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Tag: Mr Alex A. Okoh

  • FG to rake in N17b from sale of 21 percent of NSPM 

    The sale of 21 percent  shares  of the Federal Government in the Nigerian  Security Printing and Minting (NSPM) Plc to the Central Bank of Nigeria (CBN) will contribute over N17 billion to the national treasury, Director General of the Bureau of Public Enterprises (BPE), Mr. Alex A. Okoh has said.

    At the signing ceremony for the sale of the Federal Government’s 12.4 billion shares in the NSPM to the Central Bank of Nigeria (CBN) at the Presidential Villa, Abuja, Okoh also said that the conclusion of the transaction represents another success in the implementation of the Federal Government’s privatisation and commercialisation programme.

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    The Head of Public Communications, Amina Othman disclosed this in a statement Wednesday.

    He maintained that the Federal Government was handing over to the CBN; a company with tremendous potentials to achieve significant growth. The DG said this could be attested to   by the following:

    “The global market for security printing was estimated to be worth $27.2 billion in 2017 and is estimated to grow at about 4.8% annually to $34.3 billion by 2022;

    “Africa is a fast growing market for security printing. The industry is projected to grow at an average annual rate of 9.6% over the next 5 years. This growth is fueled by high population growth and increased mobility across the region as well as increased spending on identity programs. The global market for passports and ID cards is valued at around $3.7 billion and is growing at 6% per annum; and

    “In the area of its core operation which is currency printing, the total amount of cash in circulation is growing at 4% per annum globally and is expected to increase at a similar rate in future.”

    He recalled that the earlier effort to privatise the Mint  between 2002 and 2004;pursuant to section 1 (3) of the Public Enterprises (Privatisation and Commercialisation) Act were unsuccessful  necessitating the National Council on Privatisation (NCP) to formulate a different transaction strategy and approved the strategic investment by the CBN in the company.

    “The purpose of the strategic investment was for CBN to manage, restructure and restore the company to profitability within a period not exceeding 5 years, following which it would be privatised by the Bureau.

    “In compliance with NCP’s directive, the Bureau warehoused 12.69 billion shares of the Federal Government’s holding in the Mint with the CBN at a par value of 0.50k per share amounting to N6, 344,900,000. It was further agreed that this consideration would be refunded to the CBN from the proceeds of sale realized from the eventual privatization of the company”.

    He said the CBN’s strategic investment in the company was a success, achieving its objective of turning around the fortunes of the company and returning it to profitability.

    Following the expiration of the strategic investment period, the Director General added “the CBN indicated its strong intention to acquire the company on an arm’s length basis, noting the sensitive and strategic nature of the security printing and minting services rendered by the company which include immigration and electoral materials”.

    He added that after a careful consideration of the pertinent issues, the Bureau submitted a proposal to the NCP to formalise the sale of 21% of the Federal Government’s interest in the company to the CBN whilst Government would retain an equity holding of 10.1%. This proposal was duly approved by the Council.

    Also speaking, the Central Bank Governor, Mr. Godwin Emefiele, said that the NSPM is a national asset treasured by the government.

    He noted that the company had consistently being a loss maker until the intervention of the CBN, adding that the intervention of the CBN brought to an end the importation of currency to the country.

    The Governor announced that the company had ceased producing international passports though it has the capacity to execute the task and the company, if well positioned, would sufficiently provide national security materials for the public sector and specialised security materials for the private sector, such as bank cards.

  • BPE to firm: Conclude equity investment in 60 days

    BPE to firm: Conclude equity investment in 60 days

    The Director-General of the Bureau of Public Enterprises (BPE), Mr. Alex A. Okoh, has given Lead Capital Consortium a deadline of 60 calendar days to conclude the strategic equity investment by the National Sovereign Investment Authority (NSIA) into the Nigeria Commodity Exchange (NCX).

    The deadline was given on Wednesday at the kick-off meeting of the advisory services for the transaction. He pointed out that the main aim of the meeting was to formally introduce the appointed advisor, Lead Capital Consortium, to the key stakeholders including Federal Ministry of Industry, Trade and Investment (FMI&TI), Federal Ministry of Agriculture and Rural Development(FMA&RD), Federal Ministry of Finance(FMF), NCX and NSIA, and to signal the commencement of the advisory service.

    Lead Capital Consortium emerged the preferred advisor after a competitive bidding process using the Quality and Cost Based Selection Method (QCBS).

    Head Public Communications of the BPE, Mr. Chukwuma Nwoko that made this known in a statement onn Wednesday quoted Okoh as saying that: “This assignment as outlined in the work plan, commences today, June 21, 2017 and to be concluded within a period of 60 calendars days, unfailingly. We, therefore, solicit for the continued support and cooperation of the stakeholders to ensure that this transaction is delivered within the timeframe envisaged.”

    He pointed out that the transaction is unique in the sense that unlike in the traditional privatisation transaction approach where a private sector entity is brought in to acquire government shareholding and take over the management and operation of the public enterprise, “here a Government entity is making a strategic investment in NCX. This is to enable NCX have access to investment capital to develop the infrastructure to carry out its business effectively in facilitating trade and developing settlement instruments and platforms in agricultural produce and basic minerals.”

    The Steering Committee of the National Council on Privatisation (NCP), chaired by the Honourable Minister of Industry, Trade and Investment, was charged with the responsibility of midwiving the revitalisation of the NCX through the approved strategic equity investment in the exchange by the NSIA.

    The BPE DG noted that “it is envisaged that within a period of 3-5 years, NCX would have been sufficiently transformed to attract high calibre private sector investors to take over. As such it is very important that an effective monitoring mechanism is put in place to ensure that the investments are prudently used and the business plan faithfully implemented.”

    Okoh thanked the Chairman of the National Council on Privatisation (NCP) who approved that the operations of the NCX should be revitalised through a Strategic Equity Investment by the NSIA for a period of 3 – 5 years.

  • BPE pledges support for port authority

    The Director General of the Bureau of Public Enterprises (BPE), Mr Alex A. Okoh, on Thursday expressed the Bureau’s support for the Nigerian Ports Authority (NPA) in its effort to ensure efficient service delivery in Nigerian ports.

    According to a statement issued by the head public communications BPE Chuckwuma Nwokoh, he made this known when he received the Managing Director of the NPA, Ms. Hadiza Bala Usman, who paid him a courtesy visit in Abuja. 

    Okoh stated that the Bureau would constantly liaise with the NPA to ensure that the concessionaires keep to the terms of the agreements  they signed with the government and also to ensure that the agreements that are due for review are done expeditiously.

    The BPE boss said that this has become necessary in order to enhance efficiency and service delivery at Nigerian ports. 

     The Chief Executives reviewed the maritime industry and agreed on the framework for evaluation of the ports concession agreements. They also discussed the infrastructural challenges at the ports and the ways to address them.

    Both expressed optimism that the Reform Bills, especially the Ports and Harbour Bill and National Transport Commission Bill which are currently receiving attention at the National Assembly, would optimize operations at the ports. The two bills when enacted would strengthen the technical and economic regulatory framework in the maritime industry. 

    The NPA boss in her remark said that,synergy between both agencies would ensure an all encompassing review process of the ports concession agreements. While stressing the strategic position of the maritime sector in the nation’s economy and the enormous prospects it presents for economic growth, she maintained that inter-agency collaboration was one sure way to harness the potentials. 

    According to the report, the House of Representatives has last month passed the National Transport Commission Bill. In the words of the Bill, its main objective is “to provide efficient economic regulatory framework for the transport sector, mechanism for monitoring compliance of government agencies, transport service providers and users in the regulated transport industry with relevant legislation and to advise government on matters relating to economic regulation of the regulated transport industry”.

  • BPE pledges support for NPA

    BPE pledges support for NPA

    The Director General of the Bureau of Public Enterprises (BPE), Mr Alex A. Okoh, Thursday expressed the Bureau’s support for the Nigerian Ports Authority (NPA) in its effort to ensure efficient service delivery in Nigerian ports.

    According to a statement issued by the head public communications BPE Chuckwuma Nwokoh, he made this known when he received the Managing Director of the NPA, Ms. Hadiza Bala Usman, who paid him a courtesy visit in Abuja.

    Okoh stated that the Bureau would constantly liaise with the NPA to ensure that the concessionaires keep to the terms of the agreements they signed with the government and also to ensure that the agreements that are due for review are done expeditiously.

    The BPE boss said that this has become necessary in order to enhance efficiency and service delivery at Nigerian ports.

    The Chief Executives reviewed the maritime industry and agreed on the framework for evaluation of the ports concession agreements. They also discussed the infrastructural challenges at the ports and the ways to address them.

    Both expressed optimism that the Reform Bills, especially the Ports and Harbour Bill and National Transport Commission Bill which are currently receiving attention at the National Assembly, would optimize operations at the ports. The two bills when enacted would strengthen the technical and economic regulatory framework in the maritime industry.

    The NPA boss in her remark said that, synergy between both agencies would ensure an all- encompassing review process of the ports concession agreements. While stressing the strategic position of the maritime sector in the nation’s economy and the enormous prospects it presents for economic growth, she maintained that inter-agency collaboration was one sure way to harness the potentials.

    According to the report, the House of Representatives has last month passed the National Transport Commission Bill. In the words of the Bill, its main objective is “to provide efficient economic regulatory framework for the transport sector, mechanism for monitoring compliance of government agencies, transport service providers and users in the regulated transport industry with relevant legislation and to advise government on matters relating to economic regulation of the regulated transport industry”.