3-Day Positive Momentum Halted….NSE ASI down 0.8% A 3-day upward trend was reversed at the close of trade as the All Share Index (ASI) fell 82bps to close at 36,669.61 points – implying a moderation in YTD return to 36.4%.
Accordingly, investors lost N103.8bn as market capitalisation settled at N12.6tn primarily due to losses in DANGCEM (-1.8%), NESTLE (-3.3%) and GUARANTY (-1.0%). Despite the 1.4% drop in volume to N211.9m units, total value of trades increased dramatically, rising 73.6% from N2.7bn to N4.7bn.
All Indices Close in the Red
Sector performance was negative across board as all indices declined. On the back of drops in DANGCEM (-1.8%) and NESTLE (-3.3%), the Industrial and Consumer Goods indices were the major losers, both down 0.9% from previous close.
Similarly, the Oil & Gas index fell 0.5% owing to a loss in MOBIL (-5.0%). The Insurance index declined (0.4%) following a depreciation in MANSARD (-4.6%) whereas the Banking index reversed on yesterday’s top position to marginally fall 0.1% contrary to Monday’s 1.0% increase on account of the reduction in GUARANTY (-1.0%).
Investor Sentiment Stays Positive
Despite the decline in performance, market breadth remained positive at 1.0x (from 1.8x on Monday) as 21 stocks advanced against 21 decliners.
The best performers were INTBREW (+5.8%), NEM (+4.5%) and FIRSTALUM (+4.0%) while REDSTAREX (-9.2%), NEIMETH (-8.8%) and CHAMPION (-5.2%) were the worst performers. We attribute the day’s negative close to profit taking on recent gains in the equities market, however we expect an upturn in following sessions due to Q3:2017 earnings releases.
The 4th Global Business Forum on Africa is set to welcome five African heads of state, 12 ministers, and more than 1,000 top-level government and corporate decision-makers and industry experts when the event takes place on November 1st and 2nd, 2017, in Dubai.
The forum, organised by the Dubai Chamber of Commerce and Industry, will be held under the theme “Next Generation Africa.” The two-day event will examine the current economic outlook for the continent, and explore prospects for its development, as well as investment opportunities and the potential for forging partnerships between African businesses and their UAE counterparts.
The event will bring together high-profile attendees such as H.E. Paul Kagame, President of the Republic of Rwanda; H.E. Danny Faure, President of the Republic of Seychelles; H.E. Yoweri Museveni, President of the Republic of Uganda; H.E. Ameenah Gurib-Fakim, President of the Republic of Mauritius; and H.E. Edgar Lungu, President of Zambia; along with a long list of ministers, senior government officials, young African entrepreneurs, economic and industry experts.
H.E. Hamad Buamim, President and CEO of the Dubai Chamber, noted that the timing of the forum is ideal as Africa is currently witnessing a sizeable uptick in private-sector led development and investment opportunities.
“This year’s Global Business Forum on Africa is drawing an unprecedented top-tier attendance, including distinguished African heads of state and ministers, to discuss a variety of key trends that are expected to drive Africa’s next phase of economic growth, as well as challenges and opportunities that fast-growing markets on the continent are experiencing,” H.E. Buamim said.
The two-day event welcomes a host of ministers from various African countries, including Benin, Burkina Faso, Gambia, Ghana, Malawi, Mali, Nigeria, Rwanda, Sudan, Uganda and Zambia.
Established in 1965, the Dubai Chamber of Commerce & Industry is a non-profit public entity, whose mission is to represent, support and protect the interests of the business community in Dubai by creating a favourable business environment, supporting the development of business, and by promoting Dubai as an international business hub.
The author, Julie Omeike, at a reading session in Lagos.
By Julie Omeike
Iye {Mother} is an interesting cultural novel.
It is an African piece of art that depicts family way of life from earlier years as far back as the fifties and sixties.
A noble distinct family stands against all odds to protect matrimony and family focus on a one man, one wife personality even with delays of childbirth.
The chapter begins with the celebration of the long awaited child. Ivie meaning precious loses dad at her growing years and battles with career, love and family inheritance.
The author, Julie Omeike, at a reading session in Lagos.
Iye is dedicated to widows and widowers in the African context with their predicaments as single parents.
Iye has just gained approval from the Nigerian Educational Research Development Council NERDC.
Author’s Profile
Miss Julie Agnes Omeike is a graduate of English Arts and Mass communications from Bayero University Kano. She obtained masters from University of Lagos in Public and International Affairs. Her other books include; Art Delight {The Classic Collection}, Fixed Affair Midnight Glimmers A-Z for toddlers and The Beatitudes whom she dedicated to the late Danmasanin Kano. Maitama Sule.
Julie is a registered member of Chartered institute of Journalist UK and Apcon. She is currently researching with Cardiff University Uk and Royal Horticulture Society Dublin in horticulture and community journalism.
Her NGO at Christabel Communications depicts talents in what she founded as Talent Empowerment program TEP.
DHL Express has been certified as a Top Employer in Africa for the fourth executive year, at the prestigious Top Employer Africa 2018 certification ceremony, held at Sandton Convention Centre in Johannesburg on Thursday , 12 October 2017.
Hennie Heymans, CEO, DHL Express Sub-Saharan Africa, explains that this is the fourth consecutive year that DHL has been awarded this honour by the Top Employers Institute. “DHL Express values its employees and strives to make the company a rewarding place to work at. We are proud to have that fact affirmed by Top Employers Institute.”
This year, DHL was the only company to be certified as a Top Employer in 18 markets in Africa, including Angola, Botswana, Cameroon, Cote d’Ivoire, Ethiopia, Gambia, Ghana, Kenya, Madagascar, Mauritius, Mozambique, Morocco, Nigeria, Namibia, South Africa, Senegal, Uganda and Zambia.
“DHL has cultivated an insanely customer centric culture across the entire organization, which we see as a critical component of our success. Maintaining this culture across the world has relied heavily on our effective employee engagement programs,” said Heymans.
“It therefore goes without saying that employee motivation and development are important areas of focus for us. We are committed to having a team of high performers who operate in a high performance culture that promotes and drives leadership diversity.”
According to Heymans, DHL’s use of employee initiatives and programs, including the company’s Certified International Specialist (CIS) cultural change program has helped to unlock the potential of the company’s employees across Sub-Saharan Africa. “This year, we have placed greater emphasis on up-skilling and empowering middle-managers and supervisors as this rung of leadership is pivotal to the leading and executing of our growth aspirations in the years to come. As we continue to grow, we need every person in the business to understand their role and how to execute it efficiently. After all, the role of supervisors and middle-managers is to build trust and inspire great performance.”
DHL also recently completed the annual Employee Opinion Survey, which provides a platform for personnel to convey their thoughts and sentiments about the company anonymously. “This is an important tool in helping us identify what we are doing well, as well as areas that require improvement,” added Heymans.
In addition, our Employee of the Quarter and Employee of the Year awards are presented to our star performers, who are nominated by fellow employees. “We believe that the power of our incredible network is our people, so strategic planning and program implementation are vital.”
To be certified as a Top Employer in Africa , a company needs to operate in four or more countries and have exceptional employee conditions. The Top Employers Institute conducts comprehensive and independent research by getting employees in the relevant companies to complete a HR best practice survey.
The Top Employers Institute survey assesses human resource strategy, policy implementation, practices and employee offerings, to reveal whether the company provides exceptional employee conditions, develops talent on all levels and demonstrates leadership through optimizing the development of its employees and employee practices.
Every completed survey is reviewed by the Top Employers Institute and then the process is audited by a third party. Only organizations that qualify from the selection process receive the Top Employers title and certification seal but all participants receive a comprehensive feedback report.
“We are honored to have been certified as a Top Employer in Africa for yet another year and we will strive to ensure we maintain our focus on attracting, retaining and developing our people across the region,” concluded Heymans.
Jay Ireland, CEO & President of GE Africa was one of two to receive a Princeton in Africa award at the program’s annual gala awards which was held yesterday in New York. Founded in 1999, Princeton in Africa develops young leaders committed to Africa’s advancement by offering year-long fellowship opportunities with a variety of organizations that work across the African continent.
Since the program’s launch in 1999, they have had 545 Fellows in 36 countries. This year, 48 recent college graduates (from 31 colleges and universities) are working with 31 organizations in 13 African countries.
Speaking at the event, Jay Ireland said “GE is committed to investing and expanding its business in Africa. Despite the recent economic challenges, we firmly believe in a bright future for the continent and see ourselves as partners in Africa’s sustainable development”.
Ireland’s journey started six years ago, when he relocated to Nairobi, Kenya to lead GE’s efforts in Africa. GE had been on the continent for over 100 years. However, the company wanted to get a broader GE focus on the infrastructure issues and subsequent opportunities in developing markets. So, in 2011, the company set up an African headquarters in Kenya and started adding people across Sub-Saharan Africa.
Today, GE’s footprint consists of over 3200 employees, revenues of about $3.9 billion dollars (2016) and operations in 33 countries across Africa.
GE Africa’s corporate social responsibility platform, Kujenga, launched in 2014 aims to empower people by building valuable skills, equip communities with new tools and technology and elevate innovative ideas that are helping solve Africa’s challenges.
One of the company’s Kujenga initiatives, the GE Lagos Garage advanced manufacturing skills program, has enabled over 100 prototypes to be developed at the hub and over 20 innovative ideas transformed into actual business models in Nigeria.
Princeton in Africa matches talented and passionate college graduates with organizations working across Africa for year-long service placements. The program is open to graduating seniors and young alumni from any college or university accredited in the U.S.
The program’s Fellows have helped improve education and public health, source fresh water and alternative energy, increase family incomes, and so much more.
A recent study by the Northwestern University in Qatar has revealed that TV is the most popular news medium in Middle East and North Africa (MENA) region. When asked about how they stay informed about the latest news in Egypt, Jordan, Lebanon, Qatar, Saudi Arabia, Tunisia and United Arab Emirates, more than 75% of nationals reported watching television each day rather than relying on online sources.
Nicolas Pompigne-Mognard, Founder and CEO of APO Group says:“The study confirms what we’ve been observing for some time, not only in MENA region but also in Sub-Saharan Africa. Disparities in literacy, including digital literacy, and education greatly influence news platforms choices. And despite internet penetration and the rise of social media, it’s also important to take into consideration that there’s still an unequal access to internet technology in both regions. This explains in large part why television still holds a central place in media consumption patterns.”
Whether via broadcast TV or online, news is increasingly being watched as opposed to read, particularly on mobile phones. Northwestern University in Qatar’s fifth annual report states, for example, that 78% of Tunisians watch news videos on their smartphones on daily basis. With already 365 million mobile subscribers across the MENA region (63% of the population) and with the number of smartphone connections set to triple by 2020 in Africa, according to GSMA study, a considerable demand for news video content is expected in upcoming years.
As a result, APO Group strongly believes that it is in the interest of both private and public organizations to undertake a “paradigm shift” in their media communication approach in order to remain relevant to their audiences. To support them throughout this change, the consulting firm will from now on help them transform their press release into a broadcast quality video footage suited for televised news through their new service, Video Newswire®.
Video Newswire® will not only offer organizations a cost-effective solution to generate greater interest among target audiences but also facilitate the use of their content by newscasters who for years have complained that written press releases needed formatting and editing before being able to be used as news content.
“Within a few hours, APO Group can deploy their production team anywhere in Africa, the Middle East or around the world to shoot a news video of an event, an announcement, a product or an offer. We will produce a video perfectly tailored to news producers’ editorial policies and technical criteria so that they can have access to the same quality material they would receive from their own production teams. In addition to producing the video, we will also provide distribution to up to 1,000 news TV channels across Africa, the Middle East and the world”, said Mr. Pompigne-Mognard, Founder and CEO of APO Group.
The African Development Bank President, Akinwumi Adesina, will deliver the Norman Borlaug Lecture today as part of the World Food Prize events taking place from October 16-20, 2017 in Des Moines, Iowa, USA.
The Norman Borlaug Lecture titled “Betting on Africa to Feed the World” will be held on World Food Day, October 16, in conjunction with the annual World Food Prize celebration.
President Adesina will receive the 2017 World Food Prize on Thursday, October 19. The prize is to agriculture what the Nobel Prize is to peace, science and literature.
The World Food Prize board announced President Adesina as the 2017 Laureate in June for his work in improving the availability of seed, fertilizer and financing for African farmers, and for laying the foundation for the youth in Africa to engage in agriculture as a profitable business.
The World Food Prize, founded by Nobel Laureate, Norman Borlaug, is the foremost international honour recognizing the achievements of individuals who have advanced human development by improving the quality, quantity or availability of food in the world.
As Minister of Agriculture and Rural Development in Nigeria, Adesina introduced the E-Wallet system, which brought transparency to fertilizer distribution system – a process previously hampered by corruption for 40 years. His policies expanded Nigeria’s food production by 21 million metric tons, and the country attracted US $5.6 billion in private-sector investment, earning him tremendous respect as the ‘farmers’ Minister’.
Under his leadership, the AfDB is accelerating agricultural development through its Feed Africa Strategy with planned investment of US $24 billion over the next 10 years.
The goals of AfDB’s Feed Africa strategy are to help eliminate extreme poverty in Africa by 2025; end hunger and malnutrition in Africa by 2025; make Africa a net food exporter; and move Africa to the top of export-orientated global value chains where it has comparative advantage.
Over 1,200 people from more than 65 countries will address cutting-edge issues related to global food security and nutrition at the 2017 Borlaug Dialogue International Symposium, October 18-20, 2017.
“As someone who grew out of poverty, I know that poverty is not pretty. My life mission is to lift up millions of people out of poverty, especially farmers in rural areas. We must give hope and turn agriculture into a business,” the AfDB President said.
The three-day conference convenes a wide array of scientific experts, policy leaders, business executives and farmers and has been branded “the premier conference in the world on global agriculture.”
Through the Borlaug Dialogue, the World Food Prize Foundation helps build alliances in the struggle against world hunger and malnutrition.
A multi-million Naira Youth Farming Initiative that will engage teeming unemployed Nigerian graduates in rice farming has been launched by the Dangote Rice Limited in Kogi State.
This is even as the Company prepares to hit the market with One million metric tons of Dangote rice in 2018.
The Dangote Youth Rice Farm project, mainly an out-grower scheme for youths only was flagged off at the Lower Niger River Basin Authority, Kampe, Ejiba in Yagba West local government area of the state where youth have embarked on rice cultivation over 100 hectares of land.
The rice farm project, which was preceded by a special training for the youth farmers on the dynamics of the rice farming, will see the youths cultivating the rice paddy on a 100 hectares of land, which will then be bought over by the company for processing.
Under the scheme, the Dangote Rice Company provides the seedling, anti-pest-chemicals, and fertilizers while the Basing Authority provided the land for the young farmers.
The management of Dangote Rice led by the Group Executive Director, Mr. Devakumar Edwin flagged off the project while taking delivery of some rice paddy bags produced from the pilot project.
Mr. Edwin explained that the project is a new dimension to the efforts by the pan-African conglomerate, the Dangote Group, at ensuring food security and creating job opportunities in Nigeria especially for the youths saying this Initiative is in line with the vision and commitment of Dangote Industries Limited to create a new generation of agri-preneur that will revolutionize the Nigerian agricultural sector.
“We believe skill, knowledge, enabling environment, collaboration and linkages along the value chain are driving forces for economic empowerment and social development in line with the Federal Government policies. This project will address the skills gap in local rice production among unemployed youths by providing technical, organisational and financial requirements.”
He said it would also enhance domestic rice production to cover the large gap between demand and domestic production and to increase self-sufficiency of Nigeria and substitute imported rice by quality Nigerian rice brands.
Mr. Edwin disclosed that most modern rice mills in Nigeria presently operate at not more than 20% capacity utilization due mainly to lack of good quality paddy and that Dangote Rice aimed to change this situation developing and adapting out-grower schemes. According to him, the Dangote Rice Company plans to set up a 150,000 metric tons integrated rice mill and sale one million mt of parboiled rice by 2018.
The Dangote Group boss stated that the decision of the management to start the project was driven by two factors, one of which is the need for youth employment through empowerment to go into agriculture. “The youths are more vulnerable to crimes and other social vices when they have nothing to engage them and this in turn affect the nation negatively.
“The second factor is the need to strengthen the on-going efforts at producing rice for self-sufficiency so that we can save foreign exchange. By the time we will be doing one million metric tons of rice next year, no less than three million jobs would been created along the value chain.”
Mr. Edwin said the Kogi pilot project will cover four season of two years and will be launched in four other states soon.
In his own remark, the Managing Director of Dangote Rice, Mr. Robert Coleman urged the youth farmers to concentrate on the project and pay attention to details so that they would come out with good paddy yield.
He congratulated the farmers for the decision to partner with Dangote Rice noting that they have a solid source of livelihood for themselves and members of their families if they give their all for the success of the scheme.
According to the World Health Organization, Diarrhoea disease is the second leading cause of death in children under five years old, and is responsible for killing around 525,000 children every year.
These deaths can be prevented through the simple act of handwashing with soap which can break the chain of infection.
Dettol, one of Nigeria’s leading brands, led the 2017 Global Handwashing Day celebrations by launching a nationwide campaign themed “Letter for Life”.
The campaign was a unique way to get children interested in washing their hands, as well as also get them to spread the message of handwashing, from one child to another. To do this, the Dettol team went around to various primary schools in Nigeria through its annual School Hygiene Program, taught them proper hand washing habits, and in turn the children wrote hygiene letters. These Letters along with a free bar of Dettol soap were distributed to children who do not have access to soap.
To mark the 2017 Global Handwashing Day, Dettol organised an event at the Morroco Military Primary School Yaba in Lagos state, where they donated 12 hand washing sites to help inculcate proper handwashing habits to the school children. At the event, over 700 school children were taught about proper hand hygiene in a fun and engaging way through an entertaining Dance Drama and the handwashing song
Speaking at the event, the Managing Director, West Africa, Rahul Murgai stated that “at RB ( Reckitt Benckiser) , our global vision is to provide the world with innovative solutions and products for healthier lives and happier homes.
Dettol has been the trusted champion for good health and hygiene for over 50 years in Nigeria, and we believe that it’s important to inculcate good habits such as proper handwashing at an early age. A simple act of washing your hands with soap can prevent illness and arrest diarrhoea related deaths, which is why we are donating these 12 handwashing sites to the children of this school.
Over the past 7 years, we have provided over 32 handwashing sites and have educated over 7 million children, parents and teachers, about the importance of hand washing through our School Hygiene Program, which is a mass consumer education program to educate about proper handwashing habits.
Speaking further at the event, Marketing Director, RB West Africa, Aliza Leferink, went on to add; “The Dettol brand has been at the forefront of providing health and hygiene messages via its products and initiatives in Nigeria. Our theme for the 2017 Global handwashing day is “A Letter for Life”.
With this theme, we wanted a unique way to get children interested in washing their hands, as well as also get them to spread the message of handwashing, from one child to another. With these activities, we are creating awareness about the seriousness of the cause and also educating people on how they can prevent these deaths by the simple act of handwashing.
Dettol works closely with the Ministry of Health, Save the Children International and the Nigerian Medical Association on social programs to create scaled awareness to reduce Diarrhoea related deaths.”
Present at the event were dignitaries that graced the occasion that included the Chief of Party, Stop Diarrhoea Initiative, Save the Children International; Mr. David Atamewalen, Director of Disease Control, Lagos State Ministry of Health; Dr. Erinosho Ashimiu Eniola, ably represented, Chairman Lagos State Universal Basic Education Board (SUBEB); Mr. Ganiyu Sopeyin ably represented by Mrs. Y.M. Makinwa, President, Women Arise Initiative; Dr Joel Okei-Odumakin, Chairman, Yaba Local Council Devt Area; Hon. Omiyale Adejare, ably represented, Star actress on Nnenna & Friends; Mrs Yinka Olukunga, Brig. Gen. M.A.E. Okeji, ably represented by Col. O.O. Oladiran, Education Secretary, Lagos Mainland Education Authority (ILGEA); Mr Tijani Tajudeen, amongst others.
RB* is the world’s leading consumer health and hygiene company. Some of its well-known brands include; Dettol, Harpic, Mortein, Durex, Airwick, Strepsils, Gaviscon and Nurofen.
International Data Corporation (IDC) is pleased to announce the launch of its ‘Digital Retail Summit 2017’, which takes place at the NG Hotel in Sapanca on October 23–24.
With a roster of industry experts sharing their own experiences on the transition from single-channel retailing to the provision of digitally-enabled omni-channel experiences, the event will provide a unique platform for discussing the latest global retail trends and gaining a clear insight into the industry’s future here in Turkey.
“Digital transformation investments are set to triple over the coming years, drawing funds away from store capital and profoundly changing the retail industry as we know it,” says Nevin Çizmecioğulları, IDC’s country director for Turkey. “Brands are struggling to meet the expectations of today’s sophisticated consumers, and it is now widely recognised that the brands of the future will compete on customer experience. To create the ultimate customer experience, retailers should leverage digital transformation to create a one-to-one intelligent customer journey that enables a connected shopping experience and secures the brand’s place in the hearts and minds of tomorrow’s consumer.”
With more than 400 industry executives in attendance, last year’s edition of the Digital Retail Summit attracted sponsorships from a broad range of retail-focused IT vendors and partners. The event featured a mix of informative presentations, interactive panel discussions, and vertical-specific sessions, providing a unique platform for networking and sharing insights around retail analytics, customer intelligence, ecommerce platforms, point-of-sale systems, mobile commerce systems, retail revenue management, supply-chain execution, and next-generation security.
The 2017 edition will run under the theme ‘Discover, Invent, Lead’ and will focus on strategies for implementing game-changing digital transformation initiatives. A raft of industry experts will be on hand to explain how emerging digital technologies are reshaping Turkey’s retail sector as innovation and the customer experience take center stage. As well as CIOs, the invitation-only event will host marketing leaders and business decision makers, reflecting the increasing fusion of IT and marketing in the retail industry. And with 7 panel discussions and more than 40 speakers, the Digital Retail Summit 2017 is sure to be one of the biggest and most influential industry gatherings on the Turkish retail calendar.
“Retail is transforming forever,” says Ramazan Yavuz, research manager at IDC Turkey. “No matter the stage or speed of a retailer’s transformation journey, it is a process that is both complex and dynamic. Those retail leaders determined to disrupt the industry and create a sustainable competitive advantage recognise that omni-channel digital transformation requires a holistic redesign of strategic leadership, business processes, human engagement, information monetisation, and technology implementation. A critical success factor over the coming years will be the ability to incorporate groundbreaking innovations at scale so as to rapidly deliver results for the organisation, and such ideas will feature prominently on the Digital Retail Summit’s agenda later this month.”
SITA is providing its world-class passenger and baggage processing technology as well as its airport management solutions to Ghana’s new Terminal 3 at Kotoka International Airport in Accra, helping cement the airport’s position as a vital regional hub.
Ghana’s largest airport is expanding its capacity to meet significant growth in international passenger traffic, increasing the airport’s capacity to five-million passengers a year. The country’s aviation industry has witnessed significant growth over the past decade due to the discovery of petroleum and gas reserves, sustained domestic demand and the growth of the tourism sector.
SITA, the global air transport IT provider, has worked closely with both MAPA, the construction company building the new terminal, and Ghana Airports Company Limited (GACL), the airport operator, to ensure that the new terminal has the most up-to-date technology to support the country’s modern airport infrastructure.
SITA already provides technology for Terminals 1 and 2 at Kotoka International Airport and will ensure that its world-class technology is fully integrated with the existing terminals from day one. This will deliver smooth passenger and baggage processing, and efficient operations across the entire airport.
SITA is deploying its latest passenger processing technology including common use Check-In Desks and Self-Service Check-In Kiosks allowing the airport to maximize its capacity by enabling airlines to cost-effectively share the same infrastructure. The airport will also make use of SITA’s state of the art Baggage Management technology that will assist airlines in tracking bags every step of the way, helping them meet IATA’s Resolution 753 requirements from day one.
On the operational side, SITA’s Airport Management Solution will simplify planning and operational control, and facilitate collaborative decision-making, data management and analysis in Terminal 3 and across the entire airport. It will also support revenue management with its billing and reporting functionality.
Levent Uzunokur, General Manager of MNG Technical, MAPA’s parent company, said: “SITA was the obvious choice both because of its wide experience of airport technology across the world and the team’s specific knowledge of Kotoka International Airport. SITA’s ability to seamlessly integrate the new terminal into the existing airport operations is particularly important and will have a very positive impact on the success of the whole project.”
Dr. Gershon Adzadi, Head of ICT at Ghana Airports Company Limited, said: “SITA has long provided its technology and know-how at Kotoka International Airport. Their understanding of our business and their leading technology solutions at airports make them an ideal partner to support us in the next chapter of our airport’s growth.”
SITA is initially contracted to MAPA during the deployment and implementation phase before handing over to GACL who will then take over the day-to-day running of the terminal.
Hani El-Assaad, SITA President, Middle East, India & Africa, said: “We are working with MAPA to transform the new facility into a working airport terminal that can process 1,250 passengers an hour. Kotoka International Airport’s new terminal will have the world-class technology it needs to support the airport’s role as a leading hub in the region.”
Kotoka International Airport supports both international and national routes for passenger and cargo aircraft. When Terminal 3 opens at the end of 2017, it will have six contact stands and two remote stands for long-range aircraft, including Airbus A380s, A330s and Boeing 777s and 787s.
Mr. Roman Oseghale, Head Consultant and CEO of IntelServe Inc., a Canadian Business Analytical Services Company has reiterated the importance of Human Capital Development using data to back up his research.
He stated that no nation among over 100 countries that has been surveyed in the research relegated education and prospered, everything Nigeria is facing today is as a result of poor education funding, he stated that the blue print for national development was Human Capital Development and that the answer was right in front of everyone but no one is looking in the right direction.
His research and presentation at The Platform on October 2 revealed how the socioeconomic activities of the country is falling apart because of governments inadequate investment in Human Capital Development (Education and Skills) in the youths of the country.
In 2017 with a projected GDP of USD$408.3 bn, a population of 182 million, Nigeria’s education budget is USD$1.77 bn representing 7.4% of the budget and 0.43% of expected GDP at the end of the year compared to USD$3.038 bn in 1981 with a GDP of USD$61.1 bn with a population of 75.7 million which represented about 30% of the budget and 4.97% of the GDP.
Compared to other countries that were surveyed, Nigeria has only spent USD$52.79 bn from the federal level in 46 years despite being one of the most populated countries. Brazil has spent USD$1.6 tn, Chile has spent 131.2 bn, Mexico 939.8 bn, Canada 1.68 tn, United Kingdom 2.88 tn, Germany 3.74 tn, USA 18.01 tn, Egypt 161.3 bn, South Africa 372.6 bn, Thailand 234 bn, Indonesia 282.6 bn, and Malaysia 214.4 bn to mention a few.
He pointed out that investment in the knowledge economy was the main driver of economic growth, he made it known that because of lack of education investment, Nigeria has continued to slip down the Global Competitiveness Index, from 83rd position in 2005, to 127th position in 2010 and has remained at 127th since…he stated that countries that invest heavily in education were moving up the ranks, examples were Indonesia from 69 to 41, China from 48 to 28, Malaysia which stayed at 25, Singapore from 5 to 2, and Philippines from 73 to 57.
He stated that Nigeria was relatively stable in the 60’s, 70’s and early 80’s and had a balance in its socioeconomic activities because the country was investing in Human Capital Development which reached its peak of 4.97% of GDP approximately 5% of GDP as stipulated by the United Nations.
He stated that the country may not understand the concept of education beyond the institution, a place where knowledge is obtained, certificate and degrees are given, and a tool that moves a child out of poverty, he argued that education was the weapon used in balancing all facets of the socioeconomic activities and as education funding continued to drop all facets of the society started falling apart creating a threat to both social and economic stability of the country.
He pointed out that education is an investment and not an expense, a tool used for economic growth and sustainability and that education is the weapon used to balance the socioeconomic activities of any country, and that if you destroy education you destroy everything. He stated that once public education is underfunded and destroyed, the country invariably destroys the socioeconomic activities and every facet of the socioeconomic factors starts to fall apart. He stated that education is the glue that holds the socioeconomic activities of a country together.
The research showed that from 1982 education expenditure started dropping and dropped below USD$1 bn in 1986 and stayed below USD$1 bn, it wasn’t until 2006 that education expenditure climbed above USD1 bn again in 20 years. He pointed out that education expenditure did not reach USD$3 bn again until 2011, the amount the government spent in 1981…..it took government 30 years to spend the same amount they spent in 1981 on education. And all the while education expenditure was reducing, population was increasing.
Through his research he was able to point out how Nigeria was ahead of many Asian countries in per capita income in the 60’s, 70’s, and early 80’s because of Nigeria’s investment in Education, but as soon as Nigeria stopped investing in education and the Asian countries picked up, their per capita income surpassed that of Nigeria.
He said that “underfunding education leads to fall in Per Capita Income, which leads to population explosion, increase in poverty, with poverty leading to crime, at the same time poverty also leads to social unrest, with social unrest leading to state/regional instability which leads to economic loss for the country. On the other hand population explosion also leads to environmental degradation which leads to health issues and leads to economic loss for the country.
The research highlighted the worrisome part; extreme poverty has continued to drop in the world and by region, total living in extreme poverty as a percentage of population in the world dropped from 52.7% in 1981 to 10.7% in 2013.
While the largest regions with extreme poverty has also continued to drop…Sub-Saharan Africa has dropped from 52.8% in 1981 to 41% in 2013, South Asia from 61.4% to 15.1%, East Asia/Pacific has dropped from 78% to 3.5% in the same period.
Nigeria’s share of extreme poverty as a percentage of people living in extreme poverty in Sub-Saharan Africa has continued to increase….from 17.6% in 1981 to 28.4% in 2011, and to 32.2% in 2013….while Nigeria is 18.8% the population of Sub-Saharan Africa, Nigeria share of extreme poverty is 32.2%…..which means that as at 2013, one in every three persons living in extreme poverty in Sub-Saharan Africa is a Nigerian while in 1981 it was one in every 5.6 persons….while extreme poverty is reducing in Sub-Saharan Africa, that of Nigeria is increasing. Nigeria share of extreme poverty increased by 83% between 1981 and 2013.
He stated that as poverty increases, crime increases…..data showed that Nigeria’s prison population increased by 26% between 2011 to 2015 while population increased by 10% during the same period, with offence against properties and offence against persons being the highest.
The International Monetary Fund (IMF) has affirmed slight growth of the Nigerian economy in the short-term but insists that more is needed to generate sustainable recovery.
At the on-going 2017 Annual Meetings of the World Bank Group/IMF in Washington D.C., USA, two IMF officials discussed the Nigerian and African economic situation:
Mr. Vitor Gaspar, Director, Fiscal Affairs Department:
Let me tackle the general question and then pass it on to Cathy for the specific comment on Nigeria. One question that is perfectly legitimate is: Why is it the case that, given that we have this recovery around the world, we are calling to countries to do more, to do more to promote inclusive growth, to do more to fight inequality, to do more to increase the growth rate of potential GDP? Why is it?
Well, because when you look at the details, there are many things that need mending. One, which is particularly relevant for Africa, is that not all countries share in this upswing. Too many countries in Africa had GDP per capita falling in 2016. And even for the medium term, there are quite a few that will be growing less than advanced economies. There are many countries in Africa that will not be catching up. So, not all countries are sharing in the growth of the global economy.
And then there is the point that you referred to, which is distribution of income, access to basic services like public infrastructure, health, and education. Poverty is still an issue in Africa.
In Africa, we very much emphasize tax capacity. In many African countries, it is necessary to increase the capacity of countries to mobilize tax revenue so that they can fulfill their role in promoting inclusive growth and that for Africa, for Sub‑Saharan Africa, is the main challenge.
For Sub‑Saharan Africa, since the mid 1990s, there was a lot of growth acceleration, and that allowed average inequality to fall and poverty to be significantly reduced in many countries. Nigeria is one of the countries where initially from the mid‑nineties inequality fell, but then there was some resurgence more recently.
The factors explaining the different drivers of inequality across countries are very complex. Mr. Gaspar has touched on some of the factors. For Nigeria, as you heard in the WEO press conference, in the short term, there is some resumption of economic growth, but real per capita income with current policies will remain flat. So, you are not going to be able to address inequality and poverty without resuming growth and per capita growth. The priorities are fiscal consolidation that will mainly be driven by revenue mobilisation, nonoil revenue. And that building of capacity will allow the funding of expenditures: education, health, infrastructure, and the servicing of debt.
Nigerian Bourse Rebounds from 2-day Losing Streak… NSE ASI up 0.2%
The Nigerian equities market reversed a 2-day downtrend today as the All Share Index (ASI) advanced 0.2% to 36,732.24 points while YTD return increased to 36.7%.
Consequently, market capitalization added N27.3bn to settle at N12.6tn. Today’s positive performance was majorly due to buy interest in NIGERIANBREWERIES (+0.6%), NESTLE (+0.7%) and STANBIC (+2.9%). In the same vein, activity level improved as volume and value traded spiked 31.9% and 73.1% to 443.7m units and N3.2bn respectively.
Banking Index Emerges Lone Sector Loser
Performance across sectors was bullish as all indices, save for the Banking index which was dragged 0.3% lower due to depreciation in GUARANTY (-0.7%) and UBN (-4.2%), closed in the green.
The Insurance index appreciated the most, up 2.1% against the backdrop of sustained interest in MANSARD (+6.5%) and LINKASSURE (+5.0%). Similarly, the Consumer Goods index trailed, rising 0.6% following a rally in NIGERIAN BREWERIES (+0.6%) and NESTLE (+0.7%).
Likewise, the Oil & Gas index was nudged 0.2% higher owing to renewed appetite in FORTE (+2.0%) while the Industrial Goods index closed flat.
Investor Sentiment Strengthens
Investor sentiment strengthened today as the market breadth improved to 2.5x (from 1.1x recorded yesterday) after 30 stocks advanced against 12 decliners. At the top of the gainers’ chart were MANSARD (+6.5%), DIAMOND (+5.0%) and LINKASSURE (+5.0%) while UPL (-4.9%), FIDSON (-4.6%) and NEIMETH (-4.2%) topped the losers’ chart.
Given the upturn in today’s market performance and the significant improvement in market breadth, we expect sentiment to remain strong in anticipation of positive Q3:2017 earnings. As a result, we expect the benchmark index to close the week positive.
L-R: Mojisola Oguntusi – Ag. Head, Customer Service, Steve Ajudua – Chief Marketing Officer attending to walk-in Customers at their Head Office in Lagos to celebrate Customer Service Week.
L-R: Steve Ajudua – Chief Marketing Officer, Jide Orimolade – Managing Director/CEO, Olasupo Sogelola – Executive Director, Technical & Operation attending to walk-in Customers at their Head Office in Lagos to celebrate Customer Service Week.
