4.58million Nigerians became jobless under Buhari, reveals NBS report

The Nigerian Bureau of Statistics (NBS) says the total number of Nigerians who became unemployed within the first and second quarter of 2016 now stands at 2.6 million.

According to the bureau, about 1.46 million Nigerians became unemployed in the third quarter of 2015, while another 518,102 became unemployed in the fourth quarter of 2015.

Sad News: Nigeria Officially in Recession as Real GDP hits negative 2.06% in second quarter of 2016

The Nigerian Economy is officially in recession, as its Real GDP recorded a negative value of -2,06% in the second quarter of 2016. The real GDP had recorded a negative value of -0.36% in the first quarter of 2016. This value according to the latest NBS figures means that Nigeria is in its worst economic recession in 29 years.

Buhari’s economic policy against workers – NLC

The Nigeria Labour Congress criticised the Federal Government for adopting measures inimical to workers’ welfare to address the current economic recession in the country.

Spain Imports N1.38trillion Products From Nigeria - NAN

Mr Pablo Segrelles, Economic and Commercial Counsellor at the Embassy of Spain in Nigeria, on Tuesday announced that Spain had in 2015 imported products worth N1.38trillion (4

billion Euros) from Nigeria. 

China Railway Construction Corporation says it has won a $1.851 billion contract to construct the Kano city light rail.

China Railway Construction Corporation says it has won a $1.851 billion contract to construct the Kano city light rail.In a special announcement in Monday, the company said its directors had received a provisional letter of award from Nigeria.

Naira hits all time low; trades at N414 against the Dollar

The naira fell to a new low of 414 against the United States dollar on Sunday amid the continued scarcity of foreign exchange in the country, with economic experts predicting further pressure in the forex market this week.

Economy: Indonesia, Nigeria trade volume falls to $1.75bn from $4bn

The Indonesian Ambassador to Nigeria, Amb. Harry Purwanto, said the volume of trade between Nigeria and his country reduced to 1.75 billion dollars in 2015 from four billion dollars in 2014.

Purwanto made this known in an interview with the News Agency of Nigeria (NAN) in Abuja on Sunday.

Nigeria’s Business Environment Not Healthy For Investors – Buhari Tells The Japanese

While making his presentation at the plenary session on “Dialogue with the private sector” at the 6th Tokyo International Conference on African Development (TICAD VI) in Nairobi Kenya  on Sunday, August 28, 2016, Nigeria’s President Muhammadu Buhari told Japanese business community that Nigeria’s business environment was not healthy for investors.

Economic Crisis may worsen as Naira hits N390 to the Dollar

The Naira continued its slide yesterday, August 3rd 2016 dropping to N390 against the US dollar at the parallel market as foreign exchange scarcity persisted.

Naira depreciates as dollar appreciates by 2 at parallel market

The Naira on Monday depreciated by 2 per cent against the dollar at the parallel market. The naira shed N5 to exchange at N280 to the dollar, as against N275 it traded on Saturday.

The Naira firmed against the dollar on Saturday by 1.1 per cent when it exchanged for N275 to the dollar, in contrast to N277 it traded on Friday. It, however, closed at N197 to the dollar at the official interbank window.

Traders at the Foreign Exchange market said that in spite of the sale of foreign exchange to about 1,650 operators of Bureau de Change last week, the value of the naira continued to fall.

Prof. Sharafadeen Tella of the Department of Economics, Olabisi Onabanjo University, Ago-Iwoye, Ogun, urged the apex bank to continue to tighten its foreign exchange policy. Tella said this was necessary in view of a call by the International Monetary Fund (IMF) for a flexible policy.

Oshodi demolition: Igbo traders demand N20bn compensation - today.ng

Igbo Traders in the demolished Owonifari market, Oshodi yesterday demanded for 20 billion naira from the Lagos State government for properties and goods lost to the demolition. The traders under the Igbo Traders Congress while protesting the demolition at the market denied allegations that Biafra agitators were holding meetings inside the market.

Speaking on behalf of the traders, Chibuzor Onugha said the demolition was targeted at Igbo traders in the state.

“We are being punished because PDP won in this area, they alleged that the we are holding Biafra meeting its all false, they just want to punish the Igbo’s for political reasons,” Onugha said.

The traders said the state government breached the court Injunction against demolition, saying its heading to court to seek compensation against the 20 billion goods lost to the demolition.

He said the markets accommodated about 5000 traders while the government only provided slots for 600 traders at the new Isopakodowo market.

However the Lagos State Government defended the relocation of traders plying their trade in Owonifari market to the newly built ultra-modern Isopakodowo market in Bolade-Oshodi, saying the action was taken in the overall interest of public good, safety and security.

Speaking during a joint press briefing addressed by the State’s Ministries of Information and Strategy, The Environment, Physical Planning and Urban Development, Local Government and Chieftaincy Affairs, and the Office of Civic Engagement, the government said it constructed an alternative market stall for the traders which can conveniently accommodate over 600 shops and hundreds of kee clamps, and agreed to subsidize payment by giving shops at the new market at a monthly give away price of N5, 000.

Commissioner for Information and Strategy, Mr. Steve Ayorinde said the traders were adequately notified before the exercise took place as required by law, and that government engaged with the leadership of the market severally before carrying out the demolition exercise on Owonifari Market.

While clarifying issues on the demolition which took place on January 5, 2016, Ayorinde said it was important for people to note that the issue of the market had been on for nothing less than ten years, adding that government had been engaging the leadership of the market to make them realize that it could no longer continue in the manner in which the market was being used.

He said unfortunately, the leadership of the market, in the last three years, refused to move despite the fact that the new market has over 600 shops apart from the kee clamps which takes the number of people that the market could conveniently accommodate to over a thousand all together.

FOREX RESTRICTION: 99% businesses may die by March, if

Chairman of Zinox Group of companies, Mr Leo-Stan Ekeh, yesterday advised President Muhammadu Buhari to urgently engage the private sector to ease the stifling economic situation in the country.

Ekeh while addressing a cross section of newsmen in Lagos yesterday said that Nigerian businessmen are going through harrowing times to sustain their businesses now due to the forex restrictions imposed by the present administration, adding that perhaps less than one per cent of Nigerian businessmen will still be standing if current realities remain till March this year.

He lamented that not being able to source adequate foreign exchange to transact business has made a lot of businesses lose credibility in international market and if that continues the entire economy may shut down.

However, he also expressed optimism that the Nigerian economy can never shut down totally but warned that “the shocks and gaps in the economy at the moment represent our current realities and we must find creative ways to navigate this harsh economic climate. The unprecedented fall in the price of crude oil is a global phenomenon which even the smartest economist couldn’t have predicted. The only regret is that successive governments failed to save for the present rainy day we are experiencing when prices were at their peak.

“Having said that, we must always look forward. I sincerely believe that the current administration has the requisite political will and capacity to see the country through this storm and the new mindset of Nigerians to get things done properly also helps.

“I also believe that the organized private sector holds the key to a way out of the present quagmire. As a matter of urgency, President Buhari should engage the private sector to save Nigeria. The three levels of the sector drives over 80 per cent of Nigeria’s economy and certainly, we can only move forward when the government carries them along.

“Recall that in the run-up to last year’s elections, President Buhari met with representatives of the private sector in Lagos to present his party’s economic plans. This and other engagements certainly went a long way in contributing to his victory at the polls.It is my considered opinion that the time is right for the President to enlist the support of the sector in finding a way out of the current economic challenges,” he added.

Credit: Vangurd

MTN Nigeria acquires Visafone, promises boost in broadband quality

MTN Nigeria on Thursday said that it had completed the acquisition of Visafone, the only surviving Code Division Multiple Access (CDMA) network in Nigeria’s telecommunications industry.

MTN Executive, Amina Oyagbola, made this known in a statement in Lagos.

Ms. Oyagbola said the acquisition of Visafone was in line with a continued commitment by MTN to improve the quality of broadband services for its subscribers.

She said the acquisition, which sought to leverage resources for service enhancement, was also reflective of the company’s concerted efforts to deepen the growth and roll out of broadband services across the country.

According to her, the acquisition of the CDMA network was in support of the National Broadband Plan, for the benefit of Nigerians.

”We are committed to exploring avenues for meeting our customers’ increasing data needs in line with our vision ‘to lead the delivery of a bold new digital world to our customers’.

”As we work to maximise our data capabilities towards achieving broadband of international quality, our objective is to ensure that Nigerians experience a boost in the quality of broadband internet services.

”This will translate to the much needed enhanced data speeds and value to enhance personal and business productivity.

”The acquisition of Visafone highlights MTN’s commitment to Nigeria. More capacity will facilitate enhanced product/service offerings and experience in the data space to the delight of our valued customers.

”Voice is still King. However, data is becoming increasingly important in our everyday lives and our energies are focused on enhancing data and internet services to the benefit of our customers and the country at large,” she said.

Visafone is one of the leading CDMA/ICT companies in Nigeria, offering a number of services, which include voice, high speed data (3G), internet and other Value Added Services (VAS).

Visafone also provides business solutions to small and medium sized companies and corporate organisations in Nigeria.

The News Agency of Nigeria reports that over 2,000 employees of Visafone were disengaged with effect from January 5 and were paid three months salaries as severance package.

The only employees said to been left are those in the personnel and transmission departments. (NAN)

CBN may devalue Naira next year

There are indications that the Central Bank of Nigeria (CBN) may devalue the naira next year after President Muhammadu Buhari hinted for the first time that he would accept a devaluation of the naira, spurring speculation it may take place early next year when the local market reopens for trading.

The Central Bank of Nigeria(CBN) is fine-tuning the management of foreign exchange and would introduce some flexibility that would encourage additional inflows, Buhari told lawmakers in Abuja, on Tuesday as he presented the country’s 2016 budget.

“I am aware of the problems many Nigerians currently have in accessing foreign exchange for their various purposes,” the president said.

“These are clearly due to the current inadequacies in the supply of foreign exchange. We are carefully assessing our exchange-rate regime, keeping in mind our willingness to attract foreign investors, but at the same time managing and controlling inflation to a level that won’t harm average Nigerians.

“To the investors, business owners and industrialists, we are aware of your pain,” Buhari said. “To the farmers, traders and entrepreneurs, we also hear you. The status quo cannot continue.”

The currency of Africa’s biggest oil producer and economy has been all but fixed at N197-N199 per dollar since early March, with the central bank governor, Godwin Emefiele, curbing foreign-exchange trading and introducing import controls after the naira fell to a record low as crude prices plunged.

That’s caused investors including Aberdeen Asset Management Plc and Morgan Stanley to sell naira bonds and stocks in anticipation of a devaluation, which would cause losses on their holdings, and hindered the country’s growth.

The president’s change of tone means a devaluation and loosening of currency-trading restrictions may take place about January 4, when the central bank reopens the interbank market, which has been shut since Dec. 18 for the Christmas holidays, according to Razia Khan, the London-based head of Africa research at Standard Chartered Plc, which predicts the naira will weaken to N220 per dollar in the first quarter and N228 by the end of 2016.

“There’s recognition that the current system isn’t working and they need to move to something better,” Khan said by phone.

N413bn subsidy: Marketers doubt approval by N’Assemby

Marketers of petroleum products in the country are not sure of resuming their normal business activities in full scale any time soon following the delay by the National Assembly to okay the payment of the N413bn approved by the Federal Government as payment for subsidy arrears on petrol.

The marketers have continued to hold on to various means that will compel the government to treat their case with urgency, thereby further aggravating the current petrol scarcity plaguing the whole nation.

Findings by our correspondent from market sources on Monday revealed that the marketers were apprehensive that the legislators could probe their demand for payment and possibly slash the N413bn approved for them.

Most of the marketers at the various levels of the supply value chain, it was observed, were indulging in unwholesome practices like product hoarding, inflated pricing and non-transparent operations, among others.

But the Executive Secretary, Major Oil Marketers Association of Nigeria, Mr. Thomas Olawore, told our correspondent in a telephone interview that the marketers were optimistic that the legislators would approve their payment.

When asked what the marketers’ reaction will be if the payment approval becomes partial or is not honoured, he said, “There is no room for pessimism here. We believe the payment will be made.”

Despite this stance, petrol trucks were seen hanging around the Apapa-Lagos axis as a result of the skeletal loading activities that had characterised operations at the depots.

Some of the truck drivers complained on Monday that they had spent five days at Apapa without getting products.

Filling station operators are also not helping matters as most of them have resorted to hoarding petrol and selling far above the N87 official pump price. In some areas, the stations only dispense the product at night for inflated amounts so as to beat the regulatory authorities.

A member of the Independent Petroleum Marketers’ Association of Nigeria told our correspondent in confidence that mere word of mouth would not be sufficient to make the marketers return to full scale business.

[Punch]

Buhari’ll decide on MTN’s N1.04trn fine, says Minister

The Minister of Communications, Mr. Adebayo Shittu, has said that the issue of N1.4 trillion fine imposed  on MTN Nigeria by the Nigerian Communication Commission, NCC, is now before President Muhammadu Buhari, who will take the necessary decision at the appropriate time in the best interest of the country.

The Minister, disclosed this, yesterday, at the Alliance 4 Affordable Internet Nigeria Coalition conference in Lagos.

He said that the government decision to impose fine on MTN was not borne out of hatred but ”in the interest of the public.”

He stressed that MTN admitted that it erred and apologised  and that the matter was before the President, who will take the final decision, which he vowed,  will be in the interest of Nigeria.

“I don’t think there is any conflicting position on where government stands on the MTN issue. Recall that there were violations which were established against MTN.

“The violations were to the tune of five million subscribers. There are many countries where subscribers, in the entire country, are not up to half of the five million. In the case of Nigeria, we had more than five million violations.

“However, both the government and MTN are on the same page that rules have been broken in this instance.

“The issue is now before Mr President. He will take the necessary decision at the appropriate time. And the President would do what is best for the public interest,“ the Minister said.

“The good thing is that MTN did not contest the fact that they had violated the regulations and guidelines. They never contested it. They admitted they were at fault. They apologized for their role in the saga and they made a commitment that what happened will never happen again. And of course, they made a plea for review of the payment terms,” he said.

World Bank unveils $16bn Climate Business Plan for Africa

THE World Bank Group has unveiled a new plan that calls for $16 billion in funding to help African people and countries adapt to climate change and build up the continent’s resilience to climate shocks.

Titled “Accelerating Climate-Resilient and Low-Carbon Development,” the Africa Climate Business Plan, in a statement tracked from Online Media Briefing Centre (OMBC), will be presented at COP21, the global climate talks in Paris, on November 30.‬

The plan lays out measures to boost the resilience of the continent’s assets – its people, land, water, and cities – as well as other moves including boosting renewable energy and strengthening early warning systems.

“Sub-Saharan Africa is highly vulnerable to climate shocks, and our research shows that could have far-ranging impact on everything from child stunting and malaria to food price increases and droughts,” said World Bank Group President Jim Yong Kim.

“This plan identifies concrete steps that African governments can take to ensure that their countries will not lose hard-won gains in economic growth and poverty reduction, and they can offer some protection from climate change.”

Per current estimates, the plan says that the region requires $5-10 billion per year to adapt to global warming of 2°C.

The World Bank and the United Nations Environment Programme estimate that the cost of managing climate resilience will continue to rise to $20-50 billion by mid-century, and closer to $100 billion in the event of a 4°C warming. Of the $16.1 billion that the ambitious plan proposes for fast-tracking climate adaptation, some $5.7 billion is expected from the International Development Association (IDA), the arm of the World Bank Group that supports the poorest countries. About $2.2 billion is expected from various climate finance instruments, $2.0 billion from others in the development community, $3.5 billion from the private sector, and $0.7 billion from domestic sources, with an additional $2.0 billion needed to deliver on the plan.

The Africa Climate Business Plan spells out a clear path to invest in the continent’s urgent climate needs and to fast-track the required climate finance to ensure millions of people are protected from sliding into extreme poverty,” explains Makhtar Diop, World Bank Group Vice President for Africa.

“While adapting to climate change and mobilizing the necessary resources remain an enormous challenge, the plan represents a critical opportunity to support a priority set of climate-resilient initiatives in Africa,” Diop added.

In another development, ahead of 2015 Conference of Parties on Climate Change, popularly known as COP21 scheduled for November 30th to December 11 in Paris, Nigeria is yet to articulate its Intended Nationally Determined Contribution (INDC), which are made up of components aimed at addressing poverty, ecological and socio-economic problems in the country.

The Minister of Environment, Mrs. Amina Mohammed, disclosed this in pre-climate change press briefing in Abuja.

According to Mrs. Mohammed, the country was gathering many issues it would bring to the table for discussions, especially on how to tackle erosion in South East, desertification in northern zone as well as gas and oil pollutions in the Niger Delta region.

She further hinted that the Federal Government delegates to the conference would be made up of 41 officials, “though the number could be reviewed before the commencement of the conference. Some will form members of negotiation team.”

She said the country would benefit a lot from the robust discussions, especially the Lake Chad, which according to her would take the centre stage, plus other issues such as involvement of communities in education and information sharing.

Over 400,000 jobs created in third quarter – NBS

Latest data from the National Bureau of Statistics (NBS) show that a total of 475,180 new jobs were created in the third quarter of 2015.

In its third quarter survey, the NBS explained that this represents an increase of 236.1 per cent, compared with the previous quarter, and 36 per cent compared to the third quarter of 2014.

According to the Bureau, the increase in the number of jobs was driven mainly by informal sector jobs, which accounted for 90.2 per cent.

It was followed by formal sector jobs, which accounted for 8.8 per cent, while the public sector generated 4,818 jobs, representing 1.01 per cent of jobs in the period under review.

The informal sector accounted for over 90 per cent of total jobs in the third quater, and were predominantly in rural agricultural activities.

Monthly federal allocation to states drops by N72bn

The Central Bank of Nigeria (CBN) has said that due to the fall in oil prices, federation account allocation to state governments have dropped by an average of N2 billion monthly for each state.

Speaking at the 49th Annual Bankers Dinner weekend, Lagos, CBN Governor, Godwin Emefiele, said that the development explains the states’ inability to meet some basic recurrent expenditures including payment of workers’ salaries.

According to the CBN governor, average inflow of foreign exchange into the CBN has fallen by about $1.3 billion per month, resulting to a sharp decline in foreign exchange reserves from $37 billion in June 2014 to $30 billion in March 2015.

He contended that the developments indicated that the fall in oil prices might continue, adding, “This has presented an opportunity to encourage local production and reduce demand for foreign exchange. Nigeria cannot continue on this part of importing everything and anything.”

Also speaking, the President/Chairman of Council Chartered Institute of Bankers (CIBN), Mrs. Debola Osibogun, called on the newly inaugurated ministers to collectively work towards fulfilling the promises of the government to the people of Nigeria, chief among which is economic diversification.

Osibogun listed some of the promises to include includes building a prosperous nation, respected for the right reason, whose citizens can hold up their heads anywhere in the world; to diversify the economy through Agriculture, Solid minerals and the revival of the textile industry which would contribute to helping the economy move forward and act as major revenue earner, thus helping to enhance employment generation among others.

In view of challenges of falling oil revenue and pressure on exchange rate, she said the nation expects the fulfillment of these promises and “we enjoin our ministers to ensure that our hope is not dashed on the altar of personal pursuits”.

She reiterated that 2015 has posed enormous challenges in the economic sphere, but remained hopeful that the various policies and programs introduced by the CBN and federal government will enable Nigerians to forge ahead.

The Chartered Institute of Bankers of Nigeria (CIBN) is the umbrella professional body for bankers in Nigeria. It was incorporated in 1976 as the Nigerian Institute of Bankers and Chartered in 1990 (now CIBN Act 5 of 2007).

The institute was in South Korea unanimously voted to host the 22nd edition of the World Conference for Banking Institutes (WCBI) scheduled for 2017.

Nigeria’s GDP expands by 2.84%, oil output rises to 2.17mb/d

The Nigerian economy grew by 2.84 per cent in the third quarter of the year (Q3 2015) compared with 2.35 per cent in the previous quarter, the National Bureau of Statistics (NBS) has said.

According to the GDP third quarter report released Monday by the statistical agency, the country’s growth rate for Q3 was higher by 0.49 per cent compared to the previous quarter but lower by 3.38 per cent in the corresponding quarter of 2014.

Quarter-on-quarter, the real GDP increased by 9.19 per cent, according to NBS.

Nominal GDP at basic prices increased to N24.31 trillion compared to N22.85 trillion in Q2 and N21.04 trillion in the first quarter.

Compared to the N22.93 trillion recorded in Q3 2014, nominal GDP increased by 6.02 per cent.

Nominal growth was also higher relative to the growth recorded in Q1 2015 by 0.85 per cent.

Crude oil production in Q3 also increased by 0.17 million barrels per day (mbpd) to 2.17 mbpd from 2.15 mbpd in Q2 2015.

According to NBS, real growth of the oil sector increased by 1.06 per cent (year-on-year) in Q3 2015, higher by 4.65 per cent compared to the corresponding quarter of 2014, and higher than the second quarter when growth declined by 6.79 per cent.

Quarter-on-quarter, growth also increased by 14.35 per cent. As a share of the economy, the oil sector represented 10.27 per cent of total GDP, down by 0.18 per cent from the corresponding period of 2014 and up by 0.46 per cent up from the second quarter of 2015.

NBS stated that the non-oil sector grew by 3.05 per cent in real terms in Q3, adding that growth in the sector was largely driven by crop production (agriculture), financial services, telecommunications and trade, among others.

However, this was 4.45 per cent lower than the corresponding quarter in 2014 and marginally lower than Q2 2015 estimates.

In real terms, the non-oil sector contributed 89.73 per cent to the nation’s GDP, marginally higher than the 89.55 per cent in Q3 2014 but lower than the 90.20 per cent recorded in Q2 2015.