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Politics › Re: Nairalander Doing Africa Proud by Jarus(op): 6:18pm On Jul 06, 2011

kandiikane:
@the nairalander, I want to be just like you in terms of the path you took in life to help Africa in about a few years well done

me too, only that i want to help my pocket for few years first, then I can begin to help frica

Politics › Re: Nairalander Doing Africa Proud by Jarus(op): 4:12pm On Jul 06, 2011

Knew him from his OAU Ife days too. He was in final year when I was a jambite. I even know his favourite reading spot(inside bush, in Central Mosque grin

). He was an effico. Needless to say he made a First Class in Computer Engineering.

Business › Re: Explaining Islamic banking & Finance by Jarus(m): 4:04pm On Jul 06, 2011

Got this from somewhere, and I think it explains the MISPLACED anger and all that is wrong ABOUT THE IGNORANT DISENCHANTMENT with the Islamic Banking proclamation in Nigeria.

WHO'S AFRAID OF ISLAMIC BANKING?
By UCHE EZECHUKWU

First and foremost, I must apologize to my readers for not bringing the concluding part of the piece I started last week on the Nigeria Police. I had to postpone it because of some developments in the polity, which, as I sincerely believe, have the potential of ballooning into untoward outcomes, if not promptly addressed. I stumbled on a story in the online edition of the Vanguard and which bothered me greatly and should bother other Nigerians of conscience.
The story in question was that the Delta State chapter of the Christian Association of Nigeria (CAN), led by its chairman, Archbishop God-do-well Avwomakpa, marched through the major streets of Warri last Thursday, protesting the authorization of Islamic banking by the CBN in the country. The story further highlighted the interview granted by the bishop during which he reportedly declared that the introduction of Islamic banking in the country was a prelude to the Islamization of the country. He was further quoted as saying that “the church is aware of the dangers that this issue is going to cause and we are not going to compromise our faith as Christians. Nigeria belongs to all of us and we are saying ‘No’ to Islamization of Nigeria.”

Before I go further, I insist that from what I know of the universal Catholic Church to which I belong and which is the largest denomination of CAN, the Delta chairman could not have been speaking for us, not even for the Catholics and the other orthodox communions in that state, because I know the channels of our communication and our church does not engage in rabble-rousing.

Again, I must blame the CBN for its culpable assumption that the Islamic banking system which has been in operation in many more advanced and more secular countries like UK, USA, France, South Africa, etc, without affecting or altering the lifestyle or secularity of those societies, could be introduced into Nigeria without adequate enlightenment. It was an unpardonable miscalculation which has enabled both the little informed and outright mischievous elements in our midst to seek undeserved relevance by misinforming Nigerians on the whys and wherefores of the system which has found acceptance in the places where it has been in practice.
Having said that, it is rather unfortunate that in these days when knowledge and information are at the beck and call of all, it is a great disservice for some people in privileged positions to indulge in outright falsification of issues that are capable of causing social dislocation especially if the correct sides of the case are not accurately and dispassionately presented. For the avoidance of doubt, it is obvious that those leaders who are leading their followers to believe that the Islamic banking system would Islamize the polity, should have also recalled that the many Christian universities that have been licensed by the NUC as businesses and bearing such explicit names and Catholic University, etc, have not been accused of Christianizing the polity. For, how can a business concern which does not exercise any coercive authority over any of his customers, make its customers to adopt its beliefs?

And why has the CBN which has exercised the responsibility to regulate and provide guidelines for all other forms of banking operations: commercial, merchant, community, micro, mortgage, etc, in the past, should now become culpable because it also produced guidelines for the establishment and operation of the Islamic interest-free banking system, which is another banking format? For even when those banks take off, it is not likely they would have the word “Islamic” prefixed to their names. And even if they did, would it not be similar to the many businesses owned by the different faith-based organisations?

Yes, a mischievous mind might find it convenient to manipulate the emotive sentiments of religion to draw attention to him or herself, but that fact should not remove the fact that the introduction of any system that would bring about some salutary influences into our economy should be welcome. Yes, the Islamic banking system seeks to run its banks along the Islamic jurisprudence – simply put, along the prescription of the Sharia laws.

The most prominent feature of the Islamic banking is in the absence of interests (riba) in accordance of the Koranic prohibition of usury. Significantly, the Jewish code or the Torah (the Old Testament of the Bible) is also against usury. And if their religion demands that a Muslim’s life should be ordered along the dictates of the Sharia, should the Muslims who constitute half of the national population be denied the type of banking institution that caters for their religious belief? As a Nigerian, is the Muslim not entitled to the unfettered practice of his religion?

The proposed Islamic banks would be privately owned and not by the government and such specialised financial institutions would be expected run their businesses along the dictates of the guidelines setting them up, which is mainly that, anybody who agrees to abide by those codes would be welcome to do business with them. How would their operations affect anybody who does not paronize them? So, what is the cause of all these needless hues and cries which are more out of mischief than culpable ignorance?
The ownership of banks like other businesses, as schools, is totally deregulated but run under set-down guidelines by the relevant laws and regulations. Many Christian-based organisations have applied for and were licensed by the appropriate authorities to run schools and universities. Even though these academic institutions have the greater capacity of influencing those who pass through their portals, their existence or sectarian ownership has never been challenged by any quarters – Christian or Muslim. The universities and colleges throw their gates open to all those who agree to abide by their ordinances and prescriptions as nobody is, ab initio, never coerced into enrolling into them.
For instance, Muslim students who attend Catholic schools alongside my daughters, while being allowed to observe their Islamic faith, are nevertheless compelled to obey the basic demands of Christian life, which they had been made aware of before being enrolled.

So, I as a Catholic decide to patronize an Islamic bank, I should have become aware that the Sharia demands that I cannot expect the bank to grant me loans to run businesses that are haram to the Islamic faith. For instance, I cannot expect to obtain a loan from there to run a newspaper that would advertize alcoholic beverages or pork products. In the same way, I cannot expect to obtain a loan from an Islamic bank to run gambling operations or hotels that peddle alcohol or operate a brothel. More importantly, these banks do not put a gun on my head to use their services, nor would they turn me away because I am not a Muslim, provided I sign up to adhere to its provisions. How, therefore, could one branch of an Islamic bank at Onitsha, Aba or Enugu have the capacity to Islamize the Igbo society?

Having provided these rudimentary facts on the Islamic banking, it then becomes unfortunate that anybody or group should want to over-heat the polity because of the introduction of a banking system that has absolutely no adverse effect on the society, both on the short and long run. One would have thought that if there are Christian leaders who feel envious that banks are established along Islamic religious codes, they should hasten to establish their own variants which would use their enormous riches garnered though huge tithes and offerings of the millions of their adherents. After all, recent studies by a reputed international publication named four Nigerian pastors as among the richest in the world. Such a move which could provide the much hankered-after economic succour to their long-basic demands of Christian life, which they had been made aware of before being enrolled. So, I as a Catholic decide to patronize an Islamic bank, I should have become aware that the Sharia demands that I cannot expect the bank to grant me loans to run businesses that are haram to the Islamic faith. For instance, I cannot expect to obtain a loan from there to run a newspaper that would advertize alcoholic beverages or pork products. In the same way, I cannot expect to obtain a loan from an Islamic bank to run gambling operations or hotels that peddle alcohol or operate a brothel. More importantly, these banks do not put a gun on my head to use their services, nor would they turn me away because I am not a Muslim, provided I sign up to adhere to its provisions. How, therefore, could one branch of an Islamic bank at Onitsha, Aba or Enugu have the capacity to Islamize the Igbo society?

Having provided these rudimentary facts on the Islamic banking, it then becomes unfortunate that anybody or group should want to over-heat the polity because of the introduction of a banking system that has absolutely no adverse effect on the society, both on the short and long run. One would have thought that if there are Christian leaders who feel envious that banks are established along Islamic religious codes, they should hasten to establish their own variants which would use their enormous riches garnered though huge tithes and offerings of the millions of their adherents. After all, recent studies by a reputed international publication named four Nigerian pastors as among the richest in the world. Such a move which could provide the much hankered-after economic succour to their long-
It would be necessary at this juncture to insist that the religious leaders – Christian and Muslim – should desist from misleading their followers by inciting them against fellow Nigerians who adhere to different faiths through half baked instructions which are often programmed to produce less than godly objectives. I do not know what punishment Islam prescribes for such serious misdemeanours but I know that Jesus Christ, whom I profess, prescribes that such people deserve to have big boulders of stone tied around their necks and dumped into the depth of the ocean.

Moreover, God says in the Bible that, “my people perish for lack of knowledge” It is, therefore, sinful for any religious leader to hide the truth from his followers; it is even worse for him to manipulate the ignorance of such followers.

At the end of the end of the day, who is really afraid of this Islamic banking? Is it those on whose consciences it weighs heavily? Actually, a true Christian should not fight against any trend which he thinks that threatens his faith, because as we are told, if it is of God, nothing can stop it, but if not, it will self-destruct and fade away. The greatest proof of that is Communism which raged worldwide like an all-consuming fire only to die as it had started, unsung, less than a century later.
Nigeria belongs to all of us – and it is in God’s wisdom that he put both Christians and Muslims into his space, for cohabitation. Let us not play God, but always give peace a chance. That,to my understanding is the cardinal tenet of Christianity – to live and to let live.

http://www.sunnewsonline.com/webpages/columnists/capital%20matters/2011/capital-matters-july-04-2011.html

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 2:57pm On Jul 06, 2011

Pafuri:
Thanks Jarus. Point of correction though, Sola is CEO (as in Chief Executive Officer), and Yinka is Deputy CEO. Tribute must be paid to Mr. Atedo N. A. Peterside for his vision and hard work. These are people who know what Banking and Finance are all about. They understand our economy.

What's the difference between MD and CEO sir?

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 2:54pm On Jul 06, 2011

Does the fact that they are pastors means we should join them to embrace the Islamic banking craze?

We should see business men as individuals not for the religions they are widely known to practice.

Let me remind you.

Was the disgraced MD of Intercontinental not a "pastor"
The woman that enriched herself so much in The bank that experiences peace was she not a prominent worshiper in one of the religious camps along lagos ibadan expressway way?
Did those religious affiliations bar the 2 individuals in the examples above from massively enriching themselves at the expense of the banks?

Whether we like it or not, a Pastor-run bank being the first conventional bank to grab the Islamic banking opportunity tells a message: that they are looking beyond religion, but economic benefits. If it was Unity Bank that first adopted, me and you the message people will read to it.

Politics › Re: Nairalander Doing Africa Proud by Jarus(op): 9:33am On Jul 06, 2011

He's Yoruba guy from Ogun state, but pls let's take tribe out of this.

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 8:46am On Jul 06, 2011

otondo55:
Kill this economy once and for all with religion.

It will never work here !

We cant fold our hands and see you starve to death.

Stanbic IBTC beware of what you are to start, because boko may be understatement

if you think you know more than stanbic management, then God help you as you revel in your ignorance. These are people that have the market knowledge in their heads and according to what I heard, have been researching Islamic banking for more than 2 years, yet in your bigoted 'expertise' you are advising them not to adopt something they would not have if they had not done their analysis. You think those people think the way you think.

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 8:36am On Jul 06, 2011

Who's afraid of Islamic banking? A christian igbo contributes: http://www.sunnewsonline.com/webpages/columnists/capital%20matters/2011/capital-matters-july-04-2011.html

Business › Re: Putting Sanusi's Islamic Banking In Perspective by Jarus(m): 8:32am On Jul 06, 2011

Who's afraid of Islamic banking? A Christian igbo writes:
http://www.sunnewsonline.com/webpages/columnists/capital%20matters/2011/capital-matters-july-04-2011.html

Politics › Re: Nairalander Doing Africa Proud by Jarus(op): 8:15am On Jul 06, 2011

I knew the I'd will surely be revealed but just held on to add suspense to the thread.

It's LOMA.

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 10:29pm On Jul 05, 2011

In fact, Sola David Borha and Yinka Sanni (MD and DMD respectively of Stanbic) are Pastors. These are people thatcan identify the opportunity.

Politics › Re: Nairalander Doing Africa Proud by Jarus(op): 10:15pm On Jul 05, 2011

I will reveal his NL identitY only if he gives his consent.

Politics › Re: Nairalander Doing Africa Proud by Jarus(op): 10:13pm On Jul 05, 2011

Congrats as you add another award to your already long list of medals, winning Huffpost Greatest Person of the Day. Continue to strive for the emergence of a better Africa. We are all supporting you.

Knowing you from your Ife days, I have never doubted your potential.

Your contributions on Nairaland here, though few, are always loaded,

Politics › Nairalander Doing Africa Proud by Jarus(op): 10:05pm On Jul 05, 2011

http://www.huffingtonpost.com/2011/07/05/huffpost-greatest-person-of-day_n_890504.html

While speaking with Idris Bello and hearing about his numerous accomplishments, one begins to feel a bit lazy in comparison. Though he only just graduated from Rice University's business school, Bello has amassed a laundry list of awards and fellowships that barely fit on one page.

But for this self-proclaimed "Afropreneur," the grants and awards are only the tip of the iceberg. Bello has also been instrumental in creating a staggering number of organizations that aim to make Africa more self-sufficient, a goal he has had since he arrived in the U.S from Nigeria to attend the University of Houston in 2004.

There's the Next Cool Idea program, which funds unique proposals from Rice students and alumni, the Wennovation Hub, which supports West African startups and small businesses, and AfyaZima Africa, which Bello co-founded to provide sustainable health technologies for the developing world.

"I do a lot of things," Bello said, laughing as he acknowledged his hectic schedule. "But I'm lucky enough to have these opportunities, so I give back. You have to give back."

For Bello, who lost two of his siblings to health problems when he was very young, the chance to "give back" to Nigeria and the African people never used to be an option. From the moment he arrived in the U.S., he knew he'd be working toward that goal. But a recent project has hit especially close to home.

"My dad was a university librarian," Bello said. "And I remember growing up he always said, 'Never get caught without a book.'"

When two Rice architecture students, David and Rachel Dewane, came to Bello with the idea for Libraries Across Africa, they weren't aware of the personal connection it had for him.

"They had no connection with Africa, no business experience, and they came over to the business school to look for people who might know how to do business in Africa," Bello said. "I knew what life was like at most of the libraries over there, [with] just one textbook for thousands of students in a reference section."

The goal of the program was simple: "empower individuals through access to information." By establishing low-cost infrastructure for libraries and connecting people directly with computer training, even the poorest communities can become more self-sustaining.

The team drummed up a plan and a mission statement, and took its proposal to business competitions across the country to try to raise the necessary funding.

"Right now, less than 10 percent of Africans have access to the internet," Bello said. "Africa's problems will not [be] solved by governments. There is a new wave of young men and women, and they will be enabled by more global networks."

Bello explained that there's not always an easily accessible location for young Africans to meet and discuss ideas, to utilize everything people in the U.S. take for granted on the Web. These libraries can also serve as their de facto "Starbucks," or their "FedEx Kinko's," as he put it. Africans need to become more self-sustaining, and should be fully aware of the world outside their own villages, he said.

"A lot of U.S. future enterprises depend on Africa," Bello said. "Many people don't realize that it is all intertwined -- good health, businesses, and education."

Bello is adamant that the last thing Africa needs is more monetary support. "Africa does not want aid anymore! Aid is great, you give aid, a very small percentage goes to the people, the rest goes somewhere else."

"People need to be independent," he said. "Africa is ready to solve their own problems."

Bello is also involved in a program that seeks to develop mobile apps for small businesses in Nigeria, and another that enables doctors to do lab tests in malaria-stricken communities without a stable power supply. And the Libraries Across Africa program just won a $10,000 grant from the Dell Social Innovation Competition.

"Africa needs support, they need partnership," Bello said. "Let's empower them."

Nairaland General › Re: My Room-mate Is A Total Liar by Jarus(m): 2:12pm On Jul 05, 2011

Very soon some people will come to NL to ask what their father's name is.

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 1:02pm On Jul 05, 2011

The banks you owned abi?

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 10:44pm On Jul 04, 2011

By Shari-compliant, I hope you are not thinking it means the loan parties adopting Islamic way of life or subjecting to Islamic punishment system, because that is what many people think of when they hear sharia.

By Sharia-compliant transaction is meant there will be no interest on the loan, both the loan giver and taker will agree on what purpose the loan is to be used for and how profit or loss on the use of that loan will be shared by both parties. Of course, if you want to invest the money in alcohol or gambling, Islamic banking is not where you go. That is the Sharia-compliance. It doesn't go beyond there. If you like, drink alcohol in your private life, it's none of the bank's business. Defaulting doesn't also mean you will be subject to Sharia legal system.

There is also the. Non-Islamic non-interest window, to be offered by Non-Islamic banks, in which case the issue of alcohol and other Sharially unethical investments can be waived, and absence of interest will be the only similarity with the Islamic model.

Business › Re: Stanbic IBTC Gets Licence For Islamic Banking Operations In Nigeria by Jarus(m): 10:18pm On Jul 04, 2011

Not surprised at StanbicIBTC quickly grabbing the window. If I was asked to predict, I would have predicted stanbic, and maybe GT, as banks to quickly adopt. I'm sure Stanbic would have adopted it if the regulatory framework had existed years ago. They pioneered ethical investment in Nigeria far back 1997 or so) and their ethical fund is one of the leadiing and earliest in Nigeria. I have never doubted ANAP's business sense. I see GTB also following suit soon.

As for the bail-out question, Islamic banking is not for Muslims only. Also note that Muslims also pay tax. But more importantly, Islamic banking is more of an alternative banking option than religious, even though derived from religious principle. If not so, Islamic Finance will not be treated as part of Economics, rather than religious study, in wstern economic discourses/schools. Islamic banking has trascended religion, it's Islam's gift to economics. We should look beyond religion in Nigeria too.

1 Like

Business › Re: Putting Sanusi's Islamic Banking In Perspective by Jarus(m): 9:32pm On Jul 04, 2011

Career › Re: Accountants' Forum. by Jarus(m): 7:12pm On Jul 04, 2011

I don know much about their exemption, you can get that from their website.

NYSC › Re: Fresh Graduates Refuse Their NYSC Postings by Jarus(m): 4:42pm On Jul 04, 2011

dayokanu:
OAU are always the frontrunners in everything

Greatest Ife

Our head dey there

Business › Re: Nairaland Quoted In Sanusi Critique In Thisday Newspaper by Jarus(op): 4:06pm On Jul 04, 2011

mbulela:
[b]late to the party.[/b]that article is scary.
Can we have a bit of an educated argument here.
What exactly is the role of a central(reserve) bank?
so many of the CBN's recent actions are perplexing to say the least.
i ask this question because at the rate we are going,we might wake up one morning and here that the CBN has merged with UBA.

Pay your lateness fine first, then we will start having educated argument grin

Business › Re: Nairaland Quoted In Sanusi Critique In Thisday Newspaper by Jarus(op): 4:04pm On Jul 04, 2011

If you also notice, teh writer did not introduce Nairaland, for instance, say something like 'a commenter in one poupular Nigerian website, Nairaland'. He mentioned Nairaland straight away, meaning he assumed, rightly, that Nairaland is too popular in Nigeria not to be known by internet savvy person or even person literate enough to read him in newspaper.
Five years ago, you cant quote nairaland without devoting at least one line to explain what you mean. Today, when quote google, facebook, wikipedia, you don't need to tell readers what it is. That is exactly the implication of mentioning NL on that assumption.

Politics › Re: Buhari: The Poorest Ex Military President by Jarus(m): 3:58pm On Jul 04, 2011

ultim:
"least wealthy", I think is the better word

Co-signed.

Business › Re: Nairaland Quoted In Sanusi Critique In Thisday Newspaper by Jarus(op): 11:22am On Jul 04, 2011

wesley80:
Dont kid yourself, we all know Nairaland and most opinions expressed on this forum are far removed from the reality that is todays Nigeria and wld therefor be nothing but a self delusionary gauge of the opinion of Nigerians. I'm sure the defunct team BB wld agree with me. As for your using the catchphrase 'if well managed', I just have to wonder what an Mod is insinuating.

I'm insinuating: if we(all stakeholders: Admin, Mods, members) manage it well.

Politics › Re: Buhari: The Poorest Ex Military President by Jarus(m): 10:53am On Jul 04, 2011

This glaring. Is it IBB or Obj that you want to compare him with? Or even Yakubu Gowon, though not much is known about Gowon's wealth too? There are gossips about AbdulSalam's wealth too, but not as glaring as that of IBB and Obj, but if house is any criteria, the Abdus Salam's Minna Hilltop House also makes a statement about his money, at least more than Buhari.

Business › Re: Nairaland Quoted In Sanusi Critique In Thisday Newspaper by Jarus(op): 10:43am On Jul 04, 2011

Source: Thisday Backpage, Today: http://www.thisdaylive.com/articles/cbn-set-to-develop-its-own-poultry-farm/94427/

Being one of the greatest defenders of Sanusi on Nairaland, this is not a cheery article for me. But being a proud Nairalander, I feel happy Nairaland is gradually taking its place as source of materials for newspaper commentators.
Comments here are now being quoted to buttress opinions in national dailies.
I don't know whether this writer is a Nairalander, or a visitor or just bumped into the quoted comments through google search. But whatever the case, Nairaland will soon become the go-to for policy evaluation discourses in Nigeria, if well managed.

Business › Nairaland Quoted In Sanusi Critique In Thisday Newspaper by Jarus(op): 10:37am On Jul 04, 2011

CBN Set to Develop Its Own Poultry Farm
04 Jul 2011
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Reports reaching us indicate that the Central Bank of Nigeria (CBN) has concluded plans to build its own poultry farm, which will, upon completion, be the largest poultry farm in Nigeria. This is in line with the latest direction of the CBN of becoming a diversified and profitable entity. To further this dual purpose of profitability and diversification, the new CBN poultry will supply the public with eggs and old layers. It will also supply chicken and eggs to the planned CBN hotel and conference centre. The CBN is confident of the profit potentials of its latest ventures as both the poultry and the CBN Hotel will rely on the long awaited CBN power plant for cheap power supply. Issues hampering the implementation plan for the CBN poultry were the delays caused by other stakeholders at the CBN who believe that hospital development is more lucrative. The poultry farm won out after a vigorous debate between the members of staff of CBN promoting it and those who thought that fish farming and cattle rearing were more promising. There is clearly a new creative impetus at CBN these days and the staff members promoting the fish farming and cattle rearing ventures are confident that if they can demonstrate vertical integration, their business plans would be implemented next.

So, you think that the above is far-fetched. Think again. Our CBN under Sanusi Lamido Sanusi has gone way off kilter. The main job of a central bank should be price stability and the related task of managing interest rates and the exchange rate. The CBN merely pays lip service to these fundamental primary tasks and therefore has failed woefully in these areas. The National Statistical released by the National Bureau of Statistics (NBS) on June 16, 2011 indicates that Nigeria’s inflation rate climbed to 12.4 per cent in May 2011. What this means is that the average farmer and civil servant just had their purchasing ability sliced to 87.6 per cent of their earnings. As you will see later, this is merely a start, as the policies of this CBN are definitely going to take us to territories of more than 20 per cent inflation rate. This is someone who was handed a CBN that had managed our inflation rates to below 10 per cent, during a period in which world oil prices were up to $145 per barrel. In addition, this CBN has by its own irrational statements and actions dried up credit for businesses from the banking sector. Additionally, with oil prices aided upwards by the Arab uprisings, our CBN has managed to maintain a fast dwindling foreign exchange reserves as a result of the poor management of the reserves by the CBN. Every month, the CBN governor promises that there will be relief on the foreign reserves and every month, the opposite is the case.

As you can see, our CBN should have their hands full in carrying out the primary functions of a central bank, but that is far from what they have been doing. We will not focus on the various political statements that the CBN governor has decided is his past time. Instead, we will focus on the actions of our CBN that have contributed directly in its failure to actually achieve the price stability that is its primary function.

In the past one year, starting in March 2010, our CBN has spent over N900 billion on the so-called Intervention Funds. These include the N200 billion Commercial Agriculture Credit Scheme; the N300 billion Power and Aviation Intervention Fund; the N200 billion Restructuring/Refinancing to the Manufacturing Sector/SME; and the N200 billion Small and Medium Scale Enterprises Guarantee Scheme. Let us use the example of the Power fund. According to Lamido, it was set up to help finance badly needed power projects in Nigeria. Except that in light of the fact that most of the investments in the power sector are to come following the on-going privatisation process, there was no need to release the entire amount into circulation. However, what our CBN does is that once it announces the creation of these funds, it moves the amount to the Bank of Industry who deposits them with partner banks for onward accessibility to the lucky recipients. So if it takes another four years to disburse, the country is burdened with money in circulation that it did not need to be in circulation. This is the case with all of the intervention funds. CBN therefore has done more to spur inflation than any other government policy in Nigeria and economists like Henry Boyo have warned that CBN should look forward to inflation rates of 20 per cent or higher if it continues with these policies.

Even if the CBN should be the entity setting up these intervention funds (which it has no business doing), such funds should not be released out of the CBN until the recipients have fulfilled all requirements and are about to use them for productive activities. A cynic would say that the CBN should know this and that the only reason for releasing the funds so prematurely is to extend the period of playing the same deposit kickback game that the CBN governor has accused Nigerian government officials of playing with their public sector funds (where the partnering banks pay something to the originators of the funds placed with them as deposits). More importantly, when there is no oversight or accountability other than the CBN (a non-elected body) over the disbursement or spending of these funds, there is substantial room for significant corruption and bad practices. The speed with which the CBN has established these funds in the past one year during a period when the CBN governor was warning about the inflationary impact of the elections speaks to the suspicion that these funds were not primarily meant for the announced purposes. It is unfortunate that the CBN is the only entity in Nigeria that can spend public funds without a need for appropriation or such funds being earmarked in the corresponding year’s federal budget. Our constitutional requirement of budget and appropriation does not cover the CBN.

Last month, our CBN placed various advertisements in Nigerian newspapers and magazines inviting tenders for the design and management of its new project of building a hotel and conference centre in Abuja. Many people were relieved that this CBN has finally decided to start abiding by the Nigerian Public Procurement Act requirement of performing a tender for public procurements, which this CBN had not abided by in the past when it retained the services of advisers for its various activities. However, even people who believe that Abuja may need world-class hotels and conference centres are wondering why the CBN is the entity building one. A review of comments in various Nigerian chat rooms are negative, with many advising our CBN to focus on its set roles and leave property development to the likes of Tayo Amusan etc. One commenter in Nairaland even said that since our CBN has become a profit seeking entity, he should be allowed to buy shares of CBN, as he believes in the viability of this hotel and conference centre. This is how ridiculous ordinary citizens of Nigeria now think our CBN has become.

It is instructive that one of the seminar acts of this CBN governor is preaching specialisation to the banks that he supervises. By proscribing universal banking, he has forced banks to focus on commercial banking and exit other areas and sectors of the Nigerian economy. Now that CBN is getting into real estate and other sectors, one is wondering if merely Sanusi was worried that the banks, with their deep pockets, posed bigger risks of competition for CBN in these sectors than Amusan etc. and therefore made sure to get rid of them as competitors prior to announcing CBN’s own ventures. Otherwise, why is focus important for commercial banks and not CBN?

It is sad, because many people were hopeful that Sanusi would maintain the stability that Soludo had fostered at CBN, but Sanusi has sadly been wrong as a CBN governor and disastrous for the Nigerian economy. He has failed to appreciate the limited role of a central bank in a country. Our CBN under him is failing in their primary functions of maintaining price stability and reserve management. Instead, our CBN’s own initiatives have been detrimental to these primary functions. The CBN needs to dial back and leave governance to the government, but focus on fighting inflation and its other primary functions. It needs to leave intervention funds to the appropriate ministries and the National Assembly. Finally, one is embarrassed to have to remind CBN that it should have no business setting up its own hotel, power plant or for that matter its own poultry farm.
• Mr. Alewu is a lawyer/public affairs analyst based in Port Harcourt

http://www.thisdaylive.com/articles/cbn-set-to-develop-its-own-poultry-farm/94427/

Politics › Re: Ministerial Nominee Cant Speak English! by Jarus(m): 9:09am On Jul 04, 2011

I was totally dumbfounded while watching the ministerial screening on thursday.

There was this ministerial nominee, a lady in her 60's from one of the northern states who could hardly speak passable english.

The rockets she was throwing got so bad that the senators started shouting for her to stop. But the lady was so enthusiastic about presenting her CV that had nothing but her political activities on it didnt want to stop and kept going on and on.

At this point, the shouting of the senators got so bad that I thought the woman was not going to scale through the screening exercise successfully.
The president of the senate had to come in and stop the woman. He said that he feels that the woman should take a bow and go. The whole senate roared yes!
So our wonderful honourable ministerial nominee took a bow and left without answering a single question.

I predict that we will soon forget the missiles of Patience and the grammer of Honourable Obaiagbon. We have a new comic as minister.

I dont even know what that woman has to offer, but its all about fresh air, right?!

And a critic who can't spell 'grammar'!

Jokes Etc › Re: On A Lighter Note. Who Wrote This? by Jarus(m): 5:30am On Jul 03, 2011

Ok, na me write am.
Thread moved to Jokes

Politics › Re: Nigerian Mum Flew Into Britain And Had Quinns by Jarus(m): 5:25am On Jul 03, 2011

Was any Ayelobola your classmate in electricity engineering dept at Unilorin?

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