matter of oversight and in the interest of Nigerians because we represent Nigerians.  When the time comes, we will instruct the NNPC to carry out this rehabilitation process in the most transparent manner. We advise Oando as a responsible company and good corporate citizen to guard its future statements in public, but applaud the fact that the minute they were misquoted by the media, they put out a statement to correct the facts,” said Senator Marfa.

  • BoI to support youths with zero interest loans

    BoI to support youths with zero interest loans

    The Bank of Industry (BoI) has revised its interest rates for corps members under its Graduate Entrepreneurship Fund (GEF) programme, from nine per cent to zero per as part of measures to encourage entrepreneurship and aid business growth.

    Currently on the second edition, the GEF scheme is being implemented by BoI in partnership with the National Youth Service Corps (NYSC) Directorate. It has recorded over N262.9 million disbursements to 177 successful candidates.

    BoI said it decided to further encourage such young entrepreneurs by administering their loans at zero per cent interest charge effective from May 1, this year.

    Existing GEF loans and those to be disbursed from May will require repayment of only the principal amounts, while the 177 candidates that have been financed under the scheme will pay the loan interest that accrued up to April 30.

    As at March 31, 2017, the bank had approved N583.8 million for disbursements to entrepreneurs under the scheme.

    BoI said it was motivated by the larger part of the 177 candidates who have exhibited strong dedication to their businesses and have demonstrated unusual commitment to repayment of their loans including the nine per cent interest portion.

    With the first disbursements already creating impact in the agriculture value chain and creative industry, the bank added that N46.98 million is expected to be disbursed to the remaining 28 successful candidates who are in various stages of complying with the loan requirements.

    “The Bank of industry is highly delighted in the outcome of its investment in these young Nigerians. The bank firmly believes that entrepreneurship is a critical pathway to resolving the worrisome unemployment problem in the country.

    “Hence, the bank desires to ensure the businesses that have been created through the GEF programme remain sustainable with progressive migration from small businesses to medium and eventually to large enterprises,” a statement by BoI said.

    The statement added that the bank believes that that the gesture will further attract young Nigerians that are undergoing their one-year compulsory national youth service to embrace entrepreneurship by participating in the GEF programme.

    “It is pertinent to reiterate that the zero per cent interest charge on loans apply only to the GEF programme, which is implemented in partnership with NYSC Directorate”, the bank added.

  • Lagos seeks forex, interest rate convergence

    Lagos seeks forex, interest rate convergence

    Lagos State Governor, Mr. Akinwunmi Ambode yesterday called for convergence in foreign exchange (forex) rates and  interest rates’ reduction.

    He also pushed for a deliberate strategy to force down inflation rate to single digit as a means of stabilising the economy and putting ailing businesses back on track.

    Ambode, who spoke during the commissioning of an ultra-modern headquarters of Providus Bank in Lagos, said such measures would enable more investors to access funds and meet their obligations.

    Expressing optimism that the economy was gradually making steady move out of recession, Ambode said proactive steps must now be taken to sustain the successes recorded so far.

    Alluding to a recent report of World Economics revealing that the economy would soon move out of recession, he expressed delight at the fact that the consistent investment of the state government in critical sectors contributed to the resurgence of the economy.

    “While we are delighted that our efforts have contributed to this resurgence of the economy, there is still more to be done. The next steps are to achieve a convergence in the forex rates, force down inflation to a single digit and reduce interest rates. These will enable more business people to access funds and meet their obligations,” he said.

    He commended President Muhammadu Buhari over the Economic Recovery and Growth Plan (ERGP) recently released by the Federal Government.

    He said the economic blueprint would go a long way in charting the course for total economic recovery and growth desired by all.

    He also commended the Central Bank of Nigeria (CBN) for efforts at stabilising the exchange rates, and expressed optimism that the steps being adopted would help the ailing businesses to bounce back to profitability.

    Ambode said his administration has maintained a consistent programme of actively reflating the economy through massive expenditure in infrastructural development and engaging competent local contractors who in turn employ the people.

    He said between April last year and March  this year, a total of N16.9billion was released as payment of pension arrears to pensioners in the state, while N2billion was disbursed to young entrepreneurs and artisans under the N25 billion Employment Trust Fund (ETF) scheme.

  • Oando Gas & Power divests interest in captive power plants

    Oando Gas & Power divests interest in captive power plants

    Oando Gas and Power (OGP), a subsidiary of Oando Plc, has divested its interests in captive power plants and focused on gas infrastructure expansion.

    Speaking on the sideline of the just-concluded Nigeria Oil and Gas Conference and Exhibition in Abuja, the Managing Director, Mr. Bolaji Osunsanya, said: “As portfolio developers, we’ve divested from our captive power plants and aggressively focused on the expansion of our Gaslink franchise, which serves over 160 industrial and commercial customers across the Greater Lagos Area.

    “Our Joint Venture subsidiary with the Rivers State government, Central Horizon Gas Company, is poised to complete an additional 9km of pipeline infrastructure within the Trans-Amadi area by the end of first quarter of this year.

    “Also, our Compressed Natural Gas (CNG) entity, Gas Network Limited (GNL), which is our pioneering virtual pipeline initiative currently, delivers gas to customers within a 100km radius.”

    In the medium term, Osunsanya said the firm’s five critical flanks are to ensure gas supply security, develop virtual pipelines asset stable and gas processing infrastructure. In the long term, he noted that OGP expects long-term appropriate infrastructure financing, expansion of last mile distribution infrastructure with a particular focus on regional growth.

    The company, Osunsaya said, is set to take the final investment decision (FID) on its planned multi-million dollar 20 million standard cubic feet per day (mmscf/d) mini liquefied natural gas (LNG) plant to be located in Ajaokuta, Kogi State, before end of June.

    He said after taking the FID, construction of the facility would begin in the third quarter of the year. He said the essence of building virtual in the Ajaokuta mini-LNG is to create other ways of bringing natural gas to industrial and commercial concerns because pipeline vandalism is taking a toll on their operations.

    OGP is developing LNG facility via its newly-created Transit Gas Nigeria Limited (TGNL) subsidiary in partnership with Nigerian Gas Company (NGC).

    The facility is aimed at meeting the gas supply requirements for captive power plants, embedded generation, and industrial clusters in the Northern region, as well as stranded customers in the South.

    Osunsanya also said the firm has developed over 260km of gas pipeline distribution network, and pioneered the development of gas infrastructure and solutions across southern Nigeria, adding that the company has divested from its captive power plants.

    “OGP targets to increase gas sales levels from an average volume of 47mmscfd in 2016 to about 70mmscfd in the year. It also expects to complete and inaugurate projects, such as Greater Lagos 4 (GL4), and Central Horizon Gas Company (CHGC) expansion as well as aggressive regional expansion opportunities into Benin, Togo, Ghana, and Senegal,” he said.

  • ‘Pathetic’ is a human interest movie – Dayo Amusa

    ‘Pathetic’ is a human interest movie – Dayo Amusa

    All is ready for Dayo Amusa’s new movie, ‘Pathetic’, to be released in cinemas on March 24, 2017.

    Amusa, who disclosed that the movie is a human interest story, said, “We must tell the many tales that are being kept as secrets, the many wounds that are being covered and the many stories that may never be told.” Her last movie, ‘Unforgivable’ also borders on domestic violence in the family.

    ‘Pathetic’ is the story of Rita Shonibare, a renowned TV star who is caught in a web of confusion, as she makes a compromise on her budding career so as to overcome her marital ordeals. The movie portrays the mischievous ways that celebrities are portrayed by the media and the outsiders who prey on them.

    “It’s not as if the stories are related to me directly,” she quipped. “I am just a voice to the many silenced voices in our society. I am helping a group of people tell the stories they would rather cover. These are issues that go on around us daily and I feel obligated to tell those stories.”

    Speaking further, Amusa said: “This does not mean that I will not make movies outside of this niche. I am definitely open to try my hands on different stories but one thing is important, I want to tell an impacting story that we can all learn from.”

  • No interest in farming, no varsity admission, says minister

    No interest in farming, no varsity admission, says minister

    The Federal Government has banned students without interest in farming from gaining admission into its Universities of Agriculture.

    The Minister of Agriculture and Rural Development, Audu Ogbeh, made this known at a stakeholders meeting with registrars and pro-Chancellors of the universities in Abuja.

    He said the decision was aimed at repositioning the institutions to involve youths in agriculture, and train them to solve the multi-faceted problems in the sector.

    The Minister, who expressed regrets that non-agriculture-based courses, such as engineering, were being taught in the schools, warning that the only agriculture-related disciplines be taught.

    Ogbeh said the Federal Government’s decision to relocate its three Universities of Agriculture from the Federal Ministry of Education to Agriculture, was to refocus the insitutions as globally-acclaimed citadels to move the sector forward.

    He assured the universities that the government would support them by providing funds and grants to assist in research.

    “The domiciliation of the universities in this ministry is a commendable effort by the Federal Government based on sound reasoning and logic.

    “Your return will effectively help us to reposition the three universities of agriculture as centres of excellence for the rapid development of the agric sector.

    “There is no place where the competence and capacity to drive agriculture resides outside the Universities of Agriculture. We need to achieve a hunger-free Nigeria.

    “Henceforth, students who are not interested in becoming farmers should be made to seek admission elsewhere,’’ Ogbeh said.

    He assured that the government would support students in researching for their self-actualisation.

    The Chairman, House Committee on Agricultural Production and Services, Mr. Mohammed Munguno, advocated a bill to establish the National Universities Agricultural Commission to regulate operations of the Universities of Agriculture.

    He said the National Assembly would amend their rules to ensure that the universities were domiciled in the ministry.

    “There is need either through an executive bill or a bill to be sponsored by the House and Senate Committees on Agriculture for the establishment of the National Universities of Agricultural Commission.

    “It will be charged with regulating the universities of agriculture to effectively perform their statutory roles in tandem with the laws establishing them,’’ Munguno said.

    The Pro-Chancellor of the Micheal Okpara University of Agriculture, Umudike, Abia, Prof. Anya O. Anya, lauded the government for the relocation.

    Anya, who raised concern over the disconnect with the science and practice of agriculture in the country, expressed the hope that the assigning of the universities to the ministry would boost their effectiveness.

  • TUC: convicted looters should pay interest on stolen money

    TUC: convicted looters should pay interest on stolen money

    The Trade Union Congress of Nigeria (TUC) said yesterday those found to have stolen public funds should be made to pay interest rate on the money.

    Reacting to the judgments on the subsidy fraud case, its President, Comrade Bobboi Kaigama and General Secretary, Comrade Musa-Lawal Ozigi, said recovering the money alone without interest was not good enough.

    The Congress hailed “the judiciary and Nigerians over the recent rulings by Justice Lateefa Okunnu at the Ikeja High Court, that  sentenced the Managing Director of Ontario Oil and Gas Limited, Mrs. Adaoha Ugo-Nnadi to 10 years in prison for defrauding the Federal Government of N754 million in oil subsidy transactions and that of a Federal High Court in Abuja, that ordered the forfeiture of oil Prospecting Licence (OPL 245) to the Federal Government until investigation and trial of suspects are concluded”.

    It said: “These are good signs of our speedy recovery, if we faint not and we urge the anti-graft agencies to investigate other people involved in the subsidy fraud, other financial crimes and bring them to book.

    “It hurts that while Nigerians are groaning and asking for the basic things like food, infrastructure, job and others, some greedy Nigerians under the guise of oil marketers are milking the country dry.

    “The Congress is of the opinion that these culprits start paying interest on whatever amount of money they have stolen henceforth. Returning the actual is not good enough. For instance, when the said money was stolen a dollar was less than N200, but today, a dollar is equivalent to N500.

    “The money will help to fund our national budget, especially now that we cannot predict oil price in the international market. The economy is on its knees today because institutions saddled with the responsibility of fighting corruption were sleeping. This impunity has to stop.”

    TUC said its members were expecting more of this from this administration.

    It said no stone should be left unturned in the fight against corruption, adding that “Nigerians are asking for justice”.

    “Yes, the  blood and families of citizens who have died in car accidents as a result of roads that were left undone and pregnant mothers, who lost their lives due to lack of good medical facilities are crying for justice.

    “These monies could have to some extent helped to build infrastructure, create jobs, and reposition the economy.  We are truly happy about this development and hope to see more of it. It just can’t be business as usual,” TUC said.

  • CBN policies serve best interest of Nigerians, says Emefiele

    CBN policies serve best interest of Nigerians, says Emefiele

    The Governor, Central Bank of Nigeria, Mr Godwin Emefiele has debunked the insinuations in some quarters that policies of the government were meant to benefit few in the society.

    He said instead, the policies were designed to serve the best interest of majority of Nigerians.

    Emefiele, who was responding to concerns raised by a panelist at the Annual Media Trust Dialogue in Abuja yesterday, noted that “policies were put in place to help Nigeria pull through the hard time.”

    He observed that the country found itself in the present situation due to lack of appropriate commitment to economic diversification, especially when the earnings from oil were as high as $140 per barrel.

    He noted that earnings of the government that had risen to  $3.2 billion and fell to about $500 million per month recently.

    According to him, there was also a time when the crude oil price stabilised at $105 per barrel over a period of five years.

    He asked rhetorically: “What did we do with the huge accretion to the reserves then?”

    Emefiele therefore, counseled the critics of the CBN and government policies that “priority will be given to Nigerian masses by managing the limited resources to provide for industrial raw materials, plants and equipment and agricultural inputs in order to create employment and generate wealth.”

    One of the panelists, Atedo Peterside, had raised concern that the foreign exchange policies of the CBN is hurting business interests. The CBN governor responded that policy makers don’t make policies in isolation or designed to hurt the citizenry but with the objectives to improve the life of all concerned not just for a few powerful and rich individuals.     t