...towards a better life for the people

N150VOL. 25: NO. 62668

ONLINE | www.vanguardngr.com

MONDAY, JANUARY 11, 2016**

Mr & Mrs

How Dickson wonBayelsa Gov poll

Continues on Page 6

•Our victory painful; we lost many of our dear ones — PDP•APC kicks; Ekweremadu congratulates Dickson

When IMF visits,tears follow

Is Lagarde a fairygodmother oreconomic imperialist?

Stock market:Investors loseN455bn in 5 days 17

FG to raise N1trnfrom pluggingrevenue loopholes

8

BAYELSAPOLLS

RESULTTotal Registered

voters 654,493

Accredited Voters242,114

Total valid votes225,520

Rejected votes6647

Total votes cast232167

APC — 86,852PDP —134,998PDM — 1572

By EmmanuelAziken, PoliticalEditor & Samuel

Oyadongha

Y E N A G O A —G O V E R N O R

Seriakae Dickson was,yesterday, returned asthe winner of the BayelsaState governorshipelection. This followedthe declaration of theresults of thesupplementary electionsconducted at theweekend in SouthernIjaw Local GovernmentArea and 101 polling

11

VICTORY—Bayelsa State Governor, Seriake Dickson (centre), flanked by his wife, Rachael (right)and PDPActing National Chairman, Prince Uche Secondus, raising their hands in victory, shortly after INEC's announce-ment, declaring Dickson as winner of the State Governorship election, yesterday. Photo: Samuel Oyadongha

ARMS PROBE:

Osoba group disownsFalae over N100mdonation

CMYK

P.33

OWEILAKEMFA

P.32

HEBRYBOYO

CO

LU

MN

IST

S:

2 — Vanguard, MONDAY, JANUARY 11 , 2016

CMYK

Vanguard, MONDAY, JANUARY 11 , 2016—3

CMYK

4 — Vanguard, MONDAY, JANUARY 11 , 2016

CMYK

Vanguard, MONDAY, JANUARY 11 , 2016—5

CMYK

POCKET CARTOON6—Vanguard, MONDAY, JANUARY 11, 2016

How Dickson won BayelsaGov pollContinues from Page 1

units in six other localgovernment areas. Thesupplementary electionsfollowed the cancellationof the election inSouthern Ijaw and the101 units due toirregularities in thegovernorship electionconducted on December5, 2015.

Dickson, who was thecandidate of the PeoplesDemocratic Party, PDP,polled 134,998 votes totriumph over hispredecessor andcandidate of the AllProgressives Congress,APC, Chief TimipireSylva who polled 86,852votes. A total of 232,167votes were cast in theelection out of which6,647 votes were rejectedas invalid.

Moses Siasia, ayounger brother of

Nigeria’s Under 23football coach, SamsonSiasia, who was thecandidate of the PeoplesDemocratic Movement,PDM, took a distant thirdwith 1,572 votes despitea high-profile campaign.

The declaration of thefinal results by thereturning officer,Professor Zana Akpagucommenced shortly after8.00 p.m. last night andpunctured the highdrama and suspense thathad held many of thestate’s politicalstakeholders for most ofyesterday.

The agents of the PDP,Chief Fred Agbedi andthat of the APC, BarristerDennis Otiotio had in thecourse of the day at thecollation centre,Yenagoa, repeatedlyexchanged accusationsover the conduct of thesupplementary electionsin Southern Ijaw LocalGovernment Area andsome other units where

the elections werecancelled last December.

Earlier in the day, thereturning officer forSouthern Ijaw LocalGovernment Area, Dr.Johnson Dagana haddeclared the result of theelection in the localgovernment area puttingDickson as the winner ofthe contest in the areawith 23,2081 votes.Sylva, who had earlierpredicated his possiblevictory in thegovernorship election toamassing significantvotes to wipe away the30,000 plus lead ofDickson, garnered lastDecember, however,failed to record the upsetin the local governmentarea.

In the end, he got only10,216 votes out of the33,607 valid votes cast inthe local governmentarea that is also the baseof Dickson’s late patronand first civiliangovernor of the state,Chief DiepreyeAlamieyeseigha.

Following thedeclaration of the results,Barrister Otiotio, agentof the APC candidateimmediately renouncedthe declaration ofDickson as the winner,saying the electionshould have beendeclared inconclusive onthe claim that thedifference between thetwo leading candidateswas less than the numberof cancelled votes. Healso allegedirregularities in votingin some sections of thestate.

His claim wasimmediately dismissedby Agbedi, the PDPagent who blamed theirregularities on the APCeven as he acclaimed theperformance of Dicksonas the reason for the PDPvictory.

Ekweremaducongratulates

DicksonFollowing the

declaration of the results,the Deputy President ofthe Senate, Senator IkeEkweremadu, thehighest elected PDPofficial in the FederalG o v e r n m e n t ,congratulated Dicksonsaying the victory wassweet.

He said: “It is a sweetvictory, coming againstall odds. It is a testimonyto the performance andpopularity of GovernorSeriake Dickson and ourgreat party, the PeoplesDemocratic Party, PDP.

“I commend the peopleof Bayelsa State forstanding up to becounted, for protectingtheir democratic rights tofreely choose theirleaders. They have madea resounding statementto the effect that the stateremains a PDP enclaveand that they arecommitted to keeping itso.”

He, however, chargedGovernor Dickson torepay Bayelsans for theirfaith in the PDP and hisleadership credentialswith greatertransformation in hissecond term.

He also enjoined himto reach out to hisopponents for the peaceand progress of the state,while ensuring thatevery part of the state isfairly treated irrespectiveof their political choices.

It was painfulvictory — PDP

The state chapter of thePDP, however, rued whatit described as the cost ofhuman lives it took theparty to achieve victory.

The party stated thisthrough the Director ofPublicity, RestorationCampaign Organisation,Jonathan Obuebite,shortly after thedeclaration of the results.

“It’s painful that thisvictory has come with somuch pain because welost dear ones. Thosewho died are ourbrothers. So many areyet in the hospitalsnursing life threateninginjuries because ouropponents wanted to winat all cost. We wish toexpress our deepestcondolences once againand to assure them thattheir death will not be invain”, it stated.

Obuebite who notedthat the victory wasimportant because itcame the way of the PDPeven in the face ofintimidation, tyranny,threats and violentattacks, added that“despite the challenges,democracy won.”

He said: “We want touse this opportunity tosincerely thank allBayelsans for theirdoggedness andpatriotism because evenin the face of such

terrible intimidation andviolence decided, out oftheir own volition, theycame out to re-elect andreturn the CountrymanGovernor to office for thenext four years. We aregrateful for yourremarkable decision asexpected in ademocracy."

Dicksonthankselectorate,says nocelebration

In his acceptancespeech, Bayelsa StateGovernor, Henry SeriakeDickson, thanked theelectorate for ensuringhis re-election foranother four years, butsaid there would be nocelebration because ofthe number of lives thathave been lost.

The governor in anemotion-laden statementsigned by his Chief PressSecretary, DanielI w o r i s o - M a r k s o n ,released to journalistslast night in Yenagoa,however, vowed that hewould do everythingpossible to identify theperpetrators and bringthem to justice.

He promised to worktirelessly to justify themandate given to him “aswe tried to do in the firstfour years to almostu n i v e r s a lacknowledgement andapprobation.”

While extending a handof fellowship to hispolitical opponents,Dickson said sinceelection has been wonand lost, the needs ofBayelsans, the challengeof improving theirmaterial condition remainsand is even more urgent.

The text of theGovernor ’s statementreads thus: “My goodpeople of Bayelsa State, Iam extremely humbledtonight on the valiantefforts you made torevalidate the mandateyou gave me four yearsago. With all manner offorces arrayed against usnot least the utterdesperation of our politicalopponents, community

after community led bywomen and youth stoodgallantly to defend thesanctity of their votes andto resist the efforts ofhoodlums who stylethemselves as “militants”to undermine thedemocratic process.

“To the extent that thepeople ensured that theyspoke loud and clear andthat their choice clearlyemerged provides somereassurance that ourdemocracy is coming ofage. Sadly however theelections were conductedat the price of several liveslost and mayhem visitedon many communities bymindless brigands clearlysuborned by those who donot respect the democraticprocess and have equallyscant regard for thesanctity of lives andproperty. Unfortunately,we can’t celebrate becausepeople have died.

“I want to assure youthat we will do everythingpossible to identify theculprits and bring them tojustice. I want to expressmy heartfelt condolencesand sympathy to thefamilies of the innocentvictims of the violence.The government will beundertaking a full accountof what happened.

“The mandate you havegiven us having beenclearly demonstrated, Iwant to assure you that myadministration will worktirelessly to justify thismandate as we tried to doin the first four years toalmost universalacknowledgement andapprobation. The presenteconomic climate in thecountry may be very harshwith the precipitous slidein oil revenues but I wantto assure you that we willcourageously tackle thechallenges of economicand social developmentwith renewed vigour.

“Here I will like toextend a hand offellowship to our politicalopponents. The electionhas been won and lost butthe needs of our people,the challenge ofimproving their materialcondition remains and iseven more urgent. Thatshould now be the focusof all our attention andefforts.

“God bless the valiantpeople of Bayelsa.”

INSPECTION: From left; Deputy Governor of Central Bank of Nigeria,CBN, Economic Policy, Sarah Alade; CBN Governor, Mr. Godwin Emefiele;GM, Process and Site Coordinator, Dangote Fertilizer, Anuraj Jaiswal andPresident of Dangote Group, Aliko Dangote during the inspection of theDangote Refinery and Fertilizer Plant, by the CBN officials, yesterday.

CMYK

IT'S UP TO YOUBY AYO ADIO

TAKE HEARTBY ELLA RANDLE

SAYINGS OF OUR PEOPLE

THE grashopper says it has given birth toa baby, but whether the baby learns how

to dance or not, depends on the baby.

Love is giving others the freedom to be—TakeHeart Quotes

LEARN to live without attachment to things orpeople. in the song of life. It does not matter

who is dancing away from you but rather moresweetly who is singing in harmony with you. Begenerous, tender and yet strong enough to stand byyour decisions.

Learn to yield and bend. Be flexible in yourdealings with others. Always choose kindness overbeing right. Fill your heart with gratitude andpractice radical humility. See the miracle of love ineverything and everyone.

The reason many fail to realise their dreams isn’treally because the lacked the requisite support butbecause it was never tied to a genuine purposeoutside of them. It's up to you.

Vanguard, MONDAY, JANUARY 11, 2016—7

Navy nabs 11suspected oilthieves inDeltaUGHELLI—THERE was

tension, yesterday, atUpper Afiesere Junction,Ughelli, as a combined team ofpolicemen and vigilanteengaged a gang of suspectedarmed robbers in a shootout,

Police kill 2 robbery suspects in Ughelli shootoutduring which two of the banditswere killed.

A senior police officer attachedto the Ughelli ‘A’ Division, whospoke on grounds of anonymity,said that a police patrol teamwas drafted to the robbery sceneat 1.10p.m., following a tip-offon the operations of the

hoodlums.The source gave the identities

of the suspects killed in theshootout as Orido Kess andSimple.

The source said: “On sightingthe team, the hoodlumsnumbering four, opened fireleading to a gun duel, resulting

in the death of two suspects.Two others escaped into astream with bullet wounds.”

Items recovered from thesuspects were two motorcycles,a cut-to-size double-barrelledgun, one locally-made pistol,four expended and two livecartridges.

By Perez Brisibe

THE Nigerian Navy inDelta State has handed

over 11 crew members ofthe MT Camille to police.They were apprehendedfor alleged illegal oilbunkering.

Cdr. Shehu Tasiu, BaseOperation Officer, WarriNaval Base, handed overthe suspects in Warri,yesterday.

Mr. Shawulu Dan-Mamman of the SpecialInvestigation Panel, SIP,received the suspects andinspected the vessel, whichis currently in the custodyof the Navy in Warri.

Tasiu told newsmen thatNaval personnelintercepted the vessel andits crew on November 14,2015 during routine patrolon Forcados Offshore,Burutu Local GovernmentArea of Delta.

He further said thevessel was laden withabout 4,000 metric tonnesof product suspected to becrude oil.

He said the previousnames of the vessel wereLAURENTUS (1988),MIRAGE (1988-2003),BARONES (2003-2006)and MELVIN (2006).

The suspects and thevessel were earlier paradedat the naval base onNovember 27 before theFlag Officer Commanding,FOC, Central NavalCommand, Yenagoa, RearAdmiral Apochi Suleiman,who described the act as“economic sabotage.”

LAGOS—PLANS by a 25-year-old company driver to

divert the company’s vehiclefrom Lagos State to OgunState has been foiled byoperatives of the RapidResponse Squad, RRS,following his arrest alongsidean alleged accomplice.

On interrogation, thesuspect, Daniel Oguntade,alleged that he washypnotized by his pastor(names withheld), to divertthe company ’s vehicle, aToyota Hiace, 2014 model, withnumber plates EKY 463 DM.

Vanguard gathered thatOguntade was directed to pickup a client at the airport and,thereafter, drop N150,000 withother people on December 24,2015.

Apprehension, however, setin when he did not return at8p.m. as expected, with thevisiting client stranded at theairport. Efforts to reach himproved abortive as hereportedly ignored severalcalls to his phone.

When the informationreached Lagos StateCommissioner of Police, Mr.Fatai Owoseni, he reportedlydirected the Commander, RRS,Olatunji Disu, to unearth the

circumstances surrounding thedisappearance of the driverand the company’s vehicle.

With the collaboration ofpolicemen at the Sango AreaCommand, Ogun State, the carwas said to have been tracedto Ifo in Sango, where thedriver and a man, laterdiscovered to be an electrician,were allegedly trying todisconnect the tracking devicein the car.

Suspect’s storyOguntade told Vanguard: “I

had no intention of divertingthe vehicle. My pastor talkedme into doing it.

“I have been working for thecompany for three yearswithout any soiled record. Mysalary is N60,000.

“I suspect I was hypnotizedby my pastor (nameswithheld) because while I wason the Third Mainland Bridgeat 11.30a.m., heading for theairport, I received two calls;one from my dad, informingthat my mother was sick andthe other from my Pastor,ordering me to reportimmediately at the churchlocated at Adiyan, Ogun State.

“As if propelled by forcesbeyond me, I proceeded to thechurch in the company ’svehicle.

“On arrival, my pastor toldme to drop the hampers in thechurch, even when I told himthat my boss directed me togive them to some clients.

“He reminded me that thatday was Imoke day, a specialservice day and asked me tojoin the service.

“A church member, OyetadeAde, accompanied me to thefuel station to fill the tank. Butto my surprise, the car refusedto start while at the fuelstation. Time was 7.30p.m.

Tracked down“When I called my pastor to

inform him about thedevelopment, he said I shouldtell my boss that the vehicle hadbeen snatched by robbers,including the hampers andcash. I could not pick my callswhen my boss called and whenI eventually picked it, I couldnot talk.

“I never knew the vehicle hada tracking device. I thought ithad an electrical fault that waswhy I called an electrician torepair it. To my surprise, RRSmen swoop on us.”

Police sources told Vanguardthat when invited, that thePastor denied Oguntade’s

‘I was hypnotized by pastorto steal company’s car’

By Evelyn Usman

ARRESTED: Some of the suspects arrested in connection with the robberies at the National Theatre and Ijora area ofLagos State.

... pastor denies himclaim.

The suspects were, yesterday,transferred to the Special Anti-Robbery Squad, SARS.

LAGOS—OPERATIVES ofthe Rapid Respond Squad,

RRS, of the Lagos State PoliceCommand, weekend, arrested11 suspected members of arobbery gang that specializedin attacking fun seekers at theNational Theatre and otherparts of Ijora area of the state.

The suspects, as gathered,attacked a female trader,dispossessed her of N250,000Saturday, while otherunsuspecting fun seekers hadtheir valuables forcefully takenaway. The gang was at theverge of attacking anothergroup of ladies when RRSoperatives swoop on them.

Sighting the policemen, therobbers took to their heels, butone of them, Onuwa Friday,who was recently released fromprison, was arrested.

Police sources hinted that anempty hand bag, later identifiedas that of the trader, wasrecovered from Friday. Sourcessaid the suspect’s confessionalstatement led policemen to thegang’s hideout around Ijorabridge, where 10 othersuspected members of the gangwere apprehended.

The suspect told Vanguard:“We went to Costain, oppositethe National Stadium to rob.It was Kowasibe (anothermember of the gang) thataccosted the lady in whosebag we found bundles of nairanotes in N500 denomination.Kowasibe was the only onearmed. The gun was used toscare our victims.

“I just finished serving ayear jail term. I was arrestedover the crisis that broke outin Ajah during electioneeringcampaign in 2013.”

RRS nab 11 overNational Theatre attacks

By Evelyn Usman

CMYK

8—Vanguard, MONDAY, JANUARY 11, 2016

ARMED FORCES REMEMBRANCE DAY: From left, Speaker, House ofRepresentatives, Yakubu Dogara; Vice President Yemi Osinbajo; Secretary to the Govermentof the Federation, Babachir David Lawal; Permanent Secretary, Ministry of Defence, Amb.Danjuma Sheni and Chief of Defence Staff, Maj.-Gen. Abayomi Olonisakin, during the 2016Armed Forces Remembrance Day Inter-Denominational Church Service at the NationalChristian Centre, Abuja, yesterday.

FG to raise N1trn fromplugging revenue loopholesAs poor funding may limit results of anti-graft agencies

By Emeka Anaeto,Economy Editor

LAGOS — WITH concerns over2016 deficit funding, the

Federal Government is looking atraising over N1 trillion fromplugging revenue loopholes aspressures mount against therevenue estimates in the 2016budget.

This will be coming in additionto plans to raise N350 billion fromrecoveries of stolen funds in theon-going anti-graft war.

The 2016 budget financing plan,according a Finance ministrysource, envisages significantrevenue from blocking leakagesexpected to yield over N1.0 trillionduring the 2016 fiscal year.

The Nigeria Customs Service,NCS; Nigerian NationalPetroleum Corporation, NNPCand the Nigerian Ports Authority,NPA, are the main targets for thisrevenue source.

The breakdown of the revenueside of the budget with the ministryshows several unconventionalsources of funding for the budget.

Waste reductioninitiatives

Key among them includes arevenue optimising measureexpected to be complemented byinitiatives meant to reducewastage of public funds such asthe recently established EfficiencyUnit meant to identify andeliminate wasteful spending,duplication and otherinefficiencies across Ministries,Departments and Agencies(MDAs).

Other waste reduction initiativesinclude engagement of costingexperts to scrutinize the 2016budget proposals with a view tofurther improving efficiency. Also,government intends to extend theIntegrated Personnel PayrollInformation System (IPPIS) to all

MDAs in order to maintain alean payroll.

With a projected revenue ofN3.86 trillion in the face ofdwindling crude oil receipts,government estimates that oilrevenues contribute N820 billionof the total revenue; non-oilrevenues, comprising CompanyIncome Tax (CIT), Value AddedTax (VAT), Customs and Exciseduties, and Federation Accountlevies, are expected to contributeN1.45 trillion whileindependent revenues areexpected to contribute N1.51trillion through the enforcementof the Fiscal Responsibility Act,2007 and public expenditurereforms in all MDAs.

Remittance ofindependentrevenues

In addition, the governmentintends to significantly improvethe collection and remittance ofindependent revenues fromgovernment agencies with thefull implementation of theTreasury Single Account (TSA).

A Finance ministry source,who said the budget breakdownwould answer all the posersraised by critics of the budget,explained that the delay inputting the budget together wasas a result of the difficulties inbalancing Nigerian’sexpectations with realities onground.

One of the key posers thebudget elicited was the revenueshortfalls against increasedexpenditure where the budgetenvisaged to fund the deficitwith about N1.8 trillionborrowing whereas the entireestimated revenue based on oilprice of USD38 per barrelappears unrealistic, as oil priceshave since crashed below thebenchmark.

The crash has already madeboth the size of the budget deficitand the matching funding alsounrealistic while creatingadditional deficit and fundinggaps, while price recovery onsustained basis is not expectedsoon, according to internationalenergy experts.

The finance ministry sourcealso indicated that only N67billion increase in tax revenue isexpected as the government isnot going to increase tax, but willexpand the tax net.

Poor budgetaryallocations toanti-corruptionagencies

The budgetary provisions foranti-corruption war, according tosome analysts, however, appearinconsistent with the hard lineposition of PresidentMuhammadu Buhari as only amarginal 3.1 per cent increasewas effected in their budget whilemany of them had theirallocations significantly slashed,thus strengthening the concernof those routing for pleabargaining option.

Only four of the total ninefederal agencies involved in anti-corruption activities gotincreased budget.

One of them with majorincrease in its budget was FiscalResponsibility Commission,FRC, at N494 million, about 47per cent increase from N336.8million it received in last year’sbudget.

Other major increases were forBureau of Public Procurement,BPP, and Nigeria ExtractiveIndustries TransparencyInitiatives, NEITI, which had a40 per cent increases eachreceiving N1.4 billion against2015 amount of N1.0 billion.

Arms probe: SERAP sendsan open letter to Jonathan

LAGOS— SOCIO-ECONOMIC Rights and

Accountability Project, SERAP,has sent an open letter to formerPresident Goodluck Jonathanseeking explanations from himon what he knew on thediversion and sharing of over$2 billion meant for purchase ofarms to fight Boko Haram.

SERAP’s Executive Director,Mr Adetokunbo Mumuni, in aletter, which read in part, said:“SERAP is sending you thisopen letter to seek explanationsfrom you, as former Presidentand Commander-in-Chief of theNigerian Armed Forces, onwhat you knew, or had reasonto know on the apparentdiversion and sharing of the over$2 billion meant to purchasearms to empower Nigeriansoldiers to fight Boko Haram.

“SERAP considers that thereis enough material in the publicdomain to suggest that over $2billion meant for purchase ofarms to equip Nigerianssoldiers fighting Boko Haram inthe North East of the countrywas diverted and shared amonghigh-ranking government andparty officials under your watchas President and Commander-in-Chief of Nigerian ArmedForces.

“SERAP and indeedNigerians reserve the right topursue justice throughappropriate national andinternational accountabilitymechanisms to ensure thateveryone involved in thisheinous crime is brought tojustice in accordance withinternational standards of

fairness.“Is it correct to suggest that the

budget of over $2 billion topurchase arms for Nigeriansoldiers fighting Boko Haram inthe North-East of the countrywas authorised by you or youroffice? In other words, did yourformer National SecurityAdviser (NSA), Col. SamboDasuki (retd) seek your approvalto collect from the Central Bankof Nigeria the over $2 billionmeant for purchase of arms forNigerian soldiers?

“If so, Nigerians would like tohear from you whether theapparent diversion and sharingof our commonwealth by yourformer NSA was expressly orimplicitly authorised by you.

“Is it then correct to suggestthat the former NSA implementspresidential decisions and notmake them? If so, is it also correctto suggest that the apparentdiversion and sharing of the over$2 billion meant for purchase ofarms was a presidential-leveldecision and that you signed offon it?

“Is it not correct to suggest thatyour administration acted on thebasis that it was essentiallyunrestrained by international orNigerian law in engaging in orencouraging the apparentdiversion and sharing of the over$2 billion meant to purchasearms for Nigerian soldiers inorder to protect them againstattacks from Boko Haram andto enhance their ability todefend the territorial integrity ofthe country and provide securityfor its citizens?"

Adeola faults minister of financeover approval of NCC budget

By Henry Umoru

ABUJA — VICE Chairman, Senate Committee

on Communications, SenatorSolomon Adeola, represent-ing Lagos West on the platformof All Progressives Congress,APC, yesterday faulted movesby the Minister of Finance,Mrs. Kemi Adeosun, to ap-prove the budget of the Nige-rian Communications Com-mission, NCC.

According to Senator Adeola,the proposal of the minister tovet the income and expendi-ture of NCC was a breach ofSection 25(2).

Senator Adeola said that theMinister was wrong on hersubmission that Nigerian Com-munications Commission,NCC, among other revenuegenerating agencies shouldsubmit their “budgets for ap-proval”, adding that any at-tempt by the minister of Fi-nance and the supervisingminister to approve the bud-get of NCC in particular wouldamount to a breach of the lawand an encroachment on thefunction and power of the na-tional legislature.

Reacting to the briefing of theminister after the first Federal

Executive Council meeting inthe year, Senator Adeolanoted that under the NCCAct, only the National Assem-bly was empowered to con-sider and approve the budgetof NCC. He said, “I am sur-prised that the minister wasquoted as including NCCamong other agencies re-quired to submit budgets forher and other supervisingministers to approve. As wellintentioned as this may seemin the effort to generate rev-enue and block leakages, it isa flagrant contravention of theNCC Act as well as usurpingthe power of the National As-sembly to approve the budgetof NCC.”

In a statement issued yes-terday in Abuja by the MediaAdviser to the Senator, ChiefKayode Odunaro, the ViceChairman of Senate Commit-tee on Communications whoreferred the minister to Sec-tions 17-21 of the NCC Actthat dwells on the financialprovisions for NCC, said thatthe only fund NCC was man-dated to pay to the Consoli-dated Revenue Fund of theFederation is “all monies ac-cruing from the sale of spec-trum” as contained in Section17(3).

CMYK

Vanguard, MONDAY, JANUARY 11, 2016— 9

CMYK

10 — Vanguard, MONDAY, JANUARY 11 , 2016

NECA hails FG on fuel subsidy removal

COMRADE HASSAN SUNMONU@75th: Governor Rauf Aregbesola of Osun State (left)presenting a gift to the celebrant, former President of Nigeria Labour Congress, ComradeHassan Sunmonu and his wife, Mrs Titilayo, during a dinner in honour of Comrade Sunmonuon his 75th Birthday Anniversary at Government house Osogbo at the weekend.

Lawmaker urges FG, Ambodeto cater for aged, widows

By Victor Ahiuma-young

LAGOS—THE OrganisedPrivate Sector, under the

umbrella of Nigeria Employers’Consultative Association, NECA,at the weekend, commended theFederal Government for theremoval of the fuel subsidy.

The Director-General of NECA,Mr. Olusegun Oshinowo madethe commendation whilefielding questions fromnewsmen in Lagos.

Oshinowo said that though thegovernment said that the newdispensation would be predicatedon what it called “pricemodulation.”

He said that hopefully, the issueof fuel subsidy and its financingwould not surface again ingovernment’s budget.

According to him, it is pertinentfor the government to focus on thepolicy framework as well asincentives that will ensure thatNigeria is self-sufficient in therefining capacity to meet herenergy needs.

However, Oshinowo noted thatthe organised private sector wasexpecting a decisive,unambiguous and explicit policystatement that the subsidy regimehad ended.

He said that the governmentshould also ensure theprivatisation of the four refineriesand jointly agree on a timelineand modalities with Investors onthe utilisation of the licencesalready issued for the setting-upof private sector-owned refineries.

The director-general stated thatthere should be redefinition of therole of the Petroleum ProductsPricing Regulatory Agency,PPPRA, as an ombudsman.

This, director-general said,would ensure compliance withproducts standards and fair

competition that wouldguarantee reasonableness ofproducts pricing.

He urged the government notto delay any further in pursuingthe points listed by NECA.

LAGOS State House of Assembly’s Committees on

Finance and Public Accounts hassaid that the cooperation of eligibletaxpayers is crucial to thesuccessful implementation of thestate’s 2016 budget.

The House passed the state’s2016 N662.58 billionAppropriation Bill on December31, 2015 and GovernorAkinwunmi Ambode signed it intolaw on January 4.

The Chairman, HouseCommittee on Finance, Mr. YinkaOgundimu, said that the budget

performance required both thewill of the Executive arm ofGovernment and the cooperationof residents in tax payment.

Ogundimu said, “It requiresthe government’s will for thebudget to have 100 per centperformance of the electoralpromises made to the people.

“Since the money is not storedsomewhere, it is just expectedincome. We need to do more onInternally General Revenue.

“If about 52 per cent of the 2016budget will be financed by theIGR, so there is need for

everybody to be able to work hardto re-orientate the people on theimportance of paying taxes.”

Also, speaking, the Chairman,House Committee on PublicAccounts (Local), Mr Bisi Yusuff,said that the flow of the expectedincome would determine thesuccess of budget, in terms ofimplementation.

“If all taxable adults in LagosState pay their taxes, you couldimagine what the state would begetting. We may not even have todepend on the FederalGovernment anymore,” he said.

BUDGET: Lagos lawmakers hinge success on taxpayers

B A D A G R Y —A member of the

House of Representativesrepresenting Badagry, Mr.Hontoyon Bamgbose hasdemanded that the FederalGovernment and GovernorAkinwunmi Ambode ofLagos State instituteprogrammes for the agedand widows in the country.

Bamgbose, who made thedemands weekend whiledisbursing cash and otheritems to the aged andwidows in Badagry,lamented they (aged andwidows) were often

neglected to cater for theirneeds.

His words; “Many of ustend to forget these set ofpeople in the society as ifthey weren’t once active.Due to the neglect, theystarted to experienceemotional depression. Thishas sent larger percent ofthem to their early grave.”

However, he said; “Theonus is on us - the publicofficeholders, wealthyindividuals, relatives togive them a sense ofbelonging by giving out ourwidows might to them.”

Ogunpamarketto wearnew look

THE planned re-design and re-

development of the popularOgunpa Market, Ibadan,by the Oyo StateGovernment through thePublic Private Partnership,PPP, arrangement willcommence today.

The project is expected toaccommodate more than1,000 shops, as well asmodern socialinfrastructure.

The developmentfollowed a meeting heldbetween the stakeholdersand the state governmentat the House of Chiefs,Parliament Building,Ibadan, on Friday.

It will be recalled thatgovernment’s resolve totransform the marketthrough a PPParrangement hadgenerated tension amongthe traders and otherstakeholders.

Some of the traders hadexpressed the fears thatsince the project would beexecuted by a privatedeveloper, they might notbe able to afford the cost ofthe shops, which they saidmight be exorbitant.

Besides, they wereworried that the originaltraders in the market mightbe shut out uponcompletion, while thecompleted shops might beallocated to influentialpeople who presently hadno stake in the market.

The fears were, however,assuaged at the meeting,which was attended by therepresentatives of the stategovernment; theChairman, Oyo StateMarket Advisory Council,Alhaji Dauda Oladapo; hisdeputy, Mrs. Abake Lawal;and other markets leaders.

E-11 vows to fight alleged misrule, impunityin Ekiti

By MonsurOlowoopejo

EKITI-ELEVEN (E-11), a socio-political

non-aligned group in EkitiState, yesterday asked allindigenes of the state to joinforces with it to end misrulein the state.

The chairman of thegroup, Mr. Femi Ajiniran ina statement, added that thegroup would fight those whotrample on people’s rights inEkiti State, adding that itwould not accept or entertainany form of anti-democratictendencies in the state.

He added that the group“has been called all sorts ofnames. We, however, remainunperturbed and as constantas the northern star. Ourgood intentions alwaystriumph at the end and weemerge stronger.

The chairman noted thatE-11 “will never for oncesupport bad against good.We will rather travel alonethan to journey with theevil men of the society.Despite the challenges,we are always giving ourbest to the society.”

Ajiniran said E-11 wouldcontinue “to play the roleof a social crusader andfight those who trample onpeople’s rights. We areagainst misrule, we areagainst abuse of power andwe are against any form ofa n t i - d e m o c r a t i ctendencies.”

But in a statement, hesaid it had to celebrate theappointments of the state’sformer governors, Dr.Kayode Fayemi, ChiefSegun Oni and a lawmakerin the 7th Senate, SenatorBabafemi Ojudu.

“We acknowledge thatthings have not beenalright with our people, butthey should be assured thatwe have not abandonedthem. We are with them inthe liberation struggle. Wewill not be swayed in ourusual resolve to ensure thatEkiti attains its primeposition in the comity ofstates in Nigeria andbeyond,’’ he said.

CMYK

Vanguard, MONDAY, JANUARY 11, 2016 — 11

Fake Buhari aides nabbed overattempt to defraud Fayose

No Lassa fever case in Oyo — MINISTRY

I’ll pursueYoruba unitywith passion— OONI

VISIT: From left; Executive Director (Finance and Administration) NICON Insurance Plc,Mr Steve Ojo; Minister of Solid Minerals Development, Dr. Kayode Fayemi; ManagingDirector, NICON Insurance, Mr. Bayode Samuel; and Executive Director , Marketing, AlhajiKamal Hammed; during a visit by NICON management team to the Minister in Abuja.

ARMS SCANDAL : Osoba group disowns Falae overN100m donation

AFAO-EKITI (EKITI)—TWO men, who claimed to

be President MuhammaduBuhari’s private security aides,were at the weekend, arrested atthe Afao-Ekiti country home of theEkiti State Governor, Mr AyodeleFayose for presenting themselvesas staff of the Office of the NationalSecurity Adviser, ONSA, withinfluence over the report of themilitary panel set up to investigatealleged involvement in partisanpolitics by some soldiers andofficers during the 2014/2015governorship election conductedin some states such as Ekiti,Osun, Rivers and Akwa-Ibom.

The two men, Benedict OlaIdega and Abdulsalami LeaderH. claimed that they already hadthe preliminary report of themilitary panel and that with thecooperation of the governor, theycould manipulate the final reportif necessary.

They also said the army panelreport was targeted at some toparmy officers that the FederalGovernment wanted to punish.

Governor Fayose, who wassuspicious of the men’s realintentions, had informed the StateCommissioner of Police andDirector of the State SecurityService, with the Police

Commissioner already putting menof the State Anti-Robbery Squad,SARS, on standby.

The two men, in a meeting withthe governor presented what theycalled a photocopy of page threeof the preliminary report to showthat they meant business. Thepurported copy of the page threebore the Nigerian Army's logo.

After turning copy of pagethree of the purportedpreliminary report, the governorgave the impression that he wassatisfied with all that they saidand asked them to wait in hiswaiting room for him to showappreciation.

He then called in theCommissioner of Police and SSS

Director, who in turn askedtheir men to move in andarrest the two men.

The identity card found onAbdulsalami Leader H bore“GMB SECURITY” and itwas stated at the back thathe (Abdulsalami) act assecurity for PresidentMuhammadu Buhari withNumber 34, Lobitto Crescent,Wuse II, Abuja as issuer’saddress and 088133636478and 08057010255 astelephone numbers.Benedict Ola Idega was withthe identity card bearingFederal Capital DevelopmentAuthority, FCDA.

The two men, who lodgedat a popular hotel along BankRoad, Ado Ekiti are now beingdetained at the PoliceHeadquarters, Ado Ekitialongside another suspectedaccomplice, who was found intheir hotel room whenpolicemen visited the hotel fora search.

Special Assistant to thegovernor on PublicCommunications and NewMedia, Lere Olayinka, whoconfirmed the incident saideven though it has beenestablished that they wereimpersonators, the realintention of the men was yetto be ascertained.

He said; “We don’t want topre-empt the security agentsthat are already investigatingthe incident. But it is certainthat they have ulterior motives.We are also not ruling out thepossibility of an attempt to set-up the governor, obtain moneyfrom him under false pretenceor even harm him.

“Therefore, we expect thatthe security agencies will dotheir job thoroughly byascertaining their real motivesand their other accomplices.''

By Rotimi Ojomoyela

ABEOKUTA—THE SocialDemocratic Party, SDP, in

Ogun State has broken its silenceover the controversial N100 millionallegedly collected by its NationalChairman, Chief Olu Falae fromthe former Chairman Board ofTrustees of the Peoples DemocraticParty, PDP,, Chief Tony Anenih,saying, contrary to Falae’s claimsof distributing the money to statechapters of the party, it did not getany money from him.

The money was allegedly linkedwith the $2.1 billion arms fundbelieved to have been mismanagedby former National SecurityAdviser, Sambo Dasuki.

Falae had admitted receiving

N100 million from Anenih.The party, which was under the

control of former governor of thestate, Chief Segun Osoba in astatement jointly signed by itsChairman, Olu Agemo and theSecretary, Clement Adeniyiyesterday in Abeokuta, declaredthat it was never notified of orinvolved in any negotiation topartner with the PDP or anyother party for the purpose ofwinning the election ormaintaining peace during theperiod as claimed by Falae.

According to the party, ''We werenever informed by the NationalSecretariat of our party of thedecision to adopt former PresidentGoodluck Jonathan or any othercandidate as the party’spresidential candidate.

“That, we were never informed of

any donation of funds to the partyby the PDP or any other party.

“That the SDP in Ogun State didnot receive any financial orcampaign logistics assistance fromthe national secretariat of our partyor any of its principal officers.

“That in April 2015 we made ourposition clear on the sources of ourcampaign funding throughadvertisement in the Guardian,Vanguard, Punch and Tribunenewspapers of Monday April 20,before the current revelation.

“We plead with our members andsupporters who have received thisuntoward revelation with greatshock to remain calm and await theconvocation of a general meetingwhere these issues shall bethoroughly discussed andappropriate decisions taken,''the statement read.

.

By Daud Olatunji

ADO EKITI—THEOoni of Ife, His

Imperial Majesty, Oba EnitanOgunwusi, has declared thatthe peace and unity of Yorubanation would be central in hisreign.

Oba Ogunwusi saiddisunity in the ranks of therace, due to politicaldifferences among othersundry issues have denied theYoruba race its leadership rolein the country’s political andeconomic sectors, despite theintellectual power andmaterial resources available tothe race.

The royal father made thestatement at the weekendwhile playing host to membersof the Afenifere RenewalGroup, led by its NationalChairman, Hon Wale Oshun,at his palace in Ile Ife, OsunState.

Members of the NigeriaUnion of Journalists,Correspondents’ Chapel, Ekitichapter, also paid similar visitto the revered monarch on thesame day.

Oba Ogunwusi describedthe Southwest as very pivotalto the peace and unity of thecountry, because of itscomplexity in humanresources and being thecommercial hub of the nation.

The monarch added that hisinterest in unity in the zonewas propelled by his love fordevelopment and forprotection of Yoruba history, asthose who have a penchant forexcellence and should be atthe forefront when criticaldecisions are being taken,rather than taking a back seat.

“When I came onto thisthrone through divine favour,I promised to work with all like-minded Yoruba persons tomove the Southwest up in allspheres.

“I have been following thetrends for some time and Irealized that Yoruba is criticalto Nigeria’s survival.Whatever happens in this zonealways affect others, so Ibelieve that if we can ensurepeace here, we will getdevelopment and Nigeria andeven the entire world will beat peace.

“Yoruba is having problemstoday because of lack of unity.This is the time we must assessthe past, the present and makeprojection for the future. Wemust learn how to worktogether regardless of ourdifferences because eachethnic group has a uniquepower that distinguishes itfrom others,'' he said.

IBADAN—OYO StateMinistry of Health has

clarified that no single case ofLassa fever has been establishedin the state since last year whenthe first suspected case wassubjected to clinical tests at thefederal ministry of health’sreference laboratory in Lagos.

This is contained in astatement by the ministry’sActing Director of Public Health,

Dr. Taiwo Ladipo, yesterday,where he insisted that the threesuspected cases reported anddiagnosed at the UniversityCollege Hospital, UCH, had nofeature of the disease.

He, however, cautioned citizensof the state against consumptionof rodents and to avoid contact withthe blood, urine and faeces of ratswhen killing them as a preventivemeasure against Lassa fever.

Ladipo said, “Two suspectedcases of Lassa fever were reportedby the UCH, Ibadan in 2015. Bothcases, though diagnosed at theinstitution, were not verified by thefederal ministry of healthreference laboratory in Lagos. Bothcases had remarkableimprovement and subsequentlydischarged home.

“The last case was reported bythe UCH on December 18, 2015.''

By RotimiOjomoyela

CMYK

12—Vanguard, MONDAY, JANUARY 11, 2016

Youths threaten to shut down oil firm over sack of46 workers

By Davies Iheamnachor

Property owners in Deltaprotest illegal charges forelectricity installation

By Perez Brisibe

Challenges represent opportunity to change Nigeria —OcheiBy Emmanuel Aziken

PORT HARCOURT—NIGER Delta Youth

Movement, NDYM, in RiversState, has threatened to shutdown the activities of an oilfirm, Total E and P NigeriaLimited, in its oil-richenvironment if themanagement of the companyfails to recall the over 46indigenous workers itallegedly sacked.

NDYM said it was ready toclose down the operations ofthe multinational oil companyin Egi Kingdom, Ogba/Egbema/Ndoni LocalGovernment Area of RiversState if the sacked workerswere not recalled.

The group, weekend in PortHarcourt, while expressingworry over the level ofsuffering which the families ofthe disengaged staff of thecompany were facing,described the attitude of thecompany as disrespectful anddemeaning to the hostcommunities and the NigerDelta youths.

Leader of the group, Mr

Major Ekene, said they hadfollowed the case of thesacked 46 workers closely,stressing that the strategyemployed by themanagement of Total E&PNigeria Limited in handlingthe matter was pretentious.

Ekene noted that ratherthan throw people out ofjobs, what was required inEgiland was theemployment of as manyyouths as possible to curb therising tide of criminality andinsecurity in the area.

He said: “The youths haveexhausted all avenues knownto us to call the oil companyto order but Total E&P'smanagement has remainedadamant.

“We demand the immediaterecall of the 46 sacked

workers, the full payment oftheir wages for the period inview, and the immediateconversion of all communitycontract staff to permanentstaff or we are going to closedown the company in threedays time.”

FORMER Speaker ofDelta State House of

Assembly, Mr. Victor Ochei, hascalled for understanding fromNigerians for President

Muhammadu Buhari, sayingthat the present challengesrepresent an opportunity tochange Nigeria in positivedirection.

Ochei, in his goodwill NewYear message, also urged

Nigerians and the people ofDelta State to continue to buildbridges of understanding inorder not to circumvent theexpected gains from theadministration’s reengineeringefforts.

Cleric slams Buhari’s anti-graft war

Ochei, who sought thegovernorship ticket of thePeoples Democratic Party, PDP,in Delta State in the lastelection and also the DeltaNorth Senate seat on the ticketof Accord Party, commendedall those who supported himin his electoral pursuits.

He said: “It is my heartfeltbelief that the presentdispensation represents thechange we can all genuinelybelieve in. It is, as such, withthe deepest sense of rationaloptimism that I am confidentthat by getting it right andkeying into the change era,we shall meet the challengespresented by our presentcircumstances and finally takethis country to its proper placein the comity of nations."

U G H E L L I — T H EApostolic Vicar of

Bomadi Vicariate, BishopHyacinth Egbebo, haslamented what he describedas the high level of impunityand abuse of human rights inthe anti-corruption war ofPresident MuhammaduBuhari.

Bishop Egbebo, in aninterview with Vanguard,

weekend, in Bomadi duringthe consecration of a Catholicpriest under his vicariate,accused President Buhari ofbeing selective in his driveto recoup money said to havebeen stolen from the nation’streasury.

Citing the case of formerDirector General ofNIMASA, Mr. PatrickAkpobulokemi, the Catholicvicar described same assaddening and an abuse of

the dignity and rights ofNigerians irrespective ofwhat charge was broughtbefore them.

“In as much as we wouldwant to commend PresidentBuhari on his zero toleranceon corruption, it is verydisheartening and a risk toour democracy that thePresident would have theimpunity to set aside courtorders under the guise of hisanti-corruption war," he said.

By Emma Amaize

S A P E L E —P R O P E R T Y

owners in Sapele, DeltaState, have raised alarmover a group of persons,who have unlawfully andsuspiciously beencollecting money fromthem under the guise ofelectricity installation inalleged connivance withsome officials of theBenin ElectricityDistribution Company,BEDC, since 2015.

The affected residentsof Mona School, offShell Road, Okirighwre,Sapele, among them Mr.Benson Efeotor, OchukoOkosusu, ChanaiDennis, Mrs AghwanaRoseline, ChristianaOmagaga and GabagaAyayi, in a petition to theAssistant InspectorGeneral of Police, AIG,Benin City, alleged thatthe activities of thegroup might igniteunrest in the area.

In the letter by theirsolicitor, EderogunEtchie, they said thatthe situation heightenedrecently when membersof the cartel parading ascoordinators of thelocality, collected N98,

000 from one Mrs.Roseline Aghwana, whothey referred to officialsof BEDC that asked forN91, 000 to connectelectricity to her house.

They urged the policeto investigate and curtailthe excesses of thealleged coordinators bystopping them fromfurther collection ofmoney, illegalconnection of electricityand paradingthemselves ascoordinators of the area.

Etchie said theproperty owners wereparticularly disturbed, asthe group was denyingthem the use of thetransformer donated tothe inhabitants by theformer memberrepresenting Sapele,Uvwie and Okpe LocalGovernment Areas in theHouse ofRepresentatives, JoyceOverah, to amelioratethe epileptic powersupply in the area.

The residentsreportedly met thechairman, Okirighwrecommunity, ChiefEritobor and youths ofthe area, whocondemned the activitiesof the group.

CMYK

Vanguard, MONDAY, JANUARY 11, 2016—13

I didn't share Jonathan's rice as Xmas gift—Edo PDP gov aspirant

By Gabriel Enogholase

Oshiomhole never deducted money from LGallocations, says former council boss

Barocondemnsattack onDelta Shoprite

By Simon Ebegbulem

By Festus Ahon

Delta royal family denies allocating land for proposedsports varsity

By Kenneth Ehigiator

BENIN—A governorshipaspirant on the platform of

Peoples Democratic Party, PDP, inthis year’s election in Edo State,Pastor Osagie Ize-Iyamu, hasdenied allegations that he sharedrice meant for the presidentialcampaign of former PresidentGoodluck Jonathan in the state ashis Christmas gift to Edo people.

In a statement in Benin,yesterday, he said, “For therecords, Dr. Jonathan or PDPnever brought rice to distribute forthe presidential election in EdoState, so it is impossible tocomptemplate its being diverted.

“It was TransformationAmbassadors of Nigeria, TAN, asupport group for the thenPresident, that sent some 5kg bagsof rice which were given to theparty leadership to distribute andwere never given to me as statecoordinator.

“The rice I shared during the lastChristmas was in 50kg, 25kg, 10kgand 2kg bags respectively. The2kg bags which had the inscriptionof PDP and operation feed Nigeriawas produced by a friend and hisphone number is boldly writtenon the bags. He gave me thesebags free of charge to give to asmany people as possible as giftduring Christmas.

“I stuck my stickers on the bagsafter bagging them to enable therecipients know where the rice

came from and I thank God forall those who supported me toachieve this gesture of love in astate that has been plunderedby those who promised toabolish poverty.

“I challenge those who persistin lies and characterassassination to call the phonenumber on the back of the 2kgbags and confirm the producerof these bags. Common sensewhich is lacking in the life of

political thieves could haverevealed that rice stored for overa year would be prey to weevilsand clearly not suitable forhuman consumption.”

He accused those he calledpolitical hirelings of attemptingto cast aspersions on theintegrity of his person by falselyaccusing him of diverting ricemeant for the presidentialcampaign of Dr. Jonathan anddistributing same as his own

Christmas gift to Edo people.“This baseless allegation,

which is absurd, was quicklyrefuted by the leadership of PDPin Edo State as untrue. Thatemphatic statement ought tohave cleared the matter butclueless detractors desperate toearn their pay stuck to theirmischief and insisted that theirallegation must be investigated,"he said.

THE Umu-Omorhusi RoyalFamily of Idumuje-Ugboko

in Aniocha Local GovernmentArea of Delta State, has dismissedinsinuations that it allocated landfor a proposed sports universityin the area.

According to the royal family,the plan was a ploy by a land-grabber (name withheld) toillegally take over lands in thecommunity.

The family, in a statement byPrince Justin Nwoko, alsodescribed as a ruse, mediapublications alluding to same,saying it never gave its nod tosuch media publications by anygroup which claimed to representit.

It stated: “Those persons werenever authorized to make suchpublication in the first place astheir motive for the hastypublication, replete with errors,are open to speculation.Pertinently, Umu-Omorhusi Royalfamily did not at anytime give itssupport to the so-called sportsuniversity which is nothing but aland-grabbing scheme.

“The land-grabbing scheme wasfurther amplified by the

publication/group admissionthat some 33 hectares of landwas given 10 years ago foragriculture project which tilldate, never took off and not theleast kilogramme of farm or dairyproduce was ever producedfrom them. If 10 years ago, 33hectares were allotted andnothing came from it till date,the Umu-Omorhusi RoyalFamily, contrary to the

publication, never agreed norsupported the allotment offurther land to any of its sons.

“This is more so as othermembers of the biggerIdumuje-Ugboko communityare accusing the royal family ofcollusion and manipulation inrespect of the land in question.The general feeling in thecommunity is that of hatred andodium for the kingship and

royal lineage of Umu-Omorhusi who in all sincerityare not in support of the landgrabbing schemes.

“Instructively, the publicationmade reference to land beingmade available through dueprocess. That is a clear admissionthat recent schemes to grab 147.1hectares through Aniocha NorthLGA never went through dueprocess."

A S A B A —SUSPENDED

Chairman of Uvwie LocalGovernment Area, DeltaState, Mr Henry Baro,yesterday, condemned thedestruction of EffurunShoprite by rampagingyouths last week Friday.

Baro, on what transpiredbetween him and two navalratings who were on guardat the shopping mall, saidsome youths came to hisrescue while he was beingmolested by the plainclothes officers.

The suspended councilboss who spoke withnewsmen in Asaba, saidthat one of the naval ratingscrossed over to meet himwhere he was sorting outissues with a fleeing trailerdriver who brushed his carat Niger Cat on ArmyBarracks Road but was heldup by traffic at the Effurunroundabout.

Saying that the driverwho blamed the accident onhis assistant, wasapologizing to him when “aplain clothes naval ratingwhose identity was notknown until much later,walked in to me and askedme who I was. In a veryhumble manner I asked if Icould know him.

“He flared up, broughtout a dagger, held me by thethroat and said if I daredsay one more word, hewould stab me. While thiswas going on, he hadbeckoned on his colleaguealso on plain clothes whojoined him with a rifflethreatening to shoot me.

“With a gun to my head,they pulled me by my shirtacross the road to theshopping mall, whichattracted some of ouryouths who immediatelycame in protest to rescueme.”

He said that the peacefulprotest was, however,hijacked by youths tradingat the roundabout whowere not indegenes of thearea. He said they stormedthe place, destroyed andlooted some items.

“This act, I stronglycondemn in its totality.Effurun Shoprite is my petproject, a project that I holddear to my heart and couldnot have masterminded itsdestruction for any reasonwhatsoever.”

He regretted what theaccident and the fracasbetween him the navalratings led to, adding thatit was never intended.

BENIN—FORMER ViceChairman of Association

of Local Governments ofNigeria, ALGON, in Edo State,Mr Gani Audu, weekend,faulted the allegation by theformer Chairman of Esan North-East Local Government Area ofthe state, Mr John Yakubu, thatthe Governor AdamsOshiomhole administrationdeducted money from localgovernment allocations in thestate while he was chairman ofthe council.

He challenged Yakubu, whoalso is a chieftain of the Peoples

Democratic Party, PDP, tospecifically tell the world howthe governor deducted thefunds from his allocation, notingthat he (Gani) was councilchairman before Yakubu camein, as there was no time thegovernor deducted money fromthe council's allocation.

It will be recalled that Yakubuhad alleged in an interview, thatGovernor Oshiomholededucted council funds whilehe was chairman of Esan NorthEast. But describing theallegation as reckless anduntrue, Audu, who is currentlya member of the state House of

Assembly said: “I was a localgovernment chairman from2003-2010.

“I was the Vice Chairman ofALGON then. Yakubu met mein 2007 and we left together in2010. Joefel was chairman then,they should ask him. Let us tellourselves the truth rather thanplay politics of blackmail. Someof these former chairmen are stillin PDP, so Yakubu should bedefinite and tell us whatOshiomhole asked him to bringthe money for. He should bespecific rather than makeunguarded statements in thenewspapers.”

PRESENTATION: Akwa Ibom mathematician and Dakkada Ambassador, Engr. Uffot Ekong(right), hands over copies of Dakkada exercise books to the state Commissioner forEducation, Mr. Aniekan Akpan, during a formal presentation of the books to selectedsecondary schools in the three senatorial districts of the state.

CMYK

14—Vanguard, MONDAY, JANUARY 11 , 2016

Bakare wants FG to adopt NationalConference report...says confab in tandem with APC manifesto

L A G O S — S E R V I N GOverseer of the LatterRain

Assembly, Pastor Tunde Bakarehas stressed the need forPresident Muhammadu Buharito implement therecommendations of the 2014National Conference, saying itsoutcome is in tandem with theAPC manifesto.

Also, he advised the presidentto ensure diversification of thenation’s economy and the needfor a regional approach to

national development.In a state of the nation address

in his church entitled: ‘Roadmap to successful change,’Bakare argued that though theAll Progressives Congress,APC, refused to participate inthe exercise, he said the reportwas done by Nigerians.

He said: “Let it be known thatin spite of the rejection of ourpre-election call for a transitionperiod, Nigeria is now a nationin transition. This transitionperiod will predictably be

followed by a revolution whichwill, in turn, be followed by areformation that will eventuallyusher in the desiredtransformation of our nation.

"A key outcome of this processwill be the emergence of a truePeople’s Constitution that willfacilitate national integration andprovide a suitable governmentalframework for the Nigeria of ourdreams – a truly federal state withsuch powers vested exclusivelyon the federal government as arenecessary to firmly and

prosperously knit together thefederating units upon whichresidual powers shall be vested.”

Speaking further, the cleric said:“That promise of true federalism iscontained in Article 14 of theNigerian Charter for NationalReconciliation and Integration,which was unanimously adoptedand signed by the delegates to the2014 National Conference,including myself, as the basis ofour union.

"I appeal to Mr. President not toignore the report of the 2014

National Conference! God wentahead of you to provide anavigational map with which youcan begin to steer the ship of stateto a safe destination.

"The APC may have refused toparticipate in the 2014 NationalConference, but the report of thatconference is completely intandem with the promise of theAPC Manifesto.”

By Dapo Akinrefon

BENUE SOUTHRERUN:

Externalforcescan't foistanybodyon Idomapeople—Moro

M A K U R D I —F O R M E R

Minister of Interior, AbbaMoro, who is also theDirector General of theDavid Mark CampaignOrganisation has said thatno external influence orforces can foist anybody onIdoma people over theBenue South rerun electionbetween the PeoplesDemocratic Party, PDP, andAll Progressives Congress,APC.

Moro who was reactingto an alleged attack on himby the Benue State DeputyGovernor Benson Abounu,over the rerun election saidthe Deputy Governor has noreason to ask former SenatePresident, David Mark towithdraw from the race butshould think of how topromote and protect theinterest of his peopleinstead of working at crosspurposes with them.

Moro, said: “Abounuknows the interest of ourpeople. He was aroundwhen political stakeholdersin Benue Southoverwhelmingly endorsedSenator Mark to contest theelection in September 2014.Abounu neither protestednor challenged the decision.

“Abounu in his heart ofhearts knows that there wasreally no contest betweenMark and Onjeh in the firstinstance. But whatever thecircumstances that led to thenullification of the electionby the appeal tribunal overthe signature of thereturning officer, it isinstructive to people whoforget their yesterday toremember that a day ofreckoning will alwayscome."

Vanguard, MONDAY, JANUARY 11, 2016—15

IPOB raises alarm over deterioratinghealth of Nnamdi Kanu...flays FG, DSS for denying him access to doctors•Kanu to be transferred to B’Haram cell•Abia govt accuses APGA of sponsoring pro-Biafra protests•Igbo celebrate Biafra war heroes remembrance day tomorrow

By Chimaobi Nwaiwu &Ugochukwu Alaribe

WORRIED BY thedeteriorating health of

its incarcerated leader andDirector of Radio Biafra, Mr.Nnamdi Kanu, in the cell of theDepartment of State Service,DSS, the Indigenous People ofBiafra, IPOB, has raised analarm, accusing the DSS ofdenying him medical treatmentseveral times, claiming thatattempts by his doctors to attendto him have been rebuffed bythe DSS.

Addressing newsmen,yesterday, in Nnewi, IPOBMedia and Publicity Officer,Mr. Emma Powerful alleged thatthe Federal Governmentthrough the DSS has perfectedplans to systematically kill Kanuin the DSS cell by denying himdoctors' attention and subjectinghim to torture on daily basis.

“Information from a reliableDSS source revealed that theFederal Government is alsoplanning to transfer Mr. Kanu toa particular cell in the countrywhere members of Boko Haramare detained, and it is their planto kill him there,” he said

He said that IPOB had writtenthe United Nations, the AfricanUnion, AU, United States ofAmerica, Russia, France, Israel,Britain and AmnestyInternational, including otherrelevant world bodies andorganizations about the lifethreatening treatment beinggiven to Kanu by the FederalGovernment through the DSSoperatives.

IPOB wondered when theNigerian government stoppedgranting detainees and suspectsmedical attention especially forsomebody that had been grantedbail by two courts of competentjurisdiction in the country but thegovernment decided to continueincarcerating him.

IPOB therefore warned theAll Progressives Congress,APC, government in Nigeriaand President Buhari to releaseKanu without further delay andalso allow him to see hisdoctors, warning that “ifanything happens to him,Nigeria will never know peace.

“President Buhari and DSS willhave no defence if they allow Mr.Kanu to die in the hands of DSS,more so when two competentcourts of jurisdiction havegranted him bail. To beforewarned is to be forearmed. Aword is enough for the wise.Nobody is sure of his health

condition now, and therefore,Kanu should be released andallowed to see his doctors.

"The present administration'scontinued detention of Kanuwhen the courts had granted himbail is a flagrant abuse of powerand lawlessness on the part ofPresident Buhari and the DSS,and Nigeria is graduallyreverting to dictatorship.

"The President is behaving asif he is above the law. Why can’the respect the law if he hasregards for democraticgovernment, or is this the changehe is talking about, going fromlawfulness to lawlessness?" heasked.

Trading blamesIn another development, the

Abia State government hasaccused the opposition AllProgressive Grand Alliance,APGA, of being behind theprotests by IPOB, and theMovement for the Actualizationof Sovereign State of Biafra,MASSOB,which are calling foran independent state of Biafra.

Commissioner for Informationand Strategy, Mr. Bonnie Iwuoha,who stated this in an interviewwith newsmen in Aba allegedthat APGA leaders engaged theprotesting youths to destabilizeGovernor Okezie Ikpeazu'sadministration, and warned thatgovernment will no longertolerate the activities ofdisgruntled elements.

He said: “Our suspicion is thatsome disgruntled elements,especially of the opposition party,APGA, are the ones responsiblefor the action of these youths who

have been on the streets,demonstrating for the Republic ofBiafra. This is because leaders ofthe opposition parties see themas veritable tools to destabilize thestate and distract GovernorOkezie Ikpeazu. We are warningthese people, who have beensponsoring disturbances in thestate to cease forthwith.

“Government will no longertolerate a situation where peoplewill hide under these youths tocontinue to sponsor crisis in thestate. We want to assure thepeople of the state and Nigeriansof their safety, and to the Presidentof the Federal Republic ofNigeria, the loyalty of the peopleof Abia State and the commitmentof the government of the statetowards the unity and progressof Nigeria. The government ofAbia State has nothing to do withthe protests by MASSOB andIPOB.”

According to him: “We sawwhat happened as every otherperson saw it. It is part of thething that happens in a democracywhere people who are aggrievedover one thing or the other havethe right to protest peacefully.Therefore, Abia State governmentdoesn’t have anything to do withit.

"Dr. Okezie Ikpeazu believes inthe unity and indivisibility ofNigeria as a country. He supportsthe leadership of this countrybecause Nigeria must progressand move forward.”

Celebrating heroesMeantime, the planning

committee of the Biafran WarHeroes Remembrance Day

celebration, yesterday, disclosedthat this year's celebration of theevent, which comes up tomorrow,will be low key unlike its maidenedition last year held atEkwueme Square, Awka,Anambra State capital.

The maiden celebration hadGovernor Willie Obiano as thechief mourner while ChiefRommy Ezeonwuka, OgirishiIgbo (the Igbo spiritual leader) asmember of the planningcommittee.

Addressing newsmen inOnitsha, yesterday, ChiefEzeonwuka said: “ The eventwill be low key and people havebeen advised to celebrate it inchurches, homes, work andmarket places,” adding that themost important thing is toremember the fallen heroes andappease their spirits.

“Before the first remembranceceremony last year, the spirits ofthe war casualties were hoveringand causing problems in the stateand South East in general andimmediately after the event, amiracle happened and all thosethings like kidnapping andarmed robbery disappearedbecause the wondering soulswere put to rest.

“After the official burial onJanuary 12, 2015 by APGAgovernment led by GovernorWillie Obiano, calm returned tothe state and that is why we mustsustain the celebration,” he said.

He warned that the failure toappease the hovering spiritsyearly would be counter-productive and cause problems inthe state and South East ingeneral.

Jim NwobodoquitsAnglicanChurch..re-weds inCatholic Church

By Francis Igata

ENUGU—THE formergovernor of old

Anambra State, Chief JimNwobodo and wife,Patricia, weekend, receivedfresh sacrament of holymatrimony havingabandoned the AnglicanChurch for Roman CatholicChurch.

The Bishop of EnuguDiocese, Most Rev. Dr.Calistus Onagaadministered the holysacrament at thewedding.

Governor IfeanyiUgwuanyi of Enugu Stateand his wife, Monica, weresponsors of the couple inthe marriage in fulfillmentof requirements demandedby the Catholic Church.The marriage took place atthe Bishops’ Court,Enugu.

In a sermon, Rev. Fr.Peter Damian Akpunonurecalled the past cordialrelationship between ChiefJim Nwobodo and theCatholic Church, especiallywhen he was the governorof old Anambra State.

Imo govt to

expose

fraudulent road

contractorsBy Chinonso

Alozie

OWERRI—THE ImoState government

has said it would avoid asituation where roadcontractors disappear andabandon roads underconstruction. To achievethis, the government wouldexpose the names ofcontractors who nevercompleted their contracts .

The Special Adviser to theImo State government onProject Monitoring, Mr.Simeon Iwunze stated this,weekend, while interactingwith newsmen in Owerri.

He said that thegovernment has explicitlyfollowed its agenda of roadrevolution to maximallyreduce the hardship beingexperienced by the citizens,since it came into office butregretted a situationwhereby some roadcontractors craftily desertedtheir job after being paid bythe government.

He regretted that a goodnumber of the roadcontractors were indigenesof the state, whom he saidshould not have indulgedin putting the state in aretrogressive direction.

SERVICE: Governor Ifeanyi Ugwuanyi of Enugu State (10th right), his wife Monica (9thright), Bishop Matthew Kukah of Sokoto Catholic Diocese (11th right), Bishop Calistus Onagaof Enugu Catholic Diocese (9th left), Most Rev. Dr. Anthony Gbuji, Bishop emeritus of EnuguDiocese (8th left), during the 2016 Armed Forces Remembrance Day Church Service, at HolyGhost Cathedral, Ogui, Enugu State.

CMYK

16 — Vanguard, MONDAY, JANUARY 11, 2016

OPINIONNigeria in 20Nigeria in 20Nigeria in 20Nigeria in 20Nigeria in 20111116: Looking bac6: Looking bac6: Looking bac6: Looking bac6: Looking backkkkk, looking, looking, looking, looking, lookingffffforororororwwwwwardardardardard

By Roberts Orya

THE economics of what didn’t happen isnot always appreciated; its value is also

often disputed. Be that as it may, the countrycannot be denied the sense of progress in2015, in that we avoided a much-feared crisisaftermath to the general elections that heldin the earlier part of the year. PresidentMuhammadu Buhari has beenmagnanimous in acknowledging the role ofhis predecessor in this, and we have continuedto see the President make determined effortsto salvage the country from the precariouseconomic situation.

We could hardly celebrate the peacefultransition of government, although the firsttransition of power from an incumbentcandidate to the opposition candidatemarked an important milestone in thedevelopment of the country’s democracy.Substantial drop in government revenue, onaccount of the sharp decline in the price ofcrude oil, imposed a harsh reality. This realitypersists even as oil prices have fallen furthersince May 29th.

Oil revenue, which accounts for 70 per centof government revenue and 90 per cent ofexports, had tumbled from $110 per barrel inJuly 2014 to $50 in December that year; andit fell further to $36 at the end of 2015. Thisprice shock has had greater severity than theoil price plunge in 2009 during the globalfinancial crisis, and it is set to be the most

persistent in decades. The fiscal dislocationsattendant to the current oil price debacle isproving very serious for oil producingcountries, more so where foreign reserveslevels are low.

I have in the past three years focused mycontributions to public economic policydiscussions on how the country cancomplement oil revenue, especially foreignexchange income, by developing the non-oilsectors and their export potentials. This wasnot necessarily in anticipation of thesubstantial decline in the price of oil, or theoil wells drying up. In spite of itspredictability, though, and over one year ofdownward trending, the fallen oil pricesremain a rude awakening for producers

across the spectrum of the market. Thisremains true, even if the responses we haveseen from some of the producing countriesare intensifying the supply glut which hasbeen putting downward pressure on prices.

My view was informed by two mutuallyreinforcing realities. I lead an important stateinstitution whose primary statutoryresponsibility is to promote Nigeria’s externaltrade by supporting export production.Nigerian Export – Import Bank (NEXIMBank) is also officially designated as the TradePolicy Bank of the Federal Government. Andon my job, my vision of the Nigerian economythat is so much larger than oil, both in revenueand aggregate production capacity, iscontinually magnified, either by discoveriesfrom our market research efforts or theproposals that come to my desk.

Nigeria has one of the world’s richestreserves of arable land resources, hugeunharnessed potentials for manufacturing, awide range of solid minerals deposits incommercial quantity, and a large youthfulpopulation, whose innovation and dynamismcan drive prosperity in the services sector. Thequestion has been how do we translate thehuge potentials into value-added domesticproduction and also serve the export markets.

One of the propositions I made was strongleadership. The topmost political leadershipis important in creating an environmentwhere government and market policieswould be effective. Apart from the leadershiprole in effective resource governance, there isa body of evidence from emerging marketson how political governance was the turningpoint in economic performance. Chinesestate-owned-enterprises have been

functioning well even in internationalmarkets as an extension of a more effectivestate.

Whatever the imperfection that effectiveleadership accommodates, like human rightviolation and residual corruption challengesthat some people allege with China, it doesnot nullify the capacity to bring about positivechange, progressively. President Buhariprovides the country a chance in bothinstitutional and market transformation. Thehuge fiscal challenges the country faces mayunduly influence public perception for now.Even at that, it is clear that the narrative onNigeria about festering corruption is in thepast; fiscal governance that is accountableand aims at welfare improvement is thepresent.

I have also shared the idea of fiscal andmonetary interventions that are targeted atSmall and Medium Scale Enterprises. SMEsare recognised as the engine for economicgrowth. They also provide the promise ofinnovations and adaptability that can harnessexport markets. NEXIM Bank, on its part,mainly supports SME manufacturers withpotentials for export. Our aspiration is to growour interventions to the scale of the foremostemerging market export credit agency. Forinstance, the EXIM Bank of India has beenfunctioning as a quasi-sovereign lender toAfrican countries, in efforts at opening foreignmarkets to Indian firms.

The importance of SMEs is also in the factthat they provide immense opportunities forjob creation.

*Mr. Orya, is Managing Director and CEO,Nigerian Export-Import Bank.

Continues tomorrow

2016 might become a yearthat enhances opportunitiesamid challenges. While werecognise the challenges,including the stress in theforeign exchange market,we should not fail toembrace the opportunities,and support the efforts ofthe government to reflatethe economy

IMF and 20IMF and 20IMF and 20IMF and 20IMF and 20111116 budge6 budge6 budge6 budge6 budgettttt

LAST week was quite eventful forNigeria and the challenged economy.The Manging Director of theInternational Monetary Fund, IMF, MsChristine Lagarde, held extensivemeetings with the nation’s political andeconomy elite. Amongst them were theGovernor and executives of the CentralBank of Nigeria, the Finance Minister,Mrs. Kemi Adeosun, Budget andPlanning Minister, Mr. Udo Udoma, theleadership of both chambers of theNational Assembly as well as chiefexecutives of commercial banks in thecountry.

She also held closed door sessions withboth the President, Muhammadu Buhariand the Vice President, Yemi Osinbajo.

Though Ms Lagarde had her first visitto Nigeria four years ago, this secondvisit appears to have made the firstuneventful on account of the boldimprint she may be leaving behind asshe concludes her visit today. A take-away in the four-day policy visit was

Ms. Lagarde’s allusion to a furtherdiscussion involving the IMF on the2016 budget.

Responding to questions on the 2016budget, otherwise known now as 2016Appropriation Bill, she had said that ateam of IMF economists will be inNigeria next week to review and auditthe Bill and have a good discussion withthe fiscal authorities “to assess whetherthe financing is in place, whether thedebt is sustainable, whether theborrowing costs are sensible and whatstrategy must be put in place in orderto address challenges going forward.”

Ordinarily there would have been noconcern over this comment, especiallygiven the backdrop of other beautifulcomments she made, but the fact that abill presently before the NationalAssembly would be subjected todeliberation by authorities outside thelegitimate and sovereign framework isunsettling enough to warrantquestioning of the engagements of thegovernment with the IMF and othersuch powerful entities outside Nigeria’sknown authorities.

Already Nigeria’s social medianetworks have been lit up by rumours

of impending withdrawal andamendments to the Bill by the executivebefore the law-makers can carry outtheir constitutional legislative duty.

Our advice would be that while IMF,for all its good intentions may makesuggestions to the fiscal authorities andeven the National Assembly on thebudget bill already in the process ofbeing enacted into law nothing shouldbe done to alter the procedureregardless of the importance of such asuggestion.

Any attempt to allow an interruptionof the constitutional Appropriation Billprocess in this engagement with theIMF can only further undermine thecountry’s sovereignty and obviously putthe country in a position of subservienceIMF.

We believe that the IMF meetingought to have taken place before nowbut for whatever reason it was belatedwith regard to the 2016 AppropriationBill timeline. This drawback should notbe exacerbated further.

CMYK

Continues on page 18

JANUARY 11, 2016

Stakeholders inthe Nigerian capital markethave lamented the lull in

market activities and the huge loserecorded in the Nigeria StockExchange last week, where investorslost over N455 billion in the first fivetradings days of the year.

The huge losss according tostakeholders was due to delayedpolicy pronunciations and direction bythe Federal Government. They howeverexpressed optimism that the recentvisit by the International MonetaryFund, IMF boss, Christine Lagardewould spur the Federal Governmentto quickly take actions that wouldenhance the economy and boost thestock market in particular.

Analysis of activities on the NigeriaStock Exchange (NSE) last weekshowed that market capitalisation,which represents the total value ofsecurities traded on the NSE declinedby over N455 billion to close tradinglast Friday at N9.295 billion fromN9.850 trillion it opened during thefirst trading day of the year, 2016 . OnMonday market capitalisation shedN93.521billion to close at N9.757trillion; On Tuesday it dropped by overN93 billion to close at N9.664 trillion;On Wednesday it shed N317 billion toclose at N9.347 trillion.

However, on Thursday, marketcapitalisation rebounded to appreciateby over N30 billion to close at N9.377trillion, while on Friday marketcapitalisation declined by over N82billion to close at N9.295trillion.

In the same vein, another stockmarket gauge, the All Share Indexdeclined by 1,6‘13.86 points or 5.63 percent in five trading days from28,642.25 it opened the market to closelast Friday at 27,028.39 points.

The breakdown show that the Indexon Monday shed 371.93 points to closeat 28,370.32 points; On Tuesday theIndex declined by 268.18 points toclose at 28,102.14 points; OnWednesday it dropped by 911.38 pointsto close at 27,180.76 points; OnThursday, the index rebounded andwent up by 85.42 points to close at27,266.18.

Further analysis showed that that899.604 million shares worth N7.669billion in were traded by investors in

From left, Head, Health and Education, Sub Sahara Africa, International Finance Corporation (IFC), Biju Mohandas;Country Manager, Nigeria, IFC, Eme Essien; Chairperson, Hygeia Nigeria Limited, Fola Laoye; Head, Africa InvestmentSwiss Re, Yann Pambou; and Director, Hygeia Nigeria, Wole Adeleke, during the signing of MoU between IFC andHygeia Nigeria in Lagos.

Stock market: Investors loseover N455 bn in 5 days... Stakeholders blame market lull on delayedFG’s policy direction

By PETER EGWUATU &NKIRUKA NNOROM

14,164 deals on the floor of theexchange in contrast to a total of 2.965billion shares valued at N9.364 billiontraded penultimate week in 7,174deals.

The Financial Services Industry(measured by volume) led the activitychart with 764.790 million sharesvalued at N4.858 billion traded in8,904 deals; thus contributing 85.01percent and 63.34 percent to the totalequity turnover volume and valuerespectively. The ConglomeratesIndustry followed with 40.164 millionshares worth N100.471 million in 626

deals. The third place was occupiedby the Consumer Goods Industry witha turnover of 40.006 million sharesworth N1.707 billion in 2,116 deals.

Trading in the top three equitiesnamely – Access Bank Plc, GuarantyTrust Bank Plc and United Bank forAfrica Plc.(measured by volume)accounted for 339.027 million sharesworth N2.800 billion in 3,116 deals,contributing 37.69% and 36.51 percentto the total equity turnover volume andvalue respectively.

Also traded during the week underreview were a total of 12,016 units of

Exchange Traded Products (ETPs)valued at N2.050 million executed in25 deals, compared with a total of60,171 units valued at N484,396.36transacted last week in 20 deals.

Furthermore, Seventeen (17)equities appreciated in price duringthe week under review, lower thanforty-two (42) equities in thepenultimate week. Fifty (50) equitiesdepreciated in price, higher thantwenty-two (22) equities in the

18 — Vanguard, MONDAY, JANUARY 11, 2016

CMYK

Cover

Continues from page 17

Continues on page 19

penultimate week, while onehundred and twenty-three(123) equities remainedunchanged, lower than onehundred and twenty-six (126)equities recorded in theprevious week.

Top Ten Price GainersOkomu Oil Palm Company

Plc led the top ten pricegainers recording 19.64percent price appreciation.Others are Vono Products Plc(18.52%); Learn Africa Plc(15.49%); Lafarge Africa(8.47%); Cement Company ofNorthern Nigeria (8.02%);Fidson Healthcare Plc(8.00%); Berger Paints Nig.Plc (5.00%); E-transactInternational Plc (4.93);Portland Paints and ProductsNig. Plc (4.79%) and IkejaHotels Plc (4.47%).

Top Ten Price GainersSkye Bank Plc led the top

ten price losers recording25.32 percent price loss.Others are Unity Bank Plc(24.11%); Nigerian BreweriesPlc (19.49%); Tiger BrandedConsumer Goods Plc (16.81%);Honeywell Flour Mills Plc(15.61%); Eterna Plc (13.66%);Union Bank of Nigeria Plc(13.04%); TransnationalCorporation of Nigeria(12.50%); GlaxosmithklineConsumer Nig. Plc (12.28%);FBN Holdings Plc (11.89%).

Stakeholders’ reactionsCommenting on these

developments, ChairmanProactive Shareholders ofNigeria, PROSAN Mr.Oderinde Taiwo in said “TheNigerian stock market isexperiencing this negativeresponse because theMuhammadu Buhari ledFederal Government policydirection came out late, evenon some vital issues, there areno policy direction yet. Weshould know that it isgovernment’s policy directionthat attract foreign and coreinvestors into any market. Sothat delay in the appointmentof ministers andpronouncement of policydirection really affectedinvestment decisions in ourmarket.

Continuing, he said “Withthe recent visit of the IMF bossin Nigeria, there is likelygoing to be positive changesin the economy and ourmarket in particular once theFederal Government is able toexecute some of the initiativesrecommended to it. All theseand more will likely attractinvestors to the market.”

Another stakeholder, Mr.Boniface Okezie, Chairman,Progressive ShareholdersAssociation of Nigeria, PSAN

From left: Mr. Wu Jin Shan, the Deputy Managing Director, Hongxing Steel Company Ltd,Mr. Henry Clifford one of the longest-serving staff of the company, and the Head of HumanResources, Mr. Yemi Adeoye, at their annual an end-of-year staff party and presentation ofstaff who have distinguished themselves in various ways in the service of the company inLagos.

Stock market: Investors lose over N455 bn in 5 days

said “The decline in ourmarket is not only affected byfactors within the economy butalso global issues. The fall inglobal oil has been a majorfactor affecting Nigerianeconomy. So our market hasbeen resilient, though thereare issues that the regulatorsin our market need to address.When a finger of an investoris burnt, he or she will becareful to release his or herother fingers to be burn. Thatis what is really affecting themarket.”

Continuing, he said “Thedecline we are experiencingin our market now is somehownormal as some investors areselling their shares to meet upwith other expectations.Remember, Christmas andnew year holidays are overand people had spend moneyand they needed cash to payfor their children's school feesand other essential needs, thatis why the prices of equitiesare dropping. But, there ishope that the market willrebound once investors seeclearer picture of the FederalGovernment‘s policydirection. The Buhariadministration has startedfighting corruption andtackling insecurity. So theseare some of the things that willattract investors to invest inour economy.”’

In his own view, Mr. EmekaMadubuike, Chairman,Association of StockbrokingHouses of Nigeria (ASHON),said there is need to rid theeconomy of every uncertaintyto inject confidence in theinvestors.

He explained that riding themarket of uncertainty requiresdiscipline across all strata ofthe economy.

“The market mirrors the

economy; if the economy isdown, the market will bedown. For me I think what themarket requires is a situationwhere the economy has a lotof discipline. It does notmatter, for instance, how muchthe budget is; but it is theimplementation that is criticaland it requires a lot ofdiscipline across all levels forus to have an economy that isdevoid of uncertainty.

“There are too manyuncertainties in the economyand uncertainty does not giveconfidence for investmentbecause if you are investingmoney, you are doing so notfor today, but for tomorrow.When people are not sure ofwhat will happen tomorrow,they may likely not invest; sothat is why we are having thislull.”

He added: “From my ownpoint of view, there need to bea lot of accountability in theways things are done in oursystem. There needs to be

consistency in the waygovernment is run, in the wayspolicies are pursued; thereneed to be consistency. Andthere need to be reward andpunishment depending onwhat people have done andpeople have not done. As soonas investors see a steadypattern, a lot more investmentwill come.”

Madubuike explained thatthe market is driven by twofactors – fear and greed; that’swhat drives the market. “Wheninvestors don’t see where theeconomy is going, they won’tinvest. That is when the fearfactor comes in, but if they aresure that the economy is doingwell, then greed will come in.When do you exit, when doyou come in. Those are the twofactors that drive the market”.

Analysts’ viewsMr. Tola Odukoya,

Managing Director, AssetManagement & Research,Dunn Loren Merrifield saidthe current fall in the globalequity markets is essentiallymade in China. “The widerstory is that China’s economicgrowth is slowing and thereare concerns that thetransition to a slower and moresustainable rate of growthmight be disruptive. This islargely due to decline inmanufacturing triggered byslump in exports and asurprise devaluation of theYuan. This among otherconsiderations is raisingconcerns about whether theChinese economy is slowingdown more sharply thanthought” Odukoya stated.

Continuing, he said,“Though we reckon that it’snot just about China, declinein commodity prices such ascrude oil and copper have also

prompted investors to takefright over signs of waningfinancial crisis.

To better put, there iscertainly a possibility of “safehaven” effect in other marketsas the Chinese stock price fallshas made investors more waryabout risks. Hence, sharesaround the world havefollowed the China’s marketslowly.

In addition, the increase ininterest rates in the US is alsosucking money out of riskiermarkets.”

He affirmed that whileinvestors are keeping a closewatch on China, there aresigns that investors areretreating, therefore makingmoney to be pouring out ofmajor markets around theworld which is almost similarto the global financial crisis of2008 and 2009.

“Whilst we maintain thatimproved global economicdata amongst otherconsiderations are some of thekey factors that will lift theglobal market performanceconsiderably, we are of theview that marketunpredictability whichprevailed for the most part of2015 will be sustained in thefirst quarter of 2016 and evenbeyond,” he said.

In its own part, VetivaCapital Management Limited(“Vetiva”) stated “ Global stockmarkets rallied in wake of thenews which suggests to usthat this “lift-off ” had beenpriced in by markets andemerging economies exposedto global financial flows arebetter positioned to deal withfurther tightening in globalliquidity conditions contrary tothe “taper tantrum” episode ofsummer 2013. In this scenario,the rise in U.S. long termyields will likely remain wellcontained, with interest ratedifferentials only marginallylower, thus, capital flows toemerging and frontier marketswould be modest. However,another scenario is that betterthan expected data on U.S.GDP growth, employment andinflation triggers a deviationfrom the assumed interest ratepath, leading to a more rapidrise in the policy rate. Thiscould create financial marketvolatility with spillover effectsto emerging economies, inparticular, those exposed toforeign currency denominateddebt. Overall, tighter globalliquidity conditions are likelyto increase vulnerabilities ofeconomies with BOPfragilities, especially in oilexporting countries.”

Commenting further, itstated “We expect demand forfixed income securities willopen on a healthy note,

There are too manyuncertainties in theeconomy anduncertainty doesnot give confidencefor investmentbecause if you areinvesting money,you are doing sonot for today, butfor tomorrow

Vanguard, MONDAY, JANUARY 11, 2016 — 19

CoverContinued from page 18

personal gains. in the guise ofhelping to reach the unreachedmembers of the public by banks.They buy foreign exchange atcheap rate from CBN and divertthem to the parallel market andsell at exorbitant rate to endusers.

For instance they buy dollarsfrom CBN at N199 and sellsame at N240 per dollar thusmaking a premium of about N41per dollar. As of today, theeconomy is being starved offorex but operators of BDC aresmiling to their banks. Theyhave long become centres ofround tripping and worse for itthe CBN is ill equipped tomonitor them. A curious look atthese BDCs showed that thereare over 10, 000 of them acrossthe country mostly owned byhighly influential Nigerians.They simply buy foreignexchange from the CBN forthemselves. Last week, anoperator told a story to a banker,how highly placed Nigeriansare buying forex through BDCsand taking same across theNigerian borders in this periodof relatively scarce foreignexchange.

According to him, many ofthese Nigerians have hugeforex stacked in their homeswhile the nation suffers. Thosewho are not keeping them athome are sending them outthrough neighbouringcountries. If speculators aretaken out of the market, the realforex need of Nigerians willdrop considerably.

Banks have long been knownas financial intermediaries.Individuals and corporatebodies direct their financialneeds to banks. Through thebanks there is usuallyappropriate documentation.Nigerians that are avoidingofficial channels complain of therigour of documentation and

Scrap BDC and save the Nairafrom continued devaluation

The pressure on the Naira at the foreign exchange market might continue tomount and see further depreciation in value of the Naira if the activities of

currency speculators are not curbed. At the centre of this speculative activities arethe Bureau de Change. Right from the deregulation of the foreign exchange market,the operation of third party non bank outlet for foreign exchange transaction hasbeen the bane of the Naira. Those who own and operate these outlets do so for

seek refuge in BDCs. If bankscan cater for Basic TravellingAllowance of $1000-5000 dollarsof Nigerians, why should anytrue businessman not want tosource his foreign exchangefrom the bank? It is simply fordubious reasons. The continueddepreciation of the Naira is dueto scarcity of foreign exchangein the market but there is hugeamount of forex in the hands ofcurrency speculators. Banks arefinding it increasingly difficultto sell foreign exchange tothose with genuine needs. Lastweek, a parent said that sinceearly December last year heapplied for just £1,500 forstudent maintenance but as atJanuary 8th the bank has notbeen able to sell the requiredfund to him.

The same man was able tosource the amount throughBureau de Change at a cutthroat price. The question beingasked is why should BDC co-exist with banks? Why canbanks not sell foreign exchangeto every Nigerian that needs it?The issue lies with theownership of these bureau dechange. They exist becausepolicy makers are the ownerswho use them to make moneyfor themselves through roundtripping. The greed of theseBDC owners is the source of thecontinued depreciation of theNaira.

The mistake made by themonetary authorities since thederegulation of the economy in1986 is allowing about threeofficial markets to exist inforeign exchange transactions.

This mistake has lingered andthe CBN has not been able tomuster the courage to correct theanomaly, the reason being thatsome key staff of the CBN ownand operate some of theseBDCs.

At the inception of the famousderegulation of the foreignexchange market, the CBNintroduced three tier markets forthe same commodity, (foreignexchange). There was the firsttier market which was theofficial rate at which thegovernment bought foreignexchange from the CBN. Therewas the Second tier marketwhere the private sector andother individuals were sourcingtheir foreign exchangerequirement from. The thirdwas the autonomous foreignexchange market whereexporters put the proceeds oftheir exports and sell same at

their own determined rate.However, there existed and stillexists a parallel market whereun-licensed individuals andlately Bureau de Change hawkforeign exchange along majorstreets in Nigeria and inmosques.

The rates that ruled thesemarkets were never the same.In fact, there have been multipleexchange rates in the economysince the deregulation. Thisgave room for foreign exchangespeculations that resulted inexcess demand for foreignexchange.

Nigerians, banks and othershave been hedging againstdepreciation ever since. As oftoday, the demand is highbecause those who have theresources are buying dollars forkeeps in anticipation of furtherdevaluation of the Naira as aresult of declining oil prices. Ineconomics, there is what isregarded as shadow price of aproduct. The shadow priceusually is the price that isenvisaged if the product wereallowed to find its true value ina free market setting. As a resultof the shadow price of theNaira, resulting from theseother markets, foreign investorshave always used the pricedifferential to agitate that thecurrency was overvalued andthat the true exchange rate ofthe Naira is the parallel marketrate.

Nigerian governmentfunctionaries in the bid to satisfythese investors alwayspanicked and continued toadjust the currency. From the

N1.5 to the dollar in 1986 theNaira exchange rate has movedto N199 at the official marketwhile it is going for N240 at theparallel market. In late 1987, theexchange rate was N4.02 to thedollar and by 1988, it hadmoved along the parallelmarket rate of N4.54. Theeconomy was still on its kneesas the exchange rate movedfurther in 1989 to N7.39 and in1993, the two markets weremerged at N22.05 to the dollar.By the turn of the century in2000, the exchange rate wasN102.10 to the dollar. By 2002,the exchange rate of the Nairato the dollar was N121 and in2014, the rate had peaked atN240. Those arguing that theNaira is over valued do so byreferencing the parallel marketrate as the correct market valueof the Naira. The InternationalMonetary Fund, World BankGroup have all use thisargument to convince theNigerian authorities to continuethe onslaught on the Naira.

The official handling of theexchange rate has beenquestionable. Why will there betwo exchange rates in aneconomy? Why must there be aninter-bank exchange rate and aparallel market rate? Is theNigerian economy differentfrom others? Must the so calledNigerian factor come to play inevery facet of the nation? Whatmakes it so difficult for theforeign exchange market tomaintain a single rate? Thosewho trade in currency inNigerian major cities are theynot Economic saboteurs? Arethe operatives of the Economicand Financial Crime not seeingthem? Are they simplyuntouchables? Put an end tothe parallel market and theNaira will stabilise.

largely supported by domesticbanks and pension funds(PFAs). In the second half ofthe year however, we foreseeuptick in yields as supplybegins to outweigh demand,nonetheless, we expect theuptrend in yield to be capped.We anticipate that the demandwould be largely weighted onthe short end of the yield curve– particularly T-bills and shortdated bonds as the marketremains risk averse. Overall,we anticipate a relatively steepyield curve for most part,indicating an expectation fora rise in yields. We foresee anupward shift in the yield curve

Stock market: Investors loseover N455 bn in 5 daysby an average 200bps across2016.”

“With the NSE All ShareIndex, ASI returning -17% in2015, closely in line with ourscenario analysis for Brentcrude oil price at $45/bbl, ouroutlook for the equity marketin 2016 remains anchored onthe direction of oil prices. Assuch, we think the equitymarket is headed for anothertough year as oil prices stay“lower for longer ” witheconomic concerns ranging

from currency to corporateearnings ; Overshadowingseemingly low stock prices; weexpect heightened volatilityfor much of the year.

We re-iterate the strongcorrelation of the Nigerianequity market to oil prices andwith the price of Brent crudeoil hovering $38/bbl cominginto 2016, we think losses willbe less steep this year with thepotential for a positive yearclose given our expectation foroil prices to rebound to

between $50 - $60/bbl in thesecond half of the year.”

Global Stocks:Meanwhile, global markets

stabilised last Friday, with U.S.stocks halting a two-day routand the dollar advancing afterChina shored up its marketsand a surge in U.S. payrollsboosted optimism in theeconomy. Oil fell below $33 abarrel.

The Standard & Poor’s 500Index stopped a selloff that has

erased $4 trillion from globalequities this year as Chineseauthorities set a higher yuanreference rate and intervenedin its equities markets. Therenewed selling in crude sentenergy shares lower aroundthe world, damping theequities rebound. TheBloomberg Dollar Spot Indexheld to a 0.4 percent advanceas the yen weakened withgold.

Volatility in Chinese marketsspurred a global selloff inriskier assets as concerndeepened over the rulingCommunist Party’s ability tomanage an economic

Continues on page 30

A parent said thatsince earlyDecember last yearhe applied for just£1,500 for studentmaintenance but asat January 8th thebank has not beenable to sell therequired fund to him

20 — Vanguard, MONDAY, JANUARY 11, 2016

CMYK

Corporate Report

Ashakacem isn’t likely togrow sales revenue

in the 2015 operations andthat has been the trend forthe past five years. Thecompany is howeversucceeding in defend profitby keeping costs fromrising. That was its strategyin 2014 when it grew aftertax profit by 62% from adecline of 2.6% in salesrevenue. Full yearexpectation based on theinterim results indicatesthat turnover may declinefor the third straight yearrunning in 2015. With thecompany ’s cost savingmeasures, the cementcompany can be expected toreport a further growth inprofit.

A drop of 15.8% in salesrevenue in the third quarterwas more than countered bya drop of 39.3% inadministrative expensesand a fall of 45% in financecharges. Some improvementin investment income alsocountered an increase of25% in sel l ing anddistr ibution expensesduring the period.

A successful balancing ofcosts and incomes is thesummary of the company’soperating story at the end ofthe third quarter. Thisenabled the company todefend profit margin at25.4%, as sales revenue andprofit went down at virtuallyequal pace.

The company closed thirdquarter operations withsales revenue down byalmost 16% to N14.55billion. The drop in salesrevenue reflects a generalslowdown in building andconstruction activities inline with the general slidein economic activi t ies.Based on the performancein the third quarter, salesrevenue is estimated at N20billion for Ashakacem forthe 2015 financial year. Thiswill be a decline for thethird year running and thelowest sales revenue for thecompany in five years. Salesvolume has been slidingfrom the peak figure ofN21.82 billion in 2012.

The company posted anafter tax profi t of N3.7billion at the end of the thirdquarter, which is a year-on-year drop of 15.3%. Despitethe drop, the full year profitoutlook is promising basedon the annualised growthrate. This reflects a sharpslowdown in profit growth inthe final quarter in 2014. Ofthe closing net profit ofN4.57 billion in 2014, asmuch as N4.37 billion wasearned at the end of thethird quarter.

The f inal quarterslowdown isn’t expected toreoccur in the 2015 financialyear. Net profit is expected

Ashakacem: losing sales revenue,defending profitto grow by about 14% to anew peak of N5.2 billion forAshakacem in 2015. Thatwill be the second year thecompany will be growingprofit against decliningrevenue.

The drop in profit at theend of the third quarter isaccounted for by the drop insales revenue, a relativeincrease in cost of sales anda rise in sel l ing andmarketing expenses. Cost of

sales failed to decline as fastas turnover and thereforeclaimed an increased shareof sales revenue. Grossprofi t margin thereforedeclined from 41.5% to35.9% over the reviewperiod. Sell ing andmarketing expenses rose by25% and also claimed anincreased share of salesrevenue.

The company achievedsignificant cost savings intwo major expenditure lines,which are administrativeexpenses and interestcharges. I t cutadministrative expenses bymore than 39%, which

enabled it to moderate theimpact of cost of sales onoperating profit. Interestcost also dropped by nearly45% during the period,which further countered theimpact of the cost increaseson the bottom line.

The company had nointerest bearing financialobligations in the balancesheet as at the end of thethird quarter. Anexceptional growth in otheroperating income and amoderate improvement ininvestment income alsostrengthened revenueperformance in the year.

Earnings per share

Continues on page 21

In naira terms, the bankach ieved one o f thestrongest profit advancesin the banking sector in2014 and another stronggrowth in profit can beexpected from the bank in2015. Last year ’s growthof 178.7% in net profit waspartly a recovery from aprof i t drop of 44.7% in2013 . Th i s year, bo threvenue and pro f i t a reexpected to be up on thehigh growth attained inthe p reced ing year.Growing revenue andimproving profit marginhave br ightened pro f i tprospects further in thecurrent year.

ETI is leading the groupof listed banks on revenuevolume this year as it didin 2014. In terms of profitnumbers however, it stepsback on account o fcomparatively lower profitmarg in . The bankimproved gross earningsby 18.1% year-on-year toN411.83 billion at the endo f the th i rd quar te r.Revenue growth was ledby interest income, whichgrew by 24% while a 10%improvement in o the ropera t ing incomemoderated the growth rate.In do l l a r t e rms , o the roperating income droppedby 9% and led to a 3%decline in gross earnings.

Based on the revenuegrowth rate in the thirdquarter, ETI may grossover N550 billion at fullyea r. Tha t w i l l be anincrease of 12.4% over the

amounted to N1.65 at theend of the third quarter,which is a drop of 15.4% yea-on-year. The company isexpected to earn N2.30 atthe end of the year, whichwill be an improvementfrom N2.04 in 2014. It paida cash dividend of 45 koboper share for the 2014trading.

Ashakacem is one of thefew companies that closed2015 on the positive side ofthe share price table. Itsshare price advanced by14.2% - one of the top pricegainers against a drop of17.4% in the all-share indexof the Nigerian StockExchange in 2015.

ETI: losing earnings in dollars,gaining in naira

Ecobank TransnationalInc [ETI] isn’t able

to grow earnings in dollarterms so far this year andrevenue and p ro f i tdeclined at the end of theth i rd quar te r. Loca lcurrency gains in revenuearen’t reflecting in dollarswhen t rans la ted a t thelower exchange parity.

The bank has achievedstrong earnings growth inthe functional currenciesbut this is hidden by thecurrency translation effect.Wi th opera t iona l andimpairment losses beingencountered, the bank’smanagement expects toclose the year with a lowerprofit than expected.

Ashakacem is oneof the fewcompanies thatclosed 2015 on thepositive side of theshare price table.Its share priceadvanced by 14.2%- one of the topprice gainersagainst a drop of17.4% in the all-share index of theNigerian StockExchange in 2015

Corporate Report

CMYK

Vanguard, MONDAY, JANUARY 11, 2016 — 21

ETI: losing earnings in dollars, gaining in nairaContinued from page 20

gross income of N489.25billion it reported at theend of 2014.

After tax profit grew at alower pace of 15.1% thanrevenue in the th i rdquarter but the full yearoutlook indicates a muchstronger growth prospectsfor the bank. At N60.42bi l l ion, af ter tax prof i tamounted to 92% of thepreceding year ’s full yearfigure at the end of thethird quarter. The full yearprospects indicate thatprofit may grow by close toa quar te r on the 2014closing f igure to aboutN82 billion. The bank hadc losed l a s t yea r s ’opera t ions w i th a ne tprofit of N65.68 billion,which was a leap by 179%from a 45% drop in 2013.

While profit margin isdown on year -on-yearbasis, it is improved from13.4% at the end of lastyear to 14.7% in the thirdquar te r. The bank hastaken steps to improvecontrols and systems andimplemented internal andexternal reviews that haveresu l ted in improvedab i l i t y o f the bank toconver t r evenue in toprofit.

A major favourable costbehaviour that permittedthe profit growth attainedcame from operating cost.It grew by 13% year-on-year compared to the 18%improvement in g rossincome . Tha t reducedopera t ing cos t marg infrom 51.3% in the sameperiod last year to 49.2%at the end of the thirdquarter.

The b igges t adversemovement on the incomes ta tement o f the bankduring the review periodis in respect of impairmentlosses on r i sk asse t s ,which grew by 48% year-on-year to N34.67 billion.It accounted largely forthe loss of profit margin atthe end o f the th i rdquarter and the inabilityof the bank to match profitgrowth with revenue.

Whether the impairmentlosses would rise furtherin the final quarter is acritical factor to watch onETI at full year. Last year,an impairment charge ofN23.41 billion at the endo f the th i rd quar te rsudden ly swe l led toN44.42 billion at full year.Should that pattern repeatitself this year, the profitexpectation for the bank atfu l l yea r w i l l no t berealised.

22 — Vanguard, MONDAY, JANUARY 11, 2016

CMYK

Banking & Finance

Baba Segun operates athriving vulcaniser

business located in the Kirkiriaxis of Apapa. Though he haslittle education, he enjoyspatronage from every segmentof the society. This he attributesto two factors, namely hisvulcanising skills and hismobile phone. “My phone is my number one equipment”,he said, adding, “It determineshow many jobs I geteveryday”. Though he couldbarely read or write, BabaSegun easily operates themobile phone. “I have to forcemyself to learn how to use it”,he said.

Despite the level of businesspatronage, Baba Segunhowever does not have a bankaccount. When asked why? Heresponded, “What do I need abank account for? Is it to collectthe small money we charge forour job or to buy equipment?He asked. “I collect mymoney in cash and I also paycash for whatever I need”, heconcluded.

Baba Segun representsmillions of Nigerians who havea mobile phone but does nothave a bank account. TheBiometric Verification Number(BVN) enrolment revealed thatthere are about 25 millionNigerians with bank accounts.But statistics from the NigeriaCommunication Commission(NCC) shows that there areabout 148 million mobile phonesubscribers. This indicates thatover between 90 million to 100million Nigerians with mobilephones don’t have bankaccounts and also do not haveaccess to financial services. They are regarded as

Banking the unbanked withmobile paymentsBy BABAJIDE KOMOLAFE

By all accountsthere are less than5,000 active agentsacross the countrywhile the 21Mobile Moneyoperators who havebeen unable toscale, consequentlyonly 47 percent ofNigerians haveaccess to financialservices within5km

unbanked or financiallyexcluded. According to the2014 Access to FinancialService Survey, 36.9million ofNigerian adults representing39.5 percent out of 93.5 percentadult population wereexcluded from financialservices. In addition, 57.9percent of these were women.

But Tunde Kuponiyi and hiscolleagues in the Committee ofE-Banking Industry Heads(CeBIH) believes that theseunbanked Nigerians can beattracted to enjoy bankingand other financial servicesthrough mobile payments,which is the use of mobilephones to conduct financialtransactions. How to achievethis was the focus of the 2015annual retreat of CeBIH heldin Uyo, Akwa Ibom state. Thetheme of the retreat was“Mobile Payments forFinancial Inclusion in Nigeria- Prospects & Challenges”.

In a bid to attract the likes ofBaba Segun into the financialsystem, financial experts led by

the Central Bank of Nigeria(CBN), in 2012 crafted astrategy called NationalFinancial Inclusion Strategy.The strategy was aimed atreducing the percentageof adult Nigerians that do nothave access to FinancialServices from 46.3 per cent in2010 to 20.0 percent in 2020.

Welcoming participants to theretreat, Kuponiyi highlightedthe potential of mobile phonesto enhancing financialinclusion. He said, “The goodthing about the mobile phoneand in fact any device that hasinternet connectivity is that itcan be used as a paymentdevice and this is what willsignificantly enhance inclusionnot only as store of value butalso as a payment platform.

Mobile Payment andfinancial inclusion As part of efforts to achieve

the National Financialinclusion Strategy goal, theCBN in 2011 licensed 21companies to offer mobilepayment services. Furthermorethe CBN introduced agencybanking, which allows banksand mobile payment operators(MPOs) to render servicesthrough third parties in variouslocations. But thesemeasures are yet to bear thedesired fruit in terms massiveattraction of the unbankedpopulation into the financialsector.

“By all accounts there are lessthan 5,000 active agents acrossthe country while the 21 MobileMoney operators who havebeen unable to scale,consequently only 47percent of Nigerians haveaccess to financial serviceswithin 5km”, noted Mr. Mike

Ogbalu, Divisional ChiefExecutive Officer, InterswitchFinancial Inclusion Services.

He added that this is because,“availability/visibility of mobilepayment operators/agents andawareness of bottom-of-pyramid (BOP) financialservices is still very low. Agentvalue proposition remainsweak and unattractive. Highcost of effective agent networkrollout remains a challenge tomost service providers whilemost providers have short terminvestment focus.

He noted that with 95 percentof financial servicesconcentrated in the urbanareas, the existing financialservices infrastructure is grosslyinadequate to change theNigerian Financial ServicesLandscape.

Making mobilepayment workTo address these challenges,

Governor of Akwa Ibom, Mr.Emmanuel Udom, stressed theneed for sound policyframework, innovation andawareness. “Beyond a soundregulatory framework, wecannot drive the adoption ofelectronic banking without theright technology, the rightstandard, and above all, asustained and robustawareness of the Nigerianpublic,” he said in his addressto participants.

This however requires a lotof capital. To make significantimpact in the area of attractingthe unbanked, mobile paymentoperators need to investmore. This, according to Mr.Jimoh Musa, Deputy Director,Banking and Payment SystemDepartment, CBN, is why theapex bank has decided toincrease the capital base of MPOs. “All mobile operatorsmust raise capital base to N2billion. We have realised thatthe key success factor to mobilemoney is agent network. However it takes money tobuild agent network. It takesN100,000 for an agent outlet tobe properly set up”.

One of the highlights of theretreat was a presentation on“The Digital FinancialMarathon: Kenya’sevolution towards a digitalfinancial ecosystem”, by EricMuriuki Njagi, GeneralManager, Commercial Bank ofAfrica (CBA). The presentationcited the experience of CBA inthe use of mobile paymentservices to generate savingsand extend loans to millions ofKenyans. It also cited theexperience of Kenya in the useof mobile payment to drivefinancial inclusion. The successfactors, according to Njagi are: Identity authentication;Distribution facilitatinglegislation, Interoperability,Alignment of need/Opportunity to capability”.

Heritage Bank Bosscalls for increasedawareness onfinancial inclusion

The Managing Director/Chief Executive

Officer of Heritage BankLimited, Mr. Ifie Sekibo hascalled for an increasedawareness on financialinclusion so as to bring moreNigerians into the financialsystem.

Sekibo, said this during thepresentation of the GoldSponsorship award for 2015 toHeritage Bank by the FinanceCorrespondents Association ofNigeria (FICAN) at the bank’shead office in Lagos recently.

He said: “The ball is shifting;the days when only the formalsector should understandfinance are over. Everybodyshould begin to understandfinance. They shouldunderstand how they spendtheir money, why we need tosave and we need to teach ourchildren why they need to savefrom now. These are some ofthe conversations we need tohave to ensure that we promotefinancial inclusion. Asjournalists, we need to be ableto educate people on why theyshould save money and howthey can save and the need forus to spend in line with ourbudget as individuals.”

He stressed the need forFICAN members to drive theconversation for Nigerians tochange their lifestyles.

“More important for us is theconversation for us on how weneed to change our lifestyle.We can’t grow an economywhere all we want to spend onare dollar-denominated andforeign goods. Left forNigerians, they want to bedoing all their spending ondollars, forgetting that dollar isnot our local currency.Everything they do with dollargives employment to somebodyin another country and not inNigeria. So, we must continueto have that conversation andit must be robust.

“So, it is important as apeople to begin to educate ourfellow Nigerians on thesethings and it is the financialcorrespondents that must drivethis, because this is a veryserious issue and if we don’t,we would all regret it. You havemembers in print, electronicand online, if with 100 peopleon your platform alone, youcan drive this change.”

Commenting on the award byFICAN, he said: “We are stillvery young in our developmentas an organisation. We didn’tstep out to support FICAN withthe intention of getting thisaward.

RETREAT: From left, Dele Adeyinka, Vice Chairman Committee of E-Banking Industry Heads(CeBIH)/ Head of E-Banking, Wema Bank, Akeem Lawal, Divisional CEO, Switching andProcessing Unit, Interswitch; Simi Osinuga, Treasurer, CeBIH/ Head of eBusiness, GTBank;Chuma Ezirim, General Manager, Head eBusiness Group, First Bank; Tunde KuponiyiChairman CeBIH/ Head, Cards and E-Banking, Ecobank Nigeria at the 2015 annual CeBIHretreat in Uyo, Akwa Ibom.

Continues on page 32

Vanguard, MONDAY, JANUARY 11, 2016 — 23

Corporate Finance

For most Nigeriansvisiting a bank is no

more a regular routine to lookforward to. It is not becausebanks have become lessimportant to our lives, butessentially with the era of smarttechnology and mobile banking,customers can transact businesswithout visiting the banking hall.

However in one of suchmoments, I recently foundmyself in one of Skye Bank’sbranches where I had gone todo my Bank Verification Number(BVN) registration to avoid theCBN hammer. Whilst in thebank, I noticed a certainexcitement in the atmosphere.There was evidence of a peopleworking together in the interestof the customer at least going bythe level of customer service Iexperienced on that day.

Although I later understoodthat the bank was marking thecustomer service week.Customer service week has inrecent years been deployed bythose in the service industry,especially banks, to woo morecustomers tempting them withincentives. Beyond the customerservice week, my emotion wastaken in by the warmth andconviviality that bondedeveryone in the banking hall.Most of the staff were clad inuniform outfits of native Fulaniextraction that reminded one ofthe cultural legacies of a multi-ethnic Nigeria. The men equallycomplemented this with theirelegant Hausa native attires.

Whilst the traditional issuesabout acquiring technologiesand products, creatingeconomies of scale andstrengthening brand presenceare the juicy benefits of everyM&A, unfortunately on the otherhand, people and their culturescan neither be merged noracquired. Culture as in every M& A has remained the dominantbarriers to effective businessintegration, accounting for 30per cent of failed integrationsacross the world.

Skye Bank is the outcome ofthe Chukwuma Soludo inspiredconsolidation regime whichbrought together five legacybanks: Prudent, EIB, Bond,Reliance and Co-operativebanks, which have been inharmonious existence since

Skye Bank:BuildingAcquisition onPeople

*Timothy Oguntayo, CEO, Skye Bank Plc

By BABAJIDE KOMOLAFE 2006. The major strengths of thebank include its diverseownership structure, qualitymanagement Board and staff,prudent financial managementand strong reputation on servicedelivery. According toinformation on the bank’swebsite, the bank has acumulative wealth of experiencespanning over 50 years, whichmakes the bank one of Nigeria’soldest banking institutions. Evenbefore it acquired MainstreetBank in late 2014, the bank wasquoted on the Nigerian StockExchange (NSE), with ashareholder list of over 450,000names, made up of individualand corporate investors.

Mainstreet Bank was, untilAugust 5, 2011, known asAfribank Plc., and was listed onthe Nigerian Stock Exchange(NSE). Afribank was a top 5Nigerian Bank by balance sheetsize, before the 2004/5consolidation exercise. However,the Bank failed the stress testconducted by the Central Bankof Nigeria (CBN) in 2009,Mainstreet Bank popularlycalled MBL emerged as abridge institution to take overand manage the assets andliabilities of Afribank. Prior toacquisition, MBL had over 220branches and 125 ATMsstrategically located acrossNigeria. It offered traditionalcommercial Banking as well aselectronic, collections, amongstothers. Apart from that, the thenMainstreet Bank had a total ofnine subsidiary institutions mostof which though ailing, held alot of promise if well managed.The nine subsidiaries include:Bureau de change, Capitalmarkets, Real estate, Insurance,Microfinance, Registrars,Securities and Trusteeship,including a financial serviceoutlet in Ireland. Theexpectations of the shareholdersis for the new larger bank tomatch top competitors in theareas of asset size andacquisition of loyal MainstreetBank customers, improveliquidity to create betterperforming risk assets, andincreasing profitability

Whilst Skye Bank andMainstreet can boast of greatdegree of confluence in businessand strategic levers, same cannotbe said of both institutions’cultural background. Indeed,most mergers across the globe

have either succeeded or failedon account of how well theymanage the people issues.Building a bond of trust after anM& A is so difficult to achievethat most institutions soon afterthe merger begin to record poorbusiness performance leading toattrition of key employees.

Either by sheer providence orsheer dexterity in strategicexecution, Skye Bank hasassumed a distinct reference casestudy of successful M&A withinthe sub-Saharan space of theemerging markets. This is moreso when no one gave the bank achance to survive let alone soar.

Given the fenzy and theperceived cultural gap thatexisted between Skye Bank andMainstreet Bank, it wasprojected that managing theacquired bank and its resourceswould be a herculean task.

Yet, Skye Bank, drawing fromits experience of managing aprevious M&A has successfullyproved critics wrong. Unlikemany institutions, Skye Bankresisted the temptation ofrunning multiple wage system.The bank immediately uponacquisition harmonised its paystructure, compensations andprivileges a move which whichexperts believe is one of the

determining factors forsuccessful acquisition. Whenemployees understand that theyare given equal opportunity andrewarded in the same mannerwith their peers, they are likelyto embrace the new entity aspositive change.

Most of the staff I interactedwith in the branch whichincidentally had equal measureof both legacy Mainstreet andSkye Bank explained that thebank is conscious of its historyand has indeed designed “staffbonding activities such as SkyeDay, Customer Service weekVillage Meeting activities whichcreated specific roles for theexecutives and staff members.,This is amidst other sportingactivities that are designed tostimulate and bond staff togetheraround a common vision andpurpose.

The unique benefit in fusingthe two cultures however lieseven more in the aspirations ofthe average Mainstreet Banker.The average staff of MainstreetBank desires a stablemanagement and leadershipand a caring organisation.Amidst that, they also seek anorganisation that will supporttheir career aspirations; anopportunity which they seem tocherish in Skye bank.

The 2015 third quarter resultfigures showed that the Mr.Timothy Oguntayo-led mergerhas been positive on the bank’sfinancial performance. SkyeBank recorded a sharp 33.1%rise in gross earnings to N129billion as at September 2015compared to N97 billion in thecorresponding period of 2014.The significant increase in grossearnings was boosted by aconsiderable increase in interestearned on loans and advances,which shot up significantly by25% to N99.5 billion from N79.5billion within the same period.

A few commentatorsacknowledge that most of thespecious media attacks the bankhas faced in recent times canlargely be attributed to theacquisition of Mainstreet Bank.

John Holts Plc hascontinued to fall deep

into financial mess as it recordednegative shareholders’ funds ofN3.6 billion for the year endedSeptember 30, 2015.

This represents 9.1 per centincrease over N3.3 billionnegative shareholders’ fundposted in the full year endedSeptember 30, 2014.

The result for the periodreleased on the floor of theNigerian Stock Exchange (NSE)showed that the company alsorecorded gloomy performanceacross all financial indicesduring the year under review.Its revenue for the period fell by13.9 per cent to N2.82 billion asagainst N2.43 billion recordedin the preceding year.

It posted Group loss before taxof N171 million compared toprofit before tax of N427 millionposted the previous year,representing 140.0 per centdecline.

Despite 144.9 per centreduction in the current taxposition for the period, itachieved Group loss after tax ofN254 million as against N591million recorded during thesame period in 2014, indicating143.0 per cent fall.

Consequently, the auditor ofthe company, BDO ProfessionalServices, expressed doubt overthe ability of the company tocontinue as a going concern.

In their report to shareholdersof the company signed byEbenezer Olabisi on behalf of theindependent auditors, BDOProfessional Services said:“Without qualifying our opinion,we wish to draw attention to note42 to the financial statementswhich indicates that thecompany incurred a loss beforetaxation of N311 million (group:N171 million) during the yearended 30 September, 2015(2014:profit of N266 million,Group: N427 million and as atthat date, its current liabilitiesexceeded its current assets byN4.2 billion (2014: N4.4 billion)and had a negativeshareholders’ funds of N3.6billion (2014: N3.3 billion).

“As at the same date, theGroup’s current liabilitiesexceeded its current assets byN1.2 billion (2014: N1.6 billion)However, the Group had apositive shareholders’ funds ofN3.2 billion (2014: N3.3 billion).These conditions indicate theexistence of a materialuncertainty which may castdoubt about the company’sability to continue as a goingconcern.”

John Holt postsN3.6bn negativeshareholders’ funds

By NKIRUKA NNOROM

Either by sheerprovidence or sheerdexterity in strategicexecution, Skye Bankhas assumed adistinct reference casestudy of successfulM&A within the sub-Saharan space of theemerging markets

CMYK

24 — Vanguard, MONDAY, JANUARY 11, 2016

Interview

perspective—on your storyand punctuate it with three R’s:resolve, resilience, and restraint.

• I will first identify the globaleconomic transitions that areaffecting Nigeria and the region.

• I will then turn to theimportance of managing thenear-term vulnerabilities facingNigeria’s economy.

• And, finally, share mythoughts on what might help toachieve more inclusive andsustainable growth.

Global economic transitionsand implications for Nigeria andthe region

So let me start with the bigpicture. For more than a decade,growth in Sub-Saharan Africawas driven by an extraordinarycombination of improved policies,stronger institutions, highcommodity prices, and highcapital inflows.

The region has now entered adifferent phase, wherecommodity prices and capitalflows are far less supportive. Weare in the process of updating ourforecasts, but broadly the IMFstaff estimates that regionaleconomic growth dropped from5 percent in 2014 to about 3.8percent last year, with only amodest recovery expected in2016.

There is a similar picture at theglobal level—modest growth last

S peech by ChristineLagarde, ManagingD i r e c t o r ,

International Monetary Fund,to the Nigerian NationalAssembly, Abuja when shevisited the country on January6, 2016.

IntroductionMy first visit to Africa as IMF

Managing Director was in late2011, and the first country onmy itinerary was Nigeria. At thattime, Nigeria was emerging fromthe 2008-09 commodity pricecollapse and the banking crisisthat followed.

Since that visit, Nigeria hasbeen acknowledged as thelargest economy in Africa—witha maturing political system. Wesaw a peaceful general electionlast year in which, for the firsttime in Nigeria’s history, therewas a democratic transitionbetween two civiliangovernments. It was a strong signof Nigeria’s commitment todemocracy, to a new Nigeria.

At the same time, the externalenvironment has changed. Oilprices have fallen sharply; globalfinancial conditions havetightened; growth in emergingand developing economies hasslowed; and geopolitical tensionshave increased.

All this has come at a timewhen Nigeria is facing an urgentneed to address a massiveinfrastructure deficit and highlevels of poverty and inequality.

So, Nigeria faces some toughchoices going forward.Nigerians, however, are wellknown for their resilience andstrong belief in their ability toimprove their nation and leadothers by example. I firmlybelieve that Nigeria will rise tothe challenge and make thedecisions that will propel thecountry to greater prosperity.

As the great Nigerian novelistChinua Achebe once said: “If youdon’t like someone’s story, writeyour own.” This is exactly whatyou are doing right now.

And let me assure you that, asyou go forward, as youdevelopyour story, the IMF willsupport your efforts.

Today, I would like to offer my

year, with only a slight accelerationexpected in 2016. Emergingmarkets, which propelled globalgrowth after the 2008 globalfinancial crisis, have slowed;advanced economies are stillrecovering from the impact of thatcrisis; and financial marketsremain volatile.

In fact, both at the regional andglobal level, growth is affected bythree major economic transitions.They include China’s move to anew growth model, the prospectof commodity prices remaining lower for longer, and the increasingdivergence in monetary policy inmajor economies, especially sincethe recent rise in U.S. interest rates.

Understandably, policymakers inthis region are concerned—because these transitions cancreate spillovers through trade,exchange rates, asset markets, andcapital flows.

For example, spillovers are nowaffecting oil-exporting countries,which generate about half of thisregion’s GDP. These economies,including Nigeria, are facingmassive pressures andchallenging prospects.

Over the medium term, oil pricesare likely to remain much lowerthan the 2010-13 average ofmore than $100 a barrel. Why?Because of the huge oversupplyin global oil markets. Think of theshale oil boom in the United States,and some historically largeproducers such as Iraq and Irancoming back to the market. Otherfactors include OPEC’s strategicbehavior and the drop in globaldemand for oil, especially inemerging economies.

Already, lower oil priceshave sharply reducedNigeria’s exportearnings andgovernment revenues.Both are likely toremain at depressedlevels, reducing the

space for policy interventionsto address Nigeria’s social andinfrastructure needs.

Private sector investment willalso be affected. Investorconfidence about the outlookhas remained weak, andfinancing is likely to becomemore difficult and more costlyfor everyone. With U.S. interestrates expected to continue torise, albeit slowly, the likelihoodof capital outflows will increase,and exchange rate pressurescould mount as investors re-assess their appetite for risk.

More broadly, Sub-SaharanAfrica is also facing spilloversfrom geopolitical factors,including the fight againstBoko Haram. The threat ofterrorism is very real and neverfar from our minds. Havingbeen in Paris during theNovember attacks, I knowfirsthand the sorrow that somany Nigerians carry in theirhearts.

In this region, terrorism notonly takes a human toll but italso makes public financesmore fragile. How? Bywidening budget deficits.Revenues are lower, includingfrom lower growth, andspending needs higher,including for security and forsupporting those impacted bythe violence. One immediatedownside is higher financingneeds that can crowd out otheressential public spending.

This brings me to my secondtopic—how can policymakersmanage these near-termvulnerabilities?

Managing near-termvulnerabilities

Let me start by underscoringthe progress made in recentyears. Nigerians have createda large and diversifiedeconomy that has grown byabout 7 per cent a year over thelast decade. This has been aremarkable achievement, a

testament to Nigeria’s immensepotential.

The outlook, however, hasweakened. Growth in 2015 isestimated at about 3.2 percent—its slowest pace since 1999—andonly a modest recovery isexpected in 2016.

For a country with a rapidlyincreasing population, thismeans almost no real economicgrowth in per capita terms.

On top of the slowdown,vulnerabilities have increased.The ability to manage shocks isrestricted by low fiscal savingsand reserves. And the weakeningoil sector could stress balancesheets and put pressure on thebanking system.

Reduced confidence and lowercapital spending also impact thenon-oil corporate sector.Unfortunately, this sector looksless resilient today than duringthe downturn of 2008-09.Companies that have increasedtheir leverage and US-dollar debtin recent years may now comeunder pressure as they facerising interest rates and astronger dollar.

Nigeria also has a largeregional footprint, and itsfortunes affect that of itsneighbors, especially throughtrade. For example, it isestimated that a one percentreduction in Nigeria’s growthcauses a 0.3 percent reduction inBenin’s growth.

Nigeria faces sometough choices goingforward. Nigerians,however, are wellknown for theirresilience and strongbelief in their abilityto improve theirnation and leadothers by example.

Nigeria shouldact with resolve,build resilience,and exerciserestraint-IMF

Vanguard, MONDAY, JANUARY 11, 2016 — 25

Interview

*Christine Lagarde, IMF President

So what can policymakers do?I see an immediate priority—

a fundamental change in the waygovernment operates. What doI mean by that? The new realityof low oil prices and low oilrevenues means that the fiscalchallenge facing government isno longer about how to divide theproceeds of Nigeria’s oil wealth,but what needs to be done so thatNigeria can deliver to its peoplethe public services they deserve—be it in education, health orinfrastructure.

This means that hard decisionswill need to be taken on revenue,expenditure, debt, andinvestment going forward. Mypolicy refrain is this:

Act with resolve—by steppingup revenue mobilization. The firststep is to broaden the tax base andreduce leakages by improvingcompliance and enhancingcollection efficiency. At the sametime, public finances can bebolstered further to meet the hugeexpenditure needs. For example,the current VAT rate is among thelowest in the world and well belowthe rates in other ECOWASmembers—so some increaseshould be considered.

Build resilience—by makingcareful decisions on borrowing.Nigeria’s debt is relatively low atabout 12 percent of GDP. But itweighs heavily on the publicpurse. Already, about 35 kobo of

every naira collected by thefederal government is used toservice outstanding public debt.

Exercise restraint—by focusingon the quality and efficiency ofevery naira spent. This is criticallyimportant. As more people paytaxes there will, rightly, beincreasing pressure todemonstrate that those taxpayments are producingimprovements in public servicedelivery.

Let me give you examples ofwhat I mean:

On capital expenditure, thefocus must be on high-impact andhigh value-added projects. Thisis why the government is focusingon power, integrated transport(roads, rail, air, and ports), andhousing. These can help connectcenters of activity across thecountry and drive growthprospects.

On recurrent expenditure,efforts should be made tostreamline the cost of governmentand improve efficiency of publicservice delivery across the federaland sub-national governments.Transfers and tax expendituresshould also be addressed. Forexample, continuing the movealready begun by the governmentin the 2016 budget to eliminateresources allocated to fuelsubsidies would allow moretargeted spending, including oninnovative social programs for the

most needy.Indeed, fuel subsidies are hard

to defend. Not only do they harmthe planet, but they rarely helpthe poor. IMF research shows thatmore than 40 per cent of fuel pricesubsidies in developing countriesaccrue to the richest 20 per centof households, while only 7 percent of the benefits go to thepoorest 20 per cent.

Moreover, the experience herein Nigeria of administering fuelsubsidies suggests that it is timefor a change—think of the regularaccusations of corruption, andthink of the many Nigerians whospend hours in queues trying toget gas so that they can go abouttheir everyday business.

At the same time, we should notforget the huge challenges facingNigeria’s state and localgovernments. These sub-nationalgovernments—which account forthe bulk of social spending—haveonly limited tools to manage theimpact of declining oil revenues.

My message here is tomanage better the

smaller purse,while buildingcapacity toi n c r e a s ei n t e r n a l l yg e n e r a t e drevenue.

The IMF canhelp in thatregard byp r o v i d i n gt e c h n i c a lassistance on

public financial management. Wedid so for the Kaduna StateGovernment. We can explore howto support states’ efforts toundertake budget reform.

I see another immediate policypriority—strengthen Nigeria’sexternal position. The essentialfact is that, given the structure ofthe economy, the massive fall inoil prices—which is expected tocontinue—has changed themedium term foundations foreconomic resilience. To be clear,the goal of achieving externalcompetitiveness requires apackage of policies includingbusiness-friendly monetary,flexible exchange rate anddisciplined fiscal policies, as well

as implementing structuralreforms. Additional exchange rateflexibility—both up or down—canhelp soften the impact of externalshocks, make output andemployment less volatile, andhelp build external reserves. Itcan also help avoid the need forcostly foreign exchangerestrictions - which should, in anycase, remain temporary. Andgoing forward, improvedcompetitiveness from improvedexchange rate flexibility and otherreforms will facilitate the neededdiversification of the exports baseand, ultimately, growth.

This brings me to my finaltopic—how can policymakersachieve more inclusive andsustainable growth?

3. Achieving inclusive andsustainable growth

The good news is that Nigeriais already, in many ways, a 21st-century economy.

• Think of the boom in mobilecommunications in a countrywhere more than 140 million cellphones are in use, nearly one foreach Nigerian.

• Think of the vibrant, home-grown film industry that hasbecome the world’s second-largest by output. Nollywoodemploys about one million peoplewho create films that are winningaudiences across the continentand beyond.

• Think of the growing numberof innovative startups—fromfashion to softwaredevelopment—that arepromoting Brand Nigeria.Indeed, the growth in services toabout half of Nigeria’s output is atestament to the transformationthat has begun, and which needsto continue.

But we all know that hugestructural challenges remain,despite the many initiatives thatare ongoing. Let me highlight theconditional cash transfer schemein Kano, where poor householdsreceive financial assistance linkedto girls’ enrolment in schools.Overall, however, poverty andinequality still remain high,especially in some parts of thecountry.

Women account for about 42percent of the total labor force—which is comparatively low—andtheir literacy rates are well belowthat of men. Maternal mortalityis relatively high because oflimited access to health care.Many women and children aredying every day simply becausethey cannot get to medicalfacilities fast enough.

With that in mind, what are thekey policy priorities? Invest inquality infrastructure, make thebanks work, and improvegovernance. Let me take each inturn:

The first—act with resolve tosignificantly improvetransportation networks andpower delivery [i.e., generation,transmission, and distribution].For example, Nigeria could beexporting tomato paste—a stapleof Nigerian cuisine—on a large

scale, but it imports about half ofwhat it needs. This is whyNigeria needs to build moreroads and better rail networks, sothat more farmers can bring theircrops to market.

Likewise, more investment isneeded in energy infrastructurein a country where too manybusinesses and householdsregard their backup generators astheir main power source.

The second priority—buildresilience by fostering a soundbanking system. This will helpchannel more savings intoproductive investments,especially in qualityinfrastructure.

To be sure, Nigeria’s banks aregenerally well-capitalized andmore resilient than during thedownturn of 2008-09. But they arebeginning to feel the impact of thegrowing vulnerabilities in thecorporate sector. This meansrising non-performing loans,which will need to be carefullymonitored and managed.

The third priority—act withresolve in fighting againstcorruption. In his first publicspeech after the election,President Buhari singled out corruption as a “form of evil thatis even worse than terrorism.”

Corruption not only corrodespublic trust, but it also destroysconfidence and diminishes thepotential for strong economicgrowth.

At the global level, it isestimated that the cost ofcorruption is equivalent to morethan 5 percent of world GDP1,with over US$ 1 trillion paid inbribes each year2.

Here in Nigeria, importantinitiatives to discourage graft areunderway and should beapplauded. Let me highlight thepublication of monthly data onthe finances and operations of theNigerian National PetroleumCorporation. This providesinformation on a key sector,building confidence intransparency, and improvingaccountability of oil revenues, forthe benefit ofall Nigerians.

Much more can—and needs tobe—done. Fighting corruption isa multi-year, multi-generationalstruggle that must be won.

ConclusionSo let me conclude: today your

nation has embarked on a newjourney. Nigeria is looking ahead,while drawing strength from itsassets—the richness and diversityof its culture, the ingenuity of itspeople, and the belief in a betterfuture.

Today policymakers have theopportunity to address near-termvulnerabilities and medium-termc h a l l e n g e s — w i t h resolve,resilience, and restraint.Today the “Giant of Africa” iswalking with a spring in herstep—inspiring others in theregion and across the world.

As the great Nigerian poet BenOkri once said: “Our future isgreater than our past”.

Nigeria’s debt isrelatively low atabout 12 percentof GDP. But itweighs heavily onthe public purse.Already, about 35 kobo of everynaira collected bythe federalgovernment isused to serviceoutstanding publicdebt.VVVVV

26 — Vanguard, MONDAY, JANUARY 11, 2016

Micro-Finance

Umuchinemere Pro-credit Micro Finance

Bank Enugu (UPMFB) hasdisbursed N140 million outof the N220 billion MicroSmall and MediumEnterprises Fund of theCentral Bank of Nigeria(CBN).

This is even as the bankpaid 16kobo dividend pershare to shareholders in itsfinancial year endedDecember 2014.

The bank further achievedan increase in its earnings,recording 35Kobo earningsper share performance, ascontained in the bank’sofficial annual reportapproved by the Central Bankof Nigeria, recently releasedby the bank.

Speaking at the 2014 AnnualGeneral Meeting, Chairmanof the bank, Monsignor ProfObiora Ike, said that the totalassets of the bank increasedfrom N2.099 billion in 2013 toN2.557 billion in 2014.

UPMFB disburses N140m CBN intervention fundpays 16k dividend to shareholders

By PROVIDENCE OBUH “UPMFB is participating inthe disbursement of theFederal Government’sN220billion special fund formicro, small and mediumscale enterprises and has sofar disbursed a total ofN140million to a total of 447persons, in partnership withCBN and Enugu Stategovernment.

“In implementing theFederal Government’sfinancial inclusion principle,

the bank, as a Faith basedfinancial institution driven bythe Church’s mission ofeconomic evangelization andby the pursuit of its goal ofempowering the ruraldwellers as a tool of reducingpoverty in the society,extended its outreach to theautonomous ruralcommunities of Iba Agwa Nikeand Ugwogo Nikerespectively before the closeof 2015. Already, the bank is

serving the financial needs ofnumerous rural communitiesspread across two of the threesenatorial zones of Enugustate,” he said.

Commending theshareholders, for theircontinued support, goodwilland trust given to the bank inits 20 years of operations, Ikesaid that the bank was poisedto attain greater heights in thedays and years ahead,disclosing that the bank

intends to step up itspromotion of agriculture byincreasing its credit facilitiesto its genuine farmers.

Specifically, the 35Koboperformance in earnings pershare was a noticeabledifference compared to its2013 earnings of 26Kobo perand 15Kobo dividendpayment per share.

In the year under review,the bank made a total net profitof N112,899,521, againstN79,172,994 in the previousyear, with its shareholders’fund rising fromN599.6million in 2013 toN686million in 2014.

The chief executive officer/Director General of a Germanentrepreneurship centre,Social Entrepreneurship andEnterprise DevelopmentStrategies, Carl GustavBjertines, advised theshareholders of the bank to begrateful to the board andmanagement of the bank dueto the prudent way they havebeen managing the bank andtaking it to greater heights.

Umuchinemere Pro-creditMicro Finance Bank wasestablished by the RomanCatholic diocese of Enugu in1995 and celebrated its 20th anniversary during its annualgeneral meeting of 2015.

Managing Director, AccionMicrofinance Bank, Ms. Bunmi Lawson,has called for enabling environment toboost serviece delivery in themicrofinace bank subsector .

She said that the absence of basicfacilities to support service deliverydisturbed the performance ofmicrofinance banks in 2015 adding thatthe activities of the Boko Haraminsurgents also caused set to some banksoperating in the North East in 2015.

Lawson said that banks would haveperformed even better in 2015 if the

2016: MfB operator seeks enabling environmentgovernment had provided facilities andsupported the banks, just as she advisedthe Federal Government to provide moreconducive environment for banks tooperate.

She urged President MuhammaduBuhari to prioritise the provision ofinfrastructure to enable banks andindustries to improve their services toNigerians.

She advised that the FederalGovernment should also ensure thatbanks had easier access to interventionfunds to support their operations in 2016.

Vanguard, MONDAY, JANUARY 11, 2016 — 27

Business & Economy

The National Unionof Food,

Beverage and TobaccoEmployees (NUFBTE)has called on thepresidency to prevail onthe Central Bank ofNigeria (CBN) to reviewthe forex policy listing oftriple concentrate tomatopaste among the 41 itemsbanned from accessingforeign exchange fromthe official window.

NUFBTE president,Lateef Oyelekan, madethe call while speakingwith journalists in Lagoson the impact of the banon the manufacturers oftomato paste.

He said the ban, whichhas resulted in theinability of the firms toimport tomatoconcentrate which is themain raw materials usedin their productionprocess, has drasticallyaffected them.

He stated that thecompanies involvedshould be given thelatitude to plan forbackward integration asone of the downside ofthe policy is that it couldlead to massive joblosses, as an estimated1000 jobs are likely to belost in the tomato processmanufacturing sector.

“The jobs of theworkers are at stakeunless the ban isreversed and theopportunity for backwardintegration would be lostby the affectedcompanies.”

According to him, thequantity of the producebeing cultivatedpresently in the countryis not enough for localconsumption and thequality is not goodenough to be processedinto paste.

He pointed out that itwould take years for theplanting, harvesting andprocessing of theproduce intoconcentrate, adding thatmost of the companieshave run out of stock.

Oyelekan explainedthat the volatility factorinherent in tomatofarming is often a productof seasonal variations,which is itself a functionof the variables ofweather, agronomy,water, seed, fertilizer,market, storage,transportation, andnumerous other agro-allied businessdynamics.

NUFBTE calls for forex policyreview on tomato paste

By NKIRUKANNOROM

“If triple concentratetomato paste is nowplaced among the list ofitems that will not haveaccess to the foreignexchange marketovernight, that line ofbusiness has been killedbecause the governmentis working from theperspective that there aretomatoes in theenvironment forcultivation, processinginto paste and packaging.Rather than prohibitingthe items overnight, whynot engage themanufacturers indiscussion.”

He expressed that theobjective of the forexrestriction was not a badidea on its own; butlamented that theimplementation of thepolicy has far-reaching

implication in the short,medium and long term.

Also speaking on thepolicy, president, theLagos Chamber ofCommerce and Industry(LCCI), Remi Bello,while decrying the policy,warned that mostmanufacturers might beforced to shut down andmove their operations toneighbouring countriesdue to their inability toaccess foreign exchangefor raw materials andother critical inputs.

According to him, thegovernment needs to firstaddress the issue of post-harvest wastageemanating frominadequate storage andthe absence of processingfacilities and thedevelopment of agro-allied industry.

Ecobank Nigeriahas commenced

Agency BankingServices, enabling itsappointed agentpartners carry outbanking services on itsbehalf. Agency bankingservices is designed toincreasesthe bank’sretail distributionnetwork allowing itprovide basic bankingservices to its customersas well as offer paymentservices such as banktransfers, bill paymentsand airtime top to thegeneral public.

The Agency Bankingservice is also intendedto offer basic bankingservices to theunderbanked and whileproviding extendedhours for availablebanking services in thec u s t o m e r s ’neighborhood.

Announcing thecommencement of theEcobank AgencyBanking service inLagos, Head, Cards ande-Banking, AyotundeKuponiyi said it is partof the bank’sdistribution strategy totake banking service tothe door-step of thecustomer.

“This is extending ourbanking services toc o n s u m e r s ’neighborhood to offereven greaterconvenience andaccessible financial

Ecobank Nigerialaunches agency bankings e r v i c e s

services in a costeffective and securemanner” he said.

Mr Kuponiyi listed

agents partners alreadyoffering this services inLagos as BuymoreSupermarket chain (inAgungi-Lekki, KiloSurulere, Ikeja GRA),Kenzo RetailSupermarket chain (inLekki, Festac andApapa) and Save-a-LotSupermarket in Egbeda.He maintained thatmore locations arecoming up in Lagos andother major cities andtowns across thecountry.

Banking servicesprovided by the agents banking locationsinclude openingEcobank Quick Account,cash withdrawal anddeposit into Ecobankaccounts; fundstransfers into any bankaccount in Nigeria, billspayment (utilities,cable subscription, etc),mobile phone airtimetopup amongst otherservices.

Ecobank AgencyBanking service whichis the first of its kind todebut in Nigeria isaimed at offeringaffordable access tofinancial services topromote and deepenfinancial inclusion inthe Nigeria economy.

28 — Vanguard, MONDAY, JANUARY 11, 2016

Economy

Prospects of 2016 economyon Nigeria is currently

overshadowed by negativedevelopments in 2015 andmany economists and financialanalysts are projecting that2016 may not easily shake offthe impacts.

An articulated review of 2015economy and the 2016 forecastis presented here coveringmost key sectors by WSTCFinancial Services Limited, amember of the Nigerian StockExchange, NSE, and a majoroperator in the Nigerianfinancial sector.

Oil Sector: Underlyingweaknesses and uncertaintiespersist

Year-on-year, the oil sectorexpanded by a modest 1.06 percent in Q3 2015, making it thefirst quarter of growth in theyear. The growth in the oilsector was volume based ashigher crude oil productionwas sufficient to offset theimpact of weak oil prices duringthe quarter.

Given an outlook of weak oilprices, the performance of theoil sector in the current yearand in the near future willdepend on the volume of oilproduction. Further increase inproduction will depend oninflow of capital investmentsinto the sector and this, to alarge extent, depends on theresolution of the regulatoryimpasse in the sector (causedby non-passage of thePetroleum Industry Bill) andfederal government’scommitment to its fundingobligations with its jointventure partners.

Crude Oil: Supply overhangto continue price depression

The favorable crude oil pricesof over 3 years till mid 2014encouraged investments in thesector, while it also improvedthe production viability of crudefrom unconventional sourcessuch as shale oil. This causeda steady upsurge in worldcrude oil production (even theOPEC consistently breached itsset production quota of 30mbpd) despite weaker globaleconomic growth and crudedemand. A result of this was awidening disequilibrium andsupply overhang in the crudeoil market which has continuedto dampen prices.

The OPEC Reference basket(ORB) price averaged $49.56per barrel in 2015, significantlydown from $96.29 per barrelrecorded in 2014. ORBbottomed at $30.74 per barrelwhile it peaked at $64.96 perbarrel within the year.

We believe crude oil prices

Nigeria 2016: The economy crystal ball by WSTCBy EMEKA ANAETO,Economy Editor

will remain low in 2016 in thelight of weaker demand for thecommodity due to slow globalgrowth, unabated crude oilsupply surfeit and highinventory levels.

Non-oil sector: Widespreaduncertainties to impede growth

On the contrary, growth rateof the non-oil sector continuedits descent for the fourthconsecutive quarter in Q3 2015

on account of the earlier-listedfactors, particularly politicaland Forex uncertainties. Thenon-oil sector grew by 3.05 percent in Q3 2015, compared to7.51 per cent in Q3 2014.

Growth faltered in all themajor contributors to the non-oil sector in Q3 2015.

Given the currentenvironment of low oil priceand the significance of revenuefrom oil in government’searnings, government’searnings generating potentialis expected to still beconstrained in the early part of2016, even as the non-oil sectorcontinues to reel from low levelof economic activity.

The main task before thepresent administration will beto stimulate the economy andto tackle the perennial problemof the Boko Haram Islamic sect.

Business spending andoverall confidence may still behamstrung to a large extent inthe first half, H1, of 2016 byslow decision making processof the government and centralbank’s currency restrictions.

Nevertheless, economicexigency will eventuallyovershadow politicalconsiderations regarding theappropriate pricing of theNaira, as we expect that theCBN will eventually shiftgrounds as regards Forex rate(although this may notcrystallize until later in theyear).

Ultimately, the rate of outputgrowth will be determined to alarge extent by the timing ofcurrency liberalisation and thepace of government reforms.

Foreign Reserves:Depressed oil prices toprecipitate further depletion

In tandem with the pressureon the local currency, the stock

of foreign reserves declined in2015 as the CBN continued tohold firmly to its grips on thevalue of the Naira after thedevaluation in February. Thenation’s stock of externalreserves declined by 15.66 percent to close the year at$29.07bn.

Nigeria was not an outlier asweak oil prices also affected thelevel of foreign reserves in mostof the OPEC member countries.

Although crash in oil pricesand speculation against theNaira that ensued thereofformed the general theme uponwhich the depletion in reserveswas anchored in 2015, themovement in reserves in eachof the two halves of the yearwere, however, influenced bydifferent factors. Alongsideweak oil prices, thepreponderance of socio-political risks associated withthe general elections anduncertainty about theprogramme of the newgovernment weakenedconfidence in the domesticeconomy and contributedsignificantly to the depletion inH1 2015.

With the successful

completion of the generalelections and handing over ofpower to a new government, asignificant part of socio-politicalrisks subsided.

However, policy uncertaintysoon replaced politicaluncertainty as general policyinertness of the newadministration deterred foreigninterests in the country.

Given an outlook of low oilprices in the current year and

the cap on attainable domesticproduction, we do not foreseeany significant accretion toreserves in 2016.

Also, the CBN will continueto hold on to its resolve todefend the Naira at theexpense of external reservesaccretion.

In the current situation inwhich the most significantsource of foreign exchangeearnings has been impaired byfundamental factors in theglobal oil market, thediversification of the source offorex earnings and aggressiveimport substitution remain theonly sustainable option forreserves accretion.

However, given the structuralrequirements for attainingeconomic diversification andthe time it takes to generateresults, we expect that inflowsfrom crude earnings will stillremain the major contributor toreserves in 2016.

We also believe that adownward adjustment of thedomestic currency andliberalisation of the forexmarket will not only boostconfidence in the localeconomy, but will also reducethe pressure on foreignreserves.

However, we note thatdevaluation will only providean easy and quick respite toForex depletion. We stronglybelieve that the provision of amarket-friendly economic and

socio-political environment willenhance inflow of foreign(direct and portfolio) capitaland also foster the domiciliationof such inflows within thecountry.

Forex Market: Devaluationimminent

The CBN, in its bid to achieveits core mandate of pricestability and to also align itselfwith the position of thegovernment on the value of theNaira, remained resolute inpegging exchange rate amidthe country ’s worrisomepreference for and dependenceon imports.

Unfortunately however,weaker-than-expected crudeoil prices and theaccompanying reduction inforeign exchange earningshave significantly raised thecosts of defending the Naira(i.e. the pace at which Forexreserves is being depleted).

In 2016 we expect the CBNto continue to adopt restrictivemeasures in maintaining thevalue of the Naira at the currentpeg to the Dollar in theinterbank segment of the Forexmarket.

Nonetheless, we note thatthis approach is not sustainablein the mid-term given theoutlook of weak crude oil pricesand the implications of Forexcontrols on the domesticeconomy. Thus, we maintainthat an official re-pricing of theNaira to a more market-reflective rate remainsimminent.

Inflation: Supply side forcesto stoke up pressure

Headline inflation rose from8.00 per cent in December 2014to 9.40 per cent in November2015. The increase in thegeneral price level amid slowdown in aggregate spendingindicates that inflation wasbasically driven by cost-pushforces during the year. Principalamong these forces includevolatile exchange rate, highcost of credit (resulting frommonetary tightening duringmost of the year), scarcity ofpetroleum products andincrease in electricity tariff onnon- residential consumers.

In addition, the lingeringnorthern security crisis equallytook its toll on food supply fromthe region, thus impactingnegatively on food pricesduring the year.

We expect the government topursue some economic policiesthat will have inflationaryimplications in its bid to reviveeconomic growth.

Thus, we expect theimplementation ofexpansionary fiscal plans andthe CBN’s monetary easingstance to stoke inflationarypressures in the current year.

We expect that theCBN will eventuallyshift grounds asregards Forex rate,although this maynot crystallize untillater in the year

Vanguard, MONDAY, JANUARY 11, 2016 — 29

Insurance

VISIT — From left: A board member of the Nigerian Council of Registered Insurance Brokers(NCRIB), Mr. Tunde Oguntade; Managing Director/CEO, Favour Insurance Brokers Limited,Mrs. Bunmi Ademosu; NCRIB President, Mr. Kayode Okunoren; Ogun State Deputy Governor,Mrs. Yetunde Onanuga; NCRIB Deputy President, Mr. Shola Tinubu; NCRIB Executive Secretary/CEO, Mr. Fatai Adegbenro and NCRIB Governing Board Member, Mr. Biodun Durodola duringa courtesy visit of NCRIB delegation to the Deputy Governor at Ogun State Secretariat.

insurance industry is a pre-requisite to any country ’seconomic growth anddevelopment. It is thisunderlying principle thatdrives government all over theworld to devote particularattention to the development ofthe insurance industry.

“A developed insurancemarket helps reduce socialspend of the governmentthrough reducing the financialburden on the state of caringfor the aged and for those whohave been rendered financialdestitute due to incapacitationor death of a breadwinner ordue to calamity such asflooding, earthquakes,bushfire, etc,” Mokwunyestated. According to him, toresolve the problem of lowinsurance penetration,government must demonstrategenuine interest in the industry.

Integration of agriculture, informal sectorsinto economy could increase insurancepenetration — Mokwunye

The integration ofagriculture and the

informal sectors into thefinancial system as well asdevelopment of insuranceproducts and channels to themarket that would cater to theirneeds are a necessity ifreasonable insurancepenetration is to be achieved.

Group Managing Director ofRoyal Exchange Plc, Mr. ChikeMokwunye who stated this,said, “With the structure of theNigerian economy whereagriculture and the informalsector are growth drivers andcontribute substantially to theGDP, and the participants inthese sectors constitute a largerpercentage of the workingpopulation, the integration ofthese sectors into the financialsystem and the development ofinsurance products andchannels to the market thatwould cater to their needs area necessity if reasonableinsurance penetration is to beachieved.” Mokwunye, whostated this at the ChampionInsurance day in Lagos, added,“In Nigeria, households,businesses – especially thesmall and medium scaleenterprises and the informalsector - demonstrate low levelof financial literacy. They oftenlack sufficient awareness of therisks to which they are exposed,the ability to correctly assessthese risks and the knowledgeof insurance products that aredesigned to mitigate theinsurable risks.

Mokwunye identified factorsresponsible for low insurancepenetration in Nigeria toinclude poor disposableincome and a relatively weakeconomy; lack of awareness;competition through pricing/mispricing of risks; poor imagedue to lack of trust/perceptionabout insurance by the generalpublic (often given too muchpremium); as well as nature ofinsurance business andbenefits.

Others are traditional/culturalsafety nets which “crowd out”demand for private, commercial(formal) insurance solutions;lack of reserves/resourcesrequired for research anddevelopment of new products/channels; concentration on theelite class, corporate clienteleand public sector; and lack ofproduct/channel developmentaimed towards the bottom ofthe pyramid.

Mokwunye said that theinsurance industry hasexperienced rapid growth inpremium income especially inthe last decade; however, theimpressive growth rate has notbeen accompanied bymeaningful insurancepenetration, which remained

low at 0.30% as at 2014.He said, “A developed

insurance market contributes tosocial and economic stability.Insurance in any economypresents the basic tool of its riskmanagement system.Insurance is crucial inmitigating risks and catalyzinggrowth of enterprises andmarkets by providingprotection over numerous formsof exposures. Insurance alsohelps in minimizing financialstress for individuals andhouseholds.

“Insurance plays animportant role as a veritablesource for wealth accumulationthrough mobilizing domesticsavings and providing a largepool of capital whichgovernment can tap into tofinance budget deficits;especially for capital projects.Hence, a strong and virile

The National Insurance Commission(NAICOM) has said it is considering

the misdeeds of errant underwriters and thatsuch misdeeds could be made public verysoon.

Commissioner for Insurance, Mr.Mohammed Kari, disclosed this at a forum inLagos, while reacting to allegations byshareholders that their dividends were erodeddue to fines and sanctions meted on theircompanies. Kari, who defended the actionstaken by the commission, said NAICOM islooking at details on how underwriters failedto carry out their responsibilities and growtheir businesses.

“We will advise shareholders of insurancecompanies to demand explanations from theirrespective managements to ascertain reasons

NAICOM to publicise misdeeds of insurance firmsthey continue to incur sanctions from theregulator; incur high management expenses;fail to take advantage of the huge potentials inthe market and as well as the various marketdevelopment initiatives introduced byNAICOM to expand their businesses, growtheir revenue income and improve on theirbottom-line to guarantee enhanced dividendpay out to their shareholders. We are lookingat these details and may be making them publicin due course,” he said.

Meanwhile, the National Coordinator,Independent Shareholders Association ofNigeria (ISAN) Sir Sunny Nwosu, has urgedNAICOM to focus on developing the industryto improve the wellbeing of all stakeholders,stressing that investors invested in the industryto maximize returns.

Flooding costs couldpush industry combinedratio above 100%,says Fitch

The recent series ofstorms and floods in the

UK will significantly weaken2015 earnings from householdinsurance for some firms, butare unlikely to affect insurers’capital levels or ratings,according to Fitch.

The agency noted that totalinsured loss estimates forstorms Desmond and Evaranged as high as £1.5bn withthe figure set to rise furtherwhen the cost of storm Frank isadded. Fitch highlighted thatthe scale of insured losses willdepend on how manybusinesses have been affectedadding that if there has beensignificant businessinterruption, insured lossescould rise above the currentestimates.

In a statement Fitch reported:“We believe the flooding couldincrease the industry ’spersonal property accident yearcombined ratio above 100%,indicating an underwritingloss. “But insurers are likely touse reserve releases to bolstertheir 2015 results and maytherefore still report a profit forthe year in this sector.”

The firm stated that it believedpremiums were “starting tobottom out” after a longerperiod of declines that hadpushed them to a five-year low.

India yet to formconsensus on naturalcatastrophe pool

Creating a naturalcatastrophe pool - a

pooling of private insurancecompanies for better equalisingthe risk associated with naturaldisasters - for India remains adistant dream, as the industryis yet to form a consensus onthe structure of the pool andpricing.

The concept was mooted bythe finance ministry. While thisproposal was presented almostthree years ago, size of the pooland who would be a part of ithave not been finalised.

In the wake of the naturaldisaster in Uttarakhand, the talkabout the proposal came to thefore. In 2013, non-life insurancecompanies had presented aconcept paper on catastropheinsurance to the NationalDisaster ManagementAuthority (NDMA). Theconcept paper highlighted theneed for a pool mechanism todeal with losses fromcatastrophic events. Because ofan absence of such a pool, bothinsurers and reinsurers have tobear the cost, leading to a bighit on their profitability.

Stories byROSEMARY ONUOHA

A developedinsurance markethelps reduce socialspend of thegovernment throughreducing thefinancial burden onthe state

30 — Vanguard, MONDAY, JANUARY 11, 2016

Business & Economy

the statements they makeabout the coming year. Beforepresenting the actual figuresfrom some states of theFederation, it is important tosubstantiate the allegationthat many of our state chiefexecutives are living inAlice’s Wonderland.

Niger State GovernorAbubakar Bello represents thecommon trend among stategovernments. First, hedeclared that “Our revenuehas dropped by more than 50per cent, but, it will not be anexcuse for us not to serve ourpeople.” Then, the governorwho admitted the reducedrevenue still went ahead topresent a bigger budget for2016 than for 2015- which isnot being achieved. You mustwonder if states like CrossRiver, Sokoto, Yobe, intendto print their own currenciesto finance their budgets giventhe absence of anydemonstrable IGR source thatis left to be tapped in thosestates.

The most common statementthey make is the pledge notto retrench staff. Admirable asthat might sound, thedeclaration flies in the face ofother facts which cannot beignored. Certainly, the samestates still owe staff severalmonths’ salaries with no morebail-out money or loan to helpthem pay. So, no retrenchmentmeans assuming further

Consequences of statesreducing budgets for 2016

The most obstinate illusions are ultimately broken by facts.” TrevorRoper, in THE LAST DAYS OF HITLER. (VAGUARD BOOK OF

QUOTATIONS, VBQ, p100).Roper, in one of the best books on the last days of the German leader wrote

about how Hitler, deceived by his field commanders set about deployingimaginary troops in order to halt the advance of the Allied Forces into hiscountry. It was comical and historical. It demonstrates how political leaderscan turn to clowns when faced with realities which are too harsh to admit.

Most Nigerian governors are now like Hitler with their 2016 budgets and

obligations to pay the staff. Allthings remaining the same, itmeans the states will fallfurther behind in payment ofarrears of salary.

Unfortunately, things willnot remain the same for mostof the states. In fact, for manystates, the immediate future isfrightening. At the same timethey are promising not toretrench staff, they are alsopromising to “improve” onservice delivery in manyarrears of social like. Again,the reader of those statementsis bound to laugh or cry. Thesituation is simply ludicrous.Below is a chart of the 2015and 2016 budgets for selectedstates of Nigeria. The rest arenot different in many respects.

STATE Budget 2015 Budget 2016

Lagos 489.6bn 662.5bnBorno 201.24bn 155.7bnPlateau 197.12bn 154.0bnYobe 80.6bn 88.9bnSokoto 125.9bn 174.4bnImo 143.0bn 102.2bnKogi 88.6bn 75.0bnKaduna 204.7bn 171.7bn

In fact, only twelve (12)states expect to spend morein 2016 than they did in 2015.The remaining twenty (20)

expect to spend less. That,however, is not the end of thestory. On the aggregate thethirty six states plan to spendN14bn more in 2016 than theydid last year. Remove Lagoswhich expects to spend aboutN174bn or 26% more in 2016than last year, the rest willspend N159bn less than2015.

Most states depend onfederally allocated revenuefor most of their expenditure;those dependent statesgenerate less than five percent of their expenditurefrom Internally GeneratedRevenue, IGR. Even Lagoswhich generates the highestIGR as well as the highestratio of IGR to total revenuewill have to almost double itsIGR revenue in 2016 in orderto reach the N662.59bnbudgeted.

“Morning shows the day orat least a good part of it.”

Meanwhile, the price ofcrude oil tumbled to an 11-year low by Wednesday lastweek. That is $4 or 10.5% lessthan budget per barrel. TheFederal budget is lower for

2016 than 2015. Clearlystates budgeting increasedexpenditure must knowsomething the rest of usdon’t. It will be interestingto see how they pull it off.

The GDP 0f any nationconsists of the aggregation ofall the units constituting thateconomy. States, as a group,remain a key variable in thedetermination of the endresult.

With states intending tospend less, and even thereduced budgets notassured, it is clear that all thepolitical promises aboutimproving services, notretrenching staff, etc, arenothing more than the usualpromises by politicians whichthey are bound to break asthe year proceeds.

With states consuming lessof everything from cars tocomputers, gasoline and“Ghana-Must-Go” bags, themarketers of those productsand services can also lookforward to a difficult year.Those states still promisinganything “free” are eitherguilty of self-delusion ordeliberate falsehood. Therewill be nothing free in 2016.Not even a vault in thegraveyard – whose costs arealso going up. The year 2016will be the most expensiveyear to live or die in Nigeria– in any state.

“

slowdown. U.S. payrollgrowth surged in December,capping the second-best yearfor American workers since1999. While that was furtherevidence of a resilient jobmarket that prompted theFederal Reserve to raiseinterest rates, wages grewslower than forecast, addingto disinflation concerns stokedby plunging commoditiesprices.

“There will remain somejitters about China until theyget get through a week or morewithout having a precipitousdrop,” said Peter Jankovskis,who helps oversee $1.9 billionas Co-Chief investment officerof Lisle, Illinois-basedOakBrook Investments. “Givenwhat’s going on in China rightnow, the market is looking foreconomic growth and evidencethat there’s strength in the U.S.economy. We’re still walking onegg shells, but this is definitelygoing to help turn a corner.”

Specifically, the Standard &Poor ’s 500 Index rose 0.3percent at 10:47 a.m. in NewYork. The index almost eraseda gain of 0.8 percent before

Continued from page 19 Stock market: Investors loseover N455 bn in 5 days

stabilizing. The gauge endedthe first four days of 2016 lowerby 4.9 percent, its worst startin data going back to 1928.

“The big concern right nowis what’s happening overseas,particularly in China,” saidBruce Bittles, chief investmentstrategist at Milwaukee-basedRobert W. Baird, whichoversees $110 billion. “Todaythere was a very strong labormarket report that relievedsome of that concern. Investorstypically sell the first rally aftera big selloff, because it’s thefirst chance they can get out onan uptick. That’s why the firstrally after a deep decline is hardto get underway.”

The 292,000 gain in payrollsexceeded the highest forecastin a Bloomberg survey andfollowed a 252,000 increase inNovember that was strongerthan previously estimated, aLabor Department reportshowed Friday. The medianforecast in a Bloomberg surveycalled for a 200,000 advance.

In Europe, the Stoxx Europe

600 Index fluctuated. Thegauge is down about 4.5percent in the week, the worstperformance since August,when China’s shockdevaluation of the yuan roiledglobal markets.

Emerging MarketsThe People’s Bank of China

set the yuan’s daily fixing at6.5636 per dollar. That’s 0.5percent higher thanThursday’s onshore effectiveclosing price in the spot marketand ends an eight-dayreduction of 1.42 percent. Thesecurities market regulatorabandoned the circuit breakerafter plunges of 7 percent in theCSI 300 triggered automatictrading halts on Monday andThursday in its first week.

The MSCI EmergingMarkets Index advanced 0.3percent, rebounding from a six-year low. Benchmarks in China,Brazil, South Korea, Thailandand Hungary gained at least0.6 percent. Russian marketsremained closed for holidays.

The CSI 300 Index of large-cap companies in Shanghaiand Shenzhen advanced 2percent and the Hang SengChina Enterprises Indexclimbed 1.1 percent from afour-year low.

India’s rupee and SouthAfrica’s rand led gains inemerging-market currencies,climbing at least 0.4 percentagainst the dollar. Brazil’s realstrengthened 0.3 percent.

CurrenciesThe yen weakened 0.8

percent and the Swiss francslid 1 percent against thedollar. The euro fell 1 percentafter German industrialproduction unexpectedlydropped in November. Output,adjusted for seasonal swingsand inflation, slid 0.3 percentfrom October, when it gained arevised 0.5 percent, data fromthe Economy Ministry in Berlinshowed.

BondsU.S. Treasury 10-year notes

fell for the first time in sevendays, sending yields up twobasis points to 2.17 percent.China may be sellingTreasuries to raise money aspart of its efforts to stabilizemarkets, said Yoshiyuki Suzuki,head of fixed income in Tokyoat Fukoku Mutual LifeInsurance, which has $55.9billion in assets. China’sforeign-exchange reservesshrank last year for the first timesince 1992, according to centralbank figures on Thursday.

Yields on euro-denominatedjunk-rated corporate debt roseto the highest since November2012 on Thursday. Theaverage yield climbed 12 basispoints to 5.99 percent,according to a Bank of AmericaMerrill Lynch index.

CommoditiesOil fell 0.8 percent to $33 a

barrel and contracts on Brentcrude dropped 0.4 percent to$33.62 in London.

Gold pared its best weeklyadvance since August, falling1 percent to $1,098.23 anounce. The precious metal hasoutperformed othercommodities this week asinvestors sought haven assets.

Many of our statechief executives areliving in Alice’sWonderland

Vanguard, MONDAY, JANUARY 11, 2016 — 31

Media & Advertising

Competition in Nigeria’sSmartphone market

is unwavering as the bigplayers try to stamp theirdominance while new entrantssuch as Infinix Mobility andothers are pushing with newdevices.

Notwithstanding, few yearsago, the Nigeria mobile marketwas dominated by the likes ofNokia, Apple, Samsung, HTCand Blackberry. Then cameTecno with cheap and affordablesmartphones, within few yearsit became a popularSmartphone brand in Nigeria.

As noted, Tecno made it to thesecond spot of that list for itssuccess in selling millions ofcheap and affordablesmartphones to Nigerians.

Ever since then other newSmartphone brands haveflooded the Nigerian marketwith affordability.

The success of Tecno inNigeria has encouraged thesenew smartphone brands to enterinto the Nigerian mobile marketwith cheap and affordablesmartphones with veryawesome configurations.

Infinix Note 2 is one of thenew smartphone brands inNigeria. Infinix mobilitycompany is one of the biggestelectronics company in Chinathat develops and sell topquality smartphones.

Now they have entered theNigerian market with the InfinixNote 2 Smartphone and otheraccessories.

Battle in Smartphone marketcontinues as infinix pushes

From Left: Head of Diagnostics, Automedics, Mr. John Quincy; Head Sales Oando MarketingPlc, Mr. Babafemi Olabiyi; CEO, Oando Marketing Plc, Mr. Abayomi Awobokun and HeadLubes Oando Marketing Plc, Mrs. Lilian Ikokwu , during the Free Car Oleum Syn Diagnosticsfor Car Owners by the company at National Stadium, in Lagos.

However, a cursory look intothe Nigeria Smartphonemarket indicates influx ofvarious phone brands which isattributed to the vibrancy of themarket, occasioned by itsyouthfulness.

Information technologyexperts say the entrants areassociated with the level ofinternet penetration in thecountry, in the last decade, andthe quest for affordable phonesthat can perform the functionsof expensive high-end phones.

Recently, the marketwitnessed the entrant of InfinixNOTE 2 with cheap price,

while others have trended inthe same market space pushingforward affordability as their

bait.According to Seun Ajiboye, E-

Commerce Manager, InfinixMobility, at a briefing in Lagos,said Infinix NOTE 2 wasintroduced to raise the bar insmartphone brands in theNigerian market.

His words: “since we enteredthe Nigerian market three yearsago, we have had positiveresponse from customers andwith the Infinix NOTE 2 weintend to raise the bar becauseit is one of our most advancedsmartphone yet in terms ofdesign and features”.

While listing the features ofthe NOTE 2, Ajiboye stated thatthe NOTE 2 comes with excitingspecs customized for daily use.

In his words: “The InfinixNOTE 2 offers a bright andlarge 6.0 inch screen with slimbezels that maximizes thespace of the display. Itsstunning HD 720 X1280resolution display reproducesnatural colors with deepcontrast andThe 6.0 inch screenenhances productivity. Withthe Infinix NOTE 2, carryingout tasks such as emailing,writing down notes or evenbusiness Visio-conferences willbe fun and easy to accomplish”.

Speaking on the phone’sfunctionalities, he stated; “theNOTE 2 possesses anadvanced 13 Mega pixel rearcamera and an optimized 3Plens 2 Mega pixel front cameraf/2.0 aperture. The rear camerafeatures a Samsung S5K3M2ISOCELL CMOS sensor and 5P lens with an f/2.0 sensoraperture offering a 78 degreeshooting angle.”

Stories byPRINCEWILL EKWUJURU

The Primary objective of advertising isto inform, educate and to persuade

consumers to buy a product, but when itbecomes absurd and immoral, it tends tocreate disaffection and dissatisfaction on theminds of consumers.

Invariably, all attempts to inform andpersuade must respect the purpose of humanfreedom if they are to be moral.

Morally good advertising must seek tomove people to choose and act rationally inmorally good ways. Likewise, morally evilad will seek to move people to do evil deedsthat are self-destructive.

Consequently, the recent advert on variousbillboards tagged: ‘Capturing interestingmoment,’ in parts of the country, advertisingNew Age charger and power banks displayedthe picture of a lady showcasing her ‘Godgiven’ backside, with a camera snapping her,and a young guy looking lustfully at her‘backside’ undermine advertising ethics andstandard, says Jerome Uwadiegwu,Executive Director, Moving Brands Nigeria.

According to him, “the ad do not in anyway sell the product, rather it sells immorality.

Ads that are undermining advertising ethosIn fact, the product advertised was lost onthe board, not visible like the lady and youngman on the board, so what is the boardselling.” He queried.

However, first time viewing the advert thequestion that readily comes to mind is, whatis the ad talking about?. How the ad passedthe advertising standards panel, ASP of theAdvertising Practitioners Council of Nigeria,APCON who is saddled with responsibilityof regulating and controlling advertisementis a question that need be answered byAPCON.

The ad does not have any moral justificationto have passed the ASP water tight vettingmachinery. What would have gone wrong forthe ad to scale the panel’s hurdle?

Or didn’t APCON see the ad before itsexposure?. APCON should answer thesequestions and much more.

Like Christopher Lasch, an AdvertisingExpert had posited; “advertising is topromote consumption as a way of life, itshould empty communication of its content,ads shouldn’t be tasteless, irritating orlower’s culture in general.”

InstinctWave unveilsNigeria Public SectorConference & Awards

InstinctWave, organizersof Marketing World

Awards and Ghana TelecomsAwards has announced thelaunch of the maiden editionof Nigeria Public SectorConference and Awards.

The event, scheduled to takeplace in Abuja in June 2016 isthe first of its kind and poweredby Africa Public SectorMagazine, Africa’s first one stopPublic Sector magazine thatdeals with government policies,growth, development, reformsand probes the impact of thesector on the general citizenry.Nigeria Public SectorConference & Awards will createan arena in which Nigeriapublic sector institutions candiscuss best practice and becompetitive in the sector.

The Nigeria Public SectorAwards will recognizeexcellence in the delivery ofpublic services to Nigerians bythe public sector organizationsand the stake holder businessessupporting national growth. Theawards will shine light on publicsector projects and mostimportantly act as a means ofdelivering more efficient andeffective public services whilealso recognizing effort has beenmade to impact positively on thecitizenry.

Three Crownsrewards competitionwinners

Three Crowns milk fromthe stables of

FrieslandCampina WAMCOhas rewarded consumers whoparticipated in the just endedThree Crowns ‘Cook like mine’competition.

The Grand Finale which heldin Lagos witnessed the 5shortlisted participantspreparing 2 meals - the originalrecipe they had entered thecompetition with and a surpriserecipe selected by the judges.Also the audiences were treatedto a cooking masterclass bycelebrity chefs – Tolu Erogbogbo(Chef Eros) and Uzo Orimaladewho prepared a deliciousChicken Potpie and gave severaltips on making the perfect mealusing Three Crowns Milk as wellas some vital kitchen hacks.

After several hours of cooking,Onome Uriemu from LagosState emerged the winner of theThree Crowns Milk Cook LikeMine Season 1, rewarded witha Side-by-Side Double DoorRefrigerator and lots of ThreeCrowns Milk, the first runner up- Faith Igberase from Sagamu,Ogun State was rewarded witha Chest Freezer, the secondrunner up - Gloria Ogbonnayafrom Kaduna State won a

Tecno in Nigeria hasencouraged thesenew smartphonebrands to enter intothe Nigerian mobilemarket

32 — Vanguard, MONDAY, JANUARY 11, 2016

Omoh Gabriel - Group Business EditorBabajide Komolafe - Deputy Business EditorClara Nwachukwu - Energy EditorPeter Egwuatu - Asst. Business EditorYinka Kolawole - Snr Bus. CorrespondentFavour Nnabugwu - Insurance CorrespondentGodwin Oritse - Maritime CorrespondentGodfrey Bivbere - Maritime CorrespondentMichael Eboh - Energy ReporterFranklin Alli - Industry/Agric. ReporterIfeyinwa Obi - Maritime ReporterRosemary Onuoha - Insurance ReporterNkiruka Nnorom - Capital Market Reporter

CONTRIBUTORSPrincewill Ekwujuru - Media/MarketingJonah Nwokpoku - E-CommerceNaomi Uzor - IndustryProvidence Obuh - Micro FinanceLAYOUT - Graphics Department

(0805 220 1997)

Business & Economy

Christine Lagarde, theManaging Director of

IMF, held strategic meetings lastweek with PresidentMuhammad Buhari and somekey members of Parliament andthe federal executive. GodwinEmefiele the CBN Governor,also joined in the consultationswith the IMF boss, who quicklydispelled the trendingperception that her visit wasprogrammed to initiatediscussions on an imminentIMF Loan.

Lagarde’s assurance may haveassuaged any anxiety that wemay be positioned for anotherround of oppressive IMFconditionalities; however, shealso confirmed that herdiscussions with the Nigerianauthorities centered on “thechallenges stemming from theoil price reduction, and the needto find different revenuesources”.

Consequently, the criticalissues discussed related toevaluation of Nigeria’s short termfiscal situation, and theapplication of fiscal discipline inthe management of availableresources, so as to effectivelyredress the pervading socialwelfare deprivations of themasses and also reduce thewidening gap between a veryrich small minority and over 100million other Nigerians who livein abject poverty.

Buhari’s well known resolve towrestle corruption and plugdeliberate serial leakages andadministrative wastages iscertainly in consonance with theIMF’s expectation of fiscaldiscipline in governance.Indeed, Lagarde also expressedconfidence in the currentadministration’s trajectory.

Nonetheless, the IMF bosswas clearly hesitant to endorseNigeria’s highest ever deficit ofover 2Tn in the 2016 budget asfiscal discipline, particularly withthe severe depletion in revenuefrom crude oil export, and thedismal prospect of crude prices

Is lagarde a fairy godmother oreconomic imperialist?remaining cheap in theforeseeable future.

Thankfully, the IMF howeverendorsed concerns expressed inthis column about Government’s‘ambitious’ plan to dedicateabout 35% of all generatedrevenue to servicing existingdebt and Lagarde thereforecautioned that “it weighs heavilyon the public purse whenalready about 35Kobo of everyNaira collected by the federalgovernment is used to serviceoutstanding debts”. Pray, howdoes one compliment a fiscal planthat resorts to borrowing toservice its debts and also fund asubstantial increase in recurrentand capital expenditure, withoutany consideration of theoppressive cost of servicing or thecapacity of future generations torepay those debts.

However, Lagarde’s empathicredemption song for the poormay encourage some Nigeriansto pray that ‘Mama Christiana’should not make this her last tripto Nigeria this year, if ourgovernment’s apparent selfdestruct mode for debtaccumulation persists withLegislative progress towardsenactment of the 2016 Budget asproposed. Indeed if the IMFremains passive on this score,Lagarde’s sympathy for the poor,maybe decried as plainpropaganda, just like herchoreographed visit to an Abujaorphanage, to promote a publicimage of the Supreme FinancialRegulator as a caringinterventionist, in a world wherethe gap between rich and poornations still continues to pullapart under the Fund’s imperialwatch.

Furthermore the IMF boss’srecommendation for VATincrease to generate more

revenue may not however bewelcome news, particularly withorganised labour, who willclearly be wary of the inflationaryimplications on incomes andwages of the working class.Consequently, Government maybe well advised to only considerVAT increases, specifically onLuxury and elite Lifestyle marketproducts such as Air tickets, hoteland restaurantfacilities(excluding local ‘bukas’for now), yachts and automobileswith engine capacity above 2000cc, spirits and tobacco as well asGSM airtime and personal andcorporate turnovers incommercial bank accounts.

Nonetheless, VAT on thoseimported industrial raw materialswhich cannot be sourced locally,should remain at 5% so as topromote competitive pricing oflocally manufactured products,while imports of finishedconsumer goods may converselyalso attract a higher VAT levy asrecommended by ChristineLagarde to generate morerevenue.

The FIRS should also applymore resources to expand the taxnet and increase revenue ratherthan squeeze ‘more blood’ fromalready well documented taxcompliant enterprises which canbarely survive.

Furthermore, the prevailinglow price of crude oil cancertainly also accommodate 5%minimum VAT on the price ofAGO (Diesel) which now sells,profitably according to thecurrent PPPRA template withoutsubsidy at about N100/litre.

Evidently, with petrol pricepresently below the erstwhilesubsidized price of N87/liter;government may have finallyeliminated subsidy to be inconsonance with the stridentcalls by Lagarde’s IMF forsubsidy removal. Unfortunately,this ‘subsidy free’ fuel price willmost certainly becomedislodged, even if crude pricesfurther slides, if the Nairaexchange rate suffers furtherdevaluation.

Regrettably, however, the IMFis obviously in denial that theNaira exchange rate and CBN’sstranglehold monopoly on dollarsupply are infact the majorcausative factors in fuel pricing.For example, any furtherdepreciation in the Nairaexchange rate beyond N200=$1will immediately trigger higherpump prices proportional to theexchange rate differential.Conversely fuel price will fallbelow N60/litre, without subsidy,if the Naira appreciates toN100=$1, even if crude pricesrise again.

Surely the above scenario iscertainly a more plausiblereflection of real time marketdynamics, as increasing crude oilprices should normally swell ourreserves and engender a

stronger Naira. Inexplicablyhowever, the Naira exchangerate remained static betweenN150-160, even when CBNaccumulated best ever reservesin excess of $60bn. Ironically,our bountiful reserves brought nosuccor to the economy, as theNaira exchange rate,unexpectedly, steadilydepreciated, notwithstandingthe prevailing favorable outputand crude prices, while fuelprices, conversely spiralled toinduce over N1Tn as subsidypayments annually.

Instructively, however, the IMFteam will successfully resolve theabove dilemma with a carefulconsideration of the marketdynamics between systemicexcess Naira supply and CBN’sweekly auctions of dollar rationswhich predictably promoteweaker Naira exchange ratesthat distort resource allocationand also destabilise thoseeconomic fundamentals whichpromote poverty by instigatinghigher inflation rates andprohibitive cost of funds to thereal sector.

The patent failure of theinstruments of monetary policywas again highlighted when theCBN Governor and IMF bossappealed to CEOs of moneyDeposit banks, at a consultativemeeting last week, to support thereal sector with more single digitloans. Clearly, such appeals aremeaningless so long as both theCBN and Government at alllevels happily pay double digitinterest rates for the trillions ofNaira they themselves borrowannually.

It is inconceivable that theabove counterproductive resultsof monetary strategy wouldescape the attention of Lagardeand her formidable array of IMFexperts, unless of course, theyare all knowingly looking theother way, so that the predictablefailure of our economy willsustain the historical templatefor trade between colonies andtheir imperial masters.

“The discussion should shiftto digital inclusion fromfinancial inclusion,” heaverred, adding, “Financialtransaction should be a resultof digital inclusion. Financialinclusion may not increasewealth, but influences howhouseholds responds toshocks”

He added that for mobilepayment to succeed inenhancing financial inclusionin Nigerian, “The BVN shouldbe promoted to allstakeholders, particularlygovernment. The BVN shouldalso be used as unique

Banking the Unbanked with mobile payments(secondary) identifier with thecredit bureaus, and possibly apre-condition to credit.

“The authorities should /identify the minimum level ofsufficient Know-Your-Customer(KYC) to open a retail account.Stakeholders should undertakeserious consumer education ofcredit reference bureaus(CRB)”.

He advised that financialinstitutions to develop Agencymodels that are economicallyviable to the Agent outlet andas well as propagate low costbiometric POS at Agents toassure operational integrity andalso acquire end point data.”

Achieving the above,

according to Kuponiyi impliesthe need for collaborationamong multiple stakeholdersand developing mobilepayment that suit the lifestyleof the likes of Baba Segun. “It is imperative as we developthe mobile to enhance inclusionto also look at acceptance ofpayment from the mobile as theprocess won’t be concluded tillvalue is really added to thebottom-of-the-pyramid (BOP)that we want includedfinancially. The inclusionservice must address whatthese segments spend moneyon typically and in short mustaddress their lifestyle”, he said.

Regrettably, however,the IMF is obviouslyin denial that theNaira exchange rateand CBN’ss t r a n g l e h o l dmonopoly on dollarsupply are infact themajor causativefactors in fuel pricing

CContinues from page 22

Vanguard, MONDAY, JANUARY 11, 2016—33

CMYK

Send Opinions & Letters to:opinions1234@yahoo.com

Umaru Ibrahim and the challenges ofUmaru Ibrahim and the challenges ofUmaru Ibrahim and the challenges ofUmaru Ibrahim and the challenges ofUmaru Ibrahim and the challenges ofa second chancea second chancea second chancea second chancea second chance

Bashir Hassan

THE re-appointment of Mr. UmaruIbrahim as the Managing Director of the

Nigeria Deposit Insurance Corporation(NDIC) for a second consecutive five-year termcould hardly have come to many keen observersof the financial sector of the Nigeria’s economyas a surprise. Rather it is a welcomedevelopment and true to the antecedents of thecurrent Buhari administration’s series ofappointments based only on merits. Thestringent risk management regimes rolled outby the NDIC under his watch were instrumentalto the healthy state of the Deposit Money Banks(DMBs) in the country. These were measuresthat engendered the industry’s significantimprovement on return on assets (ROA), returnon equity (ROE) as well as yield on earningassets translating into profitability.

The vigilance that NDIC maintained overthe last four to five years led to what we arewitnessing today of the improvements in termsof the Capital Adequacy Ratio (CAR) of theDeposit Money Banks (DMBs) as well as theirAsset Quality. For example, the total loan in2012 is N8,150 billion as against N7,273billion in 2011. Similarly, Non Performingloans dropped significantly in 2012 from N360billion in 2011 to N286 billion in 2012.

A more recent example as contained in theNDIC 2014 Annual Report is that total loansand advances granted by banks across thecountry climbed from ?10.04trillion in 2013to ?12.63trillion in 2014. The report was,however, quick to point that despite significantimprovement in banking industry’s assetquality, the volume of non-performing loansrose from ?321.66billion in 2013 to ?354.84bnin 2014. But it allays any fears that the ratio ofthe bad debts to total loans is within theregulatory threshold of 5 percent. Thanks tothe constant vigilance of the Corporation inrecent times “all the DMBs in the industry hadliquidity ratios in excess of the minimumprudential requirement of 30 per cent, as at

31st December 2014, indicating that all DMBswere sufficiently liquid,” the report discloses.

Having successfully steered the ship of theNDIC to safety during the recent globalfinancial turbulence .In the process, Ibrahimdisplayed rare acumen and established himselfas a thoroughbred professional. Theharmonious working relationship between theNDIC and other regulatory bodies like theCBN, Federal Ministry of Finance, the SECand NSE under his leadership put him in goodstead ahead of any other candidates who mighthave eyed the coveted seat. Add this to hiseffective management of the human resourcesat the corporation. His humble dispositiontowards his staff, which always surprises themwhen he calls them by their first names atinformal events, endears him to many. Today,the morale of the 1,000-plus strong staff at theNDIC is at its peak. He has ensured constanttraining and retraining to enable them meetthe challenges of modern deposit insurance.

Another factor that might have worked forIbrahim’s advantage was the fact that he hasbeen an insider, a long-standing familymember of the NDIC, having been with theinstitution from its humble beginning andgrown through the ranks to the pinnacle of itsmanagement position.

NDIC was established as a risk minimiserwith the broad mandate of deposit guarantee,bank supervision, as well as provision ofmechanism for orderly resolution of failures,

including bank liquidation. In its 25 years ofexistence, the Corporation has been strivingto achieve this mandate. Ibrahim proved heknows how to achieve this mandate throughinnovative approaches. If one juxtaposes someof the measures taken to achieve the mandateof the NDIC in the yesteryears and those takenrecently under the watch of Umaru, hisincredible mastery of the game isunmistakable.

Some of the measures taken by the NDICback in the 1990s to save many collapsingbanks, for example, included moral suasion;continuous interaction with bank managers/owners; imposition of Holding Actions ondistressed banks to restrict operations andencourage self-restructuring; and renderingof Financial Assistance to banks.

But the most recent measures taken from2009 to the years Ibrahim held sway were quitenovel in banking failure resolution. So far wehave seen these innovative approaches in theforms of bail outs; bridge banking;establishment of asset ManagementCorporation of Nigeria (AMCON); assistedmerger and acquisition and introduction ofFinancial Stability Fund (FSF).

The idea of establishing AMCON started in2010 for the purpose of efficiently resolvingthe non-performing loans assets of banks inNigeria. The strategy included recapitalizationof the technically insolvent ones and enhancingthe availability of credit to the critical sectorsof the economy. Consequently, AMCONacquired the three (3) bridge banks from NDICand injected the sum of N1.012 trillion(U$6.98 billion) into them as capital injection.AMCON also injected the sum of N1.379trillion into five (5) of the intervened banks(Intercontinental, Oceanic, Finbank, ETB,Union) with a view to facilitating their mergerand/or acquisition.

The amount injected (invested) by AMCONhad another positive impact. It shored up theaffected banks shareholders’ funds that werenegative and made investment in the banksattractive to investors. Access Bank acquiredIntercontinental, Ecobank, Oceanic, FCMBFinbank, Sterlling and Bank Equitorial Trustrespectively.

The reappointment of Umaru Ibrahim is abig challenge to his career as well as the futureof NDIC. For one, Ibrahim needs to rise to theoccasion and prove to the world that PresidentBuhari has not made a mistake in entrustinghim with the leadership of the NDIC for thesecond time. The more reason for this is Mr.Ibrahim is not the first to enjoy this confidencefrom the Presidency before him Mr. John U.Ebhodaghe (1989-1998) and Mr. Ganiyu A.Ogunleye (1999-2009) all led the NDIC fortwo consecutive terms.

Secondly, he needs to know all eyes are onhim to take NDIC to even greater heights. Andachieving that is no easy ball game. As ever,he will need the maximum corporation of hismanagement team and staff generally. Equallyimportant, he must stick to his persuasive andcooperative posture that has so firmlyendeared him to the leadership of the othercritical stakeholders in the industry, the CBNmost importantly and the SEC not the least.

The NDIC needs to deepen the confidencethe financial institutions, financial media aswell as the investing public have in theCorporation. It needs to retain priority inprotecting the depositors, which is the centrepiece of its operations. But at the same time itneeds to be more circumspect about the muchneeded changes that need to be introducedwithin the operations of the Corporation, toensure that these strengthen its role within thepurview of the law. A delicate balancing actwill come to bear here. Based on his deeperexperience of the industry’s nuances andpolitics, the re-appointed MD/CEO has thewherewithal to save the day.

The NDIC has developed good rapport withthe international community of DIS in the pastfew years. Leveraging on this will furtherstrengthen regional and international co-operation as well as promote sharing ofexperiences and compliance with bestpractices.

Since Mr. Umaru Ibrahim has set enviablerecords in the past, surpassing those recordsshouldn't be a difficult task. This is theexpectation of watchers of the nation’sfinancial system.*Mr. Hassan, a financial analyst, wrotefrom Abuja.

The reappointment ofUmaru Ibrahim is abig challenge to hiscareer as well as thefuture of NDIC

INTERNATIONAL MonetaryFund (IMF) Managing

Director, Madam ChristineLagarde was on a four-day visit toNigeria from January 4. Sheclaimed it was a friendly visit: “I’mnot in Nigeria to negotiate forIMF loans but to promote fiscaldiscipline and favourablemonetary policies”

Making the visit look like someholiday for herself, and husband,Monsieur Xavier Giocanti, sheeven visited the Mother TheresaChildren Home, Abuja where onbehalf of the IMF she donated ahefty sum of $7,500 todemonstrate that “We at the IMF,we care about the youths, poor andabout those who are left at the sideof the road.”

But those familiar with the IMFknow that the expressed love forNigeria, the youths, the poor andthe orphaned, are side shows tomake the visit look like some longlost aunt visiting her loved ones.The last time Hurricane Largardemade a landfall in Nigeria fouryears ago, it was so devastatingthat amongst other things, thewhirlwind tossed petrol (PMS)price from N65 to N140 setting offserious social crises. The attemptsto clear the hurricane debris took

When IMF visits, tears followWhen IMF visits, tears followWhen IMF visits, tears followWhen IMF visits, tears followWhen IMF visits, tears followyears, and the negative effects arestill felt today. Some uniquecharacteristics of IMF hurricanesare that their effects are notimmediately visible and theirafter-effects are quite devastating.It is like cleaning up a nuclearaccident site.

For example, the IMF inSeptember 1986, lured theBabangida regime to adopt anebulous Second-Tier ForeignExchange Market (SFEM). By thetime the IMF was through with usunder that regime, the currencywhich was about 90 kobo to thedollar went up to N18.

Like a colonial headmistressvisiting primary school pupils, sherubbed our heads saying Nigeriais doing great to improve thebusiness environment. She thenlaunched into platitudes: “povertyand inequality remain high”“Nigerians should brace up forharder times” “reduce leakages”“Hard decisions must be made”

It is in the DNA of the IMF to tellyou what you already know, andonly what it wants you to know. Itis like a person admonishing ahunchback to straighten up andwalk like other people as if that isnot the wish and prayer of the

hunchback.Generally, the mentality of the

IMF is to tax and furtherimpoverish citizens of pliantcountries either directly throughits so-calledCONDITIONALITIES or in moresubtle ways like friendly visits;whatever the method, theobjectives are the same. As the IMFhas done for about four decadesnow, Largarde told us last week“subsidies are no longer good” butwe all should know that is a lie; ifsubsidies are good for Europeans,who in addition, have all sorts ofsafety net and good infrastructure,why should they be bad forAfricans?

The IMF is the preserve ofEurope like the World Bank is thatof the United States; if subsidiesare bad, should Europe not stopthem first before asking underdeveloped countries to discardthem? The Europe Union (EU) has

a huge regime of subsidies underits European Grants and Subsidiesprogramme. A component part ofthat subsidy system is its CommonAgricultural Policy (CAP) underwhich the EU gives an annual E60Billion subsidy to Europeanfarmers. This is still captured inthe current EU 2014-2020 Budget.

Largarde, like her predecessor,Dominique Strauss- Khan, isFrench. The French maintain hugesubsidies for agriculture andsmall scale businesses which itcalls “incentives”. There is acurrent dispute between the EUand fifteen European countriesincluding France over theutilisation of agriculture subsidies.From the EU funds alone, Francehad paid its farmers E3.5 billionsubsidies while the EU argues thatonly E2.4 billion subsidies wereproperly processed. But the FrenchAgriculture Minister, Stephane LeFoll has assured French farmersthat they would not need toreimburse the balance of E1.1billion as the government will bearthe costs. So if Largarde and herfellow French enjoy generoussubsidies, why would she tellNigerians that subsidies areharmful?

Of course, she told us to have a“Flexible Monetary Policy”. Tothe uncritical, Largarde might beimplying the so-called “flexible”policy the IMF has forced Nigeriato run for thirty years now. But sheis actually telling us to furtherdevalue our currency. Of course,she asked Nigeria to increaseValue-Added-Tax (VAT). In animport-dependent country, toincrease VAT is to push inflationhigher. It will also lead to mass joblosses because machinery and lotsof raw materials are imported. Asexpected, the IMF chief wants us

to “broaden the tax base” whichcomes down to imposing moretaxes on the populace, especiallyworkers.

The refrain of the IMF fordecades now is the removal of so-called fuel subsidy. On this, sherepeated the decades old IMF triteabout subsidy injuring the poor,and the need to free funds for otherprojects. But our experience inNigeria is that increases in pricesof petroleum products have led tofurther impoverishment; costs oftransportation, food, housing,education and goods rise, ourgenerator-dependent economyruns into more trouble and jobs arelost. With the currency devaluationchampioned by the IMF, we willcontinue to need more and morenaira for imported fuel which isthe primary cause of subsidy. Hasanybody ever wondered why theIMF is always pressuring Nigeriato remove subsidy on importedfuel rather than pressure it as anoil-producing country to locallyrefine petroleum products?

Nigeria over rates the IMF;allowing its officials to meet ourleaders at the highest levels ratherthan assigning the Central BankGovernor as the highest possibleofficer a Lagarde can meet. TheIMF is an unimaginativeinstitution that makes the sameanalysis and prognosis decadeafter decade. It is like a fake doctorwho diagnoses the same ailmentfor all patients and administersthe same expired drugs to allpatients irrespective of disease. Ittakes fundamental and farreaching decisions forunderdeveloped countries withouttaking any responsibility. The IMFis essentially, an undertaker; whenit visits a country, the state of thepopulace, takes a turn for theworse.

The last timeHurricane Largardemade a landfall inNigeria four yearsago, it was sodevastating thatamongst otherthings, thewhirlwind tossedpetrol (PMS) pricefrom N65 to N140setting off serioussocial crises

34—Vanguard, MONDAY, JANUARY 11 , 2016

OSHODI MARKET DEMOLITION: Tradersbacktrack, accept govt's plan

By MonsuruOlowoopejo

LAGOS—TRADERS from thedemolished Owonifari

electronic Market, Oshodi wereweekend divided on whether tore-accept the Lagos StateGovernment’s plannedrelocation to OshodiResettlement Market (formerIsopakodowo market) or not.While some maintained theirprevious stance, others havebacktracked.

It will be recalled that thetraders had earlier rejectedLagos State Government’s plansto relocate them to OshodiResettlement Market, formerIsopakodowo market, citingstructural instability and severalstructural defects on the buildingas their reason for the rejection.

Vanguard gathered thatlarger percent of the traderstowed ethnic lines in theirdecision. While those of Easternextraction decided to secureshop in Arena Shopping Mall,Bolade, Oshodi, their Westernbrothers have opted for thegovernment plans.

A visit to the Arena ShoppingMall, owned by the NigerianArmy on Saturday, the mallmanagement were sightedinstructing artisans on howsome large shops should bepartitioned. Also at their office,the desk officials were busyattending to applicants,especially traders of thedemolished Owonifari market.

Also, the traders who havebeen allotted spaces/shops wereseen waiting for their artisansto complete fixing of theirfurniture or sorting their goodsbefore stocking them in theirnew shops.

Accepting demolition ingood fate

A trader, Mrs. Bridget Okoro,who spoke to Vanguard, saidthat she had accepted thedemolition in good fate, saying“I have moved on with mybusiness. And I am happy thatI have secured a shop here.Space in the mall is spaciouscompared to Owonifarielectronic market.”

Another trader who identifiedhimself as Solomon Okey, saidthat the location of the mallwould afford him theopportunity to retain hiscustomers. “It is just on thesame axis. And it has enoughparking lots. I believe that wouldalso help us attract morecustomers.”

But the story is not the samefor some traders who were yetto raise the required fund to rentshops in the mall.

A trader who spoke on thecondition of anonymity,lamented that he was yet to raisethe required fund to secure ashop in the Arena ShoppingMall, noting, “I am still sourcingfor funds. Presently, I kept mygoods in my friend’s warehouse.And immediately I couldachieve that, I will approach themall management to secure ashop.”

A representative of the mall’smanagement who identifiedherself as Mercy, explained toVanguard that the rent wasN300,000 per annum, N3,000agreement fee and monthlyaccess charge of N6,000.

However for the traders whoaccepted the Lagos StateGovernment offer, they havepurchased allocation forms,filled them; attached thenecessary requirements. Afterwhich they handed their formsover to their representatives foronward submission.

Some of the documentsattached to the forms wereallocation letters, Lagos StateResident Registration Agency,LASRRA, registration slip andtwo passport photographs.

An official of the StateGovernment, who chose tospeak under condition ofanonymity, in an interview withVanguard on Friday, confirmedthat sizeable number of thetraders have collected theirforms.

He noted that they have beeninstructed that traders ofdemolished Owonifari marketshould be given priority

consideration in the allotmentexercise before others.

Former executive chairman ofthe Market, Prince Issa Ogun-Kayode told Vanguard that hehas submitted his form and waswaiting for the government tocommence allocation.

Why agreementbetween traders,govt delayed

Fact emerged weekend whythe meeting between the tradersand the government footdragged, even after they agreedon the monthly rent.

It was learned that the formerlegal counsel to the traders, oneMr. Lasisi, advised them toaccept the State Governmentoffers. But while they wereconsidering this suggestion,another lawyer approached thetraders offering them better legalservice which they accepted.

A reliable source toldVanguard that while the casedragged on, the traders raisedanother committee to meet withthe government representativeswith the aim to either considerwithdrawing their case orcontinue.

At the meeting, the source toldVanguard that after accepting theirdemands, they introduced a N6,000 monthly ‘Access Charge,’which made the traders angry.

He noted that the traders rejectedthe ‘Access Charge,’ stating thatthey cannot part with such fundmonthly.

His words; “With the currentsituation, we don’t have an optionnow than to accept the governmentoffer because larger percent of uscannot afford the huge fundrequired to secure shop elsewhere.”

Oshodi demolition nottargeted at Igbo traders—APC chieftain

Meantime, a chieftain of the AllProgressives Congress, APC, inLagos State, Mr NkechiChukwueke yesterday said thedemolition of the popularOwonifari market in Oshodi areaof Lagos State is not targeted at anyparticular tribe, especially the Igbo.

Pouring encomiums on the StateGovernment for taking the boldmove, Chukwueke, who served asSpecial Assistant on Women EthnicGroup Mobilisation/Empowerment to former LagosState Governor, Babatunde Fasholasaid not only Igbo but traders fromother ethnic groups were alsoaffected in the exercise, whichaccording to her “was carried outin good fate and in accordancewith the rule of law.”

Ambode tasked oncrime-freeLagos

She further urged the StateGovernor, Akinwunmi Ambode tofocus on his task of ensuring acrime-free Lagos that will beconducive for all and sundry.

“I have told a lot of my peoplefrom the East that the exercise wascarried out in good fate by the StateGovernment to rid Lagos of crime,restore sanity to the area andensure the master plan of LagosState is not tampered with.

“From facts available, the StateGovernment gave enough notice

to these traders and even providedalternative market for them torelocate to but many of themrefused to go because they believethey won’t make much sales if theygo to the new place.

“The truth is, we must rally roundthe Governor to ensure that Lagosworks. The Governor means wellfor Lagos and he stands to gainnothing by demolishing people’sshops. There are laws of the landand it must be obeyed by all forthe state to progress,” she said.

Also, Chairman of Conference57, the umbrella body of ExecutiveSecretaries of Local Governmentand Local Council DevelopmentAreas in Lagos State, Hon. AlabiKolade David faulted thosecastigating the Governor over thedemolition, insisting that the actionwas a positive step geared towardsdevelopment and progress.

David said those calling theGovernor names over thedevelopment were exhibitingignorance and lack of foresight, assame was in line with thetransformation plan of governmentfor Oshodi.

Oshodi asinternational gateway

David, who described Oshodi asan international gateway to Lagosand indeed Nigeria, said thedemolition was a positive steptowards transforming Lagos intomega city compared to othercosmopolitan city-states of theworld.

“What the Governor has done isa wonderful thing as it will ease offa lot of things in Oshodi. Those peoplethat are saying negative things about theGovernor are the people that do not wantLagos to transform into the megacity thatwe are all yarning for.

“That place is an international gatewayto Nigeria. It is the face of Lagos and faceof Nigeria because Lagos representsNigeria. If we want development forNigeria, if we want development for Lagosand if we want to be put in our rightfulposition, that market must bedemolished,” David said.One of the traders, Prince Issa Ogun-Kayode.

A trader sorting his goods before stocking them in the new shopSome artisans fixing the furniture in one of the new shops. Photos:

Monsuru Olowoopejo.

CMYK

Vanguard, MONDAY, JANUARY 11, 2016—35

Adegboruwa to CJN: Check confusionrocking election petition cases

Youths hail Okowa for galvanizing Deltaethnic groups

Armed Forces RemembranceDay: Okowa urges mutual love

By Innocent Anaba

LAGOS lawyer andrights activist, Mr

Ebun-Olu Adegboruwa,has asked the Chief Justiceof Nigeria, JusticeMahmoud Mohammed, tostep into the crisis that iscurrently rocking electionpetition cases urgently, tosave the judiciary fromimminent loss of integrityand respect.

In a statement in Lagos,Adegboruwa urged theCJN to use the appealspending before theSupreme Court, in thecases of Rivers, Akwa Ibomand Taraba States, to correctthe seeming confusioncreated by the decisions ofthe lower courts in thesecases.

He maintained that theSupreme Court should usethe cases to set a globalprecedent for the lowercourts to follow in electionpetition cases.

He lamented a situationwhere the impression isbeing created in the mindsof the public that differentstandards of judgment existfor different people anddifferent political partiesand different interests.

He said: “In the case ofRivers State for instance, aserving judge, JusticePindigi, who was the firstjudge to head the RiversState Elections PetitionTribunal, had made anallegation that he wasapproached by a certainprominent politician inRivers State, to decide theelection petition in aparticular way, to favour aparticular political interestand that he declined theoffer. Because of this,Justice Pindigi’s panel wasdissolved abruptly. The newpanel that was constitutedset to task to do what Justice

Pindigi refused to do.“We cannot sit by and

accept such politicalinfluence of the judiciary bypoliticians. And it is notsurprising, therefore, thatthe elections petitiontribunal in Rivers Stateproceeded to nullify theelections of virtually allHouse of Assemblymembers, House ofRepresentatives, senatorsand eventually that of thegovernor. That isunacceptable. It is up to theCJN to demystify the notioncreated from the judgmentscoming from Rivers State inparticular.

“We are happy with whatthe Court of Appeal hasdone in Taraba State, butthat is not enough. TheSupreme Court should goa step further and correctthe anomalies of Rivers Statein particular, especiallywhen those judgments runcontrary to existingjudgments of the Supreme

Court on similar facts.”Adegboruwa contended

that it borders on purejudicial rascality, for a judgeof subordinate jurisdictionto the Supreme Court notto follow or obey an existingjudgment of the SupremeCourt, on a matter similarto that which the judge iscurrently deciding, as thatwould spell judicialanarchy and confusion.

“By now, we should havea settled principle of law inrelation to election petitions,as we have in land cases,in matrimonial cases, inchieftaincy cases, amongothers. We cannot beshifting judicial principlesand precedents, to suit thewhims and caprices ofpoliticians, or toaccommodate politicalinterests. I call on thePresident of the FederalRepublic of Nigeria and hisruling party, not to give theimpression of seeking a oneparty state at all costs."

By Festus Ahon

A S A B A —GOVERNOR

Ifeanyi Okowa of DeltaState, yesterday, saidthat Nigeria waswitnessing seriouschallenges that only loveand kindness to oneanother could conquer.

Okowa, during aninter-denominationalchurch service in Asabaas part of activities tomark this year’s ArmedForces RemembranceDay, said that BokoHaram was one of thechallenges that Nigerianeeded to wade through.

At the church service atthe Redeemed ChristianChurch of God, the

governor emphasizedthat remembering thefallen heroes wasimportant as “they diedfor Nigeria to remain oneentity. It is important thatwe remember theirfamilies in prayers.

“It is important that weremember the SupremeBeing who died for us tolive. Jesus Christ died forall of us to havesalvation, so, there is theneed, as a nation, to trulyworship and trust Him.Only God can bringsolution to ourchallenges.”

He challenged men ofGod to pray for Nigeriaand remain theconscience of the nationby speaking the truth.

YOUTHS of Aniomaethnic group in

Delta State havedescribed the stategovernor, SenatorIfeanyi Okowa, as adetribalized Deltan,following hisgalvanization of thevarious ethnic groupsthrough appointment ofaides into positions andsiting of projects.

Coordinator of AniomaGrassroots DemocraticInitiatives, AGDI, asocio-political group,Tony Uwadibie, madethe remark while briefingnewsmen shortly after

the meeting of the groupin Agbor, Delta State.

Uwadibie, flanked byPrince Richmond Mordiand Mr. Ernest Ogosi,Secretary andOrganizing Secretaryrespectively, said theyouths were impressedby the achievements ofthe Okowaadministration so far.

According to him, theappointment of youthsinto the state ExecutiveCouncil was impressive,particularly theappointment of DrNicholas Azinge asCommissioner for

Health.Explaining that Azinge

has a wealth ofexperience in themedical field andpositively disposed tocontribute to the healthsector in the state andNigeria in general, thecoordinator said thatthey were confident thathe will satisfy thegovernor as HealthCommissioner.

Uwadibie explainedthat as an Anioma son,Deltans would benefitfrom the wealth ofexperience in moving thehealth sector forward.

36 —Vanguard, MONDAY, JANUARY 11, 2016

Vanguard, MONDAY, JANUARY 11, 2016—37

CMYK

38—Vanguard, MONDAY, JANUARY 11, 2016

$2.1bn arms deal: No selective justice in waragainst corruption —Umeh

By Peter Okutu

ABAKALIKI—THE formerNational Chairman of the

All Progressive Grand Alliance,APGA, Chief Victor Umehweekend debunked the claimsin some quarters that PresidentMuhammadu Buhari’s waragainst corruption was an act ofselective justice.

He stated this whileaddressing newsmen at EzzaSouth local government area ofthe state, immediately after EzzaEzekuna civic reception for theirExcellencies, Chief DavidNweze Umahi and chiefRachael Umahi at Onueketownship stadium.

Umeh who described thecurrent war on corruption in thecountry as an in housecleansing urged Nigerians at alllevels to allow the vices in thecountry to be removed to paveway for national healing andrestoration to take place in everysector of the Nigerian economy.

The Anambra Centralsenatorial candidate on theplatform of APGA emphasizedthat anybody or group ofpersons hindering or criticizingBuhari’s war against corruptionis not being honest and sincereabout moving the nationforward.

“Nigerians should allow thevices in the country to beremoved and healed; whensomeone steals and you say theperson should not beprosecuted, we are not beinghonest to ourselves.

“Corruption must be dealt within this country; there is nothinglike selective justice system inBuhari’s war against corruptionin the country”.

On the Appeal Court ruling

on Abia State governorshipelection, the APGA chieftain whoapplauded the judiciary fordoing the right thing describedthe court verdict as the mostpopular decision in Nigeria’sjudicial system.

“The Court of Appeal in Abiastate did the right thing byrestoring the peoples mandateto Dr. Alex Otti of Abia state whoactually won the election in allfacets; I wept when an obvious

victory that was won by Ottiwas given to someone else.

“The ruling reinforced myconfidence in the judiciarydespite the fact that the judiciaryhas not lived up to itsexpectations in some matters;however, the ruling gladdens theheart of people; it is the mostpopular decision delivered bythe court of Appeal. Everybodyknows that Dr. Alex Otti won theelection in landslide victory.”

Nnewi gas explosion: FG to issue certificate of safety topetrol stations, gas plants

By JohnboscoAgbakwuru

ABUJA—THE FederalGovernment has said that

henceforth, anyone operatingpetrol stations and gas plants inthe country will obtain certificateof safety from the Department ofOccupational Health and Safety,OHS, of the Ministry of Labour

and Employment to reduceincessant casualty occasionedby gas explosions and fire out-breaks.

The Minister of Labour andEmployment, Senator ChrisNgige, who stated this after anon-the-spot assessment of thegas explosion at the Inter CorpLimited Gas Plant, Nnewi,owned by Chicason Group,which recently claimed many

lives also said that no licenceissued by the Department ofPetroleum Resources, DPR, willbe valid unless there is acertification from the OSHdepartment of his ministry.

Senator Ngige further hintedthat the ministry would soonembark on monthly inspectionof factories to ensure totalcompliance, adding that thiscould be done because there

were offices in all the 36 statesof the federation, including theFederal Capital Territory, FCT,Abuja.

The planned issuance ofcertificate of safety to factories andworkplaces came on the heels ofthe decision by the Nigeria SocialInsurance Trust Fund, NSITF,that every employer yet to enroltheir workers on the EmployeesCompensation Scheme, ECS,would begin payment from July2011 except companies that wereestablished after the July 2011commencement date.

Ngige accompanied by theManaging Director of NSITF,Abubakar Munir, said: “Actually,the Department of PetroleumResources issuing licences forthe building of petrol stations andgas plants is not enough. TheDepartment should also beissuing a safety certificate fromthe Federal Ministry of Labourand Employment.

“From now on, no DPR licencewill be valid unless there is acertification from theOccupational Health and Safety,OSH, department of the ministry.The ministry is also planningmonthly inspection of factories toensure compliance. We can dothat because we have offices inall the 36 states of the federationincluding Abuja.”

Buhari, APC have no hand in Abia judgment —Party Chairman•Abia Commissioner calls for caution

By Anayo Okoli &Ugochukwu Alaribe

THE ALL ProgressivesCongress, APC, Abia State

chapter has warned its PeoplesDemocratic Party, PDP, and the AllProgressive Grand Alliance,APGA, counterparts to stoplinking President MuhammaduBuhari and other chieftains of hisparty, the All ProgressiveCongress, APC, to the judgmentof the Court of Appeal, Owerri,which sacked Gov. OkezieIkpeazu, from office and declaredDr. Alex Otti, as the Governor-elect.

Chairman of APC in Abia state,Hon. Donatus Nwankpa, whostated this in an interview with

newsmen in Aba, deniedreports making the roundmaking rounds in the state thatPresident Buhari and otherAPC chieftains influenced theAppeal Court’s judgmentagainst the PDP,

According to Nwankpa, “TheAPC in Abia State herebyexpresses our dissatisfactionover attempts by disgruntledelements to drag the AllProgressives Congress (APC)into this drama. We are warningpeople who have been goingabout mentioning that the APCunder the leadership ofPresident Muhammadu Buhariis influencing what ishappening in Abia to as amatter of fact desist forthwith,but that they should face their

matters. It is an act ofirresponsibility for anybody tohave mentioned or accused APCas a party or President Buhari ofhaving anything to do with theAppeal Court judgmentdelivered at Owerri.

It is on record that the APC fromthe local government to thefederal level have no hand in theoutcome of the legal process asregards to the Court of AppealJudgment in the Abia stategovernorship election and eventhe awaited Supreme Courtverdict because we are not partyto the suit to start with.

“We enjoin APGA and PDP toconcentrate and ask their legalteam to rise up to face the legalbattle now lying before theSupreme Court. They should

stop dragging the name of thePresident and APC chieftains tothe matter. The two partiesshould allow the law to have itscourse.”

The party chairmancondemned the protests over theAppeal court judgment by thetwo parties as a display ofirresponsibility and warnedthem to stop breaching thepeace of the state.

“Is Abia the only state wherethere are ruling from the court?There have been rulings in AkwaIbom, Rivers and among others;why should the case of Abia bedifferent? What Abia needsat the moment is peace and aconducive environment whichwill engender economic andinfrastructure development.”

Slain Enugulawyer:Ugwuanyivows tounmask killers

By Francis Igata

E NUGU— IRKEDby the gruesome

killing of an Enugu-basedlawyer, Ejimofor Ozongwu,two days to last Christmas,Governor IfeanyiUgwuanyi of Enugu State,weekend, vowed to activategovernment machinery tounmask the killers andforestal recurrence of suchdastardly act in anycommunity in the state.

Vanguard’s observationon the governor’s mien atthe deceased’s compoundshowed that he had lostsleep since the nerveracking news broke.

The deceased, Secretaryof the Movement for theActualization of AdadaState, who was in his late50's, was brutallymurdered by yet-to-beidentified hoodlums over adisputed piece of land in hisvillage, Okwojo Ngwo, nearEnugu at about 2p.m.

The governor, who wasaccompanied to the site withthe member, representingEnugu North/SouthFederal Constituency in theNational Assembly, Hon.Chime Oji, the formerMinister of State, ForeignAffairs, Chief Dubem Onyia,former state Commissionerfor Justice, Chief AnthonyAni, SAN, and otherleaders of thought in thearea, described the latelawyer as a communityleader.

Ozo Onyia described lateOzongwu as a, “liberator tothe community,” addingthat what happened to himwas beyond the issue of landdispute. He said that thelate lawyer had beenprotecting the interest of thevillagers from the early 90’s.

MEETING: Col. Austine Akobundu, Leader, Ikwuano/Umuahia Stakeholders Consultative Forumagainst the Abia State governorship Appeal Court judgment (2nd right), addressing newsmen aftera meeting of the forum, at the Umuahia North Headquarters, in Umuahia. With him, from left,Chief Charles Ogbonna, Commissioner for Local Government and Chieftaincy affairs; Dr. J. C.Ogbonbna, a PDP chieftain, and Chief Uzodinma Okpara.

Vanguard, MONDAY, JANUARY 11, 2016 — 39

Buhari to lead ex-leaders to markSardauna’s 50 yrs’ demise

We've crushed terrorism but'llremain vigilant — COAS

SATURDAY January 9,2016 will go down

memory lane as a day of culturalmarriage between the people ofOkuta and Kogi State asSenator Dino Melaye, Senator

representing KogiWest in the Senate wasturbaned the Jarma ofOkuta Kingdom by HisRoyal Highness IdrisAbubakar.

Residents of theOkuta communitytrooped out inthousands to beholdtheir Jarma, even ashundreds of Kogipeople travelled to theancient town to honourthe Kogi West senator.

A number of senatorswere also inattendance, amongwhom is Senator Rafiu,representing KwaraSouth in the Senate.

The Kogi delegationwas led by a formerspeaker of the state,

Mr. Clarence Olafemi.Others are Pastor FemiObalemo, Olu Majek anda host of others.

Addressing newsmenafter the ceremonies, theJarma of Okuta, Melayethanked the traditionalcouncil and the people ofthe community for theconfidence reposed in him,pledging to always beavailable to contribute hisquota to the development ofOkuta. He said Okuta isnow his second home.

Melaye called on thepeople of the state to alwayssupport their leader, SenatorBukola Saraki, assuringNigerians of the readinessof the National Assemblyunder Saraki’s leadership toredefine the nation.

Dino Melaye becomes Jarma of Okuta Kingdom

By Kingsley Fanwo

Senator Melaye.

K A D U N A —P R E S I D E N T

Muhammadu Buhari willlead former Nigerian andother political leaders tocommemorate the 50 yearsof the assassination of SirAhmadu Bello, theSardauna Sokoto and latePremier of the North.

Briefing newsmen inKaduna on activities tomark the golden jubilee ofthe killing of Sarduna in1966, Managing Director

and Chief ExecutiveOfficer, CEO of SirAhmadu Bello MemorialFoundation, SABMF,Shettima Aji Ali, said thatBuhari will launch aspecial edition of the NewNigeria Newspaper,NNN, in which some ofSarduna’s past speechesand achievements wouldbe highlighted.

Sardauna founded theNNN on January 1, 1966and was killed two weekslater in a bloody coupthat later lead to a 30-

month civil war.Said Ali: “You are aware,

January 25, 2015 marks the50th anniversary of theassassination of ourillustrious leader, Sir Bello.The immense contributionsof Sir Bello to thedevelopment of NorthernNigeria and Nigeria atlarge cannot beoveremphasised. Sir Belloworked assiduously tomake northern Nigeriaeconomically competitive,politically and religiouslystable, peaceful and united.

“He had indeedsucceeded in laying a solidfoundation for thedevelopment of the region.The NNN which wasestablished by the latePremier on January 1, 1966,is also 50 years old. It,therefore, decided toproduce a special editionthat will be launched at theopening ceremony of thecommutation event.

“The edition will containamong others, specialinterviews with someprominent leaders of theNorth and close associatesof the late Premier andflashback of historicpublications by thenewspaper from inceptionto date.

“According to theprogrammes of events,President Buhari will bespecial guest of honour andwill launch the specialedition of the NNN and aphoto exhibition on theopening day, January 14.

“Ambassador Yusuf Sulewill deliver a keynoteaddress on the topic,“North: 50 years after SirAhmadu Bello”, whileJustice Mamman Nasir,will chair the occasion.

PORTHARCOURT—CHIEF of Army Staff,

Lieutenant General TukurBuratai has commendedhis men for crushingterrorism in the North East.

Lt-Gen Buratai who spokeweekend while laying thefoundation stone for thenew Brigade headquaterscomplex at the 2 Brigade,Port Harcourt, Rivers Statesaid, the army will remainvigilant to contend any newstrategy that may beadopted by the terrorists.

“The North Eastoperation is critical at thisstage. The terrorists havebeen defeated. Thesecriminals may rear theirugly heads through othermeans. We will continue tomaintain vigilance,” hesaid.

Buratai also laid thefoundation stone for thenew Brigade headquarters

complex at the 2 Brigade,assuring that the FederalGovernment will continueto give special attention tothe welfare of soldiers.

He commended soldiersof the 2 Brigade for theircommitment to duty, sayingthat the Nigerian army hadremained celebrated allover the world forprofessionalism and highlevel of discipline.

He lauded the efforts ofthe brigade in the anti oiltheft war, saying that theyshould maintain the veryhigh standard of discipline.

He said the army willimprove on challenges ofaccommodation in barracksin the country, adding thatattention would be given tothe medical needs ofsoldiers and their families

Buratai also interactedwith wives of soldiers inthe barracks, promisingthat the FederalGovernment will improveon the welfare of troops.

By Luka Binniyat

By JimitotaOnoyume

CMYK

40—VANGUARD, MONDAY, JANUARY 11, 2016

By Bashir Adefaka

Continues on page 41

That is the sadaspect of itbecausecorruption hasits universaleconomicdisadvantagesnot only locally,not only instates but theentire nationwould suffer theeffects

WHAT is your reaction tothe ongoing anti-

corruption battle of theMuhammadu Buhariadministration?

Corruption is really sad andalready endemic in our country. It is a kind of cankerworm thathas eaten deep into our fabrics. It is an unfortunate act that hasdebarred many things that wecould have done to makeprogress. It is terribly retardingour progress. It is veryunfortunate that with corruptionwe are persistently regularlyretrogressive. Otherwise, wewould have been one of the bestnations in the world.

Deep rootedcorruption

We have quite a lot ofintelligent and resourcefulpeople in our country. We havepeople who are ready andwilling to work to earn and taketheir integrity there. Butunfortunately on the level ofpolitics, a lot of things have gonewrong and it is sad that thesituation is not encouraging.

Hopefully this new governmentwill correct a lot of those badsituations that we have, becausethe name of Nigeria stinks to theoutside world. Nobody isreally interested in dealing withanything from Nigeria becauseof the problem of this deeprooted corruption that is stillraging among our people.

The new government that wenow have is all out to do its bestto rid our country of corruptionbut the situation is very heavyand it is very serious. Whenyou have so many people benton dipping their hands corruptlyinto the purse of the governmentfrom all spheres of life in Nigeria,we still have a long way to go.

I have listened to a lot of huesand cries about the fact that thegovernment is slow. Howcould government not be slowunder the presentcircumstance? Because thegovernment has a lot of hurdlesto overcome in dealing with anyproblem.

In the midst of it all,unnecessary criticisms arealways there and the people arejust willing to criticise and nothelp develop the country. Weonly hope that the presentgovernment would do its best toensure that at this time,everything could be done to getrid of corruption in this country.

Do you think that the judiciaryis really an obstacle in theadministration’s anti-corruptioncampaign given the issuance ofallegedly frivolous injunctionsby judges?

The situation is a very sad oneas I have said and it is deeplyrooted. And I mean deeplyrooted in the past governmentand the past politicians.

A good example is this, thereare so many politicians that EFCCand ICPC accused of corruptionand they are all in court at themoment. How many of themhave we concluded? How

SHARING OF ARMS MONEY:

Public officeseekers must be

mentally examined— BOLA AJIBOLA

•How Nigeria missed being one of the world’s best nations

•Corruption is fighting back at Buhari

PRINCE Bola Ajibola (SAN),was president of the Nigeria

Nigerian Bar Association (NBA) between 1984 and 1985

when he led Nigerian lawyers in a boycott of the courts in

protest against the perceived dictatorial tendencies of the

General Muhammadu Buhari military regime.

Following the overthrow of the Buhari regime, Ajibola was

appointed the Minister of Justice and Attorney General of

the Federation, and notably served the nation gratis despite

employing a number of enterprising lawyers as aides. One

of the aides who served as his Senior Special Assistant was

one Mr. Yemi Osibanjo, presently the Vice-President of the

country.Prince Ajibola subsequently rose to serve as a judge of the

International Court of Justice at The Hague. Ajibola, 81, is

the Olori Omo Olowu of Owu Kingdom, Abeokuta, Ogun

State and is the proprietor, Crescent University Abeokuta,

Ogun State. In this interview he encourages the government

not to backtrack in the fight against corruption, advises his

former ward, Prof. Osibanjo and laments how vice has

hindered Nigeria’s growth. Excerpts:

•Ajibola: Corruption is a backward cankerworm that willcontinue to destroy

many of them have weconvicted? How many of themare in prison? We are onlyinformed about the fact that somehave been accused and theyhave been granted bail and thatis the end of it all. The wholething is being treated with levity.There is the need for a seriousaction to be taken against thesematters of corruption withoutwhich the whole thing will go onendlessly and they now considerit to be usual practice rather thanfor them to desist from this act ofcorruption.

And it is unfortunate becauseit is really downgrading ournation. It is really destroyingour nation and a lot of thecountries all over the world foundthat we are seriously andhopelessly enmeshed incorruption and that practice iscontinuing unabated. I onlyhope that this new governmentof Buhari would take it upseriously and deal with it.

Issue ofDasuki's $2.1bn

Everybody is now watching theissue of Dasuki’s $2.1 billion andI hope he (the President) will,with that, send out the strongsignal against those who aredestroying the country.

When you look at the situationin the country and what is neededto develop the country, you willbe sad to realise that we are somuch put into our developmentbox, that we are in need of power,that we are in need of roads, that

there is need for security andsafety of our people, that we needto develop our agriculture, thatwe need to develop oureducation and there are so manyother things that we need to takecare of.

Now, with all that we now have,this endemic, deterioratingsituation about corruption, it iseven a major assignment on itsown that any government wouldface without facing any otherproblem at all. I must praise theefforts of those who are ingovernment now because this isan attempt to change what looksunchangeable, what looksintractable.

Divisivetactics

It is sad and it is unfortunatebut I hope and pray that theywould be able to get hold of theproblem and tackle everythingabout it.

Besides corruption, you hadonce called on President Buharito also tackle infrastructure,security, education, health andpower. Would you say thepresident is moving along theline of your suggestion?

Exactly! He is looking thatway, though slowly, but he islooking at it along that line tofight corruption and develop thecountry. But it is extremelydifficult to do both at the sametime because divisive tactics anddisturbances of these corruptpeople continue to breedopposition against the

CMYK

Vanguard, MONDAY, JANUARY 11, 2016—41

•Ajibola: We are just Nigerians, we are not even called Nigerians

Continues from page 40

The governmentshould ensurethat on the listof its priority isnot only thecorruption issuebut also securityof the nationand safety ofthe people

Corruption isfighting back at

Buhari — AJIBOLA

government. They are notconcerned about the veryadverse approach now of theforeign countries againstNigeria.

But now that we have agovernment that is seriouslylooking into it, maybe with theassistance of the foreigngovernments, we would getsomewhere and we would gettheir cooperation in order todevelop further. But it is a kindof herculean task for anygovernment to single-handedlyhandle corruption and at thesame time continue to developthe nation because, corruption isa backward cankerworm that willcontinue to destroy the creations,the development and the growthof the government too.

Arms andammunition

It will continue to do so. That isthe sad aspect of it becausecorruption has its universaleconomic disadvantages not onlylocally, not only in states but theentire nation would suffer theeffects. The whole nation will besoiled and deprived a lot ofthings.

The government will even nothave enough to develop a lot ofthings that it ought to be doing. How many times have we hadthe problem about ASUU strikesbecause they are not being welltreated? How many timeshave we suffered from the factthat we have not been able todeal with the issue of BokoHaram just because all themoney earmarked for arms andammunition were being stolenand taken away by somepeople? We are suffering inthe midst of it all.

What is your reaction to thespew of allegations about thesharing of money meant forpurchase of arms by some fewpeople?

That is the reason I have alwaysfelt that going into any publicoffice, the aspirants must first ofall be thoroughly examined,tested and their pastperformances and their positionsmust be looked into. In fact, theyshould also examine themmentally whether they are fit andproper persons to go into theoffices.

They must also ensure that theyare not going to fix in all thosegreedy people who are desirousof going in there to steal and totake the money of thegovernment for their ownpurpose just to enrichthemselves.

A lot of people think that goinginto politics is just getting thereto steal what they can steal. Thereis this idea now of stomachinfrastructure. So, is itgovernment they are now goingto serve with this idea of stomachinfrastructure? That is very sad. It is sad! When I was ingovernment, I was there fullyready and conscious of myservice to the nation and wasinterested in improving theposition of the nation. Not onlyhad I refused taking my salariesbut also I was pumping my

money into it. I was serving withmy money being put into it. Iwas engaging the services ofclerks, secretaries, staff intoministry of justice being paid forby myself. Who is doing thatnow among them? All they areinterested in is to get there andsteal money to buy SUVs and toacquire as much as possiblebecause they all think aboutgoverning as a place of bootywhere they can enrichthemselves either by hook orcrook and they are even thehighest paid public servants inthe whole world.

Highest paidpublic servants

It is terrible. We are behavinglike backward people.

Vice-President Yemi Osinbajoworked as your Senior SpecialAssistant while you wereMinister of Justice. Is thereanything you would pass on tohim to further the case for justicereform?

We did everything possible toengrave all those things there. Itwas our own time of law reform,law review and law projectionsand legislation with it. We dideverything and I am sure that hewill have enough materials thatwould help him at this time overthere. Because we were allthere together, we worked

together and we served day andnight and, quite sincerely, weknew we were there to serve ournation and we were dedicatedand devoted to that service withall our time, with all ourresources, with all ourintelligence and I hope that thevestiges of all those things willstill be available for him to getthings developed.

Can we have your view ofthe whole system?

You see when things are brokendown terribly like this, you haveto handle matter with care andwith caution. The situation is avery serious one and because theforeign countries are now havingit hard on us and they will intendto do so for sometime, things maybecome harder in the country.

Even as of now, lawlessnesscontinues to rage seriously andheavily all over this country. Now that the situation willbecome tougher and moreserious, one will expect a lot ofdiabolical practices, a lot ofterrible practices. You, yourselfmust have heard of Arepo wherepeople kept vandalising thepipeline and draining off the oilof the nation without any regardfor those who ought to check andcontrol them.

Lawlessness is raging all overthe country now and thisgovernment must put seriouseffort to contain it. It is very, veryimportant.

Diabolicalpractices

This is the time that securitymust be taken as part of thepriority of the nation knowing fullwell that those who had beendoing it in the past would like tocontinue doing it, knowing thatwhen the situation is so hard theywill become more lawless.

Therefore, it behoves thegovernment to ensure that on thelist of its priority is not only thecorruption issue but also securityof the nation and safety of thepeople. That is importantbecause, without that, thesituation could be worse becauseeverybody is looking for meansof defrauding the nation orgrabbing anything fromanybody.

You must have noticed theincrease in kidnapping. They arenot kidnapping small peopleagain and that is another areawhere media should be carefulbecause, if the media is involvedin encouraging them by tellingthe public how much they intendto take, that is another seriousmatter. Do you see what Imean? So, we are in a serioussituation. We are in a dilemmaand we must be very, very carefulat this time to see what we cando to stop the menace.

And at this time the mediashould not be neutral. Theyshould key into the anti-corruption programme of thegovernment by not allowingcorrupt people use them to whipthe kind of sentiment that willmake them escape justice.

CMYK

VanguardVanguardVanguardVanguardVanguardCLASSIFIED

AKANO—I, formerlyknown and addressedas Akano MonsuratOmolara, now wish tobe known andaddressed as LawalMonsurat Omolara. Allformer documentsremain valid. Generalpublic please take note.

OBI—I, formerlyknown and addressedas Obi IfeyinwaVivian Nneoma, nowwish to be known andaddressed as Sam-Ijezie Ifeyinwa VivianNneoma. All formerdocuments remainvalid. General publicplease take note.

A D E L U W O Y E — I ,formerly known andaddressed as MissAdeluwoye AdejuwonOluwatobiloba, nowwish to be known andaddressed as Mrs.Odunuga AdejuwonOluwatobiloba. Allformer documentsremain valid. Generalpublic please takenote.

A N U M U D U — I ,formerly known andaddressed as MissA n u m u d uNkechinyere, nowwish to be known andaddressed as Mrs.I g b o a n u g oNkechinyere. Allformer documentsremain valid. Generalpublic please takenote.

N I M B O N G — I ,formerly known andaddressed as NimbongLatip Ndamson, nowwish to be known andaddressed as NdamLatip Ndamson. Allformer documentsremain valid. Generalpublic please take note.

OJI—I, formerlyknown andaddressed asHappiness ChinenyeOji, now wish to beknown andaddressed as LilianChinenye Collins-Anagolu. All formerdocuments remainvalid. General publicplease take note.

BROWN—I, formerly

known and addressed

as Brown Ifeanyi

James, now wish to be

known and addressed

as Alua Ifeanyi James.

All former documents

remain valid. General

public please take note.

A D E Y I N K A — I ,formerly known andaddressed asAdeyinka AbimbolaAdebimpe, now wishto be known andaddressed as OladesuAbimbola Adebimpe.All former documentsremain valid. Generalpublic please takenote.

KOLOH—I, formerlyknown and addressedas Miss Orode StaceyKoloh, now wish to beknown and addressedas Mrs. Orode StaceyAkpahwe. All formerdocuments remainvalid. Word of LifeBible Church Warriand general publicplease take note.

OJEI—I, formerlyknown and addressedas Sheila NneamakaOjei, now wish to beknown and addressedas Mrs SheilaNneamaka Edikan-Udofia. All formerdocuments remainvalid. General publicplease take note.

AJAYI—I, formerlyknown and addressedas Omolola FolasadeAjayi, now wish to beknown and addressedas Omolola FolasadeJolaosho. All formerdocuments remainvalid. Zenith Bank andgeneral public pleasetake note.

ATTAH—I, formerlyknown andaddressed as MissAttah ChinazomAntonia, now wish tobe known andaddressed as Mrs.Okoro ChinazomAntonia. All formerdocuments remainvalid. University ofNigeria Nsukka,NYSC and generalpublic please takenote.

CLEB—I, formerly

known and addressed

as Godson Chinonso

Cleb, now wish to be

known and addressed

as Azumara Chinonso.

All former documents

remain valid. General

public please take note.

M I C H A E L — I ,formerly known andaddressed as MissLaeticia Judge-EreMichael, now wish tobe known andaddressed as Mrs.Laeticia Judge-EreTarerefa. All formerdocuments remainvalid. General publicplease take note.

Confirmation of name

This is to confirm thatAmahia Emeke andAmahia Emeke Jacobsis one and sameperson, now wish to beknown and addressedas Amahia EmekeJacobs. All formerdocuments remainvalid. General publicplease take note.

NKEONYEASUA—I,formerly known andaddressed as MissEmefiele MagdaleneNkeonyeasua, nowwish to be known andaddressed as Mrs.Magdalene AmahiaJacobs. All formerdocuments remainvalid. General publicplease take note.

A K P O B A R O — I ,formerly known andaddressed as MissAkpobaro EdorekiEsther, now wish to beknown and addressedas Mrs. Agbabune Edoreki Esther. Allformer documentsremain valid, anyauthority it mayconcern and generalpublic to take note.

OHAI-OKUGO—I,formerly known andaddressed as MissOhai-Okugo IsiomaAltine, now wish tobe known andaddressed as Mrs.Isioma Ohai Arase.All former documentsremain valid.General publicplease take note.

EGOH—I, formerlyknown and addressedas Miss Egoh EstherEkugbe, now wish tobe known andaddressed as Mrs.Ekugbe EstherBiokoro. All formerdocuments remainvalid. General publicplease take note.

B A K W U N Y E — I ,formerly known andaddressed as MissBakwunye BlessingChinye, now wish tobe known andaddressed as Mrs.Okpomire BlessingChinye. All formerdocuments remainvalid. General publicplease take note.

UZOCHUKWU—I,formerly known andaddressed as MissAdaobi AmalachukwuUzochukwu, now wishto be known andaddressed as Mrs.Adaobi AmalachukwuOkeke. All formerdocuments remainvalid. General publicplease take note.

OKOH—I, formerlyknown and addressedas Miss OnuwaPhilipa Okoh, nowwish to be known andaddressed as Mrs.Onuwa Philipa OkowiChukwuwike. Allformer documentsremain valid. Generalpublic please takenote.

OKOH—I, formerly

known and addressed

as Miss Okoh Romina,

now wish to be known

and addressed as Mrs.

Agholor Romina Mary.

All former documents

remain valid. General

public please take note.

Reconciliation ofnamesThis is to confirm thatthe names OkonkwoPaul and OkonkwoEkene Paul refer toone and the sameperson. I now wish tobe known andaddressed asOkonkwo EkenePaul. All formerdocuments remainvalid. General publicplease take note.

Reconciliation of namesThis is to confirm thatthe names GodwinOfem Ibiang andMartins Ofem Ibiangrefer to one and thesame person. I nowwish to be known andaddressed as MartinsOfem Ibiang. Allformer documentsremain valid. Generalpublic please take note.

Reconciliation of namesThis is to confirm thatthe names OkwubuasiC h u k w u n w i k eEmmanuel andOkwubuasi EkesonEmmanuel refer toone and the sameperson. I now wish tobe known andaddressed asOkwubuasi EkesonEmmanuel. All formerdocuments remainvalid. General publicplease take note.

OKORO—I, formerlyknown and addressedas Miss OkoroAkunna Faithful, nowwish to be known andaddressed as Mrs.Kanu Akunna Esther.All former documentsremain valid. Generalpublic please takenote.

A D I B U A H — I ,formerly known andaddressed as MissHilda EkwutosiAdibuah, now wish tobe known andaddressed as Mrs.Hilda AdibuahNwankwo. All formerdocuments remainvalid. General publicplease take note.

SHAIBU—I, formerlyknown and addressedas Caroline Shaibu,now wish to be knownand addressed as YusufCaroline Danjuma. Allformer documentsremain valid. DiamondBank and generalpublic please take note.

A Z U B U I K E — I ,formerly known andaddressed as MissHappiness NgoziAzubuike, now wishto be known andaddressed as Mrs.Happiness NgoziObinna. All formerdocuments remainvalid. General publicplease take note.

A C H I M U G U — I ,formerly known andaddressed as MissScholastica Achimugu,now wish to be knownand addressed as Mrs.Scholastica Dominic.All former documentsremain valid. Generalpublic please takenote.

A N U M A K A — I ,formerly known andaddressed as MissMercy UlummaAnumaka, now wishto be known andaddressed as MrsOkpara MercyUlumma. All formerdocuments remainvalid. General publicplease take note.

E N I L O L O B O — I ,formerly known andaddressed as MissKafilat AgbekeAnilolobo, now wish tobe known andaddressed as MrsKafilat AgbekeEnilolobo Salihu. Allformer documentsremain valid. Generalpublic please takenote.

EZE—I, formerlyknown and addressedas Miss Chika Eze,now wish to be knownand addressed as MrsEneude Chika Grace.All former documentsremain valid. Generalpublic please takenote.

EGBOBAWAYE—I ,formerly known andaddressed asEgbobawaye Success,now wish to be knownand addressed asSuccess EromoseleAndrew. All formerdocuments remainvalid. Ecobank andgeneral public pleasetake note.

E L I Z A B E T H — I ,formerly known andaddressed as MissElizabeth EbulejonuAchile, now wish tobe known andaddressed as MrsElizabeth EbulejonuAchimugu. All formerdocuments remainvalid. General publicplease take note.

O S A M A G B E — I ,formerly known andaddressed as MissOsamagbe Irowa, nowwish to be known andaddressed as MrsOsamagbe GoodnessIdemudia. All formerdocuments remainvalid. General publicplease take note.

O T U O N Y E — I ,formerly known andaddressed as MissOtuonye ChinweEvelyn, now wish tobe known andaddressed as MrsEzenwa ChinweEvelyn. All formerdocuments remainvalid. General publicplease take note.

IKPEME—I, formerlyknown and addressedas Miss Koko BasseyIkpeme, now wish tobe known andaddressed as Mrs.Koko Bassey Crusto.All former documentsremain valid. Generalpublic please takenote.

E M B E L E G H A — I ,formerly known andaddressed as MissI s a m p o u e r eEmbelegha, now wishto be known andaddressed as Mrs.I s a m p o u e r eEmbelegha Orubebe.All former documentsremain valid. Generalpublic please take note.

Correction of nameThe correct spelling ofmy name is ChrismasObiri, but was wronglywritten as ChrismasObire on my BVNdetails. Chrismas Obiriand Chrismas Obire aswrongly written on myBVN details refer toone and same me. Allformer documentsremain valid. Generalpublic please take note.

OTUAGOMAH—I,formerly known andaddressed as MissOtuagomah, FaithOkeoghene, nowwish to be knownand addressed asMrs. Ebogbare, FaithOkeoghene. Allformer documentsremain valid.General publicplease take note.

42 — Vanguard, MONDAY, JANUARY 11, 2016

Vanguard, MONDAY, JANUARY 11, 2016 — 43

African mega church brings Gospel back to Britain with a dazzle

IT is Friday night at theExCel Centre in London

and some 40,000 people arepraying very loudly. Arms aloft,eyes scrunched up, facesuplifted and tears flowing, theyare invoking the Holy Spirit tocome into their lives. Childrenare wrapped in sleeping bagsat their parents’ feet. Most arestaying all night.

Spurred on by a choir ofhundreds, creating a soaringhymnal sound that floats in aheavenly direction, many feelthe visceral presence of theircreator and pour forth their joy.This is the recent Festival of Lifeorganised by the RedeemedChristian Church of God(RCCG), the fastest-growingChristian community in Britainwith more than 750 churchesestablished in the past 20 years.The Pentecostal congregationwas founded in Nigeria in 1952by Josiah Olufemi Akindayomiafter he received a “divinerevelation”. More than 60 yearslater, his church is being calledthe “acceptable face” of theAfrican church in Britain.Several other “African megachurches” have been mired inscandal.

Brand ofPentecostalism

Last year, with a generalelection to win, David Cameronattended the festival, while EdMiliband - perhaps unwisely -turned down his invitation. InLagos, the church’s monthly“Holy Ghost service” attracts amillion people and a mind-boggling 23-square-kilometreauditorium is being built toaccommodate them. The churchis established in more than 100countries. Its “GeneralOverseer”, or GO, Dr. EnochAdeboye, was named byNewsweek as one of the 50 mostinfluential people on the planet.

The head of its executivecouncil in the UK is Pastor AguIrukwu, a former lawyer whosemission is to “reChristianise”Britain, the country thatevangelised his ancestors. Hewants to infuse his brand ofPentecostalism - perhaps themost experiential of theChristian denominationsbecause of the emphasis it placeson being in the presence of God.“British missionaries abandonedeverything to come to Africa andmany did not return,” says Agu,51. “So, I feel I owe a great debtto Great Britain for the peoplewho made sacrifices to bring theGospel to Africa. A lot of us wereeducated at good missionaryschools. I feel that I am here topay this debt back because theUK has become so secular.”

Well built, over six foot tall,with a kind face, Agu exudesnatural authority. A father ofthree who is teetotal andsupports Chelsea FC, he ishighly respected in the AnglicanCommunion and is good friendswith the Archbishop ofCanterbury, the Most Rev JustinWelby, who knows Nigeria well

from his days in the oil industry.Agu has also just signed acontract with Hodder to write abook on prayer and he has aready-made audience, havingoverseen the establishment of300 churches in the UK in thepast five years. His flock inBritain is expected to grow to150,000 over the next five years,having numbered 62,000 in2008. On Sundays, he preachesto up to 4,000 people at JesusHouse for all Nations, aconverted warehouse in Brent,northwest London.

Agu was born in Nigeria in1964. His father was a lawyerand his mother a broadcaster. Asa young man, he was moreinterested in money than God,working for an investment bankin Lagos. A chance introductionto the RCCG changed his life.“I was born into a Christianhousehold, but I went to churchonly to please my Mum,” hesays. “I explored Islam andBuddhism, but I didn’t thinkthey were the answer. In June1991, a friend invited me to aservice of the RCCG in Lagos.I came from an orthodox churchbackground and I wasgobsmacked. I had never seenso many young people in churchand they were so happy. Ithought, ‘I’m going to comeback’ because I had never seenan expression of faith that wasso open. I became a lay preacher

and then the pastor asked if Iwould come to London andoversee this little church with 30-odd people for a month. It hasbeen 20 years now. I figure thatGod didn’t want me in law or aninvestment bank.”

As the leader of the most“progressive” African church inthe UK, Agu has worked with thegovernment to investigate “roguechurches” at which practitionersof black magic have presentedthemselves as Christian leaders.“Unfortunately, there are badapples who take advantage ofpeople, but hopefully we canreduce their influence.” He wantsto reach out to a widerconstituency than Africanémigrés, but, in order to achievethat, he admits “we have a lot ofchanging to do”. He cites “Africantime-keeping” as a case in point.“In Africa, you can go to churchin the morning and never knowwhen it’s going to end. You couldbe there all day if the spirit ismoving and that’s not going towork in this culture.”

Agu also organises careerseminars to equip members of hischurch with the skills to obtain abetter job. This encouragement ofpeople to help themselves is hisresponse to criticism that Africanmega churches espouse the so-called “Prosperity Gospel”, whichmanipulates supplicants intobelieving that, if they pray, theywill gain wealth. “A lot of peopleabuse the Gospel by making itabout money. This focus onmaterial things has done a great

disservice to the work of thechurch. Unfortunately, in a lot ofthe African-Caribbean churchesthat trait is sadly predominant.”Agu overcame the death of hisfirst wife from cancer with his“faith strengthened” and marriedagain. His second wife, Shola,runs the church’s mission work.

Aiming to embed the RCCGinto British culture, Agu isengaged on joint projects withLambeth Palace to “see how wecan best serve the nationtogether”, and is working toreplicate the successful model ofthe Anglican Evangelical church,Holy Trinity Brompton bydeveloping courses on subjectssuch as financial managementand overcoming addiction. Hewants to bring the Gospel intoevery British home and welcomemore white people to hiscongregations. He says he isencouraged by “my white friendswho say ‘we admire the way youpray; it is so passionate’”.

The pastor has his work cut outthough. According a YouGov pollin 2011, only nine per cent of theUK population is practisingChristianity, 40 per cent are notconvinced that Jesus reallyexisted and 61 per cent of non-Christians have never had aconversation about Jesus Christ.“As long as we share the goodnews, British people will get toknow Jesus,” he says. “There aremore than 60 million people inthis country and we have a lot ofwork to do.”Culled from The Times of London.

Damian Arnold joins an all-night prayer festival with the UK’sfastest-growing Christian sect, the Redeemed Christian Churchof God

Bayelsa poll: The drama of how Dickson won

By Samuel Oyadongha &Emem Idio

NEWS ANALYSIS

Bayelsa State Gov. HenrySeriake Dickson...wins again

HISTORY beckons onincumbent Governor

Henry Seriake Dickson ofBayelsa after the keenlycontested governorship electionin the predominantly riverinestate.

Dickson, fondly called‘Countryman Governor’ hadmaintained a commanding leadin the state governorshipelection since December 5, 2015when he clinched six out of theseven councils in the resultsdeclared by the IndependentNational Electoral CommissionINEC. His victory dance was,however, put in abeyancepending the conclusion of theelection in units andconstituencies that electionresults were not produced onDecember 5.

Yesterday evening as theresults from the contentiouslycontested Ijaw South LocalGovernment Area weredeclared, the celebration thatwas initially in muted form inthe Dickson camp went full blast.

The immediate past governorof the state and candidate of theAll Progressives Congress APC,Chief Timipre Sylva, had giventhe impression that he wouldreverse Dickson’s 30,000 pluslead with the results fromSouthern Ijaw. However, whenthe result was declared, itbecame an anti-climax for Sylvaas Dickson won in the

stronghold of his now late patron,Chief Dipereye Alamieyeseigha.Dickson won in Southern Ijawwith 23,081 votes to the 10,216polled by Sylva. It was indeed atortuous road to victoryfor Dickson. The triumph did notcome cheap in an election thatturned out to be the most fiercelycontested in the political historyof the oil rich state.

Many observers had predicteda photo finish race between theincumbent and his main rival,Sylva, due to the hype generatedby the defection of PDP bigwigsto the APC and the argument thatthe state had never playedopposition politics since theenthronement of civil rule in 1999.Their contention was that the statewould rather flow with the centrethan be in the opposition.

What particularly ignited thecontest is the no love lostrelationship between the twocontenders, who have a historyof political rivary between them.Four years ago, Dickson, apolitical godson of former

President Goodluck Jonathanwas used to replace Sylva as PDPgovernorship candidate incontroversial circumstances.

With the defeat of Jonathan andPDP at the centre, Sylva buoyedwith the changing politicalfortunes, staged a comeback andeasily picked the APCgovernorship ticket havingnominated almost all thestatutory delegates at theprimary convention.

On the road to victory, Dicksonpaid attention to every detail andleft nothing to chances. His earlypreparation and campaignstrategies coupled with hismodest achievements in officeworked well in his favour.

Many believed that hiscommunity based campaignapproach was the differencebetween the two contenders. Theincumbent during his campaigndubbed community tocommunity campaign meet thepeople tour, visited virtually allthe communities in the state tosolicit the support of the peopleand also seized the opportunityto tell what his administration isdoing to bring the dividends ofdemocracy to their doorsteps.

The strategy no doubt helpedhis course as it swayed severalundecided voters to key into hisvision. Dickson could also besaid to be lucky for having someold politicians around him whothough may not have theresources to throw around butcommand the respect of theirpeople.

CMYK

VanguardVanguardVanguardVanguardVanguardCLASSIFIED

Confirmation ofName

Confirmation of NameThis is to confirm thatthe name NankarJames Lohzhi, refersto one and the sameperson as NankarJames Gono, nowwish to be known andaddressed as NankarJames Lohzhi. Allformer documentsremain valid. Generalpublic please takenote.

OWEN—I, formerlyknown and addressedas Soton CelineOwen, now wish to beknown and addressedas Soton CelineIselobhor. All formerdocuments remainvalid. General publicplease take note.

Confirmation of NameThese names, GabrielPatience Aherete andPatience Okeh belongto the same person butnow wish to be knownand addressed asGabriel PatienceAherete. All formerdocuments remainvalid, any authority itmay concern andthe general public totake note.

Confirmation of NameThe names, ChikaPatrick Chidi andChika Eze Patrickrefer to the sameperson but now wishto be known andaddressed as ChikaEze Patrick. Allformer documentsremain valid. General public totake note.IKPEME—I, formerlyknown and addressedas Miss Koko BasseyIkpeme, now wish tobe known and ad-dressed as Mrs. KokoBassey Crusto. Allformer documents re-main valid. Generalpublic please takenote.

OGIEMWONYI—I,formerly known andaddressed as MissEunice Ogiemwonyi,now wish to knownand addressed asMrs. EuniceOsarenkhoe Alohan.All former documentsbearing my formernames remain valid.General public pleasetake note.

This is to confirm that thenames Ocheni Momohand Abubakar SokkyAbdullahi refer to one andthe same person, nowwish to be known andaddressed as MomohAbubakar Ocheni. Allformer documentsremain valid. Generalpublic please take note.

44 — Vanguard, MONDAY, JANUARY 11 , 2016

CMYK

Vanguard, MONDAY, JANUARY 11, 2016 — 45

It’s a New Year

IT has become a tradition for columnists to takestock of the year just gone in relation to expecta-

tions in the new year.In Nigeria, I find this quite boring because we end

writing and saying the same things every year in acountry where sport is measured by the success orotherwise of football.

Last year, traditionally, the various sports federa-tions failed to live up to expectations in terms ofcompetitions and programmes, especially grass rootsand developmental programmes aimed at replen-ishing our faded stock.

Perhaps I should not bore us with the NFF victorysongs in age group competitions. My happiness isthat presently, we have such a credible pool of worldclass junior talent ( Under 17s, 20s and 23s) who ifwell managed and tracked will guarantee a qualityfuture for our football even for many years.There arethose who will tell you that the Super Eagles is theMcCoy and until we qualify for the World Cup inRussia and the Nations Cup in Gabon all successstories will be taken with a pinch of salt, so muchthat even the Super Eagles appearance in the Cham-pionship of African Nations ( CHAN) is not attract-ing the respect it deserves.

CHAN was a brain wave of the Hayatou regime, acredible opportunity for those players who ply theirtrade in Africa to get a window to ventilate their tal-ent. CAF discovered that some African football pow-er houses like Nigeria, Cote D’ivoire, Cameroun,Ghana, always come to the Nations Cup made uphundred per cent by players who are based abroad.

The tactical mentality was so horrible that no mat-ter how good you were in the domestic scene, youwill be sidelined for somebody who plays “abroad”

There was a popular joke in Todaysports News-room then that if you wanted to be noticed by Ea-gles Coaches, all you needed do was to pack yourboots and go and play in Benin Republic!

Did I hear Yaya Toure complain? That CAF wasunfair not to have considered his exploits in the Af-rican continent? I hope the Technical and MediaDirectors of CAF will take time out to explain oncemore how the awards work. It is NOT a CAF deci-sion, but one that rests squarely on the perceptionsof national team coaches spread across Africa. Thereis no doubt that some subjective decisions will creepin here and there and until a superior modus oper-andi is designed we will have to bear for now. Be-sides show me that award that has the one hundred

percent acceptance of all concerned. Apart from football, Let me not end this piece with-

out commending one or two Federations, Wrestling,Wellington Jigere of Scrabble and basketball to alesser degree for giving us cause to jubilate in theyear just gone.

2016 will be the year of great expectations, espe-cially in the Olympics that we have so far done noth-ing about. Did Okocha say no Nigerian player de-served the CAF award. ( For the first time no Nige-rian woman won a CAF award . Shame.). I agreetotally. 2016 will therefore be a pregnant year forour football and President Pinnick and his lieuten-ants are the midwives we expect to guarantee safedelivery.This year we will pray for track and field toreturn to the international podium after so many yearsin the doldrums. Track and field was our succorwhen football messed up. 2016 will be the year ournew sports minister would have been grounded inthe day to day running of his onerous task, so muchthat he will not be hoodwinked into taking decisionsthat run contrary to the very spirit of dynamic rulesand regulations governing our different sports fed-erations. We pray for him.

This year our CAF Cup representatives must beready to put behind them the disaster of 2015, al-though what I hear from their camps is nothing towrite home about as regards preparations.

This year may death and disaster flee from thesports family. The murder of Ibrahim Abubakar wasone shock that has refused to go away. This is a manthat I knew personally and intimately one who wasa professional to the core and who by nature of hiswork picked his phone even by the wee hours of themorning to offer help in a country where embassiesoften times play good to the detriment of travellingteams and sportsmen men and women. Adieu Ibra-him, Adieu.

See you next week

2016 will be the year of greatexpectations, especially in theOlympics that we have so fardone nothing about

IAAF renews Okpekpe bronze label statusTHE International As

sociation of AthleticsFederations (IAAF) hasrecertified the Okpekpeinternational 10km roadrace as a bronze labelevent.

This followed the suc-cessful organisation of thethird edition of the huge-ly successful road race lastyear in Okpekpe,nearAuchi in Edo state whereall required standards/cri-teria were met for the re-award of the label.

The certificate for therenewal was signed by theIAAF president,SebastianCoe and this signifies thatthe Okpekpe internation-al 10km road race doesnot only retain its statusas the first road race inNigeria to be granted a la-bel status.

since 2008 when theIAAF started classificationof road races but also theonly IAAF recognisedroad race in Nigeria in2016.

It is also the only la-belled road race listed onthe IAAF calendar of roadraces in Africa for the firsthalf of this year.

IAAF Road Race LabelEvents are races that theworld governing body forthe sport designates asone of the leading roadraces around the world.

The Labels are assessedand awarded each yearafter the race organisersmust have applied to theIAAF for recognition, andshow that their race canmeet a number of criteria.

The classifications aregold,silver and bronzeand all three categoriesrequire what the IAAFdescribes as an interna-tional elite field, that re-quires at least five nations(four for Bronze) to be rep-resented by runners withtimes faster than theIAAF’s guidelines.

The Okpekpe interna-tional 10km road race isorganised by PamodziSports Marketing,a lead-er in sports marketing,sponsorship, hospitalityand Rights Acquisition

business with operationsin Nigeria and Senegal.

The fourth edition of therace will hold on SaturdayMay 7,2016.

AGM: NBBF set tobrainstorm Feb. 3rd inAbuja

THE Nigeria Basketball Federation has

scheduled its 2016 Annu-al Stakeholders Consul-tative forum for Wednes-day 3rd February , 2016at the National Institutefor Sport Auditorium, Na-tional Stadium, PackageB, Abuja.

According to the state-ment from the NBBF sec-retariat, delegates whichinclude Cooperate spon-sors, Team owners, Clubchairmen, Club secretar-ies as well players, coach-

es, technical officials andthe esteemed media areexpected to arrive Abujaon February 2nd as theforum is billed to take offon Wednesday morning.

All present at the as-sembly will witness mile-stone presentations fromthe Referees and Coach-es Associations, both in-augurated and reconsti-tuted respectively afterthe 2015 consultative fo-rum which had over 150stakeholders in atten-dance in Abuja.

The Stakeholders forumwill also feature the pre-season seminar for allbasketball officials suchas Referees, Table offi-cials and Technical(match) commissioners.

The statement also readthat, the board of Nige-ria Basketball Federationled by Mr. Tijjani Umaris extending an open theinvitation to all. Teamowners, club secretaries,coaches, players, and themedia to come assess thehighs and lows of Nige-rian basketball in the pre-vious 12 months and toproject a course for theupcoming calendar year.

Kenyan duo of KorioAlex Olotptip Kenya(29.20) and Tanui Anfele(33.34) won the respectivemen and women’s titleslast year.

Nigeria league kick-off postponed again

THE new Nigerialeague season will no

longer begin on January 31with a new date now likelyto be after the 2016 CHANin Rwanda.

The CHAN will paradeplayers who feature intheir home leagues and itwill start on Saturday andend on February 7 withNigeria making their sec-ond appearance in Rwan-da.

Officials also said the pre-season Super 4 will now be

staged between January20 and 24, but a venue hasyet to be decided as sever-al state governments in-cluding that of Akwa Ibomhave indicated interests tobankroll the competition.

Cash crunch affectingthe clubs, who are mostlyowned by state govern-ments, is one of the reasonsbehind a shift in the Janu-ary 31 big kick-off.

A cross section of play-ers in the country’s premierleague has also kickedagainst the original startdate for the competition,arguing that clubs clearoutstanding payments tothem as well as putting inplace mechanisms for clubsnot to again fail to pay themas and when due.

OFF THE MARK ... Marathoners taking off at the last Okpekpe International10k Road race in Edo State.

LMC boss - Shehu Dik-ko

CMYK

46 — Vanguard, MONDAY, JANUARY 11, 2016

Messi set to collect fifthBallon d'Or awardIF there were any doubts

about who should collectthe Ballon d’Or in today'sFIFA awards ceremony,Barcelona’s attacking triodispelled them in thegame against Granada.Leo Messi, with a hat-trick,and Neymar Jr., netting thefourth, put their candida-cies to the fore.

Messi will show up inZurich with five trophiesunder his arm, as willNeymar. The only one thatgot away was the SpanishSuper Cup, but their con-tributions have been deci-sive in all of the competi-tions which they haveplayed in. Messi can evenboast having scored atleast one goal in everytournament played in2015.

Unless there are any sur-prises to come, Leo Messiwill take home his fifthBallon d’Or after finishinglast season on scintillatingform, even though he washindered by a knee injuryearly on this season whichsidelined him for almosttwo months.

His link-up play withNeymar and Suárez hasled to a slight variation inhis style of play, where hehas sacrificed finding theback of the net for teamplay to some degree. Nev-ertheless, Messi’s threegoals against Granadahave put him on a haul ofnine in La Liga.

Neymar, who makes hisfirst foray into the Ballond’Or finals, is looking likea sure-fire winner in thefuture when Lionel Messi’slong reign comes to anend.

Voting for the four play-ers’ and coaches’ awardswas made by national teamcoaches and captains to-gether with journalistsaround the world namedon a list compiled by France Football and FIFA,whose votes are thencounted by an electronicsystem monitored by a no-tary public. The coaches,captains and media thatvote for the award selecttheir first, second and thirdchoice for each particularaccolade with five, threeand one points assignedrespectively.

•BATTLE....Chelsea’s Diego Costa contests for the ball with Murray Wallaceof Scunthorpe during yesterday’s FA Cup third round match at StamfordBridge. Chelsea won 2-0

Eagles eye CHAN gloryTHE home-based

Super Eagleshave set their sights onwinning their first AfricanNations Championship,kicking off this weekend inRwanda. Nigeria will playin Group C with Tunisia,Niger Republic andGuinea.

Their opening game willbe on Monday, January 18,against Niger in Kigali.

Though the team will bewithout league hotshotGbolahan Salami, whopulled out in anticipationof a transfer to Europe, and U23 star EteboOghenekaro, who was notcalled up, the team stillboast quality.

Warri Wolves centralmidfielder Bartholomew‘Mosquito’ Ibenegbu hasproved his class in the team

despite being drafted afterthe qualifiers, while IfeanyiMatthew from El KanemiWarriors has caught the eyein training camp inPretoria, South Africa, willhis whole-heartedcontributions from midfield.

The team will count onSunshine Stars strikerTunde Adeniji and theclever Chisom ‘KolanutBoy’ Chikatara for goals inRwanda. Both players have

recovered from muscleinjuries. Eagles left backChris Madaki said they arewell prepared and have allit takes to be champions.

“Though winning the titlewill be tough because it’s acompetition and every teamaspire to be winner, I don’texpect easy games but weour determination andpreparation and God on ourside, by His grace we willbe the champions.”

Dalung meets Pinnick,Giwa over tussleBy Patrick Omorodion

IN a move to bring to anend the struggle

for who is the legitimateoccupant of the seat of thePresident of the NigeriaFootball Federation, NFF,the Youth and SportsMinister, BarristerSolomon Dalung in asurprise move afterdenying backing the moveof Chris Giwa to reclaim hisalleged mandate as headof the NFF, has scheduleda peace meeting forJanuary 20, 2016.

In a press statementissued by the Minister’sSpecial Assistant onMedia, Nneka IkemAnibeze, the minister isexpected to meet with thegladiators in the scramblefor the NFF position, Giwaand the current holder ofthe position, who waselected at the rescheduledCongress held in Warri in2014, Amaju MelvinPinnick.

The statement which didnot indicate the venue ofthe meeting, said thatBarrister Dalung has calledon the Giwa and Pinnickgroups to be calm whilequoting him to have saidthat “after a comprehensivestudy of submissions fromboth sides, I have fixedJanuary 20, 2016 to meetwith the leaders of the twogroups to resolve the issue.In the light of the above, the

leaders of the two warringgroups are hereby advisedto refrain from acts capableof jeopardizing the peaceprocess.

“They should thereforemaintain calm while theissue is being resolved. Allshould note that any actcontrary to my appeal willcontinue to tarnish the imageand integrity of the countryand further scare would-beinvestors from our sports “.

This minister’s move isaimed at forestalling anycrisis that could result in anattempt by the Giwa groupto forcefully resume at theAbuja office of the NFF onJanuary 12, 2016 in asurprised renewed claim tothe leadership of the NFFwhich mandate they claimthey allegedly got in thecontroversial election ofAugust 26, 2015 that resultedin the temporarysuspension of the NFF byFIFA.

Hiddink backs Guardiola tocoach ChelseaCHELSEA interim

manager GuusHiddink will not rule outthe prospect of PepGuardiola becoming theirnext manager.

Asked if he wouldrecommend Guardiola takeover the reins at Chelseafollowing his departure,Hiddink said: “He hasshown in a very fast career– from the second team in

Barcelona – that he’scapable of managing ateam very well.

“It is difficult to say, ‘Hey,you must go to a particularteam in the PremierLeague’. I don’t want to putmore pressure on thedirectors or the owner todecide. Let it happen as ithappens. Would he fit inhere? He would fit into anybig club in the world.”

Chelsea into fourth roundDIEGO Costa scored

once and helpedmake the space for an-other as Chelseasputtered forlong stretches Sunday before advancing to thefourth round of the FACup.

The defending PremierLeague champions be-gan their Cup campaign

at Stamford Bridge witha 2-0 triumph overLeague One ScunthorpeUnited. While the resultwas hardly unexpectedChelsea’s muted per-formance, coming on theheels of a strong show-ing at Crystal Palace,suggests that new bossGuus Hiddink still haswork remaining to fine-

tune the Blue machine.Despite the early goal.

this was a hard Cup slogfor the Premier Leagu-ers, who found them-selves very much in abattle against a side withlittle pedigree but full offight. Ruben Loftus-Cheek made the matchsafe for Chelsea in the68th minute, with the

Iheanacho celebrates FA Cup goalKELECHI Iheanacho

is celebrating his FACup goal duringManchester City’s 3 - 0triumph over Norwich Cityin the third round.

Sergio Aguero was

instrumental in the fifthgoal Iheanacho scored ina City shirt in allcompetitions this season,setting him up just after thehalf - hour mark , as thevisitors gave themselves atwo - goal advantage.

“I am very pleasedplaying with him in the FACup. I am very happy andhe is a professional. It wasa great goal and a goodpass from Sergio. I wasabout to control the ball butI said I should take it firsttime. I think nothing isenough in football, I willkeep working hard andkeep giving my best andworking hard as a player,learning from theprofessionals in our team.As a young player you

need to work hard at everytraining and if you aregiven the chance to playyou have to work hard andreally show to the managerthat you are deserve to bein, “ he added

Kompany cheats death

VINCENT Kompany narrowly es-

caped injury yesterdaywhen a private jet hewas a passenger on skid-ded off the runway.

The Manchester Citydefender was headinghome after watching histeammates beat NorwichCity in the FA Cup whenthe incident occured.

According to reportsthe Citation CJ2 jetspun off the runwayduring a failed attemptto take-off from Nor-wich International Air-port.

It came to a stop ongrass and none of thefive passengers andcrew members were in-jured.

•Kompany

•Dalung

CMYK

Vanguard, MONDAY, JANUARY 11 , 2016—47

CMYK

Printed and Published by VANGUARD MEDIA LIMITED, Vanguard Avenue, Kirikiri Canal, P.M.B.1007, Apapa. Phone: Newsroom: 018773962. Deputy Editor: 01-4548355. Advert Dept Hotline: 01-4544821. Abuja Advert Hotline: 09-2921024. E-mail: editor@vanguardngr.com, news@vanguardngr.com, letters@vanguardngr.com. Advert:advertproduction@yahoo.com

Website: www.vanguardngr.com (ISSN 0794-652X) Ag.Editor: EZE ANABA. Phone: 01-7742861, All correspondence to P.M.B. 1007, Apapa Lagos.

How to Play Sudoku

Place a number (1-9) in each blank cell. (No line canhave two of the same number).

Each row (nine lines from left to right), column, (alsonine lines from top to bottom) and 3 X 3 block within abold block (nine blocks) contains number from 1 through9. This means that no number can appear twice in anyblock, column or row.

No mathematics is involved – no adding, subtraction,division or multiplication, just plain logic and your imagination.

FRIDAY'S ANSWERSTODAY'S PUZZLE

Vanguard, MONDAY, JANUARY 11, 2016

CMYK

YESTERDAY'S SOLUTIONS

QUICK CRQUICK CRQUICK CRQUICK CRQUICK CROSSOSSOSSOSSOSSWORDWORDWORDWORDWORD

Messi prepares tocollect fifth award

2015 FIFA Ballon d’Or:

Eagles eyeCHAN glory

HiddinkbacksGuardiolato coachChelsea

Dalung meetsPinnick, Giwa Jan 20

NFF leadership tussle:

FA Cup: Chelseainto fourth roundIheanachocelebratesFA Cupgoal

Kompany in close shave with death—P.46FA CUP RESULTS

Oxford Utd 3 Swansea 2Chelsea 2 Scunthorpe 0Carlisle 2 Yeovil 2Tottenham 2 Leicester 2

Details on pg.46

•AND THE WINNER IS...Neymar (l) hails Messi as Ronaldo watches

Across4 Molluse (5)7 Masticated (6)9 Observe (3)10 Deity (3)12 Active (5)13 Egg-shaped (4)15 Instrument (5)17 Newest (6)19 Organ (4)20 Decipher (5)22 Drag (3)24 Embarrassed (7)27 Number (3)28 Destroys (5)31 Carpets (4)33 Entry (6)35 Sculpt (5)37 Ruler (4)38 Harbour (5)39 Total (3)41 Heave (3)42 Office (6)43 Repasts (5)

Down1 Transversely (6)2 Memory (6)3 Fasten (3)4 Arch (4)5 Fabric (5)6 Instrusion (8)8 Idiot (4)11 Lengths (9)14 Magma (4)16 Particle (4)18 Try (4)21 Stubborn (8)23 Existed (4)25 Top (4)26 Powder (4)29 Published (6)30 Cover (6)32 Aroma (5)34 Stick (4)36 Burden (4)40 Container (3)

Across: 1, Soil 4, Era 6, Clip 9, Air 10, Altitude11, Near 14, Bar 16, Sleep 19, Competed 21,Tenet 23, Detained 24, Watch 27, Won 31,Mute 33, Examiner 34, See 35, Fear 36, Due37, Eddy.

Down: 2, Oily 3, Lair 4, Educated 5, Apex 6,Canal 7, Lie 8, Irate 12, Screw 13, Smart 14,Bet 15, Renew 17, Event 18, Pride 20,Detonate 22, Tan 25, Amuse 26, Cheer 28,Mend 29, Fire 30, Tend 32, Tea.