PenCom, EFCC Partner on Non-Remittance of Pension Funds

By

-

18/08/2016

L-R: Chairman of Pension Fund Operators Association of Nigeria(PenOp), Mr. Longe Eguarekhide; Chief Executive Officer, World Pension Summit(WPS), Chris Battaglia; Director-General, National Pension Commission (PenCom), Chinelo Anohu-Amazu and Founder, WPS, Eric Eggink at the 2016 World Pension Summit ‘Africa Special’ press conference held yesterday in Lagos.

The National Pension Commission [PenCom] and the Economic and Financial Crimes Commission [EFCC} are now working together to identify and deal with all cases of non-remittance of pension funds after deductions by organisations in the public and private sectors of the economy.

Mrs. Chinelo Anohu-Amazu, Director-General, National Pension Commission, who described non-remittance of deducted pension funds as criminal, said the collaboration with the EFCC is meant to immediately stop the trend and support PenCom to enforce the relevant pension laws. She added that the PenCom-EFCC is proceeding very well because the Commission has full control of the data on such non-remittances across the board.

The PenCom DG also reiterated her earlier stand that the N5.7 trillion pension assets as at June 2O16 is not sitting idle somewhere for disbursement but has been actively invested in various instruments in accordance with pension laws.

“Indeed, the steady growth of pension funds seems to suggest that funds are lying idle somewhere. But more public awareness and understanding is on-going to properly educate people on this. We need to increase the pace of such awareness going forward.”

She said PenCom has already established a new department on micro-pension to ensure direct active engagement with people in the informal sector just as the Commission is gathering accurate data to help with policy formulation and subsequent implementation.

Anohu-Amazu, who addressed a World Press Conference on the up-coming 3^rd World Pension Summit [Africa Special] on September 27-28 in Abuja, said the summit provides a unique opportunity to improve the sector and derive appropriate channels of investment that leverages Nigeria’s fast growing pension funds for real sector development.

“The theme of this year’s summit-‘Pension Innovations: The African Perspective’ has been carefully chosen as PenCom seeks to drive into greater prominence, the revolutionary strides and achievements of African governments in the area of pensions and social benefits. PenCom also seeks to galvanise not only the Nigerian pension system but also those of other African countries towards sustainability and socio-economic impact.”

She said the themes of the two previous summits were selected based on the need to lay a solid foundation for the establishment of enduring pension systems in Africa and chart ways for effectively channeling the pension funds to sustainable investments such as railways, power, agriculture and real estate. This would serve as a catalyst to actively stimulate economic development across countries in Africa.

Some of the plenary sessions for the summit include:

Regional Reports: Revolutionary Strides in Pensions by African Countries
Emerging Insurer Role
The Dynamics of Pension Investments
Financial Inclusion
Pension Distribution: The Impact of Technology
Actuarial Issues and Their Impact on Pension Benefits

A major part of the summit would the 2^nd Africa Pension Awards [APA] to recognise excellence, achievement and commitment to the development and strengthening of the African pension industry, in order to entrench good and innovative practices in pension administration.

“The 3^rd edition of the World Pension Summit [Africa Special] promises to harness African talents in pensions and other support services such as investments, insurance and actuarial valuations. Indeed, the summit would provide a platform for pension regulators and operators in Africa to make positive contributions in ushering in a new dawn of innovations in pension administration.”

Red Star Express Posts N6.6bn Turnover

By

Business Journal

-

18/08/2016

0

A leading logistics Company, Red Star Express Plc has announced a total sum of N6.6 billion turnover for the financial year ended March 31, 2016 and a profit after tax of N334.4 million. This was stated at the 23^rdAnnual General Meeting (AGM) of the company held recently.

Speaking at the AGM, the Chairman, Dr. Mohammed H. Koguna noted that in spite of the challenges of decline in oil prices, immense pressure on the Naira, rising inflation, volatility and uncertainty in the foreign exchange market, regular flight cancellations and upsurge in general cost of living, the staff and management worked assiduously to ensure that the company achieved a satisfactory result.

“In spite of the challenges outlined, our company posted a turnover of N6.6 billion in the year under review. Our company has maintained its commitment in the creation of wealth for shareholders. To this end, the Board of Directors is recommending a gross cash dividend of 35kobo for every 50 kobo share translating to N206.3million. We demonstrated our commitment during the financial year to the Red Star Foundation policy by awarding 20 additional scholarship to secondary school students from the Eastern, Western and Northern part of Nigeria”, he reiterated.

With a view to optimizing emerging opportunities in the domestic and international business environment, there have also been changes in the company’s management structure.

The former Executive Director, Mr Olumuyiwa Olumekun, and Group Managing Director/CEO, Mr. Sule Umar Bichi, both had their contracts expired on August 31^st 2015. After one year of extension for Mr. Bichi to facilitate smooth transition to new leadership for the company, the company made new appointments which took effect from April 1, 2016.

The Board appointed three (3) Executive Directors, and four (4) Divisional Managing Directors.

Mr. Sola Obabori assumed the position of the Deputy Managing Director (and will take over from the out-going Group Managing Director from September 1), Mr. Victor Ukwat assumed the position of Executive Director, Sales and Marketing while Mr. Auwalu Babura assumed the position of Executive Director Finance and Admin.

Other appointments were Mr. Charles Ejekam who became the Divisional Managing Director of Red Star Express, Mr. Ocholi Etu became the Divisional Managing Director of Red Star Logistics, Mr. Enoma Ojo assumed the position of Divisional Managing Director, Red Star Support Services and Mr. Tonye Preghafi assumed the position of the Divisional Managing Director of Red Star Freight.

Sir Sunny Nwosu, Representing Obuchi Limited in his statement, commended the out-going management for building a positive financial statement which the incoming management should take note of. In his words “To whom much is given, much is expected.”

Speaking on these appointments, Dr. Koguna thanked the out-going staff for their contributions towards the growth and success of the company, while also wishing the new management the best in their performance in the years ahead.

On future outlook, he pointed out that the Company is committed to ensuring sustained and steady growth of its operations and returns on investments.

“Regardless of the volatile economy, we will continually invest in our resilient employees, optimize our processes, refine our strategies, engage in cost efficiency, focus on new initiatives and increase our market share across the emerging economic sectors. We believe our commitment will give us the thrust we need to achieve maximum benefits for our esteemed shareholders”, he added.

Red Star Express Plc has four subsidiaries – Red Star Freight Limited; Red Star Logistics Limited and Red Star Support Services Limited, as well as Red Star Express, a licensee of FedEx, world leading air express company with over 650 aircrafts and more than 270 delivery destinations globally. FedEx has consistently been rated among the top 10 most admired companies in the world over the past 10 years.

UN Rights Expert to visit Nigeria to Assess Situation of IDPs

By

Business Journal

-

18/08/2016

0

United Nations Special Rapporteur, Chaloka Beyani will carry out his first official visit to Nigeria from 23 to 26 August to examine the situation and human rights of internally displaced persons in the country.

“The challenges confronting Nigeria and its government are considerable and cannot be overstated,” Mr. Beyani said.

“The Northeastern part of the country has witnessed an unprecedented increase in violence and the escalation of attacks by Boko Haram since 2009, which has forced the displacement of more than two million people from their homes and triggered a humanitarian crisis.”

“I will gather information on situations of internal displacement including both new and protracted displacement,” said the human rights expert, who will also examine the legal, policy and institutional frameworks in place for prevention of displacement, protection and assistance for internally displaced persons, and recovery.

Mr. Beyani will begin his four-day visit in Abuja to consult with senior Government officials as well as a wide range of other national and international partners, with a view to examining the ongoing responses and challenges, and assisting them to meet their obligations towards internally displaced persons and to support durable solutions for them.

The Special Rapporteur will also visit camps for internally displaced persons in displacement affected regions and hear from IDPs and representatives of host communities first-hand to learn about their needs, challenges and expectations.

At the end of his visit, on Friday 26 August 2016, the expert will share his preliminary observations with the media at a press conference which will be held at the Transcorp Hilton Abuja.

The Special Rapporteur will subsequently produce a comprehensive report and recommendations based on his visit for presentation to the Human Rights Council in June 2017.

NAICOM Terminates Bancassurance Plan with CBN

By

Business Journal

-

18/08/2016

0

The National Insurance Commission [NAICOM] has terminated its Bancassurance plan with the Central Bank of Nigeria [CBN] following CBN’s refusal to allow NAICOM to license banks in that regard. The Commission also mandated insurance firms to stop paying commissions, fees, referrals and introductions to banks in respect of insurance transactions.

Mr. Mohammed Kari, Commissioner for Insurance, NAICOM, gave the directives in Lagos during the investiture of the 22^nd chairman of the Nigerian Insurers Association [NIA}, Mr. Eddie Efekoha.

“As you aware, the Commission has been in discussion with the Central Bank on the Bancassurance distribution channel for sometime now. However, in a letter received last week, the CBN asserted that NAICOM is not in a position to licence Banks and thus we cannot go ahead with the arrangement for now. However, NAICOM would continue to engage the CBN until all the grey areas are resolved. The second however, is that from today, all relationships the Commission had hitherto accommodated where insurance Companies pay Commission/fees to Banks for Insurance transactions, referral or introduction in any guise is no more valid.”

Kari warned that NAICOM will not hesitate to impose appropriate sanctions on insurance companies utilising or intending to utilise any institution including banks, airlines, online or web-based aggregators that have not been licensed by the Commission.

On capital, the NAICOM chief said:

“We have quite a number of companies that have either eroded capital base or have miss-matched their assets/liabilities cover, mostly arising from wrong investment decisions.Our concerned is for insurance companies to hold sufficient capital to cover their risk and liabilities when they arise at all times. This is very crucial in turbulence times like the ones we are currently going through. While we are going to develop a full risk-based capital framework to determine regulatory capital, we will be expecting companies to initiate the appropriate capital adequacy reviews and have their actuary report the capital needs of their business in a financial condition report. A guideline of which would be released in due course. “

He added that it is important for all insurers and reinsurers to get used to voluntarily holding capital that will protect policyholders against adverse outcomes that could negatively affect their ability to meet their obligations.

“We are not unmindful of certain challenges the industry is exposed to on daily basis, but we trust that with the current drive and the collaborative approach between the regulator and regulated, these challenges can be overcome to the benefit of the consumer in particular and the Nigeria economy in general. “

ATCON to FG: Step Down Communications Services Tax Bill

By

Business Journal

-

18/08/2016

0

Mr. Olusola Teniola, President, Association of Telecommunications Companies of Nigeria [ATCON] has urged the Federal Government to step down the proposed Communications Service Tax Bill for now. Below are the key points of his submission:

Decrease in the Inflow of FDI to the Sector

The general rule of investment or principle of investment is that institutional Investors will take their investible funds to countries where the tax rate is low or lowest. As we all know that Nigerian telecoms subscribers are already paying tax because VAT is embedded in calls made and data consumed.

If the bill sails through it would reduce the subscribers’ consumption of data and reduce length of a voice call, this will result in drop in revenue that would accrue to telecoms operators which will in turn reduce the contribution of the sector to our GDP.

The Return on Investment (ROI) would be badly affected as a result of the above illustrations.

Nigeria as a nation needs a lot of investible funds to build infrastructural facilities and provide employment for her teeming population and especially our growing youth.

As we know that Nigeria’ telecom industry still needs circa 50,000 base stations to be able to improve on Quality of Service and to reach the unserved and underserved parts of the nation.

ATCON’s position is that whatever we are doing as a nation must not be done to deter investors from staking their hard earned money on the Nigerian telecommunications businesses, in other words, our policies must continue to be investment friendly.

It has been established that revenue from voice is still significant and it must be stressed here that the investment that is required to deepen the penetration of Broadband in Nigeria is much greater than the one we used to provide voice telephony.

In view of this, the said Communications Service Tax bill should be stepped down so as to encourage investors and make the sector more attractive for foreign direct investors.

ATCON is working with other relevant agencies to increase the Foreign Direct Investment to the sector which is highly capital intensive. This cannot be achieved if the government is considering introducing Communications Services Tax, which will deter further investments to be made.

Loss/Erosion of Innovation and Creativity

ATCON considers the proposed Communications Services Tax bill unnecessary and prohibitive because the operators in the sectors are already faced with multiplicity of taxation.

Imposition of Communications Services Tax bill could stifle innovation and creativity in the sector and this would automatically reverse the gains already made in the past decade. This might lead to increase in unemployment, decrease in revenue accruable to government which would heighten the county’s poverty level.

Telecoms Services Unavailability in Some States

Governments at all levels have at one time or the other expressed the need to gear up the use of ICT to grow and develop their various constituencies. The application of the proposed Communications Services Tax would definitely be a clog in the wheel of roll out of broadband services for the development of the nation-Nigeria. It means that telecommunications services would not be available in some state of the federation.

Speeds-up Chronic Recession

The high taxation takes so much away from both the telecoms operators and subscribers that little or nothing is left to run the business. If government tries to boost the economy with increased government spending, the result is stagflation (simultaneous high inflation and unemployment) instead of prosperity. The only cure for stagflation is to cut both taxes and government spending.

Africa Pension Awards 2O16

By

Business Journal

-

18/08/2016

0

African countries now have the platform to showcase their achievements in pensions!

The ‘Africa Pension Awards’ has been introduced to stimulate innovative practices in the administration of pension and social security amongst African countries by recognizing excellence, achievements and commitment to the development of pensions and social security in Africa. This event will create the much needed setting for African countries to showcase innovations and developments in the African pension and social security space. It offers a unique opportunity for African countries to benchmark their achievements and foster positive local and global perception of the African Continent.
The Award Ceremony, which will herald the opening of the 3rd World Pension Summit ‘Africa Special’, will be held on 27 September 2016 at the Congress Hall of the Transcorp Hilton Hotel, Abuja, Nigeria.
The contest for the Africa Pension Awards 2016 is open to both Pension Fund Regulators and Pension Funds (i.e. Operators) in Africa, who have deployed innovative ideas to record significant achievements in their delivery of pension and/or social benefits.

The Africa Pension Awards 2016 will focus on the following five (5) Award Categories:
Innovation in Corporate Governance Deployment of Innovative Practices to Facilitate Wide Coverage and Inclusion Socio-Economic Impact of the Pension or Social Security System Innovation in Risk Management Innovations on Information, Communication and Technology Platforms
for Improved Customer Service Delivery

DEADLINE FOR ENTRY: 30 AUGUST 2016

Receiving the Award
Successful entries will be announced during the Africa Pension Awards Ceremony holding at the Congress Hall, Transcorp Hilton Hotel, Abuja, Nigeria on 27th September 2016. Awardees will be presented with their Awards during the Ceremony. All Entrants are expected to attend the Ceremony.
For more information: www.worldpensionsummitafricaspecial.com

Media Accreditation Opens for ITU Telecom World 2016

By

Business Journal

-

18/08/2016

0

ITU Telecom World 2016 opened the accreditation process yesterday for media wishing to attend the world’s leading ICT innovation event. Taking place from 14-17 November in Bangkok, Thailand, the event will focus on collaboration in the digital economy and the key role SMEs play in our digital ecosystem.

ITU Telecom World 2016 combines a global technology exhibition, a forum for sharing knowledge, a networking hub for corporations, governments and SMEs and an influential Awards programme. It provides a unique international platform to bring together thinkers from developed and emerging markets, public and private sector leaders, and industry representatives from across the entire ICT ecosystem. Key highlights include:

Leadership Summit & Forum: Discussions will begin with the top level leadership summit, with highest-level speakers from public and private sectors exploring the reasons why working together is crucial for growth in the digital economy. Forum sessions will then explore industry-critical topics including 5G, collaborative regulation, the connected car, smart sustainable cities, fostering SME innovation, digital financial services and more.

International Exhibition: Showcasing digital solutions and investment opportunities from countries and companies from emerging and developed markets, including SMEs. Leading and sponsoring companies include ATDI, Huawei, Intel, KT, LS telcom, Rohde & Schwarz, Mastercard, as well as countries and SMEs from across the globe.

ITU Telecom World Awards: Look out for the ITU Telecom World Awards, recognizing excellence and innovation in ICT solutions with social impact from SMEs and corporations alike. These prestigious awards will be announced during the event and presented by ITU Secretary-General, Houlin Zhao during a high-profile ceremony at the event.

Broad ITU-wide agenda:The event will also provide perspectives from across ITU and its membership and partners, with co-located events including the ITU Kaleidoscope academic conference 2016; the World Standards Cooperation Academic Roundtable; the ITU Secretary-General’s Academia Consultation; Conformity and Interoperability and Mobile Phone testings; the 8th Chief Technology Officer (CTO) meeting; the 7th Private Sector Chief Regulatory Officers (CRO) meeting, advisory boards meetings of the Smart Sustainable Development Model Initiative (SSDM) and m-Powering Development Initiative. Additionally, the Gender Equality and Mainstreaming in Technology (GEM-TECH) Awards, a joint ITU/UN Women prize recognizing outstanding efforts in using the power of information and communication technology (ICT) to empower women and girls will be conferred during a prestigious ceremony at ITU Telecom World 2016.

What:	ITU Telecom World 2016, the global event for SMEs, corporations and governments
When:	14-17 November 2016
Where:	Impact Arena, Exhibition and Convention centre, Bangkok, Thailand
Why:	ITU Telecom World 2016 brings together a uniquely influential audience of public and private sectors. It is where influential figures from government and industry will connect with SMEs and digital entrepreneurs in the ICT sector to exhibit and explore partnership solutions, investment opportunities, shared ideas and best practices.
Who:	Participants will include heads of state and ministers, regulators, industry CEOs and experts, investors, small and medium enterprises (SMEs), entrepreneurs, digital thinkers and consultants.

Nigeria’s Power, Finance and Energy Investors to Parley FG in Oct

By

Business Journal

-

18/08/2016

0

Leading development finance institutions and heads of Nigeria’s most accomplished energy companies will meet with national government at EnergyNet’s Powering Africa: Nigeria Investment Summit taking place in Abuja from 12-14 October 2016.
Over 50 public and private sector decision makers will address 300 power developers and investors to discuss the driving factors behind power development in Nigeria. The investment summit will underpin Nigeria as a hub for regional gas development as well as an important market for clean and renewable energy.

Key themes of the conference include how to diversify Nigeria’s energy mix, regulation policy to promote international investment in renewables, and examining Nigeria’s off grid energy market- promoting energy access for everyone.
This meeting follows EnergyNet’s recently concluded 18th Africa Energy Forum (AEF) in London this June, which welcomed 2,200 vetted investors from the Americas, Europe and Asia, and government representatives from 30 African countries.

Major deals were signed at the meeting including a merger between Harith General Partners and Africa Finance Corporation (AFC), KFW’s $150 million 15 year loan facility to AFC, Access Power’s $7 million award to three renewable developers, Mainstream’s $117.5 million Africa Clean Energy Equity Funding and DFID’s two Compacts in Kenya and Sierra Leone, to name a few.
“For 24 years EnergyNet has supported governments across the continent playing an advisory role helping policy makers meet the very best private sector investors. Our role is not unique; however our approach is as individual as a thumbprint, highlighted by the trust the World Bank, Power Africa, IFC, FMO, Proparco, DFID, AfDB and many more who place their trust in EnergyNet, which supports our position as a market-shaper when it comes to global energy development,” says Simon Gosling, Managing Director of EnergyNet.
The meeting is officially endorsed by the Energy Commission of Nigeria, the Transmission Company of Nigeria and the National Power Training Institute of Nigeria.

It has the official support of the UK’s DFID-funded Nigeria Infrastructure Advisory Facility, of Germany’s GIZ and of the European Union.

Fiji Airways: Official Travel Airline of CTO Forum 2016

By

Business Journal

-

18/08/2016

0

The Commonwealth Telecommunications Organisation is pleased to announce Fiji Airways as the official airline of the Commonwealth Telecommunications Organisation Forum 2016 to take place in Suva, Fiji on 12 – 14 September 2016.

Fiji Airways has launched a dedicated web page for this event where special offers are available, including discounts of up to 20% on any prime Fiji Airways operated flight.

Fiji Airways connecting flights are available from Apia, Auckland, Brisbane, Christchurch, Funafuti, Hong Kong, Honiara, Honolulu, Kadavu, Kiritimati, Labasa, Los Angeles, Mana, Melbourne, Nuku’alofa, Port Vila, Rotuma, Singapore, Savusavu, Suva, Sydney, Tarawa, Taveuni and Wellington.

Scatec Solar Secures 100 MW Solar Project in Nigeria

By

Business Journal

-

18/08/2016

0

Scatec Solar has signed an agreement with CDIL, a Canadian renewable energy development company focused on Africa, and BPS, a Nigerian strategic consulting firm, securing the 100 MW (DC) Nova Scotia Power plant located in Jigawa State, Nigeria. This agreement was announced in connection with Scatec Solar’s second quarter results.
The Nova Scotia project company, signed a 20-year Power Purchase Agreement (PPA) with the Nigerian Bulk Electricity Trading Plc (NBET) on July 21st, 2016.
“Solar power in Nigeria has significant long-term potential, and we want to take part in the development of this new market. This investment is the culmination of an extensive review during which the Nova Scotia Power project stood out thanks to its exceptional fundamentals. With the quality of its site, development standards and equity funded by Scatec Solar and its partners, the project is ideally positioned to progress rapidly to financial close” said Raymond Carlsen, CEO of Scatec Solar.
“We recognised the importance of partnering with a sponsor able to bring the project to financial close and with whom we share a long-term vision. We are proud of teaming up with Scatec Solar, who has demonstrated its unique ability to deliver similar projects in Africa”, said Arif Mohiuddin, President and CEO of CPCS, the parent company of CDIL.
A long-term player with an installation track-record of close to 600 MW, Scatec Solar will develop, build, own and operate the solar power plant in Jigawa. The project is expected to reach financial close in 2017 and commercial operations 12 months thereafter.
Currently, Scatec Solar produces electricity from 404 MW of solar power plants worldwide and is a leading independent solar power producer in Africa with nearly half of this capacity located in the region.

FOR THE RECORD

By

Business Journal

-

18/08/2016

0

A PAPER ON THE PROPOSED COMMUNICATIONS SERVICES TAX BILL BY OLUSOLA TENIOLA, PRESIDENT OF THE ASSOCIATION OF TELECOMMUNICATIONS COMPANIES OF NIGERIA (ATCON) AT THE LAGOS CHAMBER OF COMMERCE & INDUSTRY’S DIALOUGE SESSION ON THE PROPOSED 9% COMMMUNICATION SERVICES TAX BILL HELD ON AUGUST 17, 2016 AT COMMERCE HOUSE, 1, IDOWU TAYLOR STREET, VICTORIA ISLAND, LAGOS.

Protocols,

Distinguished President of Lagos Chamber of Commerce and Industry
Stakeholders
Ladies and Gentlemen

Appreciation

I want to sincerely appreciate the organizer of this very important event, “The Lagos Chamber of Commerce & Industry”, for creating a platform to have a dialogue session on the proposed 9% Communications Services Tax. The Association of Telecommunications Companies of Nigeria (ATCON) is happy to identify with this strategic initiative to protect investments made in the telecom industry from undue pressure from the government in the form of yet additional burden on our members that are already overtaxed by all tiers of government (some of them: AOL, VAT, RoW(s), Levy permits, duties etc).

The Growth of Information and Communication Technology during the last few years has been phenomenal and tremendous. It has had a positive impact on every aspect of human life. There is no doubt that the emergence and liberalization of this sector has also impacted positively on revenue accruable to government , employment generation (both Direct and Indirect), Foreign Direct Investment (in tens of billions of dollars) and a host of other positives which time would not permit me to mention.

However, as a way of…..

Introduction

The Association of Telecommunications Companies of Nigeria (ATCON) is a professional, non-profit, non-political umbrella organization of telecommunications companies of Nigeria. It is also the premier Association that was formed by technocrats in the telecoms industry to facilitate as well as accelerate the growth and development of the Nigerian Telecommunications Industry and this we have been doing for just over two decades in Nigeria.

ATCON was formally inaugurated on December 10, 1993, with a membership profile made up of indigenous and multinational telecommunications companies operating in Nigeria. Membership of the Association has since its inauguration grown to over 100 companies.

The Association holds meetings with government at all levels with the sole aim of influencing government policy in order to create an enabling operating environment for members as well as to protect telecoms/ICT investment in Nigeria.

Background to our Position

Generally, Taxation is one of the many ways through which governments all over the world generate income to be able to discharge their duties to the citizens.

Government at all levels make collections of taxes mandatory through enactment of policies. The contributions of the Communications sector was meagre some fifteen years ago but through the concerted efforts of some patriotic and dedicated experts in the telecommunications sector under the aegis of the Association of Telecommunications Companies of Nigeria who advocated for the liberalization of the sector, the sector is now contributing revenue of well over 8% to the nation’s GDP.

ATCON believes any calculated actions that have potentials to stifle further contribution of the telecoms industry to our GDP must be avoided by all tiers of government in Nigeria as the perceived benefits of imposing a Communication Service tax on telecoms subscribers has the potential to erode if not destroy the achievements that have been made since the telecoms sector was liberated. We therefore advise both the House of Representatives and the Senate (the Legislative arm of government) to discontinue with the bill.

These are a few of our reasons…..

Decrease in the Inflow of FDI to the Sector

The general rule of investment or principle of investment is that institutional Investors will take their investible funds to countries where the tax rate is low or lowest. As we all know that Nigerian telecoms subscribers are already paying tax because VAT is embedded in calls made and data consumed. If the bill sails through it would reduce the subscribers’ consumption of data and reduce length of a voice call, this will result in drop in revenue that would accrue to telecoms operators which will in turn reduce the contribution of the sector to our GDP.

The Return on Investment (ROI) would be badly affected as a result of the above illustrations. Nigeria as a nation needs a lot of investible funds to build infrastructural facilities and provide employment for her teeming population and especially our growing youth. As we know that Nigeria’ telecom industry still needs circa 50,000 base stations to be able to improve on Quality of Service and to reach the unserved and underserved parts of the nation.

ATCON’s position is that whatever we are doing as a nation must not be done to deter investors from staking their hard earned money on the Nigerian telecommunications businesses, in other words, our policies must continue to be investment friendly. It has been established that revenue from voice is still significant and it must be stressed here that the investment that is required to deepen the penetration of Broadband in Nigeria is much greater than the one we used to provide voice telephony. In view of this, the said Communications Service Tax bill should be stepped down so as to encourage investors and make the sector more attractive for foreign direct investors.

ATCON is working with other relevant agencies to increase the Foreign Direct Investment to the sector which is highly capital intensive. This cannot be achieved if the government is considering introducing Communications Services Tax, which will deter further investments to be made.

Loss/Erosion of Innovation and Creativity

ATCON considers the proposed Communications Services Tax bill unnecessary and prohibitive because the operators in the sectors are already faced with multiplicity of taxation. Imposition of Communications Services Tax bill could stifle innovation and creativity in the sector and this would automatically reverse the gains already made in the past decade. This might lead to increase in unemployment, decrease in revenue accruable to government which would heighten the county’s poverty level.

Telecoms Services Unavailability in Some States

Governments at all levels have at one time or the other have expressed the need to gear up the use of ICT to grow and develop their various constituencies. The application of the proposed Communications Services Tax would definitely be a clog in the wheel of roll out of broadband services for the development of the nation-Nigeria. It means that telecommunications services would not be available in some state of the federation.

Speeds-up Chronic Recession

The high taxation takes so much away from both the telecoms operators and subscribers that little or nothing is left to run the business. If government tries to boost the economy with increased government spending, the result is stagflation (simultaneous high inflation and unemployment) instead of prosperity. The only cure for stagflation is to cut both taxes and government spending.

Conclusion

ATCON believes any action that has the potential to derail the telecoms industry should be avoided by all tiers of government in Nigeria as the benefits of imposing a Communication Service Tax on telecoms subscribers are far lower than the revenue that it is going to create for the government. In view of this and other reasons enumerated above, the Association’s position is that the proposed Communications Service Tax bill should be stepped down.

Thank you all for this opportunity and please accept our esteemed regards.

Olusola Teniola

National President

NIA Chairman Unveils 4 Strategies to Grow Insurance Sector

By

Business Journal

-

17/08/2016

0

Cap-1 — L-R: Chairman, House of Representatives Committee on Insurance and Actuarial Matters, Hon. Olufemi Fakeye; Chairman, Nigerian Insurers Association (NIA), Mr. Eddie Efekoha; Chairman. Senate Committee on Banking, Insurance and other Financial Institutions, Senator Rafiu Ibrahim, Commissioner for Insurance, NAICOM, Alhaji Muhammed Kari at the formal investiture ceremony of Mr. Efekoha as the 22nd Chairman of NIA held in Lagos.

Mr. Eddie Efekoha, Chairman, Nigerian Insurers Association [NIA] has unveiled strategic four-model Plan of Action to grow the insurance sector in Nigeria.

Efekoha listed the four strategies as Stakeholders Engagement, Market Development & Discipline, New NIA Building Project and Educational Endowment Fund during his official investiture in Lagos.

He said the stakeholders’ engagement is intended to address the knowledge gap between the insurance industry and relevant policy-makers in the country.

L-R: Chairman, House of Representatives Committee on Insurance and Actuarial Matters, Hon. Olufemi Fakeye; Chairman, Nigerian Insurers Association (NIA), Mr. Eddie Efekoha; Chairman. Senate Committee on Banking, Insurance and other Financial Institutions, Senator Rafiu Ibrahim, Commissioner for Insurance, NAICOM, Alhaji Muhammed Kari at the formal investiture ceremony of Mr. Efekoha as the 22nd Chairman of NIA held in Lagos.

L-R: A past Chairman, Nigerian Insurers Association, Mr. Anthony Akintunde; Chairman, Nigerian Insurers Association (NIA), Mr. Eddie Efekoha, his wife, Oghenenyoreh, and a past chairman NIA, Mr. Wole Oshin at the formal investiture ceremony of Mr. Efekoha as the 22nd Chairman of NIA held in Lagos.

L-R: Commissioner for Insurance, NAICOM, Alhaji Muhammed Kari; Secretary General, The African Insurers Organisation [AIO], Ms. Prisca Soares; Chairman, Senate Committee on Banking, Insurance and other Financial Institutions, Senator Rafiu Ibrahim; Chairman, Nigerian Insurers Association (NIA), Mr. Eddie Efekoha, and his wife, Oghenenyoreh at the formal investiture ceremony of Efekoha as the 22nd Chairman of NIA held in Lagos.

L-R: A past Chairman, Nigerian Insurers Association, Mr Anthony Akintunde performing the investiture of Mr. Eddie Efekoha, as the 22nd Chairman of NIA and his wife, Oghenenyoreh during the formal investiture ceremony held at Eko Hotel, Lagos.

“Very often, insurance as an instrument for financial intermediation is misunderstood by policy-makers. It is therefore necessary to enter into constructive engagement with relevant stakeholders to educate them on the workings of insurance business and to fully equip them to be able to respond adequately to the rising cases of fraudulent claims in the market.”

The NIA chairman lamented the heavy burden imposed on the industry by CITA 2007, saying the situation further strengthens the need for insurers to continually engage with tax authorities to amicably resolve the issues and avoid areas of future conflict.

On market development & discipline, he said: “During my tenure, collaborative efforts will be made at enforcing market discipline amongst industry players to encourage market development and sustainable business practice in the industry.”

He said the measure will involve ensuring that all compulsory insurances are enforced, explore areas of collaboration, particularly on shared services to reduce overhead costs, ensure on-going implementation of risk-based supervision is continued with input from NIA and review the NIA constitution to make more dynamic in response to the changing business environment.

Efekoha also canvassed the establishment of Educational Endowment Fund to promote insurance education in the country by encouraging research and hardwork in the nation’s tertiary institutions of learning.

“I want to restate that the NIA has and will continue to remain true to its legacy as an institution that exists to champion the cause of the insurance industry and policy-holders. We will ensure that the founders’ sense of purpose will be upheld by us at all times by joining hands with other stakeholders to build an insurance industry that is consumer-centric.”

Olashore: Brexit Good for Better Nigerian Education

By

Business Journal

-

16/08/2016

0

The Chairman, Board of Governors, Olashore International School, Prince Abimbola Olashore says the recent withdrawal of the United Kingdom (UK) from the European Union (EU) is a huge opportunity for Nigeria to raise her education standard, and meet a growing education need-both in quality and quantity.
He enjoined the Nigerian Government and the entire educational sector to up its games in the area of education.
Speaking based on statistics from the UK Council for International Students Affairs, he noted that Nigeria is the third top non-European country with the highest population of foreign students in the UK, with a very high enrolment between 2014 and 2015.
According to him, the new immigration visa rules stipulates that immigrants on skilled worker visas (Tier 2 visas) from non- European countries, including Nigerians, earn at least £35,000 (N9.5m) per annum or face deportation. This presents a tough scenario for many. And with the current exchange rate wide swing, it is really time to look inwards.”
“In the light of this, I want to implore the Nigeria Government to up her game in the area of education and invest in cresting long lasting infrastructure. We at Olashore International School have also engaged in series of activities to increase the standard of education given to the students. We ensure academic excellence, nurture children to their full potentials, and developing these children for the 21st century leadership. At Olashore International School, our aim is to provide education comparable to the best in the world, blending academics with discipline, strong value system and real life skills.”
Explaining more on this, he pointed out that most of our youths are beginning to take up entrepreneurial skills.
“The way the country is going now, most people are going to work for themselves. Jobs might be on the increase, but more and more of the population will work for themselves so what is much more important are things that has to do with entrepreneurial skills in addition to the technical ones. More than ever before, the degree that is most relevant now is the degree of creativity. So the education of tomorrow is about teaching life success skills and better preparing students for the challenges that lie ahead.”
Similarly in his remarks at the interactive session, the Principal, Olashore International School, Mr. Derek Smith, confessed that the current Nigeria educational system fashioned after the British prototype needs to be further fine tuned to meet the practical challenges of modern day labour market.
“The over 150 year old British Educational System was designed at inception to prepare graduates for civil service job training, but that such civil-service focused academic curriculum needs to be further advanced. To this end, Olashore International School was founded with a unique vision of drilling its students who are usually between 10 and 16 for self-reliance and dynamic leadership. Developing all rounded global leaders for the 21st century is at the core of what we do at Olashore International School. Leadership has always been at the heart of the school and as Nigeria continues to grow and change, it is vital that young leaders are developed with sound moral values, a strong academic background and the full set of competence to be successful in the 21st century.”
According to him, the school has been recognised for its outstanding educational programmes which are backed by strong policies to ensure that children are kept safe and secure all the time.
This recognition fetched the school series of awards like the British Council International Schools Award, Osun State Award, and many others.
More recently, the Council of British International School (COBIS) inducted the school for its outstanding performances, its integration of international work into its curriculum and its successful work with GL Education.

500m Africans Subscribe to Mobile Services

By

Business Journal

-

16/08/2016

0

More than half a billion people across Africa are now subscribed to mobile services as the continent continues to migrate rapidly to mobile Broadband networks, reveals a new GSMA study.
“More than half a billion people across Africa are now subscribed to a mobile network, providing them not just with connectivity but a gateway to a range of other essential services in areas such as digital identity, healthcare and financial services,” said Mats Granryd, Director General, GSMA.
“The rapid move to mobile broadband networks is also unlocking new opportunities for consumers, businesses and governments, growing an ecosystem that last year added more than $150 billion in value to Africa’s economy.”

Network Investments and Smartphones Driving Mobile Broadband Adoption
The report finds that there were 557 million unique mobile subscribers across Africa at the end of 2015, equivalent to 46 per cent of the continent’s population, making Africa the second-largest – but least penetrated – mobile market in the world.
Africa’s three largest markets – Egypt, Nigeria and South Africa – together accounted for around a third of the total subscriber base. The number of unique mobile subscribers is forecast to reach 725 million by 2020, accounting for 54 per cent of the expected population by this point.
African mobile subscribers are rapidly migrating to mobile Broadband networks and services, a result of ongoing network rollouts and the increasing availability of affordable mobile Broadband devices and tariffs.
Mobile Broadband (3G/4G) accounted for just over a quarter of total connections2 at the end of 2015, but is expected to account for almost two-thirds by 2020. By mid-2016, there were 72 live 4G networks in 32 countries across Africa, half of which have launched in the last two years.
Meanwhile, the number of smartphone connections3 in Africa is forecast to more than triple over the next five years, rising from 226 million in 2015 to 720 million by 2020.

Mobile’s Contribution to African GDP, Jobs and Public Funding to Increase
The use of mobile technologies and services across Africa generated $153 billion in economic value last year, equivalent to 6.7 per cent of the region’s GDP4.
This contribution is expected to increase to $214 billion by 2020 (7.6 per cent of expected GDP) as countries in Africa continue to benefit from the improvements in productivity and efficiency brought about by increased take-up of mobile services.
Africa’s mobile ecosystem also supported 3.8 million jobs in 2015 and made a $17 billion contribution to the public sector via general taxation. The number of jobs supported is forecast to rise to 4.5 million by 2020, while the tax contribution is expected to increase to $20.5 billion.
The report also explains how mobile is powering innovation and entrepreneurship across Africa. It notes that there are now approximately 310 active tech hubs across the region, including 180 accelerators or incubators. Mobile operators are supporting this ecosystem by opening up APIs to third-party developers in areas such as messaging, billing, location and mobile money, which has allowed start-ups to scale quickly.
Mobile technology is also playing a central role in addressing many of the social challenges in Africa, including the ability to provide citizens with official identities, tackling the ‘digital divide’ by enabling access to the mobile Internet, and delivering financial inclusion via mobile money services.
The number of mobile subscribers in Africa that access the mobile Internet has tripled in the last five years, reaching 300 million by 2015, equivalent to a quarter of the African population. An additional 250 million subscribers are expected to become mobile internet users by 2020, bringing the total to 550 million (41 per cent of expected population).
“The positive transformational impact of mobile is being felt more profoundly in Africa than anywhere else in the world; Africa’s mobile industry is at the forefront of helping to deliver the United Nations’ Sustainable Development Goals5,” added Granryd.
“We are focused on creating a better future for citizens and businesses across Africa, providing access to essential information and services, improved employment and economic opportunities, and greater productivity and competitiveness.”

Roche, Kenya Partnership to Improve Breast Cancer Care

By

Business Journal

-

16/08/2016

0

First Lady Margaret Kenyatta, Kenya Ministry of Health and Roche Pharmaceuticals Limited have launched key activities that will facilitate access to improved care for patients with breast cancer in Kenya.
The launch builds on the country’s 2015-2020 National Strategy for the Prevention and Control of Non-Communicable Diseases and represents a comprehensive approach to battling the disease.
The program also complements the campaign from the African First Ladies who are committed to expanding access to prevention and treatment services for women with breast cancer.
The public-private partnership’s planned activities include breast cancer awareness programs, improvements in screening and diagnostics, including the placement of a diagnostic instrument capable of advanced testing for seven types of cancer.
Additionally, the collaboration will train five new oncologists and six oncology nurses, provide surgical oncology training, support the development of best practice national treatment guidelines and an increase the number of cancer treatment centers in Kenya.
Access to medicine will be made available patients seeking treatment at public institutions with the government of Kenya and Roche jointly covering the costs. The aim of these measures is to improve access to timely and precise diagnostic services and tailored cancer treatment to make cancer therapy much more effective.
“Strong, healthy women are the foundation of families, of our country, and today in Kenya their health is threatened by a disease that we must catch early. Many women are being diagnosed with breast cancer too late and are dying needlessly when there are treatments available that give them a chance to fight this disease,” said First Lady Margaret Kenyatta.
and Roche demonstrates that we all must play our part to ensure that our mothers, sisters and daughters have the opportunity to fight and win the war against breast cancer.”
Breast cancer remains the leading cause of cancer in women in Kenya with more 50 percent of the cases presenting in women below the age of 50. This places their families and the economy at a great disadvantage.
Every year approximately 4,500 patients are diagnosed with the disease and 2,000 patients lose their lives to this disease. This burden reflects an increasing trend in the number of women being diagnosed with the disease. Early diagnosis and treatment could greatly reduce the burden of breast cancer and improve treatment outcomes.
The Kenya agreement is part of Roche’s Africa Strategy which began in 2015 in seven countries: Nigeria, Ghana, Kenya, Côte d’Ivoire, Angola, Ethiopia and Gabon.
Based on country needs and capabilities, Roche is implementing a wide selection of activities in collaboration with local partners, including healthcare system strengthening, such as local data generation and advocacy for healthcare prioritisation; disease management support, such as awareness, advocacy campaigns and treatment guidelines; and education and market access solutions, including healthcare professional training, private health insurance with local companies and price-volume agreements with governments.
“We are honored to have First Lady Margaret Kenyatta here to launch this important initiative for breast cancer patients and to demonstrate Kenya’s commitment to improving cancer care,” said Markus Gemuend, Head of Roche, Sub-Saharan Africa Region.
“With access to healthcare, women are empowered to build the futures they want for themselves and their families. This comprehensive agreement ensures that breast cancer patients in Kenya will have not only improved access to care and life-changing medicines, but also that the overall healthcare system is stronger to support all Kenyans battling cancer.”

Breast Cancer in Kenya
Breast cancer is the second most common type of cancer in Kenya recording 4,500 new cases every year with 1,969 deaths. Although it occurs in both men and women, more than 90 percent of the cases present in women.
Risk factors include: gender (being female), family history, alcohol and tobacco use, being obese or overweight and exposure to estrogen hormones through contraceptives. In terms of frequency, breast cancer comes second after cervical cancer and is followed by prostate cancer.
Aside from the investments in public-private partnerships, the Ministry of Health is installing mammography machines through the Managed Equipment Services project to enhance early detection and diagnosis of breast cancer countrywide.
It is also providing specialised training opportunities for cancer healthcare professionals to boost capacities at the county level.

.st0{fill:#FFFFFF;} .st1{fill:#E52E2E;} BJ

.st0{fill:#FFFFFF;} .st1{fill:#E52E2E;} BJ

BJ .st0{fill:#FFFFFF;} .st1{fill:#E52E2E;}

Hot topics

Business

ICT

Capital Market

Insurance

.st0{fill:#FFFFFF;} .st1{fill:#E52E2E;} BJ

Hot topics

Business

ICT

Capital Market

Insurance

.st0{fill:#FFFFFF;} .st1{fill:#E52E2E;} BJ

Company

Headlines

Newsletter

BJ

BJ

BJ

BJ

BJ