₦airaland Forum

These days, I hear people say that president Jonathan has done “nothing” to fight corruption in Nigeria.

When I hear this, 2 things come to my mind. It’s either…
They don’t know the truth or…
They are lying
...
For Nigeria to “beat” 8 countries to become the 136th most transparent country in the world is not accident. It happened for a reason.

Below are 7 things the Nigerian President did to reduce corruption…

1. 40 Years Of Corruption In The Agricultural Sector Ended Within 90 Days

Before President Jonathan (and his team) came on board, this was how fertilizers and seeds were distributed to government (and farmers)…

- Fertilizer and seed suppliers will collect money from the government

- Some bagged and supplied sands; others supplied under sized bags. Seed suppliers bought grains from the market and supply as seedlings.

As a result, their supplies were useless. They collected government money and supplied fake products.

To make matters worse, distribution was another problem.

If the government gives distributors fertilizers and seeds to share to farmers for free, they’ll sell it.

So how did President Jonathan solve the problem?

Common phone. Yes! COMMON PHONE.

The federal government distributed e-wallet installed phones to farmers.

And how did these phones do the magic? Simple! Instead of getting supplies from the suppliers, the federal government pays the money directly into the farmers’ phone. The farmers buy the fertilizers themselves – after all, they know the original and fake fertilizers better – It’s their line of business.

The Result?

N50 billion Naira has been blocked from fertilizer money thieves.

Also, local farmers started producing in full capacity. As a result, Nigeria has saved more than N700 billion on food import.

Sources:
Punch - Phones Stop Corruption In Fertilizer Sector
The Nigerian Voice - President Jonathan Ended 40 Years Of Corruption In Agric Sector
The Sun - Nigeria Loses N776bn To Corruption In Fertilizer Sector

2. President Jonathan Organized The Freest, Fairest And Most Peaceful And Credible Elections EVER

“Electoral corruption is the mother of all corruptions”
– President GoodLuck Jonathan

When President Jonathan was sworn in as the acting president in 2010, he vowed to fight electoral corruption to a stand-still.

How did he go about it?

- He enacted electoral laws and guidelines that were beyond manipulation

- He created an electoral system that is manned by qualified, competent and efficient personnel

- He conducted free, fair and credible elections

The Result?

Governorship elections were acclaimed by both local and international observers and free, fair and credible in…

- Edo state
- Ondo state
- Anambra state
- Ekiti state
- Osun state

In these 5 elections, only 1 was won by the president’s party (A.k.a the ruling party), the PDP. The major opposition the APC won in 2 states and 2 other parties APGA and LP won the other 2.

As a result, the confidence of most Nigerians in the electoral process has increased dramatically.

No wonder more Nigerians are now interested in getting the permanent voters card.

Sources:
Today's Zaman - New Nigerian Leader Jonathan Sworn In, Pledges Electoral Reform
Point Blank News - President Goodluck Jonathan’s Administration’s War On Corruption
Vanguard - Gains of electoral reforms

3. 60,000 “GHOST” Workers Exposed

Between 2007 – 2010, the federal government built a new system for paying salaries, the IPPIS system.

In 2012, President Jonathan (and his team) took it a step further. They used it to expose “ghost” workers.

By October 2014, they’ve discovered over 60,000.

For years, these fake workers has been collectively carting away N160 billion every year.

Impressively, the case has been transferred to ICPC for further investigation and prosecution.

Sources:
Leadership - FG Uncovers 60,000 Ghost Workers

4. N1.4 Trillion Worth Of Public Sector Theft Blocked Through Import-Waiver Reforms

What’s import waiver? Simple!

It’s the tax (A.k.a import duty) that the government removes on economic boosting goods – goods that boost the economy. Eg. Raw materials, machinery and spare parts.

Before Jonathan (and his team) came in, corrupt public officers heavily abused this system. They gave and received waivers on unapproved goods. Between 2011 – 2013, over N1.4 Trillion was lost.

As a result, the importers whom the waiver was meant for hardly got it.

With the Jonathan reform in the sector, loopholes have been blocked.

Sources:
New Telegraph - Okonjo-Iweala: We Have Reformed Import Waiver System
Punch - Import Waivers Granted By Past Govts Lopsided –Okonjo-Iweala
Nigeria Intel - Reforming the import waiver regime

5. Stealing Money Through Government Contract Is Now Harder Than Ever

In 2007, the federal government made a law that made it difficult for government contractors to steal money. It is called the public procurement act.

As a result, they’ve (between 2009 – 2013) blocked N558 billion from getting to contract thieves.

They even went as far as fishing out 180 contract stealing companies. The case has been forwarded to the anti-corruption agencies.

Sources:
Premium Times - Nigerian Govt. Urges States To Replicate Procurement Laws

6. Ongoing Sanitization Of The Oil And Gas Sector Already Yielding Results

When President Jonathan came on board, he primarily focused on fighting corruption in 3 key areas…

- Electoral corruption
- Fertilizer distribution corruption
- Corruption in the oil and gas

So far, war on “electoral corruption” and “fertilizer distribution corruption” has recorded tremendous success.

But the oil and gas has been the hardest. Nevertheless, this is what he has achieved so far…

He exposed the biggest scam ever in Nigeria’s history.

In 2011, he told us (Nigerians) that there was huge corruption going on in the fuel subsidy sub-sector. So, he took the subsidy money and put it in places where it will yield more dividend.

Well, nobody understood him. So in January 2012, we all went on strike.

To prove his point, a probe panel was set up. What did they discover? USD6.8 Billion (N108.8 Billion) has been stolen in just 3 years.

Let’s put things in perspective. What really is subsidy?

If a cup (Aka. De Rica) of garri is N300 and I pay N100 for you, then I’ve subsidized the garri – that’s garri subsidy.

What is subsidy scam?

If the garri seller sells 1 cup of garri to you and then lie to me that he sold 10 cups, that’s subsidy scam.

The Result?

The subsidy money was used to create the sure-p programme. Below are the achievements so far…

- Used to support road construction.

As a result, 17,000km out of the 23,000 km of bad federal road completed. It’s just remaining 7,000 km and the entire federal road in Nigeria will become good.

- Support for maternal health

600 health centers (mostly in rural communities) already built – and equipped. 700 still under construction.

Consequentially, maternal death has been reduced by 60%. Half a million women now give birth under the care of trained midwives.

- Increased water access - Over 620 boreholes built nationwide.

- Supported the fight against unemployment

Sure-p has been helping in the struggle to get jobs for the 22 million unemployed Nigerian youths…

It’s been working with (and paying) 2,000 youths across the country.

3,000 graduates has gotten jobs under the “graduate internship scheme (GIS)”

5,075 youths undergoing vocational training.

Furthermore…

He created and sponsored the most controversial bill in Nigeria’s history, the “Petroleum Industrial Bill (BIB)”

In 2008, the federal government created and sent the petroleum industrial bill (PIB) to the national assembly.

It is a bill that will block all the corruption loopholes – and solve every other problem – in the petroleum industry.

What happened to it? It was vehemently rejected. On 18th July 2012, President Jonathan resent the bill.

But up till now, legislation on the bill has not gone half way.

In May 2015(barely 4 months from now), this current national assembly will be dissolved. A new one will be set up and everybody will go back to square one.

Hmm… You never knew corruption could fight back? Now you do.

As if that is not enough…

He has commissioned – and never stood on the way of any – probe in almost every sector of the industry…

- Aig- Imoukhuede Presidential committee on verification and reconciliation of subsidy claims and payments

- Petroleum Revenue Special Task Force Committee

- The Dotun Suleiman committee

- The Kalu Idika Kalu committee

- The 20 Billion Naira Scam probe

- Etcetera…

Sources:
Nigerian Live TV - INCREDIBLE! Mr President and I are fighting corruption in the oil sector – Petroleum Minister Diezani Alison-Madueke
Vanguard - Jonathan Insists On Fuel Subsidy Removal
One.org - FAQ: The Fuel Subsidy Protests In Nigeria
Nigeria Politico - Fuel Subsidy $6.8 Billion Scam: Nigeria’s Biggest Corruption Scandal Ever
The News - Appraising The Gains Of SURE-P
African Arguments - Nigeria: Any Chance Of Progress On The Petroleum Industry Bill?
Mondaq - Nigeria: An Overview Of The Petroleum Industry Bill, 2012
Point Blank News - President Goodluck Jonathan’s Administration’s War On Corruption

7. EFCC Has Prosecuted 427 Cases In 3 Years

The Jonathan led federal government strengthened the EFCC and allowed them do their job. As a result, 427 cases were prosecuted between 2012 – 2014.

The Result?

Fraud in Nigeria reduced from N495 billion to N300 billion. Hence, EFCC saved the country N195 billion.

Sadly, most of the successfully concluded cases are…

- Advanced fee frauds
- Internet frauds
- Commercial cases

Cases involving top government officials have dragged on for years.

The EFCC has blamed this on the Judiciary. These officers (and politicians) frustrate the process. They manipulate the judiciary with the wealth and influence they’ve acquired.

Unfortunately, the federal government (A.k.a the executive) has very limited power over the judiciary (the 3rd arm of government).

Despite that, President Jonathan has continued to use “advocacy” to push for the sanitization of the judiciary.

When he finally succeeds, then every Nigerian – including the very high and mighty – will become truly subject to the law, irrespective of who is president.

Sources:
Vanguard - Why EFCC Can’t Convict Big Thieves – Lamorde
Daily Trust - EFCC Records 110 Convictions This Year

In Conclusion

President Jonathan’s approach to fighting corruption looks radically different.

He has focused on strengthening institutions and blocking loopholes in the system. Where possible, he used technology.

Funny enough, this is how Denmark, New Zealand and Finland (the 3 most transparent countries in the world) rooted out corruption from their country.

Please share this article on Facebook and Re-Tweet. Your action may just open the eyes of one more Nigerian.

CREDIT: http://exploreanthonyobuegbe..com/2015/01/7-little-known-ways-president-jonathan.html

Africa’s growth is being powered by things other than commodities



Jan 10th 2015 | From the print edition (The Economist Magazine)



FOR decades commodity prices have shaped Africa’s economic growth. The continent is home to a third of the planet’s mineral reserves, a tenth of the oil and it produces two-thirds of the diamonds. Little wonder then that, as a rule, when prices for natural resources and export crops have been high, growth has been good; when they have dipped, so has the continent’s economy (see chart 1).



Over the past decade Africa was among the world’s fastest-growing continents—its average annual rate was more than 5%—buoyed in part by improved governance and economic reforms. Commodity prices were also high. In previous cycles African economies have crashed when the prices of minerals, oil and other commodities have fallen. In 1998-99, during an oil-price fall, Nigeria’s naira lost 80% of its value. African currencies again took a beating during a period of turmoil in commodity markets in 2009.



Since last year the price of oil has fallen by half and many metals such as copper and iron ore have also dropped sharply. With commodity prices plunging, will the usual pattern repeat itself?



In some economies large drops in commodity prices have led to currency falls. At least ten African currencies dropped by more than 10% in 2014. But there have been few catastrophic depreciations. This suggests that investors do not see lower commodity prices as a kiss of death. Ghana’s currency, the cedi, was the continent’s worst-performing currency in 2014, having lost 26% against the dollar. But it tumbled not because investors fret about the impact of lower commodity prices. In fact, Ghana is by African standards not especially commodity-dependent (see map). Rather, it has in recent years run a lax fiscal policy. In 2013 its budget deficit hit 10% of GDP.



The mall, not the mine

One reason currencies have been robust may be because economic growth is starting to come from other places. Manufacturing output in the continent is expanding as quickly as the rest of the economy. Growth is even faster in services, which expanded at an average rate of 2.6% per person across Africa between 1996 and 2011. Tourism, in particular, has boomed: the number of foreign visitors doubled and receipts tripled between 2000 and 2012. Many countries, including Ethiopia, Ghana, Kenya, Mozambique and Nigeria, have recently revised their estimates of GDP to account for their growing non-resource sectors.



Despite falling commodity prices, the outlook also seems favourable. Wonks at the World Bank reckon that Sub-Saharan Africa’s economy will expand by about 5% this year. Telecommunications, transportation and finance are all expected to spur economic growth.



What explains Africa’s increasing economic diversification? A big pickup in investment helps. That has arisen partly because governments have worked hard to make life better for investors. The World Bank’s annual “Doing Business” report revealed that in 2013/14 sub-Saharan Africa did more to improve regulation than any other region. Mauritius is 28th on the bank’s list of the easiest places to do business. Rwanda, which 20 years ago suffered a terrible genocide, is now deemed friendlier to investors than Italy.



After two decades of poor performance, Africa’s total investment as a percentage of GDP increased after 2000. Foreign direct investment (FDI) into Africa rose by 5% in 2012 and 10% in 2013, despite global stagnation.



Ten years ago almost all FDI went to resource-rich African economies; resource-poor economies received very little (see chart 2). Resource-rich countries still receive more FDI in absolute terms; but resource-poor economies outpace them when investment is measured as a share of GDP. Foreign investors from other African countries are especially keen on non-commodity industries: nearly a third of their investments are in financial services.



The most resource-intensive economies are working hard to diversify. For the past three years growth in Nigeria, Africa’s biggest economy, has exceeded 5%. You might think its growth is being powered by oil exports. Nigeria has Africa’s second-largest reserves, it is the fifth-largest exporter and, according to the IMF, oil accounts for 95% of all exports. But in recent years the Nigerian oil industry has stagnated. Growth has instead come from things like mobile phones, construction and banks. Services now represent 60% of GDP.



Angola is similar. It is Africa’s second-largest oil producer and the stuff makes up the vast majority of exports. But its 5.1% expansion in 2013 came mainly from things such as manufacturing and construction. In 2013 fishing expanded by 10%, and agriculture by 9%. About a third of government revenue now comes from non-oil sources, compared with almost nothing a decade ago, economists at Standard Bank reckon.



In Botswana the percentage of GDP made up by the mining and quarrying of goodies like diamonds, gold and copper has fallen from 46% in 2006 to 35% in 2011, according to the “African Economic Outlook”. Other countries that are successfully diversifying are Rwanda—which has thriving banks and business-services firms—and Zambia, which although still copper-dependent has posted growth of 12% a year in financial services. Congo-Brazzaville, where oil makes up 80% of exports, is seeing rapid growth in construction and transport. That may be further fuelled by the All-Africa Games, which are to be held this year in the capital, Brazzaville.



Better fiscal policy also plays an important role. Commodity markets are volatile; government spending smooths out the booms and busts. Until a few years ago, nearly all African economies spent freely when their economies were hot, only to rein in spending when things cooled down. That is the opposite of what most economists would advise a finance minister to do. But in recent years, according to a report from the World Bank published on January 7th, fiscal policies in many African countries have become more sensible. These days a fair number of African economies save money during the good times, in order to spend it in the bad ones.



There is still a long way to go. Africa is still the continent most dependent on commodity exports. Countries such as Tanzania and Nigeria want to develop giant gasfields which, while boosting the economy in the short term, could tie them more closely to commodity cycles. Some worry that investment in infrastructure will fall as mining companies retrench.



Even so, there is reason to think the “resource curse” is losing its power. Despite turmoil in commodity markets, Africa is still one of the world’s fastest-growing regions. With better education systems, investment in infrastructure and sensible regulatory reforms, the continent could completely break the spell that has held it back so often in the past.



From the print edition: Middle East and Africa.



CREDIT: The Economist Magazine

http://www.economist.com/news/middle-east-and-africa/21638141-africas-growth-being-powered-things-other-commodities-twilight?zid=304&ah=e5690753dc78ce91909083042ad12e30

​

The murders today in Paris are not a result of France’s failure to assimilate two generations of Muslim immigrants from its former colonies. They’re not about French military action against the Islamic State in the Middle East, or the American invasion of Iraq before that. They’re not part of some general wave of nihilistic violence in the economically depressed, socially atomized, morally hollow West—the Paris version of Newtown or Oslo. Least of all should they be “understood” as reactions to disrespect for religion on the part of irresponsible cartoonists.

They are only the latest blows delivered by an ideology that has sought to achieve power through terror for decades. It’s the same ideology that sent Salman Rushdie into hiding for a decade under a death sentence for writing a novel, then killed his Japanese translator and tried to kill his Italian translator and Norwegian publisher. The ideology that murdered three thousand people in the U.S. on September 11, 2001. The one that butchered Theo van Gogh in the streets of Amsterdam, in 2004, for making a film. The one that has brought mass rape and slaughter to the cities and deserts of Syria and Iraq. That massacred a hundred and thirty-two children and thirteen adults in a school in Peshawar last month. That regularly kills so many Nigerians, especially young ones, that hardly anyone pays attention.

Because the ideology is the product of a major world religion, a lot of painstaking pretzel logic goes into trying to explain what the violence does, or doesn’t, have to do with Islam. Some well-meaning people tiptoe around the Islamic connection, claiming that the carnage has nothing to do with faith, or that Islam is a religion of peace, or that, at most, the violence represents a “distortion” of a great religion. (After suicide bombings in Baghdad, I grew used to hearing Iraqis say, “No Muslim would do this.”) Others want to lay the blame entirely on the theological content of Islam, as if other religions are more inherently peaceful—a notion belied by history as well as scripture.

A religion is not just a set of texts but the living beliefs and practices of its adherents. Islam today includes a substantial minority of believers who countenance, if they don’t actually carry out, a degree of violence in the application of their convictions that is currently unique. Charlie Hebdo had been nondenominational in its satire, sticking its finger into the sensitivities of Jews and Christians, too—but only Muslims responded with threats and acts of terrorism. For some believers, the violence serves a will to absolute power in the name of God, which is a form of totalitarianism called Islamism—politics as religion, religion as politics. “Allahu Akbar!” the killers shouted in the street outside Charlie Hebdo. They, at any rate, know what they’re about.

These thoughts don’t offer a guide to mitigating the astonishing surge in Islamist killing around the world. Rage and condemnation don’t do the job, nor is it helpful to alienate the millions of Muslims who dislike what’s being done in the name of their religion. Many of them immediately condemned the attack on Charlie Hebdo, in tones of anguish particular to those whose deepest beliefs have been tainted. The answer always has to be careful, thoughtful, and tailored to particular circumstances. In France, it will need to include a renewed debate about how the republic can prevent more of its young Muslim citizens from giving up their minds to a murderous ideology—how more of them might come to consider Mustapha Ourrad, a Charlie Hebdo copy editor of Algerian descent who was among the victims, a hero. In other places, the responses have to be different, with higher levels of counter-violence.

But the murders in Paris were so specific and so brazen as to make their meaning quite clear. The cartoonists died for an idea. The killers are soldiers in a war against freedom of thought and speech, against tolerance, pluralism, and the right to offend—against everything decent in a democratic society. So we must all try to be Charlie, not just today but every day.

http://www.newyorker.com/news/news-desk/blame-for-charlie-hebdo-murders

Dele Sobowale's piece is nothing more than an angry vituperation. That's all. Dr Ngozi Okonjo-Iweala is not responsible for the fall in oil prices and its attendant effects; it is a global problem. Rather than launch unwarranted attacks against the minister, we should commend her for having the foresight to predict this and advocating for measures to cushion the effect long before it happened. Sobowale's argument is wrong.

Over the past few days, I have read and listened to various discussions about the state of the Nigerian economy, and it is disheartening to see some supposed opinion leaders feeding the public with half-truths or blatant lies all in a bid to achieve their sinister objectives. One would expect an issue as crucial as this to be taken with all seriousness rather than being used as an opportunity to score political points while launching ill-advised missiles at well-meaning public servants.

Like King Solomon said in the Holy Writ, sensible people foresee trouble and hide from it, but gullible people go ahead and suffer the consequence. This aptly describes what we are experiencing in Nigeria today. Like a sentinel watching over the economic affairs of our nation, the finance minister has repeatedly warned of an impending shock. This apostle of prudence, who set up the Excess Crude Account to build up savings for the nation, has continued to caution the political class against profligacy while advocating for healthy savings.

These moves by the finance minister, in addition to her consistent calls for cutting down recurrent expenditure and setting lower budget benchmark in light of global economic realities, have met with stiff resistance from our lawmakers at the national assembly and our all-powerful state governors. Is it not therefore surprising that some folks would say she didn’t sound the alarm early enough when she has been drawing attention to these realities for more than three years now? Shouldn’t we rather question the governors and legislators who have depleted our reserves by constantly laying heavy demands on our oil earnings to fund their profligacy?

While commenting on the issue in April 2012, the minister noted that fiscal federalism has made it difficult for the country to save. “It is difficult getting governors to agree to $1bn savings for the SWF. We had the state governors saying they can only allow $1bn. Now they say it is illegal and the country is not able to save. In the excess crude account today we have left only about $3.6bn. Should the oil price drop today we have no cushion because $3.6bn for this economy is not enough to take us to any length of time,” she said.

Rather than criticising madam Okonjo-Iweala for everything that goes wrong, we should commend her for working hard to stabilise the economy. She has continued to defend the interests of the average Nigerian in spite of stiff opposition from those who would rather squander our commonwealth on self-aggrandisement. Even in this difficult period, she has advanced measures to protect the poor through the retention of critical infrastructure projects and building of social safety nets. Another commendable move is the planned luxury tax on private jets, champagne and other luxury goods such that the rich would also bear the brunt of the economic downturn.

When one objectively examines the measures that the minister has announced for managing the impact of declining oil prices, one cannot but appreciate her diligent efforts to help the nation cushion the shock. Having helped other countries such as Malaysia which have gone through similar challenges, she has brought her experience to bear to ensure that Nigeria has a robust strategy to confront the situation. As a technocrat, the minister of finance has not ceased to condemn profligacy and wasteful spending by politicians. We ought to team up with her in this fight rather than lending unwitting support to political figures who want to destroy confidence in the economy to help pave way for their selfish ambitions especially as we approach 2015 elections.

Olusola Daniel is a political observer and advocate for community development. He writes from Lagos, Nigeria.

http://dailypost.ng/2014/12/05/olusola-daniel-politicization-declining-oil-prices/

Millionaires in Nigeria, Kenya and Angola will more than double by 2030, boosting the prospects for private banking in Africa, according to research firm New World Wealth. Millionaires in Nigeria, Africa’s biggest oil producer, will rise 174% to 43,000 from 15,700 this year, the UK-based company said, after using a sample of high-net-worth individuals and World Bank data to compile a report.

The continent’s richest man, Aliko Dangote, hails from Nigeria and is reported to be worth more than $22bn. South Africa will retain the highest number on the continent with a 78% increase to 86,700.

The country has grown its previously disadvantaged dollar millionaires to 7,800 last year from 4,300 in 2007 — although the rand has fallen about 25% to the dollar over this period.

This means about 16% of South Africa’s millionaires are black, Indian, coloured or Chinese, according to the research. Whites still dominate the list with 36,500 white males and 4,400 white females.

The names topping the list of the wealthiest black South Africans come as no surprise.

Patrice Motsepe of African Rainbow Minerals is ranked first with $2.6bn in wealth made from, among other things, mining interests. He is followed by Cyril Ramaphosa of Shanduka Group with $550m and Tokyo Sexwale of Mvelaphanda Group in third place with $200m. Both men have been major beneficiaries of black economic empowerment deals.

Exxaro Resources CEO Sipho Nkosi, who also owns a stake in Sanlam, makes fourth place on the list with $163m. Chairman and former CEO of MTN Phuthuma Nhleko ranks fifth with $142m.

"We expect Nigeria, Ghana, Kenya will be the main drivers of wealth management growth in Africa," Andrew Amoils, a Johannesburg-based analyst at New World Wealth, said. "They all already have relatively well developed banking sectors so private banking is a logical next step."

Barclays and HSBC Holdings are among the banks seeking to attract rich African clients as the expansion of industries from commodities to telecommunications creates more millionaires.

UBS, the world’s biggest wealth manager, is targeting individuals in Nigeria and Angola and sees potential in Ghana, Kenya, Ethiopia, Uganda and Botswana, Sean Bennett, the bank’s Johannesburg-based MD in sub-Saharan Africa, said last month.

Nigeria will leapfrog Egypt into second place behind South Africa, with Kenya in fourth place, in New World Wealth’s projected 2030 ranking of African countries by dollar millionaires.

Millionaires in Ghana will triple by 2030 with an advance of 144% in Angola, the report said. The number of high-net-worth individuals in Ethiopia, which grew the fastest over the past six years, will almost triple to 7,900 by 2030 amid a privatisation programme, said Mr Amoils.

Barclays’s African unit and Citigroup said in August that they saw opportunities managing wealth for Africans.

HSBC expects "selective growth" in Africa, primarily in South Africa, Nigeria and Kenya, an official at the lender said last month.

The number of Africans with at least $1m of investable assets climbed 9,9% to 140,000 last year, according to a report published in June by Cap Gemini and Royal Bank of Canada.

That was the fastest rate of increase outside North America as the economies of countries such as Nigeria and Ghana grew at more than 5% last year. The development of the continent’s wealth management market has some way to go.

The UK had 465,000 millionaires with 282,000 in Switzerland, according to Cap Gemini and Royal Bank of Canada.

Nigeria has a "pretty diverse spread of millionaires" with transport, finance, real estate, basic materials and telecommunications also driving the economy, Mr Amoils said yesterday.

High-net-worth individuals are accumulating fastest in Côte d’Ivoire, where millionaires are expected to more than triple to 7,200 by 2030 as cocoa and oil production boost the economy, according to New World Wealth.

Copper, agriculture exports and tourism will help triple millionaires to 2,700 in Zambia, where some rich farmers have relocated from neighbouring Zimbabwe, the firm said.

New World Wealth based some findings on research by Credit Suisse and Trading Economics.

Bloomberg

http://www.eftngr.com/opal/news/1-latest-news/3291-number-of-millionaires-in-nigeria-to-rise-174-to-43000-this-year

Millionaires in Nigeria, Kenya and Angola will more than double by 2030, boosting the prospects for private banking in Africa, according to research firm New World Wealth. Millionaires in Nigeria, Africa’s biggest oil producer, will rise 174% to 43,000 from 15,700 this year, the UK-based company said, after using a sample of high-net-worth individuals and World Bank data to compile a report.

The continent’s richest man, Aliko Dangote, hails from Nigeria and is reported to be worth more than $22bn. South Africa will retain the highest number on the continent with a 78% increase to 86,700.

The country has grown its previously disadvantaged dollar millionaires to 7,800 last year from 4,300 in 2007 — although the rand has fallen about 25% to the dollar over this period.

This means about 16% of South Africa’s millionaires are black, Indian, coloured or Chinese, according to the research. Whites still dominate the list with 36,500 white males and 4,400 white females.

The names topping the list of the wealthiest black South Africans come as no surprise.

Patrice Motsepe of African Rainbow Minerals is ranked first with $2.6bn in wealth made from, among other things, mining interests. He is followed by Cyril Ramaphosa of Shanduka Group with $550m and Tokyo Sexwale of Mvelaphanda Group in third place with $200m. Both men have been major beneficiaries of black economic empowerment deals.

Exxaro Resources CEO Sipho Nkosi, who also owns a stake in Sanlam, makes fourth place on the list with $163m. Chairman and former CEO of MTN Phuthuma Nhleko ranks fifth with $142m.

"We expect Nigeria, Ghana, Kenya will be the main drivers of wealth management growth in Africa," Andrew Amoils, a Johannesburg-based analyst at New World Wealth, said. "They all already have relatively well developed banking sectors so private banking is a logical next step."

Barclays and HSBC Holdings are among the banks seeking to attract rich African clients as the expansion of industries from commodities to telecommunications creates more millionaires.

UBS, the world’s biggest wealth manager, is targeting individuals in Nigeria and Angola and sees potential in Ghana, Kenya, Ethiopia, Uganda and Botswana, Sean Bennett, the bank’s Johannesburg-based MD in sub-Saharan Africa, said last month.

Nigeria will leapfrog Egypt into second place behind South Africa, with Kenya in fourth place, in New World Wealth’s projected 2030 ranking of African countries by dollar millionaires.

Millionaires in Ghana will triple by 2030 with an advance of 144% in Angola, the report said. The number of high-net-worth individuals in Ethiopia, which grew the fastest over the past six years, will almost triple to 7,900 by 2030 amid a privatisation programme, said Mr Amoils.

Barclays’s African unit and Citigroup said in August that they saw opportunities managing wealth for Africans.

HSBC expects "selective growth" in Africa, primarily in South Africa, Nigeria and Kenya, an official at the lender said last month.

The number of Africans with at least $1m of investable assets climbed 9,9% to 140,000 last year, according to a report published in June by Cap Gemini and Royal Bank of Canada.

That was the fastest rate of increase outside North America as the economies of countries such as Nigeria and Ghana grew at more than 5% last year. The development of the continent’s wealth management market has some way to go.

The UK had 465,000 millionaires with 282,000 in Switzerland, according to Cap Gemini and Royal Bank of Canada.
Where are the prophets of gloom and doom? Why aren't people talking about stories like this as reported by Bloomberg/Economic ND below?

Nigeria has a "pretty diverse spread of millionaires" with transport, finance, real estate, basic materials and telecommunications also driving the economy, Mr Amoils said yesterday.

High-net-worth individuals are accumulating fastest in Côte d’Ivoire, where millionaires are expected to more than triple to 7,200 by 2030 as cocoa and oil production boost the economy, according to New World Wealth.

Copper, agriculture exports and tourism will help triple millionaires to 2,700 in Zambia, where some rich farmers have relocated from neighbouring Zimbabwe, the firm said.

New World Wealth based some findings on research by Credit Suisse and Trading Economics.

Bloomberg

http://www.eftngr.com/opal/news/1-latest-news/3291-number-of-millionaires-in-nigeria-to-rise-174-to-43000-this-year

Nigeria has the highest number of legitimate dollar-billionaires in sub-Saharan Africa, according to a recent wealth report by Ventures Africa.



Ventures Africa (www.ventures-africa.com), a leading African business magazine published its inaugural ranking of the richest people in Africa on Monday at richlist.ventures-africa.com. The full magazine is available as an App in the Apple and Google apps store.



Of the 55 Africans who made the entry point of $1 billion, 20 of them are Nigerians. The Nigerians featured on the list include Aliko Dangote, who is listed as Africa’s wealthiest man with a $20.2 billion fortune and Globacom boss Mike Adenuga, who is listed as the 3rd richest man in Africa with an $8 billion fortune. Others include Folorunsho Alakija, the richest woman in Africa who is worth $7.3billion and the CEO of Taleveras Group, Igho Sanomi, who at 38 years old is listed as the youngest billionaire in Africa with a net worth of $1 billion.



Commenting on the rich list, Ventures Africa’s Publisher, Chi-Chi Okonjo, said: “That Nigeria has so many dollar billionaires says something positive about our economy. As the saying goes, if you’re not doing business in Nigeria, then you’re not doing business in Africa.”



The combined fortune of Africa’s 55 billionaires is $143.88 billion. Two other women apart from Folorunsho Alakija make the list. They include Isabel Dos Santos, an Angolan investor who is also the daughter of Angola’s President, Eduardo Dos Santos, and Mama Ngina Kenyatta, the widow of Kenya’s first President.



The average net worth of the members of this exclusive club is $2.6 billion while the median age of the richest people in Africa is 65 years.



After Nigeria, South Africa and Egypt lead the pack with the second and third highest number of billionaires at 9 and 8 respectively. Algeria, Angola, Zimbabwe and Swaziland only have one billionaire each. In all, there are 10 African countries represented on the list.



Ventures Africa is Africa’s leading business magazine and news service. Founded and published by Chi-Chi Okonjo, the bi-monthly magazine is distributed across Africa.

Earlier today (September 10, 2013), Saharareporters published a scurrilous and totally false story titled “Nigeria's Finance Minister Okonjo-Iweala Forced THISDAY Publisher to Sack Editor” on its website. The report claimed that the Coordinating Minister for the Economy and Minister of Finance, Dr Ngozi Okonjo-Iweala called the Publisher of
THISDAY Newspapers, Mr Nduka Obaigbena last Saturday to demand the sack of the Saturday Editor of the paper, Mr Laurence Ani over a story she was allegedly unhappy about.
It further alleged that as a result of the action, the editor was asked to go on compulsory leave.
The story is a total fabrication. The alleged conversation did not take place. In fact the minister was on a flight on her way back from the United States on the day in question. In other words, the details of the story do not exist outside the warped imagination of Saharareporters.
The Publisher of THISDAY has indicated his willingness to confirm that she did not at any time reach out to him on any such issue or make any such demands as alleged.
This story is the latest salvo in a campaign of falsehood which Saharareporters has waged against the Coordinating Minister on behalf of its pay masters.
We are certain that the campaign will fail because it is founded on falsehood and Nigerians can see through the antics of this disreputable medium.
Paul C Nwabuikwu
Special Adviser to the Coordinating Minister for the Economy and Minister of Finance
FEDERAL MINISTRY OF FINANCE
September 10, 2013

http://elombah.com/index.php/articles-mainmenu/17668-saharareporters-lies-again-okonjo-iwealla

FG Distributes N100bn to 59 Universities

23 Aug 2013



• Seeks end to strike

• ASUU withdraws from negotiations

Onwuka Nzeshi in Abuja and Funmi Ogundare in Lagos

The federal government Thursday distributed N100 billion to 59 public universities as its first intervention fund for the provision of critical infrastructure in the institutions.
It also appealed to the Academic Staff Union of Universities (ASUU) to call off its strike and allow resumption of activities in the ivory towers.

But its plea may have not swayed the union, which Thursday announced that it was withdrawing from further negotiations with the federal government, which it accused of insincerity.

In a bid to ensure equity and national spread in the distribution of the money, each of the 36 states of the federation would have one university covered in the first phase of the intervention programme.

The funds would be deployed to building new hostels, renovation of old ones, provision of libraries, laboratories, lecture rooms and theatres and Information and Communication Technology (ICT) facilities, among others.

Chairman of the Presidential Implementation and Monitoring Committee on the Needs Assessment in Nigerian Universities and Benue State Governor, Mr. Gabriel Suswam, announced the distribution of the funds at a news conference yesterday in Abuja, called to brief the public on the outcome of the committee's meeting.

The meeting was attended by the Minister of Education, Prof. Ruquayatu Rufa'i and her counterpart in the Ministry of Labour and Productivity, Chief Emeka Wogu, representatives of both the Senate and House of Representatives Committees on Education, representatives of federal agencies involved in funding university education and the various workers' unions in the university system.

A statement from Suswam’s Special Adviser on Media and Public Affairs, Dr Cletus Akwaya, said the meeting unanimously adopted a report of its technical sub-committee, which had earlier carried out the distribution of the funds to each of the beneficiary universities based on a criterion adopted from the Needs Assessment report.

Suswam explained that the benefitting universities have been charged to use their share of the N100 billion to address the gross deficit in critical infrastructure on their respective campuses.

He also said the distribution of the funds was done in a fair and equitable manner based on a properly defined criteria, adding that a representative of ASUU participated in the technical sub- committee that made recommendations to the main committee.
"Our committee will present the spreadsheet of the projects to Mr President for his approval after which the funds would be released to the governing councils of the benefitting universities after meeting with the Secretary to the Government of the Federation and Minister of Education," he said.

Suswam renewed his appeal to ASUU to call off the ongoing strike in the interest of the nation.

According to him, most of the issues that gave rise to the industrial action have been substantially addressed by the federal government.

He specifically referred to the contentious issue of the earned allowances for which the federal government has approved N30 billion for immediate release to the universities to enable them pay their staff members after due verification of the various claims of their workers.

However, ASUU at a press conference in Lagos, yesterday, rejected government’s ongoing efforts to meet its demands, saying they have been mere palliatives that are not enough to make it suspend the strike.

The union, therefore, said it was withdrawing from further negotiations with the federal government because it had not been sincere in implementing the 2009 agreement between the two parties and the Memorandum of Understanding (MoU) both parties signed in January last year.

ASUU had resorted to a total strike on July 2 following the federal government‘s reluctance to honour the terms of the 2009 agreement.

ASUU President, Dr. Nassir Faggae Isa, told reporters at the news conference that the federal government should commence with the implementation of the 2009 agreement rather than making a dubious statement of supporting universities with N100 billion.

According to him, “Government has declared that it will not pay university academics their earned allowances, which accumulated from 2009 to 2013. Rather, it is talking about providing N30 billion to assist various governing councils of federal universities to defray the arrears of N92 billion owed to all categories of staff in the university system . It was a sinister ‘take it, or leave it’ threat of grab the crumbs or starve to death.”

He added that since the signing of the MoU, the government had not demonstrated enough sincerity to show that it was ready to fulfil its obligations to the teachers.
He explained that the union considered last Monday’s meeting, which ended in a deadlock, and other recent positions on the matter by government bewildering, embarrassing and highly unacceptable and it would therefore stop further negotiations with the federal government.

“ASUU cannot believe that the agreement, the MoU and the Needs Assessment report undertaken and endorsed by the highest public officials in the land, would be so blatantly ridiculed by the same people. We are opting out of the Suswam committee because it is as if the government team are using the strike to enrich themselves," the union president said.

He expressed concern that the federal government that had within the last three years supported private concerns such as airlines and banks with trillions of naira from the public vaults as bailouts, is suddenly turning around to say it has no funds to conscientiously revitalise its own universities.

“Available information indicates that the Suswam committee was used as smokescreen to deceive ASUU, Nigerian students and their parents, as well as other unsuspecting members of the public on the purported released N100 billion for the implementation of the Needs Assessment report. First, government plans to divert the yearly allocations to universities by TETFund to make at least 70 per cent of the N100 billion. This is unacceptable to ASUU. It is like robbing Peter to pay Paul, since the idea of revitalisation took full cognisance of the intervention role of TETFund ab initio,” Isa said.

http://www.thisdaylive.com/articles/fg-distributes-n100bn-to-59-universities/157047/

FG Distributes N100bn to 59 Universities

23 Aug 2013



• Seeks end to strike

• ASUU withdraws from negotiations

Onwuka Nzeshi in Abuja and Funmi Ogundare in Lagos

The federal government Thursday distributed N100 billion to 59 public universities as its first intervention fund for the provision of critical infrastructure in the institutions.
It also appealed to the Academic Staff Union of Universities (ASUU) to call off its strike and allow resumption of activities in the ivory towers.

But its plea may have not swayed the union, which Thursday announced that it was withdrawing from further negotiations with the federal government, which it accused of insincerity.

In a bid to ensure equity and national spread in the distribution of the money, each of the 36 states of the federation would have one university covered in the first phase of the intervention programme.

The funds would be deployed to building new hostels, renovation of old ones, provision of libraries, laboratories, lecture rooms and theatres and Information and Communication Technology (ICT) facilities, among others.

Chairman of the Presidential Implementation and Monitoring Committee on the Needs Assessment in Nigerian Universities and Benue State Governor, Mr. Gabriel Suswam, announced the distribution of the funds at a news conference yesterday in Abuja, called to brief the public on the outcome of the committee's meeting.

The meeting was attended by the Minister of Education, Prof. Ruquayatu Rufa'i and her counterpart in the Ministry of Labour and Productivity, Chief Emeka Wogu, representatives of both the Senate and House of Representatives Committees on Education, representatives of federal agencies involved in funding university education and the various workers' unions in the university system.

A statement from Suswam’s Special Adviser on Media and Public Affairs, Dr Cletus Akwaya, said the meeting unanimously adopted a report of its technical sub-committee, which had earlier carried out the distribution of the funds to each of the beneficiary universities based on a criterion adopted from the Needs Assessment report.

Suswam explained that the benefitting universities have been charged to use their share of the N100 billion to address the gross deficit in critical infrastructure on their respective campuses.

He also said the distribution of the funds was done in a fair and equitable manner based on a properly defined criteria, adding that a representative of ASUU participated in the technical sub- committee that made recommendations to the main committee.
"Our committee will present the spreadsheet of the projects to Mr President for his approval after which the funds would be released to the governing councils of the benefitting universities after meeting with the Secretary to the Government of the Federation and Minister of Education," he said.

Suswam renewed his appeal to ASUU to call off the ongoing strike in the interest of the nation.

According to him, most of the issues that gave rise to the industrial action have been substantially addressed by the federal government.

He specifically referred to the contentious issue of the earned allowances for which the federal government has approved N30 billion for immediate release to the universities to enable them pay their staff members after due verification of the various claims of their workers.

However, ASUU at a press conference in Lagos, yesterday, rejected government’s ongoing efforts to meet its demands, saying they have been mere palliatives that are not enough to make it suspend the strike.

The union, therefore, said it was withdrawing from further negotiations with the federal government because it had not been sincere in implementing the 2009 agreement between the two parties and the Memorandum of Understanding (MoU) both parties signed in January last year.

ASUU had resorted to a total strike on July 2 following the federal government‘s reluctance to honour the terms of the 2009 agreement.

ASUU President, Dr. Nassir Faggae Isa, told reporters at the news conference that the federal government should commence with the implementation of the 2009 agreement rather than making a dubious statement of supporting universities with N100 billion.

According to him, “Government has declared that it will not pay university academics their earned allowances, which accumulated from 2009 to 2013. Rather, it is talking about providing N30 billion to assist various governing councils of federal universities to defray the arrears of N92 billion owed to all categories of staff in the university system . It was a sinister ‘take it, or leave it’ threat of grab the crumbs or starve to death.”

He added that since the signing of the MoU, the government had not demonstrated enough sincerity to show that it was ready to fulfil its obligations to the teachers.
He explained that the union considered last Monday’s meeting, which ended in a deadlock, and other recent positions on the matter by government bewildering, embarrassing and highly unacceptable and it would therefore stop further negotiations with the federal government.

“ASUU cannot believe that the agreement, the MoU and the Needs Assessment report undertaken and endorsed by the highest public officials in the land, would be so blatantly ridiculed by the same people. We are opting out of the Suswam committee because it is as if the government team are using the strike to enrich themselves," the union president said.

He expressed concern that the federal government that had within the last three years supported private concerns such as airlines and banks with trillions of naira from the public vaults as bailouts, is suddenly turning around to say it has no funds to conscientiously revitalise its own universities.

“Available information indicates that the Suswam committee was used as smokescreen to deceive ASUU, Nigerian students and their parents, as well as other unsuspecting members of the public on the purported released N100 billion for the implementation of the Needs Assessment report. First, government plans to divert the yearly allocations to universities by TETFund to make at least 70 per cent of the N100 billion. This is unacceptable to ASUU. It is like robbing Peter to pay Paul, since the idea of revitalisation took full cognisance of the intervention role of TETFund ab initio,” Isa said.

http://www.thisdaylive.com/articles/fg-distributes-n100bn-to-59-universities/157047/

There's no use spreading panic news among the populace. The fact that Sahara Reporters does not trace the source of its alarm to specific credible sources is questionable. The general economic outlook is positive and that's what is important.

People should stop propagating panic. Nigeria is not broke!

I watched the speech live and it was really encouraging. For those who want a summary, the economy is growing, we need to grow our GDP further, government is reducing our national debt burden, and the Ministry of Finance is working hard to ensure that things keep getting better.

Forget about sentiments, madam First Lady really makes sense this time around. Just imagine this government without people like Mrs Okonjo-Iweala and the other women on Mr President's team.

It is unfortunate how easily we point accusing fingers at the very people that are working in our best interest. The Labour Party chairman is obviously ignorant of the CME's efforts at generating employment otherwise he wouldn't have made such ill-informed comments. YouWIN and Graduate Internship Scheme are only some of the fruits of those efforts.

It doesn't make sense at all to believe this kind of story. It is not logical that minister of finance will sack an officer from ministry of information.

THE PROPOSED BUDGET OF THE FEDERAL MINISTRY OF FINANCE IS PRUDENT AND REASONABLE

Since the presentation of the 2013 Budget draft to the National Assembly by President Goodluck Jonathan, we have received a lot of positive feedback from Nigerians in different parts of the country.

In particular, the fact that the budget presentation took place in October, the earliest in recent memory, was highly commended by many Nigerians who have reached out to us.

Many other aspects of the budget also received commendation. They include:
- the focus on power supply, roads, rail and aviation safety
- the robust plans to reduce domestic debt, recurrent expenditure and the fiscal deficit.
- gender-friendly nature of the budget and the provisions made to boost maternal and child welfare.

We welcome this dialogue on the budget because we believe that transparency is a key ingredient of an effective budget process. The budget is for the Nigerian people and they have a fundamental right to have their say on it.

It is in this spirit that we take some comments on some aspects of the budget of the Federal Ministry of Finance even when the motives of some of those making the comments may not be positive. The aspects which have attracted comments include provisions made for personnel, overheads, capital expenditure, sitting allowances, refreshments, travels and training.

In responding to these comments, it is important to keep the following facts in mind:

• The total budget proposal for the Federal Ministry of Finance is N5,599,576,180. This represents 0.11% of the entire budget estimates.

• The budget for the Ministry together with its agencies is N14,759,952,111. This comes to 0.30% of the total budget.

• The agencies are Debt Management Office, Budget Office of the Federation, Office of the Accountant-General of the Federation, Investment and Securities Tribunal and the National Insurance Commission.

• The provisions made for personnel, overheads, sitting allowances and travels, training and so on are modest and justifiable. It is important to keep in mind that the ministry pays for a lot of studies and investigations done for other parts of government in various areas of economic reform, including pensions, public service reforms, housing and mortgage etc. It also hosts experts from within and outside the country in technical sessions and meetings in line with its mandate.

• The proposed annual budget for cleaning and fumigating the premises of the ministry – N43,381,673 – is certainly within the parameters of industry standards. Additionally, it is also important to keep in mind that the ministry is facing serious structural and environment challenges which have made these services very necessary.

The ministry under the leadership of Dr Ngozi Okonjo-Iweala is very conscious of its key role and will continue to lead by example in areas under its mandate. The focus as always is on managing the finances of the country in a manner that protects and enhances the interests of the country.


Paul C Nwabuikwu
Senior Special Assistant to the Coordinating Minister for the Economy and Minister of Finance

If you are a woman and you run your own business, or you are about to start, the YouWin initiative of the Federal Government may be just all you need to birth your dream or take it to the next level.

1,200 businesses will be equipped with training and then funding. Entry closes on October 14. Don't be left out!

To apply, go to www.youwin.org.ng