Buhari seeks NASS approval of $200m loan for Lagos State

President Muhammadu Buhari on Tuesday sought the approval of the House of Representatives to obtain 200 million U.S dollars loan from the World Bank for Lagos State.

This is contained in a letter to the House of Representatives written by the President and read by the Speaker, Yakubu Dogara, during plenary.

According to Dogara, the loan which is for Development Policy Operation (DPOII) was approved in 2010 by the World Bank and is expected to be implemented in three tranches per annum.

He said that the first tranche was approved by the National Assembly in the 2010 to 2012 Federal Government external borrowing plan while the second tranche was approved in the 2012 to 2014 plan.

He said that the letter stated that DPO 1 was successfully implemented by Lagos State government in 2014.

``Following the successful implementation as adjudged by the World Bank, the bank’s Board of Directors approved the second tranche of the DPO on April 29, 2015.

``DPO 111 was captured in the Federal Government external (rolling) borrowing plan of 2014 to 2016 which was discussed with the National Assembly, but was not concluded,’’ Dogara said.

He solicited the support of the members to facilitate the consideration and early approval of DPO 11.

``This is to enable the state to consolidate on the gains of the second tranche of the operation (DPO 11).’’

Similarly, Buhari also requested approval for increase in the amount to be raised through the Diaspora bond from the international capital market.

``This is in line with the Federal Government’s effort to mobilise capital to finance critical infrastructure in the country,’’ the letter stated.

It letter stated that the request was crucial in diversifying Federal Government’s sources of funding and encourage Nigerians in the Diaspora contribute to the development of the economy.

It added that the reason for the request to increase the issuance amount to 300 million dollars was to meet the huge capital needed to bridge the infrastructure gap and ensure growth and development. (NAN)

 

NDIC pays N6.8bn insured deposits to 528,277 depositors of closed banks, says MD

The Nigeria Deposit Insurance Corporation (NDIC) says it has paid out a cumulative N6.831 billion insured deposits to 528,277 depositors of 49 closed Deposit Money Banks (DMB) as at Dec. 31, 2014.

The Managing Director of NDIC, Alhaji Umaru Ibrahim, announced this at the NDIC special day at the on-going Abuja International Trade Fair on Tuesday in Abuja.

Ibrahim said the payment, which was in line with the act establishing NDIC, was also to ensure that un-insured depositors of closed DMB recovered their money.

According to him, NDIC has paid a cumulative liquidation dividend of N94.737 billion to 250,592 to un-insured depositors of same 49 closed DMB as at December 2014.

He said that NDIC had declared in full, a final liquidation dividend of 100 per cent of total payments in 14 of the failed banks out of the 49 closed DMBs.

He explained that payments were on-going for the depositors of Micro Finance Banks (MFBs) and Primary Mortgage Banks(PMBs).

He said that the prompt payment of the insured sum was designed to reduce the impact of bank failure and also build public confidence.

Ibrahim said that the participation of NDIC at the fair also provided a unique platform for public awareness on the benefits and limitations of deposit insurance scheme (DIS) in Nigeria.

He explained that the DIS was one of the financial safety net in the economic system designed to protect uninformed bank depositors and ensure safety, soundness and stability of the banking system.

According to him, in the event of any bank failure, each depositor was entitled to a maximum claim of N500,000 per depositor of DMB and non-interest or Islamic banks.

For MFB and PMB, he said that each depositor was entitled to receive N200,000 in the event of any failure from the banks.

He added that the insured sums covered over 90 per cent of bank depositors.

Ibrahim said that depositors with claims above the insured sums were entitled to liquidation dividends from the proceeds of sale of the physical assets and recovery of debts owed to such failed banks.

He noted that the theme of the 2015 Abuja fair: ``Entrepreneurship as a panacea for economic growth,`` would drive greater business opportunities and promote financial empowerment.

He said that the fair would open up new avenues for industrial development and ultimately improve the life of Nigerians.

The NDIC MD said that in a bid to send strong signal to bank operators against unethical practices in the banking system, NDIC was conducting risk-based supervision.

He said that the supervision, in collaboration with the Central Bank of Nigeria (CBN), had led to the supervision of the 22 DMBs, 882MFBs and 61PMBs in the country.

Ibrahim called on Nigerians whose deposits were trapped in failed banks to visit NDIC pavilion at the trade fair to receive information on how to recover and claim their deposits.

Responding, the Vice-President of the Abuja Chamber of Commerce and Industry limited (ABUCCI), Mr Osi Imomoh, noted that credit was the main driver of growth, economic progress and development.

He said it was important to ensure proper credit administration in the financial sector.

He said improper management of credit administration could inhibit growth in businesses.

He explained that high interest rate structure, abstract classification of non performing credit and administrative recall of credit, especially without regard to business cycles, could slow down growth in businesses.

Imomoh said more collaborations among regulators, the banks and ABUCCI would do the economy a lot good.

He called on NDIC to extend their technical assistance to other underlying institutions like ABUCCI.

``We will like to see more activity in the area of restructuring, turnaround and technical assistance extended beyond first line (banks) to other underlying institutions,`` he said. (NAN)

No more collection of drivers' license by proxy - FRSC

The Federal Road Safety Commission (FRSC) on Tuesday said it would no longer accept the collection of driver's license by proxy.

Mr Vincent Nwokolo, the Commanding Officer in-charge of Zone one, comprising Kano, Kaduna and Jigawa states, made this known while speaking at the Road Safety Stakeholders Summit in Dutse.

Nwokolo said anybody seeking the issuance of the drivers’ license must be present at the FRSC's on-stop-shop for his biodata to be captured.

"I want to tell you that no more collection of drivers' license by proxy, nobody will sit at home and collect it.

"There must live capture for it to be real," Nwokolo said.

He explained that the measure was to check the issuance and circulation of fake drivers' licenses among motorists.

The commanding officer added that most of the licenses produced by proxy were illegal and were not in the commission's database.

"This is because there are many fake drivers' licenses circulating and fake licenses are not in our database," he said.

According to him, the corps will henceforth prosecute any persons found in possession of such licenses.

"In future, when one produces such license as a form of identity, it has to be tested in our data bank, and if it is fake, then we have to prosecute the holder," Nwokolo warned.

He, therefore, warned people to stop patronising those who paraded themselves as agents for the issuance of licenses and number plates.

"We want to warn people to stop using touts and agents as the FRSC has not approved or accredited anybody to serve as its agent for the issuance of drivers' license or number plates," he said. (NAN)

Embrace peace or face more assaults, Military warn Boko Haram insurgents

The Defense Headquarters, Ministry of Defense, said Boko Haram insurgents would face increased military assaults if they refused to surrender their arms and embrace peace.

This is contained in a statement signed by Col. Rabe Abubakar, acting Director, Defense Information, and made available to the News Agency of Nigeria (NAN) in Abuja on Tuesday.

According to Abubakar, the Nigerian Armed Forces are committed to continue the ongoing coordinated joint assaults on the insurgents in the North-East.

``The military is committed to continue the coordinated assaults on Boko Haram members in the North-East until the operation of guerrillas is totally impaired and collapsed.

``The operation of the security forces in the contested area is designed to dismantle technical preeminence and capabilities of the terrorist groups.

``For optimum success in the counter offensive, 7 Brigade of the Multinational Joint Task Force(MNJTF), in the Lake Chad Basin will ensure a total blockade of terrorists escape route," he said.

Abubakar added that the efforts would forestall further infiltration of the terrorist elements into the country and its neighbours.

The statement warned the sect members to stop their mindless act of violence and embrace peace in order to become useful citizens with positive contribution.

The News Agency of Nigeria(NAN) recalls that over 200 Boko Haram members surrendered to the Nigerian Army troops in Banki town of Borno, recently.(NAN)

Union decries non-payment of 10-year retirement benefits to members

The Joint Union of Nasarawa State Tertiary Institutions (JUNSTI) on Tuesday decried an alleged non-payment of 10 years retirement benefits to its members by the state government.

Mr Samuel Bashayi, the Chairman of the union, said this when members of the union appeared before the state House of Assembly Committee on Education, Science and Technology in Lafia.

He said that non-payment of the retirement benefits to its members had affected their lives and their families negatively, hence the need for the assembly to intervene, to improve on their standard of living.

“Our honorable members, we are here to present to you our demands as well as the numerous challenges affecting members of Joint Union of Tertiary Institution in the state so as to improve on the standard of education in the state and the country at large.

“For the past ten years, there is non-payment of retirement benefits to our members who have retired after they contributed positively to the development of the state and the country at large.

“Apart from that, there is backlog of promotions on ground for several years, non accreditation of some courses, under staffing in most of all the higher institutions.

``For example, the staff strength has continued to drop due to retirement and there is no employment.

“We also want the state government to grant us autonomy because if we are autonomous it would go along way in addressing the problems and challenges confronting us as well as improving the standard of education in the state.

``The autonomy of higher institutions would also give them the right to organise convocation as when due, ensure timely accreditation of courses, prompt promotion of its workers and ensure improved welfare package to its members.”

He also appealed to the government to increase the retirement age from 60 to 65 years to enable the members to contribute positively to the development of the state, considering the importance of education to the society.

The chairman restated the commitment of the union to support government efforts in improving the standard of education.

Responding, the Chairman of the house committee, Mr.Daniel Oga-Ogazi, said the assembly decided to invite relevant stakeholders in the sector to improve the standard of education.

“We heard all of your problems and challenges; we promise you of our collaboration with you, other stakeholders and the state government to see how to address these problems because no society will achieve meaningful progress without sound education.'' (NAN)

Confectioner urges FG to ensure easy access to funds by SMES

A Lagos-based Confectioner, Mrs Precious Aremu, on Tuesday urged the Federal Government to provide small and medium entrepreneurs with funds to help them to remain in business.

Aremu, the proprietor of Palinio Cookies Ltd., told the News Agency of Nigeria (NAN) that many small businesses were going under due to paucity of funds.

``To sustain one’s business under the prevailing Nigerian economy is quite a challenging task,’’ said Aremu whose industry exports biscuits.

``Even the institutions that are supposed to support enterprise with finance are contributing to the death of small businesses because of their nonchalant attitude to give out loans.’’

Aremu also urged the Federal Government to review its policy on the ban of importation of certain items needed by bakers.

``For example, the cost of baking bread will go up and affect affordability if government bans the importation of margarine.

``It is counterproductive to ban items that one has not been able to produce in quality standard locally because industries that depend on such material input are likely to groan,’’ she said.

She added that the dearth of skilled bakers and auxilliary personnel needed to create boom in Nigeria’s baking sub-sector was contributing to the low productivity in the industry.

``The amount of fund expended on training and retraining of personnel by bakeries is worrisome when one considers the profit as motivation to go into business.

``It is the more worrisome that those that have been trained do not remain in the sector to contribute their quota to its growth,’’ she lamented. (NAN)

Onosode was an icon of best of Nigeria’s national values, says Anyaoku

Former Commonwealth Secretary-General Emeka Anyaoku has described the late Gamaliel Onosode as a true symbol of integrity, an outstanding patriot and an icon of the best of Nigeria’s national values.

``An iroko in the corporate world has fallen,’’ he said in an interview with the News Agency of Nigeria (NAN), while reacting to Tuesday’s passing away of the late former presidential adviser.

NAN reports that Onosode, a chartered stockbroker, administrator and financial consultant, had passed on early Tuesday.

``Gam, as he was called by his contemporaries, was a true symbol of integrity in the boardroom. He was an outstanding patriot and an icon of the best on Nigeria’s national values,’’ Anyaoku said.

He also said Onosode was outstanding in his support for religious activities.

``He was a man of God who deployed a significant part of his righteously acquired resources to supporting the church in his hometown of Ughelli and in Lagos where he lived an exemplary modest life,’’ Anyaoku said.

The former Commonwealth Secretary-General further said Onosode would be missed by the very many people whose lives he touched in many beneficial ways.

``Gamaliel was my best man at our wedding almost 53 years ago. My entire family, which enjoys close relationship with his family, joins his wife Susan and their children in mourning this virtuous man.

``We thank God for his remarkable and fulfilled life, and pray that his soul will ret in perfect peace,’’ Anyaoku said.

Onosode, an Urhobo-born financial consultant was born on May 22 of 1933 in Sapele, a sub-urban city in the current Delta.

He was educated at Government College, Ughelli and the University of Ibadan.

Onosode later emerged in the 1970s as one of Nigeria's leading educated chief executives, when he was at the helm of affairs at NAL Merchant Bank of Nigeria.

Over the years, he rose to become a leading boardroom player in Nigeria's corporate environment.

He was a Presidential Adviser to the then President Shehu Shagari and a former President of the Nigerian Institute of Management, and chaired several private and public sector businesses and initiatives.

These include Dunlop Nigeria Plc, Cadbury Nigeria Plc, Presidential Commission on Parastatals and Nigeria LNG Working Committee and Nigeria LNG Limited and the Niger Delta Environmental Survey.

Onosode was a Fellow of the Economic Development Institute of the World Bank, the Nigerian Institute of Management and the Chartered Institute of Bankers of Nigeria.

In addition, Onosode was immediate-past and inaugural President of the Chartered Institute of Stockbrokers, immediate past Pro-Chancellor and Chairman of the Governing Council of the University of Uyo.

He holds Honorary D.Sc. degrees of Obafemi Awolowo University, the University of Benin and the Rivers State University of Science and Technology.

Before his death, he was Chairman of Delta State Think-Tank on Development, Global Missions Board of the Nigerian Baptist Convention and Governing Council of Nigerian Baptist Theological Seminary, Ogbomoso.(NAN)