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North African Airlines Control 45% of Africa’s Air Traffic

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Aeroplane

According to the latest edition of Secteur Privé & Développement (Private Sector & Development) published by Proparco, AFD’s arm in charge of private sector, Northern Africa airlines dominate Africa’s air traffic.

Over a total of 44.075 million passengers, these companies namely Egyptair (first with 18 million passengers), Air Algerie (second with 12 million), Royal Air Maroc (third with 11.035 million) and Tunisair (seventh with 2.666 million) grabbed nearly 45% of total number of passengers carried by African airlines, according to the London-based platform OAG, which analyzes the sector.

South African Airlines, which is presently encountering some challenges, Ethiopian Airlines, one of the continent’s most active airlines and Kenya Airways which is also quite present in Africa, despite its financial troubles, are respectively fourth, fifth and sixth.

The growth potential of the inter-African air traffic market is quite significant. Some experts estimate in fact that given Africa’s current communication issues, it is cheaper to build airport infrastructures than roads or railways.

However, according to Jean-Louis Barroux, CEO APG World Connect, cited by Proparco’s magazine, one of the major challenges in the sector is the compartmentalisation of African skies. “It is difficult for most African nations to liberalise air transport as the airspace belongs to them and it holds a strong symbolic and political position for them,” he said.

He added that most public authorities in Africa lack, unfortunately, the skills and resources needed to properly manage this sector. Truly, in many countries are airlines’ directors still appointed due to their ties with the power in place, rather than for their actual skills.

Nevertheless, there are still airlines such as Asky, Rwandair or Air Ivoire that remain the region’s pride as they provide permanent or almost (90%) regular services within Africa.

However, transportation costs are expensive, travelling duration are quite long (it can sometimes take 3 hours to go from Douala in Cameroon to Lagos in Nigeria).

Another challenge is the difficulty for people to move freely between borders in Africa.

‘Govt Alone Cannot Fight Poverty in Nigeria’

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Wife of the Vice-President, Mrs. Dolapo Osinbajo has said that government alone cannot fight poverty and crime in the country, adding that well meaning individuals could also play a major role in the reduction of poverty and crime rates in the society through empowerment programmes.

Mrs. Osinbajo made the remark while speaking at the graduation ceremony of more than eight hundred Imo people who were trained to acquire various skills by the Mrs. Osinbajo Pet Project, “PROJECT AYODELE” at the Imo State International convention Centre, Owerri, stressing that empowering those who need empowerment in our society would definitely reduce poverty and crime in the system.

She said, “the Foundation PROJECT AYODELE was set up in memory of my mother who died four years ago. So, this foundation is an honour to her memory. Training people on skills that can be turned speedily into cash was a move to empower our people and stop poverty and crime in the nation.”

She continued, “I have come to Imo state to celebrate men and women that have graduated today under the auspices of, PROJECT AYODELE. With the training and the skills acquired, those involved can take care of themselves. We did not know many years ago when we started the project, that I will end up as the wife of the Vice-president. And I didn’t know too that I could be in Imo for that.”

According to her, “where you are today have nothing to do with where you are going tomorrow. I pray for the participants. Whatever they have learnt would take them to a higher height. I was just watching the video about the 200 homes built for indigent women by the wife of Imo governor, Mrs. Nkechi Okorocha. I congratulate her for that feat. The Imo governor’s heart is large that it continues to speak so plainly from. ”

Governor Rochas Okorocha in his speech at the colourful event wondered why Nigerians should be singing the song of poverty amidst wealth and knowledge. We have 200 million Nigerians and over one million millionaires and billionaires. If we make a law that every billionaire or millionaire must engage or empower 200 people, one will discover that the 200 million will be self sufficient and poverty will disappear.”

Okorocha continued, “If every bigman in Nigeria builds something that will create Job, there won’t be poverty.” In Nigeria poverty claim does not reflect practical realities. I am happy because the wife of the Vice-president has created more than 800 direct jobs in Imo on her own. If every politician does that, we will be hiring labour from outside. This is why I am not worried about the corruption that is internal but the one that is external because it allows the resources of the land to go to foreign countries.”

His words, “Woe betide all leaders who stock their money abroad to develop other people’s country while they live their people in penury. That is the corruption that is bad for our country. If we can invest the resources in this country, no matter the source, there will be no poverty in the country. I commend the wife of the vice president for the initiative.”

The anchor woman of the programme in the state, and wife of Imo governor, Mrs. Nkechi Okorocha said the wife of the Vice-president had done the state a great favour by training more than 800 indigenes of the state to acquire various skills, adding that the exercise was a direct complement to the Job, Job creation mantra of the Imo state government.

Mrs. Okorocha urged the beneficiaries to also transfer what they have learnt to others so that poverty will be eradicated in the state and the state would be better for it, thanking the wife of the President Aisha Buhari for the support and love she has continued to show the wives of the governors in the country.

The wife of the governor of Abia state, Mrs. Nkechi Ikpeazu and her Enugu state counterpart, Mrs. Monica Ugwuanyi attended the event.

MTN Appoints Awobodu First Nigerian Chief Financial Officer

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MTN

The appointment of Adekunle Awobodu has been announced as the new Chief Financial Officer (CFO) of MTN Nigeria. He is the first Nigerian to occupy that position, taking over from Ferdi Moolman, who became the CEO of the company in December 2015.
Announcing the appointment, Moolman said as Chief Financial Officer, Awobodu will serve as MTNN’s strategic Financial Business Partner and lead the organisation in facilitating decision-making through sound business insights and analysis that drives business improvement and performance.

Indeed, Awobodu is eminently qualified to do just that. With over 22 years, professional experience and international exposure in Finance, Awobodu holds a Bachelor’s Degree in Finance & Banking from the University of Lagos and a Master’s Degree in Finance from the University of Leicester. He holds several professional certifications such as ACCA UK; CIA (Certified Internal Auditor); CMA (Certified Management Accountant); CertIFR (ACCA’s Certificate in International Financial Reporting) and Associateship of the Chartered Institute of Bankers (ACIB).

Awobodu began his career in 1994 with Procter and Gamble (P&G) Nigeria Ltd. and held various positions – Group Manager, Financial Analysis & Treasury, Lagos; Group Manager, Plant Finance & Accounting, Ibadan and Financial/Senior Financial Analyst.

He then joined MTN Nigeria’s Finance Division in February 2002 as Fixed Assets Manager and rose through the ranks becoming the first Nigerian CFO of MTN Iran.

According to Moolman, “Awobodu’s appointment is indeed a strong reflection of the MTN talent management creed; Management’s commitment to it and the quality and abundance of talent in MTN Nigeria.”

Vodafone Plans Indian Stock Market Listing

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Vodafone

Vodafone is reportedly planning a stock market listing for its Indian subsidiary by the end of this year in a move that could raise around $2.5 billion for the company.

Citing people with knowledge of the plans, the Reuters news agency reports that the filing could be made as early as August, with the formal listing taking place within a few months after that.

That Vodafone would list shares locally is not unexpected as the company has long indicated that it would do so, but it has been held up by a number of factors, not least ongoing tax disputes.

India’s second-largest mobile operator after Bharti Airtel, has begun work on the prospectus that would include the Indian division’s financial results for the first half of the calendar year, the people told Reuters.

Sources, who declined to be identified as the information is not public, said that the exact timing of the IPO would depend on local stock market conditions.

Govt, Telecoms Top Targeted Sectors for Cyber Attacks

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In East Africa, governments are the top target sector for cyber attacks (33%). Telecommunications (22%) and financial services (17%) follow in close succession. Contrary to the perception that cyber breaches are a problem unique to the large multinational companies based in developed markets, East African organisations are fast becoming a target for attacks with local subsidiaries particularly attractive as the ‘cyber’ route into these multinationals.

According to Control Risks’ cyber threat intelligence team:
Attacks are increasing rapidly and in severity: Globally there has been a 42% increase in the number of targeted attacks reported between 2015 and Q1-Q2 2016

For East Africa, Advanced Persistent Threat and Criminal Targeted Attacks are the most impactful cyber attack techniques in 2016

In Kenya alone, the estimated costs for the country due to cyber crime costs sums up to 2 billion Kenyan shillings ($23m) +
The Kenyan Government has made great strides with the formation of Kenya National Computer Incident Response Team Coordination Centre (KE_CIRT/CC) launched in 2012 and the development of the national cyber security strategy in 2014, it is however key for the public and private sector organisations to interpret what the policies mean for them; essentially adopt a “paper to practice” model for their organisation

Patrick Matu, Compliance, Forensics and Cyber expert for East Africa comments:

“Despite a growing number of media headlines about US or EU based companies falling victim to a cyber breach, the lack of obligation in many emerging markets to report on incidents is creating a false illusion that businesses operating in these markets are not subject to cyber attacks. In fact many organisations with bases in these emerging markets are prime targets and seen as the ‘weak underbelly’ when it comes to an organisation’s cyber security.”

Matu continues:

“Cyber security still isn’t given enough priority by business leaders in the region as it’s often seen as an isolated IT problem and not a business issue. It’s important that cyber security is demystified at that senior level. Rather than being perceived as this elusive dark art, cyber security needs to be incorporated into the whole business and not left isolated with the IT team. As the world of cyber criminality continues to evolve, it’s important that businesses continually review their IT security measures.

This should include an on-going review of the cyber threat landscape to understand what kinds of threats your business might face and adjusting your security measures accordingly – not forgetting making sure all employees are aware of the potential threats and how to respond.”

Samsung: Corporate Citizens Could Make Impact on Africa’s Sustainable Development Goals

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Prepared to follow on from the Millennium Development Goals (MDGs), the 17 Sustainable Development Goals were unveiled with the aim of taking steps towards building a better world in the next 15 years.
This is no easy target. The UN has spent significant time analysing the successes and failings of the MDGs in order to apply the learnings to the SDGs. The MDGs did produce some good outcomes, such as contributing to decreasing the proportion of people living on less than $1.25 from 47% in 1990 to 14% in 2015.
However, it is also acknowledged that progress has been limited, with many being left behind.
According to reports, the SDG strategy will require an annual outlay of $2.5 trillion for it to be implemented successfully, which will need to come from private investment. It’s certainly something the private sector wants to get involved with in an effort to show support for sustainable development.
The SDGs hone in on growth as the main solution to poverty, but we are still in a position where most of the global GDP growth remains in the upper echelons of society, rather than having an impact on the poor. The amount of growth needed to truly end poverty would also have a significant impact on environmental issues such as climate change.
So this leaves the corporate sector, called on to make the investment needed to achieve these goals, in a tricky situation. Where do we invest to ensure we aren’t encouraging one area of growth at the expense of another?
Corporate investors play such a central role in the roll-out of the SDGs, and there’s a lot of work that needs to be done when it comes to our specific commitments and accountability mechanisms.
With this framework, Samsung’s aim is to make a positive contribution towards the SDGs by positively impacting the lives of people. The company continues to inspire the world and create the future through innovative technology that enriches people’s lives and contribute to social growth.
We see ourselves as an active participant in the global agenda to help promote positive change by using our global network of employees, suppliers and partners; which is why we have established solutions which help address the felt need of communities, particularly in education, health, skills and employability.
In 2015, we have established Digital Villages in various countries in Africa including Sudan, Democratic Republic of Congo, Gabon and Senegal to mention a few.
Designed in collaboration with African communities, the Digital Village concept comprises of mobile, solar-powered facilities including a connected admin centre, solar powered internet school, solar powered generator and solar power mobile health centre, which can be configured to serve as the high-tech hub of rural and underserved communities.
In addition to delivering desperately-needed services to communities, the Digital Village also delivers WiFi access and power to the broader community, often for the first time. This access sparks small business development and information-sharing, e-government service delivery and agricultural progress in areas that have been sidelined in the information age for too long.
It makes sense to get behind the SDGs because they are a mechanism to help end poverty and promote sustainability across the board. It may be Corporate Citizenship that kick starts the process, but it is essential that every individual is working towards a common goal.
There is no doubt that the SDGs will, in one way or another, shape the global agenda on economic, social and environmental development over the next 15 years. It is also true that global action is the best way to ensure accountability and inclusivity.
Ultimately the call is for everyone from government, to the private sector and civil society to play their part in creating a sustainable future.

IATA: Analysis of Brexit on Air Transport Industry

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IATA

The International Air Transport Association (IATA) released preliminary analysis of the financial and economic impact of the Brexit decision on the air transport industry.

“The Brexit vote has triggered much uncertainty—financial and otherwise. As leaders in the UK and the EU work to establish a new framework for their relationship, one certainty to guide them is the need and desire of people on both sides of that relationship to travel and trade.

Air transport plays a major role in making that possible. There were 117 million air passenger journeys between the UK and the EU in 2015. Air links facilitate business, support jobs and build prosperity. It is critical that whatever form the new UK-EU relationship takes, it must continue to ensure the common interests of safe, secure, efficient and sustainable air connectivity,” said Tony Tyler, IATA’s Director General and CEO.

The main points of the report are:

The UK has voted to leave the EU – the so-called ‘Brexit’ scenario. Considerable uncertainty remains regarding the precise detail of the exit and it could be 2 years or more before these issues are fully resolved; prolonged uncertainty will influence both the magnitude and persistence of the economic impacts.

Preliminary estimates suggest that the number of UK air passengers could be 3-5% lower by 2020, driven by the expected downturn in economic activity and the fall in the sterling exchange rate. The near-term impact on the UK air freight market is less certain, but freight will be affected by lower international trade in the longer term.

A big issue is with aviation regulation. The UK faces a trade-off between accessing the European Single Aviation Market and having the policy freedom to set its own regulations.

Nigerian Insurers Plan Strategic Rebranding

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Operators in the Nigerian insurance sector have taken a firm decision to rebrand the industry to showcase its unique importance to Nigerians, especially the younger generation who constitute the largest segment of the population presently.

The rebranding initiative was one of the key decisions taken at the Insurers Committee Meeting yesterday in Lagos.

Mrs. Ebere Nwachukwu, Managing Director/CEO, Zenith Insurance, who briefed the media after the meeting, said the aim of the rebranding initiative is to emphasise the benefits of insurance and change the mindset of Nigerians on the general insurance industry.

Nwachukwu added thathe second aspect will involve pushing insurance companies operating in the country to up the ante on service delivery to their insured with the aim of having fewer complaints from such clients going forward.

Towards that goal, the Insurers Committee has already appointed a specialist to advise it on the key components of the rebranding strategy while discussions are on-going on the implementation timeline.

Meanwhile, there indications that the risk-based supervision model recently proposed by the National Insurance Commission [NAICOM} could be operation by 2017.

The committee stated that the risk-based roadmap would be presented formally to operators in the industry at the next meeting of the Insurers Committee in July before final vetting towards implementation next year.

CIIN Laments Negative Impact of Forex Regime

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CIIN

The Chartered Insurance Institute of Nigeria [CIIN] says the prevailing forex regime of the Central Bank of Nigeria [CBN[ constitutes a stumblimg block to the realisation of its policies and programmes in the insurance sector. The Institute however hoped that the new flexible forex policy which took effect last Monday could improve the situation going forward.
Lady Isioma Chukwuma, President of CIIN, who reviewed her 11-month period in office as the 47th presiden of the Institute listed her 10 major achievements so far as:

· SUSTENANCE OF THE IDEALS OF THE INSURANCE INDUSTRY CONSULTATIVE COUNCIL (IICC), ESPECIALLY THE JOINT INDUSTRY MEGA CONFERENCE.

Following the inauguration of the IICC by the erstwhile Commissioner for Insurance, Mr. Fola Daniel, the IICC has been in the forefront of the campaign to reposition the Insurance Industry in Nigeria. The IICC has been able to foster relationships with relevant governmental Institutions and personalities by paying them scheduled courtesy visits in order to showcase the Insurance Industry as being united in its efforts to raise the GDP of Nigeria. The IICC has also been able to make necessary inputs into the National Budget for the past two years.

· REINFORCING THE HUGE POTENTIAL OF THE COLLEGE OF INSURANCE AND FINANCIAL MANAGEMENT.

Following the selfless efforts of my predecessors in ensuring setting in motion the effective take-off of academic activities in the College of Insurance and Financial Management, I can confirm to you that Academic activities have since commenced at the College following its official commissioning.
I am pleased to inform you that the Graduation Ceremony of the first set of Diploma Students of the College of Insurance and Financial Management (CIFM) was held on Friday 18th December, 2015 and the Induction Ceremony for the second set of Diploma Students was held on Tuesday 16th February, 2016.

· SITUATING THE CIIN ON THE GLOBAL STAGE
The Institute is especially committed to and is presently exploring every means possible at situating the CIIN brand on the global stage. We are presently fine-tuning our exemptions relationships with CII (UK). We have consolidated the existing off-shore examination centres of the Institute in Banjul, The Gambia and in Kigali, Rwanda and presently pursuing with vigor the extension of the frontiers of our professional examinations to the West African sub-region and other parts of sub-Saharan Africa.

· PROMOTING INSURANCE AWARENESS BY INCREASING THE VISIBILITY OF INSURANCE IN THE MEDIA.

The Institute recognises the role of the media in projecting its ideals and has continually engaged the media in propagating same. We have nurtured and sustained cordial relationships with major media houses by way of paying them courtesy visits and by inviting them to our programmes and events for effective coverage and subsequent reportage.

· FOLLOW-UP ON THE RECOGNITION OF CIIN CERTIFICATE BY THE HEAD OF SERVICE OF THE FEDERATION.
Discussions are at an advanced stage with the office of the Head of Service of the Federation for the gazetting of the Institute’s professional qualifications for employment purposes in the Civil Service. This process, when completed would become an added advantage to holders of the Institute’s certificate seeking employment into any government Institution across the various levels and tiers of government.

· FURTHER WORK ON ACHIEVING WIDER COVERAGE IN THE PRESENTATION AND DISTRIBUTION OF THE INSTITUTE’S SPONSORED INSURANCE TEXTBOOK FOR SENIOR SECONDARY SCHOOLS.

Following the publication, launching and presentation of Insurance Textbook for Secondary Schools to the State Ministries of Education in Lagos, Ogun, Edo, Ondo and Kwara States, the Institute in the past year has been able to donate copies of the book to all public Senior Secondary Schools in Rivers, Imo, Osun, Ekiti and Enugu States through their various Ministries of Education. In all, over three thousand copies of the book have been donated to further enhance the teaching and study of Insurance as a subject in Secondary Schools in Nigeria.

· RENEWED PURSUIT OF TRAINING FOR INSURANCE TEACHERS ON A NATIONAL LEVEL.

The Train-the-Trainer programme was designed for the upscaling of Insurance education and to ensure that insurance teachers possess the required skills for imparting the necessary knowledge to the future generation of insurance practitioners.
The programme was first carried out in Lagos and Ogun States and has since been replicated in other parts of the country. We are presently engaging some states we have visited to fashion out modalities to host the programme in such states.

· COMPLETION OF THE INSTITUTE’S EXAMINATIONS SYLLABUS REVIEW.
Considering the dynamic nature of the insurance profession and in order to continually benchmark the Examinations Syllabus with the most relevant Insurance professional bodies worldwide, the Institute is close to concluding a syllabus review to ensure that our professionals stand at par with their foreign contemporaries.

· COMMENCEMENT OF CONSTRUCTION WORKS ON THE INSTITUTE’S VICTORIA ISLAND PROPERTY.

The Institute has secured all relevant documents and government permits for the continuation of work at the site.
The preliminary activities have been concluded to secure the services of developers for a Build Operate and Transfer (BOT) arrangement. We are also exploring the possibility of entering a counterpart funding agreement to place the Institute in a prime position.

· PROMOTION OF CIIN MEMBERS’ BENEFITS

The Institute has over the past year focused on improving exiting members’ benefits.
Group Life Policy had been incepted for all Past Presidents and all elected Council Members. The policy provides a sum assured of five million naira (N5,000,000) per each life assured.
Similarly, The Institute had also instituted a group life policy for all financial professional members. The policy provides a sum assured of five hundred thousand naira (N500,000) for each life assured and the policy also covers two hundred and fifty thousand naira (N250,000) for permanent disablement arising from accident.

NSE Reports N1.86bn Surplus in 2015, Plan EGM

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NSE

The Nigerian Stock Exchange held its 55th Annual General Meeting (AGM] in Lagos yesterday where the Report of the National Council, Financial Statements of The Exchange as at 31 December 2015, and the Report of Auditors were presented to members.

At the AGM, the members agreed to NSE Council’s proposal to have an Extra-Ordinary General meeting on the demutualisation to allow for more consultation.

The suggestion was supported by Emeka Madubuike, President of Association of Stock Broking Houses of Nigeria and Mike Itegboje. The speakers further urged the Council and Management of NSE to fast track the demutulaisation process and pick a date for the EGM.

Speaking at the AGM, the President of Council of The NSE, Mr. Aigboje AigImoukhuede, noted that the Exchange weathered the impact of capital flight shocks experienced globally through effective fiscal discipline and tight budgetary controls.

“Although 2015 was characterised by recessionary pressures including a slump in crude oil price, uncertainty in Nigerian economic policies and significant local currency exchange rate pressures, our management and staff successfully delivered on a number of ambitious operational and strategic initiatives.”

“We recorded an operating surplus of N1.86 billion as a result of management diligence in managing the budget as well as strategic prioritisation and execution of key initiatives based on efficiency, scale and growth potential. Total assets of The NSE grew by over 10%, while net assets grew by 11%, year-on-year. By the end of year, the Exchange’s asset base exceeded N22.78 billion, with N19.29 billion in accumulated funds, providing us adequate financial flexibility to support strategy execution in key business areas for the road ahead,” he added.

According to the CEO of The NSE, Mr. Oscar N. Onyema, the Exchange illustrated its resilience during the year amidst prolonged economic uncertainty, diminishing commodity prices and volatile securities markets.

“Despite declines in our core income streams, alternative sources of income continued to play an important role in supporting the financial performance of our business. In 2015, revenue excluding transaction fees and listing income, grew by 15% contributing 40% to total revenue. The greatest drivers of this growth were revenues from our proactive investment strategy and income generated from our market services business.”

“Our balance sheet remains solid, with over N22.78 billion in assets, representing a 10% growth rate in 2015. Our liquidity metrics remain strong as well, with a current ratio 3.79 and a total liabilities -to- total assets factor of 15% as of December 31, 2015”, Onyema said.

At the AGM, Members of the Exchange re-elected to the National Council, Mr. Aigboje AigImoukhuede, as the President; Engr. Muhammad Daggash; Mr. Oluwole Abegunde (Representing Meristem Securities Limited); Mr. Oladipo Aina (Representing Signet Investment & Securities Limited) as members of the National Council.

About NSE
The Nigerian Stock Exchange services the largest economy in Africa, and is championing the development of Africa’s financial markets.

The Exchange offers listing and trading services, licensing services, market data solutions, ancillary technology services, and more. The Nigerian Stock Exchange continues to evolve to meet the needs of its valued customers, and to achieve the highest level of competitiveness.

It is an open, professional and vibrant exchange, and the Entrepreneurial Growth hub of Africa. The Nigerian Stock Exchange aspires to be Africa’s foremost securities exchange, connecting Nigeria, Africa and the world.

Interswitch Sponsored Entrepreneurs Graduate from Technology School

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Interswitch new logo

Interswitch, the Leading Integrated Digital Payments and Commerce Company focused on Africa, is pleased to announce the graduation of the first batch of its sponsored Nigerian Entrepreneurs from the Meltwater Entrepreneurial School of Technology (MEST) Training Programme, in Accra, Ghana.

Out of the 19 Nigerian Entrepreneurs In Training (EIT) sponsored by Interswitch to the MEST programme, 10 of the EITs graduated on the Saturday, 18 June 2016, to an audience of friends and family, as well as the Chairman of Interswitch, Mr. Dotun Sulaiman, and the company’s Founder and Group Managing Director, Mitchell Elegbe.

Interswitch and MEST launched this partnership in 2014, to support aspiring young Nigerians, by equipping them with the skills they need to launch successful businesses across Africa. The Entrepreneurs in Training scheme gives young Africans the chance to be the African business leaders of the future.

Speaking at the graduation ceremony, Mitchell Elegbe, Founder and GMD of Interswitch, said:
“At Interswitch, we are very passionate and committed to growing the Tech Ecosystem in Africa. Investing in people with exceptional ideas that can grow into something really impactful and solve problems in Africa is essential to us. Africa is changing rapidly, and it is vitally important that our young people have the opportunity to not only fulfil their own potential, but to go on and change the way we live our lives.”

Interswitch will like to offer our warmest congratulations to the graduates and wish them the very best in their endeavours.

NEXIM, CBN Unveil N550bn Non-Oil Export Growth Schemes

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L – R: Mr Bashir M. Wali, Acting MD/CEO, NEXIM Bank; Mr. George Enyiekpon, Director, Export Development and Incentives, NEPC; Mrs Udoo Fateh, CBN; Mr. Musi A. Braimoh, MAN Export Group.
L – R: Mr Bashir M. Wali, Acting MD/CEO, NEXIM Bank; Mr. George Enyiekpon, Director, Export Development and Incentives, NEPC; Mrs Udoo Fateh, CBN; Mr. Musi A. Braimoh, MAN Export Group.

The Nigerian Export-Import Bank [NEXIM] and Central Bank of Nigeria [CBN] have jointly unveiled N550bn non-oil export stimulation schemes to reposition the non-oil export sector in Nigeria.

The schemes are the N500 billion Export Stimulation Facility & N50 billion enhancement on the Rediscounting & Refinancing Facility.

Mr. Bashir Wali, Acting Managing Director/CEO, Nigerian Export-Import Bank [NEXIM] said at a stakeholders’ engagement session on the schemes in Lagos that the objective is to improve export financing in the country, fast-track sustainable economic growth and development, create jobs in the economy and more importantly, support the diversification policy of the Federal Government.

“Over the past few months, the Nigerian Export-Import Bank has been working with the Central Bank of Nigeria to review existing policies and strategies towards increasing funding support and stimulating additional investments in the non-oil export sector. During the course of this review, we have also met with various stakeholders, including Exporters, Commodity Associations, Bankers, the Organised Private Sector and other relevant government agencies to obtain strategic inputs and share perspectives towards achieving our common objective of diversifying the Nigerian economy as well as improving and broadening the contribution of the non-oil export sector to our national development.”

Wali said with the release of the guidelines and commencement of the schemes, Nigerian exporters and export-oriented businesses will now seize the opportunity to expand and upscale their operations towards boosting the current low contribution of non-oil exports, which has remained at about 5% over the years.”

“Let me also add that besides the issues of availability and access to funds, we have also intensified our collaborations and engagements with relevant institutions and stakeholders towards addressing other challenges affecting the export sector such as the problems of infrastructure, issues of packaging and labelling as well as improving access to market.”

The NEXIM CEO said the main purpose of the stakeholders’ session is to create a forum for discussion of the implementation modalities, the role of all participants and the expected outcomes from the successful implementation of these schemes.

“I therefore wish to solicit your active participation and contributions as we present a further breakdown of the operating guidelines.”

He commended the management of CBN for providing the developmental funding schemes and for timely release of the operating guidelines.

Ecobank Unveils $48.2m Dividend for Shareholders

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EcoBank

Pan African bank, Ecobank announced in a statement after its Annual General Meeting [AGM] that it will pay out a dividend of $48.2 million to its shareholders for 2015. The statement revealed that this “dividend follows two years during which ETI did not declare a dividend.”

The general meeting also approved the bank’s accounts for 2015 and a net profit of $60.77 million.

During the meeting which was held in Lome, in Togo, shareholders provided Danial Matjila (representative of the Public Investment Corporation near the Board of Directors) a new three-year term and approved the co-optation of Mr. Abdulla Al Khalifa (representative of Qatar National Bank, Ade Ayeyemi, CEO Ecobank, and Mfundo Nkuhlu, representative of Nedbank Group Limited, as Board members.

Ignace Clomegah and Catherine Ngahu were also elected Board members.

Moreover, at the extraordinary general meeting held alongside the annual general meeting, the decision to increase the nominal value of the firm’s ordinary shares by $2.5 cent per share to 50 cent was approved.

This will be done through the consolidation of 20 ordinary shares into a new ordinary share and through the issuing of new ordinary shares, valued at 50 cent each.

GE, Bresson Plan 500MW Power Project in Nigeria

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General Electric will support Bresson AS in providing Nigeria a 500 MW power plant. Announcing the news, Mohammed Mijindadi, Managing Director of Gaspower Systems, an arm of General Electric (GE), said: “the project has tremendous economic value, and that is why GE Capital is involved in structuring finances for Bresson 500 MW project”
GE will determine the combination of net financial and bank loans and equity needed for Bresson to develop its plant.
The developer plans to add 500 MW to the national grid in order to deal with the power crisis which the country currently faces. This represents 10% of the country’s actual available capacity. It will be provided by the Magboro plant (in the Ogun state), among others, and should be available in the second quarter of 2017.
Gbenga Olawepo-Hashim, Chairman of Bresson Nigeria, commended the federal government to remove the different barriers that delay administrative procedures, such as the signing of power purchase agreement.

-Gwladys Johnson

MTN Group Appoints Rob Shuter New CEO

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MTN

Rob Shuter is MTN’s new CEO. This was revealed by the South African firm in a press release published on June 20, 2016.
Still in contract with British firm, Vodafone (as CEO), Mr. Shuter will officially take office in July 2017. He will be replacing Sifiso Dabengwa who left in November 2015, after MTN Nigeria was fined $5.2 billion in Nigeria.
In its statement, MTN explained its choice by highlighting Shuter’s experience in the telecom industry. The new CEO has indeed held significant positions within Vodacom Group before joining Vodafone. “Rob will bring experience and new insights to the CEO role having had many years in the telecoms sector, both in Africa and Europe (…) His expertise will help as MTN continues to develop its new business strategy,” said MTN in its statement.
With Rob Shuter’s appointment, Phuthuma Nhleko’s mission as interim CEO comes to an end, though he will not be leaving immediately. Nhleko, prior to Dabengwa leaving, was the non-executive chief of MTN Group.
He was appointed to replace Dabengwa for six months at the head of the telecom group. Given the experience he gained as he held that position from 2002 to 2011, his task was to end the dispute with Nigeria and appoint a new CEO. That is done.
The $3.9 billion fine imposed MTN Nigeria was reduced to $1.7 billion payable over three years.