Tag: Nigeria

  • Nestle Nigeria: Getting better

    Nestle Nigeria combined appreciable growth in sales with more efficient cost management and substantial deleverage of its balance sheet to deliver its most impressive results in recent years. Audited report and accounts of Nestle Nigeria for the year ended December 31, 2012 showed that significant reduction in financing charges and improved cost management accentuated top-line growth. Total sales grew by 19 per cent but pre and post tax profits rose by 38 per cent and 28 per cent respectively.

    With 28 per cent increase in net earnings per share, the board of the food and beverage multinational has recommended increase in cash payout by 59 per cent. The company is distributing about 75 per cent of net earnings for the year, gradually moving back to Nestle Nigeria’s traditional payout policy of almost distributing net earnings to shareholders. Besides, net assets improved by 47 per cent, underlying increase in equity funds due to improving retained earnings.

    The balance sheet position of the company emerged stronger with better financial structure and improved liquidity.

    Financing structure

    With zero immediate gearing ratio, the proportion of equity funds to total assets improved from 30 per cent to 38 per cent. The proportion of long-term liabilities to total assets dropped from 38 per cent to 33 per cent while current liabilities amounted to 28 per cent of total balance sheet size in 2012 as against about 32 per cent in 2011.

    Nestle Nigeria’s total assets increased by 14.5 per cent from N77.73 billion in 2011 to N88.96 billion in 2012. Long-term assets had increased by about 13 per cent from N55.5 billion to N62.61 billion. Current assets rose by 19 per cent to N26.36 billion as against N22.21 billion in previous year. Total liabilities remained almost flat at N54.78 billion in 2012 compared with N54.52 billion in 2011. Current liabilities stood at N25.18 billion as against N24.82 billion while long-term liabilities slipped from N29.70 billion to N29.60 billion. Paid up share capital remained unchanged at N396 million. Shareholders’ funds meanwhile grew by 47.3 per cent from N23.21 billion in 2011 to N34.19 billion in 2012.

     

    Efficiency

    Average number of employees increased marginally from 2,168 persons in 2011 to 2,179 persons in 2012. The company’s cost efficiency improved during the year as the company reined in relative cost of sales. Average cost of sale per unit of sale decreased in 2012, providing early headroom for profit growth. While average cost per staff increased from N5.21 million in 2011 to N6.08 million in 2012, average contribution of each employee to pre-tax profit improved from N8.39 million to N11.50 million.

    Overall outlook suggests improved productivity alongside the improvement in cost efficiency. Total cost of business, excluding finance charges, dropped slightly from 78 per cent in 2011 to 77.7 per cent in 2012.

     

    Profitability

    Nestle Nigeria recorded appreciable improvements in both underlying and actual profit and loss items. Substantial growths in sales and profit translated into equally significant increase in cash distributions to shareholders. The congruence between outward profit and loss items and key indices indicated a major rebound for a company that had struggled with higher costs and declining margins in the previous year.

    Total turnover rose by 19 per cent from N97.96 billion to N116.71 billion. Cost of sales increased by 16 per cent from N57.37 billion to N66.54 billion, providing impetus for 46 percent increase in gross profit from N40.59 billion to N59.17 billion. Total operating expenses however rose by 27 per cent from N19.08 billion to N24.18 billion. With about 72 per cent reduction in interest expenses from N3.32 billion to N939 million in 2012, profit before tax rose by 38 per cent from N18.2 billion to N25.05 billion. After taxes, net profit increased by 28 per cent from N2.08 billion to N2.67 billion.

    Earnings per share stood at N26.67 in 2012, representing an increase of 28 per cent on N20.81 recorded in 2011. Gross dividend increased by 59 per cent from N9.95 billion for 2011 to N15.85 billion for 2012, representing dividend per share of N20 for 2012 as against N12.55 distributed for 2011. Net assets per share also improved by 47 per cent from N29.28 to N43.13.

    Beyond the surface, underlying profitability indices improved considerably. Gross profit margin increased from 41 per cent to 51 per cent. Profit before tax margin also improved from 18.6 per cent to 21.5 per cent. Return on total assets stood at 28.2 per cent in 2012 as against 23.4 per cent in 2011. Return on equity however dropped from 71 per cent in 2011 to 62 per cent in 2012. Sustainable dividend outlook diminished slightly with a dividend cover of 1.3 times in 2012 as against 1.7 times in 2011.

    Segmental analysis showed growths across the two business segments. Turnover in the food business improved from N60.73 billion to N70.4 billion while profit in the segment increased from N13.40 billion to N16.05 billion. Sales in the beverage segment also improved from N37.23 billion to N46.31 billion. Profit before tax within the segment stood at N10.04 billion in 2012 as against N8.22 billion in 2011.

     

    Liquidity

    Nestle Nigeria emerged with stronger liquidity, signposted by positive working capital and better financial coverage for immediate liabilities. Current ratio, which measures the financial agility of a company by relating current assets to relative liabilities, improved from 0.90 times in 2011 to 1.05 times in 2012. Working capital/turnover ratio stood at 1.0 per cent in 2012 as against negative rate of 2.7 per cent in 2011. Debtors/creditors ratio stood at 70.8 per cent in 2012 compared with 76.1 per cent in 2011.

     

    Governance and structures

    Nestle Nigeria is a member of the Nestle Group, which holds about 62.76 per cent equity stake mainly through its Ghana-incorporated Nestle CWA Limited. There were no major changes in the board and management of the company. Chief Olusegun Osunkeye still chairs the board while Mr. Martin Woolnough, an Austrian, directs the executive management team. Nestle Nigeria subscribes to many international codes as well as Nigerian code of corporate governance for public companies. The annual report also contained corporate governance report detailing key principles, methodologies and actions. The highest-priced stock at the Nigerian stock market, Nestle Nigeria has also been hailed severally as the icon of good corporate governance. It has usually been the first quoted company to submit its audited report and accounts well ahead of due date and its forecasts are mostly reliable.

     

    Analyst’s opinion

    The latest report underlined the benefits from recent expansions, which have continued to stimulate the top-line performance of the company. With efficient cost management strategy, the company emerged with better profitability. Balance sheet restructuring, with attendant reduction in financing charges, had removed a major snag that had undermined the overall return outlook in previous years.

    The company appears to have found the right mix. Stable cost management strategy, deleveraged balance sheet and aggressive sales growth strategy should provide impetus for future growth. The company should remain focused on this three-prong strategy. Against the background of its market valuation, which had moved closer to historic six-digit level, Nestle Nigeria needs to justify investors’ confidence with higher earnings and dividend yields. Overall, there is reasonable basis to assume that the company would sustain its positive performance outlook.

  • Why Nigeria has the highest interest rate

    Why Nigeria has the highest interest rate

    A combination of factors bordering on the complex to the superficial is responsible for the soaring interest rate regime in the country compared to other parts of the world, experts have said.

    The benchmark interest rate retained currently is 12 percent, which experts have argued, is the highest in the world.

    Interest rate in Nigeria is reported by the Central Bank of Nigeria. Historically, from 2007 until 2013, the interest rate averaged 8.98 percent reaching an all time high of 12 percent in October of 2011 and a record low of 6 percent in July of 2009. The official interest rate is the Monetary Policy Rate (MPR).

    It would be recalled that the International Monetary Fund, (IMF), one of the Brentwood institute had carried out a survey among where it noted that Nigeria ranks among countries with the highest interest rate.

    Dr. Austin Nweze, a political economist and senior lecturer at the Pan African University, said the growing interest rate being witnessed in the country, is as a result of using the foreign exchange as a basis for the nation’s monetary policy rate by the CBN.

    According to him, “The projection of the CBN is that with a stable exchange rate, it would not appreciate so much against the naira. But without doubt, this has implication on the economy generally to the extent that manufacturing and business have to risk borrowing at outrageously high interest rate in order to remain in business.”

    Expatiating, he said, “Unlike in the past when the Assets Management Corporation of Nigeria (AMCON) easily bought over non-performing loans, it has frozen asset acquisition such that the banks are no longer prepared to take moral hazards, a situation where it can give out loans with the hope that someone would cover its back. So, the result is that the few banks that are willing to borrow don’t have any choice but to borrow at highly exorbitant interest rate.”

    Echoing similar sentiments, Mr. Charles Iyore, a financial analyst, attributed the escalating interest rate to the problem of weak price discovery mechanism, non-performing assets as well as an efficient capital market.

    “The price discovery mechanism is very weak and that is what translates to the unstable price regime”, he stressed.

    Besides, he said, “There are many non-performing assets which are where they are not supposed to be. Take for instance, the pension fund, they are simply chasing after government bonds coupled with an inefficient capital market, in which the dividends are not attractive thus the credit being reserved for liability by the banks are based on high interest rate.”

    Henry Boyo, an economist, is also on the same page with Nweze and Iyore.

    According to him, “High interest rate destroys production because of the high cost of production. So, don’t be surprised when houses are being converted to mosques, churches. As a result of high interest rate and we have uncompetitive local products.”

    The apex bank has never hidden its disdain for double-digit inflation, which is one of the reasons while it has left interest rate and other tools at the current level in the past one year. Latest figures by the National Bureau of Statistics (NBS) showed that inflation dropped to 12 per cent in December, from 12.3 per cent in December.

  • Israeli ambassador promises improved patnership with Nigeria

    The new Israeli ambassador to Nigeria, His Excellency Uriel Palti, has promised improved collaboration with the Nigerian Christian Pilgrim Commission (NCPC) for more robust Christian pilgrimage exercise.

    He disclosed this recently during his first official visit to the NCPC corporate headquarters in Abuja.

    The ambassador said: “I will do everything that I can to ease pilgrimage and let more and more pilgrims come to Israel”.

    He further said: “I will work hand in hand with NCPC in order to make pilgrimage easy”.

    Palti also said: The Israeli government is favourably disposed to ensuring that the Bilateral Air Service Agreement (BASA) with Nigeria is signed soon”.

    He thanked the Executive Secretary of NCPC, Mr. John Kennedy Opara, for the great friendship he showed to him, his family and Israel.

    He said it was important to treat your friends as you would treat yourself.

    According to him: “This is the essence of the Bible and this is the way I feel about the Executive Secretary”.

    Earlier, Mr Opara described the ambassador as a “seasoned diplomat and a man of unique character”.

    He told the ambassador that NCPC is the only Christian agency that is linked to the government. He, therefore, called on the ambassador to ensure that the Israeli government always deals directly with the commission which was set up by an Act of the National Assembly to coordinate all Christian pilgrimage activities to Israel.

  • Tsogo Sun invests US$100m in hotels in Nigeria, Mozambique

    Tsogo Sun Group has announced that its plans to invest US$100 million (R900 million) in two projects in Nigeria and Mozambique . This is in line with the group’s growth strategy.

    The project in Nigeria involves the acquisition of an approximate 75 per cent stake in Ikoyi Hotels Limited, the holding company of the Southern Sun Ikoyi Hotel in Lagos . This hotel has been managed by the group for the original developers since opening in 2009. The group’s expected investment, including loan funding, is approximately US$70 million (R630 million).

    The acquisition is subject to several conditions precedent, including regulatory approvals. Shareholders will be notified once these have been fulfilled and the acquisition becomes effective. The acquisition is not a categorized transaction in terms of the listings requirements of the JSE Limited.

    The Southern Sun Ikoyi Hotel has 195 guest rooms and suites, a restaurant, a business centre as well as meeting room facilities. The hotel also has additional land available for future expansion.

    Says Von Aulock: “This acquisition will cement our presence within the fast-growing and progressive Nigerian economy as well as provide a base from which to expand our operations in Nigeria.The investments totalling US$100 million will be funded through a combination of existing offshore cash and new US$–based borrowing facilities’’.

    Tsogo Sun will spend US$30 million (R270 million) to expand its hotel in Mozambique, the Southern Sun Maputo. This will involve a complete refurbishment of the existing 158 rooms , including the bedrooms and public areas as well as an expansion of the restaurant, the addition of 110 new rooms as well as new conferencing facilities. The expansion takes advantage of the unique location of the hotel, extending along the beachfront on the Avenida de Marginal.

    Says Marcel von Aulock, CEO of Tsogo Sun: “The Mozambican economy has shown encouraging signs of growth in recent years, and Tsogo Sun has benefited from a strong trading performance at the Southern Sun Maputo. The group has for some time been planning to utilize the additional land owned next to the hotel and believe that this exciting expansion programme will cement the Southern Sun Maputo as the destination hotel of choice in the city.”

    Tsogo Sun operates hotels in seven African countries, including South Africa, Mozambique, Zambia, Tanzania, Kenya, Nigeria and the Seychelles.

  • Nigeria is a  better place  than its  image outside

    Nigeria is a better place than its image outside

    Dr. Paula Gomes is the only white face in the palace of the Alaafin of Oyo, Oba Lamidi Adeyemi 111. Fast-pacing, quick-talking Gomes first visited Oyo 20 years ago; and ever since, she has been going and coming to the ancient town. Recently, the Alaafin of Oyo noticed her interest in the culture of Yoruba people and the monarch honoured her by making her his Cultural Ambassador. In this interview with GBENGA ADERANTI, this Portuguese shares her experience in Oyo in the last 20 years and why she has embarked on a crusade to preserve Yoruba culture. Excerpts:

     

    What do you really do for Alaafin?

    I’m the Culture Ambassador for Alaafin.

    How did you meet Alaafin?

    My first contact with Alaafin actually was the beginning of last year, but I have been in Oyo already for a while, coming and going.

    What were you doing in Oyo before now?

    I came to Oyo because of the culture. I used to come to Nigeria while I was a student of History about 20 years ago. I know Yoruba land though I cannot say very well but quite well; 20 years ago was the first time I came to Oyo and I thought there was no more culture in Oyo. When you talk about culture, culture is in everything, food, literature, the way you dress. All this time while I was a student, I always shuttled between Osogbo and Oyo. With time and mixing together with people, I saw that a lot of cultures came from the ancient town of Oyo Ile. That is why I actually came to Oyo to make more research on it.

    Does that mean you are leaving Oyo after the completion of your research?

    No, I’m not going to leave, I’m just telling you that while I was a student, I used to come to do research and after that I came to Oyo not on my private interest to know more but because Oyo had nothing to offer more about their own culture. If you go back to the history, you will know that Oyo Empire dominated all the kingdoms in Yorubaland and you as well know that it was when Alaafin Sango was a very strong king ruling, actually during the 7th or 8th century, that the influence of Oyo Empire in Yorubaland was massive. And much of the culture in our day not only in Yorubaland but also in the Diaspora, everything was connected to Sango. That was why I came here to know more about him and like I said, I have been around for four years. There is a lot here to be preserved because that is the history of a ethnic group that has survived outside and is really appreciated.

    In Europe nowadays, we are looking for the ancient culture that has something to give to the humanity because what we are expecting from life is to live long and to live long with quality, you can have a good car, you can have lots of money but if your body is not in the equilibrium, if you die young, what is the essence of life? Life is long life with quality and quality means first of all, your body has to be strong, has to be healthy and the philosophy and the knowledge of the Yoruba is like the philosophy and culture from India and China.

    Acupuncture from India is based on lots of ancient culture, they are very similar to Yoruba culture. What we are looking for is that deep knowledge of Yoruba which they have about the nature, that you can find the equilibrium between the body and the spirit, because Yoruba believe that there is one God who is called Olodumare. Then this Creator has created, and when He created the earth, He sent the energies to the earth which are divided into four elements and these are known all over the world: water, you cannot live without water; air, you cannot live without air, that is oxygen; fire and earth.

    These are the four elements that the Yoruba people believe and if you go to other ancient cultures, all of them are the same. They are all talking the same language. So the Yoruba people like to personify those energies like other ancient cultures and they believe that if the body, which is the aye; the material life which is also aye and the spiritual life, which is orisa. Orisa is not God; orisa is what you cannot see, it is invisible. You have the visible world which is aye and the invisible world which is orisa, people used to think that orisa is another God, it is not. It is not the correct translation because when you say orisa sango, orisa osun, all the 401 orisa are the invisible power of the nature. They are everywhere in the world. You cannot live without water, you cannot live without air, so people should be very careful when they translate.

    We don’t say Olodumare Sango, Olodumare Osun . When you have the equilibrium of the invisible world, aye and not visible world, orisa, you have what you need to live, you have ase, you have power; it is very simple. These people have philosophy, these people have a very strong knowledge which is given through Ifa. It is an oral history coming from very ancient times like all the other ancient cultures, and these need to be preserved. That is why I’m here, to try in my own capacity to show the Yoruba people that they are very valuable.

    How vast are you in Yoruba language?

    Mo ti gbo die die, sugbon Yoruba ko rorun (I understand smattering Yoruba, but it is not easy).

    How old are you now?

    Normally you should not ask a lady how old she is.

    You should be…..

    (Cuts in) I will not tell you.

    What about your family?

    I have my family, like I said, I go and come back but I have been here for two years without going home.

    I’m talking about your husband and children?

    Well, I will not like to go to my private life; you know that is very private. I will just like to talk generally; I will not like to say anything about my private life.

    Some people spell your name Gomez why is yours Gomes?

    My name is a Portuguese name, it ends with an ‘s’ it is Portuguese but if it is ‘z’, it is Spanish.

    Have you read anything about Suzanne Wenger?

    Yes, I know her very well. Like I said, I’ve been coming for 20 years, I used to be in Osogbo, so I knew Suzan Wenger very well. Actually I can say that she was and she is an inspiration for me because she really tried for Osogbo and Osun State, especially Osogbo. Today, what is there, people should be very grateful because if not for her who fought for it, it would have gone long time ago. She really preserved what people who said were the bush, the history of Osun Osogbo. Every people has its own history. People are crazy to travel abroad to go and see our culture, let me tell you, you have to appreciate your culture as well because we preserve our culture, so you have to preserve your culture as well. That is what I’m trying to do. I know Suzanne very well.

    Don’t you sometimes feel you are going Suzanne Wenger’s line?

    Look, I’m not Suzanne, I don’t want to follow Suzanne’s line, I want to follow my inside. I want to follow what my inside says. Suzanne did what her inside said; me, I’m doing what my inside tells me. So I can never be Suzanne because each individual is unique and special, so I don’t want to imitate Suzanne and I don’t want to be Suzanne. Do you understand me? Suzanne is Suzanne. She was a great person that I have in my heart; I only follow what my inside tells me, so I can never be Suzanne because if I try to be Suzanne, I’m not myself. I’m just doing what I feel is correct to do. I’m not an artist, Suzanne was an artist so I can never try to be an artist but I have passion for this culture because I believe it can give a lot to humanity; the way India people and Chinese people are, they are already giving to the humanity.

    I believe that Yoruba people can give as well but for that to happen, Yoruba must be proud of themselves and they are not, they are losing their own identity, the Indian people are not like that, they preserve their culture and they are proud of it. Chinese people, they are proud of their culture. They teach their own children to continue and today, if you go to Europe, if you’re a VIP, instead of you to go to hospital, you go for alternative medicine. Because we got to a point that we realised that all the chemical medicine you take will cure one part and destroy the other part.

    Actually what you want in life is to live long, it is through the natural thing that your body can stay longer, do you understand? People want to go to Europe, people want to go to America, what kind of life do we live? A lot of people are dying too young through heart attack; the life we live is to go to work and come back home. You know we are an old continent but now we are turning the thing around. We want to go back to what we don’t have anymore; we want to eat bio-ecological, we are tired of plastic food because of cancer.

    If you put a Yoruba child who has nothing inside one compound and you put a white child, which one is stronger? Why do you think Europeans live longer? It is because we have access to medicine for free because the society is organised, but if we don’t have access to medicine and the hospital to maintain us alive, we cannot live the way you people live because you are too close to nature.

    I know you are not in the Niger Delta area, but foreigners are constantly being warned to be wary of Nigeria, do you sometimes get scared that you could be kidnapped too?

    Look, let me talk about myself, I do go to Delta State, I’m not afraid to go. I think that the image which is given to the outside world about Nigeria is different from actually what is happening in Nigeria. I’m not saying that it is not dangerous but Nigerian people are very nice. I think the government should rebrand. For example, when you think about Brazil, you think about football and carnival, but there are people who are still eating from the garbage. There are people when you go outside they will steal your things.

    But when you talk about Brazil, people think about football and carnival, people don’t talk about those who eat in the garbage or people robbing people. I’m in Oyo, nobody robs me, I travel, I don’t have any trouble with anybody. But when you talk about Nigeria, you think about 419; they tell you it is a bad place, why don’t you rebrand it? Nigeria has many things to offer the people outside. People love your culture, people really appreciate your culture but they are afraid because of the image that have been created. If government rebrands the country, I believe that bit by bit, people will start coming because of culture. So there is need to rebrand.

    People go to America; me I don’t have anything to do in America. I studied in America, I went back to Europe because if you go to America, you have to be careful, if you are not careful, somebody may follow his gang and they will shoot you. You train your children to shoot because they can just come and kill you. Do you understand? Everything has to have an equilibrium, Nigeria needs to be rebranded because it has a lot to give to people. I cannot talk about Hausa and Ibo, I can only talk about Yoruba, that is what I know. Yoruba people are beautiful, the culture is beautiful, people are friendly and they should not lose their identity because if they lose their identity, they will never find it. They can never be white, I cannot be black. I have to accept who I’m and people should be free and be proud of what they have.

    The introduction of foreign religion has eroded the belief system of the Yoruba people, what do you think will happen in the nearest future?

    I don’t like to talk about religion because for me it is a private thing, religion is like politics, you are a Christian or Muslim, you are ACN or PDP or whatever. Religion is something that is private, but you know if you go back to the history, it was always a problem with religion, religion tries always to dominate and control and when you talk about Africa, especially West Africa, it has suffered a lot, through the slavery, families were destroyed, alot of blood in the name of money was shed. Religion for me, I respect everybody, I don’t look at people from their religion, I respect people because everybody is special and everybody is a creation of God. So, that is why I don’t want to go deep into religion.

    Religion is a personal belief it is not only going to be today, it is yesterday and going to be tomorrow and the process that is going on now in Nigeria was in Europe before. Life is a mystery and because it is a mystery, people try to control people through religion. Me, I don’t believe in anything, I believe in what I feel because I’m a creation of God but I respect everybody and every belief, if you tell me now that this is what you believe, this chair, I will respect you.

    You were talking about your support for nature and local herbs (agbo), Yoruba herbs are from nature, do you drink agbo?

    Yes of course, it is not only Yoruba, we Europeans we use herbs, we have different herbs, different teas. Why do you eat efo (vegetables), why do you eat all these vegetables? Why? Because you need vitamins and minerals, so the herbs are here to help us but the new sicknesses that are in the world, they are killing people. They are sicknesses that you can cure or maintain but you destroy other parts of your body. This is not a belief, this is science, that is natural science not a belief, a belief is something you cannot prove, but 1+1=2, that is science. Yoruba herbs are science; they are natural science, not a belief. If you are feeling something, you take the herbs, like a natural tea, if you feel better, your body has eliminated what is not good.

    It is not only the Yoruba people that use herbs, if you go to my country, we have alternative medicine which we are preserving, we use alternative medicine. We are no more going to doctors and Yoruba have big knowledge in this science and they are putting it as a belief because culture is part of everything, what you eat is part of your culture.

    At times I wonder why people like you will leave your comfort zone for a place like this where you have to struggle to get things done. What was on your mind when you were coming here?

    It depends on what you call comfort. What is comfort for you?

    Light, good roads etc.

    In life, we cannot have everything, if you have light 24 hours, if you have good roads, we have everything, we stay in AC office, and you leave for AC cars. Lots of people are getting sick because AC is provoking problems in the lungs. A lot of people in Europe are now putting the AC off and now open their windows. I do say we’ve given the experience to them and we want to go back to olden days. In the office we have the AC, we have the car, we don’t have to walk too much. We take the car, we go to the supermarket. We have everything we need from the supermarket, we go home, we have the TV, we get the quality of life. We human beings are meant to live up to 120 years, but at times we don’t live more than 50 and 60 because we need comfort of life, we have no exercise and we eat junk food. Lots of children are born already with diabetes and cancer because they want comfort of life.

    In life, there are positive and negative sides. The individual is responsible for his own life . So we have to look the other way. Most people in our own generation in Europe, we want freedom, they want to live long. We are tired of all this imposing life style, we want freedom, we want relief, we want long life. Most people in Europe are isolated, they live alone, is it not better to live in community? We should live together. Are we meant to live alone inside houses?

    A lot of people in Europe have problem with depression, they have neurotic problem because of the life they live. They are not living the life creature gave us. We are living a plastic life, we are staying alone isolating ourselves, in front of television 24 hours. No exercise, is that a good life? Can our bodies live long? It is not possible. Good life is fresh air, to breathe, to exercise. Good life depends on the concept of each individual. I love privacy, but I want to live long.

    The last time I saw you, you were not wearing Yoruba attire, today, you are not still wearing Yoruba attire, why?

    You know I have to be what I’m, I can never be a Yoruba. I don’t mind, sometimes I dress in batik an indigo or adire. I’m not Yoruba, the same way you are not from my culture. I have to be who I’m and I have to dress the way I feel comfortable. That is why I’m not putting on Yoruba dressing. You people are putting on Yoruba dress because it is beautiful in you, when you put on Yoruba dress, you look elegant. I used to say that and I’m not the only person, that you people have natural beauty; even if you don’t have anything when you dress, even if you go to the market, even if you go to clean something, the way your people dress, you look elegant and it looks magical. So I have to dress the way I feel comfortable with.

    Do you sometimes feel home sick?

    To tell you the truth, no, I don’t feel home sick. Nobody sent me here, I’m here because I want. I feel good, I feel healthy, I feel strong and I feel I’m doing what I like. I’m not the kind of person that wants to stay in the office; I don’t want to live that kind of life people call comfort, I don’t .

    Do you know anything about Ifa (Oracle)?

    I know what I can feel, what I can see; I can never know it well as the native people. Number one, language; for you to really know it very well, you have to start from small because it is a knowledge which is given orally, it is not a written knowledge. And there is something that is very powerful, people from generation to generation transfer this knowledge orally. See how powerful, look, we have to write them. We have to go back to religion which I don’t want to talk about, Christians and Muslims carry the Bible and Koran respectively, and do you see Yoruba carrying anything? Their brain is powerful, you know the level of capacity assimilation you are exercising with your brain but we if we don’t write it down, we forget. The question is why are you destroying all these?

    How have you been coping with the food?

    I don’t have any problem. I eat everything. But I don’t like snake or this kind of frog, I don’t know what they call it, I don’t like it and I don’t like bush meat but I like okete (bush rat) if it is well cooked but all the remaining, I eat everything, eba, amala, fufu, semo. I don’t like so much, but I eat eko (corn paste), moimoi , ekuru (beans paste), ewa (beans).

    What do you really do for Alaafin?

    I’m trying to preserve the Yoruba culture and trying to reeducate the people that they are very important, they are very valuable, that they have a lot of value and they should preserve the culture. I’m trying to promote what is ancient, what is history because without history, how can you tell your children that you are Yoruba? People without history don’t have direction. I’m trying to promote what is in existence because if Yoruba don’t want it, the international people will appreciate it. There is no problem because tomorrow, we are ready to teach your children Yoruba and we are ready to teach your children about your own culture.

    How did you meet Alaafin?

    As I said, I had been in Oyo already and I asked Bashorun (one of the Oyo high chiefs) to bring me to Alaafin because I wanted to meet him. For me, everybody is important, I’m not saying this king is important, this king is not important but relating to history, he (Alaafin) is the strongest king in Yorubaland. I wanted to see him and tell him that he has to preserve his culture and if he fails to preserve his culture, tomorrow, nothing will be there to show to the world. So these were the reasons I wanted to see him.

    How much of support have you gotten on your crusade so far?

    What kind of support?

    Financial support

    Nobody is helping me financially. I’m doing it by myself and now I have a foundation people can support because there is need to preserve the temple, preserve the palace. These monuments, these are culture heritage, there is need for preservation. Why do you want to go to England to see the queen and the palace? For what? Because it is history. So that is why people want to come to Nigeria and see the history of Alaafin, the history of Yoruba. This palace is the biggest and oldest palace in Yoruba land, it is falling apart. I’m trying to raise fund to repair this palace in its old originality so that Oyo children tomorrow will come and ‘say that my grandfather, my ancestors were living like this’ because I can take you to my country and tell you that my ancestors are like this.

    Quite funny, why is it that it is foreigners or Yoruba people abroad that are interested in this project like this?

    Go back to the history, we white people have colonised and have destroyed your culture. We brought our culture, we forced people to change inside and outside. You have lost your identity, you want to be what we are. That is why now people from outside come to support what still exists for you to appreciate.

    If you go to the slavery time, look, all the slaves that went to America, if they did not practise Christianity, they would be killed. What is happening again? I believe what is happening today is that everything that our people destroyed, let’s rebuild it again, we should not be ashamed. The Europeans go to Kenya to see African culture, Africa is beautiful, African people are beautiful, why not Nigeria?

  • Falana visits Jonathan at Villa

    Nigerian lawyer and human rights activist, Mr. Femi Falana  on Friday visited President Goodluck Jonathan at the Presidential Villa, Abuja.

    Even though he did not give details of his visit, he told State House correspondents that it was a private visit.

    According to him, he is a stakeholder in the Nigeria project and has the right to visit the Villa.

    The brief encounter with journalists went thus:

    Why are you here?

    “It is a private visit, it is a private visit.”

    You are a lawyer to Leadership newspaper, is there a negotiation going on?

    “It has nothing to do with that at all, on a very serious note.”

    Has it got anything to do with 2015?

    “No, No, No, it was for the affairs of our country, am a stakeholder, you know that.”

    Falana had recently declared that President Jonathan’s attack on the media was worse than experiences during the military era.

    With the arrest of journalists of Leadership newspapers, he had maintained that the nation was witnessing the progressive proscription of free speech in spite of the much touted respect for the fundamental rights of Nigerian citizens by the Goodluck Jonathan administration.

  • Boko Haram got $3.15 m to free French hostages

    Islamist sect, Boko Haram was paid an equivalent of around $3.15 million by French and Cameroonian negotiators before freeing seven French hostages this month, Reuters reported Friday quoting  ‘a confidential Nigerian government report.’
    It said the  memo did not specify  who paid the ransom for the family of seven, who were all released on April 19.
    Cameroon was said to have  freed some Boko Haram detainees as part of the deal.
    France and Cameroon reiterated denials that any ransom was paid. Nigerian authorities declined to comment.
    Armed men on motorcycles snatched Tanguy Moulin-Fournier, his wife, brother and the couple’s four young children, the youngest of whom was four years old, on February 19 while they were on holiday near the Waza national park in north Cameroon, some 10 km  from the Nigerian border.
    The Nigerian memo,according to Reuters, suggests that 1.6 billion CFA francs ($3.15 million) was paid, but that right up until the last minute Boko Haram leader Abubakar Shekau had insisted on double that, before agreeing to reduce it if some Boko Haram members in Cameroonian jails were freed.
    Reacting to the report, a French foreign ministry official said that France has passed a clear message that it does not pay ransoms. Cameroon government spokesman Issa Tchiroma Bakary said “Cameroon did not pay any ransom”.
    A spokesman for Nigeria’s government declined to comment.
    The report suggests Nigerian security forces decided not to try to rescue the hostages so as not to endanger their lives. A botched rescue attempt of a British and an Italian hostage believed to have been held by Islamist sect Ansaru in March last year resulted in both hostages being killed.
    French news network i-tele reported earlier yesterday  that a ransom had of $7 million had been paid, suggesting either Cameroon President Paul Biya or GDF-Suez had paid it.
    Eight French hostages are being held in the Sahel region, although the fate of one of them is unclear after al-Qaeda’s north African arm last month said it had beheaded Philippe Verdon.
    Hollande has said Paris has ended a policy of paying ransoms for hostages, but suspicion that the country still does despite official denials has been a source of tension with the United States.
    France brushed off an allegation by a former U.S. diplomat that it paid a $17 million ransom in vain for the release of four hostages abducted in 2010 from Niger.
    Hollande told the family of the Sahel hostages in January that the new policy also meant that he had told companies and insurance firms to not pay ransoms.
  • NSE market indices record further depreciation

    NSE market indices record further depreciation

    Weekly transactions on the Nigerian Stock Exchange (NSE) closed on bearish note on Friday as the market indices depreciated further.

    The News Agency of Nigeria (NAN) reports that the market indices dropped by 0.34 per cent following price losses.

    The NSE All-Share Index lost 112.26 points to close at 33,159.08 against the 33,271.34 posted on Thursday.

    Also, the market capitalisation, which opened at N10.64 trillion, dropped N36 billion to close at N10.60 trillion.

    Total topped the losers’ table with N15 to close at N157 per share.

    Nestle trailed with N2.01 to close at N898, while Unilever lost N1.50 to close at N55 per share.

    Cadbury depreciated by N1.29 to close at N32.21, while Dangote Cement lost N1.15 to close at N158.85 per share.

    On the other hand, Ashaka Cement recorded the highest price gain to lead the gainers’ chart by 29k to close at N23.50 per share.

    Dangote Sugar came second on the gainers’ chart with 20k to close at N7.49, while RT Briscoe gained 18k to close at N2 per share.

    GTBank appreciated by 15k to close at N25.55, while John Holt increased by 14k to close at N1.54 per share.

    NAN reports that in all 123.54 million volume of shares valued N1.61 billion transacted in 3,876 deals.

    This is against the 634.71 million shares worth N4.24 billion exchanged by investors in 4,729 deals.

    Skye Bank emerged the most traded stock, accounting for 14.56 million shares valued N81.36 million.

    It was followed by GTBank with 10.66 million shares worth N272.19 million, whille FBN Holdings sold a total of 8.20 million shares valued at N162.24 million.

  • Nigeria saved N4.2tr on manufactured goods, says Aganga

    Nigeria saved N4.2tr on manufactured goods, says Aganga

    Nigeria saved N4.2trillion from the decrease in the importation of manufactured goods in 2012, the Minister of Industry, Trade and Investment, Mr Olusegun Aganga, has said.

    He made this known during the opening ceremony of the ministerial session of the National Council on Industry, Trade and Investment, in Ibadan yesterday.

    Speaking on the theme, Industrialisation as the driver of economic development, revenue diversification and wealth creation, Aganga said the country saved about N817billion due to a decline in the importation of textile, cement and vegetable oil within the same period.

    He said: “In terms of trade, we have done very well. Nigeria’s external trade fell by 4.3 per cent, from N29trillion to about N28trillion in 2012. However, the good and exciting news is that the fall was as a result of a sharp decrease in the value of import from about N9.8trillion to about N5.6trillion by the end of 2012. That was a decrease of about 43 per cent in savings of more than N4.2trillion, which has gone to the increase in the foreign reserves of our country.

    “The last time that we had such a big fall in import, for a country that is largely import dependent, was in 2008 and that fall was about N1trillion. This shows in real sense, a decreasing over-reliance on import for domestic consumption and a significant savings on our foreign exchange. That is why foreign exchange is going up.

    “Specifically, for vegetable oil production, import fell from about N1 trillion to about N577billion; textile imports fell from about N190 billion to N94 billion , representing about 82 per cent decrease; while cement import fell from about N219billion to about N27billion. In total, these three sectors only contributed to more than N817billion to our foreign reserves because we are less dependent on import.”

    The minister noted that the country also recorded significant improvement in non-oil revenue earnings within the last seven years with the non-oil sector accounting for 30 per cent of the nation’s revenue earnings in 2012, as against 15.5 per cent recorded in 2005.

    He said: “Now, if you look at our exports, it has gone up by 15.5 per cent, from about N19.4 trillion to about N22.4 trillion in 2012. In terms of oil and non-oil revenue, in 2005, oil revenue contributed about 94 per cent of our foreign earnings while the non-oil sector contributed only six per cent.

    “If you look at the same statistics in 2012, the oil sector contributed about 69 per cent while the non-oil sector contributed 30 per cent.”

    As part of efforts towards diversifying the nation’s economy, enhance job creation and wealth generation, the minister said his Ministry had begun the implementation of its Nigerian Industrial Revolution Plan, based on areas where the country had comparative and competitive advantage.

    In his opening remarks, Oyo State Governor, Senator Abiola Ajumobi, said the state was committed to partnering the Federal Government to transform the state.

  • Nigeria to manufacture auto spare parts

    The Federal Government plans to begin local manufacturing of auto spare parts soon.

    Making this known to reporters in Lagos, the  Minister of Mines and Steel Development, Muhammed Sada, said the ministry would incorporate products from local manufacturers to realise the plan, aimed at creating jobs.

    He said: “We are working on some projects whereby some of the major automobile manufacturers would be invited to speed up activities in the production of basic spare parts for the motor industry with the hope that we would build it to the level where we would be able to produce motor vehicles.

    “This is where the local manufacturers will come in. We would not be thinking of this kind of programmes without the local manufactuers . They would be part of the framework with which the automobile framework will be built.

    “We are in a strong partnership with them, which we believe would develop the industry, and most importantly, providing the required jobs for the Nigerian people.”

    The minister said the government had decided to leave the development of the steel industry to the private sector, adding that the government would only serve as regulator for the activities within the sector.

    “This has led the government into privatising most of the operations in the sector. The idea is to ensure that a level-playing field and an enabling environment is created for businesses to progress and grow and be the drivers of the achievements that are found in the sector,” he added.