The All Progressives Congress (APC) rode on the wind of “CHANGE”, making lots of promises in its campaigns to oust the Peoples Democratic Party in the 2015 elections. One of the key promises made by the Buhari/Osinbajo administration was the vow to create a Social Welfare Program of at least Five Thousand Naira (N5000) that will cater for the 25 million poorest and most vulnerable citizens upon the demonstration of children’s enrolment in school and evidence of immunisation to help promote family stability.

“As a nation and Sub Saharan Africa’s leading energy producer, we had in the past squandered the opportunity to build functional infrastructure to better the lives of the average Nigerian. We can no longer afford this luxury of inactivity. We must revive our public and private sectors in order to provide functional services and secure the good of the individual Nigerian and his or her family,” Buhari said in a document that revealed some of his plans for 2015.

This promise gave hope to millions of families, youths and women knowing that this policy would ameliorate the pains and sufferings of the teeming youths who bear the brunt of economic hardships.

On paper, this sounded like a good idea knowing that unemployed youths including those who have finished the National Youth Service Corp (NYSC) have a hope of getting some cash in their pockets pending the time when they get a good job, also

Six months into this administration there is now a level of uncertainty on how the government plans to keep this promise in the face of changing economic realities.

Oil prices now hover around $48 to $50, which is a significant drop from the era of $80 to $140 per barrel oil.

We takes a critical look at some of the issues that the implementation of this policy throws up:

Advantages:

1. The welfare spending can stimulate the economy: If the FG pays out N5, 000 every month to the unemployed, it will stimulate the economy as more people are likely to spend than save. Some of the spending could even go into petty businesses which also keeps people employed, albeit underemployed.

2. It can help in reducing poverty: Whilst N5,000 is still below our minimum wage, it is very critical in helping reduce the effect of poverty.

3. Giving stipends to they youth will help to reduce the rising crime rate: Millions of people wake up hungry, having no idea of where the next meal will come from, this pushes people to commit crimes. Having N5, 000 in your pocket will take off the temptation to do evil….at least for a week.

Disadvantages:

1. Increased Debt:


The Federal Government would have to borrow to be able to finance this project. Declining revenues from crude oil will mean the FG have to look for alternatives to raise money to fund this project.

2. The project can be usurped due to the lack of a National Identity Database:

There are still doubts about the database our agencies churn out frequently. For example a lot of people believe Lagos is the most populated state in the country while others think it is Kano. No one knows the amount of people coming into the country on a daily basis through the borders, ports etc. Most of our data is based on speculation
How many youths in Nigeria are unemployed? 25 million? 30 million? 40 million? Nobody really knows, how the FG plans to get accurate and reliable data on those who are 100% unemployed and not under employed.

3. Lack of concrete data can lead to fraud, making associated costs spiral out of control:

Lack of reliable data on the real number of unemployed youths will likely make this scheme prone to fraud as it can easily be manipulated by the authorities in charge to pocket some extra change for themselves. This could cause corruption to fester.

4. Sustainability:

Assuming an unemployed population of 25 million, doing the math: N5, 000 x 25 million x 12 months = 1.5 trillion.

This is a humongous amount of money. How long will the FG keep up with this amount, also factoring the rise in population growth over the next few years?
more on...http://nairametrics.com/could-the-fg-really-afford-the-n5000-monthly-stipend-for-unemployed-youths/

Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Emmanuel Ibe Kachikwu has indicated that Nigeria may be “on the verge of a significant oil find” in the Lake Chad area of the northeastern part of the country.


“There are signs from the latest 3D seismic studies that oil may be very close to being found now in Lake Chad,” Kachikwu was quoted as saying in a statement issued by NNPC spokesman Ohi Alegbe. “I am optimistic that by the end of the year we should be able to announce something major on this,” he said in a presentation in Lagos, according to the statement.

Kachikwu, who is to be sworn in to President Muhammadu Buhari’s cabinet on Wednesday, is widely expected to become Minister of State in the petroleum ministry.
more on...http://nairametrics.com/nigeria-on-the-verge-of-oil-discovery-in-lake-chad-kachikwu/

MTN has announced the resignation of its Chief Executive Officer Mr Sifiso Dabengwa following the controversial $5billion fine imposed on it by the Nigerian Communication Commission. The company made this announcement in a press release in its website and referred to the prevailing circumstances in Nigeria as a reason. The former CEO explained his reason for resigning;


“Due to the most unfortunate prevailing circumstances occurring at MTN Nigeria, I, in the interest of the Company and its shareholders, have tendered my resignation with immediate effect,”

Replacing him in an acting capacity will be Phuthuma Nhleko, who is the current Non-executive Chairman. He has now been named Executive Chairman for the next 6 months pending when they find a suitable successor. Nhleko in his first official statement about Nigeria since being named CEO said;


“I will assume responsibility as Executive Chairman for the next 6 months as I proactively deal with the Nigerian regulator and will continue to work with them in addressing the issues around unregistered subscribers as a matter of urgency,”

According to MTN, Mr Nhleko is no stranger to the business as he served as Non-executive Director and Chairman of MTN from July 2001 until June 2002 and thereafter as an executive director, Group President and CEO until March 2011. He has subsequently chaired the Group in a Non-executive capacity for the past two and a half years (29 May 2013).
more on...http://nairametrics.com/mtns-new-ceo-makes-his-first-comment-about-nigeria/

The All Progressives Congress (APC) rode on the wind of “CHANGE”, making lots of promises in its campaigns to oust the Peoples Democratic Party in the 2015 elections. One of the key promises made by the Buhari/Osinbajo administration was the vow to create a Social Welfare Program of at least Five Thousand Naira (N5000) that will cater for the 25 million poorest and most vulnerable citizens upon the demonstration of children’s enrolment in school and evidence of immunisation to help promote family stability.

“As a nation and Sub Saharan Africa’s leading energy producer, we had in the past squandered the opportunity to build functional infrastructure to better the lives of the average Nigerian. We can no longer afford this luxury of inactivity. We must revive our public and private sectors in order to provide functional services and secure the good of the individual Nigerian and his or her family,” Buhari said in a document that revealed some of his plans for 2015.

This promise gave hope to millions of families, youths and women knowing that this policy would ameliorate the pains and sufferings of the teeming youths who bear the brunt of economic hardships.

On paper, this sounded like a good idea knowing that unemployed youths including those who have finished the National Youth Service Corp (NYSC) have a hope of getting some cash in their pockets pending the time when they get a good job, also

Six months into this administration there is now a level of uncertainty on how the government plans to keep this promise in the face of changing economic realities.

Oil prices now hover around $48 to $50, which is a significant drop from the era of $80 to $140 per barrel oil.

Nairametrics takes a critical look at some of the issues that the implementation of this policy throws up:

Advantages:

1. The welfare spending can stimulate the economy: If the FG pays out N5, 000 every month to the unemployed, this will stimulate the economy due to the increase in spending. Resourceful youths would start small businesses to use to earn a living, there will be more savings in banks.

2. It can help in reducing poverty: More businesses and savings will lead to reduction in poverty.

3. Giving stipends to they youth will help to reduce the rising crime rate: Millions of people wake up hungry, having no idea of where the next meal will come from, this pushes people to commit crimes. Having N5, 000 in your pocket will take off the temptation to do evil.

Disadvantages:

1. Increased Debt:


The Federal Government would have to borrow to be able to finance this project. Declining revenues from crude oil will mean the FG have to look for alternatives to raise money to fund this project.

2. The project can be usurped due to the lack of a National Identity Database:

There are still doubts about the database our agencies churn out frequently. For example a lot of people believe Lagos is the most populated state in the country while others think Kano. No one knows the amount of people coming into the country on a daily basis through the borders, ports etc. Most of our data is based on speculation.

How many youths in Nigeria are unemployed? 25 million? 30 million? 40 million? Nobody really knows, How does the FG plan to get accurate and reliable data on those who are 100% unemployed and not under employed.

3. The lack of concrete data can lead to fraud, making associated costs spiral out of control:

A lack of reliable data on the real number of unemployed youths will likely make this scheme prone to fraud as it can easily be manipulated by the authorities in charge to pocket some extra change for themselves. This could cause corruption to fester.

4. Sustainability:

Assuming an unemployed population of 25 million, doing the math: N5, 000 x 25 million x 12 months = 1.5 trillion.

This is a humongous amount of money. How long will the FG keep up with this amount, also factoring the rise in population growth over the next few years?
more on...[urlhttp://nairametrics.com/could-the-fg-really-afford-the-n5000-monthly-stipend-for-unemployed-youths/][/url]

The All Progressives Congress (APC) rode on the wind of “CHANGE”, making lots of promises in its campaigns to oust the Peoples Democratic Party in the 2015 elections. One of the key promises made by the Buhari/Osinbajo administration was the vow to create a Social Welfare Program of at least Five Thousand Naira (N5000) that will cater for the 25 million poorest and most vulnerable citizens upon the demonstration of children’s enrolment in school and evidence of immunisation to help promote family stability.

“As a nation and Sub Saharan Africa’s leading energy producer, we had in the past squandered the opportunity to build functional infrastructure to better the lives of the average Nigerian. We can no longer afford this luxury of inactivity. We must revive our public and private sectors in order to provide functional services and secure the good of the individual Nigerian and his or her family,” Buhari said in a document that revealed some of his plans for 2015.

This promise gave hope to millions of families, youths and women knowing that this policy would ameliorate the pains and sufferings of the teeming youths who bear the brunt of economic hardships.

On paper, this sounded like a good idea knowing that unemployed youths including those who have finished the National Youth Service Corp (NYSC) have a hope of getting some cash in their pockets pending the time when they get a good job, also

Six months into this administration there is now a level of uncertainty on how the government plans to keep this promise in the face of changing economic realities.

Oil prices now hover around $48 to $50, which is a significant drop from the era of $80 to $140 per barrel oil.

Nairametrics takes a critical look at some of the issues that the implementation of this policy throws up:

Advantages:

1. The welfare spending can stimulate the economy: If the FG pays out N5, 000 every month to the unemployed, this will stimulate the economy due to the increase in spending. Resourceful youths would start small businesses to use to earn a living, there will be more savings in banks.

2. It can help in reducing poverty: More businesses and savings will lead to reduction in poverty.

3. Giving stipends to they youth will help to reduce the rising crime rate: Millions of people wake up hungry, having no idea of where the next meal will come from, this pushes people to commit crimes. Having N5, 000 in your pocket will take off the temptation to do evil.

Disadvantages:

1. Increased Debt:


The Federal Government would have to borrow to be able to finance this project. Declining revenues from crude oil will mean the FG have to look for alternatives to raise money to fund this project.

2. The project can be usurped due to the lack of a National Identity Database:

There are still doubts about the database our agencies churn out frequently. For example a lot of people believe Lagos is the most populated state in the country while others think Kano. No one knows the amount of people coming into the country on a daily basis through the borders, ports etc. Most of our data is based on speculation.

How many youths in Nigeria are unemployed? 25 million? 30 million? 40 million? Nobody really knows, How does the FG plan to get accurate and reliable data on those who are 100% unemployed and not under employed.

3. The lack of concrete data can lead to fraud, making associated costs spiral out of control:

A lack of reliable data on the real number of unemployed youths will likely make this scheme prone to fraud as it can easily be manipulated by the authorities in charge to pocket some extra change for themselves. This could cause corruption to fester.

4. Sustainability:

Assuming an unemployed population of 25 million, doing the math: N5, 000 x 25 million x 12 months = 1.5 trillion.

This is a humongous amount of money. How long will the FG keep up with this amount, also factoring the rise in population growth over the next few years?
more...http://nairametrics.com/could-the-fg-really-afford-the-n5000-monthly-stipend-for-unemployed-youths/

The National Bureau of Statistics has released its Online Recruitment Report for the period May 2015 to September 2015. In the report, the number of applications completed rose significantly over the period under consideration, rising from 212,409 in May to 313,694 in September.

In contrast, the number of vacancies posted remained relatively stable, from 3,897 in May to 4,441 in September, meaning that they have become more competitive over the period, NBS reports. Thus there were 70 people chasing one job opening for the month of September. Here are other highlights of the report;

◾The Trade/Services industry dominated in the number of vacancies posted, with over two thirds of vacancies were posted by companies operating within this industry, and an average of 36% of applications made during the period made to such companies.
◾The majority of applicants were highly educated, with over 70% being educated to degree level or higher. In addition, the majority of applicants were between the ages of 20 and 30 years.
◾Lagos State was the most active and dominant state during the reference period, accounting for over half of both applications and vacancies posted. Over 7,000 applicants were based outside of Nigeria.
◾Applications Over the period the number of applications received grew considerably, from 212,409 in May to 313,694 in September, showing that the number of applications grew by roughly 50%.
◾There is a clear upward trend in the number of applications; every month saw an increase apart from July, when the number fell by 56,563 or 21%. The largest increase in the number of applications was between July and August, when the number increased by 73,625, or 34%
◾Interestingly 7,075 applicants were based outside Nigeria, which constitutes 5% of all applicants. This was more than the all of the states in the North East and North West combined.
◾The states from which there were the least applicants were Yobe and Jigawa, from which there were 61 and 74 applicants respectively.
more on...http://nairametrics.com/nbs-releases-online-recruitment-report-1-vacancy-for-every-70-applicant/

The FIFA under 17 world cup has been filled with a lot of trills and excitement. The tournament , which started on the 17th of October, has gotten to the semi – final stage with two African country in this stage of the competition, Nigeria and Mali respectively.

Here’s Our Statistics on the Tournament

So far, the tournament has recorded a total of 134 goals in 48 matches played, with Nigeria having the highest goal scored with 17 goals, 14 from open play and 3 set pieces, and only conceding 3 on the way to the semis.

The Best attacking team in the tournament is Mali, with 114 attempts on goal, scoring 9, having, 31 shots saved,29 shots blocked and 45 attempt off target, and 40 on target.

The African teams in the tournament scored 30 goal and conceded 14 goals as at the last game, this was also South Africa’s maiden edition but as for the remaining teams like Nigeria, Guinea and Mali, this ofcourse is not new to them.

Highest Goal Scorer

Nigeria’s Victor Osimhen is currently the highest goal scorer in the tournament, with 8 goals and 2 assist, he could equal the highest goal scored ever in the Under 17 world cup by Julio Gomez of Mexico in Mexico 2011 and Sinama Pongolle of France In Trinidad & Tobago 2001 where they both scored 9 goals respective, the advantage for Osimhen is that he has two games to equal and even surpass the record.



Cards

The team with the most cards is Brazil with 7 yellow cards and 2 red cards, they committed 62 fouls and suffered 72 in return, before they were knocked out by Nigeria in the quarter final stage, they are followed closely by Nigeria with 9 yellow cards and 1 red card.

The Bad Boys

The bad boys of the tournament also have their stats, with Nigeria’s Funsho Bambgoye being the worst of them, after 4 games he has gotten 2 yellow cards and a red card, he is followed by United State of America’s Auston Trusty who got a red card in his 1st game.

Saves

What is a team without the man in between the sticks, the keeper of the tournament so far, is Mexico’s Abraham Romero with 16 saves and has only conceded 2 goals throughout the competition so far, he has a whopping 88.9 % save rate.

Highest Attempts

Teams with highest attempts are as follows, Mali tops this group with 114 shots, 40 on target, 45 off target, and 3 hit the wood work this is followed closely by Nigeria with 89 shots, 37 on target, 33 off target, and 2 hit the wood work the third on this list is the samba boys Brazil, with 81 shots, 21 on target, 37 off target and 1 hit the wood work.


Teams with Most Victories

Nigeria has ruled as king of the under 17 world for a while now, they have the most victories in this level, they have won this tournament 4 times in 1985,1993,2007 and the last edition at 2013 where the star ihenacho was founded before moving to man-city and getting his first call up to the national team. Nigeria is followed closely by Brazil, the samba boys have won this tournament 3 times they won in 1997, 1999, and 2003. After Brazil is another African team Ghana, the young black starlets of Ghana have won this tournament twice, they won it 19991 and 1995.

With two African countries in the semi- final, I can only hope Nigeria and Mali can make it to the final, so it can really be an African affair, at this years Under 17 world cup, the 1st semi -final will take place on the 5th of November between Mali and Belgium at 17:00 Gmt, at estadio la portada la serena, this would be followed by Nigeria vs Mexico which will take place at estadio municipal ester roa concepcion at 20:00 Gmt also on the 5th of November.



From these statistics, who do you think will take home the trophy?

Nigeria 17 goals 3 conceded

Mali 9 goals 1 conceded

Guinea 2 goals 5 conceded

South africa 2 goals 5 conceded

These statistics are as at the last matches played.

Rooting for the Golden eaglets…..Lets go Boyz.
more on...http://nairametrics.com/the-thrills-excitement-and-statistics-of-the-fifa-under-17-world-cup/

President Muhammadu Buhari, who was inaugurated May 29, is the antithesis of the stereotypical Nigerian politician: incorruptible, soft-spoken, self-effacing and deliberate. He embraces the nickname “Baba Go-Slow and Steady.” Buhari’s unhurried style has its downsides, however: It took him an unprecedented four months to name a solid but unextraordinary cabinet. His reform agenda appears to be sauntering out of the gates, according to the civil society-run Buharimeter.

In the meantime, the challenges facing Africa’s most populous nation and largest economy continue to grow: Oil revenues are down, currency value has slipped and Boko Haram has killed more than 1,700 since June. Nigerians nevertheless expect their new president’s reform agenda to show tangible results, and soon. Given these imperatives, here are five things Buhari can do to get the ball rolling:

1. Carefully clean house. Buhari’s reform agenda probably faces its greatest threat from corrupt, old-school politicians within his own All Progressives Congress (APC) party. Buhari should neutralize some of the APC’s shadiest figures, who could emerge as “veto players,” as described in Carl LeVan’s recent book.

Examples of these kleptocrats are not hard to find. The U.S. Department of Justice has accused one sitting APC governor of helping former dictator Sani Abacha steal at least $458 million from state coffers. Likewise, both APC candidates in the upcoming Kogi and Bayelsa State governorship elections have been indicted by Nigeria’s anti-corruption agency.

Admittedly, housecleaning carries political risks for Buhari. After all, his victorious electoral coalition included powerful defectors from former president Goodluck Jonathan’s People’s Democratic Party (PDP). If he unduly antagonizes these establishment figures, they could derail his party’s newfound dominance by joining their former comrades in the opposition PDP.

2. Pare down the parastatals. Buhari has an opportunity to realize immediate savings by eliminating or merging some of Nigeria’s more than 500 federal parastatals and boards. Parastatals are government-operated companies or commercial agencies. Pundits allege that past presidents used parastatal appointments to cultivate national political allies and provincial cronies. These institutions, which range from the lucrative to the modest to the moribund, have long been a cornerstone of corruption in Nigeria.

Buhari may also want to disband some nice-to-have but non-essential parastatals in light of competing priorities and current fiscal constraints. Does Nigeria need to spend more than $4 million annually on a Center for Space Transport and Propulsion? Is there an effort underway to rescue the supposedly stranded Nigerian astronaut featured in this legendary scam letter?

3. Tame the white elephants. Buhari’s apparent determination to revive two “white elephant” economic sectors — domestic oil refineries and steel mills — worry industry experts. Nigeria is replete with these kinds of investment projects where state-owned enterprises are funded for long periods even if they incur huge losses. For decades, Nigerian leaders have thrown good money after bad at these projects because, as Robinson and Torvik argue, white elephant projects yield short-term political gains.


Buhari, like any of the rest of us, could stumble into a sunk cost dilemma where his efforts to maximize future returns of Nigeria’s white elephants only increase their cumulative losses. Instead, he should address the graft, inconsistent policies and opaque privatization deals that experts say turned these industries into white elephants in the first place.

4. Rein in subnational debt. As Buhari tries to put Nigeria’s public finances back in order, the balance sheets of the country’s 36 states are sinking deeper into the red. In a decentralized federal system like Nigeria’s, state budgets typically affect the lives of ordinary citizens more than federal spending does. Since taking office, Buhari has already bailed out 27 cash-strapped states to the tune of $2.1 billion. States’ borrowing trends are risky and need to be addressed, according to a recent report by the African Development Bank.

All but a few states generate minimal revenue outside of their monthly allocation of Nigeria’s anemic oil income. While Nigeria’s national debt is still relatively low by global standards, fiscal federalism means that if states default on their debts, the federal government foots the bill. Buhari’s reasons for watching state borrowing should also be personal: One of the stated reasons for the 1983 military coup that first brought him to power was runaway borrowing by state governors.

5. Legislate for the long run. Nigeria will need to feel the “Buhari Effect” (the sense, evident in a recent New York Times article, that there is a new sheriff in town) long after the president’s tenure is over. The best way for him to protect his legacy is to partner with the National Assembly to enact legislation enshrining key reforms. With few other politicians like him on the horizon, Buhari should put his legacy in writing.

A good place to start would be an act prohibiting the use of “security votes.” Both a definitive article by Uche et al. and a 2007 Human Rights Watch report illustrate how these secretive budgetary line items are used by officials at all levels of government as slush funds. Even Nigeria’s leading anti-corruption agency had a $1,000,000 security vote included in its 2014 budget. Buhari has his work cut out for him.
more on...http://nairametrics.com/5-things-that-president-buhari-can-do-to-get-his-country-back-on-track/

The NNPC said on Tuesday it will replace the current Offshore Processing Arrangement with an arrangement under which it will directly sell crude oil to and purchase refined oil products from companies that own or operate refineries.

In a statement it said the move was “designed to enshrine transparency and eliminate the activities of middlemen” in the swap scheme. The OPA bidding process, which involved more than 100 companies began last month.

This move in essence has now eliminated trading companies who typically engage in the controversial Oil Swap deals. The deals were marred with controversy as many perceived players hardly imported the right quantity of products despite earnings huge commissions.

Industry analysts have been calling for an end to this for donkey years and had their prayers answered when the Buhari Government indicated that it will stop it. The NNPC will not have to prove that it has the operational capacity to make things work without hurting badly needed supplies to the domestic economy.
more on...http://nairametrics.com/finally-nnpc-kills-opa/

Shares of Oando Plc dropped below N6 for the first time in over 5 years as investors continue to react to its latest earnings. However, unlike last week when the share price dropped 9% everyday, it closed nearly flat on Monday losing just 0.33%.

For shareholders who spoke to Nairametrics on condition of anonymity this might not be so much of a good news as it is bad. Mike (not the real name) who spoke to us said he bought the share at about N20 hoping that the share price will rise once again to N30. Mike had hoped that the ConocoPhillips acquisition would still ensure that the company churn out profits regardless of the drop in the price of oil. After all, Seplat was still posting profits albeit huge declines but they still paid dividends.

Mike also opined that Oando had a knack for trading on technicalities and would get another bump if the results turn out better than he had even thought. However, when the share price started to drop back in June he held back hoping the price could once again rise. The share price dropped further in August to under N10 in putting him under pressure to sell. But, when he figured he would be losing nearly 50% of his value he decided to hang on. Things seemed upbeat initially as the share price started to rise sometime in September hitting a peak of about N11.90. Unfortunately the share price never recovered beyond that price as it started to fall dropping to as low as N9 before the results were announced. Mike looks back and regrets not selling early enough. His biggest quagmire however is whether to sell or just wait out the storm. After all, he who is down fears no fall.


Lucy (real name withheld) another shareholder informed Nairametrics that she bought the shares on the day the results was announced and was now weighing up her options on whether to buy sell or hold. Asked why she bought the share at all, she informed Nairametrics that when she saw the share price trading at N9 it looked to her like a huge bargain. Just some months back she had seen Oando trade at N18. She also remembered the stock rising from N9 to N30 during the year-long negotiation for the COP deal. Her plans however went awry when she saw online later in the evening that Oando had reported a massive loss in its full year results. She couldn’t believe how she could have made such a huge “mistake”. If only she had not checked out stocks on that fateful morning she would not have fell into the “trap”, she tells Nairametrics. She decides she will have no choice but to sell and cut her losses as she wasn’t looking to wait this out. A loss of this magnitude is too much for her to wait out considering how long it could take before she gets dividends.
more on...http://nairametrics.com/a-tale-of-two-investors-who-bought-oando-shares-at-the-wrong-time/

Chairman, Egbin Power Station, Mr Kola Adesina, said the N39 billion being owed the firm by the Federal Government is frustrating its expansion plan.

He said the debt has been hanging since November 2013.

Adesina said the debt was equally creating some bottleneck in the company’s planned capacity expansion initiative.

The non-activation of Power Purchase Agreement (PPA) by government, he said, was also posing operational challenges in the system.

The chairman said the management of the firm had fulfilled all performance agreement it entered into with government upon its acquisition in November 2013.


He said the management was planning to raise the plant’s capacity by additional 1,350megawatts (Mw) to hit 2,670Mw by 2019.

According to him, about $1.3 million will be spent on the proposed expansion programme of the plant.
more on...http://nairametrics.com/federal-government-owes-egbin-station-n39b/

MTN Group Ltd., the African mobile-network operator that faces a record $5.2 billion fine in Nigeria, said the country’s Communications Commission (NCC) approved the renewal and extension of its license for another five years.

MTN’s operating spectrum, which was issued along with the digital-mobile license in 2001 with an original expiry date of February 2016, has now been extended to Aug. 31, 2021,” the Johannesburg-based company said in a statement on Tuesday. MTN has to pay $94.2 million by Dec. 31 to secure the license for the 900MHz and 1800MHz frequency bands and the extension, it said.


While the regulator has approved the license, MTN remains in negotiations over its fine for failing to comply with an order to disconnect customers with unregistered phone cards. Since the penalty was disclosed, the operator’s share price has plummeted 22 percent, with trade being temporarily suspended yesterday to give the company time to communicate with the market and try stem the decline. MTN has until Nov. 16 to pay the penalty.

Apart from its digital-mobile license, MTN also has a unified access permit and a 3G spectrum license in Nigeria, it said, without providing details on when those are due to expire.
more on...http://nairametrics.com/mtn-renews-nigeria-license-till-2021-despite-ongoing-negotiations-over-fine/

Cadbury Nigeria Plc, owners of Bournvita beverage drink has announced a partnership with Indomie Noodles. The partnership will see Cadbury sell a promo pack Bournvita along with five sachets of Indomie

Leading beverage brand, Bournvita, a product of Cadbury Nigeria Plc, has partnered Indomie Noodles to launch Bournvita celebration promo pack. The specially designed Bournvita pack comes with three and five sachets of Indomie for 500 and 900 grams Bournvita respectively and still sell for the normal price in the market.

According to Managing Director of Cadbury West Africa, Mr. Roy Naaman,Cadbury


“We are joining the power of two iconic brands in the country. Bournvita and Indomie are leading brands who have decided to collaborate in order to provide more value to our consumers. We have two packs of 500 and 900 grams Bournvita which contain three and five packs of Indomie noodles respectively. The price for both 500 and 900 grams of Bournvita remain the same. The additional packs of Indomie noodles comes at no extra cost”

However, analysts interviewed by Nairametrics suggest this is much more than a partnership between two companies. They opine that Cadbury has been facing a significant drop in sales of its premium Bournvita beverage drink and badly needs a boost to help drive sales back up. A look at the company’s latest 9 months results also buttresses this view as revenue dropped 10% to N21 billion year on year.

According to analysts at ARM;



on a quarterly basis, revenue growth remained negative for the eight consecutive quarter (-13.2% YoY to N6.9billion vs. Q3 15E:N6.5billion). Amid no change in pricing, top-line weakness continues to reflect slack volume growth at Cadbury due to weaker consumer purchasing power.

What this all means is that Cadbury’s flagship product Bournvita is not selling and needs a major booster. Cadbury needs to get its top line revenue growth back on track and thus may need to do a lot more than partnering with Indomie Noodles. Surely, consumers will see this deal as an attractive proposition considering that it offers them a freebie. However, consumers who have long decided to adjust their pockets won’t go for jumbo pack drinks. Most would rather prefer to buy in sachets should they need to take chocolate drinks.

A 900g of Bournvita is about N1,850 should you want to buy it and get the freebie noodles. However, A 70g Indomie Noodle cost between N60 to N80 depending on the flavour whilst a 20g Bournvita sachet cost between N30 to N40. It will be interesting to see how this pans out and if the company might be introducing other moves aimed at boosting sales. Investors won’t care less if this Indomie move works or not provided top line revenue growth is back on track. To many, doing something is better than doing nothing.
more on...http://nairametrics.com/can-indomie-noodles-save-cadbury-bournvita/

There are very few things in life that is as satisfactory as getting a job soon after graduating from University. As such, it isn’t strange to see entry level employees suddenly feel they have ‘arrived’ and can now enjoy all the “good things” that comes with life. Unfortunately we all have limitations in life which makes our wants are always limited to choices. It is why no matter how much we earn it is never enough to cater for all our needs. This fact becomes even more pertinent for interns or freshly employed graduates. Whilst your newly earned salaries puts you at the start of financial independence, there are certain financial decisions you may be tempted to make that can put you quickly on the path of financial ruin and take away money that would have been better served for investment purposes. Here are some example;

Consumer Loans – The moment you pick up that plum job and start seeing your bank accounts swell, banks, shops, and businesses that offer all sorts of consumer products will approach you. In Nigeria, it is a given to be offered debit cards once you open a bank account. What follows next are credit cards and all kinds promos that makes acquiring things you need and don’t need pretty easy to acquire. For those who find it hard being frugal it’s the easiest way into financial ruin. You must try to avoid them except where necessary and start by learning to live according to your means.

Cars

Cars are an important aspect of life and as Nigerians, we depend on them a lot to commute and carry on with our daily livelihood. Due to the poor transportation network in the country, the choice of having a car makes this asset irresistible and far above our needs. Despite its importance one needs to be smart about buying a car. For example, an entry-level employee need not buy an expensive car just because of the need to own a car. Because cars are very easily prone to upgrades a new car today can become relatively obsolete tomorrow.

Cellphone– I like cellphones a lot and I have used or bought most of the most popular brands around. However, I have made two important observations. One is that phones also get obsolete pretty quickly. The latest phone today can soon be a “has been” tomorrow. The industry is just so competitive phone makers fall over each other to release newer versions. This also leads me to my next observation which is that phones become cheap within a short period. A phone bought for N100,000 today can be worth N50,000 in a months time. Based on this, one wonders why people don’t wait till phones are cheap before you can buy them? The reason is probably that the phones are so very well marketed and advertised the lure to be the first to own them far outweighs the wisdom of owning the same product at a bargain.

House – Owning a home is mostly regarded as a fulfillment of one’s mission in life and an attainment of an important societal goal. That said, a house is not an end in itself and shouldn’t be considered as the most important thing in life. An entry-level employee has no business taking out a mortgage in the early stages of their careers. Rather than burdening yourself with debts early on, efforts should be directed at building up your investments. You can buy lands when the opportunity arises in the hope that the value rises in future and then use the capital gains as equity to purchase a property of your own. Also, living in neighborhoods associated with high rents should be avoided by all means as you begin your career. It does nothing more than eat into money meant for investments.

Computer and Gadgets – Everyone needs a computer and gadget in this modern world of ours. However, just like Cellphones computers, tablets and gadgets are easily replaceable and cost less over a very short time. Computers for example range between N50,000 to N500,000 and all can relatively perform basic computing functions. Tablets are even worse as they cost more and are suboptimal when it comes to core computing functions however, people spend a lot on these items As a fresh intern, what you need is to get yourself a basic gadget that meet your immediate need at the cheapest of prices.


Fashion – Fashionable items are an irresistible part of life and tend to consume a huge portion of our income. As an Intern or Freshly employed, been fashionable ought not to be a priority. I made that mistake myself and spent a lot trying to look good all the time. However, each time In invested so much in looking good a new trend is quickly ushered in and soon my expensive wears become obsolete as well. Looking back, I realized all I needed was just something nice, basic, time-tested and cheap. I need not spend that much wearing the latest when after all I could have still done that now that I am older and better financially secured. The lesson is that fashion is not running away and would always remain par of humanity. Therefore, if you are out of it today you can easily catch up tomorrow.

Expensive Vacationing– It’s great to enjoy a vacation once in a while even as a fresh recruit. Just like above, vacation hot spots are there forever and so, if you miss going on vacation this year, you can still get the same fun next year. If you must go on vacation, make sure it is too a destination you can afford. It is however, more important to base your decision to go on vacation on how far you have come in your investment life. Only go on expensive vacations after you have met youth investment goals and when you can afford it.
more on...http://nairametrics.com/things-never-buy-rush/?utm_source=&utm_medium=twitter

There are very few things in life that is as satisfactory as getting a job soon after graduating from University. As such, it isn’t strange to see entry level employees suddenly feel they have ‘arrived’ and can now enjoy all the “good things” that comes with life. Unfortunately we all have limitations in life which makes our wants are always limited to choices. It is why no matter how much we earn it is never enough to cater for all our needs. This fact becomes even more pertinent for interns or freshly employed graduates. Whilst your newly earned salaries puts you at the start of financial independence, there are certain financial decisions you may be tempted to make that can put you quickly on the path of financial ruin and take away money that would have been better served for investment purposes. Here are some example;

Consumer Loans – The moment you pick up that plum job and start seeing your bank accounts swell, banks, shops, and businesses that offer all sorts of consumer products will approach you. In Nigeria, it is a given to be offered debit cards once you open a bank account. What follows next are credit cards and all kinds promos that makes acquiring things you need and don’t need pretty easy to acquire. For those who find it hard being frugal it’s the easiest way into financial ruin. You must try to avoid them except where necessary and start by learning to live according to your means.

Cars

Cars are an important aspect of life and as Nigerians, we depend on them a lot to commute and carry on with our daily livelihood. Due to the poor transportation network in the country, the choice of having a car makes this asset irresistible and far above our needs. Despite its importance one needs to be smart about buying a car. For example, an entry-level employee need not buy an expensive car just because of the need to own a car. Because cars are very easily prone to upgrades a new car today can become relatively obsolete tomorrow.

Cellphone– I like cellphones a lot and I have used or bought most of the most popular brands around. However, I have made two important observations. One is that phones also get obsolete pretty quickly. The latest phone today can soon be a “has been” tomorrow. The industry is just so competitive phone makers fall over each other to release newer versions. This also leads me to my next observation which is that phones become cheap within a short period. A phone bought for N100,000 today can be worth N50,000 in a months time. Based on this, one wonders why people don’t wait till phones are cheap before you can buy them? The reason is probably that the phones are so very well marketed and advertised the lure to be the first to own them far outweighs the wisdom of owning the same product at a bargain.

House – Owning a home is mostly regarded as a fulfillment of one’s mission in life and an attainment of an important societal goal. That said, a house is not an end in itself and shouldn’t be considered as the most important thing in life. An entry-level employee has no business taking out a mortgage in the early stages of their careers. Rather than burdening yourself with debts early on, efforts should be directed at building up your investments. You can buy lands when the opportunity arises in the hope that the value rises in future and then use the capital gains as equity to purchase a property of your own. Also, living in neighborhoods associated with high rents should be avoided by all means as you begin your career. It does nothing more than eat into money meant for investments.

Computer and Gadgets – Everyone needs a computer and gadget in this modern world of ours. However, just like Cellphones computers, tablets and gadgets are easily replaceable and cost less over a very short time. Computers for example range between N50,000 to N500,000 and all can relatively perform basic computing functions. Tablets are even worse as they cost more and are suboptimal when it comes to core computing functions however, people spend a lot on these items As a fresh intern, what you need is to get yourself a basic gadget that meet your immediate need at the cheapest of prices.


Fashion – Fashionable items are an irresistible part of life and tend to consume a huge portion of our income. As an Intern or Freshly employed, been fashionable ought not to be a priority. I made that mistake myself and spent a lot trying to look good all the time. However, each time In invested so much in looking good a new trend is quickly ushered in and soon my expensive wears become obsolete as well. Looking back, I realized all I needed was just something nice, basic, time-tested and cheap. I need not spend that much wearing the latest when after all I could have still done that now that I am older and better financially secured. The lesson is that fashion is not running away and would always remain par of humanity. Therefore, if you are out of it today you can easily catch up tomorrow.

Expensive Vacationing– It’s great to enjoy a vacation once in a while even as a fresh recruit. Just like above, vacation hot spots are there forever and so, if you miss going on vacation this year, you can still get the same fun next year. If you must go on vacation, make sure it is too a destination you can afford. It is however, more important to base your decision to go on vacation on how far you have come in your investment life. Only go on expensive vacations after you have met youth investment goals and when you can afford it.
more on...http://nairametrics.com/things-never-buy-rush/?utm_source=&utm_medium=twitter

According to reports coming out from South Africa, the record fine levied on MTN Nigeria is linked to the role that unregistered MTN sim cards played in the kidnap of former minister of finance Olu Falae.

The source, South Africa’s City Press, reports that Nigerian Communications Commission (NCC) said the phone lines that the kidnappers used to conduct ransom negotiations belonged to MTN.


“Falae’s kidnappers used MTN SIM cards and MTN was unable to provide any registration data for those SIMs,” the commission said, as quoted in the report.

Sources close to the Commission say the decision on the $5.2 billion sanction was no longer a regulatory issue but now a matter of national security.


“The government insisted they must be sanctioned to make the right statement,” said an official quoted in the report. “In South Africa you can’t break their laws and get away with it. So why come to Nigeria and flout the laws?”

Other sources say that MTN had previously been warned about the security threat of unregistered sim cards.

The report said that MTN, along with other Telcos have been previously fined for flouting rules, based on the sum of N200,000 per defaulting SIM card. But the sim cards which were fined were based on random, limited-sample monitoring exercises, and not as numerous as in the current case. This could have given the impression that the fines were just a slap-on-the-wrist.



But “this time, the commission decided to penalize MTN for the total number of improperly registered cards – hence the unprecedented size of the fine”.

The report continues by saying that before Falae was kidnapped, the Office of the National Security Adviser (ONSA), and the Department of State Security (DSS) cited concerns that the absence of registration data on sims was being exploited by criminals from kidnappers and fraudsters to Boko Haram.

In a meeting in August, Telcos were instructed to deactivate invalid and improperly registered SIM cards.

One week after the deadline had elapsed, the NCC’s head of compliance said at a press conference that, while other networks were taking steps to deactivate defaulting lines, MTN, which accounted for 47 percent of the improperly registered cards, showed “no compliance”.
more on...http://nairametrics.com/report-links-mtn-nigerias-record-5billion-fine-to-kidnap-of-former-minister-olu-falae-and-several-unheeded-warnings/

Nairametrics has received a list indicating portfolios assigned to ministerial appointees that will serve in the Muhammadu Buhari’s cabinet.

Here’s what the list looks like;

Agric and Natural Resources Audu Ogbeh (Benue)
Agric and Natural Resources Geoffrey Onyema (Enugu)
Attorney General, James Ocholi (Kogi)
Aviation Sen Hadi Sirika (Katsina)
Defence Abdulrahman Dambazau(Kano)
Defence (State) Dan Ali (Zamfara)
Education . Isaac Adewole (Osun)
FCT (State) Solomon Dalong (Plateau)
Federal Capital Territory Abubakar Bawa Bwari (Niger)
Finance Okechukwu Enelamah (Abia)
Finance (State) Kemi Adeosun (Ogun)
Foreign Affairs . Kayode Fayemi- (Ekiti)
Foreign Affairs (State) Adamu Adamu (Bauchi)
Health Osagie Ehanire (Edo)
Information, Communication Technology Lai Mohammed (Kwara)
Interior Cladius Omoleye Daramola (Ondo)
Labour Prof Anthony Onwuka (Imo)
Mines and Steel Development Abubakar Malami (Kebbi)
National Planning Amina Mohammed (Gombe)
Niger Delta Affairs Rotimi Amaechi
Niger Delta Affairs (State) Pastor Usani Uguru (Cross River)
Petroleum Ibe Kachikwu (Delta)
Police Affairs Chris Ngige (Anambra)
Power Babatunde Fashola (Lagos)
Sports & Youth Development Heineken Lokpobiri (Bayelsa)
Trade and Investment Udo Udo Udoma (Akwa Ibom)
Trade and Investment (State) Zainab Ahmed (Kaduna)
Women Affairs Hajia Khadija Bukar Ibrahim (Yobe)
Works & Transport Ogbonaya Onu- (Ebonyi) Ogbonaya Onu- (Ebonyi)
Works (State) Barr. Adebayo Shittu (Oyo)
more on...http://nairametrics.com/reports-buharis-ministers-get-their-portfolio/

Nigeria’s foreign exchange reserves fell to $30.13 billion by Oct. 27, down 0.84 percent from a month ago, Central Bank of Nigeria’s data showed on Friday.

Foreign reserves were down 22.43 percent year-on-year from $38.86 billion a year ago, the data showed.

The fall in reserve reflects the sale of dollars by the central bank to defend the naira currency which has been hit by the plunge in oil prices.
more on...http://nairametrics.com/foreign-reserve-down-0-84-to-30-13-bln/

The Nigerian Communications Commission (NCC) has given MTN Group two weeks to pay a $5.2 billion fine imposed on the mobile phone company for failure to cut off users with unregistered SIM cards, its spokesman said on Friday.

The NCC imposed the penalty on Monday, hitting Africa’s biggest mobile phone operator’s stock price. Nigeria is MTN’s biggest market by subscribers.

According to spokesman of NCC, Tony Ojobo, MTN had until Nov. 16 to make the payment, but the two sides were in talks to resolve the matter. “The outcome of the discussion may affect the date. That’s why they are having the discussion so that they can reach a solution,” Ojobo said

According to sources, the presidency and internal security agency were also involved in the talks.

MTN shares, up 3 percent at 159.03 rand by 0955 GMT in a slightly higher JSE Top-40 index, have slumped about 20 percent since Monday, knocking more than 60 billion rand ($4.4 billion) off the company’s market value.


If it stands, the penalty would wipe out more than two years of MTN’s annual profits.
more on...http://nairametrics.com/ncc-gives-mtn-2-weeks-to-pay-5-2bn-fine/

Professor Isaac Folorunso Adewole is an infamous nominee in the Buhari’s ministerial list. Due to his vast experience and dedication to the medical world, analyst have tipped him to be a successful minister in the Federal cabinet. They have suggested that he should be assigned to education or health ministry. These are what we know about him:
1. He is a medical doctor by profession: he is a well renowned Obstetrician and Gynaecologist at the university teaching hospital in Ibadan (UCH). He is also an adjunct Professor at North-western University, Chicago, Illinois, USA.
2. He was sacked by Gen. Buhari 30 years ago: Although nominated by the president himself, history has it that in 1985, Professor Isaac Folorunso Adewole, then the secretary of the Association of Resident Doctors at the University College Hospital in Ibadan was sacked and declared wanted by the Gen. Buhari Military Administration.
3. He is an advocate for multidisciplinary medical organisations: He has led several movements on the Campaign against Unwanted Pregnancy, Reducing the burden of Unsafe abortion in Nigeria, and nationwide access to cervical cancer screening.
4. He is a pundit: In 2014, during theEbola virus outbreak in Nigeria, he led a panel of experts to brainstorm on the latest scientific information on the nature of the virus. He called on the security agencies to investigate the bank accounts of Patrick Sawyer, who imported the virus into the country to know whether he was paid to terrorise the country with the virus.
5. He is an active member of different organisations: Professor Isaac Folorunso Adewole is also a member of various organizations, here are but a few:
◾ Member of Pan African University Council
◾ Member of the Governing Council, Association of Commonwealth Universities (ACU), London, Member of Cancer Ethics Committee (IEC)
◾Member of International Agency for Research on Cancer
◾ Member of the African Organization for Research and Training in Cancer
◾Member of National Panel on Cervical Cancer Control Policy
◾ Member of Medical Practitioner Disciplinary Tribunal
◾ Member of the Nigerian Medical Association
◾Member of the Society of Gynaecology and Obstetrics of Nigeria (SOGON).
6. He is an academic ‘celeb’: He was the Vice-Chancellor of the University of Ibadan, former President of the African Organisation for Research Training in Cancer, the Provost, College of Medicine, University of Ibadan before he became Vice Chancellor. Professor Adewole is a member of the governing council, Adeleke University and currently chairs the National Panel on Cervical Cancer Control Policy.
more on...http://nairametrics.com/6-things-we-certainly-know-about-ministerial-appointee-professor-isaac-folorunso-adewole/

UBA Plc has issued a press release confirming that it was fined N2.8 billion by the CBN for failing to remit a sum of N58.8 billion of the government funds to the Treasury Single Account (TSA). The amount represents about 5% of the sum not remitted and would have been avoided had the bank met the deadline of October 15.

This is a pure operational lax from the management of the bank and we will be surprised if someone in the bank fails to take the fall for this huge gaffe. Using the latest 9 Months results, N2.9 billion is about 5% of the banks pre-tax profits or 1% of Gross Earnings. The amount is also about 77% of the about N3.6 billion dividends it paid on the 27th of April this year (assuming 36.2 billion shares). UBA paid a further interim dividend of N7.2 billion this year taking its total dividend payout this year to about N10.8 billion. Thus this fine will cost the company about 26% of total dividend paid.
more on...http://nairametrics.com/uba-admits-to-being-fined-a-whopping-n2-8-billion/

FBN Holdings has acknowledged the fine of N1.877 billion that was levied on it by the bank regulator, CBN, for withholding the funds of the National oil company NNPC, due to be remitted to the Treasury Single Account (TSA). It also confirmed that the fine has since been paid.

FBN Holdings company secretary Tijjani Borodo, in a letter to the Nigeria Stock Exchange said: “In response to the widespread media reports, we wish to confirm and acknowledge the imposition of the sum of N1.877 billion by the CBN on our subsidiary First Bank of Nigeria, and declare that the fine has since been paid.

“However, the Management of First Bank is still engaging in conversation with the CBN on the regulatory decision.

“Kindly be assured that the bank and the entire FBN Group as responsible corporate citizens remain committed to values epitomized by strict compliance to the highest standards of ethics and corporate governance”.

First Bank’s N1.877 billion fine is estimated to be 5% of the N37.5 billion witheld sum.


The bank is one out of four companies in the past few days which have been in the spotlight for irking regulators.
more on...http://nairametrics.com/fbn-holdings-confirm-payment-of-n1-87-billion-tsa-fine/

On investment, Okechukwu Enelamah said: “We need to invest in hard and soft infrastructure.”

On unemployment: “Our youths should be getting training that can make them equipped. The most important a young man needs to get is skill.”

On national growth: “All growth are not equal, there is growth and there are growths. The potential of this country is enormous.”

“We are facing challenging times in this nation. We need shared visions.”

His Promise: ‘I will work tirelessly in collaboration with other stakeholders in building a Nigeria of our dreams.”

On Job creation: Enelamah says: “We need to build an economy that is all-inclusive, an economy that will create jobs.” “Me and my generation have benefited so much from the nation and it’s time to give back.”

Enelamah on tax payment: “We need to have a responsible government that will create a relationship with the people. The tax we collect in this country is quite small

On The Budget: “We should budget for what we can spend and spend what we have. The key is transparency and accountability.”

On Investment: “We need to create room for local investors to invest and give opportunity for Local entrepreneurs. Foreign investors don’t invest because our local investors don’t invest in Nigeria. It’s sends a wrong message.”

On The Naira: “There is a difference between Interest rate and Currency rate. One of the reasons why interests rates are high is because of the Currency.”


Still on Investment: “We need to signal that we are friendly to investors to create an enabling environment. Most people will only invest in places where they are sure to get returns. I believe we can attract investment.”

Enelamah says: “To have an enabling environment, we need to have a clear vision of what we want.”

Concerning Power: “We need collaboration to solve the power problem.”

On Nation Development: “No nation develops on its own, its paramount that an environment is attractive for investors to invest.”

Enelamah on Foreign Exchange Policy: “We need to look at the policies that will foster inclusive growth. You have to create an enabling environment to export.”

On the Private and Public Sector : “I’m a greater believer of the partnership that can occur in the private and public sector. The Private Sector wants profit & Public Sector wants service to the people, I believe they can coexist.”
more on....http://nairametrics.com/here-are-some-of-the-best-punchlines-from-ministerial-nominee-okechukwu-eyinna-enelamah/

Guinness Nigeria Plc released its 2015 first quarter results for the period ended September 2015 showing pre-tax profits fell a whopping 71% year on year. The company had in the preceding quarter also announced a 20% drop in full year profits as it continues to quiver over a shift in beer consumption pattern in Nigeria. Any keen observer would have noticed that Nigerians currently drink more of spirits than beer.

It is not that Nigerians don’t love beer, it is just that they have changed their tastes, sentiments and preference. In changing consumption patterns they have also decided on how much they can pay for alcohol. With the influx of various liquors (both refined and unrefined) all over our street corners, most people are washed with options…much cheaper options. With as much as N50, you can get yourself a ‘quality’ douse of alcohol enough to satisfy thirst. The days where you need to rely on bottled beer to quench thirst is gone and won’t be coming back soon. Guinness recognised this change in consumption pattern and had quickly settled in for value beers. In comes Orijin!

Orijin

Guinness reported its first major profit decline in 2012 when it miscalculated by increasing prices of its flagship brands. The increase in prices affected volumes as beer drinkers abandoned its premium brands for cheaper brands that were near substitutes. This was a major headache for Guinness who quickly responded with an intensified marketing of its Dubic brand which it launched in 2012. It did not stop there and went on to Launch the Orijin brand in 2014. With two value brands in the market (in addition to Snap) it had at least protected market share. Losing on both market share and sales was not an option.

Impact of Orijin

Orijin to its credit has taken the market by storm and is probably one of the most popular drinks in town. The drink comes in various flavours, shapes and sizes and caters to different tastes and pockets. Whilst the drink has been a major hit amongst beer drinkers it hasn’t been a success story for Guinness as the results indicates.

Guinness makes its money by selling premium beer which is what Guinness Stout has done for decades. It’s premium positioning and pricing helps Guinness pay for its huge operational costs. However, with people drinking less Guinness and more Orijin the company cannot generate enough sales to drive profitability growth. It is a challenge the company itself recognises affirming it when it presented its investor presentation for its 2014 FY results. Back then it referenced growth in its value segment as one of the major drivers for its profitability decline.


The CEO also referred to the impact of the growth of its valued brands in its press released issued last week.


“In the period under review, sales continued to grow despite a challenging trading environment, being 3% ahead of the same quarter last year. Despite the sales growth, gross profit declined by 12% versus the same period last year due to the impact of exchange rate devaluation, inflation, an increased share of value brands, together with the phasing of costs. ”

So whilst Orijin has been a major success for the company in terms of gaining market share and increasing top line sales, it has also crowded out Guinness Stout taking down profits in its wake. How the company intends to balance this quagmire is unclear as it has not provided investors with a pathway. It has to continue to rely on Orijin to drive sales but will need Guinness sales to bounce back if profits are to grow again.

For now it seems they are focused on reigning in on cost whilst maintaining market share. Their fate is probably intertwined with spending and consumption pattern of Nigerians which is affected by increase in their disposable income as well as a rebound of robust economic growth. For now, they can only hope that you drink more Guinness Stout.
more on...http://nairametrics.com/why-orijin-is-causing-more-harm-than-good-to-guinness/

About a decade ago, some early scientific research suggested that playing memory games could increase “fluid intelligence,” which is the capacity to solve problems in novel situations, independent of acquired knowledge.

A spate of apps, books and classes resulted, all claiming to make people smarter. Unfortunately, later studies proved that “braintraining” (as it’s sometimes called) has no affect on your general intelligence.

The most recent research in psychology and neuroscience, however, has found five effective strategies for improving your intelligence. Some of them may surprise you:

1. Believe that it’s possible.

According to a study, a group of students were given classes on how the brain works. Half were told that it’s possible to get smarter; the other were told the opposite.

When tested on the course materials, the first group retained 85% of what they’d heard while the second group retained only 54%. In other words, simply believing that you can make yourself smarter actually makes you smarter!

Apparently your brain takes cues from your beliefs and becomes more “cooperative,” thereby making it easier for neurons to build connections. Or, as Henry Ford once said: “if you think you can do a thing or think you can’t do a thing, you’re right.”

BTW, if this column reinforces your belief that it’s possible to take action to become smarter, the act of reading this article isn’t just conveying information; it’s actively making your brain more effective!

2. Socialize more frequently.

Social interaction, such as talking with friends and family, may also increase your intelligence.

For example, a study conducted from 1998 to 2004 showed the people who had more social interaction scored higher on memory retention tests given at two-year intervals.

Interestingly, the content of the social interaction doesn’t seem to be that important. The effect was greater for people who lacked a college degree, who presumably weren’t discussing existentialism or rocket science.

The brain benefit of being social makes sense when you consider that the human brain evolved to perform optimally inside the context of a “tribe.”

3. Exercise more regularly.

The advice “get plenty of exercise” is usually presented as a way to avoid stress-related illnesses.

However, according to the latest neuroscience, exercise increases the level of brain-derived neurotrophic factor (BDNF), a protein that occurs in your blood and brain that “promotes the growth and formation of new neurons.”


Since that’s how the brain creates and reinforces memories, exercise is literally making you smarter. Indeed, exercise creates a measurable increase in the hippocampus region of the human brain.

Experience in the workplace bears this out. There’s a reason that so many CEOs and successful people start their day with exercise–they may not know it, but the habit is actually making them smarter and more competitive.

4. Drink more coffee or tea.

Multiple research studies show that stimulants have the positive effect of increasing your focus by releasing dopamine into the most important parts of your brain, increasing your long-term memory.

While there are prescription drugs that do this, the easiest way to block dopamine is to ingest a hefty dose of good old caffeine.

Caffeine also blocks the effects of adenosine, a protein that slows the brain down so that you can go to sleep. Less adenosine means that your neurons fire more often, making you smarter.

Finally, caffeine releases norepinephrine, which increases your reaction, memory retention and the performance of your brain in general.



5. Daydream more often.

Contrary to popular belief, letting your mind wander isn’t mental laziness; it’s the exact opposite. When you’re daydreaming, your mind is crazy active.

Daydreaming stimulates imagination and creativity by allowing otherwise disconnected parts of your brain wire themselves together with new neural pathways.

Research has shown that students who daydream on average do better on standardized tests than students who remain over-focused on the task at hand.

Daydreaming is also the first step in mindfulness training, the technique which Steve Jobs used to become more creative.
more on...http://nairametrics.com/5-scientific-ways-to-make-yourself-smarter/

The Nigerian Communications Commission, NCC has fined South Africa’s MTN 1.04 trillion naira ($5.24 bln) after it failed to comply with a directive to deactivate unregistered phone lines before a deadline, it said on Monday.

The Nigerian Communications Commission said all other telecom firms operating in the country complied with the directive except MTN, Africa’s biggest mobile phone company, a spokesman for the regulator, Tony Ojobo said.

The regulator said MTN, whose biggest market is Nigeria, has not denied the infraction and that its enforcement team deactivated 5.2 million unregistered lines to ensure compliance. MTN was fined N200,000 for each of the 5.1 million customers that were disconnected following the sim card registration fiasco.


This by our records is the biggest corporate fine ever imposed by a regulator in any sector of the Nigerian economy. The effect of the fine has also hit hard on the company as its share price fell by more than 12 percent, the biggest one-day decline since November 1998, to 167 rand. That’s the lowest closing price since June 2013 and values the company at 308 billion rand ($23 billion).
more on...http://nairametrics.com/ncc-hits-mtn-with-largest-corporate-fine-in-recent-history-share-price-nose-dives/

Picking the right stocks in the market to invest in is not an easy task, and your success in picking the right ones is not always guaranteed.

Be that as it may, these eight signs can help you determine if a stock is getting set to crash.
1.If the company has a negative cash flow.

Cash flow is a company’s lifeline. When a company’s cash payments are bigger than its receipts, it means the company has a negative cash flow that can eventually lead to insolvency.

2. High Debt to Equity Ratio

A debt-to-equity ratio measures a company’s bankruptcy risk by comparing its long- and short-term debts to its shareholders’ equity. A high ratio usually means the company has been aggressive in financing its growth with debt. Eventually, this debt can become too much to handle.

3. Interest coverage ratio

The interest coverage ratio reveals if a company is having difficulty paying its debt. If a company’s ratio is below 1, it can’t meet its debt obligations with the period’s earnings before interest and tax.

4. The usual share price decline

The fourth sign is a decline in share prices. A sustained decline almost always precedes a corporate collapse. As an example set in the US, Enron’s stock started falling 16 months before it went bust. But also, a declining stock can signal a buying opportunity. Consider the next four signs to distinguish between a collapse and an opportunity.


5. Listen to profit warnings

Profit warnings should be taken very seriously. Growing evidence suggests markets underreact to bad news. Don’t forget to always listen to analyst calls, as you can glean very useful information from the questions being asked by analysts who cover the stock.

6. Watch out for stock market activity of the company owners, directors or executives

Companies must divulge insider trading, as in the purchase and sales of shares owned by substantial shareholders or directors. They have the most current intel, so heavy selling or buying can be a sign.

7. Sudden exit of key staff of the company

The sudden resignation of key executives or directors can also be a bad sign. Companies may sack a key executive as a sign that the company has had a terrible misstep and is making management changes as atonement, or as a sign of realization that management has been underperforming.

8. Investigations by regulatory bodies

Finally, formal investigations by regulators such as SEC, frequently precedes a collapse. Companies may dabble into wrongdoing in order to stay afloat when they get into financial distress. When the company is being investigated, it is very likely that the have been caught in the process, and will pay for their crimes. And the shareholders will ultimately suffer for it.
more on...http://nairametrics.com/these-are-8-ways-to-tell-if-a-stock-is-doomed/

UBA and First Bank have been fined a total sum of N4.8 billion for not remitting all Government funds in their coffers in line with the TSA requirements, Thisday reports. According to the paper, First Bank got a penalty of N1,877,409,905.12 and UBA a penalty of N2,942,189,651.45 for failure to comply. The fines were based on a ‘concealment’ of N37,548,198,102.41 and N58,843,793,029.05 both belonging to the Nigerian National Petroleum Corporation’s (NNPC) by First Bank and UBA respectively.



The report quotes a source which explained that both banks did not deliberately fail to remit, but instead, the failure was due to a miscommunication and that both bank were still very much liquid. First Bank is yet to release their 9 months to September earnings. UBA released its earnings showing deposits was essentially flat between September 2015 and December 2014 at N2.17 trillion.
more on...http://nairametrics.com/caught-uba-first-bank-fined-n4-8-billion-for-concealing-tsa-belonging-to-nnpc/

MTN South Africa boss Mteto Nyati has called on industry regulator Icasa to “level the playing field” between operators and over-the-top (OTT) services like WhatsApp.


“You have these players which are getting huge benefit out of an industry without making any investment,” Nyati told Fin24.

“What have these over the top players invested in South Africa? Zero.”

In contrast, MTN will have invested R10 billion into its South African network by the end of 2015.

Nyati’s comments raise a number of questions about the kind of benefits WhatsApp is getting out of MTN’s subscribers, and how much WhatsApp has cost MTN. These questions were put to MTN:
1.How much revenue has WhatsApp made in South Africa?
2.What has WhatsApp cost you in revenue in the past year?
3.How do you view operators such as Cell C zero-rating WhatsApp services on its network?
4.How is this different to MTN zero-rating services such as Twitter?

MTN provided the following statement in response to our questions:


MTN believes that operators and OTTs can co-exist within a mutually-beneficial relationship. MTN is committed to establishing an amicable relationship with OTTs.

The network was asked follow-up questions to establish why Nyati believes WhatsApp should be investigated, but MTN did not provide further comment.

However, an analysis of MTN’s annual reports from 2009 to 2014 provides a clear picture of why the company is unhappy with WhatsApp.
Looking at the financials for MTN group, the declines are even larger – with SMS revenues shrinking from R8.2 billion in 2012 to R4.5 billion in 2014.

WhatsApp, which replaces the need to use SMS by allowing messages to be sent over a data connection, is using the operator’s data network against it – which is why MTN has complained about the service’s lack of infrastructure investment in SA.

This is hardly a new phenomenon, and highlights the tension between the argument for net neutrality and open-access networks, and operators taking issue with OTT players that compete with their core services.
more on...http://nairametrics.com/this-are-the-reasons-why-mtn-hates-whatsapp/