Depositors’ Funds Safe,CBN Insists

Mohammed Shosanya

The Nigerian banking system and depositors’ funds are safe, the Central Bank of Nigeria has said.

Sidi Ali Hakama,its Acting Director of Corporate Communications, who disclosed this on Monday during a chat with journalists in Abuja, dismissed claims that the CBN was planning to revoke the operating licences of Fidelity Bank, Polaris Bank, Wema Bank, and Unity Bank.

She assured customers, especially those of Heritage Bank, that their deposits were safe, adding that the Nigeria Deposit Insurance Corporation (NDIC) had commenced payment to the bank’s insured depositors.

She said the CBN’s strong regulatory framework is actively maintaining the stability of Nigeria’s financial system, ensuring the safety of depositors’ funds across all Nigerian financial institutions.

“Key financial soundness indicators remain within current regulatory thresholds,” Hakama said.

“Customers are, therefore, encouraged to proceed with their transactions as usual, as the CBN is committed to ensuring the safety of the banking system.”

According to her,a circular issued by the bank on January 10, informing the public about the dissolution of the boards of Union, Keystone, and Polaris Banks, is being circulated as if it were issued on June 10.

She said Heritage Bank’s situation was isolated and that claims of additional licence revocations before completing the bank recapitalisation process were fabrications intended to incite panic.

She reaffirmed the assurances made by Olayemi Cardoso, the CBN’s governor, regarding the purpose of the recapitalisation of Nigerian banks, which is to strengthen the banking system and protect the sector from risks.

She urged all stakeholders to collaborate to ensure the success of the process, adding that it is for the overall growth of the economy.

“Without prejudice to the ongoing recapitalisation process, I want to restate that the Nigerian banking industry remains resilient,” she said.

She urged the public to continue their regular banking activities without concern, disregarding any false reports concerning the stability of specific deposit money banks.

Access Bank Plc Acquires BancABC Tanzania

Mohammed Shosanya

Access Bank Plc has announced the successful completion of its acquisition of African Banking Corporation (Tanzania) Limited (“BancABC Tanzania” or “BancABC”), in line with its strategic expansion goals.

This milestone follows the Bank’s initial announcement in July 2023 and marks yet another step in its journey to become the world’s most respected African Bank,a statement said.

According to the statement,with the successful acquisition of BancABC Tanzania by the Bank, BancABC operations will now be merged with the consumer, private, and business banking operations of Standard Chartered Bank Tanzania at completion to form a new, entity to be known as Access Bank Tanzania.

The bank quoted that the development furthers its aspiration to be a strong player within the East Africa region, while adding greater depth and breadth to our pan African operations creating more significant opportunities for financial inclusion, diversified product range and enhanced customer experience.

Roosevelt Ogbonna, Access Bank’s Managing Director/Chief Executive Officer, commented on the transaction, saying, “This strategic move represents a notable step towards setting a railroad in Tanzania for intra-African trade within the East African region, Africa and the rest of the world. It underscores our commitment to creating a robust East African banking network, driving positive change and innovation.

“We are excited about the opportunities this acquisition presents for our operations in Tanzania and are eager to leverage our combined strengths to deliver exceptional financial solutions and experiences to our customers.”

Speaking on the transaction, John Imani, Managing Director, African Banking Corporation (Tanzania) Limited, said, “The completion of our transaction with Access Bank, not only underscores Access Bank’s strong confidence in our operations and the Tanzanian market but brings new and exciting opportunities for our customers, employees, and stakeholders. The new entity is poised to enhance our service offerings, leveraging Access Bank’s extensive resources and expertise to deliver even greater value to our clients. We look forward to an exciting and prosperous future as part of the Access Bank family, driving economic growth and financial inclusion across Tanzania”

Fidelity Bank Gets $40m Support To Acquire Union Bank UK

Mohammed Shosanya

African Export-Import Bank has announced the disbursement of a US$40-million Intra-African Investment Facility to Fidelity Bank Nigeria Plc to support Fidelity Bank’s acquisition and recapitalization of Union Bank UK as part of its international expansion programme.

Provided in two tranches of US$20 million each, the first tranche of the facility enabled Fidelity to part-refinance the acquisition of 100 per cent equity stake in Union Bank UK, while the second tranche was used to support its recapitalisation through the injection of additional equity into the acquired bank, as approved by the United Kingdom’s regulator.

According to a statement,with this acquisition, Fidelity Bank is able to birth a new pan-African financial institution capable of providing correspondent banking and offshore banking services to banks in Africa and servicing the banking needs of Africans in the diaspora.

Speaking on the transaction, Kanayo Awani, Executive Vice President, Intra-African Trade Bank and Export Development Bank, Afreximbank, noted that the disbursement of the facility was part of Afreximbank’s effort to promote African control and ownership of capital while improving intra-African trade and investments.

“Fidelity Bank’s acquisition of Union Bank UK aligned with Afreximbank’s Intra-African Investment Facility. It was a significant milestone for both institutions, reinforcing African ownership and control within the global financial landscape,” Mrs. Awani said.

“By supporting this strategic transaction, we are not only bolstering Nigeria’s banking sector but also fostering greater financial integration between Africa and its Diaspora. This initiative is a testament to our commitment to enhancing intra-African trade, promoting economic stability and driving forward the objectives of Agenda 2063 for a prosperous and self-reliant Africa.” She added.

Mrs. Awani stated that Afreximbank’s Bank Acquisition Strategy, empowers African entities to acquire financial assets divested by foreign entities in Africa and the diaspora. This is also in line with the Bank’s Diaspora Strategy which seeks to promote and finance the integration of the African Diaspora with the rest of the continent. .

She noted that, through the facility, Fidelity was extending its services to the UK, in particular, to Africans and African-owned businesses in the UK, including products to support Diaspora investments.

MD/CEO of Fidelity Bank, Dr (Mrs) Nneka Onyeali-Ikpe, ‘We are very thankful to Afreximbank for supporting our expansionary initiatives for international growth. It is, indeed, the result of a strong partnership between the two institutions over the years that has produced this good outcome.

The refinancing of the Union Bank (UK) acquisition by Afreximbank will unlock additional value and help create a scalable and more sustaining service franchise that will support trade businesses in Africa and diaspora banking.”

The acquisition is expected to contribute to Africa’s economic growth and development by increasing intra- and extra-African trade finance and trade flows between Nigeria and the UK, supporting the integration of the African Diaspora into regional and continental supply chains and enabling small and medium-sized enterprises across the continent to improve their export competitiveness and light export manufacturing capabilities.

UNILORIN Spends N230m Monthly On Electricity,Considers Alternative Power Options

Mohammed Shosanya

The Vice Chancellor of the University of Ilorin, Prof. Wahab Egbewole, SAN,says
the institution’s monthly electricity bill has jumped from N70 million to N230 million per month

He described the development as unsustainable.

In an email message sent to staff and students of the University,the Vice-Chancellor emphasized urgent need for a critical reassessment of current electricity usage practices as he appealed to both staff and students to adopt more responsible electricity consumption habits and to support the administration’s efforts to implement cost-saving measures.

He said that the administration was intensifying negotiations for alternative power supply solutions, which, he said, “are expected to yield positive results soon.”

He disclosrd that all new buildings under construction in the Faculties of Agriculture, Arts, Environmental Science, Law, and Social Sciences will include provisions for alternative power sources as part of their design.

He said that strategies are being developed to ensure that all Faculties and Units are equipped with reliable alternative power options.

He added:“The past few days have demonstrated the sterling qualities in us as staff and students of this great University. The administration remains ever grateful for this show of very deep support for the University in the face of the daunting challenges.”

He also stressed the importance of safeguarding these new facilities from theft and vandalism as he called on the entire University community to ensure that these resources are protected and maintained.

He expressed his gratitude to the staff and students for their resilience and cooperation during the recent disruptions in electricity and water supply.

He lauded their collective effort and sense of responsibility, which helped the University navigate the challenges.

He reassured the University community of the administration’s ongoing commitment to addressing the economic challenges affecting the University.

He pledged continued efforts to provide a conducive learning and working environment despite the financial constraints.

May: FG, States, LGs Share N1,143.210trn

Mohammed Shosanya

A total sum of N1,143.210 billion May 2024 Federation Accounts Revenue has been shared to the Federal Government, States and Local Government Councils in the country.

Bawa Mokwa, the Director of Press and Public Relations, in a statement,revealed that the revenue was shared at the June 2024 meeting of the Federation Accounts Allocation Committee (FAAC), chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.

A communiqué issued by the Federation Accounts Allocation Committee (FAAC) revealed that the N1,143.210 billion total distributable revenue comprised distributable statutory revenue of N 157.183 billion, distributable Value Added Tax (VAT) revenue of N463.425 billion, Electronic Money Transfer Levy (EMTL) revenue of N15.146 billion and Exchange Difference revenue of N507.456 billion.

A total revenue of N2,324.792 billion was available in the month of May 2024. Total deduction for cost of collection was N76.647 billion while total transfers, interventions and refunds was N1,104.935 billion.

Gross statutory revenue of N1,223.894 billion was received for the month of May 2024. This was lower than the sum of N1,233.498 billion received in the month of April 2024 by N9.604 billion.

The gross revenue of N497.665 billion was available from the Value Added Tax (VAT) in May 2024. This was lower than the N500.920 billion available in the month of April 2024 by N3.255 billion.

The communiqué confirmed that from the N1,143.210 billion total distributable revenue, the Federal Government received total sum of N365.813 billion, the state governments received total sum of N388.419 billion and the local government councils received total sum of N282.476 billion.

A total sum of N106.502 billion (13% of mineral revenue) was shared to the benefiting States as derivation revenue.

On the N157.183 billion distributable statutory revenue, the communiqué stated that the Federal Government received N61.010 billion, the State Governments received N30.945 billion and the Local Government Councils received N23.857 billion.

The sum of N41.371 billion (13% of mineral revenue) was shared to the benefiting States as derivation revenue.

The federal government received N69.514 billion,the state governments collected N231.713 billion and the local government councils received N162.199 billion from the N463.425 billion distributable Value Added Tax (VAT) revenue.

A total sum of N2.272 billion was received by the Federal Government from the N15.146 billion Electronic Money Transfer Levy (EMTL). The State Governments received N7.573 billion and the Local Government Councils received N5.301 billion.

From the N507.456 billion Exchange Difference revenue, the federal government received N233.017 billion, the state governments received N118.189 billion and the local government councils received N91.119 billion.

A total sum of N65.131 billion (13% of mineral revenue) was shared to the benefiting States as derivation revenue.

According to the communiqué, in the month of May 2024, Companies Income Tax Oil (CIT) and Petroleum Profit Tax (PPT) increased significantly while Import and Excise Duties, Royalty Crude and Gas, Electronic Money Transfer Levy (EMTL), CET Levies and Value Added Tax (VAT) recorded considerable decreases.

The balance in the ECA was $473,754.57

How To Stabilize Nigeria’s Power Sector-Edun

Mohammed Shosanya

The Minister of Finance and Coordinating Minister for the Economy,Mr Wale Edun,Monday canvassed for liquidity in the power sector as a major solution needed to stabilize the troubled sector.

He disclosed this yesterday in his submission to the committee investigating the controversial Make up Gas ( MUG) Reprocessing Deal Involving the Ministry of Finance , NDPHC, Calabar Generation Company Limited and ACUGAS Limited.

The Minister,who made the submission through his Special Assistant,Mallam Dahiru Moyi , said the agreements on Gas supply between NDPHC and ACUGAS Limited was inherited by former President Muhammadu Buhari in 2015 since it was signed in 2011 during President Goodluck Jonathan ‘s administration.

He said: “Just as the Ministry of Justice was not aware of the contract agreement , the Ministry of Finance was also not part of it from the beginning but since government is a continuum , Ministry of Finance later came into it for the purpose of facilitating the required liquidity.

“The issues on ground about contracts agreements being investigated by the Senate Committee on Power , is not about restructuring but providing the required liquidity which the Ministry of Finance is doing through collaboration with the Nigerian Liquified Natural Gas ( NLNG) .

” Since NLNG pays gas in dollars , the Ministry is collaborating with it for practical solution of bringing liquidity into the age long contract agreement through Deed of Transfer.

” Make Up Gas ( MUG) belongs to Calabar, Calabar belongs to NDPHC and NDPHC belongs to Federal and state governments with Federal Government having 52.68%”, he said.

In his own submission before the committee , the Managing Director of Niger Delta Power Holding Company, NDPHC , Chiedu Ugbo , said the company as a result of the gas supply agreement with ACUGAS Limited,is taking Gas from three out of five units and generating power from Calabar plant to the National Grid which according to him, is the best power plant in the entire country.

He said NDPHC went out of its way to construct an 80 kilometers gas pipeline for utilization of MUG in Calabar and Alaoji power plants .

He,however,lamented that problems relating to systemic transition, frequency and voltage issues , have not made the firm achieve the desired results.

In his remarks,the Chairman of the Committee , Senator Enyinnaya Abaribe ( APGA Abia South) , thanked the stakeholders for giving the committee clarity on the issue but added that is still an on going investigation.

NNPC Didn’t Inflate Subsidy Figure,Says Spokesman

Mohammed Shosanya
The Nigerian National Petroleum Company Limited (NNPC Ltd), Monday declared that claims that it inflated subsidy claims by N3.3trillion is not true.
The Nigerian national oil company in a statement signed by Oluferni Soneye, Chief Corporate Communications Officer,described the allegation as ridiculous, insisting that all previous subsidy claims by the company are verifiable as relevant records and documents have been sent to relevant authorities and agencies.
“NNPC Limited notes with dismay a report in a section of the media alleging that it inflated subsidy claims by N3.3trillion, and wishes to state that:
“NNPC Ltd conducts its businesses accountably and transparently in keeping with international best practices and has, at no time, inflated its subsidy claims with the Federal Government.
“All previous subsidy claims by the Company are verifiable as relevant records and documents have been sent to relevant authorities and agencies.
“NNPC Ltd is neither aware of any audit of its subsidy claims nor probe ensuing therefrom and wishes to state categorically that both ridiculous claims are products of the febrile imagination of the reporters and their respective media houses.
“NNPC Ltd will resist any attempt to drag the Company into the apparent politics of fuel subsidy as it currently operates on commercial basis and on the express provisions of the Petroleum Industry Act (PIA).
“It is on record that in line with its Transparency, Accountability & Performance Excellence (TAPE) mantra, NNPC Limited has,on several occasions, independently invited external auditors to review its books.
“NNPC Limited calls on media practitioners and media houses to exercise restraint and verify information before publication in keeping with the ethics of the noble profession of journalism to avoid misleading the public”.
Nigeria Fetches $900m From Auto Spare Parts Manufacturing

    Mohammed Shosanya
Nigerian auto spare parts generate an estimated annual revenue ranging from $500 million to $900 million, though, government has failed to capitalise on this potential,the CEO of BKG Exhibitions,Ifeanyichukwu Agwu,has said
He spoke in Abuja recently,where he  said, to become a prominent auto hub in Africa, there is a pressing need to commence the local manufacturing of auto parts.
“Let us initiate this with auto parts, as it will have a multifaceted positive impact. The production of spare parts is less complex compared to assembling entire vehicles. Each vehicle comprises over 5,000 parts, which implies the establishment of 5,000 factories and the creation of employment opportunities for our populace. In India alone, there are approximately 11,000 auto parts companies, highlighting the extent of labour and technology involved,” he suggested.
Agwu,who leveraged on the 2024 auto expo held at Victoria Island, Lagos, recently to entice major auto parts manufacturers to establish their manufacturing facilities in Nigeria, emphasised that, the market exists here, and the country is a prominent hub in Africa.
“We urge spare parts manufacturers to set up their plants in Nigeria, as it is undeniably the auto parts hub of Africa. There is no necessity to explore other African nations. Establish your manufacturing base in Nigeria, and you will witness its reach extend to other countries due to our dealers’ distribution capabilities,” he pointed out.
He also implored market leaders in the auto parts sector in Nigeria to partner with manufacturers and bring them to Nigeria for production because that is what is sustainable. To him, “Trading is good, but the real investment is in manufacturing. It is a lot cheaper, you make more profit, and you are in the good books of the government because you are creating employment.”
The general manager of Winpart by CFAO, Mohamed Taleb, stated that Nigeria is a land of opportunities, and that has been the case for the company, saying, “as a company, we have been in Nigeria for over 120 years. We have seen Nigeria as a country of opportunity and not challenges. Despite the economic challenges, the opportunity is there.
“What we do at Winpart by CFAO is sell, import, and distribute quality auto spare parts nationwide. We have been in operation since 2019, and our revenue has been increasing since then.”
The president of the Ladipo Central Executive Committee of the Auto Dealers Association, Mr Africanus Ogudoro,agreed with the notion that local production of auto parts would reduce dependence on imports, save foreign exchange, and bolster the growth of the domestic automotive industry.
He maintained that this initiative would not only create employment opportunities for Nigerians but also foster a more self-reliant and competitive automotive sector.
Tinubu Has Brought Hope To Nigeria-Pategi


Mohammed Shosanya

Former Commissioner for Local government, Chieftaincy affairs and community development in Kwara State, Mahalia Aisha Ahman Pategi 2019-2020 fondly called “Super commissioner,” was the first commissioner to resign her portfolio when she dissatisfied with some policies of the government and the governor over poor handling of local government autonomy.

In this interview with Premium News,she discusses issues bothering on the President Bola Tinubu’s policies and government,autonomy for the third tier of government among others.


What is your general assessment of President Bola Ahmed Tinubu’s administration?.

Local government autonomy is what will hit the nail.This approach indeed has the potential to address fundamental issues in the grassroots level, fostering a bottom-up development strategy.

Empowering local governments can lead to more efficient governance, enhanced service delivery, and stronger community engagement. This method can significantly contribute to economic growth and societal transformation that will lead to a renewed sense of hope and a change in mindset across the nation.

Honestly,local government autonomy done and implemented properly will give us the dominion effect. For me, PBAT is doing exceptionally great. We all need to keep in mind that sustainable change doesn’t happen overnight, there is light at the end of the tunnel and I tell you for free this local government autonomy if implemented properly will transform our lives and the nation.

There are agitations in some quarters for the establishment of state police, what is your take on this?

Establishment of state police is a contentious issue.While it could enhance localized security and ensure that policing is more in tune with community needs, its effectiveness is contingent upon the successful implementation of local governments autonomy.

Without a solid foundation for accountable local governance,state police might not achieve the desired outcomes and could even exacerbate existing issues of power and resource misuse.

How do you rate Governor AbdulRahman AbdulRazaq in the last five years?

I supported Governor Abdulrazaq for his second bid for office for certain reasons. First,is his key attribute, he’s got listening ears. Honestly, his humility is top-notch, he is a man that can strike friendship with a suya man.

Abraham Maslow’s third hierarchy of human needs is giving one a sense of belonging. When one is given a listening ears and action taken as a result of being heard, can definitely inspire and ignite that hope in a person that the future is bright.

Aside this,he has just unveiled the Ilorin city master plan 2042, which shows he is a great planner and a strategist. Keep in mind that he is also an achiever. Nothing meaningful can be achieved without proper planning. So I believe his years as an administrator will be unprecedented.

Again,he is giving the average child hope in Kwara state, he has raised the hope that a child of no body can become somebody.

For me,these are huge achievements we most time ignore and tend to focus too much attention on roads, renovations of school, social investments and all, but I can tell you for free that this aren’t our challenges, because to be fair to all other past governments they all did their fair share of infrastructure projects, but what’s truly sustainable is the feeling of the hope you inspire in people that will motivate them to believe in themselves.

Remember that a nation’s greatest capital is his human capacity, once we’re able to get it right by inspiring and equipping our citizens by harnessing their full potentials, then we shall be sure that the nation will rebuild itself and together.

We can go far as quoted by Maya Angelou: “I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.”

Governor Abdurazaq has underscored his commitment to strategic development and inclusive governance.These attributes, coupled with his focus on giving hope to the youth and women are significant achievements.

While infrastructure projects are essential,the inspiration and sense of belonging he provides to the citizens are vital for the future of Kwara, Nigeria and humanity. According to Abraham Maslow, third hierarchy of human need is love and a sense of belonging, very crucial to our human potentiality.

Are women well represented in the political calculations of Nigeria?

Hmmm!!! Permit me to be blunt my brother, we women are the architect of our underrepresentation you may wish to ask me why.

Take a cursory look at our democracy; take the recent Edu gate situation for example, instead of women to collaborate and work together as a team; what happened? Many women have sabotaged each other in the history of women in politics.

So I honestly feel it’s time we stop playing the victim mentality and ensure we women team up and stand united, we should put aside our unhealthy competitiveness and differences and be our sisters keeper.

I also want to encourage professional women, women of virtue to bring their chairs to the table. Don’t forget that when it comes to voting, women are the ones who lineup in numbers. So, I’m advocating that women across board to kindly vote and support women vying elective positions.

We hold the dice so let’s stand united and say “otoge,” enough is a enough, we need to remember no one will handover power to us and when it comes to policy and crucial decisions making, nature has gifted us with stronger intuitions, we are the bedrock of our family.

Honestly, the underrepresentation of women in politics is often exacerbated by internal divisions. It is essential for women to unite, support each other, and overcome the victim mentality. By collaborating and backing women candidates, we can significantly increase our representation and influence in political spheres.

As the saying goes, “You build a woman, you build the nation.” Therefore, it is imperative for women to stand united and claim their rightful place in political decision-making.

What is the importance of local government autonomy in Nigeria?

Let’s think of government structure as a family. The federal government is the father, the state government is the mother, and the local governments are the children. In this analogy, there’s even a fourth tier, which is the traditional rulers. Focusing on the third tier—the local government—its autonomy is crucial for a thriving society.

Can you throw more light on why local government autonomy is so essential?

Alright, take the United States as an example, they have counties, states and a federal government. Their system works efficiently because of this structured autonomy. Citizens can address issues directly with their local government officials that will ensure swift resolution.

This model allows state governors to focus on broader developmental goals rather than being bogged down with local issues that don’t necessarily need their direct intervention. It’s about empowering each level of government to perform optimally, which ultimately benefits the community bottom-up.

How does this relate to the recent actions of President Tinubu taking the 36 states to court over local government autonomy?

The president’s decision is commendable.It shows commitment to constitutional provisions for local governments’ autonomy. This move is crucial for Nigeria’s progress as it aims to clarify and enforce the distribution of power among federal, state and local governments.

How do you think this legal action will impact on local governance in Nigeria?

If successful, it would reinforce the autonomy of local governments that would better resource control, management and eventual service delivery. It will allow community leaders to address their needs more effectively and allow governors to focus on larger-scale development projects. This approach can lead to a more efficient and responsive overall government.

You’ve had personal experience as a commissioner for local government in Kwara State,could you share some insights during your tenure?.

My appointment as commissioner for local government should be credited to Governor AbdulRahman AbdulRazaq for his foresight, being a woman, it came with skepticism, I’ll always be grateful.

When I was appointed, it was seen as a less significant role. I was the laughingstock that night and I remember vividly responding on a WhatsApp platform that when the universe throws stones, you ensure you build a bridge.

Anyway that’s what you get with the right kind of women facing challenges that looks impossible, but we deliver once we take on our roles as the delivery species. However, I saw the potential and hit the ground running.

For example, when I took over, the ministry only had one Internally Generated Revenue (IGR) source struggling to generate a million Naira yearly.

In few months,we increased annual revenue from under N1 million to N10 million in three months by addressing leakages. You can now imagine how much to make in a year with optimized opportunities. Remember this is just one of many of the LGA’s IGR. The opportunities in local government are enormous.

Honestly, average local government can generate IGRs in billions of naira. Local government can stand independently without federal allocation if we have the political will to implement the needful. This experience showed that with proper management, local governments can significantly contribute to the state’s development.

Do you have advice for the state governments and the general public on this issue?

Supporting local government autonomy should not be seen as a loss of power by the state governments but as an enhancement of governance structure. Strong local governments mean more balanced and effective overall system.

To the public,I urge the public to support this cause because it secure better services and accountability at the local level. It’s about creating a government that is truly by the people and for the people.

What are your optimisms for local governance in Nigeria?

The only way out of the hole for Nigeria is bottom-up approach. I honestly can’t stop lauding our president for this bold moves. I hope to see a Nigeria where local governments are fully autonomous and capable of driving sustainable development. This means empowered local leaders, improved service delivery, and a vibrant, responsive democratic system that benefits all Nigerians.