Concluding an eight-day official visit to Nigeria today, the United Nations Assistant Secretary-General and United Nations Development Programme (UNDP) Assistant Administrator and Regional Director for Africa, Ms. Ahunna Eziakonwa, emphasised the urgency in seizing critical opportunities to accelerate Nigeria’s sustainable development.
During her visit, Ms Eziakonwa met with H.E. President Muhammadu Buhari, H.E. Vice-President Yemi Osinbajo, and other senior leaders at both Federal and State Government level – emphasising the importance of leveraging wealth creation through investing in women, youth, the creative industry and the private sector. The mission included a multi-city visit to the north-east, Abuja, Owerri and Lagos.
Starting with crossing the Cameroon-Nigerian border by foot into Borno State, the Assistant-Secretary General witnessed firsthand the impact that Federal Government and Borno State – led stabilisation efforts have had on the most vulnerable people in north-east Nigeria – where Ms Eziakonwa inaugurated infrastructure serving borderland communities in the Lake Chad Basin ( both in Cameroon and in Nigeria), such as a police station, barracks and new immigration and border control offices as well as housing for immigration officers.
“Stabilisation efforts are working. I was in Banki less than a year ago and being there again last week I was struck by the transformation the town and people living there have undergone,” explained UNDP’s Regional Director.
“Police and customs officers were proud to be back to serve people in the community, who, in turn, have expressed they now feel more secured. Through our joint stabilization work, we can reduce needs and strengthen support to humanitarian action.”
In Abuja, Ms Eziakonwa met with H.E. President Buhari, to reinforce UNDP’s support to Nigeria’s recovery from the COVID-19 pandemic and its plans to speed up sustainable development in the Decade of Action – focused on climate change, wealth creation, youth employment, and women’s participation in politics.
“Nigerian authorities and people have immediately responded to the pandemic and we are proud to have supported the procurement of forty percent of the equipment needed for the response as a ‘One UN’ effort,” highlighted Ms Eziakonwa.
“However, the pandemic is not over yet, and we must now redouble efforts to address the global inequality evident in vaccine famine. Vaccines must be available to all those who wish to take it.”
Ms. Eziakonwa commended the Federal Government for launching the National Poverty Reduction with Growth Strategy (NPRGS), mandated to lift 100 million Nigerians out of poverty in the next 10 years – emphasizing the fundamental role the private sector plays in Nigeria.
In Owerri, in partnership with both Imo and Abia State Governments, Ms Eziakonwa launched a socio-economic revitalisation project to support 11,000 people across both regions to strengthen economic capacities of communities affected by the pandemic. Support will go to livelihoods support, business continuity, improving food security and social cohesion as well as support for start-ups companies.
In Lagos, Ms Eziakonwa inaugurated Nigeria’s first Accelerator Lab, which will offer opportunities for young people to accelerate and scale up home – grown solutions to Nigeria’s development challenges. With the private sector, she witnessed a renewed commitment to support youth entrepreneurship and empowerment including through the Jubilee Fellowships Programme.
“What I have witnessed in Nigeria, and last week in Cameroon, is a dynamic Africa. Empowering people, particularly women and youth, facilitating their endeavors, and scaling up the transformative innovations they develop, is the only way to support Nigeria and its people in their unique development path towards a more inclusive and sustainable future.”
UNDP Africa Director Seeks New Approach to Accelerate Nigeria’s Development
CIIN Honours Muhammadu Buhari as Grand Patron
The Chartered Insurance Institute of Nigeria (CIIN) has officially honoured President Muhammadu Buhari as Grand Patron of the Insurance Industry in Nigeria during a courtesy visit to the President at the Presidential Villa, Abuja.
Nigeria Scores High on Enforceability of Standard Agreement-ABSA Report
Nigeria, Ghana and South Africa top 20 other African countries under the enforceability of standard master agreements pillar in the latest African Financial Markets Index presented by Absa, a leading financial services provider.
The insight was delivered recently during the presentation of its Absa-OMFIF Financial Markets Index.
The top financial services provider also revealed that innovations in sustainable finance, digital transformation, alongside important initiatives in transparency and regulation, will help reinvigorate Africa’s financial markets as they recover from the impact of Covid-19.
The latest African Financial Markets Index which was produced by a joint research effort of ABSA and OMFIF measures financial market development in 23 countries from across the African continent, highlighting economies with the most supportive environment for effective markets.
The aim of the index is to show how economies can improve the market framework to bolster investor access and sustainable growth, and act as a benchmark for investors and policy-makers.
As a reflection of the global push towards sustainability, this is the first year that the index has included ESG indicators.
The availability of sustainable finance products, such as green bonds and equities, now contributes to countries’ scores for Pillar 1: Market depth. The index also scores countries on policies that promote ESG initiatives in financial markets for the first time.
The introduction of these sustainability-focused indicators weighs down the scores for many countries in the index as developments in this area are often at an early stage. The average score in the index fell to 46.4 out of 100 in 2021 from 50.8 in 2020, reflecting markets’ muted performance in these new indicators. However, the new measures serve as targets for countries to work towards.
Charles Russon, Chief Executive of corporate and investment banking, Absa, said of the index’s findings:” While some might find it disheartening to see the average score across the board drop, Africa is navigating an extremely tricky economic atmosphere. Recovery from the Covid-19 pandemic has not been as straightforward as we would have hoped last year, and this has had a large impact on the twin challenges the continent faces in reinvigorating financial markets post-pandemic while strengthening market infrastructure.”
He continued, “However, we’ve seen a lot of positive progress in countries’ efforts to upgrade market infrastructure and regulatory support through the development of technology-based tools which will help future-proof Africa’s financial markets. With countries using innovation to boost local markets and build a broader investor base, there are plenty of reasons to be hopeful about the future of Africa’s macroeconomic landscape.”
The ABSA African Financial Markets Index tracked performances in key markets on the continent. Divided into six pillars, the report measured all 23 countries against these pillars. In Pillar 1: Market depth, scores dip by an average of 1 point to 40.5 from 41.5 in 2020 due to lower equity market turnover, which has persisted since the onset of the Covid-19 pandemic.
While market capitalisation rose in almost all of the countries in the index, it was not enough to offset weak trading activity. Only nine countries have introduced financial products that can be classified as ‘green’ or ‘sustainable’, with green bonds available in seven countries, either on exchanges or over the counter. Kenya and Morocco score highest in this indicator for having green or sustainable bonds, equities and mutual funds in their markets.
Foreign exchange reserves grew by 24% in Pillar 2: Access to foreign exchange, with South Africa coming first and Eswatini moving up 11 places. However, a lack of liquidity in the FX markets, as measured through interbank figures, weakened across almost all countries.
Nearly all countries’ scores declined in Pillar 3: Market transparency, tax and regulatory environment due to lower marks in capital market development. Poor performance on the new indicators that look at incentives for issuance of sustainable financial instruments, integration of sustainability factors in financial market standards and adoption of climate stress testing also contributed to the decline.
Namibia tops Pillar 4: Capacity of local investors once again, earning full marks for having a deep pension market relative to the size of its population and securities market. However, the weak potential on the part of the domestic pensions market meant that 19 countries failed to score over 50.
Countries generally performed best in Pillar 5: Macroeconomic outlook, achieving an average score of 62. Egypt regains the lead – which it lost to South Africa last year – propelled by strong gross domestic product growth in 2020. The macro impact of the pandemic continues to be felt in this sector with economic growth for many countries subdued and public finance showing the strain.
Ghana, Nigeria and South Africa earn full points in Pillar 6: Enforceability of standard master agreements. Mauritius, Uganda, Zambia and Malawi miss out on joining these countries at the top of the pillar by not yet fully adopting standard master agreements.
“The index is evolving to stay relevant, recognising the greater role that sustainability plays in market development, as well as the importance of mitigating climate-related risks to the financial system, especially for African countries that are more vulnerable to the effects of environmental deterioration,” said David Marsh, chairman of OMFIF.
“Innovations in sustainable finance and market infrastructure will be critical to ensuring that African markets remain competitive and future-proof”, he added.
NCC Reports 97% Readiness Level for 5G Deployment in Nigeria
The Nigerian Communications Commission’s (NCC’s) plan for Fifth Generation (5G) technology deployment in the country continues to gather momentum with the Commission confirming that its readiness to begin full implementation is at 97 per cent.
The Executive Vice Chairman of NCC, Prof. Umar Garba Danbatta, re-affirmed the status of the Commission’s 5G technology deployment at the annual African Tech Alliance Forum (AfriTech 2021) held in Lagos on Wednesday, October 13, 2021 with the overarching theme: “Embracing Changes and Digital Transformation in the New Normal.”
Focusing his presentation on “NCC as a Digital Transformation Crusader and Nigeria’s in-Road to 5G Deployment,” Danbatta stated that, following the advent of COVID-19 pandemic, there has been a change in the dynamics of people’s interaction, especially on the Internet. According to him, almost every means of communication has become virtual in one way or the other.
Danbatta, however, stated that this paradigm shift in communication has led to significant increase in network connectivity requirements as a result of unprecedented upsurge in Internet traffic, occasioned by the use of a plethora of web applications such as Zoom, Microsoft teams, WebEx, Goto, Webner and so on. He said this has made remote work, virtual meetings, virtual studies and virtual healthcare delivery, among others, the new normal.
According to Danbatta, even though, the network infrastructure in Nigeria has demonstrated some capacity to contain the surge in internet traffic, a lot of work is being done by the Commission to boost network capacity, sensitise the public and ensure accessibility to affordable connectivity during the period of the pandemic and beyond.
Due to the network traffic demand, the EVC said the NCC is working with operators to implement a number of initiatives to ensure network expansion. These, he said, include ongoing plan to auction spectrum in 3.5 gigahertz (Ghz) band to operators for the deployment of 5G network in Nigeria.
“Consistent with our mandate as enshrined in the Nigerian Communications Act 2003 (NCA-2003) and other guiding legislations, we have been working to ensure the penetration of broadband services in line with Federal Government’s targets, as contained in Nigerian National Broadband Plan (NNBP), 2020 to 2025.
“Already, we are set for the auction some spectrum slots in 3.5GHz band. The other day I was at the National assembly, I informed the senate that we were 95 per cent ready for 5G. Today as we speak, I am delighted to tell you that we are already at 97 per cent completion,” Danbatta said.
“The Committee set up to auction the Spectrum has already developed and Information Memorandum (IM) which is already published for inputs and comments from all industry stakeholders. Prior to this, a 5G deployment plan was developed and we have since secured Federal Government’s approval,” he said.
He said this is in addition to a lot of other initiatives being put in place by the Commission to improve broadband connectivity in Nigeria, adding that the surge in Internet traffic induced by Covid-19 has continued to challenge National Regulatory Authorities (NRAs) and other arms of governments to ensure deployment of adequate resources such as spectrum and other forms of support to increase network resilience and accessibility to telecommunication services.
“Emerging technologies such as 5G, which NCC is driving aggressively in Nigeria, Internet of Things (IoT); Cloud Computing; Quantum Computing Augmented/Virtual Reality, and similar emerging technologies are playing a critical role in improving remote communication over the internet with great user experience. The NCC is committed to promoting this inevitable change and enhance user experience through effective regulation of the telecoms sector,” the EVC said.
The EVC was represented at the event by Engr. Oluwatoyin Asaju, Director, Spectrum Administration. Also in attendance was The Director, Public Affairs, Dr. Ikechukwu Adinde.
Other key industry stakeholders participated at the one-day Forum, which also featured exhibition by some sector players.
COVID-19 Led to Higher Profitability for Corporate Institutions – Soyewo
The Executive Chairman, Prestige Insurance Brokers Limited, Prince (Dr) Feyisayo Soyewo has said that the COVID-19 pandemic has helped corporate institutions to retool their operational strategies, leading to higher profitability and easier ways of doing things virtually and getting results.
Soyewo stated this while delivering an opening remark as the Conference Chairman of the 6th National Insurance and Pension Correspondents (NAIPCO) with the theme: COVID-19 Impact on Financial Inclusion: Opportunities for Insurance and Pension Sectors.
He said that it was heartwarming that many individuals and operators have taken the whole pandemic experience as an opportunity for a paradigm shift in all undertakings.
” The theme of the conference cannot be more apt than now, when the entire world is just heaving a sigh of relieve from the ruinous impact of the pandemic.
” It makes little news that the pandemic disrupted the usual work culture and affected every facet of human endeavors ever experienced in recent history,” Soyewo said.
According to him, the financial services sector of which the insurance and pensions are critical players also had their fair share of the impact of the pandemic.
The Insurance broker chairman noted that for the insurance industry, aside from the long cessation of work, necessitating remote working conditions, the pandemic led to the need to review rates and revisit some of the policy conditions and exclusions earlier permissible for some insurances.
“I want to believe that the pension sector also had its own side of the pandemic which they would be able to relate to us more explicitly at this auspicious forum.
” We must all come to terms with the fact that change is the only permanent thing in life and those who are resistant to change would be changed by change ultimately, ” the broker said.
Soyewo commended NAIPCO for its very effective reportage of events, particularly relating to the insurance industry, as he has watched the association grow over the years.
He noted that NAIPCO has continued to record phenomenal leap in its quest to create relevance for its members, as well as become a strong voice in issues of advocacy, particularly in the nation’s financial ecosystem.
The Chairman, NAIPCO, Mr Chuks Okonta said that the conference, which is in its 6th edition, is one of those avenues the association is contributing its quotas to the growth and development of the two critical sectors it covers, which are; insurance and pension sectors.
” Today, we, as journalists, are not only watching and reporting, but participating actively in reshaping the two industries and propelling them to growth.
“The last two years have been extremely hard for Nigerians, Africans and the world at large due to the invasion of the deadly coronavirus pandemic across the world and Nigeria inclusive rewrites the business environment template. Human interface was limited, most operations went online and those who were not technologically savvy were left in the dustbin of the past, as the world matches on with full speed. Though businesses closed shops, people died and sources of livelihood shrank as a result of the pandemic, but it opened up several opportunities in other areas of businesses that may not have been explored if not for the Covid-19. Financial sector operations become more sophisticated as face-to-face interaction went into oblivion, hence, projecting the human and machine interactions,” Okonta said.
According to the NAIPCO Chairman, the development created an opportunity for both sectorial players to increase their awareness and widened their tentacle to capture this niche market.
Okonta said to this end, the association assembled experienced human capital to do justice to the theme of the conference.
He however appreciated all members of the 2021 Conference and Editorial Committees who were both instrumental to put the conference together, sponsors who made the August gathering a reality and resources persons and eminent personalities who gave their time in spite of their tight schedule.
Sovereign Trust Insurance: N2.5bn Claims Payment in 9 Months
Olaotan Soyinka
Managing Director/CEO
Sovereign Trust Insurance Plc
Sovereign Trust Insurance Plc has again shown avowed commitment to claims settlement.
The underwriting firm recently released its third quarter claims record detailing total claims paid between January and September 2021.
In the published statement, the claims figures reveal that the sum of N2,515,004,405.67 (Two billion five hundred and fifteen million, four thousand, four hundred- and five-naira, sixty-seven kobo only) had been paid in the period under review.
A rundown of the claim’s composition paid during the nine months period shows Energy/Oil & Gas Insurance having the highest figure of N774 million, (seven hundred and seventy-four million), Fire and Allied Perils accounted for N505.5 million while N460 million was paid as claims under Motor Insurance.
Other figures as released by the organization are, N355 million for General Accident, N215 million for Engineering/Contractors’ All Risk Insurance and N203 million for Marine & Aviation Insurance.
While commenting on the claim’s payment, the Executive Director, Technical, Jude Modilim, said “there is no compromise to claims settlement in Sovereign Trust Insurance Plc because that is the barometer for our customers to determine whether we are delivering on our promise or not. We do not intend to fall short of this obligation and we will continually strive to make good our promise at every point in time as long as the claims are genuine and treated accordingly.”
While commenting further, Modilim stated that the company has put in place a friendly-claim-process which ensures that claims are settled within the shortest period possible.
“The processes involved from the moment a claim is reported and the period the customer receives the cheque have been made as seamless as possible” he concluded.
In the same vein, the Managing Director/CEO of the organisation, Olaotan Soyinka stated that “one of our means of advertisement in Sovereign Trust Insurance Plc is prompt claims settlement and it has helped to strengthen the relationship with our customers. We do not allow them to go through distasteful experience in the process of getting their claims settled. Our processes are hinged on professionalism, ethics and promptness.”
Sovereign Trust Insurance Plc is fast emerging as a reckoning force in the Nigerian Insurance Industry with a network of eighteen (18) locations spread across major commercial cities in the country.
With Shareholders fund in excess of N8.6 billion, Sovereign Trust Insurance Plc towers high above its peers in the industry. It will be recalled that Sovereign Trust Insurance was recently awarded the “Outstanding Insurance Company of the Decade” by Marketing Edge, a renowned Marketing Communications outfit in the country.
UNDP Unveils Accelerator Lab to Generate Solutions to Nigeria’s Dev Challenges
Today, the United Nations Development Programme (UNDP) officially launched the Accelerator Lab to help catalyze local solutions to some of the most complex development challenges in Nigeria. Funded by the German Cooperation, the Italian Government and the Qatar Development Foundation, the Lab will serve as a facilitator, helping to connect grassroot innovators and policy makers, to develop new approaches that fit the complexity of Nigeria’s current development trajectory.
The Accelerator Lab was unveiled in Lagos by UNDP’s Assistant Administrator and Regional Director for Africa, Ms. Ahunna Eziakonwa, Special Advisor to the Governor of Lagos State on Sustainable Development Goals (SDGs), Ms. Solape Hammond and UNDP Nigeria Resident Representative, Mr. Mohamed Yahya, among others.
The speed, dynamism and complexity of challenges, like climate change, poverty, insecurity, and rising inequalities, that Nigeria continues to face requires a new way of thinking, as well as a radical shift in the way that solutions are developed and deployed.
The Accelerator Lab presents an opportunity for the innovation ecosystem within the country to re-imagine a new future, while leveraging local solutions for inclusive and accelerated development.
“We are seeing a different narrative in Nigeria, which is the face of remarkable innovation, cutting edge development ideas, and an excitement about the future” said Ms. Ahunna Eziako, UNDP’s Assistant Administrator and Regional Director for Africa. “The Accelerator Lab will help innovators across the country look at challenges through the lens of opportunity and develop the true potential of this country’s innovation and ingenuity.”
The complexities of development in the 21st century means the UNDP must play a role in finding faster and more sustainable solutions to transform our world. The Accelerator Lab offers the Nigerian innovation ecosystem a platform to develop human centered solutions, at the speed and scale required by the needs of the region. The goal is to help close the gap between the current practices of international development in an accelerated pace of change.
The Accelerator Lab in Nigeria will help to identify development problems which will be solved together with local and national partners by offering support in the areas of solutions mapping, testing, experimenting, and more.
Launched globally by the UNDP in 2018, a worldwide network of 90 Accelerator Labs serving 78 countries have been established to re-imagine development for the 21st century.
The UNDP Accelerator Labs globally works to build the world’s largest and fastest learning network to reach Agenda 2030 and the attainment of the SDGs.
Unity Bank Boosts Capacity Building on Blue Economy, Empowers 3,000 Girls
Mrs. Tomi Somefun
Managing Director/CEO
Unity Bank Plc
No fewer than three thousand girls drawn from Senior Secondary Schools across Nigeria have benefitted from a 3-day capacity building initiative on maritime commerce and National Virtual Maritime Quiz powered by Unity Bank Plc.
The capacity building initiative, which focused on Information Communication Technology, ICT, maritime transportation and logistics ecosystem, was hosted by Ocean Ambassadors Foundation to promote the participation of Indigent Girl-Child in maritime commerce.
Unity Bank partnered the programme as part of the Bank’s Corporate Social Responsibility initiatives targeted at the education sector and to draw attention to the imperatives of training the girl-child to participate actively in the relevant sectors of the economy.
This is coming against the backdrop of the negative impact of COVID-19 on the education sector which has affected millions of girls across Nigeria, resulting in “many girls being unable to return to schools and many others becoming child brides,” according to a recent report by the Economist.
The programme coincided with the International Day of the Girl-Child which was marked to highlight how “the pandemic has accelerated digital platforms for learning, earning and connecting, while also highlighting girls’ diverse digital realities”.
The Managing Director/CEO of Unity Bank Plc, Mrs. Tomi Somefun represented by the Chief Customer Service Officer, Mrs. Titilayo Abraham officially opened the event. Commenting on the initiative, she stated that: “Unity Bank has maintained its commitment to supporting the girl child by supporting several advocacy initiatives and investing in the education sector. The National Maritime Quiz is yet another opportunity to contribute to the movement to encourage, educate and empower the Girl-Child to participate in the economy while driving access to education.”
“We commend the Ocean Ambassadors Foundation for their initiatives aimed at bridging the gender gap in the ICT, maritime, transportation, and logistics sectors in Nigeria.”
Unity Bank has in time past demonstrated commitment to supporting the education sector, especially for initiatives targeted at children. One of the Bank’s flagship initiatives – One Minute Genius (OMG) and others such as Unity Bank Spelling B Competition, One Day CEO, are annual educational platforms of the Bank aimed at boosting financial literacy among Nigerian children.
The organisers, Ocean Ambassadors Foundation commended Unity Bank, adding that “the sensitization for the Girl-Child to take advantage of career opportunities in the ICT and maritime cannot be over-emphasised.
According to the Group, this also amplifies the “Global Advocacy of the Sustainable Development Goal’s 4, 5, and 14” stating that “Gender equality and women empowerment require deliberate transformative shifts, new technological solutions and integrated approaches.”
NCC: Regulatory Instruments Will Tackle Insecurity, Facilitate 5G
The Executive Vice Chairman (EVC) of the Nigerian Communication Commission (NCC), Prof. Umar Garba Danbatta, has declared that three of the Commission’s regulatory instruments are set to offer enabling provisions that will help the country in tackling security and insurgency; as well as to enhance spectrum availability to facilitate the deployment of Fifth Generation (5G) technology.
The three instruments, which were subjected to a public inquiry on Tuesday physically and virtually, include the Spectrum Trading Guidelines (STG), Registration of Telephone Subscribers Regulations, and the Subscriber Identity Module (SIM) Replacement Guidelines.
Speaking recently at a semi-virtual public inquiry, which on-site operation was conducted at the Commission’s Head Office in Abuja, Danbatta said the three regulatory instruments have been developed to address the challenges of the ever-evolving communications industry and to further strengthen the market structure.
He said the public inquiry was held in line with the Commission’s consultative approach in all its regulatory interventions, as the regulatory instruments being reviewed are vital to ensuring that the regulatory frameworks that pertain to SIM registration and replacement in the communications industry meet the demands of the digital age and also further enhance the flexibility of the spectrum trading regime.
The first instrument, the Registration of Telephone Subscribers Regulations, provides a regulatory framework for the registration of subscribers of communications services utilising subscription mediums. The second instrument, SIM Replacement Guidelines, provides guidance on the standards and procedure which Network Service Providers (NSPs) are expected to adhere to in the process of conducting a SIM Replacement, swap or upgrade.
Besides the instruments, two Business Rules that relate to SIM Registration and SIM Replacement, introduced by the Commission to further ensure that the process for SIM activation and Replacement is seamless and align with the national identity management policy.
The third instrument, the Spectrum Trading Guidelines (STG), seeks to promote certainty and transparency by outlining the detailed procedure and conditions for spectrum trading in the Nigerian communications sector.
While underscoring that the availability of spectrum frequency is a necessary element in the deployment of the 5G technology in Nigeria, Danbatta said the recent approval of the 5G Deployment Plan by the Federal Government makes the STG review process expedient.
Danbatta said the public inquiry is a precursor to the Commission’s current drive towards ensuring that frequency spectrum is readily available to licensees through a rapid and effective process. Additionally, the EVC said that “in view of the resolve of the Federal Government to tackle insurgency and insecurity through citizen identity management, it has become necessary to ensure that the provisions of the Registration of Telephone Subscribers Regulations and SIM Replacement Guidelines are in alignment with the National Identity Policy for SIM Card Registration and related activities.”
According to him, the revision of both instruments is geared towards ensuring a more secure and robust process for the registration, activation and replacement of SIMs. “It is, therefore, my expectation that the review will ensure a more robust framework for the registration of subscribers of communication services, improve the standards and procedures for SIM replacements and ensure effective and efficient utilisation of frequency spectrum in Nigeria,” the EVC said.
Speaking earlier, NCC’s Executive Commissioner, Stakeholder Management, Adeleke Adewolu, said the draft of all the regulatory instruments had been published on the Commission’s website and comments from all stakeholders have been received and reviewed.
However, he noted that the public inquiry was meant to receive more comments from stakeholders, which would ensure that the final regulatory instruments will enhance development of the industry.
At the event, which was well attended by senior management staff of the Commission and virtually by other external stakeholders, presentations were made by the Commission on the inputs so far received from licensees and other stakeholders on each of the three regulatory instruments, highlighting issues for further rethink by all stakeholders.
The stakeholders who participated in the event virtually, were also provided the opportunity to make inputs, contribute freely to the discussions in a very frank and objective manner that elicited thoughtful discussions that will further enrich the quality of the regulatory instruments being developed for the growth of the sector and the national economy.
UNDP, Imo, Abia States Unveil N400m Economic Program to Support 11,000 Residents
As part of efforts to support communities deeply affected by the socio-economic impact of the COVID-19 pandemic, the United Nations Development Programme (UNDP), in partnership with Imo and Abia State Governments, have launched an economic revitalisation programme to support 11, 000 people in vulnerable communities in both states with a total contribution of nearly NGN 400 million.
The project was unveiled in Owerri by the Imo State Governor, His Excellency, Senator Hope Uzodinma, Governor of Abia State, His Excellency, Okezie Victor Ikpeazu represented by Dr. Nnenna Chikezie, Permanent Secretary, Abia State Planning Commission, UNDP’s Assistant Administrator and Regional Director for Africa, Ms. Ahunna Eziakonwa and UNDP Nigeria Resident Representative, Mr. Mohamed Yahya, amongst others.
The initiative aims to strengthen economic capacities of communities affected by the pandemic, maintain livelihoods and business continuity, improve food security and social cohesion as well as provide support to start-ups and Micro, Small and Medium Enterprises (MSMEs).
The Imo State Governor, Senator Hope Uzodinma commended UNDP’s action and reiterated the Government’s commitment to providing support to the people affected by the socio-economic fallout of the pandemic in his state.
“The government of Imo State is eager to create opportunities for citizens to live a prosperous life and contribute to the development of the region. The launch of this programme will contribute to reducing the level of poverty among citizens and help vulnerable families to meet their immediate needs. We thank UNDP for this initiative, and we hope that this will help complement our efforts in deploying assistance to SMEs, vulnerable groups in the State.”
The COVID-19 pandemic, as well as the growing insecurity concerns in the south-east, is currently escalating the loss of economic and livelihood opportunities for the most vulnerable communities, especially youth and women. Three out of Imo State’s 27 Local Government Areas (LGA) (Owerri Municipal, Owerri North, and Owerri West), which have particularly been impacted by the second wave of the pandemic, were identified as priority beneficiaries for the programme launched today.
The Abia State Governor, Okezie Victor Ikpeazu, highlighted the state’s willingness to collaborate with stakeholders confirming that the partnership will go a long way in alleviating the plight of vulnerable people in Abia State. “We commend UNDP for this laudable initiative. We assure you that we are ready to partner and collaborate to see that we support vulnerable groups, especially youth and women.” Target locations in Abia State will cover LGAs in Abia North, Abia South and Abia Central.
The pandemic has created a global health and socio-economic crisis that has disrupted lives and may leave millions vulnerable for years to come. UNDP is drawing on lessons learned and an ever-changing context to ensure that COVID-19 support is dynamic and flexible.
The UNDP Assistant Administrator and Regional Director for Africa, Ms. Ahunna Eziakonwa, commend the governments of Abia and Imo States for swiftly rising to the challenge and implementing initiatives to support economic recovery, such as the Abia State Education for Employment Programme and the Imo State Special Youth Empowerment and Intervention Programme.
Ms. Eziakonwa reiterated UNDP’s support to the Imo and Abia State Governments in their efforts to strengthen youth employment, promote innovation and the attainment of the SDGs, and other actions to accelerate progress to achieve transformative and developmental impact were highlighted.
She said:
“Fostering youth and women economic empowerment and innovations is critical for Abia and Imo State’s economic growth and is a key to reducing insecurity. The revitalisation of the economy will not be an easy journey, however, with the support of the right stakeholders, we can be assured of a positive outcome. Young people in this country are ready and eager to contribute to local and national development.”
Vulnerable household beneficiaries will receive four rounds of cash transfers of NGN 5,000, paid as one lump sum of NGN 20,000 per household. One disbursement of $300 (USD) cash transfer grants will be provided to selected MSMEs and informal businesses will receive $100 (USD), which will be monitored by an independent Implementing Partner (IP). The programme will last for a period of four months.
The vulnerable household beneficiaries will be chosen from the National Social Register (NSR) and State Government’s database, with coordination from the State Coordinating Operating Unit (SOCU), and verified by the State SDG Office.
The list of selected MSMEs will be collected from existing State Government registers, NGO databases and will include a selection of vulnerable micro and informal businesses coordinated by the State SDG office.
NAICOM Seeks Kano State Support on Compulsory Insurance
The leadership of the National Insurance Commission (NAICOM) recently paid a courtesy visit to Governor Abdullahi Ganduje of Kano State to solicit the support of the State Government on the implementation of compulsory insurance and greater adoption of in the State.
NDIC Joins Alake of Egbaland to Celebrate International Senior Citizens Day
His Royal Majesty the Alake of Egbaland, Oba Adedotun Aremu Gbadebo (centre) poses for a photograph with the Nigeria Deposit Insurance Corporation (NDIC) MD/CE Mr. Bello Hassan (1st Left) and the NDIC Executive Director Corporate Services, Hon. Mrs. Omolola Abiola-Edewor (1st Right) during the Annual Alake of Egbaland Free Medi-Care for Elderly and Lecture in Abeokuta, Ogun State.
The Nigeria Deposit Insurance Corporation (NDIC) has been consistent in its Corporate Social Responsibility at the grassroots which has impacted positively on the lives of the people and communities it serves.
This formed part of the remarks made by His Royal Majesty the Alake and Paramount ruler of Egbaland, Oba Adedotun Aremu Gbadebo during the Annual Alake of Egbaland Free Medi-Care for Elderly and Lecture to mark the United Nation’s World Senior Citizens Day in Abeokuta, Ogun State. The event, organised by the Egbaland Humanitarian and Development Council, featured free health screenings and services to the elderly including free medical eye examinations, glasses and eye surgeries.
The Alake expressed appreciation to the Executive Management of the Corporation for honouring his invitation to join in showing compassion and celebrating the contributions of the elderly during the United Nation’s World Senior Citizens Day.
He described it as symbolic of the importance the NDIC places on community development at the grassroots and urged the Corporation to continue to partner with local communities to promote its mandate of protecting depositors while at the same time touching the lives of the people.
In his response, the NDIC MD/CE Mr. Bello Hassan stressed the need to consistently assist and uplift the elderly not only in recognition of their contribution and years of service to the nation but also as role models and mentors to the younger generation.
The NDIC Executive Director Corporate Services, Hon. Mrs. Omolola Abiola-Edewor who was conferred with the award of “Humanitarian Ambassador” by the Egbaland Humanitarian and Development Council said that as a serving Chief and daughter of the soil, the initiative is close to her heart as it aligns with her passion for humanitarian causes. She described the initiative as a veritable platform to give back to the elderly who have sacrificed and contributed so much to community service and investment in the younger ones.
The Alake of Egbaland Free Medi-Care for Elderly and Lecture also featured a keynote lecture titled “National Effective Pension System and Establishment of Senior Citizens Centres at State Level” which was delivered by Dr. Tunde Adegbola.
Other eminent personalities present at the event include Olori Tokunbo Gbadebo, the representatives of the Ekiti State Governor and Lagos State Governors, the Ogun State INEC Commissioner and prominent Egba High Chiefs.
Allianz Africa: 10 MBA Scholarships to Drive Sustainable Development
Coenraad Vrolijk
Regional CEO of Allianz Africa
Allianz Africa’s commitment to the development of the continent takes a new stage, through Allianz’s Next Generations Fellowship for Social Entrepreneurs” initiative. Indeed, Allianz is committed to offering ten (10) scholarships for a “Global Online MBA” from the prestigious ESMT Berlin school.
These scholarships are offered to both Allianz Africa employees and social entrepreneurs. The training aims to enable candidates to acquire knowledge and high-level leadership skills in order to deliver an even more positive impact on the business environment and the community in Africa.
“Allianz Africa believes this MBA will help our social entrepreneurs to become successful leaders. The analytics, ability to innovate and managerial skills that the program offers should enable them to make their businesses more sustainable and bring a stronger impact to the society,” explains Coenraad Vrolijk, Regional CEO of Allianz Africa.
Launched by Allianz SE, this program aims to offer 10 scholarships per year. The first edition has chosen Africa as their cradle and will be held 100% online.
Thus, for the 2021 edition, 4 female candidates and 3 male candidates from Cameroon, Ghana, Kenya, Nigeria and Senegal were selected. They started classes in September. The selection process, carried out in close collaboration with Allianz operating entities in Africa, is still ongoing, since 3 other scholarship beneficiaries will join the first 7 in May 2022.
This MBA is also the first to be entirely virtual at ESMT, of which Allianz is one of the founding companies. “We appreciate the deep, long-term partnership we have with Allianz and look forward to working together to support these MBA candidates in their forward-thinking projects,” says Jörg Rocholl, President, ESMT Berlin.
Students follow the program at their own pace to continue working full time. Program fees amount to € 25,000 / year, 96% of which is covered by this program, with a personal contribution of € 1,000 from each participant to ensure their commitment.
It should be noted that the program will be particularly focused on individuals having a strong environmental and social impact in Africa. “The Allianz Next Generations Fellowships continues the successful legacy of providing educational opportunities in developing areas to promote sustainable transformation in business and society,” insisted Jörg Rocholl.
For its part, Allianz Africa firmly believes that training young people to cultivate leadership focused on sustainable development is likely to help Allianz “secure the future” of generations to come.
“We secure your future” is the purpose of Allianz Africa and the Group. It translates to being a responsible company recognized for the confidence of its customers and shareholders, for its loyalty and for its significant contribution to the communities in which Allianz operates.
“Our “Environment-Social-Governance” approach is at the heart of our corporate strategy, and we are committed to investing in the positive development of societies around the world. And therefore, we will use our roles as an employer, insurer, investor, and corporate citizen to build a secure future for tomorrow,” concluded Stefan Britz, Chief Human Resource Officer at Allianz, who sees this strategic partnership with ESMT Berlin as an important step in creating a societal impact.
How to Tap into Multi-Million Short-Let Real Estate Market
By Dennis Isong
For a long time, most investors were hesitant to enter the real estate sector due to the low yield associated with the widely used annual rent policy. This practice, which dates back to the early 1990s, has become a long-standing tradition in the Nigerian rent chronology.
However, some property experts’ adoption of the short-term rental market has reawakened an enlightenment that seemed lost during those years of long-term monthly and yearly rental practice. The revelation was that short-term property rental is more profitable than the traditional long-term real estate market pattern.
Most land dealers opposed this paradigm shift and some property practitioners labeled it a “risky involvement.” Nonetheless, what exactly is the short-term rental real estate market? Is it profitable?
The Lucrative Nature of the Nigerian Real Estate Sector
Nigeria, the acclaimed “Giant of Africa,” has Africa’s largest real estate market. The
real estate sector have attracted over $523 million investment .Despite how good these statistics appear, the value of ROI remains less than 3% across the country.
This figure reflects the increasing risk in the industry. However, despite the risks, real estate is generally promising and profitable. Property investors, according to experts, have a good chance of recouping around 17% of their initial investment. And this can rise to 20%, with the lowest expected income estimated to be around 15%.
Naira Depreciation & Real Estate
Currently, the Nigerian Naira is losing the forex war against the US Dollar, and this has impacted the net income of most property businessmen. This negative movement is a two-edged sword however, carrying both positives and negatives.
Positively, as long as the property is kept in good condition, the value will not be affected in the long run, making the profit somewhat illiquid. On the other hand, Naira depreciation is a source of concern for most real estate investors because it is one of the primary causes of profit vulnerability, which may result in losses.
Most of the time, the percentage gain in profits equates to the naira depreciation, leaving investors in a profit neutral zone. These unfavorable circumstances have stifled the growth of the real estate market, but the arrival of the property short let movement has signaled the start of a new era in the sector.
What is Short-Let Real Estate Market all About?
The short-term rental market is a modern rental pattern in which landowners place house residents on a daily basis. It was discovered by Shortlethomes and has since been adopted by many real estate players due to its profitability and promising future.
Many factors influence the market’s rising fame, one of which is the average yield associated with a long-term rental agreement. Nonetheless, this short-term rental agreement contains a few exceptions and limitations.
As things currently stand, the Naira value depreciation rate is 15%, and the only way to make meaningful gains in the short-let market is to accommodate at least 50% residents. Furthermore, international investors are unlikely to make tangible profits if they invest in the local community.
The cost of building materials also plays a significant role in short-term rental, as it is responsible for the majority of earnings drop. Nonetheless, with short-term rental property, a 40 percent yield can be obtained and maintained, as opposed to the 15 percent – 20 percent yield obtained in the long-term rental market.
Tapping into the Multi-million Naira Short-Let Rental Market
Though the short-term rental market is expensive in terms of construction materials, the revenue generated over a short period of time makes the investment worthwhile. Many property practitioners have made millions of Naira in rental income and recovered their capital costs in a short period of time thanks to good management.
However, a 50 percent occupancy rate should be attained at the very least because anything less than this figure will most likely not generate good dividends. To achieve these goals, good management, effective marketing, and quality assurance all play important roles.
Drivers of the Short-Let Market
The short-term rental of real estate is yet another competitive accommodation service provider added to the brisk rental market. It competes with hotels, motels, and guest houses, among others, and has generally acceptable regulations.
The lack of regulation in accommodation service rental like hotels is a strong indicator that it is not yet safe and will most likely continue in the same manner. Furthermore, some people are unaware of the trend and thus unfortunately choose hotels for short-term lodging.
Most short-term players have devised methods to generate additional revenue in order to gain a competitive advantage and raise awareness. Show nights, party villas, baby showers, marriage events, child dedications, spas, bridal showers, birthdays, and other art celebrations are examples of these.
Apart from the short-term earnings from daily profits, these events can generate additional income amounting to millions of naira. The reason for this is that Nigeria’s recreational market is currently one of the most profitable and viable in the country.
Setting Up a Short-Let Property Business
The short-term rental business, like any other, is funded. The amount of capital required will be determined by the size of the building and the market price of construction materials.
A real estate investor who chooses large, high-quality apartments will profit more than those who choose medium-sized buildings with modest home appliances.
The location is another important factor that influences its profitability. Short-term rental investments in downtown and cities will yield higher returns than those in rural and sub-urban areas.
Conclusion
The options for renting, leasing, and buying in the short-term rental market promise to open up new financial opportunities for investors. This enticing and expanding multi-million-dollar market has grown in popularity, and events are predicting that it will soon be in par with lodgings, motels, hotels, etc.
Some short-term investors have added recreational activities to the game, but the catch is that you must achieve at least a 50% occupancy rate to generate millions in this market.
Dennis Isong Helps Individuals Invest Right In Real Estate.For Questions On This Article Or Enquiring About Real Estate Email: [email protected] or Whatsapp/Call +2348164741041
Izombe Arson: Uzodinma’s Silence Shocking – Dr. Duru
Public Relations expert and communications consultant, Dr. Walter Duru has described as shocking, the continued silence of the Governor of Imo State, Chief Hope Uzodinma over the unfortunate incident in Izombe, Oguta LGA of Imo State, which rendered thousands of indigenes of the area homeless.
Duru, in a Press Release made available to newsmen in Owerri, Sunday, argued that Governor Uzodinma’s decision to leave the people to their fate was a bad example, describing it as unfortunate.
According to him:
“On Friday, October 8, 2021, heavily armed men, suspected to be soldiers from the 34 Field Artillery Brigade, Obinze, invaded Umuokwu village in Izombe, Oguta Local Government Area of Imo State, where they burnt over seventy houses, destroyed property worth billions of Naira and rendered thousands of people homeless.”
“72 hours after the unfortunate incident, no official of the Imo State government has said one word, not to talk of visiting the area. The body language of the present administration in Imo State is very dangerous. It sends a strong signal that those in authority do not care about the wellbeing of the citizens, else, how could a government be so insensitive that an incident of that magnitude occurred in the state and the government is not concerned?”
“I mean that soldiers invaded a community in your state, killed, maimed, destroyed property worth billions of Naira, set about seventy houses ablaze and three days after, the State Government has shown no concern? he queried”
Continuing, Duru described the incident as unfortunate, even as he called for a Panel of Inquiry to investigate the remote and immediate causes of the mayhem, while ensuring that those responsible are made to face the law.
Duru, an Assistant Professor of Communication and Managing Consultant with Communication Agenda Nigeria Limited, a Public Relations firm, also called on the Federal Government and the international community to commission a probe into the incident.
While commiserating with the affected community, he called on well-meaning Nigerians to support them with relief materials.